As Passed by the Senate

130th General Assembly Regular Session 2013-2014

Sub. H. B. No. 37

Representatives Duffey, Scherer 

Cosponsors: Representatives Boose, Henne, Wachtmann, Terhar, Thompson, Grossman, Amstutz, Johnson, Buchy, Stebelton, Blair, Dovilla, Hayes, Schuring, DeVitis, Beck, Smith, McGregor, Hottinger, Hill, Sears, Pillich, Ruhl, Anielski, Brenner, Butler, Barnes, Rosenberger, Lynch, Derickson, Huffman, Conditt, Baker, McClain, Blessing, Young, Adams, R., Antonio, Brown, Burkley, Carney, Cera, Curtin, Damschroder, Foley, Hackett, Hagan, C., Hall, Heard, Landis, Mallory, Patterson, Pelanda, Perales, Ramos, Retherford, Rogers, Romanchuk, Stautberg, Stinziano Speaker Batchelder 

Senators Brown, Uecker, Bacon, Balderson, Beagle, Burke, Eklund, Gardner, Hite, Oelslager, Patton, Schaffer, Schiavoni, Seitz, Tavares, Turner 

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A BILL

To amend sections 4141.09, 4141.11, 4141.24, and

1

4141.35 and to enact sections 4141.50 to 4141.56

2

of the Revised Code to create the SharedWork Ohio

3

Program, to create a monetary penalty for

4

individuals who commit fraud to obtain

5

unemployment compensation benefits, to charge an

6

employer's account when actions of the employer

7

led to an improper payment of unemployment

8

compensation benefits, and to declare an

9

emergency.

10

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1. That sections 4141.09, 4141.11, 4141.24, and	11
4141.35 be amended and sections 4141.50, 4141.51, 4141.52,	12
4141.53, 4141.54, 4141.55, and 4141.56 of the Revised Code be	13
enacted to read as follows:	14

Sec. 4141.09.  (A) There is hereby created an unemployment	15
compensation fund to be administered by the state without	16
liability on the part of the state beyond the amounts paid into	17
the fund and earned by the fund. The unemployment compensation	18
fund shall consist of all contributions, payments in lieu of	19
contributions described in sections 4141.241 and 4141.242 of the	20
Revised Code, reimbursements of the federal share of extended	21
benefits described in section 4141.301 of the Revised Code,	22
collected under sections 4141.01 to 4141.464141.56 of the Revised	23
Code, and the amount required under division (A)(4) of section	24
4141.35 of the Revised Code, together with all interest earned	25
upon any moneys deposited with the secretary of the treasury of	26
the United States to the credit of the account of this state in	27
the unemployment trust fund established and maintained pursuant to	28
section 904 of the "Social Security Act," any property or	29
securities acquired through the use of moneys belonging to the	30
fund, and all earnings of such property or securities. The	31
unemployment compensation fund shall be used to pay benefits,	32
shared work compensation as defined in section 4141.50 of the	33
Revised Code, and refunds as provided by such sections and for no	34
other purpose.	35

(B) The treasurer of state shall be the custodian of the	36
unemployment compensation fund and shall administer such fund in	37
accordance with the directions of the director of job and family	38
services. All disbursements therefrom shall be paid by the	39
treasurer of state on warrants drawn by the director. Such	40
warrants may bear the facsimile signature of the director printed	41
thereon and that of a deputy or other employee of the director	42
charged with the duty of keeping the account of the unemployment	43
compensation fund and with the preparation of warrants for the	44
payment of benefits to the persons entitled thereto. Moneys in the	45
clearing and benefit accounts shall not be commingled with other	46
state funds, except as provided in division (C) of this section,	47
but shall be maintained in separate accounts on the books of the	48
depositary bank. Such money shall be secured by the depositary	49
bank to the same extent and in the same manner as required by	50
sections 135.01 to 135.21 of the Revised Code; and collateral	51
pledged for this purpose shall be kept separate and distinct from	52
any collateral pledged to secure other funds of this state. All	53
sums recovered for losses sustained by the unemployment	54
compensation fund shall be deposited therein. The treasurer of	55
state shall be liable on the treasurer's official bond for the	56
faithful performance of the treasurer's duties in connection with	57
the unemployment compensation fund, such liability to exist in	58
addition to any liability upon any separate bond.	59

(C) The treasurer of state shall maintain within the	60
unemployment compensation fund three separate accounts which shall	61
be a clearing account, a trust fund account, and a benefit	62
account. All moneys payable to the unemployment compensation fund,	63
upon receipt by the director, shall be forwarded to the treasurer	64
of state, who shall immediately deposit them in the clearing	65
account. Refunds of contributions, or payments in lieu of	66
contributions, payable pursuant to division (E) of this section	67
may be paid from the clearing account upon warrants signed by a	68
deputy or other employee of the director charged with the duty of	69
keeping the record of the clearing account and with the	70
preparation of warrants for the payment of refunds to persons	71
entitled thereto. After clearance thereof, all moneys in the	72
clearing account shall be deposited with the secretary of the	73
treasury of the United States to the credit of the account of this	74
state in the unemployment trust fund established and maintained	75
pursuant to section 904 of the "Social Security Act," in	76
accordance with requirements of the "Federal Unemployment Tax	77
Act," 53 Stat. 183 (1939), 26 U.S.C.A. 3301, 3304(a)(3), any law	78
in this state relating to the deposit, administration, release, or	79
disbursement of moneys in the possession or custody of this state	80
to the contrary notwithstanding. The benefit account shall consist	81
of all moneys requisitioned from this state's account in the	82
unemployment trust fund. Federal funds may be deposited, at the	83
director's discretion, into the benefit account. Any funds	84
deposited into the benefit account shall be disbursed solely for	85
payment of benefits under a federal program administered by this	86
state and for no other purpose. Moneys in the clearing and benefit	87
accounts may be deposited by the treasurer of state, under the	88
direction of the director, in any bank or public depositary in	89
which general funds of the state may be deposited, but no public	90
deposit insurance charge or premium shall be paid out of the fund.	91

(D) Moneys shall be requisitioned from this state's account	92
in the unemployment trust fund solely for the payment of benefits	93
and in accordance with regulations prescribed by the director. The	94
director shall requisition from the unemployment trust fund such	95
amounts, not exceeding the amount standing to this state's account	96
therein, as are deemed necessary for the payment of benefits for a	97
reasonable future period. Upon receipt thereof, the treasurer of	98
state shall deposit such moneys in the benefit account.	99
Expenditures of such money in the benefit account and refunds from	100
the clearing account shall not require specific appropriations or	101
other formal release by state officers of money in their custody.	102
Any balance of moneys requisitioned from the unemployment trust	103
fund which remains unclaimed or unpaid in the benefit account	104
after the expiration of the period for which such sums were	105
requisitioned shall either be deducted from estimates for and may	106
be utilized for the payment of benefits during succeeding periods,	107
or, in the discretion of the director, shall be redeposited with	108
the secretary of the treasury of the United States to the credit	109
of this state's account in the unemployment trust fund, as	110
provided in division (C) of this section. Unclaimed or unpaid	111
federal funds redeposited with the secretary of the treasury of	112
the United States shall be credited to the appropriate federal	113
account.	114

