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Bill would require reporting of 1099 contractors to state new‑hire database to improve child support collections; committee advances bill
Summary
Representative Michael Curran's House File 1316 would require employers to report 1099 independent contractors to the Department of Children, Youth and Families' new‑hire database to aid child support enforcement. The committee adopted a technical amendment setting an effective date and re‑referred the bill to Judiciary, Finance and Civil Law.
Representative Michael Curran presented House File 13 16, a bill that would require employers to report new hires who are 1099 independent contractors to the Department of Children, Youth and Families' (DCYF) new‑hire database to improve child support collection. Curran and testifier Trish Schophammer, director of Child Support Services in the Ramsey County Attorney's Office, told the committee the growth of the gig economy has made it harder to locate payers and obtain income withholding. Schophammer said 20 other states already require reporting of independent contractors and that data suggest people who owe child support are over‑represented in gig work sectors.
Curran offered and the committee adopted an A1 amendment (technical) that also changed the bill's effective date to July 1, 2026. Schophammer explained the bill would reuse the existing new‑hire reporting portal maintained by DCYF; the change would increase the total volume of reports the department receives. Melissa Fraley, legislative lead in DCYF's child support division, said the department already receives thousands of new‑hire reports each month and that independent contractors are currently reported on an optional basis; this bill would make that reporting mandatory and increase report volume.
Members raised practical concerns about small contractors, subcontracting arrangements on construction projects, truck drivers and administrative burdens. Schophammer acknowledged additional reporting responsibilities for employers and said DCYF would undertake outreach to inform employers and provide time to implement changes; the amended July 1, 2026 effective date is intended to allow that preparation. Representative Curran said entering a new‑hire report is a relatively simple HR action and emphasized the potential for increased collections and fairness in child support enforcement.
The committee re‑referred the bill, as amended, to the Committee on Judiciary, Finance and Civil Law.
