Bill Text: MS HB588 | 2023 | Regular Session | Enrolled


Bill Title: Office of Workforce Development; revise funding mechanism for and revise powers and duties of.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Passed) 2023-04-20 - Approved by Governor [HB588 Detail]

Download: Mississippi-2023-HB588-Enrolled.html

MISSISSIPPI LEGISLATURE

2023 Regular Session

To: Workforce Development

By: Representative Roberson

House Bill 588

(As Sent to Governor)

AN ACT TO AMEND SECTION 71-5-353, MISSISSIPPI CODE OF 1972, TO CREATE THE MISSISSIPPI OFFICE OF WORKFORCE DEVELOPMENT FUND IN THE STATE TREASURY WHICH SHALL CONSIST OF FUNDS COLLECTED FROM THE OFFICE OF WORKFORCE DEVELOPMENT CONTRIBUTIONS AND ANY OTHER MONIES THAT MAY BE APPROPRIATED TO IT FROM THE LEGISLATURE; TO PROVIDE THAT THE STATE WORKFORCE INVESTMENT BOARD CONTRIBUTIONS THAT WERE BEING DEPOSITED INTO THE STATE WORKFORCE INVESTMENT BOARD BANK ACCOUNT SHALL NOW BE CONTRIBUTIONS FOR THE MISSISSIPPI OFFICE OF WORKFORCE DEVELOPMENT AND DEPOSITED INTO THE MISSISSIPPI OFFICE OF WORKFORCE DEVELOPMENT FUND; TO PROVIDE THAT ADMINISTRATIVE FEES COLLECTED FOR THE TRAINING PROVIDED USING THE MISSISSIPPI WORKFORCE ENHANCEMENT TRAINING AND MISSISSIPPI WORKS FUNDS MAY NOT BE MORE THAN FIVE PERCENT; TO PROVIDE THAT THE MISSISSIPPI DEPARTMENT OF EMPLOYMENT SECURITY SHALL BE THE FISCAL AGENT FOR ALL FUNDS APPROPRIATED TO IT FOR USE BY THE OFFICE OF WORKFORCE DEVELOPMENT; TO CREATE A NEW SECTION THAT ESTABLISHES THE MISSISSIPPI K-12 WORKFORCE DEVELOPMENT GRANT PROGRAM; TO PROVIDE THAT THE PURPOSE FOR THE GRANT PROGRAM SHALL BE FOR CONSTRUCTING, REMODELING, PURCHASING OR UPGRADING EQUIPMENT OR OTHERWISE PROVIDING SUPPORT TO CAREER TECHNICAL CENTERS AT THE K-12 EDUCATION LEVEL; TO PROVIDE HOW A SCHOOL MAY APPLY FOR A GRANT; TO PROVIDE THAT MAXIMUM AMOUNT OF FUNDS THAT MAY BE USED FOR ADMINISTERING THE PROGRAM; TO PROVIDE THE REPORTING REQUIREMENTS OF THE PROGRAM; TO AMEND SECTION 37-153-7, MISSISSIPPI CODE OF 1972, TO REVISE THE REPORTING REQUIREMENTS OF THE OFFICE OF WORKFORCE DEVELOPMENT; TO PROVIDE SPECIFIC POWERS AND DUTIES FOR THE OFFICE OF WORKFORCE DEVELOPMENT; TO PROVIDE TIME-LIMITED EXEMPTIONS FROM THE MISSISSIPPI PUBLIC RECORDS ACT FOR CERTAIN RECORDS AND CONFIDENTIAL CLIENT INFORMATION FROM THE MISSISSIPPI DEVELOPMENT AUTHORITY OR LOCAL ECONOMIC DEVELOPMENT ENTITIES HELD BY THE OFFICE OF WORKFORCE DEVELOPMENT; TO AMEND SECTIONS 71-5-355 AND 71-5-453, MISSISSIPPI CODE OF 1972, TO CONFORM TO THE PROVISIONS OF THIS ACT; TO AMEND SECTION 27-104-7, MISSISSIPPI CODE OF 1972, AS AMENDED BY HOUSE BILL NO. 249, HOUSE BILL NO. 540 AND SENATE BILL NO. 2810, 2023 REGULAR SESSION, TO CONFORM TO THE PROVISIONS OF THIS ACT; TO AMEND SECTION 25-61-5, MISSISSIPPI CODE OF 1972, TO CONFORM; AND FOR RELATED PURPOSES.

     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

     SECTION 1.  Section 71-5-353, Mississippi Code of 1972, is amended as follows:

     71-5-353.  (1)  (a)  Each employer shall pay unemployment insurance contributions equal to five and four-tenths percent (5.4%) of taxable wages paid by him each calendar year, except as may be otherwise provided in Section 71-5-361 and except that each newly subject employer shall pay unemployment insurance contributions at the rate of one percent (1%) of taxable wages, for his first year of liability, one and one-tenth percent (1.1%) of taxable wages for his second year of liability, and one and two-tenths percent (1.2%) of taxable wages for his third and subsequent years of liability unless the employer's experience-rating record has been chargeable throughout at least the twelve (12) consecutive calendar months ending on the most recent computation date at the time the rate for a year is determined; thereafter the employer's contribution rate shall be determined in accordance with the provisions of Section 71-5-355.

          (b)  Notwithstanding the newly subject employer contribution rate provided for in paragraph (a) of this subsection, the contribution rate of all newly subject employers shall be reduced by seven one-hundredths of one percent (.07%) for calendar year 2013 only.  The contribution rate of all newly subject employers shall be reduced by three one-hundredths of one percent (.03%) for calendar year 2014 only.  For purposes of this chapter, "newly subject employers" means employers whose unemployment insurance experience-rating record has not been chargeable throughout at least the twelve (12) consecutive calendar months ending on the most recent computation date at the time the contribution rate for a year is determined.

     (2)  (a)  (i)  There is hereby created in the Treasury of the State of Mississippi special funds to be known as the "Mississippi Workforce Enhancement Training Fund" * * * and, the "Mississippi Works Fund" and the "Mississippi Office of Workforce Development Fund" which consist of funds collected pursuant to subsection (3) of this section and any other monies that may be appropriated to the funds from the Legislature.

              (ii)  Special funds collected shall initially be deposited into the Mississippi Department of Employment Security bank account for clearing contribution collections and subsequently appropriate amounts shall be transferred to the Mississippi Workforce Investment and Training Fund Holding Account described in Section 71-5-453.  In the event any employer pays an amount insufficient to cover the total contributions due, the amounts due shall be satisfied in the following order:

                    1.  Unemployment contributions;

                   2.  Mississippi Workforce Enhancement Training contributions, * * *State Workforce Investment Mississippi Office of Workforce Development contributions and the Mississippi Works contributions, known collectively as the Mississippi Workforce Investment and Training contributions, on a pro rata basis;

                   3.  Interest and damages; then

                   4.  Legal and processing costs.

     The amount of unemployment insurance contributions due for any period will be the amount due according to the actual computations unless the employer is participating in the MLPP.  In that event, the amount due is the MLPP amount computed by the department.

     Cost of collection and administration of the Mississippi Workforce Enhancement Training contribution, the * * *State Workforce Investment Mississippi Office of Workforce Development contribution and the Mississippi Works contribution shall be allocated based on a plan approved by the United States Department of Labor (USDOL).  The Mississippi Community College Board shall pay the cost of collecting the Mississippi Workforce Enhancement Training contributions, the * * *State Workforce Investment Board Office of Workforce Development shall pay the cost of collecting the * * *State Workforce Investment Mississippi Office of Workforce Development contributions and the Mississippi Department of Employment Security shall pay the cost of collecting the Mississippi Works contributions.  Payments shall be made semiannually with the cost allocated to each based on a USDOL approved plan on a pro rata basis, for periods ending in June and December of each year.  Payment shall be made by each organization to the department no later than sixty (60) days after the billing date.  Cost shall be allocated under the USDOL's approved plan and in the same ratio as each contribution type represents to the total authorized by subparagraph (ii)2 of this paragraph to be collected for the period.

          (b)  Mississippi Workforce Enhancement Training contributions and * * *State Workforce Investment Mississippi Office of Workforce Development contributions shall be distributed * * *as follows:

(i)  For calendar year 2014, ninety‑four and seventy‑five one‑hundredths percent (94.75%) shall be distributed to the Mississippi Workforce Enhancement Training Fund and the remainder shall be distributed to the State Workforce Investment Board bank account;

  (ii)  for calendar years * * *subsequent to after calendar year 2014 as follows, ninety-three and seventy-five one-hundredths percent (93.75%) shall be distributed to the Mississippi Workforce Enhancement Training Fund and the remainder shall be distributed to the * * *State Workforce Investment Board bank account Mississippi Office of Workforce Development Fund;

 * * *   (iii)  Workforce Enhancement Training contributions and State Workforce Investment contributions for calendar years 2014 and 2015 shall be distributed as provided in subparagraphs (i) and (ii) of this paragraph regardless of when the contributions were collected.

          (c)  All contributions collected for the State Workforce Enhancement Training Fund, the * * *State Workforce Investment Fund Mississippi Office of Workforce Development Fund and the Mississippi Works Fund will be initially deposited into the Mississippi Department of Employment Security bank account for clearing contribution collections and subsequently transferred to the Workforce Investment and Training Holding Account and will be held by the Mississippi Department of Employment Security in such account for a period of not less than thirty (30) days.  After such period, the Mississippi Workforce Enhancement Training contributions shall be transferred to the Mississippi Community College Board Treasury Account, with oversight provided by the Mississippi Office of Workforce Development, the * * *State Workforce Investment Mississippi Office of Workforce Development contributions shall be transferred to the Mississippi Office of Workforce Development Treasury Account and the Mississippi Works contributions shall be transferred to the Mississippi Department of Employment Security Mississippi Works Treasury Account.  The Mississippi Office of Workforce Development contributions and the Mississippi Works contributions shall be transferred in the same ratio as each contribution type represents to the total authorized by paragraph (a)(ii)2 of this subsection to be collected for the period and within the time frame determined by the department; however, except in cases of extraordinary circumstances, these funds shall be transferred within fifteen (15) days.  Interest earnings or interest credits on deposit amounts in the Workforce Investment and Training Holding Account shall be retained in the account to pay the banking costs of the account.  If after the period of twelve (12) months interest earnings less banking costs exceeds Ten Thousand Dollars ($10,000.00), such excess amounts shall be transferred to the respective accounts within thirty (30) days following the end of each calendar year on the basis described in paragraph (b) of this subsection.  Interest earnings and/or interest credits for the * * *State Workforce Investments Mississippi Office of Workforce Development funds shall be used for the payment of banking costs and excess amounts shall be used in accordance with the rules and regulations of the * * *State Workforce Investment Board Mississippi Office of Workforce Development expenditure policies.

          (d)  All enforcement procedures for the collection of delinquent unemployment contributions contained in Sections 71-5-363 through 71-5-383 shall be applicable in all respects for collections of delinquent unemployment insurance contributions designated for the Unemployment Compensation Fund, the Mississippi Workforce Enhancement Training Fund, the * * *State Workforce Investment Board Fund Mississippi Office of Workforce Development Fund and the Mississippi Works Fund.

