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Capital IconMinnesota Legislature

HF 5280

as introduced - 93rd Legislature (2023 - 2024) Posted on 04/04/2024 02:52pm

KEY: stricken = removed, old language.
underscored = added, new language.
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A bill for an act
relating to human services; the governor's budget bill for human services; modifying
provisions related to aging, disability services, substance use disorder treatment,
and the Department of Direct Care and Treatment; making technical changes to
human services law; establishing a human services contingency fund; adjusting
appropriations for forecasted programs; appropriating money; amending Minnesota
Statutes 2022, sections 13.46, subdivisions 1, 10; 145.61, subdivision 5; 246.018,
subdivision 3; 246.13, subdivision 2; 256.88; 256.89; 256.90; 256.91; 256.92;
256B.0911, subdivision 20; 256B.0913, subdivision 5a; 256B.69, subdivision 4;
256S.205, subdivisions 2, 3, 5; Minnesota Statutes 2023 Supplement, sections
10.65, subdivision 2; 13.46, subdivision 2; 15.01; 15.06, subdivision 1; 15A.082,
subdivisions 1, 3, 7; 43A.08, subdivisions 1, 1a; 246C.01; 246C.02; 246C.04;
246C.05; 256.042, subdivision 2; 256.043, subdivision 3; 256B.0911, subdivision
13; 256B.0913, subdivision 5; 256R.55, subdivision 9; Laws 2023, chapter 61,
article 4, section 11; article 8, sections 1; 2; 3; 8; article 9, section 2, subdivision
16, as amended; proposing coding for new law in Minnesota Statutes, chapters
246C; 256; 256B; 256S; repealing Minnesota Statutes 2022, sections 246.01;
246.12; 246.234; 246.36; 246.41; 256S.205, subdivision 4; Minnesota Statutes
2023 Supplement, section 246C.03.

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

ARTICLE 1

AGING AND DISABILITY SERVICES

Section 1.

Minnesota Statutes 2023 Supplement, section 256B.0911, subdivision 13, is
amended to read:


Subd. 13.

MnCHOICES assessor qualifications, training, and certification.

(a) The
commissioner shall develop and implement a curriculum and an assessor certification
process.

(b) MnCHOICES certified assessors must:

(1) either have a bachelor's degree in social work, nursing with a public health nursing
certificate, or other closely related field or be a registered nurse deleted text begin with at least two years of
home and community-based experience
deleted text end ; and

(2) have received training and certification specific to assessment and consultation for
long-term care services in the state.

(c) Certified assessors shall demonstrate best practices in assessment and support
planning, including person-centered planning principles, and have a common set of skills
that ensures consistency and equitable access to services statewide.

(d) Certified assessors must be recertified every three years.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 2.

Minnesota Statutes 2022, section 256B.0911, subdivision 20, is amended to read:


Subd. 20.

MnCHOICES assessments; duration of validity.

(a) An assessment that is
completed as part of an eligibility determination for multiple programs for the alternative
care, elderly waiver, developmental disabilities, community access for disability inclusion,
community alternative care, and brain injury waiver programs under chapter 256S and
sections 256B.0913, 256B.092, and 256B.49 is valid to establish service eligibility for no
more than deleted text begin 60 calendardeleted text end new text begin 365new text end days after the date of the assessment.

(b) The effective eligibility start date for programs in paragraph (a) can never be prior
to the date of assessment. deleted text begin If an assessment was completed more than 60 days before the
effective waiver or alternative care program eligibility start date, assessment and support
plan information must be updated and documented in the department's Medicaid Management
Information System (MMIS).
deleted text end Notwithstanding retroactive medical assistance coverage of
state plan services, the effective date of eligibility for programs included in paragraph (a)
cannot be prior to the completion date of the most recent updated assessment.

deleted text begin (c) If an eligibility update is completed within 90 days of the previous assessment and
documented in the department's Medicaid Management Information System (MMIS), the
effective date of eligibility for programs included in paragraph (a) is the date of the previous
in-person assessment when all other eligibility requirements are met.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 3.

Minnesota Statutes 2023 Supplement, section 256B.0913, subdivision 5, is amended
to read:


Subd. 5.

Services covered under alternative care.

Alternative care funding may be
used for payment of costs of:

(1) adult day services and adult day services bath;

(2) home care;

(3) homemaker services;

(4) personal care;

(5) case management and conversion case management;

(6) respite care;

(7) specialized supplies and equipment;

(8) home-delivered meals;

(9) nonmedical transportation;

(10) nursing services;

(11) chore services;

(12) companion services;

(13) nutrition services;

(14) family caregiver training and education;

(15) coaching and counseling;

(16) telehome care to provide services in their own homes in conjunction with in-home
visits;

(17) consumer-directed community supports;

(18) environmental accessibility and adaptations; deleted text begin and
deleted text end

new text begin (19) transitional services; and
new text end

deleted text begin (19)deleted text end new text begin (20)new text end discretionary services, for which lead agencies may make payment from their
alternative care program allocation for services not otherwise defined in this section or
section 256B.0625, following approval by the commissioner.

Total annual payments for discretionary services for all clients served by a lead agency
must not exceed 25 percent of that lead agency's annual alternative care program base
allocation, except that when alternative care services receive federal financial participation
under the 1115 waiver demonstration, funding shall be allocated in accordance with
subdivision 17.

Sec. 4.

Minnesota Statutes 2022, section 256B.0913, subdivision 5a, is amended to read:


Subd. 5a.

Services; service definitions; service standards.

(a) Unless specified in
statute, the services, service definitions, and standards for alternative care services shall be
the same as the services, service definitions, and standards specified in the federally approved
elderly waiver plan, except alternative care does not cover deleted text begin transitional support services,deleted text end
assisted living services, adult foster care services, and residential care and benefits defined
under section 256B.0625 that meet primary and acute health care needs.

(b) The lead agency must ensure that the funds are not used to supplant or supplement
services available through other public assistance or services programs, including
supplementation of client co-pays, deductibles, premiums, or other cost-sharing arrangements
for health-related benefits and services or entitlement programs and services that are available
to the person, but in which they have elected not to enroll. The lead agency must ensure
that the benefit department recovery system in the Medicaid Management Information
System (MMIS) has the necessary information on any other health insurance or third-party
insurance policy to which the client may have access. Supplies and equipment may be
purchased from a vendor not certified to participate in the Medicaid program if the cost for
the item is less than that of a Medicaid vendor.

(c) Personal care services must meet the service standards defined in the federally
approved elderly waiver plan, except that a lead agency may authorize services to be provided
by a client's relative who meets the relative hardship waiver requirements or a relative who
meets the criteria and is also the responsible party under an individual service plan that
ensures the client's health and safety and supervision of the personal care services by a
qualified professional as defined in section 256B.0625, subdivision 19c. Relative hardship
is established by the lead agency when the client's care causes a relative caregiver to do any
of the following: resign from a paying job, reduce work hours resulting in lost wages, obtain
a leave of absence resulting in lost wages, incur substantial client-related expenses, provide
services to address authorized, unstaffed direct care time, or meet special needs of the client
unmet in the formal service plan.

(d) Alternative care covers sign language interpreter services and spoken language
interpreter services for recipients eligible for alternative care when the services are necessary
to help deaf and hard-of-hearing recipients or recipients with limited English proficiency
obtain covered services. Coverage for face-to-face spoken language interpreter services
shall be provided only if the spoken language interpreter used by the enrolled health care
provider is listed in the registry or roster established under section 144.058.

Sec. 5.

new text begin [256S.191] ELDERLY WAIVER BUDGET AND RATE EXCEPTIONS;
HIGH-NEED PARTICIPANTS.
new text end

new text begin Subdivision 1. new text end

new text begin Eligibility for budget and rate exceptions. new text end

new text begin A participant is eligible to
request an elderly waiver budget and rate exception when:
new text end

new text begin (1) hospitalization of the participant is no longer medically necessary but the participant
has not been discharged to the community due to lack of community care options;
new text end

new text begin (2) the participant requires a support plan that exceeds elderly waiver budgets and rates
due to the participant's specific assessed needs; and
new text end

new text begin (3) the participant meets all eligibility criteria for the elderly waiver.
new text end

new text begin Subd. 2. new text end

new text begin Requests for budget and rate exceptions. new text end

new text begin (a) A participant eligible under
subdivision 1 may request, in a format prescribed by the commissioner, an elderly waiver
budget and rate exception when requesting an eligibility determination for elderly waiver
services. The participant may request an exception to the elderly waiver case mix caps, the
customized living service rate limits, service rates, or any combination of the three.
new text end

new text begin (b) The participant must document in the request that the participant's needs cannot be
met within the existing case mix caps, customized living service rate limits, or service rates
and how an exception to any of the three will meet the participant's needs.
new text end

new text begin (c) The participant must include in the request the basis for the underlying costs used to
determine the overall cost of the proposed service plan.
new text end

new text begin (d) The commissioner must respond to all exception requests, whether the request is
granted, denied, or granted as modified. The commissioner must include in the response
the basis for the action and provide notification of the right to appeal.
new text end

new text begin (e) Participants granted exceptions under this section must apply annually in a format
prescribed by the commissioner to continue or modify the exception.
new text end

new text begin (f) A participant no longer qualifies for an exception when the participant's needs can
be met within standard elderly waiver budgets and rates.
new text end

Sec. 6.

Minnesota Statutes 2022, section 256S.205, subdivision 2, is amended to read:


Subd. 2.

Rate adjustment application.

new text begin (a) Effective through September 30, 2023, new text end a
facility may apply to the commissioner for designation as a disproportionate share facility.
Applications must be submitted annually between September 1 and September 30. The
applying facility must apply in a manner determined by the commissioner. The applying
facility must document each of the following on the application:

(1) the number of customized living residents in the facility on September 1 of the
application year, broken out by specific waiver program; and

(2) the total number of people residing in the facility on September 1 of the application
year.

new text begin (b) Effective October 1, 2023, the commissioner must not process any further applications
for disproportionate share facilities after the September 1 through September 30, 2023,
application period.
new text end

new text begin (c) This subdivision expires January 1, 2025.
new text end

Sec. 7.

