SB 1399 - This act requires each employer liable for contributions pursuant to the unemployment compensation law to pay an annual unemployment administration adjustment in an amount equal to five one-hundredths of one percent of such employer's total taxable wages for the twelve-month period ending the preceding June 30. Each employer liable to pay an unemployment administration adjustment shall be notified of the amount due under this act by March thirty-first of each year and such amount shall be considered delinquent thirty days thereafter. The act contains certain exceptions where employers will not be charged. A fund is additionally created into which the contributions required by this act are deposited. This act is identical to HB 2877 (2026). SCOTT SVAGERA

2026 Regular Session Introduced by Sandy Crawford

Missouri establishes dedicated Unemployment Administration Adjustment Fund to finance state unemployment insurance system operations and claims processing infrastructure.

Voted Do Pass S General Laws Committee

Legislative bill overview

SB 1399 establishes the Unemployment Administration Adjustment Fund in Missouri, creating a dedicated financial mechanism to support unemployment insurance administration. The bill allocates resources specifically for managing unemployment compensation programs and related administrative operations. This represents a structural change to how Missouri funds its unemployment system operations.

Why is this important

Unemployment insurance administration requires consistent funding for processing claims, customer service, fraud detection, and maintaining IT infrastructure. A dedicated fund can provide more predictable budget planning and potentially improve system efficiency during economic downturns when claims surge. This directly affects how quickly unemployed workers receive benefits and the integrity of the overall program.

Potential points of contention

Funding source unclear: The bill's prefiling status makes the revenue mechanism unknown—whether this draws from existing unemployment tax revenues, general funds, or new sources affects business and worker constituencies differently

Administrative cost allocation: Debate may arise over whether this represents actual new funding or merely reallocates existing resources, potentially impacting other state priorities

Program scope limitations: Without seeing detailed provisions, it's unclear whether the fund addresses rising administrative backlogs or simply reorganizes existing budget structures