TRANSFERS TO FEDERAL UNEMPLOYMENT ACCOUNT AND REPORT TO CONGRESS.

SEC. 304. TRANSFERS TO FEDERAL UNEMPLOYMENT ACCOUNT AND REPORT TO CONGRESS. (a) So much of section 902 of the Social Security Act as precedes subsection (b) is amended to read as follows: 84 Stat. 716 “Transfers to Federal Unemployment Account and Report to Congress “transfers to federal unemployment account “Sec. 902. (a) Whenever the Secretary of the Treasury determines pursuant to section 901(f) that there is an excess in the employment security administration account as of the close of any fiscal year and the entire amount of such excess is not retained in the employment security administration account or transferred to the extended unemployment compensation account as provided in section 901(f)(3), there shall he transferred (as of the beginning of the succeeding fiscal year) to the Federal unemployment account the balance of such excess or so much thereof as is required to increase the amount in the Federal unemployment account to whichever of the following is the greater: “(1) $550 million, or “(2) the amount (determined by the Secretary of Labor and certified by him to the Secretary of the Treasury) equal to one-eighth of 1 percent of the total wages subject (determined without any limitation on amount) to contributions under all State unemployment compensation laws for the calendar year ending during the fiscal year for which the excess is determined.” (b) Such section 902 is further amended by adding at the end thereof the following: “report to the congress “(c) Whenever the Secretary of Labor has reason to believe that in the next fiscal year the employment security administration account will reach the limit, provided for such account in section 901(f)(3)(A), and the Federal unemployment account will reach the limit provided for such account in section 902(a), and the extended unemployment compensation account will reach the limit provided for such account in section 905(b)(2), he shall, after consultation with the Secretary of the Treasury, so report to the Congress with a recommendation for appropriate action by the Congress.” (c) Section 1203 of the Social Security Act is amended by striking out “section 901 (f)(3)” and inserting in lieu thereof “sections 901(f)(3) and 902(a)”.