Unemployment compensation benefits: COVID-19.

Existing law provides for the payment of unemployment compensation benefits to eligible persons who are unemployed through no fault of their own through a federal-state unemployment insurance program administered by the Employment Development Department. Unemployment compensation benefits are paid from the Unemployment Fund, which is continuously appropriated for this purpose. Under existing law, unemployment compensation benefits are based on wages paid in a base period that is calculated according to the month within which the benefit year begins. Existing law requires the Director of Employment Development to maintain a separate reserve account for each employer, and to charge unemployment compensation benefits paid to an unemployed individual during any benefit year against the reserve account of that individual's employer during the individual's base period. This bill, for the duration of all federal unemployment benefit programs specifically created to respond to the COVID-19 pandemic, would prohibit unemployment compensation benefits paid to an unemployed individual from being charged against the reserve account of a tax-rated employer, unless the employer or an agent of the employer was at fault, as prescribed. Under the bill, this prohibition would become inoperative on January 1, 2021, unless the Director of Employment Development makes a specified determination. Existing law provides for the payment of temporary federal-state emergency unemployment compensation benefits authorized under specified federal law to eligible individuals in this state for weeks of unemployment beginning on or after February 1, 2009, and continuing until the week ending 4 weeks prior to the last week for which 100% federal sharing is authorized under the federal American Recovery and Reinvestment Act of 2009, except as provided, if specified economic indicators trigger the payment of those benefits. This bill would provide for the payment of temporary federal-state emergency unemployment compensation benefits to eligible individuals in this state for weeks of unemployment beginning on or after March 18, 2020, and continuing until the week ending 4 weeks prior to the last week for which 100% federal sharing is authorized by the federal Families First Coronavirus Response Act or for weeks of unemployment ending 4 weeks prior to the last week for which Congress, pursuant to any future amendment of the Federal-State Extended Unemployment Compensation Act of 1970, has authorized 100% federal sharing, except as provided, if specified economic indicators trigger the payment of those benefits. The bill would make related changes. Because the bill would provide for the payment of additional amounts from the Unemployment Fund, a continuously appropriated special fund, it would make an appropriation. This bill would declare that it is to take effect immediately as a bill providing for appropriations related to the Budget Bill.