Bill Text: MI SB0531 | 2017-2018 | 99th Legislature | Introduced


Bill Title: Employment security; administration; maximum benefit rate and period; modify. Amends sec. 27 of 1939 (Ex Sess) PA 1 (MCL 421.27).

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2017-09-07 - Referred To Committee On Government Operations [SB0531 Detail]

Download: Michigan-2017-SB0531-Introduced.html

 

 

 

 

 

 

 

 

 

 

 

 

 

SENATE BILL No. 531

 

 

September 7, 2017, Introduced by Senators HOOD, KNEZEK, HOPGOOD, ANANICH, CONYERS, GREGORY, BIEDA, JOHNSON, HERTEL, WARREN and YOUNG and referred to the Committee on Government Operations.

 

 

     A bill to amend 1936 (Ex Sess) PA 1, entitled

 

"Michigan employment security act,"

 

by amending section 27 (MCL 421.27), as amended by 2016 PA 522.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 27. (a)(1) When a determination, redetermination, or

 

decision is made that benefits are due an unemployed individual,

 

the benefits become payable from the fund and continue to be

 

payable to the unemployed individual, subject to the limitations

 

imposed by the individual's monetary entitlement, if the individual

 

continues to be unemployed and to file claims for benefits, until

 

the determination, redetermination, or decision is reversed , or a

 

determination, redetermination, or decision on a new issue holding

 

the individual disqualified or ineligible is made. , or, for

 

benefit years beginning before October 1, 2000, a new separation


issue arises resulting from subsequent work.

 

     (2) Benefits are payable in person or by mail through

 

employment security offices in accordance with rules promulgated by

 

the unemployment agency.

 

     (b)(1) Subject to subsection (f), the weekly benefit rate for

 

an individual, with respect to benefit years beginning before

 

October 1, 2000, is 67% of the individual's average after tax

 

weekly wage, except that the individual's maximum weekly benefit

 

rate must not exceed $300.00. However, with respect to benefit

 

years beginning on or after October 1, 2000, the an individual's

 

weekly benefit rate is 4.1% of the individual's wages paid in the

 

calendar quarter of the base period in which the individual was

 

paid the highest total wages, plus $6.00 $20.00 for each dependent

 

as defined in subdivision (4), up to a maximum of 5 6 dependents,

 

claimed by the individual at the time the individual files a new

 

claim for benefits. , except that However, the individual's maximum

 

weekly benefit rate must not exceed $300.00 before April 26, 2002

 

and $362.00 for claims filed on and after April 26, 2002. The

 

weekly benefit rate for an individual claiming benefits on and

 

after April 26, 2002 must be recalculated subject to the $362.00

 

maximum weekly benefit rate. $362.00 for claims filed on or before

 

September 30, 2017 and $603.00 for claims filed on or after October

 

1, 2017 and must be adjusted to the next lower multiple of $1.00.

 

The state treasurer shall adjust the $603.00 maximum rate each

 

succeeding October 1 by an amount determined by the state treasurer

 

to reflect the cumulative annual percentage change in the consumer

 

price index from January 1, 2017 to the December 31 preceding the


adjustment. As used in this subsection, "consumer price index"

 

means the most comprehensive index of consumer prices available for

 

this state from the Bureau of Labor Statistics of the United States

 

Department of Labor. The unemployment agency shall establish the

 

procedures necessary to verify the number of dependents claimed. If

 

a person an individual fraudulently claims a dependent, that person

 

he or she is subject to the penalties set forth in sections 54 and

 

54c. For benefit years beginning on or after October 2, 1983, the

 

weekly benefit rate must be adjusted to the next lower multiple of

 

$1.00.

 

     (2) For benefit years beginning before October 1, 2000, the

 

state average weekly wage for a calendar year is computed on the

 

basis of the 12 months ending the June 30 immediately before that

 

calendar year.

 

     (3) For benefit years beginning before October 1, 2000, a

 

dependent means any of the following persons individuals who are

 

receiving and for at least 90 consecutive days immediately before

 

the week for which benefits are claimed, or, in the case of a

 

dependent husband, wife, or child, for the duration of the marital

 

or parental relationship, if the relationship has existed less than

 

90 days, has received more than 1/2 the cost of his or her support

 

from the individual claiming benefits:

 

     (a) A child, including stepchild, adopted child, or grandchild

 

of the individual who is under 18 years of age, or 18 years of age

 

or over if, because of physical or mental infirmity, the child is

 

unable to engage in a gainful occupation, or is a full-time student

 

as defined by the particular educational institution, at a high


school, vocational school, community or junior college, or college

 

or university and has not attained the age of 22.

 

     (b) The husband or wife of the individual.

