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HF 3585

1st Engrossment - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

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

Current Version - 1st Engrossment

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A bill for an act
relating to family law; changing certain child support and maintenance
provisions; amending Minnesota Statutes 2004, section 518.551, subdivision 6,
by adding a subdivision; Minnesota Statutes 2005 Supplement, section 518.54,
subdivision 4a; Laws 2005, chapter 164, sections 4; 5, subdivisions 8, 15, 18,
25; 8; 10; 14; 15; 16; 18; 20; 21; 22, subdivisions 2, 3, 4, 16, 17, 18; 24; 25; 31;
32; repealing Laws 2005, chapter 164, section 12.

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

Section 1.

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


new text begin Subd. 1a. new text end

new text begin Scope; payment to public agency. new text end

new text begin (a) This section applies to all
proceedings involving a support order, including, but not limited to, a support order
establishing an order for past support or reimbursement of public assistance.
new text end

new text begin (b) The court shall direct that all payments ordered for maintenance or support
be made to the public agency responsible for child support enforcement so long as
the obligee is receiving or has applied for public assistance, or has applied for child
support or maintenance collection services. Public authorities responsible for child
support enforcement may act on behalf of other public authorities responsible for child
support enforcement, including the authority to represent the legal interests of or execute
documents on behalf of the other public authority in connection with the establishment,
enforcement, and collection of child support, maintenance, or medical support, and
collection on judgments.
new text end

new text begin (c) Payments made to the public authority other than payments under section
518.6111 must be credited as of the date the payment is received by the central collections
unit.
new text end

new text begin (d) Amounts received by the public agency responsible for child support enforcement
greater than the amount granted to the obligee must be remitted to the obligee.
new text end

Sec. 2.

Minnesota Statutes 2004, section 518.551, subdivision 6, is amended to read:


Subd. 6.

Failure of notice.

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 shall set child
support deleted text begin according to the guidelines in subdivision 5deleted text end new text begin as provided in section 518.725new text end . 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 subdivision 5, it shall move the court for a redetermination of
the support payments ordered so that the support payments comply with the guidelines.

Sec. 3.

Laws 2005, chapter 164, section 4, is amended to read:


Sec. 4. [518.1781] SIX-MONTH REVIEW.

(a) A request for a six-month review hearing form must be attached to a decree
of dissolution or legal separation or an order that initially establishes child custody,
parenting time, or support rights and obligations of parents. The state court administrator
is requested to prepare the request for review hearing form. The form must include
information regarding the procedures for requesting a hearing, the purpose of the hearing,
and any other information regarding a hearing under this section that the state court
administrator deems necessary.

(b) The six-month review hearing shall be held if any party submits a written request
for a hearing within six months after entry of a decree of dissolution or legal separation or
order that establishes child custody, parenting time, or support.

(c) Upon receipt of a completed request for hearing form, the court administrator
shall provide notice of the hearing to all other parties and the public authority. The court
administrator shall schedule the six-month review hearing as soon as practicable following
the receipt of the hearing request form.

(d) At the six-month hearing, the court must review:

(1) whether child support is current; and

(2) whether both parties are complying with the parenting time provisions of the
order.

(e) At the six-month hearing, the obligor has the burden to present evidence to
establish that child support payments are current. A party may request that the public
authority provide information to the parties and court regarding child support payments. A
party must request the information from the public authority at least 14 days before the
hearing. The commissioner of human services must develop a form to be used by the
public authority to submit child support payment information to the parties and court.

(f) Contempt of court and all statutory remedies for child support and parenting time
enforcement may be imposed by the court at the six-month hearing for noncompliance by
either party pursuant to chapters 517C and 588 and the Minnesota Court Rules.

(g) A request for a six-month review hearing form must be attached to a decree or
ordernew text begin signed on or after January 1, 2007,new text end that initially establishes child support rights and
obligations deleted text begin according to section 517A.29deleted text end .

Sec. 4.

Minnesota Statutes 2005 Supplement, section 518.54, subdivision 4a, is
amended to read:


Subd. 4a.

Support order.

(a) "Support order" means a judgment, decree, or order,
whether temporary, final, or subject to modification, issued by a court or administrative
agency of competent jurisdiction:

(1) for the support and maintenance of a child, including a child who has attained the
age of majority under the law of the issuing state;

(2) for a child and the parent with whom the child is living, that provides for
monetary support, child care, medical support including expenses for confinement and
pregnancy, arrearages, or reimbursement; or

(3) for the maintenance of a spousenew text begin or former spousenew text end .

(b) The support order may include related costs and fees, interest and penalties,
income withholding, and other relief. This definition applies to orders issued under this
chapter and chapters 256, 257, and 518C.

Sec. 5.

Laws 2005, chapter 164, section 5, subdivision 8, is amended to read:


Subd. 8. Obligor. "Obligor" means a person obligated to pay maintenance or
support. A person who is designated as the sole physical custodian of a child is presumed
not to be an obligor for purposes of calculating current support under section deleted text begin 518.551deleted text end new text begin
518.713
new text end unless the court makes specific written findings to overcome this presumption.
For purposes of ordering medical support under section 518.719, a custodial parent may
be an obligor subject to deleted text begin a cost-of-living adjustment under section 518.641 anddeleted text end a payment
agreement under section 518.553.

Sec. 6.

Laws 2005, chapter 164, section 5, subdivision 15, is amended to read:


Subd. 15. Parental income for child support (PICS). "Parental income for child
support," or "PICS," means new text begin the modifiednew text end gross income under subdivision 18 minus
deductions for nonjoint children as allowed by section 518.717.

Sec. 7.

Laws 2005, chapter 164, section 5, subdivision 18, is amended to read:


Subd. 18. Gross incomenew text begin ; modified gross incomenew text end . new text begin (a) new text end "Gross income" meansdeleted text begin : deleted text end

deleted text begin (1)deleted text end the gross income of the parent calculated under section 518.7123new text begin .
new text end

new text begin (b) "Modified gross income" means:
new text end

new text begin (1) the gross income of the parentnew text end ; plus

(2) deleted text begin Social Security or veterans' benefit payments received on behalf of the child
under section 518.718; plus
deleted text end new text begin the amount of any Social Security benefits or veterans'
benefits payments provided to a joint child pursuant to section 518.718;
new text end

deleted text begin (3) the potential income of the parent, if any, as determined in subdivision 23;deleted text end minus

deleted text begin (4)deleted text end new text begin (3)new text end spousal maintenance that deleted text begin any partydeleted text end new text begin the parentnew text end has been ordered to pay; minus

deleted text begin (5)deleted text end new text begin (4)new text end the amount of any existing child support order for other nonjoint children.

