SENATE BILL NO. 1311

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S1311.......................................by COMMERCE AND HUMAN RESOURCES
EMPLOYMENT SECURITY LAW - Amends existing law to provide that employment
security information shall be exempt from disclosure; to provide
exceptions; to authorize rulemaking relating to disclosure; to revise and
provide for additional personal eligibility conditions for benefit
claimants; to provide a civil penalty; to provide that each act of
unauthorized disclosure shall constitute a misdemeanor; and to provide that
employment security information may be disclosed to third parties provided
there is written, informed consent.

01/18    Senate intro - 1st rdg - to printing
01/21    Rpt prt - to Com/HuRes
02/06    Rpt out - rec d/p - to 2nd rdg
02/07    2nd rdg - to 3rd rdg
02/12    3rd rdg - PASSED - 34-0-1
      AYES -- Andreason, Bair, Bastian, Bilyeu, Broadsword, Burkett,
      Cameron, Coiner, Corder, Darrington, Davis, Fulcher, Geddes, Goedde,
      Hammond, Heinrich, Hill, Jorgenson, Kelly, Keough, Langhorst, Little,
      Lodge, Malepeai(Sagness), McGee, McKague, McKenzie, Pearce,
      Richardson, Schroeder, Siddoway, Stegner, Stennett, Werk
      NAYS -- None
      Absent and excused -- Gannon
    Floor Sponsor - Cameron
    Title apvd - to House
02/13    House intro - 1st rdg - to Com/HuRes
02/28    Rpt out - rec d/p - to 2nd rdg
02/29    2nd rdg - to 3rd rdg
03/06    3rd rdg - PASSED - 66-0-4
      AYES -- Anderson, Andrus, Barrett, Bayer, Bedke, Bell, Bilbao, Block,
      Bock, Boe, Bolz, Bowers, Brackett, Bradford, Chadderdon, Chavez,
      Chew, Clark, Collins, Crane, Eskridge, Hagedorn, Hart, Harwood,
      Henbest, Jaquet, Killen, King, Kren, Labrador, Lake, LeFavour,
      Loertscher, Luker, Marriott, Mathews, McGeachin, Mortimer, Moyle,
      Nielsen, Nonini, Pasley-Stuart, Patrick, Pence, Raybould, Ringo,
      Ruchti, Rusche, Sayler, Schaefer, Shepherd(02), Shepherd(08),
      Shirley, Shively, Smith(30), Smith(24), Snodgrass, Stevenson, Thayn,
      Thomas, Trail, Vander Woude, Wills, Wood(27), Wood(35), Mr. Speaker
      NAYS -- None
      Absent and excused -- Black, Durst, Henderson, Roberts
    Floor Sponsor - Thayn
    Title apvd - to Senate
03/07    To enrol
03/10    Rpt enrol - Pres signed
03/11    Sp signed
03/12    To Governor
03/14    Governor signed
         Session Law Chapter 99
         Effective: 07/01/08

Bill Text




                                                                       
  ]]]]              LEGISLATURE OF THE STATE OF IDAHO             ]]]]
 Fifty-ninth Legislature                   Second Regular Session - 2008

                                                                       

                                       IN THE SENATE

                                    SENATE BILL NO. 1311

                         BY COMMERCE AND HUMAN RESOURCES COMMITTEE

  1                                        AN ACT
  2    RELATING TO THE EMPLOYMENT SECURITY LAW; AMENDING SECTION 72-1342, IDAHO CODE,
  3        TO PROVIDE THAT SPECIFIED EMPLOYMENT SECURITY INFORMATION SHALL BE  EXEMPT
  4        FROM  DISCLOSURE,  TO  PROVIDE EXCEPTIONS AND TO AUTHORIZE THE DIRECTOR OF
  5        THE DEPARTMENT OF LABOR TO PROMULGATE RULES RELATING TO DISCLOSURE; AMEND-
  6        ING SECTION 72-1366, IDAHO CODE, TO REVISE AND TO PROVIDE  FOR  ADDITIONAL
  7        PERSONAL  ELIGIBILITY CONDITIONS FOR BENEFIT CLAIMANTS AND TO MAKE TECHNI-
  8        CAL CORRECTIONS; AMENDING SECTION 72-1372, IDAHO CODE, TO PROVIDE A  CIVIL
  9        PENALTY  RELATING TO UNAUTHORIZED DISCLOSURE OF EMPLOYMENT SECURITY INFOR-
 10        MATION AND TO REFERENCE  SPECIFIC  PENALTIES;  AMENDING  SECTION  72-1374,
 11        IDAHO CODE, TO PROVIDE THAT EACH ACT OF CERTAIN UNAUTHORIZED DISCLOSURE OF
 12        EMPLOYMENT  SECURITY  INFORMATION  BY SPECIFIED PERSONS SHALL CONSTITUTE A
 13        MISDEMEANOR; AND AMENDING SECTION 9-340C, IDAHO CODE, TO PROVIDE THAT CER-
 14        TAIN EMPLOYMENT SECURITY INFORMATION MAY BE  DISCLOSED  TO  THIRD  PARTIES
 15        PROVIDED  THERE IS WRITTEN, INFORMED CONSENT, TO PROVIDE FOR APPLICABILITY
 16        OF A TERM AND TO MAKE A TECHNICAL CORRECTION.