 

     (c) The legal father or mother of the individual if that

 

parent is either more than 65 years of age or is permanently

 

disabled from engaging in a gainful occupation.

 

     (d) A brother or sister of the individual if the brother or

 

sister is orphaned or the living parents are dependent parents of

 

an individual, and the brother or sister is under 18 years of age,

 

or 18 years of age or over if, because of physical or mental

 

infirmity, the brother or sister is unable to engage in a gainful

 

occupation, or is a full-time student as defined by the particular

 

educational institution, at a high school, vocational school,

 

community or junior college, or college or university and is less

 

than 22 years of age.

 

     (4) For benefit years beginning on or after October 1, 2000, a

 

dependent means any of the following persons individuals who

 

received for at least 90 consecutive days immediately before the

 

first week of the benefit year or, in the case of a dependent

 

husband, wife, or child, for the duration of the marital or

 

parental relationship if the relationship existed less than 90 days

 

before the beginning of the benefit year, has received more than

 

1/2 the cost of his or her support from the individual claiming the

 

benefits:

 

     (a) A child, including stepchild, adopted child, or grandchild

 

of the individual who is under 18 years of age, or 18 years of age

 

and over if, because of physical or mental infirmity, the child is


unable to engage in a gainful occupation, or is a full-time student

 

as defined by the particular educational institution, at a high

 

school, vocational school, community or junior college, or college

 

or university and has not attained the age of 22.

 

     (b) The husband or wife of the individual.

 

     (c) The legal father or mother of the individual if that

 

parent is either more than 65 years of age or is permanently

 

disabled from engaging in a gainful occupation.

 

     (d) A brother or sister of the individual if the brother or

 

sister is orphaned or the living parents are dependent parents of

 

an individual, and the brother or sister is under 18 years of age,

 

or 18 years of age and over if, because of physical or mental

 

infirmity, the brother or sister is unable to engage in a gainful

 

occupation, or is a full-time student as defined by the particular

 

educational institution, at a high school, vocational school,

 

community or junior college, or college or university and is less

 

than 22 years of age.

 

     (5) The number of dependents established for an individual at

 

the beginning of the benefit year shall remain remains in effect

 

during the entire benefit year.

 

     (6) Dependency status of a dependent, child or otherwise, once

 

established or fixed in favor of a person an individual is not

 

transferable to or usable by another person individual with respect

 

to the same week.

 

     Failure on the part of an individual, due to because of

 

misinformation or lack of information, to furnish all information

 

material for determination of the number of the individual's


dependents is good cause to issue a redetermination as to the

 

amount of benefits based on the number of the individual's

 

dependents as of the beginning of the benefit year.

 

     (c) Subject to subsection (f), all of the following apply to

 

eligible individuals:

 

     (1) Each eligible individual must be paid a weekly benefit

 

rate with respect to the for a week for which that the individual

 

earns or receives no remuneration. Notwithstanding the definition

 

of week in section 50, if within 2 consecutive weeks in which an

 

individual was not unemployed within the meaning of section 48

 

there was a period of 7 or more consecutive days for which the

 

individual did not earn or receive remuneration, that period is

 

considered a week for benefit purposes under this act if a claim

 

for benefits for that period is filed not later than 30 days after

 

the end of the period.

 

     (2) The weekly benefit rate is reduced with respect to each

 

week in which the eligible individual earns or receives

 

remuneration at the rate of 40 cents for each whole $1.00 of

 

remuneration earned or received during that week. Beginning October

 

1, 2015, an An eligible individual's weekly benefit rate is reduced

 

at the rate of 50 cents for each whole $1.00 of remuneration in

 

which the eligible individual earns or receives remuneration in

 

that benefit week. The weekly benefit rate is not reduced under

 

this subdivision for remuneration received for on-call or training

 

services as a volunteer firefighter, if the volunteer firefighter

 

receives less than $10,000.00 in a calendar year for services as a

 

volunteer firefighter.


     (3) An individual who receives or earns partial remuneration

 

may not receive a total of benefits and earnings that exceeds 1-3/5

 

times his or her weekly benefit amount. For each dollar of total

 

benefits and earnings that exceeds 1-3/5 times the individual's

 

weekly benefit amount, benefits are reduced by $1.00. Beginning

 

October 1, 2015, the The total benefits and earnings for an

 

individual who receives or earns partial remuneration may not

 

exceed 1-1/2 times his or her weekly benefit amount. The

 

individual's benefits are reduced by $1.00 for each dollar by which

 

the total benefits and earnings exceed 1-1/2 times the individual's

 

weekly benefit amount.

