,,ii  #aaf? ,,congress  #b;d ,session   
,s4 #dbdd  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,july #ba1 #bjbj,mr4   
,"y 7= himself & ,mr4 ,sasse7 introduc$ 
! foll[+ bill2 :i* 0 read twice & ref]r$
 to ! ,committee on ,f9ance  ,a ,,bill  
,to am5d title ,,iii ( ! ,social        
,security ,act to provide = improvem5ts 
to ,/ate unemploym5t sy/ems & to /r5g!n 
program integrity4  #a4 ,%ort title ,?is
 ,act may be cit$ z ! ,unemploym5t      
,insurance ,sy/ems ,mod]nization ,act ( 
#bjbj4  #b4 ,improvem5ts to ,/ate       
unemploym5t sy/ems & /r5g!n+ program    
integrity  7a7 ,unemploym5t comp5sation 
sy/ems  7#a7 ,9 g5]al ,section #cjc7;a7 
( ! ,social ,security ,act 7#db         
,u4,s4,c4 #ejc7;a77 is am5d$-- 7,a7 9 ! 
matt] prec$+ p>agraph 7#a71 by /rik+    
provision =-- & ins]t+ provision = ea* (
 ! foll[+32  7,b7 at ! end ( ea* (      
p>agraphs 7#a7 ?r\gh 7#aj7 & p>agraph   
7#aa77;,b71 by /rik+ 2 & & ins]t+ a     
p]iod2 &  7,c7 by add+ at ! end ! foll[+
 new p>agraph3  7#ac7 ,! ,/ate sy/em    

%all1 9 addition to meet+ ! requirem5ts 
"u section #aacg1 meet ! foll[+         
requirem5ts3 7,a7 ,! sy/em %all be      
capable ( h&l+ a surge ( claims t w\ld  
repres5t a tw5tyfold increase 9 claims f
 ,janu>y #bjbj levels1 occurr+ ov] a    
"o-mon? p]iod4  7,b7 ,! sy/em %all be   
capable (-- 7i7 adju/+ wage replacem5t  
levels = individuals receiv+ unemploym5t
 comp5sation2  7ii7 adju/+ weekly e>n+s 
disreg>ds1 includ+ ! ability to adju/   
su* disreg>ds 9 relation to an          
individual's e>n+s or weekly b5efit     
am\nt2 &  7iii7 provid+ = wage          
replacem5t levels t v>y bas$ on !       
duration ( b5efit receipt4  7,c7 ,!     
sy/em %all h 9 place an automat$ process
 = receiv+ & process+ claims = disa/]   
unemploym5t assi/ance "u section        
#daj7;a7 ( ! ,rob]t ,t4 ,/af=d ,disa/]  
,relief & ,em]g5cy ,assi/ance ,act 7#db 
,u4,s4,c4 #eagg7;a771 ) flexibility to  
adapt rules reg>d+ individuals eligible 
= assi/ance & ! am\nt payable4  7,d7 ,9 
! case ( a ,/ate t makes paym5ts (      

%ort-"t comp5sation "u a %ort-"t        
comp5sation program 7z def9$ 9 section  
#ccjf7v7 ( ! ,int]nal ,rev5ue ,code (   
#aihf71 ! sy/em %all h 9 place an       
automat$ process ( receiv+ & process+   
claims = %ort-"t comp5sation4  7,e7 ,!  
sy/em %all h 9 place an automat$ process
 = receiv+ & process+ claims =-- 7i7    
unemploym5t comp5sation = ,f$]al        
civilian employees "u sub*apt] ,i (     
*apt] #he ( title #e1 ,unit$ ,/ates     
,code2  7ii7 unemploym5t comp5sation =  
ex-s]vicememb]s "u sub*apt] ,,ii ( *apt]
 #he ( title #e1 ,unit$ ,/ates ,code2 & 
7iii7 trade readju/m5t all[ances "u     
sections #bca ?r\gh #bcc ( ! ,trade ,act
 ( #aigd 7#ai ,u4,s4,c4 #bbia-bbic74  4 
7#b7 ,effective date ,! am5dm5t made by 
p>agraph 7#a7 %all apply to weeks (     
unemploym5t beg9n+ on or aft] ! e>li]   
(-- 7,a7 ! date ! ,/ate *anges its      
/atutes1 regulations1 or policies 9 ord]
 to comply ) su* am5dm5t2 or  7,b7      
,octob] #a1 #bjbc4  7b7 ,electronic     
transmission ( unemploym5t comp5sation  

