SF 2439

1st Engrossment - 94th Legislature (2025 - 2026)

Posted on 11/05/2025 01:36 p.m.

A bill for an act
relating to human services; modifying provisions relating to aging and disability
services; correcting cross-references; making conforming and technical changes;
amending Minnesota Statutes 2024, sections 252.28, subdivision 2; 252.41,
subdivision 3; 252.42; 252.43; 252.44; 252.45; 252.46, subdivision 1a; 256B.092,
subdivisions 1a, 11a; 256B.49, subdivisions 13, 29.

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

Section 1.

Minnesota Statutes 2024, section 252.28, subdivision 2, is amended to read:

Subd. 2.

Rules; program standards; licenses.

The commissioner of human services
shall:

(1) Establish uniform rules and program standards for each type of residential and day
facility or service for persons with developmental disabilities, including state hospitals under
control of the executive board and serving persons with developmental disabilities, and
excluding persons with developmental disabilities residing with their families.

(2) Grant licenses according to the provisions of deleted text begin Laws 1976, chapter 243, sections 2 to
13 deleted text end new text begin chapter 245A new text end .

Sec. 2.

Minnesota Statutes 2024, section 252.41, subdivision 3, is amended to read:

Subd. 3.

Day services for adults with disabilities.

(a) "Day services for adults with
disabilities" new text begin or "day services" new text end means services that:

(1) include supervision, training, assistance, support, facility-based work-related activities,
or other community-integrated activities designed and implemented in accordance with the
support plan and support plan addendum required under sections deleted text begin 245D.02, subdivision 4,
paragraphs (b) and (c), deleted text end new text begin 245D.02, subdivisions 4b and 4c, new text end and 256B.092, subdivision 1b,
and Minnesota Rules, part 9525.0004, subpart 12, to help an adult reach and maintain the
highest possible level of independence, productivity, and integration into the community;

(2) include day support services, prevocational services, deleted text begin day training and habilitation
services, deleted text end structured day services, and adult day services as defined in Minnesota's federally
approved disability waiver plans; deleted text begin and
deleted text end

(3) new text begin include day training and habilitation services; and
new text end

new text begin (4) new text end are provided by a vendor licensed under sections 245A.01 to 245A.16, 245D.27 to
245D.31, 252.28, subdivision 2, or 252.41 to 252.46, or Minnesota Rules, parts 9525.1200
to 9525.1330, to provide day services.

(b) Day services reimbursable under this section do not include special education and
related services as defined in the Education of the Individuals with Disabilities Act, United
States Code, title 20, chapter 33, section 1401, clauses (6) and (17), or vocational services
funded under section 110 of the Rehabilitation Act of 1973, United States Code, title 29,
section 720, as amended.

(c) Day services do not include employment exploration, employment development, or
employment support services as defined in the home and community-based services waivers
for people with disabilities authorized under sections 256B.092 and 256B.49.

Sec. 3.

Minnesota Statutes 2024, section 252.42, is amended to read:

252.42 SERVICE PRINCIPLES.

The design and delivery of services eligible for reimbursement should reflect the
following principles:

(1) services must suit a person's chronological age and be provided in the least restrictive
environment possible, consistent with the needs identified in the person's support plan and
support plan addendum required under sections 256B.092, subdivision 1b, and deleted text begin 245D.02,
subdivision 4, paragraphs (b) and (c) deleted text end new text begin 245D.02, subdivisions 4b and 4c new text end , and Minnesota Rules,
part 9525.0004, subpart 12;

(2) a person with a disability whose individual support plans and support plan addendums
authorize employment or employment-related activities shall be given the opportunity to
participate in employment and employment-related activities in which nondisabled persons
participate;

(3) a person with a disability participating in work shall be paid wages commensurate
with the rate for comparable work and productivity except as regional centers are governed
by section 246.151;

(4) a person with a disability shall receive services which include services offered in
settings used by the general public and designed to increase the person's active participation
in ordinary community activities;

(5) a person with a disability shall participate in the patterns, conditions, and rhythms
of everyday living and working that are consistent with the norms of the mainstream of
society.