Sec. 8.

Laws 2005, chapter 164, section 5, subdivision 25, is amended to read:


Subd. 25. Social Security benefits. "Social Security benefits" means the monthly
deleted text begin amountdeleted text end new text begin Retirement, Survivors or Disability Insurance benefits that new text end the Social Security
Administration deleted text begin pays to deleted text end new text begin provides to a parent for that parent's own benefit or for the benefit
of
new text end a joint child deleted text begin or the child's representative payee due solely to the disability or retirement
of either parent
deleted text end . deleted text begin Benefits paiddeleted text end new text begin "Social Security benefits" do not include Supplemental
Security Income benefits that the Social Security Administration provides to a parent for
the parent's own benefit or
new text end to a parent due to the disability of a child deleted text begin are excluded from
this definition
deleted text end .

Sec. 9.

Laws 2005, chapter 164, section 8, is amended to read:


Sec. 8. Minnesota Statutes 2004, section 518.551, subdivision 5b, is amended to
read:

Subd. 5b. Providing income information. (a) In any case where the parties have
joint children for which a child support order must be determined, the parties shall serve
and file with their initial pleadings or motion documents, a financial affidavit, disclosing
all sources of gross incomenew text begin , as calculated under section 518.7123new text end . The financial affidavit
shall include relevant supporting documentation necessary to calculate the parental income
for child support under section 518.54, subdivision 15, including, but not limited to, pay
stubs for the most recent three months, employer statements, or statements of receipts
and expenses if self-employed. Documentation of earnings and income also include
relevant copies of each parent's most recent federal tax returns, including W-2 forms,
1099 forms, unemployment benefit statements, workers' compensation statements, and
all other documents evidencing earnings or income as received that provide verification
for the financial affidavit.

(b) In addition to the requirements of paragraph (a), at any time after an action
seeking child support has been commenced or when a child support order is in effect, a
party or the public authority may require the other party to give them a copy of the party's
most recent federal tax returns that were filed with the Internal Revenue Service. The
party shall provide a copy of the tax returns within 30 days of receipt of the request unless
the request is not made in good faith. A request under this paragraph may not be made
more than once every two years, in the absence of good cause.

(c) If a parent under the jurisdiction of the court does not serve and file the financial
affidavit with the parent's initial pleading, the court shall set income for that parent based
on credible evidence before the court or in accordance with section 518.54, subdivision
23. Credible evidence may include documentation of current or recent income, testimony
of the other parent concerning recent earnings and income levels, and the parent's wage
reports filed with the Minnesota Department of Employment and Economic Development
under section 268.044.

Sec. 10.

Laws 2005, chapter 164, section 10, is amended to read:


Sec. 10. Minnesota Statutes 2004, section 518.64, subdivision 2, is amended to read:

Subd. 2. Modification. (a) The terms of an order respecting maintenance or support
may be modified upon a showing of one or more of the following: (1) substantially
increased or decreased gross income of an obligor or obligee; (2) substantially increased or
decreased need of an obligor or obligee or the child or children that are the subject of these
proceedings; (3) receipt of assistance under the AFDC program formerly codified under
sections 256.72 to 256.87 or 256B.01 to 256B.40, or chapter 256J or 256K; (4) a change
in the cost of living for either party as measured by the Federal Bureau of Labor Statistics,
any of which makes the terms unreasonable and unfair; (5) extraordinary medical
expenses of the child not provided for under section deleted text begin 518.171deleted text end new text begin 518.719new text end ; (6) the addition
of work-related or education-related child care expenses of the obligee or a substantial
increase or decrease in existing work-related or education-related child care expenses; or
(7) upon the emancipation of the child, as provided in section 518.64, subdivision 4a.

(b) It is presumed that there has been a substantial change in circumstances under
paragraph (a) and the terms of a current support order shall be rebuttably presumed to be
unreasonable and unfair if:

(1) the application of the child support guidelines in section deleted text begin 518.551deleted text end new text begin 518.725new text end ,
subdivision 5, to the current circumstances of the parties results in a calculated court
order that is at least 20 percent and at least $75 per month higher or lower than the
current support ordernew text begin , except that if the current support order is less than $75, the current
circumstances of the parties results in a calculated court order that is at least 20 percent
per month higher or lower than the current support order
new text end ;

(2) the medical support provisions of the order established under section 518.719
are not enforceable by the public authority or the obligee;

(3) health coverage ordered under section 518.719 is not available to the child for
whom the order is established by the parent ordered to provide;

(4) the existing support obligation is in the form of a statement of percentage and
not a specific dollar amount; or

(5) the gross income of an obligor or obligee has decreased by at least 20 percent
through no fault or choice of the party.

(c) A child support order is not presumptively modifiable solely because an obligor
or obligee becomes responsible for the support of an additional nonjoint child, which is
born after an existing order. Section 518.717 shall be considered if other grounds are
alleged which allow a modification of support.

(d) On a motion for modification of maintenance, including a motion for the
extension of the duration of a maintenance award, the court shall apply, in addition to all
other relevant factors, the factors for an award of maintenance under section 518.552 that
exist at the time of the motion. On a motion for modification of support, the court:

(1) shall apply section 518.725, and shall not consider the financial circumstances of
each party's spouse, if any; and

(2) shall not consider compensation received by a party for employment in excess of
a 40-hour work week, provided that the party demonstrates, and the court finds, that:

(i) the excess employment began after entry of the existing support order;

(ii) the excess employment is voluntary and not a condition of employment;

(iii) the excess employment is in the nature of additional, part-time employment, or
overtime employment compensable by the hour or fractions of an hour;

(iv) the party's compensation structure has not been changed for the purpose of
affecting a support or maintenance obligation;

(v) in the case of an obligor, current child support payments are at least equal to the
guidelines amount based on income not excluded under this clause; and

(vi) in the case of an obligor who is in arrears in child support payments to the
obligee, any net income from excess employment must be used to pay the arrearages
until the arrearages are paid in full.

(e) A modification of support or maintenance, including interest that accrued
pursuant to section 548.091, may be made retroactive only with respect to any period
during which the petitioning party has pending a motion for modification but only from the
date of service of notice of the motion on the responding party and on the public authority
if public assistance is being furnished or the county attorney is the attorney of record.

(f) Except for an award of the right of occupancy of the homestead, provided in
section 518.63, all divisions of real and personal property provided by section 518.58
shall be final, and may be revoked or modified only where the court finds the existence
of conditions that justify reopening a judgment under the laws of this state, including
motions under section 518.145, subdivision 2. The court may impose a lien or charge on
the divided property at any time while the property, or subsequently acquired property, is
owned by the parties or either of them, for the payment of maintenance or support money,
or may sequester the property as is provided by section 518.24.

