88R6956 RDS-F     By: Patterson H.B. No. 4902       A BILL TO BE ENTITLED   AN ACT   relating to the eligibility of certain individuals for unemployment   benefits and the validity of certain claims for unemployment   benefits submitted to the Texas Workforce Commission.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 207.021(a), Labor Code, is amended to   read as follows:          (a)  Except as provided by Chapter 215, an unemployed   individual is eligible to receive benefits for a benefit period if   the individual:                (1)  has registered for work at an employment office   and has continued to report to the employment office as required by   rules adopted by the commission;                (2)  has made a claim for benefits under Section   208.001;                (3)  is able to work;                (4)  is available for work;                (5)  [is actively seeking work] in accordance with   rules adopted by the commission:                      (A)  is actively seeking work; and                       (B)  during each week of the benefit period,   performed at least four of the following work search activities,   subject to verification by the commission:                            (i)  completed and submitted an application   for a job, other than an application submitted while attending a job   fair;                            (ii)  submitted a resume to an employer that   advertised an active job opening;                            (iii)  attended a job fair and submitted at   least one application for a job while attending the job fair;                            (iv)  participated in a job interview;                            (v)  after submitting a resume or   application or participating in a job interview, responded to an   employer's inquiry; or                             (vi)  participated in a work search or   professional training sponsored or approved by the commission;                (6)  for the individual's base period, has benefit wage   credits:                      (A)  in at least two calendar quarters; and                      (B)  in an amount not less than 37 times the   individual's benefit amount;                (7)  after the beginning date of the individual's most   recent prior benefit year, if applicable, earned wages in an amount   equal to not less than six times the individual's benefit amount;                (8)  has been totally or partially unemployed for a   waiting period of at least seven consecutive days; and                (9)  participates in reemployment services, such as a   job search assistance service, if the individual has been   determined, according to a profiling system established by the   commission, to be likely to exhaust eligibility for regular   benefits and to need those services to obtain new employment,   unless:                      (A)  the individual has completed participation   in such a service; or                      (B)  there is reasonable cause, as determined by   the commission, for the individual's failure to participate in   those services.          SECTION 2.  Section 207.047, Labor Code, is amended by   amending Subsection (a) and adding Subsection (c) to read as   follows:          (a)  An individual is disqualified for benefits if during the   individual's current benefit year, the individual failed, without   good cause, to:                (1)  apply for available, suitable work when directed   to do so by the commission;                (2)  accept suitable work offered to the individual;   [or]                (3)  return to the individual's customary   self-employment, if any, when directed to do so by the commission;   or                (4)  respond to an employer's request for an interview   or to attend a scheduled interview.          (c)  An employer shall report to the commission any   individual who:                (1)  refuses to return to work;                (2)  refuses a suitable offer of employment;                (3)  fails to respond to the employer's request for an   interview; or                (4)  fails to attend a scheduled interview.           SECTION 3.  Section 208.021(b), Labor Code, is amended to   read as follows:          (b)  For each valid initial claim, the commission shall   determine:                (1)  the claimant's identity;                (2)  the claimant's benefit year;                (3) [(2)]  the benefit amount for total unemployment;   and                (4) [(3)]  the duration of benefits.          SECTION 4.  Subchapter B, Chapter 208, Labor Code, is   amended by adding Sections 208.0211 and 208.0212 to read as   follows:          Sec. 208.0211.  DETERMINATION OF CLAIM VALIDITY. (a) In   determining the validity of a claim under Section 208.021, the   commission shall cross-check all new and recurring claims against:                (1)  the integrity data hub operated by the National   Association of State Workforce Agencies;                (2)  the national directory of new hires maintained by   the federal Office of Child Support Enforcement and a directory of   new hires maintained by any other state;                (3)  death records maintained by this state;                (4)  records of persons who are incarcerated maintained   by the Texas Department of Criminal Justice and the Federal Bureau   of Prisons; and                (5)  the multifactor authentication mechanism   established under Subsection (b).           (b)  For purposes of determining a claimant's identity under   this section, the commission shall establish a multifactor   authentication mechanism to verify the identity of a claimant who   files a claim with the commission using the commission's Internet   website. The multifactor authentication mechanism must verify at   least two forms of identification submitted by the claimant.           (c)  The commission shall perform an additional cross-check   and identity determination in the manner described by Subsections   (a) and (b), as applicable, for each claim in which more than one   claim is filed:                (1)  using the commission's Internet website and   originating from the same Internet protocol address;                (2)  by mail using the same mailing address; or                 (3)  in association with the same bank account.          (d)  The commission shall enter into a data-sharing   agreement with each state agency that administers a social welfare   program. The data-sharing agreement must provide that the state   agency notify the commission if a person enrolled in a social   welfare program administered by the agency becomes employed. For   purposes of this subsection, "state agency" means a board,   commission, department, or other agency in the executive branch of   state government.           (e)  On confirmation that an individual no longer has a valid   claim, the commission shall suspend the payment of benefits   immediately.           Sec. 208.0212.  ANNUAL REPORT. Not later than March 1 of   each year, the commission shall submit a report to the legislature   relating to the validity of claims submitted to the commission   under this chapter. The report must include:                (1)  the percentage of claims for benefits for which   the commission was unable to perform a cross-check, as required by   Section 208.0211, before paying or continuing to pay benefits under   this subtitle during the preceding calendar year;                (2)  the total amount of benefits paid to claimants who   the commission later found made false statements in their claims   for those benefits during the preceding calendar year;                (3)  the number of invalid claims that the commission   determined were invalid by conducting a cross-check required by   Section 208.0211 and the estimated dollar amount of savings to this   state, determined by the commission based on:                      (A)  the number of claims the commission   determined were invalid under this subdivision;                      (B)  the average number of weeks each claimant   received benefits under this subtitle; and                      (C)  the average weekly benefit amount   distributed to each claimant under this subtitle; and                (4)  for the total amount of benefits paid for invalid   claims during the preceding calendar year, a list of at least four   of the primary reasons why the commission was not able to recover   those benefit payments.          SECTION 5.  Sections 214.003(a) and (b), Labor Code, are   amended to read as follows:          (a)  If, by wilful nondisclosure or misrepresentation of a   material fact, whether the nondisclosure or misrepresentation is   made by the person or for the person by another, a person receives a   benefit when a condition imposed by this subtitle for the person's   qualifying for the benefit is not fulfilled or the person is   disqualified from receiving the benefit:                (1)  the person forfeits the:                      (A)  benefit received; [and]                      (B)  rights to benefits that remain in the benefit   year in which the nondisclosure or misrepresentation occurred; and                       (C)  rights to any benefits under this subtitle   until the earlier of:                            (i)  the end of the fifth calendar year   following the last day of the benefit year in which the   nondisclosure or misrepresentation occurred; or                            (ii)  the date that the commission recovered   from the claimant any benefits received by wilful nondisclosure or   misrepresentation of a material fact and any penalty imposed under   this section; and                (2)  the commission shall require the person to pay a   penalty in an amount equal to 15 percent of the amount forfeited   under Subdivision (1)(A).          (b)  If a person attempts to obtain or increase benefits by a   nondisclosure or misrepresentation as provided by Subsection (a),   the commission shall [may] cancel the person's right to benefits   that remain in the benefit year in which the nondisclosure or   misrepresentation occurred and the person shall forfeit rights to   any benefit under this subtitle until the end of the fifth calendar   year following the last day of the benefit year in which the   attempted nondisclosure or misrepresentation occurred.          SECTION 6.  The changes in law made by this Act apply only to   a claim for unemployment compensation benefits filed with the Texas   Workforce Commission on or after the effective date of this Act. A   claim filed before the effective date of this Act is governed by the   law in effect on the date the claim was filed, and the former law is   continued in effect for that purpose.          SECTION 7.  This Act takes effect October 1, 2023.