In re the Marriage of: Emily Lynn Rasmussen v. Nicholas Steven Rasmussen

Minnesota Court of Appeals

In re the Marriage of: Emily Lynn Rasmussen v. Nicholas Steven Rasmussen

Opinion

                   This opinion is nonprecedential except as provided by
                         Minn. R. Civ. App. P. 136.01, subd. 1(c).

                                 STATE OF MINNESOTA
                                 IN COURT OF APPEALS
                                       A23-0087

                                    In re the Marriage of:

                              Emily Lynn Rasmussen, petitioner,
                                        Respondent,

                                             vs.

                                 Nicholas Steven Rasmussen,
                                         Appellant.

                                   Filed January 8, 2024
                                  Reversed and remanded
                                     Klaphake, Judge *

                               Hennepin County District Court
                                  File No. 27-FA-16-5261

Timothy D. Lees, Lees Family Law, Ltd., Edina, Minnesota (for respondent)

John T. Burns, Jr., Burns Law Office, Burnsville, Minnesota (for appellant)

         Considered and decided by Reyes, Presiding Judge; Connolly, Judge; and Klaphake,

Judge.

                           NONPRECEDENTIAL OPINION

KLAPHAKE, Judge

         Appellant-father challenges the district court’s affirmance of the child-support

magistrate’s (CSM’s) order denying his motion to modify child support, arguing the district


* Retired judge of the Minnesota Court of Appeals, serving by appointment pursuant to

Minn. Const. art. VI, § 10.
court erred when it (1) granted respondent-mother a nonjoint-child                 deduction,

(2) designated mother as the party responsible for the joint child’s healthcare coverage, and

(3) denied his motion to modify child support, finding there had not been a substantial

change in circumstances that made the existing order unreasonable and unfair. The district

court misapplied the law when it applied the child-support guidelines to the party’s

prospective circumstances when granting respondent-mother a nonjoint-child deduction.

In addition, the district court’s designation of mother as the party responsible for the joint

child’s healthcare coverage is not supported by adequate findings. Because these issues

affect whether there had been a substantial change in circumstances that made the existing

order unreasonable and unfair and, ultimately, a decision on father’s motion to modify, we

reverse and remand. On remand, the district court may reopen the record at its discretion

to permit consideration of relevant events that have occurred since its order denying

father’s motion to modify.

                                        DECISION

       When a district court affirms a CSM’s decision, the district court implicitly adopts

the CSM’s decision and it becomes part of the district court’s order and, subject to appellate

review. See Minn. R. Gen. Prac. 378.01 (noting review may be taken from final ruling of

CSM “or” district court’s order deciding motion for review); see also Kilpatrick v.

Kilpatrick, 
673 N.W.2d 528
, 530 n.2 (Minn. App. 2004). We review a district court’s

factual findings for clear error, Suleski v. Rupe, 
855 N.W.2d 330, 334
 (Minn. App. 2014),

questions of law de novo; Haefele v. Haefele, 
837 N.W.2d 703, 708
 (Minn. 2013), and the

ultimate decision of whether to modify child support for an abuse of discretion,


                                              2
Gully v. Gully, 
599 N.W.2d 814, 820
 (Minn. 1999). “A district court abuses its discretion

by making findings of fact that are unsupported by the evidence, misapplying the law, or

delivering a decision that is against logic and the facts on record.” Woolsey v. Woolsey,

975 N.W.2d 502
, 506 (Minn. 2022) (quotation omitted).

         A district court may modify an existing child-support order if the moving party

shows that a substantial change in circumstances has occurred that makes the existing order

unreasonable and unfair. Minn. Stat. § 518A.39, subd. 2(a) (2022). Two bases that allow

a modification are: (1) a substantial change in the obligor’s or obligee’s gross income; and

(2) a change in availability of appropriate healthcare coverage, or a substantial change in

healthcare coverage costs. Id. The moving party bears the burden of proving both that

there has been a substantial change in circumstances, and that the change makes the

existing order unreasonable and unfair. Hecker v. Hecker, 
568 N.W.2d 705, 709
 (Minn.

1997).

         If application of the child-support guidelines to the parties’ current circumstances

results in a calculated order that is at least 20% and $75 per month different from the

existing support order, it is presumed that there has been a substantial change in

circumstances and there is a rebuttable presumption that the existing support order is

unreasonable and unfair. 1 Minn. Stat. § 518A.39, subd. 2(b)(1) (2022); Rose v. Rose, 
765 N.W.2d 142, 145
 (Minn. App. 2009).


