1.1                          A bill for an act 
  1.2             relating to children; modifying certain parentage and 
  1.3             child support enforcement provisions; changing 
  1.4             terminology; amending Minnesota Statutes 1996, 
  1.5             sections 257.64, subdivision 3; 518.54, subdivision 8, 
  1.6             and by adding a subdivision; 518.55, by adding a 
  1.7             subdivision; 518.551, subdivisions 1, 5, 9, and by 
  1.8             adding a subdivision; 518.615, subdivision 2; 550.136, 
  1.9             subdivision 2; and 571.921; Minnesota Statutes 1997 
  1.10            Supplement, sections 13.99, subdivision 76b; 256.741, 
  1.11            subdivision 1; 257.352, subdivision 3a; 259.49, 
  1.12            subdivision 1; 259.52, subdivisions 1, 2, 4, 6, 8, 9, 
  1.13            10, 11, 12, 14, and by adding a subdivision; 260.221, 
  1.14            subdivisions 1 and 1a; 357.021, subdivision 2; 518.54, 
  1.15            subdivision 6; 518.551, subdivision 5b; 518.5511, 
  1.16            subdivision 2; 518.5512, subdivision 6; 518.6111, 
  1.17            subdivisions 8, 9, and 14; 518.615, subdivision 1; 
  1.18            518.6195; 518.64, subdivision 2; 552.04, subdivision 
  1.19            4; Laws 1995, chapter 257, article 1, section 34; Laws 
  1.20            1997, chapter 203, article 6, section 90; proposing 
  1.21            coding for new law in Minnesota Statutes, chapter 518. 
  1.22  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.23                             ARTICLE 1
  1.24                           CHILD SUPPORT 
  1.25     Section 1.  Minnesota Statutes 1997 Supplement, section 
  1.26  256.741, subdivision 1, is amended to read: 
  1.27     Subdivision 1.  [PUBLIC ASSISTANCE.] (a) The term "public 
  1.28  assistance" as used in this chapter and chapters 257, 518, and 
  1.29  518C, includes any form of assistance provided under AFDC, MFIP, 
  1.30  and MFIP-R under chapter 256, MFIP-S under chapter 256J, and 
  1.31  work first under chapter 256K; child care assistance provided 
  1.32  through the child care fund according to chapter 119B; any form 
  1.33  of medical assistance under chapter 256B; MinnesotaCare under 
  2.1   chapter 256 256L; and foster care as provided under title IV-E 
  2.2   of the Social Security Act. 
  2.3      (b) The term "child support agency" as used in this section 
  2.4   refers to the public authority responsible for child support 
  2.5   enforcement. 
  2.6      (c) The term "public assistance agency" as used in this 
  2.7   section refers to a public authority providing public assistance 
  2.8   to an individual. 
  2.9      Sec. 2.  Minnesota Statutes 1996, section 257.64, 
  2.10  subdivision 3, is amended to read: 
  2.11     Subd. 3.  If a party refuses to accept a recommendation 
  2.12  made under subdivision 1 and blood or genetic tests have not 
  2.13  been taken, the court shall require the parties to submit to 
  2.14  blood or genetic tests.  Any objection to blood or genetic 
  2.15  testing results must be made in writing no later than 15 days 
  2.16  before any hearing at which time the results may be introduced 
  2.17  into evidence.  Test results served upon a party must include a 
  2.18  notice of this right to object.  Thereafter the court shall make 
  2.19  an appropriate final recommendation.  If a party refuses to 
  2.20  accept the final recommendation the action shall be set for 
  2.21  trial.  
  2.22     Sec. 3.  Minnesota Statutes 1997 Supplement, section 
  2.23  518.54, subdivision 6, is amended to read: 
  2.24     Subd. 6.  [INCOME.] "Income" means any form of periodic 
  2.25  payment to an individual including, but not limited to, wages, 
  2.26  salaries, payments to an independent contractor, workers' 
  2.27  compensation, reemployment insurance, annuity, military and 
  2.28  naval retirement, pension and disability payments.  Benefits 
  2.29  received under Title IV-A of the Social Security Act and chapter 
  2.30  256J are not income under this section. 
  2.31     Sec. 4.  Minnesota Statutes 1996, section 518.54, 
  2.32  subdivision 8, is amended to read: 
  2.33     Subd. 8.  [OBLIGOR.] "Obligor" means a person obligated to 
  2.34  pay maintenance or support.  A person who is designated as the 
  2.35  sole physical custodian of a child is presumed not to be an 
  2.36  obligor for purposes of calculating current support under 
  3.1   section 518.551 unless the court makes specific written findings 
  3.2   to overcome this presumption. 
  3.3      Sec. 5.  Minnesota Statutes 1996, section 518.54, is 
  3.4   amended by adding a subdivision to read: 
  3.5      Subd. 13.  [ARREARS.] Arrears are amounts that accrue 
  3.6   pursuant to an obligor's failure to comply with a support 
  3.7   order.  Past support and pregnancy and confinement expenses 
  3.8   contained in a support order are arrears if the court order does 
  3.9   not contain repayment terms.  Arrears also arise by the 
  3.10  obligor's failure to comply with the terms of a court order for 
  3.11  repayment of past support or pregnancy and confinement 
  3.12  expenses.  An obligor's failure to comply with the terms for 
  3.13  repayment of amounts owed for past support or pregnancy and 
  3.14  confinement turns the entire amount owed into arrears. 
  3.15     Sec. 6.  Minnesota Statutes 1996, section 518.55, is 
  3.16  amended by adding a subdivision to read: 
  3.17     Subd. 4.  [DETERMINATION OF CONTROLLING ORDER.] The public 
  3.18  authority or a party may request the district court to determine 
  3.19  a controlling order in situations in which more than one order 
  3.20  involving the same obligor and child exists. 
  3.21     Sec. 7.  Minnesota Statutes 1996, section 518.551, 
  3.22  subdivision 1, is amended to read: 
  3.23     Subdivision 1.  [SCOPE; PAYMENT TO PUBLIC AGENCY.] (a) This 
  3.24  section applies to all proceedings involving an award of child a 
  3.25  support order, including, but not limited to, a support order 
  3.26  establishing an order for past support or reimbursement of 
  3.27  public assistance. 
  3.28     (b) The court shall direct that all payments ordered for 
  3.29  maintenance and support be made to the public agency responsible 
  3.30  for child support enforcement so long as the obligee is 
  3.31  receiving or has applied for public assistance, or has applied 
  3.32  for child support and maintenance collection services.  Public 
  3.33  authorities responsible for child support enforcement may act on 
  3.34  behalf of other public authorities responsible for child support 
  3.35  enforcement.  This includes the authority to represent the legal 
  3.36  interests of or execute documents on behalf of the other public 
  4.1   authority in connection with the establishment, enforcement, and 
  4.2   collection of child support, maintenance, or medical support, 
  4.3   and collection on judgments.  Amounts received by the public 
  4.4   agency responsible for child support enforcement greater than 
  4.5   the amount granted to the obligee shall be remitted to the 
  4.6   obligee.  
  4.7      Sec. 8.  Minnesota Statutes 1996, section 518.551, 
  4.8   subdivision 5, is amended to read: 
  4.9      Subd. 5.  [NOTICE TO PUBLIC AUTHORITY; GUIDELINES.] (a) The 
  4.10  petitioner shall notify the public authority of all proceedings 
  4.11  for dissolution, legal separation, determination of parentage or 
  4.12  for the custody of a child, if either party is receiving aid to 
  4.13  families with dependent children public assistance or applies 
  4.14  for it subsequent to the commencement of the proceeding.  The 
  4.15  notice must contain the full names of the parties to the 
  4.16  proceeding, their social security account numbers, and their 
  4.17  birth dates.  After receipt of the notice, the court shall set 
  4.18  child support as provided in this subdivision.  The court may 
  4.19  order either or both parents owing a duty of support to a child 
  4.20  of the marriage to pay an amount reasonable or necessary for the 
  4.21  child's support, without regard to marital misconduct.  The 
  4.22  court shall approve a child support stipulation of the parties 
  4.23  if each party is represented by independent counsel, unless the 
  4.24  stipulation does not meet the conditions of paragraph (i).  In 
  4.25  other cases the court shall determine and order child support in 
  4.26  a specific dollar amount in accordance with the guidelines and 
  4.27  the other factors set forth in paragraph (c) and any departure 
  4.28  therefrom.  The court may also order the obligor to pay child 
  4.29  support in the form of a percentage share of the obligor's net 
  4.30  bonuses, commissions, or other forms of compensation, in 
  4.31  addition to, or if the obligor receives no base pay, in lieu of, 
  4.32  an order for a specific dollar amount. 
  4.33     (b) The court shall derive a specific dollar amount for 
  4.34  child support by multiplying the obligor's net income by the 
  4.35  percentage indicated by the following guidelines:  
  4.36  Net Income Per            Number of Children 
  5.1   Month of Obligor 
  5.2                 1     2     3     4     5     6    7 or 
  5.3                                                    more 
  5.4   $550 and Below     Order based on the ability of the 
  5.5                      obligor to provide support  
  5.6                      at these income levels, or at higher  
  5.7                      levels, if the obligor has 
  5.8                      the earning ability. 
  5.9   $551 - 600   16%   19%   22%   25%   28%   30%   32% 
  5.10  $601 - 650   17%   21%   24%   27%   29%   32%   34% 
  5.11  $651 - 700   18%   22%   25%   28%   31%   34%   36% 
  5.12  $701 - 750   19%   23%   27%   30%   33%   36%   38% 
  5.13  $751 - 800   20%   24%   28%   31%   35%   38%   40% 
  5.14  $801 - 850   21%   25%   29%   33%   36%   40%   42% 
  5.15  $851 - 900   22%   27%   31%   34%   38%   41%   44% 
  5.16  $901 - 950   23%   28%   32%   36%   40%   43%   46% 
  5.17  $951 - 1000  24%   29%   34%   38%   41%   45%   48% 
  5.18  $1001- 5000  25%   30%   35%   39%   43%   47%   50% 
  5.19  or the amount 
  5.20  in effect under
  5.21  paragraph (k)
  5.22     Guidelines for support for an obligor with a monthly income 
  5.23  in excess of the income limit currently in effect under 
  5.24  paragraph (k) shall be the same dollar amounts as provided for 
  5.25  in the guidelines for an obligor with a monthly income equal to 
  5.26  the limit in effect. 
  5.27  Net Income defined as: 
  5.28           
  5.29           Total monthly 
  5.30           income less           *(i) Federal Income Tax 
  5.31                                *(ii) State Income Tax 
  5.32                                (iii) Social Security
  5.33                                       Deductions 
  5.34                                 (iv) Reasonable
  5.35                                       Pension Deductions
  5.36           *Standard 
  6.1            Deductions apply-      (v) Union Dues 
  6.2            use of tax tables     (vi) Cost of Dependent Health
  6.3            recommended                 Insurance Coverage  
  6.4                                 (vii) Cost of Individual or Group
  6.5                                        Health/Hospitalization
  6.6                                        Coverage or an        
  6.7                                        Amount for Actual 
  6.8                                        Medical Expenses   
  6.9                                (viii) A Child Support or  
  6.10                                       Maintenance Order that is
  6.11                                       Currently Being Paid. 
  6.12     "Net income" does not include: 
  6.13     (1) the income of the obligor's spouse, but does include 
  6.14  in-kind payments received by the obligor in the course of 
  6.15  employment, self-employment, or operation of a business if the 
  6.16  payments reduce the obligor's living expenses; or 
  6.17     (2) compensation received by a party for employment in 
  6.18  excess of a 40-hour work week, provided that: 
  6.19     (i) support is nonetheless ordered in an amount at least 
  6.20  equal to the guidelines amount based on income not excluded 
  6.21  under this clause; and 
  6.22     (ii) the party demonstrates, and the court finds, that: 
  6.23     (A) the excess employment began after the filing of the 
  6.24  petition for dissolution; 
  6.25     (B) the excess employment reflects an increase in the work 
  6.26  schedule or hours worked over that of the two years immediately 
  6.27  preceding the filing of the petition; 
  6.28     (C) the excess employment is voluntary and not a condition 
  6.29  of employment; 
  6.30     (D) the excess employment is in the nature of additional, 
  6.31  part-time or overtime employment compensable by the hour or 
  6.32  fraction of an hour; and 
  6.33     (E) the party's compensation structure has not been changed 
  6.34  for the purpose of affecting a support or maintenance obligation.
