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U.S. DEPARTMENT OF LABOR
Employment and Training Administration
Washington, D. C. 20210

CLASSIFICATION

UI

CORRESPONDENCE SYMBOL

TEURA

ISSUE DATE

April 27, 1998

RESCISSIONS

None

EXPIRATION DATE

April 30, 1999

DIRECTIVE

:

UNEMPLOYMENT INSURANCE PROGRAM LETTER NO. 24-98

 

TO

:

ALL STATE EMPLOYMENT SECURITY AGENCIES

 

FROM

:

GRACE A. KILBANE
Director
Unemployment Insurance Service

 

SUBJECT

:

Comparative Data on FUTA Receipts and Amounts Returned to States

 

  1. Purpose. To provide tables for Fiscal Years (FY) 1981-96 showing estimated Federal Unemployment Tax Act (FUTA) payments made by employers of each State and the amounts returned to the States for program administration and benefit payments. Totals for FY 1981-96 are also included.

  2. References. UIPL 30-95, and Changes 1 through 4.

  3. Background. There has been considerable interest among State Employment Security Agencies (SESAs) in seeing FUTA payments made by employers of each State compared to amounts returned to the States in past years. This UIPL provides these data for fiscal years 1981 through 1996, including a table which provides cumulative totals for the same period.

    The tables which display the data for fiscal years 1981 through 1987 have been revised from UIPL 30-95 to reflect a quantification of the General Fund repayments over the period. These repayments were made to repay general revenue loans for Federal benefits paid prior to FY 1981. The &quoqt;Implied Net FUTA" column was added to reflect Total Estimated FUTA, net of these General Fund Repayments. Data for FY 1988-95 has not changed from previous issuances.

    When comparing FUTA receipts and amounts returned, it is important to note that postage costs and National Activities expenditures (approximately $ 2.3 billion for the FY 1981-96 period) are not reflected in the State data, which effectively reduces the apparent proportion of FUTA receipts returned to States.

  4. Action Required. Please distribute to appropriate staff.

  5. Inquiries. Direct inquiries to the appropriate Regional Office. Data may be obtained on diskette by contacting Mike Miller of the National Office at 202-219-9297.

  6. Attachment.