NY Lab L § 566 (2021)
2021 New York Laws LAB - Labor Article 18 - Unemployment Insurance Law Title 5 - Coverage 566 - Indian Tribes.

§  566. Indian tribes. 1. Definitions. (a) Indian tribe shall mean any Indian tribe, subdivision,  subsidiary  or  business  enterprise  wholly owned by such Indian tribe, as defined in section 3306(u) of the federal unemployment tax act (FUTA).  (b)  The  term "employer" as defined under section five hundred twelve of this article shall include any Indian  tribe  for  which  service  in employment as defined under this article is performed.  (c) The term "employment" as defined under section five hundred eleven of  this  article  shall  include  service performed in the employ of an Indian tribe provided such service  is  excluded  from  "employment"  as defined in FUTA solely by reason of section 3306(c)(7), FUTA, and is not otherwise excluded from "employment" under this article. For purposes of this  section,  the  exclusions  from  employment  in subdivision two of section five hundred sixty-five of this article shall be  applicable  to services performed in the employ of an Indian tribe.   2.  Benefits  based  on  service in employment defined in this section shall be payable in the same amount, on the same terms  and  subject  to the  same  conditions  as benefits payable on the basis of other service subject to this article.   3. Coverage. An Indian tribe shall be liable for  contributions  under this   article  unless  it  becomes  liable  for  payments  in  lieu  of contributions.   4. Election of payments in lieu of contributions.  (a)  Indian  tribes liable  for  contributions under this article may elect to become liable for payments in lieu of contributions in the same manner and  under  the same  conditions  as provided in section five hundred sixty-five of this article except as otherwise provided in this section. Indian tribes  may make  separate elections for itself and each subdivision, subsidiary, or business enterprise wholly owned by such Indian tribe.  (b) An Indian tribe which has elected to become liable for payments in lieu of contributions shall pay into the fund an  amount  equal  to  the amount  of  benefits  paid  to  claimants  and charged to its employer's account  in  accordance  with  the  provisions  of  paragraph   (e)   of subdivision  one  of  section five hundred eighty-one of this article on the basis of remuneration paid on  or  after  the  date  on  which  such liability  became effective. The amount of payments so required shall be determined by the commissioner as soon as practicable after the  end  of each  calendar quarter or any other period. Such amount shall be payable quarterly or at such times and in such manner as the commissioner  shall prescribe  and,  when  paid, the employer's account of the Indian tribes shall be discharged accordingly.  (c) If an Indian tribe elects payments in lieu of contributions  as  a group,  the  members  of the group shall be severally and jointly liable for payments of amounts  equal  to  the  amounts  of  benefits  paid  to claimants  and  charged to the employer's accounts of all members of the group. The commissioner may prescribe conditions and  methods  for  such group   elections   and   for  the  discharge  of  the  obligations  and responsibilities of the group and its members.  Such  request  shall  be made  in  accordance  with  the  provisions  of  paragraph  (a)  of this subdivision.  (d) Any Indian tribe that elects to become liable for payments in lieu of contributions shall, within ninety days of the approval date  of  its election,  execute and file with the commissioner a surety bond approved by the commissioner as to  amount  and  form.  Such  surety  bond  shall continue  in  effect  during  periods covering such election, but may be revised annually as  to  amount  and  form  at  the  discretion  of  the commissioner.    5.  Termination  of  election.  (a)  An Indian tribe may terminate its election to become liable for payments in lieu of  contributions  as  of the  first  day  of any calendar year by filing a written notice to this effect with the commissioner before the beginning of such year.  (b)  If such election is terminated by an Indian tribe or cancelled by the commissioner, the Indian tribe shall remain liable for  payments  in lieu  of  contributions  with  respect  to  all  benefits charged to its account on the basis of remuneration paid before the date on which  such termination or cancellation took effect.  (c)  Failure  of  an Indian tribe to make required payments, including assessments of interest and penalty, within ninety days  of  receipt  of the  notice  of  delinquency,  will  cause  the Indian tribe to lose the option to make payments  in  lieu  of  contributions,  as  described  in subdivision four of this section, for the following calendar year unless payment  in  full  is received before the computation date preceding the following calendar year.  (d) Any Indian tribe that loses the option to make payments in lieu of contributions due  to  late  payment  or  nonpayment,  as  described  in paragraph (c) of this subdivision, may request such option be reinstated prospectively  by  the commissioner, if all contributions have been made timely, provided no contributions, payments in lieu of contributions for benefits paid, penalties or interest are outstanding. Such request shall be  made  in  accordance  with  the  provisions  of  paragraph  (a)   of subdivision four of this section.   6. Termination of coverage. (a) If, within ninety days of receipt of a notice   of   delinquency,  an  Indian  tribe  fails  to  make  required contributions, payments in lieu of contributions, payments of  penalties or  interest  under  this  article  or fails to post a payment bond, and after all collection activities deemed  necessary  by  the  commissioner have  been  exhausted, the commissioner may cause services performed for such tribe to not be treated as "employment" for purposes of subdivision one of this section. Such termination of coverage shall be effective  on the  first  day  of the quarter following the quarter in which notice of termination was mailed.  (b) The commissioner may determine that an  Indian  tribe  that  loses coverage  under  paragraph  (a)  of  this subdivision, may have services performed for such tribe again included as "employment" for purposes  of subdivision  one  of this section if all contributions, payments in lieu of contributions, penalties and interest have been paid.  Such  coverage shall  begin  as  of the quarter following the calendar quarter in which all contributions, payments in lieu of contributions and  interest  have been paid.   7.  Notices  of  payment and reporting delinquency to Indian tribes or their tribal units shall include information that failure to  make  full payment within the prescribed time frame:  (a) will cause the Indian tribe to be liable for taxes under FUTA;  (b) will cause the Indian tribe to lose the option to make payments in lieu of contributions;  (c) could cause the Indian tribe to be exempted from the definition of "employer", as provided in subdivision one of this section, and services in  the  employ  of  the Indian tribe, as provided in subdivision two of this section, to be exempted from "employment".   8. Joint accounts. Any two or more Indian  tribes  may  form  a  joint account  by  complying  with  rules  and  regulations  prescribed by the commissioner for the establishment, maintenance and dissolution of  such accounts.   9. Assessment and collection of payments in lieu of contributions. The amount  of  payments  in lieu of contributions due hereunder from Indian  tribes but not paid upon notice shall be assessed and collected  by  the commissioner,  together with interest and penalties, if any, in the same manner and subject to the same conditions under which contributions  due from  other  employers may be assessed and collected under provisions of this article.   10. Extended benefits paid that are attributable  to  service  in  the employ  of  an Indian tribe and not reimbursed by the federal government shall be financed in their entirety by such Indian tribe.   11. If an Indian tribe fails to  make  payments  required  under  this section  (including  assessments  of interest and penalty) within ninety days of a final notice of delinquency, the commissioner will immediately notify the United States internal revenue service and the United  States department of labor.