HF 1271

1st Engrossment - 89th Legislature (2015 - 2016) Posted on 03/27/2015 09:32am

A bill for an act
relating to human services; modifying provisions governing group residential
housing; establishing background study requirements for providers of group
residential housing or supplementary services; authorizing administration
of a compliance system for group residential housing; amending Minnesota
Statutes 2014, sections 245C.03, by adding a subdivision; 245C.10, by adding
a subdivision; 256.017, subdivision 1; 256I.03, subdivisions 3, 7, by adding
subdivisions; 256I.04; 256I.05, subdivisions 1c, 1g; 256I.06, subdivisions 2, 6,
7, 8.

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

Section 1.

Minnesota Statutes 2014, section 245C.03, is amended by adding a
subdivision to read:

new text begin Subd. 10. new text end

new text begin Providers of group residential housing or supplementary services.
new text end

new text begin The commissioner shall conduct background studies on any individual required under
section 256I.04 to have a background study completed under this chapter.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2016.
new text end

Sec. 2.

Minnesota Statutes 2014, section 245C.10, is amended by adding a subdivision
to read:

new text begin Subd. 11. new text end

new text begin Providers of group residential housing or supplementary services.
new text end

new text begin The commissioner shall recover the cost of background studies initiated by providers of
group residential housing or supplementary services under section 256I.04 through a fee
of no more than $20 per study. The fees collected under this subdivision are appropriated
to the commissioner for the purpose of conducting background studies.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2016.
new text end

Sec. 3.

Minnesota Statutes 2014, section 256.017, subdivision 1, is amended to read:

Subdivision 1.

Authority and purpose.

The commissioner shall administer a
compliance system for the Minnesota family investment program, the food stamp or food
support program, emergency assistance, general assistance, medical assistance, emergency
general assistance, Minnesota supplemental assistance new text begin , group residential housing new text end ,
preadmission screening, alternative care grants, the child care assistance program, and
all other programs administered by the commissioner or on behalf of the commissioner
under the powers and authorities named in section 256.01, subdivision 2. The purpose of
the compliance system is to permit the commissioner to supervise the administration of
public assistance programs and to enforce timely and accurate distribution of benefits,
completeness of service and efficient and effective program management and operations,
to increase uniformity and consistency in the administration and delivery of public
assistance programs throughout the state, and to reduce the possibility of sanctions and
fiscal disallowances for noncompliance with federal regulations and state statutes. The
commissioner, or the commissioner's representative, may issue administrative subpoenas
as needed in administering the compliance system.

The commissioner shall utilize training, technical assistance, and monitoring
activities, as specified in section 256.01, subdivision 2, to encourage county agency
compliance with written policies and procedures.

Sec. 4.

Minnesota Statutes 2014, section 256I.03, subdivision 3, is amended to read:

Subd. 3.

Group residential housing.

"Group residential housing" means a group
living situation that provides at a minimum room and board to unrelated persons who
meet the eligibility requirements of section 256I.04. deleted text begin This definition includes foster care
settings or community residential settings for a single adult. deleted text end To receive payment for a
group residence rate, the residence must meet the requirements under section 256I.04,
deleted text begin subdivision deleted text end new text begin subdivisions new text end 2a new text begin to 2f new text end .

Sec. 5.

Minnesota Statutes 2014, section 256I.03, subdivision 7, is amended to read:

Subd. 7.

Countable income.

"Countable income" means all income received by
an applicant or recipient less any applicable exclusions or disregards. For a recipient of
any cash benefit from the SSI program, countable income means the SSI benefit limit in
effect at the time the person is deleted text begin in a GRH deleted text end new text begin a recipient of group residential housing new text end , less the
medical assistance personal needs allowance new text begin under section 256B.35 new text end . If the SSI limit
deleted text begin has been deleted text end new text begin or benefit is new text end reduced for a person due to events deleted text begin occurring prior to the persons
entering the GRH setting deleted text end new text begin other than receipt of additional income new text end , countable income means
actual income less any applicable exclusions and disregards.