 17    Be It Enacted by the Legislature of the State of Idaho:

 18        SECTION 1.  That Section 72-1342, Idaho Code, be, and the same  is  hereby
 19    amended to read as follows:

 20        72-1342.  DISCLOSURE  OF  INFORMATION.  Employment  security iInformation,
 21    obtained from any employer or individual pursuant  to  the  administration  of
 22    this  chapter,  and  determinations of the benefit rights of any individual as
 23    defined in section 9-340C(7), Idaho Code, shall be subject to exempt from dis-
 24    closure as provided in chapter 3, title 9, Idaho Code, except that such infor-
 25    mation may be disclosed as is necessary for the proper administration of  pro-
 26    grams  under  this  chapter or may be made available to public employees offi-
 27    cials for use in the performance of their public official  duties  subject  to
 28    such restrictions and fees as the director may by rule prescribe. The director
 29    may  by  rule prescribe the form of written, informed consent by a person that
 30    is adequate for disclosure of employment security  information  pertaining  to
 31    that  person  to  a third party, as provided in section 9-340C(7), Idaho Code,
 32    and the security requirements and cost provisions that apply to  such  disclo-
 33    sures.

 34        SECTION  2.  That  Section 72-1366, Idaho Code, be, and the same is hereby
 35    amended to read as follows:

 36        72-1366.  PERSONAL ELIGIBILITY CONDITIONS. The personal eligibility condi-
 37    tions of a benefit claimant are that:
 38        (1)  The claimant shall have made a claim for benefits  and  provided  all
 39    necessary information pertinent to eligibility.
 40        (2)  The  claimant  shall have registered for work and thereafter reported
 41    to a job service office or other agency in a manner prescribed by  the  direc-

                                       2

  1    tor.
  2        (3)  The claimant shall have met the minimum wage requirements in his base
  3    period as provided in section 72-1367, Idaho Code.
  4        (4)  (a) During the whole of any week with respect to which he claims ben-
  5        efits or credit to his waiting period, the claimant was:
  6             (ai)   Able  to  work, available for suitable work, and seeking work;
  7             provided, however, that no claimant shall  be  considered  ineligible
  8             for failure to comply with the provisions of this subsection if:
  9                  (i)1.  Ssuch  failure  is  due to the claimant's illness or dis-
 10                  ability which occurs after he has filed a claim and during  such
 11                  illness  or  disability,  the  claimant  does not refuse or miss
 12                  suitable work that would have provided wages greater  than  one-
 13                  half (1/2) of the claimant's weekly benefit amount; or
 14                  (ii)2.  Ssuch    failure   is   due   to   compelling   personal
 15                  circumstances, provided that such  failure  does  not  exceed  a
 16                  minor  portion  of the claimant's workweek and during which time
 17                  the claimant does not refuse or miss suitable  work  that  would
 18                  have   provided   wages  greater  than  one-half  (1/2)  of  the
 19                  claimant's weekly benefit amount; and
 20             (bii)  Living in a state, territory, or country that is  included  in
 21             the  interstate  benefit payment plan or that is a party to an agree-
 22             ment with the United States or the director with respect to unemploy-
 23             ment insurance.
 24        (b)  If a claimant who is enrolled in an approved job training course pur-
 25        suant to subsection (8) of this section fails to attend or otherwise  par-
 26        ticipate  in the job training course during any week with respect to which
 27        he claims benefits or credit to his waiting period, the claimant shall  be
 28        ineligible  for  that  week  if  he was not able to work nor available for
 29        suitable work, to be determined as follows: The claimant shall be ineligi-
 30        ble unless he is making satisfactory progress  in  the  training  and  his
 31        failure to attend or otherwise participate was due to:
 32             (i)   The  claimant's  illness  or disability which occurred after he
 33             had filed a claim and the claimant missed fewer than  one-half  (1/2)
 34             of the classes available to him that week; or
 35             (ii)  Compelling  personal  circumstances, provided that the claimant
 36             missed fewer than one-half (1/2) of the classes available to him that
 37             week.
 38        (5)  The claimant's unemployment is not due to the fact that he  left  his
 39    employment  voluntarily  without  good cause connected with his employment, or
 40    that he was discharged for misconduct in connection with his employment.
 41        (6)  The claimant's unemployment is not due to his  failure  without  good
 42    cause  to  apply  for  available suitable work or to accept suitable work when
 43    offered to him. The longer a claimant has been unemployed, the more willing he
 44    must be to seek other types of work and accept work at a lower rate of pay.
 45        (7)  In determining whether or not work is suitable for an individual, the
 46    degree of risk involved to his health, safety, morals, physical fitness, expe-
 47    rience, training, past earnings, length  of  unemployment  and  prospects  for
 48    obtaining  local  employment  in his customary occupation, the distance of the
 49    work from his residence, and other pertinent factors shall be  considered.  No
 50    employment  shall  be  deemed suitable and benefits shall not be denied to any
 51    otherwise eligible individual for refusing to accept new work or to hold  him-
 52    self available for work under any of the following conditions:
 53        (a)  If  the  vacancy of the position offered is due directly to a strike,
 54        lockout, or other labor dispute;
 55        (b)  If the wages, hours, or other conditions  of  the  work  offered  are

