CHAPTER 143
FORMERLY
SENATE BILL NO. 197
AS AMENDED BY SENATE AMENDMENTS NO. 1 & 2
AN ACT TO AMEND CHAPTERS 31 AND 33, TITLE 19, DELAWARE CODE, RELATING TO UNEMPLOYMENT COMPENSATION.
Be it enacted by the General Assembly of the State of Delaware:
Section 1. Chapter 31, Title 19, Delaware Code, is amended by adding at the end thereof a new Section 3108 as follows:
§3108. Unemployment Insurance Advisory Council
(a) There is hereby established the Unemployment Insurance Advisory Council.
(b) The Unemployment Insurance Advisory Council shall serve in an advisory capacity to the Director of Unemployment Insurance and aid the Director in reviewing the unemployment insurance program as to its content, adequacy and effectiveness and to make recommendations for its improvement.'
(c) The Unemployment Insurance Advisory Council shall be composed of seven (7) members appointed by the Governor. The terms of the newly appointed members shall be staggered. The first two (2) appointees shall serve for a term of one (1) year, the next two (2) appointees shall serve for a term of two (2) years and the next three (3) appointees shall serve for a term of three (3) years. Thereafter, all new appointees shall serve for a term of three
(3) years.
(d) Members of the Council shall serve without compensation except that they may be reimbursed for reasonable and necessary expenses incident to their duties as members of the Council.
(e) A Chairman of the Council may be chosen by the members and shall serve in that capacity for a term of one (1) year and shall be eligible for reelection.
(f) Any appointment pursuant to this section to replace a member of the Council whose position becomes vacant prior to the expiration of his term shall be filled only for the remainder of - that term.
Section 2. Section 3131, Title 19, Delaware Code, is amended by striking § 3131 in its entirety and inserting in lieu thereof a new section 3131 as follows:
§ 3131. Cooperation with Federal Agencies
In the administration of this part, the Department shall cooperate with the U. S. Department of Labor to the fullest extent consistent with the provisions of this part, and shall take such action", through the adoption of appropriate rules, regulations, administrative methods and standards, as may be necessary to secure to this State and its citizens all advantages available under the provisions of the Social Security Act that relate to Unemployment Compensation, the Federal Unemployment Tax Act, the Wagner-Peyser Act, and the Federal-State Extended Unemployment Compensation Act of 1970.
In the administration of the provisions in Section 3331 of Chapter 33, which are enacted to conform with the requirements of the Federal-State Extended Unemployment Compensation Act of 1970, the Department shall take such action as may be necessary.
(i) to ensure that the provisions are so interpreted and applied as to meet the requirements of such Federal Act as interpreted by the U. S. Department of Labor, and
(ii) to insure to this State the full reimbursement of the Federal share of extended benefits paid under this Act that are reimbursable under the Federal Act.
Upon request therefor the Department shall furnish to any agency of the United States charged with the administration of public works or assistance through public employment, the name, address, ordinary occupation, and employment status of each recipient of benefits and such recipient's rights to further benefits under this part.
The Department may make its records relating to the administration of this part available to the Railroad Retirement Board established by Act of Congress and may furnish to the Board, at the expense of the Board, such copies thereof as the Board deems necessary for its purposes.
The Department may afford reasonable cooperation with every agency of the United States charged with the administration of any Unemployment Insurance or Compensation Law.
Section 3. Amend Section 3132, Title 19, Delaware Code, by striking out subsection 3132(a) (3) in its entirety and inserting in lieu thereof a new subsection as follows:
(3) The Department shall participate in any arrangement for the payment of compensation on the basis of combining an individual's wages and employment covered under this part with his wages and employment covered under the Unemployment Compensation laws of other States or of the Federal Government which are approved by the United States Secretary of Labor in consultation with the State Unemployment Compensation Agencies as reasonably calculated to assure the prompt and full payment of compensation in such situations and which includes
provisions for:
(A) Applying the base period of a single State law to a claim involving the combining of an individual's wages and employment covered under two or more State Unemployment Compensation
laws, and
(B) Avoiding the duplicate use of wages and employment by reason of such combining.
Section 4. Amend Section 3133, Title 19, Delaware Code, by striking the words "Section 1603 (a) (4) of the Internal Revenue Code" and inserting in lieu thereof the words "Section 3304(a) (4) of the Internal Revenue Code."
Section 5. Section 3302, Title 19, Delaware Code, is amended as follows:
(a) By striking out subsection 3302 (1) in its entirety.
