EXTENSION OF PERIOD FOR REPAYMENT OF FEDERAL LOANS TO STATE UNEMPLOYMENT FUNDS.

SEC. 304. EXTENSION OF PERIOD FOR REPAYMENT OF FEDERAL LOANS TO STATE UNEMPLOYMENT FUNDS. (a) General Rule.—If the Secretary of Labor determines that a State meets the requirements of subsection (b), paragraph (2) of section 3302(c) of the Internal Revenue Code of 1986 shall be applied with respect to such State for taxable years after 1991— (1) by substituting “third” for “second” in subparagraph (A)(i), (2) by substituting “fourth or fifth” for “third or fourth” in subparagraph (B), and (3) by substituting “sixth” for “fifth” in subparagraph (C). (b) Requirements.—A State meets the requirements of this sub-section if, during calendar year 1992 or 1993, the State amended its unemployment compensation law to increase estimated contributions required under such law by at least 25 percent. (c) Special Rule.—This section shall not apply to any taxable year after 1994 unless — (1) such taxable year is in a series of consecutive taxable years as of the beginning of each of which there was a balance referred to in section 3302(c)(2) of such Code, and (2) such series includes a taxable year beginning in 1992, 1993, or 1994.