1.1                          A bill for an act 
  1.2             relating to reemployment insurance; making technical 
  1.3             and administrative changes; providing civil and 
  1.4             criminal penalties; amending Minnesota Statutes 1996, 
  1.5             sections 268.0111, by adding a subdivision; 268.022, 
  1.6             subdivision 1; 268.04, subdivisions 5, 15, 17, 25, and 
  1.7             by adding subdivisions; 268.06, subdivisions 1, 3a, 6, 
  1.8             8, 8a, 18, 19, 20, 21, 22, 24, 25, 26, 27, 28, 29, and 
  1.9             31; 268.07, subdivisions 2, 3, 3a, and 3b; 268.071, 
  1.10            subdivisions 3, 6, and 9; 268.08, subdivisions 1, 2, 
  1.11            3, 3a, 3b, 10, and by adding a subdivision; 268.09, 
  1.12            subdivision 3, and by adding subdivisions; 268.101, 
  1.13            subdivisions 2, 3, 4, and by adding a subdivision; 
  1.14            268.105; 268.11, subdivision 3; 268.12, subdivisions 8 
  1.15            and 9a; 268.121; 268.14, subdivision 1; 268.16, 
  1.16            subdivision 2; 268.161, subdivisions 4, 6, and 7; 
  1.17            268.167; 268.18, subdivisions 1, 2, 3, 4, 6, and by 
  1.18            adding a subdivision; and 268.21; proposing coding for 
  1.19            new law in Minnesota Statutes, chapter 268; repealing 
  1.20            Minnesota Statutes 1996, sections 268.026; 268.04, 
  1.21            subdivisions 8, 13, 14, 20, 21, 32, and 35; 268.06, 
  1.22            subdivisions 2, 4, 5, 30, and 33; 268.073, subdivision 
  1.23            7; 268.09, subdivisions 1, 2, 4, 5, 6, 7, and 8; 
  1.24            268.12, subdivisions 2, 4, 5, 7, and 11; 268.14, 
  1.25            subdivisions 3 and 4; 268.16, subdivision 8; 268.161, 
  1.26            subdivision 3; 268.165; and 268.18, subdivision 5. 
  1.27  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.28     Section 1.  Minnesota Statutes 1996, section 268.0111, is 
  1.29  amended by adding a subdivision to read: 
  1.30     Subd. 3a.  [DEPARTMENT.] "Department" means the department 
  1.31  of economic security. 
  1.32     Sec. 2.  Minnesota Statutes 1996, section 268.022, 
  1.33  subdivision 1, is amended to read: 
  1.34     Subdivision 1.  [DETERMINATION AND COLLECTION OF SPECIAL 
  1.35  ASSESSMENT.] (a) In addition to all other contributions, 
  1.36  assessments, and payment obligations under chapter 268, each 
  2.1   employer, except an employer making payments in lieu of 
  2.2   contributions under section 268.06, subdivision 25, 26, 27, or 
  2.3   28, is liable for a special assessment levied at the rate of 
  2.4   one-tenth of one percent per year on all taxable wages for 
  2.5   purposes of the contribution payable under section 268.06, 
  2.6   subdivision 2, as defined in section 268.04, subdivision 25 
  2.7   25b.  Such The assessment shall become due and be paid by each 
  2.8   employer to the department of economic security on the same 
  2.9   schedule and in the same manner as other contributions required 
  2.10  by section 268.06. 
  2.11     (b) The special assessment levied under this section shall 
  2.12  not affect the computation of any other contributions, 
  2.13  assessments, or payment obligations due under this chapter. 
  2.14     (c) Notwithstanding any provision to the contrary, if on 
  2.15  June 30 of any year the unobligated balance of the special 
  2.16  assessment fund under this section is greater than $30,000,000, 
  2.17  the special assessment for the following year only shall be 
  2.18  levied at a rate of 1/20th of one percent on all taxable wages 
  2.19  identified for this purpose under this subdivision. 
  2.20     Sec. 3.  Minnesota Statutes 1996, section 268.04, 
  2.21  subdivision 5, is amended to read: 
  2.22     Subd. 5.  [CALENDAR QUARTER.] "Calendar quarter" means the 
  2.23  period of three consecutive calendar months ending on March 31, 
  2.24  June 30, September 30, or December 31, excluding any calendar 
  2.25  quarter or portion thereof which occurs prior to January 1, 
  2.26  1937, or the equivalent thereof, as the commissioner may by rule 
  2.27  prescribe. 
  2.28     Sec. 4.  Minnesota Statutes 1996, section 268.04, is 
  2.29  amended by adding a subdivision to read: 
  2.30     Subd. 12a.  [INDEPENDENT CONTRACTOR/CONSTRUCTION.] A worker 
  2.31  doing commercial or residential building construction or 
  2.32  improvement, in the public or private sector, performing 
  2.33  services in the course of the trade, business, profession, or 
  2.34  occupation of the employing unit, shall be considered an 
  2.35  employee under the law of master and servant and not an 
  2.36  "independent contractor" under subdivision 12, clause (1)(d) 
  3.1   unless each of the following conditions are met: 
  3.2      (1) the worker maintains a separate business with an 
  3.3   office, equipment, materials, and other facilities; 
  3.4      (2) the worker holds or has applied for a federal employer 
  3.5   identification number; 
  3.6      (3) the worker operates under contracts to perform specific 
  3.7   services or work for specific amounts of money under which the 
  3.8   worker controls the means of performing the services or work; 
  3.9      (4) the worker incurs the main expenses related to the 
  3.10  service or work that the worker performs under contract; 
  3.11     (5) the worker is responsible for the satisfactory 
  3.12  completion of work or services that the worker contracts to 
  3.13  perform and the worker is liable for a failure to complete the 
  3.14  work or service; 
  3.15     (6) the worker receives compensation for work or service 
  3.16  performed under a contract on a commission or per job or 
  3.17  competitive bid basis and not on any other basis; 
  3.18     (7) the worker may realize a profit or suffer a loss under 
  3.19  contracts to perform work or service; 
  3.20     (8) the worker has continuing or recurring business 
  3.21  liabilities or obligations; and 
  3.22     (9) the success or failure of the worker's business depends 
  3.23  on the relationship of business receipts to expenditures. 
  3.24     Sec. 5.  Minnesota Statutes 1996, section 268.04, 
  3.25  subdivision 15, is amended to read: 
  3.26     Subd. 15.  [FILING; FILED.] "Filing" or "filed" means the 
  3.27  delivery of any document to the commissioner or any of the 
  3.28  commissioner's agents or representatives, or the depositing of 
  3.29  the same document in the United States mail properly addressed 
  3.30  to the department with postage prepaid thereon, in which case 
  3.31  the same document shall have been be considered filed on the day 
  3.32  indicated by the cancellation mark of the United States Post 
  3.33  Office Department Postal Service. 
  3.34     If, where allowed, an application, protest, appeal, or 
  3.35  other required action is made by telephone or electronic 
  3.36  transmission, it shall be considered filed on the day received 
  4.1   by the department. 
  4.2      Sec. 6.  Minnesota Statutes 1996, section 268.04, 
  4.3   subdivision 17, is amended to read: 
  4.4      Subd. 17.  [INSURED WORK.] "Insured work" means employment 
  4.5   for employers as defined in this section, except that for the 
  4.6   purposes of interstate reciprocal benefit payment arrangements 
  4.7   and the clearing satisfying of disqualifications under this law, 
  4.8   the term "insured work" shall mean employment in include insured 
  4.9   work under this law or a similar law of any other state or 
  4.10  employment covered under the Railroad Unemployment Compensation 
  4.11  Act, and United States Code, title 5, chapter 85.  Periods for 
  4.12  which an individual receives back pay are periods of insured 
  4.13  work for benefit purposes, except for the clearing satisfying of 
  4.14  disqualifications under this chapter.  
  4.15     Sec. 7.  Minnesota Statutes 1996, section 268.04, is 
  4.16  amended by adding a subdivision to read: 
  4.17     Subd. 22a.  [STATE'S AVERAGE ANNUAL AND AVERAGE WEEKLY 
  4.18  WAGE.] (a) On or before June 30 of each year, the commissioner 
  4.19  shall calculate the state's average annual wage and the state's 
  4.20  average weekly wage in the following manner: 
  4.21     (1) The sum of the total monthly employment reported by all 
  4.22  employers subject to this law for the previous calendar year 
  4.23  shall be divided by 12 to calculate the average monthly 
  4.24  employment. 
  4.25     (2) The sum of the total wages reported by all employers 
  4.26  subject to this law for the previous calendar year shall be 
  4.27  divided by the average monthly employment to calculate the 
  4.28  state's average annual wage. 
  4.29     (3) The state's average annual wage shall be divided by 52 
  4.30  to calculate the state's average weekly wage. 
  4.31     (b) For purposes of contributions under section 268.06, 
  4.32  subdivision 1, the state's average annual wage shall apply to 
  4.33  the calendar year succeeding the calculation. 
  4.34     (c) For purposes of calculating the maximum weekly benefit 
  4.35  amount payable on any reemployment insurance account under 
  4.36  section 268.07, subdivision 2, paragraph (c), the state's 
  5.1   average weekly wage shall apply to the 12-month period beginning 
  5.2   July 1 of the calendar year of the calculation. 
  5.3      Sec. 8.  Minnesota Statutes 1996, section 268.04, 
  5.4   subdivision 25, is amended to read: 
  5.5      Subd. 25.  [WAGES.] "Wages" means all remuneration for 
  5.6   services, including commissions; bonuses; back pay as of the 
  5.7   date of payment; tips and gratuities paid to an employee by a 
  5.8   customer of an employer and accounted for by the employee to the 
  5.9   employer; sickness and accident disability payments, except as 
  5.10  otherwise provided in this subdivision; and the cash value of 
  5.11  all remuneration in any medium other than cash, except that such 
  5.12  the term shall not include: 
  5.13     (a) For the purpose of determining contributions payable 
  5.14  under section 268.06, subdivision 2, that part of the 
  5.15  remuneration which exceeds, for each calendar year, the greater 
  5.16  of $7,000 or that part of the remuneration which exceeds 60 
  5.17  percent of the average annual wage rounded to the nearest $100 
  5.18  computed in accordance with the provisions of clause (j), paid 
  5.19  to an individual by an employer or the employer's predecessor 
  5.20  with respect to covered employment in this state or under the 
  5.21  reemployment insurance law of any other state.  Credit for 
  5.22  remuneration reported under the reemployment insurance law of 
  5.23  another state is limited to that state's taxable wage base.  If 
  5.24  the term "wages" as contained in the Federal Unemployment Tax 
  5.25  Act is amended to include remuneration in excess of the amount 
  5.26  required to be paid hereunder to an individual by an employer 
  5.27  under the federal act for any calendar year, wages for the 
  5.28  purposes of sections 268.03 to 268.23 shall include remuneration 
  5.29  paid in a calendar year up to an amount equal to the dollar 
  5.30  limitation specified in the Federal Unemployment Tax Act.  For 
  5.31  the purposes of this clause, the term "employment" shall include 
  5.32  service constituting employment under any employment security 
  5.33  law of another state or of the federal government; 
  5.34     (b) The amount of any payment made to, or on behalf of, an 
  5.35  employee under a plan or system established by an employer which 
  5.36  that makes provision for employees generally or for a class or 
  6.1   classes of employees (including any amount paid by an employer 
  6.2   for insurance or annuities, or into a fund, to provide for any 
  6.3   such a payment), on account of (1) retirement or (2) medical and 
  6.4   hospitalization expenses in connection with sickness or accident 
  6.5   disability, or (3) death, provided the employee has not the 
  6.6   option to receive, instead of provision for such a death 
  6.7   benefit, any part of such the payment, or if such the death 
  6.8   benefit is insured, any part of the insurance premium (or 
  6.9   contributions to premiums) paid by the employer and has not the 
  6.10  no right, under the provisions of the plan or system or policy 
  6.11  of insurance providing for such death benefit, to assign such 
  6.12  the benefit, or to receive a cash consideration in lieu of such 
  6.13  a benefit either upon withdrawal from the plan or 
  6.14  system providing for such benefit or upon termination of such 
  6.15  the plan or system or policy of insurance or of employment 
  6.16  with such the employer; 
  6.17     (c) (b) The payment by an employer (without deduction from 
  6.18  the remuneration of the employee) (1) of the tax imposed upon an 
  6.19  employee under section 3101 of the federal Internal Revenue 
  6.20  Code, or (2) of any payment required from an employee under a 
  6.21  state reemployment insurance law, with respect to remuneration 
  6.22  paid to an employee for domestic service in a private home of 
  6.23  the employer or for agricultural labor; 
  6.24     (d) (c) Any payments made to a former employee during the 
  6.25  period of active military service in the armed forces of the 
  6.26  United States by such the employer, whether legally required or 
  6.27  not; 
  6.28     (e) (d) Any payment made to, or on behalf of, an employee 
  6.29  or beneficiary (1) from or to a trust described in section 401(a)
  6.30  of the federal Internal Revenue Code which that is exempt from 
  6.31  tax under section 501(a) of such the code at the time of such 
  6.32  the payment unless such the payment is made to an employee of 
  6.33  the trust as remuneration for services rendered as an employee 
  6.34  and not as a beneficiary of the trust, or (2) under or to an 
  6.35  annuity plan which that, at the time of such the payment is a 
  6.36  plan described in section 403(a) of the federal Internal Revenue 
  7.1   Code; 
  7.2      (f) (e) Sickness or accident disability payments made by 
  7.3   the employer after the expiration of six calendar months 
  7.4   following the last calendar month in which the individual worked 
  7.5   for the employer; 
  7.6      (g) (f) Disability payments made under the provisions of 
  7.7   any workers' compensation law; 
  7.8      (h) (g) Sickness or accident disability payments made by a 
  7.9   third party payer such as an insurance company; 
  7.10     (i) (h) Payments made into a fund, or for the purchase of 
  7.11  insurance or an annuity, to provide for sickness or accident 
  7.12  disability payments to employees pursuant to a plan or system 
  7.13  established by the employer which that provides for the 
  7.14  employer's employees generally or for a class or classes of 
  7.15  employees; 
  7.16     (j) On or before July 1 of each year the commissioner shall 
  7.17  determine the average annual wage paid by employers subject to 
  7.18  sections 268.03 to 268.23 in the following manner: 
  7.19     (1) The sum of the total monthly employment reported for 
  7.20  the previous calendar year shall be divided by 12 to determine 
  7.21  the average monthly employment; 
  7.22     (2) The sum of the total wages reported for the previous 
  7.23  calendar year shall be divided by the average monthly employment 
  7.24  to determine the average annual wage. 
  7.25     The average annual wage determined shall be effective for 
  7.26  the calendar year next succeeding the determination; 
  7.27     (k) (i) Nothing in this subdivision, other than clause (a), 
  7.28  shall exclude from the term "wages" any payment made under any 
  7.29  type of salary reduction agreement, including payments made 
  7.30  under a cash or deferred arrangement and cafeteria plan, as 
  7.31  defined in sections 401(k) and 125, respectively, of the federal 
  7.32  Internal Revenue Code, to the extent that the employee has the 
  7.33  option to receive the payment in cash. 
  7.34     Sec. 9.  Minnesota Statutes 1996, section 268.04, is 
  7.35  amended by adding a subdivision to read: 
  7.36     Subd. 25b.  [TAXABLE WAGES.] (a) "Taxable wages" means 
  8.1   those wages paid to an employee each calendar year up to an 
  8.2   amount equal to 60 percent of the state's average annual wage, 
  8.3   rounded to the nearest $100. 
  8.4      (b) Taxable wages includes the amount of wages paid by the 
  8.5   employer's predecessor in this state or under the reemployment 
  8.6   insurance law of any other state.  Any credit given for amounts 
  8.7   reported under the reemployment insurance law of another state 
  8.8   shall be limited to that state's taxable wage base. 
  8.9      Sec. 10.  [268.047] [BENEFITS CHARGED TO EMPLOYER.] 
  8.10     Subdivision 1.  [GENERAL RULE.] Benefits paid to a claimant 
  8.11  pursuant to a reemployment insurance account, including 
  8.12  extended, additional, and shared work benefits, shall be charged 
  8.13  to the account of the claimant's base period employer as and 
  8.14  when paid except as provided in subdivisions 2 and 3.  The 
  8.15  amount of benefits chargeable to each base period employer's 
  8.16  account shall bear the same ratio to the total benefits paid to 
  8.17  a claimant as the wage credits the claimant was paid by the 
  8.18  employer bear to the total amount of wage credits the claimant 
  8.19  was paid by all the claimant's base period employers. 
  8.20     In making computations under this subdivision, the amount 
  8.21  of wage credits, if not a multiple of $1, shall be computed to 
  8.22  the nearest multiple of $1. 
  8.23     Subd. 2.  [EXCEPTIONS TO CHARGES FOR ALL 
  8.24  EMPLOYERS.] Benefits paid to a claimant shall not be charged to 
  8.25  the account of a contributing base period employer or to the 
  8.26  account of a base period employer that is liable for payments in 
  8.27  lieu of contributions under the following conditions: 
  8.28     (a) the claimant was discharged from the employment because 
  8.29  of gross misconduct as determined under section 268.09, 
  8.30  subdivision 10, clause (2).  This paragraph shall apply only to 
  8.31  benefits paid for weeks occurring subsequent to the claimant's 
  8.32  discharge from employment; 
  8.33     (b) a claimant's discharge from that employment was 
  8.34  required by a law mandating a background check, or the 
  8.35  claimant's discharge from that employment was required by law 
  8.36  because of a criminal conviction; 
  9.1      (c) the employer: 
  9.2      (1) provided regularly scheduled part-time employment to 
  9.3   the claimant during the claimant's base period; 
  9.4      (2) during the claimant's benefit year, continues to 
  9.5   provide the claimant with regularly scheduled employment 
  9.6   approximating 90 percent of the employment provided the claimant 
  9.7   by that employer in the base period, or, for a fire department 
  9.8   or firefighting corporation or operator of a life-support 
  9.9   transportation service, continues to provide employment for a 
  9.10  volunteer firefighter or a volunteer ambulance service personnel 
  9.11  on the same basis that employment was provided in the base 
  9.12  period; and 
  9.13     (3) is an involved employer because of the claimant's loss 
  9.14  of other employment.  The exception to charges shall terminate 
  9.15  effective the first week in the claimant's benefit year that the 
  9.16  employer fails to meet the provisions of clause (2); 
  9.17     (d) the claimant's unemployment: 
  9.18     (1) was directly caused by a major natural disaster 
  9.19  declared by the president pursuant to Section 102(2) of the 
  9.20  Disaster Relief Act of 1974, United States Code, title 42, 
  9.21  section 5122(2), if the claimant would have been eligible for 
  9.22  disaster unemployment assistance with respect to that 
  9.23  unemployment but for the claimant's receipt of reemployment 
  9.24  insurance benefits; or 
  9.25     (2) was directly caused by the condemnation of property by 
  9.26  a governmental agency, a fire, flood, or act of God where 70 
  9.27  percent or more of the employees employed in the affected 
  9.28  location became unemployed as a result and the employer 
  9.29  substantially reopens its operations in that same area within 18 
  9.30  months.  Benefits shall be charged to the employer where the 
  9.31  unemployment is caused by the willful act of the employer or a 
  9.32  person acting on behalf of the employer; 
  9.33     (e) the benefits were paid by another state as a result of 
  9.34  the transferring of wage credits under a federally combined wage 
  9.35  agreement provided for in section 268.13; 
  9.36     (f) on a second reemployment insurance account established 
 10.1   pursuant to section 268.07, subdivision 3, where the employer 
 10.2   provided 90 percent or more of the wage credits in the 
 10.3   claimant's preceding base period and the claimant did not 
 10.4   perform services for the employer during the subsequent base 
 10.5   period; 
 10.6      (g) the claimant left or partially or totally lost 
 10.7   employment because of a strike or other labor dispute at the 
 10.8   claimant's primary place of employment if the employer was not a 
 10.9   party to the particular strike or labor dispute; or 
 10.10     (h) the benefits were determined overpaid benefits under 
 10.11  section 268.18. 
 10.12     Subd. 3.  [EXCEPTIONS TO CHARGES FOR CONTRIBUTING 
 10.13  EMPLOYERS.] Benefits paid to a claimant shall not be charged to 
 10.14  the account of a contributing base period employer under the 
 10.15  following conditions: 
 10.16     (a) the claimant's wage credits from that employer are less 
 10.17  than $500; 
 10.18     (b) the claimant quit the employment, unless it was 
 10.19  determined under section 268.09, subdivisions 1a and 9, to have 
 10.20  been because of a good reason caused by the employer.  This 
 10.21  paragraph shall apply only to benefits paid for periods 
 10.22  occurring subsequent to the claimant's quitting the employment; 
 10.23     (c) the employer discharged the claimant from employment 
 10.24  because of misconduct as determined pursuant to section 268.09, 
 10.25  subdivisions 10 and 12.  This paragraph shall apply only to 
 10.26  benefits paid for periods occurring subsequent to the claimant's 
 10.27  discharge from employment; 
 10.28     (d) the employer discharged the claimant from employment 
 10.29  because of reasons resulting directly from the claimant's 
 10.30  serious illness provided the employer made a reasonable effort 
 10.31  to retain the claimant in employment in spite of the claimant's 
 10.32  serious illness; or 
 10.33     (e) the claimant avoided or failed to accept an offer of 
 10.34  suitable reemployment, or reemployment that offered 
 10.35  substantially the same or better hourly wages or conditions of 
 10.36  employment, or both, as were previously provided by that 
 11.1   employer.  This paragraph shall apply to benefits paid for weeks 
 11.2   occurring after the claimant's refusal or avoidance. 
 11.3      Subd. 4.  [FEDERAL REIMBURSED BENEFITS NOT 
 11.4   CHARGED.] Notwithstanding subdivision 1, no employer's account 
 11.5   shall be charged for benefits for which the reemployment 
 11.6   insurance fund is reimbursed by the federal government. 
