Skip to main content Skip to office menu Skip to footer
Capital IconMinnesota Legislature

SF 2369

2nd Engrossment - 93rd Legislature (2023 - 2024) Posted on 05/31/2023 08:12am

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - 2nd Engrossment

Line numbers 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10
1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21
1.22
2.1 2.2 2.3 2.4
2.5 2.6 2.7 2.8
2.9 2.10 2.11 2.12 2.13 2.14 2.15 2.16 2.17 2.18 2.19 2.20 2.21 2.22 2.23 2.24 2.25 2.26 2.27 2.28 2.29 2.30 2.31
3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12 3.13 3.14 3.15 3.16 3.17 3.18 3.19 3.20 3.21 3.22 3.23 3.24 3.25 3.26 3.27 3.28 3.29 3.30 3.31 3.32 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 4.9 4.10 4.11 4.12 4.13
4.14 4.15 4.16 4.17 4.18 4.19 4.20 4.21 4.22 4.23 4.24 4.25 4.26 4.27 4.28 4.29 4.30 4.31 5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 5.9 5.10 5.11 5.12 5.13 5.14 5.15 5.16 5.17 5.18 5.19 5.20 5.21 5.22 5.23 5.24 5.25 5.26 5.27 5.28 5.29 5.30 5.31 6.1 6.2 6.3 6.4 6.5
6.6 6.7 6.8 6.9 6.10 6.11 6.12 6.13 6.14 6.15 6.16 6.17 6.18
6.19 6.20
6.21 6.22 6.23 6.24 6.25 6.26 6.27 6.28 6.29 6.30 6.31 7.1 7.2 7.3 7.4 7.5 7.6 7.7 7.8
7.9 7.10
7.11 7.12 7.13 7.14 7.15 7.16 7.17
7.18 7.19
7.20 7.21 7.22 7.23 7.24 7.25 7.26 7.27
7.28 7.29
8.1 8.2 8.3 8.4 8.5 8.6 8.7 8.8 8.9 8.10 8.11 8.12 8.13 8.14 8.15 8.16 8.17 8.18 8.19 8.20 8.21 8.22 8.23 8.24 8.25 8.26 8.27
8.28 8.29
8.30 8.31 8.32 9.1 9.2 9.3 9.4
9.5 9.6
9.7 9.8 9.9 9.10 9.11 9.12
9.13 9.14
9.15 9.16 9.17 9.18 9.19 9.20 9.21 9.22 9.23 9.24 9.25
9.26 9.27 9.28 9.29 9.30 9.31 9.32 10.1 10.2 10.3 10.4 10.5 10.6 10.7 10.8 10.9 10.10 10.11 10.12 10.13 10.14 10.15 10.16 10.17 10.18 10.19 10.20 10.21 10.22 10.23 10.24 10.25 10.26 10.27 10.28 10.29 10.30 10.31 11.1 11.2 11.3 11.4 11.5 11.6 11.7 11.8 11.9 11.10 11.11 11.12 11.13 11.14
11.15 11.16
11.17 11.18 11.19 11.20 11.21 11.22 11.23 11.24
11.25 11.26
11.27 11.28 11.29 11.30 11.31 11.32 12.1 12.2 12.3 12.4 12.5 12.6 12.7 12.8 12.9 12.10 12.11 12.12 12.13 12.14 12.15
12.16 12.17
12.18 12.19 12.20 12.21 12.22 12.23 12.24 12.25 12.26 12.27 12.28 12.29 12.30 12.31 12.32 13.1 13.2 13.3 13.4 13.5 13.6 13.7 13.8 13.9 13.10 13.11 13.12 13.13 13.14 13.15 13.16 13.17 13.18 13.19 13.20 13.21 13.22 13.23 13.24 13.25 13.26 13.27 13.28 13.29 13.30 13.31 13.32 14.1 14.2 14.3 14.4 14.5 14.6 14.7 14.8 14.9 14.10 14.11 14.12 14.13 14.14 14.15 14.16 14.17
14.18 14.19
14.20 14.21 14.22 14.23 14.24 14.25 14.26 14.27 14.28 14.29 14.30 14.31 14.32 15.1 15.2
15.3 15.4
15.5 15.6 15.7 15.8 15.9 15.10 15.11 15.12 15.13 15.14 15.15 15.16 15.17 15.18 15.19 15.20 15.21 15.22 15.23 15.24 15.25 15.26 15.27 15.28 15.29 15.30 15.31 15.32 16.1 16.2 16.3
16.4 16.5
16.6 16.7 16.8 16.9 16.10 16.11 16.12 16.13 16.14 16.15 16.16 16.17 16.18 16.19 16.20 16.21 16.22 16.23 16.24 16.25 16.26
16.27 16.28
17.1 17.2 17.3 17.4 17.5 17.6 17.7 17.8 17.9 17.10 17.11 17.12 17.13
17.14 17.15
17.16 17.17 17.18 17.19 17.20 17.21 17.22 17.23 17.24 17.25 17.26 17.27 17.28 17.29 17.30 17.31 18.1 18.2 18.3 18.4 18.5 18.6 18.7 18.8 18.9 18.10 18.11 18.12 18.13
18.14 18.15
18.16 18.17 18.18 18.19 18.20 18.21 18.22 18.23 18.24 18.25 18.26 18.27 18.28 18.29 18.30 18.31 18.32 19.1 19.2 19.3 19.4 19.5
19.6 19.7
19.8 19.9 19.10 19.11 19.12 19.13 19.14 19.15 19.16 19.17 19.18 19.19 19.20 19.21 19.22 19.23 19.24 19.25 19.26 19.27 19.28 19.29 19.30 19.31 20.1 20.2 20.3 20.4 20.5 20.6 20.7
20.8
20.9 20.10 20.11 20.12 20.13 20.14 20.15 20.16 20.17 20.18
20.19

