Bill Text: MI SB0140 | 2013-2014 | 97th Legislature | Introduced

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Bill Title: Employment security; funds; self-employment assistance program for extended benefits; implement. Amends 1936 (Ex Sess) PA 1 (MCL 421.1 - 421.75) by adding sec. 64a.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced - Dead) 2013-02-05 - Referred To Committee On Reforms, Restructuring And Reinventing [SB0140 Detail]

Download: Michigan-2013-SB0140-Introduced.html

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SENATE BILL No. 140

 

February 5, 2013, Introduced by Senators SMITH and GREGORY and referred to the Committee on Reforms, Restructuring and Reinventing.

 

 

     A bill to amend 1936 (Ex Sess) PA 1, entitled

 

"Michigan employment security act,"

 

(MCL 421.1 to 421.75) by adding section 64a.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 64a. (1) As used in this section:

 

     (a) "Self-employment assistance activities" means activities,

 

including any entrepreneurial training that this state or nonprofit

 

organizations provide in coordination with programs of training

 

offered by the small business administration, business counseling,

 

mentorship for participants, access to small business development

 

resources, and technical assistance, which activities are approved

 

by the unemployment agency for the purpose of establishing a

 

business and becoming self-employed.

 

     (b) "Self-employment assistance allowance" means an allowance,

 

payable in lieu of extended compensation and from the unemployment

 

compensation fund established under section 26, to an individual

 

participating in self-employment assistance activities who meets

 

the requirements of this section.

 

     (c) "Extended compensation" means benefits payable to an

 

individual under this act and title II of the federal-state

 

extended unemployment compensation act of 1970, 26 USC 3304nt.

 

     (d) "Emergency unemployment compensation" means benefits

 

payable to an individual under an agreement pursuant to title IV of

 

the supplemental appropriations act of 2008, 26 USC 3304nt.

 

     (e) "Full-time basis" means the hours of employment

 

established for full-time employment in regulations promulgated by

 

the unemployment agency pursuant to the administrative procedures

 

act of 1969, 1969 PA 306, MCL 24.201 to 24.328.

 

     (2) The weekly allowance payable under this section to an

 

individual is equal to the weekly benefit amount for extended

 

compensation otherwise payable under section 64(1). The total of

 

the allowance paid under this section plus the extended

 

compensation paid under this act with respect to any benefit year

 

shall not exceed the maximum benefit amount as established by

 

section 64(2) with respect to a benefit year. An individual shall

 

not receive self-employment assistance allowances from programs

 

established under this section and under an agreement for emergency

 

unemployment compensation for a total of more than 26 weeks.

 

     (3) The self-employment assistance allowance shall be payable

 

to an individual at the same interval, on the same terms, and

 

subject to the same conditions as extended compensation under this

 

act and title II of the federal-state extended unemployment

 

compensation act of 1970, 26 USC 3304nt, except for all of the

 

following:

 

     (a) The requirements of section 28(1)(c) relating to

 

availability for work, active search for work, and refusal to

 

accept work do not apply to the individual.

 

     (b) The requirements of section 27(c)(2) relating to self-

 

employment income do not apply to income earned from self-

 

employment by the individual.

 

     (c) An individual who meets the requirements of this section

 

is considered to be unemployed under section 48(1).

 

     (d) An individual who fails to participate in self-employment

 

assistance activities or who fails to actively engage on a full-

 

time basis in activities, including training activities, relating

 

to the establishment of a business and becoming self-employed is

 

disqualified for the week that failure occurs.

 

     (e) An individual is not eligible to receive a self-employment

 

allowance unless the unemployment agency has a reasonable

 

expectation that the individual will be entitled to at least 13

 

times the individual's average weekly benefit amount of extended

 

compensation and emergency unemployment compensation.

 

     (4) The aggregate number of individuals receiving the

 

allowance under this section at any time shall not exceed 1% of the

 

number of individuals receiving extended compensation. The

 

unemployment agency shall, through regulations, prescribe actions

 

that are necessary to assure the requirements of this subsection

 

are met.

 

     (5) The provisions of this act relating to charging extended

 

compensation apply to self-employment assistance allowances paid

 

under this section.

 

     (6) Self-employment assistance allowances paid under this

 

section shall be paid in accordance with any additional program

 

requirements established by the secretary of labor pursuant to 26

 

USC 3306(t).

 

     (7) This section applies to benefit weeks beginning after

 

January 4, 2014.