1.1 	A bill for an act
1.2 	relating to state government; making changes to health and human services 
1.3 	policy provisions; modifying provisions related to children and family 
1.4 	services, child support, child care, continuing care, disability services, the 
1.5 	telephone equipment program, chemical and mental health, health care, 
1.6 	human services licensing, licensing data, and the Office of Inspector General; 
1.7 	providing for child safety and permanency reform including adoptions under 
1.8 	guardianship of the commissioner; reforming comprehensive assessment and 
1.9 	case management services; amending the Human Services Background Study 
1.10 	Act; establishing home and community-based services standards; developing 
1.11 	payment methodologies; modifying municipal license provisions; requiring 
1.12 	data sharing with the Department of Human Services; requiring eligibility 
1.13 	determinations; modifying fees; providing criminal penalties; making technical 
1.14 	changes; requiring reports;amending Minnesota Statutes 2010, sections 13.46, 
1.15 	subdivisions 2, 3, 4; 13.461, subdivision 17; 13.465, by adding a subdivision; 
1.16 	13.82, subdivision 1; 119B.09, subdivision 7; 119B.12, subdivisions 1, 2; 
1.17 	119B.125, subdivisions 1a, 2, 6; 119B.13, subdivision 6; 144A.071, subdivision 
1.18 	5a; 145.902; 237.50; 237.51; 237.52; 237.53; 237.54; 237.55; 237.56; 245.461, 
1.19 	by adding a subdivision; 245.462, subdivision 20; 245.487, by adding a 
1.20 	subdivision; 245.4871, subdivision 15; 245.4932, subdivision 1; 245A.03, 
1.21 	subdivision 2, by adding a subdivision; 245A.04, subdivisions 1, 7, 11, by 
1.22 	adding a subdivision; 245A.041, by adding subdivisions; 245A.05; 245A.07, 
1.23 	subdivision 3; 245A.085; 245A.11, subdivisions 2a, 8; 245A.14, subdivision 11, 
1.24 	by adding a subdivision; 245A.146, subdivisions 2, 3; 245A.18, subdivision 1; 
1.25 	245A.22, subdivision 2; 245A.66, subdivisions 2, 3; 245B.02, subdivision 10, 
1.26 	by adding a subdivision; 245B.04, subdivisions 1, 2, 3; 245B.05, subdivision 1; 
1.27 	245B.07, subdivisions 5, 9, 10, by adding a subdivision; 245C.03, subdivision 1; 
1.28 	245C.04, subdivision 1; 245C.05, subdivisions 2, 4, 7, by adding a subdivision; 
1.29 	245C.07; 245C.16, subdivision 1; 245C.17, subdivision 2; 245C.22, subdivision 
1.30 	5; 246.53, by adding a subdivision; 252.32, subdivision 1a; 252A.21, subdivision 
1.31 	2; 256.476, subdivision 11; 256.9657, subdivision 1; 256.998, subdivisions 1, 
1.32 	5; 256B.04, subdivision 14; 256B.056, subdivision 3c; 256B.0595, subdivision 
1.33 	2; 256B.0625, subdivisions 13, 13d, 19c, 42; 256B.0659, subdivisions 1, 2, 3, 
1.34 	3a, 4, 9, 13, 14, 19, 20, 21, 24, 30; 256B.0911, subdivisions 1, 2b, 2c, 3, 3b, 
1.35 	4c, 6; 256B.0913, subdivisions 7, 8; 256B.0915, subdivisions 1a, 1b, 3c, 6; 
1.36 	256B.0916, subdivision 7; 256B.092, subdivisions 1, 1a, 1b, 1e, 1g, 2, 3, 5, 7, 
1.37 	8, 8a, 9, 11; 256B.096, subdivision 5; 256B.15, subdivisions 1c, 1f; 256B.19, 
1.38 	subdivision 1c; 256B.441, subdivisions 13, 31, 53; 256B.49, subdivisions 13, 
1.39 	21; 256B.4912; 256B.69, subdivision 5; 256F.13, subdivision 1; 256G.02, 
2.1 	subdivision 6; 256J.08, subdivision 11; 256J.24, subdivisions 2, 5; 256J.32, 
2.2 	subdivision 6; 256J.621; 256J.68, subdivision 7; 256J.95, subdivision 3; 
2.3 	256L.05, subdivision 3; 257.01; 257.75, subdivision 7; 259.22, subdivision 2; 
2.4 	259.23, subdivision 1; 259.24, subdivisions 1, 3, 5, 6a, 7; 259.29, subdivision 
2.5 	2; 259.69; 259.73; 260.012; 260C.001; 260C.007, subdivision 4, by adding 
2.6 	subdivisions; 260C.101, subdivision 2; 260C.157, subdivision 1; 260C.163, 
2.7 	subdivisions 1, 4; 260C.178, subdivisions 1, 7; 260C.193, subdivisions 3, 
2.8 	6; 260C.201, subdivisions 2, 10, 11a; 260C.212, subdivisions 1, 2, 5, 7; 
2.9 	260C.215, subdivisions 4, 6; 260C.217; 260C.301, subdivisions 1, 8; 260C.317, 
2.10 	subdivisions 3, 4; 260C.325, subdivisions 1, 3, 4; 260C.328; 260C.451; 260D.08; 
2.11 	471.709; 514.982, subdivision 1; 518A.40, subdivision 4; 518C.205; 541.04; 
2.12 	548.09, subdivision 1; 609.3785; 626.556, subdivisions 2, 10, 10e, 10f, 10i, 
2.13 	10k, 11; Minnesota Statutes 2011 Supplement, sections 119B.13, subdivision 1; 
2.14 	125A.21, subdivision 7; 144A.071, subdivisions 3, 4a; 245A.03, subdivision 7; 
2.15 	254B.04, subdivision 2a; 256.01, subdivision 14b; 256B.04, subdivision 21; 
2.16 	256B.056, subdivision 3; 256B.057, subdivision 9; 256B.0625, subdivisions 
2.17 	13e, 13h, 14, 56; 256B.0631, subdivisions 1, 2; 256B.0659, subdivision 11; 
2.18 	256B.0911, subdivisions 1a, 3a, 4a; 256B.0915, subdivision 10; 256B.49, 
2.19 	subdivisions 14, 15; 256B.69, subdivision 28; 256L.15, subdivision 1; 626.557, 
2.20 	subdivisions 9, 9a; 626.5572, subdivision 13; Laws 2008, chapter 338, section 
2.21 	3, subdivisions 1, 8; Laws 2009, chapter 79, article 8, section 81, as amended; 
2.22 	proposing coding for new law in Minnesota Statutes, chapters 245A; 252; 256B; 
2.23 	260C; 611; proposing coding for new law as Minnesota Statutes, chapters 245D; 
2.24 	259A; repealing Minnesota Statutes 2010, sections 256.01, subdivision 18b; 
2.25 	256.022; 256B.431, subdivisions 2c, 2g, 2i, 2j, 2k, 2l, 2o, 3c, 11, 14, 17b, 17f, 19, 
2.26 	20, 25, 27, 29; 256B.434, subdivisions 4a, 4b, 4c, 4d, 4e, 4g, 4h, 7, 8; 256B.435; 
2.27 	256B.436; 259.67; 259.71; 260C.201, subdivision 11; 260C.215, subdivision 2; 
2.28 	260C.456; Minnesota Statutes 2011 Supplement, section 256B.431, subdivision 
2.29 	26; Minnesota Rules, parts 9555.7700; 9560.0071; 9560.0082; 9560.0083; 
2.30 	9560.0091; 9560.0093, subparts 1, 3, 4; 9560.0101; 9560.0102.
2.31 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

2.32 	ARTICLE 1
2.33 	CHILDREN AND FAMILIES POLICY PROVISIONS

2.34 	Section 1. Minnesota Statutes 2010, section 13.461, subdivision 17, is amended to read:
2.35 		Subd. 17.Maltreatment review panels. Data of the vulnerable adult maltreatment 
2.36 	review panel or the child maltreatment review panel are classified under section 256.021
2.37 	or 256.022.

2.38 	Sec. 2. Minnesota Statutes 2010, section 13.465, is amended by adding a subdivision 
2.39 	to read:
2.40 		Subd. 5a.Adoptive parent. Certain data that may be disclosed to a prospective 
2.41 	adoptive parent is governed by section 260C.613, subdivision 2.

2.42 	Sec. 3. Minnesota Statutes 2010, section 256.998, subdivision 1, is amended to read:
2.43 		Subdivision 1.Definitions. (a) The definitions in this subdivision apply to this 
2.44 	section.
3.1 	(b) "Date of hiring" means the earlier of: (1) the first day for which an employee is 
3.2 	owed compensation by an employer; or (2) the first day that an employee reports to work 
3.3 	or performs labor or services for an employer.
3.4 	(c) "Earnings" means payment owed by an employer for labor or services rendered 
3.5 	by an employee.
3.6 	(d) "Employee" means a person who resides or works in Minnesota, performs 
3.7 	services for compensation, in whatever form, for an employer and satisfies the criteria of 
3.8 	an employee under chapter 24 of the Internal Revenue Code. Employee does not include:
3.9 	(1) persons hired for domestic service in the private home of the employer, as 
3.10 	defined in the Federal Tax Code; or
3.11 	(2) an employee of the federal or state agency performing intelligence or 
3.12 	counterintelligence functions, if the head of such agency has determined that reporting 
3.13 	according to this law would endanger the safety of the employee or compromise an 
3.14 	ongoing investigation or intelligence mission.
3.15 	(e) "Employer" means a person or entity located or doing business in this state that 
3.16 	employs one or more employees for payment, and satisfies the criteria of an employer 
3.17 	under chapter 24 of the Internal Revenue Code. Employer includes a labor organization as 
3.18 	defined in paragraph (g). Employer also includes the state, political or other governmental 
3.19 	subdivisions of the state, and the federal government.
3.20 	(f) "Hiring" means engaging a person to perform services for compensation and 
3.21 	includes the reemploying or return to work of any previous employee who was laid off, 
3.22 	furloughed, separated, granted a leave without pay, or terminated from employment when 
3.23 	a period of 90 60 days elapses from the date of layoff, furlough, separation, leave, or 
3.24 	termination to the date of the person's return to work.
3.25 	(g) "Labor organization" means entities located or doing business in this state that 
3.26 	meet the criteria of labor organization under section 2(5) of the National Labor Relations 
3.27 	Act. This includes any entity, that may also be known as a hiring hall, used to carry out 
3.28 	requirements described in chapter 7 of the National Labor Relations Act.
3.29 	(h) "Payor" means a person or entity located or doing business in Minnesota who 
3.30 	pays money to an independent contractor according to an agreement for the performance 
3.31 	of services.

3.32 	Sec. 4. Minnesota Statutes 2010, section 256.998, subdivision 5, is amended to read:
3.33 		Subd. 5.Report contents. Reports required under this section must contain: all 
3.34 	the information required by federal law.
4.1 	(1) the employee's name, address, Social Security number, and date of birth when 
4.2 	available, which can be handwritten or otherwise added to the W-4 form, W-9 form, or 
4.3 	other document submitted; and
4.4 	(2) the employer's name, address, and federal identification number.

4.5 	Sec. 5. Minnesota Statutes 2010, section 256J.24, subdivision 5, is amended to read:
4.6 		Subd. 5.MFIP transitional standard. The MFIP transitional standard is based 
4.7 	on the number of persons in the assistance unit eligible for both food and cash assistance 
4.8 	unless the restrictions in subdivision 6 on the birth of a child apply. The following table 
4.9 	represents the transitional standards including a breakdown of the cash and food portions 
4.10 	effective October 1, 2009.

4.11	Number of Eligible People
	Transitional Standard
	Cash Portion
	Food Portion

4.12	1
	$428:
	$250
	$178
		
4.13	2
	$764:
	$437
	$327
		
4.14	3
	$1,005:
	$532
	$473
		
4.15	4
	 $1,222:
	$621
	$601
		
4.16	5
	 $1,399:
	$697
	$702
		
4.17	6
	 $1,608:
	$773
	$835
		
4.18	7
	 $1,754:
	$850
	$904
		
4.19	8
	 $1,940:
	$916
	$1,024
		
4.20	9
	 $2,125:
	$980
	$1,145
		
4.21	10
	 $2,304:
	$1,035
	$1,269
		
4.22	over 10
	add  $178:
	$53
	$125
		
4.23	per additional member.
				
4.24 	The amount of the transitional standard is published annually by the Department of 
4.25 	Human Services.

4.26 	Sec. 6. Minnesota Statutes 2010, section 259.22, subdivision 2, is amended to read:
4.27 		Subd. 2.Persons who may be adopted. No petition for adoption shall be filed 
4.28 	unless the person sought to be adopted has been placed by the commissioner of human 
4.29 	services, the commissioner's agent, or a licensed child-placing agency. The provisions of 
4.30 	this subdivision shall not apply if:
4.31 	(1) the person to be adopted is over 14 years of age;
4.32 	(2) the child is sought to be adopted by an individual who is related to the child, as 
4.33 	defined by section 245A.02, subdivision 13;
4.34 	(3) the child has been lawfully placed under the laws of another state while the child 
4.35 	and petitioner resided in that other state;
5.1 	(4) the court waives the requirement of this subdivision in the best interests of the 
5.2 	child or petitioners, provided that the adoption does not involve a placement as defined in 
5.3 	section 259.21, subdivision 8; or
5.4 	(5) the child has been lawfully placed under section 259.47.

5.5 	Sec. 7. Minnesota Statutes 2010, section 259.23, subdivision 1, is amended to read:
5.6 		Subdivision 1.Venue. (a) Except as provided in section 260C.101, subdivision 2,
5.7 	The juvenile court shall have original jurisdiction in all adoption proceedings. The proper 
5.8 	venue for an adoption proceeding shall be the county of the petitioner's residence, except 
5.9 	as provided in paragraph (b) section 260C.621, subdivision 2, for the adoption of children 
5.10 	under the guardianship of the commissioner.
5.11 	(b) Venue for the adoption of a child committed to the guardianship of the 
5.12 	commissioner of human services shall be the county with jurisdiction in the matter 
5.13 	according to section 260C.317, subdivision 3.
5.14 	(c) Upon request of the petitioner, the court having jurisdiction over the matter under 
5.15 	section 260C.317, subdivision 3, may transfer venue of an adoption proceeding involving 
5.16 	a child under the guardianship of the commissioner to the county of the petitioner's 
5.17 	residence upon determining that:
5.18 	(1) the commissioner has given consent to the petitioner's adoption of the child 
5.19 	or that consent is unreasonably withheld;
5.20 	(2) there is no other adoption petition for the child that has been filed or is reasonably 
5.21 	anticipated by the commissioner or the commissioner's delegate to be filed; and
5.22 	(3) transfer of venue is in the best interests of the child.
5.23 	Transfer of venue under this paragraph shall be according to the rules of adoption court 
5.24 	procedure.
5.25 	(d) (b) In all other adoptions under this chapter, if the petitioner has acquired a new 
5.26 	residence in another county and requests a transfer of the adoption proceeding, the court in 
5.27 	which an adoption is initiated may transfer the proceeding to the appropriate court in the 
5.28 	new county of residence if the transfer is in the best interests of the person to be adopted. 
5.29 	The court transfers the proceeding by ordering a continuance and by forwarding to the 
5.30 	court administrator of the appropriate court a certified copy of all papers filed, together 
5.31 	with an order of transfer. The transferring court also shall forward copies of the order 
5.32 	of transfer to the commissioner of human services and any agency participating in the 
5.33 	proceedings. The judge of the receiving court shall accept the order of the transfer and any 
5.34 	other documents transmitted and hear the case; provided, however, the receiving court 
5.35 	may in its discretion require the filing of a new petition prior to the hearing.

6.1 	Sec. 8. Minnesota Statutes 2010, section 259.24, subdivision 1, is amended to read:
6.2 		Subdivision 1.Exceptions. (a) No child shall be adopted without the consent of the 
6.3 	child's parents and the child's guardian, if there be one, except in the following instances
6.4 	consent is not required of a parent:
6.5 	(a) Consent shall not be required of a parent(1) who is not entitled to notice of the 
6.6 	proceedings.;
6.7 	(b) Consent shall not be required of a parent(2) who has abandoned the child, or 
6.8 	of a parent who has lost custody of the child through a divorce decree or a decree of 
6.9 	dissolution, and upon whom notice has been served as required by section 259.49.; or
6.10 	(c) Consent shall not be required of a parent (3) whose parental rights to the child 
6.11 	have been terminated by a juvenile court or who has lost custody of a child through a final 
6.12 	commitment of the juvenile court or through a decree in a prior adoption proceeding.
6.13 	(d) If there be no parent or guardian qualified to consent to the adoption, the 
6.14 	consent shall be given by the commissioner. After the court accepts a parent's consent 
6.15 	to the adoption under section 260C.201, subdivision 11, consent by the commissioner 
6.16 	or commissioner's delegate is also necessary. Agreement to the identified prospective 
6.17 	adoptive parent by the responsible social services agency under section 260C.201, 
6.18 	subdivision 11, does not constitute the required consent.
6.19 	(e) (b) If there is no parent or guardian qualified to consent to the adoption, the 
6.20 	commissioner or agency having authority to place a child for adoption pursuant to section 
6.21 	259.25, subdivision 1, shall have the exclusive right to consent to the adoption of such the
6.22 	child. The commissioner or agency shall make every effort to place siblings together for 
6.23 	adoption. Notwithstanding any rule to the contrary, the commissioner may delegate the 
6.24 	right to consent to the adoption or separation of siblings, if it is in the child's best interest, 
6.25 	to a local social services agency.

6.26 	Sec. 9. Minnesota Statutes 2010, section 259.24, subdivision 3, is amended to read:
6.27 		Subd. 3.Child. When the child to be adopted is over 14 years of age, the child's 
6.28 	written consent to adoption by a particular person is also necessary. A child of any age 
6.29 	who is under the guardianship of the commissioner and is legally available for adoption 
6.30 	may not refuse or waive the commissioner's agent's exhaustive efforts to recruit, identify, 
6.31 	and place the child in an adoptive home required under section 260C.317, subdivision 
6.32 	3, paragraph (b), or sign a document relieving county social services agencies of all 
6.33 	recruitment efforts on the child's behalf.

6.34 	Sec. 10. Minnesota Statutes 2010, section 259.24, subdivision 5, is amended to read:
7.1 		Subd. 5.Execution. All consents to an adoption shall be in writing, executed 
7.2 	before two competent witnesses, and acknowledged by the consenting party. In addition, 
7.3 	all consents to an adoption, except those by the commissioner, the commissioner's agent, 
7.4 	a licensed child-placing agency, an adult adoptee, or the child's parent in a petition for 
7.5 	adoption by a stepparent, shall be executed before a representative of the commissioner, 
7.6 	the commissioner's agent, or a licensed child-placing agency. All consents by a parent
7.7 	to adoption under this chapter:
7.8 	(1) shall contain notice to the parent of the substance of subdivision 6a, providing 
7.9 	for the right to withdraw consent unless the parent will not have the right to withdraw 
7.10 	consent because consent was executed under section 260C.201, subdivision 11, following 
7.11 	proper notice that consent given under that provision is irrevocable upon acceptance by 
7.12 	the court as provided in subdivision 6a; and
7.13 	(2) shall contain the following written notice in all capital letters at least one-eighth 
7.14 	inch high:
7.15 	"This The agency responsible for supervising the adoptive placement of the child
7.16 	will submit your consent to adoption to the court. If you are consenting to adoption by 
7.17 	the child's stepparent, the consent will be submitted to the court by the petitioner in your 
7.18 	child's adoption. The consent itself does not terminate your parental rights. Parental rights 
7.19 	to a child may be terminated only by an adoption decree or by a court order terminating 
7.20 	parental rights. Unless the child is adopted or your parental rights are terminated, you 
7.21 	may be asked to support the child."
7.22 	Consents shall be filed in the adoption proceedings at any time before the matter 
7.23 	is heard provided, however, that a consent executed and acknowledged outside of this 
7.24 	state, either in accordance with the law of this state or in accordance with the law of the 
7.25 	place where executed, is valid.

7.26 	Sec. 11. Minnesota Statutes 2010, section 259.24, subdivision 6a, is amended to read:
7.27 		Subd. 6a.Withdrawal of consent. Except for consents executed under section 
7.28 	260C.201, subdivision 11, A parent's consent to adoption under this chapter may be 
7.29 	withdrawn for any reason within ten working days after the consent is executed and 
7.30 	acknowledged. No later than the tenth working day after the consent is executed and 
7.31 	acknowledged, written notification of withdrawal of consent must be received by: (1)
7.32 	the agency to which the child was surrendered no later than the tenth working day after 
7.33 	the consent is executed and acknowledged; (2) the agency supervising the adoptive 
7.34 	placement of the child; or (3) in the case of adoption by the step parent or any adoption 
7.35 	not involving agency placement or supervision, by the district court where the adopting 
8.1 	stepparent or parent resides. On the day following the tenth working day after execution 
8.2 	and acknowledgment, the consent shall become irrevocable, except upon order of a court 
8.3 	of competent jurisdiction after written findings that consent was obtained by fraud. A 
8.4 	consent to adopt executed under section 260C.201, subdivision 11, is irrevocable upon 
8.5 	proper notice to both parents of the effect of a consent to adopt and acceptance by the 
8.6 	court, except upon order of the same court after written findings that the consent was 
8.7 	obtained by fraud. In proceedings to determine the existence of fraud, the adoptive parents 
8.8 	and the child shall be made parties. The proceedings shall be conducted to preserve the 
8.9 	confidentiality of the adoption process. There shall be no presumption in the proceedings 
8.10 	favoring the birth parents over the adoptive parents.

8.11 	Sec. 12. Minnesota Statutes 2010, section 259.24, subdivision 7, is amended to read:
8.12 		Subd. 7.Withholding consent; reason. Consent to an adoption shall not be 
8.13 	unreasonably withheld by a guardian, who is not a parent of the child, by the commissioner
8.14 	or by an agency.

8.15 	Sec. 13. Minnesota Statutes 2010, section 259.29, subdivision 2, is amended to read:
8.16 		Subd. 2.Placement with relative or friend. The authorized child-placing agency 
8.17 	shall consider placement, consistent with the child's best interests and in the following 
8.18 	order, with (1) a relative or relatives of the child, or (2) an important friend with whom the 
8.19 	child has resided or had significant contact. In implementing this section, an authorized 
8.20 	child-placing agency may disclose private or confidential data, as defined in section 13.02, 
8.21 	to relatives of the child for the purpose of locating a suitable adoptive home. The agency 
8.22 	shall disclose only data that is necessary to facilitate implementing the preference.
8.23 	If the child's birth parent or parents explicitly request that placement with relatives a 
8.24 	specific relative or important friends friend not be considered, the authorized child-placing 
8.25 	agency shall honor that request if it is consistent with the best interests of the child and 
8.26 	consistent with the requirements of sections 260C.212, subdivision 2, and 260C.221.
8.27 	If the child's birth parent or parents express a preference for placing the child in an 
8.28 	adoptive home of the same or a similar religious background to that of the birth parent 
8.29 	or parents, the agency shall place the child with a family that meets the birth parent's 
8.30 	religious preference.
8.31 	This subdivision does not affect the Indian Child Welfare Act, United States 
8.32 	Code, title 25, sections 1901 to 1923, and the Minnesota Indian Family Preservation 
8.33 	Act, sections 260.751 to 260.835.

9.1 	Sec. 14. Minnesota Statutes 2010, section 260C.193, subdivision 3, is amended to read:
9.2 		Subd. 3.Best interest of the child in foster care or residential care. (a) The 
9.3 	policy of the state is to ensure that the best interests of children in foster or residential care 
9.4 	are met by requiring individualized determinations under section 260C.212, subdivision 2, 
9.5 	paragraph (b), of the needs of the child and of how the selected placement will serve the 
9.6 	needs of the child in foster care placements.
9.7 	(b) The court shall review whether the responsible social services agency made 
9.8 	efforts as required under section 260C.212, subdivision 5 260C.221, and made an 
9.9 	individualized determination as required under section 260C.212, subdivision 2. If 
9.10 	the court finds the agency has not made efforts as required under section 260C.212, 
9.11 	subdivision 5 260C.221, and there is a relative who qualifies to be licensed to provide 
9.12 	family foster care under chapter 245A, the court may order the child placed with the 
9.13 	relative consistent with the child's best interests.
9.14 	(c) If the child's birth parent or parents explicitly request that a relative or important 
9.15 	friend not be considered, the court shall honor that request if it is consistent with the 
9.16 	best interests of the child and consistent with the requirements of section 260C.221. If 
9.17 	the child's birth parent or parents express a preference for placing the child in a foster or 
9.18 	adoptive home of the same or a similar religious background to that of the birth parent 
9.19 	or parents, the court shall order placement of the child with an individual who meets the 
9.20 	birth parent's religious preference.
9.21 	(d) Placement of a child cannot be delayed or denied based on race, color, or national 
9.22 	origin of the foster parent or the child.
9.23 	(e) Whenever possible, siblings requiring foster care placement should be placed 
9.24 	together unless it is determined not to be in the best interests of a sibling after weighing 
9.25 	the benefits of separate placement against the benefits of sibling connections for each 
9.26 	sibling. If siblings are not placed together according to section 260C.212, subdivision 2, 
9.27 	paragraph (d), the responsible social services agency shall report to the court the efforts 
9.28 	made to place the siblings together and why the efforts were not successful. If the court is 
9.29 	not satisfied with the agency's efforts to place siblings together, the court may order the 
9.30 	agency to make further efforts. If siblings are not placed together the court shall review 
9.31 	the responsible social services agency's plan for visitation among siblings required as part 
9.32 	of the out-of-home placement plan under section 260C.212.
9.33 	(f) This subdivision does not affect the Indian Child Welfare Act, United States 
9.34 	Code, title 25, sections 1901 to 1923, and the Minnesota Indian Family Preservation 
9.35 	Act, sections 260.751 to 260.835.

10.1 	Sec. 15. Minnesota Statutes 2010, section 260C.201, subdivision 11a, is amended to 
10.2 	read:
10.3 		Subd. 11a.Permanency progress review for children under eight in foster care 
10.4 	for six months. (a) If the child was under eight years of age at the time the petition 
10.5 	was filed alleging the child was in need of protection or services, and the When a child 
10.6 	continues in placement out of the home of the parent or guardian from whom the child 
10.7 	was removed, no later than six months after the child's placement the court shall conduct a 
10.8 	permanency progress hearing to review:
10.9 	(1) the progress of the case, the parent's progress on the case plan or out-of-home 
10.10 	placement plan, and whichever is applicable;
10.11 	(2) the agency's reasonable, or in the case of an Indian child, active efforts for 
10.12 	reunification and its provision of services.; 
10.13 	(3) the agency's reasonable efforts to finalize the permanent plan for the child 
10.14 	under section 260.012, paragraph (e), and to make a placement as required under section 
10.15 	260C.212, subdivision 2, in a home that will commit to being the legally permanent 
10.16 	family for the child in the event the child cannot return home according to the timelines 
10.17 	in this section; and
10.18 	(4) in the case of an Indian child, active efforts to prevent the breakup of the Indian 
10.19 	family and to make a placement according to the placement preferences under United 
10.20 	States Code, title 25, chapter 21, section 1915.
10.21 	(b) Based on its assessment of the parent's or guardian's progress on the out-of-home 
10.22 	placement plan, the responsible social services agency must ask the county attorney to file 
10.23 	a petition for termination of parental rights, a petition for transfer of permanent legal and 
10.24 	physical custody to a relative, or the report required under juvenile court rules.
10.25 	(b) The court shall ensure that notice of the hearing is sent to any relative who:
10.26 	(1) responded to the agency's notice provided under section 260C.221, indicating an 
10.27 	interest in participating in planning for the child or being a permanency resource for the 
10.28 	child and who has kept the court apprised of the relative's address; or 
10.29 	(2) asked to be notified of court proceedings regarding the child as is permitted in 
10.30 	section 260C.152, subdivision 5.
10.31 	(c)(1) If the parent or guardian has maintained contact with the child and is 
10.32 	complying with the court-ordered out-of-home placement plan, and if the child would 
10.33 	benefit from reunification with the parent, the court may either:
10.34 	(i) return the child home, if the conditions which led to the out-of-home placement 
10.35 	have been sufficiently mitigated that it is safe and in the child's best interests to return 
10.36 	home; or
11.1 	(ii) continue the matter up to a total of six additional months. If the child has not 
11.2 	returned home by the end of the additional six months, the court must conduct a hearing 
11.3 	according to subdivision 11.
11.4 	(2) If the court determines that the parent or guardian is not complying with the 
11.5 	out-of-home placement plan or is not maintaining regular contact with the child as outlined 
11.6 	in the visitation plan required as part of the out-of-home placement plan under section 
11.7 	260C.212, the court may order the responsible social services agency:
11.8 	(i) to develop a plan for legally permanent placement of the child away from the 
11.9 	parent and;
11.10 	(ii) to consider, identify, recruit, and support one or more permanency resources 
11.11 	from the child's relatives and foster parent to be the legally permanent home in the event 
11.12 	the child cannot be returned to the parent. Any relative or the child's foster parent may 
11.13 	ask the court to order the agency to consider them for permanent placement of the child 
11.14 	in the event the child cannot be returned to the parent. A relative or foster parent who 
11.15 	wants to be considered under this item shall cooperate with the background study required 
11.16 	under section 245C.08, if the individual has not already done so, and with the home study 
11.17 	process required under chapter 245A for providing child foster care and for adoption 
11.18 	under section 259.41. The home study referred to in this item shall be a single-home study 
11.19 	in the form required by the commissioner of human services or similar study required 
11.20 	by the individual's state of residence when the subject of the study is not a resident of 
11.21 	Minnesota. The court may order the responsible social services agency to make a referral 
11.22 	under the Interstate Compact on the Placement of Children when necessary to obtain a 
11.23 	home study for an individual who wants to be considered for transfer of permanent legal 
11.24 	and physical custody or adoption of the child; and
11.25 	(iii) to file a petition to support an order for the legally permanent placement plan.
11.26 	(d) Following the review under paragraphs (b) and (c) this subdivision:
11.27 	(1) if the court has either returned the child home or continued the matter up to a 
11.28 	total of six additional months, the agency shall continue to provide services to support the 
11.29 	child's return home or to make reasonable efforts to achieve reunification of the child and 
11.30 	the parent as ordered by the court under an approved case plan;
11.31 	(2) if the court orders the agency to develop a plan for the transfer of permanent 
11.32 	legal and physical custody of the child to a relative, a petition supporting the plan shall be 
11.33 	filed in juvenile court within 30 days of the hearing required under this subdivision and a 
11.34 	trial on the petition held within 30 60 days of the filing of the pleadings; or
11.35 	(3) if the court orders the agency to file a termination of parental rights, unless the 
11.36 	county attorney can show cause why a termination of parental rights petition should not be 
12.1 	filed, a petition for termination of parental rights shall be filed in juvenile court within 
12.2 	30 days of the hearing required under this subdivision and a trial on the petition held 
12.3 	within 90 60 days of the filing of the petition.

12.4 	Sec. 16. Minnesota Statutes 2010, section 260C.212, subdivision 1, is amended to read:
12.5 		Subdivision 1.Out-of-home placement; plan. (a) An out-of-home placement plan 
12.6 	shall be prepared within 30 days after any child is placed in foster care by court order or a 
12.7 	voluntary placement agreement between the responsible social services agency and the 
12.8 	child's parent pursuant to subdivision 8 or chapter 260D.
12.9 	(b) An out-of-home placement plan means a written document which is prepared by 
12.10 	the responsible social services agency jointly with the parent or parents or guardian of the 
12.11 	child and in consultation with the child's guardian ad litem, the child's tribe, if the child 
12.12 	is an Indian child, the child's foster parent or representative of the residential foster care
12.13 	facility, and, where appropriate, the child. For a child in voluntary foster care for treatment 
12.14 	under chapter 260D, preparation of the out-of-home placement plan shall additionally 
12.15 	include the child's mental health treatment provider. As appropriate, the plan shall be:
12.16 	(1) submitted to the court for approval under section 260C.178, subdivision 7;
12.17 	(2) ordered by the court, either as presented or modified after hearing, under section 
12.18 	260C.178, subdivision 7, or 260C.201, subdivision 6; and
12.19 	(3) signed by the parent or parents or guardian of the child, the child's guardian ad 
12.20 	litem, a representative of the child's tribe, the responsible social services agency, and, if 
12.21 	possible, the child.
12.22 	(c) The out-of-home placement plan shall be explained to all persons involved in its 
12.23 	implementation, including the child who has signed the plan, and shall set forth:
12.24 	(1) a description of the residential facility foster care home or facility selected
12.25 	including how the out-of-home placement plan is designed to achieve a safe placement 
12.26 	for the child in the least restrictive, most family-like, setting available which is in close 
12.27 	proximity to the home of the parent or parents or guardian of the child when the case plan 
12.28 	goal is reunification, and how the placement is consistent with the best interests and 
12.29 	special needs of the child according to the factors under subdivision 2, paragraph (b);
12.30 	(2) the specific reasons for the placement of the child in a residential facility foster 
12.31 	care, and when reunification is the plan, a description of the problems or conditions in the 
12.32 	home of the parent or parents which necessitated removal of the child from home and the 
12.33 	changes the parent or parents must make in order for the child to safely return home;
12.34 	(3) a description of the services offered and provided to prevent removal of the child 
12.35 	from the home and to reunify the family including:
13.1 	(i) the specific actions to be taken by the parent or parents of the child to eliminate 
13.2 	or correct the problems or conditions identified in clause (2), and the time period during 
13.3 	which the actions are to be taken; and
13.4 	(ii) the reasonable efforts, or in the case of an Indian child, active efforts to be made 
13.5 	to achieve a safe and stable home for the child including social and other supportive 
13.6 	services to be provided or offered to the parent or parents or guardian of the child, the 
13.7 	child, and the residential facility during the period the child is in the residential facility;
13.8 	(4) a description of any services or resources that were requested by the child or the 
13.9 	child's parent, guardian, foster parent, or custodian since the date of the child's placement 
13.10 	in the residential facility, and whether those services or resources were provided and if 
13.11 	not, the basis for the denial of the services or resources;
13.12 	(5) the visitation plan for the parent or parents or guardian, other relatives as defined 
13.13 	in section 260C.007, subdivision 27, and siblings of the child if the siblings are not placed 
13.14 	together in foster care, and whether visitation is consistent with the best interest of the 
13.15 	child, during the period the child is in foster care;
13.16 	(6) documentation of steps to finalize the adoption or legal guardianship of the child 
13.17 	if the court has issued an order terminating the rights of both parents of the child or of the 
13.18 	only known, living parent of the child. At a minimum, the documentation must include 
13.19 	child-specific recruitment efforts such as relative search and the use of state, regional, and 
13.20 	national adoption exchanges to facilitate orderly and timely placements in and outside 
13.21 	of the state. A copy of this documentation shall be provided to the court in the review 
13.22 	required under section 260C.317, subdivision 3, paragraph (b);
13.23 	(7) efforts to ensure the child's educational stability while in foster care, including:
13.24 	(i) efforts to ensure that the child in placement remains in the same school in which 
13.25 	the child was enrolled prior to placement or upon the child's move from one placement 
13.26 	to another, including efforts to work with the local education authorities to ensure the 
13.27 	child's educational stability; or
13.28 	(ii) if it is not in the child's best interest to remain in the same school that the child 
13.29 	was enrolled in prior to placement or move from one placement to another, efforts to 
13.30 	ensure immediate and appropriate enrollment for the child in a new school;
13.31 	(8) the educational records of the child including the most recent information 
13.32 	available regarding:
13.33 	(i) the names and addresses of the child's educational providers;
13.34 	(ii) the child's grade level performance;
13.35 	(iii) the child's school record;
14.1 	(iv) a statement about how the child's placement in foster care takes into account 
14.2 	proximity to the school in which the child is enrolled at the time of placement; and
14.3 	(v) any other relevant educational information;
14.4 	(9) the efforts by the local agency to ensure the oversight and continuity of health 
14.5 	care services for the foster child, including:
14.6 	(i) the plan to schedule the child's initial health screens;
14.7 	(ii) how the child's known medical problems and identified needs from the screens, 
14.8 	including any known communicable diseases, as defined in section 144.4172, subdivision 
14.9 	2, will be monitored and treated while the child is in foster care;
14.10 	(iii) how the child's medical information will be updated and shared, including 
14.11 	the child's immunizations;
14.12 	(iv) who is responsible to coordinate and respond to the child's health care needs, 
14.13 	including the role of the parent, the agency, and the foster parent;
14.14 	(v) who is responsible for oversight of the child's prescription medications;
14.15 	(vi) how physicians or other appropriate medical and nonmedical professionals 
14.16 	will be consulted and involved in assessing the health and well-being of the child and 
14.17 	determine the appropriate medical treatment for the child; and
14.18 	(vii) the responsibility to ensure that the child has access to medical care through 
14.19 	either medical insurance or medical assistance;
14.20 	(10) the health records of the child including information available regarding:
14.21 	(i) the names and addresses of the child's health care and dental care providers;
14.22 	(ii) a record of the child's immunizations;
14.23 	(iii) the child's known medical problems, including any known communicable 
14.24 	diseases as defined in section 144.4172, subdivision 2;
14.25 	(iv) the child's medications; and
14.26 	(v) any other relevant health care information such as the child's eligibility for 
14.27 	medical insurance or medical assistance;
14.28 	(11) an independent living plan for a child age 16 or older who is in placement as 
14.29 	a result of a permanency disposition. The plan should include, but not be limited to, 
14.30 	the following objectives:
14.31 	(i) educational, vocational, or employment planning;
14.32 	(ii) health care planning and medical coverage;
14.33 	(iii) transportation including, where appropriate, assisting the child in obtaining a 
14.34 	driver's license;
15.1 	(iv) money management, including the responsibility of the agency to ensure that 
15.2 	the youth annually receives, at no cost to the youth, a consumer report as defined under 
15.3 	section 13C.001 and assistance in interpreting and resolving any inaccuracies in the report;
15.4 	(v) planning for housing;
15.5 	(vi) social and recreational skills; and
15.6 	(vii) establishing and maintaining connections with the child's family and 
15.7 	community; and
15.8 	(12) for a child in voluntary foster care for treatment under chapter 260D, diagnostic 
15.9 	and assessment information, specific services relating to meeting the mental health care 
15.10 	needs of the child, and treatment outcomes.
15.11 	(d) The parent or parents or guardian and the child each shall have the right to legal 
15.12 	counsel in the preparation of the case plan and shall be informed of the right at the time 
15.13 	of placement of the child. The child shall also have the right to a guardian ad litem. 
15.14 	If unable to employ counsel from their own resources, the court shall appoint counsel 
15.15 	upon the request of the parent or parents or the child or the child's legal guardian. The 
15.16 	parent or parents may also receive assistance from any person or social services agency 
15.17 	in preparation of the case plan.
15.18 	After the plan has been agreed upon by the parties involved or approved or ordered 
15.19 	by the court, the foster parents shall be fully informed of the provisions of the case plan 
15.20 	and shall be provided a copy of the plan.
15.21 	Upon discharge from foster care, the parent, adoptive parent, or permanent legal and 
15.22 	physical custodian, as appropriate, and the child, if appropriate, must be provided with 
15.23 	a current copy of the child's health and education record.

15.24 	Sec. 17. Minnesota Statutes 2010, section 260C.212, subdivision 2, is amended to read:
15.25 		Subd. 2.Placement decisions based on best interest of the child. (a) The policy 
15.26 	of the state of Minnesota is to ensure that the child's best interests are met by requiring an 
15.27 	individualized determination of the needs of the child and of how the selected placement 
15.28 	will serve the needs of the child being placed. The authorized child-placing agency shall 
15.29 	place a child, released by court order or by voluntary release by the parent or parents, in 
15.30 	a family foster home selected by considering placement with relatives and important 
15.31 	friends in the following order:
15.32 	(1) with an individual who is related to the child by blood, marriage, or adoption; or
15.33 	(2) with an individual who is an important friend with whom the child has resided or 
15.34 	had significant contact.
16.1 	(b) Among the factors the agency shall consider in determining the needs of the 
16.2 	child are the following:
16.3 	(1) the child's current functioning and behaviors;
16.4 	(2) the medical, needs of the child;
16.5 	(3) the educational, and needs of the child;
16.6 	(4) the developmental needs of the child;
16.7 	(3) (5) the child's history and past experience;
16.8 	(4) (6) the child's religious and cultural needs;
16.9 	(5) (7) the child's connection with a community, school, and faith community;
16.10 	(6) (8) the child's interests and talents;
16.11 	(7) (9) the child's relationship to current caretakers, parents, siblings, and relatives; 
16.12 	and
16.13 	(8) (10) the reasonable preference of the child, if the court, or the child-placing 
16.14 	agency in the case of a voluntary placement, deems the child to be of sufficient age to 
16.15 	express preferences.
16.16 	(c) Placement of a child cannot be delayed or denied based on race, color, or national 
16.17 	origin of the foster parent or the child.
16.18 	(d) Siblings should be placed together for foster care and adoption at the earliest 
16.19 	possible time unless it is documented that a joint placement would be contrary to the 
16.20 	safety or well-being of any of the siblings or unless it is not possible after reasonable 
16.21 	efforts by the responsible social services agency. In cases where siblings cannot be placed 
16.22 	together, the agency is required to provide frequent visitation or other ongoing interaction 
16.23 	between siblings unless the agency documents that the interaction would be contrary to 
16.24 	the safety or well-being of any of the siblings.
16.25 	(e) Except for emergency placement as provided for in section 245A.035, a 
16.26 	completed background study is required under section 245C.08 before the approval of a 
16.27 	foster placement in a related or unrelated home.

16.28 	Sec. 18. Minnesota Statutes 2010, section 260C.212, subdivision 5, is amended to read:
16.29 		Subd. 5.Relative search. (a) The responsible social services agency shall exercise 
16.30 	due diligence to identify and notify adult relatives prior to placement or within 30 days 
16.31 	after the child's removal from the parent. The county agency shall consider placement 
16.32 	with a relative under subdivision 2 section 260C.221 without delay. The relative search 
16.33 	required by this section shall be reasonable and comprehensive in scope and may last up 
16.34 	to six months or until a fit and willing relative is identified. The relative search required by 
17.1 	this section shall include both maternal relatives of the child and paternal relatives of the 
17.2 	child, if paternity is adjudicated. The relatives must be notified:
17.3 	(1) of the need for a foster home for the child, the option to become a placement 
17.4 	resource for the child, and the possibility of the need for a permanent placement for the 
17.5 	child;
17.6 	(2) of their responsibility to keep the responsible social services agency and the court 
17.7 	informed of their current address in order to receive notice in the event that a permanent 
17.8 	placement is sought for the child and to receive notice of the permanency progress review 
17.9 	hearing under section 260C.204. A relative who fails to provide a current address to the 
17.10 	responsible social services agency and the court forfeits the right to receive notice of 
17.11 	the possibility of permanent placement and of the permanency progress review hearing 
17.12 	under section 260C.204. A decision by a relative not to be a placement resource at the 
17.13 	beginning of the case shall not affect whether the relative is considered for placement of 
17.14 	the child with that relative later;
17.15 	(3) that the relative may participate in the care and planning for the child, including 
17.16 	that the opportunity for such participation may be lost by failing to respond to the notice
17.17 	sent under this subdivision; and
17.18 	(4) of the family foster care licensing requirements, including how to complete an 
17.19 	application and how to request a variance from licensing standards that do not present a 
17.20 	safety or health risk to the child in the home under section 245A.04 and supports that are 
17.21 	available for relatives and children who reside in a family foster home.
17.22 	(b) A responsible social services agency may disclose private or confidential data, 
17.23 	as defined in section 13.02, to relatives of the child for the purpose of locating a suitable 
17.24 	placement. The agency shall disclose only data that is necessary to facilitate possible 
17.25 	placement with relatives. If the child's parent refuses to give the responsible social 
17.26 	services agency information sufficient to identify the maternal and paternal relatives of the 
17.27 	child, the agency shall ask the juvenile court to order the parent to provide the necessary 
17.28 	information. If a parent makes an explicit request that relatives or a specific relative not 
17.29 	be contacted or considered for placement due to safety reasons including past family or 
17.30 	domestic violence, the agency shall bring the parent's request to the attention of the court 
17.31 	to determine whether the parent's request is consistent with the best interests of the child 
17.32 	and the agency shall not contact relatives or a the specific relative unless authorized to do 
17.33 	so by when the juvenile court finds that contacting the specific relative would endanger 
17.34 	the parent, guardian, child, sibling, or any family member.
17.35 	(c) When the placing agency determines that a permanent placement hearing is 
17.36 	necessary because there is a likelihood that the child will not return to a parent's care, the 
18.1 	agency may send the notice provided in paragraph (d), may ask the court to modify the 
18.2 	requirements of the agency under this paragraph, or may ask the court to completely 
18.3 	relieve the agency of the requirements of this paragraph (d). The relative notification
18.4 	requirements of this paragraph do not apply when the child is placed with an appropriate 
18.5 	relative or a foster home that has committed to being the permanent legal placement for 
18.6 	the child and the agency approves of that foster home for permanent placement of the 
18.7 	child. The actions ordered by the court under this section must be consistent with the best 
18.8 	interests, safety, and welfare of the child.
18.9 	(d) Unless required under the Indian Child Welfare Act or relieved of this duty by the 
18.10 	court under paragraph (c), when the agency determines that it is necessary to prepare for 
18.11 	the permanent placement determination hearing, or in anticipation of filing a termination 
18.12 	of parental rights petition, the agency shall send notice to the relatives, any adult with 
18.13 	whom the child is currently residing, any adult with whom the child has resided for one 
18.14 	year or longer in the past, and any adults who have maintained a relationship or exercised 
18.15 	visitation with the child as identified in the agency case plan. The notice must state that a 
18.16 	permanent home is sought for the child and that the individuals receiving the notice may 
18.17 	indicate to the agency their interest in providing a permanent home. The notice must state 
18.18 	that within 30 days of receipt of the notice an individual receiving the notice must indicate 
18.19 	to the agency the individual's interest in providing a permanent home for the child or that 
18.20 	the individual may lose the opportunity to be considered for a permanent placement.
18.21 	(e) The Department of Human Services shall develop a best practices guide and 
18.22 	specialized staff training to assist the responsible social services agency in performing and 
18.23 	complying with the relative search requirements under this subdivision.

18.24 	Sec. 19. Minnesota Statutes 2010, section 260C.212, subdivision 7, is amended to read:
18.25 		Subd. 7.Administrative or court review of placements. (a) There shall be an 
18.26 	administrative review of the out-of-home placement plan of each child placed in foster 
18.27 	care no later than 180 days after the initial placement of the child in foster care and at least 
18.28 	every six months thereafter if the child is not returned to the home of the parent or parents 
18.29 	within that time. The out-of-home placement plan must be monitored and updated at each 
18.30 	administrative review. The administrative review shall be conducted by the responsible 
18.31 	social services agency using a panel of appropriate persons at least one of whom is not 
18.32 	responsible for the case management of, or the delivery of services to, either the child or 
18.33 	the parents who are the subject of the review. The administrative review shall be open to 
18.34 	participation by the parent or guardian of the child and the child, as appropriate.
19.1 	(b) As an alternative to the administrative review required in paragraph (a), the court 
19.2 	may, as part of any hearing required under the Minnesota Rules of Juvenile Protection 
19.3 	Procedure, conduct a hearing to monitor and update the out-of-home placement plan 
19.4 	pursuant to the procedure and standard in section 260C.201, subdivision 6, paragraph (d). 
19.5 	The party requesting review of the out-of-home placement plan shall give parties to the 
19.6 	proceeding notice of the request to review and update the out-of-home placement plan. 
19.7 	A court review conducted pursuant to section 260C.193; 260C.201, subdivision 1 or 11; 
19.8 	260C.141, subdivision 2; 260C.317; or 260D.06 shall satisfy the requirement for the 
19.9 	review so long as the other requirements of this section are met.
19.10 	(c) As appropriate to the stage of the proceedings and relevant court orders, the 
19.11 	responsible social services agency or the court shall review:
19.12 	(1) the safety, permanency needs, and well-being of the child;
19.13 	(2) the continuing necessity for and appropriateness of the placement;
19.14 	(3) the extent of compliance with the out-of-home placement plan;
19.15 	(4) the extent of progress which has been made toward alleviating or mitigating the 
19.16 	causes necessitating placement in foster care;
19.17 	(5) the projected date by which the child may be returned to and safely maintained in 
19.18 	the home or placed permanently away from the care of the parent or parents or guardian; 
19.19 	and
19.20 	(6) the appropriateness of the services provided to the child.
19.21 	(d) When a child is age 16 or older, in addition to any administrative review 
19.22 	conducted by the agency, at the in-court review required under section 260C.201, 
19.23 	subdivision 11, or 260C.317, subdivision 3, clause (3), the court shall review the 
19.24 	independent living plan required under subdivision 1, paragraph (c), clause (11), and the 
19.25 	provision of services to the child related to the well-being of the child as the child prepares 
19.26 	to leave foster care. The review shall include the actual plans related to each item in the 
19.27 	plan necessary to the child's future safety and well-being when the child is no longer 
19.28 	in foster care.
19.29 	(1) At the court review, the responsible social services agency shall establish that it 
19.30 	has given the notice required under section 260C.456 or Minnesota Rules, part 9560.0660, 
19.31 	regarding the right to continued access to services for certain children in foster care past 
19.32 	age 18 and of the right to appeal a denial of social services under section 256.045. If the 
19.33 	agency is unable to establish that the notice, including the right to appeal a denial of social 
19.34 	services, has been given, the court shall require the agency to give it.
19.35 	(2) Consistent with the requirements of the independent living plan, the court shall 
19.36 	review progress toward or accomplishment of the following goals:
20.1 	(i) the child has obtained a high school diploma or its equivalent;
20.2 	(ii) the child has completed a driver's education course or has demonstrated the 
20.3 	ability to use public transportation in the child's community;
20.4 	(iii) the child is employed or enrolled in postsecondary education;
20.5 	(iv) the child has applied for and obtained postsecondary education financial aid for 
20.6 	which the child is eligible;
20.7 	(v) the child has health care coverage and health care providers to meet the child's 
20.8 	physical and mental health needs;
20.9 	(vi) the child has applied for and obtained disability income assistance for which 
20.10 	the child is eligible;
20.11 	(vii) the child has obtained affordable housing with necessary supports, which does 
20.12 	not include a homeless shelter;
20.13 	(viii) the child has saved sufficient funds to pay for the first month's rent and a 
20.14 	damage deposit;
20.15 	(ix) the child has an alternative affordable housing plan, which does not include a 
20.16 	homeless shelter, if the original housing plan is unworkable;
20.17 	(x) the child, if male, has registered for the Selective Service; and
20.18 	(xi) the child has a permanent connection to a caring adult.
20.19 	(3) The court shall ensure that the responsible agency in conjunction with the 
20.20 	placement provider assists the child in obtaining the following documents prior to the 
20.21 	child's leaving foster care: a Social Security card; the child's birth certificate; a state 
20.22 	identification card or driver's license, green card, or school visa; the child's school, 
20.23 	medical, and dental records; a contact list of the child's medical, dental, and mental health 
20.24 	providers; and contact information for the child's siblings, if the siblings are in foster care.
20.25 	(e) When a child is age 17 or older, during the 90-day period immediately prior to 
20.26 	the date the child is expected to be discharged from foster care, the responsible social 
20.27 	services agency is required to provide the child with assistance and support in developing 
20.28 	a transition plan that is personalized at the direction of the child. The transition plan 
20.29 	must be as detailed as the child may elect and include specific options on housing, health 
20.30 	insurance, education, local opportunities for mentors and continuing support services, and 
20.31 	work force supports and employment services. The agency shall ensure that the youth 
20.32 	receives, at no cost to the youth, a copy of the youth's consumer credit report as defined 
20.33 	in section 13C.001 and assistance in interpreting and resolving any inaccuracies in the 
20.34 	report. The county agency shall also provide the individual youth with appropriate contact 
20.35 	information if the individual youth needs more information or needs help dealing with a 
20.36 	crisis situation through age 21.

21.1 	Sec. 20. Minnesota Statutes 2010, section 260C.317, subdivision 3, is amended to read:
21.2 		Subd. 3.Order; retention of jurisdiction. (a) A certified copy of the findings and 
21.3 	the order terminating parental rights, and a summary of the court's information concerning 
21.4 	the child shall be furnished by the court to the commissioner or the agency to which 
21.5 	guardianship is transferred.
21.6 	(b) The orders shall be on a document separate from the findings. The court shall 
21.7 	furnish the individual to whom guardianship is transferred guardian a copy of the order 
21.8 	terminating parental rights.
21.9 	(b) (c) When the court orders guardianship pursuant to this section,  the court 
21.10 	shall retain jurisdiction in a case where adoption is the intended permanent placement 
21.11 	disposition until the child's adoption is finalized, the child is 18 years of age, or, for 
21.12 	children in foster care beyond age 18 pursuant to section 260C.451, until the individual 
21.13 	becomes 21 years of age according to the provisions set forth in sections 260C.193, 
21.14 	subdivision 6, and 260C.451. The guardian ad litem and counsel for the child shall 
21.15 	continue on the case until an adoption decree is entered. An in-court appearance hearing 
21.16 	must be held every 90 days following termination of parental rights for the court to review 
21.17 	progress toward an adoptive placement and the specific recruitment efforts the agency 
21.18 	has taken to find an adoptive family or other placement living arrangement for the child 
21.19 	and to finalize the adoption or other permanency plan. Review of the progress toward 
21.20 	adoption of a child under guardianship of the commissioner of human services shall be 
21.21 	conducted according to section 260C.607.
21.22 	(c) The responsible social services agency may make a determination of compelling 
21.23 	reasons for a child to be in long-term foster care when the agency has made exhaustive 
21.24 	efforts to recruit, identify, and place the child in an adoptive home, and the child continues 
21.25 	in foster care for at least 24 months after the court has issued the order terminating 
21.26 	parental rights. A child of any age who is under the guardianship of the commissioner of 
21.27 	the Department of Human Services and is legally available for adoption may not refuse 
21.28 	or waive the commissioner's agent's exhaustive efforts to recruit, identify, and place the 
21.29 	child in an adoptive home required under paragraph (b) or sign a document relieving 
21.30 	county social services agencies of all recruitment efforts on the child's behalf. Upon 
21.31 	approving the agency's determination of compelling reasons, the court may order the child 
21.32 	placed in long-term foster care. At least every 12 months thereafter as long as the child 
21.33 	continues in out-of-home placement, the court shall conduct an in-court permanency 
21.34 	review hearing to determine the future status of the child using the review requirements of 
21.35 	section 260C.201, subdivision 11, paragraph (g).
22.1 	(d) Upon terminating parental rights or upon a parent's consent to adoption 
22.2 	under section 260C.201, subdivision 11, resulting in an order for guardianship to the 
22.3 	commissioner of human services, the court shall retain jurisdiction:
22.4 	(1) until the child is adopted;
22.5 	(2) through the child's minority in a case where long-term; or
22.6 	(3) as long as the child continues in or reenters foster care is the permanent 
22.7 	disposition whether under paragraph (c) or section 260C.201, subdivision 11, or, for 
22.8 	children in foster care age 18 or older under section 260C.451, until the individual 
22.9 	becomes 21 years of age according to the provisions in sections 260C.193, subdivision 6, 
22.10 	and 260C.451.

22.11 	Sec. 21. Minnesota Statutes 2010, section 260C.317, subdivision 4, is amended to read:
22.12 		Subd. 4.Rights of terminated parent. (a) Upon entry of an order terminating the 
22.13 	parental rights of any person who is identified as a parent on the original birth record of 
22.14 	the child as to whom the parental rights are terminated, the court shall cause written 
22.15 	notice to be made to that person setting forth:
22.16 	(1) the right of the person to file at any time with the state registrar of vital statistics 
22.17 	a consent to disclosure, as defined in section 144.212, subdivision 11;
22.18 	(2) the right of the person to file at any time with the state registrar of vital statistics 
22.19 	an affidavit stating that the information on the original birth record shall not be disclosed 
22.20 	as provided in section 144.2252; and
22.21 	(3) the effect of a failure to file either a consent to disclosure, as defined in section 
22.22 	144.212, subdivision 11, or an affidavit stating that the information on the original birth 
22.23 	record shall not be disclosed.
22.24 	(b) A parent whose rights are terminated under this section shall retain the ability to 
22.25 	enter into a contact or communication agreement under section 260C.619 if an agreement 
22.26 	is determined by the court to be in the best interests of the child. The agreement shall be 
22.27 	filed with the court at or prior to the time the child is adopted. An order for termination of 
22.28 	parental rights shall not be conditioned on an agreement under section 260C.619.

22.29 	Sec. 22. Minnesota Statutes 2010, section 260C.325, subdivision 1, is amended to read:
22.30 		Subdivision 1.Transfer of custody Guardianship. (a) If When the court terminates 
22.31 	parental rights of both parents or of the only known living legal parent, the court shall 
22.32 	order the guardianship and the legal custody of the child transferred to:
22.33 	(1) the commissioner of human services;
22.34 	(2) a licensed child-placing agency; or
23.1 	(3) an individual who is willing and capable of assuming the appropriate duties 
23.2 	and responsibilities to the child.
23.3 	(b) The court shall order transfer of guardianship and legal custody of a child to 
23.4 	the commissioner of human services only when the responsible county social services 
23.5 	agency had legal responsibility for planning for the permanent placement of the child and 
23.6 	the child was in foster care under the legal responsibility of the responsible county social 
23.7 	services agency at the time the court orders guardianship and legal custody transferred to 
23.8 	the commissioner. The court shall not order guardianship to the commissioner under any 
23.9 	other circumstances, except as provided in subdivision 3.

23.10 	Sec. 23. Minnesota Statutes 2010, section 260C.325, subdivision 3, is amended to read:
23.11 		Subd. 3.Both parents deceased. (a) If upon petition to the juvenile court for 
23.12 	guardianship by a reputable person, including but not limited to an the responsible social 
23.13 	services agency as agent of the commissioner of human services, and upon hearing in 
23.14 	the manner provided in section 260C.163, the court finds that both parents or the only 
23.15 	known legal parent are or is deceased and no appointment has been made or petition for 
23.16 	appointment filed pursuant to sections 524.5-201 to 524.5-317, the court shall order the 
23.17 	guardianship and legal custody of the child transferred to:
23.18 	(1) the commissioner of human services; or
23.19 	(2) a licensed child-placing agency; or
23.20 	(3) (2) an individual who is willing and capable of assuming the appropriate duties 
23.21 	and responsibilities to the child.
23.22 	(b) The court shall order transfer of guardianship and legal custody of a child to the 
23.23 	commissioner of human services only if there is no individual who is willing and capable 
23.24 	of assuming the appropriate duties and responsibilities to the child.

23.25 	Sec. 24. Minnesota Statutes 2010, section 260C.325, subdivision 4, is amended to read:
23.26 		Subd. 4.Guardian's responsibilities. (a) A guardian appointed under the 
23.27 	provisions of this section has legal custody of a ward unless the court which appoints 
23.28 	the guardian gives legal custody to some other person. If the court awards custody to a 
23.29 	person other than the guardian, the guardian nonetheless has the right and responsibility of 
23.30 	reasonable visitation, except as limited by court order. the child and the right to visit the 
23.31 	child in foster care, the adoptive placement, or any other suitable setting at any time prior 
23.32 	to finalization of the adoption of the child. When the child is under the guardianship of the 
23.33 	commissioner, the responsible social services agency, as agent of the commissioner, has 
23.34 	the right to visit the child.
24.1 	(b) When the guardian is a licensed child-placing agency, the guardian may shall
24.2 	make all major decisions affecting the person of the ward child, including, but not limited 
24.3 	to, giving consent,(when consent is legally required), to the marriage, enlistment in 
24.4 	the armed forces, medical, surgical, or psychiatric treatment, or adoption of the ward
24.5 	child. When, pursuant to this section, the commissioner of human services is appointed 
24.6 	guardian, the commissioner may delegate to the responsible social services agency of 
24.7 	the county in which, after the appointment, the ward resides, the authority to act for the 
24.8 	commissioner in decisions affecting the person of the ward, including but not limited 
24.9 	to giving consent to the marriage, enlistment in the armed forces, medical, surgical, or 
24.10 	psychiatric treatment of the ward.
24.11 	(c) When the commissioner is appointed guardian, the duties of the commissioner of 
24.12 	human services are established under sections 260C.601 to 260C.635.
24.13 	(c) (d) A guardianship created under the provisions of this section shall not of itself
24.14 	include the guardianship of the estate of the ward child.
24.15 	(e) The commissioner of human services, through the responsible social services 
24.16 	agency, or a licensed child-placing agency who is a guardian or who has authority and 
24.17 	responsibility for planning for the adoption of the child under section 259.25 or 259.47, 
24.18 	has the duty to make reasonable efforts to finalize the adoption of the child.

24.19 	Sec. 25. Minnesota Statutes 2010, section 260C.328, is amended to read:
24.20 	260C.328 CHANGE OF GUARDIAN; TERMINATION OF GUARDIANSHIP.
24.21 	(a) Upon its own motion or upon petition of an interested party, the juvenile court 
24.22 	having jurisdiction of the child may, after notice to the parties and a hearing, remove 
24.23 	the guardian appointed by the juvenile court and appoint a new guardian in accordance 
24.24 	with the provisions of section 260C.325, subdivision 1., clause (a), (b), or (c). Upon a 
24.25 	showing that the child is emancipated, the court may discharge the guardianship. Any 
24.26 	child 14 years of age or older who is not adopted but who is placed in a satisfactory foster 
24.27 	home, may, with the consent of the foster parents, join with the guardian appointed by the 
24.28 	juvenile court in a petition to the court having jurisdiction of the child to discharge the 
24.29 	existing guardian and appoint the foster parents as guardians of the child.
24.30 	(b) The authority of a guardian appointed by the juvenile court terminates when the 
24.31 	individual under guardianship is no longer a minor or when guardianship is otherwise 
24.32 	discharged. becomes age 18. However, an individual who has been under the guardianship 
24.33 	of the commissioner and who has not been adopted may continue in foster care or reenter 
24.34 	foster care pursuant to section 260C.451 and the responsible social services agency has 
24.35 	continuing legal responsibility for the placement of the individual.

25.1 	Sec. 26. [260C.601] ADOPTION OF CHILDREN UNDER GUARDIANSHIP 
25.2 	OF COMMISSIONER.
25.3 		Subdivision 1.Review and finalization requirements; adoption procedures. (a) 
25.4 	Sections 260C.601 to 260C.635 establish:
25.5 	(1) the requirements for court review of children under the guardianship of the 
25.6 	commissioner; and
25.7 	(2) procedures for timely finalizing adoptions in the best interests of children under 
25.8 	the guardianship of the commissioner.
25.9 	(b) Adoption proceedings for children not under the guardianship of the 
25.10 	commissioner are governed by chapter 259.
25.11 		Subd. 2.Duty of responsible agency. The responsible social services agency has 
25.12 	the duty to act as the commissioner's agent in making reasonable efforts to finalize the 
25.13 	adoption of all children under the guardianship of the commissioner pursuant to section 
25.14 	260C.325. In implementing these duties, the agency shall ensure that:
25.15 	(1) the best interests of the child are met in the planning and granting of adoptions;
25.16 	(2) a child under the guardianship of the commissioner is appropriately involved 
25.17 	in planning for adoption;
25.18 	(3) the diversity of Minnesota's population and diverse needs including culture, 
25.19 	religion, and language of persons affected by adoption are recognized and respected; and
25.20 	(4) the court has the timely information it needs to make a decision that is in the best 
25.21 	interests of the child in reviewing the agency's planning for adoption and when ordering 
25.22 	the adoption of the child.
25.23 		Subd. 3.Background study. Consistent with section 245C.33 and United States 
25.24 	Code, title 42, section 671, a completed background study is required before the adoptive 
25.25 	placement of the child in a related or an unrelated home.

25.26 	Sec. 27. [260C.603] DEFINITIONS.
25.27 		Subdivision 1.Scope. For the purposes of sections 260C.601 to 260C.635, the terms 
25.28 	defined in this section have the meanings given them.
25.29 		Subd. 2.Adopting parent. "Adopting parent" means an adult who has signed 
25.30 	an adoption placement agreement regarding the child and has the same meaning as 
25.31 	preadoptive parent under section 259A.01, subdivision 23.
25.32 		Subd. 3.Adoption placement agreement. "Adoption placement agreement" means 
25.33 	the written agreement between the responsible social services agency, the commissioner, 
25.34 	and the adopting parent which reflects the intent of all the signatories to the agreement that 
25.35 	the adopting parent establish a parent and child relationship by adoption with the child 
26.1 	who is under the guardianship of the commissioner. The adoptive placement agreement 
26.2 	must be in the commissioner's designated format.
26.3 		Subd. 4.Adoptive parent. "Adoptive parent" has the meaning given in section 
26.4 	259A.01, subdivision 3.
26.5 		Subd. 5.Adoptive placement. "Adoptive placement" means a placement made by 
26.6 	the responsible social services agency upon a fully executed adoption placement agreement 
26.7 	including the signatures of the adopting parent, the responsible social services agency, and 
26.8 	the commissioner of human services according to section 260C.613, subdivision 1.
26.9 		Subd. 6.Commissioner. "Commissioner" means the commissioner of human 
26.10 	services or any employee of the Department of Human Services to whom the commissioner 
26.11 	has delegated authority regarding children under the commissioner's guardianship.
26.12 		Subd. 7.Guardianship. "Guardianship" has the meaning given in section 259A.01, 
26.13 	subdivision 17; 260C.325; or 260C.515, subdivision 3.
26.14 		Subd. 8.Prospective adoptive parent. "Prospective adoptive parent" means an 
26.15 	individual who may become an adopting parent regardless of whether the individual 
26.16 	has an adoption study approving the individual for adoption, but who has not signed an 
26.17 	adoption placement agreement.

26.18 	Sec. 28. [260C.605] REASONABLE EFFORTS TO FINALIZE AN ADOPTION.
26.19 		Subdivision 1.Requirements. (a) Reasonable efforts to finalize the adoption of a 
26.20 	child under the guardianship of the commissioner shall be made by the responsible social 
26.21 	services agency responsible for permanency planning for the child.
26.22 	(b) Reasonable efforts to make a placement in a home according to the placement 
26.23 	considerations under section 260C.212, subdivision 2, with a relative or foster parent 
26.24 	who will commit to being the permanent resource for the child in the event the child 
26.25 	cannot be reunified with a parent are required under section 260.012 and may be made 
26.26 	concurrently with reasonable, or if the child is an Indian child, active efforts to reunify 
26.27 	the child with the parent.
26.28 	(c) Reasonable efforts under paragraph (b) must begin as soon as possible when the 
26.29 	child is in foster care under this chapter, but not later than the hearing required under 
26.30 	section 260C.204.
26.31 	(d) Reasonable efforts to finalize the adoption of the child include:
26.32 	(1) using age-appropriate engagement strategies to plan for adoption with the child;
26.33 	(2) identifying an appropriate prospective adoptive parent for the child by updating 
26.34 	the child's identified needs using the factors in section 260C.212, subdivision 2;
26.35 	(3) making an adoptive placement that meets the child's needs by:
27.1 	(i) completing or updating the relative search required under section 260C.221 and 
27.2 	giving notice of the need for an adoptive home for the child to:
27.3 	(A) relatives who have kept the agency or the court apprised of their whereabouts 
27.4 	and who have indicated an interest in adopting the child; or
27.5 	(B) relatives of the child who are located in an updated search;
27.6 	(ii) an updated search is required whenever:
27.7 	(A) there is no identified prospective adoptive placement for the child 
27.8 	notwithstanding a finding by the court that the agency made diligent efforts under section 
27.9 	260C.221, in a hearing required under section 260C.202;
27.10 	(B) the child is removed from the home of an adopting parent; or
27.11 	(C) the court determines a relative search by the agency is in the best interests of 
27.12 	the child;
27.13 	(iii) engaging child's foster parent and the child's relatives identified as an adoptive 
27.14 	resource during the search conducted under section 260C.221, to commit to being the 
27.15 	prospective adoptive parent of the child; or
27.16 	(iv) when there is no identified prospective adoptive parent:
27.17 	(A) registering the child on the state adoption exchange as required in section 259.75 
27.18 	unless the agency documents to the court an exception to placing the child on the state 
27.19 	adoption exchange reported to the commissioner;
27.20 	(B) reviewing all families with approved adoption home studies associated with the 
27.21 	responsible social services agency;
27.22 	(C) presenting the child to adoption agencies and adoption personnel who may assist 
27.23 	with finding an adoptive home for the child;
27.24 	(D) using newspapers and other media to promote the particular child;
27.25 	(E) using a private agency under grant contract with the commissioner to provide 
27.26 	adoption services for intensive child-specific recruitment efforts; and
27.27 	(F) making any other efforts or using any other resources reasonably calculated to 
27.28 	identify a prospective adoption parent for the child;
27.29 	(4) updating and completing the social and medical history required under sections 
27.30 	259.43 and 260C.609;
27.31 	(5) making, and keeping updated, appropriate referrals required by section 260.851, 
27.32 	the Interstate Compact on the Placement of Children;
27.33 	(6) giving notice regarding the responsibilities of an adoptive parent to any 
27.34 	prospective adoptive parent as required under section 259.35;
27.35 	(7) offering the adopting parent the opportunity to apply for or decline adoption 
27.36 	assistance under chapter 259A;
28.1 	(8) certifying the child for adoption assistance, assessing the amount of adoption 
28.2 	assistance, and ascertaining the status of the commissioner's decision on the level of 
28.3 	payment if the adopting parent has applied for adoption assistance;
28.4 	(9) placing the child with siblings. If the child is not placed with siblings, the agency 
28.5 	must document reasonable efforts to place the siblings together, as well as the reason for 
28.6 	separation. The agency may not cease reasonable efforts to place siblings together for final 
28.7 	adoption until the court finds further reasonable efforts would be futile or that placement 
28.8 	together for purposes of adoption is not in the best interests of one of the siblings; and
28.9 	(10) working with the adopting parent to file a petition to adopt the child and with 
28.10 	the court administrator to obtain a timely hearing to finalize the adoption.
28.11 		Subd. 2.No waiver. (a) The responsible social services agency shall make 
28.12 	reasonable efforts to recruit, assess, and match an adoptive home for any child under 
28.13 	the guardianship of the commissioner and reasonable efforts shall continue until an 
28.14 	adoptive placement is made and adoption finalized or until the child is no longer under the 
28.15 	guardianship of the commissioner.
28.16 	(b) A child of any age who is under the guardianship of the commissioner and is 
28.17 	legally available for adoption may not refuse or waive the responsible social services 
28.18 	agency's reasonable efforts to recruit, identify, and place the child in an adoptive home 
28.19 	required under this section. The agency has an ongoing responsibility to work with the 
28.20 	child to explore the child's opportunities for adoption, and what adoption means for the 
28.21 	child, and may not accept a child's refusal to consider adoption as an option.
28.22 	(c) The court may not relieve or otherwise order the responsible social services 
28.23 	agency to cease fulfilling the responsible social services agency's duty regarding 
28.24 	reasonable efforts to recruit, identify, and place the child in an adoptive home.

28.25 	Sec. 29. [260C.607] REVIEW OF PROGRESS TOWARD ADOPTION.
28.26 		Subdivision 1.Review hearings. (a) The court shall conduct a review of the 
28.27 	responsible social services agency's reasonable efforts to finalize adoption for any child 
28.28 	under the guardianship of the commissioner and of the progress of the case toward 
28.29 	adoption at least every 90 days after the court issues an order that the commissioner is 
28.30 	the guardian of the child.
28.31 	(b) The review of progress toward adoption shall continue notwithstanding that an 
28.32 	appeal is made of the order for guardianship.
28.33 	(c) The agency's reasonable efforts to finalize the adoption must continue during the 
28.34 	pendency of the appeal and all progress toward adoption shall continue except that the 
28.35 	court may not finalize an adoption while the appeal is pending.
29.1 		Subd. 2.Notice. Notice of review hearings shall be given by the court to:
29.2 	(1) the responsible social services agency;
29.3 	(2) the child, if the child is age ten and older;
29.4 	(3) the child's guardian ad litem;
29.5 	(4) relatives of the child who have kept the court informed of their whereabouts 
29.6 	as required in section 260C.221 and who have responded to the agency's notice under 
29.7 	section 260C.221, indicating a willingness to provide an adoptive home for the child 
29.8 	unless the relative has been previously ruled out by the court as a suitable foster parent or 
29.9 	permanency resource for the child;
29.10 	(5) the current foster or adopting parent of the child;
29.11 	(6) any foster or adopting parents of siblings of the child; and
29.12 	(7) the Indian child's tribe.
29.13 		Subd. 3.Right to participate. Any individual or entity listed in subdivision 2 may 
29.14 	participate in the continuing reviews conducted under this section. No other individual 
29.15 	or entity is required to be given notice or to participate in the reviews unless the court 
29.16 	specifically orders that notice be given or participation in the reviews be required.
29.17 		Subd. 4.Content of review. (a) The court shall review:
29.18 	(1) the agency's reasonable efforts under section 260C.605 to finalize an adoption 
29.19 	for the child as appropriate to the stage of the case; and
29.20 	(2) the child's current out-of-home placement plan required under section 260C.212, 
29.21 	subdivision 1, to ensure the child is receiving all services and supports required to meet 
29.22 	the child's needs as they relate to the child's:
29.23 	(i) placement;
29.24 	(ii) visitation and contact with siblings;
29.25 	(iii) visitation and contact with relatives;
29.26 	(iv) medical, mental, and dental health; and
29.27 	(v) education.
29.28 	(b) When the child is age 16 and older, and as long as the child continues in foster 
29.29 	care, the court shall also review the agency's planning for the child's independent living 
29.30 	after leaving foster care including how the agency is meeting the requirements of section 
29.31 	260C.212, subdivision 1, paragraph (c), clause (11). The court shall use the review 
29.32 	requirements of section 260C.203, in any review conducted under this paragraph.
29.33 		Subd. 5.Required placement by responsible social services agency. (a) No 
29.34 	petition for adoption shall be filed for a child under the guardianship of the commissioner 
29.35 	unless the child sought to be adopted has been placed for adoption with the adopting 
30.1 	parent by the responsible social services agency. The court may order the agency to make 
30.2 	an adoptive placement using standards and procedures under subdivision 6.
30.3 	(b) Any relative or the child's foster parent who believes the responsible agency 
30.4 	has not reasonably considered their request to be considered for adoptive placement as 
30.5 	required under section 260C.212, subdivision 2, and who wants to be considered for 
30.6 	adoptive placement of the child shall bring their request for consideration to the attention 
30.7 	of the court during a review required under this section. The child's guardian ad litem and 
30.8 	the child may also bring a request for a relative or the child's foster parent to be considered 
30.9 	for adoptive placement. After hearing from the agency, the court may order the agency to 
30.10 	take appropriate action regarding the relative's or foster parent's request for consideration 
30.11 	under section 260C.212, subdivision 2, paragraph (b).
30.12 		Subd. 6.Motion and hearing to order adoptive placement. (a) At any time after 
30.13 	the district court orders the child under the guardianship of the commissioner of human 
30.14 	services, but not later than 30 days after receiving notice required under section 260C.613, 
30.15 	subdivision 1, paragraph (c), that the agency has made an adoptive placement, a relative 
30.16 	or the child's foster parent may file a motion for an order for adoptive placement of a 
30.17 	child who is under the guardianship of the commissioner if the relative or the child's 
30.18 	foster parent:
30.19 	(1) has an adoption home study under section 259.41 approving the relative or foster 
30.20 	parent for adoption and has been a resident of Minnesota for at least six months before 
30.21 	filing the motion; the court may waive the residency requirement for the moving party 
30.22 	if there is a reasonable basis to do so; or
30.23 	(2) is not a resident of Minnesota, but has an approved adoption home study by 
30.24 	an agency licensed or approved to complete an adoption home study in the state of the 
30.25 	individual's residence and the study is filed with the motion for adoptive placement.
30.26 	(b) The motion shall be filed with the court conducting reviews of the child's 
30.27 	progress toward adoption under this section. The motion and supporting documents must 
30.28 	make a prima facie showing that the agency has been unreasonable in failing to make the 
30.29 	requested adoptive placement. The motion must be served according to the requirements 
30.30 	for motions under the Minnesota Rules of Juvenile Protection Procedure and shall be 
30.31 	made on all individuals and entities listed in subdivision 2.
30.32 	(c) If the motion and supporting documents do not make a prima facie showing for 
30.33 	the court to determine whether the agency has been unreasonable in failing to make the 
30.34 	requested adoptive placement, the court shall dismiss the motion. If the court determines a 
30.35 	prima facie basis is made, the court shall set the matter for evidentiary hearing.
31.1 	(d) At the evidentiary hearing the responsible social services agency shall proceed 
31.2 	first with evidence about the reason for not making the adoptive placement proposed by the 
31.3 	moving party. The moving party then has the burden of proving by a preponderance of the 
31.4 	evidence that the agency has been unreasonable in failing to make the adoptive placement.
31.5 	(e) At the conclusion of the evidentiary hearing, if the court finds that the agency 
31.6 	has been unreasonable in failing to make the adoptive placement and that the relative or 
31.7 	the child's foster parent is the most suitable adoptive home to meet the child's needs 
31.8 	using the factors in section 260C.212, subdivision 2, paragraph (b), the court may order 
31.9 	the responsible social services agency to make an adoptive placement in the home of the 
31.10 	relative or the child's foster parent.
31.11 	(f) If, in order to ensure that a timely adoption may occur, the court orders the 
31.12 	responsible social services agency to make an adoptive placement under this subdivision, 
31.13 	the agency shall:
31.14 	(1) make reasonable efforts to obtain a fully executed adoption placement agreement;
31.15 	(2) work with the moving party regarding eligibility for adoption assistance as 
31.16 	required under chapter 259A; and
31.17 	(3) if the moving party is not a resident of Minnesota, timely refer the matter for 
31.18 	approval of the adoptive placement through the Interstate Compact on the Placement of 
31.19 	Children.
31.20 	(g) Denial or granting of a motion for an order for adoptive placement after an 
31.21 	evidentiary hearing is an order which may be appealed by the responsible social services 
31.22 	agency, the moving party, the child, when age ten or over, the child's guardian ad litem, 
31.23 	and any individual who had a fully executed adoption placement agreement regarding 
31.24 	the child at the time the motion was filed if the court's order has the effect of terminating 
31.25 	the adoption placement agreement. An appeal shall be conducted according to the 
31.26 	requirements of the Rules of Juvenile Protection Procedure.
31.27 		Subd. 7.Changing adoptive plan when parent has consented to adoption.
 31.28 	When the child's parent has consented to adoption under section 260C.515, subdivision 3, 
31.29 	only the person identified by the parent and agreed to by the agency as the prospective 
31.30 	adoptive parent qualifies for adoptive placement of the child until the responsible social 
31.31 	services agency has reported to the court and the court has found in a hearing under this 
31.32 	section that it is not possible to finalize an adoption by the identified prospective adoptive 
31.33 	parent within 12 months of the execution of the consent to adopt under section 260C.515, 
31.34 	subdivision 3, unless the responsible social services agency certifies that the failure to 
31.35 	finalize is not due to either an action or a failure to act by the prospective adoptive parent.
32.1 		Subd. 8.Timing modified. (a) The court may review the responsible social services 
32.2 	agency's reasonable efforts to finalize an adoption more frequently than every 90 days 
32.3 	whenever a more frequent review would assist in finalizing the adoption.
32.4 	(b) In appropriate cases, the court may review the responsible social services 
32.5 	agency's reasonable efforts to finalize an adoption less frequently than every 90 days. The 
32.6 	court shall not find it appropriate to review progress toward adoption less frequently 
32.7 	than every 90 days except when:
32.8 	(1) the court has approved the agency's reasonable efforts to recruit, identify, and 
32.9 	place the child in an adoptive home on a continuing basis for at least 24 months after the 
32.10 	court has issued the order for guardianship;
32.11 	(2) the child is at least 16 years old; and
32.12 	(3) the child's guardian ad litem agrees that review less frequently than every 90 
32.13 	days is in the child's best interests.
32.14 	(c) In no event shall the court's review be less frequent than every six months.

32.15 	Sec. 30. [260C.609] SOCIAL AND MEDICAL HISTORY.
32.16 	(a) The responsible social services agency shall work with the birth family of the 
32.17 	child, foster family, medical and treatment providers, and the child's school to ensure there 
32.18 	is a detailed, thorough, and currently up-to-date social and medical history of the child as 
32.19 	required under section 259.43 on the forms required by the commissioner.
32.20 	(b) When the child continues in foster care, the agency's reasonable efforts to 
32.21 	complete the history shall begin no later than the permanency progress review hearing 
32.22 	required under section 260C.204 or six months after the child's placement in foster care.
32.23 	(c) The agency shall thoroughly discuss the child's history with the adopting parent 
32.24 	of the child and shall give a copy of the report of the child's social and medical history 
32.25 	to the adopting parent. A copy of the child's social and medical history may also be 
32.26 	given to the child as appropriate.
32.27 	(d) The report shall not include information that identifies birth relatives. Redacted 
32.28 	copies of all the child's relevant evaluations, assessments, and records must be attached 
32.29 	to the social and medical history.

32.30 	Sec. 31. [260C.611] ADOPTION STUDY REQUIRED.
32.31 	An adoption study under section 259.41 approving placement of the child in the 
32.32 	home of the prospective adoptive parent shall be completed before placing any child 
32.33 	under the guardianship of the commissioner in a home for adoption. If a prospective 
32.34 	adoptive parent has previously held a foster care license or adoptive home study, any 
33.1 	update necessary to the foster care license, or updated or new adoptive home study, if not 
33.2 	completed by the licensing authority responsible for the previous license or home study, 
33.3 	shall include collateral information from the previous licensing or approving agency, if 
33.4 	available.

33.5 	Sec. 32. [260C.613] SOCIAL SERVICES AGENCY AS COMMISSIONER'S 
33.6 	AGENT.
33.7 		Subdivision 1.Adoptive placement decisions. (a) The responsible social services 
33.8 	agency has exclusive authority to make an adoptive placement of a child under the 
33.9 	guardianship of the commissioner. The child shall be considered placed for adoption when 
33.10 	the adopting parent, the agency, and the commissioner have fully executed an adoption 
33.11 	placement agreement on the form prescribed by the commissioner.
33.12 	(b) The responsible social services agency shall use an individualized determination 
33.13 	of the child's current needs pursuant to section 260C.212, subdivision 2, paragraph (b), to 
33.14 	determine the most suitable adopting parent for the child in the child's best interests.
33.15 	(c) The responsible social services agency shall notify the court and parties entitled 
33.16 	to notice under section 260C.607, subdivision 2, when there is a fully executed adoption 
33.17 	placement agreement for the child.
33.18 	(d) In the event an adoption placement agreement terminates, the responsible 
33.19 	social services agency shall notify the court, the parties entitled to notice under section 
33.20 	260C.607, subdivision 2, and the commissioner that the agreement and the adoptive 
33.21 	placement have terminated.
33.22 		Subd. 2.Disclosure of data permitted to identify adoptive parent. The 
33.23 	responsible social services agency may disclose private data, as defined in section 13.02, to 
33.24 	prospective adoptive parents for the purpose of identifying an adoptive parent willing and 
33.25 	able to meet the child's needs as outlined in section 260C.212, subdivision 2, paragraph (b).
33.26 		Subd. 3.Siblings placed together. The responsible social services agency shall 
33.27 	place siblings together for adoption according to section 260.012, paragraph (e), clause 
33.28 	(4), unless:
33.29 	(1) the court makes findings required under section 260C.617; and
33.30 	(2) the court orders that the adoption or progress toward adoption of the child under 
33.31 	the court's jurisdiction may proceed notwithstanding that the adoption will result in 
33.32 	siblings being separated.
33.33 		Subd. 4.Other considerations. Placement of a child cannot be delayed or denied 
33.34 	based on the race, color, or national origin of the prospective parent or the child.
34.1 		Subd. 5.Required record keeping. The responsible social services agency 
34.2 	shall document, in the records required to be kept under section 259.79, the reasons 
34.3 	for the adoptive placement decision regarding the child, including the individualized 
34.4 	determination of the child's needs based on the factors in section 260C.212, subdivision 
34.5 	2, paragraph (b), and the assessment of how the selected adoptive placement meets the 
34.6 	identified needs of the child. The responsible social services agency shall retain in the 
34.7 	records required to be kept under section 259.79, copies of all out-of-home placement 
34.8 	plans made since the child was ordered under guardianship of the commissioner and all 
34.9 	court orders from reviews conducted pursuant to section 260C.607.
34.10 		Subd. 6.Death notification. (a) The agency shall inform the adoptive parents 
34.11 	that the adoptive parents of an adopted child under age 19 or an adopted person age 19 
34.12 	or older may maintain a current address on file with the agency and indicate a desire to 
34.13 	be notified if the agency receives information of the death of a birth parent. The agency 
34.14 	shall notify birth parents of the child's death and the cause of death, if known, provided 
34.15 	that the birth parents desire notice and maintain current addresses on file with the agency. 
34.16 	The agency shall inform birth parents entitled to notice under section 259.27, that they 
34.17 	may designate individuals to notify the agency if a birth parent dies and that the agency 
34.18 	receiving information of the birth parent's death will share the information with adoptive 
34.19 	parents, if the adopted person is under age 19, or an adopted person age 19 or older who 
34.20 	has indicated a desire to be notified of the death of a birth parent and who maintains 
34.21 	a current address on file with the agency.
34.22 	(b) Notice to a birth parent that a child has died or to the adoptive parents or an 
34.23 	adopted person age 19 or older that a birth parent has died shall be provided by an 
34.24 	employee of the agency through personal and confidential contact, but not by mail.
34.25 		Subd. 7.Terminal illness notification. If a birth parent or the child is terminally ill, 
34.26 	the responsible social services agency shall inform the adoptive parents and birth parents 
34.27 	of a child who is adopted that the birth parents, the adoptive parents of an adopted person 
34.28 	under age 19, or an adopted person age 19 or older may request to be notified of the 
34.29 	terminal illness. The agency shall notify the other parties if a request is received under 
34.30 	this subdivision and upon a party's request the agency shall share information regarding a 
34.31 	terminal illness with the adoptive or birth parents or an adopted person age 19 or older.
34.32 		Subd. 8.Postadoption search services. The responsible social services agency 
34.33 	shall respond to requests from adopted persons age 19 years and over, adoptive parents 
34.34 	of a minor child, and birth parents for social and medical history and genetic health 
34.35 	conditions of the adopted person's birth family and genetic sibling information according 
34.36 	to section 259.83.

35.1 	Sec. 33. [260C.615] DUTIES OF COMMISSIONER.
35.2 		Subdivision 1.Duties. (a) For any child who is under the guardianship of the 
35.3 	commissioner, the commissioner has the exclusive rights to consent to:
35.4 	(1) the medical care plan for the treatment of a child who is at imminent risk of death 
35.5 	or who has a chronic disease that, in a physician's judgment, will result in the child's death 
35.6 	in the near future including a physician's order not to resuscitate or intubate the child; and
35.7 	(2) the child donating a part of the child's body to another person while the child is 
35.8 	living; the decision to donate a body part under this clause shall take into consideration 
35.9 	the child's wishes and the child's culture.
35.10 	(b) In addition to the exclusive rights under paragraph (a), the commissioner has 
35.11 	a duty to:
35.12 	(1) process any complete and accurate request for home study and placement 
35.13 	through the Interstate Compact on the Placement of Children under section 260.851;
35.14 	(2) process any complete and accurate application for adoption assistance forwarded 
35.15 	by the responsible social services agency according to chapter 259A;
35.16 	(3) complete the execution of an adoption placement agreement forwarded to the 
35.17 	commissioner by the responsible social services agency and return it to the agency in a 
35.18 	timely fashion; and
35.19 	(4) maintain records as required in chapter 259.
35.20 		Subd. 2.Duties not reserved. All duties, obligations, and consents not specifically 
35.21 	reserved to the commissioner in this section are delegated to the responsible social 
35.22 	services agency.

35.23 	Sec. 34. [260C.617] SIBLING PLACEMENT.
35.24 	(a) The responsible social services agency shall make every effort to place siblings 
35.25 	together for adoption.
35.26 	(b) The court shall review any proposal by the responsible social services agency to 
35.27 	separate siblings for purposes of adoption.
35.28 	(c) If there is venue in more than one county for matters regarding siblings who are 
35.29 	under the guardianship of the commissioner, the judges conducting reviews regarding 
35.30 	the siblings shall communicate with each other about the siblings' needs and, where 
35.31 	appropriate, shall conduct review hearings in a manner that ensures coordinated planning 
35.32 	by agencies involved in decision making for the siblings.
35.33 	(d) After notice to the individuals and entities listed in section 260C.627, the foster 
35.34 	or prospective adoptive parent of the child, and any foster, adopting, or adoptive parents 
35.35 	of the child's siblings, or relatives with permanent legal and physical custody of the 
36.1 	child's sibling, and upon hearing, the court may determine that a child under the court's 
36.2 	jurisdiction may be separated from the child's sibling for adoption when:
36.3 	(1) the responsible social services agency has made reasonable efforts to place the 
36.4 	siblings together, and after finding reasonable efforts have been made, the court finds 
36.5 	further efforts would significantly delay the adoption of one or more of the siblings and 
36.6 	are therefore not in the best interests of one or more of the siblings; or
36.7 	(2) the court determines it is not in the best interests of one or more of the siblings to 
36.8 	be placed together after reasonable efforts by the responsible social services agency to 
36.9 	place the siblings together.

36.10 	Sec. 35. [260C.619] COMMUNICATION AND CONTACT AGREEMENTS.
36.11 	(a) An adopting parent and a relative or foster parent of the child may enter into an 
36.12 	agreement regarding communication with or contact between the adopted child, adopting 
36.13 	parent, and the relative or foster parent. An agreement may be entered between:
36.14 	(1) an adopting parent and a birth parent;
36.15 	(2) an adopting parent and any relative or foster parent with whom the child resided 
36.16 	before being adopted; and
36.17 	(3) an adopting parent and the parent or legal custodian of a sibling of the child, if 
36.18 	the sibling is a minor, or any adult sibling of the child.
36.19 	(b) An agreement regarding communication with or contact between the child, 
36.20 	adoptive parents, and a relative or foster parent, is enforceable when the terms of the 
36.21 	agreement are contained in a written court order. The order must be issued before or at the 
36.22 	time of the granting of the decree of adoption. The order granting the communication, 
36.23 	contact, or visitation shall be filed in the adoption file.
36.24 	(c) The court shall mail a certified copy of the order to the parties to the agreement or 
36.25 	their representatives at the addresses provided by the parties to the agreement. Service shall 
36.26 	be completed in a manner that maintains the confidentiality of confidential information.
36.27 	(d) The court shall not enter a proposed order unless the terms of the order have been 
36.28 	approved in writing by the prospective adoptive parents, the birth relative, the foster 
36.29 	parent, or the birth parent or legal custodian of the child's sibling who desires to be a party 
36.30 	to the agreement, and the responsible social services agency.
36.31 	(e) An agreement under this section need not disclose the identity of the parties to be 
36.32 	legally enforceable and when the identity of the parties to the agreement is not disclosed, 
36.33 	data about the identities in the adoption file shall remain confidential.
36.34 	(f) The court shall not enter a proposed order unless the court finds that the 
36.35 	communication or contact between the minor adoptee, the adoptive parents, and the 
37.1 	relative, foster parents, or siblings as agreed upon and contained in the proposed order, 
37.2 	would be in the child's best interests.
37.3 	(g) Failure to comply with the terms of an order regarding communication or contact 
37.4 	that has been entered by the court under this section is not grounds for:
37.5 	(1) setting aside an adoption decree; or
37.6 	(2) revocation of a written consent to an adoption after that consent has become 
37.7 	irrevocable.
37.8 	(h) An order regarding communication or contact entered under this section may be 
37.9 	enforced by filing a motion in the existing adoption file with the court that entered the 
37.10 	contact agreement. Any party to the communication or contact order or the child who is 
37.11 	the subject of the order has standing to file the motion to enforce the order. The prevailing 
37.12 	party may be awarded reasonable attorney fees and costs.
37.13 	(i) The court shall not modify an order under this section unless it finds that the 
37.14 	modification is necessary to serve the best interests of the child, and:
37.15 	(1) the modification is agreed to by the parties to the agreement; or
37.16 	(2) exceptional circumstances have arisen since the order was entered that justified 
37.17 	modification of the order.

37.18 	Sec. 36. [260C.621] JURISDICTION AND VENUE.
37.19 		Subdivision 1.Jurisdiction. (a) The juvenile court has original jurisdiction for all 
37.20 	adoption proceedings involving the adoption of a child under the guardianship of the 
37.21 	commissioner, including when the commissioner approves the placement of the child 
37.22 	through the Interstate Compact on the Placement of Children under section 260.851 for 
37.23 	adoption outside the state of Minnesota and an adoption petition is filed in Minnesota.
37.24 	(b) The receiving state also has jurisdiction to conduct an adoption proceeding for a 
37.25 	child under the guardianship of the commissioner when the adopting home was approved 
37.26 	by the receiving state through the interstate compact.
37.27 		Subd. 2.Venue. (a) Venue for the adoption of a child committed to the guardianship 
37.28 	of the commissioner of human services shall be the court conducting reviews in the matter 
37.29 	according to section 260C.607.
37.30 	(b) Upon request of the responsible social services agency, the court conducting 
37.31 	reviews under section 260C.607 may order that filing an adoption petition involving a 
37.32 	child under the guardianship of the commissioner be permitted in the county where the 
37.33 	adopting parent resides upon determining that:
37.34 	(1) there is no motion for an order for adoptive placement of the child that has been 
37.35 	filed or is reasonably anticipated by the responsible social services agency to be filed; and
38.1 	(2) filing the petition in the adopting parent's county of residence will expedite the 
38.2 	proceedings and serve the best interests of the child.
38.3 	(c) When the court issues an order under paragraph (b), a copy of the court order 
38.4 	shall be filed together with the adoption petition in the court of the adopting parent's 
38.5 	county of residence.
38.6 	(d) The court shall notify the court conducting reviews under section 260C.607 when 
38.7 	the adoption is finalized so that the court conducting reviews under section 260C.607 may 
38.8 	close its jurisdiction and the court record, including the court's electronic case record, in 
38.9 	the county conducting the reviews, shall reflect that adoption of the child was finalized.

38.10 	Sec. 37. [260C.623] ADOPTION PETITION.
38.11 		Subdivision 1.Who may petition. (a) The responsible social services agency may 
38.12 	petition for the adopting parent to adopt a child who is under the guardianship of the 
38.13 	commissioner. The petition shall contain or have attached a statement certified by the 
38.14 	adopting parent that the adopting parent desires that the relationship of parent and child 
38.15 	be established between the adopting parent and the child and that adoption is in the best 
38.16 	interests of the child.
38.17 	(b) The adopting parent may petition the court for adoption of the child.
38.18 	(c) An adopting parent must be at least 21 years of age at the time the adoption 
38.19 	petition is filed unless the adopting parent is an individual related to the child, as defined 
38.20 	by section 245A.02, subdivision 13.
38.21 	(d) The petition may be filed in Minnesota by an adopting parent who resides within 
38.22 	or outside the state.
38.23 		Subd. 2.Time for filing petition. (a) An adoption petition shall be filed not later 
38.24 	than nine months after the date of the fully executed adoption placement agreement unless 
38.25 	the court finds that:
38.26 	(1) the time for filing a petition be extended because of the child's special needs 
38.27 	as defined under title IV-E of the federal Social Security Act, United States Code, title 
38.28 	42, section 672; or
38.29 	(2) based on a written plan for completing filing of the petition, including a specific 
38.30 	timeline, to which the adopting parent has agreed, the time for filing a petition be extended 
38.31 	long enough to complete the plan because an extension is in the best interests of the child 
38.32 	and additional time is needed for the child to adjust to the adoptive home.
38.33 	(b) If an adoption petition is not filed within nine months of the execution of the 
38.34 	adoption placement agreement as required under section 260C.613, subdivision 1, and 
38.35 	after giving the adopting parent written notice of its request together with the date and 
39.1 	time of the hearing set to consider its report, the responsible social services agency shall 
39.2 	file a report requesting an order for one of the following:
39.3 	(1) that the time for filing a petition be extended because of the child's special needs 
39.4 	as defined under title IV-E of the federal Social Security Act, United States Code, title 
39.5 	42, section 673;
39.6 	(2) that, based on a written plan for completing filing of the petition, including a 
39.7 	specific timeline, to which the adopting parent has agreed, the time for filing a petition can 
39.8 	be extended long enough to complete the plan because an extension is in the best interests 
39.9 	of the child and additional time is needed for the child to adjust to the adoptive home; or
39.10 	(3) that the child can be removed from the adopting home.
39.11 	(c) At the conclusion of the review, the court shall issue findings, appropriate orders 
39.12 	for the parties to take action or steps required to advance the case toward a finalized 
39.13 	adoption, and set the date and time for the next review hearing.
39.14 		Subd. 3.Requirements of petition. (a) The petition shall be captioned in the legal 
39.15 	name of the child as that name is reflected on the child's birth record prior to adoption and 
39.16 	shall be entitled "Petition to Adopt Child under the Guardianship of the Commissioner 
39.17 	of Human Services." The actual name of the child shall be supplied to the court by the 
39.18 	responsible social services agency if unknown to the individual with whom the agency 
39.19 	has made the adoptive placement.
39.20 	(b) The adoption petition shall be verified as required in section 260C.141, 
39.21 	subdivision 4, and, if filed by the responsible social services agency, signed and approved 
39.22 	by the county attorney.
39.23 	(c) The petition shall state:
39.24 	(1) the full name, age, and place of residence of the adopting parent;
39.25 	(2) if the adopting parents are married, the date and place of marriage;
39.26 	(3) the date the adopting parent acquired physical custody of the child;
39.27 	(4) the date of the adoptive placement by the responsible social services agency;
39.28 	(5) the date of the birth of the child, if known, and the county, state, and country 
39.29 	where born;
39.30 	(6) the name to be given the child, if a change of name is desired;
39.31 	(7) the description and value of any real or personal property owned by the child;
39.32 	(8) the relationship of the adopting parent to the child prior to adoptive placement, if 
39.33 	any;
39.34 	(9) whether the Indian Child Welfare Act does or does not apply; and
39.35 	(10) the name and address of:
39.36 	(i) the child's guardian ad litem;
40.1 	(ii) the adoptee, if age ten or older;
40.2 	(iii) the child's Indian tribe, if the child is an Indian child; and
40.3 	(iv) the responsible social services agency.
40.4 	(d) A petition may ask for the adoption of two or more children.
40.5 	(e) If a petition is for adoption by a married person, both spouses must sign the 
40.6 	petition indicating willingness to adopt the child and the petition must ask for adoption by 
40.7 	both spouses unless the court approves adoption by only one spouse when spouses do not 
40.8 	reside together or for other good cause shown.
40.9 	(f) If the petition is for adoption by a person residing outside the state, the adoptive 
40.10 	placement must have been approved by the state where the person is a resident through the 
40.11 	Interstate Compact on the Placement of Children, sections 260.851 to 260.92.
40.12 		Subd. 4.Attachments to the petition. The following must be filed with the petition:
40.13 	(1) the adoption study report required under section 259.41;
40.14 	(2) the social and medical history required under sections 259.43 and 260C.609; and
40.15 	(3) a document prepared by the petitioner that establishes who must be given notice 
40.16 	under section 260C.627, subdivision 1, that includes the names and mailing addresses of 
40.17 	those to be served by the court administrator.

40.18 	Sec. 38. [260C.625] DOCUMENTS FILED BY SOCIAL SERVICES AGENCY.
40.19 	(a) The following shall be filed by the responsible social services agency prior to 
40.20 	finalization of the adoption:
40.21 	(1) a certified copy of the child's birth record;
40.22 	(2) a certified copy of the findings and order terminating parental rights or order 
40.23 	accepting the parent's consent to adoption under section 260C.515, subdivision 3, and for 
40.24 	guardianship to the commissioner;
40.25 	(3) a copy of any communication or contact agreement under section 260C.619;
40.26 	(4) certification that the Minnesota Fathers' Adoption Registry has been searched 
40.27 	which requirement may be met according to the requirements of the Minnesota Rules of 
40.28 	Adoption Procedure, Rule 32.01, subdivision 2;
40.29 	(5) the original of each consent to adoption required, if any, unless the original was 
40.30 	filed in the permanency proceeding conducted under section 260C.515, subdivision 3, and 
40.31 	the order filed under clause (2) has a copy of the consent attached; and
40.32 	(6) the postplacement assessment report required under section 259.53, subdivision 
40.33 	2.
40.34 	(b) The responsible social services agency shall provide any known aliases of the 
40.35 	child to the court.

41.1 	Sec. 39. [260C.627] NOTICE OF ADOPTION PROCEEDINGS.
41.2 		Subdivision 1.To whom given. (a) Notice of the adoption proceedings shall not 
41.3 	be given to any parent whose rights have been terminated or who has consented to the 
41.4 	adoption of the child under this chapter.
41.5 	(b) Notice of the adoption proceedings shall be given to the following:
41.6 	(1) the child's tribe if the child is an Indian child;
41.7 	(2) the responsible social services agency;
41.8 	(3) the child's guardian ad litem;
41.9 	(4) the child, if the child is age ten or over;
41.10 	(5) the child's attorney; and
41.11 	(6) the adopting parent.
41.12 	(c) Notice of a hearing regarding the adoption petition shall have a copy of the 
41.13 	petition attached unless service of the petition has already been accomplished.
41.14 		Subd. 2.Method of service. Notice of adoption proceedings for a child under the 
41.15 	guardianship of the commissioner may be served by United States mail or any other 
41.16 	method approved by the Minnesota Rules of Adoption Procedure.

41.17 	Sec. 40. [260C.629] FINALIZATION HEARING.
41.18 		Subdivision 1.Consent. (a) A parent whose rights to the child have not been 
41.19 	terminated must consent to the adoption of the child. A parent may consent to the adoption 
41.20 	of the child under section 260C.515, subdivision 3, and that consent shall be irrevocable 
41.21 	upon acceptance by the court except as otherwise provided in section 260C.515, 
41.22 	subdivision 3, clause (2)(i). A parent of an Indian child may consent to the adoption of 
41.23 	the child according to United States Code, title 25, section 1913, and that consent may be 
41.24 	withdrawn for any reason at any time before the entry of a final decree of adoption.
41.25 	(b) When the child to be adopted is age 14 years or older, the child's written consent 
41.26 	to adoption by the adopting parent is required.
41.27 	(c) Consent by the responsible social services agency or the commissioner is not 
41.28 	required because the adoptive placement has been made by the responsible social services 
41.29 	agency.
41.30 		Subd. 2.Required documents. In order to issue a decree for adoption and enter 
41.31 	judgment accordingly, the court must have the following documents in the record:
41.32 	(1) original birth record of the child;
41.33 	(2) adoption study report including a background study required under section 
41.34 	259.41;
42.1 	(3) a certified copy of the findings and order terminating parental rights or order 
42.2 	accepting the parent's consent to adoption under section 260C.515, subdivision 3, and for 
42.3 	guardianship to the commissioner;
42.4 	(4) any consents required under subdivision 1;
42.5 	(5) child's social and medical history under section 260C.609;
42.6 	(6) postplacement assessment report required under section 259.53, subdivision 2, 
42.7 	unless waived by the court on the record at a hearing under section 260C.607; and
42.8 	(7) report from the child's guardian ad litem.

42.9 	Sec. 41. [260C.631] JUDGMENT AND DECREE.
42.10 	(a) After taking testimony from the responsible social services agency, which may 
42.11 	be by telephone or affidavit if the court has transferred venue of the matter to a county 
42.12 	not conducting the posttermination of parental rights reviews under section 260C.607, 
42.13 	and the adopting parent, if the court finds that it is in the best interests of the child that 
42.14 	the petition be granted, a decree of adoption shall be issued ordering that the child to be 
42.15 	adopted shall be the child of the adopting parent. In the decree, the court may change the 
42.16 	name of the adopted child, if a name change is requested.
42.17 	(b) After the decree is granted, the court administrator shall mail a copy of the decree 
42.18 	to the commissioner of human services.

42.19 	Sec. 42. [260C.633] ADOPTION DENIED.
42.20 	(a) If the court is not satisfied that the proposed adoption is in the best interests of 
42.21 	the child to be adopted, the court shall deny the petition, and order the responsible social 
42.22 	services agency to take appropriate action for the protection and safety of the child. If 
42.23 	venue has been transferred under section 260C.621, subdivision 2, the court denying 
42.24 	the petition shall notify the court originally conducting the guardianship reviews under 
42.25 	section 260C.607.
42.26 	(b) The court responsible for conducting reviews under section 260C.607 shall set a 
42.27 	hearing within 30 days of receiving notice of denial of the petition.
42.28 	(c) Any appeal of the denial of an adoption petition under this section shall be made 
42.29 	according to the requirements of the Minnesota Rules of Adoption Procedure.

42.30 	Sec. 43. [260C.635] EFFECT OF ADOPTION.
42.31 		Subdivision 1.Legal effect. (a) Upon adoption, the adopted child becomes the legal 
42.32 	child of the adopting parent and the adopting parent becomes the legal parent of the child 
42.33 	with all the rights and duties between them of a birth parent and child.
43.1 	(b) The child shall inherit from the adoptive parent and the adoptive parent's 
43.2 	relatives the same as though the child were the birth child of the parent, and in case of the 
43.3 	child's death intestate, the adoptive parent and the adoptive parent's relatives shall inherit 
43.4 	the child's estate as if the child had been the adoptive parent's birth child.
43.5 	(c) After a decree of adoption is entered, the birth parents or previous legal parents 
43.6 	of the child shall be relieved of all parental responsibilities for the child except child 
43.7 	support that has accrued to the date of the order for guardianship to the commissioner 
43.8 	which continues to be due and owing. The child's birth or previous legal parent shall not 
43.9 	exercise or have any rights over the adopted child or the adopted child's property, person, 
43.10 	privacy, or reputation.
43.11 	(d) The adopted child shall not owe the birth parents or the birth parent's relatives 
43.12 	any legal duty nor shall the adopted child inherit from the birth parents or kindred unless 
43.13 	otherwise provided for in a will of the birth parent or kindred.
43.14 	(e) Upon adoption, the court shall complete a certificate of adoption form and mail 
43.15 	the form to the Office of the State Registrar at the Minnesota Department of Health. Upon 
43.16 	receiving the certificate of adoption, the state registrar shall register a replacement vital 
43.17 	record in the new name of the adopted child as required under section 144.218.
43.18 		Subd. 2.Enrollment in American Indian tribe. Notwithstanding the provisions 
43.19 	of subdivision 1, the adoption of a child whose birth parent or parents are enrolled in an 
43.20 	American Indian tribe shall not change the child's enrollment in that tribe.
43.21 		Subd. 3.Communication or contact agreements. This section does not prohibit 
43.22 	birth parents, relatives, birth or legal siblings, and adoptive parents from entering a 
43.23 	communication or contact agreement under section 260C.619.

43.24 	Sec. 44. [260C.637] ACCESS TO ORIGINAL BIRTH RECORD 
43.25 	INFORMATION.
43.26 	An adopted person may ask the commissioner of health to disclose the information 
43.27 	on the adopted person's original birth record according to section 259.89.

