HF 2107

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to family law; establishing child support
guidelines; providing for a separate household
adjustment; amending Minnesota Statutes 2004, section
518.551, subdivision 5, by adding a subdivision.

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

Section 1.

Minnesota Statutes 2004, section 518.551,
subdivision 5, is amended to read:

Subd. 5.

Notice to public authority; guidelines.

(a) The
petitioner shall notify the public authority of all proceedings
for dissolution, legal separation, determination of parentage or
for the custody of a child, if either party is receiving public
assistance or applies for it subsequent to the commencement of
the proceeding.

new text begin (1) new text end The notice must contain the full names of the parties
to the proceeding, their Social Security account numbers, and
their birth dates. After receipt of the notice, the court shall
set child support as provided in this subdivision.

new text begin (2) If the court in a dissolution, legal separation, or
determination of parentage proceeding finds before issuing the
order for judgment and decree that notification has not been
given to the public authority, the court must set child support
according to the guidelines in this chapter. In those
proceedings in which no notification has been made pursuant to
this section and in which the public authority determines that
the judgment is lower than the child support required by the
guidelines in this chapter, it must move the court for a
redetermination of the support payments ordered so that the
support payments comply with the guidelines.
new text end

new text begin (3) new text end The court may order either or both parents owing a duty
of support to a child of the marriage to pay an amount
reasonable or necessary for the child's support, without regard
to marital misconduct.

new text begin (4) new text end The court shall approve a child support stipulation of
the parties if each party is represented by independent counsel,
unless the stipulation does not meet the conditions of paragraph
(i).

new text begin (5) new text end In other cases the court shall determine and order
child support in a specific dollar amount in accordance with the
guidelines and the other factors set forth in paragraph (c) and
any departure therefrom.

new text begin (6) new text end The court may also order the obligor to pay child
support in the form of a percentage share of the obligor's net
bonuses, commissions, or other forms of compensation, in
addition to, or if the obligor receives no base pay, in lieu of,
an order for a specific dollar amount.

deleted text begin (b) The court shall derive a specific dollar amount for
child support by multiplying the obligor's net income by the
percentage indicated by the following guidelines:
deleted text end

deleted text begin Net Income Per deleted text end deleted text begin Number of Children
Month of Obligor
1 deleted text end deleted text begin 2 deleted text end deleted text begin 3 deleted text end deleted text begin 4 deleted text end deleted text begin 5 deleted text end deleted text begin 6 deleted text end deleted text begin 7 or
more
$550 and Below deleted text end deleted text begin Order based on the ability of the
obligor to provide support
at these income levels, or at higher
levels, if the obligor has
the earning ability.
$551 - 600 deleted text end deleted text begin 16% deleted text end deleted text begin 19% deleted text end deleted text begin 22% deleted text end deleted text begin 25% deleted text end deleted text begin 28% deleted text end deleted text begin 30% deleted text end deleted text begin 32%
$601 - 650 deleted text end deleted text begin 17% deleted text end deleted text begin 21% deleted text end deleted text begin 24% deleted text end deleted text begin 27% deleted text end deleted text begin 29% deleted text end deleted text begin 32% deleted text end deleted text begin 34%
$651 - 700 deleted text end deleted text begin 18% deleted text end deleted text begin 22% deleted text end deleted text begin 25% deleted text end deleted text begin 28% deleted text end deleted text begin 31% deleted text end deleted text begin 34% deleted text end deleted text begin 36%
$701 - 750 deleted text end deleted text begin 19% deleted text end deleted text begin 23% deleted text end deleted text begin 27% deleted text end deleted text begin 30% deleted text end deleted text begin 33% deleted text end deleted text begin 36% deleted text end deleted text begin 38%
$751 - 800 deleted text end deleted text begin 20% deleted text end deleted text begin 24% deleted text end deleted text begin 28% deleted text end deleted text begin 31% deleted text end deleted text begin 35% deleted text end deleted text begin 38% deleted text end deleted text begin 40%
$801 - 850 deleted text end deleted text begin 21% deleted text end deleted text begin 25% deleted text end deleted text begin 29% deleted text end deleted text begin 33% deleted text end deleted text begin 36% deleted text end deleted text begin 40% deleted text end deleted text begin 42%
$851 - 900 deleted text end deleted text begin 22% deleted text end deleted text begin 27% deleted text end deleted text begin 31% deleted text end deleted text begin 34% deleted text end deleted text begin 38% deleted text end deleted text begin 41% deleted text end deleted text begin 44%
$901 - 950 deleted text end deleted text begin 23% deleted text end deleted text begin 28% deleted text end deleted text begin 32% deleted text end deleted text begin 36% deleted text end deleted text begin 40% deleted text end deleted text begin 43% deleted text end deleted text begin 46%
$951 - 1000 deleted text end deleted text begin 24% deleted text end deleted text begin 29% deleted text end deleted text begin 34% deleted text end deleted text begin 38% deleted text end deleted text begin 41% deleted text end deleted text begin 45% deleted text end deleted text begin 48%
$1001- 5000 deleted text end deleted text begin 25% deleted text end deleted text begin 30% deleted text end deleted text begin 35% deleted text end deleted text begin 39% deleted text end deleted text begin 43% deleted text end deleted text begin 47% deleted text end deleted text begin 50%
deleted text end

