(c) Annually, beginning with the first year in which the amount determined under par. (b) 1. is less than $100,000, the department shall proceed as follows:
1. If the sum of the amount determined under par. (b) 2. in the current year and any amount carried over under subd. 2. or 3. from the preceding year is $20,000 or more, the department shall, subject to subd. 3., assess reimbursable employers for that sum.
2. If the sum of the amount determined under par. (b) 2. in the current year and any amount carried over under this subdivision or subd. 3. from the preceding year is less than $20,000 the department shall, subject to subd. 4., postpone the current year's assessment by carrying that sum over to the following year.
3. If the sum of the amount determined under par. (b) 2. in the current year and any amount carried over under this subdivision or subd. 2. from the preceding year is more than $200,000, the department shall postpone the amount of the assessment that exceeds $200,000 by carrying that amount over to the following year.
4. If the department postponed assessments under subd. 2. in each of the 4 previous years, the department shall, subject to subd. 3., assess reimbursable employers for the sum of the amount determined under par. (b) 2. in the current year and the amount carried over under subd. 2. from the preceding year.
(d) If the department assesses reimbursable employers under par. (c), the department shall determine the amount of assessments to be levied as provided in sub. (3), and the fund's treasurer shall notify reimbursable employers that the assessment will be imposed. Except as provided in sub. (3) (c), the assessment shall be payable by each reimbursable employer that is subject to this chapter as of the date the assessment is imposed. Assessments imposed under this section shall be credited to the balancing account.
(3) (a) The rate of an assessment imposed under sub. (2) (c) for a given calendar year shall be a rate that, when applied to the payrolls of all reimbursable employers for the preceding calendar year, will generate an amount equal to the total amount to be assessed in that year as determined under sub. (2) (c).
(b) Except as provided in par. (c), the amount of a reimbursable employer's assessment imposed under sub. (2) (c) for a given calendar year is the product of the rate determined under par. (a) and the reimbursable employer's payroll for the preceding calendar year, as reported by the reimbursable employer under s. 108.15 (8), 108.151 (8), 108.152 (7), or 108.205 (1), or, in the absence of reports, as estimated by the department.
(c) If a reimbursable employer would otherwise be assessed an amount less than $10 for a calendar year, the department shall, in lieu of requiring that reimbursable employer to pay an assessment for that calendar year, apply the amount that the reimbursable employer would have been required to pay to the other reimbursable employers subject to an assessment on a pro rata basis.
(4) The department shall bill assessments under this section to a reimbursable employer at its last known address in the month of September of each year and the assessment shall be due to the department within 20 days after the date such bill is mailed by the department. Any assessment that remains unpaid after its applicable due date is a delinquent payment. If a reimbursable employer is delinquent in paying an assessment under this section, in addition to pursuing action under the provisions of ss. 108.22 and 108.225, the department may do any of the following:
(a) Pursue action authorized under s. 108.15 (6), if the reimbursable employer is subject to reimbursement financing under s. 108.15.
(b) Terminate the reimbursable employer's election of reimbursement financing under s. 108.151 (3) (b) or liquidate the employer's assurance under s. 108.151 (4) (b), if the reimbursable employer elected reimbursement financing under s. 108.151 (2).
(c) Pursue action authorized under s. 108.152 (6), if the reimbursable employer elected reimbursement financing under s. 108.152 (1).
(5) If the payroll of a reimbursable employer for any quarter is adjusted to decrease the amount of the payroll after an employment and wage report for the reimbursable employer is filed under s. 108.205 (1), the department shall refund the amount of any assessment that was overpaid by the reimbursable employer under this section as a result of the adjustment.
(6) The department shall annually report to the council on unemployment insurance the balance remaining of the amount set aside under sub. (2) (a) and the amount of charges restored to reimbursable employers' accounts under s. 108.04 (13) (d) 4. c.
334,74
Section
74. 108.16 (6) (g) of the statutes is amended to read:
108.16 (6) (g) Any payment or other amount received for the balancing account under s. 108.15 or, 108.151, 108.152, or 108.155.
