On January 18, 2013, Rep. Dan Pabon and Sen. Cheri Jahn introduced HB 13-1124 - Concerning the Reduction of Improper Unemployment Insurance Benefit Payments Through Compliance with the Federal “Trade Adjustment Assistance Extension Act of 2011,” and, in Connection Therewith, Making an Appropriation. This summary is published here courtesy of the Colorado Bar Association’s e-Legislative Report.
As a result of amendments made to the federal “Unemployment Tax Act” and “Social Security Act” by the federal “Trade Adjustment Assistance Extension Act of 2011,” in order to keep Colorado’s unemployment insurance system in compliance with federal law, the bill makes the following changes to the state unemployment insurance laws:
- Requires that employer accounts be charged when an individual is erroneously paid benefits if the overpayment occurred as a result of an employer’s failure to provide timely information and the division of unemployment insurance establishes a pattern of this behavior by the employer; and
- Increases the penalty on fraudulent overpayments and requires 23 percent of the penalty to be deposited in the unemployment compensation fund and the remainder into the unemployment revenue fund.
On March 1, the House amended the bill and passed it on 2nd Reading; 3rd Reading is expected on Monday, March 4.
Since this summary, the bill passed Third Reading in the House.