Michigan will stop accepting new claims for federal UI extension benefits on Saturday, November 27 Governor Granholm urges Congress to continue the federal EUC program

Contact: Norm Isotalo 313-456-2939

Agency: Licensing and Regulatory Affairs

NOVEMBER 22, 2010 - Michigan's Unemployment Insurance Agency (UIA) will stop taking and processing new claims for the federal Emergency Unemployment Compensation (EUC) after November 27, as Congress has not passed legislation extending the federally-funded jobless benefits beyond their November 30 expiration date.

In a letter to Congressional leaders last week, Governor Jennifer M. Granholm urged them to continue the federal EUC program.

"In Michigan, we are emerging from these difficult economic times, but we still have many families who continue to weather this storm. In fact, 336,000 Michigan residents currently receive state or federal unemployment benefits in Michigan. Now is not the time to pull the rug out from those who need assistance to provide for their families," she wrote.

Stephen Geskey, director of Michigan's Unemployment Insurance Agency, said his agency estimates that 162,000 have already exhausted their jobless benefits this year from January through November 2010, and another 181,500 will exhaust their unemployment benefits from December through April 2011, if the federal funding is not extended.

He added, however, that the end of the EUC program will not affect the state's unemployment benefit program, which will continue to provide up to 26 weeks of benefits to those who are newly unemployed and who meet the program's eligibility requirements.

Given the possibility that the federal jobless benefits may not be extended, Geskey encouraged those collecting benefits to prepare themselves for the end of benefits by checking with the agency to see how many weeks they may have remaining on their claims.

"There are several ways for unemployed workers to check the balance on their claims," he said. "They can call our MARVIN system at 1-866-638-3993, option 2. Those with online web accounts can go to their web account and see how many weeks they have remaining. People can also call our toll-free claims line at 1-866-500-0017 and speak with an agent for a status report on their claim."

Individuals can also contact UIA's ViPR unit online web accounts for information about their unemployment claims and to resolve problems with their claims. The award winning ViPR unit can be reached through the agency's claimant portal at www.michigan.gov/uia and then selecting the link "UIA Online Services for Unemployed Workers." ViPR staff responds to inquiries by email within 24 to 48 hours.

The EUC program provides up to 53 weeks of unemployment benefits to jobless workers who deplete their state unemployment benefits.

Geskey also pointed out that the Extended Benefits (EB) program will also lose its 100 percent federal funding after November 30. The EB program pays up to 20 weeks of federally-funded unemployment benefits to those who exhaust their state and EUC benefits. Without federal funding, the EB program will end and the last week for which EB can be paid in Michigan is the week ending January 1, 2011.

"If the federal funding for the EUC program is not extended, then EUC Tier I claims cannot be established after November 27," he explained. "EUC Tiers II, III and IV claims cannot be established after December 4. However, individuals already on an EUC Tier can continue to collect the balance of benefits remaining on their tier, but cannot move on to the next tier."

Although UIA offices will closed on November 25 and 26 due to the Thanksgiving holiday, individuals exhausting their state benefits and who receive notices from the agency to file for a federal extension can still apply for EUC Tier 1 through the agency's website until 6:00 PM on Saturday, November 27, at www.michigan.gov/uia.

No EUC payments will be made for any week beginning after April 30, 2011.

In addition, those still receiving the $25 per week in Federal Additional Compensation (FAC) will see those payments end on December 11. FAC payments were authorized by the American Recovery and Reinvestment Act but were no longer available for new unemployment claims starting after May 29, 2010.

Currently, there are four tiers of federally-funded EUC benefits payable in Michigan: 

• Tier I - Pays up to 20 weeks of EUC benefits to those who exhaust their state unemployment benefits. 
• Tier II - Pays up to 14 weeks of EUC to those exhausting Tier I. 
• Tier III - Pays up to 13 weeks of EUC to those exhausting Tier II. 
• Tier IV - Pays up to 6 weeks of EUC to those exhausting Tier III.

Tiers III and IV are payable in states with high unemployment rates, such as Michigan.

If no new extension is granted, Geskey said his agency will begin sending letters to those collecting state unemployment benefits and federal EUC in early December advising them that the EUC program will be ending and indicating how may weeks of benefits they have remaining. In December, letters will go to those collecting EB advising that the program will be triggering off with final benefits being paid for the week ending January 1. 

"Although we cannot control when individuals exhaust the last of their unemployment benefits, we can provide some helpful information," Geskey said. "We have added a video webcast and a printable resource guide to the UIA website (www.michigan.gov/uia). The guide and video list many of the resources that are available throughout the state to help the unemployed."

The Reference Guide: Services for Unemployed Workers lists services that help with job assistance, general assistance, health and insurance, prescriptions, mortgage foreclosures, utilities and utility shutoffs.

In addition, UIA has set up a toll-free telephone number - 1-866-MI HELPS (1-866-644-3577) - with pre-recorded information about state unemployment benefits, the federal extensions and how individuals can learn about their remaining benefits.

Geskey also suggested that individuals nearing the end of their unemployment benefits visit the state's Helping Hand website (www.michigan.gov/helpinghand) for information about family support, housing, health care, jobs and training, and unemployment benefits. People can also apply online through Helping Hand for food assistance and to determine if they may be eligible for certain types of public assistance.