SF 2854

as introduced - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act
  1.2             relating to child support enforcement; setting new 
  1.3             time lines for work reporting and income withholding 
  1.4             transmittals; amending Minnesota Statutes 1997 
  1.5             Supplement, sections 256.998, subdivision 3; and 
  1.6             518.6111, subdivision 5. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 1997 Supplement, section 
  1.9   256.998, subdivision 3, is amended to read: 
  1.10     Subd. 3.  [DUTY TO REPORT.] Employers doing business in 
  1.11  this state shall report to the commissioner of human services 
  1.12  the hiring of any employee who resides or works in this state to 
  1.13  whom the employer anticipates paying earnings.  Employers shall 
  1.14  submit reports required under this subdivision within 20 ten 
  1.15  calendar days of the date of hiring of the employee. 
  1.16     Employers are not required to report the hiring of any 
  1.17  person who will be employed for less than two months' duration; 
  1.18  and will have gross earnings less than $250 per month.  
  1.19     Sec. 2.  Minnesota Statutes 1997 Supplement, section 
  1.20  518.6111, subdivision 5, is amended to read: 
  1.21     Subd. 5.  [PAYOR OF FUNDS RESPONSIBILITIES.] (a) An order 
  1.22  for or notice of withholding is binding on a payor of funds upon 
  1.23  receipt.  Withholding must begin no later than the first pay 
  1.24  period that occurs after 14 ten days following the date of 
  1.25  receipt of the order for or notice of withholding.  In the case 
  1.26  of a financial institution, preauthorized transfers must occur 
  2.1   in accordance with a court-ordered payment schedule. 
  2.2      (b) A payor of funds shall withhold from the income payable 
  2.3   to the obligor the amount specified in the order or notice of 
  2.4   withholding and amounts specified under subdivisions 6 and 9 and 
  2.5   shall remit the amounts withheld to the public authority within 
  2.6   seven five business days of the date the obligor is paid the 
  2.7   remainder of the income.  The payor of funds shall include with 
  2.8   the remittance the social security number of the obligor, the 
  2.9   case type indicator as provided by the public authority and the 
  2.10  date the obligor is paid the remainder of the income.  The 
  2.11  obligor is considered to have paid the amount withheld as of the 
  2.12  date the obligor received the remainder of the income.  A payor 
  2.13  of funds may combine all amounts withheld from one pay period 
  2.14  into one payment to each public authority, but shall separately 
  2.15  identify each obligor making payment. 
  2.16     (c) A payor of funds shall not discharge, or refuse to 
  2.17  hire, or otherwise discipline an employee as a result of wage or 
  2.18  salary withholding authorized by this section.  A payor of funds 
  2.19  shall be liable to the obligee for any amounts required to be 
  2.20  withheld.  A payor of funds that fails to withhold or transfer 
  2.21  funds in accordance with this section is also liable to the 
  2.22  obligee for interest on the funds at the rate applicable to 
  2.23  judgments under section 549.09, computed from the date the funds 
  2.24  were required to be withheld or transferred.  A payor of funds 
  2.25  is liable for reasonable attorney fees of the obligee or public 
  2.26  authority incurred in enforcing the liability under this 
  2.27  paragraph.  A payor of funds that has failed to comply with the 
  2.28  requirements of this section is subject to contempt sanctions 
  2.29  under section 518.615.  If the payor of funds is an employer or 
  2.30  independent contractor and violates this subdivision, a court 
  2.31  may award the obligor twice the wages lost as a result of this 
  2.32  violation.  If a court finds a payor of funds violated this 
  2.33  subdivision, the court shall impose a civil fine of not less 
  2.34  than $500. 
  2.35     (d) If a single employee is subject to multiple withholding 
  2.36  orders or multiple notices of withholding for the support of 
  3.1   more than one child, the payor of funds shall comply with all of 
  3.2   the orders or notices to the extent that the total amount 
  3.3   withheld from the obligor's income does not exceed the limits 
  3.4   imposed under the Consumer Credit Protection Act, Chapter 15 of 
  3.5   the United States Code section 1637(b), giving priority to 
  3.6   amounts designated in each order or notice as current support as 
  3.7   follows: 
  3.8      (1) if the total of the amounts designated in the orders 
  3.9   for or notices of withholding as current support exceeds the 
  3.10  amount available for income withholding, the payor of funds 
  3.11  shall allocate to each order or notice an amount for current 
  3.12  support equal to the amount designated in that order or notice 
  3.13  as current support, divided by the total of the amounts 
  3.14  designated in the orders or notices as current support, 
  3.15  multiplied by the amount of the income available for income 
  3.16  withholding; and 
  3.17     (2) if the total of the amounts designated in the orders 
  3.18  for or notices of withholding as current support does not exceed 
  3.19  the amount available for income withholding, the payor of funds 
  3.20  shall pay the amounts designated as current support, and shall 
  3.21  allocate to each order or notice an amount for past due support, 
  3.22  equal to the amount designated in that order or notice as past 
  3.23  due support, divided by the total of the amounts designated in 
  3.24  the orders or notices as past due support, multiplied by the 
  3.25  amount of income remaining available for income withholding 
  3.26  after the payment of current support. 
  3.27     (e) When an order for or notice of withholding is in effect 
  3.28  and the obligor's employment is terminated, the obligor and the 
  3.29  payor of funds shall notify the public authority of the 
  3.30  termination within ten days of the termination date.  The 
  3.31  termination notice shall include the obligor's home address and 
  3.32  the name and address of the obligor's new payor of funds, if 
  3.33  known. 
  3.34     (f) A payor of funds may deduct one dollar from the 
  3.35  obligor's remaining salary for each payment made pursuant to an 
  3.36  order for or notice of withholding under this section to cover 
  4.1   the expenses of withholding.