334,75
Section
75. 108.16 (6m) (i) of the statutes is created to read:
108.16 (6m) (i) Any amount restored to the account of an employer subject to reimbursement financing under s. 108.04 (13) (d) 4.
334,76
Section
76. 108.16 (7m) of the statutes is amended to read:
108.16 (7m) The fund's treasurer may write off, by charging to the fund's balancing account, any delinquent contribution, reimbursement in lieu of contribution, assessment, tardy payment or filing fee, or interest for which the employer's liability to the fund was established under s. 108.10, upon receipt of certification by the department that reasonable efforts have been made to recover the delinquency and that the delinquency is uncollectible.
108.16
(10) All money withdrawn from the fund shall be used solely in the payment of benefits, exclusive of expenses of administration, and for refunds of sums erroneously paid into the fund, for refund of a positive net balance in an employer's reimbursement account under ss. 108.15 (4)
and, 108.151 (5)
, and 108.152 (4) on request by the employer, for expenditures made pursuant to s. 108.161 and consistently with the federal limitations applicable to s. 108.161, and for payment of fees and expenses for collection of overpayments resulting from fraud or failure to report earnings that are assessed by the U.S. secretary of the treasury and charged to the department under
26 USC 6402 (f).
334,78
Section
78. 108.18 (7) (a) 1. of the statutes is amended to read:
108.18 (7) (a) 1. Except as provided in pars. (b) to (i), any employer may make payments to the fund during the month of November in excess of those required by this section and s. 108.19 (1) and, (1e)
, and (1f). Each payment shall be credited to the employer's account for the purpose of computing the employer's reserve percentage as of the immediately preceding computation date.
334,79
Section
79. 108.18 (7) (h) of the statutes is amended to read:
108.18 (7) (h) The department shall establish contributions other than those required by this section and s. 108.19 (1) and, (1e), and (1f) and contributions other than those submitted during the month of November or authorized under par. (f) or (i) 2. as a credit, without interest, against future contributions payable by the employer or shall refund the contributions at the employer's option.
334,80
Section
80. 108.18 (9c) of the statutes is amended to read:
108.18 (9c) Reduction of solvency rate. The department shall reduce the solvency rate payable under sub. (9) by each employer for each year by the rate
rates payable by that employer under s. 108.19 (1e) (a) and (1f) (a) for that year.
334,81
Section
81. 108.19 (title) of the statutes is repealed and recreated to read:
108.19 (title) Contributions to administrative account and unemployment interest payment and program integrity funds.
334,82
Section
82. 108.19 (1f) of the statutes is created to read:
108.19 (1f) (a) Except as provided in par. (b), each employer, other than an employer that finances benefits by reimbursement in lieu of contributions under s. 108.15, 108.151, or 108.152 shall, in addition to other contributions payable under s. 108.18 and this section, pay an assessment for each year equal to the lesser of 0.01 percent of its payroll for that year or the solvency contribution that would otherwise be payable by the employer under s. 108.18 (9) for that year. Assessments under this paragraph shall be deposited in the unemployment program integrity fund.
(b) The levy prescribed under par. (a) is not effective for any year unless the department, no later than the November 30 preceding that year, publishes a class 1 notice under ch. 985 giving notice that the levy is in effect for the ensuing year. The department shall consider the balance of the unemployment reserve fund before prescribing the levy under par. (a). The secretary of workforce development shall consult with the council on unemployment insurance before the department prescribes the levy under par. (a).
(c) Notwithstanding par. (a), the department may, if it finds that the full amount of the levy is not required to effect the purposes specified in sub. (1s) (b) for any year, prescribe a reduced levy for that year and in such case shall publish in the notice under par. (b) the rate of the reduced levy.
