1.1 	A bill for an act
1.2 	relating to human services; removing the limit on certain nursing facility planned 
1.3 	closure rate adjustments; modifying notice requirements for nursing home 
1.4 	and board and care home resident relocation; requiring weekly status reports;
1.5 	amending Minnesota Statutes 2004, sections 144A.161; 256B.437, subdivision 
1.6 	3; Minnesota Statutes 2005 Supplement, section 256B.0918, subdivisions 1, 3, 4;  
1.7 	Laws 2005, First Special Session chapter 4, article 9, section 5, subdivision 8.
1.8 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.9 	Section 1. Minnesota Statutes 2004, section 144A.161, is amended to read:
1.10 	144A.161 NURSING FACILITY HOME AND BOARD AND CARE HOME
1.11 	RESIDENT RELOCATION.
1.12 		Subdivision 1.Definitions. The definitions in this subdivision apply to subdivisions 
1.13 	2 to 10.
1.14 	(a) "Closure" means the cessation of operations of a facility and the delicensure and 
1.15 	decertification of all beds within the facility.
1.16 	(b) "Curtailment," "reduction," or "change" refers to any change in operations which 
1.17 	would result in or encourage the relocation of residents.
1.18 	(c) "Facility" means a nursing home licensed pursuant to this chapter, or a certified 
1.19 	boarding care home licensed pursuant to sections  144.50 to  144.56. 
1.20 	(d) "Licensee" means the owner of the facility or the owner's designee or the 
1.21 	commissioner of health for a facility in receivership.
1.22 	(e) "Local agency" "County social services agency" means the county or multicounty 
1.23 	social service agency authorized under sections  393.01 and  393.07, as the agency 
1.24 	responsible for providing social services for the county in which the nursing home is 
1.25 	located. 
2.1 	(f) "Plan" means a process developed under subdivision 3, paragraph (b), for the 
2.2 	closure, curtailment, reduction, or change in operations in a facility and the subsequent 
2.3 	relocation of residents.
2.4 	(g) "Relocation" means the discharge of a resident and movement of the resident to 
2.5 	another facility or living arrangement as a result of the closing, curtailment, reduction, or 
2.6 	change in operations of a nursing home or boarding care home.
2.7 		Subd. 1a.Scope. A facility undertaking a closure, curtailment, reduction, or change 
2.8 	in operations and the county social services agency must comply with the requirements 
2.9 	of this section.
2.10 		Subd. 2.Initial notice from licensee. (a) A licensee shall notify the following 
2.11 	parties in writing when there is an intent to close or curtail, reduce, or change operations 
2.12 	which would result in or encourage the relocation of residents:
2.13 	(1) the commissioner of health;
2.14 	(2) the commissioner of human services;
2.15 	(3) the local county social services agency;
2.16 	(4) the Office of the Ombudsman for Older Minnesotans; and
2.17 	(5) the Office of the Ombudsman for Mental Health and Mental Retardation.
2.18 	(b) The written notice shall include the names, telephone numbers, facsimile 
2.19 	numbers, and e-mail addresses of the persons in the facility responsible for coordinating 
2.20 	the licensee's efforts in the planning process, and the number of residents potentially 
2.21 	affected by the closure or curtailment, reduction, or change in operations.
2.22 	(c) After providing written notice under this section, and prior to admission, the 
2.23 	facility must fully inform prospective residents and their families of the intent to close, 
2.24 	curtail, reduce, or change operations, and of the relocation plan.
2.25 		Subd. 3.Planning process. (a) The local county social services agency shall, 
2.26 	within five working days of receiving initial notice of the licensee's intent to close or 
2.27 	curtail, reduce, or change operations, provide the licensee and all parties identified in 
2.28 	subdivision 2, paragraph (a), with the names, telephone numbers, facsimile numbers, and 
2.29 	e-mail addresses of those persons responsible for coordinating local county social services
2.30 	agency efforts in the planning process.
2.31 	(b) Within ten working days of receipt of the notice under paragraph (a), the local
2.32 	county social services agency and licensee shall meet to develop the relocation plan. 
