Utah Code
Title 35A Utah Workforce Services Code
Chapter 4 Employment Security Act
Section 506 Special Administrative Expense Fund.


     35A-4-506.   Special Administrative Expense Fund.
     (1) There is created in the General Fund a restricted account known as the Special Administrative Expense Fund.
     (2) (a) All interest and penalties collected under this chapter, less refunds made under Subsection 35A-4-306(5), shall be paid into this fund from the clearing account of the fund at the end of each calendar month.
     (b) Any voluntary contributions tendered as a contribution to this fund and any other moneys received for that purpose shall be paid into this fund.
     (c) The moneys shall not be expended or available for expenditure in any manner that would permit their substitution for, or a corresponding reduction in, federal funds that would in the absence of those moneys be available to finance expenditures for the administration of this chapter.
     (3) Nothing in this section shall prevent those moneys from being used as a revolving fund to cover expenditures, necessary and proper under this chapter, for which federal funds have been duly requested but not yet received subject to the charging of those expenditures against the funds when received.
     (4) The moneys in this fund shall be deposited, administered, and dispersed in accordance with the directions of the Legislature.
     (5) The moneys shall be used for the payment of costs of administration that are found not to have been properly and validly chargeable against federal grants or other funds received for or in the Employment Security Administration Fund, and may be used for the payment of refunds of interest and penalties under Subsection 35A-4-306(5). The moneys shall be available either to satisfy the obligations incurred by the division directly or by requesting the state treasurer to transfer the required amounts from the Special Administrative Expense Fund to the Employment Security Administration Fund.
     (6) The moneys in this fund are hereby specifically made available to replace within a reasonable time any moneys received by this state under Section 302 of the Federal Social Security Act, 42 U.S.C. 502, as amended, that because of any action of contingency have been lost or have been expended for purposes other than or in amounts in excess of those necessary for the proper administration of this chapter.
     (7) The moneys in this fund shall be continuously available to the division for expenditure in accordance with this section and shall not lapse at any time or be transferred to any other fund except as directed by the Legislature.
     (8) The state treasurer shall pay all warrants drawn upon it by the division or its duly authorized agent in accordance with such rules as the department shall prescribe.
     (9) The state treasurer shall be liable on the state treasurer's official bond for the faithful performance of the treasurer's duties in connection with the special administrative expense fund provided for under this chapter. Liability on the official bond shall exist in addition to any liability upon any separate bond existent on the effective date of this provision or that may be given in the future. All sums recovered on any surety bond losses sustained by the special administrative expense fund shall be deposited in that fund or in the General Fund if so directed by the Legislature.

Amended by Chapter 375, 1997 General Session
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