2005 Idaho Code - 72-1347B — WORKFORCE DEVELOPMENT TRAINING FUND

                                  TITLE  72
                      WORKER'S COMPENSATION AND RELATED
                        LAWS -- INDUSTRIAL COMMISSION
                                  CHAPTER 13
                           EMPLOYMENT SECURITY LAW
    72-1347B.  WORKFORCE DEVELOPMENT TRAINING FUND. (1) There is established
in the state treasury a special trust fund, separate and apart from all other
public funds of this state, to be known as the workforce development training
fund, hereinafter "training fund."  Except as provided herein, all proceeds
from the training tax defined in subsection (4) of this section shall be paid
into the training fund. The state treasurer shall be the custodian of the
training fund and shall invest said moneys in accordance with law. Any
interest earned on the moneys in the training fund shall be deposited in the
training fund. Moneys in the training fund shall be disbursed in accordance
with the directions of the director. In any month when the unencumbered
balance in the training fund exceeds six million dollars ($6,000,000), the
excess amount over six million dollars ($6,000,000) shall be transferred to
the employment security reserve fund, section 72-1347A, Idaho Code. For the
purposes of this subsection (1), the unencumbered balance in the training fund
is the balance in such fund reduced by the sum of:
    (a)  The amounts that have been obligated pursuant to fully-executed
    workforce development training fund contracts;
    (b)  The amounts that have been obligated pursuant to letters of intent
    for proposed job training projects; and
    (c)  Any administrative costs related to the training fund that are due
    and payable.
    (2)  All moneys in the training fund are perpetually appropriated to the
director for expenditure in accordance with the provisions of this section.
The purpose of the training fund is to provide or expand training and
retraining opportunities in an expeditious manner that would not otherwise
exist for Idaho's workforce. The training fund is intended to supplement, but
not to supplant or compete with, money available through existing training
programs. The moneys in the training fund shall be used for the following
purposes:
    (a)  To provide training for skills necessary for specific economic
    opportunities and industrial expansion initiatives;
    (b)  To provide training to upgrade the skills of currently employed
    workers at risk of being permanently laid off;
    (c)  For refunds of training taxes erroneously collected and deposited in
    the workforce training fund;
    (d)  For all administrative expenses incurred by the department associated
    with the collection of the training tax and any other administrative
    expenses associated with the training fund.
    (3)  Expenditures from the training fund for purposes authorized in
paragraphs (a) and (b) of subsection (2) of this section shall be approved by
the director in consultation with  the office of the governor, based on
procedures, criteria and performance measures established by the council
appointed pursuant to section 72-1336, Idaho Code. The activities funded  by
the training fund will be coordinated with similar activities funded by the
state division of professional-technical education. Expenditures from the
training fund for purposes authorized in paragraphs (c) and (d) of subsection
(2) of this section shall be approved by the director. The director shall pay
all approved expenditures as long as the training fund has a positive balance.
The council shall report annually to the governor and the joint
finance-appropriations committee the commitments and expenditures made from
the training fund in the preceding fiscal year and the results of the
activities funded by the training fund.
    (4)  A training tax is hereby imposed on all covered employers required to
pay contributions pursuant to section 72-1350, Idaho Code, with the exception
of deficit employers who have been assigned a taxable wage rate from rate
class six pursuant to section 72-1350, Idaho Code. The training tax rate shall
be equal to three percent (3%) of the taxable wage rate then in effect for
each eligible, standard-rated and deficit employer. The training tax shall be
due and payable at the same time and in the same manner as contributions. This
subsection is repealed effective January 1, 20012 [2012], unless, prior to
that date, the Idaho legislature approves the continuation of this subsection
by repeal of this sunset clause.
    (5)  The provisions of this chapter which apply to the payment and
collection of contributions also apply to the payment and collection of the
training tax, including the same calculations, assessments, method of payment,
penalties, interest, costs, liens, injunctive relief, collection procedures
and refund procedures. In the administration of the provisions of this
section, the director is granted all rights, authority, and prerogatives
granted under the provisions of this chapter. Moneys collected from an
employer delinquent in paying contributions, reserve taxes  and  the training
tax shall first be applied to any penalty and interest imposed pursuant to the
provisions of this chapter and shall then be applied pro rata to delinquent
contributions to the employment security fund, section 72-1346, Idaho Code,
delinquent reserve taxes to the reserve fund, section 72-1347A, Idaho Code,
and delinquent training taxes to the training fund. Any interest and penalties
collected pursuant to this subsection shall be paid into the state employment
security administrative and reimbursement fund, section 72-1348, Idaho Code,
and any interest or penalties refunded under this subsection shall be paid out
of that same fund. Training taxes paid pursuant to this section shall not be
credited to the employer's experience rating account and may not be deducted
by any employer from the wages of individuals in its employ. All training
taxes shall be deposited in the clearing account of the employment security
fund, section 72-1346, Idaho Code, for clearance only and shall not become
part of such fund. After clearance, the moneys shall be deposited in the
training fund established in subsection (1) of this section.
    (6)  Administrative costs related to the training fund shall be paid from
the training fund in accordance with subsection (3) of this section.