A bill for an act
relating to economic development; modifying economic development policy
provisions; creating an account; modifying unemployment appeal periods; amending
Minnesota Statutes 2022, sections 116J.552, subdivisions 4, 6; 116L.04, subdivision
1a; 116L.17, subdivision 1; 116U.25; 268.043; 268.051, subdivision 6; 268.053,
subdivision 2; 268.0625, subdivision 4; 268.063; 268.064, subdivision 2; 268.065,
subdivision 3; 268.07, subdivision 3a; 268.101, subdivisions 2, 4; 268.105,
subdivisions 1a, 2, 3, 7; 268.18, subdivision 2; 268.183; 268.184, subdivisions 1,
1a; proposing coding for new law in Minnesota Statutes, chapters 116J; 298.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [116J.015] LEGISLATIVE REVIEW; EXPIRATION OF REPORT
MANDATES.
new text end

new text begin The commissioner shall submit to the chairs and ranking minority members of the
legislative committees with jurisdiction over employment and economic development by
February 15 of each year, beginning February 15, 2023, the following:
new text end

new text begin (1) a list of all reports required from the commissioner of employment and economic
development to the legislature that are mandated by statute and the enabling legislation does
not include a date for the submission of a final report;
new text end

new text begin (2) a discussion regarding the usefulness of continuation for each report; and
new text end

new text begin (3) any additional information the commissioner considers appropriate regarding whether
the reporting requirement should be set to expire by the legislature.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2.

Minnesota Statutes 2022, section 116J.552, subdivision 4, is amended to read:


Subd. 4.

Development authority.

"Development authority" includes a statutory or home
rule charter city, county, new text begin federally recognized Tribe, new text end housing and redevelopment authority,
economic development authority, and a port authority.

Sec. 3.

Minnesota Statutes 2022, section 116J.552, subdivision 6, is amended to read:


Subd. 6.

Municipality.

"Municipality" means the statutory or home rule charter city,
town,new text begin federally recognized Tribe,new text end or, in the case of unorganized territory, the county in
which the site is located.

Sec. 4.

Minnesota Statutes 2022, section 116L.04, subdivision 1a, is amended to read:


Subd. 1a.

Pathways program.

The pathways program may provide grants-in-aid for
developing programs which assist in the transition of persons from welfare to work and
assist individuals at or below 200 percent of the federal poverty guidelines. The program
is to be operated by the board. The board shall consult and coordinate with program
administrators at the Department of Employment and Economic Development to design
and provide services for temporary assistance for needy families recipients.

Pathways grants-in-aid may be awarded to educational or other nonprofit training
institutions or to workforce development intermediaries for education and training programs
and services supporting education and training programs that serve eligible recipients.

Preference shall be given to projects that:

(1) provide employment with benefits paid to employees;

(2) provide employment where there are defined career paths for trainees;

(3) pilot the development of an educational pathway that can be used on a continuing
basis for transitioning persons from welfare to work; and

(4) demonstrate the active participation of Department of Employment and Economic
Development workforce centers, Minnesota State College and University institutions and
other educational institutions, and local welfare agencies.

Pathways projects must demonstrate the active involvement and financial commitment
of deleted text begin privatedeleted text end new text begin a participatingnew text end business. Pathways projects must be matched with cash or in-kind
contributions on at least a one-half-to-one ratio by new text begin a new text end participating deleted text begin privatedeleted text end business.

A single grant to any one institution shall not exceed $400,000. A portion of a grant may
be used for preemployment training.

Sec. 5.

Minnesota Statutes 2022, section 116L.17, subdivision 1, is amended to read:


Subdivision 1.

Definitions.

(a) For the purposes of this section, the following terms have
the meanings given them in this subdivision.

(b) "Commissioner" means the commissioner of employment and economic development.

(c) "Dislocated worker" means an individual who is a resident of Minnesota at the time
employment ceased or was working in the state at the time employment ceased and:

(1) has been permanently separated or has received a notice of permanent separation
from public or private sector employment and is eligible for or has exhausted entitlement
to unemployment benefits, and is unlikely to return to the previous industry or occupation;

(2) has been long-term unemployed and has limited opportunities for employment or
reemployment in the same or a similar occupation in the area in which the individual resides,
including older individuals who may have substantial barriers to employment by reason of
age;

(3) has been terminated or has received a notice of termination of employment as a result
of a plant closing or a substantial layoff at a plant, facility, or enterprise;

(4) has been self-employed, including farmers and ranchers, and is unemployed as a
result of general economic conditions in the community in which the individual resides or
because of natural disasters;

(5) is a veteran as defined by section 197.447, has been discharged or released from
active duty under honorable conditions within the last 36 months, and (i) is unemployed or
(ii) is employed in a job verified to be below the skill level and earning capacity of the
veteran;

(6) is an individual determined by the United States Department of Labor to be covered
by trade adjustment assistance under United States Code, title 19, sections 2271 to 2331,
as amended; or

(7) is a displaced homemaker. A "displaced homemaker" is an individual who has spent
a substantial number of years in the home providing homemaking service and (i) has been
dependent upon the financial support of another; and deleted text begin nowdeleted text end due to divorce, separation, death,
or disability of that person, mustnew text begin nownew text end find employment to self support; or (ii) derived the
substantial share of support from public assistance on account of dependents in the home
and no longer receives such support. To be eligible under this clause, the support must have
ceased while the worker resided in Minnesota.

