MUEHLBERG, Judge
Appellant Emile Rey challenges his obligation to pay restitution in the amount of $66,000, arguing that: the identity-theft statute, which authorized the district court to order restitution, violates his substantive and procedural due-process rights; the district court abused its discretion because it failed to consider his ability to pay restitution; and the restitution amounted to an unconstitutional fine. We affirm.
Rey pleaded guilty to one count of identity theft involving more than eight direct victims. See Minn. Stat. § 609.527, subds. 2, 3(5) (2014). He admitted that he obtained cloned
I. Does the minimum-restitution provision in Minnesota Statutes section 609.527, subdivision 4, violate Rey's substantive due-process rights?
II. Does the minimum-restitution provision in Minnesota Statutes section 609.527, subdivision 4, violate Rey's procedural due-process rights?
III. Did the district court fail to consider Rey's ability to pay before ordering restitution?
IV. Is the minimum-restitution provision in Minnesota Statutes section 609.527, subdivision 4, an unconstitutional fine?
A district court has broad discretion to order restitution. State v. Tenerelli, 598 N.W.2d 668, 671 (Minn. 1999). Unlike fines, which are typically punitive in nature, the aim of restitution is to either rehabilitate a defendant or compensate the victim. State v. Fader, 358 N.W.2d 42, 48 (Minn. 1984). Generally, restitution may cover, but is not limited to, "any out-of-pocket losses resulting from the crime." State v. Palubicki, 727 N.W.2d 662, 666 (Minn. 2007) (citing to the general restitution statute, Minn. Stat. § 611A.04, subd. 1(a) (2006)). Victims need not actually make a request before a district court may order restitution. State v. Gaiovnik, 794 N.W.2d 643, 652 (Minn. 2011). Nevertheless, a factual basis must be demonstrated to support the restitution ordered. State v. Latimer, 604 N.W.2d 103, 105 (Minn. App. 1999). But under the identity-theft statute, the district court "shall order" $1,000 to each direct victim of identity theft. Minn. Stat. § 609.527, subd. 4; Anderson v. State, 794 N.W.2d 137, 140-41 (Minn. App. 2011) (explaining that the specific provisions of the identity-theft statute, which do not require proof of loss, control over the general restitution procedures, which require proof of loss), review denied (Minn. Apr. 27, 2011); see Minn. Stat. § 645.26, subd. 1 (2014) (designating special provisions as an exception to general provisions where both may be irreconcilable).
Rey challenges his restitution obligation, arguing that the minimum-restitution provision is unconstitutional because it violates his substantive and procedural due-process rights. The constitutionality of a statute presents a question of law, which we review de novo. State v. Bussmann, 741 N.W.2d 79, 82 (Minn. 2007). "Minnesota statutes are presumed constitutional, and our power to declare a statute unconstitutional should be exercised with extreme caution and only when absolutely
The Due Process clauses of the United States and Minnesota Constitutions prohibit the government from depriving a person of "life, liberty, or property, without due process of law." U.S. Const. amends. V, XIV; Minn. Const. art I, § 7. Substantive due process protects a fundamental right against "arbitrary, wrongful government actions regardless of the fairness of the procedures used to implement them." State v. Hill, 871 N.W.2d 900, 905-06 (Minn. 2015) (quotation and citation omitted). "This protection limits what the government may do in both its legislative and its executive capacities." Id. (citing Cty. of Sacramento v. Lewis, 523 U.S. 833, 846, 118 S.Ct. 1708, 1716, 140 L.Ed.2d 1043 (1998)). When a law is challenged under the due-process clause, we apply an appropriate level of scrutiny to the law depending on whether a fundamental right is implicated. In re Linehan, 594 N.W.2d 867, 872 (Minn. 1999); Gustafson v. Comm'r of Human Servs., 884 N.W.2d 674, 683 (Minn. App. 2016). If the law does not implicate a fundamental right, the state need only show that the law has a rational basis to serve a legitimate state interest. Gustafson, 884 N.W.2d at 683. If a law does implicate a fundamental right, that law will only stand if the state can show that it serves a compelling interest and is narrowly tailored to fit that interest. Linehan, 594 N.W.2d at 872; Gustafson, 884 N.W.2d at 683.
To address Rey's constitutional challenges, we must initially examine whether the minimum-restitution provision of the identity-theft statute implicates a fundamental right. A fundamental right is one that is so deeply rooted in our nation's history and tradition that neither liberty nor justice would exist if the right was sacrificed. Washington v. Glucksberg, 521 U.S. 702, 720-21, 117 S.Ct. 2258, 2268, 138 L.Ed.2d 772 (1997). But Minnesota courts have been reluctant to expand the concept of substantive due process because "guideposts for responsible decision-making in this unchartered area are scarce and open-ended." Hill, 871 N.W.2d at 905-06 (quotation and citation omitted).
