1.1 A bill for an act
1.2 relating to unemployment; modifying penalties for a misrepresentation
1.3 overpayment; extending opportunities to appeal; amending Minnesota Statutes
1.4 2022, sections 268.043; 268.069, subdivision 1; 268.07, subdivision 3a; 268.085,
1.5 subdivision 2; 268.101, subdivisions 1, 2, 4; 268.105, subdivisions 1a, 2, 3; 268.133;
1.6 268.18; repealing Minnesota Statutes 2022, section 268.183.
1.7BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.8 Section 1. Minnesota Statutes 2022, section 268.043, is amended to read:
1.9 268.043 DETERMINATIONS OF COVERAGE.
1.10 (a) The commissioner, upon the commissioner's own motion or upon application of a
1.11person, must determine if that person is an employer or whether services performed for it
1.12constitute employment and covered employment, or whether any compensation constitutes
1.13wages, and notify the person of the determination. The determination is final unless the
1.14person files an appeal within 20 60 calendar days after the commissioner sends the
1.15determination by mail or electronic transmission. Proceedings on the appeal are conducted
1.16in accordance with section 268.105.
1.17 (b) No person may be initially determined an employer, or that services performed for
1.18it were in employment or covered employment, for periods more than four years before the
1.19year in which the determination is made, unless the commissioner finds that there was
1.20fraudulent action to avoid liability under this chapter.
1.21 Sec. 2. Minnesota Statutes 2022, section 268.069, subdivision 1, is amended to read:
1.22 Subdivision 1.Requirements.The commissioner must pay unemployment benefits
1.23from the trust fund to an applicant who has met each of the following requirements:
1Sec. 2.
REVISOR SS H0784-1HF784 FIRST ENGROSSMENT
State of Minnesota
This Document can be made available
in alternative formats upon request
HOUSE OF REPRESENTATIVES
H. F. No. 784
NINETY-THIRD SESSION
Authored by Noor, Xiong and Hassan01/25/2023
The bill was read for the first time and referred to the Committee on Workforce Development Finance and Policy
Adoption of Report: Amended and re-referred to the Committee on Ways and Means03/06/2023 2.1 (1) the applicant has filed an application for unemployment benefits and established a
2.2benefit account in accordance with section 268.07;
2.3 (2) the applicant has not been held ineligible for unemployment benefits under section
2.4268.095 because of a quit or discharge;
2.5 (3) the applicant has met all of the ongoing eligibility requirements under section 268.085;
2.6and
2.7 (4) the applicant does not have an outstanding overpayment of unemployment benefits,
2.8including any penalties or interest; and.
2.9 (5) the applicant has not been held ineligible for unemployment benefits under section
2.10268.183.
2.11 Sec. 3. Minnesota Statutes 2022, section 268.07, subdivision 3a, is amended to read:
2.12 Subd. 3a.Right of appeal.(a) A determination or amended determination of benefit
2.13account is final unless an applicant or base period employer within 20 60 calendar days
2.14after the sending of the determination or amended determination files an appeal. Every
2.15determination or amended determination of benefit account must contain a prominent
2.16statement indicating in clear language the consequences of not appealing. Proceedings on
2.17the appeal are conducted in accordance with section 268.105.
2.18 (b) Any applicant or base period employer may appeal from a determination or amended
2.19determination of benefit account on the issue of whether services performed constitute
2.20employment, whether the employment is covered employment, and whether money paid
2.21constitutes wages.
2.22 Sec. 4. Minnesota Statutes 2022, section 268.085, subdivision 2, is amended to read:
2.23 Subd. 2.Not eligible.An applicant is ineligible for unemployment benefits for any week:
2.24 (1) that occurs before the effective date of a benefit account;
2.25 (2) that the applicant, at any time during the week, has an outstanding misrepresentation
2.26overpayment balance under section 268.18, subdivision 2, including any penalties and
2.27interest;
2.28 (3) (2) that the applicant is incarcerated or performing court-ordered community service.
2.29The applicant's weekly unemployment benefit amount is reduced by one-fifth for each day
2.30the applicant is incarcerated or performing court-ordered community service;
2Sec. 4.
