By: Patterson S.B. No. 1011
A BILL TO BE ENTITLED
AN ACT
1-1 relating to claims for unemployment compensation benefits and to
1-2 the wage credits used to compute eligibility for those benefits.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Sections 3(b), (d), and (e), Texas Unemployment
1-5 Compensation Act (Article 5221b-1, Vernon's Texas Civil Statutes),
1-6 are amended to read as follows:
1-7 (b) Benefit Amount for Total Unemployment: Each eligible
1-8 individual who is totally unemployed in any benefit period shall be
1-9 paid with respect to such benefit period, benefits at the rate of
1-10 one twenty-fifth (1/25) of his eligible benefit wage credits
1-11 <wages> received from employment by employers during that quarter
1-12 in his base period in which wages were highest, provided that:
1-13 (1) If such rate is not an even multiple of One Dollar
1-14 ($1), it shall be adjusted to the next higher multiple of One
1-15 Dollar ($1); and
1-16 (2) Such rate shall not be more than Eighty-four
1-17 Dollars ($84) per benefit period nor less than Fifteen Dollars
1-18 ($15) per benefit period on valid initial claims filed on or after
1-19 October 1, 1977; provided that if the annual average of the
1-20 manufacturing production workers average weekly wage in Texas
1-21 exceeds by Ten Dollars ($10) the average weekly wage for those
1-22 workers in 1976 as determined by the Texas Employment Commission
1-23 and published in its report, "The Average Weekly Wage," the maximum
2-1 weekly benefit amount shall be increased by Seven Dollars ($7) and
2-2 the minimum weekly benefit amount shall be increased by One Dollar
2-3 ($1) above the maximum and minimum amounts established herein, the
2-4 increases to become effective on valid initial claims filed on or
2-5 after October 1 following publication of "The Average Weekly Wage"
2-6 report. Thereafter, each cumulative (additional) Ten Dollar ($10)
2-7 increase in the average weekly wage for manufacturing production
2-8 workers in Texas, as annually determined and reported by the Texas
2-9 Employment Commission, shall cumulatively increase the maximum
2-10 weekly benefit amount by an additional Seven Dollars ($7) and the
2-11 minimum weekly benefit amount by an additional One Dollar ($1)
2-12 beginning with the next October 1 following publication of "The
2-13 Average Weekly Wage" report. The maximum benefit amount payable
2-14 for benefit period under this section to any individual on the
2-15 effective date of a valid claim shall remain the maximum benefit
2-16 amount payable to that individual until that individual establishes
2-17 a new benefit year.
2-18 (d) Duration of Benefits: The Commission shall establish
2-19 eligible benefit wage credits for each individual's <individual by
2-20 crediting him with the wages for employment received by him during
2-21 his> base period <from employers>. The maximum total amount of
2-22 benefits payable to any eligible individual during any benefit year
2-23 shall not exceed whichever is the lesser of:
2-24 (1) Twenty-six (26) times his benefit amount, or
2-25 (2) Twenty-seven per cent (27%) of such wage credits;
3-1 provided that if such is not an even multiple of One Dollar ($1),
3-2 it shall be adjusted to the next higher multiple of One Dollar
3-3 ($1).
3-4 (e) Eligible Benefit Wage Credits: "Eligible benefit
3-5 <"Benefit> wage credits" means those wages as defined in this
3-6 subsection of the Act, that are not disallowed under Section 5-A of
3-7 this Act and may be <which are> used in determining an individual's
3-8 right to benefits under this Act. "Wages" as used in this Section
3-9 shall be as defined in subsection (n) of Section 19 of this Act,
3-10 except that the limitation on wages as set out in subsection (n)(1)
3-11 of Section 19 shall not be applicable for the purposes of this
3-12 Section 3; provided that wages which have been used to qualify an
3-13 individual for regular benefits under this Act or under any other
3-14 unemployment compensation law shall not be used again to qualify
3-15 such individual for regular benefits. If an employer fails to
3-16 report wages which were paid to a claimant during a base period
3-17 when requested by the Commission, the Commission may establish wage
3-18 credits for such claimant for such base period on the basis of the
3-19 best information which has been obtained by the Commission.
3-20 SECTION 2. Section 4, Texas Unemployment Compensation Act
3-21 (Article 5221b-2, Vernon's Texas Civil Statutes), is amended to
3-22 read as follows:
3-23 Sec. 4. BENEFIT ELIGIBILITY CONDITIONS. Except as provided
3-24 by Section 31 of this Act, an unemployed individual shall be
3-25 eligible to receive benefits with respect to any benefit period
4-1 only if the Commission finds that:
4-2 (a) He has registered for work at, and thereafter has
4-3 continued to report at, an employment office in accordance with
4-4 such regulations as the Commission may prescribe;
4-5 (b) He has made a claim for benefits in accordance
4-6 with the provisions of Subsection 6(a) of this Act;
4-7 (c) He is able to work;
4-8 (d) He is available for work;
4-9 (e) He has within his base period received eligible
4-10 benefit wage credits for employment by employers in an amount not
4-11 less than thirty-seven (37) times his weekly benefit amount and has
4-12 eligible benefit wage credits in at least two (2) calendar quarters
4-13 in his base period provided that any claimant who has had a prior
4-14 benefit year must have earned wages in an amount equal to six (6)
4-15 times his weekly benefit amount or more subsequent to the beginning
4-16 date of the prior benefit year.
