SF 1919

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's a claimant's benefit 
  1.27  year; except:  (a) if during the base period an individual a 
  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 individual a claimant whose own serious illness caused a 
  1.31  loss of work for which the individual claimant 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's claimant's base period shall 
  2.2   be lengthened to the extent stated as follows: 
  2.3      (1) if an individual a 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 individual a 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 individual a 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 individual a 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 individual claimant subject to clause (a) 
  2.21  has insufficient wage credits to establish a valid claim 
  2.22  reemployment insurance account, the individual claimant may 
  2.23  request a determination of validity a reemployment insurance 
  2.24  account using an alternate base period of the last four 
  2.25  completed calendar quarters preceding the first day of an 
  2.26  individual's a claimant's benefit year.  This alternate base 
  2.27  period may be used by an individual a claimant only once during 
  2.28  any five calendar year period to establish a valid claim 
  2.29  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 claim reemployment 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 individual claimant 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 benefits claimant 
  3.6   establishes a reemployment insurance account.  For 
  3.7   individuals claimants with a claim reemployment 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 benefits claimant establishes 
  3.12  a reemployment insurance account.  A benefit year, once 
  3.13  established, can be withdrawn if benefits have not been paid, 
  3.14  and benefit credit has not been claimed, unless otherwise 
  3.15  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 individual a claimant pursuant to a valid claim 
  4.15  reemployment insurance account shall be charged against the 
  4.16  account of the individual's claimant's base period employer as 
  4.17  and when paid, except that benefits paid to an individual a 
  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 individual claimant during the 
  4.23  individual's claimant's base period; (2) during the individual's 
  4.24  claimant's benefit year, continues to provide the 
  4.25  individual claimant 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 party involved employer because 
  4.33  of the individual's claimant'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 so chargeable 
  5.1   against each base period employer's account shall bear the same 
  5.2   ratio to the total benefits paid to an individual a claimant as 
  5.3   the base period wage credits of the individual claimant earned 
  5.4   from such employer bear to the total amount of base period wage 
  5.5   credits of the individual claimant earned from all 
  5.6   the individual's claimant'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 individual claimant would have been eligible for 
  5.17  disaster unemployment assistance with respect to that 
  5.18  unemployment but for the individual's claimant'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 days 18 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 ten 30 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 PAYABLE REEMPLOYMENT INSURANCE ACCOUNT.] 
  8.29     Subdivision 1.  [PAID FROM THE FUND APPLICATION; 
  8.30  DETERMINATION.] All benefits provided herein shall be payable 
  8.31  from the fund and shall be paid through employment offices, in 
  8.32  accordance with such rules as the commissioner may 
  8.33  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 thereafter reemployment 
  9.32  insurance account, an individual a claimant must have:  
  9.33     (1) wage credits in two or more calendar quarters of the 
  9.34  individual's claimant'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 individual a claimant 
 10.5   has sufficient wage credits and weeks worked within the base 
 10.6   period to establish a valid claim reemployment insurance 
 10.7   account, the weekly benefit amount payable to the individual 
 10.8   claimant during the individual's claimant's benefit year shall 
 10.9   be equal to 1/26 of the individual's claimant'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 benefit 
 10.13  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 filed 
 10.28  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 which 
 11.17  begins reemployment insurance accounts established subsequent to 
 11.18  June 30 of each year.  
 11.19     (f) Any eligible individual shall be entitled during The 
 11.20  maximum benefit amount payable for any benefit year to a total 
 11.21  amount of benefits shall equal to one-third of the individual's 
 11.22  claimant's total base period wage credits rounded to the next 
 11.23  lower dollar, not to exceed 26 times the individual's claimant's 
 11.24  weekly benefit amount.  
 11.25     (g) Each eligible individual who is unemployed in any week 
 11.26  shall be paid with respect to such week a benefit in an amount 
 11.27  equal to the individual's weekly benefit amount less that part 
 11.28  of the individual's earnings, including holiday pay, payable to 
 11.29  the individual with respect to such week which is in excess of 
 11.30  $200 for earnings from service in the national guard or a United 
 11.31  States military reserve unit and the greater of $50 or 25 
 11.32  percent of the earnings in other work; provided that no 
 11.33  deduction may be made from the weekly benefit amount for 
 11.34  earnings from service as a volunteer firefighter or volunteer 
 11.35  ambulance service personnel.  Jury duty pay is not considered as 
 11.36  earnings and shall not be deducted from benefits paid.  Such 
 12.1   benefit, if not a whole dollar amount, shall be rounded down to 
 12.2   the next lower dollar amount.  
