MN Legislature

Accessibility menu

Session laws use visual text formatting such as stricken text to denote deleted language, and underlined text to denote new language. For users of the jaws screenreader it is recommended to configure jaws to use the proofreading scheme which will alter the pitch of the reading voice when reading stricken and underlined text. Instructions for configuring your jaws reader are provided by following this link.
If you can not or do not wish to configure your screen reader, deleted language will begin with the phrase "deleted text begin" and be followed by the phrase "deleted text end", new language will begin with the phrase "new text begin" and be followed by "new text end". Skip to text of Chapter 107.

Menu

Revisor of Statutes Menu

Authenticate

Pdf

1999 Minnesota Session Laws

Key: (1) language to be deleted (2) new language

                            CHAPTER 107-S.F.No. 1218 
                  An act relating to reemployment insurance; making 
                  technical changes; modifying procedures; complying 
                  with federal requirements; modifying definitions; 
                  amending Minnesota Statutes 1998, sections 268.035, 
                  subdivisions 3, 4, 5, 6, 8, 12, 14, 15, 18, 20, 24, 
                  30, 32, and by adding a subdivision; 268.042, 
                  subdivision 3; 268.045; 268.047, subdivisions 1, 2, 3, 
                  and 4; 268.048; 268.051, subdivisions 1, 2, 3, 4, 5, 
                  and 8; 268.052; 268.053; 268.057, subdivisions 4 and 
                  10; 268.058; 268.0625; 268.064; 268.065; 268.067; 
                  268.068; 268.069; 268.07; 268.085; 268.095; 268.101; 
                  268.103, by adding a subdivision; 268.105; 268.115; 
                  268.125, subdivisions 1, 4, and 5; 268.135; 268.145; 
                  268.155; 268.18; 268.182; 268.186; 268.188; 268.192, 
                  subdivision 2; 268.194; 268.196; 268.198; 268.21; 
                  268.23; and 268.30, subdivision 2; proposing coding 
                  for new law in Minnesota Statutes, chapter 268; 
                  repealing Minnesota Statutes 1998, sections 268.021; 
                  and 268.057, subdivisions 8 and 9; Minnesota Rules, 
                  parts 3305.0100; 3305.0200; 3305.0300; 3305.0400; 
                  3305.0500; 3305.0600; 3305.0700; 3305.0800; 3305.0900; 
                  3305.1100; 3310.1500; 3310.1600; 3310.1700; 3310.1800; 
                  3310.1900; 3310.2000; 3310.2100; 3310.2200; 3310.5100; 
                  and 3310.5800. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  [STATEMENT OF INTENT.] 
           Regardless of Minnesota Statutes, section 268.194, 
        subdivision 5, or any other provisions of law to the contrary, 
        in order to meet the requirements of section 5403 of the Federal 
        Balanced Budget Act of 1997, the distribution of excess Federal 
        Unemployment Tax Act funds under United States Code, title 42, 
        section 1103, also known as the Reed Act, with respect to 
        federal fiscal years ending in 1999, 2000, and 2001 (Minnesota's 
        portion being projected to be approximately $2,000,000 per year) 
        shall be used only for systems development for the reemployment 
        insurance program.  
           Sec. 2.  Minnesota Statutes 1998, section 268.035, 
        subdivision 3, is amended to read: 
           Subd. 3.  [BACK PAY.] "Back pay" means a retroactive 
        payment of money by an employer to an employee or former 
        employee for lost wages because of the employer's noncompliance 
        with a state or federal law or a collective bargaining agreement 
        as determined by an arbitration award, administrative or 
        judicial decision, or negotiated settlement.  The payment shall 
        be applied to the period immediately following the last day of 
        employment or as specified in the award, decision, or settlement.
           Sec. 3.  Minnesota Statutes 1998, section 268.035, 
        subdivision 4, is amended to read: 
           Subd. 4.  [BASE PERIOD.] "Base period" means: 
           (1) the first four of the last five completed calendar 
        quarters immediately prior to the effective date of a claimant's 
        reemployment insurance benefit account; 
           (2) if during the base period under clause (1) a claimant 
        received workers' compensation for temporary disability under 
        chapter 176 or a similar law of the United States, or if a 
        claimant whose own serious illness caused a loss of work for 
        which the claimant received compensation for loss of wages from 
        some other source, the claimant may request that the a base 
        period be extended as follows: 
           (i) if a claimant was compensated for a loss of work of 
        seven to 13 weeks, the original base period shall be extended to 
        include the one first four of the last six completed calendar 
        quarter quarters prior to the original base period effective 
        date of the benefit account; 
           (ii) if a claimant was compensated for a loss of work of 14 
        to 26 weeks, the original base period shall be extended to 
        include the two first four of the last seven completed calendar 
        quarters prior to the original base period effective date of the 
        benefit account; 
           (iii) if a claimant was compensated for a loss of work of 
        27 to 39 weeks, the original base period shall be extended to 
        include the three first four of the last eight completed 
        calendar quarters prior to the original base period effective 
        date of the benefit account; and 
           (iv) if a claimant was compensated for a loss of work of 40 
        to 52 weeks, the original base period shall be extended to 
        include the first four of the last nine completed calendar 
        quarters prior to the original base period effective date of the 
        benefit account; 
           (3) if the claimant qualifies for an extended a base period 
        under clause (2), but has insufficient wage credits to establish 
        a reemployment insurance benefit account, the claimant may 
        request an alternate a base period of the last four completed 
        calendar quarters prior to the date the claimant's reemployment 
        insurance benefit account is effective.  This alternate base 
        period may be used only once during any five-calendar-year 
        period; and 
           (4) no base period under clause (1), extended base period 
        under clause (2), or alternate base period under clause (3) 
        shall include wage credits upon which a prior reemployment 
        insurance benefit account was established. 
           Sec. 4.  Minnesota Statutes 1998, section 268.035, 
        subdivision 5, is amended to read: 
           Subd. 5.  [BENEFITS.] "Benefits" means the money 
        payments payable available to a claimant, as provided in 
        sections 268.03 to 268.23, with respect to the claimant's 
        unemployment. 
           Sec. 5.  Minnesota Statutes 1998, section 268.035, 
        subdivision 6, is amended to read: 
           Subd. 6.  [BENEFIT YEAR.] "Benefit year" means the period 
        of 52 calendar weeks beginning the date a reemployment insurance 
        benefit account is effective.  For a reemployment 
        insurance benefit account established effective any January 1, 
        April 1, July 1, or October 1, or January 2, 2000, or October 2, 
        2011, the benefit year will be a period of 53 calendar weeks. 
           Sec. 6.  Minnesota Statutes 1998, section 268.035, 
        subdivision 8, is amended to read: 
           Subd. 8.  [CLAIMANT.] "Claimant" means an individual who 
        has made filed an application for a reemployment insurance 
        account benefits and has established or is actively pursuing the 
        establishment of a reemployment insurance benefit account. 
           Sec. 7.  Minnesota Statutes 1998, section 268.035, 
        subdivision 12, is amended to read: 
           Subd. 12.  [COVERED EMPLOYMENT.] "Covered employment" means 
        the following unless defined excluded as "noncovered employment" 
        under subdivision 20: 
           (1) an employee's entire employment if: 
           (i) the employment is performed entirely in Minnesota; 
           (ii) the employment is performed primarily in Minnesota, 
        and the employment performed outside Minnesota is incidental to 
        the employment in Minnesota; or 
           (iii) the employment is not performed primarily in any one 
        state but some of the employment is performed in Minnesota and 
        the base of operations or the place from which the employment is 
        directed or controlled is in Minnesota; or the base of 
        operations or place from which the employment is directed or 
        controlled is not in any state in which part of the employment 
        is performed, but the employee's residence is in Minnesota; 
           (2) an employee's employment wherever performed within the 
        United States or Canada, if: 
           (i) the employment is not covered under the reemployment 
        insurance law of any other state or Canada; and 
           (ii) the place from which the employment is directed or 
        controlled is in Minnesota; 
           (3) the employment of an employee who is a citizen of the 
        United States, performed outside the United States, except in 
        Canada, in the employ of an American employer if: 
           (i) the employer's principal place of business in the 
        United States is located in Minnesota; 
           (ii) the employer has no place of business in the United 
        States, but the employer is an individual who is a resident of 
        Minnesota, or the employer is a corporation that is organized 
        under the laws of Minnesota, or the employer is a partnership or 
        a trust and the number of partners or trustees who are residents 
        of Minnesota is greater than the number who are residents of any 
        one other state; 
           (iii) none of the criteria of subclauses (i) and (ii) is 
        met but the employer has elected coverage in Minnesota, or the 
        employer having failed to elect coverage in any state, a 
        claimant has made an application for benefits under section 
        268.07, based on the employment; 
           (iv) an "American employer," for the purposes of this 
        subdivision, means an individual who is a resident of the United 
        States, or a partnership if two-thirds or more of the partners 
        are residents of the United States, or a trust, if all of the 
        trustees are residents of the United States, or a corporation 
        organized under the laws of the United States, or of any state; 
        or 
           (v) as used in this subdivision, the term "United States" 
        includes the states, the District of Columbia, the Commonwealth 
        of Puerto Rico, and the Virgin Islands; 
           (4) all employment performed by an officer or member of the 
        crew of an American vessel on or in connection with the vessel, 
        if the operating office, from which the operations of the vessel 
        operating on navigable waters within, or within and without, the 
        United States are ordinarily and regularly supervised, managed, 
        directed, and controlled is in Minnesota; and 
           (5) for the purposes of satisfying disqualifications under 
        section 268.095, subdivision 10, "covered employment" shall 
        include covered employment under a similar reemployment 
        insurance law of any other state or employment covered under a 
        reemployment insurance system program established by an act of 
        Congress; and 
           (6) periods for which an individual receives back pay are 
        periods of "covered employment," except for the satisfying of 
        disqualifications under section 268.095, subdivision 10. 
           Sec. 8.  Minnesota Statutes 1998, section 268.035, 
        subdivision 14, is amended to read: 
           Subd. 14.  [EMPLOYER.] "Employer" means any of the 
        following which has had one or more employees during the current 
        or the prior calendar year: 
           (1) any individual or type of organization, resident or 
        nonresident, for profit or nonprofit, religious, charitable, or 
        educational, including any partnership, limited liability 
        company, trust, estate, or corporation, domestic or foreign, or 
        the receiver, trustee in bankruptcy, trustee or successor of any 
        of the foregoing, or the legal representative of a deceased 
        person; 
           (2) any government entity, state or federal, foreign or 
        domestic, Indian tribe, including any subdivision thereof and 
        any instrumentality thereof owned wholly or in part; 
           (3) any organization or person that is considered an 
        employer under United States Code, title 26, section 3306(a) of 
        the Federal Unemployment Tax Act; 
           (4) (3) any organization or person that has elected, under 
        section 268.042, to be subject to sections 268.03 to 268.23; 
           (5) (4) a joint venture composed of one or more employers; 
           (6) (5) any private or nonprofit organization or government 
        agency providing or authorizing the hiring of homeworkers, 
        personal care attendants, or other individuals performing 
        similar services in a private home is the employer of the 
        homeworker, attendant, or similar worker whether 
        the organization or agency pays the employee directly or 
        provides funds to the recipient of the services to pay for the 
        services.  This clause does not apply to the state of Minnesota 
        or any county that provides federal, state, or local funds to a 
        child care provider either directly or indirectly through a 
        parent who is a child care assistance recipient; or 
           (7) (6) each individual employed to perform or assist in 
        performing the work of any agent or employee shall be considered 
        to be employed by that employer whether the individual was hired 
        or paid directly by that employer or by the agent or employee, 
        provided the employer had actual or constructive knowledge of 
        the work. 
           Sec. 9.  Minnesota Statutes 1998, section 268.035, 
        subdivision 15, is amended to read: 
           Subd. 15.  [EMPLOYMENT.] "Employment" means service 
        performed by: 
           (1) an individual who is considered an employee under the 
        common law of employer-employee and not considered an 
        independent contractor; 
           (2) an officer of a corporation; 
           (3) a member of a limited liability company who is 
        considered an employee under the common law of 
        employer-employee; or 
           (4) an individual who performs services for a person for 
        compensation, as: 
           (i) an agent-driver or commission-driver engaged in 
        distributing meat products, vegetable products, fruit products, 
        beverages, or laundry or dry cleaning services, for a principal; 
        or 
           (ii) a traveling or city salesperson, other than as an 
        agent-driver or commission-driver, engaged upon a full-time 
        basis in the solicitation on behalf of, and the transmission to, 
        a principal (except for sideline sales activities on behalf of 
        some other person), of orders from wholesalers, retailers, 
        contractors, or operators of hotels, restaurants, or other 
        similar establishments for merchandise for resale or supplies 
        for use in their business operations. 
           This clause shall apply only if the contract of service 
        provides that substantially all of the services are to be 
        performed personally by the individual, and the services are 
        part of a continuing relationship with the person for whom the 
        services are performed, and the individual does not have a 
        substantial investment in facilities used in connection with the 
        performance of the services (, other than facilities for 
        transportation); or 
           (5) an individual whose service is considered employment 
        under United States Code, title 26, section 3306(c), of the 
        Federal Unemployment Tax Act. 
           Sec. 10.  Minnesota Statutes 1998, section 268.035, 
        subdivision 18, is amended to read: 
           Subd. 18.  [FUND.] "Fund" means the Minnesota reemployment 
        insurance trust fund established by section 268.194. 
           Sec. 11.  Minnesota Statutes 1998, section 268.035, 
        subdivision 20, is amended to read: 
           Subd. 20.  [NONCOVERED EMPLOYMENT.] "Noncovered employment" 
        means: 
           (1) employment for the United States government or an 
        instrumentality thereof, including military service; 
           (2) employment for an Indian, an Indian-controlled 
        employer, and Indian tribe, or any wholly controlled 
        subsidiaries or subdivisions, if the employment is performed on 
        an Indian reservation or Indian Trust Land; 
           (3) employment for a state, other than Minnesota, or a 
        political subdivision or instrumentality thereof; 
           (4) employment for a foreign government; 
           (5) employment for an instrumentality wholly owned by a 
        foreign government, if the employment is of a character similar 
        to that performed in foreign countries by employees of the 
        United States government or an instrumentality thereof and the 
        United States Secretary of State has certified that the foreign 
        government grants an equivalent exemption to similar employment 
        performed in the foreign country by employees of the United 
        States government and instrumentalities thereof; 
           (6) employment with respect to which reemployment insurance 
        benefits are payable under a system established by an act of 
        Congress covered under United States Code, title 45, section 
        351, the Railroad Unemployment Insurance Act; 
           (7) employment covered by a reciprocal arrangement between 
        the commissioner and another state or the federal government 
        pursuant to which provides that all employment performed by an 
        individual for an employer during the period covered by the 
        reciprocal arrangement is considered performed entirely within 
        another state; 
           (8) employment for a religious, charitable, education, or 
        other organization described in United States Code, title 26, 
        section 501(c)(3) of the federal Internal Revenue Code and 
        exempt from income tax under section 501(a), but only if the 
        organization did not have one or more individuals in employment 
        for some portion of a day in each of 20 different weeks, whether 
        or not such weeks were consecutive, within either the current or 
        the prior calendar year, regardless of whether they were 
        employed at the same time; 
           (9) (8) employment for a church or convention or 
        association of churches, or an organization operated primarily 
        for religious purposes that is operated, supervised, controlled, 
        or principally supported by a church or convention or 
        association of churches described in United States Code, title 
        26, section 501(c)(3) of the federal Internal Revenue Code and 
        exempt from income tax under section 501(a); 
           (10) (9) employment of a duly ordained, commissioned, or 
        licensed minister of a church in the exercise of a ministry or 
        by a member of a religious order in the exercise of duties 
        required by the order, for Minnesota or a political subdivision 
        or an organization described in United States Code, title 26, 
        section 501(c)(3) of the federal Internal Revenue Code and 
        exempt from income tax under section 501(a); 
           (11) (10) employment of an individual receiving 
        rehabilitation of "sheltered" work in a facility conducted for 
        the purpose of carrying out a program of rehabilitation for 
        individuals whose earning capacity is impaired by age or 
        physical or mental deficiency or injury or a program providing 
        "sheltered" work for individuals who because of an impaired 
        physical or mental capacity cannot be readily absorbed in the 
        competitive labor market.  This clause applies only to services 
        performed for Minnesota or a political subdivision or an 
        organization described in United States Code, title 26, section 
        501(c)(3) of the federal Internal Revenue Code and exempt from 
        income tax under section 501(a) in a facility certified by the 
        rehabilitation services branch of the department or in a day 
        training or habilitation program licensed by the department of 
        human services; 
           (12) (11) employment of an individual receiving work relief 
        or work training as part of an unemployment work relief or work 
        training program assisted or financed in whole or in part by any 
        federal agency or an agency of a state or political subdivision 
        thereof.  This clause applies only to employment for Minnesota 
        or a political subdivision or an organization described in 
        United States Code, title 26, section 501(c)(3) of the federal 
        Internal Revenue Code and exempt from income tax under section 
        501(a).  This clause shall not apply to programs that require 
        reemployment insurance coverage for the participants; 
           (13) employment in any calendar quarter for any 
        organization exempt from income tax under United States Code, 
        title 26, section 501(a) or 521 of the federal Internal Revenue 
        Code except a trust described in section 401(a), if the 
        compensation for the employment is less than $50; 
           (14) (12) employment for Minnesota or a political 
        subdivision if the service is as an elected official, a member 
        of a legislative body, or a member of the judiciary; 
           (15) (13) employment as a member of the Minnesota national 
        guard or air national guard; 
           (16) (14) employment for Minnesota, a political 
        subdivision, or instrumentality thereof, as an employee serving 
        only on a temporary basis in case of fire, storm, snow, 
        earthquake, flood, tornado, or similar emergency; 
           (17) (15) employment as an election official or election 
        worker for Minnesota or a political subdivision, but only if the 
        compensation for that employment was less than $1,000 in a 
        calendar year; 
           (18) (16) employment for Minnesota that is a major 
        nontenured policy making or advisory position in the 
        unclassified service, including those positions established 
        pursuant to section 43A.08, subdivision 1a; 
           (19) employment in a policy making position for Minnesota 
        or a political subdivision, the performance of the duties that 
        ordinarily does not require more than eight hours per week; 
           (20) (17) employment for a political subdivision of 
        Minnesota that is a nontenured major nontenured policy making or 
        advisory position; 
           (21) (18) domestic service employment in a private 
        household, local college club, or local chapter of a college 
        fraternity or sorority performed for a person, only if the wages 
        paid in any calendar quarter in either the current or preceding 
        calendar year to all individuals employed in domestic service 
        employment totaled less than $1,000. 
           "Domestic service employment" includes all service for an 
        individual in the operation and maintenance of a private 
        household, for a local college club, or local chapter of a 
        college fraternity or sorority as distinguished from service as 
        an employee in the pursuit of an employer's trade, occupation, 
        profession, enterprise, or vocation or business; 
           (22) (19) employment of an individual by a son, daughter, 
        or spouse, and employment of a child under the age of 18 by the 
        child's father or mother; 
           (23) (20) employment of an inmate of a custodial or penal 
        institution; 
           (24) (21) employment for a school, college, or university 
        by a student who is enrolled and is regularly attending classes 
        at the school, college, or university; 
           (25) (22) employment of an individual who is enrolled as a 
        student in a full-time program at a nonprofit or public 
        educational institution that normally maintains a regular 
        faculty and curriculum and normally has a regularly organized 
        body of students in attendance at the place where its 
        educational activities are carried on, taken for credit at the 
        institution, that combines academic instruction with work 
        experience, if the employment is an integral part of the 
        program, and the institution has so certified to the employer, 
        except that this clause shall not apply to employment in a 
        program established for or on behalf of an employer or group of 
        employers; 
           (26) (23) employment of university, college, or 
        professional school students in an internship or other training 
        program with the city of St. Paul or the city of Minneapolis 
        pursuant to Laws 1990, chapter 570, article 6, section 3; 
           (27) (24) employment for a hospital by a patient of the 
        hospital. "Hospital" means an institution that has been 
        licensed, certified, or approved by the department of health as 
        a hospital; 
           (28) (25) employment as a student nurse for a hospital or a 
        nurses' training school by an individual who is enrolled and is 
        regularly attending classes in a an accredited nurses' training 
        school chartered and approved pursuant to state law; 
           (29) (26) employment as an intern for a hospital by an 
        individual who has completed a four-year course in a an 
        accredited medical school chartered and approved pursuant to 
        state law; 
           (30) (27) employment as an insurance agent or as an 
        insurance solicitor salesperson, by other than a corporate 
        officer, if all the compensation for the employment is solely by 
        way of commission.  The word "insurance" shall include an 
        annuity and an optional annuity; 
           (31) (28) employment as an officer of a township mutual 
        insurance company or farmer's mutual insurance company operating 
        pursuant to chapter 67A; 
           (32) (29) employment as a real estate salesperson, by other 
        than a corporate officer, if all the compensation for the 
        employment is solely by way of commission; 
           (33) (30) employment as a direct seller as defined in 
        United States Code, title 26, section 3508; 
           (34) (31) employment of an individual under the age of 18 
        in the delivery or distribution of newspapers or shopping news, 
        not including delivery or distribution to any point for 
        subsequent delivery or distribution; 
           (35) (32) casual labor employment performed for an 
        individual, other than domestic employment under clause (18), 
        that does not in the course of the promote or advance that 
        employer's trade or business; 
           (36) (33) employment in "agricultural employment" unless 
        considered "covered agricultural employment" under subdivision 
        11; or 
           (37) (34) if the employment during one-half or more of any 
        pay period constitutes was covered employment, all the 
        employment for the pay period shall be considered covered 
        employment; but if the employment performed during more than 
        one-half of any pay period does not constitute covered the 
        employment was noncovered employment, then none all of the 
        employment for the pay period shall be considered covered 
        noncovered employment.  "Pay period" means a period of not more 
        than a calendar month for which a payment or compensation is 
        ordinarily made to the employee by the employer. 
           Sec. 12.  Minnesota Statutes 1998, section 268.035, is 
        amended by adding a subdivision to read: 
           Subd. 21a.  [REEMPLOYMENT ASSISTANCE TRAINING.] (a) A 
        claimant is in "reemployment assistance training" when: 
           (1) reasonable and suitable employment for the claimant 
        does not exist in the labor market area and it is necessary that 
        the claimant receive training in order to obtain suitable 
        employment; 
           (2) the curriculum, facilities, staff, and other essentials 
        are adequate to achieve the training objective; 
           (3) the training is vocational in nature or short term 
        academic training vocationally directed to an occupation or 
        skill for which there are reasonable employment opportunities 
        available to the claimant; 
           (4) the training course is considered full time by the 
        training provider; and 
           (5) the claimant is making satisfactory progress in the 
        training. 
           (b) Full-time training provided through the dislocated 
        worker program, the Trade Act of 1974, as amended, or the North 
        American Free Trade Agreement shall be considered "reemployment 
        assistance training," if that training course is in accordance 
        with the requirements of that program. 
           (c) A claimant will be considered in reemployment 
        assistance training only if the training course has actually 
        started or is scheduled to start within 30 calendar days. 
           Sec. 13.  Minnesota Statutes 1998, section 268.035, 
        subdivision 24, is amended to read: 
           Subd. 24.  [TAXABLE WAGES.] (a) "Taxable wages" means those 
        wages paid to an employee in covered employment each calendar 
        year up to an amount equal to 60 percent of the state's average 
        annual wage, rounded to the nearest $100 $1,000. 
           (b) Taxable wages includes the amount of wages paid for 
        covered employment by the employer's predecessor in this state 
        or under the reemployment insurance law of any other state.  Any 
        credit given for amounts reported under the reemployment 
        insurance law of another state shall be limited to that state's 
        taxable wage base when there has been an experience rating 
        record transfer under section 268.051, subdivision 4. 
           Sec. 14.  Minnesota Statutes 1998, section 268.035, 
        subdivision 30, is amended to read: 
           Subd. 30.  [WAGES PAID.] (a) "Wages paid" means the amount 
        of wages which that have been actually paid or which that have 
        been credited to or set apart for the employee so that payment 
        and disposition is under the control of the employee.  Wage 
        payments delayed beyond their the regularly scheduled pay date 
        are considered "actually wages paid" on the missed pay 
        date.  Back pay shall be considered "wages paid" on the date of 
        actual payment.  Any wages earned but not paid with no scheduled 
        date of payment shall be considered "actually wages paid" on the 
        last day services are performed in of employment before 
        separation. 
           (b) Wages paid shall not include wages earned but not paid 
        except as provided for in this subdivision. 
           Sec. 15.  Minnesota Statutes 1998, section 268.035, 
        subdivision 32, is amended to read: 
           Subd. 32.  [WEEKLY BENEFIT AMOUNT.] "Weekly benefit amount" 
        means the amount of benefits computed under section 268.07, that 
        a claimant would be entitled to receive for a week, if totally 
        unemployed and eligible subdivision 2, paragraph (b). 
           Sec. 16.  Minnesota Statutes 1998, section 268.042, 
        subdivision 3, is amended to read: 
           Subd. 3.  [ELECTION AGREEMENTS; TERMINATION POWERS OF 
        COMMISSIONER.] (a) An organization or person, not defined as an 
        employer, that files with the commissioner a written election to 
        become an employer, shall, with the written approval of the 
        commissioner, become an employer for not less than two calendar 
        years to the same extent as all other employers, as of the date 
        stated in the approval.  The organization or person shall cease 
        to be an employer as of the first day of January of any calendar 
        year, only, if at least 30 calendar days prior to the first day 
        of January, the organization or person has filed with the 
        commissioner a written notice to that effect. 
           (b) Any employer that has services employment performed for 
        it that do does not constitute employment and covered 
        employment, may file with the commissioner a written election 
        that all such service employment, in one or more distinct 
        establishments or places of business, shall be considered 
        covered employment for not less than two calendar years.  Upon 
        the written approval of the commissioner, the 
        services employment shall constitute covered employment from and 
        after the date stated in the approval.  The services employment 
        shall cease to be considered covered employment as of the first 
        day of January of any calendar year only if at least 30 calendar 
        days prior to the first day of January the employer has filed 
        with the commissioner a written notice to that effect.  
           (c) (b) The commissioner must terminate any election 
        agreement under this subdivision upon 30 calendar days' notice, 
        if the employer fails to pay all taxes due or payments in lieu 
        of taxes due the fund. 
           Sec. 17.  Minnesota Statutes 1998, section 268.045, is 
        amended to read: 
           268.045 [EMPLOYER TAX OR REIMBURSABLE ACCOUNTS.] 
           (a) The commissioner shall maintain a separate tax account 
        for each taxpaying employer and a reimbursable account for each 
        employer that is liable for payments in lieu of taxes if that 
        employer has employees in covered employment in the current or 
        the prior calendar year, except as provided in this section, and 
        shall charge the account for any benefits determined chargeable 
        to the employer under section 268.047 and shall credit the tax 
        account with all the taxes paid, or if the employer is liable 
        for payments in lieu of taxes, shall credit the reimbursable 
        account with the payments made. 
           (b) Two or more related corporations concurrently employing 
        the same employees and compensating those employees through a 
        common paymaster that is one of the corporations may apply to 
        the commissioner to establish a common paymaster tax account 
        that shall be the tax account of the common paymaster 
        corporation.  If approved, the separate tax accounts shall be 
        maintained, but the employees compensated through the common 
        paymaster shall be reported as employees of the common paymaster 
        corporation.  The corporations using the common paymaster tax 
        account shall be jointly and severally liable for any unpaid 
        taxes, penalties, and interest owing from the common 
        paymaster tax account.  
           (c) Two or more employers having 50 percent or more common 
        ownership and compensating employees through a single payer that 
        is one of the employers may apply to the commissioner for a 
        merging of the experience rating records of the employers into a 
        single joint tax account. 