108.19
(1m) Each employer subject to this chapter as of the date a rate is established under this subsection shall pay an assessment to the unemployment interest payment fund at a rate established by the department sufficient to pay interest due on advances from the federal unemployment account under Title XII of the social security act (
42 USC 1321 to
1324). The rate established by the department for employers who finance benefits under s. 108.15 (2), 108.151 (2), or 108.152 (1) shall be
75%
75 percent of the rate established for other employers. The amount of any employer's assessment shall be the product of the rate established for that employer multiplied by the employer's payroll of the previous calendar year as taken from quarterly employment and wage reports filed by the employer under s. 108.205 (1) or, in the absence of the filing of such reports, estimates made by the department. Each assessment made under this subsection is due on the 30th day commencing after the date on which notice of the assessment is mailed by the department. If the amounts collected from employers under this subsection are in excess of the amounts needed to pay interest due, the department shall use any excess to pay interest owed in subsequent years on advances from the federal unemployment account. If the department determines that additional interest obligations are unlikely, the department shall transfer the excess to the balancing account of the fund
, the unemployment program integrity fund, or both in amounts determined by the department.
334,84
Section
84. 108.19 (1s) (a) of the statutes, as affected by
2015 Wisconsin Act 55, is renumbered 108.19 (1s) (a) (intro.) and amended to read:
108.19 (1s) (a) (intro.) There is created a separate, nonlapsible trust fund designated as the unemployment program integrity fund consisting of all of the following:
1. All amounts collected under s. 108.04 (11) (bh) other than the amounts required to be deposited in the fund under s. 108.16 (6) (n).
334,85
Section
85. 108.19 (1s) (a) 2. of the statutes is created to read:
108.19 (1s) (a) 2. Assessments levied and deposited into the unemployment program integrity fund under sub. (1f).
334,86
Section
86. 108.19 (1s) (a) 3. of the statutes is created to read:
108.19 (1s) (a) 3. Amounts transferred under sub. (1m).
334,87
Section
87. 108.19 (1s) (a) 4. of the statutes is created to read:
108.19 (1s) (a) 4. Assessments under s. 108.221 (1) and (2).
334,88
Section
88. 108.22 (1) (b) of the statutes is amended to read:
108.22 (1) (b) If the due date of a report or payment under s. 108.15 (5) (b), 108.151 (5) (f) or (7), 108.155, 108.16 (8), 108.17, or 108.205 would otherwise be a Saturday, Sunday, or legal holiday under state or federal law, the due date is the next following day which is not a Saturday, Sunday, or legal holiday under state or federal law.
334,89
Section
89. 108.22 (1) (c) of the statutes is amended to read:
108.22 (1) (c) Any report or payment, except a payment required by s. 108.15 (5) (b) or, 108.151 (5) (f) or (7), or 108.155, to which this subsection applies is delinquent, within the meaning of par. (a), unless it is received by the department, in the form prescribed by law or rule of the department, no later than its due date as determined under par. (b). Any payment required by s. 108.15 (5) (b) or, 108.151 (5) (f) or (7), or 108.155 is delinquent, within the meaning of par. (a), unless it is received by the department, in the form prescribed by law, no later than the last day of the month in which it is due.
334,90
Section
90. 108.22 (1m) of the statutes is amended to read:
108.22 (1m) If an employer owes any contributions, reimbursements, or assessments under s. 108.15, 108.151, 108.155, or 108.19 (1m), interest, fees, or payments for forfeitures or other penalties to the department under this chapter and fails to pay the amount owed, the department has a perfected lien upon the employer's right, title, and interest in all of its real and personal property located in this state in the amount finally determined to be owed, plus costs. Except where creation of a lien is barred or stayed by bankruptcy or other insolvency law, the lien is effective when the department issues a determination of the amount owed under s. 108.10 (1) and shall continue until the amount owed, plus costs and interest to the date of payment, is paid. If a lien is initially barred or stayed by bankruptcy or other insolvency law, it shall become effective immediately upon expiration or removal of such bar or stay. The perfected lien does not give the department priority over lienholders, mortgagees, purchasers for value, judgment creditors, and pledges whose interests have been recorded before the department's lien is recorded.