2.33 	The local county social services agency shall inform the Departments of Health and 
2.34 	Human Services, the Office of the Ombudsman for Older Minnesotans, and the Office 
2.35 	of the Ombudsman for Mental Health and Mental Retardation of the date, time, and 
2.36 	location of the meeting so that their representatives may attend. The relocation plan 
3.1 	must be completed within 45 days of receipt of the initial notice. However, the plan may 
3.2 	be finalized on an earlier schedule agreed to by all parties. To the extent practicable, 
3.3 	consistent with requirements to protect the safety and health of residents, the commissioner 
3.4 	may authorize the planning process under this subdivision to occur concurrent with the 
3.5 	60-day notice required under subdivision 5a. The plan shall:
3.6 	(1) identify the expected date of closure, curtailment, reduction, or change in 
3.7 	operations;
3.8 	(2) outline the process for public notification of the closure, curtailment, reduction, 
3.9 	or change in operations;
3.10 	(3) identify efforts that will be made to include other stakeholders in the relocation 
3.11 	process;
3.12 	(4) outline the process to ensure 60-day advance written notice to residents, family 
3.13 	members, and designated representatives;
3.14 	(5) present an aggregate description of the resident population remaining to be 
3.15 	relocated and the population's needs;
3.16 	(6) outline the individual resident assessment process to be utilized;
3.17 	(7) identify an inventory of available relocation options, including home and 
3.18 	community-based services;
3.19 	(8) identify a timeline for submission of the list identified in subdivision 5c, 
3.20 	paragraph (b); and
3.21 	(9) identify a schedule for the timely completion of each element of the plan; and
3.22 	(10) identify the steps the licensee and the county social services agency will take to 
3.23 	address the relocation needs of individual residents who may be difficult to place due to 
3.24 	specialized care needs such as behavioral health problems.
3.25 	(c) All parties to the plan shall refrain from any public notification of the intent to 
3.26 	close or curtail, reduce, or change operations until a relocation plan has been established. 
3.27 	If the planning process occurs concurrently with the 60-day notice period, this requirement 
3.28 	does not apply once 60-day notice is given.
3.29 		Subd. 4.Responsibilities of licensee for resident relocations. The licensee shall 
3.30 	provide for the safe, orderly, and appropriate relocation of residents. The licensee and 
3.31 	facility staff shall cooperate with representatives from the local county social services
3.32 	agency, the Department of Health, the Department of Human Services, the Office of 
3.33 	Ombudsman for Older Minnesotans, and ombudsman for mental health and mental 
3.34 	retardation in planning for and implementing the relocation of residents.
3.35 		Subd. 5.Licensee responsibilities prior to relocation. (a) The licensee shall 
3.36 	establish an interdisciplinary team responsible for coordinating and implementing the 
4.1 	plan. The interdisciplinary team shall include representatives from the local county social 
4.2 	services agency, the Office of Ombudsman for Older Minnesotans, facility staff that 
4.3 	provide direct care services to the residents, and facility administration.
4.4 	(b) The licensee shall provide a list summary document to the local county social 
4.5 	services agency that includes the following information on each resident to be relocated:
4.6 	(1) name;
4.7 	(2) date of birth;
4.8 	(3) Social Security number;
4.9 	(4) payment source and medical assistance identification number, if applicable;
4.10 	(5) county of financial responsibility;
4.11 	(6) date of admission to the facility;
4.12 	(5) (7) all diagnoses; and
4.13 	(8) the name of and contact information for the resident's physician;
4.14 	(6) (9) the name and contact information for the resident's family or other designated 
4.15 	representative;
4.16 	(10) the names of and contact information for any case managers, if known; and
4.17 	(11) information on the resident's status related to commitment and probation.
4.18 	(c) The licensee shall consult with the local county social services agency on the 
4.19 	availability and development of available resources and on the resident relocation process.