(E) No claim for an adjustment or a refund on contribution,	115
payment in lieu of contributions, interest, or forfeiture alleged	116
to have been erroneously or illegally assessed or collected, or	117
alleged to have been collected without authority, and no claim for	118
an adjustment or a refund of any sum alleged to have been	119
excessive or in any manner wrongfully collected shall be allowed	120
unless an application, in writing, therefor is made within four	121
years from the date on which such payment was made. If the	122
director determines that such contribution, payment in lieu of	123
contributions, interest, or forfeiture, or any portion thereof,	124
was erroneously collected, the director shall allow such employer	125
to make an adjustment thereof without interest in connection with	126
subsequent contribution payments, or payments in lieu of	127
contributions, by the employer, or the director may refund said	128
amount, without interest, from the clearing account of the	129
unemployment compensation fund, except as provided in division (B)	130
of section 4141.11 of the Revised Code. For like cause and within	131
the same period, adjustment or refund may be so made on the	132
director's own initiative. An overpayment of contribution, payment	133
in lieu of contributions, interest, or forfeiture for which an	134
employer has not made application for refund prior to the date of	135
sale of the employer's business shall accrue to the employer's	136
successor in interest.	137

An application for an adjustment or a refund, or any portion	138
thereof, that is rejected is binding upon the employer unless,	139
within thirty days after the mailing of a written notice of	140
rejection to the employer's last known address, or, in the absence	141
of mailing of such notice, within thirty days after the delivery	142
of such notice, the employer files an application for a review and	143
redetermination setting forth the reasons therefor. The director	144
shall promptly examine the application for review and	145
redetermination, and if a review is granted, the employer shall be	146
promptly notified thereof, and shall be granted an opportunity for	147
a prompt hearing.	148

(F) If the director finds that contributions have been paid	149
to the director in error, and that such contributions should have	150
been paid to a department of another state or of the United States	151
charged with the administration of an unemployment compensation	152
law, the director may upon request by such department or upon the	153
director's own initiative transfer to such department the amount	154
of such contributions, less any benefits paid to claimants whose	155
wages were the basis for such contributions. The director may	156
request and receive from such department any contributions or	157
adjusted contributions paid in error to such department which	158
should have been paid to the director.	159

(G) In accordance with section 303(c)(3) of the Social	160
Security Act, and section 3304(a)(17) of the Internal Revenue Code	161
of 1954 for continuing certification of Ohio unemployment	162
compensation laws for administrative grants and for tax credits,	163
any interest required to be paid on advances under Title XII of	164
the Social Security Act shall be paid in a timely manner and shall	165
not be paid, directly or indirectly, by an equivalent reduction in	166
the Ohio unemployment taxes or otherwise, by the state from	167
amounts in the unemployment compensation fund.	168

(H) The treasurer of state, under the direction of the	169
director and in accordance with the "Cash Management Improvement	170
Act of 1990," 104 Stat. 1061, 31 U.S.C.A. 335, 6503, shall deposit	171
amounts of interest earned by the state on funds in the benefit	172
account established pursuant to division (C) of this section into	173
the department of job and family services banking fees fund, which	174
is hereby created in the state treasury for the purpose of paying	175
related banking costs incurred by the state for the period for	176
which the interest is calculated, except that if the deposited	177
interest exceeds the banking costs incurred by the state for the	178
period for which the interest is calculated, the treasurer of	179
state shall deposit the excess interest into the unemployment	180
trust fund.	181

(I) The treasurer of state, under the direction of the	182
director, shall deposit federal funds received by the director for	183
training and administration and for payment of benefits, job	184
search, relocation, transportation, and subsistence allowances	185
pursuant to the "Trade Act of 1974," 88 Stat. 1978, 19 U.S.C.A.	186
2101, as amended; the "North American Free Trade Agreement	187
Implementation Act," 107 Stat. 2057 (1993), 19 U.S.C.A. 3301, as	188
amended; and the "Trade Act of 2002," 116 Stat. 993, 19 U.S.C.A.	189
3801, as amended, into the Trade Act training and administration	190
account, which is hereby created for the purpose of making	191
payments specified under those acts. The treasurer of state, under	192
the direction of the director, may transfer funds from the Trade	193
Act training and administration account to the benefit account for	194
the purpose of making any payments directly to claimants for	195
benefits, job search, relocation, transportation, and subsistence	196
allowances, as specified by those acts.	197

Sec. 4141.11.  There is hereby created in the state treasury	198
the unemployment compensation special administrative fund. The	199
fund shall consist of all interest collected on delinquent	200
contributions pursuant to this chapter, all fines and forfeitures	201
collected under this chapter, the amount required under division	202
(A)(4) of section 4141.35 of the Revised Code, and all court costs	203
and interest paid or collected in connection with the repayment of	204
fraudulently obtained benefits pursuant to section 4141.35 of the	205
Revised Code. All interest earned on the money in the fund shall	206
be retained in the fund and shall not be credited or transferred	207
to any other fund or account, except as provided in division (B)	208
of this section. All moneys which are deposited or paid into this	209
fund may be used by:	210

(A) The director of job and family services whenever it	211
appears that such use is necessary for:	212

(1) The proper administration of this chapter and no federal	213
funds are available for the specific purpose for which the	214
expenditure is to be made, provided the moneys are not substituted	215
for appropriations from federal funds, which in the absence of	216
such moneys would be available;	217

(2) The proper administration of this chapter for which	218
purpose appropriations from federal funds have been requested and	219
approved but not received, provided the fund would be reimbursed	220
upon receipt of the federal appropriation;	221

(3) To the extent possible, the repayment to the unemployment	222
compensation administration fund of moneys found by the proper	223
agency of the United States to have been lost or expended for	224
purposes other than, or an amount in excess of, those found	225
necessary by the proper agency of the United States for the	226
administration of this chapter.	227

(B) The director or the director's deputy whenever it appears	228
that such use is necessary for the payment of refunds or	229
adjustments of interest, fines, forfeitures, or court costs	230
erroneously collected and paid into this fund pursuant to this	231
chapter.	232

(C) The director, to pay state disaster unemployment benefits	233
pursuant to section 4141.292 of the Revised Code.	234

(D) The director, to pay any costs attributable to the	235
director that are associated with the sale of real property under	236
section 4141.131 of the Revised Code.	237

Whenever the balance in the unemployment compensation special	238
administrative fund is considered to be excessive by the director,	239
the director shall request the director of budget and management	240
to transfer to the unemployment compensation fund the amount	241
considered to be excessive. Any balance in the unemployment	242
compensation special administrative fund shall not lapse at any	243
time, but shall be continuously available to the director of job	244
and family services for expenditures consistent with this chapter.	245

Sec. 4141.24.  (A)(1) The director of job and family services	246
shall maintain a separate account for each employer and, except as	247
otherwise provided in division (B) of section 4141.25 of the	248
Revised Code respecting mutualized contributions, shall credit	249
such employer's account with all the contributions, or payments in	250
lieu of contributions, which the employer has paid on the	251
employer's own behalf.	252