Sec. 4.

Minnesota Statutes 2024, section 252.43, is amended to read:

252.43 COMMISSIONER'S DUTIES.

(a) The commissioner shall supervise lead agencies' provision of day services to adults
with disabilities. The commissioner shall:

(1) determine the need for day deleted text begin programs deleted text end new text begin services new text end new text begin , except for adult day services, new text end under
sections 256B.4914 and 252.41 to 252.46 new text begin operated in a day services facility licensed under
sections 245D.27 to 245D.31 new text end ;

deleted text begin (2) establish payment rates as provided under section 256B.4914;
deleted text end

deleted text begin (3) deleted text end new text begin (2) new text end adopt rules for the administration and provision of day services under sections
245A.01 to 245A.16; 252.28, subdivision 2; or 252.41 to 252.46; or Minnesota Rules, parts
9525.1200 to 9525.1330;

deleted text begin (4) deleted text end new text begin (3) new text end enter into interagency agreements necessary to ensure effective coordination and
provision of day services;

deleted text begin (5) deleted text end new text begin (4) new text end monitor and evaluate the costs and effectiveness of day services; and

deleted text begin (6) deleted text end new text begin (5) new text end provide information and technical help to lead agencies and vendors in their
administration and provision of day services.

(b) A determination of need in paragraph (a), clause (1), shall not be required for a
change in day service provider name or ownership.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

Sec. 5.

Minnesota Statutes 2024, section 252.44, is amended to read:

252.44 LEAD AGENCY BOARD RESPONSIBILITIES.

When the need for day services in a county or tribe has been determined under section
deleted text begin 252.28 deleted text end new text begin 252.43 new text end , the board of commissioners for that lead agency shall:

(1) authorize the delivery of new text begin day new text end services according to the support plans and support
plan addendums required as part of the lead agency's provision of case management services
under sections deleted text begin 256B.0913, subdivision 8; deleted text end 256B.092, subdivision 1b deleted text begin ; deleted text end new text begin , and new text end 256B.49,
subdivision 15 deleted text begin ; deleted text end new text begin , new text end and deleted text begin 256S.10 and deleted text end Minnesota Rules, parts 9525.0004 to 9525.0036;

(2) ensure that transportation is provided or arranged by the vendor in the most efficient
and reasonable way possible; and

(3) monitor and evaluate the cost and effectiveness of the services.

Sec. 6.

Minnesota Statutes 2024, section 252.45, is amended to read:

252.45 VENDOR'S DUTIES.

A day service vendor enrolled with the commissioner is responsible for items under
clauses (1), (2), and (3), and extends only to the provision of services that are reimbursable
under state and federal law. A vendor providing day services shall:

(1) provide the amount and type of services authorized in the individual service plan
under the support plan and support plan addendum required under sections deleted text begin 245D.02,
subdivision 4, paragraphs (b) and (c) deleted text end new text begin 245D.02, subdivisions 4b and 4c new text end , and 256B.092,
subdivision 1b, and Minnesota Rules, part 9525.0004, subpart 12;

(2) design the services to achieve the outcomes assigned to the vendor in the support
plan and support plan addendum required under sections deleted text begin 245D.02, subdivision 4, paragraphs
(a) and (b) deleted text end new text begin 245D.02, subdivisions 4b and 4c new text end , and 256B.092, subdivision 1b, and Minnesota
Rules, part 9525.0004, subpart 12;

(3) provide or arrange for transportation of persons receiving services to and from service
sites;

(4) enter into agreements with community-based intermediate care facilities for persons
with developmental disabilities to ensure compliance with applicable federal regulations;
and

(5) comply with state and federal law.

Sec. 7.

Minnesota Statutes 2024, section 252.46, subdivision 1a, is amended to read:

Subd. 1a.

Day training and habilitation rates.

