1.1                          A bill for an act 
  1.2             relating to human services; adding TANF initiatives to 
  1.3             promote self-sufficiency and oversight of TANF 
  1.4             maintenance of effort; appropriating money; amending 
  1.5             Minnesota Statutes 1998, sections 256.011, subdivision 
  1.6             3; 256.741, by adding a subdivision; 256.995, 
  1.7             subdivision 1; 256J.08, by adding a subdivision; 
  1.8             256J.15, by adding a subdivision; 256J.40; 256J.45, 
  1.9             subdivision 3; 256J.46, by adding a subdivision; 
  1.10            256J.47, subdivision 1; 256J.49, subdivision 13; 
  1.11            256J.50, subdivision 5; 256J.52, by adding a 
  1.12            subdivision; and 256J.62, by adding a subdivision; 
  1.13            Minnesota Statutes 1999 Supplement, sections 119B.011, 
  1.14            subdivision 15; 119B.02, subdivision 1; 256.01, 
  1.15            subdivision 2; 256J.02, subdivision 2; 256J.08, 
  1.16            subdivision 86; 256J.26, subdivision 1; 256J.33, 
  1.17            subdivision 4; 256J.34, subdivisions 1 and 4; 256J.46, 
  1.18            subdivisions 1, 2, and 2a; 256J.52, subdivisions 3 and 
  1.19            5; and 256J.56; Laws 1999, chapter 245, article 1, 
  1.20            section 2, subdivision 10; proposing coding for new 
  1.21            law in Minnesota Statutes, chapters 3; 256J; and 256K; 
  1.22            repealing Minnesota Statutes 1998, section 256J.46, 
  1.23            subdivision 1a. 
  1.24  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.25                             ARTICLE 1 
  1.26            TANF INITIATIVES TO PROMOTE SELF-SUFFICIENCY 
  1.27     Section 1.  Minnesota Statutes 1999 Supplement, section 
  1.28  119B.011, subdivision 15, is amended to read: 
  1.29     Subd. 15.  [INCOME.] "Income" means earned or unearned 
  1.30  income received by all family members, including public 
  1.31  assistance cash benefits and at-home infant care subsidy 
  1.32  payments, unless specifically excluded and child support and 
  1.33  maintenance distributed to the family under section 256.741, 
  1.34  subdivision 15.  The following are excluded from income:  funds 
  2.1   used to pay for health insurance premiums for family members, 
  2.2   Supplemental Security Income, scholarships, work-study income, 
  2.3   and grants that cover costs or reimbursement for tuition, fees, 
  2.4   books, and educational supplies; student loans for tuition, 
  2.5   fees, books, supplies, and living expenses; state and federal 
  2.6   earned income tax credits; in-kind income such as food stamps, 
  2.7   energy assistance, foster care assistance, medical assistance, 
  2.8   child care assistance, and housing subsidies; earned income of 
  2.9   full or part-time students, who have not earned a high school 
  2.10  diploma or GED high school equivalency diploma including 
  2.11  earnings from summer employment; grant awards under the family 
  2.12  subsidy program; nonrecurring lump sum income only to the extent 
  2.13  that it is earmarked and used for the purpose for which it is 
  2.14  paid; and any income assigned to the public authority according 
  2.15  to section 256.74 or 256.741. 
  2.16     Sec. 2.  Minnesota Statutes 1998, section 256.741, is 
  2.17  amended by adding a subdivision to read: 
  2.18     Subd. 15.  [CHILD SUPPORT DISTRIBUTION.] The state shall 
  2.19  distribute current child support and maintenance received by the 
  2.20  state to an individual who assigns the right to that support 
  2.21  under subdivision 2, paragraph (a). 
  2.22     Sec. 3.  Minnesota Statutes 1999 Supplement, section 
  2.23  256J.02, subdivision 2, is amended to read: 
  2.24     Subd. 2.  [USE OF MONEY.] State money appropriated for 
  2.25  purposes of this section and TANF block grant money must be used 
  2.26  for: 
  2.27     (1) financial assistance to or on behalf of any minor child 
  2.28  who is a resident of this state under section 256J.12; 
  2.29     (2) employment and training services under this chapter or 
  2.30  chapter 256K; 
  2.31     (3) emergency financial assistance and services under 
  2.32  section 256J.48; 
  2.33     (4) diversionary assistance under section 256J.47; 
  2.34     (5) the health care and human services training and 
  2.35  retention program under chapter 116L, for costs associated with 
  2.36  families with children with incomes below 200 percent of the 
  3.1   federal poverty guidelines; 
  3.2      (6) the pathways program under section 116L.04, subdivision 
  3.3   1a; 
  3.4      (7) welfare-to-work extended employment services for MFIP 
  3.5   participants with severe impairment to employment as defined in 
  3.6   section 268A.15, subdivision 1a; 
  3.7      (8) the family homeless prevention and assistance program 
  3.8   under section 462A.204; 
  3.9      (9) the rent assistance for family stabilization 
  3.10  demonstration project under section 462A.205; and 
  3.11     (10) reimbursements for the federal share of child support 
  3.12  collections passed through to the custodial parent; 
  3.13     (11) programs and pilot projects under chapter 256K; and 
  3.14     (12) program administration under this chapter. 
  3.15     Sec. 4.  Minnesota Statutes 1999 Supplement, section 
  3.16  256J.08, subdivision 86, is amended to read: 
  3.17     Subd. 86.  [UNEARNED INCOME.] "Unearned income" means 
  3.18  income received by a person that does not meet the definition of 
  3.19  earned income.  Unearned income includes income from a contract 
  3.20  for deed, interest, dividends, reemployment compensation, 
  3.21  disability insurance payments, veterans benefits, pension 
  3.22  payments, return on capital investment, insurance payments or 
  3.23  settlements, severance payments, child support and maintenance 
  3.24  payments, and payments for illness or disability whether the 
  3.25  premium payments are made in whole or in part by an employer or 
  3.26  participant. 
  3.27     Sec. 5.  Minnesota Statutes 1998, section 256J.15, is 
  3.28  amended by adding a subdivision to read: 
  3.29     Subd. 3.  [ELIGIBILITY AFTER DISQUALIFICATION DUE TO 
  3.30  NONCOMPLIANCE.] (a) An applicant who is a member of an 
  3.31  assistance unit that was disqualified from receiving MFIP under 
  3.32  either section 256J.26, subdivision 1, paragraph (a), clause 
  3.33  (2), item (ii), or 256J.46, subdivision 1, paragraph (b), clause 
  3.34  (3), and who applies for MFIP assistance within six months of 
  3.35  the date of the disqualification is considered to be a new 
  3.36  applicant unit for purposes of the property limitations under 
  4.1   section 256J.20 and the payment of assistance provisions under 
  4.2   section 256J.24, subdivision 8.  The county agency must also use 
  4.3   the initial income test under section 256J.21, subdivision 3, in 
  4.4   determining the applicant's eligibility for assistance. 
  4.5      (b) Notwithstanding section 256J.24, subdivisions 5 to 7 
  4.6   and 9, for an applicant who is eligible for MFIP under this 
  4.7   subdivision, for each of the first three months on MFIP the 
  4.8   assistance unit's grant shall be reduced by ten percent of the 
  4.9   applicable MFIP standard of need for an assistance unit of the 
  4.10  same size, with the residual amount of the grant paid to the 
  4.11  assistance unit. 
  4.12     Sec. 6.  Minnesota Statutes 1999 Supplement, section 
  4.13  256J.26, subdivision 1, is amended to read: 
  4.14     Subdivision 1.  [PERSON CONVICTED OF DRUG OFFENSES.] (a) 
  4.15  Applicants or participants who have been convicted of a drug 
  4.16  offense committed after July 1, 1997, may, if otherwise 
  4.17  eligible, receive MFIP benefits subject to the following 
  4.18  conditions: 
  4.19     (1) Benefits for the entire assistance unit must be paid in 
  4.20  vendor form for shelter and utilities during any time the 
  4.21  applicant is part of the assistance unit. 
  4.22     (2) The convicted applicant or participant shall be subject 
  4.23  to random drug testing as a condition of continued eligibility 
  4.24  and following any positive test for an illegal controlled 
  4.25  substance is subject to the following sanctions: 
  4.26     (i) for failing a drug test the first time, the 
  4.27  participant's grant shall be reduced by ten percent of the MFIP 
  4.28  standard of need, prior to making vendor payments for shelter 
  4.29  and utility costs; or 
  4.30     (ii) for failing a drug test two or more times, the 
  4.31  residual amount of the participant's grant after making vendor 
  4.32  payments for shelter and utility costs, if any, must be reduced 
  4.33  by an amount equal to 30 percent of the MFIP standard of need; 
  4.34  or 
  4.35     (ii) for failing a drug test two times, the assistance unit 
  4.36  is disqualified from receiving MFIP assistance, both the cash 
  5.1   and food portions.  This disqualification must be in effect for 
  5.2   a minimum of one month.  A county may not impose a 
  5.3   disqualification under this provision unless the participant 
  5.4   first receives a face-to-face meeting under section 256J.46, 
  5.5   subdivision 1, paragraph (e). 
  5.6      (3) A participant who fails an initial a drug test the 
  5.7   first time and is under a sanction due to other MFIP program 
  5.8   requirements is considered to have more than one occurrence of 
  5.9   noncompliance, and is subject to the applicable level of 
  5.10  sanction in clause (2)(ii) as specified under section 256J.46, 
  5.11  subdivision 1, paragraph (b). 
  5.12     (b) Applicants requesting only food stamps or participants 
  5.13  receiving only food stamps, who have been convicted of a drug 
  5.14  offense that occurred after July 1, 1997, may, if otherwise 
  5.15  eligible, receive food stamps if the convicted applicant or 
  5.16  participant is subject to random drug testing as a condition of 
  5.17  continued eligibility.  Following a positive test for an illegal 
  5.18  controlled substance, the applicant is subject to the following 
  5.19  sanctions: 
  5.20     (1) for failing a drug test the first time, food stamps 
  5.21  shall be reduced by ten percent of the applicable food stamp 
  5.22  allotment; and 
  5.23     (2) for failing a drug test two or more times, food stamps 
  5.24  shall be reduced by an amount equal to 30 percent of the 
  5.25  applicable food stamp allotment.  
  5.26     (c) For the purposes of this subdivision, "drug offense" 
  5.27  means an offense that occurred after July 1, 1997, of sections 
  5.28  152.021 to 152.025, 152.0261, or 152.096.  Drug offense also 
  5.29  means a conviction in another jurisdiction of the possession, 
  5.30  use, or distribution of a controlled substance, or conspiracy to 
  5.31  commit any of these offenses, if the offense occurred after July 
  5.32  1, 1997, and the conviction is a felony offense in that 
  5.33  jurisdiction, or in the case of New Jersey, a high misdemeanor. 
  5.34     Sec. 7.  Minnesota Statutes 1999 Supplement, section 
  5.35  256J.33, subdivision 4, is amended to read: 
  5.36     Subd. 4.  [MONTHLY INCOME TEST.] A county agency must apply 
  6.1   the monthly income test retrospectively for each month of MFIP 
  6.2   eligibility.  An assistance unit is not eligible when the 
  6.3   countable income equals or exceeds the MFIP standard of need or 
  6.4   the family wage level for the assistance unit.  The income 
  6.5   applied against the monthly income test must include: 
  6.6      (1) gross earned income from employment, prior to mandatory 
  6.7   payroll deductions, voluntary payroll deductions, wage 
  6.8   authorizations, and after the disregards in section 256J.21, 
  6.9   subdivision 4, and the allocations in section 256J.36, unless 
  6.10  the employment income is specifically excluded under section 
  6.11  256J.21, subdivision 2; 
  6.12     (2) gross earned income from self-employment less 
  6.13  deductions for self-employment expenses in section 256J.37, 
  6.14  subdivision 5, but prior to any reductions for personal or 
  6.15  business state and federal income taxes, personal FICA, personal 
  6.16  health and life insurance, and after the disregards in section 
  6.17  256J.21, subdivision 4, and the allocations in section 256J.36; 
  6.18     (3) unearned income after deductions for allowable expenses 
  6.19  in section 256J.37, subdivision 9, and allocations in section 
  6.20  256J.36, unless the income has been specifically excluded in 
  6.21  section 256J.21, subdivision 2; 
  6.22     (4) gross earned income from employment as determined under 
  6.23  clause (1) which is received by a member of an assistance unit 
  6.24  who is a minor child or minor caregiver and less than a 
  6.25  half-time student; 
  6.26     (5) child support and spousal support received or 
  6.27  anticipated to be received by an assistance unit; 
  6.28     (6) the income of a parent when that parent is not included 
  6.29  in the assistance unit; 
  6.30     (7) the income of an eligible relative and spouse who seek 
  6.31  to be included in the assistance unit; and 
  6.32     (8) the unearned income of a minor child included in the 
  6.33  assistance unit. 
