ENGR. H. A. to ENGR. S. B. NO. 1800 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 ENGROSSED HOUSE AMENDME NT TO ENGROSSED SENATE BILL NO . 1800 By: Leewright of the Senate and McDugle of the House An Act relating to the Employment Security Act of 1980; amending 40 O.S. 2021, Section 1-201, which relates to definitions; defining terms; amending 40 O.S. 2021, Section 1-202.1, which relates t o extended base period; removing definition; amending 40 O.S. 2021, Section 1-209, which relates to employing unit; removing definition; amending 40 O.S. 2021, Section 1-209.1, which relates to lessor employing unit; removing definitions; updating statutory reference; amending 40 O.S. 2021, Section 1 -209.2, which relates to professional employer organization; removing definitions; amending 40 O.S. 2021, Sec tion 1-217, which relates to unemplo yed individuals; removing definition; providing conditions of unemployment; specifying conditions for filing during a continued claim series; providing for investigating e ven when individual satisfies threshold requirements; making language gender neutral; amending 40 O.S. 2021, Section 1-223, which relates to taxable w ages; removing definition; updating statutory language; amending 40 O.S. 2021, Section 1-224, which relates to filing; removing definitions related to telefaxing; modifying requirements for m ailing; updating definitions to include digital filing through the Oklahoma Employment Security Commission’s portal; amending 40 O.S. 2021, Section 1-225, which relates to supplemental unemployment benefit plan ; removing definition; amending 40 O.S 2021, Section 1- 228, which relates to limited liability companies; removing definition; specifying methods of notice by the Commission; providing Commission’s preferred method; allowing for opt-out of delivery; amending 40 O.S. 2021, Section 2-203, which relates to claims; removing provision for Commission to inform claimants filing for unemployment benefits and require ENGR. H. A. to ENGR. S. B. NO. 1800 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 certification statement during process; amending 40 O.S. 2021, Section 2-503, which relates to claims, notices, and objections; providing for electronic notice; allowing for opt-out of certain method ; removing provisions for notice by mail; amending 40 O.S. 2021, Section 2 -503.1, which relates to filing of employer protest; removing optional use of portal; allowing for opt-out of certain method; updating statutory language; amending 40 O.S. 2021, Section 2 - 605, which relates to notice of decision; providing for notice by electronic means; allowing for op t-out of certain method; removing criteria for mail notice; amending 40 O.S. 2021, Section 2 -606, which relates to appeals; removing provision for notice by mail; amending 40 O.S. 2021, Section 3-106, which relates to benefit wages cha rged; removing conditions for mail and electronic notice; adding reference for filings and hearings by the Assessment B oard; removing provision for written protest; updating statutory language; amending 40 O.S. 2021, Section 3 - 115, which relates to appeal o f determination; updating statutory language; providing standard of review; amending 40 O.S. 2021, Section 3 -307, which relates to remittances; providing for Commission to promulgate rules for payment of unemployment taxes ; amending 40 O.S. 2021, Secti on 4-205, which relates to temporary members; providing for appointment of an additional temporary member by the Governor in the event of disqualification of a member of the Board of Review; updating statutory language; amending 40 O.S. 2021, Section 4-508, which relates to information to be kept confidential; updating statutory language; permitting disclosure of information to additional agencies by Commission; repealing 40 O.S. 2021, Sections 1-202, 1-202.2, 1-203, 1-204, 1-205, 1-206, 1-207, 1-211, 1-212, 1-213, 1-215, 1-216, 1-219, 1- 220, 1-221, 1-226, 1-301, 2-406.2, 2-709, 2-711, 2- 713, and 3-118, which relate to the Employment Security Act of 1980; providing for codification; and providing an effective date. AMENDMENT NO. 1. Strike the title, enacting clause, and entire bill and insert: ENGR. H. A. to ENGR. S. B. NO. 1800 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 "An Act relating to the Employment Security Act of 1980; amending 40 O.S. 2021, Section 1-201, which relates to definitions; adding definitions; amending 40 O.S. 1-202.1, which relates t o extended base period; removing definition; amending 40 O.S. 2021, Section 1-209, which relates to employing unit; removing definition; amending 40 O.S. 2021, Section 1-209.1, which relates to lessor emp loying unit; removing definitions; updating statutory reference; amending 40 O.S. 2021, Section 1 -209.2, which relates to professional employer organization; removing definitions; amending 40 O.S. 2021 , Section 1-217, which relates to unemployed individual s; removing definition; providing further conditions of unemployment; specifying conditions for filing during a continued claim series; providing for investigating even when individual satisfies threshold requirements; making language gender neutral; amending 40 O.S. 2021, Section 1 -223, which relates to taxable w ages; removing definition; amending 40 O.S. 2021, Section 1-224, which relates to filing; removing definitions related to telefaxing; updating definitions to include digital filing through the Oklahoma Employment Security Commission’s portal; amending 40 O.S. 2021, Section 1-225, which relates to su pplemental unemployment benefit plan; removing definition; amending 40 O.S 2021, Section 1-228, which relates to limited liability companies; removing definition; specifying methods of notice by the Commission; providing Commission’s preferred method; allowing for option of use; amending 40 O.S. 2021, Section 2 -203, which relates to claims; removing pr ovision for Commission to inform claimants filing for unemployment benefits and require certification statement during process; amending 40 O.S. 2021, Section 2-205.1, which relates to ability to work ; removing specification for seeking or accepting employment; making language gender neutral; amending 40 O.S. 2021, Section 2- 503, which relates to claims, not ices, and objections; allowing for electronic notice; allowing for option of use; removing provisions for notice by mail; amending 40 O.S. 2021, Section 2-503.1, which relates to filing of employer protes t; removing optional use of portal; amending 40 O.S. 2021, Section 2-605, which relates to notice of decision; providing for notice by electronic means; allowing ENGR. H. A. to ENGR. S. B. NO. 1800 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 for option of use; removing criteria for mail notice; amending 40 O.S. 2021, Section 2 -606, which relates to appeals; removing condition for notice by mail; amending 40 O.S. 2021, Section 3-106, which relates to benefit wages cha rged; removing conditions for method of mail notice; adding reference for filings and hearings by the Assessment Board; removing provision for written p rotest; amending 40 O.S. 2021, Section 3 -115, which relates to appeal of determination; updating statutory language; amending 40 O.S. 2021, Sectio n 3-307, which relates to remittances; providing for Commission to promulgate rules for payment of unemployment taxes; amending 40 O.S. 2021, Secti on 4-205, which relates to temporary members; providing for appointment of an additional temporary member by the Governor in the event of disqualification of a member of the Board of Review; amending 40 O.S. 2021, Section 4-508, which relates to information to be kept confidential; updating statutory language; permitting disclosure of information for additional agencies by Commission; repealing 40 O.S. 2021, Sections 1-202, 1-202.2, 1-203, 1-204, 1-205, 1-206, 1-207, 1-211, 1-212, 1-213, 1-215, 1-216, 1-219, 1- 220, 1-221, 1-226, 1-301, 2-406.2, 2-709, 2-711, 2- 713, and 3-118, which relate to the Employment Security Act of 1980; providing for codification; and providing an effective date. BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 40 O.S. 2021, Section 1-201, is amended to read as follows: Section 1-201. GENERAL DEFINITIONS. The words and phrases As used in this act shall, unless the context cl early requires otherwise, have the meanings prescribed in Part 2 of this Article the Employment Security Act of 1980 : ENGR. H. A. to ENGR. S. B. NO. 1800 Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1. "Additional initial claim " means a claim applicatio n which reactivates a claim during an existing benefit year and certifies to a period of employment which occurred subsequent to the date of the filing of the last initial, additional , or reopened claim; 2. "Alternative base period" means the most recent four (4) completed calendar quarters immediately preceding the first day of an individual’s benefit year. In the event that an individual ’s claim uses an alternative base period to meet the wage requ irement under Section 2-207 of this title, this "alternative base period" shall be substituted for "base period" for all other purposes un der the Employment Security Act of 1980; 3. "Assigned tax rate" means the tax rate assigned to an employer pursuant to Section 3-110.1 of this title when the employer does not have sufficient experience history to meet the At-Risk Rule set out in paragraph 3 of Section 3-110.1 of this title; 4. "Base period" means the first four ( 4) of the last five (5) completed calendar quarters immediately preceding the first day of an individual’s benefit year; 5. "Benefit year" with respect to any individual means the one- year period beginning with the first day of the first week with respect to which the individual first files a v alid claim for benefits and thereafter the one -year period beginning with the first day of the first week with respect to which the indi vidual next files a valid claim for benefits after the termination of his or her ENGR. H. A. to ENGR. S. B. NO. 1800 Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 last preceding benefit year. Any claim for benefits shall be deemed a valid claim for the purp ose of this section if the individual has been paid the wages for insured work requ ired under the Employment Security Act of 1980; 6. "Benefit wages" means the taxable wages earned by a claimant during the claimant’s base period which are not in excess of the current maximum weekly benefit amount, as determined under Section 2-104 of this title, multiplied by the maximum number of weeks for which benefits could be paid to any individual (now twenty -six (26) weeks) multiplied by three (3); provided, however , no wages shall be included as "benefit wages" unless and until the claimant has b een paid benefits for five (5) weeks in one (1) benefit year ; 7. "Benefits" mean the money payments payable to an in dividual as provided in the Employment Security Act of 1980 with respect to his or her unemployment including extended benefits. The federal share of such extended benefits shall not be construed as benefits for the purposes of computing contribution rates under the Employment Security Act of 1980; 8. "Calendar quarter" means the period of three (3) consecutive calendar months ending on Mar ch 31, June 30, September 30, or December 31, or the equivalent thereof as the Commission may by regulation prescribe ; 9. "Client" shall have the same meaning as provided in paragraph 1 of Section 600.2 of this title; ENGR. H. A. to ENGR. S. B. NO. 1800 Page 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 10. "Coemployer" shall have the same meaning as provided in paragraph 2 of Section 600.2 of this title; 11. "Coemployment relationship " shall have the same meaning as provided in paragraph 3 of Section 600.2 of this title; 12. "Commission" means the Oklahoma Employment Security Commission; 13. "Commissioner" means a member of the Commission; 14. "Continued claim series " means an uninterrupted series of weekly claims filed by a claimant during the benefit y ear; 15. "Contributions" mean the money payments including taxes and reimbursements, required by the Employment Security Act of 1980 to be paid into the Unemployment Com pensation Fund by an employer; 16. "Covered employee" shall have the same meaning as provided in paragraph 5 of Section 600.2 of this title; 17. "Digital portal filing" means electronic communication through the agency digital porta l; 18. "Earned tax rate" means the tax rate calculat ed for an employer with sufficient experience history to meet the At-Risk Rule set out in paragraph 3 of Section 3-110.1 of this title, with the tax rate calculated pursuant to the provisions of Section 3-101 et seq. of this title; 19. "Electronic e-filing" means filing by email or fax to email; ENGR. H. A. to ENGR. S. B. NO. 1800 Page 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 20. "Eligibility period" of an individual for extended benefits means the period consisting of the weeks in his or her benefit year as defined by the Employment Security Act of 1980, which begin in an extended benefit period and, if his or her benefit year ends with in such extended benefit period, any weeks thereafter which begin in such extended benefit period; 21. "Employer" shall have the same meaning as provided in Section 1-208 of this title; 22. "Employing unit" means any individual or type of organization including any partnership, association, trust, estate, joint stock company, insurance co mpany, limited liability company or corporation, whether domestic or foreign, or the receiver, trustee in bankruptcy, trustee or successor thereof, or the legal representative of a deceased person, which has or subsequent to January 1, 1936, had in its emp loy one or more individuals performing services for it within this state ; 23. "Employment" shall have the same meaning as provided in Section 1-210 of this title; 24. "Employment office" means a free public employment office or branch thereof operated by this or any other state as a part of a state-controlled system of publi c employment offices or by a federal agency charged with the administration of an unemployment compensation program or free public employment offices; ENGR. H. A. to ENGR. S. B. NO. 1800 Page 9 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25. "Employment Security Adminis tration Fund" means the fund established in Section 4-602 of this title from which administration expenses under the Employment Security Act of 1980 shall be paid; 26. "Exhaustee" shall have the same meaning as provided in Section 2-712 of this title; 27. "Experience period" means the most recent twelve (12) consecutive completed calendar quarters occurring before July 1 of the year immediately preceding the year for whi ch the employer’s contribution rate is being calculated; 28. "Extended base period" means the four (4) quarters prior to the claimant’s base period. These four (4 ) quarters may be substituted for base period quarters on a quarter-by-quarter basis to establish a valid claim regardless of whether the wages have bee n used to establish a prio r claim, except any wages earned that would render the Commission out of compliance with applicable federal law shall be excluded if used in a prior claim; 29. "Extended benefit period" shall have the same meaning as provided in Section 2-703 of this title; 30. "File", "files", or "filed" shall have the same meaning as provided in Section 1-224 of this title; 31. "Mail", "mails", "mailed", or "mailing" means communication sent by a postal service with sufficient postage; 32. "Foreign limited liability company" shall be defined by the provisions of the Oklahoma Limited Liability Company Act; ENGR. H. A. to ENGR. S. B. NO. 1800 Page 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 33. "Fund" means the Unemployment Compensation Fund established in Section 3-601 of this title; 34. "Hospital" means any hospital required to be licensed under the Oklahoma Public Health Code, Sections 1-101 et seq. of Title 63 of the Oklahoma Statutes, and includes state mental hospitals an d any other mental hospital or institution; 35. "Initial claim" means a new claim application submitted b y a claimant to establish a benefit year f or unemployment insurance benefits; 36. "Institution of higher education " shall have the same meaning as provided in Section 1-214 of this title; 37. "Insured work" means employment for employers as defined by the Employment Security Act of 1980; 38. "Lessor employing unit " means any independently established business entity which engages in the business of p roviding leased employees to any other employer, individual, organization, partnership, corporation, or other legal entity, refe rred to herein as a client lessee; 39. "Limited liability company " shall be defined by the provisions of the Oklahoma Limited L iability Company Act; 40. "Probationary period" means a period of time set forth in an established probationary plan, which app lies to all employee s or a specific group of employees, and does not ex ceed ninety (90) calendar days from the fi rst day a new employee begins work; ENGR. H. A. to ENGR. S. B. NO. 1800 Page 11 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 41. "Professional Employer Organization" or "PEO" means an organization that is subject to the Oklahoma Professional Employer Organization Recognition and Registration Act and which mee ts the definition set out in paragraph 9 of Section 600.2 of this title; 42. "Rate of insured employment" shall have the same meaning as provided in Section 2-708 of this title; 43. "Regular benefits" means benefits payable to an individual under the Employment Security Act of 1980, or under any othe r state law including dependents’ allowances and benefits payable to federal civilian employees; 44. "Reopened claim" means a claim application which reactivates a claim during an existing benefit year when a claimant stopped filing for benefits before hi s or her claim was exhausted, but in which there occurred no intervening employment from the date of the filing of the last init ial, additional, or reopened claim; 45. "State" includes, in addition to the state s of the United States of America, the District of Columbia, the Commonwealth of Puerto Rico and the Virgin Islands; 46. "State law" means the unemployment insurance law of any state, approved by the Secretary of Labor of the United States under Section 3304 of the Internal Revenue Code of 1954; 47. "Supplemental unemployment benefit plan " means a plan that provides for an employer to make payments to its employees during a permanent or tempora ry layoff that will supplement unemployment ENGR. H. A. to ENGR. S. B. NO. 1800 Page 12 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 benefits received by the employees. The purpose of a supplementa l unemployment benefit plan is to allow an employer to sustain the purchasing power of its employees or former employees during a layoff; 48. "Taxable wages" means the wages paid to an individual with respect to employment during a calendar year for servi ces covered by the Employment Security Ac t of 1980 or other state unemployment compensation acts which shall equal the applicab le percentage of the state’s average annual wage for the second prece ding calendar year as determined by the Commission, rounded to the nearest multiple of One Hundred Dollars ($100.00); 49. "Wages" shall have the same meaning as provided in Section 1-218 of this title; 50. "Wages paid" means wages actually paid to the worker; provided, however, that in the event of any distributi on of an employer’s assets through insolvency, receivership, composition, assignment for the benefit of creditors, or terminati on of business, wages earned but not actually paid shall be considered as paid ; and 51. "Week" means such period of se ven (7) consecutive days, as the Commission may by regulation prescribe. SECTION 2. AMENDATORY 40 O.S. 2021, Se ction 1-202.1, is amended to read as follows: Section 1-202.1 EXTENDED BASE PERIOD. ENGR. H. A. to ENGR. S. B. NO. 1800 Page 13 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 If an individual lacks sufficient b ase period wages because of a job-related injury for w hich the individual received total temporary disability payments awarded by the W orkers’ Compensation Court, upon written application