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  1        below  those  prevailing  for  similar  work  in  the locality of the work
  2        offered;
  3        (c)  If, as a  condition  of  being  employed,  the  individual  would  be
  4        required   to join a company union or to resign from or refrain from join-
  5        ing any bona fide labor organization.
  6        (8)  No claimant who is otherwise eligible shall be  denied  benefits  for
  7    any week due to an inability to comply with the requirements contained in sub-
  8    sections (4)(a) and (6) of this section, if:
  9        (a)  The  claimant  is  a participant in a program sponsored by title I of
 10        the workforce investment act and attends a job training course under  that
 11        program; or
 12        (b)  The claimant attends a job training course authorized pursuant to the
 13        provisions  of  section  236(a)(1)  of  the trade act of 1974 or the North
 14        American free trade agreement implementation act.
 15        (c)  The claimant lacks skills to compete in the labor market and  attends
 16        a  job training course with the approval of the director. The director may
 17        approve job training courses that meet the following criteria:
 18             (i)   The purpose of the job training is to teach the claimant skills
 19             that will enhance the claimant's opportunities for employment; and
 20             (ii)  The job training can be completed within one (1)  year,  except
 21             that this requirement may be waived pursuant to rules that the direc-
 22             tor may prescribe.
 23        This  subsection  shall apply only if the claimant submits with each claim
 24    report a written certification from the training facility that the claimant is
 25    attending and satisfactorily completing the job  training  course,  or  demon-
 26    strates  good  cause  for  failure to attend the job training. If the claimant
 27    fails to attend or otherwise participate in the job training course,  it  must
 28    be  determined whether the claimant is able to work and available for suitable
 29    work as provided in subsection (4)(b) of this section.
 30        (9)  No claimant who is otherwise eligible shall be denied benefits  under
 31    subsection  (5)  of this section for leaving employment to attend job training
 32    pursuant to subsection  (8)  of  this  section,  provided  that  the  claimant
 33    obtained  the employment after enrollment in or during scheduled breaks in the
 34    job training course, or that the employment was not suitable. For purposes  of
 35    this  subsection, the term "suitable employment" means work of a substantially
 36    equal or higher skill level than the individual's past employment,  and  wages
 37    for  such  work  are  not less than eighty percent (80%) of the average weekly
 38    wage in the individual's past employment.
 39        (10) A claimant shall not be eligible to receive  benefits  for  any  week
 40    with respect to which it is found that his unemployment is due to a labor dis-
 41    pute; provided, that this subsection shall not apply if it is shown that:
 42        (a)  The  claimant  is  not participating, financing, aiding, abetting, or
 43        directly interested in the labor dispute; and
 44        (b)  The claimant does not belong to a grade or class of workers with mem-
 45        bers employed at the premises at which the labor dispute occurs,  who  are
 46        participating in or directly interested in the dispute.
 47        (11) A  claimant  shall  not  be  entitled  to  benefits for any week with
 48    respect to which or a part of which he has received  or  is  seeking  benefits
 49    under  an unemployment insurance law of another state or of the United States;
 50    provided, that if the appropriate agency of such other state or of the  United
 51    States  shall  finally  determine that he is not entitled to such unemployment
 52    compensation or insurance benefits, he shall not by  the  provisions  of  this
 53    subsection  be  denied  benefits.  For  purposes of this section, a law of the
 54    United States providing any payments of  any  type  and  in  any  amounts  for
 55    periods of unemployment due to involuntary unemployment shall be considered an

                                       4

  1    unemployment insurance law of the United States.
  2        (12) A  claimant  shall not be entitled to benefits for a period of fifty-
  3    two (52) weeks if it is determined that he has willfully made a  false  state-
  4    ment  or  willfully  failed to report a material fact in order to obtain bene-
  5    fits. The period of disqualification shall commence the week the determination
  6    is issued. The claimant shall also be ineligible for waiting week  credit  and
  7    shall  repay  any  sums  received for any week for which the claimant received
  8    waiting week credit or benefits as a result of having willfully made  a  false
  9    statement  or  willfully  failed to report a material fact. The claimant shall
 10    also be ineligible for waiting week credit or benefits for any week  in  which
 11    he  owes  the  department an overpayment, civil penalty, or interest resulting
 12    from a determination that he willfully made a  false  statement  or  willfully
 13    failed to report a material fact.
 14        (13) A claimant shall not be entitled to benefits if his principal occupa-
 15    tion is self-employment.
 16        (14) A  claimant who has been found ineligible for benefits under the pro-
 17    visions of subsection (5), (6), (7) or (9) of this section  shall  reestablish
 18    his  eligibility by having obtained bona fide work and received wages therefor
 19    in an amount of at least fourteen (14) times his weekly benefit amount.
 20        (15) Benefits based on service in employment defined in sections  72-1349A
 21    and  72-1352(3),  Idaho Code, shall be payable in the same amount, on the same
 22    terms and subject to the same conditions as benefits payable on the  basis  of
 23    other service subject to this act.
 24        (a)  If  the  services performed during one-half (1/2) or more of any con-
 25        tract period by an individual for an educational institution as defined in
 26        section 72-1322B, Idaho Code, are in an instructional, research, or  prin-
 27        cipal  administrative  capacity, all the services shall be deemed to be in
 28        such capacity.
 29        (b)  If the services performed during less than one-half (1/2) of any con-
 30        tract period by an individual for an educational  institution  are  in  an
 31        instructional, research, or principal administrative capacity, none of the
 32        service shall be deemed to be in such capacity.
 33        (c)  As  used  in  this section, "contract period" means the entire period
 34        for which the individual contracts to perform services,  pursuant  to  the
 35        terms of the contract.
 36        (16) No  claimant  is  eligible  to receive benefits in two (2) successive
 37    benefit years unless, after the beginning of the  first  benefit  year  during
 38    which he received benefits, he performed service and earned an amount equal to
 39    not  less  than six (6) times the weekly benefit amount established during the
 40    first benefit year.
 41        (17) (a) Benefits based on wages  earned  for  services  performed  in  an
 42        instructional,  research, or principal administrative capacity for an edu-
 43        cational institution shall not be paid for any week of  unemployment  com-
 44        mencing  during  the  period between two (2) successive academic years, or
 45        during a similar period between two (2) terms, whether or not  successive,
 46        or  during  a  period  of  paid  sabbatical  leave  provided  for  in  the
 47        individual's contract, to any individual who performs such services in the
 48        first  academic  year  (or term) and has a contract to perform services in
 49        any such capacity for any educational institution in the  second  academic
 50        year  or term, or has been given reasonable assurance that such a contract
 51        will be offered.
 52        (b)  Benefits based on wages earned for services performed  in  any  other
 53        capacity  for an educational institution shall not be paid to any individ-
 54        ual for any week which commences during a period between two  (2)  succes-
 55        sive school years or terms if the individual performs such services in the

