1.1 	A bill for an act
1.2 	relating to human services; modifying medical assistance provider enrollment 
1.3 	requirements for high-risk providers and certain home and community-based 
1.4 	providers; making technical corrections; requiring compliance training for high-risk 
1.5 	medical assistance providers; requiring disclosure of the use of consultants to 
1.6 	prepare certain license applications; requiring commissioner of human services to 
1.7 	release unredacted initial Optum reports;amending Minnesota Statutes 2024, 
1.8 	sections 142B.01, subdivision 8; 245A.02, subdivision 5a; 245D.081, subdivision 
1.9 	3; 256B.073, subdivision 2; 256B.0949, subdivision 17; 256B.4912, subdivisions 
1.10 	12, 14, 15, by adding a subdivision; Minnesota Statutes 2025 Supplement, sections 
1.11 	245A.04, subdivisions 1, 7; 245A.05; 256B.04, subdivision 21; 256B.051, 
1.12 	subdivision 6; 256B.0701, subdivision 9; 256B.0759, subdivision 4; 256B.0949, 
1.13 	subdivision 16; 256B.4912, subdivision 1; proposing coding for new law in 
1.14 	Minnesota Statutes, chapter 256B; repealing Minnesota Statutes 2025 Supplement, 
1.15 	sections 256B.051, subdivision 6b; 256B.0701, subdivision 11.
1.16 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.17 	Section 1. Minnesota Statutes 2024, section 142B.01, subdivision 8, is amended to read:
1.18 		Subd. 8.Controlling individual. (a) "Controlling individual" means an owner of a 
1.19 	program or service provider licensed under this chapter and the following individuals, if 
1.20 	applicable:
1.21 	(1) each officer of the organization, including the chief executive officer and chief 
1.22 	financial officer;
1.23 	(2) the individual designated as the authorized agent under section 142B.10, subdivision 
1.24 	1, paragraph (b);
1.25 	(3) the individual designated as the compliance officer under section 256B.04, subdivision 
1.26 	21, paragraph (g) 256B.044, subdivision 7, paragraph (b);
2.1 	(4) each managerial official whose responsibilities include the direction of the 
2.2 	management or policies of a program;
2.3 	(5) the individual designated as the primary provider of care for a special family child 
2.4 	care program under section 142B.41, subdivision 4, paragraph (d); and
2.5 	(6) the president and treasurer of the board of directors of a nonprofit corporation.
2.6 	(b) Controlling individual does not include:
2.7 	(1) a bank, savings bank, trust company, savings association, credit union, industrial 
2.8 	loan and thrift company, investment banking firm, or insurance company unless the entity 
2.9 	operates a program directly or through a subsidiary;
2.10 	(2) an individual who is a state or federal official, or state or federal employee, or a 
2.11 	member or employee of the governing body of a political subdivision of the state or federal 
2.12 	government that operates one or more programs, unless the individual is also an officer, 
2.13 	owner, or managerial official of the program; receives remuneration from the program; or 
2.14 	owns any of the beneficial interests not excluded in this subdivision;
2.15 	(3) an individual who owns less than five percent of the outstanding common shares of 
2.16 	a corporation:
2.17 	(i) whose securities are exempt under section 80A.45, clause (6); or
2.18 	(ii) whose transactions are exempt under section 80A.46, clause (2);
2.19 	(4) an individual who is a member of an organization exempt from taxation under section 
2.20 	290.05, unless the individual is also an officer, owner, or managerial official of the program 
2.21 	or owns any of the beneficial interests not excluded in this subdivision. This clause does 
2.22 	not exclude from the definition of controlling individual an organization that is exempt from 
2.23 	taxation; or
2.24 	(5) an employee stock ownership plan trust, or a participant or board member of an 
2.25 	employee stock ownership plan, unless the participant or board member is a controlling 
2.26 	individual according to paragraph (a).
2.27 	(c) For purposes of this subdivision, "managerial official" means an individual who has 
2.28 	the decision-making authority related to the operation of the program, and the responsibility 
2.29 	for the ongoing management of or direction of the policies, services, or employees of the 
2.30 	program. A site director who has no ownership interest in the program is not considered to 
2.31 	be a managerial official for purposes of this definition.

3.1 	Sec. 2. Minnesota Statutes 2024, section 245A.02, subdivision 5a, is amended to read:
3.2 		Subd. 5a.Controlling individual. (a) "Controlling individual" means an owner of a 
3.3 	program or service provider licensed under this chapter and the following individuals, if 
3.4 	applicable:
3.5 	(1) each officer of the organization, including the chief executive officer and chief 
3.6 	financial officer;
3.7 	(2) the individual designated as the authorized agent under section 245A.04, subdivision 
3.8 	1, paragraph (b);
3.9 	(3) the individual designated as the compliance officer under section 256B.04, subdivision 
3.10 	21, paragraph (g) 256B.044, subdivision 7, paragraph (b);
3.11 	(4) each managerial official whose responsibilities include the direction of the 
3.12 	management or policies of a program; and
3.13 	(5) the president and treasurer of the board of directors of a nonprofit corporation.
3.14 	(b) Controlling individual does not include:
3.15 	(1) a bank, savings bank, trust company, savings association, credit union, industrial 
3.16 	loan and thrift company, investment banking firm, or insurance company unless the entity 
3.17 	operates a program directly or through a subsidiary;
3.18 	(2) an individual who is a state or federal official, or state or federal employee, or a 
3.19 	member or employee of the governing body of a political subdivision of the state or federal 
3.20 	government that operates one or more programs, unless the individual is also an officer, 
3.21 	owner, or managerial official of the program, receives remuneration from the program, or 
3.22 	owns any of the beneficial interests not excluded in this subdivision;
3.23 	(3) an individual who owns less than five percent of the outstanding common shares of 
3.24 	a corporation:
3.25 	(i) whose securities are exempt under section 80A.45, clause (6); or
3.26 	(ii) whose transactions are exempt under section 80A.46, clause (2);
3.27 	(4) an individual who is a member of an organization exempt from taxation under section 
3.28 	290.05, unless the individual is also an officer, owner, or managerial official of the program 
3.29 	or owns any of the beneficial interests not excluded in this subdivision. This clause does 
3.30 	not exclude from the definition of controlling individual an organization that is exempt from 
3.31 	taxation; or
4.1 	(5) an employee stock ownership plan trust, or a participant or board member of an 
4.2 	employee stock ownership plan, unless the participant or board member is a controlling 
4.3 	individual according to paragraph (a).
4.4 	(c) For purposes of this subdivision, "managerial official" means an individual who has 
4.5 	the decision-making authority related to the operation of the program, and the responsibility 
4.6 	for the ongoing management of or direction of the policies, services, or employees of the 
4.7 	program. A site director who has no ownership interest in the program is not considered to 
4.8 	be a managerial official for purposes of this definition.