  6.35     The court shall review the work-related and 
  6.36  education-related child care costs paid and shall allocate the 
  7.1   costs to each parent in proportion to each parent's net income, 
  7.2   as determined under this subdivision, after the transfer of 
  7.3   child support and spousal maintenance, unless the allocation 
  7.4   would be substantially unfair to either parent.  There is a 
  7.5   presumption of substantial unfairness if after the sum total of 
  7.6   child support, spousal maintenance, and child care costs is 
  7.7   subtracted from the noncustodial parent's income, the income is 
  7.8   at or below 100 percent of the federal poverty guidelines.  The 
  7.9   cost of child care for purposes of this paragraph is 75 percent 
  7.10  of the actual cost paid for child care, to reflect the 
  7.11  approximate value of state and federal tax credits available to 
  7.12  the custodial parent.  The actual cost paid for child care is 
  7.13  the total amount received by the child care provider for the 
  7.14  child or children of the obligor from the obligee or any public 
  7.15  agency.  The court shall require verification of employment or 
  7.16  school attendance and documentation of child care expenses from 
  7.17  the obligee and the public agency, if applicable.  If child care 
  7.18  expenses fluctuate during the year because of seasonal 
  7.19  employment or school attendance of the obligee or extended 
  7.20  periods of visitation with the obligor, the court shall 
  7.21  determine child care expenses based on an average monthly cost.  
  7.22  The amount allocated for child care expenses is considered child 
  7.23  support but is not subject to a cost-of-living adjustment under 
  7.24  section 518.641.  The amount allocated for child care expenses 
  7.25  terminates when either party notifies the public authority that 
  7.26  the child care costs have ended and without any legal action on 
  7.27  the part of either party.  The public authority shall verify the 
  7.28  information received under this provision before authorizing 
  7.29  termination.  The termination is effective as of the date of the 
  7.30  notification.  In other cases where there is a substantial 
  7.31  increase or decrease in child care expenses, the parties may 
  7.32  modify the order under section 518.64. 
  7.33     The court may allow the noncustodial parent to care for the 
  7.34  child while the custodial parent is working, as provided in 
  7.35  section 518.175, subdivision 8.  Allowing the noncustodial 
  7.36  parent to care for the child under section 518.175, subdivision 
  8.1   8, is not a reason to deviate from the guidelines. 
  8.2      (c) In addition to the child support guidelines, the court 
  8.3   shall take into consideration the following factors in setting 
  8.4   or modifying child support or in determining whether to deviate 
  8.5   from the guidelines: 
  8.6      (1) all earnings, income, and resources of the parents, 
  8.7   including real and personal property, but excluding income from 
  8.8   excess employment of the obligor or obligee that meets the 
  8.9   criteria of paragraph (b), clause (2)(ii); 
  8.10     (2) the financial needs and resources, physical and 
  8.11  emotional condition, and educational needs of the child or 
  8.12  children to be supported; 
  8.13     (3) the standard of living the child would have enjoyed had 
  8.14  the marriage not been dissolved, but recognizing that the 
  8.15  parents now have separate households; 
  8.16     (4) which parent receives the income taxation dependency 
  8.17  exemption and what financial benefit the parent receives from 
  8.18  it; 
  8.19     (5) the parents' debts as provided in paragraph (d); and 
  8.20     (6) the obligor's receipt of public assistance under 
  8.21  sections 256.72 to 256.87 or 256B.01 to 256B.40.  
  8.22     (d) In establishing or modifying a support obligation, the 
  8.23  court may consider debts owed to private creditors, but only if: 
  8.24     (1) the right to support has not been assigned under 
  8.25  section 256.74; 
  8.26     (2) the court determines that the debt was reasonably 
  8.27  incurred for necessary support of the child or parent or for the 
  8.28  necessary generation of income.  If the debt was incurred for 
  8.29  the necessary generation of income, the court shall consider 
  8.30  only the amount of debt that is essential to the continuing 
  8.31  generation of income; and 
  8.32     (3) the party requesting a departure produces a sworn 
  8.33  schedule of the debts, with supporting documentation, showing 
  8.34  goods or services purchased, the recipient of them, the amount 
  8.35  of the original debt, the outstanding balance, the monthly 
  8.36  payment, and the number of months until the debt will be fully 
  9.1   paid. 
  9.2      (e) Any schedule prepared under paragraph (d), clause (3), 
  9.3   shall contain a statement that the debt will be fully paid after 
  9.4   the number of months shown in the schedule, barring emergencies 
  9.5   beyond the party's control.  
  9.6      (f) Any further departure below the guidelines that is 
  9.7   based on a consideration of debts owed to private creditors 
  9.8   shall not exceed 18 months in duration, after which the support 
  9.9   shall increase automatically to the level ordered by the court.  
  9.10  Nothing in this section shall be construed to prohibit one or 
  9.11  more step increases in support to reflect debt retirement during 
  9.12  the 18-month period.  
  9.13     (g) If payment of debt is ordered pursuant to this section, 
  9.14  the payment shall be ordered to be in the nature of child 
  9.15  support.  
  9.16     (h) Nothing shall preclude the court from receiving 
  9.17  evidence on the above factors to determine if the guidelines 
  9.18  should be exceeded or modified in a particular case.  
  9.19     (i) The guidelines in this subdivision are a rebuttable 
  9.20  presumption and shall be used in all cases when establishing or 
  9.21  modifying child support.  If the court does not deviate from the 
  9.22  guidelines, the court shall make written findings concerning the 
  9.23  amount of the obligor's income used as the basis for the 
  9.24  guidelines calculation and any other significant evidentiary 
  9.25  factors affecting the determination of child support.  If the 
  9.26  court deviates from the guidelines, the court shall make written 
  9.27  findings giving the amount of support calculated under the 
  9.28  guidelines, the reasons for the deviation, and shall 
  9.29  specifically address the criteria in paragraph (c) and how the 
  9.30  deviation serves the best interest of the child.  The court may 
  9.31  deviate from the guidelines if both parties agree and the court 
  9.32  makes written findings that it is in the best interests of the 
  9.33  child, except that in cases where child support payments are 
  9.34  assigned to the public agency under section 256.74, the court 
  9.35  may deviate downward only as provided in paragraph (j).  Nothing 
  9.36  in this paragraph prohibits the court from deviating in other 
 10.1   cases.  The provisions of this paragraph apply whether or not 
 10.2   the parties are each represented by independent counsel and have 
 10.3   entered into a written agreement.  The court shall review 
 10.4   stipulations presented to it for conformity to the guidelines 
 10.5   and the court is not required to conduct a hearing, but the 
 10.6   parties shall provide the documentation of earnings required 
 10.7   under subdivision 5b. 
 10.8      (j) If the child support payments are assigned to the 
 10.9   public agency under section 256.74, the court may not deviate 
 10.10  downward from the child support guidelines unless the court 
 10.11  specifically finds that the failure to deviate downward would 
 10.12  impose an extreme hardship on the obligor. 
 10.13     (k) The dollar amount of the income limit for application 
 10.14  of the guidelines must be adjusted on July 1 of every 
 10.15  even-numbered year to reflect cost-of-living changes.  The 
 10.16  supreme court shall select the index for the adjustment from the 
 10.17  indices listed in section 518.641.  The state court 
 10.18  administrator shall make the changes in the dollar amount 
 10.19  required by this paragraph available to courts and the public on 
 10.20  or before April 30 of the year in which the amount is to change. 
 10.21     (l) In establishing or modifying child support, if a child 
 10.22  receives a child's insurance benefit under United State's Code, 
 10.23  title 42, section 402, because the obligor is entitled to old 
 10.24  age or disability insurance benefits, the amount of support 
 10.25  ordered shall be offset by the amount of the child's benefit.  
 10.26  The court shall make findings regarding the obligor's income 
 10.27  from all sources, the child support amount calculated under this 
 10.28  section, the amount of the child's benefit, and the obligor's 
 10.29  child support obligation.  Any benefit received by the child in 
 10.30  a given month in excess of the child support obligation shall 
 10.31  not be treated as an arrearage payment or a future payment. 
 10.32     Sec. 9.  Minnesota Statutes 1997 Supplement, section 
 10.33  518.551, subdivision 5b, is amended to read: 
 10.34     Subd. 5b.  [DETERMINATION OF INCOME.] (a) The parties shall 
 10.35  timely serve and file documentation of earnings and income.  
 10.36  When there is a prehearing conference, the court must receive 
 11.1   the documentation of income at least ten days prior to the 
 11.2   prehearing conference.  Documentation of earnings and income 
 11.3   also includes, but is not limited to, pay stubs for the most 
 11.4   recent three months, employer statements, or statement of 
 11.5   receipts and expenses if self-employed.  Documentation of 
 11.6   earnings and income also includes copies of each parent's most 
 11.7   recent federal tax returns, including W-2 forms, 1099 forms, 
 11.8   reemployment insurance statements, workers' compensation 
 11.9   statements, and all other documents evidencing income as 
 11.10  received that provide verification of income over a longer 
 11.11  period. 
 11.12     (b) In addition to the requirements of paragraph (a), at 
 11.13  any time after an action seeking child support has been 
 11.14  commenced or when a child support order is in effect, a party or 
 11.15  the public authority may require the other party to give them a 
 11.16  copy of the party's most recent federal tax returns that were 
 11.17  filed with the Internal Revenue Service.  The party shall 
 11.18  provide a copy of the tax returns within 30 days of receipt of 
 11.19  the request unless the request is not made in good faith.  A 
 11.20  request under this paragraph may not be made more than once 
 11.21  every two years, in the absence of good cause. 
 11.22     (c) If a parent under the jurisdiction of the court does 
 11.23  not appear at a court hearing after proper notice of the time 
 11.24  and place of the hearing, the court shall set income for that 
 11.25  parent based on credible evidence before the court or in 
 11.26  accordance with paragraph (d).  Credible evidence may include 
 11.27  documentation of current or recent income, testimony of the 
 11.28  other parent concerning recent earnings and income levels, and 
 11.29  the parent's wage reports filed with the Minnesota department of 
 11.30  economic security under section 268.044.  
 11.31     (d) If the court finds that a parent is voluntarily 
 11.32  unemployed or underemployed or was voluntarily unemployed or 
 11.33  underemployed during the period for which past support is being 
 11.34  sought, child support shall be calculated based on a 
 11.35  determination of imputed income.  A parent is not considered 
 11.36  voluntarily unemployed or underemployed upon a showing by the 
 12.1   parent that the unemployment or underemployment:  (1) is 
 12.2   temporary and will ultimately lead to an increase in income; or 
 12.3   (2) represents a bona fide career change that outweighs the 
 12.4   adverse effect of that parent's diminished income on the child.  
 12.5   Imputed income means the estimated earning ability of a parent 
 12.6   based on the parent's prior earnings history, education, and job 
 12.7   skills, and on availability of jobs within the community for an 
 12.8   individual with the parent's qualifications.  
