The resolution declares an emergency regarding the need to amend the Universal Paid Leave Amendment Act of 2016 and the Insurance Trade and Economic Development Amendment Act of 2000. The amendments aim to prevent private market short-term disability benefits from being reduced based on the paid leave benefits an individual may receive from the District, regardless of where the insurance policy was issued. This is in response to reports that some insurance companies have been offsetting short-term disability benefits by the amount of Universal Paid Leave (UPL) benefits, which undermines the intent of the UPL program and can leave workers without adequate financial support during their leave.
The resolution emphasizes the importance of ensuring that District workers can access both UPL and short-term disability benefits without one affecting the other. It highlights the need for the Department of Insurance, Securities, and Banking (DISB) to have the authority to enforce these protections, even for policies issued outside the District. The current temporary measure protecting these benefits is set to expire on May 1, 2025, prompting the Council to take immediate action to enact emergency legislation while a permanent solution is being developed.