REVISOR SS H0784-1HF784 FIRST ENGROSSMENT 3.1 (4) (3) that the applicant fails or refuses to provide information on an issue of ineligibility
3.2required under section 268.101;
3.3 (5) (4) that the applicant is performing services 32 hours or more, in employment, covered
3.4employment, noncovered employment, volunteer work, or self-employment regardless of
3.5the amount of any earnings; or
3.6 (6) (5) with respect to which the applicant has filed an application for unemployment
3.7benefits under any federal law or the law of any other state. If the appropriate agency finally
3.8determines that the applicant is not entitled to establish a benefit account under federal law
3.9or the law of any other state, this clause does not apply.
3.10 Sec. 5. Minnesota Statutes 2022, section 268.101, subdivision 1, is amended to read:
3.11 Subdivision 1.Notification.(a) In an application for unemployment benefits, each
3.12applicant must report the name and the reason for no longer working for the applicant's
3.13most recent employer, as well as the names of all employers and the reasons for no longer
3.14working for all employers during the six calendar months before the date of the application.
3.15If the reason reported for no longer working for any of those employers is other than a layoff
3.16because of lack of work, that raises an issue of ineligibility that the department must
3.17determine. An applicant must report any offers of employment refused during the eight
3.18calendar weeks before the date of the application for unemployment benefits and the name
3.19of the employer that made the offer. An applicant's failure to report the name of an employer,
3.20or giving an incorrect reason for no longer working for an employer, or failing to disclose
3.21an offer of employment that was refused, is a violation of section 268.183 268.18.
3.22 In an application, the applicant must also provide all information necessary to determine
3.23the applicant's eligibility for unemployment benefits under this chapter. If the applicant fails
3.24or refuses to provide information necessary to determine the applicant's eligibility for
3.25unemployment benefits, the applicant is ineligible for unemployment benefits under section
3.26268.085, subdivision 2, until the applicant provides this required information.
3.27 (b) Upon establishment of a benefit account under section 268.07, subdivision 2, the
3.28commissioner must notify, by mail or electronic transmission, all employers the applicant
3.29was required to report on the application and all base period employers and determined
3.30successors to those employers under section 268.051, subdivision 4, in order to provide the
3.31employer an opportunity to raise, in a manner and format prescribed by the commissioner,
3.32any issue of ineligibility. An employer must be informed of the effect that failure to raise
3.33an issue of ineligibility as a result of a quit or discharge of the applicant, as provided for
3.34under subdivision 2, paragraph (b), may have on the employer under section 268.047.
3Sec. 5.
REVISOR SS H0784-1HF784 FIRST ENGROSSMENT 4.1 (c) Each applicant must report any employment, and loss of employment, and offers of
4.2employment refused, during those weeks the applicant filed continued requests for
4.3unemployment benefits under section 268.0865. Each applicant who stops filing continued
4.4requests during the benefit year and later begins filing continued requests during that same
4.5benefit year must report the name of any employer the applicant worked for during the
4.6period between the filing of continued requests and the reason the applicant stopped working
4.7for the employer. The applicant must report any offers of employment refused during the
4.8period between the filing of continued requests for unemployment benefits. Those employers
4.9from which the applicant has reported a loss of employment under this paragraph must be
4.10notified by mail or electronic transmission and provided an opportunity to raise, in a manner
4.11prescribed by the commissioner, any issue of ineligibility. An employer must be informed
4.12of the effect that failure to raise an issue of ineligibility as a result of a quit or a discharge
4.13of the applicant may have on the employer under section 268.047.
4.14 (d) The purpose for requiring the applicant to report the name of employers and the
4.15reason for no longer working for those employers, or offers of employment refused, under
4.16paragraphs (a) and (c) is for the commissioner to obtain information from an applicant
4.17raising all issues that may result in the applicant being ineligible for unemployment benefits
4.18under section 268.095, because of a quit or discharge, or the applicant being ineligible for
4.19unemployment benefits under section 268.085, subdivision 13c. If the reason given by the
4.20applicant for no longer working for an employer is other than a layoff because of lack of
4.21work, that raises an issue of ineligibility and the applicant is required, as part of the
4.22determination process under subdivision 2, paragraph (a), to state all the facts about the
4.23cause for no longer working for the employer, if known. If the applicant fails or refuses to
4.24provide any required information, the applicant is ineligible for unemployment benefits
4.25under section 268.085, subdivision 2, until the applicant provides this required information.
