HCS HB 500 & 533 -- TRANSFER OF EMPLOYER ACCOUNTS (Faith)

COMMITTEE OF ORIGIN:  Workforce Development and Workplace Safety

This substitute requires that the unemployment experience rate
transfer with a business if both employers involved in the
transfer have substantially common ownership, management, or
control of the business and the transfer was made to lower the
rating.  The rate and liabilities of both employers will be
recalculated.  The rate does not transfer with the business if
the employer acquiring the business is not an employer in the
state at the time of the acquisition.

If an employer knowingly violates, attempts to violate, or
knowingly advises another in a manner that results in a violation
of the provisions relating to the determination of an
unemployment experience rate, the employer's rate will be the
greater of the maximum rate or the employer's rate plus 2% for
the current year and the following three rate years.

Out-of-state employers will be subject to a civil penalty of up
to $5,000 that will be deposited into the Special Employment
Security Fund.  A person violating any provision relating to the
unemployment experience rating is guilty of a class A misdemeanor
for the first offense and a class D felony for any subsequent
offense.

The substitute becomes effective January 1, 2006.

FISCAL NOTE:  No impact on General Revenue Fund in FY 2006, FY
2007, and FY 2008.  Estimated Income on Other State Funds of
Unknown in FY 2006, FY 2007, and FY 2008.  Expected to exceed
$100,000.

Missouri House of Representatives
93rd General Assembly, 1st Regular Session
Last Updated August 25, 2005 at 1:19 pm