Minnesota Statutes 2022, section 256S.205, subdivision 3, is amended to read:


Subd. 3.

Rate adjustment eligibility criteria.

new text begin (a) Effective through September 30, 2023,
new text end only facilities satisfying all of the following conditions on September 1 of the application
year are eligible for designation as a disproportionate share facility:

(1) at least 83.5 percent of the residents of the facility are customized living residents;
and

(2) at least 70 percent of the customized living residents are elderly waiver participants.

new text begin (b) This subdivision expires January 1, 2025.
new text end

Sec. 8.

Minnesota Statutes 2022, section 256S.205, subdivision 5, is amended to read:


Subd. 5.

Rate adjustment; rate floor.

(a) new text begin Effective through December 31, 2024,
new text end notwithstanding the 24-hour customized living monthly service rate limits under section
256S.202, subdivision 2, and the component service rates established under section 256S.201,
subdivision 4
, the commissioner must establish a rate floor equal to $119 per resident per
day for 24-hour customized living services provided to an elderly waiver participant in a
designated disproportionate share facility.

(b) The commissioner must apply the rate floor to the services described in paragraph
(a) provided during the rate year.

(c) The commissioner must adjust the rate floor by the same amount and at the same
time as any adjustment to the 24-hour customized living monthly service rate limits under
section 256S.202, subdivision 2.

(d) The commissioner shall not implement the rate floor under this section if the
customized living rates established under sections 256S.21 to 256S.215 will be implemented
at 100 percent on January 1 of the year following an application year.

new text begin (e) This subdivision expires January 1, 2025.
new text end

Sec. 9. new text begin DISABILITY HOME AND COMMUNITY-BASED SERVICES
REIMBURSEMENT IN ACUTE CARE HOSPITAL STAYS.
new text end

new text begin (a) The commissioner of human services must seek approval to amend Minnesota's
federally approved disability waiver plans under Minnesota Statutes, sections 256B.49 and
256B.092, to reimburse for delivery of unit-based services under Minnesota Statutes, section
256B.4914, in acute care hospital settings, as authorized under United States Code, title 42,
section 1396a(h).
new text end

new text begin (b) Reimbursed services must:
new text end

new text begin (1) be identified in an individual's person-centered support plan as required under
Minnesota Statutes, section 256B.0911;
new text end

new text begin (2) be provided to meet the needs of the person that are not met through the provision
of hospital services;
new text end

new text begin (3) not substitute services that the hospital is obligated to provide as required under state
and federal law; and
new text end

new text begin (4) be designed to ensure smooth transitions between acute care settings and home and
community-based settings and to preserve the person's functional abilities.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin Paragraph (b) is effective January 1, 2025, or upon federal
approval, whichever is later. The commissioner of human services shall notify the revisor
of statutes when federal approval is obtained.
new text end

Sec. 10. new text begin HOME CARE AND COMMUNITY FIRST SERVICES AND SUPPORTS
HOSPITAL TRANSITION MEDICAL ASSISTANCE BENEFIT.
new text end

new text begin (a) The commissioner of human services must develop a Medicaid state plan service for
people eligible for home care services as identified in Minnesota Statutes, section 256B.0651,
and community first services and supports as identified in Minnesota Statutes, section
256B.85, for the purpose of transition support to and from acute care hospital settings, as
authorized under United States Code, title 42, section 1396a(h).
new text end

new text begin (b) By January 1, 2025, the commissioner must report to the chairs and ranking minority
members of the legislative committees with jurisdiction over health and human services
finance and policy with the recommended medical assistance service design and draft
legislation with statutory changes necessary to implement the service.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 11. new text begin TRIBAL VULNERABLE ADULT AND DEVELOPMENTAL DISABILITY
TARGETED CASE MANAGEMENT MEDICAL ASSISTANCE BENEFIT.
new text end

new text begin (a) The commissioner of human services must engage with Minnesota's
federally-recognized Tribal Nations and urban American Indian providers and leaders to
design and recommend a Tribal-specific vulnerable adult and developmental disability
medical assistance targeted case management benefit to meet community needs and reduce
disparities experienced by Tribal members and urban American Indian populations. The
commissioner must honor and uphold Tribal sovereignty as part of this engagement, ensuring
Tribal Nations are equitably and authentically included in planning and policy discussions.
new text end

new text begin (b) By January 1, 2025, the commissioner must report recommendations to the chairs
and ranking minority members of the legislative committees with jurisdiction over health
and human services finance and policy. Recommendations must include a description of
engagement with Tribal Nations, Tribal perspectives shared throughout the engagement
process, service design, and reimbursement methodology.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 12. new text begin DIRECTION TO COMMISSIONER; HOME AND COMMUNITY-BASED
SERVICES SYSTEM REFORM ANALYSIS.
new text end

new text begin (a) The commissioner must study Minnesota's existing home and community-based
services system for older adults and evaluate options to meet the needs of older adults with
high support needs that cannot be addressed by services or individual participant budgets
available under the elderly waiver. The commissioner must propose reforms to the home
and community-based services system to meet the following goals:
new text end

new text begin (1) address the needs of older adults with high support needs, including older adults with
high support needs currently residing in the community;
new text end

new text begin (2) develop provider capacity to meet the needs of older adults with high support needs;
and
new text end

new text begin (3) ensure access to a full range of services and supports necessary to address the needs
of older adults with high support needs.
new text end

new text begin (b) The commissioner must submit a report with recommendations to meet the goals in
paragraph (a) to the chairs and ranking minority members of the legislative committees with
jurisdiction over human services finance and policy by December 31, 2025.
new text end

Sec. 13. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2022, section 256S.205, subdivision 4, new text end new text begin is repealed.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

ARTICLE 2

SUBSTANCE USE DISORDER SERVICES

Section 1.

Minnesota Statutes 2023 Supplement, section 256.042, subdivision 2, is amended
to read:


Subd. 2.

Membership.

(a) The council shall consist of the following 20 voting members,
appointed by the commissioner of human services except as otherwise specified, and deleted text begin threedeleted text end new text begin
four
new text end nonvoting members:

(1) two members of the house of representatives, appointed in the following sequence:
the first from the majority party appointed by the speaker of the house and the second from
the minority party appointed by the minority leader. Of these two members, one member
must represent a district outside of the seven-county metropolitan area, and one member
must represent a district that includes the seven-county metropolitan area. The appointment
by the minority leader must ensure that this requirement for geographic diversity in
appointments is met;

(2) two members of the senate, appointed in the following sequence: the first from the
majority party appointed by the senate majority leader and the second from the minority
party appointed by the senate minority leader. Of these two members, one member must
represent a district outside of the seven-county metropolitan area and one member must
represent a district that includes the seven-county metropolitan area. The appointment by
the minority leader must ensure that this requirement for geographic diversity in appointments
is met;

(3) one member appointed by the Board of Pharmacy;

(4) one member who is a physician appointed by the Minnesota Medical Association;

(5) one member representing opioid treatment programs, sober living programs, or
substance use disorder programs licensed under chapter 245G;

(6) one member appointed by the Minnesota Society of Addiction Medicine who is an
addiction psychiatrist;

(7) one member representing professionals providing alternative pain management
therapies, including, but not limited to, acupuncture, chiropractic, or massage therapy;

(8) one member representing nonprofit organizations conducting initiatives to address
the opioid epidemic, with the commissioner's initial appointment being a member
representing the Steve Rummler Hope Network, and subsequent appointments representing
this or other organizations;

(9) one member appointed by the Minnesota Ambulance Association who is serving
with an ambulance service as an emergency medical technician, advanced emergency
medical technician, or paramedic;

(10) one member representing the Minnesota courts who is a judge or law enforcement
officer;

(11) one public member who is a Minnesota resident and who is in opioid addiction
recovery;

(12) two members representing Indian tribes, one representing the Ojibwe tribes and
one representing the Dakota tribes;

(13) one member representing an urban American Indian community;

(14) one public member who is a Minnesota resident and who is suffering from chronic
pain, intractable pain, or a rare disease or condition;

(15) one mental health advocate representing persons with mental illness;

(16) one member appointed by the Minnesota Hospital Association;

(17) one member representing a local health department; deleted text begin and
deleted text end

(18) the commissioners of human services, health, and corrections, or their designees,
who shall be ex officio nonvoting members of the councildeleted text begin .deleted text end new text begin ; and
new text end

new text begin (19) the director of the Office of Addiction and Recovery, as specified under section
4.046, subdivision 6, or their designee, who shall be an ex officio nonvoting member of the
council.
new text end

(b) The commissioner of human services shall coordinate the commissioner's
appointments to provide geographic, racial, and gender diversity, and shall ensure that at
least one-third of council members appointed by the commissioner reside outside of the
seven-county metropolitan area. Of the members appointed by the commissioner, to the
extent practicable, at least one member must represent a community of color
disproportionately affected by the opioid epidemic.

(c) The council is governed by section 15.059, except that members of the council shall
serve three-year terms and shall receive no compensation other than reimbursement for
expenses. Notwithstanding section 15.059, subdivision 6, the council shall not expire.

(d) The chair shall convene the council at least quarterly, and may convene other meetings
as necessary. The chair shall convene meetings at different locations in the state to provide
geographic access, and shall ensure that at least one-half of the meetings are held at locations
outside of the seven-county metropolitan area.

(e) The commissioner of human services shall provide staff and administrative services
for the advisory council.

(f) The council is subject to chapter 13D.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2.

Minnesota Statutes 2023 Supplement, section 256.043, subdivision 3, is amended
to read:


Subd. 3.

Appropriations from registration and license fee account.

(a) The
appropriations in paragraphs (b) to (n) shall be made from the registration and license fee
account on a fiscal year basis in the order specified.

