15 U.S.C. § 9026: Temporary financing of…

Summary

Pays states back for short-time compensation at 100 percent of the benefits the state pays under its short-time program, but only up to limits. No reimbursements for a person’s benefits in a benefit year that go over 26 times that person’s regular weekly unemployment amount (including any dependents’ allowances). Also, no payments for benefits if the person works for the participating employer on a seasonal, temporary, or intermittent basis. Payments cover weeks starting on or after March 27, 2020 and ending on or before September 6, 2021. If a state creates a qualifying short-time program after March 27, 2020, it can get payments once the state law takes effect, subject to the same end date. The Secretary of Labor pays states by monthly reimbursements based on estimates, and will adjust later for any over- or under-payments. The Treasury will provide whatever money is needed, and the Secretary of Labor will certify amounts to the Treasury. Definitions: Secretary = Secretary of Labor; State, State agency, and State law = as defined in the cited Federal-State law.

Title 15, §9026

Commerce and Trade, Source: USLM XML via OLRC

(a)Payments to States

(1)In general

Subject to paragraph (3), there shall be paid to a State an amount equal to 100 percent of the amount of short-time compensation paid under a short-time compensation program (as defined in section 3306(v) of title 26) under the provisions of the State law.

(2)Terms of payments

Payments made to a State under paragraph (1) shall be payable by way of reimbursement in such amounts as the Secretary estimates the State will be entitled to receive under this section for each calendar month, reduced or increased, as the case may be, by any amount by which the Secretary finds that the Secretary’s estimates for any prior calendar month were greater or less than the amounts which should have been paid to the State. Such estimates may be made on the basis of such statistical, sampling, or other method as may be agreed upon by the Secretary and the State agency of the State involved.

(3)Limitations on payments

(A)General payment limitations

No payments shall be made to a State under this section for short-time compensation paid to an individual by the State during a benefit year in excess of 26 times the amount of regular compensation (including dependents’ allowances) under the State law payable to such individual for a week of total unemployment.

(B)Employer limitations

No payments shall be made to a State under this section for benefits paid to an individual by the State under a short-time compensation program if such individual is employed by the participating employer on a seasonal, temporary, or intermittent basis.

(b)Applicability

Payments to a State under subsection (a) shall be available for weeks of unemployment—

(1)beginning on or after March 27, 2020; and

(2)ending on or before September 6, 2021.

(c)New programs

Subject to subsection (b)(2), if at any point after March 27, 2020, the State enacts a State law providing for the payment of short-time compensation under a short-time compensation program that meets the definition of such a program under section 3306(v) of title 26, the State shall be eligible for payments under this section after the effective date of such enactment.

(d)Funding and certifications

(1)Funding

There are appropriated, out of moneys in the Treasury not otherwise appropriated, such sums as may be necessary for purposes of carrying out this section.

(2)Certifications

The Secretary shall from time to time certify to the Secretary of the Treasury for payment to each State the sums payable to such State under this section.

(e)Definitions

In this section: (1) Secretary

(2)State; State agency; State law

The terms “State”, “State agency”, and “State law” have the meanings given those terms in section 205 of the Federal-State Extended Unemployment Compensation Act of 1970 (26 U.S.C. 3304 note).

Notes & Related Subsidiaries

Editorial Notes

References in Text

section 205 of the Federal-State Extended Unemployment Compensation Act of 1970, referred to in subsec. (e)(2), is section 205 of Pub. L. 91–373, which is set out in a note under section 3304 of Title 26, Internal Revenue Code. Codification Section is comprised of section 2108 of Pub. L. 116–136. Subsec. (f) of section 2108 of Pub. L. 116–136 amended section 3306 of Title 26, Internal Revenue Code.

Amendments

2021—Subsec. (b)(2). Pub. L. 117–2 substituted “

September 6, 2021” for “

March 14, 2021”. 2020—Subsec. (b)(2). Pub. L. 116–260 substituted “

March 14, 2021” for “

December 31, 2020”.

§9026 Temporary Financing of Short-time Compensation Payments in States with Programs in Law