(2) If, as of the computation date, a contributory employer's	253
account shows a negative balance computed as provided in division	254
(A)(3) of section 4141.25 of the Revised Code, less any	255
contributions due and unpaid on such date, which negative balance	256
is in excess of the limitations imposed by divisions (A)(2)(a),	257
(b), and (c) of this section and if the employer's account is	258
otherwise eligible for the transfer, then before the employer's	259
contribution rate is computed for the next succeeding contribution	260
period, an amount equal to the amount of the excess eligible for	261
transfer shall be permanently transferred from the account of such	262
employer and charged to the mutualized account provided in	263
division (B) of section 4141.25 of the Revised Code.	264

(a) If as of any computation date, a contributory employer's	265
account shows a negative balance in excess of ten per cent of the	266
employer's average annual payroll, then before the employer's	267
contribution rate is computed for the next succeeding contribution	268
period, an amount equal to the amount of the excess shall be	269
transferred from the account as provided in this division. No	270
contributory employer's account may have any excess transferred	271
pursuant to division (A)(2)(a) of this section, unless the	272
employer's account has shown a positive balance for at least two	273
consecutive computation dates prior to the computation date with	274
respect to which the transfer is proposed. Each time a transfer is	275
made pursuant to division (A)(2)(a) of this section, the	276
employer's account is ineligible for any additional transfers	277
under that division, until the account shows a positive balance	278
for at least two consecutive computation dates subsequent to the	279
computation date of which the most recent transfer occurs pursuant	280
to division (A)(2)(a), (b), or (c) of this section.	281

(b) If at the next computation date after the computation	282
date at which a transfer from the account occurs pursuant to	283
division (A)(2)(a) of this section, a contributory employer's	284
account shows a negative balance in excess of fifteen per cent of	285
the employer's average annual payroll, then before the employer's	286
contribution rate is computed for the next succeeding contribution	287
period an amount equal to the amount of the excess shall be	288
permanently transferred from the account as provided in this	289
division.	290

(c) If at the next computation date subsequent to the	291
computation date at which a transfer from a contributory	292
employer's account occurs pursuant to division (A)(2)(b) of this	293
section, the employer's account shows a negative balance in excess	294
of twenty per cent of the employer's average annual payroll, then	295
before the employer's contribution rate is computed for the next	296
succeeding contribution period, an amount equal to the amount of	297
the excess shall be permanently transferred from the account as	298
provided in this division.	299

(d) If no transfer occurs pursuant to division (A)(2)(b) or	300
(c) of this section, the employer's account is ineligible for any	301
additional transfers under division (A)(2) of this section until	302
the account requalifies for a transfer pursuant to division	303
(A)(2)(a) of this section.	304

(B) Any employer may make voluntary payments in addition to	305
the contributions required under this chapter, in accordance with	306
rules established by the director. Such payments shall be included	307
in the employer's account as of the computation date, provided	308
they are received by the director by the thirty-first day of	309
December following such computation date. Such voluntary payment,	310
when accepted from an employer, will not be refunded in whole or	311
in part. In determining whether an employer's account has a	312
positive balance on two consecutive computation dates and is	313
eligible for transfers under division (A)(2) of this section, the	314
director shall exclude any voluntary payments made subsequent to	315
the last transfer made under division (A)(2) of this section.	316

(C) All contributions to the fund shall be pooled and	317
available to pay benefits to any individual entitled to benefits	318
irrespective of the source of such contributions.	319

(D)(1) For the purposes of this section and sections 4141.241	320
and 4141.242 of the Revised Code, an employer's account shall be	321
charged only for benefits based on remuneration paid by such	322
employer. Benefits paid to an eligible individual shall be charged	323
against the account of each employer within the claimant's base	324
period in the proportion to which wages attributable to each	325
employer of the claimant bears to the claimant's total base period	326
wages. Charges to the account of a base period employer with whom	327
the claimant is employed part-time at the time the claimant's	328
application for a determination of benefits rights is filed shall	329
be charged to the mutualized account when all of the following	330
conditions are met:	331

(a) The claimant also worked part-time for the employer	332
during the base period of the claim.	333

(b) The claimant is unemployed due to loss of other	334
employment.	335

(c) The employer is not a reimbursing employer under section	336
4141.241 or 4141.242 of the Revised Code.	337

(2) Notwithstanding division (D)(1) of this section, charges	338
to the account of any employer, including any reimbursing	339
employer, shall be charged to the mutualized account if it finally	340
is determined by a court on appeal that the employer's account is	341
not chargeable for the benefits.	342

(3)(a) Any benefits paid to a claimant under section 4141.28	343
of the Revised Code prior to a final determination of the	344
claimant's right to the benefits shall be charged to the	345
employer's account as provided in division (D)(1) of this section,	346
provided that if there is no final determination of the claim by	347
the subsequent thirtieth day of June, the employer's account shall	348
be credited with the total amount of benefits that has been paid	349
prior to that date, based on the determination that has not become	350
final. The total amount credited to the employer's account shall	351
be charged to a suspense account, which shall be maintained as a	352
separate bookkeeping account and administered as a part of this	353
section, and shall not be used in determining the account balance	354
of the employer for the purpose of computing the employer's	355
contribution rate under section 4141.25 of the Revised Code.	356

(b) If it is finally determined that the claimant is entitled	357
to all or a part of the benefits in dispute, the suspense account	358
shall be credited and the appropriate employer's account charged	359
with the benefits. If it is finally determined that the claimant	360
is not entitled to all or any portion of the benefits in dispute,	361
the benefits shall be credited to the suspense account and, except	362
as provided in division (D)(3)(d) of this section, a corresponding	363
charge made to the mutualized account established in division (B)	364
of section 4141.25 of the Revised Code, provided that, except as	365
otherwise provided in this section, if benefits are chargeable to	366
an employer or group of employers who is required or elects to	367
make payments to the fund in lieu of contributions under section	368
4141.241 of the Revised Code, the benefits shall be charged to the	369
employer's account in the manner provided in division (D)(1) of	370
this section and division (B) of section 4141.241 of the Revised	371
Code, and no part of the benefits may be charged to the suspense	372
account provided in this division.	373

To(c) Except as provided in division (D)(3)(d) of this	374
section, to the extent that benefits that have been paid to a	375
claimant and charged to the employer's account are found not to be	376
due the claimant and are recovered by the director as provided in	377
section 4141.35 of the Revised Code, they shall be credited to the	378
employer's account.	379

(d)(i) An employer's account shall not be credited for	380
amounts recovered by the director pursuant to division (D)(3)(c)	381
of this section, and the mutualized account established in	382
division (B) of section 4141.25 of the Revised Code shall not be	383
charged pursuant to division (D)(3)(b) of this section, for	384
benefits that have been paid to a claimant and are subsequently	385
found not to be due to the claimant, if it is determined by the	386
director, on or after October 21, 2013, that both of the following	387
have occurred:	388

(I) The benefits were paid because the claimant's employer,	389
or any employee, officer, or agent of that employer, failed to	390
respond timely or adequately to a request for information	391
regarding a determination of benefit rights or claims for benefits	392
under section 4141.28 of the Revised Code.	393

(II) The claimant's employer, or any employee, officer, or	394
agent of that employer, on behalf of the employer, previously	395
established a pattern of failing to respond timely or adequately	396
within the same calendar year period pursuant to division	397
(D)(3)(d)(ii)(III) of this section.	398

(ii) For purposes of division (D)(3)(d) of this section:

399

(I) A response is considered "timely" if the response is	400
received by the director within the time provided under section	401
4141.28 of the Revised Code.	402

