BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  SB 1314
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          SENATE THIRD READING
          SB 1314 (Monning)
          As Amended  June 19, 2014
          Majority vote 

           SENATE VOTE  :36-0  
           
           INSURANCE           13-0        APPROPRIATIONS      17-0        
           
           ----------------------------------------------------------------- 
          |Ayes:|Perea, Hagman, Allen,     |Ayes:|Gatto, Bigelow,           |
          |     |Bradford,                 |     |Bocanegra, Bradford, Ian  |
          |     |Ian Calderon, Cooley,     |     |Calderon, Campos,         |
          |     |Dababneh, Frazier, Beth   |     |Donnelly, Eggman, Gomez,  |
          |     |Gaines, Gonzalez, Olsen,  |     |Holden, Jones, Linder,    |
          |     |V. Manuel Pérez,          |     |Pan, Quirk,               |
          |     |Wieckowski                |     |Ridley-Thomas, Wagner,    |
          |     |                          |     |Weber                     |
          |-----+--------------------------+-----+--------------------------|
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Extends the time to appeal unemployment insurance (UI)  
          decisions from 20 to 30 days.  

           EXISTING LAW  : 

          1)Establishes the UI system to provide partial wage replacement  
            benefits to workers who lost their job through no fault of  
            their own.

          2)Permits employers and claimants to appeal UI determinations  
            made by the Employment Development Department (EDD).

          3)Requires appeals to be filed within 20 days of the claimant or  
            employer receiving notice of EDD's determination.

          4)Establishes the California Unemployment Insurance Appeals  
            Board to hear appeals of UI determinations made by EDD.

           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee:

          1)Minor and absorbable costs to EDD to revise various forms,  
            notices, and publications with the new response timeframe  








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            (Unemployment Administration Fund).

          2)Because EDD currently has flexibility to grant benefits if  
            appeals are submitted late, this bill is not expected to  
            affect a large number of people.  EDD submits all appeals  
            received to the California UI Appeals Board, even they are  
            received them after the 20-day deadline.  If an appeal is  
            submitted late, the claimant must explain to the  
            Administrative Law Judge why the appeal was late, and the  
            Judge may decide the claimant had good cause for the late  
            submission, and grant UI benefits regardless of missing the  
            deadline.  However, on the margins, the bill could increase  
            the number of individuals receiving UI benefits.  If 100  
            individuals statewide, out of the approximately 400,000  
            appeals closed annually, are able to appeal and receive an  
            average of 15 weeks of UI benefits as a result of the  
            increased time this bill allows for appeals, increased costs  
            of about $450,000 (Unemployment Fund).  
           

          COMMENTS  :   

          Purpose.  According to the author, many Californians who have  
          been denied unemployment benefits are not able to meet the  
          current 20-day deadline to file an appeal because they have been  
          unable to contact an EDD representative or because they were not  
          able to receive call-backs from their caseworkers.   
          Unfortunately, these delays have resulted in claimants missing  
          an appeals deadline to challenge the unemployment insurance  
          benefit decision.  This bill will extend the deadline to appeal  
          the denial by EDD of unemployment insurance benefits from 20 to  
          30 days.  This extension will allow sufficient time for  
          claimants to:  1) consult with English-as-a-second-language  
          interpreters; 2) seek outside professional or legal counsel; 3)  
          seek accommodation for special-needs; and/or 4) if corrections  
          or revisions are necessary, provide enough time to submit the  
          required documents by mail.


           Analysis Prepared by  :    Paul Riches / INS. / (916) 319-2086


                                                                FN: 0004935









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