Sec. 6.

Minnesota Statutes 2014, section 256I.03, is amended by adding a subdivision
to read:

new text begin Subd. 9. new text end

new text begin Direct contact. new text end

new text begin "Direct contact" means providing face-to-face care,
support, training, supervision, counseling, consultation, or medication assistance to
recipients of group residential housing.
new text end

Sec. 7.

Minnesota Statutes 2014, section 256I.03, is amended by adding a subdivision
to read:

new text begin Subd. 10. new text end

new text begin Habitability inspection. new text end

new text begin "Habitability inspection" means an inspection to
determine whether the housing occupied by an individual meets the habitability standards
specified by the commissioner. The standards must be provided to the applicant in writing
and posted on the Department of Human Services Web site.
new text end

Sec. 8.

Minnesota Statutes 2014, section 256I.03, is amended by adding a subdivision
to read:

new text begin Subd. 11. new text end

new text begin Long-term homelessness. new text end

new text begin "Long-term homelessness" means lacking a
permanent place to live:
new text end

new text begin (1) continuously for one year or more; or
new text end

new text begin (2) at least four times in the past three years.
new text end

Sec. 9.

Minnesota Statutes 2014, section 256I.03, is amended by adding a subdivision
to read:

new text begin Subd. 12. new text end

new text begin Professional certification. new text end

new text begin "Professional certification" means a statement
about an individual's illness, injury, or incapacity that is signed by a qualified professional.
The statement must specify that the individual has an illness or incapacity which limits the
individual's ability to work and provide self-support. The statement must also specify that
the individual needs assistance to access or maintain housing, as evidenced by the need
for two or more of the following services:
new text end

new text begin (1) tenancy supports to assist an individual with finding the individual's own
home, landlord negotiation, securing furniture and household supplies, understanding
and maintaining tenant responsibilities, conflict negotiation, and budgeting and financial
education;
new text end

new text begin (2) supportive services to assist with basic living and social skills, household
management, monitoring of overall well-being, and problem solving;
new text end

new text begin (3) employment supports to assist with maintaining or increasing employment,
increasing earnings, understanding and utilizing appropriate benefits and services,
improving physical or mental health, moving toward self-sufficiency, and achieving
personal goals; or
new text end

new text begin (4) health supervision services to assist in the preparation and administration of
medications other than injectables, the provision of therapeutic diets, taking vital signs, or
providing assistance in dressing, grooming, bathing, or with walking devices.
new text end

Sec. 10.

Minnesota Statutes 2014, section 256I.03, is amended by adding a subdivision
to read:

new text begin Subd. 13. new text end

new text begin Prospective budgeting. new text end

new text begin "Prospective budgeting" means estimating the
amount of monthly income a person will have in the payment month.
new text end

Sec. 11.

Minnesota Statutes 2014, section 256I.03, is amended by adding a subdivision
to read:

new text begin Subd. 14. new text end

new text begin Qualified professional. new text end

new text begin "Qualified professional" means an individual as
defined in section 256J.08, subdivision 73a, or Minnesota Rules, part 9530.6450, subpart
3, 4, or 5; or an individual approved by the director of human services or a designee
of the director.
new text end

Sec. 12.

Minnesota Statutes 2014, section 256I.03, is amended by adding a subdivision
to read:

new text begin Subd. 15. new text end

new text begin Supportive housing. new text end

new text begin "Supportive housing" means housing with support
services according to the continuum of care coordinated assessment system established
under Code of Federal Regulations, title 24, section 578.3.
new text end

Sec. 13.

Minnesota Statutes 2014, section 256I.04, is amended to read:

256I.04 ELIGIBILITY FOR GROUP RESIDENTIAL HOUSING PAYMENT.

Subdivision 1.

Individual eligibility requirements.

An individual is eligible for
and entitled to a group residential housing payment to be made on the individual's behalf
if the agency has approved the individual's residence in a group residential housing setting
and the individual meets the requirements in paragraph (a) or (b).