(II) A response is considered "adequate" if the employer or	403
employee, officer, or agent of that employer provided answers to	404
all questions raised by the director pursuant to section 4141.28	405
of the Revised Code or participated in a fact-finding interview if	406
requested by the director.	407

(III) A "pattern of failing" is established after the third	408
instance of benefits being paid because the claimant's employer,	409
or any employee, officer, or agent of that employer, on behalf of	410
the employer, failed to respond timely or adequately to a request	411
for information regarding a determination of benefit rights or	412
claims for benefits under section 4141.28 of the Revised Code	413
within a calendar year period.	414

(e) If the mutualized account established in division (B) of	415
section 4141.25 of the Revised Code is not charged for benefits	416
credited to a suspense account pursuant to division (D)(3)(d) of	417
this section, a corresponding charge shall be made to the account	418
of the employer whose failure to timely or adequately respond to a	419
request for information caused the erroneous payment.	420

(f) The appeal provisions of sections 4141.281 and 4141.282	421
of the Revised Code shall apply to all determinations issued under	422
division (D)(3)(d) of this section.	423

(4) The director shall notify each employer at least once	424
each month of the benefits charged to the employer's account since	425
the last preceding notice; except that for the purposes of	426
sections 4141.241 and 4141.242 of the Revised Code which provides	427
the billing of employers on a payment in lieu of a contribution	428
basis, the director may prescribe a quarterly or less frequent	429
notice of benefits charged to the employer's account. Such notice	430
will show a summary of the amount of benefits paid which were	431
charged to the employer's account. This notice shall not be deemed	432
a determination of the claimant's eligibility for benefits. Any	433
employer so notified, however, may file within fifteen days after	434
the mailing date of the notice, an exception to charges appearing	435
on the notice on the grounds that such charges are not in	436
accordance with this section. The director shall promptly examine	437
the exception to such charges and shall notify the employer of the	438
director's decision thereon, which decision shall become final	439
unless appealed to the unemployment compensation review commission	440
in the manner provided in section 4141.26 of the Revised Code. For	441
the purposes of this division, an exception is considered timely	442
filed when it has been received as provided in division (D)(1) of	443
section 4141.281 of the Revised Code.	444

(E) The director shall terminate and close the account of any	445
contributory employer who has been subject to this chapter if the	446
enterprise for which the account was established is no longer in	447
operation and it has had no payroll and its account has not been	448
chargeable with benefits for a period of five consecutive years.	449
The amount of any positive balance, computed as provided in	450
division (A)(3) of section 4141.25 of the Revised Code, in an	451
account closed and terminated as provided in this section shall be	452
credited to the mutualized account as provided in division	453
(B)(2)(b) of section 4141.25 of the Revised Code. The amount of	454
any negative balance, computed as provided in division (A)(3) of	455
section 4141.25 of the Revised Code, in an account closed and	456
terminated as provided in this section shall be charged to the	457
mutualized account as provided in division (B)(1)(b) of section	458
4141.25 of the Revised Code. The amount of any positive balance or	459
negative balance, credited or charged to the mutualized account	460
after the termination and closing of an employer's account, shall	461
not thereafter be considered in determining the contribution rate	462
of such employer. The closing of an employer's account as provided	463
in this division shall not relieve such employer from liability	464
for any unpaid contributions or payment in lieu of contributions	465
which are due for periods prior to such closing.	466

If the director finds that a contributory employer's business	467
is closed solely because of the entrance of one or more of the	468
owners, officers, or partners, or the majority stockholder, into	469
the armed forces of the United States, or any of its allies, or of	470
the United Nations after July 1, 1950, such employer's account	471
shall not be terminated and if the business is resumed within two	472
years after the discharge or release of such persons from active	473
duty in the armed forces, the employer's experience shall be	474
deemed to have been continuous throughout such period. The reserve	475
ratio of any such employer shall be the total contributions paid	476
by such employer minus all benefits, including benefits paid to	477
any individual during the period such employer was in the armed	478
forces, based upon wages paid by the employer prior to the	479
employer's entrance into the armed forces divided by the average	480
of the employer's annual payrolls for the three most recent years	481
during the whole of which the employer has been in business.	482

(F) If an employer transfers all of its trade or business to	483
another employer or person, the acquiring employer or person shall	484
be the successor in interest to the transferring employer and	485
shall assume the resources and liabilities of such transferring	486
employer's account, and continue the payment of all contributions,	487
or payments in lieu of contributions, due under this chapter.	488

If an employer or person acquires substantially all, or a	489
clearly segregable and identifiable portion of an employer's trade	490
or business, then upon the director's approval of a properly	491
completed application for successorship, the employer or person	492
acquiring the trade or business, or portion thereof, shall be the	493
successor in interest. The director by rule may prescribe	494
procedures for effecting transfers of experience as provided for	495
in this section.	496

(G) Notwithstanding sections 4141.09, 4141.23, 4141.24,	497
4141.241, 4141.242, 4141.25, 4141.26, and 4141.27 of the Revised	498
Code, both of the following apply regarding assignment of rates	499
and transfers of experience:	500

(1) If an employer transfers its trade or business, or a	501
portion thereof, to another employer and, at the time of the	502
transfer, both employers are under substantially common ownership,	503
management, or control, then the unemployment experience	504
attributable to the transferred trade or business, or portion	505
thereof, shall be transferred to the employer to whom the business	506
is so transferred. The director shall recalculate the rates of	507
both employers and those rates shall be effective immediately upon	508
the date of the transfer of the trade or business.	509

(2) Whenever a person is not an employer under this chapter	510
at the time the person acquires the trade or business of an	511
employer, the unemployment experience of the acquired trade or	512
business shall not be transferred to the person if the director	513
finds that the person acquired the trade or business solely or	514
primarily for the purpose of obtaining a lower rate of	515
contributions. Instead, that person shall be assigned the	516
applicable new employer rate under division (A)(1) of section	517
4141.25 of the Revised Code.	518

(H) The director shall establish procedures to identify the	519
transfer or acquisition of a trade or business for purposes of	520
this section and shall adopt rules prescribing procedures for	521
effecting transfers of experience as described in this section.	522

(I) No rate of contribution less than two and seven-tenths	523
per cent shall be permitted a contributory employer succeeding to	524
the experience of another contributory employer pursuant to this	525
section for any period subsequent to such succession, except in	526
accordance with rules prescribed by the director, which rules	527
shall be consistent with federal requirements for additional	528
credit allowance in section 3303 of the "Internal Revenue Code of	529
1954" and consistent with this chapter, except that such rules may	530
establish a computation date for any such period different from	531
the computation date generally prescribed by this chapter, and may	532
define "calendar year" as meaning a twelve-consecutive-month	533
period ending on the same day of the year as that on which such	534
computation date occurs.	535

(J) The director may prescribe rules for the establishment,	536
maintenance, and dissolution of common contribution rates for two	537
or more contributory employers, and in accordance with such rules	538
and upon application by two or more employers shall establish such	539
common rate to be computed by merging the several contribution	540
rate factors of such employers for the purpose of establishing a	541
common contribution rate applicable to all such employers.	542

(K) The director shall adopt rules applicable to professional	543
employer organizations and professional employer organization	544
reporting entities to address the method in which a professional	545
employer organization or professional employer organization	546
reporting entity reports quarterly wages and contributions to the	547
director for shared employees.	548

