This website publishes administrative rules on their effective dates, as designated by the adopting state agencies, colleges, and
universities.
| Rule |
Rule 4141-37-01 | Notice of election to become reimbursing employer.
(A) The notice of election to become a
reimbursing employer is to be made on a form prescribed by the director. The
notice must show the total amount of wages paid for covered employment during
each of the four completed calendar quarters immediately preceding the date of
the notice of election. The notice must be furnished no later than fifteen days
following such effective date. An explanation shall be furnished where less
than four quarters of wages are shown, or when wages in one quarter, or several
quarters, differ substantially from others. The notice must be signed by a duly
authorized representative of the organization. (B) Unless the documents are already on
file with the department, the notice must be accompanied by copies
of: (1) Resolution by the
board of directors, trustees, or other governing body of the electing
organization, however denominated, setting forth the organization's
election to become liable for payments in lieu of contributions, pursuant to
the provisions of section 4141.241 of the Revised Code; and (2) Letter of exemption
from internal revenue service granting exemption from income tax under section
501(a) of the Internal Revenue Code of 1954 with respect to organizations
described in section 501(c)(3) of that code.
|
Rule 4141-37-02 | Definition of bonding amount.
The term "bonding amount" means the total amount of surety bond,
approved municipal or other bonds, approved securities, or a combination
thereof, or other forms of collateral security approved by the director,
required by law and rule to be furnished by a reimbursing employer or group of
reimbursing employers. "Approved securities" are those securities approved by
the director. The form and execution of the surety bond must be approved by the
director.
Last updated October 12, 2023 at 12:19 PM
|
Rule 4141-37-03 | Election notice and bonding amount.
The election notice, unless accompanied by a surety
bond or approved municipal or other bonds, approved securities, or a
combination thereof, or other forms of collateral security approved by the
director, equal to the bonding amount, will contain a statement to the effect
that the bonding amount requirement will be met within thirty days of the
effective date of the election. Failure to meet such bonding amount requirement
will cause the election to become void and the organization shall be or become
liable for contributions as of the date on which the election would otherwise
have been effective.
|
Rule 4141-37-05 | Estimate of wages for bonding amount.
Where less than four quarters of wages were paid, or when wages in
one quarter, or several quarters, differ substantially from others because of
abnormal factors, as shown on the notice of election and any supplement
thereto, the director, using such information as is available, may estimate the
amount of the total wages of the reimbursing employer, or group of such
employers, for covered employment for a normal four calendar quarter period and
may determine the bonding amount based upon such estimate.
Last updated October 12, 2023 at 12:19 PM
|
Rule 4141-37-06 | Adjustment in bonding amount and in surety bond or deposit.
(A) The director shall require an
increase in the bonding amount at any time it is determined that the wages of a
reimbursing employer, or a group of such employers, have increased
substantially over the wages on which the bonding amount was last determined.
In such event, such employer, or group of such employers, shall submit a new or
amended surety bond, or a deposit of approved municipal or other bonds,
approved securities or a combination thereof, or other forms of collateral
security approved by the director equal in sum to the increased bonding
amount. (B) On application of a reimbursing
employer, or a group of such employers, the director may, for good cause shown,
permit a decrease in the bonding amount when the operations of such employer,
or group of such employers, has or have been substantially changed after the
bonding amount was last determined. In such event, the reimbursing employer, or
group of such employers, may submit a new or amended surety bond, or adjust the
deposit of approved municipal or other bonds, approved securities, or a
combination thereof, or other forms of collateral security approved by the
director, reducing the total to an amount equal to the decreased bonding
amount. (C) When a reimbursing employer fails to
make any payment in lieu of contributions when due, the director, by
determination, shall require the employer to restore the unobligated security
of the account to an amount no less than the bonding amount, which
determination may be complied with by submission of a new or amended surety
bond, deposit of approved municipal or other bonds, approved securities, or a
combination thereof, or other forms of collateral security approved by the
director. (D) The director, with regard to
paragraphs (A), (B) and (C) of this rule, shall issue a determination to the
reimbursing employer or the members of a group of such employers. (E) The director shall approve
termination of a surety bond prior to the expiration of the term thereof, if
there is a change in status of liability of a reimbursing
employer. (F) Without regard to any determination
permitting the reduction of the bonding amount, the deposit of approved
municipal or other bonds or approved securities, or a combination thereof, or
other forms of collateral security approved by the director, shall be released
when the director determines that no potential liability remains against an
employer's reimbursing account.
|
Rule 4141-37-08 | Deposit of approved municipal or other bonds, approved securities, or other forms of collateral security approved by the director.
