‘We’re doing our best with PUA to curb concerns’

Labor Secretary Vicky Benavente acknowledged that her department’s implementation of the Pandemic Unemployment Assistance and Federal Pandemic Unemployment Compensation has been imperfect, with technical glitches and unpredicted delays, but that none of them are unique to the CNMI.

Benavente said Labor acknowledges the complexity and frustration with applicable federal laws, Hawaii state law, and other limiting legal principles.

“We recognize that there is still more work to do and we look forward to working toward more solutions,” said Benavente in her letter Saturday to members of the House minority bloc, which had issued a report on the feedback they have received from some constituents who’ve complained about Labor’s disorganized operations in implementing PUA, among 11 primary issues that the lawmakers had identified.

The other issues that the lawmakers highlighted in their 13-page report are payment delays and discrepancies, poor communications and lack of transparency, need for more training for Labor staff and a better casework management system, no priority of service for veterans, and inconsistent determinations of “qualified aliens.”

The other issues include confusing forms and filing process, online portal glitches and lock-outs, teleworking claimants and off-island bank accounts in limbo, data entry errors and abrupt switches to paper checks, and devastating impacts of PUA delays on constituents’ lives.

In her response, Benavente said since the enactment of the CARES Act, Labor has worked tirelessly through many challenges and unexpected obstacles—including the safety and wellbeing of the staff, complicated legal issues, and a daunting number of fraudulent claims.

“Please do not mistake the department’s vigilance and prudence in navigating this complex and highly regulated federal program with anything but respect for the law and accountability for federal funding,” she said.

Since launching these programs, the official said, Labor has been proactive to curb concerns and address impediments.

Specifically, she said, they have educated the community by conducting multiple outreach events, provided online resources and instructional forms, promoted transparency by publishing administrative decisions, and prioritized or adapted certain operations to meet the growing needs of the community.

Benavente said that, with Gov. Ralph DLG Torres’ support, federal partners’ guidance, and the community’s cooperation, Labor has been able to build the CNMI’s first unemployment insurance program in the short span of just three months—from the time the CARES Act was enacted to the time they received federal funding and launched the two programs.

Not only has Labor complied with all federal mandates and frequent reporting requirements, but U.S. Labor itself has applauded the CNMI’s implementation and management of these programs, Benavente pointed out.

She said despite the complications of these new programs, Labor has achieved great successes in adjudicating thousands of claims, disbursing millions of dollars into the CNMI’s depressed economy, and preventing potential CNMI’s liability for millions in fraudulent claims.

She said Labor received 36,898 unemployment claims, of which 18,896 claims fall under the jurisdiction of the CNMI PUA program.

The Secretary added that there were 18,002 claims identified as belonging to other U.S. states and territories and therefore outside of the CNMI PUA program’s jurisdiction, and flagged for further investigation as possible fraudulent cases.

To date, she said, PUA staff have received 10,431 emails and responded to 10,500 telephone calls.

Benavente said in consideration of the ongoing federal oversight and Labor’s accomplishments, it should be clear that allegations of inaction or misconduct are not warranted.

“Please know, we are not removed or apathetic to the needs of our community,” Benavente told the House minority members.

The lawmakers told Benavente that they are hoping that the feedback is helpful in improving the management and implementation of this program.

The lawmakers believe that an independent audit of the system is warranted to identify and resolve the issues that are causing errors, delays, and frustration, especially as thousands of people still await full payments of their unemployment benefits.