SF 5430

4th Engrossment - 93rd Legislature (2023 - 2024) Posted on 05/14/2024 09:38am

A bill for an act
relating to employees; modifying paid leave provisions; amending Minnesota
Statutes 2023 Supplement, sections 268B.01, subdivisions 3, 5, 8, 15, 23, 44, by
adding subdivisions; 268B.04; 268B.06, subdivisions 2, 3, 4, 5, by adding a
subdivision; 268B.07, subdivisions 1, 2, 3; 268B.09, subdivisions 1, 6, 7; 268B.10,
subdivisions 1, 2, 3, 6, 12, 16, 17, by adding subdivisions; 268B.14, subdivisions
3, 7, by adding subdivisions; 268B.15, subdivision 7; 268B.155, subdivision 2;
268B.185, subdivision 2; 268B.19; 268B.26; 268B.27, subdivision 2; 268B.29;
proposing coding for new law in Minnesota Statutes, chapter 268B; repealing
Minnesota Statutes 2023 Supplement, sections 268B.06, subdivision 7; 268B.08;
268B.10, subdivision 11; 268B.14, subdivision 5.

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

Section 1.

new text begin [268B.001] CITATION.
new text end

new text begin This chapter may be cited as the "Minnesota Paid Leave Law."
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.

Minnesota Statutes 2023 Supplement, section 268B.01, subdivision 3, is amended
to read:

Subd. 3.

Applicant.

"Applicant" means an individual new text begin or the individual's authorized
representative new text end applying for leave with benefits under this chapter.

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.

Minnesota Statutes 2023 Supplement, section 268B.01, is amended by adding a
subdivision to read:

new text begin Subd. 4a. new text end

new text begin Authorized representative. new text end

new text begin "Authorized representative" means an individual
designated by the person or the individual's legal representative to act on their behalf. This
individual may be a family member, guardian, or other individual designated by the person
or the individual's legal representative, if any, to assist in purchasing and arranging for
supports. For the purposes of this chapter, an authorized representative must be at least 18
years of age.
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. 4.

Minnesota Statutes 2023 Supplement, section 268B.01, subdivision 5, is amended
to read:

Subd. 5.

Base period.

(a) "Base period," unless otherwise provided in this subdivision,
means the most recent four completed calendar quarters before the effective date of an
applicant's application for family or medical leave benefits if the application has an effective
date occurring after the month following the most recent completed calendar quarter. The
base period under this paragraph is as follows:

If the application for family or medical leave benefits is effective on or between these dates:	The base period is the prior:
February 1 to March 31	January 1 to December 31
May 1 to June 30	April 1 to March 31
August 1 to September 30	July 1 to June 30
November 1 to December 31	October 1 to September 30

(b) If an application for family or medical leave benefits has an effective date that is
during the month following the most recent completed calendar quarter, then the base period
is the first four of the most recent five completed calendar quarters before the effective date
of an applicant's application for family or medical leave benefits. The base period under
this paragraph is as follows:

If the application for family or medical leave benefits is effective on or between these dates:	The base period is the prior:
January 1 to January 31	October 1 to September 30
April 1 to April 30	January 1 to December 31
July 1 to July 31	April 1 to March 31
October 1 to October 31	July 1 to June 30

(c) Regardless of paragraph (a), a base period of the first four of the most recent five
completed calendar quarters must be used if the applicant would have more wage credits
under that base period than under a base period of the four most recent completed calendar
quarters.

(d) If the applicant has insufficient wage credits to establish a benefit account under a
base period of the four most recent completed calendar quarters, or a base period of the first
four of the most recent five completed calendar quarters, but during either base period the
applicant received workers' compensation for temporary disability under chapter 176 or a
similar federal law or similar law of another state, or if the applicant whose own serious
illness caused a loss of work for which the applicant received compensation for loss of
wages from some other source, the applicant may request a base period as follows:

(1) if an applicant was compensated for a loss of work of seven to 13 weeks during a
base period referred to in paragraph (a) or (b), then the base period is the first four of the
most recent six completed calendar quarters before the effective date of the application for
family or medical leave benefits;

(2) if an applicant was compensated for a loss of work of 14 to 26 weeks during a base
period referred to in paragraph (a) or (b), then the base period is the first four of the most
recent seven completed calendar quarters before the effective date of the application for
family or medical leave benefits;

(3) if an applicant was compensated for a loss of work of 27 to 39 weeks during a base
period referred to in paragraph (a) or (b), then the base period is the first four of the most
recent eight completed calendar quarters before the effective date of the application for
family or medical leave benefits; and

(4) if an applicant was compensated for a loss of work of 40 deleted text begin to 52 deleted text end new text begin or more new text end weeks during
a base period referred to in paragraph (a) or (b), then the base period is the first four of the
most recent nine completed calendar quarters before the effective date of the application
for family or medical leave benefits.

(e) For an applicant under a private plan as provided in section 268B.10, the base period
is those most recent four quarters in which wage credits were earned deleted text begin with the current
employer as provided by the current employer deleted text end . If an employer does not have four quarters
of wage detail information, the employer must accept an employee's certification of wage
credits, based on the employee's records. If the employee does not provide certification of
additional wage credits, the employer may use a base period that consists of all available
quarters.

new text begin (f) The base period is calculated once during the benefit year.
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. 5.

Minnesota Statutes 2023 Supplement, section 268B.01, subdivision 8, is amended
to read:

Subd. 8.

Benefit year.

(a) Except as provided in deleted text begin paragraph deleted text end new text begin paragraphs new text end (b) new text begin to (d) new text end , "benefit
year" means the period of 52 calendar weeks beginning the deleted text begin date a benefit account deleted text end new text begin effective
date of leave new text end under section 268B.04 is effective. For deleted text begin a benefit account established deleted text end new text begin an new text end effective
new text begin date of leave that is new text end any January 1, April 1, July 1, or October 1, the benefit year will be a
period of 53 calendar weeks.

new text begin (b) For an individual with multiple employers participating in the state plan, "benefit
year" means the period of 52 calendar weeks beginning the date an effective date of leave
under section 268B.04 is effective for any of the multiple employers.
new text end

deleted text begin (b) deleted text end new text begin (c) new text end For a private plan under section 268B.10, "benefit year" means:

(1) a calendar year;

(2) any fixed 12-month period, such as a fiscal year or a 12-month period measured
forward from an employee's first date of employment;

(3) a 12-month period measured forward from an employee's first day of leave taken;
or

(4) a rolling 12-month period measured backward from an employee's first day of leave
taken.

Employers are required to notify employees of their benefit year within 30 days of the
private plan approval and first day of employment.

new text begin (d) For individuals with multiple employers with at least one employer participating in
the state plan and at least one employer participating in a private plan:
new text end

new text begin (1) for the employer or employers participating in the state plan, "benefit year" means
the period of 52 calendar weeks beginning the effective date of leave is effective for any
employer; and
new text end

new text begin (2) the employer or employers participating in a private plan may define their benefit
year according to paragraph (b).
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. 6.

Minnesota Statutes 2023 Supplement, section 268B.01, subdivision 15, is amended
to read:

Subd. 15.

Covered employment.

(a) "Covered employment" means performing services
of whatever nature, unlimited by the relationship of master and servant as known to the
common law, or any other legal relationship performed for wages or under any contract
calling for the performance of services, written or oral, express or implied.

(b) For the purposes of this chapter, covered employment means an employee's entire
employment during a calendar deleted text begin year deleted text end new text begin quarter new text end if:

(1) 50 percent or more of the employment during the calendar deleted text begin year deleted text end new text begin quarter new text end is performed
in Minnesota; new text begin or
new text end

(2) 50 percent or more of the employment during the calendar deleted text begin year deleted text end new text begin quarter new text end is not
performed in Minnesota or any other new text begin single new text end state new text begin within the United States new text end , or deleted text begin Canada deleted text end new text begin United
States territory or foreign nation new text end , but some of the employment is performed in Minnesota
and the employee's residence is in Minnesota during 50 percent or more of the calendar
deleted text begin year deleted text end new text begin quarter new text end deleted text begin ; or deleted text end new text begin .
new text end

deleted text begin (3) 50 percent or more of the employment during the calendar year is not performed in
Minnesota or any other state, or Canada, but the place from where the employee's
employment is controlled and directed is based in Minnesota.
deleted text end

(c) "Covered employment" does not include:

(1) a self-employed individual;

(2) an independent contractor; or

(3) employment by a seasonal employee, as defined in subdivision 35.

new text begin (d) Entities that are excluded under this section may opt in to coverage following a
procedure determined by the commissioner. In such cases, services provided by employees
are considered covered employment under subdivision 15.
new text end

new text begin (e) The commissioner may adopt rules in accordance with chapter 14 to:
new text end

new text begin (1) further define the application of this subdivision; and
new text end

new text begin (2) establish the criteria for covered employment for individuals that do not meet the
criteria in paragraphs (a) and (b), but that perform services as an employee to a Minnesota
employer.
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. 7.

Minnesota Statutes 2023 Supplement, section 268B.01, is amended by adding a
subdivision to read:

new text begin Subd. 15a. new text end

new text begin Covered individual. new text end

new text begin "Covered individual" means either:
new text end

new text begin (1) an applicant who meets the financial eligibility requirements of section 268B.04,
subdivision 2, if services provided are covered employment under subdivision 15; or
new text end

new text begin (2) a self-employed individual or independent contractor who has elected coverage under
section 268B.11 and who meets the financial eligibility requirements under section 268B.11.
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. 8.

Minnesota Statutes 2023 Supplement, section 268B.01, is amended by adding a
subdivision to read:

new text begin Subd. 15b. new text end

new text begin Effective date of application. new text end

new text begin "Effective date of application" means the date
on which an application is submitted to the department.
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. 9.

Minnesota Statutes 2023 Supplement, section 268B.01, is amended by adding a
subdivision to read:

new text begin Subd. 15c. new text end

new text begin Effective date of leave. new text end

new text begin "Effective date of leave" means the date of first
absence associated with a leave under section 268B.09.
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. 10.

Minnesota Statutes 2023 Supplement, section 268B.01, subdivision 23, is amended
to read:

Subd. 23.

Family member.

(a) "Family member" means, with respect to an applicant:

(1) a spouse or domestic partner;

(2) a child, including a biological new text begin child new text end , adopted new text begin child new text end , deleted text begin or deleted text end foster child, deleted text begin a deleted text end stepchild, new text begin child
of a domestic partner, new text end or deleted text begin a deleted text end child to whom the applicant stands in loco parentis, is a legal
guardian, or is a de facto deleted text begin parent deleted text end new text begin custodian new text end ;

(3) a parent or legal guardian of the applicant;

(4) a sibling;

(5) a grandchild;

(6) a grandparent or spouse's grandparent;

(7) a son-in-law or daughter-in-law; and

(8) an individual who has a new text begin personal new text end relationship with the applicant that creates an
expectation and reliance that the applicant care for the individual new text begin without compensation new text end ,
whether or not the applicant and the individual reside together.

(b) For the purposes of this chapter, "grandchild" means a child of the applicant's child.

(c) For the purposes of this chapter, "grandparent" means a parent of the applicant's
parent.

(d) For the purposes of this chapter, "parent" means the biological, adoptive, de facto new text begin
custodian new text end , or foster parent, stepparent, or legal guardian of an applicant or the applicant's
spouse, or an individual who stood in loco parentis to an applicant when the applicant was
a child.

new text begin EFFECTIVE DATE. new text end

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

Sec. 11.

Minnesota Statutes 2023 Supplement, section 268B.01, is amended by adding a
subdivision to read:

new text begin Subd. 23a. new text end

new text begin Financially eligible. new text end

new text begin "Financially eligible" means an applicant meets the
requirements established under section 268B.04, subdivision 2.
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. 12.

Minnesota Statutes 2023 Supplement, section 268B.01, is amended by adding a
subdivision to read:

new text begin Subd. 27a. new text end

new text begin Initial paid week. new text end

new text begin "Initial paid week," except as provided in section 268B.04,
subdivision 6, means the first seven days of a leave, which must be paid and is a payable
period for leave types including family care, medical care related to pregnancy, serious
health condition, qualifying exigency, or safety leave. For intermittent leave, initial paid
week means seven consecutive or nonconsecutive, or a combination of consecutive and
nonconsecutive, calendar days from the effective date of leave, of which only days when
leave is taken are payable.
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. 13.

Minnesota Statutes 2023 Supplement, section 268B.01, subdivision 44, is amended
to read:

Subd. 44.

Typical workweek.

"Typical workweek" means deleted text begin :
deleted text end

deleted text begin (1) for an hourly employee, deleted text end the average number of hours worked per week by an
employee within the deleted text begin high quarter during the base year; or deleted text end new text begin last two quarters prior to the
effective date of application.
new text end

deleted text begin (2) 40 hours for a salaried employee, regardless of the number of hours the salaried
employee typically works.
deleted 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. 14.

Minnesota Statutes 2023 Supplement, section 268B.04, is amended to read:

268B.04 deleted text begin BENEFIT ACCOUNT deleted text end new text begin FINANCIAL ELIGIBILITY new text end ; BENEFITS.

