(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.