          (e)  (i)  Except as otherwise provided for in this subparagraph (i), all monies deposited into the Mississippi Workforce Enhancement Training Fund Treasury Account shall be directed by the Mississippi Office of Workforce Development, in collaboration with the Mississippi Community College Board, in accordance with the Workforce Training Act of 1994 (Section 37-153-1 et seq.) and under policies approved by the Mississippi Office of Workforce Development for the following purposes:  to provide training in collaboration with the Mississippi Community College Board and individual community and junior colleges to employers and employees in order to enhance employee productivity.  Such training may be subject to a minimal administrative fee of not more than five percent (5%) to be paid from the Mississippi Workforce Enhancement Training Fund as established by the Office of Workforce Development.  The initial priority of these funds shall be for the benefit of existing businesses located within the state.  Employers may request training for existing employees and/or newly hired employees from the Mississippi Office of Workforce Development.  The office, in consultation with the Mississippi Community College Board, will be responsible for approving the training.  A portion of the funds collected for the Mississippi Workforce Enhancement Training Fund shall be used for the development of performance measures to measure the effectiveness of the use of the Mississippi Workforce Enhancement Training Fund dollars.  These performance measures shall be uniform for all training projects and shall be reported to the Governor, Lieutenant Governor, Speaker of the House, and members of the Legislature.  Nothing in this section or elsewhere in law shall be interpreted as giving the Office of Workforce Development or State Workforce Investment Board authority to direct the Mississippi Community College Board or individual community or junior colleges on how to expend other funds, aside from funds appropriated to the Mississippi Workforce Enhancement Training Fund and Mississippi Works Fund, appropriated or received for workforce training.  The Mississippi Office of Workforce Development, Mississippi Community College Board, individual community or junior colleges, State Workforce Investment Board and other agencies implementing or coordinating state-funded workforce development programs under state law shall cooperate with each other to promote effective workforce training in Mississippi, under the direction of the office.  Any subsequent changes to these performance measures shall also be reported to the Governor, Lieutenant Governor, Speaker of the House, and members of the Legislature.  A performance report for each training project and community college, based upon these measures, shall be submitted annually to the Governor, Lieutenant Governor, Speaker of the House, and members of the Legislature.

              (ii)  Except as otherwise provided in this paragraph (e), all funds deposited into the * * *State Workforce Investment Board bank account Mississippi Office of Workforce Development Fund shall be used for any of the following purposes: administration of State Workforce Investment Board business, the Office of Workforce Development, grants related to training, the Mississippi K-12 Workforce Development Grant Program, and other projects as determined appropriate by the * * * State Workforce Investment Board and shall be nonexpiring.  Policies for grants and other projects shall be approved through a majority vote of the State Workforce Investment Board. Office of Workforce Development.  Any funds remaining in the State Workforce Investment board bank account on June 30, 2023, shall be transferred to the Mississippi Office of Workforce Development Fund.

              (iii)  All funds deposited into the Mississippi Department of Employment Security Mississippi Works Fund shall be disbursed exclusively by the Executive Director of the Mississippi Department of Employment Security, in accordance with the rules and regulations promulgated by the Office of Workforce Development, in support of workforce training activities approved by the Mississippi Office of Workforce Development in support of economic development activities.  Funds allocated by the executive director under this subparagraph (iii) shall only be utilized for the training of unemployed persons, for immediate training needs for the net new jobs created by an employer, for the retention of jobs, to create a work-ready applicant pool of Mississippians with credentials and/or postsecondary education in accordance with the state's Workforce Investment and Opportunity Act plan, or for the support of local economic and community development activities related to workforce development in the state.  The Mississippi Office of Workforce Development, in collaboration with the Mississippi Public Community College System and its partners, shall be the primary entity to facilitate training.  Training conducted utilizing these Mississippi Works funds may be subject to a minimal administrative fee of not more than five percent (5%) to be paid from the Mississippi Works Fund as authorized by the Mississippi Office of Workforce Development.  All costs associated with the administration of these funds shall be reimbursed to the Mississippi Department of Employment Security from the Mississippi Works Fund.

               (iv)  1.  The Department of Employment Security shall be the fiscal agent for the receipt and disbursement of all funds remaining in the State Workforce Investment Board bank account, subject to the administrative oversight of the Office of Workforce Development.  The Mississippi Department of Employment Security shall be the fiscal agent for all funds appropriated to it for use by the Office of Workforce Development.

                   2.  * * *In managing the State Workforce Investment Board bank account, The Office of Workforce Development, in coordination with the Mississippi Department of Employment Security as fiscal agent, shall ensure that any funds expended for contractual services rendered to the Office of Workforce Development over Five Thousand Dollars ($5,000.00) shall be paid only to service providers who have been selected on a competitive basis.  Any contract for services entered into using funds * * *from the Workforce Investment Fund bank account appropriated to the Mississippi Department of Employment Security for the Office of Workforce Development shall meet the requirements * * * for state contracts set out in Section 31‑7‑1 et seq established in policies approved by the State Workforce Investment Board's executive committee deemed to be practical, feasible and in the public interest.

                   3.  Any commodities over Five Thousand Dollars ($5,000.00) procured for the office * * * shall be procured in accordance with the provisions of Section 31‑7‑13 to further its purpose shall be procured competitively, in accordance with office policies approved by the State Workforce Investment Board's executive committee deemed to be practical, feasible and in the public interest.

 * * *(v)  In addition to other expenditures, the Office of Workforce Development shall expend from the State Workforce Investment Board bank account for the use and benefit of the Office of Workforce Development, such funds as are necessary to prepare and develop a study of workforce development needs that will consist of the following:

1.  An identification of the state's workforce development needs through a well‑documented quantitative and qualitative analysis of:

a.  The current and projected workforce training needs of existing and identified potential Mississippi industries, with priority given to assessing the needs of existing in‑state industry and business.  Where possible, the analysis should include a verification and expansion of existing information previously developed by workforce training and service providers, as well as analysis of existing workforce data, such as the data collected through the Statewide Longitudinal Data System;

     b.  The needs of the state's workers and residents requiring additional workforce training to improve their work skills in order to compete for better employment opportunities, including a priority‑based analysis of the critical factors currently limiting the state's ability to provide a trained and ready workforce; and

    c.  The needs of workforce service and training providers in improving their ability to offer industry‑relevant training, including an assessment of the practical limits of keeping training programs on the leading edge and eliminating those programs with marginal workforce relevance.

    2.  An assessment of Mississippi's current workforce development service delivery structure relative to the needs quantified in this subparagraph, including:

     a.  Development of a list of strengths/weaknesses/opportunities/threats (SWOT) of the current workforce development delivery system relative to the identified needs;

    b.  Identification of strategic options for workforce development services based on the results of the SWOT analysis; and

     c.  Development of results‑oriented measures for each option that can be baselined and, if implemented, tracked over time, with quantifiable milestones and goals.

    3.  Preparation of a report presenting all subjects set out in this subparagraph to be delivered to the Lieutenant Governor, Speaker of the House of Representatives, Chairman of the Senate Finance Committee and Chairman of the House Appropriations Committee no later than February 1, 2015.

    4.  Following the preparation of the report, the State Workforce Investment Board shall make a recommendation to the House and Senate Appropriations Committees on future uses of funds deposited to the State Workforce Investment Fund account. Such future uses may include:

     a.  The development of promotion strategies for workforce development programs;

     b.  Initiatives designed to reduce the state's dropout rate, including the development of a statewide career awareness program;

     c.  The long‑term monitoring of the state's workforce development programs to determine whether they are addressing the needs of business, industry, and the workers of the state; and

     d.  The study of the potential restructuring of the state's workforce programs and delivery systems.

     (3)  (a)  (i)  Mississippi Workforce Enhancement Training contributions and * * *State Workforce Investment Mississippi Office of Workforce Development contributions shall be collected * * *at the following rates:

1.  For calendar year 2014 only, the rate of nineteen one‑hundredths of one percent (.19%) based upon taxable wages of which eighteen one‑hundredths of one percent (.18%) shall be the Workforce Enhancement Training contribution and one‑hundredths of one percent (.01%) shall be the State Workforce Investment contribution; and

    2.  For calendar year 2015 only, the rate of sixteen one‑hundredths of one percent (.16%), based upon taxable wages of which fifteen one‑hundredths of one percent (.15%) shall be the Workforce Enhancement Training contribution and one‑hundredths of one percent (.01%) shall be the State Workforce Investment contribution.

(ii)  Mississippi Workforce Enhancement Training contributions, State Workforce Investment contributions and Mississippi Works contributions shall be collected at the following rates:

    1.  For calendar year 2016 only, at a rate of twenty‑four one‑hundredths percent (.24%), based upon taxable wages, of which fifteen one‑hundredths percent (.15%) shall be the Workforce Enhancement Training contribution, one‑hundredths of one percent (.01%) shall be the State Workforce Investment contribution and eight one‑hundredths percent (.08%) shall be the Mississippi Works contribution.

   2.  for calendar years * * *subsequent to after calendar year 2016 * * *, at a rate of twenty one-hundredths percent (.20%), based upon taxable wages, of which fifteen one-hundredths percent (.15%) shall be the Workforce Enhancement Training contribution, one-hundredths of one percent (.01%) shall be the * * *State Workforce Investment Mississippi Office of Workforce Development contribution and four one-hundredths percent (.04%) shall be the Mississippi Works contribution.  The Mississippi Works contribution shall be collected for calendar years in which the general experience ratio, adjusted on the basis of the trust fund adjustment factor and reduced by fifty percent (50%), results in a general experience rate of less than two-tenths percent (.2%).  In all other years the Mississippi Works contribution shall not be in effect.

               ( * * *iiiii)  The Mississippi Workforce Enhancement Training Fund contribution, the * * *State Workforce Investment Mississippi Office of Workforce Development Fund contribution and the Mississippi Works contribution shall be in addition to the general experience rate plus the individual experience rate of all employers but shall not be charged to reimbursing or rate-paying political subdivisions or institutions of higher learning, or reimbursing nonprofit organizations, as described in Sections 71-5-357 and 71-5-359.

          (b)  All Mississippi Workforce Enhancement Training contributions, * * *State Workforce Investment Mississippi Office of Workforce Development contributions and Mississippi Works contributions collected shall be deposited initially into the Mississippi Department of Employment Security bank account for clearing contribution collections and shall within two (2) business days be transferred to the Workforce Investment and Training Holding Account.  Any Mississippi Workforce Enhancement Training Fund and/or * * *State Workforce Investment Board bank account Mississippi Office of Workforce Development Fund and/or Mississippi Works Fund transactions from the Mississippi Department of Employment Security bank account for clearing contribution collections that are deposited into the Workforce Investment and Training Fund Holding Account and are not honored by a financial institution will be transferred back to the Mississippi Department of Employment Security bank account for clearing contribution collections out of funds in the Mississippi Workforce Investment and Training Fund Holding Account.

          (c)  Suspension of the Workforce Enhancement Training Fund contributions required pursuant to this chapter shall occur if the insured unemployment rate exceeds an average of five and five-tenths percent (5.5%) for the three (3) consecutive months immediately preceding the effective date of the new rate year following such occurrence and shall remain suspended throughout the duration of that rate year.  Such suspension shall continue until such time as the three (3) consecutive months immediately preceding the effective date of the next rate year that has an insured unemployment rate of less than an average of four and five-tenths percent (4.5%).  Upon such occurrence, reactivation shall be effective upon the first day of the rate year following the event that lifts suspension and shall be in effect for that year and shall continue until such time as a subsequent suspension event as described in this chapter occurs.