 11.7      Sec. 11.  Minnesota Statutes 1996, section 268.06, 
 11.8   subdivision 1, is amended to read: 
 11.9      Subdivision 1.  [PAYMENTS.] (1) (a) Contributions shall 
 11.10  accrue and become payable by each employer for each calendar 
 11.11  year in which that the employer is subject to sections 268.03 to 
 11.12  268.23 with respect to wages paid (as defined in section 268.04, 
 11.13  subdivision 25a) for employment this chapter, except for:  (1) 
 11.14  nonprofit corporations as provided in section 268.053, and (2) 
 11.15  the state and political subdivisions as provided in section 
 11.16  268.052.  Each employer shall pay contributions quarterly, at 
 11.17  the employer's assigned contribution rate, on the taxable wages 
 11.18  paid to each employee.  Such The contributions shall become due 
 11.19  and be paid by each employer to the department of economic 
 11.20  security for the fund in accordance with such rules as the 
 11.21  commissioner may prescribe, and shall not be deducted, in whole 
 11.22  or in part, from the wages of individuals in such employer's 
 11.23  employ Minnesota reemployment insurance fund on or before the 
 11.24  last day of the month following the end of the calendar quarter. 
 11.25  No rule of the commissioner shall be put in force which will 
 11.26  permit the payment of such contributions at a time or under 
 11.27  conditions which will not allow the employer to take credit for 
 11.28  such contribution against the tax imposed by section 3301 of the 
 11.29  Internal Revenue Code. 
 11.30     (2) In (b) The payment of any contribution, a fractional 
 11.31  part of a cent shall may be disregarded unless it amounts to 
 11.32  one-half cent or more in which case it shall be increased to one 
 11.33  cent paid in an amount to the nearest whole dollar. 
 11.34     (3) (c) When the contribution rate applied to an employer's 
 11.35  taxable payroll for any given calendar quarter results in a 
 11.36  computed contribution of for any calendar quarter is less than 
 12.1   $1, the contribution shall be disregarded. 
 12.2      Sec. 12.  Minnesota Statutes 1996, section 268.06, 
 12.3   subdivision 3a, is amended to read: 
 12.4      Subd. 3a.  [RATE FOR NEW EMPLOYERS.] Notwithstanding the 
 12.5   provisions of subdivision 2, (a) Each employer, who becomes 
 12.6   subject to this law, that does not qualify for an experience 
 12.7   rating, except employers in the construction industry, shall pay 
 12.8   contributions at a be assigned a contribution rate: (a) Not 
 12.9   exceeding 5-4/10 percent, that is the higher of (1) one 
 12.10  percent and or (2) the state's five-year benefit cost rate for 
 12.11  the 60 consecutive month period immediately preceding July 1 of 
 12.12  each year for each employer, except employers in the 
 12.13  construction industry; to a maximum of 5-4/10 percent.  For 
 12.14  purposes of this clause paragraph, the state's five-year benefit 
 12.15  cost rate shall be computed annually and shall be derived by 
 12.16  dividing the total dollar amount of benefits paid to claimants 
 12.17  under this law during the 60 consecutive calendar months 
 12.18  immediately preceding July 1 of each year by the total dollar 
 12.19  amount of taxable wages subject to contributions under this law 
 12.20  of all contributing employers during the same period.  The This 
 12.21  rate so determined shall be applicable for the calendar year 
 12.22  next succeeding each the computation date.  
 12.23     (b) Each employer in the construction industry who becomes 
 12.24  subject to this chapter that does not qualify for an experience 
 12.25  rating shall pay contributions at a be assigned a contribution 
 12.26  rate, not exceeding the maximum contribution rate for all 
 12.27  employers as provided under subdivision 8, that is the higher of 
 12.28  (1) one percent, or (2) the state's five-year benefit cost rate 
 12.29  for construction employers for the 60 consecutive month period 
 12.30  immediately preceding July 1 of each year to a maximum of 9.0 
 12.31  percent.  For purposes of this clause paragraph, the 
 12.32  state's five-year benefit cost rate shall be computed annually 
 12.33  and shall be derived by dividing the total dollar amount of 
 12.34  benefits paid to claimants of construction industry employers 
 12.35  during the 60 consecutive calendar months immediately preceding 
 12.36  July 1 of each year by the total dollar amount of taxable wages 
 13.1   of construction industry employers subject to contributions 
 13.2   during the same period.  The This rate so determined shall be 
 13.3   applicable for the calendar year next succeeding each the 
 13.4   computation date.  
 13.5      For purposes of this subdivision an employer is in the 
 13.6   construction industry if assigned an industrial classification 
 13.7   the employer is within division C of the Standard Industrial 
 13.8   Classification Manual issued by the United States Office of 
 13.9   Management and Budget as determined by the tax branch of the 
 13.10  department, except as excluded by rules adopted by the 
 13.11  commissioner. 
 13.12     Sec. 13.  Minnesota Statutes 1996, section 268.06, 
 13.13  subdivision 6, is amended to read: 
 13.14     Subd. 6.  [COMPUTATION OF EACH EMPLOYER'S EXPERIENCE 
 13.15  RATIO RATING.] The commissioner shall compute an 
 13.16  experience ratio rating for each employer whose account has been 
 13.17  chargeable with benefits during the 60 consecutive calendar 
 13.18  months immediately preceding July 1 of the preceding calendar 
 13.19  year except that, for any employer who has not been subject to 
 13.20  the Minnesota economic security law this chapter for a period of 
 13.21  time sufficient to meet the 60 consecutive months requirement, 
 13.22  the commissioner shall compute an experience ratio if the 
 13.23  employer's account has been chargeable with benefits during at 
 13.24  least the 12 15 consecutive calendar months immediately 
 13.25  preceding July 1 of the preceding calendar year.  Such The 
 13.26  experience ratio rating shall be the quotient ratio obtained by 
 13.27  dividing 1-1/4 times the total benefits charged to the 
 13.28  employer's account during the period the account has been 
 13.29  chargeable employer has been subject to this chapter but not 
 13.30  less than the 12 15 or more than the 60 consecutive calendar 
 13.31  months ending on June 30 of the preceding calendar year by the 
 13.32  employer's total taxable payroll for the same period on which 
 13.33  all contributions due have been paid to the department of 
 13.34  economic security on or before October 31 of the preceding 
 13.35  calendar year.  Such The experience ratio rating shall be 
 13.36  computed to the nearest one-tenth of a percent.  
 14.1      Sec. 14.  Minnesota Statutes 1996, section 268.06, 
 14.2   subdivision 8, is amended to read: 
 14.3      Subd. 8.  [DETERMINATION COMPUTATION OF CONTRIBUTION 
 14.4   RATES.] (a) For each calendar year the commissioner 
 14.5   shall determine compute the contribution rate of each employer 
 14.6   by adding the minimum contribution rate to the employer's 
 14.7   experience ratio rating. 
 14.8      (b) The minimum rate for all employers shall be 
 14.9   eight-tenths of one percent for 1988; seven-tenths of one 
 14.10  percent for 1989; and six-tenths of one percent for 1990.  The 
 14.11  minimum contribution rate for all employers in 1991 and 
 14.12  thereafter shall be six-tenths of one percent if the amount in 
 14.13  the reemployment insurance fund is less than $200,000,000 on 
 14.14  June 30 of the preceding calendar year; or five-tenths of one 
 14.15  percent if the fund is more than $200,000,000 but less than 
 14.16  $225,000,000; or four-tenths of one percent if the fund is more 
 14.17  than $225,000,000 but less than $250,000,000; or three-tenths of 
 14.18  one percent if the fund is more than $250,000,000 but less than 
 14.19  $275,000,000; or two-tenths of one percent if the fund is 
 14.20  $275,000,000 but less than $300,000,000; or one-tenth of one 
 14.21  percent if the fund is $300,000,000 or more. 
 14.22     (c) The maximum contribution rate for all employers shall 
 14.23  be 8.0 percent in 1988; 8.5 percent in 1989; 9.0 percent in 1990 
 14.24  and thereafter. 
 14.25     (d) For the purposes of this section subdivision the 
 14.26  reemployment insurance fund shall not include any money advanced 
 14.27  from the federal Unemployment Account in the unemployment trust 
 14.28  fund in accordance with Title XII of the Social Security Act, as 
 14.29  amended. 
 14.30     Sec. 15.  Minnesota Statutes 1996, section 268.06, 
 14.31  subdivision 8a, is amended to read: 
 14.32     Subd. 8a.  [SOLVENCY ASSESSMENT.] (a) If the fund balance 
 14.33  is greater than $75,000,000 but less than $150,000,000 on June 
 14.34  30 of any year, a solvency assessment will be in effect for the 
 14.35  following calendar year.  Each employer, except those making 
 14.36  payments in lieu of contributions under subdivisions 25, 26, 27, 
 15.1   and 28, shall pay a quarterly solvency assessment of ten percent 
 15.2   multiplied by the contributions paid or due and payable for each 
 15.3   calendar quarter in that year.  Quarterly contributions and the 
 15.4   solvency assessment payments shall be combined and will be 
 15.5   computed notwithstanding the maximum contribution rate 
 15.6   established in subdivision 3a or 8, by multiplying the quarterly 
 15.7   taxable payroll by the assigned contribution rate multiplied by 
 15.8   1.10. 
 15.9      (b) If the fund balance is less than $75,000,000 on June 30 
 15.10  of any year, a solvency assessment will be in effect for the 
 15.11  following calendar year.  Each employer, except those making 
 15.12  payments in lieu of contributions under subdivisions 25, 26, 27, 
 15.13  and 28, shall pay a quarterly solvency assessment of 15 percent 
 15.14  multiplied by the contributions paid or due and payable for each 
 15.15  calendar quarter in that year.  Quarterly contributions and the 
 15.16  solvency assessment payments shall be combined and will be 
 15.17  computed notwithstanding the maximum contribution rate 
 15.18  established in subdivision 3a or 8, by multiplying the quarterly 
 15.19  taxable payroll by the assigned contribution rate multiplied by 
 15.20  1.15 rounded to the nearest one-hundredth of a percent.  
 15.21     Sec. 16.  Minnesota Statutes 1996, section 268.06, 
 15.22  subdivision 18, is amended to read: 
 15.23     Subd. 18.  [NOTICE TO EMPLOYER OF BENEFITS CHARGED.] (a) 
 15.24  The commissioner shall mail to the last known address of each 
 15.25  employer a quarterly notice of the benefits which that have been 
 15.26  charged to the employer's account, as determined by the 
 15.27  department.  Unless reviewed in the manner hereinafter provided, 
 15.28  a written protest is filed within 30 calendar days from the date 
 15.29  of mailing of the notice, the charges set forth in such the 
 15.30  notice, or as modified by a redetermination, a decision of a 
 15.31  reemployment insurance judge, or the commissioner, shall be 
 15.32  final and shall be used in determining the contribution rates 
 15.33  for all years in which the charges occur within the employer's 
 15.34  experience period and shall not be subject to collateral attack 
 15.35  by way of review of a contribution rate determination notice, 
 15.36  application for adjustment or refund, or otherwise. 
 16.1      (b) Upon receipt of a protest, the commissioner shall 
 16.2   review the charges on the notice and determine whether there has 
 16.3   been an error in the charging of the employer's account.  The 
 16.4   commissioner shall either affirm or make a redetermination of 
 16.5   the charges, and a notice of affirmation or redetermination 
 16.6   shall be mailed to the employer. 
 16.7      (c) The affirmation or redetermination shall be final 
 16.8   unless the employer files a written appeal within 30 calendar 
 16.9   days after the date of mailing.  Proceedings on the appeal shall 
 16.10  be conducted in accordance with section 268.105. 
 16.11     (d) An employer may not collaterally attack, by way of a 
 16.12  protest to a notice of benefits charged, any prior determination 
 16.13  or decision holding that benefits shall be charged to the 
 16.14  employer's account, that has become final. 
 16.15     (e) The commissioner may at any time upon the 
 16.16  commissioner's own motion correct a clerical error that resulted 
 16.17  in charges to an employer's account. 
 16.18     Sec. 17.  Minnesota Statutes 1996, section 268.06, 
 16.19  subdivision 19, is amended to read: 
 16.20     Subd. 19.  [NOTICE OF CONTRIBUTION RATE.] (a) The 
 16.21  commissioner shall mail to the last known address of each 
 16.22  employer notice of the employer's contribution rate as 
 16.23  determined for any calendar year pursuant to this section.  Such 
 16.24  The notice shall contain the contribution rate, and the factors 
 16.25  used in determining the individual employer's experience rating, 
 16.26  and such other information as the commissioner may prescribe.  
 16.27  Unless changed by the procedure provided in this subdivision a 
 16.28  protest of the rate is made, the assigned rate as initially 
 16.29  determined or as changed by a redetermination by the tax branch 
 16.30  of this department, a decision of a reemployment insurance 
 16.31  judge, or the commissioner shall be final except for fraud and 
 16.32  shall be the rate upon which contributions shall be computed 
 16.33  paid for the calendar year for which such the rate was assigned, 
 16.34  and.  The contribution rate shall not be subject to collateral 
 16.35  attack for any errors, clerical or otherwise, whether by way of 
 16.36  claim for adjustment or refund, or otherwise.  
 17.1      (b) If the legislature, subsequent to the mailing of the 
 17.2   contribution rate, changes any of the factors used to determine 
 17.3   the contribution rate of any employer for any year subsequent to 
 17.4   the original mailing of such notice for the year, the earlier 
 17.5   notice shall be void.  The notice A new contribution rate based 
 17.6   on the new factors shall be deemed to be the only notice of rate 
 17.7   of contributions for that year and shall be subject to the same 
 17.8   finality, redetermination, and review procedures as provided 
 17.9   above computed and mailed to the employer.  
 17.10     Sec. 18.  Minnesota Statutes 1996, section 268.06, 
 17.11  subdivision 20, is amended to read: 
 17.12     Subd. 20.  [PROTEST, REVIEW, REDETERMINATION, APPEAL.] A 
 17.13  review of the charges made to an employer's account as set forth 
 17.14  in the notice of charges referred to in subdivision 18 and (a) A 
 17.15  review of an employer's contribution rate as set forth in the 
 17.16  notice of the employer's rate for any calendar year as provided 
 17.17  in subdivision 19, may be had obtained by the employer by filing 
 17.18  with the commissioner a written protest setting forth reasons 
 17.19  therefor within 30 calendar days from the date of the mailing of 
 17.20  the notice of charges or contribution rate notice to the 
 17.21  employer.  The date shall appear on the notice.  Upon receipt of 
 17.22  the protest, the commissioner shall refer the matter to an 
 17.23  official designated by the commissioner to review the charges 
 17.24  appearing on the notice appealed from or the computations of the 
 17.25  protesting employer's contribution rate, as the case may be, to 
 17.26  determine whether or not there has been any clerical error or 
 17.27  error in computation in either case.  The official commissioner 
 17.28  shall either affirm or make a redetermination rectifying the 
 17.29  charges or of the rate as the case may be, and a notice of the 
 17.30  affirmation or redetermination shall immediately be mailed to 
 17.31  the employer.  If the employer is not satisfied with The 
 17.32  affirmation or redetermination, shall be final unless the 
 17.33  employer may files a written appeal by filing a written notice 
 17.34  with the department within 30 calendar days after the date of 
 17.35  mailing appearing upon the redetermination.  Proceedings on the 
 17.36  appeal shall be conducted in accordance with section 268.105.  
 18.1      (b) The commissioner may at any time upon the 
 18.2   commissioner's own motion correct any clerical error of the 
 18.3   department resulting in charges against an employer's account or 
 18.4   any error in the computation or the assignment of an employer's 
 18.5   contribution rate.  
 18.6      Sec. 19.  Minnesota Statutes 1996, section 268.06, 
 18.7   subdivision 21, is amended to read: 
 18.8      Subd. 21.  [SEPARATE ACCOUNT FOR EACH EMPLOYER 
 18.9   ACCOUNTS.] (1) (a) The commissioner shall maintain a separate 
 18.10  account for each employer, except as provided in clause (2) this 
 18.11  section, and shall charge the account for any benefits 
 18.12  determined chargeable to the employer under section 268.047 and 
 18.13  shall credit an the account with all the contributions paid by 
 18.14  an employer.  Nothing in sections 268.03 to 268.23 shall be 
 18.15  construed to grant any employer or individuals in the employer's 
 18.16  service prior claims or rights to the amounts paid by the 
 18.17  employer into the fund, or if the employer is liable for 
 18.18  payments in lieu of contributions, the payments made. 
 18.19     (2) (b) Two or more related corporations concurrently 
 18.20  employing the same individual employees and compensating the 
 18.21  individual those employees through a common paymaster which is 
 18.22  one of the corporations may apply to the commissioner to 
 18.23  establish a joint common paymaster account or to merge their 
 18.24  several individual accounts into a joint account that shall be 
 18.25  the account of the common paymaster corporation.  Upon approval 
 18.26  of the application If approved, a joint account shall be 
 18.27  maintained as if it constituted a single employer's account the 
 18.28  separate accounts shall be maintained, but the employees 
 18.29  compensated through the common paymaster shall be reported as 
 18.30  employees of the common paymaster corporation.  The corporations 
 18.31  using the common paymaster account shall be jointly and 
 18.32  severally liable for any unpaid contributions, penalties, and 
 18.33  interest owing from the common paymaster account.  The 
 18.34  commissioner may prescribe rules as to for the establishment, 
 18.35  maintenance and termination of joint common paymaster accounts. 
 18.36     (c) Two or more employing units having 50 percent or more 
 19.1   common ownership and compensating employees through a single 
 19.2   payee that is one of the employing units may apply to the 
 19.3   commissioner for a merging of the experience rating records of 
 19.4   the employing units into a single joint account. 
 19.5      If approved, the joint account shall be effective on that 
 19.6   date assigned by the commissioner and shall remain in effect for 
 19.7   not less than two calendar years, and continuing unless written 
 19.8   notice terminating the joint account is filed with the 
 19.9   commissioner.  The termination shall be effective on January 1 
 19.10  next following the filing of the written notice of termination. 
 19.11     The employing units in the joint account shall be jointly 
 19.12  and severally liable for any unpaid contributions, penalties, 
 19.13  and interest owing from the joint account.  The commissioner may 
 19.14  prescribe rules for the establishment, maintenance, and 
 19.15  termination of joint accounts. 
 19.16     Sec. 20.  Minnesota Statutes 1996, section 268.06, 
 19.17  subdivision 22, is amended to read: 
 19.18     Subd. 22.  [EMPLOYMENT EXPERIENCE RATING RECORD TRANSFER.] 
 19.19  (a) When an employing unit succeeds to or acquires the 
 19.20  organization, trade or business or substantially all the assets 
 19.21  of another employing unit which that at the time of the 
 19.22  acquisition was an employer subject to this law, and 
 19.23  continues such the organization, trade or business, the 
 19.24  experience rating record of the predecessor employer shall be 
 19.25  transferred as of the date of acquisition to the successor 
 19.26  employer for the purpose of computation of a contribution rate 
 19.27  determination. 
 19.28     (b) When an employing unit succeeds to or acquires a 
 19.29  distinct severable portion of the organization, trade, business, 
 19.30  or assets which that is less than substantially all of the 
 19.31  employing enterprises of another employing unit, the successor 
 19.32  employing unit shall acquire the experience rating record 
 19.33  attributable to the portion to which it has succeeded, and the 
 19.34  predecessor employing unit shall retain the experience rating 
 19.35  record attributable to the portion which that it has retained, 
 19.36  if (1) the successor continues the organization, trade, or 
 20.1   business of the portion acquired, (2) the successor makes a 
 20.2   written request to file an application for the transfer of the 
 20.3   experience rating record for the severable portion acquired from 
 20.4   the predecessor (3) and within 90 days from the date of mailing 
 20.5   the application is mailed to the last known address of the 
 20.6   successor the successor and predecessor employing units jointly 
 20.7   sign and file a properly completed, written an application as 
 20.8   prescribed by the commissioner that furnishes the commissioner 
 20.9   with sufficient information to substantiate the severable 
 20.10  portion and to assign the appropriate total and taxable wages 
 20.11  and benefit charges to the successor for experience rating 
 20.12  purposes.  Previously assigned contribution rates that have 
 20.13  become final in accordance with subdivision 19 prior to the 
 20.14  filing of the written request to file an application shall not 
 20.15  be affected by the transfer. 
 20.16     (c) If the successor employer under paragraphs (a) and (b) 
 20.17  had an experience rating record at the time of the acquisition, 
 20.18  the transferred record of the predecessor shall be combined with 
 20.19  the successor's record for purposes of computation of a 
 20.20  contribution rate. 
 20.21     (d) If there has been a transfer of an experience rating 
 20.22  record under paragraph (a) or (b), employment with a predecessor 
 20.23  employer shall not be deemed to have been terminated if similar 
 20.24  employment is offered by the successor employer and accepted by 
 20.25  the employee. 
 20.26     (d) An official, designated by (e) The commissioner, upon 
 20.27  the official's commissioner's own motion or upon application of 
 20.28  an employing unit shall determine if an employing unit is a 
 20.29  successor within the meaning of this subdivision and shall 
 20.30  mail notice of such the determination to the last known address 
 20.31  of the employing unit.  The determination shall be final unless 
 20.32  a written appeal is filed by the employing unit within 
 20.33  30 calendar days after mailing of the notice of determination.  
 20.34  Proceedings on the appeal shall be conducted in accordance with 
 20.35  section 268.105. 
 20.36     (e) Notwithstanding subdivision 19, (f) The commissioner 
 21.1   may shall, as the result of any determination or decision 
 21.2   regarding succession or nonsuccession, recompute 
 21.3   the contribution rate of all employers affected by the 
 21.4   determination or decision for any year, including the year of 
 21.5   the acquisition or succession and subsequent years, that is 
 21.6   affected by the transfer or nontransfer of part or all of the 
 21.7   experience rating record under this subdivision.  This paragraph 
 21.8   does not apply to rates that have become final in accordance 
 21.9   with subdivision 19 prior to the filing of a written request to 
 21.10  file an application for the transfer of a severable portion of 
 21.11  the experience rating record as provided in paragraph (b). 
 21.12     (g) The experience rating record for purposes of this 
 21.13  subdivision shall consist of those factors which make up an 
 21.14  experience rating, without the 15-month minimum. 
