Requires employers who use or who are assisted by programs funded through the employment and training fund to contribute up to 25% of the cost of the assistance. Makes the employment and training fund assessment permanent and sets the employment and training fund assessment rate at 0.03% of taxable wages. (SD1)

A BILL FOR AN ACT

SECTION 1. Section 383-128, Hawaii Revised Statutes, is amended by amending subsection (c) to read as follows:

"(c) The director [may] shall require employers who use or who are assisted by any of these programs to contribute up to [fifty] twenty-five per cent of the cost of [such] the assistance in cash or in-kind contributions."

SECTION 2. Section 383-129, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) [Effective January 1, 1992, through June 30, 1997, and from January 1, 1999, through December 31, 2003, in] In addition to contributions determined by section 383-68, every employer, except an employer who has selected an alternative method of financing liability for unemployment compensation benefits pursuant to section 383-62 or an employer who has been assigned a minimum rate of zero per cent or the maximum rate of five and four-tenths per cent in accordance with section 383-68, shall be subject to an employment and training fund assessment at a rate of[:

(3) .01 per cent of taxable wages for 2002;] 0.03 per cent of taxable wages, as specified in section 383-61.

[For 2003 and all subsequent years, there shall be no employment and training fund assessments.]"

SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 4. This Act shall take effect upon its approval.