3rd Engrossment - 79th Legislature (1995 - 1996) Posted on 12/15/2009 12:00am
1.1 A bill for an act 1.2 relating to reemployment insurance; making technical 1.3 and administrative changes; amending Minnesota 1.4 Statutes 1994, sections 268.04, subdivisions 2, 4, and 1.5 by adding a subdivision; 268.06, subdivisions 5 and 1.6 24; 268.07; 268.072, subdivisions 2, 3, and 5; 1.7 268.073, subdivisions 3, 4, and 7; 268.074, 1.8 subdivision 4; 268.08, as amended; 268.09, subdivision 1.9 2; 268.12, by adding a subdivision; 268.16, 1.10 subdivision 4; 268.164, subdivisions 1 and 2; and 1.11 268.23; Minnesota Statutes 1995 Supplement, sections 1.12 268.041; 268.06, subdivision 20; 268.09, subdivision 1.13 1; 268.105, by adding a subdivision; 268.161, 1.14 subdivision 9; and 268.18, subdivision 1; proposing 1.15 coding for new law in Minnesota Statutes, chapter 268; 1.16 repealing Minnesota Statutes 1994, sections 268.04, 1.17 subdivisions 18 and 24; 268.10, subdivision 1; and 1.18 268.231; Minnesota Statutes 1995 Supplement, section 1.19 268.10, subdivision 2; Laws 1994, chapter 503, section 1.20 5. 1.21 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.22 Section 1. Minnesota Statutes 1994, section 268.04, 1.23 subdivision 2, is amended to read: 1.24 Subd. 2. [BASE PERIOD.] "Base period" means the first four 1.25 of the last five completed calendar quarters immediately 1.26 preceding the first day of
an individual'sa claimant's benefit 1.27 year; except: (a) if during the base period an individuala 1.28 claimant received workers' compensation for temporary disability 1.29 under chapter 176 or a similar law of the United States, or 1.30 if an individuala claimant whose own serious illness caused a 1.31 loss of work for which the individualclaimant received 1.32 compensation due to the illness from some other source or under 1.33 a law of this state other than chapter 176 or a similar law of 2.1 the United States, the individual'sclaimant's base period shall 2.2 be lengthened to the extent stated as follows: 2.3 (1) if an individuala claimant was compensated, as 2.4 described above, for a loss of work of seven to 13 weeks, the 2.5 original base period shall be extended to include one calendar 2.6 quarter preceding the original base period; or 2.7 (2) if an individuala claimant was compensated, as 2.8 described above, for a loss of work of 14 to 26 weeks, the 2.9 original base period shall be extended to include two calendar 2.10 quarters preceding the original base period; or 2.11 (3) if an individuala claimant was compensated, as 2.12 described above, for a loss of work of 27 to 39 weeks, the 2.13 original base period shall be extended to include the first 2.14 three calendar quarters preceding the original base period; or 2.15 (4) if an individuala claimant was compensated, as 2.16 described above, for a loss of work of 40 to 52 weeks, the 2.17 original base period shall be extended to include the first four 2.18 quarters preceding the original base period; or 2.19 (b) if the commissioner finds that, during the base period 2.20 described above, the individualclaimant subject to clause (a) 2.21 has insufficient wage credits to establish a valid claim2.22 reemployment insurance account, the individualclaimant may 2.23 request a determination of validitya reemployment insurance 2.24 account using an alternate base period of the last four 2.25 completed calendar quarters preceding the first day of an2.26 individual'sa claimant's benefit year. This alternate base 2.27 period may be used by an individuala claimant only once during 2.28 any five calendar year period to establish a valid claim2.29 reemployment insurance account. 2.30 In no instance shall the base period be extended to include 2.31 more than four additional calendar quarters. 2.32 No base period, extended base period, or alternate base 2.33 period under paragraph (b) shall include wage credits upon which 2.34 a claim was established and benefits were paid with respect to 2.35 that valid claimreemployment insurance account. 2.36 Sec. 2. Minnesota Statutes 1994, section 268.04, 3.1 subdivision 4, is amended to read: 3.2 Subd. 4. [BENEFIT YEAR.] "Benefit year" with respect to 3.3 any individualclaimant means the period of 52 calendar weeks 3.4 beginning with the first day of the first week with respect to 3.5 which the individual files a valid claim for benefitsclaimant 3.6 establishes a reemployment insurance account. For 3.7 individualsclaimants with a claimreemployment insurance 3.8 account established effective January 1, April 1, July 1, or 3.9 October 1, the benefit year will be a period of 53 weeks 3.10 beginning with the first week with respect to which the 3.11 individual files a valid claim for benefitsclaimant establishes 3.12 a reemployment insurance account. A benefit year, once3.13 established, can be withdrawn if benefits have not been paid,3.14 and benefit credit has not been claimed, unless otherwise3.15 provided under federal law or regulation.3.16 Sec. 3. Minnesota Statutes 1994, section 268.04, is 3.17 amended by adding a subdivision to read: 3.18 Subd. 5a. [CLAIMANT.] "Claimant" means an individual who 3.19 has made an application for a reemployment insurance account and 3.20 has established or is actively pursuing the establishment of a 3.21 reemployment insurance account. 3.22 Sec. 4. Minnesota Statutes 1995 Supplement, section 3.23 268.041, is amended to read: 3.24 268.041 [DETERMINATIONS OF COVERAGE.] 3.25 An official, designated by the commissioner, upon the 3.26 commissioner's own motion or upon application of an employing 3.27 unit, shall determine if an employing unit is an employer within 3.28 the meaning of this chapter or as to whether services performed 3.29 for it constitute employment within the meaning of this chapter, 3.30 or whether the remuneration for services constitutes wages as 3.31 defined in section 268.04, subdivision 25, and shall notify the 3.32 employing unit of the determination. The determination shall be 3.33 final unless the employing unit, within 30 days after the 3.34 mailing of notice of the determination to the employing unit's 3.35 last known address, files a written appeal from it. Proceedings 3.36 on the appeal shall be conducted in accordance with section 4.1 268.105. The commissioner may at any time upon the 4.2 commissioner's own motion correct any error of the department 4.3 resulting in an erroneous determination under this section, 4.4 except for those matters that have been appealed to the court of 4.5 appeals and heard on the merits. The commissioner shall issue a 4.6 redetermination which shall be final unless the employing unit, 4.7 within 30 days after the mailing of notice of the 4.8 redetermination to the employing unit's last known address, 4.9 files a written appeal from it. Proceedings on the appeal shall 4.10 be conducted in accordance with section 268.105. 4.11 Sec. 5. Minnesota Statutes 1994, section 268.06, 4.12 subdivision 5, is amended to read: 4.13 Subd. 5. [BENEFITS CHARGED AS AND WHEN PAID.] (a) Benefits 4.14 paid to an individuala claimant pursuant to a valid claim4.15 reemployment insurance account shall be charged against the 4.16 account of the individual'sclaimant's base period employer as 4.17 and when paid, except that benefits paid to an individuala 4.18 claimant who earned base period wages for part-time employment 4.19 shall not be charged to an employer that is liable for payments 4.20 in lieu of contributions or to the experience rating account of 4.21 an employer if the employer: (1) provided regularly scheduled 4.22 part-time employment to the individualclaimant during the 4.23 individual'sclaimant's base period; (2) during the individual's4.24 claimant's benefit year, continues to provide the 4.25 individualclaimant with regularly scheduled employment 4.26 approximating 90 percent of the employment provided the claimant 4.27 by that employer in the base period, or, for a fire department 4.28 or firefighting corporation or operator of a life support 4.29 transportation service, continues to provide employment for a 4.30 volunteer firefighter or volunteer ambulance service personnel 4.31 on the same basis that employment was provided in the base 4.32 period; and (3) is an interested partyinvolved employer because 4.33 of the individual'sclaimant's loss of other employment. The 4.34 relief of charges shall terminate effective the first week in 4.35 the claimant's benefit year that the employer fails to meet the 4.36 provisions of clause (2). The amount of benefits sochargeable 5.1 against each base period employer's account shall bear the same 5.2 ratio to the total benefits paid to an individuala claimant as 5.3 the base period wage credits ofthe individualclaimant earned 5.4 from such employer bear to the total amount of base period wage 5.5 credits ofthe individualclaimant earned from all 5.6 the individual'sclaimant's base period employers. 5.7 In making computations under this provision, the amount of 5.8 wage credits if not a multiple of $1, shall be computed to the 5.9 nearest multiple of $1. 5.10 Benefits shall not be charged to an employer that is liable 5.11 for payments in lieu of contributions or to the experience 5.12 rating account of an employer for unemployment (1) that is 5.13 directly caused by a major natural disaster declared by the 5.14 president pursuant to section 102(2) of the Disaster Relief Act 5.15 of 1974 (United States Code, title 42, section 5122(2)), if the 5.16 unemployed individualclaimant would have been eligible for 5.17 disaster unemployment assistance with respect to that 5.18 unemployment but for the individual'sclaimant's receipt of 5.19 unemployment insurance benefits, or (2) that is directly caused 5.20 by the condemnation of property by a governmental agency, a 5.21 fire, flood, or act of God where 70 percent or more of the 5.22 employees employed in the affected location become unemployed as 5.23 a result and the employer substantially reopens its operations 5.24 in that same area within 360 days18 months of the closure of 5.25 the business due to condemnation of property by a governmental 5.26 agency, fire, flood, or act of God. Benefits shall be charged 5.27 to the employer's account where the unemployment is caused by 5.28 the willful act of the employer or a person acting on behalf of 5.29 the employer. 5.30 (b) Benefits paid a claimant whose separation from 5.31 employment was required by a law or Minnesota administrative 5.32 rule mandating a background check, or whose separation from 5.33 employment was required by law or Minnesota administrative rule 5.34 because of a criminal conviction, shall not be charged to an 5.35 employer that is liable for payments in lieu of contributions or 5.36 to the experience rating account of an employer. 6.1 This paragraph shall be retroactive to the date the law or 6.2 Minnesota administrative rule mandating a background check is 6.3 effective or to the date the law or Minnesota administrative 6.4 rule requiring a separation for a criminal conviction is 6.5 effective. 6.6 (c) Benefits paid by another state as a result of the 6.7 transferring of wage credits under a federally required combined 6.8 wage agreement shall not be charged to an employer that is 6.9 liable for payments in lieu of contributions or to the 6.10 experience rating account of an employer. 6.11 (d) Notwithstanding paragraph (a), benefits paid to a 6.12 claimant shall not be charged to the experience rating account 6.13 of an employer if the claimant's base period wage credits paid 6.14 by that employer are less than $500. This paragraph shall be in 6.15 effect until August 1, 1998. 6.16 Sec. 6. Minnesota Statutes 1995 Supplement, section 6.17 268.06, subdivision 20, is amended to read: 6.18 Subd. 20. [PROTEST, REVIEW, REDETERMINATION, APPEAL.] A 6.19 review of the charges made to an employer's account as set forth 6.20 in the notice of charges referred to in subdivision 18 and a 6.21 review of an employer's contribution rate as set forth in the 6.22 notice of the employer's rate for any calendar year as provided 6.23 in subdivision 19, may be had by the employer by filing with the 6.24 commissioner a written protest setting forth reasons therefor 6.25 within 30 days from the date of the mailing of the notice of 6.26 charges or contribution rate to the employer. The date shall 6.27 appear on the notice. Upon receipt of the protest, the 6.28 commissioner shall refer the matter to an official designated by 6.29 the commissioner to review the charges appearing on the notice 6.30 appealed from or the computations of the protesting employer's 6.31 rate, as the case may be, to determine whether or not there has 6.32 been any clerical error or error in computation in either case. 6.33 The official shall either affirm or make a redetermination 6.34 rectifying the charges or rate as the case may be, and a notice 6.35 of the affirmation or redetermination shall immediately be 6.36 mailed to the employer. If the employer is not satisfied with 7.1 the affirmation or redetermination, the employer may appeal by 7.2 filing a written notice with the department within ten30 days 7.3 after the date of mailing appearing upon the redetermination. 