(a) The individual is aged, blind, or is over 18 years of age and disabled as
determined under the criteria used by the title II program of the Social Security Act, and
meets the resource restrictions and standards of section 256P.02, and the individual's
countable income after deducting the (1) exclusions and disregards of the SSI program,
(2) the medical assistance personal needs allowance under section 256B.35, and (3) an
amount equal to the income actually made available to a community spouse by an elderly
waiver participant under the provisions of sections 256B.0575, paragraph (a), clause
(4), and 256B.058, subdivision 2, is less than the monthly rate specified in the agency's
agreement with the provider of group residential housing in which the individual resides.

(b) The individual meets a category of eligibility under section 256D.05, subdivision
1, paragraph (a), new text begin clauses (1), (3), (5) to (9), and (14), and paragraph (b), if applicable, new text end and
the individual's resources are less than the standards specified by section 256P.02, and
the individual's countable income as determined under sections 256D.01 to 256D.21, less
the medical assistance personal needs allowance under section 256B.35 is less than the
monthly rate specified in the agency's agreement with the provider of group residential
housing in which the individual resides.

Subd. 1a.

County approval.

(a) A county agency may not approve a group
residential housing payment for an individual in any setting with a rate in excess of the
MSA equivalent rate for more than 30 days in a calendar year unless the deleted text begin county agency
has developed or approved deleted text end new text begin individual has new text end a deleted text begin plan for the individual which specifies that:
deleted text end

deleted text begin (1) the individual has an illness or incapacity which prevents the person from living
independently in the community; and
deleted text end

deleted text begin (2) the individual's illness or incapacity requires the services which are available in
the group residence.
deleted text end

deleted text begin The plan must be signed or countersigned by any of the following employees of the
county of financial responsibility: the director of human services or a designee of the
director; a social worker; or a case aide deleted text end new text begin professional certification under section 256I.03,
subdivision 12 new text end .

(b) If a county agency determines that an applicant is ineligible due to not meeting
eligibility requirements under this section, a county agency may accept a signed personal
statement from the applicant in lieu of documentation verifying ineligibility.

new text begin (c) Effective July 1, 2016, to be eligible for supplementary service payments,
providers must enroll in the provider enrollment system identified by the commissioner.
new text end

Subd. 1b.

Optional state supplements to SSI.

Group residential housing payments
made on behalf of persons eligible under subdivision 1, paragraph (a), are optional state
supplements to the SSI program.

Subd. 1c.

Interim assistance.

Group residential housing payments made on behalf
of persons eligible under subdivision 1, paragraph (b), are considered interim assistance
payments to applicants for the federal SSI program.

Subd. 2.

Date of eligibility.

An individual who has met the eligibility requirements
of subdivision 1, shall have a group residential housing payment made on the individual's
behalf from the first day of the month in which a signed application form is received by
a county agency, or the first day of the month in which all eligibility factors have been
met, whichever is later.

Subd. 2a.

License required new text begin ; staffing qualifications new text end .

deleted text begin A county deleted text end new text begin (a) Except
as provided in paragraph (b), an new text end agency may not enter into an agreement with an
establishment to provide group residential housing unless:

(1) the establishment is licensed by the Department of Health as a hotel and
restaurant; a board and lodging establishment; deleted text begin a residential care home; deleted text end a boarding care
home before March 1, 1985; or a supervised living facility, and the service provider
for residents of the facility is licensed under chapter 245A. However, an establishment
licensed by the Department of Health to provide lodging need not also be licensed to
provide board if meals are being supplied to residents under a contract with a food vendor
who is licensed by the Department of Health;

(2) the residence is: (i) licensed by the commissioner of human services under
Minnesota Rules, parts 9555.5050 to 9555.6265; (ii) certified by a county human services
agency prior to July 1, 1992, using the standards under Minnesota Rules, parts 9555.5050
to 9555.6265; (iii) deleted text begin a residence deleted text end licensed by the commissioner under Minnesota Rules, parts
2960.0010 to 2960.0120, with a variance under section 245A.04, subdivision 9; or (iv)
licensed under section 245D.02, subdivision 4a, as a community residential setting by
the commissioner of human services; new text begin or
new text end

