Minnesota Legislature
HF 4873
as introduced - 93rd Legislature (2023 - 2024) Posted on 03/13/2024 12:18pm
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| Introduction | Posted on 03/12/2024 |
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A bill for an act
relating to health; modifying the maximum allowable charge for supplemental
nursing services; prohibiting registered supplemental nursing services agencies
from being a related organization of an organization in the business of providing
or procuring temporary employment for independent contractors; amending
Minnesota Statutes 2022, sections 144A.70, by adding a subdivision; 144A.72,
subdivision 1; 144A.74.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Minnesota Statutes 2022, section 144A.70, is amended by adding a subdivision
to read:
new text begin Subd. 5a. new text end
new text begin Related organization. new text end
new text begin
(a) "Related organization" means a person that is a
close relative of a supplemental nursing services agency, an affiliate of a supplemental
nursing services agency, a close relative of an affiliate of a supplemental nursing agency,
or an affiliate of a close relative of a supplemental nursing agency. As used in this
subdivision, paragraphs (b) to (d) apply.
new text end
new text begin
(b) "Affiliate" means a person that directly, or indirectly through one or more
intermediaries, controls or is controlled by, or is under common control with another person.
new text end
new text begin
(c) "Close relative" means an individual whose relationship by blood, marriage, or
adoption is no more remote than first cousin.
new text end
new text begin
(d) "Control," including the terms "controlling," "controlled by," and "under common
control with," means the possession, direct or indirect, of the power to direct or cause the
direction of the management, operations, or policies of a person, whether through the
ownership of voting securities, by contract, or otherwise.
new text end
Sec. 2.
Minnesota Statutes 2022, section 144A.72, subdivision 1, is amended to read:
Subdivision 1.
Minimum criteria.
(a) The commissioner shall require that, as a condition
of registration:
(1) the supplemental nursing services agency shall document that each temporary
employee provided to health care facilities currently meets the minimum licensing, training,
and continuing education standards for the position in which the employee will be working;
(2) the supplemental nursing services agency shall comply with all pertinent requirements
relating to the health and other qualifications of personnel employed in health care facilities;
(3) the supplemental nursing services agency must not restrict in any manner the
employment opportunities of its employees;
(4) the supplemental nursing services agency shall carry medical malpractice insurance
to insure against the loss, damage, or expense incident to a claim arising out of the death
or injury of any person as the result of negligence or malpractice in the provision of health
care services by the supplemental nursing services agency or by any employee of the agency;
(5) the supplemental nursing services agency shall carry an employee dishonesty bond
in the amount of $10,000;
(6) the supplemental nursing services agency shall maintain insurance coverage for
workers' compensation for all nurses, nursing assistants, nurse aides, and orderlies provided
or procured by the agency;
(7) the supplemental nursing services agency shall file with the commissioner of revenue:
(i) the name and address of the bank, savings bank, or savings association in which the
supplemental nursing services agency deposits all employee income tax withholdings; and
(ii) the name and address of any nurse, nursing assistant, nurse aide, or orderly whose income
is derived from placement by the agency, if the agency purports the income is not subject
to withholding;
(8) the supplemental nursing services agency must not, in any contract with any employee
or health care facility, require the payment of liquidated damages, employment fees, or
other compensation should the employee be hired as a permanent employee of a health care
facility;
(9) the supplemental nursing services agency shall document that each temporary
employee provided to health care facilities is an employee of the agency and is not an
independent contractor; deleted text begin and
deleted text end
(10) the supplemental nursing services agency shall retain all records for five calendar
years. All records of the supplemental nursing services agency must be immediately available
to the departmentdeleted text begin .deleted text end new text begin ; and
new text end
new text begin
(11) the supplemental nursing services agency must not be a related organization to any
person in the business of providing, procuring, or facilitating temporary employment in
health care services to independent contractors.
new text end
(b) In order to retain registration, the supplemental nursing services agency must provide
services to a health care facility during the year preceding the supplemental nursing services
agency's registration renewal date.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective August 1, 2024.
new text end
Sec. 3.
Minnesota Statutes 2022, section 144A.74, is amended to read:
144A.74 MAXIMUM CHARGES.
A supplemental nursing services agency must not bill or receive payments from a nursing
home licensed under this chapter at a rate higher than deleted text begin 150deleted text end new text begin 200new text end percent of the sum of the
weighted average wage rate, plus a factor determined by the commissioner to incorporate
payroll taxes as defined in section 256R.02, subdivision 37, for the applicable employee
classification for the geographic group specified in section 256R.23, subdivision 4. The
weighted average wage rates must be determined by the commissioner of human services
and reported to the commissioner of health on an annual basis. Wages are defined as hourly
rate of pay and shift differential, including weekend shift differential and overtime. Facilities
shall provide information necessary to determine weighted average wage rates to the
commissioner of human services in a format requested by the commissioner. The maximum
rate must include all charges for administrative fees, contract fees, or other special charges
in addition to the hourly rates for the temporary nursing pool personnel supplied to a nursing
home. A nursing home that pays for the actual travel and housing costs for supplemental
nursing services agency staff working at the facility and that pays these costs to the employee,
the agency, or another vendor, is not violating the limitation on charges described in this
section.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective July 1, 2024.
new text end
Sec. 4. new text begin DIRECTION TO COMMISSIONER OF HEALTH; CONSULTATION
WITH REGISTERED SUPPLEMENTAL NURSING SERVICES AGENCIES
REQUIRED.
new text end
new text begin
The commissioner of health must take measures to actively engage with registered
supplemental nursing services agencies prior to taking any of the following actions governing
or substantially affecting supplemental nursing services agencies:
new text end
new text begin
(1) recommending changes to Minnesota Statutes, sections 144A.70 to 144A.74;
new text end
new text begin
(2) adopting rules;
new text end
new text begin
(3) implementing changes to statutes or rules; or
new text end
new text begin
(4) implementing new or modified policies.
new text end