1.1 	A bill for an act
1.2 	relating to marriage dissolution; requiring a charge
1.3 	for certain use of child support and maintenance
1.4 	collection services; requiring the provision of direct
1.5 	deposit of child support payments; amending Minnesota
1.6 	Statutes 2004, section 518.6111, subdivision 4, by
1.7 	adding a subdivision.
1.8 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.9 	Section 1. Minnesota Statutes 2004, section 518.6111,
1.10 	subdivision 4, is amended to read:
1.11 		Subd. 4.Collection services.  (a) The commissioner of
1.12 	human services shall prepare and make available to the courts a
1.13 	notice of services that explains child support and maintenance
1.14 	collection services available through the public authority,
1.15 	including income withholding, and the fees for such services.
1.16 	Upon receiving a petition for dissolution of marriage or legal
1.17 	separation, the court administrator shall promptly send the
1.18 	notice of services to the petitioner and respondent at the
1.19 	addresses stated in the petition.
1.20 	(b) The commissioner of human services shall, by rule,
1.21 	establish a service charge for the use of the collection
1.22 	services by obligees who are not current recipients of public
1.23 	assistance as defined in section 256.741.  The charge may not be
1.24 	more than 15 percent of the amount collected by the service and
1.25 	must be set at a rate sufficient to recover the costs of
1.26 	providing the service for obligees covered by this paragraph.
2.1 	The rule may vary the rate of the charge in different counties
2.2 	or geographic areas of the state to reflect variations in the
2.3 	cost of providing the service.
2.4 	(c) Either the obligee or obligor may at any time apply to
2.5 	the public authority for either full IV-D services or for income
2.6 	withholding only services.
2.7 	~~(c) For those persons applying for income withholding only~~
2.8 	~~services, a monthly service fee of $15 must be charged to the~~
2.9 	~~obligor.  This fee is in addition to the amount of the support~~
2.10 	~~order and shall be withheld through income withholding.~~
2.11 	(d) The public authority shall explain the service options
2.12 	in this section to the affected parties and encourage the
2.13 	application for full child support collection services.
2.14 	~~(d)~~ (e) If the obligee is not a current recipient of public
2.15 	assistance as defined in section 256.741, the person who applied
2.16 	for services may at any time choose to terminate either full
2.17 	IV-D services or income withholding only services regardless of
2.18 	whether income withholding is currently in place.  The obligee
2.19 	or obligor may reapply for either full IV-D services or income
2.20 	withholding only services at any time.  Unless the applicant is
2.21 	a recipient of public assistance as defined in section 256.741,
2.22 	a $25 application fee shall be charged at the time of each
2.23 	application.
2.24 	~~(e)~~ (f) When a person terminates IV-D services, if an
2.25 	arrearage for public assistance as defined in section 256.741
2.26 	exists, the public authority may continue income withholding, as
2.27 	well as use any other enforcement remedy for the collection of
2.28 	child support, until all public assistance arrears are paid in
2.29 	full.  Income withholding shall be in an amount equal to 20
2.30 	percent of the support order in effect at the time the services
2.31 	terminated.

2.32 	Sec. 2. Minnesota Statutes 2004, section 518.6111, is
2.33 	amended by adding a subdivision to read:
2.34 		Subd. 15a.Direct deposit. Upon the request of an
2.35 	obligor, the public authority shall provide the direct deposit,
2.36 	or similar electronic funds transfer, of income withheld from
3.1 	the obligor to a bank account of the obligee.