Louisiana 2013 Regular Session

Louisiana House Bill HB566 Latest Draft

Bill / Chaptered Version

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ACT No. 48
Regular Session, 2013
HOUSE BILL NO. 566
BY REPRESENTATIVE DIXON
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
AN ACT1
To amend and reenact R.S. 23:1665 and to enact R.S. 23:1665.1, 1665.2, and 1665.3,2
relative to unemployment compensation; to provide for reciprocal arrangements3
between federal and state agencies; to provide for a reciprocal overpayment recovery4
arrangement; to provide definitions; to provide with respect to duties and5
responsibilities of requesting and recovering states; to provide for recovery of6
combined wage claims;  and to provide for related matters.7
Be it enacted by the Legislature of Louisiana:8
Section 1. R.S. 23:1665 is hereby amended and reenacted and R.S. 23:1665.1,9
1665.2, and 1665.3 are hereby enacted to read as follows:10
§1665.  Reciprocal arrangements with federal and state agencies11
A. The administrator may enter into reciprocal arrangements with12
appropriate and duly authorized agencies of other states or of the United States, or13
both, whereby:14
(1) Service performed by an individual for a single employing unit for which15
services are customarily performed by such individual in more than one state shall16
be deemed to be services performed entirely within any one of the states (i) in which17
any part of such individual's service is performed or (ii) in which such individual has18
his residence or (iii) in which the employing unit maintains a place of business,19
provided there is in effect, as to such services, an election, approved by the agency20 ENROLLEDHB NO. 566
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charged with the administration of such state's unemployment compensation law,1
pursuant to which all the services performed by such individual for such employing2
unit are deemed to be performed entirely within such state;3
(2) Potential rights to benefits accumulated under the unemployment4
compensation laws of one or more states or of the United States, or both, may5
constitute the basis for the payment of benefits through a single appropriate agency6
under terms which the administrator finds will be fair and reasonable as to all7
affected interests and will not result in any substantial loss to the fund;8
(3) Wages or services, upon the basis of which an individual may become9
entitled to benefits under an unemployment compensation law of another state or of10
the United States, shall be deemed to be wages for insured work for the purpose of11
determining his rights to benefits under this Chapter, and wages for insured work,12
on the basis of which an individual may become entitled to benefits under this13
Chapter shall be deemed to be wages or services on the basis of which14
unemployment compensation under such law of another state or of the United States15
is payable; but no such arrangement shall be entered into unless it contains16
provisions for reimbursements to the fund for such of the benefits paid under this17
Chapter upon the basis of such wages or services, and provisions for reimbursements18
from the fund for such of the compensation paid under such other law upon the basis19
of wages for insured work, as the administrator finds will be fair and reasonable as20
to all affected interests; and21
(4) For the purposes of R.S. 23:1543 through R.S. 23:1551, contributions due22
under this Chapter with respect to wages for insured work shall be deemed to have23
been paid to the fund as of the date payment was made as contributions therefor24
under another state or federal unemployment compensation law; but no such25
arrangement shall be entered into unless it contains provisions for the reimbursement26
of such contributions and the actual earnings thereon, as the administrator finds will27
be fair and reasonable as to all affected interests.28
Reimbursements paid from the fund pursuant to paragraph Paragraph (3) of29
this Section shall be deemed to be benefits for the purpose of Parts II and V of this30 ENROLLEDHB NO. 566
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Chapter. The administrator may make to other state or federal agencies and receive1
from them, reimbursements from or to the fund, in accordance with arrangements2
entered into pursuant to the provisions of this Section.3
B. The administrator may enter into reciprocal arrangements concerning4
recovery of overpaid benefits with appropriate and duly authorized agencies of other5
states or of the United States, or both.6
§1665.1. Definitions7
As used in this Section, the following terms shall have the meanings ascribed8
to them as follows:9
(1) "Form IB-8606" is the interstate request for recovery document10
submitted by states when requesting assistance in recovering overpayments.11
(2)  "Liable state" means any state against which an individual files a claim12
for benefits through another state.13
(3) "Offset" means the withholding of an amount against benefits which14
would otherwise be payable for a compensable week of unemployment.15
(4)  "Overpayment" means an improper payment of benefits from a state or16
federal unemployment compensation fund that has been determined recoverable17
under the requesting state's law.18
(5) "Participating state" means a state which has subscribed to the Interstate19
Reciprocal Overpayment Recovery Arrangement.20
(6) "Paying state" means the state under whose law a claim for21
unemployment benefits has been established on the basis of combining wages and22
employment covered in more than one state.23
(7) "Payment" means a check or electronic transfer for the amount24
recovered.25
(8) "Recovering state" means the state that has received a request for26
assistance from a requesting state.27
