HF 423

1st Engrossment - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act
  1.2             relating to family law; child support; providing for 
  1.3             consideration of certain ordinary and necessary 
  1.4             business expenses for independent contractors in the 
  1.5             motor carrier industry; providing maximum withholding 
  1.6             amounts for funds owed to independent contractors in 
  1.7             the motor carrier industry; amending Minnesota 
  1.8             Statutes 1998, sections 518.551, by adding a 
  1.9             subdivision; and 518.6111, by adding a subdivision. 
  1.10  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.11     Section 1.  Minnesota Statutes 1998, section 518.551, is 
  1.12  amended by adding a subdivision to read: 
  1.13     Subd. 5g.  [INDEPENDENT CONTRACTORS IN THE MOTOR CARRIER 
  1.14  INDUSTRY.] For the purpose of determining income under 
  1.15  subdivision 5b, paragraph (f), the ordinary and necessary 
  1.16  business expenses of independent contractors who provide driving 
  1.17  services or motor carrier equipment in the motor carrier 
  1.18  industry shall include, but are not limited to: 
  1.19     (1) expenses for lease, rental, or other payments for 
  1.20  tractors; 
  1.21     (2) repairs and maintenance; 
  1.22     (3) fuel; 
  1.23     (4) license and permit costs; 
  1.24     (5) tires, batteries, and other parts; 
  1.25     (6) insurance; 
  1.26     (7) vehicle taxes; and 
  1.27     (8) employee wages when the independent contractor does not 
  2.1   personally provide the driving services required by the contract.
  2.2   Independent contractors in the motor carrier industry must still 
  2.3   provide all income documentation required by this chapter, court 
  2.4   rule, or court or administrative order and maintain the burden 
  2.5   of proving their expenses. 
  2.6      Sec. 2.  Minnesota Statutes 1998, section 518.6111, is 
  2.7   amended by adding a subdivision to read: 
  2.8      Subd. 5a.  [INDEPENDENT CONTRACTORS IN THE MOTOR CARRIER 
  2.9   INDUSTRY.] (a) Payors of funds in the motor carrier industry 
  2.10  must withhold and transmit to the public authority up to, but no 
  2.11  more than, 50 percent of the gross funds due to independent 
  2.12  contractors in the motor carrier industry who provide driver 
  2.13  services or motor carrier equipment until the independent 
  2.14  contractor's current support obligations and arrears are 
  2.15  fulfilled. 
  2.16     (b) The above limitation is intended only to limit the 
  2.17  amount to be deducted from individual payments and is not 
  2.18  intended to limit the support obligations or arrears duly 
  2.19  entered and owing pursuant to a court or administrative order.  
  2.20  Obligors who cannot meet duly ordered support obligations must 
  2.21  file a proper motion and make the showings required by this 
  2.22  chapter to reduce the support amount. 
  2.23     (c) The percentages of gross funds referred to in this 
  2.24  subdivision apply only to the amounts that must be withheld and 
  2.25  should not be used as guidelines to determine the proper support 
  2.26  amounts under section 518.551.  Nothing in this subdivision 
  2.27  prevents the public authority or any other interested party from 
  2.28  utilizing other enforcement mechanisms provided under law to 
  2.29  enforce support payments or collect arrears.