7.4 Proceedings on the appeal shall be conducted in accordance with 7.5 section 268.105. The commissioner may at any time upon the 7.6 commissioner's own motion correct any clerical error of the 7.7 department resulting in charges against an employer's account or 7.8 any error in the computation or the assignment of an employer's 7.9 contribution rate. 7.10 Sec. 7. Minnesota Statutes 1994, section 268.06, 7.11 subdivision 24, is amended to read: 7.12 Subd. 24. [VOLUNTARY CONTRIBUTIONS.] Notwithstanding any 7.13 inconsistent provisions of law any employer who has been 7.14 assigned a contribution rate pursuant to subdivisions 4, 6, and 7.15 8 may, for the calendar year 1967, or any calendar year 7.16 thereafter, upon the voluntary payment of an amount equivalent 7.17 to any portion or all of the benefits charged to the employer's 7.18 account during the period ending June 30 of the preceding year 7.19 used for the purpose of computing an employer's experience ratio 7.20 as authorized by said subdivisions 4, 6, and 8, obtain a 7.21 cancellation of benefits charged to the account during such 7.22 period equal to such payment so voluntarily made. Upon the 7.23 payment of such voluntary contribution, plus a surcharge of 25 7.24 percent of such benefit charged, within the applicable period 7.25 prescribed by the provisions of this subdivision, the 7.26 commissioner shall cancel the benefits equal to such payment, 7.27 excluding the 25 percent surcharge, so voluntarily made and 7.28 compute a new experience ratio for such employer. The employer 7.29 then shall be assigned the contribution rate applicable to the 7.30 category within which the recomputed experience ratio is 7.31 included. Such voluntary payments may be made only during the 7.32 30-day period immediately following the date of mailing to the 7.33 employer of the notice of contribution rate as prescribed in 7.34 this section; provided that the commissioner may extend this 7.35 period if the commissioner finds that the employer's failure to 7.36 make such payment within such 30-day period was for good cause; 8.1 and provided further that notwithstanding any of the foregoing 8.2 provisions of this subdivision, in no event shall any new 8.3 experience ratio be computed for any employer or a contribution 8.4 rate be reduced as a result of any such voluntary payment which 8.5 is made after the expiration of the 120-day period commencing 8.6 with the first day of the calendar year for which such rate is 8.7 effective. Voluntary contributions made within the required 8.8 time limits will not be refunded unless a request is made in 8.9 writing at the time of payment that the department refund the 8.10 voluntary contribution if it does not result in a lower rate. 8.11 When all or a part of the benefits charged to an employer's 8.12 account are for the unemployment of 75 percent or more of the 8.13 employees in an employing unit and the unemployment is caused by 8.14 closure of the business by the condemnation of property by a 8.15 governmental agency, or damages to the unit by fire, flood, wind 8.16 or other act of God, the employer may obtain a cancellation of 8.17 benefits incurred because of that unemployment in the manner 8.18 provided by this subdivision without being subject to the 8.19 surcharge of 25 percent otherwise required. 8.20 Sec. 8. [268.061] [NOTICE TO WORKERS.] 8.21 Each employer shall post and maintain printed statements of 8.22 an individual's right to apply for reemployment insurance 8.23 benefits in places readily accessible to individuals in the 8.24 employer's service. Such printed statements must be supplied by 8.25 the commissioner at no cost to an employer. 8.26 Sec. 9. Minnesota Statutes 1994, section 268.07, is 8.27 amended to read: 8.28 268.07 [ BENEFITS PAYABLEREEMPLOYMENT INSURANCE ACCOUNT.] 8.29 Subdivision 1. [ PAID FROM THE FUNDAPPLICATION; 8.30 DETERMINATION.] All benefits provided herein shall be payable8.31 from the fund and shall be paid through employment offices, in8.32 accordance with such rules as the commissioner may8.33 prescribe.(a) An application for reemployment insurance 8.34 benefits may be made in person, by mail, by telephone, or by 8.35 electronic transmission as the commissioner shall require. The 8.36 commissioner may by rule adopt other requirements for an 9.1 application. 9.2 (b) An official, designated by the commissioner, shall 9.3 promptly examine each application for benefits to determine the 9.4 base period, the benefit year, the weekly benefit amount 9.5 payable, if any, and the maximum benefit amount payable, if any. 9.6 The determination shall be known as the determination of 9.7 reemployment insurance account. A written determination of 9.8 reemployment insurance account must be promptly mailed to the 9.9 claimant and all base period employers. 9.10 (c) If a base period employer failed to provide wage 9.11 information for the claimant as required in section 268.121, the 9.12 commissioner shall accept a claimant certification as to wage 9.13 credits, based upon the claimant's records, and issue a 9.14 determination of reemployment insurance account. 9.15 (d)(1) The commissioner may, at any time within 24 months 9.16 from the establishment of a reemployment insurance account, 9.17 reconsider any determination of reemployment insurance account 9.18 and make a redetermination if the commissioner finds that the 9.19 determination was incorrect for any reason. A written 9.20 redetermination of reemployment insurance account shall be 9.21 promptly mailed to the claimant and all base period employers. 9.22 (2) If a redetermination of reemployment insurance account 9.23 reduces the weekly or maximum benefit amount payable, any 9.24 benefits paid greater than the claimant was entitled is an 9.25 overpayment of those benefits subject to section 268.18, except 9.26 when, in the absence of fraud, a redetermination is due to an 9.27 error or omission by an employer in providing wage information 9.28 as required in section 268.121. 9.29 Subd. 2. [WEEKLY BENEFIT AMOUNT AND DURATION.] (a) To 9.30 establish a benefit year for unemployment insurance benefits,9.31 effective after January 1, 1988, and thereafterreemployment 9.32 insurance account, an individuala claimant must have: 9.33 (1) wage credits in two or more calendar quarters of the 9.34 individual'sclaimant's base period; 9.35 (2) minimum total base period wage credits equal to the 9.36 high quarter wages multiplied by 1.25; 10.1 (3) high quarter wage credits of not less than $1,000; and 10.2 (4) performed work in 15 or more calendar weeks in the base 10.3 period. 10.4 (b) If the commissioner finds that an individuala claimant 10.5 has sufficient wage credits and weeks worked within the base 10.6 period to establish a valid claimreemployment insurance 10.7 account, the weekly benefit amount payable to the individual10.8 claimant during the individual'sclaimant's benefit year shall 10.9 be equal to 1/26 of the individual'sclaimant's high quarter 10.10 wage credits, rounded to the next lower whole dollar. 10.11 (c) Notwithstanding paragraph (b), the maximum weekly 10.12 benefit amount of claims for benefits which establish a benefit10.13 year subsequent to July 1, 1979,shall be a percentage of the 10.14 average weekly wage as determined under paragraphs (d) and (e). 10.15 (d) On or before June 30 of each year, the commissioner 10.16 shall determine the average weekly wage for purposes of 10.17 paragraph (c) paid by employers subject to sections 268.03 to 10.18 268.231 in the following manner: 10.19 (1) The sum of the total monthly employment reported for 10.20 the previous calendar year shall be divided by 12 to determine 10.21 the average monthly employment. 10.22 (2) The sum of the total wages reported for the previous 10.23 calendar year shall be divided by the average monthly employment 10.24 to determine the average annual wage. 10.25 (3) The average annual wage shall be divided by 52 to 10.26 determine the average weekly wage. 10.27 (e) The maximum weekly benefit amount for any claim filed10.28 reemployment insurance account established during the 12-month 10.29 period subsequent to June 30 of any year shall be determined on 10.30 the basis of the unemployment fund balance on December 31 of the 10.31 preceding year. If the fund balance is less than $70,000,000 on 10.32 that date, the maximum weekly benefit amount shall be 66-2/3 10.33 percent of the average weekly wage; if the fund balance is more 10.34 than $70,000,000 but less than $100,000,000, the maximum weekly 10.35 benefit amount is 66 percent of the average weekly wage; if the 10.36 fund balance is more than $100,000,000 but less than 11.1 $150,000,000, the maximum weekly benefit amount is 65 percent of 11.2 the average weekly wage; if the fund balance is more than 11.3 $150,000,000 but less than $200,000,000, the maximum weekly 11.4 benefit amount is 64 percent of the average weekly wage; if the 11.5 fund balance is more than $200,000,000 but less than 11.6 $250,000,000, the maximum weekly benefit amount is 63 percent of 11.7 the average weekly wage; if the fund balance is more than 11.8 $250,000,000 but less than $300,000,000, the maximum weekly 11.9 benefit amount is 62 percent of the average weekly wage; if the 11.10 fund balance is more than $300,000,000 but less than 11.11 $350,000,000, the maximum weekly benefit amount is 61 percent of 11.12 the average weekly wage; if the fund balance is more than 11.13 $350,000,000, the maximum weekly benefit amount is 60 percent. 11.14 The maximum weekly benefit amount as determined under this 11.15 paragraph computed to the nearest whole dollar shall apply 11.16 to claims for benefits which establish a benefit year which11.17 beginsreemployment insurance accounts established subsequent to 11.18 June 30 of each year. 11.19 (f) Any eligible individual shall be entitled duringThe 11.20 maximum benefit amount payable for any benefit year to a total11.21 amount of benefitsshall equal toone-third of the individual's11.22 claimant's total base period wage credits rounded to the next 11.23 lower dollar, not to exceed 26 times the individual'sclaimant's 11.24 weekly benefit amount. 11.25 (g) Each eligible individual who is unemployed in any week11.26 shall be paid with respect to such week a benefit in an amount11.27 equal to the individual's weekly benefit amount less that part11.28 of the individual's earnings, including holiday pay, payable to11.29 the individual with respect to such week which is in excess of11.30 $200 for earnings from service in the national guard or a United11.31 States military reserve unit and the greater of $50 or 2511.32 percent of the earnings in other work; provided that no11.33 deduction may be made from the weekly benefit amount for11.34 earnings from service as a volunteer firefighter or volunteer11.35 ambulance service personnel. Jury duty pay is not considered as11.36 earnings and shall not be deducted from benefits paid. Such12.1 benefit, if not a whole dollar amount, shall be rounded down to12.2 the next lower dollar amount.12.3 Subd. 2a. [EXCEPTION.] Notwithstanding the provisions of12.4 subdivision 2, if the commissioner finds that an individual has12.5 earned wage credits in seasonal employment, benefits shall be12.6 payable only if the commissioner finds that the individual has12.7 earned wage credits in 15 or more calendar weeks equal to or in12.8 excess of 30 times the individual's weekly benefit amount, in12.9 employment which is not seasonal, in addition to any wage12.10 credits in seasonal employment. For the purposes of this12.11 subdivision, "seasonal employment" means employment with a12.12 single employer in the recreation or tourist industry which is12.13 available with the employer for 15 consecutive weeks or less12.14 each calendar year.12.15 Subd. 3. [ WHEN WAGE CREDITS ARE NOT AVAILABLESECOND 12.16 ACCOUNT PROHIBITED.] (1)(a) To establish a second benefit year12.17 reemployment insurance account following the expiration of an12.18 immediately precedinga benefit year on a preceding reemployment 12.19 insurance account, an individuala claimant must have sufficient 12.20 wage credits and weeks of employment to establish a 12.21 claimreemployment insurance account under the provisions of 12.22 subdivision 2 and must have performed services after the 12.23 establishment of the expired benefit yearpreceding reemployment 12.24 insurance account. The services performed must have been in 12.25 insured work and the wages paid for those services must equal 12.26 not less than ten times the weekly benefit amount of the 12.27 second benefit yearreemployment insurance account. A claim12.28 filedreemployment insurance account established sufficiently in 12.29 advance of anticipated unemployment to make the limitations of 12.30 this clauseparagraph ineffective shall be invalidnot be 12.31 allowed. It is the purpose of this provision that an individual12.32 a claimant cannot establish more than one benefit year12.33 reemployment insurance account as a result of one separation 12.34 from employment. 12.35 (2)(b) No employer who provided 90 percent or more of the 12.36 wage credits in a claimant's base period shall be charged for 13.1 benefits based upon earnings of the claimantwages paid during a 13.2 subsequent base period unless the employer has employedthe 13.3 claimant performed services for the employer in any part of the 13.4 subsequent base period. 