334,91
Section
91. 108.22 (9) of the statutes is amended to read:
108.22 (9) An individual who is an officer, employee, member or, manager, partner, or other responsible person holding at least 20% 20 percent of the ownership interest of a corporation or of a , limited liability company, or other business association subject to this chapter, and who has control or supervision of or responsibility for filing any required contribution reports or making payment of contributions, and who willfully fails to file such reports or to make such payments to the department, or to ensure that such reports are filed or that such payments are made, may be found personally liable for such amounts, including interest, tardy payment or filing fees, costs and other fees, in the event that after proper proceedings for the collection of such amounts, as provided in this chapter, the corporation or, limited liability company, or other business association is unable to pay such amounts to the department. Ownership interest of a corporation or, limited liability company
, or other business association includes ownership or control, directly or indirectly, by legally enforceable means or otherwise, by the individual, by the individual's spouse or child, by the individual's parent if the individual is under age 18, or by a combination of 2 or more of them, and such ownership interest of a parent corporation or, limited liability company, or other business association of which the corporation or, limited liability company
, or other business association unable to pay such amounts is a wholly owned subsidiary. The personal liability of such officer, employee, member or, manager, partner, or other responsible person as provided in this subsection survives dissolution, reorganization, bankruptcy, receivership, assignment for the benefit of creditors, judicially confirmed extension or composition, or any analogous situation of the corporation or, limited liability company, or other business association and shall be set forth in a determination or decision issued under s. 108.10.
334,92
Section
92. 108.221 of the statutes is created to read:
108.221 Misclassification; administrative assessments. (1) (a) Any employer described in s. 108.18 (2) (c) or engaged in the painting or drywall finishing of buildings or other structures who knowingly and intentionally provides false information to the department for the purpose of misclassifying or attempting to misclassify an individual who is an employee of the employer as a nonemployee shall, for each incident, be assessed a penalty by the department in the amount of $500 for each employee who is misclassified, but not to exceed $7,500 per incident.
(b) The department shall consider the following nonexclusive factors in determining whether an employer described under par. (a) knowingly and intentionally provided false information to the department for the purpose of misclassifying or attempting to misclassify an individual who is an employee of the employer as a nonemployee:
1. Whether the employer was previously found to have misclassified an employee in the same or a substantially similar position.
2. Whether the employer was the subject of litigation or a governmental investigation relating to worker misclassification and the employer, as a result of that litigation or investigation, received an opinion or decision from a federal or state court or agency that the subject position or a substantially similar position should be classified as an employee.
(2) Any employer described in s. 108.18 (2) (c) or engaged in the painting or drywall finishing of buildings or other structures who, through coercion, requires an individual to adopt the status of a nonemployee shall be assessed a penalty by the department in the amount of $1,000 for each individual so coerced, but not to exceed $10,000 per calendar year.
(3) Assessments under subs. (1) and (2) shall be deposited in the unemployment program integrity fund.
334,93
Section
93. 108.225 (1) (a) of the statutes is amended to read:
108.225 (1) (a) "Contribution" includes a reimbursement or assessment under s. 108.15, 108.151, or 108.152, or 108.155, interest for a nontimely payment, fees, and any payment due for a forfeiture imposed upon an employing unit under s. 108.04 (11) (c) or other penalty assessed by the department under this chapter.
334,94
Section
94. 108.24 (2m) of the statutes is amended to read:
108.24 (2m) Any employer described in s. 108.18 (2) (c) or engaged in the painting or drywall finishing of buildings or other structures who willfully, after having previously been assessed an administrative penalty by the department under s. 108.221 (1), knowingly and intentionally provides false information to the department for the purpose of misclassifying or attempting to misclassify an individual who is an employee of the employer as a nonemployee shall be fined $1,000 for each employee who is misclassified, subject to a maximum fine of $25,000 for each violation. The department may refer violations of this subsection for prosecution by the department of justice or the district attorney for the county in which the violation occurred.
334,95
Section
95. 111.327 of the statutes is repealed.
334,101
Section
101.
Nonstatutory provisions.
(1)
Unemployment insurance; repeal of program integrity fund sunset. The repeal of
2011 Wisconsin Act 198, sections
4m,
6m,
37m, and
47m (1) and
2013 Wisconsin Act 36, section
236m applies notwithstanding section 990.03 of the statutes.