Subdivision 1.

Application for benefits; determination of deleted text begin benefit account deleted text end new text begin financial
eligibility new text end .

(a) An application for benefits may be filed up to 60 days before leave taken
under chapter 268B in person, by mail, or by electronic transmission as the commissioner
may require. The applicant must include certification supporting a request for leave under
this chapter. The applicant must meet eligibility requirements and must provide all requested
information in the manner required. If the applicant fails to provide all requested information deleted text begin ,
the communication is not an application for family and medical leave benefits deleted text end new text begin within a time
period to be specified by the commissioner, the application is considered closed and the
division must not further act on it new text end .

(b) The commissioner must examine each application for benefits to determine the base
period and the benefit year, and based upon all the covered employment in the base period
the commissioner must determine new text begin the financial eligibility of the applicant, which includes
new text end the weekly benefit amount available, if any, and the maximum amount of benefits available,
if any. deleted text begin The determination, which is a document separate and distinct from a document titled
a determination of eligibility or determination of ineligibility, must be titled determination
of benefit account. A determination of benefit account must be sent to the applicant and all
base period employers, by mail or electronic transmission. deleted text end new text begin The department must notify all
employers from which the applicant is taking leave, either in writing or electronically, not
more than five business days after a claim for benefits has been filed by an employee or
former employee as provided under this section.
new text end

(c) If a base period employer did not provide wage detail information for the applicant
as required under section 268B.12, the commissioner may accept an applicant certification
of wage credits, based upon the applicant's records, and deleted text begin issue a determination of benefit
account deleted text end new text begin determine the financial eligibility of the applicant new text end .

(d) The commissioner may, at any time within 12 months from the establishment of a
deleted text begin benefit account deleted text end new text begin leave new text end , reconsider any determination of benefit account and make an amended
determination if the commissioner finds that the wage credits listed in the determination
were incorrect for any reason. An amended determination of benefit account must be
promptly sent to the applicant and deleted text begin all deleted text end new text begin any impacted new text end base period employers, by mail or
electronic transmission. This paragraph does not apply to deleted text begin documents titled deleted text end determinations
of eligibility or determinations of ineligibility issued.

(e) If an amended determination of benefit account reduces the weekly benefit amount
or maximum amount of benefits available, any benefits that have been paid greater than the
applicant was entitled is an overpayment of benefits. A determination or amended
determination issued under this section that results in an overpayment of benefits must set
out the amount of the overpayment and the requirement that the overpaid benefits must be
repaid according to section 268B.185.

Subd. 2.

Benefit account requirements.

To establish a benefit account, an applicant
must have wage credits of at least 5.3 percent of the state's average annual wage rounded
down to the next lower $100.

Subd. 3.

Weekly benefit amount; maximum amount of benefits available; prorated
amount.

(a) Subject to the maximum weekly benefit amount, an applicant's weekly benefit
is calculated by adding the amounts obtained by applying the following percentage to an
applicant's average deleted text begin typical workweek and deleted text end weekly wage during the high quarter of the base
period:

(1) 90 percent of wages that do not exceed 50 percent of the state's average weekly wage;
plus

(2) 66 percent of wages that exceed 50 percent of the state's average weekly wage but
not 100 percent; plus

(3) 55 percent of wages that exceed 100 percent of the state's average weekly wage.

new text begin (b) For applicants that have changed employers within the base period, the weekly benefit
amount is calculated based on the highest quarter of wages in the base period.
new text end

deleted text begin (b) deleted text end new text begin (c) new text end The state's average weekly wage is the average wage as calculated under section
268.035, subdivision 23, at the time a benefit amount is first determined.

deleted text begin (c) deleted text end new text begin (d) new text end The maximum weekly benefit amount is the state's average weekly wage as
calculated under section 268.035, subdivision 23.

deleted text begin (d) deleted text end new text begin (e) new text end The state's maximum weekly benefit amount, computed in accordance with section
268.035, subdivision 23, applies to deleted text begin a benefit account deleted text end new text begin leaves new text end established effective on or after
the last Sunday in October. Once established, an applicant's weekly benefit amount is not
affected by the last Sunday in October change in the state's maximum weekly benefit amount.

deleted text begin (e) deleted text end new text begin (f) new text end For deleted text begin an employee deleted text end new text begin a covered individual new text end receiving family or medical leave, a weekly
benefit amount is prorated when:

(1) the deleted text begin employee deleted text end new text begin covered individual new text end works hours for wages;

(2) the deleted text begin employee deleted text end new text begin covered individual new text end uses paid sick leave, paid vacation leave, or other
paid time off that is not considered a supplemental benefit payment as defined in section
268B.01, subdivision 41; or

(3) leave is taken intermittently.

Subd. 4.

Timing of payment.

Except as otherwise provided for in this chapter, benefits
must be paid weekly.

Subd. 5.

Maximum length of benefits.

(a) The total number of weeks that an applicant
may take benefits in a single benefit year for a serious health condition is the lesser of 12
weeks, or 12 weeks minus the number of weeks within the same benefit year that the
applicant received benefits for bonding, safety leave, family care, deleted text begin or deleted text end new text begin and new text end qualifying exigency
plus eight weeks.

(b) The total number of weeks that an applicant may take benefits in a single benefit
year for bonding, safety leave, family care, deleted text begin or deleted text end new text begin and new text end qualifying exigency is the lesser of 12
weeks, or 12 weeks minus the number of weeks within the same benefit year that the
applicant received benefits for a serious health condition plus eight weeks.

Subd. 6.

Minimum period for which benefits payable.

new text begin (a) new text end Except for a claim for
benefits for bonding leave, any claim for benefits must be based on a single qualifying event
of at least seven calendar days. deleted text begin The minimum duration to receive benefits under this chapter
is one work day in a work week.
deleted text end

new text begin (b) The initial paid week is only payable if the applicant submits documentation to the
commissioner's satisfaction demonstrating that the applicant does not have at least 80 hours
of paid vacation leave, paid sick leave, or other paid time off available to them from the
employer from whom they are taking leave at the earlier of the effective date of application
or the effective date of leave. For an applicant having an available leave balance of 80 hours
or less, the program pays the first week in its entirety.
new text end

new text begin (c) The initial paid week is partially payable if the applicant submits documentation to
the commissioner's satisfaction demonstrating that the applicant has more than 80 hours
and less than 120 hours of paid vacation leave, paid sick leave, or other paid time off available
to them from the employer from whom they are taking leave at the earlier of the effective
date of application or the effective date of leave. The department shall prorate the initial
paid week based on the applicant's leave balance, so as not to go below 80 available leave
hours remaining at the end of the initial paid week.
new text end

new text begin (d) The requirements in paragraphs (b) and (c) do not apply to bonding leave.
new text end

new text begin Subd. 6a. new text end

new text begin Minimum increment of leave. new text end

new text begin Intermittent leave must be taken in increments
consistent with the established policy of the employer to account for use of other forms of
leave, so long as such employer's policy permits a minimum increment of at most one
calendar day of intermittent leave. An applicant is not permitted to apply for payment for
benefits associated with intermittent leave until the applicant has eight hours of accumulated
leave time, unless more than 30 calendar days have lapsed since the initial taking of the
leave.
new text end

deleted text begin Subd. 7. deleted text end

deleted text begin Right of appeal. deleted text end

deleted text begin (a) A determination or amended determination of benefit
account is final unless an appeal is filed by the applicant within 60 calendar days after the
sending of the determination or amended determination.
deleted text end

deleted text begin (b) Any applicant may appeal from a determination or amended determination of benefit
account on the issue of whether services performed constitute employment, whether the
employment is covered employment, and whether money paid constitutes wages.
deleted text end

Subd. 8.

Limitations on applications and deleted text begin benefit accounts deleted text end new text begin leaves new text end .

new text begin (a) new text end An application
for family or medical leave benefits is effective the Sunday of the calendar week that the
application was filed. An application for benefits may be backdated one calendar week
before the Sunday of the week the application was actually filed if the applicant requests
the backdating within seven calendar days of the deleted text begin date the application is filed deleted text end new text begin effective date
of application new text end . An application may be backdated only if the applicant was eligible for the
benefit during the period of the backdating. If an individual attempted to file an application
for benefits, but was prevented from filing an application by the department, the application
is effective the Sunday of the calendar week the individual first attempted to file an
application.

new text begin (b) If the applicant was unable to apply in a timely manner due to incapacitation or due
to no fault of their own, the commissioner may backdate the claim beyond one calendar
week to the effective date of leave. The commissioner may require the employee to prove
the circumstances that prevented timely filing.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective November 1, 2025, except that the
requirements in subdivision 6, paragraphs (b) to (d), are effective January 1, 2026, and
sunset on January 1, 2027.
new text end

Sec. 15.

Minnesota Statutes 2023 Supplement, section 268B.06, subdivision 2, is amended
to read:

Subd. 2.

Seven-day qualifying event.

(a) The period for which an applicant is seeking
benefits must be or have been based on a single event of at least seven calendar days' duration
related to medical care related to pregnancy, family care, a qualifying exigency, safety leave,
or the applicant's serious health condition. The days must be consecutive, unless the leave
is intermittent. new text begin Subject to the requirements in section 268B.04, subdivision 6, the seven-day
qualifying event under this paragraph is a payable period, not an unpaid waiting period.
new text end

(b) Benefits related to bonding need not meet the seven-day qualifying event requirement.

(c) The commissioner shall use the rulemaking authority under section 268B.02,
subdivision 3, to adopt rules regarding what serious health conditions and other events are
prospectively presumed to constitute seven-day qualifying events under this chapter.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective November 1, 2025.
new text end

Sec. 16.

Minnesota Statutes 2023 Supplement, section 268B.06, subdivision 3, is amended
to read:

Subd. 3.

Certification.

(a) Certification for an applicant taking leave related to the
applicant's serious health condition shall be sufficient if the certification states the date on
which the serious health condition began, the probable duration of the condition, and the
appropriate medical facts within the knowledge of the health care provider as required by
the commissioner. If the applicant requests intermittent leave, the certification must include
the health care provider's reasonable estimate of the frequency and duration and estimated
treatment schedule, if applicable.

(b) Certification for an applicant taking leave to care for a family member with a serious
health condition shall be sufficient if the certification states the date on which the serious
health condition commenced, the probable duration of the condition, the appropriate medical
facts within the knowledge of the health care provider as required by the commissioner, a
statement that the family member requires care, and an estimate of the amount of time that
the family member will require care.

(c) Certification for an applicant taking leave due to medical care related to pregnancy
shall be sufficient if the certification states the applicant is experiencing medical care related
to pregnancy and recovery period based on appropriate medical facts within the knowledge
of the health care provider.

(d) Certification for an applicant taking bonding leave because of the birth of the
applicant's child shall be sufficient if the certification includes either the child's birth
certificate or a document issued by the health care provider of the child or the health care
provider of the person who gave birth, stating the child's birth date or estimated due date.

(e) Certification for an applicant taking bonding leave because of the placement of a
child with the applicant for adoption or foster care shall be sufficient if the applicant provides
a document issued by the health care provider of the child, an adoption or foster care agency
involved in the placement, or by other individuals as determined by the commissioner that
confirms the placement and the date of placement. To the extent that the status of an applicant
as an adoptive or foster parent changes while an application for benefits is pending, or while
the covered individual is receiving benefits, the applicant must notify the department of
such change in status in writing.

(f) Certification for an applicant taking leave because of a qualifying exigency shall be
sufficient if the certification includes:

(1) a copy of the family member's active-duty orders;

(2) other documentation issued by the United States armed forces; or

(3) other documentation permitted by the commissioner.

(g) Certification for an applicant taking safety leave is sufficient if the certification
includes a court record or documentation signed by deleted text begin an employee of a victim's services
organization, an attorney, a police officer, or an antiviolence counselor deleted text end new text begin a provider acting in
the provider's professional capacity to declare a need for safety leave new text end . The commissioner
must not require disclosure of details relating to an applicant's or applicant's family member's
domestic abuse, sexual assault, or stalking. new text begin The commissioner may adopt rules regarding
an individual's capacity to declare a need for safety leave.
new text end

(h) Certifications under paragraphs (a) to deleted text begin (e) deleted text end new text begin (d) new text end must be reviewed and signed by a health
care provider with knowledge of the qualifying event associated with the leave.

(i) For a leave taken on an intermittent basis, based on a serious health condition of an
applicant or applicant's family member, the certification under this subdivision must include
an explanation of how such leave would be medically beneficial to the individual with the
serious health condition.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective November 1, 2025.
new text end

Sec. 17.

Minnesota Statutes 2023 Supplement, section 268B.06, subdivision 4, is amended
to read:

Subd. 4.

Not eligible.