deleted text begin or the amount
in effect under
paragraph (k)
deleted text end

deleted text begin Guidelines for support for an obligor with a monthly income
in excess of the income limit currently in effect under
paragraph (k) shall be the same dollar amounts as provided for
in the guidelines for an obligor with a monthly income equal to
the limit in effect.
deleted text end

deleted text begin Net Income defined as:
deleted text end
deleted text begin Total monthly
income less deleted text end deleted text begin *(i) Federal Income Tax
*(ii) State Income Tax
(iii) Social Security
Deductions
(iv) Reasonable
Pension Deductions
*Standard
Deductions apply- deleted text end deleted text begin (v) Union Dues
use of tax tables deleted text end deleted text begin (vi) Cost of Dependent Health
recommended deleted text end deleted text begin Insurance Coverage
(vii) Cost of Individual or Group
Health/Hospitalization
Coverage or an
Amount for Actual
Medical Expenses
(viii) A Child Support or
Maintenance Order that is
Currently Being Paid.
deleted text end

deleted text begin "Net income" does not include:
deleted text end

deleted text begin (1) the income of the obligor's spouse, but does include
in-kind payments received by the obligor in the course of
employment, self-employment, or operation of a business if the
payments reduce the obligor's living expenses; or
deleted text end

deleted text begin (2) compensation received by a party for employment in
excess of a 40-hour work week, provided that:
deleted text end

deleted text begin (i) support is nonetheless ordered in an amount at least
equal to the guidelines amount based on income not excluded
under this clause; and
deleted text end

deleted text begin (ii) the party demonstrates, and the court finds, that:
deleted text end

deleted text begin (A) the excess employment began after the filing of the
petition for dissolution;
deleted text end

deleted text begin (B) the excess employment reflects an increase in the work
schedule or hours worked over that of the two years immediately
preceding the filing of the petition;
deleted text end

deleted text begin (C) the excess employment is voluntary and not a condition
of employment;
deleted text end

deleted text begin (D) the excess employment is in the nature of additional,
part-time or overtime employment compensable by the hour or
fraction of an hour; and
deleted text end

deleted text begin (E) the party's compensation structure has not been changed
for the purpose of affecting a support or maintenance obligation.
deleted text end

deleted text begin The court shall review the work-related and
education-related child care costs paid and shall allocate the
costs to each parent in proportion to each parent's net income,
as determined under this subdivision, after the transfer of
child support and spousal maintenance, unless the allocation
would be substantially unfair to either parent. There is a
presumption of substantial unfairness if after the sum total of
child support, spousal maintenance, and child care costs is
subtracted from the obligor's income, the income is at or below
100 percent of the federal poverty guidelines. The cost of
child care for purposes of this paragraph is 75 percent of the
actual cost paid for child care, to reflect the approximate
value of state and federal tax credits available to the
obligee. The actual cost paid for child care is the total
amount received by the child care provider for the child or
children of the obligor from the obligee or any public agency.
The court shall require verification of employment or school
attendance and documentation of child care expenses from the
obligee and the public agency, if applicable. If child care
expenses fluctuate during the year because of seasonal
employment or school attendance of the obligee or extended
periods of parenting time with the obligor, the court shall
determine child care expenses based on an average monthly cost.
The amount allocated for child care expenses is considered child
support but is not subject to a cost-of-living adjustment under
section 518.641. The amount allocated for child care expenses
terminates when either party notifies the public authority that
the child care costs have ended and without any legal action on
the part of either party. The public authority shall verify the
information received under this provision before authorizing
termination. The termination is effective as of the date of the
notification. In other cases where there is a substantial
increase or decrease in child care expenses, the parties may
modify the order under section 518.64.
deleted text end

