Emergency Unemployment Compensation 2008 operating instructions

Accessible letter (https://www.dol.gov/sites/dolgov/files/ETA/advisories/UIPL/2008/UIPL23-08acc.pdf)

EMPLOYMENT AND TRAINING ADMINISTRATION ADVISORY SYSTEM
U.S. DEPARTMENT OF LABOR
Washington, D.C. 20210
CLASSIFICATION: EUC08
CORRESPONDENCE SYMBOL: OWS/DUIO
DATE: July 7, 2008

ADVISORY: UNEMPLOYMENT INSURANCE PROGRAM LETTER NO. 23-08

TO:            STATE WORKFORCE AGENCIES

FROM:          DOUGLAS F. SMALL /s/
Deputy Assistant Secretary

SUBJECT:       Supplemental Appropriation Act, 2008, Title IV— Emergency Unemployment
Compensation

1.      Purpose. To provide states with instructions for implementing and operating the Emergency
Unemployment Compensation, 2008 (EUC08) program, including fiscal and reporting
instructions.
2.      References. Supplemental Appropriation Act, 2008, Title IV—Emergency Unemployment
Compensation, Public Law 110-252, signed by the President on June 30, 2008; the Social
Security Act (42 U.S.C.); the Federal Unemployment Tax Act (26 U.S.C. 3301 et seq.); Section
205 of the Federal-State Extended Unemployment Compensation Act of 1970, as amended;
Section 233 of the Trade Act of 1974, as amended; 20 CFR Parts 603, 615, 616, and 650;
Unemployment Insurance Program Letter (UIPL) 29-05; UIPL 12-87; UIPL 12-87, Change 1;
and ET Handbooks 395, 401 and 410.
3.      Summary. The EUC08 program provides up to 13 weeks of 100 percent federally-
financed compensation to eligible individuals in all states.
EUC08 is payable to individuals who (1) have exhausted all rights to regular
compensation with respect to a benefit year that ended on or after May 1, 2007; and (2)
have no rights to regular compensation or extended benefits (EB); and (3) are not
receiving compensation under the unemployment compensation law of Canada.
However, the Governor of a state may elect to pay EUC08 prior to the payment of EB.
To qualify for EUC, individuals must have had employment of 20 weeks of work, or the
equivalent in wages, in their base periods. Continuing eligibility is determined under the
requirements of the state law.
EUC08 is administered through voluntary agreements between states and the U.S.
Department of Labor (the Department). EUC08 is payable in a state the week following
the week in which an agreement is signed. In most states, where the week of
unemployment ends on Saturday, the first week for which EUC08 may be paid is the
week ending July 12, 2008. In these states, the last week for purposes of an initial
determination of EUC08 eligibility is the week ending March 28, 2009. However, a
claimant who has amounts remaining in his/her EUC08 account as of this week ending
date may, if otherwise eligible, collect EUC08 through the week ending June 27, 2009.

RESCISSIONS: None
EXPIRATION DATE: July 7, 2009

States are required to submit a separate financial status report (ETA 9130) for administrative
grants and costs associated with the EUC08 program.

4.   Guidance. This document furnishes information about the EUC08 program and provides
the Department’s interpretation of Title IV of the Supplemental Appropriations Act, 2008.
It also sets forth the operating instructions to guide states in implementing and
administering the EUC08 program.
The instructions in this document are issued to states as guidance provided by the
Department in its role as the principal in the EUC08 program. As agents of the
Department in administrating the EUC08 program, states must follow the instructions
as provided in the attached operating instructions.
5.   Action. Administrators are to provide this information and instructions to the
appropriate staff.
6.   Inquiries. Direct questions to the appropriate Regional Office.
7.   Attachments.
Attachment A—Implementing and Operating Instructions for EUC08
Attachment B—General Provisions for Administering EUC08
Attachment C—Title IV—Emergency Unemployment Compensation

Attachment A: Implementing and Operating Instructions for EUC08 (https://www.dol.gov/sites/dolgov/files/ETA/advisories/UIPL/2008/UIPL23-08a1.pdf)

Attachment A to UIPL No. 23-08
Implementing and Operating Instructions for EUC08

Introduction
On June 30, 2008, the President signed Public Law 110-252, the Supplemental Appropriations Act,
2008 (Act). Title IV created the Emergency Unemployment Compensation (EUC08) program. The
EUC08 program is a federally funded benefit extension which provides up to 13 weeks of benefits to
exhaustees, as defined, who otherwise meet the requirements of the Act. This document provides
guidance to states in administering the provisions of the Act. This guidance explains the eligibility
requirements, state procedures for determining who is eligible, how to establish valid EUC08 claims,
and other administrative functions associated with the Act.
Definitions:
This section contains the definitions of terms used throughout this document. To the extent possible,
these definitions follow the extended benefit regulations found at 20 CFR 615.2, as required by
Section 4006 of the Act regarding these terms. References to 5 U.S.C. Chapter 85 relate to
Unemployment Compensation for Federal Employees (UCFE) and Unemployment Compensation for
Ex-Servicemembers (UCX).

1. “Act” means Title IV of the Supplemental Appropriations Act, 2008, which establishes the
Emergency Unemployment Compensation program.
2. “Additional Compensation” (AC) means compensation totally financed by a state and payable
under a state law by reason of conditions of high unemployment or by reason of other special
factors.
3. “Agreement” means the agreement between a state and the Department of Labor (the
Department) under which the state agency makes payments, as the Department’s agent, of
EUC08 in accordance with the Act as interpreted by the Department as set forth in these
instructions or any other instructions issued by the Department.
4. “Applicable Benefit Year” means, with respect to an individual, the current benefit year if, at
the time an initial claim for EUC08 is filed, the individual has an unexpired benefit year only
in the state against which claim is filed, or, in any other case, the individual’s most recent
benefit year ending on or after May 1, 2007. For this purpose, the most recent benefit year,
for an individual who has unexpired benefit years in more than one state when an initial
claim for EUC08 is filed, is the benefit year with the latest ending date or, if such benefit
years have the same ending date, the benefit year in which the latest continued claim for
regular compensation was filed.
Note. The Act requires individuals to “have exhausted all rights to regular compensation
under the State law or under Federal law with respect to a benefit year (excluding any benefit
year that ended before May 1, 2007).” (Section 4001(b)(1) of the Act. Emphasis added.) In
the majority of states, where benefit years end on Saturday, the practical effect is that the Act
applies to individuals with benefit years ending on or after Saturday, May 5, 2007.



5. “Applicable State” means the state with respect to which the individual is an exhaustee for
EUC08 purposes, and, in the case of a combined wage claim for regular compensation, the term
means the “paying state” for such claim as defined in 20 CFR 616.6(e).
6. “Applicable State Law” means the state law of the state which is the applicable state for an
individual.
7. “Base Period” means the base period as determined under the applicable state law for the
individual's applicable benefit year.
8. “Benefit Year” means the benefit year as defined in the applicable state law.
9. “Compensation” means cash benefits (including dependents’ allowances) payable to
individuals with respect to their unemployment, and includes regular compensation,
additional compensation, extended compensation, and EUC08 as defined in this section.
10. “Department” means the U.S. Department of Labor.
11. “Emergency Unemployment Compensation” means the compensation payable under the Act,
and which is referred to as EUC08.
12. “Extended compensation” means the extended unemployment compensation payable to an
individual for weeks of unemployment which begin in an extended benefit period, under those
provisions of state law which satisfy the requirements of the Federal-State Extended
Unemployment Compensation Act of 1970 (hereafter called the Federal-State EB law), and,
when so payable, includes compensation payable pursuant to 5 U.S.C. Chapter 85, but does
not include regular compensation or additional compensation. Extended compensation is
referred to as Extended Benefits or EB.
13. “Regular compensation” means compensation payable to an individual under any state law,
and, when so payable, includes compensation payable under 5 U.S.C. Chapter 85, but does
not include extended compensation or additional compensation.
14. “Secretary” means the Secretary of Labor of the United States.
15. “State” means the states of the United States, the District of Columbia, the Commonwealth of
Puerto Rico, and the Virgin Islands.
16. “State Agency” means the state unemployment compensation agency of the state
administering the state law.
17. “State Law” means the unemployment compensation law of a state approved by the Secretary
under Section 3304(a) of the Internal Revenue Code of 1986 (26 USC 3304(a)).
18. “Week” means a week as defined in the applicable state law.