An applicant is ineligible for family or medical leave benefits for
any portion of a typical workweek:

(1) that occurs before the effective date of deleted text begin a benefit account deleted text end new text begin leave new text end ;

(2) that the applicant fails or refuses to provide information on an issue of ineligibility
required under section 268B.07, subdivision 2; deleted text begin or
deleted text end

(3) for which the applicant worked for pay deleted text begin . deleted text end new text begin ;
new text end

new text begin (4) for which the applicant is incarcerated; or
new text end

new text begin (5) for which the applicant is receiving or has received unemployment insurance benefits.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective November 1, 2025.
new text end

Sec. 18.

Minnesota Statutes 2023 Supplement, section 268B.06, subdivision 5, is amended
to read:

Subd. 5.

Vacation, sick leave, new text begin and new text end paid time off deleted text begin , and disability insurance
payments deleted text end .

(a) An employee may use vacation pay, sick pay, new text begin or new text end paid time off pay deleted text begin , or disability
insurance payments, deleted text end in lieu of family or medical leave program benefits under this chapter,
provided the employee is concurrently eligible new text begin and subject to the total amount of leave
available under section 268B.04, subdivision 5 new text end . Subject to the limitations of section 268B.09,
deleted text begin subdivision 1 deleted text end new text begin subdivisions 6 and 7 new text end , an employee is entitled to the employment protections
under section 268B.09 for those workdays during which this option is exercised. This
subdivision applies to private plans under section 268B.10.

(b) An employer may offer supplemental benefit payments, as defined in section 268B.01,
subdivision 41, to an employee taking leave under this chapter. The choice to receive
supplemental benefits lies with the employee. Nothing in this section shall be construed as
requiring an employee to receive or an employer to provide supplemental benefits payments.
The total amount of paid benefits under this chapter and the supplemental benefits paid
must not exceed the employee's usual salary.

new text begin (c) An employer may provide an employee with wage replacement during an absence.
If the total amount of paid benefits under this chapter and the supplemental benefits paid
exceed the employee's usual salary, the employee must refund the excess to either the
employer or the paid leave division.
new text end

new text begin (d) If an employer provides wage replacement to an employee for weeks that should be
paid by the division, the department may reimburse the employer directly for those weeks.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective November 1, 2025.
new text end

Sec. 19.

Minnesota Statutes 2023 Supplement, section 268B.06, is amended by adding a
subdivision to read:

new text begin Subd. 7a. new text end

new text begin Disability insurance offset. new text end

new text begin An employee may receive disability insurance
payments in addition to family and medical leave benefits provided the employee is
concurrently eligible for both benefits. Disability insurance benefits may be offset by family
and medical leave benefits paid to the employee pursuant to the terms of a disability insurance
policy.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective November 1, 2025.
new text end

Sec. 20.

Minnesota Statutes 2023 Supplement, section 268B.07, subdivision 1, is amended
to read:

Subdivision 1.

Employer notification.

(a) Upon a determination that an applicant is
entitled to benefits, the commissioner must promptly send a notification to deleted text begin each current
employer deleted text end new text begin the employer or employers new text end of the applicant new text begin from which the applicant is taking
leave new text end , if any, in accordance with paragraph (b).

(b) The notification under paragraph (a) must include, at a minimum:

(1) the name of the applicant;

(2) that the applicant has applied for and received benefits;

(3) the week the benefits commence;

(4) the weekly benefit amount payable; and

(5) the maximum duration of benefits.

new text begin (c) The commissioner may adopt rules regarding additional information that may be
requested from an applicant and notifications provided to an employer as part of the
application and eligibility determination process for benefits.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective November 1, 2025.
new text end

Sec. 21.

Minnesota Statutes 2023 Supplement, section 268B.07, subdivision 2, is amended
to read:

Subd. 2.

Determination.

(a) The commissioner must determine any issue of ineligibility
raised by information required from an applicant and send to the applicant and any current
base period employer new text begin from which the applicant applied to take leave new text end , by mail or electronic
transmission, deleted text begin a document titled deleted text end a determination of eligibility or a determination of
ineligibility, as is appropriate, within two weeks, unless the application is incomplete due
to outstanding requests for information including clerical or other errors. Nothing prohibits
the commissioner from requesting additional information or the applicant from supplementing
their initial application before a determination of eligibility. The commissioner may extend
the deadline for a determination under this subdivision due to extenuating circumstances.

new text begin (b) The commissioner shall set requirements for an applicant to respond to a request for
information. If the required information is not provided in the timeline provided in paragraph
(a), the application is denied.
new text end

new text begin (c) The commissioner shall prescribe requirements for when an incomplete application
is closed. Applicants shall have the ability to reopen closed claims in a manner and form
prescribed by the commissioner.
new text end

deleted text begin (b) deleted text end new text begin (d) new text end If an applicant obtained benefits through misrepresentation, the department is
authorized to issue a determination of ineligibility within 12 months of the deleted text begin establishment
of the benefit account deleted text end new text begin effective date of leave new text end .

deleted text begin (c) deleted text end new text begin (e) new text end If the department has filed an intervention in a deleted text begin worker's deleted text end new text begin workers' new text end compensation
matter under section 176.361, the department is authorized to issue a determination of
ineligibility within 48 months of the deleted text begin establishment of the benefit account deleted text end new text begin effective date of
leave new text end .

deleted text begin (d) A determination of eligibility or determination of ineligibility is final unless an appeal
is filed by the applicant within 60 calendar days after sending. deleted text end new text begin (f) new text end The determination must
contain a prominent statement indicating the consequences of not appealing. deleted text begin Proceedings
on the appeal are conducted in accordance with section 268B.08.
deleted text end

deleted text begin (e) deleted text end new text begin (g) new text end An issue of ineligibility required to be determined under this section includes
any question regarding the denial or allowing of benefits under this chapter.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective November 1, 2025.
new text end

Sec. 22.

Minnesota Statutes 2023 Supplement, section 268B.07, subdivision 3, is amended
to read:

Subd. 3.

Amended determination.

Unless an appeal has been filed, the commissioner,
on the commissioner's own motion, may reconsider a determination of eligibility or
determination of ineligibility that has not become final and issue an amended determination.
Any amended determination must be sent to the applicant and any employer in the current
base period new text begin from which the applicant applied for leave new text end by mail or electronic transmission.
deleted text begin Any amended determination is final unless an appeal is filed by the applicant within 60
calendar days after sending.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective November 1, 2025.
new text end

Sec. 23.

new text begin [268B.081] APPEALS.
new text end

new text begin Subdivision 1. new text end

new text begin Appeal filing. new text end

new text begin (a) The commissioner may allow an appeal to be filed by
electronic transmission. The commissioner may restrict the manner and format under which
an appeal by electronic transmission may be filed. The notification of the determination or
decision that is subject to appeal must clearly state the manner in which the determination
or decision may be appealed. Subject to paragraph (b), this paragraph applies to requests
for reconsideration under subdivision 6.
new text end

new text begin (b) Except as provided in paragraph (c), the commissioner must allow an applicant to
file an appeal by mail even if an appeal by electronic transmission is allowed. To be
considered an appeal, a written statement delivered or mailed to the department must identify:
new text end

new text begin (1) the determination or decision that the applicant disagrees with; and
new text end

new text begin (2) the reason the applicant disagrees with the determination or decision.
new text end

new text begin (c) If an agent files an appeal on behalf of an employer, the commissioner may require
the appeal to be filed online. If the commissioner requires the appeal to be filed online, the
appeal must be filed through the electronic address provided on the determination being
appealed and use of another method of filing does not constitute an appeal. This paragraph
does not apply to:
new text end

new text begin (1) an employee filing an appeal on behalf of an employer; or
new text end

new text begin (2) an attorney licensed to practice law who is directly representing the employer on
appeal.
new text end

new text begin (d) All information requested by the department when the appeal is filed must be supplied
or the communication does not constitute an appeal.
new text end

new text begin (e) If no appeal is filed by the deadlines listed in subdivision 2, the determination or
decision is conclusive and final, unless the appealing party can demonstrate good cause for
failing to file in a timely manner. For purposes of this paragraph, "good cause" is a reason
that would have prevented a reasonable person acting with due diligence from filing in a
timely manner. Unless otherwise specified, deadlines in this section may be extended up to
60 days for good cause.
new text end

new text begin Subd. 2. new text end

new text begin Appealable issues and deadlines. new text end

new text begin (a) An applicant may appeal to the
department:
new text end

new text begin (1) within 30 calendar days after a financial eligibility determination or amended financial
eligibility determination sent by mail or electronic transmission by the department under
section 268B.04 regarding:
new text end

new text begin (i) whether services performed constitute employment;
new text end

new text begin (ii) whether the employment is covered employment;
new text end

new text begin (iii) whether money paid constitutes wages; or
new text end

new text begin (iv) a denial resulting from the applicant's missing or incomplete documentation;
new text end

new text begin (2) within 30 calendar days after an eligibility determination sent by the department
related to seasonal employment status under section 268B.06, subdivision 9;
new text end

new text begin (3) within 30 calendar days after an eligibility determination sent by the department
under section 268B.07 regarding:
new text end

new text begin (i) financial eligibility, calculations of benefit amount, work schedule, and leave balance
available; or
new text end

new text begin (ii) a denial resulting from missing or incomplete documentation;
new text end

new text begin (4) within 30 calendar days after the denial of a good cause demonstration under
subdivision 1, paragraph (e). The deadline for appeals of denials of good cause demonstration
may not be extended;
new text end

new text begin (5) within 30 calendar days after an applicant receives a decision from an insurer,
approved private plan administrator, or employer under section 268B.10, subdivision 6,
regarding the results of the administrative review under section 268B.10, subdivision 6,
paragraph (b); and
new text end

new text begin (6) within 30 calendar days after a determination of overpayment penalty sent by the
department under section 268B.185.
new text end

new text begin (b) A base period employer may appeal to the department:
new text end

new text begin (1) within 30 calendar days after a denial of an application for seasonal worker status
under section 268B.01, subdivision 35;
new text end

new text begin (2) within 30 calendar days after a financial eligibility determination or amended financial
eligibility determination sent by mail or electronic transmission by the department under
section 268B.04 regarding:
new text end

new text begin (i) whether services performed constitute employment;
new text end

new text begin (ii) whether the employment is covered employment; or
new text end

new text begin (iii) whether money paid constitutes wages;
new text end

new text begin (3) within 30 calendar days after a denial of an application for substitution of a private
plan is sent under section 268B.10;
new text end

new text begin (4) within 30 calendar days after a notice of termination of a private plan is sent by the
department under section 268B.10, subdivision 16;
new text end

new text begin (5) within 30 calendar days after a notice of penalties is sent by the department under
section 268B.10, subdivision 17;
new text end

new text begin (6) within 30 calendar days after the notice of the determination of the calculation of
premiums has been sent by the department under section 268B.14, subdivision 1;
new text end

new text begin (7) within 30 calendar days after a determination of denial is sent by the department
under section 268B.15, subdivision 7; and
new text end

new text begin (8) within 30 calendar days after a determination of penalty is sent by the department
under section 268B.19.
new text end

new text begin (c) Notwithstanding any provision of this chapter, the commissioner or a hearing officer
may, before a determination is made under this chapter, refer any issue of ineligibility, or
any other issue under this chapter, directly for hearing in accordance with this section. The
status of the issue is the same as if a determination had been made and an appeal filed.
new text end

new text begin (d) The computation of time provisions of sections 645.15 and 645.151 apply to this
section.
new text end

new text begin Subd. 3. new text end

new text begin Notice of hearing. new text end

new text begin The notice of hearing must include materials that provide:
new text end

new text begin (1) a statement that the purpose of the hearing is to take sworn testimony and other
evidence on the issues involved, that the hearing is the only procedure available under the
law at which a party may present evidence, and that further appeals consist of a review of
the evidence submitted at the hearing;
new text end

new text begin (2) a statement of the parties' right to represent themselves or to be represented by an
attorney or other authorized representative;
new text end

new text begin (3) a brief description of the procedure to be followed to request a continuance of the
hearing;
new text end

new text begin (4) a brief description of the procedure to be followed at the hearing, including the role
of the hearing officer;
new text end

new text begin (5) a statement that the parties should arrange in advance for the participation of witnesses
the parties need to support their position;
new text end

new text begin (6) a statement that a party may find out the name of the other party's attorney or other
authorized representative, names of the witnesses that the other party intends to have testify
at the hearing, and an explanation of the process for making the request;
new text end

new text begin (7) a statement that subpoenas may be available to compel the participation of witnesses
or the production of documents and an explanation of the process for requesting a subpoena;
new text end

new text begin (8) a statement that documents contained in the department's records and documents
submitted by the parties that will be introduced at the hearing as possible exhibits will be
sent to the parties in advance of the hearing;
new text end

new text begin (9) a statement that even if the applicant already received benefits, the applicant should
participate in the hearing, because if the applicant is held ineligible, the applicant is not
eligible to receive further benefits and will have to pay back the benefits already received;
new text end

new text begin (10) a statement that the hearing officer will determine the facts based upon a
preponderance of the evidence along with the statutory definition of "preponderance of the
evidence"; and
new text end

new text begin (11) a statement that a party who fails to participate in the hearing will not be allowed
a rehearing unless the party can show good cause for failing to participate, along with the
statutory definition of "good cause."
new text end

