1.1 	A bill for an act
1.2 	relating to state government; amending provisions on the Department of Health 
1.3 	finance and policy, health licensing boards, pharmacy benefits, the Office of 
1.4 	Emergency Medical Services, general health policy, health and education facilities, 
1.5 	health care benefits, economic supports, child protection and welfare, early care 
1.6 	and learning, licensing and certification, behavioral health, background studies, 
1.7 	the Department of Human Services program integrity, and homelessness; making 
1.8 	technical and conforming changes; providing for criminal penalties; providing for 
1.9 	civil penalties; providing for rulemaking; establishing task forces; requiring reports; 
1.10 	appropriating money;amending Minnesota Statutes 2024, sections 3.732, 
1.11 	subdivision 1; 10A.01, subdivision 35; 13.46, subdivisions 2, 3, as amended; 
1.12 	62A.673, subdivision 2; 62D.21; 62D.211; 62J.461, subdivisions 3, 4, 5; 62J.51, 
1.13 	subdivision 19a; 62J.581; 62J.84, subdivisions 2, 3, 6, 10, 11, 12, 13, 14, 15; 
1.14 	62K.10, subdivisions 2, 5, 6; 62M.17, subdivision 2; 103I.005, subdivision 17b; 
1.15 	103I.101, subdivisions 2, 5, 6, by adding a subdivision; 103I.208, subdivisions 1, 
1.16 	1a, 2; 103I.235, subdivision 1; 103I.525, subdivisions 2, 6, 8; 103I.531, subdivisions 
1.17 	2, 6, 8; 103I.535, subdivisions 2, 6, 8; 103I.541, subdivisions 2b, 2c, 4; 103I.545, 
1.18 	subdivisions 1, 2; 103I.601, subdivisions 2, 4; 136A.25; 136A.26; 136A.27; 
1.19 	136A.28; 136A.29, subdivisions 1, 3, 6, 9, 10, 14, 19, 20, 21, 22, by adding a 
1.20 	subdivision; 136A.32, subdivisions 1, 4, by adding a subdivision; 136A.33; 
1.21 	136A.34, subdivisions 3, 4; 136A.36; 136A.38; 136A.41; 136A.42; 136F.67, 
1.22 	subdivision 1; 138.912, subdivisions 1, 2, 3, 4, 6; 142A.02, subdivision 1; 142A.03, 
1.23 	subdivision 2, by adding a subdivision; 142A.09, subdivision 1; 142A.42; 142A.76, 
1.24 	subdivisions 2, 3; 142B.01, subdivision 15, by adding a subdivision; 142B.05, 
1.25 	subdivision 3; 142B.10, subdivision 14; 142B.16, subdivisions 2, 5; 142B.171, 
1.26 	subdivision 2; 142B.18, subdivision 6; 142B.30, subdivision 1; 142B.41, by adding 
1.27 	a subdivision; 142B.47; 142B.51, subdivision 2; 142B.65, subdivisions 8, 9; 
1.28 	142B.66, subdivision 3; 142B.70, subdivisions 7, 8; 142B.80; 142C.06, by adding 
1.29 	a subdivision; 142C.11, subdivision 8; 142C.12, subdivisions 1, 6; 142D.21, by 
1.30 	adding a subdivision; 142D.23, subdivision 3; 142D.31, subdivision 2; 142E.03, 
1.31 	subdivision 3; 142E.11, subdivisions 1, 2; 142E.13, subdivision 2; 142E.15, 
1.32 	subdivision 1; 142E.16, subdivisions 3, 7; 142F.14; 144.064, subdivision 3; 
1.33 	144.0758, subdivision 3; 144.1205, subdivisions 2, 4, 8, 9, 10; 144.121, subdivisions 
1.34 	1a, 2, 5, by adding subdivisions; 144.1215, by adding a subdivision; 144.122; 
1.35 	144.1222, subdivisions 1a, 2d; 144.125, subdivision 1; 144.3831, subdivision 1; 
1.36 	144.50, by adding a subdivision; 144.55, subdivision 1a; 144.554; 144.555, 
1.37 	subdivisions 1a, 1b; 144.562, subdivisions 2, 3; 144.563; 144.608, subdivision 2; 
1.38 	144.615, subdivision 8; 144.966, subdivision 2, as amended; 144.98, subdivisions 
2.1 	8, 9; 144.99, subdivision 1; 144A.43, subdivision 15, by adding a subdivision; 
2.2 	144A.474, subdivisions 9, 11; 144A.475, subdivisions 3, 3a, 3b, 3c; 144A.71, 
2.3 	subdivision 2; 144A.753, subdivision 1; 144E.35; 144G.08, subdivision 45; 
2.4 	144G.20, subdivisions 3, 13, 16, 17; 144G.30, subdivision 7; 144G.31, subdivisions 
2.5 	2, 4, 5; 144G.45, subdivision 6; 145.8811; 145.901, subdivision 1; 145.9269, 
2.6 	subdivision 2; 145.987, subdivisions 1, 2; 145C.01, by adding subdivisions; 
2.7 	145C.17; 147.01, subdivision 7; 147.037, by adding a subdivision; 147A.02; 
2.8 	147D.03, subdivision 1; 148.108, subdivision 1, by adding subdivisions; 148.191, 
2.9 	subdivision 2; 148.241; 148.512, subdivision 17a; 148.5192, subdivision 3; 
2.10 	148.5194, subdivision 3b; 148.56, subdivision 1, by adding a subdivision; 148.6401; 
2.11 	148.6402, subdivisions 1, 7, 8, 13, 14, 16, 16a, 19, 20, 23, 25, by adding 
2.12 	subdivisions; 148.6403; 148.6404; 148.6405; 148.6408, subdivision 2, by adding 
2.13 	a subdivision; 148.6410, subdivision 2, by adding a subdivision; 148.6412, 
2.14 	subdivisions 2, 3; 148.6415; 148.6418; 148.6420, subdivision 1; 148.6423, 
2.15 	subdivisions 1, 2, by adding a subdivision; 148.6425, subdivision 2, by adding 
2.16 	subdivisions; 148.6428; 148.6432, subdivisions 1, 2, 3, 4, by adding a subdivision; 
2.17 	148.6435; 148.6438; 148.6443, subdivisions 3, 4, 5, 6, 7, 8; 148.6445, by adding 
2.18 	subdivisions; 148.6448, subdivisions 1, 2, 4, 6; 148.6449, subdivisions 1, 2, 7; 
2.19 	148B.53, subdivision 3; 148E.180, subdivisions 1, 5, 7, by adding subdivisions; 
2.20 	149A.02, by adding a subdivision; 150A.105, by adding a subdivision; 151.01, 
2.21 	subdivisions 15, 23; 151.065, subdivisions 1, 3, 6; 151.101; 151.555, subdivisions 
2.22 	6, 10; 152.12, subdivision 1; 153B.85, subdivisions 1, 3; 156.015, by adding 
2.23 	subdivisions; 157.16, subdivisions 2, 2a, 3, 3a, by adding a subdivision; 174.30, 
2.24 	subdivision 3; 214.06, by adding a subdivision; 245.095, by adding a subdivision; 
2.25 	245.0962, subdivision 1; 245.4661, subdivisions 2, 6, 7; 245.4871, subdivision 5; 
2.26 	245.4889, subdivision 1, as amended; 245.975, subdivision 1; 245A.04, subdivision 
2.27 	1, as amended; 245A.05; 245A.07, subdivision 2; 245A.18, subdivision 1; 245C.02, 
2.28 	subdivision 15a, by adding a subdivision; 245C.05, subdivisions 1, 5, 5a; 245C.08, 
2.29 	subdivisions 1, 5; 245C.10, subdivision 9, by adding a subdivision; 245C.13, 
2.30 	subdivision 2; 245C.14, by adding a subdivision; 245C.15, subdivisions 1, 4a, by 
2.31 	adding a subdivision; 245C.22, subdivisions 3, 8; 256.045, subdivision 7; 256.9657, 
2.32 	by adding a subdivision; 256.969, subdivision 2f; 256.983, subdivision 4; 
2.33 	256B.0371, subdivision 3; 256B.04, subdivisions 12, 14, 21; 256B.051, subdivision 
2.34 	3; 256B.0625, subdivisions 2, 3b, 8, 8a, 8e, 13, 13c, 13d, 13e, 17, 30, 54, by adding 
2.35 	subdivisions; 256B.064, subdivision 1a, as amended; 256B.0659, subdivision 21; 
2.36 	256B.0757, subdivision 5, by adding a subdivision; 256B.1973, subdivision 5, by 
2.37 	adding a subdivision; 256B.4912, subdivision 1; 256B.69, subdivisions 3a, 6d, by 
2.38 	adding a subdivision; 256B.692, subdivision 2; 256B.76, subdivisions 1, 6, by 
2.39 	adding a subdivision; 256B.761; 256B.766; 256B.85, subdivision 12; 256I.03, 
2.40 	subdivision 11a; 256L.03, subdivision 3b; 256R.01, by adding a subdivision; 
2.41 	260.65; 260.66, subdivision 1; 260.691, subdivision 1; 260.692; 260.810, 
2.42 	subdivisions 1, 2; 260.821, subdivision 2; 260C.001, subdivision 2; 260C.007, 
2.43 	subdivision 19; 260C.141, subdivision 1; 260C.150, subdivision 3; 260C.178, 
2.44 	subdivision 1, as amended; 260C.201, subdivisions 1, as amended, 2, as amended; 
2.45 	260C.202, subdivision 2, by adding subdivisions; 260C.204; 260C.221, subdivision 
2.46 	2; 260C.223, subdivisions 1, 2; 260C.329, subdivisions 3, 8; 260C.451, subdivision 
2.47 	9; 260C.452, subdivision 4; 260E.03, subdivision 15; 260E.09; 260E.14, 
2.48 	subdivisions 2, 3; 260E.20, subdivisions 1, 3; 260E.24, subdivisions 1, 2; 295.50, 
2.49 	subdivision 3; 325M.34; 326.72, subdivision 1; 326.75, subdivisions 3, 3a; 327.15, 
2.50 	subdivisions 2, 3, 4, by adding a subdivision; 354B.20, subdivision 7; 518A.46, 
2.51 	subdivision 7; 609A.015, subdivision 4; 609A.055, subdivision 3; Laws 2021, 
2.52 	First Special Session chapter 7, article 1, section 39; article 2, section 81; Laws 
2.53 	2023, chapter 70, article 20, section 2, subdivision 30; Laws 2024, chapter 127, 
2.54 	article 67, section 4; proposing coding for new law in Minnesota Statutes, chapters 
2.55 	62Q; 135A; 142B; 144; 144E; 145; 145C; 148; 153; 256B; 260E; 295; 306; 307; 
2.56 	325M; proposing coding for new law as Minnesota Statutes, chapter 148G; 
2.57 	repealing Minnesota Statutes 2024, sections 62K.10, subdivision 3; 103I.550; 
2.58 	136A.29, subdivision 4; 148.108, subdivisions 2, 3, 4; 148.6402, subdivision 22a; 
3.1 	148.6420, subdivisions 2, 3, 4; 148.6423, subdivisions 4, 5, 7, 8, 9; 148.6425, 
3.2 	subdivision 3; 148.6430; 148.6445, subdivisions 5, 6, 8; 156.015, subdivision 1; 
3.3 	256B.0625, subdivisions 18b, 18e, 18h, 38; Laws 2023, chapter 70, article 16, 
3.4 	section 22; Minnesota Rules, parts 2500.1150; 2500.2030; 4695.2900; 6800.5100, 
3.5 	subpart 5; 6800.5400, subparts 5, 6; 6900.0250, subparts 1, 2; 9100.0400, subparts 
3.6 	1, 3; 9100.0500; 9100.0600; 9503.0030, subpart 1, item B.
3.7 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

3.8 	ARTICLE 1
3.9 	DEPARTMENT OF HEALTH FINANCE

3.10 	Section 1. Minnesota Statutes 2024, section 62D.21, is amended to read:
3.11 	62D.21 FEES.
3.12 	Every health maintenance organization subject to sections 62D.01 to 62D.30 shall pay 
3.13 	to the commissioner of health the following fees as prescribed by the commissioner of health 
3.14 	pursuant to section 144.122 for the following:
3.15 	(1) filing an application for a certificate of authority: $10,000;
3.16 	(2) filing an amendment to a certificate of authority: $125;
3.17 	(3) filing each annual report: $400; and
3.18 	(4) other filings, as specified by rule.
3.19 	(4) filing each quarterly report: $200; and
3.20 	(5) filing annual plan review documents, amendments to plan documents, and quality 
3.21 	plans: $125.

3.22 	EFFECTIVE DATE. This section is effective January 1, 2026.

3.23 	Sec. 2. Minnesota Statutes 2024, section 62D.211, is amended to read:
3.24 	62D.211 RENEWAL FEE.
3.25 	Each health maintenance organization subject to sections 62D.01 to 62D.30 shall submit 
3.26 	to the commissioner of health each year before June 15 a certificate of authority renewal 
3.27 	fee in the amount of $10,000 $30,000 each plus 20 88 cents per person enrolled in the health 
3.28 	maintenance organization on December 31 of the preceding year. The commissioner may 
3.29 	adjust the renewal fee in rule under the provisions of chapter 14.

3.30 	EFFECTIVE DATE. This section is effective January 1, 2026.

4.1 	Sec. 3. Minnesota Statutes 2024, section 103I.101, subdivision 6, is amended to read:
4.2 		Subd. 6.Fees for variances. The commissioner shall charge a nonrefundable application 
4.3 	fee of $275 $325 to cover the administrative cost of processing a request for a variance or 
4.4 	modification of rules adopted by the commissioner under this chapter.

4.5 	Sec. 4. Minnesota Statutes 2024, section 103I.208, subdivision 1, is amended to read:
4.6 		Subdivision 1.Well notification fee. The well notification fee to be paid by a property 
4.7 	owner is:
4.8 	(1) for construction of a water supply well, $275 $325, which includes the state core 
4.9 	function fee;
4.10 	(2) for a well sealing, $75 $125 for each well or temporary boring, which includes the 
4.11 	state core function fee, except that: (i) a single notification and fee of $75 $125 is required 
4.12 	for all temporary borings on a single property and sealed within 72 hours of start of 
4.13 	construction; and (ii) temporary borings less than 25 feet in depth are exempt from the 
4.14 	notification and fee requirements in this chapter;
4.15 	(3) for construction of a dewatering well, $275 $330, which includes the state core 
4.16 	function fee, for each dewatering well, except a dewatering project comprising five or more 
4.17 	dewatering wells shall be assessed a single fee of $1,375 $1,620 for the dewatering wells 
4.18 	recorded on the notification; and
4.19 	(4) for construction of an environmental well, $275 $330, which includes the state core 
4.20 	function fee, except that a single fee of $275 is required for all environmental wells recorded 
4.21 	on the notification that are located on a single property, and except that no fee is required 
4.22 	for construction of a temporary boring for each environmental well, except an environmental 
4.23 	well site project comprising five or more environmental wells shall be assessed a single fee 
4.24 	of $1,620 for the environmental wells recorded on the notification.

4.25 	Sec. 5. Minnesota Statutes 2024, section 103I.208, subdivision 1a, is amended to read:
4.26 		Subd. 1a.State core function fee. The state core function fee to be collected by the 
4.27 	state and delegated community health boards and used to support state core functions is:
4.28 	(1) for a new well, $20 $40; and
4.29 	(2) for a well sealing, $5 $15.

5.1 	Sec. 6. Minnesota Statutes 2024, section 103I.208, subdivision 2, is amended to read:
5.2 		Subd. 2.Permit fee. (a) The permit fee to be paid by a property owner is:
5.3 	(1) for a water supply well that is not in use under a maintenance permit, $175 $225
5.4 	annually;
5.5 	(2) for an environmental well that is unsealed under a maintenance permit, $175 annually 
5.6 	except no fee is required for an environmental well owned by a federal agency, state agency, 
5.7 	or local unit of government that is unsealed under a maintenance permit. "Local unit of 
5.8 	government" means a statutory or home rule charter city, town, county, or soil and water 
5.9 	conservation district, a watershed district, an organization formed for the joint exercise of 
5.10 	powers under section 471.59, a community health board, or other special purpose district 
5.11 	or authority with local jurisdiction in water and related land resources management;
5.12 	(3) for environmental wells on an environmental well site that are unsealed under a 
5.13 	maintenance permit,:
5.14 	$175 (i) $225 annually for one to ten environmental wells per site regardless of the 
5.15 	number of environmental wells located on site;
5.16 	(ii) $325 annually for 11 to 20 environmental wells per site; and
5.17 	(iii) $425 annually for 21 or more environmental wells per site;
5.18 	(4) for a groundwater thermal exchange device, in addition to the notification fee for 
5.19 	water supply wells, $275 $350 for systems using 20 gallons per minute or less and $590 
5.20 	for systems using over 20 gallons per minute, which includes the state core function fee;
5.21 	(5) for a bored geothermal heat exchanger with less than ten tons of heating/cooling 
5.22 	capacity, $275 $350;
5.23 	(6) for a bored geothermal heat exchanger with ten to 50 tons of heating/cooling capacity, 
5.24 	$515 $590;
5.25 	(7) for a bored geothermal heat exchanger with greater than 50 tons of heating/cooling 
5.26 	capacity, $740 $815;
5.27 	(8) for a dewatering well that is unsealed under a maintenance permit, $175 $330 annually 
5.28 	for each dewatering well, except a dewatering project comprising more than five or more
5.29 	dewatering wells shall be issued a single permit for $875 $1,620 annually for dewatering 
5.30 	wells recorded on the permit;
5.31 	(9) for an elevator boring, $275 $325 for each boring; and
6.1 	(10) for a submerged closed loop heat exchanger system, in addition to the notification 
6.2 	fee for water supply wells, $3,250, which includes the state core function fee.
6.3 	(b) For purposes of this subdivision, an environmental well site includes all of the 
6.4 	environmental wells on a single property. A single property is considered one tax parcel or 
6.5 	multiple contiguous parcels with the same owner.

6.6 	Sec. 7. Minnesota Statutes 2024, section 103I.235, subdivision 1, is amended to read:
6.7 		Subdivision 1.Disclosure of wells to buyer. (a) Before signing an agreement to sell or 
6.8 	transfer real property, the seller must disclose in writing to the buyer information about the 
6.9 	status and location of all known wells on the property, by delivering to the buyer either a 
6.10 	statement by the seller that the seller does not know of any wells on the property, or a 
6.11 	disclosure statement indicating the legal description and county, and a map drawn from 
6.12 	available information showing the location of each well to the extent practicable. In the 
6.13 	disclosure statement, the seller must indicate, for each well, whether the well is in use, not 
6.14 	in use, or sealed.
6.15 	(b) At the time of closing of the sale, the disclosure statement information, name and 
6.16 	mailing address of the buyer, and the quartile, section, township, and range in which each 
6.17 	well is located must be provided on a well disclosure certificate signed by the seller or a 
6.18 	person authorized to act on behalf of the seller.
6.19 	(c) A well disclosure certificate need not be provided if the seller does not know of any 
6.20 	wells on the property and the deed or other instrument of conveyance contains the statement: 
6.21 	"The Seller certifies that the Seller does not know of any wells on the described real 
6.22 	property."
6.23 	(d) If a deed is given pursuant to a contract for deed, the well disclosure certificate 
6.24 	required by this subdivision shall be signed by the buyer or a person authorized to act on 
6.25 	behalf of the buyer. If the buyer knows of no wells on the property, a well disclosure 
6.26 	certificate is not required if the following statement appears on the deed followed by the 
6.27 	signature of the grantee or, if there is more than one grantee, the signature of at least one 
6.28 	of the grantees: "The Grantee certifies that the Grantee does not know of any wells on the 
6.29 	described real property." The statement and signature of the grantee may be on the front or 
6.30 	back of the deed or on an attached sheet and an acknowledgment of the statement by the 
6.31 	grantee is not required for the deed to be recordable.
6.32 	(e) This subdivision does not apply to the sale, exchange, or transfer of real property:
6.33 	(1) that consists solely of a sale or transfer of severed mineral interests; or
7.1 	(2) that consists of an individual condominium unit as described in chapters 515 and 
7.2 	515B.
7.3 	(f) For an area owned in common under chapter 515 or 515B the association or other 
7.4 	responsible person must report to the commissioner by July 1, 1992, the location and status 
7.5 	of all wells in the common area. The association or other responsible person must notify 
7.6 	the commissioner within 30 days of any change in the reported status of wells.
7.7 	(g) If the seller fails to provide a required well disclosure certificate, the buyer, or a 
7.8 	person authorized to act on behalf of the buyer, may sign a well disclosure certificate based 
7.9 	on the information provided on the disclosure statement required by this section or based 
7.10 	on other available information.
7.11 	(h) A county recorder or registrar of titles may not record a deed or other instrument of 
7.12 	conveyance dated after October 31, 1990, for which a certificate of value is required under 
7.13 	section 272.115, or any deed or other instrument of conveyance dated after October 31, 
7.14 	1990, from a governmental body exempt from the payment of state deed tax, unless the 
7.15 	deed or other instrument of conveyance contains the statement made in accordance with 
7.16 	paragraph (c) or (d) or is accompanied by the well disclosure certificate containing all the 
7.17 	information required by paragraph (b) or (d). The county recorder or registrar of titles must 
7.18 	not accept a certificate unless it contains all the required information. The county recorder 
7.19 	or registrar of titles shall note on each deed or other instrument of conveyance accompanied 
7.20 	by a well disclosure certificate that the well disclosure certificate was received. The notation 
7.21 	must include the statement "No wells on property" if the disclosure certificate states there 
7.22 	are no wells on the property. The well disclosure certificate shall not be filed or recorded 
7.23 	in the records maintained by the county recorder or registrar of titles. After noting "No wells 
7.24 	on property" on the deed or other instrument of conveyance, the county recorder or registrar 
7.25 	of titles shall destroy or return to the buyer the well disclosure certificate. The county 
7.26 	recorder or registrar of titles shall collect from the buyer or the person seeking to record a 
7.27 	deed or other instrument of conveyance, a fee of $50 $54 for receipt of a completed well 
7.28 	disclosure certificate. By the tenth day of each month, the county recorder or registrar of 
7.29 	titles shall transmit the well disclosure certificates to the commissioner of health. By the 
7.30 	tenth day after the end of each calendar quarter, the county recorder or registrar of titles 
7.31 	shall transmit to the commissioner of health $42.50 $46.50 of the fee for each well disclosure 
7.32 	certificate received during the quarter. The commissioner shall maintain the well disclosure 
7.33 	certificate for at least six years. The commissioner may store the certificate as an electronic 
7.34 	image. A copy of that image shall be as valid as the original.
8.1 	(i) No new well disclosure certificate is required under this subdivision if the buyer or 
8.2 	seller, or a person authorized to act on behalf of the buyer or seller, certifies on the deed or 
8.3 	other instrument of conveyance that the status and number of wells on the property have 
8.4 	not changed since the last previously filed well disclosure certificate. The following 
8.5 	statement, if followed by the signature of the person making the statement, is sufficient to 
8.6 	comply with the certification requirement of this paragraph: "I am familiar with the property 
8.7 	described in this instrument and I certify that the status and number of wells on the described 
8.8 	real property have not changed since the last previously filed well disclosure certificate." 
8.9 	The certification and signature may be on the front or back of the deed or on an attached 
8.10 	sheet and an acknowledgment of the statement is not required for the deed or other instrument 
8.11 	of conveyance to be recordable.
8.12 	(j) The commissioner in consultation with county recorders shall prescribe the form for 
8.13 	a well disclosure certificate and provide well disclosure certificate forms to county recorders 
8.14 	and registrars of titles and other interested persons.
8.15 	(k) Failure to comply with a requirement of this subdivision does not impair:
8.16 	(1) the validity of a deed or other instrument of conveyance as between the parties to 
8.17 	the deed or instrument or as to any other person who otherwise would be bound by the deed 
8.18 	or instrument; or
8.19 	(2) the record, as notice, of any deed or other instrument of conveyance accepted for 
8.20 	filing or recording contrary to the provisions of this subdivision.

8.21 	Sec. 8. Minnesota Statutes 2024, section 103I.525, subdivision 2, is amended to read:
8.22 		Subd. 2.Certification fee. (a) The application fee for certification as a representative 
8.23 	of a well contractor is $75 $100. The commissioner may not act on an application until the 
8.24 	application fee is paid.
8.25 	(b) The renewal fee for certification as a representative of a well contractor is $75 $100. 
8.26 	The commissioner may not renew a certification until the renewal fee is paid.
8.27 	(c) A certified representative must file an application and a renewal application fee to 
8.28 	renew the certification by the date stated in the certification. The renewal application must 
8.29 	include information that the certified representative has met continuing education 
8.30 	requirements established by the commissioner by rule.

8.31 	Sec. 9. Minnesota Statutes 2024, section 103I.525, subdivision 6, is amended to read:
8.32 		Subd. 6.License fee. The fee for a well contractor's license is $250 $300.

9.1 	Sec. 10. Minnesota Statutes 2024, section 103I.525, subdivision 8, is amended to read:
9.2 		Subd. 8.Renewal. (a) A licensee must file an application and a renewal application fee 
9.3 	to renew the license by the date stated in the license.
9.4 	(b) The renewal application fee for a well contractor's license is $250 $300.
9.5 	(c) The renewal application must include information that the certified representative 
9.6 	of the applicant has met continuing education requirements established by the commissioner 
9.7 	by rule.
9.8 	(d) At the time of the renewal, the commissioner must have on file all properly completed 
9.9 	well and boring construction reports, well and boring sealing reports, reports of elevator 
9.10 	borings, water sample analysis reports, well and boring permits, and well notifications for 
9.11 	work conducted by the licensee since the last license renewal.

9.12 	Sec. 11. Minnesota Statutes 2024, section 103I.531, subdivision 2, is amended to read:
9.13 		Subd. 2.Certification fee. (a) The application fee for certification as a representative 
9.14 	of a limited well/boring contractor is $75 $100. The commissioner may not act on an 
9.15 	application until the application fee is paid.
9.16 	(b) The renewal fee for certification as a representative of a limited well/boring contractor 
9.17 	is $75 $100. The commissioner may not renew a certification until the renewal fee is paid.
9.18 	(c) The fee for three or more limited well/boring contractor certifications is $225 $275.
9.19 	(d) A certified representative must file an application and a renewal application fee to 
9.20 	renew the certification by the date stated in the certification. The renewal application must 
9.21 	include information that the certified representative has met continuing education 
9.22 	requirements established by the commissioner by rule.

9.23 	Sec. 12. Minnesota Statutes 2024, section 103I.531, subdivision 6, is amended to read:
9.24 		Subd. 6.License fee. The fee for a limited well/boring contractor's license is $75 $100. 
9.25 	The fee for three or more limited well/boring contractor licenses is $225 $275.

9.26 	Sec. 13. Minnesota Statutes 2024, section 103I.531, subdivision 8, is amended to read:
9.27 		Subd. 8.Renewal. (a) A person must file an application and a renewal application fee 
9.28 	to renew the limited well/boring contractor's license by the date stated in the license.
9.29 	(b) The renewal application fee for a limited well/boring contractor's license is $75 $100.
10.1 	(c) The renewal application must include information that the certified representative 
10.2 	of the applicant has met continuing education requirements established by the commissioner 
10.3 	by rule.
10.4 	(d) At the time of the renewal, the commissioner must have on file all properly completed 
10.5 	well and boring construction reports, well and boring sealing reports, well and boring 
10.6 	permits, water quality sample reports, and well notifications for work conducted by the 
10.7 	licensee since the last license renewal.

10.8 	Sec. 14. Minnesota Statutes 2024, section 103I.535, subdivision 2, is amended to read:
10.9 		Subd. 2.Certification fee. (a) The application fee for certification as a representative 
10.10 	of an elevator boring contractor is $75 $100. The commissioner may not act on an application 
10.11 	until the application fee is paid.
10.12 	(b) The renewal fee for certification as a representative of an elevator boring contractor 
10.13 	is $75 $100. The commissioner may not renew a certification until the renewal fee is paid.
10.14 	(c) A certified representative must file an application and a renewal application fee to 
10.15 	renew the certification by the date stated in the certification. The renewal application must 
10.16 	include information that the certified representative has met continuing education 
10.17 	requirements established by the commissioner by rule.

10.18 	Sec. 15. Minnesota Statutes 2024, section 103I.535, subdivision 6, is amended to read:
10.19 		Subd. 6.License fee. The fee for an elevator boring contractor's license is $75 $100.

10.20 	Sec. 16. Minnesota Statutes 2024, section 103I.535, subdivision 8, is amended to read:
10.21 		Subd. 8.Renewal. (a) A person must file an application and a renewal application fee 
10.22 	to renew the license by the date stated in the license.
10.23 	(b) The renewal application fee for an elevator boring contractor's license is $75 $100.
10.24 	(c) The renewal application must include information that the certified representative 
10.25 	of the applicant has met continuing education requirements established by the commissioner 
10.26 	by rule.
10.27 	(d) At the time of renewal, the commissioner must have on file all reports and permits 
10.28 	for elevator boring work conducted by the licensee since the last license renewal.

11.1 	Sec. 17. Minnesota Statutes 2024, section 103I.541, subdivision 2b, is amended to read:
11.2 		Subd. 2b.Issuance of license. If a person employs a certified representative, submits 
11.3 	the bond under subdivision 3, and pays the license fee of $75 $100 for an environmental 
11.4 	well contractor license, the commissioner shall issue an environmental well contractor 
11.5 	license to the applicant. The fee for an individual registration is $75 $100. The commissioner 
11.6 	may not act on an application until the application fee is paid.

11.7 	Sec. 18. Minnesota Statutes 2024, section 103I.541, subdivision 2c, is amended to read:
11.8 		Subd. 2c.Certification fee. (a) The application fee for certification as a representative 
11.9 	of an environmental well contractor is $75 $100. The commissioner may not act on an 
11.10 	application until the application fee is paid.
11.11 	(b) The renewal fee for certification as a representative of an environmental well 
11.12 	contractor is $75 $100. The commissioner may not renew a certification until the renewal 
11.13 	fee is paid.
11.14 	(c) A certified representative must file an application and a renewal application fee to 
11.15 	renew the certification by the date stated in the certification. The renewal application must 
11.16 	include information that the certified representative has met continuing education 
11.17 	requirements established by the commissioner by rule.

11.18 	Sec. 19. Minnesota Statutes 2024, section 103I.541, subdivision 4, is amended to read:
11.19 		Subd. 4.License renewal. (a) A person must file an application and a renewal application 
11.20 	fee to renew the license by the date stated in the license.
11.21 	(b) The renewal application fee for an environmental well contractor's license is $75
11.22 	$100.
11.23 	(c) The renewal application must include information that the certified representative 
11.24 	of the applicant has met continuing education requirements established by the commissioner 
11.25 	by rule.
11.26 	(d) At the time of the renewal, the commissioner must have on file all well and boring 
11.27 	construction reports, well and boring sealing reports, well permits, and notifications for 
11.28 	work conducted by the licensed person since the last license renewal.

12.1 	Sec. 20. Minnesota Statutes 2024, section 103I.545, subdivision 1, is amended to read:
12.2 		Subdivision 1.Drilling machine. (a) A person may not use a drilling machine such as 
12.3 	a cable tool, rotary tool, hollow rod tool, or auger for a drilling activity requiring a license 
12.4 	under this chapter unless the drilling machine is registered with the commissioner.
12.5 	(b) A person must apply for the registration on forms prescribed by the commissioner 
12.6 	and submit a $75 $125 registration fee.
12.7 	(c) A registration is valid for one year.

12.8 	Sec. 21. Minnesota Statutes 2024, section 103I.545, subdivision 2, is amended to read:
12.9 		Subd. 2.Hoist. (a) A person may not use a machine such as a hoist for an activity 
12.10 	requiring a license under this chapter to repair wells or borings, seal wells or borings, or 
12.11 	install pumps unless the machine is registered with the commissioner.
12.12 	(b) A person must apply for the registration on forms prescribed by the commissioner 
12.13 	and submit a $75 $125 registration fee.
12.14 	(c) A registration is valid for one year.

12.15 	Sec. 22. Minnesota Statutes 2024, section 103I.601, subdivision 2, is amended to read:
12.16 		Subd. 2.License required to make borings. (a) Except as provided in paragraph (d), 
12.17 	a person must not make an exploratory boring without an explorer's license. The fee for an 
12.18 	explorer's license is $75 $100. The explorer's license is valid until the date prescribed in the 
12.19 	license by the commissioner.
12.20 	(b) A person must file an application and renewal application fee to renew the explorer's 
12.21 	license by the date stated in the license. The renewal application fee is $75 $100.
12.22 	(c) If the licensee submits an application fee after the required renewal date, the licensee:
12.23 	(1) must include a late fee of $75; and
12.24 	(2) may not conduct activities authorized by an explorer's license until the renewal 
12.25 	application, renewal application fee, late fee, and sealing reports required in subdivision 9 
12.26 	are submitted.
12.27 	(d) An explorer must designate a responsible individual to supervise and oversee the 
12.28 	making of exploratory borings.
13.1 	(1) Before an individual supervises or oversees an exploratory boring, the individual 
13.2 	must file an application and application fee of $75 $100 to qualify as a certified responsible 
13.3 	individual.
13.4 	(2) The individual must take and pass an examination relating to construction, location, 
13.5 	and sealing of exploratory borings. A professional engineer or geoscientist licensed under 
13.6 	sections 326.02 to 326.15 or a professional geologist certified by the American Institute of 
13.7 	Professional Geologists is not required to take the examination required in this subdivision, 
13.8 	but must be certified as a responsible individual to supervise an exploratory boring.
13.9 	(3) The individual must file an application and a renewal fee of $75 $100 to renew the 
13.10 	responsible individual's certification by the date stated in the certification. If the certified 
13.11 	responsible individual submits an application fee after the renewal date, the certified 
13.12 	responsible individual must include a late fee of $75 and may not supervise or oversee 
13.13 	exploratory borings until the renewal application, application fee, and late fee are submitted.

13.14 	Sec. 23. Minnesota Statutes 2024, section 103I.601, subdivision 4, is amended to read:
13.15 		Subd. 4.Notification and map of borings. (a) By ten days before beginning exploratory 
13.16 	boring, an explorer must submit to the commissioner of health a notification of the proposed 
13.17 	boring map and a fee of $275 $325 for each boring constructed.
13.18 	(b) By ten days before beginning exploratory boring, an explorer must submit to the 
13.19 	commissioners of health and natural resources a county road map on a single sheet of paper 
13.20 	that is 8-1/2 by 11 inches in size and having a scale of one-half inch equal to one mile, as 
13.21 	prepared by the Department of Transportation, or a 7.5 minute series topographic map 
13.22 	(1:24,000 scale), as prepared by the United States Geological Survey, showing the location 
13.23 	of each proposed exploratory boring to the nearest estimated 40 acre parcel. Exploratory 
13.24 	boring that is proposed on the map may not be commenced later than 180 days after 
13.25 	submission of the map, unless a new map is submitted.

13.26 	Sec. 24. [144.063] DEMENTIA SERVICES PROGRAM ESTABLISHED.
13.27 	The commissioner of health shall establish the dementia services program to:
13.28 	(1) facilitate the coordination and support of:
13.29 	(i) state-funded policies and programs that relate to Alzheimer's disease and related 
13.30 	forms of dementia;
13.31 	(ii) outreach programs and services between state agencies, local public health 
13.32 	departments, Tribal Nations, educational institutions, and community groups for the purpose 
14.1 	of fostering public awareness and education regarding Alzheimer's disease and related forms 
14.2 	of dementia; and
14.3 	(iii) services and activities between groups that are interested in dementia research, 
14.4 	programs, and services, including area agencies on aging, service providers, advocacy 
14.5 	groups, legal services, emergency personnel, law enforcement, local public health 
14.6 	departments, Tribal Nations, and state colleges and universities;
14.7 	(2) facilitate the coordination, review, publication, and implementation of and updates 
14.8 	to the Minnesota Dementia Strategic Plan;
14.9 	(3) use and share data related to the impact of Alzheimer's disease and related forms of 
14.10 	dementia in Minnesota to guide statewide action; and
14.11 	(4) incorporate early detection and risk reduction strategies into existing department-led 
14.12 	public health programs.

14.13 	Sec. 25. Minnesota Statutes 2024, section 144.064, subdivision 3, is amended to read:
14.14 		Subd. 3.Commissioner duties. (a) The commissioner shall make available to health 
14.15 	care practitioners, women who may become pregnant, expectant parents, and parents of 
14.16 	infants up-to-date and evidence-based information about congenital CMV that has been 
14.17 	reviewed by experts with knowledge of the disease. The information shall include the 
14.18 	following:
14.19 	(1) the recommendation to consider testing for congenital CMV if the parent or legal 
14.20 	guardian of the infant elected not to have newborn screening performed under section 
14.21 	144.125, the infant failed a newborn hearing screening, or pregnancy history suggests 
14.22 	increased risk for congenital CMV infection;
14.23 	(2) the incidence of CMV;
14.24 	(3) the transmission of CMV to pregnant women and women who may become pregnant;
14.25 	(4) birth defects caused by congenital CMV;
14.26 	(5) available preventative measures to avoid the infection of women who are pregnant 
14.27 	or may become pregnant; and
14.28 	(6) resources available for families of children born with congenital CMV.
14.29 	(b) The commissioner shall follow existing department practice, inclusive of community 
14.30 	engagement, to ensure that the information in paragraph (a) is culturally and linguistically 
14.31 	appropriate for all recipients.
15.1 	(c) The commissioner shall establish an outreach program to:
15.2 	(1) educate women who may become pregnant, expectant parents, and parents of infants 
15.3 	about CMV; and
15.4 	(2) raise awareness for CMV among health care practitioners.
15.5 	(d) The Advisory Committee on Heritable and Congenital Disorders established under 
15.6 	section 144.1255 shall review congenital CMV for inclusion on the list of tests to be 
15.7 	performed under section 144.125. If the committee recommends and the commissioner 
15.8 	approves the recommendation of adding congenital CMV to the newborn screening panel, 
15.9 	the commissioner shall publish the addition in the State Register and the per specimen fee 
15.10 	for screening under section 144.125, subdivision 1, paragraph (c), shall be increased by 
15.11 	$43, for a total of $220 per specimen, effective upon publication in the State Register.

15.12 	Sec. 26. Minnesota Statutes 2024, section 144.0758, subdivision 3, is amended to read:
15.13 		Subd. 3.Eligible grantees. (a) Organizations eligible to receive grant funding under 
15.14 	this section are Minnesota's Tribal Nations in accordance with paragraph (b) and urban 
15.15 	American Indian community-based organizations in accordance with paragraph (c).
15.16 	(b) Minnesota's Tribal Nations may choose to receive funding under this section according 
15.17 	to a noncompetitive funding formula specified by the commissioner.
15.18 	(c) Urban American Indian community-based organizations are eligible to apply for 
15.19 	funding under this section by submitting a proposal for consideration by the commissioner.

15.20 	Sec. 27. Minnesota Statutes 2024, section 144.1205, subdivision 2, is amended to read:
15.21 		Subd. 2.Initial and annual fee. (a) A licensee must pay an initial fee that is equivalent 
15.22 	to the annual fee upon issuance of the initial license.
15.23 	(b) A licensee must pay an annual fee at least 60 days before the anniversary date of the 
15.24 	issuance of the license. The annual fee is as follows:

15.25	TYPE
		LICENSE FEE
	
15.2715.26
	Academic broad scope - type A, B, or C
		$25,896
$34,500
		
15.2915.28
	Academic broad scope - type A, B, or C (4-8 locations)
		$31,075
$41,400
		
15.3115.30
	Academic broad scope - type A, B, or C (9 or more locations)
		$36,254
$48,300
		
15.3315.32
	Medical broad scope - type A
		$25,896
$34,500
		
16.216.1
	Medical broad scope - type A (4-8 locations)
		$31,075
$41,400
		
16.416.3
	Medical broad scope - type A (9 or more locations)
		$36,254
$48,300
		
16.5
16.6
16.7	Medical - diagnostic, diagnostic and therapeutic, mobile nuclear 
medicine, eye applicators, high dose rate afterloaders, and 
medical therapy emerging technologies
		$4,784
$6,600
		
16.8
16.916.10
	Medical - diagnostic, diagnostic and therapeutic, mobile nuclear 
medicine, eye applicators, high dose rate afterloaders, and 
medical therapy emerging technologies (4-8 locations)
		$5,740
$7,900
		
16.11
16.12
16.13	Medical - diagnostic, diagnostic and therapeutic, mobile nuclear 
medicine, eye applicators, high dose rate afterloaders, and 
medical therapy emerging technologies (9 or more locations)
		$6,697
$9,200
		
16.1516.14
	Teletherapy
		$11,648
$15,500
		
16.1716.16
	Gamma knife
		$11,648
$15,500
		
16.1916.18
	Veterinary medicine
		$2,600
$3,500
		
16.2116.20
	In vitro testing lab
		$2,600
$3,500
		
16.2316.22
	Nuclear pharmacy
		$11,440
$15,300
		
16.2516.24
	Nuclear pharmacy (5 or more locations)
		$13,728
$18,300
		
16.2716.26
	Radiopharmaceutical distribution (10 CFR 32.72)
		$4,992
$6,700
		
16.28
16.29	Radiopharmaceutical processing and distribution (10 CFR 
32.72)
		$11,440
$15,300
		
16.30
16.31	Radiopharmaceutical processing and distribution (10 CFR 
32.72) (5 or more locations)
		$13,728
$18,300
		
16.3316.32
	Medical sealed sources - distribution (10 CFR 32.74)
		$4,992
$6,700
		
16.34
16.35	Medical sealed sources - processing and distribution (10 CFR 
32.74)
		$11,440
$15,300
		
16.36
16.37	Medical sealed sources - processing and distribution (10 CFR 
32.74) (5 or more locations)
		$13,728
$18,300
		
16.3916.38
	Well logging - sealed sources
		$4,888
$6,600
		
16.40
16.41	Measuring systems - (fixed gauge, portable gauge, gas 
chromatograph, other)
		$2,600
$3,800
		
16.42
16.43	Measuring systems - (fixed gauge, portable gauge, gas 
chromatograph, other) (4-8 locations)
		$3,120
$4,500
		
16.44
16.45	Measuring systems - (fixed gauge, portable gauge, gas 
chromatograph, other) (9 or more locations)
		$3,640
$5,200
		
17.217.1
	X-ray fluorescent analyzer
		$1,976
$2,700
		
17.417.3
	Manufacturing and distribution - type A broad scope
		$25,896
$34,500
		
17.5
17.6	Manufacturing and distribution - type A broad scope (4-8 
locations)
		$31,075
$41,400
		
17.7
17.8	Manufacturing and distribution - type A broad scope (9 or more 
locations)
		$36,254
$48,300
		
17.1017.9	Manufacturing and distribution - type B or C broad scope
		$22,880
$30,500
		
17.11
17.12	Manufacturing and distribution - type B or C broad scope (4-8 
locations)
		$27,456
$36,600
		
17.13
17.14	Manufacturing and distribution - type B or C broad scope (9 
or more locations)
		$32,032
$42,700
		
17.1617.15
	Manufacturing and distribution - other
		$6,864
$9,200
		
17.1817.17
	Manufacturing and distribution - other (4-8 locations)
		$8,236
$11,000
		
17.2017.19
	Manufacturing and distribution - other (9 or more locations)
		$9,609
$12,800
		
17.2217.21
	Nuclear laundry
		$24,232
$32,300
		
17.2417.23
	Decontamination services
		$6,448
$8,600
		
17.2617.25
	Leak test services only
		$2,600
$3,500
		
17.2817.27
	Instrument calibration service only
		$2,600
$3,500
		
17.3017.29
	Service, maintenance, installation, source changes, etc.
		$6,448
$8,600
		
17.3217.31
	Waste disposal service, prepackaged only
		$7,800
$10,400
		
17.3417.33
	Waste disposal
		$10,816
$14,400
		
17.3617.35
	Distribution - general licensed devices (sealed sources)
		$2,288
$3,100
		
17.3817.37
	Distribution - general licensed material (unsealed sources)
		$1,456
$2,000
		
17.4017.39
	Industrial radiography - fixed or temporary location
		$12,792
$17,200
		
17.41
17.42	Industrial radiography - fixed or temporary location (5 or more 
locations)
		$16,629
$22,300
		
17.4417.43
	Irradiators, self-shielding
		$3,744
$5,000
		
17.4617.45
	Irradiators, other, less than 10,000 curies
		$6,968
$9,300
		
18.218.1
	Research and development - type A, B, or C broad scope
		$12,376
$16,500
		
18.3
18.4	Research and development - type A, B, or C broad scope (4-8 
locations)
		$14,851
$19,800
		
18.5
18.6	Research and development - type A, B, or C broad scope (9 or 
more locations)
		$17,326
$23,100
		
18.818.7
	Research and development - other
		$5,824
$7,800
		
18.1018.9	Storage - no operations
		$2,600
$3,500
		
18.1218.11
	Source material - shielding
		$759
$1,100
		
18.1418.13
	Special nuclear material plutonium - neutron source in device
		$4,784
$6,400
		
18.15
18.16	Pacemaker by-product and/or special nuclear material - medical 
(institution)
		$4,784
$6,400
		
18.17
18.18	Pacemaker by-product and/or special nuclear material - 
manufacturing and distribution
		$6,864
$9,200
		
18.2018.19
	Accelerator-produced radioactive material
		$4,992
$6,700
		
18.2218.21
	Nonprofit educational institutions
		$500
$700

18.23 	Sec. 28. Minnesota Statutes 2024, section 144.1205, subdivision 4, is amended to read:
18.24 		Subd. 4.Initial and renewal application fee. A licensee must pay an initial and a 
18.25 	renewal application fee according to this subdivision.

18.26	TYPE
	APPLICATION FEE
	
18.2818.27
	Academic broad scope - type A, B, or C
		$6,808
$9,100
		
18.3018.29
	Medical broad scope - type A
		$4,508
$6,000
		
18.31
18.32
18.33	Medical - diagnostic, diagnostic and therapeutic, mobile nuclear 
medicine, eye applicators, high dose rate afterloaders, and 
medical therapy emerging technologies
		$1,748
$2,350
		
18.3518.34
	Teletherapy
		$6,348
$8,450
		
18.3718.36
	Gamma knife
		$6,348
$8,450
		
18.3918.38
	Veterinary medicine
		$1,104
$1,500
		
18.4118.40
	In vitro testing lab
		$1,104
$1,500
		
18.4318.42
	Nuclear pharmacy
		$5,612
$7,500
		
19.219.1
	Radiopharmaceutical distribution (10 CFR 32.72)
		$2,484
$3,350
		
19.3
19.4	Radiopharmaceutical processing and distribution (10 CFR 
32.72)
		$5,612
$7,500
		
19.619.5
	Medical sealed sources - distribution (10 CFR 32.74)
		$2,484
$3,350
		
19.7
19.8	Medical sealed sources - processing and distribution (10 CFR 
32.74)
		$5,612
$7,500
		
19.1019.9	Well logging - sealed sources
		$1,840
$2,450
		
19.11
19.12	Measuring systems - (fixed gauge, portable gauge, gas 
chromatograph, other)
		$1,104
$1,500
		
19.1419.13
	X-ray fluorescent analyzer
		$671
$900
		
19.1619.15
	Manufacturing and distribution - type A, B, and C broad scope
		$6,854
$9,150
		
19.1819.17
	Manufacturing and distribution - other
		$2,668
$3,550
		
19.2019.19
	Nuclear laundry
		$11,592
$15,450
		
19.2219.21
	Decontamination services
		$3,036
$4,050
		
19.2419.23
	Leak test services only
		$1,104
$1,500
		
19.2619.25
	Instrument calibration service only
		$1,104
$1,500
		
19.2819.27
	Service, maintenance, installation, source changes, etc.
		$3,036
$4,050
		
19.3019.29
	Waste disposal service, prepackaged only
		$2,576
$3,450
		
19.3219.31
	Waste disposal
		$1,748
$2,350
		
19.3419.33
	Distribution - general licensed devices (sealed sources)
		$1,012
$1,350
		
19.3619.35
	Distribution - general licensed material (unsealed sources)
		$598
$800
		
19.3819.37
	Industrial radiography - fixed or temporary location
		$3,036
$4,050
		
19.4019.39
	Irradiators, self-shielding
		$1,656
$2,250
		
19.4219.41
	Irradiators, other, less than 10,000 curies
		$3,404
$4,550
		
19.4419.43
	Research and development - type A, B, or C broad scope
		$5,704
$7,600
		
19.4619.45
	Research and development - other
		$2,760
$3,700
		
20.220.1
	Storage - no operations
		$1,104
$1,500
		
20.420.3
	Source material - shielding
		$156
$250
		
20.620.5
	Special nuclear material plutonium - neutron source in device
		$1,380
$1,850
		
20.7
20.8	Pacemaker by-product and/or special nuclear material - medical 
(institution)
		$1,380
$1,850
		
20.920.10
	Pacemaker by-product and/or special nuclear material - 
manufacturing and distribution
		$2,668
$3,550
		
20.1220.11
	Accelerator-produced radioactive material
		$4,715
$6,300
		
20.1420.13
	Nonprofit educational institutions
		$345
$500

20.15 	Sec. 29. Minnesota Statutes 2024, section 144.1205, subdivision 8, is amended to read:
20.16 		Subd. 8.Reciprocity fee. A licensee submitting an application for reciprocal recognition 
20.17 	of a materials license issued by another agreement state or the United States Nuclear 
20.18 	Regulatory Commission for a period of 180 days or less during a calendar year must pay 
20.19 	$2,400 $3,200. For a period of 181 days or more, the licensee must obtain a license under 
20.20 	subdivision 4.

20.21 	Sec. 30. Minnesota Statutes 2024, section 144.1205, subdivision 9, is amended to read:
20.22 		Subd. 9.Fees for license amendments. A licensee must pay a fee of $600 $800 to 
20.23 	amend a license as follows:
20.24 	(1) to amend a license requiring review including, but not limited to, addition of isotopes, 
20.25 	procedure changes, new authorized users, or a new radiation safety officer; or
20.26 	(2) to amend a license requiring review and a site visit including, but not limited to, 
20.27 	facility move or addition of processes.

20.28 	Sec. 31. Minnesota Statutes 2024, section 144.1205, subdivision 10, is amended to read:
20.29 		Subd. 10.Fees for general license registrations. A person required to register generally 
20.30 	licensed devices according to Minnesota Rules, part 4731.3215, must pay an annual 
20.31 	registration fee of $450 $600.

20.32 	Sec. 32. Minnesota Statutes 2024, section 144.121, subdivision 1a, is amended to read:
20.33 		Subd. 1a.Fees for ionizing radiation-producing equipment. (a) A facility with ionizing 
20.34 	radiation-producing equipment and other sources of ionizing radiation must pay an initial 
21.1 	or annual renewal registration fee consisting of a base facility fee of $100 $155 and an 
21.2 	additional fee for each x-ray tube, as follows:

21.321.4	(1)
	medical or veterinary equipment
	$
	100
130
		
21.521.6	(2)
	dental x-ray equipment
	$
	40
60
		
21.721.8	(3)
	x-ray equipment not used on 
humans or animals
	$
	100
130
		
21.921.10
21.11
	(4)
	devices with sources of ionizing 
radiation not used on humans or 
animals
	$
	100
130
		
21.1221.13	(5)
	security screening system
	$
	100
160
		
21.1421.15	(6)
	radiation therapy and accelerator 
x-ray equipment
	$
	1,000
		
21.1621.17	(7)
	industrial accelerator x-ray 
equipment
	$
	300
		
21.18 	(b) A facility with radiation therapy and accelerator equipment must pay an initial or 
21.19 	annual registration fee of $500. A facility with an industrial accelerator must pay an initial 
21.20 	or annual registration fee of $150.
21.21 	(c) (b) Electron microscopy equipment is exempt from the registration fee requirements 
21.22 	of this section.
21.23 	(d) (c) For purposes of this section, a security screening system means ionizing 
21.24 	radiation-producing equipment designed and used for security screening of humans who 
21.25 	are in the custody of a correctional or detention facility, and used by the facility to image 
21.26 	and identify contraband items concealed within or on all sides of a human body. For purposes 
21.27 	of this section, a correctional or detention facility is a facility licensed under section 241.021 
21.28 	and operated by a state agency or political subdivision charged with detection, enforcement, 
21.29 	or incarceration in respect to state criminal and traffic laws. The commissioner shall adopt 
21.30 	rules to establish requirements for the use of security screening systems. Notwithstanding 
21.31 	section 14.125, the authority to adopt these rules does not expire.

21.32 	Sec. 33. Minnesota Statutes 2024, section 144.121, is amended by adding a subdivision 
21.33 	to read:
21.34 		Subd. 1e.Fee for service provider of ionizing radiation-producing equipment. A 
21.35 	service provider of ionizing radiation-producing equipment and other sources of ionizing 
21.36 	radiation must pay an initial or annual renewal fee of $115.

22.1 	Sec. 34. Minnesota Statutes 2024, section 144.121, subdivision 2, is amended to read:
22.2 		Subd. 2.Inspections. Periodic radiation safety inspections of the x-ray equipment and 
22.3 	other sources of ionizing radiation shall be made by the commissioner of health. The 
22.4 	frequency of safety inspections shall be prescribed by the commissioner on the basis of
22.5 	based on the frequency of radiation exposure risk to occupational and public health from
22.6 	use of the x-ray equipment and other source of ionizing radiation, provided that each source 
22.7 	shall be inspected at least once every four years.

22.8 	Sec. 35. Minnesota Statutes 2024, section 144.121, subdivision 5, is amended to read:
22.9 		Subd. 5.Examination for individual operating x-ray systems. (a) An individual in a 
22.10 	facility with x-ray systems for use on living humans that is registered under subdivision 1 
22.11 	may not operate, nor may the facility allow the individual to operate, x-ray systems unless 
22.12 	the individual has passed a national or state examination.
22.13 	(b) Individuals who may operate x-ray systems include:
22.14 	(1) an individual who has passed the American Registry of Radiologic Technologists 
22.15 	(ARRT) registry for radiography examination;
22.16 	(2) an individual who has passed the American Chiropractic Registry of Radiologic 
22.17 	Technologists (ACRRT) registry examination and is limited to radiography of spines and 
22.18 	extremities;
22.19 	(3) a registered limited scope x-ray operator and a registered bone densitometry equipment 
22.20 	operator who passed the examination requirements in paragraphs (d) and (e) and practices 
22.21 	according to subdivision 5a;
22.22 	(4) an x-ray operator who has the original certificate or the original letter of passing the 
22.23 	examination that was required before January 1, 2008, under Minnesota Statutes 2008, 
22.24 	section 144.121, subdivision 5a, paragraph (b), clause (1);
22.25 	(5) an individual who has passed the American Registry of Radiologic Technologists 
22.26 	(ARRT) registry for radiation therapy examination according to subdivision 5e;
22.27 	(6) a cardiovascular technologist according to subdivision 5c;
22.28 	(7) a nuclear medicine technologist according to subdivision 5d;
22.29 	(8) an individual who has passed the examination for a dental hygienist under section 
22.30 	150A.06 and only operates dental x-ray systems;
23.1 	(9) an individual who has passed the examination for a dental therapist under section 
23.2 	150A.06 and only operates dental x-ray systems;
23.3 	(10) an individual who has passed the examination for a dental assistant under section 
23.4 	150A.06 and only operates dental x-ray systems;
23.5 	(11) an individual who has passed the examination under Minnesota Rules, part 
23.6 	3100.8500, subpart 3 3100.1320, and only operates dental x-ray systems; and
23.7 	(12) a qualified practitioner who is licensed by a health-related licensing board with 
23.8 	active practice authority and is working within the practitioner's scope of practice.
23.9 	(c) Except for individuals under clauses (3) and (4), an individual who is participating 
23.10 	in a training or educational program in any of the occupations listed in paragraph (b) is 
23.11 	exempt from the examination requirement within the scope and for the duration of the 
23.12 	training or educational program.
23.13 	(d) The Minnesota examination for limited scope x-ray operators must include:
23.14 	(1) radiation protection, radiation physics and radiobiology, equipment operation and 
23.15 	quality assurance, image acquisition and technical evaluation, and patient interactions and 
23.16 	management; and
23.17 	(2) at least one of the following regions of the human anatomy: chest, extremities, skull 
23.18 	and sinus, spine, or podiatry. The examinations must include the anatomy of, and radiographic 
23.19 	positions and projections for, the specific regions.
23.20 	(e) The examination for bone densitometry equipment operators must include:
23.21 	(1) osteoporosis, bone physiology, bone health and patient education, patient preparation, 
23.22 	fundamental principals, biological effects of radiation, units of measurements, radiation 
23.23 	protection in bone densitometry, fundamentals of x-ray production, quality control, measuring 
23.24 	bone mineral testing, determining quality in bone mineral testing, file and database 
23.25 	management; and
23.26 	(2) dual x-ray absorptiometry scanning of the lumbar spine, proximal femur, and forearm. 
23.27 	The examination must include the anatomy, scan acquisition, and scan analysis for these 
23.28 	three procedures.
23.29 	(f) A limited scope x-ray operator, and a bone densitometry equipment operator, who 
23.30 	are required to take an examination under this subdivision must submit to the commissioner 
23.31 	a registration application for the examination and a $25 processing fee. The processing fee 
24.1 	shall be deposited in the state treasury and credited to the state government special revenue 
24.2 	fund.

24.3 	Sec. 36. Minnesota Statutes 2024, section 144.121, is amended by adding a subdivision 
24.4 	to read:
24.5 		Subd. 10.Service provider practice; service technician. (a) A service technician is a 
24.6 	service provider who performs one or more of the following, including but not limited to: 
24.7 	assembly, installation, calibration, equipment performance evaluation, preventive 
24.8 	maintenance, repair, replacement, or disabling of ionizing radiation-producing equipment 
24.9 	and other sources of ionizing radiation. A service technician may not perform an equipment 
24.10 	performance evaluation on computed tomography, medical cone beam computed tomography, 
24.11 	and fluoroscopy equipment.
24.12 	(b) In order to provide service technician services, a service provider must register with 
24.13 	the commissioner as a service technician, meet the applicable requirements in Minnesota 
24.14 	Rules, chapter 4732, and pay the fee in subdivision 1e.

24.15 	Sec. 37. Minnesota Statutes 2024, section 144.121, is amended by adding a subdivision 
24.16 	to read:
24.17 		Subd. 11.Service provider practice; vendor. (a) A vendor is a service provider who 
24.18 	performs one or more of the following services, including but not limited to: sales, leasing, 
24.19 	lending, transferring, disposal, or demonstration of ionizing radiation-producing equipment 
24.20 	and other sources of ionizing radiation.
24.21 	(b) In order to provide vendor services, a service provider must register with the 
24.22 	commissioner as a vendor, meet the applicable requirements in Minnesota Rules, chapter 
24.23 	4732, and pay the fee in subdivision 1e.

24.24 	Sec. 38. Minnesota Statutes 2024, section 144.121, is amended by adding a subdivision 
24.25 	to read:
24.26 		Subd. 12.Service provider practice; qualified medical physicist. (a) A qualified 
24.27 	medical physicist is a service provider who provides medical physics services and must be 
24.28 	certified in diagnostic medical physics, diagnostic radiological physics, radiological physics, 
24.29 	diagnostic imaging physics, or diagnostic radiology physics by the American Board of 
24.30 	Radiology, the American Board of Medical Physics, or the Canadian College of Physicists 
24.31 	in Medicine.
25.1 	(b) In order to provide medical physics services a service provider must register with 
25.2 	the commissioner as a qualified medical physicist, meet the applicable requirements in 
25.3 	Minnesota Rules, chapter 4732, and pay the fee in subdivision 1e.

25.4 	Sec. 39. Minnesota Statutes 2024, section 144.121, is amended by adding a subdivision 
25.5 	to read:
25.6 		Subd. 13.Service provider practice; qualified expert. (a) A qualified expert is a service 
25.7 	provider who provides expert physics services, and must be certified in the appropriate 
25.8 	fields or specialties in which physics services are provided by the American Board of Health 
25.9 	Physics, the American Board of Medical Physics, the American Board of Radiology, the 
25.10 	American Board of Science in Nuclear Medicine, or the Canadian College of Physicists in 
25.11 	Medicine.
25.12 	(b) In order to provide health physics services, a service provider must register with the 
25.13 	commissioner as a qualified expert, meet the applicable requirements in Minnesota Rules, 
25.14 	chapter 4732, and pay the fee in subdivision 1e.

25.15 	Sec. 40. Minnesota Statutes 2024, section 144.121, is amended by adding a subdivision 
25.16 	to read:
25.17 		Subd. 14.Service provider practice; physicist assistant. (a) A physicist assistant is a 
25.18 	service provider who provides expert physics or medical physics services under the 
25.19 	supervision of a qualified expert or a qualified medical physicist and must be deemed 
25.20 	competent by a qualified expert or a qualified medical physicist in the appropriate fields or 
25.21 	specialties in which services are provided.
25.22 	(b) In order to provide health physics or medical physics services under the supervision 
25.23 	of a qualified expert or a qualified medical physicist, a physicist assistant must register with 
25.24 	the commissioner as a physicist assistant, meet the applicable requirements in Minnesota 
25.25 	Rules, chapter 4732, and pay the fee under subdivision 1e.
25.26 	(c) Supervision as used in this subdivision refers to either personal or general supervision 
25.27 	of a physicist assistant by a qualified expert or a qualified medical physicist according to 
25.28 	Minnesota Rules, chapter 4732.
25.29 	(d) An individual registered with the commissioner before January 1, 2025, under 
25.30 	Minnesota Rules, part 4732.0275, to perform expert physics services independently or 
25.31 	medical physics services independently may continue to register and perform these services 
25.32 	as a physicist assistant without supervision if the individual:
26.1 	(1) holds a master's degree from an accredited college or university in medical physics, 
26.2 	radiological sciences, or an equivalent field involving graduate study in physics applied to 
26.3 	the application of radiation to humans;
26.4 	(2) has at least two years of full-time practical training or supervised experience under 
26.5 	an individual who meets the qualifications under subdivision 12 or 13; and
26.6 	(3) pays the fee in subdivision 1e.

26.7 	Sec. 41. Minnesota Statutes 2024, section 144.121, is amended by adding a subdivision 
26.8 	to read:
26.9 		Subd. 15.Service provider compliance. A service provider registered with the 
26.10 	commissioner under Minnesota Rules, chapter 4732, must, upon renewal of registration, 
26.11 	comply with the applicable requirements under this section and submit the fee under 
26.12 	subdivision 1e.

26.13 	Sec. 42. Minnesota Statutes 2024, section 144.1215, is amended by adding a subdivision 
26.14 	to read:
26.15 		Subd. 5.Rulemaking authority. The commissioner shall adopt rules to implement this 
26.16 	section. Notwithstanding section 14.125, the authority to adopt these rules does not expire.

26.17 	Sec. 43. Minnesota Statutes 2024, section 144.122, is amended to read:
26.18 	144.122 LICENSE, PERMIT, AND SURVEY FEES.
26.19 	(a) The state commissioner of health, by rule, may prescribe procedures and fees for 
26.20 	filing with the commissioner as prescribed by statute and for the issuance of original and 
26.21 	renewal permits, licenses, registrations, and certifications issued under authority of the 
26.22 	commissioner. The expiration dates of the various licenses, permits, registrations, and 
26.23 	certifications as prescribed by the rules shall be plainly marked thereon. Fees may include 
26.24 	application and examination fees and a penalty fee for renewal applications submitted after 
26.25 	the expiration date of the previously issued permit, license, registration, and certification. 
26.26 	The commissioner may also prescribe, by rule, reduced fees for permits, licenses, 
26.27 	registrations, and certifications when the application therefor is submitted during the last 
26.28 	three months of the permit, license, registration, or certification period. Fees proposed to 
26.29 	be prescribed in the rules shall be first approved by the Department of Management and 
26.30 	Budget. All fees proposed to be prescribed in rules shall be reasonable. The fees shall be 
26.31 	in an amount so that the total fees collected by the commissioner will, where practical, 
26.32 	approximate the cost to the commissioner in administering the program. All fees collected 
27.1 	shall be deposited in the state treasury and credited to the state government special revenue 
27.2 	fund unless otherwise specifically appropriated by law for specific purposes.
27.3 	(b) The commissioner may charge a fee for voluntary certification of medical laboratories 
27.4 	and environmental laboratories, and for environmental and medical laboratory services 
27.5 	provided by the department, without complying with paragraph (a) or chapter 14. Fees 
27.6 	charged for environment and medical laboratory services provided by the department must 
27.7 	be approximately equal to the costs of providing the services.
27.8 	(c) The commissioner may develop a schedule of fees for diagnostic evaluations 
27.9 	conducted at clinics held by the services for children with disabilities program. All receipts 
27.10 	generated by the program are annually appropriated to the commissioner for use in the 
27.11 	maternal and child health program.
27.12 	(d) The commissioner shall set license fees for hospitals and nursing homes that are not 
27.13 	boarding care homes at the following levels:

27.14
27.15
27.16
27.17	The Joint Commission on Accreditation 
of Healthcare Organizations (JCAHO)
(TJC) and American Osteopathic 
Association (AOA) hospitals
		$7,655 plus $16 per bed $9,524
	
27.18
27.19	Non-JCAHO Non-TJC and non-AOA 
hospitals
		$5,280 $6,318 plus $250 $317 per bed
	
27.20
27.21
27.22	Fees collected per hospital for the 
Minnesota Adverse Health Care Events 
Reporting
		$600 plus $16 per bed
	
27.2327.24
27.25
27.26	Nursing home
		$183 plus $91 per bed until June 30, 2018. 
$183 plus $100 per bed between July 1, 
2018, and June 30, 2020. $183 $238 plus 
$105 $142 per bed beginning July 1, 2020.
	
27.27 	The commissioner shall set license fees for outpatient surgical centers, boarding care 
27.28 	homes, supervised living facilities, assisted living facilities, and assisted living facilities 
27.29 	with dementia care at the following levels:

27.30	Outpatient surgical centers
		$3,712 $1,966
	
27.31
27.32
27.33	Fees collected per outpatient surgical 
center for the Minnesota Adverse Health 
Care Events Reporting
		$2,200
	
27.34	Boarding care homes
		$183 $220 plus $91 $110 per bed
	
27.35	Supervised living facilities
		$183 $238 plus $91 $118 per bed.
	
27.36
27.37	Assisted living facilities with dementia 
care
		$3,000 plus $100 $150 per resident.
	
27.38	Assisted living facilities
		$2,000 plus $75 $125 per resident.
	
28.1 	Fees collected under this paragraph are nonrefundable. The fees are nonrefundable even if 
28.2 	received before July 1, 2017, for licenses or registrations being issued effective July 1, 2017, 
28.3 	or later.
28.4 	(e) Unless prohibited by federal law, the commissioner of health shall charge applicants 
28.5 	the following fees to cover the cost of any initial certification surveys required to determine 
28.6 	a provider's eligibility to participate in the Medicare or Medicaid program:

28.7	Prospective payment surveys for hospitals
	$
	900
	
28.8	Swing bed surveys for nursing homes
	$
	1,200
	
28.9	Psychiatric hospitals
	$
	1,400
	
28.10	Rural health facilities
	$
	1,100
	
28.11	Portable x-ray providers
	$
	500
	
28.12	Home health agencies
	$
	1,800
	
28.13	Outpatient therapy agencies
	$
	800
	
28.14	End stage renal dialysis providers
	$
	2,100
	
28.15	Independent therapists
	$
	800
	
28.16	Comprehensive rehabilitation outpatient facilities
	$
	1,200
	
28.17	Hospice providers
	$
	1,700
	
28.18	Ambulatory surgical providers
	$
	1,800
	
28.19	Hospitals
	$
	4,200
	
28.20
28.21
28.22	Other provider categories or additional
resurveys required to complete initial
certification
	Actual surveyor costs: average 
surveyor cost x number of hours for 
the survey process.
	
28.23 	These fees shall be submitted at the time of the application for federal certification and 
28.24 	shall not be refunded. All fees collected after the date that the imposition of fees is not 
28.25 	prohibited by federal law shall be deposited in the state treasury and credited to the state 
28.26 	government special revenue fund.
28.27 	(f) Notwithstanding section 16A.1283, the commissioner may adjust the fees assessed 
28.28 	on assisted living facilities and assisted living facilities with dementia care under paragraph 
28.29 	(d), in a revenue-neutral manner in accordance with the requirements of this paragraph:
28.30 	(1) a facility seeking to renew a license shall pay a renewal fee in an amount that is up 
28.31 	to ten percent lower than the applicable fee in paragraph (d) if residents who receive home 
28.32 	and community-based waiver services under chapter 256S and section 256B.49 comprise 
28.33 	more than 50 percent of the facility's capacity in the calendar year prior to the year in which 
28.34 	the renewal application is submitted; and
29.1 	(2) a facility seeking to renew a license shall pay a renewal fee in an amount that is up 
29.2 	to ten percent higher than the applicable fee in paragraph (d) if residents who receive home 
29.3 	and community-based waiver services under chapter 256S and section 256B.49 comprise 
29.4 	less than 50 percent of the facility's capacity during the calendar year prior to the year in 
29.5 	which the renewal application is submitted.
29.6 	The commissioner may annually adjust the percentages in clauses (1) and (2), to ensure this 
29.7 	paragraph is implemented in a revenue-neutral manner. The commissioner shall develop a 
29.8 	method for determining capacity thresholds in this paragraph in consultation with the 
29.9 	commissioner of human services and must coordinate the administration of this paragraph 
29.10 	with the commissioner of human services for purposes of verification.
29.11 	(g) The commissioner shall charge hospitals an annual licensing base fee of $1,826 per 
29.12 	hospital, plus an additional $23 per licensed bed or bassinet fee. Revenue shall be deposited 
29.13 	to the state government special revenue fund and credited toward trauma hospital designations 
29.14 	under sections 144.605 and 144.6071.

29.15 	Sec. 44. Minnesota Statutes 2024, section 144.1222, subdivision 1a, is amended to read:
29.16 		Subd. 1a.Fees. All plans and specifications for public pool and spa construction, 
29.17 	installation, or alteration or requests for a variance that are submitted to the commissioner 
29.18 	according to Minnesota Rules, part 4717.3975, shall be accompanied by the appropriate 
29.19 	fees. All public pool construction plans submitted for review after January 1, 2009, must 
29.20 	be certified by a professional engineer registered in the state of Minnesota. If the 
29.21 	commissioner determines, upon review of the plans, that inadequate fees were paid, the 
29.22 	necessary additional fees shall be paid before plan approval. For purposes of determining 
29.23 	fees, a project is defined as a proposal to construct or install a public pool, spa, special 
29.24 	purpose pool, or wading pool and all associated water treatment equipment and drains, 
29.25 	gutters, decks, water recreation features, spray pads, and those design and safety features 
29.26 	that are within five feet of any pool or spa. Plans submitted less than 30 days prior to 
29.27 	construction are subject to an additional late fee equal to 50 percent of the original plan 
29.28 	review fee. The commissioner shall charge the following fees for plan review and inspection 
29.29 	of public pools and spas and for requests for variance from the public pool and spa rules:
29.30 	(1) each pool, $1,500 $1,600;
29.31 	(2) each spa pool, $800 $900;
29.32 	(3) each slide, $600 $650;
30.1 	(4) projects valued at $250,000 or more, the greater of the sum of the fees in clauses (1), 
30.2 	(2), and (3) or 0.5 percent of the documented estimated project cost to a maximum fee of 
30.3 	$15,000;
30.4 	(5) alterations to an existing pool without changing the size or configuration of the pool, 
30.5 	$600 $700;
30.6 	(6) removal or replacement of pool disinfection equipment only, $100 $200; and
30.7 	(7) request for variance from the public pool and spa rules, $500 $550.

30.8 	Sec. 45. Minnesota Statutes 2024, section 144.1222, subdivision 2d, is amended to read:
30.9 		Subd. 2d.Hot tubs Spa pools on rental houseboats property. (a) For the purposes of 
30.10 	this subdivision, "spa pool" has the meaning given in Minnesota Rules, part 4717.0250, 
30.11 	subpart 9.
30.12 	(a)(b) Except as provided in paragraph (c), a hot water spa pool intended for seated 
30.13 	recreational use, including a hot tub or whirlpool, that is located on a houseboat that is rented 
30.14 	to the public the property of a stand-alone, single-unit rental property, offered for rent by 
30.15 	the property owner or through a resort, and that is only intended to be used by the occupants 
30.16 	of the rental property:
30.17 	(1) is not a public pool and;
30.18 	(2) is exempt from the requirements for public pools under subdivisions 1 to 2c, 4, and 
30.19 	5 and Minnesota Rules, chapter 4717., except as otherwise provided in this paragraph; and
30.20 	(3) may be used by renters so long as:
30.21 	(i) the water temperature in the spa pool does not exceed 106 degrees Fahrenheit; and
30.22 	(ii) prior to check-in by each new rental party, the resort or property owner tests the 
30.23 	water in the spa pool for the concentration of chlorine or bromine, pH, and alkalinity, and 
30.24 	the water in the spa pool meets the requirements for disinfection residual, pH, and alkalinity 
30.25 	in Minnesota Rules, part 4717.1750, subparts 4, 5, and 6.
30.26 	(b) (c) A spa pool intended for seated recreational use, including a hot tub or whirlpool, 
30.27 	that is located on a houseboat that is rented to the public:
30.28 	(1) is not a public pool;
30.29 	(2) is exempt from the requirements for public pools under subdivisions 1 to 2c, 4, and 
30.30 	5 and Minnesota Rules, chapter 4717; and
30.31 	(3) is exempt from the requirements under paragraph (b), clause (3).
31.1 	(d) A political subdivision must not adopt a local law, rule, or ordinance that prohibits 
31.2 	the operation of, or establishes additional requirements for, a spa pool that meets the criteria 
31.3 	in paragraph (b) or (c).
31.4 	(e) A hot water spa pool under this subdivision must be conspicuously posted with the 
31.5 	following notice and must be provided to renters upon check in:
31.6 	"NOTICE
31.7 	This spa is exempt from state and local anti-entrapment and sanitary requirements that 
31.8 	prevent disease transmission waterborne diseases such as Legionnaires' disease, Pseudomonas 
31.9 	folliculitis (hot tub rash), and chemical burns and is not subject to inspection.
31.10 	USE AT YOUR OWN RISK
31.11 	This notice is required under Minnesota Statutes, section 144.1222, subdivision 2d."

31.12 	Sec. 46. [144.1223] REGISTERED SANITARIANS AND REGISTERED 
31.13 	ENVIRONMENTAL HEALTH SPECIALIST APPLICATION FEES.
31.14 	(a) Fees to be submitted with initial or renewal applications for registration as a sanitarian 
31.15 	or environmental health specialist are as follows:
31.16 	(1) initial application fee, $55;
31.17 	(2) biennial renewal application fee, $55; and
31.18 	(3) penalty for late submission of renewal application, $20, if not renewed by designated 
31.19 	renewal date.
31.20 	(b) Additionally, a $5 technology fee must be paid with the initial registration or 
31.21 	registration renewal.

31.22 	Sec. 47. [144.124] EDUCATION ON RECOGNIZING SIGNS OF PHYSICAL ABUSE 
31.23 	IN INFANTS.
31.24 		Subdivision 1.Education by health care providers. Family practice physicians, 
31.25 	pediatricians, and other pediatric primary care providers must provide parents and primary 
31.26 	caregivers of infants up to six months of age with materials on how to recognize the signs 
31.27 	of physical abuse in infants and how to report suspected physical abuse of infants. These 
31.28 	materials must be identified and approved by the commissioner of health according to 
31.29 	subdivision 2 and must be provided to an infant's parents or primary caregivers at the infant's 
31.30 	first well-baby visit after birth.
32.1 		Subd. 2.Materials. The commissioner of health, in consultation with the commissioner 
32.2 	of children, youth, and families, must identify, approve, and make available to pediatric 
32.3 	primary care providers materials for pediatric primary care providers to use at well-baby 
32.4 	visits to educate parents and primary caregivers of infants up to six months of age on 
32.5 	recognizing the signs of physical abuse in infants and how to report suspected physical 
32.6 	abuse of infants. The commissioner must make these materials available on the Department 
32.7 	of Health website.

32.8 	Sec. 48. Minnesota Statutes 2024, section 144.125, subdivision 1, is amended to read:
32.9 		Subdivision 1.Duty to perform testing. (a) It is the duty of (1) the administrative officer 
32.10 	or other person in charge of each institution caring for infants 28 days or less of age, (2) the 
32.11 	person required in pursuance of the provisions of section 144.215, to register the birth of a 
32.12 	child, or (3) the nurse midwife or midwife in attendance at the birth, to arrange to have 
32.13 	administered to every infant or child in its care tests for heritable and congenital disorders 
32.14 	according to subdivision 2 and rules prescribed by the state commissioner of health.
32.15 	(b) Testing, recording of test results, reporting of test results, and follow-up of infants 
32.16 	with heritable congenital disorders, including hearing loss detected through the early hearing 
32.17 	detection and intervention program in section 144.966, shall be performed at the times and 
32.18 	in the manner prescribed by the commissioner of health.
32.19 	(c) The fee to support the newborn screening program, including tests administered 
32.20 	under this section and section 144.966, shall be $177 $184 per specimen. This fee amount 
32.21 	shall be deposited in the state treasury and credited to the state government special revenue 
32.22 	fund.
32.23 	(d) The fee to offset the cost of the support services provided under section 144.966, 
32.24 	subdivision 3a, shall be $15 per specimen. This fee shall be deposited in the state treasury 
32.25 	and credited to the general fund.

32.26 	Sec. 49. Minnesota Statutes 2024, section 144.3831, subdivision 1, is amended to read:
32.27 		Subdivision 1.Fee setting. The commissioner of health may assess an annual fee of 
32.28 	$9.72 $15.22 for every service connection to a public water supply that is owned or operated 
32.29 	by a home rule charter city, a statutory city, a city of the first class, or a town. The 
32.30 	commissioner of health may also assess an annual fee for every service connection served 
32.31 	by a water user district defined in section 110A.02.

33.1 	Sec. 50. Minnesota Statutes 2024, section 144.55, subdivision 1a, is amended to read:
33.2 		Subd. 1a.License fee. The annual license fee for outpatient surgical centers is $1,512
33.3 	$1,966.

33.4 	Sec. 51. Minnesota Statutes 2024, section 144.554, is amended to read:
33.5 	144.554 HEALTH FACILITIES CONSTRUCTION PLAN SUBMITTAL AND 
33.6 	FEES.
33.7 	For hospitals, nursing homes, assisted living facilities, boarding care homes, residential 
33.8 	hospices, supervised living facilities, freestanding outpatient surgical centers, and end-stage 
33.9 	renal disease facilities, the commissioner shall collect a fee for the review and approval of 
33.10 	architectural, mechanical, and electrical plans and specifications submitted before 
33.11 	construction begins for each project relative to construction of new buildings, additions to 
33.12 	existing buildings, or remodeling or alterations of existing buildings. All fees collected in 
33.13 	this section shall be deposited in the state treasury and credited to the state government 
33.14 	special revenue fund. Fees must be paid at the time of submission of final plans for review 
33.15 	and are not refundable. The fee is calculated as follows:

33.16	Construction project total estimated cost
	Fee
	
33.17	$0 - $10,000
	$30 $45
	
33.18	$10,001 - $50,000
	$150 $225
	
33.19	$50,001 - $100,000
	$300 $450
	
33.20	$100,001 - $150,000
	$450 $675
	
33.21	$150,001 - $200,000
	$600 $900
	
33.22	$200,001 - $250,000
	$750 $1,125
	
33.23	$250,001 - $300,000
	$900 $1,350
	
33.24	$300,001 - $350,000
	$1,050 $1,575
	
33.25	$350,001 - $400,000
	$1,200 $1,800
	
33.26	$400,001 - $450,000
	$1,350 $2,025
	
33.27	$450,001 - $500,000
	$1,500 $2,250
	
33.28	$500,001 - $550,000
	$1,650 $2,475
	
33.29	$550,001 - $600,000
	$1,800 $2,700
	
33.30	$600,001 - $650,000
	$1,950 $2,925
	
33.31	$650,001 - $700,000
	$2,100 $3,150
	
33.32	$700,001 - $750,000
	$2,250 $3,375
	
33.33	$750,001 - $800,000
	$2,400 $3,600
	
33.34	$800,001 - $850,000
	$2,550 $3,825
	
33.35	$850,001 - $900,000
	$2,700 $4,050
	
34.1	$900,001 - $950,000
	$2,850 $4,275
	
34.2	$950,001 - $1,000,000
	$3,000 $4,500
	
34.3	$1,000,001 - $1,050,000
	$3,150 $4,725
	
34.4	$1,050,001 - $1,100,000
	$3,300 $4,950
	
34.5	$1,100,001 - $1,150,000
	$3,450 $5,175
	
34.6	$1,150,001 - $1,200,000
	$3,600 $5,400
	
34.7	$1,200,001 - $1,250,000
	$3,750 $5,625
	
34.8	$1,250,001 - $1,300,000
	$3,900 $5,850
	
34.9	$1,300,001 - $1,350,000
	$4,050 $6,075
	
34.10	$1,350,001 - $1,400,000
	$4,200 $6,300
	
34.11	$1,400,001 - $1,450,000
	$4,350 $6,525
	
34.12	$1,450,001 - $1,500,000
	$4,500 $6,750
	
34.13	$1,500,001 and over - $2,000,000
	$4,800 $7,200
	
34.14	$2,000,001 - $3,000,000
	$7,650
	
34.15	$3,000,001 - $4,000,000
	$8,100
	
34.16	$4,000,001 - $7,000,000
	$8,550
	
34.17	$7,000,001 - $15,000,000
	$9,000
	
34.18	$15,000,001 - $50,000,000
	$9,450
	
34.19	$50,000,001 and over
	$9,900

34.20 	Sec. 52. Minnesota Statutes 2024, section 144.562, subdivision 2, is amended to read:
34.21 		Subd. 2.Eligibility for license condition. (a) A hospital is not eligible to receive a 
34.22 	license condition for swing beds unless (1) it either has a licensed bed capacity of less than 
34.23 	50 beds defined in the federal Medicare regulations, Code of Federal Regulations, title 42, 
34.24 	section 482.66, or it has a licensed bed capacity of 50 beds or more and has swing beds that 
34.25 	were approved for Medicare reimbursement before May 1, 1985, or it has a licensed bed 
34.26 	capacity of less than 65 beds and the available nursing homes within 50 miles have had, in 
34.27 	the aggregate, an average occupancy rate of 96 percent or higher in the most recent two 
34.28 	years as documented on the statistical reports to the Department of Health; and (2) it is 
34.29 	located in a rural area as defined in the federal Medicare regulations, Code of Federal 
34.30 	Regulations, title 42, section 482.66.
34.31 	(b) Except for those critical access hospitals established under section 144.1483, clause 
34.32 	(9), and section 1820 of the federal Social Security Act, United States Code, title 42, section 
34.33 	1395i-4, that have an attached nursing home or that owned a nursing home located in the 
34.34 	same municipality as of May 1, 2005, eligible hospitals are allowed a total number of days 
34.35 	of swing bed use per year as provided in paragraph (c). Critical access hospitals that have 
35.1 	an attached nursing home or that owned a nursing home located in the same municipality 
35.2 	as of May 1, 2005, are allowed swing bed use as provided in federal law. A critical access 
35.3 	hospital described in section 144.5621 is allowed an unlimited number of days of swing 
35.4 	bed use per year.
35.5 	(c) An eligible hospital is allowed a total of 3,000 days of swing bed use in calendar 
35.6 	year 2020. Beginning in calendar year 2021, and for each subsequent calendar year until 
35.7 	calendar year 2027, the total number of days of swing bed use per year is increased by 200 
35.8 	swing bed use days. Beginning in calendar year 2028, an eligible hospital is allowed a total 
35.9 	of 4,500 days of swing bed use per year.
35.10 	(d) Days of swing bed use for medical care that an eligible hospital has determined are 
35.11 	charity care shall not count toward the applicable limit in paragraph (b) or (c). For purposes 
35.12 	of this paragraph, "charity care" means care that an eligible hospital provided for free or at 
35.13 	a discount to persons who cannot afford to pay and for which the eligible hospital did not 
35.14 	expect payment.
35.15 	(e) Days of swing bed use for care of a person who has been denied admission to every 
35.16 	Medicare-certified skilled nursing facility within 25 miles of the eligible hospital shall not 
35.17 	count toward the applicable limit in paragraphs (b) and (c). Eligible hospitals must maintain 
35.18 	documentation that they have contacted each skilled nursing facility within 25 miles to 
35.19 	determine if any skilled nursing facility beds are available and if the skilled nursing facilities 
35.20 	are willing to admit the patient. Skilled nursing facilities that are contacted must admit the 
35.21 	patient or deny admission within 24 hours of being contacted by the eligible hospital. Failure 
35.22 	to respond within 24 hours is deemed a denial of admission.
35.23 	(f) Except for critical access hospitals that have an attached nursing home or that owned 
35.24 	a nursing home located in the same municipality as of May 1, 2005, the commissioner of 
35.25 	health may approve swing bed use beyond 2,000 days as long as there are no Medicare 
35.26 	certified skilled nursing facility beds available within 25 miles of that hospital that are 
35.27 	willing to admit the patient and the patient agrees to the referral being sent to the skilled 
35.28 	nursing facility. Critical access hospitals exceeding 2,000 swing bed days must maintain 
35.29 	documentation that they have contacted skilled nursing facilities within 25 miles to determine 
35.30 	if any skilled nursing facility beds are available that are willing to admit the patient and the 
35.31 	patient agrees to the referral being sent to the skilled nursing facility. This paragraph expires 
35.32 	January 1, 2020.
35.33 	(g) After reaching 2,000 days of swing bed use in a year, an eligible hospital to which 
35.34 	this limit applies may admit six additional patients to swing beds each year without seeking 
36.1 	approval from the commissioner or being in violation of this subdivision. These six swing 
36.2 	bed admissions are exempt from the limit of 2,000 annual swing bed days for hospitals 
36.3 	subject to this limit. This paragraph expires January 1, 2020.
36.4 	(h) A health care system that is in full compliance with this subdivision may allocate its 
36.5 	total limit of swing bed days among the hospitals within the system, provided that no hospital 
36.6 	in the system without an attached nursing home may exceed 2,000 swing bed days per year. 
36.7 	This paragraph expires January 1, 2020.

36.8 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval, 
36.9 	whichever is later. The commissioners of health and human services shall inform the revisor 
36.10 	of statutes when federal approval is obtained.

36.11 	Sec. 53. Minnesota Statutes 2024, section 144.562, subdivision 3, is amended to read:
36.12 		Subd. 3.Approval of license condition. (a) The commissioner of health shall approve 
36.13 	a license condition for swing beds if the hospital meets all of the criteria of this subdivision.
36.14 	(b) The hospital must meet the eligibility criteria in subdivision 2.
36.15 	(c) The hospital must be in compliance with the Medicare conditions of participation 
36.16 	for swing beds under Code of Federal Regulations, title 42, section 482.66.
36.17 	(d) Except as provided in section 144.5621, the hospital must agree, in writing, to limit 
36.18 	the length of stay of a patient receiving services in a swing bed to not more than 40 days, 
36.19 	or the duration of Medicare eligibility, unless the commissioner of health approves a greater 
36.20 	length of stay in an emergency situation. To determine whether an emergency situation 
36.21 	exists, the commissioner shall require the hospital to provide documentation that continued 
36.22 	services in the swing bed are required by the patient; that no skilled nursing facility beds 
36.23 	are available within 25 miles from the patient's home, or in some more remote facility of 
36.24 	the resident's choice, that can provide the appropriate level of services required by the 
36.25 	patient; and that other alternative services are not available to meet the needs of the patient. 
36.26 	If the commissioner approves a greater length of stay, the hospital shall develop a plan 
36.27 	providing for the discharge of the patient upon the availability of a nursing home bed or 
36.28 	other services that meet the needs of the patient. Permission to extend a patient's length of 
36.29 	stay must be requested by the hospital at least ten days prior to the end of the maximum 
36.30 	length of stay.
36.31 	(e) Except as provided in section 144.5621, the hospital must agree, in writing, to limit 
36.32 	admission to a swing bed only to (1) patients who have been hospitalized and not yet 
37.1 	discharged from the facility, or (2) patients who are transferred directly from an acute care 
37.2 	hospital.
37.3 	(f) The hospital must agree, in writing, to report to the commissioner of health by 
37.4 	December 1, 1985, and annually thereafter, in a manner required by the commissioner (1) 
37.5 	the number of patients readmitted to a swing bed within 60 days of a patient's discharge 
37.6 	from the facility, (2) the hospital's charges for care in a swing bed during the reporting 
37.7 	period with a description of the care provided for the rate charged, and (3) the number of 
37.8 	beds used by the hospital for transitional care and similar subacute inpatient care.
37.9 	(g) The hospital must agree, in writing, to report statistical data on the utilization of the 
37.10 	swing beds on forms supplied by the commissioner. The data must include the number of 
37.11 	swing beds, the number of admissions to and discharges from swing beds, Medicare 
37.12 	reimbursed patient days, total patient days, and other information required by the 
37.13 	commissioner to assess the utilization of swing beds.

37.14 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval, 
37.15 	whichever is later. The commissioners of health and human services shall inform the revisor 
37.16 	of statutes when federal approval is obtained.

37.17 	Sec. 54. [144.5621] SWING BED APPROVAL; EXCEPTIONS.
37.18 		Subdivision 1.Swing bed exemption. (a) The conditions and limitations in section 
37.19 	144.562, paragraphs (d) and (e), do not apply to any hospital located in Cook County that:
37.20 	(1) is designated as a critical access hospital under section 144.1483, clause (9), and 
37.21 	United States Code, title 42, section 1395i-4; and
37.22 	(2) has an attached nursing home.
37.23 	(b) Any swing bed located in a hospital described in this section may be used to provide 
37.24 	nursing care without requiring a prior hospital stay.
37.25 	(c) The nursing care provided to a patient in a swing bed is a covered medical assistance 
37.26 	service under section 256B.0625, subdivision 2b.
37.27 		Subd. 2.Application of the health care bill of rights. A patient in a swing bed located 
37.28 	in a hospital described in this section is a resident of a nursing home for the purposes of 
37.29 	section 144.651.
37.30 		Subd. 3.Comprehensive resident assessment. A patient in a swing bed located in a 
37.31 	hospital described in this section is a resident of a nursing home for the purposes of Minnesota 
37.32 	Rules, part 4658.0400.

38.1 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval, 
38.2 	whichever is later. The commissioners of health and human services shall inform the revisor 
38.3 	of statutes when federal approval is obtained.

38.4 	Sec. 55. Minnesota Statutes 2024, section 144.563, is amended to read:
38.5 	144.563 NURSING SERVICES PROVIDED IN A HOSPITAL; PROHIBITED 
38.6 	PRACTICES.
38.7 	A hospital that has been granted a license condition under section 144.562or 144.5621 
38.8 	must not provide to patients not reimbursed by Medicare or medical assistance the types of 
38.9 	services that would be usually and customarily provided and reimbursed under medical 
38.10 	assistance or Medicare as services of a skilled nursing facility or intermediate care facility 
38.11 	for more than 42 days and only for patients who have been hospitalized and no longer require 
38.12 	an acute level of care. Permission to extend a patient's length of stay may be granted by the 
38.13 	commissioner if requested by the physician at least ten days prior to the end of the maximum 
38.14 	length of stay.

38.15 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval, 
38.16 	whichever is later. The commissioners of health and human services shall inform the revisor 
38.17 	of statutes when federal approval is obtained.

38.18 	Sec. 56. Minnesota Statutes 2024, section 144.608, subdivision 2, is amended to read:
38.19 		Subd. 2.Council administration. (a) The council must meet at least twice a year but 
38.20 	may meet more frequently at the call of the chair, a majority of the council members, or the 
38.21 	commissioner.
38.22 	(b) The terms, compensation, and removal of members of the council are governed by 
38.23 	section 15.059. The council expires June 30, 2025 2035.
38.24 	(c) The council may appoint subcommittees and work groups. Subcommittees shall 
38.25 	consist of council members. Work groups may include noncouncil members. Noncouncil 
38.26 	members shall be compensated for work group activities under section 15.059, subdivision 
38.27 	3, but shall receive expenses only.

38.28 	Sec. 57. Minnesota Statutes 2024, section 144.615, subdivision 8, is amended to read:
38.29 		Subd. 8.Fees. (a) The biennial license fee for a birth center is $365 $438.
38.30 	(b) The temporary license fee is $365 $438.
38.31 	(c) Fees shall be collected and deposited according to section 144.122.

39.1 	Sec. 58. Minnesota Statutes 2024, section 144.966, subdivision 2, as amended by Laws 
39.2 	2025, chapter 20, section 119, is amended to read:
39.3 		Subd. 2.Newborn Hearing Screening Advisory Committee. (a) The commissioner 
39.4 	of health shall establish a Newborn Hearing Screening Advisory Committee to advise and 
39.5 	assist the Department of Health; Department of Children, Youth, and Families; and the 
39.6 	Department of Education in:
39.7 	(1) developing protocols and timelines for screening, rescreening, and diagnostic 
39.8 	audiological assessment and early medical, audiological, and educational intervention 
39.9 	services for children who are deaf or hard-of-hearing;
39.10 	(2) designing protocols for tracking children from birth through age three that may have 
39.11 	passed newborn screening but are at risk for delayed or late onset of permanent hearing 
39.12 	loss;
39.13 	(3) designing a technical assistance program to support facilities implementing the 
39.14 	screening program and facilities conducting rescreening and diagnostic audiological 
39.15 	assessment;
39.16 	(4) designing implementation and evaluation of a system of follow-up and tracking; and
39.17 	(5) evaluating program outcomes to increase effectiveness and efficiency and ensure 
39.18 	culturally appropriate services for children with a confirmed hearing loss and their families.
39.19 	(b) The commissioner of health shall appoint at least one member from each of the 
39.20 	following groups with no less than two of the members being deaf or hard-of-hearing:
39.21 	(1) a representative from a consumer organization representing culturally deaf persons;
39.22 	(2) a parent with a child with hearing loss representing a parent organization;
39.23 	(3) a consumer from an organization representing oral communication options;
39.24 	(4) a consumer from an organization representing cued speech communication options;
39.25 	(5) an audiologist who has experience in evaluation and intervention of infants and 
39.26 	young children;
39.27 	(6) a speech-language pathologist who has experience in evaluation and intervention of 
39.28 	infants and young children;
39.29 	(7) two primary care providers who have experience in the care of infants and young 
39.30 	children, one of which shall be a pediatrician;
39.31 	(8) a representative from the early hearing detection intervention teams;
40.1 	(9) a representative from the Department of Education resource center for the deaf and 
40.2 	hard-of-hearing or the representative's designee;
40.3 	(10) a representative of the Commission of the Deaf, DeafBlind and Hard of Hearing;
40.4 	(11) a representative from the Department of Human Services Deaf, DeafBlind, and 
40.5 	Hard of Hearing State Services Division;
40.6 	(12) one or more of the Part C coordinators from the Department of Education; the 
40.7 	Department of Health; the Department of Children, Youth, and Families; or the Department 
40.8 	of Human Services or the department's designees;
40.9 	(13) the Department of Health early hearing detection and intervention coordinators;
40.10 	(14) two birth hospital representatives from one rural and one urban hospital;
40.11 	(15) a pediatric geneticist;
40.12 	(16) an otolaryngologist;
40.13 	(17) a representative from the Newborn Screening Advisory Committee under this 
40.14 	subdivision;
40.15 	(18) a representative of the Department of Education regional low-incidence facilitators;
40.16 	(19) a representative from the deaf mentor program; and
40.17 	(20) a representative of the Minnesota State Academy for the Deaf from the Minnesota 
40.18 	State Academies staff.
40.19 	The commissioner must complete the initial appointments required under this subdivision 
40.20 	by September 1, 2007, and the initial appointments under clauses (19) and (20) by September 
40.21 	1, 2019.
40.22 	(c) The Department of Health member shall chair the first meeting of the committee. At 
40.23 	the first meeting, the committee shall elect a chair from its membership. The committee 
40.24 	shall meet at the call of the chair, at least four times a year. The committee shall adopt 
40.25 	written bylaws to govern its activities. The Department of Health shall provide technical 
40.26 	and administrative support services as required by the committee. These services shall 
40.27 	include technical support from individuals qualified to administer infant hearing screening, 
40.28 	rescreening, and diagnostic audiological assessments.
40.29 	Members of the committee shall receive no compensation for their service, but shall be 
40.30 	reimbursed as provided in section 15.059 for expenses incurred as a result of their duties 
40.31 	as members of the committee.
41.1 	(d) By February 15, 2015, and by February 15 of the odd-numbered years after that date, 
41.2 	the commissioner shall report to the chairs and ranking minority members of the legislative 
41.3 	committees with jurisdiction over health and data privacy on the activities of the committee 
41.4 	that have occurred during the past two years.
41.5 	(e) This subdivision expires June 30, 2025.

41.6 	EFFECTIVE DATE. This section is effective the day following final enactment or 
41.7 	June 30, 2025, whichever is earlier.

41.8 	Sec. 59. Minnesota Statutes 2024, section 144A.43, is amended by adding a subdivision 
41.9 	to read:
41.10 		Subd. 26a.Serious injury. "Serious injury" has the meaning given in section 245.91, 
41.11 	subdivision 6.

41.12 	Sec. 60. Minnesota Statutes 2024, section 144A.474, subdivision 9, is amended to read:
41.13 		Subd. 9.Follow-up surveys. For providers that have Level 3 or, Level 4, or Level 5
41.14 	violations under subdivision 11, the department shall conduct a follow-up survey within 90 
41.15 	calendar days of the survey. When conducting a follow-up survey, the surveyor will focus 
41.16 	on whether the previous violations have been corrected and may also address any new 
41.17 	violations that are observed while evaluating the corrections that have been made.

41.18 	Sec. 61. Minnesota Statutes 2024, section 144A.474, subdivision 11, is amended to read:
41.19 		Subd. 11.Fines. (a) Fines and enforcement actions under this subdivision may be assessed 
41.20 	based on the level and scope of the violations described in paragraph (b) and imposed 
41.21 	immediately with no opportunity to correct the violation first as follows:
41.22 	(1) Level 1, no fines or enforcement;
41.23 	(2) Level 2, a fine of $500 per violation, in addition to any of the enforcement 
41.24 	mechanisms authorized in section 144A.475for widespread violations;
41.25 	(3) Level 3, a fine of $3,000 $1,000 per incident, in addition to any of the enforcement 
41.26 	mechanisms authorized in section 144A.475;
41.27 	(4) Level 4, a fine of $5,000 $3,000 per incident, in addition to any of the enforcement 
41.28 	mechanisms authorized in section 144A.475;
41.29 	(5) Level 5, a fine of $5,000 per violation, in addition to any enforcement mechanism 
41.30 	authorized in section 144A.475; and
42.1 	(5) (6) for maltreatment violations for which the licensee was determined to be responsible 
42.2 	for the maltreatment under section 626.557, subdivision 9c, paragraph (c), a fine of $1,000. 
42.3 	A fine of $5,000 may be imposed if the commissioner determines the licensee is responsible 
42.4 	for maltreatment consisting of sexual assault, death, or abuse resulting in serious injury; 
42.5 	and.
42.6 	(6) The fines in clauses (1) to (4) (5) are increased and immediate fine imposition is 
42.7 	authorized for both surveys and investigations conducted.
42.8 	When a fine is assessed against a facility for substantiated maltreatment, the commissioner 
42.9 	shall not also impose an immediate fine under this chapter for the same circumstance.
42.10 	(b) Correction orders for violations are categorized by both level and scope and fines 
42.11 	shall be assessed as follows:
42.12 	(1) level of violation:
42.13 	(i) Level 1 is a violation that has no potential to cause more than a will cause only
42.14 	minimal impact on the client and does not affect health or safety;
42.15 	(ii) Level 2 is a violation that did not harm a client's health or safety but had the potential 
42.16 	to have harmed a client's health or safety, but was not likely to cause serious injury, 
42.17 	impairment, or death;
42.18 	(iii) Level 3 is a violation that harmed a client's health or safety, not including serious 
42.19 	injury, impairment, or death, or a violation that has the potential to lead to serious injury, 
42.20 	impairment, or death or a violation that had the potential to cause more than minimal harm 
42.21 	to the client; and
42.22 	(iv) Level 4 is a violation that results in serious injury, impairment, or death harmed a 
42.23 	client's health or safety, not including serious injury or death, or a violation that was likely 
42.24 	to lead to serious injury or death; and
42.25 	(v) Level 5 is a violation that results in serious injury or death; and
42.26 	(2) scope of violation:
42.27 	(i) isolated, when one or a limited number of clients are affected or one or a limited 
42.28 	number of staff are involved or the situation has occurred only occasionally;
42.29 	(ii) pattern, when more than a limited number of clients are affected, more than a limited 
42.30 	number of staff are involved, or the situation has occurred repeatedly but is not found to be 
42.31 	pervasive; and
43.1 	(iii) widespread, when problems are pervasive or represent a systemic failure that has 
43.2 	affected or has the potential to affect a large portion or all of the clients.
43.3 	(c) If the commissioner finds that the applicant or a home care provider has not corrected 
43.4 	violations by the date specified in the correction order or conditional license resulting from 
43.5 	a survey or complaint investigation, the commissioner shall provide a notice of 
43.6 	noncompliance with a correction order by email to the applicant's or provider's last known 
43.7 	email address. The noncompliance notice must list the violations not corrected.
43.8 	(d) For every violation identified by the commissioner, the commissioner shall issue an 
43.9 	immediate fine pursuant to paragraph (a), clause (6). The license holder must still correct 
43.10 	the violation in the time specified. The issuance of an immediate fine can occur in addition 
43.11 	to any enforcement mechanism authorized under section 144A.475. The immediate fine 
43.12 	may be appealed as allowed under this subdivision.
43.13 	(e) The license holder must pay the fines assessed on or before the payment date specified. 
43.14 	If the license holder fails to fully comply with the order, the commissioner may issue a 
43.15 	second fine or suspend the license until the license holder complies by paying the fine. A 
43.16 	timely appeal shall stay payment of the fine until the commissioner issues a final order.
43.17 	(f) A license holder shall promptly notify the commissioner in writing when a violation 
43.18 	specified in the order is corrected. If upon reinspection the commissioner determines that 
43.19 	a violation has not been corrected as indicated by the order, the commissioner may issue a 
43.20 	second fine. The commissioner shall notify the license holder by mail to the last known 
43.21 	address in the licensing record that a second fine has been assessed. The license holder may 
43.22 	appeal the second fine as provided under this subdivision.
43.23 	(g) A home care provider that has been assessed a fine under this subdivision has a right 
43.24 	to a reconsideration or a hearing under this section and chapter 14.
43.25 	(h) When a fine has been assessed, the license holder may not avoid payment by closing, 
43.26 	selling, or otherwise transferring the licensed program to a third party. In such an event, the 
43.27 	license holder shall be liable for payment of the fine.
43.28 	(i) In addition to any fine imposed under this section, the commissioner may assess a 
43.29 	penalty amount based on costs related to an investigation that results in a final order assessing 
43.30 	a fine or other enforcement action authorized by this chapter.
43.31 	(j) Fines collected under paragraph (a), clauses (1) to (4), shall be deposited in a dedicated 
43.32 	special revenue account. On an annual basis, the balance in the special revenue account 
44.1 	shall be appropriated to the commissioner to implement the recommendations of the advisory 
44.2 	council established in section 144A.4799.
44.3 	(k) Fines collected under paragraph (a), clause (5), shall be deposited in a dedicated 
44.4 	special revenue account and appropriated to the commissioner to provide compensation 
44.5 	according to subdivision 14 to clients subject to maltreatment. A client may choose to receive 
44.6 	compensation from this fund, not to exceed $5,000 for each substantiated finding of 
44.7 	maltreatment, or take civil action. This paragraph expires July 31, 2021.

44.8 	Sec. 62. Minnesota Statutes 2024, section 144A.475, subdivision 3, is amended to read:
44.9 		Subd. 3.Notice. (a) Prior to any suspension, revocation, or refusal to renew a license, 
44.10 	the home care provider shall be entitled to notice and a hearing as provided by sections 
44.11 	14.57 to 14.69. In addition to any other remedy provided by law, the commissioner may, 
44.12 	without a prior contested case hearing, temporarily suspend a license or prohibit delivery 
44.13 	of services by a provider for not more than 90 days, or issue a conditional license if the 
44.14 	commissioner determines that there are level 3 4 violations that do not pose an imminent 
44.15 	risk of harm to the health or safety of persons in the provider's care, provided:
44.16 	(1) advance notice is given to the home care provider;
44.17 	(2) after notice, the home care provider fails to correct the problem;
44.18 	(3) the commissioner has reason to believe that other administrative remedies are not 
44.19 	likely to be effective; and
44.20 	(4) there is an opportunity for a contested case hearing within the 30 days unless there 
44.21 	is an extension granted by an administrative law judge pursuant to subdivision 3b.
44.22 	(b) If the commissioner determines there are:
44.23 	(1) level 4 5 violations; or
44.24 	(2) violations that pose an imminent risk of harm to the health or safety of persons in 
44.25 	the provider's care,
44.26 	the commissioner may immediately temporarily suspend a license, prohibit delivery of 
44.27 	services by a provider, or issue a conditional license without meeting the requirements of 
44.28 	paragraph (a), clauses (1) to (4).
44.29 	For the purposes of this subdivision, "level 3 4" and "level 4 5" have the meanings given 
44.30 	in section 144A.474, subdivision 11, paragraph (b).

45.1 	Sec. 63. Minnesota Statutes 2024, section 144A.475, subdivision 3a, is amended to read:
45.2 		Subd. 3a.Hearing. Within 15 business days of receipt of the licensee's timely appeal 
45.3 	of a sanction under this section, other than for a temporary suspension, the commissioner 
45.4 	shall request assignment of an administrative law judge. The commissioner's request must 
45.5 	include a proposed date, time, and place of hearing. A hearing must be conducted by an 
45.6 	administrative law judge pursuant to Minnesota Rules, parts 1400.8505 to 1400.8612, within 
45.7 	90 calendar days of the request for assignment, unless an extension is requested by either 
45.8 	party and granted by the administrative law judge for good cause or for purposes of discussing 
45.9 	settlement. In no case shall one or more extensions be granted for a total of more than 90 
45.10 	calendar days unless there is a criminal action pending against the licensee. If, while a 
45.11 	licensee continues to operate pending an appeal of an order for revocation, suspension, or 
45.12 	refusal to renew a license, the commissioner identifies one or more new violations of law 
45.13 	that meet the requirements of level 3 4 or 4 5 violations as defined in section 144A.474, 
45.14 	subdivision 11, paragraph (b), the commissioner shall act immediately to temporarily suspend 
45.15 	the license under the provisions in subdivision 3.

45.16 	Sec. 64. Minnesota Statutes 2024, section 144A.475, subdivision 3b, is amended to read:
45.17 		Subd. 3b. Expedited hearing. (a) Within five business days of receipt of the license 
45.18 	holder's timely appeal of a temporary suspension or issuance of a conditional license, the 
45.19 	commissioner shall request assignment of an administrative law judge. The request must 
45.20 	include a proposed date, time, and place of a hearing. A hearing must be conducted by an 
45.21 	administrative law judge pursuant to Minnesota Rules, parts 1400.8505 to 1400.8612, within 
45.22 	30 calendar days of the request for assignment, unless an extension is requested by either 
45.23 	party and granted by the administrative law judge for good cause. The commissioner shall 
45.24 	issue a notice of hearing by certified mail or personal service at least ten business days 
45.25 	before the hearing. Certified mail to the last known address is sufficient. The scope of the 
45.26 	hearing shall be limited solely to the issue of whether the temporary suspension or issuance 
45.27 	of a conditional license should remain in effect and whether there is sufficient evidence to 
45.28 	conclude that the licensee's actions or failure to comply with applicable laws are level 3 4
45.29 	or 4 5 violations as defined in section 144A.474, subdivision 11, paragraph (b), or that there 
45.30 	were violations that posed an imminent risk of harm to the health and safety of persons in 
45.31 	the provider's care.
45.32 	(b) The administrative law judge shall issue findings of fact, conclusions, and a 
45.33 	recommendation within ten business days from the date of hearing. The parties shall have 
45.34 	ten calendar days to submit exceptions to the administrative law judge's report. The record 
46.1 	shall close at the end of the ten-day period for submission of exceptions. The commissioner's 
46.2 	final order shall be issued within ten business days from the close of the record. When an 
46.3 	appeal of a temporary immediate suspension or conditional license is withdrawn or dismissed, 
46.4 	the commissioner shall issue a final order affirming the temporary immediate suspension 
46.5 	or conditional license within ten calendar days of the commissioner's receipt of the 
46.6 	withdrawal or dismissal. The license holder is prohibited from operation during the temporary 
46.7 	suspension period.
46.8 	(c) When the final order under paragraph (b) affirms an immediate suspension, and a 
46.9 	final licensing sanction is issued under subdivisions 1 and 2 and the licensee appeals that 
46.10 	sanction, the licensee is prohibited from operation pending a final commissioner's order 
46.11 	after the contested case hearing conducted under chapter 14.
46.12 	(d) A licensee whose license is temporarily suspended must comply with the requirements 
46.13 	for notification and transfer of clients in subdivision 5. These requirements remain if an 
46.14 	appeal is requested.

46.15 	Sec. 65. Minnesota Statutes 2024, section 144A.475, subdivision 3c, is amended to read:
46.16 		Subd. 3c.Immediate temporary suspension. (a) In addition to any other remedies 
46.17 	provided by law, the commissioner may, without a prior contested case hearing, immediately 
46.18 	temporarily suspend a license or prohibit delivery of services by a provider for not more 
46.19 	than 90 days, or issue a conditional license, if the commissioner determines that there are:
46.20 	(1) level 4 5 violations; or
46.21 	(2) violations that pose an imminent risk of harm to the health or safety of persons in 
46.22 	the provider's care.
46.23 	(b) For purposes of this subdivision, "level 4 5" has the meaning given in section 
46.24 	144A.474, subdivision 11, paragraph (b).
46.25 	(c) A notice stating the reasons for the immediate temporary suspension or conditional 
46.26 	license and informing the license holder of the right to an expedited hearing under subdivision 
46.27 	3b must be delivered by personal service to the address shown on the application or the last 
46.28 	known address of the license holder. The license holder may appeal an order immediately 
46.29 	temporarily suspending a license or issuing a conditional license. The appeal must be made 
46.30 	in writing by certified mail or personal service. If mailed, the appeal must be postmarked 
46.31 	and sent to the commissioner within five calendar days after the license holder receives 
46.32 	notice. If an appeal is made by personal service, it must be received by the commissioner 
46.33 	within five calendar days after the license holder received the order.
47.1 	(d) A license holder whose license is immediately temporarily suspended must comply 
47.2 	with the requirements for notification and transfer of clients in subdivision 5. These 
47.3 	requirements remain if an appeal is requested.

47.4 	Sec. 66. Minnesota Statutes 2024, section 144A.71, subdivision 2, is amended to read:
47.5 		Subd. 2.Application information and fee. The commissioner shall establish forms and 
47.6 	procedures for processing each supplemental nursing services agency registration application. 
47.7 	An application for a supplemental nursing services agency registration must include at least 
47.8 	the following:
47.9 	(1) the names and addresses of all owners and controlling persons of the supplemental 
47.10 	nursing services agency;
47.11 	(2) if the owner is a corporation, copies of its articles of incorporation and current bylaws, 
47.12 	together with the names and addresses of its officers and directors;
47.13 	(3) if the owner is a limited liability company, copies of its articles of organization and 
47.14 	operating agreement, together with the names and addresses of its officers and directors;
47.15 	(4) documentation that the supplemental nursing services agency has medical malpractice 
47.16 	insurance to insure against the loss, damage, or expense of a claim arising out of the death 
47.17 	or injury of any person as the result of negligence or malpractice in the provision of health 
47.18 	care services by the supplemental nursing services agency or by any employee of the agency;
47.19 	(5) documentation that the supplemental nursing services agency has an employee 
47.20 	dishonesty bond in the amount of $10,000;
47.21 	(6) documentation that the supplemental nursing services agency has insurance coverage 
47.22 	for workers' compensation for all nurses, nursing assistants, nurse aides, and orderlies 
47.23 	provided or procured by the agency;
47.24 	(7) documentation that the supplemental nursing services agency filed with the 
47.25 	commissioner of revenue: (i) the name and address of the bank, savings bank, or savings 
47.26 	association in which the supplemental nursing services agency deposits all employee income 
47.27 	tax withholdings; and (ii) the name and address of any nurse, nursing assistant, nurse aide, 
47.28 	or orderly whose income is derived from placement by the agency, if the agency purports 
47.29 	the income is not subject to withholding;
47.30 	(8) any other relevant information that the commissioner determines is necessary to 
47.31 	properly evaluate an application for registration;
48.1 	(9) a policy and procedure that describes how the supplemental nursing services agency's 
48.2 	records will be immediately available at all times to the commissioner and facility; and
48.3 	(10) a nonrefundable registration fee of $2,035 $2,442.
48.4 	If a supplemental nursing services agency fails to provide the items in this subdivision 
48.5 	to the department, the commissioner shall immediately suspend or refuse to issue the 
48.6 	supplemental nursing services agency registration. The supplemental nursing services agency 
48.7 	may appeal the commissioner's findings according to section 144A.475, subdivisions 3a 
48.8 	and 7, except that the hearing must be conducted by an administrative law judge within 60 
48.9 	calendar days of the request for hearing assignment.

48.10 	Sec. 67. Minnesota Statutes 2024, section 144A.753, subdivision 1, is amended to read:
48.11 		Subdivision 1.License required; application. (a) A hospice provider may not operate 
48.12 	in the state without a valid license issued by the commissioner.
48.13 	(b) Within ten days after receiving an application for a license, the commissioner shall 
48.14 	acknowledge receipt of the application in writing. The acknowledgment must indicate 
48.15 	whether the application appears to be complete or whether additional information is required 
48.16 	before the application is considered complete. Within 90 days after receiving a complete 
48.17 	application, the commissioner shall either grant or deny the license. If an applicant is not 
48.18 	granted or denied a license within 90 days after submitting a complete application, the 
48.19 	license must be deemed granted. An applicant whose license has been deemed granted must 
48.20 	provide written notice to the commissioner before providing hospice care.
48.21 	(c) Each application for a hospice provider license, or for a renewal of a license, shall 
48.22 	be accompanied by a fee as follows:
48.23 	(1) for revenues no more than $25,000, $125 $150;
48.24 	(2) for revenues greater than $25,000 and no more than $100,000, $312.50 $375;
48.25 	(3) for revenues greater than $100,000 and no more than $250,000, $625 $750;
48.26 	(4) for revenues greater than $250,000 and no more than $350,000, $937.50 $1,125;
48.27 	(5) for revenues greater than $350,000 and no more than $450,000, $1,250 $1,500;
48.28 	(6) for revenues greater than $450,000 and no more than $550,000, $1,562.50 $1,875;
48.29 	(7) for revenues greater than $550,000 and no more than $650,000, $1,875 $2,250;
48.30 	(8) for revenues greater than $650,000 and no more than $750,000, $2,187.50 $2,625;
48.31 	(9) for revenues greater then $750,000 and no more than $850,000, $2,500 $3,000;
49.1 	(10) for revenues greater than $850,000 and no more than $950,000, $2,812.50 $3,375;
49.2 	(11) for revenues greater than $950,000 and no more than $1,100,000, $3,125 $3,750;
49.3 	(12) for revenues greater than $1,100,000 and no more than $1,275,000, $3,750 $4,500;
49.4 	(13) for revenues greater than $1,275,000 and no more than $1,500,000, $4,375 $5,250; 
49.5 	and
49.6 	(14) for revenues greater than $1,500,000, $5,000 $6,000.

49.7 	Sec. 68. Minnesota Statutes 2024, section 144G.20, subdivision 3, is amended to read:
49.8 		Subd. 3.Immediate temporary suspension. (a) In addition to any other remedies 
49.9 	provided by law, the commissioner may, without a prior contested case hearing, immediately 
49.10 	temporarily suspend a license or prohibit delivery of housing or services by a facility for 
49.11 	not more than 90 calendar days or issue a conditional license, if the commissioner determines 
49.12 	that there are:
49.13 	(1) Level 4 5 violations; or
49.14 	(2) violations that pose an imminent risk of harm to the health or safety of residents.
49.15 	(b) For purposes of this subdivision, "Level 4 5" has the meaning given in section 
49.16 	144G.31.
49.17 	(c) A notice stating the reasons for the immediate temporary suspension or conditional 
49.18 	license and informing the licensee of the right to an expedited hearing under subdivision 
49.19 	17 must be delivered by personal service to the address shown on the application or the last 
49.20 	known address of the licensee. The licensee may appeal an order immediately temporarily 
49.21 	suspending a license or issuing a conditional license. The appeal must be made in writing 
49.22 	by certified mail or personal service. If mailed, the appeal must be postmarked and sent to 
49.23 	the commissioner within five calendar days after the licensee receives notice. If an appeal 
49.24 	is made by personal service, it must be received by the commissioner within five calendar 
49.25 	days after the licensee received the order.
49.26 	(d) A licensee whose license is immediately temporarily suspended must comply with 
49.27 	the requirements for notification and transfer of residents in subdivision 15. The requirements 
49.28 	in subdivision 9 remain if an appeal is requested.

49.29 	Sec. 69. Minnesota Statutes 2024, section 144G.20, subdivision 13, is amended to read:
49.30 		Subd. 13.Notice to facility. (a) Prior to any suspension, revocation, or refusal to renew 
49.31 	a license, the facility shall be entitled to notice and a hearing as provided by sections 14.57 
50.1 	to 14.69. The hearing must commence within 60 calendar days after the proceedings are 
50.2 	initiated. In addition to any other remedy provided by law, the commissioner may, without 
50.3 	a prior contested case hearing, temporarily suspend a license or prohibit delivery of services 
50.4 	by a provider for not more than 90 calendar days, or issue a conditional license if the 
50.5 	commissioner determines that there are Level 3 4 violations that do not pose an imminent 
50.6 	risk of harm to the health or safety of the facility residents, provided:
50.7 	(1) advance notice is given to the facility;
50.8 	(2) after notice, the facility fails to correct the problem;
50.9 	(3) the commissioner has reason to believe that other administrative remedies are not 
50.10 	likely to be effective; and
50.11 	(4) there is an opportunity for a contested case hearing within 30 calendar days unless 
50.12 	there is an extension granted by an administrative law judge.
50.13 	(b) If the commissioner determines there are Level 4 5 violations or violations that pose 
50.14 	an imminent risk of harm to the health or safety of the facility residents, the commissioner 
50.15 	may immediately temporarily suspend a license, prohibit delivery of services by a facility, 
50.16 	or issue a conditional license without meeting the requirements of paragraph (a), clauses 
50.17 	(1) to (4).
50.18 	For the purposes of this subdivision, "Level 3 4" and "Level 4 5" have the meanings given 
50.19 	in section 144G.31.

50.20 	Sec. 70. Minnesota Statutes 2024, section 144G.20, subdivision 16, is amended to read:
50.21 		Subd. 16.Hearing. Within 15 business days of receipt of the licensee's timely appeal 
50.22 	of a sanction under this section, other than for a temporary suspension, the commissioner 
50.23 	shall request assignment of an administrative law judge. The commissioner's request must 
50.24 	include a proposed date, time, and place of hearing. A hearing must be conducted by an 
50.25 	administrative law judge pursuant to Minnesota Rules, parts 1400.8505 to 1400.8612, within 
50.26 	90 calendar days of the request for assignment, unless an extension is requested by either 
50.27 	party and granted by the administrative law judge for good cause or for purposes of discussing 
50.28 	settlement. In no case shall one or more extensions be granted for a total of more than 90 
50.29 	calendar days unless there is a criminal action pending against the licensee. If, while a 
50.30 	licensee continues to operate pending an appeal of an order for revocation, suspension, or 
50.31 	refusal to renew a license, the commissioner identifies one or more new violations of law 
50.32 	that meet the requirements of Level 3 4 or Level 4 5 violations as defined in section 144G.31, 
50.33 	the commissioner shall act immediately to temporarily suspend the license.

51.1 	Sec. 71. Minnesota Statutes 2024, section 144G.20, subdivision 17, is amended to read:
51.2 		Subd. 17.Expedited hearing. (a) Within five business days of receipt of the licensee's 
51.3 	timely appeal of a temporary suspension or issuance of a conditional license, the 
51.4 	commissioner shall request assignment of an administrative law judge. The request must 
51.5 	include a proposed date, time, and place of a hearing. A hearing must be conducted by an 
51.6 	administrative law judge pursuant to Minnesota Rules, parts 1400.8505 to 1400.8612, within 
51.7 	30 calendar days of the request for assignment, unless an extension is requested by either 
51.8 	party and granted by the administrative law judge for good cause. The commissioner shall 
51.9 	issue a notice of hearing by certified mail or personal service at least ten business days 
51.10 	before the hearing. Certified mail to the last known address is sufficient. The scope of the 
51.11 	hearing shall be limited solely to the issue of whether the temporary suspension or issuance 
51.12 	of a conditional license should remain in effect and whether there is sufficient evidence to 
51.13 	conclude that the licensee's actions or failure to comply with applicable laws are Level 3 4
51.14 	or Level 4 5 violations as defined in section 144G.31, or that there were violations that 
51.15 	posed an imminent risk of harm to the resident's health and safety.
51.16 	(b) The administrative law judge shall issue findings of fact, conclusions, and a 
51.17 	recommendation within ten business days from the date of hearing. The parties shall have 
51.18 	ten calendar days to submit exceptions to the administrative law judge's report. The record 
51.19 	shall close at the end of the ten-day period for submission of exceptions. The commissioner's 
51.20 	final order shall be issued within ten business days from the close of the record. When an 
51.21 	appeal of a temporary immediate suspension or conditional license is withdrawn or dismissed, 
51.22 	the commissioner shall issue a final order affirming the temporary immediate suspension 
51.23 	or conditional license within ten calendar days of the commissioner's receipt of the 
51.24 	withdrawal or dismissal. The licensee is prohibited from operation during the temporary 
51.25 	suspension period.
51.26 	(c) When the final order under paragraph (b) affirms an immediate suspension, and a 
51.27 	final licensing sanction is issued under subdivisions 1 and 2 and the licensee appeals that 
51.28 	sanction, the licensee is prohibited from operation pending a final commissioner's order 
51.29 	after the contested case hearing conducted under chapter 14.
51.30 	(d) A licensee whose license is temporarily suspended must comply with the requirements 
51.31 	for notification and transfer of residents under subdivision 15. These requirements remain 
51.32 	if an appeal is requested.

52.1 	Sec. 72. Minnesota Statutes 2024, section 144G.30, subdivision 7, is amended to read:
52.2 		Subd. 7.Required follow-up surveys. For assisted living facilities that have Level 3 
52.3 	or, Level 4, or Level 5 violations under section 144G.31, the commissioner shall conduct 
52.4 	a follow-up survey within 90 calendar days of the survey. When conducting a follow-up 
52.5 	survey, the surveyor shall focus on whether the previous violations have been corrected and 
52.6 	may also address any new violations that are observed while evaluating the corrections that 
52.7 	have been made.

52.8 	Sec. 73. Minnesota Statutes 2024, section 144G.31, subdivision 2, is amended to read:
52.9 		Subd. 2.Levels of violations. Correction orders for violations are categorized by level 
52.10 	as follows:
52.11 	(1) Level 1 is a violation that has no potential to cause more than a minimal impact on 
52.12 	the resident will cause only minimal impact on the resident and does not affect health or 
52.13 	safety;
52.14 	(2) Level 2 is a violation that did not harm a resident's health or safety but had the 
52.15 	potential to have harmed a resident's health or safety, but was not likely to cause serious 
52.16 	injury, impairment, or death;
52.17 	(3) Level 3 is a violation that harmed a resident's health or safety, not including serious 
52.18 	injury, impairment, or death, or a violation that has the potential to lead to serious injury, 
52.19 	impairment, or death or a violation that had the potential to cause more than minimal harm 
52.20 	to the resident; and
52.21 	(4) Level 4 is a violation that results in serious injury, impairment, or death. harmed a 
52.22 	resident's health or safety, not including serious injury or death, or a violation that was likely 
52.23 	to lead to serious injury or death; and
52.24 	(5) Level 5 is a violation that results in serious injury or death.

52.25 	Sec. 74. Minnesota Statutes 2024, section 144G.31, subdivision 4, is amended to read:
52.26 		Subd. 4.Fine amounts. (a) Fines and enforcement actions under this subdivision may 
52.27 	be assessed based on the level and scope of the violations described in subdivisions 2 and 
52.28 	3 as follows and may be imposed immediately with no opportunity to correct the violation 
52.29 	prior to imposition:
52.30 	(1) Level 1, no fines or enforcement;
53.1 	(2) Level 2, a fine of $500 per violation, in addition to any enforcement mechanism 
53.2 	authorized in section 144G.20for widespread violations;
53.3 	(3) Level 3, a fine of $3,000 $1,000 per violation, in addition to any enforcement 
53.4 	mechanism authorized in section 144G.20;
53.5 	(4) Level 4, a fine of $5,000 $3,000 per violation, in addition to any enforcement 
53.6 	mechanism authorized in section 144G.20; and
53.7 	(5) Level 5, a fine of $5,000 per violation, in addition to any enforcement mechanism 
53.8 	authorized in section 144G.20; and
53.9 	(5) (6) for maltreatment violations for which the licensee was determined to be responsible 
53.10 	for the maltreatment under section 626.557, subdivision 9c, paragraph (c), a fine of $1,000 
53.11 	per incident. A fine of $5,000 per incident may be imposed if the commissioner determines 
53.12 	the licensee is responsible for maltreatment consisting of sexual assault, death, or abuse 
53.13 	resulting in serious injury.
53.14 	(b) When a fine is assessed against a facility for substantiated maltreatment, the 
53.15 	commissioner shall not also impose an immediate fine under this chapter for the same 
53.16 	circumstance.

53.17 	Sec. 75. Minnesota Statutes 2024, section 144G.31, subdivision 5, is amended to read:
53.18 		Subd. 5.Immediate fine; payment. (a) For every Level 3 or, Level 4, or Level 5
53.19 	violation, the commissioner may issue an immediate fine. The licensee must still correct 
53.20 	the violation in the time specified. The issuance of an immediate fine may occur in addition 
53.21 	to any enforcement mechanism authorized under section 144G.20. The immediate fine may 
53.22 	be appealed as allowed under this chapter.
53.23 	(b) The licensee must pay the fines assessed on or before the payment date specified. If 
53.24 	the licensee fails to fully comply with the order, the commissioner may issue a second fine 
53.25 	or suspend the license until the licensee complies by paying the fine. A timely appeal shall 
53.26 	stay payment of the fine until the commissioner issues a final order.
53.27 	(c) A licensee shall promptly notify the commissioner in writing when a violation 
53.28 	specified in the order is corrected. If upon reinspection the commissioner determines that 
53.29 	a violation has not been corrected as indicated by the order, the commissioner may issue 
53.30 	an additional fine. The commissioner shall notify the licensee by mail to the last known 
53.31 	address in the licensing record that a second fine has been assessed. The licensee may appeal 
53.32 	the second fine as provided under this subdivision.
54.1 	(d) A facility that has been assessed a fine under this section has a right to a 
54.2 	reconsideration or hearing under this chapter and chapter 14.

54.3 	Sec. 76. Minnesota Statutes 2024, section 144G.45, subdivision 6, is amended to read:
54.4 		Subd. 6.New construction; plans. (a) For all new licensure and construction beginning 
54.5 	on or after August 1, 2021, the following must be provided to the commissioner:
54.6 	(1) architectural and engineering plans and specifications for new construction must be 
54.7 	prepared and signed by architects and engineers who are registered in Minnesota. Final 
54.8 	working drawings and specifications for proposed construction must be submitted to the 
54.9 	commissioner for review and approval;
54.10 	(2) final architectural plans and specifications must include elevations and sections 
54.11 	through the building showing types of construction, and must indicate dimensions and 
54.12 	assignments of rooms and areas, room finishes, door types and hardware, elevations and 
54.13 	details of nurses' work areas, utility rooms, toilet and bathing areas, and large-scale layouts 
54.14 	of dietary and laundry areas. Plans must show the location of fixed equipment and sections 
54.15 	and details of elevators, chutes, and other conveying systems. Fire walls and smoke partitions 
54.16 	must be indicated. The roof plan must show all mechanical installations. The site plan must 
54.17 	indicate the proposed and existing buildings, topography, roadways, walks and utility service 
54.18 	lines; and
54.19 	(3) final mechanical and electrical plans and specifications must address the complete 
54.20 	layout and type of all installations, systems, and equipment to be provided. Heating plans 
54.21 	must include heating elements, piping, thermostatic controls, pumps, tanks, heat exchangers, 
54.22 	boilers, breeching, and accessories. Ventilation plans must include room air quantities, 
54.23 	ducts, fire and smoke dampers, exhaust fans, humidifiers, and air handling units. Plumbing 
54.24 	plans must include the fixtures and equipment fixture schedule; water supply and circulating 
54.25 	piping, pumps, tanks, riser diagrams, and building drains; the size, location, and elevation 
54.26 	of water and sewer services; and the building fire protection systems. Electrical plans must 
54.27 	include fixtures and equipment, receptacles, switches, power outlets, circuits, power and 
54.28 	light panels, transformers, and service feeders. Plans must show location of nurse call signals, 
54.29 	cable lines, fire alarm stations, and fire detectors and emergency lighting.
54.30 	(b) Unless construction is begun within one year after approval of the final working 
54.31 	drawing and specifications, the drawings must be resubmitted for review and approval.
54.32 	(c) The commissioner must be notified within 30 days before completion of construction 
54.33 	so that the commissioner can make arrangements for a final inspection by the commissioner.
55.1 	(d) At least one set of complete life safety plans, including changes resulting from 
55.2 	remodeling or alterations, must be kept on file in the facility.
55.3 	(e) For new construction beginning on or after July 1, 2025, the licensee must comply 
55.4 	with section 144.554 to submit applicable construction plans and fees to the commissioner.

55.5 	Sec. 77. Minnesota Statutes 2024, section 145.8811, is amended to read:
55.6 	145.8811 MATERNAL AND CHILD HEALTH ADVISORY TASK FORCE
55.7 	COMMITTEE.
55.8 		Subdivision 1.Composition of task force committee. The commissioner shall establish 
55.9 	and appoint a Maternal and Child Health Advisory Task Force Committee consisting of 15 
55.10 	members who will provide equal representation from:
55.11 	(1) professionals with expertise in maternal and child health services;
55.12 	(2) representatives of community health boards as defined in section 145A.02, subdivision 
55.13 	5; and
55.14 	(3) consumer representatives interested in the health of mothers and children.
55.15 	No members shall be employees of the Minnesota Department of Health. Section 15.059
55.16 	governs the Maternal and Child Health Advisory Task Force Committee. Notwithstanding 
55.17 	section 15.059, the Maternal and Child Health Advisory Task Force Committee does not 
55.18 	expire.
55.19 		Subd. 2.Duties. The advisory task force committee shall meet on a regular basis to 
55.20 	perform the following duties:
55.21 	(1) review and report on the health care needs of mothers and children throughout the 
55.22 	state of Minnesota;
55.23 	(2) review and report on the type, frequency, and impact of maternal and child health 
55.24 	care services provided to mothers and children under existing maternal and child health 
55.25 	care programs, including programs administered by the commissioner of health;
55.26 	(3) establish, review, and report to the commissioner a list of program guidelines and 
55.27 	criteria which the advisory task force committee considers essential to providing an effective 
55.28 	maternal and child health care program to low-income populations and high-risk persons 
55.29 	and fulfilling the purposes defined in section 145.88;
55.30 	(4) make recommendations to the commissioner for the use of other federal and state 
55.31 	funds available to meet maternal and child health needs;
56.1 	(5) make recommendations to the commissioner of health on priorities for funding the 
56.2 	following maternal and child health services:
56.3 	(i) prenatal, delivery, and postpartum care;
56.4 	(ii) comprehensive health care for children, especially from birth through five years of 
56.5 	age;
56.6 	(iii) adolescent health services;
56.7 	(iv) family planning services;
56.8 	(v) preventive dental care;
56.9 	(vi) special services for chronically ill and disabled children; and
56.10 	(vii) any other services that promote the health of mothers and children; and
56.11 	(6) establish in consultation with the commissioner statewide outcomes that will improve 
56.12 	the health status of mothers and children.

56.13 	Sec. 78. [145.9231] EPILEPSY AND RELATED SEIZURE DISORDERS; DATA 
56.14 	COLLECTION AND STATE COORDINATION PLAN.
56.15 		Subdivision 1.Data collection. The commissioner of health must collect, analyze, and 
56.16 	report data on epilepsy and related seizure disorders in Minnesota. The data must include 
56.17 	number of diagnoses, clinical outcomes, mortality rates, and related population health data 
56.18 	for each calendar year. Deidentified data must be made publicly available.
56.19 		Subd. 2.State coordination plan. The commissioner of health must use the data on 
56.20 	epilepsy and seizure disorders to inform statewide efforts and build coordinated systems 
56.21 	and partnerships to support community-led and culturally responsive strategies to ensure 
56.22 	that Minnesotans at risk for or living with epilepsy and seizure disorders and their caregivers 
56.23 	have equitable access to opportunities and resources to support their well-being and quality 
56.24 	of life. The commissioner of health must use the data to identify areas of need and 
56.25 	recommend strategies to address gaps.

56.26 	Sec. 79. Minnesota Statutes 2024, section 145.9269, subdivision 2, is amended to read:
56.27 		Subd. 2.Allocation of subsidies. The commissioner of health shall distribute subsidies 
56.28 	to federally qualified health centers operating in Minnesota to continue, expand, and improve 
56.29 	federally qualified health center services to low-income populations. The commissioner 
56.30 	shall distribute the funds appropriated under this section to federally qualified health centers 
56.31 	operating in Minnesota as of January 1, 2007. The amount of each subsidy shall be in 
57.1 	proportion to each federally qualified health center's amount of discounts granted to patients 
57.2 	during the most recent calendar year as reported on the federal Uniform Data System report 
57.3 	in conformance with the Bureau of Primary Health Care Program Expectations Policy 
57.4 	Information Notice 98-23, except that each eligible federally qualified health center shall 
57.5 	receive at least two five percent but no more than 30 percent of the total amount of money 
57.6 	available under this section.

57.7 	Sec. 80. Minnesota Statutes 2024, section 157.16, subdivision 2, is amended to read:
57.8 		Subd. 2.License renewal. Initial and renewal licenses for all food and beverage service 
57.9 	establishments, youth camps, hotels, motels, lodging establishments, public pools, and 
57.10 	resorts shall be issued on an annual basis. Any person who operates a place of business after 
57.11 	the expiration date of a license or without having submitted an application and paid the fee 
57.12 	shall be deemed to have violated the provisions of this chapter and shall be subject to 
57.13 	enforcement action, as provided in the Health Enforcement Consolidation Act, sections 
57.14 	144.989 to 144.993. In addition, a penalty of $60 $100 shall be added to the total of the 
57.15 	license fee for any food and beverage service establishment operating without a license as 
57.16 	a mobile food unit, a seasonal temporary or seasonal permanent food stand, or a special 
57.17 	event food stand, and a penalty of $120 $200 shall be added to the total of the license fee 
57.18 	for all restaurants, food carts, hotels, motels, lodging establishments, youth camps, public 
57.19 	pools, and resorts operating without a license for a period of up to 30 days. A late fee of 
57.20 	$360 $450 shall be added to the license fee for establishments operating more than 30 days 
57.21 	without a license.

57.22 	Sec. 81. Minnesota Statutes 2024, section 157.16, subdivision 2a, is amended to read:
57.23 		Subd. 2a.Food manager certification. An applicant for certification or certification 
57.24 	renewal as a food manager must submit to the commissioner a $35 $45 nonrefundable 
57.25 	certification fee payable to the Department of Health. The commissioner shall issue a 
57.26 	duplicate certificate to replace a lost, destroyed, or mutilated certificate if the applicant 
57.27 	submits a completed application on a form provided by the commissioner for a duplicate 
57.28 	certificate and pays $20 $25 to the department for the cost of duplication. In addition, a $5 
57.29 	technology fee must be paid with the initial certification, certification renewal, or duplicate 
57.30 	certificate application.