by the claimant , an extended base period will be substituted for the current base period on a quarter -by-quarter basis as needed to establish a valid claim. "Extended base period " means the four quarter s prior to the claim ant’s base period. These four quarters may be s ubstituted for base period quarters on a quarter-by-quarter basis to establish a valid claim regardless of whether the wages have been used to establish a prior claim, except any wages earned that would rende r the Commission out of compliance with applicable federal law will be excluded if used in a prior claim. Benefits paid on the basis of an extended base p eriod, which would not otherwise be payable, shall be noncharged . SECTION 3. AMENDATORY 40 O.S. 2021, Section 1 -209, is amended to read as follows: Section 1-209. EMPLOYING UNIT. "Employing unit" means any individual or type of organization, including any partnership, association, trust, estate, joint stock company, insurance co mpany, limited liability company or corporation, whether dom estic or foreign, or the receiver, trustee in bankruptcy, trustee or su ccessor thereof, or the legal representative of a deceased person, which has or subsequent to ENGR. H. A. to ENGR. S. B. NO. 1800 Page 14 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 January 1, 1936, had in its emp loy one or more individuals performing services for it withi n this state. All individuals performing services within this state for any employing unit which maintains two or more separate establishments within this state shall be deemed to be employed by a single employing unit for all the purposes of the Employmen t Security Act of 1980, except as provided under paragraphs 10 and 11 o f Section 1- 208 of this title. Whenever any employing unit contracts with or has under it any contractor or subcontractor for any employment, which is part of its usual trade, occupatio n, profession, or business, unless the employing unit as well as each s uch contractor or subcontractor is an employer by reason of Section 1-208 or Section 3-203 of this title, the employing unit shall for all the purposes of the Employment Security Act of 1980 be deemed to employ each individual in the employ of each such co ntractor or subcontractor for each day during which such individual is engaged in performing such employment; except that eac h such contractor or subcontractor who is an employer by reason of Section 1-208 or Section 3-203 of this title shall alone be liab le for the contributions measured by wages paid to individuals employed by the contractor or subcontracto r, and except that any employing unit which shall become liable for and pay contributions with respect to individuals in the empl oy of any such contractor or subcontractor who is not an employer by reason of ENGR. H. A. to ENGR. S. B. NO. 1800 Page 15 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Section 1-208 or Section 3-203 of this title may recover the same from such contractor or subcontractor. Each individual employe d to perform or to assist in performing the work of any agent or employ ee of an employing unit shall be deemed to be employed by such employing unit for all the purposes of the Employment Security Act of 1980, whether such individual was hired or paid directly by such employing unit or by such agent or employee of an employin g unit, provided the employing unit had actual or constructive knowledge of the employment. SECTION 4. AMENDATORY 40 O.S. 20 21, Section 1-209.1, is amended to read as follows: Section 1-209.1 LESSOR EMPLOYING UNIT. A. "Lessor employing unit" means any independently established business entity which engages in the business of prov iding leased employees to any other employer, individual, organization, partn ership, corporation or other legal entity, referred to herein as a client lessee. B. Any employer or any individual, organization, partnership, corporation or other legal entity which meets the definition of lessor employing unit shall be liable for contr ibution on wages paid by the lessor employing unit t o individuals performing services for client lessees of the lessor employing unit. C. B. Unless the lessor employing unit has timely complied with the provisions of this section, any employer, individual, organization, partnership, corporation or other le gal entity leasing ENGR. H. A. to ENGR. S. B. NO. 1800 Page 16 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 employees from any lessor em ploying unit shall be jointly and severally liable for any unpaid contributions, interest, penalties and fees due under this section from any lessor employing u nit attributable to wages for services performed for the client lessee entity by the employees l eased to the client lessee entity. D. C. In order to relieve client lessees fro m joint and several liability imposed under this section, any lessor employing unit as defined herein may post and maintain a sur ety bond issued by a corporate surety authorize d to do business in this state in an amount equivalent to the contributions for which the lessor employing unit was liable in the last calendar year in which it accrued contributions, or One Hundred Thousand D ollars ($100,000.00), whichever amount is the g reater, to ensure prompt payment of contributions, interest, penalties and fees for which the lessor employing unit may be or may become liable under this section. E. D. Any lessor employing unit as defined h erein which is currently engaged in the busines s of leasing employees to client lessees shall comply with the provisions of thi s section by January 1, 1991. F. E. Any lessor employing unit not engaged in the busines s of leasing employees to client lessees on or before the effective date of this act May 31, 1990, shall comply with the requirements herein before entering into lease agreements with client lessees. ENGR. H. A. to ENGR. S. B. NO. 1800 Page 17 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 SECTION 5. AMENDATORY 40 O.S. 2021, Section 1-209.2, is amended to read as follows: Section 1-209.2 A. 1. A "Professional Employer Organization" or "PEO" is an organization that is subject to the Oklahoma Professional Employer Organization Recognition and Regis tration Act and which meets the definition set out in paragraph 9 of Section 600.2 of Title 40 of the Oklahoma Statutes. 2. "Client" shall have the same meaning as provided by paragraph 1 of Section 600.2 of Title 40 of the Oklahoma Statutes. 3. "Coemployer" shall have the same meaning as provided by paragraph 2 of Section 600.2 of Title 40 of the Oklahoma Statut es. 4. "Coemployment relationship" shall have the same meaning as provided by paragraph 3 of Section 600.2 of Title 40 of the Oklahoma Statutes. 5. "Covered employee" shall have the same meaning as provided by paragraph 5 of Section 600.2 of Title 40 of the Oklahoma Statutes. B. For purposes of the Employment Security Act of 1980, the PEO and its client shall be considered coemployers of the cov ered employees that are under the direction and control of the client. C. B. If a PEO fails to become or remai n registered under the Oklahoma Professional Employer Organization Recognition and Registration Act, the entity shall be considered a third -party administrator of the client account. As a third-party ENGR. H. A. to ENGR. S. B. NO. 1800 Page 18 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 administrator, a power of attorney will be required to obtain information from the client’s account. SECTION 6. AMENDATORY 40 O.S. 2021, Section 1-217, is amended to read as follows: Section 1-217. UNEMPLOYED. An individual shall be de emed "unemployed" with respect to any week durin g which he performed no services and with respect to which no wages are payable to him, or with respect to any week of less than full-time work if the wages payable to him with respect to such week are less t han his weekly benefit amount plus One Hundred D ollars ($100.00); provided that for A. An individual shall be deemed unemployed with respect to any week during which: 1. The individual performed no services; and 2. No wages are payable to the individual. B. For an initial or additional initial claim filing, an individual shall be deemed unemployed: 1. With respect to any week of less than full-time work, if the wages payable to the individual are less than his or her weekly benefit amount plus One Hundred Dollars ($100.00) ; and 2. If the individual has incurred a loss of wages or reductions in hours equal to or greater than fifteen percent (15%) of the income or hours worked, based on his or her customary work experience or contract of hire. ENGR. H. A. to ENGR. S. B. NO. 1800 Page 19 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 C. For filing made during a continued claim series, an individual shall be deemed unemployed with respect to any week of less than full-time work if the wages payable to the individual are less than his or her weekly benefit amount plus One Hundred Dollars ($100.00). D. For the purpose of this section only, any vacation leave payments or sick leave payments, which such individual m ay receive or be entitled to from his or her employer or former employer, arising by reason of separation from employment, shall be deemed not to be wages as the term wages is used in this section. E. A finding that an individual has satisfied the hour and wage threshold as defined in this section shall not preclude a potential investigation or disqualification for benefits as provided in Section 2-101 et seq. of this title if the employer files a timely protest to the initial or additional initial claim. SECTION 7. AMENDATORY 40 O.S. 2021, Section 1 -223, is amended to read as follows: Section 1-223. TAXABLE WAGES – CONDITIONAL FACTORS AND PERCENTAGES. "Taxable wages" means the wages paid to an individual with respect to employment during a calendar year for services covered by the Employment Security Act of 1980 or other state unemployment compensation acts whi ch shall equal the applicable percenta ge of the state’s average annual wage for the second preceding calendar year ENGR. H. A. to ENGR. S. B. NO. 1800 Page 20 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 as determined by the Commission, rounded to the nearest multiple of One Hundred Dollars ($100.00). The applicable percentage of the state’s average annual wage is determined by the conditional factor in place during the calendar year for which the taxable wage is being calculated. The conditio nal factor is determined pursuant to the provisions of Section 3 -113 of this title. The applicable percentages are as follows: 1. Forty percent (40%) during any calendar year in which the balance in the Unemployment Compensation Fund is in excess of the amount required to initiate conditional contribution rates, pursuant to the provisions of Section 3 -113 of this title; 2. Forty-two and one-half percent (42.5%) during calendar years in which condition "a" exists; 3. Forty-five percent (45%) during calen dar years in which condition "b" exists; 4. Forty-seven and one-half percent (47.5%) during calendar years in which condition "c" exists; and 5. Fifty percent (50%) during calendar years in which condition "d" exists. SECTION 8. AMENDATORY 40 O.S. 2021, Section 1 -224, is amended to read as follows: Section 1-224. FILE. A. For purposes of this section , "OESC 2020-21 business process transformation" means a change from paper process to in tegrated ENGR. H. A. to ENGR. S. B. NO. 1800 Page 21 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 digital technology. Upon completion of the OESC 2020 -21 business process transformation, electronic e -filing will be the Commission ’s preferred filing method for tendering and receiving documents. All claimants and employers tendering documents to the Commission will be expected to tender the documents electronically. If the claimant or employer has elected to utilize other means of transmittal , it will be the responsibil ity of the claimant or employer to notify the Commission of this preference . B. When any document is required to be filed by the provisions of the Employment Security Act of 1980 or the rules promulgated under the authority of the Employment Security Act of 1980 with the Oklahoma Employment Security Commission, any of its repres entatives, or the Board of Review for the Oklahoma Employment Security Commission the provisions of the Employment Security Act of 1980 or the rules promulgated under the auth ority of the act require any document to be filed with the Oklahoma Employment Se curity Commission or its affiliate entities, the term "file", "files", or "filed" shall be defined as follows mean: 1. Hand-delivered Hand-delivery to the central administrative office of the Oklahoma Employment Security Commission by the close of business on or before the date due; 2. Telefaxed to the telefax number indicated on the determination letter, order or other document issued by the Oklahoma Employment Security Commission by midnight on or before the date ENGR. H. A. to ENGR. S. B. NO. 1800 Page 22 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 due. Timely telefaxing shall be determi ned by the date and time recorded by the Commission ’s telefax equipment; 3. Mailed with sufficient postage and properly addressed to the address indicated on th e determination letter, order or other document issued Mailing by means calculated to ensure re ceipt by the Oklahoma Employment Security Com mission on or before the date due. Timely mailing shall be determined by the United States Postal Service postmark. If there is no proof from the post office of the date of mailing such legible postmark, the date of receipt by the Commission shall constitute the date of filing; or 4. 3. Electronic e-filing to the Oklahoma Employment Security Commission, as directed by the instructions o n the determination letter, order or other document issued by the Commissio n, by midnight on or before the date due. Timely transmission shall be determined by the Commissi on’s transmission log file ; or 4. Digital portal filing b y midnight on or before t he date due. Timely transmission shall be determined by the Commission ’s transmission log file. C. If the Employment Security Act of 1980 or the rules promulgated under the Employment Security Act of 1980 require that a document be filed with a court or any other agency of this state, the term "file", "files" or "filed" shall be defined by the statutes, rules or practice governing that court or agency. ENGR. H. A. to ENGR. S. B. NO. 1800 Page 23 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 SECTION 9. AMENDATORY 40 O.S. 2021, S ection 1-225, is amended to read as follo ws: Section 1-225. SUPPLEMENTAL UNEMPLOYMENT BENEFIT PLAN. A. "Supplemental unemployment benefit plan" means a plan that provides for an employer to make payments to its employees during a permanent or temporary layoff that will supplement unemployment benefits received by the employees. The purpose of a supplemental unemployment benefit plan is to allow an employer to sustain the purchasing power of its employees or former employ ees during a layoff. B. A supplemental unemployment benefit plan for a tem porary layoff must meet the following requirements: 1. The plan shall provide for a paymen t from the employer to the employee each week during the temporary layoff to supplement unemployment benefits received by the employee; 2. The plan must be part of an agreement entered into between the employer and employee, or between the employer and a collective bargaining agent on behalf of the employee, before the date the layoff is effective; 3. The employer must be able to give a reasonable assurance that the separated employees will be able to return to work at the end of the temporary layoff; 4. The employer must inform the Commission of the beginning and ending dates of the layoff a nd keep the Commission infor med of any ENGR. H. A. to ENGR. S. B. NO. 1800 Page 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 changes in circumstances while any c laims for unemployment benefits are in existence; and 5. The plan must provide for equal t reatment of all employees covered by the plan who are included in the layoff. The requirements of Sections 2-417 and 2-418 of this title shall be waived for any claimant of unemployment benefits who is receiving supplemental benefits under this subsection. C. B. A supplemental unemployment benefit plan for a permanent layoff must meet the foll owing requirements: 1. The plan shall provide for a payment from the emplo yer to the former employee during each week unemployment benefits are paid to the former employee, in order to supplement the unemployment benefits received by the former employee; 2. The plan must be part of an agreement entered into between the employer and former employee, or between the employer and a collective bargaining agent on behalf o f the former employee, before the date the layoff is effective; and 3. The plan must prov ide for equal treatment of a ll former employees covered by the plan who are included in the layoff. The requirements of Sections 2-417 and 2-418 of this title shall be applicable to any claimant of unemployment benefits who is receiving supplemental benefi ts under this subsection. ENGR. H. A. to ENGR. S. B. NO. 1800 Page 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 D. C. The amount of supplemental unemployment be nefit plan payments will not be deducted from the weekly benefit amount of an unemployment benefit claim. E. D. All supplemental unemployment benefit plans must be approved by the Director of the Unemployment Insurance Division of the Oklahoma Employment Security Commission. The Director’s determination will be in writing and mailed to the emp loyer and the collective bargaining agent of the employees, if any exists, at their last-known addresses, within twent y (20) days of the rece ipt of the employer’s plan. If an employer or collective bargaining agent disagrees with the determination, an app eal can be taken pursuant to Section 3 -115 of this title. SECTION 10. AMENDATORY 40 O.S. 2021, Section 1 -228, is amended to read as follows: Section 1-228. LIMITED LIABILITY COMPANIES. A. For purposes of the Employment Security A ct of 1980, a "limited liability company " and a "foreign limited liability company" shall be defined by the provisions of the Oklahoma Limit ed Liability Company Act. B. For unemployment tax purposes, wages, salaries, or draws paid to limited liability com pany members, relatives of the members, and employees shall be taxed in the same manner as required by the Federal Unemployment Tax Act, Tit le 26 U.S.C., Chapter 23, and the Internal Revenue Code, Title 26 U.S.C., Chapters 1 through 99. ENGR. H. A. to ENGR. S. B. NO. 1800 Page 26 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 SECTION 11. NEW LAW A new section of law to be codified in the Oklahoma Statutes as Sec tion 1-230 of Title 40, unless there is created a duplication in numbering , reads as follows: NOTICE GIVEN. A. Notice shall be deemed given when the Oklahoma Employment Security Commission notifies by one of the following means: 1. Mail; 2. Email or fax to email; or 3. Upload to the agency digit al portal. There is a rebuttable pres umption that notice has been given on the date stated in the communication. B. The Commission's preferred method of notification shall be electronic delivery through the agency digital portal or email. If claimants or employers wish to opt into delivery by the agency digital portal or email, they may notify the Commission by one of the methods listed in subsection A of this se ction. SECTION 12. AMENDATORY 40 O.S. 2021, Section 2 -203, is amended to read as follows: Section 2-203. CLAIM. A. An unemployed individual must file an initial claim for unemployment benefits by completing the required forms thr ough the Internet Claims service provided by the Commission, or by completing all forms necessary to process an initial claim in a local office of the Commission or any alt ernate site designated by the Commission to ENGR. H. A. to ENGR. S. B. NO. 1800 Page 27 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 take unemployment benefit claims. The C ommission may obtain additional informati on regarding an individual ’s claim through any form of telecommunication, writing, or interview . An unemployed individual must file a claim by telecommunication or by Internet utilizing the digital services portal to create an account to access benefits with respect to each week in accordanc e with such rule as the Commission may prescribe. B. 1. During the process of filing an init ial claim for unemployment benefits, the claimant shall be made aware of the definition of misconduct set out in Section 2 -406 of this title, and the claimant shall affirmatively certify that the answers given to all questions in the initial claim process are true and correct to the best of the claimant ’s knowledge and that no information has been intentionally withheld or misre presented in an attempt by the claimant to receive benefits to which the claimant is not entitled. 