1.1 	A bill for an act
1.2 	relating to human services; increasing payment rates for nursing facilities in 
1.3 	specified counties to the geographic group III median rate;amending Minnesota 
1.4 	Statutes 2006, section 256B.434, by adding a subdivision.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2006, section 256B.434, is amended by adding a 
1.7 	subdivision to read:
1.8 		Subd. 4i.Rate increase for facilities in Wright, Mille Lacs, and Rice Counties.
 1.9 	Effective October 1, 2008, operating payment rates of all nursing facilities in Wright, 
1.10 	Mille Lacs, and Rice Counties that are reimbursed under this section or section 256B.441 
1.11 	shall be increased to be equal, for a RUG's rate with a weight of 1.00, to the geographic 
1.12 	group III median rate for the same RUG's weight. The percentage of the operating 
1.13 	payment rate for each facility to be case-mix adjusted shall be equal to the percentage that 
1.14 	is case-mix adjusted in that facility's September 30, 2008, operating payment rate. This 
1.15 	subdivision shall apply only if it results in a rate increase. Increases provided by this 
1.16 	subdivision shall be applied prior to the phase-in of rebased operating cost payment rates 
1.17 	under section 256B.441, subdivision 55.