HF 4892
Introduction - 94th Legislature (2025 - 2026)
Posted on 04/09/2026 02:49 p.m.
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A bill for an act
relating to health; establishing uncompensated care relief programs; authorizing
rulemaking; appropriating money; amending Laws 2025, First Special Session
chapter 3, article 23, section 3, subdivision 2; proposing coding for new law in
Minnesota Statutes, chapter 144.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
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[144.5911] HOSPITAL UNCOMPENSATED CARE RELIEF PROGRAM.
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new text begin Subdivision 1. new text end
new text begin Establishment. new text end
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The commissioner of health must establish a hospital
uncompensated care relief program to provide financial relief to hospitals that experience
a disproportionate level of uncompensated care.
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new text begin Subd. 2. new text end
new text begin Definitions. new text end
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(a) For purposes of this section, the following terms have the
meanings given.
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(b) "Commissioner" means the commissioner of health.
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(c) "Qualifying hospital" means a hospital:
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(1) licensed under section 144.50;
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(2) located within the state; and
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(3) that has filed a Medicare cost report in the Healthcare Cost Report Information
System.
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(d) "Qualifying uncompensated episode of care" means the provision by a qualifying
hospital of one or more services that are covered under medical assistance to an individual
during a single patient encounter or episode of care when the:
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(1) individual is not enrolled in medical assistance, MinnesotaCare, or Medicare and
does not have other health coverage;
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(2) individual is determined to be ineligible for medical assistance and MinnesotaCare
for the date of service following any retroactive eligibility determination; and
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(3) total cumulative reimbursement amount for the services provided, if paid under
medical assistance payment methodologies, would be at least $5,000 but not more than
$50,000.
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new text begin Subd. 3. new text end
new text begin Application for payments. new text end
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(a) A qualifying hospital seeking payment under
this section must submit to the commissioner documentation identifying qualifying
uncompensated episodes of care within a reporting period.
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(b) The reporting periods are:
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(1) January 1 through June 30; and
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(2) July 1 through December 31.
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(c) For services provided during the January 1 through June 30 reporting period, a
qualifying hospital must submit the required documentation to the commissioner by
September 15 of the same calendar year.
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(d) For services provided during the July 1 through December 31 reporting period, a
qualifying hospital must submit the required documentation to the commissioner by March
15 of the next calendar year.
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(e) Qualifying hospitals must submit documentation in a form and manner specified by
the commissioner and must provide supporting documentation as requested by the
commissioner.
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new text begin Subd. 4. new text end
new text begin Calculation of payments. new text end
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(a) For each reporting period, the commissioner
must determine each qualifying hospital's share of the total value of qualifying
uncompensated episodes of care submitted under subdivision 3.
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(b) The commissioner must distribute payments proportionally based on each qualifying
hospital's share of the statewide total.
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(c) A qualifying hospital must not receive more than ten percent of the money available
for a reporting period.
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(d) If money remains after the payment limitation in paragraph (c), the commissioner
must redistribute the remaining money among qualifying hospitals that have not reached
the limit in paragraph (c) in proportion to their share of the value of qualifying
uncompensated episodes of care.
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(e) The commissioner may establish procedures by rulemaking to reconcile adjustments,
corrected claims, or late submissions in a subsequent reporting period.
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new text begin Subd. 5. new text end
new text begin Distribution of payments. new text end
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(a) One half of the annual appropriation for this
program must be allocated to each reporting period.
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(b) For the January 1 through June 30 reporting period, the commissioner must distribute
payments no later than November 1 of the same calendar year.
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(c) For the July 1 through December 31 reporting period, the commissioner must
distribute payments no later than May 1 of the next calendar year.
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Sec. 2.
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[144.5912] COMMUNITY-BASED SAFETY NET PROVIDER
UNCOMPENSATED CARE RELIEF PROGRAM.
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new text begin Subdivision 1. new text end
new text begin Establishment. new text end
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The commissioner of health must establish a
community-based safety net provider uncompensated care relief program to provide financial
relief to community-based safety net providers that experience a disproportionate level of
uncompensated care.
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new text begin Subd. 2. new text end
new text begin Definitions. new text end
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(a) For purposes of this section, the following terms have the
meanings given.
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(b) "Commissioner" means the commissioner of health.