(1) The rules shall recognize a professional employer	549
organization or professional employer organization reporting	550
entity as the employer of record of the shared employees of the	551
professional employer organization or professional employer	552
organization reporting entity for reporting purposes; however, the	553
rules shall require that each shared employee of a single client	554
employer be reported under a separate and unique subaccount of the	555
professional employer organization or professional employer	556
organization reporting entity to reflect the experience of the	557
shared employees of that client employer.	558

(2) The director shall use a subaccount solely to determine	559
experience rates for that individual subaccount on an annual basis	560
and shall recognize a professional employer organization or	561
professional employer organization reporting entity as the	562
employer of record associated with each subaccount. The director	563
shall combine the rate experience that existed on a client	564
employer's account prior to entering into a professional employer	565
organization agreement with the experience accumulated as a	566
subaccount of the professional employer organization or	567
professional employer organization reporting entity. The combined	568
experience shall remain with the client account upon termination	569
of the professional employer organization agreement.	570

(3) A professional employer organization or professional	571
employer organization reporting entity shall provide a power of	572
attorney or other evidence, which evidence may be included as part	573
of a professional employer organization agreement, completed by	574
each client employer of the professional employer organization or	575
professional employer organization reporting entity, authorizing	576
the professional employer organization or professional employer	577
organization reporting entity to act on behalf of the client	578
employer in accordance with the requirements of this chapter.	579

(4) Any rule adopted pursuant to division (K) of this section	580
also shall include administrative requirements that permit a	581
professional employer organization or a professional employer	582
organization reporting entity to transmit any reporting and	583
payment data required under division (K)(1) of this section	584
collectively as a single filing with the director.	585

(5) As used in division (K) of this section, "client	586
employer," "professional employer organization," "professional	587
employer organization agreement," "professional employer	588
organization reporting entity," and "shared employee" have the	589
same meanings as in section 4125.01 of the Revised Code.	590

Sec. 4141.35.  (A) If the director of job and family services	591
finds that any fraudulent misrepresentation has been made by an	592
applicant for or a recipient of benefits with the object of	593
obtaining benefits to which the applicant or recipient was not	594
entitled, and in addition to any other penalty or forfeiture under	595
this chapter, then the director:	596

(1) Shall within four years after the end of the benefit year	597
in which the fraudulent misrepresentation was made reject or	598
cancel such person's entire weekly claim for benefits that was	599
fraudulently claimed, or the person's entire benefit rights if the	600
misrepresentation was in connection with the filing of the	601
claimant's application for determination of benefit rights;	602

(2) Shall by order declare that, for each application for	603
benefit rights and for each weekly claim canceled, such person	604
shall be ineligible for two otherwise valid weekly claims for	605
benefits, claimed within six years subsequent to the discovery of	606
such misrepresentation;	607

(3) By order shall require that the total amount of benefits	608
rejected or canceled under division (A)(1) of this section be	609
repaid to the director before such person may become eligible for	610
further benefits, and shall withhold such unpaid sums from future	611
benefit payments accruing and otherwise payable to such claimant.	612
Effective with orders issued on or after January 1, 1993, if such	613
benefits are not repaid within thirty days after the director's	614
order becomes final, interest on the amount remaining unpaid shall	615
be charged to the person at a rate and calculated in the same	616
manner as provided under section 4141.23 of the Revised Code. When	617
a person ordered to repay benefits has repaid all overpaid	618
benefits according to a plan approved by the director, the	619
director may cancel the amount of interest that accrued during the	620
period of the repayment plan. The director may take action in any	621
court of competent jurisdiction to collect benefits and interest	622
as provided in sections 4141.23 and 4141.27 of the Revised Code,	623
in regard to the collection of unpaid contributions, using the	624
final repayment order as the basis for such action. Except as	625
otherwise provided in this division, no administrative or legal	626
proceedings for the collection of such benefits or interest due,	627
or for the collection of a penalty under division (A)(4) of this	628
section, shall be initiated after the expiration of six years from	629
the date on which the director's order requiring repayment became	630
final and the amount of any benefits, penalty, or interest not	631
recovered at that time, and any liens thereon, shall be canceled	632
as uncollectible. The time limit for instituting proceedings shall	633
be extended by the period of any stay to the collection or by any	634
other time period to which the parties mutually agree.	635

(4) Shall, for findings made on or after October 21, 2013, by	636
order assess a mandatory penalty on such a person in an amount	637
equal to twenty-five per cent of the total amount of benefits	638
rejected or canceled under division (A)(1) of this section. The	639
first sixty per cent of each penalty collected under division	640
(A)(4) of this section shall be deposited into the unemployment	641
compensation fund created under section 4141.09 of the Revised	642
Code, and the remainder of each penalty collected shall be	643
deposited into the unemployment compensation special	644
administrative fund created under section 4141.11 of the Revised	645
Code.	646

(5) May take action to collect benefits fraudulently obtained	647
under the unemployment compensation law of any other state or the	648
United States or Canada. Such action may be initiated in the	649
courts of this state in the same manner as provided for unpaid	650
contributions in section 4141.41 of the Revised Code.	651

(5)(6) May take action to collect benefits that have been	652
fraudulently obtained from the director, interest pursuant to	653
division (A)(3) of this section, and court costs, through	654
attachment proceedings under Chapter 2715. of the Revised Code and	655
garnishment proceedings under Chapter 2716. of the Revised Code.	656

(B) If the director finds that an applicant for benefits has	657
been credited with a waiting period or paid benefits to which the	658
applicant was not entitled for reasons other than fraudulent	659
misrepresentation, the director shall:	660

(1)(a) Within six months after the determination under which	661
the claimant was credited with that waiting period or paid	662
benefits becomes final pursuant to section 4141.28 of the Revised	663
Code, or within three years after the end of the benefit year in	664
which such benefits were claimed, whichever is later, by order	665
cancel such waiting period and require that such benefits be	666
repaid to the director or be withheld from any benefits to which	667
such applicant is or may become entitled before any additional	668
benefits are paid, provided that the repayment or withholding	669
shall not be required where the overpayment is the result of the	670
director's correcting a prior decision due to a typographical or	671
clerical error in the director's prior decision, or an error in an	672
employer's report under division (G) of section 4141.28 of the	673
Revised Code.	674

(b) The limitation specified in division (B)(1)(a) of this	675
section shall not apply to cases involving the retroactive payment	676
of remuneration covering periods for which benefits were	677
previously paid to the claimant. However, in such cases, the	678
director's order requiring repayment shall not be issued unless	679
the director is notified of such retroactive payment within six	680
months from the date the retroactive payment was made to the	681
claimant.	682

(2) The director may, by reciprocal agreement with the United	683
States secretary of labor or another state, recover overpayment	684
amounts from unemployment benefits otherwise payable to an	685
individual under Chapter 4141. of the Revised Code. Any	686
overpayments made to the individual that have not previously been	687
recovered under an unemployment benefit program of the United	688
States may be recovered in accordance with section 303(g) of the	689
"Social Security Act" and sections 3304(a)(4) and 3306(f) of the	690
"Federal Unemployment Tax Act," 53 Stat. 183 (1939), 26 U.S.C.A.	691
3301 to 3311.	692

