0001| HOUSE BILL 328 | 0002| 43rd legislature - STATE OF NEW MEXICO - first session, 1997 | 0003| INTRODUCED BY | 0004| TERRY T. MARQUARDT | 0005| | 0006| | 0007| | 0008| | 0009| | 0010| AN ACT | 0011| RELATING TO UNEMPLOYMENT COMPENSATION; AMENDING AND ENACTING | 0012| SECTIONS OF THE UNEMPLOYMENT COMPENSATION LAW. | 0013| | 0014| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO: | 0015| Section 1. Section 51-1-11 NMSA 1978 (being Laws 1961, | 0016| Chapter 139, Section 3, as amended) is amended to read: | 0017| "51-1-11. FUTURE RATES BASED ON BENEFIT EXPERIENCE.-- | 0018| A. The division shall maintain a separate account | 0019| for each contributing employer and shall credit his account | 0020| with all contributions paid by him under the Unemployment | 0021| Compensation Law. Nothing in the Unemployment Compensation Law | 0022| shall be construed to grant any employer or individuals in his | 0023| service prior claims or rights to the amounts paid by the | 0024| employer into the fund. | 0025| B. Benefits paid to an individual shall be charged | 0001| against the accounts of his base-period employers on a pro rata | 0002| basis according to the proportion of his total base-period | 0003| wages received from each, except that no benefits paid to a | 0004| claimant as extended benefits under the provisions of Section | 0005| 51-1-48 NMSA 1978 shall be charged to the account of any base- | 0006| period employer who is not on a reimbursable basis and who is | 0007| not a governmental entity and, except as the secretary shall by | 0008| regulation prescribe otherwise, in the case of benefits paid to | 0009| an individual who: | 0010| (1) left the employ of a base-period employer | 0011| who is not on a reimbursable basis voluntarily without good | 0012| cause in connection with his employment; | 0013| (2) was discharged from the employment of a | 0014| base-period employer who is not on a reimbursable basis for | 0015| misconduct connected with his work; | 0016| (3) received benefits based upon wages earned | 0017| from a base-period employer who is not on a reimbursable basis | 0018| for work performed in a work-release program designed to give | 0019| an inmate of a correctional institution an opportunity to work | 0020| while serving a term of incarceration if the inmate's | 0021| separation was caused by his release from prison; | 0022| (4) is employed part-time by a base-period | 0023| employer who is not on a reimbursable basis and who continues | 0024| to furnish the individual the same part-time work while the | 0025| individual is separated from full-time work for a | 0001| nondisqualifying reason; or | 0002| (5) received benefits based upon wages earned | 0003| from a base-period employer who is not on a reimbursable basis | 0004| while attending approved training under the provisions of | 0005| Subsection E of Section 51-1-5 NMSA 1978. | 0006| C. The division shall not charge a contributing or | 0007| reimbursing base-period employer's account with any portion of | 0008| benefit amounts [which] that the division can bill to or | 0009| recover from the federal government as either regular or | 0010| extended benefits. | 0011| D. All contributions to the fund shall be pooled | 0012| and available to pay benefits to any individual entitled | 0013| thereto, irrespective of the source of such contributions. The | 0014| standard rate of contributions payable by each employer shall | 0015| be five and four-tenths percent. | 0016| E. No employer's rate shall be varied from the | 0017| standard rate for any calendar year unless, as of the | 0018| computation date for that year, his account has been chargeable | 0019| with benefits throughout the preceding thirty-six months, | 0020| except that: | 0021| (1) the provisions of this subsection shall | 0022| not apply to governmental entities; | 0023| (2) subsequent to December 31, 1984, any | 0024| employing unit that becomes an employer subject to the payment | 0025| of contributions under the Unemployment Compensation Law or has | 0001| been an employer subject to the payment of contributions at a | 0002| standard rate of two and seven-tenths percent through December | 0003| 31, 1984 shall be subject to the payment of contributions at | 0004| the reduced rate of two and seven-tenths percent until, as of | 0005| the computation date of a particular year, the employer's | 0006| account has been chargeable with benefits throughout the | 0007| preceding thirty-six months; and | 0008| (3) any individual, type of organization or | 0009| employing unit that acquires all or part of the trade or | 0010| business of another employing unit, pursuant to Paragraphs (2) | 0011| and (3) of Subsection E of Section 51-1-42 NMSA 1978, that has | 0012| a reduced rate of contribution shall be entitled to the | 0013| transfer of the reduced rate to the extent permitted under | 0014| Subsection G of this section. | 0015| F. The secretary shall, for the year 1942 and for | 0016| each calendar year thereafter, classify employers in accordance | 0017| with their actual experience in the payment of contributions | 0018| and with respect to benefits charged against their accounts, | 0019| with a view of fixing such contribution rates as will reflect | 0020| such benefit experience. Each employer's rate for any calendar | 0021| year shall be determined on the basis of his record and the | 0022| condition of the fund as of the computation date for such | 0023| calendar year. | 0024| An employer may make voluntary payments in addition to the | 0025| contributions required under the Unemployment Compensation Law, | 0001| which shall be credited to his account in accordance with | 0002| department regulation. The voluntary payments shall be | 0003| included in the employer's account as of the employer's most | 0004| recent computation date if they are made on or before the | 0005| following March 1. Voluntary payments when accepted from an | 0006| employer [will] shall not be refunded in whole or in part. | 0007| G. In the case of a transfer of an employing | 0008| enterprise, the experience history of the transferred | 0009| enterprise as provided in Subsection F of this section [will] | 0010| shall be transferred from the predecessor employer to the | 0011| successor under the following conditions and in accordance with | 0012| the applicable regulations of the secretary: | 0013| (1) Definitions: | 0014| (a) "employing enterprise" is a business | 0015| activity engaged in by a contributing employing unit in which | 0016| one or more persons have been employed within the current or | 0017| the three preceding calendar quarters; | 0018| (b) "predecessor" means the owner and | 0019| operator of an employing enterprise immediately prior to the | 0020| transfer of such enterprise; | 0021| (c) "successor" means any individual or | 0022| any type of organization that acquires an employing enterprise | 0023| and continues to operate such business entity; and | 0024| (d) "experience history" means the | 0025| experience rating record and reserve account, including the | 0001| actual contributions, benefit charges and payroll experience of | 0002| the employing enterprise. | 0003| (2) For the purpose of this section, two or | 0004| more employers who are parties to or the subject of any | 0005| transaction involving the transfer of an employing enterprise | 0006| shall be deemed to be a single employer and the experience | 0007| history of the employing enterprise shall be transferred to the | 0008| successor employer if the successor employer has acquired by | 0009| the transaction all of the business enterprises of the | 0010| predecessor; provided that: | 0011| (a) all contributions, interest and | 0012| penalties due from the predecessor employer have been paid; | 0013| (b) notice of the transfer has been | 0014| given in accordance with the regulations of the secretary | 0015| within four years of the transaction transferring the employing | 0016| enterprise or the date of the actual transfer of control and | 0017| operation of the employing enterprise; | 0018| (c) in the case of the transfer of an | 0019| employing enterprise, the successor employer must notify the | 0020| division of the acquisition on or before the due date of the | 0021| successor employer's first wage and contribution report. If | 0022| the successor employer fails to notify the division of the | 0023| acquisition within this time limit, the division, when it | 0024| receives actual notice, [will] shall effect the transfer of | 0025| the experience history and applicable rate of contribution | 0001| retroactively to the date of the acquisition, and the successor | 0002| shall pay a penalty of fifty dollars ($50.00); and | 0003| (d) where the transaction involves only | 0004| a merger, consolidation or other form of reorganization without | 0005| a substantial change in the ownership and controlling interest | 0006| of the business entity, as determined by the secretary, the | 0007| limitations on transfers stated in Subparagraphs (a), (b) and | 0008| (c) of this paragraph shall not apply. No party to a merger, | 0009| consolidation or other form of reorganization described in this | 0010| paragraph shall be relieved of liability for any contributions, | 0011| interest or penalties due and owing from the employing | 0012| enterprise at the time of the merger, consolidation or other | 0013| form of reorganization. | 0014| (3) The applicable experience history may be | 0015| transferred to the successor in the case of a partial transfer | 0016| of an employing enterprise if the successor