Engrossments
Introduction		Posted on 02/07/2007

Section 1.

Minnesota Statutes 2006, section 119B.011, is amended by adding a
subdivision to read:

new text begin Subd. 13a. new text end

new text begin Family stabilization services program. new text end

new text begin "Family stabilization services
program" means the program under section 256J.575.
new text end

Sec. 2.

Minnesota Statutes 2006, section 119B.05, subdivision 1, is amended to read:

Subdivision 1.

Eligible participants.

Families eligible for child care assistance
under the MFIP child care program are:

(1) MFIP participants who are employed or in job search and meet the requirements
of section 119B.10;

(2) persons who are members of transition year families under section 119B.011,
subdivision 20, and meet the requirements of section 119B.10;

(3) families who are participating in employment orientation or job search, or
other employment or training activities that are included in an approved employability
development plan under section 256J.95;

(4) MFIP families who are participating in work job search, job support,
employment, or training activities as required in their employment plan, or in appeals,
hearings, assessments, or orientations according to chapter 256J;

(5) MFIP families who are participating in social services activities under chapter
256J as required in their employment plan approved according to chapter 256J;

(6) new text begin families who are participating in services or activities that are included in an
approved family stabilization plan under section 256J.575;new text end

new text begin (7) new text end families who are participating in programs as required in tribal contracts under
section 119B.02, subdivision 2, or 256.01, subdivision 2; and

deleted text begin (7)deleted text end new text begin (8) new text end families who are participating in the transition year extension under section
119B.011, subdivision 20a.

Sec. 3.

Minnesota Statutes 2006, section 256J.01, is amended by adding a subdivision
to read:

new text begin Subd. 6. new text end

new text begin Legislative approval to move programs or activities. new text end

new text begin The commissioner
shall not move programs or activities funded with MFIP or TANF maintenance of effort
funds to other funding sources without legislative approval.
new text end

Sec. 4.

Minnesota Statutes 2006, section 256J.021, is amended to read:

256J.021 deleted text begin SEPARATEdeleted text end STATE deleted text begin PROGRAM FOR USE OF STATE MONEYdeleted text end new text begin
PROGRAMSnew text end .

(a) Until October 1, deleted text begin 2006deleted text end new text begin 2007new text end , the commissioner of human services must treat
MFIP expenditures made to or on behalf of any minor child under section 256J.02,
subdivision 2, clause (1), who is a resident of this state under section 256J.12, and who is
part of a two-parent eligible household as expenditures under a deleted text begin separately funded statedeleted text end
program deleted text begin and report those expenditures to the federal Department of Health and Human
Services as separate state program expenditures under Code of Federal Regulations, title
45, section 263.5deleted text end new text begin funded with state nonmaintenance of effort fundsnew text end .

(b) Beginning October 1, deleted text begin 2006deleted text end new text begin 2007new text end , new text begin and each year thereafter, new text end the commissioner of
human services must treat MFIP expenditures made to or on behalf of any minor child
under section 256J.02, subdivision 2, clause (1), who is a resident of this state under
section 256J.12, and who is part of a two-parent eligible household, as expenditures under
a separately funded state program. These expenditures shall not count toward the state's
maintenance of effort (MOE) requirements under the federal Temporary Assistance to
Needy Families (TANF) program except if counting certain families would allow the
commissioner to avoid a federal penalty. Families receiving assistance under this section
must comply with all applicable requirements in this chapter.

Sec. 5.

Minnesota Statutes 2006, section 256J.08, subdivision 65, is amended to read:

Subd. 65.

Participant.

new text begin (a) new text end "Participant" deleted text begin meansdeleted text end new text begin includes any of the following:
new text end

new text begin (1)new text end a person who is currently receiving cash assistance or the food portion available
through MFIPdeleted text begin . A person who fails to withdraw or access electronically any portion of the
person's cash and food assistance payment by the end of the payment month, who makes a
written request for closure before the first of a payment month and repays cash and food
assistance electronically issued for that payment month within that payment month, or
who returns any uncashed assistance check and food coupons and withdraws from the
program is not a participant.deleted text end new text begin ;
new text end

new text begin (2)new text end a person who withdraws a cash or food assistance payment by electronic transfer
or receives and cashes an MFIP assistance check or food coupons and is subsequently
determined to be ineligible for assistance for that period of time is a participant, regardless
whether that assistance is repaiddeleted text begin . The term "participant" includesdeleted text end new text begin ;
new text end

new text begin (3)new text end the caregiver relative and the minor child whose needs are included in the
assistance paymentdeleted text begin .deleted text end new text begin ;
new text end

new text begin (4)new text end a person in an assistance unit who does not receive a cash and food assistance
payment because the case has been suspended from MFIP deleted text begin is a participant.deleted text end new text begin ;
new text end

new text begin (5)new text end a person who receives cash payments under the diversionary work program
under section 256J.95 is a participantdeleted text begin .deleted text end new text begin ; and
new text end

new text begin (6) a person who receives cash payments under the family stabilization services
program under section 256J.575 is a participant.
new text end

new text begin (b) "Participant" does not include a person who fails to withdraw or access
electronically any portion of the person's cash and food assistance payment by the end of
the payment month, who makes a written request for closure before the first of a payment
month and repays cash and food assistance electronically issued for that payment month
within that payment month, or who returns any uncashed assistance check and food
coupons and withdraws from the program.new text end

Sec. 6.

Minnesota Statutes 2006, section 256J.20, subdivision 3, is amended to read:

Subd. 3.

Other property limitations.

