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Minnesota Legislature

Office of the Revisor of Statutes

HF 5

as introduced - 91st Legislature (2019 - 2020) Posted on 01/31/2019 03:46pm

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

Current Version - as introduced

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A bill for an act
relating to employment; providing for paid family, pregnancy, bonding, and
applicant's serious medical condition benefits; regulating and requiring certain
employment leaves; classifying certain data; authorizing rulemaking; appropriating
money;amending Minnesota Statutes 2018, sections 13.719, by adding a
subdivision; 177.27, subdivision 4; 181.943; 256J.561, by adding a subdivision;
256J.95, subdivisions 3, 11; 256P.01, subdivision 3; 268.047, subdivision 2; 268.19,
subdivision 1; 290.0132, by adding a subdivision; proposing coding for new law
as Minnesota Statutes, chapter 268B.

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

ARTICLE 1

FAMILY AND MEDICAL BENEFITS

Section 1.

Minnesota Statutes 2018, section 13.719, is amended by adding a subdivision
to read:


new text begin Subd. 7. new text end

new text begin Family and medical insurance data. new text end

new text begin (a) For the purposes of this subdivision,
the terms used have the meanings given them in section 268B.01.
new text end

new text begin (b) Data on applicants, family members, or employers under chapter 268B are private
or nonpublic data, provided that the department may share data collected from applicants
with employers or health care providers to the extent necessary to meet the requirements
of chapter 268B or other applicable law.
new text end

Sec. 2.

Minnesota Statutes 2018, section 177.27, subdivision 4, is amended to read:


Subd. 4.

Compliance orders.

The commissioner may issue an order requiring an
employer to comply with sections 177.21 to 177.435, 181.02, 181.03, 181.031, 181.032,
181.101, 181.11, 181.13, 181.14, 181.145, 181.15, 181.172, paragraph (a) or (d), 181.275,
subdivision 2a
, 181.722, 181.79, and 181.939 to 181.943deleted text begin,deleted text endnew text begin; chapter 268B;new text end or with any rule
promulgated under section 177.28. The commissioner shall issue an order requiring an
employer to comply with sections 177.41 to 177.435 if the violation is repeated. For purposes
of this subdivision only, a violation is repeated if at any time during the two years that
preceded the date of violation, the commissioner issued an order to the employer for violation
of sections 177.41 to 177.435 and the order is final or the commissioner and the employer
have entered into a settlement agreement that required the employer to pay back wages that
were required by sections 177.41 to 177.435. The department shall serve the order upon the
employer or the employer's authorized representative in person or by certified mail at the
employer's place of business. An employer who wishes to contest the order must file written
notice of objection to the order with the commissioner within 15 calendar days after being
served with the order. A contested case proceeding must then be held in accordance with
sections 14.57 to 14.69. If, within 15 calendar days after being served with the order, the
employer fails to file a written notice of objection with the commissioner, the order becomes
a final order of the commissioner.

Sec. 3.

Minnesota Statutes 2018, section 181.943, is amended to read:


181.943 RELATIONSHIP TO OTHER LEAVE.

(a) The length of leave provided under section 181.941 may be reduced by deleted text beginany period
of
deleted text end:

(1) paid parental, disability, personal, medical, or sick leave, or accrued vacation provided
by the employer so that the total leave does not exceed 12 weeks, unless agreed to by the
employer; or

(2) leave taken for the same purpose by the employee under United States Code, title
29, chapter 28.

(b) Nothing in sections 181.940 to 181.943 prevents any employer from providing leave
benefits in addition to those provided in sections 181.940 to 181.944 or otherwise affects
an employee's rights with respect to any other employment benefit.

new text begin (c) A leave for which benefits are paid under chapter 268B is not paid leave provided
by an employer for the purposes of paragraph (a), clause (1).
new text end

Sec. 4.

Minnesota Statutes 2018, section 268.047, subdivision 2, is amended to read:


Subd. 2.

Exceptions for all employers.

Unemployment benefits paid will not be used
in computing the future tax rate of a taxpaying base period employer or charged to the
reimbursable account of a base period nonprofit or government employer that has elected
to be liable for reimbursements when:

(1) the applicant was discharged from the employment because of aggravated employment
misconduct as determined under section 268.095. This exception applies only to
unemployment benefits paid for periods after the applicant's discharge from employment;

(2) an applicant's discharge from that employment occurred because a law required
removal of the applicant from the position the applicant held;

(3) the employer provided regularly scheduled part-time employment to the applicant
during the applicant's base period and continues to provide the applicant with regularly
scheduled part-time employment during the benefit year of at least 90 percent of the part-time
employment provided in the base period, and is an involved employer because of the
applicant's loss of other employment. This exception terminates effective the first week that
the employer fails to meet the benefit year employment requirements. This exception applies
to educational institutions without consideration of the period between academic years or
terms;

(4) the employer is a fire department or firefighting corporation or operator of a
life-support transportation service, and continues to provide employment for the applicant
as a volunteer firefighter or a volunteer ambulance service personnel during the benefit year
on the same basis that employment was provided in the base period. This exception terminates
effective the first week that the employer fails to meet the benefit year employment
requirements;

(5) the applicant's unemployment from this employer was a direct result of the
condemnation of property by a governmental agency, a fire, flood, or act of nature, where
25 percent or more of the employees employed at the affected location, including the
applicant, became unemployed as a result. This exception does not apply where the
unemployment was a direct result of the intentional act of the employer or a person acting
on behalf of the employer;

(6) the unemployment benefits were paid by another state as a result of the transferring
of wage credits under a combined wage arrangement provided for in section 268.131;

(7) the applicant stopped working because of a labor dispute at the applicant's primary
place of employment if the employer was not a party to the labor dispute;

(8) the unemployment benefits were determined overpaid unemployment benefits under
section 268.18;

(9) the applicant was employed as a replacement worker, for a period of six months or
longer, for an employee who is in the military reserve and was called for active duty during
the time the applicant worked as a replacement, and the applicant was laid off because the
employee returned to employment after active duty; deleted text beginor
deleted text end

(10) the trust fund was reimbursed for the unemployment benefits by the federal
governmentdeleted text begin.deleted text endnew text begin; or
new text end

new text begin (11) the applicant was employed as a replacement worker for an employee on leave for
which the employee is eligible for benefits under chapter 268B and the applicant was laid
off because the employee returned to employment after the leave.
new text end

Sec. 5.

Minnesota Statutes 2018, section 268.19, subdivision 1, is amended to read:


Subdivision 1.

Use of data.