4.26 Sec. 6. Minnesota Statutes 2022, section 268.101, subdivision 2, is amended to read:
4.27 Subd. 2.Determination.(a) The commissioner must determine any issue of ineligibility
4.28raised by information required from an applicant under subdivision 1, paragraph (a) or (c),
4.29and send to the applicant and any involved employer, by mail or electronic transmission, a
4.30document titled a determination of eligibility or a determination of ineligibility, as is
4.31appropriate. The determination on an issue of ineligibility as a result of a quit or a discharge
4.32of the applicant must state the effect on the employer under section 268.047. A determination
4.33must be made in accordance with this paragraph even if a notified employer has not raised
4.34the issue of ineligibility.
4Sec. 6.
REVISOR SS H0784-1HF784 FIRST ENGROSSMENT 5.1 (b) The commissioner must determine any issue of ineligibility raised by an employer
5.2and send to the applicant and that employer, by mail or electronic transmission, a document
5.3titled a determination of eligibility or a determination of ineligibility as is appropriate. The
5.4determination on an issue of ineligibility as a result of a quit or discharge of the applicant
5.5must state the effect on the employer under section 268.047.
5.6 If a base period employer:
5.7 (1) was not the applicant's most recent employer before the application for unemployment
5.8benefits;
5.9 (2) did not employ the applicant during the six calendar months before the application
5.10for unemployment benefits; and
5.11 (3) did not raise an issue of ineligibility as a result of a quit or discharge of the applicant
5.12within ten calendar days of notification under subdivision 1, paragraph (b);
5.13then any exception under section 268.047, subdivisions 2 and 3, begins the Sunday two
5.14weeks following the week that the issue of ineligibility as a result of a quit or discharge of
5.15the applicant was raised by the employer.
5.16 A communication from an employer must specifically set out why the applicant should
5.17be determined ineligible for unemployment benefits for that communication to be considered
5.18to have raised an issue of ineligibility for purposes of this section. A statement of "protest"
5.19or a similar term without more information does not constitute raising an issue of ineligibility
5.20for purposes of this section.
5.21 (c) Subject to section 268.031, an issue of ineligibility is determined based upon that
5.22information required of an applicant, any information that may be obtained from an applicant
5.23or employer, and information from any other source.
5.24 (d) Regardless of the requirements of this subdivision, the commissioner is not required
5.25to send to an applicant a copy of the determination where the applicant has satisfied a period
5.26of ineligibility because of a quit or a discharge under section 268.095, subdivision 10.
5.27 (e) The department is authorized to issue a determination on an issue of ineligibility
5.28within 24 months from the establishment of a benefit account based upon information from
5.29any source, even if the issue of ineligibility was not raised by the applicant or an employer.
5.30 If an applicant obtained unemployment benefits through misrepresentation under section
5.31268.18, subdivision 2, the department is authorized to issue a determination of ineligibility
5.32within 48 months of the establishment of the benefit account.
5Sec. 6.
REVISOR SS H0784-1HF784 FIRST ENGROSSMENT 6.1 If the department has filed an intervention in a worker's compensation matter under
6.2section 176.361, the department is authorized to issue a determination of ineligibility within
6.348 months of the establishment of the benefit account.
6.4 (f) A determination of eligibility or determination of ineligibility is final unless an appeal
6.5is filed by the applicant or employer within 20 60 calendar days after sending. The
6.6determination must contain a prominent statement indicating the consequences of not
6.7appealing. Proceedings on the appeal are conducted in accordance with section 268.105.
6.8 (g) An issue of ineligibility required to be determined under this section includes any
6.9question regarding the denial or allowing of unemployment benefits under this chapter
6.10except for issues under section 268.07. An issue of ineligibility for purposes of this section
6.11includes any question of effect on an employer under section 268.047.
6.12 Sec. 7. Minnesota Statutes 2022, section 268.101, subdivision 4, is amended to read:
6.13 Subd. 4.Amended determination.Unless an appeal has been filed, the commissioner,
6.14on the commissioner's own motion, may reconsider a determination of eligibility or
6.15determination of ineligibility that has not become final and issue an amended determination.