(b) The appropriations specified in Laws 2019, chapter 63, article 3, section 1, paragraphs
(b), (f), (g), and (h), as amended by Laws 2020, chapter 115, article 3, section 35, shall be
made accordingly.

(c) $100,000 is appropriated to the commissioner of human services for grants for opiate
antagonist distribution. Grantees may utilize funds for opioid overdose prevention,
community asset mapping, education, and opiate antagonist distribution.

(d) $2,000,000 is appropriated to the commissioner of human services for grants to Tribal
nations and five urban Indian communities for traditional healing practices for American
Indians and to increase the capacity of culturally specific providers in the behavioral health
workforce.

(e) $400,000 is appropriated to the commissioner of human services for competitive
grants for opioid-focused Project ECHO programs.

(f) $277,000 in fiscal year 2024 and $321,000 each year thereafter is appropriated to the
commissioner of human services to administer the funding distribution and reporting
requirements in paragraph (o).

(g) $3,000,000 in fiscal year 2025 and $3,000,000 each year thereafter is appropriated
to the commissioner of human services for safe recovery sites start-up and capacity building
grants under section 254B.18.

(h) $395,000 in fiscal year 2024 and $415,000 each year thereafter is appropriated to
the commissioner of human services for the opioid overdose surge alert system under section
245.891.

(i) $300,000 is appropriated to the commissioner of management and budget for
evaluation activities under section 256.042, subdivision 1, paragraph (c).

(j) $261,000 is appropriated to the commissioner of human services for the provision of
administrative services to the Opiate Epidemic Response Advisory Council and for the
administration of the grants awarded under paragraph (n).

(k) $126,000 is appropriated to the Board of Pharmacy for the collection of the registration
fees under section 151.066.

(l) $672,000 is appropriated to the commissioner of public safety for the Bureau of
Criminal Apprehension. Of this amount, $384,000 is for drug scientists and lab supplies
and $288,000 is for special agent positions focused on drug interdiction and drug trafficking.

(m) After the appropriations in paragraphs (b) to (l) are made, 50 percent of the remaining
amount is appropriated to the commissioner of human services for distribution to county
social service agencies and Tribal social service agency initiative projects authorized under
section 256.01, subdivision 14b, to providenew text begin prevention andnew text end child protection services to
children and families who are affected by addiction. The commissioner shall distribute this
money proportionally to county social service agencies and Tribal social service agency
initiative projectsnew text begin through a formulanew text end based onnew text begin intake data from the previous three calendar
years related to substance use and
new text end out-of-home placement episodes where parental drug
abuse is deleted text begin the primarydeleted text end new text begin anew text end reason for the out-of-home placement deleted text begin using data from the previous
calendar year
deleted text end . County social service agencies and Tribal social service agency initiative
projects receiving funds from the opiate epidemic response fund must annually report to
the commissioner on how the funds were used to providenew text begin prevention andnew text end child protection
services, including measurable outcomes, as determined by the commissioner. County social
service agencies and Tribal social service agency initiative projects must not use funds
received under this paragraph to supplant current state or local funding received for child
protection services for children and families who are affected by addiction.

(n) After the appropriations in paragraphs (b) to (m) are made, the remaining amount in
the account is appropriated to the commissioner of human services to award grants as
specified by the Opiate Epidemic Response Advisory Council in accordance with section
256.042, unless otherwise appropriated by the legislature.

(o) Beginning in fiscal year 2022 and each year thereafter, funds for county social service
agencies and Tribal social service agency initiative projects under paragraph (m) and grant
funds specified by the Opiate Epidemic Response Advisory Council under paragraph (n)
may be distributed on a calendar year basis.

(p) Notwithstanding section 16A.28, subdivision 3, funds appropriated in paragraphs
(c), (d), (e), (g), (m), and (n) are available for three years after the funds are appropriated.

Sec. 3.

new text begin [256B.0761] REENTRY DEMONSTRATION WAIVER.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment. new text end

new text begin The commissioner must submit a waiver application to
the Centers for Medicare and Medicaid Services to implement a medical assistance
demonstration project to provide health care and coordination services that bridge to
community-based services for individuals confined in state, local, or Tribal correctional
facilities prior to community reentry. The demonstration must be designed to:
new text end

new text begin (1) increase continuity of coverage;
new text end

new text begin (2) improve access to health care services, including mental, physical, and substance
use disorder services;
new text end

new text begin (3) enhance coordination between Medicaid systems, health and human services systems,
correctional systems, and community-based providers;
new text end

new text begin (4) reduce overdoses and deaths following release;
new text end

new text begin (5) decrease disparities in overdoses and deaths following release; and
new text end

new text begin (6) maximize health and overall community reentry outcomes.
new text end

new text begin Subd. 2. new text end

new text begin Eligible individuals. new text end

new text begin Notwithstanding section 256B.055, subdivision 14,
individuals are eligible to receive services under this demonstration if they are eligible under
section 256B.055, subdivision 3a, 6, 7, 7a, 9, 15, 16, or 17, as determined by the
commissioner in collaboration with correctional facilities, local governments, and Tribal
governments.
new text end

new text begin Subd. 3. new text end

new text begin Eligible correctional facilities. new text end

new text begin (a) The commissioner's waiver application is
limited to:
new text end

new text begin (1) three state correctional facilities to be determined by the commissioner of corrections,
one of which must be a women's facility;
new text end

new text begin (2) two local juvenile facilities, identified in coordination with the Minnesota Juvenile
Detention Association and the Minnesota Sheriffs' Association;
new text end

new text begin (3) four local adult correctional facilities identified in coordination with the Minnesota
Sheriff's Association and the Association of Minnesota Counties; and
new text end

new text begin (4) one correctional facility owned and managed by a Tribal government.
new text end

new text begin (b) Additional facilities may be added contingent on legislative authorization and
appropriations.
new text end

new text begin Subd. 4. new text end

new text begin Services and duration. new text end

new text begin (a) Services must be provided 90 days prior to an
individual's release date or, if an individual's confinement is less than 90 days, during the
time period between medical assistance eligibility determination and release to the
community.
new text end

new text begin (b) Facilities must offer the following services using either community-based or
corrections-based providers:
new text end

new text begin (1) case management activities to address physical and behavioral health needs, including
a comprehensive assessment of individual needs, development of a person-centered care
plan, referrals and other activities to address assessed needs, and monitoring and follow-up
activities;
new text end

new text begin (2) drug coverage in accordance with section 256B.0625, including up to a 30-day supply
of drugs upon release;
new text end

new text begin (3) substance use disorder comprehensive assessments according to section 254B.05,
subdivision 5, paragraph (b), clause (2);
new text end

new text begin (4) treatment coordination services according to section 254B.05, subdivision 5, paragraph
(b), clause (3);
new text end

new text begin (5) peer recovery support services according to sections 245I.04, subdivisions 18 and
19, and 254B.05, subdivision 5, paragraph (b), clause (4);
new text end

new text begin (6) substance use disorder individual and group counseling provided according to sections
245G.07, subdivision 1, paragraph (a), clause (1); 245G.11, subdivision 5; and 254B.05;
new text end

new text begin (7) mental health diagnostic assessment as required under section 245I.10;
new text end

new text begin (8) group and individual psychotherapy as required under section 256B.0671;
new text end

new text begin (9) peer specialist services, as required under sections 245I.04 and 256B.0615;
new text end

new text begin (10) family planning and obstetrics and gynecology; and
new text end

new text begin (11) physical health well-being and screenings and care for adults and youth.
new text end

new text begin (c) Services outlined in this subdivision may only be authorized when an individual
demonstrates medical necessity or other eligibility as required under chapter 256B or
applicable state and federal laws.
new text end

new text begin Subd. 5. new text end

new text begin Provider requirements and standards. new text end

new text begin (a) Service providers must adhere to
applicable licensing and provider requirements under chapters 245A, 245G, 245I, 254B,
256B, and 256I.
new text end

new text begin (b) Service providers must be enrolled to provide services under Minnesota health care
programs.
new text end

new text begin (c) Services may be provided by eligible providers employed by the correctional facility
or by eligible community providers under contract with the correctional facility.
new text end

new text begin (d) The commissioner must determine whether each facility is ready to participate in
this demonstration based on a facility-submitted assessment of the facility's readiness to
implement:
new text end

new text begin (1) prerelease medical assistance application and enrollment processes for inmates not
enrolled in medical assistance coverage;
new text end

new text begin (2) the provision or facilitation of all required prerelease services for a period of up to
90 days prior to release;
new text end

new text begin (3) coordination among county and Tribal human services agencies and all other entities
with a role in furnishing health care and supports to address health-related social needs;
new text end

new text begin (4) appropriate reentry planning, prerelease care management, and assistance with care
transitions to the community;
new text end

new text begin (5) operational approaches to implementing certain Medicaid and Children Health
Insurance Program requirements, including applications, suspensions, notices, fair hearings,
and reasonable promptness for coverage of services;
new text end

new text begin (6) a data exchange process to support care coordination and transition activities; and
new text end

new text begin (7) reporting of all requested data to the commissioner of human services to support
program monitoring, evaluation, oversight, and all financial data to meet reinvestment
requirements.
new text end

new text begin (d) Participating facilities must detail reinvestment plans for all new federal Medicaid
funds expended for reentry services that were previously the responsibility of each facility
and provide detailed financial reports to the commissioner.
new text end

new text begin Subd. 6. new text end

new text begin Payment rates. new text end

new text begin (a) Payment rates for services under this section that are
approved under Minnesota's state plan agreement with the Centers for Medicare and Medicaid
Services are equal to current and applicable state law and federal requirements.
new text end

new text begin (b) Case management payment rates are equal to rates authorized by the commissioner
for relocation targeted case management under section 245B.0621, subdivision 10.
new text end