For the purposes of this section, "dislocated worker" does not include an individual who
was an employee, at the time employment ceased, of a political committee, political fund,
principal campaign committee, or party unit, as those terms are used in chapter 10A, or an
organization required to file with the federal elections commission.

(d) "Eligible organization" means a state or local government unit, nonprofit organization,
community action agency, business organization or association, or labor organization.

(e) "Plant closing" means the announced or actual permanent shutdown of a single site
of employment, or one or more facilities or operating units within a single site of
employment.

(f) "Substantial layoff" means a permanent reduction in the workforce, which is not a
result of a plant closing, and which results in an employment loss at a single site of
employment during any 30-day period for at least 50 employees excluding those employees
that work less than 20 hours per week.

Sec. 6.

Minnesota Statutes 2022, section 116U.25, is amended to read:


116U.25 EXPLORE MINNESOTA TOURISM COUNCIL.

(a) The director shall be advised by the Explore Minnesota Tourism Council consisting
of up to deleted text begin 28deleted text end new text begin 35new text end voting members appointed by the governor for four-year terms, including:

(1) the director of Explore Minnesota Tourism who serves as the chair;

(2) deleted text begin elevendeleted text end new text begin fourteennew text end representatives of statewide associations representing bed and
breakfast establishments, golf, festivals and events, counties, convention and visitor bureaus,
lodging, resorts, trails, campgrounds, restaurants, deleted text begin anddeleted text end new text begin craft beverage establishments,new text end chambers
of commercenew text begin , chambers of commerce for underrepresented communities, and Tribal nationsnew text end ;

(3) one representative from each of the tourism marketing regions of the state as
designated by the office;

(4) deleted text begin sixdeleted text end new text begin tennew text end representatives of the tourism business representing transportation, retail,
travel agencies, tour operators, travel media, deleted text begin anddeleted text end convention facilitiesnew text begin , arts and culture,
sports, outdoor recreation, and tourism business owners from underrepresented communities
new text end ;

(5) one or more ex officio nonvoting members including at least one from the University
of Minnesota Tourism Center;

(6) four legislators, two from each house, one each from the two largest political party
caucuses in each house, appointed according to the rules of the respective houses; and

(7) other persons, if any, as designated from time to time by the governor.

(b) The council shall act to serve the broader interests of tourism in Minnesota by
promoting activities that support, maintain, and expand the state's domestic and international
travel market, thereby generating increased visitor expenditures, tax revenue, and
employment.

(c) Filling of membership vacancies is as provided in section 15.059. The terms of
one-half of the members shall be coterminous with the governor and the terms of the
remaining one-half of the members shall end on the first Monday in January one year after
the terms of the other members. Members may serve until their successors are appointed
and qualify. Members are not compensated. A member may be reappointed.

(d) The council shall meet at least four times per year and at other times determined by
the council.

(e) If compliance with section 13D.02 is impractical, the Explore Minnesota Tourism
Council may conduct a meeting of its members by telephone or other electronic means so
long as the following conditions are met:

(1) all members of the council participating in the meeting, wherever their physical
location, can hear one another and can hear all discussion and testimony;

(2) members of the public present at the regular meeting location of the council can hear
clearly all discussion and testimony and all votes of members of the council and, if needed,
receive those services required by sections 15.44 and 15.441;

(3) at least one member of the council is physically present at the regular meeting location;
and

(4) all votes are conducted by roll call, so each member's vote on each issue can be
identified and recorded.

(f) Each member of the council participating in a meeting by telephone or other electronic
means is considered present at the meeting for purposes of determining a quorum and
participating in all proceedings.

(g) If telephone or other electronic means is used to conduct a meeting, the council, to
the extent practical, shall allow a person to monitor the meeting electronically from a remote
location. The council may require the person making such a connection to pay for
documented marginal costs that the council incurs as a result of the additional connection.

(h) If telephone or other electronic means is used to conduct a regular, special, or
emergency meeting, the council shall provide notice of the regular meeting location, of the
fact that some members may participate by telephone or other electronic means, and of the
provisions of paragraph (g). The timing and method of providing notice is governed by
section 13D.04.

Sec. 7.

Minnesota Statutes 2022, section 268.043, is amended to read:


268.043 DETERMINATIONS OF COVERAGE.

(a) The commissioner, upon the commissioner's own motion or upon application of a
person, must determine if that person is an employer or whether services performed for it
constitute employment and covered employment, or whether any compensation constitutes
wages, and notify the person of the determination. The determination is final unless the
person files an appeal within deleted text begin 20deleted text end new text begin 45new text end calendar days after the commissioner sends the
determination by mail or electronic transmission. Proceedings on the appeal are conducted
in accordance with section 268.105.