  6.34     Sec. 8.  Minnesota Statutes 1999 Supplement, section 
  6.35  256J.34, subdivision 1, is amended to read: 
  6.36     Subdivision 1.  [PROSPECTIVE BUDGETING.] A county agency 
  7.1   must use prospective budgeting to calculate the assistance 
  7.2   payment amount for the first two months for an applicant who has 
  7.3   not received assistance in this state for at least one payment 
  7.4   month preceding the first month of payment under a current 
  7.5   application.  Notwithstanding subdivision 3, paragraph (a), 
  7.6   clause (2), a county agency must use prospective budgeting for 
  7.7   the first two months for a person who applies to be added to an 
  7.8   assistance unit.  Prospective budgeting is not subject to 
  7.9   overpayments or underpayments unless fraud is determined under 
  7.10  section 256.98. 
  7.11     (a) The county agency must apply the income received or 
  7.12  anticipated in the first month of MFIP eligibility against the 
  7.13  need of the first month.  The county agency must apply the 
  7.14  income received or anticipated in the second month against the 
  7.15  need of the second month. 
  7.16     (b) When the assistance payment for any part of the first 
  7.17  two months is based on anticipated income, the county agency 
  7.18  must base the initial assistance payment amount on the 
  7.19  information available at the time the initial assistance payment 
  7.20  is made. 
  7.21     (c) The county agency must determine the assistance payment 
  7.22  amount for the first two months of MFIP eligibility by budgeting 
  7.23  both recurring and nonrecurring income for those two months. 
  7.24     (d) The county agency must budget the child support income 
  7.25  received or anticipated to be received by an assistance unit to 
  7.26  determine the assistance payment amount from the month of 
  7.27  application through the date in which MFIP eligibility is 
  7.28  determined and assistance is authorized.  Child support income 
  7.29  which has been budgeted to determine the assistance payment in 
  7.30  the initial two months is considered nonrecurring income.  An 
  7.31  assistance unit must forward any payment of child support to the 
  7.32  child support enforcement unit of the county agency following 
  7.33  the date in which assistance is authorized. 
  7.34     Sec. 9.  Minnesota Statutes 1999 Supplement, section 
  7.35  256J.34, subdivision 4, is amended to read: 
  7.36     Subd. 4.  [SIGNIFICANT CHANGE IN GROSS INCOME.] The county 
  8.1   agency must recalculate the assistance payment when an 
  8.2   assistance unit experiences a significant change, as defined in 
  8.3   section 256J.08, resulting in a reduction in the gross income 
  8.4   received in the payment month from the gross income received in 
  8.5   the budget month.  The county agency must issue a supplemental 
  8.6   assistance payment based on the county agency's best estimate of 
  8.7   the assistance unit's income and circumstances for the payment 
  8.8   month.  Supplemental assistance payments that result from 
  8.9   significant changes are limited to two in a 12-month period 
  8.10  regardless of the reason for the change.  Notwithstanding any 
  8.11  other statute or rule of law, supplementary assistance payments 
  8.12  shall not be made when the significant change in income is the 
  8.13  result of receipt of a lump sum, receipt of an extra paycheck, 
  8.14  business fluctuation in self-employment income, or an assistance 
  8.15  unit member's participation in a strike or other labor action.  
  8.16  Supplementary assistance payments due to a significant change in 
  8.17  the amount of direct support received must not be made after the 
  8.18  date the assistance unit is required to forward support to the 
  8.19  child support enforcement unit under subdivision 1, paragraph 
  8.20  (d). 
  8.21     Sec. 10.  Minnesota Statutes 1998, section 256J.40, is 
  8.22  amended to read: 
  8.23     256J.40 [FAIR HEARINGS.] 
  8.24     Subdivision 1.  [FAIR HEARING PROCESS.] Caregivers 
  8.25  receiving a notice of intent to sanction or a notice of adverse 
  8.26  action that includes a sanction, reduction in benefits, 
  8.27  suspension of benefits, denial of benefits, or termination of 
  8.28  benefits may request a fair hearing.  A request for a fair 
  8.29  hearing must be submitted in writing to the county agency or to 
  8.30  the commissioner and must be mailed within 30 days after a 
  8.31  participant or former participant receives written notice of the 
  8.32  agency's action or within 90 days when a participant or former 
  8.33  participant shows good cause for not submitting the request 
  8.34  within 30 days.  A former participant who receives a notice of 
  8.35  adverse action due to an overpayment may appeal the adverse 
  8.36  action according to the requirements in this section.  Issues 
  9.1   that may be appealed are: 
  9.2      (1) the amount of the assistance payment; 
  9.3      (2) a suspension, reduction, denial, or termination of 
  9.4   assistance; 
  9.5      (3) the basis for an overpayment, the calculated amount of 
  9.6   an overpayment, and the level of recoupment; 
  9.7      (4) the eligibility for an assistance payment; and 
  9.8      (5) the use of protective or vendor payments under section 
  9.9   256J.39, subdivision 2, clauses (1) to (3). 
  9.10     A county agency must not reduce, suspend, or terminate 
  9.11  payment when an aggrieved participant requests a fair hearing 
  9.12  prior to the effective date of the adverse action or within ten 
  9.13  days of the mailing of the notice of adverse action, whichever 
  9.14  is later, unless the participant requests in writing not to 
  9.15  receive continued assistance pending a hearing decision.  
  9.16  Assistance issued pending a fair hearing is subject to recovery 
  9.17  under section 256J.38 when as a result of the fair hearing 
  9.18  decision the participant is determined ineligible for assistance 
  9.19  or the amount of the assistance received.  A county agency may 
  9.20  increase or reduce an assistance payment while an appeal is 
  9.21  pending when the circumstances of the participant change and are 
  9.22  not related to the issue on appeal.  The commissioner's order is 
  9.23  binding on a county agency.  No additional notice is required to 
  9.24  enforce the commissioner's order. 
  9.25     A county agency shall reimburse appellants for reasonable 
  9.26  and necessary expenses of attendance at the hearing, such as 
  9.27  child care and transportation costs and for the transportation 
  9.28  expenses of the appellant's witnesses and representatives to and 
  9.29  from the hearing.  Reasonable and necessary expenses do not 
  9.30  include legal fees.  Fair hearings must be conducted at a 
  9.31  reasonable time and date by an impartial referee employed by the 
  9.32  department.  The hearing may be conducted by telephone or at a 
  9.33  site that is readily accessible to persons with disabilities. 
  9.34     The appellant may introduce new or additional evidence 
  9.35  relevant to the issues on appeal.  Recommendations of the 
  9.36  appeals referee and decisions of the commissioner must be based 
 10.1   on evidence in the hearing record and are not limited to a 
 10.2   review of the county agency action.  
 10.3      Subd. 2.  [EXCEPTION; AUTOMATIC HEARING.] No written 
 10.4   request is required to initiate a fair hearing under subdivision 
 10.5   1 if the participant is otherwise subject to disqualification 
 10.6   under section 256J.46, subdivision 1, paragraph (b), clause (3). 
 10.7      Sec. 11.  Minnesota Statutes 1998, section 256J.45, 
 10.8   subdivision 3, is amended to read: 
 10.9      Subd. 3.  [GOOD CAUSE EXEMPTIONS FOR NOT ATTENDING 
 10.10  ORIENTATION.] (a) The county agency shall not impose the 
 10.11  sanction under section 256J.46 if it determines that the 
 10.12  participant has good cause for failing to attend orientation.  
 10.13  Good cause exists when: 
 10.14     (1) appropriate child care is not available; 
 10.15     (2) the participant is ill or injured; 
 10.16     (3) a family member is ill and needs care by the 
 10.17  participant that prevents the participant from attending 
 10.18  orientation.  For a caregiver with a child in the household who 
 10.19  has been certified as eligible for personal care services under 
 10.20  section 256B.0627, good cause also exists when an interruption 
 10.21  in the provision of those services occurs which prevents the 
 10.22  participant from attending orientation; 
 10.23     (4) the caregiver is unable to secure necessary 
 10.24  transportation; 
 10.25     (5) the caregiver is in an emergency situation that 
 10.26  prevents orientation attendance; 
 10.27     (6) the orientation conflicts with the caregiver's work, 
 10.28  training, or school schedule; or 
 10.29     (7) the caregiver documents other verifiable impediments to 
 10.30  orientation attendance beyond the caregiver's control.  
 10.31     (b) Counties must work with clients to provide child care 
 10.32  and transportation necessary to ensure a caregiver has every 
 10.33  opportunity to attend orientation. 
 10.34     Sec. 12.  Minnesota Statutes 1999 Supplement, section 
 10.35  256J.46, subdivision 1, is amended to read: 
 10.36     Subdivision 1.  [SANCTIONS FOR PARTICIPANTS NOT COMPLYING 
 11.1   WITH PROGRAM REQUIREMENTS.] (a) A participant who fails without 
 11.2   good cause to comply with the requirements of this chapter, and 
 11.3   who is not subject to a sanction under subdivision 2, shall be 
 11.4   subject to a sanction as provided in this subdivision. 
 11.5      For purposes of this section, an occurrence of 
 11.6   noncompliance means a failure by a participant, without good 
 11.7   cause, to comply with the requirements of this chapter.  Each 
 11.8   month that a participant in an assistance unit fails to comply 
 11.9   with a requirement of this chapter shall be considered a 
 11.10  separate occurrence of noncompliance for which the assistance 
 11.11  unit's grant must be sanctioned as provided in this section.  In 
 11.12  applying a sanction to a two-parent assistance unit, each 
 11.13  occurrence of noncompliance by either participant shall be 
 11.14  considered a separate occurrence of noncompliance for which the 
 11.15  assistance unit is subject to sanction. 
 11.16     A sanction under this subdivision becomes effective the 
 11.17  month following the month in which a required notice is given.  
 11.18  A sanction must not be imposed when a participant comes into 
 11.19  compliance with the requirements for orientation under section 
 11.20  256J.45 or third-party liability for medical services under 
 11.21  section 256J.30, subdivision 10, prior to the effective date of 
 11.22  the sanction.  A sanction must not be imposed when a participant 
 11.23  comes into compliance with the requirements for employment and 
 11.24  training services under sections 256J.49 to 256J.72 ten days 
 11.25  prior to the effective date of the sanction.  For purposes of 
 11.26  this subdivision, each month that a participant fails to comply 
 11.27  with a requirement of this chapter shall be considered a 
 11.28  separate occurrence of noncompliance.  A participant who has had 
 11.29  one or more sanctions imposed must remain in compliance with the 
 11.30  provisions of this chapter for six months in order for a 
 11.31  subsequent occurrence of noncompliance to be considered a first 
 11.32  occurrence.  
 11.33     (b) Sanctions for noncompliance shall be imposed as follows:
 11.34     (1) For the first occurrence of noncompliance by a 
 11.35  participant in a single-parent household or by one participant 
 11.36  in a two-parent household an assistance unit, the assistance 
 12.1   unit's grant shall be reduced by ten percent of the MFIP 
 12.2   standard of need for an assistance unit of the same size with 
 12.3   the residual grant paid to the participant.  The reduction in 
 12.4   the grant amount must be in effect for a minimum of one month 
 12.5   and shall be removed in the month following the month that the 
 12.6   participant returns to compliance.  
 12.7      (2) For a second or subsequent, third, fourth, or fifth 
 12.8   occurrence of noncompliance, or when both participants in a 
 12.9   two-parent household are out of compliance at the same time, the 
 12.10  assistance unit's shelter costs shall be vendor paid up to the 
 12.11  amount of the cash portion of the MFIP grant for which 
 12.12  the participant's assistance unit is eligible.  At county 
 12.13  option, the assistance unit's utilities may also be vendor paid 
 12.14  up to the amount of the cash portion of the MFIP grant remaining 
 12.15  after vendor payment of the assistance unit's shelter costs.  
 12.16  The residual amount of the grant after vendor payment, if any, 
 12.17  must be reduced by an amount equal to 30 percent of the MFIP 
 12.18  standard of need for an assistance unit of the same size before 
 12.19  the residual grant is paid to the assistance unit.  The 
 12.20  reduction in the grant amount must be in effect for a minimum of 
 12.21  one month and shall be removed in the month following the month 
 12.22  that a the participant in a one-parent household assistance unit 
 12.23  returns to compliance.  In a two-parent household assistance 
 12.24  unit, the grant reduction must be in effect for a minimum of one 
 12.25  month and shall be removed in the month following the month both 
 12.26  participants return to compliance.  The vendor payment of 
 12.27  shelter costs and, if applicable, utilities shall be removed six 
 12.28  months after the month in which the participant or participants 
 12.29  return to compliance. 
 12.30     (3) For a sixth occurrence of noncompliance, the assistance 
 12.31  unit is disqualified from receiving MFIP assistance, both the 
 12.32  cash and food portions.  This disqualification must be in effect 
 12.33  for a minimum of one full month.  A county may not impose a 
 12.34  disqualification under this clause before an automatic fair 
 12.35  hearing is held as required by section 256J.40, subdivision 2.  