To be eligible for MFIP, the equity value of
all nonexcluded real and personal property of the assistance unit must not exceed $2,000
for applicants and $5,000 for ongoing participants. The value of assets in clauses (1) to
(19) must be excluded when determining the equity value of real and personal property:

(1) a licensed vehicle deleted text begin up to a loan value of less than or equal to $7,500. The county
agency shall apply any excess loan value as if it were equity value to the asset limit
described in this sectiondeleted text end . If the assistance unit owns more than one licensed vehicle,
the county agency shall deleted text begin determine the vehicle with the highest loan value and count
only the loan value over $7,500, excluding: (i) the value of one vehicle per physically
disabled person when the vehicle is needed to transport the disabled unit member; this
exclusion does not apply to mentally disabled people; (ii) the value of special equipment
for a disabled member of the assistance unit; and (iii)deleted text end new text begin also exclude new text end any vehicle used for
long-distance travel, other than daily commuting, for the employment of a unit member.

The county agency shall count the deleted text begin loandeleted text end value of all other vehicles and apply this
amount deleted text begin as if it were equity valuedeleted text end to the asset limit described in this section. To establish the
deleted text begin loandeleted text end value of vehicles, a county agency must use the N.A.D.A. Official Used Car Guide,
Midwest Edition, for newer model cars. When a vehicle is not listed in the guidebook,
or when the applicant or participant disputes the deleted text begin loandeleted text end value listed in the guidebook as
unreasonable given the condition of the particular vehicle, the county agency may require
the applicant or participant document the deleted text begin loandeleted text end value by securing a written statement from
a motor vehicle dealer licensed under section 168.27, stating the amount that the dealer
would pay to purchase the vehicle. The county agency shall reimburse the applicant or
participant for the cost of a written statement that documents a lower deleted text begin loandeleted text end value;

(2) the value of life insurance policies for members of the assistance unit;

(3) one burial plot per member of an assistance unit;

(4) the value of personal property needed to produce earned income, including
tools, implements, farm animals, inventory, business loans, business checking and
savings accounts used at least annually and used exclusively for the operation of a
self-employment business, and any motor vehicles if at least 50 percent of the vehicle's use
is to produce income and if the vehicles are essential for the self-employment business;

(5) the value of personal property not otherwise specified which is commonly
used by household members in day-to-day living such as clothing, necessary household
furniture, equipment, and other basic maintenance items essential for daily living;

(6) the value of real and personal property owned by a recipient of Supplemental
Security Income or Minnesota supplemental aid;

(7) the value of corrective payments, but only for the month in which the payment
is received and for the following month;

(8) a mobile home or other vehicle used by an applicant or participant as the
applicant's or participant's home;

(9) money in a separate escrow account that is needed to pay real estate taxes or
insurance and that is used for this purpose;

(10) money held in escrow to cover employee FICA, employee tax withholding,
sales tax withholding, employee worker compensation, business insurance, property rental,
property taxes, and other costs that are paid at least annually, but less often than monthly;

(11) monthly assistance payments for the current month's or short-term emergency
needs under section 256J.626, subdivision 2;

(12) the value of school loans, grants, or scholarships for the period they are
intended to cover;

(13) payments listed in section 256J.21, subdivision 2, clause (9), which are held
in escrow for a period not to exceed three months to replace or repair personal or real
property;

(14) income received in a budget month through the end of the payment month;

(15) savings from earned income of a minor child or a minor parent that are set aside
in a separate account designated specifically for future education or employment costs;

(16) the federal earned income credit, Minnesota working family credit, state and
federal income tax refunds, state homeowners and renters credits under chapter 290A,
property tax rebates and other federal or state tax rebates in the month received and the
following month;

(17) payments excluded under federal law as long as those payments are held in a
separate account from any nonexcluded funds;

(18) the assets of children ineligible to receive MFIP benefits because foster care or
adoption assistance payments are made on their behalf; and

(19) the assets of persons whose income is excluded under section 256J.21,
subdivision 2, clause (43).

Sec. 7.

Minnesota Statutes 2006, section 256J.24, subdivision 10, is amended to read:

Subd. 10.

MFIP exit level.

The commissioner shall adjust the MFIP earned
income disregard to ensure that most participants do not lose eligibility for MFIP until
their income reaches at least deleted text begin 115deleted text end new text begin ....new text end percent of the federal poverty guidelines in effect in
October of each fiscal year. The adjustment to the disregard shall be based on a household
size of three, and the resulting earned income disregard percentage must be applied to all
household sizes. The adjustment under this subdivision must be implemented at the same
time as the October food stamp or food support cost-of-living adjustment is reflected in
the food portion of MFIP transitional standard as required under subdivision 5a.

Sec. 8.

Minnesota Statutes 2006, section 256J.30, subdivision 5, is amended to read:

Subd. 5.

deleted text begin Monthlydeleted text end MFIP household reports.

Each assistance unit with a member
who has earned income deleted text begin or a recent work historydeleted text end , and each assistance unit that has income
deemed to it from a financially responsible personnew text begin ,new text end must complete deleted text begin a monthlydeleted text end new text begin annew text end MFIP
household report formnew text begin every six monthsnew text end . deleted text begin "Recent work history" means the individual
received earned income in the report month or any of the previous three calendar months
even if the earnings are excluded.deleted text end To be complete, the MFIP household report form must
be signed and dated by the caregivers no earlier than the last day of the reporting period.
All questions required to determine assistance payment eligibility must be answered, and
documentation of earned income must be included.

Sec. 9.

Minnesota Statutes 2006, section 256J.521, subdivision 1, is amended to read:

Subdivision 1.

Assessments.

