Under current law, revenue from an assessment on employers' unemployment insurance premiums, not to exceed $10 million per year and not to exceed cumulative revenue of $100 million, is allocated to the employment and training technology fund (technology fund) in the division of unemployment insurance (division) in the department of labor and employment to fund employment and training automation initiatives established by the director of the division. Any amount of revenues from the assessment that exceeds the $10 million annual cap or the $100 million cumulative revenue cap is allocated to the unemployment compensation fund. Additionally, if the balance in the unemployment compensation fund falls below $100 million, the balance in the technology fund is allocated to the unemployment compensation fund.
- Eliminates the allocation of the technology fund balance to the unemployment compensation fund when the unemployment compensation fund balance falls below $100 million;
- Eliminates the $10 million cap on annual allocations to the technology fund and adds a new $7 million annual cap starting July 1, 2023;
- Adds a cap of $31 million on cumulative revenue to the technology fund until June 30, 2023;
- Transfers any amounts credited to and remaining in the technology fund between July 1, 2020, and the effective date of the act to the unemployment compensation fund; and
- Repeals the assessment for the technology fund on June 30, 2031.
(Note: This summary applies to this bill as enacted.)