The commissioner shall establish deleted text begin a
statewide rate-setting methodology deleted text end new text begin rates new text end for all day training and habilitation services new text begin and
for transportation delivered as a part of day training and habilitation services new text end deleted text begin as provided
under section 256B.4914. The rate-setting methodology must abide by the principles of
transparency and equitability across the state. The methodology must involve a uniform
process of structuring rates for each service and must promote quality and participant choice deleted text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2026.
new text end

Sec. 8.

Minnesota Statutes 2024, section 256B.092, subdivision 1a, is amended to read:

Subd. 1a.

Case management services.

(a) Each recipient of a home and community-based
waiver shall be provided case management services by qualified vendors as described in
the federally approved waiver application.

(b) Case management service activities provided to or arranged for a person include:

(1) development of the person-centered support plan under subdivision 1b;

(2) informing the individual or the individual's legal guardian or conservator, or parent
if the person is a minor, of service options, including all service options available under the
waiver plan;

(3) consulting with relevant medical experts or service providers;

(4) assisting the person in the identification of potential providers of chosen services,
including:

(i) providers of services provided in a non-disability-specific setting;

(ii) employment service providers;

(iii) providers of services provided in settings that are not controlled by a provider; and

(iv) providers of financial management services;

(5) assisting the person to access services and assisting in appeals under section 256.045;

(6) coordination of services, if coordination is not provided by another service provider;

(7) evaluation and monitoring of the services identified in the support plan, which must
incorporate at least one annual face-to-face visit by the case manager with each person; and

(8) reviewing support plans and providing the lead agency with recommendations for
service authorization based upon the individual's needs identified in the support plan.

(c) Case management service activities that are provided to the person with a
developmental disability shall be provided directly by county agencies or under contract.
If a county agency contracts for case management services, the county agency must provide
each recipient of home and community-based services who is receiving contracted case
management services with the contact information the recipient may use to file a grievance
with the county agency about the quality of the contracted services the recipient is receiving
from a county-contracted case manager. If a county agency provides case management
under contracts with other individuals or agencies and the county agency utilizes a
competitive proposal process for the procurement of contracted case management services,
the competitive proposal process must include evaluation criteria to ensure that the county
maintains a culturally responsive program for case management services adequate to meet
the needs of the population of the county. For the purposes of this section, "culturally
responsive program" means a case management services program that: (1) ensures effective,
equitable, comprehensive, and respectful quality care services that are responsive to
individuals within a specific population's values, beliefs, practices, health literacy, preferred
language, and other communication needs; and (2) is designed to address the unique needs
of individuals who share a common language or racial, ethnic, or social background.

(d) Case management services must be provided by a public or private agency that is
enrolled as a medical assistance provider determined by the commissioner to meet all of
the requirements in the approved federal waiver plans. Case management services must not
be provided to a recipient by a private agency that has a financial interest in the provision
of any other services included in the recipient's support plan. For purposes of this section,
"private agency" means any agency that is not identified as a lead agency under section
256B.0911, subdivision 10.

(e) Case managers are responsible for service provisions listed in paragraphs (a) and
(b). Case managers shall collaborate with consumers, families, legal representatives, and
relevant medical experts and service providers in the development and annual review of the
person-centered support plan and habilitation plan.

(f) For persons who need a positive support transition plan as required in chapter 245D,
the case manager shall participate in the development and ongoing evaluation of the plan
with the expanded support team. At least quarterly, the case manager, in consultation with
the expanded support team, shall evaluate the effectiveness of the plan based on progress
evaluation data submitted by the licensed provider to the case manager. The evaluation must
identify whether the plan has been developed and implemented in a manner to achieve the
following within the required timelines:

(1) phasing out the use of prohibited procedures;

(2) acquisition of skills needed to eliminate the prohibited procedures within the plan's
timeline; and

(3) accomplishment of identified outcomes.

If adequate progress is not being made, the case manager shall consult with the person's
expanded support team to identify needed modifications and whether additional professional
support is required to provide consultation.