43.28 	Sec. 45. Minnesota Statutes 2010, section 541.04, is amended to read:
43.29 	541.04 JUDGMENTS, TEN OR 20 YEARS.
43.30 	No action shall be maintained upon a judgment or decree of a court of the United 
43.31 	States, or of any state or territory thereof, unless begun within ten years after the entry of 
43.32 	such judgment or, in the case of a judgment for child support, including a judgment by 
43.33 	operation of law, unless begun within 20 years after entry of the judgment.

44.1 	EFFECTIVE DATE. The amendments to this section are effective retroactively 
44.2 	from April 15, 2010, the date the language stricken in this section was finally enacted.

44.3 	Sec. 46. Minnesota Statutes 2010, section 548.09, subdivision 1, is amended to read:
44.4 		Subdivision 1.Entry and docketing; survival of judgment. Except as provided 
44.5 	in section 548.091, every judgment requiring the payment of money shall be entered 
44.6 	by the court administrator when ordered by the court and will be docketed by the court 
44.7 	administrator upon the filing of an affidavit as provided in subdivision 2. Upon a transcript 
44.8 	of the docket being filed with the court administrator in any other county, the court 
44.9 	administrator shall also docket it. From the time of docketing the judgment is a lien, in 
44.10 	the amount unpaid, upon all real property in the county then or thereafter owned by the 
44.11 	judgment debtor, but it is not a lien upon registered land unless it is also recorded pursuant 
44.12 	to sections 508.63 and 508A.63. The judgment survives, and the lien continues, for ten 
44.13 	years after its entry or, in the case of a judgment for child support, including a judgment 
44.14 	by operation of law, for 20 years after its entry. Child support judgments may be renewed 
44.15 	pursuant to section 548.091.

44.16 	EFFECTIVE DATE. The amendments to this section are effective retroactively 
44.17 	from April 15, 2010, the date the language stricken in this section was finally enacted.

44.18 	Sec. 47. Minnesota Statutes 2010, section 626.556, subdivision 2, is amended to read:
44.19 		Subd. 2.Definitions. As used in this section, the following terms have the meanings 
44.20 	given them unless the specific content indicates otherwise:
44.21 	(a) "Family assessment" means a comprehensive assessment of child safety, risk 
44.22 	of subsequent child maltreatment, and family strengths and needs that is applied to a 
44.23 	child maltreatment report that does not allege substantial child endangerment. Family 
44.24 	assessment does not include a determination as to whether child maltreatment occurred 
44.25 	but does determine the need for services to address the safety of family members and the 
44.26 	risk of subsequent maltreatment.
44.27 	(b) "Investigation" means fact gathering related to the current safety of a child 
44.28 	and the risk of subsequent maltreatment that determines whether child maltreatment 
44.29 	occurred and whether child protective services are needed. An investigation must be used 
44.30 	when reports involve substantial child endangerment, and for reports of maltreatment in 
44.31 	facilities required to be licensed under chapter 245A or 245B; under sections 144.50 to 
44.32 	144.58 and 241.021; in a school as defined in sections 120A.05, subdivisions 9, 11, and 
44.33 	13, and 124D.10; or in a nonlicensed personal care provider association as defined in 
44.34 	sections 256B.04, subdivision 16, and 256B.0625, subdivision 19a.
45.1 	(c) "Substantial child endangerment" means a person responsible for a child's care, 
45.2 	and in the case of sexual abuse includes a person who has a significant relationship to the 
45.3 	child as defined in section 609.341, or a person in a position of authority as defined in 
45.4 	section 609.341, who by act or omission commits or attempts to commit an act against a 
45.5 	child under their care that constitutes any of the following:
45.6 	(1) egregious harm as defined in section 260C.007, subdivision 14;
45.7 	(2) sexual abuse as defined in paragraph (d);
45.8 	(3) abandonment under section 260C.301, subdivision 2;
45.9 	(4) neglect as defined in paragraph (f), clause (2), that substantially endangers the 
45.10 	child's physical or mental health, including a growth delay, which may be referred to as 
45.11 	failure to thrive, that has been diagnosed by a physician and is due to parental neglect;
45.12 	(5) murder in the first, second, or third degree under section 609.185, 609.19, or 
45.13 	609.195;
45.14 	(6) manslaughter in the first or second degree under section 609.20 or 609.205;
45.15 	(7) assault in the first, second, or third degree under section 609.221, 609.222, or 
45.16 	609.223;
45.17 	(8) solicitation, inducement, and promotion of prostitution under section 609.322;
45.18 	(9) criminal sexual conduct under sections 609.342 to 609.3451;
45.19 	(10) solicitation of children to engage in sexual conduct under section 609.352;
45.20 	(11) malicious punishment or neglect or endangerment of a child under section 
45.21 	609.377 or 609.378;
45.22 	(12) use of a minor in sexual performance under section 617.246; or
45.23 	(13) parental behavior, status, or condition which mandates that the county attorney 
45.24 	file a termination of parental rights petition under section 260C.301, subdivision 3, 
45.25 	paragraph (a).
45.26 	(d) "Sexual abuse" means the subjection of a child by a person responsible for the 
45.27 	child's care, by a person who has a significant relationship to the child, as defined in 
45.28 	section 609.341, or by a person in a position of authority, as defined in section 609.341, 
45.29 	subdivision 10, to any act which constitutes a violation of section 609.342 (criminal sexual 
45.30 	conduct in the first degree), 609.343 (criminal sexual conduct in the second degree), 
45.31 	609.344 (criminal sexual conduct in the third degree), 609.345 (criminal sexual conduct 
45.32 	in the fourth degree), or 609.3451 (criminal sexual conduct in the fifth degree). Sexual 
45.33 	abuse also includes any act which involves a minor which constitutes a violation of 
45.34 	prostitution offenses under sections 609.321 to 609.324 or 617.246. Sexual abuse includes 
45.35 	threatened sexual abuse.
46.1 	(e) "Person responsible for the child's care" means (1) an individual functioning 
46.2 	within the family unit and having responsibilities for the care of the child such as a 
46.3 	parent, guardian, or other person having similar care responsibilities, or (2) an individual 
46.4 	functioning outside the family unit and having responsibilities for the care of the child 
46.5 	such as a teacher, school administrator, other school employees or agents, or other lawful 
46.6 	custodian of a child having either full-time or short-term care responsibilities including, 
46.7 	but not limited to, day care, babysitting whether paid or unpaid, counseling, teaching, 
46.8 	and coaching.
46.9 	(f) "Neglect" means the commission or omission of any of the acts specified under 
46.10 	clauses (1) to (9), other than by accidental means:
46.11 	(1) failure by a person responsible for a child's care to supply a child with necessary 
46.12 	food, clothing, shelter, health, medical, or other care required for the child's physical or 
46.13 	mental health when reasonably able to do so;
46.14 	(2) failure to protect a child from conditions or actions that seriously endanger the 
46.15 	child's physical or mental health when reasonably able to do so, including a growth delay, 
46.16 	which may be referred to as a failure to thrive, that has been diagnosed by a physician and 
46.17 	is due to parental neglect;
46.18 	(3) failure to provide for necessary supervision or child care arrangements 
46.19 	appropriate for a child after considering factors as the child's age, mental ability, physical 
46.20 	condition, length of absence, or environment, when the child is unable to care for the 
46.21 	child's own basic needs or safety, or the basic needs or safety of another child in their care;
46.22 	(4) failure to ensure that the child is educated as defined in sections 120A.22 and 
46.23 	260C.163, subdivision 11, which does not include a parent's refusal to provide the parent's 
46.24 	child with sympathomimetic medications, consistent with section 125A.091, subdivision 5;
46.25 	(5) nothing in this section shall be construed to mean that a child is neglected solely 
46.26 	because the child's parent, guardian, or other person responsible for the child's care in 
46.27 	good faith selects and depends upon spiritual means or prayer for treatment or care of 
46.28 	disease or remedial care of the child in lieu of medical care; except that a parent, guardian, 
46.29 	or caretaker, or a person mandated to report pursuant to subdivision 3, has a duty to report 
46.30 	if a lack of medical care may cause serious danger to the child's health. This section does 
46.31 	not impose upon persons, not otherwise legally responsible for providing a child with 
46.32 	necessary food, clothing, shelter, education, or medical care, a duty to provide that care;
46.33 	(6) prenatal exposure to a controlled substance, as defined in section 253B.02, 
46.34 	subdivision 2, used by the mother for a nonmedical purpose, as evidenced by withdrawal 
46.35 	symptoms in the child at birth, results of a toxicology test performed on the mother at 
47.1 	delivery or the child at birth, or medical effects or developmental delays during the child's 
47.2 	first year of life that medically indicate prenatal exposure to a controlled substance;
47.3 	(7) "medical neglect" as defined in section 260C.007, subdivision 6, clause (5);
47.4 	(8) chronic and severe use of alcohol or a controlled substance by a parent or 
47.5 	person responsible for the care of the child that adversely affects the child's basic needs 
47.6 	and safety; or
47.7 	(9) emotional harm from a pattern of behavior which contributes to impaired 
47.8 	emotional functioning of the child which may be demonstrated by a substantial and 
47.9 	observable effect in the child's behavior, emotional response, or cognition that is not 
47.10 	within the normal range for the child's age and stage of development, with due regard to 
47.11 	the child's culture.
47.12 	(g) "Physical abuse" means any physical injury, mental injury, or threatened injury, 
47.13 	inflicted by a person responsible for the child's care on a child other than by accidental 
47.14 	means, or any physical or mental injury that cannot reasonably be explained by the child's 
47.15 	history of injuries, or any aversive or deprivation procedures, or regulated interventions, 
47.16 	that have not been authorized under section 121A.67 or 245.825.
47.17 	Abuse does not include reasonable and moderate physical discipline of a child 
47.18 	administered by a parent or legal guardian which does not result in an injury. Abuse does 
47.19 	not include the use of reasonable force by a teacher, principal, or school employee as 
47.20 	allowed by section 121A.582. Actions which are not reasonable and moderate include, 
47.21 	but are not limited to, any of the following that are done in anger or without regard to the 
47.22 	safety of the child:
47.23 	(1) throwing, kicking, burning, biting, or cutting a child;
47.24 	(2) striking a child with a closed fist;
47.25 	(3) shaking a child under age three;
47.26 	(4) striking or other actions which result in any nonaccidental injury to a child 
47.27 	under 18 months of age;
47.28 	(5) unreasonable interference with a child's breathing;
47.29 	(6) threatening a child with a weapon, as defined in section 609.02, subdivision 6;
47.30 	(7) striking a child under age one on the face or head;
47.31 	(8) purposely giving a child poison, alcohol, or dangerous, harmful, or controlled 
47.32 	substances which were not prescribed for the child by a practitioner, in order to control or 
47.33 	punish the child; or other substances that substantially affect the child's behavior, motor 
47.34 	coordination, or judgment or that results in sickness or internal injury, or subjects the 
47.35 	child to medical procedures that would be unnecessary if the child were not exposed 
47.36 	to the substances;
48.1 	(9) unreasonable physical confinement or restraint not permitted under section 
48.2 	609.379, including but not limited to tying, caging, or chaining; or
48.3 	(10) in a school facility or school zone, an act by a person responsible for the child's 
48.4 	care that is a violation under section 121A.58.
48.5 	(h) "Report" means any report received by the local welfare agency, police 
48.6 	department, county sheriff, or agency responsible for assessing or investigating 
48.7 	maltreatment pursuant to this section.
48.8 	(i) "Facility" means:
48.9 	(1) a licensed or unlicensed day care facility, residential facility, agency, hospital, 
48.10 	sanitarium, or other facility or institution required to be licensed under sections 144.50 to 
48.11 	144.58, 241.021, or 245A.01 to 245A.16, or chapter 245B;
48.12 	(2) a school as defined in sections 120A.05, subdivisions 9, 11, and 13; and 
48.13 	124D.10; or
48.14 	(3) a nonlicensed personal care provider organization as defined in sections 256B.04, 
48.15 	subdivision 16, and 256B.0625, subdivision 19a.
48.16 	(j) "Operator" means an operator or agency as defined in section 245A.02.
48.17 	(k) "Commissioner" means the commissioner of human services.
48.18 	(l) "Practice of social services," for the purposes of subdivision 3, includes but is 
48.19 	not limited to employee assistance counseling and the provision of guardian ad litem and 
48.20 	parenting time expeditor services.
48.21 	(m) "Mental injury" means an injury to the psychological capacity or emotional 
48.22 	stability of a child as evidenced by an observable or substantial impairment in the child's 
48.23 	ability to function within a normal range of performance and behavior with due regard to 
48.24 	the child's culture.
48.25 	(n) "Threatened injury" means a statement, overt act, condition, or status that 
48.26 	represents a substantial risk of physical or sexual abuse or mental injury. Threatened 
48.27 	injury includes, but is not limited to, exposing a child to a person responsible for the 
48.28 	child's care, as defined in paragraph (e), clause (1), who has:
48.29 	(1) subjected a child to, or failed to protect a child from, an overt act or condition 
48.30 	that constitutes egregious harm, as defined in section 260C.007, subdivision 14, or a 
48.31 	similar law of another jurisdiction;
48.32 	(2) been found to be palpably unfit under section 260C.301, paragraph (b), clause 
48.33 	(4), or a similar law of another jurisdiction;
48.34 	(3) committed an act that has resulted in an involuntary termination of parental rights 
48.35 	under section 260C.301, or a similar law of another jurisdiction; or
49.1 	(4) committed an act that has resulted in the involuntary transfer of permanent legal 
49.2 	and physical custody of a child to a relative under section 260C.201, subdivision 11, 
49.3 	paragraph (d), clause (1), or a similar law of another jurisdiction.
49.4 	A child is the subject of a report of threatened injury when the responsible social 
49.5 	services agency receives birth match data under paragraph (o) from the Department of 
49.6 	Human Services.
49.7 	(o) Upon receiving data under section 144.225, subdivision 2b, contained in a 
49.8 	birth record or recognition of parentage identifying a child who is subject to threatened 
49.9 	injury under paragraph (n), the Department of Human Services shall send the data to the 
49.10 	responsible social services agency. The data is known as "birth match" data. Unless the 
49.11 	responsible social services agency has already begun an investigation or assessment of the 
49.12 	report due to the birth of the child or execution of the recognition of parentage and the 
49.13 	parent's previous history with child protection, the agency shall accept the birth match 
49.14 	data as a report under this section. The agency may use either a family assessment or 
49.15 	investigation to determine whether the child is safe. All of the provisions of this section 
49.16 	apply. If the child is determined to be safe, the agency shall consult with the county 
49.17 	attorney to determine the appropriateness of filing a petition alleging the child is in need 
49.18 	of protection or services under section 260C.007, subdivision 6, clause (16), in order to 
49.19 	deliver needed services. If the child is determined not to be safe, the agency and the county 
49.20 	attorney shall take appropriate action as required under section 260C.301, subdivision 3.
49.21 	(o) (p) Persons who conduct assessments or investigations under this section 
49.22 	shall take into account accepted child-rearing practices of the culture in which a child 
49.23 	participates and accepted teacher discipline practices, which are not injurious to the child's 
49.24 	health, welfare, and safety.
49.25 	(p) (q) "Accidental" means a sudden, not reasonably foreseeable, and unexpected 
49.26 	occurrence or event which:
49.27 	(1) is not likely to occur and could not have been prevented by exercise of due 
49.28 	care; and
49.29 	(2) if occurring while a child is receiving services from a facility, happens when the 
49.30 	facility and the employee or person providing services in the facility are in compliance 
49.31 	with the laws and rules relevant to the occurrence or event.
49.32 	(q) (r) "Nonmaltreatment mistake" means:
49.33 	(1) at the time of the incident, the individual was performing duties identified in the 
49.34 	center's child care program plan required under Minnesota Rules, part 9503.0045;
49.35 	(2) the individual has not been determined responsible for a similar incident that 
49.36 	resulted in a finding of maltreatment for at least seven years;
50.1 	(3) the individual has not been determined to have committed a similar 
50.2 	nonmaltreatment mistake under this paragraph for at least four years;
50.3 	(4) any injury to a child resulting from the incident, if treated, is treated only with 
50.4 	remedies that are available over the counter, whether ordered by a medical professional or 
50.5 	not; and
50.6 	(5) except for the period when the incident occurred, the facility and the individual 
50.7 	providing services were both in compliance with all licensing requirements relevant to the 
50.8 	incident.
50.9 	This definition only applies to child care centers licensed under Minnesota 
50.10 	Rules, chapter 9503. If clauses (1) to (5) apply, rather than making a determination of 
50.11 	substantiated maltreatment by the individual, the commissioner of human services shall 
50.12 	determine that a nonmaltreatment mistake was made by the individual.

50.13 	Sec. 48. Minnesota Statutes 2010, section 626.556, subdivision 10f, is amended to read:
50.14 		Subd. 10f.Notice of determinations. Within ten working days of the conclusion 
50.15 	of a family assessment, the local welfare agency shall notify the parent or guardian 
50.16 	of the child of the need for services to address child safety concerns or significant risk 
50.17 	of subsequent child maltreatment. The local welfare agency and the family may also 
50.18 	jointly agree that family support and family preservation services are needed. Within ten 
50.19 	working days of the conclusion of an investigation, the local welfare agency or agency 
50.20 	responsible for assessing or investigating the report shall notify the parent or guardian 
50.21 	of the child, the person determined to be maltreating the child, and if applicable, the 
50.22 	director of the facility, of the determination and a summary of the specific reasons for 
50.23 	the determination. When the investigation involves a child foster care setting that is 
50.24 	monitored by a private licensing agency under section 245A.16, the local welfare agency 
50.25 	responsible for assessing or investigating the report shall notify the private licensing 
50.26 	agency of the determination and shall provide a summary of the specific reasons for 
50.27 	the determination. The notice to the private licensing agency must include identifying 
50.28 	private data, but not the identity of the reporter of maltreatment. The notice must also 
50.29 	include a certification that the information collection procedures under subdivision 10, 
50.30 	paragraphs (h), (i), and (j), were followed and a notice of the right of a data subject to 
50.31 	obtain access to other private data on the subject collected, created, or maintained under 
50.32 	this section. In addition, the notice shall include the length of time that the records will be 
50.33 	kept under subdivision 11c. The investigating agency shall notify the parent or guardian 
50.34 	of the child who is the subject of the report, and any person or facility determined to 
50.35 	have maltreated a child, of their appeal or review rights under this section or section 
51.1 	256.022. The notice must also state that a finding of maltreatment may result in denial of a 
51.2 	license application or background study disqualification under chapter 245C related to 
51.3 	employment or services that are licensed by the Department of Human Services under 
51.4 	chapter 245A, the Department of Health under chapter 144 or 144A, the Department of 
51.5 	Corrections under section 241.021, and from providing services related to an unlicensed 
51.6 	personal care provider organization under chapter 256B.

51.7 	Sec. 49. Minnesota Statutes 2010, section 626.556, subdivision 10i, is amended to read:
51.8 		Subd. 10i.Administrative reconsideration; review panel. (a) Administrative 
51.9 	reconsideration is not applicable in family assessments since no determination concerning 
51.10 	maltreatment is made. For investigations, except as provided under paragraph (e), an 
51.11 	individual or facility that the commissioner of human services, a local social service 
51.12 	agency, or the commissioner of education determines has maltreated a child, an interested 
51.13 	person acting on behalf of the child, regardless of the determination, who contests 
51.14 	the investigating agency's final determination regarding maltreatment, may request the 
51.15 	investigating agency to reconsider its final determination regarding maltreatment. The 
51.16 	request for reconsideration must be submitted in writing to the investigating agency within 
51.17 	15 calendar days after receipt of notice of the final determination regarding maltreatment 
51.18 	or, if the request is made by an interested person who is not entitled to notice, within 
51.19 	15 days after receipt of the notice by the parent or guardian of the child. If mailed, the 
51.20 	request for reconsideration must be postmarked and sent to the investigating agency 
51.21 	within 15 calendar days of the individual's or facility's receipt of the final determination. If 
51.22 	the request for reconsideration is made by personal service, it must be received by the 
51.23 	investigating agency within 15 calendar days after the individual's or facility's receipt of the 
51.24 	final determination. Effective January 1, 2002, an individual who was determined to have 
51.25 	maltreated a child under this section and who was disqualified on the basis of serious or 
51.26 	recurring maltreatment under sections 245C.14 and 245C.15, may request reconsideration 
51.27 	of the maltreatment determination and the disqualification. The request for reconsideration 
51.28 	of the maltreatment determination and the disqualification must be submitted within 30 
51.29 	calendar days of the individual's receipt of the notice of disqualification under sections 
51.30 	245C.16 and 245C.17. If mailed, the request for reconsideration of the maltreatment 
51.31 	determination and the disqualification must be postmarked and sent to the investigating 
51.32 	agency within 30 calendar days of the individual's receipt of the maltreatment 
51.33 	determination and notice of disqualification. If the request for reconsideration is made by 
51.34 	personal service, it must be received by the investigating agency within 30 calendar days 
51.35 	after the individual's receipt of the notice of disqualification.
52.1 	(b) Except as provided under paragraphs (e) and (f), if the investigating agency 
52.2 	denies the request or fails to act upon the request within 15 working days after receiving 
52.3 	the request for reconsideration, the person or facility entitled to a fair hearing under section 
52.4 	256.045 may submit to the commissioner of human services or the commissioner of 
52.5 	education a written request for a hearing under that section. Section 256.045 also governs 
52.6 	hearings requested to contest a final determination of the commissioner of education. For 
52.7 	reports involving maltreatment of a child in a facility, an interested person acting on behalf 
52.8 	of the child may request a review by the Child Maltreatment Review Panel under section 
52.9 	256.022 if the investigating agency denies the request or fails to act upon the request or 
52.10 	if the interested person contests a reconsidered determination. The investigating agency 
52.11 	shall notify persons who request reconsideration of their rights under this paragraph. 
52.12 	The request must be submitted in writing to the review panel and a copy sent to the 
52.13 	investigating agency within 30 calendar days of receipt of notice of a denial of a request 
52.14 	for reconsideration or of a reconsidered determination. The request must specifically 
52.15 	identify the aspects of the agency determination with which the person is dissatisfied.
52.16 	(c) If, as a result of a reconsideration or review, the investigating agency changes 
52.17 	the final determination of maltreatment, that agency shall notify the parties specified in 
52.18 	subdivisions 10b, 10d, and 10f.
52.19 	(d) Except as provided under paragraph (f), if an individual or facility contests the 
52.20 	investigating agency's final determination regarding maltreatment by requesting a fair 
52.21 	hearing under section 256.045, the commissioner of human services shall assure that the 
52.22 	hearing is conducted and a decision is reached within 90 days of receipt of the request for 
52.23 	a hearing. The time for action on the decision may be extended for as many days as the 
52.24 	hearing is postponed or the record is held open for the benefit of either party.
52.25 	(e) If an individual was disqualified under sections 245C.14 and 245C.15, on 
52.26 	the basis of a determination of maltreatment, which was serious or recurring, and 
52.27 	the individual has requested reconsideration of the maltreatment determination under 
52.28 	paragraph (a) and requested reconsideration of the disqualification under sections 245C.21
52.29 	to 245C.27, reconsideration of the maltreatment determination and reconsideration of the 
52.30 	disqualification shall be consolidated into a single reconsideration. If reconsideration 
52.31 	of the maltreatment determination is denied and the individual remains disqualified 
52.32 	following a reconsideration decision, the individual may request a fair hearing under 
52.33 	section 256.045. If an individual requests a fair hearing on the maltreatment determination 
52.34 	and the disqualification, the scope of the fair hearing shall include both the maltreatment 
52.35 	determination and the disqualification.
53.1 	(f) If a maltreatment determination or a disqualification based on serious or recurring 
53.2 	maltreatment is the basis for a denial of a license under section 245A.05 or a licensing 
53.3 	sanction under section 245A.07, the license holder has the right to a contested case hearing 
53.4 	under chapter 14 and Minnesota Rules, parts 1400.8505 to 1400.8612. As provided for 
53.5 	under section 245A.08, subdivision 2a, the scope of the contested case hearing shall 
53.6 	include the maltreatment determination, disqualification, and licensing sanction or denial 
53.7 	of a license. In such cases, a fair hearing regarding the maltreatment determination and 
53.8 	disqualification shall not be conducted under section 256.045. Except for family child 
53.9 	care and child foster care, reconsideration of a maltreatment determination as provided 
53.10 	under this subdivision, and reconsideration of a disqualification as provided under section 
53.11 	245C.22, shall also not be conducted when:
53.12 	(1) a denial of a license under section 245A.05 or a licensing sanction under section 
53.13 	245A.07, is based on a determination that the license holder is responsible for maltreatment 
53.14 	or the disqualification of a license holder based on serious or recurring maltreatment;
53.15 	(2) the denial of a license or licensing sanction is issued at the same time as the 
53.16 	maltreatment determination or disqualification; and
53.17 	(3) the license holder appeals the maltreatment determination or disqualification, and 
53.18 	denial of a license or licensing sanction.
53.19 	Notwithstanding clauses (1) to (3), if the license holder appeals the maltreatment 
53.20 	determination or disqualification, but does not appeal the denial of a license or a licensing 
53.21 	sanction, reconsideration of the maltreatment determination shall be conducted under 
53.22 	sections 626.556, subdivision 10i, and 626.557, subdivision 9d, and reconsideration of the 
53.23 	disqualification shall be conducted under section 245C.22. In such cases, a fair hearing 
53.24 	shall also be conducted as provided under sections 245C.27, 626.556, subdivision 10i, and 
53.25 	626.557, subdivision 9d.
53.26 	If the disqualified subject is an individual other than the license holder and upon 
53.27 	whom a background study must be conducted under chapter 245C, the hearings of all 
53.28 	parties may be consolidated into a single contested case hearing upon consent of all parties 
53.29 	and the administrative law judge.
53.30 	(g) For purposes of this subdivision, "interested person acting on behalf of the 
53.31 	child" means a parent or legal guardian; stepparent; grandparent; guardian ad litem; adult 
53.32 	stepbrother, stepsister, or sibling; or adult aunt or uncle; unless the person has been 
53.33 	determined to be the perpetrator of the maltreatment.

53.34 	Sec. 50. Minnesota Statutes 2010, section 626.556, subdivision 11, is amended to read:
54.1 		Subd. 11.Records. (a) Except as provided in paragraph (b) or (d) and subdivisions 
54.2 	10b, 10d, 10g, and 11b, all records concerning individuals maintained by a local welfare 
54.3 	agency or agency responsible for assessing or investigating the report under this 
54.4 	section, including any written reports filed under subdivision 7, shall be private data on 
54.5 	individuals, except insofar as copies of reports are required by subdivision 7 to be sent to 
54.6 	the local police department or the county sheriff. All records concerning determinations 
54.7 	of maltreatment by a facility are nonpublic data as maintained by the Department of 
54.8 	Education, except insofar as copies of reports are required by subdivision 7 to be sent 
54.9 	to the local police department or the county sheriff. Reports maintained by any police 
54.10 	department or the county sheriff shall be private data on individuals except the reports 
54.11 	shall be made available to the investigating, petitioning, or prosecuting authority, including 
54.12 	county medical examiners or county coroners. Section 13.82, subdivisions 8, 9, and 14, 
54.13 	apply to law enforcement data other than the reports. The local social services agency or 
54.14 	agency responsible for assessing or investigating the report shall make available to the 
54.15 	investigating, petitioning, or prosecuting authority, including county medical examiners or 
54.16 	county coroners or their professional delegates, any records which contain information 
54.17 	relating to a specific incident of neglect or abuse which is under investigation, petition, or 
54.18 	prosecution and information relating to any prior incidents of neglect or abuse involving 
54.19 	any of the same persons. The records shall be collected and maintained in accordance with 
54.20 	the provisions of chapter 13. In conducting investigations and assessments pursuant to 
54.21 	this section, the notice required by section 13.04, subdivision 2, need not be provided to a 
54.22 	minor under the age of ten who is the alleged victim of abuse or neglect. An individual 
54.23 	subject of a record shall have access to the record in accordance with those sections, 
54.24 	except that the name of the reporter shall be confidential while the report is under 
54.25 	assessment or investigation except as otherwise permitted by this subdivision. Any person 
54.26 	conducting an investigation or assessment under this section who intentionally discloses 
54.27 	the identity of a reporter prior to the completion of the investigation or assessment is 
54.28 	guilty of a misdemeanor. After the assessment or investigation is completed, the name of 
54.29 	the reporter shall be confidential. The subject of the report may compel disclosure of the 
54.30 	name of the reporter only with the consent of the reporter or upon a written finding by 
54.31 	the court that the report was false and that there is evidence that the report was made in 
54.32 	bad faith. This subdivision does not alter disclosure responsibilities or obligations under 
54.33 	the Rules of Criminal Procedure.
54.34 	(b) Upon request of the legislative auditor, data on individuals maintained under 
54.35 	this section must be released to the legislative auditor in order for the auditor to fulfill the 
55.1 	auditor's duties under section 3.971. The auditor shall maintain the data in accordance 
55.2 	with chapter 13.
55.3 	(c) The commissioner of education must be provided with all requested data that are 
55.4 	relevant to a report of maltreatment and are in possession of a school facility as defined 
55.5 	in subdivision 2, paragraph (i), when the data is requested pursuant to an assessment or 
55.6 	investigation of a maltreatment report of a student in a school. If the commissioner of 
55.7 	education makes a determination of maltreatment involving an individual performing 
55.8 	work within a school facility who is licensed by a board or other agency, the commissioner 
55.9 	shall provide necessary and relevant information to the licensing entity to enable the 
55.10 	entity to fulfill its statutory duties. Notwithstanding section 13.03, subdivision 4, data 
55.11 	received by a licensing entity under this paragraph are governed by section 13.41 or other 
55.12 	applicable law governing data of the receiving entity, except that this section applies to the 
55.13 	classification of and access to data on the reporter of the maltreatment.
55.14 	(d) The investigating agency shall exchange not public data with the Child 
55.15 	Maltreatment Review Panel under section 256.022 if the data are pertinent and necessary 
55.16 	for a review requested under section 256.022. Upon completion of the review, the not 
55.17 	public data received by the review panel must be returned to the investigating agency.

55.18 	Sec. 51.  REPEALER.
 55.19 	Minnesota Statutes 2010, section 256.022, is repealed.

55.20 	Sec. 52. EFFECTIVE DATE.
 55.21 	This article is effective August 2, 2012.

55.22 	ARTICLE 2
55.23 	SAFE PLACE FOR NEWBORNS

55.24 	Section 1. Minnesota Statutes 2010, section 145.902, is amended to read:
55.25 	145.902 GIVE LIFE A CHANCE; SAFE PLACE FOR NEWBORNS; 
55.26 	HOSPITAL DUTIES; IMMUNITY.
55.27 		Subdivision 1.General. (a) For purposes of this section, a "safe place" means a 
55.28 	hospital licensed under sections 144.50 to 144.56, a health care provider who provides 
55.29 	urgent care medical services, or an ambulance service licensed under chapter 144E 
55.30 	dispatched in response to a 911 call from a mother or a person with the mother's 
55.31 	permission to relinquish a newborn infant.
56.1 	(b) A hospital licensed under sections 144.50 to 144.56safe place shall receive a 
56.2 	newborn left with a hospital an employee on the hospital premises of the safe place during 
56.3 	its hours of operation, provided that:
56.4 	(1) the newborn was born within 72 hours seven days of being left at the hospital
56.5 	safe place, as determined within a reasonable degree of medical certainty; and
56.6 	(2) the newborn is left in an unharmed condition.
56.7 	(b) (c) The hospital safe place must not inquire as to the identity of the mother or the 
56.8 	person leaving the newborn or call the police, provided the newborn is unharmed when 
56.9 	presented to the hospital. The hospital safe place may ask the mother or the person leaving 
56.10 	the newborn about the medical history of the mother or newborn but the mother or the 
56.11 	person leaving the newborn is not required to provide any information. The hospital safe 
56.12 	place may provide the mother or the person leaving the newborn with information about 
56.13 	how to contact relevant social service agencies.
56.14 	(d) A safe place that is a health care provider who provides urgent care medical 
56.15 	services shall dial 911, advise the dispatcher that the call is being made from a safe place 
56.16 	for newborns, and ask the dispatcher to send an ambulance or take other appropriate action 
56.17 	to transport the newborn to a hospital. An ambulance with whom a newborn is left shall 
56.18 	transport the newborn to a hospital for care. Hospitals must receive a newborn left with a 
56.19 	safe place and make the report as required in subdivision 2.
56.20 		Subd. 2.Reporting. Within 24 hours of receiving a newborn under this section, 
56.21 	the hospital must inform the local welfare agency responsible social service agency that 
56.22 	a newborn has been left at the hospital, but must not do so before in the presence of
56.23 	the mother or the person leaving the newborn leaves the hospital. The hospital must 
56.24 	provide necessary care to the newborn pending assumption of legal responsibility by the 
56.25 	responsible social services agency pursuant to section 260C.217, subdivision 4. 
56.26 		Subd. 3.Immunity. (a) A hospital safe place with responsibility for performing 
56.27 	duties under this section, and any employee, doctor, ambulance personnel, or other 
56.28 	medical professional working at the hospital safe place, are immune from any criminal 
56.29 	liability that otherwise might result from their actions, if they are acting in good faith in 
56.30 	receiving a newborn, and are immune from any civil liability that otherwise might result 
56.31 	from merely receiving a newborn.
56.32 	(b) A hospital safe place performing duties under this section, or an employee, 
56.33 	doctor, ambulance personnel, or other medical professional working at the hospital safe 
56.34 	place who is a mandated reporter under section 626.556, is immune from any criminal 
56.35 	or civil liability that otherwise might result from the failure to make a report under that 
56.36 	section if the person is acting in good faith in complying with this section.

57.1 	Sec. 2. Minnesota Statutes 2010, section 260C.217, is amended to read:
57.2 	260C.217 GIVE LIFE A CHANCE; SAFE PLACE FOR NEWBORNS.
57.3 		Subdivision 1.Duty to attempt reunification, duty to search for relatives, and 
57.4 	preferences not applicable. A local responsible social service agency taking custody of
57.5 	with responsibility for a child after discharge from a hospital that received a child under 
57.6 	section 145.902 pursuant to subdivision 4, is not required to attempt to reunify the child 
57.7 	with the child's parents. Additionally, the agency is not required to search for relatives 
57.8 	of the child as a placement or permanency option under section 260C.212, subdivision 
57.9 	5, or to implement other placement requirements that give a preference to relatives if 
57.10 	the agency does not have information as to the identity of the child, the child's mother, 
57.11 	or the child's father.
57.12 		Subd. 1a.Definitions. For purposes of this section, "safe place" has the meaning 
57.13 	given in section 145.902.
57.14 		Subd. 2.Status of child. For purposes of proceedings under this chapter and 
57.15 	adoption proceedings, a newborn left at a hospital under safe place, pursuant to subdivision 
57.16 	3 and  section 145.902, is considered an abandoned child under section 626.556, 
57.17 	subdivision 2, paragraph (c), clause (3). The child is abandoned under sections 260C.007, 
57.18 	subdivision 6, clause (1), and 260C.301, subdivision 1, paragraph (b), clause (1).
57.19 		Subd. 3.Relinquishment of a newborn. A mother or any person, with the mother's 
57.20 	permission, may bring a newborn infant to a safe place during its hours of operation and 
57.21 	leave the infant in the care of an employee of the safe place. The mother or a person 
57.22 	with the mother's permission may call 911 to request to have an ambulance dispatched 
57.23 	to an agreed-upon location to relinquish a newborn infant into the custody of ambulance 
57.24 	personnel.
57.25 		Subd. 4.Placement of the newborn. The agency contacted by a safe place pursuant 
57.26 	to section 145.902, subdivision 2, shall have legal responsibility for the placement of 
57.27 	the newborn infant in foster care for 72 hours during which time the agency shall file a 
57.28 	petition under section 260C.141 and ask the court to order continued placement of the 
57.29 	child in foster care. The agency shall immediately begin planning for adoptive placement 
57.30 	of the newborn.

57.31 	Sec. 3. Minnesota Statutes 2010, section 609.3785, is amended to read:
57.32 	609.3785 UNHARMED NEWBORNS LEFT AT HOSPITALS A SAFE 
57.33 	PLACE; AVOIDANCE OF PROSECUTION.
58.1 	A person may leave a newborn with a hospital an employee at a hospital safe place, 
58.2 	as defined in section 145.902, in this state, pursuant to section 260C.217, subdivision 3,
58.3 	without being subjected to prosecution for that act, provided that:
58.4 	(1) the newborn was born within 72 hours seven days of being left at the hospital
58.5 	safe place, as determined within a reasonable degree of medical certainty;
58.6 	(2) the newborn is left in an unharmed condition; and
58.7 	(3) in cases where the person leaving the newborn is not the newborn's mother, the 
58.8 	person has the mother's approval to do so.

58.9 	ARTICLE 3
58.10 	ADOPTION ASSISTANCE

58.11 	Section 1. [259A.01] DEFINITIONS.
58.12 		Subdivision 1.Scope. For the purposes of this chapter, the terms defined in this 
58.13 	section have the meanings given them except as otherwise indicated by the context.
58.14 		Subd. 2.Adoption assistance. "Adoption assistance" means medical coverage and 
58.15 	reimbursement of nonrecurring adoption expenses, and may also include financial support 
58.16 	and reimbursement for specific nonmedical expenses provided under agreement with the 
58.17 	parent of an adoptive child who would otherwise remain in foster care and whose special 
58.18 	needs would otherwise make it difficult to place the child for adoption. Financial support 
58.19 	may include a basic maintenance payment and a supplemental needs payment.
58.20 		Subd. 3.Adoptive parent. "Adoptive parent" means the adult who has been 
58.21 	made the legal parent of a child through a court-ordered adoption decree or a customary 
58.22 	adoption through tribal court.
58.23 		Subd. 4.AFDC. "AFDC" means the aid to families with dependent children 
58.24 	program under sections 256.741, 256.82, and 256.87.
58.25 		Subd. 5.Assessment. "Assessment" means the process by which the child-placing 
58.26 	agency determines the benefits an eligible child may receive under this chapter.
58.27 		Subd. 6.At-risk child. "At-risk child" means a child who does not have a 
58.28 	documented disability but who is at risk of developing a physical, mental, emotional, or 
58.29 	behavioral disability based on being related within the first or second degree to persons 
58.30 	who have an inheritable physical, mental, emotional, or behavioral disabling condition, or 
58.31 	from a background that has the potential to cause the child to develop a physical, mental, 
58.32 	emotional, or behavioral disability that the child is at risk of developing. The disability 
58.33 	must manifest during childhood.
58.34 		Subd. 7.Basic maintenance payment. "Basic maintenance payment" means 
58.35 	the maintenance payment made on behalf of a child to support the costs an adoptive 
59.1 	parent incurs to meet a child's needs consistent with the care parents customarily provide, 
59.2 	including: food, clothing, shelter, daily supervision, school supplies, and a child's personal 
59.3 	incidentals. It also supports reasonable travel to participate in face-to-face visitation 
59.4 	between child and birth relatives, including siblings.
59.5 		Subd. 8.Child. "Child" means an individual under 18 years of age. For purposes 
59.6 	of this chapter, child also includes individuals up to age 21 who have approved adoption 
59.7 	assistance agreement extensions under section 259A.45, subdivision 1.
59.8 		Subd. 9.Child-placing agency. "Child-placing agency" means a business, 
59.9 	organization, or department of government, including the responsible social services 
59.10 	agency or a federally recognized Minnesota tribe, designated or authorized by law 
59.11 	to place children for adoption and assigned legal responsibility for placement, care, 
59.12 	and supervision of the child through a court order, voluntary placement agreement, or 
59.13 	voluntary relinquishment.
59.14 		Subd. 10.Child under guardianship of the commissioner of human services.
 59.15 	"Child under guardianship of the commissioner of human services" means a child the 
59.16 	court has ordered under the guardianship of the commissioner of human services pursuant 
59.17 	to section 260C.325.
59.18 		Subd. 11.Commissioner. "Commissioner" means the commissioner of human 
59.19 	services or any employee of the Department of Human Services to whom the commissioner 
59.20 	has delegated authority regarding children under the commissioner's guardianship.
59.21 		Subd. 12.Consent of parent to adoption under chapter 260C. "Consent of 
59.22 	parent to adoption under chapter 260C" means the consent executed pursuant to section 
59.23 	260C.515, subdivision 3. 
59.24 		Subd. 13.Department. "Department" means the Minnesota Department of Human 
59.25 	Services.
59.26 		Subd. 14.Disability. "Disability" means a physical, mental, emotional, or 
59.27 	behavioral impairment that substantially limits one or more major life activities. Major 
59.28 	life activities include, but are not limited to: thinking, walking, hearing, breathing, 
59.29 	working, seeing, speaking, communicating, learning, developing and maintaining healthy 
59.30 	relationships, safely caring for oneself, and performing manual tasks. The nature, duration, 
59.31 	and severity of the impairment shall be used in determining if the limitation is substantial.
59.32 		Subd. 15.Foster care. "Foster care" has the meaning given in section 260C.007, 
59.33 	subdivision 18.
59.34 		Subd. 16.Guardian. "Guardian" means an adult who is appointed pursuant to 
59.35 	section 260C.325. For a child under guardianship of the commissioner, the child's 
59.36 	guardian is the commissioner of human services.
60.1 		Subd. 17.Guardianship. "Guardianship" means the court-ordered rights and 
60.2 	responsibilities of the guardian of a child and includes legal custody of the child.
60.3 		Subd. 18.Indian child. "Indian child" has the meaning given in section 260.755, 
60.4 	subdivision 8.
60.5 		Subd. 19.Legal custodian. "Legal custodian" means a person to whom permanent 
60.6 	legal and physical custody of a child has been transferred under chapter 260C, or for 
60.7 	children under tribal court jurisdiction, a similar provision under tribal code which means 
60.8 	that the individual responsible for the child has responsibility for the protection, education, 
60.9 	care, and control of the child and decision making on behalf of the child.
60.10 		Subd. 20.Medical assistance. "Medical assistance" means Minnesota's 
60.11 	implementation of the federal Medicaid program.
60.12 		Subd. 21.Parent. "Parent" has the meaning given in section 257.52. Parent does 
60.13 	not mean a putative father of a child unless the putative father also meets the requirements 
60.14 	of section 257.55 or unless the putative father is entitled to notice under section 259.49, 
60.15 	subdivision 1. For matters governed by the Indian Child Welfare Act, parent includes any 
60.16 	Indian person who has adopted a child by tribal law or custom, as provided in section 
60.17 	260.755, subdivision 14, and does not include the unwed father where paternity has not 
60.18 	been acknowledged or established.
60.19 		Subd. 22.Permanent legal and physical custody. "Permanent legal and physical 
60.20 	custody" means permanent legal and physical custody ordered by a Minnesota court under 
60.21 	section 260C.515, subdivision 4, or for children under tribal court jurisdiction, a similar 
60.22 	provision under tribal code which means that the individual with permanent legal and 
60.23 	physical custody of the child has responsibility for the protection, education, care, and 
60.24 	control of the child and decision making on behalf of the child.
60.25 		Subd. 23.Preadoptive parent. "Preadoptive parent" means an adult who is caring 
60.26 	for a child in an adoptive placement, but where the court has not yet ordered a final decree 
60.27 	of adoption making the adult the legal parent of the child.
60.28 		Subd. 24.Reassessment. "Reassessment" means an update of a previous assessment 
60.29 	through the process under this chapter completed for a child who has been continuously 
60.30 	eligible for this benefit.
60.31 		Subd. 25.Relative. "Relative" means a person related to the child by blood, 
60.32 	marriage, or adoption, or an individual who is an important friend with whom the child has 
60.33 	resided or had significant contact. For an Indian child, relative includes members of the 
60.34 	extended family as defined by law or custom of the Indian child's tribe, or, in the absence 
60.35 	of law or custom, shall be a person who has reached the age of 18 and who is the Indian 
60.36 	child's grandparent, aunt or uncle, brother or sister, brother-in-law or sister-in-law, niece 
61.1 	or nephew, first or second cousin, or stepparent, as provided in the Indian Child Welfare 
61.2 	Act of 1978, United States Code, title 25, section 1903.
61.3 		Subd. 26.Relative search. "Relative search" means the search that is required 
61.4 	under section 260C.212, subdivision 5.
61.5 		Subd. 27.Sibling. "Sibling" has the meaning given in section 260C.007, 
61.6 	subdivision 32.
61.7 		Subd. 28.Social and medical history. "Social and medical history" means the 
61.8 	document, on a form or forms prescribed by the commissioner, that contains a child's 
61.9 	genetic, medical, and family background as well as the history and current status of a 
61.10 	child's physical and mental health, behavior, demeanor, foster care placements, education, 
61.11 	and family relationships and has the same meaning as the history required under sections 
61.12 	259.43 and 260C.609.
61.13 		Subd. 29.Supplemental needs payment. "Supplemental needs payment" 
61.14 	means the payment which is negotiated with the adoptive parent for a child who has a 
61.15 	documented physical, mental, emotional, or behavioral disability. The payment is made 
61.16 	based on the requirements associated with parenting duties to nurture the child, preserve 
61.17 	the child's connections, and support the child's functioning in the home.
61.18 		Subd. 30.Termination of parental rights. "Termination of parental rights" means 
61.19 	a court order that severs all rights, powers, privileges, immunities, duties, and obligations, 
61.20 	including any rights to custody, control, visitation, or support, existing between a parent 
61.21 	and child. For an Indian child who is a ward of tribal court, termination of parental rights 
61.22 	means any action resulting in the termination or suspension of the parent-child relationship 
61.23 	when the tribe has made a judicial determination that the child cannot or should not be 
61.24 	returned to the home of the child's parent or parents.

61.25 	Sec. 2. [259A.05] PROGRAM ADMINISTRATION.
61.26 		Subdivision 1.Administration of title IV-E programs. The title IV-E Adoption 
61.27 	Assistance Program shall operate according to the requirements of United States Code, 
61.28 	title 42, sections 671 and 673, and Code of Federal Regulations, parts 1355 and 1356.
61.29 		Subd. 2.Administration responsibilities. (a) AFDC relatedness is one eligibility 
61.30 	component of title IV-E adoption assistance. The AFDC relatedness determination shall be 
61.31 	made by an agency according to policies and procedures prescribed by the commissioner.
61.32 	(b) Subject to commissioner approval, the child-placing agency shall certify a child's 
61.33 	eligibility for adoption assistance in writing on the forms prescribed by the commissioner 
61.34 	according to section 259A.15.
62.1 	(c) Children who meet all eligibility criteria except those specific to title IV-E, shall 
62.2 	receive adoption assistance paid through state funds.
62.3 	(d) The child-placing agency is responsible for assisting the commissioner with 
62.4 	the administration of the adoption assistance program by conducting assessments, 
62.5 	reassessments, negotiations, and other activities as specified by the requirements and 
62.6 	procedures prescribed by the commissioner.
62.7 	(e) The child-placing agency shall notify an adoptive parent of a child's eligibility for 
62.8 	Medicaid in the state of residence. In Minnesota, the child-placing agency shall refer the 
62.9 	adoptive parent to the appropriate social service agency in the parent's county of residence 
62.10 	that administers medical assistance. The child-placing agency shall inform the adoptive 
62.11 	parent of the requirement to comply with the rules of the applicable Medicaid program.
62.12 		Subd. 3.Procedures, requirements, and deadlines. The commissioner shall 
62.13 	specify procedures, requirements, and deadlines for the administration of adoption 
62.14 	assistance in accordance with this section.
62.15 		Subd. 4.Promotion of programs. (a) Parents who adopt children with special 
62.16 	needs must be informed of the adoption tax credit.
62.17 	(b) The commissioner shall actively seek ways to promote the adoption assistance 
62.18 	program, including informing prospective adoptive parents of eligible children under 
62.19 	guardianship of the commissioner and the availability of adoption assistance.

62.20 	Sec. 3. [259A.10] ELIGIBILITY REQUIREMENTS.
62.21 		Subdivision 1.General eligibility requirements. (a) To be eligible for adoption 
62.22 	assistance, a child must:
62.23 	(1) be determined to be a child with special needs, according to subdivision 2;
62.24 	(2) meet the applicable citizenship and immigration requirements in subdivision 
62.25 	3; and
62.26 	(3)(i) meet the criteria outlined in section 473 of the Social Security Act; or
62.27 	(ii) have had foster care payments paid on the child's behalf while in out-of-home 
62.28 	placement through the county or tribal social service agency and be a child under the 
62.29 	guardianship of the commissioner or a ward of tribal court.
62.30 	(b) In addition to the requirements in paragraph (a), the child's adoptive parents must 
62.31 	meet the applicable background study requirements outlined in subdivision 4.
62.32 		Subd. 2.Special needs determination. (a) A child is considered a child with 
62.33 	special needs under this section if all of the requirements in paragraphs (b) to (g) are met.
62.34 	(b) There has been a determination that the child cannot or should not be returned to 
62.35 	the home of the child's parents as evidenced by:
63.1 	(1) court-ordered termination of parental rights;
63.2 	(2) petition to terminate parental rights;
63.3 	(3) consent of parent to adoption accepted by the court under chapter 260C;
63.4 	(4) in circumstances where tribal law permits the child to be adopted without a 
63.5 	termination of parental rights, a judicial determination by tribal court indicating the valid 
63.6 	reason why the child cannot or should not return home;
63.7 	(5) voluntary relinquishment under section 259.25 or 259.47 or, if relinquishment 
63.8 	occurred in another state, the applicable laws in that state; or
63.9 	(6) death of the legal parent, or parents if the child has two legal parents.
63.10 	(c) There exists a specific factor or condition because of which it is reasonable to 
63.11 	conclude that the child cannot be placed with adoptive parents without providing adoption 
63.12 	assistance as evidenced by:
63.13 	(1) determination by the Social Security Administration that the child meets all 
63.14 	medical or disability requirements of title XVI of the Social Security Act with respect to 
63.15 	eligibility for Supplemental Security Income benefits;
63.16 	(2) documented physical, mental, emotional, or behavioral disability not covered 
63.17 	under clause (1);
63.18 	(3) a member in a sibling group being adopted at the same time by the same parent;
63.19 	(4) adoptive placement in the home of a parent who previously adopted a sibling for 
63.20 	whom they receive adoption assistance; or
63.21 	(5) documentation that the child is an at-risk child.
63.22 	(d) A reasonable but unsuccessful effort was made to place the child with adoptive 
63.23 	parents without providing adoption assistance as evidenced by:
63.24 	(1) a documented search for an appropriate adoptive placement; or
63.25 	(2) determination by the commissioner that a search under clause (1) is not in the 
63.26 	best interests of the child.
63.27 	(e) The requirement for a documented search for an appropriate adoptive placement 
63.28 	under paragraph (d), including the registration of the child with the State Adoption 
63.29 	Exchange and other recruitment methods under paragraph (f), must be waived if:
63.30 	(1) the child is being adopted by a relative and it is determined by the child-placing 
63.31 	agency that adoption by the relative is in the best interests of the child;
63.32 	(2) the child is being adopted by a foster parent with whom the child has developed 
63.33 	significant emotional ties while in their care as a foster child and it is determined by 
63.34 	the child-placing agency that adoption by the foster parent is in the best interests of the 
63.35 	child; or
64.1 	(3) the child is being adopted by a parent that previously adopted a sibling of the 
64.2 	child, and it is determined by the child-placing agency that adoption by this parent is 
64.3 	in the best interests of the child.
64.4 	When the Indian Child Welfare Act applies, a waiver must not be granted unless the 
64.5 	child-placing agency has complied with the placement preferences required by the Indian 
64.6 	Child Welfare Act according to United States Code, title 25, section 1915(a).
64.7 	(f) To meet the requirement of a documented search for an appropriate adoptive 
64.8 	placement under paragraph (d), clause (1), the child-placing agency minimally must:
64.9 	(1) conduct a relative search as required by section 260C.212, subdivision 5, and give 
64.10 	consideration to placement with a relative as required by section 260C.212, subdivision 2;
64.11 	(2) comply with the adoptive placement preferences required under the Indian Child 
64.12 	Welfare Act when the Indian Child Welfare Act, United States Code, title 25, section 
64.13 	1915(a), applies;
64.14 	(3) locate prospective adoptive families by registering the child on the State 
64.15 	Adoption Exchange, as required under section 259.75; and
64.16 	(4) if registration with the State Adoption Exchange does not result in the 
64.17 	identification of an appropriate adoptive placement, the agency must employ additional 
64.18 	recruitment methods, as outlined in requirements and procedures prescribed by the 
64.19 	commissioner.
64.20 	(g) Once the child-placing agency has determined that placement with an identified 
64.21 	parent is in the child's best interest and has made full written disclosure about the child's 
64.22 	social and medical history, the agency must ask the prospective adoptive parent if they are 
64.23 	willing to adopt the child without adoption assistance. If the identified parent is either 
64.24 	unwilling or unable to adopt the child without adoption assistance, the child-placing 
64.25 	agency must provide documentation as prescribed by the commissioner to fulfill the 
64.26 	requirement to make a reasonable effort to place the child without adoption assistance. If 
64.27 	the identified parent desires to adopt the child without adoption assistance, the parent must 
64.28 	provide a written statement to this effect to the child-placing agency and the statement must 
64.29 	be maintained in the permanent adoption record of the child-placing agency. For children 
64.30 	under guardianship of the commissioner, the child-placing agency shall submit a copy of 
64.31 	this statement to the commissioner to be maintained in the permanent adoption record.
64.32 		Subd. 3.Citizenship and immigration status. (a) A child must be a citizen of the 
64.33 	United States or otherwise eligible for federal public benefits according to the Personal 
64.34 	Responsibility and Work Opportunity Reconciliation Act of 1996, as amended, in order to 
64.35 	be eligible for the title IV-E Adoption Assistance Program.
65.1 	(b) A child must be a citizen of the United States or meet the qualified alien 
65.2 	requirements as defined in the Personal Responsibility and Work Opportunity 
65.3 	Reconciliation Act of 1996, as amended, in order to be eligible for state-funded adoption 
65.4 	assistance.
65.5 		Subd. 4.Background study. (a) A background study under section 259.41 must be 
65.6 	completed on each prospective adoptive parent. An adoptive parent is prohibited from 
65.7 	receiving adoption assistance on behalf of an otherwise eligible child if the background 
65.8 	study reveals:
65.9 	(1) a felony conviction at any time for:
65.10 	(i) child abuse or neglect;
65.11 	(ii) spousal abuse;
65.12 	(iii) a crime against children, including child pornography; or
65.13 	(iv) a crime involving violence, including rape, sexual assault, or homicide, but not 
65.14 	including other physical assault or battery; or
65.15 	(2) a felony conviction within the past five years for:
65.16 	(i) physical assault;
65.17 	(ii) battery; or
65.18 	(iii) a drug-related offense.
65.19 		Subd. 5.Responsibility for determining adoption assistance eligibility. The 
65.20 	state will determine eligibility for:
65.21 	(1) a Minnesota child under the guardianship of the commissioner who would 
65.22 	otherwise remain in foster care;
65.23 	(2) a child who is not under the guardianship of the commissioner who meets title 
65.24 	IV-E eligibility defined in section 473 of the Social Security Act and no state agency has 
65.25 	legal responsibility for placement and care of the child;
65.26 	(3) a Minnesota child under tribal jurisdiction who would otherwise remain in foster 
65.27 	care; and
65.28 	(4) an Indian child being placed in Minnesota who meets title IV-E eligibility defined 
65.29 	in section 473 of the Social Security Act. The agency or entity assuming responsibility for 
65.30 	the child is responsible for the nonfederal share of the adoption assistance payment.
65.31 		Subd. 6.Exclusions. The commissioner shall not enter into an adoption assistance 
65.32 	agreement with:
65.33 	(1) a child's biological parent or stepparent;
65.34 	(2) a child's relative, according to section 260C.007, subdivision 27, with whom the 
65.35 	child resided immediately prior to child welfare involvement unless:
66.1 	(i) the child was in the custody of a Minnesota county or tribal agency pursuant to 
66.2 	an order under chapter 260C or equivalent provisions of tribal code and the agency had 
66.3 	placement and care responsibility for permanency planning for the child; and
66.4 	(ii) the child is under guardianship of the commissioner of human services according 
66.5 	to the requirements of section 260C.325, subdivision 1, paragraphs (a) and (b), or 
66.6 	subdivision 3, paragraphs (a) and (b), or is a ward of a Minnesota tribal court after 
66.7 	termination of parental rights, suspension of parental rights, or a finding by the tribal court 
66.8 	that the child cannot safely return to the care of the parent;
66.9 	(3) a child's legal custodian or guardian who is now adopting the child;
66.10 	(4) an individual adopting a child who is the subject of a direct adoptive placement 
66.11 	under section 259.47 or the equivalent in tribal code; or
66.12 	(5) an individual who is adopting a child who is not a citizen or resident of the 
66.13 	United States and was either adopted in another country or brought to this country for 
66.14 	the purposes of adoption.

66.15 	Sec. 4. [259A.15] ESTABLISHMENT OF ADOPTION ASSISTANCE 
66.16 	ELIGIBILITY.
66.17 		Subdivision 1.Adoption assistance certification. (a) The child-placing agency 
66.18 	shall certify a child as eligible for adoption assistance according to requirements and 
66.19 	procedures, and on forms prescribed by the commissioner. Documentation from a 
66.20 	qualified expert must be provided to verify that a child meets the special needs criteria in 
66.21 	section 259A.10, subdivision 2.
66.22 	(b) Expert documentation of a disability is limited to evidence deemed appropriate 
66.23 	by the commissioner and must be submitted with the certification. Examples of appropriate 
66.24 	documentation include, but are not limited to, medical records, psychological assessments, 
66.25 	educational or early childhood evaluations, court findings, and social and medical history.
66.26 	(c) Documentation that the child is an at-risk child must be submitted according to 
66.27 	requirements and procedures prescribed by the commissioner.
66.28 		Subd. 2.Adoption assistance agreement. (a) An adoption assistance agreement 
66.29 	is a binding contract between the adopting parent, the child-placing agency, and the 
66.30 	commissioner. The agreement outlines the benefits to be provided on behalf of an eligible 
66.31 	child.
66.32 	(b) In order to receive adoption assistance benefits, a written agreement on a form 
66.33 	prescribed by the commissioner must be signed by the parent, an approved representative 
66.34 	from the child-placing agency, and the commissioner prior to the effective date of the 
66.35 	adoption decree. No later than 30 days after the parent is approved for the adoptive 
67.1 	placement, the agreement must be negotiated with the parent as required in section 
67.2 	259A.25, subdivision 1. Adoption assistance must be approved or denied by the 
67.3 	commissioner no later than 15 business days after the receipt of a complete adoption 
67.4 	assistance application prescribed by the commissioner. A fully executed copy of the 
67.5 	signed agreement must be given to each party. Termination or disruption of the adoptive 
67.6 	placement preceding adoption finalization makes the agreement with that parent void.
67.7 	(c) The agreement must specify the following:
67.8 	(1) duration of the agreement;
67.9 	(2) the nature and amount of any payment, services, and assistance to be provided 
67.10 	under the agreement;
67.11 	(3) the child's eligibility for Medicaid services;
67.12 	(4) the terms of the payment;
67.13 	(5) eligibility for reimbursement of nonrecurring expenses associated with adopting 
67.14 	the child, to the extent that the total cost does not exceed $2,000 per child;
67.15 	(6) that the agreement will remain in effect regardless of the state in which the 
67.16 	adoptive parent resides at any given time;
67.17 	(7) provisions for modification of the terms of the agreement; and
67.18 	(8) the effective date of the agreement.
67.19 	(d) The agreement is effective on the date of the adoption decree.
67.20 		Subd. 3.Assessment tool. An assessment tool prescribed by the commissioner 
67.21 	must be completed for any child who has a documented disability that necessitates care, 
67.22 	supervision, and structure beyond that ordinarily provided in a family setting to children 
67.23 	of the same age. This assessment tool must be submitted with the adoption assistance 
67.24 	certification and establishes eligibility for the amount of assistance requested.

67.25 	Sec. 5. [259A.20] BENEFITS AND PAYMENTS.
67.26 		Subdivision 1.General information. (a) Payments to parents under adoption 
67.27 	assistance must be made monthly.
67.28 	(b) Payments must commence when the commissioner receives the adoption decree 
67.29 	from the court, the child-placing agency, or the parent. Payments must be made according 
67.30 	to requirements and procedures prescribed by the commissioner.
67.31 	(c) Payments shall only be made to the adoptive parent specified on the agreement. 
67.32 	If there is more than one adoptive parent, both parties must be listed as the payee unless 
67.33 	otherwise specified in writing according to requirements and procedures prescribed by 
67.34 	the commissioner.
68.1 	(d) Payment must be considered income and resource attributable to the child. 
68.2 	Payment must not be assigned or transferred to another party. Payment is exempt from 
68.3 	garnishment, except as permissible under the laws of the state where the child resides.
68.4 		Subd. 2.Medical assistance eligibility. Eligibility for medical assistance for 
68.5 	children receiving adoption assistance is as specified in section 256B.055.
68.6 		Subd. 3.Payments. (a) The basic maintenance payments must be made according 
68.7 	to the following schedule for all children except those eligible for adoption assistance 
68.8 	based on being an at-risk child:

68.9	Birth through age five
	up to $247 per month
	
68.10	Age six through age 11
	up to $277 per month
	
68.11	Age 12 through age 14
	up to $307 per month
	
68.12	Age 15 and older
	up to $337 per month
	
68.13 	A child must receive the maximum payment amount for the child's age, unless a 
68.14 	lesser amount is negotiated with and agreed to by the prospective adoptive parent.
68.15 	(b) Supplemental needs payments, in addition to basic maintenance payments, are 
68.16 	available based on the severity of a child's disability and the level of parenting required to 
68.17 	care for the child, and must be made according to the following amounts:

68.18	Level I
	up to $150 per month
	
68.19	Level II
	up to $275 per month
	
68.20	Level III
	up to $400 per month
	
68.21	Level IV
	up to $500 per month
	
68.22 	A child's level shall be assessed on an assessment tool prescribed by the 
68.23 	commissioner. A child must receive the maximum payment for the child's assessed level, 
68.24 	unless a lesser amount is negotiated with and agreed to by the prospective adoptive parent.
68.25 		Subd. 4.Reimbursement for special nonmedical expenses. (a) Reimbursement 
68.26 	for special nonmedical expenses is available to children, except those eligible for adoption 
68.27 	assistance based on being an at-risk child.
68.28 	(b) Reimbursements under this paragraph shall be made only after the adoptive 
68.29 	parent documents that the requested service was denied by the local social service agency, 
68.30 	community agencies, local school district, local public health department, the parent's 
68.31 	insurance provider, or the child's program. The denial must be for an eligible service or 
68.32 	qualified item under the program requirements of the applicable agency or organization.
68.33 	(c) Reimbursements must be previously authorized, adhere to the requirements and 
68.34 	procedures prescribed by the commissioner, and be limited to:
68.35 	(1) child care for a child age 12 and younger, or for a child age 13 or 14 who has 
68.36 	a documented disability that requires special instruction for and services by the child 
68.37 	care provider. Child care reimbursements may be made if all available adult caregivers 
69.1 	are employed or attending educational or vocational training programs. If a parent is 
69.2 	attending an educational or vocational training program, child care reimbursement is 
69.3 	limited to no more than the time necessary to complete the credit requirements for an 
69.4 	associate or baccalaureate degree as determined by the educational institution. Child 
69.5 	care reimbursement is not limited for an adoptive parent completing basic or remedial 
69.6 	education programs needed to prepare for postsecondary education or employment;
69.7 	(2) respite care provided for the relief of the child's parent up to 504 hours of respite 
69.8 	care annually;
69.9 	(3) camping up to 14 days per state fiscal year for a child to attend a special needs 
69.10 	camp. The camp must be accredited by the American Camp Association as a special needs 
69.11 	camp in order to be eligible for camp reimbursement;
69.12 	(4) postadoption counseling to promote the child's integration into the adoptive 
69.13 	family that is provided by the placing agency during the first year following the date of the 
69.14 	adoption decree. Reimbursement is limited to 12 sessions of postadoption counseling;
69.15 	(5) family counseling that is required to meet the child's special needs. 
69.16 	Reimbursement is limited to the prorated portion of the counseling fees allotted to the 
69.17 	family when the adoptive parent's health insurance or Medicaid pays for the child's 
69.18 	counseling but does not cover counseling for the rest of the family members;
69.19 	(6) home modifications to accommodate the child's special needs upon which 
69.20 	eligibility for adoption assistance was approved. Reimbursement is limited to once every 
69.21 	five years per child;
69.22 	(7) vehicle modifications to accommodate the child's special needs upon which 
69.23 	eligibility for adoption assistance was approved. Reimbursement is limited to once every 
69.24 	five years per family; and
69.25 	(8) burial expenses up to $1,000, if the special needs, upon which eligibility for 
69.26 	adoption assistance was approved, resulted in the death of the child.
69.27 	(d) The adoptive parent shall submit statements for expenses incurred between July 
69.28 	1 and June 30 of a given fiscal year to the state adoption assistance unit within 60 days 
69.29 	after the end of the fiscal year in order for reimbursement to occur.

69.30 	Sec. 6. [259A.25] DETERMINATION OF ADOPTION ASSISTANCE BENEFITS 
69.31 	AND PAYMENT.
69.32 		Subdivision 1.Negotiation of adoption assistance agreement. (a) A monthly 
69.33 	payment is provided as part of the adoption assistance agreement to support the care of 
69.34 	a child who has manifested special needs. The amount of the payment made on behalf 
69.35 	of a child eligible for adoption assistance is determined through negotiation between 
70.1 	the adoptive parent and the child-placing agency on behalf of the commissioner. The 
70.2 	negotiation shall take into consideration the circumstances of the adopting parent and the 
70.3 	needs of the child being adopted. The income of the adoptive parent must not be taken 
70.4 	into consideration when determining eligibility for adoption assistance or the amount of 
70.5 	the payments under section 259A.20. At the written request of the adoptive parent, the 
70.6 	amount of the payment in the agreement may be renegotiated when there is a change in 
70.7 	the child's needs or the family's circumstances.
70.8 	(b) The adoption assistance agreement of a child who is identified as an at-risk child 
70.9 	must not include a monthly payment unless and until the potential disability upon which 
70.10 	the eligibility for the agreement was based has manifested during childhood.
70.11 		Subd. 2.Renegotiation of adoption assistance agreement. (a) An adoptive 
70.12 	parent of a child with an adoption assistance agreement may request renegotiation of the 
70.13 	agreement when there is a change in the needs of the child or in the family's circumstances. 
70.14 	When an adoptive parent requests renegotiation of the agreement, a reassessment of the 
70.15 	child must be completed by: (1) the responsible social services agency in the child's county 
70.16 	of residence; or (2) the child-placing agency that facilitated the adoption when the child's 
70.17 	residence is out of state. If the reassessment indicates that the child's needs have changed, 
70.18 	the child-placing agency, on behalf of the commissioner and the parent, shall renegotiate 
70.19 	the agreement to include a payment of the level determined appropriate through the 
70.20 	reassessment process using the assessment tool prescribed by the commissioner according 
70.21 	to section 259A.15, subdivision 3. The agreement must not be renegotiated unless the 
70.22 	commissioner and the parent mutually agree to the changes. The effective date of any 
70.23 	renegotiated agreement must be determined according to requirements and procedures 
70.24 	prescribed by the commissioner.
70.25 	(b) An adoptive parent of a child with an adoption assistance agreement based on 
70.26 	the child being an at-risk child may request renegotiation of the agreement to include a 
70.27 	monthly payment. The parent must have written documentation from a qualified expert 
70.28 	that the potential disability upon which eligibility for adoption assistance was approved 
70.29 	has manifested. Documentation of the disability must be limited to evidence deemed 
70.30 	appropriate by the commissioner. Prior to renegotiating the agreement, a reassessment of 
70.31 	the child must be conducted using an assessment tool prescribed by the commissioner 
70.32 	according to section 259A.15, subdivision 3. The reassessment must be used to renegotiate 
70.33 	the agreement to include an appropriate monthly payment. The agreement must not be 
70.34 	renegotiated unless the commissioner and the adoptive parent mutually agree to the 
70.35 	changes. The effective date of any renegotiated agreement must be determined according 
70.36 	to requirements and procedures prescribed by the commissioner.
71.1 		Subd. 3.Child income or income attributable to the child. No income received 
71.2 	by a child will be considered in determining a child's adoption assistance payment 
71.3 	amount. If a child for whom a parent is receiving adoption assistance is also receiving 
71.4 	Supplemental Security Income (SSI) or Retirement, Survivors, Disability Insurance 
71.5 	(RSDI), the certifying agency shall inform the adoptive parent that the child's adoption 
71.6 	assistance must be reported to the Social Security Administration.

71.7 	Sec. 7. [259A.30] REPORTING RESPONSIBILITIES.
71.8 		Subdivision 1.Notification of change. (a) An adoptive parent who has an adoption 
71.9 	assistance agreement shall keep the agency administering the program informed of 
71.10 	changes in status or circumstances that would make the child ineligible for the payments 
71.11 	or eligible for payments in a different amount.
71.12 	(b) As long as the agreement is in effect, the adoptive parent agrees to notify the 
71.13 	agency administering the program in writing within 30 days of any of the following 
71.14 	changes:
71.15 	(1) the child's or adoptive parent's legal name;
71.16 	(2) the family's address;
71.17 	(3) the child's legal custody status;
71.18 	(4) the child's completion of high school, if this occurs after the child attains age 18;
71.19 	(5) the end of an adoptive parent's legal responsibility to support the child based on: 
71.20 	termination of parental rights of the adoptive parent, transfer of guardianship to another 
71.21 	person, or transfer of permanent legal and physical custody to another person;
71.22 	(6) the end of an adoptive parent's financial support of the child;
71.23 	(7) the death of the child;
71.24 	(8) the death of the adoptive parent;
71.25 	(9) the child enlists in the military;
71.26 	(10) the child gets married;
71.27 	(11) the child becomes an emancipated minor through legal action;
71.28 	(12) the adoptive parents separate or divorce;
71.29 	(13) the child is residing outside the adoptive home for a period of more than 30 
71.30 	consecutive days; and
71.31 	(14) the child's status upon which eligibility for extension under section 259A.45, 
71.32 	subdivision 2 or 3, was based.
71.33 		Subd. 2.Correct and true information. If the adoptive parent reports information 
71.34 	the adoptive parent knows is untrue, the adoptive parent fails to notify the commissioner 
71.35 	of changes that may affect eligibility, or the agency administering the program receives 
72.1 	information the adoptive parent did not report, the adoptive parent may be investigated for 
72.2 	theft and, if charged and convicted, shall be sentenced under section 609.52, subdivision 
72.3 	3, clauses (1) to (5).

72.4 	Sec. 8. [259A.35] TERMINATION OF AGREEMENT.
72.5 		Subdivision 1.Reasons for termination. (a) An adoption assistance agreement 
72.6 	shall terminate in any of the following circumstances:
72.7 	(1) the child has attained the age of 18, or up to age 21, when the child meets a 
72.8 	condition for extension as outlined in section 259A.45, subdivision 1;
72.9 	(2) the child has not attained the age of 18, but the commissioner determines the 
72.10 	adoptive parent is no longer legally responsible for support of the child;
72.11 	(3) the commissioner determines the adoptive parent is no longer providing financial 
72.12 	support to the child up to age 21;
72.13 	(4) the death of the child; or
72.14 	(5) the adoptive parent requests in writing termination of the adoption assistance 
72.15 	agreement.
72.16 	(b) An adoptive parent is considered no longer legally responsible for support of the 
72.17 	child in any of the following circumstances:
72.18 	(1) parental rights to the child are legally terminated or a court accepted the parent's 
72.19 	consent to adoption under chapter 260C;
72.20 	(2) permanent legal and physical custody or guardianship of the child is transferred 
72.21 	to another individual;
72.22 	(3) death of adoptive parent;
72.23 	(4) child enlists in the military;
72.24 	(5) child gets married; or
72.25 	(6) child is determined an emancipated minor through legal action.
72.26 		Subd. 2.Death of adoptive parent or adoption dissolution. The adoption 
72.27 	assistance agreement ends upon death or termination of parental rights of both adoptive 
72.28 	parents in the case of a two-parent adoption, or the sole adoptive parent in the case of 
72.29 	a single-parent adoption. The child's adoption assistance eligibility may be continued 
72.30 	according to section 259A.40.
72.31 		Subd. 3.Termination notice for parent. The commissioner shall provide the 
72.32 	child's parent written notice of termination of payment. Termination notices must be sent 
72.33 	according to the requirements and procedures prescribed by the commissioner.

72.34 	Sec. 9. [259A.40] ASSIGNMENT OF ADOPTION ASSISTANCE AGREEMENT.
73.1 		Subdivision 1.Continuing child's eligibility for title IV-E adoption assistance 
73.2 	in a subsequent adoption. (a) The child maintains eligibility for title IV-E adoption 
73.3 	assistance in a subsequent adoption if the following criteria are met:
73.4 	(1) the child is determined to be a child with special needs as outlined in section 
73.5 	259A.10, subdivision 2; and
73.6 	(2) the subsequent adoptive parent resides in Minnesota.
73.7 	(b) If the child had a title IV-E adoption assistance agreement prior to the death of 
73.8 	the adoptive parent or dissolution of the adoption, and the subsequent adoptive parent 
73.9 	resides outside of Minnesota, the state is not responsible for determining whether the child 
73.10 	meets the definition of special needs, entering into the adoption assistance agreement, and 
73.11 	making any adoption assistance payments outlined in the new agreement unless a state 
73.12 	agency in Minnesota has responsibility for placement and care of the child at the time of 
73.13 	the subsequent adoption. If there is no state agency in Minnesota that has responsibility 
73.14 	for placement and care of the child at the time of the subsequent adoption, it is the public 
73.15 	child welfare agency in the subsequent adoptive parent's residence that is responsible for 
73.16 	determining whether the child meets the definition of special needs and entering into the 
73.17 	adoption assistance agreement.
73.18 		Subd. 2.Assigning a child's adoption assistance to a court-appointed guardian.
 73.19 	(a) State-funded adoption assistance may be continued with the written consent of the 
73.20 	commissioner to an individual who is a guardian appointed by a court for the child upon 
73.21 	the death of both the adoptive parents in the case of a two-parent adoption, or the sole 
73.22 	adoptive parent in the case of a single-parent adoption, unless the child is under the 
73.23 	custody of a child-placing agency.
73.24 	(b) Temporary assignment of adoption assistance may be approved by the 
73.25 	commissioner for a maximum of six consecutive months from the death of the parent 
73.26 	or parents and must adhere to the requirements and procedures prescribed by the 
73.27 	commissioner. If, within six months, the child has not been adopted by a person agreed 
73.28 	upon by the commissioner, or if a court has not appointed a legal guardian under either 
73.29 	section 260C.325 or 524.5-313, or similar law of another jurisdiction, the adoption 
73.30 	assistance shall terminate. Upon assignment of payments pursuant to this subdivision, 
73.31 	funding shall be from state funds only.

73.32 	Sec. 10. [259A.45] EXTENSION OF ADOPTION ASSISTANCE AGREEMENT.
73.33 		Subdivision 1.General requirements. (a) Under certain limited circumstances a 
73.34 	child may qualify for extension of the adoption assistance agreement beyond the date the 
73.35 	child attains age 18, up to the date the child attains the age of 21.
74.1 	(b) A request for extension of the adoption assistance agreement must be completed 
74.2 	in writing and submitted, including all supporting documentation, by the adoptive parent 
74.3 	at least 60 calendar days prior to the date that the current agreement will terminate.
74.4 	(c) A signed amendment to the current adoption assistance agreement must be 
74.5 	fully executed between the adoptive parent and the commissioner at least ten business 
74.6 	days prior to the termination of the current agreement. The request for extension and the 
74.7 	fully executed amendment must be made according to the requirements and procedures 
74.8 	prescribed by the commissioner, including documentation of eligibility, and on forms 
74.9 	prescribed by the commissioner.
74.10 	(d) If a child-placing agency is certifying a child for adoption assistance and 
74.11 	the child will attain the age of 18 within 60 calendar days of submission, the request 
74.12 	for extension must be completed in writing and submitted, including all supporting 
74.13 	documentation, with the adoption assistance application.
74.14 		Subd. 2.Extension past age 18 for child adopted after 16th birthday. A child 
74.15 	who has attained the age of 16 prior to finalization of the child's adoption is eligible for 
74.16 	extension of the adoption assistance agreement up to the date the child attains age 21 
74.17 	if the child is:
74.18 	(1) dependent on the adoptive parent for care and financial support; and
74.19 	(2)(i) completing a secondary education program or a program leading to an 
74.20 	equivalent credential;
74.21 	(ii) enrolled in an institution that provides postsecondary or vocational education;
74.22 	(iii) participating in a program or activity designed to promote or remove barriers to 
74.23 	employment;
74.24 	(iv) employed for at least 80 hours per month; or
74.25 	(v) incapable of doing any of the activities described in clauses (i) to (iv) due to 
74.26 	a medical condition where incapability is supported by documentation from an expert 
74.27 	according to the requirements and procedures prescribed by the commissioner.
74.28 		Subd. 3.Extension past age 18 for child adopted prior to 16th birthday. A child 
74.29 	who has not attained the age of 16 prior to finalization of the child's adoption is eligible 
74.30 	for extension of the adoption assistance agreement up to the date the child attains the 
74.31 	age of 21 if the child is:
74.32 	(1) dependent on the adoptive parent for care and financial support; and
74.33 	(2)(i) enrolled in a secondary education program or a program leading to the 
74.34 	equivalent; or
74.35 	(ii) incapable of sustaining employment because of the continuation of a physical or 
74.36 	mental disability, upon which eligibility for adoption assistance was approved.

75.1 	Sec. 11. [259A.50] OVERPAYMENTS OF ADOPTION ASSISTANCE.
75.2 	An amount of adoption assistance paid to an adoptive parent in excess of the 
75.3 	payment that was actually due is recoverable by the commissioner, even when the 
75.4 	overpayment was caused by agency error or circumstances outside the responsibility and 
75.5 	control of the parent or provider. Adoption assistance amounts covered by this section 
75.6 	include basic maintenance needs payments, monthly supplemental maintenance needs 
75.7 	payments, reimbursement of nonrecurring adoption expenses, reimbursement of special 
75.8 	nonmedical costs, and reimbursement of medical costs.

75.9 	Sec. 12. [259A.55] APPEALS AND FAIR HEARINGS.
75.10 		Subdivision 1.Appeals for denials, modifications, or terminations. An adoptive 
75.11 	parent or a prospective adoptive parent has the right to appeal to the commissioner under 
75.12 	section 256.045, for reasons including, but not limited to: when eligibility for adoption 
75.13 	assistance is denied, when a specific payment or reimbursement is modified or denied, 
75.14 	and when the agreement for an eligible child is terminated. A prospective adoptive parent 
75.15 	who disagrees with a decision by the commissioner prior to finalization of the adoption 
75.16 	may request review of the decision by the commissioner, or may appeal the decision 
75.17 	under section 256.045.
75.18 		Subd. 2.Extenuating circumstances. (a) An adoption assistance agreement must 
75.19 	be signed and fully executed prior to the court order that finalizes the adoption. An 
75.20 	adoptive parent who believes that extenuating circumstances exist, as to why the adoption 
75.21 	was finalized prior to fully executing an adoption assistance agreement, may request 
75.22 	a fair hearing. The parent has the responsibility to prove the existence of extenuating 
75.23 	circumstances, such as:
75.24 	(1) relevant facts regarding the child were known by the child-placing agency and 
75.25 	not presented to the parent prior to finalization of the adoption; or
75.26 	(2) the child-placing agency failed to advise a potential parent about the availability 
75.27 	of adoption assistance for a child in the county-paid foster care system.
75.28 	(b) If an appeals judge finds through the fair hearing process that extenuating 
75.29 	circumstances existed and that the child met all eligibility criteria at the time the adoption 
75.30 	was finalized, the effective date and any associated federal financial participation shall 
75.31 	be retroactive to the date of the request for a fair hearing.

75.32 	Sec. 13. [259A.65] INTERSTATE COMPACT ON ADOPTION AND MEDICAL 
75.33 	ASSISTANCE.
75.34 		Subdivision 1.Purpose. It is the purpose and policy of the state of Minnesota to:
76.1 	(1) enter into interstate agreements with agencies of other states to safeguard and 
76.2 	protect the interests of children covered by an adoption assistance agreement when they 
76.3 	are adopted across state lines or move to another state after adoption finalization; and
76.4 	(2) provide a framework for uniformity and consistency in administrative procedures 
76.5 	when a child with special needs is adopted by a family in another state and for children 
76.6 	adopted in Minnesota who move to another state.
76.7 		Subd. 2.Definitions. For the purposes of this section, the terms defined in this 
76.8 	subdivision have the meanings given them, unless the context clearly indicates otherwise.
76.9 	(a) "Adoption assistance state" means the state that certifies eligibility for Medicaid 
76.10 	in an adoption assistance agreement.
76.11 	(b) "Resident state" means the state where the adopted child is a resident.
76.12 	(c) "State" means a state of the United States, the District of Columbia, 
76.13 	the Commonwealth of Puerto Rico, the United States Virgin Islands, Guam, the 
76.14 	Commonwealth of the Northern Mariana Islands, or a territory or possession of the 
76.15 	United States.
76.16 		Subd. 3.Compacts authorized. The commissioner is authorized to develop, 
76.17 	negotiate, and enter into one or more interstate compacts on behalf of this state with other 
76.18 	states to implement Medicaid for children with adoption assistance agreements.
76.19 		Subd. 4.Contents of compacts. (a) A compact must include:
76.20 	(1) a provision allowing all states to join the compact;
76.21 	(2) a provision for withdrawal from the compact upon written notice to the parties, 
76.22 	effective one year after the notice is provided;
76.23 	(3) a requirement that the protections afforded under the compact continue in force 
76.24 	for the duration of the adoption assistance from a party state other than the one in which 
76.25 	the adopted child is a resident;
76.26 	(4) a requirement that each instance of adoption assistance to which the compact 
76.27 	applies be covered by an adoption assistance agreement in writing between the adoptive 
76.28 	parent and the state child welfare agency of the state that provides the adoption assistance, 
76.29 	and that the agreement be expressly for the benefit of the adopted child and enforceable by 
76.30 	the adoptive parent and the state agency providing the adoption assistance; and
76.31 	(5) other provisions necessary and appropriate for the proper administration of the 
76.32 	compact.
76.33 	(b) A compact may contain provisions establishing requirements and entitlements to 
76.34 	medical, developmental, child care, or other social services for the child under state law, 
76.35 	even though the child and the adoptive parent are in a state other than the one responsible 
76.36 	for or providing the services or funds to pay part or all of the costs.
77.1 		Subd. 5.Duties of commissioner of human services regarding medical 
77.2 	assistance. (a) The commissioner of human services shall:
77.3 	(1) provide Minnesota medical assistance for an adopted child who is title IV-E 
77.4 	eligible;
77.5 	(2) provide Minnesota medical assistance for an adopted child who is not title IV-E 
77.6 	eligible who:
77.7 	(i) was determined to have a special need for medical or rehabilitative care;
77.8 	(ii) is living in another state; and 
77.9 	(iii) is covered by an adoption assistance agreement made by the commissioner for 
77.10 	medical coverage or benefits when the child is not eligible for Medicaid in the child's 
77.11 	residence state;
77.12 	(3) consider the holder of a medical assistance identification card under this 
77.13 	subdivision as any other recipient of medical assistance under chapter 256B; and
77.14 	(4) process and make payments on claims for the recipient in the same manner as 
77.15 	for other recipients of medical assistance.
77.16 	(b) Coverage must be limited to providers authorized by Minnesota's medical 
77.17 	assistance program, and according to Minnesota's program requirements.
77.18 		Subd. 6.Cooperation with Medicaid. The adoptive parent shall cooperate with 
77.19 	and abide by the Medicaid program requirements and procedures of the state which 
77.20 	provides medical coverage.
77.21 		Subd. 7.Federal participation. The commissioner shall apply for and administer 
77.22 	all relevant aid in accordance with state and federal law.

77.23 	Sec. 14. [259A.70] REIMBURSEMENT OF NONRECURRING ADOPTION 
77.24 	EXPENSES.
77.25 	(a) The commissioner of human services shall provide reimbursement to an adoptive 
77.26 	parent for costs incurred in an adoption of a child with special needs according to section 
77.27 	259A.10, subdivision 2. Reimbursement shall be made for expenses that are reasonable 
77.28 	and necessary for the adoption to occur, subject to a maximum of $2,000. The expenses 
77.29 	must directly relate to the legal adoption of the child, not be incurred in violation of state 
77.30 	or federal law, and must not have been reimbursed from other sources or funds.
77.31 	(b) Children who have special needs but are not citizens or residents of the United 
77.32 	States and were either adopted in another country or brought to this country for the 
77.33 	purposes of adoption are categorically ineligible for this reimbursement program, except if 
77.34 	the child meets the eligibility criteria after the dissolution of the international adoption.
78.1 	(c) An adoptive parent, in consultation with the responsible child-placing agency, 
78.2 	may request reimbursement of nonrecurring adoption expenses by submitting a complete 
78.3 	application, according to the requirements and procedures and on forms prescribed by 
78.4 	the commissioner.
78.5 	(d) The commissioner shall determine the child's eligibility for adoption expense 
78.6 	reimbursement under title IV-E of the Social Security Act, United States Code, title 42, 
78.7 	sections 670 to 676. If determined eligible, the commissioner of human services shall 
78.8 	sign the agreement for nonrecurring adoption expense reimbursement, making this a 
78.9 	fully executed agreement. To be eligible, the agreement must be fully executed prior to 
78.10 	the child's adoption finalization.
78.11 	(e) An adoptive parent who has an adoption assistance agreement under section 
78.12 	259A.15, subdivision 2, is not required to make a separate application for reimbursement 
78.13 	of nonrecurring adoption expenses for the child who is the subject of that agreement.
78.14 	(f) If determined eligible, the adoptive parent shall submit reimbursement requests 
78.15 	within 21 months of the date of the child's adoption decree, and according to requirements 
78.16 	and procedures prescribed by the commissioner.

78.17 	Sec. 15. [259A.75] REIMBURSEMENT OF CERTAIN AGENCY COSTS; 
78.18 	PURCHASE OF SERVICE CONTRACTS.
78.19 		Subdivision 1.General information. (a) Subject to the procedures required by 
78.20 	the commissioner and the provisions of this section, a Minnesota county or tribal social 
78.21 	services agency shall receive a reimbursement from the commissioner equal to 100 
78.22 	percent of the reasonable and appropriate cost for contracted adoption placement services 
78.23 	identified for a specific child that are not reimbursed under other federal or state funding 
78.24 	sources.
78.25 	(b) The commissioner may spend up to $16,000 for each purchase of service 
78.26 	contract. Only one contract per child per adoptive placement is permitted. Funds 
78.27 	encumbered and obligated under the contract for the child remain available until the terms 
78.28 	of the contract are fulfilled or the contract is terminated.
78.29 	(c) The commissioner shall set aside an amount not to exceed five percent of the 
78.30 	total amount of the fiscal year appropriation from the state for the adoption assistance 
78.31 	program to reimburse placing agencies for child-specific adoption placement services. 
78.32 	When adoption assistance payments for children's needs exceed 95 percent of the total 
78.33 	amount of the fiscal year appropriation from the state for the adoption assistance program, 
78.34 	the amount of reimbursement available to placing agencies for adoption services is 
78.35 	reduced correspondingly.
79.1 		Subd. 2.Child eligibility criteria. (a) A child who is the subject of a purchase 
79.2 	of service contract must:
79.3 	(1) have the goal of adoption, which may include an adoption in accordance with 
79.4 	tribal law;
79.5 	(2) be under the guardianship of the commissioner of human services or be a ward of 
79.6 	tribal court pursuant to section 260.755, subdivision 20; and
79.7 	(3) meet all of the special needs criteria according to section 259A.10, subdivision 2.
79.8 	(b) A child under the guardianship of the commissioner must have an identified 
79.9 	adoptive parent and a fully executed adoption placement agreement according to section 
79.10 	260C.613, subdivision 1, paragraph (a).
79.11 		Subd. 3.Agency eligibility criteria. (a) A Minnesota county or tribal social 
79.12 	services agency shall receive reimbursement for child-specific adoption placement 
79.13 	services for an eligible child that it purchases from a private adoption agency licensed in 
79.14 	Minnesota or any other state or tribal social services agency.
79.15 	(b) Reimbursement for adoption services is available only for services provided 
79.16 	prior to the date of the adoption decree.
79.17 		Subd. 4.Application and eligibility determination. (a) A county or tribal social 
79.18 	services agency may request reimbursement of costs for adoption placement services by 
79.19 	submitting a complete purchase of service application, according to the requirements and 
79.20 	procedures and on forms prescribed by the commissioner.
79.21 	(b) The commissioner shall determine eligibility for reimbursement of adoption 
79.22 	placement services. If determined eligible, the commissioner of human services shall 
79.23 	sign the purchase of service agreement, making this a fully executed contract. No 
79.24 	reimbursement under this section shall be made to an agency for services provided prior to 
79.25 	the fully executed contract.
79.26 	(c) Separate purchase of service agreements shall be made, and separate records 
79.27 	maintained, on each child. Only one agreement per child per adoptive placement is 
79.28 	permitted. For siblings who are placed together, services shall be planned and provided to 
79.29 	best maximize efficiency of the contracted hours.
79.30 		Subd. 5.Reimbursement process. (a) The agency providing adoption services is 
79.31 	responsible to track and record all service activity, including billable hours, on a form 
79.32 	prescribed by the commissioner. The agency shall submit this form to the state for 
79.33 	reimbursement after services have been completed.
79.34 	(b) The commissioner shall make the final determination whether or not the 
79.35 	requested reimbursement costs are reasonable and appropriate and if the services have 
79.36 	been completed according to the terms of the purchase of service agreement.
80.1 		Subd. 6.Retention of purchase of service records. Agencies entering into 
80.2 	purchase of service contracts shall keep a copy of the agreements, service records, and all 
80.3 	applicable billing and invoicing according to the department's record retention schedule. 
80.4 	Agency records shall be provided upon request by the commissioner.

80.5 	Sec. 16. EFFECTIVE DATE.
 80.6 	This article is effective August 1, 2012.

80.7 	ARTICLE 4
80.8 	CHILD PROTECTION

80.9 	Section 1. Minnesota Statutes 2010, section 260.012, is amended to read:
80.10 	260.012 DUTY TO ENSURE PLACEMENT PREVENTION AND FAMILY 
80.11 	REUNIFICATION; REASONABLE EFFORTS.
80.12 	(a) Once a child alleged to be in need of protection or services is under the court's 
80.13 	jurisdiction, the court shall ensure that reasonable efforts, including culturally appropriate 
80.14 	services, by the social services agency are made to prevent placement or to eliminate the 
80.15 	need for removal and to reunite the child with the child's family at the earliest possible 
80.16 	time, and the court must ensure that the responsible social services agency makes 
80.17 	reasonable efforts to finalize an alternative permanent plan for the child as provided in 
80.18 	paragraph (e). In determining reasonable efforts to be made with respect to a child and in 
80.19 	making those reasonable efforts, the child's best interests, health, and safety must be of 
80.20 	paramount concern. Reasonable efforts to prevent placement and for rehabilitation and 
80.21 	reunification are always required except upon a determination by the court that a petition 
80.22 	has been filed stating a prima facie case that:
80.23 	(1) the parent has subjected a child to egregious harm as defined in section 
80.24 	260C.007, subdivision 14;
80.25 	(2) the parental rights of the parent to another child have been terminated 
80.26 	involuntarily;
80.27 	(3) the child is an abandoned infant under section 260C.301, subdivision 2, 
80.28 	paragraph (a), clause (2);
80.29 	(4) the parent's custodial rights to another child have been involuntarily transferred 
80.30 	to a relative under section 260C.201, subdivision 11, paragraph (d), clause (1), or a similar 
80.31 	law of another jurisdiction; or
80.32 	(5) the parent has committed sexual abuse as defined in section 626.556, subdivision 
80.33 	2, against the child or another child of the parent;
81.1 	(6) the parent has committed an offense that requires registration as a predatory 
81.2 	offender under section 243.166, subdivision 1b, paragraph (a) or (b); or
81.3 	(5)(7) the provision of services or further services for the purpose of reunification is 
81.4 	futile and therefore unreasonable under the circumstances.
81.5 	(b) When the court makes one of the prima facie determinations under paragraph (a), 
81.6 	either permanency pleadings under section 260C.201, subdivision 11, or a termination 
81.7 	of parental rights petition under sections 260C.141 and 260C.301 must be filed. A 
81.8 	permanency hearing under section 260C.201, subdivision 11, must be held within 30 
81.9 	days of this determination.
81.10 	(c) In the case of an Indian child, in proceedings under sections 260B.178 or 
81.11 	260C.178, 260C.201, and 260C.301 the juvenile court must make findings and conclusions 
81.12 	consistent with the Indian Child Welfare Act of 1978, United States Code, title 25, section 
81.13 	1901 et seq., as to the provision of active efforts. In cases governed by the Indian Child 
81.14 	Welfare Act of 1978, United States Code, title 25, section 1901, the responsible social 
81.15 	services agency must provide active efforts as required under United States Code, title 
81.16 	25, section 1911(d).
81.17 	(d) "Reasonable efforts to prevent placement" means:
81.18 	(1) the agency has made reasonable efforts to prevent the placement of the child in 
81.19 	foster care by working with the family to develop and implement a safety plan; or
81.20 	(2) given the particular circumstances of the child and family at the time of the 
81.21 	child's removal, there are no services or efforts available which could allow the child to 
81.22 	safely remain in the home.
81.23 	(e) "Reasonable efforts to finalize a permanent plan for the child" means due 
81.24 	diligence by the responsible social services agency to:
81.25 	(1) reunify the child with the parent or guardian from whom the child was removed;
81.26 	(2) assess a noncustodial parent's ability to provide day-to-day care for the child and, 
81.27 	where appropriate, provide services necessary to enable the noncustodial parent to safely 
81.28 	provide the care, as required by section 260C.212, subdivision 4;
81.29 	(3) conduct a relative search to identify and provide notice to adult relatives as 
81.30 	required under section 260C.212, subdivision 5;
81.31 	(4) place siblings removed from their home in the same home for foster care or 
81.32 	adoption, or transfer permanent legal and physical custody to a relative. Visitation 
81.33 	between siblings who are not in the same foster care, adoption, or custodial placement or 
81.34 	facility shall be consistent with section 260C.212, subdivision 2; and
81.35 	(5) when the child cannot return to the parent or guardian from whom the child was 
81.36 	removed, to plan for and finalize a safe and legally permanent alternative home for the 
82.1 	child, and considers permanent alternative homes for the child inside or outside of the 
82.2 	state, preferably through adoption or transfer of permanent legal and physical custody of 
82.3 	the child.
82.4 	(f) Reasonable efforts are made upon the exercise of due diligence by the responsible 
82.5 	social services agency to use culturally appropriate and available services to meet the 
82.6 	needs of the child and the child's family. Services may include those provided by the 
82.7 	responsible social services agency and other culturally appropriate services available in 
82.8 	the community. At each stage of the proceedings where the court is required to review 
82.9 	the appropriateness of the responsible social services agency's reasonable efforts as 
82.10 	described in paragraphs (a), (d), and (e), the social services agency has the burden of 
82.11 	demonstrating that:
82.12 	(1) it has made reasonable efforts to prevent placement of the child in foster care;
82.13 	(2) it has made reasonable efforts to eliminate the need for removal of the child from 
82.14 	the child's home and to reunify the child with the child's family at the earliest possible time;
82.15 	(3) it has made reasonable efforts to finalize an alternative permanent home for 
82.16 	the child, and considers permanent alternative homes for the child inside or outside of 
82.17 	the state; or
82.18 	(4) reasonable efforts to prevent placement and to reunify the child with the parent 
82.19 	or guardian are not required. The agency may meet this burden by stating facts in a sworn 
82.20 	petition filed under section 260C.141, by filing an affidavit summarizing the agency's 
82.21 	reasonable efforts or facts the agency believes demonstrate there is no need for reasonable 
82.22 	efforts to reunify the parent and child, or through testimony or a certified report required 
82.23 	under juvenile court rules.
82.24 	(g) Once the court determines that reasonable efforts for reunification are not 
82.25 	required because the court has made one of the prima facie determinations under paragraph 
82.26 	(a), the court may only require reasonable efforts for reunification after a hearing according 
82.27 	to section 260C.163, where the court finds there is not clear and convincing evidence of 
82.28 	the facts upon which the court based its prima facie determination. In this case when there 
82.29 	is clear and convincing evidence that the child is in need of protection or services, the 
82.30 	court may find the child in need of protection or services and order any of the dispositions 
82.31 	available under section 260C.201, subdivision 1. Reunification of a surviving child with a 
82.32 	parent is not required if the parent has been convicted of:
82.33 	(1) a violation of, or an attempt or conspiracy to commit a violation of, sections 
82.34 	609.185 to 609.20; 609.222, subdivision 2; or 609.223 in regard to another child of the 
82.35 	parent;
83.1 	(2) a violation of section 609.222, subdivision 2; or 609.223, in regard to the 
83.2 	surviving child; or
83.3 	(3) a violation of, or an attempt or conspiracy to commit a violation of, United States 
83.4 	Code, title 18, section 1111(a) or 1112(a), in regard to another child of the parent.;
83.5 	(4) committing sexual abuse as defined in section 626.556, subdivision 2, against 
83.6 	the child or another child of the parent; or
83.7 	(5) an offense that requires registration as a predatory offender under section 
83.8 	243.166, subdivision 1b, paragraph (a) or (b).
83.9 	(h) The juvenile court, in proceedings under sections 260B.178 or 260C.178, 
83.10 	260C.201, and 260C.301 shall make findings and conclusions as to the provision of 
83.11 	reasonable efforts. When determining whether reasonable efforts have been made, the 
83.12 	court shall consider whether services to the child and family were:
83.13 	(1) relevant to the safety and protection of the child;
83.14 	(2) adequate to meet the needs of the child and family;
83.15 	(3) culturally appropriate;
83.16 	(4) available and accessible;
83.17 	(5) consistent and timely; and
83.18 	(6) realistic under the circumstances.
83.19 	In the alternative, the court may determine that provision of services or further 
83.20 	services for the purpose of rehabilitation is futile and therefore unreasonable under the 
83.21 	circumstances or that reasonable efforts are not required as provided in paragraph (a).
83.22 	(i) This section does not prevent out-of-home placement for treatment of a child with 
83.23 	a mental disability when it is determined to be medically necessary as a result of the child's 
83.24 	diagnostic assessment or individual treatment plan indicates that appropriate and necessary 
83.25 	treatment cannot be effectively provided outside of a residential or inpatient treatment 
83.26 	program and the level or intensity of supervision and treatment cannot be effectively and 
83.27 	safely provided in the child's home or community and it is determined that a residential 
83.28 	treatment setting is the least restrictive setting that is appropriate to the needs of the child.
83.29 	(j) If continuation of reasonable efforts to prevent placement or reunify the child 
83.30 	with the parent or guardian from whom the child was removed is determined by the court 
83.31 	to be inconsistent with the permanent plan for the child or upon the court making one of 
83.32 	the prima facie determinations under paragraph (a), reasonable efforts must be made to 
83.33 	place the child in a timely manner in a safe and permanent home and to complete whatever 
83.34 	steps are necessary to legally finalize the permanent placement of the child.
83.35 	(k) Reasonable efforts to place a child for adoption or in another permanent 
83.36 	placement may be made concurrently with reasonable efforts to prevent placement or to 
84.1 	reunify the child with the parent or guardian from whom the child was removed. When 
84.2 	the responsible social services agency decides to concurrently make reasonable efforts for 
84.3 	both reunification and permanent placement away from the parent under paragraph (a), the 
84.4 	agency shall disclose its decision and both plans for concurrent reasonable efforts to all 
84.5 	parties and the court. When the agency discloses its decision to proceed on both plans for 
84.6 	reunification and permanent placement away from the parent, the court's review of the 
84.7 	agency's reasonable efforts shall include the agency's efforts under both plans.

84.8 	Sec. 2. Minnesota Statutes 2010, section 260C.001, is amended to read:
84.9 	260C.001 TITLE, INTENT, AND CONSTRUCTION.
84.10 		Subdivision 1.Citation; scope. (a) Sections 260C.001 to 260C.451 260C.521 may 
84.11 	be cited as the child juvenile protection provisions of the Juvenile Court Act. 
84.12 	(b) Juvenile protection proceedings include:
84.13 	(1) a child in need of protection or services matters;
84.14 	(2) permanency matters, including termination of parental rights;
84.15 	(3) postpermanency reviews under sections 260C.317 and 260C.521; and
84.16 	(4) adoption matters including posttermination of parental rights proceedings that 
84.17 	review the responsible social services agency's reasonable efforts to finalize adoption.
84.18 		Subd. 2.Child in need of Juvenile protection services proceedings. (a) The 
84.19 	paramount consideration in all juvenile protection proceedings concerning a child alleged 
84.20 	or found to be in need of protection or services is the health, safety, and best interests 
84.21 	of the child. In proceedings involving an American Indian child, as defined in section 
84.22 	260.755, subdivision 8, the best interests of the child must be determined consistent with 
84.23 	sections 260.751 to 260.835 and the Indian Child Welfare Act, United States Code, title 
84.24 	25, sections 1901 to 1923.
84.25 	(b) The purpose of the laws relating to juvenile courts protection proceedings is:
84.26 	(1) to secure for each child alleged or adjudicated in need of protection or services 
84.27 	and under the jurisdiction of the court, the care and guidance, preferably in the child's own 
84.28 	home, as will best serve the spiritual, emotional, mental, and physical welfare of the child;
84.29 	(2) to provide judicial procedures which that protect the welfare of the child;
84.30 	(3) to preserve and strengthen the child's family ties whenever possible and in the 
84.31 	child's best interests, removing the child from the custody of parents only when the child's 
84.32 	welfare or safety cannot be adequately safeguarded without removal;
84.33 	(4) to ensure that when removal from the child's own family is necessary and in the 
84.34 	child's best interests, the responsible social services agency has legal responsibility for 
84.35 	the child removal either:
85.1 	(i) pursuant to a voluntary placement agreement between the child's parent or 
85.2 	guardian or the child, when the child is over age 18, and the responsible social services 
85.3 	agency; or
85.4 	(ii) by court order pursuant to section 260C.151, subdivision 6; 206C.178; or
85.5 	260C.178; 260C.201; 260C.325; or 260C.515;
85.6 	(5) to ensure that, when placement is pursuant to court order, the court order 
85.7 	removing the child or continuing the child in foster care contains an individualized 
85.8 	determination that placement is in the best interests of the child that coincides with the 
85.9 	actual removal of the child; and
85.10 	(6) to ensure that when the child is removed, the child's care and discipline is, as 
85.11 	nearly as possible, equivalent to that which should have been given by the parents and is 
85.12 	either in:
85.13 	(i) the home of a noncustodial parent pursuant to section 260C.178 or 260C.201, 
85.14 	subdivision 1, paragraph (a), clause (1);
85.15 	(ii) the home of a relative pursuant to emergency placement by the responsible social 
85.16 	services agency under chapter 245A; or
85.17 	(iii) a foster homecare licensed under chapter 245A.; and
85.18 	(7) to ensure appropriate permanency planning for children in foster care including:
85.19 	(i) unless reunification is not required under section 260.012, developing a 
85.20 	permanency plan for the child that includes a primary plan for reunification with the 
85.21 	child's parent or guardian and a secondary plan for an alternative, legally permanent home 
85.22 	for the child in the event reunification cannot be achieved in a timely manner;
85.23 	(ii) identifying, locating, and assessing both parents of the child as soon as possible 
85.24 	and offering reunification services to both parents of the child as required under section 
85.25 	260.012 and 260C.219;
85.26 	(iii) identifying, locating, and notifying relatives of both parents of the child 
85.27 	according to section 260C.221;
85.28 	(iv) making a placement with a family that will commit to being the legally 
85.29 	permanent home for the child in the event reunification cannot occur at the earliest 
85.30 	possible time while at the same time actively supporting the reunification plan; and
85.31 	(v) returning the child home with supports and services, as soon as return is safe 
85.32 	for the child, or when safe return cannot be timely achieved, moving to finalize another 
85.33 	legally permanent home for the child.
85.34 		Subd. 3.Permanency and, termination of parental rights, and adoption. The 
85.35 	purpose of the laws relating to permanency and, termination of parental rights, and children 
85.36 	who come under the guardianship of the commissioner of human services is to ensure that:
86.1 	(1) when required and appropriate, reasonable efforts have been made by the social 
86.2 	services agency to reunite the child with the child's parents in a home that is safe and 
86.3 	permanent; and
86.4 	(2) if placement with the parents is not reasonably foreseeable, to secure for the 
86.5 	child a safe and permanent placement according to the requirements of section 260C.212, 
86.6 	subdivision 2, preferably with adoptive parents or, if that is not possible or in the best 
86.7 	interests of the child, a fit and willing relative through transfer of permanent legal and 
86.8 	physical custody to that relative; and
86.9 	(3) when a child is under the guardianship of the commissioner of human services, 
86.10 	reasonable efforts are made to finalize an adoptive home for the child in a timely manner.
86.11 	Nothing in this section requires reasonable efforts to prevent placement or to reunify 
86.12 	the child with the parent or guardian to be made in circumstances where the court has 
86.13 	determined that the child has been subjected to egregious harm, when the child is an 
86.14 	abandoned infant, the parent has involuntarily lost custody of another child through a 
86.15 	proceeding under section 260C.201, subdivision 11 260C.515, subdivision 4, or similar 
86.16 	law of another state, the parental rights of the parent to a sibling have been involuntarily 
86.17 	terminated, or the court has determined that reasonable efforts or further reasonable efforts 
86.18 	to reunify the child with the parent or guardian would be futile.
86.19 	The paramount consideration in all proceedings for permanent placement of the 
86.20 	child under section 260C.201, subdivision 11 sections 260C.503 to 260C.521, or the 
86.21 	termination of parental rights is the best interests of the child. In proceedings involving an 
86.22 	American Indian child, as defined in section 260.755, subdivision 8, the best interests of 
86.23 	the child must be determined consistent with the Indian Child Welfare Act of 1978, United 
86.24 	States Code, title 25, section 1901, et seq.
86.25 		Subd. 4.Construction. The laws relating to the child protection provisions of 
86.26 	the juvenile courts protection proceedings shall be liberally construed to carry out these 
86.27 	purposes.

86.28 	Sec. 3. Minnesota Statutes 2010, section 260C.007, subdivision 4, is amended to read:
86.29 		Subd. 4.Child. "Child" means an individual under 18 years of age. For purposes of 
86.30 	this chapter and chapter 260D, child also includes individuals under age 21 who are in 
86.31 	foster care pursuant to section 260C.451.

86.32 	Sec. 4. Minnesota Statutes 2010, section 260C.007, is amended by adding a 
86.33 	subdivision to read:
87.1 		Subd. 26a.Putative father. "Putative father" has the meaning given in section 
87.2 	259.21, subdivision 12.

87.3 	Sec. 5. Minnesota Statutes 2010, section 260C.007, is amended by adding a 
87.4 	subdivision to read:
87.5 		Subd. 27a.Responsible social services agency. "Responsible social services 
87.6 	agency" means the county social services agency that has responsibility for public child 
87.7 	welfare and child protection services and includes the provision of adoption services as an 
87.8 	agent of the commissioner of human services.

87.9 	Sec. 6. Minnesota Statutes 2010, section 260C.007, is amended by adding a 
87.10 	subdivision to read:
87.11 		Subd. 32.Sibling. "Sibling" means one of two or more individuals who have one 
87.12 	or both parents in common through blood, marriage, or adoption, including siblings as 
87.13 	defined by the child's tribal code or custom.