(9)  "Requesting state" means the state that has issued a final determination28
of overpayment and is requesting another state to assist in recovering the outstanding29
balance from the overpaid individual.30 ENROLLEDHB NO. 566
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(10) "State" means any of the fifty states of the United States of America, as1
well as the District of Columbia, Puerto Rico, and the United States Virgin Islands.2
(11) "Transferring state" means a state in which a combined wage claimant3
had covered employment and wages in the base period of a paying state, and which4
transferred such employment and wages to the paying state for its use in determining5
the benefit rights of such claimant under its law.6
§1665.2.  Recovery of state or federal benefit overpayments7
A.  The requesting state shall do all of the following:8
(1) Send the recovering state a written or electronic request for overpayment9
recovery assistance, Form IB-8606, which includes certification that the10
overpayment is legally collectable under the requesting state's law, certification that11
the determination is final and that any rights to postponement of recoupment have12
been exhausted or have expired, a statement as to whether the state is participating13
in the cross-program overpayment recovery agreement with the United States14
secretary of labor, a copy of the initial overpayment determination, and a statement15
of the outstanding balance.16
(2)  Send notice of this request to the claimant.17
(3) Send a new outstanding overpayment balance to the recovering state18
whenever the requesting state receives any amount of repayment from a source other19
than the recovering state.20
B.  The recovering state shall:21
(1) Issue an overpayment recovery determination to the claimant which22
includes at a minimum all of the following:23
(a) The statutory authority for the offset.24
(b) The opportunity to appeal the offset of benefits if the recovering state25
allows for appeal on the recovery of overpayment of regular unemployment26
compensation paid by such state.27
(c)  The name of the state requesting recoupment.28
(d)  The date of the original overpayment determination.29
(e)  The type of overpayment, fraud, or mistake.30 ENROLLEDHB NO. 566
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(f)  The program type, including but not limited to UI, UCFE, UCX, TRA.1
(g)  The total amount to be offset.2
(h)  The amount to be offset weekly.3
(i) Instructions that any questions about the overpayment amount should be4
referred to the requesting state.5
(2) Offset benefits payable for each week claimed in the amount determined6
under state law.7
(3)  Notify the claimant of the amount offset.8
(4) Prepare and forward, no less than once a month, a payment representing9
the amount recovered, made payable to the requesting state, except as provided for10
in combined wage claims.11
(5) Retain a record of the overpayment balance.12
(6)  Not redetermine the original overpayment determination.13
(7)  Recover across benefit years and programs.14
(8) Use the ET Handbook No. 392, or any official superceding United States15
Department of Labor requirements for determining priorities for offsetting16
overpayments.17
§1665.3. Combined wage claims; recovery of outstanding overpayment in18
transferring state19
A.  The paying state shall:20
(1) Offset any outstanding overpayment in a transferring state prior to21
honoring a request from any other participating state.22
(2) Credit the deductions against the statement of benefits paid to combined23
wage claimants, Form IB-6, or forward a payment to the transferring state.24
(3) Refer to the Interstate Benefit Payment Control section in the ET25
Handbook No. 392, Handbook for Interstate Claimstaking, or any superceding26
United States Department of Labor requirements for the priorities of offsetting27
overpayments.28 ENROLLEDHB NO. 566
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B. Withdrawal of a combined wage claim after benefits have been paid shall1
be honored only if the combined wage claimant has repaid any benefits paid or2
authorizes the new liable state to offset the overpayment.3
C. The paying state shall issue an overpayment determination and forward4
a copy, together with an overpayment recovery request and an authorization to offset,5
to the liable state.6
D. The recovering state shall:7
(1)  Prioritize the offset of overpayments as described in the Interstate8
Benefit Payment Control section of the ET Handbook No. 392, Handbook for9
Interstate Claimstaking, or any superceding United States Department of Labor10
requirements.11
(2) Offset the total amount of any overpayment, resulting from the12
withdrawal of a combined wage claim, prior to the release of any payments to the13
claimant.14
(3) Offset the total amount of any overpayment, resulting from the15
withdrawal of a combined wage claim, prior to honoring a request from any other16
participating state.17
(4)  Provide the claimant with a notice of the amount offset.18
(5) Prepare and forward a payment representing the amount recovered to the19
requesting state.20
E. The recovering state shall offset benefits payable under a state21
unemployment compensation program to recover any benefits overpaid under a22
federal unemployment compensation program as described in the recovering state's23
agreement with the United States secretary of labor as provided in this Section, as24
appropriate, if the recovering state and requesting state have entered into an25 ENROLLEDHB NO. 566
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agreement with the United States secretary of labor to implement Section 303(a) of1
the Social Security Act.
SPEAKER OF THE HOUSE OF REPRESENTATI VES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED: