1.1                          A bill for an act 
  1.2             relating to human services; authorizing the 
  1.3             replacement of the Lake Owasso intermediate care 
  1.4             facility in Ramsey county. 
  1.5   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.6      Section 1.  [AUTHORIZATION OF LAKE OWASSO PROJECT.] 
  1.7      Subdivision 1.  Notwithstanding the provisions of Minnesota 
  1.8   Statutes, section 252.291, the commissioner of human services 
  1.9   shall authorize and grant a license under Minnesota Statutes, 
  1.10  chapter 245A, to a new intermediate care facility for persons 
  1.11  with mental retardation under the following circumstances: 
  1.12     (1) the new facility replaces an existing 64-bed 
  1.13  intermediate care facility for the mentally retarded located in 
  1.14  Ramsey county; 
  1.15     (2) the new facility is located upon a parcel of land 
  1.16  contiguous to the parcel upon which the existing 64-bed facility 
  1.17  is located; 
  1.18     (3) the new facility is comprised of no more than eight 
  1.19  twin home style buildings; 
  1.20     (4) the total licensed bed capacity of the facility does 
  1.21  not exceed 64 beds; and 
  1.22     (5) the existing 64-bed facility is demolished. 
  1.23     Subd. 2.  The medical assistance payment rate for the new 
  1.24  facility shall be the higher of the rate specified in 
  1.25  subdivision 3 or as otherwise provided by law. 
  2.1      Subd. 3.  (a) The new facility shall be considered a newly 
  2.2   established facility for rate setting purposes, and shall be 
  2.3   eligible for the investment per bed limit specified in Minnesota 
  2.4   Statutes, section 256B.501, subdivision 11, paragraph (c), and 
  2.5   the interest expense limitation specified in Minnesota Statutes, 
  2.6   section 256B.501, subdivision 11, paragraph (d). 
  2.7      (b) Notwithstanding Minnesota Statutes, section 256B.5011, 
  2.8   the newly established facility's initial payment rate shall be 
  2.9   set according to Minnesota Rules, part 9553.0075, and shall not 
  2.10  be subject to the provisions of Minnesota Statutes, section 
  2.11  256B.501, subdivision 5b.