1998 Minnesota Statutes

     518.641 Cost-of-living adjustments in maintenance or 
  child support order. 

    Subdivision 1.    Requirement.  An order for maintenance 
 or child support shall provide for a biennial adjustment in the 
 amount to be paid based on a change in the cost of living.  An 
 order that provides for a cost-of-living adjustment shall 
 specify the cost-of-living index to be applied and the date on 
 which the cost-of-living adjustment shall become effective.  The 
 court may use the consumer price index for all urban consumers, 
 Minneapolis-St. Paul (CPI-U), the consumer price index for wage 
 earners and clerical, Minneapolis-St. Paul (CPI-W), or another 
 cost-of-living index published by the department of labor which 
 it specifically finds is more appropriate.  Cost-of-living 
 increases under this section shall be compounded.  The court may 
 also increase the amount by more than the cost-of-living 
 adjustment by agreement of the parties or by making further 
 findings.  The adjustment becomes effective on the first of May 
 of the year in which it is made, for cases in which payment is 
 made to the public authority.  For cases in which payment is not 
 made to the public authority, application for an adjustment may 
 be made in any month but no application for an adjustment may be 
 made sooner than two years after the date of the dissolution 
 decree.  A court may waive the requirement of the cost-of-living 
 clause if it expressly finds that the obligor's occupation or 
 income, or both, does not provide for cost-of-living adjustment 
 or that the order for maintenance or child support has a 
 provision such as a step increase that has the effect of a 
 cost-of-living clause.  The court may waive a cost-of-living 
 adjustment in a maintenance order if the parties so agree in 
 writing.  The commissioner of human services may promulgate 
 rules for child support adjustments under this section in 
 accordance with the rulemaking provisions of chapter 14.  Notice 
 of this statute must comply with section 518.68, subdivision 2. 

    Subd. 2.    Conditions.  No adjustment under this 
 section may be made unless the order provides for it and until 
 the following conditions are met:  

    (a) the obligee serves notice of the application for 
 adjustment by mail on the obligor at the obligor's last known 
 address at least 20 days before the effective date of the 
 adjustment; 

    (b) the notice to the obligor informs the obligor of the 
 date on which the adjustment in payments will become effective; 

    (c) after receipt of notice and before the effective day of 
 the adjustment, the obligor fails to request a hearing on the 
 issue of whether the adjustment should take effect, and ex 
 parte, to stay imposition of the adjustment pending outcome of 
 the hearing; or 

    (d) the public authority sends notice of its application 
 for adjustment to the obligor at the obligor's last known 
 address at least 20 days before the effective date of the 
 adjustment, and the notice informs the obligor of the date on 
 which the adjustment will become effective and the procedures 
 for contesting the adjustment according to section 518.5512. 

    Subd. 3.    Result of hearing.  If, at a hearing 
 pursuant to this section, the obligor establishes an 
 insufficient cost of living or other increase in income that 
 prevents fulfillment of the adjusted maintenance or child 
 support obligation, the court may direct that all or part of the 
 adjustment not take effect.  If, at the hearing, the obligor 
 does not establish this insufficient increase in income, the 
 adjustment shall take effect as of the date it would have become 
 effective had no hearing been requested.  

    Subd. 4.    Form.  The department of human services 
 shall prepare and make available to the court and obligors a 
 form to be submitted to the department by the obligor in support 
 of a request for hearing under this section regarding a child 
 support order.  

    Subd. 5.    Request for cost-of-living clause.  A motion 
 for enforcement or modification of an existing maintenance or 
 child support order shall include a request for a cost-of-living 
 clause.  The court may deny the request only upon an express 
 finding that the obligor's occupation, income, or both, does not 
 provide for a cost-of-living adjustment or that the existing 
 maintenance or child support order either has a cost-of-living 
 clause or sets forth a step increase which has the effect of a 
 cost-of-living adjustment. 

    HIST: 1983 c 308 s 24; 1984 c 654 art 5 s 58; 1988 c 668 s 25; 
 1991 c 266 s 8,9; 1993 c 322 s 15; 1997 c 187 art 2 s 14; 1997 c 
 245 art 1 s 30