BILL ANALYSIS �
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THIRD READING
Bill No: AB 274
Author: Garrick (R)
Amended: 6/14/11 in Senate
Vote: 21
SENATE LABOR & INDUSTRIAL RELATIONS COMM. : 5-0, 6/8/11
AYES: Lieu, DeSaulnier, Leno, Runner, Yee
NO VOTE RECORDED: Wyland, Padilla
SENATE APPROPRIATIONS COMMITTEE : Senate Rules 28.8
ASSEMBLY FLOOR : 74-0, 5/23/11 - See last page for vote
SUBJECT : Unemployment insurance benefits: claims: right
to respond
SOURCE : Author
DIGEST : This bill requires that employers be notified of
the circumstances that establish good cause under which an
employer may get an extension from the director (from the
current 10 day period) to submit information to Employment
Development Department (EDD) regarding a claim for
unemployment insurance benefits. Specifically, (1) requires
EDD, when notifying an employer that an unemployment
insurance claim has been filed, to provide the employer
with a direct Internet Web site link to the page that
describes the circumstances that establish "good cause" for
an extension of the 10 day period, (2) specifies that the
link is available at (or its successor Web site address, as
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AB 274
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updated):
http://www.edd.ca.gov/UIBDG/Miscellaneous_MI_40.htm, and
(3) specifies that EDD shall not be required to update its
standard forms, publications, and signs to comply with
these requirements until all of its existing materials for
this purpose are depleted.
ANALYSIS : Existing law provides for the Unemployment
Insurance (UI) program administered by the EDD. The UI
program provides weekly unemployment insurance payments for
workers who lose their job through no fault of their own.
Eligibility for benefits requires that the claimant be able
to work, be seeking work, and be willing to accept a
suitable job. The UI program is a federal-state program,
based on federal law, but executed through state law.
Existing law provides several definitions for good cause
under which an employee can leave their place of employment
and qualify for benefits, and establishes procedures and
presumption for the administration of benefits. Individuals
are disqualified from receiving UI benefits if it is found
they left work voluntarily without good cause or are
discharged for misconduct.
Existing law authorizes each employer affected by a claim
of UI benefits to submit to EDD any facts within its
possession disclosing whether the claimant left the
employer's employ voluntarily and without good cause or
left due to specified circumstances including misconduct,
consumption of alcoholic beverages or other intoxicants.
Existing law requires each employer, after being notified
by EDD of a UI claim, to submit within 10 days, any facts
that may affect the claimant's eligibility for benefits.
The period during which the employer may submit these facts
may be extended by the director for "good cause."
This bill requires that employers be notified of the
circumstances that establish "good cause" under which an
employer may get an extension from the director (from the
current 10 day period) to submit information to EDD
regarding a claim for UI benefits.
Specifically, this bill:
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AB 274
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1. Requires EDD, when notifying an employer that a UI claim
has been filed, to provide the employer with a direct
Internet Web site link to the page that describes the
circumstances that establish "good cause" for an
extension of the 10 day period, during which the
employer may submit facts on the claim, in accordance
with specified procedures.
2. Specifies that the link is available at (or its
successor Web site address, as updated):
http://www.edd.ca.gov/UIBDG/Miscellaneous_MI_40.htm
3. Specifies that EDD shall not be required to update its
standard forms, publications, and signs to comply with
these requirements until all of its existing materials
for this purpose are depleted.
Comments
Existing law requires EDD to provide notice of the filing
of an unemployment claim to the claimant's last employing
unit, and requires the employer to submit, within 10 days
after the mailing of the notice, any facts that may affect
the claimant's eligibility for benefits. Existing law also
authorizes the director of EDD to extend for "good cause"
the period during which the employer may submit these
facts. On its Internet Web site, EDD states that to
establish good cause, the employer must present a
substantial reason for the delay and provides examples and
criteria for the extension to be granted.
This bill clarifies the circumstances that constitute "good
cause" to request and obtain a time extension by requiring
that EDD provide employers with a direct Internet Web site
link to the page that describes this criterion.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
ASSEMBLY FLOOR : 74-0, 5/23/11
AYES: Achadjian, Allen, Ammiano, Atkins, Beall, Bill
Berryhill, Block, Blumenfield, Bonilla, Bradford,
Brownley, Buchanan, Butler, Charles Calderon, Campos,
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AB 274
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4
Carter, Cedillo, Chesbro, Conway, Davis, Donnelly, Eng,
Feuer, Fletcher, Fong, Fuentes, Furutani, Beth Gaines,
Galgiani, Garrick, Gatto, Gordon, Grove, Hagman,
Halderman, Hall, Harkey, Hayashi, Roger Hern�ndez, Hill,
Huber, Hueso, Huffman, Jeffries, Jones, Knight, Logue,
Bonnie Lowenthal, Ma, Mansoor, Mendoza, Miller, Mitchell,
Monning, Morrell, Nestande, Nielsen, Norby, Olsen, Perea,
V. Manuel P�rez, Portantino, Silva, Skinner, Smyth,
Solorio, Swanson, Torres, Valadao, Wagner, Wieckowski,
Williams, Yamada, John A. P�rez
NO VOTE RECORDED: Alejo, Cook, Dickinson, Gorell, Lara,
Pan
PQ:do 7/11/11 Senate Floor Analyses
SUPPORT/OPPOSITION: NONE RECEIVED
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