[Congressional Record Volume 155, Number 178 (Thursday, December 3, 2009)]
[Senate]
[Pages S12325-S12327]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. REED (for himself, Mr. Schumer, Mrs. Shaheen, Mr. Leahy, 
        Mr. Kerry, Mr. Dodd, Mr. Whitehouse, and Mr. Casey):
  S. 2831. A bill to provide for additional emergency unemployment 
compensation and to keep Americans working, and for other purposes; to 
the Committee on Finance.
  Mr. REED. Mr. President, I ask unanimous consent that the text of the 
bill be printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 2831

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Helping Unemployed Workers 
     Act''.

     SEC. 2. EXTENSION OF EMERGENCY UNEMPLOYMENT COMPENSATION 
                   PROGRAM.

       (a) In General.--Section 4007 of the Supplemental 
     Appropriations Act, 2008 (Public Law 110-252; 26 U.S.C. 3304 
     note), as amended by section 4 of the Unemployment 
     Compensation Extension Act of 2008 (Public Law 110-449; 122 
     Stat. 5015) and section 2001(a) of the Assistance for 
     Unemployed Workers and Struggling Families Act (Public Law 
     111-5; 123 Stat. 436), is amended--
       (1) by striking ``December 31, 2009'' each place it appears 
     and inserting ``December 31, 2010'';
       (2) in the heading for subsection (b)(2), by striking 
     ``december 31, 2009'' and inserting ``december 31, 2010''; 
     and
       (3) in subsection (b)(3), by striking ``May 31, 2010'' and 
     inserting ``May 31, 2011''.
       (b) Funding.--Section 4004(e)(1) of the Supplemental 
     Appropriations Act, 2008 (Public Law 110-252; 26 U.S.C. 3304 
     note), as amended by section 6 of the Worker, Homeownership, 
     and Business Assistance Act of 2009 (Public Law 111-92), is 
     amended by striking ``by reason of'' and all that follows and 
     inserting the following: ``by reason of--
       ``(A) the amendments made by section 2001(a) of the 
     Assistance for Unemployed Workers and Struggling Families 
     Act;
       ``(B) the amendments made by sections 2 through 4 of the 
     Worker, Homeownership, and Business Assistance Act of 2009; 
     and
       ``(C) the amendments made by section 2(a) of the Helping 
     Unemployed Workers Act; and''.
       (c) Effective Date.--The amendments made by subsections (a) 
     and (b) shall take effect as if included in the enactment of 
     the Supplemental Appropriations Act, 2008.

     SEC. 3. EXTENSION OF INCREASE IN UNEMPLOYMENT COMPENSATION 
                   BENEFITS.

       (a) In General.--Section 2002(e) of the Assistance for 
     Unemployed Workers and Struggling Families Act (Public Law 
     111-5; 123 Stat. 438) is amended--
       (1) in paragraph (1)(B), by striking ``January 1, 2010'' 
     and inserting ``January 1, 2011'';
       (2) in the heading for paragraph (2), by striking ``january 
     1, 2010'' and inserting ``january 1, 2011''; and
       (3) in paragraph (3), by striking ``June 30, 2010'' and 
     inserting ``June 30, 2011''.
       (b) Effective Date.--The amendments made by this section 
     shall take effect as if included in the enactment of the 
     Assistance for Unemployed Workers and Struggling Families 
     Act.

     SEC. 4. EXTENSION OF FULL FEDERAL FUNDING OF EXTENDED 
                   UNEMPLOYMENT COMPENSATION FOR A LIMITED PERIOD.