2. The certification statement required in paragraph 1 of this subsection shall be available through the Internet C laims service provided by the Commission and by a form to be compl eted by the claimant in a local office of the Commission or at any alt ernate site designated by the Commis sion to take unemployment benefit claims. C. With respect to each week, the claimant must provide the Commission with a true and correct statement of all material facts relating to unemployment; ability to work; availab ility for work; ENGR. H. A. to ENGR. S. B. NO. 1800 Page 28 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 activities or condit ions which could restrict the individual from seeking or immediately accepting full -time employment or part-time work if subsection (4) of Section 2-408 of this title applies; applications for or receipt of workers’ compensation benefits; employment and earnings; and the reporting of other income from retirement, pension, disability, self -employment, education or training allowances. D. C. No claim will be allowed or paid unless the claimant resides within a state or for eign country with which the State of Oklahoma has entered into a reciprocal or cooperative arrangement pursuant to Part 7 of Article IV of the Employment Securit y Act of 1980 Section 4-701 et seq. of this title. E. D. The Commission may req uire the individual to produce documents or information relevant to the claim for benefits. If the individual fails to produce it, the individual’s claim for unemployment benefits may be disqualified indefinitely by the Commission until the information is produced. An individual that has been disqualified indefinitely by the provisions of this subsection may receive payment for any week between the initial failure and the comp liance with this subsection if the claim ant is otherwise eligible and has made a timely filing for each intervening week. SECTION 13. AMENDATORY 40 O.S. 2021, Section 2 -205.1, is amended to read as follows: ENGR. H. A. to ENGR. S. B. NO. 1800 Page 29 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Section 2-205.1 The unemployed individual must be able to perform work duties in keeping with his or her education, training and experience. He or she must also be available to seek and accept work at any time and may not be engaged in any activity that would normally restrict his or her seeking or accepting employment in keeping with his education, training and experie nce. The fact that an individual is e nrolled in school shall not, in and of itself, render an individual ineligible for unemployment benefits. Such individual w ho is involuntarily unemployed and otherwise eligible for benefits and who offers to quit schoo l, adjust class hours or change shift s in order to secure employment shall be entitled to benefits. SECTION 14. AMENDATORY 40 O.S. 2021, Section 2-503, is amended to read as follows: Section 2-503. CLAIMS, NOTICES AND OBJECTIONS. A. Claims for benefits shall be made in accordance with all rules that the Oklahoma Employment Security Commission may prescribe. B. Promptly after an initial claim or an additional initial claim is filed, the Commission shall give notice of the claim to the last employer of the claimant for whom the claimant worked at least fifteen (15) working days. The required fifteen (15) working These days are not require d to be consecutive. Provided, that promptly after the Commission is notified of the cla imant’s separation from ENGR. H. A. to ENGR. S. B. NO. 1800 Page 30 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 an employment obtained by a claimant during a continued claim series, the Commission shall give notice of the claim to the last separating employer. Notices to separa ting employers durin g a continued claim series will be given to t he last employer in the claim week without regard to length of emp loyment. Each notice shall contain an admonition that failure to respond to the notice could affect the employer’s tax rate. C. Promptly after the claim is paid for the fifth week of benefits the Commission shall give written notice of the claim to all other employers of the claimant during the claimant ’s base period. The notice will be given pursuant to Section 3-106 of this title by email unless the employer provides appr opriate notification that they opted out of this method of communication purs uant to Section 11 of this act. D. Notices Notice shall be deemed to have been given to the employer at the last-known address and by the da te of the postmark on the envelope in which the notice was sent. If the employer has elected to be notified by electro nic means according to proc edures set out in Oklahoma Employment Security Commission rules, not ice shall be deemed to be given when the Commission transmits the notice by electronic means or, if the employer has opted out of electronic communications, the notice has been sent by mail. E. Within ten (10) days after the date on the notice or the date of the postmark on the envel ope in which the noti ce was sent, ENGR. H. A. to ENGR. S. B. NO. 1800 Page 31 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 whichever is later the notice is emailed, an employer may file with the Commission at the address prescribed in the notice written send by email all objections to the cla im setting forth spec ifically the facts which: 1. Make the claimant in eligible for benefits under Sections 2- 201 through 2-210 of this title; 2. Disqualify the claimant from benefi ts under Sections 2-401 through 2-417 and 2-419 of this title; or 3. Relieve such employer from being charged for the benefits benefit wages of such claimant. F. An untimely employer objection to a claim for unemployment benefits made pursuant to subsect ion E of this section may be allowed for good cause sh own. SECTION 15. AMENDATORY 40 O.S. 2021, Section 2 -503.1, is amended to read as follows: Section 2-503.1 FILING OF EMPLOYER PROTEST A ND DOCUMENTS THROUGH EMPLOYER PORTAL. A. The procedure set out in this section for the filing of a statement of objection through the employer portal is an optional procedure for the em ployer. If the employer chooses not to utilize this procedure, the em ployer must file its protest in accordance with subsection E of Section 2 -503 of Title 40 of th e Oklahoma Statutes. ENGR. H. A. to ENGR. S. B. NO. 1800 Page 32 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 B. An employer may file a statement of objections to the claim of a former employee at any time from the moment of di scharge or separation from employment of the employee until the expiration of the ten-day time period set out in subs ection E of Section 2-503 of Title 40 of the Oklahoma Statutes. The this title. Unless the employer has opted out of receiving electronic communications and filed their statement of objection through any method listed in Section 1-224 of this title, the statement of objecti on must be filed through the employer portal on the Oklahoma Employment Security Commission’s Internet website and must contain a statement of specific facts and documentation which: 1. Disclose the name and Social Security number of the employee; 2. Make the claimant ineligible for benefits under Sections 2 - 201 through 2-210 of Title 40 of the Oklahoma Statutes this title; 3. Disqualify the claimant for benefits under Sections 2 -401 through 2-419 of Title 40 of the Oklahoma Sta tutes this title; or 4. Relieve the employer from being charged for the benefits benefit wages of this claimant. C. B. Any timely statement of objection filed pursuant to this section within the time period and in the manner set out in subsection B of this sec tion shall be considered a valid protest to a claim for unemployment benefits filed by the former employee and the employer shall be consid ered an interested par ty to the claim. ENGR. H. A. to ENGR. S. B. NO. 1800 Page 33 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 A statement of objection filed pursuant to this section outside the time period or in any manner other than as set out in subsection B A of this section shall not be co nsidered a valid prote st to a claim for unemployment of the former emp loyee, and the employer shall not be considered an interested party to the claim. SECTION 16. AMENDATORY 40 O.S . 2021, Section 2-605, is amended to read as follows: Section 2-605. NOTICE OF REFEREE DECISION. The parties shall be p romptly notified of such referee’s decision and shall be furnished with a copy of the decision , including the findings and conclusions i n support thereof. The decision shall be prov ided to the party by the agency’s digital portal or email unless the party notifies the agency that they opted out from receiving notices by email pursuant to Section 11 of this act. Such decision shall be final unless, within ten (10) days after the date of mailing of notice thereof to the parties ’ last- known addresses, or, in the absence of such mailing, within ten (10) days after the delivery of such notice is deemed given, further review before the Board of Review is initiated pursuant to Section 2-606 of this title. SECTION 17. AMENDATORY 40 O.S. 2021, Section 2-606, is amended to read as follows: Section 2-606. APPEALS FROM TRIBUNAL REFEREE DEC ISIONS TO BOARD OF REVIEW. ENGR. H. A. to ENGR. S. B. NO. 1800 Page 34 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 The Board of Review shall review the record of an appeal filed by any of the parties entitled to notice on a determination of an appeal tribunal referee. An appeal to the Board of Review may be filed in any manner allowed by Sec tion 1-224 of this title. On appeal, the Board of Review may affirm, modify, revers e, or remand any decision of an appeal tribunal ref eree on the basis of evidence previously submitted, or on the basis of additional evidence received by an appeal tribunal referee on remand. The Board of Review shall promptly notify the parties of its de cision in writing, and the decision shall be final unless within thirty (30) days after the mailing of the decision to the parties’ last-known addresses notice is deemed given, a proceeding for judicial review is initiated pursuant to Section 2 -610 of this title. SECTION 18. AMENDATORY 40 O.S. 2021, Section 3-106, is amended to read as follows: Section 3-106. BENEFIT WAGES CHARGED AN D RELIEF THEREFROM. A. The Oklahoma Employment Security Commission shall give notice to each base pe riod employer of a claimant promptly after the claimant is has been issued his or her fifth week of benefits by the Commission or promptly after the Commission receives notice of the amounts paid as benefits by another state under a reciprocal arrangement. Notice shall be deemed given under this subsecti on when the Commission deposits the same with the United States Postal Service addressed to the employer at an address designated by the ENGR. H. A. to ENGR. S. B. NO. 1800 Page 35 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 employer to receive the notice or at the employer’s last-known address. If the employer has elected to be notified by electronic means according to procedures set out in Oklahoma Employment Security Commission rules, notice shall be deemed to be given when the Commission transmits the notification by electronic means. Notice shall be presumed prima facie to have been giv en to the employer to whom addressed on the date stated in the written notice. This notice shall give th e name and Social Security number of the claimant, the date the claim was filed, and the amount of be nefit wages charged to the employer in each quarte r of the base period. B. Within twenty (20) days from the date stated upon on the notice provided for in subsection A of this section, the employer may file with the Commission written objections an objection to being charged with the benefit wages upon one or more of the grounds for objection as set forth in subsection G of this section. The employer’s written objection must set forth specifically: 1. The date on which the employment was terminated; 2. Full particulars as to the circumstances Specific details of the termination including the reason given by the individu al for voluntarily leaving the emplo yment, or the nature of the misconduct for which discharged, as the case may be discharge; 3. Full particulars as to Specific details of the regular scheduled part-time or full-time employment of the employee ENGR. H. A. to ENGR. S. B. NO. 1800 Page 36 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 including the starting date, and ending date if any, of the continuous period of such part-time or full-time employment; and 4. Such other Other information as called for by the notice. C. Upon receipt of the employer ’s written objections objection, the Commission shall make a determination and notify the employer as to whether or not the employer is entitled to be relieved from the charging of benefit wages wage charges. The Commission shall promptly notify the emplo yer of that determination. Provided further Additionally, the twenty-day time period for filing written objections with the Commission an objection as provided for in subsection B of this section may be waived for good cause shown. D. Within twenty (20) days after the mailing issuing of the determination provided for in subsection C of this section, the employer may file with the Commission or its representative Assessment Board a written protest to the determination and request an oral hearing de novo to present evidence in support of its protest. The Commission or its representative Assessment Board shall, by written notice, advise the employer of the date of the hearing, which shall not be less than ten (10) days from the date of mailing of the written notice. At the discretion of the Commission, this hearing shall be conducted by the Commission or its representative appointed by the Commission for this purpose. Pursuant to Assessment Board. After the hearing, the Commission or its representative Assessment Board shall, as soon as practicable, ENGR. H. A. to ENGR. S. B. NO. 1800 Page 37 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 make a written order setting forth its findings of fact and conclusions of law, and shall send it to the employer notify the employer of its findings. E. If any employer fails to file a written protest within t he period of twenty (20) days, as provided by subsection D of this section, then the determination shall be final, and no appeal shall thereafter be allowed does not file a timely appeal of the determination to the Assessment Board, t he determination shall be final. F. The employer or the Commission may appeal the Assessment Board’s order of the Commission or its representative to the district court by filing a petition for review with the district court clerk of that court within thirty (30) days after th e date the order was mailed issued to all parties. The mailing date shall be specifically stated in the order. G. The benefit wages charged to an employer for a given calendar year shall be the total of the benefit wages stated in t he notices given to the employer by the Commission. Provided, that an employer shall be relieved of a be nefit wage charge if the employer proves to the satisfaction of the Commission that the benefit wage charge includes wages paid by the employer to any employee or former employee, who: ENGR. H. A. to ENGR. S. B. NO. 1800 Page 38 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1. Left employment with that employer, or with his or her last employer, voluntarily Voluntarily left employment without good cause connected to the work; 2. Was discharged from such employment for misconduct connected with his or her work; 3. Was a regular scheduled employee of that the separating employer prior to the we ek the employee separated from other employment, and continued to work for the employer through the f ifth compensable week of unem ployment in his or her of the established benefit year; 4. Was separated from his or her employment as a direct result of a major natural disaster, declared as such by the President pursuant to the Disaster Relief Act of 1974, P.L. 93-288, and such employee would have been entitled to disaster unemployment assistance if he or she had not received unemployment insurance benefits; 5. Was discharged by an employer for unsatisfactory performance during an initial employment probat ionary period. As used in this paragraph, "probationary period" means a period of time set forth in an established probationary plan which applies to all employees or a specific group of employees and does not exceed ninety (90) calendar days from the first day a new employee begins work. The employee must be informed of the probationary period within the first seven ENGR. H. A. to ENGR. S. B. NO. 1800 Page 39 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 (7) work days. There must be conclusiv e evidence to establish that the individual was separated due to unsatisfactory work performance; 6. Left employment to attend training approved under the Trade Act of 1974 and is allowed unemployment benefits pursuant to Section 2-416 of this title; or 7. Was separated from employment for compelling family circumstances as defined in Section 2 -210 of this title. H. If an employer recall s an employee deemed unemployed as defined by the Employment Security Act of 1980 and the employee continues to be empl oyed or the employee voluntarily terminates employment or is discharged for misconduct within the ben efit year, the employer shall be ent itled to have the benefit wage charg ed against the employer’s experience rating for the employee reduced by the ratio of the number of weeks of remaining eligibility of the employee to the total number of weeks of entitl ement. I. An employer shall not be charged with benefit wages assessed a benefit wage charge of a laid-off employee if the employer lists as an objection in a statement filed in accordance with subsection B of this section that the employee collecting ben efits was hired to replace a United States service man or servicewoman called into active duty and laid-off upon the return to work by that serviceman or servicewoman. The Unemployment Compensation Fund shall be charged with the benefit wages of the laid -off employee. ENGR. H. A. to ENGR. S. B. NO. 1800 Page 40 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 J. If the Commission receives a noti ce of amounts paid as benefits by another state under a reciprocal agreement, and the notice is received after three (3) years from the effective date of the underlying benefit claim, no benefit wage charge will be made against the employer identified in t he notice, or if a benefit wage charge is made based on such a notice, the employer will be relieved of the charge when the facts are brought to the attention of the Commission. K. An employer shall not be eligible to be relieved of a benefit wage charge under paragraphs 1 and 2 of subsection G of this section if the employer was sent a notice of benefit cla im, pursuant to Section 2-503 of this title, and failed to timely file protest to the benefit claim. SECTION 19. AMENDATORY 40 O.S. 2021, Section 3-115, is amended to read as follows: Section 3-115. APPEAL OF DETERMINATIONS. A. If a determinatio n is made by the Oklahoma Employment Security Commission on any aspect of an employer ’s account, and a method of appeal or protest of t he determination is not set out in the statute or rule under which the determ ination was made, the employer may appeal or protest the determination under the procedure set forth in subsection B of this sect ion. B. 1. All determinations affecting an emplo yer account must be made by the Commission in writing in a Notice of Determin ation and ENGR. H. A. to ENGR. S. B. NO. 1800 Page 41 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 mailed to the employer at the empl oyer’s last-known address with the mailing date and appeal rights set out in the docu ment. If the employer has elected to be notified by electronic means according to procedures set out in Oklahoma Employment Se curity Commission rules, notice shall be deemed to be given when the Commission transmits the notification by electronic means. 