new text begin Subd. 4. new text end

new text begin Hearing. new text end

new text begin (a) Upon a timely appeal to a determination having been filed or upon
a referral for direct hearing, the department must set a time and date for a de novo due
process hearing and send notice to an applicant and an employer, by mail or electronic
transmission, not less than ten calendar days before the date of the hearing.
new text end

new text begin (b) The commissioner may adopt rules on procedures for hearings. The rules need not
conform to common law or statutory rules of evidence and other technical rules of procedure.
new text end

new text begin (c) The department has discretion regarding the method by which the hearing is
conducted.
new text end

new text begin (d) The department may conduct a joint hearing with the unemployment insurance
division if the substance of the appeal pertains to both programs.
new text end

new text begin (e) The department must assign a hearing officer to conduct a hearing and may transfer
to another hearing officer any proceedings pending before another hearing officer.
new text end

new text begin (f) The department has discretion regarding the method by which the hearing is conducted.
The hearing must be conducted by a hearing officer as an evidence-gathering inquiry, without
regard to a burden of proof. The order of presentation of evidence is determined by the
hearing officer.
new text end

new text begin (g) Each party may present and examine witnesses and offer their own documents or
other exhibits. Parties have the right to examine witnesses, object to exhibits and testimony,
and cross-examine the other party's witnesses. The hearing officer must assist all parties in
the presentation of evidence. The hearing officer must rule upon evidentiary objections on
the record. The hearing officer must permit rebuttal testimony. Parties have the right to
make closing statements. Closing statements may include comments based upon the evidence
and arguments of law. The hearing officer may limit repetitious testimony and arguments.
new text end

new text begin (h) The hearing officer must exercise control over the hearing procedure in a manner
that protects the parties' rights to a fair hearing, including the sequestration of witnesses to
avoid prejudice or collusion. The hearing officer must ensure that all relevant facts are
clearly and fully developed. The hearing officer may obtain testimony and other evidence
from department employees and any other person the hearing officer believes will assist in
reaching a proper result.
new text end

new text begin (i) Before taking testimony, the hearing officer must inform the parties:
new text end

new text begin (1) that the purpose of the hearing is to take testimony and other evidence on the issues;
new text end

new text begin (2) that the hearing is the only opportunity available to the parties to present testimony
and other evidence on the issues involved;
new text end

new text begin (3) of an explanation of how the hearing will be conducted, including the role and
obligations of the hearing officer;
new text end

new text begin (4) that the parties have the right to request that the hearing be continued so that additional
witnesses and documents can be presented, by subpoena if necessary;
new text end

new text begin (5) that the facts will be determined upon a preponderance of the evidence, along with
the statutory definition of "preponderance of the evidence";
new text end

new text begin (6) of the statutory provision on burden of proof;
new text end

new text begin (7) that certain government agencies may have access to the information provided at the
hearing if allowed by statute and that the information provided may be disclosed under a
district court order; and
new text end

new text begin (8) that after the hearing is over, the hearing officer will issue a written decision, which
will be sent to the parties by mail or electronic transmission.
new text end

new text begin Subd. 5. new text end

new text begin Decision. new text end

new text begin (a) After the conclusion of the hearing, upon the evidence obtained,
the hearing officer must serve by mail or electronic transmission to all parties the decision,
reasons for the decision, and written findings of fact. The hearing officer's decision is final
unless a request for reconsideration is filed under subdivision 6.
new text end

new text begin (b) If the appellant fails to participate in the hearing, the hearing officer has the discretion
to dismiss the appeal by summary decision. By failing to participate, the appellant is
considered to have failed to exhaust available administrative remedies unless the appellant
files a request for reconsideration under subdivision 6 and establishes good cause for failing
to participate in the hearing. Submission of a written statement does not constitute
participation. The appellant must participate personally or through an authorized
representative.
new text end

new text begin (c) The hearing officer must issue a decision dismissing the appeal as untimely if the
judge decides the appeal was not filed in accordance with the deadlines under subdivision
2 after sending the determination. The hearing officer may dismiss the appeal by summary
decision or may conduct a hearing to obtain evidence on the timeliness of the appeal.
new text end

new text begin (d) Decisions of a hearing officer are not precedential.
new text end

new text begin Subd. 6. new text end

new text begin Request for reconsideration. new text end

new text begin Any party, or the commissioner, may, within
30 calendar days after service of the hearing officer's decision, file a request for
reconsideration asking the hearing officer to reconsider that decision. Upon the filing of a
request for reconsideration, the division must send a notice by mail or electronic transmission
to the appellant that a request for reconsideration has been filed. The notice must inform
the appellant:
new text end

new text begin (1) that reconsideration is the procedure for the hearing officer to correct any factual or
legal mistake in the decision or to order an additional hearing when appropriate;
new text end

new text begin (2) of the opportunity to provide comment on the request for reconsideration and the
right to obtain a copy of any recorded testimony and exhibits offered or received into
evidence at the hearing;
new text end

new text begin (3) that providing specific comments as to a perceived factual or legal mistake in the
decision, or a perceived mistake in procedure during the hearing, will assist the hearing
officer in deciding the request for reconsideration;
new text end

new text begin (4) of the right to obtain any comments and submissions provided by any other party
regarding the request for reconsideration; and
new text end

new text begin (5) of the provisions of paragraph (c) regarding additional evidence.
new text end

new text begin This paragraph does not apply if paragraph (d) is applicable. Sending the notice does not
mean the hearing officer has decided the request for reconsideration was timely filed.
new text end

new text begin (c) In deciding a request for reconsideration, the hearing officer must not consider
evidence that was not submitted at the hearing, except for purposes of determining whether
to order an additional hearing. The hearing officer must order an additional hearing if a
party shows that evidence which was not submitted at the hearing:
new text end

new text begin (1) would likely change the outcome of the decision and there was good cause for not
having previously submitted that evidence; or
new text end

new text begin (2) would show that the evidence that was submitted at the hearing was likely false and
that the likely false evidence had an effect on the outcome of the decision.
new text end

new text begin For purposes of this paragraph, "good cause" is a reason that would have prevented a
reasonable person acting with due diligence from submitting the evidence.
new text end

new text begin (d) If the appellant failed to participate in the hearing, the hearing officer must issue an
order setting aside the decision and ordering an additional hearing if the party who failed
to participate had good cause for failing to do so. The appellant who failed to participate in
the hearing must be informed of the requirement to show good cause for failing to participate.
If the hearing officer determines that good cause for failure to participate has not been
shown, the judge must state that determination in the decision issued under paragraph (f).
Submission of a written statement at the hearing does not constitute participation for purposes
of this paragraph. "Good cause" for purposes of this paragraph is a reason that would have
prevented a reasonable person acting with due diligence from participating in the hearing.
new text end

new text begin (e) A request for reconsideration must be decided by the hearing officer who issued the
decision under subdivision 5 unless that hearing officer:
new text end

new text begin (1) is no longer employed by the department as a hearing officer;
new text end

new text begin (2) is on an extended or indefinite leave; or
new text end

new text begin (3) has been removed from the proceedings by the department.
new text end

new text begin (f) If a request for reconsideration is timely filed, the hearing officer must issue:
new text end

new text begin (1) a decision affirming the findings of fact, reasons for the decision, and a decision
issued under subdivision 5;
new text end

new text begin (2) a decision modifying the findings of fact, reasons for the decision, and a decision
issued under subdivision 5; or
new text end

new text begin (3) an order setting aside the findings of fact, reasons for the decision, and a decision
issued under subdivision 5 and ordering an additional hearing.
new text end

new text begin (g) The hearing officer must issue a decision dismissing the request for reconsideration
as untimely if the judge decides the request for reconsideration was not filed within 30
calendar days after sending the decision under subdivision 5.
new text end

new text begin (h) The hearing officer must send to all parties by mail or electronic transmission the
decision or order issued under this subdivision. A decision affirming or modifying the
previously issued findings of fact, reasons for the decision, and a decision issued under
subdivision 5, or a decision dismissing the request for reconsideration as untimely, is the
final decision on the matter and is binding on the parties unless judicial review is sought
under subdivision 9.
new text end

new text begin Subd. 7. new text end

new text begin Withdrawal of an appeal. new text end

new text begin (a) An appeal that is pending before a hearing officer
may be withdrawn by the appealing party, or an authorized representative of that party, by
filing a notice of withdrawal. A notice of withdrawal may be filed by mail or by electronic
transmission.
new text end

new text begin (b) The appeal must, by order, be dismissed if a notice of withdrawal is filed, unless a
hearing officer directs that further proceedings are required. An order of dismissal issued
because of a notice of withdrawal is not subject to reconsideration or appeal.
new text end

new text begin (c) A party may file a new appeal after the order of dismissal, but the original deadline
period for appeal begins from the date of issuance of the determination, and that period is
not suspended or restarted by the notice of withdrawal and order of dismissal. The new
appeal may only be filed by mail or facsimile transmission.
new text end

new text begin (d) For purposes of this subdivision, "appeals" includes a request for reconsideration
filed under subdivision 6.
new text end

new text begin Subd. 8. new text end

new text begin Effect of decisions. new text end

new text begin (a) If a hearing officer's decision allows benefits to an
applicant, the benefits must be paid regardless of any request for reconsideration or petition
to the Minnesota Court of Appeals.
new text end

new text begin (b) If a hearing officer's decision modifies or reverses a determination that allowed
benefits to be paid, or on reconsideration the decision modifies or reverses a prior decision
that allowed benefits to be paid, any benefits paid are an overpayment of those benefits. A
decision that results in an overpayment of benefits must set out the amount of the
overpayment and the requirement under section 268B.185, subdivision 1, that the benefits
must be repaid.
new text end

new text begin (c) If a hearing officer, on reconsideration under subdivision 6, orders the taking of
additional evidence, the hearing officer's prior decision must continue to be enforced until
new findings of fact and decision are made by the hearing officer.
new text end

new text begin Subd. 9. new text end

new text begin Use of evidence; data privacy. new text end

new text begin (a) All testimony at a hearing must be recorded.
A copy of recorded testimony and exhibits offered or received into evidence at the hearing
must, upon request, be furnished to a party at no cost:
new text end

new text begin (1) during the time period for filing a request for reconsideration;
new text end

new text begin (2) while a request for reconsideration is pending;
new text end

new text begin (3) during the time for filing a petition under subdivision 12; or
new text end

new text begin (4) while a petition is pending.
new text end

new text begin Regardless of any law to the contrary, recorded testimony and other evidence may later be
made available only under a district court order. A subpoena is not considered a district
court order.
new text end

new text begin (b) Testimony obtained at a hearing must not be used or considered for any purpose,
including impeachment, in any civil, administrative, or contractual proceeding, except by
a local, state, or federal human rights agency with enforcement powers, unless the proceeding
is initiated by the department. This paragraph does not apply to criminal proceedings.
new text end

new text begin Subd. 10. new text end

new text begin No collateral estoppel. new text end

new text begin No findings of fact, decision, or order issued by a
hearing officer may be held conclusive or binding or used as evidence in any separate or
subsequent action in any other forum, be it contractual, administrative, or judicial, except
proceedings provided for under this chapter, regardless of whether the action involves the
same or related parties or involves the same facts.
new text end

new text begin Subd. 11. new text end

new text begin Representation; fees. new text end

new text begin (a) In any proceeding under subdivision 4 or 6, an
applicant or employer may be self-represented or represented by an attorney or an authorized
representative. Except for services provided by a licensed attorney, no person may charge
an applicant a fee of any kind for advising, assisting, or representing an applicant in a
hearing, on reconsideration, or in a proceeding under subdivision 12.
new text end

new text begin (b) A hearing officer may refuse to allow a person to represent others in a hearing if that
person acts in an unethical manner or repeatedly fails to follow the instructions of the hearing
officer.
new text end

new text begin (c) An applicant may not be charged fees, costs, or disbursements of any kind in a
proceeding before a hearing officer, the Minnesota Court of Appeals, or the Supreme Court
of Minnesota.
new text end

new text begin (d) No attorney fees may be awarded, or costs or disbursements assessed, against the
department as a result of any proceedings under this section.
new text end

new text begin Subd. 12. new text end

new text begin Appeal to court of appeals. new text end

new text begin (a) Any final determination on a request for
reconsideration may be appealed by any party directly to the Minnesota Court of Appeals.
The Minnesota Court of Appeals must, by writ of certiorari to the department, review the
hearing officer's decision on reconsideration, provided a petition for the writ is filed with
the court and a copy is served upon the hearing officer or the commissioner and any other
party within 30 calendar days of the sending of the hearing officer's decision on
reconsideration under subdivision 6. Three days are added to the 30-calendar-day period if
the decision on reconsideration was mailed to the parties.
new text end

new text begin (b) Any employer petitioning for a writ of certiorari must pay to the court the required
filing fee in accordance with the Rules of Civil Appellate Procedure. If the employer requests
a written transcript of the testimony received at the hearing conducted under this section,
the employer must pay to the department the cost of preparing the transcript. That money
is credited to the administration account.
new text end