       (a) In General.--Section 2005 of the Assistance for 
     Unemployed Workers and Struggling Families Act (Public Law 
     111-5; 26 U.S.C. 3304 note) is amended--
       (1) by striking ``January 1, 2010'' each place it appears 
     and inserting ``January 1, 2011''; and
       (2) in subsection (c), by striking ``June 1, 2010'' and 
     inserting ``June 1, 2011''.
       (b) Extension of Temporary Federal Matching for the First 
     Week of Extended Benefits for States With No Waiting Week.--
     Section 5 of the Unemployment Compensation Extension Act of 
     2008 (Public Law 110-449; 26 U.S.C. 3304 note), as amended by 
     section 2005(d) of the Assistance for Unemployed Workers and 
     Struggling Families Act (Public Law 111-5; 26 U.S.C. 3304 
     note), is amended by striking ``May 30, 2010'' and inserting 
     ``May 30, 2011''.
       (c) Effective Dates.--
       (1) In general.--The amendments made by subsection (a) 
     shall take effect as if included in the enactment of the 
     Assistance for Unemployed Workers and Struggling Families 
     Act.
       (2) First week.--The amendment made by subsection (b) shall 
     take effect as if included in the enactment of the 
     Unemployment Compensation Extension Act of 2008.

     SEC. 5. MODIFICATION TO ELIGIBILITY REQUIREMENTS FOR 
                   EMERGENCY UNEMPLOYMENT COMPENSATION.

       (a) Individual Not Ineligible by Reason of Subsequent 
     Entitlement to Regular Benefits.--Section 4001 of the 
     Supplemental Appropriations Act, 2008 (Public Law 110-252; 26 
     U.S.C. 3304 note) is amended by adding at the end the 
     following new subsection:
       ``(g) Certain Rights to Regular Compensation Disregarded.--
     If an individual exhausted the individual's rights to regular 
     compensation for any benefit year, such individual's 
     eligibility to receive emergency unemployment compensation 
     under this title in respect of such benefit year shall be 
     determined without regard to any rights to regular 
     compensation for a subsequent benefit year if such individual 
     does not file a claim for regular compensation for such 
     subsequent benefit year.''.
       (b) Effective Date.--
       (1) In general.--The amendment made by this section shall 
     apply to weeks of unemployment beginning after the date of 
     the enactment of this Act.
       (2) Transition rules.--
       (A) Waiver of recovery of certain overpayments.--On and 
     after the date of the enactment of this Act, no repayment of 
     any emergency unemployment compensation shall be required 
     under section 4005 of the Supplemental Appropriations Act, 
     2008 (Public Law 110-252; 26 U.S.C. 3304 note) if the 
     individual would have been entitled to receive such 
     compensation had the amendment made by subsection (a) applied 
     to all weeks beginning on or before the date of the enactment 
     of this Act.
       (B) Waiver of rights to certain regular benefits.--If--
       (i) before the date of the enactment of this Act, an 
     individual exhausted the individual's rights to regular 
     compensation for any benefit year, and
       (ii) after such exhaustion, such individual was not 
     eligible to receive emergency unemployment compensation under 
     title IV of the Supplemental Appropriations Act, 2008 (Public 
     Law 110-252; 26 U.S.C. 3304 note) by reason of being entitled 
     to regular compensation for a subsequent benefit year,

     such individual may elect to defer the individual's rights to 
     regular compensation for such subsequent benefit year with 
     respect to weeks beginning after such date of enactment until 
     such individual has exhausted the individual's rights to 
     emergency unemployment compensation in respect of the benefit 
     year referred to in clause (i), and such individual shall be 
     entitled to receive emergency unemployment compensation for 
     such weeks in the same manner as if the individual had not 
     been entitled to the regular compensation to which the 
     election applies.

     SEC. 6. SUSPENSION OF TAX ON PORTION OF UNEMPLOYMENT 
                   COMPENSATION.

       (a) In General.--Section 85(c) of the Internal Revenue Code 
     of 1986 is amended--
       (1) by inserting ``or 2010'' after ``in 2009'', and
       (2) by inserting ``and 2010'' in the heading after 
     ``2009''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to taxable years beginning after December 31, 
     2009.

     SEC. 7. TREATMENT OF SHORT-TIME COMPENSATION PROGRAMS.