2. Within twenty (20) days after the mailing or tr ansmission of the Notice of Determination as provided for in paragraph 1 of t his subsection, the employer may file with t he Commission, or its representative, a written request for a review and redeterminat ion setting forth the employer ’s reasons therefor. If any employer fails to file a written request for review and redeterminat ion within twenty (20) days without good cau se, then the initial determination of the Commission shall be final, and no further appeal or protest shall be allowed. 3. If a written request for review a nd redetermination is filed, the Commission shall provi de for a review and issue a Notice of Redetermination in the matter. The employer may appeal the redetermination by filing a wri tten protest appeal within twenty (20) days of the date of the mailing o f the Notice of Redetermination. If the employer fails to file a written protest appeal within twenty (20) days without good cause, the redetermination of the Commission shall be fina l and no further appeal or protest shall be allowed. ENGR. H. A. to ENGR. S. B. NO. 1800 Page 42 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 4. Upon the timely filing of a written protest appeal, the Commission shall provide for an oral hearing de novo to allow the employer to present evidence in support of the protest appeal. The standard of review on appeal shall be de novo . The Commission or its representatives shall, by written notice, advise the employer of the date of the hearing, which shall no t be less than ten (10) days from the date of the mailing of the written notice. At the discretion of the Commission, this hearing shall be conducted by the Commission, or by a representative appointed by the Commissi on for this purpose. The appealing pa rty shall bear the initial burden of proof at the hearing. 5. Pursuant to the hearing, the Commission or its representative shall, as soon a s practicable, make a written order setting forth its findings of fact and co nclusions of law, and shall mail it to the employer at the employer’s last-known address with the mailing date and appeal rights set out in the document. 6. The employer or the C ommission may appeal t he order to the district court of the county in which t he employer has its principal place of business by filing a Petition for Review with the clerk of the court within thirty (30) da ys after the date the order was mailed to all parties. If the employer does not have a principal place of business in any coun ty in Oklahoma this state, then the Petition for Review shall be filed with the Oklahoma County District Court. All appeals shal l be governed by Part 4 of Article 3 of the ENGR. H. A. to ENGR. S. B. NO. 1800 Page 43 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Employment Security Act of 1 980. If the employer fails to file an appeal to the district cour t within the time allowed, the order shall be final and no further appeal shall be allowed. C. Untimely requests for review and redetermination pursuant to paragraph 2 of subsection B of th is section and written protests for appeals filed pursuant to para graph 3 of subsection B of this section may be allowed for good cause shown, if the request for good cause is filed in writing with the Commission within one (1) year o f the date of the dete rmination or redetermination that is the basis of the request for untimely filing. SECTION 20. AMENDATORY 40 O.S. 2021, Section 3-307, is amended to read as fo llows: Section 3-307. A. All remittance under Section 1-101 et seq. of this title shall be made payable to the Oklahoma Employment Security Commission at Oklahoma City, Oklahoma, b y automatic clearinghouse (ACH) debit/credit, financial institution, draft, check, cashier’s check, electronic fund transfer , credit card, money order or money, and the Commission shall issue its receipt, for cash or money payment, to the payor. No remitt ance other than cash shall be in final discharge of liability due the Comm ission unless and until it shall have been paid in cash. All monies col lected shall be deposited with the State Treasurer. There shall be assessed, in addition to any other penalti es provided for by law, an administrative service fee of Twenty -five Dollars ($25.00) on each ENGR. H. A. to ENGR. S. B. NO. 1800 Page 44 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 check returned to the Commissi on or any agent thereof by reason of the refusal of the financial institution upon which such check was drawn to honor the same. Th ere shall be assessed, in addition to any other penalties provided for by law, an administrative service fee of Twenty-five Dollars ($25.00) on ea ch electronic fund transfer that fails due to insufficient funds in the payor ’s account. B. Upon the return o f any check by reason of the refusal of the financial institution upon which such check was drawn to honor the same, the Commission may file a bog us check complaint with the appropriate district attorney who shall refer the complaint to the Bogus Check Restitution Program established by Section 111 of Title 22 of the Oklahoma St atutes. Funds collected through the program after collection of the fee authorized by Section 114 of Title 22 of the Oklahoma Statutes for deposit in the Bogus Check Restitution Program Fund in the county treasury shall be transmitted to the Commission and credited to the liability for which the returned check was drawn along with the administrative service fee provided by this section. C. The Commission shall promulgate the rules for the deadlines of payment of unemployment taxes and the method of payment. SECTION 21. AMENDATORY 40 O.S. 2021, Section 4-205, is amended to read as follows: Section 4-205. TEMPORARY MEMBERS. In the event of the disqualification of one member of the Board of Review from the ENGR. H. A. to ENGR. S. B. NO. 1800 Page 45 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 hearing and determination of a claim for the benefits, the Govern or shall designate a fourth, temporary member to serve as an alternative member. In the event of the disqualification of two or more members of the Board of Review from the hearing and determination on a claim for benefits, the Governor shall designate by appointment temporary members to serve as alternate members, such. Such alternates to shall be paid traveling expenses incurred in the performance of their duties as provided in the State Travel Reimbursement Act. The Governor may at any time, after notice and hearing, remove any mem ber for cause. SECTION 22. AMENDATORY 40 O.S. 2021, Section 4 -508, is amended to read as follows: Section 4-508. INFORMATION TO BE KEPT CONFIDENTIAL - DISCLOSURE. A. Except as otherwise provided by law, information obtained from any employing unit or individual pursuant to the administrat ion of the Employment Security Act of 1980, any workforce system program administered or monitored by the Oklahoma Employmen t Security Commission, and determination s as to the benefit rights of an y individual shall be kept confidential and shall not be dis closed or be open to public inspection in any manner revealing the individual’s or employing unit’s identity. Any claimant , employer, or agent of either as auth orized in writing, shall be supplie d with information from the records of the Oklahoma Employme nt Security ENGR. H. A. to ENGR. S. B. NO. 1800 Page 46 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Commission, to the extent necessary for the proper presentation of the claim or complaint in any proceeding unde r the Employment Security Act of 1980 , with respect thereto. B. Upon receipt of written request by any employer who maintains a Supplemental Unemployment Benefit (SUB) Plan, the Commission or its designated representative may release to that employer information regarding weekly benefit amo unts paid its workers during a speci fied temporary layoff period, provided the Supplemental Unemployment Benefit (SUB) Plan requires benefit payment information before Supplemental Unemployment Benefits can be paid to the workers. Any information disclose d under this provision shall be utilized solely for the purpose outlined herein and shall be held strictly confidential by the employer. C. The provisions of this section shall not prevent the Commission from disclosing the following information and no liability whatsoever, civil or crimina l, shall attach to any member of the Commission or any emp loyee thereof for any error or omission in the disclosure of this information: 1. The delivery to taxpayer or claimant a copy of any report or other paper filed by the taxpayer or claimant pursuant to the Employment Security Act of 1980; 2. The disclosure of information t o any person for a purpose as authorized by the taxpayer or claimant pursuant to a waiver of ENGR. H. A. to ENGR. S. B. NO. 1800 Page 47 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 confidentiality. The waiver shall be in writing and shall be notarized; 3. The Oklahoma Department of Commerce may have access to data obtained pursuant to the E mployment Security Act of 1980 pursuant to rules promulgated by the Commission. The information obtained sh all be held confidential by the Department and any of its agents and shall not be disclosed or be open to public inspection. T he Oklahoma Department of Commerce, however, may release aggregated data, either by industry or county, provided that the aggrega tion meets disclosure requiremen ts of the Commission; 4. The publication of statistics so classified as to prevent the identification of a particul ar report and the items thereof; 5. The disclosing of information or evidence to the Attorney General or any district attorney when the i nformation or eviden ce is to be used by the officials or other parties to the proceedings to prosecute or defend alleg ations of violations of the Employment Security Act of 1980. The information disclosed to the Attorney General or any district attorney s hall be kept confide ntial by them and not be disclosed except when presented to a court in a prosecution of a violatio n of Section 1-101 et seq. of this title, and a violation by the Attorney General or district attorney by otherwise releasing the informat ion shall be a felon y; 6. The furnishing, at the discretion of the Commission, of any information disclosed by the re cords or files to any official person ENGR. H. A. to ENGR. S. B. NO. 1800 Page 48 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 or body of this state, any other state or of the United States who is concerned with the administra tion of assessment of any similar tax in this state, any other state or the United States; 7. The furnishing of inform ation to other state agencies for the limited purpose of aiding in the collection of debts owed by individuals to the requesting agencie s or the Oklahoma Empl oyment Security Commission; 8. The release of information to employees of the Oklahoma Department of Transportation required for use in federally mandated regional transportation planning, which is perform ed as a part of its official duties; 9. The release of information to employees of the Oklahoma State Treasurer’s office required to verify or e valuate the effectiveness of the Oklahoma Small Business Linked Deposit Program on job creation; 10. The release of information to employees of the Attorney General, the Department o f Labor, the Workers’ Compensation Commission and the Insurance Departm ent for use in investigation of workers’ compensation fraud; 11. The release of information to employees of any Oklahoma state, Oklahoma county, Oklahoma municipal or Oklahoma tribal law enforcement agency for use in criminal inves tigations and the location of missing persons or fugitives from justice; ENGR. H. A. to ENGR. S. B. NO. 1800 Page 49 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 12. The release of information to employees of the Center of International Trade, Oklahom a State University, required for the development of International Trade for employers doing business in the State of Oklahoma this state; 13. The release of information to employees of the Oklahoma State Regents for Higher Educat ion required for use in the default prevention efforts and/or collection of defaulted student loans guaranteed by the Okl ahoma Guaranteed Student Loan Program. Any information disclosed under this provision shall be utilized solely for the purpose outline d herein and shall be held strictly confidential by the Oklahoma State R egents for Higher Education; 14. The release of information to employees of the Oklahoma Department of Career and Technology Education, the Oklahoma State Regents for Higher Education , the Center for Economic and Management Research of the University of Oklahoma, the Center for Economic and Business Development at Southwestern Oklahoma Stat e University or a center of economic and business research or development at a comprehensive or regional higher education institution within The Oklahoma State System of Higher Education required to identify economic trends or educational outcomes . The information obtained shall be kept confidential by the Oklahoma Department of Career and Technology Education, the Oklahoma State Regents for Higher Education and the higher education institution and shall not be disclosed or be open to public inspection. T he Oklahoma Department ENGR. H. A. to ENGR. S. B. NO. 1800 Page 50 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 of Career and Technology Education, the Oklahoma State Regents fo r Higher Education and the higher education institution may release aggregated data, provided that the aggregation meets disclosure requirements of the Commission; 15. The release of information to employees of the Office of Management and Enterprise Serv ices required to identify economic trends. The information obtained shall be kep t confidential by the Office of Management and Enterpr ise Services and shall not be disclosed or be open to public inspection. The Office of Management and Enterprise Services may rel ease aggregate data, provided that the aggregation meets disclosure requ irements of the Oklahoma Employment Security Commission; 16. The release of information to employees of the Department of Mental Health and Substance Abuse Services required to evaluate the effectiveness of mental health and substanc e abuse treatment and state or local programs utilized to divert persons fr om inpatient treatment. The infor mation obtained shall be kept confidential by the Department and shall not be disclosed or be ope n to public inspection. The Department of Mental Health and Substance A buse Services, however, may release aggregated data, either by treatment facility, program or larger aggregate units, provided that the aggregation meets disclosure requirements of the Oklahoma Employment Security Commission; ENGR. H. A. to ENGR. S. B. NO. 1800 Page 51 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 17. The release of information to employees of the Attorney General, the Oklahoma State Bureau of Investigation and the Insurance Department for use in the investigation of insurance fraud and health care fraud; 18. The release of information to employees of public housing agencies for purposes of determining eligibility pursuant to 42 U.S.C., Section 503(i); 19. The release of wage and benefit claim information, at the discretion of the Commission, to an agency of this state or its political subdivisions that o perate a program or activity designated as a required partner in the Wor kforce Innovation and Opportunity Act One-Stop delivery system pursuant to 29 U.S.C.A., Section 3151(b)(1), based on a showing of need made to the Commission and after an agreement con cerning the release of information is entered into with the entity recei ving the information . For the limited purpose of completing performance accountability reports required by the Workforce Innovation a nd Opportunity Act, only those designated required partners that meet the 20 CFR Section 603.2(d) definition of public official may contract with a private age nt or contractor pursuant to 20 CFR Section 603.5(f) for the purpose of the private agent or contractor receiving confidential unemployment compens ation information to the extent necessary to complete the performance accountability reports ; ENGR. H. A. to ENGR. S. B. NO. 1800 Page 52 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 20. The release of information to the State Wage Interchange System, at the discretion of the Commission; 21. The release of information to the Bureau of the Ce nsus of the U.S. Department of Commerce, the Bureau of Labor Statistics of the U.S. Department of Labor, and its agents employed by the Oklahoma Department of Labor for the purpose of economic an d statistical research; 22. The release of employer tax info rmation and benefit cl aim information to the Oklahoma Health Care Authority for use in determining eligibility for a pr ogram that will provide subsidies for health insurance premiums for qualifi ed employers, employees, self-employed persons and unemployed persons; 23. The release of employer tax information and benefit claim information to the State Department of Rehabili tation Services for use in assessing results and outcomes of clients serve d; 24. The release of information to any state or federal law enforcement authority when necessary in the investigation of any crime in which the Commission is a victim. Informatio n that is confidential under this section shall be held confidential by t he law enforcement authority unless and un til it is required for use in court in the prosecution of a defendant in a criminal prosecution; 25. The release of information to vendors t hat contract with the Oklahoma Employment Security Commission to provide for the issuance of debit cards, to conduc t electronic fund tran sfers, to ENGR. H. A. to ENGR. S. B. NO. 1800 Page 53 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 perform computer programming operations, or to perform computer maintenance or replacement operations; provid ed the vendor agrees to protect and safeguard the information it receive s and to destroy the information when no lo nger needed for the pu rposes set out in the contract; 26. The release of information to employees of the Office of Juvenile Affairs for use in assessing results and outcomes of clients served as well as the effe ctiveness of state and local juvenile and justice programs includi ng prevention and treatment programs. The information obtained shall be kept confidential by the Office of Juvenile Af fairs and shall not be disclosed or be open to public inspection. The Office of Juvenile Affairs may release aggregated data for program s or larger aggregate units, provided that the aggregation meets disclosure requirements of the Oklahoma Employment Security Commission; 27. The release of information to vendors that cont ract with the State of Oklahoma for the purpo se of providing a publ ic electronic labor exchange system that will support the Oklahoma Employment Security Commission ’s operation of an emp loyment service system to connect employers with job seekers and milit ary veterans. This labor exchange system wou ld enhance the stabili ty and security of Oklahoma’s economy as well as support the provision of veterans ’ priority of service. The vendors m ay perform computer programming operations, perform computer maintenan ce or replacement operations, ENGR. H. A. to ENGR. S. B. NO. 1800 Page 54 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 or host the electronic solution; prov ided, each vendor agrees to protect and safeguard all information received, that no information shall be