 

     (4) If the reduction in a claimant's benefit rate for a week

 

in accordance with subdivision (2) or (3) results in a benefit rate

 

greater than zero for that week, the claimant's balance of weeks of

 

benefit payments is reduced by 1 week.

 

     (5) All remuneration for work performed during a shift that

 

terminates on 1 one day but that began on the preceding day is

 

considered to have been earned by the eligible individual on the

 

preceding day.

 

     (6) The unemployment agency shall report annually to the

 

legislature the following information with regard to subdivisions

 

(2) and (3):

 

     (a) The number of individuals whose weekly benefit rate was

 

reduced at the rate of 40 or 50 cents for each whole $1.00 of

 

remuneration earned or received over the immediately preceding

 

calendar year.

 

     (b) The number of individuals who received or earned partial


remuneration at or exceeding the applicable limit of 1-1/2 or 1-3/5

 

times their weekly benefit amount prescribed in subdivision (3) for

 

any 1 or more weeks during the immediately preceding calendar year.

 

     (7) The unemployment agency shall not use prorated quarterly

 

wages to establish a reduction in benefits under this subsection.

 

     (d) Subject to subsection (f) and this subsection, the maximum

 

benefit amount payable to an individual in a benefit year for

 

purposes of this section and section 20(d) is the number of weeks

 

of benefits payable to an individual during the benefit year,

 

multiplied by the individual's weekly benefit rate. The number of

 

weeks of benefits payable to an individual shall be is calculated

 

by taking 43% of the individual's base period wages and dividing

 

the result by the individual's weekly benefit rate. If the quotient

 

is not a whole or half number, the result is rounded down to the

 

nearest half number. However, for each eligible individual filing

 

an initial claim before January 15, 2012, not more than 26 weeks of

 

benefits or less than 14 weeks of benefits are payable to an

 

individual in a benefit year. For each eligible individual filing

 

an initial claim on or after January 15, 2012, not more than 20

 

weeks of benefits or less than 14 weeks of benefits are payable to

 

an individual in a benefit year. The limitation of total benefits

 

set forth in this subsection does not apply to claimants declared

 

eligible for training benefits in accordance with pursuant to

 

subsection (g).

 

     (e) When a claimant dies or is judicially declared insane or

 

mentally incompetent, unemployment compensation benefits accrued

 

and payable to that person the individual for weeks of unemployment


before death, insanity, or incompetency, but not paid, become due

 

and payable to the person who is the legal heir or guardian of the

 

claimant or to any other person found by the commission

 

unemployment agency to be equitably entitled to the benefits by

 

reason of having incurred expense in behalf of the claimant for the

 

claimant's burial or other necessary expenses.

 

     (f)(1) For benefit years beginning before October 1, 2000, and

 

notwithstanding any inconsistent provisions of this act, the weekly

 

benefit rate of each individual who is receiving or will receive a

 

"retirement benefit", as defined in subdivision (4), is adjusted as

 

provided in subparagraphs (a), (b), and (c). However, an

 

individual's extended benefit account and an individual's weekly

 

extended benefit rate under section 64 is established without

 

reduction under this subsection unless subdivision (5) is in

 

effect. Except as otherwise provided in this subsection, all other

 

provisions of this act continue to apply in connection with the

 

benefit claims of those retired persons.individuals.

 

     (a) If and to the extent that unemployment benefits payable

 

under this act would be chargeable to an employer who has

 

contributed to the financing of a retirement plan under which the

 

claimant is receiving or will receive a retirement benefit yielding

 

a pro rata weekly amount equal to or larger than the claimant's

 

weekly benefit rate as otherwise established under this act, the

 

claimant must not receive unemployment benefits that would be

 

chargeable to the employer under this act.

 

     (b) If and to the extent that unemployment benefits payable

 

under this act would be chargeable to an employer who has


contributed to the financing of a retirement plan under which the

 

claimant is receiving or will receive a retirement benefit yielding

 

a pro rata weekly amount less than the claimant's weekly benefit

 

rate as otherwise established under this act, then the weekly

 

benefit rate otherwise payable to the claimant and chargeable to

 

the employer under this act is reduced by an amount equal to the

 

pro rata weekly amount, adjusted to the next lower multiple of

 

$1.00, which the claimant is receiving or will receive as a

 

retirement benefit.

 

     (c) If the unemployment benefit payable under this act would

 

be chargeable to an employer who has not contributed to the

 

financing of a retirement plan under which the claimant is

 

receiving or will receive a retirement benefit, then the weekly

 

benefit rate of the claimant as otherwise established under this

 

act is not reduced due to receipt of because the claimant is

 

receiving or will receive a retirement benefit.