(3) If the amounts required to be repaid under division (B)	693
of this section are not recovered within three years from the date	694
the director's order requiring payment became final, initiate no	695
further action to collect such benefits and the amount of any	696
benefits not recovered at that time shall be canceled as	697
uncollectible, provided that the time limit for collection shall	698
be extended by the period of any stay to the collection or by any	699
other time period to which the parties mutually agree.	700

(C) The appeal provisions of sections 4141.281 and 4141.282	701
of the Revised Code shall apply to all orders and determinations	702
issued under this section, except that an individual's right of	703
appeal under division (B)(2) of this section shall be limited to	704
this state's authority to recover overpayment of benefits.	705

(D) If an individual makes a full repayment or a repayment	706
that is less than the full amount required by this section, the	707
director shall apply the repayment to the mutualized account under	708
division (B) of section 4141.25 of the Revised Code, except that	709
the director shall credit the repayment to the accounts of the	710
individual's base period employers that previously have not been	711
credited for the amount of improperly paid benefits charged	712
against their accounts based on the proportion of benefits charged	713
against the accounts as determined pursuant to division (D) of	714
section 4141.24 of the Revised Code.	715

The director shall deposit any repayment collected under this	716
section that the director determines to be payment of interest or	717
court costs into the unemployment compensation special	718
administrative fund established pursuant to section 4141.11 of the	719
Revised Code.	720

This division does not apply to federal tax refund offsets	721
under 31 C.F.R. 285.8.	722

Sec. 4141.50.  (A) As used in this section and in sections	723
4141.51 to 4141.56 of the Revised Code:	724

(1) "Affected unit" means a department, shift, or other	725
organizational unit of two or more employees that is designated by	726
a participating employer in a shared work plan.	727

(2) "Approved shared work plan" means an employer's shared	728
work plan, submitted pursuant to section 4141.51 of the Revised	729
Code, that satisfies all of the requirements for approval under	730
that section and that the director of job and family services has	731
approved in writing.	732

(3) "Intermittent basis" means employment that is not	733
continuous but may consist of periodic intervals of weekly work	734
and intervals of no weekly work.	735

(4) "Normal weekly hours of work" means the normal hours of	736
work each week for an employee in an affected unit when that unit	737
is operating on a full-time basis, not to exceed forty hours and	738
not including any overtime worked.	739

(5) "Participating employee" means an employee whose normal	740
weekly hours of work are reduced by the reduction percentage under	741
an approved shared work plan.	742

(6) "Participating employer" means an employer who has an	743
approved shared work plan in effect.	744

(7) "Reduction percentage" means the percentage by which each	745
participating employee's normal weekly hours of work are reduced	746
under an approved shared work plan.	747

(8) "Seasonal basis" has the same meaning as "seasonal	748
employment" as defined in division (A) of section 4141.33 of the	749
Revised Code.	750

(9) "Shared work compensation" means the pro rata share of	751
unemployment compensation benefits payable to a participating	752
employee under an approved shared work plan. "Shared work	753
compensation" does not include unemployment compensation benefits	754
otherwise payable to an eligible claimant who is totally or	755
partially unemployed.	756

(10) "Temporary basis" means employment where an employee is	757
expected to remain in a position for only a limited period of time	758
or is hired by a temporary agency to fill a gap in the employer's	759
workforce.	760

(B) There is hereby created the "SharedWork Ohio" program,	761
under which an employer who participates in the program reduces	762
the number of hours worked by the employees of the employer in	763
lieu of layoffs.	764

The director may adopt rules as the director determines	765
necessary to implement any guidance issued by the United States	766
secretary of labor with respect to the SharedWork Ohio program.	767

Sec. 4141.51.  (A) An employer who wishes to participate in	768
the SharedWork Ohio program shall submit a plan to the director of	769
job and family services in which the employer does all of the	770
following:	771

(1) Identifies the participating employees by name, social	772
security number, affected unit, and normal weekly hours of work;	773

(2) Describes the manner in which the employer will implement	774
the requirements of the SharedWork Ohio program, including the	775
proposed reduction percentage, which shall be between ten per cent	776
and fifty per cent, and any temporary closure of the participating	777
employer's business for equipment maintenance or other similar	778
circumstances that the employer knows may occur during the	779
effective period of an approved plan;	780

(3) Includes a plan for giving advance notice, if feasible,	781
to an employee whose normal weekly hours of work are to be reduced	782
and, if advance notice is not feasible, an explanation of why that	783
notice is not feasible;	784

(4) Includes a certification by the employer that the	785
aggregate reduction in the number of hours worked by the employees	786
of the employer is in lieu of layoffs and includes an estimate of	787
the number of layoffs that would have occurred absent the ability	788
to participate in the SharedWork Ohio program;	789

(5) Includes a certification by the employer that if the	790
employer provides health benefits and retirement benefits under a	791
defined benefit plan, as defined in 26 U.S.C. 414(j), as amended,	792
or contributions under a defined contribution plan as defined in	793
26 U.S.C. 414(i), as amended, to any employee whose normal weekly	794
hours of work are reduced under the program that such benefits	795
will continue to be provided to an employee participating in the	796
SharedWork Ohio program under the same terms and conditions as	797
though the normal weekly hours of work of the employee had not	798
been reduced or to the same extent as other employees not	799
participating in the program;	800

(6) Permits eligible employees to participate, as	801
appropriate, in training to enhance job skills approved by the	802
director, including employer-sponsored training or worker training	803
funded under the federal "Workforce Investment Act of 1998," 112	804
Stat. 936, 29 U.S.C. 2801 et seq., as amended;	805

(7) Includes any other information as required by the United	806
States secretary of labor or the director under the rules the	807
director adopts under section 4141.50 of the Revised Code;	808

(8) Includes an attestation by the employer that the terms of	809
the written plan submitted by the employer and implementation of	810
that plan are consistent with obligations of the employer under	811
the applicable federal and state laws;	812

(9) Includes a certification by the employer that the	813
employer will promptly notify the director of any change in the	814
business that includes the sale or transfer of all or part of the	815
business, and that the employer will notify any successor in	816
interest to the employer's business prior to the transfer of all	817
or part of the business, of the existence of any approved shared	818
work plan;	819

(10) Includes a certification by the employer that, as of the	820
date the employer submits the plan, the employer is current on all	821
reports and has paid all contributions, reimbursements, interest,	822
and penalties due under this chapter;	823

(11) Includes an assurance from the employer that the	824
employer will remain current on all employer reporting and	825
payments of contributions, reimbursements, interest, and penalties	826
as required by this chapter;	827

(12) Includes a certification by the employer that none of	828
the participating employees are employed on a seasonal, temporary,	829
or intermittent basis;	830

(13) Includes an assurance from the employer that the	831
employer will not reduce a participating employee's normal weekly	832
hours of work by more than the reduction percentage, except in the	833
event of a temporary closure of the employer's business for	834
equipment maintenance, or when the employee takes approved time	835
off during the week with pay, and the combined work hours and paid	836
leave hours equal the number of hours the employee would have	837
worked under the plan.	838

(B) The director shall approve a shared work plan if an	839
employer includes in the plan all of the information,	840
certifications, and assurances required under division (A) of this	841
section.	842

