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It s time to fix Kentucky s unemployment system | Opinion

Audit: Good intentions led to bad unemployment insurance results

Audit: Good intentions led to bad unemployment insurance results and last updated 2021-02-23 18:32:52-05 FRANKFORT, Ky. (LEX 18) — Good intentions, bad results. That s how Kentucky Auditor Mike Harmon describes the decisions made by leaders in the Office of Unemployment Insurance. In the Statewide Single Audit of Kentucky, Harmon outlines problems with OUI and the Unemployment Insurance fund as deeply concerning to taxpayers and those who have filed for UI benefits. On Tuesday, Harmon testified before the Senate Economic Development, Tourism and Labor Committee. He said OUI leadership made changes that violated federal law and sacrificed program integrity in an attempt to get payments to unemployed residents more quickly.

Audit discovers no compassion

Editorial Roundup: Kentucky

The News-Enterprise on a state audit revealing issues with the unemployment insurance system: State Auditor Mike Harmon’s office made headlines last week with the release of a massive document labeled as volume one of the Statewide Single Audit of Kentucky for Fiscal Year 2020. The bulk of the 25 findings documented massive problems associated with a 1,300% increase in unemployment insurance claims resulting from extensive layoffs associated with businesses forced to close or curtail operations after Gov. Andy Beshear’s executive orders designed to curb the spread of COVID-19. The Office of Unemployment Insurance faced monumental issues as 49,023 new unemployment claims were filed during the week ending March 21 and an additional 113,149 new claims the next week. Also, three significant new unemployment insurance programs were created via the federal CARES Act designed to respond to economic hardships resulting from the pandemic.

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