 12.9      (e) If the court is unable to determine or estimate the 
 12.10  earning ability of a parent If there is insufficient information 
 12.11  to determine actual income or to impute income pursuant to 
 12.12  paragraph (d), the court may calculate child support based on 
 12.13  full-time employment of 40 hours per week at 150 percent of the 
 12.14  federal minimum wage or the Minnesota minimum wage, whichever is 
 12.15  higher.  If the court is unable to determine or estimate the 
 12.16  earning ability of a parent, any medical support or child care 
 12.17  contribution must be calculated based upon the obligor's 
 12.18  proportionate share of the child care expenses using 40 hours 
 12.19  per week at 150 percent of the federal minimum wage or the 
 12.20  Minnesota minimum wage, whichever is higher.  If a parent is a 
 12.21  recipient of public assistance under section 256.741, or is 
 12.22  physically or mentally incapacitated, it shall be presumed that 
 12.23  the parent is not voluntarily unemployed or underemployed.  
 12.24     (e) (f) Income from self employment is equal to gross 
 12.25  receipts minus ordinary and necessary expenses.  Ordinary and 
 12.26  necessary expenses do not include amounts allowed by the 
 12.27  Internal Revenue Service for accelerated depreciation expenses 
 12.28  or investment tax credits or any other business expenses 
 12.29  determined by the court to be inappropriate for determining 
 12.30  income for purposes of child support.  The person seeking to 
 12.31  deduct an expense, including depreciation, has the burden of 
 12.32  proving, if challenged, that the expense is ordinary and 
 12.33  necessary.  Net income under this section may be different from 
 12.34  taxable income. 
 12.35     Sec. 10.  Minnesota Statutes 1996, section 518.551, is 
 12.36  amended by adding a subdivision to read: 
 13.1      Subd. 5f.  [SUBSEQUENT CHILDREN.] The needs of subsequent 
 13.2   children shall not be factored into a support guidelines 
 13.3   calculation under subdivision 5.  The fact that an obligor had 
 13.4   additional children after the entry of a child support order is 
 13.5   not grounds for a modification to decrease the amount of support 
 13.6   owed.  However, the fact that an obligor has subsequent children 
 13.7   shall be considered in response to a request by an obligee for a 
 13.8   modification to increase child support.  In order to deviate 
 13.9   from the support guidelines in subdivision 5 to consider the 
 13.10  needs of subsequent children, the trial court must: 
 13.11     (1) find the obligor's total ability to contribute to 
 13.12  dependent children, taking into account the obligor's income and 
 13.13  reasonable expenses exclusive of child care.  The obligor's 
 13.14  expenses must be: 
 13.15     (i) reduced as appropriate to take into account 
 13.16  contributions to those costs by other adults who share the 
 13.17  obligor's current household; and 
 13.18     (ii) apportioned between the parent and any subsequent 
 13.19  child with regard to shared benefits, including but not limited 
 13.20  to, housing and transportation; 
 13.21     (2) find the total needs of all the obligor's children, and 
 13.22  if these needs are less than the obligor's ability to pay, the 
 13.23  needs may become the obligor's child support obligation.  When 
 13.24  considering the needs of subsequent children, the trial court 
 13.25  must reduce those amounts as appropriate to take into account 
 13.26  the ability to contribute to those needs by another parent of 
 13.27  the children; 
 13.28     (3) make specific findings on the needs of the child or 
 13.29  children who are the subject of the support order under 
 13.30  consideration; and 
 13.31     (4) exercise discretion to fairly determine the current 
 13.32  support obligation and the contribution left available for other 
 13.33  children, considering that the support obligation being 
 13.34  determined should be in an amount at least equal to the 
 13.35  contribution for a subsequent child. 
 13.36     Sec. 11.  Minnesota Statutes 1996, section 518.551, 
 14.1   subdivision 9, is amended to read: 
 14.2      Subd. 9.  [ASSIGNMENT OF RIGHTS; JUDGMENT.] The public 
 14.3   agency responsible for child support enforcement is joined as a 
 14.4   party in each case in which rights are assigned under section 
 14.5   256.74 256.741, subdivision 5 2.  The court administrator shall 
 14.6   enter and docket a judgment obtained by operation of law under 
 14.7   section 548.091, subdivision 1, in the name of the public agency 
 14.8   to the extent that the obligation has been assigned.  When 
 14.9   arrearages are reduced to judgment under circumstances in which 
 14.10  section 548.091 is not applicable, the court shall grant 
 14.11  judgment in favor of, and in the name of, the public agency to 
 14.12  the extent that the arrearages are assigned.  After filing 
 14.13  notice of an assignment with the court administrator, who shall 
 14.14  enter the notice in the docket, the public agency may enforce a 
 14.15  judgment entered before the assignment of rights as if the 
 14.16  judgment were granted to it, and in its name, to the extent that 
 14.17  the arrearages in that judgment are assigned. 
 14.18     Sec. 12.  Minnesota Statutes 1997 Supplement, section 
 14.19  518.5511, subdivision 2, is amended to read: 
 14.20     Subd. 2.  [UNCONTESTED ADMINISTRATIVE PROCEEDING.] (a) 
 14.21  Following the initiation of the administrative process under 
 14.22  subdivision 1, paragraph (c) or (d), the public authority shall, 
 14.23  on the basis of all information available, complete and sign a 
 14.24  proposed order and notice.  The public authority shall attach a 
 14.25  support order worksheet.  In preparing the proposed order, the 
 14.26  public authority will establish child support in the highest 
 14.27  amount permitted under section 518.551, subdivision 5.  The 
 14.28  proposed order shall include written findings in accordance with 
 14.29  section 518.551, subdivision 5, clauses (i) and (j).  If the 
 14.30  public authority has incomplete or insufficient information upon 
 14.31  which to prepare a proposed order, the public authority shall 
 14.32  use the default standard established in section 518.551, 
 14.33  subdivision 5b, paragraph (d), to prepare the proposed order.  
 14.34  The notice shall state that the proposed order will be entered 
 14.35  as a final and binding default order unless one of the parties 
 14.36  contacts the public authority regarding the proposed order 
 15.1   within 30 days following the date of service of the proposed 
 15.2   order.  The notice and proposed order shall be served under the 
 15.3   rules of civil procedure on the noninitiating party and by first 
 15.4   class mail on the initiating party.  After receipt of the notice 
 15.5   and proposed order, the court administrator shall file the 
 15.6   documents. 
 15.7      For the purposes of the administrative process, and 
 15.8   notwithstanding any law or rule to the contrary, the service of 
 15.9   the proposed order under this paragraph shall be deemed to have 
 15.10  commenced a proceeding and the judge shall have jurisdiction 
 15.11  over a contested administrative proceeding.  
 15.12     (b) If the public authority is not contacted by a party 
 15.13  within 30 days after the date of service of the proposed order, 
 15.14  the public authority may submit the proposed order as the 
 15.15  default order.  The default order becomes enforceable upon 
 15.16  signature by an administrative law judge.  The default order 
 15.17  shall be a final order, and shall be served under the rules of 
 15.18  civil procedure. 
 15.19     (c) If the public authority obtains new information after 
 15.20  service of the proposed order, the public authority may prepare 
 15.21  one notice and revised proposed order.  The revised order must 
 15.22  be served by first class mail on the parties.  If the public 
 15.23  authority is not contacted within seven days after the date of 
 15.24  service of the revised order, the public authority may submit 
 15.25  the revised order as a default order but in no event sooner than 
 15.26  30 days after the service of the original proposed order. 
 15.27     (d) The public authority shall file in the district court 
 15.28  copies of all notices served on the parties, proof of service, 
 15.29  the support order worksheet, and all orders.  
 15.30     Sec. 13.  Minnesota Statutes 1997 Supplement, section 
 15.31  518.5512, subdivision 6, is amended to read: 
 15.32     Subd. 6.  [CONTROLLING ORDER DETERMINATION.] The public 
 15.33  authority or a party may request the office of administrative 
 15.34  hearings to determine a controlling order according to section 
 15.35  518C.207, paragraph (c), or in situations in which more than one 
 15.36  order involving the same obligor and child exists. 
 16.1      Sec. 14.  Minnesota Statutes 1997 Supplement, section 
 16.2   518.6111, subdivision 8, is amended to read: 
 16.3      Subd. 8.  [CONTEST.] (a) The obligor may contest 
 16.4   withholding under subdivision 7 on the limited grounds that the 
 16.5   withholding or the amount withheld is improper due to mistake of 
 16.6   fact.  If the obligor chooses to contest the withholding, the 
 16.7   obligor must do so no later than 15 days after the employer 
 16.8   commences withholding, by doing all of the following: 
 16.9      (1) file a request for contested hearing according to 
 16.10  section 518.5511, subdivision 4 3a, and include in the request 
 16.11  the alleged mistake of fact; 
 16.12     (2) serve a copy of the request for contested hearing upon 
 16.13  the public authority and the obligee; and 
 16.14     (3) secure a date for the contested hearing no later than 
 16.15  45 days after receiving notice that withholding has commenced. 
 16.16     (b) The income withholding must remain in place while the 
 16.17  obligor contests the withholding. 
 16.18     (c) If the court finds a mistake in the amount of the 
 16.19  arrearage to be withheld, the court shall continue the income 
 16.20  withholding, but it shall correct the amount of the arrearage to 
 16.21  be withheld. 
 16.22     Sec. 15.  Minnesota Statutes 1997 Supplement, section 
 16.23  518.6111, subdivision 9, is amended to read: 
 16.24     Subd. 9.  [PRIORITY.] (a) An order for or notice of 
 16.25  withholding under this section or execution or garnishment upon 
 16.26  a judgment for child support arrearage or preadjudicated 
 16.27  expenses shall have priority over an attachment, execution, 
 16.28  garnishment, or wage assignment and shall not be subject to the 
 16.29  statutory limitations on amounts levied against the income of 
 16.30  the obligor.  Amounts withheld from an employee's income must 
 16.31  not exceed the maximum permitted under the Consumer Credit 
 16.32  Protection Act, title 15 of the United States Code, section 
 16.33  1673(b). 
 16.34     (b) If more than one order for or notice of withholding 
 16.35  exists involving the same obligor and child, the public 
 16.36  authority shall enforce the most current recent order or 
 17.1   notice.  An order for or notice of withholding that was 
 17.2   previously implemented according to this section shall end as of 
 17.3   the date of the most current recent order.  The public authority 
 17.4   shall notify the payor of funds to withhold under the 
 17.5   most current recent withholding order or notice. 
 17.6      Sec. 16.  Minnesota Statutes 1997 Supplement, section 
 17.7   518.6111, subdivision 14, is amended to read: 
 17.8      Subd. 14.  [TERMINATION BY THE PUBLIC AUTHORITY.] If the 
 17.9   public authority determines that income withholding is no longer 
 17.10  applicable, the public authority shall notify the obligee and 
 17.11  the obligor of intent to terminate income withholding. 
 17.12     Five days following notification to the obligee and 
 17.13  obligor, the public authority shall issue a notice to the payor 
 17.14  of funds terminating income withholding, without a requirement 
 17.15  for a court order unless the obligee has requested a contested 
 17.16  hearing under section 518.5511, subdivision 4 3a. 
 17.17     Sec. 17.  Minnesota Statutes 1997 Supplement, section 
 17.18  518.615, subdivision 1, is amended to read: 
 17.19     Subdivision 1.  [ORDERS BINDING.] Notices or orders for 
 17.20  income withholding or medical support orders issued pursuant to 
 17.21  sections 518.171 and 518.6111 are binding on the employer, 
 17.22  trustee, or other payor of funds after the order and or notice 
 17.23  of for income withholding or enforcement of medical support has 
 17.24  been served on transmitted pursuant to section 518.6111 to the 
 17.25  employer, trustee, or payor of funds. 
 17.26     Sec. 18.  Minnesota Statutes 1996, section 518.615, 
 17.27  subdivision 2, is amended to read: 
 17.28     Subd. 2.  [CONTEMPT ACTION.] An obligee or the public 
 17.29  agency responsible for child support enforcement may initiate a 
 17.30  contempt action against an employer, trustee, or payor of funds, 
 17.31  within the action that created the support obligation, by 
 17.32  serving an order to show cause upon the employer, trustee, or 
 17.33  payor of funds.  
