8.4. SR 07-31-1995 - Laserfiche WebLink

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Law summaries continued several individual and small group pension accommodations, and adminis- trative changes for vazious plans. The effective dates are various, many on the day following enactment. Child support withholding and health/dental care coverage Chapter 207, Article 10, seeks to ensure coverage of dependent children under their parent's health plans pursuant to the support orders, the automatic withholding of support payments from wages, and protect employees from employer discipline as a result of any withholding order. Effective August 1, 1995. Workers' compensation Chapter 231 is an effort to cut workers' compensation insurance premiums by 11.4 percent: Cost of living adjustments would be cut in half to two percent, and no annual COLA would be made for the first four years from the date of injury. Permanent total disability payments would only be made if the employee has at least a i 7 percent permanent partial disability rating of the whole body or 13 percent if at least 55 years old without a high school degree or GED certificate. Permanent total payments will now cease at age 67 due to a retirement presumption. The minimum weekly compensation is set at $104 and the maximum.at $615 (an increase of approximately $I00 per week) for temporary total disability. Modest insurance and administration reforms are also in the new ]aw, but most of these issues ~vere addressed in the 1992 reform measure. Generally effective for injuries occurring after October 1, 1995. MnCare amendments Chapter 234 is a 210-page law amending the state's health care plan for the uninsured. The goal of univer- sal coverage (less than four percent. uncovered) is moved back to January 1, 2000. Annual cost containment reports are required for group health caze purchasers. Also, all local government units must provide expenditure data to the state. The law requires that representatives of the affected local government units will be consulted in establishing definitions, reporting formats, and reporting time frames, and the reporting burden is to be minimized. Eligibility for MnCaze coverage is broadened, copayment and deductible provisions of private policies are capped ($5000/family and $1000/person respectively). BMS arbitration lists Chapter 239 makes technical amendments to the state's public sector labor laws, including abolishing the existing arbitration roster effective January 1, 1996. The law also requires the Bureau of Mediation Services to maintain a list of up to 60 arbitrators for use by public employers and exclusive representatives, removes the uniform baseline determination form from rule-making requires, requiring BMS training and technical assistance regarding the form, and strengthens arbitration timelines and oversight. Vazious effective dates. Study on designation of public employees as supervisory or confi- dential Chapter 248, Article 14 relates to the preservation of collective bazgain- ng and requires a study by the legisla- tive coordinating commission on issues concerning the determination of which public employees are supervisory and which are confidential, as discussed in two recent decisions by the Minnesota Court of Appeals. The purpose of the study is to determine what changes are needed, through legislation or in the rules and procedures of the Bureau of Mediation Services, to maintain an appropriate balance in the decision- making process involved in the designation of public employees. Conclusions and recommendations will be made to the legislature by February 1, 1996. Omnibus child support enforcement act Chapter 257 is the omnibus child support enforcement act. Drivers' licenses will be suspended for certain delinquencies, and of si nificance for cities as employers is a section estab- lishing acentralized work~reporting , system. All employers are required to sub ertain information (employee's name, address, social security number, and date of birth when available, and employer's name, address, and federal identification number) to the Depart- ment of Human Services within 15 calendaz days of the date of hiring. No a_._~-..__~ --- - contact will be required for employees hired for less than two months and having gross ea.nings of less than $250 per month. Notices of non-compliance. will be sent to employers who fail to submit the required information and additional violations (intentionally unreported employees) will result in fines of $50 for the second violation and $500 for the third violation. The reporting requirements also apply to anyone hired as an independent contractor. Additionally, no longer will employers have the initial burden of requesting whether anewly-hired individual has court-medical support obligations that are required by law to be withheld from income. Individuals are now required to voluntarily disclose this information at the time they aze hired. For automatic income withholding, employers need only receive, along with the applicable statutory provi- sions, acopy of the withholding requirements, and are no longer required to receive a copy of the notice of income withholding, the court order, or notice of order. Lump sum payments, including bonuses, commissions, or other payer LS ~~ X995 Law Summaries