          (d)  Notwithstanding any other provision contained herein, contribution collections for the * * *State Workforce Investment Mississippi Office of Workforce Development Fund, Mississippi Works Fund and Mississippi Workforce Enhancement Training Fund shall not be suspended, under any circumstances, for tax rate year 2021, and the resulting contribution rate of twenty one-hundredths percent (.20%) shall be added to the employer's general and individual experience rate to obtain the total unemployment insurance rate for 2021.

     (4)  All collections due or accrued prior to any suspension of the Mississippi Workforce Enhancement Training Fund will be collected based upon the law at the time the contributions accrued, regardless of when they are actually collected.

     SECTION 2.  (1)  The Office of Workforce Development shall establish and administer the Mississippi K-12 Workforce Development Grant Program for the purpose of constructing, remodeling, purchasing or upgrading equipment or otherwise providing support to career technical centers at the K-12 education level.  The grant program shall be funded from any funds available to the Office of Workforce Development.

     (2)  The Office of Workforce Development shall prescribe the terms and conditions of the grant program.  To be eligible to receive a grant from the Office of Workforce Development under the grant program, a school at the K-12 education level shall provide the following information:

          (a)  The number of students enrolled in the workforce development program for which the funds will be used;

          (b)  The purpose of the program;

          (c)  Whether the program fits into the ecosystem for the training needs in the area;

          (d)  Evidence of the school's local involvement with industry partners in the area; and

          (e)  Any other information that the office determines is necessary.

     (3)  The Office of Workforce Development may use a maximum of five percent (5%) of funds for the program for the administration of the program.

     (4)  The Office of Workforce Development shall comply with the reporting requirements provided in Section 37-153-7.  Each school that received grants from the program shall assist the office in completing the reporting requirement.

     SECTION 3.  Section 37-153-7, Mississippi Code of 1972, is amended as follows:

     37-153-7.  (1)  There is created the Mississippi Office of Workforce Development and the Mississippi State Workforce Investment Board, which shall serve as the advisory board for the office.  The Mississippi State Workforce Investment Board shall be composed of thirty-one (31) voting members, of which a majority shall be representatives of business and industry in accordance with the federal Workforce Innovation and Opportunity Act, or any successive acts.

     (2)  The members of the State Workforce Investment Board shall include:

          (a)  The Governor, or his designee;

          (b)  Nineteen (19) members, appointed by the Governor, of whom:

              (i)  A majority shall be representatives of businesses in the state, who:

                   1.  Are owners of businesses, chief executives or operating officers of businesses, or other business executives or employers with optimum policymaking or hiring authority, and who, in addition, may be members of a local board described in Section 3122(b)(2)(A)(i) of the federal Workforce Innovation and Opportunity Act.  At least two (2) of the members appointed under this item 1. shall be small business owners, chief executives or operating officers of businesses with less than fifty (50) employees;

                   2.  Represent businesses, including small businesses, or organizations representing businesses, which provide employment opportunities that, at a minimum, include high-quality, work-relevant training and development in high-demand industry sectors or occupations in the state; and

                   3.  Are appointed from among individuals nominated by state business organizations and business trade associations;

              (ii)  Not less than twenty percent (20%) shall consist of representatives of the workforce within the state, which:

                   1.  Includes labor organization representatives who have been nominated by state labor federations;

                   2.  Includes a labor organization member or training director from an apprenticeship program in the state, which shall be a joint labor-management apprenticeship program if such a program exists in the state;

                   3.  May include representatives of community-based organizations, including organizations serving veterans or providing or supporting competitive, integrated employment for individuals with disabilities, who have demonstrated experience and expertise in addressing employment, training or education needs of individuals with barriers to employment; and

                   4.  May include representatives of organizations, including organizations serving out-of-school youth, who have demonstrated experience or expertise in addressing the employment, training or education needs of eligible youth;

              (iii)  The balance shall include government representatives, including the lead state officials with primary responsibility for core programs, and chief elected officials (collectively representing both cities and counties, where appropriate);

          (c)  Two (2) representatives of businesses in the state appointed by the Lieutenant Governor;

          (d)  Two (2) representatives of businesses in the state appointed by the Governor from a list of three (3) recommendations from the Speaker of the House; and

          (e)  The following state officials:

              (i)  The Executive Director of the Mississippi Department of Employment Security;

              (ii)  The Executive Director of the Department of Rehabilitation Services;

              (iii)  The State Superintendent of Public Education;

              (iv)  The Executive Director of the Mississippi Development Authority;

              (v)  The Executive Director of the Mississippi Community College Board;

              (vi)  The President of the Community College Association; and

              (vii)  The Commissioner of the Institutions of Higher Learning.

          (f)  One (1) senator, appointed by the Lieutenant Governor, and one (1) representative, appointed by the Speaker of the House, shall serve on the state board in a nonvoting capacity.

          (g)  The Governor may appoint additional members if required by the federal Workforce Innovation and Opportunity Act, or any successive acts.

          (h)  Members of the board shall serve a term of four (4) years, and shall not serve more than three (3) consecutive terms.

          (i)  The membership of the board shall reflect the diversity of the State of Mississippi.

          (j)  The Governor shall designate the Chairman of the Mississippi State Workforce Investment Board from among the business and industry voting members of the board, and a quorum of the board shall consist of a majority of the voting members of the board.

          (k)  The voting members of the board who are not state employees shall be entitled to reimbursement of their reasonable expenses in the manner and amount specified in Section 25-3-41 and shall be entitled to receive per diem compensation as authorized in Section 25-3-69.

     (3)  Members of the state board may be recalled by their appointing authority for cause, including a felony conviction, fraudulent or dishonest acts or gross abuse of discretion, failure to meet board member qualifications, or chronic failure to attend board meetings.

     (4)  The Mississippi Department of Employment Security shall establish limits on administrative costs for each portion of Mississippi's workforce development system consistent with the federal Workforce Investment Act or any future federal workforce legislation.

     (5)  The Mississippi State Workforce Investment Board shall have the following duties.  These duties are intended to be consistent with the scope of duties provided in the federal Workforce Innovation and Opportunity Act, amendments and successor legislation to this act, and other relevant federal law:

          (a)  Through the office, develop and submit to the Governor, Lieutenant Governor and Speaker of the House a strategic plan for an integrated state workforce development system that aligns resources and structures the system to more effectively and efficiently meet the demands of Mississippi's employers and job seekers.  This plan will comply with the federal Workforce Investment Act of 1998, as amended, the federal Workforce Innovation and Opportunity Act of 2014 and amendments and successor legislation to these acts;

          (b)  Assist the Governor, Lieutenant Governor and Speaker of the House in the development and continuous improvement of the statewide workforce investment system that shall include:

              (i)  Development of linkages in order to assure coordination and nonduplication among programs and activities; and

               (ii)  Review local workforce development plans that reflect the use of funds from the federal Workforce Investment Act, Workforce Innovation and Opportunity Act, the Wagner-Peyser Act and the amendment or successor legislation to the acts, and the Mississippi Comprehensive Workforce Training and Education Consolidation Act;

          (c)  Recommend to the office the designation of local workforce investment areas as required in Section 116 of the federal Workforce Investment Act of 1998 and the Workforce Innovation and Opportunity Act of 2014.  There shall be four (4) workforce investment areas that are generally aligned with the planning and development district structure in Mississippi.  Planning and development districts will serve as the fiscal agents to manage Workforce Investment Act funds, oversee and support the local workforce investment boards aligned with the area and the local programs and activities as delivered by the one-stop employment and training system.  The planning and development districts will perform this function through the provisions of the county cooperative service districts created under Sections 19-3-101 through 19-3-115; however, planning and development districts currently performing this function under the Interlocal Cooperation Act of 1974, Sections 17-13-1 through 17-13-17, may continue to do so;

          (d)  Assist the Governor in the development of an allocation formula for the distribution of funds for adult employment and training activities and youth activities to local workforce investment areas;

          (e)  Recommend comprehensive, results-oriented measures that shall be applied to all of Mississippi's workforce development system programs;

          (f)  Assist the Governor in the establishment and management of a one-stop employment and training system conforming to the requirements of the federal Workforce Investment Act of 1998 and the Workforce Innovation and Opportunity Act of 2014, as amended, recommending policy for implementing the Governor's approved plan for employment and training activities and services within the state.  In developing this one-stop career operating system, the Mississippi State Workforce Investment Board, in conjunction with local workforce investment boards, shall:

              (i)  Design broad guidelines for the delivery of workforce development programs;

              (ii)  Identify all existing delivery agencies and other resources;

              (iii)  Define appropriate roles of the various agencies to include an analysis of service providers' strengths and weaknesses;

              (iv)  Determine the best way to utilize the various agencies to deliver services to recipients; and

              (v)  Develop a financial plan to support the delivery system that shall, at a minimum, include an accountability system;

          (g)  To provide authority, in accordance with any executive order of the Governor, for developing the necessary collaboration among state agencies at the highest level for accomplishing the purposes of this article;

          (h)  To monitor the effectiveness of the workforce development centers and WIN job centers;

          (i)  To advise the Governor, public schools, community/junior colleges and institutions of higher learning on effective school-to-work transition policies and programs that link students moving from high school to higher education and students moving between community colleges and four-year institutions in pursuit of academic and technical skills training;

          (j)  To work with industry to identify barriers that inhibit the delivery of quality workforce education and the responsiveness of educational institutions to the needs of industry;

          (k)  To provide periodic assessments on effectiveness and results of the overall Mississippi comprehensive workforce development system and district councils;

          (l)  Develop broad statewide development goals, including a goal to raise the state's labor force participation rate;

          (m)  Perform a comprehensive review of Mississippi's workforce development efforts, including the amount spent and effectiveness of programs supported by state or federal money; and

          (n)  To assist the Governor in carrying out any other responsibility required by the federal Workforce Investment Act of 1998, as amended and the Workforce Innovation and Opportunity Act, successor legislation and amendments.

     (6)  The Mississippi State Workforce Investment Board shall coordinate all training programs and funds within its purview, consistent with the federal Workforce Investment Act, Workforce Innovation and Opportunity Act, amendments and successor legislation to these acts, and other relevant federal law.

     Each state agency director responsible for workforce training activities shall advise the Mississippi Office of Workforce Development and the State Workforce Investment Board of appropriate federal and state requirements.  Each state agency, department and institution shall report any monies received for workforce training activities or career and technical education and a detailed itemization of how those monies were spent to the state board.  The board shall compile the data and provide a report of the monies and expenditures to the Chairs of the House and Senate Appropriations Committee, the Chair of the House Workforce Development Committee and the Chair of the Senate Economic and Workforce Development Committee by October 1 of each year.  Each such state agency director shall remain responsible for the actions of his agency; however, each state agency and director shall work cooperatively to fulfill the state's goals.