       (a) In General.--Section 3306 of the Internal Revenue Code 
     of 1986 is amended by adding at the end the following new 
     subsection:
       ``(v) Short-Time Compensation Program.--For purposes of 
     this chapter, the term `short-time compensation program' 
     means a program under which--
       ``(1) the participation of an employer is voluntary;
       ``(2) an employer reduces the number of hours worked by 
     employees through certifying that such reductions are in lieu 
     of temporary layoffs;
       ``(3) such employees whose workweeks have been reduced by 
     at least 10 percent are eligible for unemployment 
     compensation;
       ``(4) the amount of unemployment compensation payable to 
     any such employee is a pro rata portion of the unemployment 
     compensation which would be payable to the employee if such 
     employee were totally unemployed;
       ``(5) such employees are not expected to meet the 
     availability for work or work search test requirements while 
     collecting short-time compensation benefits, but are required 
     to be available for their normal workweek;
       ``(6) eligible employees may participate in an employer-
     sponsored training program to enhance job skills if such 
     program has been approved by the State agency;

[[Page S12326]]

       ``(7) beginning on the date which is 2 years after the date 
     of enactment of this subsection, the employer certifies that 
     continuation of health benefits and retirement benefits under 
     a defined benefit pension plan (as defined in section 3(35) 
     of the Employee Retirement Income Security Act of 1974) is 
     not affected by participation in the program;
       ``(8) the employer (or an employer's association which is 
     party to a collective bargaining agreement) submits a written 
     plan describing the manner in which the requirements of this 
     subsection will be implemented and containing such other 
     information as the Secretary of Labor determines is 
     appropriate;
       ``(9) in the case of employees represented by a union, the 
     appropriate official of the union has agreed to the terms of 
     the employer's written plan and implementation is consistent 
     with employer obligations under the National Labor Relations 
     Act; and
       ``(10) the program meets such other requirements as the 
     Secretary of Labor determines appropriate.''.
       (b) Assistance and Guidance in Implementing Programs.--
       (1) Assistance and guidance.--
       (A) In general.--In order to assist States in establishing, 
     qualifying, and implementing short-time compensation 
     programs, as defined in section 3306(v) of the Internal 
     Revenue Code of 1986 (as added by subsection (a)), the 
     Secretary of Labor (in this section referred to as the 
     ``Secretary'') shall--
       (i) develop model legislative language which may be used by 
     States in developing and enacting short-time compensation 
     programs and shall periodically review and revise such model 
     legislative language;
       (ii) provide technical assistance and guidance in 
     developing, enacting, and implementing such programs;
       (iii) establish biannual reporting requirements for States, 
     including number of averted layoffs, number of participating 
     companies and workers, and retention of employees following 
     participation; and
       (iv) award start-up grants to State agencies under 
     subparagraph (B).
       (B) Grants.--
       (i) In general.--The Secretary shall award start-up grants 
     to State agencies that apply not later than June 30, 2011, in 
     States that enact short-time compensation programs after the 
     date of enactment of this Act for the purpose of creating 
     such programs. The amount of such grants shall be awarded 
     depending on the costs of implementing such programs.
       (ii) Eligibility.--In order to receive a grant under clause 
     (i) a State agency shall meet requirements established by the 
     Secretary, including any reporting requirements under clause 
     (iii). Each State agency shall be eligible to receive not 
     more than one such grant.
       (iii) Reporting.--The Secretary may establish reporting 
     requirements for State agencies receiving a grant under 
     clause (i) in order to provide oversight of grant funds used 
     by States for the creation of short-time compensation 
     programs.
       (iv) Funding.--There are appropriated, out of any moneys in 
     the Treasury not otherwise appropriated, to the Secretary, 
     such sums as the Secretary certifies as necessary for the 
     period of fiscal years 2010 and 2011 to carry out this 
     subparagraph.
       (2) Timeframe.--The initial model legislative language 
     referred to in paragraph (1)(A) shall be developed not later 
     than 60 days after the date of enactment of this Act.
       (c) Reports.--
       (1) Initial report.--Not later than 4 years after the date 
     of enactment of this Act, the Secretary shall submit to 
     Congress and to the President a report or reports on the 
     implementation of this section. Such report or reports shall 
     include--
       (A) a study of short-time compensation programs;
       (B) an analysis of the significant impediments to State 
     enactment and implementation of such programs; and
       (C) such recommendations as the Secretary determines 
     appropriate.
       (2) Subsequent reports.--After the submission of the report 
     under paragraph (1), the Secretary may submit such additional 
     reports on the implementation of short-time compensation 
     programs as the Secretary deems appropriate.
       (3) Funding.--There are appropriated, out of any moneys in 
     the Treasury not otherwise appropriated, to the Secretary, 
     $1,500,000 to carry out this subsection, to remain available 
     without fiscal year limitation.
       (d) Conforming Amendments.--
       (1) Internal revenue code of 1986.--
       (A) Subparagraph (E) of section 3304(a)(4) of the Internal 
     Revenue Code of 1986 is amended to read as follows:
       ``(E) amounts may be withdrawn for the payment of short-
     time compensation under a short-time compensation program (as 
     defined in section 3306(v));''.
       (B) Subsection (f) of section 3306 of the Internal Revenue 
     Code of 1986 is amended--
       (i) by striking paragraph (5) (relating to short-term 
     compensation) and inserting the following new paragraph:
       ``(5) amounts may be withdrawn for the payment of short-
     time compensation under a short-time compensation program (as 
     defined in subsection (v));'', and
       (ii) by redesignating paragraph (5) (relating to self-
     employment assistance program) as paragraph (6).
       (2) Social security act.--Section 303(a)(5) of the Social 
     Security Act is amended by striking ``the payment of short-
     time compensation under a plan approved by the Secretary of 
     Labor'' and inserting ``the payment of short-time 
     compensation under a short-time compensation program (as 
     defined in section 3306(v) of the Internal Revenue Code of 
     1986)''.
       (3) Repeal.--Subsections (b) through (d) of section 401 of 
     the Unemployment Compensation Amendments of 1992 (26 U.S.C. 
     3304 note) are repealed.
       (e) Effective Date.--The amendments made by this section 
     shall take effect on the date of enactment of this Act.

