1.1                          A bill for an act 
  1.2             relating to human services; modifying disposition of 
  1.3             tobacco endowment fund; modifying rulemaking 
  1.4             authority; restricting use of family planning grant 
  1.5             funds; requiring certain information be provided 
  1.6             before abortions are performed; providing for guest 
  1.7             registration of dentists and dental hygenists; 
  1.8             modifying disposition of certain revenues; modifying 
  1.9             certain provisions for medical assistance, MFIP, 
  1.10            MinnesotaCare, and general assistance medical care; 
  1.11            modifying certain reimbursement rate provisions; 
  1.12            modifying certain managed care contract provisions; 
  1.13            providing civil penalties; appropriating money; 
  1.14            amending Minnesota Statutes 2000, sections 144.395, 
  1.15            subdivision 1, as amended; 144.417, subdivision 1; 
  1.16            150A.06, by adding a subdivision; 245.037; 246.18, 
  1.17            subdivisions 5, 6; 246.57, subdivisions 1, 5, 6; 
  1.18            256B.431, by adding a subdivision; 256B.69, 
  1.19            subdivision 5a, as amended; 256D.03, by adding a 
  1.20            subdivision; 256D.05, subdivision 1; 256D.06, 
  1.21            subdivision 2; 256J.48, subdivision 1; 256L.03, 
  1.22            subdivisions 3, 5; 256L.05, subdivision 3c; Minnesota 
  1.23            Statutes 2001 Supplement, sections 144.395, 
  1.24            subdivision 2; 256B.056, subdivisions 1a, 4; 256B.057, 
  1.25            subdivision 2; 256B.0635, subdivisions 1, 2; 256J.24, 
  1.26            subdivision 10; 256J.425, subdivisions 3, 4, 5; 
  1.27            256J.52, subdivision 2; 256J.53, subdivision 1; 
  1.28            256L.17, subdivision 2; proposing coding for new law 
  1.29            in Minnesota Statutes, chapter 145; repealing 
  1.30            Minnesota Statutes 2001 Supplement, section 256B.056, 
  1.31            subdivisions 1c, 3c. 
  1.32  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.33                             ARTICLE 1 
  1.34        INCOME ASSISTANCE, SOCIAL SERVICES, AND HEALTH CARE; 
  1.35                       CONSOLIDATION OF GAMC 
  1.36     Section 1.  Minnesota Statutes 2000, section 144.395, 
  1.37  subdivision 1, as amended by Laws 2002, chapter 220, article 13, 
  1.38  section 6, is amended to read: 
  2.1      Subdivision 1.  [CREATION.] (a) The tobacco use prevention 
  2.2   and local public health endowment fund is created in the state 
  2.3   treasury.  The state board of investment shall invest the fund 
  2.4   under section 11A.24.  All earnings of the fund must be credited 
  2.5   to the fund.  The principal of the fund must be maintained 
  2.6   inviolate, except that: 
  2.7      (1) the principal may be used to make expenditures from the 
  2.8   fund for the purposes specified in this section when the market 
  2.9   value of the fund falls below 105 percent of the cumulative 
  2.10  total of the tobacco settlement payments received by the state 
  2.11  and credited to the tobacco settlement fund under section 
  2.12  16A.87, subdivision 2; and 
  2.13     (2) on June 30, 2002, $325,000,000 of the principal shall 
  2.14  be transferred to the general fund.  
  2.15  For purposes of this section, "principal" means an amount equal 
  2.16  to the cumulative total of the tobacco settlement payments 
  2.17  received by the state and credited to the tobacco settlement 
  2.18  fund under section 16A.87, subdivision 2.  
  2.19     (b) If the commissioner of finance determines that probable 
  2.20  receipts to the general fund will not be sufficient to meet the 
  2.21  need for expenditures from the general fund for a fiscal 
  2.22  biennium, the commissioner may use cash reserves of the tobacco 
  2.23  use prevention and local public health endowment fund to pay 
  2.24  expenses of the general fund.  If cash reserves are transferred 
  2.25  to the general fund to meet cash flow needs, the cash flow 
  2.26  transfers must be returned to the endowment fund as soon as 
  2.27  sufficient cash balances are available in the general fund, but 
  2.28  in any event before the end of the fiscal biennium.  Any 
  2.29  interest earned on cash flow transfers from the endowment fund 
  2.30  accrues to the endowment fund and not to the general fund. 
  2.31     <b>[EFFECTIVE DATE.]</b> This section is effective June 30, 2002. 
  2.32     Sec. 2.  Minnesota Statutes 2001 Supplement, section 
  2.33  144.395, subdivision 2, is amended to read: 
  2.34     Subd. 2.  [EXPENDITURES.] (a) Up to five percent of the 
  2.35  fair market value of the fund on the preceding July 1, must be 
  2.36  spent to reduce the human and economic consequences of tobacco 
  3.1   use among the youth of this state through state and local 
  3.2   tobacco prevention measures and efforts, and for other public 
  3.4   health initiatives.  In fiscal year 2003 only, fair market value 
  3.5   means the value of the fund on the preceding July 1 minus 
  3.6   $325,000,000.  
  3.7      (b) Notwithstanding paragraph (a), on January 1, 2000, up 
  3.8   to five percent of the fair market value of the fund is 
  3.9   appropriated to the commissioner of health to distribute as 
  3.10  grants under section 144.396, subdivisions 5 and 6, in 
  3.11  accordance with allocations in paragraph (c), clauses (1) and 
  3.12  (2).  Up to $200,000 of this appropriation is available to the 
  3.13  commissioner to conduct the statewide assessments described in 
  3.14  section 144.396, subdivision 3. 
  3.15     (c) Beginning July 1, 2000, and on July 1 of each year 
  3.16  thereafter, the money in paragraph (a) is appropriated as 
  3.17  follows, except as provided in paragraphs (d) and (e):  
  3.18     (1) 67 15.0 percent to the commissioner of health to 
  3.19  distribute as grants under section 144.396, subdivision 5, to 
  3.20  fund statewide tobacco use prevention initiatives aimed at 
  3.21  youth; 
  3.22     (2) 16.5 42.5 percent to the commissioner of health to 
  3.23  distribute as grants under section 144.396, subdivision 6, to 
  3.24  fund local public health initiatives aimed at tobacco use 
  3.25  prevention in coordination with other local health-related 
  3.26  efforts to achieve measurable improvements in health among 
  3.27  youth; and 
  3.28     (3) 16.5 42.5 percent to the commissioner of health to 
  3.29  distribute in accordance with section 144.396, subdivision 7.  
  3.30     (d) A maximum of $150,000 of each annual appropriation to 
  3.31  the commissioner of health in paragraphs (b) and (c) may be used 
  3.32  by the commissioner for administrative expenses associated with 
  3.33  implementing this section. 
  3.34     (e) Beginning July 1, 2001, $1,250,000 of each annual 
  3.35  appropriation to the commissioner under paragraph (c), clause 
  3.36  (1), may be used to provide base level funding for the 
  3.37  commissioner's tobacco prevention and control programs and 
  4.1   activities.  This appropriation must occur before any other 
  4.2   appropriation under this subdivision. 
  4.3      <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2002. 
  4.4      Sec. 3.  Minnesota Statutes 2000, section 144.417, 
  4.5   subdivision 1, is amended to read: 
  4.6      Subdivision 1.  [RULES.] (a) The state commissioner of 
  4.7   health shall adopt rules necessary and reasonable to implement 
  4.8   the provisions of sections 144.411 to 144.417, except as 
  4.9   provided for in section 144.414.  
  4.10     (b) Rules implementing sections 144.411 to 144.417 adopted 
  4.11  after January 1, 2002, may not take effect until approved by a 
  4.12  law enacted after January 1, 2002.  This paragraph does not 
  4.13  apply to a rule or severable portion of a rule governing smoking 
  4.14  in office buildings, factories, warehouses, or similar places of 
  4.15  work, or in health care facilities.  This paragraph does not 
  4.16  apply to a rule changing the definition of "restaurant" to make 
  4.17  it the same as the definition in section 157.15, subdivision 12. 
  4.18     <b>[EFFECTIVE DATE.]</b> This section is effective the day 
  4.19  following final enactment. 
  4.20     Sec. 4.  [145.417] [FAMILY PLANNING GRANT FUNDS NOT USED TO 
  4.21  SUBSIDIZE ABORTION SERVICES.] 
  4.22     Subdivision 1.  [DEFINITIONS.] (a) For purposes of this 
  4.23  section, the following definitions apply. 
  4.24     (b) "Abortion" means the use or prescription of any 
  4.25  instrument, medicine, drug, or any other substance or device to 
  4.26  intentionally terminate the pregnancy of a female known to be 
  4.27  pregnant, with an intention other than to prevent the death of 
  4.28  the female, increase the probability of a live birth, preserve 
  4.29  the life or health of the child after live birth, or remove a 
  4.30  dead fetus. 
  4.31     (c) "Family planning grant funds" means funds distributed 
  4.32  through the maternal and child health block grant program under 
  4.33  sections 145.881 to 145.889, the family planning special 
  4.34  projects grant program under section 145.925, the program to 
  4.35  eliminate health disparities under section 145.928, or any other 
  4.36  state grant program whose funds are or may be used to fund 
  5.1   family planning services. 
  5.2      (d) "Family planning services" means preconception services 
  5.3   that limit or enhance fertility, including methods of 
  5.4   contraception, the management of infertility, preconception 
  5.5   counseling, education, and general reproductive health care. 
  5.6      (e) "Nondirective counseling" means providing patients with:
  5.7      (1) a list of health care providers and social service 
  5.8   providers that provide prenatal care, childbirth care, infant 
  5.9   care, foster care, adoption services, alternatives to abortion, 
  5.10  or abortion services; and 
  5.11     (2) nondirective, nonmarketing information regarding such 
  5.12  providers. 
  5.13     (f) "Public advocacy" means engaging in one or more of the 
  5.14  following: 
  5.15     (1) regularly engaging in efforts to encourage the passage 
  5.16  or defeat of legislation pertaining to the continued or expanded 
  5.17  availability of abortion; 
  5.18     (2) publicly endorsing or recommending the election or 
  5.19  defeat of a candidate for public office based on the candidate's 
  5.20  position on the legality of abortion; or 
  5.21     (3) engaging in civil litigation against a unit of 
  5.22  government as a plaintiff seeking to enjoin or otherwise 
  5.23  prohibit enforcement of a statute, ordinance, rule, or 
  5.24  regulation pertaining to abortion. 
  5.25     Subd. 2.  [USES OF FAMILY PLANNING GRANT FUNDS.] No family 
  5.26  planning grant funds may be: 
  5.27     (1) expended to directly or indirectly subsidize abortion 
  5.28  services or administrative expenses; 
  5.29     (2) paid or granted to an organization or an affiliate of 
  5.30  an organization that provides abortion services, unless the 
  5.31  affiliate is independent as provided in subdivision 4; or 
  5.32     (3) paid or granted to an organization that has adopted or 
  5.33  maintains a policy in writing or through oral public statements 
  5.34  that abortion is considered part of a continuum of family 
  5.35  planning services, reproductive health services, or both. 
  5.36     Subd. 3.  [ORGANIZATIONS RECEIVING FAMILY PLANNING GRANT 
  6.1   FUNDS.] An organization that receives family planning grant 
  6.2   funds:  
  6.3      (1) may provide nondirective counseling relating to 
  6.4   pregnancy but may not directly refer patients who seek abortion 
  6.5   services to any organization that provides abortion services, 
  6.6   including an independent affiliate of the organization receiving 
  6.7   family planning grant funds.  For purposes of this clause, an 
  6.8   affiliate is independent if it satisfies the criteria in 
  6.9   subdivision 4, paragraph (a); 
  6.10     (2) may not display or distribute marketing materials about 
  6.11  abortion services to patients; 
  6.12     (3) may not engage in public advocacy promoting the 
  6.13  legality or accessibility of abortion; and 
  6.14     (4) must be separately incorporated from any affiliated 
  6.15  organization that provides abortion services. 
