2005 Idaho Code - 72-1369 — OVERPAYMENTS, CIVIL PENALTIES AND INTEREST -- COLLECTION AND WAIVER

                                  TITLE  72
                      WORKER'S COMPENSATION AND RELATED
                        LAWS -- INDUSTRIAL COMMISSION
                                  CHAPTER 13
                           EMPLOYMENT SECURITY LAW
    72-1369.  OVERPAYMENTS, CIVIL PENALTIES AND INTEREST -- COLLECTION AND
WAIVER. (1) Any person who received benefits to which he was not entitled
under the provisions of this chapter or under an unemployment insurance law of
any state or of the federal government shall be liable to repay the benefits
and the benefits shall, for the purpose of this chapter, be considered to be
overpayments.
    (2)  Civil penalties. The director shall assess the following monetary
penalties for each determination in which the claimant is found to have made a
false statement, misrepresentation, or failed to report a material fact to the
department:
    (a)  Twenty-five percent (25%) of any resulting overpayment for the first
    determination;
    (b)  Fifty percent (50%) of any resulting overpayment for the second
    determination; and
    (c)  One hundred percent (100%) of any resulting overpayment for the third
    and any subsequent determination.
    (3)  Any overpayment, civil penalty and/or interest which has not been
repaid may, in addition to or alternatively to any other method of collection
prescribed in this chapter, including the creation of a lien as provided by
section 72-1360, Idaho Code, be collected with interest thereon at the rate
prescribed in section 72-1360(2), Idaho Code. The director may also file a
civil action in the name of the state of Idaho. In bringing such civil actions
for the collection of overpayments, penalties and interest, the director shall
have all the rights and remedies provided by the laws of this state, and any
person adjudged liable in such civil action for any overpayments shall pay the
costs of such action. A civil action filed pursuant to this subsection (3)
shall be commenced within five (5) years from the date of the final
determination establishing liability to repay. Any judgment obtained pursuant
to this section shall, upon compliance with the requirements of chapter 19,
title 45, Idaho Code, become a lien of the same type, duration and priority as
if it were created pursuant to section 72-1360, Idaho Code.
    (4)  Collection of overpayments.
    (a)  Overpayments, other than those resulting from a false statement,
    misrepresentation, or failure to report a material fact by the claimant,
    which have not been repaid or collected, may, at the discretion of the
    director, be deducted from any future benefits payable to the claimant
    under the provisions of this chapter. Such overpayments not recovered
    within five (5) years from the date of the final determination
    establishing liability to repay may be deemed uncollectible.
    (b)  Overpayments resulting from a false statement, misrepresentation, or
    failure to report a material fact by the claimant which have not been
    recovered within eight (8) years from the date of the final determination
    establishing liability to repay may be deemed uncollectible.
    (5)  The director may waive the requirement to repay an overpayment, other
than one resulting from a false statement, misrepresentation, or failure to
report a material fact by the claimant, and interest thereon, if:
    (a)  The benefit payments were made solely as a result of department error
    or inadvertence and made to a claimant who could not reasonably have been
    expected to recognize the error; or
    (b)  Such payments were made solely as a result of an employer
    misreporting wages earned in a claimant's base period and made to a
    claimant who could not reasonably have been expected to recognize an error
    in the wages reported. The director, in his sole discretion, may also
    compromise a civil penalty assessed under subsection (2) of this section
    and/or interest.
    (6)  Neither the director nor any of his agents or employees shall be
liable for benefits paid to persons not entitled to the same under the
provisions of this chapter if it appears that such payments have been made in
good faith and that ordinary care and diligence have been used in the
determination of the validity of the claim or claims under which such benefits
have been paid.