     SEC. 8. TEMPORARY FINANCING OF CERTAIN SHORT-TIME 
                   COMPENSATION PROGRAMS.

       (a) Payments to States With Certified Programs.--
       (1) In general.--Not later than 30 days after the date of 
     enactment of this Act, the Secretary shall establish a 
     program under which the Secretary shall make payments to any 
     State unemployment trust fund to be used for the payment of 
     unemployment compensation if the Secretary approves an 
     application for certification submitted under paragraph (3) 
     for such State to operate a short-time compensation program 
     (as defined in section 3306(v) of the Internal Revenue Code 
     of 1986 (as added by section 7(a))) which requires the 
     maintenance of health and retirement employee benefits as 
     described in paragraph (7) of such section 3306(v), in 
     addition to other requirements of this Act and 
     notwithstanding the otherwise effective date of such 
     requirement.
       (2) Reimbursement.--Subject to subsection (d), the payment 
     to a State under paragraph (1) shall be an amount equal to 
     100 percent of the total amount of benefits paid to 
     individuals by the State pursuant to the short-time 
     compensation program during the weeks of unemployment--
       (A) beginning on or after the date the certification is 
     issued by the Secretary with respect to such program; and
       (B) ending on or before December 31, 2011.
       (3) Certification requirements.--
       (A) In general.--Any State seeking full reimbursement under 
     this subsection shall submit an application for certification 
     at such time, in such manner, and complete with such 
     information as the Secretary may require (whether by 
     regulation or otherwise), including information relating to 
     compliance with the requirements of paragraph (7) of such 
     section 3306(v). The Secretary shall, within 30 days after 
     receiving a complete application, notify the State agency of 
     the State of the Secretary's findings with respect to the 
     requirements of such paragraph (7).
       (B) Findings.--If the Secretary finds that the short-time 
     compensation program operated by the State meets the 
     requirements of such paragraph (7), the Secretary shall 
     certify such State's short-time compensation program thereby 
     making such State eligible for reimbursement under this 
     subsection.  
       (b) Timing of Application Submittals.--No application under 
     subsection (a)(3) may be considered if submitted before the 
     date of enactment of this Act or after the latest date 
     necessary (as specified by the Secretary) to ensure that all 
     payments under this section are made before December 31, 
     2011.
       (c) Terms of Payments.--Payments made to a State under 
     subsection (a)(1) shall be payable by way of reimbursement in 
     such amounts as the Secretary estimates the State will be 
     entitled to receive under this section for each calendar 
     month, reduced or increased, as the case may be, by any 
     amount by which the Secretary finds that the Secretary's 
     estimates for any prior calendar month were greater or less 
     than the amounts which should have been paid to the State. 
     Such estimates may be made on the basis of such statistical, 
     sampling, or other method as may be agreed upon by the 
     Secretary and the State agency of the State involved.
       (d) Limitations.--
       (1) General payment limitations.--No payments shall be made 
     to a State under this section for benefits paid to an 
     individual by the State in excess of 26 weeks of benefits.
       (2) Employer limitations.--No payments shall be made to a 
     State under this section for benefits paid to an individual 
     by the State pursuant to a short-time compensation program if 
     such individual is employed by an employer--
       (A) whose workforce during the 3 months preceding the date 
     of the submission of the employer's short-time compensation 
     plan has been reduced by temporary layoffs of more than 20 
     percent; or
       (B) on a seasonal, temporary, or intermittent basis.
       (3) Program payment limitation.--In making any payments to 
     a State under this section pursuant to a short-time 
     compensation program, the Secretary may limit the frequency 
     of employer participation in such program.
       (e) Retention Requirement.--
       (1) In general.--A participating employer under this 
     section is required to comply with the terms of the written 
     plan approved by the State agency and act in good faith to 
     retain participating employees.
       (2) Oversight and monitoring.--The Secretary shall 
     establish an oversight and monitoring process by which State 
     agencies will ensure that participating employers comply with 
     the requirements of paragraph (1).
       (f) Funding.--There are appropriated, from time to time, 
     out of any moneys in the Treasury not otherwise appropriated, 
     to the