6.16Any amended determination must be sent to the applicant and any involved employer by
6.17mail or electronic transmission. Any amended determination is final unless an appeal is
6.18filed by the applicant or notified employer within 20 60 calendar days after sending.
6.19Proceedings on the appeal are conducted in accordance with section 268.105.
6.20 Sec. 8. Minnesota Statutes 2022, section 268.105, subdivision 1a, is amended to read:
6.21 Subd. 1a.Decision.(a) After the conclusion of the hearing, upon the evidence obtained,
6.22the unemployment law judge must make written findings of fact, reasons for decision, and
6.23decision and send those, by mail or electronic transmission, to all parties. When the credibility
6.24of a witness testifying in a hearing has a significant effect on the outcome of a decision, the
6.25unemployment law judge must set out the reason for crediting or discrediting that testimony.
6.26The unemployment law judge's decision is final unless a request for reconsideration is filed
6.27under subdivision 2.
6.28 (b) If the appealing party fails to participate in the hearing, the unemployment law judge
6.29has the discretion to dismiss the appeal by summary decision. By failing to participate, the
6.30appealing party is considered to have failed to exhaust available administrative remedies
6.31unless the appealing party files a request for reconsideration under subdivision 2 and
6.32establishes good cause for failing to participate in the hearing. Submission of a written
6Sec. 8.
REVISOR SS H0784-1HF784 FIRST ENGROSSMENT 7.1statement does not constitute participation. The applicant must participate personally and
7.2appearance solely by a representative does not constitute participation.
7.3 (c) The unemployment law judge must issue a decision dismissing the appeal as untimely
7.4if the judge decides the appeal was not filed within 20 60 calendar days after the sending
7.5of the determination. The unemployment law judge may dismiss the appeal by summary
7.6decision, or the judge may conduct a hearing to obtain evidence on the timeliness of the
7.7appeal.
7.8 (d) Decisions of an unemployment law judge are not precedential.
7.9 Sec. 9. Minnesota Statutes 2022, section 268.105, subdivision 2, is amended to read:
7.10 Subd. 2.Request for reconsideration.(a) Any party, or the commissioner, may within
7.1120 60 calendar days of the sending of the unemployment law judge's decision under
7.12subdivision 1a, file a request for reconsideration asking the judge to reconsider that decision.
7.13 (b) Upon a request for reconsideration having been filed, the chief unemployment law
7.14judge must send a notice, by mail or electronic transmission, to all parties that a request for
7.15reconsideration has been filed. The notice must inform the parties:
7.16 (1) that reconsideration is the procedure for the unemployment law judge to correct any
7.17factual or legal mistake in the decision, or to order an additional hearing when appropriate;
7.18 (2) of the opportunity to provide comment on the request for reconsideration, and the
7.19right under subdivision 5 to obtain a copy of any recorded testimony and exhibits offered
7.20or received into evidence at the hearing;
7.21 (3) that providing specific comments as to a perceived factual or legal mistake in the
7.22decision, or a perceived mistake in procedure during the hearing, will assist the
7.23unemployment law judge in deciding the request for reconsideration;
7.24 (4) of the right to obtain any comments and submissions provided by any other party
7.25regarding the request for reconsideration; and
7.26 (5) of the provisions of paragraph (c) regarding additional evidence.
7.27This paragraph does not apply if paragraph (d) is applicable. Sending the notice does not
7.28mean the unemployment law judge has decided the request for reconsideration was timely
7.29filed.
7.30 (c) In deciding a request for reconsideration, the unemployment law judge must not
7.31consider any evidence that was not submitted at the hearing, except for purposes of
7.32determining whether to order an additional hearing.
7Sec. 9.
REVISOR SS H0784-1HF784 FIRST ENGROSSMENT 8.1 The unemployment law judge must order an additional hearing if a party shows that
8.2evidence which was not submitted at the hearing:
8.3 (1) would likely change the outcome of the decision and there was good cause for not
8.4having previously submitted that evidence; or
8.5 (2) would show that the evidence that was submitted at the hearing was likely false and
8.6that the likely false evidence had an effect on the outcome of the decision.
8.7 "Good cause" for purposes of this paragraph is a reason that would have prevented a
8.8reasonable person acting with due diligence from submitting the evidence.