19. “Week of Unemployment” means a week of total, part-total, or partial unemployment as
defined in the applicable state law, which shall be applied in the same manner to the same
extent to claims filed under the requirements of this Act.

Operating Instructions:

1.      Eligibility for EUC08.
a.      Basic Eligibility Requirements. To be eligible for a week of EUC08, in addition to
meeting the applicable state law provisions, individuals must:
(1)    have exhausted all rights to regular compensation under the applicable state
law with respect to the applicable benefit year;
(2)    have no rights to regular or extended compensation with respect to the week
under such law or any other state or Federal unemployment compensation
(UC) law;
(3)    not be receiving compensation with respect to such week under the UC law of
Canada;
(4)    be legally authorized to work in the United States. In determining work
authorization, states will follow the procedures provided in section 1137(d) of
the Social Security Act (42 U.S.C. 1230b-7(d)) and as explained in UIPL 12-
87 and UIPL 12-87, Change 1; and
(5)    have had 20 weeks of full-time insured employment or the equivalent in
insured wages, as determined under the provisions of the state law
implementing section 202(a)(5) of the Federal-State EB law.
b.      Determining Exhaustees.
(1)    Under Section 4001(c) of the Act, for an individual to be considered to have
exhausted benefit rights to regular compensation in an applicable benefit year
(for purposes of meeting the first EUC08 eligibility criterion), the individual
must have either:
(A)       received all regular compensation payable based on employment and/or
wages during the applicable base period; or
(B)       had rights to regular compensation terminated by reason of the
expiration of the applicable benefit year in which these rights existed.
(2)    Exhaustees cease to be exhaustees when they can establish a valid new benefit
year; therefore, at each quarter change, the state must check to see if an
individual meets the state’s requirements to establish a new benefit year. If the
individual can establish a new benefit year, s/he would no longer qualify for
the EUC08 claim. In these cases, the claimant should be advised that s/he no
longer qualifies for the EUC08 claim and that s/he can file a regular UI claim.


Once the claimant qualifies for a new claim, the payments on the EUC08 claim
must end, even if the Weekly Benefit Amount (WBA) for the new claim is
lower than what the claimant was receiving on the EUC08 claim.
Note. The requirement to check eligibility for regular compensation at each
quarterly change was not explicitly stated in the guidance implementing the
Temporary Extended Unemployment Compensation Act of 2002. However,
the Department has determined that it is a method of administration necessary
for assuring that individuals have in fact exhausted regular compensation as
required by the Act.

2.   Beginning and Ending of the EUC08 Program in a State. Under Section 4007 of the Act,
EUC08 is payable in a state beginning with the first week which begins after the date an
Agreement is signed between the state and the Department. No new EUC08 determinations
may be made for weeks of unemployment ending after March 31, 2009. In most states, where
weeks of unemployment end on Saturday, this means no new EUC08 determinations may be
made for weeks beginning after March 28, 2009.
However, an individual having amounts remaining in his/her EUC08 account as of March 31,
2009, may collect the remaining balance in subsequent weeks, if otherwise eligible. Any
individual who qualifies for this phase-out is limited to the amount in the account as of this
date. No EUC08 may be paid under this phase-out “for any week beginning after June 30,
2009.” In states where weeks of unemployment end on Saturday, this means the last week of
EUC08 payable during this phase-out is the week ending June 27, 2009.
3.   Termination of EUC08 Agreement. The agreement provides that it may be amended by
mutual consent and may be terminated by either party on thirty days’ written notice. In the
case of termination, the EUC08 period will end 30 days from the date the state notifies the
Secretary of its election to terminate the EUC08 program. No EUC08 will be payable for
weeks which begin after the date the termination of the agreement is effective. However,
EUC08 is payable for weeks of unemployment up to such termination date.
4.   Notifications.
a.      Identification and Notification of Potentially Eligible Claimants. The state must
identify individuals who are potentially eligible for EUC08 and provide them with
appropriate written notification of their potential entitlement to EUC08, including
filing instructions.
b.      Interstate Claims. EUC08 is payable to individuals filing under the Interstate Benefit
Payment Plan in the same manner and to the same extent that benefits are payable to
intrastate claimants.
The liable state is responsible for identifying and notifying all potentially eligible
interstate claimants of their potential eligibility, including filing instructions.


c.      Notification of Media. To assure public knowledge of the status of the EUC08
program, the state must notify all appropriate news media having coverage throughout
the state of the beginning of the EUC08 program.

5.   Relation of Extended Benefits to EUC08. Section 4001(e) of the Act allows, if state law
permits, the payment of EUC08 prior to EB to individuals who are otherwise eligible for
EUC08. If a state elects to pay EUC08 prior to EB, the amount of the individual’s EB
entitlement is not otherwise affected; EB is deferred, not reduced. Therefore, if the state is in
an EB period when the individual exhausts his or her EUC08 claim, s/he may receive any
remaining EB entitlement, as long as s/he met the EB eligibility provisions. There is no
provision in the Act that authorizes states to trigger “off” an EB period.
The following provisions from the Federal-State EB law do not apply to the EUC08 program:
a.      The suitable work and work search requirements of Section 202(a)(3); and
b.      The requirement of employment to purge certain disqualifications found in Section
202(a)(4).
Note, however, that the Federal-State EB law’s 20-weeks of work requirement must be met.
See item 10.c.(1) below.
6.   Effect of Additional Compensation Eligibility in a State. Section 4001(b)(2) of the Act
requires that an individual have no rights to regular compensation or EB in order to meet the
eligibility requirements for EUC08. AC is not considered regular compensation or EB;
therefore, EUC08 is payable regardless of an individual’s AC eligibility. A state with an AC
program in effect may pay AC following the payment of EUC08. AC does not affect the
EUC08 maximum benefit amount (MBA).
7.   Applicability of State Law Provisions. Under Section 4001(d)(2) of the Act, applicable state
law provisions which apply to the payment and continuing eligibility for regular
compensation also apply to the payment of EUC08.
An individual is not entitled to receive EUC08 for a week for which the individual is
disqualified under the applicable state law. For example, if the applicable state law requires,
as a condition of eligibility for regular compensation, that an individual be able and available
for work, this requirement applies to EUC08. If an individual is not able or available for
work, the individual would be disqualified from receiving EUC08 until the individual became
able and available again.
8.   Effect of Other UI-Related Programs on Eligibility for EUC08.
a.      Trade Readjustment Allowances (TRA). The maximum amount of EUC08 payable to
an individual who is also entitled to TRA shall not be reduced by reason of TRA
entitlement. However, under Section 233(a)(1) of the Trade Act of 1974, as amended,
the individual’s entitlement to EUC08 will reduce the individual’s maximum amount
of “basic” TRA payable if the EUC08 is payable during the UI benefit period
established by or in effect at the time of the individual’s first TRA qualifying


separation under the applicable trade adjustment assistance certification issued by the
Department. (For the definition of “benefit period,” see 20 CFR 617.3(h).) If the
EUC08 entitlement occurs during a UI benefit period subsequent to the one in which
the individual’s first TRA qualifying separation occurred, the maximum amount of
“basic” TRA payable will not be reduced by the amount of EUC08 entitlement. In
either case, however, the individual is not eligible for TRA until EUC08 entitlement is
exhausted.
The provisions of Section 233(d) of the Trade Act of 1974, as amended, (relating to
reduction of EB entitlement because of the receipt of TRA in the most recent benefit
year) are not applicable to determinations of entitlement to EUC08.
b.      Disaster Unemployment Assistance (DUA). An individual is not eligible for DUA
with respect to a week of unemployment under Section 410 of the Robert T. Stafford
Disaster Relief and Emergency Assistance Act, as amended, (42 U.S.C. 5177) if the
individual is eligible to receive EUC08 compensation for that week.