 21.15     Sec. 21.  Minnesota Statutes 1996, section 268.06, 
 21.16  subdivision 24, is amended to read: 
 21.17     Subd. 24.  [VOLUNTARY CONTRIBUTIONS CONTRIBUTION RATE 
 21.18  BUYDOWN.] Notwithstanding any inconsistent provisions of law (a) 
 21.19  Any employer who has been assigned a contribution rate pursuant 
 21.20  to subdivisions 4, 6, and 8 based upon an experience rating may, 
 21.21  for the calendar year 1967, or any calendar year thereafter, 
 21.22  upon the voluntary payment of an amount equivalent to any 
 21.23  portion or all of the benefits charged to the employer's account 
 21.24  during the period ending June 30 of the preceding year used for 
 21.25  the purpose of computing an employer's experience ratio as 
 21.26  authorized by said subdivisions 4, 6, and 8, plus a surcharge of 
 21.27  25 percent, obtain a cancellation of benefits charged to the 
 21.28  account during such period equal to such the payment so 
 21.29  voluntarily made, less the surcharge.  Upon the payment of such 
 21.30  voluntary contribution, plus a surcharge of 25 percent of such 
 21.31  benefit charged, within the applicable period prescribed by the 
 21.32  provisions of this subdivision, the commissioner shall cancel 
 21.33  the benefits equal to such payment, excluding the 25 percent 
 21.34  surcharge, so voluntarily made and compute a new experience 
 21.35  ratio rating for such the employer, and determine a new 
 21.36  contribution rate.  The employer then shall be assigned the 
 22.1   contribution rate applicable to the category within which the 
 22.2   recomputed experience ratio is included. 
 22.3      Such (b) Voluntary payments may be made only during the 
 22.4   30-day 30 calendar day period immediately following the date of 
 22.5   mailing to the employer of the notice of contribution rate. as 
 22.6   prescribed in this section; provided that the commissioner may 
 22.7   extend this period if the commissioner finds that the employer's 
 22.8   failure to make such payment within such 30-day period was for 
 22.9   good cause; and provided further that notwithstanding any of the 
 22.10  foregoing provisions of this subdivision, in no event shall any 
 22.11  new experience ratio be computed for any employer or a 
 22.12  contribution rate be reduced as a result of any such voluntary 
 22.13  payment which is made after the expiration of the 120-day period 
 22.14  commencing with the first day of the calendar year for which 
 22.15  such rate is effective.  This period may be extended, upon a 
 22.16  showing of good cause, but in no event shall a voluntary payment 
 22.17  be allowed after 120 calendar days immediately following the 
 22.18  beginning of the calendar for which the contribution rate is 
 22.19  effective. 
 22.20     (c) Voluntary contributions payments made within the time 
 22.21  required time limits will not be refunded unless a request is 
 22.22  made in writing at the time of payment that the department 
 22.23  refund the voluntary contribution if it does not result in a 
 22.24  lower rate within 30 calendar days after mailing of the notice 
 22.25  of the new contribution rate. 
 22.26     When all or a part of the benefits charged to an employer's 
 22.27  account are for the unemployment of 75 percent or more of the 
 22.28  employees in an employing unit and the unemployment is caused by 
 22.29  closure of the business by the condemnation of property by a 
 22.30  governmental agency, or damages to the unit by fire, flood, wind 
 22.31  or other act of God, the employer may obtain a cancellation of 
 22.32  benefits incurred because of that unemployment in the manner 
 22.33  provided by this subdivision without being subject to the 
 22.34  surcharge of 25 percent otherwise required. 
 22.35     Sec. 22.  Minnesota Statutes 1996, section 268.06, 
 22.36  subdivision 25, is amended to read: 
 23.1      Subd. 25.  [PAYMENTS TO FUND BY STATE AND POLITICAL 
 23.2   SUBDIVISIONS IN LIEU OF CONTRIBUTIONS.] In lieu of contributions 
 23.3   required of employers under this law, the state of Minnesota or 
 23.4   its political subdivisions governed by this law shall pay into 
 23.5   the reemployment insurance fund an amount equivalent to the 
 23.6   amount of benefits charged, and as to weeks of unemployment 
 23.7   beginning after January 1, 1979, all of the extended benefits 
 23.8   paid based on wages paid by the state of Minnesota or such 
 23.9   political subdivisions.  If benefits paid an individual are 
 23.10  based on wages paid by both the state of Minnesota or such 
 23.11  political subdivisions and one or more other employers, the 
 23.12  amount payable by the state of Minnesota or such political 
 23.13  subdivisions to the fund shall bear the same ratio to total 
 23.14  benefits paid to the individual as the base-period wages paid to 
 23.15  the individual by the state of Minnesota or such political 
 23.16  subdivisions bear to the total amount of base-period wages paid 
 23.17  to the individual by all base-period employers.  The amount of 
 23.18  payment required under this subdivision shall be ascertained by 
 23.19  the commissioner at least four times per year to its account.  
 23.20  Payments in the amount of benefits charged to the account during 
 23.21  a calendar quarter shall be made and become due on or before the 
 23.22  last day of the month next following the month in which the 
 23.23  notice of benefits charged is mailed to the employer.  Past due 
 23.24  payments of amounts determined due under this subdivision shall 
 23.25  be subject to the same interest charges and collection 
 23.26  procedures that apply to past due contributions under sections 
 23.27  268.16 and 268.161. 
 23.28     Sec. 23.  Minnesota Statutes 1996, section 268.06, 
 23.29  subdivision 26, is amended to read: 
 23.30     Subd. 26.  [REIMBURSEMENT OF FUND BY STATE METHOD OF 
 23.31  PAYMENT BY STATE TO FUND.] To facilitate the discharge by the 
 23.32  state of Minnesota and its wholly owned instrumentalities of 
 23.33  their obligations under subdivision 25 of this section, the 
 23.34  state and its wholly owned instrumentalities shall reimburse pay 
 23.35  the reemployment insurance fund as provided in the following 
 23.36  clauses follows: 
 24.1      (1) (a) Every self-sustaining department, institution and 
 24.2   wholly owned instrumentality of the state shall pay into the 
 24.3   reemployment insurance fund such the amounts as the department 
 24.4   of economic security commissioner shall certify has been paid 
 24.5   from the fund to eligible individuals that were charged to its 
 24.6   account.  For the purposes of this clause a "self-sustaining 
 24.7   department, institution or wholly owned instrumentality" is one 
 24.8   in which the dedicated income and revenue substantially offsets 
 24.9   its cost of operation. 
 24.10     (2) (b) Every partially self-sustaining department, 
 24.11  institution and wholly owned instrumentality of the state shall 
 24.12  pay into the reemployment insurance fund such the proportion of 
 24.13  the sum which that the department of economic security 
 24.14  commissioner certifies has been paid from the fund to eligible 
 24.15  individuals as the total of its income and revenue bears to its 
 24.16  annual cost of operation. 
 24.17     (3) (c) Every department, institution or wholly owned 
 24.18  instrumentality of the state which is not self-sustaining shall 
 24.19  pay to the reemployment insurance fund such sums as the 
 24.20  department of economic security amount the commissioner 
 24.21  certifies have has been paid from the fund to eligible 
 24.22  individuals which were charged to their accounts to the extent 
 24.23  funds are available from appropriated funds. 
 24.24     (4) (d) The departments, institutions and wholly owned 
 24.25  instrumentalities of the state, including the University of 
 24.26  Minnesota, which have money available shall immediately 
 24.27  reimburse pay the reemployment insurance fund for benefits paid 
 24.28  which were charged to their accounts upon receiving notification 
 24.29  from the department of economic security commissioner of such 
 24.30  the charges.  If an individual to whom benefits were paid a 
 24.31  claimant was paid by a department, institution or wholly owned 
 24.32  instrumentality during the individual's claimant's base period 
 24.33  from a special or administrative account or fund provided by 
 24.34  law, the payment into the reemployment insurance fund shall be 
 24.35  made from such the special or administrative account or fund 
 24.36  with the approval of the department of administration and such 
 25.1   the amounts are hereby appropriated. 
 25.2      (5) (e) For those departments, institutions and wholly 
 25.3   owned instrumentalities of the state which cannot immediately 
 25.4   reimburse pay the reemployment insurance fund for benefits that 
 25.5   were charged to their accounts, the commissioner of economic 
 25.6   security shall certify on November 1 of each calendar year to 
 25.7   the department of finance as to the unpaid balances due and 
 25.8   owing.  Upon receipt of the certification the commissioner of 
 25.9   the department of finance shall include such the unpaid balances 
 25.10  in the biennial budget to be submitted to the legislature. 
 25.11     Sec. 24.  Minnesota Statutes 1996, section 268.06, 
 25.12  subdivision 27, is amended to read: 
 25.13     Subd. 27.  [METHOD OF PAYMENT BY POLITICAL SUBDIVISION TO 
 25.14  FUND.] Effective January 1, 1974, A political subdivision or 
 25.15  instrumentality thereof is hereby authorized and directed to pay 
 25.16  its obligations under subdivision 25 this chapter by moneys 
 25.17  collected from taxes or other revenues.  Each and Every 
 25.18  political subdivision authorized to levy taxes may include in 
 25.19  its tax levy the amount necessary to pay such its obligations.  
 25.20  If the taxes authorized to be levied under this subdivision 
 25.21  cause the total amount of taxes levied to exceed any 
 25.22  limitation whatsoever upon the power of a political subdivision 
 25.23  to levy taxes, such the political subdivision may levy taxes in 
 25.24  excess of the limitations in such the amounts as is necessary to 
 25.25  meet its obligation under subdivision 25 this chapter.  The 
 25.26  expenditures authorized to be made under subdivision 25 shall 
 25.27  not be included in computing the cost of government as defined 
 25.28  in any home rule charter of any city affected thereby.  The 
 25.29  governing body of a municipality, for the purpose of meeting its 
 25.30  liabilities under subdivision 25 this chapter, in the event of a 
 25.31  deficit, may issue its obligations payable in not more than two 
 25.32  years, in an amount which that may cause its indebtedness to 
 25.33  exceed any statutory or charter limitations, without an 
 25.34  election, and may levy taxes to pay therefor in the manner 
 25.35  provided in section 475.61. 
 25.36     Sec. 25.  Minnesota Statutes 1996, section 268.06, 
 26.1   subdivision 28, is amended to read: 
 26.2      Subd. 28.  [PAYMENT TO FUND BY NONPROFIT CORPORATION AND 
 26.3   ALLOCATION OF BENEFIT COSTS BY BASE PERIOD REIMBURSERS 
 26.4   CORPORATIONS.] (1) Benefits paid to employees of nonprofit 
 26.5   organizations shall be financed in accordance with the 
 26.6   provisions of this subdivision.  For the purpose of this 
 26.7   subdivision, a nonprofit organization is an organization (or 
 26.8   group of organizations) described in section 501(c)(3) of the 
 26.9   United States Internal Revenue Code which is exempt from income 
 26.10  tax under section 501(a) of such code. (a) Any nonprofit 
 26.11  organization which, pursuant to section 268.04, subdivision 10, 
 26.12  clause (9) is, or becomes, subject to this law on or after 
 26.13  January 1, 1972, that is determined to be an employer shall pay 
 26.14  contributions under the provisions of subdivision 1, unless it 
 26.15  elects, in accordance with this paragraph, to pay make payments 
 26.16  in lieu of contributions to the commissioner for the 
 26.17  unemployment reemployment insurance fund an amount equal to the 
 26.18  amount of regular benefits and the state share of the extended 
 26.19  benefits charged, that is attributable to service in the employ 
 26.20  of such nonprofit organization, to individuals for weeks of 
 26.21  unemployment which begin during the effective period of such 
 26.22  election charged to the employer's account. 
 26.23     (a) (1) Any nonprofit organization which becomes subject to 
 26.24  this law after January 1, 1972, may elect to become liable for 
 26.25  payments in lieu of contributions for a period of not less than 
 26.26  two calendar years beginning with the date on which such 
 26.27  subjectivity begins that the organization was determined to be 
 26.28  an employer by filing a written notice of its election with the 
 26.29  commissioner not later than 30 calendar days immediately 
 26.30  following the date of the determination of such subjectivity. 
 26.31     (b) (2) Any nonprofit organization which that makes an 
 26.32  election in accordance with clause (a) will continue to be 
 26.33  liable for payments in lieu of contributions until it files with 
 26.34  the commissioner a written notice terminating its election not 
 26.35  later than 30 calendar days prior to the beginning of the 
 26.36  calendar year for which such the termination shall first be 
 27.1   effective.  
 27.2      (c) (3) Any nonprofit organization which that has been 
 27.3   paying contributions under this law for a period subsequent to 
 27.4   January 1, 1972, may change to a reimbursable basis making 
 27.5   payments in lieu of contributions by filing with the 
 27.6   commissioner not later than 30 calendar days prior to the 
 27.7   beginning January 1 of any calendar year a written notice of 
 27.8   election to become liable for payments in lieu of 
 27.9   contributions.  Such The election shall not be terminable by the 
 27.10  organization for that and the next calendar year. 
 27.11     (d) (4) The commissioner may for good cause extend the 
 27.12  period within which that a notice of election, or a notice of 
 27.13  termination, must be filed and may permit an election to be 
 27.14  retroactive but not any earlier than with respect to benefits 
 27.15  paid after December 31, 1971. 
 27.16     (e) (5) The commissioner, in accordance with such rules as 
 27.17  the commissioner may prescribe, shall notify each nonprofit 
 27.18  organization of any determination which the commissioner may 
 27.19  make of its status as an employer and of the effective date of 
 27.20  any election which it makes and of any or termination of such 
 27.21  election.  Such The determinations shall be final unless 
 27.22  reviewed in accordance with the provisions of section 268.12, 
 27.23  subdivision 13 a written appeal is filed within 30 calendar days 
 27.24  after mailing of the determination.  Proceedings on the appeal 
 27.25  shall be conducted in accordance with section 268.105. 
 27.26     (2) (b) Payments in lieu of contributions, in the amount of 
 27.27  benefits charged to the employer's account, during a calendar 
 27.28  quarter, shall be made at the end of each calendar quarter, or 
 27.29  at the end of any other period as determined by the commissioner 
 27.30  and become due on or before the last day of the month next 
 27.31  following the month in which the notice of benefits charged is 
 27.32  mailed to the employer.  The commissioner shall bill each 
 27.33  nonprofit organization (or group of such organizations) which 
 27.34  has elected to make payments in lieu of contributions for an 
 27.35  amount equal to the full amount of regular benefits plus 
 27.36  one-half of the amount of extended benefits charged during such 
 28.1   quarter or other prescribed period that is attributable to 
 28.2   service in the employ of such organization. 
 28.3      (3) (c) Past due payments of amounts in lieu of 
 28.4   contributions shall be subject to the same interest charges and 
 28.5   collection procedures that apply to past due contributions under 
 28.6   sections 268.16 and 268.161. 
 28.7      (4) (d) If any nonprofit organization is delinquent in 
 28.8   making payments in lieu of contributions as required under this 
 28.9   subdivision, the commissioner may terminate such the 
 28.10  organization's election to make payments in lieu of 
 28.11  contributions as of the beginning of the next taxable calendar 
 28.12  year, and such the termination shall be effective for that and 
 28.13  the following taxable calendar year. 
 28.14     (e) For purposes of this subdivision, a nonprofit 
 28.15  organization is an organization, or group of organizations, 
 28.16  described in section 501(c)(3) of the Internal Revenue Code that 
 28.17  is exempt from income tax under section 501(a) of the code. 
 28.18     Sec. 26.  Minnesota Statutes 1996, section 268.06, 
 28.19  subdivision 29, is amended to read: 
 28.20     Subd. 29.  [GROUP ACCOUNTS.] Two or more employers that 
 28.21  have become are liable for payments in lieu of contributions may 
 28.22  file a joint application apply to the commissioner for the 
 28.23  establishment of a group account for the purpose of sharing the 
 28.24  cost of benefits paid that are attributable to service in the 
 28.25  employ of such charged based upon wage credits from all 
 28.26  employers in the group.  Each such The application shall 
 28.27  identify and authorize a group representative to act as the 
 28.28  group's agent for the purposes of this subdivision the account.  
 28.29  Upon the commissioner's approval of the application If approved, 
 28.30  the commissioner shall establish a group account for such the 
 28.31  employers effective as of the beginning of the calendar year in 
 28.32  which that the application is received by the commissioner and 
 28.33  shall notify the group's representative of the effective date of 
 28.34  the account.  Such The account shall remain in effect for not 
 28.35  less than two calendar years and thereafter until terminated at 
 28.36  the discretion of the commissioner or upon application by the 
 29.1   group at least 30 calendar days prior to the end of such the two 
 29.2   year period or 30 calendar days prior to January 1 of any 
 29.3   calendar year subsequent to such two calendar years.  
 29.4   Each member of employer in the group shall be jointly and 
 29.5   severally liable for payments in lieu of contributions for all 
 29.6   benefits paid based upon wage credits earned with a from all 
 29.7   employers in the group member during the period the group 
 29.8   account was in effect.  The commissioner shall may prescribe 
 29.9   such rules as the commissioner deems necessary with respect to 
 29.10  applications for the establishment, maintenance and termination 
 29.11  of group accounts that are authorized by this subdivision, for 
 29.12  addition of new members to, and withdrawal of active members 
 29.13  from, such account, and for the determination of the amounts 
 29.14  that are payable under this subdivision by members of the group 
 29.15  and the time and manner of such payments. 
 29.16     Sec. 27.  Minnesota Statutes 1996, section 268.06, 
 29.17  subdivision 31, is amended to read: 
 29.18     Subd. 31.  [ELECTION BY STATE OR POLITICAL SUBDIVISION TO 
 29.19  BE A CONTRIBUTING EMPLOYER.] (1) Notwithstanding the provisions 
 29.20  of section 268.06, subdivisions 25 and 26, after December 31, 
 29.21  1977 an employer as defined in section 268.04, subdivision 10, 
 29.22  clauses (14) and (15) (a) The state or political subdivision may:
 29.23     (a) elect to be a contributing employer subject to the 
 29.24  provisions of subdivisions 1, 2, 3a, 4, 5, 6, 8, 18, 19, 20 and 
 29.25  24 and section 268.16 beginning with January 1, 1978 for any 
 29.26  calendar year if it files with the commissioner a written notice 
 29.27  of its election is filed with the commissioner within 30 
 29.28  calendar days immediately following January 1, 1978; or of that 
 29.29  calendar year. 
 29.30     (b) Elect for a subsequent calendar year, not having 
 29.31  elected to be a contributing employer beginning with January 1, 
 29.32  1978, to be a contributing employer subject to the provisions of 
 29.33  subdivisions 1, 2, 3a, 4, 5, 6, 8, 18, 19, 20 and 24 and section 
 29.34  268.16 if it files with the commissioner a written notice of its 
 29.35  election within 30 days immediately following the first day of 
 29.36  the subsequent calendar year. 
 30.1      An election shall continue be for a minimum period of two 
 30.2   calendar years immediately following the effective date of the 
 30.3   election and thereafter continue unless a written notice 
 30.4   terminating the election is filed with the commissioner not 
 30.5   later than 30 calendar days prior to the beginning of the 
 30.6   calendar year for which.  The termination shall first be 
 30.7   effective at the beginning of the next calendar year. 
 30.8      (2) (b) The provisions of subdivisions 25, 26, and 27 as to 
 30.9   the method of payments to the reemployment insurance fund shall 
 30.10  apply to all contributions paid by or due from employers 
 30.11  electing the state or political subdivision that elects to be 
 30.12  contributing employers under clause (1) of this subdivision. 
 30.13     Sec. 28.  [268.069] [PAYMENT OF BENEFITS.] 
 30.14     (a) The commissioner shall pay reemployment insurance 
 30.15  benefits from the Minnesota reemployment insurance fund to a 
 30.16  claimant who has met each of the following requirements: 
 30.17     (1) the claimant has established a reemployment insurance 
 30.18  account in accordance with section 268.07; 
 30.19     (2) the claimant is not subject to a disqualification from 
 30.20  benefits under section 268.09; 
 30.21     (3) the claimant has met all of the eligibility 
 30.22  requirements under section 268.08; and 
 30.23     (4) the claimant does not have an outstanding overpayment 
 30.24  of benefits under section 268.18; 
 30.25     (b) Benefits shall not be considered as paid by an employer.
 30.26  The commissioner shall determine a claimant's entitlement to 
 30.27  benefits based upon that information available and any agreement 
 30.28  between a claimant and an employer shall not be a factor in 
 30.29  determining a claimant's entitlement.  Any obligation on an 
 30.30  employer as a result of benefits charged to the employer is to 
 30.31  the fund only. 
 30.32     Sec. 29.  Minnesota Statutes 1996, section 268.07, 
 30.33  subdivision 2, is amended to read: 
 30.34     Subd. 2.  [WEEKLY BENEFIT AMOUNT AND DURATION.] (a) To 
 30.35  establish a reemployment insurance account, a claimant must have:
 30.36     (1) wage credits in two or more calendar quarters of the 
 31.1   claimant's base period; 
 31.2      (2) minimum total base period wage credits equal to or 
 31.3   greater than the high quarter wages wage credits multiplied by 
 31.4   1.25; 
 31.5      (3) high quarter wage credits of not less than $1,000; and 
 31.6      (4) performed work in 15 or more calendar weeks in the base 
 31.7   period.  
 31.8      (b) If the commissioner finds that a claimant has 
 31.9   sufficient wage credits and weeks worked within the base period 
 31.10  to establish established a reemployment insurance account, the 
 31.11  weekly benefit amount payable to the claimant during the 
 31.12  claimant's benefit year shall be equal to 1/26 of the claimant's 
 31.13  high quarter wage credits, rounded to the next lower whole 
 31.14  dollar.  
 31.15     (c) Notwithstanding paragraph (b), the maximum weekly 
 31.16  benefit amount shall be a percentage of the average weekly wage 
 31.17  as determined under paragraphs (d) and (e).  
 31.18     (d) On or before June 30 of each year, the commissioner 
 31.19  shall determine the average weekly wage for purposes of 
 31.20  paragraph (c) paid by employers subject to sections 268.03 to 
 31.21  268.23 in the following manner:  
 31.22     (1) The sum of the total monthly employment reported for 
 31.23  the previous calendar year shall be divided by 12 to determine 
 31.24  the average monthly employment.  
 31.25     (2) The sum of the total wages reported for the previous 
 31.26  calendar year shall be divided by the average monthly employment 
 31.27  to determine the average annual wage.  
 31.28     (3) The average annual wage shall be divided by 52 to 
 31.29  determine the average weekly wage.  