(a) Except as provided by this section, data gathered from
any person under the administration of the Minnesota Unemployment Insurance Law are
private data on individuals or nonpublic data not on individuals as defined in section 13.02,
subdivisions 9 and 12, and may not be disclosed except according to a district court order
or section 13.05. A subpoena is not considered a district court order. These data may be
disseminated to and used by the following agencies without the consent of the subject of
the data:

(1) state and federal agencies specifically authorized access to the data by state or federal
law;

(2) any agency of any other state or any federal agency charged with the administration
of an unemployment insurance program;

(3) any agency responsible for the maintenance of a system of public employment offices
for the purpose of assisting individuals in obtaining employment;

(4) the public authority responsible for child support in Minnesota or any other state in
accordance with section 256.978;

(5) human rights agencies within Minnesota that have enforcement powers;

(6) the Department of Revenue to the extent necessary for its duties under Minnesota
laws;

(7) public and private agencies responsible for administering publicly financed assistance
programs for the purpose of monitoring the eligibility of the program's recipients;

(8) the Department of Labor and Industry and the Commerce Fraud Bureau in the
Department of Commerce for uses consistent with the administration of their duties under
Minnesota law;

(9) the Department of Human Services and the Office of Inspector General and its agents
within the Department of Human Services, including county fraud investigators, for
investigations related to recipient or provider fraud and employees of providers when the
provider is suspected of committing public assistance fraud;

(10) local and state welfare agencies for monitoring the eligibility of the data subject
for assistance programs, or for any employment or training program administered by those
agencies, whether alone, in combination with another welfare agency, or in conjunction
with the department or to monitor and evaluate the statewide Minnesota family investment
program by providing data on recipients and former recipients of food stamps or food
support, cash assistance under chapter 256, 256D, 256J, or 256K, child care assistance under
chapter 119B, or medical programs under chapter 256B or 256L or formerly codified under
chapter 256D;

(11) local and state welfare agencies for the purpose of identifying employment, wages,
and other information to assist in the collection of an overpayment debt in an assistance
program;

(12) local, state, and federal law enforcement agencies for the purpose of ascertaining
the last known address and employment location of an individual who is the subject of a
criminal investigation;

(13) the United States Immigration and Customs Enforcement has access to data on
specific individuals and specific employers provided the specific individual or specific
employer is the subject of an investigation by that agency;

(14) the Department of Health for the purposes of epidemiologic investigations;

(15) the Department of Corrections for the purposes of case planning and internal research
for preprobation, probation, and postprobation employment tracking of offenders sentenced
to probation and preconfinement and postconfinement employment tracking of committed
offenders;

(16) the state auditor to the extent necessary to conduct audits of job opportunity building
zones as required under section 469.3201; deleted text beginand
deleted text end

(17) the Office of Higher Education for purposes of supporting program improvement,
system evaluation, and research initiatives including the Statewide Longitudinal Education
Data Systemdeleted text begin.deleted text endnew text begin; and
new text end

new text begin (18) the Family and Medical Benefits Division of the Department of Employment and
Economic Development to be used as necessary to administer chapter 268B.
new text end

(b) Data on individuals and employers that are collected, maintained, or used by the
department in an investigation under section 268.182 are confidential as to data on individuals
and protected nonpublic data not on individuals as defined in section 13.02, subdivisions 3
and 13, and must not be disclosed except under statute or district court order or to a party
named in a criminal proceeding, administrative or judicial, for preparation of a defense.

(c) Data gathered by the department in the administration of the Minnesota unemployment
insurance program must not be made the subject or the basis for any suit in any civil
proceedings, administrative or judicial, unless the action is initiated by the department.

Sec. 6.

new text begin [268B.01] DEFINITIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Scope. new text end

new text begin For the purposes of this chapter, the terms defined in this section
have the meanings given them.
new text end

new text begin Subd. 2. new text end

new text begin Account. new text end

new text begin "Account" means the family and medical benefit insurance account
in the special revenue fund in the state treasury under section 268B.02.
new text end

new text begin Subd. 3. new text end

new text begin Applicant. new text end

new text begin "Applicant" means an individual applying for benefits under this
chapter.
new text end

new text begin Subd. 4. new text end

new text begin Benefit. new text end

new text begin "Benefit" or "benefits" mean monetary payments under this chapter
associated with qualifying bonding, family care, pregnancy, serious health condition,
qualifying exigency, or safety leave events.
new text end

new text begin Subd. 5. new text end

new text begin Bonding. new text end

new text begin "Bonding" means time spent by an applicant who is a biological,
adoptive, or foster parent with a biological, adopted, or foster child in conjunction with the
child's birth, adoption, or placement.
new text end

new text begin Subd. 6. new text end

new text begin Commissioner. new text end

new text begin "Commissioner" means the commissioner of employment and
economic development.
new text end

new text begin Subd. 7. new text end

new text begin Covered business entity. new text end

new text begin "Covered business entity" means a person or entity
that contracts with self-employed individuals for services and is required to report the
payment for services to those individuals on Internal Revenue Service Form 1099-MISC
for more than 50 percent of the person's or entity's workforce.
new text end

new text begin Subd. 8. new text end

new text begin Covered employment. new text end

new text begin "Covered employment" has the meaning given in section
268.035, subdivision 12.
new text end

new text begin Subd. 9. new text end

new text begin Covered service member. new text end

new text begin "Covered service member" means either:
new text end

new text begin (1) a current member of the United States armed forces, including a member of the
National Guard or reserves, who:
new text end

new text begin (i) has a serious health condition; and
new text end

new text begin (ii) is otherwise on the temporary disability retired list for a serious injury or illness that
was incurred by the service member in the line of duty on active duty in the United States
armed forces or a serious injury or illness that existed before the beginning of the service
member's active duty and was aggravated by service in the line of duty in the United States
armed forces; or
new text end

new text begin (2) a former member of the United States armed forces, including a member of the
National Guard or reserves, who has a serious health condition that was incurred by the
member in the line of duty on active duty in the United States armed forces or a serious
health condition that existed before the beginning of the service member's active duty and
was aggravated by service in the line of duty on active duty in the United States armed
forces and manifested before or after the member was discharged or released from service.
new text end

new text begin Subd. 10. new text end

new text begin Department. new text end

new text begin "Department" means the Department of Employment and
Economic Development.
new text end

new text begin Subd. 11. new text end

new text begin Employee. new text end

new text begin "Employee" means an individual for whom premiums are paid on
wages under this chapter. An individual with income earned in the state from a covered
business entity, reported on an Internal Revenue Service Form 1099-MISC, is considered
an employee for the purposes of this chapter.
new text end

new text begin Subd. 12. new text end

new text begin Employer. new text end

new text begin "Employer" means a person or entity, other than an employee,
required to pay premiums under this chapter.
new text end

new text begin Subd. 13. new text end

new text begin Family benefit program. new text end

new text begin "Family benefit program" means the program
administered under this chapter for the collection of premiums and payment of benefits
related to family care, bonding, safety leave, and leave related to a qualifying exigency.
new text end

new text begin Subd. 14. new text end

new text begin Family care. new text end

new text begin "Family care" means an applicant caring for a family member
with a serious health condition or caring for a family member who is a covered service
member.
new text end

new text begin Subd. 15. new text end

new text begin Family member. new text end

new text begin "Family member" means an employee's child, adult child,
spouse, sibling, parent, foster parent, parent-in-law, grandchild, grandparent, domestic
partner, stepparent, or any individual related by blood or affinity whose close association
with the employee is the equivalent of a family relationship.
new text end

new text begin Subd. 16. new text end

new text begin Health care provider. new text end

new text begin "Health care provider" means an individual who is
licensed, certified, or otherwise authorized under law to practice in the individual's scope
of practice as a physician, osteopath, physician assistant, chiropractor, advanced practice
registered nurse, optometrist, licensed psychologist, licensed independent clinical social
worker, dentist, or podiatrist. "Chiropractor" means only a chiropractor who provides manual
manipulation of the spine to correct a subluxation demonstrated to exist by an x-ray.
new text end

new text begin Subd. 17. new text end

new text begin High quarter. new text end

new text begin "High quarter" has the meaning given in section 268.035,
subdivision 19.
new text end