  6.16     Subd. 4.  [INDEPENDENT AFFILIATES THAT PROVIDE ABORTION 
  6.17  SERVICES.] (a) To ensure that the state does not lend its 
  6.18  imprimatur to abortion services and to ensure that an 
  6.19  organization that provides abortion services does not receive a 
  6.20  direct or indirect economic or marketing benefit from family 
  6.21  planning grant funds, an organization that receives family 
  6.22  planning grant funds may not be affiliated with an organization 
  6.23  that provides abortion services unless the organizations are 
  6.24  independent from each other.  To be independent, the 
  6.25  organizations may not share any of the following: 
  6.26     (1) the same or a similar name; 
  6.27     (2) medical facilities or nonmedical facilities, including 
  6.28  but not limited to, business offices, treatment rooms, 
  6.29  consultation rooms, examination rooms, and waiting rooms; 
  6.30     (3) expenses; 
  6.31     (4) employee wages or salaries; or 
  6.32     (5) equipment or supplies, including but not limited to, 
  6.33  computers, telephone systems, telecommunications equipment, and 
  6.34  office supplies. 
  6.35     (b) An organization that receives family planning grant 
  6.36  funds and that is affiliated with an organization that provides 
  7.1   abortion services must maintain financial records that 
  7.2   demonstrate strict compliance with this subdivision and that 
  7.3   demonstrate that its independent affiliate that provides 
  7.4   abortion services receives no direct or indirect economic or 
  7.5   marketing benefit from the family planning grant funds. 
  7.6      Subd. 5.  [INDEPENDENT AUDIT.] When an organization applies 
  7.7   for family planning grant funds, the organization must submit 
  7.8   with the grant application a copy of the organization's most 
  7.9   recent independent audit to ensure the organization is in 
  7.10  compliance with this section.  The independent audit must have 
  7.11  been conducted no more than two years before the organization 
  7.12  submits its grant application. 
  7.13     Subd. 6.  [ORGANIZATIONS RECEIVING TITLE X FUNDS.] Nothing 
  7.14  in this section requires an organization that receives federal 
  7.15  funds under title X of the Public Health Service Act to refrain 
  7.16  from performing any service that is required to be provided as a 
  7.17  condition of receiving title X funds, as specified by the 
  7.18  provisions of title X or the title X program guidelines for 
  7.19  project grants for family planning services published by the 
  7.20  United States Department of Health and Human Services. 
  7.21     Subd. 7.  [SEVERABILITY.] If any one or more provision, 
  7.22  word, phrase, clause, sentence, or subdivision of this section, 
  7.23  or the application to any person or circumstance, is found to be 
  7.24  unconstitutional, it is declared to be severable and the balance 
  7.25  of this section shall remain effective notwithstanding such 
  7.26  unconstitutionality.  The legislature hereby declares that it 
  7.27  would have passed this section, and each provision, word, 
  7.28  phrase, clause, sentence, or subdivision of it, regardless of 
  7.29  the fact that any one or more provision, word, phrase, clause, 
  7.30  sentence, or subdivision be declared unconstitutional.  
  7.31     Sec. 5.  [145.4241] [DEFINITIONS.] 
  7.32     Subdivision 1.  [APPLICABILITY.] As used in sections 
  7.33  145.4241 to 145.4246, the following terms have the meaning given 
  7.34  them. 
  7.35     Subd. 2.  [ABORTION.] "Abortion" includes an act, 
  7.36  procedure, or use of any instrument, medicine, or drug which is 
  8.1   supplied or prescribed for or administered to a woman known to 
  8.2   be pregnant with the intention to terminate the pregnancy with 
  8.3   an intention other than to increase the probability of live 
  8.4   birth, to preserve the life or health of the child after live 
  8.5   birth, or to remove a dead fetus. 
  8.6      Subd. 3.  [ATTEMPT TO PERFORM AN ABORTION.] "Attempt to 
  8.7   perform an abortion" means an act, or an omission of a 
  8.8   statutorily required act, that, under the circumstances as the 
  8.9   actor believes them to be, constitutes a substantial step in a 
  8.10  course of conduct planned to culminate in the performance of an 
  8.11  abortion in Minnesota in violation of sections 145.4241 to 
  8.12  145.4246. 
  8.13     Subd. 4.  [MEDICAL EMERGENCY.] "Medical emergency" means 
  8.14  any condition that, on the basis of the physician's good faith 
  8.15  clinical judgment, complicates the medical condition of a 
  8.16  pregnant female to the extent that: 
  8.17     (1) an immediate abortion of her pregnancy is necessary to 
  8.18  avert her death; or 
  8.19     (2) a 24-hour delay in performing an abortion creates a 
  8.20  serious risk of substantial injury or impairment of a major 
  8.21  bodily function. 
  8.22     Subd. 5.  [PHYSICIAN.] "Physician" means a person licensed 
  8.23  under chapter 147. 
  8.24     Subd. 6.  [PROBABLE GESTATIONAL AGE OF THE FETUS.] 
  8.25  "Probable gestational age of the fetus" means what will, in the 
  8.26  judgment of the physician, with reasonable probability, be the 
  8.27  gestational age of the fetus at the time the abortion is planned 
  8.28  to be performed. 
  8.29     Sec. 6.  [145.4242] [INFORMED CONSENT.] 
  8.30     (a) No abortion shall be performed in this state except 
  8.31  with the voluntary and informed consent of the female upon whom 
  8.32  the abortion is to be performed.  Except in the case of a 
  8.33  medical emergency, consent to an abortion is voluntary and 
  8.34  informed only if the female is told the following, by telephone 
  8.35  or in person, by the physician who is to perform the abortion, 
  8.36  the referring physician, a registered nurse, or a licensed 
  9.1   practical nurse, at least 24 hours prior to the abortion: 
  9.2      (1) the particular medical risks associated with the 
  9.3   particular abortion procedure to be employed including, when 
  9.4   medically accurate, the risks of infection, hemorrhage, breast 
  9.5   cancer, danger to subsequent pregnancies, and infertility; 
  9.6      (2) the probable gestational age of the fetus at the time 
  9.7   the abortion is to be performed; 
  9.8      (3) the medical risks associated with carrying to term; 
  9.9      (4) that medical assistance benefits may be available for 
  9.10  prenatal care, childbirth, and neonatal care; 
  9.11     (5) that the father is liable to assist in the support of 
  9.12  her child, even in instances when the father has offered to pay 
  9.13  for the abortion; 
  9.14     (6) the availability of a toll-free telephone number and 
  9.15  Web site that can provide information on support services during 
  9.16  pregnancy and while the child is dependent and offer 
  9.17  alternatives to abortion; and 
  9.18     (7) that she has the right to review the printed materials 
  9.19  described in section 145.4243, and the printed materials are 
  9.20  available on the state Web site.  
  9.21     (b) The physician or the physician's agent shall orally 
  9.22  inform the female that the materials have been provided by the 
  9.23  state of Minnesota and that they describe the unborn child and 
  9.24  list agencies that offer alternatives to abortion. 
  9.25     (c) The physician or the physician's agent shall orally 
  9.26  inform the female of the Web site address and toll-free 
  9.27  telephone number. 
  9.28     (d) If the female chooses to view the materials, they shall 
  9.29  either be given to her at least 24 hours before the abortion or 
  9.30  mailed to her at least 72 hours before the abortion by first 
  9.31  class mail, or at the woman's request, by certified mail, 
  9.32  restricted delivery to addressee, which means the postal 
  9.33  employee may only deliver the mail to the addressee.  The 
  9.34  envelope used by the physician shall not identify the name of 
  9.35  the physician or the physician's clinic or business. 
  9.36     (e) If a physical examination, tests, or the availability 
 10.1   of other information to the physician subsequently indicates, in 
 10.2   the medical judgment of the physician, a revision of the 
 10.3   information previously supplied to the patient, that revised 
 10.4   information may be communicated to the patient at any time prior 
 10.5   to the performance of the abortion. 
 10.6      Sec. 7.  [145.4243] [PRINTED INFORMATION.] 
 10.7      Subdivision 1.  [MATERIALS.] (a) Within 90 days after the 
 10.8   effective date of sections 145.4241 to 145.4246, the department 
 10.9   of health shall cause to be published, in English and in each 
 10.10  language that is the primary language of two percent or more of 
 10.11  the state's population, the printed materials described in 
 10.12  paragraphs (b) and (c) in such a way as to ensure that the 
 10.13  information is easily comprehensible. 
 10.14     (b) The materials must be designed to inform the female of 
 10.15  the probable anatomical and physiological characteristics of the 
 10.16  fetus at two-week gestational increments from the time when a 
 10.17  female can be known to be pregnant to full term, including any 
 10.18  relevant information on the possibility of the fetus's survival 
 10.19  and pictures or drawings representing the development of the 
 10.20  fetus at two-week gestational increments, provided that any such 
 10.21  pictures or drawings must contain the dimensions of the fetus 
 10.22  and must be realistic and appropriate for the stage of pregnancy 
 10.23  depicted.  The materials must be objective, nonjudgmental, and 
 10.24  designed to convey only accurate scientific information about 
 10.25  the fetus at the various gestational ages. 
 10.26     (c) The materials must contain objective information 
 10.27  describing the methods of abortion procedures commonly employed, 
 10.28  the medical risks commonly associated with each procedure, the 
 10.29  possible detrimental psychological effects of abortion, and the 
 10.30  medical risks commonly associated with carrying a child to term. 
 10.31     Subd. 2.  [TYPEFACE; AVAILABILITY.] The materials referred 
 10.32  to in this section must be printed in a typeface large enough to 
 10.33  be clearly legible.  The materials required under this section 
 10.34  must be available from the department of health upon request and 
 10.35  in appropriate number to any person, facility, or hospital at no 
 10.36  cost. 
 11.1      Sec. 8.  [145.4244] [PROCEDURE IN CASE OF MEDICAL 
 11.2   EMERGENCY.] 
 11.3      When a medical emergency compels the performance of an 
 11.4   abortion, the physician shall inform the female, prior to the 
 11.5   abortion if possible, of the medical indications supporting the 
 11.6   physician's judgment that an abortion is necessary to avert her 
 11.7   death or that a 24-hour delay in conformance with section 
 11.8   145.4242 creates a serious risk of substantial injury or 
 11.9   impairment of a major bodily function. 
 11.10     Sec. 9.  [145.4245] [TOLL-FREE TELEPHONE NUMBER AND WEB 
 11.11  SITE.] 
 11.12     Subdivision 1.  [RIGHT TO KNOW.] All pregnant women have 
 11.13  the right to know information about resources available to 
 11.14  assist them and their families.  The commissioner of health 
 11.15  shall establish and maintain a statewide toll-free telephone 
 11.16  number available seven days a week to provide information and 
 11.17  referrals to local community resources to assist women and 
 11.18  families through pregnancy and childbirth and while the child is 
 11.19  dependent. 
 11.20     Subd. 2.  [INFORMATION.] The toll-free telephone number 
 11.21  must provide information regarding community resources on the 
 11.22  following topics: 
 11.23     (1) information regarding avoiding unplanned pregnancies; 
 11.24     (2) prenatal care, including the need for an initial risk 
 11.25  screening and assessment; 
 11.26     (3) adoption; 
 11.27     (4) health education, including the importance of good 
 11.28  nutrition during pregnancy and the risks associated with alcohol 
 11.29  and tobacco use during pregnancy; 
 11.30     (5) available social services, including medical assistance 
 11.31  benefits for prenatal care, childbirth, and neonatal care; 
 11.32     (6) legal assistance in obtaining child support; and 
 11.33     (7) community support services and other resources to 
 11.34  enhance family strengths and reduce the possibility of family 
 11.35  violence. 
 11.36     Subd. 3.  [WEB SITE.] The commissioner shall design and 
 12.1   maintain a secure Web site to provide the information described 
 12.2   under subdivision 2 and section 145.4243 with a minimum 
 12.3   resolution of 72 PPI.  The Web site shall provide the toll-free 
 12.4   information and referral telephone number described under 
 12.5   subdivision 2. 
 12.6      Sec. 10.  [145.4246] [ENFORCEMENT PENALTIES.] 
 12.7      Subdivision 1.  [STANDING.] A person with standing may 
 12.8   maintain an action against the performance or attempted 
 12.9   performance of abortions in violation of section 145.4242.  
