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Code of Virginia
Title 60.2. Unemployment Compensation
Chapter 1. General Provisions and Administration
12/9/2024

Article 2. Administration.

§ 60.2-108. The Commission; appointment, term of office and compensation of Commissioner.

The Virginia Employment Commission shall consist of one Commissioner, who shall be appointed by the Governor for a term of four years, subject to confirmation by the General Assembly, if in session when such appointment is made, and if not in session, then at its next succeeding session. Appointments to fill vacancies shall be for the unexpired terms. The Commissioner may be suspended or removed by the Governor at his pleasure, and he shall receive such compensation as may be provided in accordance with law.

Code 1950, § 60-26; 1960, c. 136; 1968, c. 738, § 60.1-31; 1986, c. 480.

§ 60.2-109. Bond of Commissioner.

The Commissioner shall be bonded in accordance with § 2.2-1840, conditioned upon the faithful discharge of his duties.

Code 1950, § 60-27; 1968, c. 738, § 60.1-32; 1986, c. 480; 2021, Sp. Sess. I, c. 152.

§ 60.2-110. Repealed.

Repealed by Acts 2023, cc. 624 and 625, cl. 2, effective July 1, 2023

§ 60.2-111. Duties and powers of Commission; reporting requirements.

A. It shall be the duty of the Commission to administer this title. The Commission may establish separate divisions as necessary to carry out the duties and powers prescribed by this section. It shall have power and authority to adopt, amend, or rescind such rules and regulations, to employ such persons, make such expenditures, require such reports, make such investigations, and take such other action, including the appointment of advisory groups, as it deems necessary or suitable to that end. Such rules and regulations shall be subject to the provisions of Chapter 40 (§ 2.2-4000 et seq.) of Title 2.2, except as to the subject matter of subdivisions 2 and 3 of § 60.2-515, which shall become effective in the manner prescribed by § 2.2-4103. The Commission shall determine its own organization and methods of procedure in accordance with provisions of this title, and shall have an official seal which shall be judicially noticed. In the discharge of the duties imposed by this title, the Commissioner shall have the authority to authorize any attorney employed by the Commission to have the power to issue subpoenas to compel the attendance of witnesses and the production of books, papers, correspondence, memoranda, and other records deemed necessary as evidence in connection with the investigation or adjudication of any disputed claim or the administration of this title. Any party who disputes such subpoena may file a motion to quash any subpoena issued pursuant to this section prior to the date production is required in a miscellaneous action in a circuit court for which such motion shall be given priority on the docket.

B. The Commission shall take all necessary steps to maintain a solvent trust fund financed through equitable employer taxes that provides temporary partial income replacement to involuntarily unemployed covered workers.

C. The Commission shall prepare an annual balance sheet of the moneys in the fund and in the Unemployment Trust Fund to the credit of the Commonwealth in which there shall be provided, if possible, a reserve against the liability in future years to pay benefits in excess of the then-current taxes. That reserve shall be set up by the Commission in accordance with accepted actuarial principles on the basis of statistics of employment, business activity, and other relevant factors for the longest possible period. Whenever the Commission believes that a change in tax or benefit rates is necessary to protect the solvency of the Fund, it shall promptly so inform the Governor and the General Assembly and make recommendations with respect thereto.

D. In preparing the annual balance sheet required by subsection C, the Commission shall regularly track metrics related to unemployment insurance benefits, establish a mechanism to help assess the adequacy of benefits, and examine metrics related to recipiency, average benefit levels, and benefit income replacement ratios. The annual balance sheet shall include the following calculations: (i) the average unemployment insurance benefit levels, (ii) the average income replacement of unemployment insurance benefits, and (iii) the recipiency rate for unemployment insurance benefits in the Commonwealth.

E. The Commission, as part of its biennial strategic plan submitted to the Department of Planning and Budget, shall develop and maintain a comprehensive unemployment insurance Resiliency Plan that describes specific actions the Commission will take, depending on the level of increase in unemployment insurance (UI) claims, to address staffing, communications, and other relevant aspects of operations to ensure continued efficient and effective administration of the UI program. The Resiliency Plan shall include proposed actions consistent with the following objectives to effectively prepare for periods of high unemployment:

1. Develop specific strategies or steps the Commission will take to modify staffing levels in response to incidents that increase UI program demand. These strategies or steps shall (i) include a staffing plan for varying levels of UI workload volume, (ii) cover several scenarios that may affect UI assistance services, (iii) explain how existing staff would be reallocated to high-priority functions in response to high demand, and (iv) describe how the Commission's hiring process will be streamlined to fill key vacant positions such as adjudication and appeals staff.