new text begin Subd. 18. new text end

new text begin ICD code. new text end

new text begin "ICD code" means the code under the International Classification
of Diseases, Clinical Modification/Coding System, for the most recent edition commonly
used.
new text end

new text begin Subd. 19. new text end

new text begin Maximum weekly benefit amount. new text end

new text begin "Maximum weekly benefit amount"
means the state's average weekly wage as calculated under section 268.035, subdivision 23.
new text end

new text begin Subd. 20. new text end

new text begin Medical benefit program. new text end

new text begin "Medical benefit program" means the program
administered under this chapter for the collection of premiums and payment of benefits
related to an applicant's serious health condition or pregnancy.
new text end

new text begin Subd. 21. new text end

new text begin Noncovered employment. new text end

new text begin "Noncovered employment" has the meaning given
in section 268.035, subdivision 20.
new text end

new text begin Subd. 22. new text end

new text begin Pregnancy. new text end

new text begin "Pregnancy" means prenatal care or incapacity due to pregnancy,
childbirth, still birth, miscarriage, or related health conditions.
new text end

new text begin Subd. 23. new text end

new text begin Qualified health care provider. new text end

new text begin "Qualified health care provider" means a
health care provider who, in the judgment of the commissioner, has the qualifications
necessary to diagnose or treat a particular health condition or conditions associated with
benefits sought under this chapter.
new text end

new text begin Subd. 24. new text end

new text begin Qualifying exigency. new text end

new text begin "Qualifying exigency" means a need arising out of an
employee's family member's active duty service or notice of an impending call or order to
active duty in the United States armed forces, including providing for the care or other needs
of the family member's child or other dependent, making financial or legal arrangements
for the family member, attending counseling, attending military events or ceremonies,
spending time with the family member during a rest and recuperation leave or following
return from deployment, or making arrangements following the death of the military member.
new text end

new text begin Subd. 25. new text end

new text begin Safety leave. new text end

new text begin "Safety leave" means leave from work because of domestic
abuse, sexual assault, or stalking of the employee or employee's family member, provided
the leave is to:
new text end

new text begin (1) seek medical attention related to the physical or psychological injury or disability
caused by domestic abuse, sexual assault, or stalking;
new text end

new text begin (2) obtain services from a victim services organization;
new text end

new text begin (3) obtain psychological or other counseling;
new text end

new text begin (4) seek relocation due to the domestic abuse, sexual assault, or stalking; or
new text end

new text begin (5) seek legal advice or take legal action, including preparing for or participating in any
civil or criminal legal proceeding related to, or resulting from, the domestic abuse, sexual
assault, or stalking.
new text end

new text begin Subd. 26. new text end

new text begin Serious health condition. new text end

new text begin "Serious health condition" means an illness, injury,
impairment, or physical or mental condition that involves:
new text end

new text begin (1) inpatient care in a hospital, hospice, or residential medical care facility; or
new text end

new text begin (2) continuing treatment by a health care provider.
new text end

new text begin Subd. 27. new text end

new text begin State's average weekly wage. new text end

new text begin "State's average weekly wage" means the
weekly wage calculated under section 268.035, subdivision 23.
new text end

new text begin Subd. 28. new text end

new text begin Wage credits. new text end

new text begin "Wage credits" has the meaning given in section 268.035,
subdivision 27.
new text end

Sec. 7.

new text begin [268B.02] FAMILY AND MEDICAL BENEFIT INSURANCE PROGRAM
CREATION.
new text end

new text begin Subdivision 1. new text end

new text begin Creation. new text end

new text begin A family and medical benefit insurance program is created to
be administered by the commissioner according to the terms of this chapter.
new text end

new text begin Subd. 2. new text end

new text begin Creation of division. new text end

new text begin A Family and Medical Benefit Insurance Division is
created within the department under the authority of the commissioner. The commissioner
shall appoint a director of the division. The division shall administer and operate the benefit
program under this chapter.
new text end

new text begin Subd. 3. new text end

new text begin Rulemaking. new text end

new text begin The commissioner may adopt rules to implement the provisions
of this chapter.
new text end

new text begin Subd. 4. new text end

new text begin Account creation; appropriation. new text end

new text begin The family and medical benefit insurance
account is created in the special revenue fund in the state treasury. Money in this account
is appropriated to the commissioner to pay benefits under and to administer this chapter.
new text end

Sec. 8.

new text begin [268B.03] ELIGIBILITY.
new text end

new text begin Subdivision 1. new text end

new text begin Applicant. new text end

new text begin An applicant who has a serious health condition, has a
qualifying exigency, is taking safety leave, is providing family care, is bonding, or is
pregnant, and who satisfies the conditions of this section is eligible to receive benefits
subject to the provisions of this chapter.
new text end

new text begin Subd. 2. new text end

new text begin Wage credits. new text end

new text begin An applicant must have sufficient wage credits from an employer
as defined in section 268B.01, subdivision 10, to establish a benefit account under section
268.07, subdivision 2. Wage credits from an employer during a period in which the employer
has successfully opted out of the benefit program being applied for may not be used for the
purposes of this subdivision.
new text end

new text begin Subd. 3. new text end

new text begin Seven-day qualifying event. new text end

new text begin The period for which an applicant is seeking
benefits must be or have been based on a single event of at least seven days duration related
to pregnancy, family care, bonding, a qualifying exigency, safety leave, or the applicant's
serious health condition. The days need not be consecutive.
new text end

new text begin Subd. 4. new text end

new text begin Ineligible. new text end

new text begin An applicant is not eligible for benefits for any day, or portion of a
day, in which the applicant worked for pay.
new text end

new text begin Subd. 5. new text end

new text begin Certification by health care provider. new text end

new text begin Except for bonding benefits, benefits
based on a qualifying exigency, or benefits related to safety leave, the application for benefits
must be certified in writing by a qualified health care professional.
new text end

new text begin Subd. 6. new text end

new text begin Records release. new text end

new text begin An individual whose medical records are necessary to
determine eligibility for benefits under this chapter must sign and date a legally effective
waiver authorizing release to the department of medical and other records to the limited
extent necessary to administer this chapter.
new text end

new text begin Subd. 7. new text end

new text begin Self-employed applicant. new text end

new text begin (a) To be eligible for benefits, a self-employed
individual who has elected coverage under section 268B.11 must fulfill only the requirements,
to the extent possible, of subdivisions 3, 4, 5, and 6 in addition to the requirements under
paragraph (b).
new text end

new text begin (b) A self-employed individual must provide documents sufficient to prove the existence
of the individual's business as well as how long that business has been in operation. The
commissioner must determine that the business was not created for the purpose of obtaining
benefits under this chapter.
new text end

Sec. 9.