           If approved, the joint tax account shall be effective on 
        that date assigned by the commissioner and shall remain in 
        effect for not less than two calendar years, and continuing 
        unless written notice terminating the joint tax account is filed 
        with the commissioner.  The termination shall be effective on 
        January 1 next following the filing of the written notice of 
        termination. 
           The employers in the joint tax account shall be jointly and 
        severally liable for any unpaid taxes, penalties, and interest 
        owing from the joint tax account. 
           (d) Two or more employers that are liable for payments in 
        lieu of taxes may apply to the commissioner for the 
        establishment of a group reimbursable account for the purpose of 
        sharing the cost of benefits charged based upon wage credits 
        from all employers in the group.  The application shall identify 
        and authorize a group representative to act as the group's agent 
        for the purposes of the reimbursable account.  If approved, the 
        commissioner shall establish a group reimbursable account for 
        the employers effective as of the beginning of the calendar year 
        that the application is received.  The reimbursable account 
        shall remain in effect for not less than two calendar years and 
        thereafter until terminated at the discretion of the 
        commissioner or upon application by the group at least 30 
        calendar days prior to the end of the two year period or 30 
        calendar days prior to January 1 of any following calendar 
        year.  Each employer in the group shall be jointly and severally 
        liable for payments in lieu of taxes for all benefits paid based 
        upon wage credits from all employers in the group during the 
        period the group reimbursable account was in effect.  
           Sec. 18.  Minnesota Statutes 1998, section 268.047, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [GENERAL RULE.] Benefits paid to a claimant 
        pursuant to a reemployment insurance account, including 
        extended, additional, and shared work benefits, shall be charged 
        to the tax or reimbursable account of the claimant's base period 
        employer as and when paid except as provided in subdivisions 2 
        and 3.  The amount of benefits chargeable charged to each base 
        period employer's tax or reimbursable account shall bear be the 
        same ratio to percentage of the total amount of benefits paid to 
        a claimant as the percentage of wage credits the claimant was 
        paid by from the employer bear to is of the total amount of wage 
        credits the claimant was paid by from all the claimant's base 
        period employers. 
           In making computations under this subdivision, the amount 
        of wage credits, if not a multiple of $1 whole dollar, shall be 
        computed to the nearest multiple of $1 whole dollar. 
           Sec. 19.  Minnesota Statutes 1998, section 268.047, 
        subdivision 2, is amended to read: 
           Subd. 2.  [EXCEPTIONS TO CHARGES FOR ALL EMPLOYERS.] 
        Benefits paid to a claimant shall not be charged to the tax 
        account of a taxpaying base period employer or to 
        the reimbursable account of a base period employer that is 
        liable for payments in lieu of taxes under the following 
        conditions when: 
           (1) the claimant was discharged from the employment because 
        of gross aggravated employment misconduct as determined under 
        section 268.095.  This clause exception shall apply only to 
        benefits paid for weeks periods after the claimant's discharge 
        from employment; or 
           (2) a claimant's discharge from that employment was 
        required by occurred because a law mandating a background check, 
        or the claimant's discharge from that employment was required by 
        law because of a criminal conviction removal of the claimant 
        from the position the claimant held; or 
           (3) the employer: 
           (i) provided regularly scheduled part-time employment to 
        the claimant during the claimant's base period; 
           (ii) during the claimant's benefit year, and continues to 
        provide the claimant with regularly scheduled part-time 
        employment approximating during the benefit year of at least 90 
        percent of the part-time employment provided the claimant by 
        that employer in the base period, or for and is an involved 
        employer because of the claimant's loss of other employment.  
        This exception shall terminate effective the first week that the 
        employer fails to meet the benefit year employment requirements. 
        This exception shall apply to educational institutions without 
        consideration of the period between academic years or terms; 
           (4) the employer is a fire department or firefighting 
        corporation or operator of a life-support transportation 
        service, and continues to provide employment for the claimant as 
        a volunteer firefighter or a volunteer ambulance service 
        personnel during the benefit year on the same basis that 
        employment was provided in the base period; and 
           (iii) is an involved employer because of the claimant's 
        loss of other employment.  The This exception to charges shall 
        terminate effective the first week in the claimant's benefit 
        year that the employer fails to meet the provisions of subclause 
        (ii) benefit year employment requirements; 
           This clause shall apply to educational institution 
        employers without consideration of the period between academic 
        years or terms; or 
           (4) (5) the claimant's unemployment from this employer was 
        directly caused by a major natural disaster declared by the 
        president, if the claimant would have been eligible for federal 
        disaster unemployment assistance with respect to that 
        unemployment but for the claimant's receipt of reemployment 
        insurance benefits; or 
           (5) the claimant's unemployment from this employer was 
        directly caused by a direct result of the condemnation of 
        property by a governmental agency, a fire, flood, or act of God 
        nature, where 70 25 percent or more of the employees employed in 
        at the affected location, including the claimant, became 
        unemployed as a result and the employer substantially reopens 
        its operations in that same area within 18 months.  Benefits 
        This exception shall be charged to the employer not apply where 
        the unemployment is caused by was a direct result of the willful 
        intentional act of the employer or a person acting on behalf of 
        the employer; or 
           (6) the benefits were paid by another state as a result of 
        the transferring of wage credits under a combined wage 
        arrangement provided for in section 268.131; or 
           (7) on a second reemployment insurance account established 
        pursuant to section 268.07, subdivision 3, where the employer 
        provided 90 percent or more of the wage credits in the 
        claimant's prior base period and the claimant did not perform 
        services for the employer during the second base period; or 
           (8) the claimant left or partially or totally lost 
        employment stopped working because of a strike or other labor 
        dispute at the claimant's primary place of employment if the 
        employer was not a party to the strike or labor dispute; or 
           (9) (8) the benefits were determined overpaid benefits 
        under section 268.18. 
           Sec. 20.  Minnesota Statutes 1998, section 268.047, 
        subdivision 3, is amended to read: 
           Subd. 3.  [EXCEPTIONS TO CHARGES FOR TAXPAYING EMPLOYERS.] 
        Benefits paid to a claimant shall not be charged to the tax 
        account of a taxpaying base period employer under the following 
        conditions when: 
           (1) the claimant's wage credits from that employer are less 
        than $500; 
           (2) the claimant quit the employment, unless it was 
        determined under section 268.095, to have been because of a good 
        reason caused by the employer or because the employer notified 
        the claimant of discharge within 30 calendar days.  This clause 
        exception shall apply only to benefits paid for periods after 
        the claimant's quitting the employment; or 
           (3) the employer discharged the claimant from employment 
        because of employment misconduct as determined under section 
        268.095.  This clause exception shall apply only to benefits 
        paid for periods after the claimant's discharge from employment;.
           (4) the employer discharged the claimant from employment 
        because of reasons resulting directly from the claimant's 
        serious illness, that was determined not misconduct under 
        section 268.095, provided the employer made a reasonable effort 
        to retain the claimant in employment in spite of the claimant's 
        serious illness; or 
           (5) the claimant avoided or failed to accept an offer from 
        the employer of suitable reemployment, as determined under 
        section 268.095, or avoided or failed to accept an offer of 
        reemployment with substantially the same or better hourly wages 
        and conditions of employment as were previously provided by that 
        employer.  This clause shall only apply to benefits paid for 
        periods after the claimant's refusal or avoidance. 
           (6) the claimant was held not disqualified from benefits 
        under section 268.095 solely because of the application of 
        section 268.105, subdivision 3a, paragraph (d). 
           Sec. 21.  Minnesota Statutes 1998, section 268.047, 
        subdivision 4, is amended to read: 
           Subd. 4.  [FEDERAL REIMBURSED BENEFITS NOT CHARGED.] 
        Notwithstanding Regardless of subdivision 1, no employer's 
        account shall be charged for benefits for which the reemployment 
        insurance fund is reimbursed by the federal government. 
           Sec. 22.  Minnesota Statutes 1998, section 268.048, is 
        amended to read: 
           268.048 [BENEFITS NOT CHARGED IN WELFARE-TO-WORK.] 
           (a) The commissioner shall, prior to computing a tax rate, 
        remove benefit charges from the tax account of a taxpaying 
        employer if the claimant to whom those benefits were paid was: 
           (1) a primary wage earner who was a recipient of cash 
        benefits under a Minnesota welfare program in the calendar 
        quarter or immediately preceding calendar quarter that wages 
        were first paid by that employer; 
           (2) paid wages by that employer in no more than two 
        calendar quarters; and 
           (3) paid wages by that employer of less than $3,000. 
           (b) This section shall only apply to benefit charges 
        accruing after July 1, 1997.  Paragraph (a), clauses (2) and 
        (3), shall apply to any calendar quarter and is not limited to 
        quarters in the claimant's base period.  
           (c) If the commissioner finds that an employer discharged 
        the claimant, or engaged in the employment practice of 
        discharging workers, in order to meet the requirements of 
        paragraph (a), clauses (2) and (3), this section shall not 
        apply.  In addition, the employer's action shall constitute 
        employer misconduct and the penalties under section 268.184 
        shall be assessed. 
           Sec. 23.  Minnesota Statutes 1998, section 268.051, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [PAYMENTS.] (a) Taxes shall accrue and 
        become payable by each employer for each calendar year that the 
        employer paid wages to employees in covered employment, except 
        for:  
           (1) nonprofit corporations organizations that elect to make 
        payments in lieu of taxes as provided in section 268.053; and 
           (2) the state of Minnesota and political subdivisions, 
        unless they elect to pay taxes as provided in section 268.052.  
        Each employer shall pay taxes quarterly, at the employer's 
        assigned tax rate, on the taxable wages paid to each employee.  
        The taxes shall be paid to the fund on or before the last day of 
        the month following the end of the calendar quarter. 
           (b) The tax may be paid in an amount to the nearest whole 
        dollar. 
           (c) When the tax for any calendar quarter is less than $1, 
        the tax shall be disregarded. 
           Sec. 24.  Minnesota Statutes 1998, section 268.051, 
        subdivision 2, is amended to read: 
           Subd. 2.  [COMPUTATION OF TAX RATES.] (a) For each calendar 
        year the commissioner shall compute the tax rate of 
        each taxpaying employer that qualifies for an experience rating 
        by adding the minimum tax rate to the employer's experience 
        rating. 
           (b) The minimum tax rate shall be six-tenths of one percent 
        if the amount in the fund is less than $200,000,000 on June 30 
        of the prior calendar year; or five-tenths of one percent if the 
        fund is more than $200,000,000 but less than $225,000,000; or 
        four-tenths of one percent if the fund is more than $225,000,000 
        but less than $250,000,000; or three-tenths of one percent if 
        the fund is more than $250,000,000 but less than $275,000,000; 
        or two-tenths of one percent if the fund is $275,000,000 but 
        less than $300,000,000; or one-tenth of one percent if the fund 
        is $300,000,000 or more. 
           (c) For the purposes of this subdivision the fund shall not 
        include any money advanced borrowed from the federal 
        unemployment trust fund pursuant to section 268.194, subdivision 
        6. 
           Sec. 25.  Minnesota Statutes 1998, section 268.051, 
        subdivision 3, is amended to read: 
           Subd. 3.  [COMPUTATION OF AN A TAXPAYING EMPLOYER'S 
        EXPERIENCE RATING.] (a) For each calendar year, the commissioner 
        shall compute an experience rating for an each taxpaying 
        employer who has been subject to this chapter for at least the 
        12 calendar months prior to July 1 of the prior calendar year.  
        The experience rating shall be the ratio obtained by 
        dividing 1-1/4 times 125 percent of the total benefits charged 
        to the employer's tax account during the period the employer has 
        been subject to this chapter, but not less than the 12 or more 
        than the 60 calendar months ending on June 30 of the prior 
        calendar year, by the employer's total taxable payroll for the 
        same period. 
           (b) For purposes of paragraph (a), only that taxable 
        payroll upon which taxes have been paid on or before September 
        30 of the prior calendar year may be used in computing an 
        employer's experience rating. 
           (c) The experience rating shall be computed to the nearest 
        one-tenth of a percent, to a maximum of 8.9 percent.  
           Sec. 26.  Minnesota Statutes 1998, section 268.051, 
        subdivision 4, is amended to read: 
           Subd. 4.  [EXPERIENCE RATING RECORD TRANSFER.] (a) When an 
        employer acquires the organization, trade or business or 
        substantially all the assets of another employer, and there is 
        25 percent or more common ownership, directly or indirectly, 
        between the predecessor and successor, the experience rating 
        record of the predecessor employer shall be transferred as of 
        the date of acquisition to the successor employer for the 
        purpose of computing a tax rate. 
           (b) When an employer acquires a distinct severable portion 
        of the organization, trade, business, or assets that is less 
        than substantially all of the employing enterprises of another 
        employer, and there is 25 percent or more common ownership, 
        directly or indirectly, between the predecessor and successor, 
        the successor employer shall acquire the experience rating 
        record attributable to the portion it acquired, and the 
        predecessor employer shall retain the experience rating record 
        attributable to the portion that it has retained, if (1) the 
        successor makes a written request to apply for the transfer of 
        the experience rating record attributable to the severable 
        portion acquired from the predecessor within 180 calendar days 
        from the date of acquisition, and (2) files an application 
        within the time and in the manner prescribed by the commissioner 
        that furnishes sufficient information to substantiate the 
        severable portion and to assign the appropriate total and 
        taxable wages and benefit charges to the successor for 
        experience rating purposes.  
           (c) The term "common ownership" for purposes of this 
        subdivision includes ownership by a spouse, parent, child, 
        brother, sister, aunt, uncle, niece, nephew, or first cousin, by 
        birth or by marriage. 
           (d) If the successor employer under paragraphs (a) and (b) 
        had an experience rating record at the time of the acquisition, 
        the transferred record of the predecessor shall be combined with 
        the successor's record for purposes of computing a tax rate. 
           (e) If there has been a transfer of an experience rating 
        record under paragraph (a) or (b), employment with a predecessor 
        employer shall not be considered to have been terminated if 
        similar employment is offered by the successor employer and 
        accepted by the employee. 
           (f) The commissioner, upon the commissioner's own motion or 
        upon application of an employer shall determine if an employer 
        is a successor within the meaning of this subdivision and shall 
        send the determination to the employer by mail or electronic 
        transmission.  The determination shall be final unless an appeal 
        is filed by the employer within 30 calendar days after the 
        sending of the determination.  Proceedings on the appeal shall 
        be conducted in accordance with section 268.105. 
           (g) The commissioner may, as the result of any 
        determination or decision regarding succession or nonsuccession, 
        recompute the tax rate of all employers affected by the 
        determination or decision for any year, including the year of 
        the acquisition and subsequent years, that is affected by the 
        transfer or nontransfer of part or all of the experience rating 
        record.  This paragraph does not apply to rates that have become 
        final before the filing of a written request to apply for the 
        transfer of a severable portion of the experience rating record 
        under paragraph (b). 
           (h) The experience rating record for purposes of this 
        subdivision shall consist of those factors which that make up an 
        experience rating, without the 12-month minimum required under 
        subdivision 3. 
           (i) If the commissioner finds that a transaction was done, 
        in whole or in part, to avoid an experience rating record or the 
        transfer of an experience rating record, the commissioner may 
        transfer all or part of the experience rating record to an 
        employer notwithstanding regardless of the requirements or 
        limitations of paragraph (a).  This shall include the 
        transferring of employees from the payroll of an employer with a 
        higher experience rating record to the payroll of an employer 
        with a lower experience rating record. 
           (j) Regardless of paragraph (a), if there is an acquisition 
        or merger of a publicly held corporation by or with another 
        publicly held corporation the experience rating records of the 
        corporations shall be combined as of the date of acquisition or 
        merger for the purpose of computing a tax rate. 
           Sec. 27.  Minnesota Statutes 1998, section 268.051, 
        subdivision 5, is amended to read: 
           Subd. 5.  [TAX RATE FOR NEW EMPLOYERS.] (a) Each taxpaying 
        employer that does not qualify for an experience rating under 
        subdivision 3, paragraph (a), except employers in the 
        construction a high experience rating industry, shall be 
        assigned a tax rate the higher of (1) one percent, or (2) the 
        state's average cost rate; to a maximum of 5-4/10 percent.  For 
        purposes of this paragraph, the state's average cost rate shall 
        be computed annually and shall be derived by dividing the total 
        amount of benefits paid all claimants during the 60 consecutive 
        calendar months prior to July 1 of each year by the total 
        taxable wages of all taxpaying employers during the same 
        period.  This rate for new employers shall be applicable for the 
        calendar year following the computation date.  
           (b) Each taxpaying employer in the construction a high 
        experience rating industry that does not qualify for an 
        experience rating under subdivision 3, paragraph (a), shall be 
        assigned a tax rate, the higher of (1) one percent, or (2) the 
        state's average cost rate for construction employers to a 
        maximum of 8.9 8.0 percent, plus the applicable minimum tax 
        rate.  For purposes of this paragraph, the state's average cost 
        rate shall be computed annually and shall be derived by dividing 
        the total amount of benefits paid to claimants of construction 
        industry employers during the 60 consecutive calendar months 
        prior to July 1 of each year by the total taxable wages of 
        construction industry employers during the same period.  This 
        rate shall be applicable for the calendar year following the 
        computation date.  
           An employer is considered in the construction to be in a 
        high experience rating industry if: 
           (1) the employer is within division C of the Standard 
        Industrial Classification Manual issued by the United States 
        Office of Management and Budget, except as excluded by rules 
        adopted by the commissioner. engaged in residential, commercial, 
        or industrial construction, including general contractors; 
           (2) the employer is engaged in sand, gravel, or limestone 
        mining; 
           (3) the employer is engaged in the manufacturing of 
        concrete, concrete products, or asphalt; or 
           (4) the employer is engaged in road building, repair, or 
        resurfacing, including bridge and tunnels and residential and 
        commercial driveways and parking lots.  
           Sec. 28.  Minnesota Statutes 1998, section 268.051, 
        subdivision 8, is amended to read: 
           Subd. 8.  [SOLVENCY ASSESSMENT.] (a) If the fund balance is 
        less than $150,000,000 on June 30 of any year, a solvency 
        assessment on taxpaying employers will be in effect for the 
        following calendar year.  The taxpaying employer shall pay 
        quarterly a solvency assessment of ten percent of the taxes due. 
           (b) The solvency assessment shall be placed into a special 
        account from which the commissioner shall pay any interest 
        accruing on any advance loan from the federal unemployment trust 
        fund provided for under section 268.194, subdivision 6.  If the 
        commissioner determines that the balance in this special account 
        is more than is necessary to pay the interest on any advance, 
        the commissioner shall pay to the fund the amount in excess of 
        that necessary to pay the interest on any advance. 
           Sec. 29.  Minnesota Statutes 1998, section 268.052, is 
        amended to read: 
           268.052 [PAYMENT TO FUND BY STATE AND POLITICAL 
        SUBDIVISIONS.] 
           Subdivision 1.  [PAYMENTS TO FUND BY STATE AND POLITICAL 
        SUBDIVISIONS.] In lieu of taxes payable on a quarterly basis, 
        the state of Minnesota or its political subdivisions shall pay 
        into the reemployment insurance fund the amount of benefits 
        charged to its reimbursable account under section 268.047.  
        Payments in the amount of benefits charged to the reimbursable 
        account during a calendar quarter shall be made on or before the 
        last day of the month next following the month in which that the 
        notice of benefits charged is mailed to the employer sent 
        pursuant to section 268.047, subdivision 5.  Past due 
        payments in lieu of taxes shall be subject to the same interest 
        charges and collection procedures that apply to past due taxes. 
           Subd. 2.  [ELECTION BY STATE OR POLITICAL SUBDIVISION TO BE 
        A TAXPAYING EMPLOYER.] (a) The state or political subdivision 
        may elect to be a taxpaying employer for any calendar year if 
        a written notice of election is filed with the commissioner 
        within 30 calendar days following January 1 of that calendar 
        year.  Upon election, the state or political subdivision shall 
        be assigned the new employer tax rate under section 268.051, 
        subdivision 5, for the calendar year of the election and until 
        it qualifies for an experience rating under section 268.051, 
        subdivision 3. 
           (b) An election shall be for a minimum period of two three 
        calendar years immediately following the effective date of the 
        election and continue unless a written notice terminating the 
        election is filed with the commissioner not later than 30 
        calendar days prior to before the beginning of the calendar 
        year.  The termination shall be effective at the beginning of 
        the next calendar year.  A termination of election shall be 
        allowed only if the state or political subdivision has a zero 
        experience rating and has no benefit charges to its tax account 
        that have not yet been used in computing an experience rating 
        under section 268.051, subdivision 3.  
           (b) (c) The method of payments to the reemployment 
        insurance fund under subdivisions 3 and 4 shall apply to all 
        contributions taxes paid by or due from the state or political 
        subdivision that elects to be taxpaying employers under this 
        subdivision. 
           (d) The commissioner may allow a notice of election or a 
        notice terminating election to be filed by mail or electronic 
        transmission.  
           Subd. 3.  [METHOD OF PAYMENT BY STATE TO FUND.] To 
        discharge its obligations liability, the state and its wholly 
        owned instrumentalities shall pay the reemployment insurance 
        fund as follows: 
           (a) (1) Every self-sustaining department, institution and 
        wholly owned instrumentality of the state shall pay into the 
        fund the amounts the commissioner shall certify has been paid 
        from the fund that were charged to its account in accordance 
        with subdivision 1.  For the purposes of this clause a 
        "self-sustaining department, institution or wholly owned 
        instrumentality" is one in which where the dedicated income and 
        revenue substantially offsets its cost of operation. 
           (b) (2) Every partially self-sustaining department, 
        institution and wholly owned instrumentality of the state shall 
        pay into the fund the that same proportion of the sum amount 
        that the commissioner certifies has been paid from the fund has 
        been charged to its employer account as the proportion of the 
        total of its income and revenue bears is to its annual cost of 
        operation. 
           (c) (3) Every department, institution or wholly owned 
        instrumentality of the state which that is not self-sustaining 
        shall pay to the fund the amount the commissioner certifies has 
        been paid from the fund which were charged to their accounts to 
        the extent funds are available from appropriated funds. 
           (d) (4) The departments, institutions and wholly owned 
        instrumentalities of the state, including the University of 
        Minnesota, which that have money available shall immediately pay 
        the fund for benefits paid which were charged to their accounts 
        upon receiving notification from the commissioner of the charges 
        in accordance with subdivision 1.  If a claimant was paid by a 
        department, institution or wholly owned instrumentality during 
        the claimant's base period from a special or administrative 
        account or fund provided by law, the payment into to the fund 
        shall be made from the special or administrative account or fund 
        with the approval of the department of administration and the 
        amounts are hereby appropriated. 
           (e) (5) For those departments, institutions and wholly 
        owned instrumentalities of the state which that cannot 
        immediately pay the fund for benefits that were charged to their 
        accounts, the commissioner shall certify on November 1 of each 
        calendar year to the department commissioner of finance the 
        unpaid balances due and owing.  Upon receipt of the 
        certification, the commissioner of the department of finance 
        shall include the unpaid balances in the biennial budget 
        submitted to the legislature. 
           Subd. 4.  [METHOD OF PAYMENT BY POLITICAL SUBDIVISION TO 
        FUND.] A political subdivision or instrumentality thereof is 
        authorized and directed to pay its obligations under this 
        chapter liabilities by moneys money collected from taxes or 
        other revenues.  Every political subdivision authorized to levy 
        taxes may include in its tax levy the amount necessary to pay 
        its obligations liabilities.  If the taxes authorized to be 
        levied under this subdivision cause the total amount of taxes 
        levied to exceed any limitation upon the power of a political 
        subdivision to levy taxes, the political subdivision may levy 
        taxes in excess of the limitations in the amounts necessary to 
        meet its obligation under this chapter liability.  The 
        expenditures authorized shall not be included in computing the 
        cost of government as defined in any home rule charter of any 
        city.  The governing body of a municipality, for the purpose of 
        meeting its liabilities under this chapter, in the event of a 
        deficit, may issue its obligations payable in not more than two 
        years, in an amount that may cause its indebtedness to exceed 
        any statutory or charter limitations, without an election, and 
        may levy taxes in the manner provided in section 475.61. 
           Sec. 30.  Minnesota Statutes 1998, section 268.053, is 
        amended to read: 
           268.053 [PAYMENT TO FUND BY NONPROFIT 
        CORPORATIONS ORGANIZATIONS.] 
           Subdivision 1.  [ELECTION.] (a) Any nonprofit organization 
        that is determined to be an employer 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 reemployment insurance fund the amount of benefits 
        charged to the employer's its employer account under section 
        268.047. 
           (1) Any nonprofit The organization may elect to become 
        liable for make payments in lieu of taxes for a period of not 
        less than two three calendar years beginning with the date that 
        the organization was determined to be an employer with covered 
        employment by filing a written notice of election with the 
        commissioner not later than 30 calendar days immediately 
        following after the date of the determination. 
           (2) (b) Any nonprofit organization that makes an election 
        will continue to be liable for payments in lieu of taxes until 
        it files with the commissioner a written notice terminating its 
        election not later than 30 calendar days prior to before the 
        beginning of the calendar year for which the termination shall 
        first 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. 
           (3) (d) Any nonprofit organization that has been paying 
        taxes may change elect to making make payments in lieu of taxes 
        by filing with the commissioner not later no less than 30 
        calendar days prior to before January 1 of any calendar year a 
        written notice of election to become liable for payments in lieu 
        of taxes.  An election shall be allowed only if the nonprofit 
        organization has a zero experience rating and has no benefit 
        charges to its tax account that have not yet been used in 
        computing an experience rating under section 268.051, 
        subdivision 3.  The election shall not be terminable by the 
        organization for that and the next calendar year. 
           (4) (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. 
           (5) Subd. 2.  [DETERMINATION AND APPEAL.] The commissioner 
        shall notify each nonprofit organization by mail or electronic 
        transmission of any determination of its status as an employer 
        with covered employment and of the effective date of any 
        election or termination of election.  The determinations shall 
        be final unless a written an appeal is filed within 30 calendar 
        days after mailing sending of the determination.  Proceedings on 
        the appeal shall be conducted in accordance with section 268.105.
           (b) Subd. 3.  [PAYMENTS.] (a) Payments in lieu of taxes, in 
        the amount of benefits charged to the employer's reimbursable 
        account, during a calendar quarter, shall be made on or before 
        the last day of the month next following the month in which that 
        the notice of benefits charged is mailed to the employer sent 
        pursuant to section 268.047, subdivision 5.  
           (c) (b) Past due payments in lieu of taxes shall be subject 
        to the same interest charges and collection procedures that 
        apply to past due taxes. 
           (d) (c) If any nonprofit organization is delinquent in 
        making payments in lieu of taxes, the commissioner may terminate 
        the organization's election to make payments in lieu of taxes as 
        of the beginning of the next calendar year, and the termination 
        shall be effective for that and the following calendar year.  A 
        nonprofit organization that has its election terminated under 
        this paragraph shall be assigned the new employer tax rate under 
        section 268.051, subdivision 5, until the organization qualifies 
        for an experience rating under section 268.051, subdivision 3. 
           (e) Subd. 4.  [APPLICATION.] For purposes of 
        this subdivision section, a nonprofit organization is an 
        organization, or group of organizations, described in United 
        States Code, title 26, section 501(c)(3) of the Internal Revenue 
        Code that is exempt from income tax under section 501(a) of the 
        code. 
           Sec. 31.  Minnesota Statutes 1998, section 268.057, 
        subdivision 4, is amended to read: 
           Subd. 4.  [COSTS.] Any employer which person that fails to 
        make and submit reports or pay any taxes or, payment in lieu of 
        taxes, or benefit overpayment, including interest and penalties, 
        when due is liable to the department for any filing fees, 
        recording fees, sheriff fees, costs incurred by referral to any 
        public or private collection agency outside the department, or 
        litigation costs incurred in the collection of the amounts 
        due or obtaining the reports.  