deleted text begin The court may allow the obligor parent to care for the
child while the obligee parent is working, as provided in
section 518.175, subdivision 8, but this is not a reason to
deviate from the guidelines.
deleted text end

deleted text begin (c) In addition to the child support guidelines, the court
shall take into consideration the following factors in setting
or modifying child support or in determining whether to deviate
from the guidelines:
deleted text end

deleted text begin (1) all earnings, income, and resources of the parents,
including real and personal property, but excluding income from
excess employment of the obligor or obligee that meets the
criteria of paragraph (b), clause (2)(ii);
deleted text end

deleted text begin (2) the financial needs and resources, physical and
emotional condition, and educational needs of the child or
children to be supported;
deleted text end

deleted text begin (3) the standard of living the child would have enjoyed had
the marriage not been dissolved, but recognizing that the
parents now have separate households;
deleted text end

deleted text begin (4) which parent receives the income taxation dependency
exemption and what financial benefit the parent receives from
it;
deleted text end

deleted text begin (5) the parents' debts as provided in paragraph (d); and
deleted text end

deleted text begin (6) the obligor's receipt of public assistance under the
AFDC program formerly codified under sections 256.72 to 256.82
or 256B.01 to 256B.40 and chapter 256J or 256K.
deleted text end

deleted text begin (d) In establishing or modifying a support obligation, the
court may consider debts owed to private creditors, but only if:
deleted text end

deleted text begin (1) the right to support has not been assigned under
section 256.741;
deleted text end

deleted text begin (2) the court determines that the debt was reasonably
incurred for necessary support of the child or parent or for the
necessary generation of income. If the debt was incurred for
the necessary generation of income, the court shall consider
only the amount of debt that is essential to the continuing
generation of income; and
deleted text end

deleted text begin (3) the party requesting a departure produces a sworn
schedule of the debts, with supporting documentation, showing
goods or services purchased, the recipient of them, the amount
of the original debt, the outstanding balance, the monthly
payment, and the number of months until the debt will be fully
paid.
deleted text end

deleted text begin (e) Any schedule prepared under paragraph (d), clause (3),
shall contain a statement that the debt will be fully paid after
the number of months shown in the schedule, barring emergencies
beyond the party's control.
deleted text end

deleted text begin (f) Any further departure below the guidelines that is
based on a consideration of debts owed to private creditors
shall not exceed 18 months in duration, after which the support
shall increase automatically to the level ordered by the court.
Nothing in this section shall be construed to prohibit one or
more step increases in support to reflect debt retirement during
the 18-month period.
deleted text end

deleted text begin (g) If payment of debt is ordered pursuant to this section,
the payment shall be ordered to be in the nature of child
support.
deleted text end

deleted text begin (h) Nothing shall preclude the court from receiving
evidence on the above factors to determine if the guidelines
should be exceeded or modified in a particular case.
deleted text end

new text begin (b)(1) Unless otherwise agreed to by the parents and
approved by the court, the court must order that basic support
be divided between the parents based on their proportionate
share of the parents' combined monthly income, as determined
under this section.
new text end

new text begin (2) For parents with a combined monthly income less than or
equal to 100 percent of the federal poverty guidelines amount
for two people, the commissioner of human services must
determine the percentages in this paragraph by taking two times
the minimum basic support amount under paragraph (c), divided by
100 percent of the federal poverty guidelines amount for two
people. For all other parents, basic support must be computed
using the following schedule, prepared based on 2001 United
States Department of Agriculture expenditure data:
new text end

new text begin Parents' new text end new text begin Number of Children
Combined
Monthly
Income new text end new text begin One new text end new text begin Two new text end new text begin Three new text end new text begin Four new text end new text begin Five new text end new text begin Six
new text end