87.14 	Sec. 7. Minnesota Statutes 2010, section 260C.101, subdivision 2, is amended to read:
87.15 		Subd. 2.Other matters relating to children. Except as provided in clause (4), The 
87.16 	juvenile court has original and exclusive jurisdiction in proceedings concerning:
87.17 	(1) the termination of parental rights to a child in accordance with the provisions of 
87.18 	sections 260C.301 to 260C.328;
87.19 	(2) permanency matters under sections 260C.503 to 260C.521;
87.20 	(3) the appointment and removal of a juvenile court guardian for a child, where 
87.21 	parental rights have been terminated under the provisions of sections 260C.301 to 
87.22 	260C.328;
87.23 	(3) (4) judicial consent to the marriage of a child when required by law;
87.24 	(4) the juvenile court in those counties in which the judge of the probate-juvenile 
87.25 	court has been admitted to the practice of law in this state shall proceed under the laws 
87.26 	relating to adoptions in all adoption matters. In those counties in which the judge of the 
87.27 	probate-juvenile court has not been admitted to the practice of law in this state the district 
87.28 	court shall proceed under the laws relating to adoptions in
87.29 	(5) all adoption matters and review of the efforts to finalize the adoption of the child 
87.30 	under section 260C.317;
87.31 	(5) (6) the review of the placement of a child who is in foster care pursuant to a 
87.32 	voluntary placement agreement between the child's parent or parents and the responsible 
88.1 	social services agency under section 260C.212, subdivision 8 260C.227; or between the 
88.2 	child, when the child is over age 18, and the agency under section 260C.229; and
88.3 	(6) (7) the review of voluntary foster care placement of a child for treatment under 
88.4 	chapter 260D according to the review requirements of that chapter.

88.5 	Sec. 8. Minnesota Statutes 2010, section 260C.157, subdivision 1, is amended to read:
88.6 		Subdivision 1.Investigation. Upon request of the court the responsible social 
88.7 	services agency or probation officer shall investigate the personal and family history 
88.8 	and environment of any minor coming within the jurisdiction of the court under section 
88.9 	260C.101 and shall report its findings to the court. The court may order any minor coming 
88.10 	within its jurisdiction to be examined by a duly qualified physician, psychiatrist, or 
88.11 	psychologist appointed by the court. 
88.12 	Adoption investigations shall be conducted in accordance with the laws relating to 
88.13 	adoptions in chapter 259. Any funds received under the provisions of this subdivision 
88.14 	shall not cancel until the end of the fiscal year immediately following the fiscal year in 
88.15 	which the funds were received. The funds are available for use by the commissioner of 
88.16 	corrections during that period and are hereby appropriated annually to the commissioner of 
88.17 	corrections as reimbursement of the costs of providing these services to the juvenile courts.

88.18 	Sec. 9. Minnesota Statutes 2010, section 260C.163, subdivision 1, is amended to read:
88.19 		Subdivision 1.General. (a) Except for hearings arising under section 260C.425, 
88.20 	hearings on any matter shall be without a jury and may be conducted in an informal 
88.21 	manner. In all adjudicatory proceedings involving a child alleged to be in need of 
88.22 	protection or services regarding juvenile protection matters under this chapter, the court 
88.23 	shall admit only evidence that would be admissible in a civil trial. To be proved at trial, 
88.24 	allegations of a petition alleging a child to be in need of protection or services must be 
88.25 	proved by clear and convincing evidence.
88.26 	(b) Except for proceedings involving a child alleged to be in need of protection or 
88.27 	services and petitions for the termination of parental rights, hearings may be continued or 
88.28 	adjourned from time to time. In proceedings involving a child alleged to be in need of 
88.29 	protection or services and petitions for the termination of parental rights, hearings may not 
88.30 	be continued or adjourned for more than one week unless the court makes specific findings 
88.31 	that the continuance or adjournment is in the best interests of the child. If a hearing is held 
88.32 	on a petition involving physical or sexual abuse of a child who is alleged to be in need of 
88.33 	protection or services or neglected and in foster care, the court shall file the decision with 
88.34 	the court administrator as soon as possible but no later than 15 days after the matter is 
89.1 	submitted to the court. When a continuance or adjournment is ordered in any proceeding, 
89.2 	the court may make any interim orders as it deems in the best interests of the minor in 
89.3 	accordance with the provisions of sections 260C.001 to 260C.421 this chapter.
89.4 	(c) Absent exceptional circumstances, hearings under this chapter, except hearings 
89.5 	in adoption proceedings, are presumed to be accessible to the public, however the court 
89.6 	may close any hearing and the records related to any matter as provided in the Minnesota 
89.7 	Rules of Juvenile Protection Procedure.
89.8 	(d) Adoption hearings shall be conducted in accordance with the provisions of laws 
89.9 	relating to adoptions are closed to the public and all records related to an adoption are 
89.10 	inaccessible except as provided in the Minnesota Rules of Adoption Procedure.
89.11 	(e) In any permanency hearing, including the transition of a child from foster care 
89.12 	to independent living, the court shall ensure that its consult with the child during the 
89.13 	hearing is in an age-appropriate manner.

89.14 	Sec. 10. Minnesota Statutes 2010, section 260C.163, subdivision 4, is amended to read:
89.15 		Subd. 4.County attorney. Except in adoption proceedings, the county attorney 
89.16 	shall present the evidence upon request of the court. In representing the responsible social 
89.17 	services agency, the county attorney shall also have the responsibility for advancing the 
89.18 	public interest in the welfare of the child.

89.19 	Sec. 11. Minnesota Statutes 2010, section 260C.178, subdivision 1, is amended to read:
89.20 		Subdivision 1.Hearing and release requirements. (a) If a child was taken into 
89.21 	custody under section 260C.175, subdivision 1, clause (1) or (2), item (ii), the court shall 
89.22 	hold a hearing within 72 hours of the time the child was taken into custody, excluding 
89.23 	Saturdays, Sundays, and holidays, to determine whether the child should continue in 
89.24 	custody.
89.25 	(b) Unless there is reason to believe that the child would endanger self or others or 
89.26 	not return for a court hearing, or that the child's health or welfare would be immediately 
89.27 	endangered, the child shall be released to the custody of a parent, guardian, custodian, 
89.28 	or other suitable person, subject to reasonable conditions of release including, but not 
89.29 	limited to, a requirement that the child undergo a chemical use assessment as provided in 
89.30 	section 260C.157, subdivision 1.
89.31 	(c) If the court determines there is reason to believe that the child would endanger 
89.32 	self or others or not return for a court hearing, or that the child's health or welfare would 
89.33 	be immediately endangered if returned to the care of the parent or guardian who has 
89.34 	custody and from whom the child was removed, the court shall order the child into 
90.1 	foster care under the legal responsibility of the responsible social services agency or 
90.2 	responsible probation or corrections agency for the purposes of protective care as that term 
90.3 	is used in the juvenile court rules or into the home of a noncustodial parent and order the 
90.4 	noncustodial parent to comply with any conditions the court determines to be appropriate 
90.5 	to the safety and care of the child, including cooperating with paternity establishment 
90.6 	proceedings in the case of a man who has not been adjudicated the child's father. The 
90.7 	court shall not give the responsible social services legal custody and order a trial home 
90.8 	visit at any time prior to adjudication and disposition under section 260C.201, subdivision 
90.9 	1, paragraph (a), clause (3), but may order the child returned to the care of the parent or 
90.10 	guardian who has custody and from whom the child was removed and order the parent or 
90.11 	guardian to comply with any conditions the court determines to be appropriate to meet 
90.12 	the safety, health, and welfare of the child.
90.13 	(d) In determining whether the child's health or welfare would be immediately 
90.14 	endangered, the court shall consider whether the child would reside with a perpetrator 
90.15 	of domestic child abuse.
90.16 	(e) The court, before determining whether a child should be placed in or continue 
90.17 	in foster care under the protective care of the responsible agency, shall also make a 
90.18 	determination, consistent with section 260.012 as to whether reasonable efforts were made 
90.19 	to prevent placement or whether reasonable efforts to prevent placement are not required. 
90.20 	In the case of an Indian child, the court shall determine whether active efforts, according 
90.21 	to the Indian Child Welfare Act of 1978, United States Code, title 25, section 1912(d), 
90.22 	were made to prevent placement. The court shall enter a finding that the responsible 
90.23 	social services agency has made reasonable efforts to prevent placement when the agency 
90.24 	establishes either:
90.25 	(1) that it has actually provided services or made efforts in an attempt to prevent 
90.26 	the child's removal but that such services or efforts have not proven sufficient to permit 
90.27 	the child to safely remain in the home; or
90.28 	(2) that there are no services or other efforts that could be made at the time of the 
90.29 	hearing that could safely permit the child to remain home or to return home. When 
90.30 	reasonable efforts to prevent placement are required and there are services or other efforts 
90.31 	that could be ordered which would permit the child to safely return home, the court shall 
90.32 	order the child returned to the care of the parent or guardian and the services or efforts put 
90.33 	in place to ensure the child's safety. When the court makes a prima facie determination 
90.34 	that one of the circumstances under paragraph (g) exists, the court shall determine that 
90.35 	reasonable efforts to prevent placement and to return the child to the care of the parent or 
90.36 	guardian are not required.
91.1 	If the court finds the social services agency's preventive or reunification efforts 
91.2 	have not been reasonable but further preventive or reunification efforts could not permit 
91.3 	the child to safely remain at home, the court may nevertheless authorize or continue 
91.4 	the removal of the child.
91.5 	(f) The court may not order or continue the foster care placement of the child unless 
91.6 	the court makes explicit, individualized findings that continued custody of the child by 
91.7 	the parent or guardian would be contrary to the welfare of the child and that placement is 
91.8 	in the best interest of the child.
91.9 	(g) At the emergency removal hearing, or at any time during the course of the 
91.10 	proceeding, and upon notice and request of the county attorney, the court shall determine 
91.11 	whether a petition has been filed stating a prima facie case that:
91.12 	(1) the parent has subjected a child to egregious harm as defined in section 
91.13 	260C.007, subdivision 14;
91.14 	(2) the parental rights of the parent to another child have been involuntarily 
91.15 	terminated;
91.16 	(3) the child is an abandoned infant under section 260C.301, subdivision 2, 
91.17 	paragraph (a), clause (2);
91.18 	(4) the parents' custodial rights to another child have been involuntarily transferred 
91.19 	to a relative under Minnesota Statutes 2010, section 260C.201, subdivision 11, paragraph 
91.20 	(e), clause (1); section 260C.515, subdivision 4, or a similar law of another jurisdiction; or
91.21 	(5) the parent has committed sexual abuse as defined in section 626.556, subdivision 
91.22 	2, against the child or another child of the parent;
91.23 	(6) the parent has committed an offense that requires registration as a predatory 
91.24 	offender under section 243.166, subdivision 1b, paragraph (a) or (b); or
91.25 	(7) the provision of services or further services for the purpose of reunification is 
91.26 	futile and therefore unreasonable.
91.27 	(h) When a petition to terminate parental rights is required under section 260C.301, 
91.28 	subdivision 3 or 4, but the county attorney has determined not to proceed with a 
91.29 	termination of parental rights petition, and has instead filed a petition to transfer permanent 
91.30 	legal and physical custody to a relative under section 260C.201, subdivision 11 260C.507, 
91.31 	the court shall schedule a permanency hearing within 30 days of the filing of the petition.
91.32 	(i) If the county attorney has filed a petition under section 260C.307, the court shall 
91.33 	schedule a trial under section 260C.163 within 90 days of the filing of the petition except 
91.34 	when the county attorney determines that the criminal case shall proceed to trial first under 
91.35 	section 260C.201, subdivision 3 260C.503, subdivision 2, paragraph (c).
92.1 	(j) If the court determines the child should be ordered into foster care and the child's 
92.2 	parent refuses to give information to the responsible social services agency regarding the 
92.3 	child's father or relatives of the child, the court may order the parent to disclose the names, 
92.4 	addresses, telephone numbers, and other identifying information to the responsible social 
92.5 	services agency for the purpose of complying with the requirements of sections 260C.151, 
92.6 	260C.212, and 260C.215.
92.7 	(k) If a child ordered into foster care has siblings, whether full, half, or step, who 
92.8 	are also ordered into foster care, the court shall inquire of the responsible social services 
92.9 	agency of the efforts to place the children together as required by section 260C.212, 
92.10 	subdivision 2, paragraph (d), if placement together is in each child's best interests, unless 
92.11 	a child is in placement for treatment or a child is placed with a previously noncustodial 
92.12 	parent who is not a parent to all siblings. If the children are not placed together at the time 
92.13 	of the hearing, the court shall inquire at each subsequent hearing of the agency's reasonable 
92.14 	efforts to place the siblings together, as required under section 260.012. If any sibling is 
92.15 	not placed with another sibling or siblings, the agency must develop a plan to facilitate 
92.16 	visitation or ongoing contact among the siblings as required under section 260C.212, 
92.17 	subdivision 1, unless it is contrary to the safety or well-being of any of the siblings to do so.
92.18 	(l) When the court has ordered the child into foster care or into the home of a 
92.19 	noncustodial parent, the court may order a chemical dependency evaluation, mental health 
92.20 	evaluation, medical examination, and parenting assessment for the parent as necessary 
92.21 	to support the development of a plan for reunification required under subdivision 7 and 
92.22 	section 260C.212, subdivision 1, or the child protective services plan under section 
92.23 	626.556, subdivision 10, and Minnesota Rules, part 9560.0228.

92.24 	Sec. 12. Minnesota Statutes 2010, section 260C.178, subdivision 7, is amended to read:
92.25 		Subd. 7.Out-of-home placement plan. (a) An out-of-home placement plan 
92.26 	required under section 260C.212 shall be filed with the court within 30 days of the filing 
92.27 	of a juvenile protection petition alleging the child to be in need of protection or services
92.28 	under section 260C.141, subdivision 1, when the court orders emergency removal of the 
92.29 	child under this section, or filed with the petition if the petition is a review of a voluntary 
92.30 	placement under section 260C.141, subdivision 2.
92.31 	(b) Upon the filing of the out-of-home placement plan which has been developed 
92.32 	jointly with the parent and in consultation with others as required under section 260C.212, 
92.33 	subdivision 1, the court may approve implementation of the plan by the responsible social 
92.34 	services agency based on the allegations contained in the petition and any evaluations, 
92.35 	examinations, or assessments conducted under subdivision 1, paragraph (l). The court 
93.1 	shall send written notice of the approval of the out-of-home placement plan to all parties 
93.2 	and the county attorney or may state such approval on the record at a hearing. A parent 
93.3 	may agree to comply with the terms of the plan filed with the court.
93.4 	(c) The responsible social services agency shall make reasonable attempts efforts
93.5 	to engage a parent both parents of the child in case planning. If the parent refuses to 
93.6 	cooperate in the development of the out-of-home placement plan or disagrees with the 
93.7 	services recommended by The responsible social service agency, the agency shall note 
93.8 	such refusal or disagreement for the court report the results of its efforts to engage the 
93.9 	child's parents in the out-of-home placement plan filed with the court. The agency shall 
93.10 	notify the court of the services it will provide or efforts it will attempt under the plan 
93.11 	notwithstanding the parent's refusal to cooperate or disagreement with the services. The 
93.12 	parent may ask the court to modify the plan to require different or additional services 
93.13 	requested by the parent, but which the agency refused to provide. The court may approve 
93.14 	the plan as presented by the agency or may modify the plan to require services requested 
93.15 	by the parent. The court's approval shall be based on the content of the petition.
93.16 	(d) Unless the parent agrees to comply with the terms of the out-of-home placement 
93.17 	plan, the court may not order a parent to comply with the provisions of the plan until the 
93.18 	court finds the child is in need of protection or services and orders disposition under 
93.19 	section 260C.201, subdivision 1. However, the court may find that the responsible social 
93.20 	services agency has made reasonable efforts for reunification if the agency makes efforts 
93.21 	to implement the terms of an out-of-home placement plan approved under this section.

93.22 	Sec. 13. Minnesota Statutes 2010, section 260C.193, subdivision 3, is amended to read:
93.23 		Subd. 3.Best interest of the child in foster care or residential care. (a) The 
93.24 	policy of the state is to ensure that the best interests of children in foster or residential
93.25 	care, who experience transfer of permanent legal and physical custody to a relative under 
93.26 	section 260C.515, subdivision 4, or adoption under chapter 259 are met by requiring 
93.27 	individualized determinations under section 260C.212, subdivision 2, paragraph (b), of 
93.28 	the needs of the child and of how the selected placement home will serve the needs of the 
93.29 	child in foster care placements. 
93.30 	(b) No later than three months after a child is ordered removed from the care of a 
93.31 	parent in the hearing required under section 260C.202, the court shall review and enter 
93.32 	findings regarding whether the responsible social services agency made:
93.33 	(1) diligent efforts to identify and search for relatives as required under section 
93.34 	260C.212, subdivision 5, 260C.221; and made
94.1 	(2) an individualized determination as required under section 260C.212, subdivision 
94.2 	2, to select a home that meets the needs of the child. 
94.3 	(c) If the court finds the agency has not made efforts as required under section 
94.4 	260C.212, subdivision 5 260C.221, and there is a relative who qualifies to be licensed 
94.5 	to provide family foster care under chapter 245A, the court may order the child placed 
94.6 	with the relative consistent with the child's best interests. 
94.7 	(d) If the agency's efforts under section 260C.221 are found to be sufficient, the 
94.8 	court shall order the agency to continue to appropriately engage relatives who responded 
94.9 	to the notice under section 260C.221 in placement and case planning decisions and to 
94.10 	appropriately engage relatives who subsequently come to the agency's attention.
94.11 	(c) (e) If the child's birth parent or parents explicitly request that a relative or 
94.12 	important friend not be considered, the court shall honor that request if it is consistent with 
94.13 	the best interests of the child. If the child's birth parent or parents express a preference 
94.14 	for placing the child in a foster or adoptive home of the same or a similar religious 
94.15 	background to that of the birth parent or parents, the court shall order placement of the 
94.16 	child with an individual who meets the birth parent's religious preference.
94.17 	(d) (f) Placement of a child cannot be delayed or denied based on race, color, or 
94.18 	national origin of the foster parent or the child.
94.19 	(e) (g) Whenever possible, siblings should be placed together unless it is determined 
94.20 	not to be in the best interests of a sibling siblings. If siblings are were not placed together 
94.21 	according to section 260C.212, subdivision 2, paragraph (d), the responsible social 
94.22 	services agency shall report to the court the efforts made to place the siblings together 
94.23 	and why the efforts were not successful. If the court is not satisfied with that the agency's
94.24 	agency has made reasonable efforts to place siblings together, the court may must order 
94.25 	the agency to make further reasonable efforts. If siblings are not placed together the court 
94.26 	shall review order the responsible social services agency's agency to implement the plan 
94.27 	for visitation among siblings required as part of the out-of-home placement plan under 
94.28 	section 260C.212. 
94.29 	(f) (h) This subdivision does not affect the Indian Child Welfare Act, United States 
94.30 	Code, title 25, sections 1901 to 1923, and the Minnesota Indian Family Preservation 
94.31 	Act, sections 260.751 to 260.835. 

94.32 	Sec. 14. Minnesota Statutes 2010, section 260C.193, subdivision 6, is amended to read:
94.33 		Subd. 6.Jurisdiction to review foster care to age 21, termination of jurisdiction, 
94.34 	jurisdiction to age 18. (a) Jurisdiction over a child in foster care pursuant to section 
94.35 	260C.451may shall continue to age 21 for the purpose of conducting the reviews required 
95.1 	under section 260C.201, subdivision 11, paragraph (d), 260C.212, subdivision 7, or
95.2 	260C.317, subdivision 3, 260C.203, or 260C.515, subdivision 5 or 6. Jurisdiction over a 
95.3 	child in foster care pursuant to section 260C.451 shall not be terminated without giving 
95.4 	the child notice of any motion or proposed order to dismiss jurisdiction and an opportunity 
95.5 	to be heard on the appropriateness of the dismissal. When a child in foster care pursuant to 
95.6 	section 260C.451 asks to leave foster care or actually leaves foster care, the court may 
95.7 	terminate its jurisdiction.
95.8 	(b) Except when a court order is necessary for a child to be in foster care or when 
95.9 	continued review under (1) section 260C.212, subdivision 7, paragraph (d), or 260C.201, 
95.10 	subdivision 11, paragraph (d), and (2) section 260C.317, subdivision 3, is required for a 
95.11 	child in foster care under section 260C.451, The court may terminate jurisdiction on its 
95.12 	own motion or the motion of any interested party upon a determination that jurisdiction is 
95.13 	no longer necessary to protect the child's best interests except when:
95.14 	(1) a court order is necessary for a child to be in foster care; or
95.15 	(2) continued review under section 260C.203, 260C.515, subdivision 5 or 6, or 
95.16 	260C.317, subdivision 3, is required for a child in foster care under section 260C.451.
95.17 	(c) Unless terminated by the court, and except as otherwise provided in this 
95.18 	subdivision, the jurisdiction of the court shall continue until the child becomes 18 years 
95.19 	of age. The court may continue jurisdiction over an individual and all other parties to 
95.20 	the proceeding to the individual's 19th birthday when continuing jurisdiction is in the 
95.21 	individual's best interest in order to:
95.22 	(1) protect the safety or health of the individual;
95.23 	(2) accomplish additional planning for independent living or for the transition out of 
95.24 	foster care; or
95.25 	(3) support the individual's completion of high school or a high school equivalency 
95.26 	program.

95.27 	Sec. 15. Minnesota Statutes 2010, section 260C.201, subdivision 2, is amended to read:
95.28 		Subd. 2.Written findings. (a) Any order for a disposition authorized under this 
95.29 	section shall contain written findings of fact to support the disposition and case plan 
95.30 	ordered and shall also set forth in writing the following information:
95.31 	(1) why the best interests and safety of the child are served by the disposition and 
95.32 	case plan ordered;
95.33 	(2) what alternative dispositions or services under the case plan were considered by 
95.34 	the court and why such dispositions or services were not appropriate in the instant case;
96.1 	(3) when legal custody of the child is transferred, the appropriateness of the 
96.2 	particular placement made or to be made by the placing agency using the factors in section 
96.3 	260C.212, subdivision 2, paragraph (b);
96.4 	(4) whether reasonable efforts to finalize the permanent plan for the child consistent 
96.5 	with section 260.012 were made including reasonable efforts:
96.6 	(i) to prevent or eliminate the necessity of the child's removal placement and to 
96.7 	reunify the family after removal child with the parent or guardian from whom the child was 
96.8 	removed at the earliest time consistent with the child's safety. The court's findings must 
96.9 	include a brief description of what preventive and reunification efforts were made and 
96.10 	why further efforts could not have prevented or eliminated the necessity of removal or that 
96.11 	reasonable efforts were not required under section 260.012 or 260C.178, subdivision 1; 
96.12 	(ii) to identify and locate any noncustodial or nonresident parent of the child and to 
96.13 	assess such parent's ability to provide day-to-day care of the child, and, where appropriate, 
96.14 	provide services necessary to enable the noncustodial or nonresident parent to safely 
96.15 	provide day-to-day care of the child as required under section 260C.219, unless such 
96.16 	services are not required under section 260.012 or 260C.178, subdivision 1;
96.17 	(iii) to make the diligent search for relatives and provide the notices required under 
96.18 	section 260C.221; a finding made pursuant to a hearing under section 260C.202 that 
96.19 	the agency has made diligent efforts to conduct a relative search and has appropriately 
96.20 	engaged relatives who responded to the notice under section 260C.221 and other relatives, 
96.21 	who came to the attention of the agency after notice under section 260C.221 was sent, in 
96.22 	placement and case planning decisions fulfills the requirement of this item;
96.23 	(iv) to identify and make a foster care placement in the home of an unlicensed 
96.24 	relative, according to the requirements of section 245A.035, a licensed relative, or other 
96.25 	licensed foster care provider who will commit to being the permanent legal parent or 
96.26 	custodian for the child in the event reunification cannot occur, but who will actively 
96.27 	support the reunification plan for the child; and
96.28 	(v) to place siblings together in the same home or to ensure visitation is occurring 
96.29 	when siblings are separated in foster care placement and visitation is in the siblings' best 
96.30 	interests under section 260C.212, subdivision 2, paragraph (d); and
96.31 	(5) if the child has been adjudicated as a child in need of protection or services 
96.32 	because the child is in need of special services or care to treat or ameliorate a mental 
96.33 	disability or emotional disturbance as defined in section 245.4871, subdivision 15, the 
96.34 	written findings shall also set forth:
96.35 	(i) whether the child has mental health needs that must be addressed by the case plan;
97.1 	(ii) what consideration was given to the diagnostic and functional assessments 
97.2 	performed by the child's mental health professional and to health and mental health care 
97.3 	professionals' treatment recommendations;
97.4 	(iii) what consideration was given to the requests or preferences of the child's parent 
97.5 	or guardian with regard to the child's interventions, services, or treatment; and
97.6 	(iv) what consideration was given to the cultural appropriateness of the child's 
97.7 	treatment or services.
97.8 	(b) If the court finds that the social services agency's preventive or reunification 
97.9 	efforts have not been reasonable but that further preventive or reunification efforts could 
97.10 	not permit the child to safely remain at home, the court may nevertheless authorize or 
97.11 	continue the removal of the child.
97.12 	(c) If the child has been identified by the responsible social services agency as the 
97.13 	subject of concurrent permanency planning, the court shall review the reasonable efforts 
97.14 	of the agency to recruit, identify, and make a placement in a home where the foster parent 
97.15 	or relative that has committed to being the legally permanent home for the child in the 
97.16 	event reunification efforts are not successful develop a permanency plan for the child that 
97.17 	includes a primary plan which is for reunification with the child's parent or guardian and a 
97.18 	secondary plan which is for an alternative, legally permanent home for the child in the 
97.19 	event reunification cannot be achieved in a timely manner.

97.20 	Sec. 16. Minnesota Statutes 2010, section 260C.201, subdivision 10, is amended to 
97.21 	read:
97.22 		Subd. 10.Court review of foster care. (a) If the court orders a child placed 
97.23 	in foster care, the court shall review the out-of-home placement plan and the child's 
97.24 	placement at least every 90 days as required in juvenile court rules to determine whether 
97.25 	continued out-of-home placement is necessary and appropriate or whether the child should 
97.26 	be returned home. This review is not required if the court has returned the child home, 
97.27 	ordered the child permanently placed away from the parent under subdivision 11, or 
97.28 	terminated rights under section 260C.301. Court review for a child permanently placed 
97.29 	away from a parent, including where the child is under guardianship and legal custody of 
97.30 	the commissioner, shall be governed by subdivision 11 or section 260C.317, subdivision 
97.31 	3, whichever is applicable 260C.607.
97.32 	(b) No later than six three months after the child's placement in foster care, the court 
97.33 	shall review agency efforts pursuant to section 260C.212, subdivision 2 260C.221, and 
97.34 	order that the efforts continue if the agency has failed to perform the duties under that 
97.35 	section. The court must order the agency to continue to appropriately engage relatives 
98.1 	who responded to the notice under section 260C.221 in placement and case planning 
98.2 	decisions and to engage other relatives who came to the agency's attention after notice 
98.3 	under section 260C.221 was sent.
98.4 	(c) The court shall review the out-of-home placement plan and may modify the plan 
98.5 	as provided under subdivisions 6 and 7.
98.6 	(d) When the court orders transfer of custody to a responsible social services 
98.7 	agency resulting in foster care or protective supervision with a noncustodial parent under 
98.8 	subdivision 1, the court shall notify the parents of the provisions of subdivisions 11 and
98.9 	subdivision 11a and sections 260C.503 to 260C.521, as required under juvenile court rules.
98.10 	(e) When a child remains in or returns to foster care pursuant to section 260C.451 and 
98.11 	the court has jurisdiction pursuant to section 260C.193, subdivision 6, paragraph (c), the 
98.12 	court shall at least annually conduct the review required under subdivision 11, paragraph 
98.13 	(d), or sections 260C.212, subdivision 7, and 260C.317, subdivision 3 section 260C.203.

98.14 	Sec. 17. Minnesota Statutes 2010, section 260C.212, subdivision 5, is amended to read:
98.15 		Subd. 5.Relative search. (a) The responsible social services agency shall exercise 
98.16 	due diligence to identify and notify adult relatives prior to placement or within 30 days 
98.17 	after the child's removal from the parent. The county agency shall consider placement with 
98.18 	a relative under subdivision 2 without delay and whenever the child must move from or be 
98.19 	returned to foster care. The relative search required by this section shall be reasonable and
98.20 	comprehensive in scope and may last up to six months or until a fit and willing relative 
98.21 	is identified. After a finding that the agency has made reasonable efforts to conduct the 
98.22 	relative search under this paragraph, the agency has the continuing responsibility to 
98.23 	appropriately involve relatives, who have responded to the notice required under this 
98.24 	paragraph, in planning for the child and to continue to consider relatives according to 
98.25 	the requirements of section 260C.212, subdivision 2. At any time during the course of 
98.26 	juvenile protection proceedings, the court may order the agency to reopen its search for 
98.27 	relatives when it is in the child's best interest to do so. The relative search required by this 
98.28 	section shall include both maternal relatives of the child and paternal relatives of the child, 
98.29 	if paternity is adjudicated. The search shall also include getting information from the child 
98.30 	in an age-appropriate manner about who the child considers to be family members and 
98.31 	important friends with whom the child has resided or had significant contact. The relative 
98.32 	search required under this section must fulfill the agency's duties under the Indian Child 
98.33 	Welfare Act regarding active efforts to prevent the breakup of the Indian family under 
98.34 	United States Code, title 25, section 1912(d), and to meet placement preferences under 
98.35 	United States Code, title 25, section 1915. The relatives must be notified:
99.1 	(1) of the need for a foster home for the child, the option to become a placement 
99.2 	resource for the child, and the possibility of the need for a permanent placement for the 
99.3 	child;
99.4 	(2) of their responsibility to keep the responsible social services agency informed of 
99.5 	their current address in order to receive notice in the event that a permanent placement is 
99.6 	sought for the child. A relative who fails to provide a current address to the responsible 
99.7 	social services agency forfeits the right to notice of the possibility of permanent placement. 
99.8 	A decision by a relative not to be identified as a potential permanent placement resource
99.9 	or participate in planning for the child at the beginning of the case shall not affect whether 
99.10 	the relative is considered for placement of the child with that relative later;
99.11 	(3) that the relative may participate in the care and planning for the child, including 
99.12 	that the opportunity for such participation may be lost by failing to respond to the notice. 
99.13 	"Participate in the care and planning" includes, but is not limited to, participation in case 
99.14 	planning for the parent and child, identifying the strengths and needs of the parent and 
99.15 	child, supervising visits, providing respite and vacation visits for the child, providing 
99.16 	transportation to appointments, suggesting other relatives who might be able to help 
99.17 	support the case plan, and to the extent possible, helping to maintain the child's familiar 
99.18 	and regular activities and contact with friends and relatives; and
99.19 	(4) of the family foster care licensing requirements, including how to complete an 
99.20 	application and how to request a variance from licensing standards that do not present a 
99.21 	safety or health risk to the child in the home under section 245A.04 and supports that are 
99.22 	available for relatives and children who reside in a family foster home.; and
99.23 	(5) of the relatives' right to ask to be notified of any court proceedings regarding 
99.24 	the child, to attend the hearings, and of a relative's right or opportunity to be heard by the 
99.25 	court as required under section 260C.152, subdivision 5.
99.26 	(b) A responsible social services agency may disclose private or confidential data, 
99.27 	as defined in section sections13.02 and 626.556, to relatives of the child for the purpose 
99.28 	of locating and assessing a suitable placement and may use any reasonable means of 
99.29 	identifying and locating relatives including the Internet or other electronic means of 
99.30 	conducting a search. The agency shall disclose only data that is necessary to facilitate 
99.31 	possible placement with relatives and to ensure that the relative is informed of the needs 
99.32 	of the child so the relative can participate in planning for the child and be supportive of 
99.33 	services to the child and family. If the child's parent refuses to give the responsible social 
99.34 	services agency information sufficient to identify the maternal and paternal relatives of the 
99.35 	child, the agency shall ask the juvenile court to order the parent to provide the necessary 
99.36 	information. If a parent makes an explicit request that relatives or a specific relative not be 
100.1 	contacted or considered for placement, the agency shall bring the parent's request to the 
100.2 	attention of the court to determine whether the parent's request is consistent with the best 
100.3 	interests of the child and the agency shall not contact relatives or a specific relative unless 
100.4 	authorized to do so by the juvenile court.
100.5 	(c) At a regularly scheduled hearing not later than three months after the child's 
100.6 	placement in foster care and as required in section 260C.202, the agency shall report to 
100.7 	the court:
100.8 	(1) its efforts to identify maternal and paternal relatives of the child, to engage the 
100.9 	relatives in providing support for the child and family, and document that the relatives 
100.10 	have been provided the notice required under paragraph (a); and
100.11 	(2) its decision regarding placing the child with a relative as required under section 
100.12 	260C.212, subdivision 2, and to ask relatives to visit or maintain contact with the child in 
100.13 	order to support family connections for the child, when placement with a relative is not 
100.14 	possible or appropriate.
100.15 	(d) Notwithstanding chapter 13, the agency shall disclose data about particular 
100.16 	relatives identified, searched for, and contacted for the purposes of the court's review of 
100.17 	the agency's due diligence.
100.18 	(e) When the court is satisfied that the agency has exercised due diligence to 
100.19 	identify relatives and provide the notice required in paragraph (a), the court may find that 
100.20 	reasonable efforts have been made to conduct a relative search to identify and provide 
100.21 	notice to adult relatives as required under section 260.012, paragraph (e), clause (3). If the 
100.22 	court is not satisfied that the agency has exercised due diligence to identify relatives and 
100.23 	provide the notice required in paragraph (a), the court may order the agency to continue its 
100.24 	search and notice efforts and to report back to the court.
100.25 	(f) When the placing agency determines that a permanent placement hearing is
100.26 	proceedings are necessary because there is a likelihood that the child will not return to a 
100.27 	parent's care, the agency may must send the notice provided in paragraph (d) (g), may ask 
100.28 	the court to modify the requirements duty of the agency under this paragraph to send the 
100.29 	notice required in paragraph (g), or may ask the court to completely relieve the agency 
100.30 	of the requirements of this paragraph (g). The relative notification requirements of this
100.31 	paragraph (g) do not apply when the child is placed with an appropriate relative or a 
100.32 	foster home that has committed to being the adopting the child or taking permanent legal 
100.33 	placement for and physical custody of the child and the agency approves of that foster 
100.34 	home for permanent placement of the child. The actions ordered by the court under this 
100.35 	section must be consistent with the best interests, safety, permanency, and welfare of 
100.36 	the child.
101.1 	(d) (g) Unless required under the Indian Child Welfare Act or relieved of this duty 
101.2 	by the court under paragraph (c) (e), when the agency determines that it is necessary to 
101.3 	prepare for the permanent placement determination hearing proceedings, or in anticipation 
101.4 	of filing a termination of parental rights petition, the agency shall send notice to the 
101.5 	relatives, any adult with whom the child is currently residing, any adult with whom the 
101.6 	child has resided for one year or longer in the past, and any adults who have maintained a 
101.7 	relationship or exercised visitation with the child as identified in the agency case plan. The 
101.8 	notice must state that a permanent home is sought for the child and that the individuals 
101.9 	receiving the notice may indicate to the agency their interest in providing a permanent 
101.10 	home. The notice must state that within 30 days of receipt of the notice an individual 
101.11 	receiving the notice must indicate to the agency the individual's interest in providing 
101.12 	a permanent home for the child or that the individual may lose the opportunity to be 
101.13 	considered for a permanent placement.
101.14 	(e) The Department of Human Services shall develop a best practices guide and 
101.15 	specialized staff training to assist the responsible social services agency in performing and 
101.16 	complying with the relative search requirements under this subdivision.

101.17 	Sec. 18. Minnesota Statutes 2010, section 260C.212, subdivision 7, is amended to read:
101.18 		Subd. 7.Administrative or court review of placements. (a) Unless the court is 
101.19 	conducting the reviews required under section 260C.202, there shall be an administrative 
101.20 	review of the out-of-home placement plan of each child placed in foster care no later than 
101.21 	180 days after the initial placement of the child in foster care and at least every six months 
101.22 	thereafter if the child is not returned to the home of the parent or parents within that time. 
101.23 	The out-of-home placement plan must be monitored and updated at each administrative 
101.24 	review. The administrative review shall be conducted by the responsible social services 
101.25 	agency using a panel of appropriate persons at least one of whom is not responsible for the 
101.26 	case management of, or the delivery of services to, either the child or the parents who are 
101.27 	the subject of the review. The administrative review shall be open to participation by the 
101.28 	parent or guardian of the child and the child, as appropriate.
101.29 	(b) As an alternative to the administrative review required in paragraph (a), the court 
101.30 	may, as part of any hearing required under the Minnesota Rules of Juvenile Protection 
101.31 	Procedure, conduct a hearing to monitor and update the out-of-home placement plan 
101.32 	pursuant to the procedure and standard in section 260C.201, subdivision 6, paragraph 
101.33 	(d). The party requesting review of the out-of-home placement plan shall give parties to 
101.34 	the proceeding notice of the request to review and update the out-of-home placement 
101.35 	plan. A court review conducted pursuant to section 260C.141, subdivision 2;260C.193; 
102.1 	260C.201, subdivision 1 or 11; 260C.141, subdivision 2; 260C.317 260C.202; 260C.204; 
102.2 	260C.317; or 260D.06 shall satisfy the requirement for the review so long as the other 
102.3 	requirements of this section are met.
102.4 	(c) As appropriate to the stage of the proceedings and relevant court orders, the 
102.5 	responsible social services agency or the court shall review:
102.6 	(1) the safety, permanency needs, and well-being of the child;
102.7 	(2) the continuing necessity for and appropriateness of the placement;
102.8 	(3) the extent of compliance with the out-of-home placement plan;
102.9 	(4) the extent of progress which that has been made toward alleviating or mitigating 
102.10 	the causes necessitating placement in foster care;
102.11 	(5) the projected date by which the child may be returned to and safely maintained in 
102.12 	the home or placed permanently away from the care of the parent or parents or guardian; 
102.13 	and
102.14 	(6) the appropriateness of the services provided to the child.
102.15 	(d) When a child is age 16 or older, in addition to any administrative review 
102.16 	conducted by the agency, at the in-court review required under section 260C.201, 
102.17 	subdivision 11, or260C.317, subdivision 3, clause (3), or 260C.515, subdivision 5 or 
102.18 	6, the court shall review the independent living plan required under section 260C.201,
102.19 	subdivision 1, paragraph (c), clause (11), and the provision of services to the child related 
102.20 	to the well-being of the child as the child prepares to leave foster care. The review shall 
102.21 	include the actual plans related to each item in the plan necessary to the child's future 
102.22 	safety and well-being when the child is no longer in foster care.
102.23 	(1) (e) At the court review required under paragraph (d) for a child age 16 or older 
102.24 	the following procedures apply:
102.25 	(1) six months before the child is expected to be discharged from foster care, the 
102.26 	responsible social services agency shall establish that it has given give the written
102.27 	notice required under section 260C.456 or Minnesota Rules, part 9560.0660 260C.451, 
102.28 	subdivision 1, regarding the right to continued access to services for certain children in 
102.29 	foster care past age 18 and of the right to appeal a denial of social services under section 
102.30 	256.045. If The agency is unable to establish that shall file a copy of the notice, including 
102.31 	the right to appeal a denial of social services, has been given, with the court. If the agency 
102.32 	does not file the notice by the time the child is age 17-1/2, the court shall require the 
102.33 	agency to give it.;
102.34 	(2) consistent with the requirements of the independent living plan, the court shall 
102.35 	review progress toward or accomplishment of the following goals:
102.36 	(i) the child has obtained a high school diploma or its equivalent;
103.1 	(ii) the child has completed a driver's education course or has demonstrated the 
103.2 	ability to use public transportation in the child's community;
103.3 	(iii) the child is employed or enrolled in postsecondary education;
103.4 	(iv) the child has applied for and obtained postsecondary education financial aid for 
103.5 	which the child is eligible;
103.6 	(v) the child has health care coverage and health care providers to meet the child's 
103.7 	physical and mental health needs;
103.8 	(vi) the child has applied for and obtained disability income assistance for which 
103.9 	the child is eligible;
103.10 	(vii) the child has obtained affordable housing with necessary supports, which does 
103.11 	not include a homeless shelter;
103.12 	(viii) the child has saved sufficient funds to pay for the first month's rent and a 
103.13 	damage deposit;
103.14 	(ix) the child has an alternative affordable housing plan, which does not include a 
103.15 	homeless shelter, if the original housing plan is unworkable;
103.16 	(x) the child, if male, has registered for the Selective Service; and
103.17 	(xi) the child has a permanent connection to a caring adult.; and
103.18 	(3) the court shall ensure that the responsible agency in conjunction with the 
103.19 	placement provider assists the child in obtaining the following documents prior to the 
103.20 	child's leaving foster care: a Social Security card; the child's birth certificate; a state 
103.21 	identification card or driver's license, green card, or school visa; the child's school, 
103.22 	medical, and dental records; a contact list of the child's medical, dental, and mental health 
103.23 	providers; and contact information for the child's siblings, if the siblings are in foster care.
103.24 	(e) When a child is age 17 or older, during the 90-day period immediately prior to 
103.25 	the date the child is expected to be discharged from foster care, the responsible social 
103.26 	services agency is required to provide the child with assistance and support in developing 
103.27 	a transition plan that is personalized at the direction of the child. (f) For a child who 
103.28 	will be discharged from foster care at age 18 or older, the responsible social services 
103.29 	agency is required to develop a personalized transition plan as directed by the youth. The 
103.30 	transition plan must be developed during the 90-day period immediately prior to the 
103.31 	expected date of discharge. The transition plan must be as detailed as the child may elect 
103.32 	and include specific options on housing, health insurance, education, local opportunities 
103.33 	for mentors and continuing support services, and work force supports and employment 
103.34 	services. The plan must include information on the importance of designating another 
103.35 	individual to make health care treatment decisions on behalf of the child if the child 
103.36 	becomes unable to participate in these decisions and the child does not have, or does not 
104.1 	want, a relative who would otherwise be authorized to make these decisions. The plan 
104.2 	must provide the child with the option to execute a health care directive as provided 
104.3 	under chapter 145C. The county shall also provide the individual with appropriate contact 
104.4 	information if the individual needs more information or needs help dealing with a crisis 
104.5 	situation through age 21.

104.6 	Sec. 19. Minnesota Statutes 2010, section 260C.215, subdivision 4, is amended to read:
104.7 		Subd. 4.Consultation with representatives Duties of commissioner.
 104.8 	The commissioner of human services, after seeking and considering advice from 
104.9 	representatives reflecting diverse populations from the councils established under sections 
104.10 	3.922, 3.9223, 3.9225, and 3.9226, and other state, local, and community organizations
104.11 	shall: 
104.12 	(1) review and, where necessary, revise the Department of Human Services Social 
104.13 	Service Manual and Practice Guide provide practice guidance to responsible social 
104.14 	services agencies and child-placing agencies that reflect federal and state laws and policy 
104.15 	direction on placement of children;
104.16 	(2) develop criteria for determining whether a prospective adoptive or foster family 
104.17 	has the ability to understand and validate the child's cultural background;
104.18 	(3) develop provide a standardized training curriculum for adoption and foster care 
104.19 	workers, family-based providers, and administrators who work with children. Training 
104.20 	must address the following objectives:
104.21 	(a) (i) developing and maintaining sensitivity to all cultures;
104.22 	(b) (ii) assessing values and their cultural implications; and
104.23 	(c) (iii) making individualized placement decisions that advance the best interests of 
104.24 	a particular child under section 260C.212, subdivision 2; and
104.25 	(iv) issues related to cross-cultural placement;
104.26 	(4) develop provide a training curriculum for family and extended family members
104.27 	all prospective adoptive and foster families that prepares them to care for the needs of 
104.28 	adoptive and foster children. The curriculum must address issues relating to cross-cultural 
104.29 	placements as well as issues that arise after a foster or adoptive placement is madetaking 
104.30 	into consideration the needs of children outlined in section 260C.212, subdivision 2, 
104.31 	paragraph (b); and
104.32 	(5) develop and provide to agencies an assessment tool to be used in combination 
104.33 	with group interviews and other preplacement activities a home study format to evaluate
104.34 	assess the capacities and needs of prospective adoptive and foster families. The tool
104.35 	format must assess address problem-solving skills; identify parenting skills; and evaluate 
105.1 	the degree to which the prospective family has the ability to understand and validate the 
105.2 	child's cultural background, and other issues needed to provide sufficient information for 
105.3 	agencies to make an individualized placement decision consistent with section 260C.212, 
105.4 	subdivision 2. If a prospective adoptive parent has also been a foster parent, any update 
105.5 	necessary to a home study for the purpose of adoption may be completed by the licensing 
105.6 	authority responsible for the foster parent's license. If a prospective adoptive parent with an 
105.7 	approved adoptive home study also applies for a foster care license, the license application 
105.8 	may be made with the same agency which provided the adoptive home study; and
105.9 	(6) shall consult with representatives reflecting diverse populations from the councils 
105.10 	established under sections 3.922, 3.9223, 3.9225, and 3.9226, and other state, local, and 
105.11 	community organizations.

105.12 	Sec. 20. Minnesota Statutes 2010, section 260C.215, subdivision 6, is amended to read:
105.13 		Subd. 6.Duties of child-placing agencies. (a) Each authorized child-placing 
105.14 	agency must:
105.15 	(1) develop and follow procedures for implementing the requirements of section 
105.16 	260C.193, subdivision 3 260C.212, subdivision 2, and the Indian Child Welfare Act, 
105.17 	United States Code, title 25, sections 1901 to 1923; 
105.18 	(2) have a written plan for recruiting adoptive and foster families that reflect the 
105.19 	ethnic and racial diversity of children who are in need of foster and adoptive homes. 
105.20 	The plan must include:
105.21 	(i) strategies for using existing resources in diverse communities,;
105.22 	(ii) use of diverse outreach staff wherever possible,;
105.23 	(iii) use of diverse foster homes for placements after birth and before adoption,; and
105.24 	(iv) other techniques as appropriate;
105.25 	(3) have a written plan for training adoptive and foster families;
105.26 	(4) have a written plan for employing staff in adoption and foster care who have 
105.27 	the capacity to assess the foster and adoptive parents' ability to understand and validate a 
105.28 	child's cultural and meet the child's individual needs, and to advance the best interests of 
105.29 	the child, as required in section 260C.212, subdivision 2. The plan must include staffing 
105.30 	goals and objectives;
105.31 	(5) ensure that adoption and foster care workers attend training offered or approved 
105.32 	by the Department of Human Services regarding cultural diversity and the needs of special 
105.33 	needs children; and
105.34 	(6) develop and implement procedures for implementing the requirements of the 
105.35 	Indian Child Welfare Act and the Minnesota Indian Family Preservation Act.
106.1 	(b) In determining the suitability of a proposed placement of an Indian child, the 
106.2 	standards to be applied must be the prevailing social and cultural standards of the Indian 
106.3 	child's community, and the agency shall defer to tribal judgment as to suitability of a 
106.4 	particular home when the tribe has intervened pursuant to the Indian Child Welfare Act.

106.5 	Sec. 21. [260C.229] VOLUNTARY FOSTER CARE FOR CHILDREN OVER 
106.6 	AGE 18; REQUIRED COURT REVIEW.
106.7 	(a) When a child asks to continue or to reenter foster care after age 18 under section 
106.8 	260C.451, the child and the responsible social services agency may enter into a voluntary 
106.9 	agreement for the child to be in foster care under the terms of section 260C.451. The 
106.10 	voluntary agreement must be in writing and on a form prescribed by the commissioner.
106.11 	(b) When the child is in foster care pursuant to a voluntary foster care agreement 
106.12 	between the agency and child and the child is not already under court jurisdiction pursuant 
106.13 	to section 260C.193, subdivision 6, the agency responsible for the child's placement 
106.14 	in foster care shall:
106.15 	(1) file a motion to reopen the juvenile protection matter where the court previously 
106.16 	had jurisdiction over the child within 30 days of the child and the agency executing the 
106.17 	voluntary placement agreement under paragraph (a) and ask the court to review the child's 
106.18 	placement in foster care and find that the placement is in the best interests of the child; and
106.19 	(2) file the out-of-home placement plan required under subdivision 1 with the 
106.20 	motion to reopen jurisdiction.
106.21 	(c) The court shall conduct a hearing on the matter within 30 days of the agency's 
106.22 	motion to reopen the matter and, if the court finds that placement is in the best interest of 
106.23 	the child, shall conduct the review for the purpose and with the content required under 
106.24 	section 260C.203, at least every 12 months as long as the child continues in foster care.

106.25 	Sec. 22. Minnesota Statutes 2010, section 260C.301, subdivision 8, is amended to read:
106.26 		Subd. 8.Findings regarding reasonable efforts. In any proceeding under this 
106.27 	section, the court shall make specific findings:
106.28 	(1) that reasonable efforts to prevent the placement and finalize the permanency 
106.29 	plan to reunify the child and the parent were made including individualized and explicit 
106.30 	findings regarding the nature and extent of efforts made by the social services agency to 
106.31 	rehabilitate the parent and reunite the family; or
106.32 	(2) that reasonable efforts at for reunification are not required as provided under 
106.33 	section 260.012. 

107.1 	Sec. 23. Minnesota Statutes 2010, section 260C.328, is amended to read:
107.2 	260C.328 CHANGE OF GUARDIAN; TERMINATION OF GUARDIANSHIP.
107.3 	(a) Upon its own motion or upon petition of an interested party, the juvenile court 
107.4 	having jurisdiction of the child may, after notice to the parties and a hearing, remove 
107.5 	the guardian appointed by the juvenile court and appoint a new guardian in accordance 
107.6 	with the provisions of section 260C.325, subdivision 1, clause (a), (b), or (c). Upon a 
107.7 	showing that the child is emancipated, the court may discharge the guardianship. Any 
107.8 	child 14 years of age or older who is not adopted but who is placed in a satisfactory foster 
107.9 	home, may, with the consent of the foster parents, join with the guardian appointed by the 
107.10 	juvenile court in a petition to the court having jurisdiction of the child to discharge the 
107.11 	existing guardian and appoint the foster parents as guardians of the child. 
107.12 	(b) The authority of a guardian appointed by the juvenile court terminates when the 
107.13 	individual under guardianship is no longer a minor or when guardianship is otherwise 
107.14 	discharged becomes age 18. However, an individual who has been under the guardianship 
107.15 	of the commissioner and who has not been adopted may continue in foster care or reenter 
107.16 	foster care pursuant to section 260C.451 and the responsible social services agency has 
107.17 	continuing legal responsibility for the placement of the individual. 

107.18 	Sec. 24. Minnesota Statutes 2010, section 260C.451, is amended to read:
107.19 	260C.451 FOSTER CARE BENEFITS TO AGE 21 PAST AGE 18.
107.20 		Subdivision 1.Notification of benefits. Within the Six months prior to the child's 
107.21 	18th birthday, the local responsible social services agency shall advise provide written 
107.22 	notice on a form prescribed by the commissioner of human services to any child in foster 
107.23 	care under this chapter who cannot reasonably be expected to return home or have another 
107.24 	legally permanent family by the age of 18, the child's parents or legal guardian, if any, and
107.25 	the child's guardian ad litem, and the child's foster parents of the availability of benefits of 
107.26 	the foster care program up to age 21, when the child is eligible under subdivisions 3 and 3a.
107.27 		Subd. 2.Independent living plan. Upon the request of any child receiving in foster 
107.28 	care benefits immediately prior to the child's 18th birthday and who is in foster care at 
107.29 	the time of the request, the local responsible social services agency shall, in conjunction 
107.30 	with the child and other appropriate parties, update the independent living plan required 
107.31 	under section 260C.212, subdivision 1, paragraph (c), clause (11), related to the child's 
107.32 	employment, vocational, educational, social, or maturational needs. The agency shall 
107.33 	provide continued services and foster care for the child including those services that are 
107.34 	necessary to implement the independent living plan.
108.1 		Subd. 3.Eligibility to continue in foster care. A child already in foster care
108.2 	immediately prior to the child's 18th birthday may continue in foster care past age 18
108.3 	unless:
108.4 	(1) the child can safely return home;
108.5 	(2) the child is in placement pursuant to the agency's duties under section 256B.092 
108.6 	and Minnesota Rules, parts 9525.0004 to 9525.0016, to meet the child's needs due to 
108.7 	developmental disability or related condition, and the child will be served as an adult 
108.8 	under section 256B.092 and Minnesota Rules, parts 9525.0004 to 9525.0016; or
108.9 	(3) the child can be adopted or have permanent legal and physical custody 
108.10 	transferred to a relative prior to the child's 18th birthday. 
108.11 		Subd. 3a.Eligibility criteria. The child must meet at least one of the following 
108.12 	conditions to be considered eligible to continue in or return to foster care and remain there
108.13 	to age 21. The child must be:
108.14 	(1) completing secondary education or a program leading to an equivalent credential;
108.15 	(2) enrolled in an institution which that provides postsecondary or vocational 
108.16 	education;
108.17 	(3) participating in a program or activity designed to promote or remove barriers to 
108.18 	employment;
108.19 	(4) employed for at least 80 hours per month; or
108.20 	(5) incapable of doing any of the activities described in clauses (1) to (4) due to a 
108.21 	medical condition.
108.22 		Subd. 4.Foster care benefits. For children between the ages of 18 and 21, "foster 
108.23 	care benefits" means payment for those foster care settings defined in section 260C.007, 
108.24 	subdivision 18. Additionally, foster care benefits means payment for a supervised 
108.25 	setting, approved by the responsible social services agency, in which a child may live 
108.26 	independently.
108.27 		Subd. 5.Permanent decision Foster care setting. The particular foster care 
108.28 	setting, including supervised settings, shall be selected by the agency and the child
108.29 	based on the best interest of the child consistent with section 260C.212, subdivision 2. 
108.30 	Supervision in approved settings must be determined by an individual determination of 
108.31 	the child's needs by the responsible social services agency and consistent with section 
108.32 	260C.212, subdivision 4a.
108.33 		Subd. 6.Individual plan to age 21 Reentering foster care and accessing services 
108.34 	after age 18. (a) Upon request of an individual between the ages of 18 and 21 who, 
108.35 	within six months of the individual's 18th birthday, had been under the guardianship of the 
108.36 	commissioner and who has left foster care without being adopted, the responsible social 
109.1 	services agency which had been the commissioner's agent for purposes of the guardianship 
109.2 	shall develop with the individual a plan related to the individual's vocational, educational, 
109.3 	social, or maturational needs to increase the individual's ability to live safely and 
109.4 	independently using the plan requirements of section 260C.212, subdivision 1, paragraph 
109.5 	(b), clause (11), and to assist the individual to meet one or more of the eligibility criteria in 
109.6 	subdivision 4 if the individual wants to reenter foster care. The agency shall provide foster 
109.7 	care with maintenance and counseling benefits as required to implement the plan. The 
109.8 	agency shall enter into a voluntary placement agreement under section 260C.229 with the 
109.9 	individual if the plan includes foster care.
109.10 	(b) Individuals who had not been under the guardianship of the commissioner of 
109.11 	human services prior to age 18 and are between the ages of 18 and 21 may ask to reenter 
109.12 	foster care after age 18 and, to the extent funds are available, the responsible social 
109.13 	services agency that had responsibility for planning for the individual before discharge 
109.14 	from foster care may provide foster care or other services to the individual for the purpose 
109.15 	of increasing the individual's ability to live safely and independently and to meet the 
109.16 	eligibility criteria in subdivision 3a, if the individual:
109.17 	(1) was in foster care for the six consecutive months prior to the person's 18th 
109.18 	birthday and was not discharged home, adopted, or received into a relative's home under a 
109.19 	transfer of permanent legal and physical custody under section 260C.515, subdivision 4; or
109.20 	(2) was discharged from foster care while on runaway status after age 15.
109.21 	(c) In conjunction with a qualifying and eligible individual under paragraph (b) and 
109.22 	other appropriate persons, the responsible social services agency shall develop a specific 
109.23 	plan related to that individual's vocational, educational, social, or maturational needs 
109.24 	and, to the extent funds are available, provide foster care as required to implement the 
109.25 	plan. The agency shall enter into a voluntary placement agreement with the individual 
109.26 	if the plan includes foster care.
109.27 	(d) Youth who left foster care while under guardianship of the commissioner of 
109.28 	human services retain eligibility for foster care for placement at any time between the 
109.29 	ages of 18 and 21.
109.30 		Subd. 7.Jurisdiction. Notwithstanding that the court retains jurisdiction pursuant 
109.31 	to this section, Individuals in foster care pursuant to this section are adults for all purposes 
109.32 	except the continued provision of foster care. Any order establishing guardianship under 
109.33 	section 260C.325, any legal custody order under section 260C.201, subdivision 1, and 
109.34 	any order for legal custody associated with an order for long-term foster care permanent 
109.35 	custody under section 260C.201, subdivision 11 260C.515, subdivision 5, terminates on 
109.36 	the child's 18th birthday. The responsible social services agency has legal responsibility 
110.1 	for the individual's placement and care when the matter continues under court jurisdiction 
110.2 	pursuant to section 260C.193 or when the individual and the responsible agency execute a 
110.3 	voluntary placement agreement pursuant to section 260C.229.
110.4 		Subd. 8.Notice of termination of foster care. When a child in foster care between 
110.5 	the ages of 18 and 21 ceases to meet one of the eligibility criteria of subdivision 3a, the 
110.6 	responsible social services agency shall give the child written notice that foster care will 
110.7 	terminate 30 days from the date the notice is sent. The child or the child's guardian ad 
110.8 	litem may file a motion asking the court to review the agency's determination within 15 
110.9 	days of receiving the notice. The child shall not be discharged from foster care until the 
110.10 	motion is heard. The agency shall work with the child to transition out of foster care as 
110.11 	required under section 260C.203, paragraph (e). The written notice of termination of 
110.12 	benefits shall be on a form prescribed by the commissioner and shall also give notice of 
110.13 	the right to have the agency's determination reviewed by the court in the proceeding where 
110.14 	the court conducts the reviews required under section 260C.203, 260C.317, or 260C.515, 
110.15 	subdivision 5 or 6. A copy of the termination notice shall be sent to the child and the 
110.16 	child's attorney, if any, the foster care provider, the child's guardian ad litem, and the 
110.17 	court. The agency is not responsible for paying foster care benefits for any period of time 
110.18 	after the child actually leaves foster care.

110.19 	Sec. 25. [260C.503] PERMANENCY PROCEEDINGS.
110.20 		Subdivision 1.Required permanency proceedings.  Except for children in foster 
110.21 	care pursuant to chapter 260D, where the child is in foster care or in the care of a 
110.22 	noncustodial or nonresident parent, the court shall commence proceedings to determine 
110.23 	the permanent status of a child by holding the admit-deny hearing required under section 
110.24 	260C.507 not later than 12 months after the child is placed in foster care or in the care of a 
110.25 	noncustodial or nonresident parent. Permanency proceedings for children in foster care 
110.26 	pursuant to chapter 260D shall be according to section 260D.07.
110.27 		Subd. 2.Termination of parental rights. (a) The responsible social services 
110.28 	agency must ask the county attorney to immediately file a termination of parental rights 
110.29 	petition when:
110.30 	(1) the child has been subjected to egregious harm as defined in section 260C.007, 
110.31 	subdivision 14;
110.32 	(2) the child is determined to be the sibling of a child who was subjected to 
110.33 	egregious harm;
110.34 	(3) the child is an abandoned infant as defined in section 260C.301, subdivision 3, 
110.35 	paragraph (b), clause (2);
111.1 	(4) the child's parent has lost parental rights to another child through an order 
111.2 	involuntarily terminating the parent's rights;
111.3 	(5) the parent has committed sexual abuse as defined in section 626.556, subdivision 
111.4 	2, against the child or another child of the parent;
111.5 	(6) the parent has committed an offense that requires registration as a predatory 
111.6 	offender under section 243.166, subdivision 1b, paragraph (a) or (b); or
111.7 	(7) another child of the parent is the subject of an order involuntarily transferring 
111.8 	permanent legal and physical custody of the child to a relative under this chapter or a 
111.9 	similar law of another jurisdiction; 
111.10 	The county attorney shall file a termination of parental rights petition unless the conditions 
111.11 	of paragraph (d) are met.
111.12 	(b) When the termination of parental rights petition is filed under this subdivision, 
111.13 	the responsible social services agency shall identify, recruit, and approve an adoptive 
111.14 	family for the child. If a termination of parental rights petition has been filed by another 
111.15 	party, the responsible social services agency shall be joined as a party to the petition.
111.16 	(c) If criminal charges have been filed against a parent arising out of the conduct 
111.17 	alleged to constitute egregious harm, the county attorney shall determine which matter 
111.18 	should proceed to trial first, consistent with the best interests of the child and subject 
111.19 	to the defendant's right to a speedy trial.
111.20 	(d) The requirement of paragraph (a) does not apply if the responsible social services 
111.21 	agency and the county attorney determine and file with the court:
111.22 	(1) a petition for transfer of permanent legal and physical custody to a relative under 
111.23 	sections 260C.505 and 260C.515, subdivision 3, including a determination that adoption 
111.24 	is not in the child's best interests and that transfer of permanent legal and physical custody 
111.25 	is in the child's best interests; or
111.26 	(2) a petition under section 260C.141 alleging the child, and where appropriate, 
111.27 	the child's siblings, to be in need of protection or services accompanied by a case plan 
111.28 	prepared by the responsible social services agency documenting a compelling reason why 
111.29 	filing a termination of parental rights petition would not be in the best interests of the child.
111.30 		Subd. 3.Calculating time to required permanency proceedings. (a) For 
111.31 	purposes of this section, the date of the child's placement in foster care is the earlier of 
111.32 	the first court-ordered placement or 60 days after the date on which the child has been 
111.33 	voluntarily placed in foster care by the child's parent or guardian. For purposes of this 
111.34 	section, time spent by a child in the home of the noncustodial parent pursuant to court 
111.35 	order under section 260C.178 or under the protective supervision of the responsible 
111.36 	social services agency in the home of the noncustodial parent pursuant to an order under 
112.1 	section 260C.201, subdivision 1, counts towards the requirement of a permanency hearing 
112.2 	under this section. Time spent on a trial home visit counts towards the requirement of a 
112.3 	permanency hearing under this section and the permanency progress review required 
112.4 	under section 260C.204.
112.5 	(b) For the purposes of this section, 12 months is calculated as follows:
112.6 	(1) during the pendency of a petition alleging that a child is in need of protection 
112.7 	or services, all time periods when a child is placed in foster care or in the home of a 
112.8 	noncustodial parent are cumulated;
112.9 	(2) if a child has been placed in foster care within the previous five years under one 
112.10 	or more previous petitions, the lengths of all prior time periods when the child was placed 
112.11 	in foster care within the previous five years are cumulated. If a child under this clause 
112.12 	has been in foster care for 12 months or more, the court, if it is in the best interests of the 
112.13 	child and for compelling reasons, may extend the total time the child may continue out 
112.14 	of the home under the current petition up to an additional six months before making a 
112.15 	permanency determination.
112.16 	(c) If the child is on a trial home visit 12 months after the child was placed in foster 
112.17 	care or in the care of a noncustodial parent, the responsible social services agency may file 
112.18 	a report with the court regarding the child's and parent's progress on the trial home visit and 
112.19 	the agency's reasonable efforts to finalize the child's safe and permanent return to the care 
112.20 	of the parent in lieu of filing the petition required under section 260C.505. The court shall 
112.21 	make findings regarding the reasonable efforts of the agency to finalize the child's return 
112.22 	home as the permanency disposition order in the best interests of the child. The court may 
112.23 	continue the trial home visit to a total time not to exceed six months as provided in section 
112.24 	260C.201, subdivision 1, paragraph (a), clause (3). If the court finds the agency has not 
112.25 	made reasonable efforts to finalize the child's return home as the permanency disposition 
112.26 	order in the child's best interests, the court may order other or additional efforts to support 
112.27 	the child remaining in the care of the parent. If a trial home visit ordered or continued at 
112.28 	permanency proceedings under sections 260C.503 to 260C.521 terminates, the court shall 
112.29 	commence or recommence permanency proceedings under this chapter no later than 30 
112.30 	days after the child is returned to foster care or to the care of a noncustodial parent.

112.31 	Sec. 26. [260C.505] PETITION.
112.32 	(a) A permanency or termination of parental rights petition must be filed at or 
112.33 	prior to the time the child has been in foster care or in the care of a noncustodial or 
112.34 	nonresident parent for 11 months or in the expedited manner required in section 260C.503, 
112.35 	subdivision 2, paragraph (a). The court administrator shall serve the petition as required 
113.1 	in the Minnesota Rules of Juvenile Protection Procedure and section 260C.152 for the 
113.2 	admit-deny hearing on the petition required in section 260C.507.
113.3 	(b) A petition under this section is not required if the responsible social services 
113.4 	agency intends to recommend that the child return to the care of the parent from whom 
113.5 	the child was removed at or prior to the time the court is required to hold the admit-deny 
113.6 	hearing required under section 260C.507.

113.7 	Sec. 27. [260C.507] ADMIT-DENY HEARING.
113.8 	(a) An admit-deny hearing on the permanency or termination of parental rights 
113.9 	petition shall be held not later than 12 months from the child's placement in foster care or 
113.10 	an order for the child to be in the care of a noncustodial or nonresident parent.
113.11 	(b) An admit-deny hearing on the termination of parental rights or transfer of 
113.12 	permanent legal and physical custody petition required to be immediately filed under 
113.13 	section 260C.503, subdivision 2, paragraph (a), shall be within ten days of the filing 
113.14 	of the petition.
113.15 	(c) At the admit-deny hearing, the court shall determine whether there is a prima 
113.16 	facie basis for finding that the agency made reasonable efforts, or in the case of an Indian 
113.17 	child active efforts, for reunification as required or that reasonable efforts for reunification 
113.18 	are not required under section 260.012 and proceed according to the Minnesota Rules of 
113.19 	Juvenile Protection Procedure.

113.20 	Sec. 28. [260C.509] TRIAL.
113.21 	The permanency proceedings shall be conducted in a timely fashion including 
113.22 	that any trial required under section 260C.163 shall be commenced within 60 days of 
113.23 	the admit-deny hearing required under section 260C.507. At the conclusion of the 
113.24 	permanency proceedings, the court shall:
113.25 	(1) order the child returned to the care of the parent or guardian from whom the 
113.26 	child was removed; or
113.27 	(2) order a permanency disposition under section 260C.515 or termination of 
113.28 	parental rights under sections 260C.301 to 260C.328 if a permanency disposition order or 
113.29 	termination of parental rights is in the child's best interests.

113.30 	Sec. 29. [260C.511] BEST INTERESTS OF THE CHILD.
113.31 	(a) The "best interests of the child" means all relevant factors to be considered 
113.32 	and evaluated.
114.1 	(b) In making a permanency disposition order or termination of parental rights, 
114.2 	the court must be governed by the best interests of the child, including a review of the 
114.3 	relationship between the child and relatives and the child and other important persons with 
114.4 	whom the child has resided or had significant contact.

114.5 	Sec. 30. [260C.513] PERMANENCY DISPOSITIONS WHEN CHILD CANNOT 
114.6 	RETURN HOME.
114.7 	(a) Termination of parental rights and adoption, or guardianship to the commissioner 
114.8 	of human services through a consent to adopt are preferred permanency options for a 
114.9 	child who cannot return home. If the court finds that termination of parental rights and 
114.10 	guardianship to the commissioner is not in the child's best interests, the court may transfer 
114.11 	permanent legal and physical custody of the child to a relative when that order is in the 
114.12 	child's best interests.
114.13 	(b) When the court has determined that permanent placement of the child away from 
114.14 	the parent is necessary, the court shall consider permanent alternative homes that are 
114.15 	available both inside and outside the state.

114.16 	Sec. 31. [260C.515] PERMANENCY DISPOSITION ORDERS.
114.17 		Subdivision 1.Court order required. If the child is not returned to the home at or 
114.18 	before the conclusion of permanency proceedings under sections 260C.503 to 260C.521, 
114.19 	the court must order one of the permanency dispositions in this section.
114.20 		Subd. 2.Termination of parental rights. The court may order:
114.21 	(1) termination of parental rights when the requirements of sections 260C.301 to 
114.22 	260C.328 are met; or
114.23 	(2) the responsible social services agency to file a petition for termination of 
114.24 	parental rights in which case all the requirements of sections 260C.301 to 260C.328 
114.25 	remain applicable.
114.26 		Subd. 3.Guardianship; commissioner. The court may order guardianship to the 
114.27 	commissioner of human services under the following procedures and conditions:
114.28 	(1) there is an identified prospective adoptive parent agreed to by the responsible 
114.29 	social services agency having legal custody of the child pursuant to court order under this 
114.30 	chapter and that prospective adoptive parent has agreed to adopt the child;
114.31 	(2) the court accepts the parent's voluntary consent to adopt in writing on a form 
114.32 	prescribed by the commissioner, executed before two competent witnesses and confirmed 
114.33 	by the consenting parent before the court or executed before court. The consent shall 
114.34 	contain notice that consent given under this chapter:
115.1 	(i) is irrevocable upon acceptance by the court unless fraud is established and an 
115.2 	order issues permitting revocation as stated in clause (9) unless the matter is governed by 
115.3 	the Indian Child Welfare Act, United States Code, title 25, section 1913(c); and
115.4 	(ii) will result in an order that the child is under the guardianship of the commissioner 
115.5 	of human services;
115.6 	(3) a consent executed and acknowledged outside of this state, either in accordance 
115.7 	with the law of this state or in accordance with the law of the place where executed, is 
115.8 	valid;
115.9 	(4) the court must review the matter at least every 90 days under section 260C.317;
115.10 	(5) a consent to adopt under this subdivision vests guardianship of the child with 
115.11 	the commissioner of human services and makes the child a ward of the commissioner of 
115.12 	human services under section 260C.325;
115.13 	(6) the court must forward to the commissioner a copy of the consent to adopt, 
115.14 	together with a certified copy of the order transferring guardianship to the commissioner;
115.15 	(7) if an adoption is not finalized by the identified prospective adoptive parent within 
115.16 	six months of the execution of the consent to adopt under this clause, the responsible 
115.17 	social services agency shall pursue adoptive placement in another home unless the court 
115.18 	finds in a hearing under section 260C.317 that the failure to finalize is not due to either an 
115.19 	action or a failure to act by the prospective adoptive parent;
115.20 	(8) notwithstanding clause (7), the responsible social services agency must pursue 
115.21 	adoptive placement in another home as soon as the agency determines that finalization 
115.22 	of the adoption with the identified prospective adoptive parent is not possible, that the 
115.23 	identified prospective adoptive parent is not willing to adopt the child, or that the identified 
115.24 	prospective adoptive parent is not cooperative in completing the steps necessary to finalize 
115.25 	the adoption;
115.26 	(9) unless otherwise required by the Indian Child Welfare Act, United States Code, 
115.27 	title 25, section 1913(c), a consent to adopt executed under this section shall be irrevocable 
115.28 	upon acceptance by the court except upon order permitting revocation issued by the same 
115.29 	court after written findings that consent was obtained by fraud.
115.30 		Subd. 4.Custody to relative. The court may order permanent legal and physical 
115.31 	custody to a relative in the best interests of the child according to the following conditions:
115.32 	(1) an order for transfer of permanent legal and physical custody to a relative shall 
115.33 	only be made after the court has reviewed the suitability of the prospective legal and 
115.34 	physical custodian;
116.1 	(2) in transferring permanent legal and physical custody to a relative, the juvenile 
116.2 	court shall follow the standards applicable under this chapter and chapter 260, and the 
116.3 	procedures in the Minnesota Rules of Juvenile Protection Procedure;
116.4 	(3) a transfer of legal and physical custody includes responsibility for the protection, 
116.5 	education, care, and control of the child and decision making on behalf of the child;
116.6 	(4) a permanent legal and physical custodian may not return a child to the permanent 
116.7 	care of a parent from whom the court removed custody without the court's approval and 
116.8 	without notice to the responsible social services agency;
116.9 	(5) the social services agency may file a petition naming a fit and willing relative as 
116.10 	a proposed permanent legal and physical custodian;
116.11 	(6) another party to the permanency proceeding regarding the child may file a 
116.12 	petition to transfer permanent legal and physical custody to a relative, but the petition must 
116.13 	be filed not later than the date for the required admit/deny hearing under section 260C.507; 
116.14 	or if the agency's petition is filed under section 260C.503, subdivision 2, the petition must 
116.15 	be filed not later than 30 days prior to the trial required under section 260C.509; and 
116.16 	(7) the juvenile court may maintain jurisdiction over the responsible social services 
116.17 	agency, the parents or guardian of the child, the child, and the permanent legal and 
116.18 	physical custodian for purposes of ensuring appropriate services are delivered to the child 
116.19 	and permanent legal custodian for the purpose of ensuring conditions ordered by the court 
116.20 	related to the care and custody of the child are met.
116.21 		Subd. 5.Permanent custody to agency. The court may order permanent custody to 
116.22 	the responsible social services agency for continued placement of the child in foster care 
116.23 	but only if it approves the responsible social services agency's compelling reasons that no 
116.24 	other permanency disposition order is in the child's best interests, and:
116.25 	(1) the child has reached age 12;
116.26 	(2) the child is a sibling of a child described in clause (1) and the siblings have a 
116.27 	significant positive relationship and are ordered into the same foster home;
116.28 	(3) the responsible social services agency has made reasonable efforts to locate and 
116.29 	place the child with an adoptive family or a fit and willing relative who would either agree 
116.30 	to adopt the child or to a transfer of permanent legal and physical custody of the child, but 
116.31 	these efforts have not proven successful; and
116.32 	(4) the parent will continue to have visitation or contact with the child and will 
116.33 	remain involved in planning for the child.
116.34 		Subd. 6.Temporary legal custody to agency. The court may order temporary legal 
116.35 	custody to the responsible social services agency for continued placement of the child in 
116.36 	foster care for a specified period of time according to the following conditions:
117.1 	(1) the sole basis for an adjudication that the child is in need of protection or services 
117.2 	is the child's behavior;
117.3 	(2) the court finds that foster care for a specified period of time is in the best interests 
117.4 	of the child;
117.5 	(3) the court approves the responsible social services agency's compelling reasons 
117.6 	that neither an award of permanent legal and physical custody to a relative, nor termination 
117.7 	of parental rights is in the child's best interests; and
117.8 	(4) the order specifies that the child continue in foster care no longer than one year.

117.9 	Sec. 32. [260C.517] FINDINGS AND CONTENT OF ORDER FOR 
117.10 	PERMANENCY DISPOSITION.
117.11 	(a) Except for an order terminating parental rights, an order permanently placing 
117.12 	a child out of the home of the parent or guardian must include the following detailed 
117.13 	findings:
117.14 	(1) how the child's best interests are served by the order;
117.15 	(2) the nature and extent of the responsible social services agency's reasonable 
117.16 	efforts, or, in the case of an Indian child, active efforts to reunify the child with the parent 
117.17 	or guardian where reasonable efforts are required;
117.18 	(3) the parent's or parents' efforts and ability to use services to correct the conditions 
117.19 	which led to the out-of-home placement; and
117.20 	(4) that the conditions which led to the out-of-home placement have not been 
117.21 	corrected so that the child can safely return home.
117.22 	(b) The court shall issue an order required under section 260C.515 and this section 
117.23 	within 15 days of the close of the proceedings. The court may extend issuing the order 
117.24 	an additional 15 days when necessary in the interests of justice and the best interests of 
117.25 	the child.

117.26 	Sec. 33. [260C.519] FURTHER COURT HEARINGS.
117.27 	Once a permanency disposition order has been made, further court hearings are 
117.28 	necessary if:
117.29 	(1) the child is ordered on a trial home visit or under the protective supervision 
117.30 	of the responsible social services agency;
117.31 	(2) the child continues in foster care;
117.32 	(3) the court orders further hearings in a transfer of permanent legal and physical 
117.33 	custody matter including if a party seeks to modify an order under section 260C.521, 
117.34 	subdivision 2;
118.1 	(4) an adoption has not yet been finalized; or
118.2 	(5) the child returns to foster care after the court has entered an order for a 
118.3 	permanency disposition under this section.

118.4 	Sec. 34. [260C.521] COURT REVIEWS AFTER PERMANENCY DISPOSITION 
118.5 	ORDER.
118.6 		Subdivision 1.Child in permanent custody of responsible social services agency.
 118.7 	(a) Court reviews of an order for permanent custody to the responsible social services 
118.8 	agency for placement of the child in foster care must be conducted at least yearly at an 
118.9 	in-court appearance hearing.
118.10 	(b) The purpose of the review hearing is to ensure:
118.11 	(1) the order for permanent custody to the responsible social services agency for 
118.12 	placement of the child in foster care continues to be in the best interests of the child and 
118.13 	that no other permanency disposition order is in the best interests of the child;
118.14 	(2) that the agency is assisting the child to build connections to the child's family 
118.15 	and community; and
118.16 	(3) that the agency is appropriately planning with the child for development of 
118.17 	independent living skills for the child, and as appropriate, for the orderly and successful 
118.18 	transition to independent living that may occur if the child continues in foster care without 
118.19 	another permanency disposition order.
118.20 	(c) The court must review the child's out-of-home placement plan and the reasonable 
118.21 	efforts of the agency to finalize an alternative permanent plan for the child including the 
118.22 	agency's efforts to:
118.23 	(1) ensure that permanent custody to the agency with placement of the child in 
118.24 	foster care continues to be the most appropriate legal arrangement for meeting the child's 
118.25 	need for permanency and stability or, if not, to identify and attempt to finalize another 
118.26 	permanency disposition order under this chapter that would better serve the child's needs 
118.27 	and best interests;
118.28 	(2) identify a specific foster home for the child, if one has not already been identified;
118.29 	(3) support continued placement of the child in the identified home, if one has been 
118.30 	identified;
118.31 	(4) ensure appropriate services are provided to address the physical health, mental 
118.32 	health, and educational needs of the child during the period of foster care and also ensure 
118.33 	appropriate services or assistance to maintain relationships with appropriate family 
118.34 	members and the child's community; and
119.1 	(5) plan for the child's independence upon the child's leaving foster care living as 
119.2 	required under section 260C.212, subdivision 1.
119.3 	(d) The court may find that the agency has made reasonable efforts to finalize the 
119.4 	permanent plan for the child when:
119.5 	(1) the agency has made reasonable efforts to identify a more legally permanent 
119.6 	home for the child than is provided by an order for permanent custody to the agency 
119.7 	for placement in foster care; and
119.8 	(2) the agency's engagement of the child in planning for independent living is 
119.9 	reasonable and appropriate.
119.10 		Subd. 2.Modifying an order for permanent legal and physical custody to a 
119.11 	relative. An order for a relative to have permanent legal and physical custody of a child 
119.12 	may be modified using standards under sections 518.18 and 518.185. The social services 
119.13 	agency is a party to the proceeding and must receive notice.
119.14 		Subd. 3.Modifying order for permanent custody to agency for placement in 
119.15 	foster care. (a) A parent may seek modification of an order for permanent custody of the 
119.16 	child to the responsible social services agency for placement in foster care upon motion 
119.17 	and a showing by the parent of a substantial change in the parent's circumstances such 
119.18 	that the parent could provide appropriate care for the child and that removal of the child 
119.19 	from the permanent custody of the agency and the return to the parent's care would be 
119.20 	in the best interests of the child.
119.21 	(b) The responsible social services agency may ask the court to vacate an order for 
119.22 	permanent custody to the agency upon a petition and hearing pursuant to section 260C.163 
119.23 	establishing the basis for the court to order another permanency disposition under this 
119.24 	chapter, including termination of parental rights based on abandonment if the parent 
119.25 	has not visited the child, maintained contact with the child, or participated in planning 
119.26 	for the child as required under section 260C.515, subdivision 5. The responsible social 
119.27 	services agency must establish that the proposed permanency disposition order is in the 
119.28 	child's best interests. Upon a hearing where the court determines the petition is proved, 
119.29 	the court may vacate the order for permanent custody and enter a different order for a 
119.30 	permanent disposition that is in the child's best interests. The court shall not require further 
119.31 	reasonable efforts to reunify the child with the parent or guardian as a basis for vacating 
119.32 	the order for permanent custody to the agency and ordering a different permanency 
119.33 	disposition in the child's best interests. The county attorney must file the petition and give 
119.34 	notice as required under the Minnesota Rules of Juvenile Protection Procedure in order to 
119.35 	modify an order for permanent custody under this subdivision.

120.1 	Sec. 35. EFFECTIVE DATE.
 120.2 	This article is effective August 1, 2012.

120.3 	ARTICLE 5
120.4 	CHILD SUPPORT

120.5 	Section 1. Minnesota Statutes 2011 Supplement, section 256.01, subdivision 14b, 
120.6 	is amended to read:
120.7 		Subd. 14b.American Indian child welfare projects. (a) The commissioner of 
120.8 	human services may authorize projects to test tribal delivery of child welfare services to 
120.9 	American Indian children and their parents and custodians living on the reservation. 
120.10 	The commissioner has authority to solicit and determine which tribes may participate 
120.11 	in a project. Grants may be issued to Minnesota Indian tribes to support the projects. 
120.12 	The commissioner may waive existing state rules as needed to accomplish the projects. 
120.13 	Notwithstanding section 626.556, the commissioner may authorize projects to use 
120.14 	alternative methods of investigating and assessing reports of child maltreatment, provided 
120.15 	that the projects comply with the provisions of section 626.556 dealing with the rights 
120.16 	of individuals who are subjects of reports or investigations, including notice and appeal 
120.17 	rights and data practices requirements. The commissioner may seek any federal approvals 
120.18 	necessary to carry out the projects as well as seek and use any funds available to the 
120.19 	commissioner, including use of federal funds, foundation funds, existing grant funds, 
120.20 	and other funds. The commissioner is authorized to advance state funds as necessary to 
120.21 	operate the projects. Federal reimbursement applicable to the projects is appropriated 
120.22 	to the commissioner for the purposes of the projects. The projects must be required to 
120.23 	address responsibility for safety, permanency, and well-being of children.
120.24 	(b) For the purposes of this section, "American Indian child" means a person under 
120.25 	18 years of age 21 years old and who is a tribal member or eligible for membership in 
120.26 	one of the tribes chosen for a project under this subdivision and who is residing on the 
120.27 	reservation of that tribe.
120.28 	(c) In order to qualify for an American Indian child welfare project, a tribe must:
120.29 	(1) be one of the existing tribes with reservation land in Minnesota;
120.30 	(2) have a tribal court with jurisdiction over child custody proceedings;
120.31 	(3) have a substantial number of children for whom determinations of maltreatment 
120.32 	have occurred;
120.33 	(4) have capacity to respond to reports of abuse and neglect under section 626.556;
120.34 	(5) provide a wide range of services to families in need of child welfare services; and
120.35 	(6) have a tribal-state title IV-E agreement in effect.
121.1 	(d) Grants awarded under this section may be used for the nonfederal costs of 
121.2 	providing child welfare services to American Indian children on the tribe's reservation, 
121.3 	including costs associated with:
121.4 	(1) assessment and prevention of child abuse and neglect;
121.5 	(2) family preservation;
121.6 	(3) facilitative, supportive, and reunification services;
121.7 	(4) out-of-home placement for children removed from the home for child protective 
121.8 	purposes; and
121.9 	(5) other activities and services approved by the commissioner that further the goals 
121.10 	of providing safety, permanency, and well-being of American Indian children.
121.11 	(e) When a tribe has initiated a project and has been approved by the commissioner 
121.12 	to assume child welfare responsibilities for American Indian children of that tribe under 
121.13 	this section, the affected county social service agency is relieved of responsibility for 
121.14 	responding to reports of abuse and neglect under section 626.556 for those children 
121.15 	during the time within which the tribal project is in effect and funded. The commissioner 
121.16 	shall work with tribes and affected counties to develop procedures for data collection, 
121.17 	evaluation, and clarification of ongoing role and financial responsibilities of the county 
121.18 	and tribe for child welfare services prior to initiation of the project. Children who have not 
121.19 	been identified by the tribe as participating in the project shall remain the responsibility 
121.20 	of the county. Nothing in this section shall alter responsibilities of the county for law 
121.21 	enforcement or court services.
121.22 	(f) Participating tribes may conduct children's mental health screenings under section 
121.23 	245.4874, subdivision 1, paragraph (a), clause (14), for children who are eligible for the 
121.24 	initiative and living on the reservation and who meet one of the following criteria:
121.25 	(1) the child must be receiving child protective services;
121.26 	(2) the child must be in foster care; or
121.27 	(3) the child's parents must have had parental rights suspended or terminated.
121.28 	Tribes may access reimbursement from available state funds for conducting the screenings. 
121.29 	Nothing in this section shall alter responsibilities of the county for providing services 
121.30 	under section 245.487.
121.31 	(g) Participating tribes may establish a local child mortality review panel. In 
121.32 	establishing a local child mortality review panel, the tribe agrees to conduct local child 
121.33 	mortality reviews for child deaths or near-fatalities occurring on the reservation under 
121.34 	subdivision 12. Tribes with established child mortality review panels shall have access 
121.35 	to nonpublic data and shall protect nonpublic data under subdivision 12, paragraphs (c) 
121.36 	to (e). The tribe shall provide written notice to the commissioner and affected counties 
122.1 	when a local child mortality review panel has been established and shall provide data upon 
122.2 	request of the commissioner for purposes of sharing nonpublic data with members of the 
122.3 	state child mortality review panel in connection to an individual case.
122.4 	(h) The commissioner shall collect information on outcomes relating to child safety, 
122.5 	permanency, and well-being of American Indian children who are served in the projects. 
122.6 	Participating tribes must provide information to the state in a format and completeness 
122.7 	deemed acceptable by the state to meet state and federal reporting requirements.
122.8 	(i) In consultation with the White Earth Band, the commissioner shall develop 
122.9 	and submit to the chairs and ranking minority members of the legislative committees 
122.10 	with jurisdiction over health and human services a plan to transfer legal responsibility 
122.11 	for providing child protective services to White Earth Band member children residing in 
122.12 	Hennepin County to the White Earth Band. The plan shall include a financing proposal, 
122.13 	definitions of key terms, statutory amendments required, and other provisions required to 
122.14 	implement the plan. The commissioner shall submit the plan by January 15, 2012.

122.15 	Sec. 2. Minnesota Statutes 2010, section 257.75, subdivision 7, is amended to read:
122.16 		Subd. 7.Hospital and Department of Health distribution of educational 
122.17 	materials; recognition form. Hospitals that provide obstetric services and the state 
122.18 	registrar of vital statistics shall distribute the educational materials and recognition of 
122.19 	parentage forms prepared by the commissioner of human services to new parents;and shall 
122.20 	assist parents in understanding the recognition of parentage form, including following 
122.21 	the provisions for notice under subdivision 5; shall provide notary services for parents 
122.22 	who complete the recognition of parentage form; and shall timely file the completed 
122.23 	recognition of parentage form with the Office of the State Registrar of Vital Statistics 
122.24 	unless otherwise instructed by the Office of the State Registrar of Vital Statistics. On and 
122.25 	after January 1, 1994, hospitals may not distribute the declaration of parentage forms.

122.26 	Sec. 3. Minnesota Statutes 2010, section 518A.40, subdivision 4, is amended to read:
122.27 		Subd. 4.Change in child care. (a) When a court order provides for child care 
122.28 	expenses, and child care support is not assigned under section 256.741, the public 
122.29 	authority, if the public authority provides child support enforcement services, must may
122.30 	suspend collecting the amount allocated for child care expenses when:
122.31 	(1) either party informs the public authority that no child care costs are being 
122.32 	incurred; and:
122.33 	(2) (1) the public authority verifies the accuracy of the information with the obligee.; 
122.34 	or
123.1 	(2) the obligee fails to respond within 30 days of the date of a written request 
123.2 	from the public authority for information regarding child care costs. A written or oral 
123.3 	response from the obligee that child care costs are being incurred is sufficient for the 
123.4 	public authority to continue collecting child care expenses.
123.5 	The suspension is effective as of the first day of the month following the date that the 
123.6 	public authority received the verification either verified the information with the obligee 
123.7 	or the obligee failed to respond. The public authority will resume collecting child care 
123.8 	expenses when either party provides information that child care costs have resumed are 
123.9 	incurred, or when a child care support assignment takes effect under section 256.741, 
123.10 	subdivision 4. The resumption is effective as of the first day of the month after the date 
123.11 	that the public authority received the information.
123.12 	(b) If the parties provide conflicting information to the public authority regarding 
123.13 	whether child care expenses are being incurred, or if the public authority is unable to 
123.14 	verify with the obligee that no child care costs are being incurred, the public authority will 
123.15 	continue or resume collecting child care expenses. Either party, by motion to the court, 
123.16 	may challenge the suspension, continuation, or resumption of the collection of child care 
123.17 	expenses under this subdivision. If the public authority suspends collection activities 
123.18 	for the amount allocated for child care expenses, all other provisions of the court order 
123.19 	remain in effect.
123.20 	(c) In cases where there is a substantial increase or decrease in child care expenses, 
123.21 	the parties may modify the order under section 518A.39.

123.22 	Sec. 4. Minnesota Statutes 2010, section 518C.205, is amended to read:
123.23 	518C.205 CONTINUING, EXCLUSIVE JURISDICTION.
123.24 	(a) A tribunal of this state issuing a support order consistent with the law of this state 
123.25 	has continuing, exclusive jurisdiction over a child support order unless:
123.26 	(1) as long as this state remains is no longer  the residence of the obligor, the 
123.27 	individual obligee, or and the child for whose benefit the support order is issued; or
123.28 	(2) until all of the parties who are individuals have filed written consents with 
123.29 	the tribunal of this state for a tribunal of another state to modify the order and assume 
123.30 	continuing, exclusive jurisdiction.
123.31 	(b) A tribunal of this state issuing a child support order consistent with the law of 
123.32 	this state may not exercise its continuing jurisdiction to modify the order if the order has 
123.33 	been modified by a tribunal of another state pursuant to this chapter or a law substantially 
123.34 	similar to this chapter.
124.1 	(c) If a child support order of this state is modified by a tribunal of another state 
124.2 	pursuant to this chapter or a law substantially similar to this chapter, a tribunal of this state 
124.3 	loses its continuing, exclusive jurisdiction with regard to prospective enforcement of the 
124.4 	order issued in this state, and may only:
124.5 	(1) enforce the order that was modified as to amounts accruing before the 
124.6 	modification;
124.7 	(2) enforce nonmodifiable aspects of that order; and
124.8 	(3) provide other appropriate relief for violations of that order which occurred before 
124.9 	the effective date of the modification.
124.10 	(d) A tribunal of this state shall recognize the continuing, exclusive jurisdiction of a 
124.11 	tribunal of another state which has issued a child support order pursuant to this chapter or 
124.12 	a law substantially similar to this chapter.
124.13 	(e) A temporary support order issued ex parte or pending resolution of a jurisdictional 
124.14 	conflict does not create continuing, exclusive jurisdiction in the issuing tribunal.
124.15 	(f) A tribunal of this state issuing a support order consistent with the law of this 
124.16 	state has continuing, exclusive jurisdiction over a spousal support order throughout the 
124.17 	existence of the support obligation. A tribunal of this state may not modify a spousal 
124.18 	support order issued by a tribunal of another state having continuing, exclusive jurisdiction 
124.19 	over that order under the law of that state.

124.20 	Sec. 5. RECIPROCAL AGREEMENT; CHILD SUPPORT ENFORCEMENT.
 124.21 	The commissioner of human services shall initiate procedures no later than October 
124.22 	1, 2012, to enter into a reciprocal agreement with Bermuda for the establishment and 
124.23 	enforcement of child support obligations pursuant to United States Code, title 42, section 
124.24 	659a(d).

124.25 	EFFECTIVE DATE. This section is effective upon Bermuda's written acceptance 
124.26 	and agreement to enforce Minnesota child support orders. If Bermuda does not accept and 
124.27 	declines to enforce Minnesota orders, this section expires October 1, 2013.

124.28 	Sec. 6. EFFECTIVE DATE.
 124.29 	This article is effective August 1, 2012.

125.1 	ARTICLE 6
125.2 	TECHNICAL AND CONFORMING AMENDMENTS

125.3 	Section 1. Minnesota Statutes 2010, section 257.01, is amended to read:
125.4 	257.01 RECORDS REQUIRED.
125.5 	Each person or authorized child-placing agency permitted by law to receive children, 
125.6 	secure homes for children, or care for children, shall keep a record containing the name, 
125.7 	age, former residence, legal status, health records, sex, race, and accumulated length of 
125.8 	time in foster care, if applicable, of each child received; the name, former residence, 
125.9 	occupation, health history, and character, of each birth parent; the date of reception, 
125.10 	placing out, and adoption of each child, and the name, race, occupation, and residence of 
125.11 	the person with whom a child is placed; the date of the removal of any child to another 
125.12 	home and the reason for removal; the date of termination of the guardianship; the history 
125.13 	of each child until the child reaches the age of 18 21 years, is legally adopted, or is 
125.14 	discharged according to law; and further demographic and other information as is required 
125.15 	by the commissioner of human services.

125.16 	Sec. 2. Minnesota Statutes 2010, section 259.69, is amended to read:
125.17 	259.69 TRANSFER OF FUNDS.
125.18 	The commissioner of human services may transfer funds into the subsidized adoption
125.19 	assistance account when a deficit in the subsidized adoption assistance program occurs.

125.20 	Sec. 3. Minnesota Statutes 2010, section 259.73, is amended to read:
125.21 	259.73 REIMBURSEMENT OF NONRECURRING ADOPTION EXPENSES.
125.22 	The commissioner of human services shall provide reimbursement of up to $2,000 
125.23 	to the adoptive parent or parents for costs incurred in adopting a child with special 
125.24 	needs. The commissioner shall determine the child's eligibility for adoption expense 
125.25 	reimbursement under title IV-E of the Social Security Act, United States Code, title 42, 
125.26 	sections 670 to 676. To be reimbursed, costs must be reasonable, necessary, and directly 
125.27 	related to the legal adoption of the child. An individual may apply for reimbursement for 
125.28 	costs incurred in an adoption of a child with special needs under section 259A.70.

125.29 	Sec. 4. Minnesota Statutes 2010, section 260C.301, subdivision 1, is amended to read:
125.30 		Subdivision 1.Voluntary and involuntary. The juvenile court may upon petition, 
125.31 	terminate all rights of a parent to a child:
126.1 	(a) with the written consent of a parent who for good cause desires to terminate 
126.2 	parental rights; or
126.3 	(b) if it finds that one or more of the following conditions exist:
126.4 	(1) that the parent has abandoned the child;
126.5 	(2) that the parent has substantially, continuously, or repeatedly refused or neglected 
126.6 	to comply with the duties imposed upon that parent by the parent and child relationship, 
126.7 	including but not limited to providing the child with necessary food, clothing, shelter, 
126.8 	education, and other care and control necessary for the child's physical, mental, or 
126.9 	emotional health and development, if the parent is physically and financially able, and 
126.10 	either reasonable efforts by the social services agency have failed to correct the conditions 
126.11 	that formed the basis of the petition or reasonable efforts would be futile and therefore 
126.12 	unreasonable;
126.13 	(3) that a parent has been ordered to contribute to the support of the child or 
126.14 	financially aid in the child's birth and has continuously failed to do so without good cause. 
126.15 	This clause shall not be construed to state a grounds for termination of parental rights of a 
126.16 	noncustodial parent if that parent has not been ordered to or cannot financially contribute 
126.17 	to the support of the child or aid in the child's birth;
126.18 	(4) that a parent is palpably unfit to be a party to the parent and child relationship 
126.19 	because of a consistent pattern of specific conduct before the child or of specific conditions 
126.20 	directly relating to the parent and child relationship either of which are determined by 
126.21 	the court to be of a duration or nature that renders the parent unable, for the reasonably 
126.22 	foreseeable future, to care appropriately for the ongoing physical, mental, or emotional 
126.23 	needs of the child. It is presumed that a parent is palpably unfit to be a party to the parent 
126.24 	and child relationship upon a showing that the parent's parental rights to one or more other 
126.25 	children were involuntarily terminated or that the parent's custodial rights to another child 
126.26 	have been involuntarily transferred to a relative under section 260C.201, subdivision 11, 
126.27 	paragraph (e), clause (1), or a similar law of another jurisdiction;
126.28 	(5) that following the child's placement out of the home, reasonable efforts, under the 
126.29 	direction of the court, have failed to correct the conditions leading to the child's placement. 
126.30 	It is presumed that reasonable efforts under this clause have failed upon a showing that:
126.31 	(i) a child has resided out of the parental home under court order for a cumulative 
126.32 	period of 12 months within the preceding 22 months. In the case of a child under age eight 
126.33 	at the time the petition was filed alleging the child to be in need of protection or services, 
126.34 	the presumption arises when the child has resided out of the parental home under court 
126.35 	order for six months unless the parent has maintained regular contact with the child and 
126.36 	the parent is complying with the out-of-home placement plan;
127.1 	(ii) the court has approved the out-of-home placement plan required under section 
127.2 	260C.212 and filed with the court under section 260C.178;
127.3 	(iii) conditions leading to the out-of-home placement have not been corrected. It 
127.4 	is presumed that conditions leading to a child's out-of-home placement have not been 
127.5 	corrected upon a showing that the parent or parents have not substantially complied with 
127.6 	the court's orders and a reasonable case plan; and
127.7 	(iv) reasonable efforts have been made by the social services agency to rehabilitate 
127.8 	the parent and reunite the family.
127.9 	This clause does not prohibit the termination of parental rights prior to one year, or 
127.10 	in the case of a child under age eight, prior to six months after a child has been placed 
127.11 	out of the home.
127.12 	It is also presumed that reasonable efforts have failed under this clause upon a 
127.13 	showing that:
127.14 	(A) the parent has been diagnosed as chemically dependent by a professional 
127.15 	certified to make the diagnosis;
127.16 	(B) the parent has been required by a case plan to participate in a chemical 
127.17 	dependency treatment program;
127.18 	(C) the treatment programs offered to the parent were culturally, linguistically, 
127.19 	and clinically appropriate;
127.20 	(D) the parent has either failed two or more times to successfully complete a 
127.21 	treatment program or has refused at two or more separate meetings with a caseworker 
127.22 	to participate in a treatment program; and
127.23 	(E) the parent continues to abuse chemicals.
127.24 	(6) that a child has experienced egregious harm in the parent's care which is of a 
127.25 	nature, duration, or chronicity that indicates a lack of regard for the child's well-being, 
127.26 	such that a reasonable person would believe it contrary to the best interest of the child 
127.27 	or of any child to be in the parent's care;
127.28 	(7) that in the case of a child born to a mother who was not married to the child's 
127.29 	father when the child was conceived nor when the child was born the person is not entitled 
127.30 	to notice of an adoption hearing under section 259.49 and the person has not registered 
127.31 	with the fathers' adoption registry under section 259.52;
127.32 	(8) that the child is neglected and in foster care; or
127.33 	(9) that the parent has been convicted of a crime listed in section 260.012, paragraph 
127.34 	(g), clauses (1) to (3) (5).
128.1 	In an action involving an American Indian child, sections 260.751 to 260.835 and 
128.2 	the Indian Child Welfare Act, United States Code, title 25, sections 1901 to 1923, control 
128.3 	to the extent that the provisions of this section are inconsistent with those laws.

128.4 	Sec. 5. Minnesota Statutes 2010, section 260D.08, is amended to read:
128.5 	260D.08 ANNUAL REVIEW.
128.6 	(a) After the court conducts a permanency review hearing under section 260D.07, 
128.7 	the matter must be returned to the court for further review of the responsible social 
128.8 	services reasonable efforts to finalize the permanent plan for the child and the child's foster 
128.9 	care placement at least every 12 months while the child is in foster care. The court shall 
128.10 	give notice to the parent and child, age 12 or older, and the foster parents of the continued 
128.11 	review requirements under this section at the permanency review hearing.
128.12 	(b) Every 12 months, the court shall determine whether the agency made reasonable 
128.13 	efforts to finalize the permanency plan for the child, which means the exercise of due 
128.14 	diligence by the agency to:
128.15 	(1) ensure that the agreement for voluntary foster care is the most appropriate legal 
128.16 	arrangement to meet the child's safety, health, and best interests and to conduct a genuine 
128.17 	examination of whether there is another permanency disposition order under chapter 
128.18 	260C, including returning the child home, that would better serve the child's need for a 
128.19 	stable and permanent home;
128.20 	(2) engage and support the parent in continued involvement in planning and decision 
128.21 	making for the needs of the child;
128.22 	(3) strengthen the child's ties to the parent, relatives, and community;
128.23 	(4) implement the out-of-home placement plan required under section 260C.212, 
128.24 	subdivision 1, and ensure that the plan requires the provision of appropriate services to 
128.25 	address the physical health, mental health, and educational needs of the child; and
128.26 	(5) ensure appropriate planning for the child's safe, permanent, and independent 
128.27 	living arrangement after the child's 18th birthday.

128.28 	Sec. 6. [611.012] DISPOSITION OF CHILD OF PARENT ARRESTED.
128.29 	A peace officer who arrests a person accompanied by a child of the person may 
128.30 	release the child to any person designated by the parent unless it is necessary to remove 
128.31 	the child under section 260C.175 because the child is found in surroundings or conditions 
128.32 	which endanger the child's health or welfare or which the peace officer reasonably believes 
128.33 	will endanger the child's health or welfare. An officer releasing a child under this section 
128.34 	to a person designated by the parent has no civil or criminal liability for the child's release.