has acquired one or | 0017| more of the several employing enterprises of a predecessor but | 0018| not all of the employing enterprises of the predecessor and | 0019| each employing enterprise so acquired was operated by the | 0020| predecessor as a separate store, factory, shop or other | 0021| separate employing enterprise and the predecessor, throughout | 0022| the entire period of his contribution with liability applicable | 0023| to each enterprise transferred, has maintained and preserved | 0024| payroll records [which] that, together with records of | 0025| contribution liability and benefit chargeability, can be | 0001| separated by the parties from the enterprises retained by the | 0002| predecessor to the satisfaction of the secretary or his | 0003| delegate. A partial experience history transfer will be made | 0004| only if: | 0005| (a) the successor notifies the division | 0006| of the acquisition, in writing, not later than the due date of | 0007| the successor's first quarterly wage and contribution report | 0008| after the effective date of the acquisition; | 0009| (b) the successor files an application | 0010| provided by the division that contains the endorsement of the | 0011| predecessor within thirty days from the delivery or mailing of | 0012| such application by the division to the successor's last known | 0013| address; and | 0014| (c) the successor files with the | 0015| application a Form ES-903A or its equivalent with a schedule of | 0016| the name and social security number of and the wages paid to | 0017| and the contributions paid for each employee for the three and | 0018| one-half year period preceding the date of computation as | 0019| defined in Subparagraph (d) of Paragraph (3) of Subsection H of | 0020| this section through the date of transfer or such lesser | 0021| period as the enterprises transferred may have been in | 0022| operation. The application and Form ES-903A [must] shall | 0023| be supported by the predecessor's permanent employment records, | 0024| which [must] shall be available for audit by the division. | 0025| The application and Form ES-903A shall be reviewed by the | 0001| division and, upon approval, the percentage of the | 0002| predecessor's experience history attributable to the | 0003| enterprises transferred shall be transferred to the successor. | 0004| The percentage shall be obtained by dividing the taxable | 0005| payrolls of the transferred enterprises for such three and one- | 0006| half year period preceding the date of computation or such | 0007| lesser period as the enterprises transferred may have been in | 0008| operation by the predecessor's entire payroll. | 0009| H. For each calendar year, adjustments of | 0010| contribution rates below the standard or reduced rate and | 0011| measures designed to protect the fund are provided as follows: | 0012| (1) The total assets in the fund and the total | 0013| of the last annual payrolls of all employers subject to | 0014| contributions as of the computation date for each year shall be | 0015| determined. These annual totals are here called "the fund" and | 0016| "total payrolls". For each year, the "reserve" of each | 0017| employer qualified under Subsection E of this section shall be | 0018| fixed by the excess of his total contributions over total | 0019| benefit charges computed as a percentage of his average payroll | 0020| reported for contributions. The determination of each | 0021| employer's annual rate, computed as of the computation date for | 0022| each calendar year, shall be made by matching his reserve as | 0023| shown in the reserve column with the corresponding rate shown | 0024| in the applicable rate schedule of the table provided in | 0025| Paragraph (4) of this subsection. | 0001| (2) Each employer's rate for each calendar | 0002| year commencing January 1, 1979 or thereafter shall be: | 0003| (a) the rate in schedule 1 of the table | 0004| provided in Paragraph (4) of this subsection on the | 0005| corresponding line as his reserve if the fund equals at least | 0006| four percent of the total payrolls; | 0007| (b) the rate in schedule 2 of the table | 0008| provided in Paragraph (4) of this subsection on the | 0009| corresponding line if the fund has dropped to between four | 0010| percent and three percent; | 0011| (c) the rate in schedule 3 of the table | 0012| provided in Paragraph (4) of this subsection on the | 0013| corresponding line if the fund has dropped to between three | 0014| percent and two percent; | 0015| (d) the rate in schedule 4 of the table | 0016| provided in Paragraph (4) of this subsection on the | 0017| corresponding line if the fund has dropped to between two | 0018| percent and one and one-half percent; | 0019| (e) the rate in schedule 5 of the table | 0020| provided in Paragraph (4) of this subsection on the | 0021| corresponding line if the fund has dropped to between one and | 0022| one-half percent and one percent; or | 0023| (f) the rate in schedule 6 of the table | 0024| provided in Paragraph (4) of this subsection on the | 0025| corresponding line if the fund has dropped below one percent. | 0001| (3) As used in this section: | 0002| (a) "annual payroll" means the total | 0003| amount of remuneration from an employer for employment during a | 0004| twelve-month period ending on a computation date, and "average | 0005| payroll" means the average of the last three annual payrolls; | 0006| (b) "base-period wages" means the wages | 0007| of an individual for insured work during his base period on the | 0008| basis of which his benefit rights were determined; | 0009| (c) "base-period employers" means the | 0010| employers of an individual during his base period; and | 0011| (d) "computation date" for each calendar | 0012| year means the close of business on June 30 of the preceding | 0013| calendar year. | 0014| (4) Table of employer reserves and | 0015| contribution rate schedules: | 0016| Employer Contribution Contribution Contribution | 0017| Reserve Schedule 1 Schedule 2 Schedule 3 | 0018| 10.0% and over 0.1% 0.3% 0.6% | 0019| 9.0%-9.9% 0.3% 0.6% 0.9% | 0020| 8.0%-8.9% 0.6% 0.9% 1.2% | 0021| 7.0%-7.9% 0.9% 1.2% 1.5% | 0022| 6.0%-6.9% 1.2% 1.5% 1.8% | 0023| 5.0%-5.9% 1.5% 1.8% 2.1% | 0024| 4.0%-4.9% 1.8% 2.1% 2.4% | 0025| 3.0%-3.9% 2.1% 2.4% 2.7% | 0001| 2.0%-2.9% 2.4% 2.7% 3.0% | 0002| 1.0%-1.9% 2.7% 3.0% 3.3% | 0003| 0.9%-0.0% 3.0% 3.3% 3.6% | 0004| (-0.1%)-(-0.5%) 3.3% 3.6% 3.9% | 0005| (-0.5%)-(-1.0%) 4.2% 4.2% 4.2% | 0006| (-1.0%)-(-2.0%) 5.0% 5.0% 5.0% | 0007| Under (-2.0%) 5.4% 5.4% 5.4% | 0008| Employer Contribution Contribution Contribution | 0009| Reserve Schedule 4 Schedule 5 Schedule 6 | 0010| 10.0% and over 0.9% 1.2% 2.7% | 0011| 9.0%-9.9% 1.2% 1.5% 2.7% | 0012| 8.0%-8.9% 1.5% 1.8% 2.7% | 0013| 7.0%-7.9% 1.8% 2.1% 2.7% | 0014| 6.0%-6.9% 2.1% 2.4% 2.7% | 0015| 5.0%-5.9% 2.4% 2.7% 3.0% | 0016| 4.0%-4.9% 2.7% 3.0% 3.3% | 0017| 3.0%-3.9% 3.0% 3.3% 3.6% | 0018| 2.0%-2.9% 3.3% 3.6% 3.9% | 0019| 1.0%-1.9% 3.6% 3.9% 4.2% | 0020| 0.9%-0.0% 3.9% 4.2% 4.5% | 0021| (-0.1%)-(-0.5%) 4.2% 4.5% 4.8% | 0022| (-0.5%)-(-1.0%) 4.5% 4.8% 5.1% | 0023| (-1.0%)-(-2.0%) 5.0% 5.1% 5.3% | 0024| Under (-2.0%) 5.4% 5.4% 5.4%. | 0025| I. The division shall promptly notify each employer | 0001| of his rate of contributions as determined for any calendar | 0002| year pursuant to this section. Such notification shall include | 0003| the amount determined as the employer's average payroll, the | 0004| total of all his contributions paid on his own behalf and | 0005| credited to his account for all past years and total benefits | 0006| charged to his account for all such years. Such determination | 0007| shall become conclusive and binding upon the employer unless, | 0008| within thirty days after the mailing of notice thereof to his | 0009| last known address or in the absence of mailing, within thirty | 0010| days after the delivery of such notice, the employer files an | 0011| application for review and redetermination, setting forth his | 0012| reason therefor. The employer shall be granted an opportunity | 0013| for a fair hearing in accordance with regulations prescribed by | 0014| the secretary, but no employer shall have standing, in any | 0015| proceeding involving his rate of contributions or contribution | 0016| liability, to contest the chargeability to his account of any | 0017| benefits paid in accordance with a determination, | 0018| redetermination or decision pursuant to Section 51-1-8 NMSA | 0019| 1978, except upon the ground that the services on the basis of | 0020| which such benefits were found to be chargeable did not | 0021| constitute services performed in employment for him and only in | 0022| the event that he was not a party to such determination, | 0023| redetermination or decision, or to any other proceedings under | 0024| the Unemployment Compensation Law in which the character of | 0025| such services was determined. The employer shall be promptly | 0001| notified of the decision on his application for | 0002| redetermination, which shall become final unless, within | 0003| fifteen days after the mailing of notice thereof to his last | 0004| known address or in the absence of mailing, within fifteen days | 0005| after the delivery of such notice, further appeal is initiated | 0006| pursuant to Subsection D of Section 51-1-8 NMSA 1978. | 0007| J. The division [will] shall provide each | 0008| contributing employer, within ninety days of the end of each | 0009| calendar quarter, a written determination of benefits | 0010| chargeable to his account. Such determination shall become | 0011| conclusive and