(b) By striking out subsection 3302 (8) in its entirety and inserting in lieu thereof a new subsection as follows:
(8) "Employer" means:
(A) Any employing unit which, after December 31, 1971,
(i) in any calendar quarter in either the current or preceding calendar year paid for service in employment wages of $1500 or more, or
(ii) for some portion of a day in each of 20 different calendar weeks, whether or not such weeks were consecutive, in
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employment at least one individual (irrespective of whether the same individual was in employment in each such day);
(B) Any employing unit for which service in employment, as defined in Section 3302 (10) (B), is performed after December 31, 1971;
(C) Any employing unit for which service in employment, as defined in Section 3302 (10) (C), is performed after December 31, 1971;
(D) Any employing unit (whether or not an employing unit at the time of acquisition) which acquired the organization, trade, or business, or substantially all of the assets thereof, of another employing unit which at the time of such acquisition was an employer subject to this Chapter; or which acquired a part of the organization, trade, or business of another employing unit which at the time of such acquisition was an employer subject to this Chapter;
(E) Any employing unit which acquired the organization, trade, or business, or substantially all the assets thereof, of another employing unit (not an employer subject to this Chapter) and which would be an employer under paragraph (A) of this subdivision if, subsequent to such acquisition, it were treated as a single unit with such other employing unit;
(F) Any employing unit which, together with one or more other employing units, is owned or controlled (by legally
enforceable means or otherwise) directly or indirectly by the same interests, or which owns or controls one or more other employing units (by legally enforceable means or otherwise),, and which if treated as a single unit with such other employing units or interests, or both, would be an employer under paragraph (A) of this subdivision;
(G) Any employing unit not an employer by reason of any other paragraph of this subsection (i) for which, within either the current or preceding calendar year, service is or was performed with respect to which such employing unit is liable for any Federal tax against which credit may be taken for assessments required to be paid into a State Unemployment fund; or (ii) which, as a condition for approval of this Act for full tax credit against the tax imposed by the Federal Unemployment Tax Act as required, pursuant to such Act, to be an "employer" under this Act;
(H) Any employing unit which, having become an employer under paragraph (A), (B), (C), (D), (E), (F), or (G) of this subsection, has not under sections 3341-3343 of this title ceased to be an employer subject to this Chapter; and
(I) For the effective period of its election pursuant to Section 3343, any employing unit which has elected to become subject to this Chapter.
For purposes of paragraphs (A) and (C) employment shall include service which would constitute employment but for the fact that such service is deemed to be performed entirely within another state pursuant to an election under an arrangement entered into (in accordance with Section 3121 of this title) by the Department and an Agency charged with the administration of any other State or Federal Unemployment Compensation Law.
For purposes of paragraphs (A) (ii) and (C), if any week includes both December 31 and January 1, the days of that week up to January 1 shall be deemed one calendar week and the days beginning January 1 another such week.
(c) By striking out subsection 3302(10) in its entirety and inserting in lieu thereof a new subsection as follows:
(10) "Employment" means:
(A) Any service performed prior to January 1, 1972, which was employment as defined in this subsection prior to such date and, subject to the other provisions of this subsection, service
performed after December 31, 1971, including service in interstate commerce, by
(i) any officer of a corporation; or
(ii) any individual who, under Section 3302(10) (K) has the status of an employee; or
() any individual other than an individual who is an
employee under subdivision (i) or (ii) who performs services for remuneration for any person—
(I) as an agent-driver or commission-driver engaged in distributing meat products, vegetable products, fruit products,
bakery products, beverages (other than milk,) or laundry or dry-cleaning services, for his principal;
() as a traveling or city salesman, other than as an agent-driver or commission-driver, engaged upon a full-time basis in the solicitation on behalf of, and the transmission to, his principal (except for side-line sales activities on behalf of some other person) of orders from wholesalers, retailers, contractors, or operators of hotels, restaurants, or other similar establishments for
merchandise for resale or supplies for use in their business operations;
() as a full-time insurance salesman; •
(I) as a homeworker performing work, according to specifications furnished by the person for whom the services are performed, on materials or goods furnished by such person which
are required to be returned to such person or a person designated by him;
Provided, that for purposes of subparagraph (A) the term
"employment" shall include services described in (I), (II), (III), and (IV) above, performed after December 31, 1971, only if:
1. The contract of service contemplates that substantially
all of the services are to be performed personally by such individual;
2. The individual does not have a substantial investment in facilities used in connection with the performance of the services (other than in facilities for transportation); and
3. The services are not in the nature of a single transaction that is not part of a continuing relationship with the person for whom the services are performed;
(B) Service performed after December 31, 1971 by an individual in the employ of this State of any of its instrumentalities (or in the employ of this State and one or more other States or their instrumentalities) for a hospital or institution of higher education located in this State, provided that such service is excluded from employment as defined in the Federal Unemployment Tax Act, pursuant to Section 3306(c) (7) of that Act, solely by reason that such service is immune under the Constitution of the United States from the tax of that Act and is not excluded from employment under Section 3302(10) (D) of this Chapter;
(C) Service performed after December 31, 1971 by an individual in the employ of a religious, charitable, educational or other organization but only if the following conditions are met:
(i) The service is excluded from "employment" as defined in the Federal Unemployment Tax Act solely by reason of Section 3306(c) (8) of that Act; and
(ii) the organization had four (4) or more individuals in employment for some portion of a day in each of 20 different weeks, whether or not such weeks were consecutive, within either the current or preceding calendar year, regardless of whether they were employed at the same moment of time.