(a) For purposes of MFIP employment services,
assessment is a continuing process of gathering information related to employability
for the purpose of identifying both participant's strengths and strategies for coping with
issues that interfere with employment. The job counselor must use information from the
assessment process to develop and update the employment plan under subdivision 2 or 3,
as appropriate, deleted text begin anddeleted text end to determine whether the participant qualifies for a family violence
waiver including an employment plan under subdivision 3new text begin , and to determine whether the
participant should be referred to the family stabilization services program under section
256J.575new text end .

(b) The scope of assessment must cover at least the following areas:

(1) basic information about the participant's ability to obtain and retain employment,
including: a review of the participant's education level; interests, skills, and abilities; prior
employment or work experience; transferable work skills; child care and transportation
needs;

(2) identification of personal and family circumstances that impact the participant's
ability to obtain and retain employment, including: any special needs of the children, the
level of English proficiency, family violence issues, and any involvement with social
services or the legal system;

(3) the results of a mental and chemical health screening tool designed by the
commissioner and results of the brief screening tool for special learning needs. Screening
tools for mental and chemical health and special learning needs must be approved by the
commissioner and may only be administered by job counselors or county staff trained in
using such screening tools. The commissioner shall work with county agencies to develop
protocols for referrals and follow-up actions after screens are administered to participants,
including guidance on how employment plans may be modified based upon outcomes
of certain screens. Participants must be told of the purpose of the screens and how the
information will be used to assist the participant in identifying and overcoming barriers to
employment. Screening for mental and chemical health and special learning needs must
be completed by participants who are unable to find suitable employment after six weeks
of job search under subdivision 2, paragraph (b), and participants who are determined to
have barriers to employment under subdivision 2, paragraph (d). Failure to complete the
screens will result in sanction under section 256J.46; and

(4) a comprehensive review of participation and progress for participants who have
received MFIP assistance and have not worked in unsubsidized employment during the
past 12 months. The purpose of the review is to determine the need for additional services
and supports, including placement in subsidized employment or unpaid work experience
under section 256J.49, subdivision 13new text begin , or referral to the family stabilization services
program under section 256J.575new text end .

(c) Information gathered during a caregiver's participation in the diversionary work
program under section 256J.95 must be incorporated into the assessment process.

(d) The job counselor may require the participant to complete a professional chemical
use assessment to be performed according to the rules adopted under section 254A.03,
subdivision 3, including provisions in the administrative rules which recognize the cultural
background of the participant, or a professional psychological assessment as a component
of the assessment process, when the job counselor has a reasonable belief, based on
objective evidence, that a participant's ability to obtain and retain suitable employment
is impaired by a medical condition. The job counselor may assist the participant with
arranging services, including child care assistance and transportation, necessary to meet
needs identified by the assessment. Data gathered as part of a professional assessment
must be classified and disclosed according to the provisions in section 13.46.

Sec. 10.

Minnesota Statutes 2006, section 256J.521, subdivision 2, is amended to read:

Subd. 2.

Employment plan; contents.

(a) Based on the assessment under
subdivision 1, the job counselor and the participant must develop an employment plan
that includes participation in activities and hours that meet the requirements of section
256J.55, subdivision 1. The purpose of the employment plan is to identify for each
participant the most direct path to unsubsidized employment and any subsequent steps that
support long-term economic stability. The employment plan should be developed using
the highest level of activity appropriate for the participant. Activities must be chosen from
clauses (1) to (6), which are listed in order of preference. Notwithstanding this order of
preference for activities, priority must be given for activities related to a family violence
waiver when developing the employment plan. The employment plan must also list the
specific steps the participant will take to obtain employment, including steps necessary
for the participant to progress from one level of activity to another, and a timetable for
completion of each step. Levels of activity include:

(1) unsubsidized employment;

(2) job search;

(3) subsidized employment or unpaid work experience;

(4) unsubsidized employment and job readiness education or job skills training;

(5) unsubsidized employment or unpaid work experience and activities related to
a family violence waiver or preemployment needs; and

(6) activities related to a family violence waiver or preemployment needs.

(b) Participants who are determined to possess sufficient skills such that the
participant is likely to succeed in obtaining unsubsidized employment must job search at
least 30 hours per week for up to six weeks and accept any offer of suitable employment.
The remaining hours necessary to meet the requirements of section 256J.55, subdivision
1, may be met through participation in other work activities under section 256J.49,
subdivision 13. The participant's employment plan must specify, at a minimum: (1)
whether the job search is supervised or unsupervised; (2) support services that will
be provided; and (3) how frequently the participant must report to the job counselor.
Participants who are unable to find suitable employment after six weeks must meet
with the job counselor to determine whether other activities in paragraph (a) should be
incorporated into the employment plan. Job search activities which are continued after six
weeks must be structured and supervised.

(c) Beginning July 1, 2004, activities and hourly requirements in the employment
plan may be adjusted as necessary to accommodate the personal and family circumstances
of participants identified under section 256J.561, subdivision 2, paragraph (d). Participants
who no longer meet the provisions of section 256J.561, subdivision 2, paragraph (d),
must meet with the job counselor within ten days of the determination to revise the
employment plan.

(d) Participants who are determined to have barriers to obtaining or retaining
employment that will not be overcome during six weeks of job search under paragraph (b)
must work with the job counselor to develop an employment plan that addresses those
barriers by incorporating appropriate activities from paragraph (a), clauses (1) to (6).
The employment plan must include enough hours to meet the participation requirements
in section 256J.55, subdivision 1, unless a compelling reason to require fewer hours
is noted in the participant's file.

(e) The job counselor and the participant must sign the employment plan to indicate
agreement on the contents. Failure to develop or comply with activities in the plan, or
voluntarily quitting suitable employment without good cause, will result in the imposition
of a sanction under section 256J.46.