 12.36  The hearing may only be waived in writing.  If a participant 
 13.1   waives the right to this hearing, or the participant or the 
 13.2   participant's representative fails to appear at the hearing, the 
 13.3   disqualification must be imposed. 
 13.4      (c) No later than during the second month that Before a 
 13.5   sanction under paragraph (b), clause (2), is in effect due to 
 13.6   noncompliance with employment services (1), may be imposed, the 
 13.7   participant's case file must be reviewed to determine if: 
 13.8      (i) the continued noncompliance can be explained and 
 13.9   mitigated by providing a needed preemployment activity, as 
 13.10  defined in section 256J.49, subdivision 13, clause (16); 
 13.11     (ii) the participant qualifies for a good cause exception 
 13.12  under section 256J.57; or 
 13.13     (iii) the participant qualifies for an exemption under 
 13.14  section 256J.56. 
 13.15     The case file review must be conducted by county staff or 
 13.16  employment and training service provider staff other than the 
 13.17  participant's current job counselor. 
 13.18     If the lack of an identified activity can explain the 
 13.19  noncompliance, the county must work with the participant to 
 13.20  provide the identified activity, and the county must restore the 
 13.21  participant's grant amount to the full amount for which the 
 13.22  assistance unit is eligible.  The grant must be restored 
 13.23  retroactively to the first day of the month in which the 
 13.24  participant was found to lack preemployment activities or to 
 13.25  qualify for an exemption or good cause exception. 
 13.26     If the participant is found to qualify for a good cause 
 13.27  exception or an exemption, the county must restore the 
 13.28  participant's grant to the full amount for which the assistance 
 13.29  unit is eligible.  
 13.30     (d) At the county agency's option, the provisions of this 
 13.31  paragraph may be followed in place of the provisions in 
 13.32  paragraph (e).  During the month that a sanction is in effect 
 13.33  for a second occurrence of noncompliance, the participant may be 
 13.34  offered a face-to-face intervention in the participant's home by 
 13.35  a county representative who is knowledgeable about family 
 13.36  intervention strategies.  During this intervention the 
 14.1   participant's needs and possible reasons for noncompliance must 
 14.2   be assessed, and an identification of existing resources that 
 14.3   could be used to assist the participant to return to compliance 
 14.4   must be made.  The information gathered during this intervention 
 14.5   must be reported to the participant's job counselor, along with 
 14.6   any recommendations for referrals to existing resources or 
 14.7   modifications to the activities in the participant's approved 
 14.8   plan under section 256J.52.  The county representative who 
 14.9   conducts the intervention required under this paragraph may be 
 14.10  an existing county staff person, staff from a nonprofit agency, 
 14.11  or a trained paraprofessional. 
 14.12     (e) Before a sanction may be imposed under paragraph (b), 
 14.13  clause (2), for a second occurrence of noncompliance, the 
 14.14  participant must first receive a face-to-face meeting with 
 14.15  county staff or employment and training service provider staff.  
 14.16  This meeting must be conducted by staff other than the 
 14.17  participant's current job counselor.  At this meeting the 
 14.18  participant's plan and the continued noncompliance must be 
 14.19  reviewed, and the staff must seek to determine: 
 14.20     (1) if the participant qualifies for a good cause exception 
 14.21  under section 256J.57; 
 14.22     (2) if the participant qualifies for an exemption under 
 14.23  section 256J.56; and 
 14.24     (3) the appropriateness of the activities in the 
 14.25  participant's plan.  
 14.26  If the participant is found to qualify for a good cause 
 14.27  exception or an exemption, the county must restore the 
 14.28  participant's grant to the full amount for which the assistance 
 14.29  unit is eligible.  If one or more of the activities in the 
 14.30  participant's plan is no longer appropriate, the plan must be 
 14.31  revised to reflect that determination, and the sanction under 
 14.32  paragraph (b), clause (2), may not be imposed.  
 14.33     Sec. 13.  Minnesota Statutes 1999 Supplement, section 
 14.34  256J.46, subdivision 2, is amended to read: 
 14.35     Subd. 2.  [SANCTIONS FOR REFUSAL TO COOPERATE WITH SUPPORT 
 14.36  REQUIREMENTS.] The grant of an MFIP caregiver who refuses to 
 15.1   cooperate, as determined by the child support enforcement 
 15.2   agency, with support requirements under section 256.741, shall 
 15.3   be subject to sanction as specified in this subdivision.  The 
 15.4   assistance unit's grant must be reduced by 25 percent of the 
 15.5   applicable MFIP standard of need.  The residual amount of the 
 15.6   grant, if any, must be paid to the caregiver.  A sanction under 
 15.7   this subdivision becomes effective the first month following the 
 15.8   month in which a required notice is given.  A sanction must not 
 15.9   be imposed when a caregiver comes into compliance with the 
 15.10  requirements under section 256.741 prior to the effective date 
 15.11  of the sanction.  The sanction shall be removed in the month 
 15.12  following the month that the caregiver cooperates with the 
 15.13  support requirements.  Each month that an MFIP caregiver fails 
 15.14  to comply with the requirements of section 256.741 must be 
 15.15  considered a separate occurrence of noncompliance.  An MFIP 
 15.16  caregiver who has had one or more sanctions imposed under this 
 15.17  subdivision must remain in compliance with the requirements of 
 15.18  section 256.741 for six months in order for a subsequent 
 15.19  sanction to be considered a first occurrence. 
 15.20     Sec. 14.  Minnesota Statutes 1999 Supplement, section 
 15.21  256J.46, subdivision 2a, is amended to read: 
 15.22     Subd. 2a.  [DUAL SANCTIONS.] (a) Notwithstanding the 
 15.23  provisions of subdivisions 1 and 2, for a participant subject to 
 15.24  a sanction for refusal to comply with child support requirements 
 15.25  under subdivision 2 and subject to a concurrent sanction for 
 15.26  refusal to cooperate with other program requirements under 
 15.27  subdivision 1, sanctions shall be imposed in the manner 
 15.28  prescribed in this subdivision. 
 15.29     A participant who has had one or more sanctions imposed 
 15.30  under this subdivision must remain in compliance with the 
 15.31  provisions of this chapter for six months in order for a 
 15.32  subsequent occurrence of noncompliance to be considered a first 
 15.33  occurrence.  Any vendor payment of shelter costs or utilities 
 15.34  under this subdivision must remain in effect for six months 
 15.35  after the month in which the participant is no longer subject to 
 15.36  sanction under subdivision 1. 
 16.1      (b) If the participant was subject to sanction for: 
 16.2      (i) noncompliance under subdivision 1 before being subject 
 16.3   to sanction for noncooperation under subdivision 2; or 
 16.4      (ii) noncooperation under subdivision 2 before being 
 16.5   subject to sanction for noncompliance under subdivision 1; 
 16.6   under either subdivision 1 or 2 before being subject to sanction 
 16.7   under the other of those subdivisions, the participant shall be 
 16.8   sanctioned as provided in subdivision 1, paragraph (b), clause 
 16.9   clauses (2) and (3), and the requirement that the county conduct 
 16.10  a review as specified in subdivision 1, paragraph (c), remains 
 16.11  in effect. 
 16.12     (c) A participant who first becomes subject to sanction 
 16.13  under both subdivisions 1 and 2 in the same month is subject to 
 16.14  sanction as follows: 
 16.15     (i) in the first month of noncompliance and noncooperation, 
 16.16  the participant's grant must be reduced by 25 percent of the 
 16.17  applicable MFIP standard of need, with any residual amount paid 
 16.18  to the participant; 
 16.19     (ii) in the second and subsequent months of noncompliance 
 16.20  and noncooperation, the participant shall be sanctioned as 
 16.21  provided in subdivision 1, paragraph (b), clause clauses (2) and 
 16.22  (3). 
 16.23     The requirement that the county conduct a review as 
 16.24  specified in subdivision 1, paragraph (c), remains in effect. 
 16.25     (d) A participant remains subject to sanction under 
 16.26  subdivision 2 if the participant: 
 16.27     (i) returns to compliance and is no longer subject to 
 16.28  sanction under subdivision 1; or 
 16.29     (ii) has the sanction under subdivision 1, paragraph (b), 
 16.30  removed upon completion of the review under subdivision 1, 
 16.31  paragraph (c). 
 16.32     A participant remains subject to sanction under subdivision 
 16.33  1, paragraph (b), if the participant cooperates and is no longer 
 16.34  subject to sanction under subdivision 2. 
 16.35     Sec. 15.  Minnesota Statutes 1998, section 256J.46, is 
 16.36  amended by adding a subdivision to read: 
 17.1      Subd. 3.  [SANCTION STATUS AFTER DISQUALIFICATION.] An 
 17.2   applicant who is a member of an assistance unit that was 
 17.3   disqualified from receiving MFIP under subdivision 1, paragraph 
 17.4   (b), clause (3), who applies for MFIP assistance within six 
 17.5   months of the date of the disqualification, and who is 
 17.6   determined to be eligible for MFIP assistance, is considered to 
 17.7   have a first occurrence of noncompliance.  The applicant must 
 17.8   remain in compliance with the provisions of this chapter in 
 17.9   order for a subsequent occurrence of noncompliance to be 
 17.10  considered a first occurrence. 
 17.11     Sec. 16.  Minnesota Statutes 1998, section 256J.47, 
 17.12  subdivision 1, is amended to read: 
 17.13     Subdivision 1.  [ELIGIBILITY.] A family is eligible to 
 17.14  receive diversionary assistance once every 36 12 months if: 
 17.15     (1) a family member has resided in this state for at least 
 17.16  30 days; 
 17.17     (2) the caregiver provides verification that the caregiver 
 17.18  has either experienced an unexpected occurrence that makes it 
 17.19  impossible to retain or obtain employment or the caregiver has a 
 17.20  temporary loss of income, which is not due to refusing to accept 
 17.21  or terminating suitable employment as defined in section 
 17.22  256J.49, without good cause under section 256J.57, resulting in 
 17.23  an emergency; 
 17.24     (3) the caregiver is at risk of MFIP-S eligibility if 
 17.25  diversionary assistance is not provided and household income is 
 17.26  below 140 200 percent of the federal poverty guidelines; and 
 17.27     (4) the diversionary assistance will resolve the emergency 
 17.28  and divert the family from applying for MFIP-S. 
 17.29     For purposes of this section, diversionary assistance means 
 17.30  a one-time lump-sum payment to an individual or third-party 
 17.31  vendor to prevent long-term receipt of public assistance. 
 17.32     Sec. 17.  Minnesota Statutes 1998, section 256J.49, 
 17.33  subdivision 13, is amended to read: 
 17.34     Subd. 13.  [WORK ACTIVITY.] "Work activity" means any 
 17.35  activity in a participant's approved employment plan that is 
 17.36  tied to the participant's employment goal.  For purposes of the 
 18.1   MFIP-S MFIP program, any activity that is included in a 
 18.2   participant's approved employment plan meets the definition of 
 18.3   work activity as counted under the federal participation 
 18.4   standards.  Work activity includes, but is not limited to: 
 18.5      (1) unsubsidized employment; 
 18.6      (2) subsidized private sector or public sector employment, 
 18.7   including grant diversion as specified in section 256J.69; 
 18.8      (3) work experience, including CWEP as specified in section 
 18.9   256J.67, and including work associated with the refurbishing of 
 18.10  publicly assisted housing if sufficient private sector 
 18.11  employment is not available; 
 18.12     (4) on-the-job training as specified in section 256J.66; 
 18.13     (5) job search, either supervised or unsupervised; 
 18.14     (6) job readiness assistance; 
 18.15     (7) job clubs, including job search workshops; 
 18.16     (8) job placement; 
 18.17     (9) job development; 
 18.18     (10) job-related counseling; 
 18.19     (11) job coaching; 
 18.20     (12) job retention services; 
 18.21     (13) job-specific training or education; 
 18.22     (14) job skills training directly related to employment; 
 18.23     (15) the self-employment investment demonstration (SEID), 
 18.24  as specified in section 256J.65; 
 18.25     (16) preemployment activities, based on availability and 
 18.26  resources, such as volunteer work, literacy programs and related 
 18.27  activities, citizenship and classes, English as a second 
 18.28  language (ESL) classes as limited by the provisions of section 
 18.29  256J.52, subdivisions 3, paragraph (d), and 5, paragraph (c), or 
 18.30  participation in dislocated worker services, chemical dependency 
 18.31  treatment, mental health services, peer group networks, 
 18.32  displaced homemaker programs, strength-based resiliency 
 18.33  training, parenting education, or other programs designed to 
 18.34  help families reach their employment goals and enhance their 
 18.35  ability to care for their children; 
 18.36     (17) community service programs; 
 19.1      (18) vocational educational training or educational 
 19.2   programs that can reasonably be expected to lead to employment, 
 19.3   as limited by the provisions of section 256J.53; 
 19.4      (19) apprenticeships; 
 19.5      (20) satisfactory attendance in general educational 
 19.6   development diploma classes or an adult diploma program; 
 19.7      (21) satisfactory attendance at secondary school, if the 
 19.8   participant has not received a high school diploma; 
 19.9      (22) adult basic education classes; 
 19.10     (23) internships; 
 19.11     (24) bilingual employment and training services; 
 19.12     (25) providing child care services to a participant who is 
 19.13  working in a community service program; and 
 19.14     (26) activities included in a safety plan that is developed 
 19.15  under section 256J.52, subdivision 6. 