 12.10  Those with standing are: 
 12.11     (1) a woman upon whom an abortion in violation of section 
 12.12  145.4242 has been performed or attempted to be performed; 
 12.13     (2) the parent of an unemancipated minor upon whom an 
 12.14  abortion in violation of section 145.4242 has been, is about to 
 12.15  be, or was attempted to be performed; and 
 12.16     (3) the attorney general of the state of Minnesota. 
 12.17     Subd. 2.  [INJUNCTIONS.] Parties bringing actions against 
 12.18  the performance or attempted performance of abortions in 
 12.19  violation of section 145.4242 may seek temporary restraining 
 12.20  orders, preliminary injunctions, and injunctions related only to 
 12.21  the physician or facility where the violation occurred in 
 12.22  accordance with the Rules of Civil Procedure.  Persons with 
 12.23  standing must bring any actions within six months of the date of 
 12.24  the performed or attempted performance of abortions in violation 
 12.25  of section 145.4242.  
 12.26     Subd. 3.  [CONTEMPT.] Any person knowingly violating the 
 12.27  terms of an injunction against the performance or attempted 
 12.28  performance of abortions in violation of section 145.4242 is 
 12.29  subject to civil contempt, and shall be fined no more than 
 12.30  $1,000 for the first violation, no more than $5,000 for the 
 12.31  second violation, no more than $10,000 for the third violation, 
 12.32  and for each successive violation an amount sufficient to deter 
 12.33  future violations.  The fine shall be the exclusive penalty for 
 12.34  a violation.  Each performance or attempted performance of 
 12.35  abortion in violation of section 145.4242 is a separate 
 12.36  violation.  No fine shall be assessed against the woman on whom 
 13.1   an abortion is performed or attempted. 
 13.2      Subd. 4.  [REALLOCATION OF THE FINE.] Any fines collected 
 13.3   under this section must be sent to a special account at the 
 13.4   Minnesota department of health to be used for materials cited in 
 13.5   section 145.4243. 
 13.6      Sec. 11.  [145.4247] [CUMULATIVE RIGHTS.] 
 13.7      Sections 145.4241 to 145.4246 are cumulative with existing 
 13.8   law regarding an individual's right to consent to medical 
 13.9   treatment and shall not impair any existing right any patient 
 13.10  may have under the common law or statutes of this state.  
 13.11     Sec. 12.  Minnesota Statutes 2000, section 150A.06, is 
 13.12  amended by adding a subdivision to read: 
 13.13     Subd. 2c.  [GUEST LICENSE OR REGISTRATION.] (a) The board 
 13.14  shall grant a guest license to practice as a dentist or dental 
 13.15  hygienist or a guest registration to practice as a dental 
 13.16  assistant if the following conditions are met: 
 13.17     (1) the dentist, dental hygienist, or dental assistant is 
 13.18  currently licensed or registered in good standing in North 
 13.19  Dakota, South Dakota, Iowa, or Wisconsin; 
 13.20     (2) the dentist, dental hygienist, or dental assistant is 
 13.21  currently engaged in the practice of that person's respective 
 13.22  profession in North Dakota, South Dakota, Iowa, or Wisconsin; 
 13.23     (3) the dentist, dental hygienist, or dental assistant is 
 13.24  seeking to practice in a public health setting in Minnesota that 
 13.25  (i) is approved by the board; (ii) was established by a 
 13.26  nonprofit organization that is tax exempt under chapter 
 13.27  501(c)(3) of the Internal Revenue Code of 1986; and (iii) 
 13.28  provides dental care to patients who have difficulty accessing 
 13.29  dental care; 
 13.30     (4) the dentist, dental hygienist, or dental assistant 
 13.31  agrees to treat indigent patients who meet the eligibility 
 13.32  criteria established by the clinic; and 
 13.33     (5) the dentist, dental hygienist, or dental assistant has 
 13.34  applied to the board for a guest license or registration, 
 13.35  providing evidence of being currently licensed or registered in 
 13.36  good standing in North Dakota, South Dakota, Iowa, or Wisconsin, 
 14.1   and has paid a nonrefundable license fee to the board of $50. 
 14.2      (b) A dentist, dental hygienist, or dental assistant 
 14.3   practicing under a guest license or registration may only 
 14.4   practice at a single, specific location in Minnesota.  A guest 
 14.5   license or registration must be renewed annually with the board 
 14.6   and an annual renewal fee of $50 must be paid to the board.  If 
 14.7   the clinic in Minnesota at which a dentist, dental hygienist, or 
 14.8   dental assistant seeks to practice permanently ceases operation, 
 14.9   the guest license or registration issued under this subdivision 
 14.10  is automatically revoked. 
 14.11     (c) A dentist, dental hygienist, or dental assistant 
 14.12  practicing under a guest license or registration under this 
 14.13  subdivision shall have the same obligations as a dentist, dental 
 14.14  hygienist, or dental assistant who is licensed in Minnesota and 
 14.15  shall be subject to the laws and rules of Minnesota and the 
 14.16  regulatory authority of the board.  If the board suspends or 
 14.17  revokes the guest license or registration of, or otherwise 
 14.18  disciplines, a dentist, dental hygienist, or dental assistant 
 14.19  practicing under this subdivision, the board shall promptly 
 14.20  report such disciplinary action to the dentist's, dental 
 14.21  hygienist's, or dental assistant's regulatory board in the 
 14.22  border state. 
 14.23     <b>[EFFECTIVE DATE.]</b> This section is effective the day 
 14.24  following final enactment. 
 14.25     Sec. 13.  Minnesota Statutes 2000, section 245.037, is 
 14.26  amended to read: 
 14.27     245.037 [LEASES FOR REGIONAL TREATMENT CENTER AND STATE 
 14.28  NURSING HOME PROPERTY.] 
 14.29     Notwithstanding any law to the contrary, After June 30, 
 14.30  2002, money collected as rent under section 16B.24, subdivision 
 14.31  5, for state property at any of the regional treatment centers 
 14.32  or state nursing home facilities administered by the 
 14.33  commissioner of human services is dedicated to the regional 
 14.34  treatment center or state nursing home from which it is 
 14.35  generated.  Any balance remaining at the end of the fiscal year 
 14.36  shall not cancel and is available until expended shall be 
 15.1   deposited in the general fund. 
 15.2      Sec. 14.  Minnesota Statutes 2000, section 246.18, 
 15.3   subdivision 5, is amended to read: 
 15.4      Subd. 5.  [FUNDED DEPRECIATION ACCOUNTS PAYMENTS FOR 
 15.5   STATE-OPERATED, COMMUNITY-BASED PROGRAMS.] Separate 
 15.6   interest-bearing funded depreciation accounts shall be 
 15.7   established in the state treasury for state-operated, 
 15.8   community-based programs meeting the definition of a facility in 
 15.9   Minnesota Rules, part 9553.0020, subpart 19, or a vendor in 
 15.10  section 252.41, subdivision 9.  After June 30, 2002, as payments 
 15.11  for state-operated community-based services are received by the 
 15.12  commissioner, the portion of the payment rate representing 
 15.13  allowable depreciation expense and the capital debt reduction 
 15.14  allowance shall be deposited in the state treasury and credited 
 15.15  to the separate interest-bearing accounts as dedicated receipts 
 15.16  with unused funds carried over to the next fiscal year.  Funds 
 15.17  within these funded depreciation accounts are appropriated to 
 15.18  the commissioner of human services for the purchase or 
 15.19  replacement of capital assets or payment of capitalized repairs 
 15.20  for each respective program.  These accounts will satisfy the 
 15.21  requirements of Minnesota Rules, part 9553.0060, subparts 1, 
 15.22  item E, and 5 general fund.  
 15.23     Sec. 15.  Minnesota Statutes 2000, section 246.18, 
 15.24  subdivision 6, is amended to read: 
 15.25     Subd. 6.  [COLLECTIONS DEDICATED.] (a) Except for 
 15.26  state-operated programs funded through a direct appropriation 
 15.27  from the legislature, any state-operated program or service 
 15.28  established and operated as an enterprise activity shall retain 
 15.29  the revenues earned in an interest-bearing account. 
 15.30     (b) When the commissioner determines the intent to 
 15.31  transition from a direct appropriation to enterprise activity 
 15.32  for which the commissioner has authority, all collections for 
 15.33  the targeted state-operated service shall be retained and 
 15.34  deposited into an interest-bearing account.  At the end of the 
 15.35  fiscal year, prior to establishing the enterprise activity, 
 15.36  collections up to the amount of the appropriation for the 
 16.1   targeted service shall be deposited to the general fund.  All 
 16.2   funds in excess of the amount of the appropriation will be 
 16.3   retained and used by the enterprise activity for cash flow 
 16.4   purposes. 
 16.5      (c) These funds must be deposited in the state treasury in 
 16.6   a revolving account and funds in the revolving account are 
 16.7   appropriated to the commissioner to operate the services 
 16.8   authorized, and any unexpended balances do not cancel but are 
 16.9   available until spent. 
 16.10     (d) Notwithstanding paragraphs (a), (b), and (c), after 
 16.11  June 30, 2002, all proceeds raised under this subdivision that 
 16.12  otherwise would have been deposited into accounts in the special 
 16.13  revenue fund shall be deposited in the general fund. 
 16.14     Sec. 16.  Minnesota Statutes 2000, section 246.57, 
 16.15  subdivision 1, is amended to read: 
 16.16     Subdivision 1.  [AUTHORIZED.] The commissioner of human 
 16.17  services may authorize any state facility operated under the 
 16.18  authority of the commissioner to enter into agreement with other 
 16.19  governmental entities and both nonprofit and for-profit 
 16.20  organizations for participation in shared service agreements 
 16.21  that would be of mutual benefit to the state, other governmental 
 16.22  entities and organizations involved, and the public.  
 16.23  Notwithstanding section 16C.05, subdivision 2, the commissioner 
 16.24  of human services may delegate the execution of shared services 
 16.25  contracts to the chief executive officers of the regional 
 16.26  centers or state operated nursing homes.  No additional 
 16.27  employees shall be added to the legislatively approved 
 16.28  complement for any regional center or state nursing home as a 
 16.29  result of entering into any shared service agreement.  However, 
 16.30  positions funded by a shared service agreement may be authorized 
 16.31  by the commissioner of finance for the duration of the shared 
 16.32  service agreement.  The charges for the services shall be on an 
 16.33  actual cost basis.  After June 30, 2002, all receipts for shared 
 16.34  services may be retained by the regional treatment center or 
 16.35  state-operated nursing home that provided the services, in 
 16.36  addition to other funding the regional treatment center or 
 17.1   state-operated nursing home receives shall be deposited in the 
 17.2   general fund. 
 17.3      Sec. 17.  Minnesota Statutes 2000, section 246.57, 
 17.4   subdivision 5, is amended to read: 
 17.5      Subd. 5.  [LAUNDRY EQUIPMENT.] The commissioner of human 
 17.6   services may provide for the replacement of laundry equipment by 
 17.7   including a charge for depreciation as part of the service costs 
 17.8   charged by a regional treatment center operating a laundry 
 17.9   service.  After June 30, 2002, receipts for laundry services 
 17.10  attributable to depreciation of laundry equipment must be 
 17.11  deposited in a laundry equipment depreciation account within the 
 17.12  general fund.  All money deposited in the account is 
 17.13  appropriated to the commissioner of human services for the 
 17.14  replacement of laundry equipment.  Any balance remaining in the 
 17.15  account at the end of a fiscal year does not cancel and is 
 17.16  available until expended. 
 17.17     Sec. 18.  Minnesota Statutes 2000, section 246.57, 
 17.18  subdivision 6, is amended to read: 
 17.19     Subd. 6.  [DENTAL SERVICES.] The commissioner of human 
 17.20  services shall authorize any regional treatment center or 
 17.21  state-operated nursing home under the commissioner's authority 
 17.22  to provide dental services to disabled persons who are eligible 
 17.23  for medical assistance and are not residing at the regional 
 17.24  treatment center or state-operated nursing home, provided that 
 17.25  the reimbursement received for these services is sufficient to 
 17.26  cover actual costs.  To provide these services, regional 
 17.27  treatment centers and state-operated nursing homes may 
 17.28  participate under contract with health networks in their service 
 17.29  area.  Notwithstanding section 16C.05, subdivision 2, the 
 17.30  commissioner of human services may delegate the execution of 
 17.31  these dental services contracts to the chief executive officers 
 17.32  of the regional centers or state-operated nursing homes.  After 
 17.33  June 30, 2002, all receipts for these dental services shall 
 17.34  be retained by the regional treatment center or state-operated 
 17.35  nursing home that provides the services and shall be in addition 
 17.36  to other funding the regional treatment center or state-operated 
 18.1   nursing home receives deposited in the general fund. 