(g) The court need not hold an evidentiary hearing on a motion for modification of
maintenance or support.

(h) Section 518.14 shall govern the award of attorney fees for motions brought
under this subdivision.

(i) Except as expressly provided, an enactment, amendment, or repeal of law does
not constitute a substantial change in the circumstances for purposes of modifying a
child support order.

(j) new text begin (i) new text end There may be no modification of an existing child support order during the
first year following the effective date of sections 518.7123 to 518.729 except as follows:

(1) there is at least a 20 percent change in the gross incomenew text begin , as determined under
section 518.7123,
new text end of the obligor;

(2) there is a change in the number of joint children for whom the obligor is legally
responsible and actually supporting;

(3) new text begin the receipt of public assistance, as defined in section 256.741, by a parent or by
another caregiver of the child supported by the existing support order;
new text end

new text begin (4) the addition of work-related or education-related child care expenses of the
obligee or a substantial increase or decrease in existing work-related or education-related
child care expenses;
new text end

new text begin (5) there is a change in the availability of health care coverage, as defined in section
518.719, subdivision 1, paragraph (a), or a substantial increase or decrease in the cost
of existing health care coverage;
new text end

new text begin (6) new text end the child supported by the existing child support order becomes disabled; or

deleted text begin (4)deleted text end new text begin (7)new text end both parents consent to modification of the existing order in compliance with
the new income shares guidelines.

new text begin (ii) A modification under clause (i)(4), may be granted only with respect to child
care support. A modification under clause (i)(5) may be granted only with respect to
medical support.
new text end

new text begin (iii) This paragraph expires January 1, 2008.
new text end

(k) On the first modification under the income shares method of calculation, the
modification of basic support may be limited if the amount of the full variance would
create hardship for either the obligor or the obligee.

deleted text begin Paragraph (j) expires January 1, 2008.
deleted text end

Sec. 11.

Laws 2005, chapter 164, section 14, is amended to read:


Sec. 14. [518.7123] CALCULATION OF GROSS INCOME.

(a) Except as excluded below, gross income includes income from any source,
including, but not limited todeleted text begin ,deleted text end new text begin :new text end salariesdeleted text begin ,deleted text end new text begin ;new text end wagesdeleted text begin ,deleted text end new text begin ;new text end commissionsdeleted text begin ,deleted text end new text begin ;new text end advancesdeleted text begin ,deleted text end new text begin ;new text end bonusesdeleted text begin ,deleted text end new text begin ;new text end
dividendsdeleted text begin ,deleted text end new text begin ;new text end severance paydeleted text begin ,deleted text end new text begin ;new text end pensionsdeleted text begin ,deleted text end new text begin ;new text end interestdeleted text begin ,deleted text end new text begin ;new text end honorariadeleted text begin ,deleted text end new text begin ; royalties;new text end trust incomedeleted text begin ,deleted text end new text begin ;new text end
annuitiesdeleted text begin ,deleted text end new text begin ;new text end return on capitaldeleted text begin ,deleted text end new text begin ; rent;new text end Social Security benefitsdeleted text begin ,deleted text end new text begin provided for the recipient's
own benefit;
new text end workers' compensation benefitsdeleted text begin ,deleted text end new text begin ;new text end unemployment insurance benefitsdeleted text begin ,deleted text end new text begin ;new text end
disability insurance benefitsdeleted text begin ,deleted text end new text begin ;new text end giftsdeleted text begin ,deleted text end new text begin ;new text end prizes, including lottery winningsdeleted text begin ,deleted text end new text begin ;new text end alimonydeleted text begin ,deleted text end new text begin ;new text end
spousal maintenance paymentsdeleted text begin ,deleted text end new text begin ; andnew text end income from self-employment or operation of a
business, as determined under section 518.7125. All salary, wages, commissions, or
other compensation paid by third parties shall be based upon Medicare gross income. No
deductions shall be allowed for contributions to pensions, 401-K, IRA, or other retirement
deleted text begin benefitsdeleted text end new text begin plansnew text end .

(b) Excluded and not counted in gross income is compensation received by a party
for employment in excess of a 40-hour work week, provided that:

(1) child support is nonetheless ordered in an amount at least equal to the guideline
amount based on gross income not excluded under this clause; and

(2) the party demonstrates, and the court finds, that:

(i) the excess employment began after the filing of the petition for dissolution;

(ii) 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;

(iii) the excess employment is voluntary and not a condition of employment;

(iv) the excess employment is in the nature of additional, part-time or overtime
employment compensable by the hour or fraction of an hour; and

(v) the party's compensation structure has not been changed for the purpose of
affecting a support or maintenance obligation.

(c) Expense reimbursements or in-kind payments received by a parent in the course
of employment, self-employment, or operation of a business shall be counted as income
if they reduce personal living expenses.

(d) new text begin Gross income includes potential income, as determined under section 518.54,
subdivision 23.
new text end

new text begin (e) new text end Gross income may be calculated on either an annual or monthly basis. Weekly
income shall be translated to monthly income by multiplying the weekly income by 4.33.

deleted text begin (e)deleted text end new text begin (f)new text end Excluded and not counted as income is any child support payment received by
a party. It is a rebuttable presumption that adoption assistance payments, guardianship
assistance payments, and foster care subsidies are excluded and not counted as income.

deleted text begin (f)deleted text end new text begin (g)new text end Excluded and not counted as income is the income of the obligor's spouse
and the obligee's spouse.

Sec. 12.

Laws 2005, chapter 164, section 15, is amended to read:


Sec. 15. [518.7125] INCOME FROM SELF-EMPLOYMENT OR
OPERATION OF A BUSINESS.

Fornew text begin purposes of section 518.7123, paragraph (a),new text end income from self-employmentdeleted text begin ,
rent, royalties, proprietorship
deleted text end new text begin or operationnew text end of a business, deleted text begin ordeleted text end new text begin includingnew text end joint ownership of a
partnership or closely held corporation, deleted text begin gross incomedeleted text end is defined as gross receipts minus
costs of goods sold minus ordinary and necessary expenses required for self-employment
or business operation. Specifically excluded from ordinary and necessary expenses are
amounts allowable by the Internal Revenue Service for the accelerated component of
depreciation expenses, investment tax credits, or any other business expenses determined
by the court to be inappropriate or excessive for determining gross income for purposes of
calculating child support.

Sec. 13.

