2024 House Bill 5859

Employment security: administration; approval of the legislature before the department performs certain actions; require.

A bill to amend 1936 (Ex Sess) PA 1, entitled “Michigan employment security act,” (MCL 421.1 to 421.75) by adding section 54i.

AI Analysis – Experimental

The primary objective of this legislation is to impose restrictions on the unemployment agency's operational decisions without legislative approval. The bill stipulates that the unemployment agency cannot reassign members of its investigations division to other divisions, nor can it rescind or discontinue certain rules without a resolution passed by both houses of the legislature. These rules include delaying the first payment of newly filed unemployment claims by at least ten business days and maintaining a computer system that detects potential fraudulent activities. The system's criteria for fraud detection include the use of blacklisted email domains or IP addresses, out-of-state physical addresses, and duplicate information across separate claims, such as bank accounts, IP addresses, and physical addresses. The legislation aims to enhance oversight and prevent fraud within the unemployment system, potentially affecting claimants by ensuring stricter scrutiny and longer wait times for initial payments. The bill does not specify any new funding allocations or changes to existing financial structures. The impact on stakeholders includes increased legislative control over the unemployment agency's operations, which may benefit the integrity of the system but could also introduce delays and administrative challenges for claimants. The bill does not outline specific timelines or deadlines for its implementation beyond the requirement for legislative approval for the specified actions.