 19.16     Sec. 18.  Minnesota Statutes 1998, section 256J.50, 
 19.17  subdivision 5, is amended to read: 
 19.18     Subd. 5.  [PARTICIPATION REQUIREMENTS FOR SINGLE-PARENT AND 
 19.19  TWO-PARENT ALL CASES.] (a) A county must establish a uniform 
 19.20  schedule for requiring participation by single parents.  
 19.21  Mandatory participation must be required within six months of 
 19.22  eligibility for cash assistance.  For two-parent all cases, 
 19.23  participation is required concurrent with the receipt of MFIP-S 
 19.24  MFIP cash assistance. 
 19.25     (b) Beginning January 1, 1998, with the exception of 
 19.26  caregivers required to attend high school under the provisions 
 19.27  of section 256J.54, subdivision 5, MFIP caregivers, upon 
 19.28  completion of the secondary assessment, must develop an 
 19.29  employment plan and participate in work activities. 
 19.30     (c) Upon completion of the secondary assessment: 
 19.31     (1) In single-parent families with no children under six 
 19.32  years of age, the job counselor and the caregiver must develop 
 19.33  an employment plan that includes 20 to 35 hours per week of work 
 19.34  activities for the period January 1, 1998, to September 30, 
 19.35  1998; 25 to 35 hours of work activities per week in federal 
 19.36  fiscal year 1999; and 30 to 35 hours per week of work activities 
 20.1   in federal fiscal year 2000 and thereafter. 
 20.2      (2) In single-parent families with a child under six years 
 20.3   of age, the job counselor and the caregiver must develop an 
 20.4   employment plan that includes 20 to 35 hours per week of work 
 20.5   activities. 
 20.6      (3) In two-parent families, the job counselor and the 
 20.7   caregivers must develop employment plans which result in a 
 20.8   combined total of at least 55 hours per week of work activities. 
 20.9      Sec. 19.  Minnesota Statutes 1999 Supplement, section 
 20.10  256J.52, subdivision 3, is amended to read: 
 20.11     Subd. 3.  [JOB SEARCH; JOB SEARCH SUPPORT PLAN.] (a) If, 
 20.12  after the initial assessment, the job counselor determines that 
 20.13  the participant possesses sufficient skills that the participant 
 20.14  is likely to succeed in obtaining suitable employment, the 
 20.15  participant must conduct job search for a period of up to eight 
 20.16  weeks, for at least 30 hours per week.  The participant must 
 20.17  accept any offer of suitable employment.  Upon agreement by the 
 20.18  job counselor and the participant, a job search support plan may 
 20.19  limit a job search to jobs that are consistent with the 
 20.20  participant's employment goal.  The job counselor and 
 20.21  participant must develop a job search support plan which 
 20.22  specifies, at a minimum:  whether the job search is to be 
 20.23  supervised or unsupervised; support services that will be 
 20.24  provided while the participant conducts job search activities; 
 20.25  the courses necessary to obtain certification or licensure, if 
 20.26  applicable, and after obtaining the license or certificate, the 
 20.27  client must comply with subdivision 5; and how frequently the 
 20.28  participant must report to the job counselor on the status of 
 20.29  the participant's job search activities.  The job search support 
 20.30  plan may also specify that the participant fulfill a specified 
 20.31  portion no more than half of the required hours of job search 
 20.32  through attending adult basic education or English as a second 
 20.33  language classes. 
 20.34     (b) During the eight-week job search period, either the job 
 20.35  counselor or the participant may request a review of the 
 20.36  participant's job search plan and progress towards obtaining 
 21.1   suitable employment.  If a review is requested by the 
 21.2   participant, the job counselor must concur that the review is 
 21.3   appropriate for the participant at that time.  If a review is 
 21.4   conducted, the job counselor may make a determination to conduct 
 21.5   a secondary assessment prior to the conclusion of the job search.
 21.6      (c) Failure to conduct the required job search, to accept 
 21.7   any offer of suitable employment, to develop or comply with a 
 21.8   job search support plan, or voluntarily quitting suitable 
 21.9   employment without good cause results in the imposition of a 
 21.10  sanction under section 256J.46.  If at the end of eight weeks 
 21.11  the participant has not obtained suitable employment, the job 
 21.12  counselor must conduct a secondary assessment of the participant 
 21.13  under subdivision 3. 
 21.14     (d) In order for an English as a second language (ESL) 
 21.15  class to be an approved work activity, a participant must be 
 21.16  below a spoken language proficiency level of SPL5 or its 
 21.17  equivalent, as measured by a nationally recognized test.  A 
 21.18  participant may not be approved for more than a total of 24 
 21.19  months of ESL activities while participating in the employment 
 21.20  and training services component of MFIP.  In approving ESL as a 
 21.21  work activity, the job counselor must give preference to 
 21.22  enrollment in an intensive ESL program, if one is available, 
 21.23  over a regular ESL program. 
 21.24     Sec. 20.  Minnesota Statutes 1999 Supplement, section 
 21.25  256J.52, subdivision 5, is amended to read: 
 21.26     Subd. 5.  [EMPLOYMENT PLAN; CONTENTS.] (a) Based on the 
 21.27  secondary assessment under subdivision 4, the job counselor and 
 21.28  the participant must develop an employment plan for the 
 21.29  participant that includes specific activities that are tied to 
 21.30  an employment goal and a plan for long-term self-sufficiency, 
 21.31  and that is designed to move the participant along the most 
 21.32  direct path to unsubsidized employment.  The employment plan 
 21.33  must list the specific steps that will be taken to obtain 
 21.34  employment and a timetable for completion of each of the steps.  
 21.35  Upon agreement by the job counselor and the participant, the 
 21.36  employment plan may limit a job search to jobs that are 
 22.1   consistent with the participant's employment goal. 
 22.2      (b) As part of the development of the participant's 
 22.3   employment plan, the participant shall have the option of 
 22.4   selecting from among the vendors or resources that the job 
 22.5   counselor determines will be effective in supplying one or more 
 22.6   of the services necessary to meet the employment goals specified 
 22.7   in the participant's plan. In compiling the list of vendors and 
 22.8   resources that the job counselor determines would be effective 
 22.9   in meeting the participant's employment goals, the job counselor 
 22.10  must determine that adequate financial resources are available 
 22.11  for the vendors or resources ultimately selected by the 
 22.12  participant. 
 22.13     (c) In order for an English as a second language (ESL) 
 22.14  class to be an approved work activity, a participant must be 
 22.15  below a spoken language proficiency level of SPL5 or its 
 22.16  equivalent, as measured by a nationally recognized test.  A 
 22.17  participant may not be approved for more than a total of 24 
 22.18  months of ESL activities while participating in the employment 
 22.19  and training services component of MFIP.  In approving ESL as a 
 22.20  work activity, the job counselor must give preference to 
 22.21  enrollment in an intensive ESL program, if one is available, 
 22.22  over a regular ESL program. 
 22.23     (d) The job counselor and the participant must sign the 
 22.24  developed plan to indicate agreement between the job counselor 
 22.25  and the participant on the contents of the plan. 
 22.26     Sec. 21.  Minnesota Statutes 1998, section 256J.52, is 
 22.27  amended by adding a subdivision to read: 
 22.28     Subd. 5b.  [EMPLOYMENT ACTIVITIES REQUIRED.] The job 
 22.29  counselor must ensure that, by the fourth month of participation 
 22.30  in the employment and training services component, at least half 
 22.31  of a participant's required hours of work activities are met 
 22.32  through one or a combination of the activities listed in section 
 22.33  256J.49, subdivision 13, clause (1), (2), (3), (4), (19), or 
 22.34  (23). 
 22.35     Sec. 22.  Minnesota Statutes 1999 Supplement, section 
 22.36  256J.56, is amended to read: 
 23.1      256J.56 [EMPLOYMENT AND TRAINING SERVICES COMPONENT; 
 23.2   EXEMPTIONS.] 
 23.3      (a) An MFIP caregiver is exempt from the requirements of 
 23.4   sections 256J.52 to 256J.55 if the caregiver belongs to any of 
 23.5   the following groups: 
 23.6      (1) individuals who are age 60 or older; 
 23.7      (2) individuals who are suffering from a professionally 
 23.8   certified permanent or temporary illness, injury, or incapacity 
 23.9   which is expected to continue for more than 30 days and which 
 23.10  prevents the person from obtaining or retaining employment.  
 23.11  Persons in this category with a temporary illness, injury, or 
 23.12  incapacity must be reevaluated at least quarterly; 
 23.13     (3) caregivers whose presence in the home is required 
 23.14  because of the professionally certified illness or incapacity of 
 23.15  another member in the assistance unit, a relative in the 
 23.16  household, or a foster child in the household; 
 23.17     (4) women who are pregnant, if the pregnancy has resulted 
 23.18  in a professionally certified incapacity that prevents the woman 
 23.19  from obtaining or retaining employment; 
 23.20     (5) caregivers of a child under the age of one year who 
 23.21  personally provide full-time care for the child.  This exemption 
 23.22  may be used for only 12 months in a lifetime.  In two-parent 
 23.23  households, only one parent or other relative may qualify for 
 23.24  this exemption; 
 23.25     (6) individuals who are single parents, or one parent in a 
 23.26  two-parent family, employed at least 35 hours per week; 
 23.27     (7) individuals experiencing a personal or family crisis 
 23.28  that makes them incapable of participating in the program, as 
 23.29  determined by the county agency.  If the participant does not 
 23.30  agree with the county agency's determination, the participant 
 23.31  may seek professional certification, as defined in section 
 23.32  256J.08, that the participant is incapable of participating in 
 23.33  the program. 
 23.34     Persons in this exemption category must be reevaluated 
 23.35  every 60 days; or 
 23.36     (8) second parents in two-parent families employed for 20 
 24.1   or more hours per week, provided the first parent is employed at 
 24.2   least 35 hours per week; or 
 24.3      (9) caregivers with a child in the household who has been 
 24.4   certified as eligible for personal care attendant services under 
 24.5   section 256B.0627.  Caregivers in this exemption category are 
 24.6   presumed to be prevented from obtaining or retaining employment. 
 24.7      A caregiver who is exempt under clause (5) must enroll in 
 24.8   and attend an early childhood and family education class, a 
 24.9   parenting class, or some similar activity, if available, during 
 24.10  the period of time the caregiver is exempt under this section.  
 24.11  Notwithstanding section 256J.46, failure to attend the required 
 24.12  activity shall not result in the imposition of a sanction. 
 24.13     (b) The county agency must provide employment and training 
 24.14  services to MFIP caregivers who are exempt under this section, 
 24.15  but who volunteer to participate.  Exempt volunteers may request 
 24.16  approval for any work activity under section 256J.49, 
 24.17  subdivision 13.  The hourly participation requirements for 
 24.18  nonexempt caregivers under section 256J.50, subdivision 5, do 
 24.19  not apply to exempt caregivers who volunteer to participate. 
 24.20     Sec. 23.  Minnesota Statutes 1998, section 256J.62, is 
 24.21  amended by adding a subdivision to read: 
 24.22     Subd. 2b.  [LOCAL INTERVENTION GRANTS FOR 
 24.23  SELF-SUFFICIENCY.] (a) The commissioner shall make grants under 
 24.24  this subdivision to assist county and tribal TANF programs to 
 24.25  more effectively serve hard-to-employ MFIP participants.  Funds 
 24.26  appropriated for local intervention grants for self-sufficiency 
 24.27  must be allocated first in amounts equal to the guaranteed 
 24.28  minimum in paragraph (b).  Any remaining funds must be allocated 
 24.29  according to the formula in paragraph (c). 
 24.30     (b) Each county or tribal program shall receive a 
 24.31  guaranteed minimum annual allocation of $25,000. 
 24.32     (c) Funds remaining after the allocation in paragraph (b) 
 24.33  must be allocated as follows: 
 24.34     (1) 85 percent shall be allocated in proportion to each 
 24.35  county's and tribal TANF program's one-parent MFIP cases that 
 24.36  have received MFIP assistance for at least 25 months, as sampled 
 25.1   on December 31 of the previous calendar year, excluding cases 
 25.2   where all caregivers are age 60 or over. 