 18.2      Sec. 19.  Minnesota Statutes 2001 Supplement, section 
 18.3   256B.056, subdivision 1a, is amended to read: 
 18.4      Subd. 1a.  [INCOME AND ASSETS GENERALLY.] Unless 
 18.5   specifically required by state law or rule or federal law or 
 18.6   regulation, the methodologies used in counting income and assets 
 18.7   to determine eligibility for medical assistance for persons 
 18.8   whose eligibility category is based on blindness, disability, or 
 18.9   age of 65 or more years, the methodologies for the supplemental 
 18.10  security income program shall be used.  Increases in benefits 
 18.11  under title II of the Social Security Act shall not be counted 
 18.12  as income for purposes of this subdivision until July 1 of each 
 18.13  year.  Effective upon federal approval, for children eligible 
 18.14  under section 256B.055, subdivision 12, or for home and 
 18.15  community-based waiver services whose eligibility for medical 
 18.16  assistance is determined without regard to parental income, 
 18.17  child support payments, including any payments made by an 
 18.18  obligor in satisfaction of or in addition to a temporary or 
 18.19  permanent order for child support, and social security payments 
 18.20  are not counted as income.  For families and children, which 
 18.21  includes all other eligibility categories, the methodologies 
 18.22  under the state's AFDC plan in effect as of July 16, 1996, as 
 18.23  required by the Personal Responsibility and Work Opportunity 
 18.24  Reconciliation Act of 1996 (PRWORA), Public Law Number 104-193, 
 18.25  shall be used, except that effective July 1, 2002, the $90 and 
 18.26  $30 and one-third earned income disregards shall not apply and 
 18.27  the disregard specified in subdivision 1c shall apply.  For 
 18.28  these purposes, a "methodology" does not include an asset or 
 18.29  income standard, or accounting method, or method of determining 
 18.30  effective dates. 
 18.31     Sec. 20.  Minnesota Statutes 2001 Supplement, section 
 18.32  256B.056, subdivision 4, is amended to read: 
 18.33     Subd. 4.  [INCOME.] (a) To be eligible for medical 
 18.34  assistance, a person eligible under section 256B.055, 
 18.35  subdivisions 7, 7a, and 12, may have income up to 100 percent of 
 18.36  the federal poverty guidelines.  Effective January 1, 2000, and 
 19.1   each successive January, recipients of supplemental security 
 19.2   income may have an income up to the supplemental security income 
 19.3   standard in effect on that date.  
 19.4      (b) To be eligible for medical assistance, families and 
 19.5   children may have an income up to 133-1/3 percent of the AFDC 
 19.6   income standard in effect under the July 16, 1996, AFDC state 
 19.7   plan.  Effective July 1, 2000, the base AFDC standard in effect 
 19.8   on July 16, 1996, shall be increased by three percent.  
 19.9      (c) Effective July 1, 2002, to be eligible for medical 
 19.10  assistance, families and children may have an income up to 100 
 19.11  percent of the federal poverty guidelines for the family size.  
 19.12     (d) In computing income to determine eligibility of persons 
 19.13  under paragraphs (a) to (c) (b) who are not residents of 
 19.14  long-term care facilities, the commissioner shall disregard 
 19.15  increases in income as required by Public Law Numbers 94-566, 
 19.16  section 503; 99-272; and 99-509.  Veterans aid and attendance 
 19.17  benefits and Veterans Administration unusual medical expense 
 19.18  payments are considered income to the recipient. 
 19.19     Sec. 21.  Minnesota Statutes 2001 Supplement, section 
 19.20  256B.057, subdivision 2, is amended to read: 
 19.21     Subd. 2.  [CHILDREN.] Except as specified in subdivision 
 19.22  1b, effective July 1, 2002, a child one through 18 five years of 
 19.23  age in a family whose countable income is no greater less than 
 19.24  170 133 percent of the federal poverty guidelines for the same 
 19.25  family size, is eligible for medical assistance.  A child six 
 19.26  through 18 years of age, who was born after September 30, 1983, 
 19.27  in a family whose countable income is less than 100 percent of 
 19.28  the federal poverty guidelines for the same family size is 
 19.29  eligible for medical assistance. 
 19.30     Sec. 22.  Minnesota Statutes 2001 Supplement, section 
 19.31  256B.0635, subdivision 1, is amended to read: 
 19.32     Subdivision 1.  [INCREASED EMPLOYMENT.] (a) Until June 30, 
 19.33  2002, medical assistance may be paid for persons who received 
 19.34  MFIP-S or medical assistance for families and children in at 
 19.35  least three of six months preceding the month in which the 
 19.36  person became ineligible for MFIP-S or medical assistance, if 
 20.1   the ineligibility was due to an increase in hours of employment 
 20.2   or employment income or due to the loss of an earned income 
 20.3   disregard.  In addition, to receive continued assistance under 
 20.4   this section, persons who received medical assistance for 
 20.5   families and children but did not receive MFIP-S must have had 
 20.6   income less than or equal to the assistance standard for their 
 20.7   family size under the state's AFDC plan in effect as of July 16, 
 20.8   1996, increased by three percent effective July 1, 2000, at the 
 20.9   time medical assistance eligibility began.  A person who is 
 20.10  eligible for extended medical assistance is entitled to six 
 20.11  months of assistance without reapplication, unless the 
 20.12  assistance unit ceases to include a dependent child.  For a 
 20.13  person under 21 years of age, medical assistance may not be 
 20.14  discontinued within the six-month period of extended eligibility 
 20.15  until it has been determined that the person is not otherwise 
 20.16  eligible for medical assistance.  Medical assistance may be 
 20.17  continued for an additional six months if the person meets all 
 20.18  requirements for the additional six months, according to title 
 20.19  XIX of the Social Security Act, as amended by section 303 of the 
 20.20  Family Support Act of 1988, Public Law Number 100-485. 
 20.21     (b) Beginning July 1, 2002, medical assistance for families 
 20.22  and children may be paid for persons who were eligible under 
 20.23  section 256B.055, subdivision 3a who had income less than or 
 20.24  equal to the assistance standard for their family size under the 
 20.25  state's AFDC plan in effect as of July 16, 1996, at the time 
 20.26  medical assistance eligibility began, and in at least three of 
 20.27  six months preceding the month in which the person became 
 20.28  ineligible under that section if the ineligibility was due to an 
 20.29  increase in hours of employment or employment income or due to 
 20.30  the loss of an earned income disregard.  A person who is 
 20.31  eligible for extended medical assistance is entitled to six 
 20.32  months of assistance without reapplication, unless the 
 20.33  assistance unit ceases to include a dependent child, except 
 20.34  medical assistance may not be discontinued for that dependent 
 20.35  child under 21 years of age within the six-month period of 
 20.36  extended eligibility until it has been determined that the 
 21.1   person is not otherwise eligible for medical assistance.  
 21.2   Medical assistance may be continued for an additional six months 
 21.3   if the person meets all requirements for the additional six 
 21.4   months, according to title XIX of the Social Security Act, as 
 21.5   amended by section 303 of the Family Support Act of 1988, Public 
 21.6   Law Number 100-485. 
 21.7      Sec. 23.  Minnesota Statutes 2001 Supplement, section 
 21.8   256B.0635, subdivision 2, is amended to read: 
 21.9      Subd. 2.  [INCREASED CHILD OR SPOUSAL SUPPORT.] (a) Until 
 21.10  June 30, 2002, medical assistance may be paid for persons who 
 21.11  received MFIP-S or medical assistance for families and children 
 21.12  in at least three of the six months preceding the month in which 
 21.13  the person became ineligible for MFIP-S or medical assistance, 
 21.14  if the ineligibility was the result of the collection of child 
 21.15  or spousal support under part D of title IV of the Social 
 21.16  Security Act.  In addition, to receive continued assistance 
 21.17  under this section, persons who received medical assistance for 
 21.18  families and children but did not receive MFIP-S must have had 
 21.19  income less than or equal to the assistance standard for their 
 21.20  family size under the state's AFDC plan in effect as of July 16, 
 21.21  1996, increased by three percent effective July 1, 2000, at the 
 21.22  time medical assistance eligibility began.  A person who is 
 21.23  eligible for extended medical assistance under this subdivision 
 21.24  is entitled to four months of assistance without reapplication, 
 21.25  unless the assistance unit ceases to include a dependent child, 
 21.26  except medical assistance may not be discontinued for that 
 21.27  dependent child under 21 years of age within the four-month 
 21.28  period of extended eligibility until it has been determined that 
 21.29  the person is not otherwise eligible for medical assistance. 
 21.30     (b) Beginning July 1, 2002, medical assistance for families 
 21.31  and children may be paid for persons who were eligible under 
 21.32  section 256B.055, subdivision 3a who had income less than or 
 21.33  equal to the assistance standard for their family size under the 
 21.34  state's AFDC plan in effect as of July 16, 1996, at the time 
 21.35  medical assistance eligibility began, and in at least three of 
 21.36  the six months preceding the month in which the person became 
 22.1   ineligible under that section if the ineligibility was the 
 22.2   result of the collection of child or spousal support under part 
 22.3   D of title IV of the Social Security Act.  A person who is 
 22.4   eligible for extended medical assistance under this subdivision 
 22.5   is entitled to four months of assistance without reapplication, 
 22.6   unless the assistance unit ceases to include a dependent child, 
 22.7   except medical assistance may not be discontinued for that 
 22.8   dependent child under 21 years of age within the four-month 
 22.9   period of extended eligibility until it has been determined that 
 22.10  the person is not otherwise eligible for medical assistance. 
 22.11     Sec. 24.  Minnesota Statutes 2000, section 256B.431, is 
 22.12  amended by adding a subdivision to read: 
 22.13     Subd. 37.  [DESIGNATION OF AREAS TO RECEIVE METROPOLITAN 
 22.14  RATES.] For rate years beginning on or after July 1, 2003, 
 22.15  nursing facilities located in areas designated as metropolitan 
 22.16  areas by the federal Office of Management and Budget using 
 22.17  census bureau data shall be part of the metropolitan array for 
 22.18  purposes of calculating a median, determining a historical base 
 22.19  reimbursement rate, or otherwise establishing a statistical 
 22.20  measure of nursing facility payment rates, in order to:  
 22.21     (1) determine future rate increases under this section, 
 22.22  section 256B.434, or any other section; and 
 22.23     (2) establish nursing facility reimbursement rates for the 
 22.24  new nursing facility reimbursement system developed under Laws 
 22.25  2001, First Special Session chapter 9, article 5, section 35. 
 22.26     Sec. 25.  Minnesota Statutes 2000, section 256B.69, 
 22.27  subdivision 5a, as amended by Laws 2002, chapter 220, article 
 22.28  15, section 15, is amended to read: 
 22.29     Subd. 5a.  [MANAGED CARE CONTRACTS.] (a) Managed care 
 22.30  contracts under this section and sections 256L.12 and 256D.03, 
 22.31  shall be entered into or renewed on a calendar year basis 
 22.32  beginning January 1, 1996.  Managed care contracts which were in 
 22.33  effect on June 30, 1995, and set to renew on July 1, 1995, shall 
 22.34  be renewed for the period July 1, 1995 through December 31, 1995 
 22.35  at the same terms that were in effect on June 30, 1995. 
 22.36     (b) A prepaid health plan providing covered health services 
 23.1   for eligible persons pursuant to chapters 256B, 256D, and 256L, 
 23.2   is responsible for complying with the terms of its contract with 
 23.3   the commissioner.  Requirements applicable to managed care 
 23.4   programs under chapters 256B, 256D, and 256L, established after 
 23.5   the effective date of a contract with the commissioner take 
 23.6   effect when the contract is next issued or renewed. 
