DEPARTMENT OF UNEMPLOYMENT ASSISTANCE UI POLICY & PERFORMANCE INTEROFFICE MEMORANDUM

Transcription

1 DEPARTMENT OF UNEMPLOYMENT ASSISTANCE UI POLICY & PERFORMANCE INTEROFFICE MEMORANDUM DATE: February 12, 2016 RESCISSION(s): None REFERENCE NO.: UIPP TO: FROM: SUBJECT: All DUA Managers, Career Center Field Operations Directors, Job Service Representatives, Compliance Officers, Review Examiners, Call Center Staff and Senior Staff Directors Jennifer Lavin, Director, UI Policy & Performance Implementation of Time Limit on Replacement UI Payments 1. PURPOSE. To provide guidance on the implementation of a time limit on requests for replacement UI payments. 2. REFERENCES. G. L. c. 151A, BACKGROUND. Prior agency practice for claimants who lost paper check payments was to have the claimant complete an affidavit certifying a payment had not been received. If the Finance department verified the payment had not been cashed, a replacement payment was issued to the claimant. There was no time limit imposed on replacement payment requests. With the advent of the debit card payment option in UI Online, a new time limit policy must be implemented in order to insure fiscal control of all UI payments. 4. ACTION. Effective February 15, 2016, claimants will have 12 months from the date of issuance to request a replacement UI payment. If a claimant fails to cash a paper check or activate a debit card issued by the debit card vendor (Bank of America) within the 12 month period, the funds from the paper check and any unused funds deposited on the inactive debit card will be credited back into the UI Trust fund. Any requests for replacement payments beyond the 12 month deadline will require a detailed explanation for the justification of the request. In accordance with Chapter Replacement Payment Policy February 12, 2016 UI Policy & Performance

2 151A, 22, only the director of the agency has the ability to authorize replacement payments beyond the 12 month deadline: Section 22. Benefits shall be payable from the Unemployment Compensation Fund to any individual eligible for benefits under this chapter. Such benefits shall be paid, through the employment offices operated by the commonwealth or such other agencies of the division of unemployment assistance as the Federal Social Security Board or its successor may approve, at such times and in such manner as the commissioner shall prescribe. Any benefit charges to an employer s account for UI payments that have not been cashed or accessed from an inactive debit card will be automatically reversed in UI Online 12 months after the date of issuance and the claimant will not be credited with the receipt of the benefits for the week in question. 2 Replacement Payment Process: 1. Payments less than one year old: a. Debit card activated and payment issued less than one year ago: Claimants must contact Bank of America to request a replacement card. Verify that we have the correct address for the claimant in UI Online. Bank of America cannot change the claimant s address. b. Debit card issued less than one year ago and never activated: Claimant must contact Bank of America to request a replacement card. Verify the claimant s address in UI Online. c. Debit card issued over one year ago and never activated account with Bank of America has been closed: In isolated incidents, UI Online will show recent payments loaded onto a debit card that was never activated, with no indication of the card being closed and funds returned. Staff should submit an request for replacement payment of the recent payment to a JSRII or manager with the following information: o claimant name o claimant ID, o week ending date, payment amount and payment ID for each payment that needs to be re-issued. d. Paper checks issued less than one year ago claimant never received payment: Staff or the claimant can request a replacement payment for paper checks within the 12 month replacement period by:

3 3 o Clicking on Transaction Details for the week in question in the Payment History Screen: o Click on Transaction Date for the week in question: o Select the Click to Request link to request a replacement payment for the week in question on the Payment Distribution Summary Screen: o If the claimant is requesting a replacement for a paper check, the following screen will appear:

4 4 2. Payments over one year old: a. Payments over one year old can no longer be replaced. b. Only extreme, extenuating circumstances, volunteered only by the claimant, will be considered by the Director. A detailed explanation from the claimant for this request will be forwarded to a supervisor or manager. Additional Debit Card Information: A debit card will be issued to the claimant after a claim is filed, even if the claimant signs up for direct deposit after the claim is filed. The claimant should be advised to activate the debit card and keep it with their records and never discard it, even after switching to direct deposit. Once a debit card is activated, it is in effect for three years. If a debit card is issued to the claimant and is never activated and used, Bank of America will close the account associated with the card. Recently issued payments could still be deposited on the debit card, but the funds will be returned to DUA by Bank of America due to the account being closed. Agents can assist claimants who request recent payments be reissued. However, the request for replacement payments can take several weeks before payments are re-issued. Bank of America will only issue up to four debit cards to a claimant. After the fourth replacement card is issued, claimants must sign up for direct deposit if the most recent replacement debit card is lost. If a claimant has been receiving UI payments on a debit card and elects to change to direct deposit, no funds will be issued until the 9 business day direct deposit verification process is completed. After the 9 business days, any benefits owed to the claimant will be direct deposited. Claimants should be advised to keep their debit card in

5 5 case any future payments are deposited on the card. Activated debit cards are good for three years. 5. QUESTIONS. The booklet, A Guide to Benefits and Employment Services for Claimants, as well as several locations on the EOLWD/DUA website will be updated to include the new replacement payment policy. If you have any questions on the replacement payment policy, please contact the UI Policy & Performance Department at (617) If staff have questions on previously submitted requests for a replacement payment, they may contact the Benefit Integrity Unit at (617)