Sec. 31-261. Unemployment Compensation Fund. Payment of administrative expenses.
               	 		
      Sec. 31-261. Unemployment Compensation Fund. Payment of administrative 
expenses. (a) There is created in the State Treasury a special segregated fund to be 
known as the Unemployment Compensation Fund. Said fund shall consist of all contributions and moneys paid into or received by it for the payment of unemployment compensation benefits, of any property or securities acquired from the use of moneys belonging to the fund, all interest earned thereon, all money credited to this state's account in 
the Unemployment Trust Fund established by Section 904 of the Social Security Act 
pursuant to Section 903 of the Social Security Act, as amended, and all money received 
for the fund from any other source. All moneys in said fund shall be expended solely 
for the payment of benefits and refunds provided for by this chapter, exclusive of the 
expenses of administration, except that money credited to the account of this state in 
the Unemployment Trust Fund by the Secretary of the Treasury of the United States 
pursuant to Section 903 of the Social Security Act, as amended, may be requisitioned 
and used for the payment of expenses incurred for the administration of this chapter 
pursuant to a specific appropriation by the General Assembly, provided the expenses 
are incurred and the money is requisitioned after the enactment of an appropriation act 
which (1) specifies the purposes for which such money is appropriated and the amounts 
appropriated therefor, (2) limits the period within which such money may be obligated 
to a period ending not more than two years after the date of the enactment of such act, 
and (3) limits the amount which may be used during a twelve-month period beginning 
on July first and ending on the next June thirtieth to an amount which does not exceed 
the amount by which (A) the aggregate of the amounts credited to the account of this 
state pursuant to Section 903 of the Social Security Act, as amended, during the same 
twelve-month period and the twenty-four preceding twelve-month periods exceeds (B) 
the aggregate of the amounts used pursuant to this subdivision and charged against the 
amounts credited to the account of this state during any of such twenty-five twelve-month periods. For the purposes of this subdivision, amounts used during any such 
twelve-month period shall be charged against equivalent amounts which were first credited and which are not already so charged, except that no amount used for administration 
during any such twelve-month period may be charged against any amount credited 
during such a twelve-month period earlier than the twenty-fourth preceding such period. 
Money credited to the account of this state pursuant to Section 903 of the Social Security 
Act, as amended, may not be withdrawn or used except for the payment of benefits 
and for the payment of expenses for the administration of this chapter and of public 
employment offices pursuant to this subsection. Money requisitioned for the payment 
of expense of administration pursuant to this subsection shall be deposited in the Employment Security Administration Fund, but, until expended, shall remain a part of the 
Unemployment Compensation Fund. The administrator shall maintain a separate record 
of the deposit, obligation, expenditure and return of funds so deposited. If any money 
so deposited is, for any reason, not to be obligated for the purpose for which it was 
appropriated, or if it remains unobligated at the end of the period specified by the law 
appropriating such money, or if any money which has been obligated within the period 
will not be expended, it shall be withdrawn and returned to the Secretary of the Treasury 
of the United States for credit to this state's account in the Unemployment Trust Fund. 
The State Treasurer shall be liable on his official bond for the faithful performance of 
his duties in connection with the Unemployment Compensation Fund. All sums recovered on any surety bond for losses sustained by the Unemployment Compensation Fund 
shall be deposited in said fund.
      (b) Notwithstanding the provisions of subsection (a) of this section, money credited 
to the account of this state pursuant to Section 903 of the Social Security Act, as amended, 
with respect to the federal fiscal years 1999, 2000 and 2001, shall be used solely for the 
payment of expenses incurred for the administration of this chapter, and such money 
shall not otherwise be subject to the provisions of subsection (a) of this section.
      (1949 Rev., S. 7531; 1957, P.A. 596, S. 8; 1961, P.A. 325, S. 1; 1969, P.A. 585; P.A. 73-289, S. 8, 10; P.A. 75-525, S. 
12, 13; June Sp. Sess. P.A. 00-2, S. 27, 53.)
      History: 1961 act abolished separate contribution and benefit accounts in fund; 1969 act changed periods of aggregate 
amounts referred to in Subparas. (1) and (2) from four and five twelve-month periods to fourteen and fifteen twelve-month 
periods, respectively; P.A. 73-289 increased periods to twenty-four and twenty-five twelve-month periods; P.A. 75-525 
prohibited charging against amounts credited earlier than the twenty-fourth, rather than fourth, preceding period; June Sp. 
Sess. P.A. 00-2 designated existing provisions as Subsec. (a), making technical changes therein, and added new Subsec. 
(b) re use of federal unemployment compensation money solely for expenses incurred for administration of chapter, 
effective July 1, 2000.
      See Sec. 31-232j re payment of extended benefits from Unemployment Compensation Fund.
      See Sec. 31-264 re management of Unemployment Trust Fund moneys upon discontinuance of or changes in fund.
      Cited. 175 C. 269.