Only 1 unemployment-pay bill serves all Arizonans
On Jan. 11, the legislative session commenced, and we immediately got to work on the challenges and opportunities catalyzed by this pandemic.
Having heard from countless constituents who struggled after losing their jobs due to the pandemic and the associated government restrictions on businesses, comprehensive unemployment insurance reform has been a top priority.
Today, as it’s been for the past 17 years, Arizona’s unemployment insurance benefit is limited to $240 per week — the second lowest in the nation. The current law also punishes people for accepting part-time work by reducing their benefit after earning just $30. This system has long needed reform, but the COVID-19 pandemic created a critical sense of urgency.
That’s why we introduced House Bill 2805, a bipartisan bill that raises the weekly benefit cap to $300 and allows people to earn up to $160 per week from part-time hours while looking for a new job without a reduction in their weekly benefit.
Our bill asks Arizona employers to pay $15 to $16 more per covered employee annually. In return, they’ll benefit from people receiving assistance being able to immediately put that money back into the economy, paying their bills while looking for a new job.
We worked across the aisle and in collaboration with our business community and policy experts to develop reform that will safeguard Arizona’s working families from financial disaster, support the state’s economic stability and recovery, and ensure our small businesses are not bearing the weight of this crisis.
In the Senate, President Karen Fann introduced a different unemployment insurance reform bill, Senate Bill 1411, which is common practice in the Legislature.
Bills on the same issue are developed and amended in their respective chambers and, if passed, sent to the other chamber to be further refined. This process allows collaboration between legislators, constituents and stakeholders such as business owners, resulting in singular legislation that improves outcomes for all.
Like HB 2805, SB 1411 raises the weekly benefit cap and allows people to earn more without a reduction in benefits. However, the benefit increase only goes into effect after the additional federal benefit expires and the length of assistance is reduced from 26 weeks to 20 or 22 weeks depending on the state’s unemployment rate.
The bill also requires additional verifications for eligibility, increasing the time between losing work and receiving benefits. One of the biggest challenges our constituents have shared with us is the time it takes to get benefits – an emergency safety net isn’t helpful if folks can’t get it in time.
At the end of the day, the Senate bill provides less support when people need it most, as the industries in which they have specific job skills need time to recover.
We need to work together to find the best solution for Arizonans.
While we made deliberate efforts to include members of both parties from both chambers in the development and refinement of HB 2805, Sen. Fann conducted private stakeholder meetings with an undisclosed list of special interests. We are not aware of any invitation for House members from either party to be involved in those discussions.
Both bills seek to reform our broken unemployment insurance system, but SB 1411 overlooks the needs of those most impacted by this crisis and the state at large in favor of the demands of special interest groups. It favors partisanship and backroom deals over hardworking Arizonans and their families.
Ultimately, reform that doesn’t serve the interests of people in need isn’t good reform.
As legislators, we are elected by the people to serve the people, not lobbyists and special interests. When it comes to big policy like this, legislation that can substantially and materially enhance the lives of Arizonans, debate and cooperation are critical.
We are grateful to President Fann and Speaker Bowers for having these bills heard, and now it’s time to come together as a coalition for the good of our constituents and the good of our state. Rep. David Cook, a Republican, serves Legislative District 8, which includes areas of Pinal and Gila counties. Rep. Randall Friese, a Democrat, serves Legislative District 9, which is located entirely in Pima County. Reach them at dcook@azleg.gov and rfriese@azleg. gov.