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Bill Summary · HB 960

HB 960 — Unemployment Insurance: Give Enhanced Benefits During Disasters (UI/Give Enhanced Benefits During Disasters)

Status: Introduced (filed Nov 12, 2024); passed first reading. Effective date in text: July 1, 2025.
Primary sponsor: Representative Longest (with additional sponsors in later drafts).

Purpose / Intent

To authorize a temporary increase in the maximum weekly Unemployment Insurance (UI) benefit to $600 for claimants who file during a state-declared disaster, and to establish funding, certification, and reporting rules to ensure the Unemployment Insurance Fund can support those enhanced payments.

Key provisions

  • Temporary increase in maximum weekly benefit

    • Adds G.S. 96-14.2(f): For claims filed during any period when a disaster is declared under G.S. 166A-19.21, the maximum weekly benefit amount is temporarily set at $600 for the duration of the declaration — overriding the statutory maximum in subsection (a) while in effect.
    • Implementation of the increase is subject to the certification requirements in G.S. 96-9.3(f) (see below).

  • Earmarking and projection of funds

    • Adds G.S. 96-9.2(f): Creates a dedicated reserve within the Unemployment Insurance Fund earmarked to finance the enhanced benefits.
    • The Division (Division of Employment Security) must annually project the amount reasonably necessary to maintain sufficiency of that reserve.
    • Beginning January 1, 2027, and annually thereafter, the Division must report projections and earmarks to the Joint Legislative Oversight Committee on Unemployment Insurance.

  • Certification of sufficient funding before activation

    • Adds G.S. 96-9.3(f): The Division must certify that sufficient funds have been earmarked to pay enhanced benefits before the temporary increase takes effect for any disaster declaration.
    • If the Division determines funds are insufficient for the anticipated duration, the temporary increase will not take effect for that disaster unless the General Assembly enacts the enhancement under applicable constitutional procedures.

Who is affected

  • Primary beneficiaries: unemployed North Carolina workers who file UI claims during an active state disaster declaration — they may receive a higher maximum weekly benefit ($600) while the declaration lasts and certification conditions are met.
  • State administration: Division of Employment Security must perform projections, earmark reserves, certify fund sufficiency, and produce annual reports to the legislative oversight committee.
  • Employers and UI financing: Potential impacts on the Unemployment Insurance Fund balance and, over time, on employer tax rates or assessments depending on fund sufficiency and use of reserves.

Fiscal and administrative considerations

  • The bill creates a dedicated reserve and reporting duties; it increases potential UI payout exposure during disasters. Exact fiscal impact depends on frequency/duration of declarations and reserve sizing; the Division’s projections/reporting are intended to inform budgeting.
  • If reserves are insufficient for a given disaster, legislative approval would be required to activate enhanced benefits for that event.

Timeline / Other notes

  • Effective July 1, 2025 (per bill text).
  • Annual reporting requirement to begin Jan 1, 2027, and continue yearly.
  • Activation is limited to declared disasters and requires Division certification of adequate reserved funding (or subsequent legislative action if funds are insufficient).

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

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