57.31 	Sec. 82. Minnesota Statutes 2024, section 157.16, subdivision 3, is amended to read:
57.32 		Subd. 3.Establishment fees; definitions. (a) The following fees are required for food 
57.33 	and beverage service establishments, youth camps, hotels, motels, lodging establishments, 
58.1 	public pools, and resorts licensed under this chapter. Food and beverage service 
58.2 	establishments must pay the highest applicable fee under paragraph (d), clause (1), (2), (3), 
58.3 	or (4). The license fee for new operators previously licensed under this chapter for the same 
58.4 	calendar year is one-half of the appropriate annual license fee, plus any penalty that may 
58.5 	be required. The license fee for operators opening on or after October 1 is one-half of the 
58.6 	appropriate annual license fee, plus any penalty that may be required.
58.7 	(b) All food and beverage service establishments, except special event food stands, and 
58.8 	all hotels, motels, lodging establishments, public pools, and resorts shall pay an annual base 
58.9 	fee of $165 $300.
58.10 	(c) A special event food stand shall pay a flat fee of $55 $75 annually. "Special event 
58.11 	food stand" means a fee category where food is prepared or served in conjunction with 
58.12 	celebrations, county fairs, or special events from a special event food stand as defined in 
58.13 	section 157.15.
58.14 	(d) In addition to the base fee in paragraph (b), each food and beverage service 
58.15 	establishment, other than a special event food stand and a school concession stand, and each 
58.16 	hotel, motel, lodging establishment, public pool, and resort shall pay an additional annual 
58.17 	fee for each fee category, additional food service, or required additional inspection specified 
58.18 	in this paragraph:
58.19 	(1) Category 1 establishment, $110 $185. "Category 1 establishment" means a fee 
58.20 	category that provides one or more of the following items or is one of the listed 
58.21 	establishments or facilities:
58.22 	(i) serves prepackaged food that is served in the package;
58.23 	(ii) serves a continental breakfast such as rolls, coffee, juice, milk, and cold cereal;
58.24 	(iii) serves soft drinks, coffee, or nonalcoholic beverages;
58.25 	(iv) provides cleaning for eating, drinking, or cooking utensils, when the only food 
58.26 	served is prepared off site;
58.27 	(v) a food establishment where the method of food preparation meets the definition of 
58.28 	a low-risk establishment in section 157.20; or
58.29 	(vi) operates as a child care facility licensed under section 142B.05 and Minnesota Rules, 
58.30 	chapter 9503.
58.31 	(2) Category 2 establishment, $245 $430. "Category 2 establishment" means an 
58.32 	establishment that is not a Category 1 establishment and is either:
59.1 	(i) a food establishment where the method of food preparation meets the definition of a 
59.2 	medium-risk establishment in section 157.20; or
59.3 	(ii) an elementary or secondary school as defined in section 120A.05.
59.4 	(3) Category 3 establishment, $385 $670. "Category 3 establishment" means an 
59.5 	establishment that is not a Category 1 or Category 2 establishment and is either:
59.6 	(i) a food establishment where the method of food preparation meets the definition of a 
59.7 	high-risk establishment in section 157.20; or
59.8 	(ii) an establishment where 500 or more meals are prepared per day and served at one 
59.9 	or more separate locations.
59.10 	(4) Other food and beverage service, including food carts, mobile food units, seasonal 
59.11 	temporary food stands, and seasonal permanent food stands, $85 $150.
59.12 	(5) Lodging per sleeping accommodation unit, $11 $15, including hotels, motels, lodging 
59.13 	establishments, and resorts, up to a maximum of $1,100 $1,500. "Lodging per sleeping 
59.14 	accommodation unit" means a fee category including the number of guest rooms, cottages, 
59.15 	or other rental units of a hotel, motel, lodging establishment, or resort; or the number of 
59.16 	beds in a dormitory.
59.17 	(6) First public pool, $355 $455; each additional public pool, $200 $300. "Public pool" 
59.18 	means a fee category that has the meaning given in section 144.1222, subdivision 4.
59.19 	(7) First spa, $200 $300; each additional spa, $110 $200. "Spa pool" means a fee category 
59.20 	that has the meaning given in Minnesota Rules, part 4717.0250, subpart 9.
59.21 	(8) Private sewer or water, $60 $85. "Individual private water" means a fee category 
59.22 	with a water supply other than a community public water supply as defined in Minnesota 
59.23 	Rules, chapter 4720. "Individual private sewer" means a fee category with an individual 
59.24 	sewage treatment system which uses subsurface treatment and disposal.
59.25 	(9) Additional food service, $175 $250. "Additional food service" means a location at 
59.26 	a food service establishment, other than the primary food preparation and service area, used 
59.27 	to prepare or serve beverages or food to the public. Additional food service does not apply 
59.28 	to school concession stands.
59.29 	(10) Additional inspection fee, $250 $350. "Additional inspection fee" means a fee to 
59.30 	conduct the second inspection each year for elementary and secondary education facility 
59.31 	school lunch programs when required by the Richard B. Russell National School Lunch 
59.32 	Act.
60.1 	(11) HACCP verification, $175 $225. "HACCP verification" means an annual fee 
60.2 	category for a business that performs one or more specialized process that requires an 
60.3 	HACCP plan as required in chapter 31 and Minnesota Rules, chapter 4626.
60.4 	(e) A fee for review of construction plans must accompany the initial license application 
60.5 	for restaurants, hotels, motels, lodging establishments, resorts, seasonal food stands, and 
60.6 	mobile food units. Plans submitted less than 30 days prior to construction are subject to an 
60.7 	additional late fee equal to 50 percent of the original plan review fee. A fee for review of 
60.8 	an HACCP plan for specialized processing must be submitted and approved prior to preparing 
60.9 	and serving the specialized processed food for human consumption. The fees for construction 
60.10 	plan reviews and HACCP plan reviews are as follows:

60.11	Service Area
	Type
	Fee
	
60.1360.12
	Food
	category 1 establishment
	$400
$550
	
60.1560.14
		category 2 establishment
	$450
$750
	
60.1760.16
		category 3 food establishment
	$500
$800
	
60.1960.18
		additional food service
	$250
$400
	
60.2160.20
		HACCP Plan Review
	$500
$600
	
60.2360.22
	Transient food service
	food cart
	$250
$500
	
60.2560.24
		seasonal permanent food stand
	$250
$500
	
60.2760.26
		seasonal temporary food stand
	$250
$500
	
60.2960.28
		mobile food unit
	$350
$700
	
60.3160.30
	Lodging
	less than 25 rooms
	$375
$450
	
60.3360.32
		25 to less than 100 rooms
	$400
$500
	
60.3560.34
		100 rooms or more
	$500
$600
	
60.3760.36
		less than five cabins
	$350
$400
	
60.3960.38
		five to less than ten cabins
	$400
$450
	
60.4160.40
		ten cabins or more
	$450
$500
	
61.1 	(f) When existing food and beverage service establishments, hotels, motels, lodging 
61.2 	establishments, resorts, seasonal food stands, and mobile food units are extensively 
61.3 	remodeled, a fee must be submitted with the remodeling plans. The fee for this construction 
61.4 	plan review is as follows:

61.5	Service Area
	Type
	Fee
	
61.761.6
	Food
	category 1 establishment
	$300
$450
	
61.961.8
		category 2 establishment
	$350
$500
	
61.1161.10
		category 3 establishment
	$400
$550
	
61.1361.12
		additional food service
	$250
$400
	
61.1561.14
	Transient food service
	food cart
	$250
$400
	
61.1761.16
		seasonal permanent food stand
	$250
$400
	
61.1961.18
		seasonal temporary food stand
	$250
$400
	
61.2161.20
		mobile food unit
	$250
$400
	
61.2361.22
	Lodging
	less than 25 rooms
	$250
$300
	
61.2561.24
		25 to less than 100 rooms
	$300
$350
	
61.2761.26
		100 rooms or more
	$450
$500
	
61.2961.28
		less than five cabins
	$250
$300
	
61.3161.30
		five to less than ten cabins
	$350
$400
	
61.3361.32
		ten cabins or more
	$400
$450
	
61.34 	(g) Special event food stands are not required to submit construction or remodeling plans 
61.35 	for review.
61.36 	(h) Youth camps shall pay an annual single fee for food and lodging as follows:
61.37 	(1) camps with up to 99 campers, $325 $375;
61.38 	(2) camps with 100 to 199 campers, $550 $600; and
61.39 	(3) camps with 200 or more campers, $750 $800.
62.1 	(i) A youth camp which pays fees under paragraph (d) is not required to pay fees under 
62.2 	paragraph (h).

62.3 	Sec. 83. Minnesota Statutes 2024, section 157.16, subdivision 3a, is amended to read:
62.4 		Subd. 3a.Statewide hospitality fee. Every person, firm, or corporation that operates a 
62.5 	licensed boarding establishment, food and beverage service establishment, seasonal temporary 
62.6 	or permanent food stand, special event food stand, mobile food unit, food cart, resort, hotel, 
62.7 	motel, or lodging establishment in Minnesota must submit to the commissioner a $40 $50
62.8 	annual statewide hospitality fee for each licensed activity. The fee for establishments licensed 
62.9 	by the Department of Health is required at the same time the licensure fee is due. For 
62.10 	establishments licensed by local governments, the fee is due by July 1 of each year.

62.11 	Sec. 84. Minnesota Statutes 2024, section 157.16, is amended by adding a subdivision to 
62.12 	read:
62.13 		Subd. 3b.Technology fee. Every food and beverage service establishment, youth camp, 
62.14 	hotel, motel, lodging establishment, public pool, and resort licensed under this chapter must 
62.15 	pay a $5 technology fee for each licensed activity for the initial license and with each 
62.16 	renewal.

62.17 	Sec. 85. Minnesota Statutes 2024, section 256B.0625, subdivision 2, is amended to read:
62.18 		Subd. 2.Skilled and intermediate nursing care. (a) Medical assistance covers skilled 
62.19 	nursing home services and services of intermediate care facilities, including training and 
62.20 	habilitation services, as defined in section 252.41, subdivision 3, for persons with 
62.21 	developmental disabilities who are residing in intermediate care facilities for persons with 
62.22 	developmental disabilities. Medical assistance must not be used to pay the costs of nursing 
62.23 	care provided to a patient in a swing bed as defined in section 144.562, unless (1) the facility 
62.24 	in which the swing bed is located is eligible as a sole community provider, as defined in 
62.25 	Code of Federal Regulations, title 42, section 412.92, or the facility is a public hospital 
62.26 	owned by a governmental entity with 15 or fewer licensed acute care beds; (2) the Centers 
62.27 	for Medicare and Medicaid Services approves the necessary state plan amendments; (3) the 
62.28 	patient was screened as provided by law; (4) the patient no longer requires acute care 
62.29 	services; and (5) no nursing home beds are available within 25 miles of the facility. The 
62.30 	commissioner shall exempt a facility from compliance with the sole community provider 
62.31 	requirement in clause (1) if, as of January 1, 2004, the facility had an agreement with the 
62.32 	commissioner to provide medical assistance swing bed services.
63.1 	(b) Medical assistance also covers up to ten days of nursing care provided to a patient 
63.2 	in a swing bed if: (1) the patient's physician, advanced practice registered nurse, or physician 
63.3 	assistant certifies that the patient has a terminal illness or condition that is likely to result 
63.4 	in death within 30 days and that moving the patient would not be in the best interests of the 
63.5 	patient and patient's family; (2) no open nursing home beds are available within 25 miles 
63.6 	of the facility; and (3) no open beds are available in any Medicare hospice program within 
63.7 	50 miles of the facility. The daily medical assistance payment for nursing care for the patient 
63.8 	in the swing bed is the statewide average medical assistance skilled nursing care per diem 
63.9 	as computed annually by the commissioner on July 1 of each year.

63.10 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval, 
63.11 	whichever is later. The commissioners of health and human services shall inform the revisor 
63.12 	of statutes when federal approval is obtained.

63.13 	Sec. 86. Minnesota Statutes 2024, section 256B.0625, is amended by adding a subdivision 
63.14 	to read:
63.15 		Subd. 2b.Nursing care provided to a patient in a swing bed. (a) Medical assistance 
63.16 	must not be used to pay the costs of nursing care provided to a patient in a swing bed as 
63.17 	defined in section 144.562, unless:
63.18 	(1) the facility in which the swing bed is located is eligible as a sole community provider, 
63.19 	as defined in Code of Federal Regulations, title 42, section 412.92, or the facility is a public 
63.20 	hospital owned by a governmental entity with 25 or fewer licensed acute care beds;
63.21 	(2) the Centers for Medicare and Medicaid Services approves the necessary state plan 
63.22 	amendments;
63.23 	(3) the patient was screened as provided by law;
63.24 	(4) the patient no longer requires acute care services; and
63.25 	(5) no nursing home beds are available within 25 miles of the facility.
63.26 	(b) The commissioner shall exempt a facility from compliance with the sole community 
63.27 	provider requirement in paragraph (a), clause (1), if, as of January 1, 2004, the facility had 
63.28 	an agreement with the commissioner to provide medical assistance swing bed services.
63.29 	(c) Medical assistance also covers up to ten days of nursing care provided to a patient 
63.30 	in a swing bed if:
63.31 	(1) the patient's physician, advanced practice registered nurse, or physician assistant 
63.32 	certifies that the patient has a terminal illness or condition that is likely to result in death 
64.1 	within 30 days and that moving the patient would not be in the best interests of the patient 
64.2 	and patient's family;
64.3 	(2) no open nursing home beds are available within 25 miles of the facility; and
64.4 	(3) no open beds are available in any Medicare hospice program within 50 miles of the 
64.5 	facility.
64.6 	(d) The commissioner shall exempt any facility described under section 144.5621 from 
64.7 	compliance with the requirements of paragraph (a), clauses (3) and (5), and paragraph (c), 
64.8 	and medical assistance covers an unlimited number of days of nursing care provided to a 
64.9 	patient in a swing bed at a facility described under section 144.5621.
64.10 	(e) The daily medical assistance payment for nursing care for the patient in the swing 
64.11 	bed is the statewide average medical assistance skilled nursing care per diem as computed 
64.12 	annually by the commissioner on July 1 of each year.

64.13 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval, 
64.14 	whichever is later. The commissioners of health and human services shall inform the revisor 
64.15 	of statutes when federal approval is obtained.

64.16 	Sec. 87. Minnesota Statutes 2024, section 256B.692, subdivision 2, is amended to read:
64.17 		Subd. 2.Duties of commissioner of health. (a) Notwithstanding chapters 62D and 62N, 
64.18 	a county that elects to purchase medical assistance in return for a fixed sum without regard 
64.19 	to the frequency or extent of services furnished to any particular enrollee is not required to 
64.20 	obtain a certificate of authority under chapter 62D or 62N. The county board of 
64.21 	commissioners is the governing body of a county-based purchasing program. In a multicounty 
64.22 	arrangement, the governing body is a joint powers board established under section 471.59.
64.23 	(b) A county that elects to purchase medical assistance services under this section must 
64.24 	satisfy the commissioner of health that the requirements for assurance of consumer protection, 
64.25 	provider protection, and fiscal solvency of chapter 62D, applicable to health maintenance 
64.26 	organizations will be met according to the following schedule:
64.27 	(1) for a county-based purchasing plan approved on or before June 30, 2008, the plan 
64.28 	must have in reserve:
64.29 	(i) at least 50 percent of the minimum amount required under chapter 62D as of January 
64.30 	1, 2010;
64.31 	(ii) at least 75 percent of the minimum amount required under chapter 62D as of January 
64.32 	1, 2011;
65.1 	(iii) at least 87.5 percent of the minimum amount required under chapter 62D as of 
65.2 	January 1, 2012; and
65.3 	(iv) at least 100 percent of the minimum amount required under chapter 62D as of January 
65.4 	1, 2013; and
65.5 	(2) for a county-based purchasing plan first approved after June 30, 2008, the plan must 
65.6 	have in reserve:
65.7 	(i) at least 50 percent of the minimum amount required under chapter 62D at the time 
65.8 	the plan begins enrolling enrollees;
65.9 	(ii) at least 75 percent of the minimum amount required under chapter 62D after the first 
65.10 	full calendar year;
65.11 	(iii) at least 87.5 percent of the minimum amount required under chapter 62D after the 
65.12 	second full calendar year; and
65.13 	(iv) at least 100 percent of the minimum amount required under chapter 62D after the 
65.14 	third full calendar year.
65.15 	(c) Until a plan is required to have reserves equaling at least 100 percent of the minimum 
65.16 	amount required under chapter 62D, the plan may demonstrate its ability to cover any losses 
65.17 	by satisfying the requirements of chapter 62N. A county-based purchasing plan must also 
65.18 	assure the commissioner of health that the requirements of sections 62J.041; 62J.48; 62J.71 
65.19 	to 62J.73; all applicable provisions of chapter 62Q, including sections 62Q.075; 62Q.1055; 
65.20 	62Q.106; 62Q.12; 62Q.135; 62Q.14; 62Q.19; 62Q.23, paragraph (c); 62Q.43; 62Q.47; 
65.21 	62Q.50; 62Q.52 to 62Q.56; 62Q.58; 62Q.68 to 62Q.72; and 72A.201 will be met.
65.22 	(d) All enforcement and rulemaking powers available under chapters 62D, 62J, 62N, 
65.23 	and 62Q are hereby granted to the commissioner of health with respect to counties that 
65.24 	purchase medical assistance services under this section.
65.25 	(e) The commissioner, in consultation with county government, shall develop 
65.26 	administrative and financial reporting requirements for county-based purchasing programs 
65.27 	relating to sections 62D.041, 62D.042, 62D.045, 62D.08, 62N.28, 62N.29, and 62N.31, 
65.28 	and other sections as necessary, that are specific to county administrative, accounting, and 
65.29 	reporting systems and consistent with other statutory requirements of counties.
65.30 	(f) The commissioner shall collect from a county-based purchasing plan under this 
65.31 	section the following fees:
66.1 	(1) fees attributable to the costs of audits and other examinations of plan financial 
66.2 	operations. These fees are subject to the provisions of Minnesota Rules, part 4685.2800, 
66.3 	subpart 1, item F; and
66.4 	(2) an annual fee of $21,500 $30,000, to be paid by June 15 of each calendar year.
66.5 	All fees collected under this paragraph shall be deposited in the state government special 
66.6 	revenue fund.

66.7 	Sec. 88. Minnesota Statutes 2024, section 256R.01, is amended by adding a subdivision 
66.8 	to read:
66.9 		Subd. 1a.Payment rates for nursing care provided to a patient in a swing 
66.10 	bed. Payment rates paid to any hospital for nursing care provided to a patient in a swing 
66.11 	bed must be those rates established pursuant section 256B.0625, subdivision 2b.

66.12 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval, 
66.13 	whichever is later. The commissioners of health and human services shall inform the revisor 
66.14 	of statutes when federal approval is obtained.

66.15 	Sec. 89. Minnesota Statutes 2024, section 326.72, subdivision 1, is amended to read:
66.16 		Subdivision 1.When license required. A person within the state intending to directly 
66.17 	perform or cause to be performed through subcontracting or similar delegation any 
66.18 	asbestos-related work either for financial gain or with respect to the person's own property 
66.19 	shall first apply for and obtain a license from the commissioner. The license shall be in 
66.20 	writing, be dated when issued, contain an expiration date, be signed by the commissioner, 
66.21 	and give the name and address of the person to whom it is issued.
66.22 	The domiciled owner of a single family residence is not required to hold a license or 
66.23 	pay a project permit fee to conduct asbestos-related work in the domiciled residence.
66.24 	Any person performing any asbestos-related work within the state must be licensed by 
66.25 	the commissioner, whether directly performing asbestos work or causing it to be performed 
66.26 	through subcontracting or similar delegation. A domiciled owner of a single-family residence 
66.27 	is not required to hold a license or pay a project permit fee to conduct asbestos-related work 
66.28 	in the domiciled residence.

66.29 	Sec. 90. Minnesota Statutes 2024, section 326.75, subdivision 3, is amended to read:
66.30 		Subd. 3.Permit fee. Five calendar days before beginning asbestos-related work, a person 
66.31 	shall pay a project permit fee to the commissioner equal to two three percent of the total 
67.1 	costs of the asbestos-related work. For asbestos-related work performed in single or 
67.2 	multifamily residences, of greater than ten but less than 260 linear feet of asbestos-containing 
67.3 	material on pipes, or greater than six but less than 160 square feet of asbestos-containing 
67.4 	material on other facility components, a person shall pay a project permit fee of $35 to the 
67.5 	commissioner.

67.6 	Sec. 91. Minnesota Statutes 2024, section 326.75, subdivision 3a, is amended to read:
67.7 		Subd. 3a.Asbestos-related training course permit fee. The commissioner shall establish 
67.8 	by rule a permit fee to be paid by A training course provider shall pay the commissioner a 
67.9 	fee of $500 on application for a training course permit or and $250 for the renewal of a 
67.10 	permit of each asbestos-related training course required for certification or registration.

67.11 	Sec. 92. Minnesota Statutes 2024, section 327.15, subdivision 2, is amended to read:
67.12 		Subd. 2.License renewal. Initial and renewal licenses for all manufactured home parks 
67.13 	and recreational camping areas shall be issued annually and shall have an expiration date 
67.14 	included on the license. Any person who operates a manufactured home park or recreational 
67.15 	camping area after the expiration date of a license or without having submitted an application 
67.16 	and paid the fee shall be deemed to have violated the provisions of this chapter and shall 
67.17 	be subject to enforcement action, as provided in the Health Enforcement Consolidation Act, 
67.18 	sections 144.989 to 144.993. In addition, a penalty of $120 $200 shall be added to the total 
67.19 	of the license fee for any manufactured home park or recreational camping area operating 
67.20 	without a license for a period of up to 30 days. A late fee of $360 $450 shall be added to 
67.21 	the license fee for any manufactured home park or recreational camping area operating 
67.22 	more than 30 days without a license.

67.23 	Sec. 93. Minnesota Statutes 2024, section 327.15, subdivision 3, is amended to read:
67.24 		Subd. 3.Fees, manufactured home parks and recreational camping areas. (a) The 
67.25 	following fees are required for manufactured home parks and recreational camping areas 
67.26 	licensed under this chapter. Fees collected under this section shall be deposited in the state 
67.27 	government special revenue fund. Recreational camping areas and manufactured home 
67.28 	parks shall pay the highest applicable base fee under paragraph (b). The license fee for new 
67.29 	operators of a manufactured home park or recreational camping area previously licensed 
67.30 	under this chapter for the same calendar year is one-half of the appropriate annual license 
67.31 	fee, plus any penalty that may be required. The license fee for operators opening on or after 
67.32 	October 1 is one-half of the appropriate annual license fee, plus any penalty that may be 
67.33 	required.
68.1 	(b) All manufactured home parks and recreational camping areas shall pay the following 
68.2 	annual base fee:
68.3 	(1) a manufactured home park, $165 $280; and
68.4 	(2) a recreational camping area with:
68.5 	(i) 24 or less sites, $55 $100;
68.6 	(ii) 25 to 99 sites, $230 $410; and
68.7 	(iii) 100 or more sites, $330 $610.
68.8 	In addition to the base fee, manufactured home parks and recreational camping areas shall 
68.9 	pay $5 $8 for each licensed site. This paragraph does not apply to special event recreational 
68.10 	camping areas. Operators of a manufactured home park or a recreational camping area also 
68.11 	licensed under section 157.16 for the same location shall pay only one base fee, whichever 
68.12 	is the highest of the base fees found in this section or section 157.16.
68.13 	(c) In addition to the fee in paragraph (b), each manufactured home park or recreational 
68.14 	camping area shall pay an additional annual fee for each fee category specified in this 
68.15 	paragraph:
68.16 	(1) Manufactured home parks and recreational camping areas with public swimming 
68.17 	pools and spas shall pay the appropriate fees specified in section 157.16.
68.18 	(2) Individual private sewer or water, $60 $85. "Individual private water" means a fee 
68.19 	category with a water supply other than a community public water supply as defined in 
68.20 	Minnesota Rules, chapter 4720. "Individual private sewer" means a fee category with a 
68.21 	subsurface sewage treatment system which uses subsurface treatment and disposal.
68.22 	(d) The following fees must accompany a plan review application for initial construction 
68.23 	of a manufactured home park or recreational camping area:
68.24 	(1) for initial construction of less than 25 sites, $375 $400;
68.25 	(2) for initial construction of 25 to 99 sites, $400 $425; and
68.26 	(3) for initial construction of 100 or more sites, $500 $525.
68.27 	(e) The following fees must accompany a plan review application when an existing 
68.28 	manufactured home park or recreational camping area is expanded:
68.29 	(1) for expansion of less than 25 sites, $250 $300;
68.30 	(2) for expansion of 25 to 99 sites, $300 $350; and
69.1 	(3) for expansion of 100 or more sites, $450 $500.
69.2 	(f) Plan review applications submitted less than 30 days prior to construction are subject 
69.3 	to an additional late fee equal to 50 percent of the original plan review fee.

69.4 	Sec. 94. Minnesota Statutes 2024, section 327.15, subdivision 4, is amended to read:
69.5 		Subd. 4.Fees, special event recreational camping areas. (a) The following fees are 
69.6 	required for special event recreational camping areas licensed under this chapter.
69.7 	(b) All special event recreational camping areas shall pay an annual fee of $150 $250
69.8 	plus $1 $4 for each licensed site.
69.9 	(c) A special event recreational camping area shall pay a late fee of $360 $450 for failing 
69.10 	to obtain a license prior to operating.
69.11 	(d) The following fees must accompany a plan review application for initial construction 
69.12 	of a special event recreational camping area:
69.13 	(1) for initial construction of less than 25 special event recreational camping sites, $375
69.14 	$475;
69.15 	(2) for initial construction of 25 to 99 sites, $400 $500; and
69.16 	(3) for initial construction of 100 or more sites, $500 $600.
69.17 	(e) The following fees must accompany a plan review application for expansion of a 
69.18 	special event recreational camping area:
69.19 	(1) for expansion of less than 25 sites, $250 $300;
69.20 	(2) for expansion of 25 to 99 sites, $300 $350; and
69.21 	(3) for expansion of 100 or more sites, $450 $500.
69.22 	(f) Plan review applications submitted less than 30 days prior to construction are subject 
69.23 	to an additional late fee equal to 50 percent of the original plan review fee.

69.24 	Sec. 95. Minnesota Statutes 2024, section 327.15, is amended by adding a subdivision to 
69.25 	read:
69.26 		Subd. 5.Technology fee. All manufactured home parks, recreational camping areas, 
69.27 	and special event camping areas must pay a $5 technology fee at initial licensing and upon 
69.28 	each renewal.

70.1 	Sec. 96. SPOKEN LANGUAGE HEALTH CARE INTERPRETER WORK GROUP.
70.2 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
70.3 	the meanings given.
70.4 	(b) "Commissioner" means the commissioner of health.
70.5 	(c) "Common languages" means the 15 most common languages without regard to dialect 
70.6 	in Minnesota.
70.7 	(d) "Registered interpreter" means a spoken language interpreter who is listed on the 
70.8 	Department of Health's spoken language health care interpreter roster.
70.9 	(e) "Work group" means the spoken language health care interpreter work group 
70.10 	established in this section.
70.11 		Subd. 2.Composition. The commissioner, after receiving work group candidate 
70.12 	applications, must appoint 15 members to the work group consisting of the following 
70.13 	members:
70.14 	(1) three members who are interpreters listed on the Department of Health's spoken 
70.15 	language health care interpreter roster and who are Minnesota residents. Of these members:
70.16 	(i) each must be an interpreter for a different language;
70.17 	(ii) at least one must have a national certification credential; and
70.18 	(iii) at least one must have been listed on the roster as an interpreter in a language other 
70.19 	than the common languages and must have completed a nationally recognized training 
70.20 	program for health care interpreters that is, at a minimum, 40 hours in length;
70.21 	(2) three members representing limited English proficiency (LEP) individuals. Of these 
70.22 	members, two must represent LEP individuals who are proficient in a common language 
70.23 	other than English and one must represent LEP individuals who are proficient in a language 
70.24 	that is not one of the common languages;
70.25 	(3) one member representing a health plan company;
70.26 	(4) one member who is not an interpreter and who is representing a Minnesota health 
70.27 	system;
70.28 	(5) two members representing interpreter agencies, including one member representing 
70.29 	agencies whose main office is located outside the seven-county metropolitan area and one 
70.30 	member representing agencies whose main office is located within the seven-county 
70.31 	metropolitan area;
71.1 	(6) one member representing the Department of Health;
71.2 	(7) one member representing the Department of Human Services;
71.3 	(8) one member representing an interpreter training program or postsecondary educational 
71.4 	institution program providing interpreter courses or skills assessment;
71.5 	(9) one member who is affiliated with a Minnesota-based or Minnesota chapter of a 
71.6 	national or international organization representing interpreters; and
71.7 	(10) one member who is a licensed health care provider.
71.8 		Subd. 3.Duties. The work group must compile a list of recommendations to support 
71.9 	and improve access to the critical health care interpreting services provided across the state, 
71.10 	including but not limited to:
71.11 	(1) changing requirements for registered and certified interpreters to reflect changing 
71.12 	needs of the Minnesota health care community and emerging national standards of training, 
71.13 	competency, and testing;
71.14 	(2) addressing barriers for interpreters to gain access to the roster, including barriers for 
71.15 	interpreters of languages other than common languages and interpreters in rural areas;
71.16 	(3) reimbursing spoken language health care interpreting;
71.17 	(4) identifying gaps in interpreter services in rural areas and recommending ways to 
71.18 	address interpreter training and funding needs;
71.19 	(5) providing training, certification, and continuing education programs;
71.20 	(6) convening a meeting of public and private sector representatives of the spoken 
71.21 	language health care interpreter community to identify ongoing sources of financial assistance 
71.22 	to aid individual interpreters in meeting interpreter training and testing requirements for the 
71.23 	registry;
71.24 	(7) conducting surveys of people receiving and providing interpreter services to 
71.25 	understand changing needs and consumer quality of care; and
71.26 	(8) suggesting changes in requirements and qualifications on telehealth or remote 
71.27 	interpreting.
71.28 		Subd. 4.Compensation; expense reimbursement. Compensation shall be offered to 
71.29 	work group members not being compensated for their participation in work group activities 
71.30 	as part of their existing job duties. Work group members shall be compensated and 
72.1 	reimbursed for expenses for work group activities under Minnesota Statutes, section 15.059, 
72.2 	subdivision 3.
72.3 		Subd. 5.Administrative support; meeting space, meeting facilitation. The 
72.4 	commissioner must provide meeting space and administrative support for the work group. 
72.5 	The commissioner may contract with a neutral independent consultant to provide this 
72.6 	administrative support and to facilitate and lead the meetings of the work group.
72.7 		Subd. 6.Deadline for appointments. The commissioner must appoint members to the 
72.8 	work group by August 15, 2025.
72.9 		Subd. 7.Expiration. This section expires on November 2, 2026, or upon submission 
72.10 	of the report required under subdivision 9, whichever is earlier.
72.11 		Subd. 8.Initial spoken language health care interpreter work group meetings. The 
72.12 	commissioner shall convene the first meeting of the work group by October 1, 2025. Prior 
72.13 	to the first meeting, work group members must receive results from previously conducted 
72.14 	surveys and gather evidence-based research on interpreter services in Minnesota. During 
72.15 	the first meetings, work group members may consult with subject matter experts, including 
72.16 	but not limited to signed language interpreting experts, academic experts with knowledge 
72.17 	of interpreting research, and academic health experts to address specific gaps in spoken 
72.18 	language health care interpreting. The work group shall provide a minimum of two 
72.19 	opportunities for public comment. These opportunities shall be announced with at least four 
72.20 	weeks' notice, with publicity in the five most common languages in Minnesota. Interpreters 
72.21 	for those same languages shall be provided during the public comment opportunities.
72.22 		Subd. 9.Report. By November 1, 2026, the commissioner must provide the chairs and 
72.23 	ranking minority members of the legislative committees with jurisdiction over health care 
72.24 	interpreter services with recommendations, including draft legislation and any statutory 
72.25 	changes needed to implement the recommendations, to improve and support access to health 
72.26 	care interpreting services statewide.

72.27 	Sec. 97. REPORT ON FACILITY FEES.
72.28 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
72.29 	the meanings given.
72.30 	(b) "Facility fee" means any separate charge or billing by a provider-based clinic in 
72.31 	addition to a professional fee for physicians' services that is intended to cover building, 
72.32 	electronic medical records systems, billing, and other administrative and operational 
72.33 	expenses.
73.1 	(c) "Provider-based clinic" means the site of an off-campus clinic or provider office, 
73.2 	located at least 250 yards from the main hospital buildings or as determined by the Centers 
73.3 	for Medicare and Medicaid Services, that is owned by a hospital licensed under Minnesota 
73.4 	Statutes, chapter 144, or a health system that operates one or more hospitals licensed under 
73.5 	Minnesota Statutes, chapter 144, and is primarily engaged in providing diagnostic and 
73.6 	therapeutic care, including medical history, physical examinations, assessment of health 
73.7 	status, and treatment monitoring. Provider-based clinic does not include clinics that are 
73.8 	exclusively providing laboratory, x-ray, testing, therapy, pharmacy, or educational services 
73.9 	and does not include facilities designated as rural health clinics.
73.10 		Subd. 2.Reporting. (a) By January 15, 2027, hospitals licensed under Minnesota Statutes, 
73.11 	chapter 144, and health systems operating one or more hospitals licensed under Minnesota 
73.12 	Statutes, chapter 144, must submit a report to the commissioner of health identifying facility 
73.13 	fees charged, billed, and collected during the preceding calendar year. The commissioner 
73.14 	must publish the information reported on a publicly accessible website. The report shall be 
73.15 	in the format prescribed by the commissioner of health.
73.16 	(b) The report under this subdivision must include the following information for each 
73.17 	facility owned or operated by the hospital or health system providing services for which a 
73.18 	facility fee is charged, billed, or collected:
73.19 	(1) the name and full address of each facility;
73.20 	(2) the number of patient visits at each facility; and
73.21 	(3) the number, total amount, and range of allowable facility fees paid at each facility 
73.22 	by Medicare, medical assistance, MinnesotaCare, and private insurance.
73.23 	(c) The report under this subdivision must include the following information for the 
73.24 	entire hospital or health system:
73.25 	(1) the total amount charged and billed for facility fees;
73.26 	(2) the total amount collected from facility fees;
73.27 	(3) the top ten procedures or services provided by the hospital or health system that 
73.28 	generated the greatest amount of facility fee gross revenue, the volume of each of these ten 
73.29 	procedures or services and the gross and net revenue totals for each procedure or service, 
73.30 	and the total net amount of revenue received by the hospital or health system derived from 
73.31 	facility fees;
73.32 	(4) the top ten procedures or services, based on patient volume, provided by the hospital 
73.33 	or health system for which facility fees are charged, billed, or collected, based on patient 
74.1 	volume, including the gross and net revenue totals received for each such procedure or 
74.2 	service; and
74.3 	(5) any other information related to facility fees that the commissioner of health may 
74.4 	require.
74.5 		Subd. 3.Enforcement. The commissioner of health may, pursuant to the procedures in 
74.6 	Minnesota Statutes, sections 144.99 and 144.991, impose an administrative penalty on a 
74.7 	hospital or health system for failure to comply with subdivision 2. The penalty must not 
74.8 	exceed $1,000 per occurrence.

74.9 	Sec. 98. RULEMAKING.
 74.10 	The Department of Health must adopt rules using the expedited process under Minnesota 
74.11 	Statutes, section 14.389, to amend certain parts in Minnesota Rules, chapter 4695, to conform 
74.12 	with the changes made in this act.

74.13 	Sec. 99. REPEALER.
 74.14 	(a) Minnesota Statutes 2024, section 103I.550, is repealed.
74.15 	(b) Minnesota Rules, part 4695.2900, is repealed.

74.16 	ARTICLE 2
74.17 	DEPARTMENT OF HEALTH POLICY

74.18 	Section 1. Minnesota Statutes 2024, section 62J.461, subdivision 3, is amended to read:
74.19 		Subd. 3.Reporting by covered entities to the commissioner. (a) Each 340B covered 
74.20 	entity shall report to the commissioner by April 1 of each year the following information 
74.21 	for transactions conducted by the 340B covered entity or on its behalf, and related to its 
74.22 	participation in the federal 340B program for the previous calendar year:
74.23 	(1) the aggregated acquisition cost for prescription drugs obtained under the 340B 
74.24 	program;
74.25 	(2) the aggregated payment amount received for drugs obtained under the 340B program 
74.26 	and dispensed or administered to patients;:
74.27 	(i) that are net of the contracted price for insurance claims payments; and
74.28 	(ii) that reflect the portion of payment received from grants, cash, or other payment types 
74.29 	that relate to the dispensing or administering of drugs obtained under the 340B program;
75.1 	(3) the number of pricing units dispensed or administered for prescription drugs described 
75.2 	in clause (2); and
75.3 	(4) the aggregated payments made:
75.4 	(i) to contract pharmacies to dispense drugs obtained under the 340B program;
75.5 	(ii) to any other entity that is not the covered entity and is not a contract pharmacy for 
75.6 	managing any aspect of the covered entity's 340B program; and
75.7 	(iii) for all other internal, direct expenses related to administering the 340B program
75.8 	with a detailed description of the direct costs included.
75.9 	The information under clauses (2) and (3) must be reported by payer type, including but 
75.10 	not limited to commercial insurance, medical assistance, MinnesotaCare, and Medicare, in 
75.11 	the form and manner prescribed by the commissioner.
75.12 	(b) For covered entities that are hospitals, the information required under paragraph (a), 
75.13 	clauses (1) to (3), must also be reported at the national drug code level for the 50 most 
75.14 	frequently dispensed or administered drugs by the facility under the 340B program.
75.15 	(c) Data submitted to the commissioner under paragraphs (a) and (b) are classified as 
75.16 	nonpublic data, as defined in section 13.02, subdivision 9.

75.17 	Sec. 2. Minnesota Statutes 2024, section 62J.461, subdivision 4, is amended to read:
75.18 		Subd. 4.Enforcement and exceptions. (a) Any health care covered entity subject to 
75.19 	reporting under this section that fails to provide data in the form and manner prescribed by 
75.20 	the commissioner is subject to the levy of a fine paid to the commissioner of up to $500 for 
75.21 	each day the data are past due. Any fine levied against the entity under this subdivision is 
75.22 	subject to the contested case and judicial review provisions of sections 14.57and to14.69.
75.23 	(b) The commissioner may grant an entity an extension of or exemption from the reporting 
75.24 	obligations under this subdivision section, upon a showing of good cause by the entity.

75.25 	Sec. 3. Minnesota Statutes 2024, section 62J.461, subdivision 5, is amended to read:
75.26 		Subd. 5.Reports to the legislature. By November 15, 2024, and by November 15 of 
75.27 	each year thereafter, the commissioner shall submit to the chairs and ranking minority 
75.28 	members of the legislative committees with jurisdiction over health care finance and policy, 
75.29 	a report that aggregates the data submitted under subdivision 3, paragraphs (a) and (b). The 
75.30 	following information must be included in the report For all 340B entities whose net 340B 
75.31 	revenue constitutes a significant share, as determined by the commissioner, of all net 340B 
76.1 	revenue across all 340B covered entities in Minnesota, the following information must also 
76.2 	be included in the report:
76.3 	(1) the information submitted under subdivision 2; and
76.4 	(2) for each 340B entity identified in subdivision 2, that entity's 340B net revenue as 
76.5 	calculated using the data submitted under subdivision 3, paragraph (a), with net revenue 
76.6 	being subdivision 3, paragraph (a), clause (2), less the sum of subdivision 3, paragraph (a), 
76.7 	clauses (1) and (4).
76.8 	For all other entities, the data in the report must be aggregated to the entity type or groupings 
76.9 	of entity types in a manner that prevents the identification of an individual entity and any 
76.10 	entity's specific data value reported for an individual data element.

76.11 	Sec. 4. Minnesota Statutes 2024, section 62J.51, subdivision 19a, is amended to read:
76.12 		Subd. 19a.Uniform explanation of benefits document. "Uniform explanation of 
76.13 	benefits document" means either the document associated with and explaining the details 
76.14 	of a group purchaser's claim adjudication for services rendered or its electronic equivalent 
76.15 	under section 62J.581, which is sent to a patient.

76.16 	Sec. 5. Minnesota Statutes 2024, section 62J.581, is amended to read:
76.17 	62J.581 STANDARDS FOR MINNESOTA UNIFORM HEALTH CARE 
76.18 	REIMBURSEMENT DOCUMENTS.
76.19 		Subdivision 1.Minnesota uniform remittance advice.  All group purchasers shall 
76.20 	provide a uniform claim payment/advice transaction to health care providers when a claim 
76.21 	is adjudicated. The uniform claim payment/advice transaction shall comply with section 
76.22 	62J.536, subdivision 1, paragraph (b), and rules adopted under section 62J.536, subdivision 
76.23 	2.
76.24 		Subd. 2.Minnesota uniform explanation of benefits document. (a) All group 
76.25 	purchasers shall provide a uniform explanation of benefits document to health care patients 
76.26 	when an explanation of benefits document is provided as otherwise required or permitted 
76.27 	by law. The uniform explanation of benefits document shall comply with the standards 
76.28 	prescribed in this section.
76.29 	(b) Notwithstanding paragraph (a), this section does not apply to group purchasers not 
76.30 	included as covered entities under United States Code, title 42, sections 1320d to 1320d-8, 
76.31 	as amended from time to time, and the regulations promulgated under those sections.
77.1 		Subd. 3.Scope. For purposes of sections 62J.50 to 62J.61, the uniform claim 
77.2 	payment/advice transaction and uniform explanation of benefits document format specified 
77.3 	in subdivision 4 shall apply to all health care services delivered by a health care provider 
77.4 	or health care provider organization in Minnesota, regardless of the location of the payer. 
77.5 	Health care services not paid on an individual claims basis, such as capitated payments, are 
77.6 	not included in this section. A health plan company is excluded from the requirements in 
77.7 	subdivisions 1 and subdivision 2 if they comply with section 62A.01, subdivisions 2 and 
77.8 	3.
77.9 		Subd. 4.Specifications. (a) The uniform explanation of benefits document shall be 
77.10 	provided by use of a paper document conforming to the specifications in this section or its 
77.11 	electronic equivalent under paragraph (b).
77.12 	(b) Group purchasers may make the uniform explanation of benefits available in a version 
77.13 	that can be accessed by health care patients electronically if:
77.14 	(1) the group purchaser making the uniform explanation of benefits available 
77.15 	electronically provides health care patients the ability to choose whether to receive paper, 
77.16 	electronic, or both paper and electronic versions of their uniform explanation of benefits;
77.17 	(2) the group purchaser provides clear, readily accessible information and instructions 
77.18 	for the patient to communicate their choice; and
77.19 	(3) health care patients not responding to the opportunity to make a choice will receive 
77.20 	at a minimum a paper uniform explanation of benefits.
77.21 	(c) The commissioner, after consulting with the Administrative Uniformity Committee, 
77.22 	shall specify the data elements and definitions for the paper uniform explanation of benefits 
77.23 	document. The commissioner and the Administrative Uniformity Committee must consult 
77.24 	with the Minnesota Dental Association and Delta Dental Plan of Minnesota before requiring 
77.25 	under this section the use of a paper document for the uniform explanation of benefits 
77.26 	document or the uniform claim payment/advice transaction for dental care services. Any 
77.27 	electronic version of the uniform explanation of benefits must use the same data elements 
77.28 	and definitions as the paper uniform explanation of benefits.
77.29 		Subd. 5.Effective date. The requirements in subdivisions 1 and 2 are effective June 30, 
77.30 	2007. The requirements in subdivisions 1 and 2 apply regardless of when the health care 
77.31 	service was provided to the patient.

78.1 	Sec. 6. Minnesota Statutes 2024, section 62J.84, subdivision 2, is amended to read:
78.2 		Subd. 2.Definitions. (a) For purposes of this section, the terms defined in this subdivision 
78.3 	have the meanings given.
78.4 	(b) "Biosimilar" means a drug that is produced or distributed pursuant to a biologics 
78.5 	license application approved under United States Code, title 42, section 262(K)(3).
78.6 	(c) "Brand name drug" means a drug that is produced or distributed pursuant to:
78.7 	(1) a new drug application approved under United States Code, title 21, section 355(c), 
78.8 	except for a generic drug as defined under Code of Federal Regulations, title 42, section 
78.9 	447.502; or
78.10 	(2) a biologics license application approved under United States Code, title 42, section 
78.11 	262(a)(c).
78.12 	(d) "Commissioner" means the commissioner of health.
78.13 	(e) "Generic drug" means a drug that is marketed or distributed pursuant to:
78.14 	(1) an abbreviated new drug application approved under United States Code, title 21, 
78.15 	section 355(j);
78.16 	(2) an authorized generic as defined under Code of Federal Regulations, title 42, section 
78.17 	447.502; or
78.18 	(3) a drug that entered the market the year before 1962 and was not originally marketed 
78.19 	under a new drug application.
78.20 	(f) "Manufacturer" means a drug manufacturer licensed under section 151.252.
78.21 	(g) "New prescription drug" or "new drug" means a prescription drug approved for 
78.22 	marketing by the United States Food and Drug Administration (FDA) for which no previous 
78.23 	wholesale acquisition cost has been established for comparison.
78.24 	(h) "Patient assistance program" means a program that a manufacturer offers to the public 
78.25 	in which a consumer may reduce the consumer's out-of-pocket costs for prescription drugs 
78.26 	by using coupons, discount cards, prepaid gift cards, manufacturer debit cards, or by other 
78.27 	means.
78.28 	(i) "Prescription drug" or "drug" has the meaning provided in section 151.441, subdivision 
78.29 	8.
78.30 	(j) "Price" means the wholesale acquisition cost as defined in United States Code, title 
78.31 	42, section 1395w-3a(c)(6)(B).
79.1 	(k) "30-day supply" means the total daily dosage units of a prescription drug 
79.2 	recommended by the prescribing label approved by the FDA for 30 days. If the 
79.3 	FDA-approved prescribing label includes more than one recommended daily dosage, the 
79.4 	30-day supply is based on the maximum recommended daily dosage on the FDA-approved 
79.5 	prescribing label.
79.6 	(l) "Course of treatment" means the total dosage of a single prescription for a prescription 
79.7 	drug recommended by the FDA-approved prescribing label. If the FDA-approved prescribing 
79.8 	label includes more than one recommended dosage for a single course of treatment, the 
79.9 	course of treatment is the maximum recommended dosage on the FDA-approved prescribing 
79.10 	label.
79.11 	(m) "Drug product family" means a group of one or more prescription drugs that share 
79.12 	a unique generic drug description or nontrade name and dosage form.
79.13 	(n) "Individual salable unit" means the smallest container of product introduced into 
79.14 	commerce by the manufacturer or repackager that is intended by the manufacturer or 
79.15 	repackager for individual sale to a dispenser.
79.16 	(o) (n) "National drug code" means the three-segment code maintained by the federal 
79.17 	Food and Drug Administration that includes a labeler code, a product code, and a package 
79.18 	code for a drug product and that has been converted to an 11-digit format consisting of five 
79.19 	digits in the first segment, four digits in the second segment, and two digits in the third 
79.20 	segment. A three-segment code shall be considered converted to an 11-digit format when, 
79.21 	as necessary, at least one "0" has been added to the front of each segment containing less 
79.22 	than the specified number of digits such that each segment contains the specified number 
79.23 	of digits.
79.24 	(p) (o) "Pharmacy" or "pharmacy provider" means a community/outpatient pharmacy 
79.25 	as defined in Minnesota Rules, part 6800.0100, subpart 2, that is also licensed as a pharmacy 
79.26 	by the Board of Pharmacy under section 151.19.
79.27 	(q) (p) "Pharmacy benefit manager" or "PBM" means an entity licensed to act as a 
79.28 	pharmacy benefit manager under section 62W.03.
79.29 	(r) (q) "Pricing unit" means the smallest dispensable amount of a prescription drug 
79.30 	product that could be dispensed or administered.
79.31 	(s) (r) "Rebate" means a discount, chargeback, or other price concession that affects the 
79.32 	price of a prescription drug product, regardless of whether conferred through regular 
79.33 	aggregate payments, on a claim-by-claim basis at the point of sale, as part of retrospective 
80.1 	financial reconciliations, including reconciliations that also reflect other contractual 
80.2 	arrangements, or by any other method. "Rebate" does not mean a bona fide service fee as 
80.3 	defined in Code of Federal Regulations, title 42, section 447.502.
80.4 	(t) (s) "Reporting entity" means any manufacturer, pharmacy, pharmacy benefit manager, 
80.5 	wholesale drug distributor, or any other entity required to submit data under this section.
80.6 	(u) (t) "Wholesale drug distributor" or "wholesaler" means an entity that:
80.7 	(1) is licensed to act as a wholesale drug distributor under section 151.47; and.
80.8 	(2) distributes prescription drugs, for which it is not the manufacturer, to persons or 
80.9 	entities, or both, other than a consumer or patient in the state.

80.10 	Sec. 7. Minnesota Statutes 2024, section 62J.84, subdivision 3, is amended to read:
80.11 		Subd. 3.Prescription drug price increases reporting. (a) Beginning January 1, 2022, 
80.12 	a drug manufacturer must submit to the commissioner the information described in paragraph 
80.13 	(b) for each prescription drug for which the price was $100 or greater for a 30-day supply 
80.14 	or for a course of treatment lasting less than 30 days and:
80.15 	(1) for brand name drugs where there is an increase of ten percent or greater in the price 
80.16 	over the previous 12-month period or an increase of 16 percent or greater in the price over 
80.17 	the previous 24-month period; and
80.18 	(2) for generic or biosimilar drugs where there is an increase of 50 percent or greater in 
80.19 	the price over the previous 12-month period.
80.20 	(b) For each of the drugs described in paragraph (a), the manufacturer shall submit to 
80.21 	the commissioner no later than 60 days after the price increase goes into effect, in the form 
80.22 	and manner prescribed by the commissioner, the following information, if applicable:
80.23 	(1) the description and price of the drug and the net increase, expressed as a percentage, 
80.24 	with the following listed separately:
80.25 	(i) the national drug code;
80.26 	(ii) the product name;
80.27 	(iii) the dosage form;
80.28 	(iv) the strength; and
80.29 	(v) the package size;
80.30 	(2) the factors that contributed to the price increase;
81.1 	(3) the name of any generic version of the prescription drug available on the market;
81.2 	(4) the year the prescription drug was introduced for sale in the United States;
81.3 	(4) (5) the introductory price of the prescription drug when it was introduced for sale in 
81.4 	the United States and the price of the drug on the last day of each of the five calendar years 
81.5 	preceding the price increase;
81.6 	(5) (6) the direct costs incurred during the previous 12-month period by the manufacturer 
81.7 	that are associated with the prescription drug, listed separately:
81.8 	(i) to manufacture the prescription drug;
81.9 	(ii) to market the prescription drug, including advertising costs; and
81.10 	(iii) to distribute the prescription drug;
81.11 	(7) the number of units of the prescription drug sold during the previous 12-month period;
81.12 	(6) (8) the total sales revenue for the prescription drug during the previous 12-month 
81.13 	period;
81.14 	(9) the total rebate payable amount accrued for the prescription drug during the previous 
81.15 	12-month period;
81.16 	(7) (10) the manufacturer's net profit attributable to the prescription drug during the 
81.17 	previous 12-month period;
81.18 	(8) (11) the total amount of financial assistance the manufacturer has provided through 
81.19 	patient prescription assistance programs during the previous 12-month period, if applicable;
81.20 	(9) (12) any agreement between a manufacturer and another entity contingent upon any 
81.21 	delay in offering to market a generic version of the prescription drug;
81.22 	(10) (13) the patent expiration date of the prescription drug if it is under patent;
81.23 	(11) (14) the name and location of the company that manufactured the drug;
81.24 	(12) (15) if a brand name prescription drug, the highest price paid for the prescription 
81.25 	drug during the previous calendar year in the ten countries, excluding the United States, 
81.26 	that charged the highest single price for the prescription drug; and
81.27 	(13) (16) if the prescription drug was acquired by the manufacturer during the previous 
81.28 	12-month period, all of the following information:
81.29 	(i) price at acquisition;
81.30 	(ii) price in the calendar year prior to acquisition;
82.1 	(iii) name of the company from which the drug was acquired;
82.2 	(iv) date of acquisition; and
82.3 	(v) acquisition price.
82.4 	(c) The manufacturer may submit any documentation necessary to support the information 
82.5 	reported under this subdivision.

82.6 	Sec. 8. Minnesota Statutes 2024, section 62J.84, subdivision 6, is amended to read:
82.7 		Subd. 6.Public posting of prescription drug price information. (a) The commissioner 
82.8 	shall post on the department's website, or may contract with a private entity or consortium 
82.9 	that satisfies the standards of section 62U.04, subdivision 6, to meet this requirement, the 
82.10 	following information:
82.11 	(1) a list of the prescription drugs reported under subdivisions 3, 4, and 11 to 14 and the 
82.12 	manufacturers of those prescription drugs; and
82.13 	(2) a list of reporting entities that reported prescription drug price information under 
82.14 	subdivisions 3, 4, and 11 to 14; and
82.15 	(2) (3) information reported to the commissioner under subdivisions 3, 4, and 11 to 14, 
82.16 	aggregated on a per-drug basis in a manner that does not allow the identification of a reporting 
82.17 	entity that is not the manufacturer of the drug.
82.18 	(b) The information must be published in an easy-to-read format and in a manner that 
82.19 	identifies the information that is disclosed on a per-drug basis and must not be aggregated 
82.20 	in a manner that prevents the identification of the prescription drug.
82.21 	(c) The commissioner shall not post to the department's website or a private entity 
82.22 	contracting with the commissioner shall not post any information described in this section 
82.23 	if the information is not public data under section 13.02, subdivision 8a; or is trade secret 
82.24 	information under section 13.37, subdivision 1, paragraph (b); or is trade secret information 
82.25 	pursuant to the Defend Trade Secrets Act of 2016, United States Code, title 18, section 
82.26 	1836, as amended. If a reporting entity believes information should be withheld from public 
82.27 	disclosure pursuant to this paragraph, the reporting entity must clearly and specifically 
82.28 	identify that information and describe the legal basis in writing when the reporting entity 
82.29 	submits the information under this section. If the commissioner disagrees with the reporting 
82.30 	entity's request to withhold information from public disclosure, the commissioner shall 
82.31 	provide the reporting entity written notice that the information will be publicly posted 30 
82.32 	days after the date of the notice.
83.1 	(d) If the commissioner withholds any information from public disclosure pursuant to 
83.2 	this subdivision, the commissioner shall post to the department's website a report describing 
83.3 	the nature of the information and the commissioner's basis for withholding the information 
83.4 	from disclosure.
83.5 	(e) To the extent the information required to be posted under this subdivision is collected 
83.6 	and made available to the public by another state, by the University of Minnesota, or through 
83.7 	an online drug pricing reference and analytical tool, the commissioner may reference the 
83.8 	availability of this drug price data from another source including, within existing 
83.9 	appropriations, creating the ability of the public to access the data from the source for 
83.10 	purposes of meeting the reporting requirements of this subdivision.

83.11 	Sec. 9. Minnesota Statutes 2024, section 62J.84, subdivision 10, is amended to read:
83.12 		Subd. 10.Notice of prescription drugs of substantial public interest. (a) No later than 
83.13 	January 31, 2024, and quarterly thereafter, the commissioner shall produce and post on the 
83.14 	department's website a list of prescription drugs that the commissioner determines to represent 
83.15 	a substantial public interest and for which the commissioner intends to request data under 
83.16 	subdivisions 11 to 14, subject to paragraph (c). The commissioner shall base its inclusion 
83.17 	of prescription drugs on any information the commissioner determines is relevant to providing 
83.18 	greater consumer awareness of the factors contributing to the cost of prescription drugs in 
83.19 	the state, and the commissioner shall consider drug product families that include prescription 
83.20 	drugs:
83.21 	(1) that triggered reporting under subdivision 3 or 4 during the previous calendar quarter;
83.22 	(2) for which average claims paid amounts exceeded 125 percent of the price as of the 
83.23 	claim incurred date during the most recent calendar quarter for which claims paid amounts 
83.24 	are available; or
83.25 	(3) that are identified by members of the public during a public comment process.
83.26 	(b) Not sooner than 30 days after publicly posting the list of prescription drugs under 
83.27 	paragraph (a), the department shall notify, via email, reporting entities registered with the 
83.28 	department of:
83.29 	(1) the requirement to report under subdivisions 11 to 14.; and
83.30 	(2) the reporting period for which data must be provided.
83.31 	(c) The commissioner must not designate more than 500 prescription drugs as having a 
83.32 	substantial public interest in any one notice.
84.1 	(d) Notwithstanding subdivision 16, the commissioner is exempt from chapter 14, 
84.2 	including section 14.386, in implementing this subdivision.

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

84.4 	Sec. 10. Minnesota Statutes 2024, section 62J.84, subdivision 11, is amended to read:
84.5 		Subd. 11.Manufacturer prescription drug substantial public interest reporting. (a) 
84.6 	Beginning January 1, 2024, a manufacturer must submit to the commissioner the information 
84.7 	described in paragraph (b) for any prescription drug:
84.8 	(1) included in a notification to report issued to the manufacturer by the department 
84.9 	under subdivision 10;
84.10 	(2) which the manufacturer manufactures or repackages;
84.11 	(3) for which the manufacturer sets the wholesale acquisition cost; and
84.12 	(4) for which the manufacturer has not submitted data under subdivision 3 during the 
84.13 	120-day period prior to the date of the notification to report.
84.14 	(b) For each of the drugs described in paragraph (a), the manufacturer shall submit to 
84.15 	the commissioner no later than 60 days after the date of the notification to report, in the 
84.16 	form and manner prescribed by the commissioner, the following information, if applicable:
84.17 	(1) a description of the drug with the following listed separately:
84.18 	(i) the national drug code;
84.19 	(ii) the product name;
84.20 	(iii) the dosage form;
84.21 	(iv) the strength; and
84.22 	(v) the package size;
84.23 	(2) the price of the drug product on the later of:
84.24 	(i) the day one year prior to the date of the notification to report;
84.25 	(ii) the introduced to market date; or
84.26 	(iii) the acquisition date;
84.27 	(3) the price of the drug product on the date of the notification to report;
84.28 	(4) the year the prescription drug was introduced for sale in the United States;
85.1 	(4) (5) the introductory price of the prescription drug when it was introduced for sale in 
85.2 	the United States and the price of the drug on the last day of each of the five calendar years 
85.3 	preceding the date of the notification to report;
85.4 	(5) (6) the direct costs incurred during the 12-month period prior to the date of reporting 
85.5 	period specified in the notification to report by the manufacturers that are associated with 
85.6 	the prescription drug, listed separately:
85.7 	(i) to manufacture the prescription drug;
85.8 	(ii) to market the prescription drug, including advertising costs; and
85.9 	(iii) to distribute the prescription drug;
85.10 	(6) (7) the number of units of the prescription drug sold during the 12-month period 
85.11 	prior to the date of reporting period specified in the notification to report;
85.12 	(7) (8) the total sales revenue for the prescription drug during the 12-month period prior 
85.13 	to the date of reporting period specified in the notification to report;
85.14 	(8) (9) the total rebate payable amount accrued for the prescription drug during the 
85.15 	12-month period prior to the date of reporting period specified in the notification to report;
85.16 	(9) (10) the manufacturer's net profit attributable to the prescription drug during the 
85.17 	12-month period prior to the date of reporting period specified in the notification to report;
85.18 	(10) (11) the total amount of financial assistance the manufacturer has provided through 
85.19 	patient prescription assistance programs during the 12-month period prior to the date of
85.20 	reporting period specified in the notification to report, if applicable;
85.21 	(11) (12) any agreement between a manufacturer and another entity contingent upon 
85.22 	any delay in offering to market a generic version of the prescription drug;
85.23 	(12) (13) the patent expiration date of the prescription drug if the prescription drug is 
85.24 	under patent;
85.25 	(13) (14) the name and location of the company that manufactured the drug;
85.26 	(14) (15) if the prescription drug is a brand name prescription drug, the ten countries 
85.27 	other than the United States that paid the highest prices for the prescription drug during the 
85.28 	previous calendar year and their prices; and
85.29 	(15) (16) if the prescription drug was acquired by the manufacturer within a 12-month 
85.30 	period prior to the date of the reporting period specified in the notification to report, all of 
85.31 	the following information:
86.1 	(i) the price at acquisition;
86.2 	(ii) the price in the calendar year prior to acquisition;
86.3 	(iii) the name of the company from which the drug was acquired;
86.4 	(iv) the date of acquisition; and
86.5 	(v) the acquisition price.
86.6 	(c) The manufacturer may submit any documentation necessary to support the information 
86.7 	reported under this subdivision.

86.8 	Sec. 11. Minnesota Statutes 2024, section 62J.84, subdivision 12, is amended to read:
86.9 		Subd. 12.Pharmacy prescription drug substantial public interest reporting. (a) 
86.10 	Beginning January 1, 2024, a pharmacy must submit to the commissioner the information 
86.11 	described in paragraph (b) for any prescription drug:
86.12 	(1) included in a notification to report issued to the pharmacy by the department under 
86.13 	subdivision 10.; and
86.14 	(2) that the pharmacy dispensed in Minnesota or mailed to a Minnesota address.
86.15 	(b) For each of the drugs described in paragraph (a), the pharmacy shall submit to the 
86.16 	commissioner no later than 60 days after the date of the notification to report, in the form 
86.17 	and manner prescribed by the commissioner, the following information, if applicable:
86.18 	(1) a description of the drug with the following listed separately:
86.19 	(i) the national drug code;
86.20 	(ii) the product name;
86.21 	(iii) the dosage form;
86.22 	(iv) the strength; and
86.23 	(v) the package size;
86.24 	(2) the number of units of the drug acquired during the 12-month period prior to the date 
86.25 	of reporting period specified in the notification to report;
86.26 	(3) the total spent before rebates by the pharmacy to acquire the drug during the 12-month 
86.27 	period prior to the date of reporting period specified in the notification to report;
86.28 	(4) the total rebate receivable amount accrued by the pharmacy for the drug during the 
86.29 	12-month period prior to the date of reporting period specified in the notification to report;
87.1 	(5) the number of pricing units of the drug dispensed by the pharmacy during the 
87.2 	12-month period prior to the date of reporting period specified in the notification to report;
87.3 	(6) the total payment receivable by the pharmacy for dispensing the drug including 
87.4 	ingredient cost, dispensing fee, and administrative fees during the 12-month period prior 
87.5 	to the date of reporting period specified in the notification to report;
87.6 	(7) the total rebate payable amount accrued by the pharmacy for the drug during the 
87.7 	12-month period prior to the date of reporting period specified in the notification to report; 
87.8 	and
87.9 	(8) the average cash price paid by consumers per pricing unit for prescriptions dispensed 
87.10 	where no claim was submitted to a health care service plan or health insurer during the 
87.11 	12-month period prior to the date of reporting period specified in the notification to report.
87.12 	(c) The pharmacy may submit any documentation necessary to support the information 
87.13 	reported under this subdivision.
87.14 	(d) The commissioner may grant extensions, exemptions, or both to compliance with 
87.15 	the requirements of paragraphs (a) and (b) by small or independent pharmacies, if compliance 
87.16 	with paragraphs (a) and (b) would represent a hardship or undue burden to the pharmacy. 
87.17 	The commissioner may establish procedures for small or independent pharmacies to request 
87.18 	extensions or exemptions under this paragraph.

87.19 	Sec. 12. Minnesota Statutes 2024, section 62J.84, subdivision 13, is amended to read:
87.20 		Subd. 13.PBM prescription drug substantial public interest reporting. (a) Beginning 
87.21 	January 1, 2024, a PBM must submit to the commissioner the information described in 
87.22 	paragraph (b) for any prescription drug:
87.23 	(1) included in a notification to report issued to the PBM by the department under 
87.24 	subdivision 10.; and
87.25 	(2) for which the PBM fulfilled pharmacy benefit management duties for Minnesota 
87.26 	residents.
87.27 	(b) For each of the drugs described in paragraph (a), the PBM shall submit to the 
87.28 	commissioner no later than 60 days after the date of the notification to report, in the form 
87.29 	and manner prescribed by the commissioner, the following information, if applicable:
87.30 	(1) a description of the drug with the following listed separately:
87.31 	(i) the national drug code;
88.1 	(ii) the product name;
88.2 	(iii) the dosage form;
88.3 	(iv) the strength; and
88.4 	(v) the package size;
88.5 	(2) the number of pricing units of the drug product filled for which the PBM administered 
88.6 	claims during the 12-month period prior to the date of reporting period specified in the 
88.7 	notification to report;
88.8 	(3) the total reimbursement amount accrued and payable to pharmacies for pricing units 
88.9 	of the drug product filled for which the PBM administered claims during the 12-month 
88.10 	period prior to the date of reporting period specified in the notification to report;
88.11 	(4) the total reimbursement or administrative fee amount, or both, accrued and receivable 
88.12 	from payers for pricing units of the drug product filled for which the PBM administered 
88.13 	claims during the 12-month period prior to the date of reporting period specified in the 
88.14 	notification to report;
88.15 	(5) the total administrative fee amount accrued and receivable from payers for pricing 
88.16 	units of the drug product filled during the reporting period specified in the notification to 
88.17 	report;
88.18 	(5) (6) the total rebate receivable amount accrued by the PBM for the drug product 
88.19 	during the 12-month period prior to the date of reporting period specified in the notification 
88.20 	to report; and
88.21 	(6) (7) the total rebate payable amount accrued by the PBM for the drug product during 
88.22 	the 12-month period prior to the date of reporting period specified in the notification to 
88.23 	report.
88.24 	(c) The PBM may submit any documentation necessary to support the information 
88.25 	reported under this subdivision.

88.26 	Sec. 13. Minnesota Statutes 2024, section 62J.84, subdivision 14, is amended to read:
88.27 		Subd. 14.Wholesale drug distributor prescription drug substantial public interest 
88.28 	reporting. (a) Beginning January 1, 2024, a wholesale drug distributor that distributes 
88.29 	prescription drugs, for which it is not the manufacturer, to persons or entities, or both, other 
88.30 	than a consumer or patient in the state, must submit to the commissioner the information 
88.31 	described in paragraph (b) for any prescription drug:
89.1 	(1) included in a notification to report issued to the wholesale drug distributor by the 
89.2 	department under subdivision 10.; and
89.3 	(2) that the wholesale drug distributor distributed within or into Minnesota.
89.4 	(b) For each of the drugs described in paragraph (a), the wholesale drug distributor shall 
89.5 	submit to the commissioner no later than 60 days after the date of the notification to report, 
89.6 	in the form and manner prescribed by the commissioner, the following information, if 
89.7 	applicable:
89.8 	(1) a description of the drug with the following listed separately:
89.9 	(i) the national drug code;
89.10 	(ii) the product name;
89.11 	(iii) the dosage form;
89.12 	(iv) the strength; and
89.13 	(v) the package size;
89.14 	(2) the number of units of the drug product acquired by the wholesale drug distributor 
89.15 	during the 12-month period prior to the date of reporting period specified in the notification 
89.16 	to report;
89.17 	(3) the total spent before rebates by the wholesale drug distributor to acquire the drug 
89.18 	product during the 12-month period prior to the date of reporting period specified in the 
89.19 	notification to report;
89.20 	(4) the total rebate receivable amount accrued by the wholesale drug distributor for the 
89.21 	drug product during the 12-month period prior to the date of reporting period specified in
89.22 	the notification to report;
89.23 	(5) the number of units of the drug product sold by the wholesale drug distributor during 
89.24 	the 12-month period prior to the date of reporting period specified in the notification to 
89.25 	report;
89.26 	(6) gross revenue from sales in the United States generated by the wholesale drug 
89.27 	distributor for this the drug product during the 12-month period prior to the date of reporting 
89.28 	period specified in the notification to report; and
89.29 	(7) total rebate payable amount accrued by the wholesale drug distributor for the drug 
89.30 	product during the 12-month period prior to the date of reporting period specified in the 
89.31 	notification to report.
90.1 	(c) The wholesale drug distributor may submit any documentation necessary to support 
90.2 	the information reported under this subdivision.

90.3 	Sec. 14. Minnesota Statutes 2024, section 62J.84, subdivision 15, is amended to read:
90.4 		Subd. 15.Registration requirements. Beginning January 1, 2024, A reporting entity 
90.5 	subject to this chapter shall register, or update existing registration information, with the 
90.6 	department in a form and manner prescribed by the commissioner by January 30 each year.

90.7 	EFFECTIVE DATE. This section is effective January 1, 2026.

90.8 	Sec. 15. Minnesota Statutes 2024, section 62K.10, subdivision 2, is amended to read:
90.9 		Subd. 2.Primary care; mental health services; general hospital services Time and 
90.10 	distance standards. The maximum travel distance or time shall be the lesser of 30 miles 
90.11 	or 30 minutes to the nearest provider of each of the following services: primary care services, 
90.12 	mental health services, and general hospital services Health carriers must meet the time and 
90.13 	distance standards under Code of Federal Regulations, title 45, section 155.1050.

90.14 	Sec. 16. Minnesota Statutes 2024, section 62K.10, subdivision 5, is amended to read:
90.15 		Subd. 5.Waiver. (a) A health carrier may apply to the commissioner of health for a 
90.16 	waiver of the requirements in subdivision 2 or 3 if it is unable to meet the statutory 
90.17 	requirements. A waiver application must be submitted on a form provided by the 
90.18 	commissioner, must be accompanied by an application fee of $500 for each application to 
90.19 	waive the requirements in subdivision 2 or 3 for one or more provider types per county, and 
90.20 	must:
90.21 	(1) demonstrate with specific data that the requirement of subdivision 2 or 3 is not 
90.22 	feasible in a particular service area or part of a service area; and
90.23 	(2) include specific information as to the steps that were and will be taken to address 
90.24 	the network inadequacy, and, for steps that will be taken prospectively to address network 
90.25 	inadequacy, the time frame within which those steps will be taken.
90.26 	(b) The commissioner shall establish guidelines for evaluating waiver applications, 
90.27 	standards governing approval or denial of a waiver application, and standards for steps that 
90.28 	health carriers must take to address the network inadequacy and allow the health carrier to 
90.29 	meet network adequacy requirements within a reasonable time period. The commissioner 
90.30 	shall review each waiver application using these guidelines and standards and shall approve 
90.31 	a waiver application only if:
91.1 	(1) the standards for approval established by the commissioner are satisfied; and
91.2 	(2) the steps that were and will be taken to address the network inadequacy and the time 
91.3 	frame for taking these steps satisfy the standards established by the commissioner.
91.4 	(c) If, in its waiver application, a health carrier demonstrates to the commissioner that 
91.5 	there are no providers of a specific type or specialty in a county, the commissioner may 
91.6 	approve a waiver in which the health carrier is allowed to address network inadequacy in 
91.7 	that county by providing for patient access to providers of that type or specialty via telehealth, 
91.8 	as defined in section 62A.673, subdivision 2.
91.9 	(d) The waiver shall automatically expire after one year. Upon or prior to expiration of 
91.10 	a waiver, a health carrier unable to meet the requirements in subdivision 2 or 3 must submit 
91.11 	a new waiver application under paragraph (a) and must also submit evidence of steps the 
91.12 	carrier took to address the network inadequacy. When the commissioner reviews a waiver 
91.13 	application for a network adequacy requirement which has been waived for the carrier for 
91.14 	the most recent one-year period, the commissioner shall also examine the steps the carrier 
91.15 	took during that one-year period to address network inadequacy, and shall only approve a 
91.16 	subsequent waiver application that satisfies the requirements in paragraph (b), demonstrates 
91.17 	that the carrier took the steps it proposed to address network inadequacy, and explains why 
91.18 	the carrier continues to be unable to satisfy the requirements in subdivision 2 or 3.
91.19 	(e) Application fees collected under this subdivision shall be deposited in the state 
91.20 	government special revenue fund in the state treasury.

91.21 	Sec. 17. Minnesota Statutes 2024, section 62K.10, subdivision 6, is amended to read:
91.22 		Subd. 6.Referral centers. Subdivisions Subdivision 2 and 3 shall not apply if an enrollee 
91.23 	is referred to a referral center for health care services. A referral center is a medical facility 
91.24 	that provides highly specialized medical care, including but not limited to organ transplants. 
91.25 	A health carrier or preferred provider organization may consider the volume of services 
91.26 	provided annually, case mix, and severity adjusted mortality and morbidity rates in 
91.27 	designating a referral center.

91.28 	Sec. 18. Minnesota Statutes 2024, section 103I.005, subdivision 17b, is amended to read:
91.29 		Subd. 17b.Temporary boring. "Temporary boring" means an excavation that is 15 
91.30 	feet or more in depth, is sealed within 72 hours of the time of construction, and is drilled, 
91.31 	cored, washed, driven, dug, jetted, or otherwise constructed to:
92.1 	(1) conduct physical, chemical, or biological testing of groundwater, including 
92.2 	groundwater quality monitoring;
92.3 	(2) monitor or measure physical, chemical, radiological, or biological parameters of 
92.4 	earth materials or earth fluids, including hydraulic conductivity, bearing capacity, or 
92.5 	resistance;
92.6 	(3) measure groundwater levels, including use of a piezometer; and or
92.7 	(4) determine groundwater flow direction or velocity.

92.8 	Sec. 19. Minnesota Statutes 2024, section 103I.101, subdivision 2, is amended to read:
92.9 		Subd. 2.Duties. The commissioner shall:
92.10 	(1) regulate the drilling, construction, modification, repair, and sealing of wells and 
92.11 	borings;
92.12 	(2) examine and license:
92.13 	(i) well contractors;
92.14 	(ii) persons constructing, repairing, and sealing bored geothermal heat exchangers;
92.15 	(iii) persons modifying or repairing well casings above the pitless unit or adaptor, well 
92.16 	screens, well diameters, and installing well pumps or pumping equipment;
92.17 	(iv) persons constructing, repairing, and sealing dewatering wells;
92.18 	(v) persons sealing wells or borings; and
92.19 	(vi) persons excavating or drilling holes for the installation of elevator borings; and
92.20 	(vii) persons installing, removing, or maintaining groundwater thermal exchange devices 
92.21 	and submerged closed loop heat exchangers;
92.22 	(3) examine and license environmental well contractors;
92.23 	(4) license explorers engaged in exploratory boring and examine individuals who 
92.24 	supervise or oversee exploratory boring;
92.25 	(5) after consultation with the commissioner of natural resources and the Pollution 
92.26 	Control Agency, establish standards for the design, location, construction, repair, and sealing 
92.27 	of wells and borings within the state; and
92.28 	(6) issue permits for wells, groundwater thermal devices, bored geothermal heat 
92.29 	exchangers, installation of submerged closed loop heat exchanger systems, and elevator 
92.30 	borings.

93.1 	Sec. 20. Minnesota Statutes 2024, section 103I.101, subdivision 5, is amended to read:
93.2 		Subd. 5.Commissioner to adopt rules. The commissioner shall adopt rules including:
93.3 	(1) issuance of licenses for:
93.4 	(i) qualified well contractors;
93.5 	(ii) persons constructing, repairing, and sealing dewatering wells;
93.6 	(iii) persons sealing wells or borings;
93.7 	(iv) persons installing, modifying, or repairing well casings, well screens, well diameters, 
93.8 	and well pumps or pumping equipment;
93.9 	(v) persons constructing, repairing, and sealing bored geothermal heat exchangers;
93.10 	(vi) persons constructing, repairing, and sealing elevator borings; and
93.11 	(vii) persons constructing, repairing, and sealing environmental wells; and
93.12 	(viii) persons installing, removing, or maintaining groundwater thermal exchange devices 
93.13 	and submerged closed loop heat exchangers;
93.14 	(2) establishment of conditions for examination and review of applications for license 
93.15 	and certification;
93.16 	(3) establishment of conditions for revocation and suspension of license and certification;
93.17 	(4) establishment of minimum standards for design, location, construction, repair, and 
93.18 	sealing of wells and borings to implement the purpose and intent of this chapter;
93.19 	(5) establishment of a system for reporting on wells and borings drilled and sealed;
93.20 	(6) establishment of standards for the construction, maintenance, sealing, and water 
93.21 	quality monitoring of wells in areas of known or suspected contamination;
93.22 	(7) establishment of wellhead protection measures for wells serving public water supplies;
93.23 	(8) establishment of procedures to coordinate collection of well and boring data with 
93.24 	other state and local governmental agencies;
93.25 	(9) establishment of criteria and procedures for submission of well and boring logs, 
93.26 	formation samples or well or boring cuttings, water samples, or other special information 
93.27 	required for and water resource mapping; and
93.28 	(10) establishment of minimum standards for design, location, construction, maintenance, 
93.29 	repair, sealing, safety, and resource conservation related to borings, including exploratory 
93.30 	borings as defined in section 103I.005, subdivision 9.

94.1 	Sec. 21. Minnesota Statutes 2024, section 103I.101, is amended by adding a subdivision 
94.2 	to read:
94.3 		Subd. 7.Inspection. At a minimum, the commissioner of health shall inspect at least 
94.4 	25 percent of well construction notifications each year under this section.

94.5 	Sec. 22. Minnesota Statutes 2024, section 138.912, subdivision 1, is amended to read:
94.6 		Subdivision 1.Establishment. The healthy eating, here at home program is established 
94.7 	to provide incentives for low-income Minnesotans to use federal Supplemental Nutrition 
94.8 	Assistance Program (SNAP) or SUN bucks (Summer EBT) benefits for healthy purchases 
94.9 	at Minnesota-based farmers' markets, mobile markets, and direct-farmer sales, including 
94.10 	community-supported agriculture shares.

94.11 	Sec. 23. Minnesota Statutes 2024, section 138.912, subdivision 2, is amended to read:
94.12 		Subd. 2.Definitions. (a) The definitions in this subdivision apply to this section.
94.13 	(b) "Healthy eating, here at home" means a program administered by the Minnesota 
94.14 	Humanities Center Department of Health to provide incentives for low-income Minnesotans 
94.15 	to use SNAP or SUN bucks (Summer EBT) benefits for healthy purchases at Minnesota-based 
94.16 	farmers' markets.
94.17 	(c) "Healthy purchases" means SNAP-eligible foods.
94.18 	(d) "Minnesota-based farmers' market" means a physical market as defined in section 
94.19 	28A.151, subdivision 1, paragraph (b), and also includes mobile markets and direct-farmer 
94.20 	sales, including through a community-supported agriculture model.
94.21 	(e) "Voucher" means a physical or electronic credit.
94.22 	(f) "Eligible household" means an individual or family that is determined to be a recipient 
94.23 	of SNAP or SUN bucks (Summer EBT).

94.24 	Sec. 24. Minnesota Statutes 2024, section 138.912, subdivision 3, is amended to read:
94.25 		Subd. 3.Grants. The Minnesota Humanities Center commissioner shall allocate grant 
94.26 	funds to nonprofit organizations that work with Minnesota-based farmers' markets to provide 
94.27 	up to $10 vouchers to SNAP or SUN bucks (Summer EBT) participants who use electronic 
94.28 	benefits transfer (EBT) cards for healthy purchases. Funds may also be provided for vouchers 
94.29 	distributed through nonprofit organizations engaged in healthy cooking and food education 
94.30 	outreach to eligible households for use at farmers' markets. Funds appropriated under this 
94.31 	section may not be used for healthy cooking classes or food education outreach. When 
95.1 	awarding grants, the Minnesota Humanities Center commissioner must consider how the 
95.2 	nonprofit organizations will achieve geographic balance, including specific efforts to reach 
95.3 	eligible households across the state, and the organizations' capacity to manage the 
95.4 	programming and outreach.

95.5 	Sec. 25. Minnesota Statutes 2024, section 138.912, subdivision 4, is amended to read:
95.6 		Subd. 4.Household eligibility; participation. To be eligible for a healthy eating, here 
95.7 	at home voucher, an eligible household must meet the Minnesota SNAP or SUN bucks 
95.8 	(Summer EBT) eligibility requirements under section 142F.10.

95.9 	Sec. 26. Minnesota Statutes 2024, section 138.912, subdivision 6, is amended to read:
95.10 		Subd. 6.Program reporting. The nonprofit organizations that receive grant funds must 
95.11 	report annually to the Minnesota Humanities Center commissioner with information regarding 
95.12 	the operation of the program, including the number of vouchers issued and the number of 
95.13 	people served. To the extent practicable, the nonprofit organizations must report on the 
95.14 	usage of the vouchers and evaluate the program's effectiveness.

95.15 	Sec. 27. Minnesota Statutes 2024, section 144.50, is amended by adding a subdivision to 
95.16 	read:
95.17 		Subd. 8.Controlling person. (a) "Controlling person" includes the following individuals, 
95.18 	if applicable, as deemed appropriate by the hospital:
95.19 	(1) any officer of the organization;
95.20 	(2) any hospital administrator; and
95.21 	(3) any managerial official.
95.22 	(b) Controlling person does not include:
95.23 	(1) a bank, savings bank, trust company, savings association, credit union, industrial 
95.24 	loan and thrift company, investment banking firm, or insurance company, unless the entity 
95.25 	directly or through a subsidiary operates a hospital;
95.26 	(2) government and government-sponsored entities such as the United States Department 
95.27 	of Housing and Urban Development, Ginnie Mae, Fannie Mae, Freddie Mac, and the 
95.28 	Minnesota Housing Finance Agency which provide loans, financing, and insurance products 
95.29 	for housing sites;
96.1 	(3) an individual who is a state or federal official, a state or federal employee, or a 
96.2 	member or employee of the governing body of a political subdivision of the state or federal 
96.3 	government that operates one or more hospitals, unless the individual is also an officer, 
96.4 	owner, or managerial official of the hospital; receives any remuneration from a hospital; or 
96.5 	is a controlling person not otherwise excluded in this subdivision;
96.6 	(4) a natural person who is a member of a tax-exempt organization under section 290.05, 
96.7 	subdivision 2, unless the individual is also a controlling person not otherwise excluded in 
96.8 	this subdivision; and
96.9 	(5) a natural person who owns less than five percent of the outstanding common shares 
96.10 	of a corporation:
96.11 	(i) whose securities are exempt by virtue of section 80A.45, clause (6); or
96.12 	(ii) whose transactions are exempt by virtue of section 80A.46, clause (7).

96.13 	Sec. 28. Minnesota Statutes 2024, section 144.555, subdivision 1a, is amended to read:
96.14 		Subd. 1a.Notice of closing, curtailing operations, relocating services, or ceasing to 
96.15 	offer certain services; hospitals. (a) The controlling persons of a hospital licensed under 
96.16 	sections 144.50 to 144.56 or a hospital campus must notify the commissioner of health, the 
96.17 	public, and others at least 182 days before the hospital or hospital campus voluntarily plans 
96.18 	to implement one of the scheduled actions listed in paragraph (b), unless the controlling 
96.19 	persons can demonstrate to the commissioner that meeting the advanced notice requirement 
96.20 	is not feasible and the commissioner approves a shorter advanced notice.
96.21 	(b) The following scheduled actions require advanced notice under paragraph (a):
96.22 	(1) ceasing operations;
96.23 	(2) curtailing operations to the extent that emergency department services or patients
96.24 	receiving inpatient health services must be relocated;
96.25 	(3) relocating the provision of inpatient health services or emergency department services 
96.26 	to another hospital or another hospital campus; or
96.27 	(4) ceasing to offer inpatient maternity care and inpatient newborn care services, inpatient 
96.28 	intensive care unit services, inpatient mental health services, or inpatient substance use 
96.29 	disorder treatment services.
96.30 	(c) A notice required under this subdivision must comply with the requirements in 
96.31 	subdivision 1d.
97.1 	(d) The commissioner shall cooperate with the controlling persons and advise them 
97.2 	about relocating the patients.
97.3 	(e) For purposes of this subdivision, "inpatient" means services that are provided to a 
97.4 	person who has been admitted to a hospital for bed occupancy.

97.5 	Sec. 29. Minnesota Statutes 2024, section 144.555, subdivision 1b, is amended to read:
97.6 		Subd. 1b.Public hearing. Within 30 days after receiving notice under subdivision 1a, 
97.7 	the commissioner shall conduct a public hearing on the scheduled cessation of operations, 
97.8 	curtailment of operations, relocation of health services, or cessation in offering health 
97.9 	services. The commissioner must provide adequate public notice of the hearing in a time 
97.10 	and manner determined by the commissioner. The commissioner must ensure that video 
97.11 	conferencing technology is used at the public hearing to allow members of the public to 
97.12 	view and participate in the hearing. The controlling persons of the hospital or hospital 
97.13 	campus must participate in the public hearing. The public hearing must be held at a location 
97.14 	that is within ten miles of the hospital or hospital campus or with the commissioner's approval 
97.15 	as close as is practicable, that can accommodate the hearing's anticipated public attendance, 
97.16 	and that is provided or arranged by the hospital or hospital campus. Video conferencing 
97.17 	technology must be used to allow members of the public to view and participate in the 
97.18 	hearing. The public hearing must include:
97.19 	(1) an explanation by the controlling persons of the reasons for ceasing or curtailing 
97.20 	operations, relocating health services, or ceasing to offer any of the listed health services;
97.21 	(2) a description of the actions that controlling persons will take to ensure that residents 
97.22 	in the hospital's or campus's service area have continued access to the health services being 
97.23 	eliminated, curtailed, or relocated;
97.24 	(3) an opportunity for at least one hour of public testimony on the scheduled cessation 
97.25 	or curtailment of operations, relocation of health services, or cessation in offering any of 
97.26 	the listed health services, and on the hospital's or campus's plan to ensure continued access 
97.27 	to those health services being eliminated, curtailed, or relocated; and
97.28 	(4) an opportunity for the controlling persons to respond to questions from interested 
97.29 	persons.

98.1 	Sec. 30. [144.6584] INFORMED CONSENT REQUIRED FOR SENSITIVE 
98.2 	EXAMINATIONS.
98.3 		Subdivision 1.Definition. For purposes of this section, "sensitive examination" means 
98.4 	a pelvic, breast, urogenital, or rectal examination.
98.5 		Subd. 2.Informed consent required; exceptions. A health professional, or a student 
98.6 	or resident participating in a course of instruction, clinical training, or a residency program 
98.7 	for a health profession, must not perform a sensitive examination on an anesthetized or 
98.8 	unconscious patient unless:
98.9 	(1) the patient or the patient's legally authorized representative provided prior written, 
98.10 	informed consent to the sensitive examination for preventive, diagnostic, or treatment 
98.11 	purposes;
98.12 	(2) the patient or the patient's legally authorized representative provided prior written, 
98.13 	informed consent to the sensitive examination being performed solely for educational or 
98.14 	training purposes;
98.15 	(3) the patient or the patient's legally authorized representative provided prior written, 
98.16 	informed consent to a surgical procedure or diagnostic examination and the sensitive 
98.17 	examination is related to that surgical procedure or diagnostic examination and is medically 
98.18 	necessary;
98.19 	(4) the patient is unconscious and incapable of providing informed consent and the 
98.20 	sensitive examination is medically necessary for diagnostic or treatment purposes; or
98.21 	(5) the sensitive examination is performed by a health professional qualified to perform 
98.22 	the examination and is performed for purposes of collecting evidence or documenting 
98.23 	injuries.
98.24 		Subd. 3.Ground for disciplinary action. A person who violates this section is subject 
98.25 	to disciplinary action by the health-related licensing board regulating the person.

98.26 	Sec. 31. Minnesota Statutes 2024, section 145.987, subdivision 1, is amended to read:
98.27 		Subdivision 1.Establishment; composition of advisory council. The health equity 
98.28 	advisory and leadership (HEAL) council consists of 18 members appointed by the 
98.29 	commissioner of health, including but not limited to members who will provide representation 
98.30 	from the following groups:
98.31 	(1) African American and African heritage communities;
98.32 	(2) Asian American and Pacific Islander communities;
99.1 	(3) Latina/o/x communities;
99.2 	(4) American Indian communities and Tribal governments and nations;
99.3 	(5) disability communities;
99.4 	(6) lesbian, gay, bisexual, transgender, and queer (LGBTQ) communities; and
99.5 	(7) representatives who reside outside the seven-county metropolitan area.

99.6 	Sec. 32. Minnesota Statutes 2024, section 145.987, subdivision 2, is amended to read:
99.7 		Subd. 2.Organization and meetings. (a) Terms, compensation, and removal of members 
99.8 	of the advisory council shall be as provided in section 15.059, subdivisions 2 to 4, except 
99.9 	that terms for advisory council members shall be for two years. Members may be reappointed 
99.10 	to serve up to two additional terms. Notwithstanding section 15.059, subdivision 6, the 
99.11 	advisory council shall not expire. The commissioner shall recommend appointments to 
99.12 	replace members vacating their positions in a timely manner, no more than three months 
99.13 	after the advisory council reviews panel recommendations.
99.14 	(b) The commissioner must convene meetings at least quarterly and must provide meeting 
99.15 	space and administrative support to the advisory council. Subcommittees may be convened 
99.16 	as necessary. Advisory council meetings are subject to the Open Meeting Law under chapter 
99.17 	13D.

99.18 	Sec. 33. [148.781] CENTRAL SERVICE TECHNICIAN.
99.19 		Subdivision 1.Application. This section applies to persons who perform the functions 
99.20 	of a central service technician in a health care facility.
99.21 		Subd. 2.Definitions. For purposes of this section, the following terms have the meanings 
99.22 	given:
99.23 	(1) "central service technician" means a person who decontaminates, inspects, assembles, 
99.24 	packages, and sterilizes reusable medical instruments or devices used by a health care 
99.25 	facility;
99.26 	(2) "health care facility" means a hospital or ambulatory surgical center; and
99.27 	(3) "health care practitioner" means an individual regulated by a health-related licensing 
99.28 	board as defined in section 214.01, subdivision 2, or by the commissioner of health under 
99.29 	sections 148.511 to 148.5198, to the extent the individual provides services in a health care 
99.30 	facility and the tasks of a central service technician are within the individual's scope of 
100.1 	practice. Health care practitioner includes an intern, resident, or fellow who performs or 
100.2 	assists with surgery.
100.3 		Subd. 3.Requirements for central service technician. (a) A health care facility shall 
100.4 	employ or otherwise retain the services of a central service technician only if the central 
100.5 	service technician:
100.6 	(1) has successfully passed a nationally accredited examination for central service 
100.7 	technicians and holds and maintains one of the following credentials administered by a 
100.8 	nationally accredited central service technician credentialing organization: a certified 
100.9 	registered central service technician credential, a certified endoscope reprocessor credential, 
100.10 	a certified sterile processing and distribution technician credential, or a certified flexible 
100.11 	endoscope reprocessor credential; or
100.12 	(2) provides evidence that the person was employed by or was retained as a central 
100.13 	service technician by a health care facility on or before December 31, 2027.
100.14 	(b) A central service technician who does not meet the requirements of paragraph (a), 
100.15 	clause (1), shall have 24 months from the date of hire to obtain a certified registered central 
100.16 	service technician credential, a certified endoscope reprocessor credential, a certified sterile 
100.17 	processing and distribution technician credential, or a certified flexible endoscope reprocessor 
100.18 	credential.
100.19 	(c) A person who qualifies to operate as a central service technician in a health care 
100.20 	facility under paragraph (a) must annually complete ten hours of continuing education 
100.21 	credits to remain qualified to operate as a central service technician. The continuing education 
100.22 	required under this paragraph must be related to the functions of a central service technician.
100.23 	(d) Nothing in this subdivision shall prohibit the following persons from performing the 
100.24 	tasks or functions of a central service technician:
100.25 	(1) a health care practitioner;
100.26 	(2) a person who holds or maintains a registration, certification, or license by a nationally 
100.27 	accredited credentialing organization to perform health care services; or
100.28 	(3) a student or intern performing the functions of a central service technician under the 
100.29 	direct supervision of a health care practitioner as part of the student's or intern's training or 
100.30 	internship.
100.31 	(e) A health care facility shall, upon the written request of a central service technician, 
100.32 	verify in writing the central service technician's dates of employment or the contract period 
100.33 	during which the central service technician provided services to the health care facility.

101.1 	EFFECTIVE DATE. This section is effective 180 days after final enactment.

101.2 	Sec. 34. TRANSFER OF PROGRAM.
 101.3 	The healthy eating, here at home program is transferred from the Minnesota Humanities 
101.4 	Center to the Department of Health on July 1, 2025. The provisions of Minnesota Statutes, 
101.5 	section 15.039, apply to this transfer.

101.6 	Sec. 35. REVISOR INSTRUCTION.
 101.7 	The revisor of statutes shall renumber Minnesota Statutes, section 138.912, as section 
101.8 	144.0554. The revisor shall make any cross-reference changes necessary resulting from the 
101.9 	renumbering of the healthy eating, here at home program.

101.10 	Sec. 36. REPEALER.
 101.11 	Minnesota Statutes 2024, section 62K.10, subdivision 3, is repealed.

101.12 	ARTICLE 3
101.13 	HEALTH LICENSING BOARDS

101.14 	Section 1. Minnesota Statutes 2024, section 144.99, subdivision 1, is amended to read:
101.15 		Subdivision 1.Remedies available. The provisions of chapters 103I and 157 and sections 
101.16 	115.71 to 115.77; 144.12, subdivision 1, paragraphs (1), (2), (5), (6), (10), (12), (13), (14), 
101.17 	and (15); 144.1201 to 144.1204; 144.121; 144.1215; 144.1222; 144.35; 144.381 to 144.385; 
101.18 	144.411 to 144.417; 144.495; 144.71 to 144.74; 144.9501 to 144.9512; 144.97 to 144.98; 
101.19 	144.992;147.037, subdivision 1b, paragraph (d); 326.70 to 326.785; 327.10 to 327.131; 
101.20 	and 327.14 to 327.28 and all rules, orders, stipulation agreements, settlements, compliance 
101.21 	agreements, licenses, registrations, certificates, and permits adopted or issued by the 
101.22 	department or under any other law now in force or later enacted for the preservation of 
101.23 	public health may, in addition to provisions in other statutes, be enforced under this section.

101.24 	EFFECTIVE DATE. This section is effective January 1, 2026.

101.25 	Sec. 2. Minnesota Statutes 2024, section 144A.43, subdivision 15, is amended to read:
101.26 		Subd. 15.Occupational therapist. "Occupational therapist" means a person who is 
101.27 	licensed under sections 148.6401 to 148.6449 has the meaning given in section 148.6402, 
101.28 	subdivision 14.

102.1 	Sec. 3. Minnesota Statutes 2024, section 144G.08, subdivision 45, is amended to read:
102.2 		Subd. 45.Occupational therapist. "Occupational therapist" means a person who is 
102.3 	licensed under sections 148.6401 to 148.6449 has the meaning given in section 148.6402, 
102.4 	subdivision 14.

102.5 	Sec. 4. Minnesota Statutes 2024, section 147.01, subdivision 7, is amended to read:
102.6 		Subd. 7.Physician application and license fees. (a) The board may charge the following 
102.7 	nonrefundable application and license fees processed pursuant to sections 147.02, 147.03, 
102.8 	147.037, 147.0375, and 147.38:
102.9 	(1) physician application fee, $200;
102.10 	(2) physician annual registration renewal fee, $192;
102.11 	(3) physician endorsement to other states, $40;
102.12 	(4) physician emeritus license, $50;
102.13 	(5) physician late fee, $60;
102.14 	(6) nonrenewable 24-month limited license, $392;
102.15 	(7) initial physician license for limited license holder, $192;
102.16 	(6) (8) duplicate license fee, $20;
102.17 	(7) (9) certification letter fee, $25;
102.18 	(8) (10) education or training program approval fee, $100;
102.19 	(9) (11) report creation and generation fee, $60 per hour;
102.20 	(10) (12) examination administration fee (half day), $50;
102.21 	(11) (13) examination administration fee (full day), $80;
102.22 	(12) (14) fees developed by the Interstate Commission for determining physician 
102.23 	qualification to register and participate in the interstate medical licensure compact, as 
102.24 	established in rules authorized in and pursuant to section 147.38, not to exceed $1,000; and
102.25 	(13) (15) verification fee, $25.
102.26 	(b) The board may prorate the initial annual license fee. All licensees are required to 
102.27 	pay the full fee upon license renewal. The revenue generated from the fee must be deposited 
102.28 	in an account in the state government special revenue fund.

103.1 	Sec. 5. Minnesota Statutes 2024, section 147.037, is amended by adding a subdivision to 
103.2 	read:
103.3 		Subd. 1b.Limited license. (a) A limited license under this subdivision is valid for one 
103.4 	24-month period and is not renewable or eligible for reapplication. The board may issue a 
103.5 	limited license, valid for 24 months, to any person who satisfies the requirements of 
103.6 	subdivision 1, paragraphs (a) to (c) and (e) to (g), and who:
103.7 	(1) pursuant to a license or other authorization to practice, has practiced medicine, as 
103.8 	defined in section 147.081, subdivision 3, clauses (2) to (4), for at least 60 months in the 
103.9 	previous 12 years outside of the United States;
103.10 	(2) submits sufficient evidence of an offer to practice within the context of a collaborative 
103.11 	agreement within a hospital or clinical setting where the limited license holder and physicians 
103.12 	work together to provide patient care;
103.13 	(3) provides services in a designated rural area or underserved urban community as 
103.14 	defined in section 144.1501; and
103.15 	(4) submits two letters of recommendation in support of a limited license, which must 
103.16 	include one letter from a physician with whom the applicant previously worked and one 
103.17 	letter from an administrator of the hospital or clinical setting in which the applicant previously 
103.18 	worked. The letters of recommendation must attest to the applicant's good medical standing. 
103.19 	The board may accept alternative forms of proof that demonstrate good medical standing 
103.20 	where there are extenuating circumstances that prevent an applicant from providing letters.
103.21 	(b) For purposes of this subdivision, a person has satisfied the requirements of subdivision 
103.22 	1, paragraph (e), if the person has passed steps or levels one and two of the USMLE or the 
103.23 	COMLEX-USA with passing scores as recommended by the USMLE program or National 
103.24 	Board of Osteopathic Medical Examiners within three attempts.
103.25 	(c) A person issued a limited license under this subdivision must not be required to 
103.26 	present evidence satisfactory to the board of the completion of one year of graduate clinical 
103.27 	medical training in a program accredited by a national accrediting organization approved 
103.28 	by the board.
103.29 	(d) An employer of a limited license holder must pay the limited license holder at least 
103.30 	an amount equivalent to a medical resident in a comparable field. The employer must carry 
103.31 	medical malpractice insurance covering a limited license holder for the duration of the 
103.32 	employment. The commissioner of health may issue a correction order under section 144.99, 
103.33 	subdivision 3, requiring an employer to comply with this paragraph. An employer must not 
104.1 	retaliate against or discipline an employee for raising a complaint or pursuing enforcement 
104.2 	relating to this paragraph.
104.3 	(e) The board may issue a full and unrestricted license to practice medicine to a person 
104.4 	who holds a limited license issued pursuant to paragraph (a) and who has:
104.5 	(1) held the limited license for two years and is in good standing to practice medicine 
104.6 	in this state;
104.7 	(2) practiced for a minimum of 1,692 hours per year for each of the previous two years;
104.8 	(3) submitted a letter of recommendation in support of a full and unrestricted license 
104.9 	containing all attestations required under paragraph (i) from any physician who participated 
104.10 	in the collaborative agreement;
104.11 	(4) passed steps or levels one, two, and three of the USMLE or COMLEX-USA with 
104.12 	passing scores as recommended by the USMLE program or National Board of Osteopathic 
104.13 	Medical Examiners within three attempts; and
104.14 	(5) completed 20 hours of continuing medical education.
104.15 	(f) A limited license holder must submit to the board, every six months or upon request, 
104.16 	a statement certifying whether the person is still employed as a physician in this state and 
104.17 	whether the person has been subjected to professional discipline as a result of the person's 
104.18 	practice. The board may suspend or revoke a limited license if a majority of the board 
104.19 	determines that the limited license holder is no longer employed as a physician in this state 
104.20 	by an employer. The limited license holder must be granted an opportunity to be heard prior 
104.21 	to the board's determination. Upon request by the limited license holder, the limited license 
104.22 	holder may have 90 days to regain employment. A limited license holder may change 
104.23 	employers during the duration of the limited license if the limited license holder has another 
104.24 	offer of employment. In the event that a change of employment occurs, the limited license 
104.25 	holder must still work the number of hours required under paragraph (e), clause (2), to be 
104.26 	eligible for a full and unrestricted license to practice medicine.
104.27 	(g) In addition to any other remedy provided by law, the board may, without a hearing, 
104.28 	temporarily suspend the license of a limited license holder if the board finds that the limited 
104.29 	license holder has violated a statute or rule that the board is empowered to enforce and 
104.30 	continued practice by the limited license holder would create a serious risk of harm to the 
104.31 	public. The suspension takes effect upon written notice to the limited license holder, 
104.32 	specifying the statute or rule violated. The suspension remains in effect until the board 
104.33 	issues a final order in the matter after a hearing. At the time it issues the suspension notice, 
105.1 	the board shall schedule a disciplinary hearing to be held pursuant to the Administrative 
105.2 	Procedure Act. The limited license holder shall be provided with at least 20 days' notice of 
105.3 	any hearing held pursuant to this subdivision. The hearing shall be scheduled to begin no 
105.4 	later than 30 days after the issuance of the suspension order.
105.5 	(h) For purposes of this subdivision, "collaborative agreement" means a mutually agreed 
105.6 	upon plan for the overall working relationship and collaborative arrangement between a 
105.7 	holder of a limited license and one or more physicians licensed under this chapter that 
105.8 	designates the scope of services that can be provided to manage the care of patients. The 
105.9 	limited license holder and one of the collaborating physicians must have experience in 
105.10 	providing care to patients with the same or similar medical conditions. Under the 
105.11 	collaborative agreement, the limited license holder must shadow the collaborating physician 
105.12 	for four weeks, after which time the limited license holder must staff all patient encounters 
105.13 	with the collaborating physician for an additional four weeks. After eight weeks, the 
105.14 	collaborating physician has discretion to allow the limited license holder to see patients 
105.15 	independently and may, at the discretion of the collaborating physician, require the limited 
105.16 	license holder to present patients. However, the limited license holder must be supervised 
105.17 	by the collaborating physician for a minimum of two hours per week. A limited license 
105.18 	holder may practice medicine without a collaborating physician physically present, but the 
105.19 	limited license holder and collaborating physicians must be able to easily contact each other 
105.20 	by radio, telephone, or other telecommunication device while the limited license holder 
105.21 	practices medicine. The limited license holder must have one-on-one practice reviews with 
105.22 	each collaborating physician, provided in person or through eye-to-eye electronic media 
105.23 	while maintaining visual contact, for at least two hours per week.
105.24 	(i) At least one collaborating physician must submit a letter to the board, after the limited 
105.25 	license holder has practiced under the license for 12 months, attesting to the following:
105.26 	(1) the limited license holder has a basic understanding of federal and state laws regarding 
105.27 	the provision of health care, including but not limited to:
105.28 	(i) medical licensing obligations and standards; and
105.29 	(ii) the Health Insurance Portability and Accountability Act, Public Law 104-191;
105.30 	(2) the limited license holder has a basic understanding of documentation standards;
105.31 	(3) the limited license holder has a thorough understanding of which medications are 
105.32 	available and unavailable in the United States;
106.1 	(4) the limited license holder has a thorough understanding of American medical standards 
106.2 	of care;
106.3 	(5) the limited license holder has demonstrated mastery of each of the following:
106.4 	(i) gathering a history and performing a physical exam;
106.5 	(ii) developing and prioritizing a differential diagnosis following a clinical encounter 
106.6 	and selecting a working diagnosis;
106.7 	(iii) recommending and interpreting common diagnostic and screening tests;
106.8 	(iv) entering and discussing orders and prescriptions;
106.9 	(v) providing an oral presentation of a clinical encounter;
106.10 	(vi) giving a patient handover to transition care responsibly;
106.11 	(vii) recognizing a patient requiring urgent care and initiating an evaluation; and
106.12 	(viii) obtaining informed consent for tests, procedures, and treatments; and
106.13 	(6) the limited license holder is providing appropriate medical care.
106.14 	(j) The board must not grant a license under this section unless the applicant possesses 
106.15 	federal immigration status that allows the applicant to practice as a physician in the United 
106.16 	States.

106.17 	EFFECTIVE DATE. This section is effective January 1, 2026.

106.18 	Sec. 6. Minnesota Statutes 2024, section 147D.03, subdivision 1, is amended to read:
106.19 		Subdivision 1.General. Within the meaning of sections 147D.01 to 147D.27, a person 
106.20 	who shall publicly profess to be a traditional midwife and who, for a fee, shall assist or 
106.21 	attend to a woman in pregnancy, childbirth outside a hospital, and postpartum, shall be 
106.22 	regarded as practicing traditional midwifery. A certified midwife licensed by the Board of 
106.23 	Nursing under chapter 148G is not subject to the provisions of this chapter.

106.24 	Sec. 7. Minnesota Statutes 2024, section 148.108, subdivision 1, is amended to read:
106.25 		Subdivision 1.Fees. In addition to the fees established in Minnesota Rules, chapter 
106.26 	2500, The board is authorized to charge the fees in this section.

107.1 	Sec. 8. Minnesota Statutes 2024, section 148.108, is amended by adding a subdivision to 
107.2 	read:
107.3 		Subd. 5.Chiropractic license fees. Fees for chiropractic licensure are the following 
107.4 	amounts but may be adjusted lower by board action:
107.5 	(1) initial application for licensure fee, $300;
107.6 	(2) annual renewal of an active license fee, $250;
107.7 	(3) annual renewal of an inactive license fee, 75 percent of the current active license 
107.8 	renewal fee under clause (2);
107.9 	(4) late renewal penalty fee, $150 per month late; and
107.10 	(5) application for reinstatement of a voluntarily retired or inactive license fee, $187.50.

107.11 	Sec. 9. Minnesota Statutes 2024, section 148.108, is amended by adding a subdivision to 
107.12 	read:
107.13 		Subd. 6.Acupuncture registration fees. Fees for acupuncture registration are the 
107.14 	following amounts but may be adjusted lower by board action:
107.15 	(1) initial application acupuncture registration fee, $200;
107.16 	(2) annual renewal of active acupuncture registration fee, $100;
107.17 	(3) annual renewal of inactive acupuncture registration fee, 75 percent of the current 
107.18 	active acupuncture registration renewal fee under clause (2); and
107.19 	(4) reinstatement of nonrenewed acupuncture registration fee, $200.

107.20 	Sec. 10. Minnesota Statutes 2024, section 148.108, is amended by adding a subdivision 
107.21 	to read:
107.22 		Subd. 7.Independent examiner registration fees. Fees for independent examiner 
107.23 	registration are the following amounts but may be adjusted lower by board action:
107.24 	(1) initial application independent examiner registration fee, $200;
107.25 	(2) annual renewal of independent examiner registration fee, $100; and
107.26 	(3) reinstatement of nonrenewed independent examiner registration fee, $200.

108.1 	Sec. 11. Minnesota Statutes 2024, section 148.108, is amended by adding a subdivision 
108.2 	to read:
108.3 		Subd. 8.Animal chiropractic registration fees. Fees for animal chiropractic registration 
108.4 	are the following amounts but may be adjusted lower by board action:
108.5 	(1) initial application animal chiropractic registration fee, $200;
108.6 	(2) annual renewal of active animal chiropractic registration fee, $100;
108.7 	(3) annual renewal of inactive animal chiropractic registration fee, 75 percent of the 
108.8 	current active animal chiropractic renewal fee under clause (2); and
108.9 	(4) reinstatement of nonrenewed animal chiropractic registration fee, $200.

108.10 	Sec. 12. Minnesota Statutes 2024, section 148.108, is amended by adding a subdivision 
108.11 	to read:
108.12 		Subd. 9.Graduate preceptorship registration fee. The application fee for graduate 
108.13 	preceptorship registration is $250, but may be adjusted lower by board action.

108.14 	Sec. 13. Minnesota Statutes 2024, section 148.108, is amended by adding a subdivision 
108.15 	to read:
108.16 		Subd. 10.Professional firm registration fees. In addition to fees authorized under 
108.17 	chapter 319B, the late renewal penalty fee for professional firm registration is $5 per month 
108.18 	late.

108.19 	Sec. 14. Minnesota Statutes 2024, section 148.108, is amended by adding a subdivision 
108.20 	to read:
108.21 		Subd. 11.Miscellaneous fees. Fees under this subdivision are the following amounts 
108.22 	but may be adjusted lower by board action:
108.23 	(1) annual continuing education sponsorship fee, $600;
108.24 	(2) individual continuing education seminar sponsorship fee, $200;
108.25 	(3) mailing list request fee, $200;
108.26 	(4) license verification fee, $20;
108.27 	(5) duplicate certificate fee, $20; and
108.28 	(6) document copies fee, $0.25 per side of document page.

109.1 	Sec. 15. Minnesota Statutes 2024, section 148.191, subdivision 2, is amended to read:
109.2 		Subd. 2.Powers. (a) The board is authorized to adopt and, from time to time, revise 
109.3 	rules not inconsistent with the law, as may be necessary to enable it to carry into effect the 
109.4 	provisions of sections 148.171 to 148.285 and chapter 148G. The board shall prescribe by 
109.5 	rule curricula and standards for schools and courses preparing persons for licensure under 
109.6 	sections 148.171 to 148.285 and 148G.12. It shall conduct or provide for surveys of such 
109.7 	schools and courses at such times as it may deem necessary. It shall approve such schools 
109.8 	and courses as meet the requirements of sections 148.171 to 148.285 or section 148G.12,
109.9 	and board rules. It shall examine, license, and renew the license of duly qualified applicants. 
109.10 	It shall hold examinations at least once in each year at such time and place as it may 
109.11 	determine. It shall by rule adopt, evaluate, and periodically revise, as necessary, requirements 
109.12 	for licensure and for registration and renewal of registration as defined in section 148.231
109.13 	and chapter 148G. It shall maintain a record of all persons licensed by the board to practice 
109.14 	advanced practice, professional, or practical nursing, or certified as a midwife. It shall cause 
109.15 	the prosecution of all persons violating sections 148.171 to 148.285 or chapter 148G, and 
109.16 	have power to incur such necessary expense therefor. It shall register public health nurses 
109.17 	who meet educational and other requirements established by the board by rule, including 
109.18 	payment of a fee. It shall have power to issue subpoenas, and to compel the attendance of 
109.19 	witnesses and the production of all necessary documents and other evidentiary material. 
109.20 	Any board member may administer oaths to witnesses, or take their affirmation. It shall 
109.21 	keep a record of all its proceedings.
109.22 	(b) The board shall have access to hospital, nursing home, and other medical records of 
109.23 	a patient cared for by a nurse or certified midwife under review. If the board does not have 
109.24 	a written consent from a patient permitting access to the patient's records, the nurse, certified 
109.25 	midwife, or facility shall delete any data in the record that identifies the patient before 
109.26 	providing it to the board. The board shall have access to such other records as reasonably 
109.27 	requested by the board to assist the board in its investigation. Nothing herein may be 
109.28 	construed to allow access to any records protected by section 145.64. The board shall 
109.29 	maintain any records obtained pursuant to this paragraph as investigative data under chapter 
109.30 	13.
109.31 	(c) The board may accept and expend grants or gifts of money or in-kind services from 
109.32 	a person, a public or private entity, or any other source for purposes consistent with the 
109.33 	board's role and within the scope of its statutory authority.
109.34 	(d) The board may accept registration fees for meetings and conferences conducted for 
109.35 	the purposes of board activities that are within the scope of its authority.

110.1 	Sec. 16. Minnesota Statutes 2024, section 148.241, is amended to read:
110.2 	148.241 EXPENSES.
110.3 		Subdivision 1.Appropriation. The expenses of administering sections 148.171 to 
110.4 	148.285and chapter 148G shall be paid from the appropriation made to the Minnesota 
110.5 	Board of Nursing.
110.6 		Subd. 2.Expenditure. All amounts appropriated to the board shall be held subject to 
110.7 	the order of the board to be used only for the purpose of meeting necessary expenses incurred 
110.8 	in the performance of the purposes of sections 148.171 to 148.285 and chapter 148G, and 
110.9 	the duties imposed thereby as well as the promotion of nursing or certified midwifery 
110.10 	education and standards of nursing or certified midwifery care in this state.

110.11 	Sec. 17. Minnesota Statutes 2024, section 148.512, subdivision 17a, is amended to read:
110.12 		Subd. 17a.Speech-language pathology assistant. "Speech-language pathology assistant" 
110.13 	means a person who meets the qualifications under section 148.5181 and provides 
110.14 	speech-language pathology services under the supervision of a licensed speech-language 
110.15 	pathologist under sections 122A.183 and 122A.184 or in accordance with section 148.5192.

110.16 	Sec. 18. Minnesota Statutes 2024, section 148.5192, subdivision 3, is amended to read:
110.17 		Subd. 3.Supervision requirements. (a) A supervising speech-language pathologist 
110.18 	shall authorize and accept full responsibility for the performance, practice, and activity of 
110.19 	a speech-language pathology assistant. The amount and type of supervision required must 
110.20 	be based on the skills and experience of the speech-language pathology assistant. A minimum 
110.21 	of one hour every 30 days of consultative supervision time must be documented for each 
110.22 	speech-language pathology assistant.
110.23 	(b) A supervising speech-language pathologist must:
110.24 	(1) be licensed under sections 122A.183, 122A.184, or 148.511 to 148.5198;
110.25 	(2) hold a certificate of clinical competence from the American Speech-Language-Hearing 
110.26 	Association or its equivalent as approved by the commissioner; and
110.27 	(3) have completed at least ten hours of continuing education in supervision.
110.28 	(c) Once every 60 days, the supervising speech-language pathologist must treat or cotreat 
110.29 	with the speech-language pathology assistant each client on the speech-language pathology 
110.30 	assistant's caseload.
111.1 	(d) For purposes of this section, "direct supervision" means observation and guidance 
111.2 	by the supervising speech-language pathologist during the performance of a delegated duty 
111.3 	that occurs either on-site and in-view or through the use of real-time, two-way interactive 
111.4 	audio and visual communication. The supervision requirements described in this section 
111.5 	are minimum requirements. Additional supervision requirements may be imposed at the 
111.6 	discretion of the supervising speech-language pathologist.
111.7 	(e) A supervising speech-language pathologist must be available to communicate with 
111.8 	a speech-language pathology assistant at any time the assistant is in direct contact with a 
111.9 	client.
111.10 	(f) A supervising speech-language pathologist must document activities performed by 
111.11 	the assistant that are directly supervised by the supervising speech-language pathologist. 
111.12 	At a minimum, the documentation must include:
111.13 	(1) information regarding the quality of the speech-language pathology assistant's 
111.14 	performance of the delegated duties; and
111.15 	(2) verification that any delegated clinical activity was limited to duties authorized to 
111.16 	be performed by the speech-language pathology assistant under this section.
111.17 	(g) A supervising speech-language pathologist must review and cosign all informal 
111.18 	treatment notes signed or initialed by the speech-language pathology assistant.
111.19 	(h) A full-time, speech-language pathologist may supervise no more than two full-time, 
111.20 	speech-language pathology assistants or the equivalent of two full-time assistants.
111.21 	(i) If the commissioner determines that a speech-language pathology assistant licensed 
111.22 	under section 148.5181 violates any part of sections 148.511 to 148.5198 and is supervised 
111.23 	by a speech-language pathologist licensed by the Professional Educator Licensing and 
111.24 	Standards Board (PELSB), the commissioner must immediately notify PELSB. Upon such 
111.25 	notification, PELSB must initiate an investigation of the supervising speech-language 
111.26 	pathologist. PELSB must share the result of the investigation with the commissioner.

111.27 	Sec. 19. Minnesota Statutes 2024, section 148.5194, subdivision 3b, is amended to read:
111.28 		Subd. 3b.Speech-language pathology assistant licensure fees. The fee for initial 
111.29 	licensure as a speech-language pathology assistant is $493 must not exceed $220. The fee 
111.30 	for licensure renewal for a speech-language pathology assistant is $493 must not exceed 
111.31 	$220.

112.1 	Sec. 20. Minnesota Statutes 2024, section 148.6401, is amended to read:
112.2 	148.6401 SCOPE.
112.3 	Sections 148.6401 to 148.6449 148.645 apply to persons who are applicants for licensure, 
112.4 	who are licensed, who use protected titles, or who represent that they are licensed as 
112.5 	occupational therapists or occupational therapy assistants practitioners.

112.6 	Sec. 21. Minnesota Statutes 2024, section 148.6402, subdivision 1, is amended to read:
112.7 		Subdivision 1.Scope. For the purpose of sections 148.6401 to 148.6449 148.645, the 
112.8 	following terms have the meanings given them.

112.9 	Sec. 22. Minnesota Statutes 2024, section 148.6402, is amended by adding a subdivision 
112.10 	to read:
112.11 		Subd. 2a.Accreditation Council for Occupational Therapy Education or 
112.12 	ACOTE. "Accreditation Council for Occupational Therapy Education" or "ACOTE" means 
112.13 	the entity that accredits occupational therapy education programs in the United States and 
112.14 	its territories and establishes, approves, and administers educational standards ensuring 
112.15 	consistency across all occupational therapy education.

112.16 	Sec. 23. Minnesota Statutes 2024, section 148.6402, is amended by adding a subdivision 
112.17 	to read:
112.18 		Subd. 5a.Continuing competence. "Continuing competence" means the process in 
112.19 	which an occupational therapy practitioner develops and maintains the knowledge, critical 
112.20 	reasoning, interpersonal skills, performance skills, and ethical practice necessary to perform 
112.21 	their occupational therapy responsibilities.

112.22 	Sec. 24. Minnesota Statutes 2024, section 148.6402, subdivision 7, is amended to read:
112.23 		Subd. 7.Credentialing Certification examination for occupational 
112.24 	therapist. "Credentialing Certification examination for occupational therapist" means the 
112.25 	examination sponsored by the National Board for Certification in Occupational Therapy 
112.26 	for credentialing certification as an a registered occupational therapist, registered.

112.27 	Sec. 25. Minnesota Statutes 2024, section 148.6402, subdivision 8, is amended to read:
112.28 		Subd. 8.CredentialingCertification examination for occupational therapy 
112.29 	assistant. "Credentialing Certification examination for occupational therapy assistant" 
113.1 	means the examination sponsored by the National Board for Certification in Occupational 
113.2 	Therapy for credentialing certification as a certified occupational therapy assistant.

113.3 	Sec. 26. Minnesota Statutes 2024, section 148.6402, is amended by adding a subdivision 
113.4 	to read:
113.5 		Subd. 12a.Face-to-face supervision. "Face-to-face supervision" means supervision 
113.6 	occurring between a supervisor and a supervisee within each other's sight or presence. 
113.7 	Face-to-face supervision includes real-time audio and video communication where the 
113.8 	supervisor and supervisee can see each other and clearly visualize the services being provided.

113.9 	Sec. 27. Minnesota Statutes 2024, section 148.6402, subdivision 13, is amended to read:
113.10 		Subd. 13.Licensed health care professional. "Licensed health care professional" means 
113.11 	a person licensed in good standing in Minnesota to practice medicine, osteopathic medicine, 
113.12 	chiropractic, podiatry, advanced practice registered nursing, or dentistry, or is a person 
113.13 	registered as a licensed physician assistant in Minnesota.

113.14 	Sec. 28. Minnesota Statutes 2024, section 148.6402, is amended by adding a subdivision 
113.15 	to read:
113.16 		Subd. 13a.National Board for Certification in Occupational Therapy or 
113.17 	NBCOT. "National Board for Certification in Occupational Therapy" or "NBCOT" means 
113.18 	the entity that administers the certification examination and provides initial and renewal 
113.19 	board certification for occupational therapy practitioners providing services in the United 
113.20 	States, or any successor entity performing the certification examination and initial and 
113.21 	renewal board certification.

113.22 	Sec. 29. Minnesota Statutes 2024, section 148.6402, subdivision 14, is amended to read:
113.23 		Subd. 14.Occupational therapist. "Occupational therapist" means an individual who 
113.24 	meets the qualifications in sections 148.6401 to 148.6449 and is licensed by the board
113.25 	licensed to practice occupational therapy under sections 148.6401 to 148.645 who is 
113.26 	responsible for and directs the evaluation process, discharge planning process, development 
113.27 	of intervention plans, and provision of occupational therapy services.

113.28 	Sec. 30. Minnesota Statutes 2024, section 148.6402, subdivision 16, is amended to read:
113.29 		Subd. 16.Occupational therapy assistant. "Occupational therapy assistant" means an 
113.30 	individual who meets the qualifications for an occupational therapy assistant in sections 
114.1 	148.6401 to 148.6449 and is licensed by the board licensed to assist in the practice of 
114.2 	occupational therapy under sections 148.6401 to 148.645 who works under the appropriate 
114.3 	supervision of and in partnership with an occupational therapist, unless exempted under 
114.4 	section 148.6432.

114.5 	Sec. 31. Minnesota Statutes 2024, section 148.6402, subdivision 16a, is amended to read:
114.6 		Subd. 16a.Occupational therapy practitioner. "Occupational therapy practitioner" 
114.7 	means any individual licensed as either an occupational therapist or occupational therapy 
114.8 	assistant under sections 148.6401 to 148.6449 148.645.

114.9 	Sec. 32. Minnesota Statutes 2024, section 148.6402, subdivision 19, is amended to read:
114.10 		Subd. 19.License or licensed. "License" or "licensed" means the act or status of a 
114.11 	natural person who meets the requirements of sections 148.6401 to 148.6449 148.645.

114.12 	Sec. 33. Minnesota Statutes 2024, section 148.6402, subdivision 20, is amended to read:
114.13 		Subd. 20.Licensee. "Licensee" means a person who meets the requirements of sections 
114.14 	148.6401 to 148.6449 148.645.

114.15 	Sec. 34. Minnesota Statutes 2024, section 148.6402, subdivision 23, is amended to read:
114.16 		Subd. 23.Service competency. (a) "Service competency" of an occupational therapy 
114.17 	assistant in performing evaluation tasks means the ability of an occupational therapy assistant 
114.18 	to obtain the same information as the supervising occupational therapist when evaluating 
114.19 	a client's function.
114.20 	(b) "Service competency" of an occupational therapy assistant in performing treatment 
114.21 	procedures means the ability of an occupational therapy assistant to perform treatment 
114.22 	procedures in a manner such that the outcome, documentation, and follow-up are equivalent 
114.23 	to that which would have been achieved had the supervising occupational therapist performed 
114.24 	the treatment procedure.
114.25 	(c) "Service competency" of an occupational therapist means the ability of an occupational 
114.26 	therapist to consistently perform an assessment task or intervention procedure with the level 
114.27 	of skill recognized as satisfactory within the appropriate acceptable prevailing practice
114.28 	national practice standards of occupational therapy.

115.1 	Sec. 35. Minnesota Statutes 2024, section 148.6402, subdivision 25, is amended to read:
115.2 		Subd. 25.Temporary licensure. "Temporary licensure" means a method of licensure 
115.3 	described in section 148.6418, by which an individual who (1) has completed an approved 
115.4 	or accredited education program but has not met the examination requirement; or (2) 
115.5 	possesses a credential from another jurisdiction or the National Board for Certification in 
115.6 	Occupational Therapy but who has not submitted the documentation required by section 
115.7 	148.6420, subdivisions 3 and 4, may qualify for Minnesota licensure for a limited time 
115.8 	period.

115.9 	Sec. 36. Minnesota Statutes 2024, section 148.6403, is amended to read:
115.10 	148.6403 LICENSURE; PROTECTED TITLES AND RESTRICTIONS ON USE; 
115.11 	EXEMPT PERSONS; SANCTIONS.
115.12 		Subdivision 1.Unlicensed practice prohibited. A person must not engage in the practice 
115.13 	of occupational therapy unless the person is licensed as an occupational therapy practitioner 
115.14 	in accordance with sections 148.6401 to 148.6449 148.645.
115.15 		Subd. 2.Protected titles and restrictions on use. Use of the phrase "occupational 
115.16 	therapy," or "occupational therapist," or "occupational therapy assistant," or the initials 
115.17 	"OT" or "OTA" alone or in combination with any other words or initials to form an 
115.18 	occupational title, or to indicate or imply that the person is licensed by the state as an 
115.19 	occupational therapist or occupational therapy assistant, is prohibited unless that person is 
115.20 	licensed under sections 148.6401 to 148.6449 148.645.
115.21 		Subd. 3.Use of "Minnesota licensed." Use of the term "Minnesota licensed" in 
115.22 	conjunction with titles protected under this section by any person is prohibited unless that 
115.23 	person is licensed under sections 148.6401 to 148.6449 148.645.
115.24 		Subd. 4.Persons licensed or certified in other states. A person who is licensed in 
115.25 	Minnesota and licensed or certified in another state jurisdiction may use the designation 
115.26 	"licensed" or "certified" with a protected title only if the state jurisdiction of licensure or 
115.27 	certification is clearly indicated.
115.28 		Subd. 5.Exempt persons. This section does not apply to:
115.29 	(1) a person employed as an occupational therapy practitioner by the government of the 
115.30 	United States or any agency of it. However, use of the protected titles under those 
115.31 	circumstances is allowed only in connection with performance of official duties for the 
115.32 	federal government;
116.1 	(2) a student participating in supervised fieldwork or supervised coursework that is 
116.2 	necessary to meet the requirements of section 148.6408, subdivision 1, or 148.6410, 
116.3 	subdivision 1, if the person is designated by a title which clearly indicates the person's status 
116.4 	as a student trainee. Any use of the protected titles under these circumstances is allowed 
116.5 	only while the person is performing the duties of the supervised fieldwork or supervised 
116.6 	coursework; or
116.7 	(3) a person visiting and then leaving the state and performing occupational therapy 
116.8 	services while in the state, if the services are performed no more than 30 days in a calendar 
116.9 	year as part of a professional activity that is limited in scope and duration and is in association 
116.10 	with an occupational therapist licensed under sections 148.6401 to 148.6449, and
116.11 	(i) the (3) a person who is credentialed under the law of another state which that has 
116.12 	credentialing requirements at least as stringent as the requirements of sections 148.6401 to 
116.13 	148.6449 148.645; or
116.14 	(ii) the (4) a person who meets the requirements for certification as an occupational 
116.15 	therapist registered (OTR) or a certified occupational therapy assistant (COTA), established 
116.16 	by the National Board for Certification in Occupational Therapy.; or
116.17 	(5) an occupational therapy practitioner who possesses an active compact privilege under 
116.18 	section 148.645.
116.19 		Subd. 6.Sanctions. A person who practices occupational therapy or holds out as an 
116.20 	occupational therapy practitioner by or through the use of any title described in subdivision 
116.21 	2 without prior licensure according to sections 148.6401 to 148.6449 148.645 is subject to 
116.22 	sanctions or action against continuing the activity according to section 148.6448, chapter 
116.23 	214, or other statutory authority.
116.24 		Subd. 7.Exemption. Nothing in sections 148.6401 to 148.6449 148.645 shall prohibit 
116.25 	the practice of any profession or occupation licensed or registered by the state by any person 
116.26 	duly licensed or registered to practice the profession or occupation or to perform any act 
116.27 	that falls within the scope of practice of the profession or occupation.

116.28 	Sec. 37. Minnesota Statutes 2024, section 148.6404, is amended to read:
116.29 	148.6404 SCOPE OF PRACTICE.
116.30 	(a) The practice of occupational therapy means the therapeutic use of everyday activities
116.31 	life occupations with individuals or, groups, or populations for the purpose of enhancing 
116.32 	or enabling participation in those occupations. It is the promotion of The practice of 
116.33 	occupational therapy promotes health and well-being through the use of occupational therapy 
117.1 	services that includes screening, evaluation, intervention, and consultation to develop, 
117.2 	recover, and maintain a client's:
117.3 	(1) sensory integrative, neuromuscular, motor, emotional, motivational, cognitive, or 
117.4 	psychosocial components of performance;
117.5 	(2) daily living skills;
117.6 	(3) feeding and swallowing skills;
117.7 	(4) play and leisure skills;
117.8 	(5) educational participation skills;
117.9 	(6) functional performance and work participation skills;
117.10 	(7) community mobility; and
117.11 	(8) health and wellness.
117.12 	(b) Occupational therapy services include but are not limited to:
117.13 	(1) designing, fabricating, or applying rehabilitative technology, such as selected orthotic 
117.14 	and prosthetic devices, and providing training in the functional use of these devices;
117.15 	(2) designing, fabricating, or adapting assistive technology and providing training in the 
117.16 	functional use of assistive devices;
117.17 	(3) adapting environments using assistive technology such as environmental controls, 
117.18 	wheelchair modifications, and positioning; and
117.19 	(4) employing applying physical agent, manual, and mechanical modalities in preparation 
117.20 	for or as an adjunct to purposeful activity to meet established functional occupational therapy 
117.21 	goals; and
117.22 	(5) educating and training individuals, including families, caregivers, groups, and 
117.23 	populations.
117.24 	(c) Occupational therapy services must be based on nationally established standards of 
117.25 	practice.

117.26 	Sec. 38. Minnesota Statutes 2024, section 148.6405, is amended to read:
117.27 	148.6405 LICENSURE APPLICATION REQUIREMENTS: PROCEDURES AND 
117.28 	QUALIFICATIONS.
117.29 	(a) An applicant for licensure must comply with the application requirements in section 
117.30 	148.6420. To qualify for licensure, an applicant must satisfy one of the requirements in 
118.1 	paragraphs (b) to (f) sections 148.6408 to 148.6415, or section 148.645 and not be subject 
118.2 	to denial of licensure under section 148.6448.
118.3 	(b) A person who applies for licensure as an occupational therapist and who has not 
118.4 	been credentialed by the National Board for Certification in Occupational Therapy or another 
118.5 	jurisdiction must meet the requirements in section 148.6408.
118.6 	(c) A person who applies for licensure as an occupational therapy assistant and who has 
118.7 	not been credentialed by the National Board for Certification in Occupational Therapy or 
118.8 	another jurisdiction must meet the requirements in section 148.6410.
118.9 	(d) A person who is certified by the National Board for Certification in Occupational 
118.10 	Therapy may apply for licensure by equivalency and must meet the requirements in section 
118.11 	148.6412.
118.12 	(e) A person who is credentialed in another jurisdiction and who was previously certified 
118.13 	by the National Board for Certification in Occupational Therapy may apply for licensure 
118.14 	by reciprocity and must meet the requirements in section 148.6415.
118.15 	(f) (b) A person who applies for temporary licensure must meet the requirements in 
118.16 	section 148.6418.
118.17 	(c) A person who applies for licensure under section 148.6408 or 148.6410 more than 
118.18 	two years after the person's initial NBCOT certification was issued and who has not practiced 
118.19 	in any jurisdiction must submit:
118.20 	(1) a completed and signed application for licensure on forms provided by the board 
118.21 	that meet the requirements of section 148.6420, subdivision 1, paragraph (a), clauses (1) 
118.22 	and (2); and
118.23 	(2) proof of a minimum of 24 continuing education contact hours by an occupational 
118.24 	therapist applicant, or a minimum of 18 hours by an occupational therapy assistant applicant, 
118.25 	completed within the two years proceeding the application and meeting the requirements 
118.26 	of section 148.6443.
118.27 	(g) (d) A person who applies for licensure under paragraph (b), (c), or (f) more than two 
118.28 	and less than four years after meeting the examination requirements in section 148.6408, 
118.29 	subdivision 2, or 148.6410, subdivision 2, section 148.6408 or 148.6410 after the person's 
118.30 	initial NBCOT certification has expired must submit the following:
118.31 	(1) a completed and signed application for licensure on forms provided by the board
118.32 	that meet the requirements of section 148.6420, subdivision 1, paragraph (a), clauses (1) 
118.33 	and (2); and
119.1 	(2) the license application fee required under section 148.6445; evidence of:
119.2 	(i) completion of an occupational therapy refresher program that contains both theoretical 
119.3 	and clinical components completed within the last year; or
119.4 	(ii) current NBCOT certification.
119.5 	(3) if applying for occupational therapist licensure, proof of having met a minimum of 
119.6 	24 contact hours of continuing education in the two years preceding licensure application, 
119.7 	or if applying for occupational therapy assistant licensure, proof of having met a minimum 
119.8 	of 18 contact hours of continuing education in the two years preceding licensure application;
119.9 	(4) verified documentation of successful completion of 160 hours of supervised practice 
119.10 	approved by the board under a limited license specified in section 148.6425, subdivision 3, 
119.11 	paragraph (c); and
119.12 	(5) additional information as requested by the board to clarify information in the 
119.13 	application, including information to determine whether the individual has engaged in 
119.14 	conduct warranting disciplinary action under section 148.6448. The information must be 
119.15 	submitted within 30 calendar days from the date of the board's request.
119.16 	(h) A person who applies for licensure under paragraph (b), (c), or (f) four years or more 
119.17 	after meeting the examination requirements in section 148.6408, subdivision 2, or 148.6410, 
119.18 	subdivision 2, must:
119.19 	(1) meet all the requirements in paragraph (g) except clauses (3) and (4);
119.20 	(2) submit documentation of having retaken and achieved a qualifying score on the 
119.21 	credentialing examination for occupational therapists or occupational therapy assistants, or 
119.22 	of having completed an occupational therapy refresher program that contains both a 
119.23 	theoretical and clinical component approved by the board; and
119.24 	(3) submit verified documentation of successful completion of 480 hours of supervised 
119.25 	practice approved by the board under a limited license specified in section 148.6425, 
119.26 	subdivision 3, paragraph (c). The 480 hours of supervised practice must be completed in 
119.27 	six months and may be completed at the applicant's place of work. Only refresher courses 
119.28 	completed within one year prior to the date of application qualify for approval.

119.29 	Sec. 39. Minnesota Statutes 2024, section 148.6408, is amended by adding a subdivision 
119.30 	to read:
119.31 		Subd. 1a.Qualifications. To be licensed as an occupational therapist, an applicant must:
119.32 	(1) satisfy the education and examination requirements of subdivisions 1b and 2; or
120.1 	(2) satisfy the requirements for licensure by equivalency under section 148.6412 or 
120.2 	licensure by reciprocity under section 148.6415 as applicable based on the current status of 
120.3 	the applicant's NBCOT certification.

120.4 	Sec. 40. Minnesota Statutes 2024, section 148.6408, subdivision 2, is amended to read:
120.5 		Subd. 2.Qualifying examination score required. (a) An applicant must achieve a 
120.6 	qualifying score on the credentialing certification examination for occupational therapist.
120.7 	(b) The board shall determine the qualifying score for the credentialing certification
120.8 	examination for occupational therapist. In determining the qualifying score, the board shall 
120.9 	consider the cut scoreas recommended by the National Board for Certification in 
120.10 	Occupational Therapy, or other national credentialing certification organization approved 
120.11 	by the board, using the modified Angoff method for determining cut score or another method 
120.12 	for determining cut score that is recognized as appropriate and acceptable by industry 
120.13 	standards.
120.14 	(c) The applicant is responsible for Applicants for licensure must:
120.15 	(1) making make arrangements to take the credentialing certification examination for 
120.16 	an occupational therapist;
120.17 	(2) bearing bear all expenses associated with taking the examination; and
120.18 	(3) having the examination scores sent directly to the board from the testing service that 
120.19 	administers the examination submit an application and other materials as required by the 
120.20 	board under section 148.6420.

120.21 	Sec. 41. Minnesota Statutes 2024, section 148.6410, is amended by adding a subdivision 
120.22 	to read:
120.23 		Subd. 1a.Qualifications. To be licensed as an occupational therapist assistant, an 
120.24 	applicant must:
120.25 	(1) satisfy the education and examination requirements of subdivisions 1b and 2; or
120.26 	(2) satisfy the requirements for licensure by equivalency under section 148.6412 or 
120.27 	licensure by reciprocity under section 148.6415 as applicable based on the current status of 
120.28 	the applicant's NBCOT certification.

121.1 	Sec. 42. Minnesota Statutes 2024, section 148.6410, subdivision 2, is amended to read:
121.2 		Subd. 2.Qualifying examination score required. (a) An applicant for licensure must 
121.3 	achieve a qualifying score on the credentialing certification examination for occupational 
121.4 	therapy assistants.
121.5 	(b) The board shall determine the qualifying score for the credentialing certification
121.6 	examination for occupational therapy assistants. In determining the qualifying score, the 
121.7 	board shall consider the cut score as recommended by the National Board for Certification 
121.8 	in Occupational Therapy, or other national credentialing certification organization approved 
121.9 	by the board, using the modified Angoff method for determining cut score or another method 
121.10 	for determining cut score that is recognized as appropriate and acceptable by industry 
121.11 	standards.
121.12 	(c) The applicant is responsible for Applicants for licensure must:
121.13 	(1) making make all arrangements to take the credentialing certification examination 
121.14 	for occupational therapy assistants;
121.15 	(2) bearing bear all expense associated with taking the examination; and
121.16 	(3) having the examination scores sent directly to the board from the testing service that 
121.17 	administers the examination submit an application and other materials as required by the 
121.18 	board under section 148.6420.

121.19 	Sec. 43. Minnesota Statutes 2024, section 148.6412, subdivision 2, is amended to read:
121.20 		Subd. 2.Persons currently certified by National Board for Certification in 
121.21 	Occupational Therapy NBCOT. The board may license any person certified by the National 
121.22 	Board for Certification in Occupational Therapy who holds current NBCOT certification
121.23 	as an occupational therapist if the board determines the requirements for certification are 
121.24 	equivalent to or exceed the requirements for licensure as an occupational therapist under 
121.25 	section 148.6408 therapy practitioner. The board may license any person certified by the 
121.26 	National Board for Certification in Occupational Therapy as an occupational therapy assistant 
121.27 	if the board determines the requirements for certification are equivalent to or exceed the 
121.28 	requirements for licensure as an occupational therapy assistant under section 148.6410.
121.29 	Nothing in this section limits the board's authority to deny licensure based upon the grounds 
121.30 	for discipline in sections 148.6401 to 148.6449 148.645.

121.31 	Sec. 44. Minnesota Statutes 2024, section 148.6412, subdivision 3, is amended to read:
121.32 		Subd. 3.Application procedures. Applicants for licensure by equivalency must provide:
122.1 	(1) the application materials as required by section 148.6420, subdivisions subdivision
122.2 	1, 3, and 4; and.
122.3 	(2) the fees required by section 148.6445.

122.4 	Sec. 45. Minnesota Statutes 2024, section 148.6415, is amended to read:
122.5 	148.6415 LICENSURE BY RECIPROCITY.
122.6 	A person who is not certified by the National Board for Certification in Occupational 
122.7 	Therapy The board may license any person who does not hold current NBCOT certification
122.8 	but who holds a compact privilege or a current credential as an occupational therapist therapy 
122.9 	practitioner in the District of Columbia or a state or territory of the United States whose 
122.10 	standards for credentialing are determined by the board to be equivalent to or exceed the 
122.11 	requirements for licensure under section 148.6408may be eligible for licensure by reciprocity 
122.12 	as an occupational therapist. A person who is not certified by the National Board for 
122.13 	Certification in Occupational Therapy but who holds a current credential as an occupational 
122.14 	therapy assistant in the District of Columbia or a state or territory of the United States whose 
122.15 	standards for credentialing are determined by the board to be equivalent to or exceed the 
122.16 	requirements for licensure under section 148.6410 may be eligible for licensure by reciprocity 
122.17 	as an occupational therapy assistant. or 148.6410 as an occupational therapy practitioner.
122.18 	Nothing in this section limits the board's authority to deny licensure based upon the grounds 
122.19 	for discipline in sections 148.6401 to 148.6449 148.645. An applicant must provide:
122.20 	(1) the application materials as required by section 148.6420, subdivisions subdivision
122.21 	1, 3, and 4; and
122.22 	(2) the fees required by section 148.6445;
122.23 	(3) a copy of a current and unrestricted credential for the practice of occupational therapy 
122.24 	as either an occupational therapist or occupational therapy assistant;
122.25 	(4) a letter from the jurisdiction that issued the credential describing the applicant's 
122.26 	qualifications that entitled the applicant to receive the credential; and
122.27 	(5) (2) other information necessary to determine whether the credentialing standards of 
122.28 	the jurisdiction that issued the credential are equivalent to or exceed the requirements for 
122.29 	licensure under sections 148.6401 to 148.6449 148.645.

123.1 	Sec. 46. Minnesota Statutes 2024, section 148.6418, is amended to read:
123.2 	148.6418 TEMPORARY LICENSURE.
123.3 		Subdivision 1.Application. The board shall issue temporary licensure as an occupational 
123.4 	therapist or occupational therapy assistant practitioner to applicants who are not the subject 
123.5 	of a disciplinary action or past disciplinary action, nor disqualified on the basis of items 
123.6 	listed in section 148.6448, subdivision 1.
123.7 		Subd. 2.Procedures. To be eligible for temporary licensure, an applicant must submit 
123.8 	a completed application for temporary licensure on forms provided by the board, the fees 
123.9 	required by section 148.6445, and one of the following:
123.10 	(1) evidence of successful completion of the requirements in section 148.6408, 
123.11 	subdivision 1, or 148.6410, subdivision 1;
123.12 	(2) a copy of a current and unrestricted credential for the practice of occupational therapy 
123.13 	as either an occupational therapist or occupational therapy assistant practitioner in another 
123.14 	jurisdiction; or
123.15 	(3) a copy of a current and unrestricted certificate certification from the National Board 
123.16 	for Certification in Occupational Therapy stating that the applicant is certified as an 
123.17 	occupational therapist or occupational therapy assistant practitioner.
123.18 		Subd. 3.Additional documentation. Persons who are credentialed certified by the 
123.19 	National Board for Certification in Occupational Therapy or credentialed by another 
123.20 	jurisdiction must provide an affidavit a statement with the application for temporary licensure 
123.21 	stating that they are not the subject of a pending investigation or disciplinary action and 
123.22 	have not been the subject of a disciplinary action in the past.
123.23 		Subd. 4.Supervision required. An applicant who has graduated from an accredited 
123.24 	occupational therapy program, as required by section 148.6408, subdivision 1, or 148.6410, 
123.25 	subdivision 1, and who has not passed the examination required by section 148.6408, 
123.26 	subdivision 2, or 148.6410, subdivision 2, must practice under the supervision of a licensed 
123.27 	occupational therapist. The supervising therapist must, at a minimum, supervise the person 
123.28 	working under temporary licensure in the performance of the initial evaluation, determination 
123.29 	of the appropriate intervention plan, and periodic review and modification of the intervention 
123.30 	plan. The supervising therapist must observe the person working under temporary licensure 
123.31 	in order to ensure service competency in carrying out evaluation, intervention planning, 
123.32 	and intervention implementation. The frequency of face-to-face collaboration between the 
123.33 	person working under temporary licensure and the supervising therapist must be based on 
124.1 	the condition of each patient or client, the complexity of intervention and evaluation 
124.2 	procedures, and the proficiencies of the person practicing under temporary licensure. 
124.3 	Following demonstrated service competency of the applicant, supervision must occur no 
124.4 	less than every ten intervention days or every 30 calendar days, whichever occurs first. The 
124.5 	occupational therapist or occupational therapy assistant practitioner working under temporary 
124.6 	licensure must provide verification of supervision on the application form provided by the 
124.7 	board. Supervising occupational therapists must have a minimum of six months of fully 
124.8 	licensed practice to supervise a temporary licensee. The occupational therapy practitioner 
124.9 	working under temporary licensure must notify the board before changing supervision.
124.10 		Subd. 5.Qualifying examination requirement; expiration and renewability. (a) A 
124.11 	person issued a temporary license pursuant to subdivision 2, clause (1), must demonstrate 
124.12 	to the board within the temporary licensure period successful completion of the qualifying 
124.13 	examination requirement under section 148.6408, subdivision 2, or section 148.6410, 
124.14 	subdivision 2. A temporary license holder who fails the qualifying examination for a second 
124.15 	time shall have their temporary license revoked effective upon notification to the temporary 
124.16 	license holder of the examination score. It is the temporary license holder's obligation to 
124.17 	submit to the board their qualifying examination scores and to refrain from practice if their 
124.18 	temporary license is revoked. Failure to do so subjects the temporary license holder to 
124.19 	disciplinary action pursuant to section 148.6448, subdivision 1, clause (5) (6). The board 
124.20 	must not issue a temporary license to a person with two or more certification examination 
124.21 	failures.
124.22 	(b) A temporary license expires six months from the date of issuance or on the date the 
124.23 	board grants or denies licensure, whichever occurs first.
124.24 	(c) A temporary license is not renewable.