129.1 	Sec. 7. Minnesota Statutes 2010, section 626.556, subdivision 2, is amended to read:
129.2 		Subd. 2.Definitions. As used in this section, the following terms have the meanings 
129.3 	given them unless the specific content indicates otherwise:
129.4 	(a) "Family assessment" means a comprehensive assessment of child safety, risk 
129.5 	of subsequent child maltreatment, and family strengths and needs that is applied to a 
129.6 	child maltreatment report that does not allege substantial child endangerment. Family 
129.7 	assessment does not include a determination as to whether child maltreatment occurred 
129.8 	but does determine the need for services to address the safety of family members and the 
129.9 	risk of subsequent maltreatment.
129.10 	(b) "Investigation" means fact gathering related to the current safety of a child 
129.11 	and the risk of subsequent maltreatment that determines whether child maltreatment 
129.12 	occurred and whether child protective services are needed. An investigation must be used 
129.13 	when reports involve substantial child endangerment, and for reports of maltreatment in 
129.14 	facilities required to be licensed under chapter 245A or 245B; under sections 144.50 to 
129.15 	144.58 and 241.021; in a school as defined in sections 120A.05, subdivisions 9, 11, and 
129.16 	13, and 124D.10; or in a nonlicensed personal care provider association as defined in 
129.17 	sections 256B.04, subdivision 16, and 256B.0625, subdivision 19a.
129.18 	(c) "Substantial child endangerment" means a person responsible for a child's care, 
129.19 	and in the case of sexual abuse includes a person who has a significant relationship to the 
129.20 	child as defined in section 609.341, or a person in a position of authority as defined in 
129.21 	section 609.341, who by act or omission commits or attempts to commit an act against a 
129.22 	child under their care that constitutes any of the following:
129.23 	(1) egregious harm as defined in section 260C.007, subdivision 14;
129.24 	(2) sexual abuse as defined in paragraph (d);
129.25 	(3) abandonment under section 260C.301, subdivision 2;
129.26 	(4) neglect as defined in paragraph (f), clause (2), that substantially endangers the 
129.27 	child's physical or mental health, including a growth delay, which may be referred to as 
129.28 	failure to thrive, that has been diagnosed by a physician and is due to parental neglect;
129.29 	(5) murder in the first, second, or third degree under section 609.185, 609.19, or 
129.30 	609.195;
129.31 	(6) manslaughter in the first or second degree under section 609.20 or 609.205;
129.32 	(7) assault in the first, second, or third degree under section 609.221, 609.222, or 
129.33 	609.223;
129.34 	(8) solicitation, inducement, and promotion of prostitution under section 609.322;
129.35 	(9) criminal sexual conduct under sections 609.342 to 609.3451;
129.36 	(10) solicitation of children to engage in sexual conduct under section 609.352;
130.1 	(11) malicious punishment or neglect or endangerment of a child under section 
130.2 	609.377 or 609.378;
130.3 	(12) use of a minor in sexual performance under section 617.246; or
130.4 	(13) parental behavior, status, or condition which mandates that the county attorney 
130.5 	file a termination of parental rights petition under section 260C.301, subdivision 3, 
130.6 	paragraph (a).
130.7 	(d) "Sexual abuse" means the subjection of a child by a person responsible for the 
130.8 	child's care, by a person who has a significant relationship to the child, as defined in 
130.9 	section 609.341, or by a person in a position of authority, as defined in section 609.341, 
130.10 	subdivision 10, to any act which constitutes a violation of section 609.342 (criminal sexual 
130.11 	conduct in the first degree), 609.343 (criminal sexual conduct in the second degree), 
130.12 	609.344 (criminal sexual conduct in the third degree), 609.345 (criminal sexual conduct 
130.13 	in the fourth degree), or 609.3451 (criminal sexual conduct in the fifth degree). Sexual 
130.14 	abuse also includes any act which involves a minor which constitutes a violation of 
130.15 	prostitution offenses under sections 609.321 to 609.324 or 617.246. Sexual abuse includes 
130.16 	threatened sexual abuse which includes the status of a parent or household member 
130.17 	who has committed a violation which requires registration as an offender under section 
130.18 	243.166, subdivision 1b, paragraph (a) or (b), or required registration under section 
130.19 	243.166, subdivision 1b, paragraph (a) or (b).
130.20 	(e) "Person responsible for the child's care" means (1) an individual functioning 
130.21 	within the family unit and having responsibilities for the care of the child such as a 
130.22 	parent, guardian, or other person having similar care responsibilities, or (2) an individual 
130.23 	functioning outside the family unit and having responsibilities for the care of the child 
130.24 	such as a teacher, school administrator, other school employees or agents, or other lawful 
130.25 	custodian of a child having either full-time or short-term care responsibilities including, 
130.26 	but not limited to, day care, babysitting whether paid or unpaid, counseling, teaching, 
130.27 	and coaching.
130.28 	(f) "Neglect" means the commission or omission of any of the acts specified under 
130.29 	clauses (1) to (9), other than by accidental means:
130.30 	(1) failure by a person responsible for a child's care to supply a child with necessary 
130.31 	food, clothing, shelter, health, medical, or other care required for the child's physical or 
130.32 	mental health when reasonably able to do so;
130.33 	(2) failure to protect a child from conditions or actions that seriously endanger the 
130.34 	child's physical or mental health when reasonably able to do so, including a growth delay, 
130.35 	which may be referred to as a failure to thrive, that has been diagnosed by a physician and 
130.36 	is due to parental neglect;
131.1 	(3) failure to provide for necessary supervision or child care arrangements 
131.2 	appropriate for a child after considering factors as the child's age, mental ability, physical 
131.3 	condition, length of absence, or environment, when the child is unable to care for the 
131.4 	child's own basic needs or safety, or the basic needs or safety of another child in their care;
131.5 	(4) failure to ensure that the child is educated as defined in sections 120A.22 and 
131.6 	260C.163, subdivision 11, which does not include a parent's refusal to provide the parent's 
131.7 	child with sympathomimetic medications, consistent with section 125A.091, subdivision 5;
131.8 	(5) nothing in this section shall be construed to mean that a child is neglected solely 
131.9 	because the child's parent, guardian, or other person responsible for the child's care in 
131.10 	good faith selects and depends upon spiritual means or prayer for treatment or care of 
131.11 	disease or remedial care of the child in lieu of medical care; except that a parent, guardian, 
131.12 	or caretaker, or a person mandated to report pursuant to subdivision 3, has a duty to report 
131.13 	if a lack of medical care may cause serious danger to the child's health. This section does 
131.14 	not impose upon persons, not otherwise legally responsible for providing a child with 
131.15 	necessary food, clothing, shelter, education, or medical care, a duty to provide that care;
131.16 	(6) prenatal exposure to a controlled substance, as defined in section 253B.02, 
131.17 	subdivision 2, used by the mother for a nonmedical purpose, as evidenced by withdrawal 
131.18 	symptoms in the child at birth, results of a toxicology test performed on the mother at 
131.19 	delivery or the child at birth, or medical effects or developmental delays during the child's 
131.20 	first year of life that medically indicate prenatal exposure to a controlled substance, or the 
131.21 	presence of a fetal alcohol spectrum disorder;
131.22 	(7) "medical neglect" as defined in section 260C.007, subdivision 6, clause (5);
131.23 	(8) chronic and severe use of alcohol or a controlled substance by a parent or 
131.24 	person responsible for the care of the child that adversely affects the child's basic needs 
131.25 	and safety; or
131.26 	(9) emotional harm from a pattern of behavior which contributes to impaired 
131.27 	emotional functioning of the child which may be demonstrated by a substantial and 
131.28 	observable effect in the child's behavior, emotional response, or cognition that is not 
131.29 	within the normal range for the child's age and stage of development, with due regard to 
131.30 	the child's culture.
131.31 	(g) "Physical abuse" means any physical injury, mental injury, or threatened injury, 
131.32 	inflicted by a person responsible for the child's care on a child other than by accidental 
131.33 	means, or any physical or mental injury that cannot reasonably be explained by the child's 
131.34 	history of injuries, or any aversive or deprivation procedures, or regulated interventions, 
131.35 	that have not been authorized under section 121A.67 or 245.825.
132.1 	Abuse does not include reasonable and moderate physical discipline of a child 
132.2 	administered by a parent or legal guardian which does not result in an injury. Abuse does 
132.3 	not include the use of reasonable force by a teacher, principal, or school employee as 
132.4 	allowed by section 121A.582. Actions which are not reasonable and moderate include, 
132.5 	but are not limited to, any of the following that are done in anger or without regard to the 
132.6 	safety of the child:
132.7 	(1) throwing, kicking, burning, biting, or cutting a child;
132.8 	(2) striking a child with a closed fist;
132.9 	(3) shaking a child under age three;
132.10 	(4) striking or other actions which result in any nonaccidental injury to a child 
132.11 	under 18 months of age;
132.12 	(5) unreasonable interference with a child's breathing;
132.13 	(6) threatening a child with a weapon, as defined in section 609.02, subdivision 6;
132.14 	(7) striking a child under age one on the face or head;
132.15 	(8) purposely giving a child poison, alcohol, or dangerous, harmful, or controlled 
132.16 	substances which were not prescribed for the child by a practitioner, in order to control or 
132.17 	punish the child; or other substances that substantially affect the child's behavior, motor 
132.18 	coordination, or judgment or that results in sickness or internal injury, or subjects the 
132.19 	child to medical procedures that would be unnecessary if the child were not exposed 
132.20 	to the substances;
132.21 	(9) unreasonable physical confinement or restraint not permitted under section 
132.22 	609.379, including but not limited to tying, caging, or chaining; or
132.23 	(10) in a school facility or school zone, an act by a person responsible for the child's 
132.24 	care that is a violation under section 121A.58.
132.25 	(h) "Report" means any report received by the local welfare agency, police 
132.26 	department, county sheriff, or agency responsible for assessing or investigating 
132.27 	maltreatment pursuant to this section.
132.28 	(i) "Facility" means:
132.29 	(1) a licensed or unlicensed day care facility, residential facility, agency, hospital, 
132.30 	sanitarium, or other facility or institution required to be licensed under sections 144.50 to 
132.31 	144.58, 241.021, or 245A.01 to 245A.16, or chapter 245B;
132.32 	(2) a school as defined in sections 120A.05, subdivisions 9, 11, and 13; and 
132.33 	124D.10; or
132.34 	(3) a nonlicensed personal care provider organization as defined in sections 256B.04, 
132.35 	subdivision 16, and 256B.0625, subdivision 19a.
132.36 	(j) "Operator" means an operator or agency as defined in section 245A.02.
133.1 	(k) "Commissioner" means the commissioner of human services.
133.2 	(l) "Practice of social services," for the purposes of subdivision 3, includes but is 
133.3 	not limited to employee assistance counseling and the provision of guardian ad litem and 
133.4 	parenting time expeditor services.
133.5 	(m) "Mental injury" means an injury to the psychological capacity or emotional 
133.6 	stability of a child as evidenced by an observable or substantial impairment in the child's 
133.7 	ability to function within a normal range of performance and behavior with due regard to 
133.8 	the child's culture.
133.9 	(n) "Threatened injury" means a statement, overt act, condition, or status that 
133.10 	represents a substantial risk of physical or sexual abuse or mental injury. Threatened 
133.11 	injury includes, but is not limited to, exposing a child to a person responsible for the 
133.12 	child's care, as defined in paragraph (e), clause (1), who has:
133.13 	(1) subjected a child to, or failed to protect a child from, an overt act or condition 
133.14 	that constitutes egregious harm, as defined in section 260C.007, subdivision 14, or a 
133.15 	similar law of another jurisdiction;
133.16 	(2) been found to be palpably unfit under section 260C.301, paragraph (b), clause 
133.17 	(4), or a similar law of another jurisdiction;
133.18 	(3) committed an act that has resulted in an involuntary termination of parental rights 
133.19 	under section 260C.301, or a similar law of another jurisdiction; or
133.20 	(4) committed an act that has resulted in the involuntary transfer of permanent legal 
133.21 	and physical custody of a child to a relative under section 260C.201, subdivision 11, 
133.22 	paragraph (d), clause (1), or a similar law of another jurisdiction.
133.23 	(o) Persons who conduct assessments or investigations under this section shall take 
133.24 	into account accepted child-rearing practices of the culture in which a child participates 
133.25 	and accepted teacher discipline practices, which are not injurious to the child's health, 
133.26 	welfare, and safety.
133.27 	(p) "Accidental" means a sudden, not reasonably foreseeable, and unexpected 
133.28 	occurrence or event which:
133.29 	(1) is not likely to occur and could not have been prevented by exercise of due 
133.30 	care; and
133.31 	(2) if occurring while a child is receiving services from a facility, happens when the 
133.32 	facility and the employee or person providing services in the facility are in compliance 
133.33 	with the laws and rules relevant to the occurrence or event.
133.34 	(q) "Nonmaltreatment mistake" means:
133.35 	(1) at the time of the incident, the individual was performing duties identified in the 
133.36 	center's child care program plan required under Minnesota Rules, part 9503.0045;
134.1 	(2) the individual has not been determined responsible for a similar incident that 
134.2 	resulted in a finding of maltreatment for at least seven years;
134.3 	(3) the individual has not been determined to have committed a similar 
134.4 	nonmaltreatment mistake under this paragraph for at least four years;
134.5 	(4) any injury to a child resulting from the incident, if treated, is treated only with 
134.6 	remedies that are available over the counter, whether ordered by a medical professional or 
134.7 	not; and
134.8 	(5) except for the period when the incident occurred, the facility and the individual 
134.9 	providing services were both in compliance with all licensing requirements relevant to the 
134.10 	incident.
134.11 	This definition only applies to child care centers licensed under Minnesota 
134.12 	Rules, chapter 9503. If clauses (1) to (5) apply, rather than making a determination of 
134.13 	substantiated maltreatment by the individual, the commissioner of human services shall 
134.14 	determine that a nonmaltreatment mistake was made by the individual.

134.15 	Sec. 8. Minnesota Statutes 2010, section 626.556, subdivision 10, is amended to read:
134.16 		Subd. 10.Duties of local welfare agency and local law enforcement agency upon 
134.17 	receipt of report. (a) Upon receipt of a report, the local welfare agency shall determine 
134.18 	whether to conduct a family assessment or an investigation as appropriate to prevent or 
134.19 	provide a remedy for child maltreatment. The local welfare agency:
134.20 	(1) shall conduct an investigation on reports involving substantial child 
134.21 	endangerment;
134.22 	(2) shall begin an immediate investigation if, at any time when it is using a family 
134.23 	assessment response, it determines that there is reason to believe that substantial child 
134.24 	endangerment or a serious threat to the child's safety exists;
134.25 	(3) may conduct a family assessment for reports that do not allege substantial child 
134.26 	endangerment. In determining that a family assessment is appropriate, the local welfare 
134.27 	agency may consider issues of child safety, parental cooperation, and the need for an 
134.28 	immediate response; and
134.29 	(4) may conduct a family assessment on a report that was initially screened and 
134.30 	assigned for an investigation. In determining that a complete investigation is not required, 
134.31 	the local welfare agency must document the reason for terminating the investigation and 
134.32 	notify the local law enforcement agency if the local law enforcement agency is conducting 
134.33 	a joint investigation.
134.34 	If the report alleges neglect, physical abuse, or sexual abuse by a parent, guardian, 
134.35 	or individual functioning within the family unit as a person responsible for the child's 
135.1 	care, or sexual abuse by a person with a significant relationship to the child when that 
135.2 	person resides in the child's household or by a sibling, the local welfare agency shall 
135.3 	immediately conduct a family assessment or investigation as identified in clauses (1) to 
135.4 	(4). In conducting a family assessment or investigation, the local welfare agency shall 
135.5 	gather information on the existence of substance abuse and domestic violence and offer 
135.6 	services for purposes of preventing future child maltreatment, safeguarding and enhancing 
135.7 	the welfare of the abused or neglected minor, and supporting and preserving family 
135.8 	life whenever possible. If the report alleges a violation of a criminal statute involving 
135.9 	sexual abuse, physical abuse, or neglect or endangerment, under section 609.378, the 
135.10 	local law enforcement agency and local welfare agency shall coordinate the planning and 
135.11 	execution of their respective investigation and assessment efforts to avoid a duplication of 
135.12 	fact-finding efforts and multiple interviews. Each agency shall prepare a separate report of 
135.13 	the results of its investigation. In cases of alleged child maltreatment resulting in death, 
135.14 	the local agency may rely on the fact-finding efforts of a law enforcement investigation 
135.15 	to make a determination of whether or not maltreatment occurred. When necessary the 
135.16 	local welfare agency shall seek authority to remove the child from the custody of a parent, 
135.17 	guardian, or adult with whom the child is living. In performing any of these duties, the 
135.18 	local welfare agency shall maintain appropriate records.
135.19 	If the family assessment or investigation indicates there is a potential for abuse of 
135.20 	alcohol or other drugs by the parent, guardian, or person responsible for the child's care, 
135.21 	the local welfare agency shall conduct a chemical use assessment pursuant to Minnesota 
135.22 	Rules, part 9530.6615.
135.23 	(b) When a local agency receives a report or otherwise has information indicating 
135.24 	that a child who is a client, as defined in section 245.91, has been the subject of physical 
135.25 	abuse, sexual abuse, or neglect at an agency, facility, or program as defined in section 
135.26 	245.91, it shall, in addition to its other duties under this section, immediately inform the 
135.27 	ombudsman established under sections 245.91 to 245.97. The commissioner of education 
135.28 	shall inform the ombudsman established under sections 245.91 to 245.97 of reports 
135.29 	regarding a child defined as a client in section 245.91 that maltreatment occurred at a 
135.30 	school as defined in sections 120A.05, subdivisions 9, 11, and 13, and 124D.10.
135.31 	(c) Authority of the local welfare agency responsible for assessing or investigating 
135.32 	the child abuse or neglect report, the agency responsible for assessing or investigating 
135.33 	the report, and of the local law enforcement agency for investigating the alleged abuse or 
135.34 	neglect includes, but is not limited to, authority to interview, without parental consent, 
135.35 	the alleged victim and any other minors who currently reside with or who have resided 
135.36 	with the alleged offender. The interview may take place at school or at any facility or 
136.1 	other place where the alleged victim or other minors might be found or the child may be 
136.2 	transported to, and the interview conducted at, a place appropriate for the interview of a 
136.3 	child designated by the local welfare agency or law enforcement agency. The interview 
136.4 	may take place outside the presence of the alleged offender or parent, legal custodian, 
136.5 	guardian, or school official. For family assessments, it is the preferred practice to request 
136.6 	a parent or guardian's permission to interview the child prior to conducting the child 
136.7 	interview, unless doing so would compromise the safety assessment. Except as provided in 
136.8 	this paragraph, the parent, legal custodian, or guardian shall be notified by the responsible 
136.9 	local welfare or law enforcement agency no later than the conclusion of the investigation 
136.10 	or assessment that this interview has occurred. Notwithstanding rule 32 of the Minnesota 
136.11 	Rules of Procedure for Juvenile Courts, the juvenile court may, after hearing on an ex parte 
136.12 	motion by the local welfare agency, order that, where reasonable cause exists, the agency 
136.13 	withhold notification of this interview from the parent, legal custodian, or guardian. If the 
136.14 	interview took place or is to take place on school property, the order shall specify that 
136.15 	school officials may not disclose to the parent, legal custodian, or guardian the contents 
136.16 	of the notification of intent to interview the child on school property, as provided under 
136.17 	this paragraph, and any other related information regarding the interview that may be a 
136.18 	part of the child's school record. A copy of the order shall be sent by the local welfare or 
136.19 	law enforcement agency to the appropriate school official.
136.20 	(d) When the local welfare, local law enforcement agency, or the agency responsible 
136.21 	for assessing or investigating a report of maltreatment determines that an interview should 
136.22 	take place on school property, written notification of intent to interview the child on school 
136.23 	property must be received by school officials prior to the interview. The notification 
136.24 	shall include the name of the child to be interviewed, the purpose of the interview, and 
136.25 	a reference to the statutory authority to conduct an interview on school property. For 
136.26 	interviews conducted by the local welfare agency, the notification shall be signed by the 
136.27 	chair of the local social services agency or the chair's designee. The notification shall be 
136.28 	private data on individuals subject to the provisions of this paragraph. School officials 
136.29 	may not disclose to the parent, legal custodian, or guardian the contents of the notification 
136.30 	or any other related information regarding the interview until notified in writing by the 
136.31 	local welfare or law enforcement agency that the investigation or assessment has been 
136.32 	concluded, unless a school employee or agent is alleged to have maltreated the child. 
136.33 	Until that time, the local welfare or law enforcement agency or the agency responsible 
136.34 	for assessing or investigating a report of maltreatment shall be solely responsible for any 
136.35 	disclosures regarding the nature of the assessment or investigation.
137.1 	Except where the alleged offender is believed to be a school official or employee, 
137.2 	the time and place, and manner of the interview on school premises shall be within the 
137.3 	discretion of school officials, but the local welfare or law enforcement agency shall have 
137.4 	the exclusive authority to determine who may attend the interview. The conditions as to 
137.5 	time, place, and manner of the interview set by the school officials shall be reasonable and 
137.6 	the interview shall be conducted not more than 24 hours after the receipt of the notification 
137.7 	unless another time is considered necessary by agreement between the school officials and 
137.8 	the local welfare or law enforcement agency. Where the school fails to comply with the 
137.9 	provisions of this paragraph, the juvenile court may order the school to comply. Every 
137.10 	effort must be made to reduce the disruption of the educational program of the child, other 
137.11 	students, or school staff when an interview is conducted on school premises.
137.12 	(e) Where the alleged offender or a person responsible for the care of the alleged 
137.13 	victim or other minor prevents access to the victim or other minor by the local welfare 
137.14 	agency, the juvenile court may order the parents, legal custodian, or guardian to produce 
137.15 	the alleged victim or other minor for questioning by the local welfare agency or the local 
137.16 	law enforcement agency outside the presence of the alleged offender or any person 
137.17 	responsible for the child's care at reasonable places and times as specified by court order.
137.18 	(f) Before making an order under paragraph (e), the court shall issue an order to 
137.19 	show cause, either upon its own motion or upon a verified petition, specifying the basis for 
137.20 	the requested interviews and fixing the time and place of the hearing. The order to show 
137.21 	cause shall be served personally and shall be heard in the same manner as provided in 
137.22 	other cases in the juvenile court. The court shall consider the need for appointment of a 
137.23 	guardian ad litem to protect the best interests of the child. If appointed, the guardian ad 
137.24 	litem shall be present at the hearing on the order to show cause.
137.25 	(g) The commissioner of human services, the ombudsman for mental health and 
137.26 	developmental disabilities, the local welfare agencies responsible for investigating reports, 
137.27 	the commissioner of education, and the local law enforcement agencies have the right to 
137.28 	enter facilities as defined in subdivision 2 and to inspect and copy the facility's records, 
137.29 	including medical records, as part of the investigation. Notwithstanding the provisions of 
137.30 	chapter 13, they also have the right to inform the facility under investigation that they are 
137.31 	conducting an investigation, to disclose to the facility the names of the individuals under 
137.32 	investigation for abusing or neglecting a child, and to provide the facility with a copy of 
137.33 	the report and the investigative findings.
137.34 	(h) The local welfare agency responsible for conducting a family assessment or 
137.35 	investigation shall collect available and relevant information to determine child safety, 
137.36 	risk of subsequent child maltreatment, and family strengths and needs and share not public 
138.1 	information with an Indian's tribal social services agency without violating any law of the 
138.2 	state that may otherwise impose duties of confidentiality on the local welfare agency in 
138.3 	order to implement the tribal state agreement. The local welfare agency or the agency 
138.4 	responsible for investigating the report shall collect available and relevant information 
138.5 	to ascertain whether maltreatment occurred and whether protective services are needed. 
138.6 	Information collected includes, when relevant, information with regard to the person 
138.7 	reporting the alleged maltreatment, including the nature of the reporter's relationship to the 
138.8 	child and to the alleged offender, and the basis of the reporter's knowledge for the report; 
138.9 	the child allegedly being maltreated; the alleged offender; the child's caretaker; and other 
138.10 	collateral sources having relevant information related to the alleged maltreatment. The 
138.11 	local welfare agency or the agency responsible for assessing or investigating the report 
138.12 	may make a determination of no maltreatment early in an assessment investigation, and 
138.13 	close the case and retain immunity, if the collected information shows no basis for a 
138.14 	full assessment or investigation.
138.15 	Information relevant to the assessment or investigation must be asked for, and 
138.16 	may include:
138.17 	(1) the child's sex and age, prior reports of maltreatment, information relating 
138.18 	to developmental functioning, credibility of the child's statement, and whether the 
138.19 	information provided under this clause is consistent with other information collected 
138.20 	during the course of the assessment or investigation;
138.21 	(2) the alleged offender's age, a record check for prior reports of maltreatment, and 
138.22 	criminal charges and convictions. The local welfare agency or the agency responsible for 
138.23 	assessing or investigating the report must provide the alleged offender with an opportunity 
138.24 	to make a statement. The alleged offender may submit supporting documentation relevant 
138.25 	to the assessment or investigation;
138.26 	(3) collateral source information regarding the alleged maltreatment and care of the 
138.27 	child. Collateral information includes, when relevant: (i) a medical examination of the 
138.28 	child; (ii) prior medical records relating to the alleged maltreatment or the care of the 
138.29 	child maintained by any facility, clinic, or health care professional and an interview with 
138.30 	the treating professionals; and (iii) interviews with the child's caretakers, including the 
138.31 	child's parent, guardian, foster parent, child care provider, teachers, counselors, family 
138.32 	members, relatives, and other persons who may have knowledge regarding the alleged 
138.33 	maltreatment and the care of the child; and
138.34 	(4) information on the existence of domestic abuse and violence in the home of 
138.35 	the child, and substance abuse.
139.1 	Nothing in this paragraph precludes the local welfare agency, the local law 
139.2 	enforcement agency, or the agency responsible for assessing or investigating the report 
139.3 	from collecting other relevant information necessary to conduct the assessment or 
139.4 	investigation. Notwithstanding sections 13.384 or 144.291 to 144.298, the local welfare 
139.5 	agency has access to medical data and records for purposes of clause (3). Notwithstanding 
139.6 	the data's classification in the possession of any other agency, data acquired by the 
139.7 	local welfare agency or the agency responsible for assessing or investigating the report 
139.8 	during the course of the assessment or investigation are private data on individuals and 
139.9 	must be maintained in accordance with subdivision 11. Data of the commissioner of 
139.10 	education collected or maintained during and for the purpose of an investigation of 
139.11 	alleged maltreatment in a school are governed by this section, notwithstanding the data's 
139.12 	classification as educational, licensing, or personnel data under chapter 13.
139.13 	In conducting an assessment or investigation involving a school facility as defined 
139.14 	in subdivision 2, paragraph (i), the commissioner of education shall collect investigative 
139.15 	reports and data that are relevant to a report of maltreatment and are from local law 
139.16 	enforcement and the school facility.
139.17 	(i) Upon receipt of a report, the local welfare agency shall conduct a face-to-face 
139.18 	contact with the child reported to be maltreated and with the child's primary caregiver 
139.19 	sufficient to complete a safety assessment and ensure the immediate safety of the child. 
139.20 	The face-to-face contact with the child and primary caregiver shall occur immediately 
139.21 	if substantial child endangerment is alleged and within five calendar days for all other 
139.22 	reports. If the alleged offender was not already interviewed as the primary caregiver, the 
139.23 	local welfare agency shall also conduct a face-to-face interview with the alleged offender 
139.24 	in the early stages of the assessment or investigation. At the initial contact, the local child 
139.25 	welfare agency or the agency responsible for assessing or investigating the report must 
139.26 	inform the alleged offender of the complaints or allegations made against the individual in 
139.27 	a manner consistent with laws protecting the rights of the person who made the report. 
139.28 	The interview with the alleged offender may be postponed if it would jeopardize an active 
139.29 	law enforcement investigation.
139.30 	(j) When conducting an investigation, the local welfare agency shall use a question 
139.31 	and answer interviewing format with questioning as nondirective as possible to elicit 
139.32 	spontaneous responses. For investigations only, the following interviewing methods and 
139.33 	procedures must be used whenever possible when collecting information:
139.34 	(1) audio recordings of all interviews with witnesses and collateral sources; and
139.35 	(2) in cases of alleged sexual abuse, audio-video recordings of each interview with 
139.36 	the alleged victim and child witnesses.
140.1 	(k) In conducting an assessment or investigation involving a school facility as 
140.2 	defined in subdivision 2, paragraph (i), the commissioner of education shall collect 
140.3 	available and relevant information and use the procedures in paragraphs (i), (k), and 
140.4 	subdivision 3d, except that the requirement for face-to-face observation of the child 
140.5 	and face-to-face interview of the alleged offender is to occur in the initial stages of the 
140.6 	assessment or investigation provided that the commissioner may also base the assessment 
140.7 	or investigation on investigative reports and data received from the school facility and 
140.8 	local law enforcement, to the extent those investigations satisfy the requirements of 
140.9 	paragraphs (i) and (k), and subdivision 3d.

140.10 	Sec. 9. Minnesota Statutes 2010, section 626.556, subdivision 10e, is amended to read:
140.11 		Subd. 10e.Determinations. (a) The local welfare agency shall conclude the family 
140.12 	assessment or the investigation within 45 days of the receipt of a report. The conclusion of 
140.13 	the assessment or investigation may be extended to permit the completion of a criminal 
140.14 	investigation or the receipt of expert information requested within 45 days of the receipt 
140.15 	of the report.
140.16 	(b) After conducting a family assessment, the local welfare agency shall determine 
140.17 	whether services are needed to address the safety of the child and other family members 
140.18 	and the risk of subsequent maltreatment.
140.19 	(c) After conducting an investigation, the local welfare agency shall make two 
140.20 	determinations: first, whether maltreatment has occurred; and, second, whether child 
140.21 	protective services are needed. No determination of maltreatment shall be made when the 
140.22 	alleged perpetrator is a child under the age of ten.
140.23 	(d) If the commissioner of education conducts an assessment or investigation, 
140.24 	the commissioner shall determine whether maltreatment occurred and what corrective 
140.25 	or protective action was taken by the school facility. If a determination is made that 
140.26 	maltreatment has occurred, the commissioner shall report to the employer, the school 
140.27 	board, and any appropriate licensing entity the determination that maltreatment occurred 
140.28 	and what corrective or protective action was taken by the school facility. In all other cases, 
140.29 	the commissioner shall inform the school board or employer that a report was received, 
140.30 	the subject of the report, the date of the initial report, the category of maltreatment alleged 
140.31 	as defined in paragraph (f), the fact that maltreatment was not determined, and a summary 
140.32 	of the specific reasons for the determination.
140.33 	(e) When maltreatment is determined in an investigation involving a facility, 
140.34 	the investigating agency shall also determine whether the facility or individual was 
140.35 	responsible, or whether both the facility and the individual were responsible for the 
141.1 	maltreatment using the mitigating factors in paragraph (i). Determinations under this 
141.2 	subdivision must be made based on a preponderance of the evidence and are private data 
141.3 	on individuals or nonpublic data as maintained by the commissioner of education.
141.4 	(f) For the purposes of this subdivision, "maltreatment" means any of the following 
141.5 	acts or omissions:
141.6 	(1) physical abuse as defined in subdivision 2, paragraph (g);
141.7 	(2) neglect as defined in subdivision 2, paragraph (f);
141.8 	(3) sexual abuse as defined in subdivision 2, paragraph (d);
141.9 	(4) mental injury as defined in subdivision 2, paragraph (m); or
141.10 	(5) maltreatment of a child in a facility as defined in subdivision 2, paragraph (i).
141.11 	(g) For the purposes of this subdivision, a determination that child protective 
141.12 	services are needed means that the local welfare agency has documented conditions 
141.13 	during the assessment or investigation sufficient to cause a child protection worker, as 
141.14 	defined in section 626.559, subdivision 1, to conclude that a child is at significant risk of 
141.15 	maltreatment if protective intervention is not provided and that the individuals responsible 
141.16 	for the child's care have not taken or are not likely to take actions to protect the child 
141.17 	from maltreatment or risk of maltreatment.
141.18 	(h) This subdivision does not mean that maltreatment has occurred solely because 
141.19 	the child's parent, guardian, or other person responsible for the child's care in good faith 
141.20 	selects and depends upon spiritual means or prayer for treatment or care of disease 
141.21 	or remedial care of the child, in lieu of medical care. However, if lack of medical care 
141.22 	may result in serious danger to the child's health, the local welfare agency may ensure 
141.23 	that necessary medical services are provided to the child.
141.24 	(i) When determining whether the facility or individual is the responsible party, or 
141.25 	whether both the facility and the individual are responsible for determined maltreatment in 
141.26 	a facility, the investigating agency shall consider at least the following mitigating factors:
141.27 	(1) whether the actions of the facility or the individual caregivers were according to, 
141.28 	and followed the terms of, an erroneous physician order, prescription, individual care plan, 
141.29 	or directive; however, this is not a mitigating factor when the facility or caregiver was 
141.30 	responsible for the issuance of the erroneous order, prescription, individual care plan, or 
141.31 	directive or knew or should have known of the errors and took no reasonable measures to 
141.32 	correct the defect before administering care;
141.33 	(2) comparative responsibility between the facility, other caregivers, and 
141.34 	requirements placed upon an employee, including the facility's compliance with related 
141.35 	regulatory standards and the adequacy of facility policies and procedures, facility training, 
142.1 	an individual's participation in the training, the caregiver's supervision, and facility staffing 
142.2 	levels and the scope of the individual employee's authority and discretion; and
142.3 	(3) whether the facility or individual followed professional standards in exercising 
142.4 	professional judgment.
142.5 	The evaluation of the facility's responsibility under clause (2) must not be based on the 
142.6 	completeness of the risk assessment or risk reduction plan required under section 245A.66, 
142.7 	but must be based on the facility's compliance with the regulatory standards for policies 
142.8 	and procedures, training, and supervision as cited in Minnesota Statutes and Minnesota 
142.9 	Rules.
142.10 	(j) Notwithstanding paragraph (i), when maltreatment is determined to have been 
142.11 	committed by an individual who is also the facility license holder, both the individual and 
142.12 	the facility must be determined responsible for the maltreatment, and both the background 
142.13 	study disqualification standards under section 245C.15, subdivision 4, and the licensing 
142.14 	actions under sections 245A.06 or 245A.07 apply.
142.15 	(k) Individual counties may implement more detailed definitions or criteria that 
142.16 	indicate which allegations to investigate, as long as a county's policies are consistent 
142.17 	with the definitions in the statutes and rules and are approved by the county board. Each 
142.18 	local welfare agency shall periodically inform mandated reporters under subdivision 3 
142.19 	who work in the county of the definitions of maltreatment in the statutes and rules and any 
142.20 	additional definitions or criteria that have been approved by the county board.

142.21 	Sec. 10. Minnesota Statutes 2010, section 626.556, subdivision 10f, is amended to read:
142.22 		Subd. 10f.Notice of determinations. Within ten working days of the conclusion 
142.23 	of a family assessment, the local welfare agency shall notify the parent or guardian 
142.24 	of the child of the need for services to address child safety concerns or significant risk 
142.25 	of subsequent child maltreatment. The local welfare agency and the family may also 
142.26 	jointly agree that family support and family preservation services are needed. Within ten 
142.27 	working days of the conclusion of an investigation, the local welfare agency or agency 
142.28 	responsible for assessing or investigating the report shall notify the parent or guardian 
142.29 	of the child, the person determined to be maltreating the child, and if applicable, the 
142.30 	director of the facility, of the determination and a summary of the specific reasons for 
142.31 	the determination. When the investigation involves a child foster care setting that is 
142.32 	monitored by a private licensing agency under section 245A.16, the local welfare agency 
142.33 	responsible for assessing or investigating the report shall notify the private licensing 
142.34 	agency of the determination and shall provide a summary of the specific reasons for 
142.35 	the determination. The notice to the private licensing agency must include identifying 
143.1 	private data, but not the identity of the reporter of maltreatment. The notice must also 
143.2 	include a certification that the information collection procedures under subdivision 10, 
143.3 	paragraphs (h), (i), and (j), were followed and a notice of the right of a data subject to 
143.4 	obtain access to other private data on the subject collected, created, or maintained under 
143.5 	this section. In addition, the notice shall include the length of time that the records will be 
143.6 	kept under subdivision 11c. The investigating agency shall notify the parent or guardian 
143.7 	of the child who is the subject of the report, and any person or facility determined to 
143.8 	have maltreated a child, of their appeal or review rights under this section or section 
143.9 	256.022. The notice must also state that a finding of maltreatment may result in denial of a 
143.10 	license application or background study disqualification under chapter 245C related to 
143.11 	employment or services that are licensed by the Department of Human Services under 
143.12 	chapter 245A, the Department of Health under chapter 144 or 144A, the Department of 
143.13 	Corrections under section 241.021, and from providing services related to an unlicensed 
143.14 	personal care provider organization under chapter 256B.

143.15 	Sec. 11. Minnesota Statutes 2010, section 626.556, subdivision 10i, is amended to read:
143.16 		Subd. 10i.Administrative reconsideration; review panel. (a) Administrative 
143.17 	reconsideration is not applicable in family assessments since no determination concerning 
143.18 	maltreatment is made. For investigations, except as provided under paragraph (e), an 
143.19 	individual or facility that the commissioner of human services, a local social service 
143.20 	agency, or the commissioner of education determines has maltreated a child, an interested 
143.21 	person acting on behalf of the child, regardless of the determination, who contests 
143.22 	the investigating agency's final determination regarding maltreatment, may request the 
143.23 	investigating agency to reconsider its final determination regarding maltreatment. The 
143.24 	request for reconsideration must be submitted in writing to the investigating agency within 
143.25 	15 calendar days after receipt of notice of the final determination regarding maltreatment 
143.26 	or, if the request is made by an interested person who is not entitled to notice, within 
143.27 	15 days after receipt of the notice by the parent or guardian of the child. If mailed, the 
143.28 	request for reconsideration must be postmarked and sent to the investigating agency 
143.29 	within 15 calendar days of the individual's or facility's receipt of the final determination. If 
143.30 	the request for reconsideration is made by personal service, it must be received by the 
143.31 	investigating agency within 15 calendar days after the individual's or facility's receipt of the 
143.32 	final determination. Effective January 1, 2002, an individual who was determined to have 
143.33 	maltreated a child under this section and who was disqualified on the basis of serious or 
143.34 	recurring maltreatment under sections 245C.14 and 245C.15, may request reconsideration 
143.35 	of the maltreatment determination and the disqualification. The request for reconsideration 
144.1 	of the maltreatment determination and the disqualification must be submitted within 30 
144.2 	calendar days of the individual's receipt of the notice of disqualification under sections 
144.3 	245C.16 and 245C.17. If mailed, the request for reconsideration of the maltreatment 
144.4 	determination and the disqualification must be postmarked and sent to the investigating 
144.5 	agency within 30 calendar days of the individual's receipt of the maltreatment 
144.6 	determination and notice of disqualification. If the request for reconsideration is made by 
144.7 	personal service, it must be received by the investigating agency within 30 calendar days 
144.8 	after the individual's receipt of the notice of disqualification.
144.9 	(b) Except as provided under paragraphs (e) and (f), if the investigating agency 
144.10 	denies the request or fails to act upon the request within 15 working days after receiving 
144.11 	the request for reconsideration, the person or facility entitled to a fair hearing under 
144.12 	section 256.045 may submit to the commissioner of human services or the commissioner 
144.13 	of education a written request for a hearing under that section. Section 256.045 also 
144.14 	governs hearings requested to contest a final determination of the commissioner of 
144.15 	education. For reports involving maltreatment of a child in a facility, an interested person 
144.16 	acting on behalf of the child may request a review by the Child Maltreatment Review 
144.17 	Panel under section 256.022 if the investigating agency denies the request or fails to act 
144.18 	upon the request or if the interested person contests a reconsidered determination. The 
144.19 	investigating agency shall notify persons who request reconsideration of their rights under 
144.20 	this paragraph. The request must be submitted in writing to the review panel and a copy 
144.21 	sent to the investigating agency within 30 calendar days of receipt of notice of a denial 
144.22 	of a request for reconsideration or of a reconsidered determination. The request must 
144.23 	specifically identify the aspects of the agency determination with which the person is 
144.24 	dissatisfied. The hearings specified under this section are the only administrative appeal of 
144.25 	a decision issued under paragraph (a). Determinations under this section are not subject to 
144.26 	accuracy and completeness challenges under section 13.04.
144.27 	(c) If, as a result of a reconsideration or review, the investigating agency changes 
144.28 	the final determination of maltreatment, that agency shall notify the parties specified in 
144.29 	subdivisions 10b, 10d, and 10f.
144.30 	(d) Except as provided under paragraph (f), if an individual or facility contests the 
144.31 	investigating agency's final determination regarding maltreatment by requesting a fair 
144.32 	hearing under section 256.045, the commissioner of human services shall assure that the 
144.33 	hearing is conducted and a decision is reached within 90 days of receipt of the request for 
144.34 	a hearing. The time for action on the decision may be extended for as many days as the 
144.35 	hearing is postponed or the record is held open for the benefit of either party.
145.1 	(e) If an individual was disqualified under sections 245C.14 and 245C.15, on 
145.2 	the basis of a determination of maltreatment, which was serious or recurring, and 
145.3 	the individual has requested reconsideration of the maltreatment determination under 
145.4 	paragraph (a) and requested reconsideration of the disqualification under sections 245C.21
145.5 	to 245C.27, reconsideration of the maltreatment determination and reconsideration of the 
145.6 	disqualification shall be consolidated into a single reconsideration. If reconsideration 
145.7 	of the maltreatment determination is denied and the individual remains disqualified 
145.8 	following a reconsideration decision, the individual may request a fair hearing under 
145.9 	section 256.045. If an individual requests a fair hearing on the maltreatment determination 
145.10 	and the disqualification, the scope of the fair hearing shall include both the maltreatment 
145.11 	determination and the disqualification.
145.12 	(f) If a maltreatment determination or a disqualification based on serious or recurring 
145.13 	maltreatment is the basis for a denial of a license under section 245A.05 or a licensing 
145.14 	sanction under section 245A.07, the license holder has the right to a contested case hearing 
145.15 	under chapter 14 and Minnesota Rules, parts 1400.8505 to 1400.8612. As provided for 
145.16 	under section 245A.08, subdivision 2a, the scope of the contested case hearing shall 
145.17 	include the maltreatment determination, disqualification, and licensing sanction or denial 
145.18 	of a license. In such cases, a fair hearing regarding the maltreatment determination and 
145.19 	disqualification shall not be conducted under section 256.045. Except for family child 
145.20 	care and child foster care, reconsideration of a maltreatment determination as provided 
145.21 	under this subdivision, and reconsideration of a disqualification as provided under section 
145.22 	245C.22, shall also not be conducted when:
145.23 	(1) a denial of a license under section 245A.05 or a licensing sanction under section 
145.24 	245A.07, is based on a determination that the license holder is responsible for maltreatment 
145.25 	or the disqualification of a license holder based on serious or recurring maltreatment;
145.26 	(2) the denial of a license or licensing sanction is issued at the same time as the 
145.27 	maltreatment determination or disqualification; and
145.28 	(3) the license holder appeals the maltreatment determination or disqualification, and 
145.29 	denial of a license or licensing sanction.
145.30 	Notwithstanding clauses (1) to (3), if the license holder appeals the maltreatment 
145.31 	determination or disqualification, but does not appeal the denial of a license or a licensing 
145.32 	sanction, reconsideration of the maltreatment determination shall be conducted under 
145.33 	sections 626.556, subdivision 10i, and 626.557, subdivision 9d, and reconsideration of the 
145.34 	disqualification shall be conducted under section 245C.22. In such cases, a fair hearing 
145.35 	shall also be conducted as provided under sections 245C.27, 626.556, subdivision 10i, and 
145.36 	626.557, subdivision 9d.
146.1 	If the disqualified subject is an individual other than the license holder and upon 
146.2 	whom a background study must be conducted under chapter 245C, the hearings of all 
146.3 	parties may be consolidated into a single contested case hearing upon consent of all parties 
146.4 	and the administrative law judge.
146.5 	(g) For purposes of this subdivision, "interested person acting on behalf of the 
146.6 	child" means a parent or legal guardian; stepparent; grandparent; guardian ad litem; adult 
146.7 	stepbrother, stepsister, or sibling; or adult aunt or uncle; unless the person has been 
146.8 	determined to be the perpetrator of the maltreatment.

146.9 	Sec. 12. Minnesota Statutes 2010, section 626.556, subdivision 10k, is amended to 
146.10 	read:
146.11 		Subd. 10k.Release of certain assessment or investigative records to other 
146.12 	counties. Records maintained under subdivision 11c, paragraph (a), may be shared with 
146.13 	another local welfare agency that requests the information because it is conducting an
146.14 	assessment or investigation under this section of the subject of the records.

146.15 	Sec. 13. REVISOR'S INSTRUCTION.
 146.16 	(a) The revisor of statutes shall renumber each section of Minnesota Statutes listed 
146.17 	in column A with the number listed in column B.

146.18		Column A
	Column B
	
146.19		259.69
	259A.05, subd. 5
	
146.20		260C.217
	260C.139
	
146.21		260C.501
	260C.177
	
146.22		260C.201, subd. 10
	260C.202
	
146.23		260C.212, subd. 7
	260C.203
	
146.24		260C.201, subd. 11a
	260C.204
	
146.25		260C.212, subd. 4
	260C.219
	
146.26		260C.212, subd. 5
	260C.221
	
146.27		260C.213
	260C.223
	
146.28		260C.206
	260C.225
	
146.29		260C.212, subd. 8
	260C.227
	
146.30		260C.212, subd. 6
	260C.521, subd. 4
	
146.31		260C.205
	260D.11
	
146.32 	(b) The revisor of statutes shall make necessary cross-reference changes in 
146.33 	Minnesota Statutes and Minnesota Rules consistent with the numbering in articles 1 and 
146.34 	2 and the renumbering in paragraph (a).

146.35 	Sec. 14.  REPEALER.
 147.1 	(a) Minnesota Statutes 2010, sections 256.022; 259.67; 259.71; 260C.201, 
147.2 	subdivision 11; 260C.215, subdivision 2; and 260C.456, are repealed.
147.3 	(b) Minnesota Rules, parts 9560.0071; 9560.0082; 9560.0083; 9560.0091; 
147.4 	9560.0093, subparts 1, 3, and 4; 9560.0101; and 9560.0102, are repealed.

147.5 	Sec. 15. EFFECTIVE DATE.
 147.6 	This article is effective August 1, 2012.

147.7 	ARTICLE 7
147.8 	CHILD CARE

147.9 	Section 1. Minnesota Statutes 2010, section 119B.09, subdivision 7, is amended to read:
147.10 		Subd. 7.Date of eligibility for assistance. (a) The date of eligibility for child care 
147.11 	assistance under this chapter is the later of the date the application was signed received by 
147.12 	the county; the beginning date of employment, education, or training; the date the infant is 
147.13 	born for applicants to the at-home infant care program; or the date a determination has 
147.14 	been made that the applicant is a participant in employment and training services under 
147.15 	Minnesota Rules, part 3400.0080, or chapter 256J.
147.16 	(b) Payment ceases for a family under the at-home infant child care program when a 
147.17 	family has used a total of 12 months of assistance as specified under section 119B.035. 
147.18 	Payment of child care assistance for employed persons on MFIP is effective the date of 
147.19 	employment or the date of MFIP eligibility, whichever is later. Payment of child care 
147.20 	assistance for MFIP or DWP participants in employment and training services is effective 
147.21 	the date of commencement of the services or the date of MFIP or DWP eligibility, 
147.22 	whichever is later. Payment of child care assistance for transition year child care must be 
147.23 	made retroactive to the date of eligibility for transition year child care.
147.24 	(c) Notwithstanding paragraph (b), payment of child care assistance for participants 
147.25 	eligible under section 119B.05 may only be made retroactive for a maximum of six 
147.26 	months from the date of application for child care assistance.

147.27 	Sec. 2. Minnesota Statutes 2010, section 119B.12, subdivision 1, is amended to read:
147.28 		Subdivision 1.Fee schedule. All changes to parent fees must be implemented on 
147.29 	the first Monday of the service period following the effective date of the change.
147.30 	PARENT FEE SCHEDULE. The parent fee schedule is as follows, except as noted 
147.31 	in subdivision 2:

148.1
148.2
148.3	Income Range (as a percent of the state 
median income, except at the start of the 
first tier)
	Co-payment (as a percentage of adjusted 
gross income)
	
148.4	0-74.99% of federal poverty guidelines
	$0/month biweekly
	
148.5	75.00-99.99% of federal poverty guidelines
	$5/month $2/biweekly
	
148.6
148.7	100.00% of federal poverty 
guidelines-27.72%
	2.61%
	
148.8	27.73-29.04%
	2.61%
	
148.9	29.05-30.36%
	2.61%
	
148.10	30.37-31.68%
	2.61%
	
148.11	31.69-33.00%
	2.91%
	
148.12	33.01-34.32%
	2.91%
	
148.13	34.33-35.65%
	2.91%
	
148.14	35.66-36.96%
	2.91%
	
148.15	36.97-38.29%
	3.21%
	
148.16	38.30-39.61%
	3.21%
	
148.17	39.62-40.93%
	3.21%
	
148.18	40.94-42.25%
	3.84%
	
148.19	42.26-43.57%
	3.84%
	
148.20	43.58-44.89%
	4.46%
	
148.21	44.90-46.21%
	4.76%
	
148.22	46.22-47.53%
	5.05%
	
148.23	47.54-48.85%
	5.65%
	
148.24	48.86-50.17%
	5.95%
	
148.25	50.18-51.49%
	6.24%
	
148.26	51.50-52.81%
	6.84%
	
148.27	52.82-54.13%
	7.58%
	
148.28	54.14-55.45%
	8.33%
	
148.29	55.46-56.77%
	9.20%
	
148.30	56.78-58.09%
	10.07%
	
148.31	58.10-59.41%
	10.94%
	
148.32	59.42-60.73%
	11.55%
	
148.33	60.74-62.06%
	12.16%
	
148.34	62.07-63.38%
	12.77%
	
148.35	63.39-64.70%
	13.38%
	
148.36	64.71-66.99 67.00%
	14.00%
	
148.37	Greater than 67.00%
	ineligible
	
148.38 	A family's monthly biweekly co-payment fee is the fixed percentage established for 
148.39 	the income range multiplied by the highest possible income within that income range.

148.40 	Sec. 3. Minnesota Statutes 2010, section 119B.12, subdivision 2, is amended to read:
148.41 		Subd. 2.Parent fee. A family must be assessed a parent fee for each service period. 
148.42 	A family's parent fee must be a fixed percentage of its annual gross income. Parent fees 
149.1 	must apply to families eligible for child care assistance under sections 119B.03 and 
149.2 	119B.05. Income must be as defined in section 119B.011, subdivision 15. The fixed 
149.3 	percent is based on the relationship of the family's annual gross income to 100 percent 
149.4 	of the annual state median income. Parent fees must begin at 75 percent of the poverty 
149.5 	level. The minimum parent fees for families between 75 percent and 100 percent of 
149.6 	poverty level must be $5 per month $2 per biweekly period. Parent fees must provide 
149.7 	for graduated movement to full payment. Payment of part or all of a family's parent 
149.8 	fee directly to the family's child care provider on behalf of the family by a source other 
149.9 	than the family shall not affect the family's eligibility for child care assistance, and the 
149.10 	amount paid shall be excluded from the family's income. Child care providers who accept 
149.11 	third-party payments must maintain family specific documentation of payment source, 
149.12 	amount, and time period covered by the payment.

149.13 	Sec. 4. Minnesota Statutes 2010, section 119B.125, subdivision 1a, is amended to read:
149.14 		Subd. 1a.Background study required. This subdivision only applies to legal, 
149.15 	nonlicensed family child care providers. Prior to authorization, and as part of each 
149.16 	reauthorization required in subdivision 1, the county shall perform a background study on 
149.17 	every member of the provider's household who is age 13 and older. The background study 
149.18 	shall be conducted according to the procedures under subdivision 2. The county shall also 
149.19 	perform a background study on an individual who has reached age ten but is not yet age 
149.20 	13 and is living in the household where the nonlicensed child care will be provided when 
149.21 	the county has reasonable cause as defined under section 245C.02, subdivision 15.

149.22 	Sec. 5. Minnesota Statutes 2010, section 119B.125, subdivision 2, is amended to read:
149.23 		Subd. 2.Persons who cannot be authorized. (a) When any member of the 
149.24 	legal, nonlicensed family child care provider's household meets any of the conditions 
149.25 	under paragraphs (b) to (n), the provider must not be authorized as a legal nonlicensed 
149.26 	family child care provider. To determine whether any of the listed conditions exist, the 
149.27 	county must request information about the provider and other household members for 
149.28 	whom a background study is required under subdivision 1a from the Bureau of Criminal 
149.29 	Apprehension, the juvenile courts, and social service agencies. When one of the listed 
149.30 	entities does not maintain information on a statewide basis, the county must contact 
149.31 	the entity in the county where the provider resides and any other county in which the 
149.32 	provider or any household member previously resided in the past year. For purposes of 
149.33 	this subdivision, a finding that a delinquency petition is proven in juvenile court must be 
149.34 	considered a conviction in state district court. The provider seeking authorization under 
150.1 	this section shall collect the information required under section 245C.05, subdivision 1, 
150.2 	and forward the information to the county agency. The background study must include 
150.3 	a review of the information required under section 245C.08, subdivisions 2, 3, and 4, 
150.4 	paragraph (b). A nonlicensed family child care provider is not authorized under this 
150.5 	section if any household member who is the subject of a background study is determined 
150.6 	to have a disqualifying characteristic under paragraphs (b) to (e) or under section 245C.14 
150.7 	or 245C.15. If a county has determined that a provider is able to be authorized in that 
150.8 	county, and a family in another county later selects that provider, the provider is able to 
150.9 	be authorized in the second county without undergoing a new background investigation 
150.10 	unless one of the following conditions exists:
150.11 	(1) two years have passed since the first authorization;
150.12 	(2) another person age 13 or older has joined the provider's household since the 
150.13 	last authorization;
150.14 	(3) a current household member has turned 13 since the last authorization; or
150.15 	(4) there is reason to believe that a household member has a factor that prevents 
150.16 	authorization.
150.17 	(b) The person has been convicted of one of the following offenses or has admitted to 
150.18 	committing or a preponderance of the evidence indicates that the person has committed an 
150.19 	act that meets the definition of one of the following offenses: sections 609.185 to 609.195, 
150.20 	murder in the first, second, or third degree; 609.2661 to 609.2663, murder of an unborn 
150.21 	child in the first, second, or third degree; 609.322, solicitation, inducement, promotion 
150.22 	of prostitution, or receiving profit from prostitution; 609.342 to 609.345, criminal sexual 
150.23 	conduct in the first, second, third, or fourth degree; 609.352, solicitation of children to 
150.24 	engage in sexual conduct; 609.365, incest; 609.377, felony malicious punishment of a 
150.25 	child; 617.246, use of minors in sexual performance; 617.247, possession of pictorial 
150.26 	representation of a minor; 609.2242 to 609.2243, felony domestic assault; a felony offense 
150.27 	of spousal abuse; a felony offense of child abuse or neglect; a felony offense of a crime 
150.28 	against children; or an attempt or conspiracy to commit any of these offenses as defined in 
150.29 	Minnesota Statutes; or an offense in any other state or country where the elements are 
150.30 	substantially similar to any of the offenses listed in this paragraph.
150.31 	(c) Less than 15 years have passed since the discharge of the sentence imposed for 
150.32 	the offense and the person has received a felony conviction for one of the following 
150.33 	offenses, or the person has admitted to committing or a preponderance of the evidence 
150.34 	indicates that the person has committed an act that meets the definition of a felony 
150.35 	conviction for one of the following offenses: sections 609.20 to 609.205, manslaughter 
150.36 	in the first or second degree; 609.21, criminal vehicular homicide; 609.215, aiding 
151.1 	suicide or aiding attempted suicide; 609.221 to 609.2231, assault in the first, second, 
151.2 	third, or fourth degree; 609.224, repeat offenses of fifth-degree assault; 609.228, great 
151.3 	bodily harm caused by distribution of drugs; 609.2325, criminal abuse of a vulnerable 
151.4 	adult; 609.2335, financial exploitation of a vulnerable adult; 609.235, use of drugs to 
151.5 	injure or facilitate a crime; 609.24, simple robbery; 617.241, repeat offenses of obscene 
151.6 	materials and performances; 609.245, aggravated robbery; 609.25, kidnapping; 609.255, 
151.7 	false imprisonment; 609.2664 to 609.2665, manslaughter of an unborn child in the first or 
151.8 	second degree; 609.267 to 609.2672, assault of an unborn child in the first, second, or third 
151.9 	degree; 609.268, injury or death of an unborn child in the commission of a crime; 609.27, 
151.10 	coercion; 609.275, attempt to coerce; 609.324, subdivision 1, other prohibited acts, minor 
151.11 	engaged in prostitution; 609.3451, repeat offenses of criminal sexual conduct in the fifth 
151.12 	degree; 609.378, neglect or endangerment of a child; 609.52, theft; 609.521, possession of 
151.13 	shoplifting gear; 609.561 to 609.563, arson in the first, second, or third degree; 609.582, 
151.14 	burglary in the first, second, third, or fourth degree; 609.625, aggravated forgery; 609.63, 
151.15 	forgery; 609.631, check forgery, offering a forged check; 609.635, obtaining signature 
151.16 	by false pretenses; 609.66, dangerous weapon; 609.665, setting a spring gun; 609.67, 
151.17 	unlawfully owning, possessing, or operating a machine gun; 609.687, adulteration; 609.71, 
151.18 	riot; 609.713, terrorist threats; 609.749, stalking; 260C.301, termination of parental rights; 
151.19 	152.021 to 152.022 and 152.0262, controlled substance crime in the first or second degree; 
151.20 	152.023, subdivision 1, clause (3) or (4), or 152.023, subdivision 2, clause (4), controlled 
151.21 	substance crime in third degree; 152.024, subdivision 1, clause (2), (3), or (4), controlled 
151.22 	substance crime in fourth degree; 617.23, repeat offenses of indecent exposure; an attempt 
151.23 	or conspiracy to commit any of these offenses as defined in Minnesota Statutes; or an 
151.24 	offense in any other state or country where the elements are substantially similar to any of 
151.25 	the offenses listed in this paragraph.
151.26 	(d) Less than ten years have passed since the discharge of the sentence imposed for 
151.27 	the offense and the person has received a gross misdemeanor conviction for one of the 
151.28 	following offenses or the person has admitted to committing or a preponderance of the 
151.29 	evidence indicates that the person has committed an act that meets the definition of a gross 
151.30 	misdemeanor conviction for one of the following offenses: sections 609.224, fifth-degree 
151.31 	assault; 609.2242 to 609.2243, domestic assault; 518B.01, subdivision 14, violation of 
151.32 	an order for protection; 609.3451, fifth-degree criminal sexual conduct; 609.746, repeat 
151.33 	offenses of interference with privacy; 617.23, repeat offenses of indecent exposure; 
151.34 	617.241, obscene materials and performances; 617.243, indecent literature, distribution; 
151.35 	617.293, disseminating or displaying harmful material to minors; 609.71, riot; 609.66, 
151.36 	dangerous weapons; 609.749, stalking; 609.224, subdivision 2, paragraph (c), fifth-degree 
152.1 	assault against a vulnerable adult by a caregiver; 609.23, mistreatment of persons 
152.2 	confined; 609.231, mistreatment of residents or patients; 609.2325, criminal abuse of a 
152.3 	vulnerable adult; 609.2335, financial exploitation of a vulnerable adult; 609.233, criminal 
152.4 	neglect of a vulnerable adult; 609.234, failure to report maltreatment of a vulnerable adult; 
152.5 	609.72, subdivision 3, disorderly conduct against a vulnerable adult; 609.265, abduction; 
152.6 	609.378, neglect or endangerment of a child; 609.377, malicious punishment of a child; 
152.7 	609.324, subdivision 1a, other prohibited acts, minor engaged in prostitution; 609.33, 
152.8 	disorderly house; 609.52, theft; 609.582, burglary in the first, second, third, or fourth 
152.9 	degree; 609.631, check forgery, offering a forged check; 609.275, attempt to coerce; an 
152.10 	attempt or conspiracy to commit any of these offenses as defined in Minnesota Statutes; or 
152.11 	an offense in any other state or country where the elements are substantially similar to 
152.12 	any of the offenses listed in this paragraph.
152.13 	(e) Less than seven years have passed since the discharge of the sentence imposed 
152.14 	for the offense and the person has received a misdemeanor conviction for one of the 
152.15 	following offenses or the person has admitted to committing or a preponderance of the 
152.16 	evidence indicates that the person has committed an act that meets the definition of a 
152.17 	misdemeanor conviction for one of the following offenses: sections 609.224, fifth-degree 
152.18 	assault; 609.2242, domestic assault; 518B.01, violation of an order for protection; 
152.19 	609.3232, violation of an order for protection; 609.746, interference with privacy; 609.79, 
152.20 	obscene or harassing telephone calls; 609.795, letter, telegram, or package opening, 
152.21 	harassment; 617.23, indecent exposure; 609.2672, assault of an unborn child, third degree; 
152.22 	617.293, dissemination and display of harmful materials to minors; 609.66, dangerous 
152.23 	weapons; 609.665, spring guns; an attempt or conspiracy to commit any of these offenses 
152.24 	as defined in Minnesota Statutes; or an offense in any other state or country where the 
152.25 	elements are substantially similar to any of the offenses listed in this paragraph.
152.26 	(f) The person has been identified by the child protection agency in the county where 
152.27 	the provider resides or a county where the provider has resided or by the statewide child 
152.28 	protection database as a person found by a preponderance of evidence under section 
152.29 	626.556 to be responsible for physical or sexual abuse of a child within the last seven years.
152.30 	(g) The person has been identified by the adult protection agency in the county 
152.31 	where the provider resides or a county where the provider has resided or by the statewide 
152.32 	adult protection database as the person responsible for abuse or neglect of a vulnerable 
152.33 	adult within the last seven years.
152.34 	(h) (b) The person has refused to give written consent for disclosure of criminal 
152.35 	history records.
153.1 	(i) (c) The person has been denied a family child care license or has received a fine 
153.2 	or a sanction as a licensed child care provider that has not been reversed on appeal.
153.3 	(j) (d) The person has a family child care licensing disqualification that has not 
153.4 	been set aside.
153.5 	(k) (e) The person has admitted or a county has found that there is a preponderance 
153.6 	of evidence that fraudulent information was given to the county for child care assistance 
153.7 	application purposes or was used in submitting child care assistance bills for payment.
153.8 	(l) The person has been convicted of the crime of theft by wrongfully obtaining 
153.9 	public assistance or has been found guilty of wrongfully obtaining public assistance by a 
153.10 	federal court, state court, or an administrative hearing determination or waiver, through a 
153.11 	disqualification consent agreement, as part of an approved diversion plan under section 
153.12 	401.065, or a court-ordered stay with probationary or other conditions.
153.13 	(m) The person has a household member age 13 or older who has access to children 
153.14 	during the hours that care is provided and who meets one of the conditions listed in 
153.15 	paragraphs (b) to (l).
153.16 	(n) The person has a household member ages ten to 12 who has access to children 
153.17 	during the hours that care is provided; information or circumstances exist which provide 
153.18 	the county with articulable suspicion that further pertinent information may exist showing 
153.19 	the household member meets one of the conditions listed in paragraphs (b) to (l); and the 
153.20 	household member actually meets one of the conditions listed in paragraphs (b) to (l).

153.21 	Sec. 6. Minnesota Statutes 2010, section 119B.125, subdivision 6, is amended to read:
153.22 		Subd. 6.Record-keeping requirement. All providers receiving child care 
153.23 	assistance payments must keep daily attendance records for children receiving child care 
153.24 	assistance and must make those records available immediately to the county upon request. 
153.25 	The attendance records must be completed daily and include the date, the first and last 
153.26 	name of each child in attendance, and the times when each child is dropped off and picked 
153.27 	up. To the extent possible, the times that the child was dropped off to and picked up from 
153.28 	the child care provider must be entered by the person dropping off or picking up the child. 
153.29 	The daily attendance records must be retained for six years after the date of service. 
153.30 	A county may deny authorization as a child care provider to any applicant or rescind 
153.31 	authorization of any provider when the county knows or has reason to believe that the 
153.32 	provider has not complied with the record-keeping requirement in this subdivision.

153.33 	Sec. 7. Minnesota Statutes 2011 Supplement, section 119B.13, subdivision 1, is 
153.34 	amended to read:
154.1 		Subdivision 1.Subsidy restrictions. (a) Beginning October 31, 2011, the maximum 
154.2 	rate paid for child care assistance in any county or multicounty region under the child care 
154.3 	fund shall be the rate for like-care arrangements in the county effective July 1, 2006, 
154.4 	decreased by 2.5 percent.
154.5 	(b) Every year Biennially, beginning in 2012, the commissioner shall survey 
154.6 	rates charged by child care providers in Minnesota to determine the 75th percentile for 
154.7 	like-care arrangements in counties. When the commissioner determines that, using the 
154.8 	commissioner's established protocol, the number of providers responding to the survey is 
154.9 	too small to determine the 75th percentile rate for like-care arrangements in a county or 
154.10 	multicounty region, the commissioner may establish the 75th percentile maximum rate 
154.11 	based on like-care arrangements in a county, region, or category that the commissioner 
154.12 	deems to be similar.
154.13 	(c) A rate which includes a special needs rate paid under subdivision 3 or under a 
154.14 	school readiness service agreement paid under section 119B.231, may be in excess of the 
154.15 	maximum rate allowed under this subdivision.
154.16 	(d) The department shall monitor the effect of this paragraph on provider rates. The 
154.17 	county shall pay the provider's full charges for every child in care up to the maximum 
154.18 	established. The commissioner shall determine the maximum rate for each type of care 
154.19 	on an hourly, full-day, and weekly basis, including special needs and disability care. The 
154.20 	maximum payment to a provider for one day of care must not exceed the daily rate. The 
154.21 	maximum payment to a provider for one week of care must not exceed the weekly rate.
154.22 	(e) Child care providers receiving reimbursement under this chapter must not be 
154.23 	paid activity fees or an additional amount above the maximum rates for care provided 
154.24 	during nonstandard hours for families receiving assistance.
154.25 	(f) When the provider charge is greater than the maximum provider rate allowed, 
154.26 	the parent is responsible for payment of the difference in the rates in addition to any 
154.27 	family co-payment fee.
154.28 	(g) All maximum provider rates changes shall be implemented on the Monday 
154.29 	following the effective date of the maximum provider rate.

154.30 	Sec. 8. Minnesota Statutes 2010, section 119B.13, subdivision 6, is amended to read:
154.31 		Subd. 6.Provider payments. (a) The provider shall bill for services provided 
154.32 	within ten days of the end of the service period. If bills are submitted within ten days of 
154.33 	the end of the service period, payments under the child care fund shall be made within 30 
154.34 	days of receiving a bill from the provider. Counties or the state may establish policies that 
154.35 	make payments on a more frequent basis.
155.1 	(b) If a provider has received an authorization of care and been issued a billing form 
155.2 	for an eligible family, the bill must be submitted within 60 days of the last date of service 
155.3 	on the bill. A bill submitted more than 60 days after the last date of service must be 
155.4 	paid if the county determines that the provider has shown good cause why the bill was 
155.5 	not submitted within 60 days. Good cause must be defined in the county's child care 
155.6 	fund plan under section 119B.08, subdivision 3, and the definition of good cause must 
155.7 	include county error. Any bill submitted more than a year after the last date of service on 
155.8 	the bill must not be paid.
155.9 	(c) If a provider provided care for a time period without receiving an authorization 
155.10 	of care and a billing form for an eligible family, payment of child care assistance may only 
155.11 	be made retroactively for a maximum of six months from the date the provider is issued 
155.12 	an authorization of care and billing form.
155.13 	(d) A county may refuse to issue a child care authorization to a licensed or legal 
155.14 	nonlicensed provider, revoke an existing child care authorization to a licensed or legal 
155.15 	nonlicensed provider, stop payment issued to a licensed or legal nonlicensed provider, or 
155.16 	may refuse to pay a bill submitted by a licensed or legal nonlicensed provider if:
155.17 	(1) the provider admits to intentionally giving the county materially false information 
155.18 	on the provider's billing forms; or
155.19 	(2) a county finds by a preponderance of the evidence that the provider intentionally 
155.20 	gave the county materially false information on the provider's billing forms.;
155.21 	(3) the provider is in violation of child care assistance program rules, until the 
155.22 	agency determines those violations have been corrected;
155.23 	(4) the provider is operating after receipt of an order of suspension or an order 
155.24 	of revocation of the provider's license, or the provider has been issued an order citing 
155.25 	violations of licensing standards that affect the health and safety of children in care due to 
155.26 	the nature, chronicity, or severity of the licensing violations, until the licensing agency 
155.27 	determines those violations have been corrected;
155.28 	(5) the provider submits false attendance reports or refuses to provide documentation 
155.29 	of the child's attendance upon request; or
155.30 	(6) the provider gives false child care price information.
155.31 	(e) A county's payment policies must be included in the county's child care plan 
155.32 	under section 119B.08, subdivision 3. If payments are made by the state, in addition to 
155.33 	being in compliance with this subdivision, the payments must be made in compliance 
155.34 	with section 16A.124.

155.35 	Sec. 9. CHILD CARE ASSISTANCE PROGRAM RULE CHANGE.
 156.1 	The commissioner shall amend Minnesota Rules, part 3400.0035, subpart 2, to 
156.2 	remove the requirement that applications must be submitted by mail or delivered to the 
156.3 	agency within 15 calendar days after the date of signature. The commissioner shall 
156.4 	comply with Minnesota Statutes, section 14.389, in adopting the amendment.

156.5 	ARTICLE 8
156.6 	SIMPLIFICATION OF MFIP AND DWP

156.7 	Section 1. Minnesota Statutes 2010, section 256J.08, subdivision 11, is amended to 
156.8 	read:
156.9 		Subd. 11.Caregiver. "Caregiver" means a minor child's natural birth or adoptive 
156.10 	parent or parents and stepparent who live in the home with the minor child. For purposes 
156.11 	of determining eligibility for this program, caregiver also means any of the following 
156.12 	individuals, if adults, who live with and provide care and support to a minor child when 
156.13 	the minor child's natural birth or adoptive parent or parents or stepparents do not reside 
156.14 	in the same home: legal custodian or guardian, grandfather, grandmother, brother, sister, 
156.15 	half brother, half sister, stepbrother, stepsister, uncle, aunt, first cousin or first cousin once 
156.16 	removed, nephew, niece, person of preceding generation as denoted by prefixes of "great," 
156.17 	"great-great," or "great-great-great," or a spouse of any person named in the above groups 
156.18 	even after the marriage ends by death or divorce.

156.19 	Sec. 2. Minnesota Statutes 2010, section 256J.24, subdivision 2, is amended to read:
156.20 		Subd. 2.Mandatory assistance unit composition. Except for minor caregivers 
156.21 	and their children who must be in a separate assistance unit from the other persons in 
156.22 	the household, when the following individuals live together, they must be included in 
156.23 	the assistance unit:
156.24 	(1) a minor child, including a pregnant minor;
156.25 	(2) the minor child's minor siblings, minor half siblings, and minor stepsiblings;
156.26 	(3) the minor child's natural birth parents, adoptive parents, and stepparents; and
156.27 	(4) the spouse of a pregnant woman.
156.28 	A minor child must have a caregiver for the child to be included in the assistance unit.

156.29 	Sec. 3. Minnesota Statutes 2010, section 256J.32, subdivision 6, is amended to read:
156.30 		Subd. 6.Recertification. (a) The county agency shall recertify eligibility in an 
156.31 	annual face-to-face interview with the participant and. The county agency may waive the 
156.32 	face-to-face interview and conduct a phone interview for participants who qualify under 
156.33 	paragraph (b). During the interview the county agency shall verify the following:
157.1 	(1) presence of the minor child in the home, if questionable;
157.2 	(2) income, unless excluded, including self-employment expenses used as a 
157.3 	deduction or deposits or withdrawals from business accounts;
157.4 	(3) assets when the value is within $200 of the asset limit;
157.5 	(4) information to establish an exception under section 256J.24, subdivision 9, if 
157.6 	questionable;
157.7 	(5) inconsistent information, if related to eligibility; and
157.8 	(6) whether a single caregiver household meets requirements in section 256J.575, 
157.9 	subdivision 3.
157.10 	(b) A participant who is employed any number of hours must be given the option of 
157.11 	conducting a face-to-face or phone interview to recertify eligibility. The participant must 
157.12 	be employed at the time the interview is scheduled. If the participant loses the participant's 
157.13 	job between the time the interview is scheduled and when it is to be conducted, the phone 
157.14 	interview may still be conducted.

157.15 	EFFECTIVE DATE. This section is effective October 1, 2012.

157.16 	Sec. 4. Minnesota Statutes 2010, section 256J.621, is amended to read:
157.17 	256J.621 WORK PARTICIPATION CASH BENEFITS.
157.18 	(a) Effective October 1, 2009, upon exiting the diversionary work program (DWP) 
157.19 	or upon terminating the Minnesota family investment program with earnings, a participant 
157.20 	who is employed may be eligible for work participation cash benefits of $25 per month 
157.21 	to assist in meeting the family's basic needs as the participant continues to move toward 
157.22 	self-sufficiency.
157.23 	(b) To be eligible for work participation cash benefits, the participant shall not 
157.24 	receive MFIP or diversionary work program assistance during the month and the 
157.25 	participant or participants must meet the following work requirements:
157.26 	(1) if the participant is a single caregiver and has a child under six years of age, the 
157.27 	participant must be employed at least 87 hours per month;
157.28 	(2) if the participant is a single caregiver and does not have a child under six years of 
157.29 	age, the participant must be employed at least 130 hours per month; or
157.30 	(3) if the household is a two-parent family, at least one of the parents must be 
157.31 	employed an average of at least 130 hours per month.
157.32 	Whenever a participant exits the diversionary work program or is terminated from 
157.33 	MFIP and meets the other criteria in this section, work participation cash benefits are 
157.34 	available for up to 24 consecutive months.
158.1 	(c) Expenditures on the program are maintenance of effort state funds under 
158.2 	a separate state program for participants under paragraph (b), clauses (1) and (2). 
158.3 	Expenditures for participants under paragraph (b), clause (3), are nonmaintenance of effort 
158.4 	funds. Months in which a participant receives work participation cash benefits under this 
158.5 	section do not count toward the participant's MFIP 60-month time limit.

158.6 	Sec. 5. Minnesota Statutes 2010, section 256J.68, subdivision 7, is amended to read:
158.7 		Subd. 7.Exclusive procedure. The procedure established by this section is 
158.8 	exclusive of all other legal, equitable, and statutory remedies against the state, its political 
158.9 	subdivisions, or employees of the state or its political subdivisions. The claimant shall 
158.10 	not be entitled to seek damages from any state, county, tribal, or reservation insurance 
158.11 	policy or self-insurance program. A provider who accepts or agrees to accept an injury 
158.12 	protection program payment for services provided to an individual must not require any 
158.13 	payment from the individual.

158.14 	Sec. 6. Minnesota Statutes 2010, section 256J.95, subdivision 3, is amended to read:
158.15 		Subd. 3.Eligibility for diversionary work program. (a) Except for the categories 
158.16 	of family units listed below in clauses (1) to (8), all family units who apply for cash 
158.17 	benefits and who meet MFIP eligibility as required in sections 256J.11 to 256J.15 are 
158.18 	eligible and must participate in the diversionary work program. Family units or individuals 
158.19 	that are not eligible for the diversionary work program include:
158.20 	(1) child only cases;
158.21 	(2) a single-parent family unit units that includes include a child under 12 months of 
158.22 	age. A parent is eligible for this exception once in a parent's lifetime;
158.23 	(3) family units with a minor parent without a high school diploma or its equivalent;
158.24 	(4) family units with an 18- or 19-year-old caregiver without a high school diploma 
158.25 	or its equivalent who chooses to have an employment plan with an education option;
158.26 	(5) a caregiver age 60 or over;
158.27 	(6) (5) family units with a caregiver who received DWP benefits in within the 12 
158.28 	months prior to the month the family applied for DWP, except as provided in paragraph (c);
158.29 	(7) (6) family units with a caregiver who received MFIP within the 12 months prior 
158.30 	to the month the family unit applied for DWP;
158.31 	(8) a (7) family unit units with a caregiver who received 60 or more months of 
158.32 	TANF assistance; and
158.33 	(9) (8) family units with a caregiver who is disqualified from the work participation 
158.34 	cash benefit program, DWP, or MFIP due to fraud; and.
159.1 	(10) refugees and asylees as defined in Code of Federal Regulations, title 45, part 
159.2 	400, subpart d, section 400.43, who arrived in the United States in the 12 months prior to 
159.3 	the date of application for family cash assistance.
159.4 	(b) A two-parent family must participate in DWP unless both caregivers meet the 
159.5 	criteria for an exception under paragraph (a), clauses (1) through (5), or the family unit 
159.6 	includes a parent who meets the criteria in paragraph (a), clause (6), (7), or (8), (9), or (10).
159.7 	(c) Once DWP eligibility is determined, the four months run consecutively. If a 
159.8 	participant leaves the program for any reason and reapplies during the four-month period, 
159.9 	the county must redetermine eligibility for DWP.

159.10 	ARTICLE 9
159.11 	CONTINUING CARE

159.12 	Section 1. Minnesota Statutes 2011 Supplement, section 144A.071, subdivision 3, 
159.13 	is amended to read:
159.14 		Subd. 3.Exceptions authorizing increase in beds; hardship areas. (a) The 
159.15 	commissioner of health, in coordination with the commissioner of human services, may 
159.16 	approve the addition of new licensed and Medicare and Medicaid certified nursing home 
159.17 	beds, using the criteria and process set forth in this subdivision.
159.18 	(b) The commissioner, in cooperation with the commissioner of human services, 
159.19 	shall consider the following criteria when determining that an area of the state is a 
159.20 	hardship area with regard to access to nursing facility services:
159.21 	(1) a low number of beds per thousand in a specified area using as a standard the 
159.22 	beds per thousand people age 65 and older, in five year age groups, using data from the 
159.23 	most recent census and population projections, weighted by each group's most recent 
159.24 	nursing home utilization, of the county at the 20th percentile, as determined by the 
159.25 	commissioner of human services;
159.26 	(2) a high level of out-migration for nursing facility services associated with a 
159.27 	described area from the county or counties of residence to other Minnesota counties, as 
159.28 	determined by the commissioner of human services, using as a standard an amount greater 
159.29 	than the out-migration of the county ranked at the 50th percentile;
159.30 	(3) an adequate level of availability of noninstitutional long-term care services 
159.31 	measured as public spending for home and community-based long-term care services per 
159.32 	individual age 65 and older, in five year age groups, using data from the most recent 
159.33 	census and population projections, weighted by each group's most recent nursing home 
159.34 	utilization, as determined by the commissioner of human services using as a standard an 
159.35 	amount greater than the 50th percentile of counties;
160.1 	(4) there must be a declaration of hardship resulting from insufficient access to 
160.2 	nursing home beds by local county agencies and area agencies on aging; and
160.3 	(5) other factors that may demonstrate the need to add new nursing facility beds.
160.4 	(c) On August 15 of odd-numbered years, the commissioner, in cooperation with 
160.5 	the commissioner of human services, may publish in the State Register a request for 
160.6 	information in which interested parties, using the data provided under section 144A.351, 
160.7 	along with any other relevant data, demonstrate that a specified area is a hardship area 
160.8 	with regard to access to nursing facility services. For a response to be considered, the 
160.9 	commissioner must receive it by November 15. The commissioner shall make responses 
160.10 	to the request for information available to the public and shall allow 30 days for comment. 
160.11 	The commissioner shall review responses and comments and determine if any areas of 
160.12 	the state are to be declared hardship areas.
160.13 	(d) For each designated hardship area determined in paragraph (c), the commissioner 
160.14 	shall publish a request for proposals in accordance with section 144A.073 and Minnesota 
160.15 	Rules, parts 4655.1070 to 4655.1098. The request for proposals must be published in the 
160.16 	State Register by March 15 following receipt of responses to the request for information. 
160.17 	The request for proposals must specify the number of new beds which may be added 
160.18 	in the designated hardship area, which must not exceed the number which, if added to 
160.19 	the existing number of beds in the area, including beds in layaway status, would have 
160.20 	prevented it from being determined to be a hardship area under paragraph (b), clause 
160.21 	(1). Beginning July 1, 2011, the number of new beds approved must not exceed 200 
160.22 	beds statewide per biennium. After June 30, 2019, the number of new beds that may be 
160.23 	approved in a biennium must not exceed 300 statewide. For a proposal to be considered, 
160.24 	the commissioner must receive it within six months of the publication of the request for 
160.25 	proposals. The commissioner shall review responses to the request for proposals and 
160.26 	shall approve or disapprove each proposal by the following July 15, in accordance with 
160.27 	section 144A.073 and Minnesota Rules, parts 4655.1070 to 4655.1098. The commissioner 
160.28 	shall base approvals or disapprovals on a comparison and ranking of proposals using 
160.29 	only the criteria in subdivision 4a. Approval of a proposal expires after 18 months 
160.30 	unless the facility has added the new beds using existing space, subject to approval 
160.31 	by the commissioner, or has commenced construction as defined in section 144A.071, 
160.32 	subdivision 1a, paragraph (d). OperatingIf, after the approved beds have been added, 
160.33 	fewer than 50 percent of the beds in a facility are newly licensed, the operating payment 
160.34 	rates previously in effect shall remain. If, after the approved beds have been added, 50 
160.35 	percent or more of the beds in a facility are newly licensed, operating payment rates shall 
160.36 	be determined according to Minnesota Rules, part 9549.0057, using the limits under 
161.1 	section 256B.441. External fixed payment rates must be determined according to section 
161.2 	256B.441, subdivision 53. Property payment rates for facilities with beds added under this 
161.3 	subdivision must be determined in the same manner as rate determinations resulting from 
161.4 	projects approved and completed under section 144A.073.
161.5 	(e) The commissioner may:
161.6 	(1) certify or license new beds in a new facility that is to be operated by the 
161.7 	commissioner of veterans affairs or when the costs of constructing and operating the new 
161.8 	beds are to be reimbursed by the commissioner of veterans affairs or the United States 
161.9 	Veterans Administration; and
161.10 	(2) license or certify beds in a facility that has been involuntarily delicensed or 
161.11 	decertified for participation in the medical assistance program, provided that an application 
161.12 	for relicensure or recertification is submitted to the commissioner by an organization that 
161.13 	is not a related organization as defined in section 256B.441, subdivision 34, to the prior 
161.14 	licensee within 120 days after delicensure or decertification.

161.15 	Sec. 2. Minnesota Statutes 2011 Supplement, section 144A.071, subdivision 4a, 
161.16 	is amended to read:
161.17 		Subd. 4a.Exceptions for replacement beds.  It is in the best interest of the state 
161.18 	to ensure that nursing homes and boarding care homes continue to meet the physical 
161.19 	plant licensing and certification requirements by permitting certain construction projects. 
161.20 	Facilities should be maintained in condition to satisfy the physical and emotional needs 
161.21 	of residents while allowing the state to maintain control over nursing home expenditure 
161.22 	growth.
161.23 	The commissioner of health in coordination with the commissioner of human 
161.24 	services, may approve the renovation, replacement, upgrading, or relocation of a nursing 
161.25 	home or boarding care home, under the following conditions:
161.26 	(a) to license or certify beds in a new facility constructed to replace a facility or to 
161.27 	make repairs in an existing facility that was destroyed or damaged after June 30, 1987, by 
161.28 	fire, lightning, or other hazard provided:
161.29 	(i) destruction was not caused by the intentional act of or at the direction of a 
161.30 	controlling person of the facility;
161.31 	(ii) at the time the facility was destroyed or damaged the controlling persons of the 
161.32 	facility maintained insurance coverage for the type of hazard that occurred in an amount 
161.33 	that a reasonable person would conclude was adequate;
161.34 	(iii) the net proceeds from an insurance settlement for the damages caused by the 
161.35 	hazard are applied to the cost of the new facility or repairs;
162.1 	(iv) the number of licensed and certified beds in the new facility does not exceed the 
162.2 	number of licensed and certified beds in the destroyed facility; and
162.3 	(v) the commissioner determines that the replacement beds are needed to prevent an 
162.4 	inadequate supply of beds.
162.5 	Project construction costs incurred for repairs authorized under this clause shall not be 
162.6 	considered in the dollar threshold amount defined in subdivision 2;
162.7 	(b) to license or certify beds that are moved from one location to another within a 
162.8 	nursing home facility, provided the total costs of remodeling performed in conjunction 
162.9 	with the relocation of beds does not exceed $1,000,000;
162.10 	(c) to license or certify beds in a project recommended for approval under section 
162.11 	144A.073;
162.12 	(d) to license or certify beds that are moved from an existing state nursing home to 
162.13 	a different state facility, provided there is no net increase in the number of state nursing 
162.14 	home beds;
162.15 	(e) to certify and license as nursing home beds boarding care beds in a certified 
162.16 	boarding care facility if the beds meet the standards for nursing home licensure, or in a 
162.17 	facility that was granted an exception to the moratorium under section 144A.073, and if 
162.18 	the cost of any remodeling of the facility does not exceed $1,000,000. If boarding care 
162.19 	beds are licensed as nursing home beds, the number of boarding care beds in the facility 
162.20 	must not increase beyond the number remaining at the time of the upgrade in licensure. 
162.21 	The provisions contained in section 144A.073 regarding the upgrading of the facilities 
162.22 	do not apply to facilities that satisfy these requirements;
162.23 	(f) to license and certify up to 40 beds transferred from an existing facility owned and 
162.24 	operated by the Amherst H. Wilder Foundation in the city of St. Paul to a new unit at the 
162.25 	same location as the existing facility that will serve persons with Alzheimer's disease and 
162.26 	other related disorders. The transfer of beds may occur gradually or in stages, provided 
162.27 	the total number of beds transferred does not exceed 40. At the time of licensure and 
162.28 	certification of a bed or beds in the new unit, the commissioner of health shall delicense 
162.29 	and decertify the same number of beds in the existing facility. As a condition of receiving 
162.30 	a license or certification under this clause, the facility must make a written commitment 
162.31 	to the commissioner of human services that it will not seek to receive an increase in its 
162.32 	property-related payment rate as a result of the transfers allowed under this paragraph;
162.33 	(g) to license and certify nursing home beds to replace currently licensed and certified 
162.34 	boarding care beds which may be located either in a remodeled or renovated boarding care 
162.35 	or nursing home facility or in a remodeled, renovated, newly constructed, or replacement 
162.36 	nursing home facility within the identifiable complex of health care facilities in which the 
163.1 	currently licensed boarding care beds are presently located, provided that the number of 
163.2 	boarding care beds in the facility or complex are decreased by the number to be licensed 
163.3 	as nursing home beds and further provided that, if the total costs of new construction, 
163.4 	replacement, remodeling, or renovation exceed ten percent of the appraised value of 
163.5 	the facility or $200,000, whichever is less, the facility makes a written commitment to 
163.6 	the commissioner of human services that it will not seek to receive an increase in its 
163.7 	property-related payment rate by reason of the new construction, replacement, remodeling, 
163.8 	or renovation. The provisions contained in section 144A.073 regarding the upgrading of 
163.9 	facilities do not apply to facilities that satisfy these requirements;
163.10 	(h) to license as a nursing home and certify as a nursing facility a facility that is 
163.11 	licensed as a boarding care facility but not certified under the medical assistance program, 
163.12 	but only if the commissioner of human services certifies to the commissioner of health that 
163.13 	licensing the facility as a nursing home and certifying the facility as a nursing facility will 
163.14 	result in a net annual savings to the state general fund of $200,000 or more;
163.15 	(i) to certify, after September 30, 1992, and prior to July 1, 1993, existing nursing 
163.16 	home beds in a facility that was licensed and in operation prior to January 1, 1992;
163.17 	(j) to license and certify new nursing home beds to replace beds in a facility acquired 
163.18 	by the Minneapolis Community Development Agency as part of redevelopment activities 
163.19 	in a city of the first class, provided the new facility is located within three miles of the site 
163.20 	of the old facility. Operating and property costs for the new facility must be determined 
163.21 	and allowed under section 256B.431 or 256B.434;
163.22 	(k) to license and certify up to 20 new nursing home beds in a community-operated 
163.23 	hospital and attached convalescent and nursing care facility with 40 beds on April 21, 
163.24 	1991, that suspended operation of the hospital in April 1986. The commissioner of human 
163.25 	services shall provide the facility with the same per diem property-related payment rate 
163.26 	for each additional licensed and certified bed as it will receive for its existing 40 beds;
163.27 	(l) to license or certify beds in renovation, replacement, or upgrading projects as 
163.28 	defined in section 144A.073, subdivision 1, so long as the cumulative total costs of the 
163.29 	facility's remodeling projects do not exceed $1,000,000;
163.30 	(m) to license and certify beds that are moved from one location to another for the 
163.31 	purposes of converting up to five four-bed wards to single or double occupancy rooms 
163.32 	in a nursing home that, as of January 1, 1993, was county-owned and had a licensed 
163.33 	capacity of 115 beds;
163.34 	(n) to allow a facility that on April 16, 1993, was a 106-bed licensed and certified 
163.35 	nursing facility located in Minneapolis to layaway all of its licensed and certified nursing 
163.36 	home beds. These beds may be relicensed and recertified in a newly constructed teaching 
164.1 	nursing home facility affiliated with a teaching hospital upon approval by the legislature. 
164.2 	The proposal must be developed in consultation with the interagency committee on 
164.3 	long-term care planning. The beds on layaway status shall have the same status as 
164.4 	voluntarily delicensed and decertified beds, except that beds on layaway status remain 
164.5 	subject to the surcharge in section 256.9657. This layaway provision expires July 1, 1998;
164.6 	(o) to allow a project which will be completed in conjunction with an approved 
164.7 	moratorium exception project for a nursing home in southern Cass County and which is 
164.8 	directly related to that portion of the facility that must be repaired, renovated, or replaced, 
164.9 	to correct an emergency plumbing problem for which a state correction order has been 
164.10 	issued and which must be corrected by August 31, 1993;
164.11 	(p) to allow a facility that on April 16, 1993, was a 368-bed licensed and certified 
164.12 	nursing facility located in Minneapolis to layaway, upon 30 days prior written notice to 
164.13 	the commissioner, up to 30 of the facility's licensed and certified beds by converting 
164.14 	three-bed wards to single or double occupancy. Beds on layaway status shall have the 
164.15 	same status as voluntarily delicensed and decertified beds except that beds on layaway 
164.16 	status remain subject to the surcharge in section 256.9657, remain subject to the license 
164.17 	application and renewal fees under section 144A.07 and shall be subject to a $100 per bed 
164.18 	reactivation fee. In addition, at any time within three years of the effective date of the 
164.19 	layaway, the beds on layaway status may be:
164.20 	(1) relicensed and recertified upon relocation and reactivation of some or all of 
164.21 	the beds to an existing licensed and certified facility or facilities located in Pine River, 
164.22 	Brainerd, or International Falls; provided that the total project construction costs related to 
164.23 	the relocation of beds from layaway status for any facility receiving relocated beds may 
164.24 	not exceed the dollar threshold provided in subdivision 2 unless the construction project 
164.25 	has been approved through the moratorium exception process under section 144A.073;
164.26 	(2) relicensed and recertified, upon reactivation of some or all of the beds within the 
164.27 	facility which placed the beds in layaway status, if the commissioner has determined a 
164.28 	need for the reactivation of the beds on layaway status.
164.29 	The property-related payment rate of a facility placing beds on layaway status 
164.30 	must be adjusted by the incremental change in its rental per diem after recalculating the 
164.31 	rental per diem as provided in section 256B.431, subdivision 3a, paragraph (c). The 
164.32 	property-related payment rate for a facility relicensing and recertifying beds from layaway 
164.33 	status must be adjusted by the incremental change in its rental per diem after recalculating 
164.34 	its rental per diem using the number of beds after the relicensing to establish the facility's 
164.35 	capacity day divisor, which shall be effective the first day of the month following the 
164.36 	month in which the relicensing and recertification became effective. Any beds remaining 
165.1 	on layaway status more than three years after the date the layaway status became effective 
165.2 	must be removed from layaway status and immediately delicensed and decertified;
165.3 	(q) to license and certify beds in a renovation and remodeling project to convert 12 
165.4 	four-bed wards into 24 two-bed rooms, expand space, and add improvements in a nursing 
165.5 	home that, as of January 1, 1994, met the following conditions: the nursing home was 
165.6 	located in Ramsey County; had a licensed capacity of 154 beds; and had been ranked 
165.7 	among the top 15 applicants by the 1993 moratorium exceptions advisory review panel. 
165.8 	The total project construction cost estimate for this project must not exceed the cost 
165.9 	estimate submitted in connection with the 1993 moratorium exception process;
165.10 	(r) to license and certify up to 117 beds that are relocated from a licensed and 
165.11 	certified 138-bed nursing facility located in St. Paul to a hospital with 130 licensed 
165.12 	hospital beds located in South St. Paul, provided that the nursing facility and hospital are 
165.13 	owned by the same or a related organization and that prior to the date the relocation is 
165.14 	completed the hospital ceases operation of its inpatient hospital services at that hospital. 
165.15 	After relocation, the nursing facility's status under section 256B.431, subdivision 2j, shall 
165.16 	be the same as it was prior to relocation. The nursing facility's property-related payment 
165.17 	rate resulting from the project authorized in this paragraph shall become effective no 
165.18 	earlier than April 1, 1996. For purposes of calculating the incremental change in the 
165.19 	facility's rental per diem resulting from this project, the allowable appraised value of 
165.20 	the nursing facility portion of the existing health care facility physical plant prior to the 
165.21 	renovation and relocation may not exceed $2,490,000;
165.22 	(s) to license and certify two beds in a facility to replace beds that were voluntarily 
165.23 	delicensed and decertified on June 28, 1991;
165.24 	(t) to allow 16 licensed and certified beds located on July 1, 1994, in a 142-bed 
165.25 	nursing home and 21-bed boarding care home facility in Minneapolis, notwithstanding 
165.26 	the licensure and certification after July 1, 1995, of the Minneapolis facility as a 147-bed 
165.27 	nursing home facility after completion of a construction project approved in 1993 under 
165.28 	section 144A.073, to be laid away upon 30 days' prior written notice to the commissioner. 
165.29 	Beds on layaway status shall have the same status as voluntarily delicensed or decertified 
165.30 	beds except that they shall remain subject to the surcharge in section 256.9657. The 
165.31 	16 beds on layaway status may be relicensed as nursing home beds and recertified at 
165.32 	any time within five years of the effective date of the layaway upon relocation of some 
165.33 	or all of the beds to a licensed and certified facility located in Watertown, provided that 
165.34 	the total project construction costs related to the relocation of beds from layaway status 
165.35 	for the Watertown facility may not exceed the dollar threshold provided in subdivision 
166.1 	2 unless the construction project has been approved through the moratorium exception 
166.2 	process under section 144A.073.
166.3 	The property-related payment rate of the facility placing beds on layaway status 
166.4 	must be adjusted by the incremental change in its rental per diem after recalculating the 
166.5 	rental per diem as provided in section 256B.431, subdivision 3a, paragraph (c). The 
166.6 	property-related payment rate for the facility relicensing and recertifying beds from 
166.7 	layaway status must be adjusted by the incremental change in its rental per diem after 
166.8 	recalculating its rental per diem using the number of beds after the relicensing to establish 
166.9 	the facility's capacity day divisor, which shall be effective the first day of the month 
166.10 	following the month in which the relicensing and recertification became effective. Any 
166.11 	beds remaining on layaway status more than five years after the date the layaway status 
166.12 	became effective must be removed from layaway status and immediately delicensed 
166.13 	and decertified;
166.14 	(u) to license and certify beds that are moved within an existing area of a facility or 
166.15 	to a newly constructed addition which is built for the purpose of eliminating three- and 
166.16 	four-bed rooms and adding space for dining, lounge areas, bathing rooms, and ancillary 
166.17 	service areas in a nursing home that, as of January 1, 1995, was located in Fridley and had 
166.18 	a licensed capacity of 129 beds;
166.19 	(v) to relocate 36 beds in Crow Wing County and four beds from Hennepin County 
166.20 	to a 160-bed facility in Crow Wing County, provided all the affected beds are under 
166.21 	common ownership;
166.22 	(w) to license and certify a total replacement project of up to 49 beds located in 
166.23 	Norman County that are relocated from a nursing home destroyed by flood and whose 
166.24 	residents were relocated to other nursing homes. The operating cost payment rates for 
166.25 	the new nursing facility shall be determined based on the interim and settle-up payment 
166.26 	provisions of Minnesota Rules, part 9549.0057, and the reimbursement provisions of 
166.27 	section 256B.431, except that subdivision 26, paragraphs (a) and (b), shall not apply until 
166.28 	the second rate year after the settle-up cost report is filed. Property-related reimbursement 
166.29 	rates shall be determined under section 256B.431, taking into account any federal or state 
166.30 	flood-related loans or grants provided to the facility;
166.31 	(x) to license and certify a total replacement project of up to 129 beds located 
166.32 	in Polk County that are relocated from a nursing home destroyed by flood and whose 
166.33 	residents were relocated to other nursing homes. The operating cost payment rates for 
166.34 	the new nursing facility shall be determined based on the interim and settle-up payment 
166.35 	provisions of Minnesota Rules, part 9549.0057, and the reimbursement provisions of 
166.36 	section 256B.431, except that subdivision 26, paragraphs (a) and (b), shall not apply until 
167.1 	the second rate year after the settle-up cost report is filed. Property-related reimbursement 
167.2 	rates shall be determined under section 256B.431, taking into account any federal or state 
167.3 	flood-related loans or grants provided to the facility;
167.4 	(y) to license and certify beds in a renovation and remodeling project to convert 13 
167.5 	three-bed wards into 13 two-bed rooms and 13 single-bed rooms, expand space, and 
167.6 	add improvements in a nursing home that, as of January 1, 1994, met the following 
167.7 	conditions: the nursing home was located in Ramsey County, was not owned by a hospital 
167.8 	corporation, had a licensed capacity of 64 beds, and had been ranked among the top 15 
167.9 	applicants by the 1993 moratorium exceptions advisory review panel. The total project 
167.10 	construction cost estimate for this project must not exceed the cost estimate submitted in 
167.11 	connection with the 1993 moratorium exception process;
167.12 	(z) to license and certify up to 150 nursing home beds to replace an existing 285 
167.13 	bed nursing facility located in St. Paul. The replacement project shall include both the 
167.14 	renovation of existing buildings and the construction of new facilities at the existing 
167.15 	site. The reduction in the licensed capacity of the existing facility shall occur during the 
167.16 	construction project as beds are taken out of service due to the construction process. Prior 
167.17 	to the start of the construction process, the facility shall provide written information to the 
167.18 	commissioner of health describing the process for bed reduction, plans for the relocation 
167.19 	of residents, and the estimated construction schedule. The relocation of residents shall be 
167.20 	in accordance with the provisions of law and rule;
167.21 	(aa) to allow the commissioner of human services to license an additional 36 beds 
167.22 	to provide residential services for the physically disabled under Minnesota Rules, parts 
167.23 	9570.2000 to 9570.3400, in a 198-bed nursing home located in Red Wing, provided that 
167.24 	the total number of licensed and certified beds at the facility does not increase;
167.25 	(bb) to license and certify a new facility in St. Louis County with 44 beds 
167.26 	constructed to replace an existing facility in St. Louis County with 31 beds, which has 
167.27 	resident rooms on two separate floors and an antiquated elevator that creates safety 
167.28 	concerns for residents and prevents nonambulatory residents from residing on the second 
167.29 	floor. The project shall include the elimination of three- and four-bed rooms;
167.30 	(cc) to license and certify four beds in a 16-bed certified boarding care home in 
167.31 	Minneapolis to replace beds that were voluntarily delicensed and decertified on or 
167.32 	before March 31, 1992. The licensure and certification is conditional upon the facility 
167.33 	periodically assessing and adjusting its resident mix and other factors which may 
167.34 	contribute to a potential institution for mental disease declaration. The commissioner of 
167.35 	human services shall retain the authority to audit the facility at any time and shall require 
168.1 	the facility to comply with any requirements necessary to prevent an institution for mental 
168.2 	disease declaration, including delicensure and decertification of beds, if necessary;
168.3 	(dd) to license and certify 72 beds in an existing facility in Mille Lacs County with 
168.4 	80 beds as part of a renovation project. The renovation must include construction of 
168.5 	an addition to accommodate ten residents with beginning and midstage dementia in a 
168.6 	self-contained living unit; creation of three resident households where dining, activities, 
168.7 	and support spaces are located near resident living quarters; designation of four beds 
168.8 	for rehabilitation in a self-contained area; designation of 30 private rooms; and other 
168.9 	improvements;
168.10 	(ee) to license and certify beds in a facility that has undergone replacement or 
168.11 	remodeling as part of a planned closure under section 256B.437;
168.12 	(ff) to license and certify a total replacement project of up to 124 beds located 
168.13 	in Wilkin County that are in need of relocation from a nursing home significantly 
168.14 	damaged by flood. The operating cost payment rates for the new nursing facility shall 
168.15 	be determined based on the interim and settle-up payment provisions of Minnesota 
168.16 	Rules, part 9549.0057, and the reimbursement provisions of section 256B.431, except 
168.17 	that section 256B.431, subdivision 26, paragraphs (a) and (b), shall not apply until the 
168.18 	second rate year after the settle-up cost report is filed. Property-related reimbursement 
168.19 	rates shall be determined under section 256B.431, taking into account any federal or state 
168.20 	flood-related loans or grants provided to the facility;
168.21 	(gg) to allow the commissioner of human services to license an additional nine beds 
168.22 	to provide residential services for the physically disabled under Minnesota Rules, parts 
168.23 	9570.2000 to 9570.3400, in a 240-bed nursing home located in Duluth, provided that the 
168.24 	total number of licensed and certified beds at the facility does not increase;
168.25 	(hh) to license and certify up to 120 new nursing facility beds to replace beds in a 
168.26 	facility in Anoka County, which was licensed for 98 beds as of July 1, 2000, provided the 
168.27 	new facility is located within four miles of the existing facility and is in Anoka County. 
168.28 	Operating and property rates shall be determined and allowed under section 256B.431
168.29 	and Minnesota Rules, parts 9549.0010 to 9549.0080, or section 256B.434 or 256B.435. 
168.30 	The provisions of section 256B.431, subdivision 26, paragraphs (a) and (b), do not apply 
168.31 	until the second rate year following settle-up 256B.441; or
168.32 	(ii) to transfer up to 98 beds of a 129-licensed bed facility located in Anoka County 
168.33 	that, as of March 25, 2001, is in the active process of closing, to a 122-licensed bed 
168.34 	nonprofit nursing facility located in the city of Columbia Heights or its affiliate. The 
168.35 	transfer is effective when the receiving facility notifies the commissioner in writing of the 
168.36 	number of beds accepted. The commissioner shall place all transferred beds on layaway 
169.1 	status held in the name of the receiving facility. The layaway adjustment provisions of 
169.2 	section 256B.431, subdivision 30, do not apply to this layaway. The receiving facility 
169.3 	may only remove the beds from layaway for recertification and relicensure at the receiving 
169.4 	facility's current site, or at a newly constructed facility located in Anoka County. The 
169.5 	receiving facility must receive statutory authorization before removing these beds from 
169.6 	layaway status, or may remove these beds from layaway status if removal from layaway 
169.7 	status is part of a moratorium exception project approved by the commissioner under 
169.8 	section 144A.073.

169.9 	Sec. 3. Minnesota Statutes 2011 Supplement, section 245A.03, subdivision 7, is 
169.10 	amended to read:
169.11 		Subd. 7.Licensing moratorium. (a) The commissioner shall not issue an 
169.12 	initial license for child foster care licensed under Minnesota Rules, parts 2960.3000 to 
169.13 	2960.3340, or adult foster care licensed under Minnesota Rules, parts 9555.5105 to 
169.14 	9555.6265, under this chapter for a physical location that will not be the primary residence 
169.15 	of the license holder for the entire period of licensure. If a license is issued during this 
169.16 	moratorium, and the license holder changes the license holder's primary residence away 
169.17 	from the physical location of the foster care license, the commissioner shall revoke the 
169.18 	license according to section 245A.07. Exceptions to the moratorium include:
169.19 	(1) foster care settings that are required to be registered under chapter 144D;
169.20 	(2) foster care licenses replacing foster care licenses in existence on May 15, 2009, 
169.21 	and determined to be needed by the commissioner under paragraph (b);
169.22 	(3) new foster care licenses determined to be needed by the commissioner under 
169.23 	paragraph (b) for the closure of a nursing facility, ICF/MR, or regional treatment center, or 
169.24 	restructuring of state-operated services that limits the capacity of state-operated facilities;
169.25 	(4) new foster care licenses determined to be needed by the commissioner under 
169.26 	paragraph (b) for persons requiring hospital level care; or
169.27 	(5) new foster care licenses determined to be needed by the commissioner for the 
169.28 	transition of people from personal care assistance to the home and community-based 
169.29 	services.
169.30 	(b) The commissioner shall determine the need for newly licensed foster care homes 
169.31 	as defined under this subdivision. As part of the determination, the commissioner shall 
169.32 	consider the availability of foster care capacity in the area in which the licensee seeks to 
169.33 	operate, and the recommendation of the local county board. The determination by the 
169.34 	commissioner must be final. A determination of need is not required for a change in 
169.35 	ownership at the same address.
170.1 	(c) Residential settings that would otherwise be subject to the moratorium established 
170.2 	in paragraph (a), that are in the process of receiving an adult or child foster care license as 
170.3 	of July 1, 2009, shall be allowed to continue to complete the process of receiving an adult 
170.4 	or child foster care license. For this paragraph, all of the following conditions must be met 
170.5 	to be considered in the process of receiving an adult or child foster care license:
170.6 	(1) participants have made decisions to move into the residential setting, including 
170.7 	documentation in each participant's care plan;
170.8 	(2) the provider has purchased housing or has made a financial investment in the 
170.9 	property;
170.10 	(3) the lead agency has approved the plans, including costs for the residential setting 
170.11 	for each individual;
170.12 	(4) the completion of the licensing process, including all necessary inspections, is 
170.13 	the only remaining component prior to being able to provide services; and
170.14 	(5) the needs of the individuals cannot be met within the existing capacity in that 
170.15 	county.
170.16 	To qualify for the process under this paragraph, the lead agency must submit 
170.17 	documentation to the commissioner by August 1, 2009, that all of the above criteria are 
170.18 	met.
170.19 	(d) (c) The commissioner shall study the effects of the license moratorium under this 
170.20 	subdivision and shall report back to the legislature by January 15, 2011. This study shall 
170.21 	include, but is not limited to the following:
170.22 	(1) the overall capacity and utilization of foster care beds where the physical location 
170.23 	is not the primary residence of the license holder prior to and after implementation 
170.24 	of the moratorium;
170.25 	(2) the overall capacity and utilization of foster care beds where the physical 
170.26 	location is the primary residence of the license holder prior to and after implementation 
170.27 	of the moratorium; and
170.28 	(3) the number of licensed and occupied ICF/MR beds prior to and after 
170.29 	implementation of the moratorium.
170.30 	(e) (d) When a foster care recipient moves out of a foster home that is not the 
170.31 	primary residence of the license holder according to section 256B.49, subdivision 15, 
170.32 	paragraph (f), the county shall immediately inform the Department of Human Services 
170.33 	Licensing Division, and the department shall immediately decrease the licensed capacity 
170.34 	for the home. A decreased licensed capacity according to this paragraph is not subject to 
170.35 	appeal under this chapter.
171.1 	(e) At the time of application and reapplication for licensure, the applicant and the 
171.2 	license holder that are subject to the moratorium or an exclusion established in paragraph 
171.3 	(a) are required to inform the commissioner whether the physical location where the foster 
171.4 	care will be provided is or will be the primary residence of the license holder for the entire 
171.5 	period of licensure. If the primary residence of the applicant or license holder changes, the 
171.6 	applicant or license holder must notify the commissioner immediately. The commissioner 
171.7 	shall print on the foster care license certificate whether or not the physical location is the 
171.8 	primary residence of the license holder.
171.9 	(f) License holders of foster care homes identified under paragraph (e) that are not 
171.10 	the primary residence of the license holder and that also provide services in the foster care 
171.11 	home that are covered by a federally approved home and community-based services 
171.12 	waiver, as authorized under section 256B.0915, 256B.092, or 256B.49 must inform the 
171.13 	human services licensing division that the license holder provides or intends to provide 
171.14 	these waiver-funded services. These license holders must be considered registered under 
171.15 	section 256B.092, subdivision 11, paragraph (c), and this registration status must be 
171.16 	identified on their license certificates.

171.17 	Sec. 4. Minnesota Statutes 2010, section 245A.11, subdivision 2a, is amended to read:
171.18 		Subd. 2a.Adult foster care license capacity. (a) The commissioner shall issue 
171.19 	adult foster care licenses with a maximum licensed capacity of four beds, including 
171.20 	nonstaff roomers and boarders, except that the commissioner may issue a license with a 
171.21 	capacity of five beds, including roomers and boarders, according to paragraphs (b) to (f).
171.22 	(b) An adult foster care license holder may have a maximum license capacity of five 
171.23 	if all persons in care are age 55 or over and do not have a serious and persistent mental 
171.24 	illness or a developmental disability.
171.25 	(c) The commissioner may grant variances to paragraph (b) to allow a foster care 
171.26 	provider with a licensed capacity of five persons to admit an individual under the age of 55 
171.27 	if the variance complies with section 245A.04, subdivision 9, and approval of the variance 
171.28 	is recommended by the county in which the licensed foster care provider is located.
171.29 	(d) The commissioner may grant variances to paragraph (b) to allow the use of a fifth 
171.30 	bed for emergency crisis services for a person with serious and persistent mental illness 
171.31 	or a developmental disability, regardless of age, if the variance complies with section 
171.32 	245A.04, subdivision 9, and approval of the variance is recommended by the county in 
171.33 	which the licensed foster care provider is located.
171.34 	(e) If the 2009 legislature adopts a rate reduction that impacts providers of adult 
171.35 	foster care services, the commissioner may issue an adult foster care license with a 
172.1 	capacity of five adults if the fifth bed does not increase the overall statewide capacity of 
172.2 	licensed adult foster care beds in homes that are not the primary residence of the license 
172.3 	holder, over the licensed capacity in such homes on July 1, 2009, as identified in a plan 
172.4 	submitted to the commissioner by the county, when the capacity is recommended by 
172.5 	the county licensing agency of the county in which the facility is located and if the 
172.6 	recommendation verifies that:
172.7 	(1) the facility meets the physical environment requirements in the adult foster 
172.8 	care licensing rule;
172.9 	(2) the five-bed living arrangement is specified for each resident in the resident's:
172.10 	(i) individualized plan of care;
172.11 	(ii) individual service plan under section 256B.092, subdivision 1b, if required; or
172.12 	(iii) individual resident placement agreement under Minnesota Rules, part 
172.13 	9555.5105, subpart 19, if required;
172.14 	(3) the license holder obtains written and signed informed consent from each 
172.15 	resident or resident's legal representative documenting the resident's informed choice to 
172.16 	living in the home and that the resident's refusal to consent would not have resulted in 
172.17 	service termination; and
172.18 	(4) the facility was licensed for adult foster care before March 1, 2009.
172.19 	(f) The commissioner shall not issue a new adult foster care license under paragraph 
172.20 	(e) after June 30, 2011 2014. The commissioner shall allow a facility with an adult foster 
172.21 	care license issued under paragraph (e) before June 30, 2011 2016, to continue with a 
172.22 	capacity of five adults if the license holder continues to comply with the requirements in 
172.23 	paragraph (e).

172.24 	Sec. 5. Minnesota Statutes 2010, section 245A.11, subdivision 8, is amended to read:
172.25 		Subd. 8.Community residential setting license. (a) The commissioner shall 
172.26 	establish provider standards for residential support services that integrate service standards 
172.27 	and the residential setting under one license. The commissioner shall propose statutory 
172.28 	language and an implementation plan for licensing requirements for residential support 
172.29 	services to the legislature by January 15, 2011 2012, as a component of the quality outcome 
172.30 	standards recommendations required by Laws 2010, chapter 352, article 1, section 24.
172.31 	(b) Providers licensed under chapter 245B, and providing, contracting, or arranging 
172.32 	for services in settings licensed as adult foster care under Minnesota Rules, parts 
172.33 	9555.5105 to 9555.6265, or child foster care under Minnesota Rules, parts 2960.3000 to 
172.34 	2960.3340; and meeting the provisions of section 256B.092, subdivision 11, paragraph 
172.35 	(b), must be required to obtain a community residential setting license.