4.9 	Sec. 3. Minnesota Statutes 2025 Supplement, section 245A.04, subdivision 1, is amended 
4.10 	to read:
4.11 		Subdivision 1.Application for licensure. (a) An individual, organization, or government 
4.12 	entity that is subject to licensure under section 245A.03 must apply for a license. The 
4.13 	application must be made on the forms and in the manner prescribed by the commissioner. 
4.14 	The commissioner shall provide the applicant with instruction in completing the application 
4.15 	and provide information about the rules and requirements of other state agencies that affect 
4.16 	the applicant. An applicant seeking licensure in Minnesota with headquarters outside of 
4.17 	Minnesota must have a program office located within 30 miles of the Minnesota border. 
4.18 	An applicant who intends to buy or otherwise acquire a program or services licensed under 
4.19 	this chapter that is owned by another license holder must apply for a license under this 
4.20 	chapter and comply with the application procedures in this section and section 245A.043.
4.21 	The commissioner shall act on the application within 90 working days after a complete 
4.22 	application and any required reports have been received from other state agencies or 
4.23 	departments, counties, municipalities, or other political subdivisions. The commissioner 
4.24 	shall not consider an application to be complete until the commissioner receives all of the 
4.25 	required information. If the applicant or a controlling individual is the subject of a pending 
4.26 	administrative, civil, or criminal investigation, the application is not complete until the 
4.27 	investigation has closed or the related legal proceedings are complete.
4.28 	When the commissioner receives an application for initial licensure that is incomplete 
4.29 	because the applicant failed to submit required documents or that is substantially deficient 
4.30 	because the documents submitted do not meet licensing requirements, the commissioner 
4.31 	shall provide the applicant written notice that the application is incomplete or substantially 
4.32 	deficient. In the written notice to the applicant the commissioner shall identify documents 
4.33 	that are missing or deficient and give the applicant 45 days to resubmit a second application 
4.34 	that is substantially complete. An applicant's failure to submit a substantially complete 
5.1 	application after receiving notice from the commissioner is a basis for license denial under 
5.2 	section 245A.043.
5.3 	(b) An application for licensure must identify all controlling individuals as defined in 
5.4 	section 245A.02, subdivision 5a, and must designate one individual to be the authorized 
5.5 	agent. The application must be signed by the authorized agent and must include the authorized 
5.6 	agent's first, middle, and last name; mailing address; and email address. By submitting an 
5.7 	application for licensure, the authorized agent consents to electronic communication with 
5.8 	the commissioner throughout the application process. The authorized agent must be 
5.9 	authorized to accept service on behalf of all of the controlling individuals. A government 
5.10 	entity that holds multiple licenses under this chapter may designate one authorized agent 
5.11 	for all licenses issued under this chapter or may designate a different authorized agent for 
5.12 	each license. Service on the authorized agent is service on all of the controlling individuals. 
5.13 	It is not a defense to any action arising under this chapter that service was not made on each 
5.14 	controlling individual. The designation of a controlling individual as the authorized agent 
5.15 	under this paragraph does not affect the legal responsibility of any other controlling individual 
5.16 	under this chapter.
5.17 	(c) An applicant or license holder must have a policy that prohibits license holders, 
5.18 	employees, subcontractors, and volunteers, when directly responsible for persons served 
5.19 	by the program, from abusing prescription medication or being in any manner under the 
5.20 	influence of a chemical that impairs the individual's ability to provide services or care. The 
5.21 	license holder must train employees, subcontractors, and volunteers about the program's 
5.22 	drug and alcohol policy before the employee, subcontractor, or volunteer has direct contact, 
5.23 	as defined in section 245C.02, subdivision 11, with a person served by the program.
5.24 	(d) An applicant and license holder must have a program grievance procedure that permits 
5.25 	persons served by the program and their authorized representatives to bring a grievance to 
5.26 	the highest level of authority in the program.
5.27 	(e) The commissioner may limit communication during the application process to the 
5.28 	authorized agent or the controlling individuals identified on the license application and for 
5.29 	whom a background study was initiated under chapter 245C. Upon implementation of the 
5.30 	provider licensing and reporting hub, applicants and license holders must use the hub in the 
5.31 	manner prescribed by the commissioner. The commissioner may require the applicant, 
5.32 	except for child foster care, to demonstrate competence in the applicable licensing 
5.33 	requirements by successfully completing a written examination. The commissioner may 
5.34 	develop a prescribed written examination format.
6.1 	(f) When an applicant is an individual, the applicant must provide:
6.2 	(1) the applicant's taxpayer identification numbers including the Social Security number 
6.3 	or Minnesota tax identification number, and federal employer identification number if the 
6.4 	applicant has employees;
6.5 	(2) at the request of the commissioner, a copy of the most recent filing with the secretary 
6.6 	of state that includes the complete business name, if any;
6.7 	(3) if doing business under a different name, the doing business as (DBA) name, as 
6.8 	registered with the secretary of state;
6.9 	(4) if applicable, the applicant's National Provider Identifier (NPI) number and Unique 
6.10 	Minnesota Provider Identifier (UMPI) number; and
6.11 	(5) at the request of the commissioner, the notarized signature of the applicant or 
6.12 	authorized agent.
6.13 	(g) When an applicant is an organization, the applicant must provide:
6.14 	(1) the applicant's taxpayer identification numbers including the Minnesota tax 
6.15 	identification number and federal employer identification number;
6.16 	(2) at the request of the commissioner, a copy of the most recent filing with the secretary 
6.17 	of state that includes the complete business name, and if doing business under a different 
6.18 	name, the doing business as (DBA) name, as registered with the secretary of state;
6.19 	(3) the first, middle, and last name, and address for all individuals who will be controlling 
6.20 	individuals, including all officers, owners, and managerial officials as defined in section 
6.21 	245A.02, subdivision 5a, and the date that the background study was initiated by the applicant 
6.22 	for each controlling individual;
6.23 	(4) if applicable, the applicant's NPI number and UMPI number;
6.24 	(5) the documents that created the organization and that determine the organization's 
6.25 	internal governance and the relations among the persons that own the organization, have 
6.26 	an interest in the organization, or are members of the organization, in each case as provided 
6.27 	or authorized by the organization's governing statute, which may include a partnership 
6.28 	agreement, bylaws, articles of organization, organizational chart, and operating agreement, 
6.29 	or comparable documents as provided in the organization's governing statute; and
6.30 	(6) the notarized signature of the applicant or authorized agent.
6.31 	(h) When the applicant is a government entity, the applicant must provide:
7.1 	(1) the name of the government agency, political subdivision, or other unit of government 
7.2 	seeking the license and the name of the program or services that will be licensed;
7.3 	(2) the applicant's taxpayer identification numbers including the Minnesota tax 
7.4 	identification number and federal employer identification number;
7.5 	(3) a letter signed by the manager, administrator, or other executive of the government 
7.6 	entity authorizing the submission of the license application; and
7.7 	(4) if applicable, the applicant's NPI number and UMPI number.
7.8 	(i) At the time of application for licensure or renewal of a license under this chapter, the 
7.9 	applicant or license holder must acknowledge on the form provided by the commissioner 
7.10 	if the applicant or license holder elects to receive any public funding reimbursement from 
7.11 	the commissioner for services provided under the license that:
7.12 	(1) the applicant's or license holder's compliance with the provider enrollment agreement 
7.13 	or registration requirements for receipt of public funding may be monitored by the 
7.14 	commissioner as part of a licensing investigation or licensing inspection; and
7.15 	(2) noncompliance with the provider enrollment agreement or registration requirements 
7.16 	for receipt of public funding that is identified through a licensing investigation or licensing 
7.17 	inspection, or noncompliance with a licensing requirement that is a basis of enrollment for 
7.18 	reimbursement for a service, may result in:
7.19 	(i) a correction order or a conditional license under section 245A.06, or sanctions under 
7.20 	section 245A.07;
7.21 	(ii) nonpayment of claims submitted by the license holder for public program 
7.22 	reimbursement;
7.23 	(iii) recovery of payments made for the service;
7.24 	(iv) disenrollment in the public payment program; or
7.25 	(v) other administrative, civil, or criminal penalties as provided by law.
7.26 	(j) An applicant or license holder who acknowledges under paragraph (i) that the applicant 
7.27 	or license holder elects to receive any publicly funded reimbursement from the commissioner 
7.28 	for services provided under the license that are designated by the commissioner as high-risk 
7.29 	under section 256B.044, subdivision 1, must provide an attestation with the notarized 
7.30 	signature of the applicant or authorized agent stating whether the applicant or authorized 
7.31 	agent received from an unaffiliated business or consultant any assistance preparing:
7.32 	(1) the application;
8.1 	(2) the renewal;
8.2 	(3) any documentation or written policies submitted with the application;
8.3 	(4) any documentation or written policies submitted with the renewal; or
8.4 	(5) any documentation or written policies maintained as a requirement of licensure or 
8.5 	enrollment as a medical assistance provider.

8.6 	Sec. 4. Minnesota Statutes 2025 Supplement, section 245A.04, subdivision 7, is amended 
8.7 	to read:
8.8 		Subd. 7.Grant of license; license extension. (a) If the commissioner determines that 
8.9 	the program complies with all applicable rules and laws, the commissioner shall issue a 
8.10 	license consistent with this section or, if applicable, a temporary change of ownership license 
8.11 	under section 245A.043. At minimum, the license shall state:
8.12 	(1) the name of the license holder;
8.13 	(2) the address of the program;
8.14 	(3) the effective date and expiration date of the license;
8.15 	(4) the type of license and the specific service the license holder is licensed to provide;
8.16 	(5) the maximum number and ages of persons that may receive services from the program; 
8.17 	and
8.18 	(6) any special conditions of licensure.
8.19 	(b) The commissioner may issue a license for a period not to exceed two years if:
8.20 	(1) the commissioner is unable to conduct the observation required by subdivision 4, 
8.21 	paragraph (a), clause (3), because the program is not yet operational;
8.22 	(2) certain records and documents are not available because persons are not yet receiving 
8.23 	services from the program; and
8.24 	(3) the applicant complies with applicable laws and rules in all other respects.
8.25 	(c) A decision by the commissioner to issue a license does not guarantee that any person 
8.26 	or persons will be placed or cared for in the licensed program.
8.27 	(d) Except as provided in paragraphs (i) and (j), the commissioner shall not issue a 
8.28 	license if the applicant, license holder, or an affiliated controlling individual has:
8.29 	(1) been disqualified and the disqualification was not set aside and no variance has been 
8.30 	granted;
9.1 	(2) been denied a license under this chapter or chapter 142B within the past two years;
9.2 	(3) had a license issued under this chapter or chapter 142B revoked within the past five 
9.3 	years; or
9.4 	(4) failed to submit the information required of an applicant under subdivision 1, 
9.5 	paragraph (f), (g), or (h), or (j), after being requested by the commissioner.
9.6 	When a license issued under this chapter or chapter 142B is revoked, the license holder 
9.7 	and each affiliated controlling individual with a revoked license may not hold any license 
9.8 	under chapter 245A for five years following the revocation, and other licenses held by the 
9.9 	applicant or license holder or licenses affiliated with each controlling individual shall also 
9.10 	be revoked.
9.11 	(e) Notwithstanding paragraph (d), the commissioner may elect not to revoke a license 
9.12 	affiliated with a license holder or controlling individual that had a license revoked within 
9.13 	the past five years if the commissioner determines that (1) the license holder or controlling 
9.14 	individual is operating the program in substantial compliance with applicable laws and rules 
9.15 	and (2) the program's continued operation is in the best interests of the community being 
9.16 	served.
9.17 	(f) Notwithstanding paragraph (d), the commissioner may issue a new license in response 
9.18 	to an application that is affiliated with an applicant, license holder, or controlling individual 
9.19 	that had an application denied within the past two years or a license revoked within the past 
9.20 	five years if the commissioner determines that (1) the applicant or controlling individual 
9.21 	has operated one or more programs in substantial compliance with applicable laws and rules 
9.22 	and (2) the program's operation would be in the best interests of the community to be served.
9.23 	(g) In determining whether a program's operation would be in the best interests of the 
9.24 	community to be served, the commissioner shall consider factors such as the number of 
9.25 	persons served, the availability of alternative services available in the surrounding 
9.26 	community, the management structure of the program, whether the program provides 
9.27 	culturally specific services, and other relevant factors.
9.28 	(h) The commissioner shall not issue or reissue a license under this chapter if an individual 
9.29 	living in the household where the services will be provided as specified under section 
9.30 	245C.03, subdivision 1, has been disqualified and the disqualification has not been set aside 
9.31 	and no variance has been granted.
9.32 	(i) Pursuant to section 245A.07, subdivision 1, paragraph (b), when a license issued 
9.33 	under this chapter has been suspended or revoked and the suspension or revocation is under 
10.1 	appeal, the program may continue to operate pending a final order from the commissioner. 
10.2 	If the license under suspension or revocation will expire before a final order is issued, a 
10.3 	temporary provisional license may be issued provided any applicable license fee is paid 
10.4 	before the temporary provisional license is issued.
10.5 	(j) Notwithstanding paragraph (i), when a revocation is based on the disqualification of 
10.6 	a controlling individual or license holder, and the controlling individual or license holder 
10.7 	is ordered under section 245C.17 to be immediately removed from direct contact with 
10.8 	persons receiving services or is ordered to be under continuous, direct supervision when 
10.9 	providing direct contact services, the program may continue to operate only if the program 
10.10 	complies with the order and submits documentation demonstrating compliance with the 
10.11 	order. If the disqualified individual fails to submit a timely request for reconsideration, or 
10.12 	if the disqualification is not set aside and no variance is granted, the order to immediately 
10.13 	remove the individual from direct contact or to be under continuous, direct supervision 
10.14 	remains in effect pending the outcome of a hearing and final order from the commissioner.
10.15 	(k) Unless otherwise specified by statute, all licenses issued under this chapter expire 
10.16 	at 12:01 a.m. on the day after the expiration date stated on the license. A license holder must 
10.17 	comply with the requirements in section 245A.10 and be reissued a new license to operate 
10.18 	the program or the program must not be operated after the expiration date. Adult foster care, 
10.19 	family adult day services, child foster residence setting, and community residential services 
10.20 	license holders must apply for and be granted a new license to operate the program or the 
10.21 	program must not be operated after the expiration date. Upon implementation of the provider 
10.22 	licensing and reporting hub, licenses may be issued each calendar year.
10.23 	(l) The commissioner shall not issue or reissue a license under this chapter if it has been 
10.24 	determined that a Tribal licensing authority has established jurisdiction to license the program 
10.25 	or service.
10.26 	(m) The commissioner of human services may coordinate and share data with the 
10.27 	commissioner of children, youth, and families to enforce this section.
10.28 	(n) For substance use disorder treatment programs, for the purposes of paragraph (a), 
10.29 	clause (5), the maximum number of persons who may receive services from the program 
10.30 	includes persons served at satellite locations.