in=mation ,section #cjc ( ! ,social     
,security ,act 7#db ,u4,s4,c4 #ejc7 is  
am5d$ by add+ at ! end ! foll[+ new     
subsection3  7n7 ,electronic            
transmission ( unemploym5t comp5sation  
in=mation  7#a7 ,9 g5]al ,n lat] ?an    
,octob] #a1 #bjbc1 ! ,/ate ag5cy *>g$ ) 
adm9i/ration ( ! ,/ate law %all use a   
sy/em develop$ 79 consultation )        
/akehold]s7 & designat$ by ! ,secret>y (
 ,labor = automat$ electronic           
transmission ( reque/s = in=mation      
relat+ to unemploym5t comp5sation & !   
provision ( su* in=mation betwe5 su*    
ag5cy & employ]s or _! ag5ts4  7#b7 ,use
 ( appropriat$ funds ,! ,secret>y (     
,labor may use funds appropriat$ =      
grants to ,/ates "u ?is title to make   
paym5ts on behalf ( ,/ates z ! ,secret>y
 det]m9es is appropriate = ! use ( !    
sy/em describ$ 9 p>agraph 7#a74  7#c7   
,employ] p>ticipation ,! ,secret>y (    
,labor %all "w ) ! ,/ate ag5cy *>g$ )   
adm9i/ration ( ! ,/ate law to increase !
 numb] ( employ]s us+ ?is sy/em & to    

resolve any te*nical *all5ges ) ! sy/em4
  7#d7 ,reports on use ( electronic     
sy/em ,aft] ! end ( ea* fiscal ye>1 on a
 date det]m9$ by ! ,secret>y1 ea* ,/ate 
%all report to ! ,secret>y in=mation    
on-- 7,a7 ! proportion ( employ]s us+ ! 
designat$ sy/em describ$ 9 p>agraph     
7#a72  7,b7 ! reasons employ]s are n us+
 su* sy/em2 &  7,c7 ! ef=ts ! ,/ate is  
und]tak+ to increase employ]'s use ( su*
 sy/em4  7#e7 ,en=cem5t ,:5ev] !        
,secret>y ( ,labor1 aft] reasonable     
notice & opportunity = he>+ to ! ,/ate  
ag5cy *>g$ ) ! adm9i/ration ( ! ,/ate   
law1 f9ds t !re is a failure to comply  
sub/antially ) ! requirem5ts ( p>agraph 
7#a71 ! ,secret>y ( ,labor %all notify  
su* ,/ate ag5cy t fur!r paym5ts w n be  
made to ! ,/ate until ! ,secret>y (     
,labor is satisfi$ t !re is no long] any
 su* failure4 ,until ! ,secret>y (      
,labor is s satisfi$1 su* ,secret>y %all
 make no future c]tification to !       
,secret>y ( ! ,treasury ) respect to !  
,/ate4  4  7c7 ,unemploym5t comp5sation 

