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SB373 Alabama 2021 Session

Updated Feb 26, 2026
Notable

Summary

Primary Sponsor
Arthur Orr
Arthur OrrSenator
Republican
Session
Regular Session 2021
Title
Labor Dept., adoption of policies to recover improper overpayments of unemployment benefits
Summary

The bill strengthens Alabama's unemployment program by detecting fraud, verifying eligibility, and recovering improper benefit overpayments.

What This Bill Does

It requires the Alabama Department of Labor to adopt policies to recover improper unemployment benefit overpayments to the fullest extent allowed by law. It requires weekly checks of unemployment rolls against inmate lists and new hire records, uses the Integrity Data Hub, and cooperates with the U.S. Department of Labor's Office of Inspector General to detect fraud. It allows information sharing with other agencies, requires case reviews if circumstances change, and imposes an annual report to the Legislature on fraud prevention and recovery results, with the law taking effect January 1, 2022.

Who It Affects
  • Unemployment benefit recipients in Alabama may be subject to closer scrutiny and potential recovery of any improper overpayments identified through the enhanced verification and fraud-detection processes.
  • The Alabama Department of Labor and its partner agencies (including the U.S. DOL Office of Inspector General and other data-sharing entities) will implement new policies, perform weekly data checks, and produce annual reports.
Key Provisions
  • Internal policies to recover improper unemployment benefit overpayments to the fullest extent allowed by law, with records of any recovery exceptions.
  • Weekly program integrity checks, including comparing unemployment rolls with incarcerated lists and new hires (NDNH), using the Integrity Data Hub, forming MOUs for information sharing, partnering with the US DOL Office of Inspector General to detect fraud, reviewing cases when eligibility may change, and annually reporting to the Legislature on fraud detection and recovery, with an effective date of January 1, 2022.
AI-generated summary using openai/gpt-5-nano on Feb 23, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects
WelfareUnemployment Compensation

Bill Actions

S

Assigned Act No. 2021-398.

S

Enrolled

H

Signature Requested

S

Passed Second House

H

Motion to Read a Third Time and Pass adopted Roll Call 1102

H

Third Reading Passed

H

Read for the second time and placed on the calendar

H

Read for the first time and referred to the House of Representatives committee on Fiscal Responsibility

S

Motion to Read a Third Time and Pass adopted Roll Call 918

S

Third Reading Passed

S

Read for the first time and referred to the Senate committee on Fiscal Responsibility and Economic Development

Bill Text

Votes

SBIR: Orr motion to Adopt Roll Call 917

April 13, 2021 Senate Passed
Yes 19
Absent 15

Motion to Read a Third Time and Pass Roll Call 918

April 13, 2021 Senate Passed
Yes 19
Absent 15

HBIR: Marques motion to Adopt Roll Call 1101

April 29, 2021 House Passed
Yes 96
No 1
Abstained 1
Absent 5

Motion to Read a Third Time and Pass Roll Call 1102

April 29, 2021 House Passed
Yes 96
No 1
Abstained 2
Absent 4

Documents

Source: Alabama Legislature