334,102
Section
102
.
Initial applicability.
(1) Concealment by claimants. The renumbering and amendment of section 108.04 (11) (g) of the statutes and the creation of section 108.04 (11) (g) 2. and 3. of the statutes first apply to determinations issued under section 108.09 of the statutes on the effective date of this subsection.
(2)
Concurrent receipt of SSDI and UI benefits. The treatment of section 108.04 (2) (h) and (12) (f) 1., 1m., 2., 2m., and 3. b. to d. of the statutes first applies retroactively to determinations issued under section 108.09 of the statutes on the effective date of this subsection.
(3) Judicial review changes. The treatment of sections 108.09 (4o), (7) (a), (b), and (c) to (h) and 108.10 (4) of the statutes first applies to actions filed on the effective date of this subsection.
(4) Able and available determinations. The treatment of sections 108.04 (1) (b) and (bm), (7) (c), (cg), and (h), (8) (e), and (16) (b), 108.14 (8n) (e), and 108.141 (7) (a) of the statutes first applies to determinations issued under section 108.09 of the statutes on the effective date of this subsection.
(5) Personal liability of LLP partners. The treatment of section 108.22 (9) of the statutes first applies to determinations issued under section 108.10 of the statutes on the effective date of this subsection.
(6)
Suitable work. The treatment of section 108.04 (7) (e) and (8) (c), (dm), and (em) of the statutes, the renumbering and amendment of section 108.04 (8) (d) of the statutes, and the creation of section 108.04 (8) (d) 2. of the statutes first apply to determinations issued under section 108.09 of the statutes on the effective date of this subsection.
(7)
Receipt of worker's compensation. The treatment of section 108.04 (12) (e) of the statutes first applies to determinations issued under section 108.09 of the statutes on the effective date of this subsection.
(8) Misclassification; assessments and penalties. The treatment of sections 102.07 (8) (d), 108.221, 108.24 (2m), and 111.327 of the statutes first applies to violations committed on the effective date of this subsection.
334,103
Section
103.
Effective dates. This act takes effect on the first Sunday after publication, except as follows:
(1) Concurrent receipt of SSDI and UI benefits. The treatment of section 108.04 (2) (h) and (12) (f) 1., 1m., 2., 2m., and 3. b. to d. of the statutes and Section 102 (2) of this act take effect retroactively to January 5, 2014.
(2) Reimbursable employer identity theft charging. The treatment of sections 108.02 (21) (b), 108.04 (13) (d) 3. (intro.) and a. and 4. (intro.), a., and c., 108.151 (4) (b), 108.152 (6) (a) (intro.), 108.155, 108.16 (6) (g), (6m) (i), (7m), and (10), 108.22 (1) (b) and (c) and (1m), and 108.225 (1) (a) of the statutes, the renumbering and amendment of section 108.151 (3) (b) of the statutes, and the creation of section 108.151 (3) (b) 2. of the statutes take effect on October 2, 2016.
(3) Judicial review changes. The treatment of sections 108.09 (4o), (7) (a), (b), and (c) to (h) and 108.10 (4) of the statutes and Section 102 (3) of this act take effect on the first day of the 5th month beginning after publication.
(4) Suitable work. The treatment of section 108.04 (7) (e) and (8) (c), (dm), and (em) of the statutes, the renumbering and amendment of section 108.04 (8) (d) of the statutes, and the creation of section 108.04 (8) (d) 2. of the statutes and Section 102 (6) of this act take effect on the 5th Sunday beginning after publication.
(5) Receipt of worker's compensation. The treatment of section 108.04 (12) (e) of the statutes and Section 102 (7) of this act take effect on the 5th Sunday beginning after publication.
(6) Misclassification; assessments and penalties. The treatment of sections 102.07 (8) (d), 108.19 (1s) (a) 4., 108.221, 108.24 (2m), and 111.327 of the statutes and Section 102 (8) of this act take effect on the first Sunday of the 7th month beginning after publication.