 17.34     The employer, trustee, or payor of funds is presumed to be 
 17.35  in contempt: 
 17.36     (1) if the employer, trustee, or payor of funds has 
 18.1   intentionally failed to withhold support after receiving the 
 18.2   order and or notice of for income withholding or notice of 
 18.3   enforcement of medical support; or 
 18.4      (2) upon presentation of pay stubs or similar documentation 
 18.5   showing the employer, trustee, or payor of funds withheld 
 18.6   support and demonstration that the employer, trustee, or payor 
 18.7   of funds intentionally failed to remit support to the agency 
 18.8   responsible for child support enforcement. 
 18.9      Sec. 19.  Minnesota Statutes 1997 Supplement, section 
 18.10  518.6195, is amended to read: 
 18.11     518.6195 [COLLECTION; ARREARS ONLY.] 
 18.12     (a) Remedies available for the collection and enforcement 
 18.13  of support in this chapter and chapters 256, 257, and 518C also 
 18.14  apply to cases in which the child or children for whom support 
 18.15  is owed are emancipated and the obligor owes past support or has 
 18.16  an accumulated arrearage as of the date of the youngest child's 
 18.17  emancipation.  Child support arrearages under this section 
 18.18  include arrearages for child support, medical support, child 
 18.19  care, pregnancy and birth expenses, and unreimbursed medical 
 18.20  expenses as defined in section 518.171. 
 18.21     (b) This section applies retroactively to any support 
 18.22  arrearage that accrued on or before the date of enactment and to 
 18.23  all arrearages accruing after the date of enactment. 
 18.24     (c) Past support or pregnancy and confinement expenses 
 18.25  ordered for which the obligor has specific court ordered terms 
 18.26  for repayment may not be enforced using drivers' and 
 18.27  occupational or professional license suspension, credit bureau 
 18.28  reporting, and additional income withholding under section 
 18.29  518.6111, subdivision 10, paragraph (a), unless the obligor 
 18.30  fails to comply with the terms of the court order for repayment. 
 18.31     Sec. 20.  Minnesota Statutes 1997 Supplement, section 
 18.32  518.64, subdivision 2, is amended to read: 
 18.33     Subd. 2.  [MODIFICATION.] (a) The terms of an order 
 18.34  respecting maintenance or support may be modified upon a showing 
 18.35  of one or more of the following:  (1) substantially increased or 
 18.36  decreased earnings of a party; (2) substantially increased or 
 19.1   decreased need of a party or the child or children that are the 
 19.2   subject of these proceedings; (3) receipt of assistance under 
 19.3   sections 256.72 to 256.87 or 256B.01 to 256B.40; (4) a change in 
 19.4   the cost of living for either party as measured by the federal 
 19.5   bureau of statistics, any of which makes the terms unreasonable 
 19.6   and unfair; (5) extraordinary medical expenses of the child not 
 19.7   provided for under section 518.171; or (6) the addition of 
 19.8   work-related or education-related child care expenses of the 
 19.9   obligee or a substantial increase or decrease in existing 
 19.10  work-related or education-related child care expenses.  
 19.11     On a motion to modify support, the needs of any child the 
 19.12  obligor has after the entry of the support order that is the 
 19.13  subject of a modification motion shall be considered as provided 
 19.14  by section 518.551, subdivision 5f. 
 19.15     (b) It is presumed that there has been a substantial change 
 19.16  in circumstances under paragraph (a) and the terms of a current 
 19.17  support order shall be rebuttably presumed to be unreasonable 
 19.18  and unfair if: 
 19.19     (1) the application of the child support guidelines in 
 19.20  section 518.551, subdivision 5, to the current circumstances of 
 19.21  the parties results in a calculated court order that is at least 
 19.22  20 percent and at least $50 per month higher or lower than the 
 19.23  current support order; 
 19.24     (2) the medical support provisions of the order established 
 19.25  under section 518.171 are not enforceable by the public 
 19.26  authority or the custodial parent; 
 19.27     (3) health coverage ordered under section 518.171 is not 
 19.28  available to the child for whom the order is established by the 
 19.29  parent ordered to provide; or 
 19.30     (4) the existing support obligation is in the form of a 
 19.31  statement of percentage and not a specific dollar amount.  
 19.32     (c) On a motion for modification of maintenance, including 
 19.33  a motion for the extension of the duration of a maintenance 
 19.34  award, the court shall apply, in addition to all other relevant 
 19.35  factors, the factors for an award of maintenance under section 
 19.36  518.552 that exist at the time of the motion.  On a motion for 
 20.1   modification of support, the court:  
 20.2      (1) shall apply section 518.551, subdivision 5, and shall 
 20.3   not consider the financial circumstances of each party's spouse, 
 20.4   if any; and 
 20.5      (2) shall not consider compensation received by a party for 
 20.6   employment in excess of a 40-hour work week, provided that the 
 20.7   party demonstrates, and the court finds, that: 
 20.8      (i) the excess employment began after entry of the existing 
 20.9   support order; 
 20.10     (ii) the excess employment is voluntary and not a condition 
 20.11  of employment; 
 20.12     (iii) the excess employment is in the nature of additional, 
 20.13  part-time employment, or overtime employment compensable by the 
 20.14  hour or fractions of an hour; 
 20.15     (iv) the party's compensation structure has not been 
 20.16  changed for the purpose of affecting a support or maintenance 
 20.17  obligation; 
 20.18     (v) in the case of an obligor, current child support 
 20.19  payments are at least equal to the guidelines amount based on 
 20.20  income not excluded under this clause; and 
 20.21     (vi) in the case of an obligor who is in arrears in child 
 20.22  support payments to the obligee, any net income from excess 
 20.23  employment must be used to pay the arrearages until the 
 20.24  arrearages are paid in full. 
 20.25     (d) A modification of support or maintenance may be made 
 20.26  retroactive only with respect to any period during which the 
 20.27  petitioning party has pending a motion for modification but only 
 20.28  from the date of service of notice of the motion on the 
 20.29  responding party and on the public authority if public 
 20.30  assistance is being furnished or the county attorney is the 
 20.31  attorney of record.  However, modification may be applied to an 
 20.32  earlier period if the court makes express findings that:  
 20.33     (1) the party seeking modification was precluded from 
 20.34  serving a motion by reason of a significant physical or mental 
 20.35  disability, a material misrepresentation of another party, or 
 20.36  fraud upon the court and that the party seeking modification, 
 21.1   when no longer precluded, promptly served a motion; 
 21.2      (2) the party seeking modification was a recipient of 
 21.3   federal Supplemental Security Income (SSI), Title II Older 
 21.4   Americans, Survivor's Disability Insurance (OASDI), other 
 21.5   disability benefits, or public assistance based upon need during 
 21.6   the period for which retroactive modification is sought; or 
 21.7      (3) the order for which the party seeks amendment was 
 21.8   entered by default, the party shows good cause for not 
 21.9   appearing, and the record contains no factual evidence, or 
 21.10  clearly erroneous evidence regarding the individual obligor's 
 21.11  ability to pay.  
 21.12     The court may provide that a reduction in the amount 
 21.13  allocated for child care expenses based on a substantial 
 21.14  decrease in the expenses is effective as of the date the 
 21.15  expenses decreased. 
 21.16     (e) Except for an award of the right of occupancy of the 
 21.17  homestead, provided in section 518.63, all divisions of real and 
 21.18  personal property provided by section 518.58 shall be final, and 
 21.19  may be revoked or modified only where the court finds the 
 21.20  existence of conditions that justify reopening a judgment under 
 21.21  the laws of this state, including motions under section 518.145, 
 21.22  subdivision 2.  The court may impose a lien or charge on the 
 21.23  divided property at any time while the property, or subsequently 
 21.24  acquired property, is owned by the parties or either of them, 
 21.25  for the payment of maintenance or support money, or may 
 21.26  sequester the property as is provided by section 518.24. 
 21.27     (f) The court need not hold an evidentiary hearing on a 
 21.28  motion for modification of maintenance or support. 
 21.29     (g) Section 518.14 shall govern the award of attorney fees 
 21.30  for motions brought under this subdivision. 
 21.31     Sec. 21.  [518.642] [OVERPAYMENTS.] 
 21.32     If child support or maintenance is not assigned under 
 21.33  section 256.741, and an obligor has overpaid a child support or 
 21.34  maintenance obligation because of a modification or error in the 
 21.35  amount owed, the public authority shall: 
 21.36     (1) apply the amount of the overpayment to reduce the 
 22.1   amount of any child support or maintenance-related arrearages or 
 22.2   debts owed to the obligee; and 
 22.3      (2) if an overpayment exists after the reduction of any 
 22.4   arrearage or debt, reduce the amount of the child support 
 22.5   remitted to the obligee by an amount no greater than 20 percent 
 22.6   of the current monthly support or maintenance obligation and 
 22.7   remit this amount to the obligor until the overpayment is 
 22.8   reduced to zero. 
 22.9      Sec. 22.  Minnesota Statutes 1997 Supplement, section 
 22.10  552.04, subdivision 4, is amended to read: 
 22.11     Subd. 4.  [SERVICE OF THIRD PARTY LEVY; NOTICE AND 
 22.12  DISCLOSURE FORMS.] When levying upon money owed to the judgment 
 22.13  debtor by a third party, the public authority shall serve a copy 
 22.14  of the notice of support judgment levy upon the third party 
 22.15  either by registered or certified mail, or by personal service, 
 22.16  or by electronic transmission.  Along with a copy of the notice 
 22.17  of support judgment levy, the public authority shall serve upon 
 22.18  the third party a notice of support judgment levy and disclosure 
 22.19  form that must be substantially in the form set forth below. 
 22.20                 OFFICE OF ADMINISTRATIVE HEARINGS
 22.21                               File No. ...........
 22.22  ........ (Public authority)
 22.23  against                        NOTICE OF SUPPORT JUDGMENT
 22.24  ........ (Judgment Debtor)     LEVY AND DISCLOSURE
 22.25  and                            (OTHER THAN EARNINGS)
 22.26  ........ (Third Party)
 22.27     PLEASE TAKE NOTICE that pursuant to Minnesota Statutes, 
 22.28  chapters 518 and 522, the undersigned, as representative of the 
 22.29  public authority responsible for child support enforcement, 
 22.30  makes demand and levies execution upon all money due and owing 
 22.31  by you to the judgment debtor for the amount of the judgment 
 22.32  specified below.  A copy of the notice of support judgment levy 
 22.33  is enclosed.  The unpaid judgment balance is $...... 
 22.34     In responding to this levy, you are to complete the 
 22.35  attached disclosure form and mail it to the public authority, 
 22.36  together with your check payable to the public authority, for 
 22.37  the nonexempt amount owed by you to the judgment debtor or for 
 22.38  which you are obligated to the judgment debtor, within the time 
 23.1   limits in chapter 552. 
 23.2                        Public Authority
 23.3                         Address
 23.4                         (........)
 23.5                         Phone number
 23.6      
 23.7                              DISCLOSURE
 23.8      On the ... day of ......, 19..., the time of service of the 
 23.9   execution levy herein, there was due and owing the judgment 
 23.10  debtor from the third party the following: 
 23.11     (1) Money.  Enter on the line below any amounts due and 
 23.12  owing the judgment debtor, except earnings, from the third party.
 23.13     ......................... 
 23.14     (2) Setoff.  Enter on the line below the amount of any 
 23.15  setoff, defense, lien, or claim which the third party claims 
 23.16  against the amount set forth on line (1).  State the facts by 
 23.17  which the setoff, defense, lien, or claim is claimed.  (Any 
 23.18  indebtedness to you incurred by the judgment debtor within ten 
 23.19  days prior to the receipt of the first execution levy on a debt 
 23.20  may not be claimed as a setoff, defense, lien, or claim against 
 23.21  the amount set forth on line (1).) 
 23.22     ......................... 
 23.23     (3) Exemption.  Enter on the line below any amounts or 
 23.24  property claimed by the judgment debtor to be exempt from 
 23.25  execution. 