173.1 	Sec. 6. Minnesota Statutes 2010, section 252.32, subdivision 1a, is amended to read:
173.2 		Subd. 1a.Support grants. (a) Provision of support grants must be limited to 
173.3 	families who require support and whose dependents are under the age of 21 and who 
173.4 	have been certified disabled under section 256B.055, subdivision 12, paragraphs (a), 
173.5 	(b), (c), (d), and (e). Families who are receiving: home and community-based waivered 
173.6 	services for persons with developmental disabilities authorized under section 256B.092 or 
173.7 	256B.49; personal care assistance under section 256B.0652; or a consumer support grant 
173.8 	under section 256.476 are not eligible for support grants.
173.9 	Families whose annual adjusted gross income is $60,000 or more are not eligible for 
173.10 	support grants except in cases where extreme hardship is demonstrated. Beginning in state 
173.11 	fiscal year 1994, the commissioner shall adjust the income ceiling annually to reflect the 
173.12 	projected change in the average value in the United States Department of Labor Bureau of 
173.13 	Labor Statistics Consumer Price Index (all urban) for that year.
173.14 	(b) Support grants may be made available as monthly subsidy grants and lump-sum 
173.15 	grants.
173.16 	(c) Support grants may be issued in the form of cash, voucher, and direct county 
173.17 	payment to a vendor.
173.18 	(d) Applications for the support grant shall be made by the legal guardian to the 
173.19 	county social service agency. The application shall specify the needs of the families, the 
173.20 	form of the grant requested by the families, and the items and services to be reimbursed.

173.21 	Sec. 7. [252.34] REPORT BY COMMISSIONER OF HUMAN SERVICES.
173.22 	Beginning January 1, 2013, the commissioner of human services shall provide a 
173.23 	biennial report to the chairs and ranking minority members of the legislative committees 
173.24 	with jurisdiction over health and human services policy and funding. The report must 
173.25 	provide a summary of overarching goals and priorities for persons with disabilities, 
173.26 	including the status of how each of the following programs administered by the 
173.27 	commissioner is supporting the overarching goals and priorities:
173.28 	(1) home and community-based services waivers for persons with disabilities under 
173.29 	sections 256B.092 and 256B.49;
173.30 	(2) home care services under section 256B.0652; and
173.31 	(3) other relevant programs and services as determined by the commissioner.

173.32 	Sec. 8. Minnesota Statutes 2010, section 252A.21, subdivision 2, is amended to read:
173.33 		Subd. 2.Rules. The commissioner shall adopt rules to implement this chapter. 
173.34 	The rules must include standards for performance of guardianship or conservatorship 
174.1 	duties including, but not limited to: twice a year visits with the ward; quarterly reviews 
174.2 	of records from day, residential, and support services; a requirement that the duties of 
174.3 	guardianship or conservatorship and case management not be performed by the same 
174.4 	person; specific standards for action on "do not resuscitate" orders, sterilization requests, 
174.5 	and the use of psychotropic medication and aversive procedures.

174.6 	Sec. 9. Minnesota Statutes 2010, section 256.476, subdivision 11, is amended to read:
174.7 		Subd. 11.Consumer support grant program after July 1, 2001.  Effective 
174.8 	July 1, 2001, the commissioner shall allocate consumer support grant resources to 
174.9 	serve additional individuals based on a review of Medicaid authorization and payment 
174.10 	information of persons eligible for a consumer support grant from the most recent fiscal 
174.11 	year. The commissioner shall use the following methodology to calculate maximum 
174.12 	allowable monthly consumer support grant levels:
174.13 	(1) For individuals whose program of origination is medical assistance home care 
174.14 	under sections 256B.0651 and 256B.0653 to 256B.0656, the maximum allowable monthly 
174.15 	grant levels are calculated by:
174.16 	(i) determining 50 percent of the averagethe service authorization for each 
174.17 	individual based on the individual's home care rating assessment;
174.18 	(ii) calculating the overall ratio of actual payments to service authorizations by 
174.19 	program;
174.20 	(iii) applying the overall ratio to the average50 percent of the service authorization 
174.21 	level of each home care rating; and
174.22 	(iv) adjusting the result for any authorized rate increaseschanges provided by the 
174.23 	legislature; and.
174.24 	(v) adjusting the result for the average monthly utilization per recipient.
174.25 	(2) The commissioner may review and evaluateshall ensure the methodology to 
174.26 	reflect changes inis consistent with the home care programs.

174.27 	Sec. 10. Minnesota Statutes 2010, section 256.9657, subdivision 1, is amended to read:
174.28 		Subdivision 1.Nursing home license surcharge. (a) Effective July 1, 1993, 
174.29 	each non-state-operated nursing home licensed under chapter 144A shall pay to the 
174.30 	commissioner an annual surcharge according to the schedule in subdivision 4. The 
174.31 	surcharge shall be calculated as $620 per licensed bed. If the number of licensed beds 
174.32 	is reduced, the surcharge shall be based on the number of remaining licensed beds the 
174.33 	second month following the receipt of timely notice by the commissioner of human 
174.34 	services that beds have been delicensed. The nursing home must notify the commissioner 
175.1 	of health in writing when beds are delicensed. The commissioner of health must notify 
175.2 	the commissioner of human services within ten working days after receiving written 
175.3 	notification. If the notification is received by the commissioner of human services by 
175.4 	the 15th of the month, the invoice for the second following month must be reduced 
175.5 	to recognize the delicensing of beds. Beds on layaway status continue to be subject to 
175.6 	the surcharge. The commissioner of human services must acknowledge a medical care 
175.7 	surcharge appeal within 30 days of receipt of the written appeal from the provider.
175.8 	(b) Effective July 1, 1994, the surcharge in paragraph (a) shall be increased to $625.
175.9 	(c) Effective August 15, 2002, the surcharge under paragraph (b) shall be increased 
175.10 	to $990.
175.11 	(d) Effective July 15, 2003, the surcharge under paragraph (c) shall be increased 
175.12 	to $2,815.
175.13 	(e) The commissioner may reduce, and may subsequently restore, the surcharge 
175.14 	under paragraph (d) based on the commissioner's determination of a permissible surcharge.
175.15 	(f) Between April 1, 2002, and August 15, 2004, a facility governed by this 
175.16 	subdivision may elect to assume full participation in the medical assistance program 
175.17 	by agreeing to comply with all of the requirements of the medical assistance program, 
175.18 	including the rate equalization law in section 256B.48, subdivision 1, paragraph (a), and 
175.19 	all other requirements established in law or rule, and to begin intake of new medical 
175.20 	assistance recipients. Rates will be determined under Minnesota Rules, parts 9549.0010 
175.21 	to 9549.0080. Notwithstanding section 256B.431, subdivision 27, paragraph (i), Rate 
175.22 	calculations will be subject to limits as prescribed in rule and law. Other than the 
175.23 	adjustments in sections 256B.431, subdivisions 30 and 32; 256B.437, subdivision 3, 
175.24 	paragraph (b), Minnesota Rules, part 9549.0057, and any other applicable legislation 
175.25 	enacted prior to the finalization of rates, facilities assuming full participation in medical 
175.26 	assistance under this paragraph are not eligible for any rate adjustments until the July 1 
175.27 	following their settle-up period.

175.28 	Sec. 11. Minnesota Statutes 2010, section 256B.0625, subdivision 19c, is amended to 
175.29 	read:
175.30 		Subd. 19c.Personal care. Medical assistance covers personal care assistance 
175.31 	services provided by an individual who is qualified to provide the services according to 
175.32 	subdivision 19a and sections 256B.0651 to 256B.0656, provided in accordance with a 
175.33 	plan, and supervised by a qualified professional.
175.34 	"Qualified professional" means a mental health professional as defined in section 
175.35 	245.462, subdivision 18, clauses (1) to (6), or 245.4871, subdivision 27, clauses (1) to (6); 
176.1 	or a registered nurse as defined in sections 148.171 to 148.285, a licensed social worker 
176.2 	as defined in sections 148D.010 and 148D.055, or a qualified developmental disabilities 
176.3 	specialist under section 245B.07, subdivision 4. The qualified professional shall perform 
176.4 	the duties required in section 256B.0659.

176.5 	Sec. 12. Minnesota Statutes 2010, section 256B.0659, subdivision 1, is amended to 
176.6 	read:
176.7 		Subdivision 1.Definitions. (a) For the purposes of this section, the terms defined in 
176.8 	paragraphs (b) to (r) have the meanings given unless otherwise provided in text.
176.9 	(b) "Activities of daily living" means grooming, dressing, bathing, transferring, 
176.10 	mobility, positioning, eating, and toileting.
176.11 	(c) "Behavior," effective January 1, 2010, means a category to determine the home 
176.12 	care rating and is based on the criteria found in this section. "Level I behavior" means 
176.13 	physical aggression towards self, others, or destruction of property that requires the 
176.14 	immediate response of another person.
176.15 	(d) "Complex health-related needs," effective January 1, 2010, means a category to 
176.16 	determine the home care rating and is based on the criteria found in this section.
176.17 	(e) "Critical activities of daily living," effective January 1, 2010, means transferring, 
176.18 	mobility, eating, and toileting.
176.19 	(f) "Dependency in activities of daily living" means a person requires assistance to 
176.20 	begin and complete one or more of the activities of daily living.
176.21 	(g) "Extended personal care assistance service" means personal care assistance 
176.22 	services included in a service plan under one of the home and community-based services 
176.23 	waivers authorized under sections 256B.0915, 256B.092, subdivision 5, and 256B.49, 
176.24 	which exceed the amount, duration, and frequency of the state plan personal care 
176.25 	assistance services for participants who:
176.26 	(1) need assistance provided periodically during a week, but less than daily will not 
176.27 	be able to remain in their homes without the assistance, and other replacement services 
176.28 	are more expensive or are not available when personal care assistance services are to 
176.29 	be terminated reduced; or
176.30 	(2) need additional personal care assistance services beyond the amount authorized 
176.31 	by the state plan personal care assistance assessment in order to ensure that their safety, 
176.32 	health, and welfare are provided for in their homes.
176.33 	(h) "Health-related procedures and tasks" means procedures and tasks that can 
176.34 	be delegated or assigned by a licensed health care professional under state law to be 
176.35 	performed by a personal care assistant.
177.1 	(i) "Instrumental activities of daily living" means activities to include meal planning 
177.2 	and preparation; basic assistance with paying bills; shopping for food, clothing, and other 
177.3 	essential items; performing household tasks integral to the personal care assistance 
177.4 	services; communication by telephone and other media; and traveling, including to 
177.5 	medical appointments and to participate in the community.
177.6 	(j) "Managing employee" has the same definition as Code of Federal Regulations, 
177.7 	title 42, section 455.
177.8 	(k) "Qualified professional" means a professional providing supervision of personal 
177.9 	care assistance services and staff as defined in section 256B.0625, subdivision 19c.
177.10 	(l) "Personal care assistance provider agency" means a medical assistance enrolled 
177.11 	provider that provides or assists with providing personal care assistance services and 
177.12 	includes a personal care assistance provider organization, personal care assistance choice 
177.13 	agency, class A licensed nursing agency, and Medicare-certified home health agency.
177.14 	(m) "Personal care assistant" or "PCA" means an individual employed by a personal 
177.15 	care assistance agency who provides personal care assistance services.
177.16 	(n) "Personal care assistance care plan" means a written description of personal 
177.17 	care assistance services developed by the personal care assistance provider according 
177.18 	to the service plan.
177.19 	(o) "Responsible party" means an individual who is capable of providing the support 
177.20 	necessary to assist the recipient to live in the community.
177.21 	(p) "Self-administered medication" means medication taken orally, by injection or 
177.22 	insertion, or applied topically without the need for assistance.
177.23 	(q) "Service plan" means a written summary of the assessment and description of the 
177.24 	services needed by the recipient.
177.25 	(r) "Wages and benefits" means wages and salaries, the employer's share of FICA 
177.26 	taxes, Medicare taxes, state and federal unemployment taxes, workers' compensation, 
177.27 	mileage reimbursement, health and dental insurance, life insurance, disability insurance, 
177.28 	long-term care insurance, uniform allowance, and contributions to employee retirement 
177.29 	accounts.

177.30 	Sec. 13. Minnesota Statutes 2010, section 256B.0659, subdivision 3, is amended to 
177.31 	read:
177.32 		Subd. 3.Noncovered personal care assistance services. (a) Personal care 
177.33 	assistance services are not eligible for medical assistance payment under this section 
177.34 	when provided:
178.1 	(1) by the recipient's spouse, parent of a recipient under the age of 18, paid legal 
178.2 	guardian, licensed foster provider, except as allowed under section 256B.0652, subdivision 
178.3 	10, or responsible party;
178.4 	(2) in lieu of other staffing options order to meet staffing or license requirements in a 
178.5 	residential or child care setting;
178.6 	(3) solely as a child care or babysitting service; or
178.7 	(4) without authorization by the commissioner or the commissioner's designee.
178.8 	(b) The following personal care services are not eligible for medical assistance 
178.9 	payment under this section when provided in residential settings:
178.10 	(1) effective January 1, 2010, when the provider of home care services who is not 
178.11 	related by blood, marriage, or adoption owns or otherwise controls the living arrangement, 
178.12 	including licensed or unlicensed services; or
178.13 	(2) when personal care assistance services are the responsibility of a residential or 
178.14 	program license holder under the terms of a service agreement and administrative rules.
178.15 	(c) Other specific tasks not covered under paragraph (a) or (b) that are not eligible 
178.16 	for medical assistance reimbursement for personal care assistance services under this 
178.17 	section include:
178.18 	(1) sterile procedures;
178.19 	(2) injections of fluids and medications into veins, muscles, or skin;
178.20 	(3) home maintenance or chore services;
178.21 	(4) homemaker services not an integral part of assessed personal care assistance 
178.22 	services needed by a recipient;
178.23 	(5) application of restraints or implementation of procedures under section 245.825;
178.24 	(6) instrumental activities of daily living for children under the age of 18, except 
178.25 	when immediate attention is needed for health or hygiene reasons integral to the personal 
178.26 	care services and the need is listed in the service plan by the assessor; and
178.27 	(7) assessments for personal care assistance services by personal care assistance 
178.28 	provider agencies or by independently enrolled registered nurses.

178.29 	Sec. 14. Minnesota Statutes 2010, section 256B.0659, subdivision 9, is amended to 
178.30 	read:
178.31 		Subd. 9.Responsible party; generally. (a) "Responsible party" means an 
178.32 	individual who is capable of providing the support necessary to assist the recipient to live 
178.33 	in the community.
178.34 	(b) A responsible party must be 18 years of age, actively participate in planning and 
178.35 	directing of personal care assistance services, and attend all assessments for the recipient.
179.1 	(c) A responsible party must not be the:
179.2 	(1) personal care assistant;
179.3 	(2) qualified professional;
179.4 	(3) home care provider agency owner or staff manager; or
179.5 	(4) home care provider agency staff unless staff who are not listed in clauses (1) to 
179.6 	(3) are related to the recipient by blood, marriage, or adoption; or
179.7 	(3) (5) county staff acting as part of employment.
179.8 	(d) A licensed family foster parent who lives with the recipient may be the 
179.9 	responsible party as long as the family foster parent meets the other responsible party 
179.10 	requirements.
179.11 	(e) A responsible party is required when:
179.12 	(1) the person is a minor according to section 524.5-102, subdivision 10;
179.13 	(2) the person is an incapacitated adult according to section 524.5-102, subdivision 
179.14 	6, resulting in a court-appointed guardian; or
179.15 	(3) the assessment according to subdivision 3a determines that the recipient is in 
179.16 	need of a responsible party to direct the recipient's care.
179.17 	(f) There may be two persons designated as the responsible party for reasons such 
179.18 	as divided households and court-ordered custodies. Each person named as responsible 
179.19 	party must meet the program criteria and responsibilities.
179.20 	(g) The recipient or the recipient's legal representative shall appoint a responsible 
179.21 	party if necessary to direct and supervise the care provided to the recipient. The 
179.22 	responsible party must be identified at the time of assessment and listed on the recipient's 
179.23 	service agreement and personal care assistance care plan.

179.24 	Sec. 15. Minnesota Statutes 2011 Supplement, section 256B.0659, subdivision 11, 
179.25 	is amended to read:
179.26 		Subd. 11.Personal care assistant; requirements. (a) A personal care assistant 
179.27 	must meet the following requirements:
179.28 	(1) be at least 18 years of age with the exception of persons who are 16 or 17 years 
179.29 	of age with these additional requirements:
179.30 	(i) supervision by a qualified professional every 60 days; and
179.31 	(ii) employment by only one personal care assistance provider agency responsible 
179.32 	for compliance with current labor laws;
179.33 	(2) be employed by a personal care assistance provider agency;
179.34 	(3) enroll with the department as a personal care assistant after clearing a background 
179.35 	study. Except as provided in subdivision 11a, before a personal care assistant provides 
180.1 	services, the personal care assistance provider agency must initiate a background study on 
180.2 	the personal care assistant under chapter 245C, and the personal care assistance provider 
180.3 	agency must have received a notice from the commissioner that the personal care assistant 
180.4 	is:
180.5 	(i) not disqualified under section 245C.14; or
180.6 	(ii) is disqualified, but the personal care assistant has received a set aside of the 
180.7 	disqualification under section 245C.22;
180.8 	(4) be able to effectively communicate with the recipient and personal care 
180.9 	assistance provider agency;
180.10 	(5) be able to provide covered personal care assistance services according to the 
180.11 	recipient's personal care assistance care plan, respond appropriately to recipient needs, 
180.12 	and report changes in the recipient's condition to the supervising qualified professional 
180.13 	or physician;
180.14 	(6) not be a consumer of personal care assistance services;
180.15 	(7) maintain daily written records including, but not limited to, time sheets under 
180.16 	subdivision 12;
180.17 	(8) effective January 1, 2010, complete standardized training as determined 
180.18 	by the commissioner before completing enrollment. The training must be available 
180.19 	in languages other than English and to those who need accommodations due to 
180.20 	disabilities. Personal care assistant training must include successful completion of the 
180.21 	following training components: basic first aid, vulnerable adult, child maltreatment, 
180.22 	OSHA universal precautions, basic roles and responsibilities of personal care assistants 
180.23 	including information about assistance with lifting and transfers for recipients, emergency 
180.24 	preparedness, orientation to positive behavioral practices, fraud issues, and completion of 
180.25 	time sheets. Upon completion of the training components, the personal care assistant must 
180.26 	demonstrate the competency to provide assistance to recipients;
180.27 	(9) complete training and orientation on the needs of the recipient within the first 
180.28 	seven days after the services begin; and
180.29 	(10) be limited to providing and being paid for up to 275 hours per month, except 
180.30 	that this limit shall be 275 hours per month for the period July 1, 2009, through June 30, 
180.31 	2011, of personal care assistance services regardless of the number of recipients being 
180.32 	served or the number of personal care assistance provider agencies enrolled with. The 
180.33 	number of hours worked per day shall not be disallowed by the department unless in 
180.34 	violation of the law.
180.35 	(b) A legal guardian may be a personal care assistant if the guardian is not being paid 
180.36 	for the guardian services and meets the criteria for personal care assistants in paragraph (a).
181.1 	(c) Persons who do not qualify as a personal care assistant include parents and,
181.2 	stepparents, and legal guardians of minors,; spouses,; paid legal guardians, of adults;
181.3 	family foster care providers, except as otherwise allowed in section 256B.0625, 
181.4 	subdivision 19a, or; and staff of a residential setting. When the personal care assistant is a 
181.5 	relative of the recipient, the commissioner shall pay 80 percent of the provider rate. For 
181.6 	purposes of this section, relative means the parent or adoptive parent of an adult child, a 
181.7 	sibling aged 16 years or older, an adult child, a grandparent, or a grandchild.

181.8 	Sec. 16. Minnesota Statutes 2010, section 256B.0659, subdivision 13, is amended to 
181.9 	read:
181.10 		Subd. 13.Qualified professional; qualifications. (a) The qualified professional 
181.11 	must work for a personal care assistance provider agency and meet the definition under 
181.12 	section 256B.0625, subdivision 19c. Before a qualified professional provides services, the 
181.13 	personal care assistance provider agency must initiate a background study on the qualified 
181.14 	professional under chapter 245C, and the personal care assistance provider agency must 
181.15 	have received a notice from the commissioner that the qualified professional:
181.16 	(1) is not disqualified under section 245C.14; or
181.17 	(2) is disqualified, but the qualified professional has received a set aside of the 
181.18 	disqualification under section 245C.22.
181.19 	(b) The qualified professional shall perform the duties of training, supervision, and 
181.20 	evaluation of the personal care assistance staff and evaluation of the effectiveness of 
181.21 	personal care assistance services. The qualified professional shall:
181.22 	(1) develop and monitor with the recipient a personal care assistance care plan based 
181.23 	on the service plan and individualized needs of the recipient;
181.24 	(2) develop and monitor with the recipient a monthly plan for the use of personal 
181.25 	care assistance services;
181.26 	(3) review documentation of personal care assistance services provided;
181.27 	(4) provide training and ensure competency for the personal care assistant in the 
181.28 	individual needs of the recipient; and
181.29 	(5) document all training, communication, evaluations, and needed actions to 
181.30 	improve performance of the personal care assistants.
181.31 	(c) Effective July 1, 2010 2011, the qualified professional shall complete the provider 
181.32 	training with basic information about the personal care assistance program approved by 
181.33 	the commissioner. Newly hired qualified professionals must complete the training within 
181.34 	six months of the date hired by a personal care assistance provider agency. Qualified 
181.35 	professionals who have completed the required training as a worker from a personal care 
182.1 	assistance provider agency do not need to repeat the required training if they are hired 
182.2 	by another agency, if they have completed the training within the last three years. The 
182.3 	required training shall must be available in languages other than English and to those who 
182.4 	need accommodations due to disabilities,with meaningful access according to title VI of 
182.5 	the Civil Rights Act and federal regulations adopted under that law or any guidance from 
182.6 	the United States Health and Human Services Department. The required training must 
182.7 	be available online, or by electronic remote connection, and. The required training must
182.8 	provide for competency testing to demonstrate an understanding of the content without 
182.9 	attending in-person training. A qualified professional is allowed to be employed and is not 
182.10 	subject to the training requirement until the training is offered online or through remote 
182.11 	electronic connection. A qualified professional employed by a personal care assistance 
182.12 	provider agency certified for participation in Medicare as a home health agency is exempt 
182.13 	from the training required in this subdivision. When available, the qualified professional 
182.14 	working for a Medicare-certified home health agency must successfully complete the 
182.15 	competency test. The commissioner shall ensure there is a mechanism in place to verify 
182.16 	the identity of persons completing the competency testing electronically.

182.17 	EFFECTIVE DATE. This section is effective retroactively from July 1, 2011.

182.18 	Sec. 17. Minnesota Statutes 2010, section 256B.0659, subdivision 14, is amended to 
182.19 	read:
182.20 		Subd. 14.Qualified professional; duties. (a) Effective January 1, 2010, all personal 
182.21 	care assistants must be supervised by a qualified professional.
182.22 	(b) Through direct training, observation, return demonstrations, and consultation 
182.23 	with the staff and the recipient, the qualified professional must ensure and document 
182.24 	that the personal care assistant is:
182.25 	(1) capable of providing the required personal care assistance services;
182.26 	(2) knowledgeable about the plan of personal care assistance services before services 
182.27 	are performed; and
182.28 	(3) able to identify conditions that should be immediately brought to the attention of 
182.29 	the qualified professional.
182.30 	(c) The qualified professional shall evaluate the personal care assistant within the 
182.31 	first 14 days of starting to provide regularly scheduled services for a recipient, or sooner as 
182.32 	determined by the qualified professional, except for the personal care assistance choice 
182.33 	option under subdivision 19, paragraph (a), clause (4). For the initial evaluation, the 
182.34 	qualified professional shall evaluate the personal care assistance services for a recipient 
182.35 	through direct observation of a personal care assistant's work. The qualified professional 
183.1 	may conduct additional training and evaluation visits, based upon the needs of the 
183.2 	recipient and the personal care assistant's ability to meet those needs. Subsequent visits to 
183.3 	evaluate the personal care assistance services provided to a recipient do not require direct 
183.4 	observation of each personal care assistant's work and shall occur:
183.5 	(1) at least every 90 days thereafter for the first year of a recipient's services;
183.6 	(2) every 120 days after the first year of a recipient's service or whenever needed for 
183.7 	response to a recipient's request for increased supervision of the personal care assistance 
183.8 	staff; and
183.9 	(3) after the first 180 days of a recipient's service, supervisory visits may alternate 
183.10 	between unscheduled phone or Internet technology and in-person visits, unless the 
183.11 	in-person visits are needed according to the care plan.
183.12 	(d) Communication with the recipient is a part of the evaluation process of the 
183.13 	personal care assistance staff.
183.14 	(e) At each supervisory visit, the qualified professional shall evaluate personal care 
183.15 	assistance services including the following information:
183.16 	(1) satisfaction level of the recipient with personal care assistance services;
183.17 	(2) review of the month-to-month plan for use of personal care assistance services;
183.18 	(3) review of documentation of personal care assistance services provided;
183.19 	(4) whether the personal care assistance services are meeting the goals of the service 
183.20 	as stated in the personal care assistance care plan and service plan;
183.21 	(5) a written record of the results of the evaluation and actions taken to correct any 
183.22 	deficiencies in the work of a personal care assistant; and
183.23 	(6) revision of the personal care assistance care plan as necessary in consultation 
183.24 	with the recipient or responsible party, to meet the needs of the recipient.
183.25 	(f) The qualified professional shall complete the required documentation in the 
183.26 	agency recipient and employee files and the recipient's home, including the following 
183.27 	documentation:
183.28 	(1) the personal care assistance care plan based on the service plan and individualized 
183.29 	needs of the recipient;
183.30 	(2) a month-to-month plan for use of personal care assistance services;
183.31 	(3) changes in need of the recipient requiring a change to the level of service and the 
183.32 	personal care assistance care plan;
183.33 	(4) evaluation results of supervision visits and identified issues with personal care 
183.34 	assistance staff with actions taken;
183.35 	(5) all communication with the recipient and personal care assistance staff; and
183.36 	(6) hands-on training or individualized training for the care of the recipient.
184.1 	(g) The documentation in paragraph (f) must be done on agency forms templates.
184.2 	(h) The services that are not eligible for payment as qualified professional services 
184.3 	include:
184.4 	(1) direct professional nursing tasks that could be assessed and authorized as skilled 
184.5 	nursing tasks;
184.6 	(2) supervision of personal care assistance completed by telephone;
184.7 	(3) (2) agency administrative activities;
184.8 	(4) (3) training other than the individualized training required to provide care for a 
184.9 	recipient; and
184.10 	(5) (4) any other activity that is not described in this section.

184.11 	Sec. 18. Minnesota Statutes 2010, section 256B.0659, subdivision 19, is amended to 
184.12 	read:
184.13 		Subd. 19.Personal care assistance choice option; qualifications; duties. (a) 
184.14 	Under personal care assistance choice, the recipient or responsible party shall:
184.15 	(1) recruit, hire, schedule, and terminate personal care assistants according to the 
184.16 	terms of the written agreement required under subdivision 20, paragraph (a);
184.17 	(2) develop a personal care assistance care plan based on the assessed needs 
184.18 	and addressing the health and safety of the recipient with the assistance of a qualified 
184.19 	professional as needed;
184.20 	(3) orient and train the personal care assistant with assistance as needed from the 
184.21 	qualified professional;
184.22 	(4) effective January 1, 2010, supervise and evaluate the personal care assistant with 
184.23 	the qualified professional, who is required to visit the recipient at least every 180 days;
184.24 	(5) monitor and verify in writing and report to the personal care assistance choice 
184.25 	agency the number of hours worked by the personal care assistant and the qualified 
184.26 	professional;
184.27 	(6) engage in an annual face-to-face reassessment to determine continuing eligibility 
184.28 	and service authorization; and
184.29 	(7) use the same personal care assistance choice provider agency if shared personal 
184.30 	assistance care is being used.
184.31 	(b) The personal care assistance choice provider agency shall:
184.32 	(1) meet all personal care assistance provider agency standards;
184.33 	(2) enter into a written agreement with the recipient, responsible party, and personal 
184.34 	care assistants;
185.1 	(3) not be related as a parent, child, sibling, or spouse to the recipient, qualified 
185.2 	professional, or the personal care assistant; and
185.3 	(4) ensure arm's-length transactions without undue influence or coercion with the 
185.4 	recipient and personal care assistant.
185.5 	(c) The duties of the personal care assistance choice provider agency are to:
185.6 	(1) be the employer of the personal care assistant and the qualified professional for 
185.7 	employment law and related regulations including, but not limited to, purchasing and 
185.8 	maintaining workers' compensation, unemployment insurance, surety and fidelity bonds, 
185.9 	and liability insurance, and submit any or all necessary documentation including, but not 
185.10 	limited to, workers' compensation and unemployment insurance;
185.11 	(2) bill the medical assistance program for personal care assistance services and 
185.12 	qualified professional services;
185.13 	(3) request and complete background studies that comply with the requirements for 
185.14 	personal care assistants and qualified professionals;
185.15 	(4) pay the personal care assistant and qualified professional based on actual hours 
185.16 	of services provided;
185.17 	(5) withhold and pay all applicable federal and state taxes;
185.18 	(6) verify and keep records of hours worked by the personal care assistant and 
185.19 	qualified professional;
185.20 	(7) make the arrangements and pay taxes and other benefits, if any, and comply with 
185.21 	any legal requirements for a Minnesota employer;
185.22 	(8) enroll in the medical assistance program as a personal care assistance choice 
185.23 	agency; and
185.24 	(9) enter into a written agreement as specified in subdivision 20 before services 
185.25 	are provided.

185.26 	Sec. 19. Minnesota Statutes 2010, section 256B.0659, subdivision 20, is amended to 
185.27 	read:
185.28 		Subd. 20.Personal care assistance choice option; administration. (a) Before 
185.29 	services commence under the personal care assistance choice option, and annually 
185.30 	thereafter, the personal care assistance choice provider agency and the recipient or 
185.31 	responsible party shall enter into a written agreement. The annual agreement must be 
185.32 	provided to the recipient or responsible party, each personal care assistant, and the 
185.33 	qualified professional when completed, and include at a minimum:
185.34 	(1) duties of the recipient, qualified professional, personal care assistant, and 
185.35 	personal care assistance choice provider agency;
186.1 	(2) salary and benefits for the personal care assistant and the qualified professional;
186.2 	(3) administrative fee of the personal care assistance choice provider agency and 
186.3 	services paid for with that fee, including background study fees;
186.4 	(4) grievance procedures to respond to complaints;
186.5 	(5) procedures for hiring and terminating the personal care assistant; and
186.6 	(6) documentation requirements including, but not limited to, time sheets, activity 
186.7 	records, and the personal care assistance care plan.
186.8 	(b) Effective January 1, 2010, except for the administrative fee of the personal care 
186.9 	assistance choice provider agency as reported on the written agreement, the remainder 
186.10 	of the rates paid to the personal care assistance choice provider agency must be used to 
186.11 	pay for the salary and benefits for the personal care assistant or the qualified professional. 
186.12 	The provider agency must use a minimum of 72.5 percent of the revenue generated by 
186.13 	the medical assistance rate for personal care assistance services for employee personal 
186.14 	care assistant wages and benefits. The revenue generated by the qualified professional 
186.15 	and the reasonable costs associated with the qualified professional shall not be used in 
186.16 	making this calculation.
186.17 	(c) The commissioner shall deny, revoke, or suspend the authorization to use the 
186.18 	personal care assistance choice option if:
186.19 	(1) it has been determined by the qualified professional or public health nurse that 
186.20 	the use of this option jeopardizes the recipient's health and safety;
186.21 	(2) the parties have failed to comply with the written agreement specified in this 
186.22 	subdivision;
186.23 	(3) the use of the option has led to abusive or fraudulent billing for personal care 
186.24 	assistance services; or
186.25 	(4) the department terminates the personal care assistance choice option.
186.26 	(d) The recipient or responsible party may appeal the commissioner's decision in 
186.27 	paragraph (c) according to section 256.045. The denial, revocation, or suspension to 
186.28 	use the personal care assistance choice option must not affect the recipient's authorized 
186.29 	level of personal care assistance services.

186.30 	Sec. 20. Minnesota Statutes 2010, section 256B.0659, subdivision 21, is amended to 
186.31 	read:
186.32 		Subd. 21.Requirements for initial enrollment of personal care assistance 
186.33 	provider agencies. (a) All personal care assistance provider agencies must provide, at the 
186.34 	time of enrollment as a personal care assistance provider agency in a format determined 
187.1 	by the commissioner, information and documentation that includes, but is not limited to, 
187.2 	the following:
187.3 	(1) the personal care assistance provider agency's current contact information 
187.4 	including address, telephone number, and e-mail address;
187.5 	(2) proof of surety bond coverage in the amount of $50,000 or ten percent of the 
187.6 	provider's payments from Medicaid in the previous year, whichever is less;
187.7 	(3) proof of fidelity bond coverage in the amount of $20,000;
187.8 	(4) proof of workers' compensation insurance coverage;
187.9 	(5) proof of liability insurance;
187.10 	(6) a description of the personal care assistance provider agency's organization 
187.11 	identifying the names of all owners, managing employees, staff, board of directors, and 
187.12 	the affiliations of the directors, owners, or staff to other service providers;
187.13 	(7) a copy of the personal care assistance provider agency's written policies and 
187.14 	procedures including: hiring of employees; training requirements; service delivery; 
187.15 	and employee and consumer safety including process for notification and resolution 
187.16 	of consumer grievances, identification and prevention of communicable diseases, and 
187.17 	employee misconduct;
187.18 	(8) copies of all other forms the personal care assistance provider agency uses in 
187.19 	the course of daily business including, but not limited to:
187.20 	(i) a copy of the personal care assistance provider agency's time sheet if the time 
187.21 	sheet varies from the standard time sheet for personal care assistance services approved 
187.22 	by the commissioner, and a letter requesting approval of the personal care assistance 
187.23 	provider agency's nonstandard time sheet;
187.24 	(ii) the personal care assistance provider agency's template for the personal care 
187.25 	assistance care plan; and
187.26 	(iii) the personal care assistance provider agency's template for the written 
187.27 	agreement in subdivision 20 for recipients using the personal care assistance choice 
187.28 	option, if applicable;
187.29 	(9) a list of all training and classes that the personal care assistance provider agency 
187.30 	requires of its staff providing personal care assistance services;
187.31 	(10) documentation that the personal care assistance provider agency and staff have 
187.32 	successfully completed all the training required by this section;
187.33 	(11) documentation of the agency's marketing practices;
187.34 	(12) disclosure of ownership, leasing, or management of all residential properties 
187.35 	that is used or could be used for providing home care services;
188.1 	(13) documentation that the agency will use the following percentages of revenue 
188.2 	generated from the medical assistance rate paid for personal care assistance services 
188.3 	for employee personal care assistant wages and benefits: 72.5 percent of revenue in the 
188.4 	personal care assistance choice option and 72.5 percent of revenue from other personal 
188.5 	care assistance providers. The revenue generated by the qualified professional and the 
188.6 	reasonable costs associated with the qualified professional shall not be used in making 
188.7 	this calculation; and
188.8 	(14) effective May 15, 2010, documentation that the agency does not burden 
188.9 	recipients' free exercise of their right to choose service providers by requiring personal 
188.10 	care assistants to sign an agreement not to work with any particular personal care 
188.11 	assistance recipient or for another personal care assistance provider agency after leaving 
188.12 	the agency and that the agency is not taking action on any such agreements or requirements 
188.13 	regardless of the date signed.
188.14 	(b) Personal care assistance provider agencies shall provide the information specified 
188.15 	in paragraph (a) to the commissioner at the time the personal care assistance provider 
188.16 	agency enrolls as a vendor or upon request from the commissioner. The commissioner 
188.17 	shall collect the information specified in paragraph (a) from all personal care assistance 
188.18 	providers beginning July 1, 2009.
188.19 	(c) All personal care assistance provider agencies shall require all employees in 
188.20 	management and supervisory positions and owners of the agency who are active in the 
188.21 	day-to-day management and operations of the agency to complete mandatory training 
188.22 	as determined by the commissioner before enrollment of the agency as a provider. 
188.23 	Employees in management and supervisory positions and owners who are active in 
188.24 	the day-to-day operations of an agency who have completed the required training as 
188.25 	an employee with a personal care assistance provider agency do not need to repeat 
188.26 	the required training if they are hired by another agency, if they have completed the 
188.27 	training within the past three years. By September 1, 2010, the required training must be 
188.28 	available in languages other than English and to those who need accommodations due 
188.29 	to disabilities,with meaningful access according to title VI of the Civil Rights Act and 
188.30 	federal regulations adopted under that law or any guidance from the United States Health 
188.31 	and Human Services Department. The required training must be available online, or by 
188.32 	electronic remote connection, and. The required training must provide for competency 
188.33 	testing. Personal care assistance provider agency billing staff shall complete training about 
188.34 	personal care assistance program financial management. This training is effective July 1, 
188.35 	2009. Any personal care assistance provider agency enrolled before that date shall, if it 
188.36 	has not already, complete the provider training within 18 months of July 1, 2009. Any new 
189.1 	owners or employees in management and supervisory positions involved in the day-to-day 
189.2 	operations are required to complete mandatory training as a requisite of working for the 
189.3 	agency. Personal care assistance provider agencies certified for participation in Medicare 
189.4 	as home health agencies are exempt from the training required in this subdivision. When 
189.5 	available, Medicare-certified home health agency owners, supervisors, or managers must 
189.6 	successfully complete the competency test.

189.7 	Sec. 21. Minnesota Statutes 2010, section 256B.0659, subdivision 24, is amended to 
189.8 	read:
189.9 		Subd. 24.Personal care assistance provider agency; general duties. A personal 
189.10 	care assistance provider agency shall:
189.11 	(1) enroll as a Medicaid provider meeting all provider standards, including 
189.12 	completion of the required provider training;
189.13 	(2) comply with general medical assistance coverage requirements;
189.14 	(3) demonstrate compliance with law and policies of the personal care assistance 
189.15 	program to be determined by the commissioner;
189.16 	(4) comply with background study requirements;
189.17 	(5) verify and keep records of hours worked by the personal care assistant and 
189.18 	qualified professional;
189.19 	(6) not engage in any agency-initiated direct contact or marketing in person, by 
189.20 	phone, or other electronic means to potential recipients, guardians, or family members;
189.21 	(7) pay the personal care assistant and qualified professional based on actual hours 
189.22 	of services provided;
189.23 	(8) withhold and pay all applicable federal and state taxes;
189.24 	(9) effective January 1, 2010, document that the agency uses a minimum of 72.5 
189.25 	percent of the revenue generated by the medical assistance rate for personal care assistance 
189.26 	services for employee personal care assistant wages and benefits. The revenue generated 
189.27 	by the qualified professional and the reasonable costs associated with the qualified 
189.28 	professional shall not be used in making this calculation;
189.29 	(10) make the arrangements and pay unemployment insurance, taxes, workers' 
189.30 	compensation, liability insurance, and other benefits, if any;
189.31 	(11) enter into a written agreement under subdivision 20 before services are provided;
189.32 	(12) report suspected neglect and abuse to the common entry point according to 
189.33 	section 256B.0651;
189.34 	(13) provide the recipient with a copy of the home care bill of rights at start of 
189.35 	service; and
190.1 	(14) request reassessments at least 60 days prior to the end of the current 
190.2 	authorization for personal care assistance services, on forms provided by the commissioner.

190.3 	Sec. 22. Minnesota Statutes 2010, section 256B.0659, subdivision 30, is amended to 
190.4 	read:
190.5 		Subd. 30.Notice of service changes to recipients. The commissioner must provide:
190.6 	(1) by October 31, 2009, information to recipients likely to be affected that (i) 
190.7 	describes the changes to the personal care assistance program that may result in the 
190.8 	loss of access to personal care assistance services, and (ii) includes resources to obtain 
190.9 	further information; and
190.10 	(2) notice of changes in medical assistance personal care assistance services to each 
190.11 	affected recipient at least 30 days before the effective date of the change.
190.12 	The notice shall include how to get further information on the changes, how to get help to 
190.13 	obtain other services, a list of community resources, and appeal rights. Notwithstanding 
190.14 	section 256.045, a recipient may request continued services pending appeal within the 
190.15 	time period allowed to request an appeal; and
190.16 	(3) (2) a service agreement authorizing personal care assistance hours of service at 
190.17 	the previously authorized level, throughout the appeal process period, when a recipient 
190.18 	requests services pending an appeal.

190.19 	EFFECTIVE DATE. This section is effective July 1, 2012.

190.20 	Sec. 23. Minnesota Statutes 2010, section 256B.0916, subdivision 7, is amended to 
190.21 	read:
190.22 		Subd. 7.Annual report by commissioner. (a) Beginning November 1, 2001, and 
190.23 	each November 1 thereafter, the commissioner shall issue an annual report on county and 
190.24 	state use of available resources for the home and community-based waiver for persons with 
190.25 	developmental disabilities. For each county or county partnership, the report shall include:
190.26 	(1) the amount of funds allocated but not used;
190.27 	(2) the county specific allowed reserve amount approved and used;
190.28 	(3) the number, ages, and living situations of individuals screened and waiting for 
190.29 	services;
190.30 	(4) the urgency of need for services to begin within one, two, or more than two 
190.31 	years for each individual;
190.32 	(5) the services needed;
191.1 	(6) the number of additional persons served by approval of increased capacity within 
191.2 	existing allocations;
191.3 	(7) results of action by the commissioner to streamline administrative requirements 
191.4 	and improve county resource management; and
191.5 	(8) additional action that would decrease the number of those eligible and waiting 
191.6 	for waivered services.
191.7 	The commissioner shall specify intended outcomes for the program and the degree to 
191.8 	which these specified outcomes are attained.
191.9 	(b) This subdivision expires January 1, 2013.

191.10 	Sec. 24. Minnesota Statutes 2010, section 256B.092, subdivision 11, is amended to 
191.11 	read:
191.12 		Subd. 11.Residential support services. (a) Upon federal approval, there is 
191.13 	established a new service called residential support that is available on the community 
191.14 	alternative care, community alternatives for disabled individuals, developmental 
191.15 	disabilities, and traumatic brain injury waivers. Existing waiver service descriptions 
191.16 	must be modified to the extent necessary to ensure there is no duplication between 
191.17 	other services. Residential support services must be provided by vendors licensed as a 
191.18 	community residential setting as defined in section 245A.11, subdivision 8.
191.19 	(b) Residential support services must meet the following criteria:
191.20 	(1) providers of residential support services must own or control the residential site;
191.21 	(2) the residential site must not be the primary residence of the license holder;
191.22 	(3) the residential site must have a designated program supervisor responsible for 
191.23 	program oversight, development, and implementation of policies and procedures;
191.24 	(4) the provider of residential support services must provide supervision, training, 
191.25 	and assistance as described in the person's community support plan; and
191.26 	(5) the provider of residential support services must meet the requirements of 
191.27 	licensure and additional requirements of the person's community support plan.
191.28 	(c) Providers of residential support services that meet the definition in paragraph 
191.29 	(a) must be registered using a process determined by the commissioner beginning July 
191.30 	1, 2009. Providers licensed to provide child foster care under Minnesota Rules, parts 
191.31 	2960.3000 to 2960.3340, or adult foster care licensed under Minnesota Rules, parts 
191.32 	9555.5105 to 9555.6265, and that meet the requirements in section 245A.03, subdivision 
191.33 	7, paragraph (e), are considered registered under this section.

191.34 	Sec. 25. Minnesota Statutes 2010, section 256B.096, subdivision 5, is amended to read:
192.1 		Subd. 5.Biennial report. (a) The commissioner shall provide a biennial report to 
192.2 	the chairs of the legislative committees with jurisdiction over health and human services 
192.3 	policy and funding beginning January 15, 2009, on the development and activities of the 
192.4 	quality management, assurance, and improvement system designed to meet the federal 
192.5 	requirements under the home and community-based services waiver programs for persons 
192.6 	with disabilities. By January 15, 2008, the commissioner shall provide a preliminary 
192.7 	report on priorities for meeting the federal requirements, progress on development and 
192.8 	field testing of the annual survey, appropriations necessary to implement an annual survey 
192.9 	of service recipients once field testing is completed, recommendations for improvements 
192.10 	in the incident reporting system, and a plan for incorporating quality assurance efforts 
192.11 	under section 256B.095 and other regional efforts into the statewide system.
192.12 	(b) This subdivision expires January 1, 2013.

192.13 	Sec. 26. Minnesota Statutes 2010, section 256B.441, subdivision 13, is amended to 
192.14 	read:
192.15 		Subd. 13.External fixed costs. "External fixed costs" means costs related to the 
192.16 	nursing home surcharge under section 256.9657, subdivision 1; licensure fees under 
192.17 	section 144.122; long-term care consultation fees under section 256B.0911, subdivision 6; 
192.18 	family advisory council fee under section 144A.33; scholarships under section 256B.431, 
192.19 	subdivision 36; planned closure rate adjustments under section 256B.436 or256B.437; or 
192.20 	single bed room incentives under section 256B.431, subdivision 42; property taxes and 
192.21 	property insurance; and PERA.

192.22 	Sec. 27. Minnesota Statutes 2010, section 256B.441, subdivision 31, is amended to 
192.23 	read:
192.24 		Subd. 31.Prior system operating cost payment rate. "Prior system operating 
192.25 	cost payment rate" means the operating cost payment rate in effect on September 30, 
192.26 	2008, under Minnesota Rules and Minnesota Statutes, not including planned closure rate 
192.27 	adjustments under section 256B.436 or256B.437, or single bed room incentives under 
192.28 	section 256B.431, subdivision 42.

192.29 	Sec. 28. Minnesota Statutes 2010, section 256B.441, subdivision 53, is amended to 
192.30 	read:
192.31 		Subd. 53.Calculation of payment rate for external fixed costs. The commissioner 
192.32 	shall calculate a payment rate for external fixed costs.
193.1 	(a) For a facility licensed as a nursing home, the portion related to section 256.9657
193.2 	shall be equal to $8.86. For a facility licensed as both a nursing home and a boarding care 
193.3 	home, the portion related to section 256.9657 shall be equal to $8.86 multiplied by the 
193.4 	result of its number of nursing home beds divided by its total number of licensed beds.
193.5 	(b) The portion related to the licensure fee under section 144.122, paragraph (d), 
193.6 	shall be the amount of the fee divided by actual resident days.
193.7 	(c) The portion related to scholarships shall be determined under section 256B.431, 
193.8 	subdivision 36.
193.9 	(d) The portion related to long-term care consultation shall be determined according 
193.10 	to section 256B.0911, subdivision 6.
193.11 	(e) The portion related to development and education of resident and family advisory 
193.12 	councils under section 144A.33 shall be $5 divided by 365.
193.13 	(f) The portion related to planned closure rate adjustments shall be as determined 
193.14 	under sections 256B.436 and section256B.437, subdivision 6, and Minnesota Statutes 
193.15 	2010, section 256B.436. Planned closure rate adjustments that take effect before October 
193.16 	1, 2014, shall no longer be included in the payment rate for external fixed costs beginning 
193.17 	October 1, 2016. Planned closure rate adjustments that take effect on or after October 1, 
193.18 	2014, shall no longer be included in the payment rate for external fixed costs beginning on 
193.19 	October 1 of the first year not less than two years after their effective date.
193.20 	(g) The portions related to property insurance, real estate taxes, special assessments, 
193.21 	and payments made in lieu of real estate taxes directly identified or allocated to the nursing 
193.22 	facility shall be the actual amounts divided by actual resident days.
193.23 	(h) The portion related to the Public Employees Retirement Association shall be 
193.24 	actual costs divided by resident days.
193.25 	(i) The single bed room incentives shall be as determined under section 256B.431, 
193.26 	subdivision 42. Single bed room incentives that take effect before October 1, 2014, shall 
193.27 	no longer be included in the payment rate for external fixed costs beginning October 1, 
193.28 	2016. Single bed room incentives that take effect on or after October 1, 2014, shall no 
193.29 	longer be included in the payment rate for external fixed costs beginning on October 1 of 
193.30 	the first year not less than two years after their effective date.
193.31 	(j) The payment rate for external fixed costs shall be the sum of the amounts in 
193.32 	paragraphs (a) to (i).

193.33 	Sec. 29. Minnesota Statutes 2010, section 256B.49, subdivision 21, is amended to read:
193.34 		Subd. 21.Report. (a) The commissioner shall expand on the annual report required 
193.35 	under section 256B.0916, subdivision 7, to include information on the county of residence 
194.1 	and financial responsibility, age, and major diagnoses for persons eligible for the home 
194.2 	and community-based waivers authorized under subdivision 11 who are:
194.3 	(1) receiving those services;
194.4 	(2) screened and waiting for waiver services; and
194.5 	(3) residing in nursing facilities and are under age 65.
194.6 	(b) This subdivision expires January 1, 2013.

194.7 	Sec. 30. Minnesota Statutes 2011 Supplement, section 626.557, subdivision 9, is 
194.8 	amended to read:
194.9 		Subd. 9.Common entry point designation. (a) Each county board shall designate 
194.10 	a common entry point for reports of suspected maltreatment. Two or more county boards 
194.11 	may jointly designate a single common entry point. The common entry point is the unit 
194.12 	responsible for receiving the report of suspected maltreatment under this section.
194.13 	(b) The common entry point must be available 24 hours per day to take calls from 
194.14 	reporters of suspected maltreatment. The common entry point shall use a standard intake 
194.15 	form that includes:
194.16 	(1) the time and date of the report;
194.17 	(2) the name, address, and telephone number of the person reporting;
194.18 	(3) the time, date, and location of the incident;
194.19 	(4) the names of the persons involved, including but not limited to, perpetrators, 
194.20 	alleged victims, and witnesses;
194.21 	(5) whether there was a risk of imminent danger to the alleged victim;
194.22 	(6) a description of the suspected maltreatment;
194.23 	(7) the disability, if any, of the alleged victim;
194.24 	(8) the relationship of the alleged perpetrator to the alleged victim;
194.25 	(9) whether a facility was involved and, if so, which agency licenses the facility;
194.26 	(10) any action taken by the common entry point;
194.27 	(11) whether law enforcement has been notified;
194.28 	(12) whether the reporter wishes to receive notification of the initial and final 
194.29 	reports; and
194.30 	(13) if the report is from a facility with an internal reporting procedure, the name, 
194.31 	mailing address, and telephone number of the person who initiated the report internally.
194.32 	(c) The common entry point is not required to complete each item on the form prior 
194.33 	to dispatching the report to the appropriate lead investigative agency.
194.34 	(d) The common entry point shall immediately report to a law enforcement agency 
194.35 	any incident in which there is reason to believe a crime has been committed.
195.1 	(e) If a report is initially made to a law enforcement agency or a lead investigative 
195.2 	agency, those agencies shall take the report on the appropriate common entry point intake 
195.3 	forms and immediately forward a copy to the common entry point.
195.4 	(f) The common entry point staff must receive training on how to screen and 
195.5 	dispatch reports efficiently and in accordance with this section.
195.6 	(g) When a centralized database is available, the common entry point has access to 
195.7 	the centralized database and must log the reports into the database. The commissioner of 
195.8 	human services shall maintain a centralized database for the collection of common entry 
195.9 	point data, lead investigative agency data including maltreatment report disposition, and 
195.10 	appeals data.

195.11 	Sec. 31. Minnesota Statutes 2011 Supplement, section 626.557, subdivision 9a, 
195.12 	is amended to read:
195.13 		Subd. 9a.Evaluation and referral of reports made to common entry point unit.
 195.14 	The common entry point must screen the reports of alleged or suspected maltreatment for 
195.15 	immediate risk and make all necessary referrals as follows:
195.16 	(1) if the common entry point determines that there is an immediate need for 
195.17 	adult protective services, the common entry point agency shall immediately notify the 
195.18 	appropriate county agency;
195.19 	(2) if the report contains suspected criminal activity against a vulnerable adult, the 
195.20 	common entry point shall immediately notify the appropriate law enforcement agency;
195.21 	(3) the common entry point shall refer all reports of alleged or suspected 
195.22 	maltreatment to the appropriate lead investigative agency as soon as possible, but in any 
195.23 	event no longer than two working days; and
195.24 	(4) if the report involves services licensed by the Department of Human Services 
195.25 	and subject to chapter 245D, the common entry point shall refer the report to the county as 
195.26 	the lead agency according to clause (3), but shall also notify the Department of Human 
195.27 	Services of the report; and
195.28 	(4) (5) if the report contains information about a suspicious death, the common 
195.29 	entry point shall immediately notify the appropriate law enforcement agencies, the local 
195.30 	medical examiner, and the ombudsman for mental health and developmental disabilities 
195.31 	established under section 245.92. Law enforcement agencies shall coordinate with the 
195.32 	local medical examiner and the ombudsman as provided by law.

195.33 	Sec. 32. Minnesota Statutes 2011 Supplement, section 626.5572, subdivision 13, 
195.34 	is amended to read:
196.1 		Subd. 13.Lead investigative agency. "Lead investigative agency" is the primary 
196.2 	administrative agency responsible for investigating reports made under section 626.557.
196.3 	(a) The Department of Health is the lead investigative agency for facilities or 
196.4 	services licensed or required to be licensed as hospitals, home care providers, nursing 
196.5 	homes, boarding care homes, hospice providers, residential facilities that are also federally 
196.6 	certified as intermediate care facilities that serve people with developmental disabilities, 
196.7 	or any other facility or service not listed in this subdivision that is licensed or required to 
196.8 	be licensed by the Department of Health for the care of vulnerable adults. "Home care 
196.9 	provider" has the meaning provided in section 144A.43, subdivision 4, and applies when 
196.10 	care or services are delivered in the vulnerable adult's home, whether a private home or a 
196.11 	housing with services establishment registered under chapter 144D, including those that 
196.12 	offer assisted living services under chapter 144G.
196.13 	(b) Except as provided under paragraph (c), for services licensed according to 
196.14 	chapter 245D, the Department of Human Services is the lead investigative agency for 
196.15 	facilities or services licensed or required to be licensed as adult day care, adult foster care, 
196.16 	programs for people with developmental disabilities, family adult day services, mental 
196.17 	health programs, mental health clinics, chemical dependency programs, the Minnesota 
196.18 	sex offender program, or any other facility or service not listed in this subdivision that is 
196.19 	licensed or required to be licensed by the Department of Human Services.
196.20 	(c) The county social service agency or its designee is the lead investigative agency 
196.21 	for all other reports, including, but not limited to, reports involving vulnerable adults 
196.22 	receiving services from a personal care provider organization under section 256B.0659, 
196.23 	or receiving home and community-based services licensed by the Department of Human 
196.24 	Services and subject to chapter 245D.

196.25 	Sec. 33. Laws 2008, chapter 338, section 3, subdivision 1, is amended to read:
196.26 		Subdivision 1.Establishment. (a) The commissioner of human services, in 
196.27 	cooperation with the commissioners of health and housing finance, shall develop and 
196.28 	implement, beginning July 1, 2009, a three-year five-year demonstration project for older 
196.29 	adult services community consortiums. An older adult services community consortium 
196.30 	may consist of health care and social service providers, county agencies, health plan 
196.31 	companies, and other community stakeholders within a demonstration site that have 
196.32 	established a process for joint decision making. Demonstration sites may include a portion 
196.33 	of a county, an entire county, or multiple counties.
196.34 	(b) Each community consortium seeking to participate as a demonstration site must 
196.35 	submit an application to the commissioner. The application must include:
197.1 	(1) a description of the entities participating in the consortium, the scope of 
197.2 	collaboration, and the process to be used for joint-decision making;
197.3 	(2) the methods by which the consortium plans to achieve the goals specified in 
197.4 	subdivision 2;
197.5 	(3) a description of the proposed demonstration site; and
197.6 	(4) other information the commissioner determines to be necessary to evaluate 
197.7 	proposals.
197.8 	(c) The commissioner of human services shall establish a process to review and 
197.9 	consider applicants. The commissioner shall designate up to three community consortiums 
197.10 	as demonstration projects.
197.11 	(d) Each community consortium selected to participate shall establish a local group 
197.12 	to assist in planning, designing, implementing, and evaluating the coordinated service 
197.13 	delivery system within the demonstration site. Planning for each consortium shall build 
197.14 	upon current planning processes developed by county gaps analyses and Elder Care 
197.15 	Development Partnerships under Minnesota Statutes, section 256B.0917.

197.16 	Sec. 34. Laws 2008, chapter 338, section 3, subdivision 8, is amended to read:
197.17 		Subd. 8.Evaluation and report. The commissioner of human services, in 
197.18 	cooperation with the commissioners of health and housing finance, shall evaluate the 
197.19 	demonstration project, and report preliminary findings and recommendations to the 
197.20 	legislature by November 15, 2011, on whether the demonstration project should be 
197.21 	continued and whether the number of demonstration project sites increased. The final 
197.22 	report of findings and recommendations shall be delivered to the legislature by January 
197.23 	15, 2013 2015. The preliminary and final evaluation and report must include:
197.24 	(1) a comparison of the performance of demonstration sites relative to nonconsortium 
197.25 	communities on the quality measures specified in subdivision 5;
197.26 	(2) an assessment of the extent to which the demonstration project can be 
197.27 	successfully expanded to other parts of the state;
197.28 	(3) legislative changes necessary to improve the effectiveness of the demonstration 
197.29 	project and to expand the projects to other parts of the state; and
197.30 	(4) any actions taken by the commissioner of health under subdivision 5.
197.31 	The commissioner of human services may withhold up to $50,000 of the funding 
197.32 	provided to each participating community consortium under this section to fund the 
197.33 	evaluation and report.

198.1 	Sec. 35. Laws 2009, chapter 79, article 8, section 81, as amended by Laws 2010, 
198.2 	chapter 352, article 1, section 24, is amended to read:
198.3 	Sec. 81. ESTABLISHING A SINGLE SET OF STANDARDS.
 198.4 	(a) The commissioner of human services shall consult with disability service 
198.5 	providers, advocates, counties, and consumer families to develop a single set of standards, 
198.6 	to be referred to as "quality outcome standards," governing services for people with 
198.7 	disabilities receiving services under the home and community-based waiver services 
198.8 	program, with the exception of customized living services because the service license 
198.9 	is under the jurisdiction of the Department of Health, to replace all or portions of 
198.10 	existing laws and rules including, but not limited to, data practices, licensure of facilities 
198.11 	and providers, background studies, reporting of maltreatment of minors, reporting of 
198.12 	maltreatment of vulnerable adults, and the psychotropic medication checklist. The 
198.13 	standards must:
198.14 	(1) enable optimum consumer choice;
198.15 	(2) be consumer driven;
198.16 	(3) link services to individual needs and life goals;
198.17 	(4) be based on quality assurance and individual outcomes; 
198.18 	(5) utilize the people closest to the recipient, who may include family, friends, and 
198.19 	health and service providers, in conjunction with the recipient's risk management plan to 
198.20 	assist the recipient or the recipient's guardian in making decisions that meet the recipient's 
198.21 	needs in a cost-effective manner and assure the recipient's health and safety;
198.22 	(6) utilize person-centered planning; and
198.23 	(7) maximize federal financial participation.
198.24 	(b) The commissioner may consult with existing stakeholder groups convened under 
198.25 	the commissioner's authority, including the home and community-based expert services 
198.26 	panel established by the commissioner in 2008, to meet all or some of the requirements 
198.27 	of this section.
198.28 	(c) The commissioner shall provide the reports and plans required by this section to 
198.29 	the legislative committees and budget divisions with jurisdiction over health and human 
198.30 	services policy and finance by January 15, 2012.

198.31 	Sec. 36. DISABILITY HOME AND COMMUNITY-BASED WAIVER 
198.32 	REQUEST.
 198.33 	By December 1, 2012, the commissioner shall request all federal approvals and 
198.34 	waiver amendments to the disability home and community-based waivers to allow properly 
198.35 	licensed adult foster care homes to provide residential services for up to five individuals.

199.1 	EFFECTIVE DATE. This section is effective July 1, 2012.

199.2 	Sec. 37. HOURLY NURSING DETERMINATION MATRIX.
 199.3 	A service provider applying for medical assistance payments for private duty nursing 
199.4 	services under Minnesota Statutes, section 256B.0654, must complete and submit to the 
199.5 	commissioner of human services an hourly nursing determination matrix for each recipient 
199.6 	of private duty nursing services. The commissioner of human services will collect and 
199.7 	analyze data from the hourly nursing determination matrix.

199.8 	Sec. 38.  REPEALER.
 199.9 	(a) Minnesota Statutes 2010, sections 256B.431, subdivisions 2c, 2g, 2i, 2j, 2k, 2l, 
199.10 	2o, 3c, 11, 14, 17b, 17f, 19, 20, 25, 27, and 29; 256B.434, subdivisions 4a, 4b, 4c, 4d, 4e, 
199.11 	4g, 4h, 7, and 8; 256B.435; and 256B.436, are repealed.
199.12 	(b) Minnesota Statutes 2011 Supplement, section 256B.431, subdivision 26, is 
199.13 	repealed.
199.14 	(c) Minnesota Rules, part 9555.7700, is repealed.

199.15 	ARTICLE 10
199.16 	TELEPHONE EQUIPMENT PROGRAM

199.17 	Section 1. Minnesota Statutes 2010, section 237.50, is amended to read:
199.18 	237.50 DEFINITIONS.
199.19 		Subdivision 1.Scope. The terms used in sections 237.50 to 237.56 have the 
199.20 	meanings given them in this section.
199.21 		Subd. 3.Communication impaired disability. "Communication impaired
199.22 	disability" means certified as deaf, severely hearing impaired, hard-of-hearing having 
199.23 	a hearing loss, speech impaired, deaf and blind disability, or mobility impaired if the 
199.24 	mobility impairment significantly impedes the ability physical disability that makes it 
199.25 	difficult or impossible to use standard customer premises telecommunications services 
199.26 	and equipment.
199.27 		Subd. 4.Communication device. "Communication device" means a device that 
199.28 	when connected to a telephone enables a communication-impaired person to communicate 
199.29 	with another person utilizing the telephone system. A "communication device" includes a 
199.30 	ring signaler, an amplification device, a telephone device for the deaf, a Brailling device 
199.31 	for use with a telephone, and any other device the Department of Human Services deems 
199.32 	necessary.
200.1 		Subd. 4a.Deaf. "Deaf" means a hearing impairment loss of such severity that the 
200.2 	individual must depend primarily upon visual communication such as writing, lip reading, 
200.3 	manual communication sign language, and gestures.
200.4 		Subd. 4b.Deafblind. "Deafblind" means any combination of vision and hearing 
200.5 	loss which interferes with acquiring information from the environment to the extent that 
200.6 	compensatory strategies and skills are necessary to access that or other information.
200.7 		Subd. 5.Exchange. "Exchange" means a unit area established and described by the 
200.8 	tariff of a telephone company for the administration of telephone service in a specified 
200.9 	geographical area, usually embracing a city, town, or village and its environs, and served 
200.10 	by one or more central offices, together with associated facilities used in providing 
200.11 	service within that area.
200.12 		Subd. 6.Fund. "Fund" means the telecommunications access Minnesota fund 
200.13 	established in section 237.52.
200.14 		Subd. 6a.Hard-of-hearing. "Hard-of-hearing" means a hearing impairment loss
200.15 	resulting in a functional loss limitation, but not to the extent that the individual must 
200.16 	depend primarily upon visual communication.
200.17 		Subd. 7.Interexchange service. "Interexchange service" means telephone service 
200.18 	between points in two or more exchanges.
200.19 		Subd. 8.Inter-LATA interexchange service. "Inter-LATA interexchange service" 
200.20 	means interexchange service originating and terminating in different LATAs.
200.21 		Subd. 9.Local access and transport area. "Local access and transport area 
200.22 	(LATA)" means a geographical area designated by the Modification of Final Judgment 
200.23 	in U.S. v. Western Electric Co., Inc., 552 F. Supp. 131 (D.D.C. 1982), including 
200.24 	modifications in effect on the effective date of sections 237.51 to 237.54.
200.25 		Subd. 10.Local exchange service. "Local exchange service" means telephone 
200.26 	service between points within an exchange.
200.27 		Subd. 10a.Telecommunications device. "Telecommunications device" means 
200.28 	a device that (1) allows a person with a communication disability to have access to 
200.29 	telecommunications services as defined in subdivision 13, and (2) is specifically 
200.30 	selected by the Department of Human Services for its capacity to allow persons with 
200.31 	communication disabilities to use telecommunications services in a manner that is 
200.32 	functionally equivalent to the ability of an individual who does not have a communication 
200.33 	disability. A telecommunications device may include a ring signaler, an amplified 
200.34 	telephone, a hands-free telephone, a text telephone, a captioned telephone, a wireless 
200.35 	device, a device that produces Braille output for use with a telephone, and any other 
200.36 	device the Department of Human Services deems appropriate.
201.1 		Subd. 11.Telecommunication Telecommunications Relay service Services.
 201.2 	"Telecommunication Telecommunications Relay service Services" or "TRS" means 
201.3 	a central statewide service through which a communication-impaired person, 
201.4 	using a communication device, may send and receive messages to and from a 
201.5 	non-communication-impaired person whose telephone is not equipped with a 
201.6 	communication device and through which a non-communication-impaired person 
201.7 	may, by using voice communication, send and receive messages to and from a 
201.8 	communication-impaired person the telecommunications transmission services required 
201.9 	under Federal Communications Commission (FCC) regulations at Code of Federal 
201.10 	Regulations, title 47, sections 64.604 to 64.606. TRS allows an individual who has 
201.11 	a communication disability to use telecommunications services in a manner that is 
201.12 	functionally equivalent to the ability of an individual who does not have a communication 
201.13 	disability.
201.14 		Subd. 12.Telecommunications. "Telecommunications" means the transmission, 
201.15 	between or among points specified by the user, of information of the user's choosing, 
201.16 	without change in the form or content of the information as sent and received.
201.17 		Subd. 13.Telecommunications services. "Telecommunications services" means 
201.18 	the offering of telecommunications for fee directly to the public, or to such classes of users 
201.19 	as to be effectively available to the public, regardless of the facilities used.

201.20 	Sec. 2. Minnesota Statutes 2010, section 237.51, is amended to read:
201.21 	237.51 TELECOMMUNICATIONS ACCESS MINNESOTA PROGRAM 
201.22 	ADMINISTRATION.
201.23 		Subdivision 1.Creation. The commissioner of commerce shall:
201.24 	(1) administer through interagency agreement with the commissioner of human 
201.25 	services a program to distribute communication telecommunications devices to eligible 
201.26 	communication-impaired persons who have communication disabilities; and
201.27 	(2) contract with a one or more  qualified vendor vendors  that serves 
201.28 	communication-impaired serve persons who have communication disabilities to create 
201.29 	and maintain a telecommunication provide telecommunications relay service services.
201.30 	For purposes of sections 237.51 to 237.56, the Department of Commerce and any 
201.31 	organization with which it contracts pursuant to this section or section 237.54, subdivision 
201.32 	2, are not telephone companies or telecommunications carriers as defined in section 
201.33 	237.01.
201.34 		Subd. 5.Commissioner of commerce duties. In addition to any duties specified 
201.35 	elsewhere in sections 237.51 to 237.56, the commissioner of commerce shall:
202.1 	(1) prepare the reports required by section 237.55;
202.2 	(2) administer the fund created in section 237.52; and
202.3 	(3) adopt rules under chapter 14 to implement the provisions of sections 237.50
202.4 	to 237.56.
202.5 		Subd. 5a.Department Commissioner of human services duties. (a) In addition to 
202.6 	any duties specified elsewhere in sections 237.51 to 237.56, the commissioner of human 
202.7 	services shall:
202.8 	(1) define economic hardship, special needs, and household criteria so as to 
202.9 	determine the priority of eligible applicants for initial distribution of devices and to 
202.10 	determine circumstances necessitating provision of more than one communication
202.11 	telecommunications device per household;
202.12 	(2) establish a method to verify eligibility requirements;
202.13 	(3) establish specifications for communication telecommunications devices to be 
202.14 	purchased provided under section 237.53, subdivision 3; and
202.15 	(4) inform the public and specifically the community of communication-impaired
202.16 	persons who have communication disabilities of the program.; and
202.17 	(5) provide devices based on the assessed need of eligible applicants.
202.18 	(b) The commissioner may establish an advisory board to advise the department 
202.19 	in carrying out the duties specified in this section and to advise the commissioner of 
202.20 	commerce in carrying out duties under section 237.54. If so established, the advisory 
202.21 	board must include, at a minimum, the following communication-impaired persons:
202.22 	(1) at least one member who is deaf;
202.23 	(2) at least one member who is has a speech impaired disability;
202.24 	(3) at least one member who is mobility impaired has a physical disability that 
202.25 	makes it difficult or impossible for the person to access telecommunications services; and
202.26 	(4) at least one member who is hard-of-hearing.
202.27 	The membership terms, compensation, and removal of members and the filling of 
202.28 	membership vacancies are governed by section 15.059. Advisory board meetings shall be 
202.29 	held at the discretion of the commissioner.

202.30 	Sec. 3. Minnesota Statutes 2010, section 237.52, is amended to read:
202.31 	237.52 TELECOMMUNICATIONS ACCESS MINNESOTA FUND.
202.32 		Subdivision 1.Fund established. A telecommunications access Minnesota fund is 
202.33 	established as an account in the state treasury. Earnings, such as interest, dividends, and 
202.34 	any other earnings arising from fund assets, must be credited to the fund.
203.1 		Subd. 2.Assessment. (a) The commissioner of commerce, the commissioner 
203.2 	of employment and economic development, and the commissioner of human services 
203.3 	shall annually recommend to the Public Utilities Commission (PUC) an adequate and 
203.4 	appropriate surcharge and budget to implement sections 237.50 to 237.56, 248.062, 
203.5 	and 256C.30, respectively. The maximum annual budget for section 248.062 must not 
203.6 	exceed $100,000 and for section 256C.30 must not exceed $300,000. The Public Utilities 
203.7 	Commission shall review the budgets for reasonableness and may modify the budget 
203.8 	to the extent it is unreasonable. The commission shall annually determine the funding 
203.9 	mechanism to be used within 60 days of receipt of the recommendation of the departments 
203.10 	and shall order the imposition of surcharges effective on the earliest practicable date. The 
203.11 	commission shall establish a monthly charge no greater than 20 cents for each customer 
203.12 	access line, including trunk equivalents as designated by the commission pursuant to 
203.13 	section 403.11, subdivision 1.
203.14 	(b) If the fund balance falls below a level capable of fully supporting all programs 
203.15 	eligible under subdivision 5 and sections 248.062 and 256C.30, expenditures under 
203.16 	sections 248.062 and 256C.30 shall be reduced on a pro rata basis and expenditures under 
203.17 	sections 237.53 and 237.54 shall be fully funded. Expenditures under sections 248.062
203.18 	and 256C.30 shall resume at fully funded levels when the commissioner of commerce 
203.19 	determines there is a sufficient fund balance to fully fund those expenditures.
203.20 		Subd. 3.Collection. Every telephone company or communications carrier that 
203.21 	provides service provider of services capable of originating a telecommunications relay
203.22 	TRS call, including cellular communications and other nonwire access services, in this 
203.23 	state shall collect the charges established by the commission under subdivision 2 and 
203.24 	transfer amounts collected to the commissioner of public safety in the same manner as 
203.25 	provided in section 403.11, subdivision 1, paragraph (d). The commissioner of public 
203.26 	safety must deposit the receipts in the fund established in subdivision 1.
203.27 		Subd. 4.Appropriation. Money in the fund is appropriated to the commissioner of 
203.28 	commerce to implement sections 237.51 to 237.56, to the commissioner of employment 
203.29 	and economic development to implement section 248.062, and to the commissioner of 
203.30 	human services to implement section 256C.30.
203.31 		Subd. 5.Expenditures. (a) Money in the fund may only be used for:
203.32 	(1) expenses of the Department of Commerce, including personnel cost, public 
203.33 	relations, advisory board members' expenses, preparation of reports, and other reasonable 
203.34 	expenses not to exceed ten percent of total program expenditures;
203.35 	(2) reimbursing the commissioner of human services for purchases made or services 
203.36 	provided pursuant to section 237.53; and
204.1 	(3) reimbursing telephone companies for purchases made or services provided 
204.2 	under section 237.53, subdivision 5; and
204.3 	(4) (3) contracting for establishment and operation of the telecommunication relay 
204.4 	service the provision of TRS required by section 237.54.
204.5 	(b) All costs directly associated with the establishment of the program, the purchase 
204.6 	and distribution of communication telecommunications devices, and the establishment 
204.7 	and operation of the telecommunication relay service provision of TRS are either 
204.8 	reimbursable or directly payable from the fund after authorization by the commissioner 
204.9 	of commerce. The commissioner of commerce shall contract with the message relay 
204.10 	service operator one or more TRS providers to indemnify the local exchange carriers of 
204.11 	the relay telecommunications service providers for any fines imposed by the Federal 
204.12 	Communications Commission related to the failure of the relay service to comply with 
204.13 	federal service standards. Notwithstanding section 16A.41, the commissioner may 
204.14 	advance money to the contractor of the telecommunication relay service TRS providers if 
204.15 	the contractor establishesproviders establish to the commissioner's satisfaction that the 
204.16 	advance payment is necessary for the operation provision of the service. The advance 
204.17 	payment may be used only for working capital reserve for the operation of the service. 
204.18 	The advance payment must be offset or repaid by the end of the contract fiscal year 
204.19 	together with interest accrued from the date of payment.

204.20 	Sec. 4. Minnesota Statutes 2010, section 237.53, is amended to read:
204.21 	237.53 COMMUNICATION TELECOMMUNICATIONS DEVICE.
204.22 		Subdivision 1.Application. A person applying for a communication
204.23 	telecommunications device under this section must apply to the program administrator on 
204.24 	a form prescribed by the Department of Human Services.
204.25 		Subd. 2.Eligibility. To be eligible to obtain a communication telecommunications
204.26 	device under this section, a person must be:
204.27 	(1) be able to benefit from and use the equipment for its intended purpose;
204.28 	(2) have a communication impaired disability;
204.29 	(3) be a resident of the state;
204.30 	(4) be a resident in a household that has a median income at or below the applicable 
204.31 	median household income in the state, except a deaf and blind person who is deafblind
204.32 	applying for a telebraille unit Braille device may reside in a household that has a median 
204.33 	income no more than 150 percent of the applicable median household income in the 
204.34 	state; and
205.1 	(5) be a resident in a household that has telephone telecommunications service 
205.2 	or that has made application for service and has been assigned a telephone number; or 
205.3 	a resident in a residential care facility, such as a nursing home or group home where 
205.4 	telephone telecommunications service is not included as part of overall service provision.
205.5 		Subd. 3.Distribution. The commissioner of human services shall purchase and 
205.6 	distribute a sufficient number of communication telecommunications devices so that each 
205.7 	eligible household receives an appropriate device devices as determined under section 
205.8 	237.51, subdivision 5a. The commissioner of human services shall distribute the devices 
205.9 	to eligible households in each service area free of charge as determined under section 
205.10 	237.51, subdivision 5a.
205.11 		Subd. 4.Training; maintenance. The commissioner of human services shall 
205.12 	maintain the communication telecommunications devices until the warranty period 
205.13 	expires, and provide training, without charge, to first-time users of the devices.
205.14 		Subd. 5.Wiring installation. If a communication-impaired person is not served by 
205.15 	telephone service and is subject to economic hardship as determined by the Department 
205.16 	of Human Services, the telephone company providing local service shall at the direction 
205.17 	of the administrator of the program install necessary outside wiring without charge to 
205.18 	the household.
205.19 		Subd. 6.Ownership. All communication Telecommunications devices purchased 
205.20 	pursuant to subdivision 3 will become are the property of the state of Minnesota. Policies 
205.21 	and procedures for the return of devices from individuals who withdraw from the program 
205.22 	or whose eligibility status changes shall be determined by the commissioner of human 
205.23 	services.
205.24 		Subd. 7.Standards. The communication telecommunications devices distributed 
205.25 	under this section must comply with the electronic industries association alliance standards 
205.26 	and be approved by the Federal Communications Commission. The commissioner of 
205.27 	human services must provide each eligible person a choice of several models of devices, 
205.28 	the retail value of which may not exceed $600 for a communication device for the deaf
205.29 	text telephone, and a retail value of $7,000 for a telebraille Braille device, or an amount 
205.30 	authorized by the Department of Human Services for a telephone device for the deaf with 
205.31 	auxiliary equipment all other telecommunications devices and auxiliary equipment it 
205.32 	deems cost-effective and appropriate to distribute according to sections 237.51 to 237.56.

205.33 	Sec. 5. Minnesota Statutes 2010, section 237.54, is amended to read:
205.34 	237.54 TELECOMMUNICATION TELECOMMUNICATIONS RELAY 
205.35 	SERVICE SERVICES (TRS).
206.1 		Subd. 2.Operation. (a) The commissioner of commerce shall contract with 
206.2 	a one or more  qualified vendor vendors for the operation and maintenance of the 
206.3 	telecommunication relay system provision of Telecommunications Relay Services (TRS).
206.4 	(b) The telecommunication relay service provider TRS providers shall operate the 
206.5 	relay service within the state of Minnesota. The operator of the system TRS providers
206.6 	shall keep all messages confidential, shall train personnel in the unique needs of 
206.7 	communication-impaired people, and shall inform communication-impaired persons 
206.8 	and the public of the availability and use of the system. Except in the case of a speech- 
206.9 	or mobility-impaired person, the operator shall not relay a message unless it originates 
206.10 	or terminates through a communication device for the deaf or a Brailling device for use 
206.11 	with a telephone comply with all current and subsequent FCC regulations at Code of 
206.12 	Federal Regulations, title 47, sections 64.601 to 64.606, and shall inform persons who 
206.13 	have communication disabilities and the public of the availability and use of TRS.

206.14 	Sec. 6. Minnesota Statutes 2010, section 237.55, is amended to read:
206.15 	237.55 ANNUAL REPORT ON COMMUNICATION
206.16 	TELECOMMUNICATIONS ACCESS.
206.17 	The commissioner of commerce must prepare a report for presentation to the Public 
206.18 	Utilities Commission by January 31 of each year. Each report must review the accessibility 
206.19 	of the telephone system to communication-impaired persons, review the ability of 
206.20 	non-communication-impaired persons to communicate with communication-impaired 
206.21 	persons via the telephone system telecommunications services to persons who have 
206.22 	communication disabilities, describe services provided, account for money received and 
206.23 	disbursed annually annual revenues and expenditures for each aspect of the program fund
206.24 	to date, and include predicted program future operation.

206.25 	Sec. 7. Minnesota Statutes 2010, section 237.56, is amended to read:
206.26 	237.56 ADEQUATE SERVICE ENFORCEMENT.
206.27 	The services required to be provided under sections 237.50 to 237.55 may be 
206.28 	enforced under section 237.081 upon a complaint of at least two communication-impaired
206.29 	persons within the service area of any one telephone company telecommunications 
206.30 	service provider, provided that if only one person within the service area of a company 
206.31 	is receiving service under sections 237.50 to 237.55, the commission Public Utilities 
206.32 	Commission may proceed upon a complaint from that person.

207.1 	ARTICLE 11
207.2 	COMPREHENSIVE ASSESSMENT AND CASE MANAGEMENT REFORM

207.3 	Section 1. Minnesota Statutes 2011 Supplement, section 256B.0625, subdivision 56, 
207.4 	is amended to read:
207.5 		Subd. 56.Medical service coordination. (a) Medical assistance covers in-reach 
207.6 	community-based service coordination that is performed in through a hospital emergency 
207.7 	department as an eligible procedure under a state healthcare program or private insurance
207.8 	for a frequent user. A frequent user is defined as an individual who has frequented the 
207.9 	hospital emergency department for services three or more times in the previous four 
207.10 	consecutive months. In-reach community-based service coordination includes navigating 
207.11 	services to address a client's mental health, chemical health, social, economic, and housing 
207.12 	needs, or any other activity targeted at reducing the incidence of emergency room and 
207.13 	other nonmedically necessary health care utilization.
207.14 	(b) Reimbursement must be made in 15-minute increments under current Medicaid 
207.15 	mental health social work reimbursement methodology and allowed for up to 60 days 
207.16 	posthospital discharge based upon the specific identified emergency department visit or 
207.17 	inpatient admitting event. A frequent user who is participating in care coordination within 
207.18 	a health care home framework is ineligible for reimbursement under this subdivision.
207.19 	In-reach community-based service coordination shall seek to connect frequent users with 
207.20 	existing covered services available to them, including, but not limited to, targeted case 
207.21 	management, waiver case management, or care coordination in a health care home.
207.22 	Eligible in-reach service coordinators must hold a minimum of a bachelor's degree in 
207.23 	social work, public health, corrections, or a related field. The commissioner shall submit 
207.24 	any necessary application for waivers to the Centers for Medicare and Medicaid Services 
207.25 	to implement this subdivision.
207.26 	(c) For the purposes of this subdivision, "in-reach community-based service 
207.27 	coordination" means the practice of a community-based worker with training, knowledge, 
207.28 	skills, and ability to access a continuum of services, including housing, transportation, 
207.29 	chemical and mental health treatment, employment, and peer support services, by working 
207.30 	with an organization's staff to transition an individual back into the individual's living 
207.31 	environment. In-reach community-based service coordination includes working with the 
207.32 	individual during their discharge and for up to a defined amount of time in the individual's 
207.33 	living environment, reducing the individual's need for readmittance.

207.34 	Sec. 2. Minnesota Statutes 2010, section 256B.0659, subdivision 1, is amended to read:
208.1 		Subdivision 1.Definitions. (a) For the purposes of this section, the terms defined in 
208.2 	paragraphs (b) to (r) have the meanings given unless otherwise provided in text.
208.3 	(b) "Activities of daily living" means grooming, dressing, bathing, transferring, 
208.4 	mobility, positioning, eating, and toileting.
208.5 	(c) "Behavior," effective January 1, 2010, means a category to determine the home 
208.6 	care rating and is based on the criteria found in this section. "Level I behavior" means 
208.7 	physical aggression towards self, others, or destruction of property that requires the 
208.8 	immediate response of another person.
208.9 	(d) "Complex health-related needs," effective January 1, 2010, means a category to 
208.10 	determine the home care rating and is based on the criteria found in this section.
208.11 	(e) "Critical activities of daily living," effective January 1, 2010, means transferring, 
208.12 	mobility, eating, and toileting.
208.13 	(f) "Dependency in activities of daily living" means a person requires assistance to 
208.14 	begin and complete one or more of the activities of daily living.
208.15 	(g) "Extended personal care assistance service" means personal care assistance 
208.16 	services included in a service plan under one of the home and community-based services 
208.17 	waivers authorized under sections 256B.0915, 256B.092, subdivision 5, and 256B.49, 
208.18 	which exceed the amount, duration, and frequency of the state plan personal care 
208.19 	assistance services for participants who:
208.20 	(1) need assistance provided periodically during a week, but less than daily will not 
208.21 	be able to remain in their homes without the assistance, and other replacement services 
208.22 	are more expensive or are not available when personal care assistance services are to be 
208.23 	terminated; or
208.24 	(2) need additional personal care assistance services beyond the amount authorized 
208.25 	by the state plan personal care assistance assessment in order to ensure that their safety, 
208.26 	health, and welfare are provided for in their homes.
208.27 	(h) "Health-related procedures and tasks" means procedures and tasks that can 
208.28 	be delegated or assigned by a licensed health care professional under state law to be 
208.29 	performed by a personal care assistant.
208.30 	(i) "Instrumental activities of daily living" means activities to include meal planning 
208.31 	and preparation; basic assistance with paying bills; shopping for food, clothing, and other 
208.32 	essential items; performing household tasks integral to the personal care assistance 
208.33 	services; communication by telephone and other media; and traveling, including to 
208.34 	medical appointments and to participate in the community.
208.35 	(j) "Managing employee" has the same definition as Code of Federal Regulations, 
208.36 	title 42, section 455.
209.1 	(k) "Qualified professional" means a professional providing supervision of personal 
209.2 	care assistance services and staff as defined in section 256B.0625, subdivision 19c.
209.3 	(l) "Personal care assistance provider agency" means a medical assistance enrolled 
209.4 	provider that provides or assists with providing personal care assistance services and 
209.5 	includes a personal care assistance provider organization, personal care assistance choice 
209.6 	agency, class A licensed nursing agency, and Medicare-certified home health agency.
209.7 	(m) "Personal care assistant" or "PCA" means an individual employed by a personal 
209.8 	care assistance agency who provides personal care assistance services.
209.9 	(n) "Personal care assistance care plan" means a written description of personal 
209.10 	care assistance services developed by the personal care assistance provider according 
209.11 	to the service plan.
209.12 	(o) "Responsible party" means an individual who is capable of providing the support 
209.13 	necessary to assist the recipient to live in the community.
209.14 	(p) "Self-administered medication" means medication taken orally, by injection, 
209.15 	nebulizer, or insertion, or applied topically without the need for assistance.
209.16 	(q) "Service plan" means a written summary of the assessment and description of the 
209.17 	services needed by the recipient.
209.18 	(r) "Wages and benefits" means wages and salaries, the employer's share of FICA 
209.19 	taxes, Medicare taxes, state and federal unemployment taxes, workers' compensation, 
209.20 	mileage reimbursement, health and dental insurance, life insurance, disability insurance, 
209.21 	long-term care insurance, uniform allowance, and contributions to employee retirement 
209.22 	accounts.

209.23 	Sec. 3. Minnesota Statutes 2010, section 256B.0659, subdivision 2, is amended to read:
209.24 		Subd. 2.Personal care assistance services; covered services. (a) The personal 
209.25 	care assistance services eligible for payment include services and supports furnished 
209.26 	to an individual, as needed, to assist in:
209.27 	(1) activities of daily living;
209.28 	(2) health-related procedures and tasks;
209.29 	(3) observation and redirection of behaviors; and
209.30 	(4) instrumental activities of daily living.
209.31 	(b) Activities of daily living include the following covered services:
209.32 	(1) dressing, including assistance with choosing, application, and changing of 
209.33 	clothing and application of special appliances, wraps, or clothing;
210.1 	(2) grooming, including assistance with basic hair care, oral care, shaving, applying 
210.2 	cosmetics and deodorant, and care of eyeglasses and hearing aids. Nail care is included, 
210.3 	except for recipients who are diabetic or have poor circulation;
210.4 	(3) bathing, including assistance with basic personal hygiene and skin care;
210.5 	(4) eating, including assistance with hand washing and application of orthotics 
210.6 	required for eating, transfers, and feeding;
210.7 	(5) transfers, including assistance with transferring the recipient from one seating or 
210.8 	reclining area to another;
210.9 	(6) mobility, including assistance with ambulation, including use of a wheelchair. 
210.10 	Mobility does not include providing transportation for a recipient;
210.11 	(7) positioning, including assistance with positioning or turning a recipient for 
210.12 	necessary care and comfort; and
210.13 	(8) toileting, including assistance with helping recipient with bowel or bladder 
210.14 	elimination and care including transfers, mobility, positioning, feminine hygiene, use of 
210.15 	toileting equipment or supplies, cleansing the perineal area, inspection of the skin, and 
210.16 	adjusting clothing.
210.17 	(c) Health-related procedures and tasks include the following covered services:
210.18 	(1) range of motion and passive exercise to maintain a recipient's strength and 
210.19 	muscle functioning;
210.20 	(2) assistance with self-administered medication as defined by this section, including 
210.21 	reminders to take medication, bringing medication to the recipient, and assistance with 
210.22 	opening medication under the direction of the recipient or responsible party, including 
210.23 	medications given through a nebulizer;
210.24 	(3) interventions for seizure disorders, including monitoring and observation; and
210.25 	(4) other activities considered within the scope of the personal care service and 
210.26 	meeting the definition of health-related procedures and tasks under this section.
210.27 	(d) A personal care assistant may provide health-related procedures and tasks 
210.28 	associated with the complex health-related needs of a recipient if the procedures and 
210.29 	tasks meet the definition of health-related procedures and tasks under this section and the 
210.30 	personal care assistant is trained by a qualified professional and demonstrates competency 
210.31 	to safely complete the procedures and tasks. Delegation of health-related procedures and 
210.32 	tasks and all training must be documented in the personal care assistance care plan and the 
210.33 	recipient's and personal care assistant's files. A personal care assistant must not determine 
210.34 	the medication dose or time for medication.
211.1 	(e) Effective January 1, 2010, for a personal care assistant to provide the 
211.2 	health-related procedures and tasks of tracheostomy suctioning and services to recipients 
211.3 	on ventilator support there must be:
211.4 	(1) delegation and training by a registered nurse, certified or licensed respiratory 
211.5 	therapist, or a physician;
211.6 	(2) utilization of clean rather than sterile procedure;
211.7 	(3) specialized training about the health-related procedures and tasks and equipment, 
211.8 	including ventilator operation and maintenance;
211.9 	(4) individualized training regarding the needs of the recipient; and
211.10 	(5) supervision by a qualified professional who is a registered nurse.
211.11 	(f) Effective January 1, 2010, a personal care assistant may observe and redirect the 
211.12 	recipient for episodes where there is a need for redirection due to behaviors. Training of 
211.13 	the personal care assistant must occur based on the needs of the recipient, the personal 
211.14 	care assistance care plan, and any other support services provided.
211.15 	(g) Instrumental activities of daily living under subdivision 1, paragraph (i).

211.16 	Sec. 4. Minnesota Statutes 2010, section 256B.0659, subdivision 3a, is amended to 
211.17 	read:
211.18 		Subd. 3a.Assessment; defined. (a) "Assessment" means a review and evaluation 
211.19 	of a recipient's need for home personal care assistance services conducted in person. 
211.20 	Assessments for personal care assistance services shall be conducted by the county public 
211.21 	health nurse or a certified public health nurse under contract with the county except when a 
211.22 	long-term care consultation assessment is being conducted for the purposes of determining 
211.23 	a person's eligibility for home and community-based waiver services including personal 
211.24 	care assistance services according to section 256B.0911. An in-person assessment 
211.25 	must include: documentation of health status, determination of need, evaluation of 
211.26 	service effectiveness, identification of appropriate services, service plan development 
211.27 	or modification, coordination of services, referrals and follow-up to appropriate payers 
211.28 	and community resources, completion of required reports, recommendation of service 
211.29 	authorization, and consumer education. Once the need for personal care assistance 
211.30 	services is determined under this section or sections 256B.0651, 256B.0653, 256B.0654, 
211.31 	and 256B.0656, the county public health nurse or certified public health nurse under 
211.32 	contract with the county is responsible for communicating this recommendation to the 
211.33 	commissioner and the recipient. An in-person assessment must occur at least annually or 
211.34 	when there is a significant change in the recipient's condition or when there is a change 
211.35 	in the need for personal care assistance services. A service update may substitute for 
212.1 	the annual face-to-face assessment when there is not a significant change in recipient 
212.2 	condition or a change in the need for personal care assistance service. A service update 
212.3 	may be completed by telephone, used when there is no need for an increase in personal 
212.4 	care assistance services, and used for two consecutive assessments if followed by a 
212.5 	face-to-face assessment. A service update must be completed on a form approved by the 
212.6 	commissioner. A service update or review for temporary increase includes a review of 
212.7 	initial baseline data, evaluation of service effectiveness, redetermination of service need, 
212.8 	modification of service plan and appropriate referrals, update of initial forms, obtaining 
212.9 	service authorization, and on going consumer education. Assessments or reassessments 
212.10 	must be completed on forms provided by the commissioner within 30 days of a request for 
212.11 	home care services by a recipient or responsible party or personal care provider agency.
212.12 	(b) This subdivision expires when notification is given by the commissioner as 
212.13 	described in section 256B.0911, subdivision 3a.

212.14 	Sec. 5. Minnesota Statutes 2010, section 256B.0659, subdivision 4, is amended to read:
212.15 		Subd. 4.Assessment for personal care assistance services; limitations. (a) An 
212.16 	assessment as defined in subdivision 3a must be completed for personal care assistance 
212.17 	services.
212.18 	(b) The following limitations apply to the assessment:
212.19 	(1) a person must be assessed as dependent in an activity of daily living based on the 
212.20 	person's daily need or need on the days during the week the activity is completed for:
212.21 	(i) cuing and constant supervision to complete the task; or
212.22 	(ii) hands-on assistance to complete the task; and
212.23 	(2) a child may not be found to be dependent in an activity of daily living if because 
212.24 	of the child's age an adult would either perform the activity for the child or assist the child 
212.25 	with the activity. Assistance needed is the assistance appropriate for a typical child of 
212.26 	the same age.
212.27 	(c) Assessment for complex health-related needs must meet the criteria in this 
212.28 	paragraph. During the assessment process, A recipient qualifies as having complex 
212.29 	health-related needs if the recipient has one or more of the interventions that are ordered 
212.30 	by a physician, specified in a personal care assistance care plan or community support 
212.31 	plan developed under section 256B.0911, and found in the following:
212.32 	(1) tube feedings requiring:
212.33 	(i) a gastrojejunostomy tube; or
212.34 	(ii) continuous tube feeding lasting longer than 12 hours per day;
212.35 	(2) wounds described as:
213.1 	(i) stage III or stage IV;
213.2 	(ii) multiple wounds;
213.3 	(iii) requiring sterile or clean dressing changes or a wound vac; or
213.4 	(iv) open lesions such as burns, fistulas, tube sites, or ostomy sites that require 
213.5 	specialized care;
213.6 	(3) parenteral therapy described as:
213.7 	(i) IV therapy more than two times per week lasting longer than four hours for 
213.8 	each treatment; or
213.9 	(ii) total parenteral nutrition (TPN) daily;
213.10 	(4) respiratory interventions, including:
213.11 	(i) oxygen required more than eight hours per day;
213.12 	(ii) respiratory vest more than one time per day;
213.13 	(iii) bronchial drainage treatments more than two times per day;
213.14 	(iv) sterile or clean suctioning more than six times per day;
213.15 	(v) dependence on another to apply respiratory ventilation augmentation devices 
213.16 	such as BiPAP and CPAP; and
213.17 	(vi) ventilator dependence under section 256B.0652;
213.18 	(5) insertion and maintenance of catheter, including:
213.19 	(i) sterile catheter changes more than one time per month;
213.20 	(ii) clean intermittent catheterization, and including self-catheterization more than 
213.21 	six times per day; or
213.22 	(iii) bladder irrigations;
213.23 	(6) bowel program more than two times per week requiring more than 30 minutes to 
213.24 	perform each time;
213.25 	(7) neurological intervention, including:
213.26 	(i) seizures more than two times per week and requiring significant physical 
213.27 	assistance to maintain safety; or
213.28 	(ii) swallowing disorders diagnosed by a physician and requiring specialized 
213.29 	assistance from another on a daily basis; and
213.30 	(8) other congenital or acquired diseases creating a need for significantly increased 
213.31 	direct hands-on assistance and interventions in six to eight activities of daily living.
213.32 	(d) An assessment of behaviors must meet the criteria in this paragraph. A recipient 
213.33 	qualifies as having a need for assistance due to behaviors if the recipient's behavior requires 
213.34 	assistance at least four times per week and shows one or more of the following behaviors:
213.35 	(1) physical aggression towards self or others, or destruction of property that requires 
213.36 	the immediate response of another person;
214.1 	(2) increased vulnerability due to cognitive deficits or socially inappropriate 
214.2 	behavior; or
214.3 	(3) increased need for assistance for recipients who are verbally aggressive and or 
214.4 	 resistive to care so that the time needed to perform activities of daily living is increased.

214.5 	Sec. 6. Minnesota Statutes 2010, section 256B.0911, subdivision 1, is amended to read:
214.6 		Subdivision 1.Purpose and goal. (a) The purpose of long-term care consultation 
214.7 	services is to assist persons with long-term or chronic care needs in making long-term care 
214.8 	decisions and selecting support and service options that meet their needs and reflect their 
214.9 	preferences. The availability of, and access to, information and other types of assistance, 
214.10 	including assessment and support planning, is also intended to prevent or delay certified 
214.11 	nursing facility institutional placements and to provide access to transition assistance 
214.12 	after admission. Further, the goal of these services is to contain costs associated with 
214.13 	unnecessary certified nursing facility institutional admissions. Long-term consultation 
214.14 	services must be available to any person regardless of public program eligibility. The 
214.15 	commissioner of human services shall seek to maximize use of available federal and state 
214.16 	funds and establish the broadest program possible within the funding available.
214.17 	(b) These services must be coordinated with long-term care options counseling 
214.18 	provided under section 256.975, subdivision 7, and section 256.01, subdivision 24, for 
214.19 	telephone assistance and follow up and to offer a variety of cost-effective alternatives 
214.20 	to persons with disabilities and elderly persons. The county or tribal lead agency or 
214.21 	managed care plan providing long-term care consultation services shall encourage the use 
214.22 	of volunteers from families, religious organizations, social clubs, and similar civic and 
214.23 	service organizations to provide community-based services.

214.24 	Sec. 7. Minnesota Statutes 2011 Supplement, section 256B.0911, subdivision 1a, 
214.25 	is amended to read:
214.26 		Subd. 1a.Definitions. For purposes of this section, the following definitions apply:
214.27 	(a) Until additional requirements apply under paragraph (b), "long-term care 
214.28 	consultation services" means:
214.29 	(1) intake for and access to assistance in identifying services needed to maintain an 
214.30 	individual in the most inclusive environment;
214.31 	(2) providing recommendations on for and referrals to cost-effective community 
214.32 	services that are available to the individual;
214.33 	(3) development of an individual's person-centered community support plan;
214.34 	(4) providing information regarding eligibility for Minnesota health care programs;
215.1 	(5) face-to-face long-term care consultation assessments, which may be completed 
215.2 	in a hospital, nursing facility, intermediate care facility for persons with developmental 
215.3 	disabilities (ICF/DDs), regional treatment centers, or the person's current or planned 
215.4 	residence;
215.5 	(6) federally mandated preadmission screening to determine the need for an 
215.6 	institutional level of care under subdivision 4a activities described under subdivisions 
215.7 	4a and 4b;
215.8 	(7) determination of home and community-based waiver and other service eligibility 
215.9 	as required under sections 256B.0913, 256B.0915, and 256B.49, including level of 
215.10 	care determination for individuals who need an institutional level of care as determined 
215.11 	under section 256B.0911, subdivision 4a, paragraph (d), or 256B.092, service eligibility 
215.12 	including state plan home care services identified in sections 256B.0625, subdivisions 6, 
215.13 	7, and 19, paragraphs (a) and (c), and 256B.0657, based on assessment and community 
215.14 	support plan development with, appropriate referrals to obtain necessary diagnostic 
215.15 	information, and including the option an eligibility determination for consumer-directed 
215.16 	community supports;
215.17 	(8) providing recommendations for nursing facilityinstitutional placement when 
215.18 	there are no cost-effective community services available; and
215.19 	(9) providing access to assistance to transition people back to community settings 
215.20 	after facilityinstitutional admission.; and
215.21 	(10) providing information about competitive employment, with or without supports, 
215.22 	for school-age youth and working-age adults and referrals to the Disability Linkage 
215.23 	Line and Disability Benefits 101 to ensure that an informed choice about competitive 
215.24 	employment can be made. For the purposes of this subdivision, "competitive employment" 
215.25 	means work in the competitive labor market that is performed on a full-time or part-time 
215.26 	basis in an integrated setting, and for which an individual is compensated at or above the 
215.27 	minimum wage, but not less than the customary wage and level of benefits paid by the 
215.28 	employer for the same or similar work performed by individuals without disabilities.
215.29 	(b) Upon statewide implementation of lead agency requirements in subdivisions 2b, 
215.30 	2c, and 3a, "long-term care consultation services" also means:
215.31 	(1) service eligibility determination for state plan home care services identified in:
215.32 	(i) section 256B.0625, subdivisions 7, 19a, and 19c;
215.33 	(ii) section 256B.0657; or
215.34 	(iii) consumer support grants under section 256.476;
215.35 	(2) notwithstanding provisions in Minnesota Rules, parts 9525.0004 to 9525.0024, 
215.36 	determination of eligibility for case management services available under sections 
216.1 	256B.0621, subdivision 2, paragraph (4), and 256B.0924 and Minnesota Rules, part 
216.2 	9525.0016;
216.3 	(3) determination of institutional level of care, home and community-based service 
216.4 	waiver, and other service eligibility as required under section 256B.092, determination 
216.5 	of eligibility for family support grants under section 252.32, semi-independent living 
216.6 	services under section 252.275, and day training and habilitation services under section 
216.7 	256B.092; and
216.8 	(4) obtaining necessary diagnostic information to determine eligibility under clauses 
216.9 	(2) and (3).
216.10 	(b) (c) "Long-term care options counseling" means the services provided by the 
216.11 	linkage lines as mandated by sections 256.01 and 256.975, subdivision 7, and also 
216.12 	includes telephone assistance and follow up once a long-term care consultation assessment 
216.13 	has been completed.
216.14 	(c) (d) "Minnesota health care programs" means the medical assistance program 
216.15 	under chapter 256B and the alternative care program under section 256B.0913.
216.16 	(d) (e) "Lead agencies" means counties administering or a collaboration of counties,
216.17 	tribes, and health plans administering under contract with the commissioner to administer
216.18 	long-term care consultation assessment and support planning services.

216.19 	Sec. 8. Minnesota Statutes 2010, section 256B.0911, subdivision 2b, is amended to 
216.20 	read:
216.21 		Subd. 2b.Certified assessors. (a) Beginning January 1, 2011, Each lead agency 
216.22 	shall use certified assessors who have completed training and the certification processes 
216.23 	determined by the commissioner in subdivision 2c. Certified assessors shall demonstrate 
216.24 	best practices in assessment and support planning including person-centered planning 
216.25 	principals and have a common set of skills that must ensure consistency and equitable 
216.26 	access to services statewide. Assessors must be part of a multidisciplinary team of 
216.27 	professionals that includes public health nurses, social workers, and other professionals 
216.28 	as defined in paragraph (b). For persons with complex health care needs, a public health 
216.29 	nurse or registered nurse from a multidisciplinary team must be consulted. A lead agency 
216.30 	may choose, according to departmental policies, to contract with a qualified, certified 
216.31 	assessor to conduct assessments and reassessments on behalf of the lead agency.
216.32 	(b) Certified assessors are persons with a minimum of a bachelor's degree in social 
216.33 	work, nursing with a public health nursing certificate, or other closely related field with at 
216.34 	least one year of home and community-based experience, or a two-year registered nursing 
216.35 	degreenurse without public health certification with at least three two years of home and 
217.1 	community-based experience that have has received training and certification specific to 
217.2 	assessment and consultation for long-term care services in the state.

217.3 	Sec. 9. Minnesota Statutes 2010, section 256B.0911, subdivision 2c, is amended to 
217.4 	read:
217.5 		Subd. 2c.Assessor training and certification. The commissioner shall develop 
217.6 	and implement a curriculum and an assessor certification process to begin no later than 
217.7 	January 1, 2010. All existing lead agency staff designated to provide the services defined 
217.8 	in subdivision 1a must be certified by December 30, 2010. within timelines specified by 
217.9 	the commissioner, but no sooner than six months after statewide availability of the training 
217.10 	and certification process. The commissioner must establish the timelines for training and 
217.11 	certification in a manner that allows lead agencies to most efficiently adopt the automated 
217.12 	process established in subdivision 5. Each lead agency is required to ensure that they have 
217.13 	sufficient numbers of certified assessors to provide long-term consultation assessment and 
217.14 	support planning within the timelines and parameters of the service by January 1, 2011. 
217.15 	Certified assessors are required to be recertified every three years.

217.16 	Sec. 10. Minnesota Statutes 2010, section 256B.0911, subdivision 3, is amended to 
217.17 	read:
217.18 		Subd. 3.Long-term care consultation team. (a) Until January 1, 2011, A long-term 
217.19 	care consultation team shall be established by the county board of commissioners. Each 
217.20 	local consultation team shall consist of at least one social worker and at least one public 
217.21 	health nurse from their respective county agencies. The board may designate public 
217.22 	health or social services as the lead agency for long-term care consultation services. If a 
217.23 	county does not have a public health nurse available, it may request approval from the 
217.24 	commissioner to assign a county registered nurse with at least one year experience in 
217.25 	home care to participate on the team. Two or more counties may collaborate to establish 
217.26 	a joint local consultation team or teams.
217.27 	(b) Certified assessors must be part of a multidisciplinary long-term care consultation 
217.28 	team of professionals that includes public health nurses, social workers, and other 
217.29 	professionals as defined in subdivision 2b, paragraph (b). The team is responsible for 
217.30 	providing long-term care consultation services to all persons located in the county who 
217.31 	request the services, regardless of eligibility for Minnesota health care programs.
217.32 	(c) The commissioner shall allow arrangements and make recommendations that 
217.33 	encourage counties and tribes to collaborate to establish joint local long-term care 
217.34 	consultation teams to ensure that long-term care consultations are done within the 
218.1 	timelines and parameters of the service. This includes integrated service models as 
218.2 	required in subdivision 1, paragraph (b).
218.3 	(d) Tribes and health plans under contract with the commissioner must provide 
218.4 	long-term care consultation services as specified in the contract.
218.5 	(e) The lead agency must provide the commissioner with an administrative contact 
218.6 	for communication purposes.