13.5 (3) Wages paid by an employing unit may not be used for13.6 benefit purposes by any claimant who (a) individually, jointly,13.7 or in combination with the claimant's spouse, parent, or child13.8 owns or controls directly or indirectly 25 percent or more13.9 interest in the employing unit; or (b) is the spouse, parent, or13.10 minor child of any individual who owns or controls directly or13.11 indirectly 25 percent or more interest in the employing unit;13.12 and (c) is not permanently separated from employment.13.13 This clause is effective when the individual has been paid13.14 four times the individual's weekly benefit amount in the current13.15 benefit year.13.16 (4) Wages paid in seasonal employment, as defined in13.17 subdivision 2a, are not available for benefit purposes during13.18 weeks in which there is no seasonal employment available with13.19 the employer.13.20 (5) No employer shall be charged for benefits if the13.21 employer is a base period employer on a second claim solely13.22 because of the transition from a base period consisting of the13.23 52-week period preceding the claim date to a base period as13.24 defined in section 268.04, subdivision 2.13.25 Subd. 3a. [RIGHT OF APPEAL.] (a) A determination or 13.26 redetermination of a reemployment insurance account shall be 13.27 final unless a claimant or base period employer within 15 days 13.28 after the mailing of the determination or redetermination to the 13.29 last known address files a written appeal. Every determination 13.30 or redetermination of a reemployment insurance account shall 13.31 contain a prominent statement indicating in clear language the 13.32 method of appealing, the time within which the appeal must be 13.33 made, and the consequences of not appealing. Proceedings on the 13.34 appeal shall be conducted in accordance with section 268.105. 13.35 (b) Any claimant or base period employer may appeal from a 13.36 determination or redetermination of a reemployment insurance 14.1 account on the issue of whether an employing unit is an employer 14.2 within the meaning of this chapter or whether services performed 14.3 constitute employment within the meaning of this chapter. 14.4 Proceedings on the appeal shall be conducted in accordance with 14.5 section 268.105. 14.6 Subd. 3b. [LIMITATIONS.] (a) A reemployment insurance 14.7 account shall be established the Sunday of the calendar week in 14.8 which the application for reemployment insurance benefits was 14.9 made. If an individual attempted to make an application for a 14.10 reemployment insurance account, but was prevented from making an 14.11 application by the department of economic security, the 14.12 reemployment insurance account shall be established the Sunday 14.13 of the calendar week the individual first attempted to make an 14.14 application. 14.15 (b) A reemployment insurance account, once established, may 14.16 be withdrawn if benefits have not been paid, and benefit credit 14.17 has not been claimed. 14.18 (c) A reemployment insurance account shall not be 14.19 established prior to the Sunday following the expiration of the 14.20 benefit year on a prior reemployment insurance account. 14.21 (d) All benefits shall be payable from the Minnesota 14.22 reemployment insurance fund only for weeks occurring during the 14.23 benefit year. 14.24 Sec. 10. Minnesota Statutes 1994, section 268.072, 14.25 subdivision 2, is amended to read: 14.26 Subd. 2. [NOTICE OF CLAIM.] An individual filing a new14.27 claim forUpon application for a reemployment insurance account, 14.28 the claimant shall , at the time of filing the claim,disclose 14.29 whether or not the individualclaimant owes child support 14.30 obligations. If any individualthe claimant discloses that the 14.31 individualclaimant owes child support obligations, and is14.32 determined to be eligible forestablishes a reemployment 14.33 insurance account, the commissioner shall notify the child 14.34 support agency that the individualclaimant has been determined14.35 to be eligible forestablished a reemployment insurance account. 14.36 Sec. 11. Minnesota Statutes 1994, section 268.072, 15.1 subdivision 3, is amended to read: 15.2 Subd. 3. [WITHHOLDING OF BENEFITS.] The commissioner shall 15.3 deduct and withhold from any reemployment insurance payable 15.4 to an individuala claimant that owes child support obligations: 15.5 (a) The amount specified by the individualclaimant to the 15.6 commissioner to be deducted and withheld under this section, if 15.7 neither clause (b) or (c) is applicable; or 15.8 (b) The amount determined pursuant to an agreement 15.9 submitted to the commissioner under section 454 (20) (B) (i) of 15.10 the Social Security Act by the child support agency, unless (c) 15.11 is applicable; or 15.12 (c) Any amount otherwise required to be so deducted and 15.13 withheld from the unemployment compensation pursuant to "legal 15.14 process" as defined in section 462(e) of the Social Security 15.15 Act, properly served upon the commissioner. 15.16 Sec. 12. Minnesota Statutes 1994, section 268.072, 15.17 subdivision 5, is amended to read: 15.18 Subd. 5. [EFFECT OF PAYMENTS.] Any amount deducted and 15.19 withheld under subdivision 3 shall for all purposes be treated 15.20 as if it were paid to the individualclaimant as reemployment 15.21 insurance and paid by the individualclaimant to the public 15.22 agency responsible for child support enforcement in satisfaction 15.23 of the individual'sclaimant's child support obligations. 15.24 Sec. 13. Minnesota Statutes 1994, section 268.073, 15.25 subdivision 3, is amended to read: 15.26 Subd. 3. [ELIGIBILITY CONDITIONS.] An individualA 15.27 claimant is eligible to receive additional benefits under this 15.28 section for any week during the individual'sclaimant's benefit 15.29 year if the commissioner finds that: 15.30 (1) the individual'sclaimant's unemployment is the result 15.31 of a reduction in operations as provided under subdivision 1; 15.32 (2) the individualclaimant is unemployed and meets the 15.33 eligibility requirements for the receipt of unemployment 15.34 benefits under section 268.08; 15.35 (3) the individualclaimant is not subject to a 15.36 disqualification for benefits under section 268.09; for the 16.1 purpose of this subdivision, the disqualifying conditions set 16.2 forth in section 268.09, and the requalifying requirements 16.3 thereunder, apply to the receipt of additional benefits under 16.4 this section; 16.5 (4) the individualclaimant has exhausted all rights to 16.6 regular benefits payable under section 268.07, is not entitled 16.7 to receive extended benefits under section 268.071, and is not 16.8 entitled to receive reemployment insurance benefits under any 16.9 other state or federal law for the week in which the individual16.10 claimant is claiming additional benefits; 16.11 (5) the individualclaimant has made a claim for additional 16.12 benefits with respect to any week the individualclaimant is 16.13 claiming benefits in accordance with the regulations as the 16.14 commissioner may prescribe with respect to claims for regular 16.15 benefits; and 16.16 (6) the individualclaimant has worked at least 26 weeks 16.17 during the individual'sclaimant's base period in employment 16.18 with an employer for whom the commissioner has determined there 16.19 was a reduction in operations under subdivision 1. 16.20 Sec. 14. Minnesota Statutes 1994, section 268.073, 16.21 subdivision 4, is amended to read: 16.22 Subd. 4. [WEEKLY BENEFIT AMOUNT.] A claimant's weekly 16.23 benefit amount under this section shall be the same as the 16.24 individual's weekly benefit amount payable during the 16.25 individual's current benefit year under section 268.08268.07. 16.26 Sec. 15. Minnesota Statutes 1994, section 268.073, 16.27 subdivision 7, is amended to read: 16.28 Subd. 7. [BENEFIT CHARGES.] (a)Except as otherwise 16.29 provided, benefits paid to an individuala claimant under this 16.30 section shall be charged to the employment experience record of16.31 the base period employer of the individualclaimant to the 16.32 extent regular benefits were charged to the base period employer 16.33 under sections 268.06, subdivision 5, and 268.09, subdivision 1, 16.34 paragraph (e). 16.35 (b) With respect to an employer who has elected to be a16.36 contributing employer under the provisions of section 268.06,17.1 subdivision 31, all benefits paid under this section which are17.2 based upon services for the contributing employer shall be17.3 charged to the contributing employer's account.17.4 Sec. 16. Minnesota Statutes 1994, section 268.074, 17.5 subdivision 4, is amended to read: 17.6 Subd. 4. [WEEKLY BENEFIT AMOUNT.] (a) An individual who is 17.7 eligible for shared work benefits under this section shall be 17.8 paid, with respect to any week of unemployment, a weekly shared 17.9 work unemployment insurance benefit amount. The amount shall be 17.10 equal to the individual's regular weekly benefit amount 17.11 multiplied by the nearest full percentage of reduction of the 17.12 individual's regular weekly hours of work as set forth in the 17.13 employer's plan. The benefit payment, if not a multiple of $1 17.14 shall be rounded to the next lower dollar. 17.15 (b) The provisions of section 268.07268.08, subdivision 2,17.16 paragraph (g)3a, shall not apply to earnings from the shared 17.17 work employer of an individual eligible for payments under this 17.18 section unless the resulting payment would be less than the 17.19 regular benefit payment for which the individual would otherwise 17.20 be eligible without regard to shared work unemployment insurance 17.21 benefits. 17.22 (c) An individual shall not be disqualifiedeligible for 17.23 benefits payable under this section for any week in which paid 17.24 work is performed for the shared work employer in excess of the 17.25 reduced hours set forth in the approved plan. 17.26 Sec. 17. [268.075] [INCOME TAX WITHHOLDING.] 17.27 Subdivision 1. [NOTIFICATION.] (a) Upon application for a 17.28 reemployment insurance account the claimant shall be informed 17.29 that: 17.30 (1) reemployment insurance benefits are subject to federal 17.31 and state income tax; 17.32 (2) there are requirements for filing estimated tax 17.33 payments; 17.34 (3) the claimant may elect to have federal income tax 17.35 withheld from benefits; 17.36 (4) if the claimant elects to have federal income tax 18.1 withheld, the claimant may, in addition, elect to have Minnesota 18.2 state income tax withheld; and 18.3 (5) at any time during the benefit year the claimant may 18.4 change a prior election. 18.5 (b) If a claimant elects to have federal income tax 18.6 withheld, the commissioner shall deduct that percentage required 18.7 by the Internal Revenue Code. If a claimant, in addition to 18.8 federal income tax withholding, elects to have Minnesota state 18.9 income tax withheld, the commissioner shall make an additional 18.10 five percent deduction for Minnesota state income tax. Any 18.11 amounts deducted pursuant to sections 268.072, 268.165, and 18.12 268.18 have priority over any amounts deducted under this 18.13 section. Federal income tax withholding has priority over 18.14 Minnesota state income tax withholding. 18.15 (c) An election to have federal income tax, or federal and 18.16 Minnesota state income tax, withheld shall not be retroactive 18.17 and shall only apply to benefits paid after the election. 18.18 Subd. 2. [TRANSFER OF FUNDS.] The amount of any benefits 18.19 deducted under this section shall remain in the Minnesota 18.20 reemployment insurance fund until transferred to the federal 18.21 Internal Revenue Service, or the Minnesota department of 18.22 revenue, as an income tax payment on behalf of the claimant. 18.23 Subd. 3. [CORRECTION OF ERRORS.] Any error which resulted 18.24 in underwithholding under this section shall not be corrected 18.25 retroactively. 18.26 Subd. 4. [FEDERAL REQUIREMENT.] The commissioner shall 18.27 follow all federal requirements for the deduction and 18.28 withholding of federal and Minnesota state income tax from 18.29 reemployment insurance benefits. 18.30 Subd. 5. [APPLICATION.] This section applies to any 18.31 payments under federal or state law as compensation, assistance, 18.32 or allowance with respect to unemployment. 18.33 Sec. 18. Minnesota Statutes 1994, section 268.08, as 18.34 amended by Laws 1995, chapters 54, sections 8 and 9; and 231, 18.35 article 1, section 32, is amended to read: 18.36 268.08 [PERSONS ELIGIBLE TO RECEIVE BENEFITS.] 19.1 Subdivision 1. [ELIGIBILITY CONDITIONS.] An individualA 19.2 claimant shall be eligible to receive benefits with respect to 19.3 any week of unemployment only if the commissioner finds that the 19.4 individualclaimant: 19.5 (1) has registered for work at and thereafter has continued 19.6 to report to an employment office, or agent of the office, in 19.7 accordance with rules the commissioner may adopt; except that 19.8 the commissioner may by rule waive or alter either or both of 19.9 the requirements of this clause as to types of cases or 19.10 situations with respect to which the commissioner finds that 19.11 compliance with the requirements would be oppressive or would be 19.12 inconsistent with the purposes of sections 268.03 to 268.231 .19.13 The method of reporting allowed must not require an in-person19.14 appearance, and may incorporate appropriate new technology; 19.15 (2) has made a continued claim for benefits in accordance19.16 with rules as the commissioner may adoptperson, by mail, by 19.17 telephone, or by electronic transmission as the commissioner 19.18 shall require. The commissioner may by rule adopt other 19.19 requirements for a continued claim; 19.20 (3) was able to work and was available for work, and was 19.21 actively seeking work. The individual'sclaimant's weekly 19.22 benefit amount shall be reduced one-fifth for each day 19.23 the individualclaimant is unable to work or is unavailable for 19.24 work. Benefits shall not be denied by application of this 19.25 clause to an individuala claimant who is in training with the 19.26 approval of the commissioner, is a dislocated worker as defined 19.27 in section 268.975, subdivision 3, who is in training approved 19.28 by the commissioner, or in training approved pursuant to section 19.29 236 of the Trade Act of 1974, as amended. 