disclosed to an y third party, that the use of the information shall be restricted to the scope of the contract, and that the vendor shall properly disp ose of all information when no longer needed for the purposes set out in the contract; or 28. The release of employer tax information and benefit claim information to employees of a county public defender’s office in the State of Oklahoma this state and the Oklahoma Indigent Defense System for the purpose of determining financial eligibility for the services provided by such entitie s. D. Subpoenas to compel disclosure of information made confidential by this statute shall not be valid, except fo r administrative subpoenas issue d by federal, state, or local governmental agencies that have been granted subpoena power by statute or ordinance. Confidential information maintained by the Commission can be obtained by order of a court of record that authorizes the release of the recor ds in writing. All administrative subpoenas or court orders for production of documents must provide a minimum of twenty (20) days from the date it is served for the Commission to produce the documents. If the date on which production of the documents is required is less than twenty (20) days from the date of service, the subpoena or order shall be considered void on its face as an undue burden or hardship on the ENGR. H. A. to ENGR. S. B. NO. 1800 Page 55 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Commission. All administrative subpoenas, court orders or no tarized waivers of confidentiali ty authorized by paragraph 2 of subsection C of this section shall be presented with a request for records within ninety (90) days of the date the document is issued or signed, and the document can only be used one time to o btain records. E. Should any of the disclosures provided for in this section require more than casual or incidental staff time, the Commi ssion shall charge the cost of the staff time to the party requesting the information. F. It is further provided that the provisions of this section shall be strictly interpreted and shall not be construed as permitting the disclosure of any other inform ation contained in the records and files of the Commission. SECTION 23. REPEALER 40 O.S. 2021, Sections 1-202, 1- 202.2, 1-203, 1-204, 1-205, 1-206, 1-207, 1-211, 1-212, 1-213, 1- 215, 1-216, 1-219, 1-220, 1-221, 1-226, 1-301, 2-406.2, 2-709, 2- 711, 2-713, and 3-118, are hereby repealed. SECTION 24. This act shall become effective November 1, 202 2." ENGR. H. A. to ENGR. S. B. NO. 1800 Page 56 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Passed the House of Representati ves the 27th day of April, 2022. Presiding Officer of the House of Representatives Passed the Senate the ____ day of _______ ___, 2022. Presiding Officer of the Senate ENGR. S. B. NO. 1800 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 ENGROSSED SENATE BILL NO. 1800 By: Leewright of the Senate and McDugle of the House An Act relating to the Employment Security Act of 1980; amending 40 O.S. 2021, Section 1-201, which relates to definitions; defining terms; amending 40 O.S. 2021, Section 1-202.1, which relates t o extended base period; removing definitio n; amending 40 O.S. 2021, Section 1-209, which relates to employing unit; removing definition; amending 40 O.S. 2021, Section 1-209.1, which relates to lessor emp loying unit; removing definitions; updating statutory reference; amending 40 O.S. 2021, Sectio n 1-209.2, which relates to professional employer organization; removing definitions; amending 40 O.S. 2021, Sec tion 1-217, which relates to unemployed individual s; removing definition; providing conditions of unemployment; specifying conditions for filing during a continued claim series; providing for investigating e ven when individual satisfies threshold requirements; making language gender neutral; amending 40 O.S. 2021, Section 1-223, which relates to taxable w ages; removing definition; updating statutory language; amending 40 O.S. 2021, Section 1-224, which relates to filing; removing definitions related to telefaxing; modifying requirements for mailing; updating definitions to include digital filing through the Oklahoma Employment Security Commission’s portal; amending 40 O.S. 2021, Section 1-225, which relates to supplemental unemployment benefit plan ; removing definition; amending 40 O.S 2021, Section 1- 228, which relates to limited liability companies; removing definition; specifying methods of notice by the Commission; providing Commission’s preferred method; allowing for opt-out of delivery; amending 40 O.S. 2021, Section 2-203, which relates to claims; removing provision for Commission to inform claimants filing for unemployment benefits and require certification statement during process; amending 40 O.S. 2021, Section 2-503, which relates to claims, ENGR. S. B. NO. 1800 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 notices, and objections; providing for electronic notice; allowing for opt-out of certain method ; removing provisions for notice by mail; amending 40 O.S. 2021, Section 2-503.1, which relates to filing of employer protest; removing optional use of portal; allowing for opt-out of certain method; updating statutory language; amending 40 O.S. 2021, Section 2 - 605, which relates to notice of decision; providing for notice by electronic means; allowing for op t-out of certain method; removing criteria for mail notice; amending 40 O.S. 2021, Section 2 -606, which relates to appeals; removing provision for notice by mail; amending 40 O.S. 2021, Section 3-106, which relates to benefit wages cha rged; removing conditions for mail and electronic notice; adding reference for filings and hearings by the Assessment Board; removing provision for written protest; updating statutory language; amending 40 O.S. 2021, Section 3 - 115, which relates to appeal o f determination; updating statutory language; providing standard of review; amending 40 O.S. 2021, Section 3 -307, which relates to remittances; providing for Commission to promulgate rules for payment of unemployment taxes ; amending 40 O.S. 2021, Secti on 4-205, which relates to temporary members; providing for appointment of an additional temporary member by the Governor in the event of disqualification of a member of the Board of Review; updating statutory language; amending 40 O.S. 2021, Section 4-508, which relates to information to be kept confidential; updating statutory language; permitting disclosure of information to additional agencies by Commission; repealing 40 O.S. 2021, Sections 1-202, 1-202.2, 1-203, 1-204, 1-205, 1-206, 1-207, 1-211, 1-212, 1-213, 1-215, 1-216, 1-219, 1- 220, 1-221, 1-226, 1-301, 2-406.2, 2-709, 2-711, 2- 713, and 3-118, which relate to the Employment Security Act of 1980; providing for codification; and providing an effective date. BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 24. AMENDATORY 40 O.S. 2021, Section 1-201, is amended to read as follows: ENGR. S. B. NO. 1800 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Section 1-201. GENERAL DEFINITIONS. The words and phrase s As used in this act shall, unless the context c learly requires otherwise, have the meanings prescribed in Part 2 of this Ar ticle the Employment Security Act of 1980: 1. “Additional initial claim” means a claim application which reactivates a claim during an existing benefit year and certifies to a period of employment which occurred subsequent to the date of the filing of the last initial, additional , or reopened claim; 2. “Alternative base period” means the most recent four (4) completed calendar quart ers immediately preceding the first day of an individual’s benefit year. In the event that an individual ’s claim uses an alternative base period to meet the wage requirement under Section 2-207 of this title, this alternative base period shall be substituted for base period for all other purposes un der the Employment Security Act of 1980; 3. “Assigned tax rate” means the tax rate assigned to an employer pursuant to Section 3-110.1 of this title when the employer does not have sufficient experience history to meet the At-Risk Rule set out in paragraph 3 of Section 3-110.1 of this title; 4. “Base period” means the first four (4) of the last five (5) completed calendar quarters immediately preceding the first day o f an individual’s benefit year; 5. “Benefit year” with respect to any individual means the one- year period beginning with the first day of the first week with ENGR. S. B. NO. 1800 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 respect to which the individual fi rst files a valid claim for benefits and thereafter the one -year period beginning with the first day of the first week with respect to which the indi vidual next files a valid claim for benefits after the termination of his or her last preceding benefit yea r. Any claim for benefits shall be deemed a valid claim for the purpose of this section if the indivi dual has been paid the wages for insured work requ ired under the Employment Security Act of 1980; 6. “Benefit wages” means the taxable wages earned by a claimant during the claimant’s base period which are not in ex cess of the current maximum weekly benef it amount, as determined under Section 2-104 of this title, multiplied by the maximum number of weeks for which benefits could be paid to any individual ( now twenty-six (26) weeks) multiplied by three (3); provided, however, no wages shall be included as benefit wages unless and until the claimant has b een paid benefits for five (5) weeks in one (1) benefit year ; 7. “Benefits” mean the money payments pay able to an individual as provided in the Employment Security Act of 1980 with respect to his or her unemployment including extended benefits. The federal share of such extended benefits shall not be construed as benefits for the purposes of computing cont ribution rates under the Employment Security Act of 1980; 8. “Calendar quarter” means the period of three (3) consecutive calendar months ending on Mar ch 31, June 30, September 30, or ENGR. S. B. NO. 1800 Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 December 31, or the equivalent thereof as the Commission may by regulation prescribe; 9. “Client” shall have the same meaning as provi ded in paragraph 1 of Section 600.2 of this title; 10. “Coemployer” shall have the same meaning as provided in paragraph 2 of Section 600.2 of this title; 11. “Coemployment relationship ” shall have the same meaning as provided in paragraph 3 of Section 600.2 of this title; 12. “Commission” means the Oklahoma Employment Security Commission; 13. “Commissioner” means a member of the Commission; 14. “Continued claim series” means an uninterrupted series of weekly claims filed by a claimant during the benef it year; 15. “Contributions” mean the money payments including taxes and reimbursements, required by the Employment Security Act of 1980 to be paid into the Unemp loyment Compensation Fund by an employer; 16. “Covered employee” shall have the same meaning as provided in paragraph 5 of Section 600.2 of this title; 17. “Digital portal filing” means electronic communication through the agency digital porta l; 18. “Earned tax rate” means the tax rate calculated for an employer with sufficient experience histo ry to meet the At-Risk Rule set out in paragraph 3 of Section 3-110.1 of this title, with the ENGR. S. B. NO. 1800 Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 tax rate calculated pursuant to the provisions of Section 3-101 et seq. of this title; 19. “Electronic e-filing” means filing by email or fax to email; 20. “Eligibility period” of an individual for extended benefits means the period consisting of the weeks in his or her benefit year as defined by the Employment Security Act of 1980, which begin in an extended benefit period and, if his or her benefit year ends wi thin such extended benefit period, any weeks thereafter which begin in such extended benefit period; 21. “Employer” shall have the same meaning as provided in Section 1-208 of this title; 22. “Employing unit” means any individual or type of organization including any partnership, association , trust, estate, joint stock company, insurance co mpany, limited liability company or corporation, whether domestic or foreig n, or the receiver, trustee in bankruptcy, trustee or successor thereof, or the legal representative of a deceased person, which ha s or subsequent to January 1, 1936, had in its emp loy one or more individuals performing services for it within this state ; 23. “Employment” shall have the same meaning as provided in Section 1-210 of this title; 24. “Employment office” means a free public employment office or branch thereof operated by this or any other state as a part of a ENGR. S. B. NO. 1800 Page 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 state-controlled system of publi c employment offices or by a fed eral agency charged with the administration of an unemployment compensation program or free public emp loyment offices; 25. “Employment Security Adminis tration Fund” means the fund established in Section 4-602 of this title fro m which administration expenses under the Employment Security Act of 1980 shall be paid; 26. “Exhaustee” shall have the same meaning as provided in Section 2-712 of this title; 27. “Experience period” means the most recent twelve (12) consecutive completed calendar quarters occurrin g before July 1 of the year immediately preceding the year for w hich the employer’s contribution rate is being calculated; 28. “Extended base period” means the four (4) quarters prior to the claimant’s base period. These four (4) quarters may be substituted for base period quarters on a quarter-by-quarter basis to establish a valid claim regardless of wh ether the wages have bee n used to establish a prio r claim, except any wages earned that would render the Commission out of compliance with applicable federal law shall be excluded if used in a prior claim; 29. “Extended benefit period” shall have the same meaning as provided in Section 2-703 of this title; 30. “File”, “files”, or “filed” shall have the same meaning as provided in Section 1-224 of this title; ENGR. S. B. NO. 1800 Page 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 31. “Foreign limited liability company” shall be defined by the provisions of the Oklahoma Limited Liabilit y Company Act; 32. “Fund” means the Unemployment Compensation Fund established in Section 3-601 of this title; 33. “Hospital” means any hospital required to be licensed under the Oklahoma Public Health Code, Section 1-101 et seq. of Title 63 of the Oklahoma Statutes, and includes s tate mental hospitals and any other mental hospital or institution; 34. “Initial claim” means a new claim application submitted by a claimant to establish a benefit year f or unemployment insurance benefits; 35. “Institution of higher education” shall have the same meaning as provided in Section 1-214 of this title; 36. “Insured work” means employment for employers as defined by the Employment Security Act of 1980; 37. “Lessor employing unit” means any independently establish ed business entity which enga ges in the business of providing leased employees to any other employer, individual, organization, partnership, corporation, or other legal entity, refe rred to herein as a client lessee; 38. “Limited liability company ” shall be defined by the provisions of the Oklahoma Limited Liability Company Act; 39. “Mail”, “mails”, “mailed”, or “mailing” means communication sent by a postal service with sufficient postage; ENGR. S. B. NO. 1800 Page 9 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 40. “Probationary period” means a period of time set fo rth in an established probationary plan, which app lies to all employees or a specific group of employees, and does not ex ceed ninety (90) calendar days from the first day a new employee begins work; 41. “Professional Employer Organization” or “PEO” means an organization that is subject to the Oklahoma Professional Employer Organization Recognition and Registration Act and whi ch meets the definition set out in paragraph 9 of Section 600.2 of this title; 42. “Rate of insured employment” shall have the same meaning as provided in Section 2-708 of this title; 43. “Regular benefits” means benefits payable to an individual under the Employment Security Act of 1980, or under any other state law including dependents’ allowances and benefits payable to federal civilian employees and to ex-servicemen pursuant to 5 U.S.C. Chapter 85, other than extended benefits ; 44. “Reopened claim” means a claim application which reactivates a claim during an existing benefit year when a claima nt stopped filing for benefits before hi s or her claim was exhausted, but in which there occurred no intervening emplo yment from the date of the filing of the last initial, additional, or reopened claim; 45. “State” includes, in addition to the state of t he United States of America, the District of Columbia, the Commonwealth of Puerto Rico, and the Virgin Islands; ENGR. S. B. NO. 1800 Page 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 46. “State law” means the unemployment insurance law of any state, approved by the Secretary of Labor of the United States under Section 3304 of the Internal Revenue Code of 1954; 47. “Supplemental unemployment benefit plan ” means a plan that provides for an employer to make payments to its employees d uring a permanent or tempora ry layoff that will supplement unemployment benefits received by th e employees. The purpose of a supplementa l unemployment benefit plan is to allow an employer to sustain the purchasing power of its employees or former employee s during a layoff; 48. “Taxable wages” means the wages paid to an individual with respect to employment during a calendar year for servi ces covered by the Employment Security Ac t of 1980 or other state unemploymen t compensation acts which shall equal the applicable percentage of the state’s average annual wage for the second preceding calendar year as determined by the Commission, rounded to the nearest multiple of One Hundred Dollars ($100.00); 49. “Wages” shall have the same meaning as provided in Secti on 1-218 of this title; 50. “Wages paid” means wages actually paid to the worker; provided, however, that in the event of any distributi on of an employer’s assets through insolvency, receivership, composition, assignment for the benefit of creditors, or t ermination of business, wages earned but not actually paid shall be considered as paid ; and ENGR. S. B. NO. 1800 Page 11 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 51. “Week” means such period of seven (7) consecutive days, as the Commission may by regulation prescribe. SECTION 25. AMENDATORY 40 O.S. 2021, Section 1-202.1, is amended to read as follows: Section 1-202.1. EXTENDED BASE PERIOD. If an individual lacks sufficient base period wages because of a job -related injury for which the individual received to tal temporary disability payments awarded by the Workers’ Compensation Court, upon written application by the claimant, an extended base period will be substituted for the current base period on a quarter -by-quarter basis as need ed to establish a valid cla im. “Extended base period ” means the four quarters prior to the claim ant’s base period. These four quarters may be substituted for base period quarters on a quarter-by-quarter basis to establish a valid claim regardless of whet her the wages have been used to establish a prior claim, except any w ages earned that would render the Commission out of compliance with applicable federal law will be excluded if used in a prior claim. Benefits paid on the basis of an extended base perio d, which would not otherwise be payable, shall be noncharged . SECTION 26. AMENDATORY 40 O.S. 2021, Section 1-209, is amended to read as fo llows: Section 1-209. EMPLOYING UNIT. “Employing unit” means any individual or type of organization, including any pa rtnership, association, trust, estate, joint stock company, insurance co mpany, ENGR. S. B. NO. 1800 Page 12 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 limited liability company or corporation, whether dom estic or foreign, or the receiver, trustee in ban kruptcy, trustee or successor thereof, or the legal representative of a dec eased person, which has or subsequent