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CFR  

Code of Federal Regulations Pertaining to U.S. Department of Labor

Title 20  

Employees' Benefits

 

Chapter V  

Employment and Training Administration, Department of Labor

 

 

Part 615  

Extended Benefits In the Federal-State Unemployment Compensation Program


20 CFR 615.12 - Determination of ``on'' and ``off'' indicators.

  • Section Number: 615.12
  • Section Name: Determination of ``on'' and ``off'' indicators.

    (a) Standard State indicators. (1) There is a State ``on'' indicator 

in a State for a week if the head of the State agency determines, in 

accordance with this section, that, for the period consisting of that 

week and the immediately preceding 12 weeks, the rate of insured 

unemployment (not seasonally adjusted) under the State law--

    (i) Equalled or exceeded 120 percent of the average of such rates 

for the corresponding 13-week periods ending in each of the preceding 

two calendar years, and

    (ii) Equalled or exceeded 5.0 percent.

    (2) There is a State ``off'' indicator in a State for a week if the 

head of the State agency determines, in accordance with this section, 

that, for the period consisting of that week and the immediately 

preceding 12 weeks, the rate of insured unemployment (not seasonally 

adjusted) under the State law--

    (i) Was less than 120 percent of the average of such rates for the 

corresponding 13 week periods ending in each of the preceding two 

calendar years, or

    (ii) Was less than 5.0 percent.

    (3) The standard State indicators in this paragraph (a) shall apply 

to weeks beginning after September 25, 1982.

    (b) Optional State indicators. (1)(i) A State may, in addition to 

the State indicators in paragraph (a) of this section, provide by its 

law that there shall be a State ``on'' indicator in the State for a week 

if the head of the State agency determines, in accordance with this 

section, that, for the period consisting of that week and the 

immediately preceding 12 weeks, the rate of insured unemployment (not 

seasonally adjusted) under the State law equalled or exceeded 6.0 

percent even though it did not meet the 120 percent factor required 

under paragraph (a).

    (ii) A State which adopts the optional State indicator must also 

provide that, when it is in an Extended Benefit Period, there will not 

be an ``off'' indicator until (A) the State rate of insured unemployment 

is less than 6.0 percent, and (B) either its rate of insured 

unemployment is less than 5.0 percent or is less than 120 percent of the 

average of such rates for the corresponding 13-week periods ending in 

each of the preceding two calendar years.

    (2) The optional State indicators in this paragraph (b) shall apply 

to weeks beginning after September 25, 1982.

    (c) Computation of rate of insured unemployment--(1) Equation. Each 

week the State agency head shall calculate the rate of insured 

unemployment under the State law (not seasonally adjusted) for purposes 

of determining the State ``on'' and ``off'' and ``no change'' 

indicators. In making such calculations the State agency head shall use 

a fraction, the numerator of which shall be the weekly average number of 

weeks claimed in claims filed (not seasonally adjusted) in the State in 

the 13-week period ending with the week for which the determination is 

made, and the denominator of which shall be the average monthly 

employment covered by the State law for the first four of the last six 

calendar quarters ending before the close of the 13-week period. The 

quotient obtained is to be computed to four decimal places, and is not 

otherwise rounded, and is to be expressed as a percentage by multiplying 

the resultant decimal fraction by 100.

    (2) Counting weeks claimed. To determine the average number of weeks 

claimed in claims filed to serve as the numerator under paragraph 

(c)(1), the State agency shall include claims for all weeks for regular 

compensation, including claims taken as agent State under the Interstate 

Benefit Payment Plan. It shall exclude claims--

    (i) For Extended Benefits under any State law,

    (ii) For additional compensation under any State law, and

    (iii) Under any Federal law except joint claims which combine 

regular compensation and compensation payable under 5 U.S.C. chapter 85.

    (3) Method of computing the State 120 percent factor. The rate of 

insured unemployment for a current 13-week period shall be divided by 

the average of the rates of insured unemployment for the corresponding 

13-week periods in each of the two preceding calendar years to determine 

whether the rate is equal to 120 percent of the average rate for the two 

years. The quotient obtained shall be computed to four decimal places 

and not otherwise rounded, and shall be expressed as a percentage by 

multiplying the resultant decimal fraction by 100. The average of the 

rates for the corresponding 13-week periods in each of the two preceding 

calendar years shall be one-half the sum of such rates computed to four 

decimal places and not otherwise rounded. To determine which are the 

corresponding weeks in the preceding years--

    (i) The weeks shall be numbered starting with week number 1 as the 

first week ending in each calendar year.

    (ii) The 13-week period ending with any numbered week in the current 

year

shall correspond to the period ending with that same numbered week in 

each preceding year.

    (iii) When that period in the current year ends with week number 53, 

the corresponding period in preceding years shall end with week number 

52 if there is no week number 53.

    (d) Amendment of State indicator rates. (1) Because figures used for 

determinations under this section may contain errors and because it is 

not practical to apply any correction in a State ``on'' or ``off'' or 

``no change'' indicator retroactively either to recover amounts paid or 

to adjudicate claims for past periods in which claimants failed to make 

the required active search for work, any determination by the head of a 

State agency of an ``on'' or ``off'' or ``no change'' indicator shall 

not be corrected more than three weeks after the close of the week to 

which it applies. If any figure used in the computation of a rate of 

insured unemployment is later found to be wrong, the correct figure 

shall be used to redetermine the rate of insured unemployment and of the 

120 percent factor for that week and all subsequent weeks, but no 

determination of previous ``on'' or ``off'' or ``no change'' indicator 

shall be affected unless the redetermination is made within the time the 

indicator may be corrected under the first sentence of this paragraph 

(d)(1). Any change hereunder shall be subject to the concurrence of the 

Department as provided in paragraph (e) of this section.

    (2) Any determination of the rate of insured unemployment and its 

effect on an ``on'' or ``off'' or ``no change'' indicator may be 

challenged by appeal or by other proceedings, as shall be provided by 

State law, but the implementation of any change in the indicator from 

one week to another shall not be stayed or postponed. In a hearing on 

any such challenge the issue may be limited to the accuracy of the 

determination of the rate of insured unemployment. If an error in that 

rate affecting the ``on'' or ``off'' or ``no change'' indicator is 

discovered in such a hearing or other proceeding, its retroactive effect 

shall be limited as provided in paragraph (d)(1).

    (e) Notice to Secretary. Within 10 calendar days after the end of 

any week with respect to which the head of a State agency has determined 

that there is an ``on,'' or ``off,'' or ``no change'' indicator in the 

State, the head of the State agency shall notify the Department of the 

determination. The notice shall state clearly the State agency head's 

determination of the specific week for which there is a State ``on'' or 

``off'' or ``no change'' indicator. The notice shall include also the 

State agency head's findings supporting the determination, with a 

certification that the findings are made in accordance with the 

requirements of this Sec. 615.15. Determinations and findings made as 

provided in this section shall be accepted by the Department, but the 

head of the State agency shall comply with such provisions as the 

Department may find necessary to assure the correctness and verification 

of notices given under this paragraph. A notice shall not become final 

for purposes of the Act and this part until such notice is accepted by 

the Department.
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