19.30 An individualA claimant is deemed unavailable for work 19.31 with respect to any week which occurs in a period when the 19.32 individualclaimant is a full-time student in attendance at, or 19.33 on vacation from an established school, college, or university 19.34 unless a majority of the individual'sclaimant's wages paid 19.35 during the 52 weeks preceding the claim dateestablishment of a 19.36 reemployment insurance account were for services performed 20.1 during weeks in which the student was attending school as a 20.2 full-time student. 20.3 An individualA claimant serving as a juror shall be 20.4 considered as available for work and actively seeking work on 20.5 each day the individualclaimant is on jury duty; 20.6 (4) has been unemployed for a waiting period of one week 20.7 during which the individualclaimant is otherwise eligible for20.8 entitled to benefits under sections 268.03 to 268.231 . No20.9 individual is required to serve a waiting period of more than20.10 one week within the one-year period subsequent to filing a valid20.11 claim and commencing with the week within which the valid claim20.12 was filed; and 20.13 (5) has been participating in reemployment services, such 20.14 as job search assistance services, if the individualclaimant 20.15 has been determined to be likely to exhaust regular benefits and 20.16 need reemployment services pursuant to a profiling system 20.17 established by the commissioner, unless there is justifiable 20.18 cause for the claimant's failure to participate. 20.19 Subd. 1a. [BENEFITS DUE DECEASED PERSONS.] Upon the death 20.20 of any claimant for benefits, and in the event it is found by 20.21 the commissioner that benefits have accrued and are due and 20.22 payable to that claimant and remain wholly or partially unpaid 20.23 at the time of the claimant's death, or in the event there have 20.24 been issued and unpaid one or more benefit checks, those checks 20.25 may, upon application therefor, be paid to the duly qualified 20.26 administrator or executor of the estate of the deceased 20.27 claimant. In the event that no administrator or executor is 20.28 appointed to administer the estate of the deceased, if any, the 20.29 benefits may, upon the order and direction of the commissioner 20.30 be paid to any person designated by the commissioner in the 20.31 following order: (1) the surviving spouse, (2) the surviving 20.32 child or children, or (3) the surviving parent or parents. 20.33 A person seeking payment under this subdivision shall 20.34 complete an affidavit on a form prescribed by the department and 20.35 the payment of benefits to a person pursuant to an affidavit 20.36 under this subdivision shall discharge the obligations of the 21.1 department to the claimant to the extent of the payment, and no 21.2 other person shall claim or assert any right with respect 21.3 thereto. 21.4 Subd. 2. [WEEK OF UNEMPLOYMENT.] No week shall be counted 21.5 as a week of unemployment for the purposes of this section: 21.6 (1) Unless it occurs subsequent to the filing of a valid21.7 claim for benefitsestablishment of a reemployment insurance 21.8 account; 21.9 (2) Unless it occurs after benefits first could become 21.10 payable to any individualclaimant under sections 268.03 to 21.11 268.231; 21.12 (3) With respect to which the individualclaimant is 21.13 receiving, has received, or has filed a claim for reemployment 21.14 insurance benefits under any other law of this state, or of any 21.15 other state, or the federal government, including readjustment 21.16 allowances under Title V, Servicemen's Readjustment Act, 1944, 21.17 but not including benefits under the Veterans Readjustment 21.18 Assistance Act of 1952 or any other federal or state benefits 21.19 which are merely supplementary to those provided for under 21.20 sections 268.03 to 268.231; provided that if the appropriate 21.21 agency of such other state or the federal government finally 21.22 determines that the individualclaimant is not entitled to such 21.23 benefits, this provision shall not apply. 21.24 Subd. 3. [NOT ELIGIBLE.] An individualA claimant shall 21.25 not be eligible to receive benefits for any week with respect to 21.26 which the individualclaimant is receiving, has received, or has 21.27 filed a claim for remuneration in an amount equal to or in 21.28 excess of the individual'sclaimant's weekly benefit amount in 21.29 the form of: 21.30 (1) termination, severance, or dismissal payment or wages 21.31 in lieu of notice whether legally required or not; provided that 21.32 if a termination, severance, or dismissal payment is made in a 21.33 lump sum, such lump sum payment shall be allocated over a period 21.34 equal to the lump sum divided by the employee'sclaimant's 21.35 regular pay while employed by such employer; provided such 21.36 payment shall be applied for a period immediately following the 22.1 last day of employment but not to exceed 28 calendar days 22.2 provided that 50 percent of the total of any such payments in 22.3 excess of eight weeks shall be similarly allocated to the period 22.4 immediately following the 28 days; or 22.5 (2) vacation allowance paid directly by the employer for a 22.6 period of requested vacation, including vacation periods 22.7 assigned by the employer under the provisions of a collective 22.8 bargaining agreement, or uniform vacation shutdown; or 22.9 (3) compensation for loss of wages under the workers' 22.10 compensation law of this state or any other state or under a 22.11 similar law of the United States, or under other insurance or 22.12 fund established and paid for by the employer; or 22.13 (4) 50 percent of the pension payments from any fund, 22.14 annuity or insurance maintained or contributed to by a base 22.15 period employer including the armed forces of the United States 22.16 if the employee contributed to the fund, annuity or insurance 22.17 and all of the pension payments if the employeeclaimant did not 22.18 contribute to the fund, annuity or insurance; or 22.19 (5) 50 percent of a primary insurance benefit under title 22.20 II of the Social Security Act, as amended, or similar old age 22.21 benefits under any act of Congress or this state or any other 22.22 state. 22.23 Provided, that if such remuneration is less than the 22.24 benefits which would otherwise be due under sections 268.03 to 22.25 268.231, the individualclaimant shall be entitled to receive 22.26 for such week, if otherwise eligible, benefits reduced by the 22.27 amount of such remuneration; provided, further, that if the 22.28 appropriate agency of such other state or the federal government 22.29 finally determines that the individualclaimant is not entitled 22.30 to such benefits, this provision shall not apply. If the 22.31 computation of reduced benefits, required by this subdivision, 22.32 is not a whole dollar amount, it shall be rounded down to the 22.33 next lower dollar amount. 22.34 Subd. 3a. [DEDUCTIBLE EARNINGS.] Each eligible claimant 22.35 who is unemployed in any week shall be paid with respect to such 22.36 week a benefit in an amount equal to the claimant's weekly 23.1 benefit amount less that part of the claimant's earnings, 23.2 including holiday pay, payable to the claimant with respect to 23.3 such week which is in excess of $200 for earnings from service 23.4 in the national guard or a United States military reserve unit 23.5 and the greater of $50 or 25 percent of the earnings in other 23.6 work; provided that no deduction may be made from the weekly 23.7 benefit amount for earnings from service as a volunteer 23.8 firefighter or volunteer ambulance service personnel. Jury duty 23.9 pay is not considered as earnings and shall not be deducted from 23.10 benefits paid. The resulting benefit, if not a whole dollar 23.11 amount, shall be rounded down to the next lower dollar amount. 23.12 Subd. 3b. [RECEIPT OF BACK PAY.] Back pay received by an23.13 individuala claimant with respect to any weeks of unemployment 23.14 occurring in the 104 weeks immediately preceding the payment of 23.15 the back pay shall be deducted from benefits paid for those 23.16 weeks. 23.17 The amount deducted shall not reduce the benefits for which 23.18 the individualclaimant is otherwise eligible for that week 23.19 below zero. If the amount of benefits after the deduction of 23.20 back pay is not a whole dollar amount, it shall be rounded to 23.21 the next lower dollar. 23.22 If the back pay awarded the individualclaimant is reduced 23.23 by benefits paid, the amounts withheld shall be: (a) paid by 23.24 the employer into the fund within 30 days of the award and are 23.25 subject to the same collection procedures that apply to past due 23.26 contributions under this chapter; (b) applied to benefit 23.27 overpayments resulting from the payment of the back pay; (c) 23.28 credited to the individual'sclaimant's maximum amount of 23.29 benefits payable in a benefit year which includes the weeks of 23.30 unemployment for which back pay was deducted. Benefit charges 23.31 for those weeks shall be removed from the employer's account as 23.32 of the calendar quarter in which the fund receives payment. 23.33 Payments to the fund under this subdivision are made by the 23.34 employer on behalf of the individualclaimant and are not 23.35 voluntary contributions under section 268.06, subdivision 24. 23.36 Subd. 4. [SOCIAL SECURITY AMOUNT DEDUCTED FROM BENEFITS.] 24.1 Any claimant aged 62 or over who has not established a valid24.2 claimreemployment insurance account based on employment 24.3 subsequent to the first receipt of primary insurance benefits 24.4 under Title II of the federal social security act, as amended, 24.5 or similar old age benefits under any act of Congress or this 24.6 state or any other state shall be required to state in writing 24.7 at the time of the filing of a claimestablishing a reemployment 24.8 insurance account whether the claimant intends to seek Title II 24.9 social security benefits for any week during which the claimant 24.10 will receive unemployment benefits, and if the claimant so 24.11 intends there shall be withheld from the claimant's weekly 24.12 unemployment benefits an amount sufficient to cover the weekly 24.13 equivalent of the social security benefit. Any claimant 24.14 disclaiming such intention but who nevertheless receives such 24.15 social security benefits for weeks for which the claimant 24.16 previously received unemployment benefits shall be liable for 24.17 repayment of such unemployment benefits and otherwise subject to 24.18 the provisions of section 268.18. 24.19 Subd. 5a. [SELF-EMPLOYMENT.] (a) An individualA claimant 24.20 who is determined to be likely to exhaust regular reemployment 24.21 insurance benefits and is enrolled in a dislocated worker 24.22 program shall be considered in approved training for purposes of 24.23 this chapter for each week the individualclaimant is engaged on 24.24 a full-time basis in activities, including training, relating to 24.25 the establishment of a business and becoming self-employed. An24.26 individualA claimant who meets the requirements of this 24.27 subdivision shall be considered unemployed for purposes of this 24.28 chapter. Income earned from the self-employment activity shall 24.29 not be considered for purposes of section 268.07, subdivision 2,24.30 paragraph (g)subdivision 3a. Under no circumstances shall more 24.31 than five percent of the number of individualsclaimants 24.32 receiving regular reemployment insurance benefits be actively 24.33 enrolled in this program at any time. This subdivision shall 24.34 not apply to personsclaimants claiming state or federal 24.35 extended or additional benefits. 