new text begin [268B.04] APPLICATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Application forms. new text end

new text begin The commissioner must create application forms,
to be available both online and on paper, for each of the following:
new text end

new text begin (1) an application for family care benefits;
new text end

new text begin (2) an application for bonding benefits;
new text end

new text begin (3) an application for pregnancy benefits;
new text end

new text begin (4) an application for benefits related to an applicant's serious health condition;
new text end

new text begin (5) an application for benefits related to the applicant's safety leave; and
new text end

new text begin (6) an application for benefits related to a qualifying exigency.
new text end

new text begin Subd. 2. new text end

new text begin Content of applications. new text end

new text begin (a) All six application forms under subdivision 1
must require, at a minimum, the following:
new text end

new text begin (1) the name, birth date, home address, and mailing address of the applicant;
new text end

new text begin (2) the Social Security number, or other unique identification number, of the applicant;
new text end

new text begin (3) a description of the qualifying event underlying the requested benefit;
new text end

new text begin (4) the date for which benefits are sought began or will begin, if known;
new text end

new text begin (5) the date for which benefits are sought ended or will end, if known;
new text end

new text begin (6) whether the benefits are sought on an intermittent basis;
new text end

new text begin (7) whether the applicant has applied for or received any other paid benefits, whether
public or private, based on the same event underlying the benefits sought or during the same
time period for which the applicant is seeking benefits;
new text end

new text begin (8) a description of any benefits listed under clause (7); and
new text end

new text begin (9) a signed and dated certification that all the information contained in the application
is true and correct, to the best of the applicant's knowledge.
new text end

new text begin (b) In addition to the requirements under paragraph (a), an application for family care
benefits must contain, at a minimum, the following:
new text end

new text begin (1) the name, birth date, home address, and mailing address of the family member for
whom the applicant has provided or will be providing care;
new text end

new text begin (2) the family member's relationship to the applicant;
new text end

new text begin (3) the Social Security number, or other unique identification number, of the family
member for whom the applicant has provided or will be providing care;
new text end

new text begin (4) a certification from the care recipient, or the care recipient's authorized representative,
that all the information contained in the application is true and correct, to the best of that
individual's knowledge;
new text end

new text begin (5) a legally effective authorization, signed and dated by the care recipient or the care
recipient's authorized representative, for disclosure of medical information needed by the
department to fulfill its duties under this chapter; and
new text end

new text begin (6) a signed and dated certification by a qualified health care provider treating the care
recipient:
new text end

new text begin (i) describing the nature of the serious medical condition or conditions of the care
recipient;
new text end

new text begin (ii) stating whether care by another individual is necessary in the treatment, or will aid
in the recovery, of the care recipient;
new text end

new text begin (iii) describing the nature of the care under item (ii);
new text end

new text begin (iv) stating or estimating the dates benefits are needed; and
new text end

new text begin (v) listing the ICD code or codes, if any, of the serious medical condition or conditions
underlying the application for benefits.
new text end

new text begin (c) In addition to the requirements under paragraph (a), an application for benefits for
bonding must contain, at a minimum, the following:
new text end

new text begin (1) proof of the birth, adoption, or placement in foster care, as appropriate, of the child
for whom bonding benefits are sought; and
new text end

new text begin (2) a legally effective authorization, signed and dated by the applicant or other authorized
representative of the child for whom bonding benefits are sought, for disclosure of medical
information needed by the department to fulfill its duties under this chapter.
new text end

new text begin (d) In addition to the requirements under paragraph (a), an application for pregnancy
benefits must contain, at a minimum, the following:
new text end

new text begin (1) a legally effective authorization, signed and dated by the applicant or the applicant's
authorized representative, for disclosure of medical information needed by the department
to fulfill its duties under this chapter; and
new text end

new text begin (2) a signed and dated certification by a qualified health care provider treating the
applicant:
new text end

new text begin (i) describing the reason or reasons that pregnancy care is needed;
new text end

new text begin (ii) stating or estimating the dates care is needed; and
new text end

new text begin (iii) listing the ICD code or codes, if any, of the condition or conditions underlying the
application for benefits.
new text end

new text begin (e) In addition to the requirements under paragraph (a), an application for benefits
associated with an applicant's serious health condition must contain, at a minimum, the
following:
new text end

new text begin (1) a legally effective authorization, signed and dated by the applicant or the applicant's
authorized representative, for disclosure of medical information needed by the department
to fulfill its duties under this chapter; and
new text end

new text begin (2) a signed and dated certification by a qualified health care provider treating the
applicant:
new text end

new text begin (i) describing the nature of the serious health condition or conditions of the applicant;
new text end

new text begin (ii) describing any treatment needed based on the condition or conditions;
new text end

new text begin (iii) stating or estimating the dates care and treatment are needed; and
new text end

new text begin (iv) listing the ICD code or codes, if any, of the serious medical condition or conditions
underlying the application for benefits.
new text end

new text begin Subd. 3. new text end

new text begin Online access. new text end

new text begin The commissioner must, to the extent possible, create a system
allowing for all aspects of the applications under this section to be completed online. This
includes the use of electronic signatures.
new text end

new text begin Subd. 4. new text end

new text begin Administrative efficiencies. new text end

new text begin To the maximum extent feasible, the commissioner
must use the same or similar procedures for applications under this section as for applications
for benefits under chapter 268.
new text end

Sec. 10.

new text begin [268B.05] DETERMINATION OF APPLICATION.
new text end

new text begin Upon the filing of a complete application for benefits, the commissioner shall examine
the application and on the basis of facts found by the commissioner and records maintained
by the department, the application shall be determined to be valid or invalid within two
weeks. If the application is determined to be valid, the commissioner shall promptly notify
the applicant and any other interested party as to the week when benefits commence, the
weekly benefit amount payable, and the maximum duration of those benefits. If the
application is determined to be invalid, the commissioner shall notify the applicant and any
other interested party of that determination and the reasons for it. If the processing of the
application is delayed for any reason, the commissioner shall notify the applicant, in writing,
within two weeks of the date the application for benefits is filed of the reason for the delay.
Unless the applicant or any other interested party, within 30 days, requests a hearing before
a benefit judge, the determination is final. For good cause shown, the 30-day period may
be extended. At any time within one year from the date of a monetary determination, the
commissioner, upon request of the applicant or on the commissioner's own initiative, may
reconsider the determination if it is found that an error in computation or identity has occurred
in connection with the determination or that additional wages pertinent to the applicant's
status have become available, or if that determination has been made as a result of a
nondisclosure or misrepresentation of a material fact.
new text end

Sec. 11.

new text begin [268B.06] EMPLOYER NOTIFICATION.
new text end

new text begin (a) Upon a determination under section 268B.05 that an applicant is entitled to benefits,
the commissioner must promptly send a notification to each current employer of the applicant,
if any, in accordance with paragraph (b).
new text end

new text begin (b) The notification under paragraph (a) must include, at a minimum:
new text end

new text begin (1) the name of the applicant;
new text end

new text begin (2) that the applicant has applied for and received benefits;
new text end

new text begin (3) the week the benefits commence;
new text end

new text begin (4) the weekly benefit amount payable;
new text end

new text begin (5) the maximum duration of benefits; and
new text end

new text begin (6) descriptions of the employer's right to participate in a hearing under section 268B.05,
and appeal process under section 268B.07.
new text end

Sec. 12.