binding upon the employer for all purposes | 0012| unless, within thirty days after the mailing of the | 0013| determination to his last known address or in the absence of | 0014| mailing, within thirty days after the delivery of such | 0015| determination, the employer files an application for review and | 0016| redetermination, setting forth his reason therefor. The | 0017| employer shall be granted an opportunity for a fair hearing in | 0018| accordance with regulations prescribed by the secretary, but no | 0019| employer shall have standing in any proceeding involving his | 0020| contribution liability to contest the chargeability to his | 0021| account of any benefits paid in accordance with a | 0022| determination, redetermination or decision pursuant to Section | 0023| 51-1-8 NMSA 1978, except upon the ground that the services on | 0024| the basis of which such benefits were found to be chargeable | 0025| did not constitute services performed in employment for him and | 0001| only in the event that he was not a party to such | 0002| determination, redetermination or decision, or to any other | 0003| proceedings under the Unemployment Compensation Law in which | 0004| the character of such services was determined. The employer | 0005| shall be promptly notified of the decision on his application | 0006| for redetermination, which shall become final unless, within | 0007| fifteen days after the mailing of notice thereof to his last | 0008| known address or in the absence of mailing, within fifteen days | 0009| after the delivery of such notice, further appeal is initiated | 0010| pursuant to Subsection D of Section 51-1-8 NMSA 1978. | 0011| K. The contributions, together with interest and | 0012| penalties thereon imposed by the Unemployment Compensation Law, | 0013| shall not be assessed nor shall action to collect the same be | 0014| commenced more than four years after a report showing the | 0015| amount of the contributions was due. In the case of a false or | 0016| fraudulent contribution report with intent to evade | 0017| contributions or a willful failure to file a report of all | 0018| contributions due, the contributions, together with interest | 0019| and penalties thereon, may be assessed or an action to collect | 0020| such contributions may be begun at any time. Before the | 0021| expiration of such period of limitation, the employer and the | 0022| secretary may agree in writing to an extension thereof and the | 0023| period so agreed on may be extended by subsequent agreements in | 0024| writing. In any case where the assessment has been made and | 0025| action to collect has been commenced within four years of the | 0001| due date of any contribution, interest or penalty, including | 0002| the filing of a warrant of lien by the secretary pursuant to | 0003| Section 51-1-36 NMSA 1978, such action shall not be subject to | 0004| any period of limitation. | 0005| L. The secretary shall correct any error in the | 0006| determination of an employer's rate of contribution during the | 0007| calendar year to which the erroneous rate applies, | 0008| notwithstanding that notification of the employer's rate of | 0009| contribution may have been issued and contributions paid | 0010| pursuant to the notification. Upon issuance by the division of | 0011| a corrected rate of contribution, the employer shall have the | 0012| same rights to review and redetermination as provided in | 0013| Subsection I of this section. | 0014| M. Any interest required to be paid on advances to | 0015| this state's unemployment compensation fund under Title [XII] | 0016| 12 of the Social Security Act shall be paid in a timely | 0017| manner as required under Section 1202 of Title [XII] 12 of | 0018| the Social Security Act and shall not be paid, directly or | 0019| indirectly, by the state from amounts in the state's | 0020| unemployment compensation fund. | 0021| N. Notwithstanding the provisions of this section, | 0022| the rate in schedule 1 of the table provided in Paragraph (4) | 0023| of Subsection H of this section shall be applied for one | 0024| calendar year beginning January 1, 1998." | 0025| Section 2. Section 51-1-18 NMSA 1978 (being Laws 1936 | 0001| (S.S.), Chapter 1, Section 8, as amended) is amended to read: | 0002| "51-1-18. PERIOD, ELECTION AND TERMINATION OF EMPLOYER'S | 0003| COVERAGE.-- | 0004| A. Except as otherwise provided in Subsection C of | 0005| this section, any employing unit [which] that is or becomes | 0006| an employer subject to the Unemployment Compensation Law within | 0007| any calendar year shall be subject to the Unemployment | 0008| Compensation Law during the whole of such calendar year. | 0009| B. Except as otherwise provided in Subsection C of | 0010| this section, an employing unit shall cease to be an employer | 0011| subject to the Unemployment Compensation Law only as of [the] | 0012| January 1 of any calendar year if it files with the department, | 0013| between January 1 and March 15 of the year in which the | 0014| employing unit desires termination of coverage, a written | 0015| application for termination of coverage and the secretary | 0016| finds: | 0017| (1) that there was no calendar quarter within | 0018| the preceding calendar year within which such employing unit | 0019| paid wages for employment amounting to four hundred fifty | 0020| dollars ($450) or more or as otherwise provided in Paragraphs | 0021| (6) and (7) of Subsection F of Section 51-1-42 NMSA 1978; and | 0022| (2) that there were no twenty different weeks | 0023| within the preceding calendar year, whether or not such weeks | 0024| were consecutive, within which such employing unit employed an | 0025| individual in employment subject to the Unemployment | 0001| Compensation Law. For the purpose of this subsection, the two | 0002| or more employing units mentioned in Paragraphs (2) and (3) of | 0003| Subsection E of Section 51-1-42 NMSA 1978 shall be treated as a | 0004| single employing unit. For like cause or when the total | 0005| experience history of a predecessor employing unit is | 0006| transferred pursuant to Section 51-1-11 NMSA 1978 or when, in | 0007| the opinion of the secretary, it is unlikely that an employing | 0008| unit will have individuals in employment at any time in the | 0009| future, termination of coverage may be granted on the | 0010| secretary's own initiative; provided that due notice is given | 0011| to the employing unit at its last address of record with the | 0012| department. The provisions of this subsection shall not apply | 0013| to any governmental unit. | 0014| C. An employing unit, not otherwise subject to the | 0015| Unemployment Compensation Law, [which] that files with the | 0016| department its written election to become an employer subject | 0017| hereto for not less than two calendar years shall, with the | 0018| written approval of such election by the secretary, become an | 0019| employer subject hereto to the same extent as all other | 0020| employers, as of the date stated in such approval, and shall | 0021| cease to be subject hereto as of January 1 of any calendar year | 0022| subsequent to such two calendar years only if, between the | 0023| dates of January 1 and March 15 of the year in which the | 0024| employing unit desires termination of coverage, it has filed | 0025| with the department a written notice to that effect or the | 0001| secretary, on his own initiative, has given notice of | 0002| termination of such coverage. | 0003| D. Any employing unit for which services that do not | 0004| constitute employment, as defined in the Unemployment | 0005| Compensation Law, are performed may file with the department a | 0006| written election that all such services performed by | 0007| individuals in its employ in one or more distinct | 0008| establishments or places of business shall be deemed to con- | 0009| | 0010| stitute employment for all the purposes of the Unemployment | 0011| Compensation Law for not less than two calendar years. Upon | 0012| the written approval of such election by the secretary, such | 0013| services shall be deemed to constitute employment subject to | 0014| the Unemployment Compensation Law after the date stated in such | 0015| approval. Such services shall cease to be deemed employment | 0016| subject hereto as of January 1 of any calendar year subsequent | 0017| to such two calendar years only if, between January 1 and March | 0018| 15 of the year in which the employing unit desires termination | 0019| of coverage, it has filed with the department a written notice | 0020| to that effect, or the secretary, on his own initiative, has | 0021| given notice of termination of such coverage. | 0022| E. The secretary may terminate the election of an | 0023| employer or employing unit made pursuant to Subsection C or D | 0024| of this section at any time the secretary determines that the | 0025| employer or employing unit is not abiding by all the | 0001| requirements of the Unemployment Compensation Law and the | 0002| regulations issued pursuant thereto, or if the employer or | 0003| employing unit that has made an election for coverage becomes | 0004| delinquent in the payment of its contributions or payment in | 0005| lieu of contributions, interest or penalties. | 0006| [E.] F. The secretary, on his own initiative or | 0007| upon written notification from an employer, may suspend such | 0008| employer's obligation for filing a quarterly wage and | 0009| contribution report as provided in the Unemployment | 0010| Compensation Law or any regulation issued pursuant thereto in | 0011| any case where the employer has ceased to and does not in the | 0012| immediate future expect to have individuals in employment; pro- | 0013| | 0014| vided that this subsection shall not apply [nor shall it] | 0015| or be a bar to the collection of contributions, interest and | 0016| penalties if, in fact, it is determined that the employer had | 0017| an individual in employment subject to the Unemployment | 0018| Compensation Law during the period covered by the suspension." | 0019| Section 3. Section 51-1-37.1 NMSA 1978 (being Laws 1982, | 0020| Chapter 41, Section 4, as amended) is amended to read: | 0021| "5l-l-37.l. CHILD SUPPORT OBLIGATIONS.