new text begin Below $1,000 new text end new text begin 10.0% new text end new text begin 16.1% new text end new text begin 18.6% new text end new text begin 21.6% new text end new text begin 25.1% new text end new text begin 29.1%
$1,000 - $1,499 new text end new text begin 10.0% new text end new text begin 16.1% new text end new text begin 18.6% new text end new text begin 21.6% new text end new text begin 25.1% new text end new text begin 29.1%
$1,500 - $1,999 new text end new text begin 19.4% new text end new text begin 31.3% new text end new text begin 36.2% new text end new text begin 42.0% new text end new text begin 48.7% new text end new text begin 56.5%
$2,000 - $2,499 new text end new text begin 28.7% new text end new text begin 46.3% new text end new text begin 53.5% new text end new text begin 62.1% new text end new text begin 72.0% new text end new text begin 83.5%
$2,500 - $2,999 new text end new text begin 25.0% new text end new text begin 40.3% new text end new text begin 46.5% new text end new text begin 53.9% new text end new text begin 62.6% new text end new text begin 72.6%
$3,000 - $3,499 new text end new text begin 22.5% new text end new text begin 36.3% new text end new text begin 41.9% new text end new text begin 48.6% new text end new text begin 56.4% new text end new text begin 65.4%
$3,500 - $3,999 new text end new text begin 20.7% new text end new text begin 33.4% new text end new text begin 38.5% new text end new text begin 44.7% new text end new text begin 51.8% new text end new text begin 60.1%
$4,000 - $4,499 new text end new text begin 19.4% new text end new text begin 31.2% new text end new text begin 36.1% new text end new text begin 41.9% new text end new text begin 48.6% new text end new text begin 56.3%
$4,500 - $4,999 new text end new text begin 18.3% new text end new text begin 29.6% new text end new text begin 34.1% new text end new text begin 39.6% new text end new text begin 45.9% new text end new text begin 53.2%
$5,000 - $5,499 new text end new text begin 17.5% new text end new text begin 28.2% new text end new text begin 32.6% new text end new text begin 37.8% new text end new text begin 43.9% new text end new text begin 50.9%
$5,500 - $5,999 new text end new text begin 16.8% new text end new text begin 27.1% new text end new text begin 31.3% new text end new text begin 36.3% new text end new text begin 42.1% new text end new text begin 48.9%
$6,000 - $6,499 new text end new text begin 16.2% new text end new text begin 26.2% new text end new text begin 30.2% new text end new text begin 35.0% new text end new text begin 40.6% new text end new text begin 47.1%
$6,500 - $6,999 new text end new text begin 15.8% new text end new text begin 25.4% new text end new text begin 29.3% new text end new text begin 34.0% new text end new text begin 39.4% new text end new text begin 45.7%
$7,000 - $7,499 new text end new text begin 15.4% new text end new text begin 24.8% new text end new text begin 28.6% new text end new text begin 33.2% new text end new text begin 38.5% new text end new text begin 44.6%
$7,500 - $7,999 new text end new text begin 15.0% new text end new text begin 24.2% new text end new text begin 27.9% new text end new text begin 32.4% new text end new text begin 37.5% new text end new text begin 43.5%
$8,000 - $8,499 new text end new text begin 14.7% new text end new text begin 23.7% new text end new text begin 27.3% new text end new text begin 31.7% new text end new text begin 36.7% new text end new text begin 42.6%
$8,500 - $8,999 new text end new text begin 14.4% new text end new text begin 23.3% new text end new text begin 26.8% new text end new text begin 31.1% new text end new text begin 36.1% new text end new text begin 41.8%
$9,000 - $9,499 new text end new text begin 14.4% new text end new text begin 23.3% new text end new text begin 26.8% new text end new text begin 31.1% new text end new text begin 36.1% new text end new text begin 41.8%
$9,500 - $9,999 new text end new text begin 14.4% new text end new text begin 23.3% new text end new text begin 26.8% new text end new text begin 31.1% new text end new text begin 36.1% new text end new text begin 41.8%
$10,000 - $10,499 new text end new text begin 14.4% new text end new text begin 23.3% new text end new text begin 26.8% new text end new text begin 31.1% new text end new text begin 36.1% new text end new text begin 41.8%
$10,500 - $10,999 new text end new text begin 14.4% new text end new text begin 23.3% new text end new text begin 26.8% new text end new text begin 31.1% new text end new text begin 36.1% new text end new text begin 41.8%
$11,000 - $11,499 new text end new text begin 14.4% new text end new text begin 23.3% new text end new text begin 26.8% new text end new text begin 31.1% new text end new text begin 36.1% new text end new text begin 41.8%
$11,500 - $11,999 new text end new text begin 14.4% new text end new text begin 23.3% new text end new text begin 26.8% new text end new text begin 31.1% new text end new text begin 36.1% new text end new text begin 41.8%
$12,000 - $12,499 new text end new text begin 14.4% new text end new text begin 23.3% new text end new text begin 26.8% new text end new text begin 31.1% new text end new text begin 36.1% new text end new text begin 41.8%
$12,500 - $12,999 new text end new text begin 14.4% new text end new text begin 23.3% new text end new text begin 26.8% new text end new text begin 31.1% new text end new text begin 36.1% new text end new text begin 41.8%
$13,000 - $13,499 new text end new text begin 14.4% new text end new text begin 23.3% new text end new text begin 26.8% new text end new text begin 31.1% new text end new text begin 36.1% new text end new text begin 41.8%
$13,500 - $13,999 new text end new text begin 14.4% new text end new text begin 23.3% new text end new text begin 26.8% new text end new text begin 31.1% new text end new text begin 36.1% new text end new text begin 41.8%
$14,000 - $14,499 new text end new text begin 14.4% new text end new text begin 23.3% new text end new text begin 26.8% new text end new text begin 31.1% new text end new text begin 36.1% new text end new text begin 41.8%
$14,500 - $14,999 new text end new text begin 14.4% new text end new text begin 23.3% new text end new text begin 26.8% new text end new text begin 31.1% new text end new text begin 36.1% new text end new text begin 41.8%
new text end