new text begin (c) Claims for covered drugs purchased through discount purchasing programs, such as
the Federal Supply Schedule (FSS) of the United States General Services Administration
or the MMCAP Infuse program, shall be at no more than the actual acquisition cost plus
the professional dispensing fee in section 256B.0625, subdivision 13e. Drugs administered
to members must be billed on a professional claim in accordance with section 256B.0625,
subdivision 13e, paragraph (e), and submitted with the actual acquisition cost for the drug
on the claim line. Pharmacy claims must be submitted with the actual acquisition cost as
the ingredient cost field and the dispensing fee in section 256B.0625, subdivision 13e, in
the dispensing fee field on the claim with the basis of cost indicator of "08." Providers may
establish written protocols for establishing or calculating the facility's actual acquisition
drug cost based on a monthly, quarterly, or other average of the facility's actual acquisition
drug cost through the discount purchasing program. A written protocol may not include an
inflation, markup, spread, or margin to be added to the provider's actual purchase price after
subtracting all discounts.
new text end

new text begin Subd. 7. new text end

new text begin Reentry services work group. new text end

new text begin (a) The commissioner of human services, in
collaboration with the commissioner of corrections, must convene a reentry services work
group to consider ways to improve the demonstration under this section and related policies
for justice-involved individuals.
new text end

new text begin (b) The work group must have balanced representation, including: people with lived
experience and representatives from community health care providers, the Minnesota Sheriffs'
Association, the Minnesota Association for County Social Service Administrators, the
Association of Minnesota Counties, the Minnesota Juvenile Detention Association, the
Office of Addiction and Recovery, Minnesota NAMI, Tribal Nations, and Minnesota Alliance
of Recovery Community Organizations.
new text end

new text begin (c) The work group must:
new text end

new text begin (1) advise on the waiver application, implementation, monitoring, evaluation and
reinvestment plans;
new text end

new text begin (2) recommend strategies to improve processes that ensure notifications of the individual's
release date, current location, postrelease location, and other relevant information are
provided to state, county, and Tribal eligibility systems and managed care organizations;
new text end

new text begin (3) consider the value of expanding, replicating, or adapting the components of the
demonstration authorized under this section to additional populations; and
new text end

new text begin (4) recommend ideas to fund expanded reentry services.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2026, or upon federal approval,
whichever is later.
new text end

Sec. 4.

Minnesota Statutes 2022, section 256B.69, subdivision 4, is amended to read:


Subd. 4.

Limitation of choice.

(a) The commissioner shall develop criteria to determine
when limitation of choice may be implemented in the experimental counties. The criteria
shall ensure that all eligible individuals in the county have continuing access to the full
range of medical assistance services as specified in subdivision 6.

(b) The commissioner shall exempt the following persons from participation in the
project, in addition to those who do not meet the criteria for limitation of choice:

(1) persons eligible for medical assistance according to section 256B.055, subdivision
1
;

(2) persons eligible for medical assistance due to blindness or disability as determined
by the Social Security Administration or the state medical review team, unless:

(i) they are 65 years of age or older; or

(ii) they reside in Itasca County or they reside in a county in which the commissioner
conducts a pilot project under a waiver granted pursuant to section 1115 of the Social
Security Act;

(3) recipients who currently have private coverage through a health maintenance
organization;

(4) recipients who are eligible for medical assistance by spending down excess income
for medical expenses other than the nursing facility per diem expense;

(5) recipients who receive benefits under the Refugee Assistance Program, established
under United States Code, title 8, section 1522(e);

(6) children who are both determined to be severely emotionally disturbed and receiving
case management services according to section 256B.0625, subdivision 20, except children
who are eligible for and who decline enrollment in an approved preferred integrated network
under section 245.4682;

(7) adults who are both determined to be seriously and persistently mentally ill and
received case management services according to section 256B.0625, subdivision 20;

(8) persons eligible for medical assistance according to section 256B.057, subdivision
10
;

(9) persons with access to cost-effective employer-sponsored private health insurance
or persons enrolled in a non-Medicare individual health plan determined to be cost-effective
according to section 256B.0625, subdivision 15; deleted text begin and
deleted text end

(10) persons who are absent from the state for more than 30 consecutive days but still
deemed a resident of Minnesota, identified in accordance with section 256B.056, subdivision
1, paragraph (b)deleted text begin .deleted text end new text begin ; and
new text end

new text begin (11) persons who are enrolled in the reentry demonstration wavier under 256B.0761.
new text end

Children under age 21 who are in foster placement may enroll in the project on an elective
basis. Individuals excluded under clauses (1), (6), and (7) may choose to enroll on an elective
basis. The commissioner may enroll recipients in the prepaid medical assistance program
for seniors who are (1) age 65 and over, and (2) eligible for medical assistance by spending
down excess income.

(c) The commissioner may allow persons with a one-month spenddown who are otherwise
eligible to enroll to voluntarily enroll or remain enrolled, if they elect to prepay their monthly
spenddown to the state.

(d) The commissioner may require those individuals to enroll in the prepaid medical
assistance program who otherwise would have been excluded under paragraph (b), clauses
(1), (3), and (8), and under Minnesota Rules, part 9500.1452, subpart 2, items H, K, and L.

(e) Before limitation of choice is implemented, eligible individuals shall be notified and
after notification, shall be allowed to choose only among demonstration providers. The
commissioner may assign an individual with private coverage through a health maintenance
organization, to the same health maintenance organization for medical assistance coverage,
if the health maintenance organization is under contract for medical assistance in the
individual's county of residence. After initially choosing a provider, the recipient is allowed
to change that choice only at specified times as allowed by the commissioner. If a
demonstration provider ends participation in the project for any reason, a recipient enrolled
with that provider must select a new provider but may change providers without cause once
more within the first 60 days after enrollment with the second provider.

(f) An infant born to a woman who is eligible for and receiving medical assistance and
who is enrolled in the prepaid medical assistance program shall be retroactively enrolled to
the month of birth in the same managed care plan as the mother once the child is enrolled
in medical assistance unless the child is determined to be excluded from enrollment in a
prepaid plan under this section.

Sec. 5. new text begin CAPACITY-BUILDING AND IMPLEMENTATION GRANTS FOR THE
MEDICAL ASSISTANCE REENTRY DEMONSTRATION.
new text end

new text begin The commissioner must establish capacity-building grants for eligible local correctional
facilities as they prepare to implement reentry demonstrations services under Minnesota
Statutes, section 256B.0761. Allowable expenditures under this grant include: expenses to
develop, in coordination with incarcerated individuals and community members with lived
experience, processes and protocols; establishment or modification of IT systems to support
implementation; personnel costs; and other expenses as determined by the commissioner.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 6. new text begin 1115 WAIVER FOR MEDICAL ASSISTANCE REENTRY
DEMONSTRATION.
new text end

new text begin The commissioner of human services must submit an application to the United States
Secretary of Health and Human Services to implement a medical assistance reentry
demonstration that covers services for incarcerated individuals, as described under Minnesota
Statutes, section 256B.0671. Coverage of prerelease services is contingent on federal approval
of the demonstration and the required implementation and reinvestment plans.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

ARTICLE 3

DIRECT CARE AND TREATMENT

Section 1. new text begin MENTALLY ILL AND DANGEROUS CIVIL COMMITMENT REFORM
TASK FORCE.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment; purpose. new text end

new text begin The Mentally Ill and Dangerous Civil
Commitment Reform Task Force is established to evaluate current statutes related to mentally
ill and dangerous civil commitments and develop recommendations to optimize the use of
state-operated mental health resources and increase equitable access and outcomes for
patients.
new text end

new text begin Subd. 2. new text end

new text begin Membership. new text end

new text begin (a) The Mentally Ill and Dangerous Civil Commitment Reform
Task Force consists of the members appointed as follows:
new text end

new text begin (1) the commissioner of human services or a designee;
new text end

new text begin (2) two members representing the Department of Direct Care and Treatment who have
experience with mentally ill and dangerous civil commitments, appointed by the
commissioner of human services;
new text end

new text begin (3) the ombudsman for mental health and developmental disabilities;
new text end

new text begin (4) a judge with experience presiding over mentally ill and dangerous civil commitments,
appointed by the state court administrator;
new text end

new text begin (5) a court examiner with experience participating in mentally ill and dangerous civil
commitments, appointed by the state court administrator;
new text end

new text begin (6) a member of the Special Review Board, appointed by the state court administrator;
new text end

new text begin (7) a county representative, appointed by the Association of Minnesota Counties;
new text end

new text begin (8) a representative appointed by the Minnesota Association of County Social Service
Administrators;
new text end

new text begin (9) a county attorney with experience participating in mentally ill and dangerous civil
commitments, appointed by the Minnesota County Attorneys Association;
new text end

new text begin (10) an attorney with experience representing respondents in mentally ill and dangerous
civil commitments, appointed by the governor;
new text end

new text begin (11) a member appointed by the Minnesota Association of Community Mental Health
Programs;
new text end

new text begin (12) a member appointed by the National Alliance on Mental Illness Minnesota;
new text end

new text begin (13) a licensed independent practitioner with experience treating individuals subject to
a mentally ill and dangerous civil commitment; and
new text end

new text begin (14) an individual with lived experience under civil commitment as mentally ill and
dangerous and is on a provisional discharge or has been discharged from commitment.
new text end

new text begin (b) A member of the legislature may not serve as a member of the task force.
new text end

new text begin (c) Appointments to the task force must be made no later than July 30, 2024.
new text end

new text begin Subd. 3. new text end

new text begin Compensation; removal; vacancy. new text end

new text begin (a) Notwithstanding Minnesota Statutes,
section 15.059, subdivision 6, members of the task force may be compensated as provided
under Minnesota Statutes, section 15.059, subdivision 3.
new text end

new text begin (b) A member may be removed by the appointing authority at any time at the pleasure
of the appointing authority. In the case of a vacancy on the task force, the appointing authority
shall appoint an individual to fill the vacancy for the remainder of the unexpired term.
new text end

new text begin Subd. 4. new text end

new text begin Officers; meetings. new text end

new text begin (a) The commissioner of human services shall convene
the first meeting of the task force no later than September 1, 2024.
new text end

new text begin (b) The task force must elect a chair and vice-chair from among its members and may
elect other officers as necessary.
new text end

new text begin (c) The task force is subject to Minnesota Statutes, chapter 13D.
new text end

new text begin Subd. 5. new text end

new text begin Staff. new text end

new text begin The commissioner of human services must provide staff assistance to
support the work of the task force.
new text end

new text begin Subd. 6. new text end

new text begin Data usage and privacy. new text end

new text begin Any data provided by executive agencies as part of
the work and report of the task force are subject to the requirements of Minnesota Statutes,
chapter 13, and all other applicable data privacy laws.
new text end

new text begin Subd. 7. new text end

new text begin Duties. new text end

new text begin The task force must:
new text end

new text begin (1) analyze current trends in mentally ill and dangerous civil commitments, including
but not limited to the length of stay for individuals committed in Minnesota as compared
to other jurisdictions;
new text end

new text begin (2) review national practices and criteria for civil commitment of individuals who have
a mental illness and represent a danger to the public;
new text end

new text begin (3) develop recommended statutory changes necessary to provide services to the high
number of mentally ill and dangerous civilly committed individuals;
new text end

new text begin (4) develop funding and statutory recommendations for alternatives to the current mentally
ill and dangerous civil commitment process;
new text end

new text begin (5) identify what types of placements and services are necessary to serve individuals
civilly committed as mentally ill and dangerous in the community;
new text end

new text begin (6) make recommendations to reduce barriers to discharge from the forensic mental
health program for individuals civilly committed as mentally ill and dangerous;
new text end

new text begin (7) develop recommended plain language statutory changes to clarify operational
definitions for terms used within Minnesota Statutes, section 253B.18;
new text end

new text begin (8) develop recommended statutory changes to provide clear direction to the
commissioner of human services and facilities to which individuals are civilly committed
to address situations in which an individual is committed as mentally ill and dangerous and
is later determined to not have an organic disorder of the brain or a substantial psychiatric
disorder of thought, mood, perception, orientation, or memory; and
new text end

new text begin (9) evaluate and make statutory and funding recommendations for the voluntary return
of individuals civilly committed as mentally ill and dangerous to community facilities.
new text end

new text begin Subd. 8. new text end

new text begin Report required. new text end

new text begin By August 1, 2025, the task force shall submit to the chairs
and ranking minority members of the legislative committees with jurisdiction over mentally
ill and dangerous civil commitments a written report that includes the outcome of the duties
in subdivision 7, including but not limited to recommended statutory changes.
new text end

new text begin Subd. 9. new text end

new text begin Expiration. new text end

new text begin The task force expires January 1, 2026.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

ARTICLE 4

DIRECT CARE AND TREATMENT AGENCY

Section 1.

Minnesota Statutes 2023 Supplement, section 10.65, subdivision 2, is amended
to read:


Subd. 2.

Definitions.

As used in this section, the following terms have the meanings
given:

(1) "agency" means the Department of Administration; Department of Agriculture;
Department of Children, Youth, and Families; Department of Commerce; Department of
Corrections; Department of Education; Department of Employment and Economic
Development; Department of Health; Office of Higher Education; Housing Finance Agency;
Department of Human Rights; Department of Human Services; Department of Information
Technology Services; Department of Iron Range Resources and Rehabilitation; Department
of Labor and Industry; Minnesota Management and Budget; Bureau of Mediation Services;
Department of Military Affairs; Metropolitan Council; Department of Natural Resources;
Pollution Control Agency; Department of Public Safety; Department of Revenue; Department
of Transportation; Department of Veterans Affairs; new text begin Direct Care and Treatment; new text end Gambling
Control Board; Racing Commission; the Minnesota Lottery; the Animal Health Board; and
the Board of Water and Soil Resources;

(2) "consultation" means the direct and interactive involvement of the Minnesota Tribal
governments in the development of policy on matters that have Tribal implications.
Consultation is the proactive, affirmative process of identifying and seeking input from
appropriate Tribal governments and considering their interest as a necessary and integral
part of the decision-making process. This definition adds to statutorily mandated notification
procedures. During a consultation, the burden is on the agency to show that it has made a
good faith effort to elicit feedback. Consultation is a formal engagement between agency
officials and the governing body or bodies of an individual Minnesota Tribal government
that the agency or an individual Tribal government may initiate. Formal meetings or
communication between top agency officials and the governing body of a Minnesota Tribal
government is a necessary element of consultation;

(3) "matters that have Tribal implications" means rules, legislative proposals, policy
statements, or other actions that have substantial direct effects on one or more Minnesota
Tribal governments, or on the distribution of power and responsibilities between the state
and Minnesota Tribal governments;

(4) "Minnesota Tribal governments" means the federally recognized Indian Tribes located
in Minnesota including: Bois Forte Band; Fond Du Lac Band; Grand Portage Band; Leech
Lake Band; Mille Lacs Band; White Earth Band; Red Lake Nation; Lower Sioux Indian
Community; Prairie Island Indian Community; Shakopee Mdewakanton Sioux Community;
and Upper Sioux Community; and

(5) "timely and meaningful" means done or occurring at a favorable or useful time that
allows the result of consultation to be included in the agency's decision-making process for
a matter that has Tribal implications.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 2.

Minnesota Statutes 2022, section 13.46, subdivision 1, is amended to read:


Subdivision 1.

Definitions.

As used in this section:

(a) "Individual" means an individual according to section 13.02, subdivision 8, but does
not include a vendor of services.

(b) "Program" includes all programs for which authority is vested in a component of the
welfare system according to statute or federal law, including, but not limited to, Native
American tribe programs that provide a service component of the welfare system, the aid
to families with dependent children program formerly codified in sections 256.72 to 256.87,
Minnesota family investment program, temporary assistance for needy families program,
medical assistance, general assistance, general assistance medical care formerly codified in
chapter 256D, child care assistance program, and child support collections.

(c) "Welfare system" includes the Department of Human Services, new text begin Direct Care and
Treatment,
new text end local social services agencies, county welfare agencies, county public health
agencies, county veteran services agencies, county housing agencies, private licensing
agencies, the public authority responsible for child support enforcement, human services
boards, community mental health center boards, state hospitals, state nursing homes, the
ombudsman for mental health and developmental disabilities, Native American tribes to
the extent a tribe provides a service component of the welfare system, and persons, agencies,
institutions, organizations, and other entities under contract to any of the above agencies to
the extent specified in the contract.

(d) "Mental health data" means data on individual clients and patients of community
mental health centers, established under section 245.62, mental health divisions of counties
and other providers under contract to deliver mental health services, or the ombudsman for
mental health and developmental disabilities.

(e) "Fugitive felon" means a person who has been convicted of a felony and who has
escaped from confinement or violated the terms of probation or parole for that offense.

(f) "Private licensing agency" means an agency licensed by the commissioner of human
services under chapter 245A to perform the duties under section 245A.16.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 3.

Minnesota Statutes 2023 Supplement, section 13.46, subdivision 2, is amended to
read:


Subd. 2.

General.

(a) Data on individuals collected, maintained, used, or disseminated
by the welfare system are private data on individuals, and shall not be disclosed except:

(1) according to section 13.05;

(2) according to court order;

(3) according to a statute specifically authorizing access to the private data;

(4) to an agent of the welfare system and an investigator acting on behalf of a county,
the state, or the federal government, including a law enforcement person or attorney in the
investigation or prosecution of a criminal, civil, or administrative proceeding relating to the
administration of a program;

(5) to personnel of the welfare system who require the data to verify an individual's
identity; determine eligibility, amount of assistance, and the need to provide services to an
individual or family across programs; coordinate services for an individual or family;
evaluate the effectiveness of programs; assess parental contribution amounts; and investigate
suspected fraud;

(6) to administer federal funds or programs;

(7) between personnel of the welfare system working in the same program;

(8) to the Department of Revenue to assess parental contribution amounts for purposes
of section 252.27, subdivision 2a, administer and evaluate tax refund or tax credit programs
and to identify individuals who may benefit from these programs, and prepare the databases
for reports required under section 270C.13 and Laws 2008, chapter 366, article 17, section
6. The following information may be disclosed under this paragraph: an individual's and
their dependent's names, dates of birth, Social Security or individual taxpayer identification
numbers, income, addresses, and other data as required, upon request by the Department
of Revenue. Disclosures by the commissioner of revenue to the commissioner of human
services for the purposes described in this clause are governed by section 270B.14,
subdivision 1
. Tax refund or tax credit programs include, but are not limited to, the dependent
care credit under section 290.067, the Minnesota working family credit under section
290.0671, the property tax refund under section 290A.04, and the Minnesota education
credit under section 290.0674;

(9) between the Department of Human Services, the Department of Employment and
Economic Development, new text begin Direct Care and Treatment, new text end andnew text begin ,new text end when applicable, the Department
of Education, for the following purposes:

(i) to monitor the eligibility of the data subject for unemployment benefits, for any
employment or training program administered, supervised, or certified by that agency;

(ii) to administer any rehabilitation program or child care assistance program, whether
alone or in conjunction with the welfare system;

(iii) to monitor and evaluate the Minnesota family investment program or the child care
assistance program by exchanging data on recipients and former recipients of Supplemental
Nutrition Assistance Program (SNAP) benefits, cash assistance under chapter 256, 256D,
256J, or 256K, child care assistance under chapter 119B, medical programs under chapter
256B or 256L, or a medical program formerly codified under chapter 256D; and

(iv) to analyze public assistance employment services and program utilization, cost,
effectiveness, and outcomes as implemented under the authority established in Title II,
Sections 201-204 of the Ticket to Work and Work Incentives Improvement Act of 1999.
Health records governed by sections 144.291 to 144.298 and "protected health information"
as defined in Code of Federal Regulations, title 45, section 160.103, and governed by Code
of Federal Regulations, title 45, parts 160-164, including health care claims utilization
information, must not be exchanged under this clause;

(10) to appropriate parties in connection with an emergency if knowledge of the
information is necessary to protect the health or safety of the individual or other individuals
or persons;