     (7)  The State Workforce Investment Board shall establish an executive committee, which shall consist of the following State Workforce Investment Board members:

          (a)  The Chair of the State Workforce Investment Board;

          (b)  Two (2) business representatives currently serving on the state board selected by the Governor;

          (c)  The two (2) business representatives currently serving on the state board appointed by the Lieutenant Governor;

          (d)  The two (2) business representatives currently serving on the state board appointed by the Governor from a list of three (3) recommendations from the Speaker of the House;

          (e)  The two (2) legislators, who shall serve in a nonvoting capacity, one (1) of whom shall be appointed by the Lieutenant Governor from the membership of the Mississippi Senate and one (1) of whom shall be appointed by the Speaker of the House of Representatives from the membership of the Mississippi House of Representatives.

     (8)  The executive committee shall select an executive director of the Office of Workforce Development, with the advice and consent of a majority of the State Workforce Investment Board.  The executive committee shall seek input from economic development organizations across the state when selecting the executive director.  The executive director shall:

          (a)  Be a person with extensive experience in development of economic, human and physical resources, and promotion of industrial and commercial development.  The executive director shall have a bachelor's degree from a state-accredited institution and no less than eight (8) years of professional experience related to workforce or economic development;

          (b)  Perform the functions necessary for the daily operation and administration of the office, with oversight from the executive committee and the State Workforce Investment Board, to fulfill the duties of the state board as described in Chapter 476, Laws of 2020;

          (c)  Hire staff needed for the performance of his or her duties under Chapter 476, Laws of 2020.  The executive director, with approval from the executive committee, shall set the compensation of any hired employees from any funds made available for that purpose;

          (d)  Enter any part of the Mississippi Community College Board, individual community and junior colleges, or other workforce training facilities operated by the state or its subdivisions;

          (e)  Serve at the will and pleasure of the executive committee;

          (f)  Promulgate rules and regulations, subject to oversight by the executive committee, not inconsistent with this article, as may be necessary to enforce the provisions in Chapter 476, Laws of 2020; and

          (g)  Perform any other actions he or she, in consultation with the executive committee, deems necessary to fulfill the duties under Chapter 476, Laws of 2020.

     (9)  The Office of Workforce Development and Mississippi Community College Board shall collaborate in the administration and oversight of the Mississippi Workforce Enhancement Training Fund and Mississippi Works Fund, as described in Section 71-5-353.  The executive director shall maintain complete and exclusive operational control of the office's functions.

     (10)  The office shall file an annual and a quarterly report with the Governor, Secretary of State, President of the Senate, * * *Secretary of the Senate, Speaker of the House, * * *and Clerk of the House Chairman of the House Workforce Development Committee and Chairman of the Senate Economic and Workforce Development Committee.  The annual report shall be filed not later than October 1 of each year regarding all funds approved by the office to be expended on workforce training during the prior calendar year.  The quarterly and annual reports shall include:

          (a)  Information on the performance of the Mississippi Workforce Enhancement Training Fund and the Mississippi Works Fund, in terms of adding value to the local and state economy, the contribution to future growth of the state economy, and movement toward state goals, including increasing the labor force participation rate; * * *and

          (b)  With respect to specific workforce training projects:

              (i)  The location of the training;

              (ii)  The amount allocated to the project;

              (iii)  The purpose of the project;

              (iv)  The specific business entity that is the beneficiary of the project; * * *and

              (v)  The number of employees intended to be trained and actually trained, if applicable, in the course of the project * * *.; and

              (vi)  The types of funds used for the project;

          (c)  With respect to the grants that have been awarded under the Mississippi K-12 Workforce Development Grant Program created in Section 2 of this act:

              (i)  The entity that was awarded the grant;

              (ii)  The amount allocated to the grant;

              (iii)  The purpose of the grant; and

              (iv)  How the grant has been used since it was awarded; and

          (d)  With respect to the office's authority to select tools and resources, including necessary online platforms and similar systems in furtherance of the mission of the office:

              (i)  The policies that the office has adopted or amended on the process for the selection of tools and resources, including necessary online platforms and similar systems in furtherance of the mission of the office;

              (ii)  The eligible entities that the office determined may provide services, such as companies, nonprofit organizations, or other similar groups;

              (iii)  Any tools and resources, including necessary online platforms and similar systems in furtherance of the mission of the office, that have been selected by the office; and

              (iv)  What entity received the benefit of the tools and resources that were selected.

          (e)  All information concerning a proposed project which is provided to the executive director shall be kept confidential.  Except as provided in subsections (13) and (14), such confidentiality shall not limit disclosure under the Mississippi Public Records Act of 1983 of records describing the nature, quantity, cost or other pertinent information related to the activities of, or services performed using, the Mississippi Workforce Enhancement Training Fund or the Mississippi Works Fund.

     (11)  In addition to other powers and duties provided in this section, the Office of Workforce Development shall also have the following powers and duties:

          (a)  Direct access to accounting and banking statements for all funds under its direction to ensure accurate and efficient management of funds and to improve internal control;

          (b)  The ability to enter into nondisclosure agreements to effectively support economic development activities and the proprietary nature of customized training for existing and new industry;

          (c)  To adopt and promulgate such rules and regulations as may be necessary or desirable for the purpose of implementing the Mississippi K-12 Workforce Development Grant Program created in Section 2 of this act;

          (d)  To receive contributions, donations, gifts, bequests of money, other forms of financial assistance and property, equipment, materials or manpower from persons, foundations, trust funds, corporations, organizations and other sources, public or private, made to the office, and may expend or use the same in accordance with the conditions prescribed by the donor, provided that no such condition is contrary to any provision of law;

          (e)  To contract with state agencies, governing authorities or economic and workforce development entities for shared programmatic efforts and support service or joint employment of personnel in order to further the office's purposes;

          (f)  To determine, subject to appropriation, the need for and, if desired, the selection of tools and resources, including necessary online platforms and similar systems in furtherance of the mission of the office, through processes established in policies adopted by the office that are deemed to be practical, feasible and in the public interest.  These processes shall outline eligible entities that may provide such services, such as companies, nonprofit organizations, or other similar groups and shall ensure the office determines metrics for success, including deliverables as required by the office;

          (g)  To implement the career coaching program provided for in Section 37-73-3;

          (h)  To provide career coaches with access to technology to develop customized career pathways and connect students with post-secondary and employment opportunities matching their skills and interests; and

          (i)  To implement and oversee programs providing support to community and junior colleges for training needs that may arise when new businesses locate in Mississippi, to include providing support to existing industries that may lose employees as a result of the new business.

     Through December 31, 2024, the provisions of Section 27-104-7 related to rental agreements or leasing of real property for the purpose of conducting agency business shall not apply to the office. 

     ( * * *1112Nothing in Chapter 476, Laws of 2020 [Senate Bill No. 2564] shall void or otherwise interrupt any contract, lease, grant or other agreement previously entered into by the State Workforce Investment Board, Mississippi Community College Board, individual community or junior colleges, or other entities.

     (13)  Any records of the office which contain client information from the Mississippi Development Authority or local economic development entities concerning development projects shall be exempt from the provisions of the Mississippi Public Records Act of 1983 for a period of two (2) years after receipt of the information by the office.  Confidential client information as described in this section shall not include the information which must be disclosed by the certified applicant related to a qualified economic development project in the annual report described in Section 57-1-759.

     (14)  Confidential client information in public records held by the office shall be exempt from the provisions of the Mississippi Public Records Act of 1983 during any period of review and negotiation on a project proposal facilitated by the Mississippi Development Authority or local economic development entities and for a period of thirty (30) days after approval, disapproval or abandonment of the proposal not to exceed one (1) year.

     SECTION 4.  Section 27-104-7, Mississippi Code of 1972, as amended by House Bill No. 249, House Bill No. 540 and Senate Bill No. 2887, 2023 Regular Session, is amended as follows:

     27-104-7.  (1)  (a)  There is created the Public Procurement Review Board, which shall be reconstituted on January 1, 2018, and shall be composed of the following members:

               (i)  Three (3) individuals appointed by the Governor with the advice and consent of the Senate;

              (ii)  Two (2) individuals appointed by the Lieutenant Governor with the advice and consent of the Senate; and

               (iii)  The Executive Director of the Department of Finance and Administration, serving as an ex officio and nonvoting member.

          (b)  The initial terms of each appointee shall be as follows:

              (i)  One (1) member appointed by the Governor to serve for a term ending on June 30, 2019;

              (ii)  One (1) member appointed by the Governor to serve for a term ending on June 30, 2020;

              (iii)  One (1) member appointed by the Governor to serve for a term ending on June 30, 2021;

              (iv)  One (1) member appointed by the Lieutenant Governor to serve for a term ending on June 30, 2019; and

              (v)  One (1) member appointed by the Lieutenant Governor to serve for a term ending on June 30, 2020.

     After the expiration of the initial terms, all appointed members' terms shall be for a period of four (4) years from the expiration date of the previous term, and until such time as the member's successor is duly appointed and qualified.

          (c)  When appointing members to the Public Procurement Review Board, the Governor and Lieutenant Governor shall take into consideration persons who possess at least five (5) years of management experience in general business, health care or finance for an organization, corporation or other public or private entity.  Any person, or any employee or owner of a company, who receives any grants, procurements or contracts that are subject to approval under this section shall not be appointed to the Public Procurement Review Board.  Any person, or any employee or owner of a company, who is a principal of the source providing a personal or professional service shall not be appointed to the Public Procurement Review Board if the principal owns or controls a greater than five percent (5%) interest or has an ownership value of One Million Dollars ($1,000,000.00) in the source's business, whichever is smaller.  No member shall be an officer or employee of the State of Mississippi while serving as a voting member on the Public Procurement Review Board. 

          (d)  Members of the Public Procurement Review Board shall be entitled to per diem as authorized by Section 25-3-69 and travel reimbursement as authorized by Section 25-3-41.

          (e)  The members of the Public Procurement Review Board shall elect a chair from among the membership, and he or she shall preside over the meetings of the board.  The board shall annually elect a vice chair, who shall serve in the absence of the chair.  No business shall be transacted, including adoption of rules of procedure, without the presence of a quorum of the board.  Three (3) members shall be a quorum.  No action shall be valid unless approved by a majority of the members present and voting, entered upon the minutes of the board and signed by the chair.  Necessary clerical and administrative support for the board shall be provided by the Department of Finance and Administration.  Minutes shall be kept of the proceedings of each meeting, copies of which shall be filed on a monthly basis with the chairs of the Accountability, Efficiency and Transparency Committees of the Senate and House of Representatives and the chairs of the Appropriations Committees of the Senate and House of Representatives.

     (2)  The Public Procurement Review Board shall have the following powers and responsibilities:

          (a)  Approve all purchasing regulations governing the purchase or lease by any agency, as defined in Section 31-7-1, of commodities and equipment, except computer equipment acquired pursuant to Sections 25-53-1 through 25-53-29;

          (b)  Adopt regulations governing the approval of contracts let for the construction and maintenance of state buildings and other state facilities as well as related contracts for architectural and engineering services.

