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HF 3605

as introduced - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

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

Bill Text Versions

Engrossments
Introduction Posted on 02/17/2000

Current Version - as introduced

  1.1                          A bill for an act 
  1.2             relating to economic security; creating a birth and 
  1.3             adoption fund and providing paid parental leave to 
  1.4             eligible employees; appropriating money; amending 
  1.5             Minnesota Statutes 1999 Supplement, section 268.051, 
  1.6             subdivision 2; proposing coding for new law in 
  1.7             Minnesota Statutes, chapter 268. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Minnesota Statutes 1999 Supplement, section 
  1.10  268.051, subdivision 2, is amended to read: 
  1.11     Subd. 2.  [COMPUTATION OF TAX RATES.] (a) For each calendar 
  1.12  year the commissioner shall compute the tax rate of each 
  1.13  taxpaying employer that qualifies for an experience rating by 
  1.14  adding the minimum tax rate to the employer's experience rating. 
  1.15     (b) The minimum tax rate shall be six-tenths 57/100 of one 
  1.16  percent if the amount in the fund is less than $200,000,000 on 
  1.17  June 30 of the prior calendar year; or five-tenths 47/100 of one 
  1.18  percent if the fund is more than $200,000,000 but less than 
  1.19  $225,000,000; or four-tenths 37/100 of one percent if the fund 
  1.20  is more than $225,000,000 but less than $250,000,000; 
  1.21  or three-tenths 27/100 of one percent if the fund is more than 
  1.22  $250,000,000 but less than $275,000,000; or two-tenths 17/100 of 
  1.23  one percent if the fund is $275,000,000 but less than 
  1.24  $300,000,000; or one-tenth 7/100 of one percent if the fund is 
  1.25  $300,000,000 or more. 
  1.26     (c) For the purposes of this subdivision the fund shall not 
  2.1   include any money borrowed from the federal unemployment trust 
  2.2   fund pursuant to section 268.194, subdivision 6. 
  2.3      Sec. 2.  [268.99] [BIRTH AND ADOPTION LEAVE PROGRAM.] 
  2.4      Subdivision 1.  [DEFINITIONS.] "Approved leave of absence" 
  2.5   means an approved, temporary separation from a specific employer.
  2.6      Subd. 2.  [CREATED.] The commissioner of economic security 
  2.7   shall administer a birth and adoption leave program to provide 
  2.8   paid parental leave for six weeks to eligible employees during 
  2.9   the first year of their newborn's life or during the first year 
  2.10  after placement of their newly adopted child.  The program shall 
  2.11  be funded through an employer assessment. 
  2.12     Subd. 3.  [FUND.] (a) An employer making payments in lieu 
  2.13  of taxes under sections 268.052 and 268.053 shall be billed and 
  2.14  required to reimburse the fund for paid parental leave benefits. 
  2.15     (b) Reimbursement for costs related to collection of the 
  2.16  special assessment shall be in an amount negotiated between the 
  2.17  commissioner and the United States Department of Labor. 
  2.18     Subd. 4.  [DETERMINATION AND COLLECTION OF SPECIAL 
  2.19  ASSESSMENT.] In addition to all other taxes, assessments, and 
  2.20  payment obligations under this chapter, each employer, except an 
  2.21  employer making payments in lieu of taxes under sections 268.052 
  2.22  and 268.053, is liable for a special assessment levied at the 
  2.23  rate of 3/100 of one percent per year on all taxable wages as 
  2.24  defined in section 268.035, subdivision 24.  Such assessment 
  2.25  shall become due and be paid by each employer to the department 
  2.26  of economic security on the same schedule and in the same manner 
  2.27  as other taxes required by section 268.051. 
  2.28     Subd. 5.  [ELIGIBILITY.] (a) In order to be eligible for 
  2.29  birth and adoption leave benefits, the employee must meet the 
  2.30  eligibility requirements of section 268.085, except subdivisions 
  2.31  1, clauses (2) and (4), and 2, clause (4), and must also meet 
  2.32  the following requirements: 
  2.33     (1) the employee must establish a base period, as defined 
  2.34  in section 268.035, subdivision 4; 
  2.35     (2) the employee must have earned a majority of wage 
  2.36  credits from one employer; 
  3.1      (3) the employee must have both physical and legal custody 
  3.2   of the child; 
  3.3      (4) the employee must be on an approved leave of absence 
  3.4   from the employer; 
  3.5      (5) the employee cannot work for another employer while 
  3.6   receiving paid parental leave benefits; and 
  3.7      (6) the employee cannot collect birth and adoption benefits 
  3.8   if the employee is already collecting similar benefits in 
  3.9   another state. 
  3.10     (b) If the employee has other employer paid insurance or 
  3.11  privately held insurance which compensates the employee during a 
  3.12  maternity or parental leave of absence, the amount of paid 
  3.13  parental leave under this section will be reduced by the benefit 
  3.14  amount the employee receives from that source of insurance. 
  3.15     Subd. 6.  [APPLICATION PROCESS.] To receive birth and 
  3.16  adoption benefits, an employee must file an application with the 
  3.17  department of economic security.  The application shall be 
  3.18  established effective the Sunday of the calendar week that the 
  3.19  application for benefits was filed. 
  3.20     Subd. 7.  [BENEFIT AMOUNT.] Benefits shall be payable to an 
  3.21  eligible employee who has made application with the department 
  3.22  of economic security.  The benefit amount shall be the lesser of 
  3.23  the employee's average weekly wage during the high quarter or 
  3.24  the statewide average weekly wage.  Section 268.21 applies to 
  3.25  the state's obligation to pay benefits under this section. 
  3.26     Subd. 8.  [IMPLEMENTATION.] Paid parental leave benefits 
  3.27  shall be available on September 1, 2001. 
  3.28     Sec. 3.  [EXPIRATION.] 
  3.29     Sections 1 and 2 expire on June 30, 2003. 
  3.30     Sec. 4.  [APPROPRIATION.] 
  3.31     $100,000 is appropriated from the general fund to the 
  3.32  commissioner of economic security for the purposes of 
  3.33  implementing the birth and adoption leave program. 
  3.34     Sec. 5.  [EFFECTIVE DATE.] 
  3.35     Section 1, subdivision 3, and section 2 are effective the 
  3.36  day following final enactment.