Kansas Statutes 44-710d. Governmental entities; election, mode of payment; rated governmental employer; rate computation; notice
(a) Governmental entities described in subsection (h)(3) of Kan. Stat. Ann. §§ 44-703 and amendments thereto may elect to finance benefit payments as (1) a contributing employer, (2) a reimbursing employer or (3) a rated governmental employer.
(b) Any governmental entity identified in this section may elect to become a rated governmental employer for a period encompassing not less than four complete calendar years if such employer files with the secretary a written notice of such election within the thirty-day period immediately following January 1 of any calendar year or within a like period immediately following the date on which a determination of subjectivity to this act is issued, whichever occurs later.
Terms Used In Kansas Statutes 44-710d
- Benefit cost payments: means payments made to the employment security fund by a governmental entity electing to become a rated governmental employer. See Kansas Statutes 44-703
- Benefits: means the money payments payable to an individual, as provided in this act, with respect to such individual's unemployment. See Kansas Statutes 44-703
- Calendar quarter: means the period of three consecutive calendar months ending March 31, June 30, September 30 or December 31, or the equivalent thereof as the secretary may by rules and regulations prescribe. See Kansas Statutes 44-703
- Contributing employer: means any employer other than a reimbursing employer or rated governmental employer. See Kansas Statutes 44-703
- Employer: means :
(1) (A) Any employing unit for which agricultural labor as defined in subsection (w) is performed and during any calendar quarter in either the current or preceding calendar year paid remuneration in cash of $20,000 or more to individuals employed in agricultural labor or for some portion of a day in each of 20 different calendar weeks, whether or not such weeks were consecutive, in either the current or the preceding calendar year, employed in agricultural labor 10 or more individuals, regardless of whether they were employed at the same moment of time. See Kansas Statutes 44-703
- Employing unit: means any individual or type of organization, including any partnership, association, limited liability company, agency or department of the state of Kansas and political subdivisions thereof, trust, estate, joint-stock company, insurance company or corporation, whether domestic or foreign including nonprofit corporations, or the receiver, trustee in bankruptcy, trustee or successor thereof, or the legal representatives of a deceased person, that has in its employ one or more individuals performing services for it within this state. See Kansas Statutes 44-703
- employment: includes services described in paragraphs (i) and (ii) above only if:
(a) The contract of service contemplates that substantially all of the services are to be performed personally by such individual;
(b) the individual does not have a substantial investment in facilities used in connection with the performance of the services, other than in facilities for transportation; and
(c) the services are not in the nature of a single transaction that is not part of a continuing relationship with the person for whom the services are performed. See Kansas Statutes 44-703
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
- Predecessor employer: means an employer, as described in subsection (h), who has previously operated a business or portion of a business with employment to which another employer has succeeded. See Kansas Statutes 44-703
- Rated governmental employer: means any governmental entity that elects to make payments as provided by Kan. See Kansas Statutes 44-703
- Reimbursing employer: means any employer who makes payments in lieu of contributions to the employment security fund as provided in Kan. See Kansas Statutes 44-703
- secretary: means the secretary of labor. See Kansas Statutes 44-703
- Total wages: means the total amount of wages paid or payable by an employer during the calendar year, including that part of remuneration in excess of the limitation prescribed as provided in subsection (o)(1). See Kansas Statutes 44-703
- Wages: means all compensation for services, including commissions, bonuses, back pay and the cash value of all remuneration, including benefits, paid in any medium other than cash. See Kansas Statutes 44-703
(c) Any employer electing to become a rated governmental employer shall continue to be liable as a rated governmental employer until such employer files with the secretary a written notice terminating its election and not later than 30 days prior to the beginning of the calendar year for which such termination shall first be effective.
(d) A rated governmental employer shall report and make benefit cost payments based upon total wages paid during each calendar quarter.
(e) No rated governmental employer shall be eligible for a rate computed under subsection (g) of this section until there have been 24 consecutive calendar months immediately preceding the computation date throughout which benefits could have been charged against such employer’s account.
(f) Each employer who has not been subject to this act for a sufficient period of time to have a rate computed under this subsection shall make quarterly payments at a calendar year rate expressed as a percentage of total wages and shall be the same for all rated governmental employers not eligible for a computed rate. The rate for rated governmental employers not eligible for a computed rate will be based upon the actual cost experience (benefits paid divided by total wages) of all rated governmental employers during the prior fiscal year ending March 31.
(g) Rated governmental employers eligible for a rate computation shall make quarterly payments at a calendar year rate determined by the experience of all rated governmental employers and the individual employer’s experience. The rate shall be computed by the following method:
(1) An adjustment factor rounded to two decimal places shall be computed for all rated governmental employers by dividing total benefits paid by total benefits charged, reported by all rated governmental employers for the preceding fiscal year ending March 31;
(2) An experience factor, stated as a percent rounded to two decimal places, shall be computed for each eligible rated governmental employer by dividing benefits charged to such employer’s account for the preceding fiscal year ending March 31, by the average of such employer’s total wages reported for the two preceding fiscal years ending March 31;
(3) Benefit cost rates to be effective for the ensuing calendar year shall be computed by multiplying the experience factor determined in paragraph (2) of this subsection, by the adjustment factor determined in paragraph (1) of this subsection, rounding to the nearest .01%, except that no rated governmental employer’s rate for any calendar year will be less than .1%.
(h) Whenever any governmental entity which acquires or in any manner succeeds to all the employment of another governmental entity and both the predecessor and successor have selected the same payment option, the successor shall acquire the experience rating account factors of the predecessor employer. Contributing employer‘s experience rating account factors consist of the actual contribution and benefit experience and annual payrolls while the rated governmental employer’s experience rating account factors consist of the actual benefit experience and annual payrolls. If the successor employing unit was an employer subject to this act prior to the date of acquisition, the contribution rate or benefit cost rate for the period from such date to the end of the then current calendar year shall be the same as the rate with respect to the period immediately preceding the date of acquisition. If the successor was not an employer prior to the date of acquisition, the rate shall be the rate applicable to the predecessor employer or employers with respect to the period immediately preceding the date of acquisition provided there was only one predecessor or there were only predecessors with identical rates. In the event that the predecessors’ rates are not identical, the successor’s rate shall be a newly computed rate based upon the combined experience of the predecessors as of the computation date immediately preceding the date of acquisition.
(i) Benefit payments shall be charged to the account of each rated governmental employer in accordance with subsection (c) of Kan. Stat. Ann. §§ 44-710 and amendments thereto.
(j) The secretary shall promptly notify each rated governmental employer of such employer’s rate for the calendar year, which will become final unless an application for review and redetermination is filed in accordance with subsection (b) of Kan. Stat. Ann. §§ 44-710 and amendments thereto.
(k) Rated governmental employers shall make benefit cost payments each calendar quarter. Payments shall be computed by multiplying total wages by the benefit cost rate. Payment of benefit cost payments for any calendar quarter which amounts to less than $1 shall not be required.