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Bill > A09578


NY A09578

NY A09578
Provides that any claimant who has received certain unemployment benefits to which they were not entitled shall not be held liable for the amounts overpaid provided certain conditions exist; directs the department of labor to provide claimants who have previously been denied waivers with applications for individual waivers; repeals certain provisions of law relating thereto.


summary

Introduced
01/21/2026
In Committee
01/21/2026
Crossed Over
Passed
Dead

Introduced Session

2025-2026 General Assembly

Bill Summary

AN ACT to amend the labor law, in relation to the recovery of overpayments of unemployment benefits; to direct the department of labor to provide claimants who have previously been denied waivers with applications for individual waivers; and to repeal certain provisions of such law relating thereto

AI Summary

This bill aims to protect individuals who received unemployment benefits they weren't entitled to, particularly those related to federal programs like Pandemic Unemployment Assistance (PUA), Pandemic Emergency Unemployment Compensation (PEUC), and Federal Pandemic Unemployment Compensation (FPUC), from having to repay those overpayments under certain conditions. Specifically, claimants will not be held liable if the overpayment was not due to their own willful misrepresentation or false statements, if they were not at fault in receiving the overpayment, and if recovering the money would be unfair and unjust. The bill defines "without fault" and "willful misrepresentation" and outlines factors the Commissioner of Labor must consider when determining fault, including departmental errors, confusing information, or barriers faced by the claimant. It also establishes a presumption of being without fault in various scenarios, such as when the department provides conflicting information or when the claimant faces language or literacy barriers. Furthermore, the bill details conditions under which recovering an overpayment would be against equity and good conscience, such as causing financial hardship or forcing the recipient to give up other essential benefits. The Department of Labor will be required to provide claimants who were previously denied waivers with new applications and to ensure all notifications are translated into the twelve most common languages spoken in the state. The bill also repeals certain existing provisions related to overpayments and requires the Commissioner of Labor to seek a review from the U.S. Department of Labor to ensure these changes do not negatively impact New York State's ability to receive federal tax credits, known as the Benefit Cost Rate (BCR) penalty. The effective date of these provisions is tied to the Commissioner's certification that these changes will not jeopardize these federal tax credits, with a potential delayed effective date if they do.

Committee Categories

Labor and Employment

Sponsors (1)

Last Action

referred to labor (on 01/21/2026)

bill text


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