DES Administrative Rules

Proposed Changes to DES Administrative Rules

Comment Period from April 6, 2017 – June 30, 2017
Proposed Effective Date – September 1, 2017


Pursuant to N.C. Gen. Stat. §150B-19.1, the following DES Rules are proposed for amendments or adoptions. N.C. Session Law 2015-238 made changes to Chapter 96 of the North Carolina General Statutes. Part of the law, codified as G.S. § 96-40, addresses unemployment insurance (UI) program integrity, and requires DES to prioritize enhancements, and maximize the efficiency of the State's UI program. The law requires DES to share information with certain other entities in order to prevent, detect, and reduce UI fraud, improper payments, and overpayments. The General Assembly specifically directed that DES participate in the Southeast Consortium Unemployment Insurance Benefits Initiative (SCUBI), a multi-state consortia consisting of North and South Carolina, and Georgia. The consortia has been working together to modernize their UI systems for better efficiency and cost-effectiveness. Another program, the State Information Data Exchange System (SIDES), is a web-based system that was developed between the United States Department of Labor and state UI agencies to streamline processes. DES and its customers are already using SIDES, and expect to begin using SCUBI this summer. As a result, DES must amend Rules 24A .0103, 24A .0104, 24A .0105, 24B .0402 and 24C .0204 to comply with the mandate for better effectiveness and efficiency. Rules 24A .0109 and 24A .110 are proposed to clarify the authority granted by, and limitations on use of powers of attorney when conducting business with DES.

Public Hearing:
Date: May 31, 2017
Time: 11:00 a.m.
Location: 700 Wade Avenue, Raleigh, NC 27605, Room C-165 – HR Conference Room

Comment Procedures:
The comment period begins April 6, 2017 and ends June 30, 2017. Comments from the public shall be directed to:

Sheena J. Cobrand
Rules Coordinator
Post Office Box 25903
Raleigh, NC 27611-5903
Phone: (919) 707-1031
Fax: (919) 715-7194
Email: des.rules@nccommerce.com

Comment Period from April 20, 2017 – July 14, 2017
Proposed Effective Date – October 1, 2017


N.C. Session Law 2015-238 made changes to Chapter 96 of the North Carolina General Statutes. Part of the law, codified as G.S. § 96-40, requires DES to take steps to address unemployment insurance (UI) program integrity, maximize the efficiency of the State's UI program, and prevent, detect, and reduce UI fraud, improper payments, and overpayments. As a result, Rules 24B .0601 is proposed for amendment to clarify the manner in which an overpayment determination may be appealed. Rules 24B .1101, 24B .1102, 24B .0013, and 24B .1104 are proposed for adoption pursuant to DES's responsibilities under G.S. 96-17(d). Rule 24C .0205 provides for better efficiency for appeal hearings and the manner in which parties may submit witness names and numbers for phone hearings. Rules 24D .0103, 24D .0202, 24D .0203, and 24D .0205 are amended to clarify the process for employers' protests and appeals of benefit charges to their account; and Rules 24D .0302, .24D .0303, and 24D .0304 are proposed for amendment to clarify the manner in which adequacy determinations are made and to clarify the content and appeal procedure for adequacy determinations.

Public Hearing:
Date: May 31, 2017
Time: 11:00 a.m.
Location: 700 Wade Avenue, Raleigh, NC 27605, Room C-165 – HR Conference Room

Comment Procedures:
The comment period begins April 20, 2017 and ends July 14, 2017. Comments from the public should be directed to:
Sheena J. Cobrand
Rules Coordinator
Post Office Box 25903
Raleigh, NC 27611-5903
Phone: (919) 707-1031
Fax: (919) 715-7194
Email: des.rules@nccommerce.com