2. Develop specific strategies or steps the Commission will take to modify policies, procedures, or processes in response to high demands on its services.

3. Outline a strategy for clearly communicating key UI program changes to customers. This strategy shall indicate which staff will be responsible for different types of communications and include several communications goals, such as clearly conveying UI program and policy changes.

4. Outline a strategy for clearly communicating important UI information to Commission staff, the public, and the General Assembly.

5. Formalize a policy for prioritizing and assigning claims for adjudication during periods of high claims volume. This policy shall detail how prioritization may change in response to claims volume and state that the policy of the Commission is to generally prioritize resolving older claims before newer claims.

6. Identify other tactical actions to be taken to ensure the continuity of UI claims processing and customer service.

Code 1950, § 60-29; 1968, c. 738, § 60.1-34; 1977, c. 445; 1984, c. 734; 1986, c. 480; 2022, cc. 716, 754; 2023, cc. 102, 103, 624, 625.

§ 60.2-112. Repealed.

Repealed by Acts 1999, cc. 840 and 855.

§ 60.2-113. Repealed.

Repealed by Acts 2023, cc. 624 and 625, cl. 2, effective July 1, 2023

§ 60.2-113.1. Repealed.

Repealed by Acts 2023, cc. 624 and 625, cl. 2, effective July 1, 2023

§ 60.2-114. Records and reports.

A. Each employing unit shall keep true and accurate work records, containing such information as the Commission may prescribe. Such records shall be open to inspection and be subject to being copied by the Commission or its authorized representatives at any reasonable time and as often as may be necessary. The Commission may require from any employing unit any sworn or unsworn reports, with respect to persons employed by it, which the Commission deems necessary for the effective administration of this title. Information thus obtained shall not be published or be open to public inspection, other than to public employees in the performance of their public duties, in any manner revealing the employing unit's identity, except as the Commissioner or his delegates deem appropriate, nor shall such information be used in any judicial or administrative proceeding other than one arising out of the provisions of this title; however, the Commission shall make its records about a claimant available to the Workers' Compensation Commission if it requests such records. However, any claimant at a hearing before an appeal tribunal or the Commission shall be supplied with information from such records to the extent necessary for the proper presentation of his claim. Notwithstanding other provisions of this section, the Commissioner, or his delegate, may, in his discretion, reveal information when such communication is not inconsistent with the proper administration of this title.

B. Notwithstanding the provisions of subsection A, the Commission shall, on a reimbursable basis, furnish wage and unemployment compensation information contained in its records to the Secretary of Health and Human Services and the Division of Child Support Enforcement of the Department of Social Services for their use as necessary for the purposes of the National Directory of New Hires established under § 453(i) of the Social Security Act.

C. Notwithstanding the provisions of subsection A, the Commission shall, upon written request, furnish:

1. Any agency or political subdivision of the Commonwealth, or its designated agent, such information as it may require for the purpose of collecting fines, penalties, and costs owed to the Commonwealth or its political subdivisions. Such information shall not be published or used in any administrative or judicial proceeding, except in matters arising out of the collection of fines, penalties, and costs owed to the Commonwealth or its political subdivisions;

2. The Virginia Economic Development Partnership Authority such information as it may require to facilitate the administration and enforcement by the Authority of performance agreements with businesses that have received incentive awards. Any information provided to the Authority under this subdivision shall be confidential pursuant to 20 C.F.R. Part 603 and shall only be disclosed to members of the Authority who are public officials or employees of the Authority for the performance of their official duties. No public official or employee shall redisclose any confidential information obtained pursuant to this subdivision to nonlegislative citizen members of the Authority or to the public. Any information so provided shall be used by the Authority solely for the purpose of verifying employment and wage claims of those businesses that have received incentive awards;

3. (Expires July 1, 2027) An arresting official such information as he may require to comply with the provisions of § 19.2-83.1. Such information shall not be published or used in any administrative or judicial proceeding; and

4. The Virginia Port Authority such information as it may require to facilitate the administration and enforcement by the Authority of performance agreements with businesses that have received incentive awards. Any information provided to the Authority under this subdivision shall be confidential pursuant to 20 C.F.R. Part 603 and shall only be disclosed to members of the Authority who are public officials or employees of the Authority for the performance of their official duties. No public official or employee shall redisclose any confidential information obtained pursuant to this subdivision to nonlegislative citizen members of the Authority or to the public. Any information so provided shall be used by the Authority solely for the purpose of verifying employment and wage claims of those businesses that have received incentive awards.

