States are asking some people to pay back their Pandemic Unemployment Assistance

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BISMARCK, N.D. (KFYR) - If you’ve received cash through the Pandemic Unemployment Assistance Program, you might want to double check the earnings you’ve reported. Many states are asking for refunds after overpaying people who’ve lost their jobs.

There is a fine print detail in regular unemployment insurance stating states can waive recovery of overpayment fees. But, states are blocked from forgiving the overpayment of debts for Pandemic Unemployment Assistance. Because of this, many unemployed Americans now owe some or all of their benefit money back.

Job Service North Dakota representatives say overpayments are not unique to the pandemic and can happen for a variety of reasons. They say the most common reason for an overpayment is that an individual received benefits for a period of time during which the they did not meet eligibility requirements. It can also happen if someone inaccurately submits how much they earn.

Since March 15, Job Service has paid out $816.5 million to unemployed North Dakotans. Some of those individuals will now be responsible for paying portions of that aid back.

“Every state, including North Dakota, has situations where an individual was overpaid benefits and the funds must be recouped. As a percentage of benefits paid between March 15 and the present date, 0.48% of North Dakota payments ended up as overpayments,” said Job Service North Dakota Communications Officer Sarah Arntson.

Regular state Unemployment Insurance benefits are paid entirely by state employers. Job Service representatives say states have more flexibility to waive overpayments of regular state benefits. However, the federal government requires each state to collect any overpaid federal benefits from programs like Pandemic Unemployment Assistance because they are paid with federal dollars.

Arntson says the best way to avoid overpayment issues is to be as accurate as possible when reporting earnings and the reasons for becoming unemployed.