new text begin (c) Upon issuance by the Minnesota Court of Appeals of a writ of certiorari as a result
of an applicant's petition, the department must furnish to the applicant at no cost a written
transcript of any testimony received at the hearing conducted under this section and, if
requested, a copy of all exhibits entered into evidence. No filing fee or cost bond is required
of an applicant petitioning the Minnesota Court of Appeals for a writ of certiorari.
new text end

new text begin (d) The Minnesota Court of Appeals may affirm the decision of the hearing officer or
remand the case for further proceedings, or it may reverse or modify the decision if the
substantial rights of the petitioner may have been prejudiced because the findings, inferences,
conclusion, or decision are:
new text end

new text begin (1) in violation of constitutional provisions;
new text end

new text begin (2) in excess of the statutory authority or jurisdiction of the department;
new text end

new text begin (3) made upon unlawful procedure;
new text end

new text begin (4) affected by other error of law;
new text end

new text begin (5) unsupported by substantial evidence in view of the hearing record as submitted; or
new text end

new text begin (6) arbitrary or capricious.
new text end

new text begin (e) The department is the primary responding party to any judicial action involving a
hearing officer's decision. The department may be represented by an attorney licensed to
practice law in Minnesota.
new text end

new text begin Subd. 13. new text end

new text begin Rescheduling and continuances. new text end

new text begin (a) Requests to reschedule a hearing must
be addressed in a manner and form prescribed by the commissioner in advance of the
regularly scheduled hearing date. A hearing must be rescheduled based on a party's good
cause need for additional time to obtain necessary evidence or to obtain representation or
adequately prepare, inability to participate due to illness, or other compelling reasons beyond
the control of the party that prevent participation at the originally scheduled time. A hearing
may be rescheduled only once by each party except in the case of an emergency. If requested,
a written statement by mail or electronic transmission confirming the reasons for requesting
that the case be rescheduled must be provided to the department.
new text end

new text begin (b) The ten-calendar-day notice requirement for hearings does not apply to rescheduled
hearings.
new text end

new text begin (c) If a request for rescheduling is made because of the unavailability of a witness or
the need to obtain documents, the hearing officer may direct that the hearing take place as
scheduled. After obtaining the testimony and other evidence then available, the hearing
officer must determine whether the hearing should be continued to obtain the testimony of
the unavailable witness or the unavailable documents. The ten-calendar-day notice
requirement for hearings does not apply to continued hearings. The hearing officer has the
discretion to continue a hearing if the hearing officer determines that additional evidence
is necessary for a proper result.
new text end

new text begin Subd. 14. new text end

new text begin Consolidation of parties, issues, and new issues. new text end

new text begin Upon the request of a party
or on the hearing officer's motion, the hearing officer may consolidate for hearing issues
involving one or more of the same parties. The hearing officer may take testimony and
render a decision on issues not listed on the notice of hearing if each party is notified on
the record, is advised of the right to object, and does not object. If a party objects, the hearing
officer must:
new text end

new text begin (1) continue the hearing to allow the party to prepare for consideration of the issue; or
new text end

new text begin (2) direct the department to address the issue and send to the parties a determination by
mail or electronic transmission.
new text end

new text begin Subd. 15. new text end

new text begin Interpreters. new text end

new text begin (a) The department must provide an interpreter, when necessary,
upon the request of a party. The requesting party must notify the department at least five
calendar days before the date of the hearing that an interpreter is required. The hearing
officer must continue any hearing where a witness or party needs an interpreter to be
understood or to understand the proceedings.
new text end

new text begin (b) A written statement in the five most common languages spoken in Minnesota must
accompany all notices and written materials sent to the parties stating that the accompanying
documents are important and that if the reader does not understand the documents the reader
should seek immediate assistance.
new text end

new text begin Subd. 16. new text end

new text begin Exhibits in hearings. new text end

new text begin (a) Upon receipt of the notice of hearing, and no later
than five calendar days before the scheduled date of hearing, parties may submit to the
department, by electronic transmission or mail, any documents a party would like to offer
as exhibits at the hearing. Copies of the documents submitted by the parties, as well as all
documents that are contained in the department's records that will be introduced as exhibits,
must be mailed, or sent by electronic transmission, to all parties or the parties' authorized
representatives by the department in advance of the hearing.
new text end

new text begin (b) If a party requests to introduce additional documents during the hearing, and the
hearing officer rules that the documents should be considered, the requesting party must
provide copies of the documents to the hearing officer and the other party. The record must
be left open for sufficient time for the submission of a written response to the documents.
The response may be sent by mail or electronic transmission. The hearing officer may, when
appropriate, reconvene the hearing to obtain a response or permit cross-examination regarding
the late filed exhibits.
new text end

new text begin Subd. 17. new text end

new text begin Access to data. new text end

new text begin The parties to a hearing must be allowed reasonable access
to department data necessary to represent themselves in the hearing. Access to data must
be consistent with all laws relating to data practices. The data must be provided by the
department at no cost and mailed or sent by electronic transmission to the party or the party's
authorized representative.
new text end

new text begin Subd. 18. new text end

new text begin Subpoenas and discovery. new text end

new text begin (a) The hearing officer may issue subpoenas to
compel the attendance of witnesses, the production of documents, or other exhibits upon a
showing of necessity by the requesting party. Requests for issuance of subpoenas must be
made to the department, by electronic transmission or mail, sufficiently in advance of the
scheduled hearing to allow for the service of the subpoenas. The requesting party must
identify the person or documents to be subpoenaed and the subject matter and necessity of
the evidence requested. A request for a subpoena may be denied if the testimony or
documents sought would be irrelevant, immaterial, or unduly cumulative or repetitious.
new text end

new text begin (b) If a request for a subpoena has been denied, the hearing officer must reconsider the
request during the hearing and determine whether the request was properly denied. If the
hearing officer determines that the request for a subpoena was not properly denied, the
hearing officer must continue the hearing to allow for service of and compliance with the
subpoena. The hearing officer may issue a subpoena even if a party has not requested one.
new text end

new text begin (c) Within five calendar days following request by another party, each party must disclose
the name of the party's attorney or other authorized representative and the names of all
witnesses the party intends to have testify at the hearing. The request and the response may
be made by mail or by electronic transmission. Any witnesses unknown at the time of the
request must be disclosed as soon as they become known. If a party fails to comply with
the disclosure requirements, the hearing officer may, upon notice to the parties, continue
the hearing.
new text end

new text begin Subd. 19. new text end

new text begin Disqualification of hearing officer. new text end

new text begin (a) A hearing officer must request to be
removed from any case by the department where the hearing officer believes that presiding
over the case would create the appearance of impropriety. The department must remove a
hearing officer from any case if the hearing officer has a financial or personal interest in
the outcome.
new text end

new text begin (b) Any party may request the removal of a hearing officer by submitting to the
department, by mail or electronic transmission, a written statement of the basis for removal.
The department must decide the fitness of the hearing officer to hear the particular case.
new text end

new text begin Subd. 20. new text end

new text begin Public access to hearings and recording of hearings. new text end

new text begin (a) Hearings are not
public. Only parties, the parties' authorized representatives and witnesses, and authorized
department personnel are permitted to participate in or listen to hearings. If any other person
wishes to listen to or sit in on a hearing, the parties must provide their consent as required
by section 13.05, subdivision 4.
new text end

new text begin (b) The hearing officer must make a recording of all testimony that is the official record.
No other voice recordings or pictures may be made of any party, representative, or witness
during the hearing.
new text end

new text begin Subd. 21. new text end

new text begin Administration of oath or affirmation. new text end

new text begin A hearing officer has authority to
administer oaths and affirmations. Before testifying, every witness is required to declare to
testify truthfully, by oath or affirmation under sections 358.07 and 358.08.
new text end

new text begin Subd. 22. new text end

new text begin Receipt of evidence. new text end

new text begin Only evidence received into the record of any hearing
may be considered by the hearing officer. The parties may stipulate to the existence of any
fact or the authenticity of any exhibit. All competent, relevant, and material evidence,
including records and documents in the possession of the parties that are offered into
evidence, are part of the hearing record. A hearing officer may receive any evidence that
possesses probative value, including hearsay, if it is the type of evidence on which reasonable,
prudent persons are accustomed to rely in the conduct of their serious affairs. A hearing
officer may exclude any evidence that is irrelevant, immaterial, unreliable, or unduly
repetitious. A hearing officer is not bound by statutory and common law rules of evidence.
The rules of evidence may be used as a guide in determining the quality of evidence offered.
A hearing officer may draw adverse inferences from the refusal of a party or witness to
testify on the basis of any privilege. A hearing officer may only use reliable, probative, and
substantial evidence as a basis for decision.
new text end

new text begin Subd. 23. new text end

new text begin Official notice. new text end

new text begin A hearing officer may take official notice of matters of common
knowledge and may take notice of facts within the hearing officer's specialized knowledge
in the field of paid leave. The hearing officer must state on the record any fact that is
judicially noticed. The hearing officer must give the parties an opportunity to contest the
noticed facts.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective November 1, 2025.
new text end

Sec. 24.

Minnesota Statutes 2023 Supplement, section 268B.09, subdivision 1, is amended
to read:

Subdivision 1.

Retaliation prohibited.

(a) An employer must not discharge, discipline,
penalize, interfere with, threaten, restrain, coerce, or otherwise retaliate or discriminate
against an employee for requesting or obtaining benefits or leave, or for exercising any
other right under this chapter.

(b) For the purposes of this section, the term "leave" includes but is not limited to:

(1) leave taken for any day for which new text begin the commissioner has determined that new text end the employee
deleted text begin has been deemed deleted text end new text begin is new text end eligible for benefits new text begin or leave new text end under this chapter; or

(2) any day for which the employee meets the eligibility criteria under section 268B.06,
subdivision 1, deleted text begin clause deleted text end new text begin paragraph (a), clauses new text end (2) deleted text begin or deleted text end new text begin and new text end (3), deleted text begin and deleted text end new text begin or new text end the employee has applied
for benefits in good faith under this chapter. For the purposes of this subdivision, "good
faith" is defined as anything that is not knowingly false or in reckless disregard of the truth.

(c) In addition to the remedies provided in subdivision 8, the commissioner of labor and
industry may also issue a penalty to the employer of not less than $1,000 and not more than
$10,000 per violation, payable to the employee aggrieved. In determining the amount of
the penalty under this subdivision, the appropriateness of the penalty to the size of the
employer's business and the gravity of the violation shall be considered.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective November 1, 2025.
new text end

Sec. 25.

Minnesota Statutes 2023 Supplement, section 268B.09, subdivision 6, is amended
to read:

Subd. 6.

Employee right to reinstatement.

(a) On return from leave under this chapter,
an employee is entitled to be returned to the same position the employee held when leave
commenced or to an equivalent position with equivalent benefits, pay, and other terms and
conditions of employment. new text begin Except as provided under subdivision 7, new text end an employee is entitled
to reinstatement even if the employee has been replaced or the employee's position has been
restructured to accommodate the employee's absence.

(b)(1) An equivalent position is one that is virtually identical to the employee's former
position in terms of pay, benefits, and working conditions, including privileges, prerequisites,
and status. It must involve the same or substantially similar duties and responsibilities,
which must entail substantially equivalent skill, effort, responsibility, and authority.

(2) If an employee is no longer qualified for the position because of the employee's
inability to attend a necessary course, renew a license, fly a minimum number of hours, or
similar condition, as a result of the leave, the employee must be given a reasonable
opportunity to fulfill those conditions upon return from leave.

(c)(1) An employee is entitled to any unconditional pay increases which may have
occurred during the leave period, such as cost of living increases. Pay increases conditioned
upon seniority, length of service, or work performed must be granted in accordance with
the employer's policy deleted text begin or deleted text end new text begin , new text end practice new text begin , or contract new text end with respect to other employees on an
equivalent leave status for a reason that does not qualify for leave under this chapter. An
employee is entitled to be restored to a position with the same or equivalent pay premiums,
such as a shift differential. If an employee departed from a position deleted text begin averaging ten hours of
overtime, and corresponding overtime pay, each week an deleted text end new text begin for which they receive overtime
pay, the new text end employee is ordinarily entitled to deleted text begin such deleted text end a position new text begin with overtime pay and overtime
hours new text end on return from leave under this chapter. new text begin If a pay premium, such as a shift differential,
or overtime has been decreased or eliminated for other similarly classified employees, an
employee is not entitled to restoration of the pay premium or overtime.
new text end

(2) Equivalent pay includes any bonus or payment, whether it is discretionary or
nondiscretionary, made to employees consistent with clause (1). If a bonus or other payment
is based on the achievement of a specified goal such as hours worked, products sold, or
perfect attendance, and the employee has not met the goal due to leave under this chapter,
the payment may be denied, unless otherwise paid to employees on an equivalent leave
status for a reason that does not qualify for leave under this chapter.

(d) Benefits under this section include all benefits provided or made available to
employees by an employer, including group life insurance, health insurance, disability
insurance, sick leave, annual leave, educational benefits, and pensions, regardless of whether
benefits are provided by a practice or written policy of an employer through an employee
benefit plan as defined in section 3(3) of United States Code, title 29, section 1002(3).

