(A)During the
first two years after a group account is established, a member of the group may
request withdrawal from the group by providing a copy of the resolution of the
board of directors, trustees, or other governing body of such member, however
denominated, approving such action and the written consent of each active
member of the group to the withdrawal of the applicant. Consent authority may
be delegated to the group representative by all of the group members filing a
power of attorney authorization for this purpose with the group representative
and the department. The director shall approve or disapprove such request and
issue appropriate determination, including the effective date on which such
request, if granted, shall become effective provided that no withdrawal shall
be permitted when approval thereof would result in less than two members
remaining in the group, and provided further that, in no event, shall such
member withdraw from the group until a new or amended group surety bond, new
pledge of a group deposit of approved municipal or other bonds, or approved
securities or a combination thereof, or other forms of collateral security
approved by the director, or other appropriate changes have been made with
respect to security of the account.
(B)After a group
account has remained in effect for two years, any member of the group may
request withdrawal by providing a copy of the resolution of the board of
directors, trustees, or other governing body of such member, however
denominated, approving such action and evidence that all other members have
been informed of such filing. The director shall approve or disapprove such
request and issue appropriate determination, including the effective date as of
which such request, if granted, shall become effective, provided that no member
shall withdraw from the group until a new or amended group surety bond, new
pledge of a group deposit of approved municipal or other bonds, approved
securities, or a combination thereof, or other forms of collateral security approved
by the director, or other appropriate changes have been made with respect to
security of the account, and provided further that where any withdrawal results
in less than two members remaining in the group, the director may terminate the
group account by issuing an appropriate determination.
(C)A group
account may be terminated by request filed at any time after such account has
remained in effect for two years. Such request must be signed by an authorized
official of each member and must have attached to it a certified
copy of the resolution of the board of directors, trustees, or other
governing body of each member, however denominated, authorizing such
termination. If approved, the director shall prescribe in such determination
the date, as of the end of a calendar quarter, after which no further charges
to the group account shall be made. Thereafter, the account of the group shall
be terminated as of the date on which all group billings have been paid in full.
(D)A reimbursing
employer desiring to join an existing group shall file an application for
membership therein in the manner and form prescribed for the establishment of a
group and shall submit the written consent of each active member of the group
to the addition thereto of such applicant. Consent authority may be delegated
to the group representative by all of the group members filing a power of
attorney authorization for this purpose with the group representative and the
department. The director shall approve or disapprove such application and issue
appropriate determination, including the beginning of the calendar quarter as
of which date such application, if approved, is effective, and including
further any required change in the bonding amount, provided however that the
new member shall not become an active member of such group until a new or
revised surety bond, or deposit of approved municipal or other bonds, approved
securities, or a combination thereof, or other forms of collateral security
approved by the director, has been furnished equal to the bonding amount.
(E)If the group
representative fails to pay, when due, any bill issued to it, separate bills
shall be prepared and issued to each member of the group, pursuant to division
(D)(3) of section 4141.241 of the Revised Code. In such event, failure to pay
promptly in full all such individual billings, together with any applicable
interest or forfeiture, shall be cause for termination of the group account. In
addition, failure to comply with any determination increasing the group bonding
amount, or ordering the market value of a deposit of approved municipal or
other bonds to be made whole within thirty days of the mailing of such
determination, shall be cause for termination of the group account. The
director shall terminate the group account by determination prescribing that
charges to such account shall cease to be made as of the end of the calendar
quarter in which such determination is issued. Thereafter the group account
shall terminate as of the date on which all billings outstanding against such
account shall have been paid in full, together with any applicable interest or
forfeiture.
(F)Termination of
a group account, for whatever reason, does not excuse any employer from
liability on account of charges for benefits paid after the date on which
charges cease to be made to the group account. After collecting unpaid amounts
charged to a group account from all available security of such account, the
director may transfer amounts remaining unpaid to the reimbursing account or
accounts of the employer or employers in default, in which event the group
account shall be terminated.
Effective: 6/18/2020
Five Year Review (FYR) Dates: 4/2/2020 and 06/18/2025
Certification: CERTIFIED ELECTRONICALLY
Date: 06/08/2020
Promulgated Under: 119.03
Statutory Authority: 4141.13
Rule Amplifies: 4141.241
Prior Effective Dates: 01/01/1972, 07/03/1986, 05/29/1990,
12/30/1991, 06/03/1996, 01/15/2001, 01/01/2006, 04/01/2015