S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5718
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 20, 2025
                                ___________
 
 Introduced by M. of A. GIGLIO -- read once and referred to the Committee
   on Labor
 
 AN ACT to amend the labor law, in relation to providing a credit against
   unemployment  fund  contributions  for employers who employ persons in
   recovery
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Subdivision 5 of section 570 of the labor law, as amended
 by chapter 595 of the laws of 1985, is amended to read as follows:
   5. Refunds and credits. (A) If an employer shall make application  for
 a  refund  of  any contribution, interest, or penalty paid by [him] SUCH
 EMPLOYER or for a credit thereof and the  commissioner  shall  determine
 that  such contribution, interest or penalty, or any portion thereof was
 erroneously collected, the commissioner  shall  refund  said  amount  or
 allow  a  credit  therefor.  If  said  refund was created as a result of
 departmental error then the commissioner  shall  pay  said  refund  with
 interest  paid  at  the  rate  of three-fourths of one per centum of the
 amount of such contribution, interest and penalty for each month between
 the time of the erroneous collection and thirty  days  previous  to  the
 date  of  the refund check, as specified in this subdivision, unless the
 employer shall have already  deducted  said  amount  by  way  of  credit
 against  moneys  payable by [him] SUCH EMPLOYER into the fund. No refund
 or credit shall be allowed unless an application therefor shall be  made
 on  or before whichever of the following dates shall be the later: [(a)]
 (I) one year from the date on which such payment was made; or [(b)] (II)
 three years from the last day of the first month following  the  end  of
 that  calendar  quarter  during  which  the  remuneration was paid which
 formed the basis for contributions, interest, or penalty claimed to have
 been erroneously collected. For a like cause and within the same  period
 a  refund  may  be  so made or a credit allowed on the initiative of the
 commissioner. Any credit or refund of interest and penalties erroneously
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD04406-01-5
              

 A. 5718                             2
 
 collected, any interest on such credit or refund, and  any  interest  on
 contributions,  interest and penalties erroneously collected, allowed by
 the commissioner under the  foregoing  conditions,  shall  be  a  charge
 against  the  special  fund. Any credit or refund of contributions erro-
 neously collected, allowed  by  the  commissioner  under  the  foregoing
 conditions, shall be a charge against the unemployment insurance fund.
   (B)  AN  EMPLOYER  SHALL RECEIVE A CREDIT AGAINST THE CONTRIBUTION DUE
 PURSUANT TO THIS SECTION FOR ANY EMPLOYEE WHO IS IN A  RECOVERY  PROGRAM
 THROUGH  THE OFFICE OF ADDICTION SERVICES AND SUPPORTS AND FOR THE FIRST
 FIVE YEARS OF EMPLOYMENT OF AN EMPLOYEE WHO  HAS  COMPLETED  A  RECOVERY
 PROGRAM THROUGH SUCH OFFICE. THE AMOUNT OF SUCH CREDIT SHALL BE:
   (I) TWENTY-FIVE PERCENT OF THE EMPLOYER'S REQUIRED CONTRIBUTION PURSU-
 ANT  TO THIS SECTION FOR WAGES EARNED BY ANY EMPLOYEE WHO IS PARTICIPAT-
 ING IN SUCH A RECOVERY PROGRAM  FOR  THE  DURATION  OF  SUCH  EMPLOYEE'S
 PARTICIPATION IN SUCH PROGRAM;
   (II) FIFTY PERCENT OF THE EMPLOYER'S REQUIRED CONTRIBUTION PURSUANT TO
 THIS  SECTION  FOR  WAGES  EARNED  BY  ANY EMPLOYEE WHO HAS SUCCESSFULLY
 COMPLETED SUCH A RECOVERY PROGRAM FOR THE FIRST TWO YEARS OF  EMPLOYMENT
 FOLLOWING COMPLETION OF SUCH PROGRAM;
   (III)  TWENTY-FIVE  PERCENT  OF  THE  EMPLOYER'S REQUIRED CONTRIBUTION
 PURSUANT TO THIS SECTION FOR  WAGES  EARNED  BY  ANY  EMPLOYEE  WHO  HAS
 SUCCESSFULLY  COMPLETED SUCH A RECOVERY PROGRAM FOR THE THIRD AND FOURTH
 YEARS OF EMPLOYMENT FOLLOWING COMPLETION OF SUCH PROGRAM; AND
   (IV) TEN PERCENT OF THE EMPLOYER'S REQUIRED CONTRIBUTION  PURSUANT  TO
 THIS  SECTION  FOR  WAGES  EARNED  BY  ANY EMPLOYEE WHO HAS SUCCESSFULLY
 COMPLETED SUCH A RECOVERY PROGRAM  FOR  THE  FIFTH  YEAR  OF  EMPLOYMENT
 FOLLOWING COMPLETION OF SUCH PROGRAM.
   (C)  Nothing contained in this subdivision shall require or permit the
 refund  or  credit  of  any  contributions due and payable under article
 eighteen of this chapter as in effect at  the  time  such  contributions
 were paid.
   §  2.  This  act  shall take effect immediately and shall apply to all
 taxable years beginning after the thirty-first day of  December  of  the
 year this act takes effect.