 

     (d) If the unemployment benefit payable under this act is

 

computed on the basis of multiemployer credit weeks and a portion

 

of the benefit is allocable under section 20(e) to an employer who

 

has contributed to the financing of a retirement plan under which

 

the claimant is receiving or will receive a retirement benefit, the

 

adjustments required by subparagraph (a) or (b) apply only to that

 

portion of the weekly benefit rate that would otherwise be

 

allocable and chargeable to the employer.

 

     (2) If an individual's weekly benefit rate under this act was

 

established before the period for which the individual first

 

receives a retirement benefit, any benefits received after a


retirement benefit becomes payable must be determined in accordance

 

with the formula stated in this subsection.

 

     (3) When necessary to assure prompt payment of benefits, the

 

commission unemployment agency shall determine the pro rata weekly

 

amount yielded by an individual's retirement benefit based on the

 

best information currently available to it. In the absence of

 

fraud, a determination must not be reconsidered unless it is

 

established that the individual's actual retirement benefit in fact

 

differs from the amount determined by $2.00 or more per week. The

 

reconsideration applies only to benefits that may be claimed after

 

the information on which the reconsideration is based was received

 

by the commission.unemployment agency.

 

     (4)(a) As used in this subsection, "retirement benefit" means

 

a benefit, annuity, or pension of any type or that a part thereof

 

that is as described in subparagraph (b) that is both:

 

     (i) Provided as an incident of employment under an established

 

retirement plan, policy, or agreement, including federal social

 

security if subdivision (5) is in effect.

 

     (ii) Payable to an individual because the individual has

 

qualified on the basis of attained age, length of service, or

 

disability, whether or not the individual retired or was retired

 

from employment. Amounts paid to individuals in the course of

 

liquidation of a private pension or retirement fund because of

 

termination of the business or of a plant or department of the

 

business of the employer involved are not retirement benefits.

 

     (b) If a benefit as described in subparagraph (a) is payable

 

or paid to the an individual under a plan to which the individual


has contributed, the benefit is treated as follows:

 

     (i) Less If the individual has contributed less than 1/2 of

 

the cost of the benefit, then only 1/2 of the benefit is treated as

 

a retirement benefit.

 

     (ii) One-half If the individual has contributed 1/2 or more of

 

the cost of the benefit, then none of the benefit is treated as a

 

retirement benefit.

 

     (c) The burden of establishing the extent of an individual's

 

contribution to the cost of his or her retirement benefit for the

 

purpose of subparagraph (b) is upon the employer who has

 

contributed to the plan under which a benefit is provided.

 

     (5) Notwithstanding any other provision of this subsection,

 

for any week that begins after March 31, 1980 , and with respect to

 

for which an individual is receiving a governmental or other

 

pension and claiming unemployment compensation, the weekly benefit

 

amount payable to the individual for those weeks is reduced, but

 

not below zero, by the entire prorated weekly amount of any

 

governmental or other pension, retirement or retired pay, annuity,

 

or any other similar payment that is based on any previous work of

 

the individual. This reduction is made only if it is required as a

 

condition for full tax credit against the tax imposed by the

 

federal unemployment tax act, 26 USC 3301 to 3311.

 

     (6) For benefit years beginning on or after October 1, 2000,

 

notwithstanding any inconsistent provisions of this act, the weekly

 

benefit rate of each individual who is receiving or will receive a

 

retirement benefit, as defined in subdivision (4), is adjusted as

 

provided in subparagraphs (a), (b), and (c). However, an


individual's extended benefit account and an individual's weekly

 

extended benefit rate under section 64 is established without

 

reduction under this subsection, unless subdivision (5) is in

 

effect. Except as otherwise provided in this subsection, all the

 

other provisions of this act apply to the benefit claims of those

 

retired persons. individuals. However, if the reduction would

 

impair the full tax credit against the tax imposed by the federal

 

unemployment tax act, 26 USC 3301 to 3311, unemployment benefits

 

are not reduced as provided in subparagraphs (a), (b), and (c) for

 

receipt of any governmental or other pension, retirement or retired

 

pay, annuity, or other similar payment that was not includable in

 

the gross income of the individual for the taxable year in which it

 

was received because it was a part of a rollover distribution.

 

     (a) If any base period employer or chargeable employer has

 

contributed to the financing of a retirement plan under which the

 

claimant is receiving or will receive a retirement benefit yielding

 

a pro rata weekly amount equal to or larger than the claimant's

 

weekly benefit rate as otherwise established under this act, the

 

claimant is not eligible to receive unemployment benefits.

