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July 22, 2005



SUBJECT:     Notice of Proposed Rulemaking - Unemployment Compensation Eligibility; OMB Number 1205-AB41

PROGRAM(S):         UI

1.  Purpose.  To transmit a Notice of Proposed Rulemaking concerning unemployment compensation eligibility, and to invite public comment on proposed changes under the Federal-State Unemployment Insurance system.

2.  ReferencesFederal Register, Vol. 70, No. 140, July 22, 2005, pp. 42474-42482; Federal Unemployment Tax Act (FUTA), section 3303(a), section 3304(a) and 3306(h) [26 U.S.C 3303, 3304 and 3306]; Social Security Act, sections 303(a) and 1137 [42 U.S.C.]  20 CFR Parts 601, 609, 614 Appendix A, 617 Appendix A, 625 Appendix A; Trade Act of 1974, section 236(d) [19 U.S.C. 2294]; Disaster Unemployment Assistance [42 U.S.C. 5177]; Federal-State Extended Unemployment Compensation Act of 1970, section 202(a)(3)(A) [Pub.L. 91-373]; Workforce Investment Act [Pub.L. 105-220]; Short Time Compensation [Pub.L. 102-318, section 401]; Executive Orders 12866, 12875, 12988 and 13132; Unfunded Mandates Reform Act of 1995 [2 U.S.C. 1501 et seq]; Paperwork Reduction Act; Regulatory Flexibility Act [5 U.S.C. 601(6)]; Small Business Regulatory Enforcement Fairness Act of 1996, section 804; Effect on Family Life [Pub.L. 105-277]; Catalog of Federal Domestic Assistance No. 17-225.

3.  Links.  This Alert is in the Regional website archive at:

Link to the Federal Register attachment (.pdf)

4.  Substance.  The Department is proposing this rule to implement the requirements of the Social Security Act and the Federal Unemployment Tax Act to clearly set forth the requirement limiting a State's payment of unemployment compensation only to individuals who are able and available (A & A) for work. This rule would apply to all State unemployment compensation laws and programs.

5.  Action.  State Workforce Administrators are requested to share this Information Alert with appropriate staff and other agencies, and are invited to comment, on or before September 20, 2005 to the individual named in the Addresses section of the Federal Register attachment or by e-mail to the Office of Workforce Security.

A copy of the proposed rulemaking will be available on-line in the ETA Reading Room.

6.  Contact.  Questions about this Notice of Proposed Rulemaking may be directed to Gerard Hildebrand on 202.693.3038 (voice), 1.800.326.2577 (TDD) or 202.693.2874 (fax).

Comments or questions about the format of this Alert may be directed to Tom Coyne on 312.596.5435.

7.  Expiration Date. September 20, 2005

8.  Attachment. Federal Register, Vol. 70, No. 140, July 22, 2005, pp. 42474-42482

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