                                       5

  1        first school year or term, and there is a contract or reasonable assurance
  2        that  the individual will perform such services in the  second school year
  3        or term. If benefits are denied to any individual under this paragraph (b)
  4        and the individual was not offered an opportunity to perform such services
  5        for the educational institution for the second academic year or term,  the
  6        individual shall be entitled to a retroactive payment of benefits for each
  7        week  for  which  the individual filed a timely claim for benefits and for
  8        which benefits were denied solely by reason of this clause.
  9        (c)  With respect to any services described in paragraphs (a) and  (b)  of
 10        this subsection (17), benefits shall not be paid nor "waiting week" credit
 11        given  to  an  individual for wages earned for services for any week which
 12        commences during an established and customary vacation period  or  holiday
 13        recess  if the individual performed the services in the period immediately
 14        before the vacation period or holiday recess, and there  is  a  reasonable
 15        assurance  the individual will perform such services in the period immedi-
 16        ately following such vacation period or holiday recess.
 17        (d)  With respect to any services described in paragraphs (a) and  (b)  of
 18        this  subsection  (17), benefits shall not be payable on the basis of ser-
 19        vices in any capacities specified in paragraphs (a), (b) and (c)  of  this
 20        subsection (17) to any individual who performed such services in an educa-
 21        tional  institution  while in the employ of an educational service agency.
 22        For purposes of this paragraph the term "educational service agency" means
 23        a governmental entity which is established and  operated  exclusively  for
 24        the  purpose  of  providing  such  services to one (1) or more educational
 25        institutions.
 26        (18) Benefits shall not be payable on the basis of services which substan-
 27    tially consist of participating in sports or athletic events  or  training  or
 28    preparing  to  participate,  for  any  week  which commences during the period
 29    between two (2) successive sport seasons (or similar periods) if the  individ-
 30    ual  performed services in the first season (or similar period) and there is a
 31    reasonable assurance that the individual will perform  such  services  in  the
 32    later of such season (or similar period).
 33        (19) (a) Benefits  shall not be payable on the basis of services performed
 34        by an alien unless the alien was lawfully admitted for permanent residence
 35        at the time such services were performed, was lawfully  present  for  pur-
 36        poses  of  performing  such  services,  or was permanently residing in the
 37        United States under color of law at the time the services  were  performed
 38        (including  an  alien  who  was lawfully present in the United States as a
 39        result of the application of the provisions of sections  207  and  208  or
 40        section 212(d)(5) of the immigration and nationality act).
 41        (b)  Any data or information required of individuals applying for benefits
 42        to determine eligibility under this subsection shall be uniformly required
 43        from all applicants for benefits.
 44        (c)  A  decision to deny benefits under this subsection must be based on a
 45        preponderance of the evidence.
 46        (20) An individual who has been determined to be likely to exhaust regular
 47    benefits and to need reemployment services  pursuant  to  a  profiling  system
 48    established  by  the  director must participate in those reemployment services
 49    unless:
 50        (a)  The individual has completed such services; or
 51        (b)  There is justifiable cause, as determined by the  director,  for  the
 52        claimant's failure to participate in such services.
 53        (21) (a) A claimant:
 54             (i)   Who  has been assigned to work for one (1) or more customers of
 55             a staffing service; and

                                       6

  1             (ii)  Who, at the time of hire by  the  staffing  service,  signed  a
  2             written  notice  informing  him  that completion or termination of an
  3             assignment for a customer would not, of itself, terminate the employ-
  4             ment relationship with the staffing service;
  5        will not be considered unemployed upon completion  or  termination  of  an
  6        assignment  until  such time as he contacts the staffing service to deter-
  7        mine if further suitable work is available. If the claimant:
  8                  (A)1.  Contacts the staffing service and refuses a suitable work
  9                  assignment that is offered to him at that time, he will be  con-
 10                  sidered to have voluntarily quit that employment; or
 11                  (B)2.  Contacts  the  staffing  service and the service does not
 12                  have a suitable work assignment for him, he will  be  considered
 13                  unemployed due to a lack of work; or
 14                  (C)3.  Accepts  new  employment  without  first  contacting  the
 15                  staffing  service  for additional work, he will be considered to
 16                  have voluntarily quit employment with the staffing service.
 17        (b)  For the purposes of this  subsection,  the  term  "staffing  service"
 18        means  any  person  who  assigns individuals to work for its customers and
 19        includes, but is not limited to, professional  employers,  as  defined  in
 20        chapter 24, title 44, Idaho Code, and the employers of temporary employees
 21        as defined in section 44-2403(7), Idaho Code.