218.7 	Sec. 11. Minnesota Statutes 2011 Supplement, section 256B.0911, subdivision 3a, 
218.8 	is amended to read:
218.9 		Subd. 3a.Assessment and support planning. (a) Persons requesting assessment, 
218.10 	services planning, or other assistance intended to support community-based living, 
218.11 	including persons who need assessment in order to determine waiver or alternative care 
218.12 	program eligibility, must be visited by a long-term care consultation team within 15 20
218.13 	calendar days after the date on which an assessment was requested or recommended. 
218.14 	After January 1, 2011, these requirements also apply toUpon statewide implementation 
218.15 	of subdivisions 2b, 2c, and 5, this requirement also applies to an assessment of a person 
218.16 	requesting personal care assistance services,and private duty nursing, and home health 
218.17 	agency services, on timelines established in subdivision 5. The commissioner shall provide 
218.18 	at least a 90-day notice to lead agencies prior to the effective date of this requirement. 
218.19 	Face-to-face assessments must be conducted according to paragraphs (b) to (i).
218.20 	(b) The county lead agency may utilize a team of either the social worker or public 
218.21 	health nurse, or both. After January 1, 2011 Upon implementation of subdivisions 2b, 2c, 
218.22 	and 5, lead agencies shall use certified assessors to conduct the assessment in a face-to-face 
218.23 	interview assessment. The consultation team members must confer regarding the most 
218.24 	appropriate care for each individual screened or assessed. For a person with complex 
218.25 	health care needs, a public health or registered nurse from the team must be consulted.
218.26 	(c) The assessment must be comprehensive and include a person-centered assessment 
218.27 	of the health, psychological, functional, environmental, and social needs of referred 
218.28 	individuals and provide information necessary to develop a community support plan that 
218.29 	meets the consumers needs, using an assessment form provided by the commissioner.
218.30 	(d) The assessment must be conducted in a face-to-face interview with the person 
218.31 	being assessed and the person's legal representative, as required by legally executed 
218.32 	documents, and other individuals as requested by the person, who can provide information 
218.33 	on the needs, strengths, and preferences of the person necessary to develop a community 
218.34 	support plan that ensures the person's health and safety, but who is not a provider of 
218.35 	service or has any financial interest in the provision of services.
219.1 	(e) The person, or the person's legal representative, must be provided with written 
219.2 	recommendations for community-based services, including consumer-directed options, 
219.3 	or institutional care that include documentation that the most cost-effective alternatives 
219.4 	available were offered to the individual, and alternatives to residential settings, including, 
219.5 	but not limited to, foster care settings that are not the primary residence of the license 
219.6 	holder. For purposes of this requirement, "cost-effective alternatives" means community 
219.7 	services and living arrangements that cost the same as or less than institutional care.
219.8 	(f) (e) If the person chooses to use community-based services, the person or the 
219.9 	person's legal representative must be provided with a written community support plan
219.10 	within 40 calendar days of the assessment visit, regardless of whether the individual 
219.11 	is eligible for Minnesota health care programs. The written community support plan 
219.12 	must include:
219.13 	(1) a summary of assessed needs as defined in paragraphs (c) and (d);
219.14 	(2) the individual's options and choices to meet identified needs, including all 
219.15 	available options for case management services and providers;
219.16 	(3) identification of health and safety risks and how those risks will be addressed, 
219.17 	including personal risk management strategies;
219.18 	(4) referral information; and
219.19 	(5) informal caregiver supports, if applicable.
219.20 	For a person determined eligible for state plan home care under subdivision 1a, 
219.21 	paragraph (b), clause (1), the person or person's representative must also receive a copy of 
219.22 	the home care service plan developed by the certified assessor.
219.23 	(f) A person may request assistance in identifying community supports without 
219.24 	participating in a complete assessment. Upon a request for assistance identifying 
219.25 	community support, the person must be transferred or referred to the long-term care 
219.26 	options counseling services available under sections 256.975, subdivision 7, and 256.01, 
219.27 	subdivision 24, for telephone assistance and follow up.
219.28 	(g) The person has the right to make the final decision between institutional 
219.29 	placement and community placement after the recommendations have been provided, 
219.30 	except as provided in subdivision 4a, paragraph (c).
219.31 	(h) The team lead agency must give the person receiving assessment or support 
219.32 	planning, or the person's legal representative, materials, and forms supplied by the 
219.33 	commissioner containing the following information:
219.34 	(1) written recommendations for community-based services and consumer-directed 
219.35 	options;
220.1 	(2) documentation that the most cost-effective alternatives available were offered to 
220.2 	the individual. For purposes of this clause, "cost-effective" means community services and 
220.3 	living arrangements that cost the same as or less than institutional care. For an individual 
220.4 	found to meet eligibility criteria for home and community-based service programs under 
220.5 	section 256B.0915 or 256B.49, "cost effectiveness" has the meaning found in the federally 
220.6 	approved waiver plan for each program;
220.7 	(3) the need for and purpose of preadmission screening if the person selects nursing 
220.8 	facility placement;
220.9 	(2) (4) the role of the long-term care consultation assessment and support planning 
220.10 	in waiver and alternative care program eligibility determination for waiver and alternative 
220.11 	care programs, and state plan home care, case management, and other services as defined 
220.12 	in subdivision 1a, paragraphs (a), clause (7), and (b);
220.13 	(3)(5) information about Minnesota health care programs;
220.14 	(4)(6) the person's freedom to accept or reject the recommendations of the team;
220.15 	(5)(7) the person's right to confidentiality under the Minnesota Government Data 
220.16 	Practices Act, chapter 13;
220.17 	(6)(8) the long-term care consultant's certified assessor's decision regarding the 
220.18 	person's need for institutional level of care as determined under criteria established in 
220.19 	section 144.0724, subdivision 11, or 256B.092 256B.0911, subdivision 4a, paragraph (d), 
220.20 	and the certified assessor's decision regarding eligibility for all services and programs as 
220.21 	defined in subdivision 1a, paragraphs (a), clause (7), and (b); and
220.22 	(7)(9) the person's right to appeal the certified assessor's decision regarding 
220.23 	eligibility for all services and programs as defined in subdivision 1a, paragraphs (a), 
220.24 	clause (7), and (b), and incorporating the decision regarding the need for nursing facility
220.25 	institutional  level of care or the county's lead agency's final decisions regarding public 
220.26 	programs eligibility according to section 256.045, subdivision 3.
220.27 	(i) Face-to-face assessment completed as part of eligibility determination for 
220.28 	the alternative care, elderly waiver, community alternatives for disabled individuals, 
220.29 	community alternative care, and traumatic brain injury waiver programs under sections 
220.30 	256B.0913, 256B.0915, 256B.0917, and 256B.49 is valid to establish service eligibility 
220.31 	for no more than 60 calendar days after the date of assessment.
220.32 	(j) The effective eligibility start date for these programs in paragraph (i) can never 
220.33 	be prior to the date of assessment. If an assessment was completed more than 60 days 
220.34 	before the effective waiver or alternative care program eligibility start date, assessment 
220.35 	and support plan information must be updated in a face-to-face visit and documented in 
220.36 	the department's Medicaid Management Information System (MMIS). Notwithstanding 
221.1 	retroactive medical assistance coverage of state plan services, the effective date of 
221.2 	program eligibility in this case for programs included in paragraph (i) cannot be prior to 
221.3 	the date the most recent updated assessment is completed.

221.4 	Sec. 12. Minnesota Statutes 2010, section 256B.0911, subdivision 3b, is amended to 
221.5 	read:
221.6 		Subd. 3b.Transition assistance. (a) A long-term care consultation team Lead 
221.7 	agency certified assessors shall provide assistance to persons residing in a nursing 
221.8 	facility, hospital, regional treatment center, or intermediate care facility for persons with 
221.9 	developmental disabilities who request or are referred for assistance. Transition assistance 
221.10 	must include assessment, community support plan development, referrals to long-term 
221.11 	care options counseling under section 256B.975 256.975, subdivision 10 7, for community 
221.12 	support plan implementation and to Minnesota health care programs, including home and 
221.13 	community-based waiver services and consumer-directed options through the waivers, 
221.14 	and referrals to programs that provide assistance with housing. Transition assistance 
221.15 	must also include information about the Centers for Independent Living and the Senior 
221.16 	LinkAge Line, Disability Linkage Line, and about other organizations that can provide 
221.17 	assistance with relocation efforts, and information about contacting these organizations to 
221.18 	obtain their assistance and support.
221.19 	(b) The county lead agency shall develop transition processes with institutional 
221.20 	social workers and discharge planners to ensure that:
221.21 	(1) referrals for in-person assessments are taken from long-term care options 
221.22 	counselors as provided for in section 256.975, subdivision 7, paragraph (b), clause (11);
221.23 	(2) persons admitted to facilitiesassessed in institutions receive information about 
221.24 	transition assistance that is available;
221.25 	(2) (3) the assessment is completed for persons within ten working 20 calendar days 
221.26 	of the date of request or recommendation for assessment; and
221.27 	(3) (4) there is a plan for transition and follow-up for the individual's return to the 
221.28 	community. The plan must require, including notification of other local agencies when a 
221.29 	person who may require assistance is screened by one county for admission to a facility
221.30 	from agencies located in another county.; and
221.31 	(5) relocation targeted case management as defined in section 256B.0621, 
221.32 	subdivision 2, clause (4), is authorized for an eligible medical assistance recipient.
221.33 	(c) If a person who is eligible for a Minnesota health care program is admitted to a 
221.34 	nursing facility, the nursing facility must include a consultation team member or the case 
221.35 	manager in the discharge planning process.

222.1 	Sec. 13. Minnesota Statutes 2011 Supplement, section 256B.0911, subdivision 4a, 
222.2 	is amended to read:
222.3 		Subd. 4a.Preadmission screening activities related to nursing facility 
222.4 	admissions. (a) All applicants to Medicaid certified nursing facilities, including certified 
222.5 	boarding care facilities, must be screened prior to admission regardless of income, assets, 
222.6 	or funding sources for nursing facility care, except as described in subdivision 4b. The 
222.7 	purpose of the screening is to determine the need for nursing facility level of care as 
222.8 	described in paragraph (d) and to complete activities required under federal law related to 
222.9 	mental illness and developmental disability as outlined in paragraph (b).
222.10 	(b) A person who has a diagnosis or possible diagnosis of mental illness or 
222.11 	developmental disability must receive a preadmission screening before admission 
222.12 	regardless of the exemptions outlined in subdivision 4b, paragraph (b), to identify the need 
222.13 	for further evaluation and specialized services, unless the admission prior to screening is 
222.14 	authorized by the local mental health authority or the local developmental disabilities case 
222.15 	manager, or unless authorized by the county agency according to Public Law 101-508.
222.16 	The following criteria apply to the preadmission screening:
222.17 	(1) the county lead agency must use forms and criteria developed by the 
222.18 	commissioner to identify persons who require referral for further evaluation and 
222.19 	determination of the need for specialized services; and
222.20 	(2) the evaluation and determination of the need for specialized services must be 
222.21 	done by:
222.22 	(i) a qualified independent mental health professional, for persons with a primary or 
222.23 	secondary diagnosis of a serious mental illness; or
222.24 	(ii) a qualified developmental disability professional, for persons with a primary or 
222.25 	secondary diagnosis of developmental disability. For purposes of this requirement, a 
222.26 	qualified developmental disability professional must meet the standards for a qualified 
222.27 	developmental disability professional under Code of Federal Regulations, title 42, section 
222.28 	483.430.
222.29 	(c) The local county mental health authority or the state developmental disability 
222.30 	authority under Public Law Numbers 100-203 and 101-508 may prohibit admission to a 
222.31 	nursing facility if the individual does not meet the nursing facility level of care criteria or 
222.32 	needs specialized services as defined in Public Law Numbers 100-203 and 101-508. For 
222.33 	purposes of this section, "specialized services" for a person with developmental disability 
222.34 	means active treatment as that term is defined under Code of Federal Regulations, title 
222.35 	42, section 483.440 (a)(1).
223.1 	(d) The determination of the need for nursing facility level of care must be made 
223.2 	according to criteria developed by the commissioner, and in section 256B.092, using 
223.3 	forms developed by the commissioner. Effective no sooner than on or after July 1, 2012, 
223.4 	for individuals age 21 and older, and on or after October 1, 2019, for individuals under 
223.5 	age 21, the determination of need for nursing facility level of care shall be based on 
223.6 	criteria in section 144.0724, subdivision 11. In assessing a person's needs, consultation 
223.7 	team members shall have a physician available for consultation and shall consider the 
223.8 	assessment of the individual's attending physician, if any. The individual's physician must 
223.9 	be included if the physician chooses to participate. Other personnel may be included on 
223.10 	the team as deemed appropriate by the county lead agency.

223.11 	Sec. 14. Minnesota Statutes 2010, section 256B.0911, subdivision 4c, is amended to 
223.12 	read:
223.13 		Subd. 4c.Screening requirements. (a) A person may be screened for nursing 
223.14 	facility admission by telephone or in a face-to-face screening interview. Consultation team 
223.15 	members Certified assessors shall identify each individual's needs using the following 
223.16 	categories:
223.17 	(1) the person needs no face-to-face screening interview to determine the need 
223.18 	for nursing facility level of care based on information obtained from other health care 
223.19 	professionals;
223.20 	(2) the person needs an immediate face-to-face screening interview to determine the 
223.21 	need for nursing facility level of care and complete activities required under subdivision 
223.22 	4a; or
223.23 	(3) the person may be exempt from screening requirements as outlined in subdivision 
223.24 	4b, but will need transitional assistance after admission or in-person follow-along after 
223.25 	a return home.
223.26 	(b) Persons admitted on a nonemergency basis to a Medicaid-certified nursing 
223.27 	facility must be screened prior to admission.
223.28 	(c) The county lead agency screening or intake activity must include processes to 
223.29 	identify persons who may require transition assistance as described in subdivision 3b.

223.30 	Sec. 15. Minnesota Statutes 2010, section 256B.0911, subdivision 6, is amended to 
223.31 	read:
223.32 		Subd. 6.Payment for long-term care consultation services. (a) The total payment 
223.33 	for each county must be paid monthly by certified nursing facilities in the county. The 
223.34 	monthly amount to be paid by each nursing facility for each fiscal year must be determined 
224.1 	by dividing the county's annual allocation for long-term care consultation services by 12 
224.2 	to determine the monthly payment and allocating the monthly payment to each nursing 
224.3 	facility based on the number of licensed beds in the nursing facility. Payments to counties 
224.4 	in which there is no certified nursing facility must be made by increasing the payment 
224.5 	rate of the two facilities located nearest to the county seat.
224.6 	(b) The commissioner shall include the total annual payment determined under 
224.7 	paragraph (a) for each nursing facility reimbursed under section 256B.431or,256B.434
224.8 	according to section 256B.431, subdivision 2b, paragraph (g), or 256B.441.
224.9 	(c) In the event of the layaway, delicensure and decertification, or removal from 
224.10 	layaway of 25 percent or more of the beds in a facility, the commissioner may adjust 
224.11 	the per diem payment amount in paragraph (b) and may adjust the monthly payment 
224.12 	amount in paragraph (a). The effective date of an adjustment made under this paragraph 
224.13 	shall be on or after the first day of the month following the effective date of the layaway, 
224.14 	delicensure and decertification, or removal from layaway.
224.15 	(d) Payments for long-term care consultation services are available to the county 
224.16 	or counties to cover staff salaries and expenses to provide the services described in 
224.17 	subdivision 1a. The county shall employ, or contract with other agencies to employ, within 
224.18 	the limits of available funding, sufficient personnel to provide long-term care consultation 
224.19 	services while meeting the state's long-term care outcomes and objectives as defined in 
224.20 	section 256B.0917, subdivision 1. The county shall be accountable for meeting local 
224.21 	objectives as approved by the commissioner in the biennial home and community-based 
224.22 	services quality assurance plan on a form provided by the commissioner.
224.23 	(e) Notwithstanding section 256B.0641, overpayments attributable to payment of the 
224.24 	screening costs under the medical assistance program may not be recovered from a facility.
224.25 	(f) The commissioner of human services shall amend the Minnesota medical 
224.26 	assistance plan to include reimbursement for the local consultation teams.
224.27 	(g) Until the alternative payment methodology in paragraph (h) is implemented, 
224.28 	the county may bill, as case management services, assessments, support planning, and 
224.29 	follow-along provided to persons determined to be eligible for case management under 
224.30 	Minnesota health care programs. No individual or family member shall be charged for an 
224.31 	initial assessment or initial support plan development provided under subdivision 3a or 3b.
224.32 	(h) The commissioner shall develop an alternative payment methodology for 
224.33 	long-term care consultation services that includes the funding available under this 
224.34 	subdivision, and sections 256B.092 and 256B.0659. In developing the new payment 
224.35 	methodology, the commissioner shall consider the maximization of other funding sources, 
225.1 	including federal funding, for this all long-term care consultation and preadmission 
225.2 	screening activity.

225.3 	Sec. 16. Minnesota Statutes 2010, section 256B.0913, subdivision 7, is amended to 
225.4 	read:
225.5 		Subd. 7.Case management. (a) The provision of case management under the 
225.6 	alternative care program is governed by requirements in section 256B.0915, subdivisions 
225.7 	1a and 1b.
225.8 	(b) The case manager must not approve alternative care funding for a client in any 
225.9 	setting in which the case manager cannot reasonably ensure the client's health and safety.
225.10 	(c) The case manager is responsible for the cost-effectiveness of the alternative care 
225.11 	individual care coordinated service and support plan and must not approve any care plan 
225.12 	in which the cost of services funded by alternative care and client contributions exceeds 
225.13 	the limit specified in section 256B.0915, subdivision 33a, paragraph (b) paragraphs 
225.14 	(a) and (c).
225.15 	(d) Case manager responsibilities include those in section 256B.0915, subdivision 
225.16 	1a, paragraph (g).

225.17 	Sec. 17. Minnesota Statutes 2010, section 256B.0913, subdivision 8, is amended to 
225.18 	read:
225.19 		Subd. 8.Requirements for individual care coordinated service and support
225.20 	plan. (a) The case manager shall implement the coordinated service and support plan of 
225.21 	care for each alternative care client and ensure that a client's service needs and eligibility 
225.22 	are reassessed at least every 12 months. The coordinated service and support plan must 
225.23 	meet the requirements in section 256B.0915, subdivision 6. The plan shall include any 
225.24 	services prescribed by the individual's attending physician as necessary to allow the 
225.25 	individual to remain in a community setting. In developing the individual's care plan, the 
225.26 	case manager should include the use of volunteers from families and neighbors, religious 
225.27 	organizations, social clubs, and civic and service organizations to support the formal home 
225.28 	care services. The lead agency shall be held harmless for damages or injuries sustained 
225.29 	through the use of volunteers under this subdivision including workers' compensation 
225.30 	liability. The case manager shall provide documentation in each individual's plan of care
225.31 	and, if requested, to the commissioner that the most cost-effective alternatives available 
225.32 	have been offered to the individual and that the individual was free to choose among 
225.33 	available qualified providers, both public and private, including qualified case management 
225.34 	or service coordination providers other than those employed by any county; however, the 
226.1 	county or tribe maintains responsibility for prior authorizing services in accordance with 
226.2 	statutory and administrative requirements. The case manager must give the individual a 
226.3 	ten-day written notice of any denial, termination, or reduction of alternative care services.
226.4 	(b) The county of service or tribe must provide access to and arrange for case 
226.5 	management services, including assuring implementation of the coordinated service 
226.6 	and support plan. "County of service" has the meaning given it in Minnesota Rules, 
226.7 	part 9505.0015, subpart 11. The county of service must notify the county of financial 
226.8 	responsibility of the approved care plan and the amount of encumbered funds.

226.9 	Sec. 18. Minnesota Statutes 2010, section 256B.0915, subdivision 1a, is amended to 
226.10 	read:
226.11 		Subd. 1a.Elderly waiver case management services. (a) Elderly Except 
226.12 	as provided to individuals under prepaid medical assistance programs as described 
226.13 	in paragraph (h), case management services under the home and community-based 
226.14 	services waiver for elderly individuals are available from providers meeting qualification 
226.15 	requirements and the standards specified in subdivision 1b. Eligible recipients may choose 
226.16 	any qualified provider of elderly case management services.
226.17 	(b) Case management services assist individuals who receive waiver services in 
226.18 	gaining access to needed waiver and other state plan services, and assist individuals in 
226.19 	appeals under section 256.045, as well as needed medical, social, educational, and other 
226.20 	services regardless of the funding source for the services to which access is gained. Case 
226.21 	managers shall collaborate with consumers, families, legal representatives, and relevant 
226.22 	medical experts and service providers in the development and periodic review of the 
226.23 	coordinated service and support plan.
226.24 	(c) A case aide shall provide assistance to the case manager in carrying out 
226.25 	administrative activities of the case management function. The case aide may not assume 
226.26 	responsibilities that require professional judgment including assessments, reassessments, 
226.27 	and care plan development. The case manager is responsible for providing oversight of 
226.28 	the case aide.
226.29 	(d) Case managers shall be responsible for ongoing monitoring of the provision 
226.30 	of services included in the individual's plan of care. Case managers shall initiate and 
226.31 	oversee the process of assessment and reassessment of the individual's care coordinated 
226.32 	service and support plan and review the plan of care at intervals specified in the federally 
226.33 	approved waiver plan.
227.1 	(e) The county of service or tribe must provide access to and arrange for case 
227.2 	management services. County of service has the meaning given it in Minnesota Rules, 
227.3 	part 9505.0015, subpart 11.
227.4 	(f) Except as described in paragraph (h), case management services must be provided 
227.5 	by a public or private agency that is enrolled as a medical assistance provider determined 
227.6 	by the commissioner to meet all of the requirements in subdivision 1b. Case management 
227.7 	services must not be provided to a recipient by a private agency that has a financial interest 
227.8 	in the provision of any other services included in the recipient's coordinated service and 
227.9 	support plan. For purposes of this section, "private agency" means any agency that is not 
227.10 	identified as a lead agency under section 256B.0911, subdivision 1a, paragraph (e).
227.11 	(g) Case management service activities provided to or arranged for a person include:
227.12 	(1) development of the coordinated service and support plan under subdivision 6;
227.13 	(2) informing the individual or the individual's legal guardian or conservator of 
227.14 	service options, and options for case management services and providers;
227.15 	(3) consulting with relevant medical experts or service providers;
227.16 	(4) assisting the person in the identification of potential providers;
227.17 	(5) assisting the person to access services;
227.18 	(6) coordination of services; and
227.19 	(7) evaluation and monitoring of the services identified in the plan, which must 
227.20 	incorporate at least one annual face-to-face visit by the case manager with each person.
227.21 	(h) Notwithstanding any requirements in this section, for individuals enrolled in 
227.22 	prepaid medical assistance programs under section 256B.69, subdivisions 6b and 23, the 
227.23 	health plan shall provide or arrange to provide elderly waiver case management services in 
227.24 	paragraph (g), in accordance with contract requirements established by the commissioner.

227.25 	Sec. 19. Minnesota Statutes 2010, section 256B.0915, subdivision 1b, is amended to 
227.26 	read:
227.27 		Subd. 1b.Provider qualifications and standards. (a) The commissioner must 
227.28 	enroll qualified providers of elderly case management services under the home and 
227.29 	community-based waiver for the elderly under section 1915(c) of the Social Security 
227.30 	Act. The enrollment process shall ensure the provider's ability to meet the qualification 
227.31 	requirements and standards in this subdivision and other federal and state requirements 
227.32 	of this service. An elderly A case management provider is an enrolled medical 
227.33 	assistance provider who is determined by the commissioner to have all of the following 
227.34 	characteristics:
228.1 	(1) the demonstrated capacity and experience to provide the components of 
228.2 	case management to coordinate and link community resources needed by the eligible 
228.3 	population;
228.4 	(2) administrative capacity and experience in serving the target population for 
228.5 	whom it will provide services and in ensuring quality of services under state and federal 
228.6 	requirements;
228.7 	(3) a financial management system that provides accurate documentation of services 
228.8 	and costs under state and federal requirements;
228.9 	(4) the capacity to document and maintain individual case records under state and 
228.10 	federal requirements; and
228.11 	(5) the lead agency may allow a case manager employed by the lead agency to 
228.12 	delegate certain aspects of the case management activity to another individual employed 
228.13 	by the lead agency provided there is oversight of the individual by the case manager. 
228.14 	The case manager may not delegate those aspects which require professional judgment 
228.15 	including assessments, reassessments, and care coordinated service and support plan 
228.16 	development. Lead agencies include counties, health plans, and federally recognized 
228.17 	tribes who authorize services under this section.
228.18 	(b) A health plan shall provide or arrange to provide elderly waiver case management 
228.19 	services in subdivision 1a, paragraph (g), in accordance with contract requirements 
228.20 	established by the commissioner related to provider standards and qualifications.

228.21 	Sec. 20. Minnesota Statutes 2010, section 256B.0915, subdivision 3c, is amended to 
228.22 	read:
228.23 		Subd. 3c.Service approval and contracting provisions. (a) Medical assistance 
228.24 	funding for skilled nursing services, private duty nursing, home health aide, and personal 
228.25 	care services for waiver recipients must be approved by the case manager and included in 
228.26 	the individual care coordinated service and support plan.
228.27 	(b) A lead agency is not required to contract with a provider of supplies and 
228.28 	equipment if the monthly cost of the supplies and equipment is less than $250.

228.29 	Sec. 21. Minnesota Statutes 2010, section 256B.0915, subdivision 6, is amended to 
228.30 	read:
228.31 		Subd. 6.Implementation of care coordinated service and support plan. (a) Each 
228.32 	elderly waiver client shall be provided a copy of a written care coordinated service and 
228.33 	support plan that meets the requirements outlined in section 256B.0913, subdivision 8. 
228.34 	The care plan must be implemented by the county of service when it is different than the 
229.1 	county of financial responsibility. The county of service administering waivered services 
229.2 	must notify the county of financial responsibility of the approved care plan. which:
229.3 	(1) is developed and signed by the recipient within ten working days after the case 
229.4 	manager receives the assessment information and written community support plan as 
229.5 	described in section 256B.0911, subdivision 3a, from the certified assessor;
229.6 	(2) includes the person's need for service and identification of service needs that will 
229.7 	be or that are met by the person's relatives, friends, and others, as well as community 
229.8 	services used by the general public;
229.9 	(3) reasonably ensures the health and safety of the recipient;
229.10 	(4) identifies the person's preferences for services as stated by the person or the 
229.11 	person's legal guardian or conservator;
229.12 	(5) reflects the person's informed choice between institutional and community-based 
229.13 	services, as well as choice of services, supports, and providers, including available case 
229.14 	manager providers;
229.15 	(6) identifies long and short-range goals for the person;
229.16 	(7) identifies specific services and the amount, frequency, duration, and cost of the 
229.17 	services to be provided to the person based on assessed needs, preferences, and available 
229.18 	resources;
229.19 	(8) includes information about the right to appeal decisions under section 256.045; 
229.20 	and
229.21 	(9) includes the authorized annual and estimated monthly amounts for the services.
229.22 	(b) In developing the coordinated service and support plan, the case manager should 
229.23 	also include the use of volunteers, religious organizations, social clubs, and civic and 
229.24 	service organizations to support the individual in the community. The lead agency must be 
229.25 	held harmless for damages or injuries sustained through the use of volunteers and agencies 
229.26 	under this paragraph, including workers' compensation liability.

229.27 	Sec. 22. Minnesota Statutes 2011 Supplement, section 256B.0915, subdivision 10, 
229.28 	is amended to read:
229.29 		Subd. 10.Waiver payment rates; managed care organizations. The 
229.30 	commissioner shall adjust the elderly waiver capitation payment rates for managed 
229.31 	care organizations paid under section 256B.69, subdivisions 6a 6b and 23, to reflect the 
229.32 	maximum service rate limits for customized living services and 24-hour customized 
229.33 	living services under subdivisions 3e and 3h. Medical assistance rates paid to customized 
229.34 	living providers by managed care organizations under this section shall not exceed the 
230.1 	maximum service rate limits and component rates as determined by the commissioner 
230.2 	under subdivisions 3e and 3h.

230.3 	Sec. 23. Minnesota Statutes 2010, section 256B.092, subdivision 1, is amended to read:
230.4 		Subdivision 1.County of financial responsibility; duties. Before any services 
230.5 	shall be rendered to persons with developmental disabilities who are in need of social 
230.6 	service and medical assistance, the county of financial responsibility shall conduct or 
230.7 	arrange for a diagnostic evaluation in order to determine whether the person has or may 
230.8 	have a developmental disability or has or may have a related condition. If the county 
230.9 	of financial responsibility determines that the person has a developmental disability, 
230.10 	the county shall inform the person of case management services available under this 
230.11 	section. Except as provided in subdivision 1g or 4b, if a person is diagnosed as having a 
230.12 	developmental disability, the county of financial responsibility shall conduct or arrange for 
230.13 	a needs assessment by a certified assessor, and develop or arrange for an individual service
230.14 	a community support plan according to section 256B.0911, provide or arrange for ongoing 
230.15 	case management services at the level identified in the individual service plan, provide 
230.16 	or arrange for case management administration, and authorize services identified in the 
230.17 	person's individual service coordinated service and support plan developed according to 
230.18 	subdivision 1b. Diagnostic information, obtained by other providers or agencies, may be 
230.19 	used by the county agency in determining eligibility for case management. Nothing in this 
230.20 	section shall be construed as requiring: (1) assessment in areas agreed to as unnecessary 
230.21 	by the case manager a certified assessor and the person, or the person's legal guardian or 
230.22 	conservator, or the parent if the person is a minor, or (2) assessments in areas where there 
230.23 	has been a functional assessment completed in the previous 12 months for which the 
230.24 	case manager certified assessor and the person or person's guardian or conservator, or the 
230.25 	parent if the person is a minor, agree that further assessment is not necessary. For persons 
230.26 	under state guardianship, the case manager certified assessor shall seek authorization from 
230.27 	the public guardianship office for waiving any assessment requirements. Assessments 
230.28 	related to health, safety, and protection of the person for the purpose of identifying service 
230.29 	type, amount, and frequency or assessments required to authorize services may not be 
230.30 	waived. To the extent possible, for wards of the commissioner the county shall consider 
230.31 	the opinions of the parent of the person with a developmental disability when developing 
230.32 	the person's individual service community support plan and coordinated service and 
230.33 	support plan.

231.1 	Sec. 24. Minnesota Statutes 2010, section 256B.092, subdivision 1a, is amended to 
231.2 	read:
231.3 		Subd. 1a.Case management administration and services. (a) The administrative 
231.4 	functions of case management provided to or arranged for a person include: Each recipient 
231.5 	of a home and community-based waiver shall be provided case management services by 
231.6 	qualified vendors as described in the federally approved waiver application.
231.7 	(1) review of eligibility for services;
231.8 	(2) screening;
231.9 	(3) intake;
231.10 	(4) diagnosis;
231.11 	(5) the review and authorization of services based upon an individualized service 
231.12 	plan; and
231.13 	(6) responding to requests for conciliation conferences and appeals according to 
231.14 	section 256.045 made by the person, the person's legal guardian or conservator, or the 
231.15 	parent if the person is a minor.
231.16 	(b) Case management service activities provided to or arranged for a person include:
231.17 	(1) development of the individual service coordinated service and support plan
231.18 	under subdivision 1b;
231.19 	(2) informing the individual or the individual's legal guardian or conservator, or 
231.20 	parent if the person is a minor, of service options;
231.21 	(3) consulting with relevant medical experts or service providers;
231.22 	(4) assisting the person in the identification of potential providers;
231.23 	(5) assisting the person to access services and assisting in appeals under section 
231.24 	256.045;
231.25 	(6) coordination of services, if coordination is not provided by another service 
231.26 	provider;
231.27 	(7) evaluation and monitoring of the services identified in the coordinated service 
231.28 	and support plan, which must incorporate at least one annual face-to-face visit by the case 
231.29 	manager with each person; and
231.30 	(8) annual reviews of service plans and services provided reviewing coordinated 
231.31 	service and support plans and providing the lead agency with recommendations for service 
231.32 	authorization based upon the individual's needs identified in the coordinated service and 
231.33 	support plan.
231.34 	(c) Case management administration and service activities that are provided to the 
231.35 	person with a developmental disability shall be provided directly by county agencies or 
231.36 	under contract. Case management services must be provided by a public or private agency 
232.1 	that is enrolled as a medical assistance provider determined by the commissioner to meet 
232.2 	all of the requirements in the approved federal waiver plans. Case management services 
232.3 	must not be provided to a recipient by a private agency that has a financial interest in the 
232.4 	provision of any other services included in the recipient's coordinated service and support 
232.5 	plan. For purposes of this section, "private agency" means any agency that is not identified 
232.6 	as a lead agency under section 256B.0911, subdivision 1a, paragraph (e).
232.7 	(d) Case managers are responsible for the administrative duties and service 
232.8 	provisions listed in paragraphs (a) and (b). Case managers shall collaborate with 
232.9 	consumers, families, legal representatives, and relevant medical experts and service 
232.10 	providers in the development and annual review of the individualized service coordinated 
232.11 	service and support plan and habilitation plans plan.
232.12 	(e) The Department of Human Services shall offer ongoing education in case 
232.13 	management to case managers. Case managers shall receive no less than ten hours of case 
232.14 	management education and disability-related training each year.

232.15 	Sec. 25. Minnesota Statutes 2010, section 256B.092, subdivision 1b, is amended to 
232.16 	read:
232.17 		Subd. 1b.Individual Coordinated service and support plan. The individual 
232.18 	service plan must (a) Each recipient of home and community-based waivered services 
232.19 	shall be provided a copy of the written coordinated service and support plan which:
232.20 	(1) is developed and signed by the recipient within ten working days after the case 
232.21 	manager receives the assessment information and written community support plan as 
232.22 	described in section 256B.0911, subdivision 3a, from the certified assessor;
232.23 	(1) include the results of the assessment information on(2) includes the person's 
232.24 	need for service, including identification of service needs that will be or that are met 
232.25 	by the person's relatives, friends, and others, as well as community services used by 
232.26 	the general public;
232.27 	(3) reasonably ensures the health and safety of the recipient;
232.28 	(2) identify (4) identifies the person's preferences for services as stated by the 
232.29 	person, the person's legal guardian or conservator, or the parent if the person is a minor, 
232.30 	including the person's choices made on self-directed options and on services and supports 
232.31 	to achieve employment goals;
232.32 	(5) provides for an informed choice, as defined in section 256B.77, subdivision 2, 
232.33 	paragraph (o), of service and support providers, and identifies all available options for 
232.34 	case management services and providers;
232.35 	(3) identify (6) identifies long- and short-range goals for the person;
233.1 	(4) identify (7) identifies specific services and the amount and frequency of the 
233.2 	services to be provided to the person based on assessed needs, preferences, and available 
233.3 	resources. The individual service coordinated service and support plan shall also specify 
233.4 	other services the person needs that are not available;
233.5 	(5) identify (8) identifies the need for an individual program plan to be developed 
233.6 	by the provider according to the respective state and federal licensing and certification 
233.7 	standards, and additional assessments to be completed or arranged by the provider after 
233.8 	service initiation;
233.9 	(6) identify (9) identifies provider responsibilities to implement and make 
233.10 	recommendations for modification to the individual service coordinated service and 
233.11 	support plan;
233.12 	(7) include (10) includes notice of the right to request a conciliation conference or a 
233.13 	hearing under section 256.045;
233.14 	(8) be (11) is agreed upon and signed by the person, the person's legal guardian 
233.15 	or conservator, or the parent if the person is a minor, and the authorized county 
233.16 	representative; and
233.17 	(9) be (12) is reviewed by a health professional if the person has overriding medical 
233.18 	needs that impact the delivery of services.; and
233.19 	(13) includes the authorized annual and monthly amounts for the services.
233.20 	Service planning formats developed for interagency planning such as transition, 
233.21 	vocational, and individual family service plans may be substituted for service planning 
233.22 	formats developed by county agencies.
233.23 	(b) In developing the coordinated service and support plan, the case manager is 
233.24 	encouraged to include the use of volunteers, religious organizations, social clubs, and civic 
233.25 	and service organizations to support the individual in the community. The lead agency 
233.26 	must be held harmless for damages or injuries sustained through the use of volunteers and 
233.27 	agencies under this paragraph, including workers' compensation liability.

233.28 	Sec. 26. Minnesota Statutes 2010, section 256B.092, subdivision 1e, is amended to 
233.29 	read:
233.30 		Subd. 1e.Coordination, evaluation, and monitoring of services. (a) If the 
233.31 	individual service coordinated service and support plan identifies the need for individual 
233.32 	program plans for authorized services, the case manager shall assure that individual 
233.33 	program plans are developed by the providers according to clauses (2) to (5). The 
233.34 	providers shall assure that the individual program plans:
234.1 	(1) are developed according to the respective state and federal licensing and 
234.2 	certification requirements;
234.3 	(2) are designed to achieve the goals of the individual service coordinated service 
234.4 	and support plan;
234.5 	(3) are consistent with other aspects of the individual service coordinated service 
234.6 	and support plan;
234.7 	(4) assure the health and safety of the person; and
234.8 	(5) are developed with consistent and coordinated approaches to services among the 
234.9 	various service providers.
234.10 	(b) The case manager shall monitor the provision of services:
234.11 	(1) to assure that the individual service coordinated service and support plan is 
234.12 	being followed according to paragraph (a);
234.13 	(2) to identify any changes or modifications that might be needed in the individual 
234.14 	service coordinated service and support plan, including changes resulting from 
234.15 	recommendations of current service providers;
234.16 	(3) to determine if the person's legal rights are protected, and if not, notify the 
234.17 	person's legal guardian or conservator, or the parent if the person is a minor, protection 
234.18 	services, or licensing agencies as appropriate; and
234.19 	(4) to determine if the person, the person's legal guardian or conservator, or the 
234.20 	parent if the person is a minor, is satisfied with the services provided.
234.21 	(c) If the provider fails to develop or carry out the individual program plan according 
234.22 	to paragraph (a), the case manager shall notify the person's legal guardian or conservator, 
234.23 	or the parent if the person is a minor, the provider, the respective licensing and certification 
234.24 	agencies, and the county board where the services are being provided. In addition, the 
234.25 	case manager shall identify other steps needed to assure the person receives the services 
234.26 	identified in the individual service coordinated service and support plan.

234.27 	Sec. 27. Minnesota Statutes 2010, section 256B.092, subdivision 1g, is amended to 
234.28 	read:
234.29 		Subd. 1g.Conditions not requiring development of individual service
234.30 	coordinated service and support plan. Unless otherwise required by federal law, the 
234.31 	county agency is not required to complete an individual service a coordinated service and 
234.32 	support plan as defined in subdivision 1b for:
234.33 	(1) persons whose families are requesting respite care for their family member who 
234.34 	resides with them, or whose families are requesting a family support grant and are not 
234.35 	requesting purchase or arrangement of habilitative services; and
235.1 	(2) persons with developmental disabilities, living independently without authorized 
235.2 	services or receiving funding for services at a rehabilitation facility as defined in section 
235.3 	268A.01, subdivision 6, and not in need of or requesting additional services.

235.4 	Sec. 28. Minnesota Statutes 2010, section 256B.092, subdivision 2, is amended to read:
235.5 		Subd. 2.Medical assistance. To assure quality case management to those persons 
235.6 	who are eligible for medical assistance, the commissioner shall, upon request:
235.7 	(1) provide consultation on the case management process;
235.8 	(2) assist county agencies in the screening and annual reviews of clients review 
235.9 	process to assure that appropriate levels of service are provided to persons;
235.10 	(3) provide consultation on service planning and development of services with 
235.11 	appropriate options;
235.12 	(4) provide training and technical assistance to county case managers; and
235.13 	(5) authorize payment for medical assistance services according to this chapter 
235.14 	and rules implementing it.

235.15 	Sec. 29. Minnesota Statutes 2010, section 256B.092, subdivision 3, is amended to read:
235.16 		Subd. 3.Authorization and termination of services. County agency case 
235.17 	managers, under rules of the commissioner, shall authorize and terminate services of 
235.18 	community and regional treatment center providers according to individual service
235.19 	support plans. Services provided to persons with developmental disabilities may only be 
235.20 	authorized and terminated by case managers or certified assessors according to (1) rules of 
235.21 	the commissioner and (2) the individual service coordinated service and support plan as 
235.22 	defined in subdivision 1b. Medical assistance services not needed shall not be authorized 
235.23 	by county agencies or funded by the commissioner. When purchasing or arranging for 
235.24 	unlicensed respite care services for persons with overriding health needs, the county 
235.25 	agency shall seek the advice of a health care professional in assessing provider staff 
235.26 	training needs and skills necessary to meet the medical needs of the person.

235.27 	Sec. 30. Minnesota Statutes 2010, section 256B.092, subdivision 5, is amended to read:
235.28 		Subd. 5.Federal waivers. (a) The commissioner shall apply for any federal 
235.29 	waivers necessary to secure, to the extent allowed by law, federal financial participation 
235.30 	under United States Code, title 42, sections 1396 et seq., as amended, for the provision 
235.31 	of services to persons who, in the absence of the services, would need the level of care 
235.32 	provided in a regional treatment center or a community intermediate care facility for 
235.33 	persons with developmental disabilities. The commissioner may seek amendments to the 
236.1 	waivers or apply for additional waivers under United States Code, title 42, sections 1396 
236.2 	et seq., as amended, to contain costs. The commissioner shall ensure that payment for 
236.3 	the cost of providing home and community-based alternative services under the federal 
236.4 	waiver plan shall not exceed the cost of intermediate care services including day training 
236.5 	and habilitation services that would have been provided without the waivered services.
236.6 	The commissioner shall seek an amendment to the 1915c home and 
236.7 	community-based waiver to allow properly licensed adult foster care homes to provide 
236.8 	residential services to up to five individuals with developmental disabilities. If the 
236.9 	amendment to the waiver is approved, adult foster care providers that can accommodate 
236.10 	five individuals shall increase their capacity to five beds, provided the providers continue 
236.11 	to meet all applicable licensing requirements.
236.12 	(b) The commissioner, in administering home and community-based waivers for 
236.13 	persons with developmental disabilities, shall ensure that day services for eligible persons 
236.14 	are not provided by the person's residential service provider, unless the person or the 
236.15 	person's legal representative is offered a choice of providers and agrees in writing to 
236.16 	provision of day services by the residential service provider. The individual service
236.17 	coordinated service and support plan for individuals who choose to have their residential 
236.18 	service provider provide their day services must describe how health, safety, protection, 
236.19 	and habilitation needs will be met, including how frequent and regular contact with 
236.20 	persons other than the residential service provider will occur. The individualized service
236.21 	coordinated service and support plan must address the provision of services during the 
236.22 	day outside the residence on weekdays.
236.23 	(c) When a county lead agency is evaluating denials, reductions, or terminations 
236.24 	of home and community-based services under section 256B.0916 for an individual, the 
236.25 	case manager lead agency shall offer to meet with the individual or the individual's 
236.26 	guardian in order to discuss the prioritization of service needs within the individualized 
236.27 	service coordinated service and support plan. The reduction in the authorized services 
236.28 	for an individual due to changes in funding for waivered services may not exceed the 
236.29 	amount needed to ensure medically necessary services to meet the individual's health, 
236.30 	safety, and welfare.

236.31 	Sec. 31. Minnesota Statutes 2010, section 256B.092, subdivision 7, is amended to read:
236.32 		Subd. 7.Screening teams Assessments. (a) Assessments and reassessments shall 
236.33 	be conducted by certified assessors according to section 256B.0911, and must incorporate 
236.34 	appropriate referrals to determine eligibility for case management under subdivision 1a.
237.1 	(b) For persons with developmental disabilities, screening teams shall be established 
237.2 	which a certified assessor shall evaluate the need for the an institutional level of care.
237.3 	provided by residential-based habilitation services, residential services, training and 
237.4 	habilitation services, and nursing facility services. The evaluation assessment shall 
237.5 	address whether home and community-based services are appropriate for persons who 
237.6 	are at risk of placement in an intermediate care facility for persons with developmental 
237.7 	disabilities, or for whom there is reasonable indication that they might require this level of 
237.8 	care. The screening team certified assessor shall make an evaluation of need within 60 
237.9 	working days of a request for service by a person with a developmental disability, and
237.10 	within five working days of an emergency admission of a person to an intermediate care 
237.11 	facility for persons with developmental disabilities. The screening team shall consist of 
237.12 	the case manager for persons with developmental disabilities, the person, the person's 
237.13 	legal guardian or conservator, or the parent if the person is a minor, and a qualified 
237.14 	developmental disability professional, as defined in the Code of Federal Regulations, 
237.15 	title 42, section 483.430, as amended through June 3, 1988. The case manager may also 
237.16 	act as the qualified developmental disability professional if the case manager meets 
237.17 	the federal definition. County social service agencies may contract with a public or 
237.18 	private agency or individual who is not a service provider for the person for the public 
237.19 	guardianship representation required by the screening or individual service planning 
237.20 	process. The contract shall be limited to public guardianship representation for the 
237.21 	screening and individual service planning activities. The contract shall require compliance 
237.22 	with the commissioner's instructions and may be for paid or voluntary services. For 
237.23 	persons determined to have overriding health care needs and are seeking admission to a 
237.24 	nursing facility or an ICF/MR, or seeking access to home and community-based waivered 
237.25 	services, a registered nurse must be designated as either the case manager or the qualified 
237.26 	developmental disability professional. For persons under the jurisdiction of a correctional 
237.27 	agency, the case manager must consult with the corrections administrator regarding 
237.28 	additional health, safety, and supervision needs. The case manager, with the concurrence 
237.29 	of the person, the person's legal guardian or conservator, or the parent if the person is a 
237.30 	minor, may invite other individuals to attend meetings of the screening team. No member 
237.31 	of the screening team shall have any direct or indirect service provider interest in the case. 
237.32 	Nothing in this section shall be construed as requiring the screening team meeting to be 
237.33 	separate from the service planning meeting.

237.34 	Sec. 32. Minnesota Statutes 2010, section 256B.092, subdivision 8, is amended to read:
238.1 		Subd. 8.Screening team Additional certified assessor duties. In addition to the 
238.2 	responsibilities of certified assessors described in section 256B.0911, for persons with 
238.3 	developmental disabilities, the screening team certified assessor shall:
238.4 	(1) review diagnostic data;
238.5 	(2) review health, social, and developmental assessment data using a uniform 
238.6 	screening tool specified by the commissioner;
238.7 	(3) identify the level of services appropriate to maintain the person in the most 
238.8 	normal and least restrictive setting that is consistent with the person's treatment needs;
238.9 	(4) (1) identify other noninstitutional public assistance or social service that may 
238.10 	prevent or delay long-term residential placement;
238.11 	(5) (2) assess whether a person is in need of long-term residential care;
238.12 	(6) (3) make recommendations regarding placement and payment for:
238.13 	(i) social service or public assistance support, or both, to maintain a person in the 
238.14 	person's own home or other place of residence;
238.15 	(ii) training and habilitation service, vocational rehabilitation, and employment 
238.16 	training activities;
238.17 	(iii) community residential service placement;
238.18 	(iv) regional treatment center placement; or
238.19 	(v) a home and community-based service alternative to community residential 
238.20 	placement service or regional treatment center placement including self-directed service 
238.21 	options;
238.22 	(7) (4) evaluate the availability, location, and quality of the services listed in clause 
238.23 	(6) (3), including the impact of placement alternatives on the person's ability to maintain 
238.24 	or improve existing patterns of contact and involvement with parents and other family 
238.25 	members;
238.26 	(8) (5) identify the cost implications of recommendations in clause (6) (3); and
238.27 	(9) (6) make recommendations to a court as may be needed to assist the court in 
238.28 	making decisions regarding commitment of persons with developmental disabilities; and.
238.29 	(10) inform the person and the person's legal guardian or conservator, or the parent if 
238.30 	the person is a minor, that appeal may be made to the commissioner pursuant to section 
238.31 	256.045.

238.32 	Sec. 33. Minnesota Statutes 2010, section 256B.092, subdivision 8a, is amended to 
238.33 	read:
238.34 		Subd. 8a.County concurrence notification. (a) If the county of financial 
238.35 	responsibility wishes to place a person in another county for services, the county of 
239.1 	financial responsibility shall seek concurrence from notify the proposed county of service 
239.2 	and the placement shall be made cooperatively between the two counties. Arrangements 
239.3 	shall be made between the two counties for ongoing social service, including annual 
239.4 	reviews of the person's individual service coordinated service and support plan. The county 
239.5 	where services are provided may not make changes in the person's service coordinated 
239.6 	service and support plan without approval by the county of financial responsibility.
239.7 	(b) When a person has been screened and authorized for services in an intermediate 
239.8 	care facility for persons with developmental disabilities or for home and community-based 
239.9 	services for persons with developmental disabilities, the case manager shall assist that 
239.10 	person in identifying a service provider who is able to meet the needs of the person 
239.11 	according to the person's individual service plan. If the identified service is to be provided 
239.12 	in a county other than the county of financial responsibility, the county of financial 
239.13 	responsibility shall request concurrence of the county where the person is requesting to 
239.14 	receive the identified services. The county of service may refuse to concur shall notify 
239.15 	the county of financial responsibility if:
239.16 	(1) it can demonstrate that the provider is unable to provide the services identified in 
239.17 	the person's individual service plan as services that are needed and are to be provided; or
239.18 	(2), in the case of an intermediate care facility for persons with developmental 
239.19 	disabilities, there has been no authorization for admission by the admission review team 
239.20 	as required in section 256B.0926.
239.21 	(c) The county of service shall notify the county of financial responsibility of 
239.22 	concurrence or refusal to concur any concerns about the chosen provider's capacity to 
239.23 	meet the needs of the person seeking to move to residential services in another county no 
239.24 	later than 20 working days following receipt of the written request notification. Unless 
239.25 	other mutually acceptable arrangements are made by the involved county agencies, the 
239.26 	county of financial responsibility is responsible for costs of social services and the costs 
239.27 	associated with the development and maintenance of the placement. The county of 
239.28 	service may request that the county of financial responsibility purchase case management 
239.29 	services from the county of service or from a contracted provider of case management 
239.30 	when the county of financial responsibility is not providing case management as defined 
239.31 	in this section and rules adopted under this section, unless other mutually acceptable 
239.32 	arrangements are made by the involved county agencies. Standards for payment limits 
239.33 	under this section may be established by the commissioner. Financial disputes between 
239.34 	counties shall be resolved as provided in section 256G.09. This subdivision also applies to 
239.35 	home and community-based waiver services provided under section 256B.49.

240.1 	Sec. 34. Minnesota Statutes 2010, section 256B.092, subdivision 9, is amended to read:
240.2 		Subd. 9.Reimbursement. Payment for services shall not be provided to a 
240.3 	service provider for any person placed in an intermediate care facility for persons with 
240.4 	developmental disabilities prior to the person being screened by the screening team
240.5 	receiving an assessment by a certified assessor. The commissioner shall not deny 
240.6 	reimbursement for: (1) a person admitted to an intermediate care facility for persons 
240.7 	with developmental disabilities who is assessed to need long-term supportive services, 
240.8 	if long-term supportive services other than intermediate care are not available in that 
240.9 	community; (2) any person admitted to an intermediate care facility for persons with 
240.10 	developmental disabilities under emergency circumstances; (3) any eligible person placed 
240.11 	in the intermediate care facility for persons with developmental disabilities pending an 
240.12 	appeal of the screening team's certified assessor's decision; or (4) any medical assistance 
240.13 	recipient when, after full discussion of all appropriate alternatives including those that 
240.14 	are expected to be less costly than intermediate care for persons with developmental 
240.15 	disabilities, the person or the person's legal guardian or conservator, or the parent if the 
240.16 	person is a minor, insists on intermediate care placement. The screening team certified 
240.17 	assessor shall provide documentation that the most cost-effective alternatives available 
240.18 	were offered to this individual or the individual's legal guardian or conservator.

240.19 	Sec. 35. Minnesota Statutes 2010, section 256B.092, subdivision 11, is amended to 
240.20 	read:
240.21 		Subd. 11.Residential support services. (a) Upon federal approval, there is 
240.22 	established a new service called residential support that is available on the community 
240.23 	alternative care, community alternatives for disabled individuals, developmental 
240.24 	disabilities, and traumatic brain injury waivers. Existing waiver service descriptions 
240.25 	must be modified to the extent necessary to ensure there is no duplication between 
240.26 	other services. Residential support services must be provided by vendors licensed as a 
240.27 	community residential setting as defined in section 245A.11, subdivision 8.
240.28 	(b) Residential support services must meet the following criteria:
240.29 	(1) providers of residential support services must own or control the residential site;
240.30 	(2) the residential site must not be the primary residence of the license holder;
240.31 	(3) the residential site must have a designated program supervisor responsible for 
240.32 	program oversight, development, and implementation of policies and procedures;
240.33 	(4) the provider of residential support services must provide supervision, training, 
240.34 	and assistance as described in the person's community coordinated service and support 
240.35 	plan; and
241.1 	(5) the provider of residential support services must meet the requirements of 
241.2 	licensure and additional requirements of the person's community coordinated service and
241.3 	support plan.
241.4 	(c) Providers of residential support services that meet the definition in paragraph 
241.5 	(a) must be registered using a process determined by the commissioner beginning July 
241.6 	1, 2009.

241.7 	Sec. 36. Minnesota Statutes 2010, section 256B.15, subdivision 1c, is amended to read:
241.8 		Subd. 1c.Notice of potential claim. (a) A state agency with a claim or potential 
241.9 	claim under this section may file a notice of potential claim under this subdivision anytime 
241.10 	before or within one year after a medical assistance recipient dies. The claimant shall be 
241.11 	the state agency. A notice filed prior to the recipient's death shall not take effect and shall 
241.12 	not be effective as notice until the recipient dies. A notice filed after a recipient dies 
241.13 	shall be effective from the time of filing.
241.14 	(b) The notice of claim shall be filed or recorded in the real estate records in the 
241.15 	office of the county recorder or registrar of titles for each county in which any part of 
241.16 	the property is located. The recorder shall accept the notice for recording or filing. The 
241.17 	registrar of titles shall accept the notice for filing if the recipient has a recorded interest in 
241.18 	the property. The registrar of titles shall not carry forward to a new certificate of title any 
241.19 	notice filed more than one year from the date of the recipient's death.
241.20 	(c) The notice must be dated, state the name of the claimant, the medical assistance 
241.21 	recipient's name and last four digits of the Social Security number if filed before their 
241.22 	death and their date of death if filed after they die, the name and date of death of any 
241.23 	predeceased spouse of the medical assistance recipient for whom a claim may exist, a 
241.24 	statement that the claimant may have a claim arising under this section, generally identify 
241.25 	the recipient's interest in the property, contain a legal description for the property and 
241.26 	whether it is abstract or registered property, a statement of when the notice becomes 
241.27 	effective and the effect of the notice, be signed by an authorized representative of the state 
241.28 	agency, and may include such other contents as the state agency may deem appropriate.

241.29 	Sec. 37. Minnesota Statutes 2010, section 256B.15, subdivision 1f, is amended to read:
241.30 		Subd. 1f.Agency lien. (a) The notice shall constitute a lien in favor of the 
241.31 	Department of Human Services against the recipient's interests in the real estate it 
241.32 	describes for a period of 20 years from the date of filing or the date of the recipient's death, 
241.33 	whichever is later. Notwithstanding any law or rule to the contrary, a recipient's life estate 
241.34 	and joint tenancy interests shall not end upon the recipient's death but shall continue 
242.1 	according to subdivisions 1h, 1i, and 1j. The amount of the lien shall be equal to the total 
242.2 	amount of the claims that could be presented in the recipient's estate under this section.
242.3 	(b) If no estate has been opened for the deceased recipient, any holder of an interest 
242.4 	in the property may apply to the lienholder for a statement of the amount of the lien or 
242.5 	for a full or partial release of the lien. The application shall include the applicant's name, 
242.6 	current mailing address, current home and work telephone numbers, and a description of 
242.7 	their interest in the property, a legal description of the recipient's interest in the property, 
242.8 	and the deceased recipient's name, date of birth, and last four digits of the Social Security 
242.9 	number. The lienholder shall send the applicant by certified mail, return receipt requested, 
242.10 	a written statement showing the amount of the lien, whether the lienholder is willing to 
242.11 	release the lien and under what conditions, and inform them of the right to a hearing under 
242.12 	section 256.045. The lienholder shall have the discretion to compromise and settle the lien 
242.13 	upon any terms and conditions the lienholder deems appropriate.
242.14 	(c) Any holder of an interest in property subject to the lien has a right to request 
242.15 	a hearing under section 256.045 to determine the validity, extent, or amount of the lien. 
242.16 	The request must be in writing, and must include the names, current addresses, and home 
242.17 	and business telephone numbers for all other parties holding an interest in the property. A 
242.18 	request for a hearing by any holder of an interest in the property shall be deemed to be a 
242.19 	request for a hearing by all parties owning interests in the property. Notice of the hearing 
242.20 	shall be given to the lienholder, the party filing the appeal, and all of the other holders of 
242.21 	interests in the property at the addresses listed in the appeal by certified mail, return receipt 
242.22 	requested, or by ordinary mail. Any owner of an interest in the property to whom notice of 
242.23 	the hearing is mailed shall be deemed to have waived any and all claims or defenses in 
242.24 	respect to the lien unless they appear and assert any claims or defenses at the hearing.
242.25 	(d) If the claim the lien secures could be filed under subdivision 1h, the lienholder 
242.26 	may collect, compromise, settle, or release the lien upon any terms and conditions it deems 
242.27 	appropriate. If the claim the lien secures could be filed under subdivision 1i or 1j, the lien 
242.28 	may be adjusted or enforced to the same extent had it been filed under subdivisions 1i 
242.29 	and 1j, and the provisions of subdivisions 1i, clause (f), and 1j, clause (d), shall apply to 
242.30 	voluntary payment, settlement, or satisfaction of the lien.
242.31 	(e) If no probate proceedings have been commenced for the recipient as of the date 
242.32 	the lien holder executes a release of the lien on a recipient's life estate or joint tenancy 
242.33 	interest, created for purposes of this section, the release shall terminate the life estate or 
242.34 	joint tenancy interest created under this section as of the date it is recorded or filed to the 
242.35 	extent of the release. If the claimant executes a release for purposes of extinguishing a 
242.36 	life estate or a joint tenancy interest created under this section to remove a cloud on title 
243.1 	to real property, the release shall have the effect of extinguishing any life estate or joint 
243.2 	tenancy interests in the property it describes which may have been continued by reason 
243.3 	of this section retroactive to the date of death of the deceased life tenant or joint tenant 
243.4 	except as provided for in section 514.981, subdivision 6.
243.5 	(f) If the deceased recipient's estate is probated, a claim shall be filed under this 
243.6 	section. The amount of the lien shall be limited to the amount of the claim as finally 
243.7 	allowed. If the claim the lien secures is filed under subdivision 1h, the lien may be released 
243.8 	in full after any allowance of the claim becomes final or according to any agreement to 
243.9 	settle and satisfy the claim. The release shall release the lien but shall not extinguish 
243.10 	or terminate the interest being released. If the claim the lien secures is filed under 
243.11 	subdivision 1i or 1j, the lien shall be released after the lien under subdivision 1i or 1j is 
243.12 	filed or recorded, or settled according to any agreement to settle and satisfy the claim. The 
243.13 	release shall not extinguish or terminate the interest being released. If the claim is finally 
243.14 	disallowed in full, the claimant shall release the claimant's lien at the claimant's expense.

243.15 	Sec. 38. Minnesota Statutes 2010, section 256B.49, subdivision 13, is amended to read:
243.16 		Subd. 13.Case management. (a) Each recipient of a home and community-based 
243.17 	waiver shall be provided case management services by qualified vendors as described 
243.18 	in the federally approved waiver application. The case management service activities 
243.19 	provided will must include:
243.20 	(1) assessing the needs of the individual within 20 working days of a recipient's 
243.21 	request;
243.22 	(2) developing (1) finalizing the written individual service coordinated service and 
243.23 	support plan within ten working days after the assessment is completed case manager 
243.24 	receives the plan from the certified assessor;
243.25 	(3) (2) informing the recipient or the recipient's legal guardian or conservator 
243.26 	of service options;
243.27 	(4) (3) assisting the recipient in the identification of potential service providers and 
243.28 	available options for case management service and providers;
243.29 	(5) (4) assisting the recipient to access services and assisting with appeals under 
243.30 	section 256.045; and
243.31 	(6) (5) coordinating, evaluating, and monitoring of the services identified in the 
243.32 	service plan;.
243.33 	(7) completing the annual reviews of the service plan; and
243.34 	(8) informing the recipient or legal representative of the right to have assessments 
243.35 	completed and service plans developed within specified time periods, and to appeal county 
244.1 	action or inaction under section 256.045, subdivision 3, including the determination of 
244.2 	nursing facility level of care.
244.3 	(b) The case manager may delegate certain aspects of the case management service 
244.4 	activities to another individual provided there is oversight by the case manager. The case 
244.5 	manager may not delegate those aspects which require professional judgment including 
244.6 	assessments, reassessments, and care plan development.:
244.7 	(1) finalizing the coordinated service and support plan;
244.8 	(2) ongoing assessment and monitoring of the person's needs and adequacy of the 
244.9 	approved coordinated service and support plan; and
244.10 	(3) adjustments to the coordinated service and support plan.
244.11 	(c) Case management services must be provided by a public or private agency that is 
244.12 	enrolled as a medical assistance provider determined by the commissioner to meet all of 
244.13 	the requirements in the approved federal waiver plans. Case management services must 
244.14 	not be provided to a recipient by a private agency that has any financial interest in the 
244.15 	provision of any other services included in the recipient's coordinated service and support 
244.16 	plan. For purposes of this section, "private agency" means any agency that is not identified 
244.17 	as a lead agency under section 256B.0911, subdivision 1a, paragraph (e).

244.18 	Sec. 39. Minnesota Statutes 2011 Supplement, section 256B.49, subdivision 14, 
244.19 	is amended to read:
244.20 		Subd. 14.Assessment and reassessment. (a) Assessments of each recipient's 
244.21 	strengths, informal support systems, and need for services shall be completed within 20 
244.22 	working days of the recipient's request as provided in section 256B.0911. Reassessment 
244.23 	of each recipient's strengths, support systems, and need for services shall be conducted 
244.24 	at least every 12 months and at other times when there has been a significant change in 
244.25 	the recipient's functioning and reassessments shall be conducted by certified assessors 
244.26 	according to section 256B.0911, subdivision 2b.
244.27 	(b) There must be a determination that the client requires a hospital level of care or a 
244.28 	nursing facility level of care as defined in section 256B.0911, subdivision 4a, paragraph 
244.29 	(d), at initial and subsequent assessments to initiate and maintain participation in the 
244.30 	waiver program.
244.31 	(c) Regardless of other assessments identified in section 144.0724, subdivision 4, as 
244.32 	appropriate to determine nursing facility level of care for purposes of medical assistance 
244.33 	payment for nursing facility services, only face-to-face assessments conducted according 
244.34 	to section 256B.0911, subdivisions 3a, 3b, and 4d, that result in a hospital level of care 
245.1 	determination or a nursing facility level of care determination must be accepted for 
245.2 	purposes of initial and ongoing access to waiver services payment.
245.3 	(d) Persons with developmental disabilities who apply for services under the nursing 
245.4 	facility level waiver programs shall be screened for the appropriate level of care according 
245.5 	to section 256B.092.
245.6 	(e) (d) Recipients who are found eligible for home and community-based services 
245.7 	under this section before their 65th birthday may remain eligible for these services after 
245.8 	their 65th birthday if they continue to meet all other eligibility factors.
245.9 	(f) (e) The commissioner shall develop criteria to identify recipients whose level of 
245.10 	functioning is reasonably expected to improve and reassess these recipients to establish 
245.11 	a baseline assessment. Recipients who meet these criteria must have a comprehensive 
245.12 	transitional service plan developed under subdivision 15, paragraphs (b) and (c), and be 
245.13 	reassessed every six months until there has been no significant change in the recipient's 
245.14 	functioning for at least 12 months. After there has been no significant change in the 
245.15 	recipient's functioning for at least 12 months, reassessments of the recipient's strengths, 
245.16 	informal support systems, and need for services shall be conducted at least every 12 
245.17 	months and at other times when there has been a significant change in the recipient's 
245.18 	functioning. Counties, case managers, and service providers are responsible for 
245.19 	conducting these reassessments and shall complete the reassessments out of existing funds.

245.20 	Sec. 40. Minnesota Statutes 2011 Supplement, section 256B.49, subdivision 15, 
245.21 	is amended to read:
245.22 		Subd. 15.Individualized service Coordinated service and support plan; 
245.23 	comprehensive transitional service plan; maintenance service plan. (a) Each recipient 
245.24 	of home and community-based waivered services shall be provided a copy of the written 
245.25 	coordinated service and support plan which: meets the requirements in section 256B.092, 
245.26 	subdivision 1b.
245.27 	(1) is developed and signed by the recipient within ten working days of the 
245.28 	completion of the assessment;
245.29 	(2) meets the assessed needs of the recipient;
245.30 	(3) reasonably ensures the health and safety of the recipient;
245.31 	(4) promotes independence;
245.32 	(5) allows for services to be provided in the most integrated settings; and
245.33 	(6) provides for an informed choice, as defined in section 256B.77, subdivision 2, 
245.34 	paragraph (p), of service and support providers.
246.1 	(b) In developing the comprehensive transitional service plan, the individual 
246.2 	receiving services, the case manager, and the guardian, if applicable, will identify 
246.3 	the transitional service plan fundamental service outcome and anticipated timeline to 
246.4 	achieve this outcome. Within the first 20 days following a recipient's request for an 
246.5 	assessment or reassessment, the transitional service planning team must be identified. A 
246.6 	team leader must be identified who will be responsible for assigning responsibility and 
246.7 	communicating with team members to ensure implementation of the transition plan and 
246.8 	ongoing assessment and communication process. The team leader should be an individual, 
246.9 	such as the case manager or guardian, who has the opportunity to follow the recipient to 
246.10 	the next level of service.
246.11 	Within ten days following an assessment, a comprehensive transitional service plan 
246.12 	must be developed incorporating elements of a comprehensive functional assessment and 
246.13 	including short-term measurable outcomes and timelines for achievement of and reporting 
246.14 	on these outcomes. Functional milestones must also be identified and reported according 
246.15 	to the timelines agreed upon by the transitional service planning team. In addition, the 
246.16 	comprehensive transitional service plan must identify additional supports that may assist 
246.17 	in the achievement of the fundamental service outcome such as the development of greater 
246.18 	natural community support, increased collaboration among agencies, and technological 
246.19 	supports.
246.20 	The timelines for reporting on functional milestones will prompt a reassessment of 
246.21 	services provided, the units of services, rates, and appropriate service providers. It is 
246.22 	the responsibility of the transitional service planning team leader to review functional 
246.23 	milestone reporting to determine if the milestones are consistent with observable skills 
246.24 	and that milestone achievement prompts any needed changes to the comprehensive 
246.25 	transitional service plan.
246.26 	For those whose fundamental transitional service outcome involves the need to 
246.27 	procure housing, a plan for the recipient to seek the resources necessary to secure the least 
246.28 	restrictive housing possible should be incorporated into the plan, including employment 
246.29 	and public supports such as housing access and shelter needy funding.
246.30 	(c) Counties and other agencies responsible for funding community placement and 
246.31 	ongoing community supportive services are responsible for the implementation of the 
246.32 	comprehensive transitional service plans. Oversight responsibilities include both ensuring 
246.33 	effective transitional service delivery and efficient utilization of funding resources.
246.34 	(d) Following one year of transitional services, the transitional services planning 
246.35 	team will make a determination as to whether or not the individual receiving services 
246.36 	requires the current level of continuous and consistent support in order to maintain the 
247.1 	recipient's current level of functioning. Recipients who are determined to have not had 
247.2 	a significant change in functioning for 12 months must move from a transitional to a 
247.3 	maintenance service plan. Recipients on a maintenance service plan must be reassessed 
247.4 	to determine if the recipient would benefit from a transitional service plan at least every 
247.5 	12 months and at other times when there has been a significant change in the recipient's 
247.6 	functioning. This assessment should consider any changes to technological or natural 
247.7 	community supports.
247.8 	(e) When a county is evaluating denials, reductions, or terminations of home and 
247.9 	community-based services under section 256B.49 for an individual, the case manager 
247.10 	shall offer to meet with the individual or the individual's guardian in order to discuss the 
247.11 	prioritization of service needs within the individualized coordinated service and support 
247.12 	plan, comprehensive transitional service plan, or maintenance service plan. The reduction 
247.13 	in the authorized services for an individual due to changes in funding for waivered 
247.14 	services may not exceed the amount needed to ensure medically necessary services to 
247.15 	meet the individual's health, safety, and welfare.
247.16 	(f) At the time of reassessment, local agency case managers shall assess each 
247.17 	recipient of community alternatives for disabled individuals or traumatic brain injury 
247.18 	waivered services currently residing in a licensed adult foster home that is not the primary 
247.19 	residence of the license holder, or in which the license holder is not the primary caregiver, 
247.20 	to determine if that recipient could appropriately be served in a community-living setting. 
247.21 	If appropriate for the recipient, the case manager shall offer the recipient, through a 
247.22 	person-centered planning process, the option to receive alternative housing and service 
247.23 	options. In the event that the recipient chooses to transfer from the adult foster home, 
247.24 	the vacated bed shall not be filled with another recipient of waiver services and group 
247.25 	residential housing, unless provided under section 245A.03, subdivision 7, paragraph (a), 
247.26 	clauses (3) and (4), and the licensed capacity shall be reduced accordingly. If the adult 
247.27 	foster home becomes no longer viable due to these transfers, the county agency, with the 
247.28 	assistance of the department, shall facilitate a consolidation of settings or closure. This 
247.29 	reassessment process shall be completed by June 30, 2012.

247.30 	Sec. 41. Minnesota Statutes 2010, section 256G.02, subdivision 6, is amended to read:
247.31 		Subd. 6.Excluded time. "Excluded time" means:
247.32 	(a) (1) any period an applicant spends in a hospital, sanitarium, nursing home, 
247.33 	shelter other than an emergency shelter, halfway house, foster home, semi-independent 
247.34 	living domicile or services program, residential facility offering care, board and lodging 
247.35 	facility or other institution for the hospitalization or care of human beings, as defined in 
248.1 	section 144.50, 144A.01, or 245A.02, subdivision 14; maternity home, battered women's 
248.2 	shelter, or correctional facility; or any facility based on an emergency hold under sections 
248.3 	253B.05, subdivisions 1 and 2, and 253B.07, subdivision 6;
248.4 	(b) (2) any period an applicant spends on a placement basis in a training and 
248.5 	habilitation program, including: a rehabilitation facility or work or employment program 
248.6 	as defined in section 268A.01; or receiving personal care assistance services pursuant to 
248.7 	section 256B.0659; semi-independent living services provided under section 252.275, and 
248.8 	Minnesota Rules, parts 9525.0500 to 9525.0660; or day training and habilitation programs 
248.9 	and assisted living services; and
248.10 	(c) (3) any placement for a person with an indeterminate commitment, including 
248.11 	independent living.

248.12 	Sec. 42. RECOMMENDATIONS FOR FURTHER CASE MANAGEMENT 
248.13 	REDESIGN AND STUDY OF COUNTY AND TRIBAL ADMINISTRATIVE 
248.14 	FUNCTIONS.
 248.15 	(a) By February 1, 2013, the commissioner of human services shall develop a 
248.16 	legislative report with specific recommendations and language for proposed legislation 
248.17 	for the following:
248.18 	(1) definitions of service and consolidation of standards and rates to the extent 
248.19 	appropriate for all types of medical assistance case management service services, including 
248.20 	targeted case management under Minnesota Statutes, sections 256B.0621, 256B.0924, and 
248.21 	256B.094, and all types of home and community-based waiver case management and case 
248.22 	management under Minnesota Rules, parts 9525.0004 to 9525.0036. This work must be 
248.23 	completed in collaboration with efforts under Minnesota Statutes, section 256B.4912;
248.24 	(2) recommendations on county of financial responsibility requirements and quality 
248.25 	assurance measures for case management; and
248.26 	(3) identification of county administrative functions that may remain entwined in 
248.27 	case management service delivery models.
248.28 	(b) The commissioner of human services shall evaluate county and tribal 
248.29 	administrative functions, processes, and reimbursement methodologies for the purposes 
248.30 	of administration of home and community-based services, and compliance and 
248.31 	oversight functions.  The commissioner shall work with county, tribal, and stakeholder 
248.32 	representatives in the evaluation process and develop a plan for the delegation of 
248.33 	commissioner duties to county and tribal entities after the elimination of county contracts 
248.34 	under Minnesota Statutes, section 256B.4912, for waiver service provision and the 
248.35 	creation of quality outcome standards under Laws 2009, chapter 79, article 8, section 
249.1 	81, and residential support services under Minnesota Statutes, sections 256B.092, 
249.2 	subdivision 11, and 245A.11, subdivision 8.  The commissioner shall present findings 
249.3 	and recommendations to the chairs and ranking minority members of the legislative 
249.4 	committees with jurisdiction over health and human services finance and policy by 
249.5 	February 1, 2013, with any specific recommendations and language for proposed 
249.6 	legislation to be effective July 1, 2013.

249.7 	ARTICLE 12
249.8 	CHEMICAL AND MENTAL HEALTH

249.9 	Section 1. Minnesota Statutes 2010, section 245.461, is amended by adding a 
249.10 	subdivision to read:
249.11 		Subd. 6.Diagnostic codes list. By July 1, 2013, the commissioner of human 
249.12 	services shall develop a list of diagnostic codes to define the range of child and adult 
249.13 	mental illnesses for the statewide mental health system. The commissioner may use the 
249.14 	International Classification of Diseases (ICD); the American Psychiatric Association's 
249.15 	Diagnostic and Statistical Manual (DSM); or a combination of both to develop the list. 
249.16 	The commissioner shall establish an advisory committee, comprising mental health 
249.17 	professional associations, counties, tribes, managed care organizations, state agencies, 
249.18 	and consumer organizations that shall advise the commissioner regarding development of 
249.19 	the diagnostic codes list. The commissioner shall annually notify providers of changes 
249.20 	to the list.

249.21 	Sec. 2. Minnesota Statutes 2010, section 245.462, subdivision 20, is amended to read:
249.22 		Subd. 20.Mental illness. (a) "Mental illness" means an organic disorder of the 
249.23 	brain or a clinically significant disorder of thought, mood, perception, orientation, 
249.24 	memory, or behavior that is listed in the clinical manual of the International Classification 
249.25 	of Diseases (ICD-9-CM), current edition, code range 290.0 to 302.99 or 306.0 to 316.0 
249.26 	or the corresponding code in the American Psychiatric Association's Diagnostic and 
249.27 	Statistical Manual of Mental Disorders (DSM-MD), current edition, Axes I, II, or III
249.28 	detailed in a diagnostic codes list published by the commissioner, and that seriously limits 
249.29 	a person's capacity to function in primary aspects of daily living such as personal relations, 
249.30 	living arrangements, work, and recreation.
249.31 	(b) An "adult with acute mental illness" means an adult who has a mental illness that 
249.32 	is serious enough to require prompt intervention.
250.1 	(c) For purposes of case management and community support services, a "person 
250.2 	with serious and persistent mental illness" means an adult who has a mental illness and 
250.3 	meets at least one of the following criteria:
250.4 	(1) the adult has undergone two or more episodes of inpatient care for a mental 
250.5 	illness within the preceding 24 months;
250.6 	(2) the adult has experienced a continuous psychiatric hospitalization or residential 
250.7 	treatment exceeding six months' duration within the preceding 12 months;
250.8 	(3) the adult has been treated by a crisis team two or more times within the preceding 
250.9 	24 months;
250.10 	(4) the adult:
250.11 	(i) has a diagnosis of schizophrenia, bipolar disorder, major depression, or borderline 
250.12 	personality disorder;
250.13 	(ii) indicates a significant impairment in functioning; and
250.14 	(iii) has a written opinion from a mental health professional, in the last three years, 
250.15 	stating that the adult is reasonably likely to have future episodes requiring inpatient or 
250.16 	residential treatment, of a frequency described in clause (1) or (2), unless ongoing case 
250.17 	management or community support services are provided;
250.18 	(5) the adult has, in the last three years, been committed by a court as a person 
250.19 	who is mentally ill under chapter 253B, or the adult's commitment has been stayed or 
250.20 	continued; or
250.21 	(6) the adult (i) was eligible under clauses (1) to (5), but the specified time period 
250.22 	has expired or the adult was eligible as a child under section 245.4871, subdivision 6; and 
250.23 	(ii) has a written opinion from a mental health professional, in the last three years, stating 
250.24 	that the adult is reasonably likely to have future episodes requiring inpatient or residential 
250.25 	treatment, of a frequency described in clause (1) or (2), unless ongoing case management 
250.26 	or community support services are provided.

250.27 	Sec. 3. Minnesota Statutes 2010, section 245.487, is amended by adding a subdivision 
250.28 	to read:
250.29 		Subd. 7.Diagnostic codes list. By July 1, 2013, the commissioner of human 
250.30 	services shall develop a list of diagnostic codes to define the range of child and adult 
250.31 	mental illnesses for the statewide mental health system. The commissioner may use the 
250.32 	International Classification of Diseases (ICD); the American Psychiatric Association's 
250.33 	Diagnostic and Statistical Manual (DSM); or a combination of both to develop the list. 
250.34 	The commissioner shall establish an advisory committee, comprising mental health 
250.35 	professional associations, counties, tribes, managed care organizations, state agencies, 
251.1 	and consumer organizations that shall advise the commissioner regarding development of 
251.2 	the diagnostic codes list. The commissioner shall annually notify providers of changes 
251.3 	to the list.

251.4 	Sec. 4. Minnesota Statutes 2010, section 245.4871, subdivision 15, is amended to read:
251.5 		Subd. 15.Emotional disturbance. "Emotional disturbance" means an organic 
251.6 	disorder of the brain or a clinically significant disorder of thought, mood, perception, 
251.7 	orientation, memory, or behavior that:
251.8 	(1) is listed in the clinical manual of the International Classification of Diseases 
251.9 	(ICD-9-CM), current edition, code range 290.0 to 302.99 or 306.0 to 316.0 or the 
251.10 	corresponding code in the American Psychiatric Association's Diagnostic and Statistical 
251.11 	Manual of Mental Disorders (DSM-MD), current edition, Axes I, II, or III detailed in a 
251.12 	diagnostic codes list published by the commissioner; and
251.13 	(2) seriously limits a child's capacity to function in primary aspects of daily living 
251.14 	such as personal relations, living arrangements, work, school, and recreation.
251.15 	"Emotional disturbance" is a generic term and is intended to reflect all categories 
251.16 	of disorder described in DSM-MD, current edition the clinical code list published by the 
251.17 	commissioner as "usually first evident in childhood or adolescence."

251.18 	Sec. 5. Minnesota Statutes 2010, section 245.4932, subdivision 1, is amended to read:
251.19 		Subdivision 1.Collaborative responsibilities. The children's mental health 
251.20 	collaborative shall have the following authority and responsibilities regarding federal 
251.21 	revenue enhancement:
251.22 	(1) the collaborative must establish an integrated fund;
251.23 	(2) the collaborative shall designate a lead county or other qualified entity as the 
251.24 	fiscal agency for reporting, claiming, and receiving payments;
251.25 	(3) the collaborative or lead county may enter into subcontracts with other counties, 
251.26 	school districts, special education cooperatives, municipalities, and other public and 
251.27 	nonprofit entities for purposes of identifying and claiming eligible expenditures to enhance 
251.28 	federal reimbursement;
251.29 	(4) the collaborative shall use any enhanced revenue attributable to the activities of 
251.30 	the collaborative, including administrative and service revenue, solely to provide mental 
251.31 	health services or to expand the operational target population. The lead county or other 
251.32 	qualified entity may not use enhanced federal revenue for any other purpose;
251.33 	(5) the members of the collaborative must continue the base level of expenditures, 
251.34 	as defined in section 245.492, subdivision 2, for services for children with emotional or 
252.1 	behavioral disturbances and their families from any state, county, federal, or other public 
252.2 	or private funding source which, in the absence of the new federal reimbursement earned 
252.3 	under sections 245.491 to 245.495, would have been available for those services. The 
252.4 	base year for purposes of this subdivision shall be the accounting period closest to state 
252.5 	fiscal year 1993;
252.6 	(6) (5) the collaborative or lead county must develop and maintain an accounting and 
252.7 	financial management system adequate to support all claims for federal reimbursement, 
252.8 	including a clear audit trail and any provisions specified in the contract with the 
252.9 	commissioner of human services;
252.10 	(7) (6) the collaborative or its members may elect to pay the nonfederal share of the 
252.11 	medical assistance costs for services designated by the collaborative; and
252.12 	(8) (7) the lead county or other qualified entity may not use federal funds or local 
252.13 	funds designated as matching for other federal funds to provide the nonfederal share of 
252.14 	medical assistance.

252.15 	Sec. 6. Minnesota Statutes 2010, section 246.53, is amended by adding a subdivision 
252.16 	to read:
252.17 		Subd. 4.Exception from statute of limitations. Any statute of limitations that 
252.18 	limits the commissioner in recovering the cost of care obligation incurred by a client or 
252.19 	former client shall not apply to any claim against an estate made under this section to 
252.20 	recover the cost of care.

252.21 	Sec. 7. Minnesota Statutes 2011 Supplement, section 254B.04, subdivision 2a, is 
252.22 	amended to read:
252.23 		Subd. 2a.Eligibility for treatment in residential settings. Notwithstanding 
252.24 	provisions of Minnesota Rules, part 9530.6622, subparts 5 and 6, related to an assessor's 
252.25 	discretion in making placements to residential treatment settings, a person eligible for 
252.26 	services under this section must score at level 4 on assessment dimensions related to 
252.27 	relapse, continued use, andor recovery environment in order to be assigned to services 
252.28 	with a room and board component reimbursed under this section.

252.29 	Sec. 8. Minnesota Statutes 2010, section 256B.0625, subdivision 42, is amended to 
252.30 	read:
252.31 		Subd. 42.Mental health professional. Notwithstanding Minnesota Rules, part 
252.32 	9505.0175, subpart 28, the definition of a mental health professional shall include a person 
252.33 	who is qualified as specified in section 245.462, subdivision 18, clauses (5) and(1) to (6); 
253.1 	or 245.4871, subdivision 27, clauses (5) and(1) to (6), for the purpose of this section and 
253.2 	Minnesota Rules, parts 9505.0170 to 9505.0475.

253.3 	Sec. 9. Minnesota Statutes 2010, section 256F.13, subdivision 1, is amended to read:
253.4 		Subdivision 1.Federal revenue enhancement. (a) The commissioner of human 
253.5 	services may enter into an agreement with one or more family services collaboratives 
253.6 	to enhance federal reimbursement under title IV-E of the Social Security Act and 
253.7 	federal administrative reimbursement under title XIX of the Social Security Act. The 
253.8 	commissioner may contract with the Department of Education for purposes of transferring 
253.9 	the federal reimbursement to the commissioner of education to be distributed to the 
253.10 	collaboratives according to clause (2). The commissioner shall have the following 
253.11 	authority and responsibilities regarding family services collaboratives:
253.12 	(1) the commissioner shall submit amendments to state plans and seek waivers as 
253.13 	necessary to implement the provisions of this section;
253.14 	(2) the commissioner shall pay the federal reimbursement earned under this 
253.15 	subdivision to each collaborative based on their earnings. Payments to collaboratives for 
253.16 	expenditures under this subdivision will only be made of federal earnings from services 
253.17 	provided by the collaborative;
253.18 	(3) the commissioner shall review expenditures of family services collaboratives 
253.19 	using reports specified in the agreement with the collaborative to ensure that the base level 
253.20 	of expenditures is continued and new federal reimbursement is used to expand education, 
253.21 	social, health, or health-related services to young children and their families;
253.22 	(4) the commissioner may reduce, suspend, or eliminate a family services 
253.23 	collaborative's obligations to continue the base level of expenditures or expansion of 
253.24 	services if the commissioner determines that one or more of the following conditions 
253.25 	apply:
253.26 	(i) imposition of levy limits that significantly reduce available funds for social, 
253.27 	health, or health-related services to families and children;
253.28 	(ii) reduction in the net tax capacity of the taxable property eligible to be taxed by 
253.29 	the lead county or subcontractor that significantly reduces available funds for education, 
253.30 	social, health, or health-related services to families and children;
253.31 	(iii) reduction in the number of children under age 19 in the county, collaborative 
253.32 	service delivery area, subcontractor's district, or catchment area when compared to the 
253.33 	number in the base year using the most recent data provided by the State Demographer's 
253.34 	Office; or
254.1 	(iv) termination of the federal revenue earned under the family services collaborative 
254.2 	agreement;
254.3 	(5)(4) the commissioner shall not use the federal reimbursement earned under this 
254.4 	subdivision in determining the allocation or distribution of other funds to counties or 
254.5 	collaboratives;
254.6 	(6) (5) the commissioner may suspend, reduce, or terminate the federal 
254.7 	reimbursement to a provider that does not meet the reporting or other requirements 
254.8 	of this subdivision;
254.9 	(7) (6) the commissioner shall recover from the family services collaborative any 
254.10 	federal fiscal disallowances or sanctions for audit exceptions directly attributable to the 
254.11 	family services collaborative's actions in the integrated fund, or the proportional share if 
254.12 	federal fiscal disallowances or sanctions are based on a statewide random sample; and
254.13 	(8) (7) the commissioner shall establish criteria for the family services collaborative 
254.14 	for the accounting and financial management system that will support claims for federal 
254.15 	reimbursement.
254.16 	(b) The family services collaborative shall have the following authority and 
254.17 	responsibilities regarding federal revenue enhancement:
254.18 	(1) the family services collaborative shall be the party with which the commissioner 
254.19 	contracts. A lead county shall be designated as the fiscal agency for reporting, claiming, 
254.20 	and receiving payments;
254.21 	(2) the family services collaboratives may enter into subcontracts with other 
254.22 	counties, school districts, special education cooperatives, municipalities, and other public 
254.23 	and nonprofit entities for purposes of identifying and claiming eligible expenditures to 
254.24 	enhance federal reimbursement, or to expand education, social, health, or health-related 
254.25 	services to families and children;
254.26 	(3) the family services collaborative must use all new federal reimbursement 
254.27 	resulting from federal revenue enhancement to expand expenditures for education, social, 
254.28 	health, or health-related services to families and children beyond the base level, except 
254.29 	as provided in paragraph (a), clause (4);
254.30 	(4) the family services collaborative must ensure that expenditures submitted for 
254.31 	federal reimbursement are not made from federal funds or funds used to match other 
254.32 	federal funds. Notwithstanding section 256B.19, subdivision 1, for the purposes of family 
254.33 	services collaborative expenditures under agreement with the department, the nonfederal 
254.34 	share of costs shall be provided by the family services collaborative from sources other 
254.35 	than federal funds or funds used to match other federal funds;
255.1 	(5) the family services collaborative must develop and maintain an accounting and 
255.2 	financial management system adequate to support all claims for federal reimbursement, 
255.3 	including a clear audit trail and any provisions specified in the agreement; and
255.4 	(6) the family services collaborative shall submit an annual report to the 
255.5 	commissioner as specified in the agreement.

255.6 	Sec. 10. TERMINOLOGY AUDIT.
 255.7 	The commissioner of human services shall collaborate with individuals with 
255.8 	disabilities, families, advocates, and other governmental agencies to solicit feedback and 
255.9 	identify inappropriate and insensitive terminology relating to individuals with disabilities, 
255.10 	conduct a comprehensive audit of the placement of this terminology in Minnesota Statutes 
255.11 	and Minnesota Rules, and make recommendations for changes to the 2013 legislature 
255.12 	on the repeal and replacement of this terminology with more appropriate and sensitive 
255.13 	terminology.

255.14 	ARTICLE 13
255.15 	HEALTH CARE

255.16 	Section 1. Minnesota Statutes 2011 Supplement, section 125A.21, subdivision 7, 
255.17 	is amended to read:
255.18 		Subd. 7.District disclosure of information. A school district may disclose 
255.19 	information contained in a student's individualized education program, consistent with 
255.20 	section 13.32, subdivision 3, paragraph (a), and Code of Federal Regulations, title 34, 
255.21 	parts 99 and 300; including records of the student's diagnosis and treatment, to a health 
255.22 	plan company only with the signed and dated consent of the student's parent, or other 
255.23 	legally authorized individual, including consent that the parent or legal representative gave 
255.24 	as part of the application process for MinnesotaCare or medical assistance under section 
255.25 	256B.08, subdivision 1. The school district shall disclose only that information necessary 
255.26 	for the health plan company to decide matters of coverage and payment. A health plan 
255.27 	company may use the information only for making decisions regarding coverage and 
255.28 	payment, and for any other use permitted by law.

255.29 	Sec. 2. Minnesota Statutes 2010, section 256B.04, subdivision 14, is amended to read:
255.30 		Subd. 14.Competitive bidding. (a) When determined to be effective, economical, 
255.31 	and feasible, the commissioner may utilize volume purchase through competitive bidding 
255.32 	and negotiation under the provisions of chapter 16C, to provide items under the medical 
255.33 	assistance program including but not limited to the following:
256.1 	(1) eyeglasses;
256.2 	(2) oxygen. The commissioner shall provide for oxygen needed in an emergency 
256.3 	situation on a short-term basis, until the vendor can obtain the necessary supply from 
256.4 	the contract dealer;
256.5 	(3) hearing aids and supplies; and
256.6 	(4) durable medical equipment, including but not limited to:
256.7 	(i) hospital beds;
256.8 	(ii) commodes;
256.9 	(iii) glide-about chairs;
256.10 	(iv) patient lift apparatus;
256.11 	(v) wheelchairs and accessories;
256.12 	(vi) oxygen administration equipment;
256.13 	(vii) respiratory therapy equipment;
256.14 	(viii) electronic diagnostic, therapeutic and life-support systems;
256.15 	(5) nonemergency medical transportation level of need determinations, disbursement 
256.16 	of public transportation passes and tokens, and volunteer and recipient mileage and 
256.17 	parking reimbursements; and
256.18 	(6) drugs.
256.19 	(b) Rate changes and recipient cost-sharing under this chapter and chapters 256D and 
256.20 	256L do not affect contract payments under this subdivision unless specifically identified.
256.21 	(c) The commissioner may not utilize volume purchase through competitive bidding 
256.22 	and negotiation for special transportation services under the provisions of chapter 16C.

256.23 	Sec. 3. Minnesota Statutes 2011 Supplement, section 256B.056, subdivision 3, is 
256.24 	amended to read:
256.25 		Subd. 3.Asset limitations for individuals and families. (a) To be eligible for 
256.26 	medical assistance, a person must not individually own more than $3,000 in assets, or if a 
256.27 	member of a household with two family members, husband and wife, or parent and child, 
256.28 	the household must not own more than $6,000 in assets, plus $200 for each additional 
256.29 	legal dependent. In addition to these maximum amounts, an eligible individual or family 
256.30 	may accrue interest on these amounts, but they must be reduced to the maximum at the 
256.31 	time of an eligibility redetermination. The accumulation of the clothing and personal 
256.32 	needs allowance according to section 256B.35 must also be reduced to the maximum at 
256.33 	the time of the eligibility redetermination. The value of assets that are not considered in 
256.34 	determining eligibility for medical assistance is the value of those assets excluded under 
257.1 	the supplemental security income program for aged, blind, and disabled persons, with 
257.2 	the following exceptions:
257.3 	(1) household goods and personal effects are not considered;
257.4 	(2) capital and operating assets of a trade or business that the local agency determines 
257.5 	are necessary to the person's ability to earn an income are not considered;
257.6 	(3) motor vehicles are excluded to the same extent excluded by the supplemental 
257.7 	security income program;
257.8 	(4) assets designated as burial expenses are excluded to the same extent excluded by 
257.9 	the supplemental security income program. Burial expenses funded by annuity contracts 
257.10 	or life insurance policies must irrevocably designate the individual's estate as contingent 
257.11 	beneficiary to the extent proceeds are not used for payment of selected burial expenses; and
257.12 	(5) for a person who no longer qualifies as an employed person with a disability due 
257.13 	to loss of earnings, assets allowed while eligible for medical assistance under section 
257.14 	256B.057, subdivision 9, are not considered for 12 months, beginning with the first month 
257.15 	of ineligibility as an employed person with a disability, to the extent that the person's total 
257.16 	assets remain within the allowed limits of section 256B.057, subdivision 9, paragraph 
257.17 	(d).; and
257.18 	(6) effective July 1, 2009, certain assets owned by American Indians are excluded as 
257.19 	required by section 5006 of the American Recovery and Reinvestment Act of 2009, Public 
257.20 	Law 111-5. For purposes of this clause, an American Indian is any person who meets the 
257.21 	definition of Indian according to Code of Federal Regulations, title 42, section 447.50.
257.22 	(b) No asset limit shall apply to persons eligible under section 256B.055, subdivision 
257.23 	15.

257.24 	EFFECTIVE DATE. This section is effective retroactively from July 1, 2009.

257.25 	Sec. 4. Minnesota Statutes 2010, section 256B.056, subdivision 3c, is amended to read:
257.26 		Subd. 3c.Asset limitations for families and children. A household of two or more 
257.27 	persons must not own more than $20,000 in total net assets, and a household of one 
257.28 	person must not own more than $10,000 in total net assets. In addition to these maximum 
257.29 	amounts, an eligible individual or family may accrue interest on these amounts, but they 
257.30 	must be reduced to the maximum at the time of an eligibility redetermination. The value of 
257.31 	assets that are not considered in determining eligibility for medical assistance for families 
257.32 	and children is the value of those assets excluded under the AFDC state plan as of July 16, 
257.33 	1996, as required by the Personal Responsibility and Work Opportunity Reconciliation 
257.34 	Act of 1996 (PRWORA), Public Law 104-193, with the following exceptions:
257.35 	(1) household goods and personal effects are not considered;
258.1 	(2) capital and operating assets of a trade or business up to $200,000 are not 
258.2 	considered, except that a bank account that contains personal income or assets, or is used to 
258.3 	pay personal expenses, is not considered a capital or operating asset of a trade or business;
258.4 	(3) one motor vehicle is excluded for each person of legal driving age who is 
258.5 	employed or seeking employment;
258.6 	(4) assets designated as burial expenses are excluded to the same extent they are 
258.7 	excluded by the Supplemental Security Income program;
258.8 	(5) court-ordered settlements up to $10,000 are not considered;
258.9 	(6) individual retirement accounts and funds are not considered; and
258.10 	(7) assets owned by children are not considered.; and
258.11 	(8) effective July 1, 2009, certain assets owned by American Indians are excluded, as 
258.12 	required by section 5006 of the American Recovery and Reinvestment Act of 2009, Public 
258.13 	Law 111-5. For purposes of this clause, an American Indian is any person who meets the 
258.14 	definition of Indian according to Code of Federal Regulations, title 42, section 447.50.
258.15 	The assets specified in clause (2) must be disclosed to the local agency at the time of 
258.16 	application and at the time of an eligibility redetermination, and must be verified upon 
258.17 	request of the local agency.

258.18 	EFFECTIVE DATE. This section is effective retroactively from July 1, 2009.

258.19 	Sec. 5. Minnesota Statutes 2011 Supplement, section 256B.057, subdivision 9, is 
258.20 	amended to read:
258.21 		Subd. 9.Employed persons with disabilities. (a) Medical assistance may be paid 
258.22 	for a person who is employed and who:
258.23 	(1) but for excess earnings or assets, meets the definition of disabled under the 
258.24 	Supplemental Security Income program;
258.25 	(2) is at least 16 but less than 65 years of age;
258.26 	(3) meets the asset limits in paragraph (d); and
258.27 	(4) pays a premium and other obligations under paragraph (e).
258.28 	(b) For purposes of eligibility, there is a $65 earned income disregard. To be eligible 
258.29 	for medical assistance under this subdivision, a person must have more than $65 of earned 
258.30 	income. Earned income must have Medicare, Social Security, and applicable state and 
258.31 	federal taxes withheld. The person must document earned income tax withholding. Any 
258.32 	spousal income or assets shall be disregarded for purposes of eligibility and premium 
258.33 	determinations.
259.1 	(c) After the month of enrollment, a person enrolled in medical assistance under 
259.2 	this subdivision who:
259.3 	(1) is temporarily unable to work and without receipt of earned income due to a 
259.4 	medical condition, as verified by a physician; or
259.5 	(2) loses employment for reasons not attributable to the enrollee, and is without 
259.6 	receipt of earned income may retain eligibility for up to four consecutive months after the 
259.7 	month of job loss. To receive a four-month extension, enrollees must verify the medical 
259.8 	condition or provide notification of job loss. All other eligibility requirements must be met 
259.9 	and the enrollee must pay all calculated premium costs for continued eligibility.
259.10 	(d) For purposes of determining eligibility under this subdivision, a person's assets 
259.11 	must not exceed $20,000, excluding:
259.12 	(1) all assets excluded under section 256B.056;
259.13 	(2) retirement accounts, including individual accounts, 401(k) plans, 403(b) plans, 
259.14 	Keogh plans, and pension plans;
259.15 	(3) medical expense accounts set up through the person's employer; and
259.16 	(4) spousal assets, including spouse's share of jointly held assets.
259.17 	(e) All enrollees must pay a premium to be eligible for medical assistance under this 
259.18 	subdivision, except as provided under section 256.01, subdivision 18b clause (5).
259.19 	(1) An enrollee must pay the greater of a $65 premium or the premium calculated 
259.20 	based on the person's gross earned and unearned income and the applicable family size 
259.21 	using a sliding fee scale established by the commissioner, which begins at one percent of 
259.22 	income at 100 percent of the federal poverty guidelines and increases to 7.5 percent of 
259.23 	income for those with incomes at or above 300 percent of the federal poverty guidelines.
259.24 	(2) Annual adjustments in the premium schedule based upon changes in the federal 
259.25 	poverty guidelines shall be effective for premiums due in July of each year.
259.26 	(3) All enrollees who receive unearned income must pay five percent of unearned 
259.27 	income in addition to the premium amount, except as provided under section 256.01, 
259.28 	subdivision 18b clause (5).
259.29 	(4) Increases in benefits under title II of the Social Security Act shall not be counted 
259.30 	as income for purposes of this subdivision until July 1 of each year.
259.31 	(5) Effective July 1, 2009, American Indians are exempt from paying premiums as 
259.32 	required by section 5006 of the American Recovery and Reinvestment Act of 2009, Public 
259.33 	Law 111-5. For purposes of this clause, an American Indian is any person who meets the 
259.34 	definition of Indian according to Code of Federal Regulations, title 42, section 447.50.
260.1 	(f) A person's eligibility and premium shall be determined by the local county 
260.2 	agency. Premiums must be paid to the commissioner. All premiums are dedicated to 
260.3 	the commissioner.
260.4 	(g) Any required premium shall be determined at application and redetermined at 
260.5 	the enrollee's six-month income review or when a change in income or household size is 
260.6 	reported. Enrollees must report any change in income or household size within ten days 
260.7 	of when the change occurs. A decreased premium resulting from a reported change in 
260.8 	income or household size shall be effective the first day of the next available billing month 
260.9 	after the change is reported. Except for changes occurring from annual cost-of-living 
260.10 	increases, a change resulting in an increased premium shall not affect the premium amount 
260.11 	until the next six-month review.
260.12 	(h) Premium payment is due upon notification from the commissioner of the 
260.13 	premium amount required. Premiums may be paid in installments at the discretion of 
260.14 	the commissioner.
260.15 	(i) Nonpayment of the premium shall result in denial or termination of medical 
260.16 	assistance unless the person demonstrates good cause for nonpayment. Good cause exists 
260.17 	if the requirements specified in Minnesota Rules, part 9506.0040, subpart 7, items B to 
260.18 	D, are met. Except when an installment agreement is accepted by the commissioner, 
260.19 	all persons disenrolled for nonpayment of a premium must pay any past due premiums 
260.20 	as well as current premiums due prior to being reenrolled. Nonpayment shall include 
260.21 	payment with a returned, refused, or dishonored instrument. The commissioner may 
260.22 	require a guaranteed form of payment as the only means to replace a returned, refused, 
260.23 	or dishonored instrument.
260.24 	(j) The commissioner shall notify enrollees annually beginning at least 24 months 
260.25 	before the person's 65th birthday of the medical assistance eligibility rules affecting 
260.26 	income, assets, and treatment of a spouse's income and assets that will be applied upon 
260.27 	reaching age 65.
260.28 	(k) For enrollees whose income does not exceed 200 percent of the federal poverty 
260.29 	guidelines and who are also enrolled in Medicare, the commissioner shall reimburse 
260.30 	the enrollee for Medicare part B premiums under section 256B.0625, subdivision 15, 
260.31 	paragraph (a).

260.32 	EFFECTIVE DATE. This section is effective retroactively from July 1, 2009.

260.33 	Sec. 6. Minnesota Statutes 2010, section 256B.0595, subdivision 2, is amended to read:
260.34 		Subd. 2.Period of ineligibility for long-term care services. (a) For any 
260.35 	uncompensated transfer occurring on or before August 10, 1993, the number of months 
261.1 	of ineligibility for long-term care services shall be the lesser of 30 months, or the 
261.2 	uncompensated transfer amount divided by the average medical assistance rate for nursing 
261.3 	facility services in the state in effect on the date of application. The amount used to 
261.4 	calculate the average medical assistance payment rate shall be adjusted each July 1 to 
261.5 	reflect payment rates for the previous calendar year. The period of ineligibility begins 
261.6 	with the month in which the assets were transferred. If the transfer was not reported to 
261.7 	the local agency at the time of application, and the applicant received long-term care 
261.8 	services during what would have been the period of ineligibility if the transfer had been 
261.9 	reported, a cause of action exists against the transferee for the cost of long-term care 
261.10 	services provided during the period of ineligibility, or for the uncompensated amount of 
261.11 	the transfer, whichever is less. The uncompensated transfer amount is the fair market 
261.12 	value of the asset at the time it was given away, sold, or disposed of, less the amount of 
261.13 	compensation received.
261.14 	(b) For uncompensated transfers made after August 10, 1993, the number of months 
261.15 	of ineligibility for long-term care services shall be the total uncompensated value of the 
261.16 	resources transferred divided by the average medical assistance rate for nursing facility 
261.17 	services in the state in effect on the date of application. The amount used to calculate 
261.18 	the average medical assistance payment rate shall be adjusted each July 1 to reflect 
261.19 	payment rates for the previous calendar year. The period of ineligibility begins with the 
261.20 	first day of the month after the month in which the assets were transferred except that 
261.21 	if one or more uncompensated transfers are made during a period of ineligibility, the 
261.22 	total assets transferred during the ineligibility period shall be combined and a penalty 
261.23 	period calculated to begin on the first day of the month after the month in which the first 
261.24 	uncompensated transfer was made. If the transfer was reported to the local agency after 
261.25 	the date that advance notice of a period of ineligibility that affects the next month could 
261.26 	be provided to the recipient and the recipient received medical assistance services or the 
261.27 	transfer was not reported to the local agency, and the applicant or recipient received 
261.28 	medical assistance services during what would have been the period of ineligibility if 
261.29 	the transfer had been reported, a cause of action exists against the transferee for that 
261.30 	portion of long-term care services provided during the period of ineligibility, or for the 
261.31 	uncompensated amount of the transfer, whichever is less. The uncompensated transfer 
261.32 	amount is the fair market value of the asset at the time it was given away, sold, or disposed 
261.33 	of, less the amount of compensation received. Effective for transfers made on or after 
261.34 	March 1, 1996, involving persons who apply for medical assistance on or after April 13, 
261.35 	1996, no cause of action exists for a transfer unless:
262.1 	(1) the transferee knew or should have known that the transfer was being made by a 
262.2 	person who was a resident of a long-term care facility or was receiving that level of care in 
262.3 	the community at the time of the transfer;
262.4 	(2) the transferee knew or should have known that the transfer was being made to 
262.5 	assist the person to qualify for or retain medical assistance eligibility; or
262.6 	(3) the transferee actively solicited the transfer with intent to assist the person to 
262.7 	qualify for or retain eligibility for medical assistance.
262.8 	(c) For uncompensated transfers made on or after February 8, 2006, the period 
262.9 	of ineligibility:
262.10 	(1) for uncompensated transfers by or on behalf of individuals receiving medical 
262.11 	assistance payment of long-term care services, begins the first day of the month following 
262.12 	advance notice of the period of ineligibility, but no later than the first day of the month 
262.13 	that follows three full calendar months from the date of the report or discovery of the 
262.14 	transfer; or
262.15 	(2) for uncompensated transfers by individuals requesting medical assistance 
262.16 	payment of long-term care services, begins the date on which the individual is eligible 
262.17 	for medical assistance under the Medicaid state plan and would otherwise be receiving 
262.18 	long-term care services based on an approved application for such care but for the period 
262.19 	of ineligibility resulting from the uncompensated transfer; and
262.20 	(3) cannot begin during any other period of ineligibility.
262.21 	(d) If a calculation of a period of ineligibility results in a partial month, payments for 
262.22 	long-term care services shall be reduced in an amount equal to the fraction.
262.23 	(e) In the case of multiple fractional transfers of assets in more than one month for 
262.24 	less than fair market value on or after February 8, 2006, the period of ineligibility is 
262.25 	calculated by treating the total, cumulative, uncompensated value of all assets transferred 
262.26 	during all months on or after February 8, 2006, as one transfer.
262.27 	(f) A period of ineligibility established under paragraph (c) may be eliminated if 
262.28 	all of the assets transferred for less than fair market value used to calculate the period of 
262.29 	ineligibility, or cash equal to the value of the assets at the time of the transfer, are returned 
262.30 	within 12 months after the date the period of ineligibility began. A period of ineligibility 
262.31 	must not be adjusted if less than the full amount of the transferred assets or the full cash 
262.32 	value of the transferred assets are returned.

262.33 	Sec. 7. Minnesota Statutes 2010, section 256B.0625, subdivision 13, is amended to 
262.34 	read:
263.1 		Subd. 13.Drugs. (a) Medical assistance covers drugs, except for fertility drugs 
263.2 	when specifically used to enhance fertility, if prescribed by a licensed practitioner and 
263.3 	dispensed by a licensed pharmacist, by a physician enrolled in the medical assistance 
263.4 	program as a dispensing physician, or by a physician, physician assistant, or a nurse 
263.5 	practitioner employed by or under contract with a community health board as defined in 
263.6 	section 145A.02, subdivision 5, for the purposes of communicable disease control.
263.7 	(b) The dispensed quantity of a prescription drug must not exceed a 34-day supply, 
263.8 	unless authorized by the commissioner.
263.9 	(c) For the purpose of this subdivision and subdivision 13d, an "active 
263.10 	pharmaceutical ingredient" is defined as a substance that is represented for use in a drug 
263.11 	and when used in the manufacturing, processing, or packaging of a drug, becomes an 
263.12 	active ingredient of the drug product. An "excipient" is defined as an inert substance 
263.13 	used as a diluent or vehicle for a drug. The commissioner shall establish a list of active 
263.14 	pharmaceutical ingredients and excipients which are included in the medical assistance 
263.15 	formulary. Medical assistance covers selected active pharmaceutical ingredients and 
263.16 	excipients used in compounded prescriptions when the compounded combination is 
263.17 	specifically approved by the commissioner or when a commercially available product:
263.18 	(1) is not a therapeutic option for the patient;
263.19 	(2) does not exist in the same combination of active ingredients in the same strengths 
263.20 	as the compounded prescription; and
263.21 	(3) cannot be used in place of the active pharmaceutical ingredient in the 
263.22 	compounded prescription.
263.23 	(c) (d) Medical assistance covers the following over-the-counter drugs when 
263.24 	prescribed by a licensed practitioner or by a licensed pharmacist who meets standards 
263.25 	established by the commissioner, in consultation with the board of pharmacy: antacids, 
263.26 	acetaminophen, family planning products, aspirin, insulin, products for the treatment of 
263.27 	lice, vitamins for adults with documented vitamin deficiencies, vitamins for children 
263.28 	under the age of seven and pregnant or nursing women, and any other over-the-counter 
263.29 	drug identified by the commissioner, in consultation with the formulary committee, as 
263.30 	necessary, appropriate, and cost-effective for the treatment of certain specified chronic 
263.31 	diseases, conditions, or disorders, and this determination shall not be subject to the 
263.32 	requirements of chapter 14. A pharmacist may prescribe over-the-counter medications as 
263.33 	provided under this paragraph for purposes of receiving reimbursement under Medicaid. 
263.34 	When prescribing over-the-counter drugs under this paragraph, licensed pharmacists must 
263.35 	consult with the recipient to determine necessity, provide drug counseling, review drug 
263.36 	therapy for potential adverse interactions, and make referrals as needed to other health care 
264.1 	professionals. Over-the-counter medications must be dispensed in a quantity that is the 
264.2 	lower of: (1) the number of dosage units contained in the manufacturer's original package; 
264.3 	and (2) the number of dosage units required to complete the patient's course of therapy.
264.4 	(d) (e) Effective January 1, 2006, medical assistance shall not cover drugs that 
264.5 	are coverable under Medicare Part D as defined in the Medicare Prescription Drug, 
264.6 	Improvement, and Modernization Act of 2003, Public Law 108-173, section 1860D-2(e), 
264.7 	for individuals eligible for drug coverage as defined in the Medicare Prescription 
264.8 	Drug, Improvement, and Modernization Act of 2003, Public Law 108-173, section 
264.9 	1860D-1(a)(3)(A). For these individuals, medical assistance may cover drugs from the 
264.10 	drug classes listed in United States Code, title 42, section 1396r-8(d)(2), subject to this 
264.11 	subdivision and subdivisions 13a to 13g, except that drugs listed in United States Code, 
264.12 	title 42, section 1396r-8(d)(2)(E), shall not be covered.

