A bill for an act relating to unemployment insurance taxes on employers.

This bill changes how Iowa employers calculate their unemployment insurance taxes. It reduces the percentage used to determine taxable wages from 66.66% to 33.33% of the statewide average weekly wage, lowering the base amount employers pay tax on. It also adds $150 million to available funds when calculating the reserve ratio, which affects the tax rate brackets employers fall into. As a result, most employers will pay lower unemployment taxes under the revised contribution rate tables.