 25.3      (2) 15 percent shall be allocated to each county's and 
 25.4   tribal TANF program's two-parent MFIP cases that have received 
 25.5   MFIP assistance for at least 25 months, as sampled on December 
 25.6   31 of the previous calendar year, excluding cases where all 
 25.7   caregivers are age 60 or over. 
 25.8      (d) A county or tribal program may use funds allocated 
 25.9   under this subdivision to provide services to MFIP participants 
 25.10  who are hard-to-employ and their families.  Services provided 
 25.11  must be intended to reduce the number of MFIP participants who 
 25.12  are expected to reach the 60-month time limit under section 
 25.13  256J.42. 
 25.14     (e) Funds allocated under this subdivision may not be used 
 25.15  to provide benefits that are defined as "assistance" in Code of 
 25.16  Federal Regulations, title 45, section 260.31, to an assistance 
 25.17  unit that is only receiving the food portion of MFIP benefits. 
 25.18     (f) This subdivision sunsets June 30, 2003. 
 25.19     Sec. 24.  [256K.35] [AT-RISK YOUTH OUT-OF-WEDLOCK PREGNANCY 
 25.20  PREVENTION GRANTS.] 
 25.21     Subdivision 1.  [ESTABLISHMENT AND PURPOSE.] The 
 25.22  commissioner shall establish a statewide grant program to 
 25.23  prevent or reduce the incidence of out-of-wedlock pregnancies 
 25.24  among homeless, runaway, or thrown-away youth who are at risk of 
 25.25  being prostituted or currently being used in prostitution.  The 
 25.26  goal of the shelter for the out-of-wedlock pregnancy prevention 
 25.27  program is to significantly increase the number of existing 
 25.28  short-term shelter beds for these youth in the state.  By 
 25.29  providing emergency shelter, transitional housing, and 
 25.30  supportive services, the number of youth at risk of being 
 25.31  sexually exploited or actually being sexually exploited, and 
 25.32  thus at risk of experiencing an out-of-wedlock pregnancy, will 
 25.33  be reduced. 
 25.34     Subd. 2.  [GRANTS.] The commissioner shall make shelter for 
 25.35  out-of-wedlock pregnancy prevention grants to nonprofit 
 25.36  corporations or government agencies to provide emergency and 
 26.1   transitional housing for at-risk children and teens.  The 
 26.2   commissioner shall consider the need for emergency and 
 26.3   transitional centers throughout the state, and must give 
 26.4   priority to applicants who offer 24-hour emergency facilities. 
 26.5      Subd. 3.  [GRANT APPLICATION; ELIGIBILITY.] (a) A nonprofit 
 26.6   corporation or government agency must submit an application to 
 26.7   the commissioner in the form and manner the commissioner 
 26.8   establishes.  The application must describe how the applicant 
 26.9   meets the eligibility criteria under paragraph (b).  The 
 26.10  commissioner may also require an applicant to provide additional 
 26.11  information. 
 26.12     (b) To be eligible for a grant under this section, an 
 26.13  applicant must meet the following criteria: 
 26.14     (1) the applicant must have a commitment to helping the 
 26.15  community, children, and preventing juvenile prostitution.  If 
 26.16  the applicant does not have any past experience with youth 
 26.17  involved in or at risk of being used in prostitution, the 
 26.18  applicant must demonstrate knowledge of best practices in this 
 26.19  area and develop a plan to follow those practices; 
 26.20     (2) the applicant must present a plan to communicate with 
 26.21  local law enforcement officials, social services, and the 
 26.22  commissioner consistent with state and federal law; and 
 26.23     (3) the applicant must present a plan to encourage 
 26.24  homeless, runaway, or thrown-away youth to either reconnect with 
 26.25  family or to transition into long-term housing. 
 26.26     Subd. 4.  [USES OF GRANT FUNDS.] (a) Grant funds awarded 
 26.27  under this section must be used to create and maintain shelters 
 26.28  for homeless, runaway, and thrown-away youth.  Grant funds may 
 26.29  also be used to provide necessary supportive services to reduce 
 26.30  the risk that youth being served by the program will experience 
 26.31  out-of-wedlock pregnancy. 
 26.32     (b) Grant funds awarded under this section shall not be 
 26.33  used to conduct general education or awareness programs 
 26.34  unrelated to the operation of a shelter. 
 26.35     Sec. 25.  [WORK GROUP ON SANCTION RECOMMENDATIONS.] 
 26.36     A legislative work group on MFIP sanction recommendations 
 27.1   shall be established.  The chairs of the house health and human 
 27.2   services policy committee and the senate health and family 
 27.3   security committee shall each appoint five legislators, two of 
 27.4   whom must be members of the minority party, to be members of 
 27.5   this work group.  The work group must review the implementation 
 27.6   of current MFIP sanction policy and make recommendations for any 
 27.7   necessary improvements.  The work group must submit a report on 
 27.8   its review and recommendations to the legislature by January 1, 
 27.9   2001. 
 27.10     Sec. 26.  [FEDERAL TANF FUNDS; APPROPRIATIONS.] 
 27.11     Subdivision 1.  [ADDITIONAL TANF APPROPRIATIONS.] In 
 27.12  addition to the federal Temporary Assistance to Needy Families 
 27.13  (TANF) block grant funds appropriated to the commissioner of 
 27.14  human services in Laws 1999, chapter 245, article 1, section 2, 
 27.15  subdivision 10, the sums in this section are from the federal 
 27.16  TANF funds awarded in federal fiscal years 2000 and 2001 and are 
 27.17  appropriated to the commissioner of human services for the 
 27.18  fiscal years designated. 
 27.19     Subd. 2.  [LOCAL INTERVENTION GRANTS.] For local 
 27.20  intervention grants under Minnesota Statutes, section 256J.62, 
 27.21  subdivision 2b: 
 27.22       $.,...,...     .....     2001 
 27.23     For fiscal years 2002 and 2003, the commissioner of finance 
 27.24  shall ensure that the base level funding for the local 
 27.25  intervention grants program is $....... in fiscal year 2002 and 
 27.26  $....... in fiscal year 2003. 
 27.27     Subd. 3.  [DISTRIBUTION OF CHILD SUPPORT RECOVERIES.] To 
 27.28  reimburse the federal government for the federal share of the 
 27.29  child support recoveries distributed to custodial parents under 
 27.30  Minnesota Statutes, section 256.741, subdivision 15: 
 27.31       $.,...,...     .....     2001 
 27.32     Subd. 4.  [AT-RISK YOUTH OUT-OF-WEDLOCK PREGNANCY 
 27.33  PREVENTION GRANTS.] For out-of-wedlock pregnancy prevention 
 27.34  grants under Minnesota Statutes, section 256K.35: 
 27.35       $5,000,000     .....     2001 
 27.36     For fiscal years 2002 and 2003, the commissioner of finance 
 28.1   shall ensure that the base level funding for this program is 
 28.2   $5,000,000 each year.  These appropriations shall not become 
 28.3   part of the base for the 2004-2005 biennium. 
 28.4      Subd. 5.  [JOB COUNSELOR TRAINING.] For training job 
 28.5   counselors about the MFIP program: 
 28.6        $  320,000     .....     2001 
 28.7      For fiscal years 2002 and 2003, the commissioner of finance 
 28.8   shall ensure that the base level funding for employment services 
 28.9   includes $320,000 each year for this activity.  The 
 28.10  appropriation in this subdivision shall not become part of the 
 28.11  base for the 2004-2005 biennium. 
 28.12     Subd. 6.  [INTENSIVE INTERVENTION GRANT.] For a grant to 
 28.13  the Southeast Asian MFIP services collaborative to replicate in 
 28.14  a second location an existing model of an intensive intervention 
 28.15  transitional employment training project which moves refugee and 
 28.16  immigrant welfare recipients into unsubsidized employment and 
 28.17  leads to economic self-sufficiency: 
 28.18       $  500,000     .....     2001 
 28.19     This is a one-time appropriation to cover start-up costs. 
 28.20     Sec. 27.  [TANF MAINTENANCE OF EFFORT FUNDS.] 
 28.21     For fiscal years 2002 and 2003 only, the commissioner shall 
 28.22  claim allowable state expenditures from the working family 
 28.23  credit under Minnesota Statutes, section 290.0671, as TANF 
 28.24  maintenance of effort in amounts equal to the state share of 
 28.25  medical assistance costs attributable to the additional cases 
 28.26  estimated to result from the child support distribution 
 28.27  provision in section 2. 
 28.28     Sec. 28.  [REPEALER.] 
 28.29     Minnesota Statutes 1998, section 256J.46, subdivision 1a, 
 28.30  is repealed. 
 28.31                             ARTICLE 2 
 28.32                       MAINTENANCE OF EFFORT 
 28.33                       EXPENDITURE OVERSIGHT
 28.34     Section 1.  [3.3006] [STATE TANF MAINTENANCE OF EFFORT 
 28.35  EXPENDITURES; EXPENDITURE REVIEW.] 
 28.36     Subdivision 1.  [DEFINITIONS.] The definitions in this 
 28.37  subdivision apply to this section. 
 29.1      (a) "TANF MOE" means the maintenance of effort for the TANF 
 29.2   block grant specified under United States Code, title 42, 
 29.3   section 609(a)(7). 
 29.4      (b) Unless otherwise specified, "commissioner" means the 
 29.5   commissioner of human services. 
 29.6      Subd. 2.  [STATE TANF MOE EXPENDITURES.] The state's TANF 
 29.7   MOE expenditure requirements under section 256J.025 must be met 
 29.8   unless the provisions of subdivisions 3 and 4 apply. 
 29.9      Subd. 3.  [INTERIM PROCEDURES.] If the commissioner 
 29.10  determines that state money appropriated for the programs under 
 29.11  section 256J.025 are insufficient to meet TANF MOE expenditure 
 29.12  requirements, and if the legislature is not or will not be in 
 29.13  session to take timely action to avoid a federal penalty, the 
 29.14  commissioner may report state expenditures from other allowable 
 29.15  sources as TANF MOE expenditures after the requirements of 
 29.16  subdivision 4 are met. 
 29.17     Subd. 4.  [LEGISLATIVE ADVISORY COMMISSION REVIEW.] The 
 29.18  commissioner may report state expenditures in addition to those 
 29.19  specified under section 256J.025 as state TANF MOE expenditures, 
 29.20  but only after the commissioner of finance has first submitted 
 29.21  the commissioner's recommendations for additional allowable 
 29.22  sources of state TANF MOE expenditures to the members of the 
 29.23  legislative advisory commission for their review and 
 29.24  recommendation for further review.  If the legislative advisory 
 29.25  commission does not act to request further review within ten 
 29.26  days, no further review by the legislative advisory commission 
 29.27  is required, and the commissioner of finance shall approve or 
 29.28  disapprove the additional sources of state TANF MOE 
 29.29  expenditures.  If any member of the commission requests further 
 29.30  review of the proposed TANF MOE expenditures, the governor shall 
 29.31  submit the commissioner's recommendations to the legislative 
 29.32  advisory commission for its review and recommendation.  Failure 
 29.33  or refusal of the commission to make a recommendation promptly 
 29.34  is a negative recommendation. 
 29.35     Subd. 5.  [FORECAST INCLUSION OF INTERIM CHANGES NOT 
 29.36  ALLOWED.] The commissioner of finance shall not incorporate any 
 30.1   changes in federal TANF expenditures or state expenditures for 
 30.2   TANF MOE that may result from reporting additional allowable 
 30.3   sources of state TANF MOE expenditures under the interim 
 30.4   procedures in this section into the February or November 
 30.5   forecasts required under section 16A.103, unless the 
 30.6   commissioner of finance has approved the additional sources of 
 30.7   expenditures under subdivision 4. 
 30.8      Sec. 2.  Minnesota Statutes 1999 Supplement, section 
 30.9   119B.02, subdivision 1, is amended to read: 
 30.10     Subdivision 1.  [CHILD CARE SERVICES.] The commissioner 
 30.11  shall develop standards for county and human services boards to 
 30.12  provide child care services to enable eligible families to 
 30.13  participate in employment, training, or education programs.  
