1.1                          A bill for an act 
  1.2             relating to human services; authorizing a project to 
  1.3             reconfigure two intermediate care facilities for 
  1.4             persons with mental retardation located in Carver 
  1.5             county. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  [ICF/MR SERVICE RECONFIGURATION PROJECT.] 
  1.8      (a) The commissioner of human services may authorize a 
  1.9   project to reconfigure two existing intermediate care facilities 
  1.10  for persons with mental retardation or related conditions 
  1.11  (ICFs/MR) located on the same campus in Carver county and 
  1.12  totaling 60 licensed beds in one 46-bed facility and one 14-bed 
  1.13  facility.  The reconfiguration project will involve the 
  1.14  relocation of 12 beds to two six-bed ICFs/MR.  The remaining two 
  1.15  ICFs/MR shall consist of one 38-bed ICF/MR and one 11-bed 
  1.16  ICF/MR.  The project shall include the development of 
  1.17  alternative home and community-based services for two 
  1.18  individuals to be relocated from the existing facilities.  The 
  1.19  project must be approved by the commissioner under Minnesota 
  1.20  Statutes, section 252.28, and must include criteria for 
  1.21  determining how individuals are selected for alternative 
  1.22  services and the use of a request for proposal process in 
  1.23  selecting vendors for the alternative services.  In conjunction 
  1.24  with this project, the 38-bed facility shall maintain temporary 
  1.25  service capacity of three beds.  To accomplish this goal, the 
  2.1   commissioner is authorized to develop the one additional bed 
  2.2   required and set aside waivered service slots as needed for 
  2.3   these individuals. 
  2.4      (b) Upon approval of the project in paragraph (a), the 
  2.5   following additional conditions shall apply to rate setting: 
  2.6      (1) the two existing facilities' aggregate 
  2.7   investment-per-bed limits in effect before the downsizing shall 
  2.8   be the investment-per-bed limit after the downsizing; 
  2.9      (2) the 11-bed and the 38-bed facilities shall be eligible 
  2.10  for a one-time rate adjustment to be negotiated with the 
  2.11  commissioner taking into consideration estimated excess revenues 
  2.12  available from the two six-bed facilities; 
  2.13     (3) the two relocated six-bed facilities shall receive the 
  2.14  payment rates established for the former 46-bed facility until 
  2.15  each files a cost report for a period ending on December 31 
  2.16  following their opening and those reports are desk audited by 
  2.17  the commissioner.  The cost reports must not be for a period 
  2.18  less than five months.  The two remaining facilities shall file 
  2.19  their regularly scheduled annual cost reports; 
  2.20     (4) all four facilities are exempt from the spend-up and 
  2.21  high cost limits in Minnesota Statutes, section 256B.501, 
  2.22  subdivision 5b, for the rate year following the first cost 
  2.23  report submitted under clause (3); and 
  2.24     (5) the maintenance limit for the 38-bed facility shall be 
  2.25  established using the methodology in Minnesota Statutes, section 
  2.26  256B.501, subdivision 5d.  The maintenance limit for the 11-bed 
  2.27  facility shall be adjusted by the same ratio used to adjust the 
  2.28  38-bed facility's maintenance limit.