 23.26     ......................... 
 23.27     (4) Adverse Interest.  Enter on the line below any amounts 
 23.28  claimed by other persons by reason of ownership or interest in 
 23.29  the judgment debtor's property. 
 23.30     ......................... 
 23.31     (5) Enter on the line below the total of lines (2), (3), 
 23.32  and (4). 
 23.33     .........................  
 23.34     (6) Enter on the line below the difference obtained (never 
 23.35  less than zero when line (5) is subtracted from the amount on 
 23.36  line (1)).  
 23.37     ......................... 
 24.1      (7) Enter on the line below 100 percent of the amount of 
 24.2   the public authority's claim which remains unpaid.  
 24.3      ......................... 
 24.4      (8) Enter on the line below the lesser of line (6) and line 
 24.5   (7).  You are instructed to remit this amount only if it is $10 
 24.6   or more.  
 24.7      ......................... 
 24.8                             AFFIRMATION
 24.9      I, .......... (person signing Affirmation), am the third 
 24.10  party or I am authorized by the third party to complete this 
 24.11  nonearnings disclosure, and have done so truthfully and to the 
 24.12  best of my knowledge. 
 24.13  Dated:..........                Signature
 24.14                                   ..........
 24.15                                   Title
 24.16                                   ..........
 24.17                                   Telephone Number
 24.18     Sec. 23.  Laws 1995, chapter 257, article 1, section 34, is 
 24.19  amended to read: 
 24.20     Sec. 34.  [REPORT.] 
 24.21     (a) The commissioner of human services shall evaluate all 
 24.22  child support programs and enforcement mechanisms.  The 
 24.23  evaluation must include a cost-benefit analysis of each program 
 24.24  or enforcement mechanism, and information related to which 
 24.25  programs produce the highest revenue, reduce arrears, avoid 
 24.26  litigation, and result in the best outcome for children and 
 24.27  their parents. 
 24.28     The reports related to the provisions in this chapter are 
 24.29  due two years after the implementation date.  All other reports 
 24.30  on existing programs and enforcement mechanisms are due January 
 24.31  15, 1997 to determine the following: 
 24.32     (1) Minnesota's performance on the child support and 
 24.33  incentive measures submitted by the federal Office of Child 
 24.34  Support to the United States Congress; 
 24.35     (2) Minnesota's performance relative to other states; 
 24.36     (3) individual county performance; and 
 24.37     (4) recommendations for further improvement. 
 24.38     (b) The commissioner shall evaluate in separate categories 
 25.1   the federal, state, and local government costs of child support 
 25.2   enforcement in this state.  The evaluation must also include a 
 25.3   representative sample of private business costs relating to 
 25.4   child support enforcement based on a survey of at least 50 
 25.5   Minnesota businesses and nonprofit organizations. 
 25.6      (c) The commissioner shall also report on the amount of 
 25.7   child support arrearages in this state with separate categories 
 25.8   for the amount of child support in arrears for 90 days, six 
 25.9   months, one year, and two or more years.  The report must 
 25.10  establish a process for determining when an arrearage is 
 25.11  considered uncollectible based on the age of the arrearage and 
 25.12  likelihood of collection of the amount owed.  The amounts 
 25.13  determined to be uncollectible must be deducted from the total 
 25.14  amount of outstanding arrearages for purposes of determining 
 25.15  arrearages that are considered collectible. 
 25.16     (d) The first report on these topics shall be submitted to 
 25.17  the legislature by January 1, 1999, and subsequent reports shall 
 25.18  be submitted biennially before January 15 of each odd-numbered 
 25.19  year. 
 25.20     Sec. 24.  Laws 1997, chapter 203, article 6, section 90, is 
 25.21  amended to read: 
 25.22     Sec. 90.  [CHILD SUPPORT ENFORCEMENT PROGRAM; SERVICES 
 25.23  DELIVERY STUDY.] 
 25.24     The commissioner of human services, in consultation with 
 25.25  the commissioner's advisory committee, shall conduct a study of 
 25.26  the overall state child support enforcement delivery system and 
 25.27  shall recommend to the legislature a program design that will 
 25.28  best meet the following goals: 
 25.29     (1) comply with all state and federal laws and regulations; 
 25.30     (2) deliver child support and paternity services in a 
 25.31  timely manner; 
 25.32     (3) meet federal performance criteria; 
 25.33     (4) provide respectful and efficient service to custodial 
 25.34  and noncustodial parents; 
 25.35     (5) make efficient use of public money funding the program; 
 25.36  and 
 26.1      (6) provide a consistent level of services throughout the 
 26.2   state. 
 26.3      The study may make specific recommendations regarding 
 26.4   staffing, training, program administration, customer access to 
 26.5   services, use of technology, and other features of a successful 
 26.6   child support program.  The commissioner may contract with a 
 26.7   private vendor to complete the study.  The commissioner shall 
 26.8   provide the study and recommendations to the legislature by July 
 26.9   1, 1998 December 1, 1998. 
 26.10                             ARTICLE 2 
 26.11                          OTHER PROVISIONS 
 26.12     Section 1.  Minnesota Statutes 1997 Supplement, section 
 26.13  13.99, subdivision 76b, is amended to read: 
 26.14     Subd. 76b.  [PUTATIVE FATHERS' ADOPTION REGISTRY.] Data in 
 26.15  the putative fathers' adoption registry are classified under 
 26.16  section 259.52, subdivision 4. 
 26.17     Sec. 2.  Minnesota Statutes 1997 Supplement, section 
 26.18  257.352, subdivision 3a, is amended to read: 
 26.19     Subd. 3a.  [UNKNOWN FATHER.] If the local social service 
 26.20  agency, private child-placing agency, the court, petitioner, or 
 26.21  any other party has reason to believe that a child who is the 
 26.22  subject of an adoptive placement proceeding is or may be an 
 26.23  Indian child but the father of the child is unknown and has not 
 26.24  registered with the putative fathers' adoption registry pursuant 
 26.25  to section 259.52, the agency or person shall provide to the 
 26.26  tribe believed to be the Indian child's tribe information 
 26.27  sufficient to enable the tribe to determine the child's 
 26.28  eligibility for membership in the tribe, including, but not 
 26.29  limited to, the legal and maiden name of the birth mother, her 
 26.30  date of birth, the names and dates of birth of her parents and 
 26.31  grandparents, and, if available, information pertaining to the 
 26.32  possible identity, tribal affiliation, or location of the birth 
 26.33  father. 
 26.34     Sec. 3.  Minnesota Statutes 1997 Supplement, section 
 26.35  259.49, subdivision 1, is amended to read: 
 26.36     Subdivision 1.  [TO WHOM GIVEN.] Except as provided in 
 27.1   subdivision 3, and subject to section 259.52, notice of the 
 27.2   hearing upon a petition to adopt a child must be given to:  
 27.3      (a) the guardian, if any, of a child; 
 27.4      (b) the parent of a child if: 
 27.5      (1) the person's name appears on the child's birth 
 27.6   certificate, as a parent; 
 27.7      (2) the person has substantially supported the child; 
 27.8      (3) the person either was married to the person designated 
 27.9   on the birth certificate as the natural mother within the 325 
 27.10  days before the child's birth or married that person within the 
 27.11  ten days after the child's birth; 
 27.12     (4) the person is openly living with the child or the 
 27.13  person designated on the birth certificate as the natural mother 
 27.14  of the child, or both; 
 27.15     (5) the person has been adjudicated the child's parent; 
 27.16     (6) the person has filed a paternity action within 30 days 
 27.17  after the child's birth and the action is still pending; 
 27.18     (7) the person and the mother of the child have signed a 
 27.19  declaration of parentage under section 257.34 before August 1, 
 27.20  1995, which has not been revoked or a recognition of parentage 
 27.21  under section 257.75, which has not been revoked or vacated; or 
 27.22     (8) the person: 
 27.23     (i) is not entitled to notice under clauses (1) to (7); 
 27.24     (ii) has registered with the putative fathers' adoption 
 27.25  registry; 
 27.26     (iii) after receiving a putative fathers' adoption registry 
 27.27  notice, has timely filed an intent to retain parental rights 
 27.28  with entry of appearance form under section 259.52; and 
 27.29     (iv) within 30 days of receipt of the putative fathers' 
 27.30  adoption registry notice has initiated a paternity action, 
 27.31  unless, for good cause shown, he is unable to do so within the 
 27.32  30 days; a paternity action must be initiated by the putative 
 27.33  father in district court; application to the public authority 
 27.34  for paternity establishment services does not constitute 
 27.35  initiation of an action; and 
 27.36     (c) the child's tribe pursuant to section 257.352, 
 28.1   subdivision 3, if the child is an Indian child. 
 28.2      Notice under this section need not be given to a person 
 28.3   listed in this subdivision whose parental rights have been 
 28.4   terminated.  The notice of the hearing may be waived by a 
 28.5   parent, guardian, or other interested party by a writing 
 28.6   executed before two competent witnesses and duly acknowledged.  
 28.7   The waiver must be filed in the adoption proceedings before the 
 28.8   matter is heard. 
 28.9      Sec. 4.  Minnesota Statutes 1997 Supplement, section 
 28.10  259.52, subdivision 1, is amended to read: 
 28.11     Subdivision 1.  [ESTABLISHMENT OF REGISTRY; PURPOSE; FEES.] 
 28.12  (a) The commissioner of health shall establish a putative 
 28.13  fathers' adoption registry for the purpose of determining the 
 28.14  identity and location of a putative father interested in a minor 
 28.15  child who is, or is expected to be, the subject of an adoption 
 28.16  proceeding, in order to provide notice of the adoption 
 28.17  proceeding to the putative father who is not otherwise entitled 
 28.18  to notice under section 259.49, subdivision 1, paragraph (a) or 
 28.19  (b), clauses (1) to (7).  The commissioner of health may 
 28.20  establish informational material and public service 
 28.21  announcements necessary to implement this section.  Any 
 28.22  limitation on a putative father's right to assert an interest in 
 28.23  the child as provided in this section applies only in adoption 
 28.24  proceedings and only to those putative fathers not entitled to 
 28.25  notice and consent under sections 259.24 and 259.49, subdivision 
 28.26  1, paragraph (a) or (b), clauses (1) to (7).  The commissioner 
 28.27  of health has no independent obligation to gather or update the 
 28.28  information to be maintained on the registry.  It is the 
 28.29  registrant's responsibility to update his personal information 
 28.30  on the registry.  
 28.31     (b) The putative fathers' adoption registry must contain 
 28.32  the following information: 
 28.33     (1) with respect to the putative father, the: 
 28.34     (i) name, including any other names by which the putative 
 28.35  father may be known and that he may provide to the registry; 
 28.36     (ii) address at which he may be served with notice of a 
 29.1   petition under this chapter, including any change of address; 
 29.2      (iii) social security number, if known; 
 29.3      (iv) date of birth; and 
 29.4      (v) if applicable, a certified copy of an order by a court 
 29.5   of another state or territory of the United States adjudicating 
 29.6   the putative father to be the father of this child; 
 29.7      (2) with respect to the mother of the child: 
 29.8      (i) name, including all other names known to the putative 
 29.9   father by which the mother may be known; 
 29.10     (ii) if known to the putative father, her last address; 
 29.11     (iii) social security number, if known; and 
 29.12     (iv) date of birth; 
 29.13     (3) if known to the putative father, the name, gender, 
 29.14  place of birth, and date of birth or anticipated date of birth 
 29.15  of the child; 
 29.16     (4) the date that the commissioner of health received the 
 29.17  putative father's registration; and 
 29.18     (5) other information the commissioner of health determines 
 29.19  by rule to be necessary for the orderly administration of the 
 29.20  registry. 
