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US Labor Department Critical Of Indiana Unemployment System
Updated May 5, 2013 12:06 AM | Filed under: Network Indiana
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(UNDATED) - A federal government report critical of how Indiana has administered unemployment benefits may throw a new twist into legislators' attempts to agree on a way to fix the bankrupt trust fund.

The Labor Department ordered Indiana to terminate a contract with Ivy Tech it says was improperly awarded, and criticized the state for not checking a federal database to see if benefit recipients have landed new jobs.

House Speaker Patrick Bauer says that casts doubt on senate Republicans' call to tighten some loopholes in who receives benefits.

Minority Leader Brian Bosma says he hasn't seen the report, but says the GOP wants to cut off people who shouldn't be getting benefits, such as workers fired for misconduct or seasonal workers who aren't really unemployed.

House and Senate negotiators began formal discussions this week on the shape of a final bill.

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