23-751.01. Employment by an Indian tribe; benefits; payments in lieu of contributions; definitions

A. Any Indian tribe for which service in employment is performed is an employer for the purposes of this chapter. Benefits that are based on service in the employment by an Indian tribe are payable in the same amount and on the same terms and are subject to the same conditions as benefits payable on the basis of other service subject to this chapter.

B. An Indian tribe that is subject to this chapter shall pay contributions under the same terms and conditions as prescribed for other employers that are subject to this chapter, unless the tribe elects to make payments in lieu of contributions.

C. An Indian tribe that elects to make payments in lieu of contributions:

1. Shall make the election in the same manner and under the same conditions as prescribed in section 23-750.

2. May elect to make payments in lieu of contributions by the tribe as a whole, by individual tribal units or by combinations of tribal units.

3. Is subject to all other provisions in section 23-750 relating to employers who elect to make payments in lieu of contributions.

D. An Indian tribe that fails to make the payments prescribed in section 23-750, including assessments of interest and penalties, within ninety days after receiving a bill for the payments loses the option to make payments in lieu of contributions for the following tax year unless the tribe makes full payment before the contributions for the next tax year are computed.

E. A tribe that has lost the option to make payments in lieu of contributions shall have the option restored after one year if the tribe timely paid all contributions during the prior year and all contributions, payments in lieu of contributions, penalties and interest have been paid.

F. The department shall notify the United States internal revenue service and the United States department of labor if an Indian tribe fails to make required payments, including assessments of penalties and interest.

G. The department shall include in a notice of payment or delinquency to an Indian tribe a statement that failure to make full payment within the prescribed time will cause the Indian tribe to:

1. Be liable for taxes under the federal unemployment tax act, as amended (26 United States Code sections 3301 through 3311).

2. Lose the option to make payments in lieu of contributions.

H. An Indian tribe shall pay for all extended benefits that are attributable to service in the employment of the tribe if the extended benefits are not reimbursed by the federal government.

I. For the purposes of this section:

1. " Employment by an Indian tribe" means employment by an Indian tribe as defined in 26 United States Code section 3306(u) or by a tribal unit except that employment by an Indian tribe does not include the exclusions from employment prescribed in section 23-615, subsection B, paragraph 3, subdivisions (b) and (e) and paragraph 5.

2. " Tribal unit" means a subdivision or subsidiary of an Indian tribe or a business enterprise that is wholly owned by an Indian tribe.