D. Each employing unit shall report to the Virginia New Hire Reporting Center the employment of any newly hired employee in compliance with § 63.2-1946.

E. Any member or employee of the Commission and any member, employee, or agent of any agency or political subdivision of the Commonwealth who violates any provision of this section shall be guilty of a Class 2 misdemeanor.

Code 1950, § 60-35; 1968, c. 738, § 60.1-40; 1972, c. 764; 1986, c. 480; 1988, c. 766; 1993, cc. 246, 806; 1996, c. 220; 1997, c. 385; 1998, cc. 91, 108, 745; 2003, c. 721; 2013, c. 329; 2017, cc. 804, 824; 2023, cc. 282, 283; 2024, c. 215.

§ 60.2-114.01. Furnishing information to consumer reporting agencies.

A. Notwithstanding the provisions of subsection A of § 60.2-114, the Commission shall be authorized to enter into agreements with any consumer reporting agency pursuant to which the consumer reporting agency is provided secure electronic access to information contained in quarterly wage reports submitted to the Commission by employing units, as set forth in this section.

B. The Commission shall:

1. Establish minimum audit, security, net worth, and liability insurance standards, technological requirements, and any other terms and conditions deemed necessary in the discretion of the Commission to safeguard the confidentiality of the information and to otherwise serve the public interest;

2. Require a contracting consumer reporting agency to pay all costs associated with the establishment or maintenance of the access to information provided for by this section, including but not limited to the costs of any audits of the consumer reporting agency or users by the Commission;

3. Be authorized to cancel any contract authorized by this section if the consumer reporting agency fails to comply with any requirement of this section or of the contract;

4. Be authorized to provide to a consumer reporting agency only information regarding the amount of wages for an individual reported by each employing unit, with the employing unit's name and address, as may be further specified in the terms of the contract; and

5. Deposit any fees received by the Commission from a consumer reporting agency pursuant to this section into the state treasury for credit to the Special Unemployment Compensation Administration Fund pursuant to § 60.2-314.

C. The consumer reporting agency shall:

1. Require that any user of the information shall, prior to obtaining the wage report information, obtain a written consent from the individual to whom that wage report information pertains. The written consent shall prominently contain language specifying the following:

a. The individual's consent to the Commission's disclosure of the wage report information is voluntary, and the individual's refusal to consent to the disclosure of wage information shall not be the basis for the denial of credit;

b. If the consent is granted, the information shall be released to specified parties;

c. Authorization by the individual is necessary for the release of wage and employment history information;

d. The specific application or transaction that constitutes the sole purpose for which the release is made;

e. That Commission files containing wage and employment history information submitted by employers may be accessed; and

f. The identity and address of parties authorized to receive the released information.

2. Require the use of the information only for purposes permitted under § 604 of the federal Fair Credit Reporting Act, 15 U.S.C. § 1681b; and

3. Require that the information released shall be used only to verify the accuracy of the wage or employment information previously provided by an individual in connection with a specific transaction, to satisfy the user's standard underwriting requirements or those imposed upon the user, and to satisfy the user's obligations under applicable state or federal fair credit reporting laws.

D. In addition to any limitation on the use or release of the wage reporting information set forth in this section, release and use of the information shall be subject to the privacy laws of the Commonwealth and the federal Fair Credit Reporting Act.

E. Except in cases of willful and malicious misconduct, the Commission and its employees shall be immune from any liability in connection with information provided under this section, including but not limited to liability with regard to the accuracy or use of the information.

F. An annual audit of a contracted consumer reporting agency shall be conducted by an independent certified public accountant to ensure compliance with the provisions of this section, and such audit shall be reviewed by the Auditor of Public Accounts.

