DIVISION  OF  EMPLOYMENT  AND  TRAINING
STATEMENT  OF  BASIS  AND  PURPOSE
FOR  THE  PROPOSED  PERMANENT  RULES
Effective  mAY  31, 2010

1.	Summary of the basis and purpose for the rule or rule change

The basis and purpose of these rules is to administer changes to the law and to modify incorrect numbering of certain provisions in the Regulations Concerning Employment Security.  The adoption of the proposed rules is necessary to comply with the law and for the economic welfare of the people of the state of Colorado.

Senate Bill 09-247, Expand UI Benefits Fed Stimulus Moneys

Due to the passage of Senate Bill 09-247, Expand UI Benefits Fed Stimulus Moneys, that became effective July 1, 2009, the adoption of this rule is necessary to allow implementation of the statute.  The statute requires the Division to promulgate rules to establish an enhanced approved-training program for eligible individuals collecting unemployment benefits and establish procedures for individuals who separated from employment to accompany a spouse.  To administer the statute, adoption of this rule is necessary to comply with the law.

House Bill 09-1310, The Misclassification of Employees as Independent Contractors

Due to the passage of House Bill 09-1310, The Misclassification of Employees as Independent Contractors, that became effective June 2, 2009, requires the Division to promulgate rules to establish the process to conduct an investigation of the misclassification of employees as independent contractors and issue a written order.  It also requires the Division to establish a process for an employer to request a nonbinding advisory opinion as to how an individual employee should be classified and to establish employer fees to recover the directors and Divisions costs for issuing the advisory opinion.  To administer the statute, adoption of this rule is necessary to comply with the law.

2.	If emergency, give reasons

Not Applicable.

3.	Authority for rule

The authority for the amendments of the rules is in 8-72-102 Colorado Revised Statutes (CRS).

Rules.  (1) The director of the division has the power to adopt, amend, or rescind, in accordance with section 24-4-103, CRS, reasonable and necessary rules relating to the administration of the Colorado Employment Security Act and to governing hearings and proceedings under such act.