|
 Printer-Friendly Version
OPA News Release: [07/02/2003]
Contact Name: Lorette Post
Phone Number: (202) 693-3984
$4.8 Million Awarded To Improve Integrity
Of State Unemployment Insurance Systems
WASHINGTON — The Department of Labor announced today that it has awarded $4.8 million in grants to 41 state workforce agencies to implement or enhance systems to prevent, detect, and collect erroneous payments of unemployment insurance (UI) benefits.
“These grants will help achieve the President’s management agenda which calls for improved government performance, effectiveness and efficiency,” said Secretary of Labor Elaine L. Chao. “This $4.8 million grant is aimed at long-standing overpayment problems and is part of
an aggressive departmental plan to address fraud, waste and abuse in the unemployment insurance system.”
State unemployment insurance agencies already use numerous methods to detect and prevent fraud and collect overpayments. These grant funds will provide additional resources for the states to implement or enhance two relatively new computer cross-match systems.
The first allows state UI agencies to compare unemployed workers’ claims for UI benefits against “new hire” reports currently provided by employers to state agencies for child support enforcement purposes. Where the new hire cross-match system has been used, states detect more
quickly UI claimants who have returned to work but continue claiming benefits. There has also been a higher collection rate of overpaid benefits because UI agencies know when and where the worker is re-employed.
Some states will also use the grants to implement a second computer cross-match system, an electronic data exchange between the state UI agency and the Social Security Administration. This system will help guard against identity theft by persons who use another worker’s Social Security
number and wage credits to fraudulently file an unemployment insurance claim.
Assistant Secretary of Labor for Employment and Training Emily Stover DeRocco said, “Improving the integrity of the unemployment insurance system is good for everyone – employers get lower UI taxes, states get healthier UI fund accounts, and workers get a system that works for those
who have earned it.”
###
STATES RECEIVING UI INTEGRITY SYSTEMS GRANTS
NOTE: This is a list of states that requested grants and the amount each will receive.
|
State |
Grant Amount |
|
Alabama |
$16,000 |
|
Alaska |
$150,000 |
|
Arkansas |
$198,000 |
|
Connecticut |
$200,000 |
|
California |
$50,000 |
|
Colorado |
$50,000 |
|
District of Columbia |
$200,000 |
|
Florida |
$49,993 |
|
Georgia |
$50,000 |
|
Hawaii |
$90,000 |
|
Idaho |
$151,744 |
|
Iowa |
$50,000 |
|
Kansas |
$150,000 |
|
Kentucky |
$150,000 |
|
Maine |
$184,946 |
|
Maryland |
$200,000 |
|
Michigan |
$171,680 |
|
Minnesota |
$59,348 |
|
Mississippi |
$49,194 |
|
Montana |
$24,855 |
|
Nebraska |
$50,000 |
|
New Jersey |
$150,000 |
|
New Mexico |
$200,000 |
|
North Carolina |
$50,000 |
|
North Dakota |
$200,000 |
|
Ohio |
$64,196 |
|
Oklahoma |
$159,477 |
|
Oregon |
$50,000 |
|
Pennsylvania |
$156,000 |
|
Rhode Island |
$40,000 |
|
South Carolina |
$200,000 |
|
South Dakota |
$50,000 |
|
Tennessee |
$195,034 |
|
Texas |
$150,000 |
|
Utah |
$189,483 |
|
Vermont |
$142,984 |
|
Virginia |
$50,000 |
|
Washington |
$200,000 |
|
West Virginia |
$13,620 |
|
Wisconsin |
$174,135 |
|
Wyoming |
$50,000 |
|
TOTAL |
$4,780,689 |
# # #
_________________________________________________________________
| |
|
