Bill Summary – FastDemocracy

CERTIFICATION OF ENROLLMENT
                                HOUSE BILL 1901
                            Chapter 52, Laws of 2024
                                68th Legislature
                              2024 Regular Session
UNEMPLOYMENT INSURANCE VOLUNTARY CONTRIBUTION PROGRAM—SUNSET REMOVAL
                       EFFECTIVE DATE: June 6, 2024
 Passed by the House February 9, 2024                 CERTIFICATE
   Yeas 97 Nays 0
                                        I, Bernard Dean, Chief Clerk of the
                                        House of Representatives of the
             LAURIE JINKINS             State of Washington, do hereby
 Speaker of the House of                certify that the attached is HOUSE
 Representatives                        BILL 1901 as passed by the House of
                                        Representatives and the Senate on
                                        the dates hereon set forth.
 Passed by the Senate February 28,
 2024                                                BERNARD DEAN
   Yeas 49 Nays 0                                                   Chief Clerk
               DENNY HECK
 President of the Senate
 Approved March 13, 2024 1:50 PM                         FILED
                                                     March 14, 2024
                                                  Secretary of State
               JAY INSLEE                         State of Washington
 Governor of the State of Washington
                                HOUSE BILL 1901
                   Passed Legislature - 2024 Regular Session
     State of Washington       68th Legislature       2024 Regular Session
     By Representatives Springer, Schmidt, Berry, Ormsby, and Reeves; by
     request of Employment Security Department
     Prefiled 12/06/23. Read first time 01/08/24.    Referred to Committee
     on Labor & Workplace Standards.
 1       AN ACT Relating to removing the sunset on changes to the
 2   unemployment insurance voluntary contribution program; and amending
 3   RCW 50.29.026.
 4   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
 5       Sec. 1. RCW 50.29.026 and 2021 c 2 s 18 are each amended to read
 6   as follows:
 7       (1) ((Except as provided in subsection (3) of this section, a)) A
 8   qualified employer's contribution rate or array calculation factor
 9   rate determined under RCW 50.29.025 may be modified as follows:
10       (a) Subject to the limitations of this subsection, an employer
11   may make a voluntary contribution of an amount equal to part or all
12   of the benefits charged to the employer's account during the two
13   years most recently ended on June 30th that were used for the purpose
14   of computing the employer's contribution rate or array calculation
15   factor rate. On receiving timely payment of a voluntary contribution,
16   ((plus a surcharge of ten percent of the amount of the voluntary
17   contribution,)) the commissioner shall cancel the benefits equal to
18   the   amount   of   the  voluntary   contribution((,   excluding  the
19   surcharge,)) and compute a new benefit ratio for the employer. The
20   employer shall then be assigned the contribution rate ((applicable
21   for rate years beginning before January 1, 2005,)) or array
                                     p. 1                       HB 1901.SL
 1   calculation factor rate applicable for rate years beginning on or
 2   after January 1, 2005, applicable to the rate class within which the
 3   recomputed benefit ratio is included. The minimum amount of a
 4   voluntary contribution((, excluding the surcharge,)) must be an
 5   amount that will result in a recomputed benefit ratio that is in a
 6   rate class at least ((four)) two rate classes lower than the rate
 7   class that included the employer's original benefit ratio.
 8       (b) Payment of a voluntary contribution is considered timely if
 9   received by the department during the period beginning on the date of
10   mailing to the employer the notice of contribution rate required
11   under this title for the rate year for which the employer is seeking
12   a modification of the employer's rate and ending on ((February 15th))
13   March 31st of that rate year.
14       (c) A benefit ratio may not be recomputed nor a rate be reduced
15   under this section as a result of a voluntary contribution received
16   after the payment period prescribed in (b) of this subsection.
17       (2) ((Except as provided in subsection (3) of this section,
18   this)) This section does not apply to any employer who has not had an
19   increase of at least ((twelve)) eight rate classes from the previous
20   tax rate year.
21       (((3) From February 8, 2021, and until May 31, 2026, the
22   following applies:
23       (a) The surcharge in subsection (1)(a) of this section will not
24   be charged or used in the calculations;
25       (b) The ending payment date in subsection (1)(b) of this section
26   is March 31st;
27       (c) The minimum amount of a voluntary contribution must be an
28   amount that will result in a recomputed benefit ratio that is in a
29   rate class at least two rate classes lower than the rate class that
30   included the employer's original benefit ratio; and
31       (d) This section does not apply to any employer who has not had
32   an increase of at least eight rate classes from the previous tax rate
33   year.))
         Passed by the House February 9, 2024.
         Passed by the Senate February 28, 2024.
         Approved by the Governor March 13, 2024.
         Filed in Office of Secretary of State March 14, 2024.
                                  --- END ---
                                     p. 2                        HB 1901.SL
Statutes affected: 
Original Bill: 50.29.026
Bill as Passed Legislature: 50.29.026
Session Law: 50.29.026