10.31 	Sec. 5. Minnesota Statutes 2025 Supplement, section 245A.05, is amended to read:
10.32 	245A.05 DENIAL OF APPLICATION.
10.33 	(a) The commissioner may deny a license if an applicant or controlling individual:
11.1 	(1) fails to submit a substantially complete application after receiving notice from the 
11.2 	commissioner under section 245A.04, subdivision 1;
11.3 	(2) fails to comply with applicable laws or rules;
11.4 	(3) knowingly withholds relevant information from or gives false or misleading 
11.5 	information to the commissioner in connection with an application for a license or during 
11.6 	an investigation;
11.7 	(4) has a disqualification that has not been set aside under section 245C.22 and no 
11.8 	variance has been granted;
11.9 	(5) has an individual living in the household who received a background study under 
11.10 	section 245C.03, subdivision 1, paragraph (a), clause (2), who has a disqualification that 
11.11 	has not been set aside under section 245C.22, and no variance has been granted;
11.12 	(6) is associated with an individual who received a background study under section 
11.13 	245C.03, subdivision 1, paragraph (a), clause (6), who may have unsupervised access to 
11.14 	children or vulnerable adults, and who has a disqualification that has not been set aside 
11.15 	under section 245C.22, and no variance has been granted;
11.16 	(7) fails to comply with section 245A.04, subdivision 1, paragraph (f) or, (g), or (j);
11.17 	(8) fails to demonstrate competent knowledge as required by section 245A.04, subdivision 
11.18 	6;
11.19 	(9) has a history of noncompliance as a license holder or controlling individual with 
11.20 	applicable laws or rules, including but not limited to this chapter and chapters 142E and 
11.21 	245C;
11.22 	(10) is prohibited from holding a license according to section 245.095; or
11.23 	(11) is the subject of a pending administrative, civil, or criminal investigation.
11.24 	(b) An applicant whose application has been denied by the commissioner must be given 
11.25 	notice of the denial, which must state the reasons for the denial in plain language. Notice 
11.26 	must be given by certified mail, by personal service, or through the provider licensing and 
11.27 	reporting hub. The notice must state the reasons the application was denied and must inform 
11.28 	the applicant of the right to a contested case hearing under chapter 14 and Minnesota Rules, 
11.29 	parts 1400.8505 to 1400.8612. The applicant may appeal the denial by notifying the 
11.30 	commissioner in writing by certified mail, by personal service, or through the provider 
11.31 	licensing and reporting hub. If mailed, the appeal must be postmarked and sent to the 
11.32 	commissioner within 20 calendar days after the applicant received the notice of denial. If 
12.1 	an appeal request is made by personal service, it must be received by the commissioner 
12.2 	within 20 calendar days after the applicant received the notice of denial. If the order is issued 
12.3 	through the provider hub, the appeal must be received by the commissioner within 20 
12.4 	calendar days from the date the commissioner issued the order through the hub. Section 
12.5 	245A.08 applies to hearings held to appeal the commissioner's denial of an application.

12.6 	Sec. 6. Minnesota Statutes 2024, section 245D.081, subdivision 3, is amended to read:
12.7 		Subd. 3.Program management and oversight. (a) The license holder must designate 
12.8 	a managerial staff person or persons to provide program management and oversight of the 
12.9 	services provided by the license holder. The designated manager is responsible for the 
12.10 	following:
12.11 	(1) maintaining a current understanding of the licensing requirements sufficient to ensure 
12.12 	compliance throughout the program as identified in section 245A.04, subdivision 1, paragraph 
12.13 	(e), and when applicable, as identified in section 256B.04, subdivision 21, paragraph (g)
12.14 	256B.044, subdivision 7;
12.15 	(2) ensuring the duties of the designated coordinator are fulfilled according to the 
12.16 	requirements in subdivision 2;
12.17 	(3) ensuring the program implements corrective action identified as necessary by the 
12.18 	program following review of incident and emergency reports according to the requirements 
12.19 	in section 245D.11, subdivision 2, clause (7). An internal review of incident reports of 
12.20 	alleged or suspected maltreatment must be conducted according to the requirements in 
12.21 	section 245A.65, subdivision 1, paragraph (b);
12.22 	(4) evaluation of satisfaction of persons served by the program, the person's legal 
12.23 	representative, if any, and the case manager, with the service delivery and progress toward 
12.24 	accomplishing outcomes identified in sections 245D.07 and 245D.071, and ensuring and 
12.25 	protecting each person's rights as identified in section 245D.04;
12.26 	(5) ensuring staff competency requirements are met according to the requirements in 
12.27 	section 245D.09, subdivision 3, and ensuring staff orientation and training is provided 
12.28 	according to the requirements in section 245D.09, subdivisions 4, 4a, and 5;
12.29 	(6) ensuring corrective action is taken when ordered by the commissioner and that the 
12.30 	terms and conditions of the license and any variances are met; and
12.31 	(7) evaluating the information identified in clauses (1) to (6) to develop, document, and 
12.32 	implement ongoing program improvements.
13.1 	(b) The designated manager must be competent to perform the duties as required and 
13.2 	must minimally meet the education and training requirements identified in subdivision 2, 
13.3 	paragraph (b), and have a minimum of three years of supervisory level experience in a 
13.4 	program that provides care or education to vulnerable adults or children.

