BILL ANALYSIS Ó AB 2886 Page 1 Date of Hearing: April 6, 2016 ASSEMBLY COMMITTEE ON INSURANCE Tom Daly, Chair AB 2886 (Committee on Insurance) - As Amended March 29, 2016 SUBJECT: Disability benefits: eligibility determinations: benefit computations: overpayment determinations: appeals SUMMARY: Extends the appeals window for state disability insurance (SDI) and paid family leave (PFL) benefits from 20 to 30 days. Specifically, this bill: 1)Extends the period of time to appeal a determination of SDI or PFL benefits from 20 to 30 days, effective March 1, 2018. 2)Specifies the period of time to appeal to the decision of an administrative law judge (ALJ) regarding SDI or PFL benefits to the California Unemployment Insurance Appeals Board (CUIAB) to be 30 days. 3)Provides that, until March 1, 2018, any person who appeals a determination of SDI or PFL benefits within 30 days will be deemed to have good cause to submit the appeal after the 20 day deadline has passed. EXISTING LAW: AB 2886 Page 2 1)Establishes the SDI system to provide partial wage replacement benefits to workers who lost their job through no fault of their own. 2)Establishes the PFL system to provide partial wage replacement benefits for workers to bond with a new child or provide care for a sick family member. 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 (CUIAB) to hear appeals of unemployment insurance (UI), SDI, and PFL determinations made by EDD. FISCAL EFFECT: Undetermined COMMENTS: 1)Purpose . Senate Bill 1314 (Statutes of 2014, Chapter 399) extended the window for UI appeals from 20-30 days. The CUIAB hears appeals for all three programs (UI, SDI, and PFL) and having different appeals windows for the distinct programs adds administrative complexity. This bill simplifies CUIAB operations by establishing a single standard for timely appeals across all three programs. The bill delays implementation of this change until March 1, 2018 to allow EDD and CUIAB time to make the required changes to their computer systems. However, the bill effectively implements the 30 day rule as of January 1, 2017 by providing that appeals filed within 30 days have "good cause" to have been filed late. REGISTERED SUPPORT / OPPOSITION: AB 2886 Page 3 Support Employment Development Department (sponsor) Opposition None received Analysis Prepared by:Paul Riches / INS. / (916) 319-2086