 

     (b) If any base period employer or chargeable employer has

 

contributed to the financing of a retirement plan under which the

 

claimant is receiving or will receive a retirement benefit yielding

 

a pro rata weekly amount less than the claimant's weekly benefit

 

rate as otherwise established under this act, then the weekly

 

benefit rate otherwise payable to the claimant is reduced by an

 

amount equal to the pro rata weekly amount, adjusted to the next

 

lower multiple of $1.00, which that the claimant is receiving or


will receive as a retirement benefit.

 

     (c) If no base period employer or separating employer has

 

contributed to the financing of a retirement plan under which the

 

claimant is receiving or will receive a retirement benefit, then

 

the weekly benefit rate of the claimant as otherwise established

 

under this act shall is not be reduced due to receipt of because

 

the claimant is receiving or will receive a retirement benefit.

 

     (g) Notwithstanding any other provision of this act, an

 

individual pursuing vocational training or retraining pursuant to

 

section 28(2) who has exhausted all benefits available under

 

subsection (d) may be paid for each week of approved vocational

 

training pursued beyond the date of exhaustion of a benefit amount

 

in accordance with pursuant to subsection (c), but not in excess of

 

the individual's most recent weekly benefit rate. However, an

 

individual must not be paid training benefits totaling more than 18

 

times the individual's most recent weekly benefit rate. The

 

expiration or termination of a benefit year does not stop or

 

interrupt payment of training benefits if the training for which

 

the benefits were granted began before expiration or termination of

 

the benefit year.

 

     (h) A payment of accrued unemployment benefits is not payable

 

to an eligible individual or in behalf of that the individual as

 

provided in subsection (e) more than 6 years after the ending date

 

of the benefit year covering the payment or 2 calendar years after

 

the calendar year in which there is final disposition of a

 

contested case, whichever is later.

 

     (i) Benefits based on service in employment described in


section 42(8), (9), and (10) are payable in the same amount, on the

 

same terms, and subject to the same conditions as compensation

 

payable on the basis of other service subject to this act, except

 

that the following apply:

 

     (1) With respect to For service performed in an instructional,

 

research, or principal administrative capacity for an institution

 

of higher education as defined in section 53(2), or for an

 

educational institution other than an institution of higher

 

education as defined in section 53(3), benefits are not payable to

 

an individual based on those services for any week of unemployment

 

beginning after December 31, 1977 that commences during the period

 

between 2 successive academic years or during a similar period

 

between 2 regular terms, whether or not successive, or during a

 

period of paid sabbatical leave provided for in the individual's

 

contract, to an individual if the individual performs the service

 

in the first of the academic years or terms and if there is a

 

contract or a reasonable assurance that the individual will perform

 

service in an instructional, research, or principal administrative

 

capacity for an institution of higher education or an educational

 

institution other than an institution of higher education in the

 

second of the academic years or terms, whether or not the terms are

 

successive.

 

     (2) With respect to For service performed in other than an

 

instructional, research, or principal administrative capacity for

 

an institution of higher education as defined in section 53(2) or

 

for an educational institution other than an institution of higher

 

education as defined in section 53(3), benefits are not payable


based on those services for any week of unemployment beginning

 

after December 31, 1977 that commences during the period between 2

 

successive academic years or terms to any individual if that the

 

individual performs the service in the first of the academic years

 

or terms and if there is a reasonable assurance that the individual

 

will perform the service for an institution of higher education or

 

an educational institution other than an institution of higher

 

education in the second of the academic years or terms.

 

     (3) With respect to For any service described in subdivision

 

(1) or (2), benefits are not payable to an individual based upon on

 

service for any week of unemployment that commences during an

 

established and customary vacation period or holiday recess if the

 

individual performs the service in the period immediately before

 

the vacation period or holiday recess and there is a contract or

 

reasonable assurance that the individual will perform the service

 

in the period immediately following the vacation period or holiday

 

recess.

 

     (4) If benefits are denied to an individual for any week

 

solely as a result of subdivision (2) and the individual was not

 

offered an opportunity to perform in the second academic year or

 

term the service for which reasonable assurance had been given, the

 

individual is entitled to a retroactive payment of benefits for

 

each week for which the individual had previously filed a timely

 

claim for benefits. An individual entitled to benefits under this

 

subdivision may apply for those benefits by mail in accordance with

 

R 421.210 of the Michigan Administrative Code as promulgated by the

 

commission.unemployment agency.


     (5) Benefits The unemployment agency shall not deny benefits

 

that are based upon on services in other than an instructional,

 

research, or principal administrative capacity for an institution

 

of higher education are not denied for any week of unemployment

 

commencing during the period between 2 successive academic years or

 

terms solely because the individual had performed the service in

 

the first of the academic years or terms and there is reasonable

 

assurance that the individual will perform the service for an

 

institution of higher education or an educational institution other

 

than an institution of higher education in the second of the

 

academic years or terms, unless a denial is required as a condition

 

for full tax credit against the tax imposed by the federal

 

unemployment tax act, 26 USC 3301 to 3311.

