SELF- INSURED SCHOOLS OF CALIFORNIA
Schools
Helping
Schools
Aprii 8, 2013
TO:
District Superintendents of Kern County School Districts
FROM:
Nick G. Kouklis, Chief Executive Officer
Self- Insured Schools of California
SUBJECT:
2013- 2014 Unemployment Insurance ( UI) Contribution Rate
and Local
Experience Charge ( LEC)
Information showing your district's 2013- 2014 Unemployment Insurance Contribution Rate
and Local Experience Charge is
enclosed.
Both the contribution rate and local experience
charges are set by Schools Empfoyees Fund which is administered by the Employment
Development Department ( EbD).
district' s
The enclosed information should be used to prepare your
2013- 2014 tentative and final budgets.
Rate for the upcomin,g fiscal year has had
0. 05% for the 2013- 2014 fiscal year.
We are pleased to report that the UI Tax
a significant reduction
from 1. 10% of payroll to
Although the UI tax rate is identical for all districts, the Local Experience Charge ( LEC rate),
which
each
is similar to an experience modification factor, varies from 0% to 5% according to
district' s Unemployment Insurance reserve ratio. The reserve ratio and LEC rate are .
shown on your
district' s EDD form DE56.
The
ocal Experience Charge is billed directly from
EDD as a separate expense each quarter.
If you have any questions regarding your UI rate or LEC, please contact Carmen Gonzales
at
the SISC
office.
Carmen Gonzales may be
reached at (
661) 636- 4416 or at
caaonzalesC kern. org
C:
District Business Official
DiStrict UI Contact
Priscilla Quinn, Director, District
inancial Services, Kern County Supt of Schools
NGK: cg
Enc.
Bakersfield, CA 93303- 1 84 7
P. Q Box 1847
1300 17th Street- CITY CENTRE
Bakers field, CA (
A Joirrt Pow ers Authority administered by the Kern Courrty Superirrtenderrt
of
http:// www.kern. org/sisc/ `
661) 636- 4710'
FAX( 661) 636- 4156
Schools OFfice, Christine Lizardi Frazier, Superintendent
1
E
EDD
Employment
Development
EDD D e pa r t m e n t
Po sox s2ss8o, MIC 13
SACRAMENTO, CA 95814-0001/(
916) 653- 5380
Statof
California
Letter ID:
Issued Date:
March 31, 2013
942-
Acoount ID:
ATTN: SELF- INSURED SCHOOLS OF CA( SISC)
SCHOOL DISTRICT
Sp.MPLE
PO BOX 1808
BAKERSFIELD CA 93303- 1808
IMPORTANT NOTICE
Notice
Unemployment Insurance( UI)
of
Contribution Rate
This is not a bill. do not oav Lhjs amount.
Local Experience Charge
artd
This is to inform you of yQUC Unemployment
Insurance( UI) Contribution Rate and Locai
rience Charge( LEC) Rate for the fiscal
LEC) Rate Statement for School Employess
Fund Participar ts for Fiscal Ysar: 2013/ 2014
Your UI
0.05 6
CoMribution
Your LEC Rate
10
0. 5,
Alt School Employee' s Wages
or
are
152)
Year shown above. The foliowing is a
breakdown of your UI axour f balance and the
factors used to calculate your LEC Rate.
YOUR UT ACCOUNT BALANCE IS NONREFUNDABLE.
Taxable Wages
or Unemploymer t Insurance.
1. Cumulative
reserve
2. UI Corrtributions
balance
paid
as of
from 7/ 1/ 11
3. LEC paid from 7/ 1/ 11
0. 00
6/30/ 11
0. 00
to6/30/ 12
to 6/30/ 12
0. 00
0. 00
by the SEF
4. Interest distributed
for positive reserve account employers only)
0. 00
TOTAL CREDITS
5.
6. UI benefitss charged to your accourrt from
7/ 1/ 11
0. 00
to 6/30/ 12
TOTAL CHARGES
7. New UI
account
balance
as of
6/30/ 12
0. 00
8. Reserve ra6o for LEC Ranking/ Rate
0. 00
line 7 divided by line 6)
LEC RANKING P ND PERCENTAGE MATRIX
Reserve Ratio
Rank
LEC Pen;entages
Negefive to < 1. 00
1
15%
1. 00
to < 2.00
2
p
2. 00
to < 3.00
3
5
3. 00
a
4
0%
4
0 96
more
o,r,
0
*
Unrated Acoounts-
no benefit charges with a positive accourrt balance
New SEF Accountsfor the first three compl
ed fiscal years.
