61-5-28Increase in all employers' rates on reduction of amount in the unemployment compensation fund--Application and duration of rate--Amount payable.

If on the last day of any calendar quarter, the amount in the unemployment compensation fund, as established by § 61-4-1, including amounts receivable as federal reimbursements due the state for shareable benefit payments, is less than any amount appearing in Column A below, then all employers' rates shall be increased by the amount appearing in Column B opposite the lowest amount in Column A under which the fund has been reduced:

Column A

Column B

Balance in Fund

Rates

$11,000,000

.1 %

10,500,000

.2 %

10,000,000

.3 %

9,500,000

.4 %

9,000,000

.5 %

8,500,000

.6 %

8,000,000

.7 %

7,500,000

.8 %

7,000,000

.9 %

6,500,000

1.0 %

6,000,000

1.25%

5,500,000

1.5 %

The increased contribution rates apply to taxable wages paid on and after the first day of the immediately following calendar quarter. The rates shall remain in effect until the balance in the unemployment fund on the last day of any quarter is equal to or greater than one hundred fifty percent of the highest amount appearing in Column A. The increased rate shall be one-tenth of one percent if the balance in the fund is one hundred percent or more but less than one hundred fifty percent of the highest amount appearing in Column A. However under no circumstances may any employer be required to pay contributions at a rate including the adjustment percentage, of more than twelve percent. However, the increased contribution rates under this section shall not exceed one percent for taxable wages paid from January 1, 2010, through December 31, 2010, and may not exceed seventy-five hundredths of one percent for taxable wages paid from January 1, 2011, through December 31, 2011. Effective January 1, 2012, any rate increase based on this section will remain in effect for four consecutive calendar quarters. The rate for the second, third, and fourth quarters may increase based on the fund balance on the last day of the immediately prior quarter, but may not decrease from the prior quarter during the four consecutive quarters.

The contribution rates provided in this section apply to and are retroactive to taxable wages paid on and after January 1, 2010.

Source: SDC 1939, § 17.0822 (2) (b) (3) as added by SL 1961, ch 106, § 2; SL 1971, ch 276, § 40; SL 1979, ch 349, § 2; SL 1981, ch 369, § 3; SL 1982, ch 371, § 4; SL 1983, ch 381, § 4; SL 2005, ch 280, § 1; SL 2006, ch 267, § 5; SL 2010, ch 247, § 4, eff. Mar. 10, 2010; SDCL § 61-5-23; SL 2012, ch 252, § 59.