(b) No person may be initially determined an employer, or that services performed for
it were in employment or covered employment, for periods more than four years before the
year in which the determination is made, unless the commissioner finds that there was
fraudulent action to avoid liability under this chapter.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 8.

Minnesota Statutes 2022, section 268.051, subdivision 6, is amended to read:


Subd. 6.

Determination of tax rate.

(a) On or before each December 15, the
commissioner must notify each employer by mail or electronic transmission of the employer's
tax rate, along with any additional assessments, fees, or surcharges, for the following calendar
year. The determination must contain the base tax rate and the factors used in determining
the employer's experience rating. Unless an appeal of the tax rate is made, the computed
tax rate is final, except for fraud or recomputation required under subdivision 4 or 4a, and
is the rate at which taxes must be paid. A recomputed tax rate under subdivision 4 or 4a is
the rate applicable for the quarter that includes the date of acquisition and any quarter
thereafter during the calendar year in which the acquisition occurred. The tax rate is not
subject to collateral attack by way of claim for a credit adjustment or refund, or otherwise.

(b) If the legislature, after the sending of the determination of tax rate, changes any of
the factors used to determine the rate, a new tax rate based on the new factors must be
computed and sent to the employer.

(c) A review of an employer's tax rate may be obtained by the employer filing an appeal
within deleted text begin 20deleted text end new text begin 45new text end calendar days from the date the determination of tax rate was sent to the
employer. Proceedings on the appeal are conducted in accordance with section 268.105.

(d) The commissioner may at any time upon the commissioner's own motion correct
any error in the employer's tax rate.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 9.

Minnesota Statutes 2022, section 268.053, subdivision 2, is amended to read:


Subd. 2.

Determination and appeal.

The commissioner must notify each nonprofit
organization by mail or electronic transmission of any determination of its status as an
employer with covered employment and of the effective date of any election or termination
of election. The determination is final unless an appeal is filed within deleted text begin 20deleted text end new text begin 45new text end calendar days
of sending the determination. Proceedings on the appeal are conducted in accordance with
section 268.105.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 10.

Minnesota Statutes 2022, section 268.0625, subdivision 4, is amended to read:


Subd. 4.

Determination and right to hearing.

At least 30 calendar days before the
commissioner notifies a licensing authority, a determination of action under this section
must be sent to the licensee by mail or electronic transmission. If the licensee disputes the
action, the licensee must appeal within deleted text begin 20deleted text end new text begin 45new text end calendar days after the sending of the
determination to the licensee. The only issue on any appeal is whether the commissioner
has complied with the requirements of this section. Proceedings on the appeal are conducted
in accordance with section 268.105.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 11.

Minnesota Statutes 2022, section 268.063, is amended to read:


268.063 PERSONAL LIABILITY.

(a) Any officer, director, or employee of a corporation or any manager, governor, member,
or employee of a limited liability company who

(1) either individually or jointly with others, have or should have had control of,
supervision over, or responsibility for paying the amounts due under this chapter or section
116L.20, and

(2) knowingly fails to pay the amounts due, is personally liable for the amount due in
the event the employer does not pay.

For purposes of this section, "knowingly" means that the facts demonstrate that the
responsible individual used or allowed the use of corporate or company assets to pay other
creditors knowing that the amounts due under this chapter were unpaid. An evil motive or
intent to defraud is not necessary.

(b) Any partner of a limited liability partnership, or professional limited liability
partnership, is jointly and severally liable for any amount due under this chapter or section
116L.20 in the event the employer does not pay.

(c) Any personal representative of the estate of a decedent or fiduciary who voluntarily
distributes the assets without reserving a sufficient amount to pay the amount due is
personally liable for the deficiency.

(d) The personal liability of any individual survives dissolution, reorganization,
receivership, or assignment for the benefit of creditors. For the purposes of this section, all
wages paid by the employer are considered earned from the individual determined to be
personally liable.

(e) The commissioner must make a determination as to personal liability. The
determination is final unless the individual found to be personally liable, within deleted text begin 20deleted text end new text begin 45new text end
calendar days after sending, by mail or electronic transmission, a notice of determination,
files an appeal. Proceedings on the appeal are conducted in accordance with section 268.105.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 12.

Minnesota Statutes 2022, section 268.064, subdivision 2, is amended to read:


Subd. 2.

Reasonable value.

The commissioner, upon the commissioner's own motion
or upon application of the acquiring person, must determine the reasonable value of the
organization, trade, business or assets acquired based on available information. The
determination is final unless the acquiring person, within deleted text begin 20deleted text end new text begin 45new text end calendar days after being
sent the determination by mail or electronic transmission, files an appeal. Proceedings on
the appeal are conducted in accordance with section 268.105.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 13.

Minnesota Statutes 2022, section 268.065, subdivision 3, is amended to read:


Subd. 3.

Determination of liability.

The commissioner must make a determination as
to the liability under this section. The determination is final unless the contractor or person
found to be liable files an appeal within deleted text begin 20deleted text end new text begin 45new text end calendar days after being sent the determination
by mail or electronic transmission. Proceedings on the appeal are conducted in accordance
with section 268.105.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 14.