13.5 	Sec. 7. Minnesota Statutes 2025 Supplement, section 256B.04, subdivision 21, is amended 
13.6 	to read:
13.7 		Subd. 21.Provider enrollment. (a) The commissioner shall enroll providers and conduct 
13.8 	screening activities as required by Code of Federal Regulations, title 42, section 455, subpart 
13.9 	E, and sections 256B.044 to 256B.0445.
13.10 	A provider must enroll each provider-controlled location where direct services are 
13.11 	provided. The commissioner may deny a provider's incomplete application if a provider 
13.12 	fails to respond to the commissioner's request for additional information within 60 days of 
13.13 	the request. The commissioner must conduct a background study under chapter 245C, 
13.14 	including a review of databases in section 245C.08, subdivision 1, paragraph (a), clauses 
13.15 	(1) to (5), for a provider described in this paragraph. The background study requirement 
13.16 	may be satisfied if the commissioner conducted a fingerprint-based background study on 
13.17 	the provider that includes a review of databases in section 245C.08, subdivision 1, paragraph 
13.18 	(a), clauses (1) to (5).
13.19 	(b) The commissioner shall revalidate:
13.20 	(1) each provider under this subdivision at least once every five years;
13.21 	(2) each personal care assistance agency, CFSS provider-agency, and CFSS financial 
13.22 	management services provider under this subdivision at least once every three years;
13.23 	(3) each EIDBI agency under this subdivision at least once every three years; and
13.24 	(4) at the commissioner's discretion, any medical-assistance-only provider type the 
13.25 	commissioner deems "high-risk" under this subdivision.
13.26 	(c) The commissioner shall conduct revalidation as follows:
13.27 	(1) provide 30-day notice of the revalidation due date including instructions for 
13.28 	revalidation and a list of materials the provider must submit;
13.29 	(2) if a provider fails to submit all required materials by the due date, notify the provider 
13.30 	of the deficiency within 30 days after the due date and allow the provider an additional 30 
13.31 	days from the notification date to comply; and
14.1 	(3) if a provider fails to remedy a deficiency within the 30-day time period, give 60-day 
14.2 	notice of termination and immediately suspend the provider's ability to bill. The provider 
14.3 	does not have the right to appeal suspension of ability to bill.
14.4 	(d) If a provider fails to comply with any individual provider requirement or condition 
14.5 	of participation, the commissioner may suspend the provider's ability to bill until the provider 
14.6 	comes into compliance. The commissioner's decision to suspend the provider is not subject 
14.7 	to an administrative appeal.
14.8 	(e) Correspondence and notifications, including notifications of termination and other 
14.9 	actions, may be delivered electronically to a provider's MN-ITS mailbox. This paragraph 
14.10 	does not apply to correspondences and notifications related to background studies.
14.11 	(f) If the commissioner or the Centers for Medicare and Medicaid Services determines 
14.12 	that a provider is designated "high-risk," the commissioner may withhold payment from 
14.13 	providers within that category upon initial enrollment for a 90-day period. The withholding 
14.14 	for each provider must begin on the date of the first submission of a claim.
14.15 	(g) An enrolled provider that is also licensed by the commissioner under chapter 245A, 
14.16 	is licensed as a home care provider by the Department of Health under chapter 144A, or is 
14.17 	licensed as an assisted living facility under chapter 144G and has a home and 
14.18 	community-based services designation on the home care license under section 144A.484, 
14.19 	must designate an individual as the entity's compliance officer. The compliance officer 
14.20 	must:
14.21 	(1) develop policies and procedures to assure adherence to medical assistance laws and 
14.22 	regulations and to prevent inappropriate claims submissions;
14.23 	(2) train the employees of the provider entity, and any agents or subcontractors of the 
14.24 	provider entity including billers, on the policies and procedures under clause (1);
14.25 	(3) respond to allegations of improper conduct related to the provision or billing of 
14.26 	medical assistance services, and implement action to remediate any resulting problems;
14.27 	(4) use evaluation techniques to monitor compliance with medical assistance laws and 
14.28 	regulations;
14.29 	(5) promptly report to the commissioner any identified violations of medical assistance 
14.30 	laws or regulations; and
14.31 	(6) within 60 days of discovery by the provider of a medical assistance reimbursement 
14.32 	overpayment, report the overpayment to the commissioner and make arrangements with 
14.33 	the commissioner for the commissioner's recovery of the overpayment.
15.1 	The commissioner may require, as a condition of enrollment in medical assistance, that a 
15.2 	provider within a particular industry sector or category establish a compliance program that 
15.3 	contains the core elements established by the Centers for Medicare and Medicaid Services.
15.4 	(h) The commissioner may revoke the enrollment of an ordering or rendering provider 
15.5 	for a period of not more than one year, if the provider fails to maintain and, upon request 
15.6 	from the commissioner, provide access to documentation relating to written orders or requests 
15.7 	for payment for durable medical equipment, certifications for home health services, or 
15.8 	referrals for other items or services written or ordered by such provider, when the 
15.9 	commissioner has identified a pattern of a lack of documentation. A pattern means a failure 
15.10 	to maintain documentation or provide access to documentation on more than one occasion. 
15.11 	Nothing in this paragraph limits the authority of the commissioner to sanction a provider 
15.12 	under the provisions of section 256B.064.
15.13 	(i) The commissioner shall terminate or deny the enrollment of any individual or entity 
15.14 	if the individual or entity has been terminated from participation in Medicare or under the 
15.15 	Medicaid program or Children's Health Insurance Program of any other state. The 
15.16 	commissioner may exempt a rehabilitation agency from termination or denial that would 
15.17 	otherwise be required under this paragraph, if the agency:
15.18 	(1) is unable to retain Medicare certification and enrollment solely due to a lack of billing 
15.19 	to the Medicare program;
15.20 	(2) meets all other applicable Medicare certification requirements based on an on-site 
15.21 	review completed by the commissioner of health; and
15.22 	(3) serves primarily a pediatric population.
15.23 	(j) As a condition of enrollment in medical assistance, the commissioner shall require 
15.24 	that a provider designated "moderate" or "high-risk" by the Centers for Medicare and 
15.25 	Medicaid Services or the commissioner permit the Centers for Medicare and Medicaid 
15.26 	Services, its agents, or its designated contractors and the state agency, its agents, or its 
15.27 	designated contractors to conduct unannounced on-site inspections of any provider location. 
15.28 	The commissioner shall publish in the Minnesota Health Care Program Provider Manual a 
15.29 	list of provider types designated "limited," "moderate," or "high-risk," based on the criteria 
15.30 	and standards used to designate Medicare providers in Code of Federal Regulations, title 
15.31 	42, section 424.518. The list and criteria are not subject to the requirements of chapter 14. 
15.32 	The commissioner's designations are not subject to administrative appeal.
15.33 	(k) As a condition of enrollment in medical assistance, the commissioner shall require 
15.34 	that a high-risk provider, or a person with a direct or indirect ownership interest in the 
16.1 	provider of five percent or higher, consent to criminal background checks, including 
16.2 	fingerprinting, when required to do so under state law or by a determination by the 
16.3 	commissioner or the Centers for Medicare and Medicaid Services that a provider is designated 
16.4 	high-risk for fraud, waste, or abuse.
16.5 	(l)(1) Upon initial enrollment, reenrollment, and notification of revalidation, all durable 
16.6 	medical equipment, prosthetics, orthotics, and supplies (DMEPOS) medical suppliers 
16.7 	meeting the durable medical equipment provider and supplier definition in clause (3), 
16.8 	operating in Minnesota and receiving Medicaid funds must purchase a surety bond that is 
16.9 	annually renewed and designates the Minnesota Department of Human Services as the 
16.10 	obligee, and must be submitted in a form approved by the commissioner. For purposes of 
16.11 	this clause, the following medical suppliers are not required to obtain a surety bond: a 
16.12 	federally qualified health center, a home health agency, the Indian Health Service, a 
16.13 	pharmacy, and a rural health clinic.
16.14 	(2) At the time of initial enrollment or reenrollment, durable medical equipment providers 
16.15 	and suppliers defined in clause (3) must purchase a surety bond of $50,000. If a revalidating 
16.16 	provider's Medicaid revenue in the previous calendar year is up to and including $300,000, 
16.17 	the provider agency must purchase a surety bond of $50,000. If a revalidating provider's 
16.18 	Medicaid revenue in the previous calendar year is over $300,000, the provider agency must 
16.19 	purchase a surety bond of $100,000. The surety bond must allow for recovery of costs and 
16.20 	fees in pursuing a claim on the bond. Any action to obtain monetary recovery or sanctions 
16.21 	from a surety bond must occur within six years from the date the debt is affirmed by a final 
16.22 	agency decision. An agency decision is final when the right to appeal the debt has been 
16.23 	exhausted or the time to appeal has expired under section 256B.064.
16.24 	(3) "Durable medical equipment provider or supplier" means a medical supplier that can 
16.25 	purchase medical equipment or supplies for sale or rental to the general public and is able 
16.26 	to perform or arrange for necessary repairs to and maintenance of equipment offered for 
16.27 	sale or rental.
16.28 	(m) The Department of Human Services may require a provider to purchase a surety 
16.29 	bond as a condition of initial enrollment, reenrollment, reinstatement, or continued enrollment 
16.30 	if: (1) the provider fails to demonstrate financial viability, (2) the department determines 
16.31 	there is significant evidence of or potential for fraud and abuse by the provider, or (3) the 
16.32 	provider or category of providers is designated high-risk pursuant to paragraph (f) and as 
16.33 	per Code of Federal Regulations, title 42, section 455.450. The surety bond must be in an 
16.34 	amount of $100,000 or ten percent of the provider's payments from Medicaid during the 
16.35 	immediately preceding 12 months, whichever is greater. The surety bond must name the 
17.1 	Department of Human Services as an obligee and must allow for recovery of costs and fees 
17.2 	in pursuing a claim on the bond. This paragraph does not apply if the provider currently 
17.3 	maintains a surety bond under the requirements in section 256B.051, 256B.0659, 256B.0701, 
17.4 	or 256B.85.

17.5 	Sec. 8. [256B.044] PROVIDER ENROLLMENT.
17.6 		Subdivision 1.Designating categorical risk levels. (a) The commissioner shall publish 
17.7 	in the Minnesota Health Care Program Provider Manual a list of provider types designated 
17.8 	"limited-risk," "moderate-risk," or "high-risk," based on the criteria and standards used by 
17.9 	the Centers for Medicare and Medicaid Services (CMS) to designate Medicare providers 
17.10 	in Code of Federal Regulations, title 42, section 424.518.
17.11 	(b) The list and criteria are not subject to the requirements of chapter 14, and section 
17.12 	14.386 does not apply.
17.13 	(c) The commissioner's designations are not subject to administrative appeal.
17.14 		Subd. 2.Service location enrollment. A provider must enroll each provider-controlled 
17.15 	location where direct services are provided.
17.16 		Subd. 3.Incomplete provider enrollment applications. The commissioner may deny 
17.17 	a provider's incomplete enrollment application if a provider fails to respond to the 
17.18 	commissioner's request for additional information within 60 days of the request.
17.19 		Subd. 4.Required background studies. (a) The commissioner must conduct a 
17.20 	background study under chapter 245C, including a review of databases in section 245C.08, 
17.21 	subdivision 1, paragraph (a), clauses (1) to (5), for a provider applying for enrollment under 
17.22 	section 256B.04, subdivision 21. The background study requirement may be satisfied if the 
17.23 	commissioner conducted a fingerprint-based background study on the provider that included 
17.24 	a review of databases in section 245C.08, subdivision 1, paragraph (a), clauses (1) to (5).
17.25 	(b) As a condition of enrollment in medical assistance, the commissioner must require 
17.26 	that a high-risk provider, or a person with a direct or indirect ownership interest in the 
17.27 	provider of five percent or higher, consent to criminal background checks, including 
17.28 	fingerprinting, when required to do so under state law or by a determination by the 
17.29 	commissioner or CMS that a provider is designated high-risk.
17.30 		Subd. 5.Surety bonds. (a) The commissioner may require a provider to purchase a 
17.31 	surety bond as a condition of initial enrollment, revalidation, reenrollment, reinstatement, 
17.32 	or continued enrollment if:
18.1 	(1) the provider fails to demonstrate financial viability;
18.2 	(2) the commissioner determines there is significant evidence of or potential for fraud 
18.3 	and abuse by the provider; or
18.4 	(3) the provider or category of providers is designated high-risk pursuant to subdivision 
18.5 	1 and Code of Federal Regulations, title 42, section 455.450.
18.6 	(b) The surety bond must be in an amount of $100,000 or ten percent of the provider's 
18.7 	payments from Medicaid during the immediately preceding 12 months, whichever is greater. 
18.8 	The surety bond must name the Department of Human Services as an obligee and must 
18.9 	allow for recovery of costs and fees in pursuing a claim on the bond.
18.10 	(c) This subdivision does not apply if the provider currently maintains a surety bond 
18.11 	under the requirements in section 256B.051, 256B.0659, 256B.0701, or 256B.85.
18.12 		Subd. 6.Required permission to conduct on-site inspection. As a condition of 
18.13 	enrollment in medical assistance, the commissioner shall require that a provider designated 
18.14 	moderate-risk or high-risk by CMS or the commissioner permit CMS, CMS's agents, or 
18.15 	CMS's designated contractors and the state agency, the state agency's agents, or the state 
18.16 	agency's designated contractors to conduct unannounced on-site inspections of any provider 
18.17 	location.
18.18 		Subd. 7.Compliance programs. (a) The commissioner may require, as a condition of 
18.19 	enrollment in medical assistance, that a provider within a particular industry sector or 
18.20 	category establish a compliance program that contains the core elements established by 
18.21 	CMS.
18.22 	(b) If an enrolled provider is required by the commissioner or by law to designate an 
18.23 	individual as the provider's compliance officer, the compliance officer must:
18.24 	(1) develop policies and procedures to ensure adherence to medical assistance laws and 
18.25 	regulations and to prevent inappropriate claims submissions;
18.26 	(2) train the employees of the provider entity and any agents or subcontractors of the 
18.27 	provider entity including billers on the policies and procedures under clause (1);
18.28 	(3) respond to allegations of improper conduct related to the provision or billing of 
18.29 	medical assistance services and implement action to remediate any resulting problems;
18.30 	(4) use evaluation techniques to monitor compliance with medical assistance laws and 
18.31 	regulations;
19.1 	(5) promptly report to the commissioner any identified violations of medical assistance 
19.2 	laws or regulations; and
19.3 	(6) within 60 days of discovery by the provider of a medical assistance reimbursement 
19.4 	overpayment, report the overpayment to the commissioner and make arrangements with 
19.5 	the commissioner for the commissioner's recovery of the overpayment.
19.6 		Subd. 8.Correspondence and notification. The commissioner may deliver 
19.7 	correspondence and notifications, including notifications of termination and other actions, 
19.8 	electronically to a provider's MN-ITS mailbox. This subdivision does not apply to 
19.9 	correspondence and notifications related to background studies.