(g) The Department of Human Services shall offer ongoing education in case management
to case managers. Case managers shall receive no less than 20 hours of case management
education and disability-related training each year. The education and training must include
person-centered planning, informed choice, new text begin informed decision making, new text end cultural competency,
employment planning, community living planning, self-direction options, and use of
technology supports. new text begin Case managers must annually complete an informed choice curriculum
and pass a competency evaluation, in a form determined by the commissioner, on informed
decision-making standards. new text end By August 1, 2024, all case managers must complete an
employment support training course identified by the commissioner of human services. For
case managers hired after August 1, 2024, this training must be completed within the first
six months of providing case management services. For the purposes of this section,
"person-centered planning" or "person-centered" has the meaning given in section 256B.0911,
subdivision 10. Case managers must document completion of training in a system identified
by the commissioner.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2025.
new text end

Sec. 9.

Minnesota Statutes 2024, section 256B.092, subdivision 11a, is amended to read:

Subd. 11a.

Residential support services criteria.

(a) For the purposes of this subdivision,
"residential support services" means the following residential support services reimbursed
under section 256B.4914: community residential services, customized living services, and
24-hour customized living services.

(b) In order to increase independent living options for people with disabilities and in
accordance with section 256B.4905, subdivisions deleted text begin 3 deleted text end deleted text begin and 4 deleted text end new text begin 7 and 8 new text end , and consistent with
section 245A.03, subdivision 7, the commissioner must establish and implement criteria to
access residential support services. The criteria for accessing residential support services
must prohibit the commissioner from authorizing residential support services unless at least
all of the following conditions are met:

(1) the individual has complex behavioral health or complex medical needs; and

(2) the individual's service planning team has considered all other available residential
service options and determined that those options are inappropriate to meet the individual's
support needs.

(c) Nothing in this subdivision shall be construed as permitting the commissioner to
establish criteria prohibiting the authorization of residential support services for individuals
described in the statewide priorities established in subdivision 12, the transition populations
in subdivision 13, and the licensing moratorium exception criteria under section 245A.03,
subdivision 7, paragraph (a).

(d) Individuals with active service agreements for residential support services on the
date that the criteria for accessing residential support services become effective are exempt
from the requirements of this subdivision, and the exemption from the criteria for accessing
residential support services continues to apply for renewals of those service agreements.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective 90 days following federal approval of
Laws 2021, First Special Session chapter 7, article 13, section 18.
new text end

Sec. 10.

Minnesota Statutes 2024, section 256B.49, subdivision 13, is amended to read:

Subd. 13.

Case management.

(a) Each recipient of a home and community-based waiver
shall be provided case management services by qualified vendors as described in the federally
approved waiver application. The case management service activities provided must include:

(1) finalizing the person-centered written support plan within the timelines established
by the commissioner and section 256B.0911, subdivision 29;

(2) informing the recipient or the recipient's legal guardian or conservator of service
options, including all service options available under the waiver plans;

(3) assisting the recipient in the identification of potential service providers of chosen
services, including:

(i) available options for case management service and providers;

(ii) providers of services provided in a non-disability-specific setting;

(iii) employment service providers;

(iv) providers of services provided in settings that are not community residential settings;
and

(v) providers of financial management services;

(4) assisting the recipient to access services and assisting with appeals under section
256.045; and

(5) coordinating, evaluating, and monitoring of the services identified in the service
plan.

(b) The case manager may delegate certain aspects of the case management service
activities to another individual provided there is oversight by the case manager. The case
manager may not delegate those aspects which require professional judgment including:

(1) finalizing the person-centered support plan;

(2) ongoing assessment and monitoring of the person's needs and adequacy of the
approved person-centered support plan; and

(3) adjustments to the person-centered support plan.

