Bill Text: CA AB1638 | 2013-2014 | Regular Session | Amended


Bill Title: Unemployment insurance: classified employees.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2014-05-23 - In committee: Set, second hearing. Held under submission. [AB1638 Detail]

Download: California-2013-AB1638-Amended.html
BILL NUMBER: AB 1638	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 21, 2014

INTRODUCED BY   Assembly Member Bocanegra

                        FEBRUARY 11, 2014

   An act to amend Sections 1142 and 1253.3 of, and to repeal
Sections 1451, 1452,  1453, and 1454   and 1453
 of, the Unemployment Insurance Code, relating to unemployment
insurance, and making an appropriation therefor.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1638, as amended, Bocanegra. Unemployment insurance: classified
employees.
   Existing law provides for the payment of unemployment compensation
benefits and extended duration benefits to eligible persons who meet
specified requirements. Existing law prohibits the payment of
unemployment benefits to education employees of a public entity, as
defined, including teachers, researchers, and administrators for the
period between 2 academic years when there is a reasonable assurance
that the employee will perform his or her regular services in the
subsequent academic year, except as specified. Existing law similarly
prohibits the payment of unemployment benefits to specified
education employees of a public entity, other than teachers,
researchers, or administrators between 2 academic years, except as
specified, but provides a procedure for this 2nd category of
educational employees, under certain conditions, to seek payment of
retroactive unemployment benefits for the period between 2 academic
years. Existing law requires specified notice regarding reasonable
assurance of employment in the following academic term be sent to
employees before the end of the current academic term. Existing law
also authorizes payment of unemployment insurance benefits, using
funds from the Department of Education, to the 2nd category of
educational employees at specified schools between academic terms in
circumstances where benefits would otherwise be denied.
   This bill would delete the prohibition on the payment of
unemployment benefits to education  employees,  
employees of a public school,  other than teachers,
researchers, and administrators, as specified, between 2 academic
years and would make conforming changes, including  deleting
the requirement for notice of reasonable assurance of employment of
these employees and  eliminating the provisions for payment
of unemployment benefits to these employees at the specified schools.