           If any check or money order, in payment of any amount due 
        under this chapter, is not honored when presented for payment, 
        the employer will be assessed a fee of $20 which is in addition 
        to any other fees provided by this chapter.  The fee $25 shall 
        be assessed regardless of the amount of the check or money order 
        or the reason for nonpayment with the exception of processing 
        errors made by a financial institution.  
           Costs due under this subdivision collected shall be paid to 
        the department and credited to the administration fund account. 
           Sec. 32.  Minnesota Statutes 1998, section 268.057, 
        subdivision 10, is amended to read: 
           Subd. 10.  [PRIORITIES UNDER LEGAL DISSOLUTIONS OR 
        DISTRIBUTIONS.] In the event of any distribution of an 
        employer's assets pursuant to an order of any court under the 
        laws of this state, including any receivership, assignment for 
        benefit of creditors, adjudicated insolvency, composition, or 
        similar proceeding, taxes then or thereafter due shall be paid 
        in full prior to all other claims except claims for wages of not 
        more than $250 to each claimant $1,000 per former employee, 
        earned within six months of the commencement of the 
        proceedings.  In the event of an employer's adjudication in 
        bankruptcy, judicially confirmed extension proposal, or 
        composition, under the federal Bankruptcy Act of 1898, as 
        amended law, taxes then or thereafter due shall be entitled 
        to such the priority as is provided in that act law for taxes 
        due any state of the United States. 
           Sec. 33.  Minnesota Statutes 1998, section 268.058, is 
        amended to read: 
           268.058 [TAX AND PAYMENT IN LIEU OF TAXES LIEN, LEVY, 
        SETOFF, AND CIVIL ACTION.] 
           Subdivision 1.  [LIEN.] (a) Any taxes, benefit 
        overpayments, or payments in lieu of taxes due under this 
        chapter and including interest and, penalties imposed with 
        respect thereto, and costs shall become a lien upon all the 
        property, within this state, both real and personal, of the 
        person liable therefor, from the date of assessment of the tax, 
        benefit overpayment, or payment in lieu of taxes.  The term 
        "date of assessment" means the date a report was due or the 
        payment the obligation was due date of the notice of benefits 
        charged to a payment in lieu of taxes account. 
           (b)(1) The lien imposed by this section is not enforceable 
        against any purchaser, mortgagee, pledgee, holder of a Uniform 
        Commercial Code security interest, mechanic's lien, or judgment 
        lien creditor, until a notice of lien has been filed by the 
        commissioner in the office of with the county recorder of the 
        county in which where the property is situated, or in the case 
        of personal property belonging to an individual who is not a 
        resident of the state, or which is a corporation, partnership, 
        or other organization, a nonresident person in the office of the 
        secretary of state.  When the filing of the notice of lien 
        is made in the office of filed with the county recorder, the fee 
        for filing and indexing shall be as prescribed provided in 
        sections 272.483 and 272.484.  
           (2) (c) Notices of liens, lien renewals, and lien releases, 
        in a form prescribed by the commissioner of economic security, 
        may be filed with the county recorder or the secretary of state 
        by mail, personal delivery, or by electronic transmission by the 
        commissioner or a delegate into the computerized filing system 
        of the secretary of state authorized under section 336.9-411.  
        The secretary of state shall, on any notice filed with that 
        office, transmit the notice electronically to the office of the 
        appropriate county recorder, if that is the place of filing, in 
        the county or counties shown on the computer entry.  The filing 
        officer, whether the county recorder or the secretary of state, 
        shall endorse and index a printout of the notice in the same 
        manner as if the notice had been mailed or delivered.  
           (3) (d) County recorders and the secretary of state shall 
        enter information relative to on lien notices, renewals, and 
        releases filed in their offices into the central database of the 
        secretary of state.  For notices filed electronically with the 
        county recorders, the date and time of receipt of the notice and 
        county recorder's file number, and for notices filed 
        electronically with the secretary of state, the secretary of 
        state's recording information, must be entered by the filing 
        officer into the central database before the close of the 
        working day following the day of the original data entry by the 
        department commissioner.  
           (c) (e) The lien imposed on personal property by this 
        section, even though properly filed, is not enforceable against 
        a purchaser with respect to of tangible personal property 
        purchased at retail or as against the personal property listed 
        as exempt in sections 550.37, 550.38, and 550.39. 
           (d) (f) A notice of tax lien filed pursuant to this section 
        has priority over any security interest arising under chapter 
        336, article 9, which that is perfected prior in time to the 
        lien imposed by this section subdivision, but only if:  
           (1) the perfected security interest secures property not in 
        existence at the time the notice of tax lien is filed; and 
           (2) the property comes into existence after the 
        45th calendar day following the day on which the notice of tax 
        lien is filed, or after the secured party has actual notice or 
        knowledge of the tax lien filing, whichever is earlier. 
           (e) (g) The lien imposed by this section shall be 
        enforceable from the time the lien arises and for ten years from 
        the date of filing the notice of lien.  A notice of lien may be 
        renewed by the commissioner before the expiration of the 
        ten-year period for an additional ten years.  The delinquent 
        employer must receive notice of the renewal. 
           (f) (h) The lien imposed by this section shall be 
        enforceable by levy as authorized in under subdivision 8 2 or by 
        judgment lien foreclosure as authorized in under chapter 550.  
           Subd. 2.  [LIMITATION FOR HOMESTEAD PROPERTY.] (i) The lien 
        may be imposed by this section is a lien upon property defined 
        as homestead property in chapter 510.  The lien but may be 
        enforced only upon the sale, transfer, or conveyance of the 
        homestead property. 
           (j) The commissioner may sell and assign to a third party 
        the commissioner's right of redemption in specific real property 
        for liens filed under this subdivision.  The assignee shall be 
        limited to the same rights of redemption as the commissioner, 
        except that in a bankruptcy proceeding, the assignee does not 
        obtain the commissioner's priority.  Any proceeds from the sale 
        of the right of redemption shall be credited to the contingent 
        account.  Any sale shall be by written agreement signed by an 
        attorney who is a classified employee of the department 
        designated by the commissioner for that purpose. 
           Subd. 3. 2.  [LEVY.] (a) If any tax or, payment in lieu of 
        taxes payable to the department, or benefit overpayment, 
        including interest, penalties, and costs, is not paid when due, 
        the amount may be collected by the commissioner, a duly 
        authorized representative, or by the sheriff of any county to 
        whom the commissioner has issued a warrant, who may by direct 
        levy upon all property and rights of property of the person 
        liable for the tax or payment in lieu of taxes, (amount due 
        except that which is exempt from execution pursuant to under 
        section 550.37), or property on which there is a lien provided 
        by subdivision 1.  The terms "tax or payment in lieu of taxes" 
        shall include any penalty, interest, and costs.  The term "levy" 
        includes the power of distraint and seizure by any 
        means.  Before a levy is made or warrant issued, notice and 
        demand for payment of the amount due shall be given to the 
        person liable for the tax or payment in lieu of taxes at least 
        ten days prior to the levy or issuing of a warrant.  
           (b) Upon In addition to a direct levy, the commissioner 
        issuing may issue a warrant, to the sheriff of any county who 
        shall proceed within 60 calendar days to levy upon the property 
        or rights to property of the employer delinquent person within 
        the employer's county, except the homestead and household goods 
        of the employer and property of the employer not liable to 
        attachment, garnishment, or sale on any final process issued 
        from any court that exempt under the provisions of section 
        550.37, and.  The sheriff shall sell so much thereof as is 
        required that property necessary to satisfy the tax, payment in 
        lieu of taxes, interest, and penalties total amount due, 
        together with the commissioner's and sheriff's costs.  The sales 
        shall, as to their manner, be governed by the law applicable to 
        sales of like property on execution issued against property upon 
        of a judgment of a court of record.  The proceeds of the sales, 
        less the sheriff's costs, shall be turned over to the 
        commissioner, who shall retain a part thereof as is required to 
        satisfy the tax, payment in lieu of taxes, interest, penalties, 
        and costs, and pay over any balance to the employer.  
           (c) Notice and demand for payment of the total amount due 
        shall be mailed to the delinquent person at least ten calendar 
        days prior to action being taken under paragraphs (a) and (b). 
           (c) (d) If the commissioner has reason to believe that 
        collection of the tax or payment in lieu of taxes amount due is 
        in jeopardy, notice and demand for immediate payment of the 
        amount may be made by the commissioner.  If the tax or payment 
        in lieu of taxes total amount due is not paid, the commissioner 
        may proceed to collect by direct levy or issue a warrant without 
        regard to the ten-day ten calendar day period provided herein.  
           (d) (e) In making the execution of executing the levy and 
        in collecting the tax or payment in lieu of taxes due, the 
        commissioner shall have all of the powers provided in chapter 
        550 and in or any other law for purposes of effecting an that 
        provides for execution against property in this state.  The sale 
        of property levied upon and the time and manner of 
        redemption therefrom shall be as provided in chapter 550.  The 
        seal of the court, subscribed by the court administrator, as 
        provided in section 550.04, shall not be required.  The levy for 
        collection of taxes or payments in lieu of taxes may be made 
        whether or not the commissioner has commenced a legal action for 
        collection of the amount. 
           (e) (f) Where a jeopardy assessment or any other assessment 
        has been made by the commissioner, the property seized for 
        collection of the tax or payment in lieu of taxes total amount 
        due shall not be sold until any determination of liability, 
        rate, or benefit charges has become final.  No sale shall be 
        made unless the tax or payment in lieu of taxes remain a portion 
        of the amount due remains unpaid for a period of more than 
        30 calendar days after the determination of liability becomes 
        final.  Seized property may be sold at any time if:  
           (1) the employer delinquent person consents in writing to 
        the sale; or 
           (2) the commissioner determines that the property is 
        perishable or may become greatly reduced in price or value by 
        keeping, or that the property cannot be kept without great 
        expense.  
           (f) (g) Where a levy has been made to collect taxes or 
        payments in lieu of taxes pursuant to this subdivision the 
        amount due and the property seized is properly included in a 
        formal proceeding commenced under sections 524.3-401 to 
        524.3-505 and maintained under full supervision of the court, 
        the property shall not be sold until the probate proceedings are 
        completed or until the court so orders.  
           (g) (h) The property seized shall be returned by the 
        commissioner if the owner: 
           (1) gives a surety bond equal to the appraised value of the 
        owner's interest in the property, as determined by the 
        commissioner, or 
           (2) deposits with the commissioner security in a form and 
        amount as the commissioner deems considers necessary to insure 
        payment of the liability, but not more than twice the liability. 
           (h) Notwithstanding any other law to the contrary, (i) If a 
        levy or sale pursuant to this section would irreparably injure 
        rights in property which that the court determines to be 
        superior to rights of the state in the property, the district 
        court may grant an injunction to prohibit the enforcement of the 
        levy or to prohibit the sale. 
           (i) (j) Any person who fails or refuses to surrender 
        without reasonable cause any property or rights to property 
        subject to levy upon demand by the commissioner shall be 
        personally liable to the department in an amount equal to the 
        value of the property or rights not so surrendered, but not 
        exceeding the amount of tax or payment in lieu of taxes for the 
        collection of which the levy has been made.  Any amount 
        recovered under this subdivision shall be credited against the 
        tax or payment in lieu of taxes liability for the collection of 
        which the levy was made.  The term "person" includes an officer 
        or employee of a corporation or a member or employee of a 
        partnership who, as an officer, employee, or member is under a 
        duty to surrender the property or rights to property or to 
        discharge the obligation due.  
           (j) Any action taken by the commissioner pursuant to this 
        subdivision shall not constitute an election by the department 
        to pursue a remedy to the exclusion of any other remedy.  
           (k) After If the commissioner has seized the property of 
        any person individual, that person individual may, upon giving 
        48 hours notice to the commissioner and to the court, bring a 
        claim for equitable relief before the district court for the 
        release of the property to the employer upon terms and 
        conditions as the court may deem considers equitable. 
           (l) Any person in control or possession of (or obligated 
        with respect to) property or rights to property subject to levy 
        upon which a levy has been made who, upon demand by the 
        commissioner, surrenders the property or rights to property, or 
        who pays a liability under this subdivision the amount due shall 
        be discharged from any obligation or liability to the person 
        liable for the payment of the delinquent tax or payment in lieu 
        of taxes amount due with respect to the property or rights to 
        property so surrendered or paid.  
           (m) Notwithstanding any other provisions of law to the 
        contrary, The notice of any levy authorized by this section may 
        be served personally or by mail or by delivery by an employee or 
        agent of the department. 
           (n) It shall be lawful for The commissioner to may release 
        the levy upon all or part of the property or rights to property 
        levied upon if the commissioner determines that the release will 
        facilitate the collection of the liability, but the release 
        shall not operate to prevent any subsequent levy.  If the 
        commissioner determines that property has been wrongfully levied 
        upon, it shall be lawful for the commissioner to shall return:  
           (1) the specific property levied upon, at any time; or 
           (2) an amount of money equal to the amount of money levied 
        upon, at any time before the expiration of nine months from the 
        date of levy. 
           (o) Notwithstanding section 52.12, a levy by the 
        commissioner made pursuant to the provisions of this section 
        upon an employer's a person's funds on deposit in a financial 
        institution located in this state, shall have priority over any 
        unexercised right of setoff of the financial institution to 
        apply the levied funds toward the balance of an outstanding loan 
        or loans owed by the employer person to the financial 
        institution.  A claim by the financial institution that it 
        exercised its right to setoff prior to the levy by the 
        commissioner must be substantiated by evidence of the date of 
        the setoff, and shall be verified by the sworn statement of a 
        responsible an affidavit from a corporate officer of the 
        financial institution.  Furthermore, For purposes of determining 
        the priority of any levy made under this section subdivision, 
        the levy shall be treated as if it were an execution made 
        pursuant to under chapter 550.  
           Subd. 4. 3.  [RIGHT OF SETOFF.] (a) Upon certification by 
        the commissioner to the commissioner of finance, or to any state 
        agency which that disburses its own funds, that an employer a 
        person has an uncontested delinquent tax or payment in lieu of 
        taxes a liability owed to the department under this chapter, 
        including interest, penalties, and costs, and that the state has 
        purchased personal services, supplies, contract services, or 
        property from said employer that person, the commissioner of 
        finance or the state agency shall apply to the delinquent tax or 
        payment in lieu of taxes liability funds set off and pay to the 
        commissioner an amount sufficient to satisfy the unpaid 
        liability from funds appropriated for payment of said the 
        obligation of the state or any of its agencies that are due and 
        owing the employer otherwise due the person.  The credit shall 
        not be made against No amount shall be set off from any funds 
        exempt under section 550.37 or those funds owed due an 
        individual employer who receives assistance under chapter 256. 
           (b) All funds, whether general or dedicated, shall be 
        subject to setoff in the manner provided in this subdivision.  
        Transfer of funds in payment of the obligations of the state or 
        any of its agencies to an employer and any actions for the funds 
        shall be had against the commissioner on the issue of the tax or 
        payment in lieu of taxes liability.  Nothing in this section 
        shall be construed to limit the previously existing right of the 
        state or any of its agencies to setoff.  
           Notwithstanding Regardless of any law to the contrary, the 
        commissioner shall have first priority to setoff from any funds 
        owed by otherwise due from the department to a 
        delinquent employer person. 
           Subd. 5. 4.  [COLLECTION BY CIVIL ACTION.] (a) In addition 
        to all other collection methods authorized, if Any employer is 
        delinquent on any payment of taxes or, payment in lieu of taxes, 
        or benefit overpayment, including interest due thereon or, 
        penalties for failure to file a tax report and other reports as 
        required by this chapter or by any rule of the commissioner, the 
        amount due, or costs, may be collected by civil action in the 
        name of the state of Minnesota, and any money recovered shall be 
        credited to the funds provided for under those sections.  Any 
        employer adjudged delinquent shall pay the costs of the action.  
        Civil actions brought under this subdivision shall be heard as 
        provided under section 16D.14.  No action for the collection of 
        taxes, interest thereon, or penalties shall be commenced more 
        than six years after the taxes have been reported by the 
        employer or determined by the commissioner to be due and 
        payable.  In any action, judgment shall be entered against any 
        employer in default for the relief demanded in the complaint 
        without proof, together with costs and disbursements, upon the 
        filing of an affidavit of default. 
           (b) Any employer person that is not a resident of this 
        state and any resident employer person removed from this state, 
        shall be considered to appoint the secretary of state as its 
        agent and attorney for the acceptance of process in any civil 
        action under this subdivision.  In instituting an action against 
        any employer,.  The commissioner shall file process with the 
        secretary of state, together with a payment of a fee of $15 and 
        that service shall be considered sufficient service upon the 
        employer, and shall have the same force and validity as if 
        served upon the employer personally within this state.  The 
        commissioner shall send Notice of the service of process, 
        together with a copy of the process, shall be sent by certified 
        mail, to the employer at its person's last known address.  The 
        commissioner's An affidavit of compliance with the provisions of 
        this section subdivision, and a copy of the notice of service 
        shall be appended to the original of the process and filed in 
        the court.  
           (c) No court filing fees, docketing fees, or release of 
        judgment fees may be assessed against the state for actions 
        pursuant to this subdivision. 
           Subd. 6. 5.  [INJUNCTION FORBIDDEN.] No suit shall 
        lie injunction or other legal action to enjoin prevent the 
        assessment or collection of any tax or, payment in lieu of taxes 
        imposed by this chapter, or the, or benefit overpayment, 
        including interest and, penalties imposed thereby, and costs 
        shall be allowed.  
           Sec. 34.  Minnesota Statutes 1998, section 268.0625, is 
        amended to read: 
           268.0625 [REEMPLOYMENT INSURANCE TAX CLEARANCES; 
        ISSUANCES REVOCATIONS OF BUSINESS LICENSES.] 
           Subdivision 1.  [REEMPLOYMENT INSURANCE CLEARANCE 
        REQUIRED NOTICE OF DEBT TO LICENSING AUTHORITY.] The state of 
        Minnesota or a political subdivision of the state may not issue, 
        transfer, or renew, and must revoke a license for the conduct of 
        any profession, trade, or business, if the commissioner notifies 
        the licensing authority that the applicant licensee owes the 
        state delinquent taxes, payments in lieu of taxes, or benefit 
        overpayments.  The commissioner may not notify the licensing 
        authority unless the applicant owes, including interest, 
        penalties, and costs, of $500 or more to the reemployment 
        insurance fund.  A licensing authority that has received such a 
        notice from the commissioner may issue, transfer, renew, or not 
        revoke the applicant's license only if (a) the commissioner 
        issues a reemployment insurance tax clearance certificate; and 
        (b) the commissioner or the applicant forwards a copy of the 
        clearance to the licensing authority has received a copy of the 
        debt clearance certificate issued by the commissioner. 
           Subd. 2.  [ISSUANCE OF DEBT CLEARANCE CERTIFICATE.] The 
        commissioner may issue a reemployment insurance tax a debt 
        clearance certificate only if:  
           (a) (1) the applicant does not owe the state licensee has 
        fully paid any delinquent taxes, payments in lieu of taxes, or 
        benefit overpayments, including interest, penalties, and costs; 
        or 
           (b) (2) the applicant licensee has entered into a payment 
        an agreement to liquidate the delinquent taxes, payments in lieu 
        of taxes, or benefit overpayments pay the total amount due and 
        is current with all the terms of that payment agreement. 
           Subd. 3.  [DEFINITION.] For the purposes of this 
        section, "applicant" "licensee" means:  
           (a) (1) an individual if the license is issued to or in the 
        name of an individual, or the corporation, limited liability 
        company, or partnership if the license is issued to or in the 
        name of a corporation, limited liability company, or 
        partnership; or 
           (b) (2) an officer of a corporation, manager of a limited 
        liability company, or a member of a partnership, or an 
        individual who is liable for the delinquent taxes, payments in 
        lieu of taxes, or benefit overpayments, either for the 
        entity for which that the license is at issue or for another 
        entity for which that the liability was incurred, or personally 
        as a licensee.  In the case of a license transfer, "applicant" 
        means "Licensee" includes both the transferor and the transferee 
        of the license.  "Applicant" also means and any holder of a 
        license. 
           Subd. 3. 4.  [NOTICE AND RIGHT TO HEARING.] At least 
        30 calendar days before the commissioner notifies a licensing 
        authority pursuant to subdivision 1, a notice and demand for 
        payment of the amount due of action under this section shall be 
        given mailed to the applicant licensee.  If the 
        applicant licensee disputes the amount due action, 
        the applicant licensee must request a hearing in writing appeal 
        within 30 calendar days after the mailing of the notice and 
        demand for payment to the applicant's licensee's last known 
        address.  The only issue on any appeal is whether the 
        commissioner has complied with the requirements of this 
        section.  Proceedings on the appeal of the amount due shall be 
        conducted in accordance with section 268.105. 
           Subd. 4. 5.  [LICENSING AUTHORITY; DUTIES.] Upon request of 
        the commissioner, the licensing authority must shall provide the 
        commissioner with a list of all applicants licensees, including 
        the name, address, business name and address, social security 
        number, and business identification number of each applicant.  
        The commissioner may request from a licensing authority a list 
        of the applicants licensees no more than once each calendar year.
        Notwithstanding Regardless of section 268.19, the commissioner 
        may release information necessary to accomplish the purpose of 
        this section. 
           Subd. 5.  [OTHER REMEDIES.] Any action taken by the 
        commissioner pursuant to this section is not an election by the 
        commissioner to pursue a remedy to the exclusion of any other 
        remedy.  
           Sec. 35.  Minnesota Statutes 1998, section 268.064, is 
        amended to read: 
           268.064 [LIABILITY OF SUCCESSOR FOR DEBTS UPON 
        ACQUISITION.] 
           Subdivision 1.  [ACQUISITION OF ORGANIZATION, TRADE, OR 
        BUSINESS, OR ASSETS.] Any individual or organization, whether or 
        not an employer, which person who acquires all or part of the 
        organization, trade, or business or all or part of the assets 
        thereof from an employer, is jointly and severally liable, in an 
        amount not to exceed the reasonable value of that part of the 
        organization, trade, or business or assets acquired, for the 
        taxes due and unpaid by the employer, and.  The amount of 
        liability shall, in addition, be a lien against the property or 
        assets so acquired which and shall be prior to all other 
        unrecorded liens.  This subdivision section does not apply to 
        sales in the normal course of the employer's business. 
           Subd. 2.  [REASONABLE VALUE.] The commissioner, upon the 
        commissioner's own motion or upon application of the potential 
        successor acquiring person, shall determine the reasonable value 
        of the organization, trade, or business or assets acquired by 
        the successor based on available information.  The determination 
        shall be final unless the successor acquiring person, within 30 
        calendar days after the sending of being sent the determination 
        to the successor by mail or electronic transmission, files an 
        appeal.  Proceedings on the appeal shall be conducted in 
        accordance with section 268.105. 
           Subd. 3.  [STATEMENT OF AMOUNT DUE.] Prior to the date of 
        acquisition, the commissioner shall furnish the potential 
        successor acquiring person with a written statement of the 
        predecessor's taxes due and unpaid, on record as of the date of 
        issuance, only upon the written request of the 
        potential successor acquiring person and the written release of 
        the predecessor obligor.  No release is required after the date 
        of acquisition. 
           Subd. 4.  [ADDITIONAL REMEDY.] The remedy provided by this 
        section is in addition to all other existing remedies against 
        the employer or a successor and is not an election by the 
        department to pursue this remedy to the exclusion of any other 
        remedy. 
           Sec. 36.  Minnesota Statutes 1998, section 268.065, is 
        amended to read: 
           268.065 [LIABILITY OF THIRD PARTIES TO ASSURE PAYMENT OF 
        AMOUNTS DUE FROM CONTRACTORS, SUBCONTRACTORS, AND EMPLOYEE 
        LEASING FIRMS.] 
           Subdivision 1.  [CONTRACTORS SUBCONTRACTORS.] A contractor, 
        who is or becomes an employer under this chapter, who contracts 
        with any subcontractor, who is or becomes an employer under this 
        chapter, shall guarantee the payment of all the taxes, interest, 
        penalties, and collection costs which that are due or become due 
        from the subcontractor with respect to taxable wages paid for 
        employment on the contract by: 
           (a) (1) withholding sufficient money on the contract; or 
           (b) (2) requiring the subcontractor to provide a good and 
        sufficient bond guaranteeing the payment of all taxes, interest, 
        penalties, and collection costs which that may become due.  
           The contractor may make a written request for verification 
        that the subcontractor has paid the taxes due 60 calendar days 
        after the due date for filing the tax report that includes the 
        final wages paid for services employment performed under the 
        contract.  If department records show that the subcontractor has 
        paid the taxes for the period covered by the contract, 
        the department commissioner may release the contractor from its 
        liability under this subdivision. 
           The words "contractor" and "subcontractor" include 
        individuals, partnerships, firms, or corporations, or other 
        association of persons engaged in the construction industry. 
           Subd. 2.  [EMPLOYEE LEASING FIRMS.] A person whose work 
        force consists of 50 percent or more of workers provided by 
        employee leasing firms, is directly jointly and severally liable 
        for the payment of all the unpaid taxes, penalties, interest, 
        and collection costs which that are due or become due from on 
        the wages paid for employment on the contract, unless the 
        contract requires with the employee leasing firm to provide a 
        good and sufficient bond guaranteeing the payment of all taxes, 
        penalties, interest, and collection costs which may become due.  
        "Employee leasing firm" means an employer that provides its 
        employees to other firms, persons, and employers without 
        severing its employer-employee relationship with the worker for 
        the services performed for the lessee. 
           Subd. 3.  [DETERMINATION OF LIABILITY.] An official 
        designated by The commissioner shall make an initial a 
        determination as to the liability under this section.  The 
        determination shall be final unless the contractor or person 
        found to be liable files a written an appeal within 30 calendar 
        days after mailing of notice of being sent the determination to 
        the person's last known address by mail or electronic 
        transmission.  Proceedings on the appeal shall be conducted in 
        accordance with section 268.105. 
           Sec. 37.  Minnesota Statutes 1998, section 268.067, is 
        amended to read: 
           268.067 [COMPROMISE AGREEMENTS.] 
           (a) The commissioner may compromise in whole or in part any 
        action, determination, or decision that affects only an employer 
        and not a claimant, and that has become final occurred during 
        the prior 24 months. 
           (b) The commissioner may at any time compromise delinquent 
        employer taxes, payments in lieu of taxes, interest, penalties, 
        and costs. 
           (c) Any compromise under paragraphs (a) and (b) shall be by 
        written agreement order signed by the employer and the 
        commissioner. 
           The commissioner shall enter into a compromise agreement 
        only if it is in the best interest of the state of Minnesota.  
        The agreement must set forth the reason and all the terms.  The 
        agreement must be approved by an attorney who is a regularly 
        salaried classified employee of the department and who has been 
        designated by the commissioner for that purpose. 
           (d) Any compromise order must set out all the terms and the 
        reason for the order and must be in the best interest of the 
        state of Minnesota. 
           Sec. 38.  [268.0675] [NO ELECTION OF REMEDY.] 
           Use of any remedy under this chapter for the collection of 
        any delinquent taxes, payments in lieu of taxes, or benefit 
        overpayment, including penalties, interest, and costs, shall not 
        constitute an election of remedy to the exclusion of any other 
        available remedy. 
           Sec. 39.  Minnesota Statutes 1998, section 268.068, is 
        amended to read: 
           268.068 [NOTICE TO WORKERS.] 
           Each employer shall post and maintain printed statements of 
        an individual's right to apply for reemployment insurance 
        benefits in places readily accessible to individuals workers in 
        the employer's service.  Such The printed statements must shall 
        be supplied by the commissioner at no cost to an employer. 
           Sec. 40.  Minnesota Statutes 1998, section 268.069, is 
        amended to read: 
           268.069 [PAYMENT OF BENEFITS.] 