 29.21     (c) The commissioner of health shall notify the mother of 
 29.22  the child whenever a putative father has registered with the 
 29.23  father's adoption registry under this section.  Notice shall be 
 29.24  sent to the name and address submitted by the putative father 
 29.25  under paragraph (b), clause (2).  If no current address for the 
 29.26  mother is submitted by the putative father under paragraph (b), 
 29.27  clause (2), the commissioner of health shall not notify the 
 29.28  mother.  The commissioner of health has no independent 
 29.29  obligation to locate the mother.  The notice shall be mailed 
 29.30  within 14 days of the date that the commissioner received the 
 29.31  putative father's adoption registration unless a search has been 
 29.32  requested under subdivision 2.  There shall be no charge to the 
 29.33  birth mother for this notice. 
 29.34     (d) The commissioner of health shall set reasonable fees 
 29.35  for the use of the registry; however, a putative father shall 
 29.36  not be charged a fee for registering.  Revenues generated by the 
 30.1   fee must be deposited in the state government special revenue 
 30.2   fund and appropriated to the commissioner of health to 
 30.3   administer the putative fathers' adoption registry. 
 30.4      Sec. 5.  Minnesota Statutes 1997 Supplement, section 
 30.5   259.52, subdivision 2, is amended to read: 
 30.6      Subd. 2.  [REQUIREMENT TO SEARCH REGISTRY BEFORE ADOPTION 
 30.7   PETITION CAN BE GRANTED; PROOF OF SEARCH.] No petition for 
 30.8   adoption may be granted unless the agency supervising the 
 30.9   adoptive placement, the birth mother of the child, or, in the 
 30.10  case of a stepparent or relative adoption, the county agency 
 30.11  responsible for the report required under section 259.53, 
 30.12  subdivision 1, requests that the commissioner of health search 
 30.13  the registry to determine whether a putative father is 
 30.14  registered in relation to a child who is or may be the subject 
 30.15  of an adoption petition.  The search required by this 
 30.16  subdivision must be conducted no sooner than 31 days following 
 30.17  the birth of the child.  A search of the registry may be proven 
 30.18  by the production of a certified copy of the registration form 
 30.19  or by a certified statement of the commissioner of health that 
 30.20  after a search no registration of a putative father in relation 
 30.21  to a child who is or may be the subject of an adoption petition 
 30.22  could be located.  Certification that the putative fathers' 
 30.23  adoption registry has been searched must be filed with the court 
 30.24  prior to entry of any final order of adoption.  In addition to 
 30.25  the search required by this subdivision, the agency supervising 
 30.26  the adoptive placement, the birth mother of the child, or, in 
 30.27  the case of a stepparent or relative adoption, the county agency 
 30.28  responsible for the report under section 259.53, subdivision 1, 
 30.29  may request that the commissioner of health search the registry 
 30.30  at any time. 
 30.31     Sec. 6.  Minnesota Statutes 1997 Supplement, section 
 30.32  259.52, subdivision 4, is amended to read: 
 30.33     Subd. 4.  [CLASSIFICATION OF REGISTRY DATA.] Data in the 
 30.34  putative fathers' adoption registry are private data on 
 30.35  individuals, as defined in section 13.02, subdivision 2.  Data 
 30.36  in the registry may be released to: 
 31.1      (1) a person who is required to search the registry under 
 31.2   subdivision 2, if the data relate to the child who is or may be 
 31.3   the subject of the adoption petition; or 
 31.4      (2) the mother of the child listed on the putative father's 
 31.5   registration form who the commissioner of health is required to 
 31.6   notify under subdivision 1, paragraph (c); or 
 31.7      (3) a public authority as provided in subdivision 3. 
 31.8      A person who receives data under this subdivision may use 
 31.9   the data only for purposes authorized under this section or 
 31.10  other law. 
 31.11     Sec. 7.  Minnesota Statutes 1997 Supplement, section 
 31.12  259.52, subdivision 6, is amended to read: 
 31.13     Subd. 6.  [WHO MAY REGISTER.] Any putative father may 
 31.14  register with the putative fathers' adoption registry.  However, 
 31.15  any limitation on a putative father's right to assert an 
 31.16  interest in the child as provided in this section applies only 
 31.17  in adoption proceedings and only to those putative fathers not 
 31.18  entitled to notice and consent under sections 259.24 and 259.49, 
 31.19  subdivision 1, paragraph (a) or (b), clauses (1) to (7). 
 31.20     Sec. 8.  Minnesota Statutes 1997 Supplement, section 
 31.21  259.52, subdivision 8, is amended to read: 
 31.22     Subd. 8.  [FAILURE TO REGISTER.] Except for a putative 
 31.23  father who is entitled to notice and consent under sections 
 31.24  259.24 and 259.49, subdivision 1, paragraph (a) or (b), clauses 
 31.25  (1) to (7), a putative father who fails to timely register with 
 31.26  the putative fathers' adoption registry under subdivision 7: 
 31.27     (1) is barred thereafter from bringing or maintaining an 
 31.28  action to assert any interest in the child during the pending 
 31.29  adoption proceeding concerning the child; 
 31.30     (2) is considered to have waived and surrendered any right 
 31.31  to notice of any hearing in any judicial proceeding for adoption 
 31.32  of the child, and consent of that person to the adoption of the 
 31.33  child is not required; and 
 31.34     (3) is considered to have abandoned the child. 
 31.35     Failure to register under subdivision 7 is prima facie 
 31.36  evidence of sufficient grounds to support termination of the 
 32.1   putative father's parental rights under section 260.221, 
 32.2   subdivision 1. 
 32.3      A putative father who has not timely registered under 
 32.4   subdivision 7 is considered to have timely registered if he 
 32.5   proves by clear and convincing evidence that: 
 32.6      (i) it was not possible for him to register within the 
 32.7   period of time specified in subdivision 7; 
 32.8      (ii) his failure to register was through no fault of his 
 32.9   own; and 
 32.10     (iii) he registered within ten days after it became 
 32.11  possible for him to file. 
 32.12     A lack of knowledge of the pregnancy or birth is not an 
 32.13  acceptable reason for failure to register.  
 32.14     Sec. 9.  Minnesota Statutes 1997 Supplement, section 
 32.15  259.52, subdivision 9, is amended to read: 
 32.16     Subd. 9.  [NOTICE AND SERVICE FOR THOSE ON PUTATIVE 
 32.17  FATHERS' ADOPTION REGISTRY WHO ARE NOT OTHERWISE ENTITLED TO 
 32.18  NOTICE.] Any time after conception, an interested party, 
 32.19  including persons intending to adopt a child, a child welfare 
 32.20  agency with whom the mother has placed or has given written 
 32.21  notice of her intention to place a child for adoption, the 
 32.22  mother of a child, or any attorney representing an interested 
 32.23  party, may file with the court administrator a written request 
 32.24  that the putative fathers on the registry who have registered in 
 32.25  relation to the child be served with serve by certified mail a 
 32.26  putative fathers' adoption registry notice to registered 
 32.27  putative father, an intent to claim parental rights with entry 
 32.28  of appearance form, and a denial of paternity with entry of 
 32.29  appearance form, and a consent to adoption form pursuant to 
 32.30  subdivision 11.  These documents may be served on a putative 
 32.31  father in the same manner as a summons is served in other civil 
 32.32  proceedings, or, in lieu of personal service, service may be 
 32.33  made as follows: 
 32.34     (a) The person requesting notice shall pay to the court 
 32.35  administrator a mailing fee plus the cost of United States 
 32.36  postage for certified or registered mail and furnish to the 
 33.1   court administrator an original and one copy of the putative 
 33.2   fathers' adoption registry notice, the intent to claim parental 
 33.3   rights with entry of appearance form, and the denial of 
 33.4   paternity with entry of appearance and consent to adoption form 
 33.5   together with an affidavit setting forth the putative father's 
 33.6   last known address.  The original putative fathers' adoption 
 33.7   registry notice, the intent to claim parental rights with entry 
 33.8   of appearance form, and the denial of paternity with entry of 
 33.9   appearance and consent to adoption form must be retained by the 
 33.10  court administrator. 
 33.11     (b) The court administrator The interested party or that 
 33.12  party's attorney shall mail to the putative father, at the 
 33.13  address appearing in the affidavit provided to the registry, the 
 33.14  copy of the putative fathers' adoption registry notice to 
 33.15  registered putative father, the intent to claim parental 
 33.16  rights with entry of appearance form, and the denial of 
 33.17  paternity with entry of appearance form, and the consent to 
 33.18  adoption form by certified mail, return receipt requested.  The 
 33.19  envelope and return receipt must bear the return address of the 
 33.20  court administrator.  The receipt for certified mail must state 
 33.21  the name and address of the addressee and the date of mailing 
 33.22  and must be attached to the original notice. 
 33.23     (c) (b) The return receipt, when returned to the court 
 33.24  administrator filed with the court, must be attached to the 
 33.25  original putative fathers' adoption registry notice to 
 33.26  registered putative father, the intent to claim parental 
 33.27  rights with entry of appearance form, and the denial of 
 33.28  paternity with entry of appearance form, and the consent to 
 33.29  adoption form and constitutes proof of service. 
 33.30     (d) (c) The court administrator shall note the fact of 
 33.31  service in a permanent record. 
 33.32     Sec. 10.  Minnesota Statutes 1997 Supplement, section 
 33.33  259.52, subdivision 10, is amended to read: 
 33.34     Subd. 10.  [RESPONSE TO PUTATIVE FATHERS' ADOPTION REGISTRY 
 33.35  NOTICE TO REGISTERED PUTATIVE FATHER; LIMITATION OF RIGHTS FOR 
 33.36  FAILURE TO RESPOND AND UPON FILING OF DISCLAIMER DENIAL OF 
 34.1   PATERNITY.] Within 30 days of receipt of the putative fathers' 
 34.2   adoption registry notice to registered putative father, the 
 34.3   intent to claim parental rights with entry of appearance form, 
 34.4   and the denial of paternity with entry of appearance form, and 
 34.5   the consent to adoption form, the putative father must file a 
 34.6   completed intent to claim parental rights with entry of 
 34.7   appearance form with the court administrator stating that he 
 34.8   intends to initiate a paternity action within 30 days of receipt 
 34.9   of the putative fathers' adoption registry notice to registered 
 34.10  putative father in order to preserve the right to maintain an 
 34.11  interest in the child and receive notice during the pending 
 34.12  adoption proceeding.  Failure to initiate a paternity action 
 34.13  within 30 days of receipt of the putative fathers' adoption 
 34.14  registry notice to registered putative father does not act as a 
 34.15  bar to receiving notice under section 259.49.  If good cause is 
 34.16  shown, the putative father must be allowed more time to initiate 
 34.17  the paternity action.  A putative father who files a completed 
 34.18  denial of paternity with entry of appearance form and consent to 
 34.19  adoption form or who fails to timely file an intent to claim 
 34.20  parental rights with entry of appearance form with the court: 
 34.21     (1) is barred from later bringing or maintaining an action 
 34.22  to assert any interest in the child during the pending adoption 
 34.23  proceeding concerning the child; 
 34.24     (2) is considered to have waived and surrendered a right to 
 34.25  notice of a hearing in any judicial proceeding for adoption of 
 34.26  the child, and consent of that person to the adoption of the 
 34.27  child is not required; and 
 34.28     (3) is considered to have abandoned the child.  
 34.29  Failure to register is prima facie evidence of sufficient 
 34.30  grounds to support termination of the putative father's parental 
 34.31  rights. 
 34.32     Sec. 11.  Minnesota Statutes 1997 Supplement, section 
 34.33  259.52, subdivision 11, is amended to read: 
 34.34     Subd. 11.  [PUTATIVE FATHERS' ADOPTION REGISTRY NOTICE; 
 34.35  INTENT TO CLAIM PARENTAL RIGHTS WITH ENTRY OF APPEARANCE FORM; 
 34.36  DENIAL OF PATERNITY WITH ENTRY OF APPEARANCE; AND CONSENT TO 
 35.1   ADOPTION FORM FORMS.] (a) The putative father's adoption 
 35.2   registry notice sent under subdivision 9 must be substantially 
 35.3   as follows: 
 35.4      "IN THE MATTER OF NOTICE TO .........., REGISTERED PUTATIVE 
 35.5   FATHER. 
 35.6      You have signed the putative fathers' adoption registry 
 35.7   indicating that you are the father of a child born on the 
 35.8   .......... day of .........., ...., (or expected to be born on 
 35.9   or about the ....... day of .........., ....). 