Laws 2005, chapter 164, section 16, is amended to read:


Sec. 16. [518.713] COMPUTATION OF CHILD SUPPORT OBLIGATIONS.

To determine the presumptive amount of support owed by a parent, follow the
procedure set forth in this section:

(1) new text begin determine the gross income of each parent under section 518.7123;
new text end

new text begin (2) new text end determine the new text begin modified new text end gross income of each parent using the definition in
section 518.54, subdivision 18;

deleted text begin (2)deleted text end new text begin (3)new text end calculate the parental income for child support (PICS) of each parent under
section 518.54, subdivision 15, by subtracting from thenew text begin modifiednew text end gross income the credit,
if any, for each parent's nonjoint children under section 518.717;

deleted text begin (3)deleted text end new text begin (4)new text end determine the percentage contribution of each parent to the combined PICS
by dividing the combined PICS into each parent's PICS;

deleted text begin (4)deleted text end new text begin (5)new text end determine the combined basic support obligation by application of the
schedule in section 518.725;

deleted text begin (5)deleted text end new text begin (6)new text end determine each parent's share of the basic support obligation by multiplying
the percentage figure from clause deleted text begin (3)deleted text end new text begin (4)new text end by the combined basic support obligation in
clause deleted text begin (4)deleted text end new text begin (5)new text end ;

deleted text begin (6)deleted text end new text begin (7)new text end determine the parenting expense adjustment, if any, as provided in section
518.722, and adjust that parent's basic support obligation accordingly;

deleted text begin (7)deleted text end new text begin (8)new text end determine the child care support obligation for each parent as provided in
section 518.72;

deleted text begin (8)deleted text end new text begin (9)new text end determine the health care coverage obligation for each parent as provided
in section 518.719. Unreimbursed and uninsured medical expenses are not included in
the presumptive amount of support owed by a parent and are calculated and collected
as described in section deleted text begin 518.722deleted text end new text begin 518.719new text end ;

deleted text begin (9)deleted text end new text begin (10)new text end determine each parent's total child support obligation by adding together
each parent's basic support, child care support, and health care coverage obligations as
provided in clauses (1) to deleted text begin (8)deleted text end new text begin (9)new text end ;

deleted text begin (10) reduce or increase each parent's total child support obligation by the amount of
the health care coverage contribution paid by or on behalf of the other parent, as provided
in section 518.719, subdivision 5;
deleted text end

(11) if Social Security benefits or veterans' benefits are received by one parent as
a representative payee for a joint child deleted text begin due to the other parent's disability or retirementdeleted text end
new text begin based on the other parent's eligibilitynew text end , subtract the amount of benefits from the other
parent's net child support obligation, if any;

(12) apply the self-support adjustment and minimum support obligation provisions
as provided in section 518.724; and

(13) the final child support order shall separately designate the amount owed for
basic support, child care support, and medical support.

Sec. 14.

Laws 2005, chapter 164, section 18, is amended to read:


Sec. 18. [518.715] WRITTEN FINDINGS.

Subdivision 1. No deviation. If the court does not deviate from the guidelines, the
court must make written findings concerningdeleted text begin the amount of the parties' gross income used
as the basis for the guidelines calculation and
deleted text end new text begin :
new text end

new text begin (1) each parent's gross income;
new text end

new text begin (2) each parent's modified gross income;
new text end

new text begin (3) each parent's PICS; and
new text end

new text begin (4)new text end any other significant evidentiary factors affecting the child support determination.

Subd. 2. Deviation. deleted text begin (a)deleted text end If the court deviates from the guidelines by agreement of
the parties or pursuant to section 518.714, the court must make written findings deleted text begin givingdeleted text end new text begin
concerning:
new text end

new text begin (1) each parent's gross income;
new text end

new text begin (2) each parent's modified gross income;
new text end

new text begin (3) each parent's PICS;
new text end

new text begin (4)new text end the amount of support calculated under the guidelinesdeleted text begin ,deleted text end new text begin ;
new text end

new text begin (5)new text end the reasons for the deviationdeleted text begin ,deleted text end new text begin ;new text end anddeleted text begin must specifically address
deleted text end

new text begin (6)new text end how the deviation serves the best interests of the childdeleted text begin ; anddeleted text end new text begin .new text end

deleted text begin (b) determine each parent's gross income and PICS.
deleted text end

Subd. 3. Written findings required in every case. The provisions of this section
apply whether or not the parties are each represented by independent counsel and have
entered into a written agreement. The court must review stipulations presented to it for
conformity to the guidelines. The court is not required to conduct a hearing, but the parties
must provide sufficient documentation to verify the child support determination, and
justify any deviation from the guidelines.

Sec. 15.

Laws 2005, chapter 164, section 20, is amended to read:


Sec. 20. [518.717] NONJOINT CHILDREN.

(a) When either or both parents of the joint child subject to this determination are
legally responsible for a nonjoint child who resides in that parent's household, a credit
for this obligation shall be calculated under this section.

(b) Determine thenew text begin modifiednew text end gross income for each parent under section 518.54,
subdivision 18.

(c) Using the guideline as established in section 518.725, determine the basic child
support obligation for the nonjoint child or children who actually reside in the parent's
household, by using thenew text begin modifiednew text end gross incomenew text begin , under section 518.54, subdivision 18,new text end of
the parent for whom the credit is being calculated, and using the number of nonjoint
children actually in the parent's immediate household. If the number of nonjoint children
to be used for the determination is greater than two, the determination shall be made using
the number two instead of the greater number.

(d) The credit for nonjoint children shall be 50 percent of the guideline amount
from paragraph (c).

Sec. 16.

Laws 2005, chapter 164, section 21, is amended to read:


Sec. 21. [518.718] SOCIAL SECURITY OR VETERANS' BENEFIT
PAYMENTS RECEIVED ON BEHALF OF THE CHILD.

(a) The amount of the monthly Social Security benefits or apportioned veterans'
benefits deleted text begin received by the child or on behalf of the childdeleted text end new text begin provided for a joint childnew text end shall be
added to thenew text begin modifiednew text end gross incomenew text begin , determined under section 518.54, subdivision 18, new text end of
the parent deleted text begin for whom thedeleted text end deleted text begin disability or retirementdeleted text end deleted text begin benefit was paiddeleted text end new text begin on whose eligibility the
benefits are based
new text end .

(b) The amount of the monthly survivors' and dependents' educational assistance
deleted text begin received by the child or on behalf of the childdeleted text end new text begin provided for a joint childnew text end shall be added to
thenew text begin modifiednew text end gross incomenew text begin under section 518.54, subdivision 18,new text end of the parent deleted text begin for whom
the
deleted text end deleted text begin disability or retirementdeleted text end deleted text begin benefit was paiddeleted text end new text begin on whose eligibility the benefits are basednew text end .

