An Act To Amend the Laws Governing Unemployment Compensation To Ensure Conformity with the Federal Trade Adjustment Assistance Extension Act of 2011
Maine Legislature, Session 126, LD 1311
Committee: Labor, Commerce, Research and Economic Development
Sponsors: PATRICK, VOLK, CUSHING, CAMPBELL, GILBERT, HAMANN, LOCKMAN, MASON, WINCHENBACH
Amends: 26 MRSA §1192, 26 MRSA §1193, 26 MRSA §1221

Legislative Document 
No. 1311 
S.P. 454 
In Senate, April 2, 2013 
An Act To Amend the Laws Governing Unemployment 
Compensation To Ensure Conformity with the Federal Trade 
Adjustment Assistance Extension Act of 2011 
Submitted by the Department of Labor pursuant to Joint Rule 204. 
Reference to the Committee on Labor, Commerce, Research and Economic Development 
suggested and ordered printed. 
DAREK M. GRANT 
Secretary of the Senate 
Presented by Senator PATRICK of Oxford. 
Cosponsored by Representative VOLK of Scarborough and 
Senator: CUSHING of Penobscot, Representatives: CAMPBELL of Newfield, GILBERT of 
Jay, HAMANN of South Portland, LOCKMAN of Amherst, MASON of Topsham, 
WINCHENBACH of Waldoboro. 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1.  26 MRSA §1192, sub-§2, as amended by PL 2011, c. 645, §2, is further 
amended to read: 
2.  Has registered for work.  The individual has registered for work at, and 
continued to report at, an employment office in accordance with rules the commission 
adopts, except that the commission may, by rule, waive or alter either or both of the 
requirements of this subsection as to individuals attached to regular jobs and as to such 
other types of cases or situations with respect to which the commission finds that 
compliance with the requirements would be oppressive, or would be inconsistent with the 
purposes of this chapter.  A rule under this subsection may not conflict with section 1191, 
subsection 1. 
The individual must actively seek work each week in which a claim for benefits is filed 
unless the individual is participating in approved training under subsection 6 or work 
search has been waived in accordance with rules adopted by the commission and provide 
evidence of work search efforts in a manner and form as prescribed by the commission 
Department of Labor.  Failure to provide required work search documentation results in a 
denial of benefits in accordance with section 1194, subsection 2 for the week or weeks for 
which no documentation was provided unless the commission department determines 
there is good cause for the individual's failure to comply with this requirement; 
Sec. 2.  26 MRSA §1193, sub-§6, as amended by PL 2011, c. 645, §9, is further 
amended to read: 
6.  Has falsified.  For any week for which the deputy finds that the claimant made a 
false statement or representation knowing it to be false or knowingly failed to disclose a 
material fact in the claimant's application to obtain benefits from any state or federal 
unemployment compensation program administered by the bureau.  In addition, for a first 
or 2nd occurrence, the claimant is ineligible to receive any benefits for a period of not 
less than 6 months nor more than one year from the mailing date of the determination, 
and the commissioner shall assess a penalty of 50% of the benefits falsely obtained for 
the first occurrence and 75% for the 2nd occurrence.  If an individual is disqualified for a 
3rd occurrence of statement falsification or misrepresentation in an effort to obtain 
benefits, the commissioner shall assess a penalty of 100% of the benefits falsely obtained 
and the claimant is disqualified from receiving benefits for a period of time to be 
determined by the commissioner.  Fifteen percent of these penalties assessed and 
recovered must be directly deposited in the fund account;  
Sec. 3.  26 MRSA §1221, sub-§3, ¶E is enacted to read: 
E.  An employer's experience rating record may not be relieved of charges relating to 
an erroneous payment from the fund if the bureau determines that: 
(1)  The erroneous payment was made because the employer or agent of the 
employer was at fault for failing to respond timely or adequately to a written or 
electronic request from the bureau for information relating to the claim for 
unemployment compensation; and 
(2)  The employer or agent of the employer has established a pattern of failing to 
respond timely or adequately to written or electronic requests from the bureau for 
information relating to claims for unemployment compensation. 
A determination of the bureau not to relieve charges pursuant to this paragraph is 
subject to appeal as other determinations of the bureau with respect to the charging of 
employers' experience rating records. 
Sec. 4.  26 MRSA §1221, sub-§6, ¶Q is enacted to read: 
Q.  "Erroneous payment" means a payment that would not have been made but for the 
failure by the employer or agent of the employer to respond timely or adequately to a 
written or electronic request from the bureau for information relating to a claim for 
unemployment compensation. 
Sec. 5.  26 MRSA §1221, sub-§6, ¶R is enacted to read: 
R.  "Pattern of failing" means repeated documented instances of failure on the part of 
the employer or agent of the employer to respond timely or adequately to a written or 
electronic request from the bureau for information relating to a claim for 
unemployment compensation, taking into consideration the number of instances of 
failure in relation to the total number of requests.  An employer or agent of the 
employer that fails to respond timely or adequately to a written or electronic request 
from the bureau for information relating to a claim for unemployment compensation 
may not be determined to have engaged in a pattern of failing if the number of 
instances of failure during the year prior to a request is fewer than 2 or less than 2% 
of requests, whichever is greater. 
Sec. 6.  Application.  That section of this Act that enacts the Maine Revised 
Statutes, Title 26, section 1221, subsection 3, paragraph E applies to determinations of 
erroneous payments made after October 21, 2013. 
SUMMARY 
This bill amends the laws governing unemployment compensation to ensure 
conformity with the federal Trade Adjustment Assistance Extension Act of 2011, Public 
Law 112-40, 125 Stat. 401.  It provides that 15% of a penalty assessment paid due to 
unemployment misrepresentation or fraud must be placed directly into the 
Unemployment Compensation Fund.  It also prohibits an employer from being relieved of 
benefit charges for a benefit overpayment that was due to the fault of the employer or 
agent of the employer if that employer or agent of the employer has established a pattern 
of failing to provide timely or adequately requested information pertaining to an 
unemployment benefit claim.  Additionally, this bill corrects reference errors in the laws 
governing unemployment compensation to accurately identify the Department of Labor 
as the entity that prescribes how and in what form an individual reports on that 
individual's work search, and as the entity that determines whether good cause exists for 
an individual's failure to comply with the work search requirement.