 

     (6) For benefit years established before October 1, 2000, and

 

notwithstanding subdivisions (1), (2), and (3), the denial of

 

benefits does not prevent an individual from completing

 

requalifying weeks in accordance with section 29(3) nor does the

 

denial prevent an individual from receiving benefits based on

 

service with an employer other than an educational institution for

 

any week of unemployment occurring between academic years or terms,

 

whether or not successive, or during an established and customary

 

vacation period or holiday recess, even though the employer is not

 

the most recent chargeable employer in the individual's base

 

period. However, in that case, section 20(b) applies to the

 

sequence of benefit charging, except for the employment with the

 

educational institution. , and section 50(b) applies to the

 

calculation of credit weeks. When a denial of benefits under


subdivision (1) no longer applies, benefits are charged in

 

accordance with the normal sequence of charging as provided in

 

section 20(b).

 

     (7) For benefit years beginning on or after October 1, 2000,

 

and notwithstanding subdivisions (1), (2), and (3), the denial of

 

benefits does not prevent an individual from completing

 

requalifying weeks in accordance with section 29(3) and does not

 

prevent an individual from receiving benefits based on service with

 

another base period employer other than an educational institution

 

for any week of unemployment occurring between academic years or

 

terms, whether or not successive, or during an established and

 

customary vacation period or holiday recess. However, if benefits

 

are paid based on service with 1 or more base period employers

 

other than an educational institution, the individual's weekly

 

benefit rate is calculated in accordance with subsection (b)(1) but

 

during the denial period the individual's weekly benefit payment is

 

reduced by the portion of the payment attributable to base period

 

wages paid by an educational institution and the account or

 

experience account of the educational institution is not charged

 

for benefits payable to the individual. When a denial of benefits

 

under subdivision (1) is no longer applicable, benefits are paid

 

and charged on the basis of base period wages with each of the base

 

period employers including the educational institution.

 

     (8) For the purposes of this subsection, "academic year" means

 

that period, as defined by the educational institution, when

 

classes are in session for that length of time required for

 

students to receive sufficient instruction or earn sufficient


credit to complete academic requirements for a particular grade

 

level or to complete instruction in a noncredit course.

 

     (9) In accordance with subdivisions (1), (2), and (3),

 

benefits for any week of unemployment are denied to an individual

 

who performed services described in subdivision (1), (2), or (3) in

 

an educational institution while in the employ of an educational

 

service agency. For the purpose of this subdivision, "educational

 

service agency" means a governmental agency or governmental entity

 

that is established and operated exclusively for the purpose of

 

providing the services to 1 or more educational institutions.

 

     (j) Benefits are not payable to an individual on the basis of

 

any base period services, substantially all of which consist of

 

participating in sports or athletic events or training or preparing

 

to participate, for a week that commences during the period between

 

2 successive sport seasons or similar periods if the individual

 

performed the services in the first of the seasons or similar

 

periods and there is a reasonable assurance that the individual

 

will perform the services in the later of the seasons or similar

 

periods.

 

     (k)(1) Benefits are not payable on the basis of services

 

performed by an alien unless the alien is an individual who was

 

lawfully admitted for permanent residence at the time the services

 

were performed, was lawfully present for the purpose of performing

 

the services, or was permanently residing in the United States

 

under color of law at the time the services were performed,

 

including an alien who was lawfully present in the United States

 

under section 212(d)(5) of the immigration and nationality act, 8


USC 1182.

 

     (2) Any data or information required of individuals applying

 

for benefits to determine whether benefits are payable because of

 

their alien status are uniformly required from all applicants for

 

benefits.

 

     (3) If an individual's application for benefits would

 

otherwise be approved, a determination that benefits to that the

 

individual are not payable because of the individual's alien status

 

must not be made except upon a preponderance of the evidence.

 

     (m)(1) An individual filing a new claim for unemployment

 

compensation under this act, at the time of filing the claim, shall

 

disclose whether the individual owes child support obligations as

 

defined in this subsection. If an individual discloses that he or

 

she owes child support obligations and is determined to be eligible

 

for unemployment compensation, the unemployment agency shall notify

 

the state or local child support enforcement agency enforcing the

 

obligation that the individual has been determined to be eligible

 

for unemployment compensation.

 

     (2) Notwithstanding section 30, the unemployment agency shall

 

deduct and withhold from any unemployment compensation payable to

 

an individual who owes child support obligations by using whichever

 

of the following methods results in the greatest amount:

 

     (a) The amount, if any, specified by the individual to be

 

deducted and withheld under this subdivision.