           Subdivision 1.  [REQUIREMENTS.] (a) The commissioner shall 
        pay reemployment insurance benefits from the Minnesota 
        reemployment insurance fund to a claimant who has met each of 
        the following requirements: 
           (1) the claimant has filed an application for benefits and 
        established a reemployment insurance benefit account in 
        accordance with section 268.07; 
           (2) the claimant is not subject to a disqualification from 
        benefits under section 268.095; 
           (3) the claimant has met all of the ongoing weekly 
        eligibility requirements under section 268.08 sections 268.085 
        and 268.086; and 
           (4) the claimant does not have an outstanding overpayment 
        of benefits, including any penalties or interest, under section 
        268.18; and 
           (5) the claimant is not subject to a denial of benefits 
        under section 268.182. 
           Subd. 2.  [BENEFITS PAID FROM STATE FUNDS.] (b) Benefits 
        are paid from state funds and shall not be considered paid from 
        any special insurance plan, nor as paid by an employer.  An 
        application for benefits shall not be considered a claim against 
        an employer but shall be considered a request for benefits from 
        the fund.  The commissioner shall determine has the 
        responsibility for the proper payment of benefits regardless of 
        the level of interest or participation by a claimant or an 
        employer in any determination or appeal.  A claimant's 
        entitlement to benefits shall be determined based upon that 
        information available without regard to any common law burden of 
        proof, and any agreement between a claimant and an employer 
        shall not be binding on the commissioner in determining a 
        claimant's entitlement.  Any obligation on an employer as a 
        result of benefits charged to the employer is to the fund only.  
        There shall be no presumption of entitlement or nonentitlement 
        to benefits. 
           Subd. 3.  [COMMON LAW.] There shall be no equitable or 
        common law denial or allowance of benefits.  
           Sec. 41.  Minnesota Statutes 1998, section 268.07, is 
        amended to read: 
           268.07 [REEMPLOYMENT INSURANCE BENEFIT ACCOUNT.] 
           Subdivision 1.  [APPLICATION FOR BENEFITS; DETERMINATION OF 
        BENEFIT ACCOUNT.] (a) An application for reemployment insurance 
        benefits may be made filed in person, by mail, by telephone, or 
        by electronic transmission as the commissioner shall 
        require.  The commissioner may by rule adopt other requirements 
        for an application.  The claimant must provide all requested 
        information in the manner required.  If the claimant fails to 
        provide all requested information, the communication shall not 
        be considered an application for benefits. 
           (b) The commissioner shall promptly examine each 
        application for benefits to determine the base period, the 
        benefit year, the weekly benefit amount payable available, if 
        any, and the maximum amount of benefits payable available, if 
        any.  The determination shall be known as the determination 
        of reemployment insurance benefit account.  A determination 
        of reemployment insurance benefit account must shall 
        be promptly sent to the claimant and all base period employers, 
        by mail or electronic transmission. 
           (c) If a base period employer failed to did not provide 
        wage information for the claimant as required provided for in 
        section 268.044, the commissioner shall accept a claimant 
        certification as to wage credits, based upon the claimant's 
        records, and issue a determination of reemployment insurance 
        benefit account. 
           (d)(1) The commissioner may, at any time within 24 months 
        from the establishment of a reemployment insurance benefit 
        account, reconsider any determination of reemployment 
        insurance benefit account and make a redetermination if the 
        commissioner finds that the determination was incorrect for any 
        reason.  A redetermination of reemployment insurance account 
        shall be promptly sent to the claimant and all base period 
        employers, by mail or electronic transmission. 
           (2) If a redetermination of reemployment insurance benefit 
        account reduces the weekly benefit amount or maximum amount of 
        benefits payable available, any benefits that have been paid 
        greater than the claimant was redetermined entitled is 
        considered an overpayment subject to of benefits under section 
        268.18, subdivision 1. 
           Subd. 2.  [BENEFIT ACCOUNT REQUIREMENTS AND WEEKLY BENEFIT 
        AMOUNT AND MAXIMUM AMOUNT OF BENEFITS.] (a) To establish 
        a reemployment insurance benefit account, a claimant must have: 
           (1) wage credits in two or more calendar quarters of the 
        claimant's base period; 
           (2) minimum total wage credits equal to or greater than the 
        high quarter wage credits multiplied by 1.25; 
           (3) high quarter wage credits of not less than at 
        least $1,000; and 
           (2) wage credits, in other than the high quarter, of at 
        least $250.  
           (b) If the commissioner finds that a claimant has 
        established a reemployment insurance benefit account, the weekly 
        benefit amount payable available during the claimant's benefit 
        year shall be the higher of: 
           (1) 50 percent of the claimant's average weekly wage during 
        the claimant's base period, to a maximum of 66-2/3 percent of 
        the state's average weekly wage; or 
           (2) 50 percent of the claimant's average weekly wage during 
        the high quarter, to a maximum of the higher of $331 or 50 
        percent of the state's average weekly wage. 
           The claimant's average weekly wage under clause (1) shall 
        be computed by dividing the claimant's total wage credits by 
        52.  The claimant's average weekly wage under clause (2) shall 
        be computed by dividing the claimant's high quarter wage credits 
        by 13.  
           (c) The state's maximum weekly benefit amount and the 
        claimant's weekly benefit amount and maximum amount of benefits 
        shall be computed to rounded down to the nearest next lowest 
        whole dollar.  
           (d) The maximum amount of benefits payable available on any 
        reemployment insurance benefit account shall equal one-third be 
        33-1/3 percent of the claimant's total wage credits rounded to 
        the next lower dollar, not to exceed to a maximum of 26 times 
        the claimant's weekly benefit amount.  
           Subd. 3.  [SECOND BENEFIT ACCOUNT REQUIREMENTS.] To 
        establish a second reemployment insurance benefit account 
        following the expiration of a benefit year on a 
        prior reemployment insurance benefit account, a claimant must 
        have sufficient wage credits to establish a reemployment 
        insurance benefit account under subdivision 2 and must have 
        performed services in covered employment after the effective 
        date of the prior reemployment insurance benefit account.  The 
        wages paid for that employment must equal not less than eight 
        times the weekly benefit amount of the prior reemployment 
        insurance benefit account.  A reemployment insurance benefit 
        account established sufficiently in advance of 
        anticipated unemployment loss of employment to make the 
        limitations of this subdivision ineffective shall not be 
        allowed.  The purpose of this subdivision is to prevent a 
        claimant from establishing more than one reemployment insurance 
        benefit account as a result of one separation from loss of 
        employment. 
           Subd. 3a.  [RIGHT OF APPEAL.] (a) A determination or 
        redetermination of a reemployment insurance benefit account 
        shall be final unless a claimant or base period employer within 
        30 calendar days after the sending of the determination or 
        redetermination files an appeal.  Every determination or 
        redetermination of a reemployment insurance benefit account 
        shall contain a prominent statement indicating in clear language 
        the method of appealing, the time within which the appeal must 
        be made, and the consequences of not appealing.  Proceedings on 
        the appeal shall be conducted in accordance with section 268.105.
           (b) Any claimant or base period employer may appeal from a 
        determination or redetermination of a reemployment insurance 
        benefit account on the issue of whether services performed 
        constitute employment and covered employment.  Proceedings on 
        the appeal shall be conducted in accordance with section 268.105.
           Subd. 3b.  [LIMITATIONS.] (a) A reemployment insurance 
        benefit account shall be established effective the Sunday of the 
        calendar week that the application for reemployment insurance 
        benefits was made filed.  If an individual attempted to make 
        file an application for a reemployment insurance 
        account benefits, but was prevented from making filing an 
        application by the department, the reemployment insurance 
        benefit account shall be established effective the Sunday of the 
        calendar week the individual first attempted to make file an 
        application. 
           (b) A reemployment insurance benefit account, once 
        established, may later be withdrawn and only if: 
           (1) a new application for benefits is filed and a new 
        benefit account is established only if at the time of the 
        withdrawal; and 
           (2) the claimant has not been credited with served a 
        waiting week under section 268.085, subdivision 1, clause (3).  
           A determination or amended determination pursuant to 
        section 268.101, that was issued before the withdrawal of 
        the reemployment insurance benefit account, shall remain in 
        effect and shall not be voided by the withdrawal of 
        the reemployment insurance benefit account.  A determination of 
        disqualification requiring subsequent earnings to satisfy the 
        disqualification under section 268.095, subdivision 10, shall 
        apply to the weekly benefit amount on the new benefit account. 
           (c) A reemployment insurance account shall not be 
        established An application for benefits shall not be allowed 
        prior to the Sunday following the expiration of the benefit year 
        on a prior reemployment insurance benefit account.  Except as 
        allowed under paragraph (b), a claimant may establish only one 
        benefit account each 52 calendar weeks. 
           (d) All benefits shall be payable available from the fund 
        only for weeks occurring during the claimant's benefit year. 
           Sec. 42.  Minnesota Statutes 1998, section 268.085, is 
        amended to read: 
           268.085 [ELIGIBILITY REQUIREMENTS.] 
           Subdivision 1.  [ELIGIBILITY CONDITIONS.] A claimant shall 
        be eligible to receive benefits for any week in the claimant's 
        benefit year only if: 
           (1) the claimant has made an active benefit account and has 
        filed a continued claim request for benefits in person, by mail, 
        by telephone, or by electronic transmission as the commissioner 
        shall require.  The commissioner may by rule adopt other 
        requirements for a continued claim for that week pursuant to 
        section 268.086; 
           (2) the claimant was able to work and was available for 
        employment, and was actively seeking suitable employment.  The 
        claimant's weekly benefit amount shall be reduced one-fifth for 
        each day the claimant is unable to work or is unavailable for 
        employment. 
           Benefits shall not be denied by application of This clause 
        shall not apply to a claimant who is in reemployment assistance 
        training with the approval of the commissioner. 
           A The requirement that the claimant serving as a juror 
        shall be considered as available for employment and actively 
        seeking suitable employment on shall not apply each day the 
        claimant is on jury duty; 
           (3) the claimant has served a waiting period of one week 
        that the claimant is otherwise entitled to some amount of 
        benefits.  This clause shall not apply if the claimant would 
        have been entitled to federal disaster unemployment assistance 
        because of a disaster in Minnesota, but for the claimant's 
        establishment of a reemployment insurance benefit account under 
        section 268.07; and 
           (4) the claimant has been participating in reemployment 
        assistance services, such as job search assistance services and 
        resume writing classes, if the claimant has been 
        determined likely to exhaust benefits and in need of 
        reemployment assistance services pursuant to a profiling system 
        established by the commissioner, unless there is justifiable 
        good cause for the claimant's failure to participate. 
           Subd. 2.  [NOT ELIGIBLE.] A claimant shall not be eligible 
        to receive benefits for any week: 
           (1) that occurs before the establishment effective date of 
        a reemployment insurance benefit account; 
           (2) that occurs in a period when the claimant is a student 
        in attendance at, or on vacation from a secondary 
        school including the period between academic years or terms; 
           (3) that the claimant is incarcerated or performing court 
        ordered community service.  The claimant's weekly benefit amount 
        shall be reduced by one-fifth for each day the claimant is 
        incarcerated or performing court ordered community service; 
           (4) that the claimant is on a voluntary leave of absence, 
        including a requested period of paid or unpaid vacation.  A 
        leave of absence is voluntary when work, that the claimant can 
        perform, is available with the claimant's employer, but the 
        claimant chooses not to work.  A claimant unemployed who is not 
        working as a result of a vacation period assigned by an employer 
        under:  (i) a uniform vacation shutdown, (ii) a collective 
        bargaining agreement, or (iii) an established employer policy, 
        shall not be considered on a voluntary leave of 
        absence ineligible under this clause; 
           (5) that the claimant is performing services 32 hours or 
        more, in employment, covered employment, noncovered employment, 
        or self-employment, or volunteer work regardless of the amount 
        of any earnings; or 
           (6) with respect to which the claimant is receiving, has 
        received, or has filed a claim an application for reemployment 
        insurance benefits under any federal law or the law of any other 
        state, or the federal government, but not including any federal 
        or state benefits that are merely supplementary to those 
        provided for under this chapter; provided that.  If the 
        appropriate agency finally determines that the claimant is not 
        entitled to the benefits, this clause shall not apply. 
           Subd. 3.  [DEDUCTIBLE PAYMENTS.] (a) A claimant shall not 
        be eligible to receive benefits for any week with respect to 
        which the claimant is receiving, has received, or has filed a 
        claim for payment in an amount equal to or in excess of the 
        claimant's weekly benefit amount in the form of: 
           (1) termination, a severance, or dismissal payment or wages 
        in lieu of notice whether legally required or not.  This clause 
        shall apply to the first four weeks of payment and to one-half 
        of the total number of any additional weeks of payment.  This 
        clause shall be applied to the period immediately following the 
        last day of employment.  The number of weeks of payment shall be 
        determined as follows: 
           (i) if the payments are made periodically, the total of the 
        payments to be received shall be divided by the claimant's last 
        level of regular weekly pay from the employer; or 
           (ii) if the payment is made in a lump sum, that sum shall 
        be divided by the claimant's last level of regular weekly pay 
        from the employer; 
           (2) vacation allowance pay, paid directly by the an 
        employer for a period of requested vacation, including vacation 
        periods assigned by the employer under:  (i) a collective 
        bargaining agreement, (ii) established employer policy, or (iii) 
        uniform vacation shutdown; or 
           (3) compensation for loss of wages under the workers' 
        compensation law of this state or any other state or under a 
        similar law of the United States, or compensation for loss of 
        wages under any other insurance or fund established and paid for 
        in whole or in part by the an employer; or 
           (4) pension, retirement, or annuity payments from any plan 
        contributed to by a base period employer including the United 
        States government, except social security benefits as which are 
        provided for in subdivision 4.  The base period employer 
        contributed to the plan if the contribution is excluded from the 
        definition of wages under section 268.035, subdivision 29, 
        clause (1), or United States Code, title 26, section 3121, 
        clause (2), of the Federal Insurance Contribution Act. 
           If the claimant receives a lump sum pension payment, that 
        sum shall be divided by the claimant's last level of regular 
        weekly pay to determine the number of weeks of payment.  The 
        number of weeks of payment shall be applied to the period 
        immediately following the last day of employment.  A claimant 
        shall not be considered to have received the lump sum payment if 
        the claimant immediately deposits that payment in a qualified 
        pension plan or account; or 
           (5) holiday pay or sick pay, paid directly by an employer. 
           (b) If the deductible payment under this subdivision is 
        less than the claimant's weekly benefit amount, the claimant 
        shall be entitled to receive for that week, if otherwise 
        eligible, benefits shall be reduced by the amount of the payment 
        ; provided, further, that.  If the computation of reduced 
        benefits is not a whole dollar, it shall be rounded down to the 
        next lowest dollar. 
           (c) If the appropriate agency of this state or any other 
        state or the federal government finally determines that the 
        claimant is not entitled to payments, this subdivision shall not 
        apply.  If the computation of reduced benefits is not a whole 
        dollar, it shall be rounded down to the next lower dollar. 
           Subd. 4.  [SOCIAL SECURITY BENEFITS.] (a) Any claimant aged 
        62 or over shall be required to state at the time of making when 
        filing an application for a reemployment insurance account 
        benefits and when making filing continued claims requests for 
        benefits whether the claimant is receiving, has filed for, or 
        intends to file for, primary social security old age or 
        disability benefits for any week during the benefit year, and if 
        so. 
           (b) There shall be deducted from the a claimant's weekly 
        benefit amount otherwise payable for that week, 50 percent of 
        the weekly equivalent of the primary social security old age 
        benefit the claimant has received, has filed for, or intends to 
        file for, with respect to that week. 
           (b) In addition to paragraph (a), (c) a claimant shall be 
        ineligible for benefits for any week with respect to which the 
        claimant is receiving, has received, or has filed a claim for 
        primary social security disability benefits, unless the social 
        security administration has approved the payment of disability 
        benefits while the claimant was employed. 
           (d) Information from the Social Security Administration 
        shall be considered conclusive, absent specific evidence showing 
        that the information was erroneous. 
           (c) (e) Any claimant who receives primary social security 
        old age or disability benefits, that would cause the claimant to 
        be ineligible under this subdivision, for weeks periods that the 
        claimant received has been paid reemployment insurance benefits 
        shall be considered overpaid those reemployment insurance 
        benefits under section 268.18, subdivision 1. 
           Subd. 5.  [DEDUCTIBLE EARNINGS.] (a) If the claimant has 
        earnings, including holiday pay, with respect to any week, from 
        employment, covered employment, noncovered employment, 
        self-employment, or volunteer work, equal to or in excess of the 
        claimant's weekly benefit amount, the claimant shall be 
        ineligible for benefits for that week. 
           (b) If the claimant has earnings, including holiday pay, 
        with respect to any week, that is less than the claimant's 
        weekly benefit amount, from employment, covered employment, 
        noncovered employment, self-employment, or volunteer work, that 
        is less than the claimant's weekly benefit amount, that amount 
        over the following shall be deducted from the claimant's weekly 
        benefit amount: 
           (1) that amount in excess of $50 if the claimant's earnings 
        were $200 or less, and that amount in excess of 25 percent of 
        the claimant's earnings if those earnings were more than $200 or 
        $50, whichever is higher; and 
           (2) that amount in excess of $200 for earnings from service 
        in the National Guard or a United States military reserve unit. 
           The resulting benefit, if not a whole dollar, shall be 
        rounded to the next lower dollar. 
           (c) No deduction shall be made from a claimant's weekly 
        benefit amount for earnings from service as a volunteer 
        firefighter or volunteer ambulance service personnel.  No 
        deduction shall be made for jury duty pay.  
           (d) The claimant may report deductible earnings on 
        continued claims requests for benefits at the nearest whole 
        dollar amount. 
           (e) Earnings shall not include any money considered a 
        deductible payment under subdivision 3, but shall include all 
        other money considered wages and any other money considered 
        earned income under state and federal law for income tax 
        purposes. 
           Subd. 6.  [RECEIPT OF BACK PAY.] (a) Back pay received by a 
        claimant with respect to any weeks week occurring in the 104 
        weeks prior to the payment of the back pay shall be deducted 
        from benefits paid for those weeks that week. 
           The amount deducted shall not reduce the benefits that the 
        claimant is otherwise eligible for that week below zero.  If the 
        amount of benefits after the deduction of back pay is not a 
        whole dollar amount, it shall be rounded to the next lower 
        dollar.  
           If an arbitration award, administrative or judicial 
        decision, or negotiated settlement that provides for back pay 
        does not specify the period with respect to which it is paid, 
        the back pay shall be applied to the period immediately 
        following the last day of employment. 
           (b) If the back pay awarded the claimant is reduced by the 
        amount of benefits that have been paid, the amounts amount of 
        back pay withheld shall be: 
           (a) (1) paid by the employer into to the fund within 30 
        calendar days of the award and are subject to the same 
        collection procedures that apply to past due taxes under this 
        chapter; 
           (b) (2) applied to benefit overpayments resulting from the 
        payment of the back pay; and 
           (c) (3) credited to the claimant's maximum amount of 
        benefits payable available to the claimant in a benefit year 
        that includes the weeks for which back pay was deducted. 
           Benefit (c) Charges for those weeks to the employer's tax 
        or reimbursable account under section 268.047 for benefits paid 
        the claimant shall be removed from the employer's account as of 
        in the calendar quarter that the fund receives payment.  
           (d) Payments to the fund under this subdivision shall be 
        considered as made by the claimant.  
           Subd. 7.  [SCHOOL EMPLOYEES.] (a) No wage credits in any 
        amount from any employment with any educational institution or 
        institutions earned while in an instructional, research, or 
        principal administrative any capacity may be used for benefit 
        purposes for any week beginning during a the period between two 
        successive academic years or terms, or during a period between 
        two regular but not successive terms, if: 
           (1) the claimant had employment in any instructional, 
        research, or principal administrative capacity for any 
        educational institution or institutions in the first of the 
        prior academic years year or terms term; and 
           (2) there is a contract or a reasonable assurance that the 
        claimant will have employment in any instructional, research, or 
        principal administrative capacity for any educational 
        institution or institutions in the second of the following 
        academic years year or terms term, that is not substantially 
        similar to less favorable than the employment of the first prior 
        academic years year or terms; term.  
           (b) With respect to employment in any capacity other than 
        those described in paragraph (a), including educational 
        assistants, benefits shall not be paid based upon wage credits 
        from any educational institution or institutions for any week 
        beginning during a period between two successive academic years 
        or terms if the claimant was employed in the first academic year 
        or term by any educational institution or institutions and there 
        is reasonable assurance that the claimant will be employed under 
        similar terms and conditions by any educational institution or 
        institutions in the second academic year or term. 
           (b) Paragraph (a) shall not apply to a claimant who has, at 
        the end of the prior academic year or term, had an agreement for 
        a definite period of employment between academic years or 
        terms shall be eligible for any weeks within that period in 
        other than an instructional, research, or principal 
        administrative capacity and the educational institution or 
        institutions fail failed to provide that employment.  
           (c) If benefits are denied to any claimant under this 
        paragraph (a) who was employed in the prior academic year or 
        term in other than an instructional, research, or principal 
        administrative capacity and the claimant who was not offered an 
        opportunity to perform the employment in the second of the 
        following academic years year or term, the claimant shall be 
        entitled to retroactive benefits for each week during the period 
        between academic years or terms that the claimant filed a timely 
        continued claim request for benefits, but benefits were denied 
        solely because of this paragraph; (a).  
           (c) With respect to employment described in 
           (d) An educational assistant shall not be considered to be 
        in an instructional, research, or principal administrative 
        capacity. 
           (e) Paragraph (a) or (b), benefits based upon wage credits 
        from any educational institution or institutions shall not be 
        paid for any week beginning during an established and 
        customary apply to any vacation period or holiday recess if the 
        claimant was employed in the period immediately before the 
        vacation period or holiday recess, and there is a reasonable 
        assurance that the claimant will be employed in the period 
        immediately following the vacation period or holiday recess;.  
           (d) Paragraphs (a), (b), and (c) (f) This subdivision shall 
        apply to employment with an educational service agency if the 
        claimant performed the services at an educational institution or 
        institutions.  For purposes of this paragraph, "Educational 
        service agency" means a governmental agency or entity 
        established and operated exclusively for the purpose of 
        providing services to one or more educational institutions; 
           (e) Paragraphs (a) to (d).  This subdivision shall also 
        apply to employment with Minnesota or a political subdivision, 
        or a nonprofit organization, if the services are provided to or 
        on behalf of an educational institution or institutions. 
           (f) (g) Paragraphs (a), (b), and (c) (e) shall apply 
        beginning the Sunday of the week that there is a contract or 
        reasonable assurance of employment. 
           (g) (h) Employment with multiple education institutions 
        shall be aggregated for purposes of application of this 
        subdivision. 
           (h) (i) If all of the claimant's employment with any 
        educational institution or institutions during the prior 
        academic year or term consisted of on-call employment, and the 
        claimant has a reasonable assurance of any on-call employment 
        with any educational institution or institutions for the 
        following academic year or term, it shall not be considered 
        substantially less favorable employment. 
           (j) Paragraph (a) shall also apply to the period between 
        two regular but not successive terms. 
           (k) A "reasonable assurance" may be written, oral, implied, 
        or established by custom or practice. 
           (l) An "educational institution" is an educational entity 
        operated by Minnesota or a political subdivision or an 
        instrumentality thereof, or an educational organization 
        described in United States Code, title 26, section 501(c)(3) of 
        the federal Internal Revenue Code, and exempt from income tax 
        under section 501(a).  
           Subd. 8.  [SERVICES FOR SCHOOL CONTRACTORS.] Wage credits 
        from an employer are subject to subdivision 7, paragraphs (b) 
        and (c), if:  
           (1) the employment was provided pursuant to a contract 
        between the employer and an educational institution elementary 
        or secondary school; and 
           (2) the contract was for services that the educational 
        institution elementary or secondary school could have had 
        performed by its employees; and 
           (3) the claimant was notified in writing of the provisions 
        of this subdivision prior to or at the time of beginning the 
        employment.  
           Subd. 9.  [BUSINESS OWNERS.] Wage credits from an employer 
        may not be used for benefit purposes by any claimant who:  
           (1) individually, jointly, or in combination with the 
        claimant's spouse, parent, or child owns or controls directly or 
        indirectly 25 percent or more interest in the employer, or is 
        the spouse, parent, or minor child of any individual who owns or 
        controls directly or indirectly 25 percent or more interest in 
        the employer; and 
           (2) is not permanently separated from employment. 
           This subdivision is effective when the claimant has been 
        paid four times the claimant's weekly benefit amount in the 
        current benefit year. 
           Subd. 10.  [SEASONAL RECREATIONAL OR TOURIST INDUSTRY 
        EMPLOYMENT.] (a) If a claimant has wage credits from seasonal 
        recreational or tourist industry employment, benefits shall 
        be payable available only if the claimant can establish 
        a reemployment insurance benefit account under section 268.07, 
        subdivision 2, excluding the wage credits from seasonal 
        recreational or tourist industry employment.  For purposes of 
        This subdivision, "seasonal employment" means applies only to 
        employment with a single employer in the recreation or tourist 
        industry that is available with the employer for 15 consecutive 
        weeks or less each calendar year. 
           (b) Wage credits from seasonal recreational or tourist 
        industry employment may not be used for benefit purposes during 
        weeks outside the normal employment season. 
           Subd. 11.  [PROFESSIONAL ATHLETES AND COACHES.] Benefits 
        shall not be paid to a claimant on the basis of any wage credits 
        from employment that substantially consists of coaching or 
        participating in sports or athletic events or training or 
        preparing to participate for any week that begins during the 
        period between two successive sport seasons, (or similar periods 
        ), if: 
           (1) the claimant was so employed in the first prior season 
        (or similar period), and 
           (2) there is a reasonable assurance that the claimant will 
        be so employed in the following season (or similar 
        periods) period. 
           Subd. 12.  [ALIENS.] (a) An alien shall be ineligible for 
        benefits for any week the alien is not authorized to work in the 
        United States under federal law.  Information from the 
        Immigration and Naturalization Service shall be considered 
        conclusive, absent specific evidence that the information was 
        erroneous. 
           (b) Benefits shall not be paid on the basis of wage credits 
        earned by an alien unless the alien (1) was lawfully admitted 
        for permanent residence at the time of the employment, (2) was 
        lawfully present for the purposes of the employment, or (3) was 
        permanently residing in the United States under color of law at 
        the time of the employment including section 212(d)(5) of the 
        Immigration and Nationality Act. 
           (c) Any data or information required of claimants applying 
        for benefits to determine eligibility because of their alien 
        status shall be uniformly required from all claimants. 
           Subd. 13.  [SUSPENSION FROM EMPLOYMENT.] (a) A claimant who 
        has been suspended from employment without pay for 30 calendar 
        days or less, as a result of employment misconduct as defined 
        under section 268.095, subdivision 6, shall be ineligible for 
        benefits beginning the Sunday of the week that the claimant was 
        suspended and continuing for the duration of the suspension. 
           (b) A suspension from employment without pay for more than 
        30 calendar days shall be considered a discharge from employment 
        under section 268.095, subdivision 5. 
           (c) A suspension from employment with pay, regardless of 
        duration, shall not be considered a separation from employment 
        and the claimant shall be ineligible for benefits for the 
        duration of the suspension with pay. 
           Subd. 14.  [ABLE TO WORK DEFINED.] "Able to work" means a 
        claimant has the physical and mental ability to perform the 
        usual duties of the claimant's customary occupation or the usual 
        duties of other suitable employment. 
           Subd. 15.  [AVAILABLE FOR EMPLOYMENT DEFINED.] (a) 
        "Available for employment" means a claimant is ready and willing 
        to accept employment in the labor market area.  The attachment 
        to the work force must be genuine.  There must be no 
        restrictions, either self-imposed or created by circumstances, 
        temporary or permanent, that prevent accepting employment. 
