Going to leave this here for now and see if I can add to this as we understand this new bill.....

This is a link to the stimulus bill if you'd like to go over it......you should.

https://docs.house.gov/billsthisweek/20201221/BILLS-116HR133SA-RCP-116-68.pdf

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Federal guidance is out on the new unemployment provisions. Confirms that there will be no lapse in benefit weeks.

(12/30) https://wdr.doleta.gov/directives/attach/UIPL/UIPL_9-21.pdf

(12/31)https://wdr.doleta.gov/directives/attach/UIPL/UIPL_17-20_Change_2.pdf

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• FPUC: The bill revives FPUC, but reduces the supplemental weekly benefit by half. As a result, individuals who are unemployed and receiving any unemployment benefits will now be entitled to an additional $300 in benefits for each week of unemployment between December 26, 2020 and March 14, 2021.
• PEUC: The bill extends PEUC by providing for up to 24 weeks of additional unemployment benefits to eligible individuals who have exhausted the unemployment benefits available under state law. Before the CARES Act, many states capped their benefits at 26 weeks.  The CARES Act provided an additional 13 weeks of PEUC benefits.  With the newest extension to 24 weeks, eligible recipients in many states can now can now receive up to 50 weeks benefits between state programs and PEUC.  These extended benefits are also available through March 14, 2021.  After March 14, 2021, new PEUC claimants will not be eligible for the extra weeks of benefits, but individuals who had been receiving PEUC benefits as of March 14, 2021 will be eligible to continue to receive benefit payments through April 4, 2021.
• PUA: As with PEUC, the bill extends PUA benefits until March 14, 2021. After March 14, 2021, new claimants will no longer be permitted to apply for PUA benefits, but eligible individuals who were receiving PUA benefits as of that date will continue to receive benefits until April 5, 2021.  Also like PEUC, the duration of PUA benefits for eligible individuals has been extended from 39 weeks (under the CARES Act) to a total of up to 50 weeks.

The bill also extends other CARES Act unemployment provisions to March 14, 2021, including benefits made available to non-profit organizations, incentives for states to waive any one-week waiting periods, and encouraging the use of state STC programs.

New Unemployment Provisions in the New Bill

• Fraud Provisions: When the CARES Act went into effect, states were faced with processing significant numbers of claims through unemployment systems that in many cases had been underfunded for years, resulting in outdated technology, understaffed offices, and byzantine application processes. In particular, PUA presented a number of challenges because the program required a new application, was separate from any existing benefits, and was available to individuals who otherwise would not have been covered under unemployment programs.  As a result, it was widely reported that PUA benefits were not being properly processed and paid, either due to fraud or confusion on part of both the states and applicants as to who was eligible for certain benefits and how to apply.

In an apparent effort to address these issues, the new bill describes in detail the documentation required to apply for PUA benefits.  As of January 31, 2021, new applicants will have 21 days to submit documentation substantiating their employment, self-employment, or planned commencement of employment/self-employment.  Individuals already receiving PUA benefits prior to January 31, 2021 must provide documentation within 90 days of January 31.  In addition to the new documentation requirement, states now must have procedures in place to validate the identity of claimants and to ensure timely payments.  The federal government will cover costs of these procedures.

Additionally, states must have a process in place for employers to report to the state agency instances in which a former employee refuses to return to work or refuses to accept an offer of suitable work without good cause (which renders the individual ineligible for unemployment benefits).

• Mixed Earner Unemployment Compensation: Individuals who receive at least $5,000 a year in self-employment income now will receive an additional $100 weekly benefit, in addition to the benefit amounts they otherwise would be entitled to receive from traditional employment under state law.  Previously, such individuals were not eligible for PUA benefits if they received some regular state unemployment benefits for traditional employment, and regular state law benefits did not consider self-employment in calculating the benefit amounts. The new federally-funded “mixed earner” benefit is in addition to the $300 supplemental weekly benefit under FPUC, and also expires on March 14, 2021.

Because the bill was not passed until the final week of the CARES Act programs, it is possible that the extensions and new benefits may not be implemented immediately.   If the CARES Act rollout is any indication, it is likely that there will be additional federal guidance released to address the implementation of these unemployment provisions and answer certain questions the states may have.  Employers and claimants should monitor state websites for any applicable unemployment programs and up-to-date guidance.  Additionally, we will continue to monitor these development and inform our readers of any new guidance in this area.

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- As soon as the latest stimulus bill is signed into law, individuals currently claiming PUA benefits will have 90 days to submit documents proving their eligibility for the program. Failure to do so puts them at risk of having to return PUA funds provided after the bill’s enactment.

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- So people currently receiving PUA into the new year should continue to certify and collect their benefits as normal, but it is recommended they send in their verification documents as soon as possible after the new requirements are determined by their state agency.

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- The new verification requirement is not retroactive — meaning if you self-attested for PUA in 2020, but do not submit required documents for continued benefits in 2021, you will not be expected to return any PUA funds you received this year.

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- People who apply to PUA for the first time starting January 31, 2021, will have 21 days to submit their verification documents.

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- BE aware that the burden on workers and state agencies could delay unemployment payments, especially to people newly eligible for PUA. (I suggest staying up to date with your county and state websites)

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US DEPARTMENT OF LABOR: GUIDANCE SEARCH

https://www.dol.gov/guidance