124.25 	Sec. 47. Minnesota Statutes 2024, section 148.6420, subdivision 1, is amended to read:
124.26 		Subdivision 1.Applications for initial licensure. (a) An applicant for initial licensure 
124.27 	must:
124.28 	(1) submit a completed application for licensure on forms provided by the board and 
124.29 	must supply the all information and documentation requested on the application, including:
124.30 	(i) the applicant's name, business address and business telephone number, business 
124.31 	setting, primary email address, and daytime home or mobile telephone number;
124.32 	(ii) the name and location of the occupational therapy program the applicant completed;
125.1 	(iii) (ii) a description of the applicant's education and training, including the name and 
125.2 	location of the occupational therapy program the applicant completed and a list of degrees 
125.3 	received from all other educational institutions attended;
125.4 	(iv) (iii) the applicant's work history for the six years preceding the application;
125.5 	(v) (iv) a list of all credentials currently and previously held in Minnesota and other 
125.6 	jurisdictions;
125.7 	(vi) (v) a description of any jurisdiction's refusal to credential the applicant;
125.8 	(vii) (vi) a description of all professional disciplinary actions initiated against the applicant 
125.9 	in any jurisdiction;
125.10 	(viii) (vii) information on any physical or mental condition or substance use disorder 
125.11 	that impairs the person's ability to engage in the practice of occupational therapy with 
125.12 	reasonable judgment or safety;
125.13 	(ix) (viii) a description of any misdemeanor or felony conviction that relates to honesty 
125.14 	or to the practice of occupational therapy charges or convictions; and
125.15 	(x) (ix) a description of any state or federal court order, including a conciliation court 
125.16 	judgment or a disciplinary order, related to the individual's occupational therapy practice;
125.17 	(2) submit with the application all fees required by section 148.6445;
125.18 	(3) sign a statement that the information in the application is true and correct to the best 
125.19 	of the applicant's knowledge and belief;
125.20 	(4) sign a waiver authorizing the board to obtain access to the applicant's records in this 
125.21 	or any other state in which the applicant holds or previously held a credential for the practice 
125.22 	of an occupation, has completed an accredited occupational therapy education program, or 
125.23 	engaged in the practice of occupational therapy;
125.24 	(x) any legal information required under chapter 214;
125.25 	(xi) either documentation to demonstrate the completion of the required education and 
125.26 	examination requirements under section 148.6408, subdivisions 1b and 2, or 148.6410, 
125.27 	subdivisions 1b and 2; for applicants for licensure by equivalency under section 148.6412, 
125.28 	documentation of current NBCOT certification; for applicants for licensure by reciprocity 
125.29 	under section 148.6415, documentation submitted directly by the appropriate commission 
125.30 	or government body verifying the license or credential; or verification from the Compact 
125.31 	Commission of the applicant's practice status in Compact Commission states;
125.32 	(xii) all application fees required by section 148.6445;
126.1 	(xiii) evidence of completing a criminal background check according to section 214.075; 
126.2 	and
126.3 	(xiv) a signed statement affirming that the information in the application is true and 
126.4 	correct to the best of the applicant's knowledge and belief;
126.5 	(5)(2) submit additional information as requested by the board; and
126.6 	(6) (3) submit the any additional information required for licensure by equivalency, 
126.7 	licensure by reciprocity, licensure by compact privilege, and temporary licensure as specified 
126.8 	in sections 148.6408 to 148.6418. and 148.645. An applicant applying under section 148.6418 
126.9 	is exempt from providing documentation related to a criminal background check under 
126.10 	clause (1), item (xiii). An applicant applying under section 148.6418, subdivision 4, is 
126.11 	exempt from providing documentation related to previously held licenses or credentials 
126.12 	under clause (1), item (iv).
126.13 	(b) The board must not verify the status of an applicant under paragraph (a), clause (1), 
126.14 	item (xi), by using another jurisdiction's publicly available website unless the other 
126.15 	jurisdiction fails to provide the requested documentation after the applicant provides 
126.16 	documentation of making the request.

126.17 	Sec. 48. Minnesota Statutes 2024, section 148.6423, subdivision 1, is amended to read:
126.18 		Subdivision 1.Renewal requirements. To be eligible for licensure renewal, a licensee 
126.19 	must:
126.20 	(1) submit a completed and signed application for licensure renewal; on forms provided 
126.21 	by the board, including:
126.22 	(i) updated personal information, including the renewal applicant's name, business 
126.23 	address and business telephone number, primary email address, and home or mobile telephone 
126.24 	number;
126.25 	(ii) information regarding any change to the renewal applicant's responses to section 
126.26 	148.6420, subdivision 1, paragraph (a), clause (1), items (v) to (ix);
126.27 	(iii) a signed statement affirming that the information in the renewal application is true 
126.28 	and correct to the best of the applicant's knowledge and belief; and
126.29 	(iv) any legal information required under chapter 214;
126.30 	(2) submit the renewal fee required under section 148.6445;
127.1 	(3) if audited, submit proof of having met the continuing education requirement of section 
127.2 	148.6443; and
127.3 	(4) submit additional information as requested by the board to clarify information 
127.4 	presented in the renewal application. The information must be submitted within 30 calendar 
127.5 	days of the board's request.

127.6 	Sec. 49. Minnesota Statutes 2024, section 148.6423, is amended by adding a subdivision 
127.7 	to read:
127.8 		Subd. 1a.License period. Following the initial license period, a license period begins 
127.9 	on the first day of the month after the licensee's birth month and must be renewed biennially.

127.10 	Sec. 50. Minnesota Statutes 2024, section 148.6423, subdivision 2, is amended to read:
127.11 		Subd. 2.Renewal deadline. (a) Except as provided in paragraph (c), licenses must be 
127.12 	renewed every two years on or before the first day of the month after the licensee's birth 
127.13 	month. Licensees must comply with the following procedures in paragraphs (b) to (e).
127.14 	(b) Each license must state an expiration date. An application for licensure renewal must 
127.15 	be received by the board at least 30 calendar days on or before the expiration date.
127.16 	(c) If the board changes the renewal schedule and the expiration date is less than two 
127.17 	years, the fee and the continuing education contact hours to be reported at the next renewal 
127.18 	must be prorated.
127.19 	(d) An application for licensure renewal not received within the time required under 
127.20 	paragraph (b), but received on or before the expiration date, must be accompanied by a late 
127.21 	fee in addition to the renewal fee specified by section 148.6445.
127.22 	(e) Licensure renewals received after the expiration date must comply with the 
127.23 	requirements of section 148.6425.

127.24 	Sec. 51. Minnesota Statutes 2024, section 148.6425, subdivision 2, is amended to read:
127.25 		Subd. 2.Licensure renewal within one year after licensure expiration date. A licensee 
127.26 	whose application for licensure renewal is received after the licensure expiration date but 
127.27 	within one year of the expiration date must submit the following:
127.28 	(1) a completed and signed renewal application for licensure following lapse in licensed 
127.29 	status; on forms provided by the board, including:
128.1 	(i) updated personal information, including the renewal applicant's name, business 
128.2 	address and business telephone number, primary email address, and home or mobile telephone 
128.3 	number;
128.4 	(ii) information regarding any change to the renewal applicant's responses to section 
128.5 	148.6420, subdivision 1, paragraph (a), clause (1), items (v) to (ix);
128.6 	(iii) a signed statement affirming that the information in the renewal application is true 
128.7 	and correct to the best of the applicant's knowledge and belief;
128.8 	(iv) information regarding any change to the renewal applicant's responses to section 
128.9 	148.6420, subdivision 1, paragraph (a), clause (1), item (xi);
128.10 	(v) NBCOT verification of certification documentation; and
128.11 	(vi) any legal information required under chapter 214;
128.12 	(2) the renewal fee and the late fee required under section 148.6445;
128.13 	(3) proof of having met the continuing education requirements in section 148.6443, 
128.14 	subdivision 1; and
128.15 	(4) an employment verification form; and
128.16 	(4) (5) additional information as requested by the board to clarify information in the 
128.17 	application, including information to determine whether the licensee has engaged in conduct 
128.18 	warranting disciplinary action as set forth in section 148.6448. The information must be 
128.19 	submitted within 30 calendar days from the date of the board's request.

128.20 	Sec. 52. Minnesota Statutes 2024, section 148.6425, is amended by adding a subdivision 
128.21 	to read:
128.22 		Subd. 4.Licensure renewal within two years after license expiration date. A licensee 
128.23 	whose application for license renewal is received more than one year but less than two years 
128.24 	after the expiration date must submit the following:
128.25 	(1) a completed and signed renewal application for licensure following lapse in licensed 
128.26 	status on forms provided by the board, including all information listed in subdivision 2, 
128.27 	clause (1);
128.28 	(2) the renewal fee and the late fee required under section 148.6445;
128.29 	(3) proof of having met the continuing education requirements in section 148.6443;
128.30 	(4) an employment verification form;
129.1 	(5) evidence of completion of a criminal background check as required under section 
129.2 	214.075 and the associated fee; and
129.3 	(6) additional information as requested by the board to clarify information in the 
129.4 	application, including information to determine whether the licensee has engaged in conduct 
129.5 	warranting disciplinary action as set forth in section 148.6448. The information must be 
129.6 	submitted within 30 calendar days from the date of the board's request.

129.7 	Sec. 53. Minnesota Statutes 2024, section 148.6425, is amended by adding a subdivision 
129.8 	to read:
129.9 		Subd. 5.Expiration due to nonrenewal after two years. The board shall not renew, 
129.10 	reissue, reinstate, or restore a license that is not subject to a pending review, investigation, 
129.11 	or disciplinary action and has not been renewed within one biennial renewal cycle of the 
129.12 	license expiration. An individual whose license has expired under this subdivision for 
129.13 	nonrenewal must obtain a new license by applying for licensure and fulfilling all requirements 
129.14 	then in existence for an initial license to practice occupational therapy in Minnesota.

129.15 	Sec. 54. Minnesota Statutes 2024, section 148.6428, is amended to read:
129.16 	148.6428 CHANGE OF CONTACT INFORMATION OR EMPLOYMENT.
129.17 	A licensee who changes a name, primary email address, address, employment, business 
129.18 	address, or business telephone number must inform the board of the change of name, primary 
129.19 	email address, address, employment, business address, or business telephone number within 
129.20 	30 calendar days from the effective date of the change. A change in name must be 
129.21 	accompanied by a copy of a marriage certificate, government-issued identification card, 
129.22 	Social Security card, or court order. All notices or other correspondence served on a licensee 
129.23 	by the board at the licensee's contact information on file with the board must be considered 
129.24 	as having been received by the licensee.

129.25 	Sec. 55. [148.6431] JURISPRUDENCE EXAMINATION.
129.26 	The board may require occupational therapy practitioners to take an open-book 
129.27 	jurisprudence examination on state laws and rules regarding the practice of occupational 
129.28 	therapy and occupational therapy assisting.

129.29 	Sec. 56. Minnesota Statutes 2024, section 148.6432, subdivision 1, is amended to read:
129.30 		Subdivision 1.Applicability. If the professional standards identified in section 148.6430
129.31 	subdivision 1a permit an occupational therapist to delegate an evaluation, reevaluation, or 
130.1 	treatment procedure, the occupational therapist must provide supervision consistent with 
130.2 	this section.

130.3 	Sec. 57. Minnesota Statutes 2024, section 148.6432, is amended by adding a subdivision 
130.4 	to read:
130.5 		Subd. 1a.Delegation of duties. (a) The occupational therapist may delegate to an 
130.6 	occupational therapy assistant those portions of the client's evaluation, reevaluation, and 
130.7 	intervention that, according to prevailing national practice standards, can be performed by 
130.8 	an occupational therapy assistant.
130.9 	(b) The occupational therapist is responsible for all duties delegated to the occupational 
130.10 	therapy assistant.
130.11 	(c) The occupational therapist may not delegate portions of an evaluation or reevaluation 
130.12 	of a person whose condition is changing rapidly.

130.13 	Sec. 58. Minnesota Statutes 2024, section 148.6432, subdivision 2, is amended to read:
130.14 		Subd. 2.Evaluations. The occupational therapist shall determine the frequency of 
130.15 	evaluations and reevaluations for each client. The occupational therapy assistant shall inform 
130.16 	the occupational therapist of the need for more frequent reevaluation if indicated by the 
130.17 	client's condition or response to treatment. Before delegating a portion of a client's evaluation 
130.18 	pursuant to section 148.6430 subdivision 1a, the occupational therapist shall ensure the 
130.19 	service competency of the occupational therapy assistant in performing the evaluation 
130.20 	procedure and shall provide supervision consistent with the condition of the patient or client 
130.21 	and the complexity of the evaluation procedure.

130.22 	Sec. 59. Minnesota Statutes 2024, section 148.6432, subdivision 3, is amended to read:
130.23 		Subd. 3.Intervention. (a) The occupational therapist must determine the frequency and 
130.24 	manner of supervision of an occupational therapy assistant performing intervention 
130.25 	procedures delegated pursuant to section 148.6430 subdivision 1a based on the condition 
130.26 	of the patient or client, the complexity of the intervention procedure, and the service 
130.27 	competency of the occupational therapy assistant.
130.28 	(b) Face-to-face collaboration between the occupational therapist and the occupational 
130.29 	therapy assistant must occur for all clients every ten intervention days or every 30 days, 
130.30 	whichever comes first, during which time the occupational therapist is responsible for:
131.1 	(1) planning and documenting an initial intervention plan and discharge from 
131.2 	interventions;
131.3 	(2) reviewing intervention goals, therapy programs, and client progress;
131.4 	(3) supervising changes in the intervention plan;
131.5 	(4) conducting or observing intervention procedures for selected clients and documenting 
131.6 	appropriateness of intervention procedures. Clients must be selected based on the 
131.7 	occupational therapy services provided to the client and the role of the occupational therapist 
131.8 	and the occupational therapy assistant in those services; and
131.9 	(5) ensuring the service competency of the occupational therapy assistant in performing 
131.10 	delegated intervention procedures.
131.11 	(c) Face-to-face collaboration must occur more frequently if necessary to meet the 
131.12 	requirements of paragraph (a) or (b).
131.13 	(d) The occupational therapist must document compliance with this subdivision in the 
131.14 	client's file or chart.

131.15 	Sec. 60. Minnesota Statutes 2024, section 148.6432, subdivision 4, is amended to read:
131.16 		Subd. 4.Exception. (a) The supervision requirements of this section do not apply to an 
131.17 	occupational therapy assistant who:
131.18 	(1) works in an activities program; and
131.19 	(2) does not perform occupational therapy services.
131.20 	(b) The occupational therapy assistant must meet all other applicable requirements of 
131.21 	sections 148.6401 to 148.6449 148.645.

131.22 	Sec. 61. Minnesota Statutes 2024, section 148.6435, is amended to read:
131.23 	148.6435 COORDINATION OF SERVICES.
131.24 	An occupational therapist must:
131.25 	(1) collect information necessary to ensure that the provision of occupational therapy 
131.26 	services are consistent with the client's physical and mental health status. The information 
131.27 	required to make this determination may include, but is not limited to, contacting the client's 
131.28 	licensed health care professional for health history, current health status, current medications, 
131.29 	and precautions;
132.1 	(2) modify or terminate occupational therapy intervention of a client that is not beneficial 
132.2 	to the client, not tolerated by the client, or refused by the client, and if intervention was 
132.3 	terminated for a medical reason, notify the client's licensed health care professional by 
132.4 	correspondence postmarked or delivered to the licensed health care professional within one 
132.5 	week of the termination of intervention;
132.6 	(3) (2) refer a client to an appropriate health care, social service, or education practitioner 
132.7 	if the client's condition requires services not within the occupational therapist's service 
132.8 	competency or not within the practice of occupational therapy generally, or if the client's 
132.9 	acuity warrants alternative care; and
132.10 	(4) (3) participate and cooperate in the coordination of occupational therapy services 
132.11 	with other related services, as a member of the professional community serving the client.

132.12 	Sec. 62. Minnesota Statutes 2024, section 148.6438, is amended to read:
132.13 	148.6438 RECIPIENT NOTIFICATION.
132.14 		Subdivision 1.Required notification. (a) In the absence of a physician, advanced 
132.15 	practice registered nurse, or physician assistantlicensed health care provider referral or 
132.16 	prior authorization, and before providing occupational therapy services for remuneration 
132.17 	or expectation of payment from the client, an occupational therapist must provide the 
132.18 	following written notification in all capital letters of 12-point or larger boldface type, to the 
132.19 	client, parent, or guardian in a format meeting national accessibility standards and the needs 
132.20 	of the client, parent, or guardian:
132.21 	"Your health care provider, insurer, or plan may require a physician, advanced practice 
132.22 	registered nurse, or physician assistant licensed health care provider referral or prior 
132.23 	authorization and you may be obligated for partial or full payment for occupational therapy 
132.24 	services rendered."
132.25 	(b) Information other than this notification may be included as long as the notification 
132.26 	remains conspicuous on the face of the document. A nonwritten disclosure format may be 
132.27 	used to satisfy the recipient notification requirement when necessary to accommodate the 
132.28 	physical condition of a client or client's guardian.
132.29 		Subd. 2.Evidence of recipient notification. The occupational therapist is responsible 
132.30 	for providing evidence of compliance with the recipient notification requirement of this 
132.31 	section with documentation of the client, parent, or guardian agreement.

133.1 	Sec. 63. Minnesota Statutes 2024, section 148.6443, subdivision 3, is amended to read:
133.2 		Subd. 3.Activities qualifying for continuing education contact hours. (a) The activities 
133.3 	in this subdivision qualify for continuing education contact hours if they meet all other 
133.4 	requirements of this section.
133.5 	(b) A minimum of one-half of the required contact hours must be directly related to 
133.6 	occupational therapy practice. The remaining contact hours may be related to occupational 
133.7 	therapy practice, the delivery of occupational therapy services, or to the practitioner's current 
133.8 	professional role.
133.9 	(c) A licensee may obtain an unlimited number of contact hours in any two-year 
133.10 	continuing education period through participation in the following:
133.11 	(1) attendance at educational programs of annual conferences, lectures, panel discussions, 
133.12 	workshops, in-service training, seminars, and symposiums;
133.13 	(2) successful completion of college or university courses. The licensee must obtain a 
133.14 	grade of at least a "C" or a pass in a pass/fail course in order to receive credit. One college 
133.15 	credit equals six continuing education contact hours; or
133.16 	(3) successful completion of home study courses that require the participant to 
133.17 	demonstrate the participant's knowledge following completion of the course provide 
133.18 	documentation that the course was completed and that meet the requirements in subdivision 
133.19 	2.
133.20 	(d) A licensee may obtain a maximum of one-half of the required contact hours in any 
133.21 	two-year continuing education period for:
133.22 	(1) teaching continuing education or occupational therapy related courses that meet the 
133.23 	requirements of this section. A licensee is entitled to earn a maximum of two contact hours 
133.24 	as preparation time for each contact hour of presentation time. Contact hours may be claimed 
133.25 	only once for teaching the same course in any two-year continuing education period. A 
133.26 	course schedule or brochure must be maintained for audit;
133.27 	(2) supervising occupational therapist or occupational therapy assistant students. A 
133.28 	licensee may earn one contact hour for every eight hours of student supervision. Licensees 
133.29 	must ensure they receive documentation regarding each student supervised and the dates 
133.30 	and hours each student was supervised. Contact hours obtained by student supervision must 
133.31 	be obtained by supervising students from an occupational therapy education program 
133.32 	accredited by the Accreditation Council for Occupational Therapy Education; and
134.1 	(3) teaching or participating in courses related to leisure activities, recreational activities, 
134.2 	or hobbies if the practitioner uses these interventions within the practitioner's current practice 
134.3 	or employment; and
134.4 	(4)(3) engaging in research activities or outcome studies that are related to the practice 
134.5 	of occupational therapy and associated with grants, postgraduate studies, or publications in 
134.6 	professional journals or books.
134.7 	(e) A licensee may obtain a maximum of two contact hours in any two-year continuing 
134.8 	education period for continuing education activities in the following areas:
134.9 	(1) personal skill topics: career burnout, communication skills, human relations, and 
134.10 	similar topics;
134.11 	(2) training that is obtained in conjunction with a licensee's employment, occurs during 
134.12 	a licensee's normal workday, and does not include subject matter specific to the fundamentals 
134.13 	of occupational therapy basic life support and CPR training; and
134.14 	(3) participation for a minimum of one year on a professional committee or board.

134.15 	Sec. 64. Minnesota Statutes 2024, section 148.6443, subdivision 4, is amended to read:
134.16 		Subd. 4.Activities not qualifying for continuing education contact hours.  Credit 
134.17 	must not be granted for the following activities: hospital patient rounds,; entertainment or 
134.18 	recreational activities,; volunteering; noneducational association meetings,; and employment 
134.19 	orientation sessions and meetings, including but not limited to training required at the 
134.20 	beginning of employment, annually, or routinely that is related to the employer's organization 
134.21 	requirements.

134.22 	Sec. 65. Minnesota Statutes 2024, section 148.6443, subdivision 5, is amended to read:
134.23 		Subd. 5.Reporting continuing education contact hours. Each licensee must use the 
134.24 	continuing education reporting form to verify meeting the continuing education requirements 
134.25 	of this section. The licensee must maintain documentation, including but not limited to a 
134.26 	signed certificate, transcript, or similar evidence of participation in an activity. The 
134.27 	documentation must include a:
134.28 	(1) the title of the continuing education activity;
134.29 	(2) a brief description of the continuing education activity prepared by the presenter or 
134.30 	sponsor;
134.31 	(3) the name of the sponsor, presenter, or author;
135.1 	(4) the location and attendance dates;
135.2 	(5) the number of contact hours; and
135.3 	(6) the licensee's name.

135.4 	Sec. 66. Minnesota Statutes 2024, section 148.6443, subdivision 6, is amended to read:
135.5 		Subd. 6.Auditing continuing education reports. (a) The board may audit a percentage 
135.6 	of the continuing education reports based on random selection. A licensee shall maintain 
135.7 	all documentation required by this section for two years after the last day of the biennial 
135.8 	licensure period in which the contact hours were earned.
135.9 	(b) All renewal applications that are received after the expiration date may be subject 
135.10 	to a continuing education report audit.
135.11 	(c) Any licensee against whom a complaint is filed may be subject to a continuing 
135.12 	education report audit.
135.13 	(d) The licensee shall make the following information available to the board for auditing 
135.14 	purposes:
135.15 	(1) a copy of the completed continuing education reporting form for the continuing 
135.16 	education reporting period that is the subject of the audit including all supporting 
135.17 	documentation required by subdivision 5;
135.18 	(2) documentation of university, college, or vocational school courses by a transcript 
135.19 	and a course syllabus, listing in a course bulletin, or equivalent documentation that includes 
135.20 	the course title, instructor's name, course dates, number of contact hours, and course content, 
135.21 	objectives, or goals; and
135.22 	(3) verification of attendance by that meets the requirements of subdivision 5 by 
135.23 	submitting:
135.24 	(i) a signature ofcertificate of attendance, or if a certificate is not available, other 
135.25 	documentation from the presenter or a designee at the continuing education activity on the 
135.26 	continuing education report form or a certificate of attendance with the course name, course 
135.27 	date, and licensee's name submitted directly to the board confirming the requirements; or
135.28 	(ii) a summary or outline of the educational content of an audio or video educational 
135.29 	activity to verify the licensee's participation in the activity if a designee is not available to 
135.30 	sign the continuing education report form; or
136.1 	(iii) (ii) verification of self-study programs by a certificate of completion or other 
136.2 	documentation indicating that the individual has demonstrated knowledge and has 
136.3 	successfully completed the program.

136.4 	Sec. 67. Minnesota Statutes 2024, section 148.6443, subdivision 7, is amended to read:
136.5 		Subd. 7.Waiver Deferral of continuing education requirements. The board may 
136.6 	waive or defer all or part of the continuing education requirements of this section if the 
136.7 	licensee submits a written request and provides satisfactory evidence to the board of illness, 
136.8 	injury, financial hardship, family hardship, or other similar extenuating circumstances that 
136.9 	preclude completion of the requirements during the licensure period. The request for a 
136.10 	waiver deferral must be in writing, state the circumstances that constitute hardship, state 
136.11 	the period of time the licensee wishes to have the continuing education requirement waived
136.12 	deferred, and state the alternative measures that will be taken if a waiver deferral is granted. 
136.13 	The board must set forth, in writing, the reasons for granting or denying the waiver deferral. 
136.14 	Waivers Deferrals granted by the board must specify, in writing, the time limitation and 
136.15 	required alternative measures to be taken by the licensee. A request for waiver deferral must 
136.16 	be denied if the board finds that the circumstances stated by the licensee do not support a 
136.17 	claim of hardship, the requested time period for waiver deferral is unreasonable, the 
136.18 	alternative measures proposed by the licensee are not equivalent to the continuing education 
136.19 	activity being waived deferred, or the request for waiver deferral is not submitted to the 
136.20 	board within 60 calendar days of the expiration date.

136.21 	Sec. 68. Minnesota Statutes 2024, section 148.6443, subdivision 8, is amended to read:
136.22 		Subd. 8.Penalties for noncompliance. The board shall refuse to renew or grant, or 
136.23 	shall suspend, condition, limit, or otherwise qualify the license of any person who the board 
136.24 	determines has failed to comply with the continuing education requirements of this section. 
136.25 	A licensee may request reconsideration of the board's determination of noncompliance or 
136.26 	the penalty imposed under this section by making a written request to the board within 30 
136.27 	calendar days of the date of notification to the applicant. Individuals requesting 
136.28 	reconsideration may submit information that the licensee wants considered in the 
136.29 	reconsideration.

136.30 	Sec. 69. Minnesota Statutes 2024, section 148.6445, is amended by adding a subdivision 
136.31 	to read:
136.32 		Subd. 5a.Compact privilege fee.  The fee for interstate licensure compact privilege to 
136.33 	practice is $150.

137.1 	Sec. 70. Minnesota Statutes 2024, section 148.6445, is amended by adding a subdivision 
137.2 	to read:
137.3 		Subd. 7a.Active mailing list. The fee for the standard active licensee mailing list 
137.4 	delivered electronically is $500.

137.5 	Sec. 71. Minnesota Statutes 2024, section 148.6448, subdivision 1, is amended to read:
137.6 		Subdivision 1.Grounds for denial of licensure or discipline. The board may deny an 
137.7 	application for licensure, may approve licensure with conditions, or may discipline a licensee 
137.8 	using any disciplinary actions listed in subdivision 3 on proof that the individual has:
137.9 	(1) intentionally submitted false or misleading information to the board;
137.10 	(2) obtained a license by means of fraud, misrepresentation, or concealment of material 
137.11 	facts;
137.12 	(3) failed, within 30 days, to provide information in response to a written request by the 
137.13 	board;
137.14 	(3) (4) performed services of an occupational therapist or occupational therapy assistant
137.15 	practitioner in an incompetent manner or in a manner that falls below the community standard 
137.16 	of care or national practice standards of care;
137.17 	(4) (5) failed to satisfactorily perform occupational therapy services during a period of 
137.18 	temporary licensure;
137.19 	(5) (6) violated sections 148.6401 to 148.6449 148.645;
137.20 	(6) (7) failed to perform services with reasonable judgment, skill, or safety due to the 
137.21 	use of alcohol or drugs, or other physical or mental impairment;
137.22 	(7) (8) been convicted of violating any state or federal law, rule, or regulation which 
137.23 	directly that reasonably relates to the practice of occupational therapy;
137.24 	(9) failed to report other licensees that have violated sections 148.6401 to 148.645;
137.25 	(8) (10) aided or abetted another person in violating any provision of sections 148.6401
137.26 	to 148.6449 148.645;
137.27 	(9) (11) been disciplined for conduct in the practice of an occupation by the state of 
137.28 	Minnesota, another jurisdiction, or a national professional association, if any of the grounds 
137.29 	for discipline are the same or substantially equivalent to those in sections 148.6401 to 
137.30 	148.6449 148.645;
138.1 	(10) (12) not cooperated with the board in an investigation conducted according to 
138.2 	subdivision 2;
138.3 	(11) (13) advertised in a manner that is false or misleading;
138.4 	(12) (14) engaged in dishonest, unethical, or unprofessional conduct in connection with 
138.5 	the practice of occupational therapy that is likely to deceive, defraud, or harm the public;
138.6 	(15) improperly managed client records, including but not limited to failure to maintain 
138.7 	client records in a manner that meets community standards of care or nationally accepted 
138.8 	practice standards;
138.9 	(13)(16) demonstrated a willful or careless disregard for the health, welfare, or safety 
138.10 	of a client;
138.11 	(17) inappropriately supervised or delegated or assigned tasks to an occupational therapy 
138.12 	assistant, occupational therapy student, rehabilitation aide, or other licensed professional;
138.13 	(14) (18) performed medical diagnosis or provided intervention, other than occupational 
138.14 	therapy, without being licensed to do so under the laws of this state;
138.15 	(15) (19) paid or promised to pay a commission or part of a fee to any person who 
138.16 	contacts the occupational therapist therapy practitioner for consultation or sends patients to 
138.17 	the occupational therapist therapy practitioner for intervention;
138.18 	(16) (20) engaged in an incentive payment arrangement, other than that prohibited by 
138.19 	clause (15) (19), that promotes occupational therapy overutilization, whereby the referring 
138.20 	person or person who controls the availability of occupational therapy services to a client 
138.21 	profits unreasonably as a result of client intervention;
138.22 	(17) (21) engaged in abusive or fraudulent billing practices, including violations of 
138.23 	federal Medicare and Medicaid laws, Food and Drug Administration regulations, or state 
138.24 	medical assistance laws;
138.25 	(18) (22) obtained money, property, or services from a consumer through the use of 
138.26 	undue influence, high pressure sales tactics, harassment, duress, deception, or fraud;
138.27 	(19) (23) performed services for a client who had no possibility of benefiting from the 
138.28 	services;
138.29 	(20) (24) failed to refer a client for medical evaluation when appropriate or when a client 
138.30 	indicated symptoms associated with diseases that could be medically or surgically treated;
139.1 	(21) (25) engaged in conduct with a client that is sexual or may reasonably be interpreted 
139.2 	by the client as sexual, or in any verbal behavior that is seductive or sexually demeaning to 
139.3 	a patient;
139.4 	(22) (26) violated a federal or state court order, including a conciliation court judgment, 
139.5 	or a disciplinary order issued by the board, related to the person's occupational therapy 
139.6 	practice; or
139.7 	(23)(27) any other just cause related to the practice of occupational therapy.

139.8 	Sec. 72. Minnesota Statutes 2024, section 148.6448, subdivision 2, is amended to read:
139.9 		Subd. 2.Investigation of complaints. The board may initiate an investigation upon 
139.10 	receiving a complaint or other oral or written communication that alleges or implies that a 
139.11 	person has violated sections 148.6401 to 148.6449 148.645. In the receipt, investigation, 
139.12 	and hearing of a complaint that alleges or implies a person has violated sections 148.6401
139.13 	to 148.6449 148.645, the board must follow the procedures in sections 214.10 and 214.103.

139.14 	Sec. 73. Minnesota Statutes 2024, section 148.6448, subdivision 4, is amended to read:
139.15 		Subd. 4.Effect of specific disciplinary action on use of title. Upon notice from the 
139.16 	board denying licensure renewal or upon notice that disciplinary actions have been imposed 
139.17 	and the person is no longer entitled to practice occupational therapy and use the occupational 
139.18 	therapy and licensed titles, the person shall cease to practice occupational therapy, to use 
139.19 	titles protected by sections 148.6401 to 148.6449 148.645, and to represent to the public 
139.20 	that the person is licensed by the board.

139.21 	Sec. 74. Minnesota Statutes 2024, section 148.6448, subdivision 6, is amended to read:
139.22 		Subd. 6.Authority to contract.  The board shall contract with the health professionals 
139.23 	services program as authorized by sections 214.31 to 214.37 to provide these services to 
139.24 	practitioners under this chapter. The health professionals services program does not affect 
139.25 	the board's authority to discipline violations of sections 148.6401 to 148.6449 148.645.

139.26 	Sec. 75. Minnesota Statutes 2024, section 148.6449, subdivision 1, is amended to read:
139.27 		Subdivision 1.Creation. The Board of Occupational Therapy Practice consists of 11 
139.28 	members appointed by the governor. The members are:
139.29 	(1) five occupational therapists licensed under sections 148.6401 to 148.6449 148.645;
140.1 	(2) three occupational therapy assistants licensed under sections 148.6401 to 148.6449
140.2 	148.645; and
140.3 	(3) three public members, including two members who have received occupational 
140.4 	therapy services or have a family member who has received occupational therapy services, 
140.5 	and one member who is a health care professional or health care provider licensed in 
140.6 	Minnesota.

140.7 	Sec. 76. Minnesota Statutes 2024, section 148.6449, subdivision 2, is amended to read:
140.8 		Subd. 2.Qualifications of board members. (a) The occupational therapy practitioners 
140.9 	appointed to the board must represent a variety of practice areas and settings.
140.10 	(b) At least two occupational therapy practitioners three members of the board must be 
140.11 	employed or reside outside the seven-county metropolitan area.
140.12 	(c) Board members must not serve for more than two full consecutive terms.
140.13 	(d) Interstate licensure compact privilege holders are not eligible to serve on the board.

140.14 	Sec. 77. Minnesota Statutes 2024, section 148.6449, subdivision 7, is amended to read:
140.15 		Subd. 7.Duties of the Board of Occupational Therapy Practice. (a) The board shall:
140.16 	(1) adopt and enforce rules and laws necessary for licensing occupational therapy 
140.17 	practitioners;
140.18 	(2) adopt and enforce rules for regulating the professional conduct of the practice of 
140.19 	occupational therapy;
140.20 	(3) issue licenses to qualified individuals in accordance with sections 148.6401 to 
140.21 	148.6449 148.645;
140.22 	(4) assess and collect fees for the issuance and renewal of licenses;
140.23 	(5) educate the public about the requirements for licensing occupational therapy 
140.24 	practitioners, educate occupational therapy practitioners about the rules of conduct, and 
140.25 	enable the public to file complaints against applicants and licensees who may have violated 
140.26 	sections 148.6401 to 148.6449 148.645; and
140.27 	(6) investigate individuals engaging in practices that violate sections 148.6401 to 
140.28 	148.6449 148.645 and take necessary disciplinary, corrective, or other action according to 
140.29 	section 148.6448.
141.1 	(b) The board may adopt rules necessary to define standards or carry out the provisions 
141.2 	of sections 148.6401 to 148.6449 148.645. Rules shall be adopted according to chapter 14.

141.3 	Sec. 78. Minnesota Statutes 2024, section 148B.53, subdivision 3, is amended to read:
141.4 		Subd. 3.Fee Fees. Nonrefundable fees are as follows:
141.5 	(1) initial license application fee for licensed professional counseling (LPC) - $150;
141.6 	(2) initial license fee for LPC - $250;
141.7 	(3) annual active license renewal fee for LPC - $250 or equivalent;
141.8 	(4) annual inactive license renewal fee for LPC - $125;
141.9 	(5) initial license application fee for licensed professional clinical counseling (LPCC) - 
141.10 	$150;
141.11 	(6) initial license fee for LPCC - $250;
141.12 	(7) annual active license renewal fee for LPCC - $250 or equivalent;
141.13 	(8) annual inactive license renewal fee for LPCC - $125;
141.14 	(9) license renewal late fee - $100 per month or portion thereof;
141.15 	(10) copy of board order or stipulation - $10;
141.16 	(11) certificate of good standing or license verification - $25;
141.17 	(12) duplicate certificate fee - $25;
141.18 	(13) professional firm renewal fee - $25;
141.19 	(14) sponsor application for approval of a continuing education course - $60;
141.20 	(15) initial registration fee - $50;
141.21 	(16) annual registration renewal fee - $25;
141.22 	(17) approved supervisor application processing fee - $30; and
141.23 	(18) temporary license for members of the military - $250; and
141.24 	(19) interstate compact privilege to practice fee - not to exceed $100.

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

142.1 	Sec. 79. Minnesota Statutes 2024, section 148E.180, subdivision 1, is amended to read:
142.2 		Subdivision 1.Application fees. (a) Nonrefundable application fees for licensure may 
142.3 	not exceed the following amounts but may be adjusted lower by board action:
142.4 	(1) for a licensed social worker, $75;
142.5 	(2) for a licensed graduate social worker, $75;
142.6 	(3) for a licensed independent social worker, $75;
142.7 	(4) for a licensed independent clinical social worker, $75;
142.8 	(5) for a temporary license, $50; and
142.9 	(6) for a license by endorsement, $115; and
142.10 	(7) for a compact multistate license, $75.
142.11 	(b) The fee for criminal background checks is the fee charged by the Bureau of Criminal 
142.12 	Apprehension. The criminal background check fee must be included with the application 
142.13 	fee as required according to section 148E.055.

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

142.15 	Sec. 80. Minnesota Statutes 2024, section 148E.180, is amended by adding a subdivision 
142.16 	to read:
142.17 		Subd. 2a.Compact multistate license fees. Nonrefundable compact multistate license 
142.18 	fees must not exceed the following amounts but may be adjusted lower by board action:
142.19 	(1) for a licensed social worker, $115;
142.20 	(2) for a licensed graduate social worker, $210;
142.21 	(3) for a licensed independent social worker, $305; and
142.22 	(4) for a licensed independent clinical social worker, $335.

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

142.24 	Sec. 81. Minnesota Statutes 2024, section 148E.180, is amended by adding a subdivision 
142.25 	to read:
142.26 		Subd. 3a.Compact multistate renewal fees. Nonrefundable renewal fees for compact 
142.27 	multistate licensure must not exceed the following amounts but may be adjusted lower by 
142.28 	board action:
143.1 	(1) for a licensed social worker, $115;
143.2 	(2) for a licensed graduate social worker, $210;
143.3 	(3) for a licensed independent social worker, $305; and
143.4 	(4) for a licensed independent clinical social worker, $335.

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

143.6 	Sec. 82. Minnesota Statutes 2024, section 148E.180, subdivision 5, is amended to read:
143.7 		Subd. 5.Late fees. Late fees are the following nonrefundable amounts:
143.8 	(1) renewal late fee, one-fourth of the applicable renewal fee specified in subdivision
143.9 	subdivisions 3 and 3a;
143.10 	(2) supervision plan late fee, $40; and
143.11 	(3) license late fee, $100 plus the prorated share of the applicable license fee fees specified 
143.12 	in subdivision subdivisions 2 and 2a for the number of months during which the individual 
143.13 	practiced social work without a license.

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

143.15 	Sec. 83. Minnesota Statutes 2024, section 148E.180, subdivision 7, is amended to read:
143.16 		Subd. 7.Reactivation fees. Reactivation fees are the following nonrefundable amounts:
143.17 	(1) reactivation from a temporary leave or emeritus status, the prorated share of the 
143.18 	renewal fee specified in subdivision 3; and
143.19 	(2) reactivation of an expired license, 1-1/2 times the applicable renewal fees specified 
143.20 	in subdivision subdivisions 3 and 3a.

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

143.22 	Sec. 84. [148G.01] TITLE.
143.23 	This chapter shall be referred to as the Minnesota Certified Midwife Practice Act.

143.24 	Sec. 85. [148G.02] SCOPE.
143.25 	This chapter applies to all applicants and licensees, all persons who use the title certified 
143.26 	midwife, and all persons in or out of this state who provide certified midwifery services to 
143.27 	patients who reside in this state, unless there are specific applicable exemptions provided 
143.28 	by law.

144.1 	Sec. 86. [148G.03] DEFINITIONS.
144.2 		Subdivision 1.Scope. For purposes of this chapter, the definitions in this section have 
144.3 	the meanings given.
144.4 		Subd. 2.Board. "Board" means the Minnesota Board of Nursing.
144.5 		Subd. 3.Certification. "Certification" means the formal recognition by the American 
144.6 	Midwifery Certification Board of the knowledge, skills, and experience demonstrated by 
144.7 	the achievement of standards identified by the American College of Nurse Midwives or any 
144.8 	successor organization.
144.9 		Subd. 4.Certified midwife. "Certified midwife" means an individual who holds a current 
144.10 	and valid national certification as a certified midwife from the American Midwifery 
144.11 	Certification Board or any successor organization and who is licensed by the board under 
144.12 	this chapter.
144.13 		Subd. 5.Certified midwifery practice. "Certified midwifery practice" means:
144.14 	(1) managing, diagnosing, and treating women's primary health care beginning in 
144.15 	adolescence, including pregnancy, childbirth, the postpartum period, care of the newborn, 
144.16 	family planning, partner care management relating to sexual health, and gynecological care 
144.17 	of women;
144.18 	(2) ordering, performing, supervising, and interpreting diagnostic studies within the 
144.19 	scope of certified midwifery practice, excluding:
144.20 	(i) interpreting and performing specialized ultrasound examinations; and
144.21 	(ii) interpreting computed tomography scans, magnetic resonance imaging scans, positron 
144.22 	emission tomography scans, nuclear scans, and mammography;
144.23 	(3) prescribing pharmacologic and nonpharmacologic therapies appropriate to midwifery 
144.24 	practice;
144.25 	(4) consulting with, collaborating with, or referring to other health care providers as 
144.26 	warranted by the needs of the patient; and
144.27 	(5) performing the role of educator in the theory and practice of midwifery.
144.28 		Subd. 6.Collaborating. "Collaborating" means the process in which two or more health 
144.29 	care professionals work together to meet the health care needs of a patient, as warranted by 
144.30 	the needs of the patient.
145.1 		Subd. 7.Consulting. "Consulting" means the process in which a certified midwife who 
145.2 	maintains primary management responsibility for a patient's care seeks advice or opinion 
145.3 	of a physician, an advanced practice registered nurse, or another member of the health care 
145.4 	team.
145.5 		Subd. 8.Encumbered. "Encumbered" means:
145.6 	(1) a license or other credential that is revoked, is suspended, or contains limitations on 
145.7 	the full and unrestricted practice of certified midwifery when the revocation, suspension, 
145.8 	or limitation is imposed by a state licensing board or other state regulatory entity; or
145.9 	(2) a license or other credential that is voluntarily surrendered.
145.10 		Subd. 9.Licensure period. "Licensure period" means the interval of time during which 
145.11 	the certified midwife is authorized to engage in certified midwifery. The initial licensure 
145.12 	period is from six to 29 full calendar months starting on the day of licensure and ending on 
145.13 	the last day of the certified midwife's month of birth in an even-numbered year if the year 
145.14 	of birth is an even-numbered year, or in an odd-numbered year if the year of birth is an 
145.15 	odd-numbered year. Subsequent licensure renewal periods are 24 months. For licensure 
145.16 	renewal, the period starts on the first day of the month following expiration of the previous 
145.17 	licensure period. The period ends the last day of the certified midwife's month of birth in 
145.18 	an even- or odd-numbered year according to the certified midwife's year of birth.
145.19 		Subd. 10.Licensed practitioner. "Licensed practitioner" means a physician licensed 
145.20 	under chapter 147, an advanced practice registered nurse licensed under sections 148.171 
145.21 	to 148.235, or a certified midwife licensed under this chapter.
145.22 		Subd. 11.Midwifery education program. "Midwifery education program" means a 
145.23 	program of theory and practice offered by a university or college that leads to the preparation 
145.24 	and eligibility for certification in midwifery and is accredited by the Accreditation 
145.25 	Commission for Midwifery Education or any successor organization recognized by the 
145.26 	United States Department of Education or the Council for Higher Education Accreditation.
145.27 		Subd. 12.Patient. "Patient" means a recipient of care provided by a certified midwife 
145.28 	within the scope of certified midwifery practice, including an individual, family, group, or 
145.29 	community.
145.30 		Subd. 13.Prescribing. "Prescribing" means the act of generating a prescription for the 
145.31 	preparation of, use of, or manner of using a drug or therapeutic device under section 148G.09. 
145.32 	Prescribing does not include recommending the use of a drug or therapeutic device that is 
146.1 	not required by the federal Food and Drug Administration to meet the labeling requirements 
146.2 	for prescription drugs and devices.
146.3 		Subd. 14.Prescription. "Prescription" means a written direction or an oral direction 
146.4 	reduced to writing provided to or for a patient for the preparation or use of a drug or 
146.5 	therapeutic device. The requirements of section 151.01, subdivisions 16, 16a, and 16b, apply 
146.6 	to prescriptions for drugs.
146.7 		Subd. 15.Referral. "Referral" means the process in which a certified midwife directs 
146.8 	a patient to a physician or another health care professional for management of a particular 
146.9 	problem or aspect of the patient's care.
146.10 		Subd. 16.Supervision. "Supervision" means monitoring and establishing the initial 
146.11 	direction of, setting expectations for, directing activities in, evaluating, and changing a 
146.12 	course of action in certified midwifery care.

146.13 	Sec. 87. [148G.04] CERTIFIED MIDWIFE LICENSING.
146.14 		Subdivision 1.Licensure. (a) No person shall practice as a certified midwife or serve 
146.15 	as the faculty of record for clinical instruction in a midwifery distance learning program 
146.16 	unless the person is licensed by the board under this chapter.
146.17 	(b) An applicant for a license to practice as a certified midwife must apply to the board 
146.18 	in a format prescribed by the board and pay a fee in an amount determined under section 
146.19 	148G.11.
146.20 	(c) To be eligible for licensure, an applicant must:
146.21 	(1) not hold an encumbered license or other credential as a certified midwife or equivalent 
146.22 	professional designation in any state or territory;
146.23 	(2) hold a current and valid certification as a certified midwife from the American 
146.24 	Midwifery Certification Board or any successor organization acceptable to the board and 
146.25 	provide primary source verification of certification to the board in a format prescribed by 
146.26 	the board;
146.27 	(3) have completed a graduate-level midwifery education program that includes clinical 
146.28 	experience, is accredited by the Accreditation Commission for Midwifery Education or any 
146.29 	successor organization recognized by the United States Department of Education or the 
146.30 	Council for Higher Education Accreditation, and leads to a graduate degree. The applicant 
146.31 	must submit primary source verification of program completion to the board in a format 
146.32 	prescribed by the board. The primary source verification must verify the applicant completed 
147.1 	three separate graduate-level courses in physiology and pathophysiology; advanced health 
147.2 	assessment; and advanced pharmacology, including pharmacodynamics, pharmacokinetics, 
147.3 	and pharmacotherapeutics of all broad categories of agents;
147.4 	(4) report any criminal conviction, nolo contendere plea, Alford plea, or other plea 
147.5 	arrangement in lieu of conviction; and
147.6 	(5) not have committed any acts or omissions that are grounds for disciplinary action in 
147.7 	another jurisdiction or, if these acts were committed and would be grounds for disciplinary 
147.8 	action as set forth in section 148G.13, the board has found after an investigation that sufficient 
147.9 	remediation was made.
147.10 		Subd. 2.Clinical practice component. If more than five years have elapsed since the 
147.11 	applicant has practiced in the certified midwife role, the applicant must complete a 
147.12 	reorientation plan as a certified midwife. The plan must include supervision during the 
147.13 	clinical component by a licensed practitioner with experience in providing care to patients 
147.14 	with the same or similar health care needs. The applicant must submit the plan and the name 
147.15 	of the practitioner to the board. The plan must include a minimum of 500 hours of supervised 
147.16 	certified midwifery practice. The certified midwife must submit verification of completion 
147.17 	of the clinical reorientation to the board when the reorientation is complete.

147.18 	Sec. 88. [148G.05] LICENSURE RENEWAL; RELICENSURE.
147.19 		Subdivision 1.Renewal; current applicants. (a) A certified midwife must apply for 
147.20 	renewal of the certified midwife's license before the certified midwife's licensure period 
147.21 	ends. To be considered timely, the board must receive the certified midwife's application 
147.22 	on or before the last day of the certified midwife's licensure period. A certified midwife's 
147.23 	license lapses if the certified midwife's application is untimely.
147.24 	(b) An applicant for license renewal must provide the board evidence of current 
147.25 	certification or recertification as a certified midwife by the American Midwifery Certification 
147.26 	Board or any successor organization.
147.27 	(c) An applicant for license renewal must submit to the board the fee under section 
147.28 	148G.11, subdivision 2.
147.29 		Subd. 2.Clinical practice component. If more than five years have elapsed since the 
147.30 	applicant has practiced as a certified midwife, the applicant must complete a reorientation 
147.31 	plan as a certified midwife. The plan must include supervision during the clinical component 
147.32 	by a licensed practitioner with experience in providing care to patients with the same or 
147.33 	similar health care needs. The licensee must submit the plan and the name of the practitioner 
148.1 	to the board. The plan must include a minimum of 500 hours of supervised certified 
148.2 	midwifery practice. The certified midwife must submit verification of completion of the 
148.3 	clinical reorientation to the board when the reorientation is complete.
148.4 		Subd. 3.Relicensure; lapsed applicants. A person whose license has lapsed who desires 
148.5 	to resume practice as a certified midwife must apply for relicensure, submit to the board 
148.6 	satisfactory evidence of compliance with the procedures and requirements established by 
148.7 	the board, and pay the board the relicensure fee under section 148G.11, subdivision 4, for 
148.8 	the current licensure period. A penalty fee under section 148G.11, subdivision 4, is required 
148.9 	from a person who practiced certified midwifery without current licensure. The board must 
148.10 	relicense a person who meets the requirements of this subdivision.

148.11 	Sec. 89. [148G.06] FAILURE OR REFUSAL TO PROVIDE INFORMATION.
148.12 		Subdivision 1.Notification requirement. An individual licensed as a certified midwife 
148.13 	must notify the board when the individual renews their certification. If a licensee fails to 
148.14 	provide notification, the licensee is prohibited from practicing as a certified midwife.
148.15 		Subd. 2.Denial of license. Refusal of an applicant to supply information necessary to 
148.16 	determine the applicant's qualifications, failure to demonstrate qualifications, or failure to 
148.17 	satisfy the requirements for a license contained in this chapter or rules of the board may 
148.18 	result in denial of a license. The burden of proof is upon the applicant to demonstrate the 
148.19 	qualifications and satisfaction of the requirements.

148.20 	Sec. 90. [148G.07] NAME CHANGE AND CHANGE OF ADDRESS.
148.21 	A certified midwife must maintain a current name and address with the board and must 
148.22 	notify the board in writing within 30 days of any change in name or address. All notices or 
148.23 	other correspondence mailed to or served upon a certified midwife by the board at the 
148.24 	licensee's address on file with the board are considered received by the licensee.

148.25 	Sec. 91. [148G.08] IDENTIFICATION OF CERTIFIED MIDWIVES.
148.26 	Only those persons who hold a current license to practice certified midwifery in 
148.27 	Minnesota may use the title of certified midwife. A certified midwife licensed by the board 
148.28 	must use the designation of "CM" for professional identification and in documentation of 
148.29 	services provided.

149.1 	Sec. 92. [148G.09] PRESCRIBING DRUGS AND THERAPEUTIC DEVICES.
149.2 		Subdivision 1.Diagnosing, prescribing, and ordering. Certified midwives, within the 
149.3 	scope of certified midwifery practice, are authorized to:
149.4 	(1) diagnose, prescribe, and institute therapy or referrals of patients to health care agencies 
149.5 	and providers;
149.6 	(2) prescribe, procure, sign for, record, administer, and dispense over-the-counter, legend, 
149.7 	and controlled substances, including sample drugs; and
149.8 	(3) plan and initiate a therapeutic regimen that includes ordering and prescribing durable 
149.9 	medical devices and equipment, nutrition, diagnostic services, and supportive services, 
149.10 	including but not limited to home health care, physical therapy, and occupational therapy.
149.11 		Subd. 2.Drug Enforcement Administration requirements. (a) Certified midwives 
149.12 	must:
149.13 	(1) comply with federal Drug Enforcement Administration (DEA) requirements related 
149.14 	to controlled substances; and
149.15 	(2) file the certified midwife's DEA registrations and numbers, if any, with the board.
149.16 	(b) The board must maintain current records of all certified midwives with a DEA 
149.17 	registration and number.

149.18 	Sec. 93. [148G.10] FEES.
149.19 	The fees specified in section 148G.11 are nonrefundable and must be deposited in the 
149.20 	state government special revenue fund.

149.21 	Sec. 94. [148G.11] FEE AMOUNTS.
149.22 		Subdivision 1.Licensure. The fee for licensure is $105.
149.23 		Subd. 2.Renewal. The fee for licensure renewal is $85.
149.24 		Subd. 3.Practicing without current certification. The penalty fee for a person who 
149.25 	practices certified midwifery without a current certification or recertification, or who practices 
149.26 	certified midwifery without current certification or recertification on file with the board, is 
149.27 	$200 for the first month or part of a month and an additional $100 for each subsequent 
149.28 	month or parts of months of practice. The penalty fee must be calculated from the first day 
149.29 	the certified midwife practiced without a current certification to the last day of practice 
149.30 	without a current certification, or from the first day the certified midwife practiced without 
150.1 	a current certification or recertification on file with the board until the day the current 
150.2 	certification or recertification is filed with the board.
150.3 		Subd. 4.Relicensure. The fee for relicensure is $105. The fee for practicing without 
150.4 	current licensure is two times the amount of the current renewal fee for any part of the first 
150.5 	calendar month, plus the current renewal fee for any part of each subsequent month up to 
150.6 	24 months.
150.7 		Subd. 5.Dishonored check fee. The service fee for a dishonored check is as provided 
150.8 	in section 604.113.

150.9 	Sec. 95. [148G.12] APPROVED MIDWIFERY EDUCATION PROGRAM.
150.10 		Subdivision 1.Initial approval. A university or college desiring to conduct a certified 
150.11 	midwifery education program must submit evidence to the board that the university or 
150.12 	college is prepared to:
150.13 	(1) provide a program of theory and practice in certified midwifery leading to eligibility 
150.14 	for certification in midwifery;
150.15 	(2) achieve preaccreditation and eventual full accreditation by the American Commission 
150.16 	for Midwifery Education or any successor organization recognized by the United States 
150.17 	Department of Education or the Council for Higher Education Accreditation. Instruction 
150.18 	and required experience may be obtained in one or more institutions or agencies outside 
150.19 	the applying university or college if the program retains accountability for all clinical and 
150.20 	nonclinical teaching; and
150.21 	(3) meet other standards established by law and by the board.
150.22 		Subd. 2.Continuing approval. The board must, through the board's representative, 
150.23 	annually survey all midwifery education programs in Minnesota for current accreditation 
150.24 	status by the American Commission for Midwifery Education or any successor organization 
150.25 	recognized by the United States Department of Education or the Council for Higher Education 
150.26 	Accreditation. If the results of the survey show that a certified midwifery education program 
150.27 	meets all standards for continuing accreditation, the board must continue approval of the 
150.28 	certified midwifery education program.
150.29 		Subd. 3.Loss of approval. If the board determines that an accredited certified midwifery 
150.30 	education program is not maintaining the standards required by the American Commission 
150.31 	on Midwifery Education or any successor organization, the board must obtain the defect in 
150.32 	writing from the accrediting body. If a program fails to correct the defect to the satisfaction 
150.33 	of the accrediting body and the accrediting body revokes the program's accreditation, the 
151.1 	board must remove the program from the list of approved certified midwifery education 
151.2 	programs.
151.3 		Subd. 4.Reinstatement of approval. The board must reinstate approval of a certified 
151.4 	midwifery education program upon submission of satisfactory evidence that the certified 
151.5 	midwifery education program of theory and practice meets the standards required by the 
151.6 	accrediting body.

151.7 	Sec. 96. [148G.13] GROUNDS FOR DISCIPLINARY ACTION.
151.8 		Subdivision 1.Grounds listed. The board may deny, revoke, suspend, limit, or condition 
151.9 	the license of any person to practice certified midwifery under this chapter or otherwise 
151.10 	discipline a licensee or applicant as described in section 148G.14. The following are grounds 
151.11 	for disciplinary action:
151.12 	(1) failure to demonstrate the qualifications or satisfy the requirements for a license 
151.13 	contained in this chapter or rules of the board. In the case of an applicant for licensure, the 
151.14 	burden of proof is upon the applicant to demonstrate the qualifications or satisfaction of the 
151.15 	requirements;
151.16 	(2) employing fraud or deceit in procuring or attempting to procure a license to practice 
151.17 	certified midwifery;
151.18 	(3) conviction of a felony or gross misdemeanor reasonably related to the practice of 
151.19 	certified midwifery. Conviction, as used in this subdivision, includes a conviction of an 
151.20 	offense that if committed in this state would be considered a felony or gross misdemeanor 
151.21 	without regard to its designation elsewhere, or a criminal proceeding where a finding or 
151.22 	verdict of guilt is made or returned, but the adjudication of guilt is either withheld or not 
151.23 	entered;
151.24 	(4) revocation, suspension, limitation, conditioning, or other disciplinary action against 
151.25 	the person's certified midwife credential in another state, territory, or country; failure to 
151.26 	report to the board that charges regarding the person's certified midwifery license, 
151.27 	certification, or other credential are pending in another state, territory, or country; or failure 
151.28 	to report to the board having been refused a license or other credential by another state, 
151.29 	territory, or country;
151.30 	(5) failure or inability to practice as a certified midwife with reasonable skill and safety, 
151.31 	or departure from or failure to conform to standards of acceptable and prevailing certified 
151.32 	midwifery practice, including failure of a certified midwife to adequately supervise or 
151.33 	monitor the performance of acts by any person working at the certified midwife's direction;
152.1 	(6) engaging in unprofessional conduct, including but not limited to a departure from 
152.2 	or failure to conform to statutes relating to certified midwifery practice or to the minimal 
152.3 	standards of acceptable and prevailing certified midwifery practice, or engaging in any 
152.4 	certified midwifery practice that may create unnecessary danger to a patient's life, health, 
152.5 	or safety. Actual injury to a patient need not be established under this clause;
152.6 	(7) supervision or accepting the supervision of a midwifery function or a prescribed 
152.7 	health care function when the acceptance could reasonably be expected to result in unsafe 
152.8 	or ineffective patient care;
152.9 	(8) actual or potential inability to practice certified midwifery with reasonable skill and 
152.10 	safety to patients by reason of illness; by the reason of use of alcohol, drugs, chemicals, or 
152.11 	any other material; or as a result of any mental or physical condition;
152.12 	(9) adjudication as mentally incompetent, mentally ill, a chemically dependent person, 
152.13 	or a person dangerous to the public by a court of competent jurisdiction, within or outside 
152.14 	of Minnesota;
152.15 	(10) engaging in any unethical conduct, including but not limited to conduct likely to 
152.16 	deceive, defraud, or harm the public, or demonstrating a willful or careless disregard for 
152.17 	the health, welfare, or safety of a patient. Actual injury need not be established under this 
152.18 	clause;
152.19 	(11) engaging in conduct with a patient that is sexual or may reasonably be interpreted 
152.20 	by the patient as sexual, in any verbal behavior that is seductive or sexually demeaning to 
152.21 	a patient, or in sexual exploitation of a patient or former patient;
152.22 	(12) obtaining money, property, or services from a patient, other than reasonable fees 
152.23 	for services provided to the patient, through the use of undue influence, harassment, duress, 
152.24 	deception, or fraud;
152.25 	(13) revealing a privileged communication from or relating to a patient except when 
152.26 	otherwise required or permitted by law;
152.27 	(14) engaging in abusive or fraudulent billing practices, including violations of federal 
152.28 	Medicare and Medicaid laws or state medical assistance laws;
152.29 	(15) improper management of patient records, including failure to maintain adequate 
152.30 	patient records, to comply with a patient's request made pursuant to sections 144.291 to 
152.31 	144.298, or to furnish a patient record or report required by law;
152.32 	(16) knowingly aiding, assisting, advising, or allowing an unlicensed person to engage 
152.33 	in the unlawful practice of certified midwifery;
153.1 	(17) violating a rule adopted by the board, an order of the board, a state or federal law 
153.2 	relating to the practice of certified midwifery, or a state or federal narcotics or controlled 
153.3 	substance law;
153.4 	(18) knowingly providing false or misleading information to a patient that is directly 
153.5 	related to the care of that patient unless done for an accepted therapeutic purpose such as 
153.6 	the administration of a placebo;
153.7 	(19) aiding suicide or aiding attempted suicide in violation of section 609.215 as 
153.8 	established by any of the following:
153.9 	(i) a copy of the record of criminal conviction or plea of guilty for a felony in violation 
153.10 	of section 609.215, subdivision 1 or 2;
153.11 	(ii) a copy of the record of a judgment of contempt of court for violating an injunction 
153.12 	issued under section 609.215, subdivision 4;
153.13 	(iii) a copy of the record of a judgment assessing damages under section 609.215, 
153.14 	subdivision 5; or
153.15 	(iv) a finding by the board that the person violated section 609.215, subdivision 1 or 2. 
153.16 	The board must investigate any complaint of a violation of section 609.215, subdivision 1 
153.17 	or 2;
153.18 	(20) practicing outside the scope of certified midwifery practice as defined under section 
153.19 	148G.03, subdivision 5;
153.20 	(21) making a false statement or knowingly providing false information to the board, 
153.21 	failing to make reports as required by section 148G.15, or failing to cooperate with an 
153.22 	investigation of the board as required by section 148G.17;
153.23 	(22) engaging in false, fraudulent, deceptive, or misleading advertising;
153.24 	(23) failure to inform the board of the person's certification or recertification status as 
153.25 	a certified midwife;
153.26 	(24) engaging in certified midwifery practice without a license and current certification 
153.27 	or recertification by the American Midwifery Certification Board or any successor 
153.28 	organization; or
153.29 	(25) failure to maintain appropriate professional boundaries with a patient. A certified 
153.30 	midwife must not engage in practices that create an unacceptable risk of patient harm or of 
153.31 	the impairment of a certified midwife's objectivity or professional judgment. A certified 
153.32 	midwife must not act or fail to act in a way that, as judged by a reasonable and prudent 
154.1 	certified midwife, inappropriately encourages the patient to relate to the certified midwife 
154.2 	outside of the boundaries of the professional relationship or in a way that interferes with 
154.3 	the patient's ability to benefit from certified midwife services. A certified midwife must not 
154.4 	use the professional relationship with a patient, student, supervisee, or intern to further the 
154.5 	certified midwife's personal, emotional, financial, sexual, religious, political, or business 
154.6 	benefit or interests.
154.7 		Subd. 2.Conviction of a felony-level criminal sexual offense. (a) Except as provided 
154.8 	in paragraph (e), the board must not grant or renew a license to practice certified midwifery 
154.9 	to any person who has been convicted on or after August 1, 2014, of any of the provisions 
154.10 	of section 609.342, subdivision 1 or 1a; 609.343, subdivision 1 or 1a; 609.344, subdivision 
154.11 	1 or 1a, paragraphs (c) to (g); or 609.345, subdivision 1 or 1a, paragraphs (c) to (g); or a 
154.12 	similar statute in another jurisdiction.
154.13 	(b) A license to practice certified midwifery is automatically revoked if the licensee is 
154.14 	convicted of an offense listed in paragraph (a).
154.15 	(c) A license to practice certified midwifery that has been denied or revoked under this 
154.16 	subdivision is not subject to chapter 364.
154.17 	(d) For purposes of this subdivision, "conviction" means a plea of guilty, a verdict of 
154.18 	guilty by a jury, or a finding of guilty by the court, unless the court stays imposition or 
154.19 	execution of the sentence and final disposition of the case is accomplished at a nonfelony 
154.20 	level.
154.21 	(e) The board may establish criteria whereby an individual convicted of an offense listed 
154.22 	in paragraph (a) may become licensed if the criteria:
154.23 	(1) utilize a rebuttable presumption that the applicant is not suitable for licensing;
154.24 	(2) provide a standard for overcoming the presumption; and
154.25 	(3) require that a minimum of ten years has elapsed since the applicant's sentence was 
154.26 	discharged.
154.27 	(f) The board must not consider an application under paragraph (e) if the board determines 
154.28 	that the victim involved in the offense was a patient or a client of the applicant at the time 
154.29 	of the offense.
154.30 		Subd. 3.Evidence. In disciplinary actions alleging a violation of subdivision 1, clause 
154.31 	(3) or (4), or 2, a copy of the judgment or proceeding under the seal of the court administrator 
154.32 	or of the administrative agency that entered the same is admissible into evidence without 
154.33 	further authentication and constitutes prima facie evidence of the violation concerned.
155.1 		Subd. 4.Examination; access to medical data. (a) If the board has probable cause to 
155.2 	believe that grounds for disciplinary action exist under subdivision 1, clause (8) or (9), it 
155.3 	may direct the applicant or certified midwife to submit to a mental or physical examination 
155.4 	or chemical dependency evaluation. For the purpose of this subdivision, when a certified 
155.5 	midwife licensed under this chapter is directed in writing by the board to submit to a mental 
155.6 	or physical examination or chemical dependency evaluation, that person is considered to 
155.7 	have consented and to have waived all objections to admissibility on the grounds of privilege. 
155.8 	Failure of the applicant or certified midwife to submit to an examination when directed 
155.9 	constitutes an admission of the allegations against the applicant or certified midwife, unless 
155.10 	the failure was due to circumstances beyond the person's control, and the board may enter 
155.11 	a default and final order without taking testimony or allowing evidence to be presented. A 
155.12 	certified midwife affected under this paragraph must, at reasonable intervals, be given an 
155.13 	opportunity to demonstrate that the competent practice of certified midwifery can be resumed 
155.14 	with reasonable skill and safety to patients. Neither the record of proceedings nor the orders 
155.15 	entered by the board in a proceeding under this paragraph may be used against a certified 
155.16 	midwife in any other proceeding.
155.17 	(b) Notwithstanding sections 13.384, 144.651, and 595.02, or any other law limiting 
155.18 	access to medical or other health data, the board may obtain medical data and health records 
155.19 	relating to a certified midwife or applicant for a license without that person's consent if the 
155.20 	board has probable cause to believe that grounds for disciplinary action exist under 
155.21 	subdivision 1, clause (8) or (9). The medical data may be requested from a provider, as 
155.22 	defined in section 144.291, subdivision 2; an insurance company; or a government agency, 
155.23 	including the Department of Human Services or Direct Care and Treatment. A provider, 
155.24 	insurance company, or government agency must comply with any written request of the 
155.25 	board under this subdivision and is not liable in any action for damages for releasing the 
155.26 	data requested by the board if the data are released pursuant to a written request under this 
155.27 	subdivision, unless the information is false and the provider giving the information knew 
155.28 	or had reason to believe the information was false. Information obtained under this 
155.29 	subdivision is classified as private data on individuals as defined in section 13.02.

155.30 	Sec. 97. [148G.14] FORMS OF DISCIPLINARY ACTION; AUTOMATIC 
155.31 	SUSPENSION; TEMPORARY SUSPENSION; REISSUANCE.
155.32 		Subdivision 1.Forms of disciplinary action. If the board finds that grounds for 
155.33 	disciplinary action exist under section 148G.13, it may take one or more of the following 
155.34 	actions:
156.1 	(1) deny the license application or application for license renewal;
156.2 	(2) revoke the license;
156.3 	(3) suspend the license;
156.4 	(4) impose limitations on the certified midwife's practice of certified midwifery, including 
156.5 	but not limited to limitation of scope of practice or the requirement of practice under 
156.6 	supervision;
156.7 	(5) impose conditions on the retention of the license, including but not limited to the 
156.8 	imposition of retraining or rehabilitation requirements or the conditioning of continued 
156.9 	practice on demonstration of knowledge or skills by appropriate examination, monitoring, 
156.10 	or other review;
156.11 	(6) impose a civil penalty not exceeding $10,000 for each separate violation. The amount 
156.12 	of the civil penalty must be fixed so as to deprive the certified midwife of any economic 
156.13 	advantage gained by reason of the violation charged; to reimburse the board for the cost of 
156.14 	counsel, investigation, and proceeding; and to discourage repeated violations;
156.15 	(7) order the certified midwife to provide unremunerated service;
156.16 	(8) censure or reprimand the certified midwife; or
156.17 	(9) any other action justified by the facts in the case.
156.18 		Subd. 2.Automatic suspension of license. (a) Unless the board orders otherwise, a 
156.19 	license to practice certified midwifery is automatically suspended if:
156.20 	(1) a guardian of a certified midwife is appointed by order of a court under sections 
156.21 	524.5-101 to 524.5-502;
156.22 	(2) the certified midwife is committed by order of a court under chapter 253B; or
156.23 	(3) the certified midwife is determined to be mentally incompetent, mentally ill, 
156.24 	chemically dependent, or a person dangerous to the public by a court of competent 
156.25 	jurisdiction within or outside of Minnesota.
156.26 	(b) The license remains suspended until the certified midwife is restored to capacity by 
156.27 	a court and, upon petition by the certified midwife, the suspension is terminated by the 
156.28 	board after a hearing or upon agreement between the board and the certified midwife.
156.29 		Subd. 3.Temporary suspension of license. In addition to any other remedy provided 
156.30 	by law, the board may, through its designated board member under section 214.10, 
156.31 	subdivision 2, temporarily suspend the license of a certified midwife without a hearing if 
157.1 	the board finds that there is probable cause to believe the certified midwife has violated a 
157.2 	statute or rule the board is empowered to enforce and continued practice by the certified 
157.3 	midwife would create a serious risk of harm to others. The suspension takes effect upon 
157.4 	written notice to the certified midwife, served by first-class mail, specifying the statute or 
157.5 	rule violated. The suspension must remain in effect until the board issues a temporary stay 
157.6 	of suspension or a final order in the matter after a hearing or upon agreement between the 
157.7 	board and the certified midwife. At the time it issues the suspension notice, the board must 
157.8 	schedule a disciplinary hearing to be held under the Administrative Procedure Act. The 
157.9 	board must provide the certified midwife at least 20 days' notice of any hearing held under 
157.10 	this subdivision. The board must schedule the hearing to begin no later than 30 days after 
157.11 	the issuance of the suspension order.
157.12 		Subd. 4.Reissuance. The board may reinstate and reissue a license to practice certified 
157.13 	midwifery, but as a condition may impose any disciplinary or corrective measure that it 
157.14 	might originally have imposed. Any person whose license has been revoked, suspended, or 
157.15 	limited may have the license reinstated and a new license issued when, at the discretion of 
157.16 	the board, the action is warranted, provided that the board must require the person to pay 
157.17 	the costs of the proceedings resulting in the revocation, suspension, or limitation of the 
157.18 	license; the relicensure fee; and the fee for the current licensure period. The cost of 
157.19 	proceedings includes but is not limited to the cost paid by the board to the Office of 
157.20 	Administrative Hearings and the Office of the Attorney General for legal and investigative 
157.21 	services; the costs of a court reporter and witnesses, reproduction of records, board staff 
157.22 	time, travel, and expenses; and the costs of board members' per diem reimbursements, travel 
157.23 	costs, and expenses.

157.24 	Sec. 98. [148G.15] REPORTING OBLIGATIONS.
157.25 		Subdivision 1.Permission to report. A person who has knowledge of any conduct 
157.26 	constituting grounds for discipline under section 148G.13 may report the alleged violation 
157.27 	to the board.
157.28 		Subd. 2.Institutions. The chief nursing executive or chief administrative officer of any 
157.29 	hospital, clinic, prepaid medical plan, or other health care institution or organization located 
157.30 	in Minnesota must report to the board any action taken by the institution or organization or 
157.31 	any of its administrators or committees to revoke, suspend, limit, or condition a certified 
157.32 	midwife's privilege to practice in the institution or as part of the organization, any denial of 
157.33 	privileges, any dismissal from employment, or any other disciplinary action. The institution 
157.34 	or organization must also report the resignation of any certified midwife before the conclusion 
158.1 	of any disciplinary proceeding or before commencement of formal charges, but after the 
158.2 	certified midwife had knowledge that formal charges were contemplated or in preparation. 
158.3 	The reporting described by this subdivision is required only if the action pertains to grounds 
158.4 	for disciplinary action under section 148G.13.
158.5 		Subd. 3.Licensed professionals. A person licensed by a health-related licensing board 
158.6 	as defined in section 214.01, subdivision 2, must report to the board personal knowledge 
158.7 	of any conduct the person reasonably believes constitutes grounds for disciplinary action 
158.8 	under section 148G.13 by any certified midwife, including conduct indicating that the 
158.9 	certified midwife may be incompetent, may have engaged in unprofessional or unethical 
158.10 	conduct, or may be mentally or physically unable to engage safely in the practice of certified 
158.11 	midwifery.
158.12 		Subd. 4.Insurers. (a) By the first day of February, May, August, and November each 
158.13 	year, each insurer authorized to sell insurance described in section 60A.06, subdivision 1, 
158.14 	clause (13), and providing professional liability insurance to certified midwives must submit 
158.15 	to the board a report concerning any certified midwife against whom a malpractice award 
158.16 	has been made or who has been a party to a settlement. The report must contain at least the 
158.17 	following information:
158.18 	(1) the total number of settlements or awards;
158.19 	(2) the date a settlement or award was made;
158.20 	(3) the allegations contained in the claim or complaint leading to the settlement or award;
158.21 	(4) the dollar amount of each malpractice settlement or award and whether that amount 
158.22 	was paid as a result of a settlement or of an award; and
158.23 	(5) the name and address of the practice of the certified midwife against whom an award 
158.24 	was made or with whom a settlement was made.
158.25 	(b) An insurer must also report to the board any information it possesses that tends to 
158.26 	substantiate a charge that a certified midwife may have engaged in conduct in violation of 
158.27 	this chapter.
158.28 		Subd. 5.Courts. The court administrator of district court or another court of competent 
158.29 	jurisdiction must report to the board any judgment or other determination of the court that 
158.30 	adjudges or includes a finding that a certified midwife is a person who is mentally ill, 
158.31 	mentally incompetent, chemically dependent, dangerous to the public, guilty of a felony or 
158.32 	gross misdemeanor, guilty of a violation of federal or state narcotics laws or controlled 
158.33 	substances act, guilty of operating a motor vehicle while under the influence of alcohol or 
159.1 	a controlled substance, or guilty of an abuse or fraud under Medicare or Medicaid; or if the 
159.2 	court appoints a guardian of the certified midwife under sections 524.5-101 to 524.5-502 
159.3 	or commits a certified midwife under chapter 253B.
159.4 		Subd. 6.Deadlines; forms. Reports required by subdivisions 2, 3, and 5 must be 
159.5 	submitted no later than 30 days after the occurrence of the reportable event or transaction. 
159.6 	The board may provide forms for the submission of reports required under this section, may 
159.7 	require that the reports be submitted on the forms provided, and may adopt rules necessary 
159.8 	to ensure prompt and accurate reporting. The board must review all reports, including those 
159.9 	submitted after the deadline.
159.10 		Subd. 7.Failure to report. Any person, institution, insurer, or organization that fails to 
159.11 	report as required under subdivisions 2 to 6 is subject to civil penalties for failing to report 
159.12 	as required by law.

159.13 	Sec. 99. [148G.16] IMMUNITY.
159.14 		Subdivision 1.Reporting. Any person, health care facility, business, or organization is 
159.15 	immune from civil liability and criminal prosecution for submitting in good faith a report 
159.16 	to the board under section 148G.15 or for otherwise reporting in good faith to the board 
159.17 	violations or alleged violations of this chapter. All such reports are investigative data as 
159.18 	defined in chapter 13.
159.19 		Subd. 2.Investigation. (a) Members of the board, persons employed by the board or 
159.20 	engaged in the investigation of violations and in the preparation and management of charges 
159.21 	of violations of this chapter on behalf of the board, or persons participating in the 
159.22 	investigation or testifying regarding charges of violations are immune from civil liability 
159.23 	and criminal prosecution for any actions, transactions, or publications in the execution of, 
159.24 	or relating to, their duties under this chapter.
159.25 	(b) Members of the board and persons employed by the board or engaged in maintaining 
159.26 	records and making reports regarding adverse health care events are immune from civil 
159.27 	liability and criminal prosecution for any actions, transactions, or publications in the 
159.28 	execution of, or relating to, their duties under this chapter.

159.29 	Sec. 100. [148G.17] CERTIFIED MIDWIFE COOPERATION.
159.30 	A certified midwife who is the subject of an investigation by or on behalf of the board 
159.31 	must cooperate fully with the investigation. Cooperation includes responding fully and 
159.32 	promptly to any question raised by or on behalf of the board relating to the subject of the 
160.1 	investigation and providing copies of patient or other records in the certified midwife's 
160.2 	possession, as reasonably requested by the board, to assist the board in its investigation and 
160.3 	to appear at conferences and hearings scheduled by the board. The board must pay for copies 
160.4 	requested. If the board does not have written consent from a patient permitting access to 
160.5 	the patient's records, the certified midwife must delete any data in the record that identify 
160.6 	the patient before providing it to the board. The board must maintain any records obtained 
160.7 	pursuant to this section as investigative data under chapter 13. The certified midwife must 
160.8 	not be excused from giving testimony or producing any documents, books, records, or 
160.9 	correspondence on the grounds of self-incrimination, but the testimony or evidence must 
160.10 	not be used against the certified midwife in any criminal case.

160.11 	Sec. 101. [148G.18] DISCIPLINARY RECORD ON JUDICIAL REVIEW.
160.12 	Upon judicial review of any board disciplinary action taken under this chapter, the 
160.13 	reviewing court must seal the administrative record, except for the board's final decision, 
160.14 	and must not make the administrative record available to the public.

160.15 	Sec. 102. [148G.19] EXEMPTIONS.
160.16 	The provisions of this chapter do not prohibit:
160.17 	(1) the furnishing of certified midwifery assistance in an emergency;
160.18 	(2) the practice of certified midwifery by any legally qualified certified midwife of 
160.19 	another state who is employed by the United States government or any bureau, division, or 
160.20 	agency thereof while in the discharge of official duties;
160.21 	(3) the practice of any profession or occupation licensed by Minnesota, other than 
160.22 	certified midwifery, by any person licensed to practice the profession or occupation, or the 
160.23 	performance by a person of any acts properly coming within the scope of the profession, 
160.24 	occupation, or license;
160.25 	(4) the practice of traditional midwifery as specified under section 147D.03;
160.26 	(5) certified midwifery practice by a student practicing under the supervision of an 
160.27 	instructor while the student is enrolled in an approved certified midwifery education program; 
160.28 	or
160.29 	(6) certified midwifery practice by a certified midwife licensed in another state, territory, 
160.30 	or jurisdiction who is in Minnesota temporarily:
160.31 	(i) providing continuing or in-service education;
161.1 	(ii) serving as a guest lecturer;
161.2 	(iii) presenting at a conference; or
161.3 	(iv) teaching didactic content via distance education to a student located in Minnesota 
161.4 	who is enrolled in a formal, structured course of study, such as a course leading to a higher 
161.5 	degree in midwifery.

161.6 	Sec. 103. [148G.20] VIOLATIONS; PENALTY.
161.7 		Subdivision 1.Violations described. It is unlawful for any person, corporation, firm, 
161.8 	or association to:
161.9 	(1) sell or fraudulently obtain or furnish any certified midwifery diploma, license, or 
161.10 	record, or aid or abet therein;
161.11 	(2) practice certified midwifery under cover of any diploma, permit, license, certified 
161.12 	midwife credential, or record illegally or fraudulently obtained or signed or issued unlawfully 
161.13 	or under fraudulent representation;
161.14 	(3) practice certified midwifery unless the person is licensed to do so under this chapter;
161.15 	(4) use the professional title certified midwife or licensed certified midwife unless 
161.16 	licensed to practice certified midwifery under this chapter;
161.17 	(5) use any abbreviation or other designation tending to imply licensure as a certified 
161.18 	midwife unless licensed to practice certified midwifery under this chapter;
161.19 	(6) practice certified midwifery in a manner prohibited by the board in any limitation 
161.20 	of a license issued under this chapter;
161.21 	(7) practice certified midwifery during the time a license issued under this chapter is 
161.22 	suspended or revoked;
161.23 	(8) knowingly employ persons in the practice of certified midwifery who have not been 
161.24 	issued a current license to practice as a certified midwife in this state; or
161.25 	(9) conduct a certified midwifery program for the education of persons to become certified 
161.26 	midwives unless the program has been approved by the board.
161.27 		Subd. 2.Penalty. Any person, corporation, firm, or association violating any provision 
161.28 	of subdivision 1 is guilty of a gross misdemeanor and must be punished according to law.
161.29 		Subd. 3.Penalty; certified midwives. In addition to subdivision 2, a person who practices 
161.30 	certified midwifery without a current license and certification or recertification, or without 
162.1 	current certification or recertification on file with the board, is subject to the applicable 
162.2 	penalties in section 148G.11.

162.3 	Sec. 104. [148G.21] UNAUTHORIZED PRACTICE OF MIDWIFERY.
162.4 	The practice of certified midwifery by any person who is not licensed to practice certified 
162.5 	midwifery under this chapter, whose license has been suspended or revoked, or whose 
162.6 	national certification credential has expired is inimical to the public health and welfare and 
162.7 	constitutes a public nuisance. Upon a complaint being made by the board or any prosecuting 
162.8 	officer and upon a proper showing of the facts, the district court of the county where the 
162.9 	practice occurred may enjoin such acts and practice. The injunction proceeding is in addition 
162.10 	to, and not in lieu of, all other penalties and remedies provided by law.

162.11 	Sec. 105. Minnesota Statutes 2024, section 150A.105, is amended by adding a subdivision 
162.12 	to read:
162.13 		Subd. 3a.Collaborative management agreement under armed forces. (a) While 
162.14 	practicing under the auspices of the Minnesota National Guard or any branch of the armed 
162.15 	forces, including the Navy, Marines, Army, Coast Guard, or Space Force, the collaborating 
162.16 	dentist may be determined by the command structure of the armed service for which the 
162.17 	dental therapist is a member assigned or contracted.
162.18 	(b) A collaborating dentist for a dental therapist when in civilian practice will not be 
162.19 	responsible for supervising the dental services performed by the dental therapist while the 
162.20 	dental therapist is practicing under the auspices of the armed forces.

162.21 	Sec. 106. Minnesota Statutes 2024, section 151.01, subdivision 15, is amended to read:
162.22 		Subd. 15.Pharmacist intern or intern.  "Pharmacist intern" or "intern" means:
162.23 	(1) a natural person who has completed college or school of pharmacy orientation or is 
162.24 	otherwise enrolled in a doctor of pharmacy program accredited by the Accreditation Council 
162.25 	for Pharmacy Education (ACPE) and is satisfactorily progressing toward the degree in 
162.26 	pharmacy required for licensure, or;
162.27 	(2) a graduate of the University of Minnesota College of Pharmacy, or other pharmacy 
162.28 	college approved by the board, a doctor of pharmacy program accredited by ACPE who is 
162.29 	registered by the Board of Pharmacy for the purpose of obtaining practical experience as a 
162.30 	requirement for licensure as a pharmacist, or;
162.31 	(3) a qualified applicant awaiting examination for licensure.;
163.1 	(4) a participant in a residency or fellowship program who is not licensed to practice 
163.2 	pharmacy in Minnesota but is:
163.3 	(i) licensed to practice pharmacy in another state; or
163.4 	(ii) a graduate of a doctor of pharmacy program accredited by ACPE and not registered 
163.5 	by the board under clause (2); or
163.6 	(5) a foreign pharmacy graduate who:
163.7 	(i) has passed the Foreign Pharmacy Graduate Equivalency Examination;
163.8 	(ii) is certified by the Foreign Pharmacy Graduate Equivalency Commission; and
163.9 	(iii) is seeking internship experience in accordance with Minnesota Rules, part 6800.1250.

163.10 	Sec. 107. Minnesota Statutes 2024, section 151.01, subdivision 23, is amended to read:
163.11 		Subd. 23.Practitioner. "Practitioner" means a licensed doctor of medicine, licensed 
163.12 	doctor of osteopathic medicine duly licensed to practice medicine, licensed doctor of 
163.13 	dentistry, licensed doctor of optometry, licensed podiatrist, licensed veterinarian, licensed 
163.14 	advanced practice registered nurse, licensed certified midwife, or licensed physician assistant. 
163.15 	For purposes of sections 151.15, subdivision 4; 151.211, subdivision 3; 151.252, subdivision 
163.16 	3; 151.37, subdivision 2, paragraph (b); and 151.461, "practitioner" also means a dental 
163.17 	therapist authorized to dispense and administer under chapter 150A. For purposes of sections 
163.18 	151.252, subdivision 3, and 151.461, "practitioner" also means a pharmacist authorized to 
163.19 	prescribe self-administered hormonal contraceptives, nicotine replacement medications, or 
163.20 	opiate antagonists under section 151.37, subdivision 14, 15, or 16, or authorized to prescribe 
163.21 	drugs to prevent the acquisition of human immunodeficiency virus (HIV) under section 
163.22 	151.37, subdivision 17.

163.23 	Sec. 108. Minnesota Statutes 2024, section 151.065, subdivision 1, is amended to read:
163.24 		Subdivision 1.Application fees. Application fees for licensure and registration are as 
163.25 	follows:
163.26 	(1) pharmacist licensed by examination, $225;
163.27 	(2) pharmacist licensed by reciprocity, $300;
163.28 	(3) pharmacy intern, $75 $25;
163.29 	(4) pharmacy technician, $60;
163.30 	(5) pharmacy, $450;
164.1 	(6) drug wholesaler, legend drugs only, $5,500;
164.2 	(7) drug wholesaler, legend and nonlegend drugs, $5,500;
164.3 	(8) drug wholesaler, nonlegend drugs, veterinary legend drugs, or both, $5,500;
164.4 	(9) drug wholesaler, medical gases, $5,500 for the first facility and $500 for each 
164.5 	additional facility;
164.6 	(10) third-party logistics provider, $300;
164.7 	(11) drug manufacturer, nonopiate legend drugs only, $5,500;
164.8 	(12) drug manufacturer, nonopiate legend and nonlegend drugs, $5,500;
164.9 	(13) drug manufacturer, nonlegend or veterinary legend drugs, $5,500;
164.10 	(14) drug manufacturer, medical gases, $5,500 for the first facility and $500 for each 
164.11 	additional facility;
164.12 	(15) drug manufacturer, also licensed as a pharmacy in Minnesota, $5,500;
164.13 	(16) drug manufacturer of opiate-containing controlled substances listed in section 
164.14 	152.02, subdivisions 3 to 5, $55,500;
164.15 	(17) medical gas dispenser, $400;
164.16 	(18) controlled substance researcher, $150; and
164.17 	(19) pharmacy professional corporation, $150.

164.18 	Sec. 109. Minnesota Statutes 2024, section 151.065, subdivision 3, is amended to read:
164.19 		Subd. 3.Annual renewal fees. Annual licensure and registration renewal fees are as 
164.20 	follows:
164.21 	(1) pharmacist, $225;
164.22 	(2) pharmacy technician, $60;
164.23 	(3) beginning January 1, 2026, pharmacy intern, $25;
164.24 	(3) (4) pharmacy, $450;
164.25 	(4) (5) drug wholesaler, legend drugs only, $5,500;
164.26 	(5) (6) drug wholesaler, legend and nonlegend drugs, $5,500;
164.27 	(6) (7) drug wholesaler, nonlegend drugs, veterinary legend drugs, or both, $5,500;
165.1 	(7) (8) drug wholesaler, medical gases, $5,500 for the first facility and $500 for each 
165.2 	additional facility;
165.3 	(8) (9) third-party logistics provider, $300;
165.4 	(9) (10) drug manufacturer, nonopiate legend drugs only, $5,500;
165.5 	(10) (11) drug manufacturer, nonopiate legend and nonlegend drugs, $5,500;
165.6 	(11) (12) drug manufacturer, nonlegend, veterinary legend drugs, or both, $5,500;
165.7 	(12) (13) drug manufacturer, medical gases, $5,500 for the first facility and $500 for 
165.8 	each additional facility;
165.9 	(13) (14) drug manufacturer, also licensed as a pharmacy in Minnesota, $5,500;
165.10 	(14) (15) drug manufacturer of opiate-containing controlled substances listed in section 
165.11 	152.02, subdivisions 3 to 5, $55,500;
165.12 	(15) (16) medical gas dispenser, $400;
165.13 	(16) (17) controlled substance researcher, $150; and
165.14 	(17) (18) pharmacy professional corporation, $150.

165.15 	Sec. 110. Minnesota Statutes 2024, section 151.065, subdivision 6, is amended to read:
165.16 		Subd. 6.Reinstatement fees. (a) A pharmacist who has allowed the pharmacist's license 
165.17 	to lapse may reinstate the license with board approval and upon payment of any fees and 
165.18 	late fees in arrears, up to a maximum of $1,000.
165.19 	(b) A pharmacy technician who has allowed the technician's registration to lapse may 
165.20 	reinstate the registration with board approval and upon payment of any fees and late fees 
165.21 	in arrears, up to a maximum of $250.
165.22 	(c) A pharmacy intern who has allowed the intern's registration to lapse may reinstate 
165.23 	the registration with board approval and upon payment of any fees and late fees in arrears, 
165.24 	up to a maximum of $100.
165.25 	(c) (d) An owner of a pharmacy, a drug wholesaler, a drug manufacturer, third-party 
165.26 	logistics provider, or a medical gas dispenser who has allowed the license of the establishment 
165.27 	to lapse may reinstate the license with board approval and upon payment of any fees and 
165.28 	late fees in arrears.
166.1 	(d) (e) A controlled substance researcher who has allowed the researcher's registration 
166.2 	to lapse may reinstate the registration with board approval and upon payment of any fees 
166.3 	and late fees in arrears.
166.4 	(e) (f) A pharmacist owner of a professional corporation who has allowed the corporation's 
166.5 	registration to lapse may reinstate the registration with board approval and upon payment 
166.6 	of any fees and late fees in arrears.

166.7 	Sec. 111. Minnesota Statutes 2024, section 151.101, is amended to read:
166.8 	151.101 INTERNSHIP.
166.9 		Subdivision 1.Registration requirements. (a) Upon payment of the fee specified in 
166.10 	section 151.065, the board may register as an intern any natural persons who have satisfied 
166.11 	the board that they are of good moral character, not physically or mentally unfit, and who 
166.12 	have successfully completed the educational requirements for intern registration prescribed 
166.13 	by the board. The board shall prescribe standards and requirements for interns, 
166.14 	pharmacist-preceptors, and internship training but may not require more than one year of 
166.15 	such training.
166.16 	(b) The board in its discretion may accept internship experience obtained in another 
166.17 	state provided the internship requirements in such other state are in the opinion of the board 
166.18 	equivalent to those herein provided.
166.19 		Subd. 2.Renewal requirements. (a) Beginning January 1, 2026, an intern registration 
166.20 	expires on September 30 each year or when the intern receives a pharmacist license, 
166.21 	whichever is earlier.
166.22 	(b) To renew an intern registration, the intern must file an application for renewal and 
166.23 	submit the fee established under section 151.065 on or before September 1 each year.
166.24 	(c) If the board does not receive the intern's registration renewal application on or before 
166.25 	September 1 each year, the intern is subject to a late filing fee equal to 50 percent of the 
166.26 	renewal fee under section 151.065 in addition to the renewal fee.
166.27 	(d) An individual who received an intern registration under the criteria in section 151.01, 
166.28 	subdivision 15, clause (1), and paid $75 for the individual's application fee between May 
166.29 	1, 2024, and June 30, 2025, is not subject to the $25 renewal fee for the first two renewal 
166.30 	cycles following the $75 fee payment.
167.1 	(e) If an individual is no longer enrolled in a doctor of pharmacy program accredited by 
167.2 	the Accreditation Council for Pharmacy Education, the board must terminate that individual's 
167.3 	intern registration effective the last date the individual was enrolled in a qualifying program.
167.4 	(f) The board must not renew an intern registration unless the individual:
167.5 	(1) has maintained current notices of employment for internship training with the board;
167.6 	(2) submitted a progress report affidavit of the intern credit hours completed by June 15 
167.7 	each year;
167.8 	(3) meets all other eligibility criteria for a pharmacist intern; and
167.9 	(4) demonstrates to the board's satisfaction the individual is in good faith and with 
167.10 	reasonable diligence pursuing a degree in pharmacy or is completing a pharmacy residency 
167.11 	or fellowship.
167.12 	(g) An intern whose registration has lapsed may renew the intern registration within one 
167.13 	year of expiration, subject to the fees in paragraph (c). An intern whose registration has 
167.14 	lapsed for more than one year must meet the registration requirements for an initial intern 
167.15 	applicant in effect at the time the individual applies for reinstatement and pay any fees and 
167.16 	late fees in arrears in accordance with section 151.065.
167.17 	(h) If the board receives a late renewal, reinstatement, or initial intern application from 
167.18 	an eligible individual within 90 days before September 30, the board may extend the 
167.19 	registration expiration date for that applicant to September 30 of the subsequent calendar 
167.20 	year and prorate the application fee accordingly.
167.21 		Subd. 3.Internship credit hour requirements. (a) To apply for licensure as a pharmacist 
167.22 	under section 151.10, an individual must complete at least 1,600 intern credit hours under 
167.23 	the direction and supervision of a preceptor.
167.24 	(b) Of the 1,600 credit hours required under this subdivision, an intern may earn:
167.25 	(1) a maximum of 80 credit hours in the individual's first professional academic year 
167.26 	for a structured experience directed by the college of pharmacy that the individual attends 
167.27 	and is overseen by college faculty, registered preceptors, or supervising licensed pharmacists;
167.28 	(2) a maximum of 400 credit hours of concurrent time internship; and
167.29 	(3) a maximum of 54 credit hours per week that may be earned from more than one site.

168.1 	Sec. 112. Minnesota Statutes 2024, section 151.555, subdivision 6, is amended to read:
168.2 		Subd. 6.Standards and procedures for accepting donations of drugs and supplies
168.3 	and purchasing drugs from licensed wholesalers. (a) Notwithstanding any other law or 
168.4 	rule, a donor may donate drugs or medical supplies to the central repository or a local 
168.5 	repository if the drug or supply meets the requirements of this section as determined by a 
168.6 	pharmacist or practitioner who is employed by or under contract with the central repository 
168.7 	or a local repository.
168.8 	(b) A drug is eligible for donation under the medication repository program if the 
168.9 	following requirements are met:
168.10 	(1) the drug's expiration date is at least six months after the date the drug was donated. 
168.11 	If a donated drug bears an expiration date that is less than six months from the donation 
168.12 	date, the drug may be accepted and distributed if the drug is in high demand and can be 
168.13 	dispensed for use by a patient before the drug's expiration date;
168.14 	(2) the drug is in its original, sealed, unopened, tamper-evident packaging that includes 
168.15 	the expiration date. Single-unit-dose drugs may be accepted if the single-unit-dose packaging 
168.16 	is unopened;
168.17 	(3) the drug or the packaging does not have any physical signs of tampering, misbranding, 
168.18 	deterioration, compromised integrity, or adulteration;
168.19 	(4) the drug does not require storage temperatures other than normal room temperature 
168.20 	as specified by the manufacturer or United States Pharmacopoeia, unless the drug is being 
168.21 	donated directly by its manufacturer, a wholesale drug distributor, or a pharmacy located 
168.22 	in Minnesota; and
168.23 	(5) the drug is not a controlled substance.
168.24 	(c) A medical supply is eligible for donation under the medication repository program 
168.25 	if the following requirements are met:
168.26 	(1) the supply has no physical signs of tampering, misbranding, or alteration and there 
168.27 	is no reason to believe it has been adulterated, tampered with, or misbranded;
168.28 	(2) the supply is in its original, unopened, sealed packaging; and
168.29 	(3) if the supply bears an expiration date, the date is at least six months later than the 
168.30 	date the supply was donated. If the donated supply bears an expiration date that is less than 
168.31 	six months from the date the supply was donated, the supply may be accepted and distributed 
169.1 	if the supply is in high demand and can be dispensed for use by a patient before the supply's 
169.2 	expiration date.
169.3 	(d) The board shall develop the medication repository donor form and make it available 
169.4 	on the board's website. Prior to the first donation from a new donor, a central repository or 
169.5 	local repository shall verify and record the following information on the donor form:
169.6 	(1) the donor's name, address, phone number, and license number, if applicable;
169.7 	(2) that the donor will only make donations in accordance with the program;
169.8 	(3) to the best of the donor's knowledge, only drugs or supplies that have been properly 
169.9 	stored under appropriate temperature and humidity conditions will be donated; and
169.10 	(4) to the best of the donor's knowledge, only drugs or supplies that have never been 
169.11 	opened, used, tampered with, adulterated, or misbranded will be donated.
169.12 	(e) Notwithstanding any other law or rule, a central repository or a local repository may 
169.13 	receive donated drugs from donors. Donated drugs and supplies may be shipped or delivered 
169.14 	to the premises of the central repository or a local repository, and shall be inspected by a 
169.15 	pharmacist or an authorized practitioner who is employed by or under contract with the 
169.16 	repository and who has been designated by the repository prior to dispensing. A drop box 
169.17 	must not be used to deliver or accept donations.
169.18 	(f) The central repository and local repository shall maintain a written or electronic 
169.19 	inventory of all drugs and supplies donated to the repository upon acceptance of each drug 
169.20 	or supply. For each drug, the inventory must include the drug's name, strength, quantity, 
169.21 	manufacturer, expiration date, and the date the drug was donated. For each medical supply, 
169.22 	the inventory must include a description of the supply, its manufacturer, the date the supply 
169.23 	was donated, and, if applicable, the supply's brand name and expiration date. The board 
169.24 	may waive the requirement under this paragraph if an entity is under common ownership 
169.25 	or control with a central repository or local repository and either the entity or the repository 
169.26 	maintains an inventory containing all the information required under this paragraph.
169.27 	(g) The central repository may purchase a drug from a wholesaler licensed by the board 
169.28 	to fill prescriptions for eligible patients when the repository does not have a sufficient supply 
169.29 	of donated drugs to fill the prescription. The central repository may use any purchased drugs 
169.30 	remaining after filling the prescriptions for which the drugs were initially purchased to fill 
169.31 	other prescriptions. Whenever possible, the repository must use donated drugs to fill 
169.32 	prescriptions.

170.1 	Sec. 113. Minnesota Statutes 2024, section 151.555, subdivision 10, is amended to read:
170.2 		Subd. 10.Distribution of donated drugs and supplies. (a) The central repository and 
170.3 	local repositories may distribute drugs and supplies donated under the medication repository 
170.4 	program to other participating repositories for use pursuant to this program.
170.5 	(b) A local repository that elects not to dispense donated drugs or supplies that are 
170.6 	suitable for donation and dispensing must transfer all those donated drugs and supplies to 
170.7 	the central repository. A copy of the donor form that was completed by the original donor 
170.8 	under subdivision 6 must be provided to the central repository at the time of transfer. A 
170.9 	local repository must dispose of drugs and supplies in its possession that are not suitable 
170.10 	for donation or dispensing pursuant to subdivision 7.

170.11 	Sec. 114. Minnesota Statutes 2024, section 152.12, subdivision 1, is amended to read:
170.12 		Subdivision 1.Prescribing, dispensing, administering controlled substances in 
170.13 	Schedules II through V. A licensed doctor of medicine, a doctor of osteopathic medicine, 
170.14 	duly licensed to practice medicine, a doctor of dental surgery, a doctor of dental medicine, 
170.15 	a licensed doctor of podiatry, a licensed advanced practice registered nurse, a licensed 
170.16 	certified midwife, a licensed physician assistant, or a licensed doctor of optometry limited 
170.17 	to Schedules IV and V, and in the course of professional practice only, may prescribe, 
170.18 	administer, and dispense a controlled substance included in Schedules II through V of section 
170.19 	152.02, may cause the same to be administered by a nurse, an intern or an assistant under 
170.20 	the direction and supervision of the doctor, and may cause a person who is an appropriately 
170.21 	certified and licensed health care professional to prescribe and administer the same within 
170.22 	the expressed legal scope of the person's practice as defined in Minnesota Statutes.

170.23 	Sec. 115. [153.30] FEES.
170.24 		Subdivision 1.Nonrefundable fees. The fees in this section are nonrefundable.
170.25 		Subd. 2.Fee amounts. The amount of fees must be set by the board so that the total 
170.26 	fees collected by the board equals as closely as possible the anticipated expenditures during 
170.27 	the fiscal biennium, as provided in section 16A.1285. Fees must not exceed the following 
170.28 	amounts but may be adjusted lower by board action:
170.29 	(1) application for licensure fee, $1,000;
170.30 	(2) renewal licensure fee, $1,000;
170.31 	(3) late renewal fee, $250;
171.1 	(4) temporary permit fee, $250;
171.2 	(5) duplicate license fee or duplicate renewal certificate fee, $25;
171.3 	(6) reinstatement fee, $1,250;
171.4 	(7) examination administration fee for persons who have not applied for a license or 
171.5 	permit, $50;
171.6 	(8) verification of licensure fee, $50;
171.7 	(9) label fee, $50;
171.8 	(10) list of licensees fee, $50; and
171.9 	(11) copies fee, $0.50 per page.
171.10 		Subd. 3.Current fee information. Information about fees in effect at any time must 
171.11 	be available from the board office.
171.12 		Subd. 4.Deposit of fees. The license fees collected under this section must be deposited 
171.13 	in the state government special revenue fund.

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

171.15 	Sec. 116. Minnesota Statutes 2024, section 153B.85, subdivision 1, is amended to read:
171.16 		Subdivision 1.Fees. (a) The application fee for initial licensure shall not exceed $600.
171.17 	(b) The biennial renewal fee for a license to practice as an orthotist, prosthetist, prosthetist 
171.18 	orthotist, or pedorthist shall not exceed $600.
171.19 	(c) The biennial renewal fee for a license to practice as an assistant or a fitter shall not 
171.20 	exceed $300.
171.21 	(d) The fee for license restoration shall not exceed $600.
171.22 	(e) The fee for license verification shall not exceed $30 $50.
171.23 	(f) The fee to obtain a list of licensees shall not exceed $25 $50.

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

171.25 	Sec. 117. Minnesota Statutes 2024, section 153B.85, subdivision 3, is amended to read:
171.26 		Subd. 3.Late fee. The fee for late license renewal is the license renewal fee in effect at 
171.27 	the time of renewal plus $100 $250.

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

172.1 	Sec. 118. Minnesota Statutes 2024, section 156.015, is amended by adding a subdivision 
172.2 	to read:
172.3 		Subd. 1a.Nonrefundable fees. All fees are nonrefundable.

172.4 	Sec. 119. Minnesota Statutes 2024, section 156.015, is amended by adding a subdivision 
172.5 	to read:
172.6 		Subd. 3.Fee amounts. Fees must not exceed the following amounts but may be adjusted 
172.7 	lower by board action:
172.8 	(1) initial application fee, $75;
172.9 	(2) state examination fee, $75;
172.10 	(3) duplicate license fee, $25;
172.11 	(4) continuing education sponsor application fee, $75;
172.12 	(5) mailing list fee, $250;
172.13 	(6) initial veterinary license fee, $300;
172.14 	(7) initial veterinary technician fee, $100;
172.15 	(8) active veterinary renewal fee, $300;
172.16 	(9) active veterinary technician renewal fee, $100;
172.17 	(10) inactive veterinary renewal fee, $150;
172.18 	(11) inactive veterinary technician renewal fee, $50;
172.19 	(12) institutional license fee, $300;
172.20 	(13) active late veterinary renewal fee, $150;
172.21 	(14) active late veterinary technician renewal fee, $50;
172.22 	(15) inactive late veterinary renewal fee, $100;
172.23 	(16) inactive late veterinary technician renewal fee, $25; and
172.24 	(17) institutional late renewal fee, $150.

173.1 	Sec. 120. Minnesota Statutes 2024, section 156.015, is amended by adding a subdivision 
173.2 	to read:
173.3 		Subd. 4.License verification. The board may charge a fee not to exceed $25 per license 
173.4 	verification to a licensee for verification of licensure status provided to other veterinary 
173.5 	licensing boards.

173.6 	Sec. 121. Minnesota Statutes 2024, section 156.015, is amended by adding a subdivision 
173.7 	to read:
173.8 		Subd. 5.Deposit of fees. The license fees collected under this section must be deposited 
173.9 	in the state government special revenue fund.

173.10 	Sec. 122. Minnesota Statutes 2024, section 214.06, is amended by adding a subdivision 
173.11 	to read:
173.12 		Subd. 4.Reports on one year or more of operating funds of health-related licensing 
173.13 	boards. At the time of the delivery of each February and November forecast of state revenue 
173.14 	and expenditures under section 16A.103, the commissioner of management and budget 
173.15 	must submit a report to the chairs and ranking minority members of the legislative committees 
173.16 	with jurisdiction over health-related licensing boards identifying the health-related licensing 
173.17 	boards that have accumulated one year or more of operating funds. This subdivision is 
173.18 	effective the day following the date on which the transfer required under article 23, section 
173.19 	7, of this act takes place, and expires June 30, 2030.

173.20 	Sec. 123. Minnesota Statutes 2024, section 256B.0625, is amended by adding a subdivision 
173.21 	to read:
173.22 		Subd. 28c.Certified midwifery practice services. Medical assistance covers services 
173.23 	performed by a licensed certified midwife if:
173.24 	(1) the service provided on an inpatient basis is not included as part of the cost for 
173.25 	inpatient services included in the facility payment;
173.26 	(2) the service is otherwise covered under this chapter as a physician service; and
173.27 	(3) the service is within the scope of practice of the certified midwife's license as defined 
173.28 	under chapter 148G.

174.1 	Sec. 124. REVISOR INSTRUCTION.
 174.2 	(a) The revisor of statutes shall renumber Minnesota Statutes, section 148.6408, 
174.3 	subdivision 1, as Minnesota Statutes, section 148.6408, subdivision 1b.
174.4 	(b) The revisor of statutes shall renumber Minnesota Statutes, section 148.6410, 
174.5 	subdivision 1, as Minnesota Statutes, section 148.6410, subdivision 1b.

174.6 	Sec. 125. REPEALER.
 174.7 	(a) Minnesota Statutes 2024, sections 148.108, subdivisions 2, 3, and 4; 148.6402, 
174.8 	subdivision 22a; 148.6420, subdivisions 2, 3, and 4; 148.6423, subdivisions 4, 5, 7, 8, and 
174.9 	9; 148.6425, subdivision 3; 148.6430; 148.6445, subdivisions 5, 6, and 8; and 156.015, 
174.10 	subdivision 1, are repealed.
174.11 	(b) Minnesota Rules, parts 2500.1150; 2500.2030; 6800.5100, subpart 5; 6800.5400, 
174.12 	subparts 5 and 6; 9100.0400, subparts 1 and 3; 9100.0500; and 9100.0600, are repealed.
174.13 	(c) Minnesota Rules, part 6900.0250, subparts 1 and 2, are repealed.

174.14 	EFFECTIVE DATE. Paragraph (c) is effective the day following final enactment.

174.15 	ARTICLE 4
174.16 	PHARMACY BENEFITS

174.17 	Section 1. [62Q.83] FORMULARY CHANGES.
174.18 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
174.19 	the meanings given.
174.20 	(b) "Drug" has the meaning given in section 151.01, subdivision 5.
174.21 	(c) "Enrollee" has the meaning given in section 62Q.01, subdivision 2b.
174.22 	(d) "Formulary" means a current list of covered prescription drug products that is subject 
174.23 	to periodic review and update.
174.24 	(e) "Health plan" has the meaning given in section 62Q.01, subdivision 3.
174.25 	(f) "Pharmacy benefit manager" has the meaning given in section 62W.02, subdivision 
174.26 	15.
174.27 	(g) "Prescription" has the meaning given in section 151.01, subdivision 16a.
174.28 		Subd. 2.Formulary changes. (a) Except as provided in paragraphs (b) and (c), a health 
174.29 	plan must not, with respect to an enrollee who was previously prescribed the drug during 
175.1 	the plan year, remove a drug from the health plan's formulary or place a drug in a benefit 
175.2 	category that increases the enrollee's cost for the duration of the enrollee's plan year.
175.3 	(b) Paragraph (a) does not apply if a health plan changes the health plan's formulary:
175.4 	(1) for a drug that has been deemed unsafe by the United States Food and Drug 
175.5 	Administration (FDA);
175.6 	(2) for a drug that has been withdrawn by the FDA or the drug manufacturer; or
175.7 	(3) when an independent source of research, clinical guidelines, or evidence-based 
175.8 	standards has issued drug-specific warnings or recommended changes with respect to a 
175.9 	drug's use for reasons related to previously unknown and imminent patient harm.
175.10 	(c) Paragraph (a) does not apply if a health plan removes a brand name drug from the 
175.11 	health plan's formulary or places a brand name drug in a benefit category that increases the 
175.12 	enrollee's cost if the health plan:
175.13 	(1) adds to the health plan's formulary a generic or multisource brand name drug rated 
175.14 	as therapeutically equivalent according to the FDA Orange Book, a biologic drug rated as 
175.15 	interchangeable according to the FDA Purple Book, or a biosimilar at the same or lower 
175.16 	cost to the enrollee; and
175.17 	(2) provides at least a 60-day notice to prescribers, pharmacists, and affected enrollees.

175.18 	EFFECTIVE DATE. This section is effective January 1, 2026, and applies to health 
175.19 	plans offered, sold, issued, or renewed on or after that date.

175.20 	Sec. 2. Minnesota Statutes 2024, section 256B.0625, subdivision 13, is amended to read:
175.21 		Subd. 13.Drugs. (a) Medical assistance covers drugs, except for fertility drugs when 
175.22 	specifically used to enhance fertility, if prescribed by a licensed practitioner and dispensed 
175.23 	by a licensed pharmacist, by a physician enrolled in the medical assistance program as a 
175.24 	dispensing physician, or by a physician, a physician assistant, or an advanced practice 
175.25 	registered nurse employed by or under contract with a community health board as defined 
175.26 	in section 145A.02, subdivision 5, for the purposes of communicable disease control.
175.27 	(b) The dispensed quantity of a prescription drug must not exceed a 34-day supply unless 
175.28 	authorized by the commissioner or as provided in paragraph (h) or the drug appears on the 
175.29 	90-day supply list published by the commissioner. The 90-day supply list shall be published 
175.30 	by the commissioner on the department's website. The commissioner may add to, delete 
175.31 	from, and otherwise modify the 90-day supply list after providing public notice and the 
176.1 	opportunity for a 15-day public comment period. The 90-day supply list may include 
176.2 	cost-effective generic drugs and shall not include controlled substances.
176.3 	(c) For the purpose of this subdivision and subdivision 13d, an "active pharmaceutical 
176.4 	ingredient" is defined as a substance that is represented for use in a drug and when used in 
176.5 	the manufacturing, processing, or packaging of a drug becomes an active ingredient of the 
176.6 	drug product. An "excipient" is defined as an inert substance used as a diluent or vehicle 
176.7 	for a drug. The commissioner shall establish a list of active pharmaceutical ingredients and 
176.8 	excipients which are included in the medical assistance formulary. Medical assistance covers 
176.9 	selected active pharmaceutical ingredients and excipients used in compounded prescriptions 
176.10 	when the compounded combination is specifically approved by the commissioner or when 
176.11 	a commercially available product:
176.12 	(1) is not a therapeutic option for the patient;
176.13 	(2) does not exist in the same combination of active ingredients in the same strengths 
176.14 	as the compounded prescription; and
176.15 	(3) cannot be used in place of the active pharmaceutical ingredient in the compounded 
176.16 	prescription.
176.17 	(d) Medical assistance covers the following over-the-counter drugs when prescribed by 
176.18 	a licensed practitioner or by a licensed pharmacist who meets standards established by the 
176.19 	commissioner, in consultation with the board of pharmacy: antacids, acetaminophen, family 
176.20 	planning products, aspirin, insulin, products for the treatment of lice, vitamins for adults 
176.21 	with documented vitamin deficiencies, vitamins for children under the age of seven and 
176.22 	pregnant or nursing women, and any other over-the-counter drug identified by the 
176.23 	commissioner, in consultation with the Formulary Committee, as necessary, appropriate, 
176.24 	and cost-effective for the treatment of certain specified chronic diseases, conditions, or 
176.25 	disorders, and this determination shall not be subject to the requirements of chapter 14. A 
176.26 	pharmacist may prescribe over-the-counter medications as provided under this paragraph 
176.27 	for purposes of receiving reimbursement under Medicaid. When prescribing over-the-counter 
176.28 	drugs under this paragraph, licensed pharmacists must consult with the recipient to determine 
176.29 	necessity, provide drug counseling, review drug therapy for potential adverse interactions, 
176.30 	and make referrals as needed to other health care professionals.
176.31 	(e) Effective January 1, 2006, medical assistance shall not cover drugs that are coverable 
176.32 	under Medicare Part D as defined in the Medicare Prescription Drug, Improvement, and 
176.33 	Modernization Act of 2003, Public Law 108-173, section 1860D-2(e), for individuals eligible 
176.34 	for drug coverage as defined in the Medicare Prescription Drug, Improvement, and 
177.1 	Modernization Act of 2003, Public Law 108-173, section 1860D-1(a)(3)(A). For these 
177.2 	individuals, medical assistance may cover drugs from the drug classes listed in United States 
177.3 	Code, title 42, section 1396r-8(d)(2), subject to this subdivision and subdivisions 13a to 
177.4 	13g, except that drugs listed in United States Code, title 42, section 1396r-8(d)(2)(E), shall 
177.5 	not be covered.
177.6 	(f) Medical assistance covers drugs acquired through the federal 340B Drug Pricing 
177.7 	Program and dispensed by 340B covered entities and ambulatory pharmacies under common 
177.8 	ownership of the 340B covered entity. Medical assistance does not cover drugs acquired 
177.9 	through the federal 340B Drug Pricing Program and dispensed by 340B contract pharmacies.
177.10 	(g) Notwithstanding paragraph (a), medical assistance covers self-administered hormonal 
177.11 	contraceptives prescribed and dispensed by a licensed pharmacist in accordance with section 
177.12 	151.37, subdivision 14; nicotine replacement medications prescribed and dispensed by a 
177.13 	licensed pharmacist in accordance with section 151.37, subdivision 15; and opiate antagonists 
177.14 	used for the treatment of an acute opiate overdose prescribed and dispensed by a licensed 
177.15 	pharmacist in accordance with section 151.37, subdivision 16.
177.16 	(h) Medical assistance coverage for a prescription contraceptive must provide a 12-month 
177.17 	supply for any prescription contraceptive if a 12-month supply is prescribed by the 
177.18 	prescribing health care provider. The prescribing health care provider must determine the 
177.19 	appropriate duration for which to prescribe the prescription contraceptives, up to 12 months. 
177.20 	For purposes of this paragraph, "prescription contraceptive" means any drug or device that 
177.21 	requires a prescription and is approved by the Food and Drug Administration to prevent 
177.22 	pregnancy. Prescription contraceptive does not include an emergency contraceptive drug 
177.23 	approved to prevent pregnancy when administered after sexual contact. For purposes of this 
177.24 	paragraph, "health plan" has the meaning provided in section 62Q.01, subdivision 3.
177.25 	(i) Notwithstanding a removal of a drug from the drug formulary under subdivision 13d, 
177.26 	except as provided in paragraphs (j) and (k), medical assistance covers a drug, with respect 
177.27 	to an enrollee who was previously prescribed the drug during the calendar year when the 
177.28 	drug was on the formulary, at the same level until January 1 of the calendar year following 
177.29 	the year in which the commissioner removed the drug from the formulary.
177.30 	(j) Paragraph (i) does not apply if the commissioner changes the drug formulary:
177.31 	(1) for a drug that has been deemed unsafe by the United States Food and Drug 
177.32 	Administration (FDA);
177.33 	(2) for a drug that has been withdrawn by the FDA or the drug manufacturer; or
178.1 	(3) when an independent source of research, clinical guidelines, or evidence-based 
178.2 	standards has issued drug-specific warnings or recommended changes with respect to a 
178.3 	drug's use for reasons related to previously unknown and imminent patient harm.
178.4 	(k) Paragraph (i) does not apply when the commissioner removes a brand name drug 
178.5 	from the formulary if the commissioner adds to the formulary a generic or multisource brand 
178.6 	name drug rated as therapeutically equivalent according to the FDA Orange Book, or a 
178.7 	biologic drug rated as interchangeable according to the FDA Purple Book, at the same or 
178.8 	lower cost to the enrollee.

178.9 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval, 
178.10 	whichever is later. The commissioner of human services shall notify the revisor of statutes 
178.11 	when federal approval is obtained.

178.12 	Sec. 3. Minnesota Statutes 2024, section 256B.0625, subdivision 13c, is amended to read:
178.13 		Subd. 13c.Formulary Committee. The commissioner, after receiving recommendations 
178.14 	from professional medical associations and professional pharmacy associations, and consumer 
178.15 	groups shall designate a Formulary Committee to carry out duties as described in subdivisions 
178.16 	13 to 13g. The Formulary Committee shall be comprised of at least five licensed physicians 
178.17 	actively engaged in the practice of medicine in Minnesota, one of whom is an actively 
178.18 	practicing psychiatrist, one of whom specializes in the diagnosis and treatment of rare 
178.19 	diseases, one of whom specializes in pediatrics, and one of whom actively treats persons 
178.20 	with disabilities; at least three licensed pharmacists actively engaged in the practice of 
178.21 	pharmacy in Minnesota, one of whom practices outside the metropolitan counties listed in 
178.22 	section 473.121, subdivision 4, one of whom practices in the metropolitan counties listed 
178.23 	in section 473.121, subdivision 4, and one of whom is a practicing hospital pharmacist; at 
178.24 	least two consumer representatives, all of whom must have a personal or professional 
178.25 	connection to medical assistance; and one representative designated by the Minnesota Rare 
178.26 	Disease Advisory Council established under section 256.4835; the remainder to be made 
178.27 	up of health care professionals who are licensed in their field and have recognized knowledge 
178.28 	in the clinically appropriate prescribing, dispensing, and monitoring of covered outpatient 
178.29 	drugs. Members of the Formulary Committee shall not be employed by the Department of 
178.30 	Human Services or have a personal interest in a pharmaceutical company, pharmacy benefits 
178.31 	manager, health plan company, or their affiliate organizations, but the committee shall be 
178.32 	staffed by an employee of the department who shall serve as an ex officio, nonvoting member 
178.33 	of the committee. For the purposes of this subdivision, "personal interest" means that a 
178.34 	person owns at least five percent of the voting interest or equity interest in the entity, the 
179.1 	equity interest owned by a person represents at least five percent of that person's net worth, 
179.2 	or more than five percent of a person's gross income for the preceding year was derived 
179.3 	from the entity. A committee member must notify the committee of any potential conflict 
179.4 	of interest and recuse themselves from any communications, discussion, or vote on any 
179.5 	matter where a conflict of interest exists. A conflict of interest alone, without a personal 
179.6 	interest, does not preclude an applicant from serving as a member of the Formulary 
179.7 	Committee. Members may be removed from the committee for cause after a recommendation 
179.8 	for removal by a majority of the committee membership. For the purposes of this subdivision, 
179.9 	"cause" does not include offering a differing or dissenting clinical opinion on a drug or drug 
179.10 	class. The department's medical director shall also serve as an ex officio, nonvoting member 
179.11 	for the committee. Committee members shall serve three-year terms and may be reappointed 
179.12 	twice by the commissioner. The committee members shall vote on a chair and vice chair 
179.13 	from among their membership. The chair shall preside over all committee meetings, and 
179.14 	the vice chair shall preside over the meetings if the chair is not present. The Formulary 
179.15 	Committee shall meet at least three times per year. The commissioner may require more 
179.16 	frequent Formulary Committee meetings as needed. An honorarium of $100 per meeting 
179.17 	and reimbursement for mileage shall be paid to each committee member in attendance. The 
179.18 	Formulary Committee expires June 30, 2027 2029. The Formulary Committee is subject to 
179.19 	the Open Meeting Law under chapter 13D. For purposes of establishing a quorum to transact 
179.20 	business, vacant committee member positions do not count in the calculation as long as at 
179.21 	least 60 percent of the committee member positions are filled.

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

179.23 	Sec. 4. Minnesota Statutes 2024, section 256B.0625, subdivision 13d, is amended to read:
179.24 		Subd. 13d.Drug formulary. (a) The commissioner shall establish a drug formulary. Its 
179.25 	establishment and publication shall not be subject to the requirements of the Administrative 
179.26 	Procedure Act, but the Formulary Committee shall review and comment on the formulary 
179.27 	contents.
179.28 	(b) The formulary shall not include:
179.29 	(1) drugs, active pharmaceutical ingredients, or products for which there is no federal 
179.30 	funding;
179.31 	(2) over-the-counter drugs, except as provided in subdivision 13;
179.32 	(3) drugs or active pharmaceutical ingredients when used for the treatment of impotence 
179.33 	or erectile dysfunction;
180.1 	(4) drugs or active pharmaceutical ingredients for which medical value has not been 
180.2 	established;
180.3 	(5) drugs from manufacturers who have not signed a rebate agreement with the 
180.4 	Department of Health and Human Services pursuant to section 1927 of title XIX of the 
180.5 	Social Security Act; and
180.6 	(6) medical cannabis flower as defined in section 342.01, subdivision 54, or medical 
180.7 	cannabinoid products as defined in section 342.01, subdivision 52.
180.8 	(c) If a single-source drug used by at least two percent of the fee-for-service medical 
180.9 	assistance recipients is removed from the formulary due to the failure of the manufacturer 
180.10 	to sign a rebate agreement with the Department of Health and Human Services, the 
180.11 	commissioner shall notify prescribing practitioners within 30 days of receiving notification 
180.12 	from the Centers for Medicare and Medicaid Services (CMS) that a rebate agreement was 
180.13 	not signed.
180.14 	(d) Within ten calendar days of any commissioner determination to change the drug 
180.15 	formulary, the commissioner must provide written notice to all enrollees, prescribers, and 
180.16 	pharmacists affected by the change. The notice must include a description of the change, 
180.17 	the reason for the change, and the date the change will become effective.
180.18 	(e) By January 15, 2026, and annually thereafter, the commissioner of human services 
180.19 	must provide a report with data and information related to the effects on enrollees of drug 
180.20 	formulary changes made in the prior calendar year to the chairs and ranking minority 
180.21 	members of the legislative committees with jurisdiction over health and human services 
180.22 	policy and finance. The report must include but is not limited to data and information on:
180.23 	(1) the number of times the formulary was changed;
180.24 	(2) the reasons for the formulary changes and how frequently the formulary was changed 
180.25 	for each reason;
180.26 	(3) the drugs that were removed from the formulary;
180.27 	(4) for each drug that was removed from the formulary, the number of enrollees who 
180.28 	were prescribed that drug when it was removed;
180.29 	(5) for each drug that was removed from the formulary, whether a therapeutically 
180.30 	equivalent drug was added;
180.31 	(6) the drugs that were added to the formulary;
181.1 	(7) the fiscal impacts to the Department of Human Services resulting from the changes 
181.2 	to the formulary; and
181.3 	(8) enrollee populations or medical conditions disproportionately affected by the 
181.4 	formulary changes.

181.5 	Sec. 5. Minnesota Statutes 2024, section 256B.0625, subdivision 13e, is amended to read:
181.6 		Subd. 13e.Payment rates. (a) The basis for determining the amount of payment shall 
181.7 	be the lower of the ingredient costs of the drugs plus the professional dispensing fee; or the 
181.8 	usual and customary price charged to the public. The usual and customary price means the 
181.9 	lowest price charged by the provider to a patient who pays for the prescription by cash, 
181.10 	check, or charge account and includes prices the pharmacy charges to a patient enrolled in 
181.11 	a prescription savings club or prescription discount club administered by the pharmacy or 
181.12 	pharmacy chain, unless the prescription savings club or prescription discount club is one 
181.13 	in which an individual pays a recurring monthly access fee for unlimited access to a defined 
181.14 	list of drugs for which the pharmacy does not bill the member or a payer on a 
181.15 	per-standard-transaction basis. The amount of payment basis must be reduced to reflect all 
181.16 	discount amounts applied to the charge by any third-party provider/insurer agreement or 
181.17 	contract for submitted charges to medical assistance programs. The net submitted charge 
181.18 	may not be greater than the patient liability for the service. The professional dispensing fee 
181.19 	shall be $11.55 for prescriptions filled with legend drugs meeting the definition of "covered 
181.20 	outpatient drugs" according to United States Code, title 42, section 1396r-8(k)(2). The 
181.21 	dispensing fee for intravenous solutions that must be compounded by the pharmacist shall 
181.22 	be $11.55 per claim. The professional dispensing fee for prescriptions filled with 
181.23 	over-the-counter drugs meeting the definition of covered outpatient drugs shall be $11.55 
181.24 	for dispensed quantities equal to or greater than the number of units contained in the 
181.25 	manufacturer's original package. The professional dispensing fee shall be prorated based 
181.26 	on the percentage of the package dispensed when the pharmacy dispenses a quantity less 
181.27 	than the number of units contained in the manufacturer's original package. The pharmacy 
181.28 	dispensing fee for prescribed over-the-counter drugs not meeting the definition of covered 
181.29 	outpatient drugs shall be $3.65 for quantities equal to or greater than the number of units 
181.30 	contained in the manufacturer's original package and shall be prorated based on the 
181.31 	percentage of the package dispensed when the pharmacy dispenses a quantity less than the 
181.32 	number of units contained in the manufacturer's original package. The ingredient cost for 
181.33 	a drug is either: (1) the lower of the National Average Drug Acquisition Cost (NADAC) 
181.34 	shall be used to determine the ingredient cost of a drug. or the Minnesota actual acquisition 
181.35 	cost (MNAAC) under paragraph (i); (2) the maximum allowable cost, if a drug ingredient 
182.1 	cost is unreported in the NADAC and the MNAAC; or (3)for drugs for which a NADAC 
182.2 	is not reported, the commissioner shall estimate the ingredient cost at the wholesale 
182.3 	acquisition cost minus two percent, if a drug ingredient cost is unreported in the NADAC 
182.4 	and the MNAAC and a maximum allowable cost is unavailable. The ingredient cost of a 
182.5 	drug for a provider participating in the federal 340B Drug Pricing Program shall be is either: 
182.6 	(1) the lowest of the 340B Drug Pricing Program ceiling price established by the Health 
182.7 	Resources and Services Administration or, the NADAC, whichever is lower. or the MNAAC; 
182.8 	(2) the maximum allowable cost, if the 340B ceiling price is unknown and the drug ingredient 
182.9 	cost is unreported in the NADAC and the MNAAC; or (3) the wholesale acquisition cost 
182.10 	minus two percent, if the 340B ceiling price is unknown, the drug ingredient cost is 
182.11 	unreported in the NADAC and the MNAAC, and the maximum allowable cost is unavailable.
182.12 	Wholesale acquisition cost is defined as the manufacturer's list price for a drug or biological 
182.13 	to wholesalers or direct purchasers in the United States, not including prompt pay or other 
182.14 	discounts, rebates, or reductions in price, for the most recent month for which information 
182.15 	is available, as reported in wholesale price guides or other publications of drug or biological 
182.16 	pricing data. The maximum allowable cost of a multisource drug may be set by the 
182.17 	commissioner and it shall be comparable to the actual acquisition cost of the drug product 
182.18 	and no higher than the NADAC of the generic product. Establishment of the amount of 
182.19 	payment for drugs shall not be subject to the requirements of the Administrative Procedure 
182.20 	Act.
182.21 	(b) Pharmacies dispensing prescriptions to residents of long-term care facilities using 
182.22 	an automated drug distribution system meeting the requirements of section 151.58, or a 
182.23 	packaging system meeting the packaging standards set forth in Minnesota Rules, part 
182.24 	6800.2700, that govern the return of unused drugs to the pharmacy for reuse, may employ 
182.25 	retrospective billing for prescription drugs dispensed to long-term care facility residents. A 
182.26 	retrospectively billing pharmacy must submit a claim only for the quantity of medication 
182.27 	used by the enrolled recipient during the defined billing period. A retrospectively billing 
182.28 	pharmacy must use a billing period not less than one calendar month or 30 days.
182.29 	(c) A pharmacy provider using packaging that meets the standards set forth in Minnesota 
182.30 	Rules, part 6800.2700, is required to credit the department for the actual acquisition cost 
182.31 	of all unused drugs that are eligible for reuse, unless the pharmacy is using retrospective 
182.32 	billing. The commissioner may permit the drug clozapine to be dispensed in a quantity that 
182.33 	is less than a 30-day supply.
182.34 	(d) If a pharmacy dispenses a multisource drug, the ingredient cost shall be the is either: 
182.35 	(1) the lower of the NADAC or the MNAAC of the generic product or; (2) the maximum 
183.1 	allowable cost, if the generic product ingredient cost is unreported in the NADAC and the 
183.2 	MNAAC; or (3) the wholesale acquisition cost minus two percent of the generic product
183.3 	established by the commissioner, if the generic drug ingredient cost is unreported in the 
183.4 	NADAC and the MNAAC and a maximum allowable cost is unavailable, unless prior 
183.5 	authorization for the brand name product has been granted according to the criteria 
183.6 	established by the Drug Formulary Committee as required by subdivision 13f, paragraph 
183.7 	(a), and the prescriber has indicated "dispense as written" on the prescription in a manner 
183.8 	consistent with section 151.21, subdivision 2. If prior authorization is granted, the ingredient 
183.9 	cost is either: (1) the lower of the NADAC or the MNAAC of the brand name product; (2) 
183.10 	the maximum allowable cost, if the drug ingredient cost is unreported in the NADAC and 
183.11 	MNAAC; or (3) the wholesale acquisition cost minus two percent, if the drug ingredient 
183.12 	cost is unreported in the NADAC and the MNAAC and the maximum allowable cost is 
183.13 	unavailable. A generic product includes a generic drug, an authorized generic drug, and a 
183.14 	biosimilar biological product as defined in Code of Federal Regulations, title 42, section 
183.15 	423.4. A brand name product includes a brand name drug, a brand name biological product, 
183.16 	and an unbranded biological product as defined in Code of Federal Regulations, title 42, 
183.17 	section 423.4.
183.18 	(e) The basis for determining the amount of payment for drugs administered in an 
183.19 	outpatient setting shall be is the lower lowest of the usual and customary cost submitted by 
183.20 	the provider, 106 percent of the average sales price as determined by the United States 
183.21 	Department of Health and Human Services pursuant to title XVIII, section 1847a of the 
183.22 	federal Social Security Act, the specialty pharmacy rate MNAAC, or the maximum allowable 
183.23 	cost set by the commissioner. If the average sales price is, the MNAAC, and the maximum 
183.24 	allowable cost are unavailable, the amount of payment must be the lower of the usual and 
183.25 	customary cost submitted by the provider, or the wholesale acquisition cost, the specialty 
183.26 	pharmacy rate, or the maximum allowable cost set by the commissioner. The commissioner 
183.27 	shall discount the payment rate for drugs obtained through the federal 340B Drug Pricing 
183.28 	Program by 28.6 percent. The payment for drugs administered in an outpatient setting shall 
183.29 	be made to the administering facility or practitioner. A retail or specialty pharmacy dispensing 
183.30 	a drug for administration in an outpatient setting is not eligible for direct reimbursement.
183.31 	(f) The commissioner may establish maximum allowable cost rates for specialty pharmacy 
183.32 	products that are lower than the ingredient cost formulas specified in paragraph (a). The 
183.33 	commissioner may require individuals enrolled in the health care programs administered 
183.34 	by the department to obtain specialty pharmacy products from providers with whom the 
183.35 	commissioner has negotiated lower reimbursement rates. Specialty pharmacy products are 
184.1 	defined as those used by a small number of recipients or recipients with complex and chronic 
184.2 	diseases that require expensive and challenging drug regimens. Examples of these conditions 
184.3 	include, but are not limited to: multiple sclerosis, HIV/AIDS, transplantation, hepatitis C, 
184.4 	growth hormone deficiency, Crohn's Disease, rheumatoid arthritis, and certain forms of 
184.5 	cancer. Specialty pharmaceutical products include injectable and infusion therapies, 
184.6 	biotechnology drugs, antihemophilic factor products, high-cost therapies, and therapies that 
184.7 	require complex care. The commissioner shall consult with the Formulary Committee to 
184.8 	develop a list of specialty pharmacy products subject to maximum allowable cost 
184.9 	reimbursement. In consulting with the Formulary Committee in developing this list, the 
184.10 	commissioner shall take into consideration the population served by specialty pharmacy 
184.11 	products, the current delivery system and standard of care in the state, and access to care 
184.12 	issues. The commissioner shall have the discretion to adjust the maximum allowable cost 
184.13 	to prevent access to care issues.
184.14 	(g) (f) Home infusion therapy services provided by home infusion therapy pharmacies 
184.15 	must be paid at rates according to subdivision 8d.
184.16 	(h) (g) The commissioner shall contract with a vendor to conduct a cost of dispensing 
184.17 	survey for all pharmacies that are physically located in the state of Minnesota that dispense 
184.18 	outpatient drugs under medical assistance. The commissioner shall ensure that the vendor 
184.19 	has prior experience in conducting cost of dispensing surveys. Each pharmacy enrolled with 
184.20 	the department to dispense outpatient prescription drugs to fee-for-service members must 
184.21 	respond to the cost of dispensing survey. The commissioner may sanction a pharmacy under 
184.22 	section 256B.064 for failure to respond. The commissioner shall require the vendor to 
184.23 	measure a single statewide cost of dispensing for specialty prescription drugs and a single 
184.24 	statewide cost of dispensing for nonspecialty prescription drugs for all responding pharmacies 
184.25 	to measure the mean, mean weighted by total prescription volume, mean weighted by 
184.26 	medical assistance prescription volume, median, median weighted by total prescription 
184.27 	volume, and median weighted by total medical assistance prescription volume. The 
184.28 	commissioner shall post a copy of the final cost of dispensing survey report on the 
184.29 	department's website. The initial survey must be completed no later than January 1, 2021, 
184.30 	and repeated every three years. The commissioner shall provide a summary of the results 
184.31 	of each cost of dispensing survey and provide recommendations for any changes to the 
184.32 	dispensing fee to the chairs and ranking minority members of the legislative committees 
184.33 	with jurisdiction over medical assistance pharmacy reimbursement. Notwithstanding section 
184.34 	256.01, subdivision 42, this paragraph does not expire.
185.1 	(i) (h) The commissioner shall increase the ingredient cost reimbursement calculated in 
185.2 	paragraphs (a), (d), and (f) (e) by 1.8 percent the amount of the wholesale drug distributor 
185.3 	tax under section 295.52 for prescription and nonprescription drugs subject to the wholesale 
185.4 	drug distributor tax under section 295.52.
185.5 	(i) The commissioner shall contract with a vendor to create the MNAAC through a 
185.6 	periodic survey of enrolled pharmacy providers. The initial MNAAC must be completed 
185.7 	by January 1, 2027. Each pharmacy enrolled with the department to dispense outpatient 
185.8 	prescription drugs must respond to the periodic surveys. The commissioner may sanction 
185.9 	a pharmacy under section 256B.064 for failure to respond. The commissioner must exclude 
185.10 	drug purchases under the federal 340B Drug Pricing Program and Federal Supply Schedule 
185.11 	invoices from any measure and calculation of the MNAAC. The current MNAAC rates 
185.12 	must be publicly available on the department's or vendor's website. The commissioner must 
185.13 	require that the MNAAC is measured and calculated at least quarterly. The commissioner 
185.14 	must ensure that the vendor has an appeal process available to providers for the time between 
185.15 	the measurement and calculation of the periodically updated MNAAC rates if price 
185.16 	fluctuations result in a MNAAC that is lower than the price at which enrolled providers can 
185.17 	purchase a drug. Establishment of the MNAAC and survey reporting requirements are not 
185.18 	subject to the requirements of the Administrative Procedure Act. Data provided by 
185.19 	pharmacies for the measurement and calculation of the MNAAC are nonpublic data as 
185.20 	defined in section 13.02, subdivision 9.

185.21 	EFFECTIVE DATE. This section is effective January 1, 2027, or upon federal approval, 
185.22 	whichever is later. The commissioner of human services must notify the revisor of statutes 
185.23 	when federal approval is obtained.

185.24 	Sec. 6. Minnesota Statutes 2024, section 256B.064, subdivision 1a, as amended by Laws 
185.25 	2025, chapter 38, article 5, section 28, is amended to read:
185.26 		Subd. 1a.Grounds for sanctions. (a) The commissioner may impose sanctions against 
185.27 	any individual or entity that receives payments from medical assistance or provides goods 
185.28 	or services for which payment is made from medical assistance for any of the following:
185.29 	(1) fraud, theft, or abuse in connection with the provision of goods and services to 
185.30 	recipients of public assistance for which payment is made from medical assistance;
185.31 	(2) a pattern of presentment of false or duplicate claims or claims for services not 
185.32 	medically necessary;
186.1 	(3) a pattern of making false statements of material facts for the purpose of obtaining 
186.2 	greater compensation than that to which the individual or entity is legally entitled;
186.3 	(4) suspension or termination as a Medicare vendor;
186.4 	(5) refusal to grant the state agency access during regular business hours to examine all 
186.5 	records necessary to disclose the extent of services provided to program recipients and 
186.6 	appropriateness of claims for payment;
186.7 	(6) failure to repay an overpayment or a fine finally established under this section;
186.8 	(7) failure to correct errors in the maintenance of health service or financial records for 
186.9 	which a fine was imposed or after issuance of a warning by the commissioner; and
186.10 	(8) any reason for which an individual or entity could be excluded from participation in 
186.11 	the Medicare program under section 1128, 1128A, or 1866(b)(2) of the Social Security Act.
186.12 	(b) For the purposes of this section, goods or services for which payment is made from 
186.13 	medical assistance includes but is not limited to care and services identified in section 
186.14 	256B.0625 or provided pursuant to any federally approved waiver.
186.15 	(c) Regardless of the source of payment or other item of value, the commissioner may 
186.16 	impose sanctions against any individual or entity that solicits, receives, pays, or offers to 
186.17 	pay any illegal remuneration as described in section 142E.51, subdivision 6a, in violation 
186.18 	of section 609.542, subdivision 2, or in violation of United States Code, title 42, section 
186.19 	1320a-7b(b)(1) or (2). No conviction is required before the commissioner can impose 
186.20 	sanctions under this paragraph.
186.21 	(d) The commissioner may impose sanctions against a pharmacy provider for failure to 
186.22 	respond to a cost of dispensing survey under section 256B.0625, subdivision 13e, paragraph 
186.23 	(h) (g).
186.24 	(e) The commissioner may impose sanctions against a pharmacy provider for failure to 
186.25 	respond to a Minnesota drug acquisition cost survey under section 256B.0625, subdivision 
186.26 	13e, paragraph (i).