           (b) To be considered "available for employment," a student 
        must be willing to quit school to accept employment that would 
        conflict with school attendance. 
           (c) A claimant who is absent from the labor market area for 
        personal reasons, other than to search for work, is not 
        "available for employment." 
           (d) A claimant who has restrictions on the hours of the day 
        or days of the week that the claimant can or will work, that are 
        not normal for the claimant's usual occupation or other 
        employment, is not "available for employment."  A claimant whose 
        usual occupation is normally performed during the daytime must 
        be available for daytime work even though the claimant 
        customarily worked the night shift. 
           (e) A claimant must have transportation throughout the 
        labor market area to be considered "available for employment." 
           Subd. 16.  [ACTIVELY SEEKING SUITABLE EMPLOYMENT DEFINED.] 
        (a) "Actively seeking suitable employment" means those 
        reasonable, diligent efforts an individual in similar 
        circumstances would make if genuinely interested in obtaining 
        suitable employment under the existing conditions in the labor 
        market area.  Limiting the search to positions that are not 
        available or are above the claimant's training, experience, and 
        qualifications is not "actively seeking suitable employment." 
           (b) To be considered "actively seeking suitable employment" 
        a claimant shall, when reasonable, contact those employers from 
        whom the claimant was laid off due to lack of work and request 
        suitable employment. 
           (c) If reasonable prospects of suitable employment in the 
        claimant's usual or customary occupation do not exist, the 
        claimant must actively seek other suitable employment to be 
        considered "actively seeking suitable employment."  This applies 
        to a claimant who is seasonally unemployed.  
           (d) A claimant who is seeking employment only through a 
        union is not actively seeking suitable employment unless the 
        claimant is in an occupation where it is required by union rule 
        that all the hiring in that locality is done through the union.  
        The claimant must be a union member in good standing, registered 
        with the union for employment, and in compliance with other 
        union rules to be considered "actively seeking suitable 
        employment." 
           Sec. 43.  [268.086] [CONTINUED REQUEST FOR BENEFITS ON AN 
        ACTIVE BENEFIT ACCOUNT.] 
           Subdivision 1.  [ACTIVE BENEFIT ACCOUNT.] (a) A benefit 
        account shall be considered active only when a claimant files 
        continued requests for benefits in the manner and within the 
        time periods prescribed.  A benefit account shall be considered 
        inactive if a claimant stops filing a continued request or fails 
        to file a continued request within the time period required.  
        The benefit account shall be considered inactive as of the 
        Sunday following the last week or biweekly period for which a 
        continued request has been timely filed. 
           (b) A benefit account that is inactive shall be reactivated 
        the Sunday of the week that the claimant makes a contact with 
        the department to do so, in the manner prescribed by the 
        commissioner for reactivating that claimant's benefit account. 
           Subd. 2.  [CONTINUED REQUEST FOR BENEFITS DEFINED.] A 
        continued request for benefits is a certification by a claimant, 
        done on a weekly or biweekly basis as prescribed by the 
        commissioner, on the claimant's eligibility for benefits under 
        section 268.085 for a specific week or two-week period.  A 
        continued request shall include information on possible issues 
        of disqualification in accordance with section 268.101, 
        subdivision 1, paragraph (c). 
           Subd. 3.  [METHODS FOR FILING CONTINUED REQUESTS FOR 
        BENEFITS.] (a) The commissioner shall designate to each claimant 
        one of the following methods for filing a continued request: 
           (1) by telephone under subdivision 4; 
           (2) by electronic transmission under subdivision 5; 
           (3) by mail under subdivision 6; or 
           (4) by in-person interview under subdivision 7. 
           (b) The method designated by the commissioner shall be the 
        only method allowed for filing a continued request by that 
        claimant.  A claimant may ask that one of the other allowed 
        methods be designated and the commissioner shall consider 
        inconvenience to the claimant as well as administrative capacity 
        in determining whether to allow a claimant to change the 
        designated method for filing a continued request for benefits. 
           Subd. 4.  [CONTINUED REQUEST FOR BENEFITS BY 
        TELEPHONE.] (a) A continued request by telephone shall be made 
        to a telephone number required by the commissioner for that 
        claimant.  In order to constitute a continued request, all 
        information asked for, including information authenticating that 
        the caller is the claimant, must be provided.  If all of the 
        information asked for is not provided, the communication shall 
        not constitute a continued request for benefits. 
           The telephone communication must be made on the date 
        required for the claimant for filing a continued request for 
        benefits by telephone. 
           (b) If the telephone continued request for benefits is not 
        filed on the date required, a continued request by telephone 
        shall be accepted if the claimant files the continued request by 
        telephone within 14 days following the week in which the date 
        required occurred.  If the continued request by telephone is not 
        filed within 14 days following the week in which the date 
        required occurred, the telephone continued request shall not be 
        accepted and the claimant shall be ineligible for benefits for 
        the period covered by the continued request and the benefit 
        account shall be considered inactive, unless the claimant shows 
        good cause for failing to file the continued request by 
        telephone within the time period requested. 
           Subd. 5.  [CONTINUED REQUEST FOR BENEFITS BY ELECTRONIC 
        TRANSMISSION.] (a) A continued request for benefits by 
        electronic transmission shall be filed to that electronic mail 
        address or Internet address prescribed by the commissioner for 
        that claimant.  In order to constitute a continued request, all 
        information asked for, including information authenticating that 
        the claimant is sending the transmission, must be provided in 
        the format required.  If all of the information asked for is not 
        provided, the communication shall not constitute a continued 
        request for benefits. 
           The electronic transmission communication must be filed on 
        the date required for the claimant for filing a continued 
        request by electronic transmission. 
           (b) If the electronic transmission continued request is not 
        filed on the date required, a continued request by electronic 
        transmission shall be accepted if the claimant files the 
        continued request by electronic transmission within 14 days 
        following the week in which the date required occurred.  If the 
        continued request by electronic transmission is not filed within 
        14 days following the week in which the date required occurred, 
        the electronic continued request shall not be accepted and the 
        claimant shall be ineligible for benefits for the period covered 
        by the continued request and the benefit account shall be 
        considered inactive, unless the claimant shows good cause for 
        failing to file the continued request by electronic transmission 
        within the time period required. 
           Subd. 6.  [CONTINUED REQUEST FOR BENEFITS BY MAIL.] (a) A 
        continued request for benefits by mail shall be on a form 
        prescribed by the commissioner.  The form, in order to 
        constitute a continued request, must be totally completed and 
        signed by the claimant. 
           The form must be filed on the date required for the 
        claimant for filing a continued request by mail, in an envelope 
        with postage prepaid thereon, and sent to the address required 
        by the commissioner for that claimant. 
           (b) If the mail continued request for benefits is not filed 
        on the date required, a continued request shall be accepted if 
        the form is filed by mail within 14 days following the week in 
        which the date required occurred.  If the form is not filed 
        within 14 days following the week in which the date required 
        occurred, the form shall not be accepted and the claimant shall 
        be ineligible for benefits for the period covered by the 
        continued request for benefits and the benefit account shall be 
        considered inactive, unless the claimant shows good cause for 
        failing to file the form by mail within the time period required.
           (c) If the claimant has been designated to file a continued 
        request for benefits by mail, a claimant may submit the form by 
        facsimile transmission on the day otherwise required for 
        mailing, or within 14 days following the week in which the date 
        required occurred.  A form submitted by facsimile transmission 
        shall be sent only to the telephone number assigned for that 
        purpose. 
           (d) A claimant who has been designated to file a continued 
        request by mail may personally deliver a continued request form 
        only to the location to which the form was otherwise required to 
        be mailed. 
           Subd. 7.  [IN-PERSON CONTINUED REQUEST FOR BENEFITS.] The 
        commissioner may require any claimant who has been designated to 
        make a continued request for benefits by mail, by telephone, by 
        electronic transmission, or by mail to appear for a personal 
        interview at a place, time, and date designated, during which a 
        written continued request for benefits form shall be completed 
        and submitted by the claimant. 
           A claimant shall be ineligible for benefits for the week or 
        biweekly period covered by a continued request and the benefit 
        account shall be considered inactive if the claimant fails, 
        without good cause, to comply with the requirement that the 
        claimant appear for a personal interview and at that time 
        complete and submit a written continued request form. 
           Subd. 8.  [GOOD CAUSE.] A continued request for benefits 
        that is not filed within the time periods required by this 
        section shall be accepted only for those weeks that the claimant 
        has "good cause" for not filing within the time periods required.
           Subd. 9.  [GOOD CAUSE DEFINED.] "Good cause" for purposes 
        of this section is a compelling substantial reason that would 
        have prevented a reasonable person acting with due diligence 
        from filing a continued request for benefits within the time 
        periods required. 
           "Good cause" shall not include forgetfulness, loss of the 
        continued request form, having returned to work, or inability to 
        file a continued request for benefits by the method designated 
        if the claimant was aware of the inability and did not make 
        diligent effort to have the method of filing a continued request 
        changed by the commissioner.  "Good cause" shall not include 
        having previously made an attempt to file a continued request 
        for benefits but where the communication was not considered a 
        continued request because the claimant failed to submit all 
        required information. 
           Sec. 44.  Minnesota Statutes 1998, section 268.095, is 
        amended to read: 
           268.095 [DISQUALIFICATION PROVISIONS.] 
           Subdivision 1.  [QUIT.] A claimant who quits quit 
        employment shall be disqualified from all benefits except when: 
           (1) unless the claimant quit the employment because of a 
        good reason caused by the employer; 
           (2) unless the claimant quit the employment to accept other 
        covered employment that provided substantially higher wages or 
        substantially better terms and conditions of employment or both, 
        but the claimant did not work long enough at the other 
        employment to have sufficient subsequent earnings to satisfy the 
        disqualification that would otherwise be imposed; 
           (3) unless the claimant quit the employment within 30 
        calendar days of beginning the employment because the employment 
        was unsuitable for the claimant; 
           (4) unless the employment was unsuitable for the claimant 
        and the claimant quit to enter approved reemployment assistance 
        training; 
           (5) unless the employment was part time and the claimant 
        had full-time employment in the base period, that the claimant 
        separated from because of nondisqualifying reasons, sufficient 
        to meet the minimum requirements to establish a reemployment 
        insurance benefit account under section 268.07; or 
           (6) unless the claimant quit because the employer notified 
        the claimant that the claimant was going to be laid off due to 
        lack of work within 30 calendar days.  A claimant who quit 
        employment within 30 calendar days of a notified date of layoff 
        due to lack of work shall be disqualified from benefits through 
        the end of the week that includes the scheduled date of layoff; 
        or 
           (7) the claimant quit the employment because the claimant's 
        serious illness or injury made it medically necessary that the 
        claimant quit, provided that the claimant made reasonable 
        efforts to remain in that employment in spite of the serious 
        illness or injury. 
           Reasonable efforts to remain in that employment are those a 
        reasonable individual would make if interested in remaining with 
        the employer and require that the claimant inform the employer 
        of the serious illness or injury and request accommodation.  
           A claimant who quit employment because of If the claimant's 
        serious illness of is chemical dependency, the claimant has not 
        made reasonable efforts to remain in that employment if the 
        claimant has previously been professionally diagnosed as 
        chemically dependent, or has previously voluntarily submitted to 
        had treatment for chemical dependency, and has failed to make 
        consistent efforts to control the chemical dependency. 
           Subd. 2.  [QUIT DEFINED.] (a) A quit from employment occurs 
        when the decision to end the employment was, at the time the 
        employment ended, the employee's.  
           (b) An employee who has been notified that the employee 
        will be discharged in the future, who chooses to end the 
        employment while employment in any capacity is still available, 
        shall be considered to have quit the employment. 
           (c) An employee who seeks to withdraw a previously 
        submitted notice of quitting shall be considered to have quit 
        the employment if the employer does not agree that the notice 
        may be withdrawn. 
           Subd. 3.  [GOOD REASON CAUSED BY THE EMPLOYER DEFINED.] (a) 
        A good reason caused by the employer for quitting is a reason:  
           (1) that is directly related to the employment and for 
        which the employer is responsible; and 
           (2) that is significant and would compel an average, 
        reasonable worker to quit and become unemployed rather than 
        remaining in the employment. 
           (b) If a claimant was subjected to adverse working 
        conditions by the employer, the claimant must complain to the 
        employer and give the employer a reasonable opportunity to 
        correct the adverse working conditions before that may be 
        considered a good reason caused by the employer for quitting. 
           (c) A substantial adverse change in the wages, hours, or 
        other terms of employment by the employer shall be considered a 
        good reason caused by the employer for quitting unless the 
        change occurred because of the claimant's employment misconduct. 
           (d) Notification of discharge in the future, including a 
        layoff due to lack of work, shall not be considered a good 
        reason caused by the employer for quitting. 
           (e) A claimant has a good reason caused by the employer for 
        quitting if it results from sexual harassment of which the 
        employer was aware, or should have been aware, and the employer 
        failed to take timely and appropriate action.  Sexual harassment 
        means unwelcome sexual advances, requests for sexual favors, 
        sexually motivated physical contact or other conduct or 
        communication of a sexual nature when:  
           (1) the claimant's submission to the conduct or 
        communication is made a term or condition of the employment; 
           (2) the claimant's submission to or rejection of the 
        conduct or communication is the basis for decisions affecting 
        employment; or 
           (3) the conduct or communication has the purpose or effect 
        of substantially interfering with a claimant's work performance 
        or creating an intimidating, hostile, or offensive working 
        environment and the employer knows or should know of the 
        existence of the harassment and fails to take timely and 
        appropriate action. 
           (f) The definition of a good reason caused by the employer 
        for quitting employment provided by this subdivision shall be 
        exclusive.  
           Subd. 4.  [DISCHARGE.] A claimant who is was discharged 
        from employment by an employer shall not be disqualified from 
        any benefits except when: 
           (1) unless the claimant was discharged because of 
        employment misconduct that interfered with and adversely 
        affected that employment.  This clause shall not apply if:; or 
           (i) the misconduct was a direct result of the claimant's 
        serious illness provided that the claimant made reasonable 
        efforts to remain in that employment in spite of the serious 
        illness.  
           Reasonable efforts to remain in that employment require 
        that the claimant inform the employer of the serious illness and 
        request accommodation. 
           If the misconduct was a direct result of the claimant's 
        serious illness of chemical dependency, the claimant has not 
        made reasonable efforts to remain in that employment if the 
        claimant has previously been professionally diagnosed chemically 
        dependent or the claimant has previously voluntarily submitted 
        to treatment for chemical dependency and has failed to make 
        consistent efforts to control the chemical dependency. 
           This subclause shall not apply if the misconduct was a 
        violation of section 169.121, 169.1211, or 169.123; or 
           (ii) the employment was part time and the claimant had 
        full-time employment in the base period, that the claimant 
        separated from because of nondisqualifying reasons, sufficient 
        to meet the minimum requirements to establish a reemployment 
        insurance account under section 268.07; 
           (2) unless the claimant was discharged because of 
        gross aggravated employment misconduct that interfered with and 
        adversely affected that employment.  
           Subd. 4a.  [AGGRAVATED EMPLOYMENT MISCONDUCT DEFINED.] For 
        the purpose of this clause section, "gross aggravated employment 
        misconduct" means: 
           (i) (1) the commission of any act, on the job or off the 
        job, that amounts would amount to a gross misdemeanor or felony 
        if the act interfered with or adversely affected the employment; 
        or 
           (ii) (2) for an employee of a facility as defined in 
        section 626.5572, gross aggravated employment misconduct 
        includes an act of patient or resident abuse, financial 
        exploitation, or recurring or serious neglect, as defined in 
        section 626.5572 and applicable rules. 
           If a claimant is convicted of a gross misdemeanor or felony 
        for the same act or acts for which the claimant was discharged, 
        it is gross aggravated employment misconduct; or. 
           (3) if the claimant was discharged because the claimant 
        gave notice of intention to quit the employment within 30 
        calendar days.  This clause shall be effective only through the 
        end of the calendar week that includes the intended date of 
        quitting.  Thereafter the separation from employment shall be 
        considered a quit of employment by the claimant, and a 
        disqualification, if any, shall begin with the Sunday of the 
        week following the week that includes the intended date of 
        quitting. 
           Subd. 5.  [DISCHARGE DEFINED.] (a) A discharge from 
        employment occurs when any words or actions by an employer would 
        lead a reasonable employee to believe that the employee's 
        services are no longer desired by the employer will no longer 
        allow the employee to work for the employer in any capacity.  A 
        layoff due to lack of work shall be considered a discharge.  A 
        suspension from employment without pay of more than 30 calendar 
        days shall be considered a discharge. 
           (b) An employee who gives notice of intention to quit the 
        employment and is not allowed by the employer to work the entire 
        notice period shall be considered discharged from the employment 
        as of the date the employer will no longer allow the employee to 
        work.  If the discharge occurs within 30 calendar days prior to 
        the intended date of quitting, then, as of the intended date of 
        quitting, the separation from employment shall be considered a 
        quit from employment subject to subdivision 1. 
           Subd. 6.  [EMPLOYMENT MISCONDUCT DEFINED.] (a) Employment 
        misconduct is means: 
           (1) any intentional conduct showing a disregard of:, on the 
        job or off the job, that 
           (1) the employer's interest; 
           (2) disregards the standards of behavior that an employer 
        has the right to expect of the employee; or 
           (3) disregards the employee's duties and obligations to the 
        employer.; or 
           Misconduct also includes (2) negligent or indifferent 
        conduct by an employee demonstrating, on the job or off the job, 
        that demonstrates a substantial lack of concern for the 
        employment. 
           (b) Inefficiency, inadvertence, simple unsatisfactory 
        conduct, or poor performance as a result because of inability or 
        incapacity, or absence because of illness or injury with proper 
        notice to the employer, are not employment misconduct. 
           (c) Any conduct in violation of paragraph (a), clause (1) 
        or (2), that was a result of the claimant's chemical dependency 
        is employment misconduct if the claimant has previously been 
        diagnosed chemically dependent or had treatment for chemical 
        dependency, and has failed to make consistent efforts to control 
        the chemical dependency. 
           (d) A driving offense in violation of section 169.121, 
        169.1211, or 169.123 that interferes with or adversely affects 
        the employment is employment misconduct. 
           (e) The definition of employment misconduct provided by 
        this subdivision shall be exclusive.  
           Subd. 7.  [ACT OR OMISSIONS AFTER SEPARATION.] Except as 
        provided for under subdivision 8, a claimant shall not be 
        disqualified from benefits under this section for any acts or 
        omissions occurring after the claimant's separation from 
        employment with the employer.  A layoff due to lack of work is 
        considered a separation from employment.  
           Subd. 8.  [OFFERS OF EMPLOYMENT.] (a) A claimant shall be 
        disqualified from all benefits if the claimant, without good 
        cause: 
           (1) failed to apply for available, suitable employment of 
        which the claimant was advised by the commissioner or an 
        employer; 
           (2) failed to accept suitable employment when offered; or 
           (3) avoided an offer of suitable employment. 
           (b) The claimant shall not be disqualified from benefits 
        under paragraph (a) if the claimant "Good cause" is a reason 
        that would cause a reasonable individual who wants suitable 
        employment to fail to apply for, accept, or avoid suitable 
        employment.  Good cause includes: 
           (1) was the claimant is employed in other suitable 
        employment; 
           (2) the claimant is in approved reemployment assistance 
        training; or 
           (2) (3) the claimant formerly worked for the employer and 
        the claimant's last separation from loss of employment with the 
        employer occurred prior to the commencement of a strike or other 
        labor dispute, was permanent or for an indefinite period, and 
        the claimant failed to apply for or accept reemployment the 
        employment because a strike or other labor dispute was in 
        progress at the establishment where the claimant was previously 
        employed by that employer; or 
           (4) the claimant formerly worked for the employer and quit 
        that employment because of a good reason caused by the employer. 
           Subd. 9.  [SUITABLE EMPLOYMENT DEFINED.] (a) Suitable 
        employment is means employment in the claimant's labor market 
        area that is reasonably related to the claimant's 
        qualifications.  In determining whether any employment is 
        suitable for a claimant, the degree of risk involved to the 
        health and safety, physical fitness, prior training, experience, 
        length of unemployment, prospects for securing local employment 
        in the claimant's customary occupation, and the distance of the 
        employment from the claimant's residence shall be considered. 
           (b) No In determining what is suitable employment, primary 
        consideration shall be given to the temporary or permanent 
        nature of the claimant's separation from employment and whether 
        the claimant has favorable prospects of finding employment in 
        the claimant's usual or customary occupation at the claimant's 
        past wage level within a reasonable period of time. 
           If prospects are unfavorable, employment at lower skill or 
        wage levels is suitable if the claimant is reasonably suited for 
        the employment because of education, training, work experience, 
        or ability.  
           The total compensation must be considered, including the 
        wage rate, hours of employment, method of payment, overtime 
        practices, bonuses, incentive payments, and fringe benefits. 
           (c) When potential employment is at a rate of pay lower 
        than the claimant's former rate, consideration must be given to 
        the length of the claimant's unemployment and the proportion of 
        difference in the rates.  Employment that may not be suitable 
        because of lower wages during the early weeks of the claimant's 
        unemployment may become suitable as the duration of unemployment 
        lengthens. 
           (d) For a claimant seasonally unemployed, suitable 
        employment includes temporary work in a lower skilled occupation 
        that pays average gross weekly wages equal to or more than 150 
        percent of the claimant's weekly benefit amount. 
           (e) If a majority of the claimant's wage credits were 
        earned from part-time employment, part-time employment in a 
        position with comparable skills and comparable hours that pays 
        average gross weekly wages equal to or more than 150 percent of 
        the claimant's weekly benefit amount shall be considered 
        suitable employment. 
           (f) To determine suitability of employment in terms of 
        shifts, the arrangement of hours in addition to the total number 
        of hours is to be considered.  Employment on a second, third, 
        rotating, or split shift is suitable employment if it is 
        customary in the occupation in the labor market area. 
           (g) Employment shall not be considered suitable if: 
           (1) the position offered is vacant due directly to because 
        of a strike, lockout, or other labor dispute; 
           (2) the wages, hours, or other conditions of employment are 
        substantially less favorable than those prevailing for similar 
        employment in the locality labor market area; or 
           (3) as a condition of becoming employed, the claimant would 
        be required to join a company union or to resign from or refrain 
        from joining any bona fide labor organization. 
           Subd. 10.  [DISQUALIFICATION DURATION.] (a) A 
        disqualification from the payment of all benefits under 
        subdivisions 1, 4, and 8 shall be for the duration of the 
        claimant's unemployment and until the end of the calendar week 
        that the claimant had total earnings in subsequent covered 
        employment of eight times the claimant's weekly benefit amount. 
           (b) Any disqualification imposed under subdivisions 1 and 4 
        shall begin on the Sunday of the week that the claimant became 
        separated from employment.  Any disqualification imposed under 
        subdivision 8 shall begin on the Sunday of the week the claimant 
        failed to apply for, accept, or avoided employment. 
           (c) Notwithstanding In addition to paragraph (a), if the 
        claimant was discharged from employment because of gross 
        aggravated employment misconduct, the disqualification shall be 
        for the duration of the claimant's unemployment and until the 
        end of the calendar week that the claimant had total earnings in 
        subsequent covered employment of 12 times the claimant's weekly 
        benefit amount.  In addition, wage credits from that employment 
        shall be canceled. 
           Subd. 11.  [APPLICATION.] This section shall apply to: 
           (1) all covered employment, full time or part time, 
        temporary or of limited duration, permanent or of indefinite 
        duration, that occurred during the base period, the period 
        between the end of the base period and the effective date of the 
        reemployment insurance benefit account, or the benefit year, 
        except as provided for in subdivisions subdivision 1, clause 
        (5); and 4, clause (1)(ii); or 
           (2) all covered employment occurring in this state, and 
        employment covered under a reemployment insurance program, (i) 
        of any other state or (ii) established by an act of Congress. 
           Subd. 12.  [LABOR DISPUTE.] (a) A claimant who has left or 
        partially or totally lost employment with an employer stopped 
        working because of a strike or other labor dispute at the 
        establishment where the claimant is or was employed shall be 
        disqualified from benefits: 
           (1) until the end of the calendar week that the strike or 
        labor dispute was in active progress if the claimant is 
        participating in or directly interested in the strike or labor 
        dispute; or 
           (2) until the end of the calendar week that the strike or 
        labor dispute commenced began if the claimant is not 
        participating in or directly interested in the strike or labor 
        dispute.  
           Participation includes the any failure or refusal by a 
        claimant, voluntarily or involuntarily, to accept and perform 
        available and customary work at the establishment.  
           (b) A claimant who has left or partially or totally lost 
        employment with an employer stopped working because of a 
        jurisdictional controversy between two or more labor 
        organizations at the establishment where the claimant is or was 
        employed shall be disqualified for benefits until the end of the 
        calendar week that the jurisdictional controversy was in 
        progress. 
           (c) A claimant shall not be disqualified from benefits 
        under this subdivision if: 
           (1) the claimant becomes unemployed stops working because 
        of a strike caused by an employer's willful intentional failure 
        to observe the terms of the safety and health section of a union 
        contract or failure to comply with an official citation for a 
        violation of federal and or state laws involving occupational 
        safety and health; 
           (2) the claimant becomes unemployed stops working because 
        of a lockout; or 
           (3) the claimant is discharged during the period of 
        negotiation and prior to the commencement beginning of a strike 
        or other labor dispute.  
           (d) A quit from employment by the claimant during the time 
        that the strike or other labor dispute is in active progress at 
        the establishment shall not be considered to terminate the 
        claimant's participation in or direct interest in the strike or 
        other labor dispute for purposes of this subdivision. 
           (e) For the purpose of this subdivision, the term "labor 
        dispute" shall have the same definition as provided in section 
        179.01, subdivision 7. 
           Sec. 45.  Minnesota Statutes 1998, section 268.101, is 
        amended to read: 
           268.101 [DETERMINATIONS ON DISQUALIFICATION AND 
        ELIGIBILITY.] 
           Subdivision 1.  [NOTIFICATION.] (a) Upon In an application 
        for a reemployment insurance account benefits, each claimant 
        shall report the names of all employers and the reasons for no 
        longer working for all employers during the claimant's last 30 
        days of employment.  If the reason reported for no longer 
        working for any of those employers is other than a layoff due to 
        lack of work, that shall raise an issue of disqualification that 
        the department shall determine.  A claimant's failure to report 
        the name of an employer, or giving an incorrect reason for no 
        longer working for an employer, shall be considered a violation 
        of section 268.182, paragraph (b).  
           In an application, the claimant shall provide all 
        information necessary to determine the claimant's eligibility 
        for benefits under section 268.085.  
           (b) Upon establishment of a reemployment insurance benefit 
        account, the commissioner shall notify, by mail or electronic 
        transmission, all employers the claimant was employed by during 
        the claimant's last 30 days of employment prior to making an 
        application and all base period employers and determined 
        successors to those employers under section 268.051, subdivision 
        4.  An employer shall have ten calendar days after the sending 
        of the notice to make a protest raise, in a manner prescribed by 
        the commissioner raising, any issue of disqualification or any 
        issue of eligibility.  An employer shall be informed of the 
        effect that failure to timely protest raise an issue may have on 
        the employer charges under section 268.047.  A protest made An 
        issue raised more than ten calendar days after sending of the 
        notice shall be considered untimely. 