 31.30     (e) The maximum weekly benefit amount for any reemployment 
 31.31  insurance account established during the 12-month period 
 31.32  subsequent to June 30 of any year shall be determined on the 
 31.33  basis of the unemployment reemployment insurance fund balance on 
 31.34  December 31 of the preceding year.  If the fund balance is less 
 31.35  than $70,000,000 on that date, the maximum weekly benefit amount 
 31.36  shall be 66-2/3 percent of the state's average weekly wage; if 
 32.1   the fund balance is more than $70,000,000 but less than 
 32.2   $100,000,000, the maximum weekly benefit amount is 66 percent of 
 32.3   the state's average weekly wage; if the fund balance is more 
 32.4   than $100,000,000 but less than $150,000,000, the maximum weekly 
 32.5   benefit amount is 65 percent of the state's average weekly wage; 
 32.6   if the fund balance is more than $150,000,000 but less than 
 32.7   $200,000,000, the maximum weekly benefit amount is 64 percent of 
 32.8   the state's average weekly wage; if the fund balance is more 
 32.9   than $200,000,000 but less than $250,000,000, the maximum weekly 
 32.10  benefit amount is 63 percent of the state's average weekly wage; 
 32.11  if the fund balance is more than $250,000,000 but less than 
 32.12  $300,000,000, the maximum weekly benefit amount is 62 percent of 
 32.13  the state's average weekly wage; if the fund balance is more 
 32.14  than $300,000,000 but less than $350,000,000, the maximum weekly 
 32.15  benefit amount is 61 percent of the state's average weekly wage; 
 32.16  if the fund balance is more than $350,000,000, the maximum 
 32.17  weekly benefit amount is 60 percent.  The maximum weekly benefit 
 32.18  amount as determined under this paragraph shall be computed to 
 32.19  the nearest whole dollar shall apply to reemployment insurance 
 32.20  accounts established subsequent to June 30 of each year.  
 32.21     (f) (d) The maximum benefit amount payable for on any 
 32.22  benefit year reemployment insurance account shall equal 
 32.23  one-third of the claimant's total base period wage credits 
 32.24  rounded to the next lower dollar, not to exceed 26 times the 
 32.25  claimant's weekly benefit amount.  
 32.26     Sec. 30.  Minnesota Statutes 1996, section 268.07, 
 32.27  subdivision 3, is amended to read: 
 32.28     Subd. 3.  [SECOND ACCOUNT PROHIBITED REQUIREMENTS.] (a) To 
 32.29  establish a second reemployment insurance account following the 
 32.30  expiration of a benefit year on a preceding reemployment 
 32.31  insurance account, a claimant must have sufficient wage 
 32.32  credits and weeks of employment to establish a reemployment 
 32.33  insurance account under the provisions of subdivision 2 and must 
 32.34  have performed services in covered employment after the 
 32.35  establishment of the preceding reemployment insurance account.  
 32.36  The services performed must have been in insured work and The 
 33.1   wages paid for those services must equal not less than ten eight 
 33.2   times the weekly benefit amount of the second preceding 
 33.3   reemployment insurance account.  A reemployment insurance 
 33.4   account established sufficiently in advance of anticipated 
 33.5   unemployment to make the limitations of this paragraph 
 33.6   ineffective shall not be allowed.  It is the purpose of this 
 33.7   provision that to prevent a claimant cannot establish from 
 33.8   establishing more than one reemployment insurance account as a 
 33.9   result of one separation from employment. 
 33.10     (b) No employer who provided 90 percent or more of the wage 
 33.11  credits in a claimant's base period shall be charged for 
 33.12  benefits based upon wages paid during a subsequent base period 
 33.13  unless the claimant performed services for the employer in any 
 33.14  part of the subsequent base period. 
 33.15     Sec. 31.  Minnesota Statutes 1996, section 268.07, 
 33.16  subdivision 3a, is amended to read: 
 33.17     Subd. 3a.  [RIGHT OF APPEAL.] (a) A determination or 
 33.18  redetermination of a reemployment insurance account shall be 
 33.19  final unless a claimant or base period employer within 
 33.20  15 calendar days after the mailing of the determination or 
 33.21  redetermination to the last known address files a written 
 33.22  appeal.  Every determination or redetermination of a 
 33.23  reemployment insurance account shall contain a prominent 
 33.24  statement indicating in clear language the method of appealing, 
 33.25  the time within which the appeal must be made, and the 
 33.26  consequences of not appealing.  Proceedings on the appeal shall 
 33.27  be conducted in accordance with section 268.105. 
 33.28     (b) Any claimant or base period employer may appeal from a 
 33.29  determination or redetermination of a reemployment insurance 
 33.30  account on the issue of whether an employing unit is an employer 
 33.31  within the meaning of this chapter or whether services performed 
 33.32  constitute employment within the meaning of this chapter.  
 33.33  Proceedings on the appeal shall be conducted in accordance with 
 33.34  section 268.105. 
 33.35     Sec. 32.  Minnesota Statutes 1996, section 268.07, 
 33.36  subdivision 3b, is amended to read: 
 34.1      Subd. 3b.  [LIMITATIONS.] (a) A reemployment insurance 
 34.2   account shall be established the Sunday of the calendar week in 
 34.3   which the application for reemployment insurance benefits was 
 34.4   made.  If an individual attempted to make an application for a 
 34.5   reemployment insurance account, but was prevented from making an 
 34.6   application by the department of economic security, the 
 34.7   reemployment insurance account shall be established the Sunday 
 34.8   of the calendar week the individual first attempted to make an 
 34.9   application. 
 34.10     (b) A reemployment insurance account, once established, may 
 34.11  be withdrawn if benefits have not been paid, and benefit credit 
 34.12  has not been claimed and a new account established only if the 
 34.13  claimant has not been credited with a waiting week under section 
 34.14  268.08, subdivision 1, clause (3).  A determination or amended 
 34.15  determination pursuant to section 268.101, that was issued 
 34.16  before the withdrawal of the reemployment insurance account, 
 34.17  shall remain in effect and shall not be voided by the withdrawal 
 34.18  of the reemployment insurance account.  A determination of 
 34.19  disqualification requiring subsequent earnings to satisfy the 
 34.20  disqualification shall apply to the weekly benefit amount on the 
 34.21  new account. 
 34.22     (c) A reemployment insurance account shall not be 
 34.23  established prior to the Sunday following the expiration of the 
 34.24  benefit year on a prior preceding reemployment insurance account.
 34.25     (d) All benefits shall be payable from the Minnesota 
 34.26  reemployment insurance fund only for weeks occurring during the 
 34.27  benefit year. 
 34.28     Sec. 33.  Minnesota Statutes 1996, section 268.071, 
 34.29  subdivision 3, is amended to read: 
 34.30     Subd. 3.  [ELIGIBILITY REQUIREMENTS FOR EXTENDED BENEFITS.] 
 34.31  An individual A claimant shall be eligible to receive extended 
 34.32  benefits with respect to any week of unemployment in the 
 34.33  individual's claimant's eligibility period only if the 
 34.34  commissioner finds that with respect to such that week the 
 34.35  individual claimant: 
 34.36     (1)  is an "exhaustee" as defined in subdivision 1, clause 
 35.1   paragraph (9); 
 35.2      (2)  has satisfied the requirements of this law for the 
 35.3   receipt of regular benefits that are applicable to individuals 
 35.4   claimants claiming extended benefits, including not being 
 35.5   subject to a disqualification for the receipt of benefits, 
 35.6   except that an individual disqualified for benefits pursuant to 
 35.7   section 268.09, subdivision 1, clause (g) is not eligible for 
 35.8   extended benefits unless the individual has, subsequent to the 
 35.9   disciplinary suspension, earned at least four times the 
 35.10  individual's weekly extended benefit amount; and 
 35.11     (3)  has, during the individual's claimant's base period 
 35.12  earned wage credits available for benefit purposes of not less 
 35.13  than 40 times the individual's claimant's weekly benefit amount 
 35.14  as determined pursuant to section 268.07, subdivision 2. 
 35.15     Sec. 34.  Minnesota Statutes 1996, section 268.071, 
 35.16  subdivision 6, is amended to read: 
 35.17     Subd. 6.  [BEGINNING AND TERMINATION OF EXTENDED BENEFIT 
 35.18  PERIOD.] (1) (a) Whenever an extended benefit period is to 
 35.19  become effective in this state as a result of a state "on" 
 35.20  indicator, or an extended benefit period is to be terminated in 
 35.21  this state as a result of a state "off" indicator the 
 35.22  commissioner shall make an appropriate public announcement. 
 35.23     (2) (b) Computations required by the provisions of 
 35.24  subdivision 1, clause paragraph (4) shall be made by the 
 35.25  commissioner, in accordance with regulations prescribed by the 
 35.26  United States Secretary of Labor. 
 35.27     (3) Except as otherwise provided, the state share of the 
 35.28  benefits paid to an individual under this section shall be 
 35.29  charged to the employment experience record of the base period 
 35.30  employer of the individual to the extent regular benefits were 
 35.31  charged to the base period employer under sections 268.06, 
 35.32  subdivision 5, and 268.09, subdivision 1, clause (e). 
 35.33     (4) With respect to an employer which has elected to be a 
 35.34  contributing employer under the provisions of section 268.06, 
 35.35  subdivision 31, all benefits paid under this section which are 
 35.36  based upon services for such contributing employer shall be 
 36.1   charged to such contributing employer's account as to weeks of 
 36.2   unemployment beginning after January 1, 1979. 
 36.3      Sec. 35.  Minnesota Statutes 1996, section 268.071, 
 36.4   subdivision 9, is amended to read: 
 36.5      Subd. 9.  [ELIGIBILITY REQUIREMENTS.] Notwithstanding the 
 36.6   provisions of subdivision 2, an individual a claimant shall be 
 36.7   ineligible for the payment of extended benefits for any week of 
 36.8   unemployment in the individual's claimant's eligibility period 
 36.9   if the commissioner finds that during that week the individual 
 36.10  claimant failed to accept any offer of suitable work employment, 
 36.11  failed to apply for any suitable work employment to which 
 36.12  referred by the commissioner or failed to actively engage in 
 36.13  seeking work seek employment.  
 36.14     Any individual claimant who has been found ineligible for 
 36.15  extended benefits for any week by reason of this subdivision 
 36.16  shall also be denied benefits for the week following the week in 
 36.17  which the failure occurred and until the individual claimant has 
 36.18  been employed in each of four subsequent weeks, whether or not 
 36.19  consecutive, and has earned remuneration of not less than four 
 36.20  times the individual's claimant's extended weekly benefit amount.
 36.21     For the purpose of this subdivision "suitable work 
 36.22  employment" means, with respect to any individual, any work 
 36.23  employment which is within that individual's the claimant's 
 36.24  capabilities and which has a gross average weekly remuneration 
 36.25  payable which exceeds the sum of the individual's claimant's 
 36.26  weekly benefit amount as determined under subdivision 4 plus the 
 36.27  amount, if any, of supplemental unemployment reemployment 
 36.28  insurance benefits, as defined in section 501(c) (17) (D) of the 
 36.29  Internal Revenue Code of 1954, as amended, payable to 
 36.30  the individual claimant for that week.  The work employment must 
 36.31  pay wages not less than the higher of the federal minimum wage 
 36.32  provided by section 6(a) (1) of the Fair Labor Standards Act of 
 36.33  1938, as amended, without regard to any exemption, or the 
 36.34  applicable state or local minimum wage.  
 36.35     No individual claimant shall be denied extended benefits 
 36.36  for failure to accept an offer of or apply for any suitable work 
 37.1   employment if:  (a) the position was not offered to the 
 37.2   individual claimant in writing or was not listed with employment 
 37.3   service; (b) the failure could not result in a denial of 
 37.4   benefits under the definition of suitable work employment for 
 37.5   regular benefit claimants in section 268.09, subdivision 2 to 
 37.6   the extent that the criteria of suitability therein are is not 
 37.7   inconsistent with this subdivision; or (c) the 
 37.8   individual claimant furnishes satisfactory evidence to the 
 37.9   commissioner that prospects for obtaining work employment in the 
 37.10  individual's claimant's customary occupation within a reasonably 
 37.11  short period are good.  If the evidence furnished is found to be 
 37.12  satisfactory for this purpose, the determination of whether 
 37.13  any work employment is suitable for the individual claimant 
 37.14  shall be made in accordance with the definition of suitable work 
 37.15  for regular benefit claimants employment in section 268.09, 
 37.16  subdivision 2, clause 16, paragraph (a), without regard to the 
 37.17  definition or special disqualification specified in this 
 37.18  subdivision.  
 37.19     No work employment shall be found to be suitable work 
 37.20  employment for an individual a claimant which does would not 
 37.21  accord with the labor standard provisions required by section 
 37.22  3304(a) (5) of the Internal Revenue Code of 1954, as amended, 
 37.23  and set forth in be suitable employment under section 268.09, 
 37.24  subdivision 2 16, clauses paragraph (b) (1) (2) and (3).  
 37.25     For the purpose of this subdivision an individual a 
 37.26  claimant is "actively seeking work employment" during any week 
 37.27  if the individual claimant has engaged in a systematic and 
 37.28  sustained effort to obtain work employment during the week, and 
 37.29  the individual claimant furnishes tangible evidence of engaging 
 37.30  in that effort during the week.  
 37.31     The employment service shall refer any claimant entitled to 
 37.32  extended benefits under this section to any work employment 
 37.33  which is suitable work employment for that individual claimant 
 37.34  under this subdivision. 
 37.35     Sec. 36.  Minnesota Statutes 1996, section 268.08, 
 37.36  subdivision 1, is amended to read: 
 38.1      Subdivision 1.  [ELIGIBILITY CONDITIONS.] A claimant shall 
 38.2   be eligible to receive benefits with respect to for any week of 
 38.3   unemployment in the claimant's benefit year only if the 
 38.4   commissioner finds that the claimant: 
 38.5      (1) has registered for work at and thereafter has continued 
 38.6   to report to an employment office, or agent of the office, in 
 38.7   accordance with rules the commissioner may adopt; except that 
 38.8   the commissioner may by rule waive or alter either or both of 
 38.9   the requirements of this clause as to types of cases or 
 38.10  situations with respect to which the commissioner finds that 
 38.11  compliance with the requirements would be oppressive or would be 
 38.12  inconsistent with the purposes of sections 268.03 to 268.23; 
 38.13     (2) (1) the claimant has made a continued claim for 
 38.14  benefits in person, by mail, by telephone, or by electronic 
 38.15  transmission as the commissioner shall require.  The 
 38.16  commissioner may by rule adopt other requirements for a 
 38.17  continued claim; 
 38.18     (3) (2) the claimant was able to work and was available for 
 38.19  work employment, and was actively seeking work employment.  The 
 38.20  claimant's weekly benefit amount shall be reduced one-fifth for 
 38.21  each day the claimant is unable to work or is unavailable 
 38.22  for work employment.  
 38.23     Benefits shall not be denied by application of this clause 
 38.24  to a claimant who is in training with the approval of the 
 38.25  commissioner, is a dislocated worker as defined in section 
 38.26  268.975, subdivision 3, who is in training approved by the 
 38.27  commissioner, or in training approved pursuant to section 236 of 
 38.28  the Trade Act of 1974, as amended. 
 38.29     A claimant is deemed unavailable for work with respect to 
 38.30  any week which occurs in a period when the claimant is a 
 38.31  full-time student in attendance at, or on vacation from an 
 38.32  established school, college, or university unless a majority of 
 38.33  the claimant's wages paid during the 52 weeks preceding the 
 38.34  establishment of a reemployment insurance account were for 
 38.35  services performed during weeks in which the student was 
 38.36  attending school as a full-time student.  
 39.1      A claimant serving as a juror shall be considered as 
 39.2   available for work employment and actively seeking 
 39.3   work employment on each day the claimant is on jury duty; 
 39.4      (4) (3) the claimant has been unemployed for a waiting 
 39.5   period of one week during which the claimant is otherwise 
 39.6   entitled to benefits under sections 268.03 to 268.23; and 
 39.7      (5) (4) the claimant has been participating in reemployment 
 39.8   services, such as job search assistance services, if the 
 39.9   claimant has been determined to be likely to exhaust regular 
 39.10  benefits and in need of reemployment services pursuant to a 
 39.11  profiling system established by the commissioner, unless there 
 39.12  is justifiable cause for the claimant's failure to participate. 
 39.13     Sec. 37.  Minnesota Statutes 1996, section 268.08, 
 39.14  subdivision 2, is amended to read: 
 39.15     Subd. 2.  [WEEK OF UNEMPLOYMENT NOT ELIGIBLE.] No week 
 39.16  shall be counted as A claimant shall not be eligible to receive 
 39.17  benefits for any week of unemployment for the purposes of this 
 39.18  section: 
 39.19     (1) unless it occurs subsequent to the establishment of a 
 39.20  reemployment insurance account; 
 39.21     (2) Unless it occurs after benefits first could become 
 39.22  payable to any claimant under sections 268.03 to 268.23; which 
 39.23  occurs in a period when the claimant is a full-time student in 
 39.24  attendance at, or on vacation from an established school, 
 39.25  college, or university unless a majority of the claimant's wages 
 39.26  paid during the 52 weeks preceding the establishment of a 
 39.27  reemployment insurance account were for services performed 
 39.28  during weeks that the claimant was attending school as a 
 39.29  full-time student; 
 39.30     (3) in which the claimant is incarcerated.  The claimant's 
 39.31  weekly benefit amount shall be reduced by one-fifth for each day 
 39.32  the claimant is incarcerated; 
 39.33     (4) in which the claimant is on a voluntary leave of 
 39.34  absence; 
 39.35     (5) in which the claimant is performing services on a 
 39.36  full-time basis, in covered employment, noncovered employment, 
 40.1   self-employment, or volunteer work regardless of the amount of 
 40.2   any earnings; or 
 40.3      (3) (6) with respect to which the claimant is receiving, 
 40.4   has received, or has filed a claim for reemployment insurance 
 40.5   benefits under any other law of this state, or of any other 
 40.6   state, or the federal government, including readjustment 
 40.7   allowances under Title V, Servicemen's Readjustment Act, 1944, 
 40.8   but not including benefits under the Veterans Readjustment 
 40.9   Assistance Act of 1952 or any other federal or state benefits 
 40.10  which that are merely supplementary to those provided for under 
 40.11  sections 268.03 to 268.23 this chapter; provided that if the 
 40.12  appropriate agency of such other state or the federal government 
 40.13  finally determines that the claimant is not entitled to such the 
 40.14  benefits, this provision clause shall not apply. 
 40.15     Sec. 38.  Minnesota Statutes 1996, section 268.08, is 
 40.16  amended by adding a subdivision to read: 
 40.17     Subd. 2a.  [SUSPENSION FROM EMPLOYMENT.] (a) A claimant who 
 40.18  has been suspended from employment for 30 calendar days or less, 
 40.19  as a result of misconduct as defined under section 268.09, 
 40.20  subdivision 12, shall be ineligible for benefits commencing the 
 40.21  Sunday of the week in which the claimant was suspended and 
 40.22  continuing for the duration of the suspension. 
 40.23     (b) A suspension from employment for more than 30 calendar 
 40.24  days shall constitute a discharge from employment under section 
 40.25  268.09, subdivision 11. 
 40.26     Sec. 39.  Minnesota Statutes 1996, section 268.08, 
 40.27  subdivision 3, is amended to read: 
 40.28     Subd. 3.  [NOT ELIGIBLE DEDUCTIBLE PAYMENTS.] A claimant 
 40.29  shall not be eligible to receive benefits for any week with 
 40.30  respect to which the claimant is receiving, has received, or has 
 40.31  filed a claim for remuneration payment in an amount equal to or 
 40.32  in excess of the claimant's weekly benefit amount in the form of:
 40.33     (1) termination, severance, or dismissal payment or wages 
 40.34  in lieu of notice whether legally required or not; provided that 
 40.35  if a termination, severance, or dismissal payment is made in a 
 40.36  lump sum, such lump sum payment shall be allocated over a period 
 41.1   equal to the lump sum divided by the claimant's regular pay 
 41.2   while employed by such employer; provided such payment shall be 
 41.3   applied for a period immediately following the last day of 
 41.4   employment but not to exceed 28 calendar days provided that 50 
 41.5   percent of the total of any such payments in excess of eight 
 41.6   weeks shall be similarly allocated to the period immediately 
 41.7   following the 28 days; or.  This clause shall apply to the first 
 41.8   four weeks of payment and to one-half of the total number of any 
 41.9   additional weeks of payment.  This clause shall be applied to 
 41.10  the period immediately following the last day of employment.  
 41.11  The number of weeks of payment shall be determined as follows: 
 41.12     (i) if the payments are made periodically, the total of the 
 41.13  payments to be received shall be divided by the claimant's last 
 41.14  level of regular weekly pay from the employer; or 
 41.15     (ii) if the payment is made in a lump sum, that sum shall 
 41.16  be divided by the claimant's last level of regular weekly pay 
 41.17  from the employer; 
 41.18     (2) vacation allowance paid directly by the employer for a 
 41.19  period of requested vacation, including vacation periods 
 41.20  assigned by the employer under the provisions of a collective 
 41.21  bargaining agreement, or uniform vacation shutdown; or 
 41.22     (3) compensation for loss of wages under the workers' 
 41.23  compensation law of this state or any other state or under a 
 41.24  similar law of the United States, or under other insurance or 
 41.25  fund established and paid for by the employer; or 
 41.26     (4) 50 percent of the pension payments from any fund, 
 41.27  annuity or insurance maintained or contributed to by a base 
 41.28  period employer including the armed forces of the United States 
 41.29  if the employee claimant contributed to the fund, annuity or 
 41.30  insurance and all of the pension payments if the claimant did 
 41.31  not contribute to the fund, annuity or insurance; or 
 41.32     (5) 50 percent of a primary insurance benefit under title 
 41.33  II of the Social Security Act, as amended, or similar old age 
 41.34  benefits under any act of Congress or this state or any other 
 41.35  state. 
 41.36     Provided, that if such remuneration the payment is less 
 42.1   than the benefits which would otherwise be due under sections 
 42.2   268.03 to 268.23 claimant's weekly benefit amount, the claimant 
 42.3   shall be entitled to receive for such that week, if otherwise 
 42.4   eligible, benefits reduced by the amount of such 
 42.5   remuneration the payment; provided, further, that if the 
 42.6   appropriate agency of such this state or any other state or the 
 42.7   federal government finally determines that the claimant is not 
 42.8   entitled to such benefits payments, this provision subdivision 
 42.9   shall not apply.  If the computation of reduced benefits, 
 42.10  required by this subdivision, is not a whole dollar amount, it 
 42.11  shall be rounded down to the next lower dollar amount. 