 23.7      (c) Effective for services rendered on or after January 1, 
 23.8   2003, the commissioner shall withhold five percent of managed 
 23.9   care plan payments under this section for the prepaid medical 
 23.10  assistance and general assistance medical care programs pending 
 23.11  completion of performance targets.  The withheld funds will must 
 23.12  be returned no sooner than July of the following year if 
 23.13  performance targets in the contract are achieved.  The 
 23.14  commissioner may exclude special demonstration projects under 
 23.15  subdivision 23.  A managed care plan may include as admitted 
 23.16  assets under section 62D.044 any amount withheld under this 
 23.17  paragraph that is reasonably expected to be returned. 
 23.18     Sec. 26.  Minnesota Statutes 2000, section 256D.03, is 
 23.19  amended by adding a subdivision to read: 
 23.20     Subd. 3c.  [GENERAL ASSISTANCE MEDICAL CARE ELIGIBILITY 
 23.21  EFFECTIVE JULY 1, 2002.] (a) Effective July 1, 2002, general 
 23.22  assistance medical care may be paid only for individuals who 
 23.23  meet the income and asset standards specified in subdivision 3 
 23.24  and who: 
 23.25     (1) would be eligible for medical assistance except that 
 23.26  the person resides in a facility determined by the federal 
 23.27  Center for Medicare and Medicaid Services to be an institution 
 23.28  for mental diseases; or 
 23.29     (2) are children under age 18, or adults over age 65 who 
 23.30  are aged, blind, or disabled as defined in Code of Federal 
 23.31  Regulations, title 42, sections 435.520, 435.530, 435.531, 
 23.32  435.540, and 435.541, who are undocumented or nonimmigrants, and 
 23.33  who otherwise meet the eligibility requirements of chapter 256B. 
 23.34     (b) The commissioner shall refer individuals who are 
 23.35  enrolled in the general assistance medical care program as of 
 23.36  July 1, 2002 who are not eligible under paragraph (a) to the 
 24.1   MinnesotaCare program over a six-month transition period ending 
 24.2   December 31, 2002.  The commissioner, in consultation with 
 24.3   county agencies, shall develop a transition plan that:  (1) 
 24.4   first refers to the MinnesotaCare program those groups of 
 24.5   individuals with the highest household incomes; and (2) ensures 
 24.6   a consistent number of referrals to the MinnesotaCare program 
 24.7   over the six-month transition period.  During the transition 
 24.8   period, general assistance medical care enrollees not eligible 
 24.9   under paragraph (a) who have not yet been referred to 
 24.10  MinnesotaCare shall continue to receive covered health care 
 24.11  services under the general assistance medical care program. 
 24.12     <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2002. 
 24.13     Sec. 27.  Minnesota Statutes 2000, section 256D.05, 
 24.14  subdivision 1, is amended to read: 
 24.15     Subdivision 1.  [ELIGIBILITY.] (a) Each assistance unit 
 24.16  with income and resources less than the standard of assistance 
 24.17  established by the commissioner and with a member who is a 
 24.18  resident of the state shall be eligible for and entitled to 
 24.19  general assistance if the assistance unit is: 
 24.20     (1) a person who is suffering from a professionally 
 24.21  certified permanent or temporary illness, injury, or incapacity 
 24.22  which is expected to continue for more than 30 days and which 
 24.23  prevents the person from obtaining or retaining employment; 
 24.24     (2) a person whose presence in the home on a substantially 
 24.25  continuous basis is required because of the professionally 
 24.26  certified illness, injury, incapacity, or the age of another 
 24.27  member of the household; 
 24.28     (3) a person who has been placed in, and is residing in, a 
 24.29  licensed or certified facility for purposes of physical or 
 24.30  mental health or rehabilitation, or in an approved chemical 
 24.31  dependency domiciliary facility, if the placement is based on 
 24.32  illness or incapacity and is according to a plan developed or 
 24.33  approved by the county agency through its director or designated 
 24.34  representative; 
 24.35     (4) a person who resides in a shelter facility described in 
 24.36  subdivision 3; 
 25.1      (5) a person not described in clause (1) or (3) who is 
 25.2   diagnosed by a licensed physician, psychological practitioner, 
 25.3   or other qualified professional, as mentally retarded or 
 25.4   mentally ill, and that condition prevents the person from 
 25.5   obtaining or retaining employment; 
 25.6      (6) a person who has an application pending for, or is 
 25.7   appealing termination of benefits from, the social security 
 25.8   disability program or the program of supplemental security 
 25.9   income for the aged, blind, and disabled, provided the person 
 25.10  has a professionally certified permanent or temporary illness, 
 25.11  injury, or incapacity which is expected to continue for more 
 25.12  than 30 days and which prevents the person from obtaining or 
 25.13  retaining employment; 
 25.14     (7) a person who is unable to obtain or retain employment 
 25.15  because advanced age significantly affects the person's ability 
 25.16  to seek or engage in substantial work; 
 25.17     (8) a person who has been assessed by a vocational 
 25.18  specialist and, in consultation with the county agency, has been 
 25.19  determined to be unemployable for purposes of this clause; a 
 25.20  person is considered employable if there exist positions of 
 25.21  employment in the local labor market, regardless of the current 
 25.22  availability of openings for those positions, that the person is 
 25.23  capable of performing.  The person's eligibility under this 
 25.24  category must be reassessed at least annually.  The county 
 25.25  agency must provide notice to the person not later than 30 days 
 25.26  before annual eligibility under this item ends, informing the 
 25.27  person of the date annual eligibility will end and the need for 
 25.28  vocational assessment if the person wishes to continue 
 25.29  eligibility under this clause.  For purposes of establishing 
 25.30  eligibility under this clause, it is the applicant's or 
 25.31  recipient's duty to obtain any needed vocational assessment; 
 25.32     (9) a person who is determined by the county agency, 
 25.33  according to permanent rules adopted by the commissioner, to be 
 25.34  learning disabled, provided that if a rehabilitation plan for 
 25.35  the person is developed or approved by the county agency, the 
 25.36  person is following the plan; 
 26.1      (10) a child under the age of 18 who is not living with a 
 26.2   parent, stepparent, or legal custodian, and only if:  the child 
 26.3   is legally emancipated or living with an adult with the consent 
 26.4   of an agency acting as a legal custodian; the child is at least 
 26.5   16 years of age and the general assistance grant is approved by 
 26.6   the director of the county agency or a designated representative 
 26.7   as a component of a social services case plan for the child; or 
 26.8   the child is living with an adult with the consent of the 
 26.9   child's legal custodian and the county agency.  For purposes of 
 26.10  this clause, "legally emancipated" means a person under the age 
 26.11  of 18 years who:  (i) has been married; (ii) is on active duty 
 26.12  in the uniformed services of the United States; (iii) has been 
 26.13  emancipated by a court of competent jurisdiction; or (iv) is 
 26.14  otherwise considered emancipated under Minnesota law, and for 
 26.15  whom county social services has not determined that a social 
 26.16  services case plan is necessary, for reasons other than the 
 26.17  child has failed or refuses to cooperate with the county agency 
 26.18  in developing the plan; 
 26.19     (11) a person who is eligible for displaced homemaker 
 26.20  services, programs, or assistance under section 268.96, but only 
 26.21  if that person is enrolled as a full-time student; 
 26.22     (12) a person who lives more than four hours round-trip 
 26.23  traveling time from any potential suitable employment; 
 26.24     (13) a person who is involved with protective or 
 26.25  court-ordered services that prevent the applicant or recipient 
 26.26  from working at least four hours per day; 
 26.27     (14) a person over age 18 whose primary language is not 
 26.28  English and who is attending high school at least half time; or 
 26.29     (15) a person whose alcohol and drug addiction is a 
 26.30  material factor that contributes to the person's disability; 
 26.31  applicants who assert this clause as a basis for eligibility 
 26.32  must be assessed by the county agency to determine if they are 
 26.33  amenable to treatment; if the applicant is determined to be not 
 26.34  amenable to treatment, but is otherwise eligible for benefits, 
 26.35  then general assistance must be paid in vendor form, for the 
 26.36  individual's shelter costs up to the limit of the grant amount, 
 27.1   with the residual, if any, paid according to section 256D.09, 
 27.2   subdivision 2a; if the applicant is determined to be amenable to 
 27.3   treatment, then in order to receive benefits, the applicant must 
 27.4   be in a treatment program or on a waiting list and the benefits 
 27.5   must be paid in vendor form, for the individual's shelter costs, 
 27.6   up to the limit of the grant amount, with the residual, if any, 
 27.7   paid according to section 256D.09, subdivision 2a. 
 27.8      (b) As a condition of eligibility under paragraph (a), 
 27.9   clauses (1), (3), (5), (8), and (9), the recipient must complete 
 27.10  an interim assistance agreement and must apply for other 
 27.11  maintenance benefits as specified in section 256D.06, 
 27.12  subdivision 5, and must comply with efforts to determine the 
 27.13  recipient's eligibility for those other maintenance benefits.  
 27.14     (c) The burden of providing documentation for a county 
 27.15  agency to use to verify eligibility for general assistance or 
 27.16  for exemption from the food stamp employment and training 
 27.17  program is upon the applicant or recipient.  The county agency 
 27.18  shall use documents already in its possession to verify 
 27.19  eligibility, and shall help the applicant or recipient obtain 
 27.20  other existing verification necessary to determine eligibility 
 27.21  which the applicant or recipient does not have and is unable to 
 27.22  obtain. 
 27.23     (d) Effective July 1, 2002, general assistance is available 
 27.24  to an assistance unit for six months in a consecutive 24-month 
 27.25  period.  Only months of general assistance received after July 
 27.26  1, 2002, shall be counted toward the six-month limit.  This 
 27.27  paragraph does not apply to an assistance unit that is approved 
 27.28  for placement in a licensed or registered setting according to 
 27.29  chapter 256I or is a resident in a licensed or certified 
 27.30  facility under section 256D.05, subdivision 1, paragraph (a), 
 27.31  clause (3). 
 27.32     Sec. 28.  Minnesota Statutes 2000, section 256D.06, 
 27.33  subdivision 2, is amended to read: 
 27.34     Subd. 2.  [EMERGENCY NEED.] Notwithstanding the provisions 
 27.35  of subdivision 1, a grant of general assistance shall be made to 
 27.36  an eligible single adult, married couple, or family for an 
 28.1   emergency need, as defined in rules promulgated by the 
 28.2   commissioner, where the recipient requests temporary assistance 
 28.3   not exceeding 30 days if an emergency situation appears to exist 
 28.4   and (a) until March 31, 1998, the individual is ineligible for 
 28.5   the program of emergency assistance under aid to families with 
 28.6   dependent children and is not a recipient of aid to families 
 28.7   with dependent children at the time of application; or (b) the 
 28.8   individual or family is (i) ineligible for MFIP-S or is not a 
 28.9   participant of MFIP-S; and (ii) is ineligible for emergency 
 28.10  assistance under section 256J.48.  If an applicant or recipient 
 28.11  relates facts to the county agency which may be sufficient to 
 28.12  constitute an emergency situation, the county agency shall 
 28.13  advise the person of the procedure for applying for assistance 
 28.14  according to this subdivision.  Effective July 1, 2002, 
 28.15  emergency assistance under this subdivision is available during 
 28.16  one 30-day period in a consecutive 18-month period.  Only months 
 28.17  of emergency assistance received under this subdivision after 
 28.18  July 1, 2002 shall be counted toward the period of eligibility.  
 28.19  A county shall issue assistance for need that accrue before that 
 28.20  30-day period only when it is necessary to resolve emergencies 
 28.21  arising or continuing to arise during the 30-day period of 
 28.22  eligibility. 
 28.23     Sec. 29.  Minnesota Statutes 2001 Supplement, section 
 28.24  256J.24, subdivision 10, is amended to read: 
 28.25     Subd. 10.  [MFIP EXIT LEVEL EARNED INCOME DISREGARD.] The 
 28.26  commissioner shall adjust the MFIP earned income disregard to 
 28.27  ensure that most participants do not lose eligibility for MFIP 
 28.28  until their income reaches at least 120 percent of the federal 
 28.29  poverty guidelines in effect in October of each fiscal year.  
