HB 765 -- UNEMPLOYMENT AUTOMATION FUND

SPONSOR: Andrews

COMMITTEE ACTION: Voted "Do Pass" by the Special Committee on Small Business by a vote of 17 to 0. Voted "Do Pass" by the Standing Committee on Rules- Legislative Oversight by a vote of 8 to 1 with 2 voting Present.

This bill specifies a new percentage and cap amount for employer contributions to the unemployment automation surcharge account. There will be a fifteen-thousandths of one percent of an employer's total taxable wages surcharge for the 12 month period preceding June 30th surcharge for specified employers. The total amount due shall not exceed $5 million and the rate may be adjusted in accordance with this maximum cap. Notice rules, collection practices, and certain adjustments are specified in the bill.

PROPONENTS: Supporters say that this bill will pay for the maintenance of the automated system for the states unemployment insurance program. The new automated system that was put into place has easily handled unemployment claims especially last year with COVID when claims went from 25,000 to over 400,000 in a week. This bill will help to keep the system up and running and is needed.

Testifying for the bill were Representative Andrews; Arnie Dienoff; National Federation of Independent Business (NFIB); Missouri Chamber of Commerce and Industry; and Ben Terrell, Missouri Department of Labor and Industrial Relations.

OPPONENTS: There was no opposition voiced to the committee.

Written testimony has been submitted for this bill. The full written testimony can be found under Testimony on the bill page on the House website.

Statutes affected:
Introduced (1433H.01): 288.132, 288.133