24.36 (b) This subdivision shall apply to weeks beginning after 25.1 April 18, 1995, or weeks beginning after approval of this 25.2 subdivision by the United States Department of Labor whichever 25.3 date is later. This subdivision shall have no force or effect 25.4 for any purpose as of the end of the week preceding the date 25.5 when federal law no longer authorizes the provisions of this 25.6 subdivision, unless such date is a Saturday in which case this 25.7 subdivision shall have no force and effect for any purpose as of 25.8 that date. 25.9 Subd. 6. [SERVICES PERFORMED FOR STATE, MUNICIPALITIES, OR 25.10 CHARITABLE CORPORATION.] Benefits based on service in employment 25.11 defined in section 268.04, subdivision 12, clauses (7), (8) and 25.12 (9), are payable in the same amount, on the same terms and 25.13 subject to the same conditions as benefits payable on the basis 25.14 of other service subject to this chapter; except that: 25.15 (a) Benefits based upon service performed in an 25.16 instructional, research, or principal administrative capacity 25.17 for an educational institution, shall not be paid for any week 25.18 of unemployment commencing during the period between two 25.19 successive academic years or terms, or during a similar period 25.20 between two regular but not successive terms, or during a period 25.21 of paid sabbatical leave provided for in the individual's25.22 claimant's contract, to any individualclaimant if the 25.23 individualclaimant performs the services in the first of the 25.24 academic years or terms and if there is a contract or a 25.25 reasonable assurance that the individualclaimant will perform 25.26 services in any such capacity for an educational institution in 25.27 the second of the academic years or terms; 25.28 (b) With respect to service performed in any capacity other25.29 than those capacities described in clause (a) of this25.30 subdivision, including instructional assistants, for an25.31 educational institution, benefits shall not be paid on the basis25.32 of these services to any individual for any week which commences25.33 during a period between two successive academic years or terms25.34 if the individual performs the services in the first of the25.35 academic years or terms and there is a reasonable assurance that25.36 the individual will perform the services in the second of the26.1 academic years or terms. An individualWith respect to 26.2 employment in any capacity other than those described in 26.3 paragraph (a), including educational assistants, benefits shall 26.4 not be paid based upon wage credits earned with any educational 26.5 institution for any week which commences during a period between 26.6 two successive academic years or terms if the claimant was 26.7 employed in the first academic year or term by any educational 26.8 institution and there is reasonable assurance that the claimant 26.9 will be employed under similar terms and conditions by any 26.10 educational institution in the second academic year or term. A 26.11 claimant who has an agreement for a definite period of 26.12 employment between academic years or terms shall be eligible for 26.13 any weeks within that period the educational institution fails 26.14 to provide employment. If benefits are denied to any individual26.15 claimant under this clauseparagraph and the individual26.16 claimant was not offered an opportunity to perform the services26.17 employment in the second of the academic years or term, 26.18 the individualclaimant shall be entitled to a retroactive 26.19 payment of benefits for each week in which the individual26.20 claimant filed a timely continued claim for benefits, but 26.21 the continued claim was denied solely because of this clause26.22 paragraph; 26.23 (c) With respect to services described in clause26.24 paragraph (a) or (b), benefits payable on the basis of the 26.25 services shall not be paid to any individualclaimant for any 26.26 week which commences during an established and customary 26.27 vacation period or holiday recess if the individualclaimant 26.28 performs the services in the period immediately before the 26.29 vacation period or holiday recess, and there is a reasonable 26.30 assurance that the individualclaimant will perform the services 26.31 in the period immediately following the vacation period or 26.32 holiday recess; 26.33 (d) With respect to services described in clause26.34 paragraph (a) or (b), benefits shall not be payable on the basis 26.35 of services in any capacity specified in clausesparagraphs (a), 26.36 (b), and (c) to any individualclaimant who performed those 27.1 services in an educational institution while in the employ of an 27.2 educational service agency. For purposes of this clause27.3 paragraph, "educational service agency" means a governmental 27.4 agency or governmental entity which is established and operated 27.5 exclusively for the purpose of providing services to one or more 27.6 educational institutions; and 27.7 (e) With respect to services to state and local government, 27.8 or nonprofit organizations covered by section 501(c)(3) of the 27.9 Internal Revenue Code of 1986, as amended through December 31, 27.10 1992, if services are provided to or on behalf of an educational 27.11 institution, benefits must be denied under the same 27.12 circumstances as described in clausesparagraphs (a) to (d). 27.13 Subd. 7. [PROFESSIONAL ATHLETES.] Benefits shall not be 27.14 paid to an individuala claimant on the basis of any service 27.15 substantially all of which consist of participating in sports or 27.16 athletic events or training or preparing to so participate for 27.17 any week which commences during the period between two 27.18 successive sport seasons (or similar periods) if such individual27.19 the claimant performed such service in the first of such seasons 27.20 (or similar period) and there is a reasonable assurance 27.21 that such individualthe claimant will perform such service in 27.22 the later of such seasons (or similar periods). 27.23 Subd. 8. [ILLEGAL ALIENS.] (a) Benefits shall not be paid 27.24 on the basis of services performed by an alien unless such alien 27.25 is an individuala claimant who was lawfully admitted for 27.26 permanent residence at the time such services were performed, 27.27 was lawfully present for the purposes of performing such 27.28 services, or was permanently residing in the United States under 27.29 color of law at the time such services were performed (including 27.30 an alien who was lawfully present in the United States as a 27.31 result of the application of the provision of section 203(a)(7) 27.32 or section 212(d)(5) of the Immigration and Nationality Act). 27.33 (b) Any data or information required of individuals27.34 claimants applying for benefits to determine whether benefits 27.35 are not payable to them because of their alien status shall be 27.36 uniformly required from all applicants for benefits. 28.1 (c) In the case of an individuala claimant whose 28.2 application for benefits would otherwise be approved, no 28.3 determination that benefits to such individualclaimant are not 28.4 payable because of alien status shall be made except upon a 28.5 preponderance of the evidence. 28.6 Subd. 9. [SERVICES FOR CERTAIN CONTRACTORS.] Benefits 28.7 based upon services performed for an employer are subject to 28.8 subdivision 6, clausesparagraphs (b) and (c) if: 28.9 (a) the employment was provided pursuant to a contract 28.10 between the employer and a public or private school; 28.11 (b) the contract was for services which the public or 28.12 private school could have had performed by its employees; 28.13 (c) the employment was not as defined in section 268.04, 28.14 subdivision 12, clauses (7), (8), and (9); and 28.15 (d) the individual isclaimant was notified in writing of 28.16 the provisions of this subdivision while employed in 1983 or 28.17 prior to or at the time of commencing the employment. 28.18 Subd. 10. [SEASONAL EMPLOYMENT.] (a) If the commissioner 28.19 finds that a claimant has earned wage credits in seasonal 28.20 employment, benefits shall be payable only if the commissioner 28.21 finds that the claimant has earned wage credits in 15 or more 28.22 calendar weeks equal to or in excess of 30 times the claimant's 28.23 weekly benefit amount, in employment which is not seasonal, in 28.24 addition to any wage credits in seasonal employment. For 28.25 purposes of this subdivision, "seasonal employment" means 28.26 employment with a single employer in the recreation or tourist 28.27 industry which is available with the employer for 15 consecutive 28.28 weeks or less each calendar year. 28.29 (b) Wages paid in seasonal employment are not available for 28.30 benefit purposes during weeks in which there is no seasonal 28.31 employment available with the employer. 28.32 Subd. 11. [BUSINESS OWNERS.] Wages paid by an employing 28.33 unit may not be used for benefit purposes by any claimant who: 28.34 (1) individually, jointly, or in combination with the 28.35 claimant's spouse, parent, or child owns or controls directly or 28.36 indirectly 25 percent or more interest in the employing unit, or 29.1 is the spouse, parent, or minor child of any individual who owns 29.2 or controls directly or indirectly 25 percent or more interest 29.3 in the employing unit; and 29.4 (2) is not permanently separated from employment. 29.5 This subdivision is effective when the claimant has been 29.6 paid four times the claimant's weekly benefit amount in the 29.7 current benefit year. 29.8 Sec. 19. Minnesota Statutes 1995 Supplement, section 29.9 268.09, subdivision 1, is amended to read: 29.10 Subdivision 1. [DISQUALIFYING CONDITIONS.] An individualA 29.11 claimant separated from any employment under paragraph (a), (b), 29.12 or (d) shall be disqualified for waiting week credit and 29.13 benefits. For separations under paragraphs (a) and (b), the 29.14 disqualification shall continue until four calendar weeks have 29.15 elapsed following the individual'sclaimant's separation and the 29.16 individualclaimant has earned eight times the individual's29.17 claimant's weekly benefit amount in insured work. 29.18 (a) [VOLUNTARY LEAVE.] The individualclaimant voluntarily 29.19 and without good cause attributable to the employer discontinued 29.20 employment with such employer. For the purpose of this 29.21 paragraph, a separation from employment by reason of its 29.22 temporary nature or for inability to pass a test or for 29.23 inability to meet performance standards necessary for 29.24 continuation of employment shall not be deemed voluntary. 29.25 A separation shall be for good cause attributable to the 29.26 employer if it occurs as a consequence of sexual harassment. 29.27 Sexual harassment means unwelcome sexual advances, requests for 29.28 sexual favors, sexually motivated physical contact or other 29.29 conduct or communication of a sexual nature when: (1) the 29.30 employee'sclaimant's submission to such conduct or 29.31 communication is made a term or condition of the employment, (2) 29.32 the employee'sclaimant's submission to or rejection of such 29.33 conduct or communication is the basis for decisions affecting 29.34 employment, or (3) such conduct or communication has the purpose 29.35 or effect of substantially interfering with an individual'sa 29.36 claimant's work performance or creating an intimidating, 30.1 hostile, or offensive working environment and the employer knows 30.2 or should know of the existence of the harassment and fails to 30.3 take timely and appropriate action. 30.4 (b) [DISCHARGE FOR MISCONDUCT.] The individualclaimant 30.5 was discharged for misconduct, not amounting to gross misconduct 30.6 connected with workemployment or for misconduct which 30.7 interferes with and adversely affects employment. 30.8 (c) [EXCEPTIONS TO DISQUALIFICATION.] An individualA 30.9 claimant shall not be disqualified under paragraphs (a) and (b) 30.10 under any of the following conditions: 30.11 (1) the individualclaimant voluntarily discontinued 30.12 employment to accept employment offering substantially better 30.13 conditions or substantially higher wages or both; 30.14 (2) the individualclaimant is separated from employment 30.15 due to personal, serious illness provided that such individual30.16 hasthe claimant made reasonable efforts to retain employment. 30.17 An individualA claimant who is separated from employment 30.18 due to the individual'sclaimant's illness of chemical 30.19 dependency which has been professionally diagnosed or for which 30.20 the individualclaimant has voluntarily submitted to treatment 30.21 and who fails to make consistent efforts to maintain the 30.22 treatment the individualclaimant knows or has been 30.23 professionally advised is necessary to control that illness has 30.24 not made reasonable efforts to retain employment. 30.25 (3) the individualclaimant accepts workemployment from a 30.26 base period employer which involves a change in location of work30.27 employment so that said workemployment would not have been 30.28 deemed to be suitable workemployment under the provisions of 30.29 subdivision 2 and within a period of 13 weeks from the 30.30 commencement of said workemployment voluntarily discontinues 30.31 employment due to reasons which would have caused the 30.32 workemployment to be unsuitable under the provision of said 30.33 subdivision 2; 30.34 (4) the individualclaimant left employment because of 30.35 reaching mandatory retirement age and was 65 years of age or 30.36 older; 31.1 (5) the individualclaimant is terminated by the employer 31.2 because the individualclaimant gave notice of intention to 31.3 terminate employment within 30 days. This exception shall be 31.4 effective only through the calendar week which includes the date 31.5 of intended termination, provided that this exception shall not 31.6 result in the payment of benefits for any week for which the 31.7 individualclaimant receives the individual'sclaimant's normal 31.8 wage or salary which is equal to or greater than the weekly 31.9 benefit amount; 31.10 (6) the individualclaimant is separated from employment 31.11 due to the completion of an apprenticeship program, or segment 31.12 thereof, approved pursuant to chapter 178; 31.13 (7) the individualclaimant voluntarily leaves part-time 31.14 employment with a base period employer while continuing 31.15 full-time employment if the individualclaimant attempted to 31.16 return to part-time employment after being separated from the 31.17 full-time employment, and if substantially the same part-time 31.18 employment with the base period employer was not available for 31.19 the individualclaimant; 31.20 (8) the individualclaimant is separated from employment 31.21 based solely on a provision in a collective bargaining agreement 31.22 by which an individuala claimant has vested discretionary 31.23 authority in another to act on behalf of the individual31.24 claimant; 31.25 (9) except as provided in paragraph (d), separations from 31.26 part-time employment will not be disqualifying when the claim is31.27 based onclaimant has sufficient full-time employment to 31.28 establish a valid claimreemployment insurance account from 31.29 which the claimant has been separated for nondisqualifying 31.30 reasons; or 31.31 (10) the individualclaimant accepts employment which 31.32 represents a substantial departure from the individual's31.33 claimant's customary occupation and experience and would not be 31.34 deemed suitable workemployment as defined under subdivision 2, 31.35 paragraphs (a) and (b), and within a period of 30 days from the 31.36 commencement of that workemployment voluntarily discontinues 32.1 the employment due to reasons which would have caused the work32.2 employment to be unsuitable under the provisions of subdivision 32.3 2 or, if in commission sales, because of a failure to earn gross 32.4 commissions averaging an amount equal to or in excess of the 32.5 individual's weekly benefit amount. Other provisions 32.6 notwithstanding, applying this provision precludes the use of 32.7 these wage credits to clear a disqualification. 