Social Security Act of 1935
TITLE III-GRANTS TO STATES FOR UNEMPLOYMENT COMPENSATION ADMINISTRATION
Appropriation
Payments to States
Provisions of State Laws
APPROPRIATION
SECTION 301. For the purpose of assisting the States in the administration of their unemployment compensation laws, there is hereby authorized to be appropriated, for the fiscal year ending June 30, 1936, the sum of $4,000,000, and for each fiscal year thereafter the sum of $49,000,000, to be used as hereinafter provided.
SEC. 302. (a) The Board shall from time to time certify to the Secretary
of the Treasury for payment to each State which has an unemployment
compensation law approved by the Board under Title IX, such amounts
as the Board determines to be necessary for the proper administration
of such law during the fiscal year in which such payment is to be made.
The Board s determination shall be based on
(1) the population of the State;
(2) an estimate of the number of persons covered by the State law and
of the cost of proper administration of such law; and
(3) such other factors as the Board finds relevant. The Board shall
not certify for payment under this section in any fiscal year a total
amount in excess of the amount appropriated therefor for such fiscal
year.
(b) Out of the sums appropriated therefor, the Secretary of the Treasury
shall, upon receiving a certification under subsection
(a), pay, through the Division of Disbursement of the Treasury Department
and prior to audit or settlement by the General Accounting Office, to
the State agency charged with the administration of such law the amount
so certified.
SEC. 303. (a) The Board shall make no certification for payment to
any State unless it finds that the law of such State, approved by the
Board under Title IX, includes provisions for-
(1) Such methods of administration (other than those relating to selection,
tenure of office, and compensation of personnel) as are found by the
Board to be reasonably calculated to insure full payment of unemployment
compensation when due; and
(2) Payment of unemployment compensation solely through public employment
offices in the State or such other agencies as the Board may approve;
and
(3) Opportunity for a fair hearing, before an impartial tribunal, for
all individuals whose claims for unemployment compensation are denied;
and
(4) The payment of all money received in the unemployment fund of such
State, immediately upon such receipt, to the Secretary of the Treasury
to the credit of the Unemployment Trust Fund established by section
904; and
(5) Expenditure of all money requisitioned by the State agency from
the Unemployment Trust Fund, in the payment of unemployment compensation,
exclusive of expenses of admin- istration; and
(6) The making of such reports, in such form and containing such information,
as the Board may from time to time require, and compliance with such
provisions as the Board may from time to time find necessary to assure
the correctness and verification of such reports; and
(7) Making available upon request to any agency of the United States
charged with the administration of public works or assistance through
public employment, the name, address, ordinary occupation, and employment
status of each recipient of unemployment compensation, and a statement
of such recipient s rights to further compensation under such law.
(b) Whenever the Board, after reasonable notice and opportunity for
hearing to the State agency charged with the administration of the State
law finds that in the administration of the law there is--
(1) a denial, in a substantial number of cases, of unemployment compensation
to individuals entitled thereto under such law; or
(2) a failure to comply substantially with any provision specified in
subsection (a); the Board shall notify such State agency that further
payments will not be made to the State until the Board is satisfied
that there is no longer any such denial or failure to comply. Until
it is so satisfied it shall make no further certification to the Secretary
of the Treasury with respect to such State.