new text begin [268B.07] APPEAL PROCESS.
new text end

new text begin Subdivision 1. new text end

new text begin Hearing. new text end

new text begin (a) The commissioner shall designate a chief benefit judge.
new text end

new text begin (b) Upon a timely appeal to a determination having been filed or upon a referral for
direct hearing, the chief benefit judge must set a time and date for a de novo due-process
hearing and send notice to an applicant and an employer, by mail or electronic transmission,
not less than ten calendar days before the date of the hearing.
new text end

new text begin (c) The commissioner may adopt rules on procedures for hearings. The rules need not
conform to common law or statutory rules of evidence and other technical rules of procedure.
new text end

new text begin (d) The chief benefit judge has discretion regarding the method by which the hearing is
conducted.
new text end

new text begin Subd. 2. new text end

new text begin Decision. new text end

new text begin (a) After the conclusion of the hearing, upon the evidence obtained,
the benefit judge must send by mail or electronic transmission to all parties, the decision,
reasons for the decision, and written findings of fact.
new text end

new text begin (b) Decisions of a benefit judge are not precedential.
new text end

new text begin Subd. 3. new text end

new text begin Request for reconsideration. new text end

new text begin Any party, or the commissioner, may, within
30 calendar days of the receipt of the benefit judge's decision, file a request for
reconsideration asking the judge to reconsider that decision.
new text end

new text begin Subd. 4. new text end

new text begin Appeal to court of appeals. new text end

new text begin Any final determination on a request for
reconsideration may be appealed by any party directly to the Minnesota Court of Appeals.
new text end

new text begin Subd. 5. new text end

new text begin Benefit judges. new text end

new text begin (a) Only employees of the department who are attorneys licensed
to practice law in Minnesota may serve as a chief benefit judge, senior benefit judges who
are supervisors, or benefit judges.
new text end

new text begin (b) The chief benefit judge must assign a benefit judge to conduct a hearing and may
transfer to another benefit judge any proceedings pending before another benefit judge.
new text end

Sec. 13.

new text begin [268B.08] BENEFITS.
new text end

new text begin Subdivision 1. new text end

new text begin Weekly benefit amount. new text end

new text begin (a) Subject to the maximum weekly benefit
amount, an applicant's weekly benefit is calculated by adding the amounts obtained by
applying the following percentage to an applicant's average weekly wage earned with an
employer as defined in section 268B.01, subdivision 10:
new text end

new text begin (1) 90 percent of wages that do not exceed 50 percent of the state's average weekly wage;
plus
new text end

new text begin (2) 66 percent of wages that exceed 50 percent of the state's average weekly wage but
not 100 percent; plus
new text end

new text begin (3) 55 percent of wages that exceed 100 percent of the state's average weekly wage.
new text end

new text begin (b) The average weekly wage of the applicant under paragraph (a) must be calculated
by dividing the high quarter wage credits of the applicant by 13.
new text end

new text begin (c) The state's average weekly wage is the average wage as calculated under section
268.035, subdivision 23, at the time a benefit amount is first determined.
new text end

new text begin (d) Notwithstanding any other provision in this section, weekly benefits must not exceed
the maximum weekly benefit amount applicable at the time benefit payments commence.
new text end

new text begin Subd. 2. new text end

new text begin Timing of payment. new text end

new text begin Except as otherwise provided for in this chapter, benefits
must be paid weekly.
new text end

new text begin Subd. 3. new text end

new text begin Method of payment. new text end

new text begin The commissioner may pay benefits using any method
or methods authorized for the payment of unemployment insurance benefits under chapter
268.
new text end

new text begin Subd. 4. new text end

new text begin Maximum length of benefits. new text end

new text begin (a) Except as provided in paragraph (b), in a
52-week period, an applicant may receive up to 12 weeks of benefits under this chapter
related to the applicant's serious health condition or pregnancy and up to 12 weeks of benefits
under this chapter for bonding or family care.
new text end

new text begin (b) An applicant may receive up to 26 weeks of benefits in a 52-week period for family
care of a covered service member or for one or more qualifying exigencies.
new text end

new text begin Subd. 5. new text end

new text begin Minimum period for which benefits payable. new text end

new text begin Any claim for benefits must
be based on a single-qualifying benefit period of at least seven days. Thereafter, benefits
may be paid for a minimum increment of one day.
new text end

new text begin Subd. 6. new text end

new text begin Total paid benefits not to exceed average weekly wage. new text end

new text begin An applicant's
combined weekly employer paid wage replacement benefits and benefits under this chapter
must not exceed an applicant's average weekly wage. Benefits under this chapter must be
reduced so those combined benefits do not exceed that amount.
new text end

new text begin Subd. 7. new text end

new text begin Withholding of federal tax. new text end

new text begin If the Internal Revenue Service determines that
benefits are subject to federal income tax, and an applicant elects to have federal income
tax deducted and withheld from the applicant's benefits, the commissioner must deduct and
withhold the amount specified in the Internal Revenue Code in a manner consistent with
state law.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2021.
new text end

Sec. 14.

new text begin [268B.09] EMPLOYMENT PROTECTIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Retaliation prohibited. new text end

new text begin An employer must not retaliate against an
employee for requesting or obtaining benefits, or for exercising any other right under this
chapter.
new text end

new text begin Subd. 2. new text end

new text begin Interference prohibited. new text end

new text begin An employer must not obstruct or impede an
application for benefits under this chapter.
new text end

new text begin Subd. 3. new text end

new text begin Waiver of rights void. new text end

new text begin Any agreement to waive, release, or commute rights
to benefits under this chapter is void.
new text end

new text begin Subd. 4. new text end

new text begin No assignment of benefits. new text end

new text begin Any assignment, pledge, or encumbrance of benefits
is void. Benefits are exempt from levy, execution, attachment, or any other remedy provided
for the collection of debt. Any waiver of this subdivision is void.
new text end

new text begin Subd. 5. new text end

new text begin Continued insurance. new text end

new text begin During any leave for which an employee is entitled to
benefits under this chapter, the employer must maintain coverage under any group insurance
policy, group subscriber contract, or health care plan for the employee and any dependents
as if the employee was not on leave, provided, however, that the employee must continue
to pay any employee share of the cost of such benefits.
new text end

new text begin Subd. 6. new text end

new text begin Reinstatement after leave. new text end

new text begin An employee taking leave for which the employee
is eligible for benefits under this chapter is, upon the expiration of that leave, entitled to
restoration by the employer to the position held by the employee when the leave commenced,
or to a position with equivalent seniority, status, employment benefits, pay, and other terms
and conditions of employment including fringe benefits and service credits that the employee
had been entitled to at the commencement of that leave.
new text end

new text begin Subd. 7. new text end

new text begin Remedies. new text end

new text begin In addition to any other remedies available by law, an individual
injured by a violation of this section may bring a civil action seeking any damages
recoverable by law, together with costs and disbursements, including reasonable attorney
fees, and may receive injunctive and other equitable relief as determined by a court.
new text end

Sec. 15.

new text begin [268B.095] BONDING LEAVE.
new text end

new text begin Bonding leave taken under this chapter begins at a time requested by the employee.
Bonding leave must begin within 12 months of the birth, adoption, or placement of a foster
child, except that, in the case where the child must remain in the hospital longer than the
mother, the leave must begin within 12 months after the child leaves the hospital.
new text end

Sec. 16.