(3) the establishment is registered under chapter 144D and provides three meals a
day, or is an establishment voluntarily registered under section 144D.025 as a supportive
housing establishment deleted text begin ; or deleted text end new text begin .
new text end

deleted text begin (4) an establishment voluntarily registered under section 144D.025, other than
a supportive housing establishment under clause (3), is not eligible to provide group
residential housing.
deleted text end

new text begin (b) new text end The requirements under deleted text begin clauses (1) to (4) deleted text end new text begin paragraph (a) new text end do not apply to
establishments exempt from state licensure because they are new text begin :
new text end

new text begin (1) new text end located on Indian reservations and subject to tribal health and safety
requirements deleted text begin . deleted text end new text begin ; or
new text end

new text begin (2) a supportive housing establishment that has an approved habitability inspection
and an individual lease agreement and that serves people who have experienced long-term
homelessness and were referred through a coordinated assessment in section 256I.03,
subdivision 15.
new text end

new text begin (c) Supportive housing establishments and emergency shelters must participate in
the homeless management information system.
new text end

new text begin (d) Effective July 1, 2016, an agency shall not have an agreement with a provider
of group residential housing or supplementary services unless all staff members who
have direct contact with recipients:
new text end

new text begin (1) have skills and knowledge acquired through:
new text end

new text begin (i) a course of study in a health- or human services-related field leading to a bachelor
of arts, bachelor of science, or associate's degree;
new text end

new text begin (ii) one year of experience with the target population served;
new text end

new text begin (iii) experience as a certified peer specialist according to section 256B.0615; or
new text end

new text begin (iv) meeting the requirements for unlicensed personnel under sections 144A.43
to 144A.483;
new text end

new text begin (2) hold a current Minnesota driver's license appropriate to the vehicle driven
if transporting recipients;
new text end

new text begin (3) complete training on vulnerable adults mandated reporting and child
maltreatment mandated reporting, where applicable; and
new text end

new text begin (4) complete group residential housing orientation training offered by the
commissioner.
new text end

Subd. 2b.

Group residential housing agreements.

new text begin (a) new text end Agreements between
deleted text begin county deleted text end agencies and providers of group residential housing must be in writing new text begin on a
form developed and approved by the commissioner new text end and must specify the name and
address under which the establishment subject to the agreement does business and under
which the establishment, or service provider, if different from the group residential
housing establishment, is licensed by the Department of Health or the Department of
Human Services; the specific license or registration from the Department of Health or the
Department of Human Services held by the provider and the number of beds subject to
that license; the address of the location or locations at which group residential housing is
provided under this agreement; the per diem and monthly rates that are to be paid from
group residential housing funds for each eligible resident at each location; the number
of beds at each location which are subject to the group residential housing agreement;
whether the license holder is a not-for-profit corporation under section 501(c)(3) of the
Internal Revenue Code; and a statement that the agreement is subject to the provisions of
sections 256I.01 to 256I.06 and subject to any changes to those sections.

new text begin (b) Providers are required to verify the following minimum requirements in the
agreement:
new text end

new text begin (1) current license or registration, including authorization if managing or monitoring
medications;
new text end

new text begin (2) all staff who have direct contact with recipients meet the staff qualifications;
new text end

new text begin (3) the provision of group residential housing;
new text end

new text begin (4) the provision of supplementary services, if applicable;
new text end

new text begin (5) reports of adverse events, including recipient death or serious injury; and
new text end

new text begin (6) submission of residency requirements that could result in recipient eviction. new text end

deleted text begin Group residential housing deleted text end new text begin (c) new text end Agreements may be terminated with or without cause by
deleted text begin either deleted text end the deleted text begin county deleted text end new text begin commissioner, the agency, new text end or the provider with two calendar months prior
notice. new text begin The commissioner may immediately terminate an agreement under subdivision 2d.
new text end

