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US Labor Department announces release of $97.7 million in unemployment insurance modernization incentive funds to Washington

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US Labor Department announces release of $97.7 million in unemployment insurance modernization incentive funds to Washington

Post by Guest on Thu Jun 30, 2011 9:36 am

"Washington has made important updates to strengthen its state unemployment insurance system and take advantage of federal incentives," said Secretary of Labor Hilda L. Solis. "As our economy continues to recover, these common-sense improvements are helping working families, strengthening our communities and building a stronger 21st century workforce."

The Washington Employment Security Department can use the funds to pay unemployment benefits or, if appropriated by the legislature, for administering its unemployment insurance program or delivering employment services.

http://www.dol.gov/opa/media/press/eta/eta20110997.htm

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Re: US Labor Department announces release of $97.7 million in unemployment insurance modernization incentive funds to Washington

Post by Guest on Thu Jun 30, 2011 11:25 am

wow they just did this in cali too.

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Re: US Labor Department announces release of $97.7 million in unemployment insurance modernization incentive funds to Washington

Post by agnes3511 on Thu Jun 30, 2011 12:19 pm

Thats great for them, but what about the other states?

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Re: US Labor Department announces release of $97.7 million in unemployment insurance modernization incentive funds to Washington

Post by laine25 on Thu Jun 30, 2011 12:59 pm

We need some $ in AZ. 15,000 will lose benefits.

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what about the 99ers

Post by woodhorse74 on Thu Jun 30, 2011 1:15 pm

Is this going to be for the 99ers on New Jersey?

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Re: US Labor Department announces release of $97.7 million in unemployment insurance modernization incentive funds to Washington

Post by ExhaustedinCA on Thu Jun 30, 2011 1:40 pm

I am not sure if any of this money states are receiving will go to "99ers", I wrote our Governor here in CA about the funding our state received and the response I got from one of his staffers was "Governor Brown is aware of all those struggling who have exhausted the 99 weeks of Unemployment Benefits but it is up to Congress to pass legislation" and then I was instructed to contact our Senators.

Keep in mind CA received $839 Million in funds and it is not a loan, none of the funds have to be paid back. When I checked with our EDD office here regarding the funding this is what their website reported as to how the money would be used.

[quote]California Receiving $839 Million to Help Enhance Unemployment Program

California is receiving $838.7 million in unemployment insurance (UI) modernization incentive funds made available through the American Recovery and Reinvestment Act (ARRA). To become eligible for the funds, the state had to adopt an alternate base period (ABP). Approved by the state legislature, the California Employment Development Department (EDD) will implement the new ABP process in April 2012.

The ABP provides for review of the most recent wages earned by a UI applicant in determining eligibility for benefits. Currently, only wages earned in the first four of the last five completed quarters are accessible for determining eligibility.

It’s estimated an additional 26,000 unemployed workers a year who were new entrants to the labor force could become eligible for unemployment benefits with the implementation of ABP.

As required by federal law, most of the money California receives in incentive funds will be deposited into the state’s UI Trust Fund since it’s operating under a deficit. As demand for unemployment benefits soared during the recession, California had to rely on a federal loan to help pay regular unemployment benefits to unemployed workers. The loan balance now totals more than $10 billion.

THE ARRA INCENTIVE FUNDS
The ARRA incentive funds will help offset that deficit, reducing the amount California employers will have to pay to eliminate the loan obligation. Employers pay contributions to the state Trust Fund on behalf of each employee to cover the cost of regular unemployment benefits but more has been paid in benefits over the last few years than received from employers.
While the majority of the ARRA funds will offset the deficit, the state legislature has approved of using $48 million to fund three years of ongoing costs associated with implementing the new alternate base period. The measure now awaits the Governor’s approval.[quote]

States do have the power to extend beyond 99 weeks as a few months ago Oregon had done, they added 6 weeks to help those exhaustees. But it is up to each state...

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Re: US Labor Department announces release of $97.7 million in unemployment insurance modernization incentive funds to Washington

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