 12.3      Subd. 2a.  [EXCEPTION.] Notwithstanding the provisions of 
 12.4   subdivision 2, if the commissioner finds that an individual has 
 12.5   earned wage credits in seasonal employment, benefits shall be 
 12.6   payable only if the commissioner finds that the individual has 
 12.7   earned wage credits in 15 or more calendar weeks equal to or in 
 12.8   excess of 30 times the individual's weekly benefit amount, in 
 12.9   employment which is not seasonal, in addition to any wage 
 12.10  credits in seasonal employment.  For the purposes of this 
 12.11  subdivision, "seasonal employment" means employment with a 
 12.12  single employer in the recreation or tourist industry which is 
 12.13  available with the employer for 15 consecutive weeks or less 
 12.14  each calendar year.  
 12.15     Subd. 3.  [WHEN WAGE CREDITS ARE NOT AVAILABLE SECOND 
 12.16  ACCOUNT PROHIBITED.] (1) (a) To establish a second benefit year 
 12.17  reemployment insurance account following the expiration of an 
 12.18  immediately preceding a benefit year on a preceding reemployment 
 12.19  insurance account, an individual a claimant must have sufficient 
 12.20  wage credits and weeks of employment to establish a 
 12.21  claim reemployment insurance account under the provisions of 
 12.22  subdivision 2 and must have performed services after the 
 12.23  establishment of the expired benefit year preceding 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 year reemployment insurance account.  A claim 
 12.28  filed reemployment insurance account established sufficiently in 
 12.29  advance of anticipated unemployment to make the limitations of 
 12.30  this clause paragraph ineffective shall be invalid not be 
 12.31  allowed.  It is the purpose of this provision that an individual 
 12.32  a claimant cannot establish more than one benefit year 
 12.33  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 claimant wages paid during a 
 13.2   subsequent base period unless the employer has employed the 
 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 for 
 13.6   benefit purposes by any claimant who (a) individually, jointly, 
 13.7   or in combination with the claimant's spouse, parent, or child 
 13.8   owns or controls directly or indirectly 25 percent or more 
 13.9   interest in the employing unit; or (b) is the spouse, parent, or 
 13.10  minor child of any individual who owns or controls directly or 
 13.11  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 paid 
 13.14  four times the individual's weekly benefit amount in the current 
 13.15  benefit year. 
 13.16     (4) Wages paid in seasonal employment, as defined in 
 13.17  subdivision 2a, are not available for benefit purposes during 
 13.18  weeks in which there is no seasonal employment available with 
 13.19  the employer. 
 13.20     (5) No employer shall be charged for benefits if the 
 13.21  employer is a base period employer on a second claim solely 
 13.22  because of the transition from a base period consisting of the 
 13.23  52-week period preceding the claim date to a base period as 
 13.24  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 new 
 14.27  claim for Upon 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 individual claimant owes child support 
 14.30  obligations.  If any individual the claimant discloses that the 
 14.31  individual claimant owes child support obligations, and is 
 14.32  determined to be eligible for establishes a reemployment 
 14.33  insurance account, the commissioner shall notify the child 
 14.34  support agency that the individual claimant has been determined 
 14.35  to be eligible for established 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 individual a claimant that owes child support obligations: 
 15.5      (a) The amount specified by the individual claimant 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 individual claimant as reemployment 
 15.21  insurance and paid by the individual claimant to the public 
 15.22  agency responsible for child support enforcement in satisfaction 
 15.23  of the individual's claimant'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 individual A 
 15.27  claimant is eligible to receive additional benefits under this 
 15.28  section for any week during the individual's claimant's benefit 
 15.29  year if the commissioner finds that: 
 15.30     (1) the individual's claimant's unemployment is the result 
 15.31  of a reduction in operations as provided under subdivision 1; 
 15.32     (2) the individual claimant 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 individual claimant 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 individual claimant 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 individual 
 16.10  claimant is claiming additional benefits; 
 16.11     (5) the individual claimant has made a claim for additional 
 16.12  benefits with respect to any week the individual claimant 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 individual claimant has worked at least 26 weeks 
 16.17  during the individual's claimant'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 268.08 268.07. 