 22        SECTION  3.  That  Section 72-1372, Idaho Code, be, and the same is hereby
 23    amended to read as follows:

 24        72-1372.  CIVIL PENALTIES. (1) The  following  civil  penalties  shall  be
 25    assessed by the director:
 26        (a)  If a determination is made finding that an employer willfully filed a
 27        false  report,  a  monetary penalty equal to one hundred percent (100%) of
 28        the amount that would be due if the employer had filed a correct report or
 29        two hundred fifty dollars ($250), whichever is greater, shall be added  to
 30        the  liability  of  the  employer  for each quarter for which the employer
 31        willfully filed a false report. For the purposes of this section, a  false
 32        report  includes,  but is not limited to, a report for a period wherein an
 33        employer pays remuneration for personal services which meets  the  defini-
 34        tion of "wages" under section 72-1328, Idaho Code, and the payment is con-
 35        cealed, hidden, or otherwise not reported to the department.
 36        (b)  If  a determination is made finding that an employer willfully failed
 37        to file the employer's quarterly unemployment insurance  tax  report  when
 38        due, the director shall assess a monetary penalty equal to:
 39             (i)   Seventy-five  dollars  ($75.00) or twenty-five percent (25%) of
 40             the amount that would be due if the employer had filed a timely quar-
 41             terly report, whichever is greater, if  the  employer  had  not  been
 42             found  in any previous determination to have willfully failed to file
 43             a timely quarterly report for any of the sixteen (16) preceding  con-
 44             secutive calendar quarters; or
 45             (ii)  One hundred fifty dollars ($150) or fifty  percent (50%) of the
 46             amount that would be due if the employer had filed a timely quarterly
 47             report,  whichever  is greater, if the employer had been found in any
 48             previous determination to have willfully  failed  to  file  a  timely
 49             quarterly report for no more than one (1) of the sixteen (16) preced-
 50             ing consecutive calendar quarters; or
 51             (iii) Two  hundred fifty dollars ($250) or one hundred percent (100%)
 52             of the amount that would be due if the employer had  filed  a  timely
 53             quarterly  report,  whichever  is  greater,  if the employer had been

                                       7

  1             found in any previous determination or determinations to  have  will-
  2             fully failed to file a timely quarterly report for two (2) or more of
  3             the sixteen (16) preceding consecutive calendar quarters.
  4        (c)  If  a  determination is made finding that an employer, or any officer
  5        or agent or employee of the employer with the employer's knowledge,  will-
  6        fully  made  a  false  statement  or representation or willfully failed to
  7        report a material fact when submitting facts to the department  concerning
  8        a claimant's separation from the employer, a penalty in an amount equal to
  9        ten  (10)  times the weekly benefit amount of such claimant shall be added
 10        to the liability of the employer.
 11        (d)  If a determination is made finding  that  an  employer  has  induced,
 12        solicited  or  coerced  an  employee or former employee to file a false or
 13        fraudulent claim for benefits under this chapter, a penalty in  an  amount
 14        equal  to  ten  (10)  times  the weekly benefit amount of such employee or
 15        former employee shall be added to the liability of the employer.
 16        (e)  If a determination is made finding that an employer  failed  to  com-
 17        plete and submit an Idaho business registration form when due, as required
 18        by  section  72-1337(1),  Idaho  Code,  a  penalty of five hundred dollars
 19        ($500) shall be assessed against the employer.
 20        (f)  For purposes of paragraphs (c) and (d) of this  subsection  (1),  the
 21        term  "weekly benefit amount" means the amount calculated pursuant to sec-
 22        tion 72-1367(2), Idaho Code.
 23        (g)  If a determination is made finding that a person has made  any  unau-
 24        thorized disclosure of employment security information in violation of the
 25        provisions  of  chapter  3, title 9, Idaho Code, or section 72-1342, Idaho
 26        Code, or rules promulgated thereunder, a penalty of five  hundred  dollars
 27        ($500)  for  each act of unauthorized disclosure shall be assessed against
 28        the person.
 29        (2)  At the discretion of the director, the department may  waive  all  or
 30    any  part  of  the  penalties  imposed  pursuant to subsections (1)(a) through
 31    (1)(f) of this section if the employer shows to the satisfaction of the direc-
 32    tor that it had good cause for failing to comply with the requirements of this
 33    chapter and rules promulgated thereunder.
 34        (3)  Determinations imposing civil  penalties  pursuant  to  this  section
 35    shall  be  served in accordance with section 72-1368(5), Idaho Code. Penalties
 36    imposed pursuant to this section shall be due and  payable  twenty  (20)  days
 37    after  the  date  the  determination  was  served unless an appeal is filed in
 38    accordance with section 72-1368, Idaho Code, and rules promulgated thereunder.
 39    Such appeals shall be conducted in  accordance  with  section  72-1368,  Idaho
 40    Code, and rules promulgated thereunder.
 41        (4)  Civil  penalties  imposed by this section shall be in addition to any
 42    other penalties authorized by this chapter. The  provisions  of  this  chapter
 43    that  apply  to  the  collection  of  contributions, and the rules promulgated
 44    thereunder, shall also apply to the collection of penalties  imposed  pursuant
 45    to this section. Amounts collected pursuant to this section shall be paid into
 46    the  state employment security administrative and reimbursement fund as estab-
 47    lished by section 72-1348, Idaho Code.