8.9 (d) If the party who filed the request for reconsideration failed to participate in the
8.10hearing, the unemployment law judge must issue an order setting aside the decision and
8.11ordering an additional hearing if the party who failed to participate had good cause for
8.12failing to do so. The party who failed to participate in the hearing must be informed of the
8.13requirement to show good cause for failing to participate. If the unemployment law judge
8.14determines that good cause for failure to participate has not been shown, the judge must
8.15state that in the decision issued under paragraph (f).
8.16 Submission of a written statement at the hearing does not constitute participation for
8.17purposes of this paragraph.
8.18 "Good cause" for purposes of this paragraph is a reason that would have prevented a
8.19reasonable person acting with due diligence from participating in the hearing.
8.20 (e) A request for reconsideration must be decided by the unemployment law judge who
8.21issued the decision under subdivision 1a unless that judge:
8.22 (1) is no longer employed by the department;
8.23 (2) is on an extended or indefinite leave; or
8.24 (3) has been removed from the proceedings by the chief unemployment law judge.
8.25 (f) If a request for reconsideration is timely filed, the unemployment law judge must
8.26issue:
8.27 (1) a decision affirming the findings of fact, reasons for decision, and decision issued
8.28under subdivision 1a;
8.29 (2) a decision modifying the findings of fact, reasons for decision, and decision under
8.30subdivision 1a; or
8Sec. 9.
REVISOR SS H0784-1HF784 FIRST ENGROSSMENT 9.1 (3) an order setting aside the findings of fact, reasons for decision, and decision issued
9.2under subdivision 1a, and ordering an additional hearing.
9.3 The unemployment law judge must issue a decision dismissing the request for
9.4reconsideration as untimely if the judge decides the request for reconsideration was not
9.5filed within 20 60 calendar days after the sending of the decision under subdivision 1a.
9.6 The unemployment law judge must send to all parties, by mail or electronic transmission,
9.7the decision or order issued under this subdivision. A decision affirming or modifying the
9.8previously issued findings of fact, reasons for decision, and decision, or a decision dismissing
9.9the request for reconsideration as untimely, is the final decision on the matter and is binding
9.10on the parties unless judicial review is sought under subdivision 7.
9.11 Sec. 10. Minnesota Statutes 2022, section 268.105, subdivision 3, is amended to read:
9.12 Subd. 3.Withdrawal of an appeal.(a) An appeal that is pending before an
9.13unemployment law judge may be withdrawn by the appealing party, or an authorized
9.14representative of that party, by filing of a notice of withdrawal. A notice of withdrawal may
9.15be filed by mail or by electronic transmission.
9.16 (b) The appeal must, by order, be dismissed if a notice of withdrawal is filed, unless an
9.17unemployment law judge directs that further proceedings are required for a proper result.
9.18An order of dismissal issued as a result of a notice of withdrawal is not subject to
9.19reconsideration or appeal.
9.20 (c) A party may file a new appeal after the order of dismissal, but the original
9.2120-calendar-day 60-calendar-day period for appeal begins from the date of issuance of the
9.22determination and that time period is not suspended or restarted by the notice of withdrawal
9.23and order of dismissal. The new appeal may only be filed by mail or facsimile transmission.
9.24 (d) For purposes of this subdivision, "appeals" includes a request for reconsideration
9.25filed under subdivision 2.
9.26 Sec. 11. Minnesota Statutes 2022, section 268.133, is amended to read:
9.27 268.133 UNEMPLOYMENT BENEFITS WHILE IN ENTREPRENEURIAL
9.28TRAINING.
9.29 Unemployment benefits are available to dislocated workers participating in the converting
9.30layoffs into Minnesota businesses (CLIMB) program under section 116L.17, subdivision
9.3111. Applicants participating in CLIMB are considered in reemployment assistance training
9Sec. 11.
REVISOR SS H0784-1HF784 FIRST ENGROSSMENT 10.1under section 268.035, subdivision 21c. All requirements under section 268.069, subdivision
10.21, must be met, except the commissioner may waive:
10.3 (1) the deductible earnings provisions in section 268.085, subdivision 5; and
10.4 (2) the 32 hours of work limitation in section 268.085, subdivision 2, clause (5) (4). A
10.5maximum of 500 applicants may receive a waiver at any given time.
