California Legislature—2015–16 Regular Session

Assembly Bill No. 2886

Introduced by Committee on Insurance (Assembly Members Daly (Chair), Bigelow, Calderon, Cooley, Dababneh, Frazier, Gatto, Gonzalez, and Rodriguez)

February 25, 2016

An act to amend Section 2707.2 and 2737 of the Unemployment Insurance Code, relating to disability compensation.

LEGISLATIVE COUNSEL’S DIGEST

AB 2886, as introduced, Committee on Insurance. Disability benefits: eligibility determinations: overpayment determinations: appeals.

Existing law authorizes the Employment Development Department to administer the disability compensation program, which provides for the partial compensation for the wage losses suffered by eligible individuals unemployed because of sickness or injury. Existing law requires, after a claim for benefits is filed, the department to determine the eligibility of the claimant for benefits and to notify the claimant of the determination. Existing law allows the claimant to appeal to an administrative law judge within 20 days from mailing or personal service of the determination notice.

This bill would extend that appeal period to within 30 days from mailing or personal service of the determination notice.

Under existing law, any person who receives an overpayment of disability benefits is liable for the amount overpaid unless specified conditions apply. Existing law requires the Director of Employment Development to determine the amount of the overpayment and to notify the recipient of the basis of the overpayment determination by mail or personal service, as provided. Existing law allows the person affected to file an appeal to an administrative law judge within 20 days from the date of mailing or serving of the notice of overpayment determination. Existing law requires, after affording reasonable opportunity for a fair hearing, the administrative law judge to make a decision regarding the findings set forth in the overpayment determination notice, and requires that decision to be final unless within 20 days from the date of notification or mailing of the judge’s decision a further appeal is initiated to the California Unemployment Insurance Appeals Board, as specified.

This bill would extend that appeal period to the administrative law judge to within 30 days of mailing or serving of the determination notice. The bill would also extend the appeal period to the appeals board to within 30 days from the date of notification or mailing of the administrative law judge’s decision.

Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.

The people of the State of California do enact as follows:

SECTION 1.  

Section 2707.2 of the Unemployment Insurance
Code is amended to read:

2707.2.  

The department shall consider the facts submitted by
the employer pursuant to Section 2707.1 and make a determination
as to the eligibility of the claimant for benefits. The department
shall promptly notify the claimant of the determination and the
reasons therefor. The claimant may appeal therefrom to an
administrative law judge within begin delete 20 end delete begin insert 30 end insert days from mailing or
personal service of the notice of determination. The begin delete 20-day end delete begin insert 30-day end insert
period may be extended for good cause. The director shall be an
interested party to any appeal.

“Good cause,” as used in this section, shall include, but not be
limited to, mistake, inadvertence, surprise, or excusable neglect.

SEC. 2.  

Section 2737 of the Unemployment Insurance Code
is amended to read:

2737.  

Within begin delete 20 end delete begin insert 30 end insert days from the date of mailing or serving
of the notice of overpayment determination, the person affected
may file an appeal to an administrative law judge. The director
shall be an interested party to any such appeal. The administrative
law judge, after affording reasonable opportunity for a fair hearing,
shall unless the appeal is withdrawn, affirm, reverse, modify, or
set aside the findings set forth in the notice of overpayment
determination. The party and the director shall be notified of the
administrative law judge’s decision, together with his reasons
therefor, which shall be final unless within begin delete 20 end delete begin insert 30 end insert days from the
date of notification or mailing of the decision a further appeal is
initiated to the appeals board pursuant to Section 1336. The begin delete 20-day end delete
begin insert 30-day end insert period for an appeal to the administrative law judge or to
the appeals board may be extended for good cause.

“Good cause,” as used in this section, shall include, but not be
limited to, mistake, inadvertence, surprise, or excusable neglect.