 35.10     The mother of the child is ........... 
 35.11     The mother has indicated that she intends to place the 
 35.12  child for adoption. 
 35.13     As the alleged father of the child by virtue of signing the 
 35.14  putative fathers' adoption registry, you have certain legal 
 35.15  rights with respect to the child, including the right to notice 
 35.16  of the filing of proceedings instituted for the adoption of the 
 35.17  child.  If you wish to retain your rights with respect to the 
 35.18  child, you must file with the court administrator, Court of 
 35.19  .......... County, Minnesota, whose address is .........., 
 35.20  Minnesota, within 30 days after the date of receipt of this 
 35.21  notice, the enclosed intent to claim parental rights with entry 
 35.22  of appearance form stating that you are, in fact, the father of 
 35.23  the child and that you intend to retain your legal rights with 
 35.24  respect to the child by initiating a paternity action within 30 
 35.25  days of receipt of the putative fathers' adoption registry 
 35.26  notice. 
 35.27     If you do not file an intent to claim parental rights with 
 35.28  entry of appearance form or a request for notice, then whatever 
 35.29  legal rights you have with respect to the child, including the 
 35.30  right to notice of any future proceedings for the adoption of 
 35.31  the child, may be terminated without any further notice to you.  
 35.32  When your legal rights with respect to the child are so 
 35.33  terminated, you will not be entitled to notice of any proceeding 
 35.34  instituted for the adoption of the child. 
 35.35     If you are not the father of the child, you may file with 
 35.36  the court administrator the denial of paternity with entry of 
 36.1   appearance and consent to adoption form enclosed herewith and 
 36.2   you will receive no further notice with respect to the child." 
 36.3      (b) The intent to claim parental rights with entry of 
 36.4   appearance form sent under subdivision 9 must be substantially 
 36.5   as follows: 
 36.6     "INTENT TO CLAIM PARENTAL RIGHTS WITH ENTRY OF APPEARANCE
 36.7   I, .........., state as follows: 
 36.8      (1) That I am ..... years of age; and I reside at 
 36.9   .......... in the County of .........., State of ........... 
 36.10     (2) That I have been advised that .......... is the mother 
 36.11  of a .......... male/female child named .......... born or 
 36.12  expected to be born on or about .......... and that such mother 
 36.13  has stated that I am the father of this child. 
 36.14     (3) I declare that I am the father of this child. 
 36.15     (4) I understand that the mother of this child wishes to 
 36.16  consent to the adoption of this child.  I do not consent to the 
 36.17  adoption of this child, and I understand that I must return this 
 36.18  intent to claim parental rights with entry of appearance form to 
 36.19  the court administrator of .......... County, located at 
 36.20  .........., within 30 days of receipt of this notice. 
 36.21     (5) I further understand that I am also obligated to 
 36.22  initiate a paternity action under the Parentage Act (Minnesota 
 36.23  Statutes, sections 257.51 to 257.74) within 30 days of my 
 36.24  receiving the putative fathers' adoption registry notice, or, if 
 36.25  the child is not yet born, within 30 days after the birth of the 
 36.26  child, unless for good cause shown I am unable to do so.  That 
 36.27  proceeding is separate and distinct from the above mailing of 
 36.28  intent to claim parental rights with entry of appearance form; 
 36.29  in the paternity action, I must state that I am, in fact, the 
 36.30  father of said child for one or more of the reasons stated in 
 36.31  Minnesota Statutes, section 257.55, subdivision 1, and that I 
 36.32  intend to retain my legal rights with respect to said child, and 
 36.33  request to be notified of any further proceedings with respect 
 36.34  to custody or adoption of the child. 
 36.35     (6) I hereby enter my appearance in the above entitled 
 36.36  cause. 
 37.1                                OATH
 37.2      I have been duly sworn and I say under oath that I have 
 37.3   read and understand this intent to claim parental rights with 
 37.4   entry of appearance form.  The facts that it contains are true 
 37.5   and correct to the best of my knowledge, and I understand that 
 37.6   by signing this document I admit my paternity.  I have signed 
 37.7   this document as my free and voluntary act. 
 37.8                                      ...........
 37.9                                      (Signature)
 37.10  Dated this .......... day of .........., ..... 
 37.11  Signed and Sworn Before Me This ....... day of .........., ..... 
 37.12                                     ...........
 37.13                                     (notary public)"
 37.14     (c) The denial of paternity with entry of appearance and 
 37.15  consent to adoption form sent under subdivision 9 must be 
 37.16  substantially as follows: 
 37.17         "DENIAL OF PATERNITY WITH ENTRY OF APPEARANCE AND
 37.18                       CONSENT TO ADOPTION
 37.19  I, .........., state as follows: 
 37.20     (1) That I am ..... years of age; and I reside at 
 37.21  .......... in the County of .........., State of ........... 
 37.22     (2) That I have been advised that .......... is the mother 
 37.23  of a .......... male/female child named .......... born or 
 37.24  expected to be born on or about .......... and that I have 
 37.25  registered with the putative fathers' adoption registry stating 
 37.26  that I am the father of this child. 
 37.27     (3) I now deny that I am the father of this child.  My 
 37.28  denial at this time will not subject me to any criminal 
 37.29  liability. 
 37.30     (4) I further understand that the mother of this child 
 37.31  wishes to consent to the adoption of the child.  I hereby 
 37.32  consent to the adoption of this child, and waive any rights, 
 37.33  remedies, and defenses that I may have now or in the future.  
 37.34  This consent is being given in order to facilitate the adoption 
 37.35  of the child and so that the court may terminate what rights I 
 37.36  may have to the child.  This consent is not in any manner an 
 38.1   admission of paternity. 
 38.2      (5) I hereby enter my appearance in the above entitled 
 38.3   cause and waive service of summons and other pleading. 
 38.4                                OATH
 38.5      I have been duly sworn and I say under oath that I have 
 38.6   read and understood this denial of paternity with entry of 
 38.7   appearance and consent to adoption.  The facts it contains are 
 38.8   true and correct to the best of my knowledge, and I understand 
 38.9   that by signing this document I have not admitted paternity.  I 
 38.10  have signed this document as my free and voluntary act in order 
 38.11  to facilitate the adoption of the child. 
 38.12                                     ...........
 38.13                                     (Signature)
 38.14  Dated this .......... day of .........., ..... 
 38.15  Signed and Sworn Before Me This ....... day of .........., ..... 
 38.16                                     ...........
 38.17                                     (notary public)"
 38.18     [The names of adoptive parents must not be included in the 
 38.19  notice.] The office of the state court administrator shall 
 38.20  develop the following forms:  
 38.21     (1) notice to registered putative father; 
 38.22     (2) intent to claim parental rights; 
 38.23     (3) denial of paternity; and 
 38.24     (4) consent to adoption. 
 38.25     Sec. 12.  Minnesota Statutes 1997 Supplement, section 
 38.26  259.52, subdivision 12, is amended to read: 
 38.27     Subd. 12.  [RIGHT TO COUNSEL AT PUBLIC EXPENSE.] Upon proof 
 38.28  of indigency, a putative father who has registered with the 
 38.29  fathers' adoption registry, has received a putative fathers' 
 38.30  adoption registry notice to registered putative father, and has 
 38.31  timely filed an intent to claim paternal rights with entry of 
 38.32  appearance form with the court administrator, must have counsel 
 38.33  appointed at public expense. 
 38.34     Sec. 13.  Minnesota Statutes 1997 Supplement, section 
 38.35  259.52, subdivision 14, is amended to read: 
 38.36     Subd. 14.  [FEES FOR PUTATIVE FATHERS' ADOPTION REGISTRY.] 
 39.1   The district court administrator in every judicial district 
 39.2   shall, in addition to any other filing fees, assess a $75 
 39.3   adoption filing fee surcharge on each adoption petition filed in 
 39.4   the district court for the purpose of implementing and 
 39.5   maintaining the putative fathers' adoption registry.  The court 
 39.6   administrator shall forward fees collected under this 
 39.7   subdivision to the commissioner of finance for deposit into the 
 39.8   state government special revenue fund to be appropriated to the 
 39.9   commissioner of health to administer the putative fathers' 
 39.10  adoption registry established under this section. 
 39.11     Sec. 14.  Minnesota Statutes 1997 Supplement, section 
 39.12  259.52, is amended by adding a subdivision to read: 
 39.13     Subd. 15.  [INTERNATIONAL ADOPTIONS.] This section does not 
 39.14  apply to international adoptions. 
 39.15     Sec. 15.  Minnesota Statutes 1997 Supplement, section 
 39.16  260.221, subdivision 1, is amended to read: 
 39.17     Subdivision 1.  [VOLUNTARY AND INVOLUNTARY.] The juvenile 
 39.18  court may upon petition, terminate all rights of a parent to a 
 39.19  child with the written consent of a parent who for good cause 
 39.20  desires to terminate parental rights; or if it finds that one or 
 39.21  more of the following conditions exist: 
 39.22     (1) that the parent has abandoned the child; or 
 39.23     (2) that the parent has substantially, continuously, or 
 39.24  repeatedly refused or neglected to comply with the duties 
 39.25  imposed upon that parent by the parent and child relationship, 
 39.26  including but not limited to providing the child with necessary 
 39.27  food, clothing, shelter, education, and other care and control 
 39.28  necessary for the child's physical, mental, or emotional health 
 39.29  and development, if the parent is physically and financially 
 39.30  able, and reasonable efforts by the social service agency have 
 39.31  failed to correct the conditions that formed the basis of the 
 39.32  petition; or 
 39.33     (3) that a parent has been ordered to contribute to the 
 39.34  support of the child or financially aid in the child's birth and 
 39.35  has continuously failed to do so without good cause.  This 
 39.36  clause shall not be construed to state a grounds for termination 
 40.1   of parental rights of a noncustodial parent if that parent has 
 40.2   not been ordered to or cannot financially contribute to the 
 40.3   support of the child or aid in the child's birth; or 
 40.4      (4) that a parent is palpably unfit to be a party to the 
 40.5   parent and child relationship because of a consistent pattern of 
 40.6   specific conduct before the child or of specific conditions 
 40.7   directly relating to the parent and child relationship either of 
 40.8   which are determined by the court to be of a duration or nature 
 40.9   that renders the parent unable, for the reasonably foreseeable 
 40.10  future, to care appropriately for the ongoing physical, mental, 
 40.11  or emotional needs of the child.  It is presumed that a parent 
 40.12  is palpably unfit to be a party to the parent and child 
 40.13  relationship upon a showing that: 
 40.14     (i) the child was adjudicated in need of protection or 
 40.15  services due to circumstances described in section 260.015, 
 40.16  subdivision 2a, clause (1), (2), (3), (5), or (8); and 
 40.17     (ii) the parent's parental rights to one or more other 
 40.18  children were involuntarily terminated under clause (1), (2), 
 40.19  (4), or (7), or under clause (5) if the child was initially 
 40.20  determined to be in need of protection or services due to 
 40.21  circumstances described in section 260.015, subdivision 2a, 
 40.22  clause (1), (2), (3), (5), or (8); or 
 40.23     (5) that following upon a determination of neglect or 
 40.24  dependency, or of a child's need for protection or services, 
 40.25  reasonable efforts, under the direction of the court, have 
 40.26  failed to correct the conditions leading to the determination.  