     The provisions of this paragraph (b) shall not apply to such contracts involving buildings and other facilities of state institutions of higher learning which are self-administered as provided under this paragraph (b) or Section 37-101-15(m);

          (c)  Adopt regulations governing any lease or rental agreement by any state agency or department, including any state agency financed entirely by federal funds, for space outside the buildings under the jurisdiction of the Department of Finance and Administration.  These regulations shall require each agency requesting to lease such space to provide the following information that shall be published by the Department of Finance and Administration on its website:  the agency to lease the space; the terms of the lease; the approximate square feet to be leased; the use for the space; a description of a suitable space; the general location desired for the leased space; the contact information for a person from the agency; the deadline date for the agency to have received a lease proposal; any other specific terms or conditions of the agency; and any other information deemed appropriate by the Division of Real Property Management of the Department of Finance and Administration or the Public Procurement Review Board.  The information shall be provided sufficiently in advance of the time the space is needed to allow the Division of Real Property Management of the Department of Finance and Administration to review and preapprove the lease before the time for advertisement begins;

          (d)  Adopt, in its discretion, regulations to set aside at least five percent (5%) of anticipated annual expenditures for the purchase of commodities from minority businesses; however, all such set-aside purchases shall comply with all purchasing regulations promulgated by the department and shall be subject to all bid requirements.  Set-aside purchases for which competitive bids are required shall be made from the lowest and best minority business bidder; however, if no minority bid is available or if the minority bid is more than two percent (2%) higher than the lowest bid, then bids shall be accepted and awarded to the lowest and best bidder.  However, the provisions in this paragraph shall not be construed to prohibit the rejection of a bid when only one (1) bid is received.  Such rejection shall be placed in the minutes.  For the purposes of this paragraph, the term "minority business" means a business which is owned by a person who is a citizen or lawful permanent resident of the United States and who is:

              (i)  Black:  having origins in any of the black racial groups of Africa;

              (ii)  Hispanic:  of Mexican, Puerto Rican, Cuban, Central or South American, or other Spanish or Portuguese culture or origin regardless of race;

              (iii)  Asian-American:  having origins in any of the original people of the Far East, Southeast Asia, the Indian subcontinent, or the Pacific Islands;

              (iv)  American Indian or Alaskan Native:  having origins in any of the original people of North America; or

              (v)  Female;

          (e)  In consultation with and approval by the Chairs of the Senate and House Public Property Committees, approve leases, for a term not to exceed eighteen (18) months, entered into by state agencies for the purpose of providing parking arrangements for state employees who work in the Woolfolk Building, the Carroll Gartin Justice Building or the Walter Sillers Office Building;

          (f)  Except as otherwise provided in subparagraph (xv) of this paragraph, promulgate rules and regulations governing the solicitation and selection of contractual services personnel, including personal and professional services contracts for any form of consulting, policy analysis, public relations, marketing, public affairs, legislative advocacy services or any other contract that the board deems appropriate for oversight, with the exception of:

               (i)  Any personal service contracts entered into by any agency that employs only nonstate service employees as defined in Section 25-9-107(c) * * *,;

              (ii)  Any personal service contracts entered into for computer or information technology-related services governed by the Mississippi Department of Information Technology Services * * *,;

              (iii)  Any personal service contracts entered into by the individual state institutions of higher learning * * *,;

              (iv)  Any personal service contracts entered into by the Mississippi Department of Transportation * * *,;

              (v)  Any personal service contracts entered into by the Department of Human Services through June 30, 2019, which the Executive Director of the Department of Human Services determines would be useful in establishing and operating the Department of Child Protection Services * * *,;

              (vi)  Any personal service contracts entered into by the Department of Child Protection Services through June 30, 2019 * * *,;

              (vii)  Any contracts for entertainers and/or performers at the Mississippi State Fairgrounds entered into by the Mississippi Fair Commission * * *,;

              (viii)  Any contracts entered into by the Department of Finance and Administration when procuring aircraft maintenance, parts, equipment and/or services * * *,;

              (ix)  Any contract entered into by the Department of Public Safety for service on specialized equipment and/or software required for the operation at such specialized equipment for use by the Office of Forensics Laboratories * * *,;

              (x)  Any personal or professional service contract entered into by the Mississippi Department of Health * * * and/or or the Department of Revenue solely in connection with their respective responsibilities under the Mississippi Medical Cannabis Act from February 2, 2022, through June 30, * * * 2023, 2026;

              (xi)  Any contract for attorney, accountant, actuary auditor, architect, engineer, anatomical pathologist, or utility rate expert services * * *,;

              (xii)  Any personal service contracts approved by the Executive Director of the Department of Finance and Administration and entered into by the Coordinator of Mental Health Accessibility through June 30, 2022 * * *,;

              (xiii)  Any personal or professional services contract entered into by the State Department of Health in carrying out its responsibilities under the ARPA Rural Water Associations Infrastructure Grant Program through June 30, 2026 * * *,;

               (xiv)  And any personal or professional services contract entered into by the Mississippi Department of Environmental Quality in carrying out its responsibilities under the Mississippi Municipality and County Water Infrastructure Grant Program Act of 2022, through June 30, 2026.

     Any such rules and regulations shall provide for maintaining continuous internal audit covering the activities of such agency affecting its revenue and expenditures as required under Section 7-7-3(6)(d).  Any rules and regulation changes related to personal and professional services contracts that the Public Procurement Review Board may propose shall be submitted to the Chairs of the Accountability, Efficiency and Transparency Committees of the Senate and House of Representatives and the Chairs of the Appropriation Committees of the Senate and House of Representatives at least fifteen (15) days before the board votes on the proposed changes, and those rules and regulation changes, if adopted, shall be promulgated in accordance with the Mississippi Administrative Procedures Act; and

               (xv)  From and after July 1, 2024, the Public Procurement Review Board shall promulgate rules and regulations that require the Department of Finance and Administration to conduct personal and professional services solicitations as provided in subparagraph (i) of this paragraph for those services in excess of Seventy-five Thousand Dollars ($75,000.00) for the Department of Marine Resources, the Department of Wildlife, Fisheries and Parks, the Mississippi Emergency Management Agency and the Mississippi Development Authority, with assistance to be provided from these entities.  Any powers that have been conferred upon agencies in order to comply with the provisions of this section for personal and professional services solicitations shall be conferred upon the Department of Finance and Administration to conduct personal and professional services solicitations for the Department of Marine Resources, the Department of Wildlife, Fisheries and Parks, the Mississippi Emergency Management Agency and the Mississippi Development Authority for those services in excess of Seventy-five Thousand Dollars ($75,000.00).  The Department of Finance and Administration shall make any submissions that are required to be made by other agencies to the Public Procurement Review Board for the Department of Marine Resources, the Department of Wildlife, Fisheries and Parks, the Mississippi Emergency Management Agency and the Mississippi Development Authority.

     The provisions of this subparagraph (xv) shall stand repealed on June 30, 2027.

          (g)  Approve all personal and professional services contracts involving the expenditures of funds in excess of Seventy-five Thousand Dollars ($75,000.00), except as provided in paragraph (f) of this subsection (2) and in subsection (8);

          (h)  Develop mandatory standards with respect to contractual services personnel that require invitations for public bid, requests for proposals, record keeping and financial responsibility of contractors.  The Public Procurement Review Board shall, unless exempted under this paragraph (h) or under paragraph (i) or (o) of this subsection (2), require the agency involved to submit the procurement to a competitive procurement process, and may reserve the right to reject any or all resulting procurements;

          (i)  Prescribe certain circumstances by which agency heads may enter into contracts for personal and professional services without receiving prior approval from the Public Procurement Review Board.  The Public Procurement Review Board may establish a preapproved list of providers of various personal and professional services for set prices with which state agencies may contract without bidding or prior approval from the board;

              (i)  Agency requirements may be fulfilled by procuring services performed incident to the state's own programs.  The agency head shall determine in writing whether the price represents a fair market value for the services.  When the procurements are made from other governmental entities, the private sector need not be solicited; however, these contracts shall still be submitted for approval to the Public Procurement Review Board.

              (ii)  Contracts between two (2) state agencies, both under Public Procurement Review Board purview, shall not require Public Procurement Review Board approval.  However, the contracts shall still be entered into the enterprise resource planning system;

          (j)  Provide standards for the issuance of requests for proposals, the evaluation of proposals received, consideration of costs and quality of services proposed, contract negotiations, the administrative monitoring of contract performance by the agency and successful steps in terminating a contract;

          (k)  Present recommendations for governmental privatization and to evaluate privatization proposals submitted by any state agency;

          (l)  Authorize personal and professional service contracts to be effective for more than one (1) year provided a funding condition is included in any such multiple year contract, except the State Board of Education, which shall have the authority to enter into contractual agreements for student assessment for a period up to ten (10) years.  The State Board of Education shall procure these services in accordance with the Public Procurement Review Board procurement regulations;

          (m)  Request the State Auditor to conduct a performance audit on any personal or professional service contract;

          (n)  Prepare an annual report to the Legislature concerning the issuance of personal and professional services contracts during the previous year, collecting any necessary information from state agencies in making such report;

          (o)  Develop and implement the following standards and procedures for the approval of any sole source contract for personal and professional services regardless of the value of the procurement:

               (i)  For the purposes of this paragraph (o), the term "sole source" means only one (1) source is available that can provide the required personal or professional service.

               (ii)  An agency that has been issued a binding, valid court order mandating that a particular source or provider must be used for the required service must include a copy of the applicable court order in all future sole source contract reviews for the particular personal or professional service referenced in the court order.

               (iii)  Any agency alleging to have a sole source for any personal or professional service, other than those exempted under paragraph (f) of this subsection (2) and subsection (8), shall publish on the procurement portal website established by Sections 25-53-151 and 27-104-165, for at least fourteen (14) days, the terms of the proposed contract for those services.  In addition, the publication shall include, but is not limited to, the following information:

                   1.  The personal or professional service offered in the contract;

                   2.  An explanation of why the personal or professional service is the only one that can meet the needs of the agency;

                   3.  An explanation of why the source is the only person or entity that can provide the required personal or professional service;

                   4.  An explanation of why the amount to be expended for the personal or professional service is reasonable; and

                   5.  The efforts that the agency went through to obtain the best possible price for the personal or professional service.

               (iv)  If any person or entity objects and proposes that the personal or professional service published under subparagraph (iii) of this paragraph (o) is not a sole source service and can be provided by another person or entity, then the objecting person or entity shall notify the Public Procurement Review Board and the agency that published the proposed sole source contract with a detailed explanation of why the personal or professional service is not a sole source service.

               (v)  1.  If the agency determines after review that the personal or professional service in the proposed sole source contract can be provided by another person or entity, then the agency must withdraw the sole source contract publication from the procurement portal website and submit the procurement of the personal or professional service to an advertised competitive bid or selection process.

                   2.  If the agency determines after review that there is only one (1) source for the required personal or professional service, then the agency may appeal to the Public Procurement Review Board.  The agency has the burden of proving that the personal or professional service is only provided by one (1) source.

                   3.  If the Public Procurement Review Board has any reasonable doubt as to whether the personal or professional service can only be provided by one (1) source, then the agency must submit the procurement of the personal or professional service to an advertised competitive bid or selection process.  No action taken by the Public Procurement Review Board in this appeal process shall be valid unless approved by a majority of the members of the Public Procurement Review Board present and voting.

              (vi)  The Public Procurement Review Board shall prepare and submit a quarterly report to the House of Representatives and Senate Accountability, Efficiency and Transparency Committees that details the sole source contracts presented to the Public Procurement Review Board and the reasons that the Public Procurement Review Board approved or rejected each contract.  These quarterly reports shall also include the documentation and memoranda required in subsection (4) of this section.  An agency that submitted a sole source contract shall be prepared to explain the sole source contract to each committee by December 15 of each year upon request by the committee;

          (p)  Assess any fines and administrative penalties provided for in Sections 31-7-401 through 31-7-423.

