House File 2319 - Introduced HOUSE FILE 2319 BY INGELS A BILL FOR An Act exempting service performed for certain employers from 1 eligibility for unemployment insurance, and including 2 applicability provisions. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 6165HH (3) 91 je/js

H.F. 2319 Section 1. NEW SECTION . 96.37 Service exempt for certain 1 employers. 2 1. Service performed for an employer shall not be considered 3 employment, as defined in section 96.1A, if all of the 4 following conditions are met: 5 a. The employer certifies to the department in a manner 6 prescribed by the department that all owners of the employing 7 unit are members of the old order Amish church or another 8 recognized Amish congregation, and that the employing unit and 9 its owners hold sincere religious objections to participation 10 in governmental insurance or social insurance programs, 11 including unemployment insurance. 12 b. The employer does not permit any employee to claim 13 or receive benefits under this chapter for any period of 14 employment covered by this section. 15 c. The employer obtains from each employee employed on or 16 hired on or after the effective date of this Act a written 17 acknowledgment stating the employee understands that service 18 performed for the employer for wages is not considered 19 employment for purposes of unemployment insurance and that the 20 employee will not be eligible to receive benefits under this 21 chapter based on such employment. 22 d. The employer annually submits an election to the 23 department as required by subsection 2 and the election remains 24 in effect. 25 2. a. This section shall only apply to an employer as of 26 the date the employer files an election with the department 27 in a manner prescribed by the department and the department 28 accepts the election. 29 b. An election under this section shall remain in effect 30 until revoked by the employer or terminated by the department 31 for failure to comply with the requirements of this section. 32 c. Upon revocation or termination of the election, service 33 performed for the employer shall be considered employment, as 34 defined in section 96.1A, on and after the effective date of 35 -1- LSB 6165HH (3) 91 je/js 1/ 3

H.F. 2319 the revocation or termination. 1 3. This section shall not be construed to exempt an employer 2 from any requirement of federal unemployment insurance law or 3 any other tax or employment obligation imposed under state or 4 federal law. 5 4. The department may adopt rules pursuant to chapter 17A to 6 administer this section. 7 Sec. 2. APPLICABILITY. This Act applies to service 8 performed for an employer on or after the effective date of 9 this Act. 10 EXPLANATION 11 The inclusion of this explanation does not constitute agreement with 12 the explanation’s substance by the members of the general assembly. 13 This bill provides that service performed for employers 14 is not considered employment for purposes of eligibility for 15 unemployment benefits (benefits) if specified conditions are 16 met. 17 The employer must certify to the department of workforce 18 development (department) that all owners of the employing unit 19 are members of the old order Amish church or another recognized 20 Amish congregation. The employer must further certify to 21 the department that the employing unit and its owners hold 22 sincere religious objections to participation in governmental 23 insurance or social insurance programs, including unemployment 24 insurance. The employer must not permit any employee to claim 25 or receive benefits for any period of employment covered by 26 the bill. The employer must obtain from each employee a 27 written acknowledgment stating the employee understands that 28 service performed for the employer for wages is not considered 29 employment for purposes of unemployment insurance and that the 30 employee will not be eligible to receive benefits based on 31 such employment. Finally, the employer must annually submit 32 an election to the department and the election must remain in 33 effect. 34 The bill shall not be construed to exempt an employer from 35 -2- LSB 6165HH (3) 91 je/js 2/ 3

H.F. 2319 any requirement of federal unemployment insurance law or any 1 other tax or employment obligation imposed under state or 2 federal law. 3 The bill applies to service performed for an employer on or 4 after the effective date of the bill. 5 -3- LSB 6165HH (3) 91 je/js 3/ 3