(c) If deleted text begin thedeleted text end Social Security or apportioned veterans' benefits are deleted text begin paid on behalf of the
obligor
deleted text end new text begin provided for a joint child based on the eligibility of the obligornew text end , and are received
by the obligee as a representative payee for the child or by the child attending school,
then the amount of the benefits deleted text begin maydeleted text end new text begin shallnew text end also be subtracted from the obligor's net child
support obligation as calculated pursuant to section 518.713.

(d) If deleted text begin thedeleted text end survivors' and dependents' educational assistance is deleted text begin paid on behalf of the
obligor
deleted text end new text begin provided for a joint child based on the eligibility of the obligornew text end , and is received by
the obligee as a representative payee for the child or by the child attending school, then
the amount of the assistance shall also be subtracted from the obligor's net child support
obligation as calculated deleted text begin pursuant todeleted text end new text begin undernew text end section 518.713.

Sec. 17.

Laws 2005, chapter 164, section 22, subdivision 2, is amended to read:


Subd. 2. Order. (a) A completed national medical support notice issued by the
public authority or a court order that complies with this section is a qualified medical
child support order under the federal Employee Retirement Income Security Act of 1974
(ERISA), United States Code, title 29, section 1169(a).

(b) Every order addressing child support must state:

(1) the names, last known addresses, and Social Security numbers of the parents and
the joint child that is a subject of the order unless the court prohibits the inclusion of an
address or Social Security number and orders the parents to provide the address and Social
Security number to the administrator of the health plan;

(2) whether appropriate health care coverage for the joint child is available and, if
so, state:

(i) which party must carry health care coverage;

(ii) the cost of premiums and how the cost is allocated between the parties;

(iii) how unreimbursed expenses will be allocated and collected by the parties; and

(iv) the circumstances, if any, under which the obligation to provide health care
coverage for the joint child will shift from one party to the other;new text begin andnew text end

(3) if appropriate health care coverage is not available for the joint child, whether a
contribution for medical support is requireddeleted text begin ; anddeleted text end new text begin .new text end

deleted text begin (4) whether the amount ordered for medical support is subject to a cost-of-living
adjustment under section 518.641.
deleted text end

Sec. 18.

Laws 2005, chapter 164, section 22, subdivision 3, is amended to read:


Subd. 3. Determining appropriate health care coverage. (a) In determining
whether a party has appropriate health care coverage for the joint child, the court must
evaluate the health plan using the following factors:

(1) accessible coverage. Dependent health care coverage is accessible if the covered
joint child can obtain services from a health plan provider with reasonable effort by the
parent with whom the joint child resides. Health care coverage is presumed accessible if:

(i) primary care coverage is available within 30 minutes or 30 miles of the joint
child's residence and specialty care coverage is available within 60 minutes or 60 miles of
the joint child's residence;

(ii) the coverage is available through an employer and the employee can be expected
to remain employed for a reasonable amount of time; and

(iii) no preexisting conditions exist to delay coverage unduly;

(2) comprehensive coverage. Dependent health care coverage is new text begin presumed
new text end comprehensive if it includes, deleted text begin at a minimum,deleted text end medical and hospital coverage and provides
for preventive, emergency, acute, and chronic care. If both parties have health care
coverage that meets the minimum requirements, the court must determine which health
care coverage is more comprehensive by considering whether the coverage includes:

(i) basic dental coverage;

(ii) orthodontia;

(iii) eyeglasses;

(iv) contact lenses;

(v) mental health services; or

(vi) substance abuse treatment;

(3) affordable coverage. Dependent health care coverage is affordable if it is
reasonable in cost; and

(4) the joint child's special medical needs, if any.

(b) If both parties have health care coverage available for a joint child, and the
court determines under paragraph (a), clauses (1) and (2), that the available coverage is
comparable with regard to accessibility and comprehensiveness, the least costly health
care coverage is the presumed appropriate health care coverage for the joint child.

Sec. 19.

Laws 2005, chapter 164, section 22, subdivision 4, is amended to read:


Subd. 4. deleted text begin deleted text end Ordering health care coverage.deleted text begin deleted text end (a) If a joint child is presently enrolled
in health care coverage, the court must order that the parent who currently has the joint
child enrolled continue that enrollment unless the parties agree otherwise or a party
requests a change in coverage and the court determines that other health care coverage is
more appropriate.

(b) If a joint child is not presently enrolled in health care coverage, upon motion of a
party or the public authority, the court must determine whether one or both parties have
appropriate health care coverage for the joint child and order the party with appropriate
health care coverage available to carry the coverage for the joint child.

(c) If only one party has appropriate health care coverage available, the court must
order that party to carry the coverage for the joint child.

(d) If both parties have appropriate health care coverage available, the court must
order the parent with whom the joint child resides to carry the coverage for the joint
child, unless:

(1) either party expresses a preference for coverage available through the parent
with whom the joint child does not reside;

(2) the parent with whom the joint child does not reside is already carrying
dependent health care coverage for other children and the cost of contributing to the
premiums of the other parent's coverage would cause the parent with whom the joint
child does not reside extreme hardship; or

(3) the parents agree to provide coverage and agree on the allocation of costs.

(e) If the exception in paragraph (d), clause (1) or (2), applies, the court must
determine which party has the most appropriate coverage available and order that party to
carry coverage for the joint child. If the court determines under subdivision 3, paragraph
(a), clauses (1) and (2), that the parties' health care coverage for the joint child is
comparable with regard to accessibility and comprehensiveness, the court must presume
that the party with the least costly health care coverage to carry coverage for the joint child.

(f) If neither party has appropriate health care coverage available, the court must
order the parents to:

(1) contribute toward the actual health care costs of the joint children based on
a pro rata share; or

(2) if the joint child is receiving any form of medical assistance under chapter 256B
or MinnesotaCare under chapter 256L, the parent with whom the joint child does not
reside shall contribute a monthly amount toward the actual cost of medical assistance
under chapter 256B or MinnesotaCare under chapter 256L. The amount of contribution of
the noncustodial parent is the amount the noncustodial parent would pay for the child's
premiums if the noncustodial parent's income meets the eligibility requirements for
public coverage. For purposes of determining the premium amount, the noncustodial
parent's household size is equal to one parent plus the child or children who are the
subject of the child support order. If the noncustodial parent's income exceeds the
eligibility requirements for public coverage, the court must order the noncustodial parent's
contribution toward the full premium cost of the child's or children's coverage. The
custodial parent's obligation is determined under the requirements for public coverage as
set forth in chapter 256B or 256L. The court may order the parent with whom the child
resides to apply for public coverage for the child.

deleted text begin (g) A presumption of no less than $50 per month must be applied to the actual health
care costs of the joint children or to the cost of health care coverage.
deleted text end

deleted text begin (h)deleted text end new text begin (g)new text end The commissioner of human services must publish a table with the premium
schedule for public coverage and update the chart for changes to the schedule by July
1 of each year.