-- | 0022| A. [An individual filing a claim to establish a | 0023| benefit year for unemployment compensation shall, at the time | 0024| of filing the claim, disclose whether or not the individual | 0025| owes child support obligations. If the individual is eligible | 0001| for unemployment compensation benefits and owes child support | 0002| obligations, the employment security department shall notify | 0003| the human services department of the name of the applicant and | 0004| the amount of benefits for which the claimant is eligible.] | 0005| The division shall notify the human services department of the | 0006| name of any individual who files a new claim for unemployment | 0007| compensation and who is determined to be eligible for | 0008| benefits. | 0009| B. The [employment security department] division | 0010| shall deduct and withhold from any unemployment compensation | 0011| otherwise payable to an individual who owes child support | 0012| obligations: | 0013| (l) the amount specified by the individual to be | 0014| deducted and withheld, if an amount is not specified under | 0015| Paragraph (2) or (3) of this subsection; | 0016| (2) the amount specified in an agreement between | 0017| the individual and the child support enforcement bureau of the | 0018| human services department, pursuant to Section 454(20)(B)(i) of | 0019| the Social Security Act, a copy of which has been provided to | 0020| the [employment security department] division by the child | 0021| support enforcement bureau; or | 0022| (3) any amount otherwise required to be so | 0023| deducted and withheld from such unemployment compensation | 0024| pursuant to a writ of garnishment or other legal process for | 0025| enforcement of judgments issued by any court of competent | 0001| jurisdiction in any state, territory or possession of the | 0002| United States or any foreign country with which the United | 0003| States has an agreement to honor such process directed to the | 0004| department for the purpose of enforcing an individual's | 0005| obligation to provide child support. | 0006| C. Any amount withheld from the benefits due a | 0007| claimant shall be considered as payment of unemployment | 0008| compensation benefits to the claimant and paid by the | 0009| individual in satisfaction of his child support obligations. | 0010| D. The amount of child support obligations withheld | 0011| by the [employment security department] division pursuant | 0012| to this section shall be paid to the human services department. | 0013| E. "Unemployment compensation benefits" means | 0014| compensation payable under the Unemployment Compensation Law | 0015| and any compensation payable by or through the [employment | 0016| security department] division pursuant to an agreement under | 0017| any federal law providing for compensation, assistance or | 0018| allowance with respect to unemployment. | 0019| F. "Child support obligations" includes only | 0020| obligations [which] that are being enforced pursuant to a | 0021| plan described in Section 454 of the Social Security Act | 0022| [which] that has been approved by the United States | 0023| secretary of health and human services under Part D of Title | 0024| [IV] 4 of the Social Security Act. | 0025| G. The human services department shall reimburse the | 0001| [employment security department] division for the | 0002| administrative costs incurred by [the employment security | 0003| department which] it that are attributable to the child sup- | 0004| | 0005| port obligations being enforced by the human services | 0006| department. If the human services department and the | 0007| [employment security department] division fail to agree on | 0008| the amount of such administrative costs, the state budget | 0009| division of the department of finance and administration shall | 0010| prescribe the amount of administrative costs to be reimbursed." | 0011| Section 4. Section 51-1-42 NMSA 1978 (being Laws 1936 | 0012| (S.S.), Chapter 1, Section 19, as amended) is amended to read: | 0013| "51-1-42. DEFINITIONS.--As used in the Unemployment | 0014| Compensation Law: | 0015| A. "base period" means the first four of the last | 0016| five completed calendar quarters immediately preceding the | 0017| first day of an individual's benefit year; | 0018| B. "benefits" means the cash unemployment | 0019| compensation payments payable to an eligible individual | 0020| pursuant to Section 51-1-4 NMSA 1978 with respect to his weeks | 0021| of unemployment; | 0022| C. "contributions" means the money payments required | 0023| by Section 51-1-9 NMSA 1978 to be made into the [unemployment | 0024| compensation] fund by an employer on account of having | 0025| individuals performing services for him; | 0001| D. "employing unit" means any individual or type of | 0002| organization, including any partnership, association, | 0003| cooperative, trust, estate, joint-stock company, agricultural | 0004| enterprise, insurance company or corporation, whether domestic | 0005| or foreign, or the receiver, trustee in bankruptcy, trustee or | 0006| successor thereof, household, fraternity or club, the legal | 0007| representative of a deceased person or any state or local | 0008| government entity to the extent required by law to be covered | 0009| as an employer, [which] that has in its employ one or more | 0010| individuals performing services for it within this state. All | 0011| individuals performing services for any employing unit | 0012| [which] that maintains two or more separate establishments | 0013| within this state shall be deemed to be employed by a single | 0014| employing unit for all the purposes of the Unemployment | 0015| Compensation Law. Individuals performing services for | 0016| contractors, subcontractors or agents [which] that are | 0017| performing work or services for an employing unit, as described | 0018| in this subsection, [which] that are within the scope of | 0019| the employing unit's usual trade, occupation, profession or | 0020| business shall be deemed to be in the employ of the employing | 0021| unit for all purposes of the Unemployment Compensation Law | 0022| unless such contractor, subcontractor or agent is itself an | 0023| employer within the provision of Subsection E of this section; | 0024| E. "employer" includes: | 0025| (1) any employing unit [which] that: | 0001| (a) unless otherwise provided in this | 0002| section, paid for service in employment as defined in | 0003| Subsection F of this section wages of four hundred fifty | 0004| dollars ($450) or more in any calendar quarter in either the | 0005| current or preceding calendar year or had in employment, as | 0006| defined in Subsection F of this section, for some portion of a | 0007| day in each of twenty different calendar weeks during either | 0008| the current or the preceding calendar year, and irrespective of | 0009| whether the same individual was in employment in each such day, | 0010| at least one individual; | 0011| (b) for the purposes of Subparagraph (a) of | 0012| this paragraph, if any week includes both December 31 and | 0013| January 1, the days of that week up to January 1 shall be | 0014| deemed one calendar week and the days beginning January 1, | 0015| another such week; and | 0016| (c) for purposes of defining an "employer" | 0017| under Subparagraph (a) of this paragraph, the wages or | 0018| remuneration paid to individuals performing services in | 0019| employment in agricultural labor or domestic services as | 0020| provided in Paragraphs (6) and (7) of Subsection F of this | 0021| section shall not be taken into account; except that any | 0022| employing unit determined to be an employer of agricultural | 0023| labor under Paragraph (6) of Subsection F of this section shall | 0024| be an employer under Subparagraph (a) of this paragraph so long | 0025| as the employing unit is paying wages or remuneration for | 0001| services other than agricultural services; | 0002| (2) any individual or type of organization that | 0003| acquired the trade or business or substantially all of the | 0004| assets thereof, of an employing unit [which] that at the | 0005| time of such acquisition was an employer subject to the | 0006| Unemployment Compensation Law; provided that where such an | 0007| acquisition takes place, the secretary may postpone activating | 0008| the separate account pursuant to Subsection A of Section | 0009| 51-1-11 NMSA 1978 until such time as the successor employer has | 0010| employment as defined in Subsection F of this section; | 0011| (3) any employing unit [which] that acquired | 0012| all or part of the organization, trade, business or assets of | 0013| another employing unit and [which] that, if treated as a | 0014| single unit with such other employing unit or part thereof, | 0015| would be an employer under Paragraph (1) of this subsection; | 0016| (4) any employing unit not an employer by reason | 0017| of any other paragraph