ENROLLED
2020 Second Extraordinary Session
HOUSE CONCURRENT RESOL UTION NO. 36
BY REPRESENTATIVE LYONS AND SENATOR BARROW
A CONCURRENT RESOL UTION
To create a task force to study and make recommendations for replenishing the
unemployment trust fund and increasing the unemployment compensation weekly
benefit amount and to submit a written report of its findings and recommendations
to the Legislature of Louisiana not later than thirty days prior to the convening of the
2021 Regular Session.
WHEREAS, the state of Louisiana was struck by the COVID-19 public health
emergency in March 2020; and
WHEREAS, the COVID-19 public health emergency has caused businesses and
operations to either lay off workers or reduce workers' hours; and
WHEREAS, as a result of numerous layoffs and reduction of hours, there has been
an unprecedented number of unemployed or partially employed workers who have filed and
continue to file for unemployment compensation benefits; and
WHEREAS, as a result of the unprecedented filing of claims and payment of
unemployment compensation benefits, the state's unemployment trust fund, which was
approximately one billion five hundred million dollars at the beginning of March 2020, has
fallen to a balance of zero dollars; and
WHEREAS, as a result of this depletion, the state of Louisiana has had to take the
extraordinary step of borrowing funds from the United States government pursuant to Title
XII of the Social Security Act in order to pay weekly unemployment compensation benefits;
and
WHEREAS, the funds from the Title XII loan can only be used to pay unemployment
benefit claims and are not a means or mechanism to replenish the unemployment trust fund;
and
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WHEREAS, pursuant to R.S. 23:1536(E)(1), the replenishment of the unemployment
trust fund is made possible with the implementation of a solvency tax, which is a tax of up
to thirty percent on businesses; and
WHEREAS, as a result of the COVID-19 public health emergency, it is recognized
that businesses have suffered a great economic impact; however, unemployed and partially
employed workers have also suffered a great financial impact as a result of the COVID-19
health emergency; and
WHEREAS, the state of Louisiana pays the third lowest average weekly benefit
amounts of any state in the United States; and
WHEREAS, as a result of the COVID-19 public health emergency, unemployed and
partially employed workers have struggled to cover household expenses, such as rent or
mortgage, groceries, and utilities, and attempt to survive on a maximum weekly benefit
amount of two hundred forty-seven dollars; and
WHEREAS, an increase in the maximum weekly benefit amount in the state's
unemployment compensation program will not only greatly assist unemployed and partially
employed Louisiana workers, but will have a significant impact on local economies; and
WHEREAS, R.S. 23:1474 provides that the unemployment trust fund offers a
decrease in the tax rate for employers, a ten percent discount for employers, and an increase
in the unemployment compensation weekly benefit amounts when the trust fund has reached
a specific balance range; and
WHEREAS, this statutory provision and others should be examined to determine
practical and feasible ways to replenish the unemployment trust fund and increase the
unemployment compensation maximum weekly benefit amounts for claimants.
THEREFORE, BE IT RESOLVED that the Legislature of Louisiana does hereby
establish the Unemployment Compensation and Trust Fund Task Force to study and make
recommendations for replenishing the unemployment trust fund and increasing the
unemployment compensation weekly benefit amount and to submit a written report of its
findings and recommendations to the Legislature of Louisiana not later than thirty days prior
to the convening of the 2021 Regular Session.
BE IT FURTHER RESOLVED that the membership of the task force shall be as
follows:
(1)The president of the Senate or his designee.
(2)The speaker of the House of Representatives or his designee.
(3)The secretary of the Louisiana Workforce Commission or his designee.
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(4)One representative from the Louisiana AFL-CIO.
(5)One representative from the Louisiana Budget Project.
(6)One representative from the Workplace Justice Project.
(7)One representative from the Louisiana Association of Business and Industry.
(8)One representative from the National Federation of Independent Business.
(9)One representative from Greater New Orleans, Inc.
(10)One representative from Louisiana Women Lead.
(11)One representative from the Louisiana Community and Technical College
System.
(12)The Revenue Estimating Conference faculty member with revenue
forecasting expertise.
(13)One representative from North Louisiana Economic Partnership.
BE IT FURTHER RESOLVED that the Louisiana Workforce Commission shall
provide staff support as needed by the task force.
BE IT FURTHER RESOLVED that the task force shall convene its first meeting by
December 1, 2020, and shall meet as frequently as it deems necessary for the timely
performance of its duties.
BE IT FURTHER RESOLVED that the task force shall study and make
recommendations to matters that include but are not limited to the following:
(1)Mechanisms or measures to replenish the unemployment trust fund.
(2)Mechanisms or measures to generate at least one billion five hundred million
dollars for the unemployment trust fund.
(3)The advantages and disadvantages of increasing the weekly benefit amount.
(4)Mechanisms or measures to increase the weekly benefit amount.
(5)Mechanisms or measures for assisting the unemployed to re-enter the
workforce, including training needed to develop new skills required for
available jobs.
BE IT FURTHER RESOLVED that this Resolution be transmitted to the secretary
of the Louisiana Workforce Commission, the president of the Louisiana Association of
Business and Industry, the Louisiana state director of the National Federation of Independent
Business, the president of the Louisiana AFL-CIO, the executive director of the Louisiana
Budget Project, the director of the Workplace Justice Project, the president of Greater New
Orleans, Inc., the executive director of Louisiana Women Lead, the president of the
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Louisiana Community and Technical College System, and the faculty member serving on
the Revenue Estimating Conference.
SPEAKER OF THE HOUSE OF REPRESENTATIVES
PRESIDENT OF THE SENATE
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