9.    Establishment of EUC08 Account. Section 4002(a) of the Act requires the state to establish
an EUC08 account for each eligible individual. The maximum benefit amount (MBA) in the
individual’s account will be equal to the lesser of 50 percent of the total amount of regular
compensation or 13 times the average regular compensation WBA for a week of total
unemployment (including dependents’ allowances in either case) payable to the individual
with respect to the “applicable benefit year.”
If a redetermination or an appeal decision results in a determination that an individual is
entitled to more or less regular compensation, the individual’s status as an exhaustee must be
redetermined, as appropriate, and an appropriate change shall be made in the individual’s
EUC08 account.
10.   EUC08 WBA and Other Information.
a.      Total Unemployment. The WBA payable to an individual for a week of total
unemployment is equal to the individual’s most recent weekly benefit amount (including
any dependents’ allowances) for the applicable benefit year.
b.      Partial and Part-Total Unemployment. To determine the amount payable for a week of
partial or part-total unemployment, the state will calculate the payment amount in
accordance with the state law applicable to such a week of unemployment.
c.      Exceptions. The terms and conditions of the state law which apply to claims for regular
compensation and to the payment thereof shall apply to claims for EUC08 and the
payment thereof, except:
(1)    the individual must have 20 weeks of full-time insured employment or the
“equivalent” in insured wages in the individual’s applicable base period as
determined under the provisions of the state law implementing section
202(a)(5) of the Federal-State EB law and 20 CFR 615.4(b). The equivalent in


insured wages equals 40 times the individual’s most recent weekly benefit
amount, or 1.5 times the individual’s high quarter insured employment.
To determine which of these earnings requirements the state may use to
determined if the claimant has a qualifying applicable benefit year for EUC08,
the state must consult “the provisions of state law implementing Section
202(a)(5).” Thus, for example, if the state law authorized the use of just one of
the three requirements, the state may only use that single requirement for
EUC08 purposes. If the state law authorizes the use of two alternatives, then
the state may use the two alternatives and if the state law authorizes the use of
all three alternatives, then all three alternatives may be used; and
(2)    where otherwise inconsistent with the provisions of the Act or with the
operating instructions promulgated to carry out the Act; and
(3)    the maximum amount of EUC08 payable to any individual for whom a EUC08
account is established under Section 4002 shall not exceed the amount established
in such account for such individual.

11.   Record Maintenance and Disposal of Records. The state will maintain EUC08 claims and
payment data (including data on eligibility, disqualification and appeals) as required by the
Department.
a.      Record Maintenance. Each state will maintain records on the administration of the
EUC08 program, and will make all such records available for inspection, examination,
and audit by such federal officials or employees as the Secretary or the Department may
designate or as may be required by the law.
b.      Disposal of Records. The electronic/paper records created in the administration of the
EUC08 program must be maintained by the state for 3 years after final action (including
appeals or court action) on the claim, or for less than the 3-year period if copied by micro
photocopy or by an electronic imaging method. At the end of the 3 year period, the
EUC08 records are transferred to state accountability under the conditions for the
disposal of records that apply to UCFE and UCX records as explained in Chapter XXII of
ET Handbook No. 391 (1992 Edition) and Chapter I, Page I-15, of ET Handbook No. 384
(1984 Edition).
12.   Disclosure of Information. Information in records made and maintained by the state agency in
administering the Act must be kept confidential, and information in such records may be
disclosed only in the same manner and to the same extent as information with respect to regular
compensation, and the entitlement of individuals thereto, may be disclosed under provisions of
the applicable state law meeting the requirements of 20 CFR part 603. This provision on the
confidentiality of information obtained in the administration of the Act shall not apply, however,
to information, reports and studies with no individual identifiers.
13.   Inviolate Rights to EUC08. Except as specifically provided in these instructions, the rights of
individuals to EUC08 shall be protected in the same manner and to the same extent as the rights


of persons to regular compensation are protected under the applicable state law. Such measures
must include protection of claimants for EUC08 from waiver, release, assignment, pledge,
encumbrance, levy, execution, attachment, and garnishment, of their rights to EUC08. In the
same manner and to the same extent, individuals shall be protected from discrimination and
obstruction in regard to seeking, applying for and receiving EUC08.

Processing claims for EUC08

1.    Applicability of State Law Provisions. Under Section 4001(d)(2) of the Act, except where
inconsistent with the Act or with the operating instructions promulgated to carry out the Act, all
terms and conditions of the state unemployment compensation law applicable to claims for and
payment of regular compensation, apply to claims for, and payment of, EUC08. The provisions
of the applicable state law that apply to claims for EUC08 include but are not limited to:
a.      Claim Filing and Reporting;
b.      Information to individuals, as appropriate;
c.      Notices to individuals and employers, as appropriate, including notice to each individual
of each determination and redetermination of eligibility for or entitlement to EUC08;
d.      Determinations, redeterminations, appeals, and hearings;
e.      Disqualification, including disqualifying income provisions;
f.      Ability to work and availability for work, including legal authorization to work in the
United States;
g.      The Interstate Benefit Payment Plan; and
h.      The Interstate Arrangement for Combining Employment and Wages.
2.    Claims for EUC08.
Note: In processing claims for EUC08, although states will need to verify that claimants have no
regular UI entitlement, there is no requirement that the claimant file a regular UI initial claim.
Each application should result in only one initial claim; a claimant application will result in
either a regular UI initial claim or an initial EUC08 claim (which could be a denied claim).
a.      Intrastate Initial Claims. An initial claim for EUC08 will be filed by an individual
according to the applicable state’s manual, remote, or electronic filing procedures. As
noted above, this shall not be counted as a regular UI claim.
b.      Interstate Initial Claims. Interstate EUC08 claims will be filed on the same forms and in
the same manner as all other interstate initial claims against the liable state. Before
accepting an initial EUC08 claim, the agent or liable state, whichever is taking the claim,
must review the individual’s work history, examine potential entitlement and advise the
individual of all filing options. If the individual has sufficient employment and wages to
establish a new benefit year under any state or federal program, including the combined


wage arrangement, there is no eligibility under the EUC08 program. When an initial
EUC08 claim is filed through the agent state, the state will:
(1)    Complete an Initial Interstate Claim, Form IB-1, check claim type “other” and
identify as EUC08;
(2)    Review the individual’s work history and advise the individual of all filing
options; and
(3)    Transmit a TC-IB1 to the liable state.
c.      Intrastate and Interstate Weeks Claimed. Claims for payments of EUC08 for weeks of
unemployment must be filed at the same times and in the same manner as claims for
regular compensation are filed under the applicable state law, and on forms or electronic
filing procedures as furnished to the individual by the state agency.
d.      Combined Wage Claims (CWC). EUC08 is payable to individuals filing under the
Interstate Arrangement for Combining Employment and Wages in the same manner and
to the same extent that benefits are payable to other intrastate or interstate claimants.
Administrative, entitlement and eligibility requirements provided in these instructions
also apply to claims filed under the CWC program, except where clearly inconsistent
with combined wage (and interstate, when applicable) procedures, policies and rules.
When an EUC08 determination or redetermination is issued on a CWC claim, no Report
of Determination of Combined-Wage Claim, TC-IB5, will be issued to the transferring
state. The paying state will not bill transferring states for EUC08. The paying state will
charge all EUC08 compensation paid on CWC claims directly to the EUCA in
accordance with the fiscal instructions provided in these instructions.

3.   Secretary’s Standard. The procedures for reporting and filing claims for EUC08 must be
consistent with these instructions and the Secretary’s “Standard for Claim Filing, Claimant
Reporting, Job Finding and Employment Services" (Employment Security Manual, Part V,
sections 5000 et. seq.).
4.   Determination of Entitlement: Notices to Individuals.
a.      Determination of Initial Claim. When an individual files an initial claim for EUC08, the
state agency must determine promptly the eligibility of the individual and, if eligible, the
weekly and maximum amounts of EUC08 payable. If denied EUC08, the individual
must be issued an appealable determination.
b.      Determination of Weekly Claims. The state agency must promptly, upon the filing of a
claim for a payment of EUC08 for a week of unemployment, determine whether the
individual is entitled to a payment of EUC08 for such week, and, if entitled, the amount
of EUC08 to which the individual is entitled to and issue a prompt payment.


c.      Redetermination. An individual filing an EUC08 initial claim or weekly certification has
the same rights to request a reconsideration of a determination as are provided for in the
applicable state law for regular compensation.
d.      Notices to Individual. The state agency must give written notice to the individual of any
determination or redetermination of an initial claim and all weekly claims. Each notice
must include such information regarding rights to reconsideration or appeal, or both,
using the same process that is used for redeterminations of regular compensation. The
state agency must also provide the following notice to all claimants filing an initial claim
for EUC08:

NOTICE
Under 18 U.S.C.§1001, knowingly and willfully concealing a material fact by any trick,
scheme, or device or knowingly making a false statement in connection with this claim is a
Federal Offence, punishable by a fine or imprisonment for not more than five years, or
both, under Title 18 of the United States Code.

e.      Promptness. Full payment of EUC08 when due must be made with the greatest
promptness that is administratively feasible.
f.      Secretary’s Determination Standard. The procedures for making determinations and
redeterminations and furnishing written notices of determinations, redeterminations, and
rights of appeal to individuals claiming EUC08 must be consistent with the Secretary’s
“Standard for Claim Determinations—Separation Information" (Employment Security
Manual, Part V, sections 6010 et seq.)

5.   Appeal and Hearing.
a.      Applicable State Law. The applicable state law provisions concerning the right of appeal
and fair hearing from a determination or redetermination of entitlement to regular
compensation shall apply to determinations and redeterminations of eligibility for or
entitlement to EUC08.
b.      Rights of Appeal and Fair Hearing. The right of appeal and opportunity for a fair hearing
to claims for EUC08 must be consistent with these instructions and with sections
303(a)(1) and 303(a)(3) of the Social Security Act (SSA) (42 U.S.C. 503(a)(1) and
503(a)(3)).
c.      Promptness of Appeals Decisions.
(1)    Decisions on appeals under the EUC08 Program must accord with the "Standard
for Appeals Promptness—Unemployment Compensation" in 20 CFR Part 650.
(2)    Any applicable state law provision allowing the advancement or priority of
unemployment compensation cases on judicial calendars, or otherwise intended to


provide for the prompt payment of unemployment compensation when due, must
apply to proceedings involving entitlement to EUC08.

6.   Fraud and Overpayment, Section 4005 of the Act. The Act contains specific provisions
regarding fraud and overpayments of EUC08. Applicable state law provisions regarding the
detection and prevention of fraudulent overpayments of EUC08 must be, as a minimum, the
same as those applied by the state for regular compensation and must be consistent with the
Secretary’s “Standard for Fraud and Overpayment Detection" (Employment Security Manual,
Part V, Sections 7510 et seq.).
a.      Fraudulent Claiming of EUC08. Section 4005(a) of the Act provides for penalties for
filing a fraudulent claim for EUC08. Specifically, if the individual knowingly makes or
causes to be made by another, a false statement or fails to disclose or causes another to
fail to disclose a material fact that would cause an overpayment of EUC08 benefits, the
individual:
(1)    shall be ineligible for further EUC08 in accordance with the provisions of the
applicable state unemployment compensation law relating to fraud in connection
with a claim for unemployment compensation, and
(2)    shall be subject to prosecution under Section 1001 of Title 18, U.S.C.
Applicable state law provisions relating to disqualification for fraudulently claiming or
receiving a payment of compensation shall apply to claims for and payment of EUC08.
When a state has sufficient facts to make a prima facie case under 18 U.S.C. 1001, the
state must consider referral to OIG for criminal prosecution in accordance with the
provisions of the Memorandum of Understanding between the Department of Labor’s
Office of Inspector General and the Employment and Training Administration, which
was transmitted as an attachment to UIPL No. 29-05.
States must pursue EUC08 fraud cases in the same way all other state and federal claims
are handled.
b.      Overpayments. Under Section 4005(b) of the Act, each state must require repayment
from individuals who have received any overpayment of EUC08 (whether fraudulent or
non-fraudulent), unless the state, under the optional language of Section 4005(b), elects
to waive recovery. The option to waive recovery applies only to non-fraudulent
overpayments.
(1)    Application of State Waiver Provision. If the state has a state law waiver
provision for regular compensation, the state provision may be applied to non-
fraudulent EUC08 overpayments if the provision requires the state to determine
that:
(A)     the payment of such EUC08 was without fault on the part of the
individual, and
(B)     such repayment would be contrary to equity and good conscience.


In making these determinations, the state must apply the same standards as are applied in
making such determinations with respect to the waiver of overpayments of regular
compensation.
(2)    Optional EUC08 Waiver. Under Section 4005(c) of the Act, any state that does
not have a state waiver provision or does not have a state waiver provision that
meets both the “fault” and “equity and good conscience” requirements stated in
paragraph (1) above may adopt this optional EUC08 waiver. If the state elects to
implement the optional EUC08 waiver, it may not do so until it has issued agency
operating instructions for staff to follow.
(A)      The state may waive recovery of a non-fraudulent EUC08 overpayment if
it determines that:
i.      the payment of such EUC08 was without fault on the part of the
individual, and
ii.      such repayment would be contrary to equity and good conscience.
(B)      In determining whether fault exists, the following factors must be
considered:
i.      Was a material statement or representation made by the individual
in connection with the application for EUC08 resulting in the
overpayment, and did the individual know, or should the individual
have known, that the statement or representation was inaccurate?
ii.      Did the individual fail, or cause another to fail, to disclose a
material fact in connection with an application for EUC08
resulting in the overpayment, and did the individual know or
should the individual have known that the fact was material?
iii.      Did the individual know, or would s/he have been expected to
know, that s/he was not entitled to the EUC08 payment?
iv.       Did the overpayment result directly or indirectly, and partially or
totally, from any act or omission of the individual and which was
erroneous, inaccurate or otherwise wrong and the individual knew
or could have been expected to know that the act or omission was
erroneous or inaccurate or otherwise wrong?
(C)      In determining whether equity and good conscience exists, the following
factors must be considered:
i.      Was the overpayment the result of a decision on appeal?
ii.      Had the state agency given notice to the individual that the
individual may be required to repay the benefit payment in the
event of a reversal of the eligibility determination on appeal?


