DAR File No. 43365

Workforce Services, Unemployment Insurance

Section R994-403-109b

Profiled Claimants

Notice of Proposed Rule

(Amendment)

DAR File No.: 43365
Filed: 11/08/2018 03:38:55 PM

RULE ANALYSIS

Purpose of the rule or reason for the change:

The purpose of this proposed rule change is to adjust the requirements for certain recipients of unemployment insurance benefits to participate in reemployment services as a condition of continuing to receive benefits.

Summary of the rule or change:

The Department of Workforce Services (Department) administers the state�s unemployment insurance program pursuant to Sections 35A-1-202 and 35A-4-101 et seq. As a condition of receiving federal funding provided by the United States Department of Labor (USDOL) to operate the program, USDOL requires the state, pursuant to 42 USC Sec. 506, to provide reemployment services to certain recipients of unemployment insurance benefits, and to abide by evidence-based standards in helping such recipients achieve reemployment. On August 20, 2018, USDOL issued an Unemployment Insurance Program Letter (UIPL) reiterating to all state-level workforce agencies, including the Department, the need to ensure that these recipients�known as "profiled claimants"�are receiving and accepting the reemployment services offered to them as a condition of receiving unemployment insurance benefits. Following a review of its processes, the Department has determined that some profiled claimants have attempted to evade the requirement to receive reemployment services; specifically, some claimants have engaged in the practice of scheduling a meeting with an employment counselor, failed to attend the meeting, and then rescheduled the meeting multiple times. This has had the effect of allowing the claimant to receive unemployment insurance benefits despite not receiving the required reemployment services. This proposed rule amendment solves this problem by requiring a profiled claimant who fails to participate in the required reemployment services to forego receiving benefits until the required services have been received. The Department has specific authority to make rules requiring good-faith efforts by unemployment insurance recipients to secure employment under Section 35A-4-403.

Statutory or constitutional authorization for this rule:

• 42 USC Sec. 506
• Section 35A-4-403

Anticipated cost or savings to:

the state budget:

This proposed rule change is not expected to cause any costs or savings to the state budget because this proposed rule change simply creates a more effective enforcement mechanism for ensuring profiled claimants receive the required reemployment services. Nothing in this proposed rule change affects or limits a claimant's substantive eligibility for unemployment insurance benefits or limits the duration for which those benefits may be received.

local governments:

This proposed rule change is not expected to cause any costs or savings to local governments because the unemployment insurance program is a state-level program that does not rely on local governments for its funding, administration, or enforcement.

small businesses:

This proposed rule change is not expected to cause any costs or savings to small businesses because nothing in this proposed rule change will affect the amount of unemployment taxes paid by any business or otherwise affect the substantive eligibility for, or payment of, unemployment insurance benefits to any claimant. The Department has considered whether this proposed rule change will have a measurable negative fiscal impact on small businesses and has determined that this proposed rule change will not have a negative fiscal impact.

persons other than small businesses, businesses, or local governmental entities:

This proposed rule change is not expected to cause any costs or savings to persons other than small businesses, businesses, or local government entities because this proposed rule change simply creates a more effective enforcement mechanism for an existing requirement for profiled claimants who seek unemployment insurance benefits. Nothing in this proposed rule change affects or limits a claimant's substantive eligibility for unemployment insurance benefits or limits the duration for which those benefits may be received.

Compliance costs for affected persons:

This proposed rule change is not expect to cause any compliance costs for affected persons because this proposed rule change does not create any new eligibility or administrative requirements for profiled claimants or any other affected persons.

Comments by the department head on the fiscal impact the rule may have on businesses:

After a thorough analysis, it was determined that this proposed rule change will not result in a fiscal impact to businesses.

Jon Pierpont, Executive Director

The full text of this rule may be inspected, during regular business hours, at the Office of Administrative Rules, or at:

Workforce Services
Unemployment Insurance
140 E 300 S
SALT LAKE CITY, UT 84111-2333

Direct questions regarding this rule to:

• Amanda McPeck at the above address, by phone at 801-517-4709, by FAX at , or by Internet E-mail at ampeck@utah.gov

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

01/02/2019

This rule may become effective on:

01/09/2019

Authorized by:

Jon Pierpont, Executive Director

Appendix 1: Regulatory Impact Summary Table*

Fiscal Costs	FY 2019	FY 2020	FY 2021
State Government	$0	$0	$0
Local Government	$0	$0	$0
Small Businesses	$0	$0	$0
Non-Small Businesses	$0	$0	$0
Other Persons	$0	$0	$0
Total Fiscal Costs:	$0	$0	$0
Fiscal Benefits
State Government	$0	$0	$0
Local Government	$0	$0	$0
Small Businesses	$0	$0	$0
Non-Small Businesses	$0	$0	$0
Other Persons	$0	$0	$0
Total Fiscal Benefits:	$0	$0	$0
Net Fiscal Benefits:	$0	$0	$0

 

*This table only includes fiscal impacts that could be measured. If there are inestimable fiscal impacts, they will not be included in this table. Inestimable impacts for State Government, Local Government, Small Businesses and Other Persons are described above. Inestimable impacts for Non - Small Businesses are described below.

 

Appendix 2: Regulatory Impact to Non - Small Businesses

After a thorough analysis, it was determined that this proposed rule change will not result in a fiscal impact to non-small businesses.

 

 

R994. Workforce Services, Unemployment Insurance.

R994-403. Claim for Benefits.

R994-403-109b. Profiled Claimants.

(1) The Department will identify individuals who are likely to exhaust unemployment benefits through a profiling system and require that they participate in reemployment services. These services may include job search workshops, job placement services, counseling, testing, and assessment.

(2) In order to avoid disqualification for failure to participate in reemployment services, the claimant must show good cause for nonparticipation. Good cause is limited to circumstances where the claimant can show that the reasons for the delay in filing were due to circumstances beyond the claimant's control or were compelling and reasonable.

(3) Failure to participate in reemployment services without good cause will result in a denial of benefits beginning with the week the claimant refuses or fails to attend scheduled services and continuing until the week the claimant [contacts the Employment Center to arrange participation]participates in the required reemployment service.

(4) Some reasons for good cause for nonparticipation may raise other eligibility issues.

 

KEY: filing deadlines, registration, student eligibility, unemployment compensation

Date of Enactment or Last Substantive Amendment: [May 30, 2017]2018

Notice of Continuation: March 29, 2018

Authorizing, and Implemented or Interpreted Law: 35A-4-403(1)