     (3)  All submissions shall be made sufficiently in advance of each monthly meeting of the Public Procurement Review Board as prescribed by the Public Procurement Review Board.  If the Public Procurement Review Board rejects any contract submitted for review or approval, the Public Procurement Review Board shall clearly set out the reasons for its action, including, but not limited to, the policy that the agency has violated in its submitted contract and any corrective actions that the agency may take to amend the contract to comply with the rules and regulations of the Public Procurement Review Board.

     (4)  All sole source contracts for personal and professional services awarded by state agencies, other than those exempted under Section 27-104-7(2)(f) and (8), whether approved by an agency head or the Public Procurement Review Board, shall contain in the procurement file a written determination for the approval, using a request form furnished by the Public Procurement Review Board.  The written determination shall document the basis for the determination, including any market analysis conducted in order to ensure that the service required was practicably available from only one (1) source.  A memorandum shall accompany the request form and address the following four (4) points:

          (a)  Explanation of why this service is the only service that can meet the needs of the purchasing agency;

          (b)  Explanation of why this vendor is the only practicably available source from which to obtain this service;

          (c)  Explanation of why the price is considered reasonable; and

          (d)  Description of the efforts that were made to conduct a noncompetitive negotiation to get the best possible price for the taxpayers.

     (5)  In conjunction with the State Personnel Board, the Public Procurement Review Board shall develop and promulgate rules and regulations to define the allowable legal relationship between contract employees and the contracting departments, agencies and institutions of state government under the jurisdiction of the State Personnel Board, in compliance with the applicable rules and regulations of the federal Internal Revenue Service (IRS) for federal employment tax purposes.  Under these regulations, the usual common law rules are applicable to determine and require that such worker is an independent contractor and not an employee, requiring evidence of lawful behavioral control, lawful financial control and lawful relationship of the parties.  Any state department, agency or institution shall only be authorized to contract for personnel services in compliance with those regulations.

     (6)  No member of the Public Procurement Review Board shall use his or her official authority or influence to coerce, by threat of discharge from employment, or otherwise, the purchase of commodities, the contracting for personal or professional services, or the contracting for public construction under this chapter.

     (7)  Notwithstanding any other laws or rules to the contrary, the provisions of subsection (2) of this section shall not be applicable to the Mississippi State Port Authority at Gulfport.

     (8)  Nothing in this section shall impair or limit the authority of the Board of Trustees of the Public Employees' Retirement System to enter into any personal or professional services contracts directly related to their constitutional obligation to manage the trust funds, including, but not limited to, actuarial, custodial banks, cash management, investment consultant and investment management contracts.  Nothing in this section shall impair or limit the authority of the State Treasurer to enter into any personal or professional services contracts involving the management of trust funds, including, but not limited to, actuarial, custodial banks, cash management, investment consultant and investment management contracts.

 * * * (9)  Notwithstanding the exemption of personal and professional services contracts entered into by the Department of Human Services and personal and professional services contracts entered into by the Department of Child Protection Services from the provisions of this section under subsection (2)(f), before the Department of Human Services or the Department of Child Protection Services may enter into a personal or professional service contract, the department(s) shall give notice of the proposed personal or professional service contract to the Public Procurement Review Board for any recommendations by the board.  Upon receipt of the notice, the board shall post the notice on its website and on the procurement portal website established by Sections 25‑53‑151 and 27‑104‑165.  If the board does not respond to the department(s) within seven (7) calendar days after receiving the notice, the department(s) may enter the proposed personal or professional service contract.  If the board responds to the department(s) within seven (7) calendar days, then the board has seven (7) calendar days from the date of its initial response to provide any additional recommendations.  After the end of the second seven‑day period, the department(s) may enter the proposed personal or professional service contract.  The board is not authorized to disapprove any proposed personal or professional services contracts.  This subsection shall stand repealed on July 1, 2022.

     (9)  Through December 31, 2024, the provisions of this section related to rental agreements or leasing of real property for the purpose of conducting agency business shall not apply to the Office of Workforce Development created in Section 37-153-7.

     SECTION 5.  Section 71-5-355, Mississippi Code of 1972, as amended by Senate Bill No. 2810, 2023 Regular Session, is amended as follows:

     71-5-355.  (1)  As used in this section, the following words and phrases shall have the following meanings, unless the context clearly requires otherwise:

          (a)  "Tax year" means any period beginning on January 1 and ending on December 31 of a year.

          (b)  "Computation date" means June 30 of any calendar year immediately preceding the tax year during which the particular contribution rates are effective.

          (c)  "Effective date" means January 1 of the tax year.

          (d)  Except as hereinafter provided, "payroll" means the total of all wages paid for employment by an employer as defined in Section 71-5-11, subsection H, plus the total of all remuneration paid by such employer excluded from the definition of wages by Section 71-5-351.  For the computation of modified rates, "payroll" means the total of all wages paid for employment by an employer as defined in Section 71-5-11, subsection H.

          (e)  For the computation of modified rates, "eligible employer" means an employer whose experience-rating record has been chargeable with benefits throughout the thirty-six (36) consecutive calendar-month period ending on the computation date, except that any employer who has not been subject to the Mississippi Employment Security Law for a period of time sufficient to meet the thirty-six (36) consecutive calendar-month requirement shall be an eligible employer if his or her experience-rating record has been chargeable throughout not less than the twelve (12) consecutive calendar-month period ending on the computation date.  No employer shall be considered eligible for a contribution rate less than five and four-tenths percent (5.4%) with respect to any tax year, who has failed to file any two (2) quarterly reports within the qualifying period by September 30 following the computation date.  No employer or employing unit shall be eligible for a contribution rate of less than five and four-tenths percent (5.4%) for the tax year in which the employing unit is found by the department to be in violation of Section 71-5-19(2) or (3) and for the next two (2) succeeding tax years.  No representative of such employing unit who was a party to a violation as described in Section 71-5-19(2) or (3), if such representative was or is an employing unit in this state, shall be eligible for a contribution rate of less than five and four-tenths percent (5.4%) for the tax year in which such violation was detected by the department and for the next two (2) succeeding tax years.

          (f)  With respect to any tax year, "reserve ratio" means the ratio which the total amount available for the payment of benefits in the Unemployment Compensation Fund, excluding any amount which has been credited to the account of this state under Section 903 of the Social Security Act, as amended, and which has been appropriated for the expenses of administration pursuant to Section 71-5-457 whether or not withdrawn from such account, on October 31 (close of business) of each calendar year bears to the aggregate of the taxable payrolls of all employers for the twelve (12) calendar months ending on June 30 next preceding.

          (g)  "Modified rates" means the rates of employer unemployment insurance contributions determined under the provisions of this chapter and the rates of newly subject employers, as provided in Section 71-5-353.

          (h)  For the computation of modified rates, "qualifying period" means a period of not less than the thirty-six (36) consecutive calendar months ending on the computation date throughout which an employer's experience-rating record has been chargeable with benefits; except that with respect to any eligible employer who has not been subject to this article for a period of time sufficient to meet the thirty-six (36) consecutive calendar-month requirement, "qualifying period" means the period ending on the computation date throughout which his or her experience-rating record has been chargeable with benefits, but in no event less than the twelve (12) consecutive calendar-month period ending on the computation date throughout which his or her experience-rating record has been so chargeable.

          (i)  The "exposure criterion" (EC) is defined as the cash balance of the Unemployment Compensation Fund which is available for the payment of benefits as of November 16 of each calendar year or the next working day if November 16 falls on a holiday or a weekend, divided by the total wages, exclusive of wages paid by all state agencies, all political subdivisions, reimbursable nonprofit corporations, and tax-exempt public service employment, for the twelve-month period ending June 30 immediately preceding such date.  The EC shall be computed to four (4) decimal places and rounded up if any fraction remains.  Notwithstanding any other provision contained herein, the date for determining the cash balance of the Unemployment Compensation Fund which is available for the payment of benefits for the calendar years 2020 and 2021 shall be December 31.

          (j)  The "cost rate criterion" (CRC) is defined as follows:  Beginning with January 1974, the benefits paid for the twelve-month period ending December 1974 are summed and divided by the total wages for the twelve-month period ending on June 30, 1975.  Similar ratios are computed by subtracting the earliest month's benefit payments and adding the benefits of the next month in the sequence and dividing each sum of twelve (12) months' benefits by the total wages for the twelve-month period ending on the June 30 which is nearest to the final month of the period used to compute the numerator.  If December is the final month of the period used to compute the numerator, then the twelve-month period ending the following June 30 will be used for the denominator.  Benefits and total wages used in the computation of the cost rate criterion shall exclude all benefits and total wages applicable to state agencies, political subdivisions, reimbursable nonprofit corporations, and tax-exempt PSE employment.

     The CRC shall be computed as the average for the highest monthly value of the cost rate criterion computations during each of the economic cycles since the calendar year 1974 as defined by the National Bureau of Economic Research.  The CRC shall be computed to four (4) decimal places and any remainder shall be rounded up.

     The CRC shall be adjusted only through annual computations and additions of future economic cycles.

          (k)  "Size of fund index" (SOFI) is defined as the ratio of the exposure criterion (EC) to the cost rate criterion (CRC).  The target size of fund index will be fixed at 1.0.  If the insured unemployment rate (IUR) exceeds a four and five-tenths percent (4.5%) average for the most recent completed July to June period, the target SOFI will be .8 and will remain at that level until the computed SOFI (the average exposure criterion of the current year and the preceding year divided by the average cost rate criterion) equals 1.0 or the average IUR falls to four and five-tenths percent (4.5%) or less for any period July to June.  However, if the IUR falls below two and five-tenths percent (2.5%) for any period July to June the target SOFI shall be 1.2 until such time as the computed SOFI is equal to or greater than 1.0 or the IUR is equal to or greater than two and five-tenths percent (2.5%), at which point the target SOFI shall return to 1.0.

          (l)  No employer's unemployment contribution general experience rate plus individual unemployment experience rate shall exceed five and four-tenths percent (5.4%).  Accrual rules shall apply for purposes of computing contribution rates including associated functions.

          (m)  The term "general experience rate" has the same meaning as the minimum tax rate.

     (2)  Modified rates:

          (a)  For any tax year, when the reserve ratio on the preceding November 16, in the case of any tax year, equals or exceeds three percent (3%), the modified rates, as hereinafter prescribed, shall be in effect.  In computation of this reserve ratio, any remainder shall be rounded down.

          (b)  Modified rates shall be determined for the tax year for each eligible employer on the basis of his or her experience-rating record in the following manner:

               (i)  The department shall maintain an experience-rating record for each employer.  Nothing in this chapter shall be construed to grant any employer or individuals performing services for him or her any prior claim or rights to the amounts paid by the employer into the fund.

