Ariz. Rev. Stat. § 23-787

Current through L. 2024, ch. 154
Section 23-787 - Repayment of and deductions for benefits obtained by claimants not entitled to benefits; collection; interest
A. A person who receives any amount as benefits under this chapter to which the person is not entitled is liable to repay the overpaid amount to the department. The department may deduct all or a portion of the overpayment from future benefits payable to the person under this chapter.
B. If benefits to which a person is not entitled are received by reason of fraud committed by the person as determined by the department, the department shall assess a penalty on the person equal to fifteen percent of the amount of the erroneous payment and the person is not eligible to receive any benefits under this chapter until the total amount of the overpayment and all penalties and interest have been recovered or otherwise satisfied in compliance with a civil judgment. For the purposes of this section only, any interest on a fraud overpayment that has been waived under subsection G of this section shall be treated as though it was recovered. Fraud overpayments and penalties may not be waived. The department shall immediately deposit all assessments paid pursuant to this subsection in the unemployment compensation fund established by section 23-701.
C. If benefits to which a person is not entitled are received without any fault on the person's part and if repayment or deduction from future benefits would be against equity and good conscience, the department may waive all or a portion of the amount overpaid.
D. If benefits to which a person is not entitled are received without any fault on the person's part, deductions made by the department pursuant to subsection A of this section from benefits payable to an individual for any week shall not exceed twenty-five percent of the individual's weekly benefit amount unless required by federal law, except that the amount recouped from benefits payable may be fifty percent of the weekly benefit amount if the individual has previously received benefits but has not received benefits for at least twelve consecutive months before the most recent receipt of benefits and there has been no reasonable attempt to repay the indebtedness during that period. The fifty percent recoupment rate may not be put in effect before one year after the establishment of the overpayment.
E. The department shall adopt rules to implement subsection D of this section.
F. The attorney general or the appropriate county attorney may institute appropriate court proceedings to recover in the name of the department any amount for which a person is liable to the department.
G. Interest on all benefit overpayment debts, including those reduced to judgment, shall accrue at ten percent a year. The department may waive a portion of any accrued interest on a benefit overpayment debt for good cause shown. For benefit overpayment debts classified as fraud, the amount of interest waived may not exceed twenty-five percent.
H. The department may not collect an overpayment amount or interest amount that has been waived pursuant to subsection C or G of this section, respectively.
I. This section does not prohibit the department from accepting voluntary payments.

A.R.S. § 23-787

Amended by L. 2018, ch. 25,s. 2, eff. 8/3/2018.
Amended by L. 2017, ch. 15,s. 5, eff. 8/9/2017.
Amended by L. 2013, ch. 204,s. 7, eff. 6/19/2013.
Amended by L. 2013, ch. 17,s. 3, eff. 9/13/2013.