264.13 	Sec. 8. Minnesota Statutes 2010, section 256B.0625, subdivision 13d, is amended to 
264.14 	read:
264.15 		Subd. 13d.Drug formulary. (a) The commissioner shall establish a drug 
264.16 	formulary. Its establishment and publication shall not be subject to the requirements of the 
264.17 	Administrative Procedure Act, but the Formulary Committee shall review and comment 
264.18 	on the formulary contents.
264.19 	(b) The formulary shall not include:
264.20 	(1) drugs, active pharmaceutical ingredients, or products for which there is no 
264.21 	federal funding;
264.22 	(2) over-the-counter drugs, except as provided in subdivision 13;
264.23 	(3) drugs or active pharmaceutical ingredients used for weight loss, except that 
264.24 	medically necessary lipase inhibitors may be covered for a recipient with type II diabetes;
264.25 	(4) drugs or active pharmaceutical ingredients when used for the treatment of 
264.26 	impotence or erectile dysfunction;
264.27 	(5) drugs or active pharmaceutical ingredients for which medical value has not 
264.28 	been established; and
264.29 	(6) drugs from manufacturers who have not signed a rebate agreement with the 
264.30 	Department of Health and Human Services pursuant to section 1927 of title XIX of the 
264.31 	Social Security Act.
264.32 	(c) If a single-source drug used by at least two percent of the fee-for-service 
264.33 	medical assistance recipients is removed from the formulary due to the failure of the 
264.34 	manufacturer to sign a rebate agreement with the Department of Health and Human 
264.35 	Services, the commissioner shall notify prescribing practitioners within 30 days of 
265.1 	receiving notification from the Centers for Medicare and Medicaid Services (CMS) that a 
265.2 	rebate agreement was not signed.

265.3 	Sec. 9. Minnesota Statutes 2011 Supplement, section 256B.0625, subdivision 13e, 
265.4 	is amended to read:
265.5 		Subd. 13e.Payment rates. (a) The basis for determining the amount of payment 
265.6 	shall be the lower of the actual acquisition costs of the drugs or the maximum allowable 
265.7 	cost by the commissioner plus the fixed dispensing fee; or the usual and customary price 
265.8 	charged to the public. The amount of payment basis must be reduced to reflect all discount 
265.9 	amounts applied to the charge by any provider/insurer agreement or contract for submitted 
265.10 	charges to medical assistance programs. The net submitted charge may not be greater 
265.11 	than the patient liability for the service. The pharmacy dispensing fee shall be $3.65, 
265.12 	except that the dispensing fee for intravenous solutions which must be compounded by the 
265.13 	pharmacist shall be $8 per bag, $14 per bag for cancer chemotherapy products, and $30 
265.14 	per bag for total parenteral nutritional products dispensed in one liter quantities, or $44 per 
265.15 	bag for total parenteral nutritional products dispensed in quantities greater than one liter. 
265.16 	Actual acquisition cost includes quantity and other special discounts except time and cash 
265.17 	discounts. The actual acquisition cost of a drug shall be estimated by the commissioner at 
265.18 	wholesale acquisition cost plus four percent for independently owned pharmacies located 
265.19 	in a designated rural area within Minnesota, and at wholesale acquisition cost plus two 
265.20 	percent for all other pharmacies. A pharmacy is "independently owned" if it is one 
265.21 	of four or fewer pharmacies under the same ownership nationally. A "designated rural 
265.22 	area" means an area defined as a small rural area or isolated rural area according to the 
265.23 	four-category classification of the Rural Urban Commuting Area system developed for the 
265.24 	United States Health Resources and Services Administration. Wholesale acquisition cost 
265.25 	is defined as the manufacturer's list price for a drug or biological to wholesalers or direct 
265.26 	purchasers in the United States, not including prompt pay or other discounts, rebates, or 
265.27 	reductions in price, for the most recent month for which information is available, as 
265.28 	reported in wholesale price guides or other publications of drug or biological pricing data. 
265.29 	The maximum allowable cost of a multisource drug may be set by the commissioner and it 
265.30 	shall be comparable to, but no higher than, the maximum amount paid by other third-party 
265.31 	payors in this state who have maximum allowable cost programs. Establishment of the 
265.32 	amount of payment for drugs shall not be subject to the requirements of the Administrative 
265.33 	Procedure Act.
265.34 	(b) An additional dispensing fee of $.30 may be added to the dispensing fee paid 
265.35 	to pharmacists for legend drug prescriptions dispensed to residents of long-term care 
266.1 	facilities when a unit dose blister card system, approved by the department, is used. Under 
266.2 	this type of dispensing system, the pharmacist must dispense a 30-day supply of drug. 
266.3 	The National Drug Code (NDC) from the drug container used to fill the blister card must 
266.4 	be identified on the claim to the department. The unit dose blister card containing the 
266.5 	drug must meet the packaging standards set forth in Minnesota Rules, part 6800.2700, 
266.6 	that govern the return of unused drugs to the pharmacy for reuse. The pharmacy provider 
266.7 	will be required to credit the department for the actual acquisition cost of all unused 
266.8 	drugs that are eligible for reuse. Over-the-counter medications must be dispensed in the 
266.9 	manufacturer's unopened package. The commissioner may permit the drug clozapine to be 
266.10 	dispensed in a quantity that is less than a 30-day supply.
266.11 	(c) Whenever a maximum allowable cost has been set for a multisource drug, 
266.12 	payment shall be the lower of the usual and customary price charged to the public or the 
266.13 	maximum allowable cost established by the commissioner unless prior authorization 
266.14 	for the brand name product has been granted according to the criteria established by 
266.15 	the Drug Formulary Committee as required by subdivision 13f, paragraph (a), and the 
266.16 	prescriber has indicated "dispense as written" on the prescription in a manner consistent 
266.17 	with section 151.21, subdivision 2.
266.18 	(d) The basis for determining the amount of payment for drugs administered in an 
266.19 	outpatient setting shall be the lower of the usual and customary cost submitted by the 
266.20 	provider or 106 percent of the average sales price as determined by the United States 
266.21 	Department of Health and Human Services pursuant to title XVIII, section 1847a of the 
266.22 	federal Social Security Act. If average sales price is unavailable, the amount of payment 
266.23 	must be lower of the usual and customary cost submitted by the provider or the wholesale 
266.24 	acquisition cost.
266.25 	(e) The commissioner may negotiate lower reimbursement rates for specialty 
266.26 	pharmacy products than the rates specified in paragraph (a). The commissioner may 
266.27 	require individuals enrolled in the health care programs administered by the department 
266.28 	to obtain specialty pharmacy products from providers with whom the commissioner has 
266.29 	negotiated lower reimbursement rates. Specialty pharmacy products are defined as those 
266.30 	used by a small number of recipients or recipients with complex and chronic diseases 
266.31 	that require expensive and challenging drug regimens. Examples of these conditions 
266.32 	include, but are not limited to: multiple sclerosis, HIV/AIDS, transplantation, hepatitis 
266.33 	C, growth hormone deficiency, Crohn's Disease, rheumatoid arthritis, and certain forms 
266.34 	of cancer. Specialty pharmaceutical products include injectable and infusion therapies, 
266.35 	biotechnology drugs, antihemophilic factor products, high-cost therapies, and therapies 
266.36 	that require complex care. The commissioner shall consult with the formulary committee 
267.1 	to develop a list of specialty pharmacy products subject to this paragraph. In consulting 
267.2 	with the formulary committee in developing this list, the commissioner shall take into 
267.3 	consideration the population served by specialty pharmacy products, the current delivery 
267.4 	system and standard of care in the state, and access to care issues. The commissioner shall 
267.5 	have the discretion to adjust the reimbursement rate to prevent access to care issues.
267.6 	(f) Home infusion therapy services provided by home infusion therapy pharmacies 
267.7 	must be paid at rates according to subdivision 8d.

267.8 	Sec. 10. Minnesota Statutes 2011 Supplement, section 256B.0625, subdivision 13h, 
267.9 	is amended to read:
267.10 		Subd. 13h.Medication therapy management services. (a) Medical assistance 
267.11 	and general assistance medical care cover medication therapy management services for 
267.12 	a recipient taking three or more prescriptions to treat or prevent one or more chronic 
267.13 	medical conditions; a recipient with a drug therapy problem that is identified by the 
267.14 	commissioner or identified by a pharmacist and approved by the commissioner; or prior 
267.15 	authorized by the commissioner that has resulted or is likely to result in significant 
267.16 	nondrug program costs. The commissioner may cover medical therapy management 
267.17 	services under MinnesotaCare if the commissioner determines this is cost-effective. For 
267.18 	purposes of this subdivision, "medication therapy management" means the provision 
267.19 	of the following pharmaceutical care services by a licensed pharmacist to optimize the 
267.20 	therapeutic outcomes of the patient's medications:
267.21 	(1) performing or obtaining necessary assessments of the patient's health status;
267.22 	(2) formulating a medication treatment plan;
267.23 	(3) monitoring and evaluating the patient's response to therapy, including safety 
267.24 	and effectiveness;
267.25 	(4) performing a comprehensive medication review to identify, resolve, and prevent 
267.26 	medication-related problems, including adverse drug events;
267.27 	(5) documenting the care delivered and communicating essential information to 
267.28 	the patient's other primary care providers;
267.29 	(6) providing verbal education and training designed to enhance patient 
267.30 	understanding and appropriate use of the patient's medications;
267.31 	(7) providing information, support services, and resources designed to enhance 
267.32 	patient adherence with the patient's therapeutic regimens; and
267.33 	(8) coordinating and integrating medication therapy management services within the 
267.34 	broader health care management services being provided to the patient.
268.1 	Nothing in this subdivision shall be construed to expand or modify the scope of practice of 
268.2 	the pharmacist as defined in section 151.01, subdivision 27.
268.3 	(b) To be eligible for reimbursement for services under this subdivision, a pharmacist 
268.4 	must meet the following requirements:
268.5 	(1) have a valid license issued under chapter 151 by the Board of Pharmacy of the 
268.6 	state in which the medication therapy management service is being performed;
268.7 	(2) have graduated from an accredited college of pharmacy on or after May 1996, or 
268.8 	completed a structured and comprehensive education program approved by the Board of 
268.9 	Pharmacy and the American Council of Pharmaceutical Education for the provision and 
268.10 	documentation of pharmaceutical care management services that has both clinical and 
268.11 	didactic elements;
268.12 	(3) be practicing in an ambulatory care setting as part of a multidisciplinary team or 
268.13 	have developed a structured patient care process that is offered in a private or semiprivate 
268.14 	patient care area that is separate from the commercial business that also occurs in the 
268.15 	setting, or in home settings, including long-term care settings, group homes, and facilities 
268.16 	providing assisted living services, but excluding skilled nursing facilities; and
268.17 	(4) make use of an electronic patient record system that meets state standards.
268.18 	(c) For purposes of reimbursement for medication therapy management services, 
268.19 	the commissioner may enroll individual pharmacists as medical assistance and general 
268.20 	assistance medical care providers. The commissioner may also establish contact 
268.21 	requirements between the pharmacist and recipient, including limiting the number of 
268.22 	reimbursable consultations per recipient.
268.23 	(d) If there are no pharmacists who meet the requirements of paragraph (b) practicing 
268.24 	within a reasonable geographic distance of the patient, a pharmacist who meets the 
268.25 	requirements may provide the services via two-way interactive video. Reimbursement 
268.26 	shall be at the same rates and under the same conditions that would otherwise apply to 
268.27 	the services provided. To qualify for reimbursement under this paragraph, the pharmacist 
268.28 	providing the services must meet the requirements of paragraph (b), and must be located 
268.29 	within an ambulatory care setting approved by the commissioner. The patient must also 
268.30 	be located within an ambulatory care setting approved by the commissioner. Services 
268.31 	provided under this paragraph may not be transmitted into the patient's residence.
268.32 	(e) The commissioner shall establish a pilot project for an intensive medication 
268.33 	therapy management program for patients identified by the commissioner with multiple 
268.34 	chronic conditions and a high number of medications who are at high risk of preventable 
268.35 	hospitalizations, emergency room use, medication complications, and suboptimal 
268.36 	treatment outcomes due to medication-related problems. For purposes of the pilot 
269.1 	project, medication therapy management services may be provided in a patient's home 
269.2 	or community setting, in addition to other authorized settings. The commissioner may 
269.3 	waive existing payment policies and establish special payment rates for the pilot project. 
269.4 	The pilot project must be designed to produce a net savings to the state compared to the 
269.5 	estimated costs that would otherwise be incurred for similar patients without the program. 
269.6 	The pilot project must begin by January 1, 2010, and end June 30, 2012.

269.7 	Sec. 11. Minnesota Statutes 2011 Supplement, section 256B.0625, subdivision 14, 
269.8 	is amended to read:
269.9 		Subd. 14.Diagnostic, screening, and preventive services. (a) Medical assistance 
269.10 	covers diagnostic, screening, and preventive services.
269.11 	(b) "Preventive services" include services related to pregnancy, including:
269.12 	(1) services for those conditions which may complicate a pregnancy and which may 
269.13 	be available to a pregnant woman determined to be at risk of poor pregnancy outcome;
269.14 	(2) prenatal HIV risk assessment, education, counseling, and testing; and
269.15 	(3) alcohol abuse assessment, education, and counseling on the effects of alcohol 
269.16 	usage while pregnant. Preventive services available to a woman at risk of poor pregnancy 
269.17 	outcome may differ in an amount, duration, or scope from those available to other 
269.18 	individuals eligible for medical assistance.
269.19 	(c) "Screening services" include, but are not limited to, blood lead tests.
269.20 	(d) The commissioner shall encourage, at the time of the child and teen checkup or 
269.21 	at an episodic care visit, the primary care health care provider to perform primary caries 
269.22 	preventive services. Primary caries preventive services include, at a minimum:
269.23 	(1) a general visual examination of the child's mouth without using probes or other 
269.24 	dental equipment or taking radiographs;
269.25 	(2) a risk assessment using the factors established by the American Academies 
269.26 	of Pediatrics and Pediatric Dentistry; and
269.27 	(3) the application of a fluoride varnish beginning at age one to those children 
269.28 	assessed by the provider as being high risk in accordance with best practices as defined by 
269.29 	the Department of Human Services. The provider must obtain parental or legal guardian 
269.30 	consent before a fluoride treatment varnish is applied to a minor child's teeth.
269.31 	At each checkup, if primary caries preventive services are provided, the provider must 
269.32 	provide to the child's parent or legal guardian: information on caries etiology and 
269.33 	prevention; and information on the importance of finding a dental home for their child 
269.34 	by the age of one. The provider must also advise the parent or legal guardian to contact 
269.35 	the child's managed care plan or the Department of Human Services in order to secure a 
270.1 	dental appointment with a dentist. The provider must indicate in the child's medical record 
270.2 	that the parent or legal guardian was provided with this information and document any 
270.3 	primary caries prevention services provided to the child.

270.4 	Sec. 12. Minnesota Statutes 2011 Supplement, section 256B.0631, subdivision 1, 
270.5 	is amended to read:
270.6 		Subdivision 1.Cost-sharing. (a) Except as provided in subdivision 2, the medical 
270.7 	assistance benefit plan shall include the following cost-sharing for all recipients, effective 
270.8 	for services provided on or after September 1, 2011:
270.9 	(1) $3 per nonpreventive visit, except as provided in paragraph (b). For purposes 
270.10 	of this subdivision, a visit means an episode of service which is required because of 
270.11 	a recipient's symptoms, diagnosis, or established illness, and which is delivered in an 
270.12 	ambulatory setting by a physician or physician ancillary, chiropractor, podiatrist, nurse 
270.13 	midwife, advanced practice nurse, audiologist, optician, or optometrist;
270.14 	(2) $3 for eyeglasses;
270.15 	(3) (2) $3.50 for nonemergency visits to a hospital-based emergency room, except 
270.16 	that this co-payment shall be increased to $20 upon federal approval;
270.17 	(4) (3) $3 per brand-name drug prescription and $1 per generic drug prescription, 
270.18 	subject to a $12 per month maximum for prescription drug co-payments. No co-payments 
270.19 	shall apply to antipsychotic drugs when used for the treatment of mental illness;
270.20 	(5) (4) effective January 1, 2012, a family deductible equal to the maximum amount 
270.21 	allowed under Code of Federal Regulations, title 42, part 447.54; and
270.22 	(6) (5) for individuals identified by the commissioner with income at or below 100 
270.23 	percent of the federal poverty guidelines, total monthly cost-sharing must not exceed five 
270.24 	percent of family income. For purposes of this paragraph, family income is the total 
270.25 	earned and unearned income of the individual and the individual's spouse, if the spouse is 
270.26 	enrolled in medical assistance and also subject to the five percent limit on cost-sharing.
270.27 	(b) Recipients of medical assistance are responsible for all co-payments and 
270.28 	deductibles in this subdivision.

270.29 	Sec. 13. Minnesota Statutes 2011 Supplement, section 256B.0631, subdivision 2, 
270.30 	is amended to read:
270.31 		Subd. 2.Exceptions. Co-payments and deductibles shall be subject to the following 
270.32 	exceptions:
270.33 	(1) children under the age of 21;
271.1 	(2) pregnant women for services that relate to the pregnancy or any other medical 
271.2 	condition that may complicate the pregnancy;
271.3 	(3) recipients expected to reside for at least 30 days in a hospital, nursing home, or 
271.4 	intermediate care facility for the developmentally disabled;
271.5 	(4) recipients receiving hospice care;
271.6 	(5) 100 percent federally funded services provided by an Indian health service;
271.7 	(6) emergency services;
271.8 	(7) family planning services;
271.9 	(8) services that are paid by Medicare, resulting in the medical assistance program 
271.10 	paying for the coinsurance and deductible; and
271.11 	(9) co-payments that exceed one per day per provider for nonpreventive visits, 
271.12 	eyeglasses, and nonemergency visits to a hospital-based emergency room.; and
271.13 	(10) services, fee-for-service payments subject to volume purchase through 
271.14 	competitive bidding.

271.15 	Sec. 14. Minnesota Statutes 2010, section 256B.19, subdivision 1c, is amended to read:
271.16 		Subd. 1c.Additional portion of nonfederal share. (a) Hennepin County shall 
271.17 	be responsible for a monthly transfer payment of $1,500,000, due before noon on the 
271.18 	15th of each month and the University of Minnesota shall be responsible for a monthly 
271.19 	transfer payment of $500,000 due before noon on the 15th of each month, beginning July 
271.20 	15, 1995. These sums shall be part of the designated governmental unit's portion of the 
271.21 	nonfederal share of medical assistance costs.
271.22 	(b) Beginning July 1, 2001, Hennepin County's payment under paragraph (a) shall 
271.23 	be $2,066,000 each month.
271.24 	(c) Beginning July 1, 2001, the commissioner shall increase annual capitation 
271.25 	payments to the metropolitan health plan a demonstration provider serving eligible 
271.26 	individuals in Hennepin County under section 256B.69 for the prepaid medical assistance 
271.27 	program by approximately $6,800,000 to recognize higher than average medical education 
271.28 	costs.
271.29 	(d) Effective August 1, 2005, Hennepin County's payment under paragraphs (a) 
271.30 	and (b) shall be reduced to $566,000, and the University of Minnesota's payment under 
271.31 	paragraph (a) shall be reduced to zero. Effective October 1, 2008, to December 31, 2010, 
271.32 	Hennepin County's payment under paragraphs (a) and (b) shall be $434,688. Effective 
271.33 	January 1, 2011, Hennepin County's payment under paragraphs (a) and (b) shall be 
271.34 	$566,000.
272.1 	(e) Notwithstanding paragraph (d), upon federal enactment of an extension to June 
272.2 	30, 2011, of the enhanced federal medical assistance percentage (FMAP) originally 
272.3 	provided under Public Law 111-5, for the six-month period from January 1, 2011, to June 
272.4 	30, 2011, Hennepin County's payment under paragraphs (a) and (b) shall be $434,688.

272.5 	Sec. 15. Minnesota Statutes 2010, section 256B.69, subdivision 5, is amended to read:
272.6 		Subd. 5.Prospective per capita payment. The commissioner shall establish the 
272.7 	method and amount of payments for services. The commissioner shall annually contract 
272.8 	with demonstration providers to provide services consistent with these established 
272.9 	methods and amounts for payment.
272.10 	If allowed by the commissioner, a demonstration provider may contract with 
272.11 	an insurer, health care provider, nonprofit health service plan corporation, or the 
272.12 	commissioner, to provide insurance or similar protection against the cost of care provided 
272.13 	by the demonstration provider or to provide coverage against the risks incurred by 
272.14 	demonstration providers under this section. The recipients enrolled with a demonstration 
272.15 	provider are a permissible group under group insurance laws and chapter 62C, the 
272.16 	Nonprofit Health Service Plan Corporations Act. Under this type of contract, the insurer 
272.17 	or corporation may make benefit payments to a demonstration provider for services 
272.18 	rendered or to be rendered to a recipient. Any insurer or nonprofit health service plan 
272.19 	corporation licensed to do business in this state is authorized to provide this insurance or 
272.20 	similar protection.
272.21 	Payments to providers participating in the project are exempt from the requirements 
272.22 	of sections 256.966 and 256B.03, subdivision 2. The commissioner shall complete 
272.23 	development of capitation rates for payments before delivery of services under this section 
272.24 	is begun. For payments made during calendar year 1990 and later years, the commissioner 
272.25 	shall contract with an independent actuary to establish prepayment rates.
272.26 	By January 15, 1996, the commissioner shall report to the legislature on the 
272.27 	methodology used to allocate to participating counties available administrative 
272.28 	reimbursement for advocacy and enrollment costs. The report shall reflect the 
272.29 	commissioner's judgment as to the adequacy of the funds made available and of the 
272.30 	methodology for equitable distribution of the funds. The commissioner must involve 
272.31 	participating counties in the development of the report.
272.32 	Beginning July 1, 2004, the commissioner may include payments for elderly waiver 
272.33 	services and 180 days of nursing home care in capitation payments for the prepaid medical 
272.34 	assistance program for recipients age 65 and older. Payments for elderly waiver services 
273.1 	shall be made no earlier than the month following the month in which services were 
273.2 	received.

273.3 	Sec. 16. Minnesota Statutes 2011 Supplement, section 256B.69, subdivision 28, 
273.4 	is amended to read:
273.5 		Subd. 28.Medicare special needs plans; medical assistance basic health 
273.6 	care. (a) The commissioner may contract with demonstration providers and current or 
273.7 	former sponsors of qualified Medicare-approved special needs plans, to provide medical 
273.8 	assistance basic health care services to persons with disabilities, including those with 
273.9 	developmental disabilities. Basic health care services include:
273.10 	(1) those services covered by the medical assistance state plan except for ICF/MR 
273.11 	services, home and community-based waiver services, case management for persons with 
273.12 	developmental disabilities under section 256B.0625, subdivision 20a, and personal care 
273.13 	and certain home care services defined by the commissioner in consultation with the 
273.14 	stakeholder group established under paragraph (d); and
273.15 	(2) basic health care services may also include risk for up to 100 days of nursing 
273.16 	facility services for persons who reside in a noninstitutional setting and home health 
273.17 	services related to rehabilitation as defined by the commissioner after consultation with 
273.18 	the stakeholder group.
273.19 	The commissioner may exclude other medical assistance services from the basic 
273.20 	health care benefit set. Enrollees in these plans can access any excluded services on the 
273.21 	same basis as other medical assistance recipients who have not enrolled.
273.22 	(b) Beginning January 1, 2007, the commissioner may contract with demonstration 
273.23 	providers and current and former sponsors of qualified Medicare special needs plans, to 
273.24 	provide basic health care services under medical assistance to persons who are dually 
273.25 	eligible for both Medicare and Medicaid and those Social Security beneficiaries eligible 
273.26 	for Medicaid but in the waiting period for Medicare. The commissioner shall consult with 
273.27 	the stakeholder group under paragraph (d) in developing program specifications for these 
273.28 	services. The commissioner shall report to the chairs of the house of representatives and 
273.29 	senate committees with jurisdiction over health and human services policy and finance by 
273.30 	February 1, 2007, on implementation of these programs and the need for increased funding 
273.31 	for the ombudsman for managed care and other consumer assistance and protections 
273.32 	needed due to enrollment in managed care of persons with disabilities. Payment for 
273.33 	Medicaid services provided under this subdivision for the months of May and June will 
273.34 	be made no earlier than July 1 of the same calendar year.
274.1 	(c) Notwithstanding subdivision 4, beginning January 1, 2012, the commissioner 
274.2 	shall enroll persons with disabilities in managed care under this section, unless the 
274.3 	individual chooses to opt out of enrollment. The commissioner shall establish enrollment 
274.4 	and opt out procedures consistent with applicable enrollment procedures under this 
274.5 	subdivision section.
274.6 	(d) The commissioner shall establish a state-level stakeholder group to provide 
274.7 	advice on managed care programs for persons with disabilities, including both MnDHO 
274.8 	and contracts with special needs plans that provide basic health care services as described 
274.9 	in paragraphs (a) and (b). The stakeholder group shall provide advice on program 
274.10 	expansions under this subdivision and subdivision 23, including:
274.11 	(1) implementation efforts;
274.12 	(2) consumer protections; and
274.13 	(3) program specifications such as quality assurance measures, data collection and 
274.14 	reporting, and evaluation of costs, quality, and results.
274.15 	(e) Each plan under contract to provide medical assistance basic health care services 
274.16 	shall establish a local or regional stakeholder group, including representatives of the 
274.17 	counties covered by the plan, members, consumer advocates, and providers, for advice on 
274.18 	issues that arise in the local or regional area.
274.19 	(f) The commissioner is prohibited from providing the names of potential enrollees 
274.20 	to health plans for marketing purposes. The commissioner shall mail no more than 
274.21 	two sets of marketing materials per contract year to potential enrollees on behalf of 
274.22 	health plans, at the health plan's request. The marketing materials shall be mailed by the 
274.23 	commissioner within 30 days of receipt of these materials from the health plan. The health 
274.24 	plans shall cover any costs incurred by the commissioner for mailing marketing materials.

274.25 	Sec. 17. Minnesota Statutes 2010, section 256L.05, subdivision 3, is amended to read:
274.26 		Subd. 3.Effective date of coverage. (a) The effective date of coverage is the 
274.27 	first day of the month following the month in which eligibility is approved and the first 
274.28 	premium payment has been received. As provided in section 256B.057, coverage for 
274.29 	newborns is automatic from the date of birth and must be coordinated with other health 
274.30 	coverage. The effective date of coverage for eligible newly adoptive children added to a 
274.31 	family receiving covered health services is the month of placement. The effective date 
274.32 	of coverage for other new members added to the family is the first day of the month 
274.33 	following the month in which the change is reported. All eligibility criteria must be met 
274.34 	by the family at the time the new family member is added. The income of the new family 
275.1 	member is included with the family's gross income and the adjusted premium begins in 
275.2 	the month the new family member is added.
275.3 	(b) The initial premium must be received by the last working day of the month for 
275.4 	coverage to begin the first day of the following month.
275.5 	(c) Benefits are not available until the day following discharge if an enrollee is 
275.6 	hospitalized on the first day of coverage.
275.7 	(d) Notwithstanding any other law to the contrary, benefits under sections 256L.01 to 
275.8 	256L.18 are secondary to a plan of insurance or benefit program under which an eligible 
275.9 	person may have coverage and the commissioner shall use cost avoidance techniques to 
275.10 	ensure coordination of any other health coverage for eligible persons. The commissioner 
275.11 	shall identify eligible persons who may have coverage or benefits under other plans of 
275.12 	insurance or who become eligible for medical assistance.
275.13 	(e) The effective date of coverage for individuals or families who are exempt from 
275.14 	paying premiums under section 256L.15, subdivision 1, paragraph (d), is the first day of 
275.15 	the month following the month in which verification of American Indian status is received 
275.16 	or eligibility is approved, whichever is later.

275.17 	Sec. 18. Minnesota Statutes 2011 Supplement, section 256L.15, subdivision 1, is 
275.18 	amended to read:
275.19 		Subdivision 1.Premium determination. (a) Families with children and individuals 
275.20 	shall pay a premium determined according to subdivision 2.
275.21 	(b) Pregnant women and children under age two are exempt from the provisions 
275.22 	of section 256L.06, subdivision 3, paragraph (b), clause (3), requiring disenrollment 
275.23 	for failure to pay premiums. For pregnant women, this exemption continues until the 
275.24 	first day of the month following the 60th day postpartum. Women who remain enrolled 
275.25 	during pregnancy or the postpartum period, despite nonpayment of premiums, shall be 
275.26 	disenrolled on the first of the month following the 60th day postpartum for the penalty 
275.27 	period that otherwise applies under section 256L.06, unless they begin paying premiums.
275.28 	(c) Members of the military and their families who meet the eligibility criteria 
275.29 	for MinnesotaCare upon eligibility approval made within 24 months following the end 
275.30 	of the member's tour of active duty shall have their premiums paid by the commissioner. 
275.31 	The effective date of coverage for an individual or family who meets the criteria of this 
275.32 	paragraph shall be the first day of the month following the month in which eligibility is 
275.33 	approved. This exemption applies for 12 months.
275.34 	(d) Beginning July 1, 2009, American Indians enrolled in MinnesotaCare and their 
275.35 	families shall have their premiums waived by the commissioner in accordance with 
276.1 	section 5006 of the American Recovery and Reinvestment Act of 2009, Public Law 111-5. 
276.2 	An individual must document status as an American Indian, as defined under Code of 
276.3 	Federal Regulations, title 42, section 447.50, to qualify for the waiver of premiums.

276.4 	EFFECTIVE DATE. This section is effective retroactively from July 1, 2009.

276.5 	Sec. 19. Minnesota Statutes 2010, section 514.982, subdivision 1, is amended to read:
276.6 		Subdivision 1.Contents. A medical assistance lien notice must be dated and 
276.7 	must contain:
276.8 	(1) the full name, last known address, and last four digits of the Social Security 
276.9 	number of the medical assistance recipient;
276.10 	(2) a statement that medical assistance payments have been made to or for the 
276.11 	benefit of the medical assistance recipient named in the notice, specifying the first date 
276.12 	of eligibility for benefits;
276.13 	(3) a statement that all interests in real property owned by the persons named in the 
276.14 	notice may be subject to or affected by the rights of the agency to be reimbursed for 
276.15 	medical assistance benefits; and
276.16 	(4) the legal description of the real property upon which the lien attaches, and 
276.17 	whether the property is registered property.

276.18 	Sec. 20.  REPEALER.
 276.19 	Minnesota Statutes 2010, section 256.01, subdivision 18b, is repealed.

276.20 	ARTICLE 14
276.21 	TECHNICAL

276.22 	Section 1. Minnesota Statutes 2010, section 144A.071, subdivision 5a, is amended to 
276.23 	read:
276.24 		Subd. 5a.Cost estimate of a moratorium exception project. (a) For the 
276.25 	purposes of this section and section 144A.073, the cost estimate of a moratorium 
276.26 	exception project shall include the effects of the proposed project on the costs of the state 
276.27 	subsidy for community-based services, nursing services, and housing in institutional 
276.28 	and noninstitutional settings. The commissioner of health, in cooperation with the 
276.29 	commissioner of human services, shall define the method for estimating these costs in the 
276.30 	permanent rule implementing section 144A.073. The commissioner of human services 
276.31 	shall prepare an estimate of the total state annual long-term costs of each moratorium 
276.32 	exception proposal.
277.1 	(b) The interest rate to be used for estimating the cost of each moratorium exception 
277.2 	project proposal shall be the lesser of either the prime rate plus two percentage points, or 
277.3 	the posted yield for standard conventional fixed rate mortgages of the Federal Home Loan 
277.4 	Mortgage Corporation plus two percentage points as published in the Wall Street Journal 
277.5 	and in effect 56 days prior to the application deadline. If the applicant's proposal uses this 
277.6 	interest rate, the commissioner of human services, in determining the facility's actual 
277.7 	property-related payment rate to be established upon completion of the project must use 
277.8 	the actual interest rate obtained by the facility for the project's permanent financing up to 
277.9 	the maximum permitted under subdivision 6 Minnesota Rules, part 9549.0060, subpart 6.
277.10 	The applicant may choose an alternate interest rate for estimating the project's cost. 
277.11 	If the applicant makes this election, the commissioner of human services, in determining 
277.12 	the facility's actual property-related payment rate to be established upon completion of the 
277.13 	project, must use the lesser of the actual interest rate obtained for the project's permanent 
277.14 	financing or the interest rate which was used to estimate the proposal's project cost. For 
277.15 	succeeding rate years, the applicant is at risk for financing costs in excess of the interest 
277.16 	rate selected.

277.17 	Sec. 2. REVISOR'S INSTRUCTION.
 277.18 	(a) In Minnesota Statutes, sections 256B.038, 256B.0911, 256B.0918, 256B.092, 
277.19 	256B.097, 256B.49, and 256B.765, the revisor of statutes shall delete the word "traumatic" 
277.20 	when it comes before the word "brain."
277.21 	(b) In Minnesota Statutes, section 256B.093, subdivision 1, clauses (4) and (5), and 
277.22 	subdivision 3, clause (2), the revisor of statutes shall delete the word "traumatic" when it 
277.23 	comes before the word "brain."
277.24 	(c) In Minnesota Statutes, sections 144.0724 and 144G.05, the revisor of statutes 
277.25 	shall delete "TBI" and replace it with "BI."

277.26 	ARTICLE 15
277.27 	DATA PRACTICES

277.28 	Section 1. Minnesota Statutes 2010, section 13.46, subdivision 2, is amended to read:
277.29 		Subd. 2.General. (a) Unless the data is summary data or a statute specifically 
277.30 	provides a different classification, data on individuals collected, maintained, used, or 
277.31 	disseminated by the welfare system is private data on individuals, and shall not be 
277.32 	disclosed except:
277.33 	(1) according to section 13.05;
277.34 	(2) according to court order;
278.1 	(3) according to a statute specifically authorizing access to the private data;
278.2 	(4) to an agent of the welfare system and an investigator acting on behalf of a county, 
278.3 	the state, or the federal government, including a law enforcement person, or attorney, or 
278.4 	investigator acting for it in the investigation or prosecution of a criminal or, civil, or 
278.5 	administrative proceeding relating to the administration of a program;
278.6 	(5) to personnel of the welfare system who require the data to verify an individual's 
278.7 	identity; determine eligibility, amount of assistance, and the need to provide services to 
278.8 	an individual or family across programs; evaluate the effectiveness of programs; assess 
278.9 	parental contribution amounts; and investigate suspected fraud;
278.10 	(6) to administer federal funds or programs;
278.11 	(7) between personnel of the welfare system working in the same program;
278.12 	(8) to the Department of Revenue to assess parental contribution amounts for 
278.13 	purposes of section 252.27, subdivision 2a, administer and evaluate tax refund or tax credit 
278.14 	programs and to identify individuals who may benefit from these programs. The following 
278.15 	information may be disclosed under this paragraph: an individual's and their dependent's 
278.16 	names, dates of birth, Social Security numbers, income, addresses, and other data as 
278.17 	required, upon request by the Department of Revenue. Disclosures by the commissioner 
278.18 	of revenue to the commissioner of human services for the purposes described in this clause 
278.19 	are governed by section 270B.14, subdivision 1. Tax refund or tax credit programs include, 
278.20 	but are not limited to, the dependent care credit under section 290.067, the Minnesota 
278.21 	working family credit under section 290.0671, the property tax refund and rental credit 
278.22 	under section 290A.04, and the Minnesota education credit under section 290.0674;
278.23 	(9) between the Department of Human Services, the Department of Employment 
278.24 	and Economic Development, and when applicable, the Department of Education, for 
278.25 	the following purposes:
278.26 	(i) to monitor the eligibility of the data subject for unemployment benefits, for any 
278.27 	employment or training program administered, supervised, or certified by that agency;
278.28 	(ii) to administer any rehabilitation program or child care assistance program, 
278.29 	whether alone or in conjunction with the welfare system;
278.30 	(iii) to monitor and evaluate the Minnesota family investment program or the child 
278.31 	care assistance program by exchanging data on recipients and former recipients of food 
278.32 	support, cash assistance under chapter 256, 256D, 256J, or 256K, child care assistance 
278.33 	under chapter 119B, or medical programs under chapter 256B, 256D, or 256L; and
278.34 	(iv) to analyze public assistance employment services and program utilization, 
278.35 	cost, effectiveness, and outcomes as implemented under the authority established in Title 
278.36 	II, Sections 201-204 of the Ticket to Work and Work Incentives Improvement Act of 
279.1 	1999. Health records governed by sections 144.291 to 144.298 and "protected health 
279.2 	information" as defined in Code of Federal Regulations, title 45, section 160.103, and 
279.3 	governed by Code of Federal Regulations, title 45, parts 160-164, including health care 
279.4 	claims utilization information, must not be exchanged under this clause;
279.5 	(10) to appropriate parties in connection with an emergency if knowledge of 
279.6 	the information is necessary to protect the health or safety of the individual or other 
279.7 	individuals or persons;
279.8 	(11) data maintained by residential programs as defined in section 245A.02 may 
279.9 	be disclosed to the protection and advocacy system established in this state according 
279.10 	to Part C of Public Law 98-527 to protect the legal and human rights of persons with 
279.11 	developmental disabilities or other related conditions who live in residential facilities for 
279.12 	these persons if the protection and advocacy system receives a complaint by or on behalf 
279.13 	of that person and the person does not have a legal guardian or the state or a designee of 
279.14 	the state is the legal guardian of the person;
279.15 	(12) to the county medical examiner or the county coroner for identifying or locating 
279.16 	relatives or friends of a deceased person;
279.17 	(13) data on a child support obligor who makes payments to the public agency 
279.18 	may be disclosed to the Minnesota Office of Higher Education to the extent necessary to 
279.19 	determine eligibility under section 136A.121, subdivision 2, clause (5);
279.20 	(14) participant Social Security numbers and names collected by the telephone 
279.21 	assistance program may be disclosed to the Department of Revenue to conduct an 
279.22 	electronic data match with the property tax refund database to determine eligibility under 
279.23 	section 237.70, subdivision 4a;
279.24 	(15) the current address of a Minnesota family investment program participant 
279.25 	may be disclosed to law enforcement officers who provide the name of the participant 
279.26 	and notify the agency that:
279.27 	(i) the participant:
279.28 	(A) is a fugitive felon fleeing to avoid prosecution, or custody or confinement after 
279.29 	conviction, for a crime or attempt to commit a crime that is a felony under the laws of the 
279.30 	jurisdiction from which the individual is fleeing; or
279.31 	(B) is violating a condition of probation or parole imposed under state or federal law;
279.32 	(ii) the location or apprehension of the felon is within the law enforcement officer's 
279.33 	official duties; and
279.34 	(iii) the request is made in writing and in the proper exercise of those duties;
279.35 	(16) the current address of a recipient of general assistance or general assistance 
279.36 	medical care may be disclosed to probation officers and corrections agents who are 
280.1 	supervising the recipient and to law enforcement officers who are investigating the 
280.2 	recipient in connection with a felony level offense;
280.3 	(17) information obtained from food support applicant or recipient households may 
280.4 	be disclosed to local, state, or federal law enforcement officials, upon their written request, 
280.5 	for the purpose of investigating an alleged violation of the Food Stamp Act, according 
280.6 	to Code of Federal Regulations, title 7, section 272.1 (c);
280.7 	(18) the address, Social Security number, and, if available, photograph of any 
280.8 	member of a household receiving food support shall be made available, on request, to a 
280.9 	local, state, or federal law enforcement officer if the officer furnishes the agency with the 
280.10 	name of the member and notifies the agency that:
280.11 	(i) the member:
280.12 	(A) is fleeing to avoid prosecution, or custody or confinement after conviction, for a 
280.13 	crime or attempt to commit a crime that is a felony in the jurisdiction the member is fleeing;
280.14 	(B) is violating a condition of probation or parole imposed under state or federal 
280.15 	law; or
280.16 	(C) has information that is necessary for the officer to conduct an official duty related 
280.17 	to conduct described in subitem (A) or (B);
280.18 	(ii) locating or apprehending the member is within the officer's official duties; and
280.19 	(iii) the request is made in writing and in the proper exercise of the officer's official 
280.20 	duty;
280.21 	(19) the current address of a recipient of Minnesota family investment program, 
280.22 	general assistance, general assistance medical care, or food support may be disclosed to 
280.23 	law enforcement officers who, in writing, provide the name of the recipient and notify the 
280.24 	agency that the recipient is a person required to register under section 243.166, but is not 
280.25 	residing at the address at which the recipient is registered under section 243.166;
280.26 	(20) certain information regarding child support obligors who are in arrears may be 
280.27 	made public according to section 518A.74;
280.28 	(21) data on child support payments made by a child support obligor and data on 
280.29 	the distribution of those payments excluding identifying information on obligees may be 
280.30 	disclosed to all obligees to whom the obligor owes support, and data on the enforcement 
280.31 	actions undertaken by the public authority, the status of those actions, and data on the 
280.32 	income of the obligor or obligee may be disclosed to the other party;
280.33 	(22) data in the work reporting system may be disclosed under section 256.998, 
280.34 	subdivision 7;
280.35 	(23) to the Department of Education for the purpose of matching Department of 
280.36 	Education student data with public assistance data to determine students eligible for free 
281.1 	and reduced-price meals, meal supplements, and free milk according to United States 
281.2 	Code, title 42, sections 1758, 1761, 1766, 1766a, 1772, and 1773; to allocate federal and 
281.3 	state funds that are distributed based on income of the student's family; and to verify 
281.4 	receipt of energy assistance for the telephone assistance plan;
281.5 	(24) the current address and telephone number of program recipients and emergency 
281.6 	contacts may be released to the commissioner of health or a local board of health as 
281.7 	defined in section 145A.02, subdivision 2, when the commissioner or local board of health 
281.8 	has reason to believe that a program recipient is a disease case, carrier, suspect case, or at 
281.9 	risk of illness, and the data are necessary to locate the person;
281.10 	(25) to other state agencies, statewide systems, and political subdivisions of this 
281.11 	state, including the attorney general, and agencies of other states, interstate information 
281.12 	networks, federal agencies, and other entities as required by federal regulation or law for 
281.13 	the administration of the child support enforcement program;
281.14 	(26) to personnel of public assistance programs as defined in section 256.741, for 
281.15 	access to the child support system database for the purpose of administration, including 
281.16 	monitoring and evaluation of those public assistance programs;
281.17 	(27) to monitor and evaluate the Minnesota family investment program by 
281.18 	exchanging data between the Departments of Human Services and Education, on 
281.19 	recipients and former recipients of food support, cash assistance under chapter 256, 256D, 
281.20 	256J, or 256K, child care assistance under chapter 119B, or medical programs under 
281.21 	chapter 256B, 256D, or 256L;
281.22 	(28) to evaluate child support program performance and to identify and prevent 
281.23 	fraud in the child support program by exchanging data between the Department of Human 
281.24 	Services, Department of Revenue under section 270B.14, subdivision 1, paragraphs (a) 
281.25 	and (b), without regard to the limitation of use in paragraph (c), Department of Health, 
281.26 	Department of Employment and Economic Development, and other state agencies as is 
281.27 	reasonably necessary to perform these functions;
281.28 	(29) counties operating child care assistance programs under chapter 119B may 
281.29 	disseminate data on program participants, applicants, and providers to the commissioner 
281.30 	of education; or
281.31 	(30) child support data on the parents and the child may be disclosed to agencies 
281.32 	administering programs under titles IV-B and IV-E of the Social Security Act, as provided 
281.33 	by federal law. Data may be disclosed only to the extent necessary for the purpose of 
281.34 	establishing parentage or for determining who has or may have parental rights with respect 
281.35 	to a child, which could be related to permanency planning.
282.1 	(b) Information on persons who have been treated for drug or alcohol abuse may 
282.2 	only be disclosed according to the requirements of Code of Federal Regulations, title 
282.3 	42, sections 2.1 to 2.67.
282.4 	(c) Data provided to law enforcement agencies under paragraph (a), clause (15), 
282.5 	(16), (17), or (18), or paragraph (b), are investigative data and are confidential or protected 
282.6 	nonpublic while the investigation is active. The data are private after the investigation 
282.7 	becomes inactive under section 13.82, subdivision 5, paragraph (a) or (b).
282.8 	(d) Mental health data shall be treated as provided in subdivisions 7, 8, and 9, but is 
282.9 	not subject to the access provisions of subdivision 10, paragraph (b).
282.10 	For the purposes of this subdivision, a request will be deemed to be made in writing 
282.11 	if made through a computer interface system.

282.12 	Sec. 2. Minnesota Statutes 2010, section 13.46, subdivision 3, is amended to read:
282.13 		Subd. 3.Investigative data. (a) Data on persons, including data on vendors of 
282.14 	services, licensees, and applicants that is collected, maintained, used, or disseminated 
282.15 	by the welfare system in an investigation, authorized by statute, and relating to the 
282.16 	enforcement of rules or law is confidential data on individuals pursuant to section 13.02, 
282.17 	subdivision 3, or protected nonpublic data not on individuals pursuant to section 13.02, 
282.18 	subdivision 13, and shall not be disclosed except:
282.19 	(1) pursuant to section 13.05;
282.20 	(2) pursuant to statute or valid court order;
282.21 	(3) to a party named in a civil or criminal proceeding, administrative or judicial, for 
282.22 	preparation of defense; or
282.23 	(4) to provide notices required or permitted by statute.
282.24 	The data referred to in this subdivision shall be classified as public data upon 
282.25 	its submission to an administrative law judge or court in an administrative or judicial 
282.26 	proceeding. Inactive welfare investigative data shall be treated as provided in section 
282.27 	13.39, subdivision 3.
282.28 	(b) Notwithstanding any other provision in law, the commissioner of human services 
282.29 	shall provide all active and inactive investigative data, including the name of the reporter 
282.30 	of alleged maltreatment under section 626.556 or 626.557, to the ombudsman for mental 
282.31 	health and developmental disabilities upon the request of the ombudsman.
282.32 	(c) Notwithstanding paragraph (a) and section 13.39, the existence of an 
282.33 	investigation by the commissioner of possible overpayments of public funds to a service 
282.34 	provider are public data during an investigation.

283.1 	Sec. 3. Minnesota Statutes 2010, section 13.46, subdivision 4, is amended to read:
283.2 		Subd. 4.Licensing data. (a) As used in this subdivision:
283.3 	(1) "licensing data" means all data collected, maintained, used, or disseminated by 
283.4 	the welfare system pertaining to persons licensed or registered or who apply for licensure 
283.5 	or registration or who formerly were licensed or registered under the authority of the 
283.6 	commissioner of human services;
283.7 	(2) "client" means a person who is receiving services from a licensee or from an 
283.8 	applicant for licensure; and
283.9 	(3) "personal and personal financial data" means Social Security numbers, identity 
283.10 	of and letters of reference, insurance information, reports from the Bureau of Criminal 
283.11 	Apprehension, health examination reports, and social/home studies.
283.12 	(b)(1)(i) Except as provided in paragraph (c), the following data on applicants, 
283.13 	license holders, and former licensees are public: name, address, telephone number of 
283.14 	licensees, date of receipt of a completed application, dates of licensure, licensed capacity, 
283.15 	type of client preferred, variances granted, record of training and education in child care 
283.16 	and child development, type of dwelling, name and relationship of other family members, 
283.17 	previous license history, class of license, the existence and status of complaints, and the 
283.18 	number of serious injuries to or deaths of individuals in the licensed program as reported 
283.19 	to the commissioner of human services, the local social services agency, or any other 
283.20 	county welfare agency. For purposes of this clause, a serious injury is one that is treated 
283.21 	by a physician. 
283.22 	(ii) When a correction order, an order to forfeit a fine, an order of license suspension, 
283.23 	an order of temporary immediate suspension, an order of license revocation, an order 
283.24 	of license denial, or an order of conditional license has been issued, or a complaint is 
283.25 	resolved, the following data on current and former licensees and applicants are public: the 
283.26 	substance and investigative findings of the licensing or maltreatment complaint, licensing 
283.27 	violation, or substantiated maltreatment; the record of informal resolution of a licensing 
283.28 	violation; orders of hearing; findings of fact; conclusions of law; specifications of the final 
283.29 	correction order, fine, suspension, temporary immediate suspension, revocation, denial, or 
283.30 	conditional license contained in the record of licensing action; whether a fine has been 
283.31 	paid; and the status of any appeal of these actions. If a licensing sanction under section 
283.32 	245A.07, or a license denial under section 245A.05, is based on a determination that the 
283.33 	license holder or applicant is responsible for maltreatment or is disqualified under chapter 
283.34 	245C, the identity of the license holder or applicant as the individual responsible for 
283.35 	maltreatment or as the disqualified individual is public data at the time of the issuance of 
283.36 	the licensing sanction or denial.
284.1 	(iii) When a license denial under section 245A.05 or a sanction under section 
284.2 	245A.07 is based on a determination that the license holder or applicant is responsible for 
284.3 	maltreatment under section 626.556 or 626.557, the identity of the applicant or license 
284.4 	holder as the individual responsible for maltreatment is public data at the time of the 
284.5 	issuance of the license denial or sanction.
284.6 	(iv) When a license denial under section 245A.05 or a sanction under section 
284.7 	245A.07 is based on a determination that the license holder or applicant is disqualified 
284.8 	under chapter 245C, the identity of the license holder or applicant as the disqualified 
284.9 	individual and the reason for the disqualification are public data at the time of the 
284.10 	issuance of the licensing sanction or denial. If the applicant or license holder requests 
284.11 	reconsideration of the disqualification and the disqualification is affirmed, the reason for 
284.12 	the disqualification and the reason to not set aside the disqualification are public data.
284.13 	(2) Notwithstanding sections 626.556, subdivision 11, and 626.557, subdivision 12b, 
284.14 	when any person subject to disqualification under section 245C.14 in connection with a 
284.15 	license to provide family day care for children, child care center services, foster care 
284.16 	for children in the provider's home, or foster care or day care services for adults in the 
284.17 	provider's home is a substantiated perpetrator of maltreatment, and the substantiated 
284.18 	maltreatment is a reason for a licensing action, the identity of the substantiated perpetrator 
284.19 	of maltreatment is public data. For purposes of this clause, a person is a substantiated 
284.20 	perpetrator if the maltreatment determination has been upheld under section 256.045; 
284.21 	626.556, subdivision 10i; 626.557, subdivision 9d; or chapter 14, or if an individual or 
284.22 	facility has not timely exercised appeal rights under these sections, except as provided 
284.23 	under clause (1).
284.24 	(3) For applicants who withdraw their application prior to licensure or denial of a 
284.25 	license, the following data are public: the name of the applicant, the city and county in 
284.26 	which the applicant was seeking licensure, the dates of the commissioner's receipt of the 
284.27 	initial application and completed application, the type of license sought, and the date 
284.28 	of withdrawal of the application.
284.29 	(4) For applicants who are denied a license, the following data are public: the name 
284.30 	and address of the applicant, the city and county in which the applicant was seeking 
284.31 	licensure, the dates of the commissioner's receipt of the initial application and completed 
284.32 	application, the type of license sought, the date of denial of the application, the nature of 
284.33 	the basis for the denial, the record of informal resolution of a denial, orders of hearings, 
284.34 	findings of fact, conclusions of law, specifications of the final order of denial, and the 
284.35 	status of any appeal of the denial.
285.1 	(5) The following data on persons subject to disqualification under section 245C.14 
285.2 	in connection with a license to provide family day care for children, child care center 
285.3 	services, foster care for children in the provider's home, or foster care or day care 
285.4 	services for adults in the provider's home, are public: the nature of any disqualification 
285.5 	set aside under section 245C.22, subdivisions 2 and 4, and the reasons for setting aside 
285.6 	the disqualification; the nature of any disqualification for which a variance was granted 
285.7 	under sections 245A.04, subdivision 9; and 245C.30, and the reasons for granting any 
285.8 	variance under section 245A.04, subdivision 9; and, if applicable, the disclosure that 
285.9 	any person subject to a background study under section 245C.03, subdivision 1, has 
285.10 	successfully passed a background study. If a licensing sanction under section 245A.07, 
285.11 	or a license denial under section 245A.05, is based on a determination that an individual 
285.12 	subject to disqualification under chapter 245C is disqualified, the disqualification as a 
285.13 	basis for the licensing sanction or denial is public data. As specified in clause (1), item 
285.14 	(iv), if the disqualified individual is the license holder or applicant, the identity of the 
285.15 	license holder or applicant is and the reason for the disqualification are public data; and, if 
285.16 	the license holder or applicant requested reconsideration of the disqualification and the 
285.17 	disqualification is affirmed, the reason for the disqualification and the reason to not set 
285.18 	aside the disqualification are public data. If the disqualified individual is an individual 
285.19 	other than the license holder or applicant, the identity of the disqualified individual shall 
285.20 	remain private data.
285.21 	(6) When maltreatment is substantiated under section 626.556 or 626.557 and the 
285.22 	victim and the substantiated perpetrator are affiliated with a program licensed under 
285.23 	chapter 245A, the commissioner of human services, local social services agency, or 
285.24 	county welfare agency may inform the license holder where the maltreatment occurred of 
285.25 	the identity of the substantiated perpetrator and the victim.
285.26 	(7) Notwithstanding clause (1), for child foster care, only the name of the license 
285.27 	holder and the status of the license are public if the county attorney has requested that data 
285.28 	otherwise classified as public data under clause (1) be considered private data based on the 
285.29 	best interests of a child in placement in a licensed program.
285.30 	(c) The following are private data on individuals under section 13.02, subdivision 
285.31 	12, or nonpublic data under section 13.02, subdivision 9: personal and personal financial 
285.32 	data on family day care program and family foster care program applicants and licensees 
285.33 	and their family members who provide services under the license.
285.34 	(d) The following are private data on individuals: the identity of persons who have 
285.35 	made reports concerning licensees or applicants that appear in inactive investigative data, 
285.36 	and the records of clients or employees of the licensee or applicant for licensure whose 
286.1 	records are received by the licensing agency for purposes of review or in anticipation of a 
286.2 	contested matter. The names of reporters of complaints or alleged violations of licensing 
286.3 	standards under chapters 245A, 245B, 245C, and applicable rules and alleged maltreatment 
286.4 	under sections 626.556 and 626.557, are confidential data and may be disclosed only as 
286.5 	provided in section 626.556, subdivision 11, or 626.557, subdivision 12b.
286.6 	(e) Data classified as private, confidential, nonpublic, or protected nonpublic under 
286.7 	this subdivision become public data if submitted to a court or administrative law judge as 
286.8 	part of a disciplinary proceeding in which there is a public hearing concerning a license 
286.9 	which has been suspended, immediately suspended, revoked, or denied.
286.10 	(f) Data generated in the course of licensing investigations that relate to an alleged 
286.11 	violation of law are investigative data under subdivision 3.
286.12 	(g) Data that are not public data collected, maintained, used, or disseminated under 
286.13 	this subdivision that relate to or are derived from a report as defined in section 626.556, 
286.14 	subdivision 2, or 626.5572, subdivision 18, are subject to the destruction provisions of 
286.15 	sections 626.556, subdivision 11c, and 626.557, subdivision 12b.
286.16 	(h) Upon request, not public data collected, maintained, used, or disseminated under 
286.17 	this subdivision that relate to or are derived from a report of substantiated maltreatment as 
286.18 	defined in section 626.556 or 626.557 may be exchanged with the Department of Health 
286.19 	for purposes of completing background studies pursuant to section 144.057 and with 
286.20 	the Department of Corrections for purposes of completing background studies pursuant 
286.21 	to section 241.021.
286.22 	(i) Data on individuals collected according to licensing activities under chapters 
286.23 	245A and 245C, and data on individuals collected by the commissioner of human services 
286.24 	according to maltreatment investigations under chapters 245A, 245B, and 245C, and 
286.25 	sections 626.556 and 626.557, may be shared with the Department of Human Rights, the 
286.26 	Department of Health, the Department of Corrections, the ombudsman for mental health 
286.27 	and developmental disabilities, and the individual's professional regulatory board when 
286.28 	there is reason to believe that laws or standards under the jurisdiction of those agencies 
286.29 	may have been violated. or the information may otherwise be relevant to the board's 
286.30 	regulatory jurisdiction. Background study data on an individual who is the subject of a 
286.31 	background study under chapter 245C for a licensed service for which the commissioner 
286.32 	of human services is the license holder may be shared with the commissioner and the 
286.33 	commissioner's delegate by the licensing division. Unless otherwise specified in this 
286.34 	chapter, the identity of a reporter of alleged maltreatment or licensing violations may not 
286.35 	be disclosed.
287.1 	(j) In addition to the notice of determinations required under section 626.556, 
287.2 	subdivision 10f, if the commissioner or the local social services agency has determined 
287.3 	that an individual is a substantiated perpetrator of maltreatment of a child based on sexual 
287.4 	abuse, as defined in section 626.556, subdivision 2, and the commissioner or local social 
287.5 	services agency knows that the individual is a person responsible for a child's care in 
287.6 	another facility, the commissioner or local social services agency shall notify the head 
287.7 	of that facility of this determination. The notification must include an explanation of the 
287.8 	individual's available appeal rights and the status of any appeal. If a notice is given under 
287.9 	this paragraph, the government entity making the notification shall provide a copy of the 
287.10 	notice to the individual who is the subject of the notice.
287.11 	(k) All not public data collected, maintained, used, or disseminated under this 
287.12 	subdivision and subdivision 3 may be exchanged between the Department of Human 
287.13 	Services, Licensing Division, and the Department of Corrections for purposes of 
287.14 	regulating services for which the Department of Human Services and the Department 
287.15 	of Corrections have regulatory authority.

287.16 	Sec. 4. Minnesota Statutes 2010, section 13.82, subdivision 1, is amended to read:
287.17 		Subdivision 1.Application. This section shall apply to agencies which carry on 
287.18 	a law enforcement function, including but not limited to municipal police departments, 
287.19 	county sheriff departments, fire departments, the Bureau of Criminal Apprehension, 
287.20 	the Minnesota State Patrol, the Board of Peace Officer Standards and Training, the 
287.21 	Department of Commerce, and the program integrity section of, and county human service 
287.22 	agency client and provider fraud investigation, prevention, and control units operated or 
287.23 	supervised by the Department of Human Services.

287.24 	ARTICLE 16
287.25 	LICENSING

287.26 	Section 1. Minnesota Statutes 2010, section 245A.03, is amended by adding a 
287.27 	subdivision to read:
287.28 		Subd. 2c.School-age child care licensing moratorium. A school-age program 
287.29 	whose sole purpose is to provide only services to school-age children during out-of-school 
287.30 	times is exempt from the human services licensing requirements in this chapter until July 
287.31 	1, 2014. Nothing in this section prohibits an already licensed school-age-only program 
287.32 	from continuing its license or a school-age program from seeking licensure.

287.33 	Sec. 2. Minnesota Statutes 2010, section 245A.04, subdivision 1, is amended to read:
288.1 		Subdivision 1.Application for licensure. (a) An individual, corporation, 
288.2 	partnership, voluntary association, other organization or controlling individual that is 
288.3 	subject to licensure under section 245A.03 must apply for a license. The application 
288.4 	must be made on the forms and in the manner prescribed by the commissioner. The 
288.5 	commissioner shall provide the applicant with instruction in completing the application 
288.6 	and provide information about the rules and requirements of other state agencies that affect 
288.7 	the applicant. An applicant seeking licensure in Minnesota with headquarters outside of 
288.8 	Minnesota must have a program office located within the state.
288.9 	The commissioner shall act on the application within 90 working days after a 
288.10 	complete application and any required reports have been received from other state 
288.11 	agencies or departments, counties, municipalities, or other political subdivisions. The 
288.12 	commissioner shall not consider an application to be complete until the commissioner 
288.13 	receives all of the information required under section 245C.05.
288.14 	When the commissioner receives an application for initial licensure that is incomplete 
288.15 	because the applicant failed to submit required documents or that is substantially 
288.16 	deficient because the documents submitted do not meet licensing requirements, the 
288.17 	commissioner shall provide the applicant written notice that the application is incomplete 
288.18 	or substantially deficient. In the written notice to the applicant the commissioner shall 
288.19 	identify documents that are missing or deficient and give the applicant 45 days to resubmit 
288.20 	a second application that is substantially complete. An applicant's failure to submit a 
288.21 	substantially complete application after receiving notice from the commissioner is a basis 
288.22 	for license denial under section 245A.05.
288.23 	(b) An application for licensure must specify one or more identify all controlling 
288.24 	individuals as and must specify an agent who is responsible for dealing with the 
288.25 	commissioner of human services on all matters provided for in this chapter and on whom 
288.26 	service of all notices and orders must be made. The agent must be authorized to accept 
288.27 	service on behalf of all of the controlling individuals of the program. Service on the agent 
288.28 	is service on all of the controlling individuals of the program. It is not a defense to any 
288.29 	action arising under this chapter that service was not made on each controlling individual 
288.30 	of the program. The designation of one or more controlling individuals as agents under 
288.31 	this paragraph does not affect the legal responsibility of any other controlling individual 
288.32 	under this chapter.
288.33 	(c) An applicant or license holder must have a policy that prohibits license holders, 
288.34 	employees, subcontractors, and volunteers, when directly responsible for persons served 
288.35 	by the program, from abusing prescription medication or being in any manner under 
288.36 	the influence of a chemical that impairs the individual's ability to provide services or 
289.1 	care. The license holder must train employees, subcontractors, and volunteers about the 
289.2 	program's drug and alcohol policy.
289.3 	(d) An applicant and license holder must have a program grievance procedure that 
289.4 	permits persons served by the program and their authorized representatives to bring a 
289.5 	grievance to the highest level of authority in the program.
289.6 	(e) The applicant must be able to demonstrate competent knowledge of the 
289.7 	applicable requirements of this chapter and chapter 245C, and the requirements of 
289.8 	other licensing statutes and rules applicable to the program or services for which the 
289.9 	applicant is seeking to be licensed. Effective January 1, 2013, the commissioner may 
289.10 	require the applicant, except for child foster care, to demonstrate competence in the 
289.11 	applicable licensing requirements by successfully completing a written examination. The 
289.12 	commissioner may develop a prescribed written examination format.
289.13 	(f) When an applicant is an individual, the individual must provide the applicant's 
289.14 	Social Security number and a notarized signature of the applicant.
289.15 	(g) When an applicant is a nonindividual, the applicant must provide the applicant's 
289.16 	Minnesota tax identification number, the first, middle, and last name, and address for 
289.17 	all individuals who will be controlling individuals, including all officers, owners, and 
289.18 	managerial officials as defined in section 245A.02, subdivision 5a, and the date that the 
289.19 	background study was initiated by the applicant for each controlling individual. The 
289.20 	applicant must also provide the first, middle, and last name, mailing address, and notarized 
289.21 	signature of the agent authorized by the applicant to accept service on behalf of the 
289.22 	controlling individuals.

289.23 	Sec. 3. Minnesota Statutes 2010, section 245A.04, subdivision 7, is amended to read:
289.24 		Subd. 7.Grant of license; license extension. (a) If the commissioner determines 
289.25 	that the program complies with all applicable rules and laws, the commissioner shall issue 
289.26 	a license. At minimum, the license shall state:
289.27 	(1) the name of the license holder;
289.28 	(2) the address of the program;
289.29 	(3) the effective date and expiration date of the license;
289.30 	(4) the type of license;
289.31 	(5) the maximum number and ages of persons that may receive services from the 
289.32 	program; and
289.33 	(6) any special conditions of licensure.
289.34 	(b) The commissioner may issue an initial license for a period not to exceed two 
289.35 	years if:
290.1 	(1) the commissioner is unable to conduct the evaluation or observation required 
290.2 	by subdivision 4, paragraph (a), clauses (3) and (4), because the program is not yet 
290.3 	operational;
290.4 	(2) certain records and documents are not available because persons are not yet 
290.5 	receiving services from the program; and
290.6 	(3) the applicant complies with applicable laws and rules in all other respects.
290.7 	(c) A decision by the commissioner to issue a license does not guarantee that any 
290.8 	person or persons will be placed or cared for in the licensed program. A license shall not 
290.9 	be transferable to another individual, corporation, partnership, voluntary association, other 
290.10 	organization, or controlling individual or to another location.
290.11 	(d) A license holder must notify the commissioner and obtain the commissioner's 
290.12 	approval before making any changes that would alter the license information listed under 
290.13 	paragraph (a).
290.14 	(e) Except as provided in paragraphs (g) and (h), the commissioner shall not issue or 
290.15 	reissue a license if the applicant, license holder, or controlling individual has:
290.16 	(1) been disqualified and the disqualification was not set aside and no variance has 
290.17 	been granted;
290.18 	(2) has been denied a license within the past two years;
290.19 	(3) had a license revoked within the past five years; or
290.20 	(4) has an outstanding debt related to a license fee, licensing fine, or settlement 
290.21 	agreement for which payment is delinquent.; or
290.22 	(5) failed to submit the information required of an applicant under section 245A.04, 
290.23 	subdivision 1, paragraph (f) or (g), after being requested by the commissioner.
290.24 	When a license is revoked under clause (1) or (3), the license holder and controlling 
290.25 	individual may not hold any license under chapter 245A or 245B for five years following 
290.26 	the revocation, and other licenses held by the applicant, license holder, or controlling 
290.27 	individual shall also be revoked.
290.28 	(f) The commissioner shall not issue or reissue a license if an individual living in 
290.29 	the household where the licensed services will be provided as specified under section 
290.30 	245C.03, subdivision 1, has been disqualified and the disqualification has not been set 
290.31 	aside and no variance has been granted.
290.32 	(g) Pursuant to section 245A.07, subdivision 1, paragraph (b), when a license has 
290.33 	been suspended or revoked and the suspension or revocation is under appeal, the program 
290.34 	may continue to operate pending a final order from the commissioner. If the license under 
290.35 	suspension or revocation will expire before a final order is issued, a temporary provisional 
291.1 	license may be issued provided any applicable license fee is paid before the temporary 
291.2 	provisional license is issued.
291.3 	(h) Notwithstanding paragraph (g), when a revocation is based on the disqualification 
291.4 	of a controlling individual or license holder, and the controlling individual or license holder 
291.5 	is ordered under section 245C.17 to be immediately removed from direct contact with 
291.6 	persons receiving services or is ordered to be under continuous, direct supervision when 
291.7 	providing direct contact services, the program may continue to operate only if the program 
291.8 	complies with the order and submits documentation demonstrating compliance with the 
291.9 	order. If the disqualified individual fails to submit a timely request for reconsideration, or 
291.10 	if the disqualification is not set aside and no variance is granted, the order to immediately 
291.11 	remove the individual from direct contact or to be under continuous, direct supervision 
291.12 	remains in effect pending the outcome of a hearing and final order from the commissioner.
291.13 	(i) For purposes of reimbursement for meals only, under the Child and Adult Care 
291.14 	Food Program, Code of Federal Regulations, title 7, subtitle B, chapter II, subchapter A, 
291.15 	part 226, relocation within the same county by a licensed family day care provider, shall 
291.16 	be considered an extension of the license for a period of no more than 30 calendar days or 
291.17 	until the new license is issued, whichever occurs first, provided the county agency has 
291.18 	determined the family day care provider meets licensure requirements at the new location.
291.19 	(j) Unless otherwise specified by statute, all licenses expire at 12:01 a.m. on the 
291.20 	day after the expiration date stated on the license. A license holder must apply for and 
291.21 	be granted a new license to operate the program or the program must not be operated 
291.22 	after the expiration date.
291.23 	(k) The commissioner shall not issue or reissue a license if it has been determined that 
291.24 	a tribal licensing authority has established jurisdiction to license the program or service.

291.25 	Sec. 4. Minnesota Statutes 2010, section 245A.04, subdivision 11, is amended to read:
291.26 		Subd. 11.Education program; permitted ages, additional requirement. (a) The 
291.27 	education program offered in a residential or nonresidential program, except for child care, 
291.28 	foster care, or services for adults, must be approved by the commissioner of education 
291.29 	before the commissioner of human services may grant a license to the program. Except for 
291.30 	foster care, the commissioner of human services may not grant a license to a residential 
291.31 	facility for the placement of children before the commissioner has received documentation 
291.32 	of approval of the educational program from the commissioner of education according to 
291.33 	section 125A.515.
292.1 	(b) A residential program licensed by the commissioner of human services under 
292.2 	Minnesota Rules, parts 2960.0010 to 2960.0710, may serve persons through the age of 
292.3 	19 when:
292.4 	(1) the admission or continued stay is necessary for a person to complete a secondary 
292.5 	school program or its equivalent, or it is necessary to facilitate a transition period after 
292.6 	completing the secondary school program or its equivalent for up to four months in order 
292.7 	for the resident to obtain other living arrangements;
292.8 	(2) the facility develops policies, procedures, and plans required under section 
292.9 	245A.65;
292.10 	(3) the facility documents an assessment of the 18- or 19-year-old person's risk 
292.11 	of victimizing children residing in the facility, and develops necessary risk reduction 
292.12 	measures, including sleeping arrangements, to minimize any risk of harm to children; and
292.13 	(4) notwithstanding the license holder's target population age range, whenever 
292.14 	persons age 18 or 19 years old are receiving residential services, the age difference among 
292.15 	residents may not exceed five years.
292.16 	(c) (b) A child foster care program licensed by the commissioner under Minnesota 
292.17 	Rules, chapter 2960, may serve persons who are over the age of 18 but under the age 
292.18 	of 21 when the person is:
292.19 	(1) completing secondary education or a program leading to an equivalent credential;
292.20 	(2) enrolled in an institution which provides postsecondary or vocational education;
292.21 	(3) participating in a program or activity designed to promote, or remove barriers to, 
292.22 	employment;
292.23 	(4) employed for at least 80 hours per month; or
292.24 	(5) incapable of doing any of the activities described in clauses (1) to (4) due to a 
292.25 	medical condition, which incapability is supported by regularly updated information in the 
292.26 	case plan of the person.
292.27 	(c) In addition to the requirements in paragraph (b), a residential program licensed 
292.28 	by the commissioner of human services under Minnesota Rules, parts 2960.0010 to 
292.29 	2960.0710, may serve persons under the age of 21 provided the facility complies with the 
292.30 	following requirements:
292.31 	(1) for each person age 18 and older served at the program, the program must assess 
292.32 	and document the person's risk of victimizing other residents residing in the facility, and 
292.33 	based on the assessment, the facility must develop and implement necessary measures 
292.34 	to minimize any risk of harm to other residents, including making arrangements for 
292.35 	appropriate sleeping arrangements; and
293.1 	(2) the program must assure that the services and living arrangements provided to all 
293.2 	residents are suitable to the age and functioning of the residents, including separation of 
293.3 	services, staff supervision, and other program operations as appropriate.
293.4 	(d) Nothing in this paragraph subdivision precludes the license holder from seeking 
293.5 	other variances under subdivision 9.

293.6 	Sec. 5. Minnesota Statutes 2010, section 245A.04, is amended by adding a subdivision 
293.7 	to read:
293.8 		Subd. 16.Program policy; reporting a death in the program. Unless such 
293.9 	reporting is otherwise already required under statute or rule, programs licensed under this 
293.10 	chapter must have a written policy for reporting the death of an individual served by the 
293.11 	program to the commissioner of human services. Within 24 hours of receiving knowledge 
293.12 	of the death of an individual served by the program, the license holder shall notify the 
293.13 	commissioner of the death. If the license holder has reason to know that the death has 
293.14 	been reported to the commissioner, a subsequent report is not required.

293.15 	Sec. 6. Minnesota Statutes 2010, section 245A.05, is amended to read:
293.16 	245A.05 DENIAL OF APPLICATION.
293.17 	(a) The commissioner may deny a license if an applicant or controlling individual:
293.18 	(1) fails to submit a substantially complete application after receiving notice from 
293.19 	the commissioner under section 245A.04, subdivision 1;
293.20 	(1) (2) fails to comply with applicable laws or rules;
293.21 	(2) (3) knowingly withholds relevant information from or gives false or misleading 
293.22 	information to the commissioner in connection with an application for a license or during 
293.23 	an investigation;
293.24 	(3) (4) has a disqualification that has not been set aside under section 245C.22
293.25 	and no variance has been granted;
293.26 	(4) (5) has an individual living in the household who received a background study 
293.27 	under section 245C.03, subdivision 1, paragraph (a), clause (2), who has a disqualification 
293.28 	that has not been set aside under section 245C.22, and no variance has been granted; or
293.29 	(5) (6) is associated with an individual who received a background study under 
293.30 	section 245C.03, subdivision 1, paragraph (a), clause (6), who may have unsupervised 
293.31 	access to children or vulnerable adults, and who has a disqualification that has not been set 
293.32 	aside under section 245C.22, and no variance has been granted.; or
293.33 	(7) fails to comply with section 245A.04, subdivision 1, paragraph (f) or (g).
294.1 	(b) An applicant whose application has been denied by the commissioner must be 
294.2 	given notice of the denial. Notice must be given by certified mail or personal service. 
294.3 	The notice must state the reasons the application was denied and must inform the 
294.4 	applicant of the right to a contested case hearing under chapter 14 and Minnesota Rules, 
294.5 	parts 1400.8505 to 1400.8612. The applicant may appeal the denial by notifying the 
294.6 	commissioner in writing by certified mail or personal service. If mailed, the appeal must 
294.7 	be postmarked and sent to the commissioner within 20 calendar days after the applicant 
294.8 	received the notice of denial. If an appeal request is made by personal service, it must 
294.9 	be received by the commissioner within 20 calendar days after the applicant received the 
294.10 	notice of denial. Section 245A.08 applies to hearings held to appeal the commissioner's 
294.11 	denial of an application.

294.12 	Sec. 7. Minnesota Statutes 2010, section 245A.07, subdivision 3, is amended to read:
294.13 		Subd. 3.License suspension, revocation, or fine. (a) The commissioner may 
294.14 	suspend or revoke a license, or impose a fine if:
294.15 	(1) a license holder fails to comply fully with applicable laws or rules, if;
294.16 	(2) a license holder, a controlling individual, or an individual living in the household 
294.17 	where the licensed services are provided or is otherwise subject to a background study has 
294.18 	a disqualification which has not been set aside under section 245C.22, or if;
294.19 	(3) a license holder knowingly withholds relevant information from or gives false 
294.20 	or misleading information to the commissioner in connection with an application for 
294.21 	a license, in connection with the background study status of an individual, during an 
294.22 	investigation, or regarding compliance with applicable laws or rules.; or
294.23 	(4) after July 1, 2012, and upon request by the commissioner, a license holder fails 
294.24 	to submit the information required of an applicant under section 245A.04, subdivision 1, 
294.25 	paragraph (f) or (g).
294.26 	A license holder who has had a license suspended, revoked, or has been ordered 
294.27 	to pay a fine must be given notice of the action by certified mail or personal service. If 
294.28 	mailed, the notice must be mailed to the address shown on the application or the last 
294.29 	known address of the license holder. The notice must state the reasons the license was 
294.30 	suspended, revoked, or a fine was ordered.
294.31 	(b) If the license was suspended or revoked, the notice must inform the license 
294.32 	holder of the right to a contested case hearing under chapter 14 and Minnesota Rules, parts 
294.33 	1400.8505 to 1400.8612. The license holder may appeal an order suspending or revoking 
294.34 	a license. The appeal of an order suspending or revoking a license must be made in writing 
294.35 	by certified mail or personal service. If mailed, the appeal must be postmarked and sent to 
295.1 	the commissioner within ten calendar days after the license holder receives notice that the 
295.2 	license has been suspended or revoked. If a request is made by personal service, it must be 
295.3 	received by the commissioner within ten calendar days after the license holder received 
295.4 	the order. Except as provided in subdivision 2a, paragraph (c), if a license holder submits 
295.5 	a timely appeal of an order suspending or revoking a license, the license holder may 
295.6 	continue to operate the program as provided in section 245A.04, subdivision 7, paragraphs 
295.7 	(g) and (h), until the commissioner issues a final order on the suspension or revocation.
295.8 	(c)(1) If the license holder was ordered to pay a fine, the notice must inform the 
295.9 	license holder of the responsibility for payment of fines and the right to a contested case 
295.10 	hearing under chapter 14 and Minnesota Rules, parts 1400.8505 to 1400.8612. The appeal 
295.11 	of an order to pay a fine must be made in writing by certified mail or personal service. If 
295.12 	mailed, the appeal must be postmarked and sent to the commissioner within ten calendar 
295.13 	days after the license holder receives notice that the fine has been ordered. If a request is 
295.14 	made by personal service, it must be received by the commissioner within ten calendar 
295.15 	days after the license holder received the order.
295.16 	(2) The license holder shall pay the fines assessed on or before the payment date 
295.17 	specified. If the license holder fails to fully comply with the order, the commissioner 
295.18 	may issue a second fine or suspend the license until the license holder complies. If the 
295.19 	license holder receives state funds, the state, county, or municipal agencies or departments 
295.20 	responsible for administering the funds shall withhold payments and recover any payments 
295.21 	made while the license is suspended for failure to pay a fine. A timely appeal shall stay 
295.22 	payment of the fine until the commissioner issues a final order.
295.23 	(3) A license holder shall promptly notify the commissioner of human services, 
295.24 	in writing, when a violation specified in the order to forfeit a fine is corrected. If upon 
295.25 	reinspection the commissioner determines that a violation has not been corrected as 
295.26 	indicated by the order to forfeit a fine, the commissioner may issue a second fine. The 
295.27 	commissioner shall notify the license holder by certified mail or personal service that a 
295.28 	second fine has been assessed. The license holder may appeal the second fine as provided 
295.29 	under this subdivision.
295.30 	(4) Fines shall be assessed as follows: the license holder shall forfeit $1,000 for 
295.31 	each determination of maltreatment of a child under section 626.556 or the maltreatment 
295.32 	of a vulnerable adult under section 626.557 for which the license holder is determined 
295.33 	responsible for the maltreatment under section 626.556, subdivision 10e, paragraph (i), 
295.34 	or 626.557, subdivision 9c, paragraph (c); the license holder shall forfeit $200 for each 
295.35 	occurrence of a violation of law or rule governing matters of health, safety, or supervision, 
295.36 	including but not limited to the provision of adequate staff-to-child or adult ratios, and 
296.1 	failure to comply with background study requirements under chapter 245C; and the license 
296.2 	holder shall forfeit $100 for each occurrence of a violation of law or rule other than those 
296.3 	subject to a $1,000 or $200 fine above. For purposes of this section, "occurrence" means 
296.4 	each violation identified in the commissioner's fine order. Fines assessed against a license 
296.5 	holder that holds a license to provide the residential-based habilitation services, as defined 
296.6 	under section 245B.02, subdivision 20, and a license to provide foster care, may be 
296.7 	assessed against both licenses for the same occurrence, but the combined amount of the 
296.8 	fines shall not exceed the amount specified in this clause for that occurrence.
296.9 	(5) When a fine has been assessed, the license holder may not avoid payment by 
296.10 	closing, selling, or otherwise transferring the licensed program to a third party. In such an 
296.11 	event, the license holder will be personally liable for payment. In the case of a corporation, 
296.12 	each controlling individual is personally and jointly liable for payment.
296.13 	(d) Except for background study violations involving the failure to comply with an 
296.14 	order to immediately remove an individual or an order to provide continuous, direct 
296.15 	supervision, the commissioner shall not issue a fine under paragraph (c) relating to a 
296.16 	background study violation to a license holder who self-corrects a background study 
296.17 	violation before the commissioner discovers the violation. A license holder who has 
296.18 	previously exercised the provisions of this paragraph to avoid a fine for a background 
296.19 	study violation may not avoid a fine for a subsequent background study violation unless at 
296.20 	least 365 days have passed since the license holder self-corrected the earlier background 
296.21 	study violation.

296.22 	Sec. 8. Minnesota Statutes 2010, section 245A.14, subdivision 11, is amended to read:
296.23 		Subd. 11.Swimming pools; family day care and group family day care 
296.24 	providers. (a) This subdivision governs swimming pools located at family day care 
296.25 	or group family day care homes licensed under Minnesota Rules, chapter 9502. This 
296.26 	subdivision does not apply to portable wading pools or whirlpools located at family day 
296.27 	care or group family day care homes licensed under Minnesota Rules, chapter 9502. For a 
296.28 	provider to be eligible to allow a child cared for at the family day care or group family day 
296.29 	care home to use the swimming pool located at the home, the provider must not have had 
296.30 	a licensing sanction under section 245A.07 or a correction order or conditional license 
296.31 	under section 245A.06 relating to the supervision or health and safety of children during 
296.32 	the prior 24 months, and must satisfy the following requirements:
296.33 	(1) notify the county agency before initial use of the swimming pool and annually, 
296.34 	thereafter;
297.1 	(2) obtain written consent from a child's parent or legal guardian allowing the child 
297.2 	to use the swimming pool and renew the parent or legal guardian's written consent at least 
297.3 	annually. The written consent must include a statement that the parent or legal guardian 
297.4 	has received and read materials provided by the Department of Health to the Department 
297.5 	of Human Services for distribution to all family day care or group family day care homes 
297.6 	and the general public on the human services Internet Web site related to the risk of disease 
297.7 	transmission as well as other health risks associated with swimming pools. The written 
297.8 	consent must also include a statement that the Department of Health, Department of 
297.9 	Human Services, and county agency will not monitor or inspect the provider's swimming 
297.10 	pool to ensure compliance with the requirements in this subdivision;
297.11 	(3) enter into a written contract with a child's parent or legal guardian and renew the 
297.12 	written contract annually. The terms of the written contract must specify that the provider 
297.13 	agrees to perform all of the requirements in this subdivision;
297.14 	(4) attend and successfully complete a swimming pool operator training course once 
297.15 	every five years. Acceptable training courses are:
297.16 	(i) the National Swimming Pool Foundation Certified Pool Operator course;
297.17 	(ii) the National Spa and Pool Institute Tech I and Tech II courses (both required); or
297.18 	(iii) the National Recreation and Park Association Aquatic Facility Operator course;
297.19 	(5) require a caregiver trained in first aid and adult and child cardiopulmonary 
297.20 	resuscitation to supervise and be present at the swimming pool with any children in the 
297.21 	pool;
297.22 	(6) toilet all potty-trained children before they enter the swimming pool;
297.23 	(7) require all children who are not potty-trained to wear swim diapers while in 
297.24 	the swimming pool;
297.25 	(8) if fecal material enters the swimming pool water, add three times the normal 
297.26 	shock treatment to the pool water to raise the chlorine level to at least 20 parts per million, 
297.27 	and close the pool to swimming for the 24 hours following the entrance of fecal material 
297.28 	into the water or until the water pH and disinfectant concentration levels have returned to 
297.29 	the standards specified in clause (10), whichever is later;
297.30 	(9) prevent any person from entering the swimming pool who has an open wound or 
297.31 	any person who has or is suspected of having a communicable disease;
297.32 	(10) maintain the swimming pool water at a pH of not less than 7.2 and not more 
297.33 	than 8.0, maintain the disinfectant concentration between two and five parts per million for 
297.34 	chlorine or between 2.3 and 4.5 parts per million for bromine, and maintain a daily record 
297.35 	of the swimming pool's operation with pH and disinfectant concentration readings on days 
297.36 	when children cared for at the family day care or group family day care home are present;
298.1 	(11) have a disinfectant feeder or feeders;
298.2 	(12) have a recirculation system that will clarify and disinfect the swimming pool 
298.3 	volume of water in ten hours or less;
298.4 	(13) maintain the swimming pool's water clarity so that an object on the pool floor at 
298.5 	the pool's deepest point is easily visible;
298.6 	(14) have two or more suction lines in the swimming pool comply with the provisions 
298.7 	of the Abigail Taylor Pool Safety Act in section 144.1222, subdivisions 1c and 1d;
298.8 	(15) have in place and enforce written safety rules and swimming pool policies;
298.9 	(16) have in place at all times a safety rope that divides the shallow and deep 
298.10 	portions of the swimming pool;
298.11 	(17) satisfy any existing local ordinances regarding swimming pool installation, 
298.12 	decks, and fencing;
298.13 	(18) maintain a water temperature of not more than 104 degrees Fahrenheit and 
298.14 	not less than 70 degrees Fahrenheit; and
298.15 	(19) for lifesaving equipment, have a United States Coast Guard-approved life 
298.16 	ring attached to a rope, an exit ladder, and a shepherd's hook available at all times to the 
298.17 	caregiver supervising the swimming pool.
298.18 	The requirements of clauses (5), (16), and (18) only apply at times when children 
298.19 	cared for at the family day care or group family day care home are present.
298.20 	(b) A violation of paragraph (a), clauses (1) to (3), is grounds for a sanction under 
298.21 	section 245A.07 or a correction order or conditional license under section 245A.06.
298.22 	(c) If a provider under this subdivision receives a licensing sanction under section 
298.23 	245A.07 or a correction order or a conditional license under section 245A.06 relating to 
298.24 	the supervision or health and safety of children, the provider is prohibited from allowing a 
298.25 	child cared for at the family day care or group family day care home to continue to use 
298.26 	the swimming pool located at the home.

298.27 	Sec. 9. Minnesota Statutes 2010, section 245A.146, subdivision 2, is amended to read:
298.28 		Subd. 2.Documentation requirement for license holders. (a) Effective January 
298.29 	1, 2006, All licensed child care providers, children's residential facilities, chemical 
298.30 	dependency treatment programs with children in care, and residential habilitation 
298.31 	programs serving children with developmental disabilities must maintain the following 
298.32 	documentation for every crib used by or that is accessible to any child in care:
298.33 	(1) the crib's brand name; and
298.34 	(2) the crib's model number.
299.1 	(b) Any crib for which the license holder does not have the documentation required 
299.2 	under paragraph (a) must not be used by or be accessible to children in care.
299.3 	(c) Effective December 28, 2012, the licensed program must maintain documentation 
299.4 	that meets federal documentation requirements to show that every full-size and 
299.5 	non-full-size crib that is used by or is accessible to any child in care is compliant with 
299.6 	federal crib standards under Code of Federal Regulations, title 16, part 1219, for full-size 
299.7 	baby cribs, or Code of Federal Regulations, title 16, part 1220, for non-full-size baby cribs.

299.8 	Sec. 10. Minnesota Statutes 2010, section 245A.146, subdivision 3, is amended to read:
299.9 		Subd. 3.License holder documentation of cribs. (a) Annually, from the date 
299.10 	printed on the license, all license holders shall check all their cribs' brand names and 
299.11 	model numbers against the United States Consumer Product Safety Commission Web 
299.12 	site listing of unsafe cribs.
299.13 	(b) The license holder shall maintain written documentation to be reviewed on site 
299.14 	for each crib showing that the review required in paragraph (a) has been completed, and 
299.15 	which of the following conditions applies:
299.16 	(1) the crib was not identified as unsafe on the United States Consumer Product 
299.17 	Safety Commission Web site;
299.18 	(2) the crib was identified as unsafe on the United States Consumer Product Safety 
299.19 	Commission Web site, but the license holder has taken the action directed by the United 
299.20 	States Consumer Product Safety Commission to make the crib safe; or
299.21 	(3) the crib was identified as unsafe on the United States Consumer Product Safety 
299.22 	Commission Web site, and the license holder has removed the crib so that it is no longer 
299.23 	used by or accessible to children in care.
299.24 	(c) Documentation of the review completed under this subdivision shall be 
299.25 	maintained by the license holder on site and made available to parents or guardians of 
299.26 	children in care and the commissioner.
299.27 	(d) Notwithstanding Minnesota Rules, part 9502.0425, a family child care provider 
299.28 	that complies with this section may use a mesh-sided playpen or crib that has not been 
299.29 	identified as unsafe on the United States Consumer Product Safety Commission Web site 
299.30 	for the care or sleeping of infants.

299.31 	Sec. 11. Minnesota Statutes 2010, section 245A.18, subdivision 1, is amended to read:
299.32 		Subdivision 1.Seat belt and child passenger restraint system use. When a child 
299.33 	is transported, a license holder must comply with all seat belt and child passenger restraint 
299.34 	system requirements under section sections169.685 and 169.686.

300.1 	Sec. 12. [245A.191] PROVIDER ELIGIBILITY FOR PAYMENTS FROM THE 
300.2 	CHEMICAL DEPENDENCY CONSOLIDATED TREATMENT FUND.
300.3 	(a) When a chemical dependency treatment provider licensed under Minnesota 
300.4 	Rules, parts 2960.0430 to 2960.0490 or 9530.6405 to 9530.6505, agrees to meet the 
300.5 	applicable requirements under section 254B.05, subdivision 5, paragraphs (b), clauses 
300.6 	(1) to (4) and (6), (c), and (d), to be eligible for enhanced funding from the chemical 
300.7 	dependency consolidated treatment fund, the applicable requirements under section 
300.8 	254B.05 are also licensing requirements that may be monitored for compliance through 
300.9 	licensing investigations and licensing inspections.
300.10 	(b) Noncompliance with the requirements identified under paragraph (a) may 
300.11 	result in:
300.12 	(1) a correction order or a conditional license under section 245A.06, or sanctions 
300.13 	under section 245A.07;
300.14 	(2) nonpayment of claims submitted by the license holder for public program 
300.15 	reimbursement;
300.16 	(3) recovery of payments made for the service;
300.17 	(4) disenrollment in the public payment program; or
300.18 	(5) other administrative, civil, or criminal penalties as provided by law.

300.19 	Sec. 13. Minnesota Statutes 2010, section 245A.22, subdivision 2, is amended to read:
300.20 		Subd. 2.Admission. (a) The license holder shall accept as clients in the independent 
300.21 	living assistance program only youth ages 16 to 21 who are in out-of-home placement, 
300.22 	leaving out-of-home placement, at risk of becoming homeless, or homeless.
300.23 	(b) Youth who have current drug or alcohol problems, a recent history of violent 
300.24 	behaviors, or a mental health disorder or issue that is not being resolved through 
300.25 	counseling or treatment are not eligible to receive the services described in subdivision 1.
300.26 	(c) Youth who are not employed, participating in employment training, or enrolled 
300.27 	in an academic program are not eligible to receive transitional housing or independent 
300.28 	living assistance.
300.29 	(d) The commissioner may grant a variance under section 245A.04, subdivision 9, 
300.30 	to requirements in this section.

300.31 	Sec. 14. Minnesota Statutes 2010, section 245A.66, subdivision 2, is amended to read:
300.32 		Subd. 2.Child care centers; risk reduction plan. (a) Child care centers licensed 
300.33 	under this chapter and Minnesota Rules, chapter 9503, must develop a risk reduction plan 
300.34 	that assesses identifies the general risks to children served by the child care center. The 
301.1 	license holder must establish procedures to minimize identified risks, train staff on the 
301.2 	procedures, and annually review the procedures.
301.3 	(b) The risk reduction plan must include an assessment of risk to children the 
301.4 	center serves or intends to serve and identify specific risks based on the outcome of the 
301.5 	assessment. The assessment of risk must be based on the following:
301.6 	(1) an assessment of the risk presented by the vulnerability of the children served, 
301.7 	including an evaluation of the following factors: age, developmental functioning, and the 
301.8 	physical and emotional health of children the program serves or intends to serve;
301.9 	(2) an assessment of the risks presented by the physical plant where the licensed 
301.10 	services are provided, including an evaluation of the following factors: the condition and 
301.11 	design of the facility and its outdoor space, bathrooms, storage areas, and accessibility 
301.12 	of medications and cleaning products that are harmful to children when children are not 
301.13 	supervised, doors where finger pinching may occur, and the existence of areas that are 
301.14 	difficult to supervise; and
301.15 	(3) (2) an assessment of the risks presented by the environment for each facility and 
301.16 	for each site, including an evaluation of the following factors: the type of grounds and 
301.17 	terrain surrounding the building and the proximity to hazards, busy roads, and publicly 
301.18 	accessed businesses.
301.19 	(c) The risk reduction plan must include a statement of measures that will be 
301.20 	taken to minimize the risk of harm presented to children for each risk identified in the 
301.21 	assessment required under paragraph (b) related to the physical plant and environment. At 
301.22 	a minimum, the risk reduction plan stated measures must address the following: include
301.23 	(1) a general description of supervision, programming, and the development and 
301.24 	implementation of specific policies and procedures or reference to the existing policies 
301.25 	and procedures developed and implemented to address that minimize the risks identified 
301.26 	in the assessment required under paragraph (b) related to the general population served, 
301.27 	the physical plant, and environment;.
301.28 	(2) (d) In addition to any program-specific risks identified in paragraph (b), the plan 
301.29 	must include development and implementation of specific policies and procedures or refer 
301.30 	to existing policies and procedures developed and implemented to that minimize the risk 
301.31 	of harm or injury to children, including:
301.32 	(i)(1) closing children's fingers in doors, including cabinet doors;
301.33 	(ii)(2) leaving children in the community without supervision;
301.34 	(iii)(3) children leaving the facility without supervision;
301.35 	(iv)(4) caregiver dislocation of children's elbows;
302.1 	(v)(5) burns from hot food or beverages, whether served to children or being 
302.2 	consumed by caregivers, and the devices used to warm food and beverages;
302.3 	(vi)(6) injuries from equipment, such as scissors and glue guns;
302.4 	(vii)(7) sunburn;
302.5 	(viii)(8) feeding children foods to which they are allergic;
302.6 	(ix) (9) children falling from changing tables; and
302.7 	(x) (10)  children accessing dangerous items or chemicals or coming into contact 
302.8 	with residue from harmful cleaning products; and.
302.9 	(3) (e) The plan shall prohibit the accessibility of hazardous items to children.
302.10 	(f) The plan must include specific policies and procedures to ensure adequate 
302.11 	supervision of children at all times as defined under section 245A.02, subdivision 18, with 
302.12 	particular emphasis on:
302.13 	(1) times when children are transitioned from one area within the facility to another;
302.14 	(2) nap-time supervision, including infant crib rooms as specified under section 
302.15 	245A.02, subdivision 18, which requires that when an infant is placed in a crib to sleep, 
302.16 	supervision occurs when a staff person is within sight or hearing of the infant. When 
302.17 	supervision of a crib room is provided by sight or hearing, the center must have a plan to 
302.18 	address the other supervision components;
302.19 	(3) child drop-off and pick-up times;
302.20 	(4) supervision during outdoor play and on community activities, including but not 
302.21 	limited to field trips and neighborhood walks; and
302.22 	(5) supervision of children in hallways.

302.23 	Sec. 15. Minnesota Statutes 2010, section 245A.66, subdivision 3, is amended to read:
302.24 		Subd. 3.Orientation to risk reduction plan and annual review of plan. (a) The 
302.25 	license holder shall ensure that all mandated reporters, as defined in section 626.556, 
302.26 	subdivision 3, who are under the control of the license holder, receive an orientation to 
302.27 	the risk reduction plan prior to first providing unsupervised direct contact services, as 
302.28 	defined in section 245C.02, subdivision 11, to children, not to exceed 14 days from the 
302.29 	first supervised direct contact, and annually thereafter. The license holder must document 
302.30 	the orientation to the risk reduction plan in the mandated reporter's personnel records.
302.31 	(b) The license holder must review the risk reduction plan annually and document 
302.32 	the annual review. When conducting the review, the license holder must consider incidents 
302.33 	that have occurred in the center since the last review, including:
302.34 	(1) the assessment factors in the plan;
302.35 	(2) the internal reviews conducted under this section, if any;
303.1 	(3) substantiated maltreatment findings, if any; and
303.2 	(4) incidents that caused injury or harm to a child, if any, that occurred since the 
303.3 	last review.
303.4 	Following any change to the risk reduction plan, the license holder must inform mandated 
303.5 	reporters, under the control of the license holder, of the changes in the risk reduction plan, 
303.6 	and document that the mandated reporters were informed of the changes.

303.7 	Sec. 16. Minnesota Statutes 2010, section 245C.03, subdivision 1, is amended to read:
303.8 		Subdivision 1.Licensed programs. (a) The commissioner shall conduct a 
303.9 	background study on:
303.10 	(1) the person or persons applying for a license;
303.11 	(2) an individual age 13 and over living in the household where the licensed program 
303.12 	will be provided who is not receiving licensed services from the program;
303.13 	(3) current or prospective employees or contractors of the applicant who will have 
303.14 	direct contact with persons served by the facility, agency, or program;
303.15 	(4) volunteers or student volunteers who will have direct contact with persons served 
303.16 	by the program to provide program services if the contact is not under the continuous, 
303.17 	direct supervision by an individual listed in clause (1) or (3);
303.18 	(5) an individual age ten to 12 living in the household where the licensed services 
303.19 	will be provided when the commissioner has reasonable cause;
303.20 	(6) an individual who, without providing direct contact services at a licensed 
303.21 	program, may have unsupervised access to children or vulnerable adults receiving services 
303.22 	from a program, when the commissioner has reasonable cause; and
303.23 	(7) all managerial officials as defined under section 245A.02, subdivision 5a.
303.24 	(b) For family child foster care settings, a short-term substitute caregiver providing 
303.25 	direct contact services for a child for less than 72 hours of continuous care is not required 
303.26 	to receive a background study under this chapter.

303.27 	Sec. 17. Minnesota Statutes 2010, section 245C.04, subdivision 1, is amended to read:
303.28 		Subdivision 1.Licensed programs. (a) The commissioner shall conduct a 
303.29 	background study of an individual required to be studied under section 245C.03, 
303.30 	subdivision 1, at least upon application for initial license for all license types.
303.31 	(b) The commissioner shall conduct a background study of an individual required 
303.32 	to be studied under section 245C.03, subdivision 1, at reapplication for a license for 
303.33 	family child care.
304.1 	(c) The commissioner is not required to conduct a study of an individual at the time 
304.2 	of reapplication for a license if the individual's background study was completed by the 
304.3 	commissioner of human services for an adult foster care license holder that is also:
304.4 	(1) registered under chapter 144D; or
304.5 	(2) licensed to provide home and community-based services to people with 
304.6 	disabilities at the foster care location and the license holder does not reside in the foster 
304.7 	care residence; and
304.8 	(3) the following conditions are met:
304.9 	(i) a study of the individual was conducted either at the time of initial licensure or 
304.10 	when the individual became affiliated with the license holder;
304.11 	(ii) the individual has been continuously affiliated with the license holder since 
304.12 	the last study was conducted; and
304.13 	(iii) the last study of the individual was conducted on or after October 1, 1995.
304.14 	(d) From July 1, 2007, to June 30, 2009, the commissioner of human services shall 
304.15 	conduct a study of an individual required to be studied under section 245C.03, at the 
304.16 	time of reapplication for a child foster care license. The county or private agency shall 
304.17 	collect and forward to the commissioner the information required under section 245C.05, 
304.18 	subdivisions 1, paragraphs (a) and (b), and 5, paragraphs (a) and (b). The background 
304.19 	study conducted by the commissioner of human services under this paragraph must 
304.20 	include a review of the information required under section 245C.08, subdivisions 1, 
304.21 	paragraph (a), clauses (1) to (5), 3, and 4.
304.22 	(e) The commissioner of human services shall conduct a background study of an 
304.23 	individual specified under section 245C.03, subdivision 1, paragraph (a), clauses (2) 
304.24 	to (6), who is newly affiliated with a child foster care license holder. The county or 
304.25 	private agency shall collect and forward to the commissioner the information required 
304.26 	under section 245C.05, subdivisions 1 and 5. The background study conducted by the 
304.27 	commissioner of human services under this paragraph must include a review of the 
304.28 	information required under section 245C.08, subdivisions 1, 3, and 4.
304.29 	(f) From January 1, 2010, to December 31, 2012, unless otherwise specified in 
304.30 	paragraph (c), the commissioner shall conduct a study of an individual required to 
304.31 	be studied under section 245C.03 at the time of reapplication for an adult foster care 
304.32 	or family adult day services license: (1) the county shall collect and forward to the 
304.33 	commissioner the information required under section 245C.05, subdivision 1, paragraphs 
304.34 	(a) and (b), and subdivision 5, paragraphs (a) and (b), for background studies conducted 
304.35 	by the commissioner for all family adult day services and for adult foster care when 
304.36 	the adult foster care license holder resides in the adult foster care or family adult day 
305.1 	services residence; (2) the license holder shall collect and forward to the commissioner 
305.2 	the information required under section 245C.05, subdivisions 1, paragraphs (a) and (b); 
305.3 	and 5, paragraphs (a) and (b), for background studies conducted by the commissioner for 
305.4 	adult foster care when the license holder does not reside in the adult foster care residence; 
305.5 	and (3) the background study conducted by the commissioner under this paragraph must 
305.6 	include a review of the information required under section 245C.08, subdivision 1, 
305.7 	paragraph (a), clauses (1) to (5), and subdivisions 3 and 4.
305.8 	(g) The commissioner shall conduct a background study of an individual specified 
305.9 	under section 245C.03, subdivision 1, paragraph (a), clauses (2) to (6), who is newly 
305.10 	affiliated with an adult foster care or family adult day services license holder: (1) the 
305.11 	county shall collect and forward to the commissioner the information required under 
305.12 	section 245C.05, subdivision 1, paragraphs (a) and (b), and subdivision 5, paragraphs (a) 
305.13 	and (b), for background studies conducted by the commissioner for all family adult day 
305.14 	services and for adult foster care when the adult foster care license holder resides in 
305.15 	the adult foster care residence; (2) the license holder shall collect and forward to the 
305.16 	commissioner the information required under section 245C.05, subdivisions 1, paragraphs 
305.17 	(a) and (b); and 5, paragraphs (a) and (b), for background studies conducted by the 
305.18 	commissioner for adult foster care when the license holder does not reside in the adult 
305.19 	foster care residence; and (3) the background study conducted by the commissioner under 
305.20 	this paragraph must include a review of the information required under section 245C.08, 
305.21 	subdivision 1, paragraph (a), and subdivisions 3 and 4.
305.22 	(h) Applicants for licensure, license holders, and other entities as provided in this 
305.23 	chapter must submit completed background study forms to the commissioner before 
305.24 	individuals specified in section 245C.03, subdivision 1, begin positions allowing direct 
305.25 	contact in any licensed program.
305.26 	(i) A license holder must provide the commissioner notice initiate a new background 
305.27 	study through the commissioner's online background study system or through a letter 
305.28 	mailed to the commissioner when:
305.29 	(1) an individual returns to a position requiring a background study following an 
305.30 	absence of 45 90 or more consecutive days; or
305.31 	(2) a program that discontinued providing licensed direct contact services for 45 90
305.32 	or more consecutive days begins to provide direct contact licensed services again.
305.33 	The license holder shall maintain a copy of the notification provided to 
305.34 	the commissioner under this paragraph in the program's files. If the individual's 
305.35 	disqualification was previously set aside for the license holder's program and the new 
305.36 	background study results in no new information that indicates the individual may pose a 
306.1 	risk of harm to persons receiving services from the license holder, the previous set-aside 
306.2 	shall remain in effect.
306.3 	(j) For purposes of this section, a physician licensed under chapter 147 is considered 
306.4 	to be continuously affiliated upon the license holder's receipt from the commissioner of 
306.5 	health or human services of the physician's background study results.
306.6 	(k) For purposes of family child care, a substitute caregiver must receive repeat 
306.7 	background studies at the time of each license renewal.

306.8 	Sec. 18. Minnesota Statutes 2010, section 245C.05, subdivision 2, is amended to read:
306.9 		Subd. 2.Applicant, license holder, or other entity. The applicant, license holder, 
306.10 	or other entities as provided in this chapter shall provide verify that the information 
306.11 	collected under subdivision 1 about an individual who is the subject of the background 
306.12 	study is correct and must provide the information on forms or in a format prescribed by 
306.13 	the commissioner.

306.14 	Sec. 19. Minnesota Statutes 2010, section 245C.05, is amended by adding a 
306.15 	subdivision to read:
306.16 		Subd. 2c.Privacy notice to background study subject. (a) For every background 
306.17 	study, the commissioner's notice to the background study subject required under 
306.18 	section 13.04, subdivision 2, that is provided through the commissioner's electronic 
306.19 	NETStudy system or through the commissioner's background study forms shall include 
306.20 	the information in paragraph (b).
306.21 	(b) The background study subject shall be informed that any previous background 
306.22 	studies that received a set-aside will be reviewed, and without further contact with the 
306.23 	background study subject, the commissioner may notify the agency that initiated the 
306.24 	subsequent background study:
306.25 	(1) that the individual has a disqualification that has been set aside for the program 
306.26 	or agency that initiated the study;
306.27 	(2) the reason for the disqualification; and
306.28 	(3) information about the decision to set aside the disqualification will be available 
306.29 	to the license holder upon request without the consent of the background study subject.

306.30 	Sec. 20. Minnesota Statutes 2010, section 245C.05, subdivision 4, is amended to read:
306.31 		Subd. 4.Electronic transmission. (a) For background studies conducted by the 
306.32 	Department of Human Services, the commissioner shall implement a system for the 
306.33 	electronic transmission of:
307.1 	(1) background study information to the commissioner;
307.2 	(2) background study results to the license holder;
307.3 	(3) background study results to county and private agencies for background studies 
307.4 	conducted by the commissioner for child foster care; and
307.5 	(4) background study results to county agencies for background studies conducted 
307.6 	by the commissioner for adult foster care and family adult day services.
307.7 	(b) Unless the commissioner has granted a hardship variance under paragraph (c), a 
307.8 	license holder or an applicant must use the electronic transmission system known as 
307.9 	NETStudy to submit all requests for background studies to the commissioner as required 
307.10 	by this chapter.
307.11 	(c) A license holder or applicant whose program is located in an area in which 
307.12 	high-speed Internet is inaccessible may request the commissioner to grant a variance to 
307.13 	the electronic transmission requirement.

307.14 	Sec. 21. Minnesota Statutes 2010, section 245C.05, subdivision 7, is amended to read:
307.15 		Subd. 7.Probation officer and corrections agent. (a) A probation officer or 
307.16 	corrections agent shall notify the commissioner of an individual's conviction if the 
307.17 	individual is:
307.18 	(1) has been affiliated with a program or facility regulated by the Department of 
307.19 	Human Services or Department of Health, a facility serving children or youth licensed by 
307.20 	the Department of Corrections, or any type of home care agency or provider of personal 
307.21 	care assistance services within the preceding year; and
307.22 	(2) has been convicted of a crime constituting a disqualification under section 
307.23 	245C.14.
307.24 	(b) For the purpose of this subdivision, "conviction" has the meaning given it 
307.25 	in section 609.02, subdivision 5.
307.26 	(c) The commissioner, in consultation with the commissioner of corrections, shall 
307.27 	develop forms and information necessary to implement this subdivision and shall provide 
307.28 	the forms and information to the commissioner of corrections for distribution to local 
307.29 	probation officers and corrections agents.
307.30 	(d) The commissioner shall inform individuals subject to a background study that 
307.31 	criminal convictions for disqualifying crimes will be reported to the commissioner by the 
307.32 	corrections system.
307.33 	(e) A probation officer, corrections agent, or corrections agency is not civilly or 
307.34 	criminally liable for disclosing or failing to disclose the information required by this 
307.35 	subdivision.
308.1 	(f) Upon receipt of disqualifying information, the commissioner shall provide the 
308.2 	notice required under section 245C.17, as appropriate, to agencies on record as having 
308.3 	initiated a background study or making a request for documentation of the background 
308.4 	study status of the individual.
308.5 	(g) This subdivision does not apply to family child care programs.

