Bill Text: MI SB0012 | 2011-2012 | 96th Legislature | Engrossed
Bill Title: Employment security; employers; certain practices in the calculation of contribution rate; prohibit. Amends 1936 (Ex Sess) PA 1 (MCL 421.1 - 421.75) by adding sec. 22c.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Engrossed - Dead) 2012-02-09 - Re-referred To Committee On Commerce [SB0012 Detail]
Download: Michigan-2011-SB0012-Engrossed.html
SB-0012, As Passed Senate, May 3, 2011
SENATE BILL No. 12
January 19, 2011, Introduced by Senator JANSEN and referred to the Committee on Economic Development.
A bill to amend 1936 (Ex Sess) PA 1, entitled
"Michigan employment security act,"
(MCL 421.1 to 421.75) by adding section 22c.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 22c. (1) Unless there has been a transfer of trade or
business in violation of section 22b(1) or a disregard of the
separate legal entities through the commingling of bank accounts
and other assets and failure to abide by corporate formalities for
an unlawful purpose, the unemployment agency shall not consolidate
or combine the experience and unemployment accounts of separate
employer entities into a single account or assess a consolidated or
combined contribution rate covering 2 or more entities. This
section does not prohibit the unemployment agency from transferring
the experience of an employer entity, or combining the experience
of 2 or more employer entities into a single account for coverage
after July 1, 2005, if there has been a transfer after July 1, 2005
of all or part of a trade or business for the sole or primary
purpose of reducing reimbursement payments in lieu of contributions
or the contribution rate as described in section 22b or a disregard
of the separate legal entities through the commingling of bank
accounts and other assets and failure to abide by corporate
formalities for an unlawful purpose.
(2) The unemployment agency shall not consolidate or combine
the experience or unemployment accounts of employer entities into a
single account or assess a consolidated or combined contribution
rate while a request for a redetermination under section 32a, an
appeal to the board of review under section 33, or an appeal to a
circuit or appellate court under section 38 is pending. If the
unemployment agency's determination is upheld in a final proceeding
or a proceeding from which the time for appeal has expired, the
consolidation or combination of the experience account or
contribution rate shall be retroactive to the date established in
the original determination. If the unemployment agency's
consolidation or combination determination is overturned by the
board of review or a circuit or appellate court, the board of
review or circuit or appellate court shall award the prevailing
party its court costs and reasonable attorney fees.