Subd. 2c.

deleted text begin Crisis shelters deleted text end new text begin Background study requirements new text end .

deleted text begin Secure crisis shelters
for battered women and their children designated by the Minnesota Department of
Corrections are not group residences under this chapter. deleted text end new text begin (a) Effective July 1, 2016, a
provider of group residential housing or supplementary services must initiate background
studies in accordance with chapter 245C of the following individuals:
new text end

new text begin (1) controlling individuals as defined in section 245A.02;
new text end

new text begin (2) managerial officials as defined in section 245A.02; and
new text end

new text begin (3) all employees and volunteers of the establishment who have direct contact
with recipients, or who have unsupervised access to recipients, their personal property,
or their private data.
new text end

new text begin (b) The provider of group residential housing or supplementary services must
maintain compliance with all requirements established for entities initiating background
studies under chapter 245C.
new text end

new text begin (c) Effective July 1, 2017, a provider of group residential housing or supplementary
services must demonstrate that all individuals required to have a background study
according to paragraph (a) have a notice stating either that:
new text end

new text begin (1) the individual is not disqualified under section 245C.14; or
new text end

new text begin (2) the individual is disqualified, but the individual has been issued a set-aside of
the disqualification for that setting under section 245C.22.
new text end

new text begin Subd. 2d. new text end

new text begin Conditions of payment; commissioner's right to suspend or terminate
agreement. new text end

new text begin (a) Group residential housing or supplementary services must be provided
to the satisfaction of the commissioner, as determined at the sole discretion of the
commissioner's authorized representative, and in accordance with all applicable federal,
state, and local laws, ordinances, rules, and regulations, including business registration
requirements of the Office of the Secretary of State. A provider shall not receive payment
for services or housing found by the commissioner to be performed or provided in
violation of federal, state, or local law, ordinance, rule, or regulation.
new text end

new text begin (b) The commissioner has the right to suspend or terminate the agreement
immediately when the commissioner determines the health or welfare of the housing or
service recipients is endangered, or when the commissioner has reasonable cause to believe
that the provider has breached a material term of the agreement under subdivision 2b.
new text end

new text begin (c) Notwithstanding paragraph (b), if the commissioner learns of a curable material
breach of the agreement by the provider, the commissioner shall provide the provider
with a written notice of the breach and allow ten days to cure the breach. If the provider
does not cure the breach within the time allowed, the provider shall be in default of the
agreement and the commissioner may terminate the agreement immediately thereafter. If
the provider has breached a material term of the agreement and cure is not possible, the
commissioner may immediately terminate the agreement.
new text end

new text begin Subd. 2e. new text end

new text begin Providers holding health or human services licenses. new text end

new text begin (a) Except
for facilities with only a board and lodging license, when group residential housing or
supplementary service staff are also operating under a license issued by the Department of
Health or the Department of Human Services, the minimum staff qualification requirements
for the setting shall be the qualifications listed under the related licensing standards.
new text end

new text begin (b) A background study completed for the licensed service must also satisfy the
background study requirements under this section, if the provider has established the
background study contact person according to chapter 245C and as directed by the
Department of Human Services.
new text end

new text begin Subd. 2f. new text end

new text begin Required services. new text end

new text begin In licensed and registered settings under subdivision
2a, providers shall ensure that participants have at a minimum:
new text end

new text begin (1) food preparation and service for three nutritional meals a day on site;
new text end

new text begin (2) a bed, clothing storage, linen, bedding, laundering, and laundry supplies or
service;
new text end

new text begin (3) housekeeping, including cleaning and lavatory supplies or service; and
new text end

new text begin (4) maintenance and operation of the building and grounds, including heat, water,
garbage removal, electricity, telephone for the site, cooling, supplies, and parts and tools
to repair and maintain equipment and facilities.
new text end

new text begin Subd. 2g. new text end

new text begin Crisis shelters. new text end

new text begin Secure crisis shelters for battered women and their
children designated by the Minnesota Department of Corrections are not group residences
under this chapter.
new text end

Subd. 3.