              (ii)  Benefits paid to an eligible individual shall be charged against the experience-rating record of his or her base period employers in the proportion to which the wages paid by each base period employer bears to the total wages paid to the individual by all the base period employers, provided that benefits shall not be charged to an employer's experience-rating record if the department finds that the individual:

                   1.  Voluntarily left the employ of such employer without good cause attributable to the employer or to accept other work;

                   2.  Was discharged by such employer for misconduct connected with his or her work;

                   3.  Refused an offer of suitable work by such employer without good cause, and the department further finds that such benefits are based on wages for employment for such employer prior to such voluntary leaving, discharge or refusal of suitable work, as the case may be;

                   4.  Had base period wages which included wages for previously uncovered services as defined in Section 71-5-511(e) to the extent that the Unemployment Compensation Fund is reimbursed for such benefits pursuant to Section 121 of Public Law 94-566;

                   5.  Extended benefits paid under the provisions of Section 71-5-541 which are not reimbursable from federal funds shall be charged to the experience-rating record of base period employers;

                   6.  Is still working for such employer on a regular part-time basis under the same employment conditions as hired.  Provided, however, that benefits shall be charged against an employer if an eligible individual is paid benefits who is still working for such employer on a part-time "as-needed" basis;

                   7.  Was hired to replace a United States serviceman or servicewoman called into active duty and was laid off upon the return to work by that serviceman or servicewoman, unless such employer is a state agency or other political subdivision or instrumentality of the state;

                    8.  Was paid benefits during any week while in training with the approval of the department, under the provisions of Section 71-5-513B, or for any week while in training approved under Section 236(a)(1) of the Trade Act of 1974, under the provisions of Section 71-5-513C;

                    9.  Is not required to serve the one-week waiting period as described in Section 71-5-505(2).  In that event, only the benefits paid in lieu of the waiting period week may be noncharged; or

                    10.  Was paid benefits as a result of a fraudulent claim, provided notification was made to the Mississippi Department of Employment Security in writing or by email by the employer, within ten (10) days of the mailing of the notice of claim filed to the employer's last-known address.

               (iii)  Notwithstanding any other provision contained herein, an employer shall not be noncharged when the department finds that the employer or the employer's agent of record was at fault for failing to respond timely or adequately to the request of the department for information relating to an unemployment claim that was subsequently determined to be improperly paid, unless the employer or the employer's agent of record shows good cause for having failed to respond timely or adequately to the request of the department for information.  For purposes of this subparagraph "good cause" means an event that prevents the employer or employer's agent of record from timely responding, and includes a natural disaster, emergency or similar event, or an illness on the part of the employer, the employer's agent of record, or their staff charged with responding to such inquiries when there is no other individual who has the knowledge or ability to respond.  Any agency error that resulted in a delay in, or the failure to deliver notice to, the employer or the employer's agent of record shall also be considered good cause for purposes of this subparagraph.

              (iv)  The department shall compute a benefit ratio for each eligible employer, which shall be the quotient obtained by dividing the total benefits charged to his or her experience-rating record during the period his or her experience-rating record has been chargeable, but not less than the twelve (12) consecutive calendar-month period nor more than the thirty-six (36) consecutive calendar-month period ending on the computation date, by his or her total taxable payroll for the same period on which all unemployment insurance contributions due have been paid on or before the September 30 immediately following the computation date.  Such benefit ratio shall be computed to the tenth of a percent (.1%), rounding any remainder to the next higher tenth.

              (v)  1.  The unemployment insurance contribution rate for each eligible employer shall be the sum of two (2) rates:  his or her individual experience rate in the range from zero percent (0%) to five and four-tenths percent (5.4%), plus a general experience rate.  In no event shall the resulting unemployment insurance rate be in excess of five and four-tenths percent (5.4%), however, it is the intent of this section to provide the ability for employers to have a tax rate, the general experience rate plus the individual experience rate, of up to five and four-tenths percent (5.4%).

                   2.  The employer's individual experience rate shall be equal to his or her benefit ratio as computed under paragraph (b)(iv) of this subsection (2).

                    3.  The general experience rate shall be determined in the following manner:  The department shall determine annually, for the thirty-six (36) consecutive calendar-month period ending on the computation date, the amount of benefits which were not charged to the record of any employer and of benefits which were ineffectively charged to the employer's experience-rating record.  For the purposes of this item 3, the term "ineffectively charged benefits" shall include:

                        a.  The total of the amounts of benefits charged to the experience-rating records of all eligible employers which caused their benefit ratios to exceed five and four-tenths percent (5.4%);

                        b.  The total of the amounts of benefits charged to the experience-rating records of all ineligible employers which would cause their benefit ratios to exceed five and four-tenths percent (5.4%) if they were eligible employers; and

                        c.  The total of the amounts of benefits charged or chargeable to the experience-rating record of any employer who has discontinued his or her business or whose coverage has been terminated within such period; provided, that solely for the purposes of determining the amounts of ineffectively charged benefits as herein defined, a "benefit ratio" shall be computed for each ineligible employer, which shall be the quotient obtained by dividing the total benefits charged to his or her experience-rating record throughout the period ending on the computation date, during which his or her experience-rating record has been chargeable with benefits, by his or her total taxable payroll for the same period on which all unemployment insurance contributions due have been paid on or before the September 30 immediately following the computation date; and provided further, that such benefit ratio shall be computed to the tenth of one percent (.1%) and any remainder shall be rounded to the next higher tenth.

     The ratio of the sum of these amounts (subsection (2)(b)(v)3a, b and c) to the taxable wages paid during the same period divided by all eligible employers whose benefit ratio did not exceed five and four-tenths percent (5.4%), computed to the next higher tenth of one percent (.1%), shall be the general experience rate; however, the general experience rate for rate year 2014 shall be two-tenths of one percent (.2%) and to that will be added the employer's individual experience rate for the total unemployment insurance rate.

                   4.  a.  Except as otherwise provided in this item 4, the general experience rate shall be adjusted by use of the size of fund index factor.  This factor may be positive or negative, and shall be determined as follows:  From the target SOFI, as defined in subsection (1)(k) of this section, subtract the simple average of the current and preceding years' exposure criterions divided by the cost rate criterion, as defined in subsection (1)(j) of this section.  The result is then multiplied by the product of the CRC, as defined in subsection (1)(j) of this section, and total wages for the twelve-month period ending June 30 divided by the taxable wages for the twelve-month period ending June 30.  This is the percentage positive or negative added to the general experience rate.  The sum of the general experience rate and the trust fund adjustment factor shall be multiplied by fifty percent (50%) and this product shall be computed to one (1) decimal place, and rounded to the next higher tenth.

                        b.  Notwithstanding the minimum rate provisions as set forth in subsection (1)(l) of this section, the general experience rate of all employers shall be reduced by seven one-hundredths of one percent (.07%) for calendar year 2013 only.

                   5.  The general experience rate shall be zero percent (0%) unless the general experience ratio for any tax year as computed and adjusted on the basis of the trust fund adjustment factor and reduced by fifty percent (50%) is an amount equal to or greater than two-tenths of one percent (.2%), then the general experience rate shall be the computed general experience ratio and adjusted on the basis of the trust fund adjustment factor and reduced by fifty percent (50%); however, in no case shall the sum of the general experience plus the individual experience unemployment insurance rate exceed five and four-tenths percent (5.4%).  For rate years subsequent to 2014, Mississippi Workforce Enhancement Training contribution rate, and/or * * *State Workforce Investment Mississippi Office of Workforce Development contribution rate, and/or Mississippi Works contribution rate, when in effect, shall be added to the unemployment contribution rate, regardless of whether the addition of this contribution rate causes the total contribution rate for the employer to exceed five and four-tenths percent (5.4%).

                    6.  The department shall include in its annual rate notice to employers a brief explanation of the elements of the general experience rate, and shall include in its regular publications an annual analysis of benefits not charged to the record of any employer, and of the benefit experience of employers by industry group whose benefit ratio exceeds four percent (4%), and of any other factors which may affect the size of the general experience rate.

                    7.  Notwithstanding any other provision contained herein, the general experience rate for calendar year 2021 shall be zero percent (0%).  Charges attributed to each employer's individual experience rate for the period March 8, 2020, through June 30, 2020, will not impact the employer's individual experience rate calculations for purposes of calculating the total unemployment insurance rate for 2021 and the two (2) subsequent tax rate years.  Moreover, charges attributed to each employer's individual experience rate for the period July 1, 2020, through December 31, 2020, will not impact the employer's individual experience rate calculations for purposes of calculating the total unemployment insurance rate for 2022 and the two (2) subsequent tax rate years.  Furthermore, noncharges as defined hereinabove caused by the COVID-19 pandemic will not be used for the purpose of calculating the general experience rate.

               (vi)  When any employing unit in any manner succeeds to or acquires the organization, trade, business or substantially all the assets thereof of an employer, excepting any assets retained by such employer incident to the liquidation of his or her obligations, whether or not such acquiring employing unit was an employer within the meaning of Section 71-5-11, subsection H, prior to such acquisition, and continues such organization, trade or business, the experience-rating and payroll records of the predecessor employer shall be transferred as of the date of acquisition to the successor employer for the purpose of rate determination.

               (vii)  When any employing unit succeeds to or acquires a distinct and severable portion of an organization, trade or business, the experience-rating and payroll records of such portion, if separately identifiable, shall be transferred to the successor upon:

                    1.  The mutual consent of the predecessor and the successor;

                   2.  Approval of the department;

                    3.  Continued operation of the transferred portion by the successor after transfer; and

                   4.  The execution and the filing with the department by the predecessor employer of a waiver relinquishing all rights to have the experience-rating and payroll records of the transferred portion used for the purpose of determining modified rates of contribution for such predecessor.

               (viii)  If the successor was an employer subject to this chapter prior to the date of acquisition, it shall continue to pay unemployment insurance contributions at the rate applicable to it from the date the acquisition occurred until the end of the then current tax year.  If the successor was not an employer prior to the date of acquisition, it shall pay unemployment insurance contributions at the rate applicable to the predecessor or, if more than one (1) predecessor and the same rate is applicable to both, the rate applicable to the predecessor or predecessors, from the date the acquisition occurred until the end of the then current tax year.  If the successor was not an employer prior to the date the acquisition occurred and simultaneously acquires the businesses of two (2) or more employers to whom different rates of unemployment insurance contributions are applicable, it shall pay unemployment insurance contributions from the date of the acquisition until the end of the current tax year at a rate computed on the basis of the combined experience-rating and payroll records of the predecessors as of the computation date for such tax year.  In all cases the rate of unemployment insurance contributions applicable to such successor for each succeeding tax year shall be computed on the basis of the combined experience-rating and payroll records of the successor and the predecessor or predecessors.

              (ix)  The department shall notify each employer quarterly of the benefits paid and charged to his or her experience-rating record; and such notification, in the absence of an application for redetermination filed within thirty (30) days after the date of such notice, shall be final, conclusive and binding upon the employer for all purposes.  A redetermination, made after notice and opportunity for a fair hearing, by a hearing officer designated by the department who shall consider and decide these and related applications and protests; and the finding of fact in connection therewith may be introduced into any subsequent administrative or judicial proceedings involving the determination of the rate of unemployment insurance contributions of any employer for any tax year, and shall be entitled to the same finality as is provided in this subsection with respect to the findings of fact in proceedings to redetermine the contribution rate of an employer.