integrity data hub  7#a7 ,9 g5]al       
,section #cjc7;a7 ( ! ,social ,security 
,act 7#db ,u4,s4,c4 #ejc7;a771 z am5d$  
by subsection 7a71 is am5d$ by add+ at !
 end ! foll[+ new p>agraph3  7#ad7 ,!   
,/ate ag5cy *>g$ ) adm9i/ration ( !     
,/ate law %all use ! sy/em designat$ by 
! ,secret>y ( ,labor = cross-mat*+      
claimants ( unemploym5t comp5sation "u  
,/ate law aga9/ any databases 9 ! sy/em 
to prev5t & detect fraud & improp]      
paym5ts4  4  7#b7 ,effective date ,!    
am5dm5t made by p>agraph 7#a7 %all apply
 to weeks ( unemploym5t beg9n+ on or    
aft] ! e>li] (-- 7,a7 ! date ! ,/ate    
*anges its /atutes1 regulations1 or     
policies 9 ord] to comply ) su* am5dm5t2
 or  7,b7 ,octob] #a1 #bjbc4  7d7 ,use (
 ,national directory ( new hires 9      
adm9i/ration ( unemploym5t comp5sation  
programs & p5alties on noncomply+       
employ]s  7#a7 ,9 g5]al ,section #cjc ( 
! ,social ,security ,act 7#db ,u4,s4,c4 
#ejc71 z am5d$ by subsection 7b71 is    
am5d$ by add+ at ! end ! foll[+ new     

subsection3  7o7 ,use ( ,national       
directory ( new hires  7#a7 ,9 g5]al ,n 
lat] ?an ,octob] #a1 #bjbc1 ! ,/ate     
ag5cy *>g$ ) adm9i/ration ( ! ,/ate law 
%all-- 7,a7 comp>e in=mation 9 !        
,national ,directory ( ,new ,hires      
e/abli%$ "u section #dec7;i7 aga9/      
in=mation ab\t individuals claim+       
unemploym5t comp5sation to id5tify any  
su* individuals :o may h become employ$1
 9 accordance ) any regulations or      
guidance t ! ,secret>y ( ,heal? & ,human
 ,s]vices may issue & consi/5t ) !      
comput] mat*+ provisions ( ! ,privacy   
,act ( #aigd2  7,b7 take timely action  
to v]ify :e!r ! individuals id5tifi$    
pursuant to subp>agraph 7,a7 are        
employ$2 &  7,c7 ^u v]ification pursuant
 to subp>agraph 7,b71 take appropriate  
action to susp5d or modify unemploym5t  
comp5sation paym5ts1 & to initiate      
recov]y ( any improp] unemploym5t       
comp5sation paym5ts t h be5 made4  7#b7 
,en=cem5t ,:5ev] ! ,secret>y ( ,labor1  
aft] reasonable notice & opportunity =  

he>+ to ! ,/ate ag5cy *>g$ ) !          
adm9i/ration ( ! ,/ate law1 f9ds t !re  
is a failure to comply sub/antially ) ! 
requirem5ts ( p>agraph 7#a71 ! ,secret>y
 ( ,labor %all notify su* ,/ate ag5cy t 
fur!r paym5ts w n be made to ! ,/ate    
until ! ,secret>y ( ,labor is satisfi$ t
 !re is no long] any su* failure4 ,until
 ! ,secret>y ( ,labor is s satisfi$1 su*
 ,secret>y %all make no future          
c]tification to ! ,secret>y ( !         
,treasury ) respect to ! ,/ate4  4  7#b7
 ,p5alties  7,a7 ,9 g5]al ,section      
#dec;,a7d7 ( ! ,social ,security ,act   
7#db ,u4,s4,c4 #fec;a7d771 9 ! matt]    
prec$+ p>agraph 7#a71 is am5d$ by /rik+ 
h ! option to set a ,/ate civil money   
p5alty :i* %all n exce$ & ins]t+ set a  
,/ate civil money p5alty :i* %all be no 
less ?an4  7,b7 ,effective date ,!      
am5dm5t made by subp>agraph 7,a7 %all   
apply to p5alties assess$ on or aft]    
,octob] #a1 #bjbc4  7e7 ,/ate p]=mance  
7#a7 ,9 g5]al ,section #cjc ( ! ,social 
,security ,act 7#db ,u4,s4,c4 #ejc71 z  

