341.530 Employer reserve accounts -- Reimbursing employer accounts -- Relief for
1,249 words·~6 min read·
/ky/341-530A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
improper benefit payments -- Charging of benefits -- Voluntary payments --
Payments of benefits related to state of emergency or disaster declaration.
(1)The Office of Unemployment Insurance shall maintain a reserve account for each
subject employer making contributions to the fund and a reimbursing employer
account for each subject employer making payment in lieu of contributions, and
shall, except as provided in KRS 341.590, credit to such account the total amount of
all contributions or benefit reimbursement paid by the employer on his or her own
behalf. Nothing in this section or elsewhere in this chapter shall be construed to
grant any employer or individual who is or was in his or her employ prior claims or
rights to the amounts paid by him or her into the fund.
(2)Except as provided in subsection
(3)of this section, all regular benefits paid to an
eligible worker in accordance with KRS 341.380 plus the extended benefits paid in
accordance with KRS 341.700 to 341.740, subject to the provisions of paragraphs
(a)and
(b)of this subsection, shall be charged against the reserve account or
reimbursing employer account of his or her most recent employer. No employer
shall be deemed to be the most recent employer unless the eligible worker to whom
benefits are payable shall have worked for such employer in each of ten
(10)weeks
whether or not consecutive back to the beginning of the worker's base period.
Shared work benefits paid to an eligible worker in accordance with KRS 341.4161
to 341.4173 shall be charged against the reserve account or reimbursing employer
account of the shared work employer.
(a)Subject employers, which are not governmental entities as defined in KRS
341.069, shall be charged one-half (1/2) of the extended benefits paid in
accordance with KRS 341.700 to 341.740; and
(b)Subject employers which are governmental entities, as defined in KRS
341.069, shall be charged for all extended benefits paid in accordance with
KRS 341.700 to 341.740 for compensable weeks occurring on or after
January 1, 1979, and for one-half (1/2) of the extended benefits paid for
compensable weeks occurring prior to such date.
(3)Notwithstanding the provisions of subsection
(2)of this section, benefits paid to an
eligible worker and chargeable to a contributing employer's reserve account under
such subsection shall be charged against the pooled account if such worker was
discharged by such employer for misconduct connected with his or her most recent
work for such employer, voluntarily left his or her most recent work with such
employer without good cause attributable to the employment, or the employer has
continued to provide part-time employment and wages, without interruption, to the
same extent that was provided from the date of hire, and the employer within a
reasonable time, as prescribed by regulation of the secretary, notifies the office, in
writing, of the alleged voluntary quitting, discharge for misconduct or continuing
part-time employment; provided, however, that no employer making payments to
the fund in lieu of contributions shall be relieved of charges by reason of this
subsection.
(4)Notwithstanding the provisions of subsection
(3)of this section, no contributing
employer's reserve account shall be relieved of any charges for benefits relating to
an improper benefit payment to a worker established after October 21, 2013, if:
(a)The improper benefit payment was made because the employer, or an agent of
the employer, was at fault for failing to respond timely or adequately to the
request of the secretary for information relating to a claim for benefits; and
(b)The employer, or an agent of the employer, has a pattern of failing to respond
timely or adequately to requests under paragraph
(a)of this subsection. For
purposes of this paragraph, a "pattern of failing" means at least six
(6)failures
occur in a calendar year or the failure to respond to two percent (2%) of such
requests in a calendar year, whichever is greater.
(5)Any determination under subsection
(4)of this section shall be transmitted to the
last known physical or electronic address provided by the employer and may be
appealed in accordance with the provisions of KRS 341.420(2).
(6)Each subject employer's reserve account or reimbursing account shall, unless
terminated as of the computation date (as defined in subsection
(5)of KRS
341.270), be charged with all benefits paid to eligible workers which are chargeable
to such reserve account or reimbursing account under subsection
(2)of this section.
A subject employer's reserve account or reimbursing account shall be deemed to be
terminated if he or she has ceased to be subject to this chapter, and his or her
account has been closed and any balance remaining therein has been transferred to
the fund's pooled account or to a successor's account as provided in KRS 341.540 or
has been refunded if the employer is a reimbursing employer.
(7)Notwithstanding subsection
(1)of this section, two
(2)or more nonprofit Internal
Revenue Code sec. 501(c)(3) organizations may jointly request the secretary to
establish a group reserve account or reimbursing account for such nonprofit
organizations. Two
(2)or more governmental entities may jointly request the
secretary to establish a group reserve account or reimbursing account, and once
established, such account shall remain in effect at least two
(2)calendar years and
thereafter until either dissolved at the discretion of the secretary or upon filing
application for dissolution by the group members. Each member of a group shall be
jointly and severally liable for all payments due under this chapter from each or all
of such group members. The secretary shall prescribe such procedures as he or she
deems necessary for the establishment, maintenance, and dissolution of a group
reserve account or reimbursing account.
(8)Any subject contributing employer may at any time on or before December 31,
2011, make voluntary payments to the fund, additional to the contributions required
under KRS 341.260 and 341.270. Effective January 1, 2012, any subject
contributing employer with a negative reserve account balance may make voluntary
payments to the fund every other calendar year, in addition to the contributions
required under KRS 341.260 and 341.270. Notwithstanding any other provision of
this chapter, contributions paid on or before the computation date and voluntary
payments made within twenty
(20)days following the mailing of notices of new
rates shall be credited to an employer's reserve account as of the computation date,
provided no voluntary payments shall be used in computing an employer's rate
unless the payment is made prior to the expiration of one hundred and twenty
days after the beginning of the year for which the rate is effective. Voluntary
payments by any employer shall not exceed any negative balance they may have in
their reserve account as of the computation date. Any employer who is delinquent
in the payment of contributions, penalties, or interest as of the computation date
shall be entitled to make voluntary payments only after the amount of the
delinquency is paid in full.
(9)Notwithstanding any other provisions of this chapter, any benefits paid to an
eligible worker for reasons related to a state or federal state of emergency or
disaster declaration shall be paid from the pooled account provided in KRS 341.550
and not from the reserve account of the employer of that individual. The reserve
account shall not be charged for benefits related to a state of emergency or disaster
declaration. Payments shall be accounted for separately to allow the secretary to
seek reimbursement from the federal government.