186.27 	EFFECTIVE DATE. This section is effective January 1, 2027, or upon federal approval, 
186.28 	whichever is later. The commissioner of human services must notify the revisor of statutes 
186.29 	when federal approval is obtained.

186.30 	Sec. 7. Minnesota Statutes 2024, section 256B.69, subdivision 6d, is amended to read:
186.31 		Subd. 6d.Prescription drugs. (a) The commissioner may exclude or modify coverage 
186.32 	for prescription drugs from the prepaid managed care contracts entered into under this 
187.1 	section in order to increase savings to the state by collecting additional prescription drug 
187.2 	rebates.
187.3 	(b) The contracts must maintain incentives for the managed care plan to manage drug 
187.4 	costs and utilization and may require that the managed care plans maintain an open drug 
187.5 	formulary. In order to manage drug costs and utilization, the contracts may authorize the 
187.6 	managed care plans to use preferred drug lists and prior authorization. The contracts must 
187.7 	require that the managed care plans enter into contracts with the state's selected pharmacy 
187.8 	benefit manager vendor to administer the pharmacy benefit.
187.9 	(c) This subdivision is contingent on federal approval of the managed care contract 
187.10 	changes and the collection of additional prescription drug rebates.

187.11 	Sec. 8. Minnesota Statutes 2024, section 256B.69, is amended by adding a subdivision to 
187.12 	read:
187.13 		Subd. 6i.Directed pharmacy dispensing payment. (a) The commissioner shall provide 
187.14 	a directed pharmacy dispensing payment of $4.50 per filled prescription to eligible outpatient 
187.15 	retail pharmacies in Minnesota to improve and maintain access to pharmaceutical services 
187.16 	in rural and underserved areas of Minnesota. Managed care and county-based purchasing 
187.17 	plans delivering services under section 256B.69 or 256B.692, and any pharmacy benefit 
187.18 	managers under contract with these entities, must pay the directed pharmacy dispensing 
187.19 	payment to eligible outpatient retail pharmacies for drugs dispensed to medical assistance 
187.20 	enrollees. The directed pharmacy dispensing payment is in addition to, and must not supplant 
187.21 	or reduce, any other dispensing fee paid by these entities to the pharmacy. Entities paying 
187.22 	the directed pharmacy dispensing payment must not reduce other payments to the pharmacy 
187.23 	as a result of payment of the directed pharmacy dispensing payment.
187.24 	(b) For purposes of this subdivision, "eligible outpatient retail pharmacy" means an 
187.25 	outpatient retail pharmacy licensed under chapter 151 that is not owned, either directly or 
187.26 	indirectly or through an affiliate or subsidiary, by a pharmacy benefit manager licensed 
187.27 	under chapter 62W or a health carrier, as defined in section 62A.011, subdivision 2, and 
187.28 	that:
187.29 	(1) is located in a medically underserved area or primarily serves a medically underserved 
187.30 	population, as defined by the United States Department of Health and Human Services 
187.31 	Health Resources and Services Administration under United States Code, title 42, section 
187.32 	254; or
187.33 	(2) shares common ownership with 13 or fewer Minnesota pharmacies.
188.1 	(c) In order to receive the directed pharmacy dispensing payment, a pharmacy must 
188.2 	submit to the commissioner a form, developed by the commissioner, attesting that the 
188.3 	pharmacy meets the requirements of paragraph (b).
188.4 	(d) Managed care and county-based purchasing plans, and any pharmacy benefit managers 
188.5 	under contract with these entities, shall pay the directed pharmacy dispensing payment to 
188.6 	eligible outpatient retail pharmacies. The commissioner shall monitor the effect of this 
188.7 	requirement on access to pharmaceutical services in rural and underserved areas of 
188.8 	Minnesota. If, for any contract year, federal approval is not received for this subdivision, 
188.9 	the commissioner must adjust the capitation rates paid to managed care plans and 
188.10 	county-based purchasing plans for that contract year to reflect removal of this subdivision. 
188.11 	Contracts between managed care plans and county-based purchasing plans, and any pharmacy 
188.12 	benefit managers under contract with these entities, and providers to whom this subdivision 
188.13 	applies must allow recovery of payments from those providers if capitation rates are adjusted 
188.14 	in accordance with this paragraph. Payment recoveries must not exceed the amount equal 
188.15 	to any increase in rates that results from this subdivision. This subdivision expires if federal 
188.16 	approval is not received for this subdivision at any time.
188.17 	(e) This subdivision expires on December 31, 2026.

188.18 	EFFECTIVE DATE. This section is effective July 1, 2025, or upon federal approval, 
188.19 	whichever is later. The commissioner of human services shall notify the revisor of statutes 
188.20 	when federal approval is obtained.

188.21 	Sec. 9. [256B.696] PRESCRIPTION DRUGS; STATE PHARMACY BENEFIT 
188.22 	MANAGER.
188.23 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
188.24 	the meanings given.
188.25 	(b) "Managed care enrollees" means medical assistance and MinnesotaCare enrollees 
188.26 	receiving coverage from managed care plans.
188.27 	(c) "Managed care organizations" means health plan companies and county-based 
188.28 	purchasing organizations providing coverage to medical assistance and MinnesotaCare 
188.29 	enrollees under the managed care delivery system.
188.30 	(d) "State pharmacy benefit manager" means the pharmacy benefit manager selected 
188.31 	pursuant to the procurement process in subdivision 2.
188.32 		Subd. 2.Procurement process. (a) The commissioner must, through a competitive 
188.33 	procurement process in compliance with paragraph (b), select a state pharmacy benefit 
189.1 	manager to comply with the requirements set forth in subdivision 3. The state pharmacy 
189.2 	benefit manager selected under this subdivision must be a prepaid ambulatory health plan, 
189.3 	as defined in Code of Federal Regulations, title 42, section 438.2.
189.4 	(b) When selecting the state pharmacy benefit manager, the commissioner must:
189.5 	(1) accept applications for entities seeking to become the state pharmacy benefit manager;
189.6 	(2) establish eligibility criteria an entity must meet in order to become the state pharmacy 
189.7 	benefit manager; and
189.8 	(3) enter into a master contract with a single pharmacy benefit manager.
189.9 	(c) Applicants for the state pharmacy benefit manager must disclose to the commissioner 
189.10 	the following during the procurement process:
189.11 	(1) any activity, policy, practice, contract, or arrangement of the pharmacy benefit 
189.12 	manager that may directly or indirectly present any conflict of interest with the pharmacy 
189.13 	benefit manager's relationship with or obligation to the Department of Human Services or 
189.14 	a managed care organization;
189.15 	(2) all common ownership, members of a board of directors, managers, or other control 
189.16 	of the pharmacy benefit manager or any of the pharmacy benefit manager's affiliated 
189.17 	companies with:
189.18 	(i) a managed care organization administering medical assistance or MinnesotaCare 
189.19 	benefits in Minnesota or an affiliate of the managed care organization;
189.20 	(ii) an entity that contracts on behalf of a pharmacy or any pharmacy services 
189.21 	administration organization and its affiliates;
189.22 	(iii) a drug wholesaler or distributor and its affiliates;
189.23 	(vi) a third-party payer and its affiliates; or
189.24 	(v) a pharmacy and its affiliates;
189.25 	(3) any direct or indirect fees, charges, or any kind of assessments imposed by the 
189.26 	pharmacy benefit manager on pharmacies licensed in the state with which the pharmacy 
189.27 	benefit manager shares common ownership, management, or control, or that are owned, 
189.28 	managed, or controlled by any of the pharmacy benefit manager's affiliated companies;
189.29 	(4) any direct or indirect fees, charges, or any kind of assessments imposed by the 
189.30 	pharmacy benefit manager on pharmacies licensed in the state; and
190.1 	(5) any financial terms and arrangements between the pharmacy benefit manager and a 
190.2 	prescription drug manufacturer or labeler, including formulary management, drug substitution 
190.3 	programs, educational support claims processing, or data sales fees.
190.4 		Subd. 3.Contract requirements. The master contract required under subdivision 2, 
190.5 	paragraph (b), clause (3), must include provisions that prohibit the state pharmacy benefit 
190.6 	manager from:
190.7 	(1) requiring, enticing, or coercing an enrollee to obtain pharmacy services, including 
190.8 	a prescription drug, from a pharmacy owned or otherwise affiliated with the state pharmacy 
190.9 	benefit manager;
190.10 	(2) communicating to an enrollee, in any manner, that the enrollee is required to obtain 
190.11 	pharmacy services or have a prescription dispensed at, or pharmacy services provided by, 
190.12 	a particular pharmacy owned or affiliated with the state pharmacy benefit manager if there 
190.13 	are other nonaffiliated pharmacies that have the ability to dispense the medication or provide 
190.14 	the services and are also in network;
190.15 	(3) requiring an enrollee to obtain pharmacy services, including a prescription drug, 
190.16 	exclusively through a mail order pharmacy;
190.17 	(4) directly or indirectly retroactively denying or reducing a claim or aggregate of claims 
190.18 	for pharmacy services, including prescription drugs, after adjudication of the claim or 
190.19 	aggregation of claims; and
190.20 	(5) paying a rate for pharmacy services, including the prescription drug, that is less than 
190.21 	the sum of the following:
190.22 	(i) the amount of the professional dispensing fee if it were determined pursuant to section 
190.23 	256B.0625, subdivision 13e; and
190.24 	(ii) either:
190.25 	(A) the lower of the national average drug acquisition cost or the Minnesota actual 
190.26 	acquisition cost under section 256B.0625, subdivision 13e, paragraph (i);
190.27 	(B) the maximum allowable cost, as described in section 62W.08, if the national average 
190.28 	drug acquisition cost and the Minnesota actual acquisition cost are unreported; or
190.29 	(C) the wholesale acquisition cost minus two percent at the time the drug is administered 
190.30 	or dispensed if the costs of subitems (A) and (B) are unreported or unavailable.
190.31 		Subd. 4.Prescription drug coverage requirements. (a) The state pharmacy benefit 
190.32 	manager is responsible for processing all point of sale outpatient pharmacy claims under 
191.1 	the managed care delivery system. Managed care and county-based purchasing plans must 
191.2 	use the state pharmacy benefit manager pursuant to the terms of the master contract required 
191.3 	under subdivision 2, paragraph (b), clause (3). The state pharmacy benefit manager selected 
191.4 	is the exclusive pharmacy benefit manager used by managed care and county-based 
191.5 	purchasing plans when providing coverage to enrollees. The commissioner may require the 
191.6 	managed care and county-based purchasing plans and state pharmacy benefit manager to 
191.7 	directly exchange data and files for members enrolled with the plans.
191.8 	(b) The commissioner may require the state pharmacy benefit manager to modify 
191.9 	utilization review limitations, requirements, and strategies imposed on prescription drug 
191.10 	coverage.
191.11 	(c) All payment arrangements between the Department of Human Services, managed 
191.12 	care plans, county-based purchasing plans, and the state pharmacy benefit manager must 
191.13 	comply with state and federal statutes, regulations adopted by the Centers for Medicare and 
191.14 	Medicaid Services, and any other agreement between the department and the Centers for 
191.15 	Medicare and Medicaid Services. The commissioner may change a payment arrangement 
191.16 	to comply with this paragraph.
191.17 	(d) The commissioner must administer and oversee this section to:
191.18 	(1) ensure proper administration of prescription drug benefits for managed care enrollees; 
191.19 	and
191.20 	(2) increase the transparency of prescription drug prices and other information for the 
191.21 	benefit of pharmacies.
191.22 		Subd. 5.Reporting requirements. (a) The state pharmacy benefit manager must, on 
191.23 	request from the commissioner, disclose to the commissioner all sources of payment the 
191.24 	state pharmacy benefit manager receives for prescribed drugs, including drug rebates, 
191.25 	discounts, credits, clawbacks, fees, grants, chargebacks, reimbursements, or other financial 
191.26 	benefits or payments related to services provided for a managed care or county-based 
191.27 	purchasing plan.
191.28 	(b) Each managed care and county-based purchasing plan must disclose to the 
191.29 	commissioner, in the format specified by the commissioner, the entity's administrative costs 
191.30 	associated with providing pharmacy services under the managed care delivery system.
191.31 	(c) The state pharmacy benefit manager must provide a written quarterly report to the 
191.32 	commissioner containing the following information from the immediately preceding quarter:
192.1 	(1) the prices the state pharmacy benefit manager negotiated for prescribed drugs under 
192.2 	the managed care delivery system. The prices must include any rebates the state pharmacy 
192.3 	benefit manager received from drug manufacturers;
192.4 	(2) unredacted copies of contracts between the state pharmacy benefit manager and 
192.5 	enrolled pharmacies;
192.6 	(3) any rebate amounts the state pharmacy benefit manager passed on to individual 
192.7 	pharmacies;
192.8 	(4) any changes to the information previously disclosed in accordance with subdivision 
192.9 	2, paragraph (c); and
192.10 	(5) any other information required by the commissioner.
192.11 	(d) Data submitted pursuant to paragraph (c), clause (3), are nonpublic data, as defined 
192.12 	in section 13.02, subdivision 9.
192.13 	(e) The commissioner may request and collect additional information and clinical data 
192.14 	from the state pharmacy benefit manager.
192.15 	(f) At the time of contract execution, renewal, or modification, the commissioner must 
192.16 	modify the reporting requirements under its managed care contracts as necessary to meet 
192.17 	the requirements of this subdivision.
192.18 		Subd. 6.Commissioner's program authority. (a) To accomplish the requirements of 
192.19 	subdivision 4, paragraph (d), the commissioner, in consultation with the Formulary 
192.20 	Committee established under section 256B.0625, subdivision 13c, has the authority to:
192.21 	(1) adopt or develop a preferred drug list for managed care plans;
192.22 	(2) at the commissioner's discretion, engage in price negotiations with prescription drug 
192.23 	manufacturers, wholesalers, or group purchasing organizations in place of the state pharmacy 
192.24 	benefit manager to obtain price discounts and rebates for prescription drugs for managed 
192.25 	care enrollees; and
192.26 	(3) develop and manage a drug formulary for managed care and county-based purchasing 
192.27 	plans.
192.28 	(b) The commissioner may contract with one or more entities to perform any of the 
192.29 	functions described in paragraph (a).
192.30 		Subd. 7.Contracts with pharmacies. (a) The commissioner may review contracts 
192.31 	between the state pharmacy benefit manager and pharmacies for compliance with this section 
192.32 	and the master contract required under subdivision 2, paragraph (b), clause (3). The 
193.1 	commissioner may amend any term or condition of a contract that does not comply with 
193.2 	this section or the master contract.
193.3 	(b) A master contract and a contract between a state pharmacy benefit manager and a 
193.4 	pharmacy are nonpublic data, as defined in section 13.02, subdivision 9.
193.5 		Subd. 8.Federal approval. (a) The commissioner must seek any necessary federal 
193.6 	approval to implement this section.
193.7 	(b) The commissioner shall monitor the effect of state directed payments under this 
193.8 	section on access to pharmaceutical services in rural and underserved areas of Minnesota. 
193.9 	If, for any contract year, federal approval is not received for a state directed payment under 
193.10 	this section, the commissioner must adjust payments made to the managed care entity for 
193.11 	that contract year to reflect removal of the payment. Contracts between the state pharmacy 
193.12 	benefit manager and providers to whom this section applies must allow recovery of payments 
193.13 	from those providers if rates are adjusted in accordance with this paragraph. Payment 
193.14 	recoveries must not exceed the amount equal to any increase in rates that results from state 
193.15 	directed payments under this section. This paragraph expires if federal approval is not 
193.16 	received for state directed payments under this section at any time.

193.17 	EFFECTIVE DATE. This section is effective January 1, 2027, or upon federal approval, 
193.18 	whichever is later, except that subdivision 8 is effective the day following final enactment. 
193.19 	The commissioner of human services shall notify the revisor of statutes when federal approval 
193.20 	is obtained.

193.21 	ARTICLE 5
193.22 	OFFICE OF EMERGENCY MEDICAL SERVICES

193.23 	Section 1. Minnesota Statutes 2024, section 144E.35, is amended to read:
193.24 	144E.35 REIMBURSEMENT TO AMBULANCE SERVICES FOR VOLUNTEER
193.25 	EDUCATION COSTS.
193.26 		Subdivision 1.Repayment for volunteer Reimbursement for education costs; 
193.27 	ambulance service eligibility. A licensed ambulance service shall be reimbursed by the 
193.28 	director for the necessary expense of the initial education of a volunteer ambulance attendant 
193.29 	upon successful completion by the attendant of an EMT education course, or a continuing 
193.30 	education course for EMT care, or both, which has been approved by the director, pursuant 
193.31 	to section 144E.285 (a) Except as provided in subdivision 3, the director must reimburse 
193.32 	all eligible Minnesota licensed ambulance services that apply for reimbursement under this 
193.33 	section for the necessary expenses of initial EMR and EMT education and EMR and EMT 
194.1 	continuing education for ambulance attendants who satisfy the criteria in subdivision 2. 
194.2 	Reimbursement may include tuition, transportation, food, lodging, hourly payment for the 
194.3 	time spent in the education course, and other necessary expenditures, except that in no 
194.4 	instance shall a volunteer licensed ambulance attendant service be reimbursed more than 
194.5 	$900:
194.6 	(1) $1,200 for an ambulance attendant's successful completion of an initial EMT education 
194.7 	course, and $375;
194.8 	(2) $400 for an ambulance attendant's successful completion of a an EMT continuing 
194.9 	education course;
194.10 	(3) $600 for an ambulance attendant's successful completion of an initial EMR education 
194.11 	course; and
194.12 	(4) $200 for an ambulance attendant's successful completion of an EMR continuing 
194.13 	education course.
194.14 	(b) To be eligible for reimbursement, a licensed ambulance service must have responded 
194.15 	to 5,000 or fewer calls in the most recent calendar year.
194.16 		Subd. 2.Reimbursement provisions Ambulance attendant criteria. Reimbursement 
194.17 	must be paid under provisions of this section when documentation is provided to the director 
194.18 	that the individualambulance attendant:
194.19 	(1) successfully completed an initial EMR or EMT education course approved by the 
194.20 	director under section 144E.285, a continuing education course for EMR or EMT care 
194.21 	approved by the director under section 144E.285, or both; and
194.22 	(2) has served for one year from the date of the final certification exam as an active 
194.23 	member of a Minnesota licensed ambulance service.
194.24 		Subd. 3.Discontinuance of reimbursement. If the state is unable to meet its financial 
194.25 	obligations under subdivision 1 as the obligations become due, the director must discontinue 
194.26 	reimbursing ambulance services for education costs until the state is again able to meet the 
194.27 	financial obligations under subdivision 1 as the obligations become due. An ambulance 
194.28 	service whose application is not approved due to lack of funding may resubmit the application 
194.29 	in the next fiscal year.

195.1 	Sec. 2. [144E.55] RURAL EMS UNCOMPENSATED CARE POOL PAYMENT 
195.2 	PROGRAM.
195.3 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
195.4 	the meanings given.
195.5 	(b) "Eligible licensee" means a licensee that primarily provides ambulance services 
195.6 	outside the metropolitan counties listed in section 473.121, subdivision 4.
195.7 	(c) "Public safety answering point" has the meaning given in section 403.02, subdivision 
195.8 	19.
195.9 		Subd. 2.Payment program established. The director must establish and administer a 
195.10 	rural EMS uncompensated care pool payment program. Under the program, the director 
195.11 	must make payments to eligible licensees according to this section.
195.12 		Subd. 3.Excluded responses. The director must exclude EMS responses by specialized 
195.13 	life support, as described in section 144E.101, subdivision 9, in calculating payments under 
195.14 	this section.
195.15 		Subd. 4.Application process. (a) An eligible licensee seeking a payment under this 
195.16 	section must apply to the director each year by March 31, in the form and manner determined 
195.17 	by the director. In the application, the eligible licensee must specify the number of the 
195.18 	eligible licensee's EMS responses that meet the criteria in subdivision 5.
195.19 	(b) When an eligible licensee, an eligible licensee's parent company, a subsidiary of an 
195.20 	eligible licensee, or a subsidiary of an eligible licensee's parent company collectively hold 
195.21 	multiple licenses, the director must treat all such related licensees as a single eligible licensee.
195.22 		Subd. 5.Eligible EMS responses. In order for an EMS response to be an eligible EMS 
195.23 	response for purposes of subdivision 6, the EMS response must meet the following criteria:
195.24 	(1) the EMS response was initiated by a request for emergency medical services initially 
195.25 	received by a public safety answering point;
195.26 	(2) an ambulance responded to the scene;
195.27 	(3) the ambulance was not canceled while en route to the scene;
195.28 	(4) the ambulance did not transport a person from the scene to a hospital emergency 
195.29 	department;
195.30 	(5) the eligible licensee did not receive any payment for the EMS response from any 
195.31 	source; and
196.1 	(6) the EMS response was initiated between January 1 and December 31 of the year 
196.2 	prior to the year the application is submitted.
196.3 		Subd. 6.Calculations. (a) The director must calculate payments as provided in paragraphs 
196.4 	(b) and (c) for an eligible licensee that completes an application under subdivision 4.
196.5 	(b) The director must award points for eligible EMS responses as follows:
196.6 	(1) for eligible EMS responses one to 25, an eligible licensee is awarded ten points per 
196.7 	response;
196.8 	(2) for eligible EMS responses 26 to 50, an eligible licensee is awarded five points per 
196.9 	response;
196.10 	(3) for eligible EMS responses 51 to 100, an eligible licensee is awarded three points 
196.11 	per response;
196.12 	(4) for eligible EMS responses 101 to 200, an eligible licensee is awarded one point per 
196.13 	response; and
196.14 	(5) for eligible EMS responses exceeding 200, an eligible licensee is awarded zero points.
196.15 	(c) The director must total the number of all points awarded to all applying eligible 
196.16 	licensees under paragraph (b). The director must divide the amount appropriated for purposes 
196.17 	of this section by the total number of points awarded to determine a per-point amount. The 
196.18 	payment for each eligible licensee shall be calculated by multiplying the eligible licensee's 
196.19 	number of awarded points by the established per-point amount.
196.20 		Subd. 7.Payment. The director must certify the payment amount for each eligible 
196.21 	licensee and must make the full payment to each eligible licensee by May 30 each year.

196.22 	Sec. 3. AMBULANCE SERVICE TRAINING AND STAFFING GRANT PROGRAM.
 196.23 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
196.24 	the meanings given.
196.25 	(b) "Director" has the meaning given in Minnesota Statutes, section 144E.001, subdivision 
196.26 	16.
196.27 	(c) "Emergency medical technician" has the meaning given in Minnesota Statutes, section 
196.28 	144E.001, subdivision 5c.
196.29 	(d) "Employee" has the meaning given in Minnesota Statutes, section 181.960, subdivision 
196.30 	2.
197.1 		Subd. 2.Grant program. The director must establish and administer a program to award 
197.2 	grants to eligible ambulance services for certain costs to train ambulance service employees 
197.3 	as emergency medical technicians and staff the ambulance service.
197.4 		Subd. 3.Eligible ambulance services. To be eligible for a grant under this section, an 
197.5 	ambulance service must:
197.6 	(1) be licensed under Minnesota Statutes, chapter 144E; and
197.7 	(2) in the calendar year prior to the year in which the ambulance service first applies for 
197.8 	a grant under this section, have had at least 50 percent of its ambulance staffing provided 
197.9 	by emergency medical technicians.
197.10 		Subd. 4.Application. An eligible ambulance service seeking a grant under this section 
197.11 	must apply to the director in a form and manner and according to a timeline specified by 
197.12 	the director. In its application, the eligible ambulance service must specify the number of 
197.13 	individuals it plans to hire using the grant money, the number of employee training hours 
197.14 	it plans to fund using the grant money, and other information required by the director.
197.15 		Subd. 5.Allowable uses of grant money; maximum grant amount. (a) An ambulance 
197.16 	service must use grant money awarded under this section only for one or more of the 
197.17 	following:
197.18 	(1) tuition for employees attending an emergency medical technician (EMT) education 
197.19 	program approved by the director;
197.20 	(2) employee examination fees for EMT certification;
197.21 	(3) fees for background studies for new EMT employees; and
197.22 	(4) incurred wage and benefit costs of employees while attending an EMT education 
197.23 	program or program-related activities. Wage and benefit costs under this clause must be 
197.24 	commensurate with the wages and benefits the ambulance service provides to an entry-level 
197.25 	EMT and must not exceed $26 per hour.
197.26 	(b) The grant amount awarded to an ambulance service must not exceed the amount 
197.27 	needed for the costs in paragraph (a).
197.28 		Subd. 6.Grant program oversight. An ambulance service receiving a grant under this 
197.29 	section must provide the director with information necessary for the director to administer 
197.30 	and evaluate the grant program.

198.1 	Sec. 4. AMBULANCE OPERATING DEFICIT GRANT PROGRAM.
 198.2 		Subdivision 1.Definitions. (a) For the purposes of this section, the terms defined in this 
198.3 	subdivision have the meanings given.
198.4 	(b) "Capital expenses" means expenses incurred by a licensee for the purchase, 
198.5 	improvement, or maintenance of assets with an expected useful life of greater than five 
198.6 	years that improve the efficiency of provided ambulance services or the capabilities of the 
198.7 	licensee.
198.8 	(c) "Director" has the meaning given in Minnesota Statutes, section 144E.001, subdivision 
198.9 	16.
198.10 	(d) "Eligible applicant" or "eligible licensee" means any licensee who possessed a license 
198.11 	not excluded under subdivision 3 or 4 in the last completed state fiscal year for which data 
198.12 	was provided to the director, as provided in Minnesota Statutes, section 62J.49; who continues 
198.13 	to operate that same nonexcluded license at the time of application; and who provides 
198.14 	verifiable evidence of an operating deficit in the state fiscal year prior to submitting an 
198.15 	application.
198.16 	(e) "Government licensee" means any government entity, as defined in Minnesota 
198.17 	Statutes, section 118A.01, subdivision 2, including a Tribe, that is a licensee.
198.18 	(f) "Insurance revenue" means revenue from Medicare, medical assistance, private health 
198.19 	insurance, third-party liability insurance, and payments from individuals.
198.20 	(g) "Licensee" has the meaning given in Minnesota Statutes, section 144E.001, 
198.21 	subdivision 8.
198.22 	(h) "Operating deficit" means the sum of insurance revenue and other revenue is less 
198.23 	than the sum of operational expenses and capital expenses.
198.24 	(i) "Operational expenses" means costs related to the day-to-day operations of an 
198.25 	ambulance service, including but not limited to costs related to personnel, supplies and 
198.26 	equipment, fuel, vehicle maintenance, travel, education, and fundraising.
198.27 	(j) "Other revenue" means revenue from any revenue that is not insurance revenue, 
198.28 	including but not limited to grants, tax revenue, donations, fundraisers, or standby fees. 
198.29 	Grants awarded under this section and aid paid under Laws 2024, chapter 122, article 4, 
198.30 	section 1, must not be considered revenue.
199.1 		Subd. 2.Program establishment. An ambulance operating deficit grant program is 
199.2 	established to award grants to applicants to address revenue shortfalls creating operating 
199.3 	deficits among eligible applicants.
199.4 		Subd. 3.Licensee providing specialized life support services excluded. Licensees 
199.5 	providing specialized life support services as described in Minnesota Statutes, section 
199.6 	144E.101, subdivision 9, are not eligible for grants under this section.
199.7 		Subd. 4.Other licensees excluded. Licensees whose individual primary service areas 
199.8 	are located mostly within a metropolitan county listed in Minnesota Statutes, section 473.121, 
199.9 	subdivision 4, or within the cities of Duluth, Mankato, St. Cloud, or Rochester are not 
199.10 	eligible for grants under this section.
199.11 		Subd. 5.Application process. (a) An eligible licensee may apply to the director, in the 
199.12 	form and manner determined by the director, for a grant under this section.
199.13 	(b) A grant application made by a government licensee must be accompanied by a 
199.14 	resolution of support from the governing body.
199.15 		Subd. 6.Director calculations. The director shall award grants only to applicants who 
199.16 	provide verifiable evidence of an operating deficit in the last completed state fiscal year for 
199.17 	which data were provided to the director. The director may audit the financial data provided 
199.18 	to the director by applicants, as provided in Minnesota Statutes, section 62J.49. A grant 
199.19 	awarded must not be more than five percent more than any previous grant without special 
199.20 	permission from the director.
199.21 		Subd. 7.Grant awards; limitations. (a) Grants awarded under this section to eligible 
199.22 	applicants may be proportionally distributed based on money available. Total amounts 
199.23 	awarded must not exceed the amount appropriated for purposes of this section.
199.24 	(b) The director shall award grants in fiscal year 2026 and fiscal year 2027.
199.25 	(c) The director must not award individual grants that exceed the amount of the grantee's 
199.26 	most recent verified operating deficit as reported to the director.
199.27 		Subd. 8.Eligible expenditures. A grantee must spend grant money received under this 
199.28 	section on operational expenses and capital expenses incurred to provide ambulance services.
199.29 		Subd. 9.Report. By February 15, 2026, and February 15, 2027, the director must submit 
199.30 	a report to the chairs and ranking minority members of the legislative committees with 
199.31 	jurisdiction over health finance and policy. The report must describe the number and amount 
199.32 	of grants awarded under this section and the uses made of grant money by grantees.

200.1 	ARTICLE 6
200.2 	HEALTH POLICY

200.3 	Section 1. Minnesota Statutes 2024, section 144.98, subdivision 8, is amended to read:
200.4 		Subd. 8.Exemption from national standards for quality control and personnel 
200.5 	requirements. Effective January 1, 2012, A laboratory that analyzes samples for compliance 
200.6 	with a permit issued under section 115.03, subdivision 5, may request exemption from the 
200.7 	personnel requirements and specific quality control provisions for microbiology and 
200.8 	chemistry stated in the national standards as incorporated by reference in subdivision 2a. 
200.9 	The commissioner shall grant the exemption if the laboratory:
200.10 	(1) complies with the methodology and quality control requirements, where available, 
200.11 	in the most recent, approved edition of the Standard Methods for the Examination of Water 
200.12 	and Wastewater as published by the Water Environment Federation; and
200.13 	(2) supplies the name of the person meeting the requirements in section 115.73, or the 
200.14 	personnel requirements in the national standard pursuant to subdivision 2a.
200.15 	A laboratory applying for this exemption shall not apply for simultaneous accreditation 
200.16 	under the national standard.

200.17 	Sec. 2. Minnesota Statutes 2024, section 144.98, subdivision 9, is amended to read:
200.18 		Subd. 9.Exemption from national standards for proficiency testing frequency. (a) 
200.19 	Effective January 1, 2012, A laboratory applying for or requesting accreditation under the 
200.20 	exemption in subdivision 8 must obtain an acceptable proficiency test result for each of the 
200.21 	laboratory's accredited or requested fields of testing. The laboratory must analyze proficiency 
200.22 	samples selected from one of two annual proficiency testing studies scheduled by the 
200.23 	commissioner.
200.24 	(b) If a laboratory fails to successfully complete the first scheduled proficiency study, 
200.25 	the laboratory shall:
200.26 	(1) obtain and analyze a supplemental test sample within 15 days of receiving the test 
200.27 	report for the initial failed attempt; and
200.28 	(2) participate in the second annual study as scheduled by the commissioner.
200.29 	(c) If a laboratory does not submit results or fails two consecutive proficiency samples, 
200.30 	the commissioner will revoke the laboratory's accreditation for the affected fields of testing.
201.1 	(d) The commissioner may require a laboratory to analyze additional proficiency testing 
201.2 	samples beyond what is required in this subdivision if information available to the 
201.3 	commissioner indicates that the laboratory's analysis for the field of testing does not meet 
201.4 	the requirements for accreditation.
201.5 	(e) The commissioner may collect from laboratories accredited under the exemption in 
201.6 	subdivision 8 any additional costs required to administer this subdivision and subdivision 
201.7 	8.

201.8 	Sec. 3. Minnesota Statutes 2024, section 145.901, subdivision 1, is amended to read:
201.9 		Subdivision 1.Purpose. Within the limits of available funding, the commissioner of 
201.10 	health may must conduct maternal death studies to assist the planning, implementation, and 
201.11 	evaluation of medical, health, and welfare service systems and to reduce the numbers of 
201.12 	preventable maternal deaths in Minnesota.

201.13 	Sec. 4. Minnesota Statutes 2024, section 147A.02, is amended to read:
201.14 	147A.02 QUALIFICATIONS FOR LICENSURE.
201.15 	(a) The board may grant a license as a physician assistant to an applicant who:
201.16 	(1) submits an application on forms approved by the board;
201.17 	(2) pays the appropriate fee as determined by the board;
201.18 	(3) has current certification from the National Commission on Certification of Physician 
201.19 	Assistants, or its successor agency as approved by the board;
201.20 	(4) certifies that the applicant is mentally and physically able to engage safely in practice 
201.21 	as a physician assistant;
201.22 	(5) has no licensure, certification, or registration as a physician assistant under current 
201.23 	discipline, revocation, suspension, or probation for cause resulting from the applicant's 
201.24 	practice as a physician assistant, unless the board considers the condition and agrees to 
201.25 	licensure;
201.26 	(6) submits any other information the board deems necessary to evaluate the applicant's 
201.27 	qualifications; and
201.28 	(7) has been approved by the board.
202.1 	(b) All persons registered as physician assistants as of June 30, 1995, are eligible for 
202.2 	continuing license renewal. All persons applying for licensure after that date shall be licensed 
202.3 	according to this chapter.
202.4 	(c) A physician assistant who qualifies for licensure must practice for at least 2,080 
202.5 	hours, within the context of a collaborative agreement, within a hospital or integrated clinical 
202.6 	setting where physician assistants and physicians work together to provide patient care. The 
202.7 	physician assistant shall submit written evidence to the board with the application, or upon 
202.8 	completion of the required collaborative practice experience. For purposes of this paragraph, 
202.9 	a collaborative agreement is a mutually agreed upon plan for the overall working relationship 
202.10 	and collaborative arrangement between a physician assistant, and one or more physicians 
202.11 	licensed under chapter 147 or licensed in another state or United States territory, that 
202.12 	designates the scope of services that can be provided collaboration necessary to manage the 
202.13 	care of patients. The physician assistant and one of the collaborative physicians must have 
202.14 	experience in providing care to patients with the same or similar medical conditions. The 
202.15 	collaborating physician is not required to be physically present so long as the collaborating 
202.16 	physician and physician assistant are or can be easily in contact with each other by radio, 
202.17 	telephone, or other telecommunication device.

202.18 	Sec. 5. Minnesota Statutes 2024, section 148.56, subdivision 1, is amended to read:
202.19 		Subdivision 1.Optometry defined. (a) Any person shall be deemed to be practicing 
202.20 	optometry within the meaning of sections 148.52 to 148.62 who shall in any way:
202.21 	(1) advertise as an optometrist;
202.22 	(2) employ any means, including the use of autorefractors or other automated testing 
202.23 	devices, for the measurement of the powers of vision or the adaptation of lenses or prisms 
202.24 	for the aid thereof;
202.25 	(3) possess testing appliances for the purpose of the measurement of the powers of vision;
202.26 	(4) diagnose any disease, optical deficiency or deformity, or visual or muscular anomaly 
202.27 	of the visual system consisting of the human eye and its accessory or subordinate anatomical 
202.28 	parts;
202.29 	(5) prescribe lenses, including plano or cosmetic contact lenses, or prisms for the 
202.30 	correction or the relief of same;
202.31 	(6) employ or prescribe ocular exercises, orthoptics, or habilitative and rehabilitative 
202.32 	therapeutic vision care; or
203.1 	(7) prescribe or administer legend drugs to aid in the diagnosis, cure, mitigation, 
203.2 	prevention, treatment, or management of disease, deficiency, deformity, or abnormality of 
203.3 	the human eye and adnexa included in the curricula of accredited schools or colleges of 
203.4 	optometry, and as limited by Minnesota statute and adopted rules by the Board of Optometry, 
203.5 	or who holds oneself out as being able to do so.
203.6 	(b) In the course of treatment, nothing in this section shall allow:
203.7 	(1) legend drugs to be administered intravenously, intramuscularly, or by injection, 
203.8 	except for treatment of anaphylaxis; by intraocular or sub-Tenon injection; by injection 
203.9 	posterior to the orbital septum; or by intramuscular injection, except as permitted under 
203.10 	paragraph (d);
203.11 	(2) invasive surgery including, but not limited to, surgery using lasers;
203.12 	(3) Schedule II and III oral legend drugs and oral steroids to be administered or 
203.13 	prescribed; or
203.14 	(4) oral antivirals to be prescribed or administered for more than ten days; or steroids 
203.15 	to be administered or prescribed for more than 14 days without consultation with a physician.
203.16 	(5) oral carbonic anhydrase inhibitors to be prescribed or administered for more than 
203.17 	seven days.
203.18 	(c) Nothing in this section shall allow anesthetics to be administered by injection, except 
203.19 	that an optometrist may administer local anesthesia by injection:
203.20 	(1) for excision of chalazia, except that recurrent chalazia must be referred to a physician; 
203.21 	and
203.22 	(2) for excision of a single epidermal lesion that: (i) is without characteristics of 
203.23 	malignancy; (ii) is no larger than five millimeters in size; (iii) is no deeper than the dermal 
203.24 	layer of the skin; and (iv) is not a lesion involving the eyelid margin.
203.25 	(d) An optometrist may inject Botulinum toxin, limited to the periocular muscles of 
203.26 	facial expression innervated by the first two branches of the facial nerve, including for 
203.27 	cosmetic purposes.

203.28 	Sec. 6. Minnesota Statutes 2024, section 148.56, is amended by adding a subdivision to 
203.29 	read:
203.30 		Subd. 1a.Injections. In order to perform injections permitted under subdivision 1, an 
203.31 	optometrist must receive approval from the board after demonstrating to the board that the 
204.1 	optometrist has sufficient educational or clinical training to perform injections. This 
204.2 	subdivision does not apply to injections for treatment of anaphylaxis.

204.3 	ARTICLE 7
204.4 	MINNESOTA HEALTH AND EDUCATION FACILITIES AUTHORITY

204.5 	Section 1. Minnesota Statutes 2024, section 3.732, subdivision 1, is amended to read:
204.6 		Subdivision 1.Definitions. As used in this section and section 3.736 the terms defined 
204.7 	in this section have the meanings given them.
204.8 	(1) "State" includes each of the departments, boards, agencies, commissions, courts, and 
204.9 	officers in the executive, legislative, and judicial branches of the state of Minnesota and 
204.10 	includes but is not limited to the Housing Finance Agency, the Minnesota Office of Higher 
204.11 	Education, the Higher Health and Education Facilities Authority, the Health Technology 
204.12 	Advisory Committee, the Armory Building Commission, the Zoological Board, the 
204.13 	Department of Iron Range Resources and Rehabilitation, the Minnesota Historical Society, 
204.14 	the State Agricultural Society, the University of Minnesota, the Minnesota State Colleges 
204.15 	and Universities, state hospitals, and state penal institutions. It does not include a city, town, 
204.16 	county, school district, or other local governmental body corporate and politic.
204.17 	(2) "Employee of the state" means all present or former officers, members, directors, or 
204.18 	employees of the state, members of the Minnesota National Guard, members of a bomb 
204.19 	disposal unit approved by the commissioner of public safety and employed by a municipality 
204.20 	defined in section 466.01 when engaged in the disposal or neutralization of bombs or other 
204.21 	similar hazardous explosives, as defined in section 299C.063, outside the jurisdiction of the 
204.22 	municipality but within the state, or persons acting on behalf of the state in an official 
204.23 	capacity, temporarily or permanently, with or without compensation. It does not include 
204.24 	either an independent contractor except, for purposes of this section and section 3.736 only, 
204.25 	a guardian ad litem acting under court appointment, or members of the Minnesota National 
204.26 	Guard while engaged in training or duty under United States Code, title 10, or title 32, 
204.27 	section 316, 502, 503, 504, or 505, as amended through December 31, 1983. Notwithstanding 
204.28 	sections 43A.02 and 611.263, for purposes of this section and section 3.736 only, "employee 
204.29 	of the state" includes a district public defender or assistant district public defender in the 
204.30 	Second or Fourth Judicial District, a member of the Health Technology Advisory Committee, 
204.31 	and any officer, agent, or employee of the state of Wisconsin performing work for the state 
204.32 	of Minnesota pursuant to a joint state initiative.
205.1 	(3) "Scope of office or employment" means that the employee was acting on behalf of 
205.2 	the state in the performance of duties or tasks lawfully assigned by competent authority.
205.3 	(4) "Judicial branch" has the meaning given in section 43A.02, subdivision 25.

205.4 	Sec. 2. Minnesota Statutes 2024, section 10A.01, subdivision 35, is amended to read:
205.5 		Subd. 35.Public official. "Public official" means any:
205.6 	(1) member of the legislature;
205.7 	(2) individual employed by the legislature as secretary of the senate, legislative auditor, 
205.8 	director of the Legislative Budget Office, chief clerk of the house of representatives, revisor 
205.9 	of statutes, or researcher, legislative analyst, fiscal analyst, or attorney in the Office of 
205.10 	Senate Counsel, Research and Fiscal Analysis, House Research, or the House Fiscal Analysis 
205.11 	Department;
205.12 	(3) constitutional officer in the executive branch and the officer's chief administrative 
205.13 	deputy;
205.14 	(4) solicitor general or deputy, assistant, or special assistant attorney general;
205.15 	(5) commissioner, deputy commissioner, or assistant commissioner of any state 
205.16 	department or agency as listed in section 15.01 or 15.06, or the state chief information 
205.17 	officer;
205.18 	(6) member, chief administrative officer, or deputy chief administrative officer of a state 
205.19 	board or commission that has either the power to adopt, amend, or repeal rules under chapter 
205.20 	14, or the power to adjudicate contested cases or appeals under chapter 14;
205.21 	(7) individual employed in the executive branch who is authorized to adopt, amend, or 
205.22 	repeal rules under chapter 14 or adjudicate contested cases under chapter 14;
205.23 	(8) executive director of the State Board of Investment;
205.24 	(9) deputy of any official listed in clauses (7) and (8);
205.25 	(10) judge of the Workers' Compensation Court of Appeals;
205.26 	(11) administrative law judge or compensation judge in the State Office of Administrative 
205.27 	Hearings or unemployment law judge in the Department of Employment and Economic 
205.28 	Development;
205.29 	(12) member, regional administrator, division director, general counsel, or operations 
205.30 	manager of the Metropolitan Council;
206.1 	(13) member or chief administrator of a metropolitan agency;
206.2 	(14) director of the Division of Alcohol and Gambling Enforcement in the Department 
206.3 	of Public Safety;
206.4 	(15) member or executive director of the Higher Health and Education Facilities 
206.5 	Authority;
206.6 	(16) member of the board of directors or president of Enterprise Minnesota, Inc.;
206.7 	(17) member of the board of directors or executive director of the Minnesota State High 
206.8 	School League;
206.9 	(18) member of the Minnesota Ballpark Authority established in section 473.755;
206.10 	(19) citizen member of the Legislative-Citizen Commission on Minnesota Resources;
206.11 	(20) manager of a watershed district, or member of a watershed management organization 
206.12 	as defined under section 103B.205, subdivision 13;
206.13 	(21) supervisor of a soil and water conservation district;
206.14 	(22) director of Explore Minnesota Tourism;
206.15 	(23) citizen member of the Lessard-Sams Outdoor Heritage Council established in section 
206.16 	97A.056;
206.17 	(24) citizen member of the Clean Water Council established in section 114D.30;
206.18 	(25) member or chief executive of the Minnesota Sports Facilities Authority established 
206.19 	in section 473J.07;
206.20 	(26) district court judge, appeals court judge, or supreme court justice;
206.21 	(27) county commissioner;
206.22 	(28) member of the Greater Minnesota Regional Parks and Trails Commission;
206.23 	(29) member of the Destination Medical Center Corporation established in section 
206.24 	469.41; or
206.25 	(30) chancellor or member of the Board of Trustees of the Minnesota State Colleges 
206.26 	and Universities.

207.1 	Sec. 3. Minnesota Statutes 2024, section 136A.25, is amended to read:
207.2 	136A.25 CREATION.
207.3 	A state agency known as the Minnesota HigherHealth and Education Facilities Authority 
207.4 	is hereby created.

207.5 	Sec. 4. Minnesota Statutes 2024, section 136A.26, is amended to read:
207.6 	136A.26 MEMBERSHIPS; OFFICERS; COMPENSATION; REMOVAL.
207.7 		Subdivision 1.Membership. The Minnesota Higher Health and Education Facilities 
207.8 	Authority shall consist of eight nine members appointed by the governor with the advice 
207.9 	and consent of the senate, and a representative of the Office of Higher Education.
207.10 	All members to be appointed by the governor shall be residents of the state. At least two 
207.11 	members must reside outside the metropolitan area as defined in section 473.121, subdivision 
207.12 	2. At least one of the members shall be a person having a favorable reputation for skill, 
207.13 	knowledge, and experience in the field of state and municipal finance; and at least one of 
207.14 	the members shall be a person having a favorable reputation for skill, knowledge, and 
207.15 	experience in the building construction field; and at least one of the members shall be a 
207.16 	trustee, director, officer, or employee of an institution of higher education; and at least one 
207.17 	of the members shall be a trustee, director, officer, or employee of a health care organization.
207.18 		Subd. 1a.Private College Council member. The president of the Minnesota Private 
207.19 	College Council, or the president's designee, shall serve without compensation as an advisory, 
207.20 	nonvoting member of the authority.
207.21 		Subd. 1b.Nonprofit health care association member. The chief executive officer of 
207.22 	a Minnesota nonprofit health care association whose members are primarily nonprofit health 
207.23 	care organizations, or the chief executive officer's designee, shall serve without compensation 
207.24 	as an advisory, nonvoting member of the authority. The identity of the Minnesota nonprofit 
207.25 	health care association shall be determined and may be changed from time to time by the 
207.26 	members of the authority in accordance with and as provided in the bylaws of the authority.
207.27 		Subd. 2.Term; compensation; removal. The membership terms, compensation, removal 
207.28 	of members, and filling of vacancies for authority members other than the representative 
207.29 	of the office, and the president of the Private College Council, and the nonprofit health care 
207.30 	association member shall be as provided in section 15.0575.

208.1 	Sec. 5. Minnesota Statutes 2024, section 136A.27, is amended to read:
208.2 	136A.27 POLICY.
208.3 	It is hereby declared that for the benefit of the people of the state, the increase of their 
208.4 	commerce, welfare and prosperity and the improvement of their health and living conditions 
208.5 	it is essential that health care organizations in Minnesota be provided with appropriate 
208.6 	additional means to establish, acquire, construct, improve, and expand health care facilities 
208.7 	in furtherance of their purposes; that this and future generations of youth be given the fullest 
208.8 	opportunity to learn and to develop their intellectual and mental capacities; that it is essential
208.9 	that institutions of higher education within the state be provided with appropriate additional 
208.10 	means to assist such youth in achieving the required levels of learning and development of 
208.11 	their intellectual and mental capacities; and that health care organizations and institutions 
208.12 	of higher education be enabled to refinance outstanding indebtedness incurred to provide 
208.13 	existing facilities used for such those purposes in order to preserve and enhance the utilization 
208.14 	of facilities for purposes of health care and higher education, to extend or adjust maturities 
208.15 	in relation to the resources available for their payment, and to save interest costs and thereby 
208.16 	reduce health care costs or higher education tuition, fees, and charges; and. It is hereby 
208.17 	further declared that it is the purpose of sections 136A.25 to 136A.42 to provide a measure 
208.18 	of assistance and an alternative method to enable health care organizations and institutions 
208.19 	of higher education in the state to provide the facilities and structures which are sorely 
208.20 	needed to accomplish the purposes of sections 136A.25 to 136A.42, all to the public benefit 
208.21 	and good, to the extent and manner provided herein.

208.22 	Sec. 6. Minnesota Statutes 2024, section 136A.28, is amended to read:
208.23 	136A.28 DEFINITIONS.
208.24 		Subdivision 1.Scope. In sections 136A.25 to 136A.42, the following words and terms 
208.25 	shall, unless the context otherwise requires, have the meanings ascribed to them.
208.26 		Subd. 1a.Affiliate. "Affiliate" means an entity that directly or indirectly controls, is 
208.27 	controlled by, or is under common control with another entity. For purposes of this 
208.28 	subdivision, "control" means either the power to elect a majority of the members of the 
208.29 	governing body of an entity or the power, whether by contract or otherwise, to direct the 
208.30 	management and policies of the entity. Affiliate also means an entity whose business or 
208.31 	substantially all of whose property is operated under a lease, management agreement, or 
208.32 	operating agreement by another entity, or an entity who operates the business or substantially 
208.33 	all of the property of another entity under a lease, management agreement, or operating 
208.34 	agreement.
209.1 		Subd. 2.Authority. "Authority" means the HigherHealth and Education Facilities 
209.2 	Authority created by sections 136A.25 to 136A.42.
209.3 		Subd. 3.Project. "Project" means a structure or structures available for use as a dormitory 
209.4 	or other student housing facility, a dining hall, student union, administration building, 
209.5 	academic building, library, laboratory, research facility, classroom, athletic facility, health 
209.6 	care facility, child care facility, and maintenance, storage, or utility facility and other 
209.7 	structures or facilities related thereto or required or useful for the instruction of students or 
209.8 	the conducting of research or the operation of an institution of higher education, whether 
209.9 	proposed, under construction, or completed, including parking and other facilities or 
209.10 	structures essential or convenient for the orderly conduct of such institution for higher 
209.11 	education, and shall also include landscaping, site preparation, furniture, equipment and 
209.12 	machinery, and other similar items necessary or convenient for the operation of a particular 
209.13 	facility or structure in the manner for which its use is intended but shall not include such 
209.14 	items as books, fuel, supplies, or other items the costs of which are customarily deemed to 
209.15 	result in a current operating charge, and shalla health care facility or an education facility 
209.16 	whether proposed, under construction, or completed, and includes land or interests in land, 
209.17 	appurtenances, site preparation, landscaping, buildings and structures, systems, fixtures, 
209.18 	furniture, machinery, equipment, and parking. Project also includes other structures, facilities, 
209.19 	improvements, machinery, equipment, and means of transport of a capital nature that are 
209.20 	necessary or convenient for the operation of the facility. Project does not include: (1) any 
209.21 	facility used or to be used for sectarian instruction or as a place of religious worship nor; 
209.22 	(2) any facility which is used or to be used primarily in connection with any part of the 
209.23 	program of a school or department of divinity for any religious denomination; or (3) any 
209.24 	books, supplies, medicine, medical supplies, fuel, or other items, the cost of which are 
209.25 	customarily deemed to result in a current operating charge.
209.26 		Subd. 4.Cost. "Cost," as applied to a project or any portion thereof financed under the 
209.27 	provisions of sections 136A.25 to 136A.42, means all or any part of the cost of construction, 
209.28 	acquisition, alteration, enlargement, reconstruction and remodeling of a project including 
209.29 	all lands, structures, real or personal property, rights, rights-of-way, franchises, easements 
209.30 	and interests acquired or used for or in connection with a project, the cost of demolishing 
209.31 	or removing any buildings or structures on land so acquired, including the cost of acquiring 
209.32 	any lands to which such the buildings or structures may be moved, the cost of all machinery 
209.33 	and equipment, financing charges, interest prior to, during and for a period after completion 
209.34 	of such construction and acquisition, provisions for reserves for principal and interest and 
209.35 	for extensions, enlargements, additions and improvements, the cost of architectural, 
210.1 	engineering, financial and legal services, plans, specifications, studies, surveys, estimates 
210.2 	of cost and of revenues, administrative expenses, expenses necessary or incident to 
210.3 	determining the feasibility or practicability of constructing the project and such other 
210.4 	expenses as may be necessary or incident to the construction and acquisition of the project, 
210.5 	the financing of such construction and acquisition and the placing of the project in operation.
210.6 		Subd. 5.Bonds. "Bonds," or "revenue bonds" means revenue bonds of the authority 
210.7 	issued under the provisions of sections 136A.25 to 136A.42, including revenue refunding 
210.8 	bonds, notwithstanding that the same may be secured by mortgage or the full faith and credit 
210.9 	of a participating institution for higher education or any other lawfully pledged security of 
210.10 	a participating institution for higher education.
210.11 		Subd. 6.Institution of higher education. "Institution of higher education" means a 
210.12 	nonprofit educational institution within the state authorized to provide a program of education 
210.13 	beyond the high school level.
210.14 		Subd. 6a.Health care organization. (a) "Health care organization" means a nonprofit 
210.15 	organization located within the state and authorized by law to operate a nonprofit health 
210.16 	care facility in the state. Health care organization also means a nonprofit affiliate of a health 
210.17 	care organization as defined under this paragraph, provided the affiliate is located within 
210.18 	the state or within a state that is geographically contiguous to Minnesota.
210.19 	(b) Health care organization also means a nonprofit organization located in another state 
210.20 	that is geographically contiguous to Minnesota and authorized by law to operate a nonprofit 
210.21 	health care facility in that state, provided that the nonprofit organization located in the 
210.22 	contiguous state is an affiliate of a health care organization located in Minnesota.
210.23 		Subd. 6b.Education facility. "Education facility" means a structure or structures 
210.24 	available for use as a dormitory or other student housing facility, dining hall, student union, 
210.25 	administration building, academic building, library, laboratory, research facility, classroom, 
210.26 	athletic facility, student health care facility, or child care facility, and includes other facilities 
210.27 	or structures related to the essential or convenient orderly conduct of an institution of higher 
210.28 	education.
210.29 		Subd. 6c.Health care facility. (a) "Health care facility" means a structure or structures 
210.30 	available for use in Minnesota as a hospital, clinic, psychiatric residential treatment facility, 
210.31 	birth center, outpatient surgical center, comprehensive outpatient rehabilitation facility, 
210.32 	outpatient physical therapy or speech pathology facility, end-stage renal dialysis facility, 
210.33 	medical laboratory, pharmacy, radiation therapy facility, diagnostic imaging facility, medical 
210.34 	office building, residence for nurses or interns, nursing home, boarding care home, assisted 
211.1 	living facility, residential hospice, intermediate care facility for persons with developmental 
211.2 	disabilities, supervised living facility, board and lodging establishment with special services, 
211.3 	adult day care center, day services facility, prescribed pediatric extended care facility, 
211.4 	community residential setting, adult foster home, or other facility related to medical or 
211.5 	health care research, or the delivery or administration of health care services and includes 
211.6 	other structures or facilities related to the essential or convenient orderly conduct of a health 
211.7 	care organization.
211.8 	(b) Health care facility also means a facility in a state that is geographically contiguous 
211.9 	to Minnesota operated by a health care organization that corresponds by purpose, function, 
211.10 	or use with a facility listed in paragraph (a).
211.11 		Subd. 7.Participating institution of higher education. "Participating institution of 
211.12 	higher education" means a health care organization or an institution of higher education 
211.13 	that, under the provisions of sections 136A.25 to 136A.42, undertakes the financing and 
211.14 	construction or acquisition of a project or undertakes the refunding or refinancing of 
211.15 	obligations or of a mortgage or of advances as provided in sections 136A.25 to 136A.42. 
211.16 	Community colleges and technical colleges may be considered participating institutions of 
211.17 	higher education for the purpose of financing and constructing child care facilities and 
211.18 	parking facilities.

211.19 	Sec. 7. Minnesota Statutes 2024, section 136A.29, subdivision 1, is amended to read:
211.20 		Subdivision 1.Purpose. The purpose of the authority shall be to assist health care 
211.21 	organizations and institutions of higher education in the construction, financing, and 
211.22 	refinancing of projects. The exercise by the authority of the powers conferred by sections 
211.23 	136A.25 to 136A.42, shall be deemed and held to be the performance of an essential public 
211.24 	function. For the purpose of sections 136A.25 to 136A.42, the authority shall have the 
211.25 	powers and duties set forth in subdivisions 2 to 23.

211.26 	Sec. 8. Minnesota Statutes 2024, section 136A.29, subdivision 3, is amended to read:
211.27 		Subd. 3.Employees; office space. The authority is authorized and empowered to appoint 
211.28 	and employ employees as it may deem necessary to carry out its duties, determine the title 
211.29 	of the employees so employed, and fix the salary of said its employees. Employees of the 
211.30 	authority shall participate in retirement and other benefits in the same manner that employees 
211.31 	in the unclassified service of the officeparticipate. The authority may maintain an office 
211.32 	space as it may designate.

212.1 	Sec. 9. Minnesota Statutes 2024, section 136A.29, subdivision 6, is amended to read:
212.2 		Subd. 6.Projects; generally. (a) The authority is authorized and empowered to determine 
212.3 	the location and character of any project to be financed under the provisions of sections 
212.4 	136A.25 to 136A.42, and to construct, reconstruct, remodel, maintain, manage, enlarge, 
212.5 	alter, add to, repair, operate, lease, as lessee or lessor, and regulate the same, to enter into 
212.6 	contracts for any or all of such these purposes, to enter into contracts for the management 
212.7 	and operation of a project, and to designate a participating institution of higher education
212.8 	as its agent to determine the location and character of a project undertaken by such a
212.9 	participating institution of higher education under the provisions of sections 136A.25 to 
212.10 	136A.42 and as the agent of the authority, to construct, reconstruct, remodel, maintain, 
212.11 	manage, enlarge, alter, add to, repair, operate, lease, as lessee or lessor, and regulate the 
212.12 	same, and as the agent of the authority, to enter into contracts for any or all of such these
212.13 	purposes, including contracts for the management and operation of such the project.
212.14 	(b) Notwithstanding paragraph (a), a project involving a health care facility in Minnesota 
212.15 	financed under sections 136A.25 to 136A.42 must comply with all applicable requirements 
212.16 	in state law related to authorizing construction of or modifications to a health care facility, 
212.17 	including the requirements in sections 144.5509, 144.551, 144A.071, and 252.291.
212.18 	(c) Contracts of the authority or of a participating institution of higher education to 
212.19 	acquire or to construct, reconstruct, remodel, maintain, enlarge, alter, add to, or repair 
212.20 	projects shall not be subject to the provisions of chapter 16C or section 574.26, or any other 
212.21 	public contract or competitive bid law.

212.22 	Sec. 10. Minnesota Statutes 2024, section 136A.29, subdivision 9, is amended to read:
212.23 		Subd. 9.Revenue bonds; limit. (a) The authority is authorized and empowered to issue 
212.24 	revenue bonds whose aggregate principal amount at any time shall not exceed $2,000,000,000
212.25 	$5,000,000,000 and to issue notes, bond anticipation notes, and revenue refunding bonds 
212.26 	of the authority under the provisions of sections 136A.25 to 136A.42, to provide funds for 
212.27 	acquiring, constructing, reconstructing, enlarging, remodeling, renovating, improving, 
212.28 	furnishing, or equipping one or more projects or parts thereof.
212.29 	(b) Of the $5,000,000,000 limit in paragraph (a), the aggregate principal amount used 
212.30 	to fund education facilities may not exceed $2,250,000,000 at any time and the aggregate 
212.31 	principal amount used to fund health care facilities may not exceed $2,750,000,000 at any 
212.32 	time.

213.1 	Sec. 11. Minnesota Statutes 2024, section 136A.29, subdivision 10, is amended to read:
213.2 		Subd. 10.Revenue bonds; issuance, purpose, conditions. The authority is authorized 
213.3 	and empowered to issue revenue bonds to acquire projects from or to make loans to 
213.4 	participating institutions of higher education and thereby refinance outstanding indebtedness 
213.5 	incurred by participating institutions of higher education to provide funds for the acquisition, 
213.6 	construction or improvement of a facility before or after the enactment of sections 136A.25
213.7 	to 136A.42, but otherwise eligible to be and being a project thereunder, whenever the 
213.8 	authority finds that such the refinancing will enhance or preserve such the participating 
213.9 	institutions and such the facilities or utilization thereof that is for health care or educational 
213.10 	purposes or extend or adjust maturities to correspond to the resources available for their 
213.11 	payment, or reduce charges or fees imposed on patients or occupants, or the tuition, charges,
213.12 	or fees imposed on students for the use or occupancy of the facilities of such the participating 
213.13 	institutions of higher education or costs met by federal or state public funds, or enhance or 
213.14 	preserve health care or educational programs and research or the acquisition or improvement 
213.15 	of other facilities eligible to be a project or part thereof by the participating institution of 
213.16 	higher education. The amount of revenue bonds to be issued to refinance outstanding 
213.17 	indebtedness of a participating institution of higher education shall not exceed the lesser of 
213.18 	(a) the fair value of the project to be acquired by the authority from the institution or 
213.19 	mortgaged to the authority by the institution or (b) the amount of the outstanding indebtedness 
213.20 	including any premium thereon and any interest accrued or to accrue to the date of redemption 
213.21 	and any legal, fiscal and related costs in connection with such the refinancing and reasonable 
213.22 	reserves, as determined by the authority. The provisions of this subdivision do not prohibit 
213.23 	the authority from issuing revenue bonds within and charged against the limitations provided 
213.24 	in subdivision 9 to provide funds for improvements, alteration, renovation, or extension of 
213.25 	the project refinanced.

213.26 	Sec. 12. Minnesota Statutes 2024, section 136A.29, subdivision 14, is amended to read:
213.27 		Subd. 14.Rules for use of projects. The authority is authorized and empowered to 
213.28 	establish rules for the use of a project or any portion thereof and to designate a participating 
213.29 	institution of higher education as its agent to establish rules for the use of a project undertaken 
213.30 	for such a participating institution of higher education.

213.31 	Sec. 13. Minnesota Statutes 2024, section 136A.29, subdivision 19, is amended to read:
213.32 		Subd. 19.Surety. Before the issuance of any revenue bonds under the provisions of 
213.33 	sections 136A.25 to 136A.42, any member or officer of the authority authorized by resolution 
214.1 	of the authority to handle funds or sign checks of the authority shall be covered under a 
214.2 	surety or fidelity bond in an amount to be determined by the authority. Each such bond shall 
214.3 	be conditioned upon the faithful performance of the duties of the office of the member or 
214.4 	officer, and shall be executed by a surety company authorized to transact business in the 
214.5 	state of Minnesota as surety. The cost of each such bond shall be paid by the authority.

214.6 	Sec. 14. Minnesota Statutes 2024, section 136A.29, subdivision 20, is amended to read:
214.7 		Subd. 20.Sale, lease, and disposal of property. The authority is authorized and 
214.8 	empowered to sell, lease, release, or otherwise dispose of real and personal property or 
214.9 	interests therein, or a combination thereof, acquired by the authority under authority of 
214.10 	sections 136A.25 to 136A.42 and no longer needed for the purposes of such this chapter or 
214.11 	of the authority, and grant such easements and other rights in, over, under, or across a project 
214.12 	as will not interfere with its use of such the property. Such The sale, lease, release, 
214.13 	disposition, or grant may be made without competitive bidding and in such the manner and
214.14 	for such consideration as the authority in its judgment deems appropriate.

214.15 	Sec. 15. Minnesota Statutes 2024, section 136A.29, subdivision 21, is amended to read:
214.16 		Subd. 21.Loans. The authority is authorized and empowered to make loans to any 
214.17 	participating institution of higher education for the cost of a project in accordance with an 
214.18 	agreement between the authority and the participating institution of higher education;,
214.19 	provided that no such loan shall exceed the total cost of the project as determined by the 
214.20 	participating institution of higher education and approved by the authority.

214.21 	Sec. 16. Minnesota Statutes 2024, section 136A.29, subdivision 22, is amended to read:
214.22 		Subd. 22.Costs, expenses, and other charges. The authority is authorized and 
214.23 	empowered to charge to and apportion among participating institutions of higher education
214.24 	its administrative costs and expenses incurred in the exercise of the powers and duties 
214.25 	conferred by sections 136A.25 to 136A.42 in the manner as the authority in its judgment 
214.26 	deems appropriate.

214.27 	Sec. 17. Minnesota Statutes 2024, section 136A.29, is amended by adding a subdivision 
214.28 	to read:
214.29 		Subd. 24.Determination of affiliate status. The authority is authorized and empowered 
214.30 	to determine whether an entity is an affiliate. A determination by the authority of affiliate 
214.31 	status shall be deemed conclusive for the purposes of sections 136A.25 to 136A.42.

215.1 	Sec. 18. Minnesota Statutes 2024, section 136A.32, subdivision 1, is amended to read:
215.2 		Subdivision 1.Bonds; generally. (a) The authority may from time to time issue revenue 
215.3 	bonds for purposes of sections 136A.25 to 136A.42, and all such revenue bonds, notes, 
215.4 	bond anticipation notes or other obligations of the authority issued pursuant to sections 
215.5 	136A.25 to 136A.42 shall be and are hereby declared to be negotiable for all purposes 
215.6 	notwithstanding their payment from a limited source and without regard to any other law 
215.7 	or laws. In anticipation of the sale of such revenue bonds, the authority may issue negotiable 
215.8 	bond anticipation notes and may renew the same from time to time, but the maximum 
215.9 	maturity of any such note, including renewals thereof, shall not exceed five years from the 
215.10 	date of issue of the original note. Such Notes shall be paid from any revenues of the authority 
215.11 	available therefor and not otherwise pledged, or from the proceeds of sale of the revenue 
215.12 	bonds of the authority in anticipation of which they were issued. The notes shall be issued 
215.13 	in the same manner as the revenue bonds. Such The notes and the resolution or resolutions 
215.14 	authorizing the same may contain any provisions, conditions or limitations which a bond 
215.15 	resolution or the authority may contain.
215.16 	(b) Before issuing revenue bonds, notes, or other obligations under paragraph (a) on 
215.17 	behalf of a health care organization to finance health care facilities, the authority must obtain 
215.18 	consent by resolution from each city or town where the project is located, except that consent 
215.19 	need not be obtained in the case of a city or town with a population of less than 100,000. 
215.20 	The consent by resolution requirement does not apply to financing under paragraph (a) on 
215.21 	behalf of a participating institution that is primarily an institution of higher education.

215.22 	Sec. 19. Minnesota Statutes 2024, section 136A.32, subdivision 4, is amended to read:
215.23 		Subd. 4.Provisions of resolution authorizing bonds. Any resolution or resolutions 
215.24 	authorizing any revenue bonds or any issue of revenue bonds may contain provisions, which 
215.25 	shall be a part of the contract with the holders of the revenue bonds to be authorized, as to:
215.26 	(1) pledging all or any part of the revenues of a project or projects, any revenue producing 
215.27 	contract or contracts made by the authority with any individual partnership, corporation or 
215.28 	association or other body one or more partnerships, corporations or associations, or other 
215.29 	bodies, public or private, to secure the payment of the revenue bonds or of any particular 
215.30 	issue of revenue bonds, subject to such agreements with bondholders as may then exist;
215.31 	(2) the rentals, fees and other charges to be charged, and the amounts to be raised in 
215.32 	each year thereby, and the use and disposition of the revenues;
216.1 	(3) the setting aside of reserves or sinking funds, and the regulation and disposition 
216.2 	thereof of them;
216.3 	(4) limitations on the right of the authority or its agent to restrict and regulate the use of 
216.4 	the project;
216.5 	(5) limitations on the purpose to which the proceeds of sale of any issue of revenue 
216.6 	bonds then or thereafter to be issued may be applied and pledging such the proceeds to 
216.7 	secure the payment of the revenue bonds or any issue of the revenue bonds;
216.8 	(6) limitations on the issuance of additional bonds, the terms upon which additional 
216.9 	bonds may be issued and secured and the refunding of outstanding bonds;
216.10 	(7) the procedure, if any, by which the terms of any contract with bondholders may be 
216.11 	amended or abrogated, the amount of bonds the holders of which must consent thereto to, 
216.12 	and the manner in which such consent may be given;
216.13 	(8) limitations on the amount of moneys derived from the project to be expended for 
216.14 	operating, administrative or other expenses of the authority;
216.15 	(9) defining the acts or omissions to act which shall constitute a default in the duties of 
216.16 	the authority to holders of its obligations and providing the rights and remedies of such the
216.17 	holders in the event of a default; or
216.18 	(10) the mortgaging of a project and the site thereof for the purpose of securing the 
216.19 	bondholders.

216.20 	Sec. 20. Minnesota Statutes 2024, section 136A.32, is amended by adding a subdivision 
216.21 	to read:
216.22 		Subd. 4a.Health care certification. Health care organizations must provide the authority 
216.23 	with a signed certificate from the health care organization stating that so long as authority 
216.24 	financing for the health care organization remains outstanding, none of the proceeds of the 
216.25 	bonds to the health care organization may be directly or indirectly used to benefit a private 
216.26 	party or private equity-funded entity.

216.27 	Sec. 21. Minnesota Statutes 2024, section 136A.33, is amended to read:
216.28 	136A.33 TRUST AGREEMENT.
216.29 	In the discretion of the authority any revenue bonds issued under the provisions of 
216.30 	sections 136A.25 to 136A.42, may be secured by a trust agreement by and between the 
216.31 	authority and a corporate trustee or trustees, which may be any trust company or bank having 
217.1 	the powers of a trust company within the state. Such The trust agreement or the resolution 
217.2 	providing for the issuance of such revenue bonds may pledge or assign the revenues to be 
217.3 	received or proceeds of any contract or contracts pledged and may convey or mortgage the 
217.4 	project or any portion thereof of the project. Such The trust agreement or resolution providing 
217.5 	for the issuance of such revenue bonds may contain such provisions for protecting and 
217.6 	enforcing the rights and remedies of the bondholders as may be reasonable and proper and 
217.7 	not in violation of laws, including particularly such particular provisions as have hereinabove
217.8 	that have been specifically authorized to be included in any resolution or resolutions of the 
217.9 	authority authorizing revenue bonds thereof. Any bank or trust company incorporated under 
217.10 	the laws of the state which that may act as depository of the proceeds of bonds or of revenues 
217.11 	or other moneys may furnish such indemnifying bonds or pledges suchpledge securities as 
217.12 	may be required by the authority. Any such trust agreement may set forth the rights and 
217.13 	remedies of the bondholders and of the trustee or trustees and may restrict the individual 
217.14 	right of action by bondholders. In addition to the foregoing, any such trust agreement or 
217.15 	resolution may contain such other provisions as the authority may deem reasonable and 
217.16 	proper for the security of the bondholders. All expenses incurred in carrying out the 
217.17 	provisions of such the trust agreement or resolution may be treated as a part of the cost of 
217.18 	the operation of a project.

217.19 	Sec. 22. Minnesota Statutes 2024, section 136A.34, subdivision 3, is amended to read:
217.20 		Subd. 3.Investment. Any such escrowed proceeds, pending such use, may be invested 
217.21 	and reinvested in direct obligations of the United States of America, or in certificates of 
217.22 	deposit or time deposits secured by direct obligations of the United States of America, or 
217.23 	in shares or units in any money market mutual fund whose investment portfolio consists 
217.24 	solely of direct obligations of the United States of America, maturing at such a time or times 
217.25 	as shall be appropriate to assure the prompt payment, as to principal, interest and redemption 
217.26 	premium, if any, of the outstanding revenue bonds to be so refunded. The interest, income 
217.27 	and profits, if any, earned or realized on any such investment may also be applied to the 
217.28 	payment of the outstanding revenue bonds to be so refunded. After the terms of the escrow 
217.29 	have been fully satisfied and carried out, any balance of such the proceeds and interest, 
217.30 	income and profits, if any, earned or realized on the investments thereof may be returned 
217.31 	to the authority for use by it in any lawful manner.

217.32 	Sec. 23. Minnesota Statutes 2024, section 136A.34, subdivision 4, is amended to read:
217.33 		Subd. 4.Additional purpose; improvements. The portion of the proceeds of any such
217.34 	revenue bonds issued for the additional purpose of paying all or any part of the cost of 
218.1 	constructing and acquiring additions, improvements, extensions or enlargements of a project 
218.2 	may be invested or deposited in time deposits as provided in section 136A.32, subdivision 
218.3 	7.

218.4 	Sec. 24. Minnesota Statutes 2024, section 136A.36, is amended to read:
218.5 	136A.36 REVENUES.
218.6 	The authority may fix, revise, charge and collect rates, rents, fees and charges for the 
218.7 	use of and for the services furnished or to be furnished by each project and to may contract 
218.8 	with any person, partnership, association or corporation, or other body, public or private, 
218.9 	in respect thereof. Such The rates, rents, fees, and charges may vary between projects 
218.10 	involving an education facility and projects involving a health care facility and shall be 
218.11 	fixed and adjusted in respect of the aggregate of rates, rents, fees, and charges from such
218.12 	the project so as to provide funds sufficient with other revenues, if any:
218.13 	(1) to pay the cost of maintaining, repairing and operating the project and each and every 
218.14 	portion thereof of the project, to the extent that the payment of such the cost has not otherwise 
218.15 	been adequately provided for;
218.16 	(2) to pay the principal of and the interest on outstanding revenue bonds of the authority 
218.17 	issued in respect of such the project as the same shall become due and payable; and
218.18 	(3) to create and maintain reserves required or provided for in any resolution authorizing, 
218.19 	or trust agreement securing, such revenue bonds of the authority. Such The rates, rents, fees 
218.20 	and charges shall not be subject to supervision or regulation by any department, commission, 
218.21 	board, body, bureau or agency of this state other than the authority. A sufficient amount of 
218.22 	the revenues derived in respect of a project, except such part of such the revenues as may 
218.23 	be necessary to pay the cost of maintenance, repair and operation and to provide reserves 
218.24 	and for renewals, replacements, extensions, enlargements and improvements as may be 
218.25 	provided for in the resolution authorizing the issuance of any revenue bonds of the authority 
218.26 	or in the trust agreement securing the same, shall be set aside at such regular intervals as 
218.27 	may be provided in such the resolution or trust agreement in a sinking or other similar fund 
218.28 	which that is hereby pledged to, and charged with, the payment of the principal of and the 
218.29 	interest on such revenue bonds as the same shall become due, and the redemption price or 
218.30 	the purchase price of bonds retired by call or purchase as therein provided. Such The pledge 
218.31 	shall be valid and binding from the time when the pledge is made; the rates, rents, fees and 
218.32 	charges and other revenues or other moneys so pledged and thereafter received by the 
218.33 	authority shall immediately be subject to the lien of such the pledge without physical delivery 
218.34 	thereof or further act, and the lien of any such pledge shall be valid and binding as against 
219.1 	all parties having claims of any kind against the authority, irrespective of whether such the
219.2 	parties have notice thereof of the pledge. Neither the resolution nor any trust agreement by 
219.3 	which a pledge is created need be filed or recorded except in the records of the authority. 
219.4 	The use and disposition of moneys to the credit of such a sinking or other similar fund shall 
219.5 	be subject to the provisions of the resolution authorizing the issuance of such bonds or of 
219.6 	such a trust agreement. Except as may otherwise be provided in such the resolution or such
219.7 	trust agreement, such the sinking or other similar fund shall be a fund for all such revenue 
219.8 	bonds issued to finance a project or projects at one or more participating institutions of 
219.9 	higher education without distinction or priority of one over another; provided the authority 
219.10 	in any such resolution or trust agreement may provide that such the sinking or other similar 
219.11 	fund shall be the fund for a particular project at an a participating institution of higher 
219.12 	education and for the revenue bonds issued to finance a particular project and may, 
219.13 	additionally, permit and provide for the issuance of revenue bonds having a subordinate 
219.14 	lien in respect of the security herein authorized to other revenue bonds of the authority and, 
219.15 	in such case, the authority may create separate or other similar funds in respect of such the
219.16 	subordinate lien bonds.

219.17 	Sec. 25. Minnesota Statutes 2024, section 136A.38, is amended to read:
219.18 	136A.38 BONDS ELIGIBLE FOR INVESTMENT.
219.19 	Bonds issued by the authority under the provisions of sections 136A.25 to 136A.42, are 
219.20 	hereby made securities in which all public officers and public bodies of the state and its 
219.21 	political subdivisions, all insurance companies, trust companies, banking associations, 
219.22 	investment companies, executors, administrators, trustees and other fiduciaries may properly 
219.23 	and legally invest funds, including capital in their control or belonging to them; it being the 
219.24 	purpose of this section to authorize the investment in such bonds of all sinking, insurance, 
219.25 	retirement, compensation, pension and trust funds, whether owned or controlled by private 
219.26 	or public persons or officers; provided, however, that nothing contained in this section may 
219.27 	be construed as relieving any person, firm, or corporation from any duty of exercising due 
219.28 	care in selecting securities for purchase or investment; and provide further, that in no event 
219.29 	shall assets of pension funds of public employees of the state of Minnesota or any of its 
219.30 	agencies, boards or subdivisions, whether publicly or privately administered, be invested 
219.31 	in bonds issued under the provisions of sections 136A.25 to 136A.42. Such The bonds are 
219.32 	hereby constituted "authorized securities" within the meaning and for the purposes of 
219.33 	Minnesota Statutes 1969, section 50.14. Such The bonds are hereby made securities which
219.34 	that may properly and legally be deposited with and received by any state or municipal 
220.1 	officer or any agency or political subdivision of the state for any purpose for which the 
220.2 	deposit of bonds or obligations of the state now or may hereafter be authorized by law.

220.3 	Sec. 26. Minnesota Statutes 2024, section 136A.41, is amended to read:
220.4 	136A.41 CONFLICT OF INTEREST.
220.5 	Notwithstanding any other law to the contrary it shall not be or constitute a conflict of 
220.6 	interest for a trustee, director, officer or employee of any participating institution of higher 
220.7 	education, financial institution, investment banking firm, brokerage firm, commercial bank 
220.8 	or trust company, architecture firm, insurance company, construction company, or any other 
220.9 	firm, person or corporation to serve as a member of the authority, provided such the trustee, 
220.10 	director, officer or employee shall abstain from deliberation, action and vote by the authority 
220.11 	in each instance where the business affiliation of any such trustee, director, officer or 
220.12 	employee is involved.

220.13 	Sec. 27. Minnesota Statutes 2024, section 136A.42, is amended to read:
220.14 	136A.42 ANNUAL REPORT.
220.15 	The authority shall keep an accurate account of all of its activities and all of its receipts 
220.16 	and expenditures and shall annually report to the office. Each year, the authority shall submit 
220.17 	to the Minnesota Historical Society and the Legislative Reference Library a report of the 
220.18 	authority's activities in the previous year, including all financial activities.

220.19 	Sec. 28. Minnesota Statutes 2024, section 136F.67, subdivision 1, is amended to read:
220.20 		Subdivision 1.Authorization. A technical college or a community college must not 
220.21 	seek financing for child care facilities or parking facilities through the Higher Health and
220.22 	Education Facilities Authority, as provided in section 136A.28, subdivision 7, without the 
220.23 	explicit authorization of the board.

220.24 	Sec. 29. Minnesota Statutes 2024, section 354B.20, subdivision 7, is amended to read:
220.25 		Subd. 7.Employing unit. "Employing unit," if the agency employs any persons covered 
220.26 	by the individual retirement account plan under section 354B.211, means:
220.27 	(1) the board;
220.28 	(2) the Minnesota Office of Higher Education; and
220.29 	(3) the Higher Health and Education Facilities Authority.

221.1 	Sec. 30. REVISOR INSTRUCTION.
 221.2 	The revisor of statutes shall renumber the law establishing and governing the Minnesota 
221.3 	Higher Education Facilities Authority, renamed the Minnesota Health and Education 
221.4 	Facilities Authority in this act, as Minnesota Statutes, chapter 15D, coded in Minnesota 
221.5 	Statutes, sections 136A.25 to 136A.42, as amended or repealed in this act. The revisor of 
221.6 	statutes shall also duplicate any required definitions from Minnesota Statutes, chapter 136A; 
221.7 	revise any statutory cross-references consistent with the recoding; and report the history in 
221.8 	Minnesota Statutes, chapter 15D. The revisor of statutes shall change "Minnesota Higher 
221.9 	Education Facilities Authority" to "Minnesota Health and Higher Education Facilities 
221.10 	Authority" where it appears in Minnesota Statutes.

221.11 	Sec. 31. REPEALER.
 221.12 	Minnesota Statutes 2024, section 136A.29, subdivision 4, is repealed.

221.13 	ARTICLE 8
221.14 	HUMAN SERVICES HEALTH CARE FINANCE

221.15 	Section 1. Minnesota Statutes 2024, section 62A.673, subdivision 2, is amended to read:
221.16 		Subd. 2.Definitions. (a) For purposes of this section, the terms defined in this subdivision 
221.17 	have the meanings given.
221.18 	(b) "Distant site" means a site at which a health care provider is located while providing 
221.19 	health care services or consultations by means of telehealth.
221.20 	(c) "Health care provider" means a health care professional who is licensed or registered 
221.21 	by the state to perform health care services within the provider's scope of practice and in 
221.22 	accordance with state law. A health care provider includes a mental health professional 
221.23 	under section 245I.04, subdivision 2; a mental health practitioner under section 245I.04, 
221.24 	subdivision 4; a clinical trainee under section 245I.04, subdivision 6; a treatment coordinator 
221.25 	under section 245G.11, subdivision 7; an alcohol and drug counselor under section 245G.11, 
221.26 	subdivision 5; and a recovery peer under section 245G.11, subdivision 8.
221.27 	(d) "Health carrier" has the meaning given in section 62A.011, subdivision 2.
221.28 	(e) "Health plan" has the meaning given in section 62A.011, subdivision 3. Health plan 
221.29 	includes dental plans as defined in section 62Q.76, subdivision 3, but does not include dental 
221.30 	plans that provide indemnity-based benefits, regardless of expenses incurred, and are designed 
221.31 	to pay benefits directly to the policy holder.
222.1 	(f) "Originating site" means a site at which a patient is located at the time health care 
222.2 	services are provided to the patient by means of telehealth. For purposes of store-and-forward 
222.3 	technology, the originating site also means the location at which a health care provider 
222.4 	transfers or transmits information to the distant site.
222.5 	(g) "Store-and-forward technology" means the asynchronous electronic transfer or 
222.6 	transmission of a patient's medical information or data from an originating site to a distant 
222.7 	site for the purposes of diagnostic and therapeutic assistance in the care of a patient.
222.8 	(h) "Telehealth" means the delivery of health care services or consultations through the 
222.9 	use of real time two-way interactive audio and visual communications to provide or support 
222.10 	health care delivery and facilitate the assessment, diagnosis, consultation, treatment, 
222.11 	education, and care management of a patient's health care. Telehealth includes the application 
222.12 	of secure video conferencing, store-and-forward technology, and synchronous interactions 
222.13 	between a patient located at an originating site and a health care provider located at a distant 
222.14 	site. Until July 1, 2025 2027, telehealth also includes audio-only communication between 
222.15 	a health care provider and a patient in accordance with subdivision 6, paragraph (b) if the 
222.16 	communication is a scheduled appointment and the standard of care for that particular 
222.17 	service can be met through the use of audio-only communication or if, for substance use 
222.18 	disorder treatment services and mental health care services delivered through telehealth by 
222.19 	means of audio-only communication, the communication was initiated by the enrollee while 
222.20 	in an emergency or crisis situation and a scheduled appointment was not possible due to 
222.21 	the need of an immediate response. Telehealth does not include communication between 
222.22 	health care providers that consists solely of a telephone conversation, email, or facsimile 
222.23 	transmission. Telehealth does not include communication between a health care provider 
222.24 	and a patient that consists solely of an email or facsimile transmission. Telehealth does not 
222.25 	include telemonitoring services as defined in paragraph (i).
222.26 	(i) "Telemonitoring services" means the remote monitoring of clinical data related to 
222.27 	the enrollee's vital signs or biometric data by a monitoring device or equipment that transmits 
222.28 	the data electronically to a health care provider for analysis. Telemonitoring is intended to 
222.29 	collect an enrollee's health-related data for the purpose of assisting a health care provider 
222.30 	in assessing and monitoring the enrollee's medical condition or status.

222.31 	EFFECTIVE DATE. This section is effective July 1, 2025.

222.32 	Sec. 2. Minnesota Statutes 2024, section 62M.17, subdivision 2, is amended to read:
222.33 		Subd. 2.Effect of change in prior authorization clinical criteria. (a) If, during a plan 
222.34 	year, or a calendar year for fee-for-service providers under chapters 256B and 256L, a 
223.1 	utilization review organization changes coverage terms for a health care service or the 
223.2 	clinical criteria used to conduct prior authorizations for a health care service, the change in 
223.3 	coverage terms or change in clinical criteria shall not apply until the next plan year, or the 
223.4 	next calendar year for fee-for-service providers under chapters 256B and 256L, for any 
223.5 	enrollee who received prior authorization for a health care service using the coverage terms 
223.6 	or clinical criteria in effect before the effective date of the change.
223.7 	(b) Paragraph (a) does not apply if a utilization review organization changes coverage 
223.8 	terms for a drug or device that has been deemed unsafe by the United States Food and Drug 
223.9 	Administration (FDA); that has been withdrawn by either the FDA or the product 
223.10 	manufacturer; or when an independent source of research, clinical guidelines, or 
223.11 	evidence-based standards has issued drug- or device-specific warnings or recommended 
223.12 	changes in drug or device usage.
223.13 	(c) Paragraph (a) does not apply if a utilization review organization changes coverage 
223.14 	terms for a service or the clinical criteria used to conduct prior authorizations for a service 
223.15 	when an independent source of research, clinical guidelines, or evidence-based standards 
223.16 	has recommended changes in usage of the service for reasons related to patient harm. This 
223.17 	paragraph expires December 31, 2025, for health benefit plans offered, sold, issued, or 
223.18 	renewed on or after that date.
223.19 	(d) Effective January 1, 2026, and applicable to health benefit plans offered, sold, issued, 
223.20 	or renewed on or after that date, paragraph (a) does not apply if a utilization review 
223.21 	organization changes coverage terms for a service or the clinical criteria used to conduct 
223.22 	prior authorizations for a service when an independent source of research, clinical guidelines, 
223.23 	or evidence-based standards has recommended changes in usage of the service for reasons 
223.24 	related to previously unknown and imminent patient harm.
223.25 	(e) Paragraph (a) does not apply if a utilization review organization removes a brand 
223.26 	name drug from its formulary or places a brand name drug in a benefit category that increases 
223.27 	the enrollee's cost, provided the utilization review organization (1) adds to its formulary a 
223.28 	generic or multisource brand name drug rated as therapeutically equivalent according to 
223.29 	the FDA Orange Book, or a biologic drug rated as interchangeable according to the FDA 
223.30 	Purple Book, at a lower cost to the enrollee, and (2) provides at least a 60-day notice to 
223.31 	prescribers, pharmacists, and affected enrollees.

223.32 	Sec. 3. Minnesota Statutes 2024, section 174.30, subdivision 3, is amended to read:
223.33 		Subd. 3.Other standards; wheelchair securement; protected transport. (a) A special 
223.34 	transportation service that transports individuals occupying wheelchairs is subject to the 
224.1 	provisions of sections 299A.11 to 299A.17 concerning wheelchair securement devices. The 
224.2 	commissioners of transportation and public safety shall cooperate in the enforcement of 
224.3 	this section and sections 299A.11 to 299A.17 so that a single inspection is sufficient to 
224.4 	ascertain compliance with sections 299A.11 to 299A.17 and with the standards adopted 
224.5 	under this section. Representatives of the Department of Transportation may inspect 
224.6 	wheelchair securement devices in vehicles operated by special transportation service 
224.7 	providers to determine compliance with sections 299A.11 to 299A.17 and to issue certificates 
224.8 	under section 299A.14, subdivision 4.
224.9 	(b) In place of a certificate issued under section 299A.14, the commissioner may issue 
224.10 	a decal under subdivision 4 for a vehicle equipped with a wheelchair securement device if 
224.11 	the device complies with sections 299A.11 to 299A.17 and the decal displays the information 
224.12 	in section 299A.14, subdivision 4.
224.13 	(c) For vehicles designated as protected transport under section 256B.0625, subdivision 
224.14 	17, paragraph (l) (n), the commissioner of transportation, during the commissioner's 
224.15 	inspection, shall check to ensure the safety provisions contained in that paragraph are in 
224.16 	working order.

224.17 	Sec. 4. Minnesota Statutes 2024, section 256.9657, is amended by adding a subdivision 
224.18 	to read:
224.19 		Subd. 2b.Hospital assessment. (a) For purposes of this subdivision, the following terms 
224.20 	have the meanings given:
224.21 	(1) "eligible hospital" means:
224.22 	(i) PrairieCare psychiatric hospital; or
224.23 	(ii) a hospital licensed under section 144.50, located in Minnesota, and with a Medicare 
224.24 	cost report filed and showing in the Healthcare Cost Report Information System (HCRIS), 
224.25 	except for the following:
224.26 	(A) federal Indian Health Service facilities;
224.27 	(B) state-owned or state-operated regional treatment centers and all state-operated 
224.28 	services;
224.29 	(C) federal Veterans Administration Medical Centers; and
224.30 	(D) long-term acute care hospitals;
224.31 	(2) "net outpatient revenue" means total outpatient revenue less Medicare revenue as 
224.32 	calculated from:
225.1 	(i) values on Worksheet G of the hospital's Medicare cost report; or
225.2 	(ii) for PrairieCare psychiatric hospital, data available to the commissioner; and
225.3 	(3) "total patient days" means total hospital inpatient days as reported on:
225.4 	(i) Worksheet S-3 of the hospital's Medicare cost report; or
225.5 	(ii) for PrairieCare psychiatric hospital, data available to the commissioner.
225.6 	(b) Subject to paragraphs (m) to (o), each eligible hospital must pay assessments to the 
225.7 	hospital directed payment program account in the special revenue fund, with an aggregate 
225.8 	annual assessment amount equal to the sum of the following:
225.9 	(1) $120.22 multiplied by total patient days; and
225.10 	(2) 5.96 percent of the hospital's net outpatient revenue.
225.11 	(c) The assessment amount for calendar years 2026 and 2027 must be based on the total 
225.12 	patient days and net outpatient revenue reflected on an eligible hospital's Medicare cost 
225.13 	report as follows:
225.14 	(1) an eligible hospital with a fiscal year ending on March 31 or June 30 must use data 
225.15 	from a cost report from the hospital's fiscal year 2022; and
225.16 	(2) an eligible hospital with a fiscal year ending on September 30 or December 31 must 
225.17 	use data from a cost report from the hospital's fiscal year 2021.
225.18 	(d) The annual assessment amount for calendar years after 2027 must be set for a two-year 
225.19 	period and must be based on the total patient days and net outpatient revenue reflected on 
225.20 	an eligible hospital's most recent Medicare cost report filed and showing in HCRIS as of 
225.21 	August 1 of the year prior to the subsequent two-year period.
225.22 	(e) The commissioner may, after consultation with the Minnesota Hospital Association, 
225.23 	modify the rates of assessment in paragraph (b) as necessary to comply with federal law, 
225.24 	obtain or maintain a waiver under Code of Federal Regulations, title 42, section 433.72, or 
225.25 	otherwise maximize under this section federal financial participation for medical assistance. 
225.26 	Notwithstanding the foregoing authorization to maximize federal financial participation for 
225.27 	medical assistance, the commissioner must reduce the rates of assessment in paragraph (b) 
225.28 	as necessary to ensure:
225.29 	(1) the state's aggregated health care-related taxes on inpatient hospital services do not 
225.30 	exceed 5.75 percent of the net patient revenue attributable to those services; and
226.1 	(2) the state's aggregated health care-related taxes on outpatient hospital services do not 
226.2 	exceed 5.75 percent of the net patient revenue attributable to those services.
226.3 	(f) Eligible hospitals must pay the annual assessment amount under paragraph (b) to the 
226.4 	commissioner by paying four equal, quarterly assessments. Eligible hospitals must pay the 
226.5 	quarterly assessments by January 1, April 1, July 1, and October 1 each year. Assessments 
226.6 	must be paid in the form and manner specified by the commissioner. An eligible hospital 
226.7 	is prohibited from paying a quarterly assessment until the eligible hospital has received the 
226.8 	applicable invoice under paragraph (g).
226.9 	(g) The commissioner must provide eligible hospitals with an invoice by December 1 
226.10 	for the assessment due January 1, March 1 for the assessment due April 1, June 1 for the 
226.11 	assessment due July 1, and September 1 for the assessment due October 1 each year.
226.12 	(h) The commissioner must notify each eligible hospital of the hospital's estimated annual 
226.13 	assessment amount for the subsequent calendar year by October 15 each year.
226.14 	(i) If any of the dates for assessments or invoices in paragraphs (f) to (h) fall on a holiday, 
226.15 	the applicable date is the next business day.
226.16 	(j) A hospital that has merged with another hospital must have the surviving hospital's 
226.17 	assessment revised at the start of the hospital's first full fiscal year after the merger is 
226.18 	complete. A closed hospital is retroactively responsible for assessments owed for services 
226.19 	provided through the final date of operations.
226.20 	(k) If the commissioner determines that a hospital has underpaid or overpaid an 
226.21 	assessment, the commissioner must notify the hospital of the unpaid assessment or of any 
226.22 	refund due. The commissioner must refund a hospital's overpayment from the hospital 
226.23 	directed payment program account created in section 256B.1975, subdivision 1.
226.24 	(l) Revenue from an assessment under this subdivision must only be used by the 
226.25 	commissioner to pay the nonfederal share of the directed payment program under section 
226.26 	256B.1974.
226.27 	(m) The commissioner is prohibited from collecting any assessment under this subdivision 
226.28 	during any period of time when:
226.29 	(1) federal financial participation is unavailable or disallowed, or if the approved 
226.30 	aggregate federal financial participation for the directed payment under section 256B.1974 
226.31 	is less than 51 percent; or
226.32 	(2) a directed payment under section 256B.1974 is not approved by the Centers for 
226.33 	Medicare and Medicaid Services.
227.1 	(n) The commissioner must make the following discounts from the inpatient portion of 
227.2 	the assessment under paragraph (b), clause (1), in the stated amount or as necessary to 
227.3 	achieve federal approval of the assessment in this section:
227.4 	(1) Hennepin Healthcare, with a discount of 25 percent;
227.5 	(2) Mayo Rochester, with a discount of ten percent;
227.6 	(3) Gillette Children's Hospital, with a discount of 90 percent;
227.7 	(4) each hospital not included in another discount category, and with greater than 
227.8 	$200,000,000 in total medical assistance inpatient and outpatient revenue in fee-for-service 
227.9 	and managed care, as reported in state fiscal year 2022 medical assistance fee-for-service 
227.10 	and managed care claims data, with a discount of five percent; and
227.11 	(5) any hospital responsible for greater than 12 percent of the total assessment annually 
227.12 	collected statewide, with a discount in the amount necessary such that the hospital is 
227.13 	responsible for 12 percent of the total assessment annually collected statewide.
227.14 	(o) The commissioner must make the following discounts from the outpatient portion 
227.15 	of the assessment under paragraph (b), clause (2), in the stated amount or as necessary to 
227.16 	achieve federal approval of the assessment in this section:
227.17 	(1) each critical access hospital or independent hospital located outside a city of the first 
227.18 	class and paid under the Medicare prospective payment system, with a discount of 40 percent;
227.19 	(2) Gillette Children's Hospital, with a discount of 90 percent;
227.20 	(3) Hennepin Healthcare, with a discount of 60 percent;
227.21 	(4) Mayo Rochester, with a discount of 20 percent; and
227.22 	(5) each hospital not included in another discount category, and with greater than 
227.23 	$200,000,000 in total medical assistance inpatient and outpatient revenue in fee-for-service 
227.24 	and managed care, as reported in state fiscal year 2022 medical assistance fee-for-service 
227.25 	and managed care claims data, with a discount of ten percent.
227.26 	(p) If the federal share of the hospital directed payment program under section 256B.1974 
227.27 	is increased as the result of an increase to the federal medical assistance percentage, the 
227.28 	commissioner must reduce the assessment on a uniform percentage basis across eligible 
227.29 	hospitals on which the assessment is imposed, such that the aggregate amount collected 
227.30 	from hospitals under this subdivision does not exceed the total amount needed to maintain 
227.31 	the same aggregate state and federal funding level for the directed payments authorized by 
227.32 	section 256B.1974.
228.1 	(q) Eligible hospitals must submit to the commissioner on an annual basis, in the form 
228.2 	and manner specified by the commissioner in consultation with the Minnesota Hospital 
228.3 	Association, all documentation necessary to determine the assessment amounts under this 
228.4 	subdivision.

228.5 	EFFECTIVE DATE. (a) This section is effective the later of January 1, 2026, or federal 
228.6 	approval of all of the following:
228.7 	(1) the waiver for the assessment required under this section; and
228.8 	(2) the hospital directed payment program under Minnesota Statutes, section 256B.1974, 
228.9 	and any conforming changes made to the directed payment program under Minnesota 
228.10 	Statutes, section 256B.1973.
228.11 	(b) The commissioner of human services shall notify the revisor of statutes when federal 
228.12 	approval is obtained.

228.13 	Sec. 5. Minnesota Statutes 2024, section 256.969, subdivision 2f, is amended to read:
228.14 		Subd. 2f.Alternate inpatient payment rate. (a) Effective January 1, 2022, for a hospital 
228.15 	eligible to receive disproportionate share hospital payments under subdivision 9, paragraph 
228.16 	(d), clause (6), the commissioner shall reduce the amount calculated under subdivision 9, 
228.17 	paragraph (d), clause (6), by 99 percent and compute an alternate inpatient payment rate. 
228.18 	The alternate payment rate shall be structured to target a total aggregate reimbursement 
228.19 	amount equal to what the hospital would have received for providing fee-for-service inpatient 
228.20 	services under this section to patients enrolled in medical assistance had the hospital received 
228.21 	the entire amount calculated under subdivision 9, paragraph (d), clause (6). This paragraph 
228.22 	expires when paragraph (b) becomes effective.
228.23 	(b) For hospitals eligible to receive payment under section 256B.1973 or 256B.1974 
228.24 	and meeting the criteria in subdivision 9, paragraph (d), the commissioner must reduce the 
228.25 	amount calculated under subdivision 9, paragraph (d), by one percent and compute an 
228.26 	alternate inpatient payment rate. The alternate payment rate must be structured to target a 
228.27 	total aggregate reimbursement amount equal to the amount that the hospital would have 
228.28 	received for providing fee-for-service inpatient services under this section to patients enrolled 
228.29 	in medical assistance had the hospital received 99 percent of the entire amount calculated 
228.30 	under subdivision 9, paragraph (d). Hospitals that do not meet federal requirements for 
228.31 	Medicaid disproportionate share hospitals are not eligible for the alternate payment rate.

228.32 	EFFECTIVE DATE. (a) Paragraph (b) of this section is effective the later of January 
228.33 	1, 2026, or federal approval of all of the following:
229.1 	(1) the waiver for the assessment required under Minnesota Statutes, section 256.9657, 
229.2 	subdivision 2b; and
229.3 	(2) the hospital directed payment program under Minnesota Statutes, section 256B.1974, 
229.4 	and any conforming changes made to the directed payment program under Minnesota 
229.5 	Statutes, section 256B.1973.
229.6 	(b) The commissioner of human services shall notify the revisor of statutes when federal 
229.7 	approval is obtained.

229.8 	Sec. 6. Minnesota Statutes 2024, section 256B.0371, subdivision 3, is amended to read:
229.9 		Subd. 3.Contingent contract with dental administrator. (a) The commissioner shall 
229.10 	determine the extent to which managed care and county-based purchasing plans in the 
229.11 	aggregate meet the performance benchmark specified in subdivision 1 for coverage year 
229.12 	2024. If managed care and county-based purchasing plans in the aggregate fail to meet the 
229.13 	performance benchmark, the commissioner, after issuing a request for information followed 
229.14 	by a request for proposals, shall contract with a dental administrator to administer dental 
229.15 	services beginning January 1, 2026 2028, for all recipients of medical assistance and 
229.16 	MinnesotaCare, including persons who are served under fee-for-service and persons receiving 
229.17 	services through managed care and county-based purchasing plans.
229.18 	(b) The dental administrator must provide administrative services, including but not 
229.19 	limited to:
229.20 	(1) provider recruitment, contracting, and assistance;
229.21 	(2) recipient outreach and assistance;
229.22 	(3) utilization management and reviews of medical necessity for dental services;
229.23 	(4) dental claims processing;
229.24 	(5) coordination of dental care with other services;
229.25 	(6) management of fraud and abuse;
229.26 	(7) monitoring access to dental services statewide;
229.27 	(8) performance measurement;
229.28 	(9) quality improvement and evaluation; and
229.29 	(10) management of third-party liability requirements.; and
230.1 	(11) establishment of grievance and appeals processes for providers and enrollees that 
230.2 	the commissioner can monitor.
230.3 	(c) Dental administrator payments to contracted dental providers must be at the based 
230.4 	on rates established under sections 256B.76 and 256L.11 recommended by the dental access 
230.5 	working group. If the recommended rates are not established in law prior to July 1, 2027, 
230.6 	dental administrator payments to contracted dental providers must be at the rates established 
230.7 	under sections 256B.76 and 256L.11.
230.8 	(d) Recipients must be given a choice of dental provider, including any provider who 
230.9 	agrees to provider participation requirements and payment rates established by the 
230.10 	commissioner and dental administrator. The dental administrator must comply with the 
230.11 	network adequacy and geographic access requirements that apply to managed care and 
230.12 	county-based purchasing plans for dental services under section 62K.14.
230.13 	(e) The contract with the dental administrator must include a provision that states that 
230.14 	if the dental administrator fails to meet, by calendar year 2029, a performance benchmark 
230.15 	under which at least 55 percent of children and adults who were continuously enrolled for 
230.16 	at least 11 months in either medical assistance or MinnesotaCare received at least one dental 
230.17 	visit during the calendar year, the contract must be terminated and the commissioner must 
230.18 	enter into a contract with a new dental administrator as soon as practicable performance 
230.19 	benchmarks, accountability measures, and progress rewards based on the recommendations 
230.20 	from the dental access working group.
230.21 	(f) The commissioner shall implement this subdivision in consultation with representatives 
230.22 	of providers who provide dental services to patients enrolled in medical assistance or 
230.23 	MinnesotaCare, including but not limited to providers serving primarily low-income and 
230.24 	socioeconomically complex populations, and with representatives of managed care plans 
230.25 	and county-based purchasing plans.
230.26 	(f) Notwithstanding the contract term limits under section 16C.06, subdivision 3b, the 
230.27 	commissioner may extend the implementation contract for the single dental administrator 
230.28 	under paragraph (a) up to three years from the date of execution and may contract with the 
230.29 	same contractor as the single dental administrator for up to five years, beginning in 2028.

230.30 	Sec. 7. Minnesota Statutes 2024, section 256B.04, subdivision 12, is amended to read:
230.31 		Subd. 12.Limitation on services. (a) The commissioner shall place limits on the types 
230.32 	of services covered by medical assistance, the frequency with which the same or similar 
230.33 	services may be covered by medical assistance for an individual recipient, and the amount 
231.1 	paid for each covered service. The state agency shall promulgate rules establishing maximum 
231.2 	reimbursement rates for emergency and nonemergency transportation.
231.3 	The rules shall provide:
231.4 	(1) an opportunity for all recognized transportation providers to be reimbursed for 
231.5 	nonemergency transportation consistent with the maximum rates established by the agency; 
231.6 	and
231.7 	(2) reimbursement of public and private nonprofit providers serving the population with 
231.8 	a disability generally at reasonable maximum rates that reflect the cost of providing the 
231.9 	service regardless of the fare that might be charged by the provider for similar services to 
231.10 	individuals other than those receiving medical assistance or medical care under this chapter.
231.11 	This paragraph expires July 1, 2026, for medical assistance fee-for-service and January 1, 
231.12 	2027, for prepaid medical assistance.
231.13 	(b) The commissioner shall encourage providers reimbursed under this chapter to 
231.14 	coordinate their operation with similar services that are operating in the same community. 
231.15 	To the extent practicable, the commissioner shall encourage eligible individuals to utilize 
231.16 	less expensive providers capable of serving their needs. This paragraph expires July 1, 2026, 
231.17 	for medical assistance fee-for-service and January 1, 2027, for prepaid medical assistance.
231.18 	(c) For the purpose of this subdivision and section 256B.02, subdivision 8, and effective 
231.19 	on January 1, 1981, "recognized provider of transportation services" means an operator of 
231.20 	special transportation service as defined in section 174.29 that has been issued a current 
231.21 	certificate of compliance with operating standards of the commissioner of transportation 
231.22 	or, if those standards do not apply to the operator, that the agency finds is able to provide 
231.23 	the required transportation in a safe and reliable manner. Until January 1, 1981, "recognized 
231.24 	transportation provider" includes an operator of special transportation service that the agency 
231.25 	finds is able to provide the required transportation in a safe and reliable manner. This 
231.26 	paragraph expires July 1, 2026, for medical assistance fee-for-service and January 1, 2027, 
231.27 	for prepaid medical assistance.
231.28 	(d) Effective July 1, 2026, for medical assistance fee-for-service and January 1, 2027, 
231.29 	for prepaid medical assistance, the commissioner shall place limits on the types of services 
231.30 	covered by medical assistance, the frequency with which the same or similar services may 
231.31 	be covered by medical assistance for an individual recipient, and the amount paid for each 
231.32 	covered service.

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

232.1 	Sec. 8. Minnesota Statutes 2024, section 256B.04, subdivision 14, is amended to read:
232.2 		Subd. 14.Competitive bidding. (a) When determined to be effective, economical, and 
232.3 	feasible, the commissioner may utilize volume purchase through competitive bidding and 
232.4 	negotiation under the provisions of chapter 16C, to provide items under the medical assistance 
232.5 	program including but not limited to the following:
232.6 	(1) eyeglasses;
232.7 	(2) oxygen. The commissioner shall provide for oxygen needed in an emergency situation 
232.8 	on a short-term basis, until the vendor can obtain the necessary supply from the contract 
232.9 	dealer;
232.10 	(3) hearing aids and supplies;
232.11 	(4) durable medical equipment, including but not limited to:
232.12 	(i) hospital beds;
232.13 	(ii) commodes;
232.14 	(iii) glide-about chairs;
232.15 	(iv) patient lift apparatus;
232.16 	(v) wheelchairs and accessories;
232.17 	(vi) oxygen administration equipment;
232.18 	(vii) respiratory therapy equipment;
232.19 	(viii) electronic diagnostic, therapeutic and life-support systems; and
232.20 	(ix) allergen-reducing products as described in section 256B.0625, subdivision 67, 
232.21 	paragraph (c) or (d);
232.22 	(5) nonemergency medical transportation level of need determinations, disbursement of 
232.23 	public transportation passes and tokens, and volunteer and recipient mileage and parking 
232.24 	reimbursements;
232.25 	(6) drugs; and
232.26 	(7) quitline services as described in section 256B.0625, subdivision 68, paragraph (c).
232.27 	This paragraph expires July 1, 2026, for medical assistance fee-for-service and January 1, 
232.28 	2027, for prepaid medical assistance.
232.29 	(b) Effective July 1, 2026, for medical assistance fee-for-service and January 1, 2027, 
232.30 	for prepaid medical assistance, when determined to be effective, economical, and feasible, 
233.1 	the commissioner may utilize volume purchase through competitive bidding and negotiation 
233.2 	under the provisions of chapter 16C to provide items under the medical assistance program, 
233.3 	including but not limited to the following:
233.4 	(1) eyeglasses;
233.5 	(2) oxygen. The commissioner shall provide for oxygen needed in an emergency situation 
233.6 	on a short-term basis, until the vendor can obtain the necessary supply from the contract 
233.7 	dealer;
233.8 	(3) hearing aids and supplies;
233.9 	(4) durable medical equipment, including but not limited to:
233.10 	(i) hospital beds;
233.11 	(ii) commodes;
233.12 	(iii) glide-about chairs;
233.13 	(iv) patient lift apparatus;
233.14 	(v) wheelchairs and accessories;
233.15 	(vi) oxygen administration equipment;
233.16 	(vii) respiratory therapy equipment; and
233.17 	(viii) electronic diagnostic, therapeutic, and life-support systems;
233.18 	(5) nonemergency medical transportation; and
233.19 	(6) drugs.
233.20 	(b) (c) Rate changes and recipient cost-sharing under this chapter and chapter 256L do 
233.21 	not affect contract payments under this subdivision unless specifically identified.
233.22 	(c) (d) The commissioner may not utilize volume purchase through competitive bidding 
233.23 	and negotiation under the provisions of chapter 16C for special transportation services or 
233.24 	incontinence products and related supplies. This paragraph expires July 1, 2026, for medical 
233.25 	assistance fee-for-service and January 1, 2027, for prepaid medical assistance.
233.26 	(e) Effective July 1, 2026, for medical assistance fee-for-service and January 1, 2027, 
233.27 	for prepaid medical assistance, the commissioner must not utilize volume purchase through 
233.28 	competitive bidding and negotiation under the provisions of chapter 16C for incontinence 
233.29 	products and related supplies.

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

234.1 	Sec. 9. Minnesota Statutes 2024, section 256B.0625, subdivision 3b, is amended to read:
234.2 		Subd. 3b.Telehealth services. (a) Medical assistance covers medically necessary services 
234.3 	and consultations delivered by a health care provider through telehealth in the same manner 
234.4 	as if the service or consultation was delivered through in-person contact. Services or 
234.5 	consultations delivered through telehealth shall be paid at the full allowable rate.
234.6 	(b) The commissioner may establish criteria that a health care provider must attest to in 
234.7 	order to demonstrate the safety or efficacy of delivering a particular service through 
234.8 	telehealth. The attestation may include that the health care provider:
234.9 	(1) has identified the categories or types of services the health care provider will provide 
234.10 	through telehealth;
234.11 	(2) has written policies and procedures specific to services delivered through telehealth 
234.12 	that are regularly reviewed and updated;
234.13 	(3) has policies and procedures that adequately address patient safety before, during, 
234.14 	and after the service is delivered through telehealth;
234.15 	(4) has established protocols addressing how and when to discontinue telehealth services; 
234.16 	and
234.17 	(5) has an established quality assurance process related to delivering services through 
234.18 	telehealth.
234.19 	(c) As a condition of payment, a licensed health care provider must document each 
234.20 	occurrence of a health service delivered through telehealth to a medical assistance enrollee. 
234.21 	Health care service records for services delivered through telehealth must meet the 
234.22 	requirements set forth in Minnesota Rules, part 9505.2175, subparts 1 and 2, and must 
234.23 	document:
234.24 	(1) the type of service delivered through telehealth;
234.25 	(2) the time the service began and the time the service ended, including an a.m. and p.m. 
234.26 	designation;
234.27 	(3) the health care provider's basis for determining that telehealth is an appropriate and 
234.28 	effective means for delivering the service to the enrollee;
234.29 	(4) the mode of transmission used to deliver the service through telehealth and records 
234.30 	evidencing that a particular mode of transmission was utilized;
234.31 	(5) the location of the originating site and the distant site;
235.1 	(6) if the claim for payment is based on a physician's consultation with another physician 
235.2 	through telehealth, the written opinion from the consulting physician providing the telehealth 
235.3 	consultation; and
235.4 	(7) compliance with the criteria attested to by the health care provider in accordance 
235.5 	with paragraph (b).
235.6 	(d) Telehealth visits provided through audio and visual communication or accessible 
235.7 	video-based platforms may be used to satisfy the face-to-face requirement for reimbursement 
235.8 	under the payment methods that apply to a federally qualified health center, rural health 
235.9 	clinic, Indian health service, 638 tribal clinic, and certified community behavioral health 
235.10 	clinic, if the service would have otherwise qualified for payment if performed in person.
235.11 	(e) For purposes of this subdivision, unless otherwise covered under this chapter:
235.12 	(1) "telehealth" means the delivery of health care services or consultations using real-time 
235.13 	two-way interactive audio and visual communication or accessible telehealth video-based 
235.14 	platforms to provide or support health care delivery and facilitate the assessment, diagnosis, 
235.15 	consultation, treatment, education, and care management of a patient's health care. Telehealth 
235.16 	includes: the application of secure video conferencing consisting of a real-time, full-motion 
235.17 	synchronized video; store-and-forward technology; and synchronous interactions, between 
235.18 	a patient located at an originating site and a health care provider located at a distant site. 
235.19 	Telehealth does not include communication between health care providers, or between a 
235.20 	health care provider and a patient that consists solely of an audio-only communication, 
235.21 	email, or facsimile transmission or as specified by law, except that from July 1, 2025, to 
235.22 	July 1, 2027, telehealth includes communication between a health care provider and a patient 
235.23 	that solely consists of audio-only communication;
235.24 	(2) "health care provider" means a health care provider as defined under section 62A.673; 
235.25 	a community paramedic as defined under section 144E.001, subdivision 5f; a community 
235.26 	health worker who meets the criteria under subdivision 49, paragraph (a); a mental health 
235.27 	certified peer specialist under section 245I.04, subdivision 10; a mental health certified 
235.28 	family peer specialist under section 245I.04, subdivision 12; a mental health rehabilitation 
235.29 	worker under section 245I.04, subdivision 14; a mental health behavioral aide under section 
235.30 	245I.04, subdivision 16; a treatment coordinator under section 245G.11, subdivision 7; an 
235.31 	alcohol and drug counselor under section 245G.11, subdivision 5; or a recovery peer under 
235.32 	section 245G.11, subdivision 8; and
235.33 	(3) "originating site," "distant site," and "store-and-forward technology" have the 
235.34 	meanings given in section 62A.673, subdivision 2.

236.1 	EFFECTIVE DATE. This section is effective July 1, 2025, or upon federal approval, 
236.2 	whichever is later. The commissioner of human services shall notify the revisor of statutes 
236.3 	when federal approval is obtained.

236.4 	Sec. 10. Minnesota Statutes 2024, section 256B.0625, subdivision 8, is amended to read:
236.5 		Subd. 8.Physical therapy. (a) Medical assistance covers physical therapy and related 
236.6 	services. Specialized maintenance therapy is covered for recipients age 20 and under.
236.7 	(b) Services provided by a physical therapy assistant shall be reimbursed at the same 
236.8 	rate as services performed by a physical therapist when the services of the physical therapy 
236.9 	assistant are provided under the direction of a physical therapist who is on the premises. 
236.10 	Services provided by a physical therapy assistant that are provided under the direction of a 
236.11 	physical therapist who is not on the premises shall be reimbursed at 65 percent of the physical 
236.12 	therapist rate.
236.13 	(c) Payment for physical therapy and related services is limited to 14 visits per year 
236.14 	unless prior authorization of a greater number of visits is obtained.

236.15 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval, 
236.16 	whichever is later. The commissioner must notify the revisor of statutes when federal 
236.17 	approval is obtained.

236.18 	Sec. 11. Minnesota Statutes 2024, section 256B.0625, subdivision 8a, is amended to read:
236.19 		Subd. 8a.Occupational therapy. (a) Medical assistance covers occupational therapy 
236.20 	and related services. Specialized maintenance therapy is covered for recipients age 20 and 
236.21 	under.
236.22 	(b) Services provided by an occupational therapy assistant shall be reimbursed at the 
236.23 	same rate as services performed by an occupational therapist when the services of the 
236.24 	occupational therapy assistant are provided under the direction of the occupational therapist 
236.25 	who is on the premises. Services provided by an occupational therapy assistant that are 
236.26 	provided under the direction of an occupational therapist who is not on the premises shall 
236.27 	be reimbursed at 65 percent of the occupational therapist rate.
236.28 	(c) Payment for occupational therapy and related services is limited to 24 visits per year 
236.29 	unless prior authorization of a greater number of visits is obtained.

236.30 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval, 
236.31 	whichever is later. The commissioner must notify the revisor of statutes when federal 
236.32 	approval is obtained.

237.1 	Sec. 12. Minnesota Statutes 2024, section 256B.0625, subdivision 8e, is amended to read:
237.2 		Subd. 8e.Chiropractic services. Payment for chiropractic services is limited to
237.3 	individuals under the age of 21. Coverage for individuals under the age of 21 is limited to
237.4 	one annual evaluation and 24 visits per year unless prior authorization of a greater number 
237.5 	of visits is obtained.

237.6 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval, 
237.7 	whichever is later. The commissioner of human services shall notify the revisor of statutes 
237.8 	when federal approval is obtained.

237.9 	Sec. 13. Minnesota Statutes 2024, section 256B.0625, subdivision 17, is amended to read:
237.10 		Subd. 17.Transportation costs. (a) "Nonemergency medical transportation service" 
237.11 	means motor vehicle transportation provided by a public or private person that serves 
237.12 	Minnesota health care program beneficiaries who do not require emergency ambulance 
237.13 	service, as defined in section 144E.001, subdivision 3, to obtain covered medical services.
237.14 	(b) For purposes of this subdivision, "rural urban commuting area" or "RUCA" means 
237.15 	a census-tract based classification system under which a geographical area is determined 
237.16 	to be urban, rural, or super rural. This paragraph expires July 1, 2026, for medical assistance 
237.17 	fee-for-service and January 1, 2027, for prepaid medical assistance.
237.18 	(c) Medical assistance covers medical transportation costs incurred solely for obtaining 
237.19 	emergency medical care or transportation costs incurred by eligible persons in obtaining 
237.20 	emergency or nonemergency medical care when paid directly to an ambulance company, 
237.21 	nonemergency medical transportation company, or other recognized providers of 
237.22 	transportation services. Medical transportation must be provided by:
237.23 	(1) nonemergency medical transportation providers who meet the requirements of this 
237.24 	subdivision;
237.25 	(2) ambulances, as defined in section 144E.001, subdivision 2;
237.26 	(3) taxicabs that meet the requirements of this subdivision;
237.27 	(4) public transportation, within the meaning of "public transportation" as defined in 
237.28 	section 174.22, subdivision 7; or
237.29 	(5) not-for-hire vehicles, including volunteer drivers, as defined in section 65B.472, 
237.30 	subdivision 1, paragraph (p).
237.31 	(d) Medical assistance covers nonemergency medical transportation provided by 
237.32 	nonemergency medical transportation providers enrolled in the Minnesota health care 
238.1 	programs. All nonemergency medical transportation providers must comply with the 
238.2 	operating standards for special transportation service as defined in sections 174.29 to 174.30 
238.3 	and Minnesota Rules, chapter 8840, and all drivers must be individually enrolled with the 
238.4 	commissioner and reported on the claim as the individual who provided the service. All 
238.5 	nonemergency medical transportation providers shall bill for nonemergency medical 
238.6 	transportation services in accordance with Minnesota health care programs criteria. Publicly 
238.7 	operated transit systems, volunteers, and not-for-hire vehicles are exempt from the 
238.8 	requirements outlined in this paragraph.
238.9 	(e) An organization may be terminated, denied, or suspended from enrollment if:
238.10 	(1) the provider has not initiated background studies on the individuals specified in 
238.11 	section 174.30, subdivision 10, paragraph (a), clauses (1) to (3); or
238.12 	(2) the provider has initiated background studies on the individuals specified in section 
238.13 	174.30, subdivision 10, paragraph (a), clauses (1) to (3), and:
238.14 	(i) the commissioner has sent the provider a notice that the individual has been 
238.15 	disqualified under section 245C.14; and
238.16 	(ii) the individual has not received a disqualification set-aside specific to the special 
238.17 	transportation services provider under sections 245C.22 and 245C.23.
238.18 	(f) The administrative agency of nonemergency medical transportation must:
238.19 	(1) adhere to the policies defined by the commissioner;
238.20 	(2) pay nonemergency medical transportation providers for services provided to 
238.21 	Minnesota health care programs beneficiaries to obtain covered medical services;
238.22 	(3) provide data monthly to the commissioner on appeals, complaints, no-shows, canceled 
238.23 	trips, and number of trips by mode; and
238.24 	(4) by July 1, 2016, in accordance with subdivision 18e, utilize a web-based single 
238.25 	administrative structure assessment tool that meets the technical requirements established 
238.26 	by the commissioner, reconciles trip information with claims being submitted by providers, 
238.27 	and ensures prompt payment for nonemergency medical transportation services. This 
238.28 	paragraph expires July 1, 2026, for medical assistance fee-for-service and January 1, 2027, 
238.29 	for prepaid medical assistance.
238.30 	(g) Effective July 1, 2026, for medical fee-for-service and January 1, 2027, for prepaid 
238.31 	medical assistance, the administrative agency of nonemergency medical transportation must:
238.32 	(1) adhere to the policies defined by the commissioner;
239.1 	(2) pay nonemergency medical transportation providers for services provided to 
239.2 	Minnesota health care program beneficiaries to obtain covered medical services; and
239.3 	(3) provide data monthly to the commissioner on appeals, complaints, no-shows, canceled 
239.4 	trips, and number of trips by mode.
239.5 	(g) (h) Until the commissioner implements the single administrative structure and delivery 
239.6 	system under subdivision 18e, clients shall obtain their level-of-service certificate from the 
239.7 	commissioner or an entity approved by the commissioner that does not dispatch rides for 
239.8 	clients using modes of transportation under paragraph (l) (n), clauses (4), (5), (6), and (7).
239.9 	This paragraph expires July 1, 2026, for medical assistance fee-for-service and January 1, 
239.10 	2027, for prepaid medical assistance.
239.11 	(h) (i) The commissioner may use an order by the recipient's attending physician, 
239.12 	advanced practice registered nurse, physician assistant, or a medical or mental health 
239.13 	professional to certify that the recipient requires nonemergency medical transportation 
239.14 	services. Nonemergency medical transportation providers shall perform driver-assisted 
239.15 	services for eligible individuals, when appropriate. Driver-assisted service includes passenger 
239.16 	pickup at and return to the individual's residence or place of business, assistance with 
239.17 	admittance of the individual to the medical facility, and assistance in passenger securement 
239.18 	or in securing of wheelchairs, child seats, or stretchers in the vehicle.
239.19 	(i) (j) Nonemergency medical transportation providers must take clients to the health 
239.20 	care provider using the most direct route, and must not exceed 30 miles for a trip to a primary 
239.21 	care provider or 60 miles for a trip to a specialty care provider, unless the client receives 
239.22 	authorization from the local agency. This paragraph expires July 1, 2026, for medical 
239.23 	assistance fee-for-service and January 1, 2027, for prepaid medical assistance.
239.24 	(k) Effective July 1, 2026, for medical assistance fee-for-service and January 1, 2027, 
239.25 	for prepaid medical assistance, nonemergency medical transportation providers must take 
239.26 	clients to the health care provider using the most direct route and must not exceed 30 miles 
239.27 	for a trip to a primary care provider or 60 miles for a trip to a specialty care provider, unless 
239.28 	the client receives authorization from the administrator.
239.29 	(j) (l) Nonemergency medical transportation providers may not bill for separate base 
239.30 	rates for the continuation of a trip beyond the original destination. Nonemergency medical 
239.31 	transportation providers must maintain trip logs, which include pickup and drop-off times, 
239.32 	signed by the medical provider or client, whichever is deemed most appropriate, attesting 
239.33 	to mileage traveled to obtain covered medical services. Clients requesting client mileage 
240.1 	reimbursement must sign the trip log attesting mileage traveled to obtain covered medical 
240.2 	services.
240.3 	(k) (m) The administrative agency shall use the level of service process established by 
240.4 	the commissioner to determine the client's most appropriate mode of transportation. If public 
240.5 	transit or a certified transportation provider is not available to provide the appropriate service 
240.6 	mode for the client, the client may receive a onetime service upgrade.
240.7 	(l) (n) The covered modes of transportation are:
240.8 	(1) client reimbursement, which includes client mileage reimbursement provided to 
240.9 	clients who have their own transportation, or to family or an acquaintance who provides 
240.10 	transportation to the client;
240.11 	(2) volunteer transport, which includes transportation by volunteers using their own 
240.12 	vehicle;
240.13 	(3) unassisted transport, which includes transportation provided to a client by a taxicab 
240.14 	or public transit. If a taxicab or public transit is not available, the client can receive 
240.15 	transportation from another nonemergency medical transportation provider;
240.16 	(4) assisted transport, which includes transport provided to clients who require assistance 
240.17 	by a nonemergency medical transportation provider;
240.18 	(5) lift-equipped/ramp transport, which includes transport provided to a client who is 
240.19 	dependent on a device and requires a nonemergency medical transportation provider with 
240.20 	a vehicle containing a lift or ramp;
240.21 	(6) protected transport, which includes transport provided to a client who has received 
240.22 	a prescreening that has deemed other forms of transportation inappropriate and who requires 
240.23 	a provider: (i) with a protected vehicle that is not an ambulance or police car and has safety 
240.24 	locks, a video recorder, and a transparent thermoplastic partition between the passenger and 
240.25 	the vehicle driver; and (ii) who is certified as a protected transport provider; and
240.26 	(7) stretcher transport, which includes transport for a client in a prone or supine position 
240.27 	and requires a nonemergency medical transportation provider with a vehicle that can transport 
240.28 	a client in a prone or supine position.
240.29 	(m) (o) The local agency shall be the single administrative agency and shall administer 
240.30 	and reimburse for modes defined in paragraph (l) (n) according to paragraphs (p) and (q)
240.31 	(r) to (t) when the commissioner has developed, made available, and funded the web-based 
240.32 	single administrative structure, assessment tool, and level of need assessment under 
240.33 	subdivision 18e. The local agency's financial obligation is limited to funds provided by the 
241.1 	state or federal government. This paragraph expires July 1, 2026, for medical assistance 
241.2 	fee-for-service and January 1, 2027, for prepaid medical assistance.
241.3 	(n) (p) The commissioner shall:
241.4 	(1) verify that the mode and use of nonemergency medical transportation is appropriate;
241.5 	(2) verify that the client is going to an approved medical appointment; and
241.6 	(3) investigate all complaints and appeals.
241.7 	(o) (q) The administrative agency shall pay for the services provided in this subdivision 
241.8 	and seek reimbursement from the commissioner, if appropriate. As vendors of medical care, 
241.9 	local agencies are subject to the provisions in section 256B.041, the sanctions and monetary 
241.10 	recovery actions in section 256B.064, and Minnesota Rules, parts 9505.2160 to 9505.2245.
241.11 	This paragraph expires July 1, 2026, for medical assistance fee-for-service and January 1, 
241.12 	2027, for prepaid medical assistance.
241.13 	(p) (r) Payments for nonemergency medical transportation must be paid based on the 
241.14 	client's assessed mode under paragraph (k) (m), not the type of vehicle used to provide the 
241.15 	service. The medical assistance reimbursement rates for nonemergency medical transportation 
241.16 	services that are payable by or on behalf of the commissioner for nonemergency medical 
241.17 	transportation services are:
241.18 	(1) $0.22 per mile for client reimbursement;
241.19 	(2) up to 100 percent of the Internal Revenue Service business deduction rate for volunteer 
241.20 	transport;
241.21 	(3) equivalent to the standard fare for unassisted transport when provided by public 
241.22 	transit, and $12.10 for the base rate and $1.43 per mile when provided by a nonemergency 
241.23 	medical transportation provider;
241.24 	(4) $14.30 for the base rate and $1.43 per mile for assisted transport;
241.25 	(5) $19.80 for the base rate and $1.70 per mile for lift-equipped/ramp transport;
241.26 	(6) $75 for the base rate and $2.40 per mile for protected transport; and
241.27 	(7) $60 for the base rate and $2.40 per mile for stretcher transport, and $9 per trip for 
241.28 	an additional attendant if deemed medically necessary. This paragraph expires July 1, 2026, 
241.29 	for medical assistance fee-for-service and January 1, 2027, for prepaid medical assistance.
241.30 	(s) Effective July 1, 2026, for medical assistance fee-for-service and January 1, 2027, 
241.31 	for prepaid medical assistance, payments for nonemergency medical transportation must 
242.1 	be paid based on the client's assessed mode under paragraph (m), not the type of vehicle 
242.2 	used to provide the service.
242.3 	(q) (t) The base rate for nonemergency medical transportation services in areas defined 
242.4 	under RUCA to be super rural is equal to 111.3 percent of the respective base rate in 
242.5 	paragraph (p) (r), clauses (1) to (7). The mileage rate for nonemergency medical 
242.6 	transportation services in areas defined under RUCA to be rural or super rural areas is:
242.7 	(1) for a trip equal to 17 miles or less, equal to 125 percent of the respective mileage 
242.8 	rate in paragraph (p) (r), clauses (1) to (7); and
242.9 	(2) for a trip between 18 and 50 miles, equal to 112.5 percent of the respective mileage 
242.10 	rate in paragraph (p) (r), clauses (1) to (7). This paragraph expires July 1, 2026, for medical 
242.11 	assistance fee-for-service and January 1, 2027, for prepaid medical assistance.
242.12 	(r) (u) For purposes of reimbursement rates for nonemergency medical transportation 
242.13 	services under paragraphs (p) and (q) (r) to (t), the zip code of the recipient's place of 
242.14 	residence shall determine whether the urban, rural, or super rural reimbursement rate applies.
242.15 	This paragraph expires July 1, 2026, for medical assistance fee-for-service and January 1, 
242.16 	2027, for prepaid medical assistance.
242.17 	(s) (v) The commissioner, when determining reimbursement rates for nonemergency 
242.18 	medical transportation under paragraphs (p) and (q), shall exempt all modes of transportation 
242.19 	listed under paragraph (l) (n) from Minnesota Rules, part 9505.0445, item R, subitem (2).
242.20 	(t) (w) Effective for the first day of each calendar quarter in which the price of gasoline 
242.21 	as posted publicly by the United States Energy Information Administration exceeds $3.00 
242.22 	per gallon, the commissioner shall adjust the rate paid per mile in paragraph (p) (r) by one 
242.23 	percent up or down for every increase or decrease of ten cents for the price of gasoline. The 
242.24 	increase or decrease must be calculated using a base gasoline price of $3.00. The percentage 
242.25 	increase or decrease must be calculated using the average of the most recently available 
242.26 	price of all grades of gasoline for Minnesota as posted publicly by the United States Energy 
242.27 	Information Administration. This paragraph expires July 1, 2026, for medical assistance 
242.28 	fee-for-service and January 1, 2027, for prepaid medical assistance.

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

242.30 	Sec. 14. Minnesota Statutes 2024, section 256B.0625, is amended by adding a subdivision 
242.31 	to read:
242.32 		Subd. 18i.Administration of nonemergency medical transportation. Effective July 
242.33 	1, 2026, for medical assistance fee-for-service and January 1, 2027, for prepaid medical 
243.1 	assistance, the commissioner must contract either statewide or regionally for the 
243.2 	administration of the nonemergency medical transportation program in compliance with 
243.3 	the provisions of this chapter. The contract must include the administration of the 
243.4 	nonemergency medical transportation benefit for those enrolled in managed care as described 
243.5 	in section 256B.69.

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

243.7 	Sec. 15. Minnesota Statutes 2024, section 256B.0625, subdivision 30, is amended to read:
243.8 		Subd. 30.Other clinic services. (a) Medical assistance covers rural health clinic services, 
243.9 	federally qualified health center services, nonprofit community health clinic services, and 
243.10 	public health clinic services. Rural health clinic services and federally qualified health center 
243.11 	services mean services defined in United States Code, title 42, section 1396d(a)(2)(B) and 
243.12 	(C). Payment for rural health clinic and federally qualified health center services shall be 
243.13 	made according to applicable federal law and regulation.
243.14 	(b) A federally qualified health center (FQHC) that is beginning initial operation shall 
243.15 	submit an estimate of budgeted costs and visits for the initial reporting period in the form 
243.16 	and detail required by the commissioner. An FQHC that is already in operation shall submit 
243.17 	an initial report using actual costs and visits for the initial reporting period. Within 90 days 
243.18 	of the end of its reporting period, an FQHC shall submit, in the form and detail required by 
243.19 	the commissioner, a report of its operations, including allowable costs actually incurred for 
243.20 	the period and the actual number of visits for services furnished during the period, and other 
243.21 	information required by the commissioner. FQHCs that file Medicare cost reports shall 
243.22 	provide the commissioner with a copy of the most recent Medicare cost report filed with 
243.23 	the Medicare program intermediary for the reporting year which support the costs claimed 
243.24 	on their cost report to the state.
243.25 	(c) In order to continue cost-based payment under the medical assistance program 
243.26 	according to paragraphs (a) and (b), an FQHC or rural health clinic must apply for designation 
243.27 	as an essential community provider within six months of final adoption of rules by the 
243.28 	Department of Health according to section 62Q.19, subdivision 7. For those FQHCs and 
243.29 	rural health clinics that have applied for essential community provider status within the 
243.30 	six-month time prescribed, medical assistance payments will continue to be made according 
243.31 	to paragraphs (a) and (b) for the first three years after application. For FQHCs and rural 
243.32 	health clinics that either do not apply within the time specified above or who have had 
243.33 	essential community provider status for three years, medical assistance payments for health 
243.34 	services provided by these entities shall be according to the same rates and conditions 
244.1 	applicable to the same service provided by health care providers that are not FQHCs or rural 
244.2 	health clinics.
244.3 	(d) Effective July 1, 1999, the provisions of paragraph (c) requiring an FQHC or a rural 
244.4 	health clinic to make application for an essential community provider designation in order 
244.5 	to have cost-based payments made according to paragraphs (a) and (b) no longer apply.
244.6 	(e) Effective January 1, 2000, payments made according to paragraphs (a) and (b) shall 
244.7 	be limited to the cost phase-out schedule of the Balanced Budget Act of 1997.
244.8 	(f) Effective January 1, 2001, through December 31, 2020, each FQHC and rural health 
244.9 	clinic may elect to be paid either under the prospective payment system established in United 
244.10 	States Code, title 42, section 1396a(aa), or under an alternative payment methodology 
244.11 	consistent with the requirements of United States Code, title 42, section 1396a(aa), and 
244.12 	approved by the Centers for Medicare and Medicaid Services. The alternative payment 
244.13 	methodology shall be 100 percent of cost as determined according to Medicare cost 
244.14 	principles.
244.15 	(g) Effective for services provided on or after January 1, 2021, all claims for payment 
244.16 	of clinic services provided by FQHCs and rural health clinics shall be paid by the 
244.17 	commissioner, according to an annual election by the FQHC or rural health clinic, under 
244.18 	the current prospective payment system described in paragraph (f) or the alternative payment 
244.19 	methodology described in paragraph (l), or, upon federal approval, for FQHCs that are also 
244.20 	urban Indian organizations under Title V of the federal Indian Health Improvement Act, as 
244.21 	provided under paragraph (k).
244.22 	(h) For purposes of this section, "nonprofit community clinic" is a clinic that:
244.23 	(1) has nonprofit status as specified in chapter 317A;
244.24 	(2) has tax exempt status as provided in Internal Revenue Code, section 501(c)(3);
244.25 	(3) is established to provide health services to low-income population groups, uninsured, 
244.26 	high-risk and special needs populations, underserved and other special needs populations;
244.27 	(4) employs professional staff at least one-half of which are familiar with the cultural 
244.28 	background of their clients;
244.29 	(5) charges for services on a sliding fee scale designed to provide assistance to 
244.30 	low-income clients based on current poverty income guidelines and family size; and
244.31 	(6) does not restrict access or services because of a client's financial limitations or public 
244.32 	assistance status and provides no-cost care as needed.
245.1 	(i) Effective for services provided on or after January 1, 2015, all claims for payment 
245.2 	of clinic services provided by FQHCs and rural health clinics shall be paid by the 
245.3 	commissioner. the commissioner shall determine the most feasible method for paying claims 
245.4 	from the following options:
245.5 	(1) FQHCs and rural health clinics submit claims directly to the commissioner for 
245.6 	payment, and the commissioner provides claims information for recipients enrolled in a 
245.7 	managed care or county-based purchasing plan to the plan, on a regular basis; or
245.8 	(2) FQHCs and rural health clinics submit claims for recipients enrolled in a managed 
245.9 	care or county-based purchasing plan to the plan, and those claims are submitted by the 
245.10 	plan to the commissioner for payment to the clinic.
245.11 	(j) For clinic services provided prior to January 1, 2015, the commissioner shall calculate 
245.12 	and pay monthly the proposed managed care supplemental payments to clinics, and clinics 
245.13 	shall conduct a timely review of the payment calculation data in order to finalize all 
245.14 	supplemental payments in accordance with federal law. Any issues arising from a clinic's 
245.15 	review must be reported to the commissioner by January 1, 2017. Upon final agreement 
245.16 	between the commissioner and a clinic on issues identified under this subdivision, and in 
245.17 	accordance with United States Code, title 42, section 1396a(bb), no supplemental payments 
245.18 	for managed care plan or county-based purchasing plan claims for services provided prior 
245.19 	to January 1, 2015, shall be made after June 30, 2017. If the commissioner and clinics are 
245.20 	unable to resolve issues under this subdivision, the parties shall submit the dispute to the 
245.21 	arbitration process under section 14.57.
245.22 	(k) The commissioner shall establish an encounter payment rate that is equivalent to the 
245.23 	all inclusive rate (AIR) payment established by the Indian Health Service and published in 
245.24 	the Federal Register. The encounter rate must be updated annually and must reflect the 
245.25 	changes in the AIR established by the Indian Health Service each calendar year. FQHCs 
245.26 	that are also urban Indian organizations under Title V of the federal Indian Health 
245.27 	Improvement Act may elect to be paid: (1) at the encounter rate established under this 
245.28 	paragraph; (2) under the alternative payment methodology described in paragraph (l); or 
245.29 	(3) under the federally required prospective payment system described in paragraph (f). 
245.30 	FQHCs that elect to be paid at the encounter rate established under this paragraph must 
245.31 	continue to meet all state and federal requirements related to FQHCs and urban Indian 
245.32 	organizations, and must maintain their statuses as FQHCs and urban Indian organizations.
246.1 	(l) All claims for payment of clinic services provided by FQHCs and rural health clinics, 
246.2 	that have elected to be paid under this paragraph, shall be paid by the commissioner according 
246.3 	to the following requirements:
246.4 	(1) the commissioner shall establish a single medical and single dental organization 
246.5 	encounter rate for each FQHC and rural health clinic when applicable;
246.6 	(2) each FQHC and rural health clinic is eligible for same day reimbursement of one 
246.7 	medical and one dental organization encounter rate if eligible medical and dental visits are 
246.8 	provided on the same day;
246.9 	(3) the commissioner shall reimburse FQHCs and rural health clinics, in accordance 
246.10 	with current applicable Medicare cost principles, their allowable costs, including direct 
246.11 	patient care costs and patient-related support services. Nonallowable costs include, but are 
246.12 	not limited to:
246.13 	(i) general social services and administrative costs;
246.14 	(ii) retail pharmacy;
246.15 	(iii) patient incentives, food, housing assistance, and utility assistance;
246.16 	(iv) external lab and x-ray;
246.17 	(v) navigation services;
246.18 	(vi) health care taxes;
246.19 	(vii) advertising, public relations, and marketing;
246.20 	(viii) office entertainment costs, food, alcohol, and gifts;
246.21 	(ix) contributions and donations;
246.22 	(x) bad debts or losses on awards or contracts;
246.23 	(xi) fines, penalties, damages, or other settlements;
246.24 	(xii) fundraising, investment management, and associated administrative costs;
246.25 	(xiii) research and associated administrative costs;
246.26 	(xiv) nonpaid workers;
246.27 	(xv) lobbying;
246.28 	(xvi) scholarships and student aid; and
246.29 	(xvii) nonmedical assistance covered services;
247.1 	(4) the commissioner shall review the list of nonallowable costs in the years between 
247.2 	the rebasing process established in clause (5), in consultation with the Minnesota Association 
247.3 	of Community Health Centers, FQHCs, and rural health clinics. The commissioner shall 
247.4 	publish the list and any updates in the Minnesota health care programs provider manual;
247.5 	(5) the initial applicable base year organization encounter rates for FQHCs and rural 
247.6 	health clinics shall be computed for services delivered on or after January 1, 2021, and:
247.7 	(i) must be determined using each FQHC's and rural health clinic's Medicare cost reports 
247.8 	from 2017 and 2018;
247.9 	(ii) must be according to current applicable Medicare cost principles as applicable to 
247.10 	FQHCs and rural health clinics without the application of productivity screens and upper 
247.11 	payment limits or the Medicare prospective payment system FQHC aggregate mean upper 
247.12 	payment limit;
247.13 	(iii) must be subsequently rebased every two years thereafter using the Medicare cost 
247.14 	reports that are three and four years prior to the rebasing year. Years in which organizational 
247.15 	cost or claims volume is reduced or altered due to a pandemic, disease, or other public health 
247.16 	emergency shall not be used as part of a base year when the base year includes more than 
247.17 	one year. The commissioner may use the Medicare cost reports of a year unaffected by a 
247.18 	pandemic, disease, or other public health emergency, or previous two consecutive years, 
247.19 	inflated to the base year as established under item (iv);
247.20 	(iv) must be inflated to the base year using the inflation factor described in clause (6); 
247.21 	and
247.22 	(v) the commissioner must provide for a 60-day appeals process under section 14.57;
247.23 	(6) the commissioner shall annually inflate the applicable organization encounter rates 
247.24 	for FQHCs and rural health clinics from the base year payment rate to the effective date by 
247.25 	using the CMS FQHC Market Basket inflator established under United States Code, title 
247.26 	42, section 1395m(o), less productivity;
247.27 	(7) FQHCs and rural health clinics that have elected the alternative payment methodology 
247.28 	under this paragraph shall submit all necessary documentation required by the commissioner 
247.29 	to compute the rebased organization encounter rates no later than six months following the 
247.30 	date the applicable Medicare cost reports are due to the Centers for Medicare and Medicaid 
247.31 	Services;
248.1 	(8) the commissioner shall reimburse FQHCs and rural health clinics an additional 
248.2 	amount relative to their medical and dental organization encounter rates that is attributable 
248.3 	to the tax required to be paid according to section 295.52, if applicable;
248.4 	(9) FQHCs and rural health clinics may submit change of scope requests to the 
248.5 	commissioner if the change of scope would result in an increase or decrease of 2.5 percent 
248.6 	or higher in the medical or dental organization encounter rate currently received by the 
248.7 	FQHC or rural health clinic;
248.8 	(10) for FQHCs and rural health clinics seeking a change in scope with the commissioner 
248.9 	under clause (9) that requires the approval of the scope change by the federal Health 
248.10 	Resources Services Administration:
248.11 	(i) FQHCs and rural health clinics shall submit the change of scope request, including 
248.12 	the start date of services, to the commissioner within seven business days of submission of 
248.13 	the scope change to the federal Health Resources Services Administration;
248.14 	(ii) the commissioner shall establish the effective date of the payment change as the 
248.15 	federal Health Resources Services Administration date of approval of the FQHC's or rural 
248.16 	health clinic's scope change request, or the effective start date of services, whichever is 
248.17 	later; and
248.18 	(iii) within 45 days of one year after the effective date established in item (ii), the 
248.19 	commissioner shall conduct a retroactive review to determine if the actual costs established 
248.20 	under clause (3) or encounters result in an increase or decrease of 2.5 percent or higher in 
248.21 	the medical or dental organization encounter rate, and if this is the case, the commissioner 
248.22 	shall revise the rate accordingly and shall adjust payments retrospectively to the effective 
248.23 	date established in item (ii);
248.24 	(11) for change of scope requests that do not require federal Health Resources Services 
248.25 	Administration approval, the FQHC and rural health clinic shall submit the request to the 
248.26 	commissioner before implementing the change, and the effective date of the change is the 
248.27 	date the commissioner received the FQHC's or rural health clinic's request, or the effective 
248.28 	start date of the service, whichever is later. The commissioner shall provide a response to 
248.29 	the FQHC's or rural health clinic's request within 45 days of submission and provide a final 
248.30 	approval within 120 days of submission. This timeline may be waived at the mutual 
248.31 	agreement of the commissioner and the FQHC or rural health clinic if more information is 
248.32 	needed to evaluate the request;
248.33 	(12) the commissioner, when establishing organization encounter rates for new FQHCs 
248.34 	and rural health clinics, shall consider the patient caseload of existing FQHCs and rural 
249.1 	health clinics in a 60-mile radius for organizations established outside of the seven-county 
249.2 	metropolitan area, and in a 30-mile radius for organizations in the seven-county metropolitan 
249.3 	area. If this information is not available, the commissioner may use Medicare cost reports 
249.4 	or audited financial statements to establish base rates;
249.5 	(13) the commissioner, when establishing organization encounter rates under this section 
249.6 	for FQHCs and rural health clinics resulting from a merger of existing clinics or the 
249.7 	acquisition of an existing clinic by another existing clinic, must use the combined costs and 
249.8 	caseloads from the clinics participating in the merger or acquisition to set the encounter rate 
249.9 	for the new clinic organization resulting from the merger or acquisition. The scope of services 
249.10 	for the newly formed clinic must be inclusive of the scope of services of the clinics 
249.11 	participating in the merger or acquisition;
249.12 	(13) (14) the commissioner shall establish a quality measures workgroup that includes 
249.13 	representatives from the Minnesota Association of Community Health Centers, FQHCs, 
249.14 	and rural health clinics, to evaluate clinical and nonclinical measures; and
249.15 	(14) (15) the commissioner shall not disallow or reduce costs that are related to an 
249.16 	FQHC's or rural health clinic's participation in health care educational programs to the extent 
249.17 	that the costs are not accounted for in the alternative payment methodology encounter rate 
249.18 	established in this paragraph.
249.19 	(m) Effective July 1, 2023, an enrolled Indian health service facility or a Tribal health 
249.20 	center operating under a 638 contract or compact may elect to also enroll as a Tribal FQHC. 
249.21 	Requirements that otherwise apply to an FQHC covered in this subdivision do not apply to 
249.22 	a Tribal FQHC enrolled under this paragraph, except that any requirements necessary to 
249.23 	comply with federal regulations do apply to a Tribal FQHC. The commissioner shall establish 
249.24 	an alternative payment method for a Tribal FQHC enrolled under this paragraph that uses 
249.25 	the same method and rates applicable to a Tribal facility or health center that does not enroll 
249.26 	as a Tribal FQHC.
249.27 	(n) FQHC reimbursement for mental health targeted case management services is limited 
249.28 	to:
249.29 	(1) only those services described under subdivision 20 and provided in accordance with 
249.30 	contracts executed with counties authorized to subcontract for mental health targeted case 
249.31 	management services; and
249.32 	(2) an FQHC's actual incurred costs as separately reported on the cost report submitted 
249.33 	to the Centers for Medicare and Medicaid Services and further identified in reports submitted 
249.34 	to the commissioner.
250.1 	(o) Counties contracting with FQHCs for mental health targeted case management remain 
250.2 	responsible for the nonfederal share of the cost of the provided mental health targeted case 
250.3 	management services. The commissioner must bill each county for the nonfederal share of 
250.4 	the mental health targeted case management costs as reported by the FQHC.