(D) For the purposes of paragraphs (B) and (C) the term "employment" does not apply to service performed-
(i) in the employ of (I) a church or convention or association of churches, or (II) an organization which is operated primarily for religious purposes and which is operated, supervised, controlled, or principally supported by a church or convention or association of churches; or
(ii) by a duly ordained, commissioned or licensed minister of a church in the exercise of his ministry or by a member of a religious order in the exercise of duties required by such order; or
(iii) in the employ of a school which is not an institution of higher education; or
(iv) in a facility conducted for the purpose of carrying out a program of rehabilitation for individuals whose earning capacity is impaired by age or physical or mental deficiency or injury or providing remunerative work for individuals who because of their impaired physical or mental capacity cannot be readily absorbed in the competitive labor market by an individual receiving such rehabilitation or remunerative work; or
(v) as part of an unemployment work-relief or work-training program assisted or financed in whole or in part by any Federal agency or an agency of a State or political subdivision thereof by an individual receiving such work relief or work training; or
(vi) for a hospital in a State prison or other State correctional institution by an inmate of the prison or correctional institution.
(E) The term "employment" shall include the service of an individual who is a citizen of the United States, performed outside the United States (except in Canada or the Virgin Islands), after December 31, 1971 in the employ of an American employer (other than service which is deemed "employment" under the provisions of sub-paragraphs (H) or (I) of this subsection or the parallel provisions of another State's law), if:
(i) the employer's principal place of business in the United States is located in this State; or
(ii) the employer has no place of business in the United States, but
I. the employer is an individual who is a resident of this State; or
. the employer is a corporation which is organized under the laws of this State; or
III. the employer is a partnership or a trust and the number of partners or trustees who are residents of this State is greater than the number who are resident of any one other State; or
(iii) none of the criteria of divisions (i) and (ii) of this subparagraph is met but the employer has elected coverage in this State or, the employer having failed to elect coverage in any State, the individual has filed a claim for benefits, based on such service, under the law of this State.
(iv) An "American employer" for purposes of this paragraph means a person who is:
I. an individual who is a resident of the United States; or
II. a partnership if two-thirds or more of the partners are residents of the United States; or
. a trust, if all of the trustees are residents of the United States; or
. a corporation organized under the laws of the United States or of any State.
(v) For purposes of this paragraph, the term "United States" includes the States, the District of Columbia, and the Commonwealth of Puerto Rico.
(F) Notwithstanding subsection (H) all service performed after December 31, 1971 by an officer or member of a crew of an American vessel on or in connection with such vessel, if the operating office, from which the operation of such vessel operating on navigable waters within, or within and without, the United States are ordinarily and regularly supervised, managed, directed and controlled is within this State; and
(G) Notwithstanding any other provisions of this subsection, service with respect to which a tax is required to be paid under any Federal law imposing a tax against which credit may be taken for assessments required to be paid into a State unemployment fund or which as a condition for full tax credit against the tax imposed by the Federal Unemployment Tax Act is required to be covered under this Chapter.
(H) The term "employment" shall include an individual's entire service, performed within, or both within and without, this State if the service is localized in this State. Service shall be deemed to be localized within this State if —
(i) the service is performed entirely within this State; or
(ii) the service is performed both within and without this State but the service performed without this State is incidental to the individual's service within the State; for example, is temporary or transitory in nature or consists of isolated transactions.
(I) The term "employment" shall include an individual's entire service, performed within, or both within or without, this State if the service is not localized in any State but some of the service is performed in this State and
(i) the individual's base of operation is in this State; or
(ii) if there is no base of operations, then the place from which such service is directed or controlled is in this State; or
() the individual's base of operations or place from which such service is directed or controlled is not in any State in which some part of the service is performed, but the individual's residence is in this State.
(J) Service covered by an election pursuant to Section 3343 shall be deemed to be employment during the effective period of the election.
(K) Notwithstanding any other provisions of this Chapter and irrespective of whether the common law relationship of employer and employee exists, services performed by an individual for wages, unless and until it is shown to the satisfaction of Department that —
(i) such individual has been and will continue to be free from control and direction in connection with the performance of such service, both under his contract for the performance of services and in fact; and
(ii) such service is performed either outside the usual course of the business for which the service is performed or is performed
outside of all the places of business of the enterprise for which the service is performed; and
(iii) such individual is customarily engaged- in an independently established trade, occupation, profession, or business of the same nature as that involved in the service performed.