new text begin [268B.10] SUBSTITUTION OF OTHER PLAN; EMPLOYER EXCLUSION.
new text end

new text begin Subdivision 1. new text end

new text begin Application for exclusion. new text end

new text begin If a majority of affected employees agree in
writing to the application, an employer may apply to the commissioner to be excluded from
either or both the family or medical benefit programs under this chapter. An employer
excluded under this subdivision from either or both benefit programs is liable for the
premiums for excluded employers specified under section 268B.12.
new text end

new text begin Subd. 2. new text end

new text begin Employer plan requirements; medical benefit program. new text end

new text begin The commissioner
must approve an application for exclusion from the medical benefit program if the
commissioner finds that:
new text end

new text begin (1) all of the employees of the employer are to be covered under the provisions of the
employer plan;
new text end

new text begin (2) eligibility requirements for benefits are no more restrictive than as provided for
benefits payable under this chapter;
new text end

new text begin (3) the weekly benefits payable under the employer plan for any week are at least equal
to the weekly benefit amount payable under this chapter, taking into consideration any
coverage with respect to concurrent employment by another employer, and the total number
of weeks for which benefits are payable under the employer plan is at least equal to the total
number of weeks for which benefits would have been payable under this chapter;
new text end

new text begin (4) no greater amount is required to be paid by employees toward the cost of benefits
under the employer plan than by this chapter; and
new text end

new text begin (5) coverage will be continued under the employer plan while an employee remains
employed by the employer.
new text end

new text begin Subd. 3. new text end

new text begin Employer plan; family benefit program. new text end

new text begin The commissioner must approve
an application for exclusion from the family benefit program if the commissioner finds that:
new text end

new text begin (1) all of the employees of the employer are to be covered under the provisions of the
employer plan;
new text end

new text begin (2) eligibility requirements for benefits are no more restrictive than as provided for
benefits payable under this chapter;
new text end

new text begin (3) the weekly benefits payable under the employer plan is at least equal to the weekly
benefit amount payable under this chapter, and the total number of weeks of leave for which
benefits are payable under the employer plan is at least equal to the total number of weeks
for which benefits would have been payable under this chapter;
new text end

new text begin (4) no greater amount is required to be paid by employees toward the cost of benefits
under the employer plan than by this chapter; and
new text end

new text begin (5) coverage will be continued under the employer plan while an employee remains
employed by the employer.
new text end

new text begin Subd. 4. new text end

new text begin Audit and investigation. new text end

new text begin The commissioner may investigate and audit plans
approved under this section both before and after the plans are approved.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2019, for exclusions commencing
January 1, 2021, and thereafter.
new text end

Sec. 17.

new text begin [268B.11] SELF-EMPLOYED ELECTION OF COVERAGE.
new text end

new text begin (a) A self-employed individual may file with the commissioner, by electronic transmission
in a format prescribed by the commissioner, an election that the individual is covered as an
employee for not less than two calendar years. Upon the approval of the commissioner, sent
by United States mail or electronic transmission, the individual is covered as an employee
under this chapter beginning the calendar quarter after the date of approval or beginning in
a later calendar quarter if requested by the self-employed individual. The individual ceases
to be covered as of the first day of January of any calendar year only if, at least 30 calendar
days before the first day of January, the individual has filed with the commissioner, by
electronic transmission in a format prescribed by the commissioner, a notice to that effect.
new text end

new text begin (b) The commissioner must terminate any election agreement under this section upon
30 calendar days' notice sent by United States mail or electronic transmission if the individual
is delinquent on any premiums due under this chapter.
new text end

new text begin (c) The individual electing under this section must pay both the employer and employee
premiums under section 268B.12.
new text end

new text begin (d) The individual must comply with the requirements imposed on employers and
employees under this chapter except to the extent the commissioner determines requiring
compliance is unreasonable.
new text end

Sec. 18.

new text begin [268B.12] PREMIUMS.
new text end

new text begin Subdivision 1. new text end

new text begin Employer. new text end

new text begin (a) Each taxpaying employer under the state's unemployment
insurance program must pay a premium on the wages paid to employees in covered
employment for each calendar year. The premium must be paid on all wages up to the
maximum specified by this section.
new text end

new text begin (b) Each reimbursing employer under the state's unemployment insurance law must pay
a premium on the wages paid to employees in covered employment in the same amount and
manner as provided by paragraph (a).
new text end

new text begin (c) For each calendar year, each covered business entity must pay a premium on payments
to self-employed individuals, required to be reported on Internal Revenue Service Form
1099-MISC, for work performed in the state.
new text end

new text begin Subd. 2. new text end

new text begin Employee. new text end

new text begin Each employee on whose wages a premium is paid under this section
must pay a premium equal to that of the employer under this section. The employer shall
withhold employee premiums from the wages of an employee and make payment to the
commissioner on behalf of an employee.
new text end

new text begin Subd. 3. new text end

new text begin Wages and payments subject to premium. new text end

new text begin (a) The maximum wages subject
to premium in a calendar year is equal to the maximum earnings in that year subject to the
FICA Old-Age, Survivors, and Disability Insurance tax.
new text end

new text begin (b) The maximum payment amount subject to premium in a calendar year, under
subdivision 1, paragraph (c), is equal to the maximum earnings in that year subject to the
FICA Old-Age, Survivors, and Disability Insurance tax.
new text end

new text begin Subd. 4. new text end

new text begin Annual premium rates. new text end

new text begin The employer premium rates for the calendar year
beginning January 1, 2021, shall be as follows:
new text end

new text begin (1) for employers participating in both family and medical benefit programs, ... percent;
new text end

new text begin (2) for an employer participating in only the medical benefit program and opting out of
the family benefit program, ... percent;
new text end

new text begin (3) for an employer participating in only the family benefit program and opting out of
the medical benefit program, ... percent; and
new text end

new text begin (4) for an employer opting out of both the medical and family benefit programs, ...
percent.
new text end

new text begin Subd. 5. new text end

new text begin Premium rate adjustments. new text end

new text begin (a) Each calendar year following the calendar
year beginning January 1, 2023, except calendar year 2024, the commissioner must adjust
the annual premium rates using the formula in paragraph (b).
new text end

new text begin (b) To calculate the employer rates for a calendar year, the commissioner must:
new text end

new text begin (1) multiply 1.45 times the amount disbursed from the account for the 52-week period
ending September 30 of the prior year;
new text end

new text begin (2) subtract the amount in the account on that September 30 from the resulting figure;
new text end

new text begin (3) divide the resulting figure by twice the total wages in covered employment of
employees of employers that have not opted out of both the family and medical benefit
programs. For employees of employers that have opted out of one of the two programs,
count only the proportion of wages in covered employment associated with the program of
which the employer did not opt out; and
new text end

new text begin (4) round the resulting figure down to the nearest one-tenth of one percent.
new text end

new text begin (c) For calendar year 2024, the calculation shall be as provided in paragraph (b), except
that the disbursements in clause (1) shall be those for the 39 weeks ending September 30,
and projected disbursements for the next 13 weeks.
new text end

new text begin (d) The commissioner must not increase or decrease the employer premium rate by more
than 0.1 percent each year.
new text end

new text begin (e) The commissioner must apportion the premium rate between the family and medical
benefit programs based on the relative proportion of expenditures for each program during
the preceding year.
new text end

new text begin Subd. 6. new text end

new text begin Premium rate limits. new text end

new text begin The aggregate premium rate of employers and employees
under this chapter must not be less than ... percent or more than ... percent annually.
new text end

new text begin Subd. 7. new text end

new text begin Collection of premiums; efficiencies. new text end

new text begin For collection of premiums under this
section, the commissioner must, to the maximum extent possible, use the same collection
process as that used for collection of unemployment insurance taxes.
new text end

new text begin Subd. 8. new text end

new text begin Deposit of premiums. new text end

new text begin All premiums collected under this section must be
deposited into the account.
new text end

Sec. 19.