           (c) Each claimant shall report any employment, loss of 
        employment, and offers of employment received, during those 
        weeks the claimant made filed continued claims requests for 
        benefits pursuant to section 268.086.  Each claimant who 
        stops making filing continued claims requests during the benefit 
        year and later begins making filing continued claims requests 
        during that same benefit year shall report the name of any 
        employer the claimant worked for during the period between 
        the making filing of continued claims requests, up to a period 
        of the last 30 days of employment, and the reason the claimant 
        stopped working for the employer.  The claimant shall report any 
        offers of employment during the period between the making filing 
        of continued claims requests for benefits.  Those employers from 
        which the claimant has reported a loss of employment or an offer 
        of employment pursuant to this paragraph shall be notified by 
        mail or electronic transmission.  An employer shall have ten 
        calendar days after the sending of the notice to make a 
        protest raise, in a manner prescribed by the 
        commissioner raising, any issue of disqualification or any issue 
        of eligibility.  An employer shall be informed of the effect 
        that failure to timely protest raise an issue may have on the 
        employer charges under section 268.047.  A protest made An issue 
        raised more than ten calendar days after sending of the notice 
        shall be considered untimely. 
           (d) The purpose for requiring the claimant to report the 
        name of all employers and the reason for no longer working for 
        all employers during the claimant's "last 30 days of employment" 
        under paragraphs (a) and (c) is for the commissioner to obtain 
        information from a claimant on raising all issues that may have 
        the potential of disqualifying the claimant from benefits under 
        section 268.095.  If the reason given by the claimant for no 
        longer working for an employer is a discharge, other than a 
        layoff due to lack of work, the claimant shall be required to 
        state all the facts about the cause of the discharge for no 
        longer working for the employer, if known. 
           Subd. 2.  [DISQUALIFICATION DETERMINATION.] (a) The 
        commissioner shall promptly determine any issue of 
        disqualification timely raised by a timely protest made by an 
        employer, and mail to the claimant and that employer at the last 
        known address a determination of disqualification or a 
        determination of nondisqualification, as is appropriate.  The 
        determination shall set forth state the effect on employer 
        charges under section 268.047. 
           (b) The commissioner shall promptly determine any issue of 
        disqualification raised by information obtained required from a 
        claimant pursuant to under subdivision 1, paragraph (a) or (c), 
        and mail to the claimant and employer at the last known address 
        a determination of disqualification or a determination of 
        nondisqualification, as is appropriate.  The determination shall 
        set forth state the effect on employer charges under section 
        268.047.  A determination shall be made pursuant to this 
        paragraph only on those issues involving the claimant's last 30 
        days of employment and shall be made even if a notified employer 
        has not raised the issue of disqualification. 
           (c) The commissioner shall promptly determine any untimely 
        issue of disqualification raised by an untimely protest made by 
        an employer and mail to the claimant and that employer at the 
        last known address a determination of disqualification or a 
        determination of nondisqualification as is appropriate.  The 
        determination shall set forth state the effect on employer 
        charges under section 268.047.  Notwithstanding section 268.095, 
        any disqualification imposed as a result of determination issued 
        pursuant to this paragraph shall begin the Sunday two weeks 
        following the week that the untimely protest was made.  
        Notwithstanding any provisions to the contrary If the employer 
        did not employ the claimant during the claimant's last 30 days 
        of employment prior to the claimant's application for benefits, 
        but only employed the claimant for periods prior to that, 
        any relief of exception to employer charges as a result of a 
        determination issued pursuant to this paragraph under section 
        268.047, subdivisions 2 and 3, shall begin the Sunday two weeks 
        following the week that the untimely protest issue was made 
        raised. 
           (d) If any time within 24 months from the establishment of 
        a reemployment insurance benefit account the commissioner finds 
        that a claimant failed to report any employment, loss of 
        employment, or offers of employment that were required to be 
        provided by the claimant under this section, the commissioner 
        shall promptly determine any issue of disqualification on that 
        loss of employment or offer of employment and mail to the 
        claimant and involved employer at the last known address a 
        determination of disqualification or a determination of 
        nondisqualification, as is appropriate.  The determination shall 
        set forth state the effect on employer charges under section 
        268.047. 
           This paragraph shall not apply if the involved employer was 
        notified and given the opportunity to protest pursuant to 
        subdivision 1, paragraph (b) or (c). 
           This paragraph shall not prevent the imposition of any 
        penalty under section 268.18, subdivision 2, or 268.182. 
           (e) An issue of disqualification shall be determined based 
        upon that information required of a claimant, any information 
        that may be obtained from a claimant or employer, and 
        information from any other source, without regard to any common 
        law burden of proof.  
           (f) A determination of disqualification or a determination 
        of nondisqualification shall be final unless an appeal is filed 
        by the claimant or notified employer within 30 calendar days 
        after mailing.  The determination shall contain a prominent 
        statement indicating in clear language the method of appealing, 
        the time within which an appeal must be made, and the 
        consequences of not appealing.  Proceedings on the appeal shall 
        be conducted in accordance with section 268.105. 
           (f) (g) An issue of disqualification for purposes of this 
        section shall include any reason for no longer working for an 
        employer other than a layoff due to lack of work, any question 
        of a disqualification from benefits under section 268.095, any 
        question of an exception to disqualification under section 
        268.095, any question of benefit charge to an employer under 
        section 268.047, and any question of an otherwise imposed 
        disqualification that a claimant has had subsequent earnings 
        sufficient to satisfy the disqualification satisfied under 
        section 268.095, subdivision 10.  
           (g) Notwithstanding (h) Regardless of the requirements of 
        this subdivision, the commissioner is not required to mail to a 
        claimant a determination of nondisqualification where the 
        claimant has had subsequent earnings sufficient to 
        satisfy satisfied any otherwise potential disqualification under 
        section 268.095, subdivision 10.  
           Subd. 3.  [ELIGIBILITY DETERMINATION.] (a) The commissioner 
        shall promptly determine any issue of eligibility raised by a 
        timely protest made by an employer, whether timely or untimely, 
        and mail to the claimant and that employer at the last known 
        address a determination of eligibility or a determination of 
        ineligibility, as is appropriate. 
           (b) The commissioner shall promptly determine any issue of 
        eligibility raised by information obtained from a claimant and 
        mail to the claimant and any involved employer at the last known 
        address a determination of eligibility or a determination of 
        ineligibility, as is appropriate.  A determination shall be made 
        pursuant to this paragraph even if a notified employer has not 
        raised the issue of eligibility.  
           (c) The commissioner shall promptly determine any issue of 
        eligibility raised by an untimely protest made by an employer 
        and mail to the claimant and that employer at the last known 
        address a determination of eligibility or a determination of 
        ineligibility, as is appropriate.  Any denial of benefits 
        imposed as a result of determination issued pursuant to this 
        paragraph shall begin the Sunday two weeks following the week 
        that the untimely protest was made. 
           (d) If any time within 24 months from the establishment of 
        a reemployment insurance benefit account the commissioner finds 
        the claimant failed to provide, on an application for benefits 
        or on a continued request for benefits, requested 
        information regarding the claimant's on an issue of eligibility 
        for benefits, the commissioner shall determine the issue of 
        eligibility and mail to the claimant and any involved employer 
        at the last known address a determination of eligibility or a 
        determination of ineligibility, as is appropriate. 
           This paragraph shall not apply if the involved employer was 
        notified, was aware, or should have been aware of the issue of 
        eligibility at the time of notification, and was given the 
        opportunity to protest pursuant to subdivision 1, paragraph (b) 
        or (c). 
           This paragraph shall not prevent the imposition of a 
        penalty under section 268.18, subdivision 2, or 268.182.  
           (e) (d) A determination of eligibility or determination of 
        ineligibility shall be final unless an appeal is filed by the 
        claimant or notified employer within 30 calendar days after 
        mailing.  The determination shall contain a prominent statement 
        indicating in clear language the method of appealing, the time 
        within which an appeal must be made, and the consequences of not 
        appealing.  Proceedings on the appeal shall be conducted in 
        accordance with section 268.105. 
           (f) (e) An issue of eligibility for purposes of this 
        section shall include any question of regarding the denial or 
        allowing of benefits under sections 268.085, 268.086, 268.115, 
        268.125, 268.135, and 268.155. 
           (f) Only if an employer raised the issue of eligibility 
        shall the employer be:  (1) mailed the determination of 
        eligibility or a determination of ineligibility, or (2) 
        considered an involved employer for purposes of an appeal under 
        section 268.105.  
           Subd. 3a.  [DIRECT HEARING.] Notwithstanding Regardless of 
        any provision of sections 268.03 to 268.23, the commissioner or 
        a reemployment insurance judge may refer any issue of 
        disqualification, any issue of eligibility, or any other 
        issue under sections 268.035 to 268.23, directly for hearing in 
        accordance with section 268.105, subdivision 1.  The status of 
        the issue shall be the same as if a determination had been made 
        and an appeal filed. 
           Subd. 4.  [AMENDED DETERMINATION.] Unless an appeal has 
        been filed, the commissioner, on the commissioner's own motion, 
        may reconsider a determination of disqualification or 
        nondisqualification or a determination of eligibility or 
        ineligibility that has not become final and issue an amended 
        determination.  An amended determination shall not be done at 
        the request of a claimant or an employer.  Any amended 
        determination shall be mailed to the claimant and any involved 
        employer at the last known address.  Any amended determination 
        shall be final unless an appeal is filed by the claimant or 
        notified employer within 30 calendar days after mailing.  
        Proceedings on the appeal shall be conducted in accordance with 
        section 268.105. 
           Subd. 5.  [PROMPT BENEFIT PAYMENT.] If a determination or 
        amended determination awards allows benefits to a claimant, the 
        benefits shall be promptly paid regardless of any appeal period 
        or any appeal having been filed. 
           Subd. 6.  [OVERPAYMENT.] A determination or amended 
        determination that holds a claimant disqualified or ineligible 
        for benefits for periods a claimant has been paid benefits is 
        considered an overpayment of those benefits subject to under 
        section 268.18, subdivision 1. 
           Subd. 7.  [EMPLOYER INFORMATION; ABSOLUTE PRIVILEGE.] (a) 
        Regardless of any provision of law to the contrary, an employer 
        may provide the commissioner with information on a claimant so 
        that the commissioner can determine a claimant's entitlement to 
        benefits under sections 268.03 to 268.23. 
           (b) Information obtained pursuant to sections 268.03 to 
        268.23, in order to determine a claimant's entitlement to 
        benefits, shall be absolutely privileged and shall not be made 
        the subject matter or the basis for any civil proceeding, 
        administrative, or judicial.  
           Sec. 46.  Minnesota Statutes 1998, section 268.103, is 
        amended by adding a subdivision to read: 
           Subd. 4.  [PROTESTS BY TELEPHONE AND ELECTRONIC 
        TRANSMISSION.] This section shall apply to the filing of 
        protests to those determinations and notices that require a 
        protest and affirmation procedure prior to an appeal. 
           Sec. 47.  Minnesota Statutes 1998, section 268.105, is 
        amended to read: 
           268.105 [REEMPLOYMENT INSURANCE HEARINGS; APPEALS.] 
           Subdivision 1.  [HEARING.] (a) Upon appeal the department 
        shall set a time and place for a de novo evidentiary hearing and 
        give mail notice to any involved claimant and any involved 
        employer written notice, by mail, not less than ten calendar 
        days prior to the date of the hearing.  
           (b) The evidentiary hearing shall be conducted by a 
        reemployment insurance judge without regard to any common law 
        burden of proof as an evidence gathering inquiry and not an 
        adversarial proceeding.  The commissioner shall by rule adopt a 
        procedure by which reemployment insurance judges hear and decide 
        appeals, subject to further appeal to the commissioner rules on 
        evidentiary hearings.  The rules need not conform to common law 
        or statutory rules of evidence and other technical rules of 
        procedure.  The written A report of any employee of the 
        department, except a determination, made in the regular course 
        of the performance of the employee's duties, shall be competent 
        evidence of the facts contained in it. 
           (c) After the conclusion of the hearing, upon the evidence 
        presented obtained, the reemployment insurance judge shall mail 
        make written findings of fact and decision and mail those to all 
        involved parties.  The reemployment insurance judge's decision 
        is the final department decision unless a further appeal is 
        filed pursuant to subdivision 3 2. 
           Subd. 2.  [REEMPLOYMENT INSURANCE JUDGES.] (d) The 
        commissioner shall designate regular salaried classified 
        employees of the department as impartial reemployment insurance 
        judges to conduct evidentiary hearings on appeals.  The 
        commissioner or authorized representative may personally hear or 
        transfer to another reemployment insurance judge any proceedings 
        pending before a reemployment insurance judge.  Any proceedings 
        removed to the commissioner or authorized representative shall 
        be heard in accordance with this subdivision 1. 
           Subd. 3. 2.  [COMMISSIONER REVIEW.] (a) Within 30 calendar 
        days after mailing of the reemployment insurance judge's 
        decision, any involved party claimant or involved employer may 
        appeal and obtain a de novo review by the commissioner or an 
        authorized representative.  The commissioner within the same 
        period of time may on the commissioner's own motion order a de 
        novo review of a decision.  
           (b) The authorized representative of the commissioner shall 
        be an attorney who is a classified employee of the department.  
        The authority to act on behalf of the commissioner under this 
        section shall be by specific written delegation filed with the 
        secretary of state. 
           (c) Upon de novo review, the commissioner shall, on the 
        basis of the that evidence submitted at the hearing before the 
        reemployment insurance judge under subdivision 1, make findings 
        of fact and decision, or remand the matter back to a 
        reemployment insurance judge for the taking of additional 
        evidence and the making of new findings and decision based on 
        all the evidence.  The commissioner may disregard shall, 
        independent of the findings of fact and decision of the 
        reemployment insurance judge and, examine the evidence and 
        make any those findings of fact as the evidence may, in the 
        judgment of the commissioner require, and make any that decision 
        as the facts found by the commissioner require.  
           (d) The commissioner may conduct a de novo review without 
        argument by any involved party, or the commissioner may allow 
        written argument.  The commissioner shall not, except for 
        purposes of deciding whether to remand a matter to a 
        reemployment insurance judge for a further evidentiary hearing, 
        consider any evidence that was not submitted at the hearing 
        before the reemployment insurance judge. 
           (c) (e) The commissioner shall mail to any involved party 
        the commissioner's findings of fact and decision.  The decision 
        of the commissioner is the final department decision.  Unless 
        judicial review is sought as provided by under subdivision 7, 
        the decision of the commissioner shall become final 30 calendar 
        days after mailing. 
           Subd. 3.  [WITHDRAWAL OF APPEAL.] (a) Any appeal that is 
        pending a decision before a reemployment insurance judge or the 
        commissioner may be withdrawn by the appealing person, or an 
        authorized representative of that person, upon filing of a 
        notice of withdrawal. 
           (b) The appeal shall, by written order, be dismissed if a 
        notice of withdrawal is filed, unless the commissioner, by 
        written order, directs that further adjudication is required for 
        a proper result. 
           (c) A notice of withdrawal may be filed by mail, by 
        telephone, or if the commissioner allows, by electronic 
        transmission. 
           Subd. 3a.  [DECISIONS.] (a) If a reemployment insurance 
        judge's decision or the commissioner's decision awards allows 
        benefits to a claimant, the benefits shall be promptly paid 
        regardless of any appeal period or any appeal having been filed. 
           (b) If a reemployment insurance judge's decision modifies 
        or reverses a determination awarding allowing benefits to a 
        claimant, any benefits paid pursuant to the determination is 
        considered an overpayment of those benefits subject to under 
        section 268.18, subdivision 1. 
           (c) If a commissioner's decision modifies or reverses a 
        reemployment insurance judge's decision awarding allowing 
        benefits to a claimant, any benefits paid pursuant to the 
        reemployment insurance judge's decision is considered an 
        overpayment of those benefits subject to under section 268.18, 
        subdivision 1. 
           (d) If the commissioner affirms a reemployment insurance 
        judge's decision on an issue of disqualification that awards 
        allows benefits to a claimant, the commissioner's decision, if 
        finally reversed by the Minnesota Court of Appeals or the 
        Supreme Court of Minnesota, shall not result in a 
        disqualification of the claimant from benefits under section 
        268.095. 
           (e) If the commissioner, pursuant to subdivision 3 2, 
        remands a matter to a reemployment insurance judge for the 
        taking of additional evidence, the prior reemployment insurance 
        judge's decision shall continue to be enforced until new 
        findings of fact and decision are made by a reemployment 
        insurance judge. 
           Subd. 4.  [TESTIMONIAL POWERS.] In the discharge of the 
        duties imposed by this section, The reemployment insurance 
        judge, the commissioner, or authorized representative, may 
        administer oaths and affirmations, take depositions, certify to 
        official acts, and issue subpoenas to compel the attendance of 
        witnesses and the production of books, papers, correspondence, 
        memoranda, documents and other records personal property 
        considered necessary as evidence in connection with the subject 
        matter of the an evidentiary hearing.  The subpoenas shall be 
        enforceable through the district court in the district in which 
        that the subpoena is issued.  Witnesses subpoenaed, other than 
        an involved claimant or involved employer or officers and 
        employees of an involved employer, subpoenaed pursuant to this 
        section shall be allowed fees paid by the commissioner the same 
        as witness fees as in a civil action in district court.  These 
        fees shall be considered a part of the expense of administering 
        this chapter. 
           Subd. 5.  [USE OF INFORMATION.] (a) All testimony at 
        any evidentiary hearing conducted pursuant to subdivision 1 
        shall be recorded.  A copy of any recorded testimony and 
        exhibits received into evidence at the hearing shall, upon 
        request, or upon directive of the commissioner, be furnished to 
        a party at no cost during the time period for filing an appeal 
        to the commissioner or while such an appeal is pending.  If 
        requested, the representative of a commissioner shall make 
        available a device for listening to the recording if an appeal 
        is pending before the commissioner under subdivision 2. 
           (b) Regardless of any provision of law to the contrary, if 
        recorded testimony and exhibits received into evidence at the 
        evidentiary hearing are not requested during the time period for 
        filing an appeal to the commissioner, or while such an appeal is 
        pending, that testimony and other evidence shall later be made 
        available to an involved party only pursuant to a court order.  
        A subpoena shall not be considered a court order. 
           (c) Testimony obtained under subdivision 1, may 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. 
           (c) (d) No findings of fact or decision issued by a 
        reemployment insurance judge or the commissioner may be held 
        conclusive or binding or used as evidence in any separate or 
        subsequent action in any other forum, except proceedings 
        provided for under this chapter, regardless of whether the 
        action involves the same or related parties or involves the same 
        facts. 
           Subd. 6.  [REPRESENTATION; FEES.] (a) In any proceeding 
        under these sections, a party under subdivision 1 or 2, a 
        claimant or involved employer may be represented by any agent.  
           (b) Except for services provided by an attorney-at-law, a 
        claimant shall not be charged fees or, costs, or disbursements 
        of any kind in a proceeding before a reemployment insurance 
        judge, the commissioner, or by any court or any of its 
        officers the Minnesota court of appeals, or supreme court of 
        Minnesota. 
           Subd. 7.  [COURT OF APPEALS; ATTORNEY FOR COMMISSIONER 
        JUDICIAL REVIEW.] (a) The Minnesota court of appeals may shall, 
        by writ of certiorari to the commissioner, review any the 
        decision of the commissioner provided a petition for the writ is 
        filed with the court and a copy is served upon the commissioner 
        and any other involved party within 30 calendar days of the 
        mailing of the commissioner's decision.  
           (b) Any involved employer, petitioning for a writ of 
        certiorari shall pay to the court the required filing fee and 
        upon the service of the writ shall furnish a cost bond to the 
        commissioner in accordance with the rules of civil appellate 
        procedure.  If the employer requests a written transcript of the 
        testimony received at the evidentiary hearing conducted pursuant 
        to subdivision 1, the employer shall pay to the commissioner the 
        cost of preparing the transcript. 
           (c) Upon review before issuance by the Minnesota court of 
        appeals of a writ of certiorari as a result of a claimant's 
        petition, the commissioner shall, if requested, furnish to the 
        claimant at no cost a written transcript of the testimony 
        received at the evidentiary hearing conducted pursuant to 
        subdivision 1, and, if requested, a copy of all exhibits entered 
        into evidence.  No filing fee or cost bond shall be required of 
        a claimant petitioning the Minnesota court of appeals for a writ 
        of certiorari.  
           (c) (d) The commissioner shall be considered to be a the 
        primary responding party to any judicial action involving any 
        the commissioner's decision and the case title shall be, "In Re 
        the matter of:  (named petitioner) and the commissioner of 
        economic security."  The commissioner may be represented by any 
        qualified an attorney who is a regular salaried classified 
        employee of the department and has been designated by the 
        commissioner for that purpose or, at the commissioner's request, 
        by the attorney general. 
           Sec. 48.  Minnesota Statutes 1998, section 268.115, is 
        amended to read: 
           268.115 [EXTENDED BENEFITS.] 
           Subdivision 1.  [DEFINITIONS.] As The terms used in this 
        section, unless the context clearly requires otherwise shall 
        have the following meaning:  
           (1) [EXTENDED BENEFIT PERIOD.] "Extended benefit period" 
        means a period which that lasts for a minimum of 13 weeks and 
        that:  
           (a) (i) Begins with the third week after a week for which 
        there is a state "on" indicator; and 
           (b) (ii) Ends with either of the following weeks, whichever 
        occurs later: the third week after the first week for which 
        there is a state "off" indicator; or the 13th consecutive week 
        of the period;. 
           Provided, that No extended benefit period may begin before 
        the 14th week following the end of a prior extended benefit 
        period which was in effect with respect to this state. 
           (2) [STATE "ON" INDICATOR.] There is a "state 'on' 
        indicator" for this state for a week if the commissioner 
        determines, in accordance with the regulations of the United 
        States Secretary of Labor, that:  
           (i) for the period consisting of such that week and the 
        immediately preceding prior 12 weeks, the rate of insured 
        unemployment (not seasonally adjusted) under this law: 
           (a) equaled or exceeded 120 percent of the average of 
        such the rates for the corresponding 13-week period ending in 
        each of the preceding prior two calendar years, and 
           (b) equaled or exceeded was five percent. or more; or 
           The determination of whether there has been a state "on" 
        indicator beginning any extended benefit period may be made as 
        provided in clauses (a) and (b) above or a "state 'on' 
        indicator" shall exist if the rate described in clause (b) 
           (b) equaled or exceeded six percent irrespective of whether 
        the percentage requirement provided by clause (a) is met or 
        exceeded.; or 
           (ii) The United States Secretary of Labor determines that 
        the average rate of seasonally adjusted total unemployment in 
        Minnesota for the most recent three months for which data is 
        published equals or exceeds 6.5 percent and this rate equals or 
        exceeds 110 percent of the rate of the corresponding three-month 
        period in either of the prior two calendar years.  
           (3) [STATE "OFF" INDICATOR.] There is a "state 'off' 
        indicator" for this state for a week if: 
           (i) under clause (2)(i), for the period consisting of 
        such that week and the immediately preceding prior 12 weeks, 
        the rate of insured unemployment is less than six percent and 
        the requirements for a "state 'on' indicator" under clause (2) 
        are not satisfied; or 
           (ii) under clause (2)(ii) the requirements for a "state 
        'on' indicator" are not satisfied. 
           (4) [RATE OF INSURED UNEMPLOYMENT.] "Rate of insured 
        unemployment," for purposes of clauses (2) and (3), means the 
        percentage derived by dividing the average weekly number of 
        individuals claimants filing claims continued requests for 
        regular benefits in this state for weeks of unemployment with 
        respect to the most recent 13 consecutive week 13-week period, 
        as determined by the commissioner on the basis of the 
        commissioner's reports to the United States Secretary of Labor, 
        by the average monthly covered employment covered under this law 
        for the first four of the most recent last six completed 
        calendar quarters ending before the end of such that 13-week 
        period. 
           (5) [REGULAR BENEFITS.] "Regular benefits" means 
        benefits payable available to an individual under this law or 
        under any other state law (including benefits payable to federal 
        civilian employees and to ex-servicemen pursuant to United 
        States Code, title 5, chapter 85) a claimant other than extended 
        benefits and additional benefits. 
           (6) [EXTENDED BENEFITS.] "Extended benefits" means benefits 
        (including benefits payable to federal civilian employees and to 
        ex-servicemen pursuant to United States Code, title 5, chapter 
        85) payable to an individual under the provisions of this 
        section for weeks of unemployment in the individual's 
        eligibility period. 
           (7) [ADDITIONAL BENEFITS.] "Additional benefits" means 
        benefits payable to exhaustees by reason of conditions of high 
        unemployment or by reason of other special factors under the 
        provisions of any state law. 
           (8) [ELIGIBILITY PERIOD.] "Eligibility period" of an 
        individual for a claimant means the period consisting of the 
        weeks remaining in the individual's claimant's benefit year 
        which begin in an within the extended benefit period and, if the 
        benefit year ends within such the extended benefit period, any 
        weeks thereafter which begin in such the extended benefit period.
           (9) (7) [EXHAUSTEE.] "Exhaustee" means an individual a 
        claimant who, with respect to any week of unemployment in the 
        individual's eligibility period: 
           (a) the benefit year having not expired has received, prior 
        to such week, all of the maximum amount of regular benefits that 
        were available under this law or any other state law (including 
        dependents' allowances and benefits payable to federal civilian 
        employees and ex-servicemen under United States Code, title 5, 
        chapter 85) in the individual's current benefit year that 
        includes such week; 
           Provided, that, for the purposes of this paragraph, an 
        individual shall be considered to have received all of the 
        regular benefits that were available to the individual although 
        as a result of a pending appeal with respect to wage credits 
        that were not considered in the original monetary determination 
        in the individual's benefit year, the individual may 
        subsequently be determined to be entitled to added regular 
        benefits section 268.07; or 
           (b) the individual's benefit year having expired prior to 
        such week, has no, or insufficient, wages and/or employment on 
        the basis of which the individual could wage credits to 
        establish a new benefit year that would include such week or 
        having established a benefit year that includes such week, the 
        individual is precluded from receiving regular compensation by 
        reason of:  (i) a state law provision which meets the 
        requirements of section 3304 (a) (7) of the Internal Revenue 
        Code of 1954, or (ii) a disqualification determination which 
        canceled wage credits or totally reduced benefit rights, or 
        (iii) benefits are not payable by reason of a seasonal 
        limitation in a state reemployment insurance benefits 
        law account; and 
           (c) has no right to any type of reemployment insurance 
        benefits or allowances, as the case may be, under the Railroad 
        Unemployment Insurance Act, the Trade Expansion Act of 1962, the 
        Automotive Products Act of 1965 and such law of any other state 
        or under federal laws as are specified in regulations issued by 
        the United States Secretary of Labor; and has not received and 
        is not seeking receiving reemployment insurance benefits under 
        the unemployment compensation law of Canada; but if the 
        individual is seeking such benefits and the appropriate agency 
        finally determines that the individual is not entitled to 
        benefits under such law the individual is considered an 
        exhaustee. 
           (10) [STATE LAW.] "State law" means the reemployment 
        insurance benefits law of any state, approved by the United 
        States Secretary of Labor under section 3304 of the Internal 
        Revenue Code of 1954. 
           Subd. 2.  [EFFECT OF STATE LAW PROVISIONS RELATING TO 
        REGULAR BENEFITS ON CLAIMS FOR, AND THE PAYMENT OF, EXTENDED 
        BENEFITS.] Except when the result would be inconsistent with the 
        other provisions of this section, as provided in the rules of 
        the commissioner, the provisions of this chapter which apply to 
        claims for, or the payment of, regular benefits shall apply to 
        claims for, and the payment of, extended benefits. 
           Subd. 3.  [ELIGIBILITY REQUIREMENTS FOR EXTENDED BENEFITS.] 
        If an extended benefit period is in effect, a claimant shall 
        be eligible to receive paid extended benefits with respect to 
        from the fund for any week in the claimant's eligibility 
        period only if with respect to that week the claimant: 
           (1) is an "exhaustee" as defined in subdivision 1, 
        paragraph (9); 
           (2) has satisfied the same requirements of this law as 
        those for the receipt of regular benefits that are applicable to 
        claimants claiming extended benefits, including not being 
        subject to a disqualification for the receipt of benefits under 
        section 268.069; and 
           (3) has, during the claimant's base period earned wage 
        credits available for benefit purposes of not less than 40 times 
        the claimant's weekly benefit amount as determined pursuant to 
        section 268.07, subdivision 2.; and 
           (4) is not subject to a denial of extended benefits under 
        subdivision 9.  