(f) Employment plans must be reviewed at least every three months to determine
whether activities and hourly requirements should be revised.new text begin The job counselor is
encouraged to allow participants who are participating in at least 20 hours of work
activities to also participate in employment and training activities in order to meet the
federal hourly participation rates.
new text end

Sec. 11.

Minnesota Statutes 2006, section 256J.53, subdivision 2, is amended to read:

Subd. 2.

Approval of postsecondary education or training.

(a) deleted text begin In order for a
postsecondary education or training program to be an approved activity in an employment
plan, the participant must be working in unsubsidized employment at least 20 hours per
week.
deleted text end

deleted text begin (b)deleted text end Participants seeking approval of a postsecondary education or training plan
must provide documentation that:

(1) the employment goal can only be met with the additional education or training;

(2) there are suitable employment opportunities that require the specific education or
training in the area in which the participant resides or is willing to reside;

(3) the education or training will result in significantly higher wages for the
participant than the participant could earn without the education or training;

(4) the participant can meet the requirements for admission into the program; and

(5) there is a reasonable expectation that the participant will complete the training
program based on such factors as the participant's MFIP assessment, previous education,
training, and work history; current motivation; and changes in previous circumstances.

deleted text begin (c) The hourly unsubsidized employment requirement does not apply for intensive
education or training programs lasting 12 weeks or less when full-time attendance is
required.
deleted text end

deleted text begin (d)deleted text end new text begin (b) new text end Participants with an approved employment plan in place on July 1, 2003,
which includes more than 12 months of postsecondary education or training shall be
allowed to complete that plan provided that hourly requirements in section 256J.55,
subdivision 1, and conditions specified in paragraph deleted text begin (b)deleted text end new text begin (a)new text end , and subdivisions 3 and 5 are
met. A participant whose case is subsequently closed for three months or less for reasons
other than noncompliance with program requirements and who returns to MFIP shall
be allowed to complete that plan provided that hourly requirements in section 256J.55,
subdivision 1, and conditions specified in paragraph deleted text begin (b)deleted text end new text begin (a)new text end and subdivisions 3 and 5 are
met.

Sec. 12.

Minnesota Statutes 2006, section 256J.55, subdivision 1, is amended to read:

Subdivision 1.

Participation requirements.

(a) All caregivers must participate
in employment services under sections 256J.515 to 256J.57 concurrent with receipt of
MFIP assistance.

(b) Until July 1, 2004, participants who meet the requirements of section 256J.56 are
exempt from participation requirements.

(c) Participants under paragraph (a) must develop and comply with an employment
plan under section 256J.521 or section 256J.54 in the case of a participant under the age of
20 who has not obtained a high school diploma or its equivalent.

(d) With the exception of participants under the age of 20 who must meet the
education requirements of section 256J.54, all participants must meet the hourly
participation requirements of TANF or the hourly requirements listed in clauses (1) to
(3), whichever is higher.

(1) In single-parent families with no children under six years of age, the job
counselor and the caregiver must develop an employment plan that includes 30 deleted text begin to 35deleted text end
hours per week of work activities.

(2) In single-parent families with a child under six years of age, the job counselor
and the caregiver must develop an employment plan that includes 20 deleted text begin to 35deleted text end hours per
week of work activities.

(3) In two-parent families, the job counselor and the caregivers must develop
employment plans which result in a combined total of at least 55 hours per week of work
activities.

(e) Failure to participate in employment services, including the requirement to
develop and comply with an employment plan, including hourly requirements, without
good cause under section 256J.57, shall result in the imposition of a sanction under section
256J.46.

Sec. 13.

new text begin [256J.575] FAMILY STABILIZATION SERVICES PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Purpose. new text end

new text begin (a) The family stabilization services program is
Minnesota's cash assistance program to serve families who are not making significant
progress within the Minnesota family investment program (MFIP) due to a variety of
barriers to employment.
new text end

new text begin (b) The goal of this program is to stabilize and improve the lives of families at risk
of long-term welfare dependency or family instability due to employment barriers such
as physical disability, mental disability, age, or providing care for a disabled household
member. This program provides services to promote and support families to achieve the
greatest possible degree of self-sufficiency.
new text end

new text begin Subd. 2. new text end

new text begin Definitions. new text end

new text begin The terms used in this section have the meanings given them
in paragraphs (a) to (d).
new text end

new text begin (a) "Family stabilization services program" means the program established under
this section.
new text end

new text begin (b) "Case management" means the services provided by or through the county agency
to participating families, including assessment, information, referrals, and assistance in the
preparation and implementation of a family stabilization plan under subdivision 5.
new text end

new text begin (c) "Family stabilization plan" means a plan developed by a case manager and
the participant, which identifies the participant's most appropriate path to unsubsidized
employment, family stability, and barrier reduction, taking into account the family's
circumstances.
new text end

new text begin (d) "Family stabilization services" means programs, activities, and services in this
section that provide participants and their family members with assistance regarding,
but not limited to:
new text end

new text begin (1) obtaining and retaining unsubsidized employment;
new text end

new text begin (2) family stability;
new text end

new text begin (3) economic stability; and
new text end

new text begin (4) barrier reduction.
new text end

new text begin The goal of the program is to achieve the greatest degree of economic self-sufficiency
and family well-being possible for the family under the circumstances.
new text end

new text begin Subd. 3. new text end

new text begin Eligibility. new text end

new text begin (a) The following MFIP or diversionary work program (DWP)
participants are eligible for the program under this section:
new text end

new text begin (1) a participant identified under section 256J.561, subdivision 2, paragraph (d), who
has or is eligible for an employment plan developed under section 256J.521, subdivision
2, paragraph (c);
new text end

