End of new pandemic overpayment blanket-waiver scenario requests

CLASSIFICATION
   EMPLOYMENT AND TRAINING ADMINISTRATION                 Unemployment Insurance
               ADVISORY SYSTEM                            CORRESPONDENCE SYMBOL
          U.S. DEPARTMENT OF LABOR                        OUI
             Washington, D.C. 20210                       DATE
                                                          January 15, 2025


ADVISORY: UNEMPLOYMENT INSURANCE PROGRAM LETTER NO. 20-21,
          Change 2

TO:            STATE WORKFORCE AGENCIES

FROM:          JOSÉ JAVIER RODRÍGUEZ
               Assistant Secretary

SUBJECT:       Announcing the End of Period for States to Request Additional Blanket
               Overpayment Waiver Scenarios under the Coronavirus Aid, Relief, and Economic
               Security (CARES) Act, as Amended

1. Purpose. To inform states that applications for additional scenarios for blanket waivers of
   recoveries of established overpayments under Unemployment Insurance Program Letter
   (UIPL) No. 20-21, Change 1, will no longer be accepted as of the publication date of this
   UIPL.

2. Action Requested. The U.S. Department of Labor’s (Department) Employment and Training
   Administration (ETA) requests State Workforce Administrators provide the information
   contained in this Unemployment Insurance Program Letter (UIPL) to the appropriate staff.

3. Summary and Background.

   a. Summary – Upon publication of this UIPL, ETA will no longer accept applications seeking
      approval of additional scenarios for use of blanket waivers of recoveries of established
      overpayments, as described in UIPL No. 20-20, Change 1.

   b. Background – On May 5, 2021, ETA issued UIPL No. 20-21 which described the
      requirements for establishing benefit overpayments for programs authorized by the
      CARES Act, as amended. The UIPL also described, among other administrative
      guidance, the statutory criteria for waiving recovery of an overpayment and provided two
      limited scenarios when a state may process “blanket waivers” as an administrative tool to
      process waivers in accordance with the statutory criteria. Attachment I to UIPL No. 20-
      21 provided a quick reference to summarize the guidelines regarding the establishment
      and recovery of overpayments across UC programs.

       On February 7, 2022, ETA issued UIPL No. 20-21, Change 1, to provide additional
       instructions for circumstances under which states may waive recovery of overpayments
       under the CARES Act UC programs. This guidance identified a total of seven scenarios
   RESCISSIONS                                             EXPIRATION DATE
   None                                                    Continuing

       as permissible scenarios for states to apply and use blanket waivers, two of which were
       previously approved under UIPL No. 20-21, and provided a process by which states
       could request that additional scenarios be considered for approval, in accordance with the
       statutory requirements to waive recovery.

4. Guidance. In light of the expiration of the programs authorized under the CARES Act in
   September 2021, and the winding down of state's administration of these programs over the
   course of the subsequent three years, we have had very few recent requests for additional
   blanket waiver scenarios. Therefore, ETA is ending the application process for requesting
   additional scenarios of blanket waivers effective upon publication of this UIPL.

   This means that no new applications for additional blanket waiver scenarios will be accepted,
   assessed, or considered as of the publication date of this UIPL. States may continue to utilize
   blanket waivers under the seven existing scenarios outlined in UIPL Nos. 20-21 and 20-21,
   Change 1. ETA may continue to approve requests for additional blanket waiver scenarios
   submitted in accordance with UIPL No. 20-21, Change 1, that were received before the
   publication date of this UIPL.

5. Inquiries. Questions should be directed to the appropriate ETA Regional Office.

6. References.

   •   American Rescue Plan Act of 2021 (ARPA), including Title IX, Subtitle A, Crisis
       Support for Unemployed Workers (Pub. L. 117-2);
   •   Consolidated Appropriations Act, 2021, including Division N, Title II, Subtitle A, the
       Continued Assistance for Unemployed Workers Act of 2020 (Continued Assistance Act)
       (Pub. L. 116-260);
   •   Coronavirus Aid, Relief, and Economic Security (CARES) Act, including Title II,
       Subtitle A, Relief for Workers Affected by Coronavirus Act (Pub. L. 116-136);
   •   Trade Adjustment Assistance Extension Act of 2011 (TAAEA) (Pub. L. 112-40);
   •   Section 303 of the Social Security Act (SSA) (42 U.S.C. §503);
   •   20 C.F.R. Part 625;
   •   UIPL No. 20-21, State Instructions for Assessing Fraud Penalties and Processing
       Overpayment Waivers under the Coronavirus Aid, Relief, and Economic Security
       (CARES) Act, as Amended, issued May 5, 2021,
       https://www.dol.gov/agencies/eta/advisories/unemployment-insurance-program-letter-no-
       20-21; and
   •   UIPL No. 20-21, Change 1, Additional State Instructions for Processing Waivers of
       Recovery of Overpayments under the Coronavirus Aid, Relief, and Economic Security
       (CARES) Act, as Amended, issued February 7, 2022,
       https://www.dol.gov/agencies/eta/advisories/unemployment-insurance-program-letter-no-
       20-21-change-1.

7. Attachment(s). N/A.