SF 715

3rd Engrossment - 82nd Legislature (2001 - 2002) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to child support; requiring payors who hire 
  1.3             independent contractors to comply with the work 
  1.4             reporting laws; modifying requirements for a report 
  1.5             from the commissioner of human services; amending 
  1.6             Minnesota Statutes 2000, section 256.998, subdivision 
  1.7             9. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Minnesota Statutes 2000, section 256.998, 
  1.10  subdivision 9, is amended to read: 
  1.11     Subd. 9.  [INDEPENDENT CONTRACTORS.] (a) The state and all 
  1.12  political subdivisions of the state, when acting in the capacity 
  1.13  of an employer, shall report the hiring of any person as an 
  1.14  independent contractor to the centralized work reporting system 
  1.15  in the same manner as the hiring of an employee is reported. 
  1.16     (b) Other payors may shall also report independent 
  1.17  contractors who are individuals or sole proprietors and to whom 
  1.18  they expect to make annual payments that require the filing of a 
  1.19  1099-MISC report of more than $2,500.  Payors reporting 
  1.20  independent contractors shall report by use of the same means 
  1.21  and provide the same information required under subdivisions 4 
  1.22  and 5. 
  1.23     (c) The commissioner of human services shall establish 
  1.24  procedures for payors reporting under this section. 
  1.25     Sec. 2.  [REPORT.] 
  1.26     The report by the commissioner of human services that is 
  2.1   required under Laws 1998, chapter 382, article 1, section 23, 
  2.2   and due on January 15, 2003, must also address: 
  2.3      (1) the overall effectiveness of the work reporting system 
  2.4   under Minnesota Statutes, section 256.998; 
  2.5      (2) the extent to which employers and payors of funds are 
  2.6   complying with the work reporting system requirements; 
  2.7      (3) efforts, including sanctions, made by the commissioner 
  2.8   of human services to increase compliance; 
  2.9      (4) issues associated with employer and payor of funds 
  2.10  compliance with the work reporting system, including costs; 
  2.11     (5) issues associated with enforcing child support owed by 
  2.12  independent contractors; and 
  2.13     (6) recommendations for improving the work reporting 
  2.14  system, including efforts to increase compliance and improve 
  2.15  efficiency for employers or payors of funds. 
  2.16     For purposes of complying with this section, the public 
  2.17  authority responsible for child support enforcement may exchange 
  2.18  private data with the department of economic security and the 
  2.19  department of revenue for the purpose of determining employers' 
  2.20  and payors' compliance with the work reporting system.