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SB146: relative to eliminating the waiting period before eligibility to receive unemployment benefits.

Bill status: Vetoed by Governor

Bill details

Version history, amendments, and roll-call votes were not present in the imported local bill data.

Sponsors

Topics

Business and labor

Official links

SB 146-FN - FINAL VERSION

2019 SESSION

19-0987

08/05

SENATE BILL 146-FN

AN ACT relative to eliminating the waiting period before eligibility to receive unemployment benefits.


ANALYSIS

This bill eliminates the waiting period before eligibility to receive unemployment benefits.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

19-0987

08/05

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Nineteen

AN ACT relative to eliminating the waiting period before eligibility to receive unemployment benefits.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Repeal. RSA 282-A:31, I(h)-(i), relative to the waiting period before eligibility to receive unemployment benefits, are repealed.

2 Effective Date. This act shall take effect upon its passage.

VETOED June 25, 2019

Veto Sustained September 19, 2019

LBAO

19-0987

1/15/19

SB 146-FN- FISCAL NOTE

AS INTRODUCED

AN ACT relative to eliminating the waiting period before eligibility to receive unemployment benefits.

FISCAL IMPACT: [ X ] State [ X ] County [ X ] Local [ ] None

Estimated Increase / (Decrease)

STATE:

FY 2020

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Funding Source:

[ ] General [ ] Education [ ] Highway [ X ] Other - Unemployment Compensation Trust Fund

COUNTY:

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LOCAL:

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METHODOLOGY:

This bill eliminates the waiting period before eligibility to receive unemployment benefits. The Department of Employment Security indicates the bill would repeal the one-week waiting period which currently exists. Claimants for unemployment compensation are eligible for 26 weeks of benefits. Currently, 44 states impose a one week waiting period. The Department estimates this bill would increase unemployment compensation benefit payments from the Unemployment Compensation Trust Fund ("Trust Fund") by $3.6 million per calendar year. Currently, only 17% of claim filers exhaust their full 26 weeks of unemployment benefits. The other 83% of claim filers that do not exhaust their 26 weeks would be paid an additional week of benefits as a result of removal of the waiting week. This estimate is based upon the current low level of unemployment. During periods of higher unemployment, ranging from a mild economic downturn to a severe economic downturn, the additional benefits paid out of the Trust Fund would range from $5.5 million to $11.6 million per year. Further, due to the estimated increase in benefits paid, there would also be an impact on the projected quarter ending balances for the Trust Fund. Based upon the Department's current Trust Fund forecast, the projected increase in benefit payments would impact the forecasted Fund Balance Reductions (FBRs) due to employers in the first quarter of calendar year 2020 causing the FBR to go from a 1.5% reduction in employer unemployment compensation tax rates to a 1.0% reduction. The projected increase in tax payments caused by this decrease in the FBR would be an additional $11.9 million in unemployment compensation tax payments paid by employers for the first quarter of 2020. In addition, there would also be an increase in unemployment expenditures for state, municipal and county employers.

AGENCIES CONTACTED:

Department of Employment Security