new text begin [268B.13] COLLECTION OF PREMIUMS.
new text end

new text begin Subdivision 1. new text end

new text begin Amount computed presumed correct. new text end

new text begin Any amount due from an
employer, as computed by the commissioner, is presumed to be correctly determined and
assessed, and the burden is upon the employer to show any error. A statement by the
commissioner of the amount due is admissible in evidence in any court or administrative
proceeding and is prima facie evidence of the facts in the statement.
new text end

new text begin Subd. 2. new text end

new text begin Priority of payments. new text end

new text begin (a) Any payment received from an employer must be
applied in the following order:
new text end

new text begin (1) premiums due under this chapter; then
new text end

new text begin (2) interest on past due premiums; then
new text end

new text begin (3) penalties, late fees, administrative service fees, and costs.
new text end

new text begin (b) Paragraph (a) is the priority used for all payments received from an employer,
regardless of how the employer may designate the payment to be applied, except when:
new text end

new text begin (1) there is an outstanding lien and the employer designates that the payment made
should be applied to satisfy the lien;
new text end

new text begin (2) a court or administrative order directs that the payment be applied to a specific
obligation;
new text end

new text begin (3) a preexisting payment plan provides for the application of payment; or
new text end

new text begin (4) the commissioner agrees to apply the payment to a different priority.
new text end

new text begin Subd. 3. new text end

new text begin Costs. new text end

new text begin (a) Any employer that fails to pay any amount when due under this
chapter is liable for any filing fees, recording fees, sheriff fees, costs incurred by referral
to any public or private collection agency, or litigation costs, including attorney fees, incurred
in the collection of the amounts due.
new text end

new text begin (b) If any tendered payment of any amount due is not honored when presented to a
financial institution for payment, any costs assessed to the department by the financial
institution and a fee of $25 must be assessed to the person.
new text end

new text begin (c) Costs and fees collected under this subdivision are credited to the account.
new text end

new text begin Subd. 4. new text end

new text begin Interest on amounts past due. new text end

new text begin If any amounts due from an employer under
this chapter, except late fees, are not received on the date due, the unpaid balance bears
interest at the rate of one percent per month or any part of a month. Interest collected under
this subdivision is payable to the account.
new text end

new text begin Subd. 5. new text end

new text begin Interest on judgments. new text end

new text begin Regardless of section 549.09, if judgment is entered
upon any past due amounts from an employer under this chapter, the unpaid judgment bears
interest at the rate specified in subdivision 4 until the date of payment.
new text end

new text begin Subd. 6. new text end

new text begin Credit adjustments; refunds. new text end

new text begin (a) If an employer makes an application for a
credit adjustment of any amount paid under this chapter within four years of the date that
the payment was due, in a manner and format prescribed by the commissioner, and the
commissioner determines that the payment or any portion thereof was erroneous, the
commissioner must make an adjustment and issue a credit without interest. If a credit cannot
be used, the commissioner must refund, without interest, the amount erroneously paid. The
commissioner, on the commissioner's own motion, may make a credit adjustment or refund
under this subdivision.
new text end

new text begin (b) Any refund returned to the commissioner is considered unclaimed property under
chapter 345.
new text end

new text begin (c) If a credit adjustment or refund is denied in whole or in part, a determination of denial
must be sent to the employer by United States mail or electronic transmission. The
determination of denial is final unless an employer files an appeal within 20 calendar days
after receipt of the determination.
new text end

new text begin Subd. 7. new text end

new text begin Priorities under legal dissolutions or distributions. new text end

new text begin In the event of any
distribution of an employer's assets according to an order of any court, including any
receivership, assignment for benefit of creditors, adjudicated insolvency, or similar
proceeding, premiums then or thereafter due must be paid in full before all other claims
except claims for wages of not more than $1,000 per former employee that are earned within
six months of the commencement of the proceedings. In the event of an employer's
adjudication in bankruptcy under federal law, premiums then or thereafter due are entitled
to the priority provided in that law for taxes due.
new text end

Sec. 20.

new text begin [268B.14] ADMINISTRATIVE COSTS.
new text end

new text begin For the calendar year beginning January 1, 2023, and each calendar year thereafter, the
commissioner may spend up to seven percent of projected benefit payments for that calendar
year for the administration of this chapter.
new text end

Sec. 21.

new text begin [268B.15] PUBLIC OUTREACH.
new text end

new text begin The commissioner must use at least 0.5 percent of revenue collected under this chapter
for the purpose of outreach, education and technical assistance for employees and employers.
At least one-half of the amount spent under this section must be used for grants to
community-based groups.
new text end

Sec. 22.

new text begin [268B.16] APPLICANT'S FALSE REPRESENTATIONS; CONCEALMENT
OF FACTS; PENALTY.
new text end

new text begin (a) Any applicant who knowingly makes a false statement or representation, knowingly
fails to disclose a material fact, or makes a false statement or representation without a
good-faith belief as to the correctness of the statement or representation in order to obtain
or in an attempt to obtain benefits may be assessed, in addition to any other penalties, an
administrative penalty of ineligibility of benefits for 13 to 104 weeks.
new text end

new text begin (b) A determination of ineligibility setting out the weeks the applicant is ineligible must
be sent to the applicant by United States mail or electronic transmission. The determination
is final unless an appeal is filed within 30 calendar days after receipt of the determination.
new text end

Sec. 23.

new text begin [268B.17] EMPLOYER MISCONDUCT; PENALTY.
new text end

new text begin (a) The commissioner must penalize an employer if that employer or any employee,
officer, or agent of that employer is in collusion with any applicant for the purpose of
assisting the applicant in receiving benefits fraudulently. The penalty is $500 or the amount
of benefits determined to be overpaid, whichever is greater.
new text end

new text begin (b) The commissioner must penalize an employer if that employer or any employee,
officer, or agent of that employer:
new text end

new text begin (1) made a false statement or representation knowing it to be false;
new text end

new text begin (2) made a false statement or representation without a good-faith belief as to the
correctness of the statement or representation; or
new text end

new text begin (3) knowingly failed to disclose a material fact.
new text end

new text begin (c) The penalty is the greater of $500 or 50 percent of the following resulting from the
employer's action:
new text end

new text begin (1) the amount of any overpaid benefits to an applicant;
new text end

new text begin (2) the amount of benefits not paid to an applicant that would otherwise have been paid;
or
new text end

new text begin (3) the amount of any payment required from the employer under this chapter that was
not paid.
new text end

new text begin (d) Penalties must be paid within 30 calendar days of issuance of the determination of
penalty and credited to the account.
new text end

new text begin (e) The determination of penalty is final unless the employer files an appeal within 30
calendar days after the sending of the determination of penalty to the employer by United
States mail or electronic transmission.
new text end

Sec. 24.

new text begin [268B.18] RECORDS; AUDITS.
new text end

new text begin (a) Each employer must keep true and accurate records on individuals performing services
for the employer, containing the information the commissioner may require under this
chapter. The records must be kept for a period of not less than four years in addition to the
current calendar year.
new text end

new text begin (b) For the purpose of administering this chapter, the commissioner has the power to
investigate, audit, examine, or cause to be supplied or copied, any books, correspondence,
papers, records, or memoranda that are the property of, or in the possession of, an employer
or any other person at any reasonable time and as often as may be necessary.
new text end

new text begin (c) An employer or other person that refuses to allow an audit of its records by the
department or that fails to make all necessary records available for audit in the state upon
request of the commissioner may be assessed an administrative penalty of $500. The penalty
collected is credited to the account.
new text end

Sec. 25.

new text begin [268B.19] SUBPOENAS; OATHS.
new text end

new text begin (a) The commissioner or benefit judge has authority to administer oaths and affirmations,
take depositions, certify to official acts, and issue subpoenas to compel the attendance of
individuals and the production of documents and other personal property necessary in
connection with the administration of this chapter.
new text end

new text begin (b) Individuals subpoenaed, other than applicants or officers and employees of an
employer that is the subject of the inquiry, must be paid witness fees the same as witness
fees in civil actions in district court. The fees need not be paid in advance.
new text end

new text begin (c) The subpoena is enforceable through the district court in Ramsey County.
new text end

Sec. 26.

new text begin [268B.20] MEDIATION AND CONCILIATION.
new text end

new text begin The department must offer mediation and conciliation services to employers and
applicants to resolve disputes concerning benefits under this chapter. The commissioner
shall notify parties of the availability of those services and may by rule extend appeal
deadlines to accommodate conciliation and mediation.
new text end

Sec. 27.

