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EDD Next technical reappropriation moves forward as LAO urges tighter oversight of ICMS phase

3445849 · May 21, 2025
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Summary

The May revision includes a reappropriation to fix an encumbrance timing error for EDD Next modernization funding so the ICMS integration contract can be awarded; LAO recommended shortening multi-year encumbrance windows to improve legislative oversight.

The Employment Development Department briefed Assembly Subcommittee 5 that a technical reappropriation in the May revision corrects an encumbrance-availability date for the Unemployment Compensation Disability Fund portion of EDD Next, the department—s multi-year modernization effort, and that the change is necessary to allow an anticipated ICMS contract award this fiscal year.

Caleb Horrell, chief financial officer for EDD, said the reappropriation aligns the UI/DI-fund encumbrance…

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