10°
DE 56 Rev. 8( 6- 11)
PO BOX 826880, MIC 13, SACRAMENTO, CA 95814-0001
www•edd•ca•9ov
EXPLANATION OF THE NOTICE OF UNEMPLOYMENT INSURANCE CONTRIBUTION RATE
AND LOCAL EXPERIENCE CHARGE RATE STATEMENT FOR SCHOOL EMPLOYEES FUND
PARTICIPANTS ( DE 56)
The Notice
Unemployment Insurance( UI) Contribution
of
Participants( DE 56) informs you of
contribution rates for a Fiscal Year,
30.
It
also shows
the items
your
UI
July
1 through June
and
to determine
used
1.
Cumulative resenre balance- Shows the ending
balance in your UI reserve account as of June 30.
Rate and Local Experience Charge( LEC) Rate
Statement for School Employees Fund( SEF)
LEC
your
LEC
2, UI Contributions paid from- Shows the total of all UI
ntributions paid by you from July 1 through June
30.
rate and the balance in your UI reserve account as of
June 30.
3. LEC paid from- Shows the total of all LEC from July 1
through June 30.
MAIL DATE
This is the official mail date for this notice. Due to buik
some notices are mailed prior
mailing,
to this date.
distribution by the SEF- Shows the amount credited to
positive UI reserve accounts for interest earned on the
ACCOUNT NUMBER
This is the
number assigned
to
you when you registered
Department( EDD). This
number
is
assigned
to
you
for
UI only. Please refer to your employer account number
making inquires
about your account.
of
the California
Unemployment Insurance Code( CUIC) mandates the UI
contribution rate for the Fiscal Year, July 1 through June
have the
same
UI
contribution
LOCAL EXPERIENCE CHARGE RATE
Local Experience Charge( LEC)- of the GUIC Section
828 mandatesthe LEC rate for the Fiscal Year, July 1
through June 30. All SEF
participants are rated
annually.
Each SEF participant is responsible for a quarterly LEC,
costs
with
any
for benefits,
associated penames, as well as all
and reimbursement
for
charges shall
the noticce. If not
paid within the time required, the SEF participant shall
be delinquent 30 days from the date
pay
a
penalty
interest
at
the
of
10
percerrt of
through 4.
6• UI benefits charged to your Account- Shows the
amount of UI benefits paid to your former employees
from July 1 through June 30. This amount should
rate.
together
5. TOTAL CREDITS- Shows the total of all the items
through June 30. This amount is the total of items 2
UI Contribution Rate- Section 832
participants
eamings.
added to your Ul reserve account beginning Juy 1
CONTRIBUTION RATE
30. All SEF
SEF. Employers with a negative UI reserve account
balance do not receive a portion of these interest
the Employment Development
as an employer with
when
4. Section 827 of the CUIC mandates the i terest
the
of
unpaid amount, plus
adjusted annual rate established pursuant
agree with the amount shown on your School
Employee's Fund Employer Statement ofBenefd( DE
428F). These charges may also be as a result of a UI
reserve account transfer. For partial transfers, the
successor will not receive the DE 428F.
TOTAL CHARGES- Shows the total of all the items
subtracted from your UI reserve acxount beginning
July 1 through June 30.
7• New UI acoount balance- Shows your UI reserve
balance as of June 30.
to Section 1952 of the Revenue and Taxation Code from
and after
the date
The LEC
rate shall
of
delinquency
Previous Reserve Balance
Plus Total Credits
until paid.
complete
be 10 percent for the first three
fiscal years of participation in the SEF.
The LEC
rate
for the fourth fiscal
succeeding fiscal
year, shall
year, and each
be determined
by dividing
the reserve balance at the end of the fiscal year which
began 24 months prior to the fiscal year for which the
Line 1
Line 5
Minus Totaf Charqes
Line 6
New UT Account Balance
Line 7
8. Reserve ratio for LEC Ranking/ Rate- Shows your
reserve ratio.
Line 7 divided by Line 6.
rate is being calculated by the benefits paid ior that same
prior fiscal year.
Section 828( c) of the CUIC mandates the DE 56 is sent
to all SEF participants no later than March 31 of each
year.
DE 56 Rev. 8( 6- 11)
PO BOX 826880, MIC 13, SACRAMENTO, CA 958140001
www.edd. ca.gov