Tax credit proposed to help parents who have stillborn child but still face costs

Dale Fuller of Rogers explained to the House Taxes Committee Tuesday the grief he and his wife, Carrie, experienced after having a stillborn baby in 2014. While coping with the loss of their full-term baby, they also learned about the financial costs they would incur.

“There is a gray area that these children fall into,” he said. Although they had medical insurance, there were co-pays, deductibles and other expenses. His life insurance claim was also denied.

“My son needed to have been born and taken a breath for me to claim any life insurance benefits.  … It’s extremely difficult to hear that as a parent who has to bury a child who meant so much to you, that they are not really looked at by insurance companies or the law.”

WATCH Tuesday's House Taxes Committee meeting on YouTube

Rep. Roz Peterson (R-Lakeville) sponsors HF2969 that would give a modicum of financial assistance to parents of stillborn children.

The bill would provide a $2,000 refundable individual income tax credit to the parent if a certificate of birth resulting in stillbirth was filed for that child. The bill was held over for inclusion in a possible omnibus tax bill. Its companion, SF2288, sponsored by Sen. Ann Rest (DFL-New Hope), awaits action by the Senate Taxes Committee.

According to the Department of Health, the number of annual fetal deaths averaged 384 from 2009-14.

A fiscal note assumes 400 such deaths a year, at an $800,000 ongoing cost to the General Fund beginning in Fiscal Year 2017.