to Jan uary 1, 1936, had in its emp loy one or more individuals performing services for it withi n this state. All individuals performing services within this state for any employing unit which maintains two or more separ ate establishments within this state shall b e deemed to be employed by a single employing unit for all the purposes of the Employmen t Security Act of 1980, except as provided under paragraphs 10 and 11 o f Section 1- 208 of this title. Whenever any employing unit contracts with or has under it any contractor or subcontractor for any employment, which is part of its usual trade, occupatio n, profession, or business, unless the employing unit as well as each s uch contractor or subcontractor is an employer by reason of Section 1-208 or Section 3-203 of this title, the employing unit shall for all the purposes of the Employment Security Act of 1980 be deemed to employ each individual in the employ of each such co ntractor or subcontractor for each day during which such individual is engaged in performing such employment; except that eac h such contractor or subcontractor who is an employer by reason of Section 1-208 or Section 3-203 of this title shall alone be liab le for the contributions measured by wages paid to individuals employed by the contractor or subc ontractor, and ENGR. S. B. NO. 1800 Page 13 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 except that any employing unit which shall become liable for and pay contributions with respect to individuals in the empl oy of any such contractor or subcontractor who is not an employer by reason of Section 1-208 or Section 3-203 of this title may recover the same from such contractor or subcontractor. Each individual employe d to perform or to assist in performing the work of any agent or employ ee of an employing unit shall be deemed to be employe d by such employing unit for all the purpose s of the Employment Security Act of 1980, whether such individual was hired or paid directly by such employing unit or by such agent or employee of an employin g unit, provided the employing unit had actual or constructive knowledge of the employment. SECTION 27. AMENDATORY 40 O.S. 2021, Section 1-209.1, is amended to read as follows: Section 1-209.1. LESSOR EMPLOYING UNIT. A. “Lessor employing unit” means any independently established bus iness entity which engages in the business of providing leased employees to any other employer, individual, organization, partn ership, corporation or other legal entity, referred to herein as a client lessee. B. Any employer or any individual, organizatio n, partnership, corporation or other legal entity which meets the definition of lessor employing unit shall be liable for contr ibution on wages paid by the lessor employing unit t o individuals performing services for client lessees of the lessor employing unit. ENGR. S. B. NO. 1800 Page 14 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 C. B. Unless the lessor employing u nit has timely complied with the provisions of this section, any employer, individual, organization, partnership, corporation or other le gal entity leasing employees from any lessor empl oying unit shall be jointly and severally liable for any unpaid contri butions, interest, penalties and fees due under this section from any lessor employing u nit attributable to wages for services performed for the client lessee entity by the employees lea sed to the client lessee ent ity. D. C. In order to relieve client les sees from joint and several liability imposed under this section, any lessor employing unit as defined herein may post and maintain a sur ety bond issued by a corporate surety authorized to do business in this state in an amount equivalent to the contributi ons for which the lessor employing unit was liable in the last calendar year in which it accrued contributions, or One Hundred Thousand D ollars ($100,000.00), whichever amount is the gre ater, to ensure prompt payment of contributions, interest, penalties a nd fees for which the lessor employing unit may be or may become liable under this section. E. D. Any lessor employing unit as defined h erein which is currently engaged in the business of leasing employees to clie nt lessees shall comply with the provision s of this section by January 1, 1991. ENGR. S. B. NO. 1800 Page 15 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 F. E. Any lessor employing unit not engaged in the bus iness of leasing employees to client lessees on or before the effective date of this act May 31, 1990, shall comply with the requirements herein before entering into lease agreements with client lessees. SECTION 28. AMENDATORY 40 O.S. 2021, Section 1-209.2, is amended to read as follows: Section 1-209.2. A. 1. A “Professional Employer Organization ” or “PEO” is an organization that is subjec t to the Oklahoma Professional Employer Organization Recognition and Registration Act and which meets the definition set out in paragraph 9 of Section 600.2 of Title 40 of the Oklahoma S tatutes. 2. “Client” shall have the same meaning as provided by paragraph 1 of Section 600.2 of T itle 40 of the Oklahoma Statutes. 3. “Coemployer” shall have the same meaning as provided by paragraph 2 of Section 600.2 of Title 40 of the Oklahoma Statute s. 4. “Coemployment relatio nship” shall have the same meaning as provided by paragraph 3 of Secti on 600.2 of Title 40 of the Oklahoma Statutes. 5. “Covered employee” shall have the same meaning as provided by paragraph 5 of Section 600.2 of Title 40 of t he Oklahoma Statutes. B. For purposes of the Employment Security Act of 1980, the PEO and its client shall be considered coemployers of the covered employees that are under the direction and control of the client. ENGR. S. B. NO. 1800 Page 16 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 C. B. If a PEO fails to become or remain registered under the Oklahoma Professional Employer Organization Reco gnition and Registration Act, the entity shall be considered a third-party administrator of the client account. As a third-party administrator, a power of attorney will be required to o btain information from the c lient’s account. SECTION 29. AMENDATORY 40 O.S. 2021, Section 1-217, is amended to read as follows: Section 1-217. UNEMPLOYED. An individual shall be de emed “unemployed” with respect to any week during which he performed no services and with respect to which no wages are payable to him, or with respect to any week of less than full-time work if the wages payable to him with respect to such week are less t han his weekly benefit amount plus One Hundred Do llars ($100.00); provided that for A. An individual shall be deemed unemployed with respect to any week during which: 1. The individual performed no services; and 2. No wages are payable to the individual. B. For an initial or additional initial claim filing, an individual shall be deemed unemployed: 1. With respect to any week of less than full-time work, if the wages payable to the individual are less than his or her weekly benefit amount plus One Hundred Dollars ($100.00) ; and ENGR. S. B. NO. 1800 Page 17 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 2. If the individual has incurred a loss of wages or reductions in hours based on his or her customary work experience or contract of hire. C. For filing made during a continued claim series, an individual shall be deemed unemployed with respect to any week of less than full-time work if the wages payable to the individual are less than his or her weekly benefit amount pl us One Hundred Dollars ($100.00). D. For the purpose of this section only, any vacation leave payments or sick leave payments, which such individual m ay receive or be entitled to from his or her employer or former employer, arising by reason of separation from employment, shall be deemed not to be wages as the term wages is used in this section. E. A finding that an individual has satisfied the hour and wage threshold as defined in this section shall not preclude a potential investigation or disqualification for benefits as provided in Section 2-101 et seq. of this title if the employer files a timely protest to the initial or additional initial claim. SECTION 30. AMENDATORY 40 O.S. 2021, Section 1 -223, is amended to read as follow s: Section 1-223. TAXABLE WAGES – CONDITIONAL FACTORS AND PRECENTAGES. “Taxable wages” means the wages paid to an individual with respect to employment during a calendar year for services covered by ENGR. S. B. NO. 1800 Page 18 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 the Employment Security Act of 1980 or other state unemp loyment compensation acts which shall equal the applicable percen tage of the state’s average annual wage for the second preceding calendar year as determined by the Commission, rounded to the nearest multiple of One Hundred Dollars ($100.00). The applicable percentage of the state’s average annual wage is determined by the conditional factor in place during the calendar year for which the taxable wage is being calculated. The conditio nal factor is determined pursuant to the provisions of Section 3 -113 of this title. The applicable percentages are as follows: 1. Forty percent (40%) during any calendar year in which the balance in the Unemployment Compensation Fund is in excess of the amount required to initiate conditional cont ribution rates, pursuant to the provisions of Section 3-113 of this title; 2. Forty-two and one-half percent (42.5%) during calendar years in which condition “a” exists; 3. Forty-five percent (45%) during calen dar years in which condition “b” exists; 4. Forty-seven and one-half percent (47.5%) during calendar years in which condition “c” exists; and 5. Fifty percent (50%) during calendar years in which condition “d” exists. SECTION 31. AMENDATORY 40 O.S. 2021, Section 1 -224, is amended to read as follows: ENGR. S. B. NO. 1800 Page 19 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Section 1-224. FILE. A. For purposes of this section , “OESC 2020-21 business process transformation ” means a change from paper process to integrated digital technology. Upon completion of the OESC 2020-21 business process tra nsformation, electronic e -filing will be the Commission’s preferred filing method for tender ing and receiving documents. All claimants and employers tendering documents to the Commission will be expected to tender the documents electronically. If the cla imant or employer has ele cted to utilize other means of transmittal, it will be the responsi bility of the claimant or employer to notify the Commission of this preference . B. When any document is required to be filed by the provisions of the Employment Se curity Act of 1980 or the rules promulgated under the authority of the Employment Security A ct of 1980 with the Oklahoma Employment Secu rity Commission, any of its repres entatives, or the Board of Review for the Oklahoma Employment Security Commission the provisions of the Employmen t Security Act of 1980 or the rules promulgated under the auth ority of the act require any document to be filed with the Oklahoma Employment Se curity Commission or its affiliate entities, the term “file”, “files”, or “filed” shall be defined as follows mean: 1. Hand-delivered Hand-delivery to the central administrative office of the Oklahoma Employment Security Commission by the close of business on or before the date due; ENGR. S. B. NO. 1800 Page 20 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 2. Telefaxed to the telefax number indicated on the determination letter, order or other document issued by the Oklahoma Employment Security Commission by midnight on or before the date due. Timely telefaxing shall be determi ned by the date and time recorded by the Commission ’s telefax equipment; 3. Mailed with sufficient postage and p roperly addressed to the address indicated on the determination letter, order or other document issued Mailing by means calculated to ensure re ceipt by the Oklahoma Employment Security Com mission on or before the date due. Timely mailing shall be determin ed by the United States Postal Service postmark. If there is no proof from the post office of the date of mailing such legible postmark, the date of receipt by the Commission shall constitute the date of filing; or 4. 3. Electronic e-filing to the Oklahoma Employment Security Commission, as directed by the instruction s on the determination letter, order or other document issued by the Commissio n, by midnight on or before the date due. Timely transmission shall be determined by the Commission’s transmission log file; or 4. Digital portal filing by midnight on or befor e the date due. Timely transmission shall b e determined by the Commission ’s transmission log file. C. If the Employment Security Act of 1980 or the rules promulgated under the Employment Security Act of 1980 require that a document be filed with a court or any other agency of this state, ENGR. S. B. NO. 1800 Page 21 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 the term “file”, “files” or “filed” shall be defined by the statutes, rules or practice governing that court or agency. SECTION 32. AMENDATORY 40 O.S. 2021, Section 1-225, is amended to read as follows: Section 1-225. SUPPLEMENTAL UNEMPLOY MENT BENEFIT PLAN. A. “Supplemental unemploymen t benefit plan” means a plan that provides for an employer to make payme nts to its employees during a permanent or temporary layoff that will supplement unemployme nt benefits received by the employees. The p urpose of a supplemental unemployment benefit pl an is to allow an employer to sustain the purchasing power of its employ ees or former employ ees during a layoff. B. A supplemental unemployment benefit plan for a temporary layoff must meet the following req uirements: 1. The plan shall provide for a paym ent from the employer to the employee each week during the temporary lay off to supplement unemployment benefits received by the employee; 2. The plan must be part of an agreement entered into between the employer and employee, or between the employer and a collective bargaining agent on behalf of the employee, before the date the layoff is effective; 3. The employer must be able to give a reasonable assurance that the separated employees will be able to retu rn to work at the end of the temporary layoff; ENGR. S. B. NO. 1800 Page 22 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 4. The employer must inform the Commission of the beginning and ending dates of the layoff a nd keep the Commission informed of any changes in circumstances while a ny claims for unemployment benefits are in existence; and 5. The plan must provide for equal treatment of all employees covered by the plan who are included in the layoff. The requirements of Sections 2-417 and 2-418 of this title shall be waived for any claimant of unemployment benefits who is rece iving supplemental benefits under this subsectio n. C. B. A supplemental unemployment benefit plan for a permanent layoff must meet the foll owing requirements: 1. The plan shall provide for a payment from the e mployer to the former employee during each we ek unemployment benefits are paid to the former employee, in order to supplement the unemployment benefits received by t he former employee; 2. The plan must be part of an agreement entered into between the employer and former employee, or between the empl oyer and a collective bargaining agent on behalf of the former employee, before the date the layoff is effective; and 3. The plan must provide for equal treatment of all former employees covered by the plan who are included in the layoff. The requirements of Sections 2-417 and 2-418 of this title shall be applicable to any claimant of unemployment benefits who is receiving supplemental benefits under this subsection. ENGR. S. B. NO. 1800 Page 23 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 D. C. The amount of supplemental unemploymen t benefit plan payments will not be deducted from the weekly benefit amount of an unemployment benefit claim. E. D. All supplemental unemployment benefit plans must be approved by the Director of the Unemployment Insurance Division of the Oklahoma Employm ent Security Commission. The Director ’s determination will be in writing and mailed to the e mployer and the collective bargaining agent of the employees, if any exi sts, at their last-known addresses, within twenty (20) days of the receipt of the employer’s plan. If an employer or collective bargain ing agent disagrees with the determination, an a ppeal can be taken pursuant to Section 3 -115 of this title. SECTION 33. AMENDATORY 40 O.S. 2021, Section 1-228, is amended to read as foll ows: Section 1-228. LIMITED LIABILITY COMPAN IES. A. For purposes of the Employment Securit y Act of 1980, a “limited liability company” and a “foreign limited liabi lity company” shall be defined by the provisions of the Oklahoma Limited Liability Company Act. B. For unemployment tax purposes, wages , salaries, or draws paid to limited liability company members, relatives of the members, and employees shall be taxed i n the same manner as requ ired by the Federal Unemployment Tax Act, Title 26 U.S.C., Chapter 23, and the Internal Revenue Code, Title 26 U.S.C., Chapters 1 through 99. ENGR. S. B. NO. 1800 Page 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 SECTION 34. NEW LAW A new section of law to be codified in the Oklahoma Statutes as Sec tion 1-230 of Title 40, unless there is created a duplication in numb ering, reads as follows: NOTICE GIVEN. A. Notice shall be deemed given when the Oklahoma Employment Security Commission notifies by one of the following means: 1. Mail; 2. E-mail or fax to e-mail; 3. Upload to the agency digital portal; 4. Publication on the Commission’s website; or 5. Hand delivered to the central administrative office of t he Commission. There is a rebuttable pres umption that notice has been give n on the date stated in t he communication. B. The Commission’s preferred method of notification shall be electronic delivery though the agency digital portal or e-mail. If claimants or employers wish to opt out of delivery by the agency digital portal or e-mail, they may notify the Commission by one of the methods listed in subsection A of t his section. SECTION 35. AMENDATORY 40 O.S. 2021, Section 2 -203, is amended to read as follows: Section 2-203. CLAIM. A. An unemployed indiv idual must file an initial claim for unemployment benefits by completing the required forms through the Internet Claims service provided by the ENGR. S. B. NO. 1800 Page 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Commission, or by completing all forms necessary to process an initial claim in a local office of the Commission or any alternate site designated by the Commission to take unemployment benefit claims. The Commission may obtain additional informati on regarding an individual’s claim through any form of telecommunication, writing, or interview. An unemployed individu al must file a claim by telecommunication or by Internet utilizing the digital services portal to create an account to access benefits with respect to each week in accordance with such rule as the Commission may prescribe. B. 1. During the process of fil ing an initial claim for unemployment benefits, the claimant shall be made aware of the definition of misconduct set out in Section 2 -406 of this title, and the claimant shall affirmatively certify that the answers given to all questions in the initial cla im process are true and correct to the best of the claimant’s knowledge and that no info rmation has been intentionally withheld or misre presented in an attempt by the claimant to receive benefits to which the claimant is not entitled. 