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

250.6 	Sec. 16. Minnesota Statutes 2024, section 256B.0625, subdivision 54, is amended to read:
250.7 		Subd. 54.Services provided in birth centers. (a) Medical assistance covers services 
250.8 	provided in a licensed birth center by a licensed health professional if the service would 
250.9 	otherwise be covered if provided in a hospital.
250.10 	(b) Facility services provided by a birth center shall be paid at the lower of billed charges 
250.11 	or 70 100 percent of the statewide average for a facility payment rate made to a hospital
250.12 	hospital facility fee cost trended to current for an uncomplicated vaginal birth as determined 
250.13 	using the most recent calendar year for which complete claims data is available. If a recipient 
250.14 	is transported from a birth center to a hospital prior to the delivery, the payment for facility 
250.15 	services to the birth center shall be the lower of billed charges or 15 100 percent of the 
250.16 	average hospital facility payment made to a hospital for the services provided fee cost 
250.17 	trended to current for an uncomplicated vaginal delivery as determined using the most recent 
250.18 	calendar year for which complete claims data is available.
250.19 	(c) Nursery care Facility services provided to a newborn by a birth center shall be paid 
250.20 	the lower of billed charges or 70 100 percent of the statewide average for a payment rate 
250.21 	paid to a hospital for nursery care as determined by using the most recent calendar year for 
250.22 	which complete claims data is available the hospital facility fee for a normal newborn as 
250.23 	determined using the most recent calendar year for which complete claims data is available, 
250.24 	cost trended to current.
250.25 	(d) Professional services provided by traditional midwives licensed under chapter 147D 
250.26 	shall be paid at the lower of billed charges or 100 percent of the rate paid to a physician 
250.27 	performing the same services. If a recipient is transported from a birth center to a hospital 
250.28 	prior to the delivery, a licensed traditional midwife who does not perform the delivery may 
250.29 	not bill for any delivery services. Services are not covered if provided by an unlicensed 
250.30 	traditional midwife.
250.31 	(e) Licensed health professionals working in licensed birth centers shall be reimbursed 
250.32 	for the full range of maternity care and newborn care services within their scope of practice, 
250.33 	regardless of place of service. The commissioner shall review current birth center 
251.1 	reimbursement and, in consultation with birth centers currently licensed in the state, develop 
251.2 	revisions to current payment practices in order to ensure reimbursement for the full range 
251.3 	of maternity care and newborn care services, including but not limited to:
251.4 	(1) professional services for intrapartum care when a recipient is transferred from a birth 
251.5 	center to a hospital prior to delivery;
251.6 	(2) professional services billed with a home place of service code by a licensed health 
251.7 	professional within their scope of practice;
251.8 	(3) professional services when a licensed health professional provides any 
251.9 	Minnesota-mandated newborn screening, including but not limited to the newborn metabolic 
251.10 	screen, CCHD screening, hearing screen, or any other medically necessary newborn 
251.11 	screening, test, or assessment; and
251.12 	(4) telehealth services provided by any licensed health professional working in a birth 
251.13 	center.
251.14 	(f) Managed care organizations and county-based purchasing plans contracted to provide 
251.15 	medical assistance coverage under section 256B.69 shall reimburse licensed birth centers 
251.16 	and licensed health professionals working in licensed birth centers for the full range of 
251.17 	maternity care services within their scope of practice, regardless of place of service, as 
251.18 	determined in paragraph (e) at no less than the medical assistance fee for service fee schedule 
251.19 	for the year in which the service is provided. If, for any contract year, federal approval is 
251.20 	not received for this paragraph, the commissioner must adjust the capitation rates paid to 
251.21 	managed care plans and county-based purchasing plans for that contract year to reflect the 
251.22 	removal of this paragraph. Contracts between managed care plans and county-based 
251.23 	purchasing plans and providers to whom this paragraph applies must allow recovery of 
251.24 	payments from those providers if capitation rates are adjusted in accordance with this 
251.25 	paragraph. Payment recoveries must not exceed the amount equal to any increase in rates 
251.26 	that results from this paragraph. This paragraph expires if federal approval is not received 
251.27 	for this paragraph at any time.
251.28 	(e) (g) The commissioner shall apply for any necessary waivers from the Centers for 
251.29 	Medicare and Medicaid Services to allow birth centers and birth center providers to be 
251.30 	reimbursed.

251.31 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval, 
251.32 	whichever is later. The commissioner of human services shall notify the revisor of statutes 
251.33 	when federal approval is obtained.

252.1 	Sec. 17. Minnesota Statutes 2024, section 256B.0625, is amended by adding a subdivision 
252.2 	to read:
252.3 		Subd. 54a.Home birth. (a) For purposes of this subdivision, the following terms have 
252.4 	the meanings given:
252.5 	(1) "birth services" means prenatal, labor, birth, and postpartum services;
252.6 	(2) "eligible provider" means a licensed or certified health care professional eligible for 
252.7 	reimbursement under the medical assistance program; and
252.8 	(3) "low-risk patient for birth services" means a person undergoing a normal, 
252.9 	uncomplicated prenatal course as determined by documentation of adequate prenatal care 
252.10 	whose treating provider anticipates a normal, uncomplicated labor and birth, as defined by 
252.11 	reasonable and generally accepted criteria adopted by professional groups for maternal, 
252.12 	fetal, and neonatal health care.
252.13 	(b) Medical assistance covers birth services provided at home when the following 
252.14 	conditions are met:
252.15 	(1) the birth services are provided by an eligible provider whose scope of practice and 
252.16 	experience includes home birth;
252.17 	(2) the recipient is a low-risk patient for birth services; and
252.18 	(3) the recipient has a plan of care that includes:
252.19 	(i) a consent form detailing the risks and benefits of home birth signed by the recipient;
252.20 	(ii) sufficient visits, test results, and follow-up consultations as needed to establish that 
252.21 	the recipient is a low-risk patient for birth services; and
252.22 	(iii) a plan for transfer to a hospital as needed.
252.23 	(c) Services provided under this subdivision by an eligible provider must be paid at a 
252.24 	rate at least equal to 100 percent of the rate paid to a physician performing the same services. 
252.25 	An eligible provider who does not perform the delivery must not bill for any delivery 
252.26 	services.
252.27 	(d) Supplies used for birth services under this subdivision must be paid at 70 percent of 
252.28 	the statewide average for a facility payment rate made to a hospital for an uncomplicated 
252.29 	vaginal delivery as determined using the most recent calendar year for which complete 
252.30 	claims data are available. If a recipient is transported from a home to a hospital prior to the 
252.31 	delivery, the payment for the supplies used for birth services under this subdivision must 
252.32 	be the lower of billed charges or 15 percent of the statewide average for a facility payment 
253.1 	rate made to a hospital for the services provided for an uncomplicated vaginal delivery as 
253.2 	determined using the most recent calendar year for which complete claims data are available.

253.3 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval, 
253.4 	whichever is later. The commissioner of human services shall notify the revisor of statutes 
253.5 	when federal approval is obtained.

253.6 	Sec. 18. Minnesota Statutes 2024, section 256B.0757, subdivision 5, is amended to read:
253.7 		Subd. 5.Payments. (a) The commissioner shall make payments to each designated 
253.8 	provider for the provision of health home services described in subdivision 3 to each eligible 
253.9 	individual under subdivision 2 that selects the health home as a provider. This paragraph 
253.10 	expires on the date that paragraph (b) becomes effective.
253.11 	(b) Effective January 1, 2026, or upon federal approval, whichever is later, the 
253.12 	commissioner shall make payments to each designated provider for the provision of health 
253.13 	home services described in subdivision 3, except for behavioral health services, to each 
253.14 	eligible individual under subdivision 2 who selects the health home as a provider.

253.15 	Sec. 19. Minnesota Statutes 2024, section 256B.0757, is amended by adding a subdivision 
253.16 	to read:
253.17 		Subd. 5a.Payments for behavioral health home services. (a) For services rendered 
253.18 	on or after January 1, 2026, or on or after the date of federal approval, whichever is later, 
253.19 	and notwithstanding subdivision 5, the commissioner must implement a single statewide 
253.20 	reimbursement rate for behavioral health home services under this section. The rate must 
253.21 	be no less than $425 per member per month. The commissioner must adjust the 
253.22 	reimbursement rate for behavioral health home services annually according to the change 
253.23 	from the midpoint of the previous rate year to the midpoint of the rate year for which the 
253.24 	rate is being determined using the Centers for Medicare and Medicaid Services Medicare 
253.25 	Economic Index as forecasted in the fourth quarter of the calendar year before the rate year.
253.26 	(b) The commissioner must review and update the behavioral health home services rate 
253.27 	under paragraph (a) at least every four years. The updated rate must account for the average 
253.28 	hours required for behavioral health home team members spent providing services and the 
253.29 	Department of Labor prevailing wage for required behavioral health home team members. 
253.30 	The updated rate must ensure that behavioral health home services rates are sufficient to 
253.31 	allow providers to meet required certifications, training, and practice transformation 
253.32 	standards; staff qualification requirements; and service delivery standards.
254.1 	(c) Managed care plans and county-based purchasing plans must reimburse providers 
254.2 	at an amount that is at least equal to the fee-for-service rate for services under this 
254.3 	subdivision. The commissioner must monitor the effect of this rate increase on enrollee 
254.4 	access to services under this subdivision. If for any contract year federal approval is not 
254.5 	received for this paragraph, the commissioner must adjust the capitation rates paid to managed 
254.6 	care plans and county-based purchasing plans for that contract year to reflect the removal 
254.7 	of this paragraph. Contracts between managed care plans and county-based purchasing 
254.8 	plans and providers to whom this paragraph applies must allow recovery of payments from 
254.9 	those providers if capitation rates are adjusted in accordance with this paragraph. Payment 
254.10 	recoveries must not exceed the amount equal to any increase in rates that results from this 
254.11 	paragraph.

254.12 	EFFECTIVE DATE. This section is effective on the latest of the following: (1) January 
254.13 	1, 2026; (2) federal approval of the medical assistance program changes in this section; or 
254.14 	(3) federal approval of all necessary federal waivers to implement the managed care 
254.15 	organization assessment in Minnesota Statutes, section 295.525. The commissioner of 
254.16 	human services shall notify the revisor of statutes when federal approval is obtained.

254.17 	Sec. 20. Minnesota Statutes 2024, section 256B.1973, subdivision 5, is amended to read:
254.18 		Subd. 5.Commissioner's duties; state-directed fee schedule requirement. (a) For 
254.19 	each federally approved directed payment arrangement under this section that is a 
254.20 	state-directed fee schedule requirement, the commissioner shall determine a uniform 
254.21 	adjustment factor to be applied to each claim submitted by an eligible provider to a health 
254.22 	plan. The uniform adjustment factor shall be determined using the average commercial 
254.23 	payer rate or using another method acceptable to the Centers for Medicare and Medicaid 
254.24 	Services if the average commercial payer rate is not approved, minus the amount necessary 
254.25 	for the plan to satisfy tax liabilities under sections 256.9657 and 297I.05 attributable to the 
254.26 	directed payment arrangement. The commissioner shall ensure that the application of the 
254.27 	uniform adjustment factor maximizes the allowable directed payments and does not result 
254.28 	in payments exceeding federal limits, and may use an annual settle-up process. The directed 
254.29 	payment shall may be specific to each health plan and prospectively incorporated into 
254.30 	capitation payments for that plan.
254.31 	(b) For each federally approved directed payment arrangement that is a state-directed 
254.32 	fee schedule requirement, the commissioner shall develop a plan for the initial 
254.33 	implementation of the state-directed fee schedule requirement to ensure that the eligible 
254.34 	provider receives the entire permissible value of the federally approved directed payment 
255.1 	arrangement. If federal approval of a directed payment arrangement under this subdivision 
255.2 	is retroactive, the commissioner shall make a onetime pro rata increase to the uniform 
255.3 	adjustment factor and the initial payments in order to include claims submitted between the 
255.4 	retroactive federal approval date and the period captured by the initial payments.

255.5 	Sec. 21. Minnesota Statutes 2024, section 256B.1973, is amended by adding a subdivision 
255.6 	to read:
255.7 		Subd. 9.Interaction with other directed payments. An eligible provider under 
255.8 	subdivision 3 may participate in the hospital directed payment program under section 
255.9 	256B.1974 for inpatient hospital services, outpatient hospital services, or both. A provider 
255.10 	participating in the hospital directed payment program must not receive a directed payment 
255.11 	under this section for any provider classes paid via the hospital directed payment program. 
255.12 	A hospital subject to this section must notify the commissioner in writing no later than 30 
255.13 	days after enactment of this subdivision of the hospital's intention to participate in the 
255.14 	hospital directed payment program under section 256B.1974 for inpatient hospital services, 
255.15 	outpatient hospital services, or both. The election under this subdivision is a onetime election, 
255.16 	except that if an eligible provider elects to participate in the hospital directed payment 
255.17 	program, and the hospital directed payment program expires or is not federally approved, 
255.18 	the eligible provider may subsequently elect to participate in the directed payment under 
255.19 	this section.

255.20 	EFFECTIVE DATE. (a) This section is effective on the later of January 1, 2026, or 
255.21 	federal approval of all of the following:
255.22 	(1) the waiver for the assessment required under Minnesota Statutes, section 256.9657, 
255.23 	subdivision 2b; and
255.24 	(2) the hospital directed payment program under Minnesota Statutes, section 256B.1974.
255.25 	(b) The commissioner of human services shall notify the revisor of statutes when federal 
255.26 	approval is obtained.

255.27 	Sec. 22. [256B.1974] HOSPITAL DIRECTED PAYMENT PROGRAM.
255.28 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
255.29 	the meanings given.
255.30 	(b) "Eligible hospital" has the meaning given in section 256.9657, subdivision 2b, 
255.31 	paragraph (a), clause (1).
256.1 	(c) "Health plan" means a managed care plan or county-based purchasing plan that is 
256.2 	under contract with the commissioner to deliver services to medical assistance enrollees 
256.3 	under section 256B.69 or 256B.692.
256.4 		Subd. 2.Required conditions for program. The hospital directed payment program 
256.5 	must conform with the requirements for permissible directed managed care organization 
256.6 	expenditures under section 256B.6928, subdivision 5.
256.7 		Subd. 3.Commissioner's duties; state-directed fee schedule requirement. (a) For 
256.8 	each federally approved directed payment program that is a state-directed fee schedule 
256.9 	requirement that includes a quarterly payment amount to be submitted by each health plan 
256.10 	to each eligible hospital, the commissioner must determine the quarterly payment amount 
256.11 	using the statewide average commercial payer rate, or using another method acceptable to 
256.12 	the Centers for Medicare and Medicaid Services if the statewide average commercial payer 
256.13 	rate is not approved. The commissioner must ensure that the application of the quarterly 
256.14 	payment amounts maximizes the amount generated by the hospital assessment in section 
256.15 	256.9657, subdivision 2b, for allowable directed payments and does not result in payments 
256.16 	exceeding federal limits.
256.17 	(b) The commissioner must use an annual settle-up process to determine the accuracy 
256.18 	of the amounts paid by the commissioner to health plans for directed payments to hospitals 
256.19 	under this section. The commissioner's settle-up determination must occur within one year 
256.20 	of the payment of the applicable amounts to health plans. If the commissioner determines 
256.21 	the amount paid to a health plan exceeds or is less than the amount required under this 
256.22 	section, the commissioner must pay an additional amount to the health plan for directed 
256.23 	payments to hospitals or require a refund from the health plan for an overpayment. Any 
256.24 	additional amount required to be paid by the commissioner to a health plan, or any refund 
256.25 	to the commissioner from a health plan, must be paid by the immediately following April 
256.26 	1. Additional amounts received by a health plan under this paragraph must be paid to the 
256.27 	eligible hospital in accordance with this section. Any refund amount the commissioner 
256.28 	determines is owed by a health plan under this paragraph must be paid back by the eligible 
256.29 	hospital in accordance with this section.
256.30 	(c) On and after January 1, 2028, if the federal regulations set forth in Code of Federal 
256.31 	Regulations, title 42, parts 430, 438, and 457, and applicable to this section remain effective, 
256.32 	the hospital directed payment program may be specific to each health plan and prospectively 
256.33 	incorporated into capitation payments for that plan.
257.1 	(d) For each federally approved directed payment program under this section that is a 
257.2 	state-directed fee schedule requirement, the commissioner must develop a plan for the initial 
257.3 	implementation of the state-directed fee schedule requirement to ensure that eligible hospitals 
257.4 	receive the entire permissible value of the federally approved directed payment.
257.5 	(e) Directed payments under this section must only be used to supplement, and not 
257.6 	supplant, medical assistance reimbursement to eligible hospitals. The directed payment 
257.7 	program must not modify, reduce, or offset the medical assistance payment rates determined 
257.8 	for each eligible hospital as required by section 256.969.
257.9 	(f) The commissioner must require health plans to make quarterly directed payments 
257.10 	according to this section.
257.11 	(g) Health plans must make quarterly directed payments using electronic funds transfers, 
257.12 	if the eligible hospital provides the information necessary to process such transfers, and in 
257.13 	accordance with directions provided by the commissioner. Health plans must make quarterly 
257.14 	directed payments:
257.15 	(1) for the first two quarters for which such payments are due, within 30 calendar days 
257.16 	of the date the commissioner issued sufficient payments to the health plan to make the 
257.17 	directed payments according to this section; and
257.18 	(2) for all subsequent quarters, within ten calendar days of the date the commissioner 
257.19 	issued sufficient payments to the health plan to make the directed payments according to 
257.20 	this section.
257.21 	(h) The commissioner of human services must publish on the Department of Human 
257.22 	Services website, on a quarterly basis, the dates that the health plans completed their required 
257.23 	quarterly payments under this section.
257.24 	(i) Payments to health plans that would be paid consistent with actuarial certification 
257.25 	and enrollment in the absence of the increased capitation payments under this section must 
257.26 	not be reduced as a result of this section.
257.27 	(j) The commissioner must publish all directed payments resulting from this section 
257.28 	owed to each eligible hospital from each health plan on the Department of Human Services 
257.29 	website for at least two years. All calculations and reports must be posted no later than the 
257.30 	first day of the quarter for which the payments are to be issued.
257.31 	(k) By December 1 each year, the commissioner must notify each eligible hospital of 
257.32 	any changes to the payment methodologies in this section, including but not limited to 
257.33 	changes in the directed payment rates, the aggregate directed payment amount for all eligible 
258.1 	hospitals, and the eligible hospital's directed payment amount for the upcoming calendar 
258.2 	year.
258.3 	(l) The commissioner must pay the amounts to be used for the directed payments to 
258.4 	health plans under contract no later than January 1, April 1, July 1, and October 1 each year.
258.5 	(m) A hospital is not entitled to payments under this section unless it is an eligible 
258.6 	hospital. An eligible hospital that has merged with another hospital must have the surviving 
258.7 	hospital's payments under this section revised at the start of the hospital's first full fiscal 
258.8 	year after the merger is complete. A closed eligible hospital is entitled to the payments under 
258.9 	this section for services provided through the final date of operations.
258.10 		Subd. 4.Health plan duties; submission of claims. Each health plan must submit to 
258.11 	the commissioner, in accordance with its contract with the commissioner to serve as a 
258.12 	managed care organization in medical assistance, payment information for each claim paid 
258.13 	to an eligible hospital for services provided to a medical assistance enrollee. Health plans 
258.14 	must allow each eligible hospital to review the health plan's own paid claims detail to enable 
258.15 	proper validation that the medical assistance managed care claims volume and content is 
258.16 	consistent with the eligible hospital's internal records. To support the validation process for 
258.17 	the directed payment program, health plans must permit the commissioner to share inpatient 
258.18 	and outpatient claims-level details with eligible hospitals identifying only those claims 
258.19 	where the prepaid medical assistance program under section 256B.69 or 256B.692 is the 
258.20 	payer source. Eligible hospitals may request claims-level detail once annually and must 
258.21 	provide notice of discrepancies in claims paid to the commissioner in a form determined 
258.22 	by the commissioner. The commissioner is authorized to determine the final disposition of 
258.23 	the validation process for disputed claims.
258.24 		Subd. 5.Health plan duties; directed payment add-on. (a) Each health plan must 
258.25 	make, in accordance with its contract with the commissioner to serve as a managed care 
258.26 	organization in medical assistance, a directed payment to each eligible hospital. The amount 
258.27 	of the directed payment to the eligible hospital must be equal to the payment amounts the 
258.28 	plan received from the commissioner for the hospital under this section.
258.29 	(b) Health plans are prohibited from:
258.30 	(1) setting, establishing, or negotiating reimbursement rates with an eligible hospital in 
258.31 	a manner that directly or indirectly takes into account a directed payment that a hospital 
258.32 	receives under this section;
258.33 	(2) unnecessarily delaying a directed payment to an eligible hospital; or
259.1 	(3) recouping or offsetting a directed payment for any reason, except as expressly 
259.2 	authorized by the commissioner.
259.3 		Subd. 6.Hospital duties; quarterly supplemental directed payment add-on. (a) An 
259.4 	eligible hospital receiving a directed payment under this section is prohibited from:
259.5 	(1) setting, establishing, or negotiating reimbursement rates with a managed care 
259.6 	organization in a manner that directly or indirectly takes into account a directed payment 
259.7 	that an eligible hospital receives under this section; or
259.8 	(2) directly passing on the cost of an assessment to patients or nonmedical assistance 
259.9 	payers, including as a fee or rate increase.
259.10 	(b) An eligible hospital that violates this subdivision is prohibited from receiving a 
259.11 	directed payment under this section for the remainder of the calendar year. This subdivision 
259.12 	does not prohibit an eligible hospital from negotiating with a payer for a rate increase.
259.13 		Subd. 7.State minimum policy goals established. (a) The effect of the directed 
259.14 	payments under this section must align with the state's policy goals for medical assistance 
259.15 	enrollees. The directed payments must be used to maintain quality and access to a full range 
259.16 	of health care delivery mechanisms for medical assistance enrollees, and specifically provide 
259.17 	improvement for one of the following quality measures:
259.18 	(1) overall well child visit rates;
259.19 	(2) maternal depression screening rates; or
259.20 	(3) colon cancer screening rates.
259.21 	(b) The commissioner, in consultation with the Minnesota Hospital Association, must 
259.22 	submit to the Centers for Medicare and Medicaid Services quality measures performance 
259.23 	evaluation criteria and a methodology to regularly measure access to care and the 
259.24 	achievement of state policy goals described in this subdivision.
259.25 	(c) The quality measures evaluation data, as determined by paragraph (b), must be 
259.26 	reported to the Centers for Medicare and Medicaid Services after at least 12 months of 
259.27 	directed payments to hospitals.
259.28 		Subd. 8.Administrative review. Before making the payments required under this 
259.29 	section, and on at least an annual basis, the commissioner must consult with and provide 
259.30 	for review of the payment amounts by a permanent select committee established by the 
259.31 	Minnesota Hospital Association. Any data or information reviewed by members of the 
260.1 	committee are data not on individuals, as defined in section 13.02. The committee's members 
260.2 	may not include any current employee or paid consultant of any hospital.

260.3 	EFFECTIVE DATE. (a) This section is effective the later of January 1, 2026, or federal 
260.4 	approval of all of the following:
260.5 	(1) the waiver for the assessment required under Minnesota Statutes, section 256.9657, 
260.6 	subdivision 2b; and
260.7 	(2) the hospital directed payment program under this section and any conforming changes 
260.8 	to the directed payment program under Minnesota Statutes, section 256B.1973.
260.9 	(b) The commissioner of human services shall notify the revisor of statutes when federal 
260.10 	approval is obtained.

260.11 	Sec. 23. [256B.1975] HOSPITAL DIRECTED PAYMENT PROGRAM ACCOUNT.
260.12 		Subdivision 1.Account established; appropriation. (a) The hospital directed payment 
260.13 	program account is created in the special revenue fund in the state treasury.
260.14 	(b) Money in the account, including interest earned, is annually appropriated to the 
260.15 	commissioner of human services for the purposes specified in section 256B.1974.
260.16 	(c) Transfers from this account to another fund are prohibited, except as necessary to 
260.17 	make the payments required under section 256B.1974.
260.18 		Subd. 2.Reports to the legislature. By January 15, 2027, and each January 15 thereafter, 
260.19 	the commissioner must submit a report to the chairs and ranking minority members of the 
260.20 	legislative committees with jurisdiction over health and human services policy and finance 
260.21 	that details the activities and uses of money in the hospital directed payment program 
260.22 	account, including the metrics and outcomes of the policy goals established by section 
260.23 	256B.1974, subdivision 7.

260.24 	EFFECTIVE DATE. (a) This section is effective on the later of January 1, 2026, or 
260.25 	federal approval of all of the following:
260.26 	(1) the waiver for the assessment required under Minnesota Statutes, section 256.9657, 
260.27 	subdivision 2b; and
260.28 	(2) the hospital directed payment program under Minnesota Statutes, section 256B.1974, 
260.29 	and any conforming changes to the directed payment program under Minnesota Statutes, 
260.30 	section 256B.1973.
261.1 	(b) The commissioner of human services shall notify the revisor of statutes when federal 
261.2 	approval is obtained.

261.3 	Sec. 24. Minnesota Statutes 2024, section 256B.69, subdivision 3a, is amended to read:
261.4 		Subd. 3a.County authority. (a) The commissioner, when implementing the medical 
261.5 	assistance prepayment program within a county, must include the county board in the process 
261.6 	of development, approval, and issuance of the request for proposals to provide services to 
261.7 	eligible individuals within the proposed county. County boards must be given reasonable 
261.8 	opportunity to make recommendations regarding the development, issuance, review of 
261.9 	responses, and changes needed in the request for proposals. The commissioner must provide 
261.10 	county boards the opportunity to review each proposal based on the identification of 
261.11 	community needs under chapters 142F and 145A and county advocacy activities. If a county 
261.12 	board finds that a proposal does not address certain community needs, the county board and 
261.13 	commissioner shall continue efforts for improving the proposal and network prior to the 
261.14 	approval of the contract. The county board shall make recommendations regarding the 
261.15 	approval of local networks and their operations to ensure adequate availability and access 
261.16 	to covered services. The provider or health plan must respond directly to county advocates 
261.17 	and the state prepaid medical assistance ombudsperson regarding service delivery and must 
261.18 	be accountable to the state regarding contracts with medical assistance funds. The county 
261.19 	board may recommend a maximum number of participating health plans after considering 
261.20 	the size of the enrolling population; ensuring adequate access and capacity; considering the 
261.21 	client and county administrative complexity; and considering the need to promote the 
261.22 	viability of locally developed health plans. The county board or a single entity representing 
261.23 	a group of county boards and the commissioner shall mutually select health plans for 
261.24 	participation at the time of initial implementation of the prepaid medical assistance program 
261.25 	in that county or group of counties and at the time of contract renewal. The commissioner 
261.26 	shall also seek input for contract requirements from the county or single entity representing 
261.27 	a group of county boards at each contract renewal and incorporate those recommendations 
261.28 	into the contract negotiation process.
261.29 	(b) At the option of the county board, the board may develop contract requirements 
261.30 	related to the achievement of local public health goals to meet the health needs of medical 
261.31 	assistance enrollees. These requirements must be reasonably related to the performance of 
261.32 	health plan functions and within the scope of the medical assistance benefit set. If the county 
261.33 	board and the commissioner mutually agree to such requirements, the department shall 
261.34 	include such requirements in all health plan contracts governing the prepaid medical 
261.35 	assistance program in that county at initial implementation of the program in that county 
262.1 	and at the time of contract renewal. The county board may participate in the enforcement 
262.2 	of the contract provisions related to local public health goals.
262.3 	(c) For counties in which a prepaid medical assistance program has not been established, 
262.4 	the commissioner shall not implement that program if a county board submits an acceptable 
262.5 	and timely preliminary and final proposal under section 256B.692, until county-based 
262.6 	purchasing is no longer operational in that county. For counties in which a prepaid medical 
262.7 	assistance program is in existence on or after September 1, 1997, the commissioner must 
262.8 	terminate contracts with health plans according to section 256B.692, subdivision 5, if the 
262.9 	county board submits and the commissioner accepts a preliminary and final proposal 
262.10 	according to that subdivision. The commissioner is not required to terminate contracts that 
262.11 	begin on or after September 1, 1997, according to section 256B.692 until two years have 
262.12 	elapsed from the date of initial enrollment. This paragraph expires upon the effective date 
262.13 	of paragraph (d).
262.14 	(d) For counties in which a prepaid medical assistance program is in existence on or 
262.15 	after September 1, 1997, the commissioner must terminate contracts with health plans 
262.16 	according to section 256B.692, subdivision 5, if the county board submits and the 
262.17 	commissioner accepts a preliminary and final proposal according to that subdivision. This 
262.18 	paragraph is effective January 1, 2027, or upon federal approval, whichever is later. The 
262.19 	commissioner of human services shall notify the revisor of statutes when federal approval 
262.20 	is obtained.
262.21 	(d) (e) In the event that a county board or a single entity representing a group of county 
262.22 	boards and the commissioner cannot reach agreement regarding: (i) the selection of 
262.23 	participating health plans in that county; (ii) contract requirements; or (iii) implementation 
262.24 	and enforcement of county requirements including provisions regarding local public health 
262.25 	goals, the commissioner shall resolve all disputes after taking into account the 
262.26 	recommendations of a three-person mediation panel. The panel shall be composed of one 
262.27 	designee of the president of the association of Minnesota counties, one designee of the 
262.28 	commissioner of human services, and one person selected jointly by the designee of the 
262.29 	commissioner of human services and the designee of the Association of Minnesota Counties. 
262.30 	Within a reasonable period of time before the hearing, the panelists must be provided all 
262.31 	documents and information relevant to the mediation. The parties to the mediation must be 
262.32 	given 30 days' notice of a hearing before the mediation panel.
262.33 	(e) (f) If a county which elects to implement county-based purchasing ceases to implement 
262.34 	county-based purchasing, it is prohibited from assuming the responsibility of county-based 
262.35 	purchasing for a period of five years from the date it discontinues purchasing.
263.1 	(f) (g) The commissioner shall not require that contractual disputes between county-based 
263.2 	purchasing entities and the commissioner be mediated by a panel that includes a 
263.3 	representative of the Minnesota Council of Health Plans.
263.4 	(g) (h) At the request of a county-purchasing entity, the commissioner shall adopt a 
263.5 	contract reprocurement or renewal schedule under which all counties included in the entity's 
263.6 	service area are reprocured or renewed at the same time.
263.7 	(h) (i) The commissioner shall provide a written report under section 3.195 to the chairs 
263.8 	of the legislative committees having jurisdiction over human services in the senate and the 
263.9 	house of representatives describing in detail the activities undertaken by the commissioner 
263.10 	to ensure full compliance with this section. The report must also provide an explanation for 
263.11 	any decisions of the commissioner not to accept the recommendations of a county or group 
263.12 	of counties required to be consulted under this section. The report must be provided at least 
263.13 	30 days prior to the effective date of a new or renewed prepaid or managed care contract 
263.14 	in a county.

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

263.16 	Sec. 25. [256B.695] COUNTY-ADMINISTERED RURAL MEDICAL ASSISTANCE 
263.17 	PROGRAM.
263.18 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
263.19 	the meanings given.
263.20 	(b) "CARMA" means the county-administered rural medical assistance program 
263.21 	established under this section.
263.22 	(c) "Commissioner" means the commissioner of human services.
263.23 	(d) "Eligible individual" means an individual who is:
263.24 	(1) residing in a county administering CARMA; and
263.25 	(2) eligible for medical assistance, MinnesotaCare, Minnesota Senior Health Options 
263.26 	(MSHO), Minnesota Senior Care Plus (MSC+), or Special Needs Basic Care (SNBC).
263.27 	(e) "Enrollee" means an individual enrolled in CARMA.
263.28 	(f) "PMAP" means the prepaid medical assistance program under section 256B.69.
263.29 	(g) "Rural county" has the meaning given to "rural area" in Code of Federal Regulations, 
263.30 	title 42, section 438.52.
263.31 		Subd. 2.Program established. CARMA is established to:
264.1 	(1) provide a county-owned and county-administered alternative to PMAP;
264.2 	(2) facilitate integration of health care, public health, and social services to address 
264.3 	health-related social needs in rural communities;
264.4 	(3) account for the fewer enrollees and local providers of health care and community 
264.5 	services in rural communities; and
264.6 	(4) promote accountability for health outcomes, health equity, customer service, 
264.7 	community outreach, and cost of care.
264.8 		Subd. 3.County participation. Each county or group of counties authorized under 
264.9 	section 256B.692 may administer CARMA for any or all eligible individuals as an alternative 
264.10 	to PMAP, MinnesotaCare, MSHO, MSC+, or SNBC programs. Counties choosing and 
264.11 	authorized to administer CARMA are exempt from the procurement process as required 
264.12 	under section 256B.69.
264.13 		Subd. 4.Oversight and regulation. CARMA is governed by sections 256B.69 and 
264.14 	256B.692, unless otherwise provided for under this section. The commissioner must develop 
264.15 	and implement a procurement process requiring applications from county-based purchasing 
264.16 	plans interested in offering CARMA. The procurement process must require county-based 
264.17 	purchasing plans to demonstrate compliance with federal and state regulatory requirements 
264.18 	and the ability to meet the goals of the program set forth in subdivision 2. The commissioner 
264.19 	must review and approve or disapprove applications.
264.20 		Subd. 5.CARMA enrollment. (a) Subject to paragraphs (d) and (e), eligible individuals 
264.21 	must be automatically enrolled in CARMA, but may decline enrollment. Eligible individuals 
264.22 	may enroll in fee-for-service medical assistance. Eligible individuals may change their 
264.23 	CARMA elections on an annual basis.
264.24 	(b) Eligible individuals must be able to enroll in CARMA through the selection process 
264.25 	in accordance with the election period established in section 256B.69, subdivision 4, 
264.26 	paragraph (e).
264.27 	(c) Enrollees who were not previously enrolled in the medical assistance program or 
264.28 	MinnesotaCare can change their selection once within the first year after enrollment in 
264.29 	CARMA. Enrollees who were not previously enrolled in CARMA have 90 days to make a 
264.30 	change and changes are allowed for additional special circumstances.
264.31 	(d) The commissioner may offer a second health plan other than, and in addition to, 
264.32 	CARMA to eligible individuals when another health plan is required by federal law or rule. 
264.33 	The commissioner may offer a replacement plan to eligible individuals, as determined by 
265.1 	the commissioner, when counties administering CARMA have their contract terminated 
265.2 	for cause.
265.3 	(e) The commissioner may, on a county-by-county basis, offer a health plan other than, 
265.4 	and in addition to, CARMA to individuals who are eligible for both Medicare and medical 
265.5 	assistance due to age or disability if the commissioner deems it necessary for enrollees to 
265.6 	have another choice of health plan. Factors the commissioner must consider when 
265.7 	determining if the other health plan is necessary include the number of available Medicare 
265.8 	Advantage Plan options that are not special needs plans in the county, the size of the enrolling 
265.9 	population, the additional administrative burden placed on providers and counties by multiple 
265.10 	health plan options in a county, the need to ensure the viability and success of the CARMA 
265.11 	program, and the impact to the medical assistance program.
265.12 	(f) In counties where the commissioner is required by federal law or elects to offer a 
265.13 	second health plan other than CARMA pursuant to paragraphs (d) and (e), eligible enrollees 
265.14 	who do not select a health plan at the time of enrollment must automatically be enrolled in 
265.15 	CARMA.
265.16 	(g) This subdivision supersedes section 256B.694.
265.17 		Subd. 6.Benefits and services. (a) Counties or groups of counties administering CARMA 
265.18 	must cover all benefits and services required to be covered by medical assistance under 
265.19 	section 256B.0625.
265.20 	(b) Counties or groups of counties administering CARMA may reimburse enrollees 
265.21 	directly for out-of-pocket costs incurred obtaining assessed HRSN services provided by 
265.22 	nontraditional providers who are unable to accept payment via traditional health insurance 
265.23 	methods. Enrollees must not be reimbursed for out-of-pocket costs paid to providers eligible 
265.24 	to enroll.
265.25 		Subd. 7.Payment. (a) The commissioner, in consultation with counties and groups of 
265.26 	counties administering CARMA, must develop a mechanism for making payments to 
265.27 	counties and groups of counties that administer CARMA. The payment mechanism must:
265.28 	(1) be governed by contracts with terms, including but not limited to payment rates, 
265.29 	amended on an as-needed basis;
265.30 	(2) pay a full-risk monthly capitation payment for services included in CARMA, including 
265.31 	the cost for administering CARMA benefits and services;
265.32 	(3) include risk corridors based on minimum loss ratio, total cost of care, or other metrics;
266.1 	(4) include a settle-up process tied to the risk corridor arrangement allowing a county 
266.2 	or group of counties administering CARMA to retain savings for reinvestment in health 
266.3 	care activities and operations to protect against significant losses that a county or group of 
266.4 	counties administering CARMA or the state might realize, beginning no sooner than after 
266.5 	a county's or group of counties' third year of CARMA operations;
266.6 	(5) include a collaborative rate-setting process accounting for CARMA experience, 
266.7 	regional experience, and the Department of Human Services fee-for-service experience; 
266.8 	and
266.9 	(6) be exempt from section 256B.69, subdivisions 5a, paragraphs (c) and (f), and 5d, 
266.10 	and payment for Medicaid services provided under section 256B.69, subdivision 28, 
266.11 	paragraph (b), no sooner than three years after CARMA implementation.
266.12 	(b) Payments for benefits and services under subdivision 6, paragraph (a), must not 
266.13 	exceed payments that otherwise would have been paid to health plans under medical 
266.14 	assistance for that county or region.
266.15 		Subd. 8.Quality measures. (a) The commissioner and counties and groups of counties 
266.16 	administering CARMA must collaborate to establish quality measures for CARMA not to 
266.17 	exceed the extent of quality measures required under sections 256B.69 and 256B.692. The 
266.18 	measures must include:
266.19 	(1) enrollee experience and outcomes;
266.20 	(2) population health;
266.21 	(3) health equity; and
266.22 	(4) the value of health care spending.
266.23 	(b) The commissioner and counties and groups of counties administering CARMA must 
266.24 	collaborate to define a quality improvement model for CARMA. The model must include 
266.25 	a focus on locally specified measures based on counties' unique needs. The locally specified 
266.26 	measures for the county or group of counties administering CARMA must be determined 
266.27 	before the commissioner enters into any contract with a county or group of counties.
266.28 		Subd. 9.Data and systems integration. The commissioner and counties and groups of 
266.29 	counties administering CARMA must collaborate to:
266.30 	(1) identify and address barriers that prevent counties and groups of counties 
266.31 	administering CARMA from reviewing individual enrollee eligibility information to identify 
266.32 	eligibility and to help enrollees apply for other appropriate programs and resources;
267.1 	(2) identify and address barriers preventing counties and groups of counties administering 
267.2 	CARMA from more readily communicating with and educating potential and current 
267.3 	enrollees regarding other program opportunities, including helping enrollees apply for those 
267.4 	programs and navigate transitions between programs;
267.5 	(3) develop and test, in counties participating in CARMA, a universal public assistance 
267.6 	application form to reduce the administrative barriers associated with applying for and 
267.7 	participating in various public programs;
267.8 	(4) identify and address regulatory and system barriers that may prohibit counties and 
267.9 	groups of counties administering CARMA, agencies, and other partners from working 
267.10 	together to identify and address an individual's needs;
267.11 	(5) facilitate greater interoperability between counties and groups of counties 
267.12 	administering CARMA, agencies, and other partners to send and receive the data necessary 
267.13 	to support CARMA, counties, and local health system efforts to improve the health and 
267.14 	welfare of prospective and enrolled populations;
267.15 	(6) support efforts of counties and groups of counties administering CARMA to 
267.16 	incorporate the necessary automation and interoperability to eliminate manual processes 
267.17 	when related to the data exchanged; and
267.18 	(7) support the creation and maintenance by counties and groups of counties administering 
267.19 	CARMA of an updated electronic inventory of community resources available to assist the 
267.20 	enrollee in the enrollee's HRSN, including an electronic closed-loop referral system.

267.21 	EFFECTIVE DATE. This section is effective January 1, 2027, or upon federal approval, 
267.22 	whichever is later. The commissioner of human services shall notify the revisor of statutes 
267.23 	when federal approval is obtained.

267.24 	Sec. 26. Minnesota Statutes 2024, section 256B.76, subdivision 1, is amended to read:
267.25 		Subdivision 1.Physician and professional services reimbursement adjustments.  (a) 
267.26 	Effective for services rendered on or after October 1, 1992, the commissioner shall make 
267.27 	payments for physician services as follows:
267.28 	(1) payment for level one Centers for Medicare and Medicaid Services' common 
267.29 	procedural coding system codes titled "office and other outpatient services," "preventive 
267.30 	medicine new and established patient," "delivery, antepartum, and postpartum care," "critical 
267.31 	care," cesarean delivery and pharmacologic management provided to psychiatric patients, 
267.32 	and level three codes for enhanced services for prenatal high risk, shall be paid at the lower 
267.33 	of (i) submitted charges, or (ii) 25 percent above the rate in effect on June 30, 1992;
268.1 	(2) payments for all other services shall be paid at the lower of (i) submitted charges, 
268.2 	or (ii) 15.4 percent above the rate in effect on June 30, 1992; and
268.3 	(3) all physician rates shall be converted from the 50th percentile of 1982 to the 50th 
268.4 	percentile of 1989, less the percent in aggregate necessary to equal the above increases 
268.5 	except that payment rates for home health agency services shall be the rates in effect on 
268.6 	September 30, 1992.
268.7 	(b) Effective for services rendered on or after January 1, 2000, payment rates for physician 
268.8 	and professional services shall be increased by three percent over the rates in effect on 
268.9 	December 31, 1999, except for home health agency and family planning agency services. 
268.10 	The increases in this paragraph shall be implemented January 1, 2000, for managed care.
268.11 	(c) Effective for services rendered on or after July 1, 2009, payment rates for physician 
268.12 	and professional services shall be reduced by five percent, except that for the period July 
268.13 	1, 2009, through June 30, 2010, payment rates shall be reduced by 6.5 percent for the medical 
268.14 	assistance and general assistance medical care programs, over the rates in effect on June 
268.15 	30, 2009. This reduction and the reductions in paragraph (d) do not apply to office or other 
268.16 	outpatient visits, preventive medicine visits and family planning visits billed by physicians, 
268.17 	advanced practice registered nurses, or physician assistants in a family planning agency or 
268.18 	in one of the following primary care practices: general practice, general internal medicine, 
268.19 	general pediatrics, general geriatrics, and family medicine. This reduction and the reductions 
268.20 	in paragraph (d) do not apply to federally qualified health centers, rural health centers, and 
268.21 	Indian health services. Effective October 1, 2009, payments made to managed care plans 
268.22 	and county-based purchasing plans under sections 256B.69, 256B.692, and 256L.12 shall 
268.23 	reflect the payment reduction described in this paragraph.
268.24 	(d) Effective for services rendered on or after July 1, 2010, payment rates for physician 
268.25 	and professional services shall be reduced an additional seven percent over the five percent 
268.26 	reduction in rates described in paragraph (c). This additional reduction does not apply to 
268.27 	physical therapy services, occupational therapy services, and speech pathology and related 
268.28 	services provided on or after July 1, 2010. This additional reduction does not apply to 
268.29 	physician services billed by a psychiatrist or an advanced practice registered nurse with a 
268.30 	specialty in mental health. Effective October 1, 2010, payments made to managed care plans 
268.31 	and county-based purchasing plans under sections 256B.69, 256B.692, and 256L.12 shall 
268.32 	reflect the payment reduction described in this paragraph.
268.33 	(e) Effective for services rendered on or after September 1, 2011, through June 30, 2013, 
268.34 	payment rates for physician and professional services shall be reduced three percent from 
269.1 	the rates in effect on August 31, 2011. This reduction does not apply to physical therapy 
269.2 	services, occupational therapy services, and speech pathology and related services.
269.3 	(f) Effective for services rendered on or after September 1, 2014, payment rates for 
269.4 	physician and professional services, including physical therapy, occupational therapy, speech 
269.5 	pathology, and mental health services shall be increased by five percent from the rates in 
269.6 	effect on August 31, 2014. In calculating this rate increase, the commissioner shall not 
269.7 	include in the base rate for August 31, 2014, the rate increase provided under section 
269.8 	256B.76, subdivision 7. This increase does not apply to federally qualified health centers, 
269.9 	rural health centers, and Indian health services. Payments made to managed care plans and 
269.10 	county-based purchasing plans shall not be adjusted to reflect payments under this paragraph.
269.11 	(g) Effective for services rendered on or after July 1, 2015, payment rates for physical 
269.12 	therapy, occupational therapy, and speech pathology and related services provided by a 
269.13 	hospital meeting the criteria specified in section 62Q.19, subdivision 1, paragraph (a), clause 
269.14 	(4), shall be increased by 90 percent from the rates in effect on June 30, 2015. Payments 
269.15 	made to managed care plans and county-based purchasing plans shall not be adjusted to 
269.16 	reflect payments under this paragraph.
269.17 	(h) Any ratables effective before July 1, 2015, do not apply to early intensive 
269.18 	developmental and behavioral intervention (EIDBI) benefits described in section 256B.0949.
269.19 	(i) The commissioner may reimburse physicians and other licensed professionals for 
269.20 	costs incurred to pay the fee for testing newborns who are medical assistance enrollees for 
269.21 	heritable and congenital disorders under section 144.125, subdivision 1, paragraph (c), when 
269.22 	the sample is collected outside of an inpatient hospital or freestanding birth center and the 
269.23 	cost is not recognized by another payment source.

269.24 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval 
269.25 	of the amendments in this act to Minnesota Statutes, section 256B.0625, subdivision 54, 
269.26 	whichever is later. The commissioner of human services shall notify the revisor of statutes 
269.27 	when federal approval is obtained.

269.28 	Sec. 27. Minnesota Statutes 2024, section 256B.76, is amended by adding a subdivision 
269.29 	to read:
269.30 		Subd. 1a.Certain long-term ambulatory electrocardiogram monitoring services. (a) 
269.31 	For the purpose of this subdivision, "long-term ambulatory electrocardiogram monitoring 
269.32 	services" means the provision of external cardiac patch monitoring devices to patients to 
269.33 	wear for 48 hours or greater and the interpretation of data gathered by such devices to detect 
270.1 	heart arrhythmias that can lead to stroke, cardiac arrest, or other comorbidities or medical 
270.2 	complications if not correctly diagnosed.
270.3 	(b) Effective January 1, 2026, or upon federal approval, whichever is later, the 
270.4 	commissioner must reimburse diagnostic testing facilities providing long-term ambulatory 
270.5 	electrocardiogram monitoring services at 100 percent of the Medicare Physician Fee Schedule 
270.6 	rate for such services or higher.

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

270.8 	Sec. 28. Minnesota Statutes 2024, section 256B.76, subdivision 6, is amended to read:
270.9 		Subd. 6.Medicare relative value units.  (a) Effective for services rendered on or after 
270.10 	January 1, 2007, the commissioner shall make payments for physician and professional 
270.11 	services based on the Medicare relative value units (RVUs). This change shall be budget 
270.12 	neutral and the cost of implementing RVUs will be incorporated in the established conversion 
270.13 	factor.
270.14 	(b) Notwithstanding any other provision in this chapter modifying rates for the mental 
270.15 	health services reimbursed under this paragraph, effective for services rendered on or after 
270.16 	January 1, 2025 2026, or on or after the date of federal approval, whichever is later, rates 
270.17 	for mental health services reimbursed under the resource-based relative value scale (RBRVS) 
270.18 	must be equal to 83 100 percent of the Medicare Physician Fee Schedule.
270.19 	(c) Effective for services rendered on or after January 1, 2025, the commissioner shall 
270.20 	increase capitation payments made to managed care plans and county-based purchasing 
270.21 	plans to reflect the rate increases provided under this subdivision. Managed care plans and 
270.22 	county-based purchasing plans must use the capitation rate increase provided under this 
270.23 	paragraph to increase payment rates to the providers corresponding to the rate increases. 
270.24 	The commissioner must monitor the effect of this rate increase on enrollee access to services 
270.25 	under this subdivision. If for any contract year federal approval is not received for this 
270.26 	paragraph, the commissioner must adjust the capitation rates paid to managed care plans 
270.27 	and county-based purchasing plans for that contract year to reflect the removal of this 
270.28 	paragraph. Contracts between managed care plans and county-based purchasing plans and 
270.29 	providers to whom this paragraph applies must allow recovery of payments from those 
270.30 	providers if capitation rates are adjusted in accordance with this paragraph. Payment 
270.31 	recoveries must not exceed the amount equal to any increase in rates that results from this 
270.32 	paragraph.

271.1 	EFFECTIVE DATE. This section is effective on the latest of the following: (1) January 
271.2 	1, 2026; (2) federal approval of the medical assistance program changes in this section; or 
271.3 	(3) federal approval of all necessary federal waivers to implement the managed care 
271.4 	organization assessment in Minnesota Statutes, section 295.525. The commissioner of 
271.5 	human services shall notify the revisor of statutes when federal approval is obtained.

271.6 	Sec. 29. Minnesota Statutes 2024, section 256B.761, is amended to read:
271.7 	256B.761 REIMBURSEMENT FOR MENTAL HEALTH SERVICES.
271.8 		Subdivision 1.Rates effective 2026. (a) Effective for services rendered on or after July 
271.9 	1, 2001, payment for medication management provided to psychiatric patients, outpatient 
271.10 	mental health services, day treatment services, home-based mental health services, and 
271.11 	family community support services shall be paid at the lower of (1) submitted charges, or 
271.12 	(2) 75.6 percent of the 50th percentile of 1999 charges.
271.13 	(b) Effective July 1, 2001, the medical assistance rates for outpatient mental health 
271.14 	services provided by an entity that operates: (1) a Medicare-certified comprehensive 
271.15 	outpatient rehabilitation facility; and (2) a facility that was certified prior to January 1, 1993, 
271.16 	with at least 33 percent of the clients receiving rehabilitation services in the most recent 
271.17 	calendar year who are medical assistance recipients, will be increased by 38 percent, when 
271.18 	those services are provided within the comprehensive outpatient rehabilitation facility and 
271.19 	provided to residents of nursing facilities owned by the entity.
271.20 	(c) In addition to rate increases otherwise provided, the commissioner may restructure 
271.21 	coverage policy and rates to improve access to adult rehabilitative mental health services 
271.22 	under section 256B.0623 and related mental health support services under section 256B.021, 
271.23 	subdivision 4, paragraph (f), clause (2). For state fiscal years 2015 and 2016, the projected 
271.24 	state share of increased costs due to this paragraph is transferred from adult mental health 
271.25 	grants under sections 245.4661 and 256K.10. The transfer for fiscal year 2016 is a permanent 
271.26 	base adjustment for subsequent fiscal years. Payments made to managed care plans and 
271.27 	county-based purchasing plans under sections 256B.69, 256B.692, and 256L.12 shall reflect 
271.28 	the rate changes described in this paragraph.
271.29 	(d) Any ratables effective before July 1, 2015, do not apply to early intensive 
271.30 	developmental and behavioral intervention (EIDBI) benefits described in section 256B.0949.
271.31 	(e) Effective for services rendered on or after January 1, 2024, payment rates for 
271.32 	behavioral health services included in the rate analysis required by Laws 2021, First Special 
271.33 	Session chapter 7, article 17, section 18, except for adult day treatment services under section 
272.1 	256B.0671, subdivision 3; early intensive developmental and behavioral intervention services 
272.2 	under section 256B.0949; and substance use disorder services under chapter 254B, must be 
272.3 	increased by three percent from the rates in effect on December 31, 2023. Effective for 
272.4 	services rendered on or after January 1, 2025, payment rates for behavioral health services 
272.5 	included in the rate analysis required by Laws 2021, First Special Session chapter 7, article 
272.6 	17, section 18; early intensive developmental behavioral intervention services under section 
272.7 	256B.0949; and substance use disorder services under chapter 254B, must be annually 
272.8 	adjusted according to the change from the midpoint of the previous rate year to the midpoint 
272.9 	of the rate year for which the rate is being determined using the Centers for Medicare and 
272.10 	Medicaid Services Medicare Economic Index as forecasted in the fourth quarter of the 
272.11 	calendar year before the rate year. For payments made in accordance with this paragraph, 
272.12 	if and to the extent that the commissioner identifies that the state has received federal 
272.13 	financial participation for behavioral health services in excess of the amount allowed under 
272.14 	United States Code, title 42, section 447.321, the state shall repay the excess amount to the 
272.15 	Centers for Medicare and Medicaid Services with state money and maintain the full payment 
272.16 	rate under this paragraph. This paragraph does not apply to federally qualified health centers, 
272.17 	rural health centers, Indian health services, certified community behavioral health clinics, 
272.18 	cost-based rates, and rates that are negotiated with the county. This paragraph expires upon 
272.19 	legislative implementation of the new rate methodology resulting from the rate analysis 
272.20 	required by Laws 2021, First Special Session chapter 7, article 17, section 18.
272.21 	(f) Effective January 1, 2024, the commissioner shall increase capitation payments made 
272.22 	to managed care plans and county-based purchasing plans to reflect the behavioral health 
272.23 	service rate increase provided in paragraph (e). Managed care and county-based purchasing 
272.24 	plans must use the capitation rate increase provided under this paragraph to increase payment 
272.25 	rates to behavioral health services providers. The commissioner must monitor the effect of 
272.26 	this rate increase on enrollee access to behavioral health services. If for any contract year 
272.27 	federal approval is not received for this paragraph, the commissioner must adjust the 
272.28 	capitation rates paid to managed care plans and county-based purchasing plans for that 
272.29 	contract year to reflect the removal of this provision. Contracts between managed care plans 
272.30 	and county-based purchasing plans and providers to whom this paragraph applies must 
272.31 	allow recovery of payments from those providers if capitation rates are adjusted in accordance 
272.32 	with this paragraph. Payment recoveries must not exceed the amount equal to any increase 
272.33 	in rates that results from this provision.
273.1 	(a) Effective for services rendered on or after January 1, 2026, or on or after the date of 
273.2 	federal approval, whichever is later, the commissioner must establish and pay market-based 
273.3 	payment rates for the following services:
273.4 	(1) children's therapeutic services and supports under section 256B.0943;
273.5 	(2) child and family psychoeducation services under section 256B.0671, subdivision 5;
273.6 	(3) clinical care consultation services under section 256B.0671, subdivision 7;
273.7 	(4) mental health certified family peer specialist services under section 256B.0616;
273.8 	(5) adult day treatment services under section 256B.0671, subdivision 3;
273.9 	(6) adult rehabilitative mental health services under section 256B.0623;
273.10 	(7) adult mental health peer support specialist services under section 256B.0615;
273.11 	(8) dialectical behavioral therapy under section 256B.0671, subdivision 6;
273.12 	(9) explanation of findings under section 256B.0671, subdivision 4;
273.13 	(10) mental health crisis response services under section 256B.0624;
273.14 	(11) mental health provider travel time under section 256B.0625, subdivision 43;
273.15 	(12) neuropsychological testing under section 256B.0671, subdivision 9;
273.16 	(13) partial hospitalization services under section 256B.0671, subdivision 12; and
273.17 	(14) psychotherapy services under section 256B.0671, subdivision 11, incorporating 
273.18 	biofeedback.
273.19 	(b) Rates established under paragraph (a) must:
273.20 	(1) be based on the costs of the following factors:
273.21 	(i) direct staff worker wages and benefits;
273.22 	(ii) direct staff worker productivity;
273.23 	(iii) program-related expenses; and
273.24 	(iv) administrative costs; and
273.25 	(2) must not be lower than:
273.26 	(i) the payment rates recommended in the rate analysis required by Laws 2021, First 
273.27 	Special Session chapter 7, article 17, section 18, and published by the Department of Human 
273.28 	Services on January 22, 2024; or
274.1 	(ii) the payment rates in effect on December 31, 2025.
274.2 		Subd. 2.Capitation payments. Managed care and county-based purchasing plans must 
274.3 	reimburse providers at an amount that is at least equal to the fee-for-service rate for services 
274.4 	under this section. The commissioner must monitor the effect of this rate adjustment on 
274.5 	enrollee access to behavioral health services. If for any contract year federal approval is not 
274.6 	received for this subdivision, the commissioner must adjust the capitation rates paid to 
274.7 	managed care plans and county-based purchasing plans for that contract year to reflect the 
274.8 	removal of this provision. Contracts between managed care plans and county-based 
274.9 	purchasing plans and providers to whom this subdivision applies must allow recovery of 
274.10 	payments from those providers if capitation rates are adjusted in accordance with this 
274.11 	subdivision. Payment recoveries must not exceed the amount equal to any increase in rates 
274.12 	that results from this subdivision.
274.13 		Subd. 3.Inflation adjustment. The commissioner must adjust the reimbursement rate 
274.14 	for services under this section annually according to the change from the midpoint of the 
274.15 	previous rate year to the midpoint of the rate year for which the rate is being determined 
274.16 	using the Centers for Medicare and Medicaid Services Medicare Economic Index as 
274.17 	forecasted in the fourth quarter of the calendar year before the rate year.
274.18 		Subd. 4.Exceptions. This section does not apply to federally qualified health centers, 
274.19 	rural health centers, Indian health services, or certified community behavioral health clinics 
274.20 	or to cost-based rates or rates that are negotiated with the county.

274.21 	EFFECTIVE DATE. (a) This section is effective on the latest of the following: (1) 
274.22 	January 1, 2026; (2) federal approval of the medical assistance program changes in this 
274.23 	section; or (3) federal approval of all necessary federal waivers to implement the managed 
274.24 	care organization assessment in Minnesota Statutes, section 295.525. The commissioner 
274.25 	shall notify the revisor of statutes when federal approval is obtained.
274.26 	(b) This section prevails over any other amendment made to Minnesota Statutes, section 
274.27 	256B.761, during the 2025 First Special Session, regardless of order of enactment.

274.28 	Sec. 30. Minnesota Statutes 2024, section 256B.766, is amended to read:
274.29 	256B.766 REIMBURSEMENT FOR BASIC CARE SERVICES.
274.30 		Subdivision 1.Payment reductions for base care services effective July 1, 2009. (a)
274.31 	Effective for services provided on or after July 1, 2009, total payments for basic care services, 
274.32 	shall be reduced by three percent, except that for the period July 1, 2009, through June 30, 
275.1 	2011, total payments shall be reduced by 4.5 percent for the medical assistance and general 
275.2 	assistance medical care programs, prior to third-party liability and spenddown calculation.
275.3 		Subd. 2.Classification of therapies as basic care services. Effective July 1, 2010, The 
275.4 	commissioner shall classify physical therapy services, occupational therapy services, and 
275.5 	speech-language pathology and related services as basic care services. The reduction in this 
275.6 	paragraph subdivision 1 shall apply to physical therapy services, occupational therapy 
275.7 	services, and speech-language pathology and related services provided on or after July 1, 
275.8 	2010.
275.9 		Subd. 3.Payment reductions to managed care plans effective October 1, 2009. (b)
275.10 	Payments made to managed care plans and county-based purchasing plans shall be reduced 
275.11 	for services provided on or after October 1, 2009, to reflect the reduction in subdivision 1 
275.12 	effective July 1, 2009, and payments made to the plans shall be reduced effective October 
275.13 	1, 2010, to reflect the reduction in subdivision 1 effective July 1, 2010.
275.14 		Subd. 4.Temporary payment reductions effective September 1, 2011. (c) (a) Effective 
275.15 	for services provided on or after September 1, 2011, through June 30, 2013, total payments 
275.16 	for outpatient hospital facility fees shall be reduced by five percent from the rates in effect 
275.17 	on August 31, 2011.
275.18 	(d) (b) Effective for services provided on or after September 1, 2011, through June 30, 
275.19 	2013, total payments for ambulatory surgery centers facility fees, medical supplies and 
275.20 	durable medical equipment not subject to a volume purchase contract, prosthetics and 
275.21 	orthotics, renal dialysis services, laboratory services, public health nursing services, physical 
275.22 	therapy services, occupational therapy services, speech therapy services, eyeglasses not 
275.23 	subject to a volume purchase contract, hearing aids not subject to a volume purchase contract, 
275.24 	and anesthesia services shall be reduced by three percent from the rates in effect on August 
275.25 	31, 2011.
275.26 		Subd. 5.Payment increases effective September 1, 2014. (e) (a) Effective for services 
275.27 	provided on or after September 1, 2014, payments for ambulatory surgery centers facility 
275.28 	fees, hospice services, renal dialysis services, laboratory services, public health nursing 
275.29 	services, eyeglasses not subject to a volume purchase contract, and hearing aids not subject 
275.30 	to a volume purchase contract shall be increased by three percent and payments for outpatient 
275.31 	hospital facility fees shall be increased by three percent.
275.32 	(b) Payments made to managed care plans and county-based purchasing plans shall not 
275.33 	be adjusted to reflect payments under this paragraph subdivision.
276.1 		Subd. 6.Temporary payment reductions effective July 1, 2014. (f) Payments for 
276.2 	medical supplies and durable medical equipment not subject to a volume purchase contract, 
276.3 	and prosthetics and orthotics, provided on or after July 1, 2014, through June 30, 2015, shall 
276.4 	be decreased by .33 percent.
276.5 		Subd. 7.Payment increases effective July 1, 2015. (a) Payments for medical supplies 
276.6 	and durable medical equipment not subject to a volume purchase contract, and prosthetics 
276.7 	and orthotics, provided on or after July 1, 2015, shall be increased by three percent from 
276.8 	the rates as determined under paragraphs (i) and (j) subdivisions 9 and 10.
276.9 	(g) (b) Effective for services provided on or after July 1, 2015, payments for outpatient 
276.10 	hospital facility fees, medical supplies and durable medical equipment not subject to a 
276.11 	volume purchase contract, prosthetics, and orthotics to a hospital meeting the criteria specified 
276.12 	in section 62Q.19, subdivision 1, paragraph (a), clause (4), shall be increased by 90 percent 
276.13 	from the rates in effect on June 30, 2015.
276.14 	(c) Payments made to managed care plans and county-based purchasing plans shall not 
276.15 	be adjusted to reflect payments under this paragraph (b).
276.16 		Subd. 8.Exempt services. (h) This section does not apply to physician and professional 
276.17 	services, inpatient hospital services, family planning services, mental health services, dental 
276.18 	services, prescription drugs, medical transportation, federally qualified health centers, rural 
276.19 	health centers, Indian health services, and Medicare cost-sharing.
276.20 		Subd. 9.Individually priced items. (i) (a) Effective for services provided on or after 
276.21 	July 1, 2015, the following categories of medical supplies and durable medical equipment 
276.22 	shall be individually priced items: customized and other specialized tracheostomy tubes 
276.23 	and supplies, electric patient lifts, and durable medical equipment repair and service.
276.24 	(b) This paragraph subdivision does not apply to medical supplies and durable medical 
276.25 	equipment subject to a volume purchase contract, products subject to the preferred diabetic 
276.26 	testing supply program, and items provided to dually eligible recipients when Medicare is 
276.27 	the primary payer for the item.
276.28 	(c) The commissioner shall not apply any medical assistance rate reductions to durable 
276.29 	medical equipment as a result of Medicare competitive bidding.
276.30 		Subd. 10.Rate increases effective July 1, 2015. (j) (a) Effective for services provided 
276.31 	on or after July 1, 2015, medical assistance payment rates for durable medical equipment, 
276.32 	prosthetics, orthotics, or supplies shall be increased as follows:
277.1 	(1) payment rates for durable medical equipment, prosthetics, orthotics, or supplies that 
277.2 	were subject to the Medicare competitive bid that took effect in January of 2009 shall be 
277.3 	increased by 9.5 percent; and
277.4 	(2) payment rates for durable medical equipment, prosthetics, orthotics, or supplies on 
277.5 	the medical assistance fee schedule, whether or not subject to the Medicare competitive bid 
277.6 	that took effect in January of 2009, shall be increased by 2.94 percent, with this increase 
277.7 	being applied after calculation of any increased payment rate under clause (1).
277.8 	This (b) Paragraph (a) does not apply to medical supplies and durable medical equipment 
277.9 	subject to a volume purchase contract, products subject to the preferred diabetic testing 
277.10 	supply program, items provided to dually eligible recipients when Medicare is the primary 
277.11 	payer for the item, and individually priced items identified in paragraph (i) subdivision 9.
277.12 	(c) Payments made to managed care plans and county-based purchasing plans shall not 
277.13 	be adjusted to reflect the rate increases in this paragraph subdivision.
277.14 		Subd. 11.Rates for ventilators. (k) (a) Effective for nonpressure support ventilators 
277.15 	provided on or after January 1, 2016, the rate shall be the lower of the submitted charge or 
277.16 	the Medicare fee schedule rate.
277.17 	(b) Effective for pressure support ventilators provided on or after January 1, 2016, the 
277.18 	rate shall be the lower of the submitted charge or 47 percent above the Medicare fee schedule 
277.19 	rate.
277.20 	(c) For payments made in accordance with this paragraph subdivision, if, and to the 
277.21 	extent that, the commissioner identifies that the state has received federal financial 
277.22 	participation for ventilators in excess of the amount allowed effective January 1, 2018, 
277.23 	under United States Code, title 42, section 1396b(i)(27), the state shall repay the excess 
277.24 	amount to the Centers for Medicare and Medicaid Services with state funds and maintain 
277.25 	the full payment rate under this paragraph subdivision.
277.26 		Subd. 12.Rates subject to the upper payment limit. (l) Payment rates for durable 
277.27 	medical equipment, prosthetics, orthotics or supplies, that are subject to the upper payment 
277.28 	limit in accordance with section 1903(i)(27) of the Social Security Act, shall be paid the 
277.29 	Medicare rate. Rate increases provided in this chapter shall not be applied to the items listed 
277.30 	in this paragraph subdivision.
277.31 		Subd. 13.Temporary rates for enteral nutrition and supplies. (m) For dates of service 
277.32 	on or after July 1, 2023, through June 30, 2025, enteral nutrition and supplies must be paid 
277.33 	according to this paragraph subdivision. If sufficient data exists for a product or supply, 
278.1 	payment must be based upon the 50th percentile of the usual and customary charges per 
278.2 	product code submitted to the commissioner, using only charges submitted per unit. Increases 
278.3 	in rates resulting from the 50th percentile payment method must not exceed 150 percent of 
278.4 	the previous fiscal year's rate per code and product combination. Data are sufficient if: (1) 
278.5 	the commissioner has at least 100 paid claim lines by at least ten different providers for a 
278.6 	given product or supply; or (2) in the absence of the data in clause (1), the commissioner 
278.7 	has at least 20 claim lines by at least five different providers for a product or supply that 
278.8 	does not meet the requirements of clause (1). If sufficient data are not available to calculate 
278.9 	the 50th percentile for enteral products or supplies, the payment rate must be the payment 
278.10 	rate in effect on June 30, 2023.
278.11 		Subd. 14.Rates for enteral nutrition and supplies. (n) For dates of service on or after 
278.12 	July 1, 2025, enteral nutrition and supplies must be paid according to this paragraph
278.13 	subdivision and updated annually each January 1. If sufficient data exists for a product or 
278.14 	supply, payment must be based upon the 50th percentile of the usual and customary charges 
278.15 	per product code submitted to the commissioner for the previous calendar year, using only 
278.16 	charges submitted per unit. Increases in rates resulting from the 50th percentile payment 
278.17 	method must not exceed 150 percent of the previous year's rate per code and product 
278.18 	combination. Data are sufficient if: (1) the commissioner has at least 100 paid claim lines 
278.19 	by at least ten different providers for a given product or supply; or (2) in the absence of the 
278.20 	data in clause (1), the commissioner has at least 20 claim lines by at least five different 
278.21 	providers for a product or supply that does not meet the requirements of clause (1). If 
278.22 	sufficient data are not available to calculate the 50th percentile for enteral products or 
278.23 	supplies, the payment must be the manufacturer's suggested retail price of that product or 
278.24 	supply minus 20 percent. If the manufacturer's suggested retail price is not available, payment 
278.25 	must be the actual acquisition cost of that product or supply plus 20 percent.
278.26 		Subd. 15.Rates for phototherapy services. For dates of service on or after July 1, 
278.27 	2025, the payment rate for phototherapy services provided to newborns in the home setting 
278.28 	must include a service fee in the amount of $520 per patient episode, in addition to the daily 
278.29 	rental rate for the medical equipment in subdivision 12. The commissioner shall provide an 
278.30 	annual inflation adjustment for the phototherapy service fee. The index for the inflation 
278.31 	adjustment must be based on the Consumer Price Index for All Urban Consumers increase 
278.32 	published by the Bureau of Labor Statistics.

279.1 	Sec. 31. Minnesota Statutes 2024, section 256L.03, subdivision 3b, is amended to read:
279.2 		Subd. 3b.Chiropractic services. MinnesotaCare covers the following chiropractic 
279.3 	services for individuals under the age of 21: (1) medically necessary exams,; (2) manual 
279.4 	manipulation of the spine,; and (3) x-rays.

279.5 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval, 
279.6 	whichever is later. The commissioner of human services shall notify the revisor of statutes 
279.7 	when federal approval is obtained.

279.8 	Sec. 32. Minnesota Statutes 2024, section 295.50, subdivision 3, is amended to read:
279.9 		Subd. 3.Gross revenues. (a) "Gross revenues" are total amounts received in money or 
279.10 	otherwise by:
279.11 	(1) a hospital for patient services;
279.12 	(2) a surgical center for patient services;
279.13 	(3) a health care provider, other than a staff model health plan company, for patient 
279.14 	services;
279.15 	(4) a wholesale drug distributor for sale or distribution of legend drugs that are delivered 
279.16 	in Minnesota by the wholesale drug distributor, by common carrier, or by mail, unless the 
279.17 	legend drugs are delivered to another wholesale drug distributor who sells legend drugs 
279.18 	exclusively at wholesale; and
279.19 	(5) a staff model health plan company as gross premiums for enrollees, co-payments, 
279.20 	deductibles, coinsurance, and fees for patient services.
279.21 	(b) For purposes of paragraph (a), clause (4), "gross revenues" includes the amount of 
279.22 	any rebate provided by the wholesale drug distributor to a customer, however provided, 
279.23 	including a rebate provided under a contractual obligation. "Rebate" means any price 
279.24 	concession provided by a wholesale drug distributor, including any price concession based 
279.25 	on the actual or estimated utilization, sale volume, or effectiveness of a legend drug.

279.26 	EFFECTIVE DATE. This section is effective for gross revenues received after June 
279.27 	30, 2025.

279.28 	Sec. 33. [295.525] MANAGED CARE ORGANIZATION ASSESSMENT.
279.29 		Subdivision 1.Definitions. (a) For the purposes of this section, the terms in this 
279.30 	subdivision have the meanings given.
280.1 	(b) "Commissioner" means the commissioner of human services.
280.2 	(c) "Enrollee" has the meaning given in section 62Q.01, except that enrollee does not 
280.3 	include:
280.4 	(1) an individual enrolled in a Medicare plan;
280.5 	(2) a plan-to-plan enrollee; or
280.6 	(3) an individual enrolled in a health plan pursuant to the Federal Employees Health 
280.7 	Benefits Act of 1959, Public Law 86-382, as amended, to the extent the imposition of the 
280.8 	assessment under this section is preempted pursuant to United States Code, title 5, section 
280.9 	8909, subsection (f).
280.10 	(d) "Managed care organization" or "MCO" means:
280.11 	(1) an insurance company licensed under chapter 60A to sell health plans as defined in 
280.12 	section 62A.011;
280.13 	(2) a nonprofit health services plan corporation as defined in section 62C.02, subdivision 
280.14 	6;
280.15 	(3) a health maintenance organization licensed under chapter 62D; or
280.16 	(4) a county-based purchasing plan participating in a public health care program under 
280.17 	chapter 256B or 256L.
280.18 	(e) "Medical assistance" means the medical assistance program established under chapter 
280.19 	256B.
280.20 	(f) "Medical assistance enrollee" means an enrollee in medical assistance or 
280.21 	MinnesotaCare for whom the Department of Human Services directly pays the managed 
280.22 	care organization a capitated payment.
280.23 	(g) "Member months" means the number of months an enrollee is covered by an MCO 
280.24 	in the calendar year immediately preceding the year of the assessment.
280.25 	(h) "MinnesotaCare" means the MinnesotaCare program established under chapter 256L.
280.26 	(i) "Plan-to-plan enrollee" means an individual who receives coverage for health care 
280.27 	services through a health plan pursuant to a subcontract from another health plan.
280.28 		Subd. 2.MCO assessment. (a) An annual assessment is imposed on managed care 
280.29 	organizations for each calendar year beginning in calendar year 2026. The total annual 
280.30 	assessment amount is equal to the sum of the amounts assessed for medical assistance 
280.31 	enrollees under paragraph (b) and for nonmedical assistance enrollees under paragraph (c).
281.1 	(b) The amount assessed for medical assistance enrollees is equal to the sum of the 
281.2 	following:
281.3 	(1) for medical assistance member months 0 to 60,000, $0 per member month;
281.4 	(2) for medical assistance member months 60,001 to 100,000, $340 per member month;
281.5 	(3) for medical assistance member months 100,001 to 200,000, $365 per member month; 
281.6 	and
281.7 	(4) for medical assistance member months 200,001 to 350,000, $380 per member month.
281.8 	(c) The amount assessed for nonmedical assistance enrollees is equal to the sum of the 
281.9 	following:
281.10 	(1) for nonmedical assistance member months 0 to 60,000, $0 per member month;
281.11 	(2) for nonmedical assistance member months 60,001 to 100,000, 50 cents per member 
281.12 	month;
281.13 	(3) for nonmedical assistance member months 100,001 to 200,000, 75 cents per member 
281.14 	month; and
281.15 	(4) for nonmedical assistance member months 200,001 to 350,000, $1 per member 
281.16 	month.
281.17 	(d) The commissioner must annually use the commissioner's authority as necessary to 
281.18 	modify the rate of assessment provided under paragraph (e) such that the annual assessment 
281.19 	imposed under this subdivision does not exceed the forecasted cumulative costs attributable 
281.20 	to the program changes in subdivision 4, paragraph (e), and the appropriation in subdivision 
281.21 	4, paragraph (f).
281.22 	(e) The commissioner must, after consultation with managed care organizations likely 
281.23 	to be affected, modify the rate of assessment, as set forth in paragraphs (a) to (d), as necessary 
281.24 	to:
281.25 	(1) comply with federal law; obtain or maintain a waiver under Code of Federal 
281.26 	Regulations, title 42, section 433.72; ensure the state's aggregated health care-related taxes 
281.27 	on managed care organizations do not exceed 5.75 percent of the net patient revenue 
281.28 	attributable to those services; or otherwise maximize under this section federal financial 
281.29 	participation for medical assistance; and
281.30 	(2) comply with paragraph (d).
282.1 		Subd. 3.Assessment computation; collection. (a) The commissioner must annually 
282.2 	forecast the following for each managed care organization:
282.3 	(1) total member months for the calendar year;
282.4 	(2) total Medicare member months for the calendar year;
282.5 	(3) total medical assistance member months for the calendar year;
282.6 	(4) total plan-to-plan member months for the calendar year;
282.7 	(5) total member months through the Federal Employees Health Benefits Act of 1959, 
282.8 	Public Law 86-382, as amended, for the calendar year; and
282.9 	(6) total other enrollment for the calendar year that is not otherwise counted in clauses 
282.10 	(2) to (5).
282.11 	(b) Managed care organizations must provide any information requested by the 
282.12 	commissioner for the purpose of this subdivision, provided that the commissioner determines 
282.13 	such information is necessary to accurately determine the information in paragraph (a).
282.14 	(c) The commissioner may correct errors in data provided to the commissioner by a 
282.15 	managed care organization to the extent necessary to accurately determine the information 
282.16 	in paragraph (a).
282.17 	(d) For purposes of calculating the information in paragraph (a) for a managed care 
282.18 	organization, the commissioner must count any individual that was an enrollee of a health 
282.19 	plan at any point of the calendar year, regardless of the enrollee's duration as an enrollee of 
282.20 	the health plan.
282.21 	(e) The commissioner must annually use the information in paragraph (a) to compute 
282.22 	the assessment for each managed care organization.
282.23 	(f) The commissioner must collect the annual assessment for each managed care 
282.24 	organization in four equal installments, in the manner determined by the commissioner.
282.25 	(g) Managed care organizations must pay the four installments under paragraph (f) on 
282.26 	the following schedule:
282.27 	(1) the first installment is due by March 31;
282.28 	(2) the second installment is due by July 31;
282.29 	(3) the third installment is due by September 30; and
282.30 	(4) the fourth installment is due by November 30.
283.1 	(h) The commissioner is prohibited from collecting any amount under this section until 
283.2 	20 days after the commissioner has notified the managed care organization of:
283.3 	(1) the effective date of this section; and
283.4 	(2) the annual assessment amount.
283.5 	(i) In the event of a merger, acquisition, or other transaction that results in the transfer 
283.6 	of health plan responsibility to another managed care organization or similar entity, the 
283.7 	surviving, acquiring, or controlling managed care organization or similar entity is responsible 
283.8 	for paying the full assessment amount as provided in this section that would have been the 
283.9 	responsibility of the managed care organization to which that full assessment amount was 
283.10 	assessed upon the effective date of the transaction. If a transaction results in the transfer of 
283.11 	health plan responsibility for only some of a health plan's enrollees under this section but 
283.12 	not all enrollees, the full assessment amount as provided in this section remains the 
283.13 	responsibility of the managed care organization to which that full assessment amount was 
283.14 	assessed.
283.15 	(j) The commissioner is prohibited from collecting any assessment under this subdivision 
283.16 	during any period of time when the assessment is not considered a permissible health 
283.17 	care-related tax under Code of Federal Regulations, title 42, section 433.68, or would result 
283.18 	in a net loss of federal financial participation.
283.19 		Subd. 4.MCO assessment expenditures. (a) All amounts collected by the commissioner 
283.20 	under this section must be deposited in the special revenue fund.
283.21 	(b) The arrangement under this section must be implemented in managed care through 
283.22 	the prospective capitation rate setting process and must follow all federal requirements, 
283.23 	including Code of Federal Regulations, title 42, section 438.5, paragraph (e).
283.24 	(c) The assessment money must be used to supplement money for medical assistance 
283.25 	from the general fund.
283.26 	(d) The commissioner must disclose to all managed care organizations, in a time and 
283.27 	manner determined by the commissioner, the following information:
283.28 	(1) the assessments imposed on each managed care organization pursuant to this section; 
283.29 	and
283.30 	(2) an accounting of all money raised by the MCO assessment.
283.31 	(e) All amounts collected by the commissioner under this section, except for the amount 
283.32 	necessary for the appropriation under paragraph (f), are annually appropriated from the 
284.1 	special revenue fund to the commissioner to provide nonfederal money for medical assistance 
284.2 	and MinnesotaCare program rate changes made in this act related to:
284.3 	(1) behavioral health home services under section 256B.0757;
284.4 	(2) mental health rates reimbursed under the resource-based relative value scale to 100 
284.5 	percent of the Medicare Physician Fee Schedule under section 256B.76, subdivision 6;
284.6 	(3) mental health services under section 256B.761; and
284.7 	(4) mental health services provided by masters-prepared mental health professionals 
284.8 	and physician assistants resulting from the repeal of section 256B.0625, subdivision 38.
284.9 	(f) Reasonable costs for administering the MCO assessment are annually appropriated 
284.10 	from the special revenue fund to the commissioner.
284.11 	(g) A payment rate adjusted under this paragraph may not be lower than the base payment 
284.12 	rate for the service in effect on December 31, 2025.
284.13 	(h) If provider payment rates are adjusted as the result of insufficient revenue from the 
284.14 	MCO assessment relative to the medical assistance and MinnesotaCare program changes 
284.15 	in paragraphs (e), clauses (1) to (4), and (f), as directed in this act, the commissioner must:
284.16 	(1) provide the chairs and ranking minority members of the legislative committees with 
284.17 	jurisdiction over health and human services finance and policy an overview of the changes 
284.18 	and recommended statutory language to codify the adjusted payment rate methodology; 
284.19 	and
284.20 	(2) consult with impacted providers and provide a public comment period of at least 30 
284.21 	days prior to seeking federal approval for rate changes.

284.22 	EFFECTIVE DATE. This section is effective January 1, 2026, or upon federal approval 
284.23 	for the assessment established in this section to be considered a permissible health 
284.24 	care-related tax under Code of Federal Regulations, title 42, section 433.68, eligible for 
284.25 	federal financial participation, including but not limited to federal approval of a waiver 
284.26 	under Code of Federal Regulations, title 42, section 433.72, if such waiver is necessary to 
284.27 	receive health care-related taxes without a reduction in federal financial participation, 
284.28 	whichever is later. The commissioner of human services shall notify the revisor of statutes 
284.29 	when federal approval is obtained.

285.1 	Sec. 34. Laws 2021, First Special Session chapter 7, article 1, section 39, is amended to 
285.2 	read:
285.3 	Sec. 39. CONTINGENT FUNDING RELATED TO DENTAL ADMINISTRATOR.
 285.4 	If managed care and county-based purchasing plans do not meet in the aggregate the 
285.5 	dental access performance benchmark under Minnesota Statutes, section 256B.0371, 
285.6 	subdivision 1, for coverage year 2024, the general fund base for the department of human 
285.7 	services for the 2026-2027 2028-2029 biennium shall include $107,000 in fiscal year 2026
285.8 	2028 and $122,000 in fiscal year 2027 2029 for staffing necessary to contract with a dental 
285.9 	administrator, and $5,000 in fiscal year 2026 2028 and $1,000 in fiscal year 2027 2029 for 
285.10 	systems changes necessary to contract with a dental administrator.

285.11 	Sec. 35. IMPLEMENTATION OF HOSPITAL ASSESSMENT AND DIRECTED 
285.12 	PAYMENT PROGRAM.
 285.13 	(a) The commissioner of human services must immediately begin all necessary claims 
285.14 	analysis to calculate the assessment and payments required under Minnesota Statutes, section 
285.15 	256.9657, subdivision 2b, and the hospital directed payment program described in Minnesota 
285.16 	Statutes, section 256B.1974.
285.17 	(b) The commissioner of human services, in consultation with the Minnesota Hospital 
285.18 	Association, must submit to the Centers for Medicare and Medicaid Services a request for 
285.19 	federal approval to implement the hospital assessment described in Minnesota Statutes, 
285.20 	section 256.9657, subdivision 2b, and the hospital directed payment program under 
285.21 	Minnesota Statutes, section 256B.1974. At least 15 days before submitting the request for 
285.22 	approval, the commissioner must make available to the public the draft assessment 
285.23 	requirements, the draft directed payment details, and an estimate of each assessment amount 
285.24 	for each eligible hospital.
285.25 	(c) During the design and prior to submission of the request for approval under paragraph 
285.26 	(b), the commissioner of human services must consult with the Minnesota Hospital 
285.27 	Association and any eligible hospitals that are not members of the Minnesota Hospital 
285.28 	Association.
285.29 	(d) If federal approval is received for the request under paragraph (b), the commissioner 
285.30 	of human services must provide at least 15 days of public posting and review of the federally 
285.31 	approved terms and conditions for the assessment and the directed payment program prior 
285.32 	to any assessment under Minnesota Statutes, section 256.9657, subdivision 2b, becoming 
285.33 	due from an eligible hospital.

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

286.2 	Sec. 36. DENTAL ACCESS WORKING GROUP.
 286.3 		Subdivision 1.Establishment. (a) The commissioner of human services must establish 
286.4 	a working group as part of the Dental Services Advisory Committee to identify and make 
286.5 	recommendations on the state's goals, priorities, and processes for contracting with a dental 
286.6 	administrator under Minnesota Statutes, section 256B.0371, and to consult with the 
286.7 	commissioner on implementation of the recommendations.
286.8 	(b) The working group expires on January 1, 2028.
286.9 		Subd. 2.Membership. The working group must include members of the Dental Services 
286.10 	Advisory Committee, and must also include additional members as needed to ensure 
286.11 	representation from each of the following:
286.12 	(1) critical access dental providers;
286.13 	(2) dental providers that primarily serve low-income and socioeconomically complex 
286.14 	populations;
286.15 	(3) dental providers that serve private-pay patients as well as medical assistance and 
286.16 	MinnesotaCare enrollees;
286.17 	(4) rural critical access dental providers that do not have clinics in the seven-county 
286.18 	metropolitan area as defined in Minnesota Statutes, section 473.121, subdivision 2;
286.19 	(5) managed care plans; and
286.20 	(6) county-based purchasing plans.
286.21 		Subd. 3.Recommendations. (a) The working group must provide recommendations to 
286.22 	the commissioner on:
286.23 	(1) establishing and implementing a dental payment rate structure for medical assistance 
286.24 	and MinnesotaCare that:
286.25 	(i) is based on the most recent cost data available;
286.26 	(ii) promotes accountability while considering geographic differences in access to and 
286.27 	cost of dental services, critical access dental status, patient characteristics, transportation 
286.28 	needs, and medical and dental benefit coordination;
286.29 	(iii) can be updated regularly; and
287.1 	(iv) is based on the payment rates for dental providers established under Minnesota 
287.2 	Statutes, sections 256B.76 and 256L.11;
287.3 	(2) performance benchmarks that focus on improving oral health for medical assistance 
287.4 	and MinnesotaCare enrollees, including consideration of Dental Quality Alliance and Oral 
287.5 	Health Impact Profile measures for broader assessment of a full range of services, and the 
287.6 	feasibility, cost, and value of providing the services;
287.7 	(3) methods for measuring progress toward the performance benchmarks and holding 
287.8 	the dental administrator accountable for progress, including providing rewards for progress;
287.9 	(4) establishing goals and processes to ensure coordination of care among medical 
287.10 	assistance and MinnesotaCare providers, including dental, medical, and other care providers, 
287.11 	particularly for patients with complex cases engaged in active treatment plans at the time 
287.12 	of transition to the dental administrator under Minnesota Statutes, section 256B.0371;
287.13 	(5) developing and implementing an infrastructure and workforce development strategy 
287.14 	that invests in the medical assistance and MinnesotaCare dental system through grants and 
287.15 	loans at a level that enables continued development of dental capacity commensurate with 
287.16 	that obtained through the managed care delivery system and from philanthropic sources; 
287.17 	and
287.18 	(6) developing and implementing a workforce development strategy to support the 
287.19 	pipeline of dental providers and oral health practitioners at all levels.
287.20 	(b) By February 1, 2026, the working group must provide the recommendations required 
287.21 	under paragraph (a), clause (1), to the commissioner. By September 1, 2026, the working 
287.22 	group must provide all other recommendations required under this subdivision to the 
287.23 	commissioner.
287.24 		Subd. 4.Reporting requirements. By March 1, 2027, the commissioner, in consultation 
287.25 	with the commissioner's contracted dental administrator, must develop an implementation 
287.26 	plan and timeline to effectuate the recommendations from the working group under this 
287.27 	section and must submit a report with the recommendations, plan, timeline, and any draft 
287.28 	legislation required to implement the plan to the chairs and ranking minority members of 
287.29 	the legislative committees with jurisdiction over health and human services policy and 
287.30 	finance.

287.31 	Sec. 37. REQUEST FOR FEDERAL WAIVER.
 287.32 	The commissioner of human services must seek all federal waivers and authority 
287.33 	necessary to implement the county-assisted rural medical assistance (CARMA) program 
288.1 	under Minnesota Statutes, section 256B.695. The commissioner of human services shall 
288.2 	notify the revisor of statutes when federal approval is obtained.

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

288.4 	Sec. 38. COUNTY-ADMINISTERED RURAL MEDICAL ASSISTANCE PROGRAM 
288.5 	IMPLEMENTATION COSTS.
 288.6 	Up to $500,000 of the nonfederal share of the costs to the Department of Human Services 
288.7 	for implementation of the requirements under the county-assisted rural medical assistance 
288.8 	(CARMA) program under Minnesota Statutes, section 256B.695, must be paid via an 
288.9 	intergovernmental funds transfer to the commissioner of human services by each county or 
288.10 	group of counties authorized under Minnesota Statutes, section 256B.692, seeking to 
288.11 	administer a CARMA program. The costs must be paid in a manner that is in compliance 
288.12 	with the requirements of Code of Federal Regulations, title 42, section 433.51. Within one 
288.13 	year of receiving payment under this section, the commissioner must provide a settle-up 
288.14 	process for any county or group of counties authorized under Minnesota Statutes, section 
288.15 	256B.692, administering a CARMA program and making payment under this section to 
288.16 	document and adjust payments owed to account for the commissioner's actual implementation 
288.17 	costs for Minnesota Statutes, section 256B.695.

288.18 	Sec. 39. MEDICAL ASSISTANCE COVERAGE OF TRADITIONAL HEALTH 
288.19 	CARE PRACTICES.
 288.20 		Subdivision 1.Waiver request. By October 1, 2025, the commissioner of human services, 
288.21 	in consultation with Tribes, Tribal organizations, and urban Indian organizations, shall apply 
288.22 	to the Centers for Medicare and Medicaid Services for a waiver to allow the state's medical 
288.23 	assistance program to provide coverage for traditional health care practices received through 
288.24 	Indian health service facilities, facilities operated by Tribes or Tribal organizations under 
288.25 	the Indian Self-Determination and Education Assistance Act, or facilities operated by urban 
288.26 	Indian organizations under Title V of the Indian Health Care Improvement Act.
288.27 		Subd. 2.Requirements. (a) A qualified provider must determine whether a medical 
288.28 	assistance enrollee is eligible to receive traditional health care practices under this section.
288.29 	(b) Traditional health care practices are covered under this section if they are received 
288.30 	from a qualified provider.
288.31 	(c) For purposes of this section, "qualified provider" means a practitioner or provider 
288.32 	who is employed by or under contract with the Indian Health Service, a 638 Tribal clinic, 
289.1 	or a Title V urban Indian organization. Each facility is responsible for ensuring that a 
289.2 	qualified provider has the necessary experience and appropriate training to provide traditional 
289.3 	health care practices.
289.4 		Subd. 3.Payments for traditional health care practices. Reimbursement for traditional 
289.5 	health care practices under this section is set at the outpatient, per-visit rate established by 
289.6 	the Indian Health Service under sections 321(a) and 322(b) of the Public Health Service 
289.7 	Act. Reimbursement is limited to one payment per day, per medical assistance enrollee 
289.8 	receiving traditional health care practices.

289.9 	EFFECTIVE DATE. This section is effective January 1, 2027, or upon federal approval, 
289.10 	whichever is later, except that subdivision 1 is effective the day following final enactment. 
289.11 	The commissioner of human services shall notify the revisor of statutes when federal approval 
289.12 	is obtained.

289.13 	Sec. 40. DIRECTION TO COMMISSIONER OF HUMAN SERVICES; ENHANCED 
289.14 	FEDERAL REIMBURSEMENT FOR FAMILY PLANNING SERVICES IN 
289.15 	MEDICAL ASSISTANCE.
 289.16 	The commissioner of human services must make the systems modification necessary to 
289.17 	claim enhanced federal reimbursement for all family planning services under the medical 
289.18 	assistance program.

289.19 	Sec. 41. BUDGET NEUTRALITY; RATE ADJUSTMENTS.
 289.20 	(a) By October 1 of each year, the commissioner of human services must determine the 
289.21 	difference between the forecasted costs to the medical assistance and MinnesotaCare 
289.22 	programs attributable to the program changes in Minnesota Statutes, section 295.525, 
289.23 	subdivision 4, paragraph (e), and the revenue from the MCO assessment imposed under 
289.24 	Minnesota Statutes, section 295.525, subdivision 2, including federal financial participation.
289.25 	(b) For each fiscal year, the commissioner of human services must certify the difference 
289.26 	between the forecasted costs to the medical assistance and MinnesotaCare programs 
289.27 	determined under paragraph (a) and report the difference in costs to the commissioner of 
289.28 	management and budget at least four weeks prior to a forecast under Minnesota Statutes, 
289.29 	section 16A.103.
289.30 	(c) If for any fiscal year, the cumulative forecasted costs attributable to the program 
289.31 	changes in Minnesota Statutes, section 295.525, subdivision 4, paragraphs (e) and (f), exceed 
289.32 	anticipated revenue from the MCO assessment imposed under Minnesota Statutes, section 
290.1 	295.525, subdivision 2, as determined under paragraph (a), the commissioner of human 
290.2 	services must reduce the costs to the medical assistance and MinnesotaCare programs 
290.3 	attributable to the program changes in Minnesota Statutes, section 295.525, subdivision 4, 
290.4 	paragraph (e). The commissioner's reduction under this paragraph must be on a uniform 
290.5 	percentage basis across the rate increases provided in Minnesota Statutes, section 295.525, 
290.6 	subdivision 4, paragraph (e).
290.7 	(d) If federal approval is rescinded after the commissioner received federal approval for 
290.8 	the assessment established in Minnesota Statutes, section 295.525, subdivision 2, to be 
290.9 	considered a permissible health care-related tax under Code of Federal Regulations, title 
290.10 	42, section 433.68, eligible for federal financial participation, including but not limited to 
290.11 	federal approval of a waiver under Code of Federal Regulations, title 42, section 433.72, 
290.12 	the commissioner must cease to collect the assessment; cease any adjustment to capitation 
290.13 	payments to managed care plans under Minnesota Statutes, section 256B.761, subdivisions 
290.14 	2 and 3; and remove the costs to the medical assistance and MinnesotaCare programs 
290.15 	attributable to the program changes in Minnesota Statutes, section 295.525, subdivision 4, 
290.16 	paragraph (e), as soon as the commissioner is able to implement the changes.

290.17 	Sec. 42. FEDERAL APPROVAL; WAIVERS.
 290.18 	(a) The commissioner must request federal approval for the managed care organization 
290.19 	assessment on managed care organizations established in this act to be considered a 
290.20 	permissible health care-related tax under Code of Federal Regulations, title 42, section 
290.21 	433.68, eligible for federal financial participation.
290.22 	(b) To obtain federal approval under paragraph (a), the commissioner may apply for a 
290.23 	waiver of the federal broad-based requirement for health care-related taxes, uniform 
290.24 	requirement for health care-related taxes, and any other provision of federal law necessary 
290.25 	to implement Minnesota Statutes, section 295.525.

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

290.27 	Sec. 43. REPEALER.
 290.28 	(a) Laws 2023, chapter 70, article 16, section 22, is repealed.
290.29 	(b) Minnesota Statutes 2024, section 256B.0625, subdivisions 18b, 18e, and 18h, are 
290.30 	repealed.
290.31 	(c) Minnesota Statutes 2024, section 256B.0625, subdivision 38, is repealed.

291.1 	EFFECTIVE DATE. Paragraph (b) is effective July 1, 2026, for medical assistance 
291.2 	fee-for-service and January 1, 2027, for prepaid medical assistance. Paragraph (c) is effective 
291.3 	on the latest of the following: (1) January 1, 2026; (2) federal approval of the medical 
291.4 	assistance program changes in this section; (3) federal approval of the amendments in this 
291.5 	act to Minnesota Statutes, section 256B.76, subdivision 6; (4) federal approval of the 
291.6 	amendments in this act to Minnesota Statutes, section 256B.761; or (5) federal approval of 
291.7 	all necessary federal waivers to implement the managed care organization assessment in 
291.8 	Minnesota Statutes, section 295.525. The commissioner of human services shall notify the 
291.9 	revisor of statutes when federal approval is obtained.

291.10 	ARTICLE 9
291.11 	ECONOMIC SUPPORTS

291.12 	Section 1. Minnesota Statutes 2024, section 142A.03, is amended by adding a subdivision 
291.13 	to read:
291.14 		Subd. 35.Electronic benefits transfer; contracting and procurement. Notwithstanding 
291.15 	chapter 16C, the commissioner is exempt from the contract term limits for the issuance of 
291.16 	public benefits through an electronic benefit transfer system and related services. These 
291.17 	contracts may have up to an initial five-year term with extensions not to exceed a ten-year 
291.18 	total contract duration.

291.19 	Sec. 2. Minnesota Statutes 2024, section 142F.14, is amended to read:
291.20 	142F.14  FOOD SHELF.
291.21 		Subdivision 1.Distribution of appropriation. The commissioner must distribute funds 
291.22 	appropriated to the commissioner by law for that purpose for purposes of this section to 
291.23 	Hunger Solutions The Food Group, a statewide association of food shelves organized as a 
291.24 	nonprofit corporation as defined under section 501(c)(3) of the Internal Revenue Code of 
291.25 	1986, to distribute to qualifying food shelves. A food shelf qualifies under this section if:
291.26 	(1) it is a nonprofit corporation, or is affiliated with a nonprofit corporation, as defined 
291.27 	in section 501(c)(3) of the Internal Revenue Code of 1986 or a federally recognized Tribal 
291.28 	nation;
291.29 	(2) it distributes standard food orders without charge to needy individuals. The standard 
291.30 	food order must consist of at least a two-day supply or six pounds per person of nutritionally 
291.31 	balanced food items;
292.1 	(3) it does not limit food distributions to individuals of a particular religious affiliation, 
292.2 	race, or other criteria unrelated to need or to requirements necessary to administration of a 
292.3 	fair and orderly distribution system;
292.4 	(4) it does not use the money received or the food distribution program to foster or 
292.5 	advance religious or political views; and
292.6 	(5) it has a stable address and directly serves individuals.
292.7 		Subd. 2.Application. In order to receive money appropriated under this section, Hunger 
292.8 	Solutions The Food Group must apply to the commissioner. The application must be in a 
292.9 	form prescribed by the commissioner and must indicate the proportion of money each 
292.10 	qualifying food shelf shall receive. Applications must be filed at the times and for the periods 
292.11 	determined by the commissioner.
292.12 		Subd. 3.Distribution formula. Hunger Solutions The Food Group must distribute 
292.13 	money distributed to it by the department to food shelf programs in proportion to the number 
292.14 	of individuals served by each food shelf program. The commissioner must gather data from 
292.15 	Hunger Solutions The Food Group or other appropriate sources to determine the proportionate 
292.16 	amount each qualifying food shelf program is entitled to receive. The commissioner may 
292.17 	increase or decrease the qualifying food shelf program's proportionate amount if the 
292.18 	commissioner determines the increase or decrease is necessary or appropriate to meet 
292.19 	changing needs or demands.
292.20 		Subd. 4.Use of money. At least 96 percent of the money distributed to Hunger Solutions
292.21 	The Food Group under this section must be distributed to food shelf programs to purchase, 
292.22 	transport, and coordinate the distribution of nutritious food to needy individuals and families. 
292.23 	The money distributed to food shelf programs may also be used to purchase personal hygiene 
292.24 	products, including but not limited to diapers and toilet paper. No more than four percent 
292.25 	of the money may be expended for other expenses, such as rent, salaries, and other 
292.26 	administrative expenses of Hunger Solutions The Food Group.
292.27 		Subd. 5.Enforcement. Hunger Solutions The Food Group must retain records 
292.28 	documenting expenditure of the money and comply with any additional requirements 
292.29 	imposed by the commissioner. The commissioner may require Hunger Solutions The Food 
292.30 	Group to report on its use of the funds. The commissioner may require that the report contain 
292.31 	an independent audit. If ineligible expenditures are made by Hunger Solutions The Food 
292.32 	Group, the ineligible amount must be repaid to the commissioner and deposited in the 
292.33 	general fund.
293.1 		Subd. 6.Administrative expenses. All funds appropriated under this section must be 
293.2 	distributed to Hunger Solutions The Food Group as provided under this section with 
293.3 	deduction by the commissioner for administrative expenses limited to 1.8 percent.
293.4 		Subd. 7.Data classification. Data collected on individuals from which the identity of 
293.5 	any individual receiving services may be determined are private data on individuals as 
293.6 	defined in section 13.02.

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

293.8 	Sec. 3. PREPARED MEALS FOOD RELIEF GRANTS.
 293.9 		Subdivision 1.Establishment. The commissioner of children, youth, and families must 
293.10 	establish a prepared meals grant program to provide hunger relief to Minnesotans 
293.11 	experiencing food insecurity and who have difficulty preparing meals due to limited mobility, 
293.12 	disability, or limited resources.
293.13 		Subd. 2.Eligible grantees. (a) Eligible grantees are nonprofit organizations or Minnesota 
293.14 	Tribal governments, as defined in Minnesota Statutes, section 10.65, with a demonstrated 
293.15 	history of providing and distributing prepared meals that are customized for the population 
293.16 	that the organization or Tribal government serves, including tailoring meals to cultural, 
293.17 	religious, and dietary needs.
293.18 	(b) An individual or nonprofit organization affiliated with Feeding Our Future is 
293.19 	prohibited from receiving grant funds under this section.
293.20 		Subd. 3.Application. Eligible grantees applying for grant money under this section 
293.21 	must apply to the commissioner on the forms and in the time and manner established by 
293.22 	the commissioner.
293.23 		Subd. 4.Allowable uses of grant funds. (a) Eligible grantees must use grant money 
293.24 	awarded under this section to fund a prepared meals program that primarily targets individuals 
293.25 	18 years of age or older and under 61 years of age, and their dependents experiencing food 
293.26 	insecurity. Grantees must not receive funding from other state and federal meal programs 
293.27 	for activities funded under this section.
293.28 	(b) Grantees must prepare meals in a licensed commercial kitchen and distribute meals 
293.29 	according to ServSafe guidelines.
293.30 		Subd. 5.Duties of the commissioner. (a) The commissioner must develop a process 
293.31 	for determining eligible grantees under this section.
293.32 	(b) In granting money, the commissioner must prioritize applicants that:
294.1 	(1) have demonstrated the ability to provide prepared meals to racially, ethnically, and 
294.2 	geographically diverse populations who are at greater risk for food insecurity;
294.3 	(2) work with external community partners to distribute meals targeting nontraditional 
294.4 	meal sites to reach those most in need; and
294.5 	(3) have a demonstrated history of sourcing at least 50 percent of the prepared meal 
294.6 	ingredients from:
294.7 	(i) Minnesota food producers and processors; or
294.8 	(ii) food that is donated or would otherwise be waste.
294.9 	(c) The commissioner must consider geographic distribution to ensure statewide coverage 
294.10 	when awarding grants and must minimize the number of grantees to simplify administrative 
294.11 	burdens and costs.
294.12 		Subd. 6.Reporting. (a) Grantees receiving money under this section must retain records 
294.13 	documenting expenditure of the money and comply with any additional documentation 
294.14 	requirements imposed by the commissioner.
294.15 	(b) Grantees must report on the use of money received under this section to the 
294.16 	commissioner. The commissioner must determine the timing and form required for the 
294.17 	reports.
294.18 		Subd. 7.Ineligible expenditures. If the commissioner determines that ineligible 
294.19 	expenditures are made by a grantee under this section, the ineligible amount must be repaid 
294.20 	by the grantee to the commissioner and deposited in the general fund.

294.21 	Sec. 4. REGIONAL FOOD BANK GRANTS.
 294.22 		Subdivision 1.Establishment. The commissioner of children, youth, and families must 
294.23 	establish regional food bank grants to increase the availability of food to individuals and 
294.24 	families in need.
294.25 		Subd. 2.Distribution of appropriation. The commissioner must distribute funds 
294.26 	appropriated under this section to regional food banks and Minnesota Tribal governments, 
294.27 	as defined in Minnesota Statutes, section 10.65. The commissioner must distribute the funds 
294.28 	under this section in accordance with the federal The Emergency Food Assistance Program 
294.29 	(TEFAP) formula and the guidelines of the United States Department of Agriculture. The 
294.30 	commissioner may increase or decrease a qualifying recipient's proportionate amount if the 
294.31 	commissioner determines the increase or decrease is necessary to meet community needs 
294.32 	or demands for food in Minnesota. Food banks and Minnesota Tribal governments  must be 
295.1 	in compliance with TEFAP regulations from the United States Department of Agriculture 
295.2 	in order to receive funding under this section, as applicable.
295.3 		Subd. 3.Allowable uses of funds. (a) Grant funds distributed to regional food banks 
295.4 	under this section must be used to purchase, transport, and coordinate the distribution of 
295.5 	food to TEFAP providers.
295.6 	(b) Grant funds distributed to Minnesota Tribal governments under this section must be 
295.7 	used to purchase, transport, and coordinate the distribution of food to individuals and families 
295.8 	in need.
295.9 	(c) Grant funds distributed under this section may also be used to purchase personal 
295.10 	hygiene products, including but not limited to diapers and toilet paper.
295.11 	(d) Grant funds must cover the handling and delivery fees typically paid by food shelves 
295.12 	to food banks to ensure that costs associated with funding under this section are not incurred 
295.13 	at the local level.
295.14 	(e) Grant money distributed under this section must not be used for food bank 
295.15 	administrative costs.
295.16 		Subd. 4.Reporting. (a) Food banks and Minnesota Tribal governments receiving grant 
295.17 	funds under this section must retain records documenting expenditures of the grant funds 
295.18 	and comply with any additional documentation requirements imposed by the commissioner.
295.19 	(b) Food banks and Minnesota Tribal governments must report on the use of grant funds 
295.20 	received under this section to the commissioner. The commissioner must determine the 
295.21 	timing and form required for the reports.
295.22 		Subd. 5.Ineligible expenditures. If the commissioner determines that ineligible 
295.23 	expenditures were made by a food bank or Minnesota Tribal government under this section, 
295.24 	the ineligible amount must be repaid by the food bank or Tribal government to the 
295.25 	commissioner and deposited in the general fund.

295.26 	ARTICLE 10
295.27 	CHILD PROTECTION AND WELFARE POLICY

295.28 	Section 1. Minnesota Statutes 2024, section 142B.01, subdivision 15, is amended to read:
295.29 		Subd. 15.Individual who is related. "Individual who is related" means a spouse, a 
295.30 	parent, a birth or adopted child or stepchild, a stepparent, a stepbrother, a stepsister, a niece, 
295.31 	a nephew, an adoptive parent, a grandparent, a sibling, an aunt, an uncle, or a legal guardian.
295.32 	For purposes of family child foster care, individual who is related also includes an individual 
296.1 	who, prior to the child's placement in the individual's home for foster care or adoption, is 
296.2 	an important friend of the child or of the child's parent or custodian. Important friend means 
296.3 	an individual with whom the child has previously resided or had significant contact or who 
296.4 	has a significant relationship to the child or the child's parent or custodian.

296.5 	Sec. 2. Minnesota Statutes 2024, section 142B.05, subdivision 3, is amended to read:
296.6 		Subd. 3.Foster care by an individual who is related to a child; license required. (a) 
296.7 	Notwithstanding subdivision 2, paragraph (a), clause (1), in order to provide foster care for 
296.8 	a child, an individual who is related to the child, other than a parent, or legal guardian, must 
296.9 	be licensed by the commissioner except as provided by section 142B.06.
296.10 	(b) If an individual who is related to a child is seeking licensure to provide foster care 
296.11 	for the child and the individual has a domestic partner but is not married to the domestic 
296.12 	partner, only the individual related to the child must be licensed to provide foster care. The 
296.13 	commissioner must conduct background studies on household members according to section 
296.14 	245C.03, subdivision 1.

296.15 	Sec. 3. Minnesota Statutes 2024, section 142B.47, is amended to read:
296.16 	142B.47 TRAINING ON RISK OF SUDDEN UNEXPECTED INFANT DEATH 
296.17 	AND ABUSIVE HEAD TRAUMA FOR CHILD FOSTER CARE PROVIDERS.
296.18 	(a) Licensed child foster care providers, except individuals related to the child who only 
296.19 	care for a relative child, that care for infants or children through five years of age must 
296.20 	document that before caregivers assist in the care of infants or children through five years 
296.21 	of age, they the caregivers are instructed on the standards in section 142B.46 and receive 
296.22 	training on reducing the risk of sudden unexpected infant death and abusive head trauma 
296.23 	from shaking infants and young children. Licensed child foster care providers who are 
296.24 	related to the child, and who only care for a relative child, must document completion of 
296.25 	the training required under this section within 30 days after licensure. This section does not 
296.26 	apply to emergency relative placement under section 142B.06. The training on reducing 
296.27 	the risk of sudden unexpected infant death and abusive head trauma may be provided as:
296.28 	(1) orientation training to child foster care providers who care for infants or children 
296.29 	through five years of age under Minnesota Rules, part 2960.3070, subpart 1; or
296.30 	(2) in-service training to child foster care providers who care for infants or children 
296.31 	through five years of age under Minnesota Rules, part 2960.3070, subpart 2.
297.1 	(b) Training required under this section must be at least one hour in length and must be 
297.2 	completed at least once every five years. At a minimum, the training must address the risk 
297.3 	factors related to sudden unexpected infant death and abusive head trauma, means of reducing 
297.4 	the risk of sudden unexpected infant death and abusive head trauma, and license holder 
297.5 	communication with parents regarding reducing the risk of sudden unexpected infant death 
297.6 	and abusive head trauma.
297.7 	(c) Training for child foster care providers must be approved by the county or private 
297.8 	licensing agency that is responsible for monitoring the child foster care provider under 
297.9 	section 142B.30. The approved training fulfills, in part, training required under Minnesota 
297.10 	Rules, part 2960.3070.

297.11 	EFFECTIVE DATE. This section is effective January 1, 2026.

297.12 	Sec. 4. Minnesota Statutes 2024, section 142B.51, subdivision 2, is amended to read:
297.13 		Subd. 2.Child passenger restraint systems; training requirement. (a) Programs 
297.14 	licensed by the Department of Human Services under chapter 245A or the Department of 
297.15 	Children, Youth, and Families under this chapter and Minnesota Rules, chapter 2960, that 
297.16 	serve a child or children under eight years of age must document training that fulfills the 
297.17 	requirements in this subdivision.
297.18 	(b) Before a license holder, staff person, or caregiver transports a child or children under 
297.19 	age eight in a motor vehicle, the person transporting the child must satisfactorily complete 
297.20 	training on the proper use and installation of child restraint systems in motor vehicles. 
297.21 	Training completed under this section may be used to meet initial or ongoing training under 
297.22 	Minnesota Rules, part 2960.3070, subparts 1 and 2.
297.23 	(c) Training required under this section must be completed at orientation or initial training 
297.24 	and repeated at least once every five years. At a minimum, the training must address the 
297.25 	proper use of child restraint systems based on the child's size, weight, and age, and the 
297.26 	proper installation of a car seat or booster seat in the motor vehicle used by the license 
297.27 	holder to transport the child or children.
297.28 	(d) Training under paragraph (c) must be provided by individuals who are certified and 
297.29 	approved by the Office of Traffic Safety within the Department of Public Safety. License 
297.30 	holders may obtain a list of certified and approved trainers through the Department of Public 
297.31 	Safety website or by contacting the agency.
297.32 	(e) Notwithstanding paragraph (a), for an emergency relative placement under section 
297.33 	142B.06, the commissioner may grant a variance to the training required by this subdivision 
298.1 	for a relative who completes a child seat safety check up. The child seat safety check up 
298.2 	trainer must be approved by the Department of Public Safety, Office of Traffic Safety, and 
298.3 	must provide one-on-one instruction on placing a child of a specific age in the exact child 
298.4 	passenger restraint in the motor vehicle in which the child will be transported. Once granted 
298.5 	a variance, and if all other licensing requirements are met, the relative applicant may receive 
298.6 	a license and may transport a relative foster child younger than eight years of age. A child 
298.7 	seat safety check up must be completed each time a child requires a different size car seat 
298.8 	according to car seat and vehicle manufacturer guidelines. A relative license holder must 
298.9 	complete training that meets the other requirements of this subdivision prior to placement 
298.10 	of another foster child younger than eight years of age in the home or prior to the renewal 
298.11 	of the child foster care license.
298.12 	(f) Notwithstanding paragraph (b), a child foster care license holder who is an individual 
298.13 	related to the child and who only serves a relative child must document completion of the 
298.14 	training required under this section within 30 days after licensure.

298.15 	EFFECTIVE DATE. This section is effective January 1, 2026.

298.16 	Sec. 5. Minnesota Statutes 2024, section 142B.80, is amended to read:
298.17 	142B.80 CHILD FOSTER CARE TRAINING REQUIREMENT; MENTAL 
298.18 	HEALTH TRAINING; FETAL ALCOHOL SPECTRUM DISORDERS TRAINING.
298.19 	Prior to a nonemergency placement of a child in a foster care home, the child foster care 
298.20 	license holder and caregivers in foster family and treatment foster care settings must complete 
298.21 	two hours of training that addresses the causes, symptoms, and key warning signs of mental 
298.22 	health disorders; cultural considerations; and effective approaches for dealing with a child's 
298.23 	behaviors. At least one hour of the annual training requirement for the foster family license 
298.24 	holder and caregivers must be on children's mental health issues and treatment. Except for 
298.25 	providers and services under chapter 245D and child foster care license holders who are 
298.26 	individuals related to the child and who only serve a relative child who does not have fetal 
298.27 	alcohol spectrum disorder, the annual training must also include at least one hour of training 
298.28 	on fetal alcohol spectrum disorders, which must be counted toward the 12 hours of required 
298.29 	in-service training per year. Short-term substitute caregivers are exempt from these 
298.30 	requirements. Training curriculum shall be approved by the commissioner of children, 
298.31 	youth, and families.

298.32 	EFFECTIVE DATE. This section is effective January 1, 2026.

299.1 	Sec. 6. [142B.81] CHILD FOSTER CARE TRAINING; RELATIVE CAREGIVERS.
299.2 	Notwithstanding the required hours under Minnesota Rules, part 2960.3070, subpart 2, 
299.3 	a child foster care license holder who is an individual related to the child must complete a 
299.4 	minimum of six hours of in-service training per year in one or more of the areas in Minnesota 
299.5 	Rules, part 2960.3070, subpart 2, or in other areas as agreed upon by the licensing agency 
299.6 	and the foster parent. The relative child foster care license holder must consult with the 
299.7 	licensing agency and complete training in areas that are most applicable to caring for the 
299.8 	relative children in foster care in the home. This section does not apply to a child foster care 
299.9 	license holder who is licensed to care for both a relative child and a nonrelative child.

299.10 	EFFECTIVE DATE. This section is effective January 1, 2026.

299.11 	Sec. 7. Minnesota Statutes 2024, section 245C.02, is amended by adding a subdivision to 
299.12 	read:
299.13 		Subd. 16b.Relative. "Relative" has the meaning given in section 260C.007, subdivision 
299.14 	27. For purposes of background studies affiliated with child foster care licensure, a person 
299.15 	is a relative if the person was known to the child or the child's parent before the child is 
299.16 	placed in foster care.

299.17 	Sec. 8. Minnesota Statutes 2024, section 256.045, subdivision 7, is amended to read:
299.18 		Subd. 7.Judicial review. (a) Except for a prepaid health plan, any party who is aggrieved 
299.19 	by an order of the commissioner of human services; the commissioner of health; or the 
299.20 	commissioner of children, youth, and families in appeals within the commissioner's 
299.21 	jurisdiction under subdivision 3b; or the Direct Care and Treatment executive board in 
299.22 	appeals within the jurisdiction of the executive board under subdivision 5a may appeal the 
299.23 	order to the in district court of.
299.24 	(b) A party appealing under this subdivision must file:
299.25 	(1) in the county responsible for furnishing assistance,; or, in
299.26 	(2) for appeals under subdivision 3b,:
299.27 	(i) in the county where the maltreatment occurred, by serving; or
299.28 	(ii) if the maltreatment occurred in another state or country, in the county where the 
299.29 	maltreatment was determined.
299.30 	(c) A party appealing under this subdivision must (1) serve a written copy of a notice 
299.31 	of appeal upon the applicable commissioner or executive board and any adverse party of 
300.1 	record within 30 days after the date the commissioner or executive board issued the order, 
300.2 	the amended order, or order affirming the original order, and by filing (2) file the original 
300.3 	notice and proof of service with the court administrator of the district court. Service may 
300.4 	be made personally or by mail; service by mail is complete upon mailing; no filing fee shall 
300.5 	be required by the court administrator in appeals taken pursuant to this subdivision, with 
300.6 	the exception of appeals taken under subdivision 3b.
300.7 	(d) The applicable commissioner or executive board may elect to become a party to the 
300.8 	proceedings in the district court.
300.9 	(e) Except for appeals under subdivision 3b, any party may demand that the commissioner 
300.10 	or executive board furnish all parties to the proceedings with a copy of the decision, and a 
300.11 	transcript of any testimony, evidence, or other supporting papers from the hearing held 
300.12 	before the human services judge, by serving a written demand upon the applicable 
300.13 	commissioner or executive board within 30 days after service of the notice of appeal.
300.14 	(f) Any party aggrieved by the failure of an adverse party to obey an order issued by the 
300.15 	commissioner or executive board under subdivision 5 or 5a may compel performance 
300.16 	according to the order in the manner prescribed in sections 586.01 to 586.12.

300.17 	Sec. 9. Minnesota Statutes 2024, section 260.65, is amended to read:
300.18 	260.65 NONCUSTODIAL PARENTS; RELATIVE PLACEMENT.
300.19 	(a) Prior to the removal of an African American or a disproportionately represented child 
300.20 	from the child's home, the responsible social services agency must make active efforts to 
300.21 	identify and locate the child's noncustodial or nonadjudicated parent and the child's relatives 
300.22 	to notify the child's parent and relatives that the child is or will be placed in foster care, and 
300.23 	provide the child's parent and relatives with a list of legal resources. The notice to the child's 
300.24 	noncustodial or nonadjudicated parent and relatives must also include the information 
300.25 	required under section 260C.221, subdivision 2, paragraph (b). The responsible social 
300.26 	services agency must maintain detailed records of the agency's efforts to notify parents and 
300.27 	relatives under this section.
300.28 	(b) Notwithstanding the provisions of section 260C.219, the responsible social services 
300.29 	agency must assess an African American or a disproportionately represented child's 
300.30 	noncustodial or nonadjudicated parent's ability to care for the child before placing the child 
300.31 	in foster care. If a child's noncustodial or nonadjudicated parent is willing and able to provide 
300.32 	daily care for the African American or disproportionately represented child temporarily or 
300.33 	permanently, the court shall order that the child be placed in into the home of the noncustodial 
301.1 	or nonadjudicated parent pursuant to section 260C.178 or 260C.201, subdivision 1. The 
301.2 	responsible social services agency must make active efforts to assist a noncustodial or 
301.3 	nonadjudicated parent with remedying any issues that may prevent the child from being 
301.4 	placed with the ordered into the home of a noncustodial or nonadjudicated parent.
301.5 	(c) The relative search, notice, engagement, and placement consideration requirements 
301.6 	under section 260C.221 apply under this act.

301.7 	Sec. 10. Minnesota Statutes 2024, section 260.66, subdivision 1, is amended to read:
301.8 		Subdivision 1.Emergency removal or placement permitted. Nothing in this section 
301.9 	shall be construed to prevent the emergency removal of an African American or a 
301.10 	disproportionately represented child's parent or custodian child or the emergency placement 
301.11 	of the child in a foster setting in order to prevent imminent physical damage or harm to the 
301.12 	child.

301.13 	Sec. 11. Minnesota Statutes 2024, section 260.691, subdivision 1, is amended to read:
301.14 		Subdivision 1.Establishment and duties. (a) The African American Child and Family 
301.15 	Well-Being Advisory Council is established for the Department of Children, Youth, and 
301.16 	Families.
301.17 	(b) The council shall consist of 31 members appointed by the commissioner and must 
301.18 	include representatives with lived personal or professional experience within African 
301.19 	American communities. Members may include but are not limited to youth who have exited 
301.20 	the child welfare system; parents; legal custodians; relative and kinship caregivers or foster 
301.21 	care providers; community service providers, advocates, and members; county and private 
301.22 	social services agency case managers; representatives from faith-based institutions; academic 
301.23 	professionals; a representative from the Council for Minnesotans of African Heritage; the 
301.24 	Ombudsperson for African American Families; and other individuals with experience and 
301.25 	knowledge of African American communities. Council members must be selected through 
301.26 	an open appointments process under section 15.0597. The terms, compensation, and removal 
301.27 	of council members are governed by section 15.059.
301.28 	(c) The African American Child Well-Being Advisory council must:
301.29 	(1) review annual reports related to African American children involved in the child 
301.30 	welfare system. These reports may include but are not limited to the maltreatment, 
301.31 	out-of-home placement, and permanency of African American children;
302.1 	(2) assist with and make recommendations to the commissioner for developing strategies 
302.2 	to reduce maltreatment determinations, prevent unnecessary out-of-home placement, promote 
302.3 	culturally appropriate foster care and shelter or facility placement decisions and settings for 
302.4 	African American children in need of out-of-home placement, ensure timely achievement 
302.5 	of permanency, and improve child welfare outcomes for African American children and 
302.6 	their families;
302.7 	(3) review summary reports on targeted case reviews prepared by the commissioner to 
302.8 	ensure that responsible social services agencies meet the needs of African American children 
302.9 	and their families. Based on data collected from those reviews, the council shall assist the 
302.10 	commissioner with developing strategies needed to improve any identified child welfare 
302.11 	outcomes, including but not limited to maltreatment, out-of-home placement, and permanency 
302.12 	for African American children;
302.13 	(4) assist the Cultural and Ethnic Communities Leadership Council with making make
302.14 	recommendations to the commissioner and the legislature for public policy and statutory 
302.15 	changes that specifically consider the needs of African American children and their families 
302.16 	involved in the child welfare system;
302.17 	(5) advise the commissioner on stakeholder engagement strategies and actions that the 
302.18 	commissioner and responsible social services agencies may take to improve child welfare 
302.19 	outcomes for African American children and their families;
302.20 	(6) assist the commissioner with developing strategies for public messaging and 
302.21 	communication related to racial disproportionality and disparities in child welfare outcomes 
302.22 	for African American children and their families;
302.23 	(7) assist the commissioner with identifying and developing internal and external 
302.24 	partnerships to support adequate access to services and resources for African American 
302.25 	children and their families, including but not limited to housing assistance, employment 
302.26 	assistance, food and nutrition support, health care, child care assistance, and educational 
302.27 	support and training; and
302.28 	(8) assist the commissioner with developing strategies to promote the development of 
302.29 	a culturally diverse and representative child welfare workforce in Minnesota that includes 
302.30 	professionals who are reflective of the community served and who have been directly 
302.31 	impacted by lived experiences within the child welfare system. The council must also assist 
302.32 	the commissioner with exploring strategies and partnerships to address education and training 
302.33 	needs, hiring, recruitment, retention, and professional advancement practices.

303.1 	Sec. 12. Minnesota Statutes 2024, section 260.692, is amended to read:
303.2 	260.692 AFRICAN AMERICAN CHILD AND FAMILY WELL-BEING UNIT.
303.3 		Subdivision 1.Duties. The African American Child and Family Well-Being Unit, 
303.4 	currently established by the commissioner, must:
303.5 	(1) assist with the development of African American cultural competency training and 
303.6 	review child welfare curriculum in the Minnesota Child Welfare Training Academy to 
303.7 	ensure that responsible social services agency staff and other child welfare professionals 
303.8 	are appropriately prepared to engage with African American children and their families and 
303.9 	to support family preservation and reunification;
303.10 	(2) provide technical assistance, including on-site technical assistance, and case 
303.11 	consultation to responsible social services agencies to assist agencies with implementing 
303.12 	and complying with the Minnesota African American Family Preservation and Child Welfare 
303.13 	Disproportionality Act;
303.14 	(3) monitor individual county and statewide disaggregated and nondisaggregated data 
303.15 	to identify trends and patterns in child welfare outcomes, including but not limited to 
303.16 	reporting, maltreatment, out-of-home placement, and permanency of African American 
303.17 	children and develop strategies to address disproportionality and disparities in the child 
303.18 	welfare system;
303.19 	(4) develop and implement a system for conducting case reviews when the commissioner 
303.20 	receives reports of noncompliance with the Minnesota African American Family Preservation 
303.21 	and Child Welfare Disproportionality Act or when requested by the parent or custodian of 
303.22 	an African American child. Case reviews may include but are not limited to a review of 
303.23 	placement prevention efforts, safety planning, case planning and service provision by the 
303.24 	responsible social services agency, relative placement consideration, and permanency 
303.25 	planning;
303.26 	(5) establish and administer a request for proposals process for African American and 
303.27 	disproportionately represented family preservation grants under section 260.693, monitor 
303.28 	grant activities, and provide technical assistance to grantees;
303.29 	(6) in coordination with the African American Child and Family Well-Being Advisory 
303.30 	Council, coordinate services and create internal and external partnerships to support adequate 
303.31 	access to services and resources for African American children and their families, including 
303.32 	but not limited to housing assistance, employment assistance, food and nutrition support, 
303.33 	health care, child care assistance, and educational support and training; and
304.1 	(7) develop public messaging and communication to inform the public about racial 
304.2 	disparities in child welfare outcomes, current efforts and strategies to reduce racial disparities, 
304.3 	and resources available to African American children and their families involved in the 
304.4 	child welfare system.
304.5 		Subd. 2.Case reviews. (a) The African American Child and Family Well-Being Unit 
304.6 	must conduct systemic case reviews to monitor targeted child welfare outcomes, including 
304.7 	but not limited to maltreatment, out-of-home placement, and permanency of African 
304.8 	American children.
304.9 	(b) The reviews under this subdivision must be conducted using a random sampling of 
304.10 	representative child welfare cases stratified for certain case related factors, including but 
304.11 	not limited to case type, maltreatment type, if the case involves out-of-home placement, 
304.12 	and other demographic variables. In conducting the reviews, unit staff may use court records 
304.13 	and documents, information from the social services information system, and other available 
304.14 	case file information to complete the case reviews.
304.15 	(c) The frequency of the reviews and the number of cases, child welfare outcomes, and 
304.16 	selected counties reviewed shall be determined by the unit in consultation with the African 
304.17 	American Child and Family Well-Being Advisory Council, with consideration given to the 
304.18 	availability of unit resources needed to conduct the reviews.
304.19 	(d) The unit must monitor all case reviews and use the collective case review information 
304.20 	and data to generate summary case review reports, ensure compliance with the Minnesota 
304.21 	African American Family Preservation and Child Welfare Disproportionality Act, and 
304.22 	identify trends or patterns in child welfare outcomes for African American children.
304.23 	(e) The unit must review information from members of the public received through the 
304.24 	compliance and feedback portal, including policy and practice concerns related to individual 
304.25 	child welfare cases. After assessing a case concern, the unit may determine if further 
304.26 	necessary action should be taken, which may include coordinating case remediation with 
304.27 	other relevant child welfare agencies in accordance with data privacy laws, including the 
304.28 	African American Child and Family Well-Being Advisory Council, and offering case 
304.29 	consultation and technical assistance to the responsible local social services agency as 
304.30 	needed or requested by the agency.
304.31 		Subd. 3.Reports. (a) The African American Child and Family Well-Being Unit must 
304.32 	provide regular updates on unit activities, including summary reports of case reviews, to 
304.33 	the African American Child and Family Well-Being Advisory Council, and must publish 
304.34 	an annual census of African American children in out-of-home placements statewide. The 
305.1 	annual census must include data on the types of placements, age and sex of the children, 
305.2 	how long the children have been in out-of-home placements, and other relevant demographic 
305.3 	information.
305.4 	(b) The African American Child and Family Well-Being Unit shall gather summary data 
305.5 	about the practice and policy inquiries and individual case concerns received through the 
305.6 	compliance and feedback portal under subdivision 2, paragraph (e). The unit shall provide 
305.7 	regular reports of the nonidentifying compliance and feedback portal summary data to the 
305.8 	African American Child and Family Well-Being Advisory Council to identify child welfare 
305.9 	trends and patterns to assist with developing policy and practice recommendations to support 
305.10 	eliminating disparity and disproportionality for African American children.

305.11 	Sec. 13. Minnesota Statutes 2024, section 260C.001, subdivision 2, is amended to read:
305.12 		Subd. 2.Juvenile protection proceedings. (a) The paramount consideration in all 
305.13 	juvenile protection proceedings is the health, safety, and best interests of the child. In 
305.14 	proceedings involving an American Indian child, as defined in section 260.755, subdivision 
305.15 	8, the best interests of the child must be determined consistent with sections 260.751 to 
305.16 	260.835 and the Indian Child Welfare Act, United States Code, title 25, sections 1901 to 
305.17 	1923.
305.18 	(b) The purpose of the laws relating to juvenile protection proceedings is:
305.19 	(1) to secure for each child under the jurisdiction of the court, the care and guidance, 
305.20 	preferably in the child's own home, as will best serve the spiritual, emotional, mental, and 
305.21 	physical welfare of the child;
305.22 	(2) to provide judicial procedures that protect the welfare of the child;
305.23 	(3) to preserve and strengthen the child's family ties whenever possible and in the child's 
305.24 	best interests, removing the child from the custody of parents only when the child's welfare 
305.25 	or safety cannot be adequately safeguarded without removal;
305.26 	(4) to ensure that when removal from the child's own family is necessary and in the 
305.27 	child's best interests, the responsible social services agency has legal responsibility for the 
305.28 	child removal either:
305.29 	(i) pursuant to a voluntary placement agreement between the child's parent or guardian 
305.30 	or the child, when the child is over age 18, and the responsible social services agency; or
305.31 	(ii) by court order pursuant to section 260C.151, subdivision 6; 260C.178; 260C.201; 
305.32 	260C.325; or 260C.515;
306.1 	(5) to ensure that, when placement is pursuant to court order, the court order removing 
306.2 	the child or continuing the child in foster care contains an individualized determination that 
306.3 	placement is in the best interests of the child that coincides with the actual removal of the 
306.4 	child;
306.5 	(6) to ensure that when the child is removed, the child's care and discipline is, as nearly 
306.6 	as possible, equivalent to that which should have been given by the parents and is either in:
306.7 	(i) the home of a noncustodial parent pursuant to section 260C.178 or 260C.201, 
306.8 	subdivision 1, paragraph (a), clause (1);
306.9 	(ii) the home of a relative pursuant to emergency placement by the responsible social 
306.10 	services agency under chapter 245A; or
306.11 	(iii) foster care licensed under chapter 245A; and
306.12 	(7) to ensure appropriate permanency planning for children in foster care including:
306.13 	(i) unless reunification is not required under section 260.012, developing a permanency 
306.14 	plan for the child that includes a primary plan for reunification with the child's parent or 
306.15 	guardian and a secondary plan for an alternative, legally permanent home for the child in 
306.16 	the event reunification cannot be achieved in a timely manner;
306.17 	(ii) identifying, locating, and assessing both parents of the child as soon as possible and 
306.18 	offering reunification services to both parents of the child as required under sections 260.012
306.19 	and 260C.219;
306.20 	(iii) inquiring about the child's heritage, including the child's Tribal lineage pursuant to 
306.21 	section 260.761, and the child's race, culture, and ethnicity pursuant to section 260.63, 
306.22 	subdivision 10;
306.23 	(iii) (iv) identifying, locating, and notifying relatives of both parents of the child according 
306.24 	to section 260C.221;
306.25 	(iv) (v) making a placement with a family that will commit to being the legally permanent 
306.26 	home for the child in the event reunification cannot occur at the earliest possible time while 
306.27 	at the same time actively supporting the reunification plan; and
306.28 	(v) (vi) returning the child home with supports and services, as soon as return is safe for 
306.29 	the child, or when safe return cannot be timely achieved, moving to finalize another legally 
306.30 	permanent home for the child.

307.1 	Sec. 14. Minnesota Statutes 2024, section 260C.007, subdivision 19, is amended to read:
307.2 		Subd. 19.Habitual truant. "Habitual truant" means a child under the age of 17 who is 
307.3 	at least 12 years old and less than 18 years old who is absent from attendance at school 
307.4 	without lawful excuse for seven school days per school year if the child is in elementary 
307.5 	school or for one or more class periods on seven school days per school year if the child is 
307.6 	in middle school, junior high school, or high school or a child who is 17 years of age who 
307.7 	is absent from attendance at school without lawful excuse for one or more class periods on 
307.8 	seven school days per school year and who has not lawfully withdrawn from school under 
307.9 	section 120A.22, subdivision 8. Pursuant to section 260C.163, subdivision 11, habitual 
307.10 	truant also means a child under age 12 who has been absent from school for seven school 
307.11 	days without lawful excuse, based on a showing by clear and convincing evidence that the 
307.12 	child's absence is not due to the failure of the child's parent, guardian, or custodian to comply 
307.13 	with compulsory instruction laws.