(d) By striking out subsection 3302(11) (A) in its entirety and inserting in lieu thereof a new subsection as follows:
(11) (A) Service performed by an individual in agricultural labor. For purposes of this subparagraph, the term "agricultural labor" means any service performed prior to January 1, 1972 which was agricultural labor as defined in this subparagraph prior to such date, and remunerated service performed after December 31, 1971:
(i) on a farm, in the employ of any person, in connection with cultivating the soil, or in connection with raising or harvesting any agricultural or horticultural commodity, including the raising, shearing, feeding, caring for, training, and management of livestock, bees, poultry, and fur-bearing animals and wildlife:
(ii) in the employ of the owner or tenant or other operator of a farm, in connection with the operation, management, conservation, improvement, or maintenance of such farm and its tools and equipment, or in salvaging timber or clearing land of brush and other debris left by a hurricane, if the major part of such service is performed on a farm;
() in connection with the production or harvesting of any commodity defined as an agricultural commodity in section 15(g) of the Agricultural Marketing Act, as amended (46 Stat. 1550, sec. 3; 12 U.S.C.1141j) or in connection with the ginning of cotton, or in connection with the operation or maintenance of ditches, canals, reservoirs, or waterways, not owned or operated for profit, used exclusively for supplying and storing water for farming purposes;
(i) (I) in the employ of the operator of a farm in handling, planting, drying, packing, packaging, processing, freezing, grading, storing or delivering to storage or to market or to a carrier for transportation to market, in its unmanufactured state, any agricultural or horticultural commodity; but only if such operator produced more than one-half of the commodity with respect to which such service is performed;
(II) in the employ of a group of operators of farms (or a cooperative organization of which such operators are members) in the performance of service described in subdivision (I), but only if such operators produced more than one-half of the commodity with respect to which such service is performed;
(III) the provisions of subdivisions (I) and (II) shall not be deemed to be applicable with respect to service performed in connection with commercial canning or commercial freezing or in connection with any agricultural or horticultural commodity after its delivery to a terminal market for distribution for consumption;
or
(v) on a farm operated for profit if such service is not in the course of the employer's trade or business or is domestic service in a private home of the employer.
(B) As used in subparagraph (A), the term "farm" includes stock, dairy, poultry, fruit, fur-bearing animal, and truck farms, plantations, ranches, nurseries, ranges, greenhouses or other similar structures used primarily for the raising of agricultural or horticultural commodities, and orchards.
(e) By striking out subsection 3302 (11) (C) in its entirety.
(f) By striking out subsection 3302 (11) (E) in its entirety.
(g) By striking out subsection 3302 (11) (F) in its entirety and inserting in lieu thereof a new subsection as follows:
(F) Service performed after December 31, 1971 in the employ of this State, or of any political subdivision, or of any instrumentality of this State or its political subdivision except as provided in Section 3302 (10) (B) or Section 3343(c) of this Act.
(h) By striking out subsection 3302 (11) (G) in its entirety and inserting in lieu thereof a new subsection as follows:
(G) Service performed after December 31, 1971 in the employ of a corporation, community chest, fund or foundation, organized and operated exclusively for religious, charitable, scientific, testing for public safety, literary, or educational purposes, or for the prevention of cruelty to children or animals, no part of the net earnings of which inures to the benefit of any private shareholder or individual, no substantial part of the activities of which is carrying on propaganda, or otherwise attempting to influence legislation, and which does not participate in, or intervene in (including the publishing or distributing of statements), any political campaign on behalf of any candidate for public office, except as provided in Section 3302(10) (C) of this Act.
(i) By striking out subsection 3302(11) (J) in its entirety.
() By amending further subsection 3302(11) by adding at the end thereof the following new subparagraphs (11) (L), (11) (M), and (11) (N) as follows:
(L) Service performed after December 31, 1971 in the employ of a school, college, or university, if such service is performed by a student who is enrolled and is regularly attending classes at such school, college, or university.
(M) Service performed after December 31, 1971 by an individual under the age of 22 who is enrolled at a nonprofit or public educational institution which normally maintains a regular faculty and curriculum and normally has a regular organized body of students in attendance at the place where its educational activities are carried on as a student in a full-time program, taken for credit at such institution, which combines academic instruction with work experience, if such service is an integral part of such program and such institution has so certified to the employer, except that this subparagraph shall not apply to service performed in a program established for or on behalf of an employer or a group of employers.
() Service performed after December 31, 1971 in the employ of a hospital if such service is performed by a patient of the hospital, as defined in Section 3302(21).
(k) By striking out subsection 3302(14) in its entirety and inserting in lieu thereof a new subsection as follows:
(14) "States" includes, in addition to the States of the United States of America, the District of Columbia, the Commonwealth of Puerto Rico and Virgin Islands.
(1) By striking out subparagraph 3302(17) (A) in its entirety and inserting in lieu thereof a new subparagraph as follows:
(17) "Wages" does not include —
(A) For the purposes of subsections (b) and (d) of section 3313 of this title, and subdivision (5) of section 3314 and sections 3345 and 3348 of this title:
(i) that part of the remuneration which, after remuneration equal to $3600 with respect to employment during any calendar years preceding January 1, 1972, is paid to such individual by such employer during such calendar year; or
(ii) after December 31, 1971, that part of the remuneration which, after remuneration equal to $4200 is paid to such individual by such employer during such calendar year.
For the purposes of subsections (b) and (d) of Section 3313, and subdivision (5) of section 3314 of this chapter,
(i) if $3600 or more of remuneration has been paid by one employer to an individual during any calendar year prior to January 1, 1972, some portion of which is included in such individual's base period, the $3600 shall be equally prorated throughout the quarters of such calendar year in which he was so employed, or
() if $4200 or more of remuneration has been paid by one employer to an individual during any calendar year after December 31, 1971, some portion of which is included in such individual's base period, the $4200 shall be equally prorated throughout the quarters of such calendar year in which he was so employed.
The remuneration paid to an individual by an employer with respect to employment in another state or other states, upon which assessments were required of and paid by such employer under an unemployment compensation law of such other state or states shall be included as part of remuneration equal to $3600 referred to in subsection (i) or $4200 referred to in subsection (ii).
