HB2450

THE CONTEXT: The Department of Economic Security administers the UI Benefit Program which provides unemployment benefits to individuals who are unemployed through no fault of their own. Individuals awarded unemployment insurance benefits are entitled to receive a weekly benefit in an amount equal to 4% of the total wages for insured work paid in the highest quarter of their base period.

WHAT THE BILL DID: The final vetoed version would modify the duration schedule for which an eligible individual receives UI benefits based on incremental changes in the unemployment rate (UR) in the prior calendar quarter: a) 12 weeks, if the UR is 5% or less; b) 14 weeks, if the UR is more than 5% but not more than 5.5%; c) 16 weeks, if the UR is more than 5.5% but not more than 6%; d) 18 weeks, if the UR is more than 6% but not more than 6.5%; e) 20 weeks, if the UR is more than 6.5% but not more than 7%; f) 22 weeks, if the UR is more than 7% but not more than 7.5%; g) 24 weeks, if the UR is more than 7.5% but not more than 8%; h) 26 weeks, if the UR is more than 8%. (Sec 1) i) j) k).

WHY IT MATTERED: The practical reason for this bill was to make the state tax, regulatory, or economic rule for unemployment insurance more predictable. It would modify the duration schedule for which an eligible individual receives UI benefits based on incremental changes in the unemployment rate (UR) in the prior calendar quarter: a) 12 weeks, if the UR is 5% or less; b) 14 weeks, if the UR is more than 5% but not more than 5.5%; c) 16 weeks, if the UR is more than 5.5% but not more than 6%; d) 18 weeks, if the UR is more than 6% but not more than 6.5%; e) 20 weeks, if the UR is more than 6.5% but not more than 7%; f) 22 weeks, if the UR is more than 7% but not more than 7.5%; g) 24 weeks, if the UR is more than 7.5% but not more than 8%; h) 26 weeks, if the UR is more than 8%. (Sec 1) i) j) k), rather than leave the current rule unchanged.