Rey generally asserts that the minimum-restitution provision infringes on a fundamental right to property; specifically, the right to acquire and dispose of his money as he chooses. We disagree. Beyond the mere assertion that a fundamental right is implicated, Rey makes no effort to describe the right. Minnesota courts have never held that the right to property is a fundamental right that shields an individual from paying restitution for crimes of which he or she has been duly convicted. See, e.g., Minn. Stat. § 611A.04 (2014) (giving victims of crimes a statutory right to receive restitution); Hughes v. State, 815 N.W.2d 602, 606 (Minn. 2012) (upholding restitution obligation under procedural due-process analysis); Gaiovnik, 794 N.W.2d at 650-51 (explaining that a plain language interpretation of restitution statute supports a conclusion that the legislature intended to give district courts authority to order restitution). Just as the victim's rights to property are forfeited by way of a defendant's criminal act, so too are the defendant's rights to property so far as is required to make the victim whole. Cf. United States v. Knights, 534 U.S. 112,
Because no fundamental right is implicated, we address the constitutionality of the minimum-restitution provision under the rational-basis test. Under that test, we will uphold a statute so long as it bears a rational relationship to a legitimate purpose. Gustafson, 884 N.W.2d at 683. Rey acknowledges that the state has a legitimate interest to order restitution to compensate victims of crimes. He argues, however, that the minimum-restitution provision does not bear a rational relationship to that purpose because the $1,000 amount to each victim is untethered to a victim's actual loss. We disagree. The identity-theft statute is clear and unambiguous; under a plain reading of the statute, restitution is unquestionably tied to direct victims of identity theft. See Minn. Stat. § 609.527, subd. 1(b) (defining a direct victim as any person whose identity has been transferred, used, or possessed in violation of the identity theft statute); Minn. Stat. § 611A.01(b) (2014) (defining a victim as one who incurs a loss or harm as a result of the crime).
In State v. Moua, we recognized the potential indeterminable future costs associated with identity theft. 874 N.W.2d 812, 818 (Minn. App. 2016) (interpreting whether the identity-theft statute authorized a district court judge to order restitution), review denied (Minn. Apr. 19, 2016). We acknowledged that the legislature intended direct victims to include those who suffered both economic and non-economic harm. Id. at 817. "[T]he legislature's decision to tie the severity of sentencing to either the number of direct victims or the total, combined economic loss ... recognize[s] that culpability flows from both the amount of economic loss and the number of direct victims involved, regardless of the extent of their loss or harm." Id. (citing to Minn. Stat. § 609.527, subd. 3).
While it is true that the legislature could have required that restitution in identity-theft cases be calculated in the same fashion as the general restitution statute, "we implicitly recognized the legislature's intention to forego the procedural requirements contained in the general restitution statutes to make restitution broadly available to those affected by identity theft." Id. at 818. To reach this conclusion, we emphasized that victims of identity theft face lingering threats to their identity and financial security. Id.
We do not believe the legislature intended identity-theft victims to incur actual pecuniary loss as a prerequisite to claiming restitution. See Minn. Stat. § 645.17(1) (2014) (explaining that the legislature does not intend a result that is absurd, impossible of execution, or unreasonable). Therefore, because the means utilized in the statute are rationally related to a legitimate government purpose under rational-basis review, we conclude that the minimum-restitution provision of the identity-theft statute does not violate Rey's substantive due-process rights.
Rey argues next that the minimum-restitution provision violates his procedural due-process rights because it does not afford him a meaningful hearing to contest the order of restitution to each victim. We reject this argument.
Procedural due process refers to notice and opportunity to be heard at a meaningful time and in a meaningful manner. Sawh v. City of Lino Lakes, 823 N.W.2d 627, 632 (Minn. 2012). Appellate courts conduct a two-step analysis to determine whether the government has violated an individual's procedural due-process rights. Id. First, we determine whether the government has deprived the individual of an interest such as life, liberty, or property. Id. If no right is implicated, no process is due. Id. If such a right is implicated, our next step requires this court to determine whether the procedures followed by the government were sufficient. Id.
In Moua, we implicitly recognized that the minimum-restitution provision raises concerns that an individual's right to property may be deprived by an order of restitution. 874 N.W.2d at 816.
Before Rey's plea hearing, the district court ordered a presentence-investigation report. That report recommended that Rey be ordered to pay restitution in the amount of $1,000 to each victim (totaling $66,000). At his plea hearing, Rey admitted to using the credit cards of 66 victims. Although the record at the time of his plea did not make clear that restitution would be sought, the record at sentencing establishes that restitution would be based on
Rey argues that the court committed reversible error by ordering him to pay restitution without considering his ability to pay. We disagree. The pre-plea, presentence-investigation report contained information about his income, resources, and obligations. The report indicated his ability to pay.
Rey argues that his obligation to pay restitution was an unconstitutional fine because the minimum-restitution provision is not connected to the victims' actual losses. He asserts that because the restitution was effectively a fine, a jury trial was required. Cf. Blakely v. Washington, 542 U.S. 296, 301-02, 124 S.Ct. 2531, 2536-37, 159 L.Ed.2d 403 (2004) (concluding that any fact which increases the penalty for a crime beyond a statutory maximum must be submitted to a jury).
As we have previously explained, "[t]he minimum-restitution provision reflects the legislature's recognition that while it is difficult to quantify loss or harm occasioned by identity theft, victims nonetheless experience material detriment." Moua, 874 N.W.2d at 818; cf. Fader, 358 N.W.2d at 48 (clarifying that because the aim of restitution is to compensate the victim, its amount should be based on the victim's injury).
Because the minimum-restitution provision in Minnesota Statutes section 609.527, subdivision 4, is not an unconstitutional fine and does not violate the substantive right to property or procedural due process, and because the district court judge properly considered Rey's ability to pay before ordering restitution, we affirm.