Minnesota Statutes 2022, section 268.07, subdivision 3a, is amended to read:


Subd. 3a.

Right of appeal.

(a) A determination or amended determination of benefit
account is final unless an applicant or base period employer within deleted text begin 20deleted text end new text begin 45new text end calendar days
after the sending of the determination or amended determination files an appeal. Every
determination or amended determination of benefit account must contain a prominent
statement indicating in clear language the consequences of not appealing. Proceedings on
the appeal are conducted in accordance with section 268.105.

(b) Any applicant or base period employer may appeal from a determination or amended
determination of benefit account on the issue of whether services performed constitute
employment, whether the employment is covered employment, and whether money paid
constitutes wages.

Sec. 15.

Minnesota Statutes 2022, section 268.101, subdivision 2, is amended to read:


Subd. 2.

Determination.

(a) The commissioner must determine any issue of ineligibility
raised by information required from an applicant under subdivision 1, paragraph (a) or (c),
and send to the applicant and any involved employer, by mail or electronic transmission, a
document titled a determination of eligibility or a determination of ineligibility, as is
appropriate. The determination on an issue of ineligibility as a result of a quit or a discharge
of the applicant must state the effect on the employer under section 268.047. A determination
must be made in accordance with this paragraph even if a notified employer has not raised
the issue of ineligibility.

(b) The commissioner must determine any issue of ineligibility raised by an employer
and send to the applicant and that employer, by mail or electronic transmission, a document
titled a determination of eligibility or a determination of ineligibility as is appropriate. The
determination on an issue of ineligibility as a result of a quit or discharge of the applicant
must state the effect on the employer under section 268.047.

If a base period employer:

(1) was not the applicant's most recent employer before the application for unemployment
benefits;

(2) did not employ the applicant during the six calendar months before the application
for unemployment benefits; and

(3) did not raise an issue of ineligibility as a result of a quit or discharge of the applicant
within ten calendar days of notification under subdivision 1, paragraph (b);

then any exception under section 268.047, subdivisions 2 and 3, begins the Sunday two
weeks following the week that the issue of ineligibility as a result of a quit or discharge of
the applicant was raised by the employer.

A communication from an employer must specifically set out why the applicant should
be determined ineligible for unemployment benefits for that communication to be considered
to have raised an issue of ineligibility for purposes of this section. A statement of "protest"
or a similar term without more information does not constitute raising an issue of ineligibility
for purposes of this section.

(c) Subject to section 268.031, an issue of ineligibility is determined based upon that
information required of an applicant, any information that may be obtained from an applicant
or employer, and information from any other source.

(d) Regardless of the requirements of this subdivision, the commissioner is not required
to send to an applicant a copy of the determination where the applicant has satisfied a period
of ineligibility because of a quit or a discharge under section 268.095, subdivision 10.

(e) The department is authorized to issue a determination on an issue of ineligibility
within 24 months from the establishment of a benefit account based upon information from
any source, even if the issue of ineligibility was not raised by the applicant or an employer.

If an applicant obtained unemployment benefits through misrepresentation under section
268.18, subdivision 2, the department is authorized to issue a determination of ineligibility
within 48 months of the establishment of the benefit account.

If the department has filed an intervention in a worker's compensation matter under
section 176.361, the department is authorized to issue a determination of ineligibility within
48 months of the establishment of the benefit account.

(f) A determination of eligibility or determination of ineligibility is final unless an appeal
is filed by the applicant or employer within deleted text begin 20deleted text end new text begin 45new text end calendar days after sending. The
determination must contain a prominent statement indicating the consequences of not
appealing. Proceedings on the appeal are conducted in accordance with section 268.105.

(g) An issue of ineligibility required to be determined under this section includes any
question regarding the denial or allowing of unemployment benefits under this chapter
except for issues under section 268.07. An issue of ineligibility for purposes of this section
includes any question of effect on an employer under section 268.047.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 16.

Minnesota Statutes 2022, section 268.101, subdivision 4, is amended to read:


Subd. 4.

Amended determination.

Unless an appeal has been filed, the commissioner,
on the commissioner's own motion, may reconsider a determination of eligibility or
determination of ineligibility that has not become final and issue an amended determination.
Any amended determination must be sent to the applicant and any involved employer by
mail or electronic transmission. Any amended determination is final unless an appeal is
filed by the applicant or notified employer within deleted text begin 20deleted text end new text begin 45new text end calendar days after sending.
Proceedings on the appeal are conducted in accordance with section 268.105.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 17.

Minnesota Statutes 2022, section 268.105, subdivision 1a, is amended to read:


Subd. 1a.

Decision.

(a) After the conclusion of the hearing, upon the evidence obtained,
the unemployment law judge must make written findings of fact, reasons for decision, and
decision and send those, by mail or electronic transmission, to all parties. When the credibility
of a witness testifying in a hearing has a significant effect on the outcome of a decision, the
unemployment law judge must set out the reason for crediting or discrediting that testimony.
The unemployment law judge's decision is final unless a request for reconsideration is filed
under subdivision 2.

(b) If the appealing party fails to participate in the hearing, the unemployment law judge
has the discretion to dismiss the appeal by summary decision. By failing to participate, the
appealing party is considered to have failed to exhaust available administrative remedies
unless the appealing party files a request for reconsideration under subdivision 2 and
establishes good cause for failing to participate in the hearing. Submission of a written
statement does not constitute participation. The applicant must participate personally and
appearance solely by a representative does not constitute participation.