10.6 Sec. 12. Minnesota Statutes 2022, section 268.18, is amended to read:
10.7 268.18 UNEMPLOYMENT BENEFIT OVERPAYMENTS.
10.8 Subdivision 1.Repaying an overpayment.(a) Any applicant who (1) because of a
10.9determination or amended determination issued under section 268.07 or 268.101, or any
10.10other section of this chapter, or (2) because of an unemployment law judge's decision under
10.11section 268.105, has received any unemployment benefits that the applicant was held not
10.12entitled to, is overpaid the benefits, and must promptly repay the benefits to the trust fund.
10.13 (b) If the applicant fails to repay the unemployment benefits overpaid, including any
10.14penalty and interest assessed under subdivisions subdivision 2 and 2b, the total due may be
10.15collected by the methods allowed under state and federal law.
10.16 Subd. 2.Overpayment because of misrepresentation.(a) An applicant has committed
10.17misrepresentation if the applicant is overpaid unemployment benefits by making a an
10.18intentional false statement or representation without in an effort to fraudulently collect
10.19benefits. Overpayment because of misrepresentation does not occur where there is
10.20unintentional mistake or a good faith belief as to the correctness of the statement or
10.21representation.
10.22 (b) In reviewing the facts of an alleged misrepresentation, the department shall consider
10.23any literacy, language, disability, and mental health barriers of the applicant. After the
10.24discovery of facts indicating misrepresentation, the commissioner must issue a determination
10.25of overpayment penalty assessing a penalty equal to 40 15 percent of the amount overpaid.
10.26This penalty is in addition to penalties under section 268.183.
10.27 (b) (c) Unless the applicant files an appeal within 20 60 calendar days after the sending
10.28of a determination of overpayment penalty to the applicant by mail or electronic transmission,
10.29the determination is final. Proceedings on the appeal are conducted in accordance with
10.30section 268.105.
10.31 (c) (d) A determination of overpayment penalty must state the methods of collection the
10.32commissioner may use to recover the overpayment, and penalty, and interest assessed.
10Sec. 12.
REVISOR SS H0784-1HF784 FIRST ENGROSSMENT 11.1Money received in repayment of overpaid unemployment benefits, and penalties, and interest
11.2is first applied to the benefits overpaid, and then to the penalty amount due, then to any
11.3interest due. 62.5 percent of the payments made toward the penalty are credited to the
11.4contingent account and 37.5 percent credited to the trust fund.
11.5 (d) (e) The department is authorized to issue a determination of overpayment penalty
11.6under this subdivision within 48 months of the establishment of the benefit account upon
11.7which the unemployment benefits were obtained through misrepresentation.
11.8 Subd. 2b.Interest.On any unemployment benefits obtained by misrepresentation, and
11.9any penalty amounts assessed under subdivision 2, the commissioner must assess interest
11.10on any amount that remains unpaid beginning 30 calendar days after the date of a
11.11determination of overpayment penalty. Interest is assessed at the rate of one percent per
11.12month or any part of a month. A determination of overpayment penalty must state that
11.13interest will be assessed. Interest is not assessed on unpaid interest. Interest collected under
11.14this subdivision is credited to the trust fund.
11.15 Subd. 3a.Offset of unemployment benefits.(a) The commissioner may offset from
11.16any future unemployment benefits otherwise payable the amount of a nonmisrepresentation
11.17an overpayment. Except when the nonmisrepresentation overpayment resulted because the
11.18applicant failed to report deductible earnings or deductible or benefit delaying payments,
11.19no single offset may exceed 50 percent of the amount of the payment from which the offset
11.20is made.
11.21 (b) Overpayments of unemployment benefits under a federal program, may be recovered
11.22by offset from future benefits otherwise payable.
11.23 (c) If an applicant has been overpaid unemployment benefits under the law of another
11.24state, the commissioner may offset from future benefits otherwise payable the amount of
11.25overpayment.
11.26 (d) Nonmisrepresentation Unemployment benefit overpayments may be recovered by
11.27offset from future benefits otherwise payable under a federal program.