iii.      Will recovery of the overpayment cause financial hardship to the
individual?
(3)   Recovery of Overpayments, Section 4005(c) of the Act. The Act requires that no
repayment of an EUC08 overpayment may be required, and no deduction may be
made, until a determination has been issued and an opportunity for a fair hearing
has been given to the individual concerned, and the determination has become
final. When the determination requiring repayment is issued, the state shall
restore the full amount of the recoverable overpayment to the individual’s EUC08
available account balance.
(A)      Unless an EUC08 overpayment is recovered, or is waived, the state may,
during the three-year period after the date the individual received the
payment of EUC08 to which the individual was not entitled, recover the
overpayment by deductions from any sums payable to the individual under
any state or Federal UC law administered by the state or any other Federal
law administered by the state which provides for the payment of any
assistance or an allowance with respect to unemployment. Such
recoveries may only be made as described in (F) and (G) below.
(B)      To the extent permitted under state law, an EUC08 overpayment may be
recovered by offset, except that:
i.      No single offset may exceed 50 percent of the amount otherwise
payable to the individual for the week; and
ii.      Any offset of compensation payable is limited to the three-year
period following the date that the claimant received the improper
payment(s).
(C)      At the end of the three-year period, the state may remove the overpayment
from its accounting records. Although no further active collection efforts
by the state are required, the state must maintain an administrative record
during the subsequent three-year period to provide for possible collection.
After the subsequent three-year period (a total of six years from the date
the claimant received the improper payment(s)), the state may dispose of
the overpayment record.
(D)      EUC08 overpayment recovery shall be enforced by any action or
proceeding which may be brought under state or Federal law, unless
recovery of the overpayment is waived or prohibited in accordance with
the Act and the instructions in this section.
(E)      Overpayments of EUC08 recovered in any manner must be deposited into
the fund from which payment was made.
(F)      If a state has an agreement in effect with the Secretary to implement the
cross-program offset provisions of Section 303(g)(2) of the SSA, EUC08


payments shall be used to offset state compensation overpayments, and
state compensation payments shall be used to offset EUC08
overpayments.
If the state does not have an agreement with the Secretary under Section
303(g)(2), SSA, the state may not use EUC08 to offset a state
compensation overpayment, but may under Section 303(g)(1), SSA, offset
state compensation payments to recover EUC08 overpayments.
(G)   If a state has the cross-program offset agreement and an Interstate
Reciprocal Overpayment Recovery Arrangement in effect with the
National Association of State Workforce Agencies, EUC08 payments may
be used to offset state compensation overpayments for other states that
also have both agreements in effect.
If the other state does not have an agreement with the Secretary under
Section 303(g)(2), SSA, EUC08 benefits may only be used to offset
overpayments of Federal benefits for the other state.


Financial Information and Instructions

1.    Payment to States.
a.      Requesting EUC08 Benefit Funds. Under Section 4003 of the Act, each state that has
entered into an agreement to pay EUC08 will be paid an amount equal to l00 percent of
the amount of EUC08 paid to individuals by the state under the agreement and in full
accordance with the Act and these instructions. States will request funds from the
Emergency Unemployment Compensation Account (EUCA) to pay all EUC08 benefits
attributable to all claim types (UI, UCFE, and UCX). All requests will go through the
Automated Standard Application for Payments (ASAP) system. Drawdown requests
must adhere to the funding mechanism stipulated in the Treasury-State Agreement
executed under the Cash Management Improvement Act of 1990. Requests will be
funded in the same manner as all ASAP transactions elected by the states (FEDWIRE or
ACH to the state benefit payment account).
There will be one new line in the ASAP for making drawdowns to pay EUC08 benefits,
refer to #3 below for drawdown instructions. The line will be clearly labeled
EMERGENCY UNEMP COMP (EUC08). The Bureau of Public Debt, managers of the
Unemployment Trust Fund (UTF), will immediately inform state users of the ASAP of
any modifications to screens or drawdown instructions.
EUC08 benefits paid to former employees of state and local governments, former Federal
employees and former service members, “501(c)(3)” nonprofit organizations and
federally recognized Indian tribes are funded from U.S. Treasury general revenues
through the EUCA. This does not affect the process for requesting funds, but does affect
the reporting of those benefits on the ETA 2112. States are to report all EUC08
payments, including reimbursable, UCFE/X on line 39, column F. (Note that it does not
matter whether these employers have elected reimbursement status.) See Reporting
Instructions, Paragraph 2.f for details.
b.      EUC08 Administrative Funds. Section 4004(c) of the Act appropriates funds from the
Employment Security Administration Account (ESAA) in the UTF, to pay costs related
to the administration of the EUC08 agreement. Section 4004(c) also authorizes the
Secretary to determine the amount to be paid to states for processing EUC08 workloads.
States will receive EUC08 administrative funds through the contingency entitlement
process. See Reporting Instructions, Paragraph 2.h. The supplemental budget request
process will be used for states to request funds for implementation.
2.    EUC08 Accounting.
a.      Obligational Authority. The Grant Officer will assign a separate line on the UI program
notices of obligational authority for EUC08 administrative grant funds, and a separate
sub-account for EUC08 will be set up in the Payment Management System for states to
draw down EUC08 administrative funds.


b.      Administrative Fund Accounting. Because of the separate appropriation for EUC08
administrative funds and the availability of these funds until expended, states must track
and report EUC08 administrative expenditures and obligations separately from the
regular UI program. Therefore, states must establish a separate fund ledger and must
submit a separate ETA 9130 for the EUC08 program. States are to include any EUC08
administrative expenditures and obligations incurred in June 2008 in their September 30,
2008, EUC08 ETA 9130 report.
c.      Time Distribution. To ensure that regular UI and EUC08 costs are tracked separately,
states need to charge time used for all EUC08 activities to the appropriate UI functional
activity codes as outlined in Appendix E to ET Handbook No. 410 under the separate
EUC08 fund ledger; however, states should combine regular and EUC08 staff year usage
data in Section A of the UI-3 worksheet.
d.      Accounting for EUC08 Payments (Benefits).
(1)    EUC08 advances to the states’ UTF accounts and disbursements for EUC08
benefit payments will be reported on the monthly ETA 2112. Do not use a
separate form for this report. (See Reporting Instructions.) Accurate reporting of
advances, reimbursements and payments is important due to the monthly
reconciliation of balances with Department of Labor records.
(2)    Since EUC08 paid to UCFE and UCX claimants will be funded out of General
Revenues, the Federal Employees Compensation (FEC) Account will not be used
to pay EUC08 benefits. Therefore, Federal agencies will not be required to
reimburse the Unemployment Trust Fund for EUC08 paid to ex-Federal civilian
and military employees. The ETA 191 report and UCFE/UCX detailed claimant
data provided by states to Federal agencies must exclude EUC08.

3.   Processing Refunds. There are two scenarios for returning funds to the program line for EUC08.
a.      The most likely scenario will be when the state has funds in its state benefit payment
account and needs to return those funds to the EUCA. This should be completed as a
negative amount posted to the appropriate line in ASAP. To accomplish this, the total
draw for the day in ASAP must be greater than the negative balance posted to the
appropriate line.
b.      The second scenario is when a state actually has the funds in its Federal UI account that
are required to be returned to the appropriate program line. This should be accomplished
by the state processing a book transfer transaction that accomplishes a transfer from its
UI account to the appropriate program under the EUCA account.


