Unemployment compensation; failure to respond, continuation of benefits, repayment of overpayments. (HB2040)

Introduced By

Del. Sally Hudson (D-Charlottesville) with support from 28 copatrons, whose average partisan position is:

Those copatrons are Del. Alex Askew (D-Virginia Beach), Del. Hala Ayala (D-Woodbridge), Del. Lamont Bagby (D-Richmond), Del. Jeff Bourne (D-Richmond), Del. Betsy Carr (D-Richmond), Del. Lee Carter (D-Manassas), Del. Josh Cole (D-Stafford), Del. Elizabeth Guzman (D-Dale City), Del. Dan Helmer (D-Fairfax Station), Del. Charniele Herring (D-Alexandria), Del. Patrick Hope (D-Arlington), Del. Chris Hurst (D-Blacksburg), Del. Mark Keam (D-Vienna), Del. Kaye Kory (D-Falls Church), Del. Mark Levine (D-Alexandria), Del. Delores McQuinn (D-Richmond), Del. Kathleen Murphy (D-McLean), Del. Ken Plum (D-Reston), Del. Cia Price (D-Newport News), Del. Sam Rasoul (D-Roanoke), Del. David Reid (D-Loudoun), Del. Danica Roem (D-Manassas Park), Del. Ibraheem Samirah (D-Herndon), Del. Marcus Simon (D-Falls Church), Del. Shelly Simonds (D-Newport News), Del. Suhas Subramanyam (D-Sterling), Del. Kathy Tran (D-Springfield), Sen. Jennifer McClellan (D-Richmond)


Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law


Unemployment compensation; failure to respond; continuation of benefits; repayment of overpayments. Provides that when a claimant has had a determination of initial eligibility for unemployment benefits, as determined by the issuance of compensation or waiting-week credit, payments shall continue, subject to a presumption of continued eligibility, until a determination is made that provides the claimant notice and an opportunity to be heard. The bill requires the Virginia Employment Commission to waive the obligation to repay any overpayment if (i) the overpayment was made without fault on the part of the individual and (ii) requiring repayment would be contrary to equity and good conscience. Overpayments shall not be considered "without fault on the part of the individual" if the overpayment was the result of (a) a reversal in the appeals process, unless the employer failed to respond timely or adequately; (b) a programming, technological, or automated system error that results in erroneous payments to a group of individuals; or (c) fraud. The bill also provides that the Commission shall notify each person with an unpaid overpayment of benefits that he may be entitled to a waiver of repayment and provide 30 days to request such a waiver. The bill applies to overpayments established for the week commencing March 15, 2020, through the week commencing June 26, 2021, and only to those overpayments that remain outstanding as of July 1, 2021. Amounts already paid or collected against such overpayments shall not be reimbursed to the claimant, except for benefits paid under the Pandemic Unemployment Assistance program. The bill allows the Commission to suspend or forgo referring any overpayment to the collections process. The bill provides that all costs to the Unemployment Compensation Fund (the Fund) resulting from the provisions of the bill for overpayments of benefits shall be reimbursed to the Fund from the general fund in the general appropriation act and that employers are not responsible for reimbursing benefits or benefits charges except when the employer failed to respond timely or adequately. The provisions of the bill expire on July 1, 2022. Read the Bill »