new text begin $15,000 or
the amount new text end new text begin 14.4% new text end new text begin 23.3% new text end new text begin 26.8% new text end new text begin 31.1% new text end new text begin 36.1% new text end new text begin 41.8%
in effect
under subd. 4
new text end

new text begin (c) The commissioner of human services must compute and
publish a schedule of basic support amounts calculated using the
percentages in paragraph (b). The schedule must show basic
support amounts for combined monthly income increments of not
more than $100. The commissioner must determine the percentages
for each income increment by interpolating between the
percentages in paragraph (b). The commissioner may disregard a
fractional part of a dollar unless it amounts to 50 cents or
more, in which case the commissioner may increase the amount by
$1.
new text end

deleted text begin (i) deleted text end new text begin (d) new text end The guidelines in this subdivision are a rebuttable
presumption and deleted text begin shall deleted text end new text begin must new text end be used in all cases when
establishing or modifying child support. deleted text begin If the court does not
deviate from the guidelines, the court shall make written
findings concerning the amount of the obligor's income used as
the basis for the guidelines calculation and any other
significant evidentiary factors affecting the determination of
child support. If the court deviates from the guidelines, the
court shall make written findings giving the amount of support
calculated under the guidelines, the reasons for the deviation,
and shall specifically address the criteria in paragraph (c) and
how the deviation serves the best interest of the child. The
court may deviate from the guidelines if both parties agree and
the court makes written findings that it is in the best
interests of the child, except that in cases where child support
payments are assigned to the public agency under section
256.741, the court may deviate downward only as provided in
paragraph (j). Nothing in this paragraph prohibits the court
from deviating in other cases. The provisions of this paragraph
apply whether or not the parties are each represented by
independent counsel and have entered into a written agreement.
The court shall review stipulations presented to it for
conformity to the guidelines and the court is not required to
conduct a hearing, but the parties shall provide the
documentation of earnings required under subdivision 5b.
deleted text end

deleted text begin (j) If the child support payments are assigned to the
public agency under section 256.741, the court may not deviate
downward from the child support guidelines unless the court
specifically finds that the failure to deviate downward would
impose an extreme hardship on the obligor.
deleted text end