Minnesota Statutes 2018, section 290.0132, is amended by adding a subdivision
to read:


new text begin Subd. 23. new text end

new text begin Benefits under chapter 268B. new text end

new text begin The amount received in benefits under chapter
268B is a subtraction.
new text end

Sec. 28. new text beginEFFECTIVE DATE.
new text end

new text begin Benefits under Minnesota Statutes, chapter 268B, shall not be applied for nor paid until
January 1, 2021, and thereafter. This article is effective August 1, 2019, unless specifically
provided otherwise.
new text end

ARTICLE 2

TEMPORARY PROVISIONS AND APPROPRIATIONS

Section 1. new text beginFAMILY AND MEDICAL BENEFIT PROGRAM; APPROPRIATION.
new text end

new text begin $....... in fiscal year 2020 and $....... in fiscal year 2021 are appropriated from the general
fund to the commissioner of employment and economic development for the purposes of
Minnesota Statutes, chapter 268B. The base for fiscal year 2022 is $......, and the base for
fiscal years 2023 and later is zero.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2019.
new text end

Sec. 2. new text beginCHILD CARE LOSS BENEFITS PILOT PROGRAM; APPROPRIATION.
new text end

new text begin The commissioner of employment and economic development must administer a pilot
program in which benefits and workplace protections under Minnesota Statutes, chapter
268B, are available to employees, located in areas of the state with extreme child care
shortages as defined by the commissioner of employment and economic development,
requiring leave from employment based on loss of, or interruption to, child care services
for dependent children.
new text end

new text begin $....... in fiscal year 2020 is appropriated from the general fund to the commissioner of
employment and economic development for the purposes of this section.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment. The
commissioner must have the pilot program operational by January 1, 2021. This section
expires on June 30, 2022.
new text end

ARTICLE 3

FAMILY AND MEDICAL LEAVE BENEFIT AS EARNINGS

Section 1.

Minnesota Statutes 2018, section 256J.561, is amended by adding a subdivision
to read:


new text begin Subd. 4. new text end

new text begin Parents receiving family and medical leave benefits. new text end

new text begin A parent who meets
the criteria under subdivision 2 and who receives benefits under chapter 268B is not required
to participate in employment services.
new text end

Sec. 2.

Minnesota Statutes 2018, section 256J.95, subdivision 3, is amended to read:


Subd. 3.

Eligibility for diversionary work program.

(a) Except for the categories of
family units listed in clauses (1) to (8), all family units who apply for cash benefits and who
meet MFIP eligibility as required in sections 256J.11 to 256J.15 are eligible and must
participate in the diversionary work program. Family units or individuals that are not eligible
for the diversionary work program include:

(1) child only cases;

(2) single-parent family units that include a child under 12 months of age. A parent is
eligible for this exception once in a parent's lifetime;

(3) family units with a minor parent without a high school diploma or its equivalent;

(4) family units with an 18- or 19-year-old caregiver without a high school diploma or
its equivalent who chooses to have an employment plan with an education option;

(5) family units with a caregiver who received DWP benefits within the 12 months prior
to the month the family applied for DWP, except as provided in paragraph (c);

(6) family units with a caregiver who received MFIP within the 12 months prior to the
month the family applied for DWP;

(7) family units with a caregiver who received 60 or more months of TANF assistance;
deleted text begin and
deleted text end

(8) family units with a caregiver who is disqualified from the work participation cash
benefit program, DWP, or MFIP due to frauddeleted text begin.deleted text endnew text begin; and
new text end

new text begin (9) single-parent family units where a parent is receiving family and medical leave
benefits under chapter 268B.
new text end

(b) A two-parent family must participate in DWP unless both caregivers meet the criteria
for an exception under paragraph (a), clauses (1) through (5), or the family unit includes a
parent who meets the criteria in paragraph (a), clause (6), (7), or (8).

(c) Once DWP eligibility is determined, the four months run consecutively. If a participant
leaves the program for any reason and reapplies during the four-month period, the county
must redetermine eligibility for DWP.

Sec. 3.

Minnesota Statutes 2018, section 256J.95, subdivision 11, is amended to read:


Subd. 11.

Universal participation required.

(a) All DWP caregivers, except caregivers
who meet the criteria in paragraph (d), are required to participate in DWP employment
services. Except as specified in paragraphs (b) and (c), employment plans under DWP must,
at a minimum, meet the requirements in section 256J.55, subdivision 1.

(b) A caregiver who is a member of a two-parent family that is required to participate
in DWP who would otherwise be ineligible for DWP under subdivision 3 may be allowed
to develop an employment plan under section 256J.521, subdivision 2, that may contain
alternate activities and reduced hours.

(c) A participant who is a victim of family violence shall be allowed to develop an
employment plan under section 256J.521, subdivision 3. A claim of family violence must
be documented by the applicant or participant by providing a sworn statement which is
supported by collateral documentation in section 256J.545, paragraph (b).

(d) One parent in a two-parent family unit deleted text beginthat has a natural born child under 12 months
of age
deleted text end is not required to have an employment plan deleted text beginuntil the child reaches 12 months of age
unless the family unit has already used the exclusion under section 256J.561, subdivision
3
, or the previously allowed child under age one exemption under section 256J.56, paragraph
(a), clause (5).
deleted text endnew text begin if that parent:
new text end

new text begin (1) receives family and medical leave benefits under chapter 268B; or
new text end

new text begin (2) has a natural born child under 12 months of age until the child reaches 12 months
of age unless the family unit has already used the exclusion under section 256J.561,
subdivision 3, or the previously allowed child under age one exemption under section
256J.56, paragraph (a), clause (5).
new text end

(e) The provision in paragraph (d) ends the first full month after the child reaches 12
months of age. This provision is allowable only once in a caregiver's lifetime. In a two-parent
household, only one parent shall be allowed to use this category.

(f) The participant and job counselor must meet in the month after the month the child
reaches 12 months of age to revise the participant's employment plan. The employment plan
for a family unit that has a child under 12 months of age that has already used the exclusion
in section 256J.561 must be tailored to recognize the caregiving needs of the parent.

Sec. 4.

Minnesota Statutes 2018, section 256P.01, subdivision 3, is amended to read:


Subd. 3.

Earned income.

"Earned income" means cash or in-kind income earned through
the receipt of wages, salary, commissions, bonuses, tips, gratuities, profit from employment
activities, net profit from self-employment activities, payments made by an employer for
regularly accrued vacation or sick leave, severance pay based on accrued leave time, new text beginbenefits
paid under chapter 268B,
new text endpayments from training programs at a rate at or greater than the
state's minimum wage, royalties, honoraria, or other profit from activity that results from
the client's work, service, effort, or labor. The income must be in return for, or as a result
of, legal activity.