Moratorium on development of group residential housing beds.

(a)
deleted text begin County deleted text end Agencies shall not enter into agreements for new group residential housing beds
with total rates in excess of the MSA equivalent rate except:

(1) for group residential housing establishments licensed under Minnesota Rules,
parts 9525.0215 to 9525.0355, provided the facility is needed to meet the census reduction
targets for persons with developmental disabilities at regional treatment centers;

(2) up to 80 beds in a single, specialized facility located in Hennepin County that will
provide housing for chronic inebriates who are repetitive users of detoxification centers
and are refused placement in emergency shelters because of their state of intoxication,
and planning for the specialized facility must have been initiated before July 1, 1991,
in anticipation of receiving a grant from the Housing Finance Agency under section
462A.05, subdivision 20a, paragraph (b);

(3) notwithstanding the provisions of subdivision 2a, for up to 190 supportive
housing units in Anoka, Dakota, Hennepin, or Ramsey County for homeless adults with a
mental illness, a history of substance abuse, or human immunodeficiency virus or acquired
immunodeficiency syndrome. For purposes of this section, "homeless adult" means a
person who is living on the street or in a shelter or discharged from a regional treatment
center, community hospital, or residential treatment program and has no appropriate
housing available and lacks the resources and support necessary to access appropriate
housing. At least 70 percent of the supportive housing units must serve homeless adults
with mental illness, substance abuse problems, or human immunodeficiency virus or
acquired immunodeficiency syndrome who are about to be or, within the previous six
months, has been discharged from a regional treatment center, or a state-contracted
psychiatric bed in a community hospital, or a residential mental health or chemical
dependency treatment program. If a person meets the requirements of subdivision 1,
paragraph (a), and receives a federal or state housing subsidy, the group residential housing
rate for that person is limited to the supplementary rate under section 256I.05, subdivision
1a, and is determined by subtracting the amount of the person's countable income that
exceeds the MSA equivalent rate from the group residential housing supplementary rate.
A resident in a demonstration project site who no longer participates in the demonstration
program shall retain eligibility for a group residential housing payment in an amount
determined under section 256I.06, subdivision 8, using the MSA equivalent rate. Service
funding under section 256I.05, subdivision 1a, will end June 30, 1997, if federal matching
funds are available and the services can be provided through a managed care entity. If
federal matching funds are not available, then service funding will continue under section
256I.05, subdivision 1a;

(4) for an additional two beds, resulting in a total of 32 beds, for a facility located in
Hennepin County providing services for recovering and chemically dependent men that
has had a group residential housing contract with the county and has been licensed as a
board and lodge facility with special services since 1980;

(5) for a group residential housing provider located in the city of St. Cloud, or a county
contiguous to the city of St. Cloud, that operates a 40-bed facility, that received financing
through the Minnesota Housing Finance Agency Ending Long-Term Homelessness
Initiative and serves chemically dependent clientele, providing 24-hour-a-day supervision;

(6) for a new 65-bed facility in Crow Wing County that will serve chemically
dependent persons, operated by a group residential housing provider that currently
operates a 304-bed facility in Minneapolis, and a 44-bed facility in Duluth;

(7) for a group residential housing provider that operates two ten-bed facilities, one
located in Hennepin County and one located in Ramsey County, that provide community
support and 24-hour-a-day supervision to serve the mental health needs of individuals
who have chronically lived unsheltered; and

(8) for a group residential facility in Hennepin County with a capacity of up to 48
beds that has been licensed since 1978 as a board and lodging facility and that until August
1, 2007, operated as a licensed chemical dependency treatment program.