Reporting Instructions

1.    General. The EUC08 program reports, ETA 207, ETA 218, ETA 227, ETA 5130 and ETA
5159 must be submitted electronically by using separate EUC08 entry screens that are
available through the UI Required Reports electronic reporting system. EUC08 activity should
also be reported on the ETA 2112, ETA 539 and UI-3 as specified below in section 2. Unless
otherwise noted, definitions of items will follow definitions in the regular program as specified
in ETA Handbook 401, 4th Edition. Due dates will be the same as the regular versions of
reports.
Reporting will begin with the first reporting period in which the effective date of the EUC08
program falls. Reporting for all reports except the ETA 2112 will continue for twelve full
months or four full quarters after the last payable week of the EUC08 program. For those
reporting periods in this post-EUC08 time frame, only reports with non-zero data need be
submitted. Reporting on the ETA 2112 must continue for as long as there is activity.
2.    Data Items to be Reported.
a.      ETA 207. Report column 1, Total Determinations and Redeterminations, for lines 101
through 106. Report also lines 201 and 202, columns 7 through 10; and lines 301 and
302, columns 11, 12, 14, and 17.
b.      ETA 218. Report line 100, columns 1 through 3.
c.      ETA 227. Report Section A, Overpayments Established, lines 101 and 103, for
columns 2 through 5. Also report all of Section C, Recovery/Reconciliation, excluding
lines 303-307, columns 11-14.
d.      ETA 5130. Report all data elements.
e.      ETA 5159. For Section A, Claims Activities, report initial claims information for
columns 2 through 5 and column 7 for lines 101 through 103. Report eligibility
reviews and continued weeks claimed activity for columns 8 through 12 for lines 201
through 203. The claims information needed for column 11 for lines 201 through 203
will be identified as entitlement type “code 2” (Federal Benefit Extension) in field
number 28 on the Interstate Liable-Agent Data Transactions (LADT). For Section B,
Payment Activities, report columns 14, 15, 17, 18, and 19 for lines 301 through 302 and
columns 21 and columns 24 through 28 for line 303.
(1)    First Payments. Report the first payment under EUC08 program.
(2)    Final Payments. A final payment is to be reported when a payment is issued that
exhausts the benefit entitlement in the individual’s EUC08 account.
f.      ETA 2112. Regular activity must be reported in the aggregate on the electronic
regular ETA 2112 report as usual. Information reflecting EUC08 activity must be
reported as follows:


(1)   Line 16. Intra-Account Transfer. Include in line 16F the amount of EUC08
funds transferred from the UTF to the state benefit payment account. Line 16F
must equal Line 47E.
(2)   Line 23. Federal Extended Compensation. Enter in columns C and E the
amount of Federal funds received as advances or reimbursement for EUC08.
(3)   Lines 33, 34, 35. Enter total benefits paid, attributable to state and local
governments, section 501(c)(3) nonprofits, and federally recognized Indian
tribes, as appropriate, on the appropriate line for the type of employer, excluding
EUC08 benefits.
(4)   Line 36. UCX Net Payments. Enter in columns C and F the net Federal
portion of unemployment compensation paid to former members of the armed
services, excluding EUC08. The total payments should be adjusted for
refunds deposited during the month, credits and recharges, and cancellations
and reissuances.
(5)   Line 39. EUC08 Activity. Enter in columns C and F the net amount for which
the Federal government is liable for EUC08, including for UCFE and UCX
claimants. Break out all disbursements by program in the “Comments”
section as follows:
(A)    FUTA Funded - EUC08 benefits based on services for employers, except
those listed in (B). For example, FUTA = $XXX.
(B)    General Revenues (GR) Funded – EUC08 benefits paid based on services
performed for the Federal government (UCFE and UCX), state and local
government (contributory and non-contributory), section 501(c)(3) non-
profit employers (contributory or non-contributory employers to which
Section 3309(a)(1) of the Internal Revenue Code applies), and federally
recognized Indian Tribes (contributory or non-contributory). For example,
GR = $YYY.
(6)   Line 42. Federal Emergency Compensation. Enter in columns C and F the net
Federal Emergency Compensation paid for which the Federal government is
liable. Examples are past emergency or supplemental benefits programs
authorized and financed entirely by the Federal government during periods of
high unemployment, such as SUA – Special Unemployment Assistance, FSB –
Federal Supplemental Benefits, or FSC - Federal Supplemental Compensation
programs. (Note that payments under the Emergency Unemployment
Compensation of 1991 and the Temporary Extended Unemployment
Compensation Act of 2002 will continue to be reported on lines 40 and 41,
respectively.)
Identify the payment by program and amount in the “comments” section. Report
all benefits paid, including the amounts transferred to the IRS for federal income


tax withholding, regardless of whether paid from the state account in the UTF or
the state benefit payment account.
(7)    Line 46. UCFE Net Payments. Enter in columns C and F the net Federal
portion of unemployment compensation paid to former Federal civilian
(including postal) employees, excluding EUC08. The total payments should
be adjusted for refunds deposited during the month, credits and recharges, and
cancellations and reissuances.
(8)    Line 50. Withholding. States are to report gross benefits in column F
regardless of whether amounts of withholding transferred to the IRS go
through the state benefit payment account. See ETA Handbook 401, 3rd
Edition, for specific instructions.
g.      ETA 539. Total weeks claimed for regular UC, UCFE, and UCX under the EUC08
program for the report period will be reported in the comments section and labeled as
“EUC08" followed by the number. For example: “EUC08=239". (The agent weeks
claimed information needed for this report will be obtained from the LADT identified
in field 28 as “code 2", Federal Benefit Extension.)
h.      UI-3 Worksheet. Report EUC08 claims activity/workload activity electronically on
the lines for third tier programs on the regular UI-3 report.
i.      Benefit Accuracy Measurement (BAM). All paid and denied EUC08 claims will be
excluded from the BAM Paid Claims Accuracy (PCA) and Denied Claims Accuracy
(DCA) sampling frames. This is consistent with the policy followed for previous
temporary programs. Per the instructions in ET Handbook 395, chapter III, the State
UI Transactions File, Program Type (Data Element 11) must be coded “8” (Other) and
Unemployment Duration Code (Data Element 12) must be coded “5” (Other federal
extended benefits program).
If an EUC08 claim is selected for any PCA or DCA sample because it was not properly
coded in the State UI Transactions File, it must be coded “8” in PCA data element c1
(Program Code) or DCA data element 22 (Program Code). These cases will not be
investigated by BAM, and the BAM supervisor will not sign-off on these cases.

Denied State UI, UCFE, or UCX claims filed for the sole purpose of establishing
eligibility for EUC08 should be considered “pro-forma” claims. These cases will be
deleted from the sample and will be coded “9” in PCA data element c1 (Program Code)
or DCA data element 22 (Program Code) using the Delete Cases application in the BAM
Supervisor Case Management menu. These cases will not be investigated by BAM, and
the BAM supervisor will not sign-off on these cases.

Because EUC08 and pro-forma UI, UCFE, and UCX cases will be excluded from the
BAM PCA and DCA samples, BAM must sample additional cases in subsequent batches
to compensate for the number of excluded PCA and DCA EUC08 and pro-forma cases.



3.   OMB Approval. These instructions have been submitted to the Office of Management and
Budget (OMB), but have not yet been approved. Therefore, they should be considered draft
instructions of proposed data collections. ETA will notify states upon OMB approval and
communicate any changes deemed necessary during the OMB approval process.

