Senate Bill 1003 Summary

• Removes interest charges on unpaid restitution of benefit overpayments from the Michigan Employment Security Act, while retaining interest on unpaid contributions at 1% per month.

• Maintains the 50% interest cap on unpaid contributions but eliminates the separate 50% interest cap that previously applied to unpaid benefit overpayments.

• Restricts unemployment agency's ability to assess penalties and interest against claimants, employees, and third parties to violations of specific fraud and misrepresentation sections (54(a), (b), and 54a-54c), excluding general contribution-related assessments.

• Establishes new restitution collection methods for benefit overpayments including bank account levy, wage assignments, and administrative wage garnishment (capped at 25% of wages, with 30-day objection period for claimants).

• Takes effect 90 days after enactment, contingent on passage of Senate Bills 1000, 1001, and 1002 from the 98th Legislature.