(b) deleted text begin A county deleted text end new text begin An new text end agency may enter into a group residential housing agreement for
beds with rates in excess of the MSA equivalent rate in addition to those currently covered
under a group residential housing agreement if the additional beds are only a replacement
of beds with rates in excess of the MSA equivalent rate which have been made available
due to closure of a setting, a change of licensure or certification which removes the beds
from group residential housing payment, or as a result of the downsizing of a group
residential housing setting. The transfer of available beds from one deleted text begin county deleted text end new text begin agency new text end to
another can only occur by the agreement of both deleted text begin counties deleted text end new text begin agencies new text end .

Subd. 4.

Rental assistance.

For participants in the Minnesota supportive housing
demonstration program under subdivision 3, paragraph (a), clause (5), notwithstanding
the provisions of section 256I.06, subdivision 8, the amount of the group residential
housing payment for room and board must be calculated by subtracting 30 percent of the
recipient's adjusted income as defined by the United States Department of Housing and
Urban Development for the Section 8 program from the fair market rent established for the
recipient's living unit by the federal Department of Housing and Urban Development. This
payment shall be regarded as a state housing subsidy for the purposes of subdivision 3.
Notwithstanding the provisions of section 256I.06, subdivision 6, the recipient's countable
income will only be adjusted when a change of greater than $100 in a month occurs or
upon annual redetermination of eligibility, whichever is sooner. deleted text begin The commissioner is
directed to study the feasibility of developing a rental assistance program to serve persons
traditionally served in group residential housing settings and report to the legislature by
February 15, 1999.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin Subdivision 1, paragraph (b), is effective September 1, 2015.
new text end

Sec. 14.

Minnesota Statutes 2014, section 256I.05, subdivision 1c, is amended to read:

Subd. 1c.

Rate increases.

deleted text begin A county deleted text end new text begin An new text end agency may not increase the rates
negotiated for group residential housing above those in effect on June 30, 1993, except as
provided in paragraphs (a) to (f).

(a) deleted text begin A county deleted text end new text begin An agency new text end may increase the rates for group residential housing settings
to the MSA equivalent rate for those settings whose current rate is below the MSA
equivalent rate.

(b) deleted text begin A county deleted text end new text begin An new text end agency may increase the rates for residents in adult foster care
whose difficulty of care has increased. The total group residential housing rate for these
residents must not exceed the maximum rate specified in subdivisions 1 and 1a. deleted text begin County deleted text end
Agencies must not include nor increase group residential housing difficulty of care rates
for adults in foster care whose difficulty of care is eligible for funding by home and
community-based waiver programs under title XIX of the Social Security Act.

(c) The room and board rates will be increased each year when the MSA equivalent
rate is adjusted for SSI cost-of-living increases by the amount of the annual SSI increase,
less the amount of the increase in the medical assistance personal needs allowance under
section 256B.35.

(d) When a group residential housing rate is used to pay for an individual's room
and board, or other costs necessary to provide room and board, the rate payable to
the residence must continue for up to 18 calendar days per incident that the person is
temporarily absent from the residence, not to exceed 60 days in a calendar year, if the
absence or absences have received the prior approval of the county agency's social service
staff. Prior approval is not required for emergency absences due to crisis, illness, or injury.

(e) For facilities meeting substantial change criteria within the prior year. Substantial
change criteria exists if the group residential housing establishment experiences a 25
percent increase or decrease in the total number of its beds, if the net cost of capital
additions or improvements is in excess of 15 percent of the current market value of the
residence, or if the residence physically moves, or changes its licensure, and incurs a
resulting increase in operation and property costs.

(f) Until June 30, 1994, deleted text begin a county deleted text end new text begin an new text end agency may increase by up to five percent the
total rate paid for recipients of assistance under sections 256D.01 to 256D.21 or 256D.33
to 256D.54 who reside in residences that are licensed by the commissioner of health as
a boarding care home, but are not certified for the purposes of the medical assistance
program. However, an increase under this clause must not exceed an amount equivalent to
65 percent of the 1991 medical assistance reimbursement rate for nursing home resident
class A, in the geographic grouping in which the facility is located, as established under
Minnesota Rules, parts 9549.0050 to 9549.0058.

