Current through August, 2024
(a)
If an individual has a state or federal overpayment outstanding in a
participating state and recovery is requested from another participating state,
the requesting state shall perform the following duties:
(1) Send the recovering state a written
request for overpayment recovery assistance which includes:
(A) Certification that the overpayment is
legally collectable under the requesting state's law;
(B) Certification that the determination is
final and that any rights to postponement of recoupment have been exhausted or
have expired;
(C) A statement as to
whether the state is participating in cross-program offset by agreement with
the Secretary of Labor; and
(D) A
copy of the initial overpayment determination and a statement of the
outstanding balance.
(2)
Send notice of the request for overpayment recovery assistance to the
individual.
(3) Send to the
recovering state a new outstanding overpayment balance whenever the requesting
state receives any amount of repayment from a source other than the recovering
state.
(b) Upon receipt
of the request for recovery of the individual's outstanding state or federal
overpayment, the recovering state shall perform the following duties:
(1) Offset benefits payable for each week
claimed by the individual in the amount determined under state law.
(2) Provide the individual with a notice of
the offset amount.
(3) Prepare and
forward, no less than once a month, a check representing the amount recovered
made payable to the requesting state, excepted as provided in section (c)
below.
(4) Retain a record of the
overpayment balance in its files no later than the exhaustion of benefits, end
of the benefit year, exhaustion or end of an additional or extended benefits
period, or other extensions of benefits; whichever is later.
(5) The recovering state shall not
redetermine the original overpayment determination.
(c) If the individual elects to file a
combined-wage claim and the individual has a state or federal overpayment
outstanding in a transferring state, the paying state shall:
(1) Offset any outstanding overpayment in the
transferring state(s) prior to honoring a request from any other participating
state under the Interstate Reciprocal Overpayment Recovery
Arrangement.
(2) Credit the
deductions against the statement of benefits paid to combined-wage claimants,
or forward a check to the transferring state as described in subsection
(b)(3).
(d) If the
individual withdraws the combined-wage claim after benefits have been paid, the
withdrawal shall be honored only if the combined-wage claimant has repaid any
benefits paid or authorizes the new liable state to offset the overpayment.
(1) The paying state shall issue an
overpayment determination and forward a copy, together with an overpayment
recovery request and an authorization to offset, with the initial claim to the
new liable state.
(2) The
recovering state shall:
(A) Offset the total
amount of any overpayment resulting from the withdrawal of a combined-wage
claim, prior to the release of any payments to the claimant;
(B) Offset the total amount of any
overpayment resulting from the withdrawal of a combined-wage claim prior to
honoring a request from any other participating state under this
arrangement;
(C) Provide the
individual with a notice of the amount offset; and
(D) Prepare and forward a check representing
the amount recovered to the requesting state as described in subsection
(b)(3).
(e)
The recovering state shall offset benefits payable under a state unemployment
compensation program to recover any benefits overpaid under a federal
unemployment compensation program (as described in the recovering state's
agreement with the Secretary of Labor) and vice versa, in the same manner as
required under this section, as appropriate, when both the recovering state and
requesting state have entered into an agreement with the Secretary of Labor to
implement section 303(a) of the Social Security Act.
