1555-1562

UNEMPLOYMENT INSURANCE CODE
SECTION 1555-1562




1555.  The Unemployment Administration Fund is continued in
existence as a special fund in the State Treasury. All money which is
deposited or paid into this fund, except any money deposited
pursuant to Section 1528.5, is hereby continuously appropriated and
made available to the director for the purposes authorized in this
article without regard to fiscal years. Any balances in this fund
shall not lapse at any time, but shall be continuously available to
the director for expenditure consistent with the purposes authorized.



1556.  Except for money deposited pursuant to Section 1528.5, the
Unemployment Administration Fund shall consist of all money
appropriated by this state for the purpose of administering this
part, money deposited for the purpose of expenditure pursuant to
Section 1558.5, and all money received from the United States of
America, or any agency thereof, including the Secretary of Labor, or
from any other source for such purpose. Money requisitioned and
deposited in this fund pursuant to Section 1528.5 shall remain part
of the Unemployment Fund and shall be used only in accordance with
the conditions specified in that section.



1557.  Money in the Unemployment Administration Fund shall not be
commingled with other state funds, but shall be maintained in a
separate account on the books of the depositary. Such money shall be
secured by the depositary in which it is held to the same extent and
in the same manner as required under Chapter 4, Part 2, Division 4,
Title 2 of the Government Code, if deposited in a bank, or under
Chapter 4.5 (commencing with Section 16600) of Part 2 of Division 4
of Title 2 of the Government Code if deposited in a savings and loan
association and collateral pledged shall be maintained in a separate
custody account.


1558.  Except as provided by Section 1558.5, all money in the
Unemployment Administration Fund shall be expended solely for the
purpose of defraying the cost of the administration of this division,
including, but not limited to, payments authorized under Sections
1786 and 1788, and for no other purpose whatsoever, and all money,
except money received pursuant to Section 1528.5, received from the
federal government for the fund pursuant to Section 302 of the Social
Security Act shall be expended solely for the purposes and in the
amounts found necessary by the Secretary of Labor for the proper and
efficient administration of this division.



1558.5.  Money in the Unemployment Administration Fund may be
expended for any cost of administration under this code, or for any
expenditure by the department chargeable pursuant to state or federal
law to another state or federal fund or appropriation or to a
subvention, payment under a contract, or other source and expended
for any purpose authorized by such state or federal law, in
accordance with a plan or system of accrual cost accounting approved
by the United States Department of Labor under which expenditures
from the Unemployment Administration Fund are charged against
advances from or subsequently reimbursed from another fund or funds
or appropriation or a subvention or payment under a contract or other
source to which the actual costs of such expenditures are
chargeable. The director shall deposit in the Unemployment
Administration Fund advances from another fund or funds or
appropriation or subvention or contract payment or other source made
in accordance with an approved plan or system under this section.



1559.  All money in the Unemployment Administration Fund shall be
deposited, administered, and disbursed in the same manner and under
the same conditions and requirements as is provided by law for other
special funds in the State Treasury, but the director may draw,
without at the time furnishing vouchers and itemized statements, sums
not to exceed in the aggregate an amount equal to 1 percent of the
total disbursements made from the fund during the immediately
preceding fiscal year to be used as a revolving fund where payment of
compensation earned, traveling expense advances, payments under
Sections 1786 and 1788, the fees, commissions and expenses authorized
to be charged in connection with the levy of writs of attachment or
execution under Article 7 (commencing with Section 26720) of Chapter
2 of Part 3 of Division 2 of Title 3 of the Government Code, or other
cash payments are necessary. At the close of each fiscal year or at
any other time, upon the demand of the Department of Finance, the
money so drawn shall be accounted for and substantiated by vouchers
and itemized statements submitted to and audited by the Controller.




1560.  All money in the Unemployment Administration Fund, in excess
of current requirements, and not otherwise invested, may be deposited
by the State Treasurer in banks and savings and loan associations
and otherwise held and invested by him in the same manner as provided
by law in the case of other special funds in the State Treasury, and
under the same rules and regulations that govern the deposit of
other public funds.



1561.  The State Treasurer is liable on his official bond for the
faithful performance of his duties in connection with the
Unemployment Administration Fund. This liability shall exist in
addition to any liability upon any separate bond now existing or
which may be given in the future. All sums recovered on the official
bond for losses sustained by the Unemployment Administration Fund
shall be deposited in that fund.



1562.  This state recognizes its obligations to replace, and pledges
the faith of this state that funds shall be provided in the future,
and applied to the replacement of, any money received from the
federal government under Title 3 of the Social Security Act, any
unencumbered balances in the Unemployment Administration Fund and any
money granted to this state pursuant to the provisions of the
Wagner-Peyser Act, which the Secretary of Labor finds have, because
of any action or contingency, been lost or expended for purposes
other than, or in amounts in excess of, those found necessary by the
Secretary of Labor for the proper administration of this part and
Parts 3 (commencing with Section 3501) and 4 (commencing with Section
4001) of this division. Such money shall be replaced within a
reasonable time by money appropriated by the Legislature from the
general funds of this state to the Unemployment Administration Fund.
The director shall report to the Director of Finance, in the same
manner as is provided generally for the submission of financial
requirements for the ensuing year, and the Governor shall include in
his or her next budget report to the Legislature, the amount required
for such replacement.