Minnesota Session Laws - 2000, Regular Session

                            CHAPTER 343-S.F.No. 3554 
                  An act relating to reemployment compensation; 
                  modifying nonprofit organization provisions; 
                  instructing the revisor to change certain terms; 
                  amending Minnesota Statutes 1999 Supplement, sections 
                  268.03, subdivision 1; and 268.053, subdivision 1, and 
                  by adding a subdivision. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 1999 Supplement, section 
        268.03, subdivision 1, is amended to read: 
           Subdivision 1.  [STATEMENT.] The public policy underlying 
        sections 268.03 to 268.23 is as follows:  Economic insecurity 
        due to involuntary unemployment is a serious threat to the 
        well-being of the people of Minnesota.  Involuntary unemployment 
        is a subject of general interest and concern that requires 
        appropriate action by the legislature to prevent its spread and 
        to lighten its burdens.  The public good and the well-being of 
        the citizens of Minnesota will be promoted by providing, under 
        the taxing powers of the state for the compulsory setting aside 
        of reserves to be used for the benefit of payment of 
        unemployment benefits to individuals unemployed through no fault 
        of their own.  In recognition of its focus on 
        providing Unemployment benefits are a temporary partial wage 
        replacement to assist the unemployed worker to become 
        reemployed,.  This program will be known as "reemployment 
        compensation the "Minnesota unemployment insurance program." 
           Sec. 2.  Minnesota Statutes 1999 Supplement, section 
        268.053, subdivision 1, is amended to read: 
           Subdivision 1.  [ELECTION.] (a) Any nonprofit organization 
        that has employees in covered employment shall pay taxes on a 
        quarterly basis pursuant to section 268.051 unless it elects to 
        make payments in lieu of taxes to the fund the amount of 
        benefits charged to its employer account under section 268.047. 
           The organization may elect to make payments in lieu of 
        taxes for a period of not less than three two calendar years 
        beginning with the date that the organization was determined to 
        be an employer with covered employment by filing a notice of 
        election not later than 30 calendar days after the date of the 
        determination. 
           (b) Any nonprofit organization that makes an election will 
        continue to be liable for payments in lieu of taxes until it 
        files a notice terminating its election not later than 30 
        calendar days before the beginning of the calendar year the 
        termination is to be effective.  
           (c) A nonprofit organization that has been making payments 
        in lieu of taxes that files a notice of termination of election 
        shall be assigned the new employer tax rate under section 
        268.051, subdivision 5, for the calendar year of the termination 
        of election and until it qualifies for an experience rating 
        under section 268.051, subdivision 3. 
           (d) Any nonprofit organization that has been paying taxes 
        may elect to make payments in lieu of taxes by filing no less 
        than 30 calendar days before January 1 of any calendar year a 
        notice of election.  Upon election, the commissioner shall 
        establish a reimbursable account for the nonprofit 
        organization.  An election shall be allowed only if the 
        nonprofit organization has a zero, during the experience rating 
        and has no period under section 268.051, subdivision 3, paid 
        taxes or made voluntary payments under section 268.051, 
        subdivision 7, equal to or more than 125 percent of the benefit 
        charges during the experience rating period.  In addition, any 
        benefit charges to its tax account that have not yet been used 
        in computing an come after the experience rating under section 
        268.051, subdivision 3 period shall be transferred to the new 
        reimbursable account of the nonprofit organization.  If the 
        amount of taxes and voluntary payments paid during the 
        experience rating period exceeds 125 percent of the amount of 
        benefit charges during the experience rating period, that amount 
        in excess shall be applied against any benefit charges that come 
        after the experience rating period.  The election shall not be 
        terminable by the organization for that and the next calendar 
        year. 
           (e) The commissioner may for good cause extend the period 
        that a notice of election, or a notice of termination, must be 
        filed and may permit an election to be retroactive. 
           (f) The commissioner may allow a notice of election or 
        notice terminating election to be filed by mail or electronic 
        transmission. 
           Sec. 3.  Minnesota Statutes 1999 Supplement, section 
        268.053, is amended by adding a subdivision to read: 
           Subd. 5.  [COMPROMISE.] The compromise authority set out in 
        section 268.067 applies to this section. 
           Sec. 4.  [INSTRUCTIONS TO REVISOR.] 
           The revisor of statutes shall change the phrase listed in 
        column A, or a similar phrase, to the phrase listed in column B, 
        or a similar phrase, wherever it appears in Minnesota Statutes 
        and Minnesota Rules. 
             Column A                          Column B
             reemployment compensation         unemployment insurance
               benefit laws                      program
             reemployment compensation         unemployment insurance
               law                               program
             reemployment compensation         unemployment insurance
               program                           program
             reemployment compensation         unemployment benefits
           The revisor of statutes shall change the phrase listed in 
        column A, or a similar phrase, to the phrase listed in column B, 
        or a similar phrase, wherever it appears in Minnesota Statutes, 
        sections 268.03 to 268.23, and wherever it appears in Minnesota 
        Rules. 
             Column A                          Column B
             reemployment compensation         unemployment law judge
               judge
             reemployment compensation         unemployment insurance
               trust fund                        program trust fund
             reemployment compensation         unemployment benefits
               benefits
             minimum tax rate                  base tax rate
             federal economic security         federal unemployment
               law                               insurance program
           The revisor of statutes shall change the term "benefit" to 
        "unemployment benefit" wherever it appears in Minnesota 
        Statutes, sections 268.03 to 268.23, except when "benefit" 
        refers to "shared work benefit," "social security benefit," 
        "disability benefit," "benefit year," "benefit account," or 
        "fringe benefit." 
           Sec. 5.  [EFFECTIVE DATE.] 
           Sections 1 to 4 are effective the day following final 
        enactment. 
           Presented to the governor April 3, 2000 
           Signed by the governor April 6, 2000, 3:58 p.m.