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Appropriations panel approves $18,000 for unemployment-to-reemployment software name change
Summary
The Appropriations Committee approved a small, $18,000 appropriation to cover a software change tied to renaming an agency from "unemployment" to a "reemployment insurance commission." Workforce Services warned the committee that cuts to UI taxes can reduce state dollars used for reemployment services.
The Senate Appropriations Committee voted to approve Senate File 175, a one-time $18,000 appropriation to cover a software change tied to renaming part of the agency from "unemployment" to the "reemployment insurance commission." Chairman Salazar called the roll and the committee adopted the appropriation on a roll-call vote.
Senator Cole presented the request, saying the appropriation covered an agency software change: "Before you is Senate File 175, there is a small appropriation ... of $18,000 and it relates to a software change for renaming, part of the agency to, from unemployment to reemployment insurance commission." The motion to move the bill was seconded and the roll-call recorded five aye votes; the clerk stated the committee result as "5 ayes, 2 facts" on the record.
The bill drew brief public comment from Liz Gagan, director of the Department of Workforce Services. Gagan told the committee that reductions in unemployment insurance (UI) taxes can reduce state funding used to operate UI and reemployment services. She said the agency uses the Employment Support Fund (ESF) for two purposes: to run the unemployment insurance program and to support reemployment services. "Part of the UI tax does come to the agency. It's called the Employment Support Fund. And we use, the Employment Support Fund for 2 purposes. 1 is to run the UI program," Gagan said, adding that ESF dollars also fund the agency's job board, vocational rehabilitation and workforce centers.
Senator Roo asked whether the state UI fund was among the healthier funds nationally; Gagan answered in the affirmative and cautioned the committee that lower UI tax receipts would reduce ESF revenues and could create fiscal pressure on the agency's reemployment services.
The committee closed public comment and approved the appropriation by roll call. The committee recorded the following votes as read into the record: Senator Driscoll — Aye; Senator Giroux — Aye; Senator Larson — Aye; Senator Smith — Aye; Chairman Salazar — Aye. The clerk announced the tally as stated on the record.
Because the item before the committee was a single, limited appropriation to pay for a software name-change and not a policy change, the committee specified it was acting only on the appropriation, not the underlying policy.
No further action or amendments were recorded in the transcript; the appropriation was advanced out of committee.