 42.12     Sec. 40.  Minnesota Statutes 1996, section 268.08, 
 42.13  subdivision 3a, is amended to read: 
 42.14     Subd. 3a.  [DEDUCTIBLE EARNINGS.] Each eligible claimant 
 42.15  who is unemployed in any week shall be paid with respect to such 
 42.16  week a benefit in an amount equal to the claimant's weekly 
 42.17  benefit amount less that part of the claimant's earnings, 
 42.18  including holiday pay, payable to the claimant with respect to 
 42.19  such week which is in excess of $200 for earnings from service 
 42.20  in the national guard or a United States military reserve unit 
 42.21  and the greater of $50 or 25 percent of the earnings in other 
 42.22  work; provided that no deduction may be made from the weekly 
 42.23  benefit amount for earnings from service as a volunteer 
 42.24  firefighter or volunteer ambulance service personnel.  Jury duty 
 42.25  pay is not considered as earnings and shall not be deducted from 
 42.26  benefits paid.  The resulting benefit, if not a whole dollar 
 42.27  amount, shall be rounded down to the next lower dollar 
 42.28  amount.  (a) If the claimant has earnings, including holiday 
 42.29  pay, with respect to any week, from covered employment, 
 42.30  noncovered employment, self-employment, or volunteer work, equal 
 42.31  to or in excess of the claimant's weekly benefit amount, the 
 42.32  claimant shall be ineligible for benefits for that week. 
 42.33     (b) If the claimant has earnings, including holiday pay, 
 42.34  with respect to any week, from covered employment, noncovered 
 42.35  employment, self-employment, or volunteer work, that is less 
 42.36  than the claimant's weekly benefit amount, the following shall 
 43.1   be deducted from the claimant's weekly benefit amount: 
 43.2      (1) that amount in excess of $50 if the claimant's earnings 
 43.3   were $200 or less, and that amount in excess of 25 percent of 
 43.4   the claimant's earnings if those earnings were more than $200; 
 43.5   and 
 43.6      (2) that amount in excess of $200 for earnings from service 
 43.7   in the National Guard or a United States military reserve unit. 
 43.8      The resulting benefit, if not a whole dollar, shall be 
 43.9   rounded to the next lower dollar. 
 43.10     (c) No deduction shall be made from a claimant's weekly 
 43.11  benefit amount for earnings from service as a volunteer 
 43.12  firefighter or volunteer ambulance service personnel.  No 
 43.13  deduction shall be made for jury duty pay. 
 43.14     Sec. 41.  Minnesota Statutes 1996, section 268.08, 
 43.15  subdivision 3b, is amended to read: 
 43.16     Subd. 3b.  [RECEIPT OF BACK PAY.] Back pay received by a 
 43.17  claimant with respect to any weeks of unemployment occurring in 
 43.18  the 104 weeks immediately preceding the payment of the back pay 
 43.19  shall be deducted from benefits paid for those weeks.  
 43.20     The amount deducted shall not reduce the benefits for which 
 43.21  that the claimant is otherwise eligible for that week below 
 43.22  zero.  If the amount of benefits after the deduction of back pay 
 43.23  is not a whole dollar amount, it shall be rounded to the next 
 43.24  lower dollar.  
 43.25     If the back pay awarded the claimant is reduced by benefits 
 43.26  paid, the amounts withheld shall be:  (a) paid by the employer 
 43.27  into the fund within 30 days of the award and are subject to the 
 43.28  same collection procedures that apply to past due contributions 
 43.29  under this chapter; (b) applied to benefit overpayments 
 43.30  resulting from the payment of the back pay; (c) credited to the 
 43.31  claimant's maximum amount of benefits payable in a benefit year 
 43.32  which that includes the weeks of unemployment for which back pay 
 43.33  was deducted.  Benefit charges for those weeks shall be removed 
 43.34  from the employer's account as of the calendar quarter in which 
 43.35  the fund receives payment.  
 43.36     Payments to the fund under this subdivision are shall be 
 44.1   considered as made by the employer on behalf of the claimant and 
 44.2   are not voluntary contributions under section 268.06, 
 44.3   subdivision 24.  
 44.4      Sec. 42.  Minnesota Statutes 1996, section 268.08, 
 44.5   subdivision 10, is amended to read: 
 44.6      Subd. 10.  [SEASONAL EMPLOYMENT.] (a) If the commissioner 
 44.7   finds that a claimant has earned wage credits in from seasonal 
 44.8   employment, benefits shall be payable only if the commissioner 
 44.9   finds that the claimant has earned wage credits in 15 or more 
 44.10  calendar weeks equal to or in excess of 30 times the claimant's 
 44.11  weekly benefit amount, in employment which is not seasonal, in 
 44.12  addition to any can establish a reemployment insurance account 
 44.13  under section 268.07, subdivision 2, excluding the wage credits 
 44.14  in from seasonal employment.  For purposes of this subdivision, 
 44.15  "seasonal employment" means employment with a single employer in 
 44.16  the recreation or tourist industry which that is available with 
 44.17  the employer for 15 consecutive weeks or less each calendar year.
 44.18     (b) Wages paid in Wage credits from seasonal employment are 
 44.19  may not available be used for benefit purposes during weeks in 
 44.20  which there is no seasonal employment available with the 
 44.21  employer outside the normal season. 
 44.22     Sec. 43.  Minnesota Statutes 1996, section 268.09, is 
 44.23  amended by adding a subdivision to read: 
 44.24     Subd. 1a.  [QUIT.] A claimant who quits employment shall be 
 44.25  disqualified from benefits: 
 44.26     (1) unless the claimant quit the employment because of a 
 44.27  good reason caused by the employer; 
 44.28     (2) unless the claimant quit the employment to accept other 
 44.29  employment that provided substantially higher wages or 
 44.30  substantially better conditions of employment or both, but the 
 44.31  claimant did not work long enough at the other employment to 
 44.32  have sufficient subsequent earnings to satisfy the 
 44.33  disqualification that would otherwise be imposed; 
 44.34     (3) unless the claimant quit the employment within 30 
 44.35  calendar days of commencing the employment because the 
 44.36  employment was unsuitable for the claimant; 
 45.1      (4) unless the employment was unsuitable for the claimant 
 45.2   and the claimant quit to enter approved training; 
 45.3      (5) unless the employment was part time and the claimant 
 45.4   had full-time employment in the base period, that the claimant 
 45.5   separated from because of nondisqualifying reasons, sufficient 
 45.6   to meet the minimum requirements to establish a reemployment 
 45.7   insurance account under section 268.07, subdivision 2; or 
 45.8      (6) unless the claimant quit the employment because of the 
 45.9   claimant's serious illness, provided that the claimant made 
 45.10  reasonable efforts to retain that employment in spite of the 
 45.11  serious illness. 
 45.12     A claimant who quit employment because of the claimant's 
 45.13  chemical dependency, has not made reasonable efforts to retain 
 45.14  the employment if the claimant has previously been 
 45.15  professionally diagnosed as chemically dependent, or has 
 45.16  previously voluntarily submitted to treatment for chemical 
 45.17  dependency, and has failed to make consistent efforts to 
 45.18  maintain the treatment the claimant knows or has been 
 45.19  professionally advised is necessary to control the chemical 
 45.20  dependency. 
 45.21     Sec. 44.  Minnesota Statutes 1996, section 268.09, is 
 45.22  amended by adding a subdivision to read: 
 45.23     Subd. 2a.  [QUIT DEFINED.] A quit from employment occurs 
 45.24  when the decision to end the employment was, at the time the 
 45.25  employment ended, the employee's.  A previously submitted notice 
 45.26  of quitting, when an employer chooses not to allow an employee 
 45.27  to withdraw, shall be considered a quit from employment by the 
 45.28  employee. 
 45.29     Sec. 45.  Minnesota Statutes 1996, section 268.09, 
 45.30  subdivision 3, is amended to read: 
 45.31     Subd. 3.  [LABOR DISPUTE.] (a) An individual A claimant who 
 45.32  has left or partially or totally lost employment with an 
 45.33  employer because of a strike or other labor dispute at the 
 45.34  establishment in which where the individual claimant is or was 
 45.35  employed shall be disqualified for from benefits:  
 45.36     (1) for each until the end of the calendar week during 
 46.1   which that the strike or labor dispute is was in active 
 46.2   progress if the claimant is participating in or directly 
 46.3   interested in the strike or labor dispute; or 
 46.4      (2) for one week following the commencement of until the 
 46.5   end of the calendar week that the strike or labor 
 46.6   dispute commenced if the individual claimant is not 
 46.7   participating in or directly interested in the strike or labor 
 46.8   dispute.  
 46.9      Participation includes the failure or refusal of an 
 46.10  individual by a claimant to accept and perform available and 
 46.11  customary work at the establishment.  
 46.12     (b) An individual A claimant who has left or partially or 
 46.13  totally lost employment with an employer because of a 
 46.14  jurisdictional controversy between two or more labor 
 46.15  organizations at the establishment in which where the individual 
 46.16  claimant is or was employed shall be disqualified for benefits 
 46.17  for each until the end of the calendar week during which that 
 46.18  the jurisdictional controversy is was in progress. 
 46.19     (c) For the purpose of this subdivision the term "labor 
 46.20  dispute" shall have the same definition as provided in the 
 46.21  Minnesota labor relations act.  Nothing in this subdivision 
 46.22  shall be deemed to deny benefits to any employee A claimant 
 46.23  shall not be disqualified from benefits under this subdivision 
 46.24  if: 
 46.25     (1) who the claimant becomes unemployed because of a strike 
 46.26  or lockout caused by an employer's willful failure to observe 
 46.27  the terms of the safety and health section of a union contract 
 46.28  or failure to comply with an official citation for a violation 
 46.29  of federal and state laws involving occupational safety and 
 46.30  health; provided, however, that benefits paid in accordance with 
 46.31  this provision shall not be charged to the employer's experience 
 46.32  rating account if, following official appeal proceedings, it is 
 46.33  held that there was no willful failure on the part of the 
 46.34  employer; or 
 46.35     (2) who the claimant becomes unemployed because of a 
 46.36  lockout; or 
 47.1      (3) who the claimant is dismissed discharged during the 
 47.2   period of negotiation in any labor dispute and prior to the 
 47.3   commencement of a strike or other labor dispute.  
 47.4      (d) A voluntary separation quit from employment by the 
 47.5   claimant during the time that the strike or other labor dispute 
 47.6   is in active progress at the establishment shall not be deemed 
 47.7   to terminate the individual's claimant's participation in or 
 47.8   direct interest in such the strike or other labor dispute for 
 47.9   purposes of this subdivision. 
 47.10     (e) Benefits paid to an employee who has left or partially 
 47.11  or totally lost employment because of a strike or other labor 
 47.12  dispute at the employee's primary place of employment shall not 
 47.13  be charged to the employer's account unless the employer was a 
 47.14  party to the particular strike or labor dispute For the purpose 
 47.15  of this subdivision, the term "labor dispute" shall have the 
 47.16  same definition as provided in the Minnesota labor relations act.
 47.17     (f) Notwithstanding any other provision of this section, an 
 47.18  individual whose last separation from employment with an 
 47.19  employer occurred prior to the commencement of the strike or 
 47.20  other labor dispute and was permanent or for an indefinite 
 47.21  period, shall not be denied benefits or waiting week credit 
 47.22  solely by reason of failure to apply for or to accept recall to 
 47.23  work or reemployment with the employer during any week in which 
 47.24  the strike or other labor dispute is in progress at the 
 47.25  establishment in which the individual was employed. 
 47.26     Sec. 46.  Minnesota Statutes 1996, section 268.09, is 
 47.27  amended by adding a subdivision to read: 
 47.28     Subd. 9.  [GOOD REASON CAUSED BY THE EMPLOYER DEFINED.] (a) 
 47.29  A good reason caused by the employer for quitting is a reason:  
 47.30     (1) that is directly related to the employment and for 
 47.31  which the employer is responsible; and 
 47.32     (2) that is significant and would compel an average, 
 47.33  reasonable worker to quit. 
 47.34     (b) A claimant has a good reason caused by the employer for 
 47.35  quitting if it results from sexual harassment.  Sexual 
 47.36  harassment means unwelcome sexual advances, requests for sexual 
 48.1   favors, sexually motivated physical contact or other conduct or 
 48.2   communication of a sexual nature when:  
 48.3      (1) the claimant's submission to the conduct or 
 48.4   communication is made a term or condition of the employment; 
 48.5      (2) the claimant's submission to or rejection of the 
 48.6   conduct or communication is the basis for decisions affecting 
 48.7   employment; or 
 48.8      (3) the conduct or communication has the purpose or effect 
 48.9   of substantially interfering with a claimant's work performance 
 48.10  or creating an intimidating, hostile, or offensive working 
 48.11  environment and the employer knows or should know of the 
 48.12  existence of the harassment and fails to take timely and 
 48.13  appropriate action. 
 48.14     Sec. 47.  Minnesota Statutes 1996, section 268.09, is 
 48.15  amended by adding a subdivision to read: 
 48.16     Subd. 10.  [DISCHARGE.] A claimant who is discharged from 
 48.17  employment by an employer shall not be disqualified from 
 48.18  benefits: 
 48.19     (1) unless the claimant was discharged because of 
 48.20  misconduct that interfered with and adversely affected that 
 48.21  employment.  This clause shall not apply if: 
 48.22     (i) the misconduct was a direct result of the claimant's 
 48.23  serious illness provided that the claimant made reasonable 
 48.24  efforts to retain the employment in spite of the serious 
 48.25  illness.  If the misconduct was a direct result of the 
 48.26  claimant's chemical dependency, the claimant has not made 
 48.27  reasonable efforts to retain employment if the claimant has 
 48.28  previously been professionally diagnosed chemically dependent or 
 48.29  the claimant has previously voluntarily submitted to treatment 
 48.30  for chemical dependency and has failed to make consistent 
 48.31  efforts to maintain the treatment the claimant knows or has been 
 48.32  professionally advised is necessary to control the chemical 
 48.33  dependency; or 
 48.34     (ii) the employment was part time and the claimant had 
 48.35  full-time employment in the base period, that the claimant 
 48.36  separated from because of nondisqualifying reasons, sufficient 
 49.1   to meet the minimum requirements to establish a reemployment 
 49.2   insurance account under section 268.07, subdivision 2; 
 49.3      (2) unless the claimant was discharged because of gross 
 49.4   misconduct that interfered with and adversely affected that 
 49.5   employment.  For the purpose of this clause, "gross misconduct" 
 49.6   means: 
 49.7      (i) the commission of any act that amounts to a gross 
 49.8   misdemeanor or felony; or 
 49.9      (ii) for an employee of a facility as defined in section 
 49.10  626.5572, gross misconduct includes an act of patient or 
 49.11  resident abuse, financial exploitation, or recurring or serious 
 49.12  neglect, as defined in section 626.5572 and applicable rules. 
 49.13     If a claimant is convicted of a gross misdemeanor or felony 
 49.14  for the same act or acts for which the claimant was discharged, 
 49.15  it is conclusively presumed to be gross misconduct; or 
 49.16     (3) if the claimant was discharged because the claimant 
 49.17  gave notice of intention to quit the employment within 30 
 49.18  calendar days.  This clause shall be effective only through the 
 49.19  end of the calendar week that includes the intended date of 
 49.20  quitting.  Thereafter the separation from employment shall be 
 49.21  considered a quit of employment by the claimant, and a 
 49.22  disqualification, if any, shall commence with the Sunday of the 
 49.23  week following the week that includes the intended date of 
 49.24  quitting. 
 49.25     Sec. 48.  Minnesota Statutes 1996, section 268.09, is 
 49.26  amended by adding a subdivision to read: 
 49.27     Subd. 11.  [DISCHARGE DEFINED.] A discharge from employment 
 49.28  occurs when any words or actions by an employer would lead a 
 49.29  reasonable employee to believe that the employee's services are 
 49.30  no longer desired by the employer.  A layoff due to lack of work 
 49.31  shall be considered a discharge.  A suspension from employment 
 49.32  of more than 30 calendar days shall be considered a discharge. 
 49.33     Sec. 49.  Minnesota Statutes 1996, section 268.09, is 
 49.34  amended by adding a subdivision to read: 
 49.35     Subd. 12.  [MISCONDUCT DEFINED.] Misconduct is intentional 
 49.36  conduct showing a disregard of: 
 50.1      (1) the employer's interest; 
 50.2      (2) the standards of behavior that an employer has the 
 50.3   right to expect of the employee; or 
 50.4      (3) the employee's duties and obligations to the employer.  
 50.5   Misconduct also includes negligent conduct by an employee 
 50.6   demonstrating a substantial lack of concern for the employment.  
 50.7   Inefficiency, inadvertence, simple unsatisfactory conduct, or 
 50.8   poor performance as a result of inability or incapacity are not 
 50.9   misconduct. 
 50.10     Sec. 50.  Minnesota Statutes 1996, section 268.09, is 
 50.11  amended by adding a subdivision to read: 
 50.12     Subd. 13.  [CONSTRUCTIVE QUIT AND DISCHARGE.] Constructive 
 50.13  quitting and constructive discharge shall not apply to this 
 50.14  chapter. 
 50.15     Sec. 51.  Minnesota Statutes 1996, section 268.09, is 
 50.16  amended by adding a subdivision to read: 
 50.17     Subd. 14.  [ACT OR OMISSIONS AFTER SEPARATION.] Except as 
 50.18  provided for under subdivision 15, a claimant shall not be 
 50.19  disqualified from benefits for any acts or omissions occurring 
 50.20  after the claimant's separation from employment with the 
 50.21  employer. 
 50.22     Sec. 52.  Minnesota Statutes 1996, section 268.09, is 
 50.23  amended by adding a subdivision to read: 
 50.24     Subd. 15.  [OFFERS OF EMPLOYMENT.] (a) A claimant shall be 
 50.25  disqualified from benefits if the claimant, without good cause: 
 50.26     (1) failed to apply for available, suitable employment of 
 50.27  which the claimant was advised by the commissioner or an 
 50.28  employer; 
 50.29     (2) failed to accept suitable employment when offered; or 
 50.30     (3) avoided an offer of suitable employment. 
 50.31     (b) The claimant shall not be disqualified from benefits 
 50.32  under paragraph (a) if the claimant: 
 50.33     (1) was in approved training; or 
 50.34     (2) formerly worked for the employer and the claimant's 
 50.35  last separation from employment with the employer occurred prior 
 50.36  to the commencement of a strike or other labor dispute, was 
 51.1   permanent or for an indefinite period, and the claimant failed 
 51.2   to apply for or accept reemployment because a strike or other 
 51.3   labor dispute was in progress at the establishment where the 
 51.4   claimant was previously employed by that employer. 
 51.5      Sec. 53.  Minnesota Statutes 1996, section 268.09, is 
 51.6   amended by adding a subdivision to read: 
 51.7      Subd. 16.  [SUITABLE EMPLOYMENT DEFINED.] (a) Suitable 
 51.8   employment is employment in the claimant's labor market area 
 51.9   that is reasonably related to the claimant's qualifications.  In 
 51.10  determining whether any employment is suitable for a claimant, 
 51.11  the degree of risk involved to the health and safety, physical 
 51.12  fitness, prior training, experience, length of unemployment, 
 51.13  prospects for securing local employment in the claimant's 
 51.14  customary occupation, and the distance of the employment from 
 51.15  the claimant's residence shall be considered. 
 51.16     (b) No employment shall be considered suitable if: 
 51.17     (1) the position offered is vacant due directly to a 
 51.18  strike, lockout, or other labor dispute; 
 51.19     (2) the wages, hours, or other conditions of employment are 
 51.20  substantially less favorable than those prevailing for similar 
 51.21  employment in the locality; or 
 51.22     (3) as a condition of becoming employed, the claimant would 
 51.23  be required to join a company union or to resign from or refrain 
 51.24  from joining any bona fide labor organization. 
 51.25     Sec. 54.  Minnesota Statutes 1996, section 268.09, is 
 51.26  amended by adding a subdivision to read: 
 51.27     Subd. 17.  [DISQUALIFICATION DURATION.] (a) A 
 51.28  disqualification from the payment of benefits under subdivisions 
 51.29  1a, 10, and 15 shall be for the duration of the claimant's 
 51.30  unemployment and until the end of the calendar week in which the 
 51.31  claimant had total earnings in subsequent covered employment of 
 51.32  eight times the claimant's weekly benefit amount. 
 51.33     (b) Any disqualification imposed under subdivisions 1a and 
 51.34  10 shall commence on the Sunday of the week in which the 
 51.35  claimant became separated from employment.  Any disqualification 
 51.36  imposed under subdivision 15 shall commence on the Sunday of the 
 52.1   week the claimant failed to apply for, accept, or avoided 
 52.2   employment. 
 52.3      (c) Notwithstanding paragraph (a), if the claimant was 
 52.4   discharged from employment because of gross misconduct that 
 52.5   interfered with and adversely affected that employment the 
 52.6   disqualification shall be for the duration of the claimant's 
 52.7   unemployment and until the end of the calendar week in which the 
 52.8   claimant had total earnings in subsequent covered employment of 
 52.9   12 times the claimant's weekly benefit amount.  In addition, 
 52.10  wage credits from that employment shall be canceled and the 
 52.11  claimant's reemployment insurance account redetermined pursuant 
 52.12  to section 268.07, subdivision 1, paragraph (d). 
 52.13     Sec. 55.  Minnesota Statutes 1996, section 268.09, is 
 52.14  amended by adding a subdivision to read: 
 52.15     Subd. 18.  [APPLICATION.] The disqualification shall apply 
 52.16  to: 
 52.17     (1) all covered employment, full time or part time, 
 52.18  temporary or limited duration, permanent or indefinite duration, 
 52.19  that occurred during the base period, the period between the end 
 52.20  of the base period and the effective date of the reemployment 
 52.21  insurance account, or the benefit year, except as provided for 
 52.22  in subdivisions 1a, clause (5); and 10, clause (1)(ii); or 
 52.23     (2) all covered employment occurring in this state, any 
 52.24  other state, federal employment, or employment covered under the 
 52.25  Railroad Unemployment Compensation Act. 
 52.26     Sec. 56.  Minnesota Statutes 1996, section 268.101, 
 52.27  subdivision 2, is amended to read: 
 52.28     Subd. 2.  [DISQUALIFICATION DETERMINATION.] (a) The 
 52.29  commissioner shall promptly determine any issue of 
 52.30  disqualification raised by a timely protest made by an employer, 
 52.31  and mail to the claimant and that employer at the last known 
 52.32  address a determination of disqualification or a determination 
 52.33  of nondisqualification, as is appropriate.  The determination 
 52.34  shall set forth the effect on employer charges. 