   Because this bill would expand the categories of people who could
receive benefits from the Unemployment Insurance Fund, a continuously
appropriated fund, it would make an appropriation.
   Vote: majority. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 1142 of the Unemployment Insurance Code is
amended to read:
   1142.  (a) If the director finds that any employer or any
employee, officer, or agent of any employer, in submitting facts
concerning the termination of a claimant's employment pursuant to
Section 1030, 1327, 3654, 3701, 4654, or 4701, willfully makes a
false statement or representation or willfully fails to report a
material fact concerning that termination, the director shall assess
a penalty of an amount not less than 2 nor more than 10 times the
weekly benefit amount of that claimant. The director shall assess
this penalty in the following manner:
   (1) If the director finds that the employer was at fault for
willfully making a false statement or representation or willfully
failing to report a material fact concerning that termination, the
director shall assess the penalty against the employer.
   (2) If the director finds that the agent of the employer was at
fault for willfully making a false statement or representation or
willfully failing to report a material fact concerning that
termination, the director shall assess the penalty against the agent
of the employer.
   (3) If the director finds that the employer and the agent of the
employer were both at fault for willfully making a false statement or
representation or willfully failing to report a material fact
concerning that termination, the director shall assess the penalty
against the employer and also shall assess another penalty against
the agent of the employer.
   (b) If the director finds that any employer or any employee,
officer, or agent of any employer, in submitting a written statement
concerning the reasonable assurance, as defined in subdivision
 (f)   (s)  of Section 1253.3, of a
claimant's reemployment, as required by  subdivision (b)
  subdivisions (b), (c), and (i)  of Section
1253.3, willfully makes a false statement or representation or
willfully fails to report a material fact concerning the reasonable
assurance of that reemployment, the director shall assess a penalty
of an amount not less than 2 nor more than 10 times the weekly
benefit amount of that claimant. The director shall assess this
penalty in the following manner:
   (1) If the director finds that the employer was at fault for
willfully making a false statement or representation or willfully
failing to report a material fact concerning the reasonable assurance
of that reemployment, the director shall assess the penalty against
the employer.
   (2) If the director finds that the agent of the employer was at
fault for willfully making a false statement or representation or
willfully failing to report a material fact concerning the reasonable
assurance of that reemployment, the director shall assess the
penalty against the agent of the employer.
   (3) If the director finds that the employer and the agent of the
employer were both at fault for willfully making a false statement or
representation or willfully failing to report a material fact
concerning the reasonable assurance of that reemployment, the
director shall assess the penalty against the employer and also shall
assess another penalty against the agent of the employer.
   (c) (1) This article, Article 9 (commencing with Section 1176) of
this chapter with respect to refunds, and Chapter 7 (commencing with
Section 1701) of this part with respect to collections shall apply to
the assessments provided by this section. Penalties collected under
this section shall be deposited in the contingent fund.
   (2) Notwithstanding Section 1586, additional penalties that are
assessed against an agent of the employer and collected pursuant to
paragraph (3) of subdivision (a) and paragraph (3) of subdivision (b)
shall be available for the purposes specified in Section 1586 upon
appropriation by the Legislature for those purposes. 
  SEC. 2.    Section 1253.3 of the Unemployment
Insurance Code is amended to read:
   1253.3.  (a) Notwithstanding any other provision of this division,
unemployment compensation benefits, extended duration benefits, and
federal-state extended benefits are payable on the basis of service
to which Section 3309(a)(1) of the Internal Revenue Code applies, in
the same amount, on the same terms, and subject to the same
conditions as benefits payable on the basis of other service subject
to this division, except as provided by this section.
   (b) Benefits specified by subdivision (a) based on service
performed in the employ of a nonprofit organization, or of any entity
as defined by Section 605, with respect to service in an
instructional, research, or principal administrative capacity for an
educational institution are not payable to any individual with
respect to any week which begins during the period between two
successive academic years or terms or, when an agreement provides
instead for a similar period between two regular but not successive
terms, during that period, or during a period of paid sabbatical
leave provided for in the individual's contract, if the individual
performs services in the first of the academic years or terms and if
there is a contract or a reasonable assurance that the individual
will perform services for any educational institution in the second
of the academic years or terms.
   (c) Benefits specified by subdivision (a) based on service
performed in the employ of a nonprofit organization, or of any entity
as defined by Section 605, with respect to services specified by
subdivision (b) are not payable to any individual with respect to any
week that commences during an established and customary vacation
period or holiday recess if the individual performs the specified
services in the week immediately before the vacation period or
holiday recess, and there is a reasonable assurance that the
individual will perform the specified services in the week
immediately following the vacation period or holiday recess.
   (d) With respect to any services specified by subdivision (b)
compensation payable on the basis of services in that capacity may be
denied as specified in subdivision (b) or (c) to any individual who
performed the services in an educational institution while in the
employ of an educational service agency, and for this purpose the
term "educational service agency" is defined as a governmental agency
or governmental entity that is established and operated exclusively
for the purpose of providing the services to one or more educational
institutions.
   (e) Benefits specified by subdivision (a) based on service
performed in the employ of a nonprofit organization, or of any entity
as defined by Section 605, with respect to services specified by
subdivision (b), are not payable during the periods of time, and
subject to the same conditions, contained in subdivisions (b), (c),
and (g), if the services are provided to, or on behalf of, an
educational institution.
   (f) For purposes of this section, "reasonable assurance" includes,
but is not limited to, an offer of employment or assignment made by
the educational institution, provided that the offer or assignment is
not contingent on enrollment, funding, or program changes. An
individual who has received notice that he or she will be replaced
and who does not have an offer of employment or assignment to perform
services for an educational institution is not considered to have
reasonable assurance.
   (g) For purposes of this section, if the time for service
performed during the period of and pursuant to any contract for any
academic year or term by an individual for any employing unit as
specified in subdivision (b) constitutes one-half or more of the time
