Bill Text: IL SB3427 | 2011-2012 | 97th General Assembly | Introduced

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Bill Title: Amends the Unemployment Insurance Act. Authorizes the Department of Employment Security to implement a pilot program to participate in the federal Self-Employment Assistance Program. Defines terms. Provides exceptions to the requirements relating to registering for work and reporting to an employment office. Effective immediately.

Sponsorship: Partisan Bill (Democrat 1)

Status: (Failed) 2013-01-08 - Session Sine Die [SB3427 Detail]

Download: Illinois-2011-SB3427-Introduced.html

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97TH GENERAL ASSEMBLY State of Illinois 2011 and 2012 SB3427 Introduced 2/7/2012, by Sen. Linda Holmes SYNOPSIS AS INTRODUCED:
820 ILCS 405/502 new
Amends the Unemployment Insurance Act. Authorizes the Department of Employment Security to implement a pilot program to participate in the federal Self-Employment Assistance Program. Defines terms. Provides exceptions to the requirements relating to registering for work and reporting to an employment office. Effective immediately.
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A BILL FOR
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AN ACT concerning employment.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Unemployment Insurance Act is amended by
adding Section 502 as follows:
(820 ILCS 405/502 new)
Sec. 502. Self-Employment Assistance Program.
(a) The Department of Employment Security may implement a
pilot program to participate in the federal Self-Employment
Assistance Program. If the Department chooses to apply for
federal approval to participate in the Self-Employment
Assistance Program, the Department shall promulgate rules to
implement this Section.
(b) As used in this Section:
"Full-time basis" means that the individual is
devoting the amount of time as is determined by the
Department to be necessary to establish a business that
will serve as a full-time occupation for that individual.
"Self-employment assistance activities" means
activities (including entrepreneurial training, business
counseling, and technical assistance) approved by the
Department in which an individual identified through a
worker profiling system as likely to exhaust regular

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benefits participates for the purpose of establishing a
business and becoming self-employed.
"Self-employment assistance allowance" means an
allowance, payable in lieu of regular benefits and from the
State's account in the unemployment trust fund to an
individual participating in self-employment assistance
activities who meets the requirements of this Section.
(c) The weekly allowance payable under this Section to an
individual is equal to the weekly benefit amount for regular
benefits. The sum of (1) the allowance paid under this Section
and (2) regular benefits paid with respect to any benefit year
may not exceed the maximum benefit amount with respect to such
benefit year.
(d) The allowance described in subsection (b) of this
Section is payable to an individual at the same interval, on
the same terms, and subject to the same conditions as regular
benefits under this Act, except that:
(1) the requirements relating to availability for
work, active search for work, and refusal to accept work
are not applicable to the individual;
(2) the reduction in benefits relating to wages paid is
not applicable to income earned from self-employment by the
individual;
(3) an individual who meets the requirements of this
Section is considered to be unemployed; and
(4) an individual who fails to participate in

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self-employment assistance activities or who fails to
actively engage on a full-time basis in activities (which
may include training) relating to the establishment of a
business and becoming self-employed is disqualified for
the week the failure occurs.
(e) The aggregate number of individuals receiving the
self-employment assistance allowance under this Section at any
time may not exceed 5% of the number of individuals receiving
regular benefits for the week. The Department shall prescribe
actions that are necessary to ensure the requirements of this
Section are met.
(f) Self-employment assistance allowances paid under this
Section shall be charged to employers as provided under the
provisions of this Act relating to the charging of regular
benefits.
(g) The provisions of this Section apply to weeks beginning
after the effective date of this amendatory Act of the 97th
General Assembly or weeks beginning after any plan required by
the U.S. Department of Labor is approved by that Department,
whichever date is later. The authority provided by this Section
terminates as of the end of the week preceding the date when
federal law no longer authorizes the provisions of this
Section, unless that date is a Saturday in which case the
authority terminates as of that date.
Section 99. Effective date. This Act takes effect upon
becoming law.