On Aug. 1, the state sent out special assessment bills to employers for interest due on $810 million in federal funds that Connecticut borrowed six years ago to pay unemployment insurance benefits during the recession. This year’s special assessment is $3 per full-time employee–less than half of the $7.50 that was assessed last year. However, Connecticut still owes Uncle Sam $102 million. State Department of Labor officials now predict this debt will be retired by November 2016. Federal law does not allow the interest to be paid from funds employers pay into the state’s UI Trust Fund, so state law provides for a separate billing to collect the funds needed to pay interest charges. Employers from Connecticut and many other states have been paying this assessment since 2011. The notices were dated August 1, and employers have 30 days from that date to make payment in order to avoid an interest charge. Those that do not make full payment within 60 days will be subject to a fine.
For more information, contact the Chamber at 860.423.6389