new text begin (2) a participant identified under section 256J.95, subdivision 12, paragraph (b), as
unlikely to benefit from the diversionary work program;
new text end

new text begin (3) a participant who meets the requirements for or has been granted a hardship
extension under section 256J.425, subdivision 2 or 3;
new text end

new text begin (4) a participant who is applying for supplemental security income or Social Security
disability insurance; and
new text end

new text begin (5) a participant who is a noncitizen who has been in the state for six or fewer months.
new text end

new text begin (b) Families must meet all other eligibility requirements for MFIP established in
this chapter. Families are eligible for financial assistance to the same extent as if they
were participating in MFIP.
new text end

new text begin Subd. 4. new text end

new text begin Universal participation. new text end

new text begin All caregivers must participate in family
stabilization services as defined in subdivision 2.
new text end

new text begin Subd. 5. new text end

new text begin Case management; family stabilization plans; coordinated services.
new text end

new text begin (a) The county agency shall provide family stabilization services to families through a
case management model. A case manager shall be assigned to each participating family
within 30 days after the family begins to receive financial assistance as a participant of
the family stabilization services program. The case manager, with the full involvement
of the family, shall recommend, and the county agency shall establish and modify as
necessary, a family stabilization plan for each participating family. If a participant is
already assigned to a county case manager or a county-contracted case manager in social
services or disability services, that case manager already assigned is the case manager for
purposes of this program.
new text end

new text begin (b) The family stabilization plan must include:
new text end

new text begin (1) each participant's plan for long-term self-sufficiency, including an employment
goal where applicable;
new text end

new text begin (2) an assessment of each participant's strengths and barriers, and any special
circumstances of the participant's family that impact, or are likely to impact, the
participant's progress towards the goals in the plan; and
new text end

new text begin (3) an identification of the services, supports, education, training, and
accommodations needed to reduce or overcome any barriers to enable the family to
achieve self-sufficiency and to fulfill each caregiver's personal and family responsibilities.
new text end

new text begin (c) The case manager and the participant shall meet within 30 days of the family's
referral to the case manager. The initial family stabilization plan must be completed within
30 days of the first meeting with the case manager. The case manager shall establish a
schedule for periodic review of the family stabilization plan that includes personal contact
with the participant at least once per month. In addition, the case manager shall review
and, if necessary, modify the plan under the following circumstances:
new text end

new text begin (1) there is a lack of satisfactory progress in achieving the goals of the plan;
new text end

new text begin (2) the participant has lost unsubsidized or subsidized employment;
new text end

new text begin (3) a family member has failed or is unable to comply with a family stabilization
plan requirement;
new text end

new text begin (4) services, supports, or other activities required by the plan are unavailable;
new text end

new text begin (5) changes to the plan are needed to promote the well-being of the children; or
new text end

new text begin (6) the participant and case manager determine that the plan is no longer appropriate
for any other reason.
new text end

new text begin Subd. 6. new text end

new text begin Cooperation with program requirements. new text end

new text begin (a) To be eligible, a participant
shall comply with paragraphs (b) to (e).
new text end

new text begin (b) Participants shall engage in family stabilization plan services for the appropriate
number of hours per week that the activities are scheduled and available, unless good
cause exists for not doing so, as defined in section 256J.57, subdivision 1. The appropriate
number of hours must be based on the participant's plan.
new text end

new text begin (c) The case manager shall review the participant's progress toward the goals in the
family stabilization plan every six months to determine whether conditions have changed,
including whether revisions to the plan are needed.
new text end

new text begin (d) When the participant has increased participation in work-related activities
sufficient to meet the federal participation requirements of TANF, the county agency shall
refer the participant to the MFIP program and assign the participant to a job counselor.
The participant and the job counselor shall meet within 15 days of referral to the MFIP
program to develop an employment plan under section 256J.521. No reapplication is
necessary and financial assistance continues without interruption.
new text end

new text begin (e) A participant's requirement to comply with any or all family stabilization plan
requirements under this subdivision is excused when the case management services,
training and educational services, and family support services identified in the participant's
family stabilization plan are unavailable for reasons beyond the control of the participant,
including when money appropriated is not sufficient to provide the services.
new text end

new text begin Subd. 7. new text end

new text begin Sanctions. new text end

new text begin (a) The financial assistance grant of a participating family is
reduced according to section 256J.46, if a participating adult fails without good cause to
comply or continue to comply with the family stabilization plan requirements in this
subdivision, unless compliance has been excused under subdivision 6, paragraph (e).
new text end

new text begin (b) Given the purpose of the family stabilization services program in this section and
the nature of the underlying family circumstances that act as barriers to both employment
and full compliance with program requirements, sanctions are appropriate only when it is
clear that there is both the ability to comply and willful noncompliance by the participant,
as confirmed by a behavioral health or medical professional.
new text end

new text begin (c) Prior to the imposition of a sanction, the county agency shall review the
participant's case to determine if the family stabilization plan is still appropriate and
meet with the participant face-to-face. The participant may bring an advocate to the
face-to-face meeting.
new text end

new text begin During the face-to-face meeting, the county agency must:
new text end

new text begin (1) determine whether the continued noncompliance can be explained and mitigated
by providing a needed family stabilization service, as defined in subdivision 2, paragraph
(d);
new text end

new text begin (2) determine whether the participant qualifies for a good cause exception under
section 256J.57, or if the sanction is for noncooperation with child support requirements,
determine if the participant qualifies for a good cause exemption under section 256.741,
subdivision 10;
new text end

new text begin (3) determine whether activities in the family stabilization plan are appropriate
based on the family's circumstances;
new text end

new text begin (4) explain the consequences of continuing noncompliance;
new text end

