S.F. 2118 Section 1. Section 96.7, subsection 8, paragraph b, 1 subparagraph (5), Code 2011, is amended to read as follows: 2 (5) The provisions for collection of contributions under 3 section 96.14 are applicable to reimbursements for benefits 4 paid in lieu of contributions. However, if a nonprofit 5 organization prevails in a redetermination in accordance with 6 subparagraph (4) or appeal in accordance with subsection 5, 7 the department shall not charge the nonprofit organization 8 any further interest on a contested amount which has not been 9 paid by the nonprofit organization, and shall refund to the 10 nonprofit organization within thirty days any interest which 11 the nonprofit organization has paid on the contested amount. 12 EXPLANATION 13 This bill provides that if a nonprofit organization which is 14 a reimbursable employer for unemployment insurance successfully 15 contests a charge on the nonprofit organization’s unemployment 16 insurance account by filing an application for redetermination 17 or an appeal, the department of workforce development shall 18 not charge the nonprofit organization any further interest on 19 a contested amount which has not been paid by the nonprofit 20 organization, and shall refund to the nonprofit organization 21 within 30 days any interest which the nonprofit organization 22 has paid on the contested amount. Under Code section 23 96.6(7)(c), the bill applies to governmental reimbursable 24 employers as well. Reimbursable employers for unemployment 25 insurance are only charged when claims for unemployment 26 insurance benefits are made. 27 -1- LSB 5819SS (2) 84 je/nh 1/ 1