SF 192

1st Engrossment - 92nd Legislature (2021 - 2022) Posted on 05/27/2021 11:37am

A bill for an act
relating to unemployment insurance; eliminating expiration date for exclusion of
COVID-19-related unemployment claims in calculating future experience rating;
adopting a temporary change to experience rating period; amending Laws 2020,
chapter 71, article 2, section 24.

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

Section 1.

Laws 2020, chapter 71, article 2, section 24, is amended to read:

Sec. 24. COMPUTATION OF FUTURE TAX RATE; EFFECT OF PAYMENT
FROM TRUST FUND.

Notwithstanding Minnesota Statutes, section 268.047, subdivision 1, unemployment
insurance benefits paid as a result of an applicant not being able to work directly or indirectly
as a result of the COVID-19 pandemic will not be used in computing the future
unemployment insurance tax rate of a taxpaying employer. deleted text begin This section expires December
31, 2020. deleted text end new text begin Unemployment insurance benefits paid under this section must not be used in any
experience rating computation required under Minnesota Statutes, section 268.051,
subdivision 3, in any calendar year that occurs following enactment of this section.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2. new text begin CALENDAR YEAR 2021 TEMPORARY EMPLOYER EXPERIENCE
RATING.
new text end

new text begin For calendar year 2021, the experience rate computed for each taxpaying employer under
Minnesota Statutes, section 268.051, subdivision 3, that was required to file wage detail
reports for the 12-month period ending June 30, 2019, is the ratio obtained by dividing 125
percent of the total unemployment benefits required under Minnesota Statutes, section
268.047, to be used in computing the employer's tax rate during the 48 calendar months
ending on June 30, 2019, by the employer's total taxable payroll for that same period. Any
taxpaying employer that does not qualify for a calendar year 2021 experience rate under
Minnesota Statutes, section 268.051, subdivision 3, must be assigned a tax rate in accordance
with Minnesota Statutes, section 268.051, subdivision 5, except that the average experience
rating for the employer's industry must use the period specified in this section.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 3. new text begin TAXABLE WAGES FOR CALENDAR YEAR 2021.
new text end

new text begin Notwithstanding Minnesota Statutes, section 268.035, subdivision 24, for calendar year
2021, "taxable wages" means those wages paid to an employee in covered employment for
up to an amount equal to $35,000.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end