 

     (b) The amount, if any, determined pursuant to an agreement

 

submitted to the commission unemployment agency under 42 USC

 

654(19)(B)(i), by the state or local child support enforcement


agency.

 

     (c) Any amount otherwise required to be deducted and withheld

 

from unemployment compensation by legal process, as that term is

 

defined in 42 USC 659(i)(5), properly served upon the

 

commission.unemployment agency.

 

     (3) The amount of unemployment compensation subject to

 

deduction under subdivision (2) is that portion that remains

 

payable to the individual after application of the recoupment

 

recovery provisions of section 62(a) and the reduction provisions

 

of subsections (c) and (f).

 

     (4) The unemployment agency shall pay any amount deducted and

 

withheld under subdivision (2) to the appropriate state or local

 

child support enforcement agency.

 

     (5) Any amount deducted and withheld under subdivision (2) is

 

treated for all purposes as if it were paid to the individual as

 

unemployment compensation and paid by the individual to the state

 

or local child support enforcement agency in satisfaction of the

 

individual's child support obligations.

 

     (6) Provisions concerning deductions under this subsection

 

apply only if the state or local child support enforcement agency

 

agrees in writing to reimburse and does reimburse the unemployment

 

agency for the administrative costs incurred by the unemployment

 

agency under this subsection that are attributable to child support

 

obligations being enforced by the state or local child support

 

enforcement agency. The administrative costs incurred are

 

determined by the unemployment agency. The unemployment agency, in

 

its discretion, may require payment of administrative costs in


advance.

 

     (7) As used in this subsection:

 

     (a) "Unemployment compensation", for purposes of subdivisions

 

(1) to (5), means any compensation payable under this act,

 

including amounts payable by the unemployment agency pursuant to an

 

agreement under any federal law providing for compensation,

 

assistance, or allowances with respect to unemployment.

 

     (b) "Child support obligations" includes means only

 

obligations that are being enforced pursuant to a plan described in

 

42 USC 654 that has been approved by the Secretary of Health and

 

Human Services under 42 USC 651 to 669b.

 

     (c) "State or local child support enforcement agency" means

 

any agency of this state or a political subdivision of this state

 

operating pursuant to a plan described in subparagraph (b).

 

     (n) Subsection (i)(2) applies to services performed by school

 

bus drivers employed by a private contributing employer holding a

 

contractual relationship with an educational institution, but only

 

if at least 75% of the individual's base period wages with that

 

employer are attributable to services performed as a school bus

 

driver. Subsection (i)(1) and (2) but not subsection (i)(3) applies

 

to other services described in those subdivisions that are

 

performed by any employees under an employer's contract with an

 

educational institution or an educational service agency.

 

     (o)(1) For weeks of unemployment beginning after July 1, 1996,

 

unemployment Unemployment benefits based on services by a seasonal

 

worker performed in seasonal employment are payable only for weeks

 

of unemployment that occur during the normal seasonal work period.


Benefits are not payable based on services performed in seasonal

 

employment for any week of unemployment beginning after March 28,

 

1996 that begins during the period between 2 successive normal

 

seasonal work periods to any individual if that the individual

 

performs the service in the first of the normal seasonal work

 

periods and if there is a reasonable assurance that the individual

 

will perform the service for a seasonal employer in the second of

 

the normal seasonal work periods. If benefits are denied to an

 

individual for any week solely as a result of this subsection and

 

the individual is not offered an opportunity to perform in the

 

second normal seasonal work period for which reasonable assurance

 

of employment had been given, the individual is entitled to a

 

retroactive payment of benefits under this subsection for each week

 

that the individual previously filed a timely claim for benefits.

 

An individual may apply for any retroactive benefits under this

 

subsection in accordance with pursuant to R 421.210 of the Michigan

 

Administrative Code.

 

     (2) Not less than 20 days before the estimated beginning date

 

of a normal seasonal work period, an employer may apply to the

 

commission unemployment agency in writing for designation as a

 

seasonal employer. At the time of application, the employer shall

 

conspicuously display a copy of the application on the employer's

 

premises. Within 90 days after receipt of the application, the

 

commission unemployment agency shall determine if the employer is a

 

seasonal employer. A determination or redetermination of the

 

commission unemployment agency concerning the status of an employer

 

as a seasonal employer, or a decision of an administrative law


judge, the Michigan compensation appellate commission, or the

 

courts of this state concerning the status of an employer as a

 

seasonal employer, which that has become final, together with the

 

record, thereof, may be introduced in any proceeding involving a

 

claim for benefits, and the facts found and decision issued in the

 

determination, redetermination, or decision is are conclusive

 

unless substantial evidence to the contrary is introduced by or on

 

behalf of the claimant.