 30.14  Within the limits of available appropriations, the commissioner 
 30.15  shall distribute money to counties to reduce the costs of child 
 30.16  care for eligible families.  The commissioner shall adopt rules 
 30.17  to govern the program in accordance with this section.  The 
 30.18  rules must establish a sliding schedule of fees for parents 
 30.19  receiving child care services.  The rules shall provide that 
 30.20  funds received as a lump sum payment of child support arrearages 
 30.21  shall not be counted as income to a family in the month received 
 30.22  but shall be prorated over the 12 months following receipt and 
 30.23  added to the family income during those months.  In the rules 
 30.24  adopted under this section, county and human services boards 
 30.25  shall be authorized to establish policies for payment of child 
 30.26  care spaces for absent children, when the payment is required by 
 30.27  the child's regular provider.  The rules shall not set a maximum 
 30.28  number of days for which absence payments can be made, but 
 30.29  instead shall direct the county agency to set limits and pay for 
 30.30  absences according to the prevailing market practice in the 
 30.31  county.  County policies for payment of absences shall be 
 30.32  subject to the approval of the commissioner.  The commissioner 
 30.33  shall maximize the use of federal money under title I and title 
 30.34  IV of VI, Public Law Number 104-193, the Personal Responsibility 
 30.35  and Work Opportunity Reconciliation Act of 1996, and other 
 30.36  programs that provide federal or state reimbursement for child 
 31.1   care services for low-income families who are in education, 
 31.2   training, job search, or other activities allowed under those 
 31.3   programs.  Money appropriated under this section must be 
 31.4   coordinated with the programs that provide federal reimbursement 
 31.5   for child care services to accomplish this purpose.  Federal 
 31.6   reimbursement obtained must be allocated to the county that 
 31.7   spent money for child care that is federally reimbursable under 
 31.8   programs that provide federal reimbursement for child care 
 31.9   services.  The counties shall use the federal money to expand 
 31.10  child care services.  The commissioner may adopt rules under 
 31.11  chapter 14 to implement and coordinate federal program 
 31.12  requirements. 
 31.13     Sec. 3.  Minnesota Statutes 1999 Supplement, section 
 31.14  256.01, subdivision 2, is amended to read: 
 31.15     Subd. 2.  [SPECIFIC POWERS.] Subject to the provisions of 
 31.16  section 241.021, subdivision 2, the commissioner of human 
 31.17  services shall: 
 31.18     (1) Administer and supervise all forms of public assistance 
 31.19  provided for by state law and other welfare activities or 
 31.20  services as are vested in the commissioner.  Administration and 
 31.21  supervision of human services activities or services includes, 
 31.22  but is not limited to, assuring timely and accurate distribution 
 31.23  of benefits, completeness of service, and quality program 
 31.24  management.  In addition to administering and supervising human 
 31.25  services activities vested by law in the department, the 
 31.26  commissioner shall have the authority to: 
 31.27     (a) require county agency participation in training and 
 31.28  technical assistance programs to promote compliance with 
 31.29  statutes, rules, federal laws, regulations, and policies 
 31.30  governing human services; 
 31.31     (b) monitor, on an ongoing basis, the performance of county 
 31.32  agencies in the operation and administration of human services, 
 31.33  enforce compliance with statutes, rules, federal laws, 
 31.34  regulations, and policies governing welfare services and promote 
 31.35  excellence of administration and program operation; 
 31.36     (c) develop a quality control program or other monitoring 
 32.1   program to review county performance and accuracy of benefit 
 32.2   determinations; 
 32.3      (d) require county agencies to make an adjustment to the 
 32.4   public assistance benefits issued to any individual consistent 
 32.5   with federal law and regulation and state law and rule and to 
 32.6   issue or recover benefits as appropriate; 
 32.7      (e) delay or deny payment of all or part of the state and 
 32.8   federal share of benefits and administrative reimbursement 
 32.9   according to the procedures set forth in section 256.017; 
 32.10     (f) make contracts with and grants to public and private 
 32.11  agencies and organizations, both profit and nonprofit, and 
 32.12  individuals, using appropriated funds; and 
 32.13     (g) enter into contractual agreements with federally 
 32.14  recognized Indian tribes with a reservation in Minnesota to the 
 32.15  extent necessary for the tribe to operate a federally approved 
 32.16  family assistance program or any other program under the 
 32.17  supervision of the commissioner.  The commissioner shall consult 
 32.18  with the affected county or counties in the contractual 
 32.19  agreement negotiations, if the county or counties wish to be 
 32.20  included, in order to avoid the duplication of county and tribal 
 32.21  assistance program services.  The commissioner may establish 
 32.22  necessary accounts for the purposes of receiving and disbursing 
 32.23  funds as necessary for the operation of the programs. 
 32.24     (2) Inform county agencies, on a timely basis, of changes 
 32.25  in statute, rule, federal law, regulation, and policy necessary 
 32.26  to county agency administration of the programs. 
 32.27     (3) Administer and supervise all child welfare activities; 
 32.28  promote the enforcement of laws protecting handicapped, 
 32.29  dependent, neglected and delinquent children, and children born 
 32.30  to mothers who were not married to the children's fathers at the 
 32.31  times of the conception nor at the births of the children; 
 32.32  license and supervise child-caring and child-placing agencies 
 32.33  and institutions; supervise the care of children in boarding and 
 32.34  foster homes or in private institutions; and generally perform 
 32.35  all functions relating to the field of child welfare now vested 
 32.36  in the state board of control. 
 33.1      (4) Administer and supervise all noninstitutional service 
 33.2   to handicapped persons, including those who are visually 
 33.3   impaired, hearing impaired, or physically impaired or otherwise 
 33.4   handicapped.  The commissioner may provide and contract for the 
 33.5   care and treatment of qualified indigent children in facilities 
 33.6   other than those located and available at state hospitals when 
 33.7   it is not feasible to provide the service in state hospitals. 
 33.8      (5) Assist and actively cooperate with other departments, 
 33.9   agencies and institutions, local, state, and federal, by 
 33.10  performing services in conformity with the purposes of Laws 
 33.11  1939, chapter 431. 
 33.12     (6) Act as the agent of and cooperate with the federal 
 33.13  government in matters of mutual concern relative to and in 
 33.14  conformity with the provisions of Laws 1939, chapter 431, 
 33.15  including the administration of any federal funds granted to the 
 33.16  state to aid in the performance of any functions of the 
 33.17  commissioner as specified in Laws 1939, chapter 431, and 
 33.18  including the promulgation of rules making uniformly available 
 33.19  medical care benefits to all recipients of public assistance, at 
 33.20  such times as the federal government increases its participation 
 33.21  in assistance expenditures for medical care to recipients of 
 33.22  public assistance, the cost thereof to be borne in the same 
 33.23  proportion as are grants of aid to said recipients. 
 33.24     (7) Establish and maintain any administrative units 
 33.25  reasonably necessary for the performance of administrative 
 33.26  functions common to all divisions of the department. 
 33.27     (8) Act as designated guardian of both the estate and the 
 33.28  person of all the wards of the state of Minnesota, whether by 
 33.29  operation of law or by an order of court, without any further 
 33.30  act or proceeding whatever, except as to persons committed as 
 33.31  mentally retarded.  For children under the guardianship of the 
 33.32  commissioner whose interests would be best served by adoptive 
 33.33  placement, the commissioner may contract with a licensed 
 33.34  child-placing agency to provide adoption services.  A contract 
 33.35  with a licensed child-placing agency must be designed to 
 33.36  supplement existing county efforts and may not replace existing 
 34.1   county programs, unless the replacement is agreed to by the 
 34.2   county board and the appropriate exclusive bargaining 
 34.3   representative or the commissioner has evidence that child 
 34.4   placements of the county continue to be substantially below that 
 34.5   of other counties.  Funds encumbered and obligated under an 
 34.6   agreement for a specific child shall remain available until the 
 34.7   terms of the agreement are fulfilled or the agreement is 
 34.8   terminated. 
 34.9      (9) Act as coordinating referral and informational center 
 34.10  on requests for service for newly arrived immigrants coming to 
 34.11  Minnesota. 
 34.12     (10) The specific enumeration of powers and duties as 
 34.13  hereinabove set forth shall in no way be construed to be a 
 34.14  limitation upon the general transfer of powers herein contained. 
 34.15     (11) Establish county, regional, or statewide schedules of 
 34.16  maximum fees and charges which may be paid by county agencies 
 34.17  for medical, dental, surgical, hospital, nursing and nursing 
 34.18  home care and medicine and medical supplies under all programs 
 34.19  of medical care provided by the state and for congregate living 
 34.20  care under the income maintenance programs. 
 34.21     (12) Have the authority to conduct and administer 
 34.22  experimental projects to test methods and procedures of 
 34.23  administering assistance and services to recipients or potential 
 34.24  recipients of public welfare.  To carry out such experimental 
 34.25  projects, it is further provided that the commissioner of human 
 34.26  services is authorized to waive the enforcement of existing 
 34.27  specific statutory program requirements, rules, and standards in 
 34.28  one or more counties.  The order establishing the waiver shall 
 34.29  provide alternative methods and procedures of administration, 
 34.30  shall not be in conflict with the basic purposes, coverage, or 
 34.31  benefits provided by law, and in no event shall the duration of 
 34.32  a project exceed four years.  It is further provided that no 
 34.33  order establishing an experimental project as authorized by the 
 34.34  provisions of this section shall become effective until the 
 34.35  following conditions have been met: 
 34.36     (a) The secretary of health and human services of the 
 35.1   United States has agreed, for the same project, to waive state 
 35.2   plan requirements relative to statewide uniformity. 
 35.3      (b) A comprehensive plan, including estimated project 
 35.4   costs, shall be approved by the legislative advisory commission 
 35.5   and filed with the commissioner of administration.  
 35.6      (13) According to federal requirements, establish 
 35.7   procedures to be followed by local welfare boards in creating 
 35.8   citizen advisory committees, including procedures for selection 
 35.9   of committee members. 
 35.10     (14) Allocate federal fiscal disallowances or sanctions 
 35.11  which are based on quality control error rates for the aid to 
 35.12  families with dependent children program formerly codified in 
 35.13  sections 256.72 to 256.87, medical assistance, or food stamp 
 35.14  program in the following manner:  
 35.15     (a) One-half of the total amount of the disallowance shall 
 35.16  be borne by the county boards responsible for administering the 
 35.17  programs.  For the medical assistance and the AFDC program 
 35.18  formerly codified in sections 256.72 to 256.87, disallowances 
 35.19  shall be shared by each county board in the same proportion as 
 35.20  that county's expenditures for the sanctioned program are to the 
 35.21  total of all counties' expenditures for the AFDC program 
 35.22  formerly codified in sections 256.72 to 256.87, and medical 
 35.23  assistance programs.  For the food stamp program, sanctions 
 35.24  shall be shared by each county board, with 50 percent of the 
 35.25  sanction being distributed to each county in the same proportion 
 35.26  as that county's administrative costs for food stamps are to the 
 35.27  total of all food stamp administrative costs for all counties, 
 35.28  and 50 percent of the sanctions being distributed to each county 
 35.29  in the same proportion as that county's value of food stamp 
 35.30  benefits issued are to the total of all benefits issued for all 
 35.31  counties.  Each county shall pay its share of the disallowance 
 35.32  to the state of Minnesota.  When a county fails to pay the 
 35.33  amount due hereunder, the commissioner may deduct the amount 
 35.34  from reimbursement otherwise due the county, or the attorney 
 35.35  general, upon the request of the commissioner, may institute 
 35.36  civil action to recover the amount due. 
 36.1      (b) Notwithstanding the provisions of paragraph (a), if the 
 36.2   disallowance results from knowing noncompliance by one or more 
 36.3   counties with a specific program instruction, and that knowing 
 36.4   noncompliance is a matter of official county board record, the 
 36.5   commissioner may require payment or recover from the county or 
 36.6   counties, in the manner prescribed in paragraph (a), an amount 
 36.7   equal to the portion of the total disallowance which resulted 
 36.8   from the noncompliance, and may distribute the balance of the 
 36.9   disallowance according to paragraph (a).  
 36.10     (15) Develop and implement special projects that maximize 
 36.11  reimbursements, other than federal TANF funds, and result in the 
 36.12  recovery of money to the state.  For the purpose of recovering 
 36.13  state money, the commissioner may enter into contracts with 
 36.14  third parties.  Any recoveries that result from projects or 
 36.15  contracts entered into under this paragraph shall be deposited 
 36.16  in the state treasury and credited to a special account until 
 36.17  the balance in the account reaches $1,000,000.  When the balance 
 36.18  in the account exceeds $1,000,000, the excess shall be 
 36.19  transferred and credited to the general fund.  All money in the 
 36.20  account is appropriated to the commissioner for the purposes of 
 36.21  this paragraph. 
 36.22     (16) Have the authority to make direct payments to 
 36.23  facilities providing shelter to women and their children 
 36.24  according to section 256D.05, subdivision 3.  Upon the written 
 36.25  request of a shelter facility that has been denied payments 
 36.26  under section 256D.05, subdivision 3, the commissioner shall 
 36.27  review all relevant evidence and make a determination within 30 
 36.28  days of the request for review regarding issuance of direct 
 36.29  payments to the shelter facility.  Failure to act within 30 days 
 36.30  shall be considered a determination not to issue direct payments.
 36.31     (17) Have the authority to establish and enforce the 
 36.32  following county reporting requirements:  
 36.33     (a) The commissioner shall establish fiscal and statistical 
 36.34  reporting requirements necessary to account for the expenditure 
 36.35  of funds allocated to counties for human services programs.  
 36.36  When establishing financial and statistical reporting 
 37.1   requirements, the commissioner shall evaluate all reports, in 
 37.2   consultation with the counties, to determine if the reports can 
 37.3   be simplified or the number of reports can be reduced. 