(1) At the end of an employee's leave under this chapter, benefits must be resumed in
the same manner and at the same levels as provided when the leave began, and subject to
any changes in benefit levels that may have taken place during the period of leave affecting
the entire workforce, unless otherwise elected by the employee. Upon return from a leave
under this chapter, an employee must not be required to requalify for any benefits the
employee enjoyed before leave began, including family or dependent coverages.

(2) An employee may, but is not entitled to, accrue any additional benefits or seniority
during a leave under this chapter. Benefits accrued at the time leave began must be available
to an employee upon return from leave.

(3) With respect to pension and other retirement plans, leave under this chapter must
not be treated as or counted toward a break in service for purposes of vesting and eligibility
to participate. If the plan requires an employee to be employed on a specific date in order
to be credited with a year of service for vesting, contributions, or participation purposes,
an employee on leave under this chapter must be treated as employed on that date. Periods
of leave under this chapter need not be treated as credited service for purposes of benefit
accrual, vesting, and eligibility to participate.

(4) Employees on leave under this chapter must be treated as if they continued to work
for purposes of changes to benefit plans. Employees on leave under this chapter are entitled
to changes in benefit plans, except those which may be dependent upon seniority or accrual
during the leave period, immediately upon return from leave or to the same extent they
would have qualified if no leave had been taken.

(e) An equivalent position must have substantially similar duties, conditions,
responsibilities, privileges, and status as the employee's original position.

(1) The employee must be reinstated to the same or a geographically proximate worksite
from where the employee had previously been employed. If the employee's original worksite
has been closed, the employee is entitled to the same rights as if the employee had not been
on leave when the worksite closed.

(2) The employee is ordinarily entitled to return to the same shift or the same or an
equivalent work schedule.

(3) The employee must have the same or an equivalent opportunity for bonuses,
profit-sharing, and other similar discretionary and nondiscretionary payments, excluding
any bonus paid to another employee or employees for covering the work of the employee
while the employee was on leave.

(4) This chapter does not prohibit an employer from accommodating an employee's
request to be restored to a different shift, schedule, or position which better suits the
employee's personal needs on return from leave, or to offer a promotion to a better position.
However, an employee must not be induced by the employer to accept a different position
against the employee's wishes.

(f) The requirement that an employee be restored to the same or equivalent job with the
same or equivalent pay, benefits, and terms and conditions of employment does not extend
to de minimis, intangible, or unmeasurable aspects of the job.

(g) Nothing in this section shall be deemed to affect the Americans with Disabilities
Act, United States Code, title 42, chapter 126.

(h) Ninety calendar days from the date of hire, an employee has a right and is entitled
to reinstatement as provided under this subdivision for any day for which:

(1) the employee has been deemed eligible for benefits under this chapter; or

(2) the employee meets the eligibility criteria under section 268B.06, subdivision 1,
deleted text begin clause deleted text end new text begin paragraph (a), clauses new text end (2) deleted text begin or deleted text end new text begin and new text end (3), deleted text begin and deleted text end new text begin or new text end the employee has applied for benefits in
good faith under this chapter. For the purposes of this paragraph, good faith is defined as
anything that is not knowingly false or in reckless disregard of the truth.

(i) This subdivision and subdivision 7 may be waived for employees who are working
in the construction industry under a bona fide collective bargaining agreement with a
construction trade union that maintains a referral-to-work procedure for employees to obtain
employment with multiple signatory employers, but only if the waiver is set forth in clear
and unambiguous terms in the collective bargaining agreement and explicitly cites this
subdivision and subdivision 7.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2026.
new text end

Sec. 26.

Minnesota Statutes 2023 Supplement, section 268B.09, subdivision 7, is amended
to read:

Subd. 7.

Limitations on an employee's right to reinstatement.

An employee has no
greater right to reinstatement or to other benefits and conditions of employment than if the
employee had been continuously employed during the period of leave under this chapter.
An employer must be able to show that an employee would not otherwise have been
employed at the time reinstatement is requested in order to deny restoration to employment.

(1) If an employee is laid off during the course of taking a leave under this chapter and
employment is terminated, the employer's responsibility to continue the leave, maintain
group health plan benefits, and restore the employee cease at the time the employee is laid
off, provided the employer has no continuing obligations under a collective bargaining
agreement or otherwise. An employer has the burden of proving that an employee would
have been laid off during the period of leave under this chapter and, therefore, would not
be entitled to restoration to a job slated for layoff when the employee's original position
would not meet the requirements of an equivalent position.

(2) If a shift has been eliminated or overtime has been decreased, an employee would
not be entitled to return to work that shift or the original overtime hours upon restoration.
However, if a position on, for example, a night shift has been filled by another employee,
the employee is entitled to return to the same shift on which employed before taking leave
under this chapter.

(3) If an employee was hired for a specific term or only to perform work on a discrete
project, the employer has no obligation to new text begin maintain group health plan benefits and new text end restore
the employee if the employment term or project is over and the employer would not otherwise
have continued to employ the employee.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2026.
new text end

Sec. 27.

Minnesota Statutes 2023 Supplement, section 268B.10, subdivision 1, is amended
to read:

Subdivision 1.

Application for substitution.

new text begin (a) new text end Employers may apply to the
commissioner for approval to meet their obligations under this chapter through the
substitution of a private plan that provides paid family, paid medical, or paid family and
medical benefits. In order to be approved as meeting an employer's obligations under this
chapter, a private plan must confer all of the same rights, protections, and benefits provided
to employees under this chapter, including but not limited to benefits under section 268B.04
and employment protections under section 268B.09. Employers may apply for approval of
private plans that exceed the benefits provided to employees under this chapter. An employee
covered by a private plan under this section retains all applicable rights and remedies under
section 268B.09.

new text begin (b) An insurer must file every form, application, rider, endorsement, and rate used in
connection with an insurance product that provides coverage for paid family and medical
leave benefits as described in this section with the commissioner at least 60 days prior to
the form or rate's effective date. The commissioner may extend this filing review period for
an additional period not to exceed 60 days. If any form, rate, or amendment is not disapproved
by the commissioner within the filing review period, the insurer may implement it. If the
commissioner notifies an insurer that has filed any form or rate that the form or rate does
not comply with this section, section 62A.02, or chapter 72A, it is unlawful for the insurer
to issue or use the form or rate. In the notice, the commissioner shall specify the reasons
for disapproval.
new text end

new text begin (c) Any insurer authorized to write accident and sickness insurance in Minnesota has
the power to issue an insurance product that provides coverage for paid family and medical
leave benefits as described in this section.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 28.

Minnesota Statutes 2023 Supplement, section 268B.10, subdivision 2, is amended
to read:

Subd. 2.

Private plan requirements; medical benefit program.

The commissioner,
in consultation with the commissioner of commerce, must approve an application for private
provision of the medical benefit program if the commissioner determines:

(1) all of the employees of the employer are to be covered under the provisions of the
employer plan;

(2) eligibility requirements for benefits and leave are no more restrictive than as provided
under this chapter;

(3) the weekly benefits payable under the private plan for any week are at least equal to
the weekly benefit amount payable under this chapter;

(4) the total number of weeks for which benefits are payable under the private plan is
at least equal to the total number of weeks for which benefits would have been payable
under this chapter;

(5) no greater amount is required to be paid by employees toward the cost of benefits
under the employer plan than by this chapter;

(6) wage replacement benefits are stated in the plan separately and distinctly from other
benefits;

(7) the private plan will provide benefits and leave for any serious health condition or
medical care related to pregnancy for which benefits are payable, and leave provided, under
this chapter;

(8) the private plan will impose no additional condition or restriction on the use of
medical benefits beyond those explicitly authorized by this chapter or regulations
promulgated pursuant to this chapter;

(9) the private plan will allow any employee covered under the private plan who is
eligible to receive medical benefits under this chapter to receive medical benefits under the
employer plan; deleted text begin and
deleted text end

(10) coverage will continue under the private plan while an employee remains employed
by the employer. new text begin For former employees, coverage for the purposes of benefits applies until
the individual is hired by a new employer or 26 weeks pass, whichever occurs first; and
new text end

new text begin (11) if an application for leave is filed by a former employee to a private plan, the plan
pays benefits for the totality of the leave. Private plans may not cut off eligibility for a
former employee during the course of an approved leave.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 29.

Minnesota Statutes 2023 Supplement, section 268B.10, subdivision 3, is amended
to read:

Subd. 3.

Private plan requirements; family benefit program.

The commissioner, in
consultation with the commissioner of commerce, must approve an application for private
provision of the family benefit program if the commissioner determines:

(1) all of the employees of the employer are to be covered under the provisions of the
employer plan;

(2) eligibility requirements for benefits and leave are no more restrictive than as provided
under this chapter;

(3) the weekly benefits payable under the private plan for any week are at least equal to
the weekly benefit amount payable under this chapter;

(4) the total number of weeks for which benefits are payable under the private plan is
at least equal to the total number of weeks for which benefits would have been payable
under this chapter;

(5) no greater amount is required to be paid by employees toward the cost of benefits
under the employer plan than by this chapter;

(6) wage replacement benefits are stated in the plan separately and distinctly from other
benefits;

(7) the private plan will provide benefits and leave for any care for a family member
with a serious health condition, bonding with a child, qualifying exigency, or safety leave
event for which benefits are payable, and leave provided, under this chapter;

(8) the private plan will impose no additional condition or restriction on the use of family
benefits beyond those explicitly authorized by this chapter or regulations promulgated
pursuant to this chapter;

(9) the private plan will allow any employee covered under the private plan who is
eligible to receive family benefits under this chapter to receive family benefits under the
employer plan; deleted text begin and
deleted text end

(10) coverage will continue under the private plan while an employee remains employed
by the employer. new text begin For former employees, coverage for the purposes of benefits applies until
the individual is hired by a new employer or 26 weeks pass, whichever occurs first; and
new text end

new text begin (11) if an application for leave is filed by a former employee to a private plan, the private
plan is required to pay benefits for the totality of the leave. Private plans must not discontinue
eligibility for a former employee during the course of an approved leave.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 30.

Minnesota Statutes 2023 Supplement, section 268B.10, subdivision 6, is amended
to read:

Subd. 6.

Private plan requirements; weekly benefit determination.

new text begin (a) new text end For purposes
of determining the family and medical benefit amount and duration under a private plan,
the weekly benefit amount and duration shall be based on the employee's typical work week
and wages earned with the employer at the time of an application for benefits. If an employer
does not have complete base period wage detail information, the employer may accept an
employee's certification of wage credits, based on the employee's records.

new text begin (b) In the event that an employee's request for benefits is denied, in whole or in part, or
the amount of the benefits is contested, the employee has the right to request administrative
review of a decision by the private plan within 30 calendar days. If the private plan maintains
the denial, the employee may appeal to the department as permitted in section 268B.08.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 31.

Minnesota Statutes 2023 Supplement, section 268B.10, is amended by adding a
subdivision to read:

new text begin Subd. 9a. new text end

new text begin Plan changes during approved leave. new text end

new text begin If an employee is using approved leave
under this chapter when their employer changes from the state plan to a private plan, from
a private plan to the state plan, or from one private plan to another private plan, the plan
under which the employee was covered when their benefits were approved is required to
continue paying benefits for continuous, intermittent, and reduced schedule leave through
the duration previously approved. If the employee requests an extension of their original
leave, or recertification is required, the employee may reapply for benefits with their new
plan.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 32.

Minnesota Statutes 2023 Supplement, section 268B.10, subdivision 12, is amended
to read:

Subd. 12.

Employees no longer covered.

(a) An employee is no longer covered by an
approved private plan deleted text begin if a leave under this chapter occurs after the employment relationship
with the private plan employer ends, or deleted text end if the commissioner revokes the approval of the
private plan.

(b) An employee no longer covered by an approved private plan is, if otherwise eligible,
immediately entitled to benefits under this chapter to the same extent as though there had
been no approval of the private plan.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 33.

Minnesota Statutes 2023 Supplement, section 268B.10, is amended by adding a
subdivision to read:

new text begin Subd. 12a. new text end

new text begin Former employees and benefit applications. new text end

new text begin Covered individuals that have
been separated from an employer with a private plan for less than 26 weeks shall file
applications for benefits as follows:
new text end

new text begin (1) if the former employee remains unemployed on the date that an application for
benefits is filed, the former employee shall submit an application for benefits with the private
plan of their former employer; and
new text end

new text begin (2) if the former employee has become employed by a different employer at the time
that an application for benefits is filed, the former employee shall submit an application for
benefits based on the new employer's coverage. If the new employer is covered under the
state plan, the former employee shall submit the application to the state. If the new employer
has an approved private plan, the covered individual shall submit the application for benefits
to the private plan in accordance with the requirements established by their employer.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 34.

Minnesota Statutes 2023 Supplement, section 268B.10, subdivision 16, is amended
to read:

Subd. 16.

Revocation of approval by commissioner.