           Subd. 4.  [WEEKLY EXTENDED BENEFIT AMOUNT.] The weekly 
        extended benefit amount payable to an individual for a week of 
        total unemployment in the individual's eligibility period shall 
        be an amount equal to the same as the weekly benefit amount 
        payable during the individual's applicable benefit year of 
        regular benefits. 
           Subd. 5.  [TOTAL EXTENDED BENEFIT MAXIMUM AMOUNT OF 
        EXTENDED BENEFITS.] The total extended benefit maximum amount 
        payable to any eligible individual with respect to the 
        individual's applicable benefit year of extended benefits 
        available to a claimant shall be 50 percent of the total maximum 
        amount of regular benefits which were payable under this 
        law available in the applicable benefit year, provided that at 
        the expiration of the benefit year, the individual's remaining 
        balance of extended benefits shall be reduced, but not below 
        zero, by the product arrived at by multiplying the individual's 
        weekly extended benefit amount by the number of weeks in the 
        individual's expired benefit year for which any trade 
        readjustment allowance was paid pursuant to sections 231 to 234 
        of the Trade Act of 1974, as amended.  If the total rate of 
        unemployment computed under subdivision 1, clause (2)(ii), 
        equaled or exceeded eight percent, the maximum amount of 
        extended benefits available shall be 80 percent of the maximum 
        amount of regular benefits available in the benefit year.  
           Subd. 6.  [BEGINNING AND TERMINATION OF EXTENDED BENEFIT 
        PERIOD PUBLIC ANNOUNCEMENT.] (a) Whenever an extended benefit 
        period is to become effective in this state begin as a result of 
        a state "on" indicator, or an extended benefit period is to be 
        terminated in this state end as a result of a state "off" 
        indicator the commissioner shall make an appropriate public 
        announcement. 
           (b) Computations required by the provisions of subdivision 
        1, paragraph (4), shall be made by the commissioner, in 
        accordance with regulations prescribed by the United States 
        Secretary of Labor. 
           Subd. 7.  [EFFECT OF FEDERAL LAW.] If This section is 
        enacted to conform to the requirements of United States Code, 
        title 26, section 3304, the Federal-State Extended Unemployment 
        Compensation Act of 1970 is as amended so as to authorize this 
        state to pay benefits for an extended benefit period in a manner 
        other than that currently provided by this section, then, and in 
        such case, all the terms and conditions contained in the amended 
        provisions of such federal law shall become a part of this 
        section to the extent necessary to authorize the payment of 
        benefits to eligible individuals as permitted under such amended 
        provision, provided that the federal share continues to be at 
        least 50 percent of the extended benefits paid to individuals 
        under the extended benefit program.  The commissioner shall also 
        pay benefits at the earliest possible date in the manner allowed 
        by the Federal-State Unemployment Compensation Act of 1970, as 
        amended through January 1, 1975, the provisions of which shall 
        become a part of this section to the extent necessary to 
        authorize the payment of benefits to eligible individuals and 
        the applicable federal regulations. 
           Subd. 8.  [INTERSTATE CLAIMS CLAIMANTS.] An individual A 
        claimant residing in a state other than Minnesota shall not be 
        eligible for only the first two weeks of extended benefits for 
        any week if:  
           (a) Extended benefits are payable for that week pursuant to 
        an interstate claim filed in any state under the claimant's 
        benefit account was established pursuant to the interstate 
        benefit payment plan; and 
           (b) no extended benefit period is in effect for the week in 
        that state.  This subdivision shall not apply to the first two 
        weeks for which extended benefits are payable pursuant to an 
        interstate claim filed under the interstate benefit payment plan 
        to the individual from the extended benefit account established 
        for the individual with respect to the benefit year.  
           Subd. 9.  [ELIGIBILITY REQUIREMENTS DENIAL 
        PROVISIONS.] Notwithstanding the provisions of subdivision 
        2, (a) A claimant shall be ineligible for the payment of denied 
        extended benefits for any week in the claimant's eligibility 
        period if during that week the claimant failed to accept any 
        offer of suitable employment, failed to apply for any suitable 
        employment to which that the claimant was referred to by the 
        commissioner, or failed to actively seek suitable employment.  
           Any claimant who has been found ineligible for extended 
        benefits for any week by reason of this subdivision The denial 
        shall also be denied benefits continue until the claimant has 
        been employed in covered employment in each of four subsequent 
        weeks, whether or not consecutive, and has earned remuneration 
        had earnings from that covered employment of not less than four 
        times the claimant's extended weekly benefit amount. 
           (b) For the purpose of this subdivision "suitable 
        employment" means any employment which that is within the 
        claimant's capabilities and which that has a gross average 
        weekly remuneration payable which wage that exceeds the sum of 
        the claimant's weekly benefit amount as determined under 
        subdivision 4 plus the amount, if any, of supplemental 
        reemployment insurance benefits, as defined in section 501(c) 
        (17) (D) of the Internal Revenue Code of 1954, as amended, 
        payable to the claimant for that week.  The employment must pay 
        wages not less than the higher of the federal minimum wage 
        without regard to any exemption, or the applicable state minimum 
        wage.  
           (c) No claimant shall be denied extended benefits for 
        failure to accept an offer of or apply for any suitable 
        employment if:  
           (a) (1) the position was not offered to the claimant in 
        writing or; 
           (2) the position was not listed with employment the job 
        service; 
           (b) the failure could not result in a denial of benefits 
        under the definition of suitable employment for regular benefit 
        claimants in section 268.095 to the extent that the criteria of 
        suitability is not inconsistent with this subdivision; or 
           (c) (3) the claimant furnishes satisfactory evidence to the 
        commissioner that prospects for obtaining employment in the 
        claimant's customary occupation within a reasonably short period 
        are good.  If the evidence furnished is found to be satisfactory 
        for this purpose, the determination of whether any employment is 
        suitable for the claimant shall be made in accordance with the 
        definition of suitable employment in section 268.095, 
        subdivision 9, paragraph (a), without regard to the definition 
        or special disqualification specified in this 
        subdivision 268.035, subdivision 23a.  
           No employment shall be found to be suitable employment for 
        a claimant which would not be suitable employment under section 
        268.095, subdivision 9, paragraph (b).  
           (d) For the purpose of this subdivision a claimant is 
        "actively seeking suitable employment" during any week only if 
        the claimant has engaged in a systematic and sustained effort to 
        obtain employment during the week, and the claimant furnishes 
        tangible evidence of engaging in that effort during the week.  
           Subd. 10.  [JOB SERVICE REFERRAL.] The employment job 
        service shall refer any claimant entitled to who is filing 
        continued requests for extended benefits under this section to 
        any employment which that is suitable employment for that 
        claimant under this subdivision 9. 
           Sec. 49.  Minnesota Statutes 1998, section 268.125, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [ADDITIONAL BENEFITS; WHEN AVAILABLE.] 
        Additional reemployment insurance benefits are authorized 
        available if: 
           (1) at a facility that had 100 or more employees for at 
        least six months during the prior 12 months, the employer 
        reduced operations, resulting within a one-month period in the 
        layoff of 50 percent or more of the facility's work force 
        amounting to 50 or more employees, including reductions caused 
        as a result of a major natural disaster declared by the 
        president; 
           (2) the employer has no expressed plan to resume operations 
        that would lead to the reemployment of those employees at any 
        time in the immediate future; and 
           (3) the seasonally adjusted unemployment rate in the county 
        that the facility is located was ten percent or more during the 
        month of the reduction or any of the three months before or 
        after the month of the reduction. 
           Sec. 50.  Minnesota Statutes 1998, section 268.125, 
        subdivision 4, is amended to read: 
           Subd. 4.  [WEEKLY BENEFIT AMOUNT.] A claimant's weekly 
        additional benefit amount shall be the same as the claimant's 
        weekly benefit amount during the current benefit year under 
        section 268.07. 
           Sec. 51.  Minnesota Statutes 1998, section 268.125, 
        subdivision 5, is amended to read: 
           Subd. 5.  [MAXIMUM AMOUNT OF BENEFITS PAYABLE.] The maximum 
        amount of additional benefits payable available in the 
        claimant's benefit year shall be 13 times one half of the 
        claimant's weekly benefit maximum amount of regular benefits 
        available under section 268.07, subdivision 2.  Extended 
        benefits paid and benefits paid to a claimant under any state or 
        federal law other than regular benefits under section 268.07 
        shall be deducted from the maximum amount of additional benefits 
        available. 
           Sec. 52.  Minnesota Statutes 1998, section 268.135, is 
        amended to read: 
           268.135 [SHARED WORK PLAN.] 
           Subdivision 1.  [SHARED WORK PLAN; DEFINITIONS.] For 
        purposes of this section, the following terms have the meanings 
        given: 
           (a) (1) "Affected employee" means an individual employee 
        who was continuously employed as a member of the affected group, 
        by the shared work employer, for at least six months prior to 
        application, on a full-time basis, prior to submission of the 
        shared work plan. 
           (b) (2) "Affected group" means five or more employees 
        designated by the employer to participate in a shared work plan. 
           (c) "Shared work employer" means an employer with a shared 
        work plan in effect. 
           (d) (3) "Shared work plan" or "plan" means an employer's 
        voluntary, written plan for reducing unemployment, under which a 
        specified group of employees shares the work remaining after 
        their whose normal weekly hours of work are reduced, in order to 
        prevent employees from being laid off due to lack of work. 
           (e) "Approved shared work plan" or "approved plan" means an 
        employer's shared work plan which meets the requirement of this 
        section. 
           (f) (4) "Normal weekly hours of work" means the number of 
        hours in a week that the employee normally would work for the 
        shared work employer or 40 hours, whichever is less. 
           Subd. 2.  [PARTICIPATION.] (a) An employer wishing to 
        participate in the shared work unemployment benefit program 
        shall submit a signed, written shared work plan to the 
        commissioner for approval.  The commissioner may give written 
        approval of approve a shared work plan only if it: 
           (1) specifies the employees in the affected group; 
           (2) applies to only one affected group; 
           (3) includes a certified statement by the employer that 
        each individual employee specified in the affected group is an 
        affected employee; 
           (4) includes a certified statement by the employer that for 
        the duration of the plan the reduction in normal weekly hours of 
        work of the employees in the affected group is instead of 
        layoffs which that otherwise would result in at least at as 
        large a reduction in the total normal weekly hours of work; 
           (5) specifies an expiration date which that is no more than 
        one year from the date the employer submits the plan for 
        approval; 
           (6) specifies that fringe benefits, such as health and 
        retirement, available to the employees in the affected group are 
        not reduced beyond the percentage of reduction in hours of work; 
        and 
           (7) is approved in writing by the collective bargaining 
        agent for each collective bargaining agreement which that covers 
        any employee in the affected group. 
           (b) The commissioner shall establish set the beginning and 
        ending dates of an approved shared work plan. 
           (c) The commissioner shall approve or disapprove mail to 
        the employer a written determination approving or disapproving 
        the plan within 15 calendar days of its receipt.  The 
        commissioner shall notify the employer of the reasons for 
        disapproval of a shared work plan within ten days of the 
        determination.  Determinations of the commissioner are final. 
           (d) Disapproval of a plan may be reconsidered upon 
        application of the employer or at the discretion of the 
        commissioner.  Approval of a shared work plan may be revoked by 
        the commissioner when it is established that if the approval was 
        based, in whole or in part, upon information in the plan which 
        is either that was false or substantially misleading. 
           Subd. 3.  [ELIGIBILITY.] (a) Notwithstanding Regardless of 
        any other provision of this chapter, an individual a claimant is 
        unemployed and eligible to receive shared work benefits with 
        respect to any week if the commissioner finds that: 
           (1) during the week the individual claimant is employed as 
        a member of an affected group in an approved a plan which that 
        was approved prior to the week and is in effect for the week; 
        and 
           (2) during the week the individual's normal weekly hours of 
        work were reduced, in accordance with an approved the plan, at 
        least 20 percent but not more than 40 percent, with a 
        corresponding reduction in wages. 
           (b) Shared work benefits shall not be paid to an eligible 
        individual a claimant beyond one benefit year under an approved 
        plan or modification of an approved plan. 
           (c) The total amount of regular benefits and shared work 
        benefits paid to an individual a claimant in a benefit year 
        shall not exceed the maximum benefit amount established of 
        regular benefits available. 
           (d) An otherwise eligible individual claimant shall not be 
        denied shared work benefits under this section because of the 
        application of any provision of this chapter relating to 
        availability for work employment, active search for work 
        employment, or refusal to apply for or accept work suitable 
        employment from other than the individual's claimant's shared 
        work employer. 
           Subd. 4.  [WEEKLY BENEFIT AMOUNT.] (a) An individual A 
        claimant who is eligible for shared work benefits under this 
        section shall be paid, with respect to any week of unemployment, 
        a weekly shared work reemployment insurance benefits amount.  
        The an amount shall be equal to the individual's regular weekly 
        benefit amount multiplied by the nearest full percentage of 
        reduction of the individual's claimant's regular weekly hours of 
        work as set forth in the employer's plan.  The benefit payment, 
        if not a multiple of $1 whole dollar shall be rounded to the 
        next lower dollar. 
           (b) The deductible earnings provisions of section 268.085, 
        subdivision 5, shall not apply to earnings from the shared work 
        employer of an individual a claimant eligible for payments under 
        this section shared work benefits unless the resulting payment 
        amount would be less than the regular weekly benefit payment for 
        which amount the individual claimant would otherwise be eligible 
        for without regard to shared work reemployment insurance 
        benefits. 
           (c) An individual A claimant shall not be eligible for 
        shared work benefits payable under this section for any week in 
        which paid work that employment is performed for the shared work 
        employer in excess of the reduced hours set forth in 
        the approved plan. 
           Sec. 53.  Minnesota Statutes 1998, section 268.145, is 
        amended to read: 
           268.145 [INCOME TAX WITHHOLDING.] 
           Subdivision 1.  [NOTIFICATION.] (a) Upon filing an 
        application for a reemployment insurance account benefits, the 
        claimant shall be informed that: 
           (1) reemployment insurance benefits are subject to federal 
        and state income tax; 
           (2) there are requirements for filing estimated tax 
        payments; 
           (3) the claimant may elect to have federal income tax 
        withheld from benefits; 
           (4) if the claimant elects to have federal income tax 
        withheld, the claimant may, in addition, elect to have Minnesota 
        state income tax withheld; and 
           (5) at any time during the benefit year the claimant may 
        change a prior election. 
           (b) If a claimant elects to have federal income tax 
        withheld, the commissioner shall deduct that percentage required 
        by the Internal Revenue Code 15 percent for federal income tax, 
        rounded to the nearest whole dollar.  If a claimant, in addition 
        to federal income tax withholding, also elects to have Minnesota 
        state income tax withheld, the commissioner shall make an 
        additional five percent deduction for Minnesota state income 
        tax.  Any amounts deducted or offset pursuant to sections 
        268.155, 268.156, 268.18, 268.182, and 268.184 have priority 
        over any amounts deducted under this section.  Federal income 
        tax withholding has priority over Minnesota state income tax 
        withholding. 
           (c) An election to have federal income tax, or federal and 
        Minnesota state income tax, withheld shall not be retroactive 
        and shall only apply to benefits paid after the election. 
           Subd. 2.  [TRANSFER OF FUNDS.] The amount of any benefits 
        deducted under this section shall remain in the Minnesota 
        reemployment insurance fund until transferred to the federal 
        Internal Revenue Service, or the Minnesota department of 
        revenue, as an income tax payment on behalf of the claimant. 
           Subd. 3.  [CORRECTION OF ERRORS.] Any error which that 
        resulted in underwithholding or overwithholding under this 
        section shall not be corrected retroactively. 
           Subd. 4.  [FEDERAL REQUIREMENT.] The commissioner shall 
        follow all federal requirements for the deduction and 
        withholding of federal and Minnesota state income tax from 
        reemployment insurance benefits. 
           Subd. 5.  [APPLICATION EFFECT OF PAYMENTS.] This section 
        applies to any payments under federal or state law as 
        compensation, assistance, or allowance with respect to 
        unemployment.  Any amount deducted under this section shall be 
        considered as benefits paid to the claimant. 
           Sec. 54.  Minnesota Statutes 1998, section 268.155, is 
        amended to read: 
           268.155 [CHILD SUPPORT INTERCEPT OF UNEMPLOYMENT DEDUCTED 
        FROM BENEFITS.] 
           Subdivision 1.  [DEFINITIONS.] As used in this section 
        unless the context clearly requires otherwise:  
           (a) "Reemployment insurance" means any compensation payable 
        under this chapter including amounts payable by the commissioner 
        pursuant to an agreement under any federal law providing for 
        compensation, assistance, or allowance with respect to 
        unemployment; 
           (b) (1) "Child support obligations" means obligations which 
        that are being enforced by the public agency responsible for a 
        child support enforcement agency pursuant to a plan described in 
        United States Code, title 42, section 454, of the Social 
        Security Act which that has been approved by the secretary of 
        health and human services under part D of title IV of the Social 
        Security Act.  This shall not include any type of spousal 
        maintenance or foster care payments; and 
           (c) (2) "Child support agency" means the public agency 
        responsible for child support enforcement pursuant to a plan 
        described in section 454 of the Social Security Act.  
           Subd. 2.  [NOTICE OF CLAIM UPON APPLICATION.] Upon In an 
        application for a reemployment insurance account benefits, the 
        claimant shall disclose whether or not the claimant owes if 
        child support obligations are owed and, if so, in what state and 
        county.  If the claimant discloses that the claimant owes child 
        support obligations are owed, and establishes a reemployment 
        insurance account, the commissioner shall, if the claimant 
        establishes a benefit account, notify the child support agency 
        that the claimant has established a reemployment insurance 
        account. 
           Subd. 3.  [WITHHOLDING OF BENEFITS.] The commissioner shall 
        deduct and withhold from any reemployment insurance benefits 
        payable to a claimant that who owes child support obligations: 
           (a) The amount specified by the claimant to the 
        commissioner to be deducted and withheld under this section, if 
        neither clause (b) or (c) is applicable; or 
           (b) (1) the amount required pursuant to a proper order of a 
        court or administrative agency; or 
           (2) if clause (1) is not applicable, the amount determined 
        pursuant to an agreement submitted to the commissioner under 
        United States Code, title 42, section 454 (20) (B) (i), of the 
        Social Security Act by the child support agency, unless (c) is 
        applicable; or 
           (c) Any amount otherwise required to be so deducted and 
        withheld from the unemployment compensation pursuant to "legal 
        process" as defined in section 462(e) of the Social Security 
        Act, properly served upon the commissioner.  (3) if clause (1) 
        or (2) is not applicable, the amount specified by the claimant. 
           Subd. 4.  [PAYMENT BY THE COMMISSIONER.] Any amount 
        deducted and withheld under subdivision 3 shall be paid by the 
        commissioner to the public agency responsible for child support 
        enforcement. agency, 
           Subd. 5.  [EFFECT OF PAYMENTS.] Any amount deducted and 
        withheld under subdivision 3 but shall for all purposes be 
        treated as if it were paid to the claimant as reemployment 
        insurance benefits and paid by the claimant to the public agency 
        responsible for child support enforcement agency in satisfaction 
        of the claimant's child support obligations. 
           Subd. 6 5.  [REIMBURSEMENT PAYMENT OF COSTS.] Appropriate 
        arrangements shall be made for reimbursement by The child 
        support agency for shall pay the administrative costs incurred 
        by the commissioner under in the implementation and 
        administration of this subdivision section and sections 518.551 
        and 518.6111 which are attributable to child support obligations 
        being enforced by the public agency responsible for child 
        support enforcement. 
           Sec. 55.  Minnesota Statutes 1998, section 268.18, is 
        amended to read: 
           268.18 [BENEFIT OVERPAYMENTS.] 
           Subdivision 1.  [ERRONEOUS PAYMENTS OVERPAYMENT DUE TO 
        ERROR.] (a) Any claimant who, (1) by reason of the claimant's 
        own mistake, or through the (2) because of an error of by any 
        individual engaged in the administration of this 
        chapter employee of the department, or (3) because of a 
        determination, redetermination, or amended determination issued 
        pursuant to section 268.07 or 268.101, or (4) because of an 
        appeal decision under section 268.105, has received any benefits 
        that the claimant was not entitled to, shall promptly repay the 
        benefits to the department fund.  If the claimant fails to repay 
        the benefits, the commissioner shall, as soon as the erroneous 
        payment is discovered, determine the amount due and notify the 
        claimant in writing to repay the benefits. 
           (b) Unless the claimant files an appeal within 30 calendar 
        days after the mailing of the determination of overpayment to 
        the claimant's last known address, the determination shall 
        become final.  Proceedings on the appeal shall be conducted in 
        accordance with section 268.105.  A claimant may not 
        collaterally attack, by way of an appeal to an overpayment 
        determination, any prior determination issued pursuant to 
        section 268.07 or 268.101, or decision issued pursuant to 
        section 268.105, that has become final. 
           (c) If the claimant fails to repay the benefits, the 
        commissioner may deduct offset from any future benefits 
        otherwise payable to the claimant in the current or any 
        subsequent benefit year the amount of the overpayment,.  Except 
        that when the overpayment resulted because the claimant failed 
        to report deductible earnings or deductible payments, no 
        single deduction under this subdivision offset shall exceed 50 
        percent of the amount of the payment from which the deduction 
        offset is made, or.  The overpayment may also be collected by 
        the same methods as delinquent taxes.  A determination of 
        overpayment shall state the methods of collection the 
        commissioner may use to recover the overpayment.  
           (d) If a claimant has been overpaid benefits under the law 
        of another state because of an error and that state certifies to 
        the commissioner that the claimant is liable under its law to 
        repay the benefits and requests the commissioner to recover the 
        overpayment, the commissioner may deduct offset from future 
        benefits otherwise payable to the claimant in the current or any 
        subsequent benefit year the amount of overpayment, except that 
        no single deduction under this subdivision offset shall exceed 
        50 percent of the amount of the payment from which the deduction 
        offset is made.  
           (e) Benefits paid for weeks more than three years prior to 
        the discovery of error are not erroneous payments overpaid 
        benefits. 
           Subd. 2.  [OVERPAYMENT DUE TO FRAUD.] (a) Any claimant who 
        receives benefits by knowingly and willfully intentionally 
        misrepresenting, misstating, or failing to disclose any material 
        fact that would have made the claimant not entitled to those 
        benefits has committed fraud.  After the discovery of facts 
        indicating fraud, the commissioner shall make a written 
        determination that the claimant was not entitled to benefits 
        that were obtained benefits by fraud and that the claimant must 
        promptly repay the benefits to the department fund.  In 
        addition, the commissioner shall assess a penalty equal to 25 
        percent of the amount fraudulently obtained.  If the claimant 
        had a prior overpayment due to fraud, the commissioner shall, on 
        the present overpayment, assess a penalty equal to 50 percent of 
        the amount fraudulently obtained. 
           (b) Unless the claimant files an appeal within 30 calendar 
        days after the mailing of the determination of overpayment by 
        fraud to the claimant's last known address, the determination 
        shall become final.  Proceedings on the appeal shall be 
        conducted in accordance with section 268.105.  
           (c) If the claimant fails to repay the benefits, penalty, 
        and any interest assessed under subdivision 2b, the commissioner 
        shall deduct offset from future benefits otherwise payable to 
        the claimant in the current or any subsequent benefit year the 
        amount of overpayment or.  The total due may also be collected 
        by the same methods as delinquent taxes.  A determination of 
        overpayment by fraud shall state the methods of collection the 
        commissioner may use to recover the overpayment.  Money received 
        in repayment of fraudulently obtained benefits, penalties, and 
        interest shall first be applied to the benefits overpaid, then 
        to the penalty amount due, then to any interest due.  Payments 
        made toward penalty and interest shall be credited to the 
        contingent account. 
           (d) If a claimant has been overpaid benefits under the law 
        of another state because of fraud and that state certifies to 
        the commissioner that the claimant is liable to repay the 
        benefits and requests the commissioner to recover the 
        overpayment, the commissioner may deduct offset from future 
        benefits otherwise payable to the claimant in the current or any 
        subsequent benefit year the amount of overpayment.  
           (e) A determination of overpayment by fraud may be made at 
        any time.  
           Subd. 2b.  [INTEREST.] (a) Beginning January 1, 2002, on 
        any benefits fraudulently obtained, as determined and any 
        penalty amounts assessed under subdivision 2, the commissioner 
        shall have the discretion to assess interest at the rate of 
        1-1/2 percent per month on any overpaid amount that remains 
        unpaid 30 calendar days after the date of the determination of 
        overpayment by fraud.  A determination of overpayment by fraud 
        shall state that interest may shall be assessed. 
           (b) If this subdivision became effective after the date of 
        the determination of overpayment by fraud, or the determination 
        did not state that interest may shall be assessed, interest 
        pursuant to this subdivision may shall be assessed beginning 30 
        calendar days after written notification to the claimant. 
           Subd. 3a.  [OFFSET OF FEDERAL BENEFITS.] The commissioner 
        is authorized to enter into reciprocal agreements with the 
        United States Secretary of Labor, whereby, overpayments of 
        benefits as determined under federal law, with respect to 
        benefits under a federal program administered by Minnesota, may 
        be recovered by offset from benefits otherwise payable under 
        this chapter or any federal program.  As provided by reciprocal 
        agreement, and benefit overpayments under subdivisions 1 and 2 
        may be recovered by offset from benefits otherwise payable under 
        a federal program. 
           Subd. 4.  [CANCELLATION OF BENEFITS PAID THROUGH ERROR OR 
        FRAUD OVERPAYMENTS.] (a) If benefits paid through because of an 
        error are not repaid or deducted offset from subsequent benefits 
        as provided for in subdivision 1 within six years after the date 
        of the determination of overpayment, the commissioner shall 
        cancel the overpayment balance, and no administrative or legal 
        proceedings shall be used to enforce collection of those amounts.
           (b) If benefits paid as a result of fraud including 
        penalties and interest are not repaid or deducted offset from 
        subsequent benefits as provided for in subdivision 2 within ten 
        years after the date of the determination of overpayment by 
        fraud, the commissioner shall cancel the overpayment balance and 
        any penalties and interest due, and no administrative or legal 
        proceeding shall be used to enforce collection of those amounts. 
           (c) The commissioner may cancel at any time benefits paid 
        through error or fraud any overpayment, including penalties and 
        interest, that the commissioner determines are is uncollectible 
        due to death or bankruptcy. 
           Subd. 4a.  [COURT FEES.] (a) If the commissioner is 
        required to pay any court fees in an attempt to enforce 
        collection of overpaid benefits, penalties, or interest, the 
        commissioner may add the amount of the court fees to the total 
        amount due. 
           (b) If a claimant who has been determined overpaid benefits 
        because of fraud seeks to have any portion of the debt 
        discharged under the federal bankruptcy code, and the 
        commissioner files an objection in bankruptcy court to the 
        discharge, the commissioner may add the commissioner's cost of 
        any court fees to the debt if the bankruptcy court does not 
        discharge the debt. 
           Subd. 5.  [REMEDIES.] (a) Any method undertaken to recover 
        an overpayment of benefits, including any penalties and 
        interest, shall not be considered an election of a method of 
        recovery.  
           (b) Intervention or lack thereof, in whole or in part, in a 
        workers' compensation matter under section 176.361 shall not be 
        considered an election of a remedy and shall not prevent the 
        commissioner from determining any benefits overpaid under 
        subdivision 1 or 2 or taking action under section 268.182.  
           Subd. 6.  [COLLECTION OF OVERPAYMENTS.] (a) The 
        commissioner may not compromise the amount that has been 
        determined overpaid under this section including penalties and 
        interest.  