1 To determine whether the presumptions apply, the relevant amount for comparison is the

obligor’s total child-support obligation, not their basic support obligation. Minn. Stat.
§§ 518A.34-.35 (2022); see also County of Grant v. Koser, 
809 N.W.2d 237, 242
 (Minn.
App. 2012) (explaining that the support statutes contemplate “including all adjustments

                                              3
       As the party moving for modification, father bore the burden of proving that a

substantial change in circumstances had occurred and that the change made the existing

order unreasonable and unfair. Father based his motion for modification on his new

income, mother’s income verification, mother’s underemployment, his eligibility for a

nonjoint-child deduction, and his newly available healthcare coverage. See Minn. Stat.

§ 518A.39, subd. 2 (2022). The CSM imputed potential gross income to mother, granted

both parties nonjoint-child deductions, designated mother as the party responsible for the

joint child’s healthcare coverage, and denied father’s motion to modify. It found father

had not met his burden of proving that there had been a substantial change in circumstances

that made the existing order unreasonable and unfair because application of the child-

support guidelines to the parties’ current circumstances resulted in a calculated order of

$758 per month, which was not 20% and $75 per month less than the existing support order

of $835 per month. The district court affirmed the CSM’s order.

       First, father argues that the district court erred in granting mother a nonjoint-child

deduction. Second, father argues that the district court erred in designating mother as the

party responsible for the joint child’s healthcare coverage. Finally, father argues that but

for these errors, he would have met his burden of proving that a substantial change in

circumstances had occurred that made the existing child-support order unfair and




made to the guidelines ‘basic support’ amount” when determining whether the
presumptions apply), abrogated by In re Dakota County, 
866 N.W.2d 905, 911
 (Minn.
2015).

                                             4
unreasonable, which would have required granting his motion to modify. 2 We address

father’s arguments in turn.

         Nonjoint-Child Deduction

         First, father challenges the district court’s grant of a nonjoint-child deduction to

mother when mother was expecting but had not yet given birth to a nonjoint child. Father

argues that the district court erred in failing to apply the child-support guidelines to the

parties’ current circumstances, as required under Minn. Stat. § 518A.39, subd. 2(b)(1). We

agree.

         The parties’ “current circumstances,” under Minn. Stat. § 518A.39, subd. 2(b)(1),

means “their circumstances at the time of the motion to modify.” Maschoff v. Leiding, 
696 N.W.2d 834, 840
 (Minn. App. 2005). A party is entitled to a deduction in gross income if

they are “legally responsible for a nonjoint child.” Minn. Stat. § 518A.33(a)-(b) (2022).

         Here, when father moved to modify child support, mother was not yet legally

responsible for a nonjoint child because the child was not yet born. 3 Because the district




2 Father argues that, but for the nonjoint-child deduction and healthcare designation errors,

together, application of the child-support guidelines to the parties’ current circumstances
would have resulted in a total child-support order of $490 per month, which is 41% and
$345 less than the existing support order. Alternatively, father argues that, but for the
healthcare designation error, alone, application of the child-support guidelines to the
parties’ current circumstances would have resulted in a total child-support order of $528
per month, which is 37% or $307 less than the existing support order.
3 Mother was due to give birth to the non-joint child approximately 4 to 5 months after

father moved to modify custody.

                                              5
court misapplied the law when it applied the child-support guidelines to the parties’

prospective circumstances, we reverse and remand on this issue. 4

       More Appropriate Healthcare Coverage

       Second, father challenges the district court’s designation of mother as the party

responsible for the joint child’s healthcare coverage. Father argues that the district court

erred in determining the appropriateness of the parties’ healthcare coverage for the joint

child, as required under 
Minn. Stat. § 518.41
, subd. 3 (2022).            Since the record is

insufficient to allow appellate review of the appropriateness of the district court’s decision,

we reverse and remand for further findings on the factors set forth in 
Minn. Stat. § 518.41
,

subd. 3.

       Healthcare coverage “means medical, dental, or other healthcare benefits that are

provided by one or more health plans.” Minn. Stat. § 518A.41, subd. 1(a) (2022). When

a joint child is enrolled in healthcare coverage, the district court must “continue that

enrollment unless the parties agree otherwise, or a party requests a change in coverage and

the [district] court determines that other healthcare coverage is more appropriate.” Minn.