308.6 	Sec. 22. Minnesota Statutes 2010, section 245C.07, is amended to read:
308.7 	245C.07 STUDY SUBJECT AFFILIATED WITH MULTIPLE FACILITIES.
308.8 	(a) Except for child foster care and adoption agencies, Subject to the conditions in 
308.9 	paragraph (d), when a license holder, applicant, or other entity owns multiple programs or 
308.10 	services that are licensed by the Department of Human Services, Department of Health, or 
308.11 	Department of Corrections, only one background study is required for an individual who 
308.12 	provides direct contact services in one or more of the licensed programs or services if:
308.13 	(1) the license holder designates one individual with one address and telephone 
308.14 	number as the person to receive sensitive background study information for the multiple 
308.15 	licensed programs or services that depend on the same background study; and
308.16 	(2) the individual designated to receive the sensitive background study information 
308.17 	is capable of determining, upon request of the department, whether a background study 
308.18 	subject is providing direct contact services in one or more of the license holder's programs 
308.19 	or services and, if so, at which location or locations.
308.20 	(b) When a license holder maintains background study compliance for multiple 
308.21 	licensed programs according to paragraph (a), and one or more of the licensed programs 
308.22 	closes, the license holder shall immediately notify the commissioner which staff must be 
308.23 	transferred to an active license so that the background studies can be electronically paired 
308.24 	with the license holder's active program.
308.25 	(c) When a background study is being initiated by a licensed program or service or a 
308.26 	foster care provider that is also registered under chapter 144D, a study subject affiliated 
308.27 	with multiple licensed programs or services may attach to the background study form a 
308.28 	cover letter indicating the additional names of the programs or services, addresses, and 
308.29 	background study identification numbers.
308.30 	When the commissioner receives a notice, the commissioner shall notify each 
308.31 	program or service identified by the background study subject of the study results.
308.32 	The background study notice the commissioner sends to the subsequent agencies 
308.33 	shall satisfy those programs' or services' responsibilities for initiating a background study 
308.34 	on that individual.
309.1 	(d) If a background study was conducted on an individual related to child foster care 
309.2 	and the requirements under paragraph (a) are met, the background study is transferable 
309.3 	across all licensed programs. If a background study was conducted on an individual under 
309.4 	a license other than child foster care and the requirements under paragraph (a) are met, the 
309.5 	background study is transferable to all licensed programs except child foster care.
309.6 	(e) The provisions of this section that allow a single background study in one 
309.7 	or more licensed programs or services do not apply to background studies submitted 
309.8 	by adoption agencies, supplemental nursing services agencies, personnel agencies, 
309.9 	educational programs, professional services agencies, and unlicensed personal care 
309.10 	provider organizations.

309.11 	Sec. 23. Minnesota Statutes 2010, section 245C.16, subdivision 1, is amended to read:
309.12 		Subdivision 1.Determining immediate risk of harm. (a) If the commissioner 
309.13 	determines that the individual studied has a disqualifying characteristic, the commissioner 
309.14 	shall review the information immediately available and make a determination as to the 
309.15 	subject's immediate risk of harm to persons served by the program where the individual 
309.16 	studied will have direct contact with, or access to, people receiving services.
309.17 	(b) The commissioner shall consider all relevant information available, including the 
309.18 	following factors in determining the immediate risk of harm:
309.19 	(1) the recency of the disqualifying characteristic;
309.20 	(2) the recency of discharge from probation for the crimes;
309.21 	(3) the number of disqualifying characteristics;
309.22 	(4) the intrusiveness or violence of the disqualifying characteristic;
309.23 	(5) the vulnerability of the victim involved in the disqualifying characteristic;
309.24 	(6) the similarity of the victim to the persons served by the program where the 
309.25 	individual studied will have direct contact;
309.26 	(7) whether the individual has a disqualification from a previous background study 
309.27 	that has not been set aside; and
309.28 	(8) if the individual has a disqualification which may not be set aside because it is 
309.29 	a permanent bar under section 245C.24, subdivision 1, the commissioner may order the 
309.30 	immediate removal of the individual from any position allowing direct contact with, or 
309.31 	access to, persons receiving services from the program.
309.32 	(c) This section does not apply when the subject of a background study is regulated 
309.33 	by a health-related licensing board as defined in chapter 214, and the subject is determined 
309.34 	to be responsible for substantiated maltreatment under section 626.556 or 626.557.
310.1 	(d) This section does not apply to a background study related to an initial application 
310.2 	for a child foster care license.
310.3 	(e) This section does not apply to a background study that is also subject to the 
310.4 	requirements under section 256B.0659, subdivisions 11 and 13, for a personal care 
310.5 	assistant or a qualified professional as defined in section 256B.0659, subdivision 1.
310.6 	(e) (f) If the commissioner has reason to believe, based on arrest information or an 
310.7 	active maltreatment investigation, that an individual poses an imminent risk of harm to 
310.8 	persons receiving services, the commissioner may order that the person be continuously 
310.9 	supervised or immediately removed pending the conclusion of the maltreatment 
310.10 	investigation or criminal proceedings.

310.11 	Sec. 24. Minnesota Statutes 2010, section 245C.17, subdivision 2, is amended to read:
310.12 		Subd. 2.Disqualification notice sent to subject. (a) If the information in the study 
310.13 	indicates the individual is disqualified from direct contact with, or from access to, persons 
310.14 	served by the program, the commissioner shall disclose to the individual studied:
310.15 	(1) the information causing disqualification;
310.16 	(2) instructions on how to request a reconsideration of the disqualification;
310.17 	(3) an explanation of any restrictions on the commissioner's discretion to set aside 
310.18 	the disqualification under section 245C.24, when applicable to the individual;
310.19 	(4) a statement that, if the individual's disqualification is set aside under section 
310.20 	245C.22, the applicant, license holder, or other entity that initiated the background study 
310.21 	will be provided with the reason for the individual's disqualification and an explanation 
310.22 	that the factors under section 245C.22, subdivision 4, which were the basis of the decision 
310.23 	to set aside the disqualification shall be made available to the license holder upon request 
310.24 	without the consent of the subject of the background study;
310.25 	(4) (5) a statement indicating that if the individual's disqualification is set aside or 
310.26 	the facility is granted a variance under section 245C.30, the individual's identity and the 
310.27 	reason for the individual's disqualification will become public data under section 245C.22, 
310.28 	subdivision 7, when applicable to the individual; and
310.29 	(6) a statement that when a subsequent background study is initiated on the 
310.30 	individual following a set-aside of the individual's disqualification, and the commissioner 
310.31 	makes a determination under section 245C.22, subdivision 5, paragraph (b), that the 
310.32 	previous set-aside applies to the subsequent background study, the applicant, license 
310.33 	holder, or other entity that initiated the background study will be informed in the notice 
310.34 	under section 245C.22, subdivision 5, paragraph (c):
310.35 	(i) of the reason for the individual's disqualification;
311.1 	(ii) that the individual's disqualification is set aside for that program or agency; and
311.2 	(iii) that information about the factors under section 245C.22, subdivision 4, that 
311.3 	were the basis of the decision to set aside the disqualification are available to the license 
311.4 	holder upon request without the consent of the background study subject; and
311.5 	(5) (7) the commissioner's determination of the individual's immediate risk of harm 
311.6 	under section 245C.16.
311.7 	(b) If the commissioner determines under section 245C.16 that an individual poses 
311.8 	an imminent risk of harm to persons served by the program where the individual will have 
311.9 	direct contact with, or access to, people receiving services, the commissioner's notice must 
311.10 	include an explanation of the basis of this determination.
311.11 	(c) If the commissioner determines under section 245C.16 that an individual studied 
311.12 	does not pose a risk of harm that requires immediate removal, the individual shall be 
311.13 	informed of the conditions under which the agency that initiated the background study 
311.14 	may allow the individual to have direct contact with, or access to, people receiving 
311.15 	services, as provided under subdivision 3.

311.16 	Sec. 25. Minnesota Statutes 2010, section 245C.22, subdivision 5, is amended to read:
311.17 		Subd. 5.Scope of set-aside. (a) If the commissioner sets aside a disqualification 
311.18 	under this section, the disqualified individual remains disqualified, but may hold a license 
311.19 	and have direct contact with or access to persons receiving services.  Except as provided 
311.20 	in paragraph (b), the commissioner's set-aside of a disqualification is limited solely 
311.21 	to the licensed program, applicant, or agency specified in the set aside notice under 
311.22 	section 245C.23, unless otherwise specified in the notice. For personal care provider 
311.23 	organizations, the commissioner's set-aside may further be limited to a specific individual 
311.24 	who is receiving services. For new background studies required under section 245C.04, 
311.25 	subdivision 1, paragraph (i), if an individual's disqualification was previously set aside for 
311.26 	the license holder's program and the new background study results in no new information 
311.27 	that indicates the individual may pose a risk of harm to persons receiving services from 
311.28 	the license holder, the previous set-aside shall remain in effect.
311.29 	(b) If the commissioner has previously set aside an individual's disqualification 
311.30 	for one or more programs or agencies, and the individual is the subject of a subsequent 
311.31 	background study for a different program or agency, the commissioner shall determine 
311.32 	whether the disqualification is set aside for the program or agency that initiated the 
311.33 	subsequent background study. A notice of a set-aside under paragraph (c) shall be issued 
311.34 	within 15 working days if all of the following criteria are met:
312.1 	(1) the subsequent background study was initiated in connection with a program 
312.2 	licensed or regulated under the same provisions of law and rule for at least one program 
312.3 	for which the individual's disqualification was previously set aside by the commissioner;
312.4 	(2) the individual is not disqualified for an offense specified in section 245C.15, 
312.5 	subdivision 1 or 2;
312.6 	(3) the commissioner has received no new information to indicate that the individual 
312.7 	may pose a risk of harm to any person served by the program; and
312.8 	(4) the previous set-aside was not limited to a specific person receiving services.
312.9 	(c) When a disqualification is set aside under paragraph (b), the notice of background 
312.10 	study results issued under section 245C.17, in addition to the requirements under section 
312.11 	245C.17, shall state that the disqualification is set aside for the program or agency that 
312.12 	initiated the subsequent background study. The notice must inform the individual that the 
312.13 	individual may request reconsideration of the disqualification under section 245C.21 on 
312.14 	the basis that the information used to disqualify the individual is incorrect.

312.15 	Sec. 26. Minnesota Statutes 2010, section 471.709, is amended to read:
312.16 	471.709 LICENSE; PERMIT.
312.17 	Notwithstanding any law to the contrary, a municipality shall not require a massage 
312.18 	therapist to obtain a license or permit when the therapist is working for or an employee of
312.19 	is hired or employed by, and exclusively provides treatment on the premises of, a medical 
312.20 	professional licensed under chapter 147 or 148 or a dental professional licensed under 
312.21 	chapter 150A. A massage therapist is not limited to providing treatment to patients of the 
312.22 	medical or dental professional.

312.23 	Sec. 27. REVISOR'S INSTRUCTION.
 312.24 	The revisor shall renumber Minnesota Statutes, section 245B.05, subdivision 4, as 
312.25 	Minnesota Statutes, section 245A.04, subdivision 2a. The revisor shall make necessary 
312.26 	cross-reference changes to effectuate this renumbering.

312.27 	ARTICLE 17
312.28 	PROGRAM INTEGRITY

312.29 	Section 1. Minnesota Statutes 2010, section 245A.04, subdivision 1, is amended to 
312.30 	read:
312.31 		Subdivision 1.Application for licensure. (a) An individual, corporation, 
312.32 	partnership, voluntary association, other organization or controlling individual that is 
313.1 	subject to licensure under section 245A.03 must apply for a license. The application 
313.2 	must be made on the forms and in the manner prescribed by the commissioner. The 
313.3 	commissioner shall provide the applicant with instruction in completing the application 
313.4 	and provide information about the rules and requirements of other state agencies that affect 
313.5 	the applicant. An applicant seeking licensure in Minnesota with headquarters outside of 
313.6 	Minnesota must have a program office located within the state.
313.7 	The commissioner shall act on the application within 90 working days after a 
313.8 	complete application and any required reports have been received from other state 
313.9 	agencies or departments, counties, municipalities, or other political subdivisions. The 
313.10 	commissioner shall not consider an application to be complete until the commissioner 
313.11 	receives all of the information required under section 245C.05.
313.12 	(b) An application for licensure must specify one or more controlling individuals as 
313.13 	an agent who is responsible for dealing with the commissioner of human services on all 
313.14 	matters provided for in this chapter and on whom service of all notices and orders must be 
313.15 	made. The agent must be authorized to accept service on behalf of all of the controlling 
313.16 	individuals of the program. Service on the agent is service on all of the controlling 
313.17 	individuals of the program. It is not a defense to any action arising under this chapter that 
313.18 	service was not made on each controlling individual of the program. The designation of 
313.19 	one or more controlling individuals as agents under this paragraph does not affect the legal 
313.20 	responsibility of any other controlling individual under this chapter.
313.21 	(c) An applicant or license holder must have a policy that prohibits license holders, 
313.22 	employees, subcontractors, and volunteers, when directly responsible for persons served 
313.23 	by the program, from abusing prescription medication or being in any manner under 
313.24 	the influence of a chemical that impairs the individual's ability to provide services or 
313.25 	care. The license holder must train employees, subcontractors, and volunteers about the 
313.26 	program's drug and alcohol policy.
313.27 	(d) An applicant and license holder must have a program grievance procedure that 
313.28 	permits persons served by the program and their authorized representatives to bring a 
313.29 	grievance to the highest level of authority in the program.
313.30 	(e) At the time of application for licensure or renewal of a license, the applicant 
313.31 	or license holder must acknowledge on the form provided by the commissioner if the 
313.32 	applicant or license holder elects to receive any public funding reimbursement from the 
313.33 	commissioner for services provided under the license that:
313.34 	(1) the applicant's or license holder's compliance with the provider enrollment 
313.35 	agreement or registration requirements for receipt of public funding may be monitored by 
313.36 	the commissioner as part of a licensing investigation or licensing inspection; and
314.1 	(2) noncompliance with the provider enrollment agreement or registration 
314.2 	requirements for receipt of public funding that is identified through a licensing 
314.3 	investigation or licensing inspection, or noncompliance with a licensing requirement that 
314.4 	is a basis of enrollment for reimbursement for a service, may result in:
314.5 	(i) a correction order or a conditional license under section 245A.06, or sanctions 
314.6 	under section 245A.07;
314.7 	(ii) nonpayment of claims submitted by the license holder for public program 
314.8 	reimbursement;
314.9 	(iii) recovery of payments made for the service;
314.10 	(iv) disenrollment in the public payment program; or
314.11 	(v) other administrative, civil, or criminal penalties as provided by law.

314.12 	Sec. 2. Minnesota Statutes 2010, section 245A.14, is amended by adding a subdivision 
314.13 	to read:
314.14 		Subd. 14.Attendance records for publicly funded services. (a) A child care 
314.15 	center licensed under this chapter and according to Minnesota Rules, chapter 9503, must 
314.16 	maintain documentation of actual attendance for each child receiving care for which the 
314.17 	license holder is reimbursed by a governmental program. The records must be accessible 
314.18 	to the commissioner during the program's hours of operation, they must be completed on 
314.19 	the actual day of attendance, and they must include:
314.20 	(1) the first and last name of the child;
314.21 	(2) the time of day that the child was dropped off; and
314.22 	(3) the time of day that the child was picked up.
314.23 	(b) A family child care provider licensed under this chapter and according to 
314.24 	Minnesota Rules, chapter 9502, must maintain documentation of actual attendance for 
314.25 	each child receiving care for which the license holder is reimbursed by a governmental 
314.26 	program. The records must be accessible to the commissioner during the program's 
314.27 	hours of operation, they must be completed on the actual day of attendance, and they 
314.28 	must include:
314.29 	(1) the first and last name of the child;
314.30 	(2) the time of day that the child was dropped off; and
314.31 	(3) the time of day that the child was picked up.
314.32 	(c) An adult day services program licensed under this chapter and according to 
314.33 	Minnesota Rules, parts 9555.5105 to 9555.6265, must maintain documentation of actual 
314.34 	attendance for each adult day service recipient for which the license holder is reimbursed 
314.35 	by a governmental program. The records must be accessible to the commissioner during 
315.1 	the program's hours of operation, they must be completed on the actual day of attendance, 
315.2 	and they must include:
315.3 	(1) the first, middle, and last name of the recipient;
315.4 	(2) the time of day that the recipient was dropped off; and
315.5 	(3) the time of day that the recipient was picked up.
315.6 	(d) The commissioner shall not issue a correction for attendance record errors that 
315.7 	occur before August 1, 2013.

315.8 	Sec. 3. [245A.167] PUBLIC FUNDS PROGRAM INTEGRITY MONITORING.
315.9 	(a) An applicant or a license holder that has enrolled to receive public funding 
315.10 	reimbursement for services is required to comply with the registration or enrollment 
315.11 	requirements as licensing standards.
315.12 	(b) Compliance with the licensing standards established under paragraph (a) may 
315.13 	be monitored during a licensing investigation or inspection. Noncompliance with these 
315.14 	licensure standards may result in:
315.15 	(i) a correction order or a conditional license under section 245A.06, or sanctions 
315.16 	under section 245A.07;
315.17 	(ii) nonpayment of claims submitted by the license holder for public program 
315.18 	reimbursement according to the statute applicable to that program;
315.19 	(iii) recovery of payments made for the service according to the statute applicable to 
315.20 	that program;
315.21 	(iv) disenrollment in the public payment program according to the statute applicable 
315.22 	to that program; or
315.23 	(v) a referral for other administrative, civil, or criminal penalties as provided by law.

315.24 	Sec. 4. Minnesota Statutes 2011 Supplement, section 256B.04, subdivision 21, is 
315.25 	amended to read:
315.26 		Subd. 21.Provider enrollment. (a) If the commissioner or the Centers for 
315.27 	Medicare and Medicaid Services determines that a provider is designated "high-risk," the 
315.28 	commissioner may withhold payment from providers within that category upon initial 
315.29 	enrollment for a 90-day period. The withholding for each provider must begin on the date 
315.30 	of the first submission of a claim.
315.31 	(b) An enrolled provider that is also licensed by the commissioner under chapter 
315.32 	245A must designate an individual as the entity's compliance officer. The compliance 
315.33 	officer must:
316.1 	(1) develop policies and procedures to assure adherence to medical assistance laws 
316.2 	and regulations and to prevent inappropriate claims submissions;
316.3 	(2) train the employees of the provider entity, and any agents or subcontractors of 
316.4 	the provider entity including billers, on the policies and procedures under clause (1);
316.5 	(3) respond to allegations of improper conduct related to the provision or billing of 
316.6 	medical assistance services, and implement action to remediate any resulting problems;
316.7 	(4) use evaluation techniques to monitor compliance with medical assistance laws 
316.8 	and regulations;
316.9 	(5) promptly report to the commissioner any identified violations of medical 
316.10 	assistance laws or regulations; and
316.11 	(6) within 60 days of discovery by the provider of a medical assistance 
316.12 	reimbursement overpayment, report the overpayment to the commissioner and make 
316.13 	arrangements with the commissioner for the commissioner's recovery of the overpayment.
316.14 	The commissioner may require, as a condition of enrollment in medical assistance, that a 
316.15 	provider within a particular industry sector or category establish a compliance program that 
316.16 	contains the core elements established by the Centers for Medicare and Medicaid Services.
316.17 	(c) The commissioner may revoke the enrollment of an ordering or rendering 
316.18 	provider for a period of not more than one year, if the provider fails to maintain and, upon 
316.19 	request from the commissioner, provide access to documentation relating to written orders 
316.20 	or requests for payment for durable medical equipment, certifications for home health 
316.21 	services, or referrals for other items or services written or ordered by such provider, when 
316.22 	the commissioner has identified a pattern of a lack of documentation. A pattern means a 
316.23 	failure to maintain documentation or provide access to documentation on more than one 
316.24 	occasion. Nothing in this paragraph limits the authority of the commissioner to sanction a 
316.25 	provider under the provisions of section 256B.064.
316.26 	(d) The commissioner shall terminate or deny the enrollment of any individual or 
316.27 	entity if the individual or entity has been terminated from participation in Medicare or 
316.28 	under the Medicaid program or Children's Health Insurance Program of any other state.
316.29 	(e) As a condition of enrollment in medical assistance, the commissioner shall 
316.30 	require that a provider designated "moderate" or "high-risk" by the Centers for Medicare 
316.31 	and Medicaid Services or the Minnesota Department of Human Services permit the 
316.32 	Centers for Medicare and Medicaid Services, its agents, or its designated contractors and 
316.33 	the state agency, its agents, or its designated contractors to conduct unannounced on-site 
316.34 	inspections of any provider location.
316.35 	(f) As a condition of enrollment in medical assistance, the commissioner shall 
316.36 	require that a high-risk provider, or a person with a direct or indirect ownership interest in 
317.1 	the provider of five percent or higher, consent to criminal background checks, including 
317.2 	fingerprinting, when required to do so under state law or by a determination by the 
317.3 	commissioner or the Centers for Medicare and Medicaid Services that a provider is 
317.4 	designated high-risk for fraud, waste, or abuse.

317.5 	ARTICLE 18
317.6 	STATEWIDE PROVIDER ENROLLMENT, PERFORMANCE STANDARDS, 
317.7 	AND PAYMENT METHODOLOGY DEVELOPMENT

317.8 	Section 1. Minnesota Statutes 2010, section 245A.03, subdivision 2, is amended to 
317.9 	read:
317.10 		Subd. 2.Exclusion from licensure. (a) This chapter does not apply to:
317.11 	(1) residential or nonresidential programs that are provided to a person by an 
317.12 	individual who is related unless the residential program is a child foster care placement 
317.13 	made by a local social services agency or a licensed child-placing agency, except as 
317.14 	provided in subdivision 2a;
317.15 	(2) nonresidential programs that are provided by an unrelated individual to persons 
317.16 	from a single related family;
317.17 	(3) residential or nonresidential programs that are provided to adults who do 
317.18 	not abuse chemicals or who do not have a chemical dependency, a mental illness, a 
317.19 	developmental disability, a functional impairment, or a physical disability;
317.20 	(4) sheltered workshops or work activity programs that are certified by the 
317.21 	commissioner of employment and economic development;
317.22 	(5) programs operated by a public school for children 33 months or older;
317.23 	(6) nonresidential programs primarily for children that provide care or supervision 
317.24 	for periods of less than three hours a day while the child's parent or legal guardian is in 
317.25 	the same building as the nonresidential program or present within another building that is 
317.26 	directly contiguous to the building in which the nonresidential program is located;
317.27 	(7) nursing homes or hospitals licensed by the commissioner of health except as 
317.28 	specified under section 245A.02;
317.29 	(8) board and lodge facilities licensed by the commissioner of health that do not 
317.30 	provide children's residential services under Minnesota Rules, chapter 2960, mental health 
317.31 	or chemical dependency treatment;
317.32 	(9) homes providing programs for persons placed by a county or a licensed agency 
317.33 	for legal adoption, unless the adoption is not completed within two years;
317.34 	(10) programs licensed by the commissioner of corrections;
318.1 	(11) recreation programs for children or adults that are operated or approved by a 
318.2 	park and recreation board whose primary purpose is to provide social and recreational 
318.3 	activities;
318.4 	(12) programs operated by a school as defined in section 120A.22, subdivision 4; 
318.5 	YMCA as defined in section 315.44; YWCA as defined in section 315.44; or JCC as 
318.6 	defined in section 315.51, whose primary purpose is to provide child care or services to 
318.7 	school-age children;
318.8 	(13) Head Start nonresidential programs which operate for less than 45 days in 
318.9 	each calendar year;
318.10 	(14) noncertified boarding care homes unless they provide services for five or more 
318.11 	persons whose primary diagnosis is mental illness or a developmental disability;
318.12 	(15) programs for children such as scouting, boys clubs, girls clubs, and sports and 
318.13 	art programs, and nonresidential programs for children provided for a cumulative total of 
318.14 	less than 30 days in any 12-month period;
318.15 	(16) residential programs for persons with mental illness, that are located in hospitals;
318.16 	(17) the religious instruction of school-age children; Sabbath or Sunday schools; or 
318.17 	the congregate care of children by a church, congregation, or religious society during the 
318.18 	period used by the church, congregation, or religious society for its regular worship;
318.19 	(18) camps licensed by the commissioner of health under Minnesota Rules, chapter 
318.20 	4630;
318.21 	(19) mental health outpatient services for adults with mental illness or children 
318.22 	with emotional disturbance;
318.23 	(20) residential programs serving school-age children whose sole purpose is cultural 
318.24 	or educational exchange, until the commissioner adopts appropriate rules;
318.25 	(21) unrelated individuals who provide out-of-home respite care services to persons 
318.26 	with developmental disabilities from a single related family for no more than 90 days in a 
318.27 	12-month period and the respite care services are for the temporary relief of the person's 
318.28 	family or legal representative;
318.29 	(22) respite care services provided as a home and community-based service to a 
318.30 	person with a developmental disability, in the person's primary residence;
318.31 	(23) (21) community support services programs as defined in section 245.462, 
318.32 	subdivision 6, and family community support services as defined in section 245.4871, 
318.33 	subdivision 17;
318.34 	(24) (22) the placement of a child by a birth parent or legal guardian in a preadoptive 
318.35 	home for purposes of adoption as authorized by section 259.47;
319.1 	(25) (23) settings registered under chapter 144D which provide home care services 
319.2 	licensed by the commissioner of health to fewer than seven adults;
319.3 	(26) (24) chemical dependency or substance abuse treatment activities of licensed 
319.4 	professionals in private practice as defined in Minnesota Rules, part 9530.6405, subpart 
319.5 	15, when the treatment activities are not paid for by the consolidated chemical dependency 
319.6 	treatment fund;
319.7 	(27) (25) consumer-directed community support service funded under the Medicaid 
319.8 	waiver for persons with developmental disabilities when the individual who provided 
319.9 	the service is:
319.10 	(i) the same individual who is the direct payee of these specific waiver funds or paid 
319.11 	by a fiscal agent, fiscal intermediary, or employer of record; and
319.12 	(ii) not otherwise under the control of a residential or nonresidential program that is 
319.13 	required to be licensed under this chapter when providing the service; or
319.14 	(28) (26) a program serving only children who are age 33 months or older, that is 
319.15 	operated by a nonpublic school, for no more than four hours per day per child, with no 
319.16 	more than 20 children at any one time, and that is accredited by:
319.17 	(i) an accrediting agency that is formally recognized by the commissioner of 
319.18 	education as a nonpublic school accrediting organization; or
319.19 	(ii) an accrediting agency that requires background studies and that receives and 
319.20 	investigates complaints about the services provided.
319.21 	A program that asserts its exemption from licensure under item (ii) shall, upon 
319.22 	request from the commissioner, provide the commissioner with documentation from the 
319.23 	accrediting agency that verifies: that the accreditation is current; that the accrediting 
319.24 	agency investigates complaints about services; and that the accrediting agency's standards 
319.25 	require background studies on all people providing direct contact services.
319.26 	(b) For purposes of paragraph (a), clause (6), a building is directly contiguous to a 
319.27 	building in which a nonresidential program is located if it shares a common wall with the 
319.28 	building in which the nonresidential program is located or is attached to that building by 
319.29 	skyway, tunnel, atrium, or common roof.
319.30 	(c) Except for the home and community-based services identified in section 
319.31 	245D.03, subdivision 1, nothing in this chapter shall be construed to require licensure for 
319.32 	any services provided and funded according to an approved federal waiver plan where 
319.33 	licensure is specifically identified as not being a condition for the services and funding.

319.34 	Sec. 2. Minnesota Statutes 2010, section 245A.041, is amended by adding a 
319.35 	subdivision to read:
320.1 		Subd. 3.Record retention; license holder requirements. (a) A license holder must 
320.2 	maintain and store records in a manner that will allow for review by the commissioner as 
320.3 	identified in section 245A.04, subdivision 5. The following records must be maintained as 
320.4 	specified and in accordance with applicable state or federal law, regulation, or rule:
320.5 	(1) service recipient records, including verification of service delivery, must be 
320.6 	maintained for a minimum of five years following discharge or termination of service;
320.7 	(2) personnel records must be maintained for a minimum of five years following 
320.8 	termination of employment; and
320.9 	(3) program administration and financial records must be maintained for a minimum 
320.10 	of five years from the date the program closes.
320.11 	(b) A license holder who ceases to provide services must maintain all records related 
320.12 	to the licensed program for five years from the date the program closes. The license holder 
320.13 	must notify the commissioner of the location where the licensing records will be stored 
320.14 	and the name of the person responsible for maintaining the stored records.
320.15 	(c) If the ownership of a licensed program or service changes, the transferor, unless 
320.16 	otherwise provided by law or written agreement with the transferee, is responsible for 
320.17 	maintaining, preserving, and making available to the commissioner on demand the license 
320.18 	records generated before the date of the transfer.
320.19 	(d) In the event of a contested case, the license holder must retain records as required 
320.20 	in paragraph (a) or until the final agency decision is issued and the conclusion of any 
320.21 	related appeal, whichever period is longer.

320.22 	Sec. 3. Minnesota Statutes 2010, section 245A.041, is amended by adding a 
320.23 	subdivision to read:
320.24 		Subd. 4.Electronic records; license holder use. A license holder's use of 
320.25 	electronic record keeping or electronic signatures must meet the following requirements:
320.26 	(1) use of electronic record keeping or electronic signatures does not alter the license 
320.27 	holder's obligations under state or federal law, regulation, or rule;
320.28 	(2) the license holder must ensure that the use of electronic record keeping does not 
320.29 	limit the commissioner's access to records as specified under section 245A.04, subdivision 
320.30 	5;
320.31 	(3) upon request, the license holder must assist the commissioner in accessing and 
320.32 	copying all records, including encrypted records and electronic signatures; and
320.33 	(4) the license holder must establish a mechanism or procedure to ensure that:
320.34 	(i) the act of creating the electronic record or signature is attributable to the license 
320.35 	holder, according to section 325L.09;
321.1 	(ii) the electronic records and signatures are maintained in a form capable of being 
321.2 	retained and accurately reproduced;
321.3 	(iii) the commissioner has access to information that establishes the date and time 
321.4 	that data and signatures were entered into the electronic record; and
321.5 	(iv) the license holder's use of electronic record keeping or electronic signatures does 
321.6 	not compromise the security of the records.

321.7 	Sec. 4. [245A.042] HOME AND COMMUNITY-BASED SERVICES; 
321.8 	ADDITIONAL STANDARDS AND PROCEDURES.
321.9 		Subdivision 1.Standards governing the provision of home and community-based 
321.10 	services.  Residential and nonresidential programs for persons with disabilities or 
321.11 	age 65 and older must obtain a license according to this chapter to provide home and 
321.12 	community-based services defined in the federal waiver plans governed by United States 
321.13 	Code, title 42, sections 1396 et seq., or the state's alternative care program according to 
321.14 	section 256B.0913, and identified in section 245D.03, subdivision 1. As a condition 
321.15 	of licensure, an applicant or license holder must demonstrate and maintain verification 
321.16 	of compliance with:
321.17 	(1) licensing requirements under this chapter and chapter 245D;
321.18 	(2) applicable health care program requirements under Minnesota Rules, parts 
321.19 	9505.0170 to 9505.0475 and 9505.2160 to 9505.2245; and
321.20 	(3) provider standards and qualifications identified in the federal waiver plans or the 
321.21 	alternative care program.
321.22 		Subd. 2.Modified application procedures. (a) Applicants seeking chapter 245D 
321.23 	licensure who meet the following criteria are subject to modified application procedures:
321.24 	(1) the applicant holds a chapter 245B license issued on or before December 31, 
321.25 	2012, at the time of application;
321.26 	(2) the applicant's chapter 245B license or licenses are in substantial compliance 
321.27 	according to the licensing standards in this chapter and chapter 245B; and
321.28 	(3) the commissioner has conducted at least one on-site inspection of the chapter 
321.29 	245B license or licenses within the two-year period before submitting the chapter 245D 
321.30 	license application.
321.31 	For purposes of this subdivision, substantial compliance means the commissioner 
321.32 	has not issued a sanction according to section 245A.07 against any chapter 245B license 
321.33 	held by the applicant or made the chapter 245B license or licenses conditional according 
321.34 	to section 245A.06 within the 12-month period before submitting the application for 
321.35 	chapter 245D licensure.
322.1 	(b) The modified application procedures mean the commissioner must accept 
322.2 	the applicant's attestation of compliance with certain requirements in lieu of providing 
322.3 	information to the commissioner for evaluation that is otherwise required when seeking 
322.4 	chapter 245D licensure.
322.5 		Subd. 3.Implementation. (a) The commissioner shall implement the 
322.6 	responsibilities of this chapter according to the timelines in paragraphs (b) and (c) 
322.7 	only within the limits of available appropriations or other administrative cost recovery 
322.8 	methodology.
322.9 	(b) The licensure of home and community-based services according to this section 
322.10 	shall be implemented January 1, 2014. License applications shall be received and 
322.11 	processed on a phased-in schedule as determined by the commissioner beginning July 
322.12 	1, 2013. Licenses will be issued thereafter upon the commissioner's determination that 
322.13 	the application is complete according to section 245A.04.
322.14 	(c) Within the limits of available appropriations or other administrative cost recovery 
322.15 	methodology, implementation of compliance monitoring must be phased in after January 
322.16 	1, 2014.
322.17 	(1) Applicants who do not currently hold a license issued under this chapter must 
322.18 	receive an initial compliance monitoring visit after 12 months of the effective date of the 
322.19 	initial license for the purpose of providing technical assistance on how to achieve and 
322.20 	maintain compliance with the applicable law or rules governing the provision of home and 
322.21 	community-based services under chapter 245D. If during the review the commissioner 
322.22 	finds that the license holder has failed to achieve compliance with an applicable law or 
322.23 	rule and this failure does not imminently endanger the health, safety, or rights of the 
322.24 	persons served by the program, the commissioner may issue a licensing review report with 
322.25 	recommendations for achieving and maintaining compliance.
322.26 	(2) Applicants who do currently hold a license issued under this chapter must receive 
322.27 	a compliance monitoring visit after 24 months of the effective date of the initial license.
322.28 	(d) Nothing in this subdivision shall be construed to limit the commissioner's 
322.29 	authority to suspend or revoke a license or issue a fine at any time under section 245A.07, 
322.30 	or make correction orders and make a license conditional for failure to comply with 
322.31 	applicable laws or rules under section 245A.06, based on the nature, chronicity, or severity 
322.32 	of the violation of law or rule and the effect of the violation on the health, safety, or 
322.33 	rights of persons served by the program.
322.34 		Subd. 4.Stakeholder consultation. The commissioner shall consult with the 
322.35 	existing stakeholder group established as part of the provider standards process to gather 
323.1 	input related to the development of an administrative cost recovery methodology to 
323.2 	implement the provisions in chapter 245D.

323.3 	Sec. 5. Minnesota Statutes 2010, section 245A.085, is amended to read:
323.4 	245A.085 CONSOLIDATION OF HEARINGS; RECONSIDERATION.
323.5 	Hearings authorized under this chapter, chapter 245C, and sections 256.045,
323.6 	256B.04,626.556, and 626.557, shall be consolidated if feasible and in accordance with 
323.7 	other applicable statutes and rules. Reconsideration under sections 245C.28; 626.556, 
323.8 	subdivision 10i; and 626.557, subdivision 9d, shall also be consolidated if feasible.

323.9 	Sec. 6. Minnesota Statutes 2010, section 245B.02, is amended by adding a subdivision 
323.10 	to read:
323.11 		Subd. 8a.Emergency. "Emergency" means any fires, severe weather, natural 
323.12 	disasters, power failures, or any event that affects the ordinary daily operation of the 
323.13 	program, including, but not limited to, events that threaten the immediate health and 
323.14 	safety of a person receiving services and that require calling 911, emergency evacuation, 
323.15 	moving to an emergency shelter, or temporary closure or relocation of the program 
323.16 	to another facility or service site.

323.17 	Sec. 7. Minnesota Statutes 2010, section 245B.02, subdivision 10, is amended to read:
323.18 		Subd. 10.Incident. "Incident" means an occurrence that affects the ordinary 
323.19 	provision of services to a person and includes any of the following:
323.20 	(1) serious injury as determined by section 245.91, subdivision 6;
323.21 	(2) a consumer's death;
323.22 	(3) any medical emergencies emergency, unexpected serious illnesses illness, or 
323.23 	accidents significant unexpected changes in an illness or medical condition, or the mental 
323.24 	health status of a person that require requires calling 911 or a mental health mobile crisis 
323.25 	intervention team, physician treatment, or hospitalization;
323.26 	(4) a consumer's unauthorized or unexplained absence;
323.27 	(5) any fires or other events that require the relocation of services for more than 24 
323.28 	hours, or circumstances involving a law enforcement agency or fire department related to 
323.29 	the health, safety, or supervision of a consumer;
323.30 	(6) (5) physical aggression by a consumer against another consumer that causes 
323.31 	physical pain, injury, or persistent emotional distress, including, but not limited to, hitting, 
323.32 	slapping, kicking, scratching, pinching, biting, pushing, and spitting;
324.1 	(7) (6) any sexual activity between consumers involving force or coercion as defined 
324.2 	under section 609.341, subdivisions 3 and 14; or
324.3 	(8) (7) a report of child or vulnerable adult maltreatment under section 626.556 or 
324.4 	626.557.

324.5 	Sec. 8. Minnesota Statutes 2010, section 245B.04, subdivision 1, is amended to read:
324.6 		Subdivision 1.License holder's responsibility for consumers' rights. The license 
324.7 	holder must:
324.8 	(1) provide the consumer or the consumer's legal representative a copy of the 
324.9 	consumer's rights on the day that services are initiated and an explanation of the rights 
324.10 	in subdivisions 2 and 3 within five working days of service initiation and annually 
324.11 	thereafter. Reasonable accommodations shall be made by the license holder to provide 
324.12 	this information in other formats as needed to facilitate understanding of the rights by the 
324.13 	consumer and the consumer's legal representative, if any;
324.14 	(2) document the consumer's or the consumer's legal representative's receipt of a 
324.15 	copy of the rights and an explanation of the rights; and
324.16 	(3) ensure the exercise and protection of the consumer's rights in the services 
324.17 	provided by the license holder and authorized in the individual service plan.

324.18 	Sec. 9. Minnesota Statutes 2010, section 245B.04, subdivision 2, is amended to read:
324.19 		Subd. 2.Service-related rights. A consumer's service-related rights include the 
324.20 	right to:
324.21 	(1) refuse or terminate services and be informed of the consequences of refusing 
324.22 	or terminating services;
324.23 	(2) know, in advance, limits to the services available from the license holder;
324.24 	(3) know conditions and terms governing the provision of services, including those
324.25 	the license holder's policies and procedures related to initiation and termination;
324.26 	(4) know what the charges are for services, regardless of who will be paying for the 
324.27 	services, and be notified upon request of changes in those charges;
324.28 	(5) know, in advance, whether services are covered by insurance, government 
324.29 	funding, or other sources, and be told of any charges the consumer or other private party 
324.30 	may have to pay; and
324.31 	(6) receive licensed services from individuals who are competent and trained, 
324.32 	who have professional certification or licensure, as required, and who meet additional 
324.33 	qualifications identified in the individual service plan.

325.1 	Sec. 10. Minnesota Statutes 2010, section 245B.04, subdivision 3, is amended to read:
325.2 		Subd. 3.Protection-related rights. (a) The consumer's protection-related rights 
325.3 	include the right to:
325.4 	(1) have personal, financial, services, and medical information kept private, and 
325.5 	be advised of the license holder's policies and procedures regarding disclosure of such 
325.6 	information;
325.7 	(2) access records and recorded information about the person in accordance with 
325.8 	applicable state and federal law, regulation, or rule;
325.9 	(3) be free from maltreatment;
325.10 	(4) be treated with courtesy and respect for the consumer's individuality, mode of 
325.11 	communication, and culture, and receive respectful treatment of the consumer's property;
325.12 	(5) reasonable observance of cultural and ethnic practice and religion;
325.13 	(6) be free from bias and harassment regarding race, gender, age, disability, 
325.14 	spirituality, and sexual orientation;
325.15 	(7) be informed of and use the license holder's grievance policy and procedures, 
325.16 	including knowing how to contact persons responsible for addressing problems and to 
325.17 	appeal under section 256.045;
325.18 	(8) know the name, telephone number, and the Web site, e-mail, and street 
325.19 	addresses of protection and advocacy services, including the appropriate state-appointed 
325.20 	ombudsman, and a brief description of how to file a complaint with these offices;
325.21 	(5) (9) voice grievances, know the contact persons responsible for addressing 
325.22 	problems and how to contact those persons;
325.23 	(6) (10) any procedures for grievance or complaint resolution and the right to appeal 
325.24 	under section 256.045;
325.25 	(7) (11) know the name and address of the state, county, or advocacy agency to 
325.26 	contact for additional information or assistance;
325.27 	(8) (12) assert these rights personally, or have them asserted by the consumer's 
325.28 	family or legal representative, without retaliation;
325.29 	(9) (13) give or withhold written informed consent to participate in any research or 
325.30 	experimental treatment;
325.31 	(10) (14) have daily, private access to and use of a non-coin-operated telephone for 
325.32 	local calls and long-distance calls made collect or paid for by the resident;
325.33 	(11) (15) receive and send, without interference, uncensored, unopened mail or 
325.34 	electronic correspondence or communication;
325.35 	(12) (16) marital privacy for visits with the consumer's spouse and, if both are 
325.36 	residents of the site, the right to share a bedroom and bed;
326.1 	(13) (17) associate with other persons of the consumer's choice;
326.2 	(14) (18) personal privacy; and
326.3 	(15) (19) engage in chosen activities.
326.4 	(b) Restriction of a person's rights under paragraph (a), clauses (13) to (15), or 
326.5 	this paragraph is allowed only if determined necessary to ensure the health, safety, and 
326.6 	well-being of the person. Any restriction of these rights must be documented in the service 
326.7 	plan for the person and must include the following information:
326.8 	(1) the justification for the restriction based on an assessment of the person's 
326.9 	vulnerability related to exercising the right without restriction;
326.10 	(2) the objective measures set as conditions for ending the restriction;
326.11 	(3) a schedule for reviewing the need for the restriction based on the conditions for 
326.12 	ending the restriction to occur, at a minimum, every three months for persons who do not 
326.13 	have a legal representative and annually for persons who do have a legal representative 
326.14 	from the date of initial approval; and
326.15 	(4) signed and dated approval for the restriction from the person, or the person's 
326.16 	legal representative, if any. A restriction may be implemented only when the required 
326.17 	approval has been obtained. Approval may be withdrawn at any time. If approval is 
326.18 	withdrawn, the right must be immediately and fully restored.

326.19 	Sec. 11. Minnesota Statutes 2010, section 245B.05, subdivision 1, is amended to read:
326.20 		Subdivision 1.Environment. The license holder must:
326.21 	(1) ensure that services are provided in a safe and hazard-free environment when the 
326.22 	license holder is the owner, lessor, or tenant of the service site. All other license holders 
326.23 	shall inform the consumer or the consumer's legal representative and case manager about 
326.24 	any environmental safety concerns in writing;
326.25 	(2) lock doorsensure that doors are locked or toxic substances or dangerous items 
326.26 	normally accessible to persons served by the program are stored in locked cabinets, 
326.27 	drawers, or containers  only to protect the safety of consumers and not as a substitute for 
326.28 	staff supervision or interactions with consumers. If doors are locked or toxic substances 
326.29 	or dangerous items normally accessible to persons served by the program are stored in 
326.30 	locked cabinets, drawers, or containers, the license holder must justify and document 
326.31 	how this determination was made in consultation with the person or the person's legal 
326.32 	representative and how access will otherwise be provided to the person and all other 
326.33 	affected persons receiving services;
326.34 	(3) follow procedures that minimize the consumer's health risk from communicable 
326.35 	diseases; and
327.1 	(4) maintain equipment, vehicles, supplies, and materials owned or leased by the 
327.2 	license holder in good condition.

327.3 	Sec. 12. Minnesota Statutes 2010, section 245B.07, subdivision 5, is amended to read:
327.4 		Subd. 5.Staff orientation. (a) Within 60 days of hiring staff who provide direct 
327.5 	service, the license holder must provide 30 hours of staff orientation. Direct care staff 
327.6 	must complete 15 of the 30 hours orientation before providing any unsupervised direct 
327.7 	service to a consumer. If the staff person has received orientation training from a license 
327.8 	holder licensed under this chapter, or provides semi-independent living services only, the 
327.9 	15-hour requirement may be reduced to eight hours. The total orientation of 30 hours may 
327.10 	be reduced to 15 hours if the staff person has previously received orientation training from 
327.11 	a license holder licensed under this chapter.
327.12 	(b) The 30 hours of orientation must combine supervised on-the-job training with 
327.13 	coverage review of and instruction on the following material:
327.14 	(1) review of the consumer's service plans and risk management plan to achieve an 
327.15 	understanding of the consumer as a unique individual and staff responsibilities related to 
327.16 	implementation of those plans;
327.17 	(2) review and instruction on implementation of the license holder's policies and 
327.18 	procedures, including their location and access;
327.19 	(3) staff responsibilities related to emergency procedures;
327.20 	(4) explanation of specific job functions, including implementing objectives from 
327.21 	the consumer's individual service plan;
327.22 	(5) explanation of responsibilities related to section 245A.65; sections 626.556
327.23 	and 626.557, governing maltreatment reporting and service planning for children and 
327.24 	vulnerable adults; and section 245.825, governing use of aversive and deprivation 
327.25 	procedures;
327.26 	(6) medication administration as it applies to the individual consumer, from a 
327.27 	training curriculum developed by a health services professional described in section 
327.28 	245B.05, subdivision 5, and when the consumer meets the criteria of having overriding 
327.29 	health care needs, then medication administration taught by a health services professional. 
327.30 	Staff may administer medications only after they demonstrate the ability, as defined in the 
327.31 	license holder's medication administration policy and procedures. Once a consumer with 
327.32 	overriding health care needs is admitted, staff will be provided with remedial training as 
327.33 	deemed necessary by the license holder and the health professional to meet the needs of 
327.34 	that consumer.
328.1 	For purposes of this section, overriding health care needs means a health care 
328.2 	condition that affects the service options available to the consumer because the condition 
328.3 	requires:
328.4 	(i) specialized or intensive medical or nursing supervision; and
328.5 	(ii) nonmedical service providers to adapt their services to accommodate the health 
328.6 	and safety needs of the consumer;
328.7 	(7) consumer rights and staff responsibilities related to protecting and ensuring 
328.8 	the exercise of the consumer rights; and
328.9 	(8) other topics necessary as determined by the consumer's individual service plan or 
328.10 	other areas identified by the license holder.
328.11 	(c) The license holder must document each employee's orientation received.

328.12 	Sec. 13. Minnesota Statutes 2010, section 245B.07, is amended by adding a 
328.13 	subdivision to read:
328.14 		Subd. 7a.Subcontractors. If the license holder uses a subcontractor to perform 
328.15 	services licensed under this chapter on the license holder's behalf, the license holder must 
328.16 	ensure that the subcontractor meets and maintains compliance with all requirements under 
328.17 	this chapter that apply to the services to be provided.

328.18 	Sec. 14. Minnesota Statutes 2010, section 245B.07, subdivision 9, is amended to read:
328.19 		Subd. 9.Availability of current written policies and procedures. The license 
328.20 	holder shall:
328.21 	(1) review and update, as needed, the written policies and procedures in this chapter;
328.22 	(2) inform consumers or the consumer's legal representatives of the written policies 
328.23 	and procedures in this chapter upon service initiation. Copies of policies and procedures 
328.24 	affecting a consumer's rights under section 245D.04 must be provided upon service 
328.25 	initiation. Copies of all other policies and procedures must be available to consumers 
328.26 	or the consumer's legal representatives, case managers, the county where services are 
328.27 	located, and the commissioner upon request;
328.28 	(3) provide all consumers or the consumers' legal representatives and case managers 
328.29 	a copy of the revised policies and procedures and explanation of the revisions to policies 
328.30 	and procedures that affect consumers' service-related or protection-related rights under 
328.31 	section 245B.04 and maltreatment reporting policies and procedures. Unless there is 
328.32 	reasonable cause, the license holder must provide this notice at least 30 days before 
328.33 	implementing the revised policy and procedure. The license holder must document the 
328.34 	reason for not providing the notice at least 30 days before implementing the revisions;
329.1 	(4) annually notify all consumers or the consumers' legal representatives and case 
329.2 	managers of any revised policies and procedures under this chapter, other than those in 
329.3 	clause (3). Upon request, the license holder must provide the consumer or consumer's 
329.4 	legal representative and case manager copies of the revised policies and procedures;
329.5 	(5) before implementing revisions to policies and procedures under this chapter, 
329.6 	inform all employees of the revisions and provide training on implementation of the
329.7 	revised policies and procedures; and
329.8 	(6) document and maintain relevant information related to the policies and 
329.9 	procedures in this chapter.

329.10 	Sec. 15. Minnesota Statutes 2010, section 245B.07, subdivision 10, is amended to read:
329.11 		Subd. 10.Consumer funds. (a) The license holder must ensure that consumers 
329.12 	retain the use and availability of personal funds or property unless restrictions are justified 
329.13 	in the consumer's individual service plan.
329.14 	(b) The license holder must ensure separation of consumer funds from funds of the 
329.15 	license holder, the program, or program staff.
329.16 	(c) Whenever the license holder assists a consumer with the safekeeping of funds 
329.17 	or other property, the license holder must have written authorization to do so by the 
329.18 	consumer or the consumer's legal representative, and the case manager. In addition, the 
329.19 	license holder must:
329.20 	(1) document receipt and disbursement of the consumer's funds or the property;
329.21 	(2) annually survey, document, and implement the preferences of the consumer, 
329.22 	consumer's legal representative, and the case manager for frequency of receiving a 
329.23 	statement that itemizes receipts and disbursements of consumer funds or other property; 
329.24 	and
329.25 	(3) return to the consumer upon the consumer's request, funds and property in the 
329.26 	license holder's possession subject to restrictions in the consumer's individual service plan, 
329.27 	as soon as possible, but no later than three working days after the date of the request.
329.28 	(d) License holders and program staff must not:
329.29 	(1) borrow money from a consumer;
329.30 	(2) purchase personal items from a consumer;
329.31 	(3) sell merchandise or personal services to a consumer;
329.32 	(4) require a consumer to purchase items for which the license holder is eligible for 
329.33 	reimbursement; or
329.34 	(5) use consumer funds in a manner that would violate section 256B.04, or any 
329.35 	rules promulgated under that section.; or
330.1 	(6) accept powers-of-attorney from a person receiving services from the license 
330.2 	holder for any purpose, and may not accept an appointment as guardian or conservator of 
330.3 	a person receiving services from the license holder. This does not apply to license holders 
330.4 	that are Minnesota counties or other units of government.

330.5 	Sec. 16. [245D.01] CITATION.
330.6 	This chapter may be cited as the "Home and Community-Based Services Standards" 
330.7 	or "HCBS Standards."

330.8 	Sec. 17. [245D.02] DEFINITIONS.
330.9 		Subdivision 1.Scope. The terms used in this chapter have the meanings given 
330.10 	them in this section.
330.11 		Subd. 2.Annual and annually. "Annual" and "annually" have the meaning given 
330.12 	in section 245A.02, subdivision 2b.
330.13 		Subd. 3.Case manager. "Case manager" means the individual designated 
330.14 	to provide waiver case management services, care coordination, or long-term care 
330.15 	consultation, as specified in sections 256B.0913, 256B.0915, 256B.092, and 256B.49, 
330.16 	or successor provisions. 
330.17 		Subd. 4.Commissioner. "Commissioner" means the commissioner of the 
330.18 	Department of Human Services or the commissioner's designated representative.
330.19 		Subd. 5.Department. "Department" means the Department of Human Services.
330.20 		Subd. 6.Direct contact. "Direct contact" has the meaning given in section 245C.02, 
330.21 	subdivision 11, and is used interchangeably with the term "direct service."
330.22 		Subd. 7.Drug. "Drug" has the meaning given in section 151.01, subdivision 5.
330.23 		Subd. 8.Emergency. "Emergency" means any event that affects the ordinary 
330.24 	daily operation of the program including, but not limited to, fires, severe weather, natural 
330.25 	disasters, power failures, or other events that threaten the immediate health and safety of 
330.26 	a person receiving services and that require calling 911, emergency evacuation, moving 
330.27 	to an emergency shelter, or temporary closure or relocation of the program to another 
330.28 	facility or service site.
330.29 		Subd. 9.Health services. "Health services" means any service or treatment 
330.30 	consistent with the physical and mental health needs of the person, such as medication 
330.31 	administration and monitoring, medical, dental, nutritional, health monitoring, wellness 
330.32 	education, and exercise.
330.33 		Subd. 10.Home and community-based services. "Home and community-based 
330.34 	services" means the services subject to the provisions of this chapter and defined in the 
331.1 	federal waiver plans governed by United States Code, title 42, sections 1396 et seq., or the 
331.2 	state's alternative care program according to section 256B.0913, including the brain injury 
331.3 	(BI) waiver, the community alternative care (CAC) waiver, the community alternatives 
331.4 	for disabled individuals (CADI) waiver, the developmental disability (DD) waiver, the 
331.5 	elderly waiver (EW), and the alternative care (AC) program. 
331.6 		Subd. 11.Incident. "Incident" means an occurrence that affects the ordinary 
331.7 	provision of services to a person and includes any of the following:
331.8 	(1) serious injury as determined by section 245.91, subdivision 6; 
331.9 	(2) a person's death;
331.10 	(3) any medical emergency, unexpected serious illness, or significant unexpected 
331.11 	change in an illness or medical condition, or the mental health status of a person that 
331.12 	requires calling 911 or a mental health crisis intervention team, physician treatment, 
331.13 	or hospitalization;
331.14 	(4) a person's unauthorized or unexplained absence from a program;
331.15 	(5) physical aggression by a person receiving services against another person 
331.16 	receiving services that causes physical pain, injury, or persistent emotional distress, 
331.17 	including, but not limited to, hitting, slapping, kicking, scratching, pinching, biting, 
331.18 	pushing, and spitting;
331.19 	(6) any sexual activity between persons receiving services involving force or 
331.20 	coercion as defined under section 609.341, subdivisions 3 and 14; or 
331.21 	(7) a report of alleged or suspected child or vulnerable adult maltreatment under 
331.22 	section 626.556 or 626.557. 
331.23 		Subd. 12.Legal representative. "Legal representative" means the parent of a 
331.24 	person who is under 18 years of age, a court-appointed guardian, or other representative 
331.25 	with legal authority to make decisions about services for a person.
331.26 		Subd. 13.License. "License" has the meaning given in section 245A.02, 
331.27 	subdivision 8. 
331.28 		Subd. 14.Licensed health professional. "Licensed health professional" means a 
331.29 	person licensed in Minnesota to practice those professions described in section 214.01, 
331.30 	subdivision 2.
331.31 		Subd. 15.License holder. "License holder" has the meaning given in section 
331.32 	245A.02, subdivision 9. 
331.33 		Subd. 16.Medication. "Medication" means a prescription drug or over-the-counter 
331.34 	drug. For purposes of this chapter, "medication" includes dietary supplements.
331.35 		Subd. 17.Medication administration. "Medication administration" means 
331.36 	performing the following set of tasks to ensure a person takes both prescription and 
332.1 	over-the-counter medications and treatments according to orders issued by appropriately 
332.2 	licensed professionals, and includes the following:
332.3 	(1) checking the person's medication record;
332.4 	(2) preparing the medication for administration;
332.5 	(3) administering the medication to the person;
332.6 	(4) documenting the administration of the medication or the reason for not 
332.7 	administering the medication; and
332.8 	(5) reporting to the prescriber or a nurse any concerns about the medication, 
332.9 	including side effects, adverse reactions, effectiveness, or the person's refusal to take the 
332.10 	medication or the person's self-administration of the medication.
332.11 		Subd. 18.Medication assistance. "Medication assistance" means providing verbal 
332.12 	or visual reminders to take regularly scheduled medication, which includes either of 
332.13 	the following:
332.14 	(1) bringing to the person and opening a container of previously set up medications 
332.15 	and emptying the container into the person's hand or opening and giving the medications 
332.16 	in the original container to the person, or bringing to the person liquids or food to 
332.17 	accompany the medication; or
332.18 	(2) providing verbal or visual reminders to perform regularly scheduled treatments 
332.19 	and exercises.
332.20 		Subd. 19.Medication management. "Medication management" means the 
332.21 	provision of any of the following:
332.22 	(1) medication-related services to a person;
332.23 	(2) medication setup;
332.24 	(3) medication administration;
332.25 	(4) medication storage and security;
332.26 	(5) medication documentation and charting;
332.27 	(6) verification and monitoring of effectiveness of systems to ensure safe medication 
332.28 	handling and administration;
332.29 	(7) coordination of medication refills;
332.30 	(8) handling changes to prescriptions and implementation of those changes;
332.31 	(9) communicating with the pharmacy; or
332.32 	(10) coordination and communication with prescriber.
332.33 	For the purposes of this chapter, medication management does not mean "medication 
332.34 	therapy management services" as identified in section 256B.0625, subdivision 13h.
332.35 		Subd. 20.Mental health crisis intervention team. "Mental health crisis 
332.36 	intervention team" means mental health crisis response providers as identified in section 
333.1 	256B.0624, subdivision 2, paragraph (d), for adults, and in section 256B.0944, subdivision 
333.2 	1, paragraph (d), for children.
333.3 		Subd. 21.Over-the-counter drug. "Over-the-counter drug" means a drug that 
333.4 	is not required by federal law to bear the statement "Caution: Federal law prohibits 
333.5 	dispensing without prescription."
333.6 		Subd. 22.Person. "Person" has the meaning given in section 245A.02, subdivision 
333.7 	11.
333.8 		Subd. 23.Person with a disability. "Person with a disability" means a person 
333.9 	determined to have a disability by the commissioner's state medical review team as 
333.10 	identified in section 256B.055, subdivision 7,  the Social Security Administration, or 
333.11 	the person is determined to have a developmental disability as defined in Minnesota 
333.12 	Rules, part 9525.0016, subpart 2, item B, or a related condition as defined in section 
333.13 	252.27, subdivision 1a.
333.14 		Subd. 24.Prescriber. "Prescriber" means a licensed practitioner as defined in 
333.15 	section 151.01, subdivision 23, who is authorized under section 151.37 to prescribe 
333.16 	drugs. For the purposes of this chapter, the term "prescriber" is used interchangeably 
333.17 	with "physician."
333.18 		Subd. 25.Prescription drug. "Prescription drug" has the meaning given in section 
333.19 	151.01, subdivision 17.
333.20 		Subd. 26.Program. "Program" means either the nonresidential or residential 
333.21 	program as defined in section 245A.02, subdivisions 10 and 14.
333.22 		Subd. 27.Psychotropic medication. "Psychotropic medication" means any 
333.23 	medication prescribed to treat the symptoms of mental illness that affect thought processes, 
333.24 	mood, sleep, or behavior. The major classes of psychotropic medication are antipsychotic 
333.25 	(neuroleptic), antidepressant, antianxiety, mood stabilizers, anticonvulsants, and 
333.26 	stimulants and nonstimulants for the treatment of attention deficit/hyperactivity disorder. 
333.27 	Other miscellaneous medications are considered to be a psychotropic medication when 
333.28 	they are specifically prescribed to treat a mental illness or to control or alter behavior.
333.29 		Subd. 28.Restraint. "Restraint" means physical or mechanical limiting of the free 
333.30 	and normal movement of body or limbs.
333.31 		Subd. 29.Seclusion. "Seclusion" means separating a person from others in a way 
333.32 	that prevents social contact and prevents the person from leaving the situation if he or she 
333.33 	chooses.
333.34 		Subd. 30.Service. "Service" means care, training, supervision, counseling, 
333.35 	consultation, or medication assistance assigned to the license holder in the service plan.
334.1 		Subd. 31.Service plan. "Service plan" means the individual service plan or 
334.2 	individual care plan identified in sections 256B.0913, 256B.0915, 256B.092, and 256B.49, 
334.3 	or successor provisions, and includes any support plans or service needs identified as 
334.4 	a result of long-term care consultation, or a support team meeting that includes the 
334.5 	participation of the person, the person's legal representative, and case manager, or assigned 
334.6 	to a license holder through an authorized service agreement.
334.7 		Subd. 32.Service site. "Service site" means the location where the service is 
334.8 	provided to the person, including but not limited to, a facility licensed according to chapter 
334.9 	245A; a location where the license holder is the owner, lessor, or tenant; a person's own 
334.10 	home; or a community-based location.
334.11 		Subd. 33.Staff. "Staff" means an employee who will have direct contact with a 
334.12 	person served by the facility, agency, or program.
334.13 		Subd. 34.Support team. "Support team" means the service planning team 
334.14 	identified in section 256B.49, subdivision 15, or the interdisciplinary team identified in 
334.15 	Minnesota Rules, part 9525.0004, subpart 14.
334.16 		Subd. 35.Unit of government. "Unit of government" means every city, county, 
334.17 	town, school district, other political subdivisions of the state, and any agency of the state 
334.18 	or the United States, and includes any instrumentality of a unit of government. 
334.19 		Subd. 36.Volunteer. "Volunteer" means an individual who, under the direction of 
334.20 	the license holder, provides direct services without pay to a person served by the license 
334.21 	holder.

334.22 	Sec. 18. [245D.03] APPLICABILITY AND EFFECT.
334.23 		Subdivision 1.Applicability.  The commissioner shall regulate the provision of 
334.24 	home and community-based services to persons with disabilities and persons age 65 and 
334.25 	older pursuant to this chapter. The licensing standards in this chapter govern the provision 
334.26 	of the following services:
334.27 	(1) housing access coordination as defined under the current BI, CADI, and DD 
334.28 	waiver plans or successor plans;
334.29 	(2) respite services as defined under the current CADI, BI, CAC, DD, and EW 
334.30 	waiver plans or successor plans when the provider is an individual who is not an employee 
334.31 	of a residential or nonresidential program licensed by the Department of Human Services 
334.32 	or the Department of Health that is otherwise providing the respite service;
334.33 	(3) behavioral programming as defined under the current BI and CADI waiver 
334.34 	plans or successor plans;
335.1 	(4) specialist services as defined under the current DD waiver plan or successor 
335.2 	plans; 
335.3 	(5) companion services as defined under the current BI, CADI, and EW waiver 
335.4 	plans or successor plans, excluding companion services provided under the Corporation 
335.5 	for National and Community Services Senior Companion Program established under the 
335.6 	Domestic Volunteer Service Act of 1973, Public Law 98-288; 
335.7 	(6) personal support as defined under the current DD waiver plan or successor plans;
335.8 	(7) 24-hour emergency assistance, on-call and personal emergency response as 
335.9 	defined under the current CADI and DD waiver plans or successor plans;
335.10 	(8) night supervision services as defined under the current BI waiver plan or 
335.11 	successor plans;
335.12 	(9) homemaker services as defined under the current CADI, BI, CAC, DD, and EW 
335.13 	waiver plans or successor plans, excluding providers licensed by the Department of Health 
335.14 	under chapter 144A and those providers providing cleaning services only;
335.15 	(10) independent living skills training as defined under the current BI and CADI 
335.16 	waiver plans or successor plans;
335.17 	(11) prevocational services as defined under the current BI and CADI waiver plans 
335.18 	or successor plans;
335.19 	(12) structured day services as defined under the current BI waiver plan or successor 
335.20 	plans; or
335.21 	(13) supported employment as defined under the current BI and CADI waiver plans 
335.22 	or successor plans.
335.23 		Subd. 2.Relationship to other standards governing home and community-based 
335.24 	services. (a) A license holder governed by this chapter is also subject to the licensure 
335.25 	requirements under chapter 245A. 
335.26 	(b) A license holder concurrently providing child foster care services licensed 
335.27 	according to Minnesota Rules, chapter 2960, to the same person receiving a service 
335.28 	licensed under this chapter is exempt from section 245D.04, as it applies to the person.
335.29 	(c) A license holder concurrently providing home care services registered according 
335.30 	to sections 144A.43 to 144A.49 to the same person receiving home management services 
335.31 	licensed under this chapter is exempt from section 245D.04, as it applies to the person.
335.32 	(d) A license holder identified in subdivision 1, clauses (1), (5), and (9), is exempt 
335.33 	from compliance with sections 245A.65, subdivision 2, paragraph (a), and 626.557, 
335.34 	subdivision 14, paragraph (b). 
335.35 	(e) Notwithstanding section 245D.06, subdivision 5, a license holder providing 
335.36 	structured day, prevocational, or supported employment services under this chapter and 
336.1 	day training and habilitation or supported employment services licensed under chapter 
336.2 	245B within the same program is exempt from compliance with this chapter, when 
336.3 	the license holder notifies the commissioner in writing that the requirements under 
336.4 	chapter 245B will be met for all persons receiving these services from the program. For 
336.5 	the purposes of this paragraph, if the license holder has obtained approval from the 
336.6 	commissioner for an alternative inspection status according to section 245B.031, that 
336.7 	approval will apply to all persons receiving services in the program.
336.8 		Subd. 3.Variance. If the conditions in section 245A.04, subdivision 9, are met, 
336.9 	the commissioner may grant a variance to any of the requirements in this chapter, except 
336.10 	sections 245D.04, and 245D.10, subdivision 4, paragraph (b), or provisions governing 
336.11 	data practices and information rights of persons. 
336.12 		Subd. 4.License holders with multiple 245D licenses. (a) When a person changes 
336.13 	service from one license to a different license held by the same license holder, the license 
336.14 	holder is exempt from the requirements in section 245D.10, subdivision 4, paragraph (b). 
336.15 	(b) When a staff person begins providing direct service under one or more licenses 
336.16 	held by the same license holder, other than the license for which staff orientation was 
336.17 	initially provided according to section 245D.09, subdivision 4, the license holder is 
336.18 	exempt from those staff orientation requirements; except the staff person must review each 
336.19 	person's service plan and medication administration procedures in accordance with section 
336.20 	245D.09, subdivision 4, paragraph (c), if not previously reviewed by the staff person. 

336.21 	Sec. 19. [245D.04] SERVICE RECIPIENT RIGHTS.
336.22 		Subdivision 1.License holder responsibility for individual rights of persons 
336.23 	served by the program.  The license holder must:
336.24 	(1) provide each person or each person's legal representative with a written notice 
336.25 	that identifies the service recipient rights in subdivisions 2 and 3, and an explanation of 
336.26 	those rights within five working days of service initiation and annually thereafter;
336.27 	(2) make reasonable accommodations to provide this information in other formats 
336.28 	or languages as needed to facilitate understanding of the rights by the person and the 
336.29 	person's legal representative, if any;
336.30 	(3) maintain documentation of the person's or the person's legal representative's 
336.31 	receipt of a copy and an explanation of the rights; and
336.32 	(4) ensure the exercise and protection of the person's rights in the services provided 
336.33 	by the license holder and as authorized in the service plan.
336.34 		Subd. 2.Service-related rights. A person's service-related rights include the right 
336.35 	to:
337.1 	(1) participate in the development and evaluation of the services provided to the 
337.2 	person;
337.3 	(2) have services identified in the service plan provided in a manner that respects 
337.4 	and takes into consideration the person's preferences;
337.5 	(3) refuse or terminate services and be informed of the consequences of refusing 
337.6 	or terminating services; 
337.7 	(4) know, in advance, limits to the services available from the license holder;
337.8 	(5) know conditions and terms governing the provision of services, including the 
337.9 	license holder's policies and procedures related to temporary service suspension and 
337.10 	service termination;
337.11 	(6) know what the charges are for services, regardless of who will be paying for the 
337.12 	services, and be notified of changes in those charges;
337.13 	(7) know, in advance, whether services are covered by insurance, government 
337.14 	funding, or other sources, and be told of any charges the person or other private party 
337.15 	may have to pay; and
337.16 	(8) receive services from an individual who is competent and trained, who has 
337.17 	professional certification or licensure, as required, and who meets additional qualifications 
337.18 	identified in the person's service plan.
337.19 		Subd. 3.Protection-related rights. (a) A person's protection-related rights include 
337.20 	the right to:
337.21 	(1) have personal, financial, service, health, and medical information kept private, 
337.22 	and be advised of disclosure of this information by the license holder;
337.23 	(2) access records and recorded information about the person in accordance with 
337.24 	applicable state and federal law, regulation, or rule;
337.25 	(3) be free from maltreatment; 
337.26 	(4) be free from restraint or seclusion used for a purpose other than to protect the 
337.27 	person from imminent danger to self or others;
337.28 	(5) receive services in a clean and safe environment when the license holder is the 
337.29 	owner, lessor, or tenant of the service site;
337.30 	(6) be treated with courtesy and respect and receive respectful treatment of the 
337.31 	person's property; 
337.32 	(7) reasonable observance of cultural and ethnic practice and religion;
337.33 	(8) be free from bias and harassment regarding race, gender, age, disability, 
337.34 	spirituality, and sexual orientation;
338.1 	(9) be informed of and use the license holder's grievance policy and procedures, 
338.2 	including knowing how to contact persons responsible for addressing problems and to 
338.3 	appeal under section 256.045; 
338.4 	(10) know the name, telephone number, and the Web site, e-mail, and street 
338.5 	addresses of protection and advocacy services, including the appropriate state-appointed 
338.6 	ombudsman, and a brief description of how to file a complaint with these offices;
338.7 	(11) assert these rights personally, or have them asserted by the person's family, 
338.8 	authorized representative, or legal representative, without retaliation;
338.9 	(12) give or withhold written informed consent to participate in any research or 
338.10 	experimental treatment;
338.11 	(13) associate with other persons of the person's choice;
338.12 	(14) personal privacy; and
338.13 	(15) engage in chosen activities.
338.14 	(b) For a person residing in a residential site licensed according to chapter 245A, 
338.15 	or where the license holder is the owner, lessor, or tenant of the residential service site, 
338.16 	protection-related rights also include the right to: 
338.17 	(1) have daily, private access to and use of a non-coin-operated telephone for local 
338.18 	calls and long-distance calls made collect or paid for by the person;
338.19 	(2) receive and send, without interference, uncensored, unopened mail or electronic 
338.20 	correspondence or communication; and
338.21 	(3) privacy for visits with the person's spouse, next of kin, legal counsel, religious 
338.22 	advisor, or others, in accordance with section 363A.09 of the Human Rights Act, including 
338.23 	privacy in the person's bedroom.
338.24 	(c) Restriction of a person's rights under paragraph (a), clauses (13) to (15), or 
338.25 	paragraph (b) is allowed only if determined necessary to ensure the health, safety, and 
338.26 	well-being of the person. Any restriction of those rights must be documented in the service 
338.27 	plan for the person and must include the following information:
338.28 	(1) the justification for the restriction based on an assessment of the person's 
338.29 	vulnerability related to exercising the right without restriction;
338.30 	(2) the objective measures set as conditions for ending the restriction;
338.31 	(3) a schedule for reviewing the need for the restriction based on the conditions for 
338.32 	ending the restriction to occur, at a minimum, every three months for persons who do not 
338.33 	have a legal representative and annually for persons who do have a legal representative 
338.34 	from the date of initial approval; and
338.35 	(4) signed and dated approval for the restriction from the person, or the person's 
338.36 	legal representative, if any. A restriction may be implemented only when the required 
339.1 	approval has been obtained. Approval may be withdrawn at any time. If approval is 
339.2 	withdrawn, the right must be immediately and fully restored.

339.3 	Sec. 20. [245D.05] HEALTH SERVICES.
339.4 		Subdivision 1.Health needs. (a) The license holder is responsible for providing 
339.5 	health services assigned in the service plan and consistent with the person's health needs. 
339.6 	The license holder is responsible for promptly notifying the person or the person's legal 
339.7 	representative and the case manager of changes in a person's physical and mental health 
339.8 	needs affecting assigned health services, when discovered by the license holder, unless 
339.9 	the license holder has reason to know the change has already been reported. The license 
339.10 	holder must document when the notice is provided. 
339.11 	(b) When assigned in the service plan, the license holder is required to maintain 
339.12 	documentation on how the person's health needs will be met, including a description of 
339.13 	the procedures the license holder will follow in order to:
339.14 	(1) provide medication administration, medication assistance, or medication 
339.15 	management according to this chapter;
339.16 	(2) monitor health conditions according to written instructions from the person's 
339.17 	physician or a licensed health professional; 
339.18 	(3) assist with or coordinate medical, dental, and other health service appointments; 
339.19 	or 
339.20 	(4) use medical equipment, devices, or adaptive aides or technology safely and 
339.21 	correctly according to written instructions from the person's physician or a licensed 
339.22 	health professional. 
339.23 		Subd. 2.Medication administration. (a) The license holder must ensure that the 
339.24 	following criteria have been met before staff that is not a licensed health professional 
339.25 	administers medication or treatment:
339.26 	(1)  written authorization has been obtained from the person or the person's legal 
339.27 	representative to administer medication or treatment orders;
339.28 	(2) the staff person has completed medication administration training according to 
339.29 	section 245D.09, subdivision 4, paragraph (c), clause (2); and
339.30 	(3) the medication or treatment will be administered under administration procedures 
339.31 	established for the person in consultation with a licensed health professional. Written 
339.32 	instruction from the person's physician may constitute the medication administration 
339.33 	procedures. A prescription label or the prescriber's order for the prescription is sufficient 
339.34 	to constitute written instructions from the prescriber. A licensed health professional may 
339.35 	delegate medication administration procedures.
340.1 	(b) The license holder must ensure the following information is documented in the 
340.2 	person's medication administration record:
340.3 	(1) the information on the prescription label or the prescriber's order that includes 
340.4 	directions for safely and correctly administering the medication to ensure effectiveness;
340.5 	(2) information on any discomforts, risks, or other side effects that are reasonable to 
340.6 	expect, and any contraindications to its use;
340.7 	(3) the possible consequences if the medication or treatment is not taken or 
340.8 	administered as directed;
340.9 	(4) instruction from the prescriber on when and to whom to report the following:
340.10 	(i) if the medication or treatment is not administered as prescribed, whether by error 
340.11 	by the staff or the person or by refusal by the person; and
340.12 	(ii) the occurrence of possible adverse reactions to the medication or treatment;
340.13 	(5) notation of any occurrence of medication not being administered as prescribed or 
340.14 	of adverse reactions, and when and to whom the report was made; and
340.15 	(6) notation of when a medication or treatment is started, changed, or discontinued.
340.16 	(c) The license holder must ensure that the information maintained in the medication 
340.17 	administration record is current and is regularly reviewed with the person or the person's 
340.18 	legal representative and the staff administering the medication to identify medication 
340.19 	administration issues or errors. At a minimum, the review must be conducted every three 
340.20 	months or more often if requested by the person or the person's legal representative. 
340.21 	Based on the review, the license holder must develop and implement a plan to correct 
340.22 	medication administration issues or errors. If issues or concerns are identified related to 
340.23 	the medication itself, the license holder must report those as required under subdivision 4.
340.24 		Subd. 3.Medication assistance. The license holder must ensure that the 
340.25 	requirements of subdivision 2, paragraph (a), have been met when staff provides assistance 
340.26 	to enable a person to self-administer medication when the person is capable of directing 
340.27 	the person's own care, or when the person's legal representative is present and able to 
340.28 	direct care for the person.
340.29 		Subd. 4.Reporting medication and treatment issues. The following medication 
340.30 	administration issues must be reported to the person or the person's legal representative 
340.31 	and case manager as they occur or following timelines established in the person's service 
340.32 	plan or as requested in writing by the person or the person's legal representative, or the 
340.33 	case manager:
340.34 	(1) any reports made to the person's physician or prescriber required under 
340.35 	subdivision 2, paragraph (b), clause (4);
340.36 	(2) a person's refusal or failure to take medication or treatment as prescribed; or
341.1 	(3) concerns about a person's self-administration of medication. 
341.2 		Subd. 5.Injectable medications. Injectable medications may be administered 
341.3 	according to a prescriber's order and written instructions when one of the following 
341.4 	conditions has been met:
341.5 	(1) a registered nurse or licensed practical nurse will administer the subcutaneous or 
341.6 	intramuscular injection;
341.7 	(2) a supervising registered nurse with a physician's order has delegated the 
341.8 	administration of subcutaneous injectable medication to an unlicensed staff member 
341.9 	and has provided the necessary training; or
341.10 	(3) there is an agreement signed by the license holder, the prescriber, and the person 
341.11 	or the person's legal representative, specifying what subcutaneous injections may be 
341.12 	given, when, how, and that the prescriber must retain responsibility for the license 
341.13 	holder's giving the injections. A copy of the agreement must be placed in the person's 
341.14 	service recipient record.
341.15 	Only licensed health professionals are allowed to administer psychotropic 
341.16 	medications by injection.

341.17 	Sec. 21. [245D.06] PROTECTION STANDARDS.
341.18 		Subdivision 1.Incident response and reporting.  (a) The license holder must 
341.19 	respond to all incidents under section 245D.02, subdivision 11, that occur while providing 
341.20 	services to protect the health and safety of and minimize risk of harm to the person.
341.21 	(b) The license holder must maintain information about and report incidents to the 
341.22 	person's legal representative or designated emergency contact and case manager within 24 
341.23 	hours of an incident occurring while services are being provided, or within 24 hours of 
341.24 	discovery or receipt of information that an incident occurred, unless the license holder has 
341.25 	reason to know that the incident has already been reported. An incident of suspected or 
341.26 	alleged maltreatment must be reported as required under paragraph (d), and an incident of 
341.27 	serious injury or death must be reported as required under paragraph (e). 
341.28 	(c) When the incident involves more than one person, the license holder must not 
341.29 	disclose personally identifiable information about any other person when making the report 
341.30 	to each person and case manager unless the license holder has the consent of the person.
341.31 	(d) Within 24 hours of reporting maltreatment as required under section 626.556 
341.32 	or 626.557, the license holder must inform the case manager of the report unless there is 
341.33 	reason to believe that the case manager is involved in the suspected maltreatment. The 
341.34 	license holder must disclose the nature of the activity or occurrence reported and the 
341.35 	agency that received the report. 
342.1 	(e) The license holder must report the death or serious injury of the person to 
342.2 	the legal representative, if any, and case manager, the Department of Human Services 
342.3 	Licensing Division, and the Office of Ombudsman for Mental Health and Developmental 
342.4 	Disabilities as required under section 245.94, subdivision 2a, within 24 hours of the death, 
342.5 	or receipt of information that the death occurred unless the license holder has reason to 
342.6 	know that the death has already been reported. 
342.7 	(f) The license holder must conduct a review of incident reports, for identification 
342.8 	of incident patterns, and implementation of corrective action as necessary to reduce 
342.9 	occurrences.
342.10 		Subd. 2.Environment and safety. The license holder must:
342.11 	(1) ensure the following when the license holder is the owner, lessor, or tenant 
342.12 	of the service site:
342.13 	(i) the service site is a safe and hazard-free environment;
342.14 	(ii) doors are locked or toxic substances or dangerous items normally accessible 
342.15 	to persons served by the program are stored in locked cabinets, drawers, or containers 
342.16 	only to protect the safety of a person receiving services and not as a substitute for staff 
342.17 	supervision or interactions with a person who is receiving services. If doors are locked or 
342.18 	toxic substances or dangerous items normally accessible to persons served by the program 
342.19 	are stored in locked cabinets, drawers, or containers, the license holder must justify and 
342.20 	document how this determination was made in consultation with the person or person's 
342.21 	legal representative, and how access will otherwise be provided to the person and all other 
342.22 	affected persons receiving services; and
342.23 	(iii) a staff person is available on site who is trained in basic first aid whenever 
342.24 	persons are present and staff are required to be at the site to provide direct service;
342.25 	(2) maintain equipment, vehicles, supplies, and materials owned or leased by the 
342.26 	license holder in good condition when used to provide services;
342.27 	(3) follow procedures to ensure safe transportation, handling, and transfers of the 
342.28 	person and any equipment used by the person, when the license holder is responsible for 
342.29 	transportation of a person or a person's equipment; 
342.30 	(4) be prepared for emergencies and follow emergency response procedures to 
342.31 	ensure the person's safety in an emergency; and 
342.32 	(5) follow sanitary practices for infection control and to prevent communicable 
342.33 	diseases. 
342.34 		Subd. 3.Compliance with fire and safety codes. When services are provided at a 
342.35 	service site licensed according to chapter 245A or where the license holder is the owner, 
342.36 	lessor, or tenant of the service site, the license holder must document compliance with 
343.1 	applicable building codes, fire and safety codes, health rules, and zoning ordinances, or 
343.2 	document that an appropriate waiver has been granted. 
343.3 		Subd. 4.Funds and property. (a) Whenever the license holder assists a person 
343.4 	with the safekeeping of funds or other property according to section 245A.04, subdivision 
343.5 	13, the license holder must have written authorization to do so from the person and the 
343.6 	case manager. 
343.7 	(b) A license holder or staff person may not accept powers-of-attorney from a 
343.8 	person receiving services from the license holder for any purpose, and may not accept an 
343.9 	appointment as guardian or conservator of a person receiving services from the license 
343.10 	holder. This does not apply to license holders that are Minnesota counties or other units 
343.11 	of government or to staff persons employed by license holders who were acting as 
343.12 	power-of-attorney, guardian, or conservator for specific individuals prior to enactment of 
343.13 	this section. The license holder must maintain documentation of the power-of-attorney, 
343.14 	guardianship, or conservatorship in the service recipient record. 
343.15 		Subd. 5.Prohibitions. (a) The license holder is prohibited from using psychotropic 
343.16 	medication as a substitute for adequate staffing, as punishment, for staff convenience, or 
343.17 	for any reason other than as prescribed.
343.18 	(b) The license holder is prohibited from using restraints or seclusion under any 
343.19 	circumstance, unless the commissioner has approved a variance request from the license 
343.20 	holder that allows for the emergency use of restraints and seclusion according to terms 
343.21 	and conditions approved in the variance. Applicants and license holders who have 
343.22 	reason to believe they may be serving an individual who will need emergency use of 
343.23 	restraints or seclusion, may request a variance on the application or reapplication, and 
343.24 	the commissioner shall automatically review the request for a variance as part of the 
343.25 	application or reapplication process. License holders may also request the variance any 
343.26 	time after issuance of a license. In the event a license holder uses restraint or seclusion for 
343.27 	any reason without first obtaining a variance as required, the license holder must report 
343.28 	the unauthorized use of restraint or seclusion to the commissioner within 24 hours of the 
343.29 	occurrence and request the required variance.

343.30 	Sec. 22. [245D.07] SERVICE NEEDS.
343.31 		Subdivision 1.Provision of services. The license holder must provide services as 
343.32 	specified in the service plan and assigned to the license holder. The provision of services 
343.33 	must comply with the requirements of this chapter and the federal waiver plans.
344.1 		Subd. 2.Service planning. The license holder must participate in support team 
344.2 	meetings related to the person following stated timelines established in the person's service 
344.3 	plan or as requested by the support team, the person, or the person's legal representative.
344.4 		Subd. 3.Reports. The license holder must provide written reports regarding the 
344.5 	person's progress or status as requested by the person, the person's legal representative, the 
344.6 	case manager, or the team.

344.7 	Sec. 23. [245D.08] RECORD REQUIREMENTS.
344.8 		Subdivision 1.Record-keeping systems. The license holder must ensure that the 
344.9 	content and format of service recipient, personnel, and program records are uniform, 
344.10 	legible, and in compliance with the requirements of this chapter. 
344.11 		Subd. 2.Service recipient record. (a) The license holder must:
344.12 	(1) maintain a record of current services provided to each person on the premises 
344.13 	where the services are provided or coordinated; and
344.14 	(2) protect service recipient records against loss, tampering, or unauthorized 
344.15 	disclosure in compliance with sections 13.01 to 13.10 and 13.46.
344.16 	(b) The license holder must maintain the following information for each person:
344.17 	(1) identifying information, including the person's name, date of birth, address, and 
344.18 	telephone number;
344.19 	(2) the name, address, and telephone number of the person's legal representative, if 
344.20 	any, an emergency contact, the case manager, and family members or others as identified 
344.21 	by the person or case manager;
344.22 	(3) service information, including service initiation information, verification of the 
344.23 	person's eligibility for services, and documentation verifying that services have been 
344.24 	provided as identified in the service plan according to paragraph (a);
344.25 	(4) health information, including medical history and allergies; and when the license 
344.26 	holder is assigned responsibility for meeting the person's health needs according to section 
344.27 	245D.05:
344.28 	(i) current orders for medication, treatments, or medical equipment;
344.29 	(ii) medication administration procedures;
344.30 	(iii) a medication administration record documenting the implementation of the 
344.31 	medication administration procedures, including any agreements for administration of 
344.32 	injectable medications by the license holder; and
344.33 	(iv) a medical appointment schedule;
344.34 	(5) the person's current service plan or that portion of the plan assigned to the 
344.35 	license holder. When a person's case manager does not provide a current service plan, 
345.1 	the license holder must make a written request to the case manager to provide a copy of 
345.2 	the service plan and inform the person of the right to a current service plan and the right 
345.3 	to appeal under section 256.045; 
345.4 	(6) a record of other service providers serving the person when the person's service 
345.5 	plan identifies the need for coordination between the service providers, that includes 
345.6 	a contact person and telephone numbers, services being provided, and names of staff 
345.7 	responsible for coordination; 
345.8 	(7) documentation of orientation to the service recipient rights according to section 
345.9 	245D.04, subdivision 1, and maltreatment reporting policies and procedures according to 
345.10 	section 245A.65, subdivision 1, paragraph (c);
345.11 	(8) copies of authorizations to handle a person's funds, according to section 245D.06, 
345.12 	subdivision 4, paragraph (a);
345.13 	(9) documentation of complaints received and grievance resolution;
345.14 	(10) incident reports required under section 245D.06, subdivision 1; 
345.15 	(11) copies of written reports regarding the person's status when requested according 
345.16 	to section 245D.07, subdivision 3; and
345.17 	(12) discharge summary, including service termination notice and related 
345.18 	documentation, when applicable.
345.19 		Subd. 3.Access to service recipient records. The license holder must ensure that 
345.20 	the following people have access to the information in subdivision 1 in accordance with 
345.21 	applicable state and federal law, regulation, or rule:
345.22 	(1) the person, the person's legal representative, and anyone properly authorized 
345.23 	by the person;
345.24 	(2) the person's case manager;
345.25 	(3) staff providing services to the person unless the information is not relevant to 
345.26 	carrying out the service plan; and 
345.27 	(4) the county adult foster care licensor, when services are also licensed as adult 
345.28 	foster care. 
345.29 		Subd. 4.Personnel records. The license holder must maintain a personnel record 
345.30 	of each employee, direct service volunteer, and subcontractor to document and verify staff 
345.31 	qualifications, orientation, and training. For the purposes of this subdivision, the terms 
345.32 	"staff" or "staff person" mean paid employee, direct service volunteer, or subcontractor. 
345.33 	The personnel record must include:
345.34 	(1) the staff person's date of hire, completed application, a position description 
345.35 	signed by the staff person, documentation that the staff person meets the position 
345.36 	requirements as determined by the license holder, the date of first supervised direct contact 
346.1 	with a person served by the program, and the date of first unsupervised direct contact with 
346.2 	a person served by the program;
346.3 	(2) documentation of staff qualifications, orientation, training, and performance 
346.4 	evaluations as required under section 245D.09, subdivisions 3, 4, and 5, including the 
346.5 	date the training was completed, the number of hours per subject area, and the name and 
346.6 	qualifications of the trainer or instructor; and
346.7 	(3) a completed background study as required under chapter 245C.

346.8 	Sec. 24. [245D.09] STAFFING STANDARDS.
346.9 		Subdivision 1.Staffing requirements.  The license holder must provide direct 
346.10 	service staff sufficient to ensure the health, safety, and protection of rights of each person 
346.11 	and to be able to implement the responsibilities assigned to the license holder in each 
346.12 	person's service plan.
346.13 		Subd. 2.Supervision of staff having direct contact. Except for a license holder 
346.14 	who are the sole direct service staff, the license holder must provide adequate supervision 
346.15 	of staff providing direct service to ensure the health, safety, and protection of rights of 
346.16 	each person and implementation of the responsibilities assigned to the license holder in 
346.17 	each person's service plan.
346.18 		Subd. 3.Staff qualifications. (a) The license holder must ensure that staff is 
346.19 	competent through training, experience, and education to meet the person's needs and 
346.20 	additional requirements as written in the service plan, or when otherwise required by the 
346.21 	case manager or the federal waiver plan. The license holder must verify and maintain 
346.22 	evidence of staff competency, including documentation of:
346.23 	(1) education and experience qualifications, including a valid degree and transcript, 
346.24 	or a current license, registration, or certification, when a degree or licensure, registration, 
346.25 	or certification is required;
346.26 	(2) completion of required orientation and training, including completion of 
346.27 	continuing education required to maintain professional licensure, registration, or 
346.28 	certification requirements; and
346.29 	(3) except for a license holder who is the sole direct service staff, performance 
346.30 	evaluations completed by the license holder of the direct service staff person's ability to 
346.31 	perform the job functions based on direct observation.
346.32 	(b) Staff under 18 years of age may not perform overnight duties or administer 
346.33 	medication.
346.34 		Subd. 4.Orientation. (a) Except for a license holder who does not supervise any 
346.35 	direct service staff, within 90 days of hiring direct service staff, the license holder must 
347.1 	provide and ensure completion of orientation that combines supervised on-the-job training 
347.2 	with review of and instruction on the following:
347.3 	(1) the job description and how to complete specific job functions, including:
347.4 	(i) responding to and reporting incidents as required under section 245D.06, 
347.5 	subdivision 1; and
347.6 	(ii) following safety practices established by the license holder and as required in 
347.7 	section 245D.06, subdivision 2;
347.8 	(2) the license holder's current policies and procedures required under this chapter, 
347.9 	including their location and access, and staff responsibilities related to implementation 
347.10 	of those policies and procedures;
347.11 	(3) data privacy requirements according to sections 13.01 to 13.10 and 13.46, the 
347.12 	federal Health Insurance Portability and Accountability Act of 1996 (HIPAA), and staff 
347.13 	responsibilities related to complying with data privacy practices;
347.14 	(4) the service recipient rights under section 245D.04, and staff responsibilities 
347.15 	related to ensuring the exercise and protection of those rights;
347.16 	(5) sections 245A.65; 245A.66, 626.556, and 626.557, governing maltreatment 
347.17 	reporting and service planning for children and vulnerable adults, and staff responsibilities 
347.18 	related to protecting persons from maltreatment and reporting maltreatment; 
347.19 	(6) what constitutes use of restraints, seclusion, and psychotropic medications, and 
347.20 	staff responsibilities related to the prohibitions of their use; and 
347.21 	(7) other topics as determined necessary in the person's service plan by the case 
347.22 	manager or other areas identified by the license holder.
347.23 	(b) License holders who provide direct service themselves must complete the 
347.24 	orientation required in paragraph (a), clauses (3) to (7). 
347.25 	(c) Before providing unsupervised direct service to a person served by the program, 
347.26 	or for whom the staff person has not previously provided direct service, or any time the 
347.27 	plans or procedures identified in clauses (1) and (2) are revised, the staff person must 
347.28 	review and receive instruction on the following as it relates to the staff person's job 
347.29 	functions for that person:
347.30 	(1) the person's service plan as it relates to the responsibilities assigned to the license 
347.31 	holder, and when applicable, the person's individual abuse prevention plan according to 
347.32 	section 245A.65, to achieve an understanding of the person as a unique individual, and 
347.33 	how to implement those plans; and
347.34 	(2) medication administration procedures established for the person when assigned 
347.35 	to the license holder according to section 245D.05, subdivision 1, paragraph (b). 
347.36 	Unlicensed staff may administer medications only after successful completion of a 
348.1 	medication administration training, from a training curriculum developed by a registered 
348.2 	nurse, clinical nurse specialist in psychiatric and mental health nursing, certified nurse 
348.3 	practitioner, physician's assistant, or physician incorporating an observed skill assessment 
348.4 	conducted by the trainer to ensure staff demonstrate the ability to safely and correctly 
348.5 	follow medication procedures. Medication administration must be taught by a registered 
348.6 	nurse, clinical nurse specialist, certified nurse practitioner, physician's assistant, or 
348.7 	physician, if at the time of service initiation or any time thereafter, the person has or 
348.8 	develops a health care condition that affects the service options available to the person 
348.9 	because the condition requires:
348.10 	(i) specialized or intensive medical or nursing supervision;
348.11 	(ii) nonmedical service providers to adapt their services to accommodate the health 
348.12 	and safety needs of the person; and
348.13 	(iii) necessary training in order to meet the health service needs of the person as 
348.14 	determined by the person's physician.
348.15 		Subd. 5.Training. (a) A license holder must provide annual training to direct 
348.16 	service staff on the topics identified in subdivision 4, paragraph (a), clauses (3) to (6).
348.17 	(b) A license holder providing behavioral programming, specialist services, personal 
348.18 	support, 24-hour emergency assistance, night supervision, independent living skills, 
348.19 	structured day, prevocational, or supported employment services must provide a minimum 
348.20 	of eight hours of annual training to direct service staff that addresses:
348.21 	(1) topics related to the general health, safety, and service needs of the population 
348.22 	served by the license holder; and
348.23 	(2) other areas identified by the license holder or in the person's current service plan.
348.24 	Training on relevant topics received from sources other than the license holder 
348.25 	may count toward training requirements. 
348.26 	(c) When the license holder is the owner, lessor, or tenant of the service site and 
348.27 	whenever a person receiving services is present at the site, the license holder must have 
348.28 	a staff person available on site who is trained in basic first aid and, when required in a 
348.29 	person's service plan, cardiopulmonary resuscitation.
348.30 		Subd. 6.Subcontractors. If the license holder uses a subcontractor to perform 
348.31 	services licensed under this chapter on their behalf, the license holder must ensure that the 
348.32 	subcontractor meets and maintains compliance with all requirements under this chapter 
348.33 	that apply to the services to be provided.
348.34 		Subd. 7.Volunteers. The license holder must ensure that volunteers who provide 
348.35 	direct services to persons served by the program receive the training, orientation, and 
348.36 	supervision necessary to fulfill their responsibilities.

349.1 	Sec. 25. [245D.10] POLICIES AND PROCEDURES.
349.2 		Subdivision 1.Policy and procedure requirements.  The license holder must 
349.3 	establish, enforce, and maintain policies and procedures as required in this chapter.
349.4 		Subd. 2.Grievances. The license holder must establish policies and procedures that 
349.5 	provide a simple complaint process for persons served by the program and their authorized 
349.6 	representatives to bring a grievance that:
349.7 	(1) provides staff assistance with the complaint process when requested, and the 
349.8 	addresses and telephone numbers of outside agencies to assist the person; 
349.9 	(2) allows the person to bring the complaint to the highest level of authority in the 
349.10 	program if the grievance cannot be resolved by other staff members, and that provides 
349.11 	the name, address, and telephone number of that person; 
349.12 	(3) requires the license holder to promptly respond to all complaints affecting a 
349.13 	person's health and safety. For all other complaints the license holder must provide an 
349.14 	initial response within 14 calendar days of receipt of the complaint. All complaints must 
349.15 	be resolved within 30 calendar days of receipt or the license holder must document the 
349.16 	reason for the delay and a plan for resolution; 
349.17 	(4) requires a complaint review that includes an evaluation of whether:
349.18 	(i) related policies and procedures were followed and adequate; 
349.19 	(ii) there is a need for additional staff training; 
349.20 	(iii) the complaint is similar to past complaints with the persons, staff, or services 
349.21 	involved; and 
349.22 	(iv) there is a need for corrective action by the license holder to protect the health 
349.23 	and safety of persons receiving services; 
349.24 	(5) based on the review in clause (4), requires the license holder to develop, 
349.25 	document, and implement a corrective action plan, designed to correct current lapses and 
349.26 	prevent future lapses in performance by staff or the license holder, if any;
349.27 	(6) provides a written summary of the complaint and a notice of the complaint 
349.28 	resolution to the person and case manager, that:
349.29 	(i) identifies the nature of the complaint and the date it was received; 
349.30 	(ii) includes the results of the complaint review; 
349.31 	(iii) identifies the complaint resolution, including any corrective action; and 
349.32 	(7) requires that the complaint summary and resolution notice be maintained in the 
349.33 	service recipient record.
349.34 		Subd. 3.Service suspension and service termination. (a) The license holder must 
349.35 	establish policies and procedures for temporary service suspension and service termination 
350.1 	that promote continuity of care and service coordination with the person and the case 
350.2 	manager, and with other licensed caregivers, if any, who also provide support to the person. 
350.3 	(b) The policy must include the following requirements:
350.4 	(1) the license holder must notify the person and case manager in writing of the 
350.5 	intended termination or temporary service suspension, and the person's right to seek a 
350.6 	temporary order staying the termination of service according to the procedures in section 
350.7 	256.045, subdivision 4a, or 6, paragraph (c); 
350.8 	(2) notice of the proposed termination of services, including those situations 
350.9 	that began with a temporary service suspension, must be given at least 60 days before 
350.10 	the proposed termination is to become effective when a license holder is providing 
350.11 	independent living skills training, structured day, prevocational or supported employment 
350.12 	services to the person, and 30 days prior to termination for all other services licensed 
350.13 	under this chapter;
350.14 	(3) the license holder must provide information requested by the person or case 
350.15 	manager when services are temporarily suspended or upon notice of termination;
350.16 	(4) prior to giving notice of service termination or temporary service suspension, 
350.17 	the license holder must document actions taken to minimize or eliminate the need for 
350.18 	service suspension or termination; 
350.19 	(5) during the temporary service suspension or service termination notice period, 
350.20 	the license holder will work with the appropriate county agency to develop reasonable 
350.21 	alternatives to protect the person and others; 
350.22 	(6) the license holder must maintain information about the service suspension or 
350.23 	termination, including the written termination notice, in the service recipient record; and
350.24 	(7) the license holder must restrict temporary service suspension to situations in 
350.25 	which the person's behavior causes immediate and serious danger to the health and safety 
350.26 	of the person or others.
350.27 		Subd. 4.Availability of current written policies and procedures. (a) The license 
350.28 	holder must review and update, as needed, the written policies and procedures required 
350.29 	under this chapter.
350.30 	(b) The license holder must inform the person and case manager of the policies and 
350.31 	procedures affecting a person's rights under section 245D.04, and provide copies of those 
350.32 	policies and procedures, within five working days of service initiation. 
350.33 	(c) The license holder must provide a written notice at least 30 days before 
350.34 	implementing any revised policies and procedures affecting a person's rights under section 
350.35 	245D.04. The notice must explain the revision that was made and include a copy of 
351.1 	the revised policy and procedure. The license holder must document the reason for not 
351.2 	providing the notice at least 30 days before implementing the revisions.
351.3 	(d) Before implementing revisions to required policies and procedures the license 
351.4 	holder must inform all employees of the revisions and provide training on implementation 
351.5 	of the revised policies and procedures. 

351.6 	Sec. 26. Minnesota Statutes 2010, section 256B.4912, is amended to read:
351.7 	256B.4912 HOME AND COMMUNITY-BASED WAIVERS; PROVIDERS 
351.8 	AND PAYMENT.
351.9 		Subdivision 1.Provider qualifications. For the home and community-based 
351.10 	waivers providing services to seniors and individuals with disabilities, the commissioner 
351.11 	shall establish:
351.12 	(1) agreements with enrolled waiver service providers to ensure providers meet 
351.13 	qualifications defined in the waiver plans Minnesota health care program requirements;
351.14 	(2) regular reviews of provider qualifications, and including requests of proof of 
351.15 	documentation; and
351.16 	(3) processes to gather the necessary information to determine provider 
351.17 	qualifications.
351.18 	By July 2010,Beginning July 1, 2012, staff that provide direct contact, as defined 
351.19 	in section 245C.02, subdivision 11, that are employees of waiver service providers for 
351.20 	services specified in the federally approved waiver plans must meet the requirements 
351.21 	of chapter 245C prior to providing waiver services and as part of ongoing enrollment.  
351.22 	Upon federal approval, this requirement must also apply to consumer-directed community 
351.23 	supports.
351.24 		Subd. 2.Rate-setting Payment methodologies. (a) The commissioner shall 
351.25 	establish statewide rate-setting payment methodologies that meet federal waiver 
351.26 	requirements for home and community-based waiver services for individuals with 
351.27 	disabilities. The rate-setting payment methodologies must abide by the principles of 
351.28 	transparency and equitability across the state. The methodologies must involve a uniform 
351.29 	process of structuring rates for each service and must promote quality and participant 
351.30 	choice.
351.31 	(b) As of January 1, 2012, counties shall not implement changes to established 
351.32 	processes for rate-setting methodologies for individuals using components of or data 
351.33 	from research rates.
351.34 		Subd. 3.Payment requirements. The payment methodologies established under 
351.35 	this section shall accommodate:
352.1 	(1) supervision costs; 
352.2 	(2) staffing patterns;
352.3 	(3) program-related expenses;
352.4 	(4) general and administrative expenses; and
352.5 	(5) consideration of recipient intensity.
352.6 		Subd. 4.Payment rate criteria. (a) The payment methodologies under this section 
352.7 	shall reflect the payment rate criteria in paragraphs (b), (c), and (d).
352.8 	(b) Payment rates shall reflect the reasonable, ordinary, and necessary costs of 
352.9 	service delivery.
352.10 	(c) Payment rates shall be sufficient to enlist enough providers so that care and 
352.11 	services are available at least to the extent that such care and services are available to 
352.12 	the general population in the geographic area as required by section 1902(a)(30)(A) of 
352.13 	the Social Security Act.
352.14 	(d) The commissioner must not reimburse:
352.15 	(1) unauthorized service delivery;
352.16 	(2) services provided under a receipt of a special grant;
352.17 	(3) services provided under contract to a local school district;
352.18 	(4) extended employment services under Minnesota Rules, parts 3300.2005 to 
352.19 	3300.3100, or vocational rehabilitation services provided under the federal Rehabilitation 
352.20 	Act, as amended, Title I, section 110, or Title VI-C, and not through use of medical 
352.21 	assistance or county social service funds; or
352.22 	(5) services provided to a client by a licensed medical, therapeutic, or rehabilitation 
352.23 	practitioner or any other vendor of medical care which are billed separately on a 
352.24 	fee-for-service basis.
352.25 		Subd. 5.County and tribal provider contract elimination. County and tribal 
352.26 	contracts with providers of home and community-based waiver services provided under 
352.27 	sections 256B.0913, 256B.0915, 256B.092, and 256B.49 are eliminated effective January 
352.28 	1, 2014.
352.29 		Subd. 6.Program standards. The commissioner of human services must establish 
352.30 	uniform program standards for services identified in chapter 245D for persons with 
352.31 	disabilities and people age 65 and older. The commissioner must grant licenses according 
352.32 	to the provisions of chapter 245A.
352.33 		Subd. 7.Applicant and license holder training. An applicant or license holder 
352.34 	that is not enrolled as a Minnesota health care program home and community-based 
352.35 	services waiver provider at the time of application must ensure that at least one controlling 
352.36 	individual completes a onetime training on the requirements for providing home and 
353.1 	community-based services from a qualified source as determined by the commissioner, 
353.2 	before a provider is enrolled or license is issued.

353.3 	EFFECTIVE DATE. This section is effective the day following final enactment.

353.4 	Sec. 27. [256B.4913] PAYMENT METHODOLOGY DEVELOPMENT.
353.5 		Subdivision 1.Research period and rates. (a) For the purposes of this 
353.6 	section, "research rate" means a proposed payment rate for the provision of home 
353.7 	and community-based waivered services to meet federal requirements and assess 
353.8 	the implications of changing resources on the provision of services and "research 
353.9 	period" means the time period during which the research rate is being assessed by the 
353.10 	commissioner.
353.11 	(b) The commissioner shall determine and publish initial frameworks and values to 
353.12 	generate research rates for individuals receiving home and community-based services.
353.13 	(c) The initial values issued by the commissioner shall ensure projected spending 
353.14 	for home and community-based services for each service area is equivalent to projected 
353.15 	spending under current law in the most recent expenditure forecast.
353.16 	(d) The initial values issued shall be based on the most updated information and cost 
353.17 	data available on supervision, employee-related costs, client programming and supports, 
353.18 	programming planning supports, transportation, administrative overhead, and utilization 
353.19 	costs. These service areas are:
353.20 	(1) residential services, defined as corporate foster care, family foster care, residential 
353.21 	care, supported living services, customized living, and 24-hour customized living;
353.22 	(2) day program services, defined as adult day care, day training and habilitation, 
353.23 	prevocational services, structured day services, and transportation;
353.24 	(3) unit-based services with programming, defined as in-home family support, 
353.25 	independent living services, supported living services, supported employment, behavior 
353.26 	programming, and housing access coordination; and
353.27 	(4) unit-based services without programming, defined as respite, personal support, 
353.28 	and night supervision.
353.29 	(e) The commissioner shall make available the underlying assessment information, 
353.30 	without any identifying information, and the statistical modeling used to generate the 
353.31 	initial research rate and calculate budget neutrality.
353.32 		Subd. 2.Framework values. (a) The commissioner shall propose legislation with 
353.33 	the specific payment methodology frameworks, process for calculation, and specific 
353.34 	values to populate the frameworks by February 15, 2013.
354.1 	(b) The commissioner shall provide underlying data and information used to 
354.2 	formulate the final frameworks and values to the existing stakeholder workgroup by 
354.3 	January 15, 2013.
354.4 	(c) The commissioner shall provide recommendations for the final frameworks 
354.5 	and values, and the basis for the recommendations to the legislative committees with 
354.6 	jurisdiction over health and human services finance by February 15, 2013.
354.7 	(d) The commissioner shall review the following topics during the research period 
354.8 	and propose, as necessary, recommendations to address the following research questions:
354.9 	(1) underlying differences in the cost to provide services throughout the state;
354.10 	(2) a data-driven process for determining labor costs and customizations for staffing 
354.11 	classifications included in each rate framework based on the services performed;
354.12 	(3) the allocation of resources previously established under section 256B.501, 
354.13 	subdivision 4b;
354.14 	(4) further definition and development of unit-based services;
354.15 	(5) the impact of splitting the allocation of resources for unit-based services for those 
354.16 	with programming aspects and those without;
354.17 	(6) linking assessment criteria to future assessment processes for determination 
354.18 	of customizations;
354.19 	(7) recognition of cost differences in the use of monitoring technology where it is 
354.20 	appropriate to substitute for supervision;
354.21 	(8) implications for day services of reimbursement based on a unit rate and a daily 
354.22 	rate;
354.23 	(9) a definition of shared and individual staffing for unit-based services;
354.24 	(10) the underlying costs of providing transportation associated with day services; 
354.25 	and
354.26 	(11) an exception process for individuals with exceptional needs that cannot be met 
354.27 	under the initial research rate, and an alternative payment structure for those individuals.
354.28 	(e) The commissioner shall develop a comprehensive plan based on information 
354.29 	gathered during the research period that uses statistically reliable and valid assessment 
354.30 	data to refine payment methodologies.
354.31 	(f) The commissioner shall make recommendations and provide underlying data and 
354.32 	information used to formulate these research recommendations to the existing stakeholder 
354.33 	workgroup by January 15, 2013.
354.34 		Subd. 3.Data collection. (a) The commissioner shall conduct any necessary 
354.35 	research and gather additional data for the further development and refinement of payment 
354.36 	methodology components. These include but are not limited to:
355.1 	(1) levels of service utilization and patterns of use;
355.2 	(2) staffing patterns for each service;
355.3 	(3) profile of individual service needs; and
355.4 	(4) cost factors involved in providing transportation services.
355.5 	(b) The commissioner shall provide this information to the existing stakeholder 
355.6 	workgroup by January 15, 2013.
355.7 		Subd. 4.Rate stabilization adjustment. Beginning January 1, 2014, the 
355.8 	commissioner shall adjust individual rates determined by the new payment methodology 
355.9 	so that the new rate varies no more than one percent per year from the rate effective 
355.10 	on December 31 of the prior calendar year. This adjustment is made annually and is 
355.11 	effective for three calendar years from the date of implementation. This subdivision 
355.12 	expires January 1, 2017.
355.13 		Subd. 5.Stakeholder consultation. The commissioner shall continue consultation 
355.14 	on regular intervals with the existing stakeholder group established as part of the 
355.15 	rate-setting methodology process to gather input, concerns, data, and exchange ideas for 
355.16 	the legislative proposals for the new rate payment system and make pertinent information 
355.17 	available to the public through the department's Web site.
355.18 		Subd. 6.Implementation. The commissioner may implement changes no 
355.19 	sooner than January 1, 2014, to payment rates for individuals receiving home and 
355.20 	community-based waivered services after the enactment of legislation that establishes 
355.21 	specific payment methodology frameworks, processes for rate calculations, and specific 
355.22 	values to populate the payment methodology frameworks.

355.23 	EFFECTIVE DATE. This section is effective the day following final enactment.