new text begin (5) identify other resources that may be available to the participant to meet the
needs of the family; and
new text end

new text begin (6) inform the participant of the right to appeal under section 256J.40.
new text end

new text begin If the lack of an identified activity or service can explain the noncompliance, the
county shall work with the participant to provide the identified activity.
new text end

new text begin (d) If the participant fails to come to the face-to-face meeting, the case manager or a
designee shall attempt at least one home visit. If a face-to-face meeting is not conducted,
the county agency shall send the participant a written notice that includes the information
under paragraph (c).
new text end

new text begin (e) After the requirements of paragraphs (c) and (d) are met and prior to imposition
of a sanction, the county agency shall provide a notice of intent to sanction under section
256J.57, subdivision 2, and, when applicable, a notice of adverse action under section
256J.31.
new text end

new text begin (f) Section 256J.57 applies to this section except to the extent that it is modified
by this subdivision.
new text end

Sec. 14.

new text begin [256J.621] WORK PARTICIPATION BONUS.
new text end

new text begin (a) Upon exiting the diversionary work program (DWP) or upon terminating MFIP
cash assistance with earnings, a participant who is employed and working 24 hours a week
may be eligible for transitional assistance of $100 per month to assist in meeting the
family's basic needs as the participant continues to move toward self-sufficiency.
new text end

new text begin (b) To be eligible for a transitional assistance payment, the participant shall not
receive MFIP cash assistance or diversionary work program assistance during the
month and shall be employed an average of at least 24 hours a week to be determined
prospectively. If a holiday falls on a day during a participant's normal work shift, that
holiday counts as a work shift for purposes of calculating hours. When determining a
monthly average, the week that contains the first of the month is counted in the month
in which the following Friday falls. Transitional assistance is available for a maximum
of 12 months from the date the participant exited the diversionary work program or
terminated MFIP cash assistance.
new text end

new text begin (c) The commissioner shall establish minimal policies and develop forms to verify
eligibility for transitional assistance. The commissioner is authorized to change or
modify the provisions of this section in order to comply with federal rules or regulations
promulgated as a result of federal legislation passed in February 2006.
new text end

new text begin (d) Expenditures on the transitional assistance program are maintenance of effort
state funds. Months in which a participant receives transitional assistance under this
section do not count toward the participant's MFIP 60-month time limit.
new text end

Sec. 15.

Minnesota Statutes 2006, section 256J.626, subdivision 1, is amended to read:

Subdivision 1.

Consolidated fund.

The consolidated fund is established to support
counties and tribes in meeting their duties under this chapter. Counties and tribes must use
funds from the consolidated fund to develop programs and services that are designed to
improve participant outcomes as measured in section 256J.751, subdivision 2. Counties
may use the funds for any allowable expenditures under subdivision 2new text begin , and to provide case
management services to participants of the family stabilization services programnew text end . Tribes
may use the funds for any allowable expenditures under subdivision 2, except those in
clauses (1) and (6).

Sec. 16.

Minnesota Statutes 2006, section 256J.626, subdivision 2, is amended to read:

Subd. 2.

Allowable expenditures.

(a) The commissioner must restrict expenditures
under the consolidated fund to benefits and services allowed under title IV-A of the federal
Social Security Act. Allowable expenditures under the consolidated fund may include, but
are not limited to:

(1) short-term, nonrecurring shelter and utility needs that are excluded from the
definition of assistance under Code of Federal Regulations, title 45, section 260.31, for
families who meet the residency requirement in section 256J.12, subdivisions 1 and 1a.
Payments under this subdivision are not considered TANF cash assistance and are not
counted towards the 60-month time limit;

(2) transportation needed to obtain or retain employment or to participate in other
approved work activitiesnew text begin or activities under a family stabilization plannew text end ;

(3) direct and administrative costs of staff to deliver employment services for
MFIP deleted text begin ordeleted text end new text begin , new text end the diversionary work program,new text begin or the family stabilization services program;
new text end to administer financial assistancedeleted text begin ,deleted text end new text begin ; new text end and to provide specialized services intended to assist
hard-to-employ participants to transition to worknew text begin or transition from the family stabilization
services program to MFIPnew text end ;

(4) costs of education and training including functional work literacy and English as
a second language;

(5) cost of work supports including tools, clothing, boots, new text begin telephone service, new text end and
other work-related expenses;

(6) county administrative expenses as defined in Code of Federal Regulations, title
45, section 260(b);

(7) services to parenting and pregnant teens;

(8) supported work;

(9) wage subsidies;

(10) child care needed for MFIP deleted text begin ordeleted text end new text begin , the new text end diversionary work programnew text begin , or the family
stabilization services program new text end participants to participate in social services;

(11) child care to ensure that families leaving MFIP or diversionary work program
will continue to receive child care assistance from the time the family no longer qualifies
for transition year child care until an opening occurs under the basic sliding fee child
care program; deleted text begin and
deleted text end

(12) services to help noncustodial parents who live in Minnesota and have minor
children receiving MFIP or DWP assistance, but do not live in the same household as the
child, obtain or retain employmentnew text begin ; and
new text end

new text begin (13) services to help families participating in the family stabilization services
program achieve the greatest possible degree of self-sufficiencynew text end .

(b) Administrative costs that are not matched with county funds as provided in
subdivision 8 may not exceed 7.5 percent of a county's or 15 percent of a tribe's allocation
under this section. The commissioner shall define administrative costs for purposes of
this subdivision.

(c) The commissioner may waive the cap on administrative costs for a county or tribe
that elects to provide an approved supported employment, unpaid work, or community
work experience program for a major segment of the county's or tribe's MFIP population.
The county or tribe must apply for the waiver on forms provided by the commissioner. In
no case shall total administrative costs exceed the TANF limits.