2. The certification statement required in p aragraph 1 of this subsection shall be available through the Int ernet Claims service provided by the Commission and by a form to be compl eted by the claimant in a local office of the Commission or at any alternate site designated by the Commission to take unemployment benefit claims. ENGR. S. B. NO. 1800 Page 26 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 C. With respect to each week, the claimant must provide the Commission with a true and correct statement of all material facts relating to unemployment; ability to work; availability for work; activities or conditions which co uld restrict the individual from seeking or immediately acceptin g full-time employment or part-time work if subsection (4) of Section 2-408 of this title applies; applications for or receipt of workers’ compensation benefits; employment and earnings; and t he reporting of other income from retirement, pension, disabilit y, self-employment, education or training allowances. D. C. No claim will be allowed or paid unless the claimant resides within a state or foreign country with which t he State of Oklahoma has entered into a reciprocal or cooperative arrangement pursuant to Part 7 of Article IV of the Employment Securit y Act of 1980 Section 4-701 et seq. of this title. E. D. The Commission may req uire the individual to p roduce documents or information relevant to the claim for benefits. If the individual fails to produce it, the individual’s claim for unemployment benefits may be disqualified indefinitely by the Commission until the information is produced. An individua l that has been disqualified indefinitel y by the provisions of this subsection may receive payment for a ny week between the initial failure and the comp liance with this subsection if the claim ant is ENGR. S. B. NO. 1800 Page 27 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 otherwise eligible and has made a timely filing for each intervening week. SECTION 36. AMENDATORY 40 O.S. 2021, Section 2-503, is amended to read as follows: Section 2-503. CLAIMS, NOTICES AND OBJECTIONS. A. Claims for benefits shall be made in accordance with all rules that the Oklahoma Employment Se curity Commission may prescribe. B. Promptly after an initial claim or an additional initial claim is filed, the Commission shall give notice of the claim to the last employer of the claimant for whom the claimant worked at least fifteen (15) working days . The required fifteen (15) working These days are not required to be consecutive. Provided, that promptly after After the Commission is notified of the claimant ’s separation from an employment obtained by a claimant during a continued claim series, the Commission shall give notice of the claim to the last separating employer. Notices to separating employers during a continued claim series will be given to the last employer in the claim week without regard to length of emp loyment. Each notice shall contain an admonition that failure to respond to the notice could affect the employer’s tax rate. C. Promptly after the claim is paid for the fifth week of benefits the Commissio n shall give written notice of the claim to all other employers of the claimant d uring the claimant’s base period. The notice will be given pursuant to Section 3-106 of this ENGR. S. B. NO. 1800 Page 28 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 title by e-mail unless the employer provides appr opriate notification that they op ted out of this method of communication pursuant to Section 11 of this act. D. Notices Notice shall be deemed to have been given to the employer at the last-known address and by the date of the postmark on the envelope in which the notice was sent . If the employer has elected to be notified by electro nic means according to proc edures set out in Oklahoma Employment Security Commission rules, notice shall be deemed to b e given when the Commission transmits the notice by electronic means or, if the employer has opted out of electronic communications, the notice is placed in the mail. E. Within ten (10) days after the date on the notice or the date of the postmark on the envelope in which the notice was sent, whichever is later the notice is e-mailed, an employer may file with the Commission at the address prescribed in the notice writte n send by e-mail all objections to the claim setting forth specifically the facts which: 1. Make the claimant ineligible for benefits under Sections 2- 201 through 2-210 of this title; 2. Disqualify the claimant from benefi ts under Sections 2-401 through 2-417 and 2-419 of this title; or 3. Relieve such employer from being charged for the benefits benefit wages of such claimant. ENGR. S. B. NO. 1800 Page 29 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 F. An untimely employer objection to a claim for unemployment benefits made pursuant to subsect ion E of this section may be allowed for good cause sh own. SECTION 37. AMENDATORY 40 O.S. 2021, Section 2-503.1, is amended to read as follows: Section 2-503.1. FILING OF EMPLOYER PROTES T AND DOCUMENTS THROUGH EMPLOYER PORTAL. A. The procedure set out in this s ection for the filing of a statement of objection through the employer portal is an optional procedure for the employer. If the employer chooses not to utilize this procedure, the employer must file its protest i n accordance with subsection E of Section 2 -503 of Title 40 of th e Oklahoma Statutes. B. An employer may file a statement of objections to the claim of a former employee at any time from the moment of discharge or separation from employment of the employee until the expiration of the ten-day time period set out in subs ection E of Section 2-503 of Title 40 of the Oklahoma Statutes. The this title. Unless the employer has opted out of receiving electronic communications and may file their statement of objection through any method listed in Section 1-224 of this title, th e statement of objection must be filed through the employer portal on the Oklahoma Employment Security Commission’s Internet website and must contain a state ment of specific facts and documentation which: ENGR. S. B. NO. 1800 Page 30 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1. Disclose the name and so cial security number of the employee; 2. Make the claimant ineligible for benefits under Sections 2- 201 through 2-210 of Title 40 of the Oklahoma Statutes this title; 3. Disqualify the claimant for benefits under Sections 2 -401 through 2-419 of Title 40 of the Oklahoma Statutes this title; or 4. Relieve the employer from being charged for the benefits benefit wages of this claimant. C. B. Any timely statement of objection filed pursuant to this section within the time period and in the manner set out in subsection B of this s ection shall be considered a valid protest to a claim for unemployment benefits filed by the former employee and the employer shall be considered an interest ed party to the claim. A statement of objection filed pursuant to this sect ion outside the time period or in any manner other than as set out in subsection B A of this section shall not be considered a valid prote st to a claim for unemployment of the form er employee, and the employer shall not be considered an interested party to the claim. SECTION 38. AMENDATORY 40 O.S. 2021, Section 2-605, is amended to read as follows: Section 2-605. NOTICE OF REFEREE DECISION. The parties shall be promptly notified of such re feree’s decision and shall be furnished with a copy of the decisi on, including the findings and conclusions in support thereof. The decision shall be provided to ENGR. S. B. NO. 1800 Page 31 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 the party by the agency’s digital portal or e -mail unless the party notifies the agency that they opted out from receiving notices by e- mail pursuant to Section 11 of this act. Such decision shall be final unless, within ten (10) days after the date of mailing of notice thereof to the parties ’ last-known addresses, or, in the absence of such mailing, within ten (10) days after the deliver y of such notice is deemed given, further review before the Board of Review is initiated pursuant to Section 2-606 of this title. SECTION 39. AMENDATORY 4 0 O.S. 2021, Section 2-606, is amended to read as follows: Section 2-606. APPEALS FROM TRIBUNAL RE FEREE DECISIONS TO BOARD OF REVIEW. The Board of Review shall review the record of an appeal filed by any of the parties entitled to notice on a determinatio n of an appeal tribunal referee. An appeal to the Board of Review may be filed in any manner allow ed by Section 1-224 of this title. On appeal, the Board of Review may affirm, modify, reverse, or remand any decision of an appeal tribunal referee on the b asis of evidence previously submitted, or on the basis of additional evidence received by an appeal tribunal referee on remand. The Board of Review shall promptly notify the parties of its decision in writing, and the decision shall be final unless within thirty (30) days after the mailing of the decision to the parties’ last-known addresses ENGR. S. B. NO. 1800 Page 32 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 notice is deemed given, a proceeding for judicial review is initiated pursuant to Section 2-610 of this title. SECTION 40. AMENDATORY 40 O.S. 2021, Section 3-106, is amended to read as follows: Section 3-106. BENEFIT WAGES CHARGED AND RELIEF THEREFROM. A. The Oklahoma Employment Security Commission shall give notice to each base period employer of a claimant promptly after the claimant is has been issued his or her fifth week of benefits by the Commission or promptly after the Commission receives notice of the amounts paid as benefits by another state under a reciprocal arrangement. Notice shall be deemed given under this subsection when the Commission deposits t he same with the United States Postal Service addressed to the employer at an address designated by the employer to receive the notice or at the employer’s last-known address. If the employer has elected to be notified by electronic means according to pro cedures set out in Oklahoma Employment Security Commission rules, notice shall be deemed to be given when the Commission transmits the notification by electronic means. Notice shall be presumed prima facie to have been given to the employer to whom addres sed on the date stated in the written notice. This notice shall give the name and social security number of the claimant, the date the claim was filed, and the amount of benefit wages charged to the employer in each quarter of the bas e period. ENGR. S. B. NO. 1800 Page 33 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 B. Within twenty (20) days from the date stated upon on the notice provided for in subsection A of this section, the employer may file with the Commission written objections an objection to being charged with the benefit wages upon one or more of the grounds for objection as set forth in subsection G of this section. The employer’s written objection must set forth specifically: 1. The date on which the employment was terminated; 2. Full particulars as to the circumstances Specific details of the termination including the reason given by the individu al for voluntarily leaving the employment, or the nature of the misconduct for which discharged, as the case may be discharge; 3. Full particulars as to Specific details of the regular scheduled part-time or full-time employment of the employee including the starting date, and ending date if any, of the continuous period of such part-time or full-time employment; and 4. Such other Other information as called for by the notice. C. Upon receipt of th e employer’s written objections objection, the Commission shall make a determi nation and notify the employer as to whether or not the employer is entitled to be relieved from the charging of benefit wages wage charges. The Commission shall promptly notify the employer of that determination. Provided further Additionally, the twenty-day time period for filing written objections with the Commission an objection as provided for in subsection B of this section may be waived for good cause shown. ENGR. S. B. NO. 1800 Page 34 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 D. Within twenty (20) days after the mailing issuing of the determination provided for in subsection C of this section, the employer may file with the Commission or its representative Assessment Board a written protest to the determination and request an oral hearing de novo to present evidence in support of its protest. The Commission or its representative Assessment Board shall, by written notice, advise the employer of the date of the hearing, which shall not be less than ten (10) days from the date of mailing of the written notice. At the discretion of the Commission, this hearing shall be conducted by the Commission or its representative appointed by the Commission for this purpose. Pursuant to Assessment Board. After the hearing, the Commission or its representative Assessment Board shall, as soon as practicable, make a written order se tting forth its findings of fact and conclusions of law, and shall send it to the employer notify the employer of its findings. E. If any employer fails to file a written protes t within the period of twenty (20) days, as provided by subsection D of this section, then the determination shall be final, and no appeal shall thereafter be allowed does not file a timely appeal of the determination to the Assessment Board, the determina tion shall be final. F. The employer or the Commission may appeal the Assessment Board’s order of the Commission or its representative to the ENGR. S. B. NO. 1800 Page 35 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 district court by filing a petition for review with the district court clerk of that court within thirty (30) day s after the date the order was mailed issued to all parties. The mailing date shall be specifically stated in the order. G. The benefit wages charged to an employer for a given calendar year shall be the total of the benefit wages stated in the notices given to the employer by the Commission. Provided, that an employer shall be relieved of a benefit wage charge if the employer proves to the satisfaction of the Commission that the benefit wage charge includes wages paid by the employer to any employee or former employee, who: 1. Left employment with that employer, or with his or h er last employer, voluntarily Voluntarily left employment without good cause connected to the work; 2. Was discharged from such employment for misconduct connected with his or her work; 3. Was a regular scheduled employee of that the separating employer prior to the week the employee separated from other employment, and continued to work for the employer through the fifth compensable week of unem ployment in his or her of the established benefit year; 4. Was separated from his or her employment as a direc t result of a major natural disaster, declared as such by the President pursuant to the Disaster Relief Act of 1974, P.L. 93-288, and such ENGR. S. B. NO. 1800 Page 36 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 employee would have been entitled to disaster unemployment assistance if he or she had not received unemployment insu rance benefits; 5. Was discharged by an employer for unsatisfactory performance during an initial employment probationary period. As used in this paragraph, “probationary period” means a period of time set forth in an established probationary plan which applies to all employees or a specific group of employees and does not exceed ninety (90) calendar days from the first day a new employee begins work. The employee must be informed of the probationary period within the first seven (7) work days. There mu st be conclusive evidence to establish that the individual was separated due to unsatisfactory work performance; 6. Left employment to attend training approved under the Trade Act of 1974 and is allowed unemployment benefits pursuant to Section 2-416 of this title; or 7. Was separated from employment for compelling family circumstances as defined in Section 2-210 of this title. H. If an employer recall s an employee deemed unemp loyed as defined by the Employment Security Act of 1980 and the employee continues to be employed or the employee voluntarily terminates employment or is discharged for misconduct within the benefit year, the employer shall be ent itled to have the benefit wage charged against the employer ’s experience rating for the employee reduced by ENGR. S. B. NO. 1800 Page 37 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 the ratio of the number of weeks of remaining eligibility of the employee to the total number of weeks of entitlement. I. An employer shall not be charged with benefit wages assessed a benefit wage charge of a laid-off employee if the employer lists as an objection in a statement filed in accordance with subsection B of this section that the employee collecting benefits was hired to replace a United States serviceman or servi cewoman called into active duty and laid -off upon the return to work by that s erviceman or servicewoman. The Unemployment Compensation Fund shall be charged with the benefit wages of the laid-off employee. J. If the Commission receives a notice of amount s paid as benefits by another state under a reciprocal agreement, and the notice is received after three (3) years from the effective date of the underlying benefit claim, no benefit wage charge will be made against the employer identified in the notice, o r if a benefit wage charge is made based on such a notice, the employer will b e relieved of the charge when the facts are brought to the attention of the Commission. K. An employer shall not be eligible to be relieved of a benefit wage charge under paragr aphs 1 and 2 of subsection G of this section if the employer was sent a notice of benefit claim, pursuant to Section 2-503 of this title, and failed to timely file protest to the benefit claim. ENGR. S. B. NO. 1800 Page 38 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 SECTION 41. AMENDATORY 40 O.S. 2021, Section 3-115, is amended to read as follows: Section 3-115. APPEAL OF DETERMINATIONS. A. If a determination is made by the Oklahoma Employment Security Commission on any aspect of an employer’s account, and a method of appeal or protest of the determin ation is not set out in the statute or rule under which the determ ination was made, the employer ma y appeal or protest the determination under the procedure set forth in subsection B of this section. B. 1. All determinations affecting an employer account must be made by the Commission in writing in a Notice of Determin ation and mailed to the employer at the employer’s last-known address with the mailing date and appeal rights set out in the document. If the employer has elected to be notified by electron ic means according to procedures set out in Oklahoma Employment Se curity Commission rules, notice shall be deemed to be given when the Commission transmits the notification by electronic means. 2. Within twenty (20) days after the mailing or transmission of the Notice of Determi nation as provided for in paragraph 1 of t his subsection, the employer may file with the Commission, or its representative, a written request for a review and redetermination setting forth the employer ’s reasons therefor. If any em ployer fails to file a written request for review and redeterminat ion within twenty (20) days witho ut good cause, then the initial ENGR. S. B. NO. 1800 Page 39 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 determination of the Commission shall be final, and no further appeal or protest shall be allowed. 3. If a written request f or review and redetermin ation is filed, the Commission shall provi de for a review and issue a Notic e of Redetermination in the matter. The employer may appeal the redetermination by filing a written protest appeal within twenty (20) days of the date of th e mailing of the Notice of Redetermination. If the employer fails to file a written protest appeal within twenty (20) days without good cause, the redetermination of the Commission shall be final and no further appeal or protest shall be allowed. 4. Upon the timely filing of a written protest appeal, the Commission shall provide for an oral hearing de novo to allow the employer to present evidence in support of the protest appeal. The standard of review on appeal shall be de novo . The Commission or its representatives shall, by written notice, advise the employer of the date of the hearing, which sha ll not be less than ten (10) days from the date of the mailing of the written notice. At the discretion of the Commission, this hearing shall be conducted b y the Commission, or by a representative appointed by the Commissi on for this purpose. The appeali ng party shall bear the initial burden of proof at the hearing. 