The Stop Unemployment Fraud Act is designed to crack down on people fraudulently collecting unemployment benefits by requiring stricter verification procedures and better data sharing between government agencies. Here's what it does: First, it requires states to verify that people applying for unemployment benefits are who they claim to be by checking government-issued ID and supporting documents like utility bills or lease agreements. Second, it requires states to cross-check unemployment claims against databases of newly hired workers, incarcerated individuals, and deceased people to catch people who shouldn't be receiving benefits. Third, it changes how benefits are paid out—instead of paying first and checking eligibility later, states must verify eligibility before sending money. Fourth, it strengthens the requirement that people actively search for work by having them document their job search efforts and submit those records weekly to the state. Finally, it allows states to keep a small portion (up to 5%) of money they recover from overpayments and fraudulent claims to fund anti-fraud efforts and modernize their unemployment systems. The bill gives states two years to implement these changes, and the Department of Labor will write detailed rules about how identity verification and work search requirements should work.