 48        SECTION 4.  That Section 72-1374, Idaho Code, be, and the same  is  hereby
 49    amended to read as follows:

 50        72-1374.  UNAUTHORIZED  DISCLOSURE OF INFORMATION. If any employee or mem-
 51    ber of the commission or any employee of the department of the following  per-
 52    sons,  in  violation  of  the provisions of chapter 3, title 9, Idaho Code, or
 53    section 72-1342, Idaho Code, or rules promulgated thereunder, makes any  unau-

                                       8

  1    thorized  disclosure  of  employment  security  information, obtained from any
  2    employer or individual in the administration of  this  chapter,  each  act  of
  3    unauthorized disclosure shall constitute a separate misdemeanor:
  4        (1)  Any employee of the department;
  5        (2)  Any employee or member of the commission;
  6        (3)  Any third party or employee thereof who has obtained employment secu-
  7    rity  information pertaining to a person with the written, informed consent of
  8    that person;
  9        (4)  Any public official who has obtained employment security  information
 10    for use in the performance of official duties; or
 11        (5)  Any  person  who has obtained employment security information through
 12    means that violate the provisions of chapter 3, title 9, Idaho Code,  or  this
 13    chapter, or rules promulgated thereunder.

 14        SECTION  5.  That  Section  9-340C, Idaho Code, be, and the same is hereby
 15    amended to read as follows:

 16        9-340C.  RECORDS EXEMPT FROM DISCLOSURE  --  PERSONNEL  RECORDS,  PERSONAL
 17    INFORMATION,  HEALTH  RECORDS,  PROFESSIONAL DISCIPLINE. The following records
 18    are exempt from disclosure:
 19        (1)  Except as provided in this subsection, all  personnel  records  of  a
 20    current or former public official other than the public official's public ser-
 21    vice  or  employment  history,  classification, pay grade and step, longevity,
 22    gross salary and salary history, status, workplace and employing  agency.  All
 23    other personnel information relating to a public employee or applicant includ-
 24    ing,  but  not  limited  to,  information regarding sex, race, marital status,
 25    birth date, home address  and  telephone  number,  applications,  testing  and
 26    scoring  materials,  grievances,  correspondence  and performance evaluations,
 27    shall not be disclosed to the public without  the  employee's  or  applicant's
 28    written  consent.  Names of applicants to classified or merit system positions
 29    shall not be disclosed to the public without the applicant's written  consent.
 30    Disclosure  of  names as part of a background check is permitted. Names of the
 31    five (5) final applicants to all other positions shall  be  available  to  the
 32    public. If such group is less than five (5) finalists, then the entire list of
 33    applicants  shall  be available to the public. A public official or authorized
 34    representative may inspect and copy his personnel records, except for material
 35    used to screen and test for employment.
 36        (2)  Retired employees' and retired public officials' home addresses, home
 37    telephone numbers and other financial  and  nonfinancial  membership  records;
 38    active and inactive member financial and membership records and mortgage port-
 39    folio  loan  documents  maintained  by  the public employee retirement system.
 40    Financial statements prepared by retirement system staff, funding  agents  and
 41    custodians  concerning the investment of assets of the public employee retire-
 42    ment system of Idaho are not considered confidential under this chapter.
 43        (3)  Information and records submitted to the Idaho state lottery for  the
 44    performance  of  background investigations of employees, lottery retailers and
 45    major procurement contractors; audit records of lottery retailers, vendors and
 46    major procurement contractors submitted to or performed  by  the  Idaho  state
 47    lottery;  validation  and  security  tests  of  the  state lottery for lottery
 48    games;  business  records  and  information  submitted  pursuant  to  sections
 49    67-7412(8) and (9) and 67-7421(8) and (9), Idaho Code, and such documents  and
 50    information  obtained and held for the purposes of lottery security and inves-
 51    tigative action as determined by lottery rules unless the public  interest  in
 52    disclosure substantially outweighs the private need for protection from public
 53    disclosure.