(C) The director shall approve or deny a shared work plan and	843
shall send a written notice to the employer stating whether the	844
director approved or denied the plan not later than thirty days	845
after the director receives the plan. If the director denies	846
approval of a shared work plan, the director shall state the	847
reasons for denying approval in the written notice sent to the	848
employer.	849

(D) The director shall enforce the requirements of the	850
SharedWork Ohio program in the same manner as the director	851
enforces the requirements of this chapter, including under section	852
4141.40 of the Revised Code.	853

Sec. 4141.52.  (A) A shared work plan approved under section	854
4141.51 of the Revised Code takes effect with respect to the week	855
following the date the director of job and family services	856
approves the plan. An approved shared work plan expires at the end	857
of the fifty-second calendar week after approval of the plan.	858

(B) A participating employer who wishes to modify an existing	859
approved shared work plan shall submit the modified plan to the	860
director. The director shall evaluate the modified plan and may	861
approve the plan if the plan meets the requirements for approval	862
under section 4141.51 of the Revised Code. If approved, a modified	863
plan supersedes the previously approved shared work plan,	864
effective beginning with the week following the date the director	865
approves the modified plan. The director shall not approve a	866
modified plan that fails to satisfy the requirements for approval	867
under section 4141.51 of the Revised Code.	868

(C) The director may terminate an approved shared work plan	869
for good cause. For purposes of this section, "good cause" means	870
any of the following circumstances:	871

(1) The approved shared work plan is not being executed	872
according to the terms and conditions stated in the plan.	873

(2) The participating employer fails to comply with any	874
assurances given in the participating employer's approved shared	875
work plan.	876

(3) The participating employer, or a participating employee	877
of the participating employer, violates any criteria on which	878
approval of the shared work plan was based.	879

(D) A participating employer may elect to terminate an	880
approved shared work plan by providing written notice to the	881
director. The director shall terminate the plan upon receipt of	882
the notice and shall inform the employer and each participating	883
employee of the employer in writing of the week with respect to	884
which the termination is effective.	885

(E) A decision by the director to approve or disapprove a	886
proposed shared work plan, to approve or disapprove a proposed	887
modified shared work plan, or to terminate an approved shared work	888
plan, may not be appealed pursuant to this chapter.	889

(F) Nothing in division (E) of this section shall be	890
construed to prevent an employer who has submitted a shared work	891
plan that was disapproved from submitting another shared work plan	892
in accordance with section 4141.51 of the Revised Code.	893

Sec. 4141.53. (A) An individual is eligible to receive shared	894
work compensation for a week in which the individual satisfies all	895
of the following:	896

(1) The individual is employed by a participating employer	897
and is subject to a shared work plan that was approved before that	898
week and is in effect for that week.	899

(2) The individual is available for work and is actively	900
seeking work by being available for the individual's normal weekly	901
hours of work.	902

(3) The individual's normal weekly hours of work with the	903
participating employer have been reduced by at least ten per cent	904
but not more than fifty per cent.	905

(4) The individual has been employed by an employer or	906
employers subject to this chapter in at least twenty qualifying	907
weeks within the individual's base period and has earned or been	908
paid remuneration at an average weekly wage of not less than	909
twenty-seven and one-half per cent of the statewide average weekly	910
wage for those weeks.	911

(5) The individual has been subject to a shared work plan for	912
at least one week prior to the week for which the compensation is	913
to be paid, or otherwise satisfies the waiting period requirement	914
of division (B) of section 4141.29 of the Revised Code for the	915
individual's benefit year.	916

(6) The individual otherwise satisfies the requirements of	917
this chapter and is not otherwise disqualified from receiving	918
unemployment compensation benefits.	919

(B) For purposes of division (A)(2) of this section, an	920
individual is available for the individual's normal weekly hours	921
of work with the participating employer if the individual does any	922
of the following:	923

(1) Works the number of weekly hours assigned to the	924
individual under an approved shared work plan;	925

(2) Works fewer hours than the number of weekly hours	926
assigned to the individual under an approved shared work plan and	927
either of the following apply:	928

(a) The individual takes approved time off during the week	929
with pay, and the combined work hours and paid leave hours equal	930
the number of hours the employee would have worked under the plan;	931

(b) The individual does not take approved time off with pay	932
during that week and the reduction in hours was not the fault of	933
the individual and was not more than fifty per cent of the	934
individual's normal weekly hours of work.	935

(C)(1) Except as provided in division (C)(2) or (D) of this	936
section, the director of job and family services shall pay a	937
participating employee who is eligible for weekly shared work	938
compensation in an amount equal to the participating employee's	939
weekly benefit amount as described in division (B) of section	940
4141.30 of the Revised Code for a period of total unemployment,	941
multiplied by the reduction percentage specified in the approved	942
shared work plan applicable to the participating employee.	943

(2) The director shall pay a participating employee who is	944
eligible for weekly shared work compensation in an amount equal to	945
the participating employee's weekly benefit amount as described in	946
division (B) of section 4141.30 of the Revised Code for a period	947
of total unemployment, multiplied by the percentage by which the	948
participating employee's normal weekly hours of work were actually	949
reduced during the workweek, if all of the following apply:	950

(a) The participating employee did not take approved paid	951
leave during the week.	952

(b) The participating employee's normal weekly hours of work	953
were actually reduced by not less than ten per cent and not	954
greater than fifty per cent.	955

(c) The increase or decrease in the participating employee's	956
hours above or below the number of hours assigned to the employee	957
in the approved shared work plan was not the fault of the	958
employee.	959

(3) The director shall determine fault for purposes of	960
divisions (B)(2)(b) and (C)(2)(c) of this section in the same	961
manner that the director makes determinations for benefit rights	962
and determines claims for unemployment compensation benefits under	963
sections 4141.28 and 4141.281 of the Revised Code.	964

(4) The director shall round the amount of a shared work	965
compensation payment that is not a multiple of one dollar to the	966
next lower multiple of one dollar.	967

(5) No shared work compensation shall be payable during the	968
one-week period described in division (A)(5) of this section.	969

(D) If an individual works for a participating employer and	970
another employer during the weeks the individual is covered by an	971
approved shared work plan, eligibility for shared work	972
compensation is determined as follows:	973

(1) If the combined number of hours the individual works for	974
both the participating employer and the other employer in a week	975
exceeds the amount of the individual's normal weekly hours of work	976
reduced by ten per cent, the individual is not eligible for shared	977
work compensation.	978

(2) If the combined number of hours the individual works in a	979
week for both employers equals the amount of the individual's	980
normal weekly hours of work reduced between ten and fifty per	981
cent, the director shall pay the individual, if the individual is	982
otherwise eligible, shared work compensation in an amount equal to	983
the individual's weekly benefit amount as described in division	984
(B) of section 4141.30 of the Revised Code for a period of total	985
unemployment, multiplied by the percentage by which the	986
individual's normal weekly hours of work were reduced during the	987
week when factoring in both the amount of hours worked for the	988
other employer and the amount of hours worked for the	989
participating employer.	990

(E) A participating employee is not entitled to receive	991
shared work compensation and unemployment compensation benefits	992
that, when combined, exceed the maximum total benefits payable to	993
the participating employee in a benefit year under section 4141.30	994
of the Revised Code. No participating employee shall be paid	995
shared work compensation during the employee's benefit year in an	996
amount that exceeds twenty-six times the amount of the employee's	997
weekly benefit amount for a period of total unemployment under	998
section 4141.30 of the Revised Code.	999

