An Act To Strengthen the Unemployment Insurance Laws and Reduce Unemployment Fraud
Maine Legislature, Session 125, LD 1725
Committee Amendment CA_A_S483 (Senate)

COMMITTEE AMENDMENT "A " to S.P. 589, L.D. 1725, Bill, "An Act To 
Strengthen the Unemployment Insurance Laws and Reduce Unemployment Fraud" 
Amend the bill in section 1 in subsection 1 by striking out the blocked paragraph 
(page 1, lines 13 to 17 in L.D.) and inserting the following: 
'Each false statement or representation or failure to disclose a material fact sftall. 
constitute constitutes a separate offense. Unemployment fraud is a Class D crime theft by 
deception under Title 17-A, section 354.' 
Amend the bill in section 2 in subsection 2 in the blocked paragraph in the 5th and 
6th lines (page 1, lines 33 and 34 in L.D.) by striking out the following: "until the 
documentation is provided," and inserting the following: 'in accordance with section 
1194, subsection 2 for the week or weeks for which no documentation was provided' 
Amend the bill in section 4 in subsection 13 in the 3rd line (page 2, line 11 in L.D.) 
by striking out the following: "commission, the individual participates in those services, 
unless the commission" and inserting the following: 'Department of Labor, the individual 
participates in those services, unless the department' 
Amend the bill in section 5 in § 1192 in the first paragraph in the first line (page 2, 
line 17 in L.D.) by inserting after the following: "b" the following: 'l.' 
Amend the bill in section 5 in § 1192 in the first paragraph in the 2nd to last line (page 
2, line 25 in L.D.) by inserting after the following: "nature" the following: " including 
child care emergencies and transportation emergencies' 
Amend the bill in section 6 in subsection 2 in the first paragraph in the 2nd to last line 
(page 2, line 31 in L.D.) by striking out the following: "lQ" and inserting the following: 
'li' 
Amend the bill in section 6 in subsection 2 in paragraph A in the 2nd to last line 
(page 2, line 35 in L.D.) by striking out the following: "lQ" and inserting the following: 
'li' 
COMMITTEE AMENDMENT 
, ~. 2 
~ .. 
COMMITTEE AMENDMENT" A" to S,P, 589, L.D. 1725 
Amend the bill in section 7 in subsection 3 in paragraph A in the 2nd line (page 3, 
line 13 in L.D.) by striking out the following: "Q" and inserting the following: 'lQ' 
Amend the bill in section 7 in subsection 3 in paragraph A in the blocked paragraph 
in the first line (page 3, line 19 in L.D.) by striking out the following: "Q" and inserting 
the following: 'lQ' 
Amend the bill in section 9 in subsection 6 in the last line (page 4, line 30 in L.D.) by 
striking out the following: "an indefinite period" and inserting the following: 'a period of 
time to be determined by the commissioner' 
Amend the bill by inserting after section 9 the following: 
'Sec. 10. Interdepartmental cooperation. The Department of Labor shall work 
with the United States Department of Labor to explore allowing alternatives for 
individuals for whom in-person participation in the first reemployment eligibility 
assessment session is unduly burdensome based on travel distance and shall adopt 
standards to implement any allowable and feasible alternatives. If permitted by the 
Federal Government, the department shall develop standards and procedures to provide 
alternatives to in-person participation for all subsequent reemployment eligibility 
assessment sessions for individuals for whom travel to such sessions would be unduly 
burdensome. Waiver of in-person participation in services must be made on a case-by-
case basis in accordance with standards adopted by the department. If alternatives to in-
person participation are allowed and are available, the department shall notify all 
individuals affected by this section of any standards or procedures providing an 
alternative to in-person participation in reemployment eligibility assessment services.' 
SUMMARY 
This amendment, which is the majority report of the committee, amends the bill to 
clarify that criminal prosecutions may be brought against both individuals and employers 
who commit unemployment fraud. 
It adds child care emergencies and transportation 
emergencies to the list of good cause exceptions for registering for work, being able and 
available for work and participating in reemployment services. It changes the amount of 
earnings an individual must make before qualifying for benefits after being discharged for 
misconduct from 10 times the weekly benefit amount to 8 times the weekly benefit 
amount. It changes the number of weeks after which an individual must broaden the 
individual's work search requirements from 6 weeks to 10 weeks. The amendment also 
clarifies that the Commissioner of Labor may determine the amount of time a claimant is 
disqualified from receiving benefits after a 3rd occurrence of statement falsification or 
misrepresentation. It requires the Department of Labor to explore alternatives to in-
person participation in reemployment eligibility assessment sessions if travel is unduly 
burdensome. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 03/15/12 
frLZC 
LD 1725 
LR 2554(02) 
An Act To Strengthen the Unemployment Insurance Laws and Reduce Unemployment Fraud 
Fiscal Note for Bill as Amended by Committee Amendment" A" S 1f8'3 
Committee: Labor, Commerce, Research and Economic Development 
Fiscal Note Required: Yes 
Fiscal Note 
Potential current biennium savings - Unemployment Compensation Trust Fund 
Potential future biennium revenue decrease - Unemployment Compensation Trust Fund 
Fiscal Detail and Notes 
Including vacation pay as a deductible income when calculating a claimant's unemployment compensation benefit 
amount will decrease costs to the Unemployment Compensation Trust Fund beginning in fiscal year 2012-13 due to a 
decrease in benefit payments. An analysis performed by the Department of Labor's Center for Workforce Research 
and Information estimates the reduction in benefit costs to be between 0.7% and 0.8% oftotal regular benefits. 
According to the Department of Labor, the estimated amount of decreased benefits depends on the condition of the 
economy. Ifthis provision had been in place in a non-recessional period such as 2007, the estimated decrease in 
benefit costs would have been between $800,000 and $850,000 based on total regular benefit costs of $113.96 million. 
However, if this provision had been in place during 2011, the estimated decrease would have been between $1.4 
million and $1.5 million, based on total regular benefit costs of $191.0 million. 
This reduction of benefits may potentially affect the contribution rate schedule in future biennia. The impact to all 
employers and the timing of the impact can not be determined at this time and will depend on the level of benefits 
paid, contributions received and the balance of the trust fund when the contribution schedule is calculated. 
This bill will reduce unemployment costs for executive branch departments and agencies that are in direct 
reimbursement status. However, because appropriations/allocations to fund the costs of the provision were not 
provided to executive branch departments and agencies when the legislation that eliminated the vacation pay benefit 
offset was enacted during the 1st Regular Session of the 124th Legislature, no offsetting 
deappropriations/deallocations are being recommended for this bill. The estimated savings to the General Fund and 
Highway Fund are provided below. 
. ~et Cost (Savings) 
General Fund 
Highway Fund 
FY 2011-12 
$0 
$0 
FY 2012-13 
($35,486) 
($19,347) 
LR2554(02) - Fiscal Note - Page 1 of 1 
Projections 
FY 2013-14 
($35,486) 
($19,347) 
Projections 
FY 2014-15 
($35,486) 
($19,347)