19.10 	Sec. 9. [256B.0441] PROVIDER REVALIDATION.
19.11 		Subdivision 1.Provider revalidation schedule. The commissioner shall revalidate:
19.12 	(1) each provider at least once every five years;
19.13 	(2) each personal care assistance agency, community first services and supports (CFSS) 
19.14 	provider-agency, and CFSS financial management services provider at least once every 
19.15 	three years;
19.16 	(3) each early intensive developmental and behavioral intervention agency at least once 
19.17 	every three years; and
19.18 	(4) at the commissioner's discretion, any medical-assistance-only provider type the 
19.19 	commissioner deems high-risk under section 256B.044, subdivision 1.
19.20 		Subd. 2.Revalidation procedures. The commissioner shall conduct revalidation as 
19.21 	follows:
19.22 	(1) provide 30 days' notice of the revalidation due date including instructions for 
19.23 	revalidation and a list of materials the provider must submit;
19.24 	(2) if a provider fails to submit all required materials by the due date, notify the provider 
19.25 	of the deficiency within 30 days after the due date and allow the provider an additional 30 
19.26 	days from the notification date to comply; and
19.27 	(3) if a provider fails to remedy a deficiency within the 30-day time period, give 60 days' 
19.28 	notice of termination and immediately suspend the provider's ability to bill. The provider 
19.29 	does not have the right to appeal suspension of ability to bill.

20.1 	Sec. 10. [256B.0442] PROVIDER ENROLLMENT SUSPENSIONS AND 
20.2 	TERMINATIONS.
20.3 		Subdivision 1.Commissioner's general authority to suspend individual provider's 
20.4 	enrollment. (a) If a provider fails to comply with any individual provider requirement or 
20.5 	condition of participation, the commissioner may suspend the provider's ability to bill until 
20.6 	the provider comes into compliance.
20.7 	(b) The commissioner's decision to suspend the provider is not subject to an administrative 
20.8 	appeal.
20.9 		Subd. 2.Commissioner's authority to revoke enrollment of certain providers for 
20.10 	lack of documentation. (a) The commissioner may revoke the enrollment of an ordering 
20.11 	or rendering provider for a period of not more than one year if the provider fails to maintain 
20.12 	and, upon request from the commissioner, provide access to documentation relating to 
20.13 	written orders or requests for payment for durable medical equipment, certifications for 
20.14 	home health services, or referrals for other items or services written or ordered by the 
20.15 	provider, when the commissioner has identified a pattern of a lack of documentation. A 
20.16 	pattern means a failure to maintain documentation or provide access to documentation on 
20.17 	more than one occasion.
20.18 	(b) Nothing in this subdivision limits the authority of the commissioner to sanction a 
20.19 	provider under section 256B.064.
20.20 		Subd. 3.Commissioner's duty to terminate provider enrollment. (a) Except as 
20.21 	provided in paragraph (b), the commissioner must terminate or deny the enrollment of any 
20.22 	individual or entity if the individual or entity has been terminated from participation in 
20.23 	Medicare or under the Medicaid program or Children's Health Insurance Program of any 
20.24 	other state.
20.25 	(b) The commissioner may exempt a rehabilitation agency from termination or denial 
20.26 	that would otherwise be required under paragraph (a) if the agency:
20.27 	(1) is unable to retain Medicare certification and enrollment solely due to a lack of billing 
20.28 	to the Medicare program;
20.29 	(2) meets all other applicable Medicare certification requirements based on an on-site 
20.30 	review completed by the commissioner of health; and
20.31 	(3) serves primarily a pediatric population.

21.1 	Sec. 11. [256B.0443] PROVIDER PAYMENT WITHHOLDS UPON INITIAL 
21.2 	ENROLLMENT.
21.3 	(a) If the commissioner or the Centers for Medicare and Medicaid Services designates 
21.4 	a provider type as high-risk, the commissioner may withhold payment from providers within 
21.5 	that category upon initial enrollment for a 90-day period.
21.6 	(b) The withholding for each provider must begin on the date of the first submission of 
21.7 	a claim.

21.8 	Sec. 12. [256B.0444] ADDITIONAL PROVIDER ENROLLMENT REQUIREMENTS 
21.9 	FOR HIGH-RISK PROVIDERS.
21.10 		Subdivision 1.Applicability. This section applies to any agency that provides a service 
21.11 	designated by the commissioner as high-risk under section 256B.044, subdivision 1. For 
21.12 	purposes of this section, "agency" means the legal entity that is applying to be or is enrolled 
21.13 	with Minnesota health care programs as a medical assistance provider according to Minnesota 
21.14 	Rules, part 9505.0195.
21.15 		Subd. 2.Mandatory training compliance. (a) Effective January 1, 2027, before applying 
21.16 	for enrollment or reenrollment as a medical assistance provider, an agency applying to 
21.17 	provide services designated by the commissioner as high-risk must require all owners of 
21.18 	the agency who are active in the day-to-day management and operations of the agency and 
21.19 	managerial and supervisory employees to complete compliance training. All individuals 
21.20 	who must complete training under this subdivision must repeat the training prior to 
21.21 	revalidation of the agency as a medical assistance provider.
21.22 	(b) New owners active in day-to-day management and operations of the agency and new 
21.23 	managerial and supervisory employees of the agency must complete compliance training 
21.24 	under this subdivision within 30 calendar days of becoming an owner of or employed by 
21.25 	the agency and prior to conducting any management and operations activities for the agency. 
21.26 	If an individual moves to another agency providing the same service and serves in a similar 
21.27 	ownership or employment capacity, the individual is not required to repeat the training 
21.28 	required under this subdivision. If the individual chooses not to repeat the compliance 
21.29 	training, the individual must provide the agency with documentation proving the individual 
21.30 	completed the compliance training within the provider revalidation schedule for the relevant 
21.31 	provider type as determined by the commissioner under section 256B.0441.
22.1 	(c) The commissioner must determine the format and content of the compliance training. 
22.2 	The training must include the following topics, adapted as necessary for each provider type 
22.3 	subject to the requirements of this subdivision:
22.4 	(1) state and federal program billing, documentation, and service delivery requirements;
22.5 	(2) enrollment requirements;
22.6 	(3) provider program integrity, including fraud prevention, detection, and penalties;
22.7 	(4) fair labor standards;
22.8 	(5) workplace safety requirements; and
22.9 	(6) recent changes in service requirements.
22.10 		Subd. 3.Individual provider number. (a) Effective January 1, 2027, all individuals 
22.11 	subject to a background study as a result of being employed by or an owner of a high-risk 
22.12 	agency must enroll individually as a medical assistance provider.
22.13 	(b) The commissioner must issue a unique Minnesota provider identifier to each 
22.14 	individual who satisfies the background study requirements, satisfies the individual 
22.15 	enrollment requirements, and does not have either a national provider identifier or a unique 
22.16 	Minnesota provider identifier. The commissioner must ensure that no individual is issued 
22.17 	multiple unique Minnesota provider identifiers. If the commissioner mistakenly issues 
22.18 	multiple unique Minnesota provider identifiers to the same individual, the commissioner 
22.19 	must provide a means for the numbers to be consolidated.
22.20 	(c) If an individual provides false or misleading information to the commissioner in an 
22.21 	attempt to cause the commissioner to issue to the individual an additional unique Minnesota 
22.22 	provider identifier, the commissioner may terminate the enrollment of the individual.
22.23 		Subd. 4.Required use of an electronic visit verification system. Effective January 1, 
22.24 	2027, an individual providing a high-risk service must electronically verify the provision 
22.25 	of the services using an electronic visit verification system meeting the requirements of 
22.26 	section 256B.073.
22.27 		Subd. 5.Signatures required for provision of service verifications. (a) Effective 
22.28 	January 1, 2027, an individual providing a high-risk service must sign and obtain the 
22.29 	signature of the service recipient, or of the service recipient's representative, on a provision 
22.30 	of service verification form. The provision of service verification form must include a 
22.31 	statement that by signing the form, the signatory is attesting to the accuracy of all data 
22.32 	entered in the electronic visit verification system. The provision of service verification form 
23.1 	must also include a statement that it is a federal crime to provide false information regarding 
23.2 	the provision of medical assistance services.
23.3 	(b) The commissioner must determine a minimum frequency at which the required 
23.4 	signatures on a provision of service verification form must be obtained.
23.5 		Subd. 6.Documentation of travel time. Effective January 1, 2027, an individual 
23.6 	providing a high-risk service must document any travel or driving time that is eligible for 
23.7 	reimbursement and for which the individual or high-risk agency seeks a medical assistance 
23.8 	payment. The documentation must include:
23.9 	(1) start and stop times with a.m. and p.m. designations;
23.10 	(2) the origination site; and
23.11 	(3) the destination site.