(F) An individual who has received all of the shared work	1000
compensation and unemployment compensation benefits available in a	1001
benefit year is an individual who has exhausted regular benefits	1002
under section 4141.30 of the Revised Code and is entitled to	1003
receive extended benefits under section 4141.301 of the Revised	1004
Code if the individual is otherwise eligible to receive benefits	1005
under that section.	1006

(G) Except as provided in division (C)(2) of this section,	1007
the director shall not pay shared work compensation to an	1008
individual for a week during which the individual performs paid	1009
work for the individual's participating employer that exceeds or	1010
falls below the reduced hours established under an approved shared	1011
work plan that covers the individual.	1012

(H)(1) Except as provided in divisions (H)(2) and (3) of this	1013
section, a participating employee is not eligible to receive	1014
benefits for being partially unemployed for any week during which	1015
the individual works as a participating employee.	1016

(2) A participating employee who performs no services during	1017
a week for the participating employer and who is otherwise	1018
eligible may be paid benefits for being totally or partially	1019
unemployed for that week.	1020

(3) A participating employee whose normal weekly hours of	1021
work are reduced by more than fifty per cent and who is otherwise	1022
eligible may be paid benefits for partial unemployment for that	1023
week.	1024

(I) Any payment of total or partial unemployment compensation	1025
benefits under this section is not a payment of shared work	1026
compensation under an approved plan but shall be calculated	1027
against the maximum total benefits payable to the participating	1028
employee in a benefit year under section 4141.30 of the Revised	1029
Code.	1030

(J) For purposes of this section and unless another benefit	1031
year applies to the individual, notwithstanding division (R)(1) of	1032
section 4141.01 of the Revised Code, a participating employee's	1033
"benefit year" is the fifty-two week period beginning with the	1034
first day of that week with respect to which the employee's	1035
participating employer first files a claim on behalf of the	1036
participating employee pursuant to division (B) of section 4141.54	1037
of the Revised Code.	1038

Sec. 4141.54. (A) Notwithstanding any provision in this	1039
chapter to the contrary, a participating employee who satisfies	1040
the availability requirement of division (A)(2) of section 4141.53	1041
of the Revised Code shall not be required to be totally or	1042
partially unemployed within the meaning of division (M) or (N) of	1043
section 4141.01 of the Revised Code, shall not be required to file	1044
a claim for unemployment compensation benefits pursuant to section	1045
4141.28 of the Revised Code, and shall not be required to meet	1046
ability to work, availability for work, and work search	1047
requirements that would otherwise be applicable to the	1048
participating employee, to receive shared work compensation under	1049
the SharedWork Ohio program.	1050

(B) The director of job and family services shall establish a	1051
schedule of consecutive two-week periods within the effective	1052
period of each approved shared work plan for the filing of shared	1053
work compensation claims. At the end of each scheduled period, the	1054
participating employer, in accordance with procedures prescribed	1055
by the director, shall file claims on behalf of the participating	1056
employer's participating employees. A participating employee, in	1057
accordance with procedures prescribed by the director, shall	1058
attest to the hours reported, report any other hours worked for an	1059
employer who is not the participating employer, and provide	1060
additional information as is requested by the director.	1061

Sec. 4141.55.  (A) If the state is eligible for and receives	1062
reimbursement for shared work compensation paid under the	1063
SharedWork Ohio program from the federal government pursuant to	1064
the federal "Layoff Prevention Act of 2012," Pub. L. No. 112-96,	1065
126 Stat. 156, notwithstanding section 4141.24 of the Revised Code	1066
and if permitted under that act, during the time period in which	1067
the state is fully or partially reimbursed the account of an	1068
employer shall not be charged for the portion of any shared work	1069
compensation paid to a participating employer's participating	1070
employees for which the state receives reimbursement. If the	1071
federal government does not provide full reimbursement for shared	1072
work compensation paid to an individual under section 4141.53 of	1073
the Revised Code, the portion of shared work compensation paid to	1074
that individual that is not reimbursed shall be charged in	1075
accordance with division (C) of this section.	1076

(B) Beginning with the week for which the federal government	1077
no longer provides reimbursement, or if the state does not receive	1078
reimbursement or the federal government requires an employer's	1079
account to be charged, any shared work compensation paid to an	1080
individual shall be charged in accordance with division (C) of	1081
this section.	1082

(C) Except as provided in divisions (A) and (B) of this	1083
section, any shared work compensation paid to an individual under	1084
section 4141.53 of the Revised Code shall be charged in accordance	1085
with division (D) of section 4141.24 of the Revised Code.	1086

Sec. 4141.56.  Beginning one year after the effective date of	1087
this section, and every year thereafter, the director of job and	1088
family services shall prepare and submit a report to the governor,	1089
the president and minority leader of the senate, and the speaker	1090
and the minority leader of the house of representatives that	1091
discusses the utilization of the SharedWork Ohio program created	1092
under section 4141.50 of the Revised Code. The director shall	1093
include in that report the number of employers and employees	1094
participating in the program, the amount of shared work	1095
compensation paid under the program during the immediately	1096
preceding year, and any other information the director considers	1097
to be relevant.	1098

Section 2.  That existing sections 4141.09, 4141.11, 4141.24,	1099
and 4141.35 of the Revised Code are hereby repealed.	1100

Section 3. The Director of Job and Family Services shall	1101
prepare and submit a report evaluating the utilization and	1102
effectiveness of the SharedWork Ohio Program created under section	1103
4141.50 of the Revised Code, as enacted by this act, and the	1104
impact of the Program on the Unemployment Compensation Fund	1105
created in section 4141.09 of the Revised Code. The Director shall	1106
base the report upon the information contained in the reports the	1107
Director prepares under section 4141.56 of the Revised Code, as	1108
enacted by this act. The Director shall submit the report to the	1109
Governor, the President and Minority Leader of the Senate, and the	1110
Speaker and the Minority Leader of the House of Representatives	1111
not later than three years after the effective date of this act.	1112

Section 4.  The federal "Layoff Prevention Act of 2012," Pub.	1113
L. No. 112-96, 126 Stat. 156, permits a state to receive federal	1114
funding to create a program under which an employer reduces the	1115
hours worked by the employer's employees in lieu of laying off	1116
those employees. This act creates the "SharedWork Ohio" program, a	1117
program that permits an employer to reduce hours worked by the	1118
employer's employees in lieu of laying off those employees and	1119
permits those employees to receive a proportionate share of	1120
unemployment compensation benefits. The Director of Job and Family	1121
Services shall implement "SharedWork Ohio" in accordance with	1122
sections 4141.50 to 4141.56 of the Revised Code, as enacted by	1123
this act. The Department of Job and Family Services may implement	1124
the program as soon as the United States Department of Labor has	1125
certified that the "SharedWork Ohio" program complies with the	1126
federal law.	1127

Section 5. This act is hereby declared to be an emergency	1128
measure necessary for the immediate preservation of the public	1129
peace, health, and safety. The reason for such necessity is so	1130
that employers can continue to employ Ohioans who would otherwise	1131
be victims of total job displacement. Therefore, this act shall go	1132
into immediate effect.	1133