                                       9

  1        (4)  Records of a personal nature as follows:
  2        (a)  Records  of  personal  debt filed with a public agency or independent
  3        public body corporate and politic pursuant to law;
  4        (b)  Personal bank records compiled by a public depositor for the  purpose
  5        of public funds transactions conducted pursuant to law;
  6        (c)  Records  of  ownership  of financial obligations and instruments of a
  7        public agency or independent public body corporate and  politic,  such  as
  8        bonds,  compiled by the public agency or independent public body corporate
  9        and politic pursuant to law;
 10        (d)  Records, with regard to the ownership of, or security  interests  in,
 11        registered public obligations;
 12        (e)  Vital statistics records; and
 13        (f)  Military  records  as  described  in  and pursuant to section 65-301,
 14        Idaho Code.
 15        (5)  Information in an income or other tax return  measured  by  items  of
 16    income  or  sales,  which  is  gathered  by a public agency for the purpose of
 17    administering the tax, except such information to the extent  disclosed  in  a
 18    written  decision  of  the  tax commission pursuant to a taxpayer protest of a
 19    deficiency determination by the tax commission, under the provisions  of  sec-
 20    tion 63-3045B, Idaho Code.
 21        (6)  Records  of  a  personal nature related directly or indirectly to the
 22    application for and provision of statutory services rendered to persons apply-
 23    ing for public care for the elderly, indigent, or mentally or physically hand-
 24    icapped, or participation in an environmental or a public health  study,  pro-
 25    vided  the provisions of this subsection making records exempt from disclosure
 26    shall not apply to the extent that such records or  information  contained  in
 27    those  records  are  necessary for a background check on an individual that is
 28    required by federal law regulating the sale of firearms, guns or ammunition.
 29        (7)  Employment security information, and unemployment  insurance  benefit
 30    information,  except  that  all interested parties a person may agree, through
 31    written, informed consent, to waive the exemption so that a  third  party  may
 32    obtain  information pertaining to the person, unless access to the information
 33    by the parties person is restricted by subsection (3)(a), (3)(b) or (3)(d)  of
 34    section  9-342,  Idaho  Code. Notwithstanding the provisions of section 9-342,
 35    Idaho Code, a person may not  review  identifying  information  concerning  an
 36    informant who reported to the department of labor a suspected violation by the
 37    person of the employment security law, chapter 13, title 72, Idaho Code, under
 38    an  assurance  of  confidentiality. As used in this section and in chapter 13,
 39    title 72, Idaho Code, "employment security information" means any  information
 40    descriptive of an identifiable person or persons that is received by, recorded
 41    by,  prepared  by, furnished to or collected by the department of labor or the
 42    industrial commission in the administration of the employment security law.
 43        (8)  Any personal records, other than names, business addresses and  busi-
 44    ness  phone  numbers,  such as parentage, race, religion, sex, height, weight,
 45    tax identification and social security numbers,  financial  worth  or  medical
 46    condition  submitted to any public agency or independent public body corporate
 47    and politic pursuant to a statutory requirement  for licensing, certification,
 48    permit or bonding.
 49        (9)  Unless otherwise provided by agency  rule,  information  obtained  as
 50    part  of an inquiry into a person's fitness to be granted or retain a license,
 51    certificate, permit, privilege, commission or  position,  private  association
 52    peer  review  committee records authorized in title 54, Idaho Code. Any agency
 53    which has records exempt from disclosure under the provisions of this  subsec-
 54    tion  shall  annually  make  available a statistical summary of the number and
 55    types of matters considered and their disposition.

                                       10

  1        (10) The records, findings, determinations and decisions of any prelitiga-
  2    tion screening panel formed under chapters 10 and 23, title 6, Idaho Code.
  3        (11) Complaints received by the board of medicine and  investigations  and
  4    informal  proceedings,  including informal proceedings of any committee of the
  5    board of medicine, pursuant to chapter 18, title 54,  Idaho  Code,  and  rules
  6    adopted thereunder.
  7        (12) Records  of  the  department of health and welfare or a public health
  8    district that identify a person infected with a reportable disease.
  9        (13) Records of hospital care, medical records,  including  prescriptions,
 10    drug  orders,  records or any other prescription information that specifically
 11    identifies an individual patient, prescription records maintained by the board
 12    of pharmacy under sections 37-2726 and 37-2730A, Idaho Code, records  of  psy-
 13    chiatric  care or treatment and professional counseling records relating to an
 14    individual's condition, diagnosis, care or treatment, provided the  provisions
 15    of  this  subsection  making records exempt from disclosure shall not apply to
 16    the extent that such records or information contained  in  those  records  are
 17    necessary  for a background check on an individual that is required by federal
 18    law regulating the sale of firearms, guns or ammunition.
 19        (14) Information collected pursuant to the directory  of  new  hires  act,
 20    chapter 16, title 72, Idaho Code.
 21        (15) Personal  information  contained  in motor vehicle and driver records
 22    that is exempt from disclosure under the provisions of chapter  2,  title  49,
 23    Idaho Code.
 24        (16) Records  of  the financial status of prisoners pursuant to subsection
 25    (2) of section 20-607, Idaho Code.
 26        (17) Records of  the  Idaho  state  police  or  department  of  correction
 27    received  or  maintained  pursuant to section 19-5514, Idaho Code, relating to
 28    DNA databases and databanks.
 29        (18) Records of the department of health and welfare relating to a survey,
 30    resurvey or complaint investigation of a licensed nursing  facility  shall  be
 31    exempt  from disclosure. Such records shall, however, be subject to disclosure
 32    as public records as soon as the facility in question has received the report,
 33    and no later than the fourteenth day following the  date  that  department  of
 34    health  and  welfare  representatives officially exit the facility pursuant to
 35    federal regulations. Provided however, that for purposes  of  confidentiality,
 36    no  record  shall be released under this section which specifically identifies
 37    any nursing facility resident.
 38        (19) Records and information contained in the  registry  of  immunizations
 39    against childhood diseases maintained in the department of health and welfare,
 40    including  information disseminated to others from the registry by the depart-
 41    ment of health and welfare.
 42        (20) Records of the Idaho housing and finance association (IHFA)  relating
 43    to the following:
 44        (a)  Records containing personal financial, family, health or similar per-
 45        sonal information submitted to or otherwise obtained by the IHFA;
 46        (b)  Records submitted to or otherwise obtained by the IHFA with regard to
 47        obtaining  and  servicing  mortgage  loans and all records relating to the
 48        review, approval or rejection by the IHFA of said loans;
 49        (c)  Mortgage portfolio loan documents;
 50        (d)  Records of a current or former employee  other  than  the  employee's
 51        duration of employment with the association, position held and location of
 52        employment.  This exemption from disclosure does not include the contracts
 53        of employment or any remuneration, including reimbursement of expenses, of
 54        the executive director, executive officers or commissioners of the associ-
 55        ation. All other personnel information relating to an association employee