(A) The following securities are eligible
for the purposes of deposit: (1) Bonds, notes or other
obligations of the United States: or bonds, notes, or other obligations
guaranteed as to the principal and interest by the United States or those for
which faith of the United States is pledged for the payment of principal and
interest thereon, by language appearing in the instrument specifically
providing such guarantee or pledge and not merely by interpretation or
otherwise; (2) Bonds, notes,
debentures, or other obligations or securities issued by any federal government
agency, or the export-import bank of Washington: bonds, notes, or other
obligations guaranteed as to principal and interest by the United States or
those for which the faith of the United States is pledged for the payment of
principal and interest thereon, by interpretation or otherwise and not by
language appearing in the instrument specifically providing such guarantee or
pledge; (3) Bonds and other
obligations of this state; (4) Bonds and other
obligations of any county, township, school district, municipal corporation, or
other legally constituted taxing subdivision of this state, which is not at the
time of such deposit, in default in the payment of principal or interest on any
of its bonds or other obligations, for which the full faith and credit of the
issuing subdivision is pledged. (B) Any such securities offered for
deposit must be registered to the owner with an attached assignment to the
treasurer of state or an attached assignment to the Ohio department of job and
family services. (C) Reimbursing employers, or a group of
such employers, may substitute one or more approved bonds, or securities, or
other forms of approved collateral security, for one or more approved bonds, or
securities, or other forms of approved collateral security on deposit. Approved
municipal and other bonds shall be maintained at no less than market value
equal to the bonding amount, or, where surety bond has also been submitted,
equal to the bonding amount less the amount of such surety bond. When the
director finds that the market value of such bond is less than that required,
he shall order the same to be made whole by determination issued to the
employer or to each affected member of a group of employers.
Last updated October 12, 2023 at 12:19 PM
|
Rule 4141-37-09 | Failure to comply with determination on surety bond or deposit.
A reimbursing employer's election to make payments in lieu of contributions shall be terminated if such employer fails to comply with: (A) Any determination of the director increasing the bonding amount or requiring restoration of the unobligated security of an account; or (B) Any determination of the director ordering that the market value of approved municipal or other bonds, or approved securities, or other forms of collateral security approved by the director, be deposited. The termination of a reimbursing employer's election shall be effective beginning the first day of the calendar quarter following the employer's failure to comply with determinations provided in paragraph (A) or (B) of this rule.
Last updated October 12, 2023 at 12:19 PM
|
Rule 4141-37-10 | Group accounts.
(A) Two or more reimbursing employers may
file a joint application for the establishment of a group account. Such
application is to be on a form prescribed by the director. Such application
shall include: (1) Identification of the
name and reimbursing account number assigned by the department to each employer
desiring to participate in the group; (2) Identification of the
name of the group representative; (3) Authorization for
such group representative to act as the group's agent for the purposes of
division (D) of section 4141.241 of the Revised Code; (4) Signature of an
authorized official of each employer joining in the application; (5) Signature of the
group representative or an authorized official of such representative,
accepting such agency; and (6) The application must
be accompanied by a copy of the resolution by the board of directors, trustees,
or other governing body, however denominated, of each applicant organization,
authorizing the filing of the application to become a member of such group and
having such authorized representative. (B) The application may be on one form or
on separate forms as long as each applicant identifies its own name and
reimbursing account number, satisfies the other requirements hereof, and
clearly identifies the group for which application is being made. (C) After review of the application for
group account, the director shall issue a determination establishing the
account, or disapproving the application in part or in its entirety. Such
determination shall be issued to all employers requesting membership in the
group. If established, the determination shall list the members of the group
and state the effective date of the group account. If the determination
disapproves the application in part, written consent thereafter furnished by
all applicants approved for group membership shall be the basis for the
director to approve the application, as revised, as that of a group for the
members that have been approved and the director shall issue a determination as
in the establishment of a group account. Where such written consent is not
furnished by each member of the group, the entire application shall be
disapproved. (D) After any such approval, the group
representative shall be notified of the establishment of the account, the
effective date, and names of the members thereof. (E) No group account shall become
effective until after a surety bond, deposit of approved municipal or other
bonds, approved securities, or a combination thereof, or other forms of
collateral security approved by the director, equal to the bonding amount, has
been furnished.
|
Rule 4141-37-11 | Changes in and termination of group account.