 52.35     (b) The commissioner shall promptly determine any issue of 
 52.36  disqualification raised by information obtained from a claimant 
 53.1   pursuant to subdivision 1, paragraph (a) or (c), and mail to the 
 53.2   claimant and employer at the last known address a determination 
 53.3   of disqualification or a determination of nondisqualification, 
 53.4   as is appropriate. 
 53.5      (c) The commissioner shall promptly determine any issue of 
 53.6   disqualification raised by an untimely protest made by an 
 53.7   employer and mail to the claimant and that employer at the last 
 53.8   known address a determination of disqualification or a 
 53.9   determination of nondisqualification as is appropriate.  
 53.10  Notwithstanding section 268.09, any disqualification imposed as 
 53.11  a result of determination issued pursuant to this paragraph 
 53.12  shall commence the Sunday two weeks following the week in which 
 53.13  the untimely protest was made.  Notwithstanding any provisions 
 53.14  to the contrary, any relief of employer charges as a result of a 
 53.15  determination issued pursuant to this paragraph shall commence 
 53.16  the Sunday two weeks following the week in which the untimely 
 53.17  protest was made. 
 53.18     (d) If any time within 24 months from the establishment of 
 53.19  a reemployment insurance account the commissioner finds that a 
 53.20  claimant failed to report any employment, loss of employment, or 
 53.21  offers of employment received which that were required to be 
 53.22  provided by the claimant under this section, the commissioner 
 53.23  shall promptly determine any issue of disqualification on that 
 53.24  loss of employment or offer of employment and mail to the 
 53.25  claimant and involved employer at the last known address a 
 53.26  determination of disqualification or a determination of 
 53.27  nondisqualification, as is appropriate.  The determination shall 
 53.28  set forth the effect on employer charges. 
 53.29     This paragraph shall not apply if the involved employer was 
 53.30  notified and given the opportunity to protest pursuant to 
 53.31  subdivision 1, paragraph (b) or (c). 
 53.32     (e) A determination of disqualification or a determination 
 53.33  of nondisqualification shall be final unless a written an appeal 
 53.34  is filed by the claimant or notified employer within 15 calendar 
 53.35  days after mailing of the determination to the last known 
 53.36  address.  The determination shall contain a prominent statement 
 54.1   indicating in clear language the method of appealing, the time 
 54.2   within which an appeal must be made, and the consequences of not 
 54.3   appealing.  Proceedings on the appeal shall be conducted in 
 54.4   accordance with section 268.105. 
 54.5      (f) An issue of disqualification for purposes of this 
 54.6   section shall include any question of denial of benefits under 
 54.7   section 268.09, any question of an exception to disqualification 
 54.8   under section 268.09, subdivision 1, paragraph (c), any question 
 54.9   of benefit charge to an employer, and any question of an 
 54.10  otherwise imposed disqualification for which a claimant has had 
 54.11  requalifying subsequent earnings sufficient to satisfy the 
 54.12  disqualification.  
 54.13     (g) Notwithstanding the requirements of this subdivision, 
 54.14  the commissioner is not required to mail to a claimant a 
 54.15  determination of nondisqualification where the claimant has had 
 54.16  requalifying subsequent earnings sufficient to satisfy any 
 54.17  otherwise potential disqualification.  
 54.18     Sec. 57.  Minnesota Statutes 1996, section 268.101, 
 54.19  subdivision 3, is amended to read: 
 54.20     Subd. 3.  [ELIGIBILITY DETERMINATION.] (a) The commissioner 
 54.21  shall promptly determine any issue of eligibility raised by a 
 54.22  timely protest made by an employer and mail to the claimant and 
 54.23  that employer at the last known address a determination of 
 54.24  eligibility or a determination of ineligibility, as is 
 54.25  appropriate. 
 54.26     (b) The commissioner shall promptly determine any issue of 
 54.27  eligibility raised by information obtained from a claimant and 
 54.28  mail to the claimant and any involved employer at the last known 
 54.29  address a determination of eligibility or a determination of 
 54.30  ineligibility, as is appropriate. 
 54.31     (c) The commissioner shall promptly determine any issue of 
 54.32  eligibility raised by an untimely protest made by an employer 
 54.33  and mail to the claimant and that employer at the last known 
 54.34  address a determination of eligibility or a determination of 
 54.35  ineligibility, as is appropriate.  Any denial of benefits 
 54.36  imposed as a result of determination issued pursuant to this 
 55.1   paragraph shall commence the Sunday two weeks following the week 
 55.2   in which the untimely protest was made. 
 55.3      (d) If any time within 24 months from the establishment of 
 55.4   a reemployment insurance account the commissioner finds the 
 55.5   claimant failed to provide requested information regarding the 
 55.6   claimant's eligibility for benefits, the commissioner shall 
 55.7   determine the issue of eligibility and mail to the claimant and 
 55.8   any involved employer at the last known address a determination 
 55.9   of eligibility or a determination of ineligibility, as is 
 55.10  appropriate. 
 55.11     This paragraph shall not apply if the involved employer was 
 55.12  notified, was aware, or should have been aware of the issue of 
 55.13  eligibility at the time of notification, and was given the 
 55.14  opportunity to protest pursuant to subdivision 1, paragraph (b) 
 55.15  or (c). 
 55.16     (e) A determination of eligibility or determination of 
 55.17  ineligibility shall be final unless a written an appeal is filed 
 55.18  by the claimant or notified employer within 15 calendar days 
 55.19  after mailing of the determination to the last known address.  
 55.20  The determination shall contain a prominent statement indicating 
 55.21  in clear language the method of appealing, the time within which 
 55.22  an appeal must be made, and the consequences of not appealing.  
 55.23  Proceedings on the appeal shall be conducted in accordance with 
 55.24  section 268.105. 
 55.25     (f) An issue of eligibility for purposes of this section 
 55.26  shall include any question of denial of benefits under sections 
 55.27  268.071, 268.072, 268.073, 268.074, and 268.08, 268.115, 
 55.28  268.125, 268.135, and 268.155. 
 55.29     Sec. 58.  Minnesota Statutes 1996, section 268.101, is 
 55.30  amended by adding a subdivision to read: 
 55.31     Subd. 3a.  [DIRECT HEARING.] Notwithstanding subdivision 2 
 55.32  or 3, the commissioner may refer any issue of disqualification 
 55.33  or any issue of eligibility directly for hearing in accordance 
 55.34  with section 268.105, subdivision 1.  The status shall be the 
 55.35  same as if a determination had been made and an appeal filed. 
 55.36     Sec. 59.  Minnesota Statutes 1996, section 268.101, 
 56.1   subdivision 4, is amended to read: 
 56.2      Subd. 4.  [AMENDED DETERMINATION.] Unless an appeal has 
 56.3   been filed, the commissioner, on the commissioner's own motion, 
 56.4   upon finding that an error has occurred in the issuing of a 
 56.5   determination of disqualification or nondisqualification or a 
 56.6   determination of eligibility or ineligibility, may issue an 
 56.7   amended determination.  Any amended determination shall be 
 56.8   mailed to the claimant and any involved employer at the last 
 56.9   known address.  Any amended determination shall be final unless 
 56.10  a written an appeal is filed by the claimant or notified 
 56.11  employer within 15 calendar days after mailing of the amended 
 56.12  determination to the last known address.  Proceedings on the 
 56.13  appeal shall be conducted in accordance with section 268.105. 
 56.14     Sec. 60.  [268.103] [APPEALS BY TELEPHONE; ELECTRONIC 
 56.15  TRANSMISSION.] 
 56.16     Subdivision 1.  [IN COMMISSIONER'S DISCRETION.] (a) Unless 
 56.17  the statutory provision providing for an appeal requires that 
 56.18  the appeal be in writing, the commissioner shall have the 
 56.19  discretion to allow an appeal to be made by telephone or by 
 56.20  electronic transmission.  If the commissioner allows an appeal 
 56.21  to be made by telephone or by electronic transmission, that 
 56.22  shall be clearly set out on the determination or decision 
 56.23  subject to appeal. 
 56.24     (b) The commissioner may restrict the conditions under 
 56.25  which an appeal by telephone or electronic transmission may be 
 56.26  made.  Any restrictions as to days, hours, telephone number, 
 56.27  electronic transmission address, or other conditions, shall be 
 56.28  clearly set out on the determination or decision subject to 
 56.29  appeal. 
 56.30     (c) All information requested by the commissioner when an 
 56.31  appeal is made by telephone or by electronic transmission must 
 56.32  be supplied or the communication will not constitute an appeal. 
 56.33     Subd. 2.  [APPEAL IN WRITING.] An appeal may be made in 
 56.34  writing even if an appeal by telephone or by electronic 
 56.35  transmission is allowed. 
 56.36     Subd. 3.  [EXCLUSIVE MEANS OF APPEAL.] A written appeal, or 
 57.1   if allowed an appeal by telephone or electronic transmission, 
 57.2   shall be the only manner of appeal. 
 57.3      Sec. 61.  Minnesota Statutes 1996, section 268.105, is 
 57.4   amended to read: 
 57.5      268.105 [REEMPLOYMENT INSURANCE HEARINGS; APPEALS.] 
 57.6      Subdivision 1.  [HEARING.] (a) Upon appeal the department 
 57.7   shall set a time and place for a de novo hearing and give the 
 57.8   interested parties any involved claimant and any involved 
 57.9   employer written notice of it, by mail, not less than 
 57.10  ten calendar days prior to the time date of the hearing.  
 57.11     (b) The commissioner shall by rule adopt a procedure by 
 57.12  which reemployment insurance judges hear and decide appeals, 
 57.13  subject to further appeal to the commissioner.  The rules need 
 57.14  not conform to common law or statutory rules of evidence and 
 57.15  other technical rules of procedure.  The written report of any 
 57.16  employee of the department of economic security, except a 
 57.17  determination, made in the regular course of the performance of 
 57.18  the employee's duties, shall be competent evidence of the facts 
 57.19  contained in it. 
 57.20     (c) After the conclusion of the hearing, upon the evidence 
 57.21  presented, the reemployment insurance judge shall mail findings 
 57.22  of fact and decision to all interested involved parties.  The 
 57.23  reemployment insurance judge's decision is final unless a 
 57.24  further appeal is filed pursuant to subdivision 3. 
 57.25     Subd. 2.  [REEMPLOYMENT INSURANCE JUDGES.] The commissioner 
 57.26  shall designate one or more regular salaried employees of the 
 57.27  department as impartial reemployment insurance judges to conduct 
 57.28  hearings on appeals.  The commissioner or authorized 
 57.29  representative may personally hear or transfer to another 
 57.30  reemployment insurance judge any proceedings pending before a 
 57.31  reemployment insurance judge.  Any proceedings removed to the 
 57.32  commissioner or authorized representative shall be heard in 
 57.33  accordance with subdivision 1. 
 57.34     Subd. 3.  [COMMISSIONER REVIEW.] (a) Within 30 calendar 
 57.35  days after mailing of the reemployment insurance judge's 
 57.36  decision, an interested any involved party may appeal in writing 
 58.1   and obtain a review by the commissioner or an authorized 
 58.2   representative.  The commissioner within the same period of time 
 58.3   may on the commissioner's own motion order a review of a 
 58.4   decision.  
 58.5      (b) Upon review, the commissioner or authorized 
 58.6   representative shall, on the basis of the evidence submitted at 
 58.7   the hearing before the reemployment insurance judge, make 
 58.8   findings of fact and decision, or remand the matter back to the 
 58.9   a reemployment insurance judge for the taking of additional 
 58.10  evidence and new findings and decision based on all the 
 58.11  evidence.  The commissioner may disregard the findings of fact 
 58.12  of the reemployment insurance judge and examine the evidence and 
 58.13  make any findings of fact as the evidence may, in the judgment 
 58.14  of the commissioner require, and make any decision as the facts 
 58.15  found by the commissioner require.  
 58.16     (c) The commissioner shall mail to all interested 
 58.17  parties any involved party the findings of fact and decision.  
 58.18  The decision of the commissioner is final unless judicial review 
 58.19  is sought as provided by subdivision 7. 
 58.20     Subd. 3a.  [DECISIONS.] (a) If a reemployment insurance 
 58.21  judge's decision or the commissioner's decision awards benefits, 
 58.22  the benefits shall be promptly paid regardless of any appeal 
 58.23  period or any appeal having been filed. 
 58.24     (b) If a reemployment insurance judge's decision modifies 
 58.25  or reverses a determination awarding benefits, any benefits paid 
 58.26  pursuant to the determination is an overpayment of those 
 58.27  benefits subject to section 268.18. 
 58.28     (c) Except as provided in paragraph (d), if a 
 58.29  commissioner's decision modifies or reverses a reemployment 
 58.30  insurance judge's decision awarding benefits, any benefits paid 
 58.31  pursuant to the reemployment insurance judge's decision is an 
 58.32  overpayment of those benefits subject to section 268.18. 
 58.33     (d) If a reemployment insurance judge's decision affirms a 
 58.34  determination on an issue of disqualification awarding benefits 
 58.35  or the commissioner affirms a reemployment insurance judge's 
 58.36  decision on an issue of disqualification awarding benefits, the 
 59.1   decision, if finally reversed, shall result in a 
 59.2   disqualification from benefits only for weeks following the week 
 59.3   in which the decision reversing the award of benefits was issued 
 59.4   and benefits paid for that week and previous weeks shall neither 
 59.5   not be deemed overpaid nor shall and the benefits paid shall not 
 59.6   be considered in determining the employer's future contribution 
 59.7   rate under section 268.06 charged to a contributing employer's 
 59.8   account. 
 59.9      (e) If the commissioner, pursuant to subdivision 3, remands 
 59.10  a matter to a reemployment insurance judge for the taking of 
 59.11  additional evidence, the prior reemployment insurance judge's 
 59.12  decision shall continue to be enforced until new findings of 
 59.13  fact and decision are made by a reemployment insurance judge. 
 59.14     Subd. 4.  [TESTIMONIAL POWERS.] In the discharge of the 
 59.15  duties imposed by this section, the reemployment insurance 
 59.16  judge, the commissioner, or authorized representative, may 
 59.17  administer oaths and affirmations, take depositions, certify to 
 59.18  official acts, and issue subpoenas to compel the attendance of 
 59.19  witnesses and the production of books, papers, correspondence, 
 59.20  memoranda, and other records deemed necessary as evidence in 
 59.21  connection with the subject matter of the hearing.  The 
 59.22  subpoenas shall be enforceable through the district court in the 
 59.23  district in which the subpoena is issued.  Witnesses, other than 
 59.24  an interested party involved claimant or involved employer or 
 59.25  officers and employees of an interested party involved employer, 
 59.26  subpoenaed pursuant to this section shall be allowed fees the 
 59.27  same as witness fees in a civil action in district court.  These 
 59.28  fees shall be deemed a part of the expense of administering 
 59.29  sections 268.03 to 268.23 this chapter. 
 59.30     Subd. 5.  [USE OF INFORMATION.] (a) All testimony at any 
 59.31  hearing conducted pursuant to subdivision 1 shall be recorded, 
 59.32  but shall be transcribed only if the disputed claim is appealed 
 59.33  further and is requested by a party, or as directed by the 
 59.34  commissioner or an authorized representative.  A copy of any 
 59.35  recorded testimony and exhibits received into evidence at the 
 59.36  hearing shall, upon request, or upon directive of the 
 60.1   commissioner, be furnished to a party at no cost.  
 60.2      (b) Testimony obtained under subdivision 1, may not be used 
 60.3   or considered in any civil, administrative, or contractual 
 60.4   proceeding, except by a local, state, or federal human 
 60.5   rights group agency with enforcement powers, unless the 
 60.6   proceeding is initiated by the department. 
 60.7      (c) No findings of fact or decision issued by a 
 60.8   reemployment insurance judge or the commissioner or authorized 
 60.9   representative may be held conclusive or binding or used as 
 60.10  evidence in any separate or subsequent action in any other 
 60.11  forum, except proceedings provided for under this chapter, 
 60.12  regardless of whether the action involves the same or related 
 60.13  parties or involves the same facts. 
 60.14     Subd. 6.  [REPRESENTATION; FEES.] In any proceeding under 
 60.15  these sections, a party may be represented by any agent.  Except 
 60.16  for services provided by an attorney-at-law, a claimant for 
 60.17  benefits shall not be charged fees or costs of any kind in a 
 60.18  proceeding before a reemployment insurance judge, the 
 60.19  commissioner or authorized representative, or by any court or 
 60.20  any of its officers. 
 60.21     Subd. 7.  [COURT OF APPEALS; ATTORNEY FOR COMMISSIONER.] (a)
 60.22  The court of appeals may, by writ of certiorari to the 
 60.23  commissioner, review any decision of the commissioner provided a 
 60.24  petition for the writ is filed and served upon the commissioner 
 60.25  and the adverse any other involved party within 30 calendar days 
 60.26  of the mailing of the commissioner's decision.  
 60.27     (b) Any interested party, except a claimant for 
 60.28  benefits involved employer, upon the service of the writ shall 
 60.29  furnish a cost bond to the commissioner in accordance with rule 
 60.30  107 of the rules of civil appellate procedure.  Upon review 
 60.31  before the court of appeals, the commissioner shall, if 
 60.32  requested, furnish to the claimant at no cost a written 
 60.33  transcript of the testimony received at the hearing conducted 
 60.34  pursuant to subdivision 1.  
 60.35     (c) The commissioner shall be deemed to be a party to any 
 60.36  judicial action involving any decision and shall be represented 
 61.1   by any qualified attorney who is a regular salaried employee of 
 61.2   the department of economic security and has been designated by 
 61.3   the commissioner for that purpose or, at the commissioner's 
 61.4   request, by the attorney general. 
 61.5      Sec. 62.  Minnesota Statutes 1996, section 268.11, 
 61.6   subdivision 3, is amended to read: 
 61.7      Subd. 3.  [ELECTION AGREEMENTS; TERMINATION POWERS OF 
 61.8   COMMISSIONER.] (1) An employing unit, not otherwise subject to 
 61.9   sections 268.03 to 268.23 defined as an employer under this 
 61.10  chapter, which that files with the commissioner its a written 
 61.11  election to become an employer subject thereto for not less than 
 61.12  two calendar years, shall, with the written approval of such 
 61.13  election by the commissioner, become an employer subject hereto 
 61.14  for not less than two calendar years to the same extent as all 
 61.15  other employers, as of the date stated in such the approval and. 
 61.16  The employing unit shall cease to be subject hereto an employer 
 61.17  as of the first day of January of any calendar year subsequent 
 61.18  to such two calendar years, only, if at least 30 calendar days 
 61.19  prior to such the first day of January, it the employing unit 
 61.20  has filed with the commissioner a written notice to that effect. 
 61.21     (2) Any employing unit for which that has services 
 61.22  performed for it that do not constitute employment are 
 61.23  performed, may file with the commissioner a written election 
 61.24  that all such service performed by individuals in its employ, in 
 61.25  one or more distinct establishments or places of business, shall 
 61.26  be deemed to constitute employment for all the purposes of 
 61.27  sections 268.03 to 268.23 this chapter for not less than two 
 61.28  calendar years.  Upon the written approval of such election by 
 61.29  the commissioner, such the services shall be deemed to 
 61.30  constitute employment subject to these sections from and after 
 61.31  the date stated in such the approval.  Such The services shall 
 61.32  cease to be deemed employment subject hereto as of the first day 
 61.33  of January of any calendar year subsequent to such two calendar 
 61.34  years only if at least 30 calendar days prior to such the first 
 61.35  day of January such the employing unit has filed with the 
 61.36  commissioner a written notice to that effect.  
 62.1      (3) The commissioner must terminate any election agreement 
 62.2   under this subdivision upon 30 calendar days notice to the 
 62.3   employer employing unit, if the employer employing unit fails to 
 62.4   pay all contributions due under section 268.06, subdivision 1, 
 62.5   or reimburse payments in lieu of contributions due the 
 62.6   unemployment reemployment insurance fund in accordance with 
 62.7   section 268.06, subdivisions 25, 26, 27, and 28. 
 62.8      Sec. 63.  Minnesota Statutes 1996, section 268.12, 
 62.9   subdivision 8, is amended to read: 
 62.10     Subd. 8.  [RECORDS; REPORTS.] (1) (a) Each employing unit 
 62.11  shall keep true and accurate records for such the periods of 
 62.12  time and containing such the information as the commissioner may 
 62.13  prescribe require.  For the purpose of determining compliance 
 62.14  with this chapter, or for the purpose of collection of any 
 62.15  amounts due under this chapter, the commissioner or 
 62.16  any authorized delegated representative of the commissioner has 
 62.17  the power to examine, or cause to be examined or copied, any 
 62.18  books, correspondence, papers, records, or memoranda which are 
 62.19  relevant to making these determinations, whether the books, 
 62.20  correspondence, papers, records, or memoranda are the property 
 62.21  of or in the possession of the employing unit or any other 
 62.22  person or corporation at any reasonable time and as often as may 
 62.23  be necessary. 
 62.24     (2) (b) The commissioner or any other duly authorized 
 62.25  delegated representative of the commissioner may cause to be 
 62.26  made such make summaries, compilations, photographs, 
 62.27  duplications, or reproductions of any records, or reports, or 
 62.28  transcripts thereof as that the commissioner may deem considers 
 62.29  advisable for the effective and economical preservation of the 
 62.30  information contained therein, and such any summaries, 
 62.31  compilations, photographs, duplications or reproductions, duly 
 62.32  authenticated, shall be admissible in any proceeding under this 
 62.33  chapter, if the original record or records would have been 
 62.34  admissible therein.  Notwithstanding any restrictions contained 
 62.35  in section 16B.50, except restrictions as to quantity, the 
 62.36  commissioner is hereby authorized to duplicate, on equipment 
 63.1   furnished by the federal government or purchased with funds 
 63.2   furnished for that purpose by the federal government, records, 
 63.3   reports, summaries, compilations, instructions, determinations, 
 63.4   or any other written matter pertaining to the administration of 
 63.5   the Minnesota economic security law. 
 63.6      (3) (c) Notwithstanding any inconsistent provisions 
 63.7   elsewhere, the commissioner may provide for the destruction or 
 63.8   disposition of any records, reports, transcripts, or 
 63.9   reproductions thereof, or other papers in the commissioner's 
 63.10  custody, which that are more than two years old, the 
 63.11  preservation of which is no longer necessary for the 
 63.12  establishment of contribution determining employer liability 
 63.13  or a claimant's benefit rights or for any purpose necessary to 
 63.14  the proper administration of this chapter, including any 
 63.15  required audit thereof, provided, that the commissioner may 
 63.16  provide for the destruction or disposition of any record, 
 63.17  report, or transcript, or other paper in the commissioner's 
 63.18  custody which has been photographed, duplicated, or reproduced. 