(m) By adding at the end of the said section the following new subsections (20) and (21).
(20) "Institutions of higher education", for the purposes of this section, means an education institution which
(A) admits as regular students only individuals having a certificate of graduation from a high school, or the recognized equivalent of such a certificate;
(B) is legally authorized in this State to provide a program of education beyond high school;
(C) provides an educational program for which it awards a bachelor's or higher degree, or provides a program which is acceptable for full credit toward such a degree, a program of post-graduate or post-doctoral studies, or a program of training to prepare students for gainful employment in a recognized occupation; and
(D) is a public or other nonprofit institution.
(E) Notwithstanding any of the foregoing provisions of this subsection, all colleges and universities in this State are institutions of higher education for purposes of this section.
(21) "Hospital" means an institution which has been licensed, certified or approved by the Department of Health and Social Services as a hospital.
Section 6. Section 3314, Title 19, Delaware Code, is amended by adding at the end thereof the following new - subsection to be numbered (6).
(6) Benefits based on service in employment defined in Section 3302(10) (B) and (C) shall be payable in the same
amount, on the same terms, and subject to the same conditions as compensation payable on the basis of other service subject to this part; except that benefits based on service in an instructional, research, or principal administration capacity in an institution of higher education (as defined in Section 3302(20) shall not be paid to an individual for any week of unemployment which begins during the period between two successive academic years, or during a similar period between two regular terms, whether or not successive, or during a period of paid sabbatical leave provided for in the individual's contract, if the individual has a contract or contracts to perform services in any such capacity for any institution or institutions of higher education for both such academic years or both such terms.
Section 7. Subchapter 2, Title 19, Delaware Code, is amended by adding at the end thereof a new Section 3331 to read as follows:
§ 3331 Extended benefits
(a) As used in this section, unless the context clearly requires otherwise:
(1) "Extended benefits period" means a period which
(A) begins with the third week after whichever of the following weeks occurs first:
(i) a week for which there is a national "on" indicator, or
(ii) a week for which there is a State "on" indicator; and
(B) ends with either of the following weeks, whichever occurs later:
(i) the third week after the first week for which there is both a national "off" indicator and a State "off" indicator; or
(ii) the thirteenth consecutive week of such period;
Provided, That no extended benefit period may begin by reason of a State "on" indicator before the fourteenth week following the end of a prior extended benefit period which was in effect with respect to this State; and
Provided further, That no extended benefit period may become effective in this State for any week beginning before January 1, 1972.
(2) There is a "national 'on' indicator" for a week if the U. S. Secretary of Labor determines that for each of the three most recent completed calendar months ending before such week, the rate of insured unemployment (seasonally adjusted) for all States equaled or exceeded 4.5 per cent.
(3) There is a "national 'off' indicator" for a week if the U. S. Secretary of Labor determines that for each of the three most recent completed calendar months ending before such week, the rate of insured unemployment (seasonally adjusted) for all States was less than 4.5 per cent.
(4) There is a "State 'on' indicator" for this State for a week if the Department determines, in accordance with the regulations of the U. S. Secretary of Labor, that for the period consisting of such week and immediately preceding twelve weeks, the rate of insured unemployment (not seasonally adjusted) under this Act —
(A) equaled or exceeded 120 per cent of the average of such rates for the corresponding 13 week period ending in each of the preceding two calendar years, and
(B) equaled or exceeded 4 per cent.
(5) There is a "State 'off indicator" for this State for a week if the Department determines, in accordance with the regulations of the U. S. Secretary of Labor, that for the period consisting of such week and the immediately preceding twelve weeks, the rate of insured unemployment (not seasonally adjusted) under this Act —
(A) was less than 120 per cent of the average of such rates for the corresponding 13 week period ending in each of the preceding two calendar years, or
(B)
was less than 4 per cent.
(6) "Rate of insured unemployment," for purposes of paragraphs (4) and (5) of this subsection, means the percentage derived by dividing
(i) the average weekly number of individuals filing claims in this State for weeks of unemployment with respect to the most recent 13-consecutive-week period, as determined by the Department on the basis of his reports to the U. S. Secretary of Labor, by
(ii) The average monthly employment covered under this Act for the first four of the most recent six completed calendar quarters ending before the end of such 13-week period.
(7) "Regular benefits" means benefits payable to an individual under this Act or under any other State law (including benefits payable to Federal civilian employees and to ex-servicemen pursuant to 5 U. S. C. Chapter 85) other than extended benefits.
(8) "Extended benefits" means benefits (including benefits payable to Federal civilian employees and to ex-servicemen pursuant to 5 U. S. C. Chapter 85) payable to an individual under the provisions of this section for weeks of unemployment in his eligibility period.
(9) "Eligibility period" of an individual means the period consisting of the weeks in his benefit year which begin in an extended benefit period and, if his benefit year ends within such extended benefit period, any weeks thereafter which begin in such period.
