7100 Employment Development Department
Major Program Changes
  • Unemployment Insurance Interest Payment - The Governor's Budget includes $362.3 million General Fund to make an interest payment on funds borrowed from the federal government to pay California's unemployment insurance benefits without interruption. The Budget also authorizes a loan from the Unemployment Compensation Disability Fund to pay for this interest expense. The loan will be repaid by the General Fund over the next four fiscal years.

  • Automated Collection Enhancement System - The Governor's Budget includes $21.9 million ($19.5 million General Fund) for continuation of the EDD's Automated Collection Enhancement System (ACES). These funds include an estimated vendor payment of $18.7 million. The ACES will improve the EDD's ability to track, collect, and audit the payment of specified employer payroll taxes, including the personal income tax witholding. The ACES solution is anticipated to increase General Fund revenue by $27 million in 2011-12.

  • Disability Insurance Automation Project - The Governor's Budget includes $38.9 million Unemployment Compensation Disability Fund for the sixth year of the EDD's Disability Insurance Automation Project, which will allow claimants, medical providers, and employers to use the Internet to submit claims data. The system is expected to be implemented in 2011-12.

  • October Revise - The Governor's Budget decreases disability insurance benefit payments by $171.2 million and does not change the estimate for unemployment insurance benefit payments.