 63.19     (4) Notwithstanding the provisions of the Minnesota State 
 63.20  Archives Act the commissioner shall with the approval of the 
 63.21  legislative auditor destroy all benefit checks and benefit check 
 63.22  authorization cards that are more than two years old and no 
 63.23  person shall make any demand, bring any suit or other proceeding 
 63.24  to recover from the state of Minnesota any sum alleged to be due 
 63.25  on any claim for benefits after the expiration of two years from 
 63.26  the date of filing such claim. 
 63.27     Sec. 64.  Minnesota Statutes 1996, section 268.12, 
 63.28  subdivision 9a, is amended to read: 
 63.29     Subd. 9a.  [TESTIMONIAL POWERS SUBPOENAS; OATHS.] (1) (a) 
 63.30  In the discharge of the duties imposed by sections 268.03 to 
 63.31  268.23, the commissioner, appeal referee, or any duly authorized 
 63.32  delegated representative of the commissioner, shall have power 
 63.33  to administer oaths and affirmations, take depositions, certify 
 63.34  to official acts, and issue subpoenas to compel the attendance 
 63.35  of witnesses persons and the production of books, papers, 
 63.36  correspondence, memoranda, and other records deemed necessary as 
 64.1   evidence in connection with a disputed claim or the 
 64.2   administration of these sections. 
 64.3      (2) Witnesses (b) Persons, other than interested 
 64.4   parties claimants or officers and employees of an employing unit 
 64.5   which that is an interested party the subject of the inquiry, 
 64.6   subpoenaed pursuant to this subdivision or sections 268.03 to 
 64.7   268.23, shall be allowed fees the same as witness fees in civil 
 64.8   actions in district court, which.  The fees need not be paid in 
 64.9   advance of the time of giving of testimony, and such fees of 
 64.10  witnesses so subpoenaed shall be deemed part of the expense of 
 64.11  administering these sections. 
 64.12     (3) In case of contumacy by, or refusal to obey, a subpoena 
 64.13  issued to any person, any court of this state within the 
 64.14  jurisdiction of which the inquiry is carried on or within the 
 64.15  jurisdiction of which such person guilty of contumacy or refusal 
 64.16  to obey is found or resides or transacts business, upon 
 64.17  application by the commissioner, or referee, or any duly 
 64.18  authorized representative of the commissioner, shall have 
 64.19  jurisdiction to issue to such person an order requiring such 
 64.20  person to appear before the commissioner, the chair of an appeal 
 64.21  tribunal, referee, or any duly authorized representative of the 
 64.22  commissioner, there to produce evidence if so ordered or there 
 64.23  to give testimony relative to the matter under investigation or 
 64.24  in question; and any failure to obey such order of the court may 
 64.25  be punished by the court as a contempt thereof. 
 64.26     (c) The subpoena shall be enforceable through the district 
 64.27  court in the district in which the subpoena is issued. 
 64.28     Sec. 65.  Minnesota Statutes 1996, section 268.121, is 
 64.29  amended to read: 
 64.30     268.121 [WAGE REPORTING.] 
 64.31     Beginning on April 1, 1984, Subdivision 1.  [WAGE DETAIL 
 64.32  REPORT.] (a) Each employer subject to this chapter shall provide 
 64.33  the commissioner with a quarterly report of the wages paid to 
 64.34  each employee of that employer covered by this chapter.  The 
 64.35  report must known as the wage detail report, that shall include, 
 64.36  for each employee covered by this chapter, the employee's name, 
 65.1   social security number, and the total wages paid to the employee 
 65.2   , and the number of weeks in which work was performed.  The 
 65.3   report is due and must be filed at the same time as the 
 65.4   contribution report in accordance with rules established by the 
 65.5   commissioner for filing of quarterly contribution reports.  For 
 65.6   the purpose of this section, "wages paid" includes wages 
 65.7   actually or constructively paid and wages overdue and delayed 
 65.8   beyond the usual time of payment on or before the last day of 
 65.9   the month following the end of the calendar quarter. 
 65.10     (b) An employer need not include the name of the employee 
 65.11  or other required information on the wage detail report if 
 65.12  disclosure is specifically exempted by federal law. 
 65.13     Subd. 2.  [FAILURE TO FILE REPORT.] Any employer who fails 
 65.14  to file the wage detail report shall pay to the department, for 
 65.15  each month the report is delinquent, a penalty of one-half of 
 65.16  one percent of total wages paid that quarter.  The penalty shall 
 65.17  not be assessed if the wage detail report is properly made and 
 65.18  filed within 30 calendar days after a demand for the report is 
 65.19  mailed to the employer's address of record.  In no case shall 
 65.20  the amount of the penalty, if assessed, be less than $25.  
 65.21  Penalties due under this subdivision may be waived where good 
 65.22  cause for late filing is found by the commissioner.  
 65.23     Subd. 3.  [MISSING OR ERRONEOUS INFORMATION.] Any employer 
 65.24  who files the wage detail report, but knowingly fails to include 
 65.25  any of the required information or knowingly enters erroneous 
 65.26  information, shall be subject to a penalty of $25 for each 
 65.27  employee for whom the information is missing or erroneous.  
 65.28     Subd. 4.  [PENALTIES.] The penalties provided for in 
 65.29  subdivisions 2 and 3 are in addition to interest and other 
 65.30  penalties imposed by this chapter and shall be collected in the 
 65.31  same manner as delinquent contributions and shall be credited to 
 65.32  the contingent account. 
 65.33     Sec. 66.  Minnesota Statutes 1996, section 268.14, 
 65.34  subdivision 1, is amended to read: 
 65.35     Subdivision 1.  [ACCEPTANCE OF FEDERAL ACT.] A state 
 65.36  employment service is hereby established in the department of 
 66.1   economic security.  The commissioner in the conduct of such 
 66.2   service shall establish and maintain free public employment 
 66.3   offices, in such that number and in such those places as may be 
 66.4   necessary for the proper administration of sections 268.03 to 
 66.5   268.23 and for the purpose of performing such the functions as 
 66.6   are within the purview of the act of Congress entitled "An act 
 66.7   to provide for the establishment of a national employment system 
 66.8   for the cooperation with the states in the promotion of such 
 66.9   system and for other purposes," approved June 6, 1933, as 
 66.10  amended.  The provisions of such act of Congress are hereby 
 66.11  accepted by this state and the department of economic security 
 66.12  is hereby designated and constituted the agency of this state 
 66.13  for the purposes of such act.  The commissioner, pending the 
 66.14  return of the employment service, its facilities, property, and 
 66.15  personnel, to state control after the war emergency, may loan to 
 66.16  the United States employment service facilities, property and 
 66.17  personnel Wagner-Peyser Act, United States Code, title 29, 
 66.18  chapter 4B. 
 66.19     Sec. 67.  Minnesota Statutes 1996, section 268.16, 
 66.20  subdivision 2, is amended to read: 
 66.21     Subd. 2.  [REPORTS; DELINQUENCIES; PENALTIES.] (a) Any 
 66.22  employer who knowingly fails to make and submit to the 
 66.23  department commissioner any contribution report at the time the 
 66.24  report is required by rules prescribed by the commissioner shall 
 66.25  pay to the department a penalty in the of up to $25 or an amount 
 66.26  of 1-1/2 percent of contributions accrued during the period for 
 66.27  which the report is required, for each month from and after the 
 66.28  due date until the report is properly made and submitted to the 
 66.29  department.  In no case shall the amount of the penalty imposed 
 66.30  hereby be less than $5 per month.  The maximum penalty imposed 
 66.31  hereby shall be $25 or the amount determined at the rate of 
 66.32  1-1/2 percent per month, whichever is greater.  
 66.33     (b) If any employing unit employer required by sections 
 66.34  268.03 to 268.23 to make and submit contribution reports shall 
 66.35  fail fails to do so within the time prescribed by these sections 
 66.36  or by rules under the authority thereof required, or shall make 
 67.1   makes, willfully or otherwise, an incorrect, false or fraudulent 
 67.2   contribution report, it the employer shall, on the written 
 67.3   demand of the commissioner, make such the contribution report, 
 67.4   or corrected report, within ten days after the mailing of such 
 67.5   the written demand and at the same time pay the whole 
 67.6   contribution, or any additional contribution, due on the basis 
 67.7   thereof.  If such the employer shall fail fails within that 
 67.8   time to make such the report, or corrected report, the 
 67.9   commissioner shall make a report, or corrected report, from the 
 67.10  commissioner's own knowledge and from such information as the 
 67.11  commissioner can may obtain through testimony, or otherwise, and 
 67.12  assess a contribution on the that basis thereof, which 
 67.13  contribution, plus any penalties and interest which thereafter 
 67.14  accrued (less any payments theretofore made) shall be paid 
 67.15  within ten days after the commissioner has mailed to such the 
 67.16  employer a written notice of the amount thereof due and demand 
 67.17  for its payment.  Any such contribution report or assessment 
 67.18  made by the commissioner on account of the failure of the 
 67.19  employer to make a report or corrected report shall be prima 
 67.20  facie correct and valid, and the employer shall have the burden 
 67.21  of establishing its incorrectness or invalidity in 
 67.22  any subsequent action or proceeding in respect thereto.  
 67.23  Whenever such the delinquent employer shall file files a report 
 67.24  or corrected report, the commissioner may, on finding it 
 67.25  substantially correct, substitute it for the commissioner's 
 67.26  report.  
 67.27     (c) Any employer who fails to file the wage detail report 
 67.28  required by section 268.121 shall pay to the department for the 
 67.29  contingent account for each month the report is delinquent a 
 67.30  penalty of one-half of one percent of total wages paid and wages 
 67.31  due but not paid during the period for each month the report is 
 67.32  delinquent.  The penalty shall not be assessed if the wage 
 67.33  detail report is properly made and filed within 30 days after a 
 67.34  demand for the report is mailed to the employer's address of 
 67.35  record.  In no case shall the amount of the penalty, if 
 67.36  assessed, be less than $25.  Penalties due under this 
 68.1   subdivision may be waived where good cause for late filing is 
 68.2   found by the commissioner. 
 68.3      (d) Any employer who files the wage detail report required 
 68.4   by section 268.121, but knowingly fails to include any of the 
 68.5   required information or knowingly enters erroneous information, 
 68.6   shall be subject to a penalty of $25 for each individual for 
 68.7   whom the information is missing or erroneous. 
 68.8      (c) If the commissioner finds that any part of any 
 68.9   employer's contribution deficiency is due to fraud with intent 
 68.10  to avoid payment of contributions to the fund, 50 percent of the 
 68.11  total amount of the deficiency or $500, whichever is greater, 
 68.12  shall be assessed as a penalty against the employer and 
 68.13  collected in addition to the deficiency. 
 68.14     (e) (d) Any employing unit which that fails to make and 
 68.15  submit to the commissioner any report, other than a contribution 
 68.16  report or wage detail report, as and when required by rule, 
 68.17  shall be subject to a penalty in the sum of $50 payable to the 
 68.18  department for the contingent account. 
 68.19     (f) (e) The penalties provided for in paragraphs (a), (c), 
 68.20  (d), and (e) (d) are in addition to interest and any other 
 68.21  penalties imposed by sections 268.03 to 268.23 and shall be 
 68.22  collected as provided by section 268.161 and shall be paid to 
 68.23  the department and credited to the contingent account. 
 68.24     (f) An employer or officer or agent of an employer is 
 68.25  guilty of a gross misdemeanor, unless the contribution or other 
 68.26  payment involved exceeds $500, in which case the person is 
 68.27  guilty of a felony, if the individual: 
 68.28     (1) in order to avoid becoming or remaining a subject 
 68.29  employer or to avoid or reduce any contribution or other payment 
 68.30  required under this chapter: 
 68.31     (i) makes a false statement or representation knowing it to 
 68.32  be false; or 
 68.33     (ii) knowingly fails to disclose a material fact; or 
 68.34     (2) willfully fails or refuses to make any contributions or 
 68.35  other payment at the time required. 
 68.36     Sec. 68.  Minnesota Statutes 1996, section 268.161, 
 69.1   subdivision 4, is amended to read: 
 69.2      Subd. 4.  [COLLECTION BY CIVIL ACTION.] (1) (a) In addition 
 69.3   to all other collection methods authorized, if, after due 
 69.4   notice, any employer defaults in is delinquent on any payment of 
 69.5   contributions or interest due thereon or penalties for failure 
 69.6   to file returns a contribution report and other reports as 
 69.7   required by sections 268.03 to 268.23 this chapter or by any 
 69.8   rule of the commissioner, the amount due may be collected by 
 69.9   civil action in the name of the state of Minnesota, and any 
 69.10  money recovered shall be credited to the funds provided for 
 69.11  under those sections.  Any employer adjudged in default 
 69.12  delinquent shall pay the costs of the action.  Civil actions 
 69.13  brought under this section to collect contributions, interest 
 69.14  due thereon, or penalties from an employer subdivision shall be 
 69.15  heard by the court at the earliest possible date as provided 
 69.16  under section 16D.14.  No action for the collection of 
 69.17  contributions or, interest thereon, or penalties shall be 
 69.18  commenced more than six years after the contributions have been 
 69.19  reported by the employer or determined by the commissioner to be 
 69.20  due and payable.  In any action, judgment shall be entered 
 69.21  against any defendant employer in default for the relief 
 69.22  demanded in the complaint without proof, together with costs and 
 69.23  disbursements, upon the filing of an affidavit of default. 
 69.24     (2) (b) Any employing unit which employer that is not a 
 69.25  resident of this state and which exercises the privilege of 
 69.26  having one or more individuals perform service for it within 
 69.27  this state, and any resident employing unit which exercises that 
 69.28  privilege and thereafter removes employer removed from this 
 69.29  state, shall be deemed thereby to appoint the secretary of state 
 69.30  as its agent and attorney for the acceptance of process in any 
 69.31  civil action under this subdivision.  In instituting an action 
 69.32  against any employing unit employer, the commissioner 
 69.33  shall cause file process or notice to be filed with the 
 69.34  secretary of state, together with a payment of a fee of $15 and 
 69.35  that service shall be considered sufficient service upon the 
 69.36  employing unit employer, and shall be of have the same force and 
 70.1   validity as if served upon it the employer personally within 
 70.2   this state.  The commissioner shall forthwith send notice of the 
 70.3   service of process or notice, together with a copy thereof of 
 70.4   the process, by certified mail, return receipt requested, to the 
 70.5   employing unit employer at its last known address.  The return 
 70.6   receipt, The commissioner's affidavit of compliance with the 
 70.7   provisions of this section, and a copy of the notice of service 
 70.8   shall be appended to the original of the process and filed in 
 70.9   the court in which the civil action is pending.  
 70.10     (c) No court filing fees, docketing fees, or release of 
 70.11  judgment fees may be assessed against the state for actions 
 70.12  pursuant to this subdivision. 
 70.13     Sec. 69.  Minnesota Statutes 1996, section 268.161, 
 70.14  subdivision 6, is amended to read: 
 70.15     Subd. 6.  [CONTRIBUTION OR REIMBURSEMENT PAYMENT IN LIEU OF 
 70.16  CONTRIBUTION PRESUMED VALID.] The contribution and reimbursement 
 70.17  payment in lieu of contribution, as assessed by the 
 70.18  commissioner, including any penalties, shall be presumed to be 
 70.19  valid and correctly determined and assessed, and the burden 
 70.20  shall be upon the employer to show its incorrectness or 
 70.21  invalidity.  The A statement filed by the commissioner with the 
 70.22  court administrator, as provided in subdivision 3, or any other 
 70.23  certificate by the commissioner of the amount of the 
 70.24  contribution, reimbursement payment in lieu of contribution, 
 70.25  interest and penalties as determined or assessed by the 
 70.26  commissioner, shall be admissible in evidence in any court or 
 70.27  administrative proceeding and shall establish be prima facie 
 70.28  evidence of the facts set forth therein in the statement. 
 70.29     Sec. 70.  Minnesota Statutes 1996, section 268.161, 
 70.30  subdivision 7, is amended to read: 
 70.31     Subd. 7.  [CONFESSION OF JUDGMENT.] (a) Any contribution 
 70.32  report or other form that is required to be filed with the 
 70.33  commissioner concerning contributions or reimbursements payments 
 70.34  in lieu of contributions due, shall contain a written 
 70.35  declaration that it is made under the penalties of section 
 70.36  268.18, subdivision 3 for willfully making a false report and 
 71.1   shall contain a confession of judgment for the amount of the 
 71.2   contribution or reimbursement payments in lieu of contributions 
 71.3   shown due thereon to the extent not timely paid together with 
 71.4   any interest and penalty due under this chapter. 
 71.5      (b) The commissioner may, within six years after a the 
 71.6   report or other form is filed, notwithstanding section 541.09, 
 71.7   enter judgment on any confession of judgment contained in the 
 71.8   contribution report or form after 20 days calendar days' notice 
 71.9   served upon the employer by mail at the address shown in the 
 71.10  employer's report.  The judgment shall be entered by the court 
 71.11  administrator of any county upon the filing of a photocopy or 
 71.12  similar reproduction of that part of the contribution report or 
 71.13  form containing of the confession of judgment along with a 
 71.14  statement of the commissioner or agent that the contribution or 
 71.15  reimbursement payment in lieu of contribution has not been paid. 
 71.16     Sec. 71.  Minnesota Statutes 1996, section 268.167, is 
 71.17  amended to read: 
 71.18     268.167 [GARNISHMENT FOR DELINQUENT TAXES AND BENEFIT 
 71.19  OVERPAYMENTS.] 
 71.20     (a) The commissioner or an authorized a delegated 
 71.21  representative may, within six years after the date of 
 71.22  assessment of the tax, or payment in lieu of contribution, or 
 71.23  determination of benefit overpayment, or if a lien has been 
 71.24  filed under section 268.161, within the statutory period for 
 71.25  enforcement of the lien, give notice to any employer that an 
 71.26  employee of that employer owes delinquent unemployment 
 71.27  reemployment insurance taxes or reimbursements payments in lieu 
 71.28  of contributions including penalties, interest, and costs, or 
 71.29  has an unpaid benefit overpayment.  The commissioner can proceed 
 71.30  under this subdivision section only if the tax, payment in lieu 
 71.31  of contributions, or benefit overpayment is uncontested or if 
 71.32  the time for any appeal has expired.  The commissioner shall not 
 71.33  proceed under this subdivision section until the expiration of 
 71.34  30 calendar days after mailing to the debtor employee, at the 
 71.35  debtor's last known address, a written notice of garnishment. 
 71.36  The notice shall list: 
 72.1      (1) the amount of taxes, reimbursements payments in lieu of 
 72.2   contributions, interest, penalties, costs, or benefit 
 72.3   overpayment due from the debtor; 
 72.4      (2) demand for immediate payment; and 
 72.5      (3) the commissioner's intention to serve a garnishment on 
 72.6   the debtor's employer pursuant to this subdivision section. 
 72.7      The effect of the notice shall expire 180 calendar days 
 72.8   after it has been mailed to the debtor provided that the notice 
 72.9   may be renewed by mailing a new notice which is in accordance 
 72.10  with this subdivision section.  The renewed notice shall have 
 72.11  the effect of reinstating the priority of the original claim.  
 72.12  The notice to the debtor shall be in substantially the same form 
 72.13  as that provided in section 571.72.  The notice shall further 
 72.14  inform the debtor of the wage exemptions contained in section 
 72.15  550.37, subdivision 14.  If no statement of exemption is 
 72.16  received by the commissioner within 30 calendar days from the 
 72.17  mailing of the notice, the commissioner may proceed under 
 72.18  this subdivision section.  The notice to the debtor's employer 
 72.19  may be served by mail or by delivery by an employee of the 
 72.20  commissioner and shall be in substantially the same form as 
 72.21  provided in section 571.75.  Upon receipt of the notice, the 
 72.22  employer shall retain the earnings due or to become due to the 
 72.23  employee, the total amount shown by the notice, subject to the 
 72.24  provisions of section 571.922.  The employer shall continue to 
 72.25  retain each pay period until the notice is released by the 
 72.26  commissioner under section 268.161, subdivision 8.  Upon receipt 
 72.27  of notice by the employer, the claim of the commissioner shall 
 72.28  have priority over any subsequent garnishments or wage 
 72.29  assignments.  The commissioner may arrange between the employer 
 72.30  and employee for retaining a portion of the total amount due the 
 72.31  employee each pay period, until the total amount shown by the 
 72.32  notice plus accrued interest has been retained. 
 72.33     The "earnings due" any employee is defined in accordance 
 72.34  with section 571.921.  The maximum garnishment allowed under 
 72.35  this subdivision section for any one pay period shall be 
 72.36  decreased by any amounts payable pursuant to a garnishment 
 73.1   action with respect to which the employer was served prior to 
 73.2   being served with the notice of delinquency, and any amounts 
 73.3   covered by any irrevocable and previously effective assignment 
 73.4   of wages; the employer shall give notice to the commissioner of 
 73.5   the amounts and the facts relating to such the assignment within 
 73.6   ten days after the service of the notice of delinquency on the 
 73.7   form provided by the commissioner as noted in this subdivision 
 73.8   section. 
 73.9      (b) If the employee ceases to be employed by the employer 
 73.10  before the full amount set forth in a notice of garnishment plus 
 73.11  accrued interest has been retained, the employer shall 
 73.12  immediately notify the commissioner in writing of the 
 73.13  termination date of the employee and the total amount retained.  
 73.14  No employer may discharge or otherwise discipline any employee 
 73.15  by the reason of the fact that the commissioner has proceeded 
 73.16  under this subdivision section.  If an employer discharges an 
 73.17  employee in violation of this provision, the employee shall have 
 73.18  the same remedy as provided in section 571.927, subdivision 2. 
 73.19     (c) Within ten calendar days after the expiration of such 
 73.20  the pay period, the employer shall remit to the commissioner, on 
 73.21  a form and in the manner prescribed by the commissioner, the 
 73.22  amount retained during each pay period under this subdivision 
 73.23  section. 
 73.24     (d) Paragraphs (a) to (c), except provisions imposing a 
 73.25  liability on the employer for failure to retain or remit, shall 
 73.26  apply to cases in which the employer is the United States or any 
 73.27  instrumentality thereof or this state or any political 
 73.28  subdivision thereof. 