 28.30  The adjustment to the disregard shall be based on a household 
 28.31  size of three, and the resulting earned income disregard 
 28.32  percentage must be applied to all household sizes.  The 
 28.33  adjustment under this subdivision must be implemented at the 
 28.34  same time as the October food stamp cost-of-living adjustment is 
 28.35  reflected in the food portion of MFIP transitional standard as 
 28.36  required under subdivision 5a.  In state fiscal year 2003 and 
 29.1   thereafter, the earned income disregard percentage must be the 
 29.2   same as the percentage implemented in October 2000. 
 29.3      Sec. 30.  Minnesota Statutes 2001 Supplement, section 
 29.4   256J.425, subdivision 3, is amended to read: 
 29.5      Subd. 3.  [HARD-TO-EMPLOY PARTICIPANTS.] An assistance unit 
 29.6   subject to the time limit in section 256J.42, subdivision 1, in 
 29.7   which any participant has received 60 counted months of 
 29.8   assistance, is eligible to receive months of assistance under a 
 29.9   hardship extension if the participant belongs to any of the 
 29.10  following groups: 
 29.11     (1) a person who is diagnosed by a licensed physician, 
 29.12  psychological practitioner, or other qualified professional, as 
 29.13  mentally retarded or mentally ill, and that condition prevents 
 29.14  the person from obtaining or retaining unsubsidized employment; 
 29.15     (2) a person who: 
 29.16     (i) has been assessed by a vocational specialist or the 
 29.17  county agency to be unemployable for purposes of this 
 29.18  subdivision; or 
 29.19     (ii) has an IQ below 80 who has been assessed by a 
 29.20  vocational specialist or a county agency to be employable, but 
 29.21  not at a level that makes the participant eligible for an 
 29.22  extension under subdivision 4 or, in the case of a 
 29.23  non-English-speaking person for whom it is not possible to 
 29.24  provide a determination due to language barriers or absence of 
 29.25  culturally appropriate assessment tools, is determined by a 
 29.26  qualified professional to have an IQ below 80.  A person is 
 29.27  considered employable if positions of employment in the local 
 29.28  labor market exist, regardless of the current availability of 
 29.29  openings for those positions, that the person is capable of 
 29.30  performing; or 
 29.31     (3) a person who is determined by the county agency to be 
 29.32  learning disabled or, in the case of a non-English-speaking 
 29.33  person for whom it is not possible to provide a medical 
 29.34  diagnosis due to language barriers or absence of culturally 
 29.35  appropriate assessment tools, is determined by a qualified 
 29.36  professional to have a learning disability.  If a rehabilitation 
 30.1   plan for the person is developed or approved by the county 
 30.2   agency, the plan must be incorporated into the employment plan.  
 30.3   However, a rehabilitation plan does not replace the requirement 
 30.4   to develop and comply with an employment plan under section 
 30.5   256J.52.  For purposes of this section, "learning disabled" 
 30.6   means the applicant or recipient has a disorder in one or more 
 30.7   of the psychological processes involved in perceiving, 
 30.8   understanding, or using concepts through verbal language or 
 30.9   nonverbal means.  The disability must severely limit the 
 30.10  applicant or recipient in obtaining, performing, or maintaining 
 30.11  suitable employment.  Learning disabled does not include 
 30.12  learning problems that are primarily the result of visual, 
 30.13  hearing, or motor handicaps; mental retardation; emotional 
 30.14  disturbance; or due to environmental, cultural, or economic 
 30.15  disadvantage.; or 
 30.16     (4) a person who is a victim of family violence as defined 
 30.17  in section 256J.49, subdivision 2, and who is participating in 
 30.18  an alternative employment plan under section 256J.49, 
 30.19  subdivision 1a.  
 30.20     Sec. 31.  Minnesota Statutes 2001 Supplement, section 
 30.21  256J.425, subdivision 4, is amended to read: 
 30.22     Subd. 4.  [EMPLOYED PARTICIPANTS.] (a) An assistance unit 
 30.23  subject to the time limit under section 256J.42, subdivision 1, 
 30.24  in which any participant has received 60 months of assistance, 
 30.25  is eligible to receive assistance under a hardship extension if 
 30.26  the participant belongs to: 
 30.27     (1) a one-parent assistance unit in which the participant 
 30.28  is participating in work activities for at least 30 hours per 
 30.29  week, of which an average of at least 25 hours per week every 
 30.30  month are spent participating in employment; or 
 30.31     (2) a two-parent assistance unit in which the participants 
 30.32  are participating in work activities for at least 55 hours per 
 30.33  week, of which an average of at least 45 hours per week every 
 30.34  month are spent participating in employment.; or 
 30.35     (3) an assistance unit in which a participant is 
 30.36  participating in employment for fewer hours than those specified 
 31.1   in clause (1), and the participant submits verification from a 
 31.2   health care provider, in a form acceptable to the commissioner, 
 31.3   stating that the number of hours the participant may work is 
 31.4   limited due to illness or disability, as long as the participant 
 31.5   is participating in employment for at least the number of hours 
 31.6   specified by the health care provider.  The participant must be 
 31.7   following the treatment recommendations of the health care 
 31.8   provider providing the verification.  The commissioner shall 
 31.9   develop a form to be completed and signed by the health care 
 31.10  provider, documenting the diagnosis and any additional 
 31.11  information necessary to document the functional limitations of 
 31.12  the participant that limit work hours.  If the participant is 
 31.13  part of a two-parent assistance unit, the other parent must be 
 31.14  treated as a one-parent assistance unit for purposes of meeting 
 31.15  the work requirements under this subdivision. 
 31.16     For purposes of this section, employment means: 
 31.17     (1) unsubsidized employment under section 256J.49, 
 31.18  subdivision 13, clause (1); 
 31.19     (2) subsidized employment under section 256J.49, 
 31.20  subdivision 13, clause (2); 
 31.21     (3) on-the-job training under section 256J.49, subdivision 
 31.22  13, clause (4); 
 31.23     (4) an apprenticeship under section 256J.49, subdivision 
 31.24  13, clause (19); 
 31.25     (5) supported work.  For purposes of this section, 
 31.26  "supported work" means services supporting a participant on the 
 31.27  job which include, but are not limited to, supervision, job 
 31.28  coaching, and subsidized wages; 
 31.29     (6) a combination of (1) to (5); or 
 31.30     (7) child care under section 256J.49, subdivision 13, 
 31.31  clause (25), if it is in combination with paid employment. 
 31.32     (b) If a participant is complying with a child protection 
 31.33  plan under chapter 260C, the number of hours required under the 
 31.34  child protection plan count toward the number of hours required 
 31.35  under this subdivision.  
 31.36     (c) The county shall provide the opportunity for subsidized 
 32.1   employment to participants needing that type of employment 
 32.2   within available appropriations. 
 32.3      (d) To be eligible for a hardship extension for employed 
 32.4   participants under this subdivision, a participant in a 
 32.5   one-parent assistance unit or both parents in a two-parent 
 32.6   assistance unit must be in compliance for at least ten out of 
 32.7   the 12 months immediately preceding the participant's 61st month 
 32.8   on assistance.  If only one parent in a two-parent assistance 
 32.9   unit fails to be in compliance ten out of the 12 months 
 32.10  immediately preceding the participant's 61st month, the county 
 32.11  shall give the assistance unit the option of disqualifying the 
 32.12  noncompliant parent.  If the noncompliant participant is 
 32.13  disqualified, the assistance unit must be treated as a 
 32.14  one-parent assistance unit for the purposes of meeting the work 
 32.15  requirements under this subdivision and the assistance unit's 
 32.16  MFIP grant shall be calculated using the shared household 
 32.17  standard under section 256J.08, subdivision 82a. 
 32.18     (e) The employment plan developed under section 256J.52, 
 32.19  subdivision 5, for participants under this subdivision must 
 32.20  contain the number of hours specified in paragraph (a) related 
 32.21  to employment and work activities.  The job counselor and the 
 32.22  participant must sign the employment plan to indicate agreement 
 32.23  between the job counselor and the participant on the contents of 
 32.24  the plan. 
 32.25     (f) Participants who fail to meet the requirements in 
 32.26  paragraph (a), without good cause under section 256J.57, shall 
 32.27  be sanctioned or permanently disqualified under subdivision 6.  
 32.28  Good cause may only be granted for that portion of the month for 
 32.29  which the good cause reason applies.  Participants must meet all 
 32.30  remaining requirements in the approved employment plan or be 
 32.31  subject to sanction or permanent disqualification.  
 32.32     (g) If the noncompliance with an employment plan is due to 
 32.33  the involuntary loss of employment, the participant is exempt 
 32.34  from the hourly employment requirement under this subdivision 
 32.35  for one month.  Participants must meet all remaining 
 32.36  requirements in the approved employment plan or be subject to 
 33.1   sanction or permanent disqualification.  This exemption is 
 33.2   available to one-parent assistance units two times in a 12-month 
 33.3   period, and two-parent assistance units, two times per parent in 
 33.4   a 12-month period. 
 33.5      (h) This subdivision expires on June 30, 2004. 
 33.6      Sec. 32.  Minnesota Statutes 2001 Supplement, section 
 33.7   256J.425, subdivision 5, is amended to read: 
 33.8      Subd. 5.  [ACCRUAL OF CERTAIN EXEMPT MONTHS.] (a) A 
 33.9   participant who received TANF assistance that counted towards 
 33.10  the federal 60-month time limit while the participant was exempt 
 33.11  under section 256J.56, paragraph (a), clause (7), from 
 33.12  employment and training services requirements and who is no 
 33.13  longer eligible for assistance under a hardship extension under 
 33.14  subdivision 2, paragraph (a), clause (3), is eligible for 
 33.15  assistance under a hardship extension for a period of time equal 
 33.16  to the number of months that were counted toward the federal 
 33.17  60-month time limit while the participant was exempt under 
 33.18  section 256J.56, paragraph (a), clause (7), from the employment 
 33.19  and training services requirements. 
 33.20     (b) A participant who received TANF assistance that counted 
 33.21  towards the federal 60-month time limit while the participant 
 33.22  met the state time limit exemption criteria under section 
 33.23  256J.42, subdivision 4 or 5, is eligible for assistance under a 
 33.24  hardship extension for a period of time equal to the number of 
 33.25  months that were counted toward the federal 60-month time limit 
 33.26  while the participant met the state time limit exemption 
 33.27  criteria under section 256J.42, subdivision 5. 
 33.28     (c) A participant who received TANF assistance that counted 
 33.29  towards the federal 60-month time limit while the participant 
 33.30  was exempt under section 256J.56, paragraph (a), clause (3), 
 33.31  from employment and training services requirements, who 
 33.32  demonstrates at the time of the case review required under 
 33.33  section 256J.42, subdivision 6, that the participant met the 
 33.34  exemption criteria under section 256J.56, paragraph (a), clause 
 33.35  (7), during one or more months the participant was exempt under 
 33.36  section 256J.56, paragraph (a), clause (3), before or after July 
 34.1   1, 2002, is eligible for assistance under a hardship extension 
 34.2   for a period of time equal to the number of months that were 
 34.3   counted toward the federal 60-month time limit during the time 
 34.4   the participant met the criteria under section 256J.56, 
 34.5   paragraph (a), clause (7).  At the time of the case review, a 
 34.6   county agency must explain to the participant the basis for 
 34.7   receiving a hardship extension based on the accrual of exempt 
 34.8   months.  The participant must provide documentation necessary to 
 34.9   enable the county agency to determine whether the participant is 
 34.10  eligible to receive a hardship extension based on the accrual of 
 34.11  exempt months or authorize a county agency to verify the 
 34.12  information. 
 34.13     Sec. 33.  Minnesota Statutes 2000, section 256J.48, 
 34.14  subdivision 1, is amended to read: 
 34.15     Subdivision 1.  [EMERGENCY FINANCIAL ASSISTANCE.] County 
 34.16  human service agencies shall grant emergency financial 
 34.17  assistance to any needy pregnant woman or needy family with a 
 34.18  child under the age of 21 who is or was within six months prior 
 34.19  to application living with an eligible caregiver relative 
 34.20  specified in section 256J.08. 
