States Overpaid Covid Claims, Now They Want the Money Back

by Mike ‘Mish’ Shedlock
The Street

A rush to get out checks resulted in claims being paid that shouldn’t have been paid.

Oops Money Already Spent

Please consider States Overpaid Coronavirus Unemployment Claims

Cher Haavind, deputy executive director of the Colorado Department of Labor and Employment, says many overpayments stemmed from workers incorrectly reporting their earnings.

States can waive recovery of overpayments for most unemployment insurance when there is no fraud involved, but the Pandemic Unemployment Assistance program follows a different set of rules. It is administered as a form of disaster relief, and the statute that guides it blocks states from forgiving the debts.

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