in total service performed for the employing unit by the individual
during that same period for remuneration, all the services of the
individual for the employing unit for that period shall be deemed
subject to the benefit payment restriction provisions of this
section. 
   SEC. 2.    Section 1253.3 of the  
Unemployment Insurance Code   is amended to read: 
   1253.3.  (a) Notwithstanding any other provision of this division,
unemployment compensation benefits, extended duration benefits, and
federal-state extended benefits are payable on the basis of service
to which Section 3309(a)(1) of the Internal Revenue Code  of
1954  applies, in the same amount, on the same terms, and
subject to the same conditions as benefits payable on the basis of
other service subject to this division, except as provided by this
section.
   (b) Benefits specified by subdivision (a) based on service
performed in the employ of a nonprofit organization, or of any entity
as defined by Section 605, with respect to service in an
instructional, research, or principal administrative capacity for an
educational institution are not payable to any individual with
respect to any week which begins during the period between two
successive academic years or terms or, when an agreement provides
instead for a similar period between two regular but not successive
terms, during that period, or during a period of paid sabbatical
leave provided for in the individual's contract, if the individual
performs services in the first of the academic years or terms and if
there is a contract or a reasonable assurance that the individual
will perform services for any educational institution in the second
of the academic years or terms.
   (c) Benefits specified by subdivision (a) based on service
performed in the employ of a nonprofit organization, or of any entity
as defined by Section 605,  except for a public  
school as defined in Section 22161 of the Education Code,  with
respect to service in any other capacity than specified in
subdivision (b) for an educational institution shall not be payable
to any individual with respect to any week which commences during a
period between two successive academic years or terms if the
individual performs the service in the first of the academic years or
terms and there is a reasonable assurance that the individual will
perform the service in the second of the academic years or terms.
However, if the individual was not offered an opportunity to perform
the services for an educational institution for the second of the
academic years or terms, the individual shall be entitled to a
retroactive payment of benefits for each week for which the
individual filed a timely claim for benefits and for which benefits
were denied solely by reason of this subdivision. Retroactive
benefits shall be claimed in accordance with the department's
procedures which shall specify that except where the individual was
entitled to benefits based on services performed for other than an
educational institution, an individual who has a reasonable assurance
of reemployment may satisfy the search for work requirement of
subdivision (e) of Section 1253, by registering for work pursuant to
subdivision (b) of Section 1253 during the period between the first
and second academic terms or years. A claim for retroactive benefits
may be made no later than 30 days following the commencement of the
second academic year or term.
   (d) Benefits specified by subdivision (a) based on service
performed in the employ of a nonprofit organization, or of any entity
as defined by Section 605, with respect to services specified by
subdivision (b) or (c), are not payable to any individual with
respect to any week that commences during an established and
customary vacation period or holiday recess if the individual
performs the  specified  services in the  period
  week  immediately before the vacation period or
holiday recess, and there is a reasonable assurance that the
individual will perform the services in the period immediately
following the vacation period or holiday recess.
   (e) With respect to any services specified by subdivision (b) or
(c), compensation payable on the basis of services in that capacity
may be denied as specified in subdivision (b), (c), or (d) to any
individual who performed the services in an educational institution
while in the employ of an educational service agency, and for this
purpose the term "educational service agency"  means
  is defined as  a governmental agency or
governmental entity that is established and operated exclusively for
the purpose of providing the services to one or more educational
institutions.
   (f) Benefits specified by subdivision (a) based on service
performed in the employ of a nonprofit organization, or of any entity
as defined by Section 605, are not payable during the periods of
time, and subject to the same conditions, contained in subdivisions
(b), (c), (d), and (h), if the services are provided to, or on behalf
of, an educational institution.
   (g) For purposes of this section, "reasonable assurance" includes,
but is not limited to, an offer of employment or assignment made by
the educational institution, provided that the offer or assignment is
not contingent on enrollment, funding, or program changes. An
individual who has been notified that he or she will be replaced and
does not have an offer of employment or assignment to perform
services for an educational institution is not considered to have
reasonable assurance.
   (h) For purposes of this section, if the time for service
performed during the period of and pursuant to any contract for any
academic year or term by an individual for any employing unit as
specified in subdivision (b) or (c) constitutes one-half or more of
the time in total service performed for the employing unit by the
individual during that same period for remuneration, all the services
of the individual for the employing unit for that period shall be
deemed subject to the benefit payment restriction provisions of this
section.
   (i) Any entity as defined by Section 605, with respect to any
individual performing a service in any other capacity other than
specified in subdivision (b) for an educational institution, shall
provide a written statement indicating the following to the
individual no later than 30 days before the end of the first of the
academic years or terms:
   (1) Whether or not there is a reasonable assurance of
reemployment.
   (2) Whether or not it is stated that the individual has no
reasonable assurance of reemployment, that the individual should file
a claim for benefits at the close of the academic year or term.
   (3) If it is stated that the individual has reasonable assurance
of reemployment, the written statement shall also inform the employee
that he or she may file a claim for benefits and that the
determination for eligibility for benefits is made by the Employment
Development Department and not by the employer.
   (4) If it is stated that the individual has reasonable assurance
of reemployment, that the individual shall be entitled to a
retroactive payment of benefits if the individual is not offered an
opportunity to perform the services for the educational institution
for the second of the academic years or terms, if the individual is
otherwise eligible and he or she filed a claim for each week benefits
are claimed, and if a claim for retroactive benefits is made no
later than 30 days following the commencement of the second academic
year or term.
  SEC. 3.  Section 1451 of the Unemployment Insurance Code is
repealed.
  SEC. 4.  Section 1452 of the Unemployment Insurance Code is
repealed.
  SEC. 5.  Section 1453 of the Unemployment Insurance Code is
repealed. 
  SEC. 6.    Section 1454 of the Unemployment
Insurance Code is repealed. 
                                       
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