Stat. § 518A.41, subd. 4(a) (2022). In determining which parent has the more appropriate

healthcare coverage for the joint child, the court must consider four factors:




4 Nothing in this opinion should be construed as restricting the district court’s authority to

correct father’s obligation for the months before mother’s nonjoint child was born and
readjust his obligation for the months since the nonjoint child’s birth, if it is shown that the
child was born, and that mother is legally responsible for that child.

                                               6
(1) comprehensiveness, (2) accessibility, (3) special medical needs, and (4) affordability.5

Minn. Stat. § 518A.41, subd. 3(1)-(4) (2022).

       Here, father requested a change in the joint child’s healthcare coverage from

mother’s plan to his plan when he moved to modify child support. See Minn. Stat.

§ 518A.39, subd. 2(a). Therefore, the district court was required to consider the statutory

factors to determine the most appropriate healthcare coverage. Minn. Stat. § 518A.41,

subds. 3, 4(a) (2022). The parties offered conflicting evidence of the comprehensiveness,

accessibility, and affordability of their plans. The district court found that the joint child

was “enrolled in appropriate health and dental coverage provided by the [mother] through

her employer,” but it failed to make clear findings that mother’s healthcare coverage was

more appropriate than father’s coverage based on an analysis of the statutory factors.

While Minn. Stat. § 518A.41, subd. 3, does not explicitly require a district court to make

written findings on these factors, caselaw suggests that, usually, findings regarding the

factors may be required. See, e.g., Rosenfeld v. Rosenfeld, 
249 N.W.2d 168, 171
 (Minn.

1976) (stating, in a custody dispute, that findings on the statutory factors are required

because they “(1) assure consideration of the statutory factors by the family court;

(2) facilitate appellate review of the family court’s custody decision; and (3) satisfy the

parties that this important decision was carefully and fairly considered by the family

court”); Hesse v. Hesse, 
778 N.W.2d 98, 104
 (Minn. App. 2009) (“Findings should assure




5 The parties agree that the third factor, special medical needs, is not relevant to the district

court’s analysis.

                                               7
that the relevant statutory factors have been addressed, satisfy the litigants that their case

was fairly resolved, and permit reasoned appellate review.”).

       Based on our review of the order denying father’s motion to modify child support,

it is unclear whether the statutory factors were considered. Without specific findings

comparing the appropriateness of the parties’ healthcare coverage based on the plans’

comprehensiveness, accessibility, and affordability, we are unable to address father’s

challenge to the district court’s designation of mother as the party responsible for the joint

child’s healthcare coverage.     Maschoff, 
696 N.W.2d at 840
 (“Unless a support order

provides a baseline for future modification motions by reciting the parties’ then-existing

circumstances, the litigation of a later motion to modify that order becomes unnecessarily

complicated because it requires the parties to litigate not only their circumstances at the

time of the motion, but also their circumstances at the time of the order sought to be

modified.”). Because the factual findings before us do not permit adequate review of the

district court’s designation of mother as the party responsible for the joint child’s healthcare

coverage, we reverse and remand for further findings on the appropriateness of the parties’

healthcare coverage based on the statutory factors set forth in Minn. Stat. § 518A.41, subd.

3.

       Denial of Motion to Modify

       Finally, father challenges the district court’s denial of his motion to modify, arguing

that it erred in finding there had not been a substantial change in circumstances that made

the existing child-support order unreasonable and unfair, as required under Minn. Stat.

§ 518A.39, subd. 2(b)(1). Because the first two issues affect a determination of whether


                                               8
father met his burden of proof, we reverse and remand for a redetermination on whether

there had been a substantial change in circumstances that made the existing order

unreasonable and unfair and, ultimately, a decision on father’s motion to modify in light

of that determination. On remand, the district court may reopen the record at its discretion

to permit consideration of relevant events that have occurred since its order denying

father’s motion to modify.

       Reversed and remanded.




                                             9


Reference

Status
Unpublished
Syllabus
Appellant-father challenges the district court's affirmance of the child-support magistrate's (CSM's) order denying his motion to modify child support, arguing the district court erred when it (1) granted respondent-mother a nonjoint-child deduction, (2) designated mother as the party responsible for the joint child's healthcare coverage, and (3) denied his motion to modify child support, finding there had not been a substantial change in circumstances that made the existing order unreasonable and unfair. Reversed and remanded.