(11) data maintained by residential programs as defined in section 245A.02 may be
disclosed to the protection and advocacy system established in this state according to Part
C of Public Law 98-527 to protect the legal and human rights of persons with developmental
disabilities or other related conditions who live in residential facilities for these persons if
the protection and advocacy system receives a complaint by or on behalf of that person and
the person does not have a legal guardian or the state or a designee of the state is the legal
guardian of the person;

(12) to the county medical examiner or the county coroner for identifying or locating
relatives or friends of a deceased person;

(13) data on a child support obligor who makes payments to the public agency may be
disclosed to the Minnesota Office of Higher Education to the extent necessary to determine
eligibility under section 136A.121, subdivision 2, clause (5);

(14) participant Social Security or individual taxpayer identification numbers and names
collected by the telephone assistance program may be disclosed to the Department of
Revenue to conduct an electronic data match with the property tax refund database to
determine eligibility under section 237.70, subdivision 4a;

(15) the current address of a Minnesota family investment program participant may be
disclosed to law enforcement officers who provide the name of the participant and notify
the agency that:

(i) the participant:

(A) is a fugitive felon fleeing to avoid prosecution, or custody or confinement after
conviction, for a crime or attempt to commit a crime that is a felony under the laws of the
jurisdiction from which the individual is fleeing; or

(B) is violating a condition of probation or parole imposed under state or federal law;

(ii) the location or apprehension of the felon is within the law enforcement officer's
official duties; and

(iii) the request is made in writing and in the proper exercise of those duties;

(16) the current address of a recipient of general assistance may be disclosed to probation
officers and corrections agents who are supervising the recipient and to law enforcement
officers who are investigating the recipient in connection with a felony level offense;

(17) information obtained from a SNAP applicant or recipient households may be
disclosed to local, state, or federal law enforcement officials, upon their written request, for
the purpose of investigating an alleged violation of the Food and Nutrition Act, according
to Code of Federal Regulations, title 7, section 272.1(c);

(18) the address, Social Security or individual taxpayer identification number, and, if
available, photograph of any member of a household receiving SNAP benefits shall be made
available, on request, to a local, state, or federal law enforcement officer if the officer
furnishes the agency with the name of the member and notifies the agency that:

(i) the member:

(A) is fleeing to avoid prosecution, or custody or confinement after conviction, for a
crime or attempt to commit a crime that is a felony in the jurisdiction the member is fleeing;

(B) is violating a condition of probation or parole imposed under state or federal law;
or

(C) has information that is necessary for the officer to conduct an official duty related
to conduct described in subitem (A) or (B);

(ii) locating or apprehending the member is within the officer's official duties; and

(iii) the request is made in writing and in the proper exercise of the officer's official duty;

(19) the current address of a recipient of Minnesota family investment program, general
assistance, or SNAP benefits may be disclosed to law enforcement officers who, in writing,
provide the name of the recipient and notify the agency that the recipient is a person required
to register under section 243.166, but is not residing at the address at which the recipient is
registered under section 243.166;

(20) certain information regarding child support obligors who are in arrears may be
made public according to section 518A.74;

(21) data on child support payments made by a child support obligor and data on the
distribution of those payments excluding identifying information on obligees may be
disclosed to all obligees to whom the obligor owes support, and data on the enforcement
actions undertaken by the public authority, the status of those actions, and data on the income
of the obligor or obligee may be disclosed to the other party;

(22) data in the work reporting system may be disclosed under section 256.998,
subdivision 7
;

(23) to the Department of Education for the purpose of matching Department of Education
student data with public assistance data to determine students eligible for free and
reduced-price meals, meal supplements, and free milk according to United States Code,
title 42, sections 1758, 1761, 1766, 1766a, 1772, and 1773; to allocate federal and state
funds that are distributed based on income of the student's family; and to verify receipt of
energy assistance for the telephone assistance plan;

(24) the current address and telephone number of program recipients and emergency
contacts may be released to the commissioner of health or a community health board as
defined in section 145A.02, subdivision 5, when the commissioner or community health
board has reason to believe that a program recipient is a disease case, carrier, suspect case,
or at risk of illness, and the data are necessary to locate the person;

(25) to other state agencies, statewide systems, and political subdivisions of this state,
including the attorney general, and agencies of other states, interstate information networks,
federal agencies, and other entities as required by federal regulation or law for the
administration of the child support enforcement program;

(26) to personnel of public assistance programs as defined in section 256.741, for access
to the child support system database for the purpose of administration, including monitoring
and evaluation of those public assistance programs;

(27) to monitor and evaluate the Minnesota family investment program by exchanging
data between the Departments of Human Services and Education, on recipients and former
recipients of SNAP benefits, cash assistance under chapter 256, 256D, 256J, or 256K, child
care assistance under chapter 119B, medical programs under chapter 256B or 256L, or a
medical program formerly codified under chapter 256D;

(28) to evaluate child support program performance and to identify and prevent fraud
in the child support program by exchanging data between the Department of Human Services,
Department of Revenue under section 270B.14, subdivision 1, paragraphs (a) and (b),
without regard to the limitation of use in paragraph (c), Department of Health, Department
of Employment and Economic Development, and other state agencies as is reasonably
necessary to perform these functions;

(29) counties and the Department of Human Services operating child care assistance
programs under chapter 119B may disseminate data on program participants, applicants,
and providers to the commissioner of education;

(30) child support data on the child, the parents, and relatives of the child may be
disclosed to agencies administering programs under titles IV-B and IV-E of the Social
Security Act, as authorized by federal law;

(31) to a health care provider governed by sections 144.291 to 144.298, to the extent
necessary to coordinate services;

(32) to the chief administrative officer of a school to coordinate services for a student
and family; data that may be disclosed under this clause are limited to name, date of birth,
gender, and address;

(33) to county correctional agencies to the extent necessary to coordinate services and
diversion programs; data that may be disclosed under this clause are limited to name, client
demographics, program, case status, and county worker information; or

(34) between the Department of Human Services and the Metropolitan Council for the
following purposes:

(i) to coordinate special transportation service provided under section 473.386 with
services for people with disabilities and elderly individuals funded by or through the
Department of Human Services; and

(ii) to provide for reimbursement of special transportation service provided under section
473.386.

The data that may be shared under this clause are limited to the individual's first, last, and
middle names; date of birth; residential address; and program eligibility status with expiration
date for the purposes of informing the other party of program eligibility.

(b) Information on persons who have been treated for drug or alcohol abuse may only
be disclosed according to the requirements of Code of Federal Regulations, title 42, sections
2.1 to 2.67.

(c) Data provided to law enforcement agencies under paragraph (a), clause (15), (16),
(17), or (18), or paragraph (b), are investigative data and are confidential or protected
nonpublic while the investigation is active. The data are private after the investigation
becomes inactive under section 13.82, subdivision 7, clause (a) or (b).

(d) Mental health data shall be treated as provided in subdivisions 7, 8, and 9, but are
not subject to the access provisions of subdivision 10, paragraph (b).

For the purposes of this subdivision, a request will be deemed to be made in writing if
made through a computer interface system.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 4.

Minnesota Statutes 2022, section 13.46, subdivision 10, is amended to read:


Subd. 10.

Responsible authority.

(a) Notwithstanding any other provision of this chapter
to the contrary, the responsible authority for each component of the welfare system listed
in subdivision 1, clause (c), shall be as follows:

(1) the responsible authority for the Department of Human Servicesdeleted text begin , state hospitals, and
nursing homes
deleted text end is the commissioner of the Department of Human Services;

(2) the responsible authority of a county welfare agency is the director of the county
welfare agency;

(3) the responsible authority for a local social services agency, human services board,
or community mental health center board is the chair of the board;

(4) the responsible authority of any person, agency, institution, organization, or other
entity under contract to any of the components of the welfare system listed in subdivision
1, clause (c), is the person specified in the contract;

(5) the responsible authority of the public authority for child support enforcement is the
head of the public authority for child support enforcement; deleted text begin and
deleted text end

(6) the responsible authority for county veteran services is the county veterans service
officer pursuant to section 197.603, subdivision 2deleted text begin .deleted text end new text begin ; and
new text end

new text begin (7) the responsible authority for Direct Care and Treatment is the chief executive officer
of Direct Care and Treatment.
new text end

(b) A responsible authority shall allow another responsible authority in the welfare
system access to data classified as not public data when access is necessary for the
administration and management of programs, or as authorized or required by statute or
federal law.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 5.

Minnesota Statutes 2023 Supplement, section 15.01, is amended to read:


15.01 DEPARTMENTS OF THE STATE.

The following agencies are designated as the departments of the state government: the
Department of Administration; the Department of Agriculture; the Department of Children,
Youth, and Families; the Department of Commerce; the Department of Corrections; deleted text begin the
Department of Direct Care and Treatment;
deleted text end the Department of Education; the Department
of Employment and Economic Development; the Department of Health; the Department of
Human Rights; the Department of Human Services; the Department of Information
Technology Services; the Department of Iron Range Resources and Rehabilitation; the
Department of Labor and Industry; the Department of Management and Budget; the
Department of Military Affairs; the Department of Natural Resources; the Department of
Public Safety; the Department of Revenue; the Department of Transportation; the Department
of Veterans Affairs; and their successor departments.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 6.

Minnesota Statutes 2023 Supplement, section 15.06, subdivision 1, is amended to
read:


Subdivision 1.

Applicability.

This section applies to the following departments or
agencies: the Departments of Administration; Agriculture; Children, Youth, and Families;
Commerce; Corrections; deleted text begin Direct Care and Treatment;deleted text end Education; Employment and Economic
Development; Health; Human Rights; Human Services; Labor and Industry; Management
and Budget; Natural Resources; Public Safety; Revenue; Transportation; and Veterans
Affairs; the Housing Finance and Pollution Control Agencies; the Office of Commissioner
of Iron Range Resources and Rehabilitation; the Department of Information Technology
Services; the Bureau of Mediation Services; and their successor departments and agencies.
The heads of the foregoing departments or agencies are "commissioners."