G. For the purposes of this section, "consumer reporting agency" has the meaning assigned by § 603(f) of the Fair Credit Reporting Act, 15 U.S.C. § 1681a (f).

2005, c. 944.

§ 60.2-114.1. Repealed.

Repealed by Act 2018, c. 457, cl. 1.

§ 60.2-115. State-federal cooperation.

A. In the administration of this title, the Commission shall cooperate with the United States Department of Labor to the fullest extent consistent with the provisions of this title. The Commission shall make such reports, in such form and containing such information as the United States Department of Labor may require, and shall comply with such provisions as the United States Department of Labor may find necessary to assure the correctness and verification of such reports. The Commission shall take such action, through the adoption of appropriate rules, regulations, administrative methods and standards, as may be necessary to secure to this Commonwealth and its citizens all advantages available under the provisions of the Social Security Act that relate to unemployment compensation, the Federal Unemployment Tax Act, the Wagner-Peyser Act (29 U.S.C. § 49 et seq.), and the Federal-State Extended Unemployment Compensation Act (See notes following 26 U.S.C. § 3304).

B. In the administration of the provisions in §§ 60.2-610 and 60.2-611, which are enacted to conform with the requirements of the Federal-State Extended Unemployment Compensation Act (See notes following 26 U.S.C. § 3304), the Commission shall take such action as may be necessary (i) to ensure that the provisions are so interpreted and applied as to meet the requirements of such federal act as interpreted by the United States Department of Labor, and (ii) to secure to this Commonwealth the full reimbursement of the federal share of extended benefits paid under this title that are reimbursable under the federal act.

C. The Commission shall further make its records available to the Railroad Retirement Board and shall furnish to the Railroad Retirement Board at the expense of the Railroad Retirement Board, such copies thereof as the Board shall deem necessary for its purposes in accordance with the provisions of § 303 (c) of the Social Security Act (42 U.S.C. § 503 (c)).

D. The Commission shall afford reasonable cooperation with every agency of the United States charged with the administration of any unemployment insurance law.

E. Upon request therefor, the Commission shall furnish to any agency of the United States charged with the administration of public works or assistance through public employment, the name, address, ordinary occupation, and employment status of each recipient of benefits and such recipient's rights to further benefits under this title.

Code 1950, § 60-39; 1956, c. 440; 1968, c. 738, § 60.1-44; 1971, Ex. Sess., c. 235; 1986, c. 480.

§ 60.2-116. Reciprocal agreements.

A. Subject to the approval of the Governor, the Commission is hereby authorized to enter into arrangements with the appropriate agencies of other states or the federal government whereby individuals performing services in this and other states for a single employing unit under circumstances not specifically provided for in §§ 60.2-212 through 60.2-219, or under similar provisions in the unemployment compensation laws of such other states, shall be deemed to be engaged in employment performed entirely within this Commonwealth or within one of such other states. Such arrangements may set forth terms whereby the potential right to benefits accumulated under the unemployment compensation laws of one or more states or under such a law of the federal government, or both, may constitute the basis for the payment of benefits through a single appropriate agency of any state under terms which the Commission finds will be fair and reasonable as to all affected interests and will not result in any substantial loss to the fund.

B. Subject to the approval of the Governor, the Commission is also authorized to enter into arrangements with the appropriate agencies of other states or of the federal government:

1. a. Whereby wages or services, upon the basis of which an individual may become entitled to benefits under the unemployment compensation law of another state or of the federal government, shall be deemed to be wages for employment by employers for the purposes of §§ 60.2-602, 60.2-606, 60.2-607, 60.2-609, 60.2-610, 60.2-611, subdivision A 1 of § 60.2-612 and §§ 60.2-614 through 60.2-617, provided such other state agency or agency of the federal government has agreed to reimburse the fund for such portion of benefits paid under this title upon the basis of such wages or services as the Commission finds will be fair and reasonable as to all affected interests; and

b. Whereby the Commission will reimburse other state or federal agencies charged with the administration of unemployment compensation laws with such reasonable portion of benefits, paid under the law of any such other states or of the federal government upon the basis of employment or wages for employment by employers, as the Commission finds will be fair and reasonable as to all affected interests.