23.12 	Sec. 13. [256B.0445] ADDITIONAL PROVIDER ENROLLMENT REQUIREMENTS 
23.13 	FOR SPECIFIC PROVIDER TYPES.
23.14 		Subdivision 1.Durable medical equipment provider or supplier. (a) For the purposes 
23.15 	of this subdivision, "durable medical equipment provider or supplier" means a medical 
23.16 	supplier that can purchase medical equipment or supplies for sale or rent to the general 
23.17 	public and is able to perform or arrange for necessary repairs to and maintenance of 
23.18 	equipment offered for sale or rent.
23.19 	(b) Upon initial enrollment, reenrollment, and notification of revalidation, all durable 
23.20 	medical equipment, prosthetics, orthotics, and supplies medical suppliers meeting the durable 
23.21 	medical equipment provider or supplier definition in paragraph (a), operating in Minnesota, 
23.22 	and receiving Medicaid money must purchase a surety bond that is annually renewed, 
23.23 	designates the Department of Human Services as the obligee, and is submitted in a form 
23.24 	approved by the commissioner. For purposes of this paragraph, the following medical 
23.25 	suppliers are not required to obtain a surety bond: a federally qualified health center, a home 
23.26 	health agency, the Indian Health Service, a pharmacy, and a rural health clinic.
23.27 	(c) At the time of initial enrollment or reenrollment, durable medical equipment providers 
23.28 	or suppliers defined in paragraph (a) must purchase a surety bond of $50,000. If a revalidating 
23.29 	provider's Medicaid revenue in the previous calendar year is up to and including $300,000, 
23.30 	the provider agency must purchase a surety bond of $50,000. If a revalidating provider's 
23.31 	Medicaid revenue in the previous calendar year is over $300,000, the provider agency must 
23.32 	purchase a surety bond of $100,000. The surety bond must allow for recovery of costs and 
23.33 	fees in pursuing a claim on the bond. Any action to obtain monetary recovery or sanctions 
24.1 	from a surety bond must occur within six years from the date the debt is affirmed by a final 
24.2 	agency decision. An agency decision is final when the right to appeal the debt has been 
24.3 	exhausted or the time to appeal has expired under section 256B.064.
24.4 		Subd. 2.Providers licensed by the commissioner of human services. An enrolled 
24.5 	provider that is also licensed by the commissioner under chapter 245A must designate an 
24.6 	individual as the licensee's compliance officer under section 256B.044, subdivision 7, 
24.7 	paragraph (b).
24.8 		Subd. 3.Providers licensed by the commissioner of health. An enrolled provider that 
24.9 	is also licensed by the commissioner of health as a home care provider under chapter 144A 
24.10 	with a home and community-based services designation on the home care license or as an 
24.11 	assisted living facility under chapter 144G must designate an individual as the licensee's 
24.12 	compliance officer under section 256B.044, subdivision 7, paragraph (b).

24.13 	Sec. 14. Minnesota Statutes 2025 Supplement, section 256B.051, subdivision 6, is amended 
24.14 	to read:
24.15 		Subd. 6.Agency qualifications and duties. An agency is eligible for reimbursement 
24.16 	under this section only if the agency:
24.17 	(1) is confirmed by the commissioner as an eligible provider after a pre-enrollment risk 
24.18 	assessment under subdivision 6a;
24.19 	(2) is enrolled as a medical assistance Minnesota health care program provider and meets 
24.20 	all applicable provider standards and requirements;
24.21 	(3) demonstrates compliance with federal and state laws and policies for housing 
24.22 	stabilization services as determined by the commissioner;
24.23 	(4) complies with background study requirements under chapter 245C and maintains 
24.24 	documentation of background study requests and results;
24.25 	(5) provides at the time of enrollment, reenrollment, and revalidation in a format 
24.26 	determined by the commissioner, proof of surety bond coverage for each business location 
24.27 	providing services. Upon new enrollment, or if the provider's medical assistance revenue 
24.28 	in the previous calendar year is $300,000 or less, the provider agency must purchase a surety 
24.29 	bond of $50,000. If the provider's medical assistance revenue in the previous year is over 
24.30 	$300,000, the provider agency must purchase a surety bond of $100,000. The surety bond 
24.31 	must be in a form approved by the commissioner, must be renewed annually, and must 
24.32 	allow for recovery of costs and fees in pursuing a claim on the bond. Any action to obtain 
24.33 	monetary recovery or sanctions from a surety bond must occur within six years from the 
25.1 	date the debt is affirmed by a final agency decision. An agency decision is final when the 
25.2 	right to appeal the debt has been exhausted or the time to appeal has expired under section 
25.3 	256B.064;
25.4 	(6) directly provides housing stabilization services using employees of the agency and 
25.5 	not by using a subcontractor or reporting agent;
25.6 	(7) ensures all controlling individuals and employees of the agency complete annual 
25.7 	vulnerable adult training; and
25.8 	(8) completes compliance training as required under section 256B.0444, subdivision 6b
25.9 	2.

25.10 	Sec. 15. Minnesota Statutes 2025 Supplement, section 256B.0701, subdivision 9, is 
25.11 	amended to read:
25.12 		Subd. 9.Provider qualifications and duties. A provider is eligible for reimbursement 
25.13 	under this section only if the provider:
25.14 	(1) is confirmed by the commissioner as an eligible provider after a pre-enrollment risk 
25.15 	assessment under subdivision 10;
25.16 	(2) is enrolled as a medical assistance Minnesota health care program provider and meets 
25.17 	all applicable provider standards and requirements;
25.18 	(3) demonstrates compliance with federal and state laws and policies for housing 
25.19 	stabilization services as determined by the commissioner;
25.20 	(4) complies with background study requirements under chapter 245C and maintains 
25.21 	documentation of background study requests and results;
25.22 	(5) provides at the time of enrollment, reenrollment, and revalidation in a format 
25.23 	determined by the commissioner, proof of surety bond coverage for each business location 
25.24 	providing services. Upon new enrollment, or if the provider's medical assistance revenue 
25.25 	in the previous calendar year is $300,000 or less, the provider agency must purchase a surety 
25.26 	bond of $50,000. If the provider's medical assistance revenue in the previous year is over 
25.27 	$300,000, the provider agency must purchase a surety bond of $100,000. The surety bond 
25.28 	must be in a form approved by the commissioner, must be renewed annually, and must 
25.29 	allow for recovery of costs and fees in pursuing a claim on the bond. Any action to obtain 
25.30 	monetary recovery or sanctions from a surety bond must occur within six years from the 
25.31 	date the debt is affirmed by a final agency decision. An agency decision is final when the 
26.1 	right to appeal the debt has been exhausted or the time to appeal has expired under section 
26.2 	256B.064;
26.3 	(6) ensures all controlling individuals and employees of the agency complete annual 
26.4 	vulnerable adult training;
26.5 	(7) completes compliance training as required under section 256B.0444, subdivision 11
26.6 	2; and
26.7 	(8) complies with the habitability inspection requirements in subdivision 13.

26.8 	Sec. 16. Minnesota Statutes 2024, section 256B.073, subdivision 2, is amended to read:
26.9 		Subd. 2.Definitions. (a) For purposes of this section, the terms in this subdivision have 
26.10 	the meanings given them.
26.11 	(b) "Electronic visit verification" means the electronic documentation of the:
26.12 	(1) type of service performed;
26.13 	(2) individual receiving the service;
26.14 	(3) date of the service;
26.15 	(4) location of the service delivery;
26.16 	(5) individual providing the service; and
26.17 	(6) time the service begins and ends.
26.18 	(c) "Electronic visit verification system" means a system that provides electronic 
26.19 	verification of services that complies with the 21st Century Cures Act, Public Law 114-255, 
26.20 	and the requirements of subdivision 3.
26.21 	(d) "Service" means one of the following includes:
26.22 	(1) personal care assistance services as defined in section 256B.0625, subdivision 19a, 
26.23 	and provided according to section 256B.0659;
26.24 	(2) community first services and supports under section 256B.85;
26.25 	(3) home health services under section 256B.0625, subdivision 6a; or
26.26 	(4) other medical supplies and equipment or home and community-based services that 
26.27 	are required to be electronically verified by the 21st Century Cures Act, Public Law 114-255.;
26.28 	(5) services provided by a provider type designated by the commissioner as high-risk 
26.29 	under section 256B.044, subdivision 1; and
27.1 	(6) home and community-based services reimbursed at an hourly or specified 
27.2 	minute-based rate and provided according to a federally approved waiver plan as authorized 
27.3 	under chapter 256S and sections 256B.0913, 256B.092, and 256B.49.

27.4 	Sec. 17. Minnesota Statutes 2025 Supplement, section 256B.0759, subdivision 4, is 
27.5 	amended to read:
27.6 		Subd. 4.Provider payment rates. (a) Payment rates for participating providers must 
27.7 	be increased for services provided to medical assistance enrollees. To receive a rate increase, 
27.8 	participating providers must meet demonstration project requirements and provide evidence 
27.9 	of formal referral arrangements with providers delivering step-up or step-down levels of 
27.10 	care. Providers that have enrolled in the demonstration project but have not met the provider 
27.11 	standards under subdivision 3 as of July 1, 2022, are not eligible for a rate increase under 
27.12 	this subdivision until the date that the provider meets the provider standards in subdivision 
27.13 	3. Services provided from July 1, 2022, to the date that the provider meets the provider 
27.14 	standards under subdivision 3 shall be reimbursed at rates according to section 254B.0505, 
27.15 	subdivision 1. Rate increases paid under this subdivision to a provider for services provided 
27.16 	between July 1, 2021, and July 1, 2022, are not subject to recoupment when the provider 
27.17 	is taking meaningful steps to meet demonstration project requirements that are not otherwise 
27.18 	required by law, and the provider provides documentation to the commissioner, upon request, 
27.19 	of the steps being taken.
27.20 	(b) The commissioner may temporarily suspend payments to the provider according to 
27.21 	section 256B.04, subdivision 21, paragraph (d) 256B.0442, subdivision 1, if the provider 
27.22 	does not meet the requirements in paragraph (a). Payments withheld from the provider must 
27.23 	be made once the commissioner determines that the requirements in paragraph (a) are met.
27.24 	(c) For outpatient individual and group substance use disorder services under section 
27.25 	254B.0505, subdivision 1, clause (1), and adolescent treatment programs that are licensed 
27.26 	as outpatient treatment programs according to sections 245G.01 to 245G.18, provided on 
27.27 	or after January 1, 2021, payment rates must be increased by 20 percent over the rates in 
27.28 	effect on December 31, 2020.
27.29 	(d) Effective January 1, 2021, and contingent on annual federal approval, managed care 
27.30 	plans and county-based purchasing plans must reimburse providers of the substance use 
27.31 	disorder services meeting the criteria described in paragraph (a) who are employed by or 
27.32 	under contract with the plan an amount that is at least equal to the fee-for-service base rate 
27.33 	payment for the substance use disorder services described in paragraph (c). The commissioner 
27.34 	must monitor the effect of this requirement on the rate of access to substance use disorder 
28.1 	services and residential substance use disorder rates. Capitation rates paid to managed care 
28.2 	organizations and county-based purchasing plans must reflect the impact of this requirement. 
28.3 	This paragraph expires if federal approval is not received at any time as required under this 
28.4 	paragraph.
28.5 	(e) Effective July 1, 2021, contracts between managed care plans and county-based 
28.6 	purchasing plans and providers to whom paragraph (d) applies must allow recovery of 
28.7 	payments from those providers if, for any contract year, federal approval for the provisions 
28.8 	of paragraph (d) is not received, and capitation rates are adjusted as a result. Payment 
28.9 	recoveries must not exceed the amount equal to any decrease in rates that results from this 
28.10 	provision.
28.11 	(f) For substance use disorder services with medications for opioid use disorder under 
28.12 	section 254B.0505, subdivision 1, clause (7), provided on or after January 1, 2021, payment 
28.13 	rates must be increased by 20 percent over the rates in effect on December 31, 2020. Upon 
28.14 	implementation of new rates according to section 254B.121, the 20 percent increase will 
28.15 	no longer apply.