(c) Case management services must be provided by a public or private agency that is
enrolled as a medical assistance provider determined by the commissioner to meet all of
the requirements in the approved federal waiver plans. If a county agency provides case
management under contracts with other individuals or agencies and the county agency
utilizes a competitive proposal process for the procurement of contracted case management
services, the competitive proposal process must include evaluation criteria to ensure that
the county maintains a culturally responsive program for case management services adequate
to meet the needs of the population of the county. For the purposes of this section, "culturally
responsive program" means a case management services program that: (1) ensures effective,
equitable, comprehensive, and respectful quality care services that are responsive to
individuals within a specific population's values, beliefs, practices, health literacy, preferred
language, and other communication needs; and (2) is designed to address the unique needs
of individuals who share a common language or racial, ethnic, or social background.

(d) Case management services must not be provided to a recipient by a private agency
that has any financial interest in the provision of any other services included in the recipient's
support plan. For purposes of this section, "private agency" means any agency that is not
identified as a lead agency under section 256B.0911, subdivision 10.

(e) For persons who need a positive support transition plan as required in chapter 245D,
the case manager shall participate in the development and ongoing evaluation of the plan
with the expanded support team. At least quarterly, the case manager, in consultation with
the expanded support team, shall evaluate the effectiveness of the plan based on progress
evaluation data submitted by the licensed provider to the case manager. The evaluation must
identify whether the plan has been developed and implemented in a manner to achieve the
following within the required timelines:

(1) phasing out the use of prohibited procedures;

(2) acquisition of skills needed to eliminate the prohibited procedures within the plan's
timeline; and

(3) accomplishment of identified outcomes.

If adequate progress is not being made, the case manager shall consult with the person's
expanded support team to identify needed modifications and whether additional professional
support is required to provide consultation.

(f) The Department of Human Services shall offer ongoing education in case management
to case managers. Case managers shall receive no less than 20 hours of case management
education and disability-related training each year. The education and training must include
person-centered planning, informed choice, new text begin informed decision making, new text end cultural competency,
employment planning, community living planning, self-direction options, and use of
technology supports. new text begin Case managers must annually complete an informed choice curriculum
and pass a competency evaluation, in a form determined by the commissioner, on informed
decision-making standards. new text end By August 1, 2024, all case managers must complete an
employment support training course identified by the commissioner of human services. For
case managers hired after August 1, 2024, this training must be completed within the first
six months of providing case management services. For the purposes of this section,
"person-centered planning" or "person-centered" has the meaning given in section 256B.0911,
subdivision 10. Case managers shall document completion of training in a system identified
by the commissioner.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2025.
new text end

Sec. 11.

Minnesota Statutes 2024, section 256B.49, subdivision 29, is amended to read:

Subd. 29.

Residential support services criteria.

(a) For the purposes of this subdivision,
"residential support services" means the following residential support services reimbursed
under section 256B.4914: community residential services, customized living services, and
24-hour customized living services.

(b) In order to increase independent living options for people with disabilities and in
accordance with section 256B.4905, subdivisions deleted text begin 3 and 4 deleted text end new text begin 7 and 8 new text end , and consistent with
section 245A.03, subdivision 7, the commissioner must establish and implement criteria to
access residential support services. The criteria for accessing residential support services
must prohibit the commissioner from authorizing residential support services unless at least
all of the following conditions are met:

(1) the individual has complex behavioral health or complex medical needs; and

(2) the individual's service planning team has considered all other available residential
service options and determined that those options are inappropriate to meet the individual's
support needs.

new text begin (c) new text end Nothing in this subdivision shall be construed as permitting the commissioner to
establish criteria prohibiting the authorization of residential support services for individuals
described in the statewide priorities established in subdivision deleted text begin 12 deleted text end new text begin 11a new text end , the transition
populations in subdivision deleted text begin 13 deleted text end new text begin 24 new text end , and the licensing moratorium exception criteria under
section 245A.03, subdivision 7, paragraph (a).

deleted text begin (c) deleted text end new text begin (d) new text end Individuals with active service agreements for residential support services on the
date that the criteria for accessing residential support services become effective are exempt
from the requirements of this subdivision, and the exemption from the criteria for accessing
residential support services continues to apply for renewals of those service agreements.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective 90 days following federal approval of
Laws 2021, First Special Session chapter 7, article 13, section 30.
new text end