(c) The unemployment law judge must issue a decision dismissing the appeal as untimely
if the judge decides the appeal was not filed within deleted text begin 20deleted text end new text begin 45new text end calendar days after the sending
of the determination. The unemployment law judge may dismiss the appeal by summary
decision, or the judge may conduct a hearing to obtain evidence on the timeliness of the
appeal.

(d) Decisions of an unemployment law judge are not precedential.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 18.

Minnesota Statutes 2022, section 268.105, subdivision 2, is amended to read:


Subd. 2.

Request for reconsideration.

(a) Any party, or the commissioner, may within
20 calendar days of the sending of the unemployment law judge's decision under subdivision
1a, file a request for reconsideration asking the judge to reconsider that decision.

(b) Upon a request for reconsideration having been filed, the chief unemployment law
judge must send a notice, by mail or electronic transmission, to all parties that a request for
reconsideration has been filed. The notice must inform the parties:

(1) that reconsideration is the procedure for the unemployment law judge to correct any
factual or legal mistake in the decision, or to order an additional hearing when appropriate;

(2) of the opportunity to provide comment on the request for reconsideration, and the
right under subdivision 5 to obtain a copy of any recorded testimony and exhibits offered
or received into evidence at the hearing;

(3) that providing specific comments as to a perceived factual or legal mistake in the
decision, or a perceived mistake in procedure during the hearing, will assist the
unemployment law judge in deciding the request for reconsideration;

(4) of the right to obtain any comments and submissions provided by any other party
regarding the request for reconsideration; and

(5) of the provisions of paragraph (c) regarding additional evidence.

This paragraph does not apply if paragraph (d) is applicable. Sending the notice does not
mean the unemployment law judge has decided the request for reconsideration was timely
filed.

(c) In deciding a request for reconsideration, the unemployment law judge must not
consider any evidence that was not submitted at the hearing, except for purposes of
determining whether to order an additional hearing.

The unemployment law judge must order an additional hearing if a party shows that
evidence which was not submitted at the hearing:

(1) would likely change the outcome of the decision and there was good cause for not
having previously submitted that evidence; or

(2) would show that the evidence that was submitted at the hearing was likely false and
that the likely false evidence had an effect on the outcome of the decision.

"Good cause" for purposes of this paragraph is a reason that would have prevented a
reasonable person acting with due diligence from submitting the evidence.

(d) If the party who filed the request for reconsideration failed to participate in the
hearing, the unemployment law judge must issue an order setting aside the decision and
ordering an additional hearing if the party who failed to participate had good cause for
failing to do so. The party who failed to participate in the hearing must be informed of the
requirement to show good cause for failing to participate. If the unemployment law judge
determines that good cause for failure to participate has not been shown, the judge must
state that in the decision issued under paragraph (f).

Submission of a written statement at the hearing does not constitute participation for
purposes of this paragraph.

"Good cause" for purposes of this paragraph is a reason that would have prevented a
reasonable person acting with due diligence from participating in the hearing.

(e) A request for reconsideration must be decided by the unemployment law judge who
issued the decision under subdivision 1a unless that judge:

(1) is no longer employed by the department;

(2) is on an extended or indefinite leave; or

(3) has been removed from the proceedings by the chief unemployment law judge.

(f) If a request for reconsideration is timely filed, the unemployment law judge must
issue:

(1) a decision affirming the findings of fact, reasons for decision, and decision issued
under subdivision 1a;

(2) a decision modifying the findings of fact, reasons for decision, and decision under
subdivision 1a; or

(3) an order setting aside the findings of fact, reasons for decision, and decision issued
under subdivision 1a, and ordering an additional hearing.

The unemployment law judge must issue a decision dismissing the request for
reconsideration as untimely if the judge decides the request for reconsideration was not
filed within deleted text begin 20deleted text end new text begin 45new text end calendar days after the sending of the decision under subdivision 1a.

The unemployment law judge must send to all parties, by mail or electronic transmission,
the decision or order issued under this subdivision. A decision affirming or modifying the
previously issued findings of fact, reasons for decision, and decision, or a decision dismissing
the request for reconsideration as untimely, is the final decision on the matter and is binding
on the parties unless judicial review is sought under subdivision 7.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 19.

Minnesota Statutes 2022, section 268.105, subdivision 3, is amended to read:


Subd. 3.

Withdrawal of an appeal.

(a) An appeal that is pending before an
unemployment law judge may be withdrawn by the appealing party, or an authorized
representative of that party, by filing of a notice of withdrawal. A notice of withdrawal may
be filed by mail or by electronic transmission.

(b) The appeal must, by order, be dismissed if a notice of withdrawal is filed, unless an
unemployment law judge directs that further proceedings are required for a proper result.
An order of dismissal issued as a result of a notice of withdrawal is not subject to
reconsideration or appeal.

(c) A party may file a new appeal after the order of dismissal, but the original deleted text begin 20deleted text end new text begin
45
new text end -calendar-day period for appeal begins from the date of issuance of the determination
and that time period is not suspended or restarted by the notice of withdrawal and order of
dismissal. The new appeal may only be filed by mail or facsimile transmission.