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 7.

Minnesota Statutes 2023 Supplement, section 15A.082, subdivision 1, is amended
to read:


Subdivision 1.

Creation.

A Compensation Council is created each odd-numbered year
to establish the compensation of constitutional officers and the heads of state and metropolitan
agencies identified in section 15A.0815, deleted text begin anddeleted text end to assist the legislature in establishing the
compensation of justices of the supreme court and judges of the court of appeals and district
courtnew text begin , and to determine the daily compensation for voting members of the Direct Care and
Treatment executive board
new text end .

Sec. 8.

Minnesota Statutes 2023 Supplement, section 15A.082, subdivision 3, is amended
to read:


Subd. 3.

Submission of recommendations and determination.

(a) By April 1 in each
odd-numbered year, the Compensation Council shall submit to the speaker of the house and
the president of the senate salary recommendations for justices of the supreme court, and
judges of the court of appeals and district court. The recommended salaries take effect on
July 1 of that year and July 1 of the subsequent even-numbered year and at whatever interval
the council recommends thereafter, unless the legislature by law provides otherwise. The
salary recommendations take effect if an appropriation of money to pay the recommended
salaries is enacted after the recommendations are submitted and before their effective date.
Recommendations may be expressly modified or rejected.

(b) By April 1 in each odd-numbered year, the Compensation Council must prescribe
salaries for constitutional officers, and for the agency and metropolitan agency heads
identified in section 15A.0815. The prescribed salary for each office must take effect July
1 of that year and July 1 of the subsequent even-numbered year and at whatever interval
the council determines thereafter, unless the legislature by law provides otherwise. An
appropriation by the legislature to fund the relevant office, branch, or agency of an amount
sufficient to pay the salaries prescribed by the council constitutes a prescription by law as
provided in the Minnesota Constitution, article V, sections 4 and 5.

new text begin (c) By April 1 in each odd-numbered year, the Compensation Council must prescribe
daily compensation for voting members of the Direct Care and Treatment executive board.
The recommended daily compensation takes effect on July 1 of that year and July 1 of the
subsequent even-numbered year and at whatever interval the council recommends thereafter,
unless the legislature by law provides otherwise.
new text end

Sec. 9.

Minnesota Statutes 2023 Supplement, section 15A.082, subdivision 7, is amended
to read:


Subd. 7.

No ex parte communications.

Members may not have any communication
with a constitutional officer, a head of a state agency, deleted text begin ordeleted text end new text begin anew text end member of the judiciarynew text begin , or a
member of the Direct Care and Treatment executive board
new text end during the period after the first
meeting is convened under this section and the date the prescribed and recommended salariesnew text begin
and daily compensation
new text end are submitted under subdivision 3.

Sec. 10.

Minnesota Statutes 2023 Supplement, section 43A.08, subdivision 1, is amended
to read:


Subdivision 1.

Unclassified positions.

Unclassified positions are held by employees
who are:

(1) chosen by election or appointed to fill an elective office;

(2) heads of agencies required by law to be appointed by the governor or other elective
officers, and the executive or administrative heads of departments, bureaus, divisions, and
institutions specifically established by law in the unclassified service;

(3) deputy and assistant agency heads and one confidential secretary in the agencies
listed in subdivision 1a;

(4) the confidential secretary to each of the elective officers of this state and, for the
secretary of state and state auditor, an additional deputy, clerk, or employee;

(5) intermittent help employed by the commissioner of public safety to assist in the
issuance of vehicle licenses;

(6) employees in the offices of the governor and of the lieutenant governor and one
confidential employee for the governor in the Office of the Adjutant General;

(7) employees of the Washington, D.C., office of the state of Minnesota;

(8) employees of the legislature and of legislative committees or commissions; provided
that employees of the Legislative Audit Commission, except for the legislative auditor, the
deputy legislative auditors, and their confidential secretaries, shall be employees in the
classified service;

(9) presidents, vice-presidents, deans, other managers and professionals in academic
and academic support programs, administrative or service faculty, teachers, research
assistants, and student employees eligible under terms of the federal Economic Opportunity
Act work study program in the Perpich Center for Arts Education and the Minnesota State
Colleges and Universities, but not the custodial, clerical, or maintenance employees, or any
professional or managerial employee performing duties in connection with the business
administration of these institutions;

(10) officers and enlisted persons in the National Guard;

(11) attorneys, legal assistants, and three confidential employees appointed by the attorney
general or employed with the attorney general's authorization;

(12) judges and all employees of the judicial branch, referees, receivers, jurors, and
notaries public, except referees and adjusters employed by the Department of Labor and
Industry;

(13) members of the State Patrol; provided that selection and appointment of State Patrol
troopers must be made in accordance with applicable laws governing the classified service;

(14) examination monitors and intermittent training instructors employed by the
Departments of Management and Budget and Commerce and by professional examining
boards and intermittent staff employed by the technical colleges for the administration of
practical skills tests and for the staging of instructional demonstrations;

(15) student workers;

(16) executive directors or executive secretaries appointed by and reporting to any
policy-making board or commission established by statute;

(17) employees unclassified pursuant to other statutory authority;

(18) intermittent help employed by the commissioner of agriculture to perform duties
relating to pesticides, fertilizer, and seed regulation;

(19) the administrators and the deputy administrators at the State Academies for the
Deaf and the Blind; and

(20) new text begin the new text end chief executive deleted text begin officers in the Department of Human Servicesdeleted text end new text begin officer of Direct
Care and Treatment
new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 11.

Minnesota Statutes 2023 Supplement, section 43A.08, subdivision 1a, is amended
to read:


Subd. 1a.

Additional unclassified positions.

Appointing authorities for the following
agencies may designate additional unclassified positions according to this subdivision: the
Departments of Administration; Agriculture; Children, Youth, and Families; Commerce;
Corrections; deleted text begin Direct Care and Treatment;deleted text end Education; Employment and Economic
Development; Explore Minnesota Tourism; Management and Budget; Health; Human
Rights; Human Services; Labor and Industry; Natural Resources; Public Safety; Revenue;
Transportation; and Veterans Affairs; the Housing Finance and Pollution Control Agencies;
the State Lottery; the State Board of Investment; the Office of Administrative Hearings; the
Department of Information Technology Services; the Offices of the Attorney General,
Secretary of State, and State Auditor; the Minnesota State Colleges and Universities; the
Minnesota Office of Higher Education; the Perpich Center for Arts Education; new text begin Direct Care
and Treatment;
new text end and the Minnesota Zoological Board.

A position designated by an appointing authority according to this subdivision must
meet the following standards and criteria:

(1) the designation of the position would not be contrary to other law relating specifically
to that agency;

(2) the person occupying the position would report directly to the agency head or deputy
agency head and would be designated as part of the agency head's management team;

(3) the duties of the position would involve significant discretion and substantial
involvement in the development, interpretation, and implementation of agency policy;

(4) the duties of the position would not require primarily personnel, accounting, or other
technical expertise where continuity in the position would be important;

(5) there would be a need for the person occupying the position to be accountable to,
loyal to, and compatible with, the governor and the agency head, the employing statutory
board or commission, or the employing constitutional officer;

(6) the position would be at the level of division or bureau director or assistant to the
agency head; and

(7) the commissioner has approved the designation as being consistent with the standards
and criteria in this subdivision.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 12.

Minnesota Statutes 2022, section 145.61, subdivision 5, is amended to read:


Subd. 5.

Review organization.

"Review organization" means a nonprofit organization
acting according to clause (l), a committee as defined under section 144E.32, subdivision
2
, or a committee whose membership is limited to professionals, administrative staff, and
consumer directors, except where otherwise provided for by state or federal law, and which
is established by one or more of the following: a hospital, a clinic, a nursing home, an
ambulance service or first responder service regulated under chapter 144E, one or more
state or local associations of professionals, an organization of professionals from a particular
area or medical institution, a health maintenance organization as defined in chapter 62D, a
community integrated service network as defined in chapter 62N, a nonprofit health service
plan corporation as defined in chapter 62C, a preferred provider organization, a professional
standards review organization established pursuant to United States Code, title 42, section
1320c-1 et seq., a medical review agent established to meet the requirements of section
256B.04, subdivision 15, the Department of Human Services, new text begin Direct Care and Treatment,
new text end or a nonprofit corporation that owns, operates, or is established by one or more of the above
referenced entities, to gather and review information relating to the care and treatment of
patients for the purposes of:

(a) evaluating and improving the quality of health care;

(b) reducing morbidity or mortality;

(c) obtaining and disseminating statistics and information relative to the treatment and
prevention of diseases, illness and injuries;

(d) developing and publishing guidelines showing the norms of health care in the area
or medical institution or in the entity or organization that established the review organization;

(e) developing and publishing guidelines designed to keep within reasonable bounds the
cost of health care;

(f) developing and publishing guidelines designed to improve the safety of care provided
to individuals;

(g) reviewing the safety, quality, or cost of health care services provided to enrollees of
health maintenance organizations, community integrated service networks, health service
plans, preferred provider organizations, and insurance companies;

(h) acting as a professional standards review organization pursuant to United States
Code, title 42, section 1320c-1 et seq.;

(i) determining whether a professional shall be granted staff privileges in a medical
institution, membership in a state or local association of professionals, or participating status
in a nonprofit health service plan corporation, health maintenance organization, community
integrated service network, preferred provider organization, or insurance company, or
whether a professional's staff privileges, membership, or participation status should be
limited, suspended or revoked;

(j) reviewing, ruling on, or advising on controversies, disputes or questions between:

(1) health insurance carriers, nonprofit health service plan corporations, health
maintenance organizations, community integrated service networks, self-insurers and their
insureds, subscribers, enrollees, or other covered persons;

(2) professional licensing boards and health providers licensed by them;

(3) professionals and their patients concerning diagnosis, treatment or care, or the charges
or fees therefor;

(4) professionals and health insurance carriers, nonprofit health service plan corporations,
health maintenance organizations, community integrated service networks, or self-insurers
concerning a charge or fee for health care services provided to an insured, subscriber,
enrollee, or other covered person;

(5) professionals or their patients and the federal, state, or local government, or agencies
thereof;

(k) providing underwriting assistance in connection with professional liability insurance
coverage applied for or obtained by dentists, or providing assistance to underwriters in
evaluating claims against dentists;

(l) acting as a medical review agent under section 256B.04, subdivision 15;

(m) providing recommendations on the medical necessity of a health service, or the
relevant prevailing community standard for a health service;

(n) providing quality assurance as required by United States Code, title 42, sections
1396r(b)(1)(b) and 1395i-3(b)(1)(b) of the Social Security Act;

(o) providing information to group purchasers of health care services when that
information was originally generated within the review organization for a purpose specified
by this subdivision;

(p) providing information to other, affiliated or nonaffiliated review organizations, when
that information was originally generated within the review organization for a purpose
specified by this subdivision, and as long as that information will further the purposes of a
review organization as specified by this subdivision; or

(q) participating in a standardized incident reporting system, including Internet-based
applications, to share information for the purpose of identifying and analyzing trends in
medical error and iatrogenic injury.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 13.