 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 individual a claimant under this 
 16.30  section shall be charged to the employment experience record of 
 16.31  the base period employer of the individual claimant 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 a 
 16.36  contributing employer under the provisions of section 268.06, 
 17.1   subdivision 31, all benefits paid under this section which are 
 17.2   based upon services for the contributing employer shall be 
 17.3   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 268.07 268.08, 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 disqualified eligible 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 individual A 
 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   individual claimant: 
 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-person 
 19.14  appearance, and may incorporate appropriate new technology; 
 19.15     (2) has made a continued claim for benefits in accordance 
 19.16  with rules as the commissioner may adopt person, 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's claimant's weekly 
 19.22  benefit amount shall be reduced one-fifth for each day 
 19.23  the individual claimant 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 individual a 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 individual A claimant is deemed unavailable for work 
 19.31  with respect to any week which occurs in a period when the 
 19.32  individual claimant 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's claimant's wages paid 
 19.35  during the 52 weeks preceding the claim date establishment 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 individual A claimant serving as a juror shall be 
 20.4   considered as available for work and actively seeking work on 
 20.5   each day the individual claimant is on jury duty; 
 20.6      (4) has been unemployed for a waiting period of one week 
 20.7   during which the individual claimant is otherwise eligible for 
 20.8   entitled to benefits under sections 268.03 to 268.231.  No 
 20.9   individual is required to serve a waiting period of more than 
 20.10  one week within the one-year period subsequent to filing a valid 
 20.11  claim and commencing with the week within which the valid claim 
 20.12  was filed; and 
 20.13     (5) has been participating in reemployment services, such 
 20.14  as job search assistance services, if the individual claimant 
 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 valid 
 21.7   claim for benefits establishment of a reemployment insurance 
 21.8   account; 
 21.9      (2) Unless it occurs after benefits first could become 
 21.10  payable to any individual claimant under sections 268.03 to 
 21.11  268.231; 
 21.12     (3) With respect to which the individual claimant 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 individual claimant is not entitled to such 
 21.23  benefits, this provision shall not apply. 
 21.24     Subd. 3.  [NOT ELIGIBLE.] An individual A claimant shall 
 21.25  not be eligible to receive benefits for any week with respect to 
 21.26  which the individual claimant 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's claimant'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's claimant'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 employee claimant 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 individual claimant 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 individual claimant 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 an 
 23.13  individual a 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 individual claimant 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 individual claimant 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's claimant'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 individual claimant 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 valid 
 24.2   claim reemployment 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 claim establishing 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 individual A 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 individual claimant 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.  An 
 24.26  individual A 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 individuals claimants 
 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 persons claimants 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's 
 25.22  claimant's contract, to any individual claimant if the 
 25.23  individual claimant 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 individual claimant 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 other 
 25.29  than those capacities described in clause (a) of this 
 25.30  subdivision, including instructional assistants, for an 
 25.31  educational institution, benefits shall not be paid on the basis 
 25.32  of these services to any individual for any week which commences 
 25.33  during a period between two successive academic years or terms 
 25.34  if the individual performs the services in the first of the 
 25.35  academic years or terms and there is a reasonable assurance that 
 25.36  the individual will perform the services in the second of the 
 26.1   academic years or terms.  An individual With 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 individual 
 26.15  claimant under this clause paragraph and the individual 
 26.16  claimant was not offered an opportunity to perform the services 
 26.17  employment in the second of the academic years or term, 
 26.18  the individual claimant shall be entitled to a retroactive 
 26.19  payment of benefits for each week in which the individual 
 26.20  claimant filed a timely continued claim for benefits, but 
 26.21  the continued claim was denied solely because of this clause 
 26.22  paragraph; 
 26.23     (c) With respect to services described in clause 
 26.24  paragraph (a) or (b), benefits payable on the basis of the 
 26.25  services shall not be paid to any individual claimant for any 
 26.26  week which commences during an established and customary 
 26.27  vacation period or holiday recess if the individual claimant 
 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 individual claimant 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 clause 
 26.34  paragraph (a) or (b), benefits shall not be payable on the basis 
 26.35  of services in any capacity specified in clauses paragraphs (a), 
 26.36  (b), and (c) to any individual claimant 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 clause 
 27.3   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 clauses paragraphs (a) to (d). 
