SF 1080

Introduction - 94th Legislature (2025 - 2026)

Posted on 07/09/2025 08:59 a.m.

A bill for an act
relating to health; establishing an ambulance operating deficit grant program;
establishing an account; requiring reports; proposing coding for new law in
Minnesota Statutes, chapter 144E.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [144E.54] AMBULANCE OPERATING DEFICIT GRANT PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the terms defined in this
subdivision have the meanings given.
new text end

new text begin (b) "Capital expenses" means expenses incurred by a licensee for the purchase,
improvement, or maintenance of assets with an expected useful life of greater than five
years that improve the efficiency of provided ambulance services or the capabilities of the
licensee.
new text end

new text begin (c) "EMS response" means the number of responses provided within a primary service
area during the most recently completed calendar year by the licensed ambulance service
provider designated to serve the primary service area as reported by the provider to the
board via the Minnesota state ambulance reporting system.
new text end

new text begin (d) "Government licensee" means any government entity, as defined in section 118A.01,
subdivision 2, including a Tribe, that is a licensee.
new text end

new text begin (e) "Insurance revenue" means revenue from Medicare, medical assistance, private health
insurance, third-party liability insurance, and payments from individuals.
new text end

new text begin (f) "Operating deficit" means the sum of insurance revenue and other revenue is less
than the sum of operational expenses and capital expenses.
new text end

new text begin (g) "Operational expenses" means costs related to the day-to-day operations of an
ambulance service, including but not limited to costs related to personnel, supplies and
equipment, fuel, vehicle maintenance, travel, education, and fundraising.
new text end

new text begin (h) "Other revenue" means revenue from any revenue that is not insurance revenue,
including but not limited to grants, tax revenue, donations, fundraisers, or standby fees.
new text end

new text begin (i) "Response density" means the quotient of EMS responses divided by the square
mileage of the primary service area.
new text end

new text begin Subd. 2. new text end

new text begin Program establishment. new text end

new text begin An ambulance operating deficit grant program is
established to award grants to applicants to address revenue shortfalls creating operating
deficits among eligible applicants.
new text end

new text begin Subd. 3. new text end

new text begin Account established. new text end

new text begin An ambulance operating deficit account is created in the
special revenue fund in the state treasury. The director shall credit the account appropriations
and transfers to the account. Earnings, including interest, dividends, and any other earnings
arising from assets of the account, must be credited to the account. The director shall manage
the account.
new text end

new text begin Subd. 4. new text end

new text begin Eligible applicants. new text end

new text begin For the purposes of this section "eligible applicant" means
any licensee who possessed a license not excluded under subdivision 5 or 6 in the last
completed state fiscal year for which data was provided to the director, as provided in section
62J.49, who continues to operate that same nonexcluded license at the time of application,
and who provides verifiable evidence of an operating deficit in the state fiscal year prior to
submitting an application.
new text end

new text begin Subd. 5. new text end

new text begin Licensee providing specialized life support services excluded. new text end

new text begin Licensees
providing specialized life support services as described in section 144E.101, subdivision 9,
are ineligible for grants under this section.
new text end

new text begin Subd. 6. new text end

new text begin Certain single license holders excluded. new text end

new text begin Licensees who possess only one
license are not eligible for grants under this section if the licensed primary service area has
a response density greater than 30.
new text end

new text begin Subd. 7. new text end

new text begin Certain multiple license holders excluded. new text end

new text begin (a) Except as provided under
paragraph (b), all licenses held by a multiple license holder are ineligible for grants under
this section if any license held by a multiple license holder is designated to serve a primary
service area, any portion of which is located within the cities of Duluth, Mankato, Rochester,
or St. Cloud, or a metropolitan county.
new text end

new text begin (b) For a multiple license holder affiliated with a private nonprofit adult hospital that is
located in Hennepin County and designated by the commissioner of health as a level I trauma
hospital, only the licenses held by the multiple license holder and located entirely within
one or more metropolitan counties are ineligible for grants under this section.
new text end

new text begin Subd. 8. new text end

new text begin Application process. new text end

new text begin (a) An eligible licensee may apply to the director, in the
form and manner determined by the director, for a grant under this section.
new text end

new text begin (b) A grant application made by a government licensee must be accompanied by a
resolution of support from the governing body.
new text end

new text begin Subd. 9. new text end

new text begin Director calculations. new text end

new text begin The director shall award grants only to applicants who
provide verifiable evidence of an operating deficit in the last completed state fiscal year for
which data were provided to the director. A grant awarded must not be more than five
percent more than any previous grant without special permission from the director.
new text end

new text begin Subd. 10. new text end

new text begin Grant awards; limitations. new text end

new text begin (a) Grants awarded under this section to eligible
applicants may be proportionally distributed based on money available. Total amounts
awarded must not exceed the amount in the ambulance operating deficit account.
new text end

new text begin (b) The director shall award grants annually.
new text end

new text begin (c) The director must not award individual grants that exceed the amount of the grantee's
most recent verified operating deficit as reported to the director.
new text end

new text begin Subd. 11. new text end

new text begin Eligible expenditures. new text end

new text begin A grantee must spend grant money received under
this section on operational expenses and capital expenses incurred to provide ambulance
services.
new text end

new text begin Subd. 12. new text end

new text begin Report. new text end

new text begin By February 15, 2026, and annually thereafter, the director must
submit a report to the chairs and ranking minority members of the legislative committees
with jurisdiction over health finance and policy. The report must describe the number and
amount of grants awarded under this section and the uses made of grant money by grantees.
new text end