(d) For purposes of this subdivision, "appeals" includes a request for reconsideration
filed under subdivision 2.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 20.

Minnesota Statutes 2022, section 268.105, subdivision 7, is amended to read:


Subd. 7.

Judicial review.

(a) The Minnesota Court of Appeals must, by writ of certiorari
to the department, review the unemployment law judge's decision on reconsideration,
provided a petition for the writ is filed with the court and a copy is served upon the
unemployment law judge or the commissioner and any other party within deleted text begin 30deleted text end new text begin 45new text end calendar
days of the sending of the unemployment law judge's decision on reconsideration under
subdivision 2. Three days are added to the deleted text begin 30deleted text end new text begin 45new text end -calendar-day period if the decision on
reconsideration was mailed to the parties.

(b) Any employer petitioning for a writ of certiorari must pay to the court the required
filing fee in accordance with the Rules of Civil Appellate Procedure. If the employer requests
a written transcript of the testimony received at the hearing conducted under subdivision 1,
the employer must pay to the department the cost of preparing the transcript. That money
is credited to the administration account.

(c) Upon issuance by the Minnesota Court of Appeals of a writ of certiorari as a result
of an applicant's petition, the department must furnish to the applicant at no cost a written
transcript of any testimony received at the hearing conducted under subdivision 1, and, if
requested, a copy of all exhibits entered into evidence. No filing fee or cost bond is required
of an applicant petitioning the Minnesota Court of Appeals for a writ of certiorari.

(d) The Minnesota Court of Appeals may affirm the decision of the unemployment law
judge or remand the case for further proceedings; or it may reverse or modify the decision
if the substantial rights of the petitioner may have been prejudiced because the findings,
inferences, conclusion, or decision are:

(1) in violation of constitutional provisions;

(2) in excess of the statutory authority or jurisdiction of the department;

(3) made upon unlawful procedure;

(4) affected by other error of law;

(5) unsupported by substantial evidence in view of the hearing record as submitted; or

(6) arbitrary or capricious.

(e) The department is the primary responding party to any judicial action involving an
unemployment law judge's decision. The department may be represented by an attorney
licensed to practice law in Minnesota who is an employee of the department.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 21.

Minnesota Statutes 2022, section 268.18, subdivision 2, is amended to read:


Subd. 2.

Overpayment because of misrepresentation.

(a) An applicant has committed
misrepresentation if the applicant is overpaid unemployment benefits by making a false
statement or representation without a good faith belief as to the correctness of the statement
or representation.

After the discovery of facts indicating misrepresentation, the commissioner must issue
a determination of overpayment penalty assessing a penalty equal to 40 percent of the
amount overpaid. This penalty is in addition to penalties under section 268.183.

(b) Unless the applicant files an appeal within deleted text begin 20deleted text end new text begin 45new text end calendar days after the sending of
a determination of overpayment penalty to the applicant by mail or electronic transmission,
the determination is final. Proceedings on the appeal are conducted in accordance with
section 268.105.

(c) A determination of overpayment penalty must state the methods of collection the
commissioner may use to recover the overpayment, penalty, and interest assessed. Money
received in repayment of overpaid unemployment benefits, penalties, and interest is first
applied to the benefits overpaid, then to the penalty amount due, then to any interest due.
62.5 percent of the payments made toward the penalty are credited to the contingent account
and 37.5 percent credited to the trust fund.

(d) The department is authorized to issue a determination of overpayment penalty under
this subdivision within 48 months of the establishment of the benefit account upon which
the unemployment benefits were obtained through misrepresentation.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 22.

Minnesota Statutes 2022, section 268.183, is amended to read:


268.183 APPLICANT ADMINISTRATIVE PENALTIES.

(a) Any applicant who makes a false statement or representation without a good faith
belief as to the correctness of the statement or representation, in order to obtain or in an
attempt to obtain unemployment benefits may be assessed, in addition to any other penalties,
an administrative penalty of being ineligible for unemployment benefits for 13 to 104 weeks.

(b) A determination of ineligibility setting out the weeks the applicant is ineligible must
be sent to the applicant by mail or electronic transmission. The department is authorized to
issue a determination of ineligibility under this subdivision within 48 months of the
establishment of the benefit account upon which the unemployment benefits were obtained,
or attempted to be obtained. Unless an appeal is filed within deleted text begin 20deleted text end new text begin 45new text end calendar days of sending,
the determination is final. Proceedings on the appeal are conducted in accordance with
section 268.105.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 23.

Minnesota Statutes 2022, section 268.184, subdivision 1, is amended to read:


Subdivision 1.

Misrepresentation; administrative penalties.

(a) The commissioner
must penalize an employer if that employer or any employee, officer, or agent of that
employer made a false statement or representation without a good faith belief as to correctness
of the statement or representation or knowingly failed to disclose a material fact in order
to:

(1) assist an applicant to receive unemployment benefits to which the applicant is not
entitled;

(2) prevent or reduce the payment of unemployment benefits to an applicant; or

(3) avoid or reduce any payment required from an employer under this chapter or section
116L.20.

