The story was reported here in May:
"For decades, states have been offering benefit checks to the unemployed for 26 weeks. During recessions, Congress typically steps in and offers extended benefits for up to 99 weeks. States are supposed to build up their unemployment accounts during good times by taxing employers, based on wages. But their tax rates vary. Prior to the recession, most states lowered taxes on employers. Between 1995 and 2005, 31 states reduced unemployment insurance taxes by at least 20 percent, according to the Tax Foundation. That brought contributions down to 0.65 percent of total wages from 2000 to 2009 — a record low, according to NELP [National Employment Law Project]. ...
"Thanks to the 2009 federal stimulus law, states were able to borrow money interest-free to make up their gaps. But now Washington wants its money back. States now owe the Treasury $29.8 billion. That amount has actually dropped from $37.3 billion back in November 2011. ...
"Employers pay unemployment insurance taxes based on wages — but not all wages. The federal government requires states to tax only the first $7,000 in wages, a standard that hasn't increased in 30 years. Some states, such as Oregon and New Jersey, impose taxes on more than $30,000 worth of wages. But the national average is about $13,000."
