INDIANAPOLIS – State GOP lawmakers are pushing an emergency measure to continue unemployment benefits for thousands of Hoosiers that are set to expire in just weeks.
Without action, a trigger built into state law would automatically shut off the extended state benefits. Leaders in the House and Senate want to use federal money to continue them through the end of the year.
“Given that the economy is still where it is, we would inadvertently be knocking people off the rolls,” said Senate President Pro Tem David Long, R-Fort Wayne. “We want to lift the trigger so the additional weeks the federal government is providing are allowed to run its course.”
Hoosiers on unemployment now get 26 weeks of regular state benefits but then can get four federal extensions that stretch that to 79 weeks.
After that, the state’s extended benefits kick in for 20 weeks. Those benefits are paid through the end of the year by federal dollars.
The state extended benefits trigger is based on the state unemployment rate, which dropped to 8.8 percent in February.
Extended benefits automatically end when the state’s current three-month average unemployment rate is below 110 percent of what it was two years ago.
Valerie Kroeger, spokeswoman for the Department of Workforce Development, said there is no phase-out period after the trigger is hit, meaning it would immediately kick off thousands of Hoosiers receiving the assistance.
“I think it is important to avail us of the federal government’s funding,” GOP House Speaker Brian Bosma said.
“We don’t want to put Hoosier families that are in a tough spot in a more difficult position.”
Kroeger said the governor would need to sign legislation temporarily changing the trigger by April 15. Hoosiers on the program wouldn’t miss a check until April 24.
Gov. Mitch Daniels declined to weigh in on the matter Tuesday.
There are currently 14,000 Hoosiers receiving state extended benefits.
And Kroeger said the Department of Workforce Development estimates that about 20,000 Hoosiers would file for extended benefits by the end of the year.
An amendment is still being drafted to allow the extended benefits to continue until the federal government stops paying for them. It could be put in a Senate bill on third reading in the House, which would require Democratic support.
“Hopefully, we will see strong bipartisanship,” said Rep. David Niezgodski, D-South Bend.