Sec. 15.

Minnesota Statutes 2014, section 256I.05, subdivision 1g, is amended to read:

Subd. 1g.

Supplementary service rate for certain facilities.

deleted text begin On or after July 1,
2005, a county deleted text end new text begin An new text end agency may negotiate a supplementary service rate for recipients of
assistance under section 256I.04, subdivision 1, paragraph new text begin (a) or new text end (b), who deleted text begin relocate from a
homeless shelter licensed and registered prior to December 31, 1996, by the Minnesota
Department of Health under section 157.17, to deleted text end new text begin have experienced long-term homelessness
and who live in new text end a supportive housing establishment deleted text begin developed and funded in whole or in
part with funds provided specifically as part of the plan to end long-term homelessness
required under Laws 2003, chapter 128, article 15, section 9, not to exceed $456.75 deleted text end new text begin under
section 256I.04, subdivision 2a, paragraph (b), clause (2) new text end .

Sec. 16.

Minnesota Statutes 2014, section 256I.06, subdivision 2, is amended to read:

Subd. 2.

Time of payment.

A county agency may make payments to a group
residence in advance for an individual whose stay in the group residence is expected
to last beyond the calendar month for which the payment is made deleted text begin and who does not
expect to receive countable earned income during the month for which the payment is
made deleted text end . Group residential housing payments made by a county agency on behalf of an
individual who is not expected to remain in the group residence beyond the month for
which payment is made must be made subsequent to the individual's departure from the
group residence. deleted text begin Group residential housing payments made by a county agency on behalf
of an individual with countable earned income must be made subsequent to receipt of a
monthly household report form.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective April 1, 2016.
new text end

Sec. 17.

Minnesota Statutes 2014, section 256I.06, subdivision 6, is amended to read:

Subd. 6.

Reports.

Recipients must report changes in circumstances that affect
eligibility or group residential housing payment amounts new text begin , other than changes in earned
income, new text end within ten days of the change. Recipients with countable earned income must
complete a deleted text begin monthly deleted text end household report form new text begin at least once every six months new text end . If the report
form is not received before the end of the month in which it is due, the county agency
must terminate eligibility for group residential housing payments. The termination shall
be effective on the first day of the month following the month in which the report was due.
If a complete report is received within the month eligibility was terminated, the individual
is considered to have continued an application for group residential housing payment
effective the first day of the month the eligibility was terminated.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective April 1, 2016.
new text end

Sec. 18.

Minnesota Statutes 2014, section 256I.06, subdivision 7, is amended to read:

Subd. 7.

Determination of rates.

The new text begin agency in the new text end county in which a deleted text begin group deleted text end
residence is located deleted text begin will deleted text end new text begin shall new text end determine the amount of group residential housing rate to
be paid on behalf of an individual in the deleted text begin group deleted text end residence regardless of the individual's
deleted text begin county deleted text end new text begin agency new text end of financial responsibility.

Sec. 19.

Minnesota Statutes 2014, section 256I.06, subdivision 8, is amended to read:

Subd. 8.

Amount of group residential housing payment.

new text begin (a) new text end The amount of
a group residential housing payment to be made on behalf of an eligible individual is
determined by subtracting the individual's countable income under section 256I.04,
subdivision 1, for a whole calendar month from the group residential housing charge for
that same month. The group residential housing charge is determined by multiplying the
group residential housing rate times the period of time the individual was a resident or
temporarily absent under section 256I.05, subdivision 1c, paragraph (d).

new text begin (b) For an individual with earned income under paragraph (a), prospective budgeting
must be used to determine the amount of the individual's payment for the following
six-month period. An increase in income shall not affect an individual's eligibility or
payment amount until the month following the reporting month. A decrease in income shall
be effective the first day of the month after the month in which the decrease is reported.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin Paragraph (b) is effective April 1, 2016.
new text end