 27.13     Subd. 7.  [PROFESSIONAL ATHLETES.] Benefits shall not be 
 27.14  paid to an individual a 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 individual 
 27.19  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 individual the 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 individual a 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 individuals 
 27.34  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 individual a claimant whose 
 28.2   application for benefits would otherwise be approved, no 
 28.3   determination that benefits to such individual claimant 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, clauses paragraphs (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 is claimant 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 individual A 
 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's claimant's separation and the 
 29.16  individual claimant has earned eight times the individual's 
 29.17  claimant's weekly benefit amount in insured work. 
 29.18     (a)  [VOLUNTARY LEAVE.] The individual claimant 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's claimant's submission to such conduct or 
 29.31  communication is made a term or condition of the employment, (2) 
 29.32  the employee's claimant'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's a 
 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 individual claimant 
 30.5   was discharged for misconduct, not amounting to gross misconduct 
 30.6   connected with work employment or for misconduct which 
 30.7   interferes with and adversely affects employment. 
 30.8      (c)  [EXCEPTIONS TO DISQUALIFICATION.] An individual A 
 30.9   claimant shall not be disqualified under paragraphs (a) and (b) 
 30.10  under any of the following conditions: 
 30.11     (1) the individual claimant voluntarily discontinued 
 30.12  employment to accept employment offering substantially better 
 30.13  conditions or substantially higher wages or both; 
 30.14     (2) the individual claimant is separated from employment 
 30.15  due to personal, serious illness provided that such individual 
 30.16  has the claimant made reasonable efforts to retain employment. 
 30.17     An individual A claimant who is separated from employment 
 30.18  due to the individual's claimant's illness of chemical 
 30.19  dependency which has been professionally diagnosed or for which 
 30.20  the individual claimant has voluntarily submitted to treatment 
 30.21  and who fails to make consistent efforts to maintain the 
 30.22  treatment the individual claimant 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 individual claimant accepts work employment from a 
 30.26  base period employer which involves a change in location of work 
 30.27  employment so that said work employment would not have been 
 30.28  deemed to be suitable work employment under the provisions of 
 30.29  subdivision 2 and within a period of 13 weeks from the 
 30.30  commencement of said work employment voluntarily discontinues 
 30.31  employment due to reasons which would have caused the 
 30.32  work employment to be unsuitable under the provision of said 
 30.33  subdivision 2; 
 30.34     (4) the individual claimant left employment because of 
 30.35  reaching mandatory retirement age and was 65 years of age or 
 30.36  older; 
 31.1      (5) the individual claimant is terminated by the employer 
 31.2   because the individual claimant 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   individual claimant receives the individual's claimant's normal 
 31.8   wage or salary which is equal to or greater than the weekly 
 31.9   benefit amount; 
 31.10     (6) the individual claimant 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 individual claimant voluntarily leaves part-time 
 31.14  employment with a base period employer while continuing 
 31.15  full-time employment if the individual claimant 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 individual claimant; 
 31.20     (8) the individual claimant is separated from employment 
 31.21  based solely on a provision in a collective bargaining agreement 
 31.22  by which an individual a claimant has vested discretionary 
 31.23  authority in another to act on behalf of the individual 
 31.24  claimant; 
 31.25     (9) except as provided in paragraph (d), separations from 
 31.26  part-time employment will not be disqualifying when the claim is 
 31.27  based on claimant has sufficient full-time employment to 
 31.28  establish a valid claim reemployment insurance account from 
 31.29  which the claimant has been separated for nondisqualifying 
 31.30  reasons; or 
 31.31     (10) the individual claimant accepts employment which 
 31.32  represents a substantial departure from the individual's 
 31.33  claimant's customary occupation and experience and would not be 
 31.34  deemed suitable work employment 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 work employment voluntarily discontinues 
 32.1   the employment due to reasons which would have caused the work 
 32.2   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 individual 
 32.9   claimant was discharged for gross misconduct connected with work 
 32.10  employment or gross misconduct which interferes with and 
 32.11  adversely affects the individual's claimant'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 individual 
 32.15  claimant was discharged for gross misconduct connected with work 
 32.16  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 individual a claimant is convicted of a felony or 
 32.28  gross misdemeanor for the same act or acts of misconduct for 
 32.29  which the individual claimant was discharged, the misconduct is 
 32.30  conclusively presumed to be gross misconduct if it was connected 
 32.31  with the individual's work claimant's employment. 