4-17 (f) Prior to the first payment of benefits following
4-18 an initial claim he has been totally or partially unemployed for a
4-19 waiting period of seven (7) consecutive days. No week shall be
4-20 counted as a waiting period week for the purposes of this
4-21 Subsection:
4-22 (1) Unless he has registered for work at an
4-23 employment office in accordance with Subsection (a) of this
4-24 Section;
4-25 (2) Unless it is a week following the filing of
5-1 an initial claim;
5-2 (3) Unless he reports at an office of the
5-3 Commission and certifies that he has met the waiting period
5-4 requirements herein prescribed for the preceding seven (7) days;
5-5 (4) If benefits have been paid or are payable
5-6 with respect thereto;
5-7 (5) If the individual does not meet the
5-8 eligibility conditions of Subsections (c) and (d) of this Section
5-9 4;
5-10 (6) If the individual has been disqualified for
5-11 benefits for such seven (7) day period under the provisions of
5-12 Subsections (a), (b), (c), or (d) of Section 5 of this Act;
5-13 (7) Provided, notwithstanding any other
5-14 provision of this Subsection (f), when an individual has been paid
5-15 benefits in his current benefit year equal to three times his
5-16 weekly benefit amount, he shall be eligible to receive benefits on
5-17 his waiting period claim in accordance with the terms of the Act.
5-18 SECTION 3. The Texas Unemployment Compensation Act (Article
5-19 5221b-1 et seq., Vernon's Texas Civil Statutes) is amended by
5-20 adding Section 5-A to read as follows:
5-21 Sec. 5-A. DISALLOWANCE OF CERTAIN BENEFIT WAGE CREDITS.
5-22 After an initial claim is filed by an unemployed individual and
5-23 before the commission determines whether that claim is a valid
5-24 claim, the commission shall determine whether the wages the
5-25 individual received from employers during the base period of the
6-1 initial claim may be classified as eligible benefit wage credits
6-2 under Section 3(e) of this Act. If the individual who filed the
6-3 initial claim would have been subject to a disqualification under
6-4 Section 5(a), 5(b), 5(j), or 5(k) of this Act because of the reason
6-5 for separation from the employment, the commission shall disallow
6-6 the use of those wages as eligible benefit wage credits and shall
6-7 issue a determination in accordance with Section 6(b) of this Act.
6-8 SECTION 4. Section 6(b), Texas Unemployment Compensation Act
6-9 (Article 5221b-4, Vernon's Texas Civil Statutes), is amended to
6-10 read as follows:
6-11 (b) An unemployed individual who has no current benefit year
6-12 may file an initial claim in accordance with rules or regulations
6-13 prescribed by the Commission. The Commission shall mail a notice
6-14 of the filing of such initial claim to each employer who paid wages
6-15 to the claimant in the claimant's base period <the individual or
6-16 organization for which the claimant last worked> prior to the
6-17 effective date of the initial claim. If an employer <the
6-18 individual or organization> has more than one branch or division
6-19 operating at different locations, notice of the filing of such
6-20 initial claim shall be mailed to the branch or division where
6-21 claimant last worked. Mailing of notice of the initial claim to
6-22 the correct address of the employer <individual or organization or
6-23 the branch or division where claimant last worked> shall constitute
6-24 due notice to such employer <individual or organization>. All
6-25 employers, including <A> governmental employers, <employer> may
7-1 designate in writing to the Commission an address for mail service.
7-2 When an <a governmental> employer has so designated a mailing
7-3 address, mailing of notice of claims, determinations, or other
7-4 decisions to such address shall constitute due notice to the
7-5 <governmental> employer. If the employer <individual or
7-6 organization> to which such notice is mailed has knowledge of any
7-7 facts that may adversely affect such claimant's right to benefits,
7-8 or that may affect a charge to its account, it shall notify the
7-9 Commission of such facts promptly. If such employer <individual or
7-10 organization> does not mail or deliver such notification to the
7-11 Commission within twelve (12) days from the date notice of a claim
7-12 was mailed to it by the Commission, such employer <individual or
7-13 organization> shall be deemed to have waived all rights in
7-14 connection with such claim, including any rights it may have under
7-15 subsection 7(c)(2) of this Act, except with respect to a clerical
7-16 or machine error as to the amount of its chargeback or maximum
7-17 potential chargeback in connection with such claim.
7-18 The Commission shall determine whether such initial claim is
7-19 valid. If such initial claim is valid, the Commission shall
7-20 determine the benefit year, the benefit amount for total
7-21 unemployment and the duration of benefits. A notice of the
7-22 determination of the initial claim shall be mailed to the claimant
7-23 at his last known address as reflected by Commission records. The
7-24 claimant may within fourteen (14) calendar days from the date such
7-25 notice was mailed request a redetermination or appeal in the manner
8-1 provided in this Section.