deleted text begin (k) The dollar amount of the income limit for application
of the guidelines must be adjusted on July 1 of every
even-numbered year to reflect cost-of-living changes. The
Supreme Court shall select the index for the adjustment from the
indices listed in section 518.641. The state court
administrator shall make the changes in the dollar amount
required by this paragraph available to courts and the public on
or before April 30 of the year in which the amount is to change.
deleted text end

deleted text begin (l) deleted text end new text begin (e) new text end In establishing or modifying child support, if a
child receives a child's insurance benefit under United States
Code, title 42, section 402, because the obligor is entitled to
old age or disability insurance benefits, the amount of support
ordered deleted text begin shall deleted text end new text begin must new text end be offset by the amount of the child's
benefit. The court shall make findings regarding the obligor's
income from all sources, the child support amount calculated
under this deleted text begin section deleted text end new text begin chapter new text end , the amount of the child's benefit,
and the obligor's child support obligation. deleted text begin Any deleted text end new text begin A new text end benefit
received by the child in a given month in excess of the child
support obligation deleted text begin shall deleted text end new text begin must new text end not be treated as an arrearage
payment or a future payment.

Sec. 2.

Minnesota Statutes 2004, section 518.551, is
amended by adding a subdivision to read:

new text begin Subd. 5g. new text end

new text begin Income. new text end

new text begin (a) For purposes of calculating child
support under this chapter, "income" means gross income.
new text end

new text begin (b) For purposes of this chapter, income includes any form
of periodic payment to an individual including, but not limited
to:
new text end

new text begin (1) wages;
new text end

new text begin (2) salaries;
new text end

new text begin (3) payments to an independent contractor;
new text end

new text begin (4) workers' compensation;
new text end

new text begin (5) unemployment insurance benefits;
new text end

new text begin (6) annuity;
new text end

new text begin (7) military and naval retirement;
new text end

new text begin (8) pension and disability payments; and
new text end

new text begin (9) in-kind payments received by the obligor in the course
of employment, self-employment, or operation of a business if
the payments reduce the obligor's living expenses.
new text end

new text begin (c) If the court finds that a party's commissions or
bonuses are reliable and predictable, the court may include them
in income calculations.
new text end

new text begin (d) Income from self-employment is equal to gross receipts
minus ordinary and necessary expenses. Ordinary and necessary
expenses include what would otherwise be the employer's share of
the contributions under the Federal Insurance Contributions Act
(FICA), United States Code, title 26, subtitle C, chapter 21,
subchapter A, sections 3101 to 3126. Ordinary and necessary
expenses do not necessarily include amounts allowed by the
Internal Revenue Service for accelerated depreciation expenses
or investment tax credits or any other business expenses
determined by the court to be inappropriate for determining
income for purposes of child support. The person seeking to
deduct an expense, including depreciation, has the burden of
proving, if challenged, that the expense is ordinary and
necessary. Income calculated under this section may be
different from taxable income.
new text end

new text begin (e) Benefits received under chapter 256J and Title IV-A of
the Social Security Act are not income under this section.
new text end

new text begin (f)(1) Income does not include compensation received by a
party for employment in excess of a 40-hour work week if:
new text end

new text begin (i) the excess employment is not within the normal range of
hours worked, given the party's employment history;
new text end

new text begin (ii) the excess employment is voluntary and not a condition
of employment;
new text end

new text begin (iii) the excess employment is in the nature of additional,
part-time, or overtime employment compensable by the hour or
fraction of an hour; and
new text end

new text begin (iv) the party's compensation structure has not been
changed for the purpose of affecting a child support obligation.
new text end

new text begin (2) The court may presume that a party with seasonal or
intermittent income who works periods in excess of a 40-hour
work week, but who works a substantially normal number of hours
over the course of a year, is working within the normal range of
hours worked.
new text end

new text begin (g)(1) Income must not include the income of a party's
spouse or other household member. The court must not consider
the income or resources provided by a spouse or other household
member when determining the earnings, income, and resources of a
parent.
new text end

new text begin (2) Notwithstanding paragraph (a), the court may issue an
order permitting discovery of a spouse's or other household
member's income information if there is probable cause to
believe the spouse or other household member is being used to
shelter income from a party. If the court finds that income was
improperly or unfairly sheltered, it may impute income to the
party or otherwise adjust the support amount in a just and
proper manner. However, the court may not under any
circumstances consider income or resources properly attributable
to a spouse or other household member when setting support.
new text end

