Previously, Leadership Briefing reported that the state may be required to begin paying interest in September on $2 billion borrowed against federal unemployment funds. Employers are ultimately responsible to help rebuild the state’s unemployment insurance fund balance. The OMA supported federal legislation to provide flexibility to states on repayment.
This week, the Ohio General Assembly included an eleventh hour amendment to the state budget to transfer $104 million earmarked for anti-tobacco programs to a newly-created Unemployment Compensation Contingency Fund to defray interest costs potentially owed to the federal government. This is intended to ease the burden on Ohio employers.