(a) The commissioner may
terminate any private plan if the commissioner determines the employer new text begin or agents of the
employer new text end :

(1) failed to pay benefits;

(2) failed to pay benefits in a timely manner, consistent with the requirements of this
chapter;

(3) failed to submit reports as required by this chapter or rule adopted under this chapter;
or

(4) otherwise failed to comply with this chapter or rule adopted under this chapter.

(b) The commissioner must give notice of the intention to terminate a plan to the employer
at least ten days before taking any final action. The notice must state the effective date and
the reason for the termination.

deleted text begin (c) The employer may, within ten days from mailing or personal service of the notice,
file an appeal to the commissioner in the time, manner, method, and procedure provided by
the commissioner under subdivision 11.
deleted text end

deleted text begin (d) deleted text end new text begin (c) new text end The payment of benefits must not be delayed during an employer's appeal of the
revocation of approval of a private plan.

deleted text begin (e) deleted text end new text begin (d) new text end If the commissioner revokes approval of an employer's private plan, that employer
is ineligible to apply for approval of another private plan for a period of three years, beginning
on the date of revocation.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 35.

Minnesota Statutes 2023 Supplement, section 268B.10, subdivision 17, is amended
to read:

Subd. 17.

Employer penalties.

(a) The commissioner may assess the following monetary
penalties against an employer with an approved private plan found to have violated this
chapter:

(1) $1,000 for the first violation; and

(2) $2,000 for the second, and each successive violation.

(b) The commissioner must waive collection of any penalty if the employer corrects the
violation within 30 days of receiving a notice of the violation and the notice is for a first
violation.

(c) The commissioner may waive collection of any penalty if the commissioner determines
the violation to be an inadvertent error by the employer.

(d) Monetary penalties collected under this section shall be deposited in the family and
medical benefit insurance account.

deleted text begin (e) Assessment of penalties under this subdivision may be appealed as provided by the
commissioner under subdivision 11.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 36.

Minnesota Statutes 2023 Supplement, section 268B.10, is amended by adding a
subdivision to read:

new text begin Subd. 21a. new text end

new text begin Filing obligation. new text end

new text begin Employers covered under a private plan are subject to the
quarterly wage reporting requirements under section 268B.12.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 37.

Minnesota Statutes 2023 Supplement, section 268B.14, subdivision 3, is amended
to read:

Subd. 3.

Employee charge back.

Notwithstanding section 177.24, subdivision 4, or
181.06, subdivision 1, new text begin and subject to subdivision 6, new text end employers must pay a minimum of 50
percent of the annual premiums paid under this section. Employees, through a deduction in
their wages to the employer, must pay the remaining portion, if any, of the premium not
paid by the employer. Such deductions for any given employee must be in equal proportion
to the premiums paid based on the wages of that employee. Deductions under this section
must not cause an employee's wage, after the deduction, to fall below the rate required to
be paid to the deleted text begin worker deleted text end new text begin employee new text end by deleted text begin law, including deleted text end any applicable statute, regulation, rule,
ordinance, new text begin or new text end government resolution or policy, deleted text begin or other legal authority, deleted text end whichever rate of
pay is greater.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2026.
new text end

Sec. 38.

Minnesota Statutes 2023 Supplement, section 268B.14, is amended by adding a
subdivision to read:

new text begin Subd. 5a. new text end

new text begin Small employer premium rate. new text end

new text begin (a) Small employers are eligible for the
premium rates provided by this subdivision if the employer:
new text end

new text begin (1) has 30 or fewer employees pursuant to subdivision 5b; and
new text end

new text begin (2) the average wage for that employer as calculated in subdivision 5c is less than or
equal to 150 percent of the state's average wage in covered employment for the basis period.
new text end

new text begin (b) The premium rate for small employers eligible under this subdivision is 75 percent
of the annual premium rate calculated in subdivisions 6 and 7, as follows:
new text end

new text begin (1) employers must pay a minimum of 25 percent of the rate calculated in subdivisions
6 and 7. Employers shall not deduct from any employees' pay to fund the employer portion
of the premium; and
new text end

new text begin (2) employees must pay the remaining portion due under this subdivision, if any, of the
premium not paid by the employer. The employer must make wage deductions as necessary
under this subdivision to fund the employee portion of the premium.
new text end

Sec. 39.

Minnesota Statutes 2023 Supplement, section 268B.14, is amended by adding a
subdivision to read:

new text begin Subd. 5b. new text end

new text begin Employee count. new text end

new text begin (a) The basis period for determining premiums under:
new text end

new text begin (1) subdivision 5a;
new text end

new text begin (2) average employer wages under subdivision 5c; and
new text end

new text begin (3) eligibility for small employer assistance grants under section 268B.29
new text end

new text begin for any tax year shall be the four-quarter period ending September 30 of the prior year.
new text end

new text begin (b) For each employer that has been covered for the entirety of the basis period, the
maximum number of quarterly wage records reported by the employer during the basis
period shall be used to determine premiums under subdivision 5a and eligibility for small
employer assistance grants under section 268B.29.
new text end

new text begin (c) For any employer not covered for the entirety of the basis period, the number of
employees used to determine premiums under subdivision 5a and eligibility for small
employer assistance grants under section 268B.29 shall be based on the number of employees
working in Minnesota the employer estimates they will employ in the following calendar
year.
new text end

new text begin (d) If upon a review of the actual number of wage records reported, it is found that a
new employer's estimate at time of registration was ten percent or more less than the actual
number of records reported, the employer's premiums under subdivision 5a and eligibility
for small employer assistance grants under section 268B.29 shall be recalculated based on
the wage records reported.
new text end

Sec. 40.

Minnesota Statutes 2023 Supplement, section 268B.14, is amended by adding a
subdivision to read:

new text begin Subd. 5c. new text end

new text begin Average wage for employer. new text end

new text begin (a) For each employer that has been covered
for the entirety of the basis period, the employer's average wage shall be calculated by
dividing the maximum amount of covered wages reported by the employer in a single
quarterly wage record during the basis period by the maximum number of quarterly wage
records reported by the employer during the basis period.
new text end

new text begin (b) For any employer not covered for the entirety of the basis period, the employer's
average wage shall by calculated by dividing the employer's estimated amount of covered
wages in the following tax year by the employer's estimated number of employees working
in Minnesota the employer will employ in the following calendar year.
new text end

new text begin (c) If upon a review of the actual amount of covered wages reported it is found that a
new employer's estimate at time of registration was ten percent or more less than the actual
amount of covered wages, the employer's premiums under subdivision 5a and eligibility
for small employer assistance grants under section 268B.29 shall be recalculated based on
the wage records reported.
new text end

Sec. 41.

Minnesota Statutes 2023 Supplement, section 268B.14, subdivision 7, is amended
to read:

Subd. 7.

Premium rate adjustments.

deleted text begin (a) Beginning January 1, 2027 deleted text end new text begin The commissioner
may adjust the annual premium rates pursuant to this section prior to January 1, 2026. By
July 31, 2026 new text end , and new text begin then new text end by July 31 of each year thereafter, the commissioner must adjust
the annual premium rates deleted text begin using the formula in paragraph (b) deleted text end new text begin for the following calendar year
based on program historical experience and sound actuarial principles and so that the
projected fund balance as a percentage of total program expenditure does not fall below 25
percent. The commissioner shall contract with a qualified independent actuarial consultant
to conduct an actuarial study for this purpose no less than every year. A copy of the actuarial
study must be provided promptly to the chairs and ranking minority members of the
legislative committees with jurisdiction over this chapter. The actuarial study must also be
filed with the Legislative Reference Library in compliance with section 3.195. A qualified
independent actuarial consultant is one who is a Fellow of the Society of Actuaries (FSA)
and a Member of the American Academy of Actuaries (MAAA) and who has experience
directly relevant to the analysis required new text end . In no year shall the annual premium rate exceed
1.2 percent of taxable wages paid to each employee.

deleted text begin (b) To calculate the employer rates for a calendar year, the commissioner must:
deleted text end

deleted text begin (1) multiply 1.45 times the amount disbursed from the family and medical benefit
insurance account for the 52-week period ending September 30 of the prior year;
deleted text end

deleted text begin (2) subtract the amount in the family and medical benefit insurance account on that
September 30 from the resulting figure;
deleted text end

deleted text begin (3) divide the resulting figure by the total wages in covered employment of employees
of employers without approved private plans under section 268B.10 for either the family
or medical benefit program. For employers with an approved private plan for either the
medical benefit program or the family benefit program, but not both, count only the
proportion of wages in covered employment associated with the program for which the
employer does not have an approved private plan; and
deleted text end

deleted text begin (4) round the resulting figure down to the nearest one-hundredth of one percent.
deleted text end

deleted text begin (c) The commissioner must apportion the premium rate between the family and medical
benefit programs based on the relative proportion of expenditures for each program during
the preceding year.
deleted 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. 42.

Minnesota Statutes 2023 Supplement, section 268B.15, subdivision 7, is amended
to read:

Subd. 7.

Credit adjustments; refunds.

(a) If an employer makes an application for a
credit adjustment of any amount paid under this chapter within four years of the date that
the payment was due, in a manner and format prescribed by the commissioner, and the
commissioner determines that the payment or any portion thereof was erroneous, the
commissioner must make an adjustment and issue a credit without interest. If a credit cannot
be used, the commissioner must refund, without interest, the amount erroneously paid. The
commissioner, on the commissioner's own motion, may make a credit adjustment or refund
under this subdivision.

(b) Any refund returned to the commissioner is considered unclaimed property under
chapter 345.

(c) If a credit adjustment or refund is denied in whole or in part, a determination of denial
must be sent to the employer by mail or electronic transmission. deleted text begin The determination of denial
is final unless an employer files an appeal within 20 calendar days after sending. Proceedings
on the appeal are conducted in accordance with section 268B.08.
deleted text end

(d) If an employer receives a credit adjustment or refund under this section, the employer
must determine the amount of any overpayment attributable to a deduction from employee
wages under section 268B.14, subdivision 3, and return any amount erroneously deducted
to each affected employee.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2026.
new text end

Sec. 43.

Minnesota Statutes 2023 Supplement, section 268B.155, subdivision 2, is amended
to read:

Subd. 2.

Notice upon application.

In an application for family or medical leave benefits,
the applicant must disclose if child support obligations are owed and, if so, in what state
and county. If child support obligations are owed, the commissioner must, if the applicant
establishes a deleted text begin benefit account deleted text end new text begin leave new text end , notify the child support agency.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2026.
new text end

Sec. 44.

Minnesota Statutes 2023 Supplement, section 268B.185, subdivision 2, is amended
to read:

Subd. 2.

Overpayment because of misrepresentation.

(a) An applicant has committed
misrepresentation if the applicant is overpaid benefits by making an intentional false
statement or representation in an effort to fraudulently collect benefits. Overpayment because
of misrepresentation does not occur where there is an unintentional mistake or a good faith
belief as to the eligibility or correctness of the statement or representation.

(b) After the discovery of facts indicating misrepresentation, the commissioner must
issue a determination of overpayment penalty assessing a penalty equal to 15 percent of the
amount overpaid.

deleted text begin (c) Unless the applicant files an appeal within 30 calendar days after the sending of a
determination of overpayment penalty to the applicant by mail or electronic transmission,
the determination is final. Proceedings on the appeal are conducted in accordance with
section 268B.08.
deleted text end

deleted text begin (d) deleted text end new text begin (c) new text end A determination of overpayment penalty must state the methods of collection the
commissioner may use to recover the overpayment, penalty, and interest assessed. Money
received in repayment of overpaid benefits, penalties, and interest is first applied to the
benefits overpaid, second to the penalty amount due, and third to any interest due.

deleted text begin (e) deleted text end new text begin (d) new text end The department is authorized to issue a determination of overpayment penalty
under this subdivision within 24 months of the establishment of the deleted text begin benefit account deleted text end new text begin leave new text end
upon which the benefits were obtained through misrepresentation.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2026.
new text end

Sec. 45.

Minnesota Statutes 2023 Supplement, section 268B.19, is amended to read:

268B.19 EMPLOYER MISCONDUCT; PENALTY.

(a) The commissioner must penalize an employer if that employer or any employee,
officer, or agent of that employer is in collusion with any applicant for the purpose of
assisting the applicant in receiving benefits fraudulently. The penalty is $500 or the amount
of benefits determined to be overpaid, whichever is greater.

(b) The commissioner must penalize an employer if that employer or any employee,
officer, or agent of that employer:

(1) made a false statement or representation knowing it to be false;

(2) made a false statement or representation without a good-faith belief as to the
correctness of the statement or representation; or

(3) knowingly failed to disclose a material fact.

(c) The penalty is the greater of $500 or 50 percent of the following resulting from the
employer's action:

(1) the amount of any overpaid benefits to an applicant;

(2) the amount of benefits not paid to an applicant that would otherwise have been paid;
or

(3) the amount of any payment required from the employer under this chapter that was
not paid.

(d) Penalties must be paid within 30 calendar days of issuance of the determination of
penalty and credited to the family and medical benefit insurance account.

deleted text begin (e) The determination of penalty is final unless the employer files an appeal within 30
calendar days after the sending of the determination of penalty to the employer by United
States mail or electronic transmission.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 46.