 34.21     Except for ongoing special diets, emergency assistance is 
 34.22  available to a family during one 30-day period in a consecutive 
 34.23  12-month 18-month period.  A county shall issue assistance for 
 34.24  needs that accrue before that 30-day period only when it is 
 34.25  necessary to resolve emergencies arising or continuing during 
 34.26  the 30-day period of eligibility.  When emergency needs 
 34.27  continue, a county may issue assistance for up to 30 days beyond 
 34.28  the initial 30-day period of eligibility, but only when 
 34.29  assistance is authorized during the initial period. 
 34.30     Sec. 34.  Minnesota Statutes 2001 Supplement, section 
 34.31  256J.52, subdivision 2, is amended to read: 
 34.32     Subd. 2.  [INITIAL ASSESSMENT.] (a) The job counselor must, 
 34.33  with the cooperation of the participant, assess the 
 34.34  participant's ability to obtain and retain employment.  This 
 34.35  initial assessment must include a review of the participant's 
 34.36  education level, prior employment or work experience, 
 35.1   transferable work skills, and existing job markets. 
 35.2      (b) In assessing the participant, the job counselor must 
 35.3   determine if the participant needs refresher courses for 
 35.4   professional certification or licensure, in which case, the job 
 35.5   search plan under subdivision 3 must include the courses 
 35.6   necessary to obtain the certification or licensure, in addition 
 35.7   to other work activities, provided the combination of the 
 35.8   courses and other work activities are at least for 40 hours per 
 35.9   week.  
 35.10     (c) If a participant can demonstrate to the satisfaction of 
 35.11  the county agency that lack of proficiency in English is a 
 35.12  barrier to obtaining suitable employment, the job counselor must 
 35.13  include participation in an intensive English as a second 
 35.14  language program if available or otherwise a regular English as 
 35.15  a second language program in the individual's employment plan 
 35.16  under subdivision 5.  Lack of proficiency in English is not 
 35.17  necessarily a barrier to employment.  
 35.18     (d) The job counselor may approve an education or training 
 35.19  plan, and postpone the job search requirement, if the 
 35.20  participant has a proposal for an education program which: 
 35.21     (1) can be completed within 24 12 months; and 
 35.22     (2) meets the criteria of section 256J.53, subdivisions 1, 
 35.23  2, 3, and 5. 
 35.24     (e) A participant who, at the time of the initial 
 35.25  assessment, presents a plan that includes farming as a 
 35.26  self-employed work activity must have an employment plan 
 35.27  developed under subdivision 5 that includes the farming as an 
 35.28  approved work activity. 
 35.29     Sec. 35.  Minnesota Statutes 2001 Supplement, section 
 35.30  256J.53, subdivision 1, is amended to read: 
 35.31     Subdivision 1.  [LENGTH OF PROGRAM.] In order for a 
 35.32  post-secondary education or training program to be approved work 
 35.33  activity as defined in section 256J.49, subdivision 13, clause 
 35.34  (18), it must be a program lasting 24 12 months or less, and the 
 35.35  participant must meet the requirements of subdivisions 2 and 3.  
 35.36  A program lasting up to 24 months may be approved on an 
 36.1   exception basis if the conditions specified in subdivisions 2, 
 36.2   3, and 5 are met.  A participant may not be approved for more 
 36.3   than a total of 24 months of post-secondary education or 
 36.4   training.  Participants who have an approved education plan in 
 36.5   place as of July 1, 2002, that allows 24 months of 
 36.6   post-secondary education or training shall be allowed to 
 36.7   complete that plan provided that the conditions specified in 
 36.8   subdivisions 2 and 3 continue to be met. 
 36.9      Sec. 36.  Minnesota Statutes 2000, section 256L.03, 
 36.10  subdivision 3, is amended to read: 
 36.11     Subd. 3.  [INPATIENT HOSPITAL SERVICES.] (a) Covered health 
 36.12  services shall include inpatient hospital services, including 
 36.13  inpatient hospital mental health services and inpatient hospital 
 36.14  and residential chemical dependency treatment, subject to those 
 36.15  limitations necessary to coordinate the provision of these 
 36.16  services with eligibility under the medical assistance 
 36.17  spenddown.  Prior to July 1, 1997, the inpatient hospital 
 36.18  benefit for adult enrollees is subject to an annual benefit 
 36.19  limit of $10,000.  The inpatient hospital benefit for adult 
 36.20  enrollees who qualify under section 256L.04, subdivision 7, with 
 36.21  family gross income that exceeds 100 percent of the federal 
 36.22  poverty guidelines, or who qualify under section 256L.04, 
 36.23  subdivisions 1 and 2, with family gross income that exceeds 175 
 36.24  percent of the federal poverty guidelines and who are not 
 36.25  pregnant, is subject to an annual limit of $10,000.  
 36.26     (b) Admissions for inpatient hospital services paid for 
 36.27  under section 256L.11, subdivision 3, must be certified as 
 36.28  medically necessary in accordance with Minnesota Rules, parts 
 36.29  9505.0500 to 9505.0540, except as provided in clauses (1) and 
 36.30  (2): 
 36.31     (1) all admissions must be certified, except those 
 36.32  authorized under rules established under section 254A.03, 
 36.33  subdivision 3, or approved under Medicare; and 
 36.34     (2) payment under section 256L.11, subdivision 3, shall be 
 36.35  reduced by five percent for admissions for which certification 
 36.36  is requested more than 30 days after the day of admission.  The 
 37.1   hospital may not seek payment from the enrollee for the amount 
 37.2   of the payment reduction under this clause. 
 37.3      <b>[EFFECTIVE DATE.]</b> This section is effective January 1, 2003.
 37.4      Sec. 37.  Minnesota Statutes 2000, section 256L.03, 
 37.5   subdivision 5, is amended to read: 
 37.6      Subd. 5.  [COPAYMENTS AND COINSURANCE.] (a) Except as 
 37.7   provided in paragraphs (b) and (c), the MinnesotaCare benefit 
 37.8   plan shall include the following copayments and coinsurance 
 37.9   requirements for all enrollees:  
 37.10     (1) ten percent of the paid charges for inpatient hospital 
 37.11  services for adult enrollees, subject to an annual inpatient 
 37.12  out-of-pocket maximum of $1,000 per individual and $3,000 per 
 37.13  family; 
 37.14     (2) $3 $6 per prescription for adult enrollees in 
 37.15  households with incomes above 100 percent of the federal poverty 
 37.16  guidelines; 
 37.17     (3) $25 for eyeglasses for adult enrollees; and 
 37.18     (4) 50 percent of the fee-for-service rate for adult dental 
 37.19  care services other than preventive care services for persons 
 37.20  eligible under section 256L.04, subdivisions 1 to 7, with income 
 37.21  equal to or less than 175 percent of the federal poverty 
 37.22  guidelines. 
 37.23     (b) Paragraph (a), clause (1), does not apply to parents 
 37.24  and relative caretakers of children under the age of 21 in 
 37.25  households with family income equal to or less than 175 275 
 37.26  percent of the federal poverty guidelines.  Paragraph (a), 
 37.27  clause (1), does not apply to parents and relative caretakers of 
 37.28  children under the age of 21 in households with family income 
 37.29  greater than 175 percent of the federal poverty guidelines for 
 37.30  inpatient hospital admissions occurring on or after January 1, 
 37.31  2001.  Paragraph (a), clause (1), does not apply to adult 
 37.32  enrollees in households with family income equal to or less than 
 37.33  100 percent of the federal poverty guidelines. 
 37.34     (c) Paragraph (a), clauses (1) to (4), do not apply to 
 37.35  pregnant women and children under the age of 21.  
 37.36     (d) Adult enrollees with family gross income that exceeds 
 38.1   175 percent of the federal poverty guidelines and who are not 
 38.2   pregnant shall be financially responsible for the coinsurance 
 38.3   amount, if applicable, and amounts which exceed the $10,000 
 38.4   inpatient hospital benefit limit. 
 38.5      (e) When a MinnesotaCare enrollee becomes a member of a 
 38.6   prepaid health plan, or changes from one prepaid health plan to 
 38.7   another during a calendar year, any charges submitted towards 
 38.8   the $10,000 annual inpatient benefit limit, and any 
 38.9   out-of-pocket expenses incurred by the enrollee for inpatient 
 38.10  services, that were submitted or incurred prior to enrollment, 
 38.11  or prior to the change in health plans, shall be disregarded. 
 38.12     <b>[EFFECTIVE DATE.]</b> This section is effective January 1, 2003.
 38.13     Sec. 38.  Minnesota Statutes 2000, section 256L.05, 
 38.14  subdivision 3c, is amended to read: 
 38.15     Subd. 3c.  [RETROACTIVE COVERAGE.] Notwithstanding 
 38.16  subdivision 3, the effective date of coverage shall be:  (1) the 
 38.17  first day of the month following termination from medical 
 38.18  assistance or general assistance medical care for families and 
 38.19  individuals who are eligible for MinnesotaCare and who submitted 
 38.20  a written request for retroactive MinnesotaCare coverage with a 
 38.21  completed application within 30 days of the mailing of 
 38.22  notification of termination from medical assistance or general 
 38.23  assistance medical care; and (2) the day of application for 
 38.24  families and individuals with household income at or below 100 
 38.25  percent of the federal poverty guidelines.  The applicant must 
 38.26  provide all required verifications within 30 days of the written 
 38.27  request for verification.  For retroactive coverage, premiums 
 38.28  must be paid in full for any retroactive month, current month, 
 38.29  and next month within 30 days of the premium billing. 
 38.30     <b>[EFFECTIVE DATE.]</b> This section is effective January 1, 2003.
 38.31     Sec. 39.  Minnesota Statutes 2001 Supplement, section 
 38.32  256L.17, subdivision 2, is amended to read: 
 38.33     Subd. 2.  [LIMIT ON TOTAL ASSETS.] (a) Effective July 1, 
 38.34  2002 2003, or upon federal approval, whichever is later, in 
 38.35  order to be eligible for the MinnesotaCare program, a household 
 38.36  of two or more persons must not own more than $30,000 in total 
 39.1   net assets, and a household of one person must not own more than 
 39.2   $15,000 in total net assets.  In addition to these maximum 
 39.3   amounts, an eligible individual or family may accrue interest on 
 39.4   these amounts, but they must be reduced to the maximum at the 
 39.5   time of an eligibility redetermination.  The value of assets 
 39.6   that are not considered in determining eligibility for medical 
 39.7   assistance for families and children is the value of those 
 39.8   assets excluded under the AFDC state plan as of July 16, 1996, 
 39.9   as required by the Personal Responsibility and Work Opportunity 
 39.10  Reconciliation Act of 1996 (PRWORA), Public Law Number 104-193, 
 39.11  with the following exceptions: 
 39.12     (1) household goods and personal effects are not 
 39.13  considered; 
 39.14     (2) capital and operating assets of a trade or business up 
 39.15  to $200,000 are not considered; 
 39.16     (3) one motor vehicle is excluded for each person of legal 
 39.17  driving age who is employed or seeking employment; 
 39.18     (4) one burial plot and all other burial expenses equal to 
 39.19  the supplemental security income program asset limit are not 
 39.20  considered for each individual; 
 39.21     (5) court-ordered settlements up to $10,000 are not 
 39.22  considered; 
 39.23     (6) individual retirement accounts and funds are not 
 39.24  considered; and 
 39.25     (7) assets owned by children are not considered.  
 39.26     (b) For purposes of this subdivision, assets are determined 
 39.27  according to section 256B.056, subdivision 3c. 
 39.28     Sec. 40.  [REPEALER.] 
 39.29     Subdivision 1.  [MEDICAL ASSISTANCE INCOME DISREGARD FOR 
 39.30  FAMILIES.] Minnesota Statutes 2001 Supplement, section 256B.056, 
 39.31  subdivision 1c, is repealed effective July 1, 2002. 
 39.32     Subd. 2.  [MEDICAL ASSISTANCE ASSET LIMIT FOR 
 39.33  FAMILIES.] Minnesota Statutes 2001 Supplement, section 256B.056, 
 39.34  subdivision 3c, is repealed effective July 1, 2002. 