32.8 (d) [DISCHARGE FOR GROSS MISCONDUCT.] The individual32.9 claimant was discharged for gross misconduct connected with work32.10 employment or gross misconduct which interferes with and 32.11 adversely affects the individual'sclaimant's employment. For a 32.12 separation under this clause, the commissioner shall impose a 32.13 total disqualification for the benefit year and cancel all of 32.14 the wage credits from the last employer from whom the individual32.15 claimant was discharged for gross misconduct connected with work32.16 employment. 32.17 For the purpose of this paragraph "gross misconduct" is 32.18 defined as misconduct involving assault and battery or the 32.19 malicious destruction of property or arson or sabotage or 32.20 embezzlement or any other act, including theft, the commission 32.21 of which amounts to a felony or gross misdemeanor. For an 32.22 employee of a facility, as defined in section 626.5572, gross 32.23 misconduct also includes misconduct involving an act of patient 32.24 or resident abuse, financial exploitation, or recurring or 32.25 serious neglect, as defined in section 626.5572 and applicable 32.26 rules. 32.27 If an individuala claimant is convicted of a felony or 32.28 gross misdemeanor for the same act or acts of misconduct for 32.29 which the individualclaimant was discharged, the misconduct is 32.30 conclusively presumed to be gross misconduct if it was connected 32.31 with the individual's workclaimant's employment. 32.32 (e) [LIMITED OR NO CHARGE OF BENEFITS.] Benefits paid 32.33 subsequent to an individual'sa claimant's separation under any 32.34 of the foregoing paragraphs, excepting paragraphs (c)(3), 32.35 (c)(5), and (c)(8), shall not be used as a factor in determining 32.36 the future contribution rate of the employer from whose 33.1 employment such individualthe claimant separated. 33.2 Benefits paid subsequent to an individual's failure to33.3 accept an offer of suitable reemployment or to accept33.4 reemployment which offered substantially the same or better33.5 hourly wages and conditions of work as were previously provided33.6 by that employer, but was deemed unsuitable under subdivision 2,33.7 shall not be used as a factor in determining the future33.8 contribution rate of the employer whose offer of reemployment33.9 was not accepted or whose offer of reemployment was refused33.10 solely due to the distance of the available work from the33.11 individual's residence, the individual's own serious illness,33.12 the individual's other employment at the time of the offer, or33.13 if the individual is in training with the approval of the33.14 commissioner.33.15 Benefits paid by another state as a result of Minnesota33.16 transferring wage credits under the federally required combined33.17 wage agreement shall not be directly charged to either the33.18 taxpaying or reimbursing employer.33.19 (f) [ACTS OR OMISSIONS.] An individualA claimant who was 33.20 employed by an employer shall not be disqualified for benefits 33.21 under this subdivision for any acts or omissions occurring after 33.22 separation from employment with the employer. 33.23 (g) [DISCIPLINARY SUSPENSIONS.] An individualA claimant 33.24 shall be disqualified for waiting week credit and benefits for 33.25 the duration of any disciplinary suspension of 30 days or less 33.26 resulting from the individual'sclaimant's own misconduct. 33.27 Disciplinary suspensions of more than 30 days shall constitute a 33.28 discharge from employment. 33.29 Sec. 20. Minnesota Statutes 1994, section 268.09, 33.30 subdivision 2, is amended to read: 33.31 Subd. 2. [FAILURE TO APPLY FOR OR ACCEPT SUITABLE 33.32 WORKEMPLOYMENT OR REEMPLOYMENT.] An individualA claimant shall 33.33 be disqualified for waiting week credit and benefits during the 33.34 week of occurrence and until four calendar weeks have elapsed 33.35 following the refusal orfailure and the individualclaimant has 33.36 earned eight times the individual'sclaimant's weekly benefit 34.1 amount in insured work if the commissioner finds that 34.2 the individualclaimant has failed, without good cause, either34.3 (1) to apply for available, suitable workemployment of which 34.4 advised by an employer , the employment office,or the 34.5 commissioner; or (2) to accept suitable workemployment, or 34.6 suitable reemployment with a former employer, when offered , or34.7 to accept an offer of suitable reemployment from either a base34.8 period employer or an employer who provided employment following34.9 the base period but prior to the claim date. 34.10 Failure to apply or accept shall include avoidance of an 34.11 offer of suitable employment. Avoidance shall include, but is 34.12 not limited to, a claimant's refusal to respond or failure to 34.13 monitor potential offers communicated by voice mail, electronic 34.14 messaging, or other technology. Avoidance shall be found only 34.15 if the communication included a definite starting date and time, 34.16 location, wage level, and type of employment to be performed. 34.17 (a) In determining whether or not any workemployment is 34.18 suitable for an individuala claimant, the commissioner shall 34.19 consider the degree of risk involved to health, safety, and 34.20 morals, physical fitness and prior training, experience, length 34.21 of unemployment and prospects of securing local workemployment 34.22 in the individual'sclaimant's customary occupation, and the 34.23 distance of the available workemployment from the 34.24 individual'sclaimant's residence. 34.25 (b) Notwithstanding any other provisions of sections 268.03 34.26 to 268.231, no workemployment shall be deemed suitable, and 34.27 benefits shall not be denied thereunder to any otherwise 34.28 eligible individualclaimant for refusing to accept new work34.29 employment under any of the following conditions: 34.30 (1) if the position offered is vacant due directly to a 34.31 strike, lockout, or other labor dispute; 34.32 (2) if the wages, hours, or other conditions of the work34.33 employment offered are substantially less favorable to 34.34 the individualclaimant than those prevailing for similar work34.35 employment in the locality; 34.36 (3) if as a condition of being employed the individual35.1 claimant would be required to join a company union or to resign 35.2 from or refrain from joining any bona fide labor organization; 35.3 (4) if the individualclaimant is in training with the 35.4 approval of the commissioner. 35.5 (c) Benefits paid subsequent to a claimant's avoidance or 35.6 failure to accept an offer of suitable reemployment or 35.7 reemployment which offered substantially the same or better 35.8 hourly wages and conditions of employment as were previously 35.9 provided by that employer, but was deemed unsuitable under 35.10 paragraph (a) or because the claimant was in training with the 35.11 approval of the commissioner, shall not be used as a factor in 35.12 determining the future contribution rate of the employer whose 35.13 offer was avoided or not accepted. 35.14 This paragraph shall not apply when the failure or 35.15 avoidance merely delayed acceptance of the offer and the 35.16 claimant later began full-time employment with the employer, or 35.17 when the employment was temporary in nature and the claimant 35.18 accepted other temporary employment from the employer within 30 35.19 days of the date of refusal or avoidance. 35.20 Sec. 21. [268.101] [DETERMINATIONS ON DISQUALIFICATION AND 35.21 ELIGIBILITY.] 35.22 Subdivision 1. [NOTIFICATION.] (a) Upon application for a 35.23 reemployment insurance account each claimant shall report the 35.24 name of all employers and the reasons for no longer working for 35.25 all employers during the claimant's last 30 days of employment. 35.26 (b) Upon establishment of a reemployment insurance account, 35.27 the commissioner shall notify all employers the claimant was 35.28 employed by during the claimant's last 30 days of employment 35.29 prior to making an application and all base period employers and 35.30 determined successors to those employers under section 268.06, 35.31 subdivision 22. An employer so notified shall have ten days 35.32 after the mailing of the notice to make a protest in a manner 35.33 prescribed by the commissioner raising any issue of 35.34 disqualification or any issue of eligibility. An employer so 35.35 notified shall be informed of the effect that failure to timely 35.36 protest may have on the employer charges. A protest made more 36.1 than ten days after mailing of the notice shall be considered 36.2 untimely. 36.3 (c) Each claimant shall report any employment, loss of 36.4 employment, and offers of employment received, for those weeks 36.5 the claimant made continued claims for benefits. Each claimant 36.6 who stops making continued claims during the benefit year and 36.7 later commences making continued claims during that same benefit 36.8 year shall report the name of any employer the claimant worked 36.9 for during the period between the making of continued claims, up 36.10 to a period of the last 30 days of employment, and the reason 36.11 the claimant stopped working for the employer. The claimant 36.12 shall report any offers of employment during the period between 36.13 the making of continued claims. Those employers from which the 36.14 claimant has reported a loss of employment or an offer of 36.15 employment pursuant to this paragraph shall be notified. An 36.16 employer so notified shall have ten days after the mailing of 36.17 the notice to make a protest in a manner prescribed by the 36.18 commissioner raising any issue of disqualification or any issue 36.19 of eligibility. An employer so notified shall be informed of 36.20 the effect that failure to timely protest may have on the 36.21 employer charges. A protest made more than ten days after 36.22 mailing of the notice shall be considered untimely. 36.23 Subd. 2. [DISQUALIFICATION DETERMINATION.] (a) The 36.24 commissioner shall promptly determine any issue of 36.25 disqualification raised by a timely protest made by an employer, 36.26 and mail to the claimant and that employer at the last known 36.27 address a determination of disqualification or a determination 36.28 of nondisqualification, as is appropriate. The determination 36.29 shall set forth the effect on employer charges. 36.30 (b) The commissioner shall promptly determine any issue of 36.31 disqualification raised by information obtained from a claimant 36.32 pursuant to subdivision 1, paragraph (a) or (c), and mail to the 36.33 claimant and employer at the last known address a determination 36.34 of disqualification or a determination of nondisqualification, 36.35 as is appropriate. 36.36 (c) The commissioner shall promptly determine any issue of 37.1 disqualification raised by an untimely protest made by an 37.2 employer and mail to the claimant and that employer at the last 37.3 known address a determination of disqualification or a 37.4 determination of nondisqualification as is appropriate. 37.5 Notwithstanding section 268.09, any disqualification imposed as 37.6 a result of determination issued pursuant to this paragraph 37.7 shall commence the Sunday two weeks following the week in which 37.8 the untimely protest was made. Notwithstanding any provisions 37.9 to the contrary, any relief of employer charges as a result of a 37.10 determination issued pursuant to this paragraph shall commence 37.11 the Sunday two weeks following the week in which the untimely 37.12 protest was made. 37.13 (d) If any time within 24 months from the establishment of 37.14 a reemployment insurance account the commissioner finds that a 37.15 claimant failed to report any employment, loss of employment, or 37.16 offers of employment received which were required to be provided 37.17 by the claimant under this section, the commissioner shall 37.18 promptly determine any issue of disqualification on that loss of 37.19 employment or offer of employment and mail to the claimant and 37.20 involved employer at the last known address a determination of 37.21 disqualification or a determination of nondisqualification, as 37.22 is appropriate. The determination shall set forth the effect on 37.23 employer charges. 37.24 This paragraph shall not apply if the involved employer was 37.25 notified and given the opportunity to protest pursuant to 37.26 subdivision 1, paragraph (b) or (c). 37.27 (e) A determination of disqualification or a determination 37.28 of nondisqualification shall be final unless a written appeal is 37.29 filed by the claimant or notified employer within 15 days after 37.30 mailing of the determination to the last known address. The 37.31 determination shall contain a prominent statement indicating in 37.32 clear language the method of appealing, the time within which an 37.33 appeal must be made, and the consequences of not appealing. 37.34 Proceedings on the appeal shall be conducted in accordance with 37.35 section 268.105. 