4.20 		Subd. 5a.Licensee responsibilities to provide notice. At least 60 days before the 
4.21 	proposed date of closing, curtailment, reduction, or change in operations as agreed to in 
4.22 	the plan, the licensee shall send a written notice of closure or curtailment, reduction, or 
4.23 	change in operations to each resident being relocated, the resident's family member or 
4.24 	designated representative, and the resident's attending physician. The notice must include 
4.25 	the following:
4.26 	(1) the date of the proposed closure, curtailment, reduction, or change in operations;
4.27 	(2) the name, address, telephone number, facsimile number, and e-mail address 
4.28 	of the individual or individuals in the facility responsible for providing assistance and 
4.29 	information;
4.30 	(3) notification of upcoming meetings for residents, families and designated 
4.31 	representatives, and resident and family councils to discuss the relocation of residents;
4.32 	(4) the name, address, and telephone number of the local county social services
4.33 	agency contact person; and
4.34 	(5) the name, address, and telephone number of the Office of Ombudsman for Older 
4.35 	Minnesotans and the ombudsman for mental health and mental retardation.
5.1 	The notice must comply with all applicable state and federal requirements for notice 
5.2 	of transfer or discharge of nursing home residents.
5.3 		Subd. 5b.Licensee responsibility regarding medical information. The licensee 
5.4 	shall request the attending physician provide or arrange for the release of medical 
5.5 	information needed to update resident medical records and prepare all required forms 
5.6 	and discharge summaries.
5.7 		Subd. 5c.Licensee responsibility regarding placement information. (a) The 
5.8 	licensee shall provide sufficient preparation to residents to ensure safe, orderly, and 
5.9 	appropriate discharge and relocation. The licensee shall assist residents in finding 
5.10 	placements that respond to personal preferences, such as desired geographic location.
5.11 	(b) The licensee shall prepare a resource list with several relocation options for each 
5.12 	resident. The list must contain the following information for each relocation option, 
5.13 	when applicable:
5.14 	(1) the name, address, and telephone and facsimile numbers of each facility with 
5.15 	appropriate, available beds or services;
5.16 	(2) the certification level of the available beds;
5.17 	(3) the types of services available; and
5.18 	(4) the name, address, and telephone and facsimile numbers of appropriate available 
5.19 	home and community-based placements, services, and settings or other options for 
5.20 	individuals with special needs.
5.21 	The list shall be made available to residents and their families or designated 
5.22 	representatives, and upon request to the Office of Ombudsman for Older Minnesotans, 
5.23 	the ombudsman for mental health and Mental Retardation, and the local county social 
5.24 	services agency.
5.25 	(c) The Senior LinkAge line may make available via a Web site the name, address, 
5.26 	and telephone and facsimile numbers of each facility with available beds, the certification 
5.27 	level of the available beds, the types of services available, and the number of beds that are 
5.28 	available as updated daily by the listed facilities. The licensee must provide residents, 
5.29 	their families or designated representatives, the Office of the Ombudsman for Older 
5.30 	Minnesotans, the Office of the Ombudsman for Mental Health and Mental Retardation, 
5.31 	and the local county social services agency with the toll-free number and Web site address 
5.32 	for the Senior LinkAge line.
5.33 		Subd. 5d.Licensee responsibility to meet with residents and families. Following 
5.34 	the establishment of the plan, the licensee shall conduct meetings with residents, families 
5.35 	and designated representatives, and resident and family councils to notify them of the 
5.36 	process for resident relocation. Representatives from the local county social services 
6.1 	agency, the Office of Ombudsman for Older Minnesotans, the ombudsman for mental 
6.2 	health and mental retardation, the commissioner of health, and the commissioner of 
6.3 	human services shall receive advance notice of the meetings.
6.4 		Subd. 5e.Licensee responsibility for site visits. The licensee shall assist 
6.5 	residents desiring to make site visits to facilities with available beds or other appropriate 
6.6 	living options to which the resident may relocate, unless it is medically inadvisable, 
6.7 	as documented by the attending physician in the resident's care record. The licensee 
6.8 	shall provide or arrange transportation for site visits to facilities or other living options 
6.9 	within a 50-mile radius to which the resident may relocate, or within a larger radius if no 
6.10 	suitable options are available within 50 miles. The licensee shall provide available written 
6.11 	materials to residents on a potential new facility or living option.