 37.4      (b) The county board shall submit monthly or quarterly 
 37.5   reports to the department as required by the commissioner.  
 37.6   Monthly reports are due no later than 15 working days after the 
 37.7   end of the month.  Quarterly reports are due no later than 30 
 37.8   calendar days after the end of the quarter, unless the 
 37.9   commissioner determines that the deadline must be shortened to 
 37.10  20 calendar days to avoid jeopardizing compliance with federal 
 37.11  deadlines or risking a loss of federal funding.  Only reports 
 37.12  that are complete, legible, and in the required format shall be 
 37.13  accepted by the commissioner.  
 37.14     (c) If the required reports are not received by the 
 37.15  deadlines established in clause (b), the commissioner may delay 
 37.16  payments and withhold funds from the county board until the next 
 37.17  reporting period.  When the report is needed to account for the 
 37.18  use of federal funds and the late report results in a reduction 
 37.19  in federal funding, the commissioner shall withhold from the 
 37.20  county boards with late reports an amount equal to the reduction 
 37.21  in federal funding until full federal funding is received.  
 37.22     (d) A county board that submits reports that are late, 
 37.23  illegible, incomplete, or not in the required format for two out 
 37.24  of three consecutive reporting periods is considered 
 37.25  noncompliant.  When a county board is found to be noncompliant, 
 37.26  the commissioner shall notify the county board of the reason the 
 37.27  county board is considered noncompliant and request that the 
 37.28  county board develop a corrective action plan stating how the 
 37.29  county board plans to correct the problem.  The corrective 
 37.30  action plan must be submitted to the commissioner within 45 days 
 37.31  after the date the county board received notice of noncompliance.
 37.32     (e) The final deadline for fiscal reports or amendments to 
 37.33  fiscal reports is one year after the date the report was 
 37.34  originally due.  If the commissioner does not receive a report 
 37.35  by the final deadline, the county board forfeits the funding 
 37.36  associated with the report for that reporting period and the 
 38.1   county board must repay any funds associated with the report 
 38.2   received for that reporting period. 
 38.3      (f) The commissioner may not delay payments, withhold 
 38.4   funds, or require repayment under paragraph (c) or (e) if the 
 38.5   county demonstrates that the commissioner failed to provide 
 38.6   appropriate forms, guidelines, and technical assistance to 
 38.7   enable the county to comply with the requirements.  If the 
 38.8   county board disagrees with an action taken by the commissioner 
 38.9   under paragraph (c) or (e), the county board may appeal the 
 38.10  action according to sections 14.57 to 14.69. 
 38.11     (g) Counties subject to withholding of funds under 
 38.12  paragraph (c) or forfeiture or repayment of funds under 
 38.13  paragraph (e) shall not reduce or withhold benefits or services 
 38.14  to clients to cover costs incurred due to actions taken by the 
 38.15  commissioner under paragraph (c) or (e). 
 38.16     (18) Allocate federal fiscal disallowances or sanctions for 
 38.17  audit exceptions when federal fiscal disallowances or sanctions 
 38.18  are based on a statewide random sample for the foster care 
 38.19  program under title IV-E of the Social Security Act, United 
 38.20  States Code, title 42, in direct proportion to each county's 
 38.21  title IV-E foster care maintenance claim for that period. 
 38.22     (19) Be responsible for ensuring the detection, prevention, 
 38.23  investigation, and resolution of fraudulent activities or 
 38.24  behavior by applicants, recipients, and other participants in 
 38.25  the human services programs administered by the department. 
 38.26     (20) Require county agencies to identify overpayments, 
 38.27  establish claims, and utilize all available and cost-beneficial 
 38.28  methodologies to collect and recover these overpayments in the 
 38.29  human services programs administered by the department. 
 38.30     (21) Have the authority to administer a drug rebate program 
 38.31  for drugs purchased pursuant to the senior citizen drug program 
 38.32  established under section 256.955 after the beneficiary's 
 38.33  satisfaction of any deductible established in the program.  The 
 38.34  commissioner shall require a rebate agreement from all 
 38.35  manufacturers of covered drugs as defined in section 256B.0625, 
 38.36  subdivision 13.  For each drug, the amount of the rebate shall 
 39.1   be equal to the basic rebate as defined for purposes of the 
 39.2   federal rebate program in United States Code, title 42, section 
 39.3   1396r-8(c)(1).  This basic rebate shall be applied to 
 39.4   single-source and multiple-source drugs.  The manufacturers must 
 39.5   provide full payment within 30 days of receipt of the state 
 39.6   invoice for the rebate within the terms and conditions used for 
 39.7   the federal rebate program established pursuant to section 1927 
 39.8   of title XIX of the Social Security Act.  The manufacturers must 
 39.9   provide the commissioner with any information necessary to 
 39.10  verify the rebate determined per drug.  The rebate program shall 
 39.11  utilize the terms and conditions used for the federal rebate 
 39.12  program established pursuant to section 1927 of title XIX of the 
 39.13  Social Security Act. 
 39.14     (22) Operate the department's communication systems account 
 39.15  established in Laws 1993, First Special Session chapter 1, 
 39.16  article 1, section 2, subdivision 2, to manage shared 
 39.17  communication costs necessary for the operation of the programs 
 39.18  the commissioner supervises.  A communications account may also 
 39.19  be established for each regional treatment center which operates 
 39.20  communications systems.  Each account must be used to manage 
 39.21  shared communication costs necessary for the operations of the 
 39.22  programs the commissioner supervises.  The commissioner may 
 39.23  distribute the costs of operating and maintaining communication 
 39.24  systems to participants in a manner that reflects actual usage. 
 39.25  Costs may include acquisition, licensing, insurance, 
 39.26  maintenance, repair, staff time and other costs as determined by 
 39.27  the commissioner.  Nonprofit organizations and state, county, 
 39.28  and local government agencies involved in the operation of 
 39.29  programs the commissioner supervises may participate in the use 
 39.30  of the department's communications technology and share in the 
 39.31  cost of operation.  The commissioner may accept on behalf of the 
 39.32  state any gift, bequest, devise or personal property of any 
 39.33  kind, or money tendered to the state for any lawful purpose 
 39.34  pertaining to the communication activities of the department.  
 39.35  Any money received for this purpose must be deposited in the 
 39.36  department's communication systems accounts.  Money collected by 
 40.1   the commissioner for the use of communication systems must be 
 40.2   deposited in the state communication systems account and is 
 40.3   appropriated to the commissioner for purposes of this section. 
 40.4      (23) Receive any federal matching money that is made 
 40.5   available through the medical assistance program for the 
 40.6   consumer satisfaction survey.  Any federal money received for 
 40.7   the survey is appropriated to the commissioner for this 
 40.8   purpose.  The commissioner may expend the federal money received 
 40.9   for the consumer satisfaction survey in either year of the 
 40.10  biennium. 
 40.11     (24) Incorporate cost reimbursement claims from First Call 
 40.12  Minnesota into the federal cost reimbursement claiming processes 
 40.13  of the department according to federal law, rule, and 
 40.14  regulations.  Any reimbursement received is appropriated to the 
 40.15  commissioner and shall be disbursed to First Call Minnesota 
 40.16  according to normal department payment schedules. 
 40.17     (25) Develop recommended standards for foster care homes 
 40.18  that address the components of specialized therapeutic services 
 40.19  to be provided by foster care homes with those services. 
 40.20     Sec. 4.  Minnesota Statutes 1998, section 256.011, 
 40.21  subdivision 3, is amended to read: 
 40.22     Subd. 3.  The commissioner of human services shall 
 40.23  negotiate with the federal government, or any agency, bureau, or 
 40.24  department thereof, for the purpose of securing or obtaining any 
 40.25  grants or aids.  Any grants or aids thus secured or received are 
 40.26  appropriated to the commissioner of human services and made 
 40.27  available for the uses and purposes for which they were received 
 40.28  but shall be used to reduce the direct appropriations provided 
 40.29  by law unless: 
 40.30     (1) federal law prohibits such action; 
 40.31     (2) the grants or aids are federal TANF funds; or unless 
 40.32     (3) the commissioner of human services obtains approval of 
 40.33  the governor who shall seek the advice of the legislative 
 40.34  advisory commission. 
 40.35     Sec. 5.  Minnesota Statutes 1998, section 256.995, 
 40.36  subdivision 1, is amended to read: 
 41.1      Subdivision 1.  [PROGRAM ESTABLISHED.] In order to enhance 
 41.2   the delivery of needed services to at-risk children and youth 
 41.3   and maximize federal funds, other than federal TANF funds, 
 41.4   available for that purpose, the commissioners of human services 
 41.5   and children, families, and learning shall design a statewide 
 41.6   program of collaboration between providers of health and social 
 41.7   services for children and local school districts, to be 
 41.8   financed, to the greatest extent possible, from federal 
 41.9   sources.  The commissioners of health and public safety shall 
 41.10  assist the commissioners of human services and children, 
 41.11  families, and learning in designing the program. 
 41.12     Sec. 6.  [256J.025] [TANF MAINTENANCE OF EFFORT.] 
 41.13     Subdivision 1.  [SOURCES OF STATE MONEY FOR TANF MOE.] In 
 41.14  order to meet the basic maintenance of effort (MOE) requirements 
 41.15  of the TANF block grant specified under United States Code, 
 41.16  title 42, section 609(a)(7), the commissioner may only report 
 41.17  state money appropriated for activities listed in the following 
 41.18  clauses as TANF MOE expenditures: 
 41.19     (1) MFIP cash assistance benefits under this chapter; 
 41.20     (2) MFIP child care assistance under section 119B.05; 
 41.21     (3) state, county, and tribal MFIP administrative costs 
 41.22  under this chapter; 
 41.23     (4) state, county, and tribal MFIP employment services 
 41.24  activities under sections 256J.62 to 256J.67 and 256J.69; and 
 41.25     (5) for fiscal years 2002 and 2003 only, allowable state 
 41.26  expenditures from the working family credit under section 
 41.27  290.0671 may be reported in amounts equal to the state share of 
 41.28  medical assistance costs that are attributable to the additional 
 41.29  cases estimated to result from section 256.741, subdivision 15. 
 41.30     Subd. 2.  [SUFFICIENT QUALIFIED STATE EXPENDITURES REQUIRED 
 41.31  ANNUALLY.] (a) The commissioner shall ensure that sufficient 
 41.32  qualified state expenditures are made each year to meet the 
 41.33  state's TANF MOE requirements.  If state money appropriated for 
 41.34  the programs and purposes listed in subdivision 1 are 
 41.35  insufficient to meet the state's TANF MOE requirements, the 
 41.36  commissioner shall recommend additional allowable sources of 
 42.1   state expenditures to the legislature, if the legislature is or 
 42.2   will be in session to take action to specify additional sources 
 42.3   of state money for TANF MOE before a federal penalty is 
 42.4   imposed.  The commissioner shall otherwise provide 
 42.5   recommendations to the legislative advisory commission under 
 42.6   section 3.3006. 
 42.7      (b) If the commissioner uses authority granted under Laws 
 42.8   1999, chapter 245, article 1, section 10, or similar authority 
 42.9   granted by a subsequent legislature, to meet the state's TANF 
 42.10  MOE requirements in a reporting period, the commissioner shall 
 42.11  inform the chairs of the appropriate legislative committees 
 42.12  about all transfers made under that authority for this purpose. 
 42.13     Sec. 7.  Minnesota Statutes 1998, section 256J.08, is 
 42.14  amended by adding a subdivision to read: 
 42.15     Subd. 84a.  [TANF MOE.] "TANF MOE" means the maintenance of 
 42.16  effort for the TANF block grant specified under United States 
 42.17  Code, title 42, section 609(a)(7). 
 42.18     Sec. 8.  Laws 1999, chapter 245, article 1, section 2, 
 42.19  subdivision 10, is amended to read: 
 42.20  Subd. 10.  Economic Support Grants
 42.21  General             142,037,000   124,758,000
 42.22  [GIFTS.] Notwithstanding Minnesota 
 42.23  Statutes, chapter 7, the commissioner 
 42.24  may accept on behalf of the state 
 42.25  additional funding from sources other 
 42.26  than state funds for the purpose of 
 42.27  financing the cost of assistance 
 42.28  program grants or nongrant 
 42.29  administration.  All additional funding 
 42.30  is appropriated to the commissioner for 
 42.31  use as designated by the grantee of 
 42.32  funding. 
 42.33  [CHILD SUPPORT PAYMENT CENTER 
 42.34  RECOUPMENT ACCOUNT.] The child support 
 42.35  payment center is authorized to 
 42.36  establish an account to cover checks 
 42.37  issued in error or in cases where 
 42.38  insufficient funds are available to pay 
 42.39  the checks.  All recoupments against 
 42.40  payments from the account must be 
 42.41  deposited in the child support payment 
 42.42  center recoupment account and are 
 42.43  appropriated to the commissioner for 
 42.44  the purposes of the account.  Any 
 42.45  unexpended balance in the account does 
 42.46  not cancel, but is available until 
 42.47  expended. 