Sec. 17.

Minnesota Statutes 2006, section 256J.626, subdivision 3, is amended to read:

Subd. 3.

Eligibility for services.

Families with a minor child, a pregnant woman,
or a noncustodial parent of a minor child receiving assistance, with incomes below 200
percent of the federal poverty guideline for a family of the applicable size, are eligible
for services funded under the consolidated fund. Counties and tribes must give priority
to families currently receiving MFIP deleted text begin ordeleted text end new text begin , the new text end diversionary work program, new text begin or the family
stabilization services program, new text end and families at risk of receiving MFIP or diversionary
work program.

Sec. 18.

Minnesota Statutes 2006, section 256J.626, subdivision 4, is amended to read:

Subd. 4.

County and tribal biennial service agreements.

(a) Effective January 1,
2004, and each two-year period thereafter, each county and tribe must have in place an
approved biennial service agreement related to the services and programs in this chapter.
In counties with a city of the first class with a population over 300,000, the county must
consider a service agreement that includes a jointly developed plan for the delivery of
employment services with the city. Counties may collaborate to develop multicounty,
multitribal, or regional service agreements.

(b) The service agreements will be completed in a form prescribed by the
commissioner. The agreement must include:

(1) a statement of the needs of the service population and strengths and resources
in the community;

(2) numerical goals for participant outcomes measures to be accomplished during
the biennial period. The commissioner may identify outcomes from section 256J.751,
subdivision 2, as core outcomes for all counties and tribes;

(3) strategies the county or tribe will pursue to achieve the outcome targets.
Strategies must include specification of how funds under this section will be used and may
include community partnerships that will be established or strengthened; deleted text begin and
deleted text end

(4) new text begin strategies the county or tribe will pursue under the family stabilization services
program; and
new text end

new text begin (5) new text end other items prescribed by the commissioner in consultation with counties and
tribes.

(c) The commissioner shall provide each county and tribe with information needed
to complete an agreement, including: (1) information on MFIP cases in the county or
tribe; (2) comparisons with the rest of the state; (3) baseline performance on outcome
measures; and (4) promising program practices.

(d) The service agreement must be submitted to the commissioner by October 15,
2003, and October 15 of each second year thereafter. The county or tribe must allow
a period of not less than 30 days prior to the submission of the agreement to solicit
comments from the public on the contents of the agreement.

(e) The commissioner must, within 60 days of receiving each county or tribal service
agreement, inform the county or tribe if the service agreement is approved. If the service
agreement is not approved, the commissioner must inform the county or tribe of any
revisions needed prior to approval.

(f) The service agreement in this subdivision supersedes the plan requirements
of section 116L.88.

Sec. 19.

Minnesota Statutes 2006, section 256J.626, subdivision 5, is amended to read:

Subd. 5.

Innovation projects.

Beginning January 1, 2005, no more than $3,000,000
of the funds annually appropriated to the commissioner for use in the consolidated
fund shall be available to the commissioner for projects testing innovative approaches
to improving outcomes for MFIP participants, new text begin family stabilization services program
participants, new text end and persons at risk of receiving MFIP as detailed in subdivision 3new text begin , and
for providing incentives to counties and tribes that exceed performancenew text end . Projects shall
be targeted to geographic areas with poor outcomes as specified in section 256J.751,
subdivision 5, or to subgroups within the MFIP case load who are experiencing poor
outcomes.new text begin For purposes of an incentive, a county or tribe exceeds performance if the
county or tribe is above the top of the county or tribe's annualized range of expected
performance on the three-year self-support index under section 256J.751, subdivision 2,
clause (7), and achieves a 50 percent MFIP participation rate under section 256J.751,
subdivision 2, clause (8), as averaged across the four quarterly measurements for the most
recent year for which the measurements are available.new text end

Sec. 20.

Minnesota Statutes 2006, section 256J.626, subdivision 6, is amended to read:

Subd. 6.

Base allocation to counties and tribes; definitions.

(a) For purposes of
this section, the following terms have the meanings given.

(1) "2002 historic spending base" means the commissioner's determination of
the sum of the reimbursement related to fiscal year 2002 of county or tribal agency
expenditures for the base programs listed in clause (6), items (i) through (iv), and earnings
related to calendar year 2002 in the base program listed in clause (6), item (v), and the
amount of spending in fiscal year 2002 in the base program listed in clause (6), item (vi),
issued to or on behalf of persons residing in the county or tribal service delivery area.

(2) "Adjusted caseload factor" means a factor weighted:

(i) 47 percent on the MFIP cases in each county at four points in time in the most
recent 12-month period for which data is available multiplied by the county's caseload
difficulty factor; and

(ii) 53 percent on the count of adults on MFIP in each county and tribe at four points
in time in the most recent 12-month period for which data is available multiplied by the
county or tribe's caseload difficulty factor.

(3) "Caseload difficulty factor" means a factor determined by the commissioner for
each county and tribe based upon the self-support index described in section 256J.751,
subdivision 2, clause (7).

(4) "Initial allocation" means the amount potentially available to each county or tribe
based on the formula in paragraphs (b) through (h).

(5) "Final allocation" means the amount available to each county or tribe based on
the formula in paragraphs (b) through (h)deleted text begin , after adjustment by subdivision 7deleted text end .