am5d$ by subsections 7b7 & 7d71 is am5d$
 by add+ at ! end ! foll[+ new          
subsection3  7p7 ,/ate p]=mance  7#a7 ,9
 g5]al ,= purposes ( assi/+ ,/ates 9    
meet+ ! requirem5ts ( ?is title1 title  
,,ix1 title ,,xii1 or *apt] #bc ( !     
,int]nal ,rev5ue ,code ( #aihf 7commonly
 ref]r$ to z ! ,f$]al ,unemploym5t ,tax 
,act71 ! ,secret>y ( ,labor may-- 7,a7  
consi/5t ) subsection 7a77#a71 e/abli%  
measures ( ,/ate p]=mance1 includ+      
crit]ia = acceptable levels ( p]=mance1 
p]=mance goals1 & p]=mance measurem5t   
programs2  7,b7 consi/5t ) subsection   
7a77#f71 require ,/ates to provide to ! 
,secret>y ( ,labor data or o!r relevant 
in=mation f "t to "t conc]n+ ! op]ations
 ( ! ,/ate or ,/ate p]=mance1 includ+ ! 
measures1 crit]ia1 goals1 or programs   
e/abli%$ "u p>agraph 7#a72  7,c7 require
 ,/ates ) su/a9$ failure to meet        
acceptable levels ( p]=mance or )       
p]=mance t is sub/antially bel[         
acceptable /&>ds1 z det]m9$ bas$ on !   
measures1 crit]ia1 goals1 or programs   

e/abli%$ "u subp>agraph 7,a71 to        
implem5t specific corrective actions &  
use specifi$ am\nts ( ! adm9i/rative    
grants "u ?is title provid$ to su*      
,/ates to improve p]=mance2 &  7,d7 bas$
 on ! data & o!r in=mation provid$ "u   
subp>agraph 7,b7-- 7i7 to ! ext5t !     
,secret>y ( ,labor det]m9es funds are   
available aft] provid+ grants to ,/ates 
"u ?is title = ! adm9i/ration ( ,/ate   
laws1 recognize & make aw>ds to ,/ates =
 p]=mance improvem5t1 or p]=mance exce$+
 ! crit]ia or meet+ ! goals e/abli%$ "u 
subp>agraph 7,a72 or  7ii7 to ! ext5t ! 
,secret>y ( ,labor det]m9es funds are   
available aft] provid+ grants to ,/ates 
"u ?is title = ! adm9i/ration ( ,/ate   
laws1 provide inc5tive funds to         
high-p]=m+ ,/ates bas$ on ! measures1   
crit]ia1 goals1 or programs e/abli%$ "u 
subp>agraph 7,a74  7#b7 ,en=cem5t ,:5ev]
 ! ,secret>y ( ,labor1 aft] reasonable  
notice & opportunity = he>+ to ! ,/ate  
ag5cy *>g$ ) ! adm9i/ration ( ! ,/ate   
law1 f9ds t !re is a failure to comply  

sub/antially ) ! requirem5ts ( p>agraph 
7#a71 ! ,secret>y ( ,labor %all notify  
su* ,/ate ag5cy t fur!r paym5ts w n be  
made to ! ,/ate until ! ,secret>y (     
,labor is satisfi$ t !re is no long] any
 su* failure4 ,until ! ,secret>y (      
,labor is s satisfi$1 su* ,secret>y %all
 make no future c]tification to !       
,secret>y ( ! ,treasury ) respect to !  
,/ate4  4  7#b7 ,effective date ,!      
am5dm5ts made by ?is subsection %all    
take effect on ! date ( enactm5t ( ?is  
,act4  7f7 ,fund+ ,out ( any money 9 !  
,treasury ( ! ,unit$ ,/ates n o!rwise   
appropriat$1 !re are appropriat$ to !   
,secret>y ( ,labor #c1jjj1jjj1jjj to    
assi/ ,/ates 9 c>ry+ out ! am5dm5ts made
 by ?is section1 :i* may include        
regional or multi-,/ate ef=ts4 ,am\nts  
appropriat$ "u ! prec$+ s5t5ce %all     
rema9 available until exp5d$4