6.12 		Subd. 5f.Licensee responsibility for personal property, personal funds, and 
6.13 	telephone service. (a) The licensee shall complete an inventory of resident personal 
6.14 	possessions and provide a copy of the final inventory to the resident and the resident's 
6.15 	designated representative prior to relocation. The licensee shall be responsible for the 
6.16 	transfer of the resident's possessions for all relocations within a 50-mile radius of the 
6.17 	facility, or within a larger radius if no suitable options are available within 50 miles. The 
6.18 	licensee shall complete the transfer of resident possessions in a timely manner, but no later 
6.19 	than the date of the actual physical relocation of the resident.
6.20 	(b) The licensee shall complete a final accounting of personal funds held in trust 
6.21 	by the facility and provide a copy of this accounting to the resident and the resident's 
6.22 	family or the resident's designated representative. The licensee shall be responsible for the 
6.23 	transfer of all personal funds held in trust by the facility. The licensee shall complete the 
6.24 	transfer of all personal funds in a timely manner.
6.25 	(c) The licensee shall assist residents with the transfer and reconnection of service 
6.26 	for telephones or, for residents who are deaf or blind, other personal communication 
6.27 	devices or services. The licensee shall pay the costs associated with reestablishing service 
6.28 	for telephones or other personal communication devices or services, such as connection 
6.29 	fees or other one-time charges. The transfer or reconnection of personal communication 
6.30 	devices or services shall be completed in a timely manner.
6.31 		Subd. 5g.Licensee responsibilities for final notice and records transfer. (a) The 
6.32 	licensee shall provide the resident, the resident's family or designated representative, 
6.33 	and the resident's attending physician final written notice prior to the relocation of the 
6.34 	resident. The notice must:
6.35 	(1) be provided seven days prior to the actual relocation, unless the resident agrees 
6.36 	to waive the right to advance notice; and
7.1 	(2) identify the date of the anticipated relocation and the destination to which the 
7.2 	resident is being relocated.
7.3 	(b) The licensee shall provide the receiving facility or other health, housing, or 
7.4 	care entity with complete and accurate resident records including information on family 
7.5 	members, designated representatives, guardians, social service caseworkers, or other 
7.6 	contact information. These records must also include all information necessary to 
7.7 	provide appropriate medical care and social services. This includes, but is not limited 
7.8 	to, information on preadmission screening, Level I and Level II screening, minimum 
7.9 	data set (MDS), and all other assessments, resident diagnoses, social, behavioral, and 
7.10 	medication information.
7.11 	(c) For residents with special care needs, the licensee shall consult with the receiving 
7.12 	facility or other placement entity and provide staff training or other preparation as needed 
7.13 	to assist in providing for the special needs.
7.14 		Subd. 6.Responsibilities of the licensee during relocation. (a) The licensee 
7.15 	shall make arrangements or provide for the transportation of residents to the new facility 
7.16 	or placement within a 50-mile radius, or within a larger radius if no suitable options 
7.17 	are available within 50 miles. The licensee shall provide a staff person to accompany 
7.18 	the resident during transportation, upon request of the resident, the resident's family, or 
7.19 	designated representative. The discharge and relocation of residents must comply with all 
7.20 	applicable state and federal requirements and must be conducted in a safe, orderly, and 
7.21 	appropriate manner. The licensee must ensure that there is no disruption in providing 
7.22 	meals, medications, or treatments of a resident during the relocation process.
7.23 	(b) Beginning the week following development of the initial relocation plan, the 
7.24 	licensee shall submit biweekly weekly status reports to the commissioners of health and 
7.25 	human services or their designees and to the local county social services agency. The 
7.26 	initial status report must identify:
7.27 	(1) the relocation plan developed;
7.28 	(2) the interdisciplinary team members; and
7.29 	(3) the number of residents to be relocated.
7.30 	(c) Subsequent status reports must identify:
7.31 	(1) any modifications to the plan;
7.32 	(2) any change of interdisciplinary team members;
7.33 	(3) the number of residents relocated;
7.34 	(4) the destination to which residents have been relocated;
7.35 	(5) the number of residents remaining to be relocated; and
7.36 	(6) issues or problems encountered during the process and resolution of these issues.