Sec. 20.

Laws 2005, chapter 164, section 22, subdivision 16, is amended to read:


Subd. 16. deleted text begin Income withholding;deleted text end Offset. (a) If a party deleted text begin owes no joint child support
obligation for a child
deleted text end new text begin is the parent with primary physical custody as defined in section
518.54, subdivision 24,
new text end and is an obligor ordered to contribute to the other party's cost for
carrying health care coverage for the joint child, the deleted text begin obligordeleted text end new text begin other party's child support
obligation
new text end is subject to an offset under subdivision 5 deleted text begin or income withholding under section
518.6111
deleted text end .

deleted text begin (b) If a party's court-ordered health care coverage for the joint child terminates and
the joint child is not enrolled in other health care coverage or public coverage, and a
modification motion is not pending, the public authority may remove the offset to a party's
child support obligation or terminate income withholding instituted against a party under
section 518.6111. The public authority must provide notice to the parties of the action.
deleted text end

new text begin (b) The public authority, if the public authority provides services, may remove the
offset to a party's child support obligation when:
new text end

new text begin (1) the party's court-ordered health care coverage for the joint child terminates;
new text end

new text begin (2) the party does not enroll the joint child in other health care coverage; and
new text end

new text begin (3) a modification motion is not pending.
new text end

new text begin The public authority must provide notice to the parties of the action.
new text end

(c) A party may contest the public authority's action to remove the offset to the child
support obligation deleted text begin or terminate income withholdingdeleted text end if the party makes a written request
for a hearing within 30 days after receiving written notice. If a party makes a timely
request for a hearing, the public authority must schedule a hearing and send written notice
of the hearing to the parties by mail to the parties' last known addresses at least 14 days
before the hearing. The hearing must be conducted in district court or in the expedited
child support process if section 484.702 applies. The district court or child support
magistrate must determine whether removing the offset deleted text begin or terminating income withholdingdeleted text end
is appropriate and, if appropriate, the effective date for the removal deleted text begin or terminationdeleted text end .

(d) If the party does not request a hearing, the deleted text begin district court or child support
magistrate must order the offset or income withholding termination
deleted text end new text begin public authority will
remove the offset
new text end effective the first day of the month following termination of the joint
child's health care coverage.

Sec. 21.

Laws 2005, chapter 164, section 22, subdivision 17, is amended to read:


Subd. 17. Collecting unreimbursed deleted text begin anddeleted text end new text begin ornew text end uninsured medical expenses. (a) new text begin This
subdivision and subdivision 18 apply when a court order has determined and ordered the
parties' proportionate share and responsibility to contribute to unreimbursed or uninsured
medical expenses.
new text end

new text begin (b) new text end A partynew text begin requesting reimbursement of unreimbursed or uninsured medical
expenses
new text end must initiate a request deleted text begin for reimbursement of unreimbursed and uninsured
medical expenses
deleted text end new text begin to the other partynew text end within two years of the date that thenew text begin requestingnew text end
party incurred the unreimbursed or uninsured medical expenses. deleted text begin The time period in this
paragraph does not apply if the location of the other party is unknown.
deleted text end new text begin If a court order
has been signed ordering the contribution towards unreimbursed or uninsured expenses, a
two-year limitations provision must be applied to any requests made on or after January 1,
2007. The provisions of this section must be applied retroactively to court orders signed
prior to January 1, 2007. Any requests for unreimbursed or uninsured expenses made on
or after January 1, 2007, may include expenses incurred prior to January 1, 2007, but
going back no further than January 1, 2005.
new text end

deleted text begin (b)deleted text end new text begin (c)new text end A new text begin requesting new text end party deleted text begin seeking reimbursement of unreimbursed and uninsured
medical expenses
deleted text end must mail a written notice of intent to collect thenew text begin unreimbursed or
uninsured medical
new text end expenses and a copy of an affidavit of health care expenses to the other
party at the other party's last known address.

deleted text begin (c)deleted text end new text begin (d)new text end The written notice must include a statement that thenew text begin othernew text end party has 30 days
from the date the notice was mailed to (1) pay in full; (2) deleted text begin enterdeleted text end new text begin agree tonew text end a payment
deleted text begin agreementdeleted text end new text begin schedulenew text end ; or (3) file a motion requesting a hearing deleted text begin contesting the matterdeleted text end new text begin to
contest the amount due or to set a court-ordered monthly payment amount
new text end . If the public
authority providesdeleted text begin support enforcementdeleted text end services, the written notice also must include a
statement thatnew text begin , if the other party does not respond within the 30 days,new text end the requesting party
deleted text begin mustdeleted text end new text begin maynew text end submit the amount due to the public authority for collection.

deleted text begin (d)deleted text end new text begin (e)new text end The affidavit of health care expenses must itemize and document the joint
child's unreimbursed or uninsured medical expenses and include copies of all bills,
receipts, and insurance company explanations of benefits.

new text begin (f) If the other party does not respond to the request for reimbursement within
30 days, the requesting party may commence enforcement against the other party
under subdivision 18; file a motion for a court-ordered monthly payment amount under
paragraph (h); or notify the public authority, if the public authority provides services, that
the other party has not responded.
new text end

deleted text begin (e)deleted text end deleted text begin Ifdeleted text end new text begin (g) The notice tonew text end new text begin new text end the public authority deleted text begin provides support enforcement services,
the party seeking reimbursement must send to the public authority
deleted text end new text begin must include:new text end a copy of
the written notice,new text begin a copy ofnew text end the deleted text begin originaldeleted text end affidavitnew text begin of health care expensesnew text end , and copies of all
bills, receipts, and insurance company explanations of benefits.

