HF 1243

as introduced - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to employment; lowering the special 
  1.3             assessment rate for the workforce investment fund; 
  1.4             modifying provisions governing the workforce 
  1.5             investment fund; amending Minnesota Statutes 1998, 
  1.6             sections 268.022, subdivisions 1 and 2; and 268.975, 
  1.7             subdivision 9. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Minnesota Statutes 1998, section 268.022, 
  1.10  subdivision 1, is amended to read: 
  1.11     Subdivision 1.  [DETERMINATION AND COLLECTION OF SPECIAL 
  1.12  ASSESSMENT.] (a) In addition to all other taxes, assessments, 
  1.13  and payment obligations under chapter 268, each employer, except 
  1.14  an employer making payments in lieu of taxes is liable for a 
  1.15  special assessment levied at the rate of one-tenth 1/100 of one 
  1.16  percent per year on all taxable wages, as defined in section 
  1.17  268.04, subdivision 25b.  The assessment shall become due and be 
  1.18  paid by each employer to the department on the same schedule and 
  1.19  in the same manner as other taxes. 
  1.20     (b) The special assessment levied under this section shall 
  1.21  not affect the computation of any other taxes, assessments, or 
  1.22  payment obligations due under this chapter. 
  1.23     (c) Notwithstanding any provision to the contrary, if on 
  1.24  June 30 of any year the unobligated balance of the special 
  1.25  assessment fund under this section is greater than $30,000,000 
  1.26  $20,000,000, the special assessment for the following year only 
  2.1   shall not be levied at a rate of 1/20th of one percent on all 
  2.2   taxable wages. 
  2.3      Sec. 2.  Minnesota Statutes 1998, section 268.022, 
  2.4   subdivision 2, is amended to read: 
  2.5      Subd. 2.  [DISBURSEMENT OF SPECIAL ASSESSMENT FUNDS.] (a) 
  2.6   The money collected under this section shall be deposited in the 
  2.7   state treasury and credited to a dedicated fund to provide for 
  2.8   the employment and training programs established under sections 
  2.9   268.975 to 268.98; including vocational guidance, training, 
  2.10  placement, and job development. 
  2.11     (b) All money in the dedicated fund is appropriated to the 
  2.12  commissioner who must act as the fiscal agent for the money and 
  2.13  must disburse the money for the purposes of this section, not 
  2.14  allowing the money to be used for any other obligation of the 
  2.15  state.  The commissioner shall establish a grant distribution 
  2.16  program to ensure that the money in the dedicated fund is 
  2.17  distributed to employers, private industry, business, trade 
  2.18  associations, or professional associations to develop employment 
  2.19  and training programs established under sections 268.975 to 
  2.20  268.98.  All money in the dedicated fund shall be deposited, 
  2.21  administered, and disbursed in the same manner and under the 
  2.22  same conditions and requirements as are provided by law for the 
  2.23  other dedicated funds in the state treasury, except that all 
  2.24  interest or net income resulting from the investment or deposit 
  2.25  of money in the fund shall accrue to the fund for the purposes 
  2.26  of the fund. 
  2.27     (c) No more than five percent of the dedicated funds 
  2.28  collected in each fiscal year may be used by the department of 
  2.29  economic security for its administrative costs. 
  2.30     (d) Reimbursement for costs related to collection of the 
  2.31  special assessment shall be in an amount negotiated between the 
  2.32  commissioner and the United States Department of Labor. 
  2.33     (e) The dedicated funds, less amounts under paragraphs (c) 
  2.34  and (d) shall be allocated as follows:  
  2.35     (1) 40 percent to be allocated annually to substate 
  2.36  grantees for provision of expeditious response activities under 
  3.1   section 268.9771 and worker adjustment services under section 
  3.2   268.9781; and 
  3.3      (2) 60 percent to be allocated to activities and programs 
  3.4   authorized under sections 268.975 to 268.98.  No more than 2.5 
  3.5   percent may be allocated annually for training assistance and 
  3.6   support services, as defined in section 268.975, subdivisions 12 
  3.7   and 13. 
  3.8      (f) Any funds not allocated, obligated, or expended in a 
  3.9   fiscal year shall be available for allocation, obligation, and 
  3.10  expenditure in the following fiscal year. 
  3.11     Sec. 3.  Minnesota Statutes 1998, section 268.975, 
  3.12  subdivision 9, is amended to read: 
  3.13     Subd. 9.  [SUBSTATE GRANTEE.] "Substate grantee" means 
  3.14  the agency or organization designated to administer at the local 
  3.15  level federal dislocated worker programs pursuant to the federal 
  3.16  Job Training Partnership Act, United States Code, title 29, 
  3.17  section 1501, et seq. employer, private industry, business, 
  3.18  trade association, or professional association designated to 
  3.19  develop employment and training programs established under 
  3.20  sections 268.975 to 268.98. 
  3.21     Sec. 4.  [ACCOUNTABILITY MEASURES.] 
  3.22     The commissioner of economic security shall adopt 
  3.23  accountability measures to ensure that money from the dedicated 
  3.24  fund established under Minnesota Statutes, section 268.022, 
  3.25  allocated for training assistance and support services, as 
  3.26  defined in Minnesota Statutes, section 268.975, subdivisions 12 
  3.27  and 13, is used to further the purposes of the program.  The 
  3.28  commissioner shall report to the legislature by October 1, 1999, 
  3.29  on the accountability measures and shall make the measures 
  3.30  effective by November 1, 1999. 
  3.31     Sec. 5.  [EFFECTIVE DATE.] 
  3.32     Section 4 is effective the day following final enactment.