04/07/2021: enacted


01/12/2021Prefiled and ordered printed; offered 01/13/21 21102511D
01/12/2021Referred to Committee on Labor and Commerce
01/14/2021Assigned L & C sub: Subcommittee #1
01/26/2021Impact statement from DPB (HB2040)
01/26/2021House subcommittee amendments and substitutes offered
01/26/2021Subcommittee recommends reporting with substitute (6-Y 2-N)
01/28/2021House committee, floor amendments and substitutes offered
01/28/2021Reported from Labor and Commerce with substitute (14-Y 8-N) (see vote tally)
01/28/2021Committee substitute printed 21103684D-H1
01/28/2021Referred to Committee on Appropriations
01/28/2021Incorporates HB1977 (Askew)
01/29/2021Assigned App. sub: Commerce Agriculture & Natural Resources
02/01/2021Impact statement from DPB (HB2040H1)
02/02/2021House subcommittee amendments and substitutes offered
02/02/2021Subcommittee recommends reporting with substitute (5-Y 3-N)
02/03/2021Reported from Appropriations with substitute (13-Y 9-N) (see vote tally)
02/03/2021Committee substitute printed 21104300D-H2
02/03/2021Read first time
02/04/2021Read second time
02/04/2021Committee on Labor and Commerce substitute rejected 21103684D-H1
02/04/2021Committee on Appropriations substitute agreed to 21104300D-H2
02/04/2021Engrossed by House - committee substitute HB2040H2
02/05/2021Read third time and passed House (57-Y 43-N)
02/05/2021VOTE: Passage (57-Y 43-N) (see vote tally)
02/05/2021Constitutional reading dispensed
02/05/2021Referred to Committee on Commerce and Labor
02/05/2021Continued to 2021 Sp. Sess. 1 in Commerce and Labor (15-Y 0-N) (see vote tally)
02/10/2021Impact statement from DPB (HB2040H2)
02/15/2021Senate committee, floor amendments and substitutes offered
02/15/2021Reported from Commerce and Labor with substitute (12-Y 2-N) (see vote tally)
02/15/2021Committee substitute printed 21200202D-S1
02/15/2021Rereferred to Finance and Appropriations
02/17/2021Impact statement from DPB (HB2040S1)
02/17/2021Senate committee, floor amendments and substitutes offered
02/17/2021Constitutional reading dispensed (39-Y 0-N) (see vote tally)
02/17/2021Committee substitute printed 21200382D-S2
02/17/2021Reported from Finance and Appropriations with substitute (9-Y 6-N 1-A) (see vote tally)
02/18/2021Read third time
02/18/2021Passed by for the day
02/19/2021Impact statement from DPB (HB2040S2)
02/19/2021Read third time
02/19/2021Reading of substitute waived
02/19/2021Committee substitute rejected 21200202D-S1
02/19/2021Committee substitute agreed to 21200382D-S2
02/19/2021Passed by temporarily
02/19/2021Reading of amendment waived
02/19/2021Amendment by Senator Barker agreed to
02/19/2021Engrossed by Senate - committee substitute with amendment HB2040S2
02/19/2021Passed Senate with substitute with amendment (20-Y 18-N)
02/19/2021Senate substitute with amendment rejected by House (0-Y 96-N)
02/19/2021VOTE: REJECTED (0-Y 96-N)
02/19/2021Senate insisted on substitute with amendments (37-Y 0-N)
02/19/2021Senate requested conference committee
02/19/2021House acceded to request
02/19/2021Conferees appointed by House
02/19/2021Delegates: Hudson, Bagby, Ware
02/19/2021Conferees appointed by Senate
02/19/2021Senators: Spruill, Lewis, Obenshain
02/25/2021C Amended by conference committee
02/25/2021Conference substitute printed 21200711D-H3
02/25/2021Conference report agreed to by House (57-Y 41-N)
02/25/2021VOTE: Agreed To (57-Y 41-N)
02/27/2021Conference report agreed to by Senate (21-Y 18-N)
03/01/2021Impact statement from DPB (HB2040H3)
03/09/2021Bill text as passed House and Senate (HB2040ER)
03/09/2021Impact statement from DPB (HB2040ER)
03/09/2021Signed by President
03/11/2021Signed by Speaker
03/15/2021Enrolled Bill communicated to Governor on March 15, 2021
03/15/2021G Governor's Action Deadline 11:59 p.m., March 31, 2021
03/31/2021Governor's recommendation received by House
04/07/2021Placed on Calendar
04/07/2021House concurred in Governor's recommendation (57-Y 43-N)
04/07/2021VOTE: Adoption (57-Y 43-N)
04/07/2021Senate concurred in Governor's recommendation (21-Y 19-N)
04/07/2021G Governor's recommendation adopted
04/07/2021Reenrolled bill text (HB2040ER2)
04/07/2021Signed by Speaker as reenrolled
04/07/2021Signed by President as reenrolled
04/07/2021Enacted, Chapter 539 (effective 7/1/21)
04/07/2021G Acts of Assembly Chapter text (CHAP0539)