Attachment B: General Provisions for Administering EUC08 (https://www.dol.gov/sites/dolgov/files/ETA/advisories/UIPL/2008/UIPL23-08a2.pdf)

Attachment B to UIPL No. 23-08
General Provisions for Administering EUC08
Certifications and Assurances

1.     Compliance with Federal Requirements. States must comply with
the provisions contained in the states’ Agreements with the Department
to administer EUC08 and with all applicable EUC08 funding
instruments. States must perform such duties and functions in
accordance with the Department's administrative requirements for grants
and cooperative agreements at 29 CFR Parts 31, 32, 37, 96, 97, 98, and
99. Allowable costs shall be determined in accordance with the Office
of Management and Budget Circular A-87 (Revised).
2.     Prohibition on Subsidization of Forced or Indentured Child Labor.
States, consistent with Section 103 of the General Provisions of the
Department of Labor Appropriation Act, 2008, and in accordance with
Executive Order No. 13126, must not obligate or expend funds made available
to administer EUC08 for the procurement of goods mined, produced,
manufactured, or harvested or services rendered, whole or in part, by forced or
indentured child labor in industries and host countries already identified by
the United States Department of Labor prior to enactment of the Department’s
2008 appropriation.
3.     Salary and Bonus Pay Limitations: States, in compliance with Section 103
of the General Provisions of the Department of Labor Appropriation Act,
2008, must not use funds provided for EUC08 administration to pay the salary
and bonuses of an individual, either as direct costs or indirect costs, at a rate in
excess of Executive Level II, except as provided for under section 101 of
Public Law 109-149. This limitation shall not apply to vendors providing
goods and services as defined in OMB Circular No. A-133. Where states are
recipients of such funds, states may establish a lower limit for salaries and
bonuses of those receiving salaries and bonuses from subrecipients of such
funds, taking into account factors including the relative cost-of-living in the
state, the compensation levels for comparable state or local government
employees, and the size of the organizations that administer Federal programs
involved including Employment and Training Administration programs. See
TEGL number 5-06 for further clarification. The incurrence of costs and
receiving reimbursement for these costs under this award certifies that the
Grantee has read the above special condition and is in compliance.
4.     Veterans’ Priority Provisions: This program, funded by the U.S. Department
of Labor, is subject to the provisions of the “Jobs for Veterans Act” (JVA),
Public Law 107-288 (38 USC 4215). The JVA provides priority of service to
veterans and spouses of certain veterans for the receipt of employment,
training, and placement services. Please note that to obtain priority service; a
veteran must meet the program’s eligibility requirements. Training and
Employment Guidance Letter (TEGL) No. 5-03 (September 16, 2003)
provided general guidance on the scope of the veterans priority statute and its
effect on current employment and training programs. In addition to TEGL


No. 5-03, a series of questions and answers related to priority of service is
posted at http://www.doleta.gov/programs/VETs/ for fifteen (15) programs
administered by ETA. As made applicable by TEGL 13-06, the Department
of Labor Planning Guidance on the Workforce Investment Act (WIA) of 1998
and the Wagner-Peyser Act (70 Fed. Reg. 19206 (Apr. 12, 2005) and the
revised Unified Planning Guidance (70 Fed. Reg. 19222, (April 12, 2005)
require states to describe the policies and strategies in place to ensure,
pursuant to the JVA, that priority of service is provided to veterans (and
certain spouses) who otherwise meet the eligibility requirements for all
employment and training programs funded by the U.S. Department of Labor
and administered by ETA. In addition, the states were required to provide
assurances that they will comply with the Veterans’ Priority Provisions
established by the JVA. States must adhere to JVP requirements, as
interpreted by the Department, in administering EUC08.

5.     Certifications and Assurances. In administering EUC08, states must fully
comply with the following State Quality Service Plan (SQSP) assurances,
with two “exceptions/revisions” and one “expansion” annotated below. These
SQSP assurances are detailed in Chapter 1, Part VII of the “Unemployment
Insurance State Quality Service Plan (SQSP) Planning and Reporting
Guidelines,” ET Handbook No. 336 (18th Edition).
A.     Assurance of Equal Opportunity (EO).
B.     Assurance of Administrative Requirements and Allowable
Cost Standards.
C.     Assurance of Management Systems, Reporting, and
Recordkeeping.
D.     Assurance of Program Quality.
E.     Assurance on Use of Unobligated Funds.
F.     Assurance of Prohibition of Lobbying Costs (29 CFR Part
93).
G.     Drug-Free Workplace (29 CFR Part 98).
H.     Assurance of Disaster Recovery Capability.
I.     Assurance of Conformity and Compliance.
J.     Assurance of Automated Information Systems Security.
K.     Assurance of Confidentiality.
Additionally, the Office of Management and Budget (OMB), SF 424 B Assurances
– Non-Construction Programs, signed and submitted by each state with the SQSP
annual submission, also apply.

Attachment C: Title IV—Emergency Unemployment Compensation (https://www.dol.gov/sites/dolgov/files/ETA/advisories/UIPL/2008/UIPL23-08a3.pdf)

Attachment C to UIPL 23-08
TITLE IV—EMERGENCY UNEMPLOYMENT COMPENSATION
FEDERAL-STATE AGREEMENTS
SEC. 4001. (a) IN GENERAL.—Any State which desires to do so may enter into and participate in
an agreement under this title with the Secretary of Labor (in this title referred to as the
‘‘Secretary’’). Any State which is a party to an agreement under this title may, upon providing 30
days’ written notice to the Secretary, terminate such agreement.
(b)    PROVISIONS OF AGREEMENT.—Any agreement under subsection (a) shall provide that
the State agency of the State will make payments of emergency unemployment
compensation to individuals who—
(1)     have exhausted all rights to regular compensation under the State law or under
Federal law with respect to a benefit year (excluding any benefit year that ended
before May 1, 2007);
(2)     have no rights to regular compensation or extended compensation with respect to a
week under such law or any other State unemployment compensation law or to
compensation under any other Federal law (except as provided under subsection
(e)); and
(3)     are not receiving compensation with respect to such week under the unemployment
compensation law of Canada.
(c)    EXHAUSTION OF BENEFITS.—For purposes of subsection (b)(1), an individual shall be
deemed to have exhausted such individual’s rights to regular compensation under a State
law when—
(1)     no payments of regular compensation can be made under such law because such
individual has received all regular compensation available to such individual based
on employment or wages during such individual’s base period; or
(2)     such individual’s rights to such compensation have been terminated by reason of the
expiration of the benefit year with respect to which such rights existed.
(d)    WEEKLY BENEFIT AMOUNT, ETC.—For purposes of any agreement under this title—
(1)     the amount of emergency unemployment compensation which shall be payable to
any individual for any week of total unemployment shall be equal to the amount of
the regular compensation (including dependents’ allowances) payable to such

individual during such individual’s benefit year under the State law for a week of
total unemployment;
(2)         the terms and conditions of the State law which apply to claims for regular
compensation and to the payment thereof shall apply to claims for emergency
unemployment compensation and the payment thereof, except—
(A)          that an individual shall not be eligible for emergency unemployment
compensation under this title unless, in the base period with respect to which
the individual exhausted all rights to regular compensation under the State
law, the individual had 20 weeks of full-time insured employment or the
equivalent in insured wages, as determined under the provisions of the State
law implementing section 202(a)(5) of the Federal-State Extended
Unemployment Compensation Act of 1970 (26 U.S.C. 3304 note); and
(B)          where otherwise inconsistent with the provisions of this title or with the
regulations or operating instructions of the Secretary promulgated to carry
out this title; and
(3)         the maximum amount of emergency unemployment compensation payable to any
individual for whom an emergency unemployment compensation account is
established under section 4002 shall not exceed the amount established in such
account for such individual.
(e)   ELECTION BY STATES.—Notwithstanding any other provision of Federal law (and if
State law permits), the Governor of a State that is in an extended benefit period may provide
for the payment of emergency unemployment compensation prior to extended compensation
to individuals who otherwise meet the requirements of this section.
(f)   UNAUTHORIZED ALIENS INELIGIBLE.—A State shall require as a condition of
eligibility for emergency unemployment compensation under this Act that each alien who
receives such compensation must be legally authorized to work in the United States, as
defined for purposes of the Federal Unemployment Tax Act (26 U.S.C. 3301 et seq.). In
determining whether an alien meets the requirements of this subsection, a State must follow
the procedures provided in section 1137(d) of the Social Security Act (42 U.S.C. 1320b–
7(d)).
EMERGENCY UNEMPLOYMENT COMPENSATION ACCOUNT