The penalty is the greater of $500 or 50 percent of the following resulting from the employer's
action:

(i) the amount of any overpaid unemployment benefits to an applicant;

(ii) the amount of unemployment benefits not paid to an applicant that would otherwise
have been paid; or

(iii) the amount of any payment required from the employer under this chapter or section
116L.20 that was not paid.

(b) The commissioner must penalize an employer if that employer failed or refused to
honor a subpoena issued under section 268.188. The penalty is $500 and any costs of
enforcing the subpoena, including attorney fees.

(c) Penalties under this subdivision and under section 268.047, subdivision 4, paragraph
(b), are in addition to any other penalties and subject to the same collection procedures that
apply to past due taxes. Penalties must be paid within 30 calendar days of issuance of the
determination of penalty and credited to the trust fund.

(d) The determination of penalty is final unless the employer files an appeal within deleted text begin 20deleted text end new text begin
45
new text end calendar days after the sending of the determination of penalty to the employer by mail
or electronic transmission. Proceedings on the appeal are conducted in accordance with
section 268.105.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 24.

Minnesota Statutes 2022, section 268.184, subdivision 1a, is amended to read:


Subd. 1a.

Notification and misreporting penalties.

(a) If the commissioner finds that
any employer or agent of an employer failed to meet the notification requirements of section
268.051, subdivision 4, the employer must be assessed a penalty of $5,000 or two percent
of the first full quarterly payroll acquired, whichever is higher. Payroll is wages paid as
defined in section 268.035, subdivision 30. The penalty under this paragraph must be
canceled if the commissioner determines that the failure occurred because of ignorance or
inadvertence.

(b) If the commissioner finds that any individual advised an employer to violate the
employer's notification requirements under section 268.051, subdivision 4, the individual,
and that individual's employer, must each be assessed the penalty in paragraph (a).

(c) If the commissioner finds that any person or agent of a person violated the reporting
requirements of section 268.046, the person must be assessed a penalty of $5,000 or two
percent of the quarterly payroll reported in violation of section 268.046, whichever is higher.
Payroll is wages paid as defined in section 268.035, subdivision 30.

(d) Penalties under this subdivision are in addition to any other penalties and subject to
the same collection procedures that apply to past due amounts from an employer. Penalties
must be paid within 30 calendar days after sending of the determination of penalty and
credited to the trust fund.

(e) The determination of penalty is final unless the person assessed files an appeal within
deleted text begin 20deleted text end new text begin 45new text end calendar days after sending of the determination of penalty by mail or electronic
transmission. Proceedings on the appeal are conducted in accordance with section 268.105.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for determinations issued on or after
May 5, 2024.
new text end

Sec. 25.

new text begin [298.2216] GIANTS RIDGE ACCOUNT.
new text end

new text begin Subdivision 1. new text end

new text begin Account established. new text end

new text begin The Giants Ridge account is established in the
state treasury. The account consists of appropriations made by the state or funds dedicated
by the Department of Iron Range Resources and Rehabilitation. The account may also
receive private contributions, gifts, or grants under section 16A.013. Any interest or profit
accruing from investment of these sums is credited to the account.
new text end

new text begin Subd. 2. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section the following terms have the
meanings given.
new text end

new text begin (b) "Commissioner" means the commissioner of Iron Range resources and rehabilitation.
new text end

new text begin (c) "Income" means the amount of interest or profit accruing from the investment of
account funds.
new text end

new text begin (d) "Long-term maintenance" means activities that would constitute substantial repairs
or rehabilitation.
new text end

new text begin (e) "Routine maintenance" means activities that are predictable and repetitive.
new text end

new text begin Subd. 3. new text end

new text begin Use of funds. new text end

new text begin (a) Income derived from the investment of principal in the account
may be used by the commissioner for capital expenditures, facility operations, or routine
or long-term maintenance of the commercial, state-owned assets within the Giants Ridge
Recreation Area. No money from this account may be used for any purposes except those
described in this section and no money from this account may be transferred to any other
account in the state treasury without specific legislative authorization.
new text end

new text begin (b) Investment management fees incurred by the State Board of Investment are eligible
expenses for reimbursement from the account.
new text end

new text begin (c) The commissioner has authority to approve or deny expenditures of funds in the
account.
new text end

new text begin Subd. 4. new text end

new text begin Appropriation. new text end

new text begin Income in the account derived from the investment of principal
is appropriated upon request by the commissioner to the agency for the purposes described
in this section. The commissioner may also request appropriations from the principal for
capital expenditures when the commissioner determines such expenditures are in the best
interest of the agency.
new text end

new text begin Subd. 5. new text end

new text begin Investment. new text end

new text begin Funds in the account shall be invested pursuant to law by the State
Board of Investment.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 26. new text begin DEPARTMENT OF IRON RANGE RESOURCES AND
REHABILITATION; AUTHORIZATION OF SEPARATION AND RETENTION
INCENTIVE PROGRAMS.
new text end

new text begin The commissioner of Iron Range resources and rehabilitation may provide separation
and retention incentive programs for employees of the agency that are consistent with the
provisions of Laws 2009, chapter 78, article 7, section 2, as amended by Laws 2010, chapters
215, article 9, section 2, and 216, section 53. The cost of such incentives are payable solely
by funds made available to the commissioner of Iron Range resources and rehabilitation
under Minnesota Statutes, chapter 298. Employees must not be required to participate in
the programs. This section expires December 31, 2024.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end