28.16 	Sec. 18. Minnesota Statutes 2025 Supplement, section 256B.0949, subdivision 16, is 
28.17 	amended to read:
28.18 		Subd. 16.Agency duties. (a) An agency delivering an EIDBI service under this section 
28.19 	must:
28.20 	(1) enroll as a medical assistance Minnesota health care program provider according to 
28.21 	Minnesota Rules, part 9505.0195, and section 256B.04, subdivision 21 sections 256B.044 
28.22 	to 256B.0445, and meet all applicable provider standards and requirements;
28.23 	(2) designate an individual as the agency's compliance officer who must perform the 
28.24 	duties described in section 256B.04, subdivision 21, paragraph (g) 256B.044, subdivision 
28.25 	7, paragraph (b);
28.26 	(3) demonstrate compliance with federal and state laws for the delivery of and billing 
28.27 	for EIDBI service;
28.28 	(4) verify and maintain records of a service provided to the person or the person's legal 
28.29 	representative as required under Minnesota Rules, parts 9505.2175 and 9505.2197;
28.30 	(5) demonstrate that while enrolled or seeking enrollment as a Minnesota health care 
28.31 	program provider the agency did not have a lead agency contract or provider agreement 
28.32 	discontinued because of a conviction of fraud; or did not have an owner, board member, or 
28.33 	manager fail a state or federal criminal background check or appear on the list of excluded 
29.1 	individuals or entities maintained by the federal Department of Human Services Office of 
29.2 	Inspector General;
29.3 	(6) have established business practices including written policies and procedures, internal 
29.4 	controls, and a system that demonstrates the organization's ability to deliver quality EIDBI 
29.5 	services, appropriately submit claims, conduct required staff training, document staff 
29.6 	qualifications, document service activities, and document service quality;
29.7 	(7) have an office located in Minnesota or a border state;
29.8 	(8) initiate a background study as required under subdivision 16a;
29.9 	(9) report maltreatment according to section 626.557 and chapter 260E;
29.10 	(10) comply with any data requests consistent with the Minnesota Government Data 
29.11 	Practices Act, sections 256B.064 and 256B.27;
29.12 	(11) provide training for all agency staff on the requirements and responsibilities listed 
29.13 	in the Maltreatment of Minors Act, chapter 260E, and the Vulnerable Adult Protection Act, 
29.14 	section 626.557, including mandated and voluntary reporting, nonretaliation, and the agency's 
29.15 	policy for all staff on how to report suspected abuse and neglect;
29.16 	(12) have a written policy to resolve issues collaboratively with the person and the 
29.17 	person's legal representative when possible. The policy must include a timeline for when 
29.18 	the person and the person's legal representative will be notified about issues that arise in 
29.19 	the provision of services;
29.20 	(13) provide the person's legal representative with prompt notification if the person is 
29.21 	injured while being served by the agency. An incident report must be completed by the 
29.22 	agency staff member in charge of the person. A copy of all incident and injury reports must 
29.23 	remain on file at the agency for at least five years from the report of the incident;
29.24 	(14) before starting a service, provide the person or the person's legal representative a 
29.25 	description of the treatment modality that the person shall receive, including the staffing 
29.26 	certification levels and training of the staff who shall provide a treatment;
29.27 	(15) provide clinical supervision for a minimum of one hour for every 16 hours of direct 
29.28 	treatment per person, unless otherwise authorized in the person's individual treatment plan; 
29.29 	and
29.30 	(16) provide required EIDBI intervention observation and direction at least once per 
29.31 	month. Notwithstanding subdivision 13, paragraph (l), required EIDBI intervention 
29.32 	observation and direction under this clause may be conducted via telehealth provided that 
30.1 	no more than two consecutive monthly required EIDBI intervention observation and direction 
30.2 	sessions under this clause are conducted via telehealth.
30.3 	(b) Upon request of the commissioner, an agency delivering services under this section 
30.4 	must:
30.5 	(1) identify the agency's controlling individuals, as defined under section 245A.02, 
30.6 	subdivision 5a;
30.7 	(2) provide disclosures of the use of billing agencies and other consultants who do not 
30.8 	provide EIDBI services; and
30.9 	(3) provide copies of any contracts with consultants or independent contractors who do 
30.10 	not provide EIDBI services, including hours contracted and responsibilities.
30.11 	(c) When delivering the ITP, and annually thereafter, an agency must provide the person 
30.12 	or the person's legal representative with:
30.13 	(1) a written copy and a verbal explanation of the person's or person's legal 
30.14 	representative's rights and the agency's responsibilities;
30.15 	(2) documentation in the person's file the date that the person or the person's legal 
30.16 	representative received a copy and explanation of the person's or person's legal 
30.17 	representative's rights and the agency's responsibilities; and
30.18 	(3) reasonable accommodations to provide the information in another format or language 
30.19 	as needed to facilitate understanding of the person's or person's legal representative's rights 
30.20 	and the agency's responsibilities.

30.21 	Sec. 19. Minnesota Statutes 2024, section 256B.0949, subdivision 17, is amended to read:
30.22 		Subd. 17.Provider shortage; authority for exceptions. (a) In consultation with the 
30.23 	Early Intensive Developmental and Behavioral Intervention Advisory Council and 
30.24 	stakeholders, including agencies, professionals, parents of people with ASD or a related 
30.25 	condition, and advocacy organizations, the commissioner shall determine if a shortage of 
30.26 	EIDBI providers exists. For the purposes of this subdivision, "shortage of EIDBI providers" 
30.27 	means a lack of availability of providers who meet the EIDBI provider qualification 
30.28 	requirements under subdivision 15 that results in the delay of access to timely services under 
30.29 	this section, or that significantly impairs the ability of a provider agency to have sufficient 
30.30 	providers to meet the requirements of this section. The commissioner shall consider 
30.31 	geographic factors when determining the prevalence of a shortage. The commissioner may 
30.32 	determine that a shortage exists only in a specific region of the state, multiple regions of 
31.1 	the state, or statewide. The commissioner shall also consider the availability of various types 
31.2 	of treatment modalities covered under this section.
31.3 	(b) The commissioner, in consultation with the Early Intensive Developmental and 
31.4 	Behavioral Intervention Advisory Council and stakeholders, must establish processes and 
31.5 	criteria for granting an exception under this paragraph. The commissioner may grant an 
31.6 	exception only if the exception would not compromise a person's safety and not diminish 
31.7 	the effectiveness of the treatment. The commissioner may establish an expiration date for 
31.8 	an exception granted under this paragraph. The commissioner may grant an exception for 
31.9 	the following:
31.10 	(1) EIDBI provider qualifications under this section;
31.11 	(2) medical assistance provider enrollment requirements under section 256B.04, 
31.12 	subdivision 21 sections 256B.044 to 256B.0445; or
31.13 	(3) EIDBI provider or agency standards or requirements.
31.14 	(c) If the commissioner, in consultation with the Early Intensive Developmental and 
31.15 	Behavioral Intervention Advisory Council and stakeholders, determines that a shortage no 
31.16 	longer exists, the commissioner must submit a notice that a shortage no longer exists to the 
31.17 	chairs and ranking minority members of the senate and the house of representatives 
31.18 	committees with jurisdiction over health and human services. The commissioner must post 
31.19 	the notice for public comment for 30 days. The commissioner shall consider public comments 
31.20 	before submitting to the legislature a request to end the shortage declaration. The 
31.21 	commissioner shall not declare the shortage of EIDBI providers ended without direction 
31.22 	from the legislature to declare it ended.

31.23 	Sec. 20. Minnesota Statutes 2025 Supplement, section 256B.4912, subdivision 1, is 
31.24 	amended to read:
31.25 		Subdivision 1.Provider qualifications. (a) For the home and community-based waivers 
31.26 	providing services to seniors and individuals with disabilities under chapter 256S and 
31.27 	sections 256B.0913, 256B.092, and 256B.49, the commissioner shall establish:
31.28 	(1) agreements with enrolled waiver service providers to ensure providers meet Minnesota 
31.29 	health care program requirements;
31.30 	(2) regular reviews of provider qualifications, and including requests of for proof of 
31.31 	documentation; and
31.32 	(3) processes to gather the necessary information to determine provider qualifications.
32.1 	(b) A provider shall not require or coerce any service recipient to change waiver programs 
32.2 	or move to a different location, consistent with the informed choice and independent living 
32.3 	policies under section 256B.4905, subdivisions 1a, 2a, 3a, 7, and 8.
32.4 	(c) For staff that provide direct contact, as defined in section 245C.02, subdivision 11, 
32.5 	for services specified in the federally approved waiver plans, providers must meet the 
32.6 	requirements of chapter 245C and maintain documentation of background study requests 
32.7 	and results. This requirement also applies to consumer-directed community supports.
32.8 	(d) Service owners and managerial officials overseeing the management or policies of 
32.9 	services that provide direct contact as specified in the federally approved waiver plans must 
32.10 	meet the requirements of chapter 245C prior to reenrollment or revalidation or, for new 
32.11 	providers, prior to initial enrollment if they have not already done so as a part of service 
32.12 	licensure requirements.

32.13 	Sec. 21. Minnesota Statutes 2024, section 256B.4912, is amended by adding a subdivision 
32.14 	to read:
32.15 		Subd. 10a.Individual provider identifier. (a) Effective January 1, 2027, staff that 
32.16 	provide direct contact, as defined in section 245C.02, subdivision 11, for services specified 
32.17 	in the federally approved waiver plans must enroll individually with Minnesota health care 
32.18 	programs as a medical assistance provider. This requirement also applies to 
32.19 	consumer-directed community supports.
32.20 	(b) For individuals enrolling individually under this subdivision, the commissioner must 
32.21 	conform with the requirements of section 256B.0444, subdivision 3.