8.1 		Subd. 7.Responsibilities of the licensee following relocation. The licensee shall 
8.2 	retain or make arrangements for the retention of all remaining resident records for the 
8.3 	period required by law. The licensee shall provide the Department of Health access to 
8.4 	these records. The licensee shall notify the Department of Health of the location of any 
8.5 	resident records that have not been transferred to the new facility or other health care entity.
8.6 		Subd. 8.Responsibilities of local county social services agency. (a) The local
8.7 	county social services agency shall participate in the meeting as outlined in subdivision 3, 
8.8 	paragraph (b), to develop a relocation plan.
8.9 	(b) The local county social services agency shall designate a representative to 
8.10 	the interdisciplinary team established by the licensee responsible for coordinating the 
8.11 	relocation efforts.
8.12 	(c) The local county social services agency shall serve as a resource in the relocation 
8.13 	process.
8.14 	(d) Concurrent with the notice sent to residents from the licensee as provided in 
8.15 	subdivision 5a, the local county social services agency shall provide written notice to 
8.16 	residents, family, or designated representatives describing:
8.17 	(1) the county's role in the relocation process and in the follow-up to relocations;
8.18 	(2) a local county social services agency contact name, address, and telephone 
8.19 	number; and
8.20 	(3) the name, address, and telephone number of the Office of Ombudsman for Older 
8.21 	Minnesotans and the ombudsman for mental health and mental retardation.
8.22 	(e) The local county social services agency designee shall meet with appropriate 
8.23 	facility staff to coordinate any assistance in the relocation process. This coordination 
8.24 	shall include participating in group meetings with residents, families, and designated 
8.25 	representatives to explain the relocation process.
8.26 	(f) The local county social services agency shall monitor compliance with all 
8.27 	components of the plan. If the licensee is not in compliance, the local agency shall notify 
8.28 	the commissioners of the Departments of Health and Human Services.
8.29 	(g) Except as requested by the resident, family member, or designated representative 
8.30 	and within the parameters of the Vulnerable Adults Act, the local agency may halt a 
8.31 	relocation that it deems inappropriate or dangerous to the health or safety of a resident. The 
8.32 	local county social services agency shall pursue remedies to protect the resident during the 
8.33 	relocation process, including, but not limited to, assisting the resident with filing an appeal 
8.34 	of transfer or discharge, notification of all appropriate licensing boards and agencies, and 
8.35 	other remedies available to the county under section  626.557, subdivision 10. 
9.1 	(h) A member of the local county social services agency staff shall visit residents 
9.2 	relocated within 100 miles of the county within 30 days after the relocation. Local This 
9.3 	requirement does not apply to changes in operation where the facility moved to a new 
9.4 	location and residents chose to move to that new location. The requirement also does not 
9.5 	apply to residents admitted after the notice of closure and discharged prior to the actual 
9.6 	closure. County social services agency staff shall interview the resident and family or 
9.7 	designated representative, observe the resident on site, and review and discuss pertinent 
9.8 	medical or social records with appropriate facility staff to:
9.9 	(1) assess the adjustment of the resident to the new placement;
9.10 	(2) recommend services or methods to meet any special needs of the resident; and
9.11 	(3) identify residents at risk.
9.12 	(i) The local county social services agency may conduct subsequent follow-up visits 
9.13 	in cases where the adjustment of the resident to the new placement is in question.
9.14 	(j) Within 60 days of the completion of the follow-up visits, the local county social 
9.15 	services agency shall submit a written summary of the follow-up work to the Departments 
9.16 	of Health and Human Services in a manner approved by the commissioners.
9.17 	(k) The local county social services agency shall submit to the Departments of Health 
9.18 	and Human Services a report of any issues that may require further review or monitoring.
9.19 	(l) The local county social services agency shall be responsible for the safe and 
9.20 	orderly relocation of residents in cases where an emergent need arises or when the licensee 
9.21 	has abrogated its responsibilities under the plan.