307.14 	Sec. 15. Minnesota Statutes 2024, section 260C.141, subdivision 1, is amended to read:
307.15 		Subdivision 1.Who may file; required form. (a) Any reputable person, including but 
307.16 	not limited to any agent of the commissioner of children, youth, and families, having 
307.17 	knowledge of a child in this state or of a child who is a resident of this state, who appears 
307.18 	to be in need of protection or services or neglected and in foster care, may petition the 
307.19 	juvenile court in the manner provided in this section.
307.20 	(b) A petition for a child in need of protection filed by an individual who is not a county 
307.21 	attorney or an agent of the commissioner of children, youth, and families shall be filed on 
307.22 	a form developed by the state court administrator and provided to court administrators. 
307.23 	Copies of the form may be obtained from the court administrator in each county. The court 
307.24 	administrator shall review the petition before it is filed to determine that it is completed. 
307.25 	The court administrator may reject the petition if it does not indicate that the petitioner has 
307.26 	contacted the responsible social services agency.
307.27 	An individual may file a petition under this subdivision without seeking internal review 
307.28 	of the responsible social services agency's decision. The court shall determine whether there 
307.29 	is probable cause to believe that a need for protection or services exists before the matter 
307.30 	is set for hearing. If the matter is set for hearing, the court administrator shall notify the 
307.31 	responsible social services agency by sending notice to the county attorney.
307.32 	The petition must contain:
308.1 	(1) a statement of facts that would establish, if proven, that there is a need for protection 
308.2 	or services for the child named in the petition;
308.3 	(2) a statement that petitioner has reported the circumstances underlying the petition to 
308.4 	the responsible social services agency, and protection or services were not provided to the 
308.5 	child;
308.6 	(3) a statement whether there are existing juvenile or family court custody orders or 
308.7 	pending proceedings in juvenile or family court concerning the child; and
308.8 	(4) a statement of the relationship of the petitioner to the child and any other parties.; 
308.9 	and
308.10 	(5) a statement whether the petitioner has inquired of the parent or parents of the child, 
308.11 	the child, and relatives about the child's heritage, including the child's Tribal lineage pursuant 
308.12 	to section 260.761 and the child's race, culture, and ethnicity pursuant to section 260.63, 
308.13 	subdivision 10.
308.14 	The court may not allow a petition to proceed under this paragraph if it appears that the 
308.15 	sole purpose of the petition is to modify custody between the parents.

308.16 	Sec. 16. Minnesota Statutes 2024, section 260C.150, subdivision 3, is amended to read:
308.17 		Subd. 3.Identifying parents of child; diligent efforts; data. (a) The responsible social 
308.18 	services agency shall make diligent efforts to inquire about the child's heritage, including 
308.19 	the child's Tribal lineage pursuant to section 260.761 and the child's race, culture, and 
308.20 	ethnicity pursuant to section 260.63, subdivision 10, and to identify and locate both parents 
308.21 	of any child who is the subject of proceedings under this chapter. Diligent efforts include:
308.22 	(1) asking the custodial or known parent to identify any nonresident parent of the child 
308.23 	and provide information that can be used to verify the nonresident parent's identity including 
308.24 	the dates and locations of marriages and divorces; dates and locations of any legal 
308.25 	proceedings regarding paternity; date and place of the child's birth; nonresident parent's full 
308.26 	legal name; nonresident parent's date of birth, or if the nonresident parent's date of birth is 
308.27 	unknown, an approximate age; the nonresident parent's Social Security number; the 
308.28 	nonresident parent's whereabouts including last known whereabouts; and the whereabouts 
308.29 	of relatives of the nonresident parent. For purposes of this subdivision, "nonresident parent" 
308.30 	means a parent who does not reside in the same household as the child or did not reside in 
308.31 	the same household as the child at the time the child was removed when the child is in foster 
308.32 	care;
309.1 	(2) obtaining information that will identify and locate the nonresident parent from the 
309.2 	county and state of Minnesota child support enforcement information system;
309.3 	(3) requesting a search of the Minnesota Fathers' Adoption Registry 30 days after the 
309.4 	child's birth; and
309.5 	(4) using any other reasonable means to identify and locate the nonresident parent.
309.6 	(b) The agency may disclose data which is otherwise private under section 13.46 or 
309.7 	chapter 260E in order to carry out its duties under this subdivision.
309.8 	(c) Upon the filing of a petition alleging the child to be in need of protection or services, 
309.9 	the responsible social services agency may contact a putative father who registered with 
309.10 	the Minnesota Fathers' Adoption Registry more than 30 days after the child's birth. The 
309.11 	social service agency may consider a putative father for the day-to-day care of the child 
309.12 	under section 260C.219 if the putative father cooperates with genetic testing and there is a 
309.13 	positive test result under section 257.62, subdivision 5. Nothing in this paragraph:
309.14 	(1) relieves a putative father who registered with the Minnesota Fathers' Adoption 
309.15 	Registry more than 30 days after the child's birth of the duty to cooperate with paternity 
309.16 	establishment proceedings under section 260C.219;
309.17 	(2) gives a putative father who registered with the Minnesota Fathers' Adoption Registry 
309.18 	more than 30 days after the child's birth the right to notice under section 260C.151 unless 
309.19 	the putative father is entitled to notice under sections 259.24 and 259.49, subdivision 1, 
309.20 	paragraph (a) or (b), clauses (1) to (7); or
309.21 	(3) establishes a right to assert an interest in the child in a termination of parental rights 
309.22 	proceeding contrary to section 259.52, subdivision 6, unless the putative father is entitled 
309.23 	to notice under sections 259.24 and 259.49, subdivision 1, paragraph (a) or (b), clauses (1) 
309.24 	to (7).

309.25 	Sec. 17. Minnesota Statutes 2024, section 260C.178, subdivision 1, as amended by Laws 
309.26 	2025, chapter 20, section 218, is amended to read:
309.27 		Subdivision 1.Hearing and release requirements. (a) If a child was taken into custody 
309.28 	under section 260C.175, subdivision 1, clause (1) or (2), item (ii), the court shall hold a 
309.29 	hearing within 72 hours of the time that the child was taken into custody, excluding 
309.30 	Saturdays, Sundays, and holidays, to determine whether the child should continue to be in 
309.31 	custody.
310.1 	(b) Unless there is reason to believe that the child would endanger self or others or not 
310.2 	return for a court hearing, or that the child's health or welfare would be immediately 
310.3 	endangered, the child shall be released to the custody of a parent, guardian, custodian, or 
310.4 	other suitable person, subject to reasonable conditions of release including, but not limited 
310.5 	to, a requirement that the child undergo a chemical use assessment as provided in section 
310.6 	260C.157, subdivision 1.
310.7 	(c) If the court determines that there is reason to believe that the child would endanger 
310.8 	self or others or not return for a court hearing, or that the child's health or welfare would be 
310.9 	immediately endangered if returned to the care of the parent or guardian who has custody 
310.10 	and from whom the child was removed, the court shall order the child:
310.11 	(1) into the care of the child's noncustodial parent and order the noncustodial parent to 
310.12 	comply with any conditions that the court determines appropriate to ensure the safety and 
310.13 	care of the child, including requiring the noncustodial parent to cooperate with paternity 
310.14 	establishment proceedings if the noncustodial parent has not been adjudicated the child's 
310.15 	father; or
310.16 	(2) into foster care as defined in section 260C.007, subdivision 18, under the legal 
310.17 	responsibility of the responsible social services agency or responsible probation or corrections 
310.18 	agency for the purposes of protective care as that term is used in the juvenile court rules. 
310.19 	The court shall not give the responsible social services legal custody and order a trial home 
310.20 	visit at any time prior to adjudication and disposition under section 260C.201, subdivision 
310.21 	1, paragraph (a), clause (3), but may order the child returned to the care of the parent or 
310.22 	guardian who has custody and from whom the child was removed and order the parent or 
310.23 	guardian to comply with any conditions the court determines to be appropriate to meet the 
310.24 	safety, health, and welfare of the child.
310.25 	(d) In determining whether the child's health or welfare would be immediately 
310.26 	endangered, the court shall consider whether the child would reside with a perpetrator of 
310.27 	domestic child abuse.
310.28 	(e) The court, before determining whether a child should be placed in or continue in 
310.29 	foster care under the protective care of the responsible agency, shall also make a 
310.30 	determination, consistent with section 260.012 as to whether reasonable efforts were made 
310.31 	to prevent placement or whether reasonable efforts to prevent placement are not required. 
310.32 	In the case of an Indian child, the court shall determine whether active efforts, according 
310.33 	to section 260.762 and the Indian Child Welfare Act of 1978, United States Code, title 25, 
310.34 	section 1912(d), were made to prevent placement. The court shall enter a finding that the 
311.1 	responsible social services agency has made reasonable efforts to prevent placement when 
311.2 	the agency establishes either:
311.3 	(1) that the agency has actually provided services or made efforts in an attempt to prevent 
311.4 	the child's removal but that such services or efforts have not proven sufficient to permit the 
311.5 	child to safely remain in the home; or
311.6 	(2) that there are no services or other efforts that could be made at the time of the hearing 
311.7 	that could safely permit the child to remain home or to return home. The court shall not 
311.8 	make a reasonable efforts determination under this clause unless the court is satisfied that 
311.9 	the agency has sufficiently demonstrated to the court that there were no services or other 
311.10 	efforts that the agency was able to provide at the time of the hearing enabling the child to 
311.11 	safely remain home or to safely return home. When reasonable efforts to prevent placement 
311.12 	are required and there are services or other efforts that could be ordered that would permit 
311.13 	the child to safely return home, the court shall order the child returned to the care of the 
311.14 	parent or guardian and the services or efforts put in place to ensure the child's safety. When 
311.15 	the court makes a prima facie determination that one of the circumstances under paragraph 
311.16 	(h) exists, the court shall determine that reasonable efforts to prevent placement and to 
311.17 	return the child to the care of the parent or guardian are not required.
311.18 	(f) If the court finds the social services agency's preventive or reunification efforts have 
311.19 	not been reasonable but further preventive or reunification efforts could not permit the child 
311.20 	to safely remain at home, the court may nevertheless authorize or continue the removal of 
311.21 	the child.
311.22 	(g) The court may not order or continue the foster care placement of the child unless the 
311.23 	court makes explicit, individualized findings that continued custody of the child by the 
311.24 	parent or guardian would be contrary to the welfare of the child and that placement is in the 
311.25 	best interest of the child.
311.26 	(h) At the emergency removal hearing, or at any time during the course of the proceeding, 
311.27 	and upon notice and request of the county attorney, the court shall determine whether a 
311.28 	petition has been filed stating a prima facie case that:
311.29 	(1) the parent has subjected a child to egregious harm as defined in section 260C.007, 
311.30 	subdivision 14;
311.31 	(2) the parental rights of the parent to another child have been involuntarily terminated;
311.32 	(3) the child is an abandoned infant under section 260C.301, subdivision 2, paragraph 
311.33 	(a), clause (2);
312.1 	(4) the parents' custodial rights to another child have been involuntarily transferred to a 
312.2 	relative under a juvenile protection proceeding or a similar process of another jurisdiction;
312.3 	(5) the parent has committed sexual abuse as defined in section 260E.03, against the 
312.4 	child or another child of the parent;
312.5 	(6) the parent has committed an offense that requires registration as a predatory offender 
312.6 	under section 243.166, subdivision 1b, paragraph (a) or (b); or
312.7 	(7) the provision of services or further services for the purpose of reunification is futile 
312.8 	and therefore unreasonable.
312.9 	(i) When a petition to terminate parental rights is required under section 260C.301, 
312.10 	subdivision 4, or 260C.503, subdivision 2, but the county attorney has determined not to 
312.11 	proceed with a termination of parental rights petition, and has instead filed a petition to 
312.12 	transfer permanent legal and physical custody to a relative under section 260C.507, the 
312.13 	court shall schedule a permanency hearing within 30 days of the filing of the petition.
312.14 	(j) If the county attorney has filed a petition under section 260C.307, the court shall 
312.15 	schedule a trial under section 260C.163 within 90 days of the filing of the petition except 
312.16 	when the county attorney determines that the criminal case shall proceed to trial first under 
312.17 	section 260C.503, subdivision 2, paragraph (c).
312.18 	(k) If the court determines the child should be ordered into foster care and, the court 
312.19 	shall inquire about the child's heritage, including the child's Tribal lineage pursuant to section 
312.20 	260.761; the child's race, culture, and ethnicity pursuant to section 260.63, subdivision 10; 
312.21 	and the responsible social services agency's initial relative search efforts. If the child's parent 
312.22 	refuses to give information to the responsible social services agency regarding the child's 
312.23 	father or relatives of the child, the court may order the parent to disclose the names, addresses, 
312.24 	telephone numbers, and other identifying information to the responsible social services 
312.25 	agency for the purpose of complying with sections 260C.150, 260C.151, 260C.212, 
312.26 	260C.215, 260C.219, and 260C.221.
312.27 	(l) If a child ordered into foster care has siblings, whether full, half, or step, who are 
312.28 	also ordered into foster care, the court shall inquire of the responsible social services agency 
312.29 	of the efforts to place the children together as required by section 260C.212, subdivision 2, 
312.30 	paragraph (d), if placement together is in each child's best interests, unless a child is in 
312.31 	placement for treatment or a child is placed with a previously noncustodial parent who is 
312.32 	not a parent to all siblings. If the children are not placed together at the time of the hearing, 
312.33 	the court shall inquire at each subsequent hearing of the agency's reasonable efforts to place 
312.34 	the siblings together, as required under section 260.012. If any sibling is not placed with 
313.1 	another sibling or siblings, the agency must develop a plan to facilitate visitation or ongoing 
313.2 	contact among the siblings as required under section 260C.212, subdivision 1, unless it is 
313.3 	contrary to the safety or well-being of any of the siblings to do so.
313.4 	(m) When the court has ordered the child into the care of a noncustodial parent or in 
313.5 	foster care, the court may order a chemical dependency evaluation, mental health evaluation, 
313.6 	medical examination, and parenting assessment for the parent as necessary to support the 
313.7 	development of a plan for reunification required under subdivision 7 and section 260C.212, 
313.8 	subdivision 1, or the child protective services plan under section 260E.26, and Minnesota 
313.9 	Rules, part 9560.0228.
313.10 	(n) When the court has ordered an Indian child into an emergency child placement, the 
313.11 	Indian child shall be placed according to the placement preferences in the Minnesota Indian 
313.12 	Family Preservation Act, section 260.773.

313.13 	Sec. 18. Minnesota Statutes 2024, section 260C.201, subdivision 1, as amended by Laws 
313.14 	2025, chapter 38, article 8, section 75, is amended to read:
313.15 		Subdivision 1.Dispositions. (a) If the court finds that the child is in need of protection 
313.16 	or services or neglected and in foster care, the court shall enter an order making any of the 
313.17 	following dispositions of the case:
313.18 	(1) place the child under the protective supervision of the responsible social services 
313.19 	agency or child-placing agency in the home of a parent of the child under conditions 
313.20 	prescribed by the court directed to the correction of the child's need for protection or services:
313.21 	(i) the court may order the child into the home of a parent who does not otherwise have 
313.22 	legal custody of the child, however, an order under this section does not confer legal custody 
313.23 	on that parent;
313.24 	(ii) if the court orders the child into the home of a father who is not adjudicated, the 
313.25 	father must cooperate with paternity establishment proceedings regarding the child in the 
313.26 	appropriate jurisdiction as one of the conditions prescribed by the court for the child to 
313.27 	continue in the father's home; and
313.28 	(iii) the court may order the child into the home of a noncustodial parent with conditions 
313.29 	and may also order both the noncustodial and the custodial parent to comply with the 
313.30 	requirements of a case plan under subdivision 2; or
313.31 	(2) transfer legal custody to one of the following:
313.32 	(i) a child-placing agency; or
314.1 	(ii) the responsible social services agency. In making a foster care placement of a child 
314.2 	whose custody has been transferred under this subdivision, the court shall inquire about the 
314.3 	child's heritage, including the child's Tribal lineage pursuant to section 260.761 and the 
314.4 	child's race, culture, and ethnicity pursuant to section 260.63, subdivision 10, and the agency 
314.5 	shall make an individualized determination of how the placement is in the child's best 
314.6 	interests using the placement consideration order for relatives and the best interest factors 
314.7 	in section 260C.212, subdivision 2, and may include a child colocated with a parent in a 
314.8 	licensed residential family-based substance use disorder treatment program under section 
314.9 	260C.190; or
314.10 	(3) order a trial home visit without modifying the transfer of legal custody to the 
314.11 	responsible social services agency under clause (2). Trial home visit means the child is 
314.12 	returned to the care of the parent or guardian from whom the child was removed for a period 
314.13 	not to exceed six months. During the period of the trial home visit, the responsible social 
314.14 	services agency:
314.15 	(i) shall continue to have legal custody of the child, which means that the agency may 
314.16 	see the child in the parent's home, at school, in a child care facility, or other setting as the 
314.17 	agency deems necessary and appropriate;
314.18 	(ii) shall continue to have the ability to access information under section 260C.208;
314.19 	(iii) shall continue to provide appropriate services to both the parent and the child during 
314.20 	the period of the trial home visit;
314.21 	(iv) without previous court order or authorization, may terminate the trial home visit in 
314.22 	order to protect the child's health, safety, or welfare and may remove the child to foster care;
314.23 	(v) shall advise the court and parties within three days of the termination of the trial 
314.24 	home visit when a visit is terminated by the responsible social services agency without a 
314.25 	court order; and
314.26 	(vi) shall prepare a report for the court when the trial home visit is terminated whether 
314.27 	by the agency or court order that describes the child's circumstances during the trial home 
314.28 	visit and recommends appropriate orders, if any, for the court to enter to provide for the 
314.29 	child's safety and stability. In the event a trial home visit is terminated by the agency by 
314.30 	removing the child to foster care without prior court order or authorization, the court shall 
314.31 	conduct a hearing within ten days of receiving notice of the termination of the trial home 
314.32 	visit by the agency and shall order disposition under this subdivision or commence 
314.33 	permanency proceedings under sections 260C.503 to 260C.515. The time period for the 
314.34 	hearing may be extended by the court for good cause shown and if it is in the best interests 
315.1 	of the child as long as the total time the child spends in foster care without a permanency 
315.2 	hearing does not exceed 12 months;
315.3 	(4) if the child has been adjudicated as a child in need of protection or services because 
315.4 	the child is in need of special services or care to treat or ameliorate a physical or mental 
315.5 	disability or a mental illness as defined in section 245.4871, subdivision 15, the court may 
315.6 	order the child's parent, guardian, or custodian to provide it. The court may order the child's 
315.7 	health plan company to provide mental health services to the child. Section 62Q.535 applies 
315.8 	to an order for mental health services directed to the child's health plan company. If the 
315.9 	health plan, parent, guardian, or custodian fails or is unable to provide this treatment or 
315.10 	care, the court may order it provided. Absent specific written findings by the court that the 
315.11 	child's disability is the result of abuse or neglect by the child's parent or guardian, the court 
315.12 	shall not transfer legal custody of the child for the purpose of obtaining special treatment 
315.13 	or care solely because the parent is unable to provide the treatment or care. If the court's 
315.14 	order for mental health treatment is based on a diagnosis made by a treatment professional, 
315.15 	the court may order that the diagnosing professional not provide the treatment to the child 
315.16 	if it finds that such an order is in the child's best interests; or
315.17 	(5) if the court believes that the child has sufficient maturity and judgment and that it is 
315.18 	in the best interests of the child, the court may order a child 16 years old or older to be 
315.19 	allowed to live independently, either alone or with others as approved by the court under 
315.20 	supervision the court considers appropriate, if the county board, after consultation with the 
315.21 	court, has specifically authorized this dispositional alternative for a child.
315.22 	(b) If the child was adjudicated in need of protection or services because the child is a 
315.23 	runaway or habitual truant, the court may order any of the following dispositions in addition 
315.24 	to or as alternatives to the dispositions authorized under paragraph (a):
315.25 	(1) counsel the child or the child's parents, guardian, or custodian;
315.26 	(2) place the child under the supervision of a probation officer or other suitable person 
315.27 	in the child's own home under conditions prescribed by the court, including reasonable rules 
315.28 	for the child's conduct and the conduct of the parents, guardian, or custodian, designed for 
315.29 	the physical, mental, and moral well-being and behavior of the child;
315.30 	(3) subject to the court's supervision, transfer legal custody of the child to one of the 
315.31 	following:
315.32 	(i) a reputable person of good moral character. No person may receive custody of two 
315.33 	or more unrelated children unless licensed to operate a residential program under sections 
315.34 	245A.01 to 245A.16; or
316.1 	(ii) a county probation officer for placement in a group foster home established under 
316.2 	the direction of the juvenile court and licensed pursuant to section 241.021;
316.3 	(4) require the child to pay a fine of up to $100. The court shall order payment of the 
316.4 	fine in a manner that will not impose undue financial hardship upon the child;
316.5 	(5) require the child to participate in a community service project;
316.6 	(6) order the child to undergo a chemical dependency evaluation and, if warranted by 
316.7 	the evaluation, order participation by the child in a drug awareness program or an inpatient 
316.8 	or outpatient chemical dependency treatment program;
316.9 	(7) if the court believes that it is in the best interests of the child or of public safety that 
316.10 	the child's driver's license or instruction permit be canceled, the court may order the 
316.11 	commissioner of public safety to cancel the child's license or permit for any period up to 
316.12 	the child's 18th birthday. If the child does not have a driver's license or permit, the court 
316.13 	may order a denial of driving privileges for any period up to the child's 18th birthday. The 
316.14 	court shall forward an order issued under this clause to the commissioner, who shall cancel 
316.15 	the license or permit or deny driving privileges without a hearing for the period specified 
316.16 	by the court. At any time before the expiration of the period of cancellation or denial, the 
316.17 	court may, for good cause, order the commissioner of public safety to allow the child to 
316.18 	apply for a license or permit, and the commissioner shall so authorize;
316.19 	(8) order that the child's parent or legal guardian deliver the child to school at the 
316.20 	beginning of each school day for a period of time specified by the court; or
316.21 	(9) require the child to perform any other activities or participate in any other treatment 
316.22 	programs deemed appropriate by the court.
316.23 	To the extent practicable, the court shall enter a disposition order the same day it makes 
316.24 	a finding that a child is in need of protection or services or neglected and in foster care, but 
316.25 	in no event more than 15 days after the finding unless the court finds that the best interests 
316.26 	of the child will be served by granting a delay. If the child was under eight years of age at 
316.27 	the time the petition was filed, the disposition order must be entered within ten days of the 
316.28 	finding and the court may not grant a delay unless good cause is shown and the court finds 
316.29 	the best interests of the child will be served by the delay.
316.30 	(c) If a child who is 14 years of age or older is adjudicated in need of protection or 
316.31 	services because the child is a habitual truant and truancy procedures involving the child 
316.32 	were previously dealt with by a school attendance review board or county attorney mediation 
316.33 	program under section 260A.06 or 260A.07, the court shall order a cancellation or denial 
317.1 	of driving privileges under paragraph (b), clause (7), for any period up to the child's 18th 
317.2 	birthday.
317.3 	(d) In the case of a child adjudicated in need of protection or services because the child 
317.4 	has committed domestic abuse and been ordered excluded from the child's parent's home, 
317.5 	the court shall dismiss jurisdiction if the court, at any time, finds the parent is able or willing 
317.6 	to provide an alternative safe living arrangement for the child as defined in paragraph (f).
317.7 	(e) When a parent has complied with a case plan ordered under subdivision 6 and the 
317.8 	child is in the care of the parent, the court may order the responsible social services agency 
317.9 	to monitor the parent's continued ability to maintain the child safely in the home under such 
317.10 	terms and conditions as the court determines appropriate under the circumstances.
317.11 	(f) For the purposes of this subdivision, "alternative safe living arrangement" means a 
317.12 	living arrangement for a child proposed by a petitioning parent or guardian if a court excludes 
317.13 	the minor from the parent's or guardian's home that is separate from the victim of domestic 
317.14 	abuse and safe for the child respondent. A living arrangement proposed by a petitioning 
317.15 	parent or guardian is presumed to be an alternative safe living arrangement absent information 
317.16 	to the contrary presented to the court. In evaluating any proposed living arrangement, the 
317.17 	court shall consider whether the arrangement provides the child with necessary food, clothing, 
317.18 	shelter, and education in a safe environment. Any proposed living arrangement that would 
317.19 	place the child in the care of an adult who has been physically or sexually violent is presumed 
317.20 	unsafe.

317.21 	Sec. 19. Minnesota Statutes 2024, section 260C.201, subdivision 2, as amended by Laws 
317.22 	2025, chapter 38, article 8, section 76, is amended to read:
317.23 		Subd. 2.Written findings. (a) Any order for a disposition authorized under this section 
317.24 	shall contain written findings of fact to support the disposition and case plan ordered and 
317.25 	shall also set forth in writing the following information:
317.26 	(1) why the best interests and safety of the child are served by the disposition and case 
317.27 	plan ordered;
317.28 	(2) what alternative dispositions or services under the case plan were considered by the 
317.29 	court and why such dispositions or services were not appropriate in the instant case;
317.30 	(3) when legal custody of the child is transferred, the appropriateness of the particular 
317.31 	placement made or to be made by the placing agency using the relative and sibling placement 
317.32 	considerations and best interest factors in section 260C.212, subdivision 2, or the 
318.1 	appropriateness of a child colocated with a parent in a licensed residential family-based 
318.2 	substance use disorder treatment program under section 260C.190;
318.3 	(4) whether reasonable efforts to finalize the permanent plan for the child consistent 
318.4 	with section 260.012 were made including reasonable efforts:
318.5 	(i) to prevent the child's placement and to reunify the child with the parent or guardian 
318.6 	from whom the child was removed at the earliest time consistent with the child's safety. 
318.7 	The court's findings must include a brief description of what preventive and reunification 
318.8 	efforts were made and why further efforts could not have prevented or eliminated the 
318.9 	necessity of removal or that reasonable efforts were not required under section 260.012 or 
318.10 	260C.178, subdivision 1;
318.11 	(ii) to identify and locate any noncustodial or nonresident parent of the child and to 
318.12 	assess such parent's ability to provide day-to-day care of the child, and, where appropriate, 
318.13 	provide services necessary to enable the noncustodial or nonresident parent to safely provide 
318.14 	day-to-day care of the child as required under section 260C.219, unless such services are 
318.15 	not required under section 260.012 or 260C.178, subdivision 1. The court's findings must 
318.16 	include a description of the agency's efforts to:
318.17 	(A) identify and locate the child's noncustodial or nonresident parent;
318.18 	(B) assess the noncustodial or nonresident parent's ability to provide day-to-day care of 
318.19 	the child; and
318.20 	(C) if appropriate, provide services necessary to enable the noncustodial or nonresident 
318.21 	parent to safely provide the child's day-to-day care, including efforts to engage the 
318.22 	noncustodial or nonresident parent in assuming care and responsibility of the child;
318.23 	(iii) to inquire about the child's heritage, including the child's Tribal lineage pursuant to 
318.24 	section 260.761 and the child's race, culture, and ethnicity pursuant to section 260.63, 
318.25 	subdivision 10, and make the diligent search for relatives and provide the notices required 
318.26 	under section 260C.221; a finding made pursuant to a hearing under section 260C.202 that 
318.27 	the agency has made diligent efforts to conduct a relative search and has appropriately 
318.28 	engaged relatives who responded to the notice under section 260C.221 and other relatives, 
318.29 	who came to the attention of the agency after notice under section 260C.221 was sent, in 
318.30 	placement and case planning decisions fulfills the requirement of this item;
318.31 	(iv) to identify and make a foster care placement of the child, considering the order in 
318.32 	section 260C.212, subdivision 2, paragraph (a), in the home of an unlicensed relative, 
318.33 	according to the requirements of section 142B.06, a licensed relative, or other licensed foster 
319.1 	care provider, who will commit to being the permanent legal parent or custodian for the 
319.2 	child in the event reunification cannot occur, but who will actively support the reunification 
319.3 	plan for the child. If the court finds that the agency has not appropriately considered relatives 
319.4 	for placement of the child, the court shall order the agency to comply with section 260C.212, 
319.5 	subdivision 2, paragraph (a). The court may order the agency to continue considering 
319.6 	relatives for placement of the child regardless of the child's current placement setting; and
319.7 	(v) to place siblings together in the same home or to ensure visitation is occurring when 
319.8 	siblings are separated in foster care placement and visitation is in the siblings' best interests 
319.9 	under section 260C.212, subdivision 2, paragraph (d); and
319.10 	(5) if the child has been adjudicated as a child in need of protection or services because 
319.11 	the child is in need of special services or care to treat or ameliorate a mental disability or a 
319.12 	mental illness as defined in section 245.4871, subdivision 15, the written findings shall also 
319.13 	set forth:
319.14 	(i) whether the child has mental health needs that must be addressed by the case plan;
319.15 	(ii) what consideration was given to the diagnostic and functional assessments performed 
319.16 	by the child's mental health professional and to health and mental health care professionals' 
319.17 	treatment recommendations;
319.18 	(iii) what consideration was given to the requests or preferences of the child's parent or 
319.19 	guardian with regard to the child's interventions, services, or treatment; and
319.20 	(iv) what consideration was given to the cultural appropriateness of the child's treatment 
319.21 	or services.
319.22 	(b) If the court finds that the social services agency's preventive or reunification efforts 
319.23 	have not been reasonable but that further preventive or reunification efforts could not permit 
319.24 	the child to safely remain at home, the court may nevertheless authorize or continue the 
319.25 	removal of the child.
319.26 	(c) If the child has been identified by the responsible social services agency as the subject 
319.27 	of concurrent permanency planning, the court shall review the reasonable efforts of the 
319.28 	agency to develop a permanency plan for the child that includes a primary plan that is for 
319.29 	reunification with the child's parent or guardian and a secondary plan that is for an alternative, 
319.30 	legally permanent home for the child in the event reunification cannot be achieved in a 
319.31 	timely manner.

320.1 	Sec. 20. Minnesota Statutes 2024, section 260C.202, subdivision 2, is amended to read:
320.2 		Subd. 2.Court review for a child placed in foster care. (a) If the court orders a child 
320.3 	placed in foster care, the court shall review the out-of-home placement plan and the child's 
320.4 	placement at least every 90 days as required in juvenile court rules to determine whether 
320.5 	continued out-of-home placement is necessary and appropriate or whether the child should 
320.6 	be returned home.
320.7 	(b) This review is not required if the court has returned the child home, ordered the child 
320.8 	permanently placed away from the parent under sections 260C.503 to 260C.521, or 
320.9 	terminated rights under section 260C.301. Court review for a child permanently placed 
320.10 	away from a parent, including where the child is under guardianship of the commissioner, 
320.11 	is governed by section 260C.607.
320.12 	(c) When a child is placed in a qualified residential treatment program setting as defined 
320.13 	in section 260C.007, subdivision 26d, the responsible social services agency must submit 
320.14 	evidence to the court as specified in section 260C.712.
320.15 	(d) No later than three months after the child's placement in foster care, the court shall 
320.16 	review agency efforts to search for and notify relatives pursuant to section 260C.221, and 
320.17 	order that the agency's efforts begin immediately, or continue, if the agency has failed to 
320.18 	perform, or has not adequately performed, the duties under that section. The court must 
320.19 	order the agency to continue to appropriately engage relatives who responded to the notice 
320.20 	under section 260C.221 in placement and case planning decisions and to consider relatives 
320.21 	for foster care placement consistent with section 260C.221. Notwithstanding a court's finding 
320.22 	that the agency has made reasonable efforts to search for and notify relatives under section 
320.23 	260C.221, the court may order the agency to continue making reasonable efforts to search 
320.24 	for, notify, engage, and consider relatives who came to the agency's attention after sending 
320.25 	the initial notice under section 260C.221.
320.26 	(e) The court shall review the out-of-home placement plan and may modify the plan as 
320.27 	provided under section 260C.201, subdivisions 6 and 7.
320.28 	(f) When the court transfers the custody of a child to a responsible social services agency 
320.29 	resulting in foster care or protective supervision with a noncustodial parent under subdivision 
320.30 	1, the court shall notify the parents of the provisions of sections 260C.204 and 260C.503 
320.31 	to 260C.521, as required under juvenile court rules.
320.32 	(g) When a child remains in or returns to foster care pursuant to section 260C.451 and 
320.33 	the court has jurisdiction pursuant to section 260C.193, subdivision 6, paragraph (c), the 
320.34 	court shall at least annually conduct the review required under section 260C.203.

321.1 	Sec. 21. Minnesota Statutes 2024, section 260C.202, is amended by adding a subdivision 
321.2 	to read:
321.3 		Subd. 3.Court review prior to the 18th birthday of a child in foster care. (a) The 
321.4 	court must conduct a review during the 90-day period prior to the 18th birthday of a child 
321.5 	in foster care.
321.6 	(b) The responsible social services agency must file a written report with the court 
321.7 	containing or attaching the following:
321.8 	(1) the child's name, date of birth, race, gender, and current address;
321.9 	(2) whether the child is eligible for extended foster care and if not, the reason or reasons 
321.10 	why the child is not eligible;
321.11 	(3) a written summary describing how the child was involved in creating the child's plan 
321.12 	for after their 18th birthday;
321.13 	(4) the date the required extended foster care eligibility notice in section 260C.451, 
321.14 	subdivision 1, was provided and the child's plan after the child's 18th birthday;
321.15 	(5) the child's most recent independent living plan required under section 260C.212, 
321.16 	subdivision 1;
321.17 	(6) if the agency's recommendation is to extend jurisdiction up to age 19 under section 
321.18 	260C.193, why the extended jurisdiction is in the child's best interest;
321.19 	(7) if the agency's recommendation is to reunify the child with their parent or legal 
321.20 	guardian, why reunification is in the child's best interest;
321.21 	(8) if the agency plans to transition the child into adult services on or after the child's 
321.22 	18th birthday, a summary of the transition plan as required in section 260C.452 and how 
321.23 	this plan is in the child's best interest; and
321.24 	(9) if the child's plan is to leave foster care at age 18 and not continue in extended foster 
321.25 	care, a copy of their 180-day transition plan required in section 260C.452 and the reasons 
321.26 	the child is not continuing in extended foster care.
321.27 	(c) The agency must inform the child and parties to the proceeding of the reporting and 
321.28 	court review requirements of this subdivision and their right to request a hearing. The child 
321.29 	or a party to the proceeding may request a hearing if they believe the agency did not make 
321.30 	reasonable efforts under this subdivision.
322.1 	(d) Upon receiving the report, the court must hold a hearing when a party to the 
322.2 	proceeding or the child requests a hearing. In all other circumstances, the court has the 
322.3 	discretion to hold a hearing or issue an order without a hearing.
322.4 	(e) The court must issue an order with findings including but not limited to the following:
322.5 	(1) whether the responsible social services agency provided the notice to the child about 
322.6 	extended foster care as required in section 260C.451;
322.7 	(2) whether the responsible social services agency engaged with the child and 
322.8 	appropriately planned with the child to transition to adulthood; and
322.9 	(3) if the child has decided to not continue in the extended foster care program at age 
322.10 	18, whether the responsible social services agency informed the child that they can reenter 
322.11 	extended foster care up to age 21 or that the child is not eligible to reenter and why.

322.12 	Sec. 22. Minnesota Statutes 2024, section 260C.202, is amended by adding a subdivision 
322.13 	to read:
322.14 		Subd. 4.Court reviews for a child over age 18 in foster care. When a child remains 
322.15 	in or returns to foster care pursuant to section 260C.451 and the court has jurisdiction 
322.16 	pursuant to section 260C.193, subdivision 6, paragraph (c), the court must at least annually 
322.17 	conduct the review required under section 260C.203.

322.18 	Sec. 23. Minnesota Statutes 2024, section 260C.204, is amended to read:
322.19 	260C.204 PERMANENCY PROGRESS REVIEW FOR CHILDREN IN FOSTER 
322.20 	CARE FOR SIX MONTHS.
322.21 	(a) When a child continues in placement out of the home of the parent or guardian from 
322.22 	whom the child was removed, no later than six months after the child's placement the court 
322.23 	shall conduct a permanency progress hearing to review:
322.24 	(1) the progress of the case, the parent's progress on the case plan or out-of-home 
322.25 	placement plan, whichever is applicable;
322.26 	(2) the agency's reasonable, or in the case of an Indian child, active efforts for 
322.27 	reunification and its provision of services;
322.28 	(3) the agency's reasonable efforts to finalize the permanent plan for the child under 
322.29 	section 260.012, paragraph (e), and to make a placement as required under section 260C.212, 
322.30 	subdivision 2, in a home that will commit to being the legally permanent family for the 
323.1 	child in the event the child cannot return home according to the timelines in this section; 
323.2 	and
323.3 	(4) in the case of an Indian child, active efforts to prevent the breakup of the Indian 
323.4 	family and to make a placement according to the placement preferences under United States 
323.5 	Code, title 25, chapter 21, section 1915.
323.6 	(b) When a child is placed in a qualified residential treatment program setting as defined 
323.7 	in section 260C.007, subdivision 26d, the responsible social services agency must submit 
323.8 	evidence to the court as specified in section 260C.712.
323.9 	(c) The court shall ensure that notice of the hearing is sent to any relative who:
323.10 	(1) responded to the agency's notice provided under section 260C.221, indicating an 
323.11 	interest in participating in planning for the child or being a permanency resource for the 
323.12 	child and who has kept the court apprised of the relative's address; or
323.13 	(2) asked to be notified of court proceedings regarding the child as is permitted in section 
323.14 	260C.152, subdivision 5.
323.15 	(d)(1) If the parent or guardian has maintained contact with the child and is complying 
323.16 	with the court-ordered out-of-home placement plan, and if the child would benefit from 
323.17 	reunification with the parent, the court may either:
323.18 	(i) return the child home, if the conditions that led to the out-of-home placement have 
323.19 	been sufficiently mitigated that it is safe and in the child's best interests to return home; or
323.20 	(ii) continue the matter up to a total of six additional months. If the child has not returned 
323.21 	home by the end of the additional six months, the court must conduct a hearing according 
323.22 	to sections 260C.503 to 260C.521.
323.23 	(2) If the court determines that the parent or guardian is not complying, is not making 
323.24 	progress with or engaging with services in the out-of-home placement plan, or is not 
323.25 	maintaining regular contact with the child as outlined in the visitation plan required as part 
323.26 	of the out-of-home placement plan under section 260C.212, the court may order the 
323.27 	responsible social services agency:
323.28 	(i) to develop a plan for legally permanent placement of the child away from the parent;
323.29 	(ii) to consider, identify, recruit, and support one or more permanency resources from 
323.30 	the child's relatives and foster parent, consistent with clause (3) and section 260C.212, 
323.31 	subdivision 2, paragraph (a), to be the legally permanent home in the event the child cannot 
323.32 	be returned to the parent. Any relative or the child's foster parent may ask the court to order 
324.1 	the agency to consider them for permanent placement of the child in the event the child 
324.2 	cannot be returned to the parent. A relative or foster parent who wants to be considered 
324.3 	under this item shall cooperate with the background study required under section 245C.08, 
324.4 	if the individual has not already done so, and with the home study process required under 
324.5 	chapter 142B for providing child foster care and for adoption under section 259.41. The 
324.6 	home study referred to in this item shall be a single-home study in the form required by the 
324.7 	commissioner of children, youth, and families or similar study required by the individual's 
324.8 	state of residence when the subject of the study is not a resident of Minnesota. The court 
324.9 	may order the responsible social services agency to make a referral under the Interstate 
324.10 	Compact on the Placement of Children when necessary to obtain a home study for an 
324.11 	individual who wants to be considered for transfer of permanent legal and physical custody 
324.12 	or adoption of the child; and
324.13 	(iii) to file a petition to support an order for the legally permanent placement plan.
324.14 	(3) Consistent with section 260C.223, subdivision 2, paragraph (b), the responsible social 
324.15 	services agency must not define a foster family as the permanent home for a child until:
324.16 	(i) inquiry and Tribal notice requirements under section 260.761, subdivisions 1 and 2, 
324.17 	are satisfied;
324.18 	(ii) inquiry about the child's heritage, including the child's race, culture, and ethnicity 
324.19 	pursuant to section 260.63, subdivision 10, has been completed; and
324.20 	(iii) the court has determined that reasonable or active efforts toward completing the 
324.21 	relative search requirements in section 260C.221 have been made.
324.22 	(e) Following the review under this section:
324.23 	(1) if the court has either returned the child home or continued the matter up to a total 
324.24 	of six additional months, the agency shall continue to provide services to support the child's 
324.25 	return home or to make reasonable efforts to achieve reunification of the child and the parent 
324.26 	as ordered by the court under an approved case plan;
324.27 	(2) if the court orders the agency to develop a plan for the transfer of permanent legal 
324.28 	and physical custody of the child to a relative, a petition supporting the plan shall be filed 
324.29 	in juvenile court within 30 days of the hearing required under this section and a trial on the 
324.30 	petition held within 60 days of the filing of the pleadings; or
324.31 	(3) if the court orders the agency to file a termination of parental rights, unless the county 
324.32 	attorney can show cause why a termination of parental rights petition should not be filed, 
324.33 	a petition for termination of parental rights shall be filed in juvenile court within 30 days 
325.1 	of the hearing required under this section and a trial on the petition held within 60 days of 
325.2 	the filing of the petition.

325.3 	Sec. 24. Minnesota Statutes 2024, section 260C.221, subdivision 2, is amended to read:
325.4 		Subd. 2.Relative notice requirements. (a) The agency may provide oral or written 
325.5 	notice to a child's relatives. In the child's case record, the agency must document providing 
325.6 	the required notice to each of the child's relatives. The responsible social services agency 
325.7 	must notify relatives:
325.8 	(1) of the need for a foster home for the child, the option to become a placement resource 
325.9 	for the child, the order of placement that the agency will consider under section 260C.212, 
325.10 	subdivision 2, paragraph (a), and the possibility of the need for a permanent placement for 
325.11 	the child;
325.12 	(2) of their responsibility to keep the responsible social services agency and the court 
325.13 	informed of their current address in order to receive notice in the event that a permanent 
325.14 	placement is sought for the child and to receive notice of the permanency progress review 
325.15 	hearing under section 260C.204. A relative who fails to provide a current address to the 
325.16 	responsible social services agency and the court forfeits the right to receive notice of the 
325.17 	possibility of permanent placement and of the permanency progress review hearing under 
325.18 	section 260C.204, until the relative provides a current address to the responsible social 
325.19 	services agency and the court. A decision by a relative not to be identified as a potential 
325.20 	permanent placement resource or participate in planning for the child shall not affect whether 
325.21 	the relative is considered for placement of, or as a permanency resource for, the child with 
325.22 	that relative at any time in the case, and shall not be the sole basis for the court to rule out 
325.23 	the relative as the child's placement or permanency resource;
325.24 	(3) that the relative may participate in the care and planning for the child, as specified 
325.25 	in subdivision 3, including that the opportunity for such participation may be lost by failing 
325.26 	to respond to the notice sent under this subdivision;
325.27 	(4) of the family foster care licensing and adoption home study requirements, including:
325.28 	(i) how to complete an application and;
325.29 	(ii) how to request a variance from licensing standards that do not present a safety or 
325.30 	health risk to the child in the home under section 142B.10and;
325.31 	(iii) supports that are available for relatives and children who reside in a family foster 
325.32 	home, including how to access respite care, strategies for leveraging natural supports for 
326.1 	the child and family, and ways to include resource or substitute caregivers in the child's 
326.2 	case plan; and
326.3 	(iv) a review of licensing requirements and the relative's choice between county or 
326.4 	private, community-based agency licensing and services, pursuant to existing contracts and 
326.5 	funding;
326.6 	(5) of the relatives' right to ask to be notified of any court proceedings regarding the 
326.7 	child, to attend the hearings, and of a relative's right to be heard by the court as required 
326.8 	under section 260C.152, subdivision 5;
326.9 	(6) that regardless of the relative's response to the notice sent under this subdivision, the 
326.10 	agency is required to establish permanency for a child, including planning for alternative 
326.11 	permanency options if the agency's reunification efforts fail or are not required; and
326.12 	(7) that by responding to the notice, a relative may receive information about participating 
326.13 	in a child's family and permanency team if the child is placed in a qualified residential 
326.14 	treatment program as defined in section 260C.007, subdivision 26d; and
326.15 	(8) information advising a relative on access to legal services and support.
326.16 	(b) The responsible social services agency shall send the notice required under paragraph 
326.17 	(a) to relatives who become known to the responsible social services agency, except for 
326.18 	relatives that the agency does not contact due to safety reasons under subdivision 5, paragraph 
326.19 	(b). The responsible social services agency shall continue to send notice to relatives 
326.20 	notwithstanding a court's finding that the agency has made reasonable efforts to conduct a 
326.21 	relative search.
326.22 	(c) The responsible social services agency is not required to send the notice under 
326.23 	paragraph (a) to a relative who becomes known to the agency after an adoption placement 
326.24 	agreement has been fully executed under section 260C.613, subdivision 1. If the relative 
326.25 	wishes to be considered for adoptive placement of the child, the agency shall inform the 
326.26 	relative of the relative's ability to file a motion for an order for adoptive placement under 
326.27 	section 260C.607, subdivision 6.

326.28 	EFFECTIVE DATE. This section is effective January 1, 2026.

326.29 	Sec. 25. Minnesota Statutes 2024, section 260C.223, subdivision 1, is amended to read:
326.30 		Subdivision 1.Program; goals. (a) The commissioner of children, youth, and families 
326.31 	shall establish a program for concurrent permanency planning for child protection services.
327.1 	(b) Concurrent permanency planning involves a planning process for children who are 
327.2 	placed out of the home of their parents pursuant to a court order, or who have been voluntarily 
327.3 	placed out of the home by the parents for 60 days or more and who are not developmentally 
327.4 	disabled or emotionally disabled under section 260C.212, subdivision 9. The responsible 
327.5 	social services agency shall develop an alternative permanency plan while making reasonable 
327.6 	efforts for reunification of the child with the family, if required by section 260.012. The 
327.7 	goals of concurrent permanency planning are to:
327.8 	(1) achieve early permanency for children;
327.9 	(2) decrease children's length of stay in foster care and reduce the number of moves 
327.10 	children experience in foster care; and
327.11 	(3) develop a group of families establish a foster parent for a child who will work towards
327.12 	toward reunification and also serve as a permanent families family for children.

327.13 	Sec. 26. Minnesota Statutes 2024, section 260C.223, subdivision 2, is amended to read:
327.14 		Subd. 2.Development of guidelines and protocols. (a) The commissioner shall establish 
327.15 	guidelines and protocols for social services agencies involved in concurrent permanency 
327.16 	planning, including criteria for conducting concurrent permanency planning based on relevant 
327.17 	factors such as:
327.18 	(1) age of the child and duration of out-of-home placement;
327.19 	(2) prognosis for successful reunification with parents;
327.20 	(3) availability of relatives and other concerned individuals to provide support or a 
327.21 	permanent placement for the child; and
327.22 	(4) special needs of the child and other factors affecting the child's best interests.
327.23 	(b) In developing the guidelines and protocols, the commissioner shall consult with 
327.24 	interest groups within the child protection system, including child protection workers, child 
327.25 	protection advocates, county attorneys, law enforcement, community service organizations, 
327.26 	the councils of color, and the ombudsperson for families.
327.27 	(c) The responsible social services agency must not make a foster family the permanent 
327.28 	home for a child until:
327.29 	(1) inquiry and Tribal notice requirements under section 260.761, subdivisions 1 and 2, 
327.30 	are satisfied;
328.1 	(2) inquiry about the child's heritage, including the child's race, culture, and ethnicity 
328.2 	pursuant to section 260.63, subdivision 10, has been completed; and
328.3 	(3) the court has determined that reasonable or active efforts toward completing the 
328.4 	relative search requirements in section 260C.221 have been made.

328.5 	Sec. 27. Minnesota Statutes 2024, section 260C.329, subdivision 3, is amended to read:
328.6 		Subd. 3.Petition. (a) The following individuals may file a petition for the reestablishment 
328.7 	of the legal parent and child relationship:
328.8 	(1) county attorney,;
328.9 	(2) a parent whose parental rights were terminated under a previous order of the court,;
328.10 	(3) a parent whose voluntary consent to adoption was accepted by the court and:
328.11 	(i) the identified prospective adoptive parent did not finalize the adoption; or
328.12 	(ii) the adoption finalized but subsequently dissolved and the child returned to foster 
328.13 	care and guardianship of the commissioner;
328.14 	(4) a child who is ten years of age or older,;
328.15 	(5) the responsible social services agency,; or
328.16 	(6) a guardian ad litem may file a petition for the reestablishment of the legal parent and 
328.17 	child relationship.
328.18 	(b) A parent filing a petition under this section shall pay a filing fee in the amount 
328.19 	required under section 357.021, subdivision 2, clause (1). The filing fee may be waived 
328.20 	pursuant to chapter 563. A petition for the reestablishment of the legal parent and child 
328.21 	relationship may be filed when:
328.22 	(1) the parent has corrected the conditions that led to an order terminating parental rights;
328.23 	(2) the parent is willing and has the capability to provide day-to-day care and maintain 
328.24 	the health, safety, and welfare of the child;
328.25 	(3) the child has been in foster care for at least 24 months after the court issued the order 
328.26 	terminating parental rights;
328.27 	(4) the child has is not been currently adopted; and
328.28 	(5) the child is not the subject of a written adoption placement agreement between the 
328.29 	responsible social services agency and the prospective adoptive parent, as required under 
328.30 	Minnesota Rules, part 9560.0060, subpart 2.

329.1 	Sec. 28. Minnesota Statutes 2024, section 260C.329, subdivision 8, is amended to read:
329.2 		Subd. 8.Hearing. The court may grant the petition ordering the reestablishment of the 
329.3 	legal parent and child relationship only if it finds by clear and convincing evidence that:
329.4 	(1) reestablishment of the legal parent and child relationship is in the child's best interests;
329.5 	(2) the child has is not been currently adopted;
329.6 	(3) the child is not the subject of a written adoption placement agreement between the 
329.7 	responsible social services agency and the prospective adoptive parent, as required under 
329.8 	Minnesota Rules, part 9560.0060, subpart 2;
329.9 	(4) at least 24 months have elapsed following a final order terminating parental rights 
329.10 	and the child remains in foster care;
329.11 	(5) the child desires to reside with the parent;
329.12 	(6) the parent has corrected the conditions that led to an order terminating parental rights; 
329.13 	and
329.14 	(7) the parent is willing and has the capability to provide day-to-day care and maintain 
329.15 	the health, safety, and welfare of the child.

329.16 	Sec. 29. Minnesota Statutes 2024, section 260C.451, subdivision 9, is amended to read:
329.17 		Subd. 9.Administrative or court review of placements. (a) The court shall must
329.18 	conduct reviews at least annually to ensure the responsible social services agency is making 
329.19 	reasonable efforts to finalize the permanency plan for the child.
329.20 	(b) The responsible social services agency must file a written report with the court 
329.21 	containing or attaching the following:
329.22 	(1) the child's name, date of birth, race, gender, and current address;
329.23 	(2) a written summary describing planning with the child, including supports and services 
329.24 	to ensure the child's safety, housing stability, well-being needs, and independent living 
329.25 	skills;
329.26 	(3) the child's most recent out-of-home placement plan and independent living plan 
329.27 	required under section 260C.212, subdivision 1;
329.28 	(4) if the child's plan is to not continue in extended foster care or if the child will reach 
329.29 	age 21 before the next review, a copy of their 180-day transition plan as required in section 
329.30 	260C.452, subdivision 4; and
330.1 	(5) if the agency plans to transition the child into adult services, a summary of the 
330.2 	transition plan as required in section 260C.452, subdivision 4, and how this plan is in the 
330.3 	child's best interest.
330.4 	(b) (c) The court shall must find that the responsible social services agency is making 
330.5 	reasonable efforts to finalize the permanency plan for the child when the responsible social 
330.6 	services agency:
330.7 	(1) provides appropriate support to the child and caregiver or foster care provider parent
330.8 	to ensure continuing stability and success in placement;
330.9 	(2) works with the child to plan for transition to adulthood and assists the child in 
330.10 	demonstrating progress in achieving related goals;
330.11 	(3) works with the child to plan for independent living skills and assists the child in 
330.12 	demonstrating progress in achieving independent living goals; and
330.13 	(4) prepares the child for independence according to sections 260C.203, paragraph (d), 
330.14 	and 260C.452, subdivision 4.
330.15 	(c) (d) The responsible social services agency must ensure that an administrative review 
330.16 	that meets the requirements of this section and section 260C.203 is completed at least six 
330.17 	months after each of the court's annual reviews.

330.18 	Sec. 30. Minnesota Statutes 2024, section 260C.452, subdivision 4, is amended to read:
330.19 		Subd. 4.Administrative or court review of placements. (a) When the youth is 14 years 
330.20 	of age or older, the court, in consultation with the youth, shall review the youth's independent 
330.21 	living plan according to section 260C.203, paragraph (d).
330.22 	(b) The responsible social services agency shall file a copy of the notification of foster 
330.23 	care benefits for a youth who is 18 years of age or older according to section 260C.451, 
330.24 	subdivision 1, with the court. If the responsible social services agency does not file the 
330.25 	notice by the time the youth is 17-1/2 years of age, the court shall require the responsible 
330.26 	social services agency to file the notice.
330.27 	(c) When a youth is 18 years of age or older, the court shall ensure that the responsible 
330.28 	social services agency assists the youth in obtaining the following documents before the 
330.29 	youth leaves foster care: a Social Security card; an official or certified copy of the youth's 
330.30 	birth certificate; a state identification card or driver's license, Tribal enrollment identification 
330.31 	card, green permanent resident card, or school visa; health insurance information; the youth's 
330.32 	school, medical, and dental records; a contact list of the youth's medical, dental, and mental 
331.1 	health providers; and contact information for the youth's siblings, if the siblings are in foster 
331.2 	care.
331.3 	(d) For a youth who will be discharged from foster care at 18 years of age or older 
331.4 	because the youth is not eligible for extended foster care benefits or chooses to leave foster 
331.5 	care, the responsible social services agency must develop a personalized transition plan as 
331.6 	directed by the youth during the 180-day period immediately prior to the expected date of 
331.7 	discharge. The transition plan must be as detailed as the youth elects and include specific 
331.8 	options, including but not limited to:
331.9 	(1) affordable housing with necessary supports that does not include a homeless shelter;
331.10 	(2) health insurance, including eligibility for medical assistance as defined in section 
331.11 	256B.055, subdivision 17;
331.12 	(3) education, including application to the Education and Training Voucher Program;
331.13 	(4) local opportunities for mentors and continuing support services;
331.14 	(5) workforce supports and employment services;
331.15 	(6) a copy of the youth's consumer credit report as defined in section 13C.001 and 
331.16 	assistance in interpreting and resolving any inaccuracies in the report, at no cost to the youth;
331.17 	(7) information on executing a health care directive under chapter 145C and on the 
331.18 	importance of designating another individual to make health care decisions on behalf of the 
331.19 	youth if the youth becomes unable to participate in decisions;
331.20 	(8) appropriate contact information through 21 years of age if the youth needs information 
331.21 	or help dealing with a crisis situation; and
331.22 	(9) official documentation that the youth was previously in foster care.

331.23 	Sec. 31. Minnesota Statutes 2024, section 260E.03, subdivision 15, is amended to read:
331.24 		Subd. 15.Neglect. (a) "Neglect" means the commission or omission of any of the acts 
331.25 	specified under clauses (1) to (8), other than by accidental means:
331.26 	(1) failure by a person responsible for a child's care to supply a child with necessary 
331.27 	food, clothing, shelter, health, medical, or other care required for the child's physical or 
331.28 	mental health when reasonably able to do so;
331.29 	(2) failure to protect a child from conditions or actions that seriously endanger the child's 
331.30 	physical or mental health when reasonably able to do so, including a growth delay, which 
332.1 	may be referred to as a failure to thrive, that has been diagnosed by a physician and is due 
332.2 	to parental neglect;
332.3 	(3) failure to provide for necessary supervision or child care arrangements appropriate 
332.4 	for a child after considering factors as the child's age, mental ability, physical condition, 
332.5 	length of absence, or environment, when the child is unable to care for the child's own basic 
332.6 	needs or safety, or the basic needs or safety of another child in their care;
332.7 	(4) failure to ensure that the child is educated as defined in sections 120A.22 and 
332.8 	260C.163, subdivision 11, which does not include a parent's refusal to provide the parent's 
332.9 	child with sympathomimetic medications, consistent with section 125A.091, subdivision 
332.10 	5;
332.11 	(5) prenatal exposure to a controlled substance, as defined in section 253B.02, subdivision 
332.12 	2, used by the mother for a nonmedical purpose, as evidenced by withdrawal symptoms in 
332.13 	the child at birth, results of a toxicology test performed on the mother at delivery or the 
332.14 	child at birth, medical effects or developmental delays during the child's first year of life 
332.15 	that medically indicate prenatal exposure to a controlled substance, or the presence of a 
332.16 	fetal alcohol spectrum disorder;
332.17 	(6) medical neglect, as defined in section 260C.007, subdivision 6, clause (5);
332.18 	(7) chronic and severe use of alcohol or a controlled substance by a person responsible 
332.19 	for the child's care that adversely affects the child's basic needs and safety; or
332.20 	(8) emotional harm from a pattern of behavior that contributes to impaired emotional 
332.21 	functioning of the child which may be demonstrated by a substantial and observable effect 
332.22 	in the child's behavior, emotional response, or cognition that is not within the normal range 
332.23 	for the child's age and stage of development, with due regard to the child's culture.
332.24 	(b) Nothing in this chapter shall be construed to mean that a child is neglected solely 
332.25 	because the child's parent, guardian, or other person responsible for the child's care in good 
332.26 	faith selects and depends upon spiritual means or prayer for treatment or care of disease or 
332.27 	remedial care of the child in lieu of medical care.
332.28 	(c) This chapter does not impose upon persons not otherwise legally responsible for 
332.29 	providing a child with necessary food, clothing, shelter, education, or medical care a duty 
332.30 	to provide that care.
332.31 	(d) Nothing in this chapter shall be construed to mean that a child who has a mental, 
332.32 	physical, or emotional condition is neglected solely because the child remains in an 
332.33 	emergency department or hospital setting because services, including residential treatment, 
333.1 	that are deemed necessary by the child's medical or mental health care professional or county 
333.2 	case manager are not available to the child's parent, guardian, or other person responsible 
333.3 	for the child's care, and the child cannot be safely discharged to the child's family.

333.4 	Sec. 32. Minnesota Statutes 2024, section 260E.09, is amended to read:
333.5 	260E.09 REPORTING REQUIREMENTS.
333.6 	(a) An oral report shall be made immediately by telephone or otherwise. An oral report 
333.7 	made by a person required under section 260E.06, subdivision 1, to report shall be followed 
333.8 	within 72 hours, exclusive of weekends and holidays, by a report in writing to the appropriate 
333.9 	police department, the county sheriff, the agency responsible for assessing or investigating 
333.10 	the report, or the local welfare agency.
333.11 	(b) Any report shall be of sufficient content to identify the child, any person believed 
333.12 	to be responsible for the maltreatment of the child if the person is known, the nature and 
333.13 	extent of the maltreatment, and the name and address of the reporter. The local welfare 
333.14 	agency or agency responsible for assessing or investigating the report shall accept a report 
333.15 	made under section 260E.06 notwithstanding refusal by a reporter to provide the reporter's 
333.16 	name or address as long as the report is otherwise sufficient under this paragraph. The local 
333.17 	welfare agency shall ask the reporter if the reporter is aware of the child's heritage, including 
333.18 	the child's Tribal lineage pursuant to section 260.761 and the child's race, culture, and 
333.19 	ethnicity pursuant to section 260.63, subdivision 10.
333.20 	(c) Notwithstanding paragraph (a), upon implementation of the provider licensing and 
333.21 	reporting hub, an individual who has an account with the provider licensing and reporting 
333.22 	hub and is required to report suspected maltreatment at a licensed program under section 
333.23 	260E.06, subdivision 1, may submit a written report in the hub in a manner prescribed by 
333.24 	the commissioner and is not required to make an oral report. A report submitted through 
333.25 	the provider licensing and reporting hub must be made immediately.

333.26 	Sec. 33. Minnesota Statutes 2024, section 260E.14, subdivision 2, is amended to read:
333.27 		Subd. 2.Sexual abuse. (a) The local welfare agency is the agency responsible for 
333.28 	investigating an allegation of sexual abuse, including if the alleged sexual abuse occurred 
333.29 	in another state or country but the child's residence is in Minnesota, if the alleged offender 
333.30 	is the parent, guardian, sibling, or an individual functioning within the family unit as a 
333.31 	person responsible for the child's care, or a person with a significant relationship to the child 
333.32 	if that person resides in the child's household.
334.1 	(b) The local welfare agency is also responsible for assessing or investigating when a 
334.2 	child is identified as a victim of sex trafficking.

334.3 	Sec. 34. Minnesota Statutes 2024, section 260E.14, subdivision 3, is amended to read:
334.4 		Subd. 3.Neglect, physical abuse, or labor trafficking. (a) The local welfare agency 
334.5 	is responsible for immediately conducting a family assessment or investigation if the report 
334.6 	alleges neglect or physical abuse by a parent, guardian, or individual functioning within the 
334.7 	family unit as a person responsible for the child's care, including if the alleged neglect or 
334.8 	physical abuse occurred in another state or country but the child's residence is in Minnesota.
334.9 	(b) The local welfare agency is also responsible for conducting a family assessment or 
334.10 	investigation when a child is identified as a victim of labor trafficking.

334.11 	Sec. 35. Minnesota Statutes 2024, section 260E.20, subdivision 1, is amended to read:
334.12 		Subdivision 1.General duties. (a) The local welfare agency shall offer services to 
334.13 	prevent future maltreatment, safeguarding and enhancing the welfare of the maltreated child, 
334.14 	and supporting and preserving family life whenever possible.
334.15 	(b) If the report alleges a violation of a criminal statute involving maltreatment or child 
334.16 	endangerment under section 609.378, the local law enforcement agency and local welfare 
334.17 	agency shall coordinate the planning and execution of their respective investigation and 
334.18 	assessment efforts to avoid a duplication of fact-finding efforts and multiple interviews. 
334.19 	Each agency shall prepare a separate report of the results of the agency's investigation or 
334.20 	assessment.
334.21 	(c) In cases of alleged child maltreatment resulting in death, the local agency may rely 
334.22 	on the fact-finding efforts of a law enforcement investigation to make a determination of 
334.23 	whether or not maltreatment occurred.
334.24 	(d) When necessary, the local welfare agency shall seek authority to remove the child 
334.25 	from the custody of a parent, guardian, or adult with whom the child is living.
334.26 	(e) In performing any of these duties, the local welfare agency shall maintain an 
334.27 	appropriate record.
334.28 	(f) In conducting a family assessment, noncaregiver human trafficking assessment, or 
334.29 	investigation, the local welfare agency shall gather information on the existence of substance 
334.30 	abuse and domestic violence.
335.1 	(g) If the family assessment, noncaregiver human trafficking assessment, or investigation 
335.2 	indicates there is a potential for abuse of alcohol or other drugs by the parent, guardian, or 
335.3 	person responsible for the child's care, the local welfare agency must coordinate a 
335.4 	comprehensive assessment pursuant to section 245G.05.
335.5 	(h) The agency may use either a family assessment or investigation to determine whether 
335.6 	the child is safe when responding to a report resulting from birth match data under section 
335.7 	260E.03, subdivision 23, paragraph (c). If the child subject of birth match data is determined 
335.8 	to be safe, the agency shall consult with the county attorney to determine the appropriateness 
335.9 	of filing a petition alleging the child is in need of protection or services under section 
335.10 	260C.007, subdivision 6, clause (16), in order to deliver needed services. If the child is 
335.11 	determined not to be safe, the agency and the county attorney shall take appropriate action 
335.12 	as required under section 260C.503, subdivision 2.
335.13 	(i) When conducting any family assessment, noncaregiver human trafficking assessment, 
335.14 	or investigation, the agency shall ask the child, if age appropriate; parents; extended family; 
335.15 	and reporter about the child's heritage, including the child's Tribal lineage pursuant to section 
335.16 	260.761 and the child's race, culture, and ethnicity pursuant to section 260.63, subdivision 
335.17 	10.

335.18 	Sec. 36. Minnesota Statutes 2024, section 260E.20, subdivision 3, is amended to read:
335.19 		Subd. 3.Collection of information. (a) The local welfare agency responsible for 
335.20 	conducting a family assessment, noncaregiver human trafficking assessment, or investigation 
335.21 	shall collect available and relevant information to determine child safety, risk of subsequent 
335.22 	maltreatment, and family strengths and needs and share not public information with an 
335.23 	Indian's Tribal social services agency without violating any law of the state that may 
335.24 	otherwise impose a duty of confidentiality on the local welfare agency in order to implement 
335.25 	the Tribal state agreement.
335.26 	(b) The local welfare agency or the agency responsible for investigating the report shall 
335.27 	collect available and relevant information to ascertain whether maltreatment occurred and 
335.28 	whether protective services are needed.
335.29 	(c) Information collected includes, when relevant, information regarding the person 
335.30 	reporting the alleged maltreatment, including the nature of the reporter's relationship to the 
335.31 	child and to the alleged offender, and the basis of the reporter's knowledge for the report; 
335.32 	the child allegedly being maltreated; the alleged offender; the child's caretaker; and other 
335.33 	collateral sources having relevant information related to the alleged maltreatment.
336.1 	(d) Information relevant to the assessment or investigation must be requested, and may 
336.2 	include:
336.3 	(1) the child's sex and age; prior reports of maltreatment, including any maltreatment 
336.4 	reports that were screened out and not accepted for assessment or investigation; information 
336.5 	relating to developmental functioning; credibility of the child's statement; and whether the 
336.6 	information provided under this clause is consistent with other information collected during 
336.7 	the course of the assessment or investigation;
336.8 	(2) except in a noncaregiver human trafficking assessment, the alleged offender's age, 
336.9 	a record check for prior reports of maltreatment, and criminal charges and convictions;
336.10 	(3) collateral source information regarding the alleged maltreatment and care of the 
336.11 	child. Collateral information includes, when relevant: (i) a medical examination of the child; 
336.12 	(ii) prior medical records relating to the alleged maltreatment or the care of the child 
336.13 	maintained by any facility, clinic, or health care professional and an interview with the 
336.14 	treating professionals; and (iii) interviews with the child's caretakers, including the child's 
336.15 	parent, guardian, foster parent, child care provider, teachers, counselors, family members, 
336.16 	relatives, and other persons who may have knowledge regarding the alleged maltreatment 
336.17 	and the care of the child; and
336.18 	(4) information on the existence of domestic abuse and violence in the home of the child, 
336.19 	and substance abuse.
336.20 	(e) Nothing in this subdivision precludes the local welfare agency, the local law 
336.21 	enforcement agency, or the agency responsible for assessing or investigating the report from 
336.22 	collecting other relevant information necessary to conduct the assessment or investigation.
336.23 	(f) Notwithstanding section 13.384 or 144.291 to 144.298, the local welfare agency has 
336.24 	access to medical data and records for purposes of paragraph (d), clause (3).

336.25 	Sec. 37. Minnesota Statutes 2024, section 260E.24, subdivision 1, is amended to read:
336.26 		Subdivision 1.Timing. The local welfare agency shall conclude the family assessment, 
336.27 	the noncaregiver human trafficking assessment, or the investigation within 45 days of the 
336.28 	receipt of a report. The conclusion of the assessment or investigation may be extended to 
336.29 	permit the completion of a criminal investigation or the receipt of expert information 
336.30 	requested within 45 days of the receipt of the report.

337.1 	Sec. 38. Minnesota Statutes 2024, section 260E.24, subdivision 2, is amended to read:
337.2 		Subd. 2.Determination after family assessment or a noncaregiver human trafficking 
337.3 	assessment. After conducting a family assessment or a noncaregiver human trafficking 
337.4 	assessment, the local welfare agency shall determine whether child protective services are 
337.5 	needed to address the safety of the child and other family members and the risk of subsequent 
337.6 	maltreatment. The local welfare agency must document the information collected under 
337.7 	section 260E.20, subdivision 3, related to the completed family assessment or noncaregiver 
337.8 	human trafficking assessment in the child's or family's case notes.

337.9 	Sec. 39. [260E.291] REPORTING OF SCHOOL ATTENDANCE CONCERNS.
337.10 		Subdivision 1.Reports required. (a) A person mandated to report under this chapter 
337.11 	must immediately report to the local welfare agency, Tribal social services agency, or 
337.12 	designated partner if the person knows or has reason to believe that a child required to be 
337.13 	enrolled in school under section 120A.22, has at least seven unexcused absences in the 
337.14 	current school year, and is at risk of educational neglect under section 260C.163, subdivision 
337.15 	11.
337.16 	(b) Any person may voluntarily report to the local welfare agency, Tribal social services 
337.17 	agency, or designated partner if the person knows or has reason to believe that a child 
337.18 	required to be enrolled in school under section 120A.22 has at least seven unexcused absences 
337.19 	in the current school year and is at risk of educational neglect under section 260C.163, 
337.20 	subdivision 11.
337.21 	(c) An oral report must be made immediately by telephone or otherwise. An oral report 
337.22 	made by a person required to report under paragraph (a) must be followed within 72 hours, 
337.23 	exclusive of weekends and holidays, by a report in writing to the local welfare agency. A 
337.24 	report must sufficiently identify the child and the child's parent or guardian, the actual or 
337.25 	estimated number of the child's unexcused absences in the current school year, the efforts 
337.26 	made by school officials to resolve attendance concerns with the family, and the name and 
337.27 	address of the reporter. A voluntary reporter under paragraph (b) may refuse to provide 
337.28 	their name or address if the report is otherwise sufficient, and such a report must be accepted 
337.29 	by the local welfare agency.
337.30 		Subd. 2.Local welfare agency. (a) The local welfare agency or partner designated to 
337.31 	provide child welfare services must provide a child welfare response for a report that alleges 
337.32 	a child enrolled in school has seven or more unexcused absences. When providing a child 
337.33 	welfare response under this paragraph, the local welfare agency or designated partner must 
337.34 	offer services to the child and the child's family to address school attendance concerns or 
338.1 	may partner with a county attorney's office, a community-based organization, or other 
338.2 	community partner to provide the services. The services must be culturally and linguistically 
338.3 	appropriate and tailored to the needs of the child and the child's family. This section is 
338.4 	subject to all requirements of the Minnesota Indian Family Preservation Act under sections 
338.5 	260.751 to 260.835, and the Minnesota African American Family Preservation and Child 
338.6 	Welfare Disproportionality Act under sections 260.61 to 260.693.
338.7 	(b) If the child's unexcused absences continue and the family has not engaged with 
338.8 	services under paragraph (a) after the local welfare agency, Tribal social services agency, 
338.9 	or partner designated to provide child welfare services has made multiple varied attempts 
338.10 	to engage the child's family, a report of educational neglect must be made regardless of the 
338.11 	number of unexcused absences the child has accrued. The local welfare agency must 
338.12 	determine the response path assignment pursuant to section 260E.17 and may proceed with 
338.13 	the process outlined in section 260C.141.

338.14 	Sec. 40. REVISOR INSTRUCTION.
 338.15 	The revisor of statutes shall change paragraphs to subdivisions, clauses to paragraphs, 
338.16 	and items to clauses in Minnesota Statutes, sections 260C.203 and 260C.204. The revisor 
338.17 	shall make any necessary grammatical changes or changes to sentence structure necessary 
338.18 	to preserve the meaning of the text as a result of the changes. The revisor of statutes must 
338.19 	correct any statutory cross-references consistent with the changes in this section.

338.20 	ARTICLE 11
338.21 	CHILD PROTECTION AND WELFARE FINANCE

338.22 	Section 1. Minnesota Statutes 2024, section 142A.03, subdivision 2, is amended to read:
338.23 		Subd. 2.Duties of the commissioner. (a) The commissioner may apply for and accept 
338.24 	on behalf of the state any grants, bequests, gifts, or contributions for the purpose of carrying 
338.25 	out the duties and responsibilities of the commissioner. Any money received under this 
338.26 	paragraph is appropriated and dedicated for the purpose for which the money is granted. 
338.27 	The commissioner must biennially report to the chairs and ranking minority members of 
338.28 	relevant legislative committees and divisions by January 15 of each even-numbered year a 
338.29 	list of all grants and gifts received under this subdivision.
338.30 	(b) Pursuant to law, the commissioner may apply for and receive money made available 
338.31 	from federal sources for the purpose of carrying out the duties and responsibilities of the 
338.32 	commissioner.
339.1 	(c) The commissioner may make contracts with and grants to Tribal Nations, public and 
339.2 	private agencies, for-profit and nonprofit organizations, and individuals using appropriated 
339.3 	money.
339.4 	(d) The commissioner must develop program objectives and performance measures for 
339.5 	evaluating progress toward achieving the objectives. The commissioner must identify the 
339.6 	objectives, performance measures, and current status of achieving the measures in a biennial 
339.7 	report to the chairs and ranking minority members of relevant legislative committees and 
339.8 	divisions. The report is due no later than January 15 each even-numbered year. The report 
339.9 	must include, when possible, the following objectives:
339.10 	(1) centering and including the lived experiences of children and youth, including those 
339.11 	with disabilities and mental illness and their families, in all aspects of the department's work;
339.12 	(2) increasing the effectiveness of the department's programs in addressing the needs of 
339.13 	children and youth facing racial, economic, or geographic inequities;
339.14 	(3) increasing coordination and reducing inefficiencies among the department's programs 
339.15 	and the funding sources that support the programs;
339.16 	(4) increasing the alignment and coordination of family access to child care and early 
339.17 	learning programs and improving systems of support for early childhood and learning 
339.18 	providers and services;
339.19 	(5) improving the connection between the department's programs and the kindergarten 
339.20 	through grade 12 and higher education systems; and
339.21 	(6) minimizing and streamlining the effort required of youth and families to receive 
339.22 	services to which the youth and families are entitled.
339.23 	(e) The commissioner shall administer and supervise the forms of public assistance and 
339.24 	other activities or services that are vested in the commissioner. Administration and 
339.25 	supervision of activities or services includes but is not limited to assuring timely and accurate 
339.26 	distribution of benefits, completeness of service, and quality program management. In 
339.27 	addition to administering and supervising activities vested by law in the department, the 
339.28 	commissioner has the authority to:
339.29 	(1) require county agency participation in training and technical assistance programs to 
339.30 	promote compliance with statutes, rules, federal laws, regulations, and policies governing 
339.31 	the programs and activities administered by the commissioner;
339.32 	(2) monitor, on an ongoing basis, the performance of county agencies in the operation 
339.33 	and administration of activities and programs; enforce compliance with statutes, rules, 
340.1 	federal laws, regulations, and policies governing welfare services; and promote excellence 
340.2 	of administration and program operation;
340.3 	(3) develop a quality control program or other monitoring program to review county 
340.4 	performance and accuracy of benefit determinations;
340.5 	(4) require county agencies to make an adjustment to the public assistance benefits issued 
340.6 	to any individual consistent with federal law and regulation and state law and rule and to 
340.7 	issue or recover benefits as appropriate;
340.8 	(5) delay or deny payment of all or part of the state and federal share of benefits and 
340.9 	administrative reimbursement according to the procedures set forth in section 142A.10;
340.10 	(6) make contracts with and grants to public and private agencies and organizations, 
340.11 	both for-profit and nonprofit, and individuals, using appropriated funds; and
340.12 	(7) enter into contractual agreements with federally recognized Indian Tribes with a 
340.13 	reservation in Minnesota to the extent necessary for the Tribe to operate a federally approved 
340.14 	family assistance program or any other program under the supervision of the commissioner. 
340.15 	The commissioner shall consult with the affected county or counties in the contractual 
340.16 	agreement negotiations, if the county or counties wish to be included, in order to avoid the 
340.17 	duplication of county and Tribal assistance program services. The commissioner may 
340.18 	establish necessary accounts for the purposes of receiving and disbursing funds as necessary 
340.19 	for the operation of the programs.
340.20 	The commissioner shall work in conjunction with the commissioner of human services to 
340.21 	carry out the duties of this paragraph when necessary and feasible.
340.22 	(f) The commissioner shall inform county agencies, on a timely basis, of changes in 
340.23 	statute, rule, federal law, regulation, and policy necessary to county agency administration 
340.24 	of the programs and activities administered by the commissioner.
340.25 	(g) The commissioner shall administer and supervise child welfare activities, including 
340.26 	promoting the enforcement of laws preventing child maltreatment and protecting children 
340.27 	with a disability and children who are in need of protection or services, licensing and 
340.28 	supervising child care and child-placing agencies, and supervising the care of children in 
340.29 	foster care. The commissioner shall coordinate with the commissioner of human services 
340.30 	on activities impacting children overseen by the Department of Human Services, such as 
340.31 	disability services, behavioral health, and substance use disorder treatment.
340.32 	(h) The commissioner shall assist and cooperate with local, state, and federal departments, 
340.33 	agencies, and institutions.
341.1 	(i) The commissioner shall establish and maintain any administrative units reasonably 
341.2 	necessary for the performance of administrative functions common to all divisions of the 
341.3 	department.
341.4 	(j) The commissioner shall act as designated guardian of children pursuant to chapter 
341.5 	260C. For children under the guardianship of the commissioner or a Tribe in Minnesota 
341.6 	recognized by the Secretary of the Interior whose interests would be best served by adoptive 
341.7 	placement, the commissioner may contract with a licensed child-placing agency or a 
341.8 	Minnesota Tribal social services agency to provide adoption services. For children in 
341.9 	out-of-home care whose interests would be best served by a transfer of permanent legal and 
341.10 	physical custody to a relative under section 260C.515, subdivision 4, or equivalent in Tribal 
341.11 	code, the commissioner may contract with a licensed child-placing agency or a Minnesota 
341.12 	Tribal social services agency to provide permanency services. A contract with a licensed 
341.13 	child-placing agency must be designed to supplement existing county efforts and may not 
341.14 	replace existing county programs or Tribal social services, unless the replacement is agreed 
341.15 	to by the county board and the appropriate exclusive bargaining representative, Tribal 
341.16 	governing body, or the commissioner has evidence that child placements of the county 
341.17 	continue to be substantially below that of other counties. Funds encumbered and obligated 
341.18 	under an agreement for a specific child shall remain available until the terms of the agreement 
341.19 	are fulfilled or the agreement is terminated.
341.20 	(k) The commissioner has the authority to conduct and administer experimental projects 
341.21 	to test methods and procedures of administering assistance and services to recipients or 
341.22 	potential recipients of public benefits. To carry out the experimental projects, the 
341.23 	commissioner may waive the enforcement of existing specific statutory program 
341.24 	requirements, rules, and standards in one or more counties. The order establishing the waiver 
341.25 	must provide alternative methods and procedures of administration and must not conflict 
341.26 	with the basic purposes, coverage, or benefits provided by law. No project under this 
341.27 	paragraph shall exceed four years. No order establishing an experimental project as authorized 
341.28 	by this paragraph is effective until the following conditions have been met:
341.29 	(1) the United States Secretary of Health and Human Services has agreed, for the same 
341.30 	project, to waive state plan requirements relative to statewide uniformity; and
341.31 	(2) a comprehensive plan, including estimated project costs, has been approved by the 
341.32 	Legislative Advisory Commission and filed with the commissioner of administration.
341.33 	(l) The commissioner shall, according to federal requirements and in coordination with 
341.34 	the commissioner of human services, establish procedures to be followed by local welfare 
342.1 	boards in creating citizen advisory committees, including procedures for selection of 
342.2 	committee members.
342.3 	(m) The commissioner shall allocate federal fiscal disallowances or sanctions that are 
342.4 	based on quality control error rates for the aid to families with dependent children (AFDC) 
342.5 	program formerly codified in sections 256.72 to 256.87 or the Supplemental Nutrition 
342.6 	Assistance Program (SNAP) in the following manner:
342.7 	(1) one-half of the total amount of the disallowance shall be borne by the county boards 
342.8 	responsible for administering the programs. For AFDC, disallowances shall be shared by 
342.9 	each county board in the same proportion as that county's expenditures to the total of all 
342.10 	counties' expenditures for AFDC. For SNAP, sanctions shall be shared by each county 
342.11 	board, with 50 percent of the sanction being distributed to each county in the same proportion 
342.12 	as that county's administrative costs for SNAP benefits are to the total of all SNAP 
342.13 	administrative costs for all counties, and 50 percent of the sanctions being distributed to 
342.14 	each county in the same proportion as that county's value of SNAP benefits issued are to 
342.15 	the total of all benefits issued for all counties. Each county shall pay its share of the 
342.16 	disallowance to the state of Minnesota. When a county fails to pay the amount due under 
342.17 	this paragraph, the commissioner may deduct the amount from reimbursement otherwise 
342.18 	due the county, or the attorney general, upon the request of the commissioner, may institute 
342.19 	civil action to recover the amount due; and
342.20 	(2) notwithstanding the provisions of clause (1), if the disallowance results from knowing 
342.21 	noncompliance by one or more counties with a specific program instruction, and that knowing 
342.22 	noncompliance is a matter of official county board record, the commissioner may require 
342.23 	payment or recover from the county or counties, in the manner prescribed in clause (1), an 
342.24 	amount equal to the portion of the total disallowance that resulted from the noncompliance 
342.25 	and may distribute the balance of the disallowance according to clause (1).
342.26 	(n) The commissioner shall develop and implement special projects that maximize 
342.27 	reimbursements and result in the recovery of money to the state. For the purpose of recovering 
342.28 	state money, the commissioner may enter into contracts with third parties. Any recoveries 
342.29 	that result from projects or contracts entered into under this paragraph shall be deposited 
342.30 	in the state treasury and credited to a special account until the balance in the account reaches 
342.31 	$1,000,000. When the balance in the account exceeds $1,000,000, the excess shall be 
342.32 	transferred and credited to the general fund. All money in the account is appropriated to the 
342.33 	commissioner for the purposes of this paragraph.
343.1 	(o) The commissioner has the authority to establish and enforce the following county 
343.2 	reporting requirements:
343.3 	(1) the commissioner shall establish fiscal and statistical reporting requirements necessary 
343.4 	to account for the expenditure of funds allocated to counties for programs administered by 
343.5 	the commissioner. When establishing financial and statistical reporting requirements, the 
343.6 	commissioner shall evaluate all reports, in consultation with the counties, to determine if 
343.7 	the reports can be simplified or the number of reports can be reduced;
343.8 	(2) the county board shall submit monthly or quarterly reports to the department as 
343.9 	required by the commissioner. Monthly reports are due no later than 15 working days after 
343.10 	the end of the month. Quarterly reports are due no later than 30 calendar days after the end 
343.11 	of the quarter, unless the commissioner determines that the deadline must be shortened to 
343.12 	20 calendar days to avoid jeopardizing compliance with federal deadlines or risking a loss 
343.13 	of federal funding. Only reports that are complete, legible, and in the required format shall 
343.14 	be accepted by the commissioner;
343.15 	(3) if the required reports are not received by the deadlines established in clause (2), the 
343.16 	commissioner may delay payments and withhold funds from the county board until the next 
343.17 	reporting period. When the report is needed to account for the use of federal funds and the 
343.18 	late report results in a reduction in federal funding, the commissioner shall withhold from 
343.19 	the county boards with late reports an amount equal to the reduction in federal funding until 
343.20 	full federal funding is received;
343.21 	(4) a county board that submits reports that are late, illegible, incomplete, or not in the 
343.22 	required format for two out of three consecutive reporting periods is considered 
343.23 	noncompliant. When a county board is found to be noncompliant, the commissioner shall 
343.24 	notify the county board of the reason the county board is considered noncompliant and 
343.25 	request that the county board develop a corrective action plan stating how the county board 
343.26 	plans to correct the problem. The corrective action plan must be submitted to the 
343.27 	commissioner within 45 days after the date the county board received notice of 
343.28 	noncompliance;
343.29 	(5) the final deadline for fiscal reports or amendments to fiscal reports is one year after 
343.30 	the date the report was originally due. If the commissioner does not receive a report by the 
343.31 	final deadline, the county board forfeits the funding associated with the report for that 
343.32 	reporting period and the county board must repay any funds associated with the report 
343.33 	received for that reporting period;
344.1 	(6) the commissioner may not delay payments, withhold funds, or require repayment 
344.2 	under clause (3) or (5) if the county demonstrates that the commissioner failed to provide 
344.3 	appropriate forms, guidelines, and technical assistance to enable the county to comply with 
344.4 	the requirements. If the county board disagrees with an action taken by the commissioner 
344.5 	under clause (3) or (5), the county board may appeal the action according to sections 14.57 
344.6 	to 14.69; and
344.7 	(7) counties subject to withholding of funds under clause (3) or forfeiture or repayment 
344.8 	of funds under clause (5) shall not reduce or withhold benefits or services to clients to cover 
344.9 	costs incurred due to actions taken by the commissioner under clause (3) or (5).
344.10 	(p) The commissioner shall allocate federal fiscal disallowances or sanctions for audit 
344.11 	exceptions when federal fiscal disallowances or sanctions are based on a statewide random 
344.12 	sample in direct proportion to each county's claim for that period.
344.13 	(q) The commissioner is responsible for ensuring the detection, prevention, investigation, 
344.14 	and resolution of fraudulent activities or behavior by applicants, recipients, and other 
344.15 	participants in the programs administered by the department. The commissioner shall 
344.16 	cooperate with the commissioner of education to enforce the requirements for program 
344.17 	integrity and fraud prevention for investigation for child care assistance under chapter 142E.
344.18 	(r) The commissioner shall require county agencies to identify overpayments, establish 
344.19 	claims, and utilize all available and cost-beneficial methodologies to collect and recover 
344.20 	these overpayments in the programs administered by the department.
344.21 	(s) The commissioner shall develop recommended standards for child foster care homes 
344.22 	that address the components of specialized therapeutic services to be provided by child 
344.23 	foster care homes with those services.
344.24 	(t) The commissioner shall authorize the method of payment to or from the department 
344.25 	as part of the programs administered by the department. This authorization includes the 
344.26 	receipt or disbursement of funds held by the department in a fiduciary capacity as part of 
344.27 	the programs administered by the department.
344.28 	(u) In coordination with the commissioner of human services, the commissioner shall 
344.29 	create and provide county and Tribal agencies with blank applications, affidavits, and other 
344.30 	forms as necessary for public assistance programs.
344.31 	(v) The commissioner shall cooperate with the federal government and its public welfare 
344.32 	agencies in any reasonable manner as may be necessary to qualify for federal aid for 
344.33 	temporary assistance for needy families and in conformity with Title I of Public Law 104-193, 
345.1 	the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 and successor 
345.2 	amendments, including making reports that contain information required by the federal 
345.3 	Social Security Advisory Board and complying with any provisions the board may find 
345.4 	necessary to assure the correctness and verification of the reports.
345.5 	(w) On or before January 15 in each even-numbered year, the commissioner shall make 
345.6 	a biennial report to the governor concerning the activities of the agency.
345.7 	(x) The commissioner shall enter into agreements with other departments of the state as 
345.8 	necessary to meet all requirements of the federal government.
345.9 	(y) The commissioner may cooperate with other state agencies in establishing reciprocal 
345.10 	agreements in instances where a child receiving Minnesota family investment program 
345.11 	(MFIP) assistance or its out-of-state equivalent moves or contemplates moving into or out 
345.12 	of the state, in order that the child may continue to receive MFIP or equivalent aid from the 
345.13 	state moved from until the child has resided for one year in the state moved to.
345.14 	(z) The commissioner shall provide appropriate technical assistance to county agencies 
345.15 	to develop methods to have county financial workers remind and encourage recipients of 
345.16 	aid to families with dependent children, the Minnesota family investment program, the 
345.17 	Minnesota family investment plan, family general assistance, or SNAP benefits whose 
345.18 	assistance unit includes at least one child under the age of five to have each young child 
345.19 	immunized against childhood diseases. The commissioner must examine the feasibility of 
345.20 	utilizing the capacity of a statewide computer system to assist county agency financial 
345.21 	workers in performing this function at appropriate intervals.
345.22 	(aa) The commissioner shall have the power and authority to accept on behalf of the 
345.23 	state contributions and gifts for the use and benefit of children under the guardianship or 
345.24 	custody of the commissioner. The commissioner may also receive and accept on behalf of 
345.25 	such children money due and payable to them as old age and survivors insurance benefits, 
345.26 	veterans benefits, pensions, or other such monetary benefits. Gifts, contributions, pensions, 
345.27 	and benefits under this paragraph must be deposited in and disbursed from the social welfare 
345.28 	fund provided for in sections 256.88 to 256.92.
345.29 	(bb) The specific enumeration of powers and duties in this section must not be construed 
345.30 	to be a limitation upon the general powers granted to the commissioner.

345.31 	Sec. 2. Minnesota Statutes 2024, section 260.810, subdivision 1, is amended to read:
345.32 		Subdivision 1.Payments. The commissioner shall make grant payments to each approved 
345.33 	program in four quarterly installments a year. The commissioner may certify an advance 
346.1 	payment for the first quarter of the state fiscal year. Later payments must be made upon 
346.2 	receipt by the state of a quarterly report on finances and program activities quarterly.

346.3 	Sec. 3. Minnesota Statutes 2024, section 260.810, subdivision 2, is amended to read:
346.4 		Subd. 2.Quarterly report Reporting. The commissioner shall specify engage Tribal 
346.5 	and urban Indian organizations to establish requirements for reports and reporting timelines, 
346.6 	including quarterly fiscal reports submitted to the commissioner at least annually, according 
346.7 	to section 142A.03, subdivision 2, paragraph (o). Each quarter reporting period as agreed 
346.8 	upon by the commissioner and grantee, an approved program receiving an Indian child 
346.9 	welfare grant shall submit a report to the commissioner that includes:
346.10 	(1) a detailed accounting of grant money expended during the preceding quarter reporting 
346.11 	period, specifying expenditures by line item and year to date; and
346.12 	(2) a description of Indian child welfare activities conducted during the preceding quarter
346.13 	reporting period, including the number of clients served and the type of services provided.
346.14 	The quarterly Reports must be submitted no later than 30 days after the end of each 
346.15 	quarter agreed upon reporting timelines of the state fiscal year.

346.16 	Sec. 4. Minnesota Statutes 2024, section 260.821, subdivision 2, is amended to read:
346.17 		Subd. 2.Special focus grants. The amount available for grants established under section 
346.18 	260.785, subdivision 2, for child-placing agencies, Tribes, Indian organizations, and other 
346.19 	social services organizations is one-fifth of the total annual appropriation for Indian child 
346.20 	welfare grants. The maximum award under this subdivision is $100,000 a year for programs 
346.21 	approved by the commissioner.

346.22 	Sec. 5. Minnesota Statutes 2024, section 518A.46, subdivision 7, is amended to read:
346.23 		Subd. 7.Administrative redirection of support. (a) The public authority must provide 
346.24 	written notice of redirection to the obligee, the obligor, and the caregiver. The notice must 
346.25 	be mailed to the obligor, obligee, and caregiver at the obligee's, the obligor's, and the 
346.26 	caregiver's respective last known address. The notice must state the name of the child or 
346.27 	children for whom support will be redirected, to whom the support will be redirected, the 
346.28 	date the support will be redirected, and the amount of the support that will be redirected. 
346.29 	The notice must also inform the parties of the right to contest the redirection of support 
346.30 	according to paragraph (c).
347.1 	(b) If fewer than all of the children for whom the support is ordered reside with the 
347.2 	caregiver, the public authority must redirect the proportional share of the support for the 
347.3 	number of children residing with the caregiver.
347.4 	(c) The obligee or obligor may contest the redirection of support on the limited grounds 
347.5 	that:
347.6 	(1) the child or children do not reside or no longer reside with the caregiver;
347.7 	(2) under an out-of-home placement plan under section 260C.212, subdivision 1, that 
347.8 	includes a plan for reunification, all or part of the support is needed to maintain the obligee's 
347.9 	home; or
347.10 	(3) the redirection of support is not in the best interests of the child.
347.11 	(d) To contest the redirection, the obligee or obligor must make a written request for a 
347.12 	hearing to the public authority within 30 calendar days of the date of the written notice of 
347.13 	redirection. The hearing must be held at the earliest practicable time, but no later than 30 
347.14 	calendar days from the date the public authority receives the written request for a hearing. 
347.15 	If the public authority receives a timely written request for a hearing, the public authority 
347.16 	must schedule a hearing and serve the obligee and the obligor with a notice of hearing at 
347.17 	least 14 days before the date of the hearing. The notice must be served personally or by 
347.18 	mail at the obligee's and the obligor's respective last known address. The public authority 
347.19 	must file with the court the notice of hearing along with the notice of redirection at least 
347.20 	five days before the scheduled hearing. The court administrator must schedule these hearings 
347.21 	to be heard in the expedited process before a child support magistrate, but may schedule 
347.22 	these hearings in district court if the availability of a child support magistrate does not permit 
347.23 	a hearing to occur within the time frames of this subdivision.
347.24 	(e) If neither the obligee nor the obligor contests the redirection of support under this 
347.25 	subdivision, support must be redirected to the caregiver effective the first day of the month 
347.26 	following the expiration of the time period to contest under paragraph (d). If the obligee or 
347.27 	the obligor contests the redirection of support under paragraph (d), the public authority must 
347.28 	not redirect support to the caregiver pending the outcome of the hearing.
347.29 	(f) The redirection of the basic support, medical support, and child care support terminates 
347.30 	and the public authority must direct support to the obligee if the public authority determines 
347.31 	that:
347.32 	(1) the caregiver for the child no longer receives public assistance for the child;
347.33 	(2) the voluntary placement agreement expires; or
348.1 	(3) the court order placing the child is no longer in effect.; or
348.2 	(4) the redirection of support is not in the best interests of the child as determined under 
348.3 	section 260B.331, subdivision 1, or 260C.331, subdivision 1.
348.4 	(g) The public authority must notify the obligee, obligor, and caregiver of a termination 
348.5 	of the redirection of support by mailing a written notice to each of them at their last known 
348.6 	address. The termination is effective the first day of the month that occurs at least 14 calendar 
348.7 	days after the date the notice is mailed.

348.8 	EFFECTIVE DATE. This section is effective September 1, 2025.

348.9 	Sec. 6. CHILD WELFARE INFORMATION SYSTEM.
 348.10 		Subdivision 1.Direction to commissioner. The commissioner of children, youth, and 
348.11 	families must acquire, implement, and configure a data-driven comprehensive child welfare 
348.12 	information system that complies with federal and state laws and regulations.
348.13 		Subd. 2.System requirements. The commissioner of children, youth, and families, 
348.14 	when procuring and implementing the comprehensive child welfare information system, 
348.15 	must ensure that, to the extent funding is available, the system:
348.16 	(1) meets all federal requirements for a comprehensive child welfare information system 
348.17 	under Code of Federal Regulations, title 45, section 1355;
348.18 	(2) meets all state requirements, including those established in Laws 2024, chapter 115, 
348.19 	article 12, section 32, and Laws 2024, chapter 115, article 22, section 2, subdivision 2, 
348.20 	paragraph (a);
348.21 	(3) provides comprehensive statewide data reports, including data on law enforcement 
348.22 	involvement in the child protection system;
348.23 	(4) incorporates responsive design capabilities that provide seamless access to the system 
348.24 	application from a variety of electronic devices, including but not limited to mobile devices, 
348.25 	while ensuring data security and compliance with all federal and state data privacy 
348.26 	requirements;
348.27 	(5) gathers information necessary to implement and ensure compliance with all state 
348.28 	and federal laws, including but not limited to the federal Indian Child Welfare Act, the 
348.29 	Minnesota Indian Family Preservation Act under Minnesota Statutes, sections 260.751 to 
348.30 	260.836, and the Minnesota African American Family Preservation and Child Welfare 
348.31 	Disproportionality Act under Minnesota Statutes, sections 260.61 to 260.693;
349.1 	(6) allows for integration of Tribal child welfare information systems to support sharing 
349.2 	of data when necessary while respecting Tribal data sovereignty; and
349.3 	(7) addresses other critical system needs identified by the commissioner, which may 
349.4 	include needs identified by local social services agencies.
349.5 		Subd. 3.Procurement. The commissioner of children, youth, and families, in 
349.6 	collaboration with the commissioner of information technology services, must utilize all 
349.7 	paths available to state agencies to ensure expedient procurement of a child welfare 
349.8 	information system that meets the requirements under this section, while incorporating 
349.9 	compliance needs and functionality, to ensure a modern user experience for stakeholders 
349.10 	who provide child welfare services. The commissioners must award the contract based on 
349.11 	best value, as defined in Minnesota Statutes, section 16C.02, subdivision 4.
349.12 		Subd. 4.Vendor requirements. In any request for proposal for the comprehensive child 
349.13 	welfare information system under this section, the commissioner of children, youth, and 
349.14 	families, in collaboration with the commissioner of information technology services, must 
349.15 	require an eligible vendor to:
349.16 	(1) have successfully implemented a child welfare system modernization project in 
349.17 	another state, and to provide contacts for references for successful implementation; and
349.18 	(2) have at least five years of implementation expertise and experience in child welfare 
349.19 	system modernization.
349.20 		Subd. 5.Stakeholder consultation. (a) The commissioner of children, youth, and 
349.21 	families must consult and collaborate with stakeholders, including frontline child protection 
349.22 	workers, during the process of acquiring, implementing, and configuring the comprehensive 
349.23 	child welfare system, and ensure that local social services agencies are permitted to participate 
349.24 	in system testing before final implementation of any systems or applications.
349.25 	(b) The commissioner of children, youth, and families must engage in formal consultation 
349.26 	with Minnesota Tribal governments under Minnesota Statutes, section 10.65.
349.27 		Subd. 6.Reporting. (a) By March 15, 2026, the commissioner of children, youth, and 
349.28 	families must provide the chairs and ranking minority members of the legislative committees 
349.29 	with jurisdiction over child welfare and state and local government with a plan and estimated 
349.30 	timeline for modernization of the child welfare information system in compliance with state 
349.31 	law and federal Comprehensive Child Welfare Information System requirements.
349.32 	(b) By August 15, 2026, and by each January 15 and July 15 thereafter, the commissioner 
349.33 	must provide an update on the child welfare information system modernization efforts and 
350.1 	progress toward federal compliance required under this section to the chairs and ranking 
350.2 	minority members of the legislative committees with jurisdiction over child welfare and 
350.3 	state and local government. This paragraph expires upon the commissioner's report to the 
350.4 	chairs and ranking minority members of the legislative committees with jurisdiction over 
350.5 	child welfare and state and local government that the modernization required under this 
350.6 	section has been substantially completed.

350.7 	Sec. 7. SCAN OF AND REPORT ON OUT-OF-SCHOOL AND YOUTH 
350.8 	PROGRAMMING.
 350.9 	(a) The commissioner of children, youth, and families must conduct a scan of 
350.10 	out-of-school and youth programming for youth under 21 years of age. The scan may include 
350.11 	a review of existing reports, targeted interviews, surveys, and other methodologies, as 
350.12 	determined by the commissioner.
350.13 	(b) When conducting the scan, the commissioner must collaborate with community 
350.14 	organizations and programming providers who provide out-of-school and youth 
350.15 	programming; parents, youth, and families who participate or have participated in 
350.16 	out-of-school and youth programming; and other individuals with expertise in out-of-school 
350.17 	and youth programming in order to:
350.18 	(1) identify different avenues for gathering information; and
350.19 	(2) collaborate in the outreach and facilitation of focused community engagement.
350.20 	(c) By July 1, 2026, the commissioner must prepare and submit a final report to the 
350.21 	chairs and ranking minority members of the legislative committees with jurisdiction over 
350.22 	children, youth, and families. The commissioner may contract with consultants to help with 
350.23 	the development of the report. The report must include:
350.24 	(1) information on current federal, state, Tribal, county, and city out-of-school and youth 
350.25 	programs;
350.26 	(2) school districts that offer enrichment activities;
350.27 	(3) information on availability and amount of funding sources, the costs to provide the 
350.28 	out-of-school and youth programs, and the costs of the programs for families;
350.29 	(4) any barriers and gaps for families to participate in the out-of-school and youth 
350.30 	programming, as identified by findings from the scan under paragraph (a) and in discussions 
350.31 	with community members and program providers;
350.32 	(5) information on the populations participating in out-of-school and youth programming;
351.1 	(6) differences in programming needs, opportunities, and accessibility between different 
351.2 	demographics and different regions of Minnesota; and
351.3 	(7) recommendations on policy and funding needs, including recommending potential 
351.4 	partners for program delivery to expand access to quality out-of-school and youth 
351.5 	programming.
351.6 	(d) By July 1, 2026, the commissioner must present the final report to the chairs and 
351.7 	ranking minority members of the legislative committees with jurisdiction over children, 
351.8 	youth, and families.

351.9 	ARTICLE 12
351.10 	EARLY CARE AND LEARNING POLICY

351.11 	Section 1. Minnesota Statutes 2024, section 142A.42, is amended to read:
351.12 	142A.42 DIAPER DISTRIBUTION GRANT PROGRAM.
351.13 		Subdivision 1.Establishment; purpose. The commissioner of children, youth, and 
351.14 	families shall establish a diaper distribution program to award competitive grants to eligible 
351.15 	applicants a sole-source grant to the Diaper Bank of Minnesota to provide diapers to 
351.16 	underresourced families statewide.
351.17 		Subd. 2.Eligibility. To be eligible for a grant under this section, an applicant the Diaper 
351.18 	Bank of Minnesota must demonstrate its capacity to distribute diapers statewide by having:
351.19 	(1) a network of well-established partners for diaper distribution;
351.20 	(2) the infrastructure needed to efficiently manage diaper procurement and distribution 
351.21 	statewide;
351.22 	(3) relationships with national organizations that support and enhance the work of 
351.23 	addressing diaper need;
351.24 	(4) the ability to engage in building community awareness of diaper need and advocate 
351.25 	for diaper need at local, state, and federal levels;
351.26 	(5) a commitment to and demonstration of working with organizations across ideological 
351.27 	and political spectrums;
351.28 	(6) the ability to address diaper need for children from birth through early childhood; 
351.29 	and
352.1 	(7) a commitment to working within an equity framework by ensuring access to 
352.2 	organizations that provide culturally specific services or are located in communities with 
352.3 	high concentrations of poverty.
352.4 		Subd. 3.Application. Applicants The Diaper Bank of Minnesota must apply to the 
352.5 	commissioner in a form and manner prescribed by the commissioner. Applications must be 
352.6 	filed at the times and for the periods determined by the commissioner.
352.7 		Subd. 4.Eligible uses of grant money. An eligible applicant that receives grant money 
352.8 	under this section shall The Diaper Bank of Minnesota must use the money awarded under 
352.9 	this section to purchase diapers and wipes and may use up to ten percent of the money for 
352.10 	administrative costs.
352.11 		Subd. 5.Enforcement. (a) An eligible applicant that receives grant money under this 
352.12 	section The Diaper Bank of Minnesota must:
352.13 	(1) retain records documenting expenditure of the grant money;
352.14 	(2) report to the commissioner on the use of the grant money; and
352.15 	(3) comply with any additional requirements imposed by the commissioner.
352.16 	(b) The commissioner may require that a report submitted under this subdivision include 
352.17 	an independent audit.

352.18 	Sec. 2. Minnesota Statutes 2024, section 142D.21, is amended by adding a subdivision to 
352.19 	read:
352.20 		Subd. 11.Data. Data under this section are public except:
352.21 	(1) data collected on a child's enrollment and attendance under subdivision 3, paragraph 
352.22 	(a), clause (2), that may allow for identification of a child or family, as determined by the 
352.23 	commissioner, are private data on individuals as defined in section 13.02, subdivision 12;
352.24 	(2) data related to operating expenses or an individual's employment are private or 
352.25 	nonpublic data; and
352.26 	(3) data for legal nonlicensed child care providers under subdivision 8 are private or 
352.27 	nonpublic data.

353.1 	ARTICLE 13
353.2 	EARLY CARE AND LEARNING FINANCE

353.3 	Section 1. Minnesota Statutes 2024, section 142A.76, subdivision 2, is amended to read:
353.4 		Subd. 2.Establishment. The Office of Restorative Practices is established within the 
353.5 	Department of Public Safety Children, Youth, and Families. The Office of Restorative 
353.6 	Practices shall have the powers and duties described in this section.

353.7 	Sec. 2. Minnesota Statutes 2024, section 142A.76, subdivision 3, is amended to read:
353.8 		Subd. 3.Director; other staff. (a) The commissioner of public safety children, youth, 
353.9 	and families shall appoint a director of the Office of Restorative Practices. The director 
353.10 	should have qualifications that include or are similar to the following:
353.11 	(1) experience in the many facets of restorative justice and practices such as peacemaking 
353.12 	circles, sentencing circles, community conferencing, community panels, and family group 
353.13 	decision making;
353.14 	(2) experience in victim-centered and trauma-informed practices;
353.15 	(3) knowledge of the range of social problems that bring children and families to points 
353.16 	of crisis such as poverty, racism, unemployment, and unequal opportunity;
353.17 	(4) knowledge of the many ways youth become involved in other systems such as truancy, 
353.18 	juvenile delinquency, and child protection; and
353.19 	(5) understanding of educational barriers.
353.20 	(b) The director shall hire additional staff to perform the duties of the Office of 
353.21 	Restorative Practices. The staff shall be in the classified service of the state and their 
353.22 	compensation shall be established pursuant to chapter 43A.

353.23 	Sec. 3. [142B.68] VIDEO SECURITY CAMERAS IN CHILD CARE CENTERS.
353.24 		Subdivision 1.Definitions. (a) For the purposes of this section, the terms defined in this 
353.25 	subdivision have the meanings given.
353.26 	(b) "Facility" means the indoor space in which child care is provided that is owned, 
353.27 	leased, or operated by a licensed child care center and does not include any outdoor space.
353.28 	(c) "Video security camera" means a closed-circuit video camera or other closed circuit 
353.29 	device that captures or records video.
354.1 		Subd. 2.Applicability. Beginning July 1, 2026, a licensed child care center must have 
354.2 	video security cameras in public and shared areas of its facility as provided under subdivision 
354.3 	3 and comply with the requirements of this section if the center is required to post a 
354.4 	maltreatment investigation memorandum under section 142B.16, subdivision 5, or 142B.18, 
354.5 	subdivision 6. A center must comply with the requirements under this section within six 
354.6 	months of when the maltreatment investigation memorandum is posted and must maintain 
354.7 	compliance for four years after the memorandum is required to be posted.
354.8 		Subd. 3.Requirements for video security cameras. (a) A licensed child care center 
354.9 	must have at least one video security camera in each room designated for infants or toddlers. 
354.10 	The camera must be positioned to provide maximum visibility of the room. If one camera 
354.11 	is not sufficient to view at least 80 percent of the square footage of the room, the center 
354.12 	must place an additional camera or cameras in the room to achieve maximum visibility of 
354.13 	the room.
354.14 	(b) The video security cameras must:
354.15 	(1) be turned on and recording at all times the licensed child care center is in operation;
354.16 	(2) record and display the accurate date and time;
354.17 	(3) have a display resolution of 720p or higher; and
354.18 	(4) have a frames per second rate of 15 or higher.
354.19 	(c) A licensed child care center is exempt from having cameras that meet the requirements 
354.20 	under paragraph (b), clauses (3) and (4), if the center has cameras as required in paragraph 
354.21 	(a) prior to July 1, 2026.
354.22 		Subd. 4.Retention and disposal of recordings; access to recordings. (a) A licensed 
354.23 	child care center must retain video security camera recordings for 28 calendar days after 
354.24 	the date of the recording. Except as provided under paragraphs (b), (c), and (d), a licensed 
354.25 	child care center must dispose of video security camera recordings after 28 calendar days.
354.26 	(b) A licensed child care center that receives notice from a law enforcement official of 
354.27 	a suspected crime committed against a child at the center may not dispose of any video 
354.28 	security camera recordings until the law enforcement investigation of the suspected crime 
354.29 	is complete.
354.30 	(c) A licensed child care center must retain video security camera recordings related to 
354.31 	an incident that the center must report to the commissioner under Minnesota Rules, part 
354.32 	9503.0130, for six months from the date of the incident.
355.1 	(d) A licensed child care center may retain video security camera recordings to use for 
355.2 	training center employees. Any recordings used for training purposes must redact, as defined 
355.3 	under section 13.825, subdivision 1, identifying information on children shown or heard in 
355.4 	the recording, unless a parent or legal guardian has provided written consent that the center 
355.5 	may use unredacted recordings of the parent's or guardian's child.
355.6 	(e) A licensed child care center must adhere to additional requirements issued by the 
355.7 	commissioner regarding retention and disposal of video security camera recordings.
355.8 	(f) A licensed child care center must establish appropriate security safeguards for video 
355.9 	security camera recordings, including procedures for ensuring that the recordings are only 
355.10 	accessible to persons whose work assignment reasonably requires access to the recordings, 
355.11 	and are only accessed by those persons for purposes described in the procedure. All queries 
355.12 	and responses and all actions in which the recordings are accessed, shared, or disseminated 
355.13 	must be recorded, including the day and time of the action and who was involved in the 
355.14 	action. Data created pursuant to this paragraph are subject to the same requirements as the 
355.15 	underlying recording under this section.
355.16 		Subd. 5.Dissemination of recordings. (a) A licensed child care center must not sell, 
355.17 	share, transmit, or disseminate a video security camera recording to any person except as 
355.18 	authorized by this subdivision.
355.19 	(b) A child care center must disseminate a video security camera recording pursuant to 
355.20 	a valid court order, search warrant, or subpoena in a civil, criminal, or administrative 
355.21 	proceeding, including an investigation by the commissioner.
355.22 	(c) An employee of a licensed child care center who is the subject of proposed disciplinary 
355.23 	action by the center based upon evidence obtained by a video security camera must be given 
355.24 	access to that evidence for purposes of defending against the proposed action. An employee 
355.25 	who obtains a recording or a copy of the recording must treat the recording or copy 
355.26 	confidentially and must not further disseminate it to any other person except as required 
355.27 	under law. The employee must not keep the recording or copy or a portion of the recording 
355.28 	or copy after the recording is no longer needed for purposes of defending against a proposed 
355.29 	action.
355.30 		Subd. 6.Exception. Notwithstanding the requirement to have closed-circuit video 
355.31 	security cameras under this section and subdivision 5, paragraph (a), a licensed child care 
355.32 	center that, as of July 1, 2026, provided remote viewing of video footage for parents and 
355.33 	legal guardians may continue to do so in the same manner.
356.1 		Subd. 7.Hold harmless. (a) The commissioner may not issue a fix-it ticket, correction 
356.2 	order, or order of conditional license against a child care center license holder for a licensing 
356.3 	violation that does not imminently endanger the health or safety of the children served by 
356.4 	the center, if the only source of evidence for the violation is video security camera recordings 
356.5 	reviewed as part of an investigation under subdivision 5, paragraph (b). This paragraph 
356.6 	expires upon implementation of the child care weighted risk system under section 142B.171. 
356.7 	The commissioner shall notify the revisor of statutes when the system has been implemented.
356.8 	(b) Upon implementation of the child care weighted risk system under section 142B.171, 
356.9 	the commissioner may not take a licensing action against a child care center license holder 
356.10 	for a violation that counts as 6.5 or below for a child care center in the weighted risk system, 
356.11 	if the only source of evidence for the violation is video security camera recordings reviewed 
356.12 	as part of an investigation under subdivision 5, paragraph (b).
356.13 		Subd. 8.Written policy required. A licensed child care center must have a written 
356.14 	policy on the center's use of video security cameras that includes the following:
356.15 	(1) the days and times the video security cameras in the facility are in use;
356.16 	(2) the locations of all areas monitored by video security cameras in the facility;
356.17 	(3) the center's retention and disposal policies and procedures for the video security 
356.18 	camera recordings;
356.19 	(4) the center's policies governing access to the video security camera recordings; and
356.20 	(5) the center's security safeguards and procedures regarding employee access to the 
356.21 	recordings.
356.22 		Subd. 9.Notices. (a) A licensed child care center must notify all parents and legal 
356.23 	guardians who apply to enroll or enroll a child in the center about the use of video security 
356.24 	cameras in the facility. At the time of a child's enrollment, the center must provide parents 
356.25 	and legal guardians with the video security camera policy required under subdivision 8.
356.26 	(b) A licensed child care center must post a sign at each facility entrance accessible to 
356.27 	visitors that states: "Video security cameras are present to record persons and activities."
356.28 		Subd. 10.Data practices. Video footage collected or maintained by the commissioner 
356.29 	under this section is classified as welfare data under section 13.46.

357.1 	Sec. 4. Minnesota Statutes 2024, section 142D.23, subdivision 3, is amended to read:
357.2 		Subd. 3.Eligible uses of money. Grantees must use money received under this section, 
357.3 	either directly or through grants to eligible child care providers, for one or more of the 
357.4 	following purposes:
357.5 	(1) the purchase of computers or mobile devices for use in business management;
357.6 	(2) access to the Internet through the provision of necessary hardware such as routers 
357.7 	or modems or by covering the costs of monthly fees for Internet access;
357.8 	(3) covering the costs of subscription to child care management software;
357.9 	(4) covering the costs of training in the use of technology for business management 
357.10 	purposes; or
357.11 	(5) providing grants for up to $4,000 to licensed child care centers to help cover the 
357.12 	costs of video security cameras and related training; or
357.13 	(5) (6) other services as determined by the commissioner.

357.14 	Sec. 5. Minnesota Statutes 2024, section 142D.31, subdivision 2, is amended to read:
357.15 		Subd. 2.Program components. (a) The nonprofit organization must use the grant for:
357.16 	(1) tuition scholarships up to $10,000 per year in amounts per year consistent with the 
357.17 	national TEACH early childhood program requirements for courses leading to the nationally 
357.18 	recognized child development associate credential or college-level courses leading to an 
357.19 	associate's degree or bachelor's degree in early childhood development and school-age care; 
357.20 	and
357.21 	(2) education incentives of a minimum of $250 to participants in the tuition scholarship 
357.22 	program if they complete a year of working in the early care and education field.
357.23 	(b) Applicants for the scholarship must be employed by a licensed or certified early 
357.24 	childhood or child care program and working directly with children, a licensed family child 
357.25 	care provider, employed by a public prekindergarten program, employed by a Head Start 
357.26 	program, or an employee in a school-age program exempt from licensing under section 
357.27 	142B.05, subdivision 2, paragraph (a), clause (8). Lower wage earners must be given priority 
357.28 	in awarding the tuition scholarships. Scholarship recipients must contribute at least ten 
357.29 	percent of the total scholarship and must be sponsored by their employers, who must also 
357.30 	contribute at least five percent of the total scholarship. Scholarship recipients who are 
357.31 	self-employed work in licensed family child care under Minnesota Rules, chapter 9502,
358.1 	must contribute 20 at least ten percent of the total scholarship and are not required to receive 
358.2 	employer sponsorship or employer match.

358.3 	Sec. 6. Minnesota Statutes 2024, section 142E.03, subdivision 3, is amended to read:
358.4 		Subd. 3.Redeterminations. (a) Notwithstanding Minnesota Rules, part 3400.0180, item 
358.5 	A, the county shall conduct a redetermination according to paragraphs (b) and (c).
358.6 	(b) The county shall use the redetermination form developed by the commissioner. The 
358.7 	county must verify the factors listed in subdivision 1, paragraph (a), as part of the 
358.8 	redetermination.
358.9 	(c) An applicant's eligibility must be redetermined no more frequently than every 12 
358.10 	months. The following criteria apply:
358.11 	(1) a family meets the eligibility redetermination requirements if a complete 
358.12 	redetermination form and all required verifications are received within 30 days after the 
358.13 	date the form was due;
358.14 	(2) if the 30th day after the date the form was due falls on a Saturday, Sunday, or holiday, 
358.15 	the 30-day time period is extended to include the next day that is not a Saturday, Sunday, 
358.16 	or holiday. Assistance shall be payable retroactively from the redetermination due date;
358.17 	(3) for a family where at least one parent is younger than 21 years of age, does not have 
358.18 	a high school degree or commissioner of education-selected high school equivalency 
358.19 	certification, and is a student in a school district or another similar program that provides 
358.20 	or arranges for child care, parenting, social services, career and employment supports, and 
358.21 	academic support to achieve high school graduation, the redetermination of eligibility may 
358.22 	be deferred beyond 12 months, to the end of the student's school year; and
358.23 	(4) starting May 25, 2026, if a new eligible child is added to the family and has care 
358.24 	authorized, the redetermination of eligibility must be extended 12 months from the eligible 
358.25 	child's arrival date; and
358.26 	(4) (5) a family and the family's providers must be notified that the family's 
358.27 	redetermination is due at least 45 days before the end of the family's 12-month eligibility 
358.28 	period.

358.29 	Sec. 7. Minnesota Statutes 2024, section 142E.11, subdivision 1, is amended to read:
358.30 		Subdivision 1.General authorization requirements. (a) When authorizing the amount 
358.31 	of child care, the county agency must consider the amount of time the parent reports on the 
359.1 	application or redetermination form that the child attends preschool, a Head Start program, 
359.2 	or school while the parent is participating in an authorized activity.
359.3 	(b) Care must be authorized and scheduled with a provider based on the applicant's or 
359.4 	participant's verified activity schedule when:
359.5 	(1) the family requests care from more than one provider per child;
359.6 	(2) the family requests care from a legal nonlicensed provider; or
359.7 	(3) an applicant or participant is employed by any child care center that is licensed by 
359.8 	the Department of Children, Youth, and Families or has been identified as a high-risk 
359.9 	Medicaid-enrolled provider.
359.10 	This paragraph expires March 2, 2026.
359.11 	(c) If the family remains eligible at redetermination, a new authorization with fewer 
359.12 	hours, the same hours, or increased hours may be determined.

359.13 	Sec. 8. Minnesota Statutes 2024, section 142E.11, subdivision 2, is amended to read:
359.14 		Subd. 2.Maintain steady child care authorizations. (a) Notwithstanding Minnesota 
359.15 	Rules, chapter 3400, the amount of child care authorized under section 142E.12 for 
359.16 	employment, education, or an MFIP employment plan shall continue at the same number 
359.17 	of hours or more hours until redetermination, including:
359.18 	(1) when the other parent moves in and is employed or has an education plan under 
359.19 	section 142E.12, subdivision 3, or has an MFIP employment plan; or
359.20 	(2) when the participant's work hours are reduced or a participant temporarily stops 
359.21 	working or attending an approved education program. Temporary changes include, but are 
359.22 	not limited to, a medical leave, seasonal employment fluctuations, or a school break between 
359.23 	semesters.
359.24 	(b) The county may increase the amount of child care authorized at any time if the 
359.25 	participant verifies the need for increased hours for authorized activities.
359.26 	(c) The county may reduce the amount of child care authorized if a parent requests a 
359.27 	reduction or because of a change in:
359.28 	(1) the child's school schedule;
359.29 	(2) the custody schedule; or
359.30 	(3) the provider's availability.
360.1 	(d) The amount of child care authorized for a family subject to subdivision 1, paragraph 
360.2 	(b), must change when the participant's activity schedule changes. Paragraph (a) does not 
360.3 	apply to a family subject to subdivision 1, paragraph (b). This paragraph expires March 2, 
360.4 	2026.
360.5 	(e) When a child reaches 13 years of age or a child with a disability reaches 15 years of 
360.6 	age, the amount of child care authorized shall continue at the same number of hours or more 
360.7 	hours until redetermination.

360.8 	Sec. 9. Minnesota Statutes 2024, section 142E.13, subdivision 2, is amended to read:
360.9 		Subd. 2.Extended eligibility and redetermination. (a) If the family received three 
360.10 	months of extended eligibility and redetermination is not due, to continue receiving child 
360.11 	care assistance the participant must be employed or have an education plan that meets the 
360.12 	requirements of section 142E.12, subdivision 3, or have an MFIP employment plan. 
360.13 	Notwithstanding Minnesota Rules, part 3400.0110, if child care assistance continues, the 
360.14 	amount of child care authorized shall continue at the same number or more hours until 
360.15 	redetermination, unless a condition in section 142E.11, subdivision 2, paragraph (c), applies. 
360.16 	A family subject to section 142E.11, subdivision 1, paragraph (b), shall have child care 
360.17 	authorized based on a verified activity schedule.
360.18 	(b) If the family's redetermination occurs before the end of the three-month extended 
360.19 	eligibility period to continue receiving child care assistance, the participant must verify that 
360.20 	the participant meets eligibility and activity requirements for child care assistance under 
360.21 	this chapter. IfNotwithstanding Minnesota Rules, part 3400.0110, if child care assistance 
360.22 	continues, the amount of child care authorized is based on section 142E.12. A family subject 
360.23 	to section 142E.11, subdivision 1, paragraph (b), shall have child care authorized based on 
360.24 	a verified activity schedule.

360.25 	EFFECTIVE DATE. This section is effective May 25, 2026.

360.26 	Sec. 10. Minnesota Statutes 2024, section 142E.15, subdivision 1, is amended to read:
360.27 		Subdivision 1.Fee schedule. All changes to parent fees must be implemented on the 
360.28 	first Monday of the service period following the effective date of the change.
360.29 	PARENT FEE SCHEDULE. The parent fee schedule is as follows, except as noted in 
360.30 	subdivision 2:

361.1
361.2
361.3	Income Range (as a percent of the state 
median income, except for the first tier and
at the start of the first second tier)
	Co-payment (as a percentage of adjusted 
gross income)
	
361.4
361.5	0-74.99% 0-99.99% of federal poverty 
guidelines
	$0/biweekly
	
361.6	75.00-99.99% of federal poverty guidelines
	$2/biweekly
	
361.7
361.8	100.00% of federal poverty 
guidelines-27.72% 27.99%
	2.61% 2.6%
	
361.9	27.73-29.04%
	2.61%
	
361.10	29.05-30.36%
	2.61%
	
361.11	30.37-31.68%
	2.61%
	
361.12	31.69-33.00%
	2.91%
	
361.13	33.01-34.32%
	2.91%
	
361.14	34.33-35.65%
	2.91%
	
361.15	35.66-36.96%
	2.91%
	
361.16	36.97-38.29%
	3.21%
	
361.17	38.30-39.61%
	3.21%
	
361.18	39.62-40.93%
	3.21%
	
361.19	40.94-42.25%
	3.84%
	
361.20	42.26-43.57%
	3.84%
	
361.21	43.58-44.89%
	4.46%
	
361.22	44.90-46.21%
	4.76%
	
361.23	46.22-47.53%
	5.05%
	
361.24	47.54-48.85%
	5.65%
	
361.25	48.86-50.17%
	5.95%
	
361.26	50.18-51.49%
	6.24%
	
361.27	51.50-52.81%
	6.84%
	
361.28	52.82-54.13%
	7.58%
	
361.29	54.14-55.45%
	8.33%
	
361.30	55.46-56.77%
	9.20%
	
361.31	56.78-58.09%
	10.07%
	
361.32	58.10-59.41%
	10.94%
	
361.33	59.42-60.73%
	11.55%
	
361.34	60.74-62.06%
	12.16%
	
361.35	62.07-63.38%
	12.77%
	
361.36	63.39-64.70%
	13.38%
	
361.37	64.71-67.00%
	14.00%
	
361.38	28.00-30.99%
	2.6%
	
361.39	31.00-33.99%
	2.6%
	
362.1	34.00-36.99%
	2.9%
	
362.2	37.00-39.99%
	3.2%
	
362.3	40.00-42.99%
	3.8%
	
362.4	43.00-45.99%
	4.4%
	
362.5	46.00-48.99%
	5.0%
	
362.6	49.00-51.99%
	5.6%
	
362.7	52.00-54.99%
	6.2%
	
362.8	55.00-57.99%
	6.8%
	
362.9	58.00-60.99%
	6.9%
	
362.10	61.00-63.99%
	6.9%
	
362.11	64.00-67.00%
	6.9%
	
362.12	Greater than 67.00%
	ineligible
	
362.13 	A family's biweekly co-payment fee is the fixed percentage established for the income 
362.14 	range multiplied by the highest lowest possible income within that income range.

362.15 	EFFECTIVE DATE. This section is effective October 9, 2028.

362.16 	Sec. 11. Minnesota Statutes 2024, section 142E.16, subdivision 3, is amended to read:
362.17 		Subd. 3.Training required. (a) Prior to initial authorization as required in subdivision 
362.18 	1, a legal nonlicensed family child care provider must complete first aid and CPR training 
362.19 	and provide the verification of first aid and CPR training to the commissioner. The training 
362.20 	documentation must have valid effective dates as of the date the registration request is 
362.21 	submitted to the commissioner. The training must have been provided by an individual 
362.22 	approved to provide first aid and CPR instruction and have included CPR techniques for 
362.23 	infants and children.
362.24 	(b) Upon each reauthorization after the authorization period when the initial first aid 
362.25 	and CPR training requirements are met, a legal nonlicensed family child care provider must 
362.26 	provide verification of at least eight hours of additional training listed in the Minnesota 
362.27 	Center for Professional Development Registry.
362.28 	(c) Every 12 months, a legal nonlicensed family child care provider who is unrelated to 
362.29 	the child they care for must complete two hours of training in caring for children approved 
362.30 	by the commissioner.
362.31 	(c) (d) This subdivision only applies to legal nonlicensed family child care providers.

362.32 	EFFECTIVE DATE. This section is effective October 1, 2025.

363.1 	Sec. 12. Minnesota Statutes 2024, section 142E.16, subdivision 7, is amended to read:
363.2 		Subd. 7.Record-keeping requirement. (a) As a condition of payment, all providers 
363.3 	receiving child care assistance payments must:
363.4 	(1) keep accurate and legible daily attendance records at the site where services are 
363.5 	delivered for children receiving child care assistance; and
363.6 	(2) make those records available immediately to the county or the commissioner upon 
363.7 	request. Any records not provided to a county or the commissioner at the date and time of 
363.8 	the request are deemed inadmissible if offered as evidence by the provider in any proceeding 
363.9 	to contest an overpayment or disqualification of the provider.; and
363.10 	(3) submit data on child enrollment and attendance in the form and manner specified by 
363.11 	the commissioner.
363.12 	(b) As a condition of payment, attendance records must be completed daily and include 
363.13 	the date, the first and last name of each child in attendance, and the times when each child 
363.14 	is dropped off and picked up. To the extent possible, the times that the child was dropped 
363.15 	off to and picked up from the child care provider must be entered by the person dropping 
363.16 	off or picking up the child. The daily attendance records must be retained at the site where 
363.17 	services are delivered for six years after the date of service.
363.18 	(c) When the county or the commissioner knows or has reason to believe that a current 
363.19 	or former provider has not complied with the record-keeping requirement in this subdivision:
363.20 	(1) the commissioner may:
363.21 	(i) deny or revoke a provider's authorization to receive child care assistance payments 
363.22 	under section 142E.17, subdivision 9, paragraph (d);
363.23 	(ii) pursue an administrative disqualification under sections 142E.51, subdivision 5, and 
363.24 	256.98; or
363.25 	(iii) take an action against the provider under sections 142E.50 to 142E.58 section 
363.26 	142E.51; or
363.27 	(2) a county or the commissioner may establish an attendance record overpayment under 
363.28 	paragraph (d).
363.29 	(d) To calculate an attendance record overpayment under this subdivision, the 
363.30 	commissioner or county agency shall subtract the maximum daily rate from the total amount 
363.31 	paid to a provider for each day that a child's attendance record is missing, unavailable, 
363.32 	incomplete, inaccurate, or otherwise inadequate.
364.1 	(e) The commissioner shall develop criteria for a county to determine an attendance 
364.2 	record overpayment under this subdivision.

364.3 	EFFECTIVE DATE. This section is effective June 22, 2026.

364.4 	Sec. 13. Minnesota Statutes 2024, section 245.0962, subdivision 1, is amended to read:
364.5 		Subdivision 1.Establishment. The commissioner of human services children, youth, 
364.6 	and families must establish a quality parenting initiative grant program to implement quality 
364.7 	parenting initiative principles and practices to support children and families experiencing 
364.8 	foster care placements.

364.9 	EFFECTIVE DATE. This section is effective July 1, 2025.

364.10 	Sec. 14. Minnesota Statutes 2024, section 245.975, subdivision 1, is amended to read:
364.11 		Subdivision 1.Creation and appointment. The Office of the Ombudsperson for Family 
364.12 	Child Care Providers is hereby created. The governor shall appoint an ombudsperson in the 
364.13 	unclassified service to assist family child care providers with licensing, compliance, and 
364.14 	other issues facing family child care providers. The ombudsperson must be selected without 
364.15 	regard to the person's political affiliation and must have been a licensed family child care 
364.16 	provider for at least three years. The ombudsperson shall serve a term of four years, which 
364.17 	may be renewed, and may be removed prior to the end of the term for just cause.

364.18 	Sec. 15. Laws 2021, First Special Session chapter 7, article 2, section 81, is amended to 
364.19 	read:
364.20 	Sec. 81. FAMILY CHILD CARE REGULATION MODERNIZATION.
 364.21 	(a) The commissioner of human services shall children, youth, and families must contract 
364.22 	with an experienced and independent organization or individual consultant to conduct the 
364.23 	work outlined in this section. If practicable, the commissioner must contract with the National 
364.24 	Association for Regulatory Administration.
364.25 	(b) The consultant must develop a proposal for updated family child care licensing 
364.26 	standards and solicit input from stakeholders as described in paragraph (d). The proposed 
364.27 	new standards must protect the health and safety of children in family child care programs 
364.28 	and be child centered, family friendly, and fair to providers.
364.29 	(c) The consultant must work with stakeholders and the Department of Children, Youth, 
364.30 	and Families, as described in paragraph (d), to develop a proposal for a risk-based model 
365.1 	for monitoring compliance with family child care licensing standards, grounded in national 
365.2 	regulatory best practices. Violations in the new model must be weighted to reflect the 
365.3 	potential risk they pose to children's health and safety, and licensing sanctions must be tied 
365.4 	to the potential risk. The proposed new model must protect the health and safety of children 
365.5 	in family child care programs and be child-centered, family-friendly, and fair to providers.
365.6 	(d) The consultant shall must develop and implement a stakeholder engagement process 
365.7 	that solicits input from parents, licensed family child care providers, county licensors, staff 
365.8 	of the Department of Human Services Children, Youth, and Families, and experts in child 
365.9 	development about licensing standards, tiers for violations of the standards based on the 
365.10 	potential risk of harm that each violation poses, and licensing sanctions for each tier. The 
365.11 	consultant and commissioner must engage with working groups of licensed family child 
365.12 	care providers at least five times throughout the stakeholder engagement process, and include 
365.13 	both daytime and evening engagement opportunities as needed.
365.14 	(e) The consultant shall solicit input from parents, licensed family child care providers, 
365.15 	county licensors, and staff of the Department of Human Services Children, Youth, and 
365.16 	Families about which family child care providers should be eligible for abbreviated 
365.17 	inspections that predict compliance with other licensing standards for licensed family child 
365.18 	care providers using key indicators previously identified by an empirically based statistical 
365.19 	methodology developed by the National Association for Regulatory Administration and the 
365.20 	Research Institute for Key Indicators.
365.21 	(f) No later than February January 1, 2024 2026, the commissioner shall must submit a 
365.22 	report and proposed legislation required to implement the new licensing model and the new 
365.23 	licensing standards to the chairs and ranking minority members of the legislative committees 
365.24 	with jurisdiction over child care regulation. Throughout the drafting of the report and 
365.25 	proposed legislation required under this paragraph, the commissioner must engage providers 
365.26 	whose primary language is not English to have those providers review translated drafts of 
365.27 	the report and written materials provided at engagement sessions to provide feedback on 
365.28 	the draft standards. This engagement must occur within focus groups or meetings that are 
365.29 	held at convenient times for the providers, including both daytime and evening sessions.
365.30 	(g) The proposals developed under paragraphs (b) and (c); any presentations, summary 
365.31 	documents, engagement invitations, surveys, and drafts of the report used in the stakeholder 
365.32 	engagement process under paragraph (d) or when soliciting input under paragraph (e); and 
365.33 	the report required under paragraph (f) must also be made available in Hmong, Somali, and 
365.34 	Spanish.
366.1 	(h) The updated family child care licensing standards proposed under paragraph (b) and 
366.2 	the risk-based model for monitoring compliance with family child care licensing standards 
366.3 	proposed under paragraph (c) must not be implemented any earlier than January 1, 2027.

366.4 	Sec. 16. ELIMINATING SCHEDULE REPORTER DESIGNATION.
 366.5 	Notwithstanding Minnesota Statutes, section 142E.04, subdivisions 6, 7, and 8, the 
366.6 	commissioner of children, youth, and families must allocate additional basic sliding fee 
366.7 	child care money for calendar years 2026 and 2027 to counties and Tribes to account for 
366.8 	eliminating the schedule reporter designation in the child care assistance program. In 
366.9 	allocating the additional money, the commissioner shall consider:
366.10 	(1) the number of children who are in schedule reporter families; and
366.11 	(2) the average basic sliding fee cost of care in the county or Tribe.

366.12 	Sec. 17. CHILDREN AND FAMILIES INFORMATION TECHNOLOGY SYSTEMS 
366.13 	MODERNIZATION.
 366.14 		Subdivision 1.Direction to commissioner. To the extent there is funding available 
366.15 	under Laws 2023, chapter 70, article 12, section 32, for these purposes in the state systems 
366.16 	account established under Minnesota Statutes, section 142A.04, subdivision 2, the 
366.17 	commissioner of children, youth, and families must establish and implement the information 
366.18 	technology systems described under this section and support ongoing maintenance for the 
366.19 	systems.
366.20 		Subd. 2.Family common application tool. The commissioner must establish and 
366.21 	implement an application tool that allows families to apply for available early care and 
366.22 	education support programs. The application tool must:
366.23 	(1) provide integrated support in multiple languages, including real-time translation 
366.24 	capabilities;
366.25 	(2) include an eligibility screener;
366.26 	(3) to the extent possible, include capability for automatic pre-population of known 
366.27 	family data aligned with state identity validation tools and processes:
366.28 	(4) enable application completion and submission across multiple programs and services;
366.29 	(5) integrate selection tool for early care and education programs; and
366.30 	(6) operate using the software as a service model that ensures frequent maintenance and 
366.31 	user experience updates.
367.1 		Subd. 3.Payments system. The commissioner must establish and implement a 
367.2 	centralized, integrated payment system for early care and education funding streams that:
367.3 	(1) integrates seamlessly with the existing provider licensing and reporting hub;
367.4 	(2) implements real-time payment processing and cash management capabilities, including 
367.5 	instant fund transfers and automated reconciliation;
367.6 	(3) incorporates robust security measures, including fraud detection and prevention;
367.7 	(4) enables automated compliance with state and federal reporting requirements;
367.8 	(5) provides a user-friendly interface with mobile accessibility for child care providers 
367.9 	to manage invoices and payments;
367.10 	(6) ensures interoperability with other relevant state systems and databases; and
367.11 	(7) implements data quality monitoring and reporting tools to support decision making.
367.12 		Subd. 4.Reporting requirements. The commissioner must provide quarterly 
367.13 	implementation updates to the chairs and minority leads of the committees with jurisdiction 
367.14 	over programs for children and families. The quarterly updates must describe the department's 
367.15 	progress toward establishing and implementing the information technology systems under 
367.16 	this section. The quarterly updates must continue until either the systems are fully 
367.17 	implemented or the department no longer has sufficient funding for the purposes identified 
367.18 	in this section.

367.19 	Sec. 18. REVISOR INSTRUCTION.
 367.20 	The revisor of statutes shall renumber Minnesota Statutes, section 245.0962, as Minnesota 
367.21 	Statutes, section 142A.47. The revisor shall also make necessary cross-reference changes 
367.22 	consistent with the renumbering.

367.23 	EFFECTIVE DATE. This section is effective July 1, 2025.

367.24 	Sec. 19. REVISOR INSTRUCTION.
 367.25 	The revisor of statutes shall renumber Minnesota Statutes, section 142D.12, subdivision 
367.26 	3, as Minnesota Statutes, section 120B.121. The revisor shall also make necessary 
367.27 	cross-reference changes consistent with the renumbering.

368.1 	Sec. 20. REVISOR INSTRUCTION.
 368.2 	The revisor of statutes shall renumber Minnesota Statutes, section 124D.129, as 
368.3 	Minnesota Statutes, section 142A.48. The revisor shall also make necessary cross-reference 
368.4 	changes consistent with the renumbering.

368.5 	ARTICLE 14
368.6 	DEPARTMENT OF CHILDREN, YOUTH, AND FAMILIES 
368.7 	LICENSING AND CERTIFICATION POLICY

368.8 	Section 1. Minnesota Statutes 2024, section 142B.01, is amended by adding a subdivision 
368.9 	to read:
368.10 		Subd. 12a.Education. For purposes of child care centers, "education" means accredited 
368.11 	coursework in behavior guidance, child abuse and neglect prevention, child development, 
368.12 	child health and safety, child health and wellness, child nutrition, child psychology, child 
368.13 	study techniques, children with special needs, communication studies, computer science, 
368.14 	coordination of community and school activities, cultural studies, curriculum planning, 
368.15 	early childhood education, early childhood special education, elementary education, 
368.16 	elementary special education, English language arts, ethics, family studies, history, 
368.17 	mathematics, music, parent involvement, psychology, recreational sports, arts and crafts 
368.18 	methods or theory, science, social studies, sociology, or other coursework approved by the 
368.19 	commissioner.