32.22 	Sec. 22. Minnesota Statutes 2024, section 256B.4912, subdivision 12, is amended to read:
32.23 		Subd. 12.Home and community-based service documentation requirements. (a) 
32.24 	Unless the provider is required to use an electronic visit verification system authorized 
32.25 	under section 256B.073, the provider must collect and maintain documentation may be 
32.26 	collected and maintained electronically or in paper form by providers and must be produced. 
32.27 	The provider must produce all documentation upon request by the commissioner.
32.28 	(b) Documentation of a delivered service must be in English and must be legible according 
32.29 	to the standard of a reasonable person.
32.30 	(c) If the service is reimbursed at an hourly or specified minute-based rate, each 
32.31 	documentation of the provision of a service, unless otherwise specified, must include:
32.32 	(1) the date the documentation occurred;
33.1 	(2) the day, month, and year when the service was provided;
33.2 	(3) the start and stop times with a.m. and p.m. designations, except for case management 
33.3 	services as defined under chapter 256S and sections 256B.0913, subdivision 7; 256B.092, 
33.4 	subdivision 1a; and 256B.49, subdivision 13;
33.5 	(4) the service name or description of the service provided; and
33.6 	(5) the name, individual provider identifier, signature, and title, if any, of the provider 
33.7 	of service. If the service is provided by multiple staff members, the provider may designate 
33.8 	a staff member responsible for verifying services and completing the documentation required 
33.9 	by this paragraph.
33.10 	(d) If the service is reimbursed at a daily rate or does not meet the requirements in 
33.11 	paragraph (c), each documentation of the provision of a service, unless otherwise specified, 
33.12 	must include:
33.13 	(1) the date the documentation occurred;
33.14 	(2) the day, month, and year when the service was provided;
33.15 	(3) the service name or description of the service provided; and
33.16 	(4) the name, individual provider identifier, signature, and title, if any, of the person 
33.17 	providing the service. If the service is provided by multiple staff, the provider may designate 
33.18 	a staff member responsible for verifying services and completing the documentation required 
33.19 	by this paragraph. The designated staff member verifying the services must include in the 
33.20 	documentation of the provision of a service the names and individual provider identifiers 
33.21 	of all staff who provided the service.

33.22 	Sec. 23. Minnesota Statutes 2024, section 256B.4912, subdivision 14, is amended to read:
33.23 		Subd. 14.Equipment and supply documentation requirements. (a) In addition to An 
33.24 	equipment and supply services provider must follow the requirements in subdivision 12, 
33.25 	except for the requirement to provide an individual provider identifier. An equipment and 
33.26 	supply services provider must also include for each documentation of the provision of a 
33.27 	service include:
33.28 	(1) the recipient's assessed need for the equipment or supply;
33.29 	(2) the reason the equipment or supply is not covered by the Medicaid state plan;
33.30 	(3) the type and brand name of the equipment or supply delivered to or purchased by 
33.31 	the recipient, including whether the equipment or supply was rented or purchased;
34.1 	(4) the quantity of the equipment or supply delivered or purchased; and
34.2 	(5) the cost of the equipment or supply if the amount paid for the service depends on 
34.3 	the cost.
34.4 	(b) A provider must maintain a copy of the shipping invoice or a delivery service tracking 
34.5 	log or other documentation showing the date of delivery that proves the equipment or supply 
34.6 	was delivered to the recipient or a receipt if the equipment or supply was purchased by the 
34.7 	recipient.

34.8 	Sec. 24. Minnesota Statutes 2024, section 256B.4912, subdivision 15, is amended to read:
34.9 		Subd. 15.Adult day service documentation and billing requirements. (a) In addition 
34.10 	to the requirements in subdivision 12, a provider of adult day services as defined in section 
34.11 	245A.02, subdivision 2a, and licensed under Minnesota Rules, parts 9555.9600 to 9555.9730, 
34.12 	must maintain documentation of:
34.13 	(1) a needs assessment and current plan of care according to section 245A.143, 
34.14 	subdivisions 4 to 7, or Minnesota Rules, part 9555.9700, for each recipient, if applicable;
34.15 	(2) attendance records as specified under section 245A.14, subdivision 14, paragraph 
34.16 	(a), including the date of attendance with the day, month, and year; and the pickup and 
34.17 	drop-off time in hours and minutes with a.m. and p.m. designations;
34.18 	(3) the monthly and quarterly program requirements in Minnesota Rules, part 9555.9710, 
34.19 	subparts 1, items E and H; 3; 4; and 6, if applicable;
34.20 	(4) the name, individual provider identifier, and qualification of each registered physical 
34.21 	therapist, registered nurse, and registered dietitian who provides services to the adult day 
34.22 	services or nonresidential program; and
34.23 	(5) the location where the service was provided. If the location is an alternate location 
34.24 	from the usual place of service, the documentation must include the address, or a description 
34.25 	if the address is not available, of both the origin site and destination site; the length of time 
34.26 	at the alternate location with a.m. and p.m. designations; and a list of participants who went 
34.27 	to the alternate location.
34.28 	(b) A provider must not exceed the provider's licensed capacity. If a provider exceeds 
34.29 	the provider's licensed capacity, the department commissioner must recover all Minnesota 
34.30 	health care programs payments from the date the provider exceeded licensed capacity.

35.1 	Sec. 25. MANDATORY COMPLIANCE TRAINING FOR CURRENTLY 
35.2 	ENROLLED HIGH-RISK MEDICAL ASSISTANCE PROVIDERS.
 35.3 	The owners and employees of any medical assistance provider agency subject to the 
35.4 	requirements of Minnesota Statutes, section 256B.0444, subdivision 2, and enrolled before 
35.5 	January 1, 2027, must complete initial compliance training by January 1, 2028. Owners and 
35.6 	employees of PCA and CFSS agencies who enrolled before January 1, 2027, and have 
35.7 	previously completed training under Minnesota Statutes, section 256B.0659, subdivision 
35.8 	21, paragraph (c), or 256B.85, subdivision 12, paragraph (c), are not subject to the initial 
35.9 	training requirements of this section but must repeat the compliance training prior to 
35.10 	revalidation as a medical assistance provider.

35.11 	Sec. 26. DIRECTION TO THE COMMISSIONER OF HUMAN SERVICES; 
35.12 	UNREDACTED INITIAL OPTUM REPORTS.
 35.13 	(a) For the purposes of this section, "initial Optum reports" means the reports produced 
35.14 	by Optum, Inc., under contract with the Department of Human Services and announced in 
35.15 	the news release from the department on February 6, 2026.
35.16 	(b) Notwithstanding any law to the contrary, upon a joint request by both the chairs and 
35.17 	ranking minority members of a legislative committee with jurisdiction over human services 
35.18 	policy and finance, the commissioner of human services must immediately release the initial 
35.19 	Optum reports to the members of that legislative committee in the reports' entirety without 
35.20 	redactions or edits, except for redactions requested by Optum to protect proprietary 
35.21 	information. Legislators or legislative staff who receive initial Optum reports under this 
35.22 	section must not disseminate or publicize any not public data, as defined in Minnesota 
35.23 	Statutes, section 13.02, subdivision 8a, that the reports contain.

35.24 	EFFECTIVE DATE. This section is effective 14 days following final enactment.

35.25 	Sec. 27. OPTUM PROHIBITED FROM DISSEMINATING PRIVATE DATA.
 35.26 	Optum, Inc., must not sell, share, or disseminate any private data on individuals, as 
35.27 	defined in Minnesota Statutes, section 13.02, subdivision 12, that Optum receives under or 
35.28 	incidental to Optum's contract or engagement with the Department of Human Services 
35.29 	pursuant to the governor's Executive Order No. 25-10.

35.30 	Sec. 28. REPEALER.
 35.31 	Minnesota Statutes 2025 Supplement, sections 256B.051, subdivision 6b; and 256B.0701, 
35.32 	subdivision 11, are repealed.

APPENDIX 

Repealed Minnesota Statutes: S3861-2 

256B.051 HOUSING STABILIZATION SERVICES.Subd. 6b.Requirements for provider enrollment. 
(a) Effective January 1, 2027, to enroll as a housing stabilization services provider agency, an agency must require all owners of the agency who are active in the day-to-day management and operations of the agency and managerial and supervisory employees to complete compliance training before applying for enrollment and every three years thereafter. Mandatory compliance training format and content must be determined by the commissioner and must include the following topics: 

(1) state and federal program billing, documentation, and service delivery requirements; 

(2) enrollment requirements; 

(3) provider program integrity, including fraud prevention, detection, and penalties; 

(4) fair labor standards; 

(5) workplace safety requirements; and 

(6) recent changes in service requirements. 

(b) New owners active in day-to-day management and operations of the agency and new managerial and supervisory employees must complete compliance training under this subdivision to be employed by or conduct management and operations activities for the agency. If an individual moves to another housing stabilization services provider agency and serves in a similar ownership or employment capacity, the individual is not required to repeat the training required under this subdivision if the individual documents completion of the training within the past three years. 

(c) Any housing stabilization services provider agency enrolled before January 1, 2027, must complete the compliance training by January 1, 2028, and every three years thereafter. 

256B.0701 RECUPERATIVE CARE SERVICES.Subd. 11.Requirements for provider enrollment; compliance training. 
(a) Effective January 1, 2027, to enroll as a recuperative care provider, a provider must require all owners of the provider who are active in the day-to-day management and operations of the agency and all managerial and supervisory employees to complete compliance training before applying for enrollment and every three years thereafter. Mandatory compliance training format and content must be determined by the commissioner and must include the following topics: 

(1) state and federal program billing, documentation, and service delivery requirements; 

(2) enrollment requirements; 

(3) provider program integrity, including fraud prevention, detection, and penalties; 

(4) fair labor standards; 

(5) workplace safety requirements; and 

(6) recent changes in service requirements. 

(b) New owners active in day-to-day management and operations of the provider and new managerial and supervisory employees must complete compliance training under this subdivision to be employed by or conduct management and operations activities for the provider. If an individual moves to another recuperative care provider and serves in a similar ownership or employment capacity, the individual is not required to repeat the training required under this subdivision if the individual documents completion of the training within the past three years. 

(c) Any recuperative care provider enrolled before January 1, 2027, must complete the compliance training by January 1, 2028, and every three years thereafter.