(a) When conforming with an applicable federal extended
unemployment compensation program, this section implements waiver
of repayment requirements by setting out the process that the Agency
and Commission shall use to determine whether to waive the repayment
and recovery of non-fraudulent overpayments. The terms repayment and
recovery will be referred to as repayment in this section, and the
federal extended unemployment compensation overpayment will be referred
to as overpayment.
(b) When a decision of the Agency or Commission results
in a federal extended unemployment compensation overpayment, the Agency
or Commission will also determine whether the overpayment will be
waived.
(c) A claimant may appeal the underlying issue that
created the overpayment determination pursuant to the provisions of
Chapter 212 of the Act and the provisions set out in §815.16
of this chapter (relating to Appeals to Appeal Tribunals from Determinations), §815.17
of this chapter (relating to Appeals to the Commission from Decisions),
and §815.18 of this chapter (relating to General Rules for Both
Appeal Stages).
(d) A claimant may also appeal a denial of a request
to waive the repayment of an overpayment in the same manner as stated
in subsection (c) of this section.
(e) The Agency or Commission will deny a request to
waive the repayment of a non-fraudulent overpayment if it determines
that:
(1) the payment of the federal extended unemployment
compensation benefits is the fault of the claimant, or
(2) the repayment is not contrary to equity and good
conscience.
(f) The Agency or Commission will waive the repayment
of a non-fraudulent overpayment if it determines that:
(1) the payment of the federal extended unemployment
compensation benefits is not the fault of the claimant, and
(2) the repayment is contrary to equity and good conscience.
(g) In determining whether fault exists, the Agency
or Commission shall consider the following:
(1) whether a material statement or representation
was made by the claimant in connection with the application for the
federal extended unemployment compensation that resulted in an overpayment,
and whether the claimant knew or should have known that the statement
or representation was inaccurate;
(2) whether the claimant failed or caused another to
fail to disclose a material fact, in connection with an application
for the federal extended unemployment compensation that resulted in
an overpayment, and whether the claimant knew or should have known
that the fact was material;
(3) whether the claimant knew or could have been expected
to know that the claimant was not entitled to the federal extended
unemployment compensation payment; and
(4) whether, for any other reason, the overpayment
resulted directly or indirectly, and partially or totally, from any
act or omission of the claimant or of which the claimant had knowledge,
and which was erroneous or inaccurate or otherwise wrong.
(h) In determining whether equity and good conscience
exists, the Agency or Commission shall consider the following factors:
(1) whether the overpayment is the result of a decision
on appeal;
(2) whether the Agency gave notice to the claimant
that the claimant may be required to repay the overpayment in the
event of a reversal of the federal extended unemployment compensation
eligibility determination on appeal; and
(3) whether repayment of the federal extended unemployment
compensation overpayment will cause financial hardship to the claimant.
(i) Hearings under this section will be conducted in
a fair and impartial manner in accordance with the provisions of §815.15
of this chapter (relating to Parties with Appeal Rights), §815.16
of this chapter (relating to Appeals to Appeal Tribunals from Determinations), §815.17
of this chapter (relating to Appeals to the Commission from Decisions),
and §815.18 of this chapter (relating to General Rules for Both
Appeal Stages), except to the extent that the sections are clearly
inapplicable.
(j) For the purposes of this section, a federal extended
unemployment compensation program is an unemployment compensation
program enacted by Congress that provides additional federally funded
benefits. It does not include Extended Benefits under Subchapter F
of this chapter or Chapter 209 of the Act.
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