LRB-2213/1
MED:skw
2021 - 2022 LEGISLATURE
June 10, 2021 - Introduced by Representatives Doyle,
B. Meyers, Andraca,
Shankland, Sinicki, Emerson, Conley, Snodgrass, Vruwink, Subeck,
Cabrera, Spreitzer, Hong, S. Rodriguez, Drake, Baldeh, Riemer and Stubbs,
cosponsored by Senators Pfaff, Ringhand, Smith, Roys, Larson and
Carpenter. Referred to Committee on Workforce Development.
AB394,1,2
1An Act to create 108.22 (8) (c) 3. of the statutes;
relating to: recovery of
2unemployment insurance benefit overpayments.
Analysis by the Legislative Reference Bureau
Under current law, if unemployment insurance benefits are erroneously paid
to an individual, that payment constitutes a benefit overpayment. The Department
of Workforce Development may recover benefit overpayments by various means, but
is required to waive recovery of a benefit overpayment if 1) the overpayment was the
result of a departmental error; and 2) the overpayment did not result from the fault
of the claimant, or because of a claimant's false statement or misrepresentation.
This bill requires DWD, in addition to and notwithstanding the standard
described above, to waive recovery of a benefit overpayment made to an individual
without fault on the part of that individual if such recovery would be against equity
and good conscience, as further specified in the bill.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB394,1
3Section
1. 108.22 (8) (c) 3. of the statutes is created to read:
AB394,2,34
108.22
(8) (c) 3. Notwithstanding subd. 1., the department shall waive recovery
5of benefits that were paid to an individual without fault on the part of that individual
1if recovery would be against equity and good conscience. For purposes of this
2subdivision, recovery of the overpayment shall be considered to be against equity and
3good conscience if any of the following applies:
AB394,2,54
a. Recovery would cause financial hardship to the individual from whom it is
5sought.
AB394,2,96
b. Regardless of the individual's financial circumstances, the individual can
7show that, based on the overpayment or notice that a benefit payment would be
8made, the individual has relinquished a valuable right or changed positions for the
9worse.
AB394,2,1010
c. Recovery could be unconscionable under the circumstances.
AB394,2
11Section
2.
Initial applicability.
AB394,2,1312
(1) This act first applies to determinations issued under s. 108.09 on the
13effective date of this subsection.