(10) "Exhaustee" means an individual who, with respect to any week of unemployment in his eligibility period:
(A) has received, prior to such week, all of the regular benefits that were available to him under this Act or any other State law (including dependents' allowances and benefits payable to Federal civilian employees and ex-servicemen under 5 U. S. C. Chapter 85) in his current benefit year that includes such week;
S in most part-Labor,
Provided, That, for the purposes of this subparagraph, an individual shall be deemed to have received all of the regular benefits that were available to him although
-
(0 as a result of a pending appeal with respect to wages that were
not considered in the original monetary determination in his benefit year, he may
subsequently be determined to be entitled to added regular benefits; or
an in-ding rviceended
efits men under in his
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ular ther able S. C.
(ii) he m
ay be entitled to regular benefits with respect to
future weeks of unemployment, but such benefits are not payable
with respect to such week of unemployment by reason of the
provisions in Section 3316; or
(B)
his benefit year having expired prior to such week,
has
no, or insufficient, wages on the basis of which he could establish
a new benefit year that would include such week; and
()
(i) has no right to unemployment benefits or allow
ances, as the case may be, under the Railroad Unemployment
Insurance Act, the T
rade Expansion Act of 1962, the Automotive
Products Trade Act of 1965 and such other Federal laws as are
specified in regulations issued by the U. S. Secretary of Labor; and
(ii) has not received and is not seeking unemployment
benefits under the unemploym
ent compensation law of the Virgin
Islands or of Canada; but if he is seeking such benefits and the
appropriate agency finally determines that he is not entitled to
benefits under such law he is considered an exhaustee.
(11) "State Law" means the unemploym
ent insurance law of any State, approved by the U. S. Secretary of Labor under
Section 3304 of the Internal Revenue Code of 1954.
(b)
Except when the result would be inconsistent with the
other provisions of this section, as provided in the regulations of
the
Department, the provisions of this part which apply to claims for, or the payment of, regular benefits shall apply to claims for, and the payment of, extended benefits.
(c)
An individual shall be eligible to receive extended
benefits with respect to any week o
f unemployment in his
eligibility period only if the Department finds that with respect to
such week:
(1) he is an "exhaustee" as defined in subsection (a)(10),
(2) he has satisfied the requirements of this Act- for the receipt of regular benefits that are applicable to individuals claiming extended benefits, including not being subject to a disqualification for the receipt of benefits.
(d) The weekly extended benefit amount payable to an individual for a week of total unemployment in his eligibility period shall be an amount equal to the weekly benefit amount payable to him during his applicable benefit year.
(e) The total extended benefit amount payable to any eligible individual with respect to his applicable benefit year shall be the least of the following amounts:
(1) fifty per cent of the total amount of regular benefits which were payable to him under this Act in his applicable benefit
year;
(2) thirteen times his weekly benefit amount which was payable to him under this Act for a week of total unemployment in the applicable benefit year.
(f) (1) Whenever an extended benefit period is to become effective in this State (or in all States) as a result of State or National "on" indicators, or an extended benefit period is to be terminated in this State as a result of State and National "off" indicators, the Department shall make an appropriate public announcement.
(2) Computations required by the provisions of subsection (a)(6) shall be made by the Department, in accordance with regulations prescribed by the U. S. Secretary of Labor.
Section 8. Amend Section 3342, Title 19, Delaware Code, by striking out Section 3342 in its entirety and inserting in lieu thereof a new section as follows:
§ 3342. Termination of employer's coverage
Except as otherwise provided in Section 3343 of this title, ar employing unit shall cease to be an employer subject to thi!
Chapter only as of the first day of January of any calendar year, if it files with the Department, prior to the fifth day of January of such year, a written application for termination of employment and the Department finds that there was no employment as defined in Sections 3302(8) (A) and 3302 (10) (C) performed for an employing unit within the preceding calendar year.
For purposes of this section, the two or more employing units mentioned in subdivision (8) (D), (8) (E) or (8) (F) of Section 3302 of this title shall be treated as a single employing unit.
Section 9. Amend Section 3343, Title 19, Delaware Code, by striking out subsection (c) in its entirety and inserting in lieu thereof a new subsection as follows:
(c) Any agency or instrumentality of the State of Delaware, except hospitals or institutions of higher education covered by provisions of section 3302 (8) (B), may elect coverage for its employees or for selected groups of employees under this chapter.
Section 10. Section 3343, Title 19, Delaware Code, is further amended by adding at the end thereof new subsections (d) and (e) as follows:
() (1) Any political subdivision of this State may elect to cover under this Act service performed by employees in all of the hospitals and institutions of higher education, as defined in Sections 3302(20) and 3302(21), operated by such political subdivision. Election is to be made by filing with the Department a notice of such election at least 30 days prior to the effective date of such election. The election may exclude any service described in 3302(10) (D). Any political subdivision electing coverage under this subsection shall make payments in lieu of assessments with respect to benefits attributable to such employment as provided with respect to nonprofit organizations in paragraph 3345(c) (4).
(2) The provision in Section 3314(6) with respect to benefit rights based on service for State and nonprofit institutions of higher education shall be applicable also to service covered by an election under this section.
(3) The amounts to be paid in lieu of assessments by any political subdivision under this section shall be billed and payment made as provided in sections 3345 (c) (4) (C) with respect to similar payments by nonprofit organizations.
