Montana Code 39-51-408. Advances from federal unemployment trust fund
39-51-408. Advances from federal unemployment trust fund. (1) The department is authorized to apply for advances on behalf of the state of Montana from its account in the federal unemployment trust fund and to accept responsibility for repayment of any advances in accordance with the conditions specified in section 1201 of the Social Security Act, 42 U.S.C. § 1321.
Terms Used In Montana Code 39-51-408
- Benefits: means the money payments payable to an individual, as provided in this chapter, with respect to the individual's unemployment. See Montana Code 39-51-201
- Contributions: means the money payments to the state unemployment insurance fund required by this chapter but does not include assessments under 39-51-404. See Montana Code 39-51-201
- Department: means the department of labor and industry provided for in Title 2, chapter 15, part 17. See Montana Code 39-51-201
- Fund: means the unemployment insurance fund established by this chapter to which all contributions and payments in lieu of contributions must be paid and from which all benefits provided under this chapter must be paid. See Montana Code 39-51-201
- State: includes , in addition to the states of the United States of America, the District of Columbia, Puerto Rico, the Virgin Islands, and Canada. See Montana Code 39-51-201
(2)(a) The interest cost, if any, from the advances must be assessed against employers subject to experience rating. Interest cost may not be assessed against state or local government employers covered by 39-51-1212 or against nonprofit organizations making payments in lieu of contributions pursuant to 39-51-1124.
(b)An assessment must be made beginning with the calendar year following the calendar year in which it became necessary to apply for an advance from the federal unemployment trust fund and after the interest charges on the advance have been determined. The rate must be determined by the department based upon the interest charges. This rate must be applied to the employer’s taxable wages and be submitted in the same manner as regular contributions but as a separate payment.
(c)The amount received must be deposited in the unemployment insurance account and used to pay interest costs. Any surplus must be used to pay benefits. The department shall maintain separate records of deposits, obligations, and expenditures of all money collected pursuant to this section.