                                       11

  1        or applicant including, but not limited  to,  information  regarding  sex,
  2        race,  marital  status,  birth  date,  home  address and telephone number,
  3        applications, testing and scoring materials,  grievances,  correspondence,
  4        retirement plan information and performance evaluations, shall not be dis-
  5        closed  to  the  public without the employee's or applicant's written con-
  6        sent. An employee or authorized representative may inspect and  copy  that
  7        employee's  personnel records, except for material used to screen and test
  8        for employment or material not subject  to  disclosure  elsewhere  in  the
  9        Idaho public records act.
 10        (21) Records of the department of health and welfare related to child sup-
 11    port  services in cases in which there is reasonable evidence of domestic vio-
 12    lence, as defined in chapter 63, title 39, Idaho Code, that  can  be  used  to
 13    locate any individuals in the child support case except in response to a court
 14    order.
 15        (22) Records  of  the Idaho state bar lawyer's assistance program pursuant
 16    to chapter 49, title 54, Idaho Code,  unless  a  participant  in  the  program
 17    authorizes  the  release  pursuant to subsection (4) of section 54-4901, Idaho
 18    Code.
 19        (23) Records and information contained in the trauma registry  created  by
 20    chapter 20, title 57, Idaho Code, together with any reports, analyses and com-
 21    pilations created from such information and records.
 22        (24) Records  contained  in  the court files, or other records prepared as
 23    part of proceedings for judicial  authorization  of  sterilization  procedures
 24    pursuant to chapter 39, title 39, Idaho Code.
 25        (25) The  physical  voter  registration card on file in the county clerk's
 26    office; however, a redacted copy of said card shall be made available  consis-
 27    tent  with the requirements of this section. Information from the voter regis-
 28    tration card maintained in the statewide voter registration database,  includ-
 29    ing  age,  will be made available except for the voter's driver's license num-
 30    ber, date of birth and, upon showing of good cause by the voter to the  county
 31    clerk in consultation with the county prosecuting attorney, the physical resi-
 32    dence  address  of  the  voter. For the purposes of this subsection good cause
 33    shall include the protection of life and property and protection of victims of
 34    domestic violence and similar crimes.
 35        (26) File numbers, passwords and information in the files  of  the  health
 36    care  directive  registry  maintained  by the secretary of state under section
 37    39-4515, Idaho Code, are confidential and shall not be disclosed to any person
 38    other than to the person who executed the health care directive or the revoca-
 39    tion thereof and that person's legal representatives, to the person who regis-
 40    tered the health care directive or revocation thereof, and to physicians, hos-
 41    pitals, medical personnel, nursing homes, and  other  persons  who  have  been
 42    granted  file number and password access to the documents within that specific
 43    file.

Statement of Purpose / Fiscal Impact


                   	STATEMENT  OF  PURPOSE
	
                               RS17378C2


This legislation will bring Idaho into compliance with new regulations of the U.S.
Department of Labor.  20 CFR Part 603, effective Oct. 27, 2006, requires states 
to adopt legislation, rules, and policies within two years that conform to 
federal requirements concerning the confidentiality and disclosure of state 
unemployment insurance information.  The regulations establish uniform minimum 
requirements for safeguards against unauthorized disclosure of confidential 
information and recoupment of costs of authorized disclosures, and require 
states to adopt penalties for unlawful disclosure of confidential information.
  20 CFR Part 604, effective Feb. 15, 2007, requires states to limit payments 
of unemployment insurance benefits only to claimants who are able to work and 
available for work.  Although most provisions of Idaho’s Employment Security Law 
comply with this federal regulation, changes must be made in provisions regarding
 claimants in approved job training.  The federal regulation requires that if 
a claimant fails to attend or otherwise participate in the training, the state 
must determine whether the claimant is able to work and available for work.


                             FISCAL  IMPACT

There is no impact on the State General Fund. The proposed legislation is not
 expected to require the expenditure of any additional funds. However, failure 
to pass legislation to comply with the federal regulations may have serious 
financial consequences for the state. A state’s unemployment insurance law must 
conform to the provisions of the Federal Unemployment Tax Act and the Social 
Security Act, and the regulations that implement these acts, in order to be 
certified. Loss of certification means the state would lose its federal grants 
for the administration of the unemployment insurance program, and the state’s 
employers may lose their federal tax offset credit, which is currently 5.4 
percent of the first $ 7,000 of payroll per employee.





Contact:
Name: Bob Fick
Agency: Idaho Department of Labor
Phone: 332-3570 ext 3628




Statement of Purpose/Fiscal Impact                                    S 1311