9.22 		Subd. 9.Penalties. Upon the recommendation of the commissioner of health, 
9.23 	the commissioner of human services may eliminate a closure rate adjustment under 
9.24 	subdivision 10 for violations of this section.
9.25 		Subd. 10.Facility closure rate adjustment. Upon the request of a closing facility, 
9.26 	the commissioner of human services must allow the facility a closure rate adjustment 
9.27 	equal to a 50 percent payment rate increase to reimburse relocation costs or other 
9.28 	costs related to facility closure. This rate increase is effective on the date the facility's 
9.29 	occupancy decreases to 90 percent of capacity days after the written notice of closure is 
9.30 	distributed under subdivision 5 and shall remain in effect for a period of up to 60 days. 
9.31 	The commissioner shall delay the implementation of rate adjustments under section  
9.32 	256B.437, subdivisions 3, paragraph (b), and 6, paragraph (a), to offset the cost of this 
9.33 	rate adjustment. 
9.34 		Subd. 11.County costs. The commissioner of human services shall allocate up 
9.35 	to $450 in total state and federal funds per nursing facility bed that is closing, within 
9.36 	the limits of the appropriation specified for this purpose, to be used for relocation costs 
10.1 	incurred by counties for resident relocation under this section or planned closures under 
10.2 	section  256B.437. To be eligible for this allocation, a county in which a nursing facility 
10.3 	closes must provide to the commissioner a detailed statement in a form provided by the 
10.4 	commissioner of additional costs, not to exceed $450 in total state and federal funds per 
10.5 	bed closed, that are directly incurred related to the county's role in the relocation process. 

10.6 	Sec. 2. Minnesota Statutes 2005 Supplement, section 256B.0918, subdivision 1, 
10.7 	is amended to read:
10.8 		Subdivision 1.Program criteria. Beginning on or after October 1, 2005, within 
10.9 	the limits of appropriations specifically available for this purpose, the commissioner shall 
10.10 	provide funding to qualified provider applicants for employee scholarships for education 
10.11 	in nursing and other health care fields. Employee scholarships must be for a course of 
10.12 	study that is expected to lead to career advancement with the provider or in the field 
10.13 	of long-term care, including home care or care of persons with disabilities, or nursing. 
10.14 	Providers that secure this funding must use it to award scholarships to employees who 
10.15 	work an average of at least 20 hours per week for the provider. Executive management 
10.16 	staff without direct care duties, registered nurses, and therapists are not eligible to receive 
10.17 	scholarships under this section.

10.18 	Sec. 3. Minnesota Statutes 2005 Supplement, section 256B.0918, subdivision 3, 
10.19 	is amended to read:
10.20 		Subd. 3.Provider selection criteria. To be considered for scholarship funding, 
10.21 	the provider shall submit a completed application within the time frame specified by the 
10.22 	commissioner. In awarding funding, the commissioner shall consider the following:
10.23 	(1) the size of the provider as measured in annual billing to the medical assistance 
10.24 	program. To be eligible, a provider must receive at least $500,000$300,000 annually 
10.25 	in medical assistance payments;
10.26 	(2) the percentage of employees meeting the scholarship program recipient 
10.27 	requirements;
10.28 	(3) staff retention rates for paraprofessionals; and
10.29 	(4) other criteria determined by the commissioner.

10.30 	Sec. 4. Minnesota Statutes 2005 Supplement, section 256B.0918, subdivision 4, 
10.31 	is amended to read:
10.32 		Subd. 4.Funding specifics. Within the limits of appropriations specifically 
10.33 	available for this purpose, for the rate period beginning on or after October 1, 2005, to 
11.1 	September 30, 2007, the commissioner shall provide to each provider listed in subdivision 
11.2 	2 and awarded funds under subdivision 3 a medical assistance rate increase to fund 
11.3 	scholarships up to two-tenthsthree-tenths percent of the medical assistance reimbursement 
11.4 	rate. The commissioner shall require providers to repay any portion of funds awarded 
11.5 	under subdivision 3 that is not used to fund scholarships. If applications exceed available 
11.6 	funding, funding shall be targeted to providers that employ a higher percentage of 
11.7 	paraprofessional staff or have lower rates of turnover of paraprofessional staff. During 
11.8 	the subsequent years of the program, the rate adjustment may be recalculated, at the 
11.9 	discretion of the commissioner. In making a recalculation the commissioner may consider 
11.10 	the provider's success at granting scholarships based on the amount spent during the 
11.11 	previous year and the availability of appropriations to continue the program.

