52-04-05. Determination of rates

52-04-05. Each successive rate group for negative employer rate groups must be

assigned a rate equal to the previous group's rate plus four-tenths of one percent. The

number of rate groups in the negative employer schedule must be the number

required to provide for a rate group at each four-tenths of one percent interval between

the negative employer minimum rate and the negative employer maximum rate

determined under section 52-04-05. All results calculated under this subsection must

be rounded to the nearest one-hundredth of one percent.

3. Positive employers must be assigned to the rate in the positive employer rate schedule

in the rank order of their reserve ratios, as determined in subsection 1, with the highest

reserve ratio positive employers assigned to the first positive employer rate. Each

successively ranked positive employer must be assigned to a rate within the positive

employer rate schedule so that the first rate within the rate schedule is assigned sixty

percent of the positive employer's prior year's taxable wages and each of the

remaining nine rates within the rate schedule are assigned the same proportion of the

remaining forty percent of the positive employer's prior year's taxable wages. Negative

employers must be assigned to the rate in the negative employer rate schedule in the

rank order of their reserve ratios, as determined in subsection 1, with the highest

reserve ratio negative employers assigned to the first negative employer rate. Each

successively ranked negative employer must be assigned to a rate within the negative

employer rate schedule so that each rate within the rate schedule is assigned the

same proportion of the negative employer's prior year's taxable wages.

4. a. After each year's rate schedule has been established, an employer may pay into

the fund, or cause to be paid into the fund on the employer's behalf, an amount in

excess of the contributions required to be paid under this section. That amount

must be credited to the employer's separate account. The employer's rate must

be recomputed with the amount paid pursuant to this subsection included only,

except as allowed by subdivision b, if that amount was paid by April thirtieth of

that year. Payments may not be refunded or used as credit in the payment of

contributions.

b. An employer that enters a contract with a staffing service, other than a temporary

staffing service, may make the payments authorized by this subsection at any

time during the rate year and the agency will determine if that payment is

adequate to allow the staffing service to comply with subsection 3 of section

52-04-24; however, the employer's tax rate will remain in effect for the remainder

of the tax year. The agency will deposit any payment received pursuant to this

subsection immediately and will credit it to the employer's separate account, but

the agency will apply the payment to the calculation of the employer's tax rate for

the following rate year. In order to take advantage of this subdivision and

subsection 3 of section 52-04-24, an employer may not be delinquent in its

unemployment insurance tax payments on the date on which the payment

authorized by this subdivision is made.

5. In the bureau's determination of the projected income requirements for computing

contribution rates and taxable wage base, only the wages paid by, and the cost of

benefits attributable to, tax-rated employers may be taken into account.

6. If an employer has a quarterly taxable payroll in excess of fifty thousand dollars and at

least three times its established average annual payroll or the average annual payroll

is zero, and the employer's cumulative lifetime reserve balance is positive, then the tax

rate for that employer is ninety percent of the positive employer maximum rate in effect

that year or a rate of one percent, whichever is greater, beginning the first day of the

n excess of fifty thousand dollars and at

least three times its established average annual payroll or the average annual payroll

is zero, and the employer's cumulative lifetime reserve balance is positive, then the tax

rate for that employer is ninety percent of the positive employer maximum rate in effect

that year or a rate of one percent, whichever is greater, beginning the first day of the

calendar quarter in which it occurred and for the remainder of the calendar year. If the

employer's cumulative lifetime reserve balance is negative, then the tax rate for that

employer is the negative employer maximum rate of contribution in effect that year,

beginning the first day of the calendar quarter in which it occurred and for the

remainder of the calendar year.