(4) An election under this section may be terminated by filing with the Department written notice not later than 30 days preceding the last day of the calendar year in which the termination is to be effective. Such termination becomes effective as of the first day of the next ensuing calendar year with respect to services performed after that date.
(e) Any agency or instrumentality of the State of Delaware or any political subdivision thereof which elects coverage for any of its employees shall for the purposes of this Chapter be referred to as a liable public employer.
Section 11. Section 3345, Title 19, Delaware Code, is amended by striking out the said section 3345 in its entirety and inserting in lieu thereof a new section as follows:
§3345. Payment of employer's assessments
(a) Assessments shall accrue and become payable by each employer for each calendar year in which he is subject to this chapter, with respect to wages for employment. Such assessments shall become due and be paid by each employer to the Department for the fund in accordance with such regulations as the Department prescribes. Except in the case of a false or fraudulent report with intent to evade tax, the amount of assessments imposed by this Act shall be assessed within four years after the date of the filing of the report required by this chapter with respect to such assessments, and no civil action or other proceeding to enforce the payment of such assessments shall be commenced more than four years after the date of the filing of such report.
(b) "Base of Assessment". For the purposes of Section 3345(a) and 3348 and (i) subsequent to December 31, 1954 and prior to January 1, 1972, wages shall not include that part of remuneration which, after remuneration equal to $3600 has been paid in a calendar year to an individual by an employer or his predecessor with respect to employment during any calendar year, is paid to such individual by such employer during such calendar year, and (ii) subsequent to December 31, 1971, wages shall not
include that part of remuneration which, after remuneration equal to $4200 has been paid in a calendar year to an individual by an employer or his predecessor with respect to employment during any calendar year, is paid to such individual by such employer during such calendar year. For the purposes of this subsection, the term employment shall include service constituting employment under any unemployment compensation law of another State.
(c) Liability for assessments and election of reimbursement —
(1) In lieu of assessments required of employers under Section 3348 of this Act, liable public employers defined in Section 3343(e) shall pay into the Unemployment Compensation fund an amount equal to the amount of the regular benefits and of one-half of the extended benefits paid, that is attributable to service in the employ of such liable public employer, to individuals for weeks of unemployment which begin during the effective period of such election.
(2) For purposes of this section, hospitals and institutions of higher education, covered under the provisions of Section 3302 (8) (B), are considered liable public employers and may elect reimbursement in lieu of assessments. The provisions of subsection (c) (3) of this section shall apply to hospitals and institutions of higher education covered under the provisions of Section 3302(8) (B).
(3) Any nonprofit organization or group of organizations, described in Section 501(c) (3) of the Internal Revenue Code which is exempt from income tax under Section 501(a) of such Code, which pursuant to Section 3302(8) (C) of this Act, is or becomes subject to this Chapter on or after January 1, 1972 shall pay assessments under the provisions of Sections 3345(a), 3345(b), and 3348 unless it elects, in accordance with this paragraph, to pay to the Department for the unemployment compensation fund an amount equal to the amount of the regular benefits and of one-half of the extended benefits paid, that is attributable to service in the employ of such nonprofit organization, to individuals for weeks of unemployment which begin during the effective period of such election.
(A) Any nonprofit organization which is, or becomes subject to this Act on January 1, 1972 may elect to become liable for reimbursement payments in lieu of assessments for a period of - not less than one taxable year beginning with January 1, 1972 provided it files with the Department a written notice of its election within a 30 day period immediately following such date.
(B) Any nonprofit organization which becomes subject to this Chapter after January 1, 1972 may elect to become liable for reimbursement payments in lieu of assessments for a period of not less than 12 months beginning with date on which such subjectivity begins by filing a written notice of its election with this Department not later than 30 days immediately following the date of the determination of such subjectivity.
(C) Any nonprofit organization which makes an election in accordance with subparagraph (A) or subparagraph (B) of this section will continue to be liable for reimbursement payments in lieu of assessments until it files with the Department a written notice terminating its election of reimbursement payments not later than 30 days prior to the beginning of the taxable year for which such termination shall first be effective.
The term "reimbursement payments in lieu of assessments" means the money payments to the State unemployment compensation fund in lieu of assessments (required under Section 3348) by nonprofit organizations and liable public employers and which are equivalent to the amount of the regular benefits and of one-half of the extended benefits paid that is attributable to service in the employ of such employers.
() Any nonprofit organization which has been paying assessments under this Act for a period subsequent to January 1, 1972 may change to a reimbursable basis by filing with the Department not later than 30 days prior to the beginning of any taxable year a written notice of election to become liable for reimbursement payments in lieu of assessments. Such election shall not be terminable by the organization for that and the next
year.
(A) The Department may for good cause extend the period within which a notice of election, or a notice of termination, must
be filed, and may permit an election to be retroactive but not any earlier than with respect to benefits paid after December 31, 1969.
(F) The Department, in accordance with such regulations as he may prescribe, shall notify each nonprofit organization of any determination which he may make of its status as an employer and of the effective date of any election which it makes and of any termination of such election. Such determinations shall be subject to reconsideration, appeal and review in accordance with the provisions of Section 3344.