of this subsection: | 0018| (a) for which, within either the current or | 0019| preceding calendar year, service is or was performed with | 0020| respect to which such employing unit is liable for any federal | 0021| tax against which credit may be taken for contributions | 0022| required to be paid into a state unemployment fund, or | 0023| (b) [which] that, as a condition for | 0024| approval of the Unemployment Compensation Law for full tax | 0025| credit against the tax imposed by the Federal Unemployment Tax | 0001| Act, is required, pursuant to such act, to be an "employer" | 0002| under the Unemployment Compensation Law; | 0003| (5) any employing unit [which] that, having | 0004| become an employer under Paragraph (1), (2), (3) or (4) of this | 0005| subsection, has not, under Section 51-1-18 NMSA 1978, ceased to | 0006| be an employer subject to the Unemployment Compensation Law; | 0007| (6) for the effective period of its election | 0008| pursuant to Section 51-1-18 NMSA 1978, any other employing unit | 0009| [which] that has elected to become fully subject to the | 0010| Unemployment Compensation Law; and | 0011| (7) any employing unit for which any services | 0012| performed in its employ are deemed to be performed in this | 0013| state pursuant to an election under an arrangement entered into | 0014| in accordance with Subsection A of Section 51-1-50 NMSA 1978; | 0015| F. "employment" means: | 0016| (1) any service, including service in interstate | 0017| commerce, performed for wages or under any contract of hire, | 0018| written or oral, express or implied; | 0019| (2) and includes an individual's entire service, | 0020| performed within or both within and without this state if: | 0021| (a) the service is primarily localized in | 0022| this state with services performed outside the state being only | 0023| incidental thereto; or | 0024| (b) the service is not localized in any | 0025| state but some of the service is performed in this state and: | 0001| 1) the base of operations or, if there is no base of | 0002| operations, [then] the place from which such service is | 0003| directed or controlled, is in this state; or 2) the base of | 0004| operations or place from which such service is directed or | 0005| controlled is not in any state in which some part of the | 0006| service is performed but the individual's residence is in this | 0007| state; | 0008| (3) services performed within this state but not | 0009| covered under Paragraph (2) of this subsection if contributions | 0010| or payments in lieu of contributions are not required and paid | 0011| with respect to such services under an unemployment | 0012| compensation law of any other state, the federal government or | 0013| Canada; | 0014| (4) services covered by an election pursuant to | 0015| Section 51-1-18 NMSA 1978 and services covered by an election | 0016| duly approved by the secretary in accordance with an | 0017| arrangement pursuant to Paragraph (1) of Subsection A of | 0018| Section 51-1-50 NMSA 1978 shall be deemed to be employment | 0019| during the effective period of such election; | 0020| (5) services performed by an individual for an | 0021| employer for wages or other remuneration unless and until it is | 0022| established by a preponderance of evidence that: | 0023| (a) such individual has been and will | 0024| continue to be free from control or direction over the | 0025| performance of such services both under his contract of service | 0001| and in fact; | 0002| (b) such service is either outside the usual | 0003| course of business for which such service is performed or that | 0004| such service is performed outside of all the places of business | 0005| of the enterprise for which such service is performed; and | 0006| (c) such individual is customarily engaged | 0007| in an independently established trade, occupation, profession | 0008| or business of the same nature as that involved in the contract | 0009| of service; | 0010| (6) service performed after December 31, 1977 by | 0011| an individual in agricultural labor as defined in Subsection Q | 0012| of this section if: | 0013| (a) such service is performed for an | 0014| employing unit [which] that: 1) paid remuneration in cash | 0015| of twenty thousand dollars ($20,000) or more to individuals in | 0016| such employment during any calendar quarter in either the | 0017| current or the preceding calendar year; or 2) employed in | 0018| agricultural labor ten or more individuals for some portion of | 0019| a day in each of twenty different calendar weeks in either the | 0020| current or preceding calendar year, whether or not such weeks | 0021| were consecutive, and regardless of whether such individuals | 0022| were employed at the same time; | 0023| (b) such service is not performed before | 0024| January 1, 1980 by an individual who is an alien admitted to | 0025| the United States to perform service in agricultural labor | 0001| pursuant to Sections 214(c) and 101(15)(H) of the Immigration | 0002| and Nationality Act; and | 0003| (c) for purposes of this paragraph, any | 0004| individual who is a member of a crew furnished by a crew leader | 0005| to perform service in agricultural labor for a farm operator or | 0006| other person shall be treated as an employee of such crew | 0007| leader: 1) if such crew leader meets the requirements of a crew | 0008| leader as defined in Subsection L of this section; or 2) | 0009| substantially all the members of such crew operate or maintain | 0010| mechanized agricultural equipment [which] that is provided | 0011| by the crew leader; and 3) the individuals performing such | 0012| services are not, by written agreement or in fact, within the | 0013| meaning of Paragraph (5) of this subsection, performing | 0014| services in employment for the farm operator or other person; | 0015| (7) service performed after December 31, 1977 by | 0016| an individual in domestic service in a private home, local | 0017| college club or local chapter of a college fraternity or | 0018| sorority for a person or organization that paid cash | 0019| remuneration of one thousand dollars ($1,000) in any calendar | 0020| quarter in the current or preceding calendar year to | 0021| individuals performing such services; | 0022| (8) service performed after December 31, 1971 by | 0023| an individual in the employ of a religious, charitable, | 0024| educational or other organization but only if the following | 0025| conditions are met: | 0001| (a) the service is excluded from | 0002| "employment" as defined in the Federal Unemployment Tax Act | 0003| solely by reason of Section 3306(c)(8) of that act; and | 0004| (b) the organization meets the requirements | 0005| of "employer" as provided in Subparagraph (a) of Paragraph (1) | 0006| of Subsection E of this section; | 0007| (9) service of an individual who is a citizen of | 0008| the United States, performed outside the United States, except | 0009| in Canada, after December 31, 1971 in the employ of an American | 0010| employer (other than service [which] that is deemed | 0011| "employment" under the provisions of Paragraph (2) of this | 0012| subsection or the parallel provisions of another state's law), | 0013| if: | 0014| (a) the employer's principal place of | 0015| business in the United States is located in this state; | 0016| (b) the employer has no place of business in | 0017| the United States, but: 1) the employer is an individual who is | 0018| a resident of this state; 2) the employer is a corporation | 0019| [which] that is organized under the laws of this state; or | 0020| 3) the employer is a partnership or a trust and the number of | 0021| the partners or trustees who are residents of this state is | 0022| greater than the number who are residents of any one other | 0023| state; or | 0024| (c) none of the criteria of Subparagraphs | 0025| (a) and (b) of this paragraph are met, but the employer has | 0001| elected coverage in this state or, the employer having failed | 0002| to elect coverage in any state, the individual has filed a | 0003| claim for benefits, based on such service, under the law of | 0004| this state. | 0005| "American employer" for purposes of this paragraph [(9) | 0006| of this subsection] means a person who is: 1) an individual | 0007| who is a resident of the United States; 2) a partnership if | 0008| two-thirds or more of the partners are residents of the United | 0009| States; 3) a trust if all of the trustees are residents of the | 0010| United States; or 4) a corporation organized under the laws of | 0011| the United States or of any state. For the purposes of this | 0012| paragraph [(9) of this subsection], "United States" includes | 0013| the United States, the District of Columbia, the commonwealth | 0014| of Puerto Rico and the Virgin Islands; | 0015| (10) notwithstanding any other provisions of | 0016| this subsection, service with respect to which a tax is | 0017| required to be paid under any federal law imposing a tax | 0018| against which credit may be taken for contributions required to | 0019| be paid into a state unemployment fund or which as a condition | 0020| for full tax credit against the tax imposed by the Federal | 0021| Unemployment Tax Act is required to be covered under the | 0022| Unemployment Compensation Law; | 0023| (11) "employment" shall not include: | 0024| (a) service performed in the employ of: 1) a | 0025| church or convention or association of churches; or 2) an | 0001| organization [which] that is operated primarily for | 0002| religious purposes and [which] that is operated, | 0003| supervised, controlled