Public Law 87-6 AN ACT To provide for the establishment of a temporary program of extended unemployment compensation, to provide for a temporary increase in the rate of the Federal unemployment tax, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Temporary Extended Unemployment Compensation Act of 1961". DEFINITIONS SEC. 2. For purposes of this Act (1) The term "compensation period" means, in the case of any individual, the period beginning with the first day of a benefit year (determined under applicable State law) for such individual and ending on the day before the first day of the next benefit year (determined under applicable State law) for such individual. If the applicable State law does not define a benefit year, then for purposes of the preceding sentence such term has the meaning prescribed by the Secretary. (2) The term "first claim" means the first request for determination of an individual's right to temporary extended unemployment compensation, without regard to whether or not any compensation is paid. (3) The term "State unemployment compensation" means the regular unemployment compensation payable to an individual under the State law or title XV, and any additional unemployment compensation payable to such individual under the State law or title XV during periods of high unemployment. (4) The term "Secretary" means the Secretary of Labor of the United States. (5) The term "State" includes the District of Columbia and the Commonwealth of Puerto Rico. (6) The term "State agency" means the agency of the State which administers its State law. (7) The term "State law" means the unemployment compensation law of the State, approved by the Secretary under section 3304 of the Internal Revenue Code of 1954, and the unemployment compensation law of Puerto Rico during the last six months before January 1, 1961. (8) The term "temporary extended unemployment compensation" means the additional unemployment compensation payable under this Act. (9) The term "title XV" means title XV of the Social Security Act. (10) The term "week" means a week as defined in the applicable State law. PAYMENT OF COMPENSATION Eligibility SEC. 3. (a) Payment of temporary extended unemployment compensation shall be made, for any week of unemployment which begins in the covered period specified in section 6, to individuals who have, after June 30, 1960, exhausted (within the meaning prescribed by the Secretary by regulations) all rights under the State law and title XV and who have no rights to unemployment compensation with respect to such week under any such law or under any other Federal or State unemployment compensation law. Weekly Benefit Amount 68 Stat. 1130. (b) The temporary extended unemployment compensation payable to an individual for a week of total unemployment shall be the weekly benefit amount (including allowances for dependents) for total unemployment which was payable to him pursuant to the State law or title XV under which he last exhausted his rights before making his first claim under this Act. The temporary extended unemployment 1371. compensation payable to an individual for a week of less than total unemployment shall be computed on the basis of such weekly benefit amount, except that in such computation allowances for dependents shall be taken into account in the manner provided by the applicable State law with respect to such a week of less than total unemployment. Application of State Laws (c) Except where inconsistent with the provisions of this Act, the terms and conditions of the State law or title XV under which an individual most recently exhausted his rights shall apply to his claim for temporary extended unemployment compensation and to the payment thereof. REIMBURSEMENT SEC. 4. The United States shall reimburse any State, with which an agreement has been entered into under section 7 which includes the provisions specified in subsection (a) (2) thereof, for any State unemployment compensation paid by it to an individual with respect to a week of unemployment beginning in the covered period specified in section 6, to the extent that the sum of such payment, plus the State unemployment compensation paid by such State for prior weeks of unemployment in the compensation period and not reimbursed under this section, exceeds 26 times the weekly benefit amount (including allowances for dependents) for total unemployment which was payable to such individual pursuant to State law or title XV in such compensation period. LIMITATION ON TOTAL PAYMENTS AND REIMBURSEMENTS Overall Limitation SEC. 5. (a) The sum of the temporary extended unemployment compensation payable to any individual, plus the State unemployment compensation paid to such individual with respect to which any State is entitled to reimbursement under this Act (or would be entitled to such reimbursement but for the fact that such compensation is paid under title XV), shall not exceed whichever of the following amounts is the smaller: (1) An amount equal to 50 percent of the total amount of State unemployment compensation (including allowances for dependents) which was payable to him for his first compensation period, br (2) An amount equal to 13 times his weekly benefit amount for his first compensation period. Limitation Based on Compensation Period (b) Payment of temporary extended unemployment compensation (and reimbursement of State unemployment compensation) shall not be made with respect to any individual for any week of unemployment, to the extent that such payment or reimbursement, when added to the sum of State unemployment compensation and temporary 64207 O-62-4 68 Stat. 1130. 42 USC 13611371. extended unemployment compensation paid to such individual with (c) For purposes of this section— (1) The term "first compensation period" means (A) in the case of any individual whose first claim under this Act is for a week of unemployment before his first reimbursement week, the compensation period in which he last exhausted his rights to State unemployment compensation before making such first claim, or (B) in the case of any other individual, the compensation period in which his first reimbursement week occurs. (2) In the case of any individual, the term "first reimbursement week" means the first week with respect to which any State is entitled to reimbursement under section 4 (or would be entitled to such reimbursement but for the fact that the compensation was paid under title XV). (3) An individual's weekly benefit amount for any compensation period is the weekly benefit amount (including allowances for dependents) for total unemployment which was payable to him in such compensation period pursuant to the State law or title XV. COVERED PERIOD SEC. 6. In the case of any individual, the