              (x)  The department shall notify each employer of his or her rate of contribution as determined for any tax year as soon as reasonably possible after September 1 of the preceding year.  Such determination shall be final, conclusive and binding upon such employer unless, within thirty (30) days after the date of such notice to his or her last-known address, the employer files with the department an application for review and redetermination of his or her contribution rate, setting forth his or her reasons therefor.  If the department grants such review, the employer shall be promptly notified thereof and shall be afforded an opportunity for a fair hearing by a hearing officer designated by the department who shall consider and decide these and related applications and protests; but no employer shall be allowed, in any proceeding involving his or her rate of unemployment insurance contributions or contribution liability, to contest the chargeability to his or her account of any benefits paid in accordance with a determination, redetermination or decision pursuant to Sections 71-5-515 through 71-5-533 except upon the ground that the services on the basis of which such benefits were found to be chargeable did not constitute services performed in employment for him or her, and then only in the event that he or she was not a party to such determination, redetermination, decision or to any other proceedings provided in this chapter in which the character of such services was determined.  The employer shall be promptly notified of the denial of this application or of the redetermination, both of which shall become final unless, within ten (10) days after the date of notice thereof, there shall be an appeal to the department itself.  Any such appeal shall be on the record before said designated hearing officer, and the decision of said department shall become final unless, within thirty (30) days after the date of notice thereof to the employer's last-known address, there shall be an appeal to the Circuit Court of the First Judicial District of Hinds County, Mississippi, in accordance with the provisions of law with respect to review of civil causes by certiorari.

     (3)  Notwithstanding any other provision of law, the following shall apply regarding assignment of rates and transfers of experience:

          (a)  (i)  If an employer transfers its trade or business, or a portion thereof, to another employer and, at the time of the transfer, there is substantially common ownership, management or control of the two (2) employers, then the unemployment experience attributable to the transferred trade or business shall be transferred to the employer to whom such business is so transferred.  The rates of both employers shall be recalculated and made effective on January 1 of the year following the year the transfer occurred.

              (ii)  If, following a transfer of experience under subparagraph (i) of this paragraph (a), the department determines that a substantial purpose of the transfer of trade or business was to obtain a reduced liability of unemployment insurance contributions, then the experience-rating accounts of the employers involved shall be combined into a single account and a single rate assigned to such account.

          (b)  Whenever a person who is not an employer or an employing unit under this chapter at the time it acquires the trade or business of an employer, the unemployment experience of the acquired business shall not be transferred to such person if the department finds that such person acquired the business solely or primarily for the purpose of obtaining a lower rate of unemployment insurance contributions.  Instead, such person shall be assigned the new employer rate under Section 71-5-353, unless assignment of the new employer rate results in an increase of less than two percent (2%), in which case such person would be assigned the new employer rate plus an additional two percent (2%) penalty for the rate year.  In determining whether the business was acquired solely or primarily for the purpose of obtaining a lower rate of unemployment insurance contributions, the department shall use objective factors which may include the cost of acquiring the business, whether the person continued the business enterprise of the acquired business, how long such business enterprise was continued, or whether a substantial number of new employees were hired for performance of duties unrelated to the business activity conducted prior to acquisition.

          (c)  (i)  If a person knowingly violates or attempts to violate paragraph (a) or (b) of this subsection or any other provision of this chapter related to determining the assignment of a contribution rate, or if a person knowingly advises another person in a way that results in a violation of such provision, the person shall be subject to the following penalties:

                   1.  If the person is an employer, then such employer shall be assigned the highest rate assignable under this chapter for the rate year during which such violation or attempted violation occurred and the three (3) rate years immediately following this rate year.  However, if the person's business is already at such highest rate for any year, or if the amount of increase in the person's rate would be less than two percent (2%) for such year, then the person's tax rate shall be increased by two percent (2%) for such year.  The penalty rate will apply to the successor business as well as the related entity from which the employees were transferred in an effort to obtain a lower rate of unemployment insurance contributions.

                   2.  If the person is not an employer, such person shall be subject to a civil money penalty of not more than Five Thousand Dollars ($5,000.00).  Each such transaction for which advice was given and each occurrence or reoccurrence after notification being given by the department shall be a separate offense and punishable by a separate penalty.  Any such fine shall be deposited in the penalty and interest account established under Section 71-5-114.

               (ii)  For purposes of this paragraph (c), the term "knowingly" means having actual knowledge of or acting with deliberate ignorance or reckless disregard for the prohibition involved.

              (iii)  For purposes of this paragraph (c), the term "violates or attempts to violate" includes, but is not limited to, intent to evade, misrepresentation or willful nondisclosure.

               (iv)  In addition to the penalty imposed by subparagraph (i) of this paragraph (c), any violation of this subsection may be punishable by a fine of not more than Ten Thousand Dollars ($10,000.00) or by imprisonment for not more than five (5) years, or by both such fine and imprisonment.  This subsection shall prohibit prosecution under any other criminal statute of this state.

          (d)  The department shall establish procedures to identify the transfer or acquisition of a business for purposes of this subsection.

          (e)  For purposes of this subsection:

              (i)  "Person" has the meaning given such term by Section 7701(a)(1) of the Internal Revenue Code of 1986; and

               (ii)  "Employing unit" has the meaning as set forth in Section 71-5-11.

          (f)  This subsection shall be interpreted and applied in such a manner as to meet the minimum requirements contained in any guidance or regulations issued by the United States Department of Labor.

     SECTION 6.  Section 71-5-453, Mississippi Code of 1972, is amended as follows:

     71-5-453.  The department shall be the treasurer and custodian of the fund, and shall administer such fund in accordance with the directions of the department, and shall issue its warrants upon it in accordance with such regulations as the department shall prescribe.  The department shall maintain within the fund three (3) separate accounts:  (a) a clearing account, (b) an unemployment trust fund account, and (c) a benefit payment account.  All monies payable to the fund, upon receipt thereof by the department, shall be immediately deposited in the clearing account.  Refunds payable pursuant to Section 71-5-383 may be paid from the clearing account by the department.  Transfers pursuant to Section 71-5-114 of all interest, penalties and damages collected shall be made to the Special Employment Security Administration Fund as soon as practicable after the end of each calendar quarter.  Workforce Enhancement Training contributions, * * *State Workforce Investment Mississippi Office of Workforce Development contributions and Mississippi Works contributions shall be deposited into the Workforce Investment and Training Holding Account as described in this section.  All other monies in the clearing account shall be immediately deposited with the Secretary of the Treasury of the United States of America to the Unemployment Trust Fund account for the State of Mississippi, established and maintained pursuant to Section 904 of the Social Security Act, as amended, any provisions of law in this state relating to the deposit, administration, release or disbursement of monies in the possession or custody of this state to the contrary notwithstanding.  The benefit account shall consist of all monies requisitioned from this state's account in the Unemployment Trust Fund.  Except as herein otherwise provided, monies in the clearing and benefit accounts may be deposited by the department, in any bank or public depository in which general funds of the state may be deposited, but no public deposit insurance charge or premium shall be paid out of the fund.  The department shall be liable for the faithful performance of its duties in connection with the Unemployment Compensation Fund under this chapter.  A Workforce Investment and Training Holding Account shall be established by and maintained under the control of the Mississippi Department of Employment Security.  Contributions collected pursuant to the provisions in this chapter for the Workforce Enhancement Training Fund, * * *State Workforce Investment Fund Mississippi Office of Workforce Development Fund and the Mississippi Works Fund shall be transferred from the clearing account into the Workforce Investment and Training Holding Account on the same schedule and under the same conditions as funds transferred to the Unemployment Compensation Fund.  Such funds shall remain on deposit in the holding account for a period of thirty (30) days.  After such period, Workforce Enhancement Training contributions shall be transferred to the appropriate Mississippi Community College Board Treasury Account, with oversight provided by the Mississippi Office of Workforce Development, by the department.  The * * *State Workforce Investment contributions Mississippi Office of Workforce Development contributions shall be transferred to the * * *State Workforce Investment Board bank account established by the department, and the department shall have the authority to deposit and disburse funds from the State Workforce Investment Board bank account as directed by the State Workforce Investment Board Mississippi Office of Workforce Development Treasury Account for the Mississippi Office of Workforce Development Fund.  The Mississippi Works contributions shall be transferred to the Mississippi Department of Employment Security Treasury Account for the Mississippi Works Fund.  Such transfers shall occur within fifteen (15) days after the funds have resided in the Workforce Investment and Training Holding Account for thirty (30) days.  One (1) such transfer shall be made monthly, but the department, in its discretion, may make additional transfers in any month.  In the event such funds transferred are subsequently determined to be erroneously paid or collected, or if deposit of such funds is denied or rejected by the banking institution for any reason, or deposits are unable to clear drawer's account for any reason, the funds must be reimbursed by the recipient of such funds within thirty (30) days of mailing of notice by the department demanding such refund, unless funds are available in the Workforce Investment and Training Holding Account.  In that event such amounts shall be immediately withdrawn from the Workforce Investment and Training Holding Account by the department and redeposited into the clearing account.

     SECTION 7.  Section 25-61-5, Mississippi Code of 1972, is amended as follows:

     25-61-5.  (1)  (a)  Except as otherwise provided by Sections 25-61-9, 25-61-11 * * * and, 25-61-11.2 and 37-153-7, all public records are hereby declared to be public property, and any person shall have the right to inspect, copy or mechanically reproduce or obtain a reproduction of any public record of a public body in accordance with reasonable written procedures adopted by the public body concerning the cost, time, place and method of access, and public notice of the procedures shall be given by the public body, or, if a public body has not adopted written procedures, the right to inspect, copy or mechanically reproduce or obtain a reproduction of a public record of the public body shall be provided within one (1) working day after a written request for a public record is made.  No public body shall adopt procedures which will authorize the public body to produce or deny production of a public record later than seven (7) working days from the date of the receipt of the request for the production of the record.

          (b)  If a public body is unable to produce a public record by the seventh working day after the request is made, the public body must provide a written explanation to the person making the request stating that the record requested will be produced and specifying with particularity why the records cannot be produced within the seven-day period.  Unless there is mutual agreement of the parties, or the information requested is part of ongoing negotiations related to a request for competitive sealed proposals, in no event shall the date for the public body's production of the requested records be any later than fourteen (14) working days from the receipt by the public body of the original request.  Production of competitive sealed proposals in accordance with requests made pursuant to this section shall be no later than seven (7) working days after the notice of intent to award is issued to the winning proposer.  Persons making a request for production of competitive sealed proposals after the notice of intent to award is issued by the public body shall have a reasonable amount of time, but in no event less than seven (7) working days after the production of the competitive sealed proposals, to protest the procurement or intended award prior to contract execution.  However, in any instance where a person has filed for a protective order for a competitive sealed proposal and the court has not ruled on the protective order within ninety (90) days of filing, then the public body may proceed with awarding the contract without production of competitive sealed proposals and the contract may be protested after execution.

     (2)  If any public record contains material which is not exempted under this chapter, the public agency shall redact the exempted material and make the nonexempted material available for examination.  Such public agency shall be entitled to charge a reasonable fee for the redaction of any exempted material, not to exceed the agency's actual cost.

     (3)  Denial by a public body of a request for access to or copies of public records under this chapter shall be in writing and shall contain a statement of the specific exemption relied upon by the public body for the denial.  Each public body shall maintain a file of all denials of requests for public records.  Public bodies shall be required to preserve such denials on file for not less than three (3) years from the date such denials are made.  This file shall be made available for inspection or copying, or both, during regular office hours to any person upon written request.

     (4)  This section shall stand repealed on July 1, 2024.

     SECTION 8.  This act shall take effect and be in force from and after July 1, 2023.


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