(A) During the first two years after a
group account is established, a member of the group may request withdrawal from
the group by providing a copy of the resolution of the board of directors,
trustees, or other governing body of such member, however denominated,
approving such action and the written consent of each active member of the
group to the withdrawal of the applicant. Consent authority may be delegated to
the group representative by all of the group members filing a power of attorney
authorization for this purpose with the group representative and the
department. The director shall approve or disapprove such request and issue
appropriate determination, including the effective date on which such request,
if granted, shall become effective provided that no withdrawal shall be
permitted when approval thereof would result in less than two members remaining
in the group, and provided further that, in no event, shall such member
withdraw from the group until a new or amended group surety bond, new pledge of
a group deposit of approved municipal or other bonds, or approved securities or
a combination thereof, or other forms of collateral security approved by the
director, or other appropriate changes have been made with respect to security
of the account. (B) After a group account has remained in
effect for two years, any member of the group may request withdrawal by
providing a copy of the resolution of the board of directors, trustees, or
other governing body of such member, however denominated, approving such action
and evidence that all other members have been informed of such filing. The
director shall approve or disapprove such request and issue appropriate
determination, including the effective date as of which such request, if
granted, shall become effective, provided that no member shall withdraw from
the group until a new or amended group surety bond, new pledge of a group
deposit of approved municipal or other bonds, approved securities, or a
combination thereof, or other forms of collateral security approved by the
director, or other appropriate changes have been made with respect to security
of the account, and provided further that where any withdrawal results in less
than two members remaining in the group, the director may terminate the group
account by issuing an appropriate determination. (C) A group account may be terminated by
request filed at any time after such account has remained in effect for two
years. Such request must be signed by an authorized official of each member and
must have attached to it a copy of the resolution of the board of directors,
trustees, or other governing body of each member, however denominated,
authorizing such termination. If approved, the director shall prescribe in such
determination the date, as of the end of a calendar quarter, after which no
further charges to the group account shall be made. Thereafter, the account of
the group shall be terminated as of the date on which all group billings have
been paid in full. (D) A reimbursing employer desiring to
join an existing group shall file an application for membership therein in the
manner and form prescribed for the establishment of a group and shall submit
the written consent of each active member of the group to the addition thereto
of such applicant. Consent authority may be delegated to the group
representative by all of the group members filing a power of attorney
authorization for this purpose with the group representative and the
department. The director shall approve or disapprove such application and issue
appropriate determination, including the beginning of the calendar quarter as
of which date such application, if approved, is effective, and including
further any required change in the bonding amount, provided however that the
new member shall not become an active member of such group until a new or
revised surety bond, or deposit of approved municipal or other bonds, approved
securities, or a combination thereof, or other forms of collateral security
approved by the director, has been furnished equal to the bonding
amount. (E) If the group representative fails to
pay, when due, any bill issued to it, separate bills shall be prepared and
issued to each member of the group, pursuant to division (D)(3) of section
4141.241 of the Revised Code. In such event, failure to pay promptly in full
all such individual billings, together with any applicable interest or
forfeiture, shall be cause for termination of the group account. In addition,
failure to comply with any determination increasing the group bonding amount,
or ordering the market value of a deposit of approved municipal or other bonds
to be made whole within thirty days of the mailing of such determination, shall
be cause for termination of the group account. The director shall terminate the
group account by determination prescribing that charges to such account shall
cease to be made as of the end of the calendar quarter in which such
determination is issued. Thereafter the group account shall terminate as of the
date on which all billings outstanding against such account shall have been
paid in full, together with any applicable interest or forfeiture. (F) Termination of a group account, for
whatever reason, does not excuse any employer from liability on account of
charges for benefits paid after the date on which charges cease to be made to
the group account. After collecting unpaid amounts charged to a group account
from all available security of such account, the director may transfer amounts
remaining unpaid to the reimbursing account or accounts of the employer or
employers in default, in which event the group account shall be
terminated.
|
Rule 4141-37-12 | Group bond.
Effective:
October 1, 2021
(A) The following methods may be used to
satisfy the bonding amount for a group account: (1) A surety bond, in the
bonding amount for the group, naming each member of the group as
principal; (2) A deposit of approved
municipal or other bonds, in the bonding amount for the group; or (3) Any combination of surety bond and
deposit of approved municipal or other bonds, in the bonding amount for the
group, that meets the requirements of paragraphs (A)(1) and (A)(2) of this
rule. (B) The following additional methods may
also be used with regard to bonding for a group account: (1) A separate surety
bond for each member of the group, naming such member as principal and securing
its obligation as a member of a group, in the amount of such reimbursing
employer's bonding amount, such bonding amount as determined without
respect to such member's membership in a group; (2) A deposit of approved
municipal or other bonds, or approved securities, or other forms of collateral
security approved by the director, by each member of the group, pledged for its
separate liability as a member of the group, equal to the bonding amount of a
reimbursing employer, as determined without respect to such member's
membership in a group; or (3) Any combination of
surety bond and deposit of approved municipal or other bonds, or approved
securities, or other forms of collateral security approved by the director, in
the bonding amount of each member of the group, as determined without respect
to such member's membership in a group, that meets the requirements of
paragraphs (B)(1) and (B)(2) of this rule.
Last updated February 24, 2022 at 3:59 PM
|
