42 U.S.C. § 1321 — Eligibility requirements for transfer of funds; reimbursement by State; application; certification; limitation

(a)(1) Advances may be made from the Federal unemployment account to a State account in the Unemployment Trust Fund. They must be repaid, with interest when section 1322(b) requires it, as sections 1101(d)(1), 1103(b)(2), and 1322 provide. An advance for a three-month period may be made when the Governor applies no earlier than the first day of the month before that period and gives the Labor Secretary an estimate of the amount needed in each month. (2) The Labor Secretary must determine the amount needed for each month and certify to the Treasury Secretary an amount no greater than the Governor’s estimate. The total certified for a period cannot exceed what the Treasury Secretary reports is available for advances for each month. (3) The application must use the required forms and include fiscal and other information the Labor Secretary needs about the State unemployment-compensation law. The amount needed must allow for contingencies and account for all other money available in the State fund. “Compensation” means cash benefits payable to people for unemployment, not administrative expenses. (b) Before audit or settlement by the Government Accountability Office, the Treasury Secretary must transfer the certified amount in monthly installments to the State account, but not beyond the unrestricted balance available at the time. Each installment cannot exceed the State’s estimate of the amount needed for that month’s compensation.