State of South Dakota  
EIGHTY-SEVENTH SESSION
LEGISLATIVE ASSEMBLY, 2012  

571T0246   SENATE BILL   NO.  185  

Introduced by:    Senators Buhl, Adelstein, Frerichs, Hundstad, Nygaard, Sutton, and Tieszen and Representatives Killer, Blake, Fargen, Hawley, Jones, and Lucas
 

        FOR AN ACT ENTITLED, An Act to provide an exception from the statutory requirements for persons taking steps towards self-employment and to allow them to collect unemployment compensation.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA:
    Section 1. That chapter 61-6 be amended by adding thereto a NEW SECTION to read as follows:
    Notwithstanding any other provisions in this chapter, no otherwise eligible person may be denied benefits for any week because the person is taking steps towards self-employment as a participant of the self-employment assistance program by reason of the application of § 61-6-2 relating to availability of work, or the provisions of § 61-6-15 relating to failure to apply for, or to accept suitable work.
    Section 2. That chapter 61-6 be amended by adding thereto a NEW SECTION to read as follows:
    The department shall develop and implement a self-employment assistance program to allow unemployed individuals likely to exhaust regular unemployment benefits to collect a self-

employment assistance allowance while taking steps toward self employment. The self-employment assistance allowance shall be paid at the same rate and shall be payable to an individual at the same intervals and on the same conditions and terms as regular unemployment benefits except that participants in the program are not subject to the provisions in §§ 61-6-2 and 61-6-15 relating to the failure to apply for or accept suitable work.
    Section 3. That chapter 61-6 be amended by adding thereto a NEW SECTION to read as follows:

    A person participating in the self-employment assistance program is considered unemployed for purposes of unemployment benefits.
    Section 4. That chapter 61-6 be amended by adding thereto a NEW SECTION to read as follows:
    To be eligible for participation in the self-employment assistance program, a person shall:
            (1)     Be otherwise eligible for unemployment benefits under chapter 61-6;
            (2)    Be likely to exhaust regular unemployment benefits;
            (3)    Submit a business plan, including a financial plan, to the department within thirty days of being accepted into the program; and
            (4)    Actively participate in self-employment assistance activities or engage in activities establishing a business on a full-time basis and report progress to the department as requested.
    Section 5. That chapter 61-6 be amended by adding thereto a NEW SECTION to read as follows:
    The department shall promulgate rules pursuant to chapter 1-26 related to the implementation and administration of the provisions of this Act including approved self-employment activities, business and financial plan requirements, and progress reports. The rules

the department promulgates shall comply with rules and policies of the United States Department of Labor.
    Section 6. That chapter 61-6 be amended by adding thereto a NEW SECTION to read as follows:

    The provisions of this Act are repealed the Saturday preceding the date when federal law no longer authorizes the provisions of this Act.