           (b) The commissioner shall have discretion regarding the 
        use of any method of recovery of any overpayment under 
        subdivision 1.  Regardless of any law to the contrary, the 
        commissioner shall not be required to refer any amount 
        determined overpaid under subdivision 1 to a public or private 
        collection agency, including agencies of this state.  
           (c) Amounts determined overpaid under subdivision 1 shall 
        not be considered a "debt" to the state of Minnesota for 
        purposes of any reporting requirements to the commissioner of 
        finance. 
           (d) A pending appeal under section 268.105 shall not toll 
        the assessment of interest, penalties, or collection of an 
        overpayment under this section. 
           Sec. 56.  Minnesota Statutes 1998, section 268.182, is 
        amended to read: 
           268.182 [FALSE REPRESENTATIONS; CONCEALMENT OF FACTS; 
        PENALTY.] 
           (a) Whoever obtains, or attempts to obtain, or aids or 
        abets any individual to obtain by means of an intentional false 
        statement or representation, by intentional concealment of a 
        material fact, or by impersonation or other fraudulent means, 
        benefits that the individual is not entitled or benefits greater 
        than the individual is entitled under this chapter, or under the 
        law of any state or of the federal government, either personally 
        or for any other individual, is guilty of theft and shall be 
        sentenced pursuant to section 609.52.  
           (b) Any individual who violates paragraph (a) intentionally 
        makes a false statement or representation, who intentionally 
        fails to disclose a material fact, or who makes a false 
        statement or representation without a good faith belief as to 
        the correctness of the statement or representation, in order to 
        obtain or in an attempt to obtain benefits may be assessed an 
        administrative penalty of denial of benefits for one to 52 weeks 
        that the individual would otherwise be entitled to benefits.  A 
        denial shall not apply to any week more than two years after the 
        week that the violation of paragraph (a) penalty was 
        determined.  A written determination of denial shall be mailed 
        to the individual's last known address.  Unless an appeal is 
        filed within 30 calendar days of mailing, the determination 
        shall be final.  Proceeding on the appeal shall be conducted in 
        accordance with section 268.105.  This paragraph shall not apply 
        if prosecution is commenced under paragraph (a) or a penalty is 
        imposed under section 268.18, subdivision 2. 
           (c) Any employer or any officer or agent of an employer or 
        any other person individual who makes a false statement or 
        representation knowing it to be false, or who knowingly fails to 
        disclose a material fact, to prevent or reduce the payment of 
        benefits to any claimant, is guilty of a gross misdemeanor 
        unless the benefit underpayment exceeds $500, in that case 
        the person individual is guilty of a felony.  
           Sec. 57.  Minnesota Statutes 1998, section 268.186, is 
        amended to read: 
           268.186 [RECORDS.] 
           (a) Each employer shall keep true and accurate records for 
        the periods of time and containing the information the 
        commissioner may require.  For the purpose of determining 
        compliance with this chapter, or for the purpose of collection 
        of any amounts due under administering this chapter, the 
        commissioner or any delegated representative has the power to 
        examine, or cause to be examined supplied or copied, any books, 
        correspondence, papers, records, or memoranda which that are 
        relevant to making these determinations, whether the books, 
        correspondence, papers, records, or memoranda are the property 
        of or in the possession of the employer or any other person or 
        corporation at any reasonable time and as often as may be 
        necessary. 
           (b) The commissioner or any delegated representative may 
        make summaries, compilations, photographs, duplications, or 
        reproductions of any records, or reports that the commissioner 
        considers advisable for the effective and economical 
        preservation of the information contained therein, and.  Any 
        summaries, compilations, photographs, duplications, or 
        reproductions shall be admissible in any proceeding under this 
        chapter, if the original record or records would have been 
        admissible.  Notwithstanding Regardless of any restrictions 
        contained in section 16B.50, the commissioner is hereby 
        authorized to may duplicate records, reports, summaries, 
        compilations, instructions, determinations, or any other written 
        or recorded matter pertaining to the administration of the 
        Minnesota Economic Security Law this chapter. 
           (c) Notwithstanding Regardless of any inconsistent 
        provisions elsewhere law to the contrary, the commissioner may 
        provide for the destruction or disposition of any records, 
        reports, or reproductions thereof, or other papers in the 
        commissioner's custody, that are more than two years old, the 
        preservation of which is and that are no longer necessary for 
        determining employer liability or a claimant's benefit rights or 
        for any purpose necessary to the proper administration of this 
        chapter, including any required audit, provided that.  The 
        commissioner may provide for the destruction or disposition of 
        any record, report, or other paper in the commissioner's custody 
        which that has been photographed, duplicated, or reproduced. 
           Sec. 58.  Minnesota Statutes 1998, section 268.188, is 
        amended to read: 
           268.188 [SUBPOENAS; OATHS.] 
           (a) In the discharge of the duties imposed by sections 
        268.03 to 268.23, The commissioner or any delegated 
        representative, shall have power to administer oaths and 
        affirmations, take depositions, certify to official acts, and 
        issue subpoenas to compel the attendance of persons individuals 
        and the production of books, papers, correspondence, memoranda, 
        documents and other records personal property necessary in 
        connection with the administration of these sections 268.03 to 
        268.23. 
           (b) Persons Individuals subpoenaed, other than claimants or 
        officers and employees of an employer that is the subject of the 
        inquiry, subpoenaed pursuant to this subdivision, shall be 
        allowed fees the same as witness fees in civil actions in 
        district court.  The fees need not be paid in advance. 
           (c) The subpoena shall be enforceable through the district 
        court in the district in which that the subpoena is issued. 
           Sec. 59.  Minnesota Statutes 1998, section 268.192, 
        subdivision 2, is amended to read: 
           Subd. 2.  [NO ASSIGNMENT OF BENEFITS; EXEMPTIONS.] Any 
        assignment, pledge, or encumbrance of any right to benefits 
        which are or may become due or payable under sections 268.03 to 
        268.23 shall be void; and such rights to.  Benefits shall be 
        exempt from levy, execution, attachment, or any other remedy 
        provided for the collection of debt; and benefits received by 
        any individual so long as they are not mingled with other funds 
        of the recipient shall be exempt from any remedy for the 
        collection of all debts, except debts incurred for necessaries 
        furnished to such individual or a spouse or dependents during 
        the time when such individual was unemployed.  Any waiver of any 
        exemption provided for in this subdivision shall be void. 
           Sec. 60.  Minnesota Statutes 1998, section 268.194, is 
        amended to read: 
           268.194 [REEMPLOYMENT INSURANCE TRUST FUND.] 
           Subdivision 1.  [ESTABLISHMENT; HOW CONSTITUTED.] There is 
        hereby established as a special state fund, separate and apart 
        from all other public money or funds of this state, a 
        reemployment insurance trust fund, which that shall be 
        administered by the commissioner exclusively for the purpose of 
        sections 268.03 to 268.23 payment of benefits.  This fund shall 
        consist of: 
           (1) all taxes collected under those sections; 
           (2) interest earned upon any money in the fund; 
           (3) Any property or securities acquired through the use of 
        money belonging to the fund payments in lieu of taxes paid by 
        nonprofit organizations and the state and political 
        subdivisions; 
           (4) All earnings of such property or securities voluntary 
        payments under section 268.051, subdivision 7; 
           (5) any money received from the Federal Unemployment 
        Account in as a loan from the federal unemployment trust fund in 
        accordance with Title XII United States Code, title 42, section 
        1321, of the Social Security Act, as amended, and; 
           (6) any other money made available to the fund and received 
        pursuant to an agreement, between this state and any agency of a 
        reciprocal benefit arrangement with the federal government or 
        any other state, for the payment of reemployment insurance 
        benefits; 
           (7) all money recovered on overpaid benefits; 
           (6) (8) all money recovered on losses sustained by the 
        fund; 
           (9) all money received from the contingent account under 
        section 268.196, subdivision 3; 
           (7) (10) all money credited to the account of this 
        state Minnesota in the federal unemployment trust fund pursuant 
        to United States Code, title 42, section 903 1103, of the Social 
        Security Act, as amended also known as the Reed Act; and 
           (8) (11) all money received for the fund from any other 
        source.  
           All money in the fund shall be mingled and undivided.  
           Subd. 2.  [COMMISSIONER OF FINANCE TO BE CUSTODIAN; 
        SEPARATE ACCOUNTS.] (a) The commissioner of finance shall be the 
        treasurer and custodian of the fund, administer the fund in 
        accordance with the directions of the commissioner, and issue 
        warrants upon it.  The commissioner of finance shall maintain 
        within the fund three separate accounts: 
           (1) a clearing account; 
           (2) an unemployment trust fund account; and 
           (3) a benefit payment account.  
           All money payable to the fund, upon receipt by the 
        commissioner, shall be forwarded to the commissioner of finance 
        who shall immediately deposit the money in the clearing 
        account.  All money in the clearing account, after clearance, 
        shall, except as otherwise provided, be immediately deposited to 
        the credit of the Minnesota's account of Minnesota in the 
        federal unemployment trust fund.  Tax refunds payable pursuant 
        to section 268.057 may be paid from the clearing account or the 
        benefit payment account.  
           (b) The benefit payment account shall consist of all money 
        requisitioned from Minnesota's account in the federal 
        unemployment trust fund for the payment of benefits.  Money in 
        the clearing and benefit payment accounts may be deposited by 
        the commissioner of finance, under the direction of the 
        commissioner, in any depository bank that general funds of 
        Minnesota may be deposited, but no public deposit insurance 
        charge or premium shall be paid out of the fund.  Money in the 
        clearing and benefit payment accounts shall not be commingled 
        with other state funds, but shall be maintained in separate 
        accounts on the books of the depository bank.  This money shall 
        be secured by the depository bank to the same extent and in the 
        same manner as required by the general depository law of 
        Minnesota; and collateral pledged for this purpose shall be kept 
        separate and distinct from any collateral pledged to secure 
        other funds of Minnesota.  All sums recovered for losses 
        sustained by the fund shall be deposited in the fund.  
           Subd. 3.  [WITHDRAWALS EXCLUSIVE USE.] (1) (a) Money 
        requisitioned from Minnesota's account in the federal 
        unemployment trust fund shall be used exclusively for the 
        payment of benefits and for tax refunds pursuant to section 
        268.057, except that money credited to Minnesota's account 
        pursuant to United States Code, title 42, section 1103 of the 
        Social Security Act, shall also known as the Reed Act, may be 
        used exclusively for the payment of expenses of administration.  
        The commissioner shall from time to time requisition from the 
        federal unemployment trust fund the amounts, not exceeding the 
        amount in Minnesota's account, the commissioner considers 
        necessary for the payment of benefits and tax refunds for a 
        reasonable future period.  Upon receipt the commissioner of 
        finance shall deposit the money in the benefit payment account 
        and issue warrants for the payment of benefits solely from the 
        benefit payment account.  
           (b) Expenditures of money in the benefit payment account 
        and tax refunds from the clearing account shall not be subject 
        to any provisions of law requiring specific appropriations or 
        other formal release by state officers.  
           (c) All warrants issued for the payment of benefits and tax 
        refunds shall bear the signature of the commissioner of finance 
        and the counter signature of the commissioner.  
           (2) Any balance of money requisitioned from the 
        unemployment trust fund that remains unclaimed or unpaid in the 
        benefit account after the expiration of the period for which the 
        sums were requisitioned shall either be deducted from estimates 
        for, and may be utilized for the payment of, benefits and 
        refunds during following periods or, in the discretion of the 
        commissioner, shall be redeposited in the federal unemployment 
        trust fund, as provided in subdivision 2. 
           Subd. 3a 4.  [REIMBURSEMENTS.] The commissioner is 
        authorized to make to other state or federal agencies and to 
        receive from other state or federal agencies, reimbursements 
        from or to the fund, in accordance with reciprocal arrangements 
        entered into pursuant to section 268.131. 
           Subd. 4.  [DISPOSAL OF CERTAIN MONEY.] Any Money made 
        available to the reemployment insurance fund and received 
        pursuant to an a reciprocal agreement between this state and any 
        agency of the federal government or any other state for the 
        payment of reemployment insurance benefits shall be placed 
        directly in the benefit payment account of the unemployment 
        trust fund.  
           Subd. 5.  [PAYMENT OF EXPENSES OF ADMINISTRATION REED ACT 
        MONEY.] (1) (a) Money credited to the account of this state 
        Minnesota in the federal unemployment trust fund by the 
        secretary of the treasury of the United States of America 
        pursuant to United States Code, title 42, section 903 1103, of 
        the Social Security Act, also known as amended the Reed Act, may 
        be requisitioned and used for (1) the payment of benefits, or (2)
        expenses incurred for the administration of Laws 1957, chapter 
        883 sections 268.03 to 268.23 pursuant to a specific 
        appropriation by the legislature,.  Any money used for the 
        payment of benefits may be restored for appropriation and use 
        for administrative expenses upon request of the governor to the 
        United States Secretary of Labor.  
           (b) Reed Act money may be used for expenses in the 
        administration of sections 268.03 to 268.23 provided that the 
        expenses are incurred and the money is requisitioned after the 
        enactment of an appropriation law which that: 
           (a) (1) specifies the amounts and the purposes for which 
        such the money is appropriated and the amounts appropriated 
        therefor.; 
           (b) (2) Limits the period within which such the money may 
        be obligated to a period ending not more than two years after 
        the date of the enactment of the appropriation law,; and 
           (c) (3) Limits the amount which that may be obligated 
        during any 12-month period beginning on July 1 and ending on the 
        next June 30 to an amount which that does not exceed the amount 
        by which (i) the aggregate of the amounts credited transferred 
        to the account of this state Minnesota pursuant to section 903 
        of the Social Security Reed Act, as amended, during the same 
        12-month period and the 34 preceding 12-month periods, exceeds 
        (ii) the aggregate of the amounts used pursuant to this 
        subdivision and charged against the amounts credited transferred 
        to the account of this state during any of such 35 12-month 
        periods Minnesota.  For the purposes of this subdivision, 
        amounts used during any such 12-month period shall be charged 
        against equivalent amounts which were first credited and which 
        are not already so charged; except that no amount obligated for 
        administration during any such 12-month period may be charged 
        against any amount credited during such a 12-month period 
        earlier than the 24th preceding such period for administration 
        shall be chargeable against the transferred amounts at the time 
        of the obligation.  
           (2) Money credited to the account of this state pursuant to 
        section 903 of the Social Security Act, as amended, may not be 
        withdrawn or used except for the payment of benefits and for the 
        payment of expenses for the administration of Laws 1957, chapter 
        883 and of public employment offices pursuant to this 
        subdivision.  Any moneys used for the payment of benefits may be 
        restored for appropriation and use for administrative expenses 
        upon request of the governor, under section 903(c) of the Social 
        Security Act.  
           (3) (c) Reed Act money requisitioned for the payment of 
        expenses of administration pursuant to this subdivision shall be 
        deposited in the economic security administration fund, but, 
        until expended, shall remain a part of the reemployment 
        insurance trust fund.  The commissioner shall maintain a 
        separate record of the deposit, obligation, expenditure, and 
        return of funds so deposited account for the use of this money 
        in accordance with the standards established by the United 
        States Secretary of Labor.  If any money so deposited is, for 
        any reason, not to be expended spent for the purpose for which 
        it was appropriated, or, if it remains unexpended unspent at the 
        end of the period specified by the law appropriating such the 
        money, it shall be withdrawn and returned to the secretary of 
        the treasury of the United States for credit to this state's 
        Minnesota's account in the federal unemployment trust fund.  
           Subd. 6.  [ADVANCE ON BORROWING FEDERAL FUNDS.] (a) The 
        governor is hereby authorized, if necessary, to make application 
        as may be necessary to secure an advance of borrow funds from 
        the federal unemployment trust fund in accordance with United 
        States Code, title 42, section 1321 of the Social Security 
        Act in order to pay benefits. 
           (b) Any amount transferred to the fund under the terms of 
        any application loan shall be repayable as provided in United 
        States Code, title 42, sections 1101(d)(1), 1103(b)(2), and 1322 
        of the Social Security Act. 
           (c) Interest payable on any advance loan shall be paid in 
        accordance with section 268.051, subdivision 8, paragraph (b). 
           Sec. 61.  Minnesota Statutes 1998, section 268.196, is 
        amended to read: 
           268.196 [ECONOMIC SECURITY ADMINISTRATION FUND ACCOUNT.] 
           Subdivision 1.  [ADMINISTRATION FUND ACCOUNT.] (a) There is 
        hereby created in the state treasury a special fund account to 
        be known as the economic security administration fund account.  
        All moneys which are money that is deposited or paid into this 
        fund account shall be continuously available to the commissioner 
        for expenditure in accordance with the provisions of to 
        administer sections 268.03 to 268.23, and shall not lapse at any 
        time.  The fund administration account shall consist of: 
           (1) all moneys money received from the United States or any 
        agency thereof, including the United States department of labor, 
        and include federal government to administer sections 268.03 to 
        268.23; 
           (2) any moneys money received from any agency of the United 
        States or any other state as compensation for services or 
        facilities supplied to such agency, the federal government or 
        any other state; 
           (3) any amounts received pursuant to any surety bond or 
        insurance policy or from other sources for losses sustained by 
        the economic security administration fund this account or by 
        reason of damage to equipment or supplies purchased from moneys 
        in such fund,; and 
           (4) any proceeds realized from the sale or disposition of 
        any such equipment or supplies which that may no longer be 
        necessary for the proper administration of those 
        sections.  Notwithstanding any provision of this section, all 
        money requisitioned and deposited in this fund pursuant to 
        section 268.194, subdivision 5, shall remain part of the 
        reemployment fund and shall be used only in accordance with the 
        conditions specified in section 268.194, subdivision 5. 
           (b) All moneys money in this fund account shall be 
        deposited, administered, and disbursed in the same manner and 
        under the same conditions and requirements as are provided by 
        law for the other special funds accounts in the state treasury.  
        The state commissioner of finance, as treasurer and custodian of 
        this account, shall be liable on the treasurer's official bond 
        for the faithful performance of duties in connection with the 
        economic security administration fund provided for under these 
        sections.  Such liability on the official bond shall be 
        effective immediately upon the enactment of this provision, and 
        such liability shall exist in addition to any liability upon any 
        separate bond existent on April 29, 1941, or which may be given 
        in the future.  All sums recovered on any surety bond for losses 
        sustained by the economic security administration fund shall be 
        deposited in this fund this account. 
           (c) All money in this fund, except money received pursuant 
        to section 268.194, subdivision 5, clause (3), account shall 
        be expended spent solely for the purposes and in the amounts 
        found necessary by the United States Secretary of Labor for the 
        proper and efficient administration of the economic security 
        program sections 268.03 to 268.23.  
           Subd. 2.  [STATE TO REPLACE MONEY WRONGFULLY USED.] If any 
        money received under United States Code, title 42, section 501 
        of the Social Security Act or the Wagner-Peyser Act, are found 
        by the United States Secretary of Labor, because of any action 
        or contingency, to have been lost or been expended spent for 
        purposes other than, or in amounts in excess of, those found 
        necessary by the secretary of labor for the proper 
        administration of these sections 268.03 to 268.23, the 
        commissioner may, with the approval of the commissioner of 
        administration, replace the money from the contingent account.  
        If the money is not replaced from the contingent account, it is 
        the policy of this state that the money be replaced by money 
        appropriated for that purpose from the general funds of this 
        state.  Upon receipt of a finding by the secretary of labor If 
        not replaced from the contingent account, the commissioner shall 
        promptly report the amount required for replacement to the 
        governor and the governor shall, at the earliest opportunity, 
        submit to the legislature a request for the appropriation of 
        that amount.  
           Subd. 3.  [CONTINGENT ACCOUNT.] (a) There is hereby created 
        in the state treasury a special account, to be known as the 
        economic security contingent account, which that shall not lapse 
        nor revert to any other fund.  Such This account shall consist 
        of all money appropriated therefor by the legislature, all money 
        in the form of interest and penalties collected pursuant to 
        sections 268.057 and, 268.18, and 268.184, all money received in 
        the form of voluntary contributions to this account, and any 
        interest thereon earned on the account.  All money in such this 
        account shall be supplemental to all federal money that would be 
        available to the commissioner but for the existence of this 
        account.  Moneys Money in this account are is hereby 
        appropriated to the commissioner and shall be available to the 
        commissioner for such those expenditures as the commissioner may 
        deem considers necessary in connection with the administration 
        of sections 268.04 268.03 to 268.23.  
           Whenever the commissioner expends spends money from 
        said the contingent account for the proper and efficient 
        administration of the Minnesota Economic Security Law sections 
        268.03 to 268.23 for which funds have not yet been money will 
        later be made available by the federal government, such money so 
        withdrawn from the contingent account shall, when money is 
        available, be replaced as hereinafter provided.  Upon the 
        deposit in reimbursed from the economic security administration 
        fund of moneys which are received in reimbursement of payments 
        made as above provided for said contingent account,.  The 
        commissioner shall certify to the state treasurer commissioner 
        of finance the amount of such the reimbursement and thereupon 
        the state treasurer commissioner of finance shall transfer such 
        that amount from the economic security administration fund 
        account to said the contingent account.  
           (c) All money in this account shall be deposited, 
        administered, and disbursed in the same manner and under the 
        same conditions and requirements as is provided by law for the 
        other special accounts in the state treasury.  The state 
        treasurer shall be liable on the treasurer's official bond for 
        the faithful performance of duties in connection with the 
        economic security contingent account provided for herein.  
        Notwithstanding anything to the contrary contained herein, On 
        June 30 of each year, except 1982, all amounts in excess of 
        $300,000 in this account shall be paid over to the reemployment 
        insurance trust fund established under section 268.194 and 
        administered in accordance with the provisions set forth therein.
           Sec. 62.  Minnesota Statutes 1998, section 268.198, is 
        amended to read: 
           268.198 [FREE EMPLOYMENT JOB SERVICE OFFICES.] 
           Subdivision 1.  [ACCEPTANCE OF FEDERAL ACT ESTABLISHMENT.] 
        A state employment service is hereby established in the 
        department.  The commissioner shall establish and maintain free 
        public employment job service offices, in that number and in 
        those places as may be necessary for the purpose of providing 
        reemployment assistance services to claimants, as well as 
        performing the functions within the purview of under the 
        Wagner-Peyser Act, United States Code, title 29, chapter 4B 
        section 49. 
           Subd. 2.  [FINANCING.] All moneys money received by this 
        state under such the Wagner-Peyser Act of Congress referred to 
        in subdivision 1 shall be paid into the economic security 
        administration fund, account and expended solely for the 
        maintenance of state public employment job service offices.  For 
        the purpose of establishing and maintaining free public 
        employment job service offices and promoting the use of their 
        facilities, the commissioner is authorized to enter into 
        agreements with the railroad retirement board or any other 
        public agency of the United States or of this or any other state 
        charged with the administration of any law whose purposes are 
        reasonably related to the purposes of sections 268.03 to 268.23 
        the job service. 
           Subd. 3.  [VETERANS REPRESENTATIVES.] As may be determined 
        by the commissioner, based on a demonstrated need for the 
        service, There shall be assigned by the commissioner to the 
        staff of each full functioning employment the job service office 
        a veterans employment representative whose activities one or 
        more employees of the department who shall be devoted to 
        discharging perform the duties prescribed of a veterans 
        employment representative.  The position of veterans employment 
        representative shall be filled by one or more employees of the 
        department who are veterans as defined in section 197.447. 
           Sec. 63.  Minnesota Statutes 1998, section 268.21, is 
        amended to read: 
           268.21 [NONLIABILITY OF STATE.] 
           (a) Benefits shall be considered to be due and payable only 
        to the extent provided in this chapter and to the extent that 
        money is available in the reemployment insurance fund and 
        neither the state nor the commissioner shall be liable for any 
        amount in excess of such sums the money available in the fund.  
           (b) No person shall make any demand, bring any suit, or 
        other proceeding to recover from the state or the commissioner 
        any sum alleged to be due on a reemployment insurance benefit 
        account after the expiration of two years from the effective 
        date of the reemployment insurance benefit account. 
           Sec. 64.  Minnesota Statutes 1998, section 268.23, is 
        amended to read: 
           268.23 [SEVERABLE.] 
           In the event that the United States Department of Labor 
        shall determine determines that any provision of sections 268.03 
        to 268.23, or any other provision of Minnesota Statutes relating 
        to the reemployment insurance program, is not in conformity with 
        various provisions of the Federal Internal Revenue Code or the 
        Social Security Act then such requirements of federal law, the 
        provision shall have no force or effect for any purpose; but if 
        any such only a portion of the provision, or the application 
        thereof to any person or circumstances, is held invalid not in 
        conformity, the remainder of said sections the provision and the 
        application of such the provision to other persons or 
        circumstances shall not be affected thereby. 
           Sec. 65.  Minnesota Statutes 1998, section 268.30, 
        subdivision 2, is amended to read: 
           Subd. 2.  [APPLICATIONS.] Applications for a grant-in-aid 
        shall be made by the administering agency to the commissioner.  
        The grant-in-aid is contingent upon the agency having obtained 
        from the community in which the youth intervention program is 
        established local matching money two times the amount of the 
        grant that is sought. 
           The commissioner shall provide by rule the application 
        form, procedures for making application form, criteria for 
        review of the application, and kinds of contributions in 
        addition to cash that qualify as local matching money.  No grant 
        to any agency may exceed $50,000. 
           Sec. 66.  [REVISOR'S INSTRUCTIONS.] 
           The revisor of statutes shall renumber each section of 
        Minnesota Statutes listed in column A with the number listed in 
        column B.  The revisor shall also make necessary cross-reference 
        changes.  
                  Column A                 Column B
                  268.182, paragraph (c)   268.184, paragraph (e)
                  268.095, subd. 9         268.035, subd. 23a
           The term "reemployment insurance account" shall be changed 
        to "benefit account" in Minnesota Statutes, sections 268.03 to 
        268.23.  
           The term "reemployment insurance fund" shall be changed to 
        "reemployment compensation trust fund" wherever it appears in 
        Minnesota Statutes.  
           The term "notwithstanding" shall be changed to "regardless 
        of" in Minnesota Statutes, sections 268.03 to 268.23. 
           The term "reemployment insurance" shall be changed to 
        "reemployment compensation" wherever it appears in Minnesota 
        Statutes. 
           The term "claimant" shall be changed to "applicant" in 
        Minnesota Statutes, sections 268.03 to 268.23.  
           The term "claimants" shall be changed to "applicants" in 
        Minnesota Statutes, sections 268.03 to 268.23.  
           The term "a claimant's" shall be changed to "an 
        applicant's" in Minnesota Statutes, sections 268.03 to 268.23.  
           Sec. 67.  [REPEALER.] 
           Minnesota Statutes 1998, sections 268.021; and 268.057, 
        subdivisions 8 and 9; and Minnesota Rules, parts 3305.0100; 
        3305.0200; 3305.0300; 3305.0400; 3305.0500; 3305.0600; 
        3305.0700; 3305.0800; 3305.0900; 3305.1100; 3310.1500; 
        3310.1600; 3310.1700; 3310.1800; 3310.1900; 3310.2000; 
        3310.2100; 3310.2200; 3310.5100; and 3310.5800, are repealed.  
           Sec. 68.  [EFFECTIVE DATE.] 
           Section 3 is effective with applications for benefits filed 
        on and after July 1, 2000. 
           Section 13 is effective January 1, 2000. 
           Section 27 is effective January 1, 2001.  
           Section 41, subdivision 2, is effective July 1, 2000. 
           Section 42, subdivisions 7 and 8, are effective the day 
        following final enactment.  
           Sec. 69.  [SUNSET.] 
           Section 22 expires July 1, 2002. 
           Presented to the governor April 23, 1999 
           Signed by the governor April 27, 1999, 11:18 a.m.

700 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, MN 55155 ♦ Phone: (651) 296-2868 ♦ TTY: 1-800-627-3529 ♦ Fax: (651) 296-0569