 39.35                             ARTICLE 2 
 39.36                           APPROPRIATIONS 
 40.1   Section 1.  [HEALTH AND HUMAN SERVICES APPROPRIATIONS.] 
 40.2      The dollar amounts shown in the columns marked 
 40.3   "APPROPRIATIONS" are added to or, if shown in parentheses, are 
 40.4   subtracted from the appropriations in Laws 2001, First Special 
 40.5   Session chapter 9 and Laws 2002 chapter 220, or other law, and 
 40.6   are appropriated from the general fund, or any other fund named, 
 40.7   to the agencies and for the purposes specified in this article, 
 40.8   to be available for the fiscal years indicated for each 
 40.9   purpose.  The figures "2002" and "2003" used in this article 
 40.10  mean that the appropriation or appropriations listed under them 
 40.11  are available for the fiscal year ending June 30, 2002, or June 
 40.12  30, 2003, respectively.  
 40.13                                             APPROPRIATIONS 
 40.14                                         Available for the Year 
 40.15                                             Ending June 30 
 40.16                                            2002         2003 
 40.17  Sec. 2.  COMMISSIONER OF
 40.18  HUMAN SERVICES
 40.19  Subdivision 1.  Total
 40.20  Appropriation                      $  37,219,000  $  84,887,000
 40.21                Summary by Fund
 40.22  General              47,207,000  (14,848,000)
 40.23  Health Care
 40.24  Access               (2,605,000)  89,674,000
 40.25  Federal TANF         (7,383,000)  10,061,000
 40.26  Subd. 2.  Agency Management 
 40.27  Subd. 3.  Administrative
 40.28  Reimbursement/Passthrough
 40.29  Federal TANF              -0-     10,000,000
 40.30  Subd. 4.  Basic Health Care
 40.31  Grants
 40.32  General               9,514,000   (35,257,000)
 40.33  Health Care
 40.34  Access                (2,605,000)  89,674,000
 40.35  The amounts that may be spent from this 
 40.36  appropriation for each purpose are as 
 40.37  follows: 
 40.38  (a) MinnesotaCare Grants
 40.39  Health Care
 40.40  Access                (2,605,000)  89,674,000
 40.41  (b) MA Basic Health Care
 40.42  Grants - Families and Children
 41.1   General               7,612,000   (19,850,000)
 41.2   (c) MA Basic Health Care
 41.3   Grants - Elderly and Disabled
 41.4   General                (779,000)    7,476,000 
 41.5   (d) General Assistance
 41.6   Medical Care Grants
 41.7   General               2,681,000   (22,883,000)
 41.8   [GENERAL FUND TRANSFER TO THE HEALTH 
 41.9   CARE ACCESS FUND.] For fiscal year 
 41.10  2003, funds are transferred from the 
 41.11  general fund to the health care access 
 41.12  fund in an amount equal to 76.7 percent 
 41.13  of the projected savings to general 
 41.14  assistance medical care (GAMC) that 
 41.15  would result from the modification of 
 41.16  the GAMC program.  It is estimated that 
 41.17  $92,259,000 will be transferred to the 
 41.18  health care access fund under this 
 41.19  paragraph in fiscal year 2003, 
 41.20  $133,110,000 in fiscal year 2004, and 
 41.21  $127,669,000 in fiscal year 2005. 
 41.22  (e) Health Care Grants -
 41.23  Other Assistance
 41.24  General                   -0-           -0-    
 41.25  [U SPECIAL KIDS PROGRAM.] Of this 
 41.26  appropriation, $175,000 in fiscal year 
 41.27  2002 is immediately available to the 
 41.28  commissioner to be transferred 
 41.29  immediately to the University of 
 41.30  Minnesota for the U Special Kids 
 41.31  program.  The money may be used to 
 41.32  match private grants.  The money shall 
 41.33  be used to provide physician-supervised 
 41.34  medical case management services for up 
 41.35  to 50 Minnesota children in the program 
 41.36  who are eligible for medical 
 41.37  assistance.  Base-level funding for 
 41.38  fiscal year 2004 shall be $175,000 and 
 41.39  for fiscal year 2005 shall be zero. 
 41.40  [HIV/AIDS DRUG REBATES.] General fund 
 41.41  appropriations for HIV/AIDS grants and 
 41.42  services that are no longer needed as a 
 41.43  result of greater than anticipated 
 41.44  collections under the AIDS drug 
 41.45  assistance program rebate must be used 
 41.46  to meet funding needs of the state 
 41.47  prescription drug program. 
 41.48  Subd. 5.  Basic Health Care
 41.49  Management
 41.50  General                   -0-       (100,000)
 41.51  The amounts that may be spent from this 
 41.52  appropriation for each purpose are as 
 41.53  follows: 
 41.54  (a) Health Care Policy
 41.55  Administration
 41.56  General                   -0-       (100,000)
 42.1   [ENROLLMENT STUDY.] The study of the 
 42.2   enrollment of children in the 
 42.3   MinnesotaCare and medical assistance 
 42.4   programs in Laws 2001, First Special 
 42.5   Session, chapter 9, article 17, section 
 42.6   2, subdivision 7, is repealed. 
 42.7   Subd. 6.  State-Operated
 42.8   Services
 42.9   General                   -0-      2,500,000 
 42.10  [STATE OPERATED SERVICES ACCOUNTS.] (a) 
 42.11  On June 30, 2002, the balances within 
 42.12  the accounts established under 
 42.13  Minnesota Statutes, sections 245.037; 
 42.14  246.18, subdivision 5; 246.57, 
 42.15  subdivision 1; 246.57, subdivision 5; 
 42.16  and 246.57, subdivision 6, shall be 
 42.17  deposited into the general fund.  On 
 42.18  July 1, 2002, the accounts established 
 42.19  under these sections shall be abolished.
 42.20  (b) On June 30, 2002, the balances 
 42.21  within the accounts in the special 
 42.22  revenue fund established under 
 42.23  Minnesota Statutes, section 246.18, 
 42.24  subdivision 6, shall be deposited into 
 42.25  the general fund.  On July 1, 2002, the 
 42.26  accounts within the special revenue 
 42.27  fund established under Minnesota 
 42.28  Statutes, section 246.18, subdivision 
 42.29  6, shall be abolished. 
 42.30  (c) For fiscal year 2003, $2,500,000 is 
 42.31  appropriated from the general fund to 
 42.32  the commissioner of human services for 
 42.33  the purposes specified under Minnesota 
 42.34  Statutes, sections 245.037; 246.18, 
 42.35  subdivision 5; 246.18, subdivision 6; 
 42.36  246.57, subdivision 1; 246.57, 
 42.37  subdivision 5; and 246.57, subdivision 
 42.38  6.  Prior to the expenditure of funds 
 42.39  from this appropriation, the 
 42.40  commissioner shall submit a spending 
 42.41  plan to the appropriate legislative 
 42.42  fiscal committees. 
 42.43  Subd. 7.  Continuing Care
 42.44  Grants
 42.45  General              27,896,000   20,655,000 
 42.46  Federal TANF             -0-       4,700,000
 42.47  The amounts that may be spent from this 
 42.48  appropriation for each purpose are as 
 42.49  follows: 
 42.50  (a) Community Social
 42.51  Services Grants
 42.52  Federal TANF             -0-       4,700,000 
 42.53  [TANF TRANSFER TO SOCIAL SERVICES.] Of 
 42.54  the federal TANF appropriation in 
 42.55  fiscal year 2003, $4,700,000 is 
 42.56  transferred each year to the state's 
 42.57  federal Title XX block grant.  
 42.58  Notwithstanding the provisions of 
 42.59  Minnesota Statutes, section 256E.07, in 
 43.1   each year of the biennium the 
 43.2   commissioner shall allocate $4,700,000 
 43.3   of the state's Title XX block grant 
 43.4   funds proportionate to the amount a 
 43.5   county received in calendar year 2001 
 43.6   community social services aids under 
 43.7   Minnesota Statutes, section 256E.06.  
 43.8   The commissioner shall ensure that 
 43.9   money allocated to counties under this 
 43.10  provision is used according to the 
 43.11  requirements of United States Code, 
 43.12  title 42, section 604(d)(3)(B).  
 43.13  Notwithstanding section 6, this 
 43.14  provision expires June 30, 2005. 
 43.15  (b) Medical Assistance
 43.16  Long-Term Care Waivers and
 43.17  Home Care Grants
 43.18  General              26,054,000    26,552,000
 43.19  (c) Medical Assistance
 43.20  Long-Term Care Facilities
 43.21  Grants
 43.22  General               1,815,000    (5,586,000)
 43.23  (d) Group Residential
 43.24  Housing Grants
 43.25  General                  27,000       689,000 
 43.26  (e) Chemical Dependency 
 43.27  Entitlement Grants
 43.28  General                   -0-      (1,000,000)
 43.29  (f) Chemical Dependency
 43.30  Nonentitlement Grants
 43.31  General                   -0-          -0-   
 43.32  [CONSOLIDATED CHEMICAL DEPENDENCY 
 43.33  TREATMENT FUND TIER II FUNDING.] 
 43.34  $6,615,000 of funds available in the 
 43.35  consolidated chemical dependency 
 43.36  treatment fund general reserve account 
 43.37  is transferred in fiscal year 2003 to 
 43.38  the general fund. 
 43.39  Subd. 8. Economic
 43.40  Support Grants
 43.41  General               9,797,000    (2,646,000)
 43.42  Federal TANF         (7,383,000)    5,361,000
 43.43  (a) Assistance to Families
 43.44  Grants
 43.45  General               8,712,000    (3,740,000)
 43.46  Federal TANF         (7,383,000)    6,558,000
 43.47  (b) Economic Support
 43.48  Grants - Other Assistance
 43.49  Federal TANF              -0-      (1,197,000)
 43.50  [TANF TRANSFER TO CHILD CARE AND 
 43.51  DEVELOPMENT BLOCK GRANT.] The 
 44.1   appropriation in Laws 2001, First 
 44.2   Special Session chapter 9, article 17, 
 44.3   section 2, subdivision 11, to the 
 44.4   commissioner of children, families, and 
 44.5   learning, for the purposes of section 
 44.6   119B.05 for fiscal year 2003 is reduced 
 44.7   by $1,197,000. 
 44.8   (c) General Assistance
 44.9   Grants
 44.10  General               1,361,000    1,083,000 
 44.11  (d) Minnesota Supplemental
 44.12  Aid Grants
 44.13  General                (276,000)      11,000 
 44.14  Sec. 3.  COMMISSIONER OF HEALTH
 44.15  Subdivision 1.  Total Appropriation
 44.16  Reductions                              -0-            (928,000)
 44.17                          SUMMARY BY FUND
 44.18                            2002          2003                
 44.19  General                   -0-           (928,000)
 44.20  Subd. 2.  Family and Community
 44.21  Health                                  -0-            (928,000)
 44.22                Summary by Fund
 44.23  General                   -0-           (928,000)
 44.24  Sec. 4. VETERANS NURSING HOMES
 44.25  BOARD                                   -0-           1,400,000 
 44.26  This appropriation is for the operation 
 44.27  of existing licensed bed capacity at 
 44.28  the veterans nursing homes. 
 44.29  Sec. 5.  HEALTH RELATED BOARDS
 44.30  Subdivision 1.  Total Appropriation     -0-              3,000
 44.31  [STATE GOVERNMENT SPECIAL REVENUE 
 44.32  FUND.] The appropriations in this 
 44.33  section are from the state government 
 44.34  special revenue fund. 
 44.35  [GUEST LICENSURE.] Of this 
 44.36  appropriation $3,000 in fiscal year 
 44.37  2003 is to the board of dentistry for 
 44.38  guest licensure of dentists or dental 
 44.39  hygienists or guest registration of 
 44.40  dental assistants under Minnesota 
 44.41  Statutes, section 150A.06, subdivision 
 44.42  2c. 
 44.43     Sec. 6.  [SUNSET OF UNCODIFIED LANGUAGE.] 
 44.44     All uncodified language contained in this article expires 
 44.45  on June 30, 2003, unless a different expiration date is explicit.
 44.46     Sec. 7.  [EFFECTIVE DATE.] 
 44.47     The appropriations and reductions for fiscal year 2002 in 
 45.1   this article are effective the day following final enactment.