[[Page S12327]]

     Secretary, such sums as the Secretary certifies are necessary 
     to carry out this section (including to reimburse any 
     additional administrative expenses by reason of the provision 
     of, and amendments made by, this Act that are incurred by the 
     States in operating such short-time compensation programs).
       (g) Definition of State.--In this section, the term 
     ``State'' includes the District of Columbia, the Commonwealth 
     of Puerto Rico, and the Virgin Islands.
       (h) Sunset.--The provisions of this section shall not apply 
     after December 31, 2011.

     SEC. 9. STUDY AND REPORTS ON THE EMERGENCY UNEMPLOYMENT 
                   COMPENSATION PROGRAM.

       (a) Study.--The Secretary of Labor (in this section 
     referred to as the ``Secretary'') shall conduct a study on 
     the implementation of the emergency unemployment compensation 
     program under title IV of the Supplemental Appropriations 
     Act, 2008 (Public Law 110-252; 26 U.S.C. 3304 note), as 
     amended by section 2 and the Worker, Homeownership, and 
     Business Assistance Act of 2009 (Public Law 111-92). Such 
     study shall include an analysis of--
       (1) the different tiers under such program;
       (2) the number of initial claims under such program, the 
     average duration of benefits under the program, the average 
     sum of benefits under the program, and other areas that 
     demonstrate who received benefits under the program;
       (3) any significant impediments to State implementation of 
     such program;
       (4) the significant administration weaknesses and strengths 
     of such programs; and
       (5) other areas determined appropriate by the Secretary.
       (b) Reports.--
       (1) In general.--Not later than 4 years after the date of 
     the enactment of this Act, the Secretary shall submit to 
     Congress and the President a report (or multiple reports) on 
     the study conducted under subsection (a), together with such 
     recommendations as the Secretary determines appropriate.
       (2) Subsequent reports.--After the Secretary submits the 
     report (or reports) required under paragraph (1), the 
     Secretary may submit such additional reports on the 
     implementation of emergency unemployment compensation 
     programs as the Secretary deems appropriate.
       (c) Funding.--There are appropriated, out of any moneys in 
     the Treasury not otherwise appropriated, to the Secretary, 
     $1,250,000 to carry out this section, to remain available 
     without fiscal year limitation.
                                 ______