11.28 Subd. 4.Cancellation of overpayments.(a) If unemployment benefits overpaid for
11.29reasons other than misrepresentation are not repaid or offset from subsequent benefits within
11.30six years after the date of the determination or decision holding the applicant overpaid, the
11.31commissioner must cancel the overpayment balance, and no administrative or legal
11.32proceedings may be used to enforce collection of those amounts.
11Sec. 12.
REVISOR SS H0784-1HF784 FIRST ENGROSSMENT 12.1 (b) If unemployment benefits overpaid because of misrepresentation including penalties
12.2and interest are not repaid within ten years after the date of the determination of overpayment
12.3penalty, the commissioner must cancel the overpayment balance and any penalties and
12.4interest due, and no administrative or legal proceeding may be used to enforce collection
12.5of those amounts.
12.6 (c) (b) The commissioner may cancel at any time any overpayment, including penalties
12.7and interest, that the commissioner determines is uncollectible because of death or
12.8bankruptcy.
12.9 Subd. 4a.Court fees; collection fees.(a) If the department is required to pay any court
12.10fees in an attempt to enforce collection of overpaid unemployment benefits, or penalties,
12.11or interest, the amount of the court fees may be added to the total amount due.
12.12 (b) If an applicant who has been overpaid unemployment benefits because of
12.13misrepresentation seeks to have any portion of the debt discharged under the federal
12.14bankruptcy code, and the department files an objection in bankruptcy court to the discharge,
12.15the cost of any court fees may be added to the debt if the bankruptcy court does not discharge
12.16the debt.
12.17 (c) If the Internal Revenue Service assesses the department a fee for offsetting from a
12.18federal tax refund the amount of any overpayment, including penalties and interest, the
12.19amount of the fee may be added to the total amount due. The offset amount must be put in
12.20the trust fund and that amount credited to the total amount due from the applicant.
12.21 Subd. 5.Remedies.(a) Any method undertaken to recover an overpayment of
12.22unemployment benefits, including any penalties and interest, is not an election of a method
12.23of recovery.
12.24 (b) Intervention or lack thereof, in whole or in part, in a workers' compensation matter
12.25under section 176.361 is not an election of a remedy and does not prevent the commissioner
12.26from determining an applicant ineligible for unemployment benefits.
12.27 Subd. 6.Collection of overpayments.(a) The commissioner may not compromise the
12.28amount of any overpaid unemployment benefits including penalties and interest.
12.29 (b) The commissioner has discretion regarding the recovery of any overpayment for
12.30reasons other than misrepresentation. Regardless of any law to the contrary, the commissioner
12.31is not required to refer any overpayment for reasons other than misrepresentation to a public
12.32or private collection agency, including agencies of this state.
12Sec. 12.
REVISOR SS H0784-1HF784 FIRST ENGROSSMENT 13.1 (c) Amounts overpaid for reasons other than misrepresentation are not considered a
13.2"debt" to the state of Minnesota for purposes of any reporting requirements to the
13.3commissioner of management and budget.
13.4 (d) A pending appeal under section 268.105 does not suspend the assessment of interest,
13.5penalties, or collection of an overpayment.
13.6 (e) Section 16A.626 applies to the repayment by an applicant of any overpayment, or
13.7penalty, or interest.
13.8 Sec. 13. REPEALER.
13.9 Minnesota Statutes 2022, section 268.183, is repealed.
13Sec. 13.
REVISOR SS H0784-1HF784 FIRST ENGROSSMENT 268.183 APPLICANT ADMINISTRATIVE PENALTIES.
(a) Any applicant who makes a false statement or representation without a good faith belief as
to the correctness of the statement or representation, in order to obtain or in an attempt to obtain
unemployment benefits may be assessed, in addition to any other penalties, an administrative penalty
of being ineligible for unemployment benefits for 13 to 104 weeks.
(b) A determination of ineligibility setting out the weeks the applicant is ineligible must be sent
to the applicant by mail or electronic transmission. The department is authorized to issue a
determination of ineligibility under this subdivision within 48 months of the establishment of the
benefit account upon which the unemployment benefits were obtained, or attempted to be obtained.
Unless an appeal is filed within 20 calendar days of sending, the determination is final. Proceedings
on the appeal are conducted in accordance with section 268.105.
1R
APPENDIX
Repealed Minnesota Statutes: H0784-1