 32.32     (e)  [LIMITED OR NO CHARGE OF BENEFITS.] Benefits paid 
 32.33  subsequent to an individual's a 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 individual the claimant separated. 
 33.2      Benefits paid subsequent to an individual's failure to 
 33.3   accept an offer of suitable reemployment or to accept 
 33.4   reemployment which offered substantially the same or better 
 33.5   hourly wages and conditions of work as were previously provided 
 33.6   by that employer, but was deemed unsuitable under subdivision 2, 
 33.7   shall not be used as a factor in determining the future 
 33.8   contribution rate of the employer whose offer of reemployment 
 33.9   was not accepted or whose offer of reemployment was refused 
 33.10  solely due to the distance of the available work from the 
 33.11  individual's residence, the individual's own serious illness, 
 33.12  the individual's other employment at the time of the offer, or 
 33.13  if the individual is in training with the approval of the 
 33.14  commissioner. 
 33.15     Benefits paid by another state as a result of Minnesota 
 33.16  transferring wage credits under the federally required combined 
 33.17  wage agreement shall not be directly charged to either the 
 33.18  taxpaying or reimbursing employer. 
 33.19     (f)  [ACTS OR OMISSIONS.] An individual A 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 individual A 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's claimant'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  WORK EMPLOYMENT OR REEMPLOYMENT.] An individual A 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 or failure and the individual claimant has 
 33.36  earned eight times the individual's claimant's weekly benefit 
 34.1   amount in insured work if the commissioner finds that 
 34.2   the individual claimant has failed, without good cause, either 
 34.3   (1) to apply for available, suitable work employment of which 
 34.4   advised by an employer, the employment office, or the 
 34.5   commissioner; or (2) to accept suitable work employment, or 
 34.6   suitable reemployment with a former employer, when offered, or 
 34.7   to accept an offer of suitable reemployment from either a base 
 34.8   period employer or an employer who provided employment following 
 34.9   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 work employment is 
 34.18  suitable for an individual a 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 work employment 
 34.22  in the individual's claimant's customary occupation, and the 
 34.23  distance of the available work employment from the 
 34.24  individual's claimant's residence.  
 34.25     (b) Notwithstanding any other provisions of sections 268.03 
 34.26  to 268.231, no work employment shall be deemed suitable, and 
 34.27  benefits shall not be denied thereunder to any otherwise 
 34.28  eligible individual claimant for refusing to accept new work 
 34.29  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 work 
 34.33  employment offered are substantially less favorable to 
 34.34  the individual claimant than those prevailing for similar work 
 34.35  employment in the locality; 
 34.36     (3) if as a condition of being employed the individual 
 35.1   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 individual claimant 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 any 
 41.36  officer or employee of the state department of economic security 
 42.1   authorized in writing by the commissioner, is authorized to 
 42.2   enter into an agreement in writing with any employer relating to 
 42.3   the liability of such employer in respect to delinquent 
 42.4   contributions, reimbursements, interest, penalties, and costs.  
 42.5   The commissioner may also enter into an agreement, with respect 
 42.6   to liability for delinquent contributions, interest, penalties 
 42.7   and costs, with any employer who has never paid any 
 42.8   contributions to the fund and such failure to pay contributions 
 42.9   was, in the opinion of the commissioner, due to an honest belief 
 42.10  on the part of such employer that the employer was not covered 
 42.11  by sections 268.03 to 268.231.  Any agreements made under this 
 42.12  subdivision shall be subject to the approval of the attorney 
 42.13  general. 
 42.14     If such agreements are approved by the commissioner and the 
 42.15  attorney general, the same shall be final and conclusive; and, 
 42.16  except upon a showing of fraud or malfeasance or 
 42.17  misrepresentation of a material fact, the case shall not be 
 42.18  reopened as to the matters agreed upon or the agreement modified 
 42.19  by any officer, employee or agent of the state; and, in any 
 42.20  suit, action or proceeding, such agreement, or any 
 42.21  determination, assessment, collection, payment, abatement, 
 42.22  refund, or credit made in accordance therewith, shall not be 
 42.23  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 corporation employer 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 corporation employer 
 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 ten 30 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, or 
 44.34  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 2 268.07 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 to 
 49.27  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.