368.20 	EFFECTIVE DATE. This section is effective August 1, 2025.

368.21 	Sec. 2. Minnesota Statutes 2024, section 142B.10, subdivision 14, is amended to read:
368.22 		Subd. 14.Grant of license; license extension. (a) If the commissioner determines that 
368.23 	the program complies with all applicable rules and laws, the commissioner shall issue a 
368.24 	license consistent with this section or, if applicable, a temporary change of ownership license 
368.25 	under section 142B.11. At minimum, the license shall state:
368.26 	(1) the name of the license holder;
368.27 	(2) the address of the program;
368.28 	(3) the effective date and expiration date of the license;
368.29 	(4) the type of license;
368.30 	(5) the maximum number and ages of persons that may receive services from the program; 
368.31 	and
369.1 	(6) any special conditions of licensure.
369.2 	(b) The commissioner may issue a license for a period not to exceed two years if:
369.3 	(1) the commissioner is unable to conduct the observation required by subdivision 11, 
369.4 	paragraph (a), clause (3), because the program is not yet operational;
369.5 	(2) certain records and documents are not available because persons are not yet receiving 
369.6 	services from the program; and
369.7 	(3) the applicant complies with applicable laws and rules in all other respects.
369.8 	(c) A decision by the commissioner to issue a license does not guarantee that any person 
369.9 	or persons will be placed or cared for in the licensed program.
369.10 	(d) Except as provided in paragraphs (i) and (j), the commissioner shall not issue a 
369.11 	license if the applicant, license holder, or an affiliated controlling individual has:
369.12 	(1) been disqualified and the disqualification was not set aside and no variance has been 
369.13 	granted;
369.14 	(2) been denied a license under this chapter or chapter 245A within the past two years;
369.15 	(3) had a license issued under this chapter or chapter 245A revoked within the past five 
369.16 	years; or
369.17 	(4) failed to submit the information required of an applicant under subdivision 1, 
369.18 	paragraph (f), (g), or (h), after being requested by the commissioner.
369.19 	When a license issued under this chapter or chapter 245A is revoked, the license holder 
369.20 	and each affiliated controlling individual with a revoked license may not hold any license 
369.21 	under chapter 142B for five years following the revocation, and other licenses held by the 
369.22 	applicant or license holder or licenses affiliated with each controlling individual shall also 
369.23 	be revoked.
369.24 	(e) Notwithstanding paragraph (d), the commissioner may elect not to revoke a license 
369.25 	affiliated with a license holder or controlling individual that had a license revoked within 
369.26 	the past five years if the commissioner determines that (1) the license holder or controlling 
369.27 	individual is operating the program in substantial compliance with applicable laws and rules 
369.28 	and (2) the program's continued operation is in the best interests of the community being 
369.29 	served.
369.30 	(f) Notwithstanding paragraph (d), the commissioner may issue a new license in response 
369.31 	to an application that is affiliated with an applicant, license holder, or controlling individual 
369.32 	that had an application denied within the past two years or a license revoked within the past 
370.1 	five years if the commissioner determines that (1) the applicant or controlling individual 
370.2 	has operated one or more programs in substantial compliance with applicable laws and rules 
370.3 	and (2) the program's operation would be in the best interests of the community to be served.
370.4 	(g) In determining whether a program's operation would be in the best interests of the 
370.5 	community to be served, the commissioner shall consider factors such as the number of 
370.6 	persons served, the availability of alternative services available in the surrounding 
370.7 	community, the management structure of the program, whether the program provides 
370.8 	culturally specific services, and other relevant factors.
370.9 	(h) The commissioner shall not issue or reissue a license under this chapter if an individual 
370.10 	living in the household where the services will be provided as specified under section 
370.11 	245C.03, subdivision 1, has been disqualified and the disqualification has not been set aside 
370.12 	and no variance has been granted.
370.13 	(i) Pursuant to section 142B.18, subdivision 1, paragraph (b), when a license issued 
370.14 	under this chapter has been suspended or revoked and the suspension or revocation is under 
370.15 	appeal, the program may continue to operate pending a final order from the commissioner. 
370.16 	If the license under suspension or revocation will expire before a final order is issued, a 
370.17 	temporary provisional license may be issued provided any applicable license fee is paid 
370.18 	before the temporary provisional license is issued.
370.19 	(j) Notwithstanding paragraph (i), when a revocation is based on the disqualification of 
370.20 	a controlling individual or license holder, and the controlling individual or license holder 
370.21 	is ordered under section 245C.17 to be immediately removed from direct contact with 
370.22 	persons receiving services or is ordered to be under continuous, direct supervision when 
370.23 	providing direct contact services, the program may continue to operate only if the program 
370.24 	complies with the order and submits documentation demonstrating compliance with the 
370.25 	order. If the disqualified individual fails to submit a timely request for reconsideration, or 
370.26 	if the disqualification is not set aside and no variance is granted, the order to immediately 
370.27 	remove the individual from direct contact or to be under continuous, direct supervision 
370.28 	remains in effect pending the outcome of a hearing and final order from the commissioner.
370.29 	(k) For purposes of reimbursement for meals only, under the Child and Adult Care Food 
370.30 	Program, Code of Federal Regulations, title 7, subtitle B, chapter II, subchapter A, part 226, 
370.31 	relocation within the same county by a licensed family day care provider, shall be considered 
370.32 	an extension of the license for a period of no more than 30 calendar days or until the new 
370.33 	license is issued, whichever occurs first, provided the county agency has determined the 
370.34 	family day care provider meets licensure requirements at the new location.
371.1 	(l) Unless otherwise specified by statute, all licenses issued under this chapter expire at 
371.2 	12:01 a.m. on the day after the expiration date stated on the license. A license holder must 
371.3 	apply for and be granted comply with the requirements in section 142B.12 and be reissued
371.4 	a new license to operate the program or the program must not be operated after the expiration 
371.5 	date. Child foster care license holders must apply for and be granted a new license to operate 
371.6 	the program or the program must not be operated after the expiration date. Upon 
371.7 	implementation of the provider licensing and reporting hub, licenses may be issued each 
371.8 	calendar year.
371.9 	(m) The commissioner shall not issue or reissue a license under this chapter if it has 
371.10 	been determined that a tribal licensing authority has established jurisdiction to license the 
371.11 	program or service.
371.12 	(n) The commissioner of children, youth, and families shall coordinate and share data 
371.13 	with the commissioner of human services to enforce this section.

371.14 	Sec. 3. Minnesota Statutes 2024, section 142B.16, subdivision 2, is amended to read:
371.15 		Subd. 2.Reconsideration of correction orders. (a) If the applicant or license holder 
371.16 	believes that the contents of the commissioner's correction order are in error, the applicant 
371.17 	or license holder may ask the Department of Children, Youth, and Families to reconsider 
371.18 	the parts of the correction order that are alleged to be in error. The request for reconsideration 
371.19 	must be made in writing and must be postmarked and sent to the commissioner within 20 
371.20 	calendar days after receipt of the correction order under this paragraph, or receipt of the 
371.21 	interpretive guidance under paragraph (d), by the applicant or license holder or submitted 
371.22 	in the provider licensing and reporting hub within 20 calendar days from the date the 
371.23 	commissioner issued the order under this paragraph, or provided the interpretive guidance 
371.24 	under paragraph (d), through the hub, and:
371.25 	(1) specify the parts of the correction order that are alleged to be in error;
371.26 	(2) explain why they are in error; and
371.27 	(3) include documentation to support the allegation of error.
371.28 	(b) Upon implementation of the provider licensing and reporting hub, the provider must 
371.29 	use the hub to request reconsideration under this paragraph, or to request interpretive guidance 
371.30 	under paragraph (d). A request for reconsideration does not stay any provisions or 
371.31 	requirements of the correction order. The commissioner's disposition of a request for 
371.32 	reconsideration is final and not subject to appeal under chapter 14.
372.1 	(b) (c) This paragraph applies only to licensed family child care providers. A licensed 
372.2 	family child care provider who requests reconsideration of a correction order under paragraph 
372.3 	(a) may also request, on a form and in the manner prescribed by the commissioner, that the 
372.4 	commissioner expedite the review if:
372.5 	(1) the provider is challenging a violation and provides a description of how complying 
372.6 	with the corrective action for that violation would require the substantial expenditure of 
372.7 	funds or a significant change to their program; and
372.8 	(2) describes what actions the provider will take in lieu of the corrective action ordered 
372.9 	to ensure the health and safety of children in care pending the commissioner's review of the 
372.10 	correction order.
372.11 	(d) Prior to a request for reconsideration under paragraph (a), if the applicant or license 
372.12 	holder believes that the applicable rule or statute is ambiguous or the commissioner's 
372.13 	interpretation of the applicable rule or statute is in error, the applicant or license holder may 
372.14 	ask the Department of Children, Youth, and Families to provide interpretive guidance on 
372.15 	the applicable rule or statute underlying the correction order.
372.16 	(e) The commissioner must not publicly post the correction order for licensed child care 
372.17 	centers or licensed family child care providers on the department's website until:
372.18 	(1) after the 20-calendar-day period for requesting reconsideration; or
372.19 	(2) if the applicant or license holder requested reconsideration, after the commissioner's 
372.20 	disposition of a request for reconsideration is provided to the applicant or license holder.

372.21 	EFFECTIVE DATE. This section is effective July 1, 2026, except that paragraph (e) 
372.22 	is effective January 1, 2026, or upon federal approval, whichever is later. The commissioner 
372.23 	of children, youth, and families must notify the revisor of statutes when federal approval is 
372.24 	obtained.

372.25 	Sec. 4. Minnesota Statutes 2024, section 142B.16, subdivision 5, is amended to read:
372.26 		Subd. 5.Requirement to post conditional license. For licensed family child care 
372.27 	providers and child care centers, upon receipt of any order of conditional license issued by 
372.28 	the commissioner under this section, and notwithstanding a pending request for 
372.29 	reconsideration of the order of conditional license by the license holder, the license holder 
372.30 	shall post the order of conditional license in a place that is conspicuous to the people receiving 
372.31 	services and all visitors to the facility for two years. When the order of conditional license 
372.32 	is accompanied by a maltreatment investigation memorandum prepared under section 
372.33 	626.557 or chapter 260E, the investigation memoranda must be posted with the order of 
373.1 	conditional license, and the license holder must post both in a place that is conspicuous to 
373.2 	the people receiving services and all visitors to the facility for four years.

373.3 	Sec. 5. Minnesota Statutes 2024, section 142B.171, subdivision 2, is amended to read:
373.4 		Subd. 2.Documented technical assistance.  (a) In lieu of a correction order under section 
373.5 	142B.16, the commissioner shall provide documented technical assistance to a family child 
373.6 	care or child care center license holder if the commissioner finds that:
373.7 	(1) the license holder has failed to comply with a requirement in this chapter or Minnesota 
373.8 	Rules, chapter 9502 or 9503, that the commissioner determines to be low risk as determined 
373.9 	by the child care weighted risk system;
373.10 	(2) the noncompliance does not imminently endanger the health, safety, or rights of the 
373.11 	persons served by the program; and
373.12 	(3) the license holder did not receive documented technical assistance or a correction 
373.13 	order for the same violation at the license holder's most recent annual licensing inspection.
373.14 	(b) Documented technical assistance must include communication from the commissioner 
373.15 	to the license holder that:
373.16 	(1) states the conditions that constitute a violation of a law or rule;
373.17 	(2) references the specific law or rule violated; and
373.18 	(3) explains remedies for correcting the violation.
373.19 	(c) The commissioner shall not publicly publish documented technical assistance on the 
373.20 	department's website.

373.21 	Sec. 6. Minnesota Statutes 2024, section 142B.18, subdivision 6, is amended to read:
373.22 		Subd. 6.Requirement to post licensing order or fine. For licensed family child care 
373.23 	providers and child care centers, upon receipt of any order of license suspension, temporary 
373.24 	immediate suspension, fine, or revocation issued by the commissioner under this section, 
373.25 	and notwithstanding a pending appeal of the order of license suspension, temporary 
373.26 	immediate suspension, fine, or revocation by the license holder, the license holder shall 
373.27 	post the order of license suspension, temporary immediate suspension, fine, or revocation 
373.28 	in a place that is conspicuous to the people receiving services and all visitors to the facility 
373.29 	for two years. When the order of license suspension, temporary immediate suspension, fine, 
373.30 	or revocation is accompanied by a maltreatment investigation memorandum prepared under 
373.31 	section 626.557 or chapter 260E, the investigation memoranda must be posted with the 
374.1 	order of license suspension, temporary immediate suspension, fine, or revocation, and the 
374.2 	license holder must post both in a place that is conspicuous to the people receiving services 
374.3 	and all visitors to the facility for four years.

374.4 	Sec. 7. Minnesota Statutes 2024, section 142B.30, subdivision 1, is amended to read:
374.5 		Subdivision 1.Delegation of authority to agencies. (a) County agencies and private 
374.6 	agencies that have been designated or licensed by the commissioner to perform licensing 
374.7 	functions and activities under section 142B.10; to recommend denial of applicants under 
374.8 	section 142B.15; to issue correction orders, to issue variances, and to recommend a 
374.9 	conditional license under section 142B.16; or to recommend suspending or revoking a 
374.10 	license or issuing a fine under section 142B.18, shall comply with rules and directives of 
374.11 	the commissioner governing those functions and with this section. The following variances 
374.12 	are excluded from the delegation of variance authority and may be issued only by the 
374.13 	commissioner:
374.14 	(1) dual licensure of family child care and family child foster care;
374.15 	(2) child foster care maximum age requirement;
374.16 	(3) variances regarding disqualified individuals;
374.17 	(4) variances to requirements relating to chemical use problems of a license holder or a 
374.18 	household member of a license holder; and
374.19 	(5) variances to section 142B.74 for a time-limited period. If the commissioner grants 
374.20 	a variance under this clause, the license holder must provide notice of the variance to all 
374.21 	parents and guardians of the children in care.
374.22 	(b) The commissioners of human services and children, youth, and families must both 
374.23 	approve a variance for dual licensure of family child foster care and family adult foster care 
374.24 	or family adult foster care and family child care. Variances under this paragraph are excluded 
374.25 	from the delegation of variance authority and may be issued only by both commissioners.
374.26 	(c) Except as provided in section 142B.41, subdivision 4, paragraph (e), a county agency 
374.27 	must not grant a license holder a variance to exceed the maximum allowable family child 
374.28 	care license capacity of 14 children.
374.29 	(d) A county agency that has been designated by the commissioner to issue family child 
374.30 	care variances must:
374.31 	(1) publish the county agency's policies and criteria for issuing variances on the county's 
374.32 	public website and update the policies as necessary; and
375.1 	(2) annually distribute the county agency's policies and criteria for issuing variances to 
375.2 	all family child care license holders in the county.
375.3 	(e) Before the implementation of NETStudy 2.0, county agencies must report information 
375.4 	about disqualification reconsiderations under sections 245C.25 and 245C.27, subdivision 
375.5 	2, paragraphs (a) and (b), and variances granted under paragraph (a), clause (5), to the 
375.6 	commissioner at least monthly in a format prescribed by the commissioner.
375.7 	(f) For family child care programs, the commissioner shall require a county agency to 
375.8 	conduct one unannounced licensing review at least annually.
375.9 	(g) A child foster care license issued under this section may be issued for up to two years
375.10 	until implementation of the provider licensing and reporting hub. Upon implementation of 
375.11 	the provider licensing and reporting hub, licenses may be issued each calendar year.
375.12 	(h) A county agency shall report to the commissioner, in a manner prescribed by the 
375.13 	commissioner, the following information for a licensed family child care program:
375.14 	(1) the results of each licensing review completed, including the date of the review, and 
375.15 	any licensing correction order issued;
375.16 	(2) any death, serious injury, or determination of substantiated maltreatment; and
375.17 	(3) any fires that require the service of a fire department within 48 hours of the fire. The 
375.18 	information under this clause must also be reported to the state fire marshal within two 
375.19 	business days of receiving notice from a licensed family child care provider.

375.20 	Sec. 8. Minnesota Statutes 2024, section 142B.41, is amended by adding a subdivision to 
375.21 	read:
375.22 		Subd. 14.Staff distribution. Notwithstanding Minnesota Rules, part 9503.0040, subpart 
375.23 	2, item B, a child care aide in a licensed child care center may substitute for a teacher during 
375.24 	morning arrival and afternoon departure times if the total arrival and departure time does 
375.25 	not exceed 25 percent of the center's daily hours of operation. For a child care aide to be 
375.26 	substituted for a teacher under this subdivision, the child care aide must:
375.27 	(1) be 18 years of age or older;
375.28 	(2) have been employed by the child care center for a minimum of 30 days; and
375.29 	(3) have completed the training required under section 142B.65, including orientation 
375.30 	training and the training required within the first 90 days of employment.

375.31 	EFFECTIVE DATE. This section is effective July 1, 2025.

376.1 	Sec. 9. Minnesota Statutes 2024, section 142B.51, subdivision 2, is amended to read:
376.2 		Subd. 2.Child passenger restraint systems; training requirement. (a) Programs 
376.3 	licensed by the Department of Human Services under chapter 245A or the Department of 
376.4 	Children, Youth, and Families under this chapter and Minnesota Rules, chapter 2960, that 
376.5 	serve a child or children under eight nine years of age must document training that fulfills 
376.6 	the requirements in this subdivision.
376.7 	(b) Before a license holder, staff person, or caregiver transports a child or children under 
376.8 	age eight nine in a motor vehicle, the person transporting the child must satisfactorily 
376.9 	complete training on the proper use and installation of child restraint systems in motor 
376.10 	vehicles. Training completed under this section may be used to meet initial or ongoing 
376.11 	training under Minnesota Rules, part 2960.3070, subparts 1 and 2.
376.12 	(c) Training required under this section must be completed at orientation or initial training 
376.13 	and repeated at least once every five years. At a minimum, the training must address the 
376.14 	proper use of child restraint systems based on the child's size, weight, and age, and the 
376.15 	proper installation of a car seat or booster seat in the motor vehicle used by the license 
376.16 	holder to transport the child or children.
376.17 	(d) Training under paragraph (c) must be provided by individuals who are certified and 
376.18 	approved by the Office of Traffic Safety within the Department of Public Safety. License 
376.19 	holders may obtain a list of certified and approved trainers through the Department of Public 
376.20 	Safety website or by contacting the agency.
376.21 	(e) Notwithstanding paragraph (a), for an emergency relative placement under section 
376.22 	142B.06, the commissioner may grant a variance to the training required by this subdivision 
376.23 	for a relative who completes a child seat safety check up. The child seat safety check up 
376.24 	trainer must be approved by the Department of Public Safety, Office of Traffic Safety, and 
376.25 	must provide one-on-one instruction on placing a child of a specific age in the exact child 
376.26 	passenger restraint in the motor vehicle in which the child will be transported. Once granted 
376.27 	a variance, and if all other licensing requirements are met, the relative applicant may receive 
376.28 	a license and may transport a relative foster child younger than eight years of age. A child 
376.29 	seat safety check up must be completed each time a child requires a different size car seat 
376.30 	according to car seat and vehicle manufacturer guidelines. A relative license holder must 
376.31 	complete training that meets the other requirements of this subdivision prior to placement 
376.32 	of another foster child younger than eight years of age in the home or prior to the renewal 
376.33 	of the child foster care license.

377.1 	EFFECTIVE DATE. This section is effective January 1, 2026, except paragraph (e), 
377.2 	which is effective July 1, 2026.

377.3 	Sec. 10. Minnesota Statutes 2024, section 142B.65, subdivision 8, is amended to read:
377.4 		Subd. 8.Child passenger restraint systems; training requirement.  (a) Before a license 
377.5 	holder transports a child or children under age eight nine in a motor vehicle, the person 
377.6 	placing the child or children in a passenger restraint must satisfactorily complete training 
377.7 	on the proper use and installation of child restraint systems in motor vehicles.
377.8 	(b) Training required under this subdivision must be repeated at least once every five 
377.9 	years. At a minimum, the training must address the proper use of child restraint systems 
377.10 	based on the child's size, weight, and age, and the proper installation of a car seat or booster 
377.11 	seat in the motor vehicle used by the license holder to transport the child or children.
377.12 	(c) Training required under this subdivision must be provided by individuals who are 
377.13 	certified and approved by the Department of Public Safety, Office of Traffic Safety. License 
377.14 	holders may obtain a list of certified and approved trainers through the Department of Public 
377.15 	Safety website or by contacting the agency.
377.16 	(d) Child care providers that only transport school-age children as defined in section 
377.17 	142B.01, subdivision 25, in child care buses as defined in section 169.448, subdivision 1, 
377.18 	paragraph (e), are exempt from this subdivision.
377.19 	(e) Training completed under this subdivision may be used to meet in-service training 
377.20 	requirements under subdivision 9. Training completed within the previous five years is 
377.21 	transferable upon a staff person's change in employment to another child care center.

377.22 	EFFECTIVE DATE. This section is effective January 1, 2026.

377.23 	Sec. 11. Minnesota Statutes 2024, section 142B.65, subdivision 9, is amended to read:
377.24 		Subd. 9.In-service training. (a) A license holder must ensure that the center director, 
377.25 	staff persons, substitutes, and unsupervised volunteers complete in-service training each 
377.26 	calendar year.
377.27 	(b) The center director and staff persons who work more than 20 hours per week must 
377.28 	complete 24 hours of in-service training each calendar year. Staff persons who work 20 
377.29 	hours or less per week must complete 12 hours of in-service training each calendar year. 
377.30 	Substitutes and unsupervised volunteers must complete at least two hours of training each 
377.31 	year, and the training must include the requirements of paragraphs (d) to (g) and do not 
377.32 	otherwise have a minimum number of hours of training to complete.
378.1 	(c) The number of in-service training hours may be prorated for individuals center 
378.2 	directors and staff persons not employed for an entire year.
378.3 	(d) Each year, in-service training must include:
378.4 	(1) the center's procedures for maintaining health and safety according to section 142B.66 
378.5 	and Minnesota Rules, part 9503.0140, and handling emergencies and accidents according 
378.6 	to Minnesota Rules, part 9503.0110;
378.7 	(2) the reporting responsibilities under chapter 260E and Minnesota Rules, part 
378.8 	9503.0130;
378.9 	(3) at least one-half hour of training on the standards under section 142B.46 and on 
378.10 	reducing the risk of sudden unexpected infant death as required under subdivision 6, if 
378.11 	applicable; and
378.12 	(4) at least one-half hour of training on the risk of abusive head trauma from shaking 
378.13 	infants and young children as required under subdivision 7, if applicable.
378.14 	(e) Each year, or when a change is made, whichever is more frequent, in-service training 
378.15 	must be provided on: (1) the center's risk reduction plan under section 142B.54, subdivision 
378.16 	2; and (2) a child's individual child care program plan as required under Minnesota Rules, 
378.17 	part 9503.0065, subpart 3.
378.18 	(f) At least once every two calendar years, the in-service training must include:
378.19 	(1) child development and learning training under subdivision 3;
378.20 	(2) pediatric first aid that meets the requirements of subdivision 4;
378.21 	(3) pediatric cardiopulmonary resuscitation training that meets the requirements of 
378.22 	subdivision 5;
378.23 	(4) cultural dynamics training to increase awareness of cultural differences; and
378.24 	(5) disabilities training to increase awareness of differing abilities of children.
378.25 	(g) At least once every five years, in-service training must include child passenger 
378.26 	restraint training that meets the requirements of subdivision 8, if applicable.
378.27 	(h) The remaining hours of the in-service training requirement must be met by completing 
378.28 	training in the following content areas of the Minnesota Knowledge and Competency 
378.29 	Framework:
378.30 	(1) Content area I: child development and learning;
378.31 	(2) Content area II: developmentally appropriate learning experiences;
379.1 	(3) Content area III: relationships with families;
379.2 	(4) Content area IV: assessment, evaluation, and individualization;
379.3 	(5) Content area V: historical and contemporary development of early childhood 
379.4 	education;
379.5 	(6) Content area VI: professionalism;
379.6 	(7) Content area VII: health, safety, and nutrition; and
379.7 	(8) Content area VIII: application through clinical experiences.
379.8 	(i) For purposes of this subdivision, the following terms have the meanings given them.
379.9 	(1) "Child development and learning training" means training in understanding how 
379.10 	children develop physically, cognitively, emotionally, and socially and learn as part of the 
379.11 	children's family, culture, and community.
379.12 	(2) "Developmentally appropriate learning experiences" means creating positive learning 
379.13 	experiences, promoting cognitive development, promoting social and emotional development, 
379.14 	promoting physical development, and promoting creative development.
379.15 	(3) "Relationships with families" means training on building a positive, respectful 
379.16 	relationship with the child's family.
379.17 	(4) "Assessment, evaluation, and individualization" means training in observing, 
379.18 	recording, and assessing development; assessing and using information to plan; and assessing 
379.19 	and using information to enhance and maintain program quality.
379.20 	(5) "Historical and contemporary development of early childhood education" means 
379.21 	training in past and current practices in early childhood education and how current events 
379.22 	and issues affect children, families, and programs.
379.23 	(6) "Professionalism" means training in knowledge, skills, and abilities that promote 
379.24 	ongoing professional development.
379.25 	(7) "Health, safety, and nutrition" means training in establishing health practices, ensuring 
379.26 	safety, and providing healthy nutrition.
379.27 	(8) "Application through clinical experiences" means clinical experiences in which a 
379.28 	person applies effective teaching practices using a range of educational programming models.
379.29 	(j) The license holder must ensure that documentation, as required in subdivision 10, 
379.30 	includes the number of total training hours required to be completed, name of the training, 
380.1 	the Minnesota Knowledge and Competency Framework content area, number of hours 
380.2 	completed, and the director's approval of the training.
380.3 	(k) In-service training completed by a staff person that is not specific to that child care 
380.4 	center is transferable upon a staff person's change in employment to another child care 
380.5 	program.

380.6 	Sec. 12. Minnesota Statutes 2024, section 142B.66, subdivision 3, is amended to read:
380.7 		Subd. 3.Emergency preparedness. (a) A licensed child care center must have a written 
380.8 	emergency plan for emergencies that require evacuation, sheltering, or other protection of 
380.9 	a child, such as fire, natural disaster, intruder, or other threatening situation that may pose 
380.10 	a health or safety hazard to a child. The plan must be written on a form developed by the 
380.11 	commissioner and must include:
380.12 	(1) procedures for an evacuation, relocation, shelter-in-place, or lockdown;
380.13 	(2) a designated relocation site and evacuation route;
380.14 	(3) procedures for notifying a child's parent or legal guardian of the evacuation, relocation, 
380.15 	shelter-in-place, or lockdown, including procedures for reunification with families;
380.16 	(4) accommodations for a child with a disability or a chronic medical condition;
380.17 	(5) procedures for storing a child's medically necessary medicine that facilitates easy 
380.18 	removal during an evacuation or relocation;
380.19 	(6) procedures for continuing operations in the period during and after a crisis;
380.20 	(7) procedures for communicating with local emergency management officials, law 
380.21 	enforcement officials, or other appropriate state or local authorities; and
380.22 	(8) accommodations for infants and toddlers.
380.23 	(b) The license holder must train staff persons on the emergency plan at orientation, 
380.24 	when changes are made to the plan, and at least once each calendar year. Training must be 
380.25 	documented in each staff person's personnel file.
380.26 	(c) The license holder must conduct drills according to the requirements in Minnesota 
380.27 	Rules, part 9503.0110, subpart 3. The date and time of the drills must be documented.
380.28 	(d) The license holder must review and update the emergency plan annually each calendar 
380.29 	year. Documentation of the annual yearly emergency plan review shall be maintained in 
380.30 	the program's administrative records.
381.1 	(e) The license holder must include the emergency plan in the program's policies and 
381.2 	procedures as specified under section 142B.10, subdivision 21. The license holder must 
381.3 	provide a physical or electronic copy of the emergency plan to the child's parent or legal 
381.4 	guardian upon enrollment.
381.5 	(f) The relocation site and evacuation route must be posted in a visible place as part of 
381.6 	the written procedures for emergencies and accidents in Minnesota Rules, part 9503.0140, 
381.7 	subpart 21.

381.8 	Sec. 13. Minnesota Statutes 2024, section 142B.70, subdivision 7, is amended to read:
381.9 		Subd. 7.Child passenger restraint systems; training requirement. (a) A license 
381.10 	holder must comply with all seat belt and child passenger restraint system requirements 
381.11 	under section 169.685.
381.12 	(b) Family and group family child care programs licensed by the Department of Children, 
381.13 	Youth, and Families that serve a child or children under eight nine years of age must 
381.14 	document training that fulfills the requirements in this subdivision.
381.15 	(1) Before a license holder, second adult caregiver, substitute, or helper transports a 
381.16 	child or children under age eight nine in a motor vehicle, the person placing the child or 
381.17 	children in a passenger restraint must satisfactorily complete training on the proper use and 
381.18 	installation of child restraint systems in motor vehicles. Training completed under this 
381.19 	subdivision may be used to meet initial training under subdivision 1 or ongoing training 
381.20 	under subdivision 8.
381.21 	(2) Training required under this subdivision must be at least one hour in length, completed 
381.22 	at initial training, and repeated at least once every five years. At a minimum, the training 
381.23 	must address the proper use of child restraint systems based on the child's size, weight, and 
381.24 	age, and the proper installation of a car seat or booster seat in the motor vehicle used by the 
381.25 	license holder to transport the child or children.
381.26 	(3) Training under this subdivision must be provided by individuals who are certified 
381.27 	and approved by the Department of Public Safety, Office of Traffic Safety. License holders 
381.28 	may obtain a list of certified and approved trainers through the Department of Public Safety 
381.29 	website or by contacting the agency.
381.30 	(c) Child care providers that only transport school-age children as defined in section 
381.31 	142B.01, subdivision 13, paragraph (f), in child care buses as defined in section 169.448, 
381.32 	subdivision 1, paragraph (e), are exempt from this subdivision.

381.33 	EFFECTIVE DATE. This section is effective January 1, 2026.

382.1 	Sec. 14. Minnesota Statutes 2024, section 142B.70, subdivision 8, is amended to read:
382.2 		Subd. 8.Training requirements for family and group family child care. (a) For 
382.3 	purposes of family and group family child care, the license holder and each second adult 
382.4 	caregiver must complete 16 hours of ongoing training each year. Repeat of topical training 
382.5 	requirements in subdivisions 3 to 9 shall count toward the annual 16-hour training 
382.6 	requirement. Additional ongoing training subjects to meet the annual 16-hour training 
382.7 	requirement must be selected from the following areas:
382.8 	(1) child development and learning training in understanding how a child develops 
382.9 	physically, cognitively, emotionally, and socially, and how a child learns as part of the 
382.10 	child's family, culture, and community;
382.11 	(2) developmentally appropriate learning experiences, including training in creating 
382.12 	positive learning experiences, promoting cognitive development, promoting social and 
382.13 	emotional development, promoting physical development, promoting creative development; 
382.14 	and behavior guidance;
382.15 	(3) relationships with families, including training in building a positive, respectful 
382.16 	relationship with the child's family;
382.17 	(4) assessment, evaluation, and individualization, including training in observing, 
382.18 	recording, and assessing development; assessing and using information to plan; and assessing 
382.19 	and using information to enhance and maintain program quality;
382.20 	(5) historical and contemporary development of early childhood education, including 
382.21 	training in past and current practices in early childhood education and how current events 
382.22 	and issues affect children, families, and programs;
382.23 	(6) professionalism, including training in knowledge, skills, and abilities that promote 
382.24 	ongoing professional development; and
382.25 	(7) health, safety, and nutrition, including training in establishing healthy practices; 
382.26 	ensuring safety; and providing healthy nutrition.
382.27 	(b) A provider who is approved as a trainer through the Develop data system may count 
382.28 	up to two hours of training instruction toward the annual 16-hour training requirement in 
382.29 	paragraph (a). The provider may only count training instruction hours for the first instance 
382.30 	in which they deliver a particular content-specific training during each licensing year. Hours 
382.31 	counted as training instruction must be approved through the Develop data system with 
382.32 	attendance verified on the trainer's individual learning record and must be in Knowledge 
383.1 	and Competency Framework content area VII A (Establishing Healthy Practices) or B 
383.2 	(Ensuring Safety).
383.3 	(c) Substitutes and adult caregivers who provide care for 500 or fewer hours per year 
383.4 	must complete a minimum of one hour of training each calendar year, and the training must 
383.5 	include the requirements in subdivisions 3, 4, 5, 6, and 9.

383.6 	Sec. 15. Minnesota Statutes 2024, section 142C.06, is amended by adding a subdivision 
383.7 	to read:
383.8 		Subd. 4.Requirement to post conditional certification. Upon receipt of any order of 
383.9 	conditional certification issued by the commissioner under this section, and notwithstanding 
383.10 	a pending request for reconsideration of the order of conditional certification by the 
383.11 	certification holder, the certification holder shall post the order of conditional certification 
383.12 	in a place that is conspicuous to the people receiving services and all visitors to the facility 
383.13 	for the duration of the conditional certification. When the order of conditional certification 
383.14 	is accompanied by a maltreatment investigation memorandum prepared under chapter 260E, 
383.15 	the investigation memoranda must be posted with the order of conditional certification.

383.16 	Sec. 16. Minnesota Statutes 2024, section 142C.11, subdivision 8, is amended to read:
383.17 		Subd. 8.Required policies. A certified center must have written policies for health and 
383.18 	safety items in subdivisions 1 to 6, 9, and 10.

383.19 	Sec. 17. Minnesota Statutes 2024, section 142C.12, subdivision 1, is amended to read:
383.20 		Subdivision 1.First aid and cardiopulmonary resuscitation. (a) Before having 
383.21 	unsupervised direct contact with a child, but within 90 days after the first date of direct 
383.22 	contact with a child, the director, all staff persons, substitutes, and unsupervised volunteers 
383.23 	must successfully complete pediatric first aid and pediatric cardiopulmonary resuscitation 
383.24 	(CPR) training, unless the training has been completed within the previous two calendar 
383.25 	years. Staff must complete the pediatric first aid and pediatric CPR training at least every 
383.26 	other calendar year and the center must document the training in the staff person's personnel 
383.27 	record.
383.28 	(b) Training completed under this subdivision may be used to meet the in-service training 
383.29 	requirements under subdivision 6.
383.30 	(c) Training must include CPR and techniques for providing immediate care to people 
383.31 	experiencing life-threatening cardiac emergencies, choking, bleeding, fractures and sprains, 
383.32 	head injuries, poisoning, and burns. Training developed by the American Heart Association, 
384.1 	the American Red Cross, or another organization that uses nationally recognized, 
384.2 	evidence-based guidelines meets these requirements.

384.3 	EFFECTIVE DATE. This section is effective January 1, 2026.

384.4 	Sec. 18. Minnesota Statutes 2024, section 142C.12, subdivision 6, is amended to read:
384.5 		Subd. 6.In-service training. (a) The certified center must ensure that the director and 
384.6 	all staff persons, including substitutes and unsupervised volunteers, are trained at least once 
384.7 	each calendar year on health and safety requirements in this section and sections 142C.10, 
384.8 	142C.11, and 142C.13.
384.9 	(b) The director and each staff person, not including substitutes, must complete at least 
384.10 	six hours of training each calendar year. Substitutes must complete at least two hours of 
384.11 	training each calendar year. Training required under paragraph (a) may be used toward the 
384.12 	hourly training requirements of this subdivision.

384.13 	Sec. 19. Minnesota Statutes 2024, section 245A.18, subdivision 1, is amended to read:
384.14 		Subdivision 1.Seat belt and child passenger restraint system use. All license holders 
384.15 	that transport children must comply with the requirements of section 142B.51, subdivision 
384.16 	1, and license holders that transport a child or children under eight nine years of age must 
384.17 	document training that fulfills the requirements in section 142B.51, subdivision 2.

384.18 	EFFECTIVE DATE. This section is effective January 1, 2026.

384.19 	Sec. 20. DIRECTION TO COMMISSIONER OF CHILDREN, YOUTH, AND 
384.20 	FAMILIES; STANDARDIZED LICENSING VISIT TIMELINE AND 
384.21 	REQUIREMENTS.
 384.22 	(a) The commissioner of children, youth, and families must, in consultation with 
384.23 	stakeholders, develop a standardized timeline and standards for the conduct of licensors 
384.24 	when conducting inspections of licensed child care centers. The timeline and standards 
384.25 	developed by the commissioner must clearly identify:
384.26 	(1) the steps of a licensing visit;
384.27 	(2) the expectations for licensors and license holders before, during, and after the licensing 
384.28 	visit;
384.29 	(3) the standards of conduct that licensors must follow during a visit;
384.30 	(4) the rights of license holders;
385.1 	(5) when and how license holders can request technical assistance; and
385.2 	(6) a process for license holders to request additional review of an issue related to the 
385.3 	licensing visit from someone other than the assigned licensor.
385.4 	(b) The timeline and standards must be implemented by July 1, 2026.

385.5 	Sec. 21. DIRECTION TO COMMISSIONER OF CHILDREN, YOUTH, AND 
385.6 	FAMILIES; STANDARDIZED COUNTY-DELEGATED LICENSING.
 385.7 	By July 1, 2026, the commissioner of children, youth, and families must:
385.8 	(1) establish time frames for county licensors to respond to time-sensitive or urgent 
385.9 	requests; and
385.10 	(2) require county licensors to use the electronic licensing inspection tool during an 
385.11 	inspection of a family child care provider and to complete the inspection report on site with 
385.12 	the license holder, including direct communication related to any correction orders issued.

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

385.14 	Sec. 22. REPEALER.
 385.15 	Minnesota Rules, part 9503.0030, subpart 1, item B, is repealed.

385.16 	EFFECTIVE DATE. This section is effective August 1, 2025.

385.17 	ARTICLE 15
385.18 	BEHAVIORAL HEALTH

385.19 	Section 1. Minnesota Statutes 2024, section 245.4661, subdivision 2, is amended to read:
385.20 		Subd. 2.Program design and implementation.  Adult mental health initiatives shall 
385.21 	be responsible for designing, planning, improving, and maintaining a mental health service 
385.22 	delivery system for adults with serious and persistent mental illness that would:
385.23 	(1) provide an expanded array of services from which clients can choose services 
385.24 	appropriate to their needs;
385.25 	(2) be based on purchasing strategies that improve access and coordinate services without 
385.26 	cost shifting;
385.27 	(3) prioritize evidence-based services and implement services that are promising practices 
385.28 	or theory-based practices so that the service can be evaluated according to subdivision 5a;
386.1 	(4) incorporate existing state facilities and resources into the community mental health 
386.2 	infrastructure through creative partnerships with local vendors; and
386.3 	(5) utilize existing categorical funding streams and reimbursement sources in combined 
386.4 	and creative ways, except adult mental health initiative funding only after all other eligible 
386.5 	funding sources have been applied. Appropriations and all funds that are attributable to the 
386.6 	operation of state-operated services under the control of the Direct Care and Treatment 
386.7 	executive board are excluded unless appropriated specifically by the legislature for a purpose 
386.8 	consistent with this section.

386.9 	Sec. 2. Minnesota Statutes 2024, section 245.4661, subdivision 6, is amended to read:
386.10 		Subd. 6.Duties of commissioner. (a) For purposes of adult mental health initiatives, 
386.11 	the commissioner shall facilitate integration of funds or other resources as needed and 
386.12 	requested by each adult mental health initiative. These resources may include:
386.13 	(1) community support services funds administered under Minnesota Rules, parts 
386.14 	9535.1700 to 9535.1760;
386.15 	(2) other mental health special project funds;
386.16 	(3) medical assistance, MinnesotaCare, and housing support under chapter 256I if 
386.17 	requested by the adult mental health initiative's managing entity and if the commissioner 
386.18 	determines this would be consistent with the state's overall health care reform efforts; and
386.19 	(4) regional treatment center resources, with consent from the Direct Care and Treatment 
386.20 	executive board.
386.21 	(b) The commissioner shall consider the following criteria in awarding grants for adult 
386.22 	mental health initiatives:
386.23 	(1) the ability of the initiatives to accomplish the objectives described in subdivision 2;
386.24 	(2) the size of the target population to be served; and
386.25 	(3) geographical distribution.
386.26 	(c) (b) The commissioner shall review overall status of the initiatives at least every two 
386.27 	years and recommend any legislative changes needed by January 15 of each odd-numbered 
386.28 	year.
386.29 	(d) (c) The commissioner may waive administrative rule requirements that are 
386.30 	incompatible with the implementation of the adult mental health initiative.
387.1 	(e) (d) The commissioner may exempt the participating counties from fiscal sanctions 
387.2 	for noncompliance with requirements in laws and rules that are incompatible with the 
387.3 	implementation of the adult mental health initiative.
387.4 	(f) (e) The commissioner may award grants to an entity designated by a county board 
387.5 	or group of county boards to pay for start-up and implementation costs of the adult mental 
387.6 	health initiative.

387.7 	Sec. 3. Minnesota Statutes 2024, section 245.4661, subdivision 7, is amended to read:
387.8 		Subd. 7.Duties of adult mental health initiative board. The adult mental health 
387.9 	initiative board, or other entity which is approved to administer an adult mental health 
387.10 	initiative, shall:
387.11 	(1) administer the initiative in a manner that is consistent with the objectives described 
387.12 	in subdivision 2 and the planning process described in subdivision 5;
387.13 	(2) assure that no one is denied services that they would otherwise be eligible for; and
387.14 	(3) provide the commissioner of human services with timely and pertinent information 
387.15 	through the following methods:
387.16 	(i) submission of mental health plans and plan amendments which are based on a format 
387.17 	and timetable determined by the commissioner;
387.18 	(ii) submission of social services expenditure and grant reconciliation reports, based on 
387.19 	a coding format to be determined by mutual agreement between the initiative's managing 
387.20 	entity and the commissioner; and
387.21 	(iii) submission of data and participation in an evaluation of the adult mental health 
387.22 	initiatives, to be designed cooperatively by the commissioner and the initiatives. For services 
387.23 	provided to American Indians in Tribal Nations or urban Indian communities, oral reports 
387.24 	using a system designed in partnership between the commissioner and the reporting 
387.25 	community satisfy the requirements of this clause.

387.26 	Sec. 4. Minnesota Statutes 2024, section 245.4871, subdivision 5, is amended to read:
387.27 		Subd. 5.Child. "Child" means a person under 18 years of age, or a person 18 years of 
387.28 	age or older and under 21 years of age receiving continuous children's mental health targeted 
387.29 	case management services under section 245.4881.

388.1 	Sec. 5. Minnesota Statutes 2024, section 245.4889, subdivision 1, as amended by Laws 
388.2 	2025, chapter 38, article 8, section 40, is amended to read:
388.3 		Subdivision 1.Establishment and authority. (a) The commissioner is authorized to 
388.4 	make grants from available appropriations to assist:
388.5 	(1) counties;
388.6 	(2) Indian tribes;
388.7 	(3) children's collaboratives under section 142D.15 or 245.493; or
388.8 	(4) mental health service providers.
388.9 	(b) The following services are eligible for grants under this section:
388.10 	(1) services to children with mental illness as defined in section 245.4871, subdivision 
388.11 	15, and their families;
388.12 	(2) transition services under section 245.4875, subdivision 8, for young adults under 
388.13 	age 21 and their families;
388.14 	(3) respite care services for children with mental illness or serious mental illness who 
388.15 	are at risk of residential treatment or hospitalization; who are already in residential treatment, 
388.16 	therapeutic foster care, or in family foster settings as defined in chapter 142B and at risk of 
388.17 	change in foster care or placement in a residential facility or other higher level of care; who 
388.18 	have utilized crisis services or emergency room services; or who have experienced a loss 
388.19 	of in-home staffing support. Allowable activities and expenses for respite care services are 
388.20 	defined under subdivision 4. A child is not required to have case management services to 
388.21 	receive respite care services. Counties must work to provide access to regularly scheduled 
388.22 	respite care;
388.23 	(4) children's mental health crisis services;
388.24 	(5) child-, youth-, and family-specific mobile response and stabilization services models;
388.25 	(6) mental health services for people from cultural and ethnic minorities, including 
388.26 	supervision of clinical trainees who are Black, indigenous, or people of color;
388.27 	(7) children's mental health screening and follow-up diagnostic assessment and treatment;
388.28 	(8) services to promote and develop the capacity of providers to use evidence-based 
388.29 	practices in providing children's mental health services;
388.30 	(9) school-linked mental health services under section 245.4901;
389.1 	(10) building evidence-based mental health intervention capacity for children birth to 
389.2 	age five;
389.3 	(11) suicide prevention and counseling services that use text messaging statewide;
389.4 	(12) mental health first aid training;
389.5 	(13) training for parents, collaborative partners, and mental health providers on the 
389.6 	impact of adverse childhood experiences and trauma and development of an interactive 
389.7 	website to share information and strategies to promote resilience and prevent trauma;
389.8 	(14) transition age services to develop or expand mental health treatment and supports 
389.9 	for adolescents and young adults 26 years of age or younger;
389.10 	(15) early childhood mental health consultation;
389.11 	(16) evidence-based interventions for youth at risk of developing or experiencing a first 
389.12 	episode of psychosis, and a public awareness campaign on the signs and symptoms of 
389.13 	psychosis;
389.14 	(17) psychiatric consultation for primary care practitioners; and
389.15 	(18) providers to begin operations and meet program requirements when establishing a 
389.16 	new children's mental health program. These may be start-up grants.; and
389.17 	(19) evidence-based interventions for youth and young adults at risk of developing or 
389.18 	experiencing an early episode of bipolar disorder.
389.19 	(c) Services under paragraph (b) must be designed to help each child to function and 
389.20 	remain with the child's family in the community and delivered consistent with the child's 
389.21 	treatment plan. Transition services to eligible young adults under this paragraph must be 
389.22 	designed to foster independent living in the community.
389.23 	(d) As a condition of receiving grant funds, a grantee shall obtain all available third-party 
389.24 	reimbursement sources, if applicable.
389.25 	(e) The commissioner may establish and design a pilot program to expand the mobile 
389.26 	response and stabilization services model for children, youth, and families. The commissioner 
389.27 	may use grant funding to consult with a qualified expert entity to assist in the formulation 
389.28 	of measurable outcomes and explore and position the state to submit a Medicaid state plan 
389.29 	amendment to scale the model statewide.

390.1 	Sec. 6. MENTAL HEALTH COLLABORATION HUB INNOVATION PILOT 
390.2 	PROGRAM.
 390.3 	(a) The commissioner of human services must support the Mental Health Collaboration 
390.4 	Hub's pilot project to develop and implement innovative care pathways and care facility 
390.5 	decompression strategies by providing funding support and technical assistance and entering 
390.6 	into a data-sharing agreement with the Mental Health Collaboration Hub. The pilot project 
390.7 	must fund, track, and evaluate activities that expedite transitions of children from 
390.8 	inappropriate care settings to appropriate care settings. A steering committee of expert 
390.9 	Mental Health Collaboration Hub participants that represent the continuum of children's 
390.10 	behavioral health care must guide funding determinations to support the transition of up to 
390.11 	200 children per year.
390.12 	(b) On January 1, 2027, and January 1, 2028, the Mental Health Collaboration Hub must 
390.13 	submit a report to the commissioner and chairs and ranking minority members of the 
390.14 	legislative committees with jurisdiction over children's mental health and juvenile detention. 
390.15 	The report must describe how the grant money was spent and summarize the impact the 
390.16 	pilot project had on participating children, families, and providers.

390.17 	Sec. 7. PSYCHIATRIC RESIDENTIAL TREATMENT FACILITY REPORT.
 390.18 	(a) By December 15, 2026, the commissioner of human services, in consultation with 
390.19 	organizations operating psychiatric residential treatment facilities, advocates, health care 
390.20 	experts, juvenile detention experts, and county representatives, must submit a report and 
390.21 	proposed legislative changes to the chairs and ranking minority members of the legislative 
390.22 	committees with jurisdiction over children's mental health and juvenile detention. The 
390.23 	submitted report must include recommendations on:
390.24 	(1) amending the state medical assistance plan to expand access to care provided in 
390.25 	psychiatric residential treatment facilities, with consideration being given to enhancing 
390.26 	flexibilities to serve a continuum of mental health needs;
390.27 	(2) developing licensing standards for psychiatric residential treatment facilities that 
390.28 	reflect needed flexibilities and the broad inclusion of settings where care can be delivered; 
390.29 	and
390.30 	(3) updating the rate methodology for services provided in psychiatric residential 
390.31 	treatment facilities to assure high quality of care with required individualization.
390.32 	(b) When developing the recommendations required under paragraph (a), the 
390.33 	commissioner must:
391.1 	(1) consider how best to meet the needs of children with high levels of complexity, 
391.2 	aggression, and other related barriers to being served by community providers; and
391.3 	(2) determine what would be required, including needed infrastructure, staffing, and 
391.4 	sustainable funding sources, to allow qualified residential treatment programs to transition 
391.5 	to a psychiatric residential treatment facility standard of care.

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

391.7 	Sec. 8. LOWER SIOUX INDIAN COMMUNITY COMPLEX POST-TRAUMATIC 
391.8 	STRESS DISORDER PILOT PROJECT.
 391.9 		Subdivision 1.Establishment. The commissioner of human services must establish a 
391.10 	pilot project for the Lower Sioux Indian Community to provide mental health case 
391.11 	management services, as defined in Minnesota Statutes, section 245.462, subdivision 3, to 
391.12 	individuals with a complex post-traumatic stress disorder who are not otherwise eligible 
391.13 	for mental health case management services as persons with serious and persistent mental 
391.14 	illness under Minnesota Statutes, section 245.462, subdivision 20.
391.15 		Subd. 2.Pilot project eligibility. To be eligible for mental health case management 
391.16 	services under the pilot project, an individual must be an adult who has a mental illness 
391.17 	and:
391.18 	(1) has post-traumatic stress disorder symptoms related to intergenerational trauma, 
391.19 	racial trauma, or unresolved historical grief that significantly interfere with daily functioning; 
391.20 	and
391.21 	(2) has a written opinion from a mental health professional that includes documentation 
391.22 	of:
391.23 	(i) culturally sensitive assessments or screenings and identification of intergenerational, 
391.24 	racial, or historical trauma;
391.25 	(ii) significant impairment in functioning due to the post-traumatic stress disorder 
391.26 	symptoms that meet complex post-traumatic stress disorder condition eligibility; and
391.27 	(iii) increasing concerns within the last three years to indicate that the adult is at a 
391.28 	reasonable likelihood of experiencing significant episodes of post-traumatic stress disorder 
391.29 	with increased frequency, impacting daily functioning unless mitigated by mental health 
391.30 	case management or community support services.
392.1 		Subd. 3.Report. (a) The Lower Sioux Indian Community must report the outcomes of 
392.2 	the pilot project to the commissioner of human services in a manner designed cooperatively 
392.3 	by the commissioner and the Lower Sioux Indian Community.
392.4 	(b) By January 1, 2027, the commissioner shall report the outcomes of the pilot project 
392.5 	to the chairs and ranking minority members of the legislative committees with jurisdiction 
392.6 	over health and human services finance and policy.

392.7 	ARTICLE 16
392.8 	BACKGROUND STUDIES

392.9 	Section 1. Minnesota Statutes 2024, section 142A.02, subdivision 1, is amended to read:
392.10 		Subdivision 1.Department. (a) The Department of Children, Youth, and Families is 
392.11 	established.
392.12 	(b) The commissioner of children, youth, and families is hereby constituted the "state 
392.13 	agency" for the purposes of Title IV of the Social Security Act of the United States and the 
392.14 	laws of this state. The commissioners of human services and children, youth, and families 
392.15 	are hereby constituted the "state agency" for background studies under chapter 245C.
392.16 	(c) The commissioner of children, youth, and families is hereby constituted the "state 
392.17 	agency" for the purposes of administering the child care and development fund. The 
392.18 	commissioners of human services and children, youth, and families are hereby constituted 
392.19 	the "joint interagency office" for background studies under chapter 245C.

392.20 	Sec. 2. Minnesota Statutes 2024, section 142A.09, subdivision 1, is amended to read:
392.21 		Subdivision 1.Background studies required. The commissioner of children, youth, 
392.22 	and families shall contract with the commissioner of human services to shall conduct 
392.23 	background studies of individuals specified in section 245C.03, subdivision 1 5c, affiliated 
392.24 	with:
392.25 	(1) a facility or program licensed or seeking a license under chapter 142B;
392.26 	(2) a license-exempt child care center certified under chapter 142C; or
392.27 	(3) a legal nonlicensed child care provider authorized under chapter 142E.

392.28 	Sec. 3. Minnesota Statutes 2024, section 245C.02, subdivision 15a, is amended to read:
392.29 		Subd. 15a.Reasonable cause to require a national criminal history record check. (a) 
392.30 	"Reasonable cause to require a national criminal history record check" means information 
393.1 	or circumstances exist that provide the commissioner with articulable suspicion that further 
393.2 	pertinent information may exist concerning a background study subject that merits conducting 
393.3 	a national criminal history record check on that subject. The commissioner has reasonable 
393.4 	cause to require a national criminal history record check when:
393.5 	(1) information from the Bureau of Criminal Apprehension indicates that the subject is 
393.6 	a multistate offender;
393.7 	(2) information from the Bureau of Criminal Apprehension indicates that multistate 
393.8 	offender status is undetermined;
393.9 	(3) the commissioner has received a report from the subject or a third party indicating 
393.10 	that the subject has a criminal history in a jurisdiction other than Minnesota; or
393.11 	(4) information from the Bureau of Criminal Apprehension for a state-based name and 
393.12 	date of birth background study in which the subject is a minor that indicates that the subject 
393.13 	has a criminal history.
393.14 	(b) In addition to the circumstances described in paragraph (a), the commissioner has 
393.15 	reasonable cause to require a national criminal history record check if the subject is not 
393.16 	currently residing in Minnesota or resided in a jurisdiction other than Minnesota during the 
393.17 	previous five years.
393.18 	(c) Reasonable cause to require a national criminal history check does not apply to family 
393.19 	child foster care or adoption studies.

393.20 	EFFECTIVE DATE. This section is effective upon implementation in NETStudy 2.0 
393.21 	or January 13, 2026, whichever is later. The commissioner of human services shall notify 
393.22 	the revisor of statutes when the commissioner implements the changes in NETStudy 2.0.

393.23 	Sec. 4. Minnesota Statutes 2024, section 245C.05, subdivision 1, is amended to read:
393.24 		Subdivision 1.Individual studied. (a) The individual who is the subject of the 
393.25 	background study must provide the applicant, license holder, or other entity under section 
393.26 	245C.04 with sufficient information to ensure an accurate study, including:
393.27 	(1) the individual's first, middle, and last name and all other names by which the 
393.28 	individual has been known;
393.29 	(2) current home address, city, and state of residence;
393.30 	(3) current zip code;
393.31 	(4) sex;
394.1 	(5) date of birth;
394.2 	(6) driver's license number or state identification number or, for those without a driver's 
394.3 	license or state identification card, an acceptable form of identification as determined by 
394.4 	the commissioner; and
394.5 	(7) upon implementation of NETStudy 2.0, the home address, city, county, and state of 
394.6 	residence for the past five years.
394.7 	(b) Every subject of a background study conducted or initiated by counties or private 
394.8 	agencies under this chapter must also provide the home address, city, county, and state of 
394.9 	residence for the past five years.
394.10 	(c) Every subject of a background study related to private agency adoptions or related 
394.11 	to child foster care licensed through a private agency, who is 18 years of age or older, current 
394.12 	or prospective foster or adoptive parent shall also provide the commissioner a signed consent 
394.13 	for the release of any information received from national crime information databases to 
394.14 	the private agency that initiated the background study.
394.15 	(d) The subject of a background study shall provide fingerprints and a photograph as 
394.16 	required in subdivision 5.
394.17 	(e) The subject of a background study shall submit a completed criminal and maltreatment 
394.18 	history records check consent form and criminal history disclosure form for applicable 
394.19 	national and state level record checks.
394.20 	(f) A background study subject who has access to the NETStudy 2.0 applicant portal 
394.21 	must provide updated contact information to the commissioner via NETStudy 2.0 any time 
394.22 	the subject's personal information changes for as long as they remain affiliated on any roster.
394.23 	(g) An entity must update contact information in NETStudy 2.0 for a background study 
394.24 	subject on the entity's roster any time the entity receives new contact information from the 
394.25 	study subject.

394.26 	EFFECTIVE DATE. This section is effective upon implementation in NETStudy 2.0 
394.27 	or January 13, 2026, whichever is later. The commissioner of human services shall notify 
394.28 	the revisor of statutes when the commissioner implements the changes in NETStudy 2.0.

394.29 	Sec. 5. Minnesota Statutes 2024, section 245C.05, subdivision 5, is amended to read:
394.30 		Subd. 5.Fingerprints and photograph. (a) Notwithstanding paragraph (c), for 
394.31 	background studies conducted by the commissioner for current or prospective child foster 
394.32 	care or adoptive parents, and for any adult working in a children's residential facilities, 
395.1 	adoptions, or a transfer of permanent legal and physical custody of a child facility, the 
395.2 	subject of the background study, who is 18 years of age or older, shall provide the 
395.3 	commissioner with a set of classifiable fingerprints obtained from an authorized agency for 
395.4 	a national criminal history record check.
395.5 	(b) Notwithstanding paragraph (c), for background studies conducted by the commissioner 
395.6 	for Head Start programs, the subject of the background study shall provide the commissioner 
395.7 	with a set of classifiable fingerprints obtained from an authorized agency for a national 
395.8 	criminal history record check.
395.9 	(c) For background studies initiated on or after the implementation of NETStudy 2.0, 
395.10 	except as provided under subdivision 5a, every subject of a background study must provide 
395.11 	the commissioner with a set of the background study subject's classifiable fingerprints and 
395.12 	photograph. The photograph and fingerprints must be recorded at the same time by the 
395.13 	authorized fingerprint collection vendor or vendors and sent to the commissioner through 
395.14 	the commissioner's secure data system described in section 245C.32, subdivision 1a, 
395.15 	paragraph (b).
395.16 	(d) The fingerprints shall be submitted by the commissioner to the Bureau of Criminal 
395.17 	Apprehension and, when specifically required by law, submitted to the Federal Bureau of 
395.18 	Investigation for a national criminal history record check.
395.19 	(e) The fingerprints must not be retained by the Department of Public Safety, Bureau 
395.20 	of Criminal Apprehension, or the commissioner. The Federal Bureau of Investigation will 
395.21 	not retain background study subjects' fingerprints.
395.22 	(f) The authorized fingerprint collection vendor or vendors shall, for purposes of verifying 
395.23 	the identity of the background study subject, be able to view the identifying information 
395.24 	entered into NETStudy 2.0 by the entity that initiated the background study, but shall not 
395.25 	retain the subject's fingerprints, photograph, or information from NETStudy 2.0. The 
395.26 	authorized fingerprint collection vendor or vendors shall retain no more than the name and 
395.27 	date and time the subject's fingerprints were recorded and sent, only as necessary for auditing 
395.28 	and billing activities.
395.29 	(g) For any background study conducted under this chapter, except for family child 
395.30 	foster care or adoption studies, the subject shall provide the commissioner with a set of 
395.31 	classifiable fingerprints when the commissioner has reasonable cause to require a national 
395.32 	criminal history record check as defined in section 245C.02, subdivision 15a.

396.1 	EFFECTIVE DATE. This section is effective upon implementation in NETStudy 2.0 
396.2 	or January 13, 2026, whichever is later. The commissioner of human services shall notify 
396.3 	the revisor of statutes when the commissioner implements the changes in NETStudy 2.0.

396.4 	Sec. 6. Minnesota Statutes 2024, section 245C.05, subdivision 5a, is amended to read:
396.5 		Subd. 5a.Background study requirements for minors. (a) A background study 
396.6 	completed under this chapter on a subject who is required to be studied under section 
396.7 	245C.03, subdivision 1, and is 17 years of age or younger shall be completed by the 
396.8 	commissioner for:
396.9 	(1) a legal nonlicensed child care provider authorized under chapter 142E;
396.10 	(2) a licensed family child care program; or
396.11 	(3) a licensed foster care home.
396.12 	(b) The subject shall submit to the commissioner only the information under subdivision 
396.13 	1, paragraph (a).
396.14 	(c) For child care studies, a subject who is 17 years of age or younger is required to 
396.15 	submit fingerprints and a photograph, and the commissioner shall conduct a national criminal 
396.16 	history record check, if:
396.17 	(1) the commissioner has reasonable cause to require a national criminal history record 
396.18 	check defined in section 245C.02, subdivision 15a; or
396.19 	(2) under paragraph (a), clauses (1) and (2), the subject is employed by the provider or 
396.20 	supervises children served by the program.
396.21 	(d) For child care studies, a subject who is 17 years of age or younger is required to 
396.22 	submit non-fingerprint-based data according to section 245C.08, subdivision 1, paragraph 
396.23 	(a), clause (6), item (iii), and the commissioner shall conduct the check if:
396.24 	(1) the commissioner has reasonable cause to require a national criminal history record 
396.25 	check defined in section 245C.02, subdivision 15a; or
396.26 	(2) the subject is employed by the provider or supervises children served by the program 
396.27 	under paragraph (a), clauses (1) and (2).

396.28 	EFFECTIVE DATE. This section is effective upon implementation in NETStudy 2.0 
396.29 	or January 13, 2026, whichever is later. The commissioner of human services shall notify 
396.30 	the revisor of statutes when the commissioner implements the changes in NETStudy 2.0.

397.1 	Sec. 7. Minnesota Statutes 2024, section 245C.08, subdivision 1, is amended to read:
397.2 		Subdivision 1.Background studies conducted by Department of Human Services. (a) 
397.3 	For a background study conducted by the Department of Human Services, the commissioner 
397.4 	shall review:
397.5 	(1) information related to names of substantiated perpetrators of maltreatment of 
397.6 	vulnerable adults that has been received by the commissioner as required under section 
397.7 	626.557, subdivision 9c, paragraph (j);
397.8 	(2) the commissioner's records relating to the maltreatment of minors in licensed 
397.9 	programs, and from findings of maltreatment of minors as indicated through the social 
397.10 	service information system;
397.11 	(3) information from juvenile courts as required for studies under this chapter when 
397.12 	there is reasonable cause;
397.13 	(4) information from the Bureau of Criminal Apprehension, including information 
397.14 	regarding a background study subject's registration in Minnesota as a predatory offender 
397.15 	under section 243.166;
397.16 	(5) except as provided in clause (6), information received as a result of submission of 
397.17 	fingerprints for a national criminal history record check, as defined in section 245C.02, 
397.18 	subdivision 13c, when the commissioner has reasonable cause for a national criminal history 
397.19 	record check as defined under section 245C.02, subdivision 15a, or as required under section 
397.20 	144.057, subdivision 1, clause (2);
397.21 	(6) for a background study related to a child foster family setting application for licensure, 
397.22 	foster residence settings, children's residential facilities, a transfer of permanent legal and 
397.23 	physical custody of a child under sections 260C.503 to 260C.515, or adoptions, and for a 
397.24 	background study required for family child care, certified license-exempt child care, child 
397.25 	care centers, and legal nonlicensed child care authorized under chapter 142E, the 
397.26 	commissioner shall also review:
397.27 	(i) information from the child abuse and neglect registry for any state in which the 
397.28 	background study subject has resided for the past five years;
397.29 	(ii) when the background study subject is 18 years of age or older, or a minor under 
397.30 	section 245C.05, subdivision 5a, paragraph (c), information received following submission 
397.31 	of fingerprints for from a national criminal history record check, if authorized for the study; 
397.32 	and
398.1 	(iii) when the background study subject is 18 years of age or older or a minor under 
398.2 	section 245C.05, subdivision 5a, paragraph (d), for licensed family child care, certified 
398.3 	license-exempt child care, licensed child care centers, and legal nonlicensed child care 
398.4 	authorized under chapter 142E, information obtained using non-fingerprint-based data 
398.5 	including information from the criminal and sex offender registries for any state in which 
398.6 	the background study subject resided for the past five years and information from the national 
398.7 	crime information database and the national sex offender registry;
398.8 	(7) for a background study required for family child care, certified license-exempt child 
398.9 	care centers, licensed child care centers, and legal nonlicensed child care authorized under 
398.10 	chapter 142E, the background study shall also include, to the extent practicable, a name and 
398.11 	date-of-birth search of the National Sex Offender Public website; and
398.12 	(8) for a background study required for treatment programs for sexual psychopathic 
398.13 	personalities or sexually dangerous persons, the background study shall only include a 
398.14 	review of the information required under paragraph (a), clauses (1) to (4).
398.15 	(b) Except as otherwise provided in this paragraph, notwithstanding expungement by a 
398.16 	court, the commissioner may consider information obtained under paragraph (a), clauses 
398.17 	(3) and (4), unless:
398.18 	(1) the commissioner received notice of the petition for expungement and the court order 
398.19 	for expungement is directed specifically to the commissioner; or
398.20 	(2) the commissioner received notice of the expungement order issued pursuant to section 
398.21 	609A.017, 609A.025, or 609A.035, and the order for expungement is directed specifically 
398.22 	to the commissioner.
398.23 	The commissioner may not consider information obtained under paragraph (a), clauses (3) 
398.24 	and (4), or from any other source that identifies a violation of chapter 152 without 
398.25 	determining if the offense involved the possession of marijuana or tetrahydrocannabinol 
398.26 	and, if so, whether the person received a grant of expungement or order of expungement, 
398.27 	or the person was resentenced to a lesser offense. If the person received a grant of 
398.28 	expungement or order of expungement, the commissioner may not consider information 
398.29 	related to that violation but may consider any other relevant information arising out of the 
398.30 	same incident.
398.31 	(c) The commissioner shall also review criminal case information received according 
398.32 	to section 245C.04, subdivision 4a, from the Minnesota court information system that relates 
398.33 	to individuals who have already been studied under this chapter and who remain affiliated 
398.34 	with the agency that initiated the background study.
399.1 	(d) When the commissioner has reasonable cause to believe that the identity of a 
399.2 	background study subject is uncertain, the commissioner may require the subject to provide 
399.3 	a set of classifiable fingerprints for purposes of completing a fingerprint-based record check 
399.4 	with the Bureau of Criminal Apprehension. Fingerprints collected under this paragraph 
399.5 	shall not be saved by the commissioner after they have been used to verify the identity of 
399.6 	the background study subject against the particular criminal record in question.
399.7 	(e) The commissioner may inform the entity that initiated a background study under 
399.8 	NETStudy 2.0 of the status of processing of the subject's fingerprints.

399.9 	EFFECTIVE DATE. This section is effective upon implementation in NETStudy 2.0 
399.10 	or January 13, 2026, whichever is later. The commissioner of human services shall notify 
399.11 	the revisor of statutes when the commissioner implements the changes in NETStudy 2.0.

399.12 	Sec. 8. Minnesota Statutes 2024, section 245C.08, subdivision 5, is amended to read:
399.13 		Subd. 5.Authorization. The commissioner of human services shall be is authorized to 
399.14 	receive information under this chapter.

399.15 	Sec. 9. Minnesota Statutes 2024, section 245C.10, subdivision 9, is amended to read:
399.16 		Subd. 9.Human services licensed programs. The commissioner shall recover the cost 
399.17 	of background studies required under section 245C.03, subdivision 1, for all programs that 
399.18 	are licensed by the commissioner, except child foster care when the applicant or license 
399.19 	holder resides in the home where child foster care services are provided, family child care, 
399.20 	child care centers, certified license-exempt child care centers, and legal nonlicensed child 
399.21 	care authorized under chapter 142E, through a fee of no more than $44 per study charged 
399.22 	to the license holder. The fees collected under this subdivision are appropriated to the 
399.23 	commissioner for the purpose of conducting background studies.

399.24 	Sec. 10. Minnesota Statutes 2024, section 245C.10, is amended by adding a subdivision 
399.25 	to read:
399.26 		Subd. 9b.Child foster care and adoption programs. The commissioner shall recover 
399.27 	the cost of a background study required for child foster care and adoption studies through 
399.28 	a fee of no more than $44 per study. The fees collected under this subdivision are 
399.29 	appropriated to the commissioner for the purpose of conducting background studies.

400.1 	Sec. 11. Minnesota Statutes 2024, section 245C.13, subdivision 2, is amended to read:
400.2 		Subd. 2.Activities pending completion of background study. The subject of a 
400.3 	background study may not perform any activity requiring a background study under 
400.4 	paragraph (c) until the commissioner has issued one of the notices under paragraph (a).
400.5 	(a) Notices from the commissioner required prior to activity under paragraph (c) include:
400.6 	(1) a notice of the study results under section 245C.17 stating that:
400.7 	(i) the individual is not disqualified; or
400.8 	(ii) more time is needed to complete the study but the individual is not required to be 
400.9 	removed from direct contact or access to people receiving services prior to completion of 
400.10 	the study as provided under section 245C.17, subdivision 1, paragraph (b) or (c). The notice 
400.11 	that more time is needed to complete the study must also indicate whether the individual is 
400.12 	required to be under continuous direct supervision prior to completion of the background 
400.13 	study. When more time is necessary to complete a background study of an individual 
400.14 	affiliated with a Title IV-E eligible children's residential facility or foster residence setting, 
400.15 	the individual may not work in the facility or setting regardless of whether or not the 
400.16 	individual is supervised;
400.17 	(2) a notice that a disqualification has been set aside under section 245C.23; or
400.18 	(3) a notice that a variance has been granted related to the individual under section 
400.19 	245C.30.
400.20 	(b) For a background study affiliated with a licensed child care center or certified 
400.21 	license-exempt child care center, the notice sent under paragraph (a), clause (1), item (ii), 
400.22 	must not be issued until the commissioner receives a qualifying result for the individual for 
400.23 	the fingerprint-based national criminal history record check or the fingerprint-based criminal 
400.24 	history information from the Bureau of Criminal Apprehension. The notice must require 
400.25 	the individual to be under continuous direct supervision prior to completion of the remainder 
400.26 	of the background study except as permitted in subdivision 3.
400.27 	(c) Activities prohibited prior to receipt of notice under paragraph (a) include:
400.28 	(1) being issued a license;
400.29 	(2) living in the household where the licensed program will be provided;
400.30 	(3) providing direct contact services to persons served by a program unless the subject 
400.31 	is under continuous direct supervision;
401.1 	(4) having access to persons receiving services if the background study was completed 
401.2 	under section 144.057, subdivision 1, or 245C.03, subdivision 1, paragraph (a), clause (2), 
401.3 	(5), or (6), unless the subject is under continuous direct supervision;
401.4 	(5) for licensed child care centers and certified license-exempt child care centers, 
401.5 	providing direct contact services to persons served by the program;
401.6 	(6) for children's residential facilities or foster residence settings, working in the facility 
401.7 	or setting; or
401.8 	(7) for background studies affiliated with a personal care provider organization, except 
401.9 	as provided in section 245C.03, subdivision 3b, before a personal care assistant provides 
401.10 	services, the personal care assistance provider agency must initiate a background study of 
401.11 	the personal care assistant under this chapter and the personal care assistance provider 
401.12 	agency must have received a notice from the commissioner that the personal care assistant 
401.13 	is:
401.14 	(i) not disqualified under section 245C.14; or
401.15 	(ii) disqualified, but the personal care assistant has received a set aside of the 
401.16 	disqualification under section 245C.22.

401.17 	EFFECTIVE DATE. This section is effective January 15, 2026.

401.18 	Sec. 12. Minnesota Statutes 2024, section 245C.14, is amended by adding a subdivision 
401.19 	to read:
401.20 		Subd. 6.Disqualification from owning, operating, or billing. The commissioner shall 
401.21 	disqualify an individual who is the subject of a background study from any position involving 
401.22 	ownership, management, or control of a program or billing activities if a background study 
401.23 	completed under this chapter shows a violation of section 142A.12, 245.095, or 256B.064.

401.24 	EFFECTIVE DATE. This section is effective July 1, 2025.

401.25 	Sec. 13. Minnesota Statutes 2024, section 245C.15, subdivision 1, is amended to read:
401.26 		Subdivision 1.Permanent disqualification. (a) An individual is disqualified under 
401.27 	section 245C.14 if: (1) regardless of how much time has passed since the discharge of the 
401.28 	sentence imposed, if any, for the offense; and (2) unless otherwise specified, regardless of 
401.29 	the level of the offense, the individual has committed any of the following offenses: sections 
401.30 	243.166 (violation of predatory offender registration law); 609.185 (murder in the first 
401.31 	degree); 609.19 (murder in the second degree); 609.195 (murder in the third degree); 609.20 
402.1 	(manslaughter in the first degree); 609.205 (manslaughter in the second degree); a felony 
402.2 	offense under 609.221 or 609.222 (assault in the first or second degree); a felony offense 
402.3 	under sections 609.2242 and 609.2243 (domestic assault), spousal abuse, child abuse or 
402.4 	neglect, or a crime against children; 609.2247 (domestic assault by strangulation); 609.228 
402.5 	(great bodily harm caused by distribution of drugs); 609.245 (aggravated robbery); 609.247, 
402.6 	subdivision 2 or 3 (carjacking in the first or second degree); 609.25 (kidnapping); 609.2661 
402.7 	(murder of an unborn child in the first degree); 609.2662 (murder of an unborn child in the 
402.8 	second degree); 609.2663 (murder of an unborn child in the third degree); 609.322 
402.9 	(solicitation, inducement, and promotion of prostitution); 609.324, subdivision 1 (other 
402.10 	prohibited acts); 609.342 (criminal sexual conduct in the first degree); 609.343 (criminal 
402.11 	sexual conduct in the second degree); 609.344 (criminal sexual conduct in the third degree); 
402.12 	609.345 (criminal sexual conduct in the fourth degree); 609.3451 (criminal sexual conduct 
402.13 	in the fifth degree); 609.3453 (criminal sexual predatory conduct); 609.3458 (sexual 
402.14 	extortion); 609.352 (solicitation of children to engage in sexual conduct); 609.365 (incest); 
402.15 	a felony offense under 609.377 (malicious punishment of a child); 609.3775 (child torture);
402.16 	a felony offense under 609.378 (neglect or endangerment of a child); 609.561 (arson in the 
402.17 	first degree); 609.66, subdivision 1e (drive-by shooting); 609.749, subdivision 3, 4, or 5 
402.18 	(felony-level harassment or stalking); 609.855, subdivision 5 (shooting at or in a public 
402.19 	transit vehicle or facility); 617.23, subdivision 2, clause (1), or subdivision 3, clause (1) 
402.20 	(indecent exposure involving a minor); 617.246 (use of minors in sexual performance 
402.21 	prohibited); 617.247 (possession of pictorial representations of minors); or, for a child care 
402.22 	background study subject, conviction of a crime that would make the individual ineligible 
402.23 	for employment under United States Code, title 42, section 9858f, except for a felony drug 
402.24 	conviction, regardless of whether a period of disqualification under subdivisions 2 to 4, 
402.25 	would apply if the individual were not a child care background study subject.
402.26 	(b) An individual's aiding and abetting, attempt, or conspiracy to commit any of the 
402.27 	offenses listed in paragraph (a), as each of these offenses is defined in Minnesota Statutes, 
402.28 	permanently disqualifies the individual under section 245C.14.
402.29 	(c) An individual's offense in any other state or country, where the elements of the offense 
402.30 	are substantially similar to any of the offenses listed in paragraph (a), permanently disqualifies 
402.31 	the individual under section 245C.14.
402.32 	(d) When a disqualification is based on a judicial determination other than a conviction, 
402.33 	the disqualification period begins from the date of the court order. When a disqualification 
402.34 	is based on an admission, the disqualification period begins from the date of an admission 
402.35 	in court. When a disqualification is based on an Alford Plea, the disqualification period 
403.1 	begins from the date the Alford Plea is entered in court. When a disqualification is based 
403.2 	on a preponderance of evidence of a disqualifying act, the disqualification date begins from 
403.3 	the date of the dismissal, the date of discharge of the sentence imposed for a conviction for 
403.4 	a disqualifying crime of similar elements, or the date of the incident, whichever occurs last.
403.5 	(e) If the individual studied commits one of the offenses listed in paragraph (a) that is 
403.6 	specified as a felony-level only offense, but the sentence or level of offense is a gross 
403.7 	misdemeanor or misdemeanor, the individual is disqualified, but the disqualification 
403.8 	look-back period for the offense is the period applicable to gross misdemeanor or 
403.9 	misdemeanor offenses.
403.10 	(f) A child care background study subject shall be disqualified if the individual is 
403.11 	registered, or required to be registered, on a state sex offender registry or repository or the 
403.12 	National Sex Offender Registry.

403.13 	EFFECTIVE DATE. This section is effective July 1, 2025.

403.14 	Sec. 14. Minnesota Statutes 2024, section 245C.15, subdivision 4a, is amended to read:
403.15 		Subd. 4a.Licensed family foster setting disqualifications. (a) Notwithstanding 
403.16 	subdivisions 1 to 4, for a background study affiliated with a licensed family foster setting, 
403.17 	regardless of how much time has passed, an individual is disqualified under section 245C.14 
403.18 	if the individual committed an act that resulted in a felony-level conviction for sections: 
403.19 	609.185 (murder in the first degree); 609.19 (murder in the second degree); 609.195 (murder 
403.20 	in the third degree); 609.20 (manslaughter in the first degree); 609.205 (manslaughter in 
403.21 	the second degree); 609.2112 (criminal vehicular homicide); 609.221 (assault in the first 
403.22 	degree); 609.223, subdivision 2 (assault in the third degree, past pattern of child abuse); 
403.23 	609.223, subdivision 3 (assault in the third degree, victim under four); a felony offense 
403.24 	under sections 609.2242 and 609.2243 (domestic assault, spousal abuse, child abuse or 
403.25 	neglect, or a crime against children); 609.2247 (domestic assault by strangulation); 609.2325 
403.26 	(criminal abuse of a vulnerable adult resulting in the death of a vulnerable adult); 609.245 
403.27 	(aggravated robbery); 609.247, subdivision 2 or 3 (carjacking in the first or second degree); 
403.28 	609.25 (kidnapping); 609.255 (false imprisonment); 609.2661 (murder of an unborn child 
403.29 	in the first degree); 609.2662 (murder of an unborn child in the second degree); 609.2663 
403.30 	(murder of an unborn child in the third degree); 609.2664 (manslaughter of an unborn child 
403.31 	in the first degree); 609.2665 (manslaughter of an unborn child in the second degree); 
403.32 	609.267 (assault of an unborn child in the first degree); 609.2671 (assault of an unborn child 
403.33 	in the second degree); 609.268 (injury or death of an unborn child in the commission of a 
403.34 	crime); 609.322, subdivision 1 (solicitation, inducement, and promotion of prostitution; sex 
404.1 	trafficking in the first degree); 609.324, subdivision 1 (other prohibited acts; engaging in, 
404.2 	hiring, or agreeing to hire minor to engage in prostitution); 609.342 (criminal sexual conduct 
404.3 	in the first degree); 609.343 (criminal sexual conduct in the second degree); 609.344 (criminal 
404.4 	sexual conduct in the third degree); 609.345 (criminal sexual conduct in the fourth degree); 
404.5 	609.3451 (criminal sexual conduct in the fifth degree); 609.3453 (criminal sexual predatory 
404.6 	conduct); 609.3458 (sexual extortion); 609.352 (solicitation of children to engage in sexual 
404.7 	conduct); 609.377 (malicious punishment of a child); 609.3775 (child torture);609.378
404.8 	(neglect or endangerment of a child); 609.561 (arson in the first degree); 609.582, subdivision 
404.9 	1 (burglary in the first degree); 609.746 (interference with privacy); 617.23 (indecent 
404.10 	exposure); 617.246 (use of minors in sexual performance prohibited); or 617.247 (possession 
404.11 	of pictorial representations of minors).
404.12 	(b) Notwithstanding subdivisions 1 to 4, for the purposes of a background study affiliated 
404.13 	with a licensed family foster setting, an individual is disqualified under section 245C.14, 
404.14 	regardless of how much time has passed, if the individual:
404.15 	(1) committed an action under paragraph (e) that resulted in death or involved sexual 
404.16 	abuse, as defined in section 260E.03, subdivision 20;
404.17 	(2) committed an act that resulted in a gross misdemeanor-level conviction for section 
404.18 	609.3451 (criminal sexual conduct in the fifth degree);
404.19 	(3) committed an act against or involving a minor that resulted in a felony-level conviction 
404.20 	for: section 609.222 (assault in the second degree); 609.223, subdivision 1 (assault in the 
404.21 	third degree); 609.2231 (assault in the fourth degree); or 609.224 (assault in the fifth degree); 
404.22 	or
404.23 	(4) committed an act that resulted in a misdemeanor or gross misdemeanor-level 
404.24 	conviction for section 617.293 (dissemination and display of harmful materials to minors).
404.25 	(c) Notwithstanding subdivisions 1 to 4, for a background study affiliated with a licensed 
404.26 	family foster setting, an individual is disqualified under section 245C.14 if fewer than 20 
404.27 	years have passed since the termination of the individual's parental rights under section 
404.28 	260C.301, subdivision 1, paragraph (b), or if the individual consented to a termination of 
404.29 	parental rights under section 260C.301, subdivision 1, paragraph (a), to settle a petition to 
404.30 	involuntarily terminate parental rights. An individual is disqualified under section 245C.14 
404.31 	if fewer than 20 years have passed since the termination of the individual's parental rights 
404.32 	in any other state or country, where the conditions for the individual's termination of parental 
404.33 	rights are substantially similar to the conditions in section 260C.301, subdivision 1, paragraph 
404.34 	(b).
405.1 	(d) Notwithstanding subdivisions 1 to 4, for a background study affiliated with a licensed 
405.2 	family foster setting, an individual is disqualified under section 245C.14 if fewer than five 
405.3 	years have passed since a felony-level violation for sections: 152.021 (controlled substance 
405.4 	crime in the first degree); 152.022 (controlled substance crime in the second degree); 152.023 
405.5 	(controlled substance crime in the third degree); 152.024 (controlled substance crime in the 
405.6 	fourth degree); 152.025 (controlled substance crime in the fifth degree); 152.0261 (importing 
405.7 	controlled substances across state borders); 152.0262, subdivision 1, paragraph (b) 
405.8 	(possession of substance with intent to manufacture methamphetamine); 152.027, subdivision 
405.9 	6, paragraph (c) (sale or possession of synthetic cannabinoids); 152.096 (conspiracies 
405.10 	prohibited); 152.097 (simulated controlled substances); 152.136 (anhydrous ammonia; 
405.11 	prohibited conduct; criminal penalties; civil liabilities); 152.137 (methamphetamine-related 
405.12 	crimes involving children or vulnerable adults); 169A.24 (felony first-degree driving while 
405.13 	impaired); 243.166 (violation of predatory offender registration requirements); 609.2113 
405.14 	(criminal vehicular operation; bodily harm); 609.2114 (criminal vehicular operation; unborn 
405.15 	child); 609.228 (great bodily harm caused by distribution of drugs); 609.2325 (criminal 
405.16 	abuse of a vulnerable adult not resulting in the death of a vulnerable adult); 609.233 (criminal 
405.17 	neglect); 609.235 (use of drugs to injure or facilitate a crime); 609.24 (simple robbery); 
405.18 	609.247, subdivision 4 (carjacking in the third degree); 609.322, subdivision 1a (solicitation, 
405.19 	inducement, and promotion of prostitution; sex trafficking in the second degree); 609.498, 
405.20 	subdivision 1 (tampering with a witness in the first degree); 609.498, subdivision 1b 
405.21 	(aggravated first-degree witness tampering); 609.562 (arson in the second degree); 609.563 
405.22 	(arson in the third degree); 609.582, subdivision 2 (burglary in the second degree); 609.66 
405.23 	(felony dangerous weapons); 609.687 (adulteration); 609.713 (terroristic threats); 609.749, 
405.24 	subdivision 3, 4, or 5 (felony-level harassment or stalking); 609.855, subdivision 5 (shooting 
405.25 	at or in a public transit vehicle or facility); or 624.713 (certain people not to possess firearms).
405.26 	(e) Notwithstanding subdivisions 1 to 4, except as provided in paragraph (a), for a 
405.27 	background study affiliated with a licensed family child foster care license, an individual 
405.28 	is disqualified under section 245C.14 if fewer than five years have passed since:
405.29 	(1) a felony-level violation for an act not against or involving a minor that constitutes: 
405.30 	section 609.222 (assault in the second degree); 609.223, subdivision 1 (assault in the third 
405.31 	degree); 609.2231 (assault in the fourth degree); or 609.224, subdivision 4 (assault in the 
405.32 	fifth degree);
405.33 	(2) a violation of an order for protection under section 518B.01, subdivision 14;
405.34 	(3) a determination or disposition of the individual's failure to make required reports 
405.35 	under section 260E.06 or 626.557, subdivision 3, for incidents in which the final disposition 
406.1 	under chapter 260E or section 626.557 was substantiated maltreatment and the maltreatment 
406.2 	was recurring or serious;
406.3 	(4) a determination or disposition of the individual's substantiated serious or recurring 
406.4 	maltreatment of a minor under chapter 260E, a vulnerable adult under section 626.557, or 
406.5 	serious or recurring maltreatment in any other state, the elements of which are substantially 
406.6 	similar to the elements of maltreatment under chapter 260E or section 626.557 and meet 
406.7 	the definition of serious maltreatment or recurring maltreatment;
406.8 	(5) a gross misdemeanor-level violation for sections: 609.224, subdivision 2 (assault in 
406.9 	the fifth degree); 609.2242 and 609.2243 (domestic assault); 609.233 (criminal neglect); 
406.10 	609.377 (malicious punishment of a child); 609.378 (neglect or endangerment of a child); 
406.11 	609.746 (interference with privacy); 609.749 (stalking); or 617.23 (indecent exposure); or
406.12 	(6) committing an act against or involving a minor that resulted in a misdemeanor-level 
406.13 	violation of section 609.224, subdivision 1 (assault in the fifth degree).
406.14 	(f) For purposes of this subdivision, the disqualification begins from:
406.15 	(1) the date of the alleged violation, if the individual was not convicted;
406.16 	(2) the date of conviction, if the individual was convicted of the violation but not 
406.17 	committed to the custody of the commissioner of corrections; or
406.18 	(3) the date of release from prison, if the individual was convicted of the violation and 
406.19 	committed to the custody of the commissioner of corrections.
406.20 	Notwithstanding clause (3), if the individual is subsequently reincarcerated for a violation 
406.21 	of the individual's supervised release, the disqualification begins from the date of release 
406.22 	from the subsequent incarceration.
406.23 	(g) An individual's aiding and abetting, attempt, or conspiracy to commit any of the 
406.24 	offenses listed in paragraphs (a) and (b), as each of these offenses is defined in Minnesota 
406.25 	Statutes, permanently disqualifies the individual under section 245C.14. An individual is 
406.26 	disqualified under section 245C.14 if fewer than five years have passed since the individual's 
406.27 	aiding and abetting, attempt, or conspiracy to commit any of the offenses listed in paragraphs 
406.28 	(d) and (e).
406.29 	(h) An individual's offense in any other state or country, where the elements of the 
406.30 	offense are substantially similar to any of the offenses listed in paragraphs (a) and (b), 
406.31 	permanently disqualifies the individual under section 245C.14. An individual is disqualified 
406.32 	under section 245C.14 if fewer than five years have passed since an offense in any other 
407.1 	state or country, the elements of which are substantially similar to the elements of any 
407.2 	offense listed in paragraphs (d) and (e).

407.3 	EFFECTIVE DATE. This section is effective July 1, 2025.

407.4 	Sec. 15. Minnesota Statutes 2024, section 245C.15, is amended by adding a subdivision 
407.5 	to read:
407.6 		Subd. 4c.Two-year disqualification. An individual is disqualified under section 
407.7 	245C.14, subdivision 6, if fewer than two years have passed since a determination that the 
407.8 	individual violated section 142A.12, 245.095, or 256B.064.

407.9 	EFFECTIVE DATE. This section is effective July 1, 2025.

407.10 	Sec. 16. Minnesota Statutes 2024, section 245C.22, subdivision 3, is amended to read:
407.11 		Subd. 3.Preeminent weight given to safety of persons being served and program 
407.12 	integrity. In reviewing a request for reconsideration of a disqualification, the commissioner 
407.13 	shall give preeminent weight to the safety of each person served by the license holder, 
407.14 	applicant, or other entities as provided in this chapter and to program integrity through 
407.15 	protection of state and federal money supporting the program over the interests of the 
407.16 	disqualified individual, license holder, applicant, or other entity as provided in this chapter, 
407.17 	and any single factor under subdivision 4, paragraph (b), may be determinative of the 
407.18 	commissioner's decision whether to set aside the individual's disqualification.

407.19 	Sec. 17. Minnesota Statutes 2024, section 245C.22, subdivision 8, is amended to read:
407.20 		Subd. 8.Sharing of certain data for reconsiderations and appeals. (a) The following 
407.21 	commissioners shall be responsible for conducting making final agency decisions on 
407.22 	background study reconsiderations and defending appeals of background studies for programs 
407.23 	under their jurisdictions study determinations:
407.24 	(1) the commissioner of human services for all programs under section 245C.03, 
407.25 	subdivision 1 this chapter, unless otherwise specified in this subdivision;
407.26 	(2) the commissioner of health for programs under section 245C.03, subdivision 5a;
407.27 	(3) the commissioner of corrections for programs under section 245C.03, subdivision 
407.28 	5b; and
407.29 	(4) the commissioner of the children, youth, and families for programs under section 
407.30 	245C.03, subdivision 5c.
408.1 	(b) The commissioner of human services shall share all relevant background study data 
408.2 	to allow the commissioners specified in paragraph (a) to complete reconsiderations and 
408.3 	appeals for programs licensed or regulated by their agencies.

408.4 	Sec. 18. Minnesota Statutes 2024, section 609A.015, subdivision 4, is amended to read:
408.5 		Subd. 4.Notice. (a) The court shall notify a person who may become eligible for an 
408.6 	automatic expungement under this section of that eligibility at any hearing where the court 
408.7 	dismisses and discharges proceedings against a person under section 152.18, subdivision 
408.8 	1, for violation of section 152.024, 152.025, or 152.027 for possession of a controlled 
408.9 	substance; concludes that all pending actions or proceedings were resolved in favor of the 
408.10 	person; grants a person's placement into a diversion program; or sentences a person or 
408.11 	otherwise imposes a consequence for a qualifying offense.
408.12 	(b) To the extent possible, prosecutors, defense counsel, supervising agents, and 
408.13 	coordinators or supervisors of a diversion program shall notify a person who may become 
408.14 	eligible for an automatic expungement under this section of that eligibility.
408.15 	(c) If any party gives notification under this subdivision, the notification shall inform 
408.16 	the person that:
408.17 	(1) a record expunged under this section may be opened for purposes of a background 
408.18 	study by the Department of Human Services; the Department of Children, Youth, and 
408.19 	Families; or the Department of Health under section 245C.08 and for purposes of a 
408.20 	background check by the Professional Educator Licensing and Standards Board as required 
408.21 	under section 122A.18, subdivision 8; and
408.22 	(2) the person can file a petition under section 609A.03, subject to the process in section 
408.23 	609A.03 and the limitations in section 609A.02, to expunge the records held by the 
408.24 	commissioner of human services,; the commissioner of children, youth, and families; the 
408.25 	commissioner of health,; and the Professional Educator Licensing and Standards Board.

408.26 	Sec. 19. Minnesota Statutes 2024, section 609A.055, subdivision 3, is amended to read:
408.27 		Subd. 3.Expungement relief; notification requirements. (a) The Bureau of Criminal 
408.28 	Apprehension shall grant expungement relief to each qualifying person whose records the 
408.29 	bureau possesses and seal the bureau's records without requiring an application, petition, 
408.30 	or motion. The bureau shall seal records related to an expungement within 60 days after the 
408.31 	bureau sent notice of the expungement to the judicial branch pursuant to subdivision 2, 
409.1 	paragraph (b), unless an order of the judicial branch prohibits sealing the records or additional 
409.2 	information establishes that the records are not eligible for expungement.
409.3 	(b) Nonpublic criminal records maintained by the bureau and subject to a grant of 
409.4 	expungement relief must display a notation stating "expungement relief granted pursuant 
409.5 	to section 609A.055."
409.6 	(c) The bureau shall inform the judicial branch of all cases that are granted expungement 
409.7 	relief pursuant to this section. The bureau may notify the judicial branch using electronic 
409.8 	means and may notify the judicial branch immediately or in a monthly report. Upon receiving 
409.9 	notice of an expungement, the judicial branch shall seal all related records, including records 
409.10 	of the person's arrest, indictment, trial, verdict, and dismissal or discharge of the case. Upon 
409.11 	receiving notice of an expungement, the judicial branch shall issue any order necessary to 
409.12 	seal related records. The judicial branch shall not order the Department of Health; the 
409.13 	Department of Children, Youth, and Families; or the Department of Human Services to seal 
409.14 	records under this section.
409.15 	(d) The bureau shall inform each arresting or citing law enforcement agency or 
409.16 	prosecutorial office with records affected by the grant of expungement relief issued pursuant 
409.17 	to paragraph (a) that expungement has been granted. The bureau shall notify each agency 
409.18 	or office of an expungement within 60 days after the bureau sent notice of the expungement 
409.19 	to the judicial branch. The bureau may notify each agency or office using electronic means. 
409.20 	Upon receiving notification of an expungement, an agency or office shall seal all records 
409.21 	related to the expungement, including the records of the person's arrest, indictment, trial, 
409.22 	verdict, and dismissal or discharge of the case.
409.23 	(e) The bureau shall provide information on its publicly facing website clearly stating 
409.24 	that persons who are noncitizens may need copies of records affected by a grant of 
409.25 	expungement relief for immigration purposes, explaining how they can obtain these copies 
409.26 	after expungement or other granted relief, and stating that a noncitizen should consult with 
409.27 	an immigration attorney.
409.28 	(f) Data on a person whose offense has been expunged under this subdivision, including 
409.29 	any notice sent pursuant to paragraph (d), are private data on individuals as defined in section 
409.30 	13.02, subdivision 12.
409.31 	(g) Section 609A.03, subdivision 6, applies to an order issued under this section sealing 
409.32 	the record of proceedings under section 152.18.
409.33 	(h) The limitations under section 609A.03, subdivision 7a, paragraph (b), do not apply 
409.34 	to an order issued under this section.
410.1 	(i) The subject whose record qualifies for expungement shall be given access to copies 
410.2 	of the records of arrest, conviction, or incarceration for any purposes, including immigration 
410.3 	purposes.
410.4 	(j) Relief granted under this subdivision shall not impact the ability of a petitioner to 
410.5 	file for relief under section 590.01.

410.6 	ARTICLE 17
410.7 	DEPARTMENT OF HUMAN SERVICES PROGRAM INTEGRITY

410.8 	Section 1. Minnesota Statutes 2024, section 13.46, subdivision 2, is amended to read:
410.9 		Subd. 2.General. (a) Data on individuals collected, maintained, used, or disseminated 
410.10 	by the welfare system are private data on individuals, and shall not be disclosed except:
410.11 	(1) according to section 13.05;
410.12 	(2) according to court order;
410.13 	(3) according to a statute specifically authorizing access to the private data;
410.14 	(4) to an agent of the welfare system and an or investigator acting on behalf of a county, 
410.15 	the state, or the federal government, including a law enforcement person or attorney in the 
410.16 	investigation or prosecution of a criminal, civil, or administrative proceeding relating to the 
410.17 	administration of a program;
410.18 	(5) to personnel of the welfare system who require the data to verify an individual's 
410.19 	identity; determine eligibility, amount of assistance, and the need to provide services to an 
410.20 	individual or family across programs; coordinate services for an individual or family; 
410.21 	evaluate the effectiveness of programs; assess parental contribution amounts; and investigate 
410.22 	suspected fraud;
410.23 	(6) to administer federal funds or programs;
410.24 	(7) between personnel of the welfare system working in the same program;
410.25 	(8) to the Department of Revenue to administer and evaluate tax refund or tax credit 
410.26 	programs and to identify individuals who may benefit from these programs, and prepare 
410.27 	the databases for reports required under section 270C.13 and Laws 2008, chapter 366, article 
410.28 	17, section 6. The following information may be disclosed under this paragraph: an 
410.29 	individual's and their dependent's names, dates of birth, Social Security or individual taxpayer 
410.30 	identification numbers, income, addresses, and other data as required, upon request by the 
410.31 	Department of Revenue. Disclosures by the commissioner of revenue to the commissioner 
411.1 	of human services for the purposes described in this clause are governed by section 270B.14, 
411.2 	subdivision 1. Tax refund or tax credit programs include, but are not limited to, the dependent 
411.3 	care credit under section 290.067, the Minnesota working family credit under section 
411.4 	290.0671, the property tax refund under section 290A.04, and the Minnesota education 
411.5 	credit under section 290.0674;
411.6 	(9) between the Department of Human Services; the Department of Employment and 
411.7 	Economic Development; the Department of Children, Youth, and Families; Direct Care and 
411.8 	Treatment; and, when applicable, the Department of Education, for the following purposes:
411.9 	(i) to monitor the eligibility of the data subject for unemployment benefits, for any 
411.10 	employment or training program administered, supervised, or certified by that agency;
411.11 	(ii) to administer any rehabilitation program or child care assistance program, whether 
411.12 	alone or in conjunction with the welfare system;
411.13 	(iii) to monitor and evaluate the Minnesota family investment program or the child care 
411.14 	assistance program by exchanging data on recipients and former recipients of Supplemental 
411.15 	Nutrition Assistance Program (SNAP) benefits, cash assistance under chapter 142F, 256D, 
411.16 	256J, or 256K, child care assistance under chapter 142E, medical programs under chapter 
411.17 	256B or 256L; and
411.18 	(iv) to analyze public assistance employment services and program utilization, cost, 
411.19 	effectiveness, and outcomes as implemented under the authority established in Title II, 
411.20 	Sections 201-204 of the Ticket to Work and Work Incentives Improvement Act of 1999. 
411.21 	Health records governed by sections 144.291 to 144.298 and "protected health information" 
411.22 	as defined in Code of Federal Regulations, title 45, section 160.103, and governed by Code 
411.23 	of Federal Regulations, title 45, parts 160-164, including health care claims utilization 
411.24 	information, must not be exchanged under this clause;
411.25 	(10) to appropriate parties in connection with an emergency if knowledge of the 
411.26 	information is necessary to protect the health or safety of the individual or other individuals 
411.27 	or persons;
411.28 	(11) data maintained by residential programs as defined in section 245A.02 may be 
411.29 	disclosed to the protection and advocacy system established in this state according to Part 
411.30 	C of Public Law 98-527 to protect the legal and human rights of persons with developmental 
411.31 	disabilities or other related conditions who live in residential facilities for these persons if 
411.32 	the protection and advocacy system receives a complaint by or on behalf of that person and 
411.33 	the person does not have a legal guardian or the state or a designee of the state is the legal 
411.34 	guardian of the person;
412.1 	(12) to the county medical examiner or the county coroner for identifying or locating 
412.2 	relatives or friends of a deceased person;
412.3 	(13) data on a child support obligor who makes payments to the public agency may be 
412.4 	disclosed to the Minnesota Office of Higher Education to the extent necessary to determine 
412.5 	eligibility under section 136A.121, subdivision 2, clause (5);
412.6 	(14) participant Social Security or individual taxpayer identification numbers and names 
412.7 	collected by the telephone assistance program may be disclosed to the Department of 
412.8 	Revenue to conduct an electronic data match with the property tax refund database to 
412.9 	determine eligibility under section 237.70, subdivision 4a;
412.10 	(15) the current address of a Minnesota family investment program participant may be 
412.11 	disclosed to law enforcement officers who provide the name of the participant and notify 
412.12 	the agency that:
412.13 	(i) the participant:
412.14 	(A) is a fugitive felon fleeing to avoid prosecution, or custody or confinement after 
412.15 	conviction, for a crime or attempt to commit a crime that is a felony under the laws of the 
412.16 	jurisdiction from which the individual is fleeing; or
412.17 	(B) is violating a condition of probation or parole imposed under state or federal law;
412.18 	(ii) the location or apprehension of the felon is within the law enforcement officer's 
412.19 	official duties; and
412.20 	(iii) the request is made in writing and in the proper exercise of those duties;
412.21 	(16) the current address of a recipient of general assistance may be disclosed to probation 
412.22 	officers and corrections agents who are supervising the recipient and to law enforcement 
412.23 	officers who are investigating the recipient in connection with a felony level offense;
412.24 	(17) information obtained from a SNAP applicant or recipient households may be 
412.25 	disclosed to local, state, or federal law enforcement officials, upon their written request, for 
412.26 	the purpose of investigating an alleged violation of the Food and Nutrition Act, according 
412.27 	to Code of Federal Regulations, title 7, section 272.1(c);
412.28 	(18) the address, Social Security or individual taxpayer identification number, and, if 
412.29 	available, photograph of any member of a household receiving SNAP benefits shall be made 
412.30 	available, on request, to a local, state, or federal law enforcement officer if the officer 
412.31 	furnishes the agency with the name of the member and notifies the agency that:
412.32 	(i) the member:
413.1 	(A) is fleeing to avoid prosecution, or custody or confinement after conviction, for a 
413.2 	crime or attempt to commit a crime that is a felony in the jurisdiction the member is fleeing;
413.3 	(B) is violating a condition of probation or parole imposed under state or federal law; 
413.4 	or
413.5 	(C) has information that is necessary for the officer to conduct an official duty related 
413.6 	to conduct described in subitem (A) or (B);
413.7 	(ii) locating or apprehending the member is within the officer's official duties; and
413.8 	(iii) the request is made in writing and in the proper exercise of the officer's official duty;
413.9 	(19) the current address of a recipient of Minnesota family investment program, general 
413.10 	assistance, or SNAP benefits may be disclosed to law enforcement officers who, in writing, 
413.11 	provide the name of the recipient and notify the agency that the recipient is a person required 
413.12 	to register under section 243.166, but is not residing at the address at which the recipient is 
413.13 	registered under section 243.166;
413.14 	(20) certain information regarding child support obligors who are in arrears may be 
413.15 	made public according to section 518A.74;
413.16 	(21) data on child support payments made by a child support obligor and data on the 
413.17 	distribution of those payments excluding identifying information on obligees may be 
413.18 	disclosed to all obligees to whom the obligor owes support, and data on the enforcement 
413.19 	actions undertaken by the public authority, the status of those actions, and data on the income 
413.20 	of the obligor or obligee may be disclosed to the other party;
413.21 	(22) data in the work reporting system may be disclosed under section 142A.29, 
413.22 	subdivision 7;
413.23 	(23) to the Department of Education for the purpose of matching Department of Education 
413.24 	student data with public assistance data to determine students eligible for free and 
413.25 	reduced-price meals, meal supplements, and free milk according to United States Code, 
413.26 	title 42, sections 1758, 1761, 1766, 1766a, 1772, and 1773; to allocate federal and state 
413.27 	funds that are distributed based on income of the student's family; and to verify receipt of 
413.28 	energy assistance for the telephone assistance plan;
413.29 	(24) the current address and telephone number of program recipients and emergency 
413.30 	contacts may be released to the commissioner of health or a community health board as 
413.31 	defined in section 145A.02, subdivision 5, when the commissioner or community health 
413.32 	board has reason to believe that a program recipient is a disease case, carrier, suspect case, 
413.33 	or at risk of illness, and the data are necessary to locate the person;
414.1 	(25) to other state agencies, statewide systems, and political subdivisions of this state, 
414.2 	including the attorney general, and agencies of other states, interstate information networks, 
414.3 	federal agencies, and other entities as required by federal regulation or law for the 
414.4 	administration of the child support enforcement program;
414.5 	(26) to personnel of public assistance programs as defined in section 518A.81, for access 
414.6 	to the child support system database for the purpose of administration, including monitoring 
414.7 	and evaluation of those public assistance programs;
414.8 	(27) to monitor and evaluate the Minnesota family investment program by exchanging 
414.9 	data between the Departments of Human Services; Children, Youth, and Families; and 
414.10 	Education, on recipients and former recipients of SNAP benefits, cash assistance under 
414.11 	chapter 142F, 256D, 256J, or 256K, child care assistance under chapter 142E, medical 
414.12 	programs under chapter 256B or 256L, or a medical program formerly codified under chapter 
414.13 	256D;
414.14 	(28) to evaluate child support program performance and to identify and prevent fraud 
414.15 	in the child support program by exchanging data between the Department of Human Services; 
414.16 	Department of Children, Youth, and Families; Department of Revenue under section 270B.14, 
414.17 	subdivision 1, paragraphs (a) and (b), without regard to the limitation of use in paragraph 
414.18 	(c); Department of Health; Department of Employment and Economic Development; and 
414.19 	other state agencies as is reasonably necessary to perform these functions;
414.20 	(29) counties and the Department of Children, Youth, and Families operating child care 
414.21 	assistance programs under chapter 142E may disseminate data on program participants, 
414.22 	applicants, and providers to the commissioner of education;
414.23 	(30) child support data on the child, the parents, and relatives of the child may be 
414.24 	disclosed to agencies administering programs under titles IV-B and IV-E of the Social 
414.25 	Security Act, as authorized by federal law;
414.26 	(31) to a health care provider governed by sections 144.291 to 144.298, to the extent 
414.27 	necessary to coordinate services;
414.28 	(32) to the chief administrative officer of a school to coordinate services for a student 
414.29 	and family; data that may be disclosed under this clause are limited to name, date of birth, 
414.30 	gender, and address;
414.31 	(33) to county correctional agencies to the extent necessary to coordinate services and 
414.32 	diversion programs; data that may be disclosed under this clause are limited to name, client 
414.33 	demographics, program, case status, and county worker information; or
415.1 	(34) between the Department of Human Services and the Metropolitan Council for the 
415.2 	following purposes:
415.3 	(i) to coordinate special transportation service provided under section 473.386 with 
415.4 	services for people with disabilities and elderly individuals funded by or through the 
415.5 	Department of Human Services; and
415.6 	(ii) to provide for reimbursement of special transportation service provided under section 
415.7 	473.386.
415.8 	The data that may be shared under this clause are limited to the individual's first, last, and 
415.9 	middle names; date of birth; residential address; and program eligibility status with expiration 
415.10 	date for the purposes of informing the other party of program eligibility.
415.11 	(b) Information on persons who have been treated for substance use disorder may only 
415.12 	be disclosed according to the requirements of Code of Federal Regulations, title 42, sections 
415.13 	2.1 to 2.67.
415.14 	(c) Data provided to law enforcement agencies under paragraph (a), clause (15), (16), 
415.15 	(17), or (18), or paragraph (b), are investigative data and are confidential or protected 
415.16 	nonpublic while the investigation is active. The data are private after the investigation 
415.17 	becomes inactive under section 13.82, subdivision 7, clause (a) or (b).
415.18 	(d) Mental health data shall be treated as provided in subdivisions 7, 8, and 9, but are 
415.19 	not subject to the access provisions of subdivision 10, paragraph (b).
415.20 	For the purposes of this subdivision, a request will be deemed to be made in writing if 
415.21 	made through a computer interface system.

415.22 	Sec. 2. Minnesota Statutes 2024, section 13.46, subdivision 3, as amended by Laws 2025, 
415.23 	chapter 21, section 3, and Laws 2025, chapter 38, article 3, section 1, is amended to read:
415.24 		Subd. 3.Investigative data. (a) Data on persons, including data on vendors of services, 
415.25 	licensees, and applicants that is collected, maintained, used, or disseminated by the welfare 
415.26 	system in an investigation, authorized by statute, and relating to the enforcement of rules 
415.27 	or law are confidential data on individuals pursuant to section 13.02, subdivision 3, or 
415.28 	protected nonpublic data not on individuals pursuant to section 13.02, subdivision 13, and 
415.29 	shall not be disclosed except:
415.30 	(1) pursuant to section 13.05;
415.31 	(2) pursuant to statute or valid court order;
416.1 	(3) to a party named in a civil or criminal proceeding, administrative or judicial, for 
416.2 	preparation of defense;
416.3 	(4) to an agent of the welfare system or an investigator acting on behalf of a county, 
416.4 	state, or federal government, including a law enforcement officer or attorney in the 
416.5 	investigation or prosecution of a criminal, civil, or administrative proceeding, unless the 
416.6 	commissioner of human services; the commissioner of children, youth, and families; or the 
416.7 	Direct Care and Treatment executive board determines that disclosure may compromise a 
416.8 	Department of Human Services; Department of Children, Youth, and Families; or Direct 
416.9 	Care and Treatment ongoing investigation; or
416.10 	(5) to provide notices required or permitted by statute.
416.11 	The data referred to in this subdivision shall be classified as public data upon submission 
416.12 	to an administrative law judge or court in an administrative or judicial proceeding. Inactive 
416.13 	welfare investigative data shall be treated as provided in section 13.39, subdivision 3.
416.14 	(b) Notwithstanding any other provision in law, the commissioner of human services or 
416.15 	the commissioner of children, youth, and families shall provide all active and inactive 
416.16 	investigative data, including the name of the reporter of alleged maltreatment under section 
416.17 	626.557 or chapter 260E, to the ombudsman for mental health and developmental disabilities 
416.18 	upon the request of the ombudsman.
416.19 	(c) Notwithstanding paragraph (a) and section 13.39, the existence of an investigation 
416.20 	by the commissioner of human services or the commissioner of children, youth, and families 
416.21 	of possible overpayments of public funds to a service provider or recipient or the reduction 
416.22 	or withholding of payments may be disclosed if the commissioner determines that it will 
416.23 	not compromise the investigation.

416.24 	EFFECTIVE DATE. This section is effective July 1, 2025.

416.25 	Sec. 3. Minnesota Statutes 2024, section 245.095, is amended by adding a subdivision to 
416.26 	read:
416.27 		Subd. 6.Data practices. The commissioner may exchange information, including claims 
416.28 	data, with state or federal agencies, professional boards, departments, or programs for the 
416.29 	purpose of investigating or prosecuting a criminal, civil, or administrative proceeding related 
416.30 	to suspected fraud or exclusion from any program administered by a state or federal agency.

417.1 	Sec. 4. Minnesota Statutes 2024, section 245A.04, subdivision 1, as amended by Laws 
417.2 	2025, chapter 38, article 5, section 5, is amended to read:
417.3 		Subdivision 1.Application for licensure. (a) An individual, organization, or government 
417.4 	entity that is subject to licensure under section 245A.03 must apply for a license. The 
417.5 	application must be made on the forms and in the manner prescribed by the commissioner. 
417.6 	The commissioner shall provide the applicant with instruction in completing the application 
417.7 	and provide information about the rules and requirements of other state agencies that affect 
417.8 	the applicant. An applicant seeking licensure in Minnesota with headquarters outside of 
417.9 	Minnesota must have a program office located within 30 miles of the Minnesota border. 
417.10 	An applicant who intends to buy or otherwise acquire a program or services licensed under 
417.11 	this chapter that is owned by another license holder must apply for a license under this 
417.12 	chapter and comply with the application procedures in this section and section 245A.043.
417.13 	The commissioner shall act on the application within 90 working days after a complete 
417.14 	application and any required reports have been received from other state agencies or 
417.15 	departments, counties, municipalities, or other political subdivisions. The commissioner 
417.16 	shall not consider an application to be complete until the commissioner receives all of the 
417.17 	required information. If the applicant or a controlling individual is the subject of a pending 
417.18 	administrative, civil, or criminal investigation, the application is not complete until the 
417.19 	investigation has closed or the related legal proceedings are complete.
417.20 	When the commissioner receives an application for initial licensure that is incomplete 
417.21 	because the applicant failed to submit required documents or that is substantially deficient 
417.22 	because the documents submitted do not meet licensing requirements, the commissioner 
417.23 	shall provide the applicant written notice that the application is incomplete or substantially 
417.24 	deficient. In the written notice to the applicant the commissioner shall identify documents 
417.25 	that are missing or deficient and give the applicant 45 days to resubmit a second application 
417.26 	that is substantially complete. An applicant's failure to submit a substantially complete 
417.27 	application after receiving notice from the commissioner is a basis for license denial under 
417.28 	section 245A.043.
417.29 	(b) An application for licensure must identify all controlling individuals as defined in 
417.30 	section 245A.02, subdivision 5a, and must designate one individual to be the authorized 
417.31 	agent. The application must be signed by the authorized agent and must include the authorized 
417.32 	agent's first, middle, and last name; mailing address; and email address. By submitting an 
417.33 	application for licensure, the authorized agent consents to electronic communication with 
417.34 	the commissioner throughout the application process. The authorized agent must be 
417.35 	authorized to accept service on behalf of all of the controlling individuals. A government 
418.1 	entity that holds multiple licenses under this chapter may designate one authorized agent 
418.2 	for all licenses issued under this chapter or may designate a different authorized agent for 
418.3 	each license. Service on the authorized agent is service on all of the controlling individuals. 
418.4 	It is not a defense to any action arising under this chapter that service was not made on each 
418.5 	controlling individual. The designation of a controlling individual as the authorized agent 
418.6 	under this paragraph does not affect the legal responsibility of any other controlling individual 
418.7 	under this chapter.
418.8 	(c) An applicant or license holder must have a policy that prohibits license holders, 
418.9 	employees, subcontractors, and volunteers, when directly responsible for persons served 
418.10 	by the program, from abusing prescription medication or being in any manner under the 
418.11 	influence of a chemical that impairs the individual's ability to provide services or care. The 
418.12 	license holder must train employees, subcontractors, and volunteers about the program's 
418.13 	drug and alcohol policy before the employee, subcontractor, or volunteer has direct contact, 
418.14 	as defined in section 245C.02, subdivision 11, with a person served by the program.
418.15 	(d) An applicant and license holder must have a program grievance procedure that permits 
418.16 	persons served by the program and their authorized representatives to bring a grievance to 
418.17 	the highest level of authority in the program.
418.18 	(e) The commissioner may limit communication during the application process to the 
418.19 	authorized agent or the controlling individuals identified on the license application and for 
418.20 	whom a background study was initiated under chapter 245C. Upon implementation of the 
418.21 	provider licensing and reporting hub, applicants and license holders must use the hub in the 
418.22 	manner prescribed by the commissioner. The commissioner may require the applicant, 
418.23 	except for child foster care, to demonstrate competence in the applicable licensing 
418.24 	requirements by successfully completing a written examination. The commissioner may 
418.25 	develop a prescribed written examination format.
418.26 	(f) When an applicant is an individual, the applicant must provide:
418.27 	(1) the applicant's taxpayer identification numbers including the Social Security number 
418.28 	or Minnesota tax identification number, and federal employer identification number if the 
418.29 	applicant has employees;
418.30 	(2) at the request of the commissioner, a copy of the most recent filing with the secretary 
418.31 	of state that includes the complete business name, if any;
418.32 	(3) if doing business under a different name, the doing business as (DBA) name, as 
418.33 	registered with the secretary of state;
419.1 	(4) if applicable, the applicant's National Provider Identifier (NPI) number and Unique 
419.2 	Minnesota Provider Identifier (UMPI) number; and
419.3 	(5) at the request of the commissioner, the notarized signature of the applicant or 
419.4 	authorized agent.
419.5 	(g) When an applicant is an organization, the applicant must provide:
419.6 	(1) the applicant's taxpayer identification numbers including the Minnesota tax 
419.7 	identification number and federal employer identification number;
419.8 	(2) at the request of the commissioner, a copy of the most recent filing with the secretary 
419.9 	of state that includes the complete business name, and if doing business under a different 
419.10 	name, the doing business as (DBA) name, as registered with the secretary of state;
419.11 	(3) the first, middle, and last name, and address for all individuals who will be controlling 
419.12 	individuals, including all officers, owners, and managerial officials as defined in section 
419.13 	245A.02, subdivision 5a, and the date that the background study was initiated by the applicant 
419.14 	for each controlling individual;
419.15 	(4) if applicable, the applicant's NPI number and UMPI number;
419.16 	(5) the documents that created the organization and that determine the organization's 
419.17 	internal governance and the relations among the persons that own the organization, have 
419.18 	an interest in the organization, or are members of the organization, in each case as provided 
419.19 	or authorized by the organization's governing statute, which may include a partnership 
419.20 	agreement, bylaws, articles of organization, organizational chart, and operating agreement, 
419.21 	or comparable documents as provided in the organization's governing statute; and
419.22 	(6) the notarized signature of the applicant or authorized agent.
419.23 	(h) When the applicant is a government entity, the applicant must provide:
419.24 	(1) the name of the government agency, political subdivision, or other unit of government 
419.25 	seeking the license and the name of the program or services that will be licensed;
419.26 	(2) the applicant's taxpayer identification numbers including the Minnesota tax 
419.27 	identification number and federal employer identification number;
419.28 	(3) a letter signed by the manager, administrator, or other executive of the government 
419.29 	entity authorizing the submission of the license application; and
419.30 	(4) if applicable, the applicant's NPI number and UMPI number.
420.1 	(i) At the time of application for licensure or renewal of a license under this chapter, the 
420.2 	applicant or license holder must acknowledge on the form provided by the commissioner 
420.3 	if the applicant or license holder elects to receive any public funding reimbursement from 
420.4 	the commissioner for services provided under the license that:
420.5 	(1) the applicant's or license holder's compliance with the provider enrollment agreement 
420.6 	or registration requirements for receipt of public funding may be monitored by the 
420.7 	commissioner as part of a licensing investigation or licensing inspection; and
420.8 	(2) noncompliance with the provider enrollment agreement or registration requirements 
420.9 	for receipt of public funding that is identified through a licensing investigation or licensing 
420.10 	inspection, or noncompliance with a licensing requirement that is a basis of enrollment for 
420.11 	reimbursement for a service, may result in:
420.12 	(i) a correction order or a conditional license under section 245A.06, or sanctions under 
420.13 	section 245A.07;
420.14 	(ii) nonpayment of claims submitted by the license holder for public program 
420.15 	reimbursement;
420.16 	(iii) recovery of payments made for the service;
420.17 	(iv) disenrollment in the public payment program; or
420.18 	(v) other administrative, civil, or criminal penalties as provided by law.

420.19 	Sec. 5. Minnesota Statutes 2024, section 245A.05, is amended to read:
420.20 	245A.05 DENIAL OF APPLICATION.
420.21 	(a) The commissioner may deny a license if an applicant or controlling individual:
420.22 	(1) fails to submit a substantially complete application after receiving notice from the 
420.23 	commissioner under section 245A.04, subdivision 1;
420.24 	(2) fails to comply with applicable laws or rules;
420.25 	(3) knowingly withholds relevant information from or gives false or misleading 
420.26 	information to the commissioner in connection with an application for a license or during 
420.27 	an investigation;
420.28 	(4) has a disqualification that has not been set aside under section 245C.22 and no 
420.29 	variance has been granted;
421.1 	(5) has an individual living in the household who received a background study under 
421.2 	section 245C.03, subdivision 1, paragraph (a), clause (2), who has a disqualification that 
421.3 	has not been set aside under section 245C.22, and no variance has been granted;
421.4 	(6) is associated with an individual who received a background study under section 
421.5 	245C.03, subdivision 1, paragraph (a), clause (6), who may have unsupervised access to 
421.6 	children or vulnerable adults, and who has a disqualification that has not been set aside 
421.7 	under section 245C.22, and no variance has been granted;
421.8 	(7) fails to comply with section 245A.04, subdivision 1, paragraph (f) or (g);
421.9 	(8) fails to demonstrate competent knowledge as required by section 245A.04, subdivision 
421.10 	6;
421.11 	(9) has a history of noncompliance as a license holder or controlling individual with 
421.12 	applicable laws or rules, including but not limited to this chapter and chapters 142E and 
421.13 	245C; or
421.14 	(10) is prohibited from holding a license according to section 245.095; or
421.15 	(11) is the subject of a pending administrative, civil, or criminal investigation.
421.16 	(b) An applicant whose application has been denied by the commissioner must be given 
421.17 	notice of the denial, which must state the reasons for the denial in plain language. Notice 
421.18 	must be given by certified mail, by personal service, or through the provider licensing and 
421.19 	reporting hub. The notice must state the reasons the application was denied and must inform 
421.20 	the applicant of the right to a contested case hearing under chapter 14 and Minnesota Rules, 
421.21 	parts 1400.8505 to 1400.8612. The applicant may appeal the denial by notifying the 
421.22 	commissioner in writing by certified mail, by personal service, or through the provider 
421.23 	licensing and reporting hub. If mailed, the appeal must be postmarked and sent to the 
421.24 	commissioner within 20 calendar days after the applicant received the notice of denial. If 
421.25 	an appeal request is made by personal service, it must be received by the commissioner 
421.26 	within 20 calendar days after the applicant received the notice of denial. If the order is issued 
421.27 	through the provider hub, the appeal must be received by the commissioner within 20 
421.28 	calendar days from the date the commissioner issued the order through the hub. Section 
421.29 	245A.08 applies to hearings held to appeal the commissioner's denial of an application.

421.30 	Sec. 6. Minnesota Statutes 2024, section 245A.07, subdivision 2, is amended to read:
421.31 		Subd. 2.Temporary immediate suspension. (a) The commissioner shall act immediately 
421.32 	to temporarily suspend a license issued under this chapter if:
422.1 	(1) the license holder's or controlling individual's actions or failure to comply with 
422.2 	applicable law or rule, or the actions of other individuals or conditions in the program, pose 
422.3 	an imminent risk of harm to the health, safety, or rights of persons served by the program;
422.4 	(2) while the program continues to operate pending an appeal of an order of revocation, 
422.5 	the commissioner identifies one or more subsequent violations of law or rule which may 
422.6 	adversely affect the health or safety of persons served by the program; or
422.7 	(3) the license holder or controlling individual is criminally charged in state or federal 
422.8 	court with an offense that involves fraud or theft against a program administered by the 
422.9 	commissioner a state or federal agency.
422.10 	(b) No state funds shall be made available or be expended by any agency or department 
422.11 	of state, county, or municipal government for use by a license holder regulated under this 
422.12 	chapter while a license issued under this chapter is under immediate suspension. A notice 
422.13 	stating the reasons for the immediate suspension and informing the license holder of the 
422.14 	right to an expedited hearing under chapter 14 and Minnesota Rules, parts 1400.8505 to 
422.15 	1400.8612, must be delivered by personal service to the address shown on the application 
422.16 	or the last known address of the license holder. The license holder may appeal an order 
422.17 	immediately suspending a license. The appeal of an order immediately suspending a license 
422.18 	must be made in writing by certified mail, personal service, or other means expressly set 
422.19 	forth in the commissioner's order. If mailed, the appeal must be postmarked and sent to the 
422.20 	commissioner within five calendar days after the license holder receives notice that the 
422.21 	license has been immediately suspended. If a request is made by personal service, it must 
422.22 	be received by the commissioner within five calendar days after the license holder received 
422.23 	the order. A license holder and any controlling individual shall discontinue operation of the 
422.24 	program upon receipt of the commissioner's order to immediately suspend the license.
422.25 	(c) The commissioner may act immediately to temporarily suspend a license issued 
422.26 	under this chapter if the license holder or controlling individual is the subject of a pending 
422.27 	administrative, civil, or criminal investigation or subject to an administrative or civil action 
422.28 	related to fraud against a program administered by a state or federal agency.

422.29 	Sec. 7. Minnesota Statutes 2024, section 256.983, subdivision 4, is amended to read:
422.30 		Subd. 4.Funding. (a) County and Tribal agency reimbursement shall be made through 
422.31 	the settlement provisions applicable to the Supplemental Nutrition Assistance Program 
422.32 	(SNAP), MFIP, child care assistance programs, the medical assistance program, and other 
422.33 	federal and state-funded programs.
423.1 	(b) The commissioners will maintain program compliance if for any three consecutive 
423.2 	month period quarter, a county or Tribal agency fails to comply with fraud prevention 
423.3 	investigation program guidelines, or fails to meet the cost-effectiveness standards developed 
423.4 	by the commissioners. This result is contingent on the commissioners providing written 
423.5 	notice, including an offer of technical assistance, within 30 days of the end of the third or 
423.6 	subsequent month quarter of noncompliance. The county or Tribal agency shall be required 
423.7 	to submit a corrective action plan to the commissioners within 30 days of receipt of a notice 
423.8 	of noncompliance. Failure to submit a corrective action plan or, continued deviation from 
423.9 	standards of more than ten percent after submission of a corrective action plan, will result 
423.10 	in denial of funding for each subsequent month, or billing the county or Tribal agency for 
423.11 	fraud prevention investigation (FPI) service provided by the commissioners, or reallocation 
423.12 	of program grant funds, or investigative resources, or both, to other counties or Tribal 
423.13 	agencies. The denial of funding shall apply to the general settlement received by the county 
423.14 	or Tribal agency on a quarterly basis and shall not reduce the grant amount applicable to 
423.15 	the FPI project.

423.16 	EFFECTIVE DATE. This section is effective July 1, 2025.

423.17 	Sec. 8. Minnesota Statutes 2024, section 256B.04, subdivision 21, is amended to read:
423.18 		Subd. 21.Provider enrollment. (a) The commissioner shall enroll providers and conduct 
423.19 	screening activities as required by Code of Federal Regulations, title 42, section 455, subpart 
423.20 	E. A provider must enroll each provider-controlled location where direct services are 
423.21 	provided. The commissioner may deny a provider's incomplete application if a provider 
423.22 	fails to respond to the commissioner's request for additional information within 60 days of 
423.23 	the request. The commissioner must conduct a background study under chapter 245C, 
423.24 	including a review of databases in section 245C.08, subdivision 1, paragraph (a), clauses 
423.25 	(1) to (5), for a provider described in this paragraph. The background study requirement 
423.26 	may be satisfied if the commissioner conducted a fingerprint-based background study on 
423.27 	the provider that includes a review of databases in section 245C.08, subdivision 1, paragraph 
423.28 	(a), clauses (1) to (5).
423.29 	(b) The commissioner shall revalidate each:
423.30 	(1) provider under this subdivision at least once every five years; and
423.31 	(2) personal care assistance agency under this subdivision once every three years.
423.32 	(c) The commissioner shall conduct revalidation as follows:
424.1 	(1) provide 30-day notice of the revalidation due date including instructions for 
424.2 	revalidation and a list of materials the provider must submit;
424.3 	(2) if a provider fails to submit all required materials by the due date, notify the provider 
424.4 	of the deficiency within 30 days after the due date and allow the provider an additional 30 
424.5 	days from the notification date to comply; and
424.6 	(3) if a provider fails to remedy a deficiency within the 30-day time period, give 60-day 
424.7 	notice of termination and immediately suspend the provider's ability to bill. The provider 
424.8 	does not have the right to appeal suspension of ability to bill.
424.9 	(d) If a provider fails to comply with any individual provider requirement or condition 
424.10 	of participation, the commissioner may suspend the provider's ability to bill until the provider 
424.11 	comes into compliance. The commissioner's decision to suspend the provider is not subject 
424.12 	to an administrative appeal.
424.13 	(e) Correspondence and notifications, including notifications of termination and other 
424.14 	actions, may be delivered electronically to a provider's MN-ITS mailbox. This paragraph 
424.15 	does not apply to correspondences and notifications related to background studies.
424.16 	(f) If the commissioner or the Centers for Medicare and Medicaid Services determines 
424.17 	that a provider is designated "high-risk," the commissioner may withhold payment from 
424.18 	providers within that category upon initial enrollment for a 90-day period. The withholding 
424.19 	for each provider must begin on the date of the first submission of a claim.
424.20 	(g) An enrolled provider that is also licensed by the commissioner under chapter 245A, 
424.21 	is licensed as a home care provider by the Department of Health under chapter 144A, or is 
424.22 	licensed as an assisted living facility under chapter 144G and has a home and 
424.23 	community-based services designation on the home care license under section 144A.484, 
424.24 	must designate an individual as the entity's compliance officer. The compliance officer 
424.25 	must:
424.26 	(1) develop policies and procedures to assure adherence to medical assistance laws and 
424.27 	regulations and to prevent inappropriate claims submissions;
424.28 	(2) train the employees of the provider entity, and any agents or subcontractors of the 
424.29 	provider entity including billers, on the policies and procedures under clause (1);
424.30 	(3) respond to allegations of improper conduct related to the provision or billing of 
424.31 	medical assistance services, and implement action to remediate any resulting problems;
424.32 	(4) use evaluation techniques to monitor compliance with medical assistance laws and 
424.33 	regulations;
425.1 	(5) promptly report to the commissioner any identified violations of medical assistance 
425.2 	laws or regulations; and
425.3 	(6) within 60 days of discovery by the provider of a medical assistance reimbursement 
425.4 	overpayment, report the overpayment to the commissioner and make arrangements with 
425.5 	the commissioner for the commissioner's recovery of the overpayment.
425.6 	The commissioner may require, as a condition of enrollment in medical assistance, that a 
425.7 	provider within a particular industry sector or category establish a compliance program that 
425.8 	contains the core elements established by the Centers for Medicare and Medicaid Services.
425.9 	(h) The commissioner may revoke the enrollment of an ordering or rendering provider 
425.10 	for a period of not more than one year, if the provider fails to maintain and, upon request 
425.11 	from the commissioner, provide access to documentation relating to written orders or requests 
425.12 	for payment for durable medical equipment, certifications for home health services, or 
425.13 	referrals for other items or services written or ordered by such provider, when the 
425.14 	commissioner has identified a pattern of a lack of documentation. A pattern means a failure 
425.15 	to maintain documentation or provide access to documentation on more than one occasion. 
425.16 	Nothing in this paragraph limits the authority of the commissioner to sanction a provider 
425.17 	under the provisions of section 256B.064.
425.18 	(i) The commissioner shall terminate or deny the enrollment of any individual or entity 
425.19 	if the individual or entity has been terminated from participation in Medicare or under the 
425.20 	Medicaid program or Children's Health Insurance Program of any other state. The 
425.21 	commissioner may exempt a rehabilitation agency from termination or denial that would 
425.22 	otherwise be required under this paragraph, if the agency:
425.23 	(1) is unable to retain Medicare certification and enrollment solely due to a lack of billing 
425.24 	to the Medicare program;
425.25 	(2) meets all other applicable Medicare certification requirements based on an on-site 
425.26 	review completed by the commissioner of health; and
425.27 	(3) serves primarily a pediatric population.
425.28 	(j) As a condition of enrollment in medical assistance, the commissioner shall require 
425.29 	that a provider designated "moderate" or "high-risk" by the Centers for Medicare and 
425.30 	Medicaid Services or the commissioner permit the Centers for Medicare and Medicaid 
425.31 	Services, its agents, or its designated contractors and the state agency, its agents, or its 
425.32 	designated contractors to conduct unannounced on-site inspections of any provider location. 
425.33 	The commissioner shall publish in the Minnesota Health Care Program Provider Manual a 
426.1 	list of provider types designated "limited," "moderate," or "high-risk," based on the criteria 
426.2 	and standards used to designate Medicare providers in Code of Federal Regulations, title 
426.3 	42, section 424.518. The list and criteria are not subject to the requirements of chapter 14. 
426.4 	The commissioner's designations are not subject to administrative appeal.
426.5 	(k) As a condition of enrollment in medical assistance, the commissioner shall require 
426.6 	that a high-risk provider, or a person with a direct or indirect ownership interest in the 
426.7 	provider of five percent or higher, consent to criminal background checks, including 
426.8 	fingerprinting, when required to do so under state law or by a determination by the 
426.9 	commissioner or the Centers for Medicare and Medicaid Services that a provider is designated 
426.10 	high-risk for fraud, waste, or abuse.
426.11 	(l)(1) Upon initial enrollment, reenrollment, and notification of revalidation, all durable 
426.12 	medical equipment, prosthetics, orthotics, and supplies (DMEPOS) medical suppliers 
426.13 	meeting the durable medical equipment provider and supplier definition in clause (3), 
426.14 	operating in Minnesota and receiving Medicaid funds must purchase a surety bond that is 
426.15 	annually renewed and designates the Minnesota Department of Human Services as the 
426.16 	obligee, and must be submitted in a form approved by the commissioner. For purposes of 
426.17 	this clause, the following medical suppliers are not required to obtain a surety bond: a 
426.18 	federally qualified health center, a home health agency, the Indian Health Service, a 
426.19 	pharmacy, and a rural health clinic.
426.20 	(2) At the time of initial enrollment or reenrollment, durable medical equipment providers 
426.21 	and suppliers defined in clause (3) must purchase a surety bond of $50,000. If a revalidating 
426.22 	provider's Medicaid revenue in the previous calendar year is up to and including $300,000, 
426.23 	the provider agency must purchase a surety bond of $50,000. If a revalidating provider's 
426.24 	Medicaid revenue in the previous calendar year is over $300,000, the provider agency must 
426.25 	purchase a surety bond of $100,000. The surety bond must allow for recovery of costs and 
426.26 	fees in pursuing a claim on the bond. Any action to obtain monetary recovery or sanctions 
426.27 	from a surety bond must occur within six years from the date the debt is affirmed by a final 
426.28 	agency decision. An agency decision is final when the right to appeal the debt has been 
426.29 	exhausted or the time to appeal has expired under section 256B.064.
426.30 	(3) "Durable medical equipment provider or supplier" means a medical supplier that can 
426.31 	purchase medical equipment or supplies for sale or rental to the general public and is able 
426.32 	to perform or arrange for necessary repairs to and maintenance of equipment offered for 
426.33 	sale or rental.
427.1 	(m) The Department of Human Services may require a provider to purchase a surety 
427.2 	bond as a condition of initial enrollment, reenrollment, reinstatement, or continued enrollment 
427.3 	if: (1) the provider fails to demonstrate financial viability, (2) the department determines 
427.4 	there is significant evidence of or potential for fraud and abuse by the provider, or (3) the 
427.5 	provider or category of providers is designated high-risk pursuant to paragraph (f) and as 
427.6 	per Code of Federal Regulations, title 42, section 455.450. The surety bond must be in an 
427.7 	amount of $100,000 or ten percent of the provider's payments from Medicaid during the 
427.8 	immediately preceding 12 months, whichever is greater. The surety bond must name the 
427.9 	Department of Human Services as an obligee and must allow for recovery of costs and fees 
427.10 	in pursuing a claim on the bond. This paragraph does not apply if the provider currently 
427.11 	maintains a surety bond under the requirements in section 256B.0659 or 256B.85.

427.12 	EFFECTIVE DATE. This section is effective July 1, 2025.

427.13 	Sec. 9. Minnesota Statutes 2024, section 256B.0659, subdivision 21, is amended to read:
427.14 		Subd. 21.Requirements for provider enrollment of personal care assistance provider 
427.15 	agencies. (a) All personal care assistance provider agencies must provide, at the time of 
427.16 	enrollment, reenrollment, and revalidation as a personal care assistance provider agency in 
427.17 	a format determined by the commissioner, information and documentation that includes, 
427.18 	but is not limited to, the following:
427.19 	(1) the personal care assistance provider agency's current contact information including 
427.20 	address, telephone number, and email address;
427.21 	(2) proof of surety bond coverage for each business location providing services. Upon 
427.22 	new enrollment, or if the provider's Medicaid revenue in the previous calendar year is up 
427.23 	to and including $300,000, the provider agency must purchase a surety bond of $50,000. If 
427.24 	the Medicaid revenue in the previous year is over $300,000, the provider agency must 
427.25 	purchase a surety bond of $100,000. The surety bond must be in a form approved by the 
427.26 	commissioner, must be renewed annually, and must allow for recovery of costs and fees in 
427.27 	pursuing a claim on the bond. Any action to obtain monetary recovery or sanctions from a 
427.28 	surety bond must occur within six years from the date the debt is affirmed by a final agency 
427.29 	decision. An agency decision is final when the right to appeal the debt has been exhausted 
427.30 	or the time to appeal has expired under section 256B.064;
427.31 	(3) proof of fidelity bond coverage in the amount of $20,000 for each business location 
427.32 	providing service;
428.1 	(4) proof of workers' compensation insurance coverage identifying the business location 
428.2 	where personal care assistance services are provided;
428.3 	(5) proof of liability insurance coverage identifying the business location where personal 
428.4 	care assistance services are provided and naming the department as a certificate holder;
428.5 	(6) a copy of the personal care assistance provider agency's written policies and 
428.6 	procedures including: hiring of employees; training requirements; service delivery; and 
428.7 	employee and consumer safety including process for notification and resolution of consumer 
428.8 	grievances, identification and prevention of communicable diseases, and employee 
428.9 	misconduct;
428.10 	(7) copies of all other forms the personal care assistance provider agency uses in the 
428.11 	course of daily business including, but not limited to:
428.12 	(i) a copy of the personal care assistance provider agency's time sheet if the time sheet 
428.13 	varies from the standard time sheet for personal care assistance services approved by the 
428.14 	commissioner, and a letter requesting approval of the personal care assistance provider 
428.15 	agency's nonstandard time sheet;
428.16 	(ii) the personal care assistance provider agency's template for the personal care assistance 
428.17 	care plan; and
428.18 	(iii) the personal care assistance provider agency's template for the written agreement 
428.19 	in subdivision 20 for recipients using the personal care assistance choice option, if applicable;
428.20 	(8) a list of all training and classes that the personal care assistance provider agency 
428.21 	requires of its staff providing personal care assistance services;
428.22 	(9) documentation that the personal care assistance provider agency and staff have 
428.23 	successfully completed all the training required by this section, including the requirements 
428.24 	under subdivision 11, paragraph (d), if enhanced personal care assistance services are 
428.25 	provided and submitted for an enhanced rate under subdivision 17a;
428.26 	(10) documentation of the agency's marketing practices;
428.27 	(11) disclosure of ownership, leasing, or management of all residential properties that 
428.28 	is used or could be used for providing home care services;
428.29 	(12) documentation that the agency will use the following percentages of revenue 
428.30 	generated from the medical assistance rate paid for personal care assistance services for 
428.31 	employee personal care assistant wages and benefits: 72.5 percent of revenue in the personal 
428.32 	care assistance choice option and 72.5 percent of revenue from other personal care assistance 
429.1 	providers. The revenue generated by the qualified professional and the reasonable costs 
429.2 	associated with the qualified professional shall not be used in making this calculation; and
429.3 	(13) effective May 15, 2010, documentation that the agency does not burden recipients' 
429.4 	free exercise of their right to choose service providers by requiring personal care assistants 
429.5 	to sign an agreement not to work with any particular personal care assistance recipient or 
429.6 	for another personal care assistance provider agency after leaving the agency and that the 
429.7 	agency is not taking action on any such agreements or requirements regardless of the date 
429.8 	signed.
429.9 	(b) Personal care assistance provider agencies shall provide the information specified 
429.10 	in paragraph (a) to the commissioner at the time the personal care assistance provider agency 
429.11 	enrolls as a vendor or upon request from the commissioner. The commissioner shall collect 
429.12 	the information specified in paragraph (a) from all personal care assistance providers 
429.13 	beginning July 1, 2009.
429.14 	(c) All personal care assistance provider agencies shall require all employees in 
429.15 	management and supervisory positions and owners of the agency who are active in the 
429.16 	day-to-day management and operations of the agency to complete mandatory training as 
429.17 	determined by the commissioner before submitting an application for enrollment of the 
429.18 	agency as a provider. All personal care assistance provider agencies shall also require 
429.19 	qualified professionals to complete the training required by subdivision 13 before submitting 
429.20 	an application for enrollment of the agency as a provider. Employees in management and 
429.21 	supervisory positions and owners who are active in the day-to-day operations of an agency 
429.22 	who have completed the required training as an employee with a personal care assistance 
429.23 	provider agency do not need to repeat the required training if they are hired by another 
429.24 	agency, if they have completed the training within the past three years. By September 1, 
429.25 	2010, the required training must be available with meaningful access according to title VI 
429.26 	of the Civil Rights Act and federal regulations adopted under that law or any guidance from 
429.27 	the United States Health and Human Services Department. The required training must be 
429.28 	available online or by electronic remote connection. The required training must provide for 
429.29 	competency testing. Personal care assistance provider agency billing staff shall complete 
429.30 	training about personal care assistance program financial management. This training is 
429.31 	effective July 1, 2009. Any personal care assistance provider agency enrolled before that 
429.32 	date shall, if it has not already, complete the provider training within 18 months of July 1, 
429.33 	2009. Any new owners or employees in management and supervisory positions involved 
429.34 	in the day-to-day operations are required to complete mandatory training as a requisite of 
429.35 	working for the agency. Personal care assistance provider agencies certified for participation 
430.1 	in Medicare as home health agencies are exempt from the training required in this 
430.2 	subdivision. When available, Medicare-certified home health agency owners, supervisors, 
430.3 	or managers must successfully complete the competency test.
430.4 	(d) All surety bonds, fidelity bonds, workers' compensation insurance, and liability 
430.5 	insurance required by this subdivision must be maintained continuously. After initial 
430.6 	enrollment, a provider must submit proof of bonds and required coverages at any time at 
430.7 	the request of the commissioner. Services provided while there are lapses in coverage are 
430.8 	not eligible for payment. Lapses in coverage may result in sanctions, including termination. 
430.9 	The commissioner shall send instructions and a due date to submit the requested information 
430.10 	to the personal care assistance provider agency.