 

     (3) If the employer is determined to be unemployment agency

 

determines that an employer is a seasonal employer, the employer

 

shall conspicuously display on its premises a notice of that

 

includes the determination, and the beginning and ending dates of

 

the employer's normal seasonal work periods, . The commission shall

 

furnish the notice. The notice must additionally specify and a

 

statement that an employee must timely apply for unemployment

 

benefits at the end of a first seasonal work period to preserve his

 

or her right to receive retroactive unemployment benefits if he or

 

she is not reemployed by the seasonal employer in the second of the

 

normal seasonal work periods. The unemployment agency shall provide

 

the notice to the employer.

 

     (4) The commission unemployment agency may issue a

 

determination terminating an employer's status as a seasonal

 

employer on the commission's unemployment agency's own motion for

 

good cause, or upon the written request of the employer. A

 

termination determination under this subdivision terminates an

 

employer's status as a seasonal employer, and becomes effective on

 

the beginning date of the normal seasonal work period that would


have immediately followed the date the commission unemployment

 

agency issues the determination. A determination under this

 

subdivision is subject to review in the same manner and to the same

 

extent as any other determination under this act.

 

     (5) An employer whose status as a seasonal employer is

 

terminated under subdivision (4) may not reapply for a seasonal

 

employer status determination until after a regularly recurring

 

normal seasonal work period has begun and ended.

 

     (6) If a seasonal employer informs an employee who received

 

assurance of being rehired that, despite the assurance, the

 

employee will not be rehired at the beginning of the employer's

 

next normal seasonal work period, this subsection does not prevent

 

the employee from receiving unemployment benefits in the same

 

manner and to the same extent he or she would receive benefits

 

under this act from an employer who has not been determined to be a

 

seasonal employer.

 

     (7) A successor of a seasonal employer is considered to be a

 

seasonal employer unless the successor provides the commission,

 

unemployment agency, within 120 days after the transfer, with a

 

written request for termination of its status as a seasonal

 

employer in accordance with pursuant to subdivision (4).

 

     (8) At the time an employee is hired by a seasonal employer,

 

the employer shall notify the employee in writing if the employee

 

will be a seasonal worker. The employer shall provide the worker

 

with written notice of any subsequent change in the employee's

 

status as a seasonal worker. If an employee of a seasonal employer

 

is denied benefits because that employee is a seasonal worker, the


employee may contest that designation in accordance with section

 

32a.

 

     (9) As used in this subsection:

 

     (a) "Construction industry" means the work activity designated

 

in sector group 23 - construction of the North American

 

classification system - United States Office of Management and

 

Budget, 1997 edition.

 

     (b) "Normal seasonal work period" means that period or those

 

periods of time determined under rules promulgated by the

 

unemployment agency during which an individual is employed in

 

seasonal employment.

 

     (c) "Seasonal employment" means the employment of 1 or more

 

individuals primarily hired to perform services during regularly

 

recurring periods of 26 weeks or less in any 52-week period other

 

than services in the construction industry.

 

     (d) "Seasonal employer" means an employer, other than an

 

employer in the construction industry, who applies to the

 

unemployment agency for designation as a seasonal employer and who

 

the unemployment agency determines is an employer whose operations

 

and business require employees engaged in seasonal employment. A

 

seasonal employer designation under this act need not correspond to

 

a category assigned under the North American classification system

 

— United States Office of Management and Budget.

 

     (e) "Seasonal worker" means a worker who has been paid wages

 

by a seasonal employer for work performed only during the normal

 

seasonal work period.

 

     (10) This subsection does not apply if the United States


Department of Labor finds it to be contrary to the federal

 

unemployment tax act, 26 USC 3301 to 3311, or the social security

 

act, chapter 531, 49 Stat 620, and if conformity with the federal

 

law is required as a condition for full tax credit against the tax

 

imposed under the federal unemployment tax act, 26 USC 3301 to

 

3311, or as a condition for receipt by the commission unemployment

 

agency of federal administrative grant funds under the social

 

security act, chapter 531, 49 Stat 620.

 

     (p) Benefits are not payable to an individual based upon on

 

his or her services as a school crossing guard for any week of

 

unemployment that begins between 2 successive academic years or

 

terms, if that the individual performs the services of a school

 

crossing guard in the first of the academic years or terms and has

 

a reasonable assurance that he or she will perform those services

 

in the second of the academic years or terms.

 

     Enacting section 1. This amendatory act takes effect 90 days

 

after the date it is enacted into law.

feedback