37.36 (f) An issue of disqualification for purposes of this 38.1 section shall include any question of denial of benefits under 38.2 section 268.09, any question of an exception to disqualification 38.3 under section 268.09, subdivision 1, paragraph (c), any question 38.4 of benefit charge to an employer, and any question of an 38.5 otherwise imposed disqualification for which a claimant has had 38.6 requalifying earnings. 38.7 (g) Notwithstanding the requirements of this subdivision, 38.8 the commissioner is not required to mail to a claimant a 38.9 determination of nondisqualification where the claimant has had 38.10 requalifying earnings sufficient to satisfy any otherwise 38.11 potential disqualification. 38.12 Subd. 3. [ELIGIBILITY DETERMINATION.] (a) The commissioner 38.13 shall promptly determine any issue of eligibility raised by a 38.14 timely protest made by an employer and mail to the claimant and 38.15 that employer at the last known address a determination of 38.16 eligibility or a determination of ineligibility, as is 38.17 appropriate. 38.18 (b) The commissioner shall promptly determine any issue of 38.19 eligibility raised by information obtained from a claimant and 38.20 mail to the claimant and any involved employer at the last known 38.21 address a determination of eligibility or a determination of 38.22 ineligibility, as is appropriate. 38.23 (c) The commissioner shall promptly determine any issue of 38.24 eligibility raised by an untimely protest made by an employer 38.25 and mail to the claimant and that employer at the last known 38.26 address a determination of eligibility or a determination of 38.27 ineligibility, as is appropriate. Any denial of benefits 38.28 imposed as a result of determination issued pursuant to this 38.29 paragraph shall commence the Sunday two weeks following the week 38.30 in which the untimely protest was made. 38.31 (d) If any time within 24 months from the establishment of 38.32 a reemployment insurance account the commissioner finds the 38.33 claimant failed to provide requested information regarding the 38.34 claimant's eligibility for benefits, the commissioner shall 38.35 determine the issue of eligibility and mail to the claimant and 38.36 any involved employer at the last known address a determination 39.1 of eligibility or a determination of ineligibility, as is 39.2 appropriate. 39.3 This paragraph shall not apply if the involved employer was 39.4 notified, was aware, or should have been aware of the issue of 39.5 eligibility at the time of notification, and was given the 39.6 opportunity to protest pursuant to subdivision 1, paragraph (b) 39.7 or (c). 39.8 (e) A determination of eligibility or determination of 39.9 ineligibility shall be final unless a written appeal is filed by 39.10 the claimant or notified employer within 15 days after mailing 39.11 of the determination to the last known address. The 39.12 determination shall contain a prominent statement indicating in 39.13 clear language the method of appealing, the time within which an 39.14 appeal must be made, and the consequences of not appealing. 39.15 Proceedings on the appeal shall be conducted in accordance with 39.16 section 268.105. 39.17 (f) An issue of eligibility for purposes of this section 39.18 shall include any question of denial of benefits under sections 39.19 268.071, 268.072, 268.073, 268.074, and 268.08. 39.20 Subd. 4. [AMENDED DETERMINATION.] Unless an appeal has 39.21 been filed, the commissioner, on the commissioner's own motion, 39.22 upon finding that an error has occurred in the issuing of a 39.23 determination of disqualification or nondisqualification or a 39.24 determination of eligibility or ineligibility, may issue an 39.25 amended determination. Any amended determination shall be 39.26 mailed to the claimant and any involved employer at the last 39.27 known address. Any amended determination shall be final unless 39.28 a written appeal is filed by the claimant or notified employer 39.29 within 15 days after mailing of the amended determination to the 39.30 last known address. Proceedings on the appeal shall be 39.31 conducted in accordance with section 268.105. 39.32 Subd. 5. [PROMPT PAYMENT.] If a determination or amended 39.33 determination awards benefits, the benefits shall be promptly 39.34 paid regardless of any appeal period or any appeal having been 39.35 filed. 39.36 Subd. 6. [OVERPAYMENT.] A determination or amended 40.1 determination which holds a claimant disqualified or ineligible 40.2 for benefits for periods a claimant has been paid benefits is an 40.3 overpayment of those benefits subject to section 268.18. 40.4 Sec. 22. Minnesota Statutes 1995 Supplement, section 40.5 268.105, is amended by adding a subdivision to read: 40.6 Subd. 3a. [DECISIONS.] (a) If a reemployment insurance 40.7 judge's decision or the commissioner's decision awards benefits, 40.8 the benefits shall be promptly paid regardless of any appeal 40.9 period or any appeal having been filed. 40.10 (b) If a reemployment insurance judge's decision modifies 40.11 or reverses a determination awarding benefits, any benefits paid 40.12 pursuant to the determination is an overpayment of those 40.13 benefits subject to section 268.18. 40.14 (c) Except as provided in paragraph (d), if a 40.15 commissioner's decision modifies or reverses a reemployment 40.16 insurance judge's decision awarding benefits, any benefits paid 40.17 pursuant to the reemployment insurance judge's decision is an 40.18 overpayment of those benefits subject to section 268.18. 40.19 (d) If a reemployment insurance judge's decision affirms a 40.20 determination on an issue of disqualification awarding benefits 40.21 or the commissioner affirms a reemployment insurance judge's 40.22 decision on an issue of disqualification awarding benefits, the 40.23 decision, if finally reversed, shall result in a 40.24 disqualification from benefits only for weeks following the week 40.25 in which the decision reversing the award of benefits was issued 40.26 and benefits paid for that week and previous weeks shall neither 40.27 be deemed overpaid nor shall the benefits paid be considered in 40.28 determining the employer's future contribution rate under 40.29 section 268.06. 40.30 (e) If the commissioner, pursuant to subdivision 3, remands 40.31 a matter to a reemployment insurance judge for the taking of 40.32 additional evidence, the prior reemployment insurance judge's 40.33 decision shall continue to be enforced until new findings of 40.34 fact and decision are made by a reemployment insurance judge. 40.35 Sec. 23. Minnesota Statutes 1994, section 268.12, is 40.36 amended by adding a subdivision to read: 41.1 Subd. 9a. [TESTIMONIAL POWERS.] (1) In the discharge of 41.2 the duties imposed by sections 268.03 to 268.23, the 41.3 commissioner, appeal referee, or any duly authorized 41.4 representative of the commissioner, shall have power to 41.5 administer oaths and affirmations, take depositions, certify to 41.6 official acts, and issue subpoenas to compel the attendance of 41.7 witnesses and the production of books, papers, correspondence, 41.8 memoranda, and other records deemed necessary as evidence in 41.9 connection with a disputed claim or the administration of these 41.10 sections; 41.11 (2) Witnesses, other than interested parties or officers 41.12 and employees of an employing unit which is an interested party, 41.13 subpoenaed pursuant to this subdivision or sections 268.03 to 41.14 268.23, shall be allowed fees the same as witness fees in civil 41.15 actions in district court, which fees need not be paid in 41.16 advance of the time of giving of testimony, and such fees of 41.17 witnesses so subpoenaed shall be deemed part of the expense of 41.18 administering these sections; 41.19 (3) In case of contumacy by, or refusal to obey, a subpoena 41.20 issued to any person, any court of this state within the 41.21 jurisdiction of which the inquiry is carried on or within the 41.22 jurisdiction of which such person guilty of contumacy or refusal 41.23 to obey is found or resides or transacts business, upon 41.24 application by the commissioner, or referee, or any duly 41.25 authorized representative of the commissioner, shall have 41.26 jurisdiction to issue to such person an order requiring such 41.27 person to appear before the commissioner, the chair of an appeal 41.28 tribunal, referee, or any duly authorized representative of the 41.29 commissioner, there to produce evidence if so ordered or there 41.30 to give testimony relative to the matter under investigation or 41.31 in question; and any failure to obey such order of the court may 41.32 be punished by the court as a contempt thereof. 41.33 Sec. 24. Minnesota Statutes 1994, section 268.16, 41.34 subdivision 4, is amended to read: 41.35 Subd. 4. [COMPROMISE AGREEMENTS.] The commissioner, or any41.36 officer or employee of the state department of economic security42.1 authorized in writing by the commissioner, is authorized to42.2 enter into an agreement in writing with any employer relating to42.3 the liability of such employer in respect to delinquent42.4 contributions, reimbursements, interest, penalties, and costs.42.5 The commissioner may also enter into an agreement, with respect42.6 to liability for delinquent contributions, interest, penalties42.7 and costs, with any employer who has never paid any42.8 contributions to the fund and such failure to pay contributions42.9 was, in the opinion of the commissioner, due to an honest belief42.10 on the part of such employer that the employer was not covered42.11 by sections 268.03 to 268.231. Any agreements made under this42.12 subdivision shall be subject to the approval of the attorney42.13 general.42.14 If such agreements are approved by the commissioner and the42.15 attorney general, the same shall be final and conclusive; and,42.16 except upon a showing of fraud or malfeasance or42.17 misrepresentation of a material fact, the case shall not be42.18 reopened as to the matters agreed upon or the agreement modified42.19 by any officer, employee or agent of the state; and, in any42.20 suit, action or proceeding, such agreement, or any42.21 determination, assessment, collection, payment, abatement,42.22 refund, or credit made in accordance therewith, shall not be42.23 annulled, modified, set aside or destroyed.42.24 (a) The commissioner, or an authorized representative, may 42.25 compromise in whole or in part any action, determination, or 42.26 decision which affects an employer and which has become final 42.27 during the preceding 24 months. 42.28 (b) The commissioner, or an authorized representative, may 42.29 at any time compromise delinquent employer contributions, 42.30 reimbursements, interest, penalties, and costs under this 42.31 section. 42.32 (c) Any compromise under paragraphs (a) and (b) shall be by 42.33 written agreement signed by the employing unit and the 42.34 commissioner or authorized representative. 42.35 The department shall enter into a compromise agreement only 42.36 if it is in the best interest of the state of Minnesota. The 43.1 written agreement must set forth the reason and all the terms of 43.2 the agreement. Any agreements under this section must be 43.3 approved by an attorney who is a regularly salaried employee of 43.4 the department and who has been designated by the commissioner 43.5 for that purpose. 43.6 Sec. 25. Minnesota Statutes 1995 Supplement, section 43.7 268.161, subdivision 9, is amended to read: 43.8 Subd. 9. [PERSONAL LIABILITY.] Any officer, director, or 43.9 employee of a corporation or any manager, governor, member, or 43.10 employee of a limited liability company which is an employer 43.11 under sections 268.03 to 268.231, who 43.12 (1) either individually or jointly with others, have or 43.13 should have had control of, supervision over, or responsibility 43.14 for the filing of the tax reports or the making of payments 43.15 under this chapter, and 43.16 (2) willfully fails to file the reports or to make payments 43.17 as required, shall be personally liable for contributions or 43.18 reimbursement, including interest, penalties, and costs in the 43.19 event the corporationemployer does not pay to the department 43.20 those amounts for which the employer is liable. 43.21 For purposes of this subdivision, "willfulness" means that 43.22 the facts demonstrate that the responsible party used or allowed 43.23 the use of corporate or company assets to pay other creditors 43.24 knowing that the payments required under this chapter were 43.25 unpaid. An evil motive or intent to defraud is not necessary to 43.26 satisfy the willfulness requirement. 43.27 Any partner of a limited liability partnership, or 43.28 professional limited liability partnership, shall be jointly and 43.29 severally liable for contributions or reimbursement, including 43.30 interest, penalties, and costs in the event the employer does 43.31 not pay to the department those amounts for which the employer 43.32 is liable. 43.33 Any personal representative of the estate of a decedent or 43.34 fiduciary who voluntarily distributes the assets filed therein 43.35 without reserving a sufficient amount to pay the contributions, 43.36 interest, and penalties due pursuant to this chapter shall be 44.1 personally liable for the deficiency. 44.2 The personal liability of any person as provided herein 44.3 shall survive dissolution, reorganization, receivership, or 44.4 assignment for the benefit of creditors. For the purposes of 44.5 this subdivision, all wages paid by the corporationemployer 44.6 shall be considered earned from the person determined to be 44.7 personally liable. 