430.11 	EFFECTIVE DATE. This section is effective July 1, 2025.

430.12 	Sec. 10. Minnesota Statutes 2024, section 256B.4912, subdivision 1, is amended to read:
430.13 		Subdivision 1.Provider qualifications. (a) For the home and community-based waivers 
430.14 	providing services to seniors and individuals with disabilities under chapter 256S and 
430.15 	sections 256B.0913, 256B.092, and 256B.49, the commissioner shall establish:
430.16 	(1) agreements with enrolled waiver service providers to ensure providers meet Minnesota 
430.17 	health care program requirements;
430.18 	(2) regular reviews of provider qualifications, and including requests of proof of 
430.19 	documentation; and
430.20 	(3) processes to gather the necessary information to determine provider qualifications.
430.21 	(b) A provider shall not require or coerce any service recipient to change waiver programs 
430.22 	or move to a different location, consistent with the informed choice and independent living 
430.23 	policies under section 256B.4905, subdivisions 1a, 2a, 3a, 7, and 8.
430.24 	(c) Beginning July 1, 2012, For staff that provide direct contact, as defined in section 
430.25 	245C.02, subdivision 11, for services specified in the federally approved waiver plans, 
430.26 	providers must meet the requirements of chapter 245Cprior to providing waiver services 
430.27 	and as part of ongoing enrollment. Upon federal approval, and maintain documentation of 
430.28 	background study requests and results. This requirement must also apply applies to 
430.29 	consumer-directed community supports.
430.30 	(d) Beginning January 1, 2014, Service owners and managerial officials overseeing the 
430.31 	management or policies of services that provide direct contact as specified in the federally 
430.32 	approved waiver plans must meet the requirements of chapter 245C prior to reenrollment 
431.1 	or revalidation or, for new providers, prior to initial enrollment if they have not already 
431.2 	done so as a part of service licensure requirements.

431.3 	Sec. 11. Minnesota Statutes 2024, section 256B.85, subdivision 12, is amended to read:
431.4 		Subd. 12.Requirements for enrollment of CFSS agency-providers. (a) All CFSS 
431.5 	agency-providers must provide, at the time of enrollment, reenrollment, and revalidation 
431.6 	as a CFSS agency-provider in a format determined by the commissioner, information and 
431.7 	documentation that includes but is not limited to the following:
431.8 	(1) the CFSS agency-provider's current contact information including address, telephone 
431.9 	number, and email address;
431.10 	(2) proof of surety bond coverage. Upon new enrollment, or if the agency-provider's 
431.11 	Medicaid revenue in the previous calendar year is less than or equal to $300,000, the 
431.12 	agency-provider must purchase a surety bond of $50,000. If the agency-provider's Medicaid 
431.13 	revenue in the previous calendar year is greater than $300,000, the agency-provider must 
431.14 	purchase a surety bond of $100,000. The surety bond must be in a form approved by the 
431.15 	commissioner, must be renewed annually, and must allow for recovery of costs and fees in 
431.16 	pursuing a claim on the bond. Any action to obtain monetary recovery or sanctions from a 
431.17 	surety bond must occur within six years from the date the debt is affirmed by a final agency 
431.18 	decision. An agency decision is final when the right to appeal the debt has been exhausted 
431.19 	or the time to appeal has expired under section 256B.064;
431.20 	(3) proof of fidelity bond coverage in the amount of $20,000 per provider location;
431.21 	(4) proof of workers' compensation insurance coverage;
431.22 	(5) proof of liability insurance;
431.23 	(6) a copy of the CFSS agency-provider's organizational chart identifying the names 
431.24 	and roles of all owners, managing employees, staff, board of directors, and additional 
431.25 	documentation reporting any affiliations of the directors and owners to other service 
431.26 	providers;
431.27 	(7) proof that the CFSS agency-provider has written policies and procedures including: 
431.28 	hiring of employees; training requirements; service delivery; and employee and consumer 
431.29 	safety, including the process for notification and resolution of participant grievances, incident 
431.30 	response, identification and prevention of communicable diseases, and employee misconduct;
431.31 	(8) proof that the CFSS agency-provider has all of the following forms and documents:
431.32 	(i) a copy of the CFSS agency-provider's time sheet; and
432.1 	(ii) a copy of the participant's individual CFSS service delivery plan;
432.2 	(9) a list of all training and classes that the CFSS agency-provider requires of its staff 
432.3 	providing CFSS services;
432.4 	(10) documentation that the CFSS agency-provider and staff have successfully completed 
432.5 	all the training required by this section;
432.6 	(11) documentation of the agency-provider's marketing practices;
432.7 	(12) disclosure of ownership, leasing, or management of all residential properties that 
432.8 	are used or could be used for providing home care services;
432.9 	(13) documentation that the agency-provider will use at least the following percentages 
432.10 	of revenue generated from the medical assistance rate paid for CFSS services for CFSS 
432.11 	support worker wages and benefits: 72.5 percent of revenue from CFSS providers, except 
432.12 	100 percent of the revenue generated by a medical assistance rate increase due to a collective 
432.13 	bargaining agreement under section 179A.54 must be used for support worker wages and 
432.14 	benefits. The revenue generated by the worker training and development services and the 
432.15 	reasonable costs associated with the worker training and development services shall not be 
432.16 	used in making this calculation; and
432.17 	(14) documentation that the agency-provider does not burden participants' free exercise 
432.18 	of their right to choose service providers by requiring CFSS support workers to sign an 
432.19 	agreement not to work with any particular CFSS participant or for another CFSS 
432.20 	agency-provider after leaving the agency and that the agency is not taking action on any 
432.21 	such agreements or requirements regardless of the date signed.
432.22 	(b) CFSS agency-providers shall provide to the commissioner the information specified 
432.23 	in paragraph (a).
432.24 	(c) All CFSS agency-providers shall require all employees in management and 
432.25 	supervisory positions and owners of the agency who are active in the day-to-day management 
432.26 	and operations of the agency to complete mandatory training as determined by the 
432.27 	commissioner. Employees in management and supervisory positions and owners who are 
432.28 	active in the day-to-day operations of an agency who have completed the required training 
432.29 	as an employee with a CFSS agency-provider do not need to repeat the required training if 
432.30 	they are hired by another agency and they have completed the training within the past three 
432.31 	years. CFSS agency-provider billing staff shall complete training about CFSS program 
432.32 	financial management. Any new owners or employees in management and supervisory 
433.1 	positions involved in the day-to-day operations are required to complete mandatory training 
433.2 	as a requisite of working for the agency.
433.3 	(d) Agency-providers shall submit all required documentation in this section within 30 
433.4 	days of notification from the commissioner. If an agency-provider fails to submit all the 
433.5 	required documentation, the commissioner may take action under subdivision 23a.

433.6 	EFFECTIVE DATE. This section is effective July 1, 2025.

433.7 	ARTICLE 18
433.8 	HOMELESSNESS, HOUSING, AND SUPPORT SERVICES

433.9 	Section 1. Minnesota Statutes 2024, section 256I.03, subdivision 11a, is amended to read:
433.10 		Subd. 11a.MSA equivalent rate. (a) "MSA equivalent rate" means an amount equal 
433.11 	to the total of:
433.12 	(1) the combined maximum shelter and basic needs standards for MSA recipients living 
433.13 	alone specified in section 256D.44, subdivisions 2, paragraph (a); and 3, paragraph (a); plus
433.14 	(2) the maximum allotment authorized by the federal Supplemental Nutrition Assistance 
433.15 	Program (SNAP) for a single individual which is in effect on the first day of July each year; 
433.16 	less
433.17 	(3) the personal needs allowance authorized for medical assistance recipients under 
433.18 	section 256B.35.
433.19 	(b) The MSA equivalent rate is to must be adjusted on the first day of July each year to 
433.20 	reflect changes increases in any of the component rates under clauses (1) to (3).

433.21 	Sec. 2. FAMILY SUPPORTIVE HOUSING GRANT PROGRAM.
 433.22 		Subdivision 1.Establishment; purpose. The commissioner of human services must 
433.23 	establish a family supportive housing grant program to help families and children maintain 
433.24 	safe and stable housing.
433.25 		Subd. 2.Definitions. (a) The definitions in this subdivision apply to this section.
433.26 	(b) "Eligible organization" means an organization that is currently operating a family 
433.27 	supportive housing program and is a nonprofit organization or a Minnesota Tribal 
433.28 	government, as defined in Minnesota Statutes, section 10.65, subdivision 2, clause (4).
433.29 	(c) "Family" means a household unit that includes at least one child and one parent or 
433.30 	legal guardian.
434.1 	(d) "Family support services" means trauma-informed and culturally appropriate services 
434.2 	designed to help residents maintain stable housing and provide a safe environment for 
434.3 	children and families, including:
434.4 	(1) age-appropriate, child-centric services for education and enrichment;
434.5 	(2) educational assessment and referrals to educational programs;
434.6 	(3) career planning, work skills training, job placement, and employment retention 
434.7 	services;
434.8 	(4) budgeting and money management;
434.9 	(5) counseling referrals for domestic or sexual violence;
434.10 	(6) referrals for medical or psychiatric services or substance use disorder treatment;
434.11 	(7) parenting skills training;
434.12 	(8) tenant education and supports;
434.13 	(9) front desk and security staffing for a supportive housing complex; and
434.14 	(10) other services needed to stabilize housing.
434.15 	(e) "Family supportive housing" means housing that:
434.16 	(1) is not time limited;
434.17 	(2) is affordable for those at or below 30 percent of the area median income;
434.18 	(3) offers family support services to residents to maintain housing stability; and
434.19 	(4) is available to families with multiple barriers to obtaining and maintaining housing, 
434.20 	including but not limited to those who are homeless or at risk of homelessness; those with 
434.21 	mental illness, substance use disorders, or other disabilities; and those referred by child 
434.22 	protection services.
434.23 	(f) "Resident" means a resident of family permanent supportive housing.
434.24 		Subd. 3.Application and administration. (a) An eligible organization may apply for 
434.25 	a grant to maintain or expand a program that provides family supportive housing and must 
434.26 	use any grant money received under this section for that purpose. Grants must be awarded 
434.27 	to eligible organizations through a competitive request for proposal process using a timeline 
434.28 	and application determined by the commissioner.
434.29 	(b) At least 40 percent of the appropriation must be awarded to eligible organizations 
434.30 	serving families outside the seven-county metropolitan area. If the commissioner does not 
435.1 	receive sufficient eligible funding requests from greater Minnesota to award at least 40 
435.2 	percent of the appropriation to eligible organizations serving families outside the 
435.3 	seven-county metropolitan area, the commissioner may award the remaining money to other 
435.4 	eligible organizations.
435.5 	(c) The commissioner must use best efforts to ensure that at least ten percent of the 
435.6 	overall appropriation is awarded to Minnesota Tribal governments, as defined in Minnesota 
435.7 	Statutes, section 10.65, subdivision 2, clause (4).
435.8 		Subd. 4.Reporting. Grantees must collect and make available to the commissioner the 
435.9 	following information on the grantee's family supportive housing program:
435.10 	(1) the number of families and residents served;
435.11 	(2) the length of time each family and resident resided in the program; and
435.12 	(3) the reasons families or residents exited the program.

435.13 	Sec. 3. DIRECTION TO COMMISSIONER; INDIAN HEALTH SERVICE 
435.14 	ENCOUNTER RATE.
 435.15 	The commissioner of human services must submit a state plan amendment to the Centers 
435.16 	for Medicare and Medicaid Services authorizing housing services as a new service category 
435.17 	eligible for reimbursement at the outpatient per-day rate approved by the Indian Health 
435.18 	Service. This reimbursement is limited to services provided by facilities of the Indian Health 
435.19 	Service and facilities owned or operated by a Tribe or Tribal organization. For the purposes 
435.20 	of this section, "housing services" means housing stabilization services as described in 
435.21 	Minnesota Statutes, section 256B.051, subdivision 5, paragraphs (a) to (d).

435.22 	ARTICLE 19
435.23 	MISCELLANEOUS

435.24 	Section 1. [135A.1368] OPIATE ANTAGONISTS; TRIBAL COLLEGES.
435.25 	(a) For purposes of this section, "opiate antagonist" has the meaning given in section 
435.26 	604A.04, subdivision 1.
435.27 	(b) The commissioner of health shall distribute money to Leech Lake Tribal College, 
435.28 	White Earth Tribal College, and Red Lake Nation Tribal College to make opiate antagonists 
435.29 	available according to paragraph (c). The commissioner may determine an appropriate 
435.30 	method to equitably allocate the amounts appropriated under this section among the colleges.
435.31 	(c) A Tribal college receiving money under this section must:
436.1 	(1) maintain a supply of opiate antagonists at each campus site to be administered in 
436.2 	compliance with section 151.37, subdivision 12; and
436.3 	(2) have at least two doses of a nasal opiate antagonist available on site at each campus 
436.4 	residential building.

436.5 	Sec. 2. Minnesota Statutes 2024, section 145C.01, is amended by adding a subdivision to 
436.6 	read:
436.7 		Subd. 1c.Emergency medical services provider. "Emergency medical services provider" 
436.8 	means:
436.9 	(1) an ambulance service licensed under chapter 144E;
436.10 	(2) a medical response unit as defined in section 144E.275, subdivision 1;
436.11 	(3) an emergency medical responder as defined in section 144E.001, subdivision 6; or
436.12 	(4) ambulance service personnel as defined in section 144E.001, subdivision 3a.

436.13 	Sec. 3. Minnesota Statutes 2024, section 145C.01, is amended by adding a subdivision to 
436.14 	read:
436.15 		Subd. 7b.Nonopioid directive. "Nonopioid directive" means a written instrument that 
436.16 	includes one or more instructions that a patient must not be administered an opioid by a 
436.17 	health professional or be offered a prescription for an opioid by a prescriber.

436.18 	Sec. 4. Minnesota Statutes 2024, section 145C.01, is amended by adding a subdivision to 
436.19 	read:
436.20 		Subd. 7c.Prescriber. "Prescriber" means an individual who is authorized by section 
436.21 	148.235; 151.01, subdivision 23; or 151.37 to prescribe prescription drugs.

436.22 	Sec. 5. Minnesota Statutes 2024, section 145C.17, is amended to read:
436.23 	145C.17 OPIOID INSTRUCTIONS ENTERED INTO HEALTH RECORD.
436.24 	At the request of the patient or health care agent, a health care provider shall enter into 
436.25 	the patient's health care record any instructions relating to administering, dispensing, or 
436.26 	prescribing an opioid. A health care provider presented with a nonopioid directive executed 
436.27 	by or on behalf of a patient must include the nonopioid directive in the patient's health care 
436.28 	record. A health care provider receiving notice of revocation of a patient's nonopioid directive 
436.29 	must note the revocation in the patient's health care record.

437.1 	Sec. 6. [145C.18] NONOPIOID DIRECTIVE.
437.2 		Subdivision 1.Execution. A patient with the capacity to do so may execute a nonopioid 
437.3 	directive on the patient's own behalf. A patient's health care agent may execute a nonopioid 
437.4 	directive on behalf of the patient. A nonopioid directive must include one or more instructions 
437.5 	that the patient must not be administered an opioid by a health professional or be offered a 
437.6 	prescription for an opioid by a prescriber.
437.7 		Subd. 2.Revocation. A patient who executed a nonopioid directive on the patient's own 
437.8 	behalf may revoke the nonopioid directive at any time and in any manner in which the 
437.9 	patient is able to communicate an intent to revoke the nonopioid directive. A patient's health 
437.10 	care agent may revoke the nonopioid directive executed on behalf of a patient by executing 
437.11 	a written, dated statement of revocation and by providing notice of the revocation to the 
437.12 	patient's health care provider.
437.13 		Subd. 3.Compliance with nonopioid directive; exception. (a) Except as specified in 
437.14 	paragraph (b), prescribers and health professionals must comply with a nonopioid directive 
437.15 	executed under this section.
437.16 	(b) A prescriber or a health professional acting on the order of a prescriber may administer 
437.17 	an opioid to a patient with a nonopioid directive if:
437.18 	(1) the patient is being treated, in emergency circumstances, in a hospital setting or in 
437.19 	a setting outside a hospital;
437.20 	(2) in the prescriber's professional opinion, it is medically necessary to administer an 
437.21 	opioid to the patient in order to treat the patient, including but not limited to during a surgical 
437.22 	procedure when one or more complications arise; and
437.23 	(3) it is not practical or feasible for the prescriber or health professional to access the 
437.24 	patient's health care record.
437.25 	If an opioid is administered according to this paragraph to a patient with a nonopioid 
437.26 	directive, the prescriber must ensure that the patient is provided with information on substance 
437.27 	use disorder services.
437.28 		Subd. 4.Immunities. Except as otherwise provided by law, the following persons or 
437.29 	entities are not subject to criminal prosecution, civil liability, or professional disciplinary 
437.30 	action for failing to prescribe, administer, or dispense an opioid to a patient with a nonopioid 
437.31 	directive; for the administration of an opioid in the circumstances in subdivision 3, paragraph 
437.32 	(b), to a patient with a nonopioid directive; or for the inadvertent administration of an opioid 
438.1 	to a patient with a nonopioid directive, if the act or failure to act was performed in good 
438.2 	faith and in accordance with the applicable standard of care:
438.3 	(1) a health professional whose scope of practice includes prescribing, administering, 
438.4 	or dispensing a controlled substance;
438.5 	(2) an employee of a health professional described in clause (1);
438.6 	(3) a health care facility or an employee of a health care facility; or
438.7 	(4) an emergency medical services provider.
438.8 		Subd. 5.Nonopioid directive form. The commissioner of health must develop a 
438.9 	nonopioid directive form for use by patients and health care agents to communicate to health 
438.10 	professionals and prescribers that a patient with a nonopioid directive must not be 
438.11 	administered an opioid or offered a prescription for an opioid. The commissioner must 
438.12 	include on the nonopioid directive form instructions for how to revoke a nonopioid directive 
438.13 	and other information the commissioner deems relevant. The commissioner must post the 
438.14 	form on the Department of Health website.

438.15 	Sec. 7. Minnesota Statutes 2024, section 149A.02, is amended by adding a subdivision to 
438.16 	read:
438.17 		Subd. 42.Green burial. "Green burial" means a method of burial that emphasizes 
438.18 	environmental sustainability without interfering with natural decomposition and:
438.19 	(1) the body is not embalmed;
438.20 	(2) a biodegradable casket or shroud is used; and
438.21 	(3) no vault or outer burial container is employed for a casket or shroud.

438.22 	Sec. 8. Minnesota Statutes 2024, section 256B.051, subdivision 3, is amended to read:
438.23 		Subd. 3.Eligibility. An individual with a disability is eligible for housing stabilization 
438.24 	services if the individual:
438.25 	(1) is 18 years of age or older;
438.26 	(2) is enrolled in medical assistance;
438.27 	(3) has income at or below 150 percent of the federal poverty level;
438.28 	(4) has an assessment of functional need that determines a need for services due to 
438.29 	limitations caused by the individual's disability;
439.1 	(4) (5) resides in or plans to transition to a community-based setting as defined in Code 
439.2 	of Federal Regulations, title 42, section 441.301 (c); and
439.3 	(5) (6) has housing instability evidenced by:
439.4 	(i) being homeless or at-risk of homelessness;
439.5 	(ii) being in the process of transitioning from, or having transitioned in the past six 
439.6 	months from, an institution or licensed or registered setting;
439.7 	(iii) being eligible for waiver services under chapter 256S or section 256B.092 or 
439.8 	256B.49; or
439.9 	(iv) having been identified by a long-term care consultation under section 256B.0911 
439.10 	as at risk of institutionalization.

439.11 	Sec. 9. [306.991] GREEN BURIALS IN PUBLIC CEMETERIES.
439.12 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
439.13 	the meanings given.
439.14 	(b) "Drainage system" has the meaning given in section 103E.005, subdivision 12.
439.15 	(c) "Green burial" has the meaning given in section 149A.02, subdivision 42.
439.16 	(d) "Natural watercourse" has the meaning given in section 103G.005, subdivision 13.
439.17 	(e) "Ordinary high-water level" has the meaning given in section 103G.005, subdivision 
439.18 	14.
439.19 	(f) "Water supply well" has the meaning given in section 103I.005, subdivision 20a.
439.20 		Subd. 2.Green burial requirements. A municipality, town, or other cemetery governed 
439.21 	by this chapter that allows for green burials must comply with the requirements of this 
439.22 	section.
439.23 		Subd. 3.Green burial plot locations. (a) Green burial plots must meet the following 
439.24 	criteria:
439.25 	(1) be set back 50 feet from property lines;
439.26 	(2) maintain at least three and one-half feet clearance above the ordinary high-water 
439.27 	level;
439.28 	(3) not be in standing water;
439.29 	(4) not be within zone 1 groundwater source protection zones around a spring, a water 
439.30 	supply well, or a shaft drilled into the ground meant to extract water; and
440.1 	(5) not be within flood-prone areas.
440.2 	(b) Green burial plot locations must be a certain distance from water sources. Green 
440.3 	burial plot locations must be:
440.4 	(1) 50 feet from water supply wells and shafts drilled into the ground used to extract 
440.5 	water;
440.6 	(2) 100 feet from other springs or watercourses; and
440.7 	(3) 33 feet from drainage systems.
440.8 		Subd. 4.Exception. A property with green burial plots in a designated location on or 
440.9 	before July 1, 2025, does not need to comply with the requirement of subdivision 3, paragraph 
440.10 	(a), clause (1).
440.11 		Subd. 5.Burial depth. (a) Green burial plots must be at a minimum depth of three and 
440.12 	one-half feet from the base of the grave to the soil horizon.
440.13 	(b) Green burials must have three and one-half feet of cover.
440.14 		Subd. 6.Burial density. Green burial plots must be a maximum of 300 burials per acre 
440.15 	over a 100-year period.

440.16 	Sec. 10. [306.992] SCATTERING OF HYDROLYZED OR CREMATED REMAINS.
440.17 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
440.18 	the meanings given.
440.19 	(b) "Cremated remains" has the meaning given in section 149A.02, subdivision 7.
440.20 	(c) "Hydrolyzed remains" has the meaning given in section 149A.02, subdivision 24a.
440.21 		Subd. 2.Designated location. A municipality, town, or other cemetery governed by 
440.22 	this chapter that allows for scattering of hydrolyzed remains or cremated remains must 
440.23 	designate a location within the cemetery for the scattering of hydrolyzed remains or cremated 
440.24 	remains.

440.25 	Sec. 11. [307.14] GREEN BURIALS IN PRIVATE CEMETERIES.
440.26 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
440.27 	the meanings given.
440.28 	(b) "Drainage system" has the meaning given in section 103E.005, subdivision 12.
440.29 	(c) "Green burial" has the meaning given in section 149A.02, subdivision 42.
441.1 	(d) "Natural watercourse" has the meaning given in section 103G.005, subdivision 13.
441.2 	(e) "Ordinary high-water level" has the meaning given in section 103G.005, subdivision 
441.3 	14.
441.4 	(f) "Water supply well" has the meaning given in section 103I.005, subdivision 20a.
441.5 		Subd. 2.Green burial requirements. A person who owns a cemetery governed by this 
441.6 	chapter that allows for green burials must comply with the requirements of this section.
441.7 		Subd. 3.Green burial plot locations. (a) Green burial plots must meet the following 
441.8 	criteria:
441.9 	(1) be set back 50 feet from property lines;
441.10 	(2) maintain at least three and one-half feet clearance above the ordinary high-water 
441.11 	level;
441.12 	(3) not be in standing water;
441.13 	(4) not be within zone 1 groundwater source protection zones around a spring, a water 
441.14 	supply well, or a shaft drilled into the ground meant to extract water; and
441.15 	(5) not be within flood-prone areas.
441.16 	(b) Green burial plot locations must be a certain distance from water sources. Green 
441.17 	burial plot locations must be:
441.18 	(1) 50 feet from water supply wells and shafts drilled into the ground used to extract 
441.19 	water;
441.20 	(2) 100 feet from other springs or watercourses; and
441.21 	(3) 33 feet from drainage systems.
441.22 		Subd. 4.Exception. A property with green burial plots in a designated location on or 
441.23 	before July 1, 2025, does not need to comply with the requirement of subdivision 3, paragraph 
441.24 	(a), clause (1).
441.25 		Subd. 5.Burial depth. (a) Green burial plots must be at a minimum depth of three and 
441.26 	one-half feet from the base of the grave to the soil horizon.
441.27 	(b) Green burials must have three and one-half feet of cover.
441.28 		Subd. 6.Burial density. Green burial plots must be a maximum of 300 burials per acre 
441.29 	over a 100-year period.

442.1 	Sec. 12. [307.15] SCATTERING OF HYDROLYZED OR CREMATED REMAINS.
442.2 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
442.3 	the meanings given.
442.4 	(b) "Cremated remains" has the meaning given in section 149A.02, subdivision 7.
442.5 	(c) "Hydrolyzed remains" has the meaning given in section 149A.02, subdivision 24a.
442.6 		Subd. 2.Designated location. A person who owns a cemetery governed by this chapter 
442.7 	that allows for scattering of hydrolyzed remains or cremated remains must designate a 
442.8 	location within the cemetery for the scattering of hydrolyzed or cremated remains.

442.9 	Sec. 13. [325M.335] MENTAL HEALTH WARNING LABEL.
442.10 		Subdivision 1.Warning label required. (a) Effective July 1, 2026, a social media 
442.11 	platform must ensure that a conspicuous mental health warning label that complies with the 
442.12 	requirements under this section:
442.13 	(1) appears each time a user accesses the social media platform; and
442.14 	(2) only disappears when the user: (i) exits the social media platform; or (ii) acknowledges 
442.15 	the potential for harm and chooses to proceed to the social media platform despite the risk.
442.16 	(b) A mental health warning label under this section must:
442.17 	(1) in a manner that conforms with the guidelines established under subdivision 2, warn 
442.18 	the user of potential negative mental health impacts of accessing the social media platform; 
442.19 	and
442.20 	(2) provide the user access to resources to address the potential negative mental health 
442.21 	impacts described in clause (1) and include the website and telephone number of a national 
442.22 	suicide prevention and mental health crisis hotline system, including but not limited to the 
442.23 	988 Suicide and Crisis Lifeline.
442.24 	(c) A social media platform is prohibited from:
442.25 	(1) providing the warning label exclusively in the social media platform's terms and 
442.26 	conditions;
442.27 	(2) including extraneous information in the warning label that obscures the visibility or 
442.28 	prominence of the warning label; or
442.29 	(3) allowing a user to disable a warning label, except as provided under paragraph (a).
443.1 		Subd. 2.Content of label. (a) By March 1, 2026, the commissioner of health, in 
443.2 	consultation with the commissioner of commerce, must develop guidelines for social media 
443.3 	platforms that contain appropriate requirements for the warning labels required under this 
443.4 	section. The guidelines must be based on current evidence regarding the negative mental 
443.5 	health impacts of social media platforms. The commissioners must review and revise the 
443.6 	guidelines as appropriate.
443.7 	(b) The commissioner of health is exempt from chapter 14, including section 14.386, 
443.8 	when implementing this subdivision.

443.9 	Sec. 14. Minnesota Statutes 2024, section 325M.34, is amended to read:
443.10 	325M.34 ENFORCEMENT AUTHORITY.
443.11 	(a) The attorney general may investigate and bring an action against a social media 
443.12 	platform for an alleged violation of section 325M.33 or 325M.335.
443.13 	(b) Nothing in sections 325M.30 to 325M.34 creates a private cause of action in favor 
443.14 	of a person injured by a violation of section 325M.33.

443.15 	Sec. 15. TRANSFERS TO THE DEPARTMENT OF CHILDREN, YOUTH, AND 
443.16 	FAMILIES IN UNCODIFIED LAW.
 443.17 	Any power, duty, or responsibility given to the commissioner of human services or the 
443.18 	Department of Human Services in an uncodified section of Laws of Minnesota that is a part 
443.19 	of, necessary for, or in service of a power, duty, or responsibility transferred in Laws 2023, 
443.20 	chapter 70, article 12, section 30, or Laws 2024, chapter 80, transfers to the commissioner 
443.21 	of children, youth, and families or the Department of Children, Youth, and Families upon 
443.22 	the notice of transfer of the underlying power, duty, or responsibility required in Laws 2023, 
443.23 	chapter 70, article 12, section 30, subdivision 1. This section applies to uncodified sections 
443.24 	of Laws of Minnesota enacted before and after Laws 2023, chapter 70, including but not 
443.25 	limited to Laws 2024, chapter 117, sections 16 to 22.

443.26 	Sec. 16. DIRECTION TO THE COMMISSIONERS OF HEALTH; HUMAN 
443.27 	SERVICES; AND CHILDREN, YOUTH, AND FAMILIES; REPORTS ON GRANT 
443.28 	FUNDING.
 443.29 	(a) Beginning January 15, 2026, and each odd-numbered year thereafter, the 
443.30 	commissioners of health; human services; and children, youth, and families must each 
443.31 	submit a report that contains an accurate list of all grants with money appropriated in the 
444.1 	preceding fiscal year and appropriated for the current biennium and the following biennium 
444.2 	that are administered by each commissioner and must include for each grant:
444.3 	(1) the name of the grant;
444.4 	(2) a description of the grant, including the eligibility criteria of grantees and the purpose 
444.5 	of the grant;
444.6 	(3) the amount appropriated in each fiscal year that supports the total appropriation for 
444.7 	each grant budget activity for the November forecast in each even-numbered year; and
444.8 	(4) the accurate and complete statutory or Minnesota Laws citation for the authority for 
444.9 	the grant.
444.10 	(b) The commissioner of health must submit the report in paragraph (a) to the chairs and 
444.11 	ranking minority members of the legislative committees with jurisdiction over health, and 
444.12 	to the director of the House Research Department, the chief fiscal analyst of the House 
444.13 	Fiscal Analysis Department, and the director and principal fiscal analyst of Senate Counsel, 
444.14 	Research and Fiscal Analysis.
444.15 	(c) The commissioner of human services must submit the report in paragraph (a) to the 
444.16 	chairs and ranking minority members of the legislative committees with jurisdiction over 
444.17 	human services, and to the director of the House Research Department, the chief fiscal 
444.18 	analyst of the House Fiscal Analysis Department, and the director and principal fiscal analyst 
444.19 	of Senate Counsel, Research and Fiscal Analysis.
444.20 	(d) The commissioner of children, youth, and families must submit the report in paragraph 
444.21 	(a) to the chairs and ranking minority members of the legislative committees with jurisdiction 
444.22 	over children, youth, and families, and to the director of the House Research Department, 
444.23 	the chief fiscal analyst of the House Fiscal Analysis Department, and the director and 
444.24 	principal fiscal analyst of Senate Counsel, Research and Fiscal Analysis.
444.25 	(e) The reports provided under this section expire on June 30, 2036.

444.26 	Sec. 17. DIRECTION TO THE COMMISSIONER OF CHILDREN, YOUTH, AND 
444.27 	FAMILIES; CHILD CARE AND DEVELOPMENT BLOCK GRANT 
444.28 	ALLOCATIONS.
 444.29 	(a) The commissioner of children, youth, and families shall allocate $450,000 in fiscal 
444.30 	year 2026 from the child care and development block grant for child care improvement 
444.31 	grants under Minnesota Statutes, section 142D.20, subdivision 3, paragraph (a), clause (7). 
444.32 	This is a onetime allocation.
445.1 	(b) The commissioner of children, youth, and families shall allocate $1,639,000 in fiscal 
445.2 	year 2028 and $1,638,000 in fiscal year 2029 from the child care and development block 
445.3 	grant for the development of a statewide electronic attendance and record keeping system 
445.4 	for the child care assistance program.
445.5 	(c) The commissioner of children, youth, and families shall allocate $1,175,000 in fiscal 
445.6 	year 2026, $5,261,000 in fiscal year 2027, $5,626,000 in fiscal year 2028, and $8,568,000 
445.7 	in fiscal year 2029 from the child care and development block grant for MFIP and basic 
445.8 	sliding fee child care assistance to comply with federal requirements.
445.9 	(d) The commissioner of children, youth, and families shall allocate $3,809,000 in fiscal 
445.10 	year 2026, $4,111,000 in fiscal year 2027, $4,094,000 in fiscal year 2028, and $1,492,000 
445.11 	in fiscal year 2029 from the child care and development block grant for basic sliding fee 
445.12 	child care assistance for reallocation from the general fund.
445.13 	(e) The commissioner of children, youth, and families shall allocate $100,000 in fiscal 
445.14 	year 2026 from the child care and development block grant for family child care 
445.15 	modernization information technology efforts.

445.16 	Sec. 18. DIRECTION TO THE COMMISSIONER OF CHILDREN, YOUTH, AND 
445.17 	FAMILIES; ALLOCATION OF TANF-ELIGIBLE GENERAL FUND 
445.18 	EXPENDITURES.
 445.19 	The commissioner of children, youth, and families must identify $1,475,000 in fiscal 
445.20 	year 2026 and $1,723,000 in fiscal year 2027 of general fund expenditures attributable to 
445.21 	eligible activities under Minnesota Statutes, chapter 142G, and reduce general fund 
445.22 	expenditures by the same amounts. The commissioner must allocate $1,475,000 in fiscal 
445.23 	year 2026 and $1,723,000 in fiscal year 2027 to eligible activities under Minnesota Statutes, 
445.24 	chapter 142G, to the TANF fund.

445.25 	ARTICLE 20
445.26 	DEPARTMENT OF HUMAN SERVICES APPROPRIATIONS

445.27	Section 1. HUMAN SERVICES APPROPRIATIONS.
 	
445.28 	The sums shown in the columns marked "Appropriations" are appropriated to the 
445.29 	commissioner of human services for the purposes specified in this article. The appropriations 
445.30 	are from the general fund, or another named fund, and are available for the fiscal years 
445.31 	indicated for each purpose. The figures "2026" and "2027" used in this article mean that 
445.32 	the appropriations listed under them are available for the fiscal year ending June 30, 2026, 
446.1 	or June 30, 2027, respectively. "The first year" is fiscal year 2026. "The second year" is 
446.2 	fiscal year 2027. "The biennium" is fiscal years 2026 and 2027.

446.3				APPROPRIATIONS
	
446.4				Available for the Year
	
446.5				Ending June 30
	
446.6					2026
		2027

446.7
446.8	Sec. 2. COMMISSIONER OF HUMAN 
SERVICES
 	$
	3,234,320,000
	$
	3,385,205,000

446.9	Subdivision 1.Total Appropriation

446.10	Appropriations by Fund
	
446.11		2026
	2027
	
446.12	General
	2,031,450,000
	2,264,925,000
	
446.13
446.14	State Government 
Special Revenue
	4,273,000
	4,273,000
	
446.15	Health Care Access
	1,198,240,000
	1,115,650,000
	
446.16	Lottery Prize
	163,000
	163,000
	
446.17
446.18	Family and Medical 
Benefit Insurance
	194,000
	194,000
	
446.19 	The amounts that may be spent for each 
446.20 	purpose are specified in this article.

446.21	Subd. 2.Information Technology Appropriations
 					
446.22 	(a) IT appropriations generally. This 
446.23 	appropriation includes money for information 
446.24 	technology projects, services, and support. 
446.25 	Funding for information technology project 
446.26 	costs must be incorporated into the 
446.27 	service-level agreement and paid to Minnesota 
446.28 	IT Services by the Department of Human 
446.29 	Services under the rates and mechanism 
446.30 	specified in that agreement.
446.31 	(b) Receipts for systems project.
446.32 	Appropriations and federal receipts for 
446.33 	information technology systems projects for 
446.34 	MMIS, MAXIS, ISDS, SSIS, and METS must 
446.35 	be deposited in the state systems account 
446.36 	authorized in Minnesota Statutes, section 
447.1 	256.014. Money appropriated for information 
447.2 	technology projects approved by the 
447.3 	commissioner of Minnesota IT Services, 
447.4 	funded by the legislature, and approved by the 
447.5 	commissioner of management and budget may 
447.6 	be transferred from one project to another and 
447.7 	from development to operations as the 
447.8 	commissioner of human services deems 
447.9 	necessary. Any unexpended balance in the 
447.10 	appropriation for these projects does not 
447.11 	cancel and is available for ongoing 
447.12 	development and operations.

447.13	Sec. 3. CENTRAL OFFICE; OPERATIONS

447.14	Subdivision 1.Total Appropriation
 	$
	166,697,000
	$
	171,673,000

447.15	Appropriations by Fund
	
447.16	General
	144,847,000
	148,296,000
	
447.17
447.18	State Government 
Special Revenue
	248,000
	248,000
	
447.19	Health Care Access
	21,408,000
	22,935,000
	
447.20
447.21	Family and Medical 
Benefits Insurance
	194,000
	194,000

447.22	Subd. 2.Administrative Recovery; Set-Aside
 					
447.23 	The commissioner may invoice local entities 
447.24 	through the SWIFT accounting system as an 
447.25 	alternative means to recover the actual cost of 
447.26 	administering the following provisions:
447.27 	(1) the statewide data management system 
447.28 	authorized in Minnesota Statutes, section 
447.29 	125A.744, subdivision 3;
447.30 	(2) repayment of the special revenue 
447.31 	maximization account as provided under 
447.32 	Minnesota Statutes, section 245.495, 
447.33 	paragraph (b);
448.1 	(3) repayment of the special revenue 
448.2 	maximization account as provided under 
448.3 	Minnesota Statutes, section 256B.0625, 
448.4 	subdivision 20, paragraph (k);
448.5 	(4) targeted case management under 
448.6 	Minnesota Statutes, section 256B.0924, 
448.7 	subdivision 6, paragraph (g);
448.8 	(5) residential services for children with severe 
448.9 	emotional disturbance under Minnesota 
448.10 	Statutes, section 256B.0945, subdivision 4, 
448.11 	paragraph (d); and
448.12 	(6) repayment of the special revenue 
448.13 	maximization account as provided under 
448.14 	Minnesota Statutes, section 256F.10, 
448.15 	subdivision 6, paragraph (b).

448.16	Subd. 3.Family and Medical Benefit Insurance
 					
448.17 	$194,000 in fiscal year 2026 and $194,000 in 
448.18 	fiscal year 2027 are from the family and 
448.19 	medical benefit insurance fund for systems 
448.20 	costs to administer Minnesota Statutes, chapter 
448.21 	268B.

448.22	Subd. 4.Base Level Adjustment
 					
448.23 	The general fund base for this section is 
448.24 	$144,299,000 in fiscal year 2028 and 
448.25 	$144,349,000 in fiscal year 2029.

448.26	Sec. 4. CENTRAL OFFICE; HEALTH CARE

448.27	Subdivision 1.Total Appropriation
 	$
	69,056,000
	$
	63,585,000

448.28	Appropriations by Fund
	
448.29	General
	40,888,000
	35,417,000
	
448.30	Health Care Access
	28,168,000
	28,168,000

449.1	Subd. 2.Base Level Adjustment
 					
449.2 	The general fund base for this section is 
449.3 	$35,562,000 in fiscal year 2028 and 
449.4 	$35,478,000 in fiscal year 2029.

449.5
449.6	Sec. 5. CENTRAL OFFICE; AGING AND 
DISABILITY SERVICES
 	$
	49,290,000
	$
	49,194,000

449.7	Appropriations by Fund
	
449.8	General
	49,165,000
	49,069,000
	
449.9449.10
	State Government 
Special Revenue
	125,000
	125,000

449.11
449.12	Sec. 6. CENTRAL OFFICE; BEHAVIORAL 
HEALTH

449.13	Subdivision 1.Total Appropriation
 	$
	22,713,000
	$
	23,077,000

449.14	Appropriations by Fund
	
449.15	General
	22,550,000
	22,914,000
	
449.16	Lottery Prize
	163,000
	163,000

449.17
449.18	Subd. 2.Psychiatric Residential Treatment 
Facility Report
 					
449.19 	$288,000 in fiscal year 2026 is from the 
449.20 	general fund for the development of the 
449.21 	psychiatric residential treatment facility report 
449.22 	and proposed legislation. This is a onetime 
449.23 	appropriation and is available until June 30, 
449.24 	2027.

449.25
449.26	Subd. 3.Online Behavioral Health Program 
Locator
 					
449.27 	(a) $959,000 in fiscal year 2026 and $959,000 
449.28 	in fiscal year 2027 are from the general fund 
449.29 	for an online behavioral health program 
449.30 	locator.
449.31 	(b) Any vendor selected to administer the 
449.32 	online behavioral health program locator under 
449.33 	paragraph (a) must be based in Minnesota. 
449.34 	Notwithstanding section 27, this paragraph 
449.35 	does not expire.

450.1	Subd. 4.Base Level Adjustment
 					
450.2 	The general fund base for this section is 
450.3 	$22,764,000 in fiscal year 2028 and 
450.4 	$22,764,000 in fiscal year 2029.

450.5
450.6	Sec. 7. CENTRAL OFFICE; HOMELESSNESS, 
HOUSING, AND SUPPORT SERVICES
 	$
	6,681,000
	$
	5,980,000

450.7
450.8	Sec. 8. CENTRAL OFFICE; OFFICE OF 
INSPECTOR GENERAL

450.9	Subdivision 1.Total Appropriation
 	$
	36,262,000
	$
	37,456,000

450.10	Appropriations by Fund
	
450.11	General
	31,421,000
	32,615,000
	
450.12
450.13	State Government 
Special Revenue
	3,900,000
	3,900,000
	
450.14	Health Care Access
	941,000
	941,000

450.15	Subd. 2.Base Level Adjustment
 					
450.16 	The general fund base for this section is 
450.17 	$32,671,000 in fiscal year 2028 and 
450.18 	$32,617,000 in fiscal year 2029.

450.19
450.20	Sec. 9. FORECASTED PROGRAMS; 
GENERAL ASSISTANCE
 	$
	84,138,000
	$
	86,462,000
	
450.21 	Emergency General Assistance
450.22 	(a) The amount appropriated for emergency 
450.23 	general assistance is up to $6,729,812 in fiscal 
450.24 	year 2026 and up to $6,729,812 in fiscal year 
450.25 	2027.
450.26 	(b) Money to counties for emergency general 
450.27 	assistance shall be allocated by the 
450.28 	commissioner using the allocation method 
450.29 	under Minnesota Statutes, section 256D.06, 
450.30 	subdivision 2, paragraph (c).

450.31
450.32
450.33	Sec. 10. FORECASTED PROGRAMS; 
MINNESOTA SUPPLEMENTAL AID 
GRANTS
 	$
	67,113,000
	$
	69,089,000

450.34
450.35	Sec. 11. FORECASTED PROGRAMS; 
HOUSING SUPPORT
 	$
	269,258,000
	$
	279,703,000

451.1
451.2	Sec. 12. FORECASTED PROGRAMS; 
MINNESOTACARE
 	$
	72,093,000
	$
	126,196,000
	
451.3 	This appropriation is from the health care 
451.4 	access fund.

451.5
451.6	Sec. 13. FORECASTED PROGRAMS; 
MEDICAL ASSISTANCE

451.7	Subdivision 1.Total Appropriation
 	$
	2,133,453,000
	$
	2,214,905,000

451.8	Appropriations by Fund
	
451.9	General
	1,061,288,000
	1,280,960,000
	
451.10	Health Care Access
	1,072,165,000
	933,945,000

451.11	Subd. 2.Base Level Adjustment
 					
451.12 	The health care access fund base for this 
451.13 	section is $939,545,000 in fiscal year 2028 
451.14 	and $939,545,000 in fiscal year 2029.

451.15
451.16	Sec. 14. GRANT PROGRAMS; CHILD AND 
COMMUNITY SERVICES GRANTS
 	$
	5,655,000
	$
	5,655,000

451.17
451.18	Sec. 15. GRANT PROGRAMS; HEALTH 
CARE GRANTS
 	$
	8,176,000
	$
	8,176,000

451.19	Appropriations by Fund
	
451.20	General
	4,711,000
	4,711,000
	
451.21	Health Care Access
	3,465,000
	3,465,000

451.22
451.23	Sec. 16. GRANT PROGRAMS; DISABILITIES 
GRANTS
 	$
	(2,220,000)
	$
	(2,220,000)

451.24
451.25	Sec. 17. GRANT PROGRAMS; REFUGEE 
SERVICES GRANTS
 	$
	100,000
	$
	100,000

451.26
451.27	Sec. 18. GRANT PROGRAMS; HOUSING AND 
SUPPORT SERVICES GRANTS
 	$
	91,001,000
	$
	94,092,000

451.28
451.29	Subdivision 1.Family Supportive Housing Grant 
Program
 					
451.30 	$700,000 in fiscal year 2026 is for the family 
451.31 	supportive housing grant program. This is a 
451.32 	onetime appropriation and is available until 
451.33 	June 30, 2027.

452.1
452.2	Subd. 2.Grant for Catholic Charities Homeless 
Elders Program
 					
452.3 	$959,000 in fiscal year 2026 is for a grant to 
452.4 	Catholic Charities of St. Paul and Minneapolis 
452.5 	for the homeless elders program that helps 
452.6 	homeless, isolated, and low-income older 
452.7 	adults to move into stable housing. This is a 
452.8 	onetime appropriation and is available until 
452.9 	June 30, 2027.

452.10	Subd. 3.The Bridge for Youth
 					
452.11 	$250,000 in fiscal year 2026 is for a grant to 
452.12 	The Bridge for Youth to predesign a new 
452.13 	multiuse facility in Hennepin County. The 
452.14 	predesign of the new facility must support 
452.15 	future shelter and housing infrastructure 
452.16 	expansion in Hennepin County for 
452.17 	unaccompanied homeless youth and young 
452.18 	families experiencing homelessness. This is a 
452.19 	onetime appropriation and is available until 
452.20 	June 30, 2027.

452.21	Subd. 4.Base Level Adjustment
 					
452.22 	The general fund base for this section is 
452.23 	$96,726,000 in fiscal year 2028 and 
452.24 	$96,726,000 in fiscal year 2029.

452.25
452.26	Sec. 19. GRANT PROGRAMS; ADULT 
MENTAL HEALTH GRANTS
 	$
	111,665,000
	$
	110,852,000

452.27
452.28	Subdivision 1.Intensive Residential Treatment 
Services; Hennepin County
 					
452.29 	$563,000 in fiscal year 2026 is for a grant to 
452.30 	the city of Brooklyn Park as start-up funding 
452.31 	for an intensive residential treatment services 
452.32 	and residential crisis stabilization services 
452.33 	facility. This is a onetime appropriation and 
452.34 	is available until June 30, 2027.

453.1
453.2	Subd. 2.Lower Sioux Community Complex 
Post-Traumatic Stress Disorder Pilot Project
 					
453.3 	$250,000 in fiscal year 2026 is for the Lower 
453.4 	Sioux community complex post-traumatic 
453.5 	stress disorder pilot project. This is a onetime 
453.6 	appropriation and is available until June 30, 
453.7 	2027.

453.8
453.9	Sec. 20. GRANT PROGRAMS; CHILD 
MENTAL HEALTH GRANTS
 	$
	37,719,000
	$
	35,760,000

453.10
453.11	Subdivision 1.Grant to Mental Health 
Collaboration Hub Innovation Pilot Program
 					
453.12 	$759,000 in fiscal year 2026 is for a grant to 
453.13 	the Mental Health Collaboration Hub for the 
453.14 	Mental Health Collaboration Hub innovation 
453.15 	pilot program. This is a onetime appropriation 
453.16 	and is available until June 30, 2027.

453.17
453.18	Subd. 2.Psychiatric Residential Treatment 
Start-Up and Capacity-Building Grants
 					
453.19 	$200,000 in fiscal year 2026 is for a grant to 
453.20 	Clay County under Minnesota Statutes, section 
453.21 	256B.0941, subdivision 5, for a new 18-bed 
453.22 	psychiatric residential treatment facility in 
453.23 	Clay County. This is a onetime appropriation 
453.24 	and is available until June 30, 2029.

453.25
453.26	Subd. 3.Grant to Clay County for Psychiatric 
Residential Treatment Facility
 					
453.27 	$1,000,000 in fiscal year 2026 is for a grant 
453.28 	to Clay County for the purchase of equipment 
453.29 	and final redesign and remodeling for the 
453.30 	conversion of the West Central Regional 
453.31 	Juvenile Center nonsecure unit into an 18-bed 
453.32 	psychiatric residential treatment facility for 
453.33 	persons younger than 21 years of age, under 
453.34 	Minnesota Statutes, section 256B.0941. This 
453.35 	is a onetime appropriation.

454.1	Subd. 4.Base Level Adjustment
 					
454.2 	The general fund base for this section is 
454.3 	$35,589,000 in fiscal year 2028 and 
454.4 	$35,590,000 in fiscal year 2029.

454.5	Sec. 21. GRANT PROGRAMS; HIV GRANTS
 	$
	5,470,000
	$
	5,470,000
	
454.6 	Grants to Community-Based HIV/AIDS 
454.7 	Support Services Providers. $3,250,000 in 
454.8 	fiscal year 2026 and $3,250,000 in fiscal year 
454.9 	2027 are for grants to community-based 
454.10 	HIV/AIDS support services providers.

454.11 	Sec. 22. TRANSFERS.
 454.12 		Subdivision 1.Grants. The commissioner of human services, with the advance approval 
454.13 	of the commissioner of management and budget, may transfer unencumbered appropriation 
454.14 	balances for the biennium ending June 30, 2027, within fiscal years among general assistance, 
454.15 	medical assistance, MinnesotaCare, the Minnesota supplemental aid program, the housing 
454.16 	support program, and the entitlement portion of the behavioral health fund between fiscal 
454.17 	years of the biennium. The commissioner shall report to the chairs and ranking minority 
454.18 	members of the legislative committees with jurisdiction over health and human services 
454.19 	quarterly about transfers made under this subdivision.
454.20 		Subd. 2.Administration. Positions, salary money, and nonsalary administrative money 
454.21 	may be transferred within the Department of Human Services as the commissioner deems 
454.22 	necessary, with the advance approval of the commissioner of management and budget. The 
454.23 	commissioner shall report to the chairs and ranking minority members of the legislative 
454.24 	committees with jurisdiction over health and human services finance quarterly about transfers 
454.25 	made under this section.
454.26 		Subd. 3.Temporary authority for interagency transfers with Department of 
454.27 	Children, Youth, and Families. Beginning July 1, 2025, and until March 31, 2026, 
454.28 	administrative money may be transferred between the Department of Human Services and 
454.29 	Department of Children, Youth, and Families as the commissioners deem necessary, with 
454.30 	the advance approval of the commissioner of management and budget. The commissioners 
454.31 	shall report to the chairs and ranking minority members of the legislative committees with 
454.32 	jurisdiction over children and families quarterly about transfers made under this section.

455.1 	Sec. 23. CANCELLATIONS.
 455.2 		Subdivision 1.Mobile crisis grants. $1,750,000 of the fiscal year 2025 general fund 
455.3 	appropriation for mobile crisis grants in Laws 2023, chapter 70, article 20, section 2, 
455.4 	subdivision 29, as amended by Laws 2024, chapter 125, article 8, section 16, is canceled 
455.5 	to the general fund.
455.6 		Subd. 2.Child mental health grants. $82,000 of the fiscal year 2025 general fund 
455.7 	appropriation for child mental health grants in Laws 2023, chapter 70, article 20, section 2, 
455.8 	subdivision 30, is canceled to the general fund.
455.9 		Subd. 3.Emergency medical assistance legal referral costs. $100,000 of the fiscal 
455.10 	year 2025 general fund appropriation for emergency medical assistance legal referral costs 
455.11 	in Laws 2023, chapter 70, article 20, section 2, subdivision 26, is canceled to the general 
455.12 	fund.
455.13 		Subd. 4.Grants to navigators. $800,000 of the fiscal year 2024 health care access fund 
455.14 	appropriation for grants to navigators in Laws 2023, chapter 22, section 4, subdivision 2, 
455.15 	is canceled to the health care access fund.
455.16 		Subd. 5.Mille Lacs Band of Ojibwe American Indian child welfare 
455.17 	initiative. $5,294,000 of the fiscal year 2025 general fund appropriation for the Mille Lacs 
455.18 	Band of Ojibwe American Indian child welfare initiative in Laws 2023, chapter 70, article 
455.19 	20, section 2, subdivision 22, paragraph (b), is canceled to the general fund.
455.20 		Subd. 6.Great Start Compensation Program transition grant program. $293,000 
455.21 	of the fiscal year 2024 general fund appropriation for the Great Start Compensation Program 
455.22 	transition grant program in Laws 2023, chapter 70, article 20, section 2, subdivision 20, 
455.23 	paragraph (b), is canceled to the general fund.
455.24 		Subd. 7.Grant to administer pool of qualified individuals for assessments. $250,000 
455.25 	of the fiscal year 2025 general fund appropriation for a grant to administer a pool of qualified 
455.26 	individuals for assessments in Laws 2023, chapter 70, article 20, section 2, subdivision 22, 
455.27 	paragraph (k), is canceled to the general fund.
455.28 		Subd. 8.Adult mental health initiative Tribal courts. $22,000 of the fiscal year 2025 
455.29 	general fund appropriation for adult mental health initiative Tribal courts in Laws 2023, 
455.30 	chapter 70, article 20, section 2, subdivision 29, as amended by Laws 2024, chapter 125, 
455.31 	article 8, section 16, is canceled to the general fund.
456.1 		Subd. 9.Evidence-based practice. $401,000 of the fiscal year 2025 general fund 
456.2 	appropriation for evidence-based practice in Laws 2023, chapter 70, article 20, section 2, 
456.3 	subdivision 30, is canceled to the general fund.
456.4 		Subd. 10.Child intensive service reform. $276,000 of the fiscal year 2025 general 
456.5 	fund appropriation for child intensive service reform in Laws 2023, chapter 70, article 20, 
456.6 	section 2, subdivision 30, is canceled to the general fund.
456.7 		Subd. 11.Psychiatric residential treatment facilities. $223,000 of the fiscal year 2025 
456.8 	general fund appropriation for psychiatric residential treatment facilities in Laws 2023, 
456.9 	chapter 70, article 20, section 2, subdivision 30, is canceled to the general fund.
456.10 		Subd. 12.Minnesota public option health care plan. $21,000,000 of the fiscal year 
456.11 	2025 health care access fund appropriation for the Minnesota public option health care plan 
456.12 	in Laws 2023, chapter 70, article 20, section 2, subdivision 5, paragraph (e), as amended 
456.13 	by Laws 2024, chapter 127, article 67, section 12, is canceled to the health care access fund.

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

456.15 	Sec. 24. Laws 2023, chapter 70, article 20, section 2, subdivision 30, is amended to read:

456.16
456.17	Subd. 30.Grant Programs; Child Mental Health 
Grants
 		44,487,000
		37,934,000
37,734,000
	
456.18 	(a) Psychiatric residential treatment facility 
456.19 	start-up grants. $1,000,000 in fiscal year 
456.20 	2024 and $1,000,000 $800,000 in fiscal year 
456.21 	2025 are for psychiatric residential treatment 
456.22 	facility start-up grants under Minnesota 
456.23 	Statutes, section 256B.0941, subdivision 5. 
456.24 	This is a onetime appropriation and is 
456.25 	available until June 30, 2027.
456.26 	(b) African American Child Wellness 
456.27 	Institute. $2,000,000 in fiscal year 2024 is 
456.28 	for a grant to the African American Child 
456.29 	Wellness Institute to provide culturally 
456.30 	specific mental health and substance use 
456.31 	disorder services under Minnesota Statutes, 
456.32 	section 245.0961. This is a onetime 
457.1 	appropriation and is available until June 30, 
457.2 	2027.
457.3 	(c) Base level adjustment. The general fund 
457.4 	base is $34,648,000 in fiscal year 2026 and 
457.5 	$34,648,000 in fiscal year 2027.

457.6 	Sec. 25. GRANT ADMINISTRATION COSTS.
 457.7 	This article appropriates necessary administrative costs. The administrative costs retention 
457.8 	requirement under Minnesota Statutes, section 16B.98, subdivision 14, is inapplicable to 
457.9 	any appropriation in this article for a grant.

457.10 	Sec. 26. APPROPRIATIONS GIVEN EFFECT ONCE.
 457.11 	If an appropriation, cancellation, or transfer in this article is enacted more than once 
457.12 	during the 2025 first special session, the appropriation, cancellation, or transfer must be 
457.13 	given effect once. This article appropriates necessary administrative costs.

457.14 	Sec. 27. EXPIRATION OF UNCODIFIED LANGUAGE.
 457.15 	All uncodified language contained in this article expires June 30, 2027, unless a different 
457.16 	expiration date is explicit or an appropriation is made available beyond June 30, 2027.

457.17 	ARTICLE 21
457.18 	DEPARTMENT OF HEALTH APPROPRIATIONS

457.19	Section 1. HEALTH APPROPRIATIONS.
 	
457.20 	The sums shown in the columns marked "Appropriations" are appropriated to the 
457.21 	commissioner of health for the purposes specified in this article. The appropriations are 
457.22 	from the general fund, or another named fund, and are available for the fiscal years indicated 
457.23 	for each purpose. The figures "2026" and "2027" used in this article mean that the 
457.24 	appropriations listed under them are available for the fiscal year ending June 30, 2026, or 
457.25 	June 30, 2027, respectively. "The first year" is fiscal year 2026. "The second year" is fiscal 
457.26 	year 2027. "The biennium" is fiscal years 2026 and 2027.

457.27				APPROPRIATIONS
	
457.28				Available for the Year
	
457.29				Ending June 30
	
457.30					2026
		2027

457.31	Sec. 2. COMMISSIONER OF HEALTH
 	$
	461,800,000
	$
	432,813,000

458.1	Appropriations by Fund
	
458.2		2026
	2027
	
458.3	General
	271,737,000
	267,250,000
	
458.4
458.5	State Government 
Special Revenue
	99,499,000
	99,031,000
	
458.6	Health Care Access
	78,851,000
	54,819,000
	
458.7	Federal TANF
	11,713,000
	11,713,000
	
458.8 	The amounts that may be spent for each 
458.9 	purpose are specified in this article.

458.10	Sec. 3. HEALTH IMPROVEMENT

458.11	Subdivision 1.Total Appropriation
 	$
	315,585,000
	$
	285,063,000

458.12	Appropriations by Fund
	
458.13	General
	217,174,000
	212,130,000
	
458.14
458.15	State Government 
Special Revenue
	9,258,000
	9,258,000
	
458.16	Health Care Access
	77,440,000
	51,962,000
	
458.17	Federal TANF
	11,713,000
	11,713,000

458.18
458.19	Subd. 2.Substance Use Treatment, Recovery, 
and Prevention Grants
 					
458.20 	$3,000,000 in fiscal year 2026 and $3,000,000 
458.21 	in fiscal year 2027 are from the general fund 
458.22 	for substance use treatment, recovery, and 
458.23 	prevention grants under Minnesota Statutes, 
458.24 	section 342.72.

458.25
458.26	Subd. 3.Local and Tribal Public Health 
Cannabis Grants
 					
458.27 	$7,756,000 in fiscal year 2026 and $7,756,000 
458.28 	in fiscal year 2027 are from the general fund 
458.29 	for grants under Minnesota Statutes, section 
458.30 	144.197, subdivision 4.

458.31
458.32
458.33	Subd. 4.Cannabis and Substance Misuse 
Prevention and Education Programs; Youth 
Prevention and Education Program
 					
458.34 	$4,534,000 in fiscal year 2026 and $4,470,000 
458.35 	in fiscal year 2027 are from the general fund 
458.36 	for the youth prevention and education 
459.1 	program under the cannabis and substance 
459.2 	misuse prevention and education programs 
459.3 	under Minnesota Statutes, section 144.197, 
459.4 	subdivision 1.

459.5
459.6
459.7
459.8
459.9	Subd. 5.Cannabis and Substance Misuse 
Prevention and Education Programs; Prevention 
and Education Program for Pregnant and 
Breastfeeding Individuals and Individuals Who 
May Become Pregnant
 					
459.10 	$1,834,000 in fiscal year 2026 and $1,834,000 
459.11 	in fiscal year 2027 are from the general fund 
459.12 	for the prevention and education program for 
459.13 	pregnant and breastfeeding individuals and 
459.14 	individuals who may become pregnant under 
459.15 	the cannabis and substance misuse prevention 
459.16 	and education programs under Minnesota 
459.17 	Statutes, section 144.197, subdivision 2. The 
459.18 	base for this subdivision is $721,000 in fiscal 
459.19 	year 2028 and $721,000 in fiscal year 2029.

459.20	Subd. 6.Public Health Infrastructure Funds
 					
459.21 	$4,000,000 in fiscal year 2026 and $4,000,000 
459.22 	in fiscal year 2027 are from the general fund 
459.23 	to distribute to community health boards and 
459.24 	Tribal governments to support their ability to 
459.25 	meet national public health standards.

459.26
459.27	Subd. 7.Sexual and Reproductive Health 
Services Grant Program
 					
459.28 	$11,050,000 in fiscal year 2026 and 
459.29 	$11,050,000 in fiscal year 2027 are from the 
459.30 	general fund for the sexual and reproductive 
459.31 	health services grant program under Minnesota 
459.32 	Statutes, section 145.925. The base for this 
459.33 	subdivision is $11,475,000 in fiscal year 2028 
459.34 	and $11,475,000 in fiscal year 2029.

460.1
460.2	Subd. 8.Development of Nonopioid Directive 
Form
 					
460.3 	$10,000 in fiscal year 2026 is from the general 
460.4 	fund for the development of a nonopioid 
460.5 	directive form under Minnesota Statutes, 
460.6 	section 145C.18, subdivision 5.

460.7	Subd. 9.Dementia Services Program
 					
460.8 	$217,000 in fiscal year 2026 and $217,000 in 
460.9 	fiscal year 2027 are from the general fund for 
460.10 	the dementia services program under 
460.11 	Minnesota Statutes, section 144.063.

460.12	Subd. 10.Opiate Antagonists at Tribal Colleges
 					
460.13 	$75,000 in fiscal year 2026 and $75,000 in 
460.14 	fiscal year 2027 are from the general fund to 
460.15 	make opiate antagonists available at Tribal 
460.16 	colleges under Minnesota Statutes, section 
460.17 	135A.1368.

460.18
460.19	Subd. 11.Materials on Recognizing Signs of 
Physical Abuse in Infants
 					
460.20 	$55,000 in fiscal year 2026 is from the general 
460.21 	fund for the development of materials on 
460.22 	recognizing the signs of physical abuse in 
460.23 	infants under Minnesota Statutes, section 
460.24 	144.124, subdivision 2.

460.25	Subd. 12.Opioid Use Prevention and Education
 					
460.26 	$1,000,000 in fiscal year 2026 is from the 
460.27 	general fund for a grant to Change the 
460.28 	Outcome to provide:
460.29 	(1) data-centered learning opportunities on the 
460.30 	dangers of opioid use in middle and high 
460.31 	schools and communities in Minnesota;
461.1 	(2) instruction on prevention strategies, 
461.2 	assessing personal risk, and how to recognize 
461.3 	an overdose;
461.4 	(3) information on emerging drug trends 
461.5 	including but not limited to fentanyl, xylazine, 
461.6 	and pressed pills; and
461.7 	(4) access to resources, including support for 
461.8 	those struggling with substance use disorders.

461.9461.10
	Subd. 13.Guidelines for Social Media Mental 
Health Warning Labels
 					
461.11 	$45,000 in fiscal year 2026 is from the general 
461.12 	fund to develop and review guidelines for 
461.13 	social media mental health warning labels 
461.14 	under Minnesota Statutes, section 325M.335, 
461.15 	subdivision 2.

461.16
461.17	Subd. 14.Cannabis Data Collection and Biennial 
Reports
 					
461.18 	$493,000 in fiscal year 2026 and $493,000 in 
461.19 	fiscal year 2027 are from the general fund for 
461.20 	cannabis data collection and biennial reports 
461.21 	under Minnesota Statutes, section 144.196.

461.22
461.23	Subd. 15.Administration of Expungement 
Orders
 					
461.24 	$71,000 in fiscal year 2026 and $71,000 in 
461.25 	fiscal year 2027 are from the general fund for 
461.26 	the administration of expungement orders 
461.27 	under Laws 2023, chapter 63, article 9, section 
461.28 	10, subdivision 6.

461.29
461.30	Subd. 16.Grant for "Treat Yourself First" 
Campaign
 					
461.31 	$237,000 in fiscal year 2026 is from the 
461.32 	general fund for a grant to the Minnesota 
461.33 	Medical Association for the "Treat Yourself 
461.34 	First" campaign. The campaign must be an 
462.1 	awareness and education campaign focused 
462.2 	on burnout and well-being of health care 
462.3 	workers designed to:
462.4 	(1) reduce the stigma of receiving mental 
462.5 	health services;
462.6 	(2) encourage health care workers who are 
462.7 	experiencing workplace-related fatigue to 
462.8 	receive the care they need; and
462.9 	(3) normalize the process for seeking help.
462.10 	The campaign must be targeted to health care 
462.11 	professionals, including but not limited to 
462.12 	physicians, nurses, dentists, pharmacists, and 
462.13 	other members of the health care team. The 
462.14 	campaign must include resources for health 
462.15 	care professionals seeking help to address 
462.16 	burnout and well-being. This is a onetime 
462.17 	appropriation and is available until June 30, 
462.18 	2029.

462.19
462.20	Subd. 17.Emergency Preparedness and 
Response Grant Program
 					
462.21 	The general fund appropriations in this section 
462.22 	include reductions of $427,000 in fiscal year 
462.23 	2026 and $423,000 in fiscal year 2027 for the 
462.24 	emergency preparedness and response grant 
462.25 	program under Minnesota Statutes, section 
462.26 	145A.135.

462.27
462.28	Subd. 18.Federally Qualified Health Centers; 
Additional Funding
 					
462.29 	$22,986,000 in fiscal year 2026 and 
462.30 	$1,000,000 in fiscal year 2027 are from the 
462.31 	health care access fund, and $1,631,000 in 
462.32 	fiscal year 2026 is from the general fund, for 
462.33 	distribution to federally qualified health 
462.34 	centers under Minnesota Statutes, section 
463.1 	145.9269. The health care access fund 
463.2 	appropriations are available until June 30, 
463.3 	2029, and the general fund appropriation is 
463.4 	available until June 30, 2027. The health care 
463.5 	access fund base for this subdivision is 
463.6 	$6,250,000 in fiscal year 2028 and $6,250,000 
463.7 	in fiscal year 2029.

463.8	Subd. 19.Community Clinic Grants
 					
463.9 	(a) $1,100,000 in fiscal year 2026 is from the 
463.10 	health care access fund for the community 
463.11 	clinic grant program under Minnesota Statutes, 
463.12 	section 145.9268. Funds appropriated under 
463.13 	this paragraph must be awarded based on the 
463.14 	degree to which grant funds will be used to 
463.15 	support services increasing or maintaining 
463.16 	access to health services for the uninsured or 
463.17 	underinsured. The commissioner may use 
463.18 	$110,000 of this appropriation for 
463.19 	administration. This appropriation is available 
463.20 	until June 30, 2027.
463.21 	(b) The health care access fund base for this 
463.22 	subdivision is $550,000 in fiscal year 2028 
463.23 	and $550,000 in fiscal year 2029 and includes 
463.24 	$55,000 each fiscal year for administration.

463.25	Subd. 20.TANF Appropriations
 					
463.26 	TANF funds must be used as follows:
463.27 	(1) $3,579,000 in fiscal year 2026 and 
463.28 	$3,579,000 in fiscal year 2027 are from the 
463.29 	TANF fund for home visiting and nutritional 
463.30 	services listed under Minnesota Statutes, 
463.31 	section 145.882, subdivision 7, clauses (6) and 
463.32 	(7). Funds must be distributed to community 
463.33 	health boards according to Minnesota Statutes, 
463.34 	section 145A.131, subdivision 1;
464.1 	(2) $2,000,000 in fiscal year 2026 and 
464.2 	$2,000,000 in fiscal year 2027 are from the 
464.3 	TANF fund for decreasing racial and ethnic 
464.4 	disparities in infant mortality rates under 
464.5 	Minnesota Statutes, section 145.928, 
464.6 	subdivision 7;
464.7 	(3) $4,978,000 in fiscal year 2026 and 
464.8 	$4,978,000 in fiscal year 2027 are from the 
464.9 	TANF fund for the family home visiting grant 
464.10 	program under Minnesota Statutes, section 
464.11 	145A.17. Of these amounts, $4,000,000 in 
464.12 	fiscal year 2026 and $4,000,000 in fiscal year 
464.13 	2027 must be distributed to community health 
464.14 	boards under Minnesota Statutes, section 
464.15 	145A.131, subdivision 1; and $978,000 in 
464.16 	fiscal year 2026 and $978,000 in fiscal year 
464.17 	2027 must be distributed to Tribal 
464.18 	governments under Minnesota Statutes, section 
464.19 	145A.14, subdivision 2a;
464.20 	(4) $1,156,000 in fiscal year 2026 and 
464.21 	$1,156,000 in fiscal year 2027 are from the 
464.22 	TANF fund for sexual and reproductive health 
464.23 	services grants under Minnesota Statutes, 
464.24 	section 145.925; and
464.25 	(5) the commissioner may use up to 6.23 
464.26 	percent of the funds appropriated from the 
464.27 	TANF fund each fiscal year to conduct the 
464.28 	ongoing evaluations required under Minnesota 
464.29 	Statutes, section 145A.17, subdivision 7, and 
464.30 	training and technical assistance required 
464.31 	under Minnesota Statutes, section 145A.17, 
464.32 	subdivisions 4 and 5.

465.1	Subd. 21.TANF Carryforward
 					
465.2 	Any unexpended balance of the TANF 
465.3 	appropriation in the first year does not cancel 
465.4 	but is available in the second year.

465.5	Subd. 22.Base Level Adjustment
 					
465.6 	The general fund base for this section is 
465.7 	$212,628,000 in fiscal year 2028 and 
465.8 	$212,628,000 in fiscal year 2029. The health 
465.9 	care access fund base for this section is 
465.10 	$57,762,000 in fiscal year 2028 and 
465.11 	$57,762,000 in fiscal year 2029.

465.12	Sec. 4. HEALTH PROTECTION

465.13	Subdivision 1.Total Appropriation
 	$
	124,439,000
	$
	123,501,000

465.14	Appropriations by Fund
	
465.15	General
	34,198,000
	33,728,000
	
465.16
465.17	State Government 
Special Revenue
	90,241,000
	89,773,000

465.18
465.19	Subd. 2.Speech Language Pathology Assistants 
Fee Adjustment
 					
465.20 	$95,000 in fiscal year 2026 is from the general 
465.21 	fund for onetime costs incurred in fiscal year 
465.22 	2025 to implement Minnesota Statutes, 
465.23 	sections 148.511 to 148.5198.

465.24
465.25	Subd. 3.Infectious Disease Prevention, Early 
Detection, and Outbreak Response
 					
465.26 	$1,300,000 in fiscal year 2026 and $1,300,000 
465.27 	in fiscal year 2027 are from the general fund 
465.28 	for infectious disease prevention, early 
465.29 	detection, and outbreak response activities 
465.30 	under Minnesota Statutes, section 144.05, 
465.31 	subdivision 1.

466.1
466.2	Subd. 4.Collaborative Funding for State and 
Outside Partners
 					
466.3 	The general fund appropriations in this section 
466.4 	include reductions of $30,000 in fiscal year 
466.5 	2026 and $30,000 in fiscal year 2027 for 
466.6 	collaborative funding for state and outside 
466.7 	partners funded under Laws 2023, chapter 70.

466.8	Subd. 5.Asbestos Abatement
 					
466.9 	$176,000 in fiscal year 2026 and $176,000 in 
466.10 	fiscal year 2027 are from the state government 
466.11 	special revenue fund for asbestos abatement 
466.12 	under Minnesota Statutes, section 326.75.

466.13	Subd. 6.Food, Pools, and Lodging Services
 					
466.14 	$5,483,000 in fiscal year 2026 and $5,483,000 
466.15 	in fiscal year 2027 are from the state 
466.16 	government special revenue fund for food, 
466.17 	pools, and lodging services program activities 
466.18 	under Minnesota Statutes, chapters 144, 157, 
466.19 	and 327.

466.20	Subd. 7.Public Water Supply
 					
466.21 	$7,827,000 in fiscal year 2026 and $7,827,000 
466.22 	in fiscal year 2027 are from the state 
466.23 	government special revenue fund to administer 
466.24 	the drinking water protection program, 
466.25 	including implementing the Safe Drinking 
466.26 	Water Act and providing services to regulated 
466.27 	parties, partners, and the public under 
466.28 	Minnesota Statutes, sections 144.381 to 
466.29 	144.383. The base for this subdivision is 
466.30 	$8,148,000 in fiscal year 2028 and $8,148,000 
466.31 	in fiscal year 2029.

466.32	Subd. 8.Radioactive Materials
 					
466.33 	$200,000 in fiscal year 2026 and $200,000 in 
466.34 	fiscal year 2027 are from the state government 
467.1 	special revenue fund for radioactive materials 
467.2 	program activities under Minnesota Statutes, 
467.3 	section 144.1205.

467.4	Subd. 9.Ionizing Radiation
 					
467.5 	$993,000 in fiscal year 2026 and $828,000 in 
467.6 	fiscal year 2027 are from the state government 
467.7 	special revenue fund to administer new 
467.8 	regulatory activities for x-ray service 
467.9 	providers, ongoing inspections of licensed 
467.10 	facilities, and data analysis for program 
467.11 	planning and implementation under Minnesota 
467.12 	Statutes, section 144.121.

467.13	Subd. 10.Engineering Plan Reviews
 					
467.14 	$224,000 in fiscal year 2026 and $224,000 in 
467.15 	fiscal year 2027 are from the state government 
467.16 	special revenue fund to conduct engineering 
467.17 	plan reviews under Minnesota Statutes, section 
467.18 	144.554.

467.19
467.20	Subd. 11.Health Care Licensing, Certification, 
and Registration
 					
467.21 	$1,707,000 in fiscal year 2026 and $1,707,000 
467.22 	in fiscal year 2027 are from the state 
467.23 	government special revenue fund for 
467.24 	administering licensing, certification, and 
467.25 	registration fees under Minnesota Statutes, 
467.26 	chapter 144A, and Minnesota Statutes, 
467.27 	sections 144.122, 144.55, and 144.615.

467.28	Subd. 12.Assisted Living Facility Licensure
 					
467.29 	$1,555,000 in fiscal year 2026 and $1,555,000 
467.30 	in fiscal year 2027 are from the state 
467.31 	government special revenue fund for 
467.32 	administering assisted living facility licensure 
467.33 	under Minnesota Statutes, chapter 144G.

468.1
468.2	Subd. 13.Spoken Language Health Care 
Interpreter Workgroup
 					
468.3 	$186,000 in fiscal year 2026 and $49,000 in 
468.4 	fiscal year 2027 are from the state government 
468.5 	special revenue fund for the spoken language 
468.6 	health care interpreter work group. This is a 
468.7 	onetime appropriation and is available until 
468.8 	June 30, 2029.

468.9	Subd. 14.Base Level Adjustments
 					
468.10 	The general fund base for this section is 
468.11 	$33,683,000 in fiscal year 2028 and 
468.12 	$33,683,000 in fiscal year 2029. The state 
468.13 	government special revenue fund base for this 
468.14 	section is $90,056,000 in fiscal year 2028 and 
468.15 	$90,068,000 in fiscal year 2029.

468.16	Sec. 5. HEALTH OPERATIONS
 	$
	21,776,000
	$
	24,249,000

468.17	Appropriations by Fund
	
468.18	General
	20,365,000
	21,392,000
	
468.19	Health Care Access
	1,411,000
	2,857,000

468.20 	Sec. 6. TRANSFERS.
 468.21 	Positions, salary money, and nonsalary administrative money may be transferred within 
468.22 	the Department of Health as the commissioner deems necessary with the advance approval 
468.23 	of the commissioner of management and budget. The commissioner shall report to the chairs 
468.24 	and ranking minority members of the legislative committees with jurisdiction over health 
468.25 	finance quarterly about transfers made under this section.

468.26 	Sec. 7. INDIRECT COSTS NOT TO FUND PROGRAMS.
 468.27 	The commissioner of health shall not use indirect cost allocations to pay for the 
468.28 	operational costs of any program for which the commissioner is responsible.

468.29 	Sec. 8. GRANT ADMINISTRATION COSTS.
 468.30 	This article appropriates necessary administrative costs. The administrative costs retention 
468.31 	requirement under Minnesota Statutes, section 16B.98, subdivision 14, is inapplicable to 
468.32 	any appropriation in this article for a grant.

469.1 	Sec. 9. APPROPRIATIONS GIVEN EFFECT ONCE.
 469.2 	If an appropriation, cancellation, or transfer in this article is enacted more than once 
469.3 	during the 2025 first special session, the appropriation, cancellation, or transfer must be 
469.4 	given effect once.

469.5 	Sec. 10. EXPIRATION OF UNCODIFIED LANGUAGE.
 469.6 	All uncodified language contained in this article expires on June 30, 2027, unless a 
469.7 	different expiration date is explicit or an appropriation is made available after June 30, 2027.

469.8 	Sec. 11. EFFECTIVE DATE.
 469.9 	This article is effective July 1, 2025, only if 2025 First Special Session H.F. No. 1 is 
469.10 	finally enacted.

469.11 	ARTICLE 22
469.12 	DEPARTMENT OF CHILDREN, YOUTH, AND FAMILIES APPROPRIATIONS

469.13	Section 1. CHILDREN, YOUTH, AND FAMILIES APPROPRIATIONS.
 	
469.14 	The sums shown in the columns marked "Appropriations" are appropriated to the 
469.15 	commissioner of children, youth, and families for the purposes specified in this article. The 
469.16 	appropriations are from the general fund, or another named fund, and are available for the 
469.17 	fiscal years indicated for each purpose. The figures "2026" and "2027" used in this article 
469.18 	mean that the appropriations listed under them are available for the fiscal year ending June 
469.19 	30, 2026, or June 30, 2027, respectively. "The first year" is fiscal year 2026. "The second 
469.20 	year" is fiscal year 2027. "The biennium" is fiscal years 2026 and 2027.

469.21				APPROPRIATIONS
	
469.22				Available for the Year
	
469.23				Ending June 30
	
469.24					2026
		2027

469.25
469.26	Sec. 2. COMMISSIONER OF CHILDREN, 
YOUTH, AND FAMILIES
 	$
	1,380,107,000
	$
	1,408,374,000

469.27	Appropriations by Fund
	
469.28		2026
	2027
	
469.29	General
	1,078,643,000
	1,086,200,000
	
469.30
469.31	State Government 
Special Revenue
	732,000
	732,000
	
469.32	Federal TANF
	300,396,000
	321,106,000
	
469.33
469.34	Family and Medical 
Benefit Insurance
	336,000
	336,000
	
470.1 	The amounts that may be spent for each 
470.2 	purpose are specified in the following sections.

470.3	Sec. 3. TANF MAINTENANCE OF EFFORT

470.4	Subdivision 1.Nonfederal Expenditures
 					
470.5 	The commissioner shall ensure that sufficient 
470.6 	qualified nonfederal expenditures are made 
470.7 	each year to meet the state's maintenance of 
470.8 	effort requirements of the TANF block grant 
470.9 	specified under Code of Federal Regulations, 
470.10 	title 45, section 263.1. In order to meet these 
470.11 	basic TANF maintenance of effort 
470.12 	requirements, the commissioner may report 
470.13 	as TANF maintenance of effort expenditures 
470.14 	only nonfederal money expended for allowable 
470.15 	activities listed in the following clauses:
470.16 	(1) MFIP cash, diversionary work program, 
470.17 	and food assistance benefits under Minnesota 
470.18 	Statutes, chapter 142G;
470.19 	(2) the child care assistance programs under 
470.20 	Minnesota Statutes, sections 142E.04 and 
470.21 	142E.08, and county child care administrative 
470.22 	costs under Minnesota Statutes, section 
470.23 	142E.02, subdivision 9;
470.24 	(3) state and county MFIP administrative costs 
470.25 	under Minnesota Statutes, chapters 142G and 
470.26 	256K;
470.27 	(4) state, county, and Tribal MFIP 
470.28 	employment services under Minnesota 
470.29 	Statutes, chapters 142G and 256K;
470.30 	(5) expenditures made on behalf of legal 
470.31 	noncitizen MFIP recipients who qualify for 
470.32 	the MinnesotaCare program under Minnesota 
470.33 	Statutes, chapter 256L;
471.1 	(6) qualifying working family credit 
471.2 	expenditures under Minnesota Statutes, section 
471.3 	290.0671, and child tax credit expenditures 
471.4 	under Minnesota Statutes, section 290.0661;
471.5 	(7) qualifying Minnesota education credit 
471.6 	expenditures under Minnesota Statutes, section 
471.7 	290.0674; and
471.8 	(8) qualifying Head Start expenditures under 
471.9 	Minnesota Statutes, section 142D.12.

471.10	Subd. 2.Nonfederal Expenditures; Reporting
 					
471.11 	For the activities listed in subdivision 1, 
471.12 	clauses (2) to (8), the commissioner may 
471.13 	report only expenditures that are excluded 
471.14 	from the definition of assistance under Code 
471.15 	of Federal Regulations, title 45, section 
471.16 	260.31.

471.17	Subd. 3.Supplemental Expenditures
 					
471.18 	For the purposes of this section, the 
471.19 	commissioner may supplement the 
471.20 	maintenance of effort claim with working 
471.21 	family credit expenditures or other qualified 
471.22 	expenditures to the extent such expenditures 
471.23 	are otherwise available after considering the 
471.24 	expenditures allowed in this section.

471.25	Subd. 4.Reduction of Appropriations; Exception
 					
471.26 	The requirement in Minnesota Statutes, section 
471.27 	142A.06, subdivision 3, that federal grants or 
471.28 	aids secured or obtained under that subdivision 
471.29 	be used to reduce any direct appropriations 
471.30 	provided by law does not apply if the grants 
471.31 	or aids are federal TANF funds.

472.1	Subd. 5.IT Appropriations Generally
 					
472.2 	This appropriation includes funds for 
472.3 	information technology projects, services, and 
472.4 	support. Funding for information technology 
472.5 	project costs must be incorporated into the 
472.6 	service level agreement and paid to Minnesota 
472.7 	IT Services by the Department of Children, 
472.8 	Youth, and Families under the rates and 
472.9 	mechanism specified in that agreement.

472.10	Subd. 6.Receipts for Systems Project
 					
472.11 	Appropriations and federal receipts for 
472.12 	information technology systems projects for 
472.13 	MAXIS, PRISM, MMIS, ISDS, METS, and 
472.14 	SSIS must be deposited in the state systems 
472.15 	account authorized in Minnesota Statutes, 
472.16 	section 142A.04. Money appropriated for 
472.17 	information technology projects approved by 
472.18 	the commissioner of Minnesota IT Services 
472.19 	funded by the legislature, and approved by the 
472.20 	commissioner of management and budget may 
472.21 	be transferred from one project to another and 
472.22 	from development to operations as the 
472.23 	commissioner of children, youth, and families 
472.24 	considers necessary. Any unexpended balance 
472.25 	in the appropriation for these projects does not 
472.26 	cancel and is available for ongoing 
472.27 	development and operations.

472.28
472.29	Subd. 7.Federal SNAP Education and Training 
Grants
 					
472.30 	Federal funds available during fiscal years 
472.31 	2026 and 2027 for Supplemental Nutrition 
472.32 	Assistance Program Education and Training 
472.33 	and SNAP Quality Control Performance 
472.34 	Bonus grants are appropriated to the 
472.35 	commissioner of children, youth, and families 
473.1 	for the purposes allowable under the terms of 
473.2 	the federal award. This subdivision is effective 
473.3 	the day following final enactment.

473.4
473.5
473.6	Sec. 4. OPERATIONS AND 
ADMINISTRATION; AGENCY-WIDE 
SUPPORTS

473.7	Subdivision 1.Total Appropriation
 	$
	134,544,000
	$
	102,268,000

473.8	Appropriations by Fund
	
473.9		2026
	2027
	
473.10	General
	133,376,000
	101,100,000
	
473.11
473.12	State Government 
Special Revenue
	732,000
	732,000
	
473.13	Federal TANF
	100,000
	100,000
	
473.14
473.15	Family and Medical 
Benefit Insurance
	336,000
	336,000

473.16
473.17	Subd. 2.Children and Families Informational 
Technology Systems Modernization
 					
473.18 	$35,000,000 in fiscal year 2026 is from the 
473.19 	general fund for children and families 
473.20 	information technology systems 
473.21 	modernization. This is a onetime 
473.22 	appropriation.

473.23	Subd. 3.Family and Medical Benefit Insurance
 					
473.24 	$336,000 in fiscal year 2026 and $336,000 in 
473.25 	fiscal year 2027 are from the family and 
473.26 	medical benefit insurance fund for systems 
473.27 	costs to administer Minnesota Statutes, chapter 
473.28 	268B.

473.29
473.30
473.31	Sec. 5. OPERATIONS AND 
ADMINISTRATION; CHILD SAFETY AND 
PERMANENCY
 	$
	17,232,000
	$
	16,945,000

473.32
473.33	Sec. 6. OPERATIONS AND 
ADMINISTRATION; EARLY CHILDHOOD
 	$
	17,212,000
	$
	13,336,000

474.1
474.2	Subdivision 1.Child Care Attendance and 
Record-Keeping System
 					
474.3 	$5,555,000 in fiscal year 2026 and $1,639,000 
474.4 	in fiscal year 2027 are to develop a statewide 
474.5 	electronic attendance and record-keeping 
474.6 	system for the child care assistance program. 
474.7 	The system must provide the commissioner, 
474.8 	county agencies, and Tribal Nations that 
474.9 	administer the program with real-time access 
474.10 	to electronic attendance records to verify 
474.11 	children's enrollment in the program. This is 
474.12 	a onetime appropriation.

474.13	Subd. 2.Base Level Adjustment
 					
474.14 	The general fund base for this section is 
474.15 	$11,698,000 in fiscal year 2028 and 
474.16 	$11,698,000 in fiscal year 2029.

474.17
474.18
474.19	Sec. 7. OPERATIONS AND 
ADMINISTRATION; ECONOMIC 
OPPORTUNITY AND YOUTH SERVICES
 	$
	4,254,000
	$
	3,562,000
	
474.20 	$402,000 in fiscal year 2026 is to conduct the 
474.21 	scan of and prepare the out-of-school and 
474.22 	youth programming report. This is a onetime 
474.23 	appropriation.

474.24
474.25	Sec. 8. OPERATIONS AND 
ADMINISTRATION; FAMILY WELL-BEING
 	$
	14,147,000
	$
	14,147,000

474.26	Appropriations by Fund
	
474.27		2026
	2027
	
474.28	General
	10,471,000
	10,471,000
	
474.29	Federal TANF
	3,676,000
	3,676,000

474.30
474.31	Sec. 9. FORECASTED PROGRAMS; 
MFIP/DWP
 	$
	230,473,000
	$
	268,167,000

474.32	Appropriations by Fund
	
474.33		2026
	2027
	
474.34	General
	103,272,000
	120,504,000
	
474.35	Federal TANF
	127,201,000
	147,663,000

475.1
475.2	Sec. 10. FORECASTED PROGRAMS; MFIP 
CHILD CARE ASSISTANCE
 	$
	100,244,000
	$
	137,333,000

475.3
475.4	Sec. 11. FORECASTED PROGRAMS; 
NORTHSTAR CARE FOR CHILDREN
 	$
	110,214,000
	$
	116,160,000

475.5
475.6	Sec. 12. GRANT PROGRAMS; SUPPORT 
SERVICES GRANTS

475.7	Subdivision 1.Total Appropriation
 	$
	111,359,000
	$
	111,359,000

475.8	Appropriations by Fund
	
475.9		2026
	2027
	
475.10	General
	13,433,000
	13,185,000
	
475.11	Federal TANF
	97,926,000
	98,174,000

475.12	Subd. 2.Base Level Adjustment
 					
475.13 	(a) The general fund base for this section is 
475.14 	$14,908,000 in fiscal year 2028 and 
475.15 	$14,908,000 in fiscal year 2029.
475.16 	(b) The federal TANF base for this section is 
475.17 	$96,451,000 in fiscal year 2028 and 
475.18 	$96,451,000 in fiscal year 2029.

475.19
475.20
475.21	Sec. 13. GRANT PROGRAMS; BASIC 
SLIDING FEE CHILD ASSISTANCE CARE 
GRANTS
 	$
	133,959,000
	$
	131,101,000
	
475.22 	The general fund base for this section is 
475.23 	$131,118,000 in fiscal year 2028 and 
475.24 	$133,720,000 in fiscal year 2029.

475.25
475.26	Sec. 14. GRANT PROGRAMS; CHILD CARE 
DEVELOPMENT GRANTS
 	$
	139,293,000
	$
	138,819,000

475.27
475.28	Subdivision 1.Child Care Provider Technology 
Grants
 					
475.29 	$174,000 in fiscal year 2026 is from the 
475.30 	general fund for child care provider access to 
475.31 	technology grants under Minnesota Statutes, 
475.32 	section 142D.23, subdivision 3, clause (5). 
475.33 	This appropriation is available until fiscal year 
475.34 	2029.

476.1	Subd. 2.Child Care Improvement Grants
 					
476.2 	$300,000 in fiscal year 2026 is for child care 
476.3 	improvement grants under Minnesota Statutes, 
476.4 	section 142D.20, subdivision 3, paragraph (a), 
476.5 	clause (7).

476.6
476.7	Subd. 3.Great Start Compensation Support 
Payments
 					
476.8 	$129,887,000 in fiscal year 2026 and 
476.9 	$129,887,000 in fiscal year 2027 are for the 
476.10 	Great Start Compensation Support Payments 
476.11 	under Minnesota Statutes, section 142D.21.

476.12
476.13	Sec. 15. GRANT PROGRAMS; CHILD 
SUPPORT ENFORCEMENT GRANTS
 	$
	50,000
	$
	50,000

476.14
476.15	Sec. 16. GRANT PROGRAMS; CHILDREN'S 
SERVICES GRANTS
 	$
	43,204,000
	$
	43,205,000
	
476.16 	Fostering Connections to Success and 
476.17 	Increasing Adoptions Act. The commissioner 
476.18 	shall allocate funds from the state's savings 
476.19 	from the Fostering Connections to Success 
476.20 	and Increasing Adoptions Act's expanded 
476.21 	eligibility for Title IV-E adoption assistance 
476.22 	as required in Minnesota Statutes, section 
476.23 	142A.61, and as allowable under federal law. 
476.24 	Additional savings to the state as a result of 
476.25 	the Fostering Connections to Success and 
476.26 	Increasing Adoptions Act's expanded 
476.27 	eligibility for Title IV-E adoption assistance 
476.28 	is for postadoption, foster care, adoption, and 
476.29 	kinship services, including a parent-to-parent 
476.30 	support network and as allowable under 
476.31 	federal law.

476.32
476.33	Sec. 17. GRANT PROGRAMS; CHILD AND 
COMMUNITY SERVICE GRANTS
 	$
	87,984,000
	$
	87,984,000

476.34
476.35	Sec. 18. GRANT PROGRAMS; CHILD AND 
ECONOMIC SUPPORT GRANTS
 	$
	24,216,000
	$
	12,216,000

477.1	Subdivision 1.Regional Food Bank Grants
 					
477.2 	$5,000,000 in fiscal year 2026 is for regional 
477.3 	food bank grants. This is a onetime 
477.4 	appropriation and is available until June 30, 
477.5 	2027.

477.6
477.7	Subd. 2.American Indian Food Sovereignty 
Funding Program
 					
477.8 	$1,000,000 in fiscal year 2026 is for the 
477.9 	American Indian food sovereignty funding 
477.10 	program under Minnesota Statutes, section 
477.11 	142F.15. This is a onetime appropriation and 
477.12 	is available until June 30, 2027.

477.13	Subd. 3.Minnesota Food Shelf Programs
 					
477.14 	$5,000,000 in fiscal year 2026 is for food shelf 
477.15 	programs grants under Minnesota Statutes, 
477.16 	section 142F.14. This is a onetime 
477.17 	appropriation and is available until June 30, 
477.18 	2027.

477.19	Subd. 4.Prepared Meals Food Relief Grants
 					
477.20 	$1,000,000 in fiscal year 2026 is for prepared 
477.21 	meals food relief grants. This is a onetime 
477.22 	appropriation and is available until June 30, 
477.23 	2027.

477.24
477.25	Sec. 19. GRANT PROGRAMS; EARLY 
LEARNING GRANTS
 	$
	132,838,000
	$
	132,838,000

477.26
477.27	Subdivision 1.Early Childhood Literacy 
Programs
 					
477.28 	The base funding for early childhood literacy 
477.29 	programs under Minnesota Statutes, section 
477.30 	142D.12, subdivision 3, is reduced by 
477.31 	$7,950,000 in fiscal year 2026 and $7,950,000 
477.32 	in fiscal year 2027.

478.1	Subd. 2.Grants for Early Learning Scholarships
 					
478.2 	$97,290,000 in fiscal year 2026 and 
478.3 	$97,290,000 in fiscal year 2027 are from the 
478.4 	general fund for early learning scholarships 
478.5 	grants under Minnesota Statutes, section 
478.6 	142D.25.

478.7	Subd. 3.Head Start Program Grants
 					
478.8 	$34,398,000 in fiscal year 2026 and 
478.9 	$34,398,000 in fiscal year 2027 are from the 
478.10 	general fund for head start program grants 
478.11 	under Minnesota Statutes, section 142D.12.

478.12	Subd. 4.ParentChild+ Grants
 					
478.13 	$900,000 in fiscal year 2026 and $900,000 in 
478.14 	fiscal year 2027 are from the general fund for 
478.15 	a grant to ParentChild+ for a literacy and 
478.16 	school readiness program for children ages 16 
478.17 	months to four years. The program must be 
478.18 	implemented at existing ParentChild+ program 
478.19 	locations.

478.20	Subd. 5.Reach Out and Read Minnesota Grant
 					
478.21 	$250,000 in fiscal year 2026 and $250,000 in 
478.22 	fiscal year 2027 are for a grant to Reach Out 
478.23 	and Read Minnesota to establish a statewide 
478.24 	plan that encourages early childhood 
478.25 	development through a network of health care 
478.26 	clinics under Laws 2023, chapter 54, section 
478.27 	20, subdivision 20.

478.28
478.29	Sec. 20. GRANT PROGRAMS; YOUTH 
SERVICES GRANTS
 	$
	7,391,000
	$
	7,391,000

478.30
478.31	Subdivision 1.Grants-in-Aid to Youth 
Intervention Programs
 					
478.32 	$6,036,000 in fiscal year 2026 and $6,036,000 
478.33 	in fiscal year 2027 are for grants to youth 
479.1 	intervention programs under Minnesota 
479.2 	Statutes, section 142A.43, subdivision 1.

479.3
479.4	Subd. 2.Youth Intervention Programs 
Association Grant
 					
479.5 	Notwithstanding the percentage requirement 
479.6 	under Minnesota Statutes, section 142A.43, 
479.7 	subdivision 3, $355,000 in fiscal year 2026 
479.8 	and $355,000 in fiscal year 2027 are for a 
479.9 	grant to the Minnesota Youth Intervention 
479.10 	Programs Association for collaboration, 
479.11 	program development, professional 
479.12 	development training, technical assistance, 
479.13 	tracking, and analyzing and reporting outcome 
479.14 	data for the community-based grantees of the 
479.15 	program.

479.16	Subd. 3.Restorative Practices Initiatives Grants
 					
479.17 	The base funding for restorative practices 
479.18 	initiatives grants under Minnesota Statutes, 
479.19 	section 142A.76, subdivision 5, is $1,000,000 
479.20 	in fiscal year 2026 and $1,000,000 in fiscal 
479.21 	year 2027.

479.22	Sec. 21. TECHNICAL ACTIVITIES
 	$
	71,493,000
	$
	71,493,000
	
479.23 	This appropriation is from the federal TANF 
479.24 	fund.

479.25 	Sec. 22. CANCELLATIONS.
 479.26 		Subd. 2.Establishing the Department of Children, Youth, and Families. $8,500,000 
479.27 	of the fiscal year 2024 general fund appropriation in Laws 2023, chapter 70, article 20, 
479.28 	section 12, paragraph (b), is canceled to the general fund.
479.29 		Subd. 3.Social service information system technology improvements. $10,406,000 
479.30 	of the fiscal year 2024 general fund appropriation in Laws 2023, chapter 70, article 20, 
479.31 	section 2, subdivision 4, paragraph (g), is canceled to the general fund.

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

480.1 	Sec. 23. TRANSFERS.
 480.2 		Subdivision 1.Programs and grants. The commissioner of children, youth, and families, 
480.3 	with the advance approval of the commissioner of management and budget, may transfer 
480.4 	unencumbered appropriation balances for the biennium ending June 30, 2027, within fiscal 
480.5 	years among MFIP; MFIP child care assistance under Minnesota Statutes, section 142E.08; 
480.6 	the entitlement portion of Northstar Care for Children under Minnesota Statutes, sections 
480.7 	142A.60 to 142A.612; and early childhood family education under Minnesota Statutes, 
480.8 	section 142D.11, between fiscal years of the biennium. The commissioner shall inform the 
480.9 	chairs and ranking minority members of the legislative committees with jurisdiction over 
480.10 	children and families finance and policy quarterly about transfers made under this 
480.11 	subdivision.
480.12 		Subd. 2.Administration. Positions, salary money, and nonsalary administrative money 
480.13 	may be transferred within the Department of Children, Youth, and Families as the 
480.14 	commissioner deems necessary, with the advance approval of the commissioner of 
480.15 	management and budget. The commissioner shall report to the chairs and ranking minority 
480.16 	members of the legislative committees with jurisdiction over children and families finance 
480.17 	quarterly about transfers made under this subdivision.
480.18 		Subd. 3.Temporary authority for interagency transfers with Department of Human 
480.19 	Services. Beginning July 1, 2025, and until March 31, 2026, administrative money may be 
480.20 	transferred between the Department of Children, Youth, and Families and the Department 
480.21 	of Human Services or the Department of Education as the commissioners deem necessary, 
480.22 	with the advance approval of the commissioner of management and budget. The 
480.23 	commissioners shall report to the chairs and ranking minority members of the legislative 
480.24 	committees with jurisdiction over children and families finance and policy quarterly about 
480.25 	transfers made under this subdivision.

480.26 	Sec. 24. GRANT ADMINISTRATION COSTS.
 480.27 	This article appropriates necessary administrative costs. The administrative costs retention 
480.28 	requirement under Minnesota Statutes, section 16B.98, subdivision 14, is inapplicable to 
480.29 	any appropriation in this article for a grant.

480.30 	Sec. 25. EXPIRATION OF UNCODIFIED LANGUAGE.
 480.31 	All uncodified language contained in this article expires on June 30, 2027, unless a 
480.32 	different expiration date is explicit or an appropriation is made available beyond June 30, 
480.33 	2027.

481.1 	Sec. 26. APPROPRIATIONS GIVEN EFFECT ONCE.
 481.2 	If an appropriation, transfer, or cancellation in this article is enacted more than once 
481.3 	during the 2025 first special session, the appropriation, transfer, or cancellation must be 
481.4 	given effect once.

481.5 	ARTICLE 23
481.6 	OTHER AGENCY HEALTH APPROPRIATIONS

481.7	Section 1. OTHER AGENCY APPROPRIATIONS.
 	
481.8 	The sums shown in the columns marked "Appropriations" are appropriated to the agencies 
481.9 	and for the purposes specified in this article. The appropriations are from the general fund, 
481.10 	or another named fund, and are available for the fiscal years indicated for each purpose. 
481.11 	The figures "2026" and "2027" used in this article mean that the appropriations listed under 
481.12 	them are available for the fiscal year ending June 30, 2026, or June 30, 2027, respectively. 
481.13 	"The first year" is fiscal year 2026. "The second year" is fiscal year 2027. "The biennium" 
481.14 	is fiscal years 2026 and 2027.

481.15				APPROPRIATIONS
	
481.16				Available for the Year
	
481.17				Ending June 30
	
481.18					2026
		2027

481.19	Sec. 2. HEALTH-RELATED BOARDS

481.20	Subdivision 1.Total Appropriation
 	$
	34,924,000
	$
	34,805,000

481.21	Appropriations by Fund
	
481.22		2026
	2027
	
481.23	General
	937,000
	937,000
	
481.24
481.25	State Government 
Special Revenue
	33,987,000
	33,868,000
	
481.26 	These amounts are appropriated from the state 
481.27 	government special revenue fund, unless 
481.28 	specified otherwise, for the purposes specified 
481.29 	in the following subdivisions.

481.30
481.31	Subd. 2.Board of Behavioral Health and 
Therapy
 		1,289,000
		1,289,000

481.32	Subd. 3.Board of Chiropractic Examiners
 		890,000
		890,000

482.1	Subd. 4.Board of Dentistry
 		4,308,000
		4,310,000
	
482.2 	(a) Administrative services unit; operating 
482.3 	costs. Of this appropriation, $1,936,000 in 
482.4 	fiscal year 2026 and $1,936,000 in fiscal year 
482.5 	2027 are for operating costs of the 
482.6 	administrative services unit. The 
482.7 	administrative services unit may receive and 
482.8 	expend reimbursements for services it 
482.9 	performs for other agencies.
482.10 	(b) Administrative services unit; volunteer 
482.11 	health care provider program. Of this 
482.12 	appropriation, $150,000 in fiscal year 2026 
482.13 	and $150,000 in fiscal year 2027 are to pay 
482.14 	for medical professional liability coverage 
482.15 	required under Minnesota Statutes, section 
482.16 	214.40.
482.17 	(c) Administrative services unit; retirement 
482.18 	costs. Of this appropriation, $237,000 in fiscal 
482.19 	year 2026 and $237,000 in fiscal year 2027 
482.20 	are for the administrative services unit to pay 
482.21 	for the retirement costs of health-related board 
482.22 	employees. This funding may be transferred 
482.23 	to the health board incurring retirement costs. 
482.24 	Any board that has an unexpended balance for 
482.25 	an amount transferred under this paragraph 
482.26 	shall transfer the unexpended amount to the 
482.27 	administrative services unit. If the amount 
482.28 	appropriated in the first year of the biennium 
482.29 	is not sufficient, the amount from the second 
482.30 	year of the biennium is available.
482.31 	(d) Administrative services unit; contested 
482.32 	cases and other legal proceedings. Of this 
482.33 	appropriation, $200,000 in fiscal year 2026 
482.34 	and $200,000 in fiscal year 2027 are for costs 
482.35 	of contested case hearings and other 
483.1 	unanticipated costs of legal proceedings 
483.2 	involving health-related boards under this 
483.3 	section. Upon certification by a health-related 
483.4 	board to the administrative services unit that 
483.5 	unanticipated costs for legal proceedings will 
483.6 	be incurred and that available appropriations 
483.7 	are insufficient to pay for the unanticipated 
483.8 	costs for that board, the administrative services 
483.9 	unit is authorized to transfer money from this 
483.10 	appropriation to the board for payment of costs 
483.11 	for contested case hearings and other 
483.12 	unanticipated costs of legal proceedings with 
483.13 	the approval of the commissioner of 
483.14 	management and budget. The commissioner 
483.15 	of management and budget must require any 
483.16 	board that has an unexpended balance or an 
483.17 	amount transferred under this paragraph to 
483.18 	transfer the unexpended amount to the 
483.19 	administrative services unit to be deposited in 
483.20 	the state government special revenue fund.

483.21
483.22	Subd. 5.Board of Dietetics and Nutrition 
Practice
 		277,000
		277,000

483.23
483.24	Subd. 6.Board of Executives for Long-term 
Services and Supports
 		736,000
		736,000

483.25	Subd. 7.Board of Marriage and Family Therapy
 		457,000
		457,000

483.26	Subd. 8.Board of Medical Practice
 		6,196,000
		6,141,000
	
483.27 	Base Level Adjustment. The state 
483.28 	government special revenue fund base for this 
483.29 	subdivision is $6,121,000 in fiscal year 2028 
483.30 	and $6,121,000 in fiscal year 2029.

483.31	Subd. 9.Board of Nursing
 		6,275,000
		6,275,000

483.32
483.33	Subd. 10.Board of Occupational Therapy 
Practice
 		560,000
		560,000

483.34	Subd. 11.Board of Optometry
 		280,000
		280,000

483.35	Subd. 12.Board of Pharmacy

484.1	Appropriations by Fund
	
484.2	General
	937,000
	937,000
	
484.3
484.4	State Government 
Special Revenue
	6,280,000
	6,280,000
	
484.5 	Medication Repository Program. $450,000 
484.6 	in fiscal year 2026 and $450,000 in fiscal year 
484.7 	2027 are from the general fund for the 
484.8 	medication repository program to purchase 
484.9 	prescription drugs under Minnesota Statutes, 
484.10 	section 151.555, subdivision 6, paragraph (g).

484.11	Subd. 13.Board of Physical Therapy
 		789,000
		789,000

484.12	Subd. 14.Board of Podiatric Medicine
 		257,000
		257,000

484.13	Subd. 15.Board of Psychology
 		2,781,000
		2,781,000
	
484.14 	Health Professionals Services Program.
484.15 	$1,324,000 in fiscal year 2026 and $1,324,000 
484.16 	in fiscal year 2027 are for the health 
484.17 	professionals services program.

484.18	Subd. 16.Board of Social Work
 		2,068,000
		2,002,000

484.19	Subd. 17.Board of Veterinary Medicine
 		544,000
		544,000

484.20
484.21	Sec. 3. OFFICE OF EMERGENCY MEDICAL 
SERVICES
 	$
	30,122,000
	$
	9,739,000

484.22
484.23	Subdivision 1.Ambulance Operating Deficit 
Grant Program
 					
484.24 	$16,418,000 in fiscal year 2026 is for the 
484.25 	ambulance operating deficit grant program. 
484.26 	This appropriation is available until June 30, 
484.27 	2027.

484.28
484.29	Subd. 2.Rural EMS Uncompensated Care Pool 
Payment Program
 					
484.30 	$4,291,000 in fiscal year 2026 and $4,291,000 
484.31 	in fiscal year 2027 are for the rural EMS 
484.32 	uncompensated care pool payment program 
484.33 	under Minnesota Statutes, section 144E.55. 
484.34 	These appropriations are available until June 
485.1 	30, 2029. The general fund base for this 
485.2 	appropriation is $1,070,000 in fiscal year 
485.3 	2028, $1,070,000 in fiscal year 2029, 
485.4 	$3,791,000 in fiscal year 2030, and $3,791,000 
485.5 	in fiscal year 2031. The health care access 
485.6 	fund base for this appropriation is $2,721,000 
485.7 	in fiscal year 2028, $2,721,000 in fiscal year 
485.8 	2029, and $0 in fiscal year 2030. 
485.9 	Notwithstanding section 8, Minnesota Statutes, 
485.10 	section 16B.98, subdivision 14, applies to this 
485.11 	subdivision.

485.12
485.13	Subd. 3.Ambulance Service Training and 
Staffing Grant Program
 					
485.14 	$2,000,000 in fiscal year 2026 is for the 
485.15 	ambulance service training and staffing grant 
485.16 	program. This appropriation is available until 
485.17 	June 30, 2029.

485.18	Subd. 4.EMR/EMT Education Reimbursement
 					
485.19 	$400,000 in fiscal year 2026 is for EMR/EMT 
485.20 	education reimbursements under Minnesota 
485.21 	Statutes, section 144E.35. This appropriation 
485.22 	is available until June 30, 2029.

485.23	Subd. 5.Base Level Adjustments
 					
485.24 	The general fund base for this section is 
485.25 	$6,518,000 in fiscal year 2028 and $6,518,000 
485.26 	in fiscal year 2029. The health care access 
485.27 	fund base for this section is $2,721,000 in 
485.28 	fiscal year 2028 and $2,721,000 in fiscal year 
485.29 	2029.

485.30
485.31	Sec. 4. RARE DISEASE ADVISORY 
COUNCIL
 	$
	674,000
	$
	679,000

485.32	Sec. 5. BOARD OF DIRECTORS OF MNSURE
 	$
	70,000
	$
	70,000

486.1 	Sec. 6. Laws 2024, chapter 127, article 67, section 4, is amended to read:

486.2	Sec. 4. BOARD OF PHARMACY

486.3	Appropriations by Fund
	
486.4	General
	1,500,000
	-0-
	
486.5
486.6	State Government 
Special Revenue
	-0-
	27,000
	
486.7 	(a) Legal Costs. $1,500,000 in fiscal year 
486.8 	2024 is from the general fund for legal costs. 
486.9 	This is a onetime appropriation and is 
486.10 	available until June 30, 2027.
486.11 	(b) Base Level Adjustment. The state 
486.12 	government special revenue fund base is 
486.13 	increased by $27,000 in fiscal year 2026 and 
486.14 	increased by $27,000 in fiscal year 2027.

486.15 	EFFECTIVE DATE. This section is effective June 30, 2025.

486.16 	Sec. 7. TRANSFER.
 486.17 	Notwithstanding Minnesota Statutes, section 214.06, subdivision 1a, paragraph (b), the 
486.18 	commissioner of management and budget must transfer $23,000,000 in fiscal year 2026 
486.19 	from the health occupations licensing account in the state government special revenue fund 
486.20 	to the general fund. The health-related licensing boards listed in Minnesota Statutes, section 
486.21 	214.01, subdivision 2, must determine how to apportion the transfer in this section across 
486.22 	each individual board and report those amounts, to equal a total of $23,000,000, to the 
486.23 	commissioner of management and budget by May 31, 2026. This is a onetime transfer.

486.24 	Sec. 8. GRANT ADMINISTRATION COSTS.
 486.25 	This article appropriates necessary administrative costs. The administrative costs retention 
486.26 	requirement under Minnesota Statutes, section 16B.98, subdivision 14, is inapplicable to 
486.27 	any appropriation in this article for a grant.

486.28 	Sec. 9. APPROPRIATIONS GIVEN EFFECT ONCE.
 486.29 	If an appropriation, cancellation, or transfer in this article is enacted more than once 
486.30 	during the 2025 first special session, the appropriation, cancellation, or transfer must be 
486.31 	given effect once.

487.1 	Sec. 10. EXPIRATION OF UNCODIFIED LANGUAGE.
 487.2 	All uncodified language contained in this article expires June 30, 2027, unless a different 
487.3 	expiration date is explicit or an appropriation is made available after June 30, 2027.

487.4 	ARTICLE 24
487.5 	OTHER AGENCY CHILDREN APPROPRIATIONS

487.6	Section 1. OTHER AGENCY APPROPRIATIONS.
 	
487.7 	The sums shown in the columns marked "Appropriations" are appropriated to the agencies 
487.8 	and for the purposes specified in this article. The appropriations are from the general fund, 
487.9 	or another named fund, and are available for the fiscal years indicated for each purpose. 
487.10 	The figures "2026" and "2027" used in this article mean that the appropriations listed under 
487.11 	them are available for the fiscal year ending June 30, 2026, or June 30, 2027, respectively. 
487.12 	"The first year" is fiscal year 2026. "The second year" is fiscal year 2027. "The biennium" 
487.13 	is fiscal years 2026 and 2027.

487.14				APPROPRIATIONS
	
487.15				Available for the Year
	
487.16				Ending June 30
	
487.17					2026
		2027

487.18	Sec. 2. OMBUDSPERSON FOR FAMILIES
 	$
	792,000
	$
	808,000

487.19
487.20	Sec. 3. OMBUDSPERSON FOR AMERICAN 
INDIAN FAMILIES
 	$
	344,000
	$
	347,000

487.21
487.22	Sec. 4. OFFICE OF THE FOSTER YOUTH 
OMBUDSPERSON
 	$
	982,000
	$
	995,000

487.23	Subdivision 1.Base Level Adjustment
 					
487.24 	The general fund base for this section is 
487.25 	$975,000 in fiscal year 2028 and $975,000 in 
487.26 	fiscal year 2029.

487.27	Subd. 2.Cancellation
 					
487.28 	An amount estimated to be $420,000 of the 
487.29 	fiscal year 2025 general fund appropriation in 
487.30 	Laws 2023, chapter 70, article 20, section 8, 
487.31 	is canceled to the general fund.

487.32	Sec. 5. COMMISSIONER OF EDUCATION
 	$
	7,950,000
	$
	7,950,000
	
487.33 	Early Childhood Literacy Programs.
487.34 	$7,950,000 in fiscal year 2026 and $7,950,000 
488.1 	in fiscal year 2027 are for early childhood 
488.2 	literacy grants under Minnesota Statutes, 
488.3 	section 142D.12, subdivision 3.

488.4 	Sec. 6. GRANT ADMINISTRATION COSTS.
 488.5 	This article appropriates necessary administrative costs. The administrative costs retention 
488.6 	requirement under Minnesota Statutes, section 16B.98, subdivision 14, is inapplicable to 
488.7 	any appropriation in this article for a grant.

488.8 	Sec. 7. EXPIRATION OF UNCODIFIED LANGUAGE.
 488.9 	All uncodified language contained in this article expires on June 30, 2027, unless a 
488.10 	different expiration date is explicit or an appropriation is made available beyond June 30, 
488.11 	2027.

488.12 	Sec. 8. APPROPRIATIONS GIVEN EFFECT ONCE.
 488.13 	If an appropriation, transfer, or cancellation in this article is enacted more than once 
488.14 	during the 2025 first special session, the appropriation, transfer, or cancellation must be 
488.15 	given effect once.

	ARTICLE 1	DEPARTMENT OF HEALTH FINANCE........	Page.Ln 3.8	
	ARTICLE 2	DEPARTMENT OF HEALTH POLICY........	Page.Ln 74.16	
	ARTICLE 3	HEALTH LICENSING BOARDS........	Page.Ln 101.12	
	ARTICLE 4	PHARMACY BENEFITS........	Page.Ln 174.15	
	ARTICLE 5	OFFICE OF EMERGENCY MEDICAL SERVICES........	Page.Ln 193.21	
	ARTICLE 6	HEALTH POLICY........	Page.Ln 200.1	
	ARTICLE 7	MINNESOTA HEALTH AND EDUCATION FACILITIES AUTHORITY........	Page.Ln 204.3	
	ARTICLE 8	HUMAN SERVICES HEALTH CARE FINANCE........	Page.Ln 221.13	
	ARTICLE 9	ECONOMIC SUPPORTS........	Page.Ln 291.10	
	ARTICLE 10	CHILD PROTECTION AND WELFARE POLICY........	Page.Ln 295.26	
	ARTICLE 11	CHILD PROTECTION AND WELFARE FINANCE........	Page.Ln 338.20	
	ARTICLE 12	EARLY CARE AND LEARNING POLICY........	Page.Ln 351.9	
	ARTICLE 13	EARLY CARE AND LEARNING FINANCE........	Page.Ln 353.1	
	ARTICLE 14	DEPARTMENT OF CHILDREN, YOUTH, AND FAMILIES LICENSING AND CERTIFICATION POLICY........	Page.Ln 368.5	
	ARTICLE 15	BEHAVIORAL HEALTH........	Page.Ln 385.17	
	ARTICLE 16	BACKGROUND STUDIES........	Page.Ln 392.7	
	ARTICLE 17	DEPARTMENT OF HUMAN SERVICES PROGRAM INTEGRITY........	Page.Ln 410.6	
	ARTICLE 18	HOMELESSNESS, HOUSING, AND SUPPORT SERVICES........	Page.Ln 433.7	
	ARTICLE 19	MISCELLANEOUS........	Page.Ln 435.22	
	ARTICLE 20	DEPARTMENT OF HUMAN SERVICES APPROPRIATIONS........	Page.Ln 445.25	
	ARTICLE 21	DEPARTMENT OF HEALTH APPROPRIATIONS........	Page.Ln 457.17	
	ARTICLE 22	DEPARTMENT OF CHILDREN, YOUTH, AND FAMILIES APPROPRIATIONS........	Page.Ln 469.11	
	ARTICLE 23	OTHER AGENCY HEALTH APPROPRIATIONS........	Page.Ln 481.5	
	ARTICLE 24	OTHER AGENCY CHILDREN APPROPRIATIONS........	Page.Ln 487.4	

APPENDIX 

Repealed Minnesota Statutes: 25-05697 

62K.10 GEOGRAPHIC ACCESSIBILITY; PROVIDER NETWORK ADEQUACY.Subd. 3.Other health services. 
The maximum travel distance or time shall be the lesser of 60 miles or 60 minutes to the nearest provider of specialty physician services, ancillary services, specialized hospital services, and all other health services not listed in subdivision 2. 

103I.550 LIMITED PUMP, PITLESS, OR DUG WELL/DRIVE POINT CONTRACTOR.Subdivision 1.Limited pump or pitless license or certification. 
A person with a limited well/boring contractor's license or certification to install well pumps and pumping equipment; or a person with a limited well/boring contractor's license or certification to install, repair, and modify pitless units and pitless adapters, well casings above the pitless unit or pitless adapter, and well screens and well diameters, will be issued a combined license or certification to: (1) install well pumps and pumping equipment; and (2) install, repair, and modify pitless units and pitless adapters, well casings above the pitless unit or pitless adapter, well screens, and well diameters. 

Subd. 2.Limited dug well/drive point license or certification. 
A person with a limited well/boring contractor's license or certification to construct, repair, and seal drive point wells and dug wells will be issued a well contractor's license or certification. 

136A.29 POWERS; DUTIES.Subd. 4.Mutual agreement; staff, equipment, office space. 
By mutual agreement between the authority and the office, authority staff employees may also be members of the office staff. By mutual agreement, authority employees may be provided office space in the office of the Office of Higher Education, and said employees may make use of equipment, supplies, and office space, provided that the authority fully reimburses the office for salaries and for space, equipment, supplies, and materials used. In the absence of such mutual agreement between the authority and the office, the authority may maintain an office at such place or places as it may designate. 

148.108 FEES.Subd. 2.Annual renewal of inactive acupuncture registration. 
The annual renewal of an inactive acupuncture registration fee is $25. 

Subd. 3.Acupuncture reinstatement. 
The acupuncture reinstatement fee is $50. 

Subd. 4.Animal chiropractic. 
(a) Animal chiropractic registration fee is $125. 

(b) Animal chiropractic registration renewal fee is $75. 

(c) Animal chiropractic inactive renewal fee is $25. 

148.6402 DEFINITIONS.Subd. 22a.Limited license. 
"Limited license" means a license issued according to section 148.6425, subdivision 3, paragraph (c), to persons who for two years or more did not apply for a license after meeting the requirements in section 148.6408 or 148.6410 or who allowed their license to lapse for four years or more. 

148.6420 APPLICATION REQUIREMENTS.Subd. 2.Persons applying for licensure under section 148.6408 or 148.6410.  
Persons applying for licensure under section 148.6408 or 148.6410 must submit the materials required in subdivision 1 and the following: 

(1) a certificate of successful completion of the requirements in section 148.6408, subdivision 1, or 148.6410, subdivision 1; and 

(2) the applicant's test results from the examining agency, as evidence that the applicant received a qualifying score on a credentialing examination meeting the requirements of section 148.6408, subdivision 2, or 148.6410, subdivision 2. 

Subd. 3.Applicants certified by National Board for Certification in Occupational Therapy. 
An applicant who is certified by the National Board for Certification in Occupational Therapy must provide the materials required in subdivision 1 and the following: 

(1) verified documentation from the National Board for Certification in Occupational Therapy stating that the applicant is certified as an occupational therapist, registered or certified occupational therapy assistant, the date certification was granted, and the applicant's certification number. The document must also include a statement regarding disciplinary actions. The applicant is responsible for obtaining this documentation by sending a form provided by the board to the National Board for Certification in Occupational Therapy; and 

(2) a waiver authorizing the board to obtain access to the applicant's records maintained by the National Board for Certification in Occupational Therapy. 

Subd. 4.Applicants credentialed in another jurisdiction. 
In addition to providing the materials required in subdivision 1, an applicant credentialed in another jurisdiction must request that the appropriate government body in each jurisdiction in which the applicant holds or held an occupational therapy credential provide documentation to the board that verifies the applicant's credentials. Except as provided in section 148.6418, a license must not be issued until the board receives verification of each of the applicant's credentials. Each verification must include the applicant's name and date of birth, credential number and date of issuance, a statement regarding investigations pending and disciplinary actions taken or pending against the applicant, current status of the credential, and the terms under which the credential was issued. 

148.6423 LICENSURE RENEWAL.Subd. 4.License renewal cycle conversion. 
The license renewal cycle for occupational therapy licensees is converted to a two-year cycle where renewal is due on the last day of the licensee's month of birth. Conversion pursuant to this section begins January 1, 2021. This section governs license renewal procedures for licensees who were licensed before December 31, 2020. The conversion renewal cycle is the renewal cycle following the first license renewal after January 1, 2020. The conversion license period is the license period for the conversion renewal cycle. The conversion license period is between 13 and 24 months and ends on the last day of the licensee's month of birth in either 2022 or 2023, as described in subdivision 5. 

Subd. 5.Conversion of license renewal cycle for current licensees. 
For a licensee whose license is current as of December 31, 2020, the licensee's conversion license period begins on January 1, 2021, and ends on the last day of the licensee's month of birth in 2023, except that for licensees whose month of birth is January, February, March, April, May, or June, the licensee's renewal cycle ends on the last day of the licensee's month of birth in 2022. 

Subd. 7.Subsequent renewal cycles. 
After the licensee's conversion renewal cycle under subdivision 5 or 6, subsequent renewal cycles are biennial and begin on the first day of the month following the licensee's birth month. 

Subd. 8.Conversion period and fees. 
(a) A licensee who holds a license issued before January 1, 2021, and who renews that license pursuant to subdivision 5 or 6, must pay a renewal fee as required in this subdivision. 

(b) A licensee must be charged the biennial license fee listed in section 148.6445 for the conversion license period. 

(c) For a licensee whose conversion license period is 13 to 24 months, the first biennial license fee charged after the conversion license period must be adjusted to credit the excess fee payment made during the conversion license period. The credit is calculated by: 

(1) subtracting the number of months of the licensee's conversion license period from 24; and 

(2) multiplying the result of clause (1) by 1/24 of the biennial fee rounded up to the next dollar. 

(d) For a licensee whose conversion license period is 24 months, the first biennial license fee charged after the conversion license period must not be adjusted. 

(e) For the second and all subsequent license renewals made after the conversion license period, the licensee's biennial license fee is as listed in section 148.6445. 

Subd. 9.Expiration. 
Subdivisions 4, 5, 7, and 8 expire December 31, 2023. 

148.6425 RENEWAL OF LICENSURE; AFTER EXPIRATION DATE.Subd. 3.Licensure renewal four years or more after licensure expiration date. 
(a) An individual who requests licensure renewal four years or more after the licensure expiration date must submit the following: 

(1) a completed and signed application for licensure on forms provided by the board; 

(2) the renewal fee and the late fee required under section 148.6445 if renewal application is based on paragraph (b), clause (1), (2), or (3), or the renewal fee required under section 148.6445 if renewal application is based on paragraph (b), clause (4); 

(3) proof of having met the continuing education requirement in section 148.6443, subdivision 1, except the continuing education must be obtained in the two years immediately preceding application renewal; and 

(4) at the time of the next licensure renewal, proof of having met the continuing education requirement, which shall be prorated based on the number of months licensed during the two-year licensure period. 

(b) In addition to the requirements in paragraph (a), the applicant must submit proof of one of the following: 

(1) verified documentation of successful completion of 160 hours of supervised practice approved by the board as described in paragraph (c); 

(2) verified documentation of having achieved a qualifying score on the credentialing examination for occupational therapists or the credentialing examination for occupational therapy assistants administered within the past year; 

(3) documentation of having completed a combination of occupational therapy courses or an occupational therapy refresher program that contains both a theoretical and clinical component approved by the board. Only courses completed within one year preceding the date of the application or one year after the date of the application qualify for approval; or 

(4) evidence that the applicant holds a current and unrestricted credential for the practice of occupational therapy in another jurisdiction and that the applicant's credential from that jurisdiction has been held in good standing during the period of lapse. 

(c) To participate in a supervised practice as described in paragraph (b), clause (1), the applicant shall obtain limited licensure. To apply for limited licensure, the applicant shall submit the completed limited licensure application, fees, and agreement for supervision of an occupational therapist or occupational therapy assistant practicing under limited licensure signed by the supervising therapist and the applicant. The supervising occupational therapist shall state the proposed level of supervision on the supervision agreement form provided by the board. The supervising therapist shall determine the frequency and manner of supervision based on the condition of the patient or client, the complexity of the procedure, and the proficiencies of the supervised occupational therapist. At a minimum, a supervising occupational therapist shall be on the premises at all times that the person practicing under limited licensure is working; be in the room ten percent of the hours worked each week by the person practicing under limited licensure; and provide daily face-to-face collaboration for the purpose of observing service competency of the occupational therapist or occupational therapy assistant, discussing treatment procedures and each client's response to treatment, and reviewing and modifying, as necessary, each treatment plan. The supervising therapist shall document the supervision provided. The occupational therapist participating in a supervised practice is responsible for obtaining the supervision required under this paragraph and must comply with the board's requirements for supervision during the entire 160 hours of supervised practice. The supervised practice must be completed in two months and may be completed at the applicant's place of work. 

(d) In addition to the requirements in paragraphs (a) and (b), the applicant must submit additional information as requested by the board to clarify information in the application, including information to determine whether the applicant has engaged in conduct warranting disciplinary action as set forth in section 148.6448. The information must be submitted within 30 days after the board's request. 

148.6430 DELEGATION OF DUTIES; ASSIGNMENT OF TASKS.
The occupational therapist is responsible for all duties delegated to the occupational therapy assistant or tasks assigned to direct service personnel. The occupational therapist may delegate to an occupational therapy assistant those portions of a client's evaluation, reevaluation, and intervention that, according to prevailing national practice standards, can be performed by an occupational therapy assistant. The occupational therapist may not delegate portions of an evaluation or reevaluation of a person whose condition is changing rapidly. 

148.6445 FEES.Subd. 5.Limited licensure fee. 
The fee for limited licensure is $100. 

Subd. 6.Fee for course approval after lapse of licensure. 
The fee for course approval after lapse of licensure is $100. 

Subd. 8.Verification to institutions. 
The fee for verification of licensure to institutions is $10. 

156.015 FEES.Subdivision 1.Verification of licensure. 
The board may charge a fee of $25 per license verification to a licensee for verification of licensure status provided to other veterinary licensing boards. 

256B.0625 COVERED SERVICES.Subd. 18b.Broker dispatching prohibition. 
Except for establishing level of service process, the commissioner shall not use a broker or coordinator for any purpose related to nonemergency medical transportation services under subdivision 18. 

Subd. 18e.Single administrative structure and delivery system. 
 The commissioner, in coordination with the commissioner of transportation, shall implement a single administrative structure and delivery system for nonemergency medical transportation, beginning the latter of the date the single administrative assessment tool required in this subdivision is available for use, as determined by the commissioner or by July 1, 2016. 

In coordination with the Department of Transportation, the commissioner shall develop and authorize a web-based single administrative structure and assessment tool, which must operate 24 hours a day, seven days a week, to facilitate the enrollee assessment process for nonemergency medical transportation services. The web-based tool shall facilitate the transportation eligibility determination process initiated by clients and client advocates; shall include an accessible automated intake and assessment process and real-time identification of level of service eligibility; and shall authorize an appropriate and auditable mode of transportation authorization. The tool shall provide a single framework for reconciling trip information with claiming and collecting complaints regarding inappropriate level of need determinations, inappropriate transportation modes utilized, and interference with accessing nonemergency medical transportation. The web-based single administrative structure shall operate on a trial basis for one year from implementation and, if approved by the commissioner, shall be permanent thereafter. 

Subd. 18h.Nonemergency medical transportation provisions related to managed care. 
(a) The following nonemergency medical transportation (NEMT) subdivisions apply to managed care plans and county-based purchasing plans: 

(1) subdivision 17, paragraphs (a), (b), (i), and (n); 

(2) subdivision 18; and 

(3) subdivision 18a. 

(b) A nonemergency medical transportation provider must comply with the operating standards for special transportation service specified in sections 174.29 to 174.30 and Minnesota Rules, chapter 8840. Publicly operated transit systems, volunteers, and not-for-hire vehicles are exempt from the requirements in this paragraph. 

(c) Managed care plans and county-based purchasing plans must provide a fuel adjustment for NEMT rates when fuel exceeds $3 per gallon. If, for any contract year, federal approval is not received for this paragraph, the commissioner must adjust the capitation rates paid to managed care plans and county-based purchasing plans for that contract year to reflect the removal of this provision. Contracts between managed care plans and county-based purchasing plans and providers to whom this paragraph applies must allow recovery of payments from those providers if capitation rates are adjusted in accordance with this paragraph. Payment recoveries must not exceed the amount equal to any increase in rates that results from this paragraph. This paragraph expires if federal approval is not received for this paragraph at any time. 

Subd. 38. Payments for mental health services. 
Payments for mental health services covered under the medical assistance program that are provided by masters-prepared mental health professionals shall be 80 percent of the rate paid to doctoral-prepared professionals. Payments for mental health services covered under the medical assistance program that are provided by masters-prepared mental health professionals employed by community mental health centers shall be 100 percent of the rate paid to doctoral-prepared professionals. Payments for mental health services covered under the medical assistance program that are provided by physician assistants shall be 80.4 percent of the base rate paid to psychiatrists. 

Repealed Minnesota Session Laws: 25-05697 

Laws 2023, chapter 70, article 16, section 22
Sec. 22. WAIVER SUBMITTAL. 
(a) The commissioner of commerce is authorized to perform the steps necessary to submit a 1332 waiver application, including but not limited to submitting the waiver application and all other steps necessary to complete the waiver application process, based on the final recommendation of the commissioner of commerce under section 21 if the legislature does not enact a law by June 1, 2024, modifying the:  

(1) recommendation under section 21; or  

(2) commissioner of commerce's authority under this section.  

(b) Upon receipt of a federal waiver and the enactment of any necessary legislation, the commissioner of commerce shall implement a public option to be made available to consumers beginning January 1, 2027. 

(c) In implementing this section, the commissioner of commerce shall consult with the commissioners of human services and health and the Board of Directors of MNsure. 

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

2500.1150FEES. 
The fees charged by the board are fixed at the following rates: 

A.
 peer review fee to be paid by a requesting doctor or by a requesting insurance company, $100; 

B.
 licensing examination regrade fee, $30; 

C.
 copy of a board order or stipulation fee, $10 each; 

D.
 certificate of good standing or licensure verification to other states, $10 each; 

E.
 duplicate of the original license or of an annual renewal, $10; 

F.
 miscellaneous copying fee, 25 cents per page; 

G.
 independent medical examination registration fee, $150; 

H.
 independent examination annual renewal fee, $100; 

I.
 incorporation renewal late charge, $5 per month; 

J.
 computer lists, $100; and 

K.
 computer printed labels, $150. 

2500.2030ANNUAL RENEWAL OF INACTIVE LICENSE. 
The annual renewal fee for an inactive license is 75 percent of the current fee imposed by the board for license renewal. 

4695.2900APPLICATION FEES. 
Fees to be submitted with initial or renewal applications shall be as follows: 

A.
 Initial application fee, $45 plus examination fees. 

B.
 Biennial renewal application fee, $45. 

C.
 Penalty for late submission of renewal application, $10, if not renewed by designated renewal date. 

6800.5100DEFINITIONS. Subp. 5.Pharmacist-intern; intern.  
"Pharmacist-intern" and "intern" mean: 

A.
 a natural person satisfactorily progressing toward the degree in pharmacy required for licensure; 

B.
 a graduate of the University of Minnesota College of Pharmacy, or other pharmacy college approved by the board, who is registered by the Board of Pharmacy for the purpose of obtaining practical experience as a requirement for licensure as a pharmacist; 

C.
 a qualified applicant awaiting examination for licensure; or 

D.
 a participant in a residency or fellowship program, not licensed to practice pharmacy in the state of Minnesota, who is a licensed pharmacist in another state or who is a graduate of the University of Minnesota College of Pharmacy or another pharmacy college approved by the board. 

6800.5400TRAINING. Subp. 5.Competencies.  
Upon registration, interns and preceptors will be furnished a copy of the board's internship manual, which lists the minimum competencies that should be the focus of internship training. The competencies are furnished to suggest appropriate types and order of training experience and shall be used to ensure that the intern's practical experiences are commensurate with the intern's educational level, and broad in scope. 

Subp. 6.Evidence of completion.  
Applicants for licensure as pharmacists who are examined and licensed after September 17, 1973, shall submit evidence that they have successfully completed not less than 1,500 hours of internship under the instruction and supervision of a preceptor. Effective May 1, 2003, candidates for licensure shall submit evidence that they have successfully completed not less than 1,600 hours of internship under the direction and supervision of a preceptor. Credit for internship shall be granted only to registered interns who have completed the third year of the five-year or six-year pharmacy curriculum, provided, however, that: 

A.
 no more than 400 hours of concurrent time internship will be granted to an intern; and 

B.
 800 hours of internship credit may be acquired through experiential education program experiences that do not have as their focus traditional compounding, dispensing, and related patient counseling activities. The remaining 800 hours of the 1,600 hour total requirement must focus on traditional compounding, dispensing, and related patient counseling activities. 

6900.0250FEES. Subpart 1.Amounts.  
The amount of fees may be set by the board with the approval of the Department of Management and Budget up to the limits provided in this subpart depending upon the total amount required to sustain board operations under Minnesota Statutes, section 16A.1285, subdivision 2. Information about fees in effect at any time is available from the board office. The maximum amount of fees are: 

A.
 application for licensure, $600; 

B.
 renewal license, $600; 

C.
 late renewal fee, $100; 

D.
 temporary permit, $250; 

E.
 duplicate license or duplicate renewal certificate, $10; 

F.
 reinstatement, $650; 

G.
 exam administration to persons who have not applied for a license or permit, $50; 

H.
 fee for verification of licensure, $30; and 

I.
 miscellaneous fee: 

(1)
 labels, $25; 

(2)
 list of licensees, $25; and 

(3)
 copies, 25 cents per page. 

Subp. 2.Requirements.  
Fees must be paid in United States money and are not refundable. 

9100.0400APPLICATION AND EXAMINATION FEES FOR LICENSURE TO PRACTICE VETERINARY MEDICINE. Subpart 1.Application fee. A.
 A person applying for a license to practice veterinary medicine in Minnesota or applying for a permit to take the national veterinary medical examination must pay a $50 nonrefundable application fee to the board. Persons submitting concurrent applications for licensure and a national examination permit shall pay only one application fee. 

B.
 The application fee received supports only the application with which the fee was submitted. A person who applies more than once must submit the full application fee with each subsequent application. 

Subp. 3.Examination fees. A.
 All applicants for veterinary licensure in Minnesota must successfully pass the Minnesota Veterinary Jurisprudence Examination. The fee for this examination is $50, payable to the board. 

B.
 An applicant participating in the national veterinary licensing examination must complete a separate application for the national examination and submit the application to the board for approval. Payment for the national examination must be made by the applicant to the national board examination committee after the application for examination has been approved by the board. 

9100.0500INITIAL AND RENEWAL FEE. Subpart 1.Required for licensure.  
Each person now licensed to practice veterinary medicine in this state, or who becomes licensed by the Board of Veterinary Medicine to engage in the practice, shall pay an initial fee or a biennial license renewal fee if the person wishes to practice veterinary medicine in the coming two-year period or remain licensed as a veterinarian. A licensure period begins on March 1 and expires the last day of February two years later. A licensee with an even-numbered license shall renew by March 1 of even-numbered years and a licensee with an odd-numbered license shall renew by March 1 of odd-numbered years. For 1996 license renewals, licensees with an even-numbered license shall renew for two years. Licensees with an odd-numbered license shall renew for one year and commence renewal for a two-year period in 1997. 

Subp. 2.Amount.  
The initial licensure fee and the biennial renewal fee is $200 and must be paid to the executive director of the board on or before March 1 of the first year of the biennial license period. By January 1 of the first year for which the biennial renewal fee is due, the board shall issue a renewal application to each current licensee to the last address maintained in the board file. Failure to receive this notice does not relieve the licensee of the obligation to pay renewal fees so that they are received by the board on or before the renewal date of March 1. 

Initial licenses issued after the start of the licensure renewal period are valid only until the end of the period. 

Subp. 3.Date due.  
A licensee must apply for a renewal license on or before March 1 of the first year of the biennial license renewal period. A renewal license is valid from March 1 through the last day of February of the last year of the two-year license renewal period. An application postmarked no later than the last day of February must be considered to have been received on March 1. 

Subp. 4.Late renewal penalty.  
An applicant for renewal must pay a late renewal penalty of $100 in addition to the renewal fee if the application for renewal is received after March 1 of the licensure renewal period. A renewed license issued after March 1 of the licensure renewal period is valid only to the end of the period regardless of when the renewal fee is received. 

Subp. 4a.Reinstatement fee.  
An applicant for license renewal whose license has previously been suspended by official board action for nonrenewal must pay a reinstatement fee of $50 in addition to the $200 renewal fee and the $100 late renewal penalty. 

Subp. 5.Penalty for failure to pay.  
Within 30 days after the renewal date, a licensee who has not renewed the license must be notified by letter sent to the last known address of the licensee in the file of the board that the renewal is overdue and that failure to pay the current fee and current late fee within 60 days after the renewal date will result in suspension of the license. A second notice must be sent by registered or certified mail at least seven days before a board meeting occurring 60 days or more after the renewal date to each licensee who has not paid the renewal fee and late fee. 

Subp. 6.Suspension.  
The board, by means of a roll call vote, shall suspend the license of a licensee whose license renewal is at least 60 days overdue and to whom notification has been sent as provided in subpart 5. Failure of a licensee to receive notification is not grounds for later challenge by the licensee of the suspension. The former licensee must be notified by registered or certified letter within seven days of the board action. The suspended status placed on a license may be removed only on payment of renewal fees and late penalty fees for each licensure period or part of a period that the license was not renewed. A licensee who fails to renew a license for five years or more must meet the criteria of Minnesota Statutes, section 156.071, for relicensure. 

Subp. 7.Inactive license.  
A person holding a current unrestricted license to practice veterinary medicine in Minnesota may, at the time of the person's next biennial license renewal date, renew the license as an inactive license at one-half the renewal fee of an unrestricted license. The license may be continued in an inactive status by renewal on a biennial basis at one-half the regular license fee. 

A.
 A person holding an inactive license is not permitted to practice veterinary medicine in Minnesota and remains under the disciplinary authority of the board. 

B.
 A person may convert a current inactive license to an unrestricted license upon application to and approval by the board. The application must include: 

(1)
 documentation of licensure in good standing and of having met continuing education requirements of current state of practice, or documentation of having met Minnesota continuing education requirements retroactive to the date of licensure inactivation; 

(2)
 certification by the applicant that the applicant is not currently under disciplinary orders or investigation for acts that could result in disciplinary action in any other jurisdiction; and 

(3)
 payment of a fee equal to the full difference between an inactive and unrestricted license if converting during the first year of the biennial license cycle or payment of a fee equal to one-half the difference between an inactive and an unrestricted license if converting during the second year of the license cycle. 

C.
 Deadline for renewal of an inactive license is March 1 of the first year of the biennial license renewal period. A late renewal penalty of one-half the inactive renewal fee must be paid if renewal is received after March 1. 

9100.0600MISCELLANEOUS FEES. Subpart 1.Temporary license fee.  
A person meeting the requirements for issuance of a temporary permit to practice veterinary medicine under Minnesota Statutes, section 156.072, subdivision 5, pending examination, who desires a temporary permit shall pay a fee of $50 to the board. 

Subp. 2.Duplicate license.  
A person requesting issuance of a duplicate or replacement license shall pay a fee of $10 to the board. 

9503.0030QUALIFICATIONS OF APPLICANT AND STAFF. Subpart 1.Definitions.  B.
 "Education" means accredited course work from an accredited postsecondary institution in child development; children with special needs; early childhood education methods or theory; curriculum planning; child study techniques; family studies; child psychology; parent involvement; behavior guidance; child nutrition; child health and safety; early childhood special education methods or theory; child abuse and neglect prevention; recreational sports, arts, and crafts methods or theory; or coordination of community and school activities. "Education," as specified on the charts in parts 9503.0032 and 9503.0033, is in addition to the credential specified in column A unless the course work has been completed as part of the credential.