or principally supported by a church or | 0004| convention or association of churches; | 0005| (b) service performed by a duly ordained, | 0006| commissioned or licensed minister of a church in the exercise | 0007| of his ministry or by a member of a religious order in the | 0008| exercise of duties required by such order; | 0009| (c) service performed by an individual in | 0010| the employ of his son, daughter or spouse, and service | 0011| performed by a child under the age of majority in the employ of | 0012| his father or mother; | 0013| (d) service performed in the employ of the | 0014| United States government or an instrumentality of the United | 0015| States immune under the constitution of the United States from | 0016| the contributions imposed by the Unemployment Compensation Law | 0017| except that to the extent that the congress of the United | 0018| States shall permit states to require any instrumentalities of | 0019| the United States to make payments into an unemployment fund | 0020| under a state unemployment compensation act, all of the | 0021| provisions of the Unemployment Compensation Law shall be | 0022| applicable to such instrumentalities, and to service performed | 0023| for such instrumentalities in the same manner, to the same | 0024| extent and on the same terms as to all other employers, | 0025| employing units, individuals and services; provided, that if | 0001| this state shall not be certified for any year by the secretary | 0002| of labor of the United States under Section 3304 of the federal | 0003| Internal Revenue Code (26 U.S.C. Section 3304), the payments | 0004| required of such instrumentalities with respect to such year | 0005| shall be refunded by the department from the fund in the same | 0006| manner and within the same period as is provided in Subsection | 0007| D of Section 51-1-36 NMSA 1978 with respect to contributions | 0008| erroneously collected; | 0009| (e) service performed in a facility | 0010| conducted for the purpose of carrying out a program of | 0011| rehabilitation for individuals whose earning capacity is | 0012| impaired by age or physical or mental deficiency or injury or | 0013| providing remunerative work for individuals who because of | 0014| their impaired physical or mental capacity cannot be readily | 0015| absorbed in the competitive labor market, by an individual | 0016| receiving such rehabilitation or remunerative work; | 0017| (f) service with respect to which | 0018| unemployment compensation is payable under an unemployment | 0019| compensation system established by an act of congress; | 0020| (g) service performed in the employ of a | 0021| foreign government, including service as a consular or other | 0022| officer or employee or a nondiplomatic representative; | 0023| (h) service performed by an individual for a | 0024| person as an insurance agent or as an insurance solicitor, if | 0025| all such service performed by such individual for such person | 0001| is performed for remuneration solely by way of commission; | 0002| (i) service performed by an individual under | 0003| the age of eighteen in the delivery or distribution of | 0004| newspapers or shopping news, not including delivery or | 0005| distribution to any point for subsequent delivery or | 0006| distribution; | 0007| (j) service covered by an election duly | 0008| approved by the agency charged with the administration of any | 0009| other state or federal unemployment compensation law, in | 0010| accordance with an arrangement pursuant to Paragraph (1) of | 0011| Subsection A of Section 51-1-50 NMSA 1978 during the effective | 0012| period of such election; | 0013| (k) service performed, as part of an | 0014| unemployment work-relief or work-training program assisted or | 0015| financed in whole or part by any federal agency or an agency of | 0016| a state or political subdivision thereof, by an individual | 0017| receiving such work relief or work training; | 0018| (1) service performed by an individual who | 0019| is enrolled at a nonprofit or public educational institution | 0020| [which] that normally maintains a regular faculty and | 0021| curriculum and normally has a regularly organized body of | 0022| students in attendance at the place where its educational | 0023| activities are carried on as a student in a full-time program, | 0024| taken for credit at such institution, [which] that combines | 0025| academic instruction with work experience, if the service is an | 0001| integral part of such program, and the institution has so | 0002| certified to the employer, except that this subparagraph shall | 0003| not apply to service performed in a program established for or | 0004| on behalf of an employer or group of employers; | 0005| (m) service performed in the employ of a | 0006| hospital, if the service is performed by a patient of the | 0007| hospital, or services performed by an inmate of a custodial or | 0008| penal institution for a governmental entity or nonprofit | 0009| organization; | 0010| (n) service performed by real estate | 0011| salesmen for others when the services are performed for | 0012| remuneration solely by way of commission; | 0013| (o) service performed in the employ of a | 0014| school, college or university if such service is performed by a | 0015| student who is enrolled and is regularly attending classes at | 0016| such school, college or university; | 0017| (p) service performed by an individual for a | 0018| fixed or contract fee officiating at a sporting event [which] | 0019| that is conducted by or under the auspices of a nonprofit or | 0020| governmental entity if that person is not otherwise an employee | 0021| of the entity conducting the sporting event; [or] | 0022| (q) service performed for a private for- | 0023| profit person or entity by an individual as a landman if | 0024| substantially all remuneration paid in cash or otherwise for | 0025| the performance of the services is directly related to the | 0001| completion by the individual of the specific tasks contracted | 0002| for rather than to the number of hours worked by the | 0003| individual. For the purposes of this subparagraph, "landman" | 0004| means a land professional who has been engaged primarily in: 1) | 0005| negotiating for the acquisition or divestiture of mineral | 0006| rights; 2) negotiating business agreements that provide for | 0007| the exploration for or development of minerals; 3) determining | 0008| ownership of minerals through the research of public and | 0009| private records; and 4) reviewing the status of title, curing | 0010| title defects and otherwise reducing title risk associated with | 0011| ownership of minerals; managing rights or obligations derived | 0012| from ownership of interests and minerals; or utilizing or | 0013| pooling of interest in minerals; [and] | 0014| (r) service performed after December 31, | 0015| 1997 by an officer of a corporation if such officer is a | 0016| majority stockholder and the officer shall not be considered an | 0017| employee of the corporation unless such services are subject to | 0018| a tax to be paid under any federal law imposing a tax against | 0019| which credit may be taken for contributions required to be paid | 0020| into a state unemployment fund or such services are required to | 0021| be covered under the Unemployment Compensation Law as a | 0022| condition to receipt of full tax credit against the tax imposed | 0023| by the federal Unemployment Tax Act; | 0024| (s) service performed by a nonresident | 0025| alien individual for the period he is temporarily present in | 0001| the United States as a nonimmigrant under Subparagraph (F), (J) | 0002| or (M) of Section 101(a)(15) of the Immigration and Nationality | 0003| Act and that is performed to carry out the purpose specified in | 0004| those subparagraphs, as the case may be; | 0005| (t) service performed as a student nurse in | 0006| the employ of a hospital or a nurses' training school by an | 0007| individual who is enrolled and is regularly attending classes | 0008| in a nurses' training school chartered or approved pursuant to | 0009| state law; and service performed as an intern in the employ of | 0010| a hospital by an individual who has completed a four-year | 0011| course in a medical school chartered or approved pursuant to | 0012| state law; or | 0013| (u) service performed by an individual in | 0014| the sale of newspapers to ultimate consumers if such | 0015| individuals are "direct sellers" as defined by Section 3508 of | 0016| the Internal Revenue Code; and | 0017| (12) for the purposes of this subsection, if the | 0018| services performed during one-half or more of any pay period by | 0019| an individual for the person employing him constitute | 0020| employment, all the services of such individual for such period | 0021| shall be deemed to be employment but, if the services performed | 0022| during more than one-half of any such pay period by an | 0023| individual for the person employing him do not constitute | 0024| employment, then none of the services of such individual for | 0025| such period shall be deemed to be employment. As used in this | 0001| paragraph, the term "pay period" means a period, of not more | 0002| than thirty-one consecutive days, for which a payment of | 0003| remuneration is ordinarily made to the individual by the person | 0004| employing him. This paragraph shall not be applicable with | 0005| respect to services performed in a pay period by an individual | 0006| for the person employing him where any of such service is | 0007| excepted by