deleted text begin (f) If the party does not respond to the request for reimbursement within 30 days,
the party seeking reimbursement or public authority, if the public authority provides
support enforcement services, must commence an enforcement action against the party
under subdivision 18.
deleted text end

deleted text begin (g)deleted text end new text begin (h) If noticed under paragraph (f),new text end the public authority must serve the other party
with a notice of intent to enforce unreimbursed and uninsured medical expenses and file
an affidavit of service by mail with the district court administrator. The notice must state
thatdeleted text begin , unlessdeleted text end thenew text begin othernew text end partynew text begin has 14 days tonew text end (1) deleted text begin paysdeleted text end new text begin paynew text end in full; new text begin or new text end (2) deleted text begin enters into a payment
agreement; or (3) files
deleted text end new text begin filenew text end a motion deleted text begin contestingdeleted text end new text begin to contestnew text end the deleted text begin matter within 14 days of
service of the notice,
deleted text end new text begin amount due or to set a court-ordered monthly payment amount. The
notice must also state that if there is no response within 14 days,
new text end the public authority will
commence enforcement of the expenses as deleted text begin medical supportdeleted text end arrears under subdivision 18.

deleted text begin (h) If thedeleted text end new text begin (i) To contest the amount due or set a court-ordered monthly payment
amount, a
new text end party deleted text begin filesdeleted text end new text begin must filenew text end a timely motion deleted text begin for a hearing contesting the requested
reimbursement, the contesting party must
deleted text end new text begin andnew text end schedule a hearing in district court or in
the expedited child support process if section 484.702 applies. The deleted text begin contestingdeleted text end new text begin movingnew text end
party must provide the new text begin other new text end party deleted text begin seeking reimbursementdeleted text end and the public authority, if the
public authority provides deleted text begin support enforcementdeleted text end services, with written notice deleted text begin of the hearingdeleted text end
at least 14 days before the hearing by mailing notice of the hearing to the public authority
andnew text begin tonew text end thenew text begin requestingnew text end party at thenew text begin requestingnew text end party's last known address. Thenew text begin movingnew text end party
deleted text begin seeking reimbursementdeleted text end must file the deleted text begin originaldeleted text end affidavit of health care expenses with the
court at least five days before the hearing. deleted text begin Based upon the evidence presented,deleted text end The district
court or child support magistrate must determine liability for the expenses and order that
the liable party is subject to enforcement of the expenses as deleted text begin medical supportdeleted text end arrears under
subdivision 18new text begin or set a court-ordered monthly payment amountnew text end .

Sec. 22.

Laws 2005, chapter 164, section 22, subdivision 18, is amended to read:


Subd. 18. Enforcing deleted text begin an order fordeleted text end new text begin unreimbursed or uninsured new text end medical deleted text begin supportdeleted text end new text begin
expenses as
new text end arrears.
(a) deleted text begin If a party liable fordeleted text end Unreimbursed deleted text begin anddeleted text end new text begin ornew text end uninsured medical
expenses deleted text begin owes a child support obligation to the party seeking reimbursement of the
expenses, the expenses must be
deleted text end new text begin enforced under this subdivision arenew text end collected as deleted text begin medical
support
deleted text end arrears.

deleted text begin (b) If a party liable for unreimbursed and uninsured medical expenses does not owe
a child support obligation to the party seeking reimbursement, and the party seeking
reimbursement owes the liable party basic support arrears, the liable party's medical
support arrears must be deducted from the amount of the basic support arrears.
deleted text end

deleted text begin (c) If a liable party owes medical support arrears after deducting the amount owed
from the amount of the child support arrears owed by the party seeking reimbursement,
it must be collected as follows:
deleted text end

deleted text begin (1) if the party seeking reimbursement owes a child support obligation to the liable
party, the child support obligation must be reduced by 20 percent until the medical support
arrears are satisfied;
deleted text end

deleted text begin (2) if the party seeking reimbursement does not owe a child support obligation to
the liable party, the liable party's income must be subject to income withholding under
section 518.6111 for an amount required under section 518.553 until the medical support
arrears are satisfied; or
deleted text end

deleted text begin (3) if the party seeking reimbursement does not owe a child support obligation, and
income withholding under section 518.6111 is not available, payment of the medical
support arrears must be required under a payment agreement under section 518.553.
deleted text end

deleted text begin (d) If a liable party fails to enter into or comply with a payment agreement, the party
seeking reimbursement or the public authority, if it provides support enforcement services,
may schedule a hearing to have a court order payment. The party seeking reimbursement
or the public authority must provide the liable party with written notice of the hearing at
least 14 days before the hearing.
deleted text end

new text begin (b) If the liable party is the parent with primary physical custody as defined in
section 518.54, subdivision 24, the unreimbursed or uninsured medical expenses must be
deducted from any arrears the requesting party owes the liable party. If unreimbursed or
uninsured expenses remain after the deduction, the expenses must be collected as follows:
new text end

new text begin (1) If the requesting party owes a current child support obligation to the liable party,
20 percent of each payment received from the requesting party must be returned to the
requesting party. The total amount returned to the requesting party each month must not
exceed 20 percent of the current monthly support obligation.
new text end

new text begin (2) If the requesting party does not owe current child support or arrears, a payment
agreement under section 518.553 is required. If the liable party fails to enter into or
comply with a payment agreement, the requesting party or the public authority, if the
public authority provides services, may schedule a hearing to set a court-ordered payment.
The requesting party or the public authority must provide the liable party with written
notice of the hearing at least 14 days before the hearing.
new text end

new text begin (c) If the liable party is not the parent with primary physical custody as defined in
section 518.54, subdivision 24, the unreimbursed or uninsured medical expenses must be
deducted from any arrears the requesting party owes the liable party. If unreimbursed or
uninsured expenses remain after the deduction, the expenses must be added and collected
as arrears owed by the liable party.
new text end

Sec. 23.

Laws 2005, chapter 164, section 24, is amended to read:


Sec. 24. [518.722] PARENTING EXPENSE ADJUSTMENT.

(a) This section shall apply when the amount of parenting time granted to an obligor
is ten percent or greater. Every child support order shall specify the total percent of
parenting time granted to each parent.

(b) The obligor shall be entitled to a parenting expense adjustment calculated
as follows:

(1) find the adjustment percentage corresponding to the percentage of parenting
time allowed to the obligor below:

Percentage Range of
Parenting Time
Adjustment Percentage
(i)
less than 10 percent
no adjustment
(ii)
10 percent to 45 percent
12 percent
(iii)
45.1 percent to 50 percent
presume parenting time is
equal

(2) multiply the adjustment percentage by the obligor's basic child support obligation
to arrive at the parenting expense adjustment.

(c) Subtract the parenting expense adjustment from the obligor's basic child support
obligation. The result is the obligor's obligation after parenting expense adjustment.

(d) If the parenting time is equal, deleted text begin the expenses for the children are equally shared,deleted text end
and the parental incomes for determining child support of the parents also are equal, nonew text begin
basic
new text end support shall be paidnew text begin unless the court determines that the expenses for the child are
not equally shared
new text end .

