(a) Applicability. Paragraph (9) of section 1202 (b) of the Social
Security Act permits a State to delay for a period not exceeding nine
months the interest payment due prior to October 1 if, for the most
recent 12-month period prior to such October 1 for which data are
available, the State had an average total unemployment rate of 13.5
percent or greater.
(b) Delayed due date. An interest payment delayed under paragraph
(9) must be paid in full not later than the last official Federal
business day prior to the following July 1; at the State's option
payment of delayed interest may be accelerated. No interest shall accrue
on such delayed payment.
(c) Application for delay in payment and determination. (1) The
Governor of a State which has decided to request delay in payment of
interest under paragraph (9) shall apply to the Secretary of Labor no
later than July 1 of the taxable year for which the delay is requested.
(2) The UIS Director will determine whether delay is or is not
granted on the basis of seasonally unadjusted civilian total
unemployment rate data published by the Department's Bureau of Labor
Statistics.