(6) "Base programs" means the:

(i) MFIP employment and training services under Minnesota Statutes 2002, section
256J.62, subdivision 1, in effect June 30, 2002;

(ii) bilingual employment and training services to refugees under Minnesota Statutes
2002, section 256J.62, subdivision 6, in effect June 30, 2002;

(iii) work literacy language programs under Minnesota Statutes 2002, section
256J.62, subdivision 7, in effect June 30, 2002;

(iv) supported work program authorized in Laws 2001, First Special Session chapter
9, article 17, section 2, in effect June 30, 2002;

(v) administrative aid program under section 256J.76 in effect December 31, 2002;
and

(vi) emergency assistance program under Minnesota Statutes 2002, section 256J.48,
in effect June 30, 2002.

(b) The commissioner shall:

(1) beginning July 1, 2003, determine the initial allocation of funds available under
this section according to clause (2);

(2) allocate all of the funds available for the period beginning July 1, 2003, and
ending December 31, 2004, to each county or tribe in proportion to the county's or tribe's
share of the statewide 2002 historic spending base;

(3) determine for calendar year 2005 the initial allocation of funds to be made
available under this section in proportion to the county or tribe's initial allocation for the
period of July 1, 2003, to December 31, 2004;

(4) determine for calendar year 2006 the initial allocation of funds to be made
available under this section based 90 percent on the proportion of the county or tribe's
share of the statewide 2002 historic spending base and ten percent on the proportion of
the county or tribe's share of the adjusted caseload factor;

(5) determine for calendar year 2007 the initial allocation of funds to be made
available under this section based 70 percent on the proportion of the county or tribe's
share of the statewide 2002 historic spending base and 30 percent on the proportion of the
county or tribe's share of the adjusted caseload factor; and

(6) determine for calendar year 2008 and subsequent years the initial allocation of
funds to be made available under this section based 50 percent on the proportion of the
county or tribe's share of the statewide 2002 historic spending base and 50 percent on the
proportion of the county or tribe's share of the adjusted caseload factor.

(c) With the commencement of a new or expanded tribal TANF program or an
agreement under section 256.01, subdivision 2, paragraph (g), in which some or all of
the responsibilities of particular counties under this section are transferred to a tribe,
the commissioner shall:

(1) in the case where all responsibilities under this section are transferred to a tribal
program, determine the percentage of the county's current caseload that is transferring to a
tribal program and adjust the affected county's allocation accordingly; and

(2) in the case where a portion of the responsibilities under this section are
transferred to a tribal program, the commissioner shall consult with the affected county or
counties to determine an appropriate adjustment to the allocation.

deleted text begin (d) Effective January 1, 2005, counties and tribes will have their final allocations
adjusted based on the performance provisions of subdivision 7.
deleted text end

Sec. 21. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2006, sections 256J.29; and 256J.626, subdivisions 7 and 9, new text end new text begin are
repealed.
new text end

HF 746

Bill Text Versions

Current Version - as introduced

ARTICLE 1

SELF-SUFFICIENCY PROVISIONS

Section 1.

new text begin Subd. 13a. new text end

new text begin Family stabilization services program. new text end

Sec. 2.

Subdivision 1.

Eligible participants.

Sec. 3.

new text begin Subd. 6. new text end

new text begin Legislative approval to move programs or activities. new text end

Sec. 4.

256J.021 deleted text begin SEPARATEdeleted text end STATE deleted text begin PROGRAM FOR USE OF STATE MONEYdeleted text end new text begin PROGRAMSnew text end .

Sec. 5.

Subd. 65.

Participant.

Sec. 6.

Subd. 3.

Other property limitations.

Sec. 7.

Subd. 10.

MFIP exit level.

Sec. 8.

Subd. 5.

deleted text begin Monthlydeleted text end MFIP household reports.

Sec. 9.

Subdivision 1.

Assessments.

Sec. 10.

Subd. 2.

Employment plan; contents.

Sec. 11.

Subd. 2.

Approval of postsecondary education or training.

Sec. 12.

Subdivision 1.

Participation requirements.

Sec. 13.

new text begin [256J.575] FAMILY STABILIZATION SERVICES PROGRAM. new text end

new text begin Subdivision 1. new text end

new text begin Purpose. new text end

new text begin Subd. 2. new text end

new text begin Definitions. new text end

new text begin Subd. 3. new text end

new text begin Eligibility. new text end

new text begin Subd. 4. new text end

new text begin Universal participation. new text end

new text begin Subd. 5. new text end

new text begin Case management; family stabilization plans; coordinated services. new text end

new text begin Subd. 6. new text end

new text begin Cooperation with program requirements. new text end

new text begin Subd. 7. new text end

new text begin Sanctions. new text end

Sec. 14.

new text begin [256J.621] WORK PARTICIPATION BONUS. new text end

Sec. 15.

Subdivision 1.

Consolidated fund.

Sec. 16.

Subd. 2.

Allowable expenditures.

Sec. 17.

Subd. 3.

Eligibility for services.

Sec. 18.

Subd. 4.

County and tribal biennial service agreements.

Sec. 19.

Subd. 5.

Innovation projects.

Sec. 20.

Subd. 6.

Base allocation to counties and tribes; definitions.

Sec. 21. new text begin REPEALER.new text end

ARTICLE 2

SUPPORTING WORK FOR LOW-INCOME FAMILIES

Section 1. new text begin SUPPORTED WORK.new text end

256J.021 deleted text begin SEPARATEdeleted text end STATE deleted text begin PROGRAM FOR USE OF STATE MONEYdeleted text end new text begin
PROGRAMSnew text end .

new text begin [256J.575] FAMILY STABILIZATION SERVICES PROGRAM.
new text end

new text begin Case management; family stabilization plans; coordinated services.
new text end

new text begin [256J.621] WORK PARTICIPATION BONUS.
new text end

Sec. 21. new text begin REPEALER.
new text end

Section 1. new text begin SUPPORTED WORK.
new text end

Sec. 2. new text begin APPROPRIATIONS.
new text end