SEC. 4002. (a) IN GENERAL.—Any agreement under this title shall provide that the State will
establish, for each eligible individual who files an application for emergency unemployment
compensation, an emergency unemployment compensation account with respect to such
individual’s benefit year.
(b)    AMOUNT IN ACCOUNT.—
(1)         IN GENERAL.—The amount established in an account under subsection (a) shall be
equal to the lesser of—
(A)          50 percent of the total amount of regular compensation (including
dependents’ allowances) payable to the individual during the individual’s
benefit year under such law, or
(B)          13 times the individual’s average weekly benefit amount for the benefit year.
(2)         WEEKLY BENEFIT AMOUNT.—For purposes of this subsection, an individual’s
weekly benefit amount for any week is the amount of regular compensation
(including dependents’ allowances) under the State law payable to such individual
for such week for total unemployment.
PAYMENTS TO STATES HAVING AGREEMENTS FOR THE PAYMENT OF EMERGENCY
UNEMPLOYMENT COMPENSATION
SEC. 4003. (a) GENERAL RULE.—There shall be paid to each State that has entered into an
agreement under this title an amount equal to 100 percent of the emergency unemployment
compensation paid to individuals by the State pursuant to such agreement.
(b)    TREATMENT OF REIMBURSABLE COMPENSATION.—No payment shall be made to
any State under this section in respect of any compensation to the extent the State is entitled
to reimbursement in respect of such compensation under the provisions of any Federal law
other than this title or chapter 85 of title 5, United States Code. A State shall not be entitled
to any reimbursement under such chapter 85 in respect of any compensation to the extent
the State is entitled to reimbursement under this title in respect of such compensation.
(c)    DETERMINATION OF AMOUNT.—Sums payable to any State by reason of such State
having an agreement under this title shall be payable, either in advance or by way of
reimbursement (as may be determined by the Secretary), in such amounts as the Secretary
estimates the State will be entitled to receive under this title for each calendar month,
reduced or increased, as the case may be, by any amount by which the Secretary finds that

the Secretary’s estimates for any prior calendar month were greater or less than the amounts
which should have been paid to the State. Such estimates may be made on the basis of such
statistical, sampling, or other method as may be agreed upon by the Secretary and the State
agency of the State involved.
FINANCING PROVISIONS
SEC. 4004. (a) IN GENERAL.—Funds in the extended unemployment compensation account (as
established by section 905(a) of the Social Security Act (42 U.S.C. 1105(a)) of the Unemployment
Trust Fund (as established by section 904(a) of such Act (42 U.S.C. 1104(a)) shall be used for the
making of payments to States having agreements entered into under this title.
(b)    CERTIFICATION.—The Secretary shall from time to time certify to the Secretary of the
Treasury for payment to each State the sums payable to such State under this title. The
Secretary of the Treasury, prior to audit or settlement by the Government Accountability
Office, shall make payments to the State in accordance with such certification, by transfers
from the extended unemployment compensation account (as so established) to the account
of such State in the Unemployment Trust Fund (as so established).
(c)    ASSISTANCE TO STATES.—There are appropriated out of the employment security
administration account (as established by section 901(a) of the Social Security Act (42
U.S.C. 1101(a)) of the Unemployment Trust Fund, without fiscal year limitation, such funds
as may be necessary for purposes of assisting States (as provided in title III of the Social
Security Act (42 U.S.C. 501 et seq.)) in meeting the costs of administration of agreements
under this title.
(d)    APPROPRIATIONS FOR CERTAIN PAYMENTS.—There are appropriated from the
general fund of the Treasury, without fiscal year limitation, to the extended unemployment
compensation account (as so established) of the Unemployment Trust Fund (as so
established) such sums as the Secretary estimates to be necessary to make the payments
under this section in respect of—
(1)     compensation payable under chapter 85 of title 5, United States Code; and
(2)     compensation payable on the basis of services to which section 3309(a)(1) of the
Internal Revenue Code of 1986 applies. Amounts appropriated pursuant to the
preceding sentence shall not be required to be repaid.
FRAUD AND OVERPAYMENTS

SEC. 4005. (a) IN GENERAL.—If an individual knowingly has made, or caused to be made by
another, a false statement or representation of a material fact, or knowingly has failed, or caused
another to fail, to disclose a material fact, and as a result of such false statement or representation or
of such nondisclosure such individual has received an amount of emergency unemployment
compensation under this title to which such individual was not entitled, such individual—
(1)     shall be ineligible for further emergency unemployment compensation under this
title in accordance with the provisions of the applicable State unemployment
compensation law relating to fraud in connection with a claim for unemployment
compensation; and
(2)     shall be subject to prosecution under section 1001 of title 18, United States Code.
(b)    REPAYMENT.—In the case of individuals who have received amounts of emergency
unemployment compensation under this title to which they were not entitled, the State shall
require such individuals to repay the amounts of such emergency unemployment
compensation to the State agency, except that the State agency may waive such repayment
if it determines that—
(1)     the payment of such emergency unemployment compensation was without fault on
the part of any such individual; and
(2)     such repayment would be contrary to equity and good conscience.
(c)    RECOVERY BY STATE AGENCY.—
(1)     IN GENERAL.—The State agency may recover the amount to be repaid, or any part
thereof, by deductions from any emergency unemployment compensation payable to
such individual under this title or from any unemployment compensation payable to
such individual under any State or Federal unemployment compensation law
administered by the State agency or under any other State or Federal law
administered by the State agency which provides for the payment of any assistance
or allowance with respect to any week of unemployment, during the 3-year period
after the date such individuals received the payment of the emergency
unemployment compensation to which they were not entitled, except that no single
deduction may exceed 50 percent of the weekly benefit amount from which such
deduction is made.

(2)     OPPORTUNITY FOR HEARING.—No repayment shall be required, and no
deduction shall be made, until a determination has been made, notice thereof and an
opportunity for a fair hearing has been given to the individual, and the determination
has become final.
(d)    REVIEW.—Any determination by a State agency under this section shall be subject to
review in the same manner and to the same extent as determinations under the State
unemployment compensation law, and only in that manner and to that extent.
DEFINITIONS
SEC. 4006. In this title, the terms ‘‘compensation’’, ‘‘regular compensation’’, ‘‘extended
compensation’’, ‘‘benefit year’’, ‘‘base period’’, ‘‘State’’, ‘‘State agency’’, ‘‘State law’’, and
‘‘week’’ have the respective meanings given such terms under section 205 of the Federal-State
Extended Unemployment Compensation Act of 1970 (26 U.S.C. 3304 note).
APPLICABILITY
SEC. 4007. (a) IN GENERAL—Except as provided in subsection (b), an agreement entered into
under this title shall apply to weeks of unemployment—
(1)     beginning after the date on which such agreement is entered into; and
(2)     ending on or before March 31, 2009.
(b)    TRANSITION FOR AMOUNT REMAINING IN ACCOUNT.—
(1)     IN GENERAL.—Subject to paragraph (2), in the case of an individual who has
amounts remaining in an account established under section 4002 as of the last day of
the last week (as determined in accordance with the applicable State law) ending on
or before March 31, 2009, emergency unemployment compensation shall continue
to be payable to such individual from such amounts for any week beginning after
such last day for which the individual meets the eligibility requirements of this title.
(2)     LIMIT ON COMPENSATION.—No compensation shall be payable by reason of
paragraph (1) for any week beginning after June 30, 2009.