A. This section applies to:

1. 1. Any nonprofit organization described in section 23-617, paragraph 10 that but for section 23-613, subsection A, paragraph 2, subdivision (c) would not be subject to this chapter, or that is not mandatorily subject to this chapter because of insufficient employees but that has voluntarily elected to become subject to this chapter.
2. 2. This state, or a political subdivision of this state, or any instrumentality, agency or board of any one or more of the foregoing or any instrumentality of any of the foregoing and one or more other states or political subdivisions.

B. Benefits paid to employees of employing units to which this section applies shall be financed pursuant to this subsection as follows:

1. 1. Any employing unit to which this section applies:

   1. (a) That is or becomes subject to this chapter on January 1, 1972, may elect to become liable for payments in lieu of contributions for a period of at least three consecutive taxable years beginning with January 1, 1972, provided it files with the department a written notice of its election not later than sixty days after written notice that the election may be made is first given to the employing unit by the department.
   2. (b) That becomes subject to this chapter after January 1, 1972, may elect to become liable for payments in lieu of contributions for a period of at least three consecutive taxable years by filing a written notice of its election with the department not later than thirty days immediately following the date of the determination that the employing unit is subject to this chapter.
   3. (c) That makes an election in accordance with subdivision (a) or (b) of this paragraph shall continue to be liable for payments in lieu of contributions until it files with the department a written notice terminating its election not later than thirty days before the beginning of the taxable year for which such termination shall first be effective.
   4. (d) That has been paying contributions under this chapter after January 1, 1972, for a period of at least three consecutive taxable years may elect to become liable for payments in lieu of contributions for a period of at least three consecutive taxable years by filing a written notice of its election with the department not later than thirty days before the beginning of the taxable year for which the election shall first be effective.
2. 2. The department may for good cause extend the period within which a notice of election or a notice of termination must be filed.
3. 3. The department shall notify the employing unit of any determination made of its status as an employer and of the effective date of any election or termination of an election made in accordance with this subsection. The determination shall be subject to reconsideration, petition for hearing and judicial review in accordance with section 23-724.
4. 4. An employing unit shall pay to the department for the fund an amount equal to the amount of regular benefits and of one-half of the extended benefits paid that were based on wages paid during the employing unit's period of election to make payments in lieu of contributions, except that a governmental entity shall pay to the department for the fund an amount equal to the total amount of extended benefits paid for weeks of unemployment that are based on wages paid by the governmental entity during its election to make payments in lieu of contributions. Sections 23-727, 23-773 and 23-777, insofar as they apply to noncharging an employer's account for benefit payments, do not apply to benefits paid that were based on wages paid during the employing unit's period of election to make payments in lieu of contributions.

E. Benefits are payable on the basis of employment to which this section applies, in the same amount, on the same terms and subject to the same conditions as benefits payable on the basis of other employment subject to this chapter, except that notwithstanding sections 23-779 and 23-780:

1. 1. Benefits based on service in an instructional, research or principal administrative capacity for an educational institution shall not be paid to an individual for any week of unemployment that begins during the period between two successive academic years, or during a similar period between two regular terms, whether or not successive, or during a period of paid sabbatical leave provided for in the individual's contract, if the individual performs the services in the first of the academic years or terms and if there is a contract or a reasonable assurance that the individual will perform services in any such capacity for any educational institution in the second of the academic years or terms.
2. 2. Benefits based on service in any other capacity for an educational institution shall not be paid to an individual for any week of unemployment that begins during a period between two successive academic years or terms if the individual performs the services in the first of such academic years or terms and if there is a reasonable assurance that the individual will perform the services in the second of the academic years or terms, except that if benefits are denied to any individual under this paragraph and that individual was not offered an opportunity to perform the services for the educational institution for the second of the academic years or terms, the individual is entitled to a retroactive payment of benefits for each week for which the individual filed a timely claim for benefits and for which benefits were denied solely by reason of this paragraph.
3. 3. Benefits based on services described in paragraph 1 or 2 of this subsection shall not be paid to an individual for any week of unemployment that begins during an established and customary vacation period or holiday recess if the individual performs services in the period immediately before the vacation period or holiday recess and if there is a reasonable assurance that the individual will perform the services in the period immediately following such vacation period or holiday recess.
4. 4. With respect to any services described in paragraph 1 or 2 of this subsection, benefits are not payable on the basis of services in any capacity specified in paragraph 1, 2 or 3 of this subsection to any individual who performed these services in an educational institution while in the employ of an educational service agency. For the purposes of this paragraph, "educational service agency" means a governmental agency or governmental entity that is established and operated exclusively for the purpose of providing these services to one or more educational institutions.
5. 5. With respect to services described in paragraph 1, 2 or 3 of this subsection, benefits are not payable on the basis of services specified in paragraph 1, 2 or 3 of this subsection to any individual who performed these services while in the employ of an entity that provides these services to or on behalf of an educational institution.
6. 6. If an individual provides services to more than one educational employer described in paragraph 1, 2 or 3 of this subsection, benefits are not payable on the basis of services provided to an educational employer for which there is a contract or reasonable assurance for determining eligibility for benefits between or within terms, but benefits are payable on the basis of services provided to an employer for which there is no contract or reasonable assurance.