8-2 If an employer who paid wages to the <such individual or
8-3 organization for which> claimant <last worked> has filed a
8-4 notification with the Commission in accordance with this Section,
8-5 an examiner shall make a determination as to whether the claimant
8-6 is disqualified <from receipt of benefits> under Section 5 (Article
8-7 5221b-3) of this Act, as to any other issue affecting the
8-8 claimant's right to receive benefits which may have arisen under
8-9 any other provision of this Act, and as to whether a chargeback
8-10 shall be made to the account of the employer <individual or
8-11 organization> if benefits are paid, and shall mail a copy of the
8-12 determination to the claimant and <to such individual or
8-13 organization, or the branch or division for which the claimant last
8-14 worked, or> to the address for mail service designated by that <a
8-15 governmental> employer. In the absence of such notification <from
8-16 such individual or organization>, if, from information on the claim
8-17 or other information secured, an issue is raised affecting the
8-18 claimant's rights to benefits under any provision of this Act, an
8-19 examiner shall prepare a determination reflecting his decision and
8-20 mail a copy of it to the claimant at his last known address.
8-21 Unless the claimant or the employer <individual or
8-22 organization or branch thereof> to which the copy of the
8-23 determination is mailed files an appeal from such determination
8-24 within fourteen (14) calendar days after such copy of the
8-25 determination is mailed to his or its last known address as
9-1 reflected by Commission records, such determination shall be final
9-2 for all purposes and benefits shall be paid or denied in accordance
9-3 therewith; provided, that within the same period of time, an
9-4 examiner may file an appeal from such determination, or may, if he
9-5 discovers error in connection therewith or additional information
9-6 not previously available, reconsider and redetermine any such
9-7 determination, and such redetermination shall replace such
9-8 determination and shall become final unless an appeal therefrom is
9-9 filed by such claimant or such employer <individual or
9-10 organization> within fourteen (14) calendar days after a copy of
9-11 such redetermination was mailed to his or its last known address as
9-12 reflected by Commission records.
9-13 Notwithstanding any provision in this Act under which
9-14 benefits may be paid or denied, benefits shall be paid promptly in
9-15 accordance with a determination or redetermination of an examiner,
9-16 a decision of an appeal tribunal, the Commission, or a reviewing
9-17 court, on the issuance of that determination, redetermination or
9-18 decision (regardless of the pendency of the period to apply for
9-19 reconsideration, file an appeal, or petition for judicial review,
9-20 or the pendency of that application, filing, or petition), unless
9-21 and until that determination, redetermination, or decision has been
9-22 modified or reversed by a subsequent redetermination or decision,
9-23 in which event benefits shall be paid or denied in accordance with
9-24 the modifying or reversing redetermination or decision. If a
9-25 determination or decision is finally modified or reversed to deny
10-1 benefits, no chargeback shall be made to the employer's account by
10-2 reason of payments made to the claimant for any benefit period with
10-3 respect to which he is finally denied benefits. Any benefits paid
10-4 to the claimant which were not in accordance with the final
10-5 decision shall be refunded by the claimant to the Commission or in
10-6 the discretion of the Commission shall be deducted from future
10-7 benefits payable to him under this Act, and the amount of benefits
10-8 paid which were not in accordance with the final decision shall
10-9 also be collectible in the manner provided in Section 14(b) of this
10-10 Act for the collection of past due contributions.
10-11 SECTION 5. Section 19(m), Texas Unemployment Compensation
10-12 Act (Article 5221b-17, Vernon's Texas Civil Statutes), is amended
10-13 to read as follows:
10-14 (m) "Valid claim" means either an initial claim filed by an
10-15 unemployed individual who has <received> the eligible benefit wage
10-16 credits <wages> necessary to qualify for benefits under the terms
10-17 of subsection 4(e) of this Act, or a claim for benefits filed by an
10-18 unemployed individual who has <received> the eligible benefit wage
10-19 credits <wages> necessary to qualify for benefits under the terms
10-20 of subsection 4(e) of this Act and "initial claim" means the notice
10-21 filed by an individual who does not have a current benefit year
10-22 that he is unemployed and may, if such unemployment continues, file
10-23 a claim for benefits.
10-24 SECTION 6. This Act takes effect September 1, 1993, and
10-25 applies only to an initial claim for unemployment compensation
11-1 benefits that is filed with the Texas Employment Commission on or
11-2 after that date. An initial claim filed before that date is
11-3 governed by the law in effect on the date that the claim was filed,
11-4 and the former law is continued in effect for that purpose.
11-5 SECTION 7. The importance of this legislation and the
11-6 crowded condition of the calendars in both houses create an
11-7 emergency and an imperative public necessity that the
11-8 constitutional rule requiring bills to be read on three several
11-9 days in each house be suspended, and this rule is hereby suspended.