11.12 	Sec. 5. Minnesota Statutes 2004, section 256B.437, subdivision 3, is amended to read:
11.13 		Subd. 3.Applications for planned closure of nursing facilities. (a) By August 
11.14 	15, 2001, the commissioner of human services shall implement and announce a program 
11.15 	for closure or partial closure of nursing facilities. Names and identifying information 
11.16 	provided in response to the announcement shall remain private unless approved, according 
11.17 	to the timelines established in the plan. The announcement must specify:
11.18 	(1) the criteria in subdivision 4 that will be used by the commissioner to approve or 
11.19 	reject applications;
11.20 	(2) the information that must accompany an application; and
11.21 	(3) that applications may combine planned closure rate adjustments with moratorium 
11.22 	exception funding, in which case a single application may serve both purposes.
11.23 	Between August 1, 2001, and June 30, 2003, the commissioner may approve planned 
11.24 	closures of up to 5,140 nursing facility beds, less the number of beds delicensed in 
11.25 	facilities during the same time period without approved closure plans or that have notified 
11.26 	the commissioner of health of their intent to close without an approved closure plan. 
11.27 	Beginning July 1, 2004, the commissioner may negotiate a planned closure rate adjustment
11.28 	for nursing facilities providing the proposal has no cost to the state. For planned closure 
11.29 	rate adjustments negotiated after March 1, 2006, the limit of $2,080 in subdivision 6, 
11.30 	paragraph (a), clause (1), shall not apply. The removal of the limit in subdivision 6, 
11.31 	paragraph (a), clause (1), shall not constitute an increase to the amount specified in 
11.32 	subdivision 6, paragraph (a), clause (1), for the purposes of subdivision 6, paragraph (f).
11.33 	(b) A facility or facilities reimbursed under section  256B.431 or  256B.434 with a 
11.34 	closure plan approved by the commissioner under subdivision 5 may assign a planned 
11.35 	closure rate adjustment to another facility or facilities that are not closing or in the case of 
12.1 	a partial closure, to the facility undertaking the partial closure. A facility may also elect to 
12.2 	have a planned closure rate adjustment shared equally by the five nursing facilities with 
12.3 	the lowest total operating payment rates in the state development region designated under 
12.4 	section  462.385, in which the facility that is closing is located. The planned closure 
12.5 	rate adjustment must be calculated under subdivision 6. Facilities that delicense beds 
12.6 	without a closure plan, or whose closure plan is not approved by the commissioner, are not 
12.7 	eligible to assign a planned closure rate adjustment under subdivision 6, unless they are 
12.8 	delicensing five or fewer beds, or less than six percent of their total licensed bed capacity, 
12.9 	whichever is greater, are located in a county in the top three quartiles of beds per 1,000 
12.10 	persons aged 65 or older, and have not delicensed beds in the prior three months. Facilities 
12.11 	meeting these criteria are eligible to assign the amount calculated under subdivision 6 to 
12.12 	themselves. If a facility is delicensing the greater of six or more beds, or six percent or 
12.13 	more of its total licensed bed capacity, and does not have an approved closure plan or is 
12.14 	not eligible for the adjustment under subdivision 6, the commissioner shall calculate the 
12.15 	amount the facility would have been eligible to assign under subdivision 6, and shall use 
12.16 	this amount to provide equal rate adjustments to the five nursing facilities with the lowest 
12.17 	total operating payment rates in the state development region designated under section  
12.18 	462.385, in which the facility that delicensed beds is located. 