 40.27  It is presumed that reasonable efforts under this clause have 
 40.28  failed upon a showing that: 
 40.29     (i) a child has resided out of the parental home under 
 40.30  court order for a cumulative period of more than one year within 
 40.31  a five-year period following an adjudication of dependency, 
 40.32  neglect, need for protection or services under section 260.015, 
 40.33  subdivision 2a, clause (1), (2), (3), (6), (8), or (9), or 
 40.34  neglected and in foster care, and an order for disposition under 
 40.35  section 260.191, including adoption of the case plan required by 
 40.36  section 257.071; 
 41.1      (ii) conditions leading to the determination will not be 
 41.2   corrected within the reasonably foreseeable future.  It is 
 41.3   presumed that conditions leading to a child's out-of-home 
 41.4   placement will not be corrected in the reasonably foreseeable 
 41.5   future upon a showing that the parent or parents have not 
 41.6   substantially complied with the court's orders and a reasonable 
 41.7   case plan, and the conditions which led to the out-of-home 
 41.8   placement have not been corrected; and 
 41.9      (iii) reasonable efforts have been made by the social 
 41.10  service agency to rehabilitate the parent and reunite the family.
 41.11     This clause does not prohibit the termination of parental 
 41.12  rights prior to one year after a child has been placed out of 
 41.13  the home.  
 41.14     It is also presumed that reasonable efforts have failed 
 41.15  under this clause upon a showing that: 
 41.16     (i) the parent has been diagnosed as chemically dependent 
 41.17  by a professional certified to make the diagnosis; 
 41.18     (ii) the parent has been required by a case plan to 
 41.19  participate in a chemical dependency treatment program; 
 41.20     (iii) the treatment programs offered to the parent were 
 41.21  culturally, linguistically, and clinically appropriate; 
 41.22     (iv) the parent has either failed two or more times to 
 41.23  successfully complete a treatment program or has refused at two 
 41.24  or more separate meetings with a caseworker to participate in a 
 41.25  treatment program; and 
 41.26     (v) the parent continues to abuse chemicals.  
 41.27  Provided, that this presumption applies only to parents required 
 41.28  by a case plan to participate in a chemical dependency treatment 
 41.29  program on or after July 1, 1990; or 
 41.30     (6) that a child has experienced egregious harm in the 
 41.31  parent's care which is of a nature, duration, or chronicity that 
 41.32  indicates a lack of regard for the child's well-being, such that 
 41.33  a reasonable person would believe it contrary to the best 
 41.34  interest of the child or of any child to be in the parent's 
 41.35  care; or 
 41.36     (7) that in the case of a child born to a mother who was 
 42.1   not married to the child's father when the child was conceived 
 42.2   nor when the child was born the person is not entitled to notice 
 42.3   of an adoption hearing under section 259.49 and the person has 
 42.4   not registered with the putative fathers' adoption registry 
 42.5   under section 259.52; or 
 42.6      (8) that the child is neglected and in foster care; or 
 42.7      (9) that the parent has been convicted of a crime listed in 
 42.8   section 260.012, paragraph (b), clauses (1) to (3). 
 42.9      In an action involving an American Indian child, sections 
 42.10  257.35 to 257.3579 and the Indian Child Welfare Act, United 
 42.11  States Code, title 25, sections 1901 to 1923, control to the 
 42.12  extent that the provisions of this section are inconsistent with 
 42.13  those laws. 
 42.14     Sec. 16.  Minnesota Statutes 1997 Supplement, section 
 42.15  260.221, subdivision 1a, is amended to read: 
 42.16     Subd. 1a.  [EVIDENCE OF ABANDONMENT.] For purposes of 
 42.17  subdivision 1, clause (1): 
 42.18     (a) Abandonment is presumed when: 
 42.19     (1) the parent has had no contact with the child on a 
 42.20  regular basis and not demonstrated consistent interest in the 
 42.21  child's well-being for six months; and 
 42.22     (2) the social service agency has made reasonable efforts 
 42.23  to facilitate contact, unless the parent establishes that an 
 42.24  extreme financial or physical hardship or treatment for mental 
 42.25  disability or chemical dependency or other good cause prevented 
 42.26  the parent from making contact with the child.  This presumption 
 42.27  does not apply to children whose custody has been determined 
 42.28  under chapter 257 or 518.  The court is not prohibited from 
 42.29  finding abandonment in the absence of this presumption. 
 42.30     (b) The following are prima facie evidence of abandonment 
 42.31  where adoption proceedings are pending and there has been a 
 42.32  showing that the person was not entitled to notice of an 
 42.33  adoption proceeding under section 259.49: 
 42.34     (1) failure to register with the putative fathers' adoption 
 42.35  registry under section 259.52; or 
 42.36     (2) if the person registered with the putative fathers' 
 43.1   adoption registry under section 259.52: 
 43.2      (i) filing a denial of paternity within 30 days of receipt 
 43.3   of notice under section 259.52, subdivision 8; 
 43.4      (ii) failing to timely file an intent to claim parental 
 43.5   rights with entry of appearance form within 30 days of receipt 
 43.6   of notice under section 259.52, subdivision 10; or 
 43.7      (iii) timely filing an intent to claim parental rights with 
 43.8   entry of appearance form within 30 days of receipt of notice 
 43.9   under section 259.52, subdivision 10, but failing to initiate a 
 43.10  paternity action within 30 days of receiving the putative 
 43.11  fathers' adoption registry notice where there has been no 
 43.12  showing of good cause for the delay. 
 43.13     Sec. 17.  Minnesota Statutes 1997 Supplement, section 
 43.14  357.021, subdivision 2, is amended to read: 
 43.15     Subd. 2.  [FEE AMOUNTS.] The fees to be charged and 
 43.16  collected by the court administrator shall be as follows: 
 43.17     (1) In every civil action or proceeding in said court, 
 43.18  including any case arising under the tax laws of the state that 
 43.19  could be transferred or appealed to the tax court, the 
 43.20  plaintiff, petitioner, or other moving party shall pay, when the 
 43.21  first paper is filed for that party in said action, a fee of 
 43.22  $122. 
 43.23     The defendant or other adverse or intervening party, or any 
 43.24  one or more of several defendants or other adverse or 
 43.25  intervening parties appearing separately from the others, shall 
 43.26  pay, when the first paper is filed for that party in said 
 43.27  action, a fee of $122. 
 43.28     The party requesting a trial by jury shall pay $75. 
 43.29     The fees above stated shall be the full trial fee 
 43.30  chargeable to said parties irrespective of whether trial be to 
 43.31  the court alone, to the court and jury, or disposed of without 
 43.32  trial, and shall include the entry of judgment in the action, 
 43.33  but does not include copies or certified copies of any papers so 
 43.34  filed or proceedings under chapter 103E, except the provisions 
 43.35  therein as to appeals. 
 43.36     (2) Certified copy of any instrument from a civil or 
 44.1   criminal proceeding, $10, and $5 for an uncertified copy. 
 44.2      (3) Issuing a subpoena, $3 for each name. 
 44.3      (4) Issuing an execution and filing the return thereof; 
 44.4   issuing a writ of attachment, injunction, habeas corpus, 
 44.5   mandamus, quo warranto, certiorari, or other writs not 
 44.6   specifically mentioned, $10. 
 44.7      (5) Issuing a transcript of judgment, or for filing and 
 44.8   docketing a transcript of judgment from another court, $7.50. 
 44.9      (6) Filing and entering a satisfaction of judgment, partial 
 44.10  satisfaction, or assignment of judgment, $5. 
 44.11     (7) Certificate as to existence or nonexistence of 
 44.12  judgments docketed, $5 for each name certified to. 
 44.13     (8) Filing and indexing trade name; or recording basic 
 44.14  science certificate; or recording certificate of physicians, 
 44.15  osteopaths, chiropractors, veterinarians, or optometrists, $5. 
 44.16     (9) For the filing of each partial, final, or annual 
 44.17  account in all trusteeships, $10. 
 44.18     (10) For the deposit of a will, $5. 
 44.19     (11) For recording notary commission, $25, of which, 
 44.20  notwithstanding subdivision 1a, paragraph (b), $20 must be 
 44.21  forwarded to the state treasurer to be deposited in the state 
 44.22  treasury and credited to the general fund. 
 44.23     (12) When a defendant pleads guilty to or is sentenced for 
 44.24  a petty misdemeanor other than a parking violation, the 
 44.25  defendant shall pay a fee of $11. 
 44.26     (13) Filing a motion or response to a motion for 
 44.27  modification of child support, a fee fixed by rule or order of 
 44.28  the supreme court.  
 44.29     (14) All other services required by law for which no fee is 
 44.30  provided, such fee as compares favorably with those herein 
 44.31  provided, or such as may be fixed by rule or order of the court. 
 44.32     (15) In addition to any other filing fees under this 
 44.33  chapter, a surcharge in the amount of $75 must be assessed in 
 44.34  accordance with section 259.52, subdivision 14, for each 
 44.35  adoption petition filed in district court to fund the putative 
 44.36  fathers' adoption registry under section 259.52. 
 45.1      The fees in clauses (3) and (4) need not be paid by a 
 45.2   public authority or the party the public authority represents. 
 45.3      Sec. 18.  Minnesota Statutes 1996, section 550.136, 
 45.4   subdivision 2, is amended to read: 
 45.5      Subd. 2.  [DEFINITIONS.] For purposes of this section, the 
 45.6   following terms have the meanings given them: 
 45.7      (a) "earnings" means: 
 45.8      (1) compensation paid or payable to an employee for 
 45.9   personal service whether denominated as wages, salary, 
 45.10  commissions, bonus, or otherwise, and includes periodic payments 
 45.11  pursuant to a pension or retirement program; or 
 45.12     (2) compensation paid or payable to the producer for the 
 45.13  sale of agricultural products; livestock or livestock products; 
 45.14  milk or milk products; or fruit or other horticultural products 
 45.15  produced when the producer is operating a family farm, a family 
 45.16  farm corporation, or an authorized farm corporation, as defined 
 45.17  in section 500.24, subdivision 2; or 
 45.18     (3) maintenance as defined in section 518.54, subdivision 3.
 45.19     (b) "disposable earnings" means that part of the earnings 
 45.20  of an individual remaining after the deduction from those 
 45.21  earnings of amounts required by law to be withheld; 
 45.22     (c) "employee" means an individual who performs services 
 45.23  subject to the right of the employer to control both what is 
 45.24  done and how it is done; and 
 45.25     (d) "employer" means a person for whom an individual 
 45.26  performs services as an employee. 
 45.27     Sec. 19.  Minnesota Statutes 1996, section 571.921, is 
 45.28  amended to read: 
 45.29     571.921 [DEFINITIONS.] 
 45.30     For purposes of sections 571.921 to 571.926, the following 
 45.31  terms have the meanings given them: 
 45.32     (a) "Earnings" means: 
 45.33     (1) compensation paid or payable to an employee for 
 45.34  personal service whether denominated as wages, salary, 
 45.35  commissions, bonus, or otherwise, and includes periodic payments 
 45.36  pursuant to a pension or retirement program; or 
 46.1      (2) compensation paid or payable to the producer for the 
 46.2   sale of agricultural products; livestock or livestock products; 
 46.3   milk or milk products; or fruit or other horticultural products 
 46.4   produced when the producer is operating a family farm, a family 
 46.5   farm corporation, or an authorized farm corporation, as defined 
 46.6   in section 500.24, subdivision 2; or 
 46.7      (3) maintenance as defined in section 518.54, subdivision 3.
 46.8      (b) "Disposable earnings" means that part of the earnings 
 46.9   of an individual remaining after the deduction from those 
 46.10  earnings of amounts required by law to be withheld. 
 46.11     (c) "Employee" means an individual who performs services 
 46.12  subject to the right of the employer to control both what is 
 46.13  done and how it is done. 
 46.14     (d) "Employer" means a person for whom an individual 
 46.15  performs services as an employee.  
 46.16     Sec. 20.  [EFFECTIVE DATE.] 
 46.17     Sections 1 to 17 are effective the day following final 
 46.18  enactment.