Subparagraph (f) of Paragraph (11) of this | 0008| subsection; | 0009| G. "employment office" means a free public employment | 0010| office, or branch thereof, operated by this state or maintained | 0011| as a part of a state-controlled system of public employment | 0012| offices; | 0013| H. "fund" means the unemployment compensation fund | 0014| established by the Unemployment Compensation Law to which all | 0015| contributions and payments in lieu of contributions required | 0016| under the Unemployment Compensation Law and from which all | 0017| benefits provided under the Unemployment Compensation Law shall | 0018| be paid; | 0019| I. "unemployment" means, with respect to an | 0020| individual, any week during which he performs no services and | 0021| with respect to which no wages are payable to him and during | 0022| which he is not engaged in self-employment or receives an award | 0023| of back pay for loss of employment. The secretary shall | 0024| prescribe by regulation what constitutes part-time and | 0025| intermittent employment, partial employment and the conditions | 0001| under which individuals engaged in such employment are eligible | 0002| for partial unemployment benefits; | 0003| J. "state", when used in reference to any state other | 0004| than New Mexico, includes, in addition to the states of the | 0005| United States, the District of Columbia, the commonwealth of | 0006| Puerto Rico and the Virgin Islands; | 0007| K. "unemployment compensation administration fund" | 0008| means the fund established by Subsection A of Section 51-1-34 | 0009| NMSA 1978 from which administrative expenses under the | 0010| Unemployment Compensation Law shall be paid. "Employment | 0011| security department fund" means the fund established by | 0012| Subsection B of Section 51-1-34 NMSA 1978 from which certain | 0013| administrative expenses under the Unemployment Compensation Law | 0014| shall be paid; | 0015| L. "crew leader" means a person who: | 0016| (1) holds a valid certificate of registration as | 0017| a crew leader or farm labor contractor under the Migrant and | 0018| Seasonal Agricultural Worker Protection Act; | 0019| (2) furnishes individuals to perform services in | 0020| agricultural labor for any other person; | 0021| (3) pays, either on his own behalf or on behalf | 0022| of such other person, the individuals so furnished by him for | 0023| service in agricultural labor; and | 0024| (4) has not entered into a written agreement | 0025| with the other person for whom he furnishes individuals in | 0001| agricultural labor that such individuals will be the employees | 0002| of the other person; | 0003| M. "week" means such period of seven consecutive | 0004| days, as the secretary may by regulation prescribe. The | 0005| secretary may by regulation prescribe that a week shall be | 0006| deemed to be "in", "within" or "during" that benefit year | 0007| [which] that includes the greater part of such week; | 0008| N. "calendar quarter" means the period of three | 0009| consecutive calendar months ending on March 31, June 30, | 0010| September 30 or December 31; | 0011| O. "insured work" means services performed for | 0012| employers who are covered under the Unemployment Compensation | 0013| Law; | 0014| P. "benefit year" with respect to any individual | 0015| means the one-year period beginning with the first day of the | 0016| first week of unemployment with respect to which the individual | 0017| first files a claim for benefits in accordance with Subsection | 0018| A of Section 51-1-8 NMSA 1978 and thereafter the one-year | 0019| period beginning with the first day of the first week of | 0020| unemployment with respect to which the individual next files | 0021| such a claim for benefits after the termination of his last | 0022| preceding benefit year; provided that at the time of filing | 0023| such a claim the individual has been paid the wages for insured | 0024| work required under Paragraph (5) of Subsection A of Section | 0025| 51-1-5 NMSA 1978; | 0001| Q. "agricultural labor" includes all services | 0002| performed: | 0003| (1) on a farm, in the employ of any person, in | 0004| connection with cultivating the soil or in connection with | 0005| raising or harvesting any agricultural or horticultural | 0006| commodity, including the raising, shearing, feeding, caring | 0007| for, training and management of livestock, bees, poultry and | 0008| fur-bearing animals and wildlife; | 0009| (2) in the employ of the owner or tenant or | 0010| other operator of a farm, in connection with the operation, | 0011| management, conservation or maintenance of such farm and its | 0012| tools and equipment, if the major part of such service is | 0013| performed on a farm; | 0014| (3) in connection with the operation or | 0015| maintenance of ditches, canals, reservoirs or waterways used | 0016| exclusively for supplying and storing water for farming | 0017| purposes when such ditches, canals, reservoirs or waterways are | 0018| owned and operated by the farmers using the water stored or | 0019| carried therein; and | 0020| (4) in handling, planting, drying, packing, | 0021| packaging, processing, freezing, grading, storing or delivery | 0022| to storage or to market or to a carrier for transportation to | 0023| market any agricultural or horticultural commodity but only if | 0024| such service is performed as an incident to ordinary farming | 0025| operations. The provisions of this paragraph shall not be | 0001| deemed to be applicable with respect to service performed in | 0002| connection with commercial canning or commercial freezing or in | 0003| connection with any agricultural or horticultural commodity | 0004| after its delivery to a terminal market for distribution for | 0005| consumption. | 0006| As used in this subsection, the term "farm" includes | 0007| stock, dairy, poultry, fruit, fur-bearing animal and truck | 0008| farms, plantations, ranches, nurseries, greenhouses, ranges and | 0009| orchards; | 0010| R. "payments in lieu of contributions" means the | 0011| money payments made into the fund by an employer pursuant to | 0012| the provisions of Subsection A of Section 51-1-13 NMSA 1978; | 0013| S. "department" means the labor department; and | 0014| T. "wages" means all remuneration for services, | 0015| including commissions and bonuses and the cash value of all | 0016| remuneration in any medium other than cash. The reasonable | 0017| cash value of remuneration in any medium other than cash shall | 0018| be established and determined in accordance with regulations | 0019| prescribed by the secretary; provided that the term "wages" | 0020| shall not include: | 0021| (1) subsequent to December 31, 1977, that part | 0022| of the remuneration in excess of the base wage as determined by | 0023| the secretary for each calendar year. The base wage upon which | 0024| contribution shall be paid during any calendar year shall be | 0025| [sixty-five] sixty percent of the state's average annual | 0001| earnings computed by the department by dividing total wages | 0002| reported to the department by contributing employers for the | 0003| second preceding calendar year before the calendar year the | 0004| computed base wage becomes effective by the average annual | 0005| employment reported by contributing employers for the same | 0006| period rounded to the next higher multiple of one hundred | 0007| dollars ($100); provided that the base wage so computed for any | 0008| calendar year shall not be less than seven thousand dollars | 0009| ($7,000). Wages paid by an employer to an individual in his | 0010| employ during any calendar year in excess of the base wage in | 0011| effect for that calendar year shall be reported to the | 0012| department but shall be exempt from the payment of | 0013| contributions unless such wages paid in excess of the base wage | 0014| become subject to tax under a federal law imposing a tax | 0015| against which credit may be taken for contributions required to | 0016| be paid into a state unemployment fund; | 0017| (2) the amount of any payment with respect to | 0018| services performed after June 30, 1941 to or on behalf of an | 0019| individual in its employ under a plan or system established by | 0020| an employing unit [which] that makes provision for | 0021| individuals in its employ generally or for a class or classes | 0022| of such individuals, including any amount paid by an employing | 0023| unit for insurance or annuities, or into a fund, to provide for | 0024| any such payment, on account of: | 0025| (a) retirement if such payments are made by | 0001| an employer to or on behalf of any employee under a simplified | 0002| employee pension plan that provides for payments by an employer | 0003| in addition to the salary or other remuneration normally | 0004| payable to such employee or class of such employees and does | 0005| not include any payments [which] that represent deferred | 0006| compensation or other reduction of an employee's normal taxable | 0007| wages or remuneration or any payments made to a third party on | 0008| behalf of an employee as part of an agreement of deferred | 0009| remuneration; | 0010| (b) sickness or accident disability if such | 0011| payments are received under a workers' compensation or | 0012| occupational disease disablement law; | 0013| (c) medical and hospitalization expenses in | 0014| connection with sickness or accident disability; or | 0015| (d) death; | 0016| provided the individual in its employ has not the option to | 0017| receive, instead of provision for such death benefit, any part | 0018| of such payment, or, if such death benefit is insured, any part | 0019| of the premiums or contributions to premiums paid by his | 0020| employing unit and has not the right under the provisions of | 0021| the plan or system or policy of insurance providing for such | 0022| death benefit to assign such benefit, or to receive a cash | 0023| consideration in lieu of such benefit either upon his | 0024| withdrawal from the plan or system providing for such benefit | 0025| or upon termination of such plan or system or policy of | 0001| insurance or of his service with such employing unit; | 0002| (3) remuneration for agricultural labor paid in | 0003| any medium other than cash; | 0004| (4) any payment made to, or on behalf of, an | 0005| employee or an employee's beneficiary under a cafeteria plan | 0006| within the meaning of Section 125 of the federal Internal | 0007| Revenue Code of 1986; | 0008| (5) any payment made, or benefit furnished to or | 0009| for the benefit of an employee if at the time of such payment | 0010| or such furnishing it is reasonable to believe that the | 0011| employee will be able to exclude such payment or benefit from | 0012| income under Section 129 of the federal Internal Revenue Code | 0013| of 1986; [or] | 0014| (6) any payment made by an employer to a | 0015| survivor or the estate of a former employee after the calendar | 0016| year in which such employee died; [The provisions of this | 0017| section shall become effective July 1, 1993.] | 0018| (7) any payment made to, or on behalf of, an | 0019| employee or his beneficiary under an arrangement to which | 0020| Section 408(p) of the federal Internal Revenue Code of 1986 | 0021| applies, other than any elective contributions under Paragraph | 0022| (2)(A)(i) of that section; | 0023| (8) any payment made to or for the benefit of an | 0024| employee if at the time of such payment it is reasonable to | 0025| believe that the employee will be able to exclude such payment | 0001| from income under Section 106 of the federal Internal Revenue | 0002| Code of 1986; or | 0003| (9) the value of any meals or lodging furnished | 0004| by or on behalf of the employer if at the time such benefit is | 0005| provided it is reasonable to believe that the employee will be | 0006| able to exclude such items from income under Section 119 of the | 0007| federal Internal Revenue Code of 1986." | 0008| Section 5. A new section of the Unemployment Compensation | 0009| Law is enacted to read: | 0010| "[NEW MATERIAL] FOOD STAMP OVERISSUANCES.-- | 0011| A. The division shall notify the human services | 0012| department of the name of any individual who files a new claim | 0013| for unemployment compensation and who is determined to be | 0014| eligible for benefits. This information provided by the | 0015| division shall be used by the human services department to | 0016| determine whether or not any eligible individual owes an | 0017| uncollected overissuance, as defined in Section 13(c)(1) of the | 0018| federal Food Stamp Act of 1977, of food stamp coupons. | 0019| B. The division shall deduct and withhold from any | 0020| unemployment compensation payable to an individual who owes an | 0021| uncollected overissuance: | 0022| (1) the amount specified by the individual to | 0023| the division to be deducted and withheld under this subsection; | 0024| (2) the amount, if any, determined pursuant to | 0025| an agreement submitted to the human services department under | 0001| Section 13(c)(3)(A) of the federal Food Stamp Act of 1977; or | 0002| (3) any amount otherwise required to be deducted | 0003| and withheld from unemployment compensation pursuant to Section | 0004| 13(c)(3)(B) of the federal Food Stamp Act of 1977. | 0005| C. Any amount deducted and withheld under this | 0006| section shall be paid by the division to the human services | 0007| department. | 0008| D. Any amount deducted and withheld under Subsection | 0009| B of this section shall for all purposes be treated as if it | 0010| were paid to the individual as unemployment compensation and | 0011| paid by such individual to the human services department as | 0012| repayment of the individual's uncollected overissuance. | 0013| E. For purposes of this section, the term | 0014| "unemployment compensation" means any compensation payable | 0015| under the Unemployment Compensation Law including amounts | 0016| payable pursuant to an agreement under any federal law | 0017| providing for compensation, assistance or allowances with | 0018| respect to unemployment. | 0019| F. This section applies only if arrangements have | 0020| been made for reimbursement by the human services department | 0021| for the administrative costs incurred by the division under | 0022| this section [which] that are attributable to the repayment | 0023| of uncollected overissuances to the human services department." | 0024| Section 6. EFFECTIVE DATE.--The effective date of the | 0025| provisions of this act is July 1, 1997. | 0001| - 48 - | 0002| | 0003| | 0004| | 0005| | 0006| | 0007| | 0008| | 0009| | 0010| | 0011| | 0012| | 0013| | 0014| | 0015| | 0016| | 0017| | 0018| | 0019| | 0020| | 0021| State of New Mexico | 0022| House of Representatives | 0023| | 0024| FORTY-THIRD LEGISLATURE | 0025| FIRST SESSION, 1997 | 0001| | 0002| | 0003| February 6, 1997 | 0004| | 0005| | 0006| Mr. Speaker: | 0007| | 0008| Your BUSINESS AND INDUSTRY COMMITTEE, to whom has | 0009| been referred | 0010| | 0011| HOUSE BILL 328 | 0012| | 0013| has had it under consideration and reports same with | 0014| recommendation that it DO PASS, and thence referred to the | 0015| JUDICIARY COMMITTEE. | 0016| | 0017| | 0018| Respectfully submitted, | 0019| | 0020| | 0021| | 0022| | 0023| | 0024| | 0025| Fred Luna, Chairman | 0001| | 0002| | 0003| Adopted Not Adopted | 0004| (Chief Clerk) | 0005| (Chief Clerk) | 0006| | 0007| Date | 0008| | 0009| The roll call vote was 7 For 4 Against | 0010| Yes: 7 | 0011| No: Chavez, Luna, Rodella, J.G. Taylor | 0012| Excused: Olguin, Varela | 0013| Absent: None | 0014| | 0015| | 0016| G:\BILLTEXT\BILLW_97\H0328 State of New Mexico | 0017| House of Representatives | 0018| | 0019| FORTY-THIRD LEGISLATURE | 0020| FIRST SESSION, 1997 | 0021| | 0022| | 0023| February 17, 1997 | 0024| | 0025| | 0001| Mr. Speaker: | 0002| | 0003| Your JUDICIARY COMMITTEE, to whom has been referred | 0004| | 0005| HOUSE BILL 328 | 0006| | 0007| has had it under consideration and reports same with | 0008| recommendation that it DO PASS, and thence referred to | 0009| the APPROPRIATIONS AND FINANCE COMMITTEE. | 0010| | 0011| | 0012| Respectfully submitted, | 0013| | 0014| | 0015| | 0016| | 0017| | 0018| | 0019| Thomas P. Foy, Chairman | 0020| | 0021| | 0022| Adopted Not Adopted | 0023| (Chief Clerk) | 0024| (Chief Clerk) | 0025| | 0001| Date | 0002| | 0003| The roll call vote was 8 For 0 Against | 0004| Yes: 8 | 0005| Excused: Garcia M.P., Luna, Rios, Sanchez, Stewart | 0006| Absent: None | 0007| | 0008| | 0009| G:\BILLTEXT\BILLW_97\H0328 State of New Mexico | 0010| House of Representatives | 0011| | 0012| FORTY-THIRD LEGISLATURE | 0013| FIRST SESSION, 1997 | 0014| | 0015| | 0016| February 27, 1997 | 0017| | 0018| | 0019| Mr. Speaker: | 0020| | 0021| Your APPROPRIATIONS AND FINANCE COMMITTEE, to | 0022| whom has been referred | 0023| | 0024| HOUSE BILL 328 | 0025| | 0001| has had it under consideration and reports same with | 0002| recommendation that it DO PASS. | 0003| | 0004| | 0005| Respectfully submitted, | 0006| | 0007| | 0008| | 0009| | 0010| | 0011| | 0012| Max Coll, Chairman | 0013| | 0014| | 0015| Adopted Not Adopted | 0016| (Chief Clerk) | 0017| (Chief Clerk) | 0018| | 0019| Date | 0020| | 0021| The roll call vote was 15 For 0 Against | 0022| Yes: 15 | 0023| Excused: Abeyta, Buffett | 0024| Absent: None | 0025| | 0001| | 0002| G:\BILLTEXT\BILLW_97\H0328 FORTY-THIRD LEGISLATURE | 0003| FIRST SESSION | 0004| | 0005| | 0006| March 4, 1997 | 0007| | 0008| | 0009| HOUSE FLOOR AMENDMENT number ___1___ to HOUSE BILL 328 | 0010| | 0011| Amendment sponsored by Representative Terry T. Marquardt | 0012| | 0013| | 0014| 1. On page 36, line 21, strike the brackets and line through | 0015| "and". | 0016| | 0017| 2. On page 37, strike lines 7 through 24 in their entirety. | 0018| | 0019| | 0020| | 0021| | 0022| | 0023| | 0024| | 0025| | 0001| | 0002| | 0003| | 0004| | 0005| | 0006| | 0007| | 0008| ___________________________ | 0009| Terry T. Marquardt | 0010| | 0011| | 0012| | 0013| Adopted ___________________ Not Adopted ___________________________ | 0014| (Chief Clerk) (Chief Clerk) | 0015| | 0016| | 0017| Date ________________ | 0018| | 0019| | 0020| FORTY-THIRD LEGISLATURE | 0021| FIRST SESSION, 1997 | 0022| | 0023| | 0024| March 14, 1997 | 0025| | 0001| Mr. President: | 0002| | 0003| Your PUBLIC AFFAIRS COMMITTEE, to whom has been referred | 0004| | 0005| HOUSE BILL 328, as amended | 0006| | 0007| has had it under consideration and reports same with recommendation | 0008| that it DO PASS, and thence referred to the CORPORATIONS & | 0009| TRANSPORTATION COMMITTEE. | 0010| | 0011| Respectfully submitted, | 0012| | 0013| | 0014| | 0015| __________________________________ | 0016| Shannon Robinson, Chairman | 0017| | 0018| | 0019| | 0020| Adopted_______________________ Not Adopted_______________________ | 0021| (Chief Clerk) (Chief Clerk) | 0022| | 0023| | 0024| Date ________________________ | 0025| | 0001| | 0002| The roll call vote was 4 For 3 Against | 0003| Yes: 4 | 0004| No: Rodarte, Robinson, Feldman | 0005| Excused: Smith, Garcia | 0006| Absent: None | 0007| | 0008| | 0009| | 0010| | 0011| H0328PA1 |