 42.48  [FEDERAL TANF FUNDS.] (1) Federal 
 43.1   Temporary Assistance for Needy Families 
 43.2   block grant funds authorized under 
 43.3   title I, Public Law Number 104-193, the 
 43.4   Personal Responsibility and Work 
 43.5   Opportunity Reconciliation Act of 1996, 
 43.6   and awarded in federal fiscal years 
 43.7   1997 to 2002 are appropriated to the 
 43.8   commissioner in amounts up to 
 43.9   $256,265,000 is fiscal year 2000 and 
 43.10  $249,682,000 in fiscal year 2001.  In 
 43.11  addition to these funds, the 
 43.12  commissioner may draw or transfer any 
 43.13  other appropriations or transfers of 
 43.14  federal TANF block grant funds that are 
 43.15  enacted into state law. 
 43.16  (2) Of the amounts in clause (1), 
 43.17  $15,000,000 is transferred each year of 
 43.18  the biennium to the state's federal 
 43.19  Title XX block grant.  Notwithstanding 
 43.20  the provisions of Minnesota Statutes, 
 43.21  section 256E.07, in each year of the 
 43.22  biennium the commissioner shall 
 43.23  allocate $15,000,000 of the state's 
 43.24  Title XX block grant funds based on the 
 43.25  community social services aids formula 
 43.26  in Minnesota Statutes, section 
 43.27  256E.06.  The commissioner shall ensure 
 43.28  that money allocated to counties under 
 43.29  this provision is used according to the 
 43.30  requirements of United States Code, 
 43.31  title 42, section 604(d)(3)(B).  
 43.32  (3) Of the amounts in clause (1), 
 43.33  $10,990,000 is transferred each year 
 43.34  from the state's federal TANF block 
 43.35  grant to the state's federal Title XX 
 43.36  block grant.  In each year $140,000 is 
 43.37  for grants according to Minnesota 
 43.38  Statutes, section 257.3571, subdivision 
 43.39  2a, to the Indian child welfare defense 
 43.40  corporation to promote statewide 
 43.41  compliance with the Indian Child 
 43.42  Welfare Act of 1978; $4,650,000 is for 
 43.43  grants to counties for concurrent 
 43.44  permanency planning; and $6,200,000 is 
 43.45  for the commissioner to distribute 
 43.46  according to the formula in Minnesota 
 43.47  Statutes, section 256E.07.  The 
 43.48  commissioner shall ensure that money 
 43.49  allocated under this clause is used 
 43.50  according to the requirements of United 
 43.51  States Code, title 42, section 
 43.52  604(d)(3)(B).  In fiscal years 2002 and 
 43.53  2003, $140,000 per year is for grants 
 43.54  according to Minnesota Statutes, 
 43.55  section 257.3571, subdivision 2a, to 
 43.56  the Indian child welfare defense 
 43.57  corporation to promote statewide 
 43.58  compliance with the Indian Child 
 43.59  Welfare Act of 1978.  Section 13, 
 43.60  sunset of uncodified language, does not 
 43.61  apply to this provision. 
 43.62  (4) Of the amounts in clause (1), 
 43.63  $13,360,000 each year is for increased 
 43.64  employment and training efforts and 
 43.65  shall be expended as follows: 
 43.66  (a) $140,000 each year is for a grant 
 43.67  to the new chance program.  The new 
 44.1   chance program shall provide 
 44.2   comprehensive services through a 
 44.3   private, nonprofit agency to young 
 44.4   parents in Hennepin county who have 
 44.5   dropped out of school and are receiving 
 44.6   public assistance.  The program 
 44.7   administrator shall report annually to 
 44.8   the commissioner on skills development, 
 44.9   education, job training, and job 
 44.10  placement outcomes for program 
 44.11  participants.  This appropriation is 
 44.12  available for either year of the 
 44.13  biennium. 
 44.14  (b) $260,000 each year is for grants to 
 44.15  counties to operate the parents fair 
 44.16  share program to assist unemployed, 
 44.17  noncustodial parents with job search 
 44.18  and parenting skills. 
 44.19  (c) $12,960,000 each year is to 
 44.20  increase employment and training 
 44.21  services grants for MFIP of which 
 44.22  $750,000 each year is to be transferred 
 44.23  to the job skills partnership board for 
 44.24  the health care and human services 
 44.25  worker training and retention program. 
 44.26  (d) $10,400,000 of these appropriations 
 44.27  shall become part of the base for the 
 44.28  2002-2003 biennium. 
 44.29  (5) Of the amounts in clause (1), 
 44.30  $1,094,000 in fiscal year 2000 and 
 44.31  $1,676,000 in fiscal year 2001 is 
 44.32  transferred from the state's federal 
 44.33  TANF block grant to the state's federal 
 44.34  child care and development fund block 
 44.35  grant, and is appropriated to the 
 44.36  commissioner of children, families, and 
 44.37  learning for the purposes of Minnesota 
 44.38  Statutes, section 119B.05. 
 44.39  (6) Of the amounts in clause (1), 
 44.40  $1,000,000 for the biennium is for the 
 44.41  purposes of creating and expanding 
 44.42  adult-supervised supportive living 
 44.43  arrangement services under Minnesota 
 44.44  Statutes, section 256J.14.  The 
 44.45  commissioner shall request proposals 
 44.46  from interested parties that have 
 44.47  knowledge and experience in the area of 
 44.48  adult-supervised adolescent housing and 
 44.49  supportive services, and award grants 
 44.50  for the purpose of either expanding 
 44.51  existing or creating new living 
 44.52  arrangements and supportive services.  
 44.53  Minor parents who are MFIP participants 
 44.54  shall be given priority for housing, 
 44.55  and excess living arrangements may be 
 44.56  used by minor parents who are not MFIP 
 44.57  participants. 
 44.58  (7) In order to maximize transfers from 
 44.59  Minnesota's 1998 and 1999 federal TANF 
 44.60  block grant awards, the commissioner 
 44.61  may implement the transfers of TANF 
 44.62  funds in clauses (2), (3), and (5) in 
 44.63  the first year of the biennium.  This 
 44.64  must only be done to the extent allowed 
 44.65  by federal law and to the extent that 
 45.1   program funding requirements can be met 
 45.2   in the second year of the biennium. 
 45.3   (8) The commissioner shall ensure that 
 45.4   sufficient qualified state expenditures 
 45.5   are made each year to meet the TANF 
 45.6   basic maintenance of effort 
 45.7   requirements.  The commissioner may 
 45.8   apply any allowable source of state 
 45.9   expenditures toward these requirements, 
 45.10  as necessary to meet minimum basic 
 45.11  maintenance of effort requirements and 
 45.12  to prevent the loss of federal funds. 
 45.13  [WORKER TRAINING AND RETENTION 
 45.14  ELIGIBILITY PROCEDURES.] The 
 45.15  commissioner shall develop eligibility 
 45.16  procedures for TANF expenditures under 
 45.17  Minnesota Statutes, section 256J.02, 
 45.18  subdivision 2, clause (5). 
 45.19  The amounts that may be spent from this 
 45.20  appropriation for each purpose are as 
 45.21  follows: 
 45.22  (a) Assistance to Families Grants
 45.23  General              64,870,000    66,117,000
 45.24  [EMPLOYMENT SERVICES CARRYOVER.] 
 45.25  General fund and federal TANF block 
 45.26  grant appropriations for employment 
 45.27  services that remain unexpended 
 45.28  subsequent to the reallocation process 
 45.29  required in Minnesota Statutes, section 
 45.30  256J.62, do not cancel but are 
 45.31  available for these purposes in fiscal 
 45.32  year 2001. 
 45.33  (b) Work Grants              
 45.34  General              10,731,000    10,731,000
 45.35  (c) Aid to Families With     
 45.36  Dependent Children and Other
 45.37  Assistance
 45.38  General               1,053,000       374,000
 45.39  (d) Child Support Enforcement
 45.40  General               5,359,000     5,359,000
 45.41  [CHILD SUPPORT PAYMENT CENTER.] 
 45.42  Payments to the commissioner from other 
 45.43  governmental units, private 
 45.44  enterprises, and individuals for 
 45.45  services performed by the child support 
 45.46  payment center must be deposited in the 
 45.47  state systems account authorized under 
 45.48  Minnesota Statutes, section 256.014.  
 45.49  These payments are appropriated to the 
 45.50  commissioner for the operation of the 
 45.51  child support payment center or system, 
 45.52  according to Minnesota Statutes, 
 45.53  section 256.014. 
 45.54  [CHILD SUPPORT EXPEDITED PROCESS.] Of 
 45.55  this appropriation for child support 
 45.56  enforcement, $2,340,000 for the 
 45.57  biennium shall be transferred to the 
 46.1   state court administrator to fund the 
 46.2   child support expedited process, in 
 46.3   accordance with a cooperative agreement 
 46.4   to be negotiated between the parties.  
 46.5   State funds transferred for this 
 46.6   purpose in fiscal year 2000 may exceed 
 46.7   the base funding amount of $1,170,000 
 46.8   to the extent that there is an increase 
 46.9   in the number of orders issued in the 
 46.10  expedited process, but may not exceed 
 46.11  $1,420,000 in any case.  Unexpended 
 46.12  expedited process appropriations in 
 46.13  fiscal year 2000 may be transferred to 
 46.14  fiscal year 2001 for this purpose.  
 46.15  Base funding for this program is set at 
 46.16  $1,170,000 for each year of the 
 46.17  2002-2003 biennium.  The commissioner 
 46.18  shall include cost reimbursement claims 
 46.19  from the state court administrator for 
 46.20  the child support expedited process in 
 46.21  the department of human services 
 46.22  federal cost reimbursement claim 
 46.23  process according to federal law.  
 46.24  Federal dollars earned under these 
 46.25  claims are appropriated to the 
 46.26  commissioner and shall be disbursed to 
 46.27  the state court administrator according 
 46.28  to department procedures and schedules. 
 46.29  (e) General Assistance
 46.30  General              33,927,000    14,973,000
 46.31  [TRANSFERS FROM STATE TANF RESERVE.] 
 46.32  $4,666,000 in fiscal year 2000 is 
 46.33  transferred from the state TANF reserve 
 46.34  account to the general fund. 
 46.35  [GENERAL ASSISTANCE STANDARD.] The 
 46.36  commissioner shall set the monthly 
 46.37  standard of assistance for general 
 46.38  assistance units consisting of an adult 
 46.39  recipient who is childless and 
 46.40  unmarried or living apart from his or 
 46.41  her parents or a legal guardian at 
 46.42  $203.  The commissioner may reduce this 
 46.43  amount in accordance with Laws 1997, 
 46.44  chapter 85, article 3, section 54. 
 46.45  (f) Minnesota Supplemental Aid
 46.46  General              25,767,000    26,874,000
 46.47  (g) Refugee Services         
 46.48  General                 330,000       330,000
 46.49     Sec. 9.  [UPPER LIMIT ON TANF MAINTENANCE OF EFFORT 
 46.50  EXPENDITURES.] 
 46.51     Subdivision 1.  [STATE APPROPRIATIONS USED TO MEET TANF 
 46.52  MOE.] The amounts specified in this section apply to meeting the 
 46.53  TANF maintenance of effort requirement under Minnesota Statutes, 
 46.54  section 256J.025, and are for the fiscal years designated. 
 46.55     Subd. 2.  [HUMAN SERVICES EXPENDITURES LIMITED.] Of the 
 47.1   state appropriations made under Laws 1999, chapter 245, article 
 47.2   1, the commissioner of human services may only report up to the 
 47.3   following amounts as TANF maintenance of effort expenditures: 
 47.4      (1) MFIP cash assistance: 
 47.5        $91,307,000     .....     2000 
 47.6        $92,337,000     .....     2001 
 47.7      (2) MFIP administrative costs: 
 47.8        $28,759,000     .....     2000 
 47.9        $28,759,000     .....     2001 
 47.10     (3) MFIP employment services: 
 47.11       $ 6,722,000     .....     2000 
 47.12       $ 6,722,000     .....     2001 
 47.13     Subd. 3.  [CHILD CARE ASSISTANCE EXPENDITURES LIMITED.] Of 
 47.14  the state appropriations made under Laws 1999, chapter 205, 
 47.15  article 1, section 71, the commissioner of human services may 
 47.16  only report up to the following amounts as TANF maintenance of 
 47.17  effort expenditures: 
 47.18     (1) MFIP child care: 
 47.19       $64,350,000     .....     2000 
 47.20       $63,320,000     .....     2001 
 47.21     Sec. 10.  [EFFECTIVE DATE.] 
 47.22     Sections 1 to 9 are effective the day following final 
 47.23  enactment.