Minnesota Statutes 2023 Supplement, section 268B.26, is amended to read:

268B.26 NOTICE REQUIREMENTS.

(a) Each employer must post in a conspicuous place on each of its premises a workplace
notice prepared by the commissioner providing notice of benefits available under this chapter.
The required workplace notice must be in English and each language other than English
which is the primary language of five or more employees or independent contractors of that
workplace, if such notice is available from the department.

(b) Each employer must issue to each employee not more than 30 days from the beginning
date of the employee's employment, or 30 days before premium collection begins, whichever
is later, the following written information provided by the department in the primary language
of the employee:

(1) an explanation of the availability of family and medical leave benefits provided under
this chapter, including rights to reinstatement and continuation of health insurance;

(2) the amount of premium deductions made by the employer under this chapter;

(3) the employer's premium amount and obligations under this chapter;

(4) the name and mailing address of the employer;

(5) the identification number assigned to the employer by the department;

(6) instructions on how to file a claim for family and medical leave benefits;

(7) the mailing address, email address, and telephone number of the department; and

(8) any other information required by the department.

Delivery is made when an employee provides written or electronic acknowledgment of
receipt of the information deleted text begin , or signs a statement indicating the employee's refusal to sign
such acknowledgment deleted text end . new text begin In cases where an employee refuses to acknowledge receipt, an
employer must be able to demonstrate the way the employee had been notified.
new text end

(c) An employer that fails to comply with this section may be issued, for a first violation,
a civil penalty of $50 per employee, and for each subsequent violation, a civil penalty of
$300 per employee. The employer shall have the burden of demonstrating compliance with
this section.

(d) Employer notice to an employee under this section may be provided in paper or
electronic format. For notice provided in electronic format only, the employer must provide
employee access to an employer-owned computer during an employee's regular working
hours to review and print required notices.

(e) The department shall prepare a uniform employee notice form for employers to use
that provides the notice information required under this section. The commissioner shall
prepare the uniform employee notice in the five most common languages spoken in
Minnesota.

(f) Each employer who employs or intends to employ seasonal employees as defined in
section 268B.01, subdivision 35, must issue to each seasonal employee a notice that the
employee is not eligible to receive paid family and medical leave benefits while the employee
is so employed. The notice must be provided at the time an employment offer is made, or
within 30 days of November 1, 2025, for the employer's existing seasonal employees, and
be in a form provided by the department. Delivery is made when an employee provides
written or electronic acknowledgment of receipt of the information, or signs a statement
indicating the employee's refusal to sign such acknowledgment.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective November 1, 2025.
new text end

Sec. 47.

Minnesota Statutes 2023 Supplement, section 268B.27, subdivision 2, is amended
to read:

Subd. 2.

Construction.

Nothing in this chapter shall be construed to:

(1) allow an employer to compel an employee to exhaust accumulated sick, vacation,
or personal time before or while taking leave under this chapter;

(2) prohibit an employer from providing additional benefits, including but not limited
to covering the portion of earnings not provided during periods of leave covered under this
chapter including through a supplemental benefit payment, as defined under section 268B.01,
subdivision 41;

(3) limit the parties to a collective bargaining agreement from bargaining and agreeing
with respect to leave benefits and related deleted text begin procedures deleted text end new text begin policies new text end and employee protections that
meet or exceed, and do not otherwise conflict with, the minimum standards and requirements
in this chapter; or

(4) be applied so as to create any power or duty in conflict with federal law.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2026.
new text end

Sec. 48.

Minnesota Statutes 2023 Supplement, section 268B.29, is amended to read:

268B.29 SMALL deleted text begin BUSINESS deleted text end new text begin EMPLOYER new text end ASSISTANCE GRANTS.

(a) Employers with 30 or fewer employees deleted text begin and less than $3,000,000 in gross annual
revenues deleted text end new text begin as calculated under section 268B.14, subdivision 5b, and an average wage for that
employer under section 268B.14, subdivision 5c, less than or equal to 150 percent of the
state's average wage in covered employment for the prior year new text end may apply to the department
for grants under this section.

(b) The commissioner may approve a grant of up to $3,000 if the employer hires a
temporary worker, or increases another existing worker's wages, to substitute for an employee
on family or medical leave for a period of seven days or more.

(c) The maximum total grant per eligible employer in a calendar year is $6,000.

(d) Grants must be used to hire temporary workers or to increase wages for current
employees. To be eligible for consideration for a grant under this section, the employer
must documentation attest, in a manner and format prescribed by the commissioner, that:

(1) the temporary worker hired or wage-related costs incurred are due to an employee's
use of leave under this chapter;

(2) the amount of the grant requested is less than or equal to the additional costs incurred
by the employer; and

(3) the employer meets the revenue requirements in paragraph (a).

(e) Applications shall be new text begin submitted and new text end processed deleted text begin on a first-received, first-processed
basis deleted text end new text begin in a form and manner determined by the commissioner new text end within each calendar year until
funding is exhausted. Applications received after funding has been exhausted in a calendar
year are not eligible for reimbursement.

deleted text begin (f) For the purposes of this section, the commissioner shall average the number of
employees reported by an employer over the last four completed calendar quarters as
submitted in the wage detail records required in section 268B.12 to determine the size of
the employer.
deleted text end

deleted text begin (g) deleted text end new text begin (f) new text end An employer who has an approved private plan is not eligible to receive a grant
under this section.

deleted text begin (h) deleted text end new text begin (g) new text end Unless additional funds are appropriated, the commissioner may award grants
under this section up to a maximum of $5,000,000 per calendar year from the family and
medical benefit insurance account.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2026.
new text end

Sec. 49.

new text begin [268B.30] DATA PRIVACY.
new text end

new text begin (a) Except as provided by this section, data collected, created, or maintained under this
chapter are private data on individuals or nonpublic data not on individuals as defined in
section 13.02, subdivisions 9 and 12, and must not be disclosed except according to a district
court order or section 13.05. A subpoena is not considered a district court order.
new text end

new text begin (b) Data classified under paragraph (a) may be disseminated to and used by the following
without the consent of the subject of the data:
new text end

new text begin (1) state and federal agencies specifically authorized access to the data by state or federal
law;
new text end

new text begin (2) the unemployment insurance division, to the extent necessary to administer the
programs established under this chapter and chapter 268;
new text end

new text begin (3) employers, to the extent necessary to support adjudication of application requests
and to support the employer's administration of a leave of absence;
new text end

new text begin (4) health care providers, to the extent necessary to support verification of health care
conditions and qualifying events;.
new text end

new text begin (5) the public authority responsible for child support in Minnesota or any other state in
accordance with section 256.978;
new text end

new text begin (6) human rights agencies within Minnesota that have enforcement powers;
new text end

new text begin (7) the Department of Revenue, to the extent necessary for its duties under Minnesota
laws;
new text end

new text begin (8) public and private agencies responsible for administering publicly financed assistance
programs for the purpose of monitoring the eligibility of the program's recipients;
new text end

new text begin (9) the Department of Labor and Industry and the Commerce Fraud Bureau in the
Department of Commerce for uses consistent with the administration of their duties under
Minnesota law;
new text end

new text begin (10) the Department of Human Services and the Office of Inspector General and its
agents within the Department of Human Services, including county fraud investigators, for
investigations related to recipient or provider fraud and employees of providers when the
provider is suspected of committing public assistance fraud;
new text end

new text begin (11) the Department of Public Safety for support in identify verification;
new text end

new text begin (12) local, state, and federal law enforcement agencies for the purpose of ascertaining
the last known address and employment location of an individual who is the subject of a
criminal investigation;
new text end

new text begin (13) the Department of Health for the purposes of epidemiologic investigations;
new text end

new text begin (14) the Department of Corrections for the purposes of tracking incarceration of
applicants; and
new text end

new text begin (15) contracted third parties, to the extent necessary to aid in identity verification,
adjudication, administration, and evaluation of the program.
new text end

new text begin (c) Data on individuals and employers that are collected, maintained, or used by the
department in an investigation under section 268B.19, 268B.21, 268B.22, or 268B.23 are
confidential as to data on individuals and protected nonpublic data not on individuals as
defined in section 13.02, subdivisions 3 and 13, and must not be disclosed except under
statute or district court order or to a party named in a criminal proceeding, administrative
or judicial, for preparation of a defense.
new text end

new text begin (d) Data gathered by the department in the administration of this chapter must not be
made the subject or the basis for any suit in any civil proceedings, administrative or judicial,
unless the action is initiated by the department.
new text end

Sec. 50. new text begin REPEALER.
new text end

new text begin (a) new text end new text begin Minnesota Statutes 2023 Supplement, section 268B.06, subdivision 7, new text end new text begin is repealed
effective the day following final enactment.
new text end

new text begin (b) new text end new text begin Minnesota Statutes 2023 Supplement, section 268B.10, subdivision 11, new text end new text begin is repealed
effective July 1, 2025.
new text end

new text begin (c) new text end new text begin Minnesota Statutes 2023 Supplement, section 268B.14, subdivision 5, new text end new text begin is repealed
effective January 1, 2026.
new text end

new text begin (d) new text end new text begin Minnesota Statutes 2023 Supplement, section 268B.08, new text end new text begin is repealed effective November
1, 2025.
new text end

APPENDIX

Repealed Minnesota Statutes: S5430-4

268B.06 ELIGIBILITY REQUIREMENTS; PAYMENTS THAT AFFECT BENEFITS.

Subd. 7.

Separation, severance, or bonus payments.

(a) An applicant is not eligible to receive benefits for any week the applicant is receiving, has received, or will receive separation pay, severance pay, bonus pay, or any other payments paid by an employer because of, upon, or after separation from employment. This subdivision applies if the payment is:

(1) considered wages under section 268B.01, subdivision 47; or

(2) subject to the Federal Insurance Contributions Act (FICA) tax imposed to fund Social Security and Medicare.

(b) Payments under this subdivision are applied to the period immediately following the later of the date of separation from employment or the date the applicant first becomes aware that the employer will be making a payment. The date the payment is actually made or received, or that an applicant must agree to a release of claims, does not affect the application of this paragraph.

(c) This subdivision does not apply to vacation pay, sick pay, personal time off pay, or supplemental benefit payment under subdivision 4.

(d) This subdivision applies to all the weeks of payment.

(e) Under this subdivision, if the payment with respect to a week is equal to or more than the applicant's weekly benefit amount, the applicant is ineligible for benefits for that week. If the payment with respect to a week is less than the applicant's weekly benefit amount, benefits are reduced by the amount of the payment.

268B.08 APPEAL PROCESS.

Subdivision 1.

Hearing.

(a) The commissioner shall designate a chief hearing officer.

(b) Upon a timely appeal to a determination having been filed or upon a referral for direct hearing, the chief hearing officer must set a time and date for a de novo due-process hearing and send notice to an applicant and an employer, by mail or electronic transmission, not less than ten calendar days before the date of the hearing.

(c) The commissioner may adopt rules on procedures for hearings. The rules need not conform to common law or statutory rules of evidence and other technical rules of procedure.

(d) The chief hearing officer has discretion regarding the method by which the hearing is conducted.

(e) The chief hearing officer must assign a hearing officer to conduct a hearing and may transfer to another hearing officer any proceedings pending before another hearing officer.

Subd. 2.

Decision.

(a) After the conclusion of the hearing, upon the evidence obtained, the hearing officer must serve by mail or electronic transmission to all parties the decision, reasons for the decision, and written findings of fact.

(b) Decisions of a hearing officer are not precedential.

Subd. 3.

Request for reconsideration.

Any party, or the commissioner, may, within 30 calendar days after service of the hearing officer's decision, file a request for reconsideration asking the hearing officer to reconsider that decision.

Subd. 4.

Appeal to court of appeals.

Any final determination on a request for reconsideration may be appealed by any party directly to the Minnesota Court of Appeals.

268B.10 SUBSTITUTION OF A PRIVATE PLAN.

Subd. 11.

Appeals.

(a) An employer may appeal any adverse action regarding that employer's application for private provision of the medical benefit or family benefit program, in a manner specified by the commissioner.

(b) An employee covered under a private plan has the same right to appeal to the state under section 268B.04, subdivision 7, as any other employee. An employee covered under a private plan has the right to request reconsideration of a decision under a private plan made by an insurer, private plan administrator, or employer prior to exercising appeal rights under section 268B.04.

268B.14 PREMIUMS.

Subd. 5.

Small business wage exclusion.

(a) For employers with fewer than 30 employees, the amount of wages upon which quarterly employer premium is required is reduced by the premium rate to be paid by the employer multiplied by the lesser of:

(1) $12,500 multiplied by the number of employees; or

(2) $120,000.

(b) For each employee over 20 employees, the exclusion is reduced by $12,000.

(c) The premium paid by the employer as a result of the reduction allowed under this subdivision must not be less than zero.

(d) The reduction in premiums paid by the employer is for the sole benefit of the employer and does not relieve the employer from deducting the employee portion of the premium.