covered period referred to in sections 3 and 4 is the period (1) beginning on whichever of the following is the later: (A) the 15th day after the date on which this Act is enacted, or (B) the day after the date on which any applicable agreement is entered into under section 7 or 8, and (2) ending (A) on March 31, 1962, or (B) on June 30, 1962, in the case of an individual who (for a week beginning before April 1, 1962) had a week with respect to which temporary extended unemployment compensation was payable under section 3, reimbursement was payable under section 4, or reimbursement would have been so payable but for the fact that the unemployment compensation was payable under title XV. AGREEMENTS WITH STATES In General SEC. 7. (a) The Secretary is authorized on behalf of the United States to enter into an agreement with a State, or with the agency administering the State law, which shall include the provisions described in paragraphs (1) and (2) or in either of them: (1) Such State agency will make, as agent of the United States, payments of temporary extended unemployment compensation to the individuals referred to in section 3 on the basis provided in this Act, and will otherwise cooperate with the Secretary and with other State agencies in making payments of temporary extended unemployment compensation under this Act. (2) The United States will reimburse the State for State unemployment compensation paid under the conditions specified in section 4. Except as provided in section 8, temporary extended unemployment compensation shall be paid, and reimbursement under section 4 shall be made, only pursuant to an agreement entered into under this section. Amendment, Suspension, or Termination of Agreement (b) Each agreement under this Act shall provide the terms and conditions upon which the agreement may be amended, suspended, or terminated. No Denial or Reduction of State Benefits (c) Any agreement under this Act shall provide that regular unemployment compensation otherwise payable to any individual will not be denied or reduced for any week by reason of any right to temporary extended unemployment compensation under this Act. Review (d) Any determination by a State agency with respect to entitlement to temporary extended unemployment compensation pursuant to an agreement under this Act shall be subject to review in the same manner and to the same extent as determinations under the State law, and only in such manner and to such extent. Compensation To Be Reduced by Certain Retirement Pensions and Annuities (e) (1) Any agreement under this Act shall provide that temporary extended unemployment compensation payable to an individual with respect to a week shall be reduced, under regulations prescribed by the Secretary, by any amount received with respect to such week as a retirement pension or annuity under a public or private retirement plan or system provided, or contributed to, by any base period employer. An amount received with respect to a period other than a week shall be prorated by weeks. No reduction shall be made under this paragraph for (A) any retirement pension or annuity received by reason of disability, or (B) any amount received under title II of the Social Security Act. (2) For purposes of this subsection, the term "base period employer" means, in the case of any individual, any person who paid such individual any remuneration for employment which was taken into account in computing the amount or duration of any State unemployment compensation which was payable to such individual at any time during the compensation period. (3) For purposes of section 3(c), so much of any State law as provides a disqualification for, or a reduction in, State unemployment compensation for amounts received as retirement pensions or annuities (or for amounts received under title II of the Social Security Act) shall be deemed to be inconsistent with the provisions of this Act relating to the payment of temporary extended unemployment compensation. 49 Stat. 622. 42 USC 401-425. In State Wa Di Arements Sec 2 1 For the purpose of paying ampony rated 80ployment som penance & litious vir Late after me 31, 1960, exhausted their riga to memployment compenskoon mder title XV in a State there is no agreement mder section which apples with reges to the weeks of thempioyment commed, the Secretary my red my existing agreement with such State. Any such erest ply cely to weeks of mempkyment beginning after such areneve is made. For the purposes of this Act, any such erezett stall be treated as an agreement entered into under this Act. In the Virgin Bands (b) For the purpose of paying temporary extended unemployment compensation to finials who have, after June 30, 190, exhausted their rigors to employment compensation under title XV in the Virgin Islanda, the Secretary may utilize the personnel and facilities of the agency in the Virgin Islan is cooperating with the United States Employment Service under the Act of June 6, 1953 (29 U.S.C. 49 and following, may delegate to officials of such agency any authority granted to him by this Act whenever the Secretary determines such delegation to be necessary in carrying out the purposes of this Act, and may allocate or transfer funds or otherwise pay or reimburse such agency for the total cost of the temporary extended unemployment compensation paid under this Act and for expenses incurred in carrying out the purposes of this Act. Review (c) Any individual referred to in subsection (b) whose claim for temporary extended unemployment compensation has been denied shall be entitled to a fair hearing and review as provided in section 1503(c) of title XV. PENALTIES False Statements, and So Forth SEC. 9. (a) Whoever makes a false statement or representation of a material fact knowing it to be false, or knowingly fails to disclose a material fact, to obtain or increase for himself or for any other individual any payment under this Act shall be fined not more than $1,000 or imprisoned for not more than one year, or both. Recovery of Overpayments (b) (1) If a State agency or the Secretary, as the case may be, or a court of competent jurisdiction, finds that any person— (A) has made, or has caused to be made by another, a false statement or representation of a material fact knowing it to be false, or has knowingly failed, or caused another to fail, to disclose a material fact, and (B) as a result of such action has received any payment under this Act to which he was not entitled, such person shall be liable to repay such amount to the State agency or the Secretary, as the case may be. In lieu of requiring the repayment of any amount under this paragraph, the State agency or the Secretary, as the case may be, may recover such amount by deductions |