(e) If the parenting time is equal but the parents' parental incomes for determining
child support are not equal, the parent having the greater parental income for determining
child support shall be obligated for basic child support, calculated as follows:

(1) multiply thenew text begin parents'new text end combined basic supportnew text begin obligation calculated under section
518.713
new text end by 1.5;

(2) prorate the deleted text begin basic child support obligationdeleted text end new text begin resulting amountnew text end between the
parentsdeleted text begin ,deleted text end new text begin based on each parent's proportionate share of the combined parental income for
determining child support;
new text end

new text begin (3)new text end subtract the lower amount from the higher amountnew text begin ;new text end and

new text begin (4)new text end divide the balance in halfdeleted text begin ; anddeleted text end new text begin .new text end

deleted text begin (3)deleted text end The resulting figure is the obligation after parenting expense adjustment for the parent
with the greater deleted text begin adjusted grossdeleted text end new text begin parentalnew text end incomenew text begin for determining child supportnew text end .

(f) This parenting expense adjustment reflects the presumption that while exercising
parenting time, a parent is responsible for and incurs costs of caring for the child,
including, but not limited to, food, transportation, recreation, and household expenses.

(g) In the absence of other evidence, there is a rebuttable presumption that each
parent has 25 percent of the parenting time for each joint child.

Sec. 24.

Laws 2005, chapter 164, section 25, is amended to read:


Sec. 25. [518.724] ABILITY TO PAY; SELF-SUPPORT ADJUSTMENT.

It is a rebuttable presumption that a child support order should not exceed the
obligor's ability to pay. To determine the amount of child support the obligor has the
ability to pay, follow the procedure set out in this section:

(1) calculate the obligor's deleted text begin income available for supportdeleted text end new text begin ability to paynew text end by subtracting
a monthly self-support reserve equal to 120 percent of the federal poverty guidelines for
one person from the obligor's gross income;

(2) compare the deleted text begin obligor's income available for supportdeleted text end new text begin the amountnew text end from clause
(1) to the amount of support calculated as per section 518.713, clauses (1) to deleted text begin (15). The
amount of child support that is presumed to be correct, as defined in section 518.713, is
the lesser of these two amounts
deleted text end new text begin (11)new text end ;

deleted text begin (3) this section does not apply to an incarcerated obligor;deleted text end

deleted text begin (4) if the obligor's child support is reduced under clause (2), then the court must
apply the reduction to the child support obligation in the following order:
deleted text end

deleted text begin (i) medical support obligation;
deleted text end

deleted text begin (ii) child support care obligation; and
deleted text end

deleted text begin (iii) basic support obligation; and
deleted text end

deleted text begin (5) deleted text end deleted text begin Minimum basic support amount.deleted text end new text begin (3) if the amount from clause (1) is equal to
or greater than the obligation calculated under section 518.713, then the obligor's support
obligation calculated under section 518.713 is the presumptive support amount;
new text end

new text begin (4) if the amount from clause (1) is equal to or less than the minimum basic support
amount in clause (8), the provisions of clause (8) apply;
new text end

new text begin (5) if the amount from clause (1) is more than the minimum basic support amount
from clause (8) but less than the support obligation calculated under section 518.713, then
the obligor's support obligation must be reduced until it equals the amount from clause (1);
new text end

new text begin (6) if the obligor's child support is reduced under clause (5), then the court must
apply the reduction to the child support obligation in the following order:
new text end

new text begin (i) medical support obligation;
new text end

new text begin (ii) child care support obligation; and
new text end

new text begin (iii) basic support obligation;
new text end

new text begin (7) this section does not apply to an incarcerated obligor; and
new text end

new text begin (8) (i) If the obligor's gross income is less than the self-support reserve, then the
court must order minimum support as follows:
new text end

new text begin (A) for one or two children, the obligor's basic support obligation is $50 per month;
new text end

new text begin (B) for three or four children, the obligor's basic support obligation is $75 per
month; and
new text end

new text begin (C) for five or more children, the obligor's basic support obligation is $100 per
month.
new text end

new text begin (ii)new text end If the deleted text begin obligor's income available for supportdeleted text end new text begin amount from clause (1)new text end is new text begin equal
to or
new text end less than the deleted text begin self-support reservedeleted text end new text begin minimum basic support amountnew text end , then the court
must order minimum support as follows:

deleted text begin (i)deleted text end new text begin (A)new text end for one or two children, the obligor's basic support obligation is $50 per
month;

deleted text begin (ii)deleted text end new text begin (B)new text end for three or four children, the obligor's basic support obligation is $75 per
month; and

deleted text begin (iii)deleted text end new text begin (C)new text end for five or more children, the obligor's basic support obligation is $100
per month.

new text begin (iii) new text end If the court orders the obligor to pay the minimum basic support amount under
this deleted text begin paragraphdeleted text end new text begin sectionnew text end , the obligor is presumed unable to pay child care support and
medical support.

new text begin (iv) new text end If the court finds the obligor receives no income and completely lacks the ability
to earn income, the minimum basic support deleted text begin amountdeleted text end new text begin amountsnew text end under this deleted text begin paragraph doesdeleted text end new text begin
section do
new text end not apply.

Sec. 25.

Laws 2005, chapter 164, section 31, is amended to read:


Sec. 31. REPEALER.

Minnesota Statutes 2004, sections 518.171; deleted text begin 518.54, subdivisions 2, 4, and 4a;deleted text end and
518.551, subdivisions 1, 5a, 5c, and 5f, are repealed.

Sec. 26.

Laws 2005, chapter 164, section 32, the effective date, is amended to read:


Sec. 32. EFFECTIVE DATE.

Except as otherwise deleted text begin provideddeleted text end new text begin indicatednew text end , this act is effective January 1, 2007deleted text begin , and
applies to orders adopted or modified after that date
deleted text end .new text begin The provisions of this act apply to
all support orders in effect prior to January 1, 2007, except that the provisions used to
calculate parties' support obligations apply to actions or motions filed after January 1,
2007. The provisions of this act used to calculate parties' support obligations apply to
actions or motions for past support or reimbursement filed after January 1, 2007.
new text end Sections
1 to 3 of this act are effective July 1, 2005.

Sec. 27. new text begin REVISOR'S INSTRUCTION.
new text end

new text begin The revisor of statutes shall correct internal cross-references to sections that are
affected by section 28, the repealer section in this bill. The revisor may make changes
necessary to correct the punctuation, grammar, or structure of the remaining text and
preserve its meaning.
new text end

Sec. 28. new text begin REPEALER.
new text end

new text begin Laws 2005, chapter 164, section 12, new text end new text begin is repealed.
new text end