2. Reimbursements so payable under subdivision 1 b of this subsection shall be deemed to be benefits for the purposes of §§ 60.2-300 through 60.2-304, but no reimbursement so payable shall be charged against any employer's account for the purposes of §§ 60.2-526 through 60.2-531. The Commission is hereby authorized to make to other state or federal agencies and receive from such other state or federal agencies, reimbursements from or to the fund, in accordance with arrangements pursuant to this section.

C. Subject to the approval of the Governor, the Commission is also authorized to enter into arrangements with the appropriate agencies of other states or of the federal government:

1. Whereby the Commission may deduct, in accordance with the provisions of § 60.2-633, from unemployment benefits otherwise payable to an individual an amount equal to any overpayment made to such individual under an unemployment benefit program of the United States or of any other state, and not previously recovered. The amount so deducted shall be paid to the jurisdiction under whose program such overpayment was made and in accordance with the arrangement between the Commission and the jurisdiction.

2. Whereby the United States agrees to allow the Commission to recover from unemployment benefits otherwise payable to an individual under an unemployment benefit program of the United States any overpayments made by the Commission to such individual under this title and not previously recovered, in accordance with the same procedures that apply under subdivision 1 of this subsection.

3. The amendments made by this subsection shall apply to recoveries made on or after July 1, 1987, and shall apply with respect to overpayments made before, on, or after such date.

Code 1950, § 60-40; 1968, c. 738, § 60.1-45; 1986, c. 480; 1987, c. 113; 2022, c. 668.

§ 60.2-117. Use of collections in financing administrative expenditures.

If § 303 (a) (5) of Title III of the Social Security Act (42 U.S.C. § 503 (a) (5)) and § 3304 (a) (4) of the Internal Revenue Code (26 U.S.C.) are amended to permit a state agency to use, in partial or complete substitution for grants under such Title III, for financing administrative expenditures incurred in carrying out its employment security functions, some part of the moneys collected or to be collected under the state unemployment compensation law, this title shall, by Commission proclamation and rules to be issued with the Governor's approval, be modified in the manner and to the extent and within the limits necessary to permit such use by the Commission under this title. Such modifications shall become effective on the same date as such use becomes permissible under such federal amendments.

Code 1950, § 60-64; 1956, c. 440; 1968, c. 738, § 60.1-76; 1986, c. 480.

§ 60.2-118. Civil action to enforce title; actions on behalf of other states.

A. In any civil action to enforce the provisions of this title the Commission and the Commonwealth may be represented by the Office of the Attorney General.

B. The Office of the Attorney General may commence actions in this Commonwealth as agent for, or on behalf of, any other state:

1. To enforce judgments and liability for unemployment insurance taxes due such other state; or

2. To collect unemployment benefit overpayments of such state if such state extends like comity to this Commonwealth.

C. Venue for such actions shall be the same as for actions to enforce the provisions of this title.

Code 1950, § 60-109; 1968, c. 738, § 60.1-126; 1972, c. 764; 1977, c. 445; 1986, c. 480.

§ 60.2-119. Criminal cases.

All criminal actions for violation of any provision of this title, or of any rules or regulations issued pursuant to this title, shall be prosecuted by the attorney for the Commonwealth of the county or city in which the offense, or a part thereof, was committed, except that the offense set out in § 60.2-518 or 60.2-632 shall be deemed to be committed and venue for the prosecution shall lie in the county or city wherein the statement, representation, or nondisclosure originates or, alternatively, is received by the Commission. However, if a defendant resides in this Commonwealth and the courthouse of the county or city in which he resides is more than 100 miles from the City of Richmond, venue for such prosecution shall lie in the city or county where he resides, and the offense shall be prosecuted by the attorney for the Commonwealth for the city or county where the defendant resides. If, in the opinion of the Commission, the prosecution should be conducted by the Office of the Attorney General, that office, upon the request of the Commission, shall have authority to conduct or supervise such prosecution.

Code 1950, § 60-110; 1968, c. 738, § 60.1-127; 1972, c. 764; 1980, c. 674; 1986, c. 480; 2005, c. 105; 2023, cc. 82, 83.

§ 60.2-120. Reimbursement of expenses of Office of Attorney General.

The compensation of the assistant attorneys general, together with their proper expenses incurred in the performance of their duties, shall be chargeable as administrative expense of the Commission and paid in the manner in which the compensation and expenses of employees of the Commission are paid.

Code 1950, § 60-111; 1968, c. 738, § 60.1-128; 1986, c. 480.