12.19 	(c) To be considered for approval, an application must include:
12.20 	(1) a description of the proposed closure plan, which must include identification of 
12.21 	the facility or facilities to receive a planned closure rate adjustment;
12.22 	(2) the proposed timetable for any proposed closure, including the proposed dates 
12.23 	for announcement to residents, commencement of closure, and completion of closure;
12.24 	(3) if available, the proposed relocation plan for current residents of any facility 
12.25 	designated for closure. If a relocation plan is not available, the application must include a 
12.26 	statement agreeing to develop a relocation plan designed to comply with section  144A.161; 
12.27 	(4) a description of the relationship between the nursing facility that is proposed for 
12.28 	closure and the nursing facility or facilities proposed to receive the planned closure rate 
12.29 	adjustment. If these facilities are not under common ownership, copies of any contracts, 
12.30 	purchase agreements, or other documents establishing a relationship or proposed 
12.31 	relationship must be provided;
12.32 	(5) documentation, in a format approved by the commissioner, that all the nursing 
12.33 	facilities receiving a planned closure rate adjustment under the plan have accepted joint 
12.34 	and several liability for recovery of overpayments under section  256B.0641, subdivision 
12.35 	2, for the facilities designated for closure under the plan; and 
13.1 	(6) an explanation of how the application coordinates with planning efforts under 
13.2 	subdivision 2. If the planning group does not support a level of nursing facility closures 
13.3 	that the commissioner considers to be reasonable, the commissioner may approve a 
13.4 	planned closure proposal without its support.
13.5 	(d) The application must address the criteria listed in subdivision 4.

13.6 	EFFECTIVE DATE. This section is effective retroactively from March 1, 2006.

13.7 	Sec. 6. Laws 2005, First Special Session chapter 4, article 9, section 5, subdivision 8, 
13.8 	is amended to read:

13.9	Subd. 8.Board of Nursing
 		3,078,000
		3,631,000
	
13.10 	
13.11 	BASE ADJUSTMENT. The base for the  
13.12 	board of nursing is increased by  $141,000 
13.13 	in fiscal year 2008 and by  $216,000 in fiscal 
13.14 	year 2009.  
13.15 	BOARD OF NURSING 
13.16 	APPROPRIATIONS  INCREASE. Of 
13.17 	this appropriation,  $120,000 the first year 
13.18 	and $126,000  the second year are for the 
13.19 	increased  cost of board operations, excluding  
13.20 	salary increases and $85,000 each year  is to 
13.21 	hire an advanced practice  registered nurse.  
13.22 	TRANSFERS FROM SPECIAL 
13.23 	REVENUE FUND.  Of this appropriation, 
13.24 	the following  transfers shall be made as 
13.25 	directed  from the state government special  
13.26 	revenue fund:  
13.27 	(a) $392,000 in fiscal year 2006,  $864,000 
13.28 	in fiscal year 2007, $930,000  in fiscal year 
13.29 	2008, and $930,000 in  fiscal year 2009 
13.30 	shall be transferred  to the general fund 
13.31 	and is appropriated  to the Department 
13.32 	of Human Services to  offset the state 
13.33 	share of the medical  assistance program 
14.1 	costs of the  long-term care and home and  
14.2 	community-based care employee  scholarship 
14.3 	program and associated  administrative costs.  
14.4 	At the end of  each biennium, any funds 
14.5 	not expended  for the scholarship program 
14.6 	and  associated administrative costs shall  
14.7 	be transferred to the state government 
14.8 	special revenue fund carried over to the 
14.9 	next biennium for the same purpose.  
14.10 	Notwithstanding  section 15, this paragraph 
14.11 	expires June  30, 2009.  
14.12 	(b) $125,000 the first year and  $200,000 the 
14.13 	second year shall be  transferred to the health 
14.14 	professional  education loan forgiveness 
14.15 	program  account for loan forgiveness 
14.16 	for nurses  under Minnesota Statutes, 
14.17 	section  144.1501.  This appropriation shall  
14.18 	become part of base level funding for  the 
14.19 	commissioner for the biennium  beginning 
14.20 	July 1, 2007, but shall not  be part of base 
14.21 	level funding for the  biennium beginning 
14.22 	July 1, 2009.  Notwithstanding section 15, 
14.23 	this  paragraph expires on June 30, 2009.