44.8 An official designated by the commissioner shall make an 44.9 initial determination as to the personal liability under this 44.10 section. The determination shall be final unless the person 44.11 found to be personally liable shall within 30 days after mailing 44.12 of notice of determination to the person's last known address 44.13 file a written protest. Upon receipt of the protest, the 44.14 official shall reexamine the personal liability determination 44.15 and either affirm or redetermine the assessment of personal 44.16 liability and a notice of the affirmation or redetermination 44.17 shall be mailed to the person's last known address. The 44.18 affirmation or redetermination shall become final unless a 44.19 written appeal is filed within ten30 days of the date of 44.20 mailing. Proceedings on the appeal shall be conducted in 44.21 accordance with section 268.105. 44.22 Sec. 26. Minnesota Statutes 1994, section 268.164, 44.23 subdivision 1, is amended to read: 44.24 Subdivision 1. [UNEMPLOYMENT CLEARANCE REQUIRED.] The 44.25 state or a political subdivision of the state may not issue, 44.26 transfer, or renew, and must revoke a license for the conduct of 44.27 any profession, trade, or business, if the commissioner notifies 44.28 the licensing authority that the applicant owes the state 44.29 delinquent contributions, reimbursements, or benefit 44.30 overpayments. The commissioner may not notify the licensing 44.31 authority unless the applicant owes $500 or more to the 44.32 reemployment insurance fund. A licensing authority that has 44.33 received a notice from the commissioner may issue, transfer, or44.34 renew, or not revoke the applicant's license only if (a) the 44.35 commissioner issues an unemployment tax clearance certificate; 44.36 and (b) the commissioner or the applicant forwards a copy of the 45.1 clearance to the licensing authority. 45.2 Sec. 27. Minnesota Statutes 1994, section 268.164, 45.3 subdivision 2, is amended to read: 45.4 Subd. 2. [ISSUANCE OF CLEARANCE.] The commissioner may 45.5 issue an unemployment tax clearance certificate only if (a) the 45.6 applicant does not owe the state any delinquent contributions, 45.7 reimbursements, or benefit overpayments; or (b) the applicant 45.8 has entered into a payment agreement to liquidate the delinquent 45.9 contributions, reimbursements, or benefit overpayments and is 45.10 current with all the terms of that payment agreement. 45.11 For the purposes of this section, "applicant" means: (a) 45.12 an individual if the license is issued to or in the name of an 45.13 individual, or the corporation, limited liability company, or 45.14 partnership if the license is issued to or in the name of a 45.15 corporation, limited liability company, or partnership; or (b) 45.16 an officer of a corporation, manager of a limited liability 45.17 company, or a member of a partnership, or an individual who is 45.18 liable for the delinquent contributions, reimbursements, or 45.19 benefit overpayments, either for the entity for which the 45.20 license is at issue or for another entity for which the 45.21 liability was incurred, or personally as a licensee. In the 45.22 case of a license transfer, "applicant" means both the 45.23 transferor and the transferee of the license. "Applicant" also 45.24 means any holder of a license. 45.25 Sec. 28. [268.167] [GARNISHMENT FOR DELINQUENT TAXES AND 45.26 BENEFIT OVERPAYMENTS.] 45.27 (a) The commissioner or an authorized representative may, 45.28 within six years after the date of assessment of the tax or 45.29 determination of benefit overpayment, or if a lien has been 45.30 filed under section 268.161, within the statutory period for 45.31 enforcement of the lien, give notice to any employer that an 45.32 employee of that employer owes delinquent unemployment taxes or 45.33 reimbursements including penalties, interest, and costs, or has 45.34 an unpaid benefit overpayment. The commissioner can proceed 45.35 under this subdivision only if the tax or benefit overpayment is 45.36 uncontested or if the time for appeal has expired. The 46.1 commissioner shall not proceed under this subdivision until the 46.2 expiration of 30 days after mailing to the debtor employee, at 46.3 the debtor's last known address, a written notice of garnishment. 46.4 The notice shall list: 46.5 (1) the amount of taxes, reimbursements, interest, 46.6 penalties, costs, or benefit overpayment due from the debtor; 46.7 (2) demand for immediate payment; and 46.8 (3) the commissioner's intention to serve a garnishment on 46.9 the debtor's employer pursuant to this subdivision. 46.10 The effect of the notice shall expire 180 days after it has been 46.11 mailed to the debtor provided that the notice may be renewed by 46.12 mailing a new notice which is in accordance with this 46.13 subdivision. The renewed notice shall have the effect of 46.14 reinstating the priority of the original claim. The notice to 46.15 the debtor shall be in substantially the same form as that 46.16 provided in section 571.72. The notice shall further inform the 46.17 debtor of the wage exemptions contained in section 550.37, 46.18 subdivision 14. If no statement of exemption is received by the 46.19 commissioner within 30 days from the mailing of the notice, the 46.20 commissioner may proceed under this subdivision. The notice to 46.21 the debtor's employer may be served by mail or by delivery by an 46.22 employee of the commissioner and shall be in substantially the 46.23 same form as provided in section 571.75. Upon receipt of the 46.24 notice, the employer shall retain the earnings due or to become 46.25 due to the employee, the total amount shown by the notice, 46.26 subject to the provisions of section 571.922. The employer 46.27 shall continue to retain each pay period until the notice is 46.28 released by the commissioner under section 268.161, subdivision 46.29 8. Upon receipt of notice by the employer, the claim of the 46.30 commissioner shall have priority over any subsequent 46.31 garnishments or wage assignments. The commissioner may arrange 46.32 between the employer and employee for retaining a portion of the 46.33 total amount due the employee each pay period, until the total 46.34 amount shown by the notice plus accrued interest has been 46.35 retained. 46.36 The "earnings due" any employee is defined in accordance 47.1 with section 571.921. The maximum garnishment allowed under 47.2 this subdivision for any one pay period shall be decreased by 47.3 any amounts payable pursuant to a garnishment action with 47.4 respect to which the employer was served prior to being served 47.5 with the notice of delinquency, and any amounts covered by any 47.6 irrevocable and previously effective assignment of wages; the 47.7 employer shall give notice to the commissioner of the amounts 47.8 and the facts relating to such assignment within ten days after 47.9 the service of the notice of delinquency on the form provided by 47.10 the commissioner as noted in this subdivision. 47.11 (b) If the employee ceases to be employed by the employer 47.12 before the full amount set forth in a notice of garnishment plus 47.13 accrued interest has been retained, the employer shall 47.14 immediately notify the commissioner in writing of the 47.15 termination date of the employee and the total amount retained. 47.16 No employer may discharge or otherwise discipline any employee 47.17 by the reason of the fact that the commissioner has proceeded 47.18 under this subdivision. If an employer discharges an employee 47.19 in violation of this provision, the employee shall have the same 47.20 remedy as provided in section 571.927, subdivision 2. 47.21 (c) Within ten days after the expiration of such pay 47.22 period, the employer shall remit to the commissioner, on a form 47.23 and in the manner prescribed by the commissioner, the amount 47.24 retained during each pay period under this subdivision. 47.25 (d) Paragraphs (a) to (c), except provisions imposing a 47.26 liability on the employer for failure to retain or remit, shall 47.27 apply to cases in which the employer is the United States or any 47.28 instrumentality thereof or this state or any political 47.29 subdivision thereof. 47.30 (e) The commissioner shall refund to the employee excess 47.31 amounts retained from the employee under this subdivision. If 47.32 any excess results from payments by the employer because of 47.33 willful failure to retain or remit as prescribed in paragraph 47.34 (c), the excess attributable to the employer's payment shall be 47.35 refunded to the employer. 47.36 (f) Employers required to retain delinquent amounts under 48.1 this subdivision shall not be required to compute any additional 48.2 interest, costs, or other charges to be retained. 48.3 (g) The collection remedy provided to the commissioner by 48.4 this subdivision shall have the same legal effect as if it were 48.5 a levy made pursuant to section 268.161. 48.6 Sec. 29. Minnesota Statutes 1995 Supplement, section 48.7 268.18, subdivision 1, is amended to read: 48.8 Subdivision 1. [ERRONEOUS PAYMENTS.] (a) Any claimant for 48.9 benefits who, by reason of the claimant's own mistake or through 48.10 the error of any individual engaged in the administration of 48.11 sections 268.03 to 268.231 or because of a determination or, 48.12 redetermination, or amended determination issued pursuant to 48.13 section 268.10, subdivision 2268.07 or 268.101, has received 48.14 any sum as benefits to which the claimant was not entitled under 48.15 these sections, shall promptly return those benefits in cash to 48.16 the nearest office of the Minnesota department of economic 48.17 security. If the claimant fails to return the benefits, the 48.18 department of economic security shall, as soon as it discovers 48.19 the erroneous payment, determine the amount due and notify the 48.20 individual to return it. 48.21 (b) Unless the claimant files a written appeal with the 48.22 department of economic security within 15 days after the mailing 48.23 of the notice of determination to the claimant's last known 48.24 address or personal delivery of the notice, the determination 48.25 shall become final. Proceedings on the appeal shall be 48.26 conducted in accordance with section 268.105. 48.27 (c) The commissioner of the department of economic security 48.28 is authorized to deduct from any future benefits payable to the 48.29 claimant under these sections in either the current or any 48.30 subsequent benefit year an amount equivalent to the overpayment 48.31 determined, except that no single deduction shall exceed 50 48.32 percent of the amount of the payment from which the deduction is 48.33 made, or the overpayment may be collected the same as 48.34 contributions or reimbursements under section 268.161. If a 48.35 claimant has been overpaid benefits under the law of another 48.36 state due to error and that state certifies to the department 49.1 the facts involved and that the individual is liable under its 49.2 law to repay the benefits and requests the department to recover 49.3 the overpayment, the commissioner is authorized to deduct from 49.4 future benefits payable to the claimant in either the current or 49.5 any subsequent benefit year an amount equivalent to the amount 49.6 of overpayment determined by that state, except that no single 49.7 deduction shall exceed 50 percent of the amount of the payment 49.8 from which the deduction is made. Benefits paid for weeks more 49.9 than three years prior to the discovery of error are not 49.10 erroneous payments. 49.11 (d) Notwithstanding paragraph (a), the commissioner shall 49.12 waive recovery of an overpayment if a reemployment insurance 49.13 judge or the commissioner's representative determines the 49.14 overpayment resulted from an administrative failure to identify 49.15 that a claimant's wage credits were not earned in covered 49.16 employment. 49.17 Sec. 30. Minnesota Statutes 1994, section 268.23, is 49.18 amended to read: 49.19 268.23 [SEVERABLE.] 49.20 In the event that the United States department of labor 49.21 shall determine that any provision of sections 268.03 to 49.22 268.231, or any other provision of Minnesota Statutes relating 49.23 to reemployment insurance, is not in conformity with various 49.24 provisions of the Federal Internal Revenue Code or the Social 49.25 Security Act then such provision shall have no force or effect 49.26 for any purpose but if any such provision of sections 268.03 to49.27 268.231, or the application thereof to any person or 49.28 circumstances, is held invalid, the remainder of said sections 49.29 and the application of such provision to other persons or 49.30 circumstances shall not be affected thereby. 49.31 Sec. 31. [REVISOR INSTRUCTION.] 49.32 In the next edition of Minnesota Statutes, the revisor 49.33 shall change the phrase 268.03 to 268.231 to 268.03 to 268.23, 49.34 wherever it appears. 49.35 Sec. 32. [REPEALER.] 49.36 (a) Minnesota Statutes 1994, section 268.04, subdivisions 50.1 18 and 24, are repealed. 50.2 (b) Minnesota Statutes 1994, section 268.10, subdivision 1, 50.3 and Minnesota Statutes 1995 Supplement, section 268.10, 50.4 subdivision 2, are repealed. 50.5 (c) Minnesota Statutes 1994, section 268.231, is repealed. 50.6 (d) Laws 1994, chapter 503, section 5, is repealed. 50.7 Sec. 33. [EFFECTIVE DATE.] 50.8 Sections 1 to 3, 5, 7 to 16, 18 to 22, 29, and 32 are 50.9 effective July 1, 1996. 50.10 Sections 4, 6, 24 to 28, 30, and 31 are effective the day 50.11 following final enactment. 50.12 Section 17 is effective December 31, 1996.