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(c) "Qualifying community-based safety net provider" means a:
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(1) federally qualified health center under section 145.9269, subdivision 1;
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(2) certified community behavioral health clinic under section 245.735; or
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(3) community mental health center under section 256B.0625, subdivision 5.
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(d) "Qualifying uncompensated episode of care" means the provision by a qualifying
community-based safety net provider of one or more services that are covered under medical
assistance to an individual during a single patient encounter or episode of care when the:
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(1) individual is not enrolled in medical assistance, MinnesotaCare, or Medicare and
does not have other health coverage;
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(2) individual is determined to be ineligible for medical assistance and MinnesotaCare
for the date of service following any retroactive eligibility determination; and
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(3) total cumulative reimbursement amount for the services provided, if paid under
medical assistance payment methodologies, would be at least $200 but not more than $2,000.
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new text begin Subd. 3. new text end
new text begin Application for payments. new text end
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(a) A qualifying community-based safety net
provider seeking payment under this section must submit to the commissioner documentation
identifying qualifying uncompensated episodes of care within the reporting period.
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(b) The reporting periods are:
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(1) January 1 through June 30; and
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(2) July 1 through December 31.
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(c) For services provided during the January 1 through June 30 reporting period, a
qualifying community-based safety net provider must submit the required documentation
to the commissioner by September 15 of the same calendar year.
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(d) For services provided during the July 1 through December 31 reporting period, a
qualifying community-based safety net provider must submit the required documentation
to the commissioner by March 15 of the next calendar year.
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(e) Qualifying community-based safety net providers must submit documentation in a
form and manner specified by the commissioner and must provide supporting documentation
as requested by the commissioner.
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new text begin Subd. 4. new text end
new text begin Calculation of payments. new text end
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(a) For each reporting period, the commissioner
must determine each qualifying community-based safety net provider's share of the total
value of qualifying uncompensated episodes of care submitted under subdivision 3.
new text end
new text begin
(b) The commissioner must distribute payments proportionally based on each qualifying
community-based safety net provider's share of the statewide total.
new text end
new text begin
(c) A qualifying community-based safety net provider must not receive more than ten
percent of the money available for a reporting period.
new text end
new text begin
(d) If money remains after the payment limitation in paragraph (c), the commissioner
must redistribute the remaining money among qualifying community-based safety net
providers that have not reached the limit in paragraph (c) in proportion to the
community-based safety net provider's share of the value of qualifying uncompensated
episodes of care.
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(e) The commissioner may establish procedures by rulemaking to reconcile adjustments,
corrected claims, or late submissions in a subsequent reporting period.
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new text begin Subd. 5. new text end
new text begin Distribution of payments. new text end
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(a) One half of the annual appropriation for this
program must be allocated to each reporting period.
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(b) For the January 1 through June 30 reporting period, the commissioner must distribute
payments no later than November 1 of the same calendar year.
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(c) For the July 1 through December 31 reporting period, the commissioner must
distribute payments no later than May 1 of the next calendar year.
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Sec. 3.
Laws 2025, First Special Session chapter 3, article 23, section 3, subdivision 2, is
amended to read:
Subd. 2.Rural EMS Uncompensated Care Pool
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$4,291,000 in fiscal year 2026 and deleted text begin $4,291,000deleted text end new text begin
$.......new text end in fiscal year 2027 are for the rural EMS
uncompensated care pool payment program
under Minnesota Statutes, section 144E.55.
These appropriations are available until June
30, 2029. The general fund base for this
appropriation is $1,070,000 in fiscal year
2028, $1,070,000 in fiscal year 2029,
$3,791,000 in fiscal year 2030, and $3,791,000
in fiscal year 2031. The health care access
fund base for this appropriation is $2,721,000
in fiscal year 2028, $2,721,000 in fiscal year
2029, and $0 in fiscal year 2030.
Notwithstanding section 8, Minnesota Statutes,
section 16B.98, subdivision 14, applies to this
subdivision.
Sec. 4. new text begin APPROPRIATIONS.
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(a) $....... is appropriated in fiscal year 2027 from the general fund to the commissioner
of health for the hospital uncompensated care relief program under section 144.5911.
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(b) $....... is appropriated in fiscal year 2027 from the general fund to the commissioner
of health for the community-based safety net provider uncompensated care relief program
under section 144.5912.
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