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S 1302

Provides for the payment of state aid to the town of Ashford, in the county of Cattaraugus, for state land therein

2025 Regular Session Introduced by George Borrello

Limits recovery of non-fault unemployment overpayments: caps, time bars, and waivers to ease repayment and cancel old debts for low-income or eligible claimants.

REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
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WeVote Research Nonpartisan
Bill Summary · S 1302

Summary — S.1302 (2025): "An Act to correct non-fault unemployment insurance overpayments"

Note: the bill text supplied addresses non‑fault unemployment insurance overpayments in Massachusetts (amending G.L. c.151A, §69). An unrelated short title in the metadata appears to be erroneous; this summary follows the bill text.

Purpose

To limit and create streamlined relief mechanisms for recovery of unemployment benefit overpayments when claimants are found to be without fault, including (1) caps and time limits on deductions and civil recovery, (2) mandatory waiver criteria for low‑income and other specified circumstances, and (3) cancellation rules for older non‑fault debts.

Key provisions

  • Amends G.L. c.151A, §69 (subsections (a)–(c)) to add protections for persons determined to be non‑fault overpaid.
  • Recovery limits and time bars (new (a)):
    • The Department may recover erroneous payments by civil action or by deducting from future benefits, provided there is a "final decision" (per §69D).
    • If the department determines the individual was not at fault, deductions from future benefit payments may not exceed 10% of the individual’s weekly benefit rate (excluding dependency allowances).
    • Civil actions generally must be commenced within six years of the erroneous payment; if the individual was not at fault, civil actions must be commenced within three years, and no deductions from future benefits may be made more than three years after the erroneous payment.
  • Cancellation rules (new (b)):
    • The Department shall cancel restitution balances for an erroneous payment three years after the payment if the individual is judged without fault.
    • Other balances may be canceled if the individual is deceased without an estate or, after five years following notice, the individual has not claimed benefits and cannot be located.
  • Waiver of recovery (new (c)):
    • The Department shall waive recovery of overpayments (including dependency allowances) for individuals judged without fault, including to the extent allowed for benefits paid under other state or federal laws.
    • The Department must waive recovery when recovery would “defeat the purpose” of benefits or be “against equity and good conscience.”
    • Examples defined as “against equity and good conscience” include (non‑exhaustive list):
    • Claimant is receiving or eligible for public safety‑net benefits (EAEDC, TAFDC, SNAP, SSI, SSDI, VA Chapter 115) or has after‑tax income ≤ 200% of the federal poverty threshold.
    • The Department detected a nonmonetary eligibility issue but failed to issue a determination within 21 days.
    • The Department reversed an award after an appeal/protest filed more than 30 days after the initial award.
    • Overpayments tied to the Department’s suspension of “lack of work” notices from March 20, 2020 to June 22, 2020.
    • PUA applicants who applied prior to March 23, 2021 and later failed to submit documentation requested on that date.
    • Claimant eligible under one program but mistakenly paid under PUA or PEUC at a higher weekly rate.
    • Claimants may file waiver applications at any time, including during appeals; denials are appealable under §§39–42.
    • The Department must provide multilingual assistance for waiver requests by phone and in‑person where in‑person assistance is required.

Who is affected

  • Unemployment claimants in Massachusetts who owe overpayments — especially those adjudicated to be without fault.
  • Low‑income claimants and those receiving public assistance programs named in the bill.
  • The Department of Unemployment Assistance (administration of new waiver, review, multilingual assistance, and recordkeeping requirements).
  • Potentially the Unemployment Insurance trust fund and state fiscal accounts (see impacts below).

Procedural/timeline notes

  • Changes amend G.L. c.151A, §69 and create specific three‑ and six‑year limitations on recovery actions and deductions for non‑fault cases.
  • Rights to appeal denials are preserved; waiver requests can be filed at any time after overpayment is established.
  • The bill text references pandemic‑era periods (March 20–June 22, 2020; March 23, 2021) for specific waiver triggers.

Potential impact

  • Increases relief to claimants who received overpayments through no fault of their own, particularly pandemic‑era claimants and low‑income individuals.
  • Likely reduces recoveries collected by the Department in certain non‑fault cases, which could modestly increase costs to the Unemployment Insurance program or the Commonwealth depending on scale.
  • Imposes administrative duties on the Department: processing waiver applications, providing multilingual assistance, and applying new time‑limit and cap rules.

If you would like, I can produce a concise bill text comparison showing exactly which lines are deleted and inserted in §69, or draft a one‑page explainer intended for impacted claimants.

Compiled from official sources — confirm details with the bill’s official record.

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