5. Pursuant to the hearing, the Commission or its representative shall, as soon as practicab le, make a written order ENGR. S. B. NO. 1800 Page 40 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 setting forth its findings of fact and co nclusions of law, and shall mail it to the employer at the employer’s last-known address with the mailing date and appeal rights set out in the document. 6. The employer or the Commission m ay appeal the order to the district court of the county in which t he employer has its principal place of business by filing a Petition for Review with the clerk of the court within thirty (30) days after the date the order was mailed to all parties. If th e employer does not have a principal place of business in any coun ty in Oklahoma this state, then the Petition for Review shall be filed with the Oklahoma County District Court. All appeals shall be governed by Part 4 of Article 3 of the Employment Security Act of 1980. If the employer fails to file an appeal to the district cour t within the time allowed, the order shall be final and no further appeal shall be allowed. C. Untimely requests for review and redetermination pursuant to paragraph 2 of subsect ion B of this section and written protests for appeals filed pursuant to para graph 3 of subsection B of this section may be allowed for good cause shown, if the request for good cause is filed in writing with the Commission within one (1) year of the date of the determination or redetermination that is the basis of the request for untimely filing. SECTION 42. AMENDATORY 40 O.S. 2021, Section 3-307, is amended to read as follows: ENGR. S. B. NO. 1800 Page 41 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Section 3-307. A. All remittance under Section 1-101 et seq. of this title shall be made payable to the Oklahoma Employment Security Commission at Oklahoma City, Oklahoma, by automatic clearinghouse (ACH) debit/credit, financial institution, draft, check, cashier’s check, electronic fund transfer, credit card, money order or money, and the Commission shall issue its receipt, for cash or money payment, to the payor. No remittance other than cash shall be in final discharge of liability due the Commission unless and until it shall have been paid in cash. All monies collected shall be deposited with the State Treasurer. There shall be assessed, in addition to any other penalties provided for by law, an administrative service fee of Twenty-five Dollars ($25.00) on each check returned to the Commission or any a gent thereof by reason of the refusal of the financial institution upon which such check was drawn to honor the same. There shall be assessed, in addition to any other penalties provided for by law, an administrative service fee of Twenty-five Dollars ($25.00) on each electronic fund transfer that fails due to insufficient funds in the payor’s account. B. Upon the return of any check by reason of the refusal of the financial institution upon which such check was drawn to honor the same, the Commission may file a bogus check complaint with the appropriate district attorney who shall refer the complaint to the Bogus Check Restitution Program established by Section 111 of Title 22 of the Oklahoma Statutes. Funds collected through the program ENGR. S. B. NO. 1800 Page 42 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 after collection of the fee authorized by Section 114 of Title 22 of the Oklahoma Statutes for deposit in the Bogus Check Restitution Program Fund in the county treasury shall be transmitted to the Commission and credited to the liability for which the returned check was drawn along with the administrative service fee provided by this section. C. The Commission shall promulgate rules for the deadlines of payment of unemployment taxes and the method of payment. SECTION 43. AMENDATORY 40 O.S. 2021, Section 4-205, is amended to read as follows: Section 4-205. TEMPORARY MEMBERS. In the event of the disqualification of one member of the Board of Review from the hearing and determination of a claim for benefits, the Govern or shall designate a fourth, temporary member to serve as an alternative member. In the event of the disqualification of two or more members of the Board of Review from the hearing and determination on a claim for benefits, the Governor shall designate by appointment temporary members to serve as alternate members, such. Such alternates to shall be paid traveling expenses incurred in the performance of their duties as provided in the State Travel Reimbursement Act. The Governor may at any time, after notice and hearing, remove any me mber for cause. SECTION 44. AMENDATORY 40 O. S. 2021, Section 4-508, is amended to read as follows: ENGR. S. B. NO. 1800 Page 43 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Section 4-508. INFORMATION TO BE KEPT CONFIDENTIAL - DISCLOSURE. A. Except as otherwise provided by law, information obtained from any employing unit or individual pursuant to the administrat ion of the Employment Security Act of 1980, any workforce system program administered or monitored by the Oklahoma Employment Security Commission, and determination s as to the benefit rights of a ny individual shall be kept confidential and shall not be dis closed or be open to public inspection in any manner revealing the individual’s or employing unit’s identity. Any claimant, employer, or agent of either as auth orized in writing, shall be suppli ed with information from the records of the Oklahoma Employme nt Security Commission, to the extent necessary for the proper presentation of the claim or complaint in any proceeding under the Employment Security Act of 1980 , with respect thereto. B. Upon receipt of written request by any employer who maintains a Supplemental Unemployment Benefit (SUB) Plan, the Commission or its designated representative may release to that employer information regarding weekly benefit amo unts paid its workers during a spec ified temporary layoff period, provided the Supplemental Unemployment Benefit (SUB) Plan requires benefit payment information before Supplemental Unemployment Benefits can be paid to the workers. Any information disclose d under this provision ENGR. S. B. NO. 1800 Page 44 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 shall be utilized solely for the purpose outlined herein and shall be held strictly confidential by the employer. C. The provisions of this section shall not prevent the Commission from disclosing the following information and no liability whatsoever, civil or crimin al, shall attach to any member of the Commission or any emp loyee thereof for any error or omission in the disclosure of this information: 1. The delivery to taxpayer or claimant a copy of any report or other paper filed by the taxpayer or claimant pursuan t to the Employment Security Act of 1980; 2. The disclosure of information to any person for a purpose as authorized by the taxpayer or claimant pursuant to a waiver of confidentiality. The waiver shall be in writing and shall be notarized; 3. The Oklahoma Department of Commerce may have access to data obtained pursuant to the Employment Security Act of 1980 pursuant to rules promulgated by the Commission. The information obtained shall be held confidential by the Department and any of its agents and shall not be disclosed or be open to public inspection. T he Oklahoma Department of Commerce, however, may release aggregated data, either by industry or county, provided that the aggregation meets disclosure requiremen ts of the Commission; 4. The publication of statistics so classified as to prevent the identification of a particular report and the items thereof; ENGR. S. B. NO. 1800 Page 45 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 5. The disclosing of information or evidence to the Attorney General or any district attorney when the i nformation or evidence is to be used by the officials or other parties to the proceedings to prosecute or defend allegations of violations of the Employment Security Act of 1980. The information disclosed to the Attorney General or any district attorney s hall be kept confidential by them and not be disclosed except when presented to a court in a prosecution of a violation of Section 1-101 et seq. of this title, and a violation by the Attorney General or district attorney by otherwise releasing the informat ion shall be a felony; 6. The furnishing, at the discretion of the Commission, of any information disclosed by the records or files to any official person or body of this state, any other state or of the United States who is concerned with the administra tion of assessment of any similar tax in this state, any other state or the United States; 7. The furnishing of information to other state agencies for the limited purpose of aiding in the collection of debts owed by individuals to the requesting agencie s or the Oklahoma Employment Security Commission; 8. The release of information to employees of the Oklahoma Department of Transportation required for use in federally mandated regional transportation planning, which is performed as a part of its official duties; ENGR. S. B. NO. 1800 Page 46 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 9. The release of information to employees of the Oklahoma State Treasurer’s office required to verify or evaluate the effectiveness of the Oklahoma Small Business Linked Deposit Program on job creation; 10. The release of information to employees of the Attorney General, the Department of Labor, the Workers ’ Compensation Commission and the Insurance Depa rtment for use in investigation of workers’ compensation fraud; 11. The release of information to employees of any Oklahoma state, Oklahoma county, Oklahoma municipal or Oklahoma tribal law enforcement agency for use in criminal inves tigations and the location of missing persons or fugitives from justice; 12. The release of information to employees of the Center of International Trade, Oklahom a State University, required for the development of International Trade for employers doing business in the State of Oklahoma this state; 13. The release of information to employees of the Oklahoma State Regents for Higher Education required for use in the default prevention efforts and/or collectio n of defaulted student loans guaranteed by the Okl ahoma Guaranteed Student Loan Program. Any information disclosed under this provision shall be utilized solely for the purpose outlined herein and shall be held strictly confidential by the Oklahoma State Regents for Higher Education; ENGR. S. B. NO. 1800 Page 47 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 14. The release of information to employees of the Oklahoma Department of Career and Technology Education, the Oklahoma State Regents for Higher Education, the Center for Economic and Management Research of the University of Oklahoma, the Center for Economic and Business Development at Southwestern Oklahoma State University or a center of economic and business research or development at a comprehensive or regional higher education institution within The Oklahoma State System o f Higher Education required to identify economic trends or educational outcomes. The information obtained shall be kept confidential by the Oklahoma Department of Career and Technology Education, the Oklahoma State Regents for Higher Education and the higher education institution and sha ll not be disclosed or be open to public inspection. The Oklahoma Department of Career and Technology Education, the Oklahoma State Regents for Higher Education and the higher education institution may release aggregated data, provided that the aggregatio n meets disclosure requirements of the Commission; 15. The release of information to employees of the Office of Management and Enterprise Services required to identify economic trends. The information obtained shall be ke pt confidential by the Office of Management and Enterpr ise Services and shall not be disclosed or be open to public inspection. The Office of Management and Enterprise Services may release aggregate data, provided that ENGR. S. B. NO. 1800 Page 48 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 the aggregation meets disclosure req uirements of the Oklahoma Employment Security Commission; 16. The release of information to employees of the Department of Mental Health and Substance Abuse Services required to evaluate the effectiveness of mental health and substance abuse treatment and state or local programs utilized to divert persons fr om inpatient treatment. The information obtained shall be kept confidential by the Department and shall not be disclosed or be open to public inspection. The Department of Mental Health and Substance Abuse Services, however, may release aggregated data, either by treatment facility, program or larger aggregate units, provided that the aggregation meets disclosure requirements of the Oklahoma Employment Security Commission; 17. The release of information to employees of the Attorney General, the Oklahoma State Bureau of Investigation and the Insurance Department for use in the investigation of insurance fraud and health care fraud; 18. The release of information to employees of public housing agencies for purposes of determining eligibility pursuant to 42 U.S.C., Section 503(i); 19. The release of wage and benefit claim information, at the discretion of the Commission, to an agency of this state or its political subdivisions that operate a program o r activity designated as a required partner in the Wor kforce Innovation and Opportunity ENGR. S. B. NO. 1800 Page 49 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Act One-Stop delivery system pursuant to 29 U.S.C.A., Section 3151(b)(1), based on a showing of need made to the Commission and after an agreement concerning the releas e of information is entered into with the entity recei ving the information. For the limited purpose of completing performance accountability reports required by the Workforce Innovation and Opportunity Act, only those designated required partners that mee t the 20 CFR Section 603.2(d) definition of public official may contract with a private agent or contractor pursuant to 20 CFR Section 603.5(f) for the purpose of the private agent or contractor receiving confidential unemployment compensation information to the extent necessary to complete the performance accountability reports; 20. The release of information to the State Wage Interchange System, at the discretion of the Commission; 21. The release of information to the Bureau of the Census of the U.S. Department of Commerce, the Bureau of Labor Statistics of the U.S. Department of Labor, and its agents employed by the Department of Labor for the purpose of economic and statistical research; 22. The release of employer tax information and benefit claim information to the Oklahoma Health Care Authority for use in determining eligibility for a pr ogram that will provide subsidies for health insurance premiums for qualif ied employers, employees, self-employed persons and unemployed persons; ENGR. S. B. NO. 1800 Page 50 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 23. The release of e mployer tax information and benefit claim information to the State Department of Rehabili tation Services for use in assessing results and outcomes of clients serve d; 24. The release of information to any state or federal law enforcement authority when nec essary in the investigation of any crime in which the Commis sion is a victim. Informatio n that is confidential under this section shall be held confidential by t he law enforcement authority unless and un til it is required for use in court in the prosecuti on of a defendant in a criminal prosecution; 25. The release of information to vendors t hat contract with the Oklahoma Employment Security Commission to provide for the issuance of debit cards, to conduc t electronic fund transfers, to perform computer pro gramming operations, or to perform computer maintenance or replacement operations; provid ed the vendor agrees to protect and safeguard the information it receive s and to destroy the information when no lo nger needed for the purposes set out in the contract; 26. The release of information to employees of the Office of Juvenile Affairs for use in assessing results and outcomes of clients served as well as the effe ctiveness of state and local juvenile and justice programs including prevention and t reatment programs. The information obtained shall be kept confidential by the Office of Juvenile Af fairs and shall not be disclosed or be open to public inspection. The Office of Juvenile Affairs may release ENGR. S. B. NO. 1800 Page 51 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 aggregated data for programs or larger aggrega te units, provided that the aggregation meets disclosure requirements o f the Oklahoma Employment Security Commission; 27. The release of information to vendors that cont ract with the State of Oklahoma for the purpo se of providing a public electronic labor exchange system that will support the Oklahoma Employment Security Com mission’s operation of an emp loyment service system to connect employers with job seekers and milit ary veterans. This labor exchange system wou ld enhance the stability and security of Oklahoma’s economy as well as support the provision of veterans ’ priority of service. The vendors m ay perform computer programming operations, perform computer maintenan ce or replacement operations, or host the electronic solution; provided , each vendor agrees to protect and safeguard all information received, that no inform ation shall be disclosed to an y third party, that the use of the information shall be restricted to the scope of the contract, and that the vendor shall properly dispose of all informati on when no longer needed for the purposes set out in the contract; or 28. The release of employer tax information and benefit claim information to employees of a county public defender’s office in the State of Oklahoma this state and the Oklahoma Indigent Defense System for the purpose of determining financial eligibility f or the services provided by su ch entities. ENGR. S. B. NO. 1800 Page 52 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 D. Subpoenas to compel disclosure of information made confidential by this statute shall not be valid, except fo r administrative subpoenas issued by fed eral, state, or local governmental agencies that have been g ranted subpoena power by statute or ordinance. Confidential information maintained by the Commission can be obtained by order of a court of record that authorizes the release of the records in wr iting. All administrative subpoenas or court orders for pro duction of documents must provide a minimum of twenty (20) days from the date it is served for the Commission to produce the documents. If the date on which production of the documents is require d is less than twenty (20) days from the date of service, th e subpoena or order shall be considered void on its face as an undue burden or hardship on the Commission. All administrative subpoenas, court orders or no tarized waivers of confidentiality autho rized by paragraph 2 of subsection C of this section shall b e presented with a request for records within ninety (90) days of the date the document is issued or signed, and the document can only be used one time to o btain records. E. Should any of the dis closures provided for in this section require more than casu al or incidental staff time, t he Commission shall charge the cost of the staff time to the party requesting the information. F. It is further provided that the provisions of this section shall be strictly interpreted and shall not be construed as ENGR. S. B. NO. 1800 Page 53 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 permitting the disclosure of any other information contained in the records and files of the Commission. SECTION 45. REPEALER 40 O.S. 2021, Sections 1-202, 1- 202.2, 1-203, 1-204, 1-205, 1-206, 1-207, 1-211, 1-212, 1-213, 1- 215, 1-216, 1-219, 1-220, 1-221, 1-226, 1-301, 2-406.2, 2-709, 2- 711, 2-713, and 3-118, are hereby repealed. SECTION 46. This act shall become effective November 1, 2022. Passed the Senate the 9th day of March, 2022. Presiding Officer of the Senate Passed the House of Representatives the ____ day of __________, 2022. Presiding Officer of the House of Representatives