 73.29     (e) The commissioner shall refund to the employee excess 
 73.30  amounts retained from the employee under this subdivision 
 73.31  section.  If any excess results from payments by the employer 
 73.32  because of willful failure to retain or remit as prescribed in 
 73.33  paragraph (c), the excess attributable to the employer's payment 
 73.34  shall be refunded to the employer. 
 73.35     (f) Employers required to retain delinquent amounts under 
 73.36  this subdivision section shall not be required to compute any 
 74.1   additional interest, costs, or other charges to be retained. 
 74.2      (g) The collection remedy provided to the commissioner by 
 74.3   this subdivision shall have the same legal effect as if it were 
 74.4   a levy made pursuant to section 268.161 An employer that fails 
 74.5   or refuses to comply with the requirements of this section shall 
 74.6   be liable as provided in section 268.058, subdivision 3, 
 74.7   paragraph (i). 
 74.8      Sec. 72.  Minnesota Statutes 1996, section 268.18, 
 74.9   subdivision 1, is amended to read: 
 74.10     Subdivision 1.  [ERRONEOUS PAYMENTS.] (a) Any claimant for 
 74.11  benefits who, by reason of the claimant's own mistake or through 
 74.12  the error of any individual engaged in the administration 
 74.13  of sections 268.03 to 268.23 this chapter or because of a 
 74.14  determination, redetermination, or amended determination issued 
 74.15  pursuant to section 268.07 or 268.101, has received any sum as 
 74.16  benefits to which that the claimant was not entitled under these 
 74.17  sections to, shall promptly return those repay the benefits in 
 74.18  cash to the nearest office of the Minnesota department of 
 74.19  economic security.  If the claimant fails to return repay the 
 74.20  benefits, the department of economic security shall, as soon as 
 74.21  it discovers the erroneous payment is discovered, determine the 
 74.22  amount due and notify the individual claimant in writing to 
 74.23  return it repay the benefits. 
 74.24     (b) Unless the claimant files a written an appeal with the 
 74.25  department of economic security within 15 calendar days after 
 74.26  the mailing of the notice of determination of overpayment to the 
 74.27  claimant's last known address or personal delivery of the 
 74.28  notice, the determination shall become final.  Proceedings on 
 74.29  the appeal shall be conducted in accordance with section 
 74.30  268.105.  A claimant may not collaterally attack, by way of an 
 74.31  appeal to an overpayment determination, any prior determination 
 74.32  issued pursuant to section 268.07 or 268.101, or decision issued 
 74.33  pursuant to section 268.105, that has become final. 
 74.34     (c) If the claimant fails to repay the benefits, the 
 74.35  commissioner of the department of economic security is 
 74.36  authorized to may deduct from any future benefits payable to the 
 75.1   claimant under these sections in either the current or any 
 75.2   subsequent benefit year an amount equivalent to the overpayment 
 75.3   determined, except that no single deduction under this 
 75.4   subdivision shall exceed 50 percent of the amount of the payment 
 75.5   from which the deduction is made, or the overpayment may be 
 75.6   collected the same as delinquent contributions or reimbursements 
 75.7   under section 268.161.  A determination of overpayment shall 
 75.8   state the methods of collection the commissioner will use to 
 75.9   recover the overpayment.  If a claimant has been overpaid 
 75.10  benefits under the law of another state due to because of an 
 75.11  error and that state certifies to the department the facts 
 75.12  involved and that the individual claimant is liable under its 
 75.13  law to repay the benefits and requests the department to recover 
 75.14  the overpayment, the commissioner is authorized to may deduct 
 75.15  from future benefits payable to the claimant in either the 
 75.16  current or any subsequent benefit year an amount equivalent to 
 75.17  the amount of overpayment determined by that state, except that 
 75.18  no single deduction under this subdivision shall exceed 50 
 75.19  percent of the amount of the payment from which the deduction is 
 75.20  made.  
 75.21     (d) Benefits paid for weeks more than three years prior to 
 75.22  the discovery of error are not erroneous payments. 
 75.23     (d) (e) Notwithstanding paragraph (a), the commissioner 
 75.24  shall waive recovery of an overpayment if a reemployment 
 75.25  insurance judge or the commissioner's authorized representative 
 75.26  under section 268.105, subdivision 3, determines the overpayment 
 75.27  resulted from an administrative failure to identify that a 
 75.28  claimant's wage credits were not earned in covered 
 75.29  employment.  This paragraph shall not apply to misidentification 
 75.30  of an employee-employer relationship. 
 75.31     Sec. 73.  Minnesota Statutes 1996, section 268.18, 
 75.32  subdivision 2, is amended to read: 
 75.33     Subd. 2.  [FRAUD.] (a) Any claimant who files a claim for 
 75.34  or receives benefits by knowingly and willfully misrepresenting 
 75.35  or, misstating any material fact or by knowingly and willfully, 
 75.36  or failing to disclose any material fact which that would 
 76.1   make have made the claimant ineligible for not entitled to those 
 76.2   benefits under sections 268.03 to 268.23 is guilty of has 
 76.3   committed fraud.  After the discovery of facts by the 
 76.4   commissioner indicating fraud in claiming or obtaining benefits 
 76.5   under sections 268.03 to 268.23, the commissioner is hereby 
 76.6   authorized to shall make a written determination that the 
 76.7   claimant was ineligible for each week with reference to which 
 76.8   not entitled to benefits that were claimed or obtained by fraud 
 76.9   for the amount as was in excess of what the claimant would have 
 76.10  been entitled to had the claimant not made the fraudulent 
 76.11  statements or failed to disclose any material facts. and that 
 76.12  the claimant must promptly repay the benefits to the 
 76.13  department.  In addition, the commissioner also may disqualify 
 76.14  an individual from deny benefits to a claimant for one to 52 
 76.15  weeks in for which the claimant is otherwise eligible for 
 76.16  entitled to benefits following the week in which the fraud was 
 76.17  determined.  A disqualification denial imposed for fraud shall 
 76.18  not be removed by subsequent insured work or the expiration of a 
 76.19  benefit year but shall not apply to any week more than 104 weeks 
 76.20  after the week in which the fraud was determined.  The claimant 
 76.21  shall promptly repay in cash to the department of economic 
 76.22  security any benefits fraudulently obtained.  
 76.23     (b) Unless the claimant files a written an appeal with the 
 76.24  department of economic security within 15 calendar days after 
 76.25  the mailing of the notice of determination of overpayment by 
 76.26  fraud to the claimant's last known address or personal delivery 
 76.27  of the notice, the determination shall become final.  
 76.28  Proceedings on the appeal shall be conducted in accordance with 
 76.29  section 268.105.  
 76.30     (c) If the claimant fails to repay the benefits, the 
 76.31  commissioner is hereby authorized to may deduct from future 
 76.32  benefits payable to the claimant in either the current or any 
 76.33  subsequent benefit year an amount equivalent to the amount of 
 76.34  overpayment determined disregarding the 50 percent limitation 
 76.35  provided for in subdivision 1 or the overpayment may be 
 76.36  collected the same as delinquent contributions or reimbursements 
 77.1   under section 268.161.  A determination of overpayment by fraud 
 77.2   shall state the methods of collection the commissioner may use 
 77.3   to recover the overpayment.  If a claimant has been overpaid 
 77.4   benefits under the law of another state due to because of fraud 
 77.5   and that state certifies to the department the facts involved 
 77.6   and that the individual claimant is liable to repay the benefits 
 77.7   and requests the department to recover the overpayment, the 
 77.8   commissioner is authorized to may deduct from future benefits 
 77.9   payable to the claimant in either the current or any subsequent 
 77.10  benefit year an amount equivalent to the amount of overpayment 
 77.11  determined by that state disregarding the 50 percent limitation 
 77.12  provided for in subdivision 1.  
 77.13     (d) A determination of fraud may be made at any time.  
 77.14     Sec. 74.  Minnesota Statutes 1996, section 268.18, is 
 77.15  amended by adding a subdivision to read: 
 77.16     Subd. 2b.  [INTEREST.] (a) On any benefits fraudulently 
 77.17  obtained, as determined under subdivision 2, the commissioner 
 77.18  shall have the discretion to assess interest at the rate of 
 77.19  1-1/2 percent per month on any overpaid amount which remains 
 77.20  unpaid 30 calendar days after the date of the determination of 
 77.21  overpayment by fraud.  A determination of overpayment by fraud 
 77.22  shall state that interest may be assessed. 
 77.23     (b) Any money received in repayment of fraudulently 
 77.24  obtained benefits and interest thereon shall be first applied to 
 77.25  the overpayment balance. 
 77.26     (c) Unpaid interest may be collected the same as delinquent 
 77.27  contributions. 
 77.28     Sec. 75.  Minnesota Statutes 1996, section 268.18, 
 77.29  subdivision 3, is amended to read: 
 77.30     Subd. 3.  [FALSE REPRESENTATIONS; CONCEALMENT OF FACTS; 
 77.31  PENALTY.] (a) Whoever obtains, or attempts to obtain, or aids or 
 77.32  abets any person to obtain by means of a willfully an 
 77.33  intentional false statement or representation, by intentional 
 77.34  concealment of a material fact, or by impersonation or other 
 77.35  fraudulent device means, benefits to which that the person is 
 77.36  not entitled or benefits greater than that to which the person 
 78.1   is entitled under this chapter, or under the employment security 
 78.2   law of any state or of the federal government or of a foreign 
 78.3   government, either personally or for any other person, shall be 
 78.4   is guilty of theft and shall be sentenced pursuant to section 
 78.5   609.52, subdivision 3, clauses (2), (3)(a), (c), and (d), (4), 
 78.6   and (5).  The amount of the benefits incorrectly paid shall be 
 78.7   the difference between the amount of benefits actually received 
 78.8   paid and the amount which that the person claimant would have 
 78.9   been entitled under state and federal law had the department 
 78.10  been informed of all material facts. 
 78.11     (b) Any employing unit or any officer or agent of an 
 78.12  employing unit or any other person who makes a false statement 
 78.13  or representation knowing it to be false, or who knowingly fails 
 78.14  to disclose a material fact, to prevent or reduce the payment of 
 78.15  benefits to any individual entitled thereto, or to avoid 
 78.16  becoming or remaining a subject employer or to avoid or reduce 
 78.17  any contribution or other payment required from an employing 
 78.18  unit under this chapter or under the employment security law of 
 78.19  any state or of the federal government, or who willfully fails 
 78.20  or refuses to make any such contributions or other payment at 
 78.21  the time required shall be claimant, is guilty of a gross 
 78.22  misdemeanor unless the benefit underpayment, contribution, or 
 78.23  other payment involved exceeds $250 $500, in which event that 
 78.24  case the person is guilty of a felony.  
 78.25     (c) Any person who willfully fails to produce or permit the 
 78.26  inspection or copying of books, papers, records, or memoranda as 
 78.27  required or when requested under section 268.12, subdivision 8, 
 78.28  or to furnish any required reports other than contribution 
 78.29  reports shall be guilty of a gross misdemeanor. 
 78.30     Sec. 76.  Minnesota Statutes 1996, section 268.18, 
 78.31  subdivision 4, is amended to read: 
 78.32     Subd. 4.  [CANCELLATION OF BENEFITS PAID THROUGH ERROR OR 
 78.33  FRAUD.] When (a) If benefits paid through error or fraud are not 
 78.34  repaid or deducted from subsequent benefit amounts as provided 
 78.35  for in subdivisions subdivision 1 and 2 within six years after 
 78.36  the date of the determination that benefits were paid through 
 79.1   error or fraud irrespective of subsequent partial recovery dates 
 79.2   of overpayment, the commissioner shall cancel the overpayment 
 79.3   balance, and no administrative or legal proceedings shall 
 79.4   be instituted under the Minnesota economic security law used to 
 79.5   enforce collection of those amounts.  
 79.6      (b) If benefits paid as a result of fraud are not repaid or 
 79.7   deducted from subsequent benefits as provided for in subdivision 
 79.8   2 within ten years after the date of the determination of 
 79.9   overpayment by fraud, the commissioner shall cancel the 
 79.10  overpayment balance and any interest due, and no administrative 
 79.11  or legal proceeding shall be used to enforce collection of those 
 79.12  amounts. 
 79.13     (c) The commissioner may cancel at any time benefits paid 
 79.14  through error or fraud which that the commissioner determines 
 79.15  are uncollectible due to death or bankruptcy. 
 79.16     Sec. 77.  Minnesota Statutes 1996, section 268.18, 
 79.17  subdivision 6, is amended to read: 
 79.18     Subd. 6.  [EMPLOYER MISCONDUCT; PENALTY.] If the 
 79.19  commissioner finds that any employing unit or any employee, 
 79.20  officer, or agent of any employing unit, is in collusion with 
 79.21  any employee claimant for the purpose of assisting the claimant 
 79.22  to receive benefits illegally, the employing unit shall be 
 79.23  penalized $500 or an amount equal to the amount of benefits 
 79.24  determined to be overpaid, whichever is greater. 
 79.25     If the commissioner finds that any part of any employer's 
 79.26  contribution deficiency is due to fraud with intent to avoid 
 79.27  payment of contributions to the fund, 50 percent of the total 
 79.28  amount of the deficiency or $500, whichever is greater, shall be 
 79.29  assessed as a penalty against the employer and collected in 
 79.30  addition to the deficiency.  
 79.31     Penalties assessed under this section subdivision shall be 
 79.32  in addition to any other penalties provided for by sections 
 79.33  268.03 to 268.23 and be subject to the same collection 
 79.34  procedures that apply to past due contributions under this 
 79.35  chapter.  Penalties under this section subdivision shall be paid 
 79.36  to the department and credited to the contingent fund. 
 80.1      The assessment of the penalty shall be final unless the 
 80.2   employer employing unit files a written appeal with the 
 80.3   department within 15 30 calendar days after the mailing of the 
 80.4   notice of determination penalty to the employer's last known 
 80.5   address.  Proceedings on the appeal shall be conducted in 
 80.6   accordance with section 268.105. 
 80.7      Sec. 78.  Minnesota Statutes 1996, section 268.21, is 
 80.8   amended to read: 
 80.9      268.21 [NONLIABILITY OF STATE.] 
 80.10     (a) Benefits shall be deemed to be due and payable under 
 80.11  sections 268.03 to 268.23 only to the extent provided therein in 
 80.12  this chapter and to the extent that moneys are money is 
 80.13  available therefor to the credit of in the reemployment 
 80.14  insurance fund and neither the state nor the commissioner shall 
 80.15  be liable for any amount in excess of such sums.  
 80.16     (b) No person shall make any demand, bring any suit, or 
 80.17  other proceeding to recover from the state any sum alleged to be 
 80.18  due on a reemployment insurance account after the expiration of 
 80.19  two years from the effective date of the reemployment insurance 
 80.20  account. 
 80.21     Sec. 79.  [INSTRUCTION TO REVISOR.] 
 80.22     The revisor of statutes shall renumber each section of 
 80.23  Minnesota Statutes specified in column A with the number set 
 80.24  forth in column B.  The revisor shall also make necessary 
 80.25  cross-reference changes consistent with the renumbering. 
 80.26              Column A                     Column B 
 80.27              268.041                      268.043 
 80.28              268.05                       268.194 
 80.29              268.06, subd. 1              268.051, subd. 1
 80.30              268.06, subd. 2              268.051, subd. 2
 80.31              268.06, subd. 3a             268.051, subd. 6
 80.32              268.06, subd. 6              268.051, subd. 4
 80.33              268.06, subd. 8              268.051, subd. 3
 80.34              268.06, subd. 8a             268.051, subd. 9 
 80.35              268.06, subd. 18             268.047, subd. 5
 80.36              268.06, subd. 19             268.051, subd. 7
 81.1               268.06, subd. 20,            268.051, subd. 7,
 81.2                 paragraph (a)                paragraph (c)
 81.3               268.06, subd. 20,            268.051, subd. 7,
 81.4                 paragraph (b)                paragraph (d)
 81.5               268.06, subd. 21             268.045
 81.6               268.06, subd. 22             268.051, subd. 5
 81.7               268.06, subd. 24             268.051, subd. 8
 81.8               268.06, subd. 25             268.052, subd. 1
 81.9               268.06, subd. 26             268.052, subd. 3
 81.10              268.06, subd. 27             268.052, subd. 4
 81.11              268.06, subd. 28             268.053
 81.12              268.06, subd. 29             268.045 (d)
 81.13              268.06, subd. 31             268.052, subd. 2
 81.14              268.06, subd. 34             268.054
 81.15              268.061                      268.068
 81.16              268.071                      268.115
 81.17              268.072                      268.155
 81.18              268.073                      268.125
 81.19              268.074                      268.135
 81.20              268.075                      268.145
 81.21              268.09, subd. 3              268.09, subd. 19
 81.22              268.11                       268.042
 81.23              268.12, subd. 8              268.186
 81.24              268.12, subd. 9a             268.188
 81.25              268.12, subd. 12             268.19
 81.26              268.121                      268.044
 81.27              268.14, subd. 1              268.198, subd. 1
 81.28              268.14, subd. 2              268.198, subd. 2
 81.29              268.14, subd. 5              268.198, subd. 3
 81.30              268.15                       268.196
 81.31              268.16, subd. 1              268.057, subd. 5
 81.32              268.16, subd. 1a             268.057, subd. 6
 81.33              268.16, subd. 2              268.057, subd. 1
 81.34              268.16, subd. 3a             268.057, subd. 4
 81.35              268.16, subd. 4              268.067
 81.36              268.16, subd. 5              268.057, subd. 10
 82.1               268.16, subd. 6              268.057, subd. 7
 82.2               268.16, subd. 7              268.057, subd. 8
 82.3               268.16, subd. 9              268.057, subd. 9
 82.4               268.161, subd. 1             268.058, subd. 1
 82.5               268.161, subd. 1a            268.058, subd. 2
 82.6               268.161, subd. 2             268.058, subd. 6
 82.7               268.161, subd. 4             268.058, subd. 5
 82.8               268.161, subd. 5             268.058, subd. 4
 82.9               268.161, subd. 6             268.057, subd. 2
 82.10              268.161, subd. 7             268.057, subd. 3
 82.11              268.161, subd. 8             268.058, subd. 3
 82.12              268.161, subd. 9             268.063
 82.13              268.162                      268.064
 82.14              268.163                      268.065
 82.15              268.164                      268.062
 82.16              268.166                      268.066
 82.17              268.167                      268.059
 82.18              268.17                       268.192
 82.19              268.18, subd. 3              268.182
 82.20              268.18, subd. 6              268.184
 82.21     Sec. 80.  [INSTRUCTION TO REVISOR.] 
 82.22     The revisor of statutes shall change the words 
 82.23  "unemployment insurance," "unemployment insurance benefits," and 
 82.24  "unemployment benefits" whenever they appear in Minnesota 
 82.25  Statutes to "reemployment insurance benefits" in Minnesota 
 82.26  Statutes 1998 and subsequent editions of the statutes. 
 82.27     The revisor of statutes shall change the words 
 82.28  "unemployment fund" whenever they appear in Minnesota Statutes 
 82.29  to "reemployment insurance fund" in Minnesota Statutes 1998 and 
 82.30  subsequent editions of the statutes. 
 82.31     The revisor of statutes shall change the words "insured 
 82.32  work" whenever they appear in Minnesota Statutes, sections 
 82.33  268.03 to 268.23 to "covered employment" in Minnesota Statutes 
 82.34  1998 and subsequent editions of the statutes. 
 82.35     The revisor of statutes shall change the word "contribution"
 82.36  whenever it appears in Minnesota Statutes, sections 268.022 to 
 83.1   268.23 to "tax" in Minnesota Statutes 1998 and subsequent 
 83.2   editions of the statutes. 
 83.3      The revisor of statutes shall change the word 
 83.4   "contributions" whenever it appears in Minnesota Statutes, 
 83.5   sections 268.022 to 268.23, except in section 268.196, 
 83.6   subdivision 3, to "taxes" in Minnesota Statutes 1998 and 
 83.7   subsequent editions of the statutes. 
 83.8      The revisor of statutes shall change the word "contributing"
 83.9   whenever it appears in Minnesota Statutes, sections 268.03 to 
 83.10  268.23 to "taxpaying" in Minnesota Statutes 1998 and subsequent 
 83.11  editions of the statutes. 
 83.12     The revisor of statutes shall change the words 
 83.13  "unemployment tax" whenever they appear in Minnesota Statutes, 
 83.14  sections 268.03 to 268.23 to "reemployment insurance tax" in 
 83.15  Minnesota Statutes 1998 and subsequent editions of the statutes. 
 83.16     The revisor of statutes shall change the words 
 83.17  "unemployment taxes" whenever they appear in Minnesota Statutes, 
 83.18  sections 268.03 to 268.23 to "reemployment insurance taxes" in 
 83.19  Minnesota Statutes 1998 and subsequent editions of the statutes. 
 83.20     The revisor of statutes shall change the word 
 83.21  "reimbursement" whenever it appears in Minnesota Statutes, 
 83.22  sections 268.057, 268.058, 268.059, 268.062, 268.063, 268.066, 
 83.23  and 268.067 to "payment in lieu of taxes" in Minnesota Statutes 
 83.24  1998 and subsequent editions of the statutes. 
 83.25     The revisor of statutes shall change the term 
 83.26  "reimbursements" whenever it appears in Minnesota Statutes, 
 83.27  sections 268.057, 268.058, 268.059, 268.062, 268.063, 268.066, 
 83.28  and 268.067 to "payments in lieu of taxes" in Minnesota Statutes 
 83.29  1998 and subsequent editions of the statutes. 
 83.30     The revisor of statutes shall change the term "reimbursable 
 83.31  account" whenever it appears in Minnesota Statutes, sections 
 83.32  268.03 to 268.23, to "payment in lieu of taxes account." 
 83.33     Sec. 81.  [REPEALER.] 
 83.34     Minnesota Statutes 1996, sections 268.026; 268.04, 
 83.35  subdivisions 8, 13, 14, 20, 21, 32, and 35; 268.06, subdivisions 
 83.36  2, 4, 5, 30, and 33; 268.073, subdivision 7; 268.09, 
 84.1   subdivisions 1, 2, 4, 5, 6, 7, and 8; 268.12, subdivisions 2, 4, 
 84.2   5, 7, and 11; 268.14, subdivisions 3 and 4; 268.16, subdivision 
 84.3   8; 268.161, subdivision 3; 268.165; and 268.18, subdivision 5, 
 84.4   are repealed. 
 84.5      Sec. 82.  [EFFECTIVE DATE.] 
 84.6      Sections 1 to 60 and 62 to 81 are effective July 1, 1997. 
 84.7   Section 61 is effective the day following final enactment.