(4) (A) If benefits paid an individual are based on wages paid by one or more employers that are liable for reimbursement payments in lieu of assessments and on wages paid by one or more employers liable for assessments under Section 3348, the amount of benefits reimbursable by each employer liable for reimbursement payments to the fund shall be the amount which bears the same ratio to the total benefits paid to the individual as the total base period wages paid to the individual by such employer bear to the total base period wages paid to the individual by all his base period employers.
(B) If benefits paid an individual are based on wages paid by two or more employers liable for reimbursement payments in lieu of assessments, the amount of benefits reimbursable by each such employer to the fund shall be an amount which bears the same ratio to the total benefits paid to the individual as the total base period wages paid to the individual by such employer bear to the
total base period wages paid to the individual by all his base period employers.
(c) At the end of each calendar quarter, or at the end of any other period as determined by the Department, the Department shall bill each nonprofit organization (or group of such organizations) which has elected to make payments in lieu of assessments for an amount equal to the full amount of regular benefits plus one-half of the amount of extended benefits paid during such
quarter or other prescribed period that is attributable to service in the employ of such organization.
(D) Payment of any bill rendered under subparagraph (C) shall be made not later than 30 days after such bill was mailed to the last known address of the nonprofit organization or was otherwise delivered to it, unless there has been an application for review and redetermination in accordance with subparagraph (F).
(E) Payments made by any nonprofit organization under the provisions of this subsection shall not be deducted or deductible, in whole or in part, from the remuneration of individuals in the employ of the organization.
(F) The amount due specified in any bill from the Department shall be conclusive on the organization unless, not later than 15 days after the bill was mailed to its last known address or otherwise delivered to it, the organization files an application for redetermination, setting forth the grounds for such application. The Department shall promptly review and reconsider the amount due specified in the bill and shall thereafter issue a redetermination in any case which such application for redetermination has been filed. Any such redetermination shall be conclusive on the organization unless, not later than 15 days after the redetermination was mailed to its last known address or otherwise delivered to it, the organization files an appeal to the Board, setting forth the grounds for appeal. Proceedings on appeal to the Board from the amount of a bill rendered under this subsection or a redetermination of such amount shall be in accordance with the provisions of Section 3344(b) and the decision of the Board shall be subject to the provisions of Section 3344(c).
(G) Past due reimbursement payments in lieu of assessments shall be subject to the same interest and penalties that, pursuant to Section 3357, apply to past due assessments.
(5) Notwithstanding any other provisions of Section 3345(c) (3), any nonprofit organization that prior to January 1, 1969 paid assessments required by subsection (a) of this section and pursuant to Section 3345(c) (3) elects, within thirty days after the effective date of such subsection 3345(c) (3), to make payments in lieu of assessments, shall not be required to make such payment on account of any regular or extended benefits paid, on the basis of wages paid by such organization to individuals for weeks of unemployment which began on or after the effective date of such election until the total amount of such benefits equals the amount (i) by which the assessments paid by such organization with respect to the two year period before the effective date of the election under 3345(c) (3) exceed
(ii) the total amount of unemployment benefits paid for the same period under this Chapter on the basis of wages paid for employment by such organization.
(6) Group accounts — Two or more employers that have become liable for payments in lieu of assessments, in accordance with the provisions of subsection 3345(c), may file a joint application to the Department for the establishment of a group account for the purpose of sharing the cost of benefits paid that are attributable to service in the employ of such employers. Each such application shall identify and authorize a group representative to act as the group's agent for the purposes of this paragraph. Upon his approval of the application, the Department shall establish a group account for such employers effective as of the beginning of the calendar quarter in which he receives the application and shall notify the group's representative of the effective date of the account. Such account shall remain in effect for not less than two years and thereafter until terminated at the discretion of the Department or upon application by the group. Upon establishment of the account, each member of the group shall be liable for payments in lieu of assessments with respect to each calendar quarter in the amount that bears the same ratio to the total benefits paid in such quarter that are attributable to service performed in the employ of all members of the group as the total wages paid for service in employment by such member in such quarter bear to the total wages paid during such quarter for service performed in the employ of all members of the group. The Department shall prescribe such regulations as it deems necessary with respect to applications for establishment, maintenance and termination of group accounts that are authorized by this paragraph, for addition of new members to, and withdrawal of active members from, such accounts, and for the determination of the amounts that are payable under this paragraph by members of the group and the time and manner of such payments.
Section 12. Section 3352, Title 19, Delaware Code, is amended by striking out § 3352 in its entirety and inserting in lieu thereof a new § 3352 as follows:
§ 3352. Joint accounts of employers
The Department may prescribe regulations for the establishment, maintenance, and dissolution of joint accounts by two or more employers subject to assessments required by Section 3345(a) and (b) of this Chapter, and shall, in accordance with st regulations and upon application by two or more employers establish such an account, or to merge their several individual accounts in a joint account, maintain such joint account as if constituted a single employer's account.
Group accounts for two or more employers that have become liable for payments in lieu of assessments is prescribed in Section 3345(c) (6) of this Chapter.
Section 13. Section 3357, Title 19, Delaware Code, amended by striking out the last unnumbered paragraph Section 3357 which defines "state" in its entirety.
Approved June 23, 1971.