new text begin (h) The amount of a support or maintenance order, not
including orders for support or maintenance debts or arrears,
must be deducted from income.
new text end

new text begin (i)(1) For purposes of this paragraph, "legally dependent
child" means a child:
new text end

new text begin (i) whose primary residence is with a parent eligible for a
deduction from income under this subdivision;
new text end

new text begin (ii) whom the parent has the legal duty to support;
new text end

new text begin (iii) who is not a subject of the current child support
action;
new text end

new text begin (iv) for whom the parent is not ordered to pay child
support; and
new text end

new text begin (v) for whom no other person has court-ordered sole
physical custody.
new text end

new text begin (2) The court must deduct an amount from a parent's income
for a legally dependent child. The amount deducted from income
for each legally dependent child must be computed using the
following method:
new text end

new text begin (i) determine 120 percent of the federal poverty guidelines
for a family size equal to two parents plus each legally
dependent child;
new text end

new text begin (ii) divide the amount determined under item (i) by the
family size determined under item (i);
new text end

new text begin (iii) multiply the amount calculated under item (ii) by the
number of legally dependent children; and
new text end

new text begin (iv) divide the amount calculated under item (iii) by two
to determine the deduction amount for one parent. The amount
determined for one parent must be divided by 12 to determine the
amount of the deduction from a parent's monthly income.
new text end

new text begin (3) The commissioner of human services must publish a table
listing the amount of the deduction for each legally dependent
child by family size and must update the table for changes to
the federal poverty guidelines by July 1 of each year.
new text end

new text begin (j) After determining each parent's basic support under
paragraph (i), the court must reduce the basic support of each
parent by 20 percent.
new text end

new text begin (k)(1) If the parents' parenting time approximates joint
physical custody, an obligor's basic support obligation is 50
percent of the difference between the parents' basic support
obligation, as determined under paragraph (i).
new text end

new text begin (2) A parenting time division approximates joint physical
custody if each parent provides, or is responsible for
providing, care at least 45 percent of the days in a year.
new text end

new text begin (3) For purposes of this paragraph, the following
principles apply:
new text end

new text begin (i) the label given to a custody arrangement is not
determinative;
new text end

new text begin (ii) the actual division of parenting time controls; and
new text end

new text begin (iii) an overnight stay presumptively constitutes a day of
caregiving.
new text end

new text begin (4) The court must make specific findings in support of an
adjustment to an obligor's basic support obligation under this
subdivision.
new text end

new text begin (l)(1) The basic support obligation for parents with a
combined monthly income in excess of the income limit currently
in effect under paragraph (i) must be the same dollar amount as
provided for parents with a combined monthly income equal to the
income limit in effect under paragraph (i).
new text end

new text begin (2) A court may order a basic support obligation in a child
support order in an amount that exceeds the income limit in
paragraph (i) if it finds that a child has a disability or other
substantial, demonstrated need for the additional support and
that the additional support will directly benefit the child.
new text end

new text begin (3) The dollar amount for the cap in paragraph (i) must be
adjusted on July 1 of every even-numbered year to reflect
cost-of-living changes. The Supreme Court must select the index
for the adjustment from the indices listed in section 518.641.
The state court administrator must make the changes in the
dollar amounts required by this clause available to courts and
the public on or before April 30 of the year in which the amount
is to change.
new text end

new text begin (m) If a child support proceeding involves more than six
children, the court may derive a support order without
specifically following the guidelines. However, the court must
consider the basic principles encompassed by the guidelines and
must consider both parents' needs, resources, and circumstances.
new text end

new text begin (n) By January 15 of each year, the commissioner of human
services must submit a report to the legislature on the basic
support schedule. The report must include the following:
new text end

new text begin (1) information on any changes to the United States
Department of Agriculture expenditure data used in constructing
the basic support schedule under subdivision 1;
new text end

new text begin (2) information on any new sources of economic data that
could be used to construct a basic support schedule; and
new text end

new text begin (3) a summary of any problems or concerns with implementing
or applying the basic support schedule, and recommendations on
how to resolve those problems or concerns.
new text end