SF 755

as introduced - 87th Legislature (2011 - 2012) Posted on 06/07/2012 10:15am

A bill for an act
relating to state government; authorizing the commissioner of revenue to enter
into a reciprocal agreement with the federal government for collection of unpaid
debts; proposing coding for new law in Minnesota Statutes, chapter 16D.

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

Section 1.

new text begin [16D.20] FEDERAL OFFSET PROGRAM.
new text end

new text begin (a) The commissioner may enter into an agreement with the United States Secretary
of the Treasury to participate in an offset program authorized under United States Code,
title 31, section 3716, for the collection of debts owed to state agencies. The agreement
may provide for the United States to submit debts owed to federal agencies for offset
against state payments, similar to the procedures for offsetting debts owed to state
agencies from federal payments.
new text end

new text begin (b) The commissioner shall reduce any state payment by the amount of any federal
debt submitted in accordance with the agreement authorized by this section, and pay such
amount to the appropriate federal official in accordance with the procedures specified
in such agreement.
new text end

new text begin (c) The commissioner may, by rule, establish a reasonable administrative fee to be
charged to the debtor for the contingency fee-based procession of state payment offsets for
the recovery of federal nontax debts or the contingency fee-based processing of federal
payment offsets for the recovery of state tax and nontax debt. The fee is a separate debt
and may be withheld from any refund, reimbursement, or other money held for the debtor.
new text end