§ 60.2-121. Violation of title or rule or regulation.

Any person who willfully violates any provision of this title or any valid rule or regulation promulgated pursuant to it, for which a penalty is not provided, shall be guilty of a Class 1 misdemeanor. Each day that such violation continues shall be deemed to be a separate offense.

Code 1950, § 60-114; 1968, c. 738, § 60.1-131; 1986, c. 480.

§ 60.2-121.1. Communications with parties.

In any action commenced under this title, the Commission may, if the party elects, send notices and other communications to such party through email or other electronic means. The Commission shall allow any party to change its election regarding receiving communications through electronic means. If an electronic notice is not successfully transmitted through electronic means, the Commission shall send a new notice by first-class mail to the party's alternative address on record.

2021, Sp. Sess. I, c. 290.

§ 60.2-121.2. Electronic submission of information; payments.

A. Each employer subject to the provisions of this title shall submit claim-related forms, including separation information, using an electronic format as prescribed by the Commission, unless the employer has been granted a waiver by the Commission. An employer shall submit any other information related to a claim, as defined in § 60.2-528.1, at any time when requested by the Commission, to the Commission by electronic means, unless the employer has been granted a waiver by the Commission. The Commission may also require, at any time, that an employer submit unemployment insurance tax payments electronically, unless the employer has been granted a waiver by the Commission.

B. The Commission may grant a waiver to an employer from providing information or payments electronically pursuant to this section at any time. The Commission may grant a waiver only if the Commission finds that the electronic submission requirement creates an unreasonable burden on the employer. All requests for a waiver shall be submitted in writing.

2022, cc. 716, 754.

§ 60.2-121.3. Unemployment Compensation Ombudsman; established; responsibilities.

A. The Commission shall create the Office of the Unemployment Compensation Ombudsman (the Office) and shall appoint an Unemployment Compensation Ombudsman to head the Office. The Unemployment Compensation Ombudsman shall provide neutral educational information and assistance to, shall protect the interests of, and shall ensure that due process is afforded to all persons seeking assistance in (i) appeals proceedings brought pursuant to Chapter 6 (§ 60.2-600 et seq.) and (ii) any other matter related to unemployment compensation under this title. Subject to annual appropriations, the Unemployment Compensation Ombudsman shall employ sufficient personnel to carry out the duties and powers prescribed by this section. The Unemployment Compensation Ombudsman and personnel of the Office shall carry out their duties with impartiality and shall not serve as an advocate for any person or provide legal advice.

B. The Unemployment Compensation Ombudsman shall maintain data on inquiries received related to the unemployment compensation process, the types of assistance requested, and actions taken and the disposition of each such matter. The Unemployment Compensation Ombudsman shall report information summarizing this data, including outcomes of individual cases, without disclosing individual-level identifying data, to the Commission at least once annually. The Unemployment Compensation Ombudsman shall carry out any additional activities as the Commission determines to be appropriate.

C. All memoranda, work products, and other materials contained in the case files of the Unemployment Compensation Ombudsman and personnel of the Office shall be confidential. Any communication between the Unemployment Compensation Ombudsman and personnel of the Office and a person receiving assistance that is made during or in connection with the provision of services of the Unemployment Compensation Ombudsman and personnel of the Office shall be confidential. Confidential materials and communications shall not be subject to disclosure and shall not be admissible in any judicial or administrative proceeding except where (i) a threat to inflict bodily injury is made; (ii) communications are intentionally used to plan, attempt to commit, or commit a crime or conceal an ongoing crime; (iii) a complaint is made against the Unemployment Compensation Ombudsman or personnel of the Office by a person receiving assistance to the extent necessary for the complainant to prove misconduct or the Unemployment Compensation Ombudsman or personnel of the Office to defend against such complaint; or (iv) communications are sought or offered to prove or disprove a claim or complaint of misconduct or malpractice filed against the legal representative of a person who received assistance from the Unemployment Compensation Ombudsman or personnel of the Office. Confidential materials and communications as described in this section are not subject to mandatory disclosure under the Virginia Freedom of Information Act (§ 2.2-3700 et seq.).

D. The Unemployment Compensation Ombudsman and personnel of the Office shall be immune from civil liability in their performance of the duties specified in this section.

2022, cc. 716, 754.