Minnesota Statutes 2022, section 246.018, subdivision 3, is amended to read:


Subd. 3.

Duties.

The medical director shall:

(1) oversee the clinical provision of inpatient mental health services provided in the
state's regional treatment centers;

(2) recruit and retain psychiatrists to serve on the state medical staff established in
subdivision 4;

(3) consult with the deleted text begin commissioner of human servicesdeleted text end new text begin Direct Care and Treatment executive
board, the chief executive officer
new text end , new text begin and new text end community mental health center directorsdeleted text begin , and the
state-operated services governing body
deleted text end to develop standards for treatment and care of
patients in state-operated service programs;

(4) develop and oversee a continuing education program for members of the medical
staff; and

(5) participate and cooperate in the development and maintenance of a quality assurance
program for state-operated services that assures that residents receive quality inpatient care
and continuous quality care once they are discharged or transferred to an outpatient setting.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 14.

Minnesota Statutes 2022, section 246.13, subdivision 2, is amended to read:


Subd. 2.

Definitions; risk assessment and management.

(a) As used in this section:

(1) "appropriate and necessary medical and other records" includes patient medical
records and other protected health information as defined by Code of Federal Regulations,
title 45, section 164.501, relating to a patient in a state-operated services facility including,
but not limited to, the patient's treatment plan and abuse prevention plan that is pertinent to
the patient's ongoing care, treatment, or placement in a community-based treatment facility
or a health care facility that is not operated by state-operated services, and includes
information describing the level of risk posed by a patient when the patient enters the facility;

(2) "community-based treatment" means the community support services listed in section
253B.02, subdivision 4b;

(3) "criminal history data" means those data maintained or used by the Departments of
Corrections and Public Safety and by the supervisory authorities listed in section 13.84,
subdivision 1
, that relate to an individual's criminal history or propensity for violence,
including data in the Corrections Offender Management System (COMS) and Statewide
Supervision System (S3) maintained by the Department of Corrections; and criminal history
data as defined in section 13.87, Integrated Search Service as defined in section 13.873,
and the Predatory Offender Registration (POR) system maintained by the Department of
Public Safety;

(4) "designated agency" means the agency defined in section 253B.02, subdivision 5;

(5) "law enforcement agency" means the law enforcement agency having primary
jurisdiction over the location where the offender expects to reside upon release;

(6) "predatory offender" and "offender" mean a person who is required to register as a
predatory offender under section 243.166; and

(7) "treatment facility" means a facility as defined in section 253B.02, subdivision 19.

(b) To promote public safety and for the purposes and subject to the requirements of
this paragraph, the deleted text begin commissionerdeleted text end new text begin executive boardnew text end or the deleted text begin commissioner'sdeleted text end designeenew text begin of the
executive board
new text end shall have access to, and may review and disclose, medical and criminal
history data as provided by this section, as necessary to comply with Minnesota Rules, part
1205.0400:

(1) to determine whether a patient is required under state law to register as a predatory
offender according to section 243.166;

(2) to facilitate and expedite the responsibilities of the special review board and
end-of-confinement review committees by corrections institutions and state treatment
facilities;

(3) to prepare, amend, or revise the abuse prevention plans required under section
626.557, subdivision 14, and individual patient treatment plans required under section
253B.03, subdivision 7;

(4) to facilitate the custody, supervision, and transport of individuals transferred between
the Department of Corrections and deleted text begin the Department of Human Servicesdeleted text end new text begin Direct Care and
Treatment
new text end ; or

(5) to effectively monitor and supervise individuals who are under the authority of the
Department of Corrections, deleted text begin the Department of Human Servicesdeleted text end new text begin Direct Care and Treatmentnew text end ,
and the supervisory authorities listed in section 13.84, subdivision 1.

(c) The state-operated services treatment facility must make a good faith effort to obtain
written authorization from the patient before releasing information from the patient's medical
record.

(d) If the patient refuses or is unable to give informed consent to authorize the release
of information required above, the chief executive officer deleted text begin for state-operated servicesdeleted text end shall
provide the appropriate and necessary medical and other records. The chief executive officer
shall comply with the minimum necessary requirements.

(e) The deleted text begin commissionerdeleted text end new text begin executive boardnew text end may have access to the National Crime Information
Center (NCIC) database, through the Department of Public Safety, in support of the law
enforcement functions described in paragraph (b).

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 15.

Minnesota Statutes 2023 Supplement, section 246C.01, is amended to read:


246C.01 TITLE.

This chapter may be cited as the "deleted text begin Department ofdeleted text end Direct Care and Treatment Act."

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 16.

new text begin [246C.015] DEFINITIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Scope. new text end

new text begin For the purposes of this chapter, the following terms have the
meanings given.
new text end

new text begin Subd. 2. new text end

new text begin Board or executive board. new text end

new text begin "Board" or "executive board" means the Direct
Care and Treatment executive board established under section 246C.06.
new text end

new text begin Subd. 3. new text end

new text begin Chief executive officer. new text end

new text begin "Chief executive officer" means the Direct Care and
Treatment chief executive officer appointed according to section 246C.08.
new text end

new text begin Subd. 4. new text end

new text begin Community preparation services. new text end

new text begin "Community preparation services" means
specialized inpatient or outpatient services operated outside of a secure environment but
administered by a secure treatment facility.
new text end

new text begin Subd. 5. new text end

new text begin Direct Care and Treatment. new text end

new text begin "Direct Care and Treatment" means the agency
of Direct Care and Treatment established under this chapter.
new text end

new text begin Subd. 6. new text end

new text begin Secure treatment facility. new text end

new text begin "Secure treatment facility" means a facility as
defined in section 253B.02, subdivision 18a; or 253D.02, subdivision 13.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 17.

Minnesota Statutes 2023 Supplement, section 246C.02, is amended to read:


246C.02 deleted text begin DEPARTMENT OFdeleted text end DIRECT CARE AND TREATMENT;
ESTABLISHMENT.

deleted text begin (a) The Department ofdeleted text end Direct Care and Treatment is createddeleted text begin .deleted text end new text begin as an agency headed bynew text end an
executive board deleted text begin shall head the Department of Direct Care and Treatment. The executive
board shall develop and maintain direct care and treatment in a manner consistent with
applicable law, including chapters
deleted text end deleted text begin 13deleted text end deleted text begin , deleted text end deleted text begin 245deleted text end deleted text begin , deleted text end deleted text begin 246deleted text end deleted text begin , deleted text end deleted text begin 246Bdeleted text end deleted text begin , deleted text end deleted text begin 252deleted text end deleted text begin , deleted text end deleted text begin 253deleted text end deleted text begin , deleted text end deleted text begin 253Bdeleted text end deleted text begin , deleted text end deleted text begin 253Cdeleted text end deleted text begin , deleted text end deleted text begin 253Ddeleted text end deleted text begin , deleted text end deleted text begin 254Adeleted text end deleted text begin ,
deleted text end deleted text begin 254Bdeleted text end deleted text begin , and deleted text end deleted text begin 256deleted text end deleted text begin . The Department ofdeleted text end new text begin .new text end Direct Care and Treatment shall provide direct care and
treatment services deleted text begin in coordination with counties and other vendors. Direct care and treatment
services shall
deleted text end new text begin thatnew text end include specialized inpatient programs at secure treatment facilities deleted text begin as
defined in sections 253B.02, subdivision 18a, and 253D.02, subdivision 13
deleted text end ; community
preparation services; regional treatment centers; enterprise services; consultative services;
aftercare services; community-based services and programs; transition services; nursing
home services; and other services consistent with deleted text begin the mission of the Department of Direct
Care and Treatment
deleted text end new text begin state law, including this chapter and chapters 245, 246, 246B, 252, 253,
253B, 253C, 253D, 254A, 254B, and 256. Direct Care and Treatment shall provide direct
care and treatment services in coordination with counties and other vendors
new text end .

deleted text begin (b) "Community preparation services" means specialized inpatient or outpatient services
or programs operated outside of a secure environment but administered by a secure treatment
facility.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 18.

Minnesota Statutes 2023 Supplement, section 246C.04, is amended to read:


246C.04 TRANSFER OF DUTIES.

(a) Section 15.039 applies to the transfer of deleted text begin dutiesdeleted text end new text begin responsibilities from the Department
of Human Services to Direct Care and Treatment
new text end required by this chapter.

(b) The commissioner of administration, with the governor's approval, shall issue
reorganization orders under section 16B.37 as necessary to carry out the transfer of duties
required by deleted text begin section 246C.03deleted text end new text begin this chapternew text end . The provision of section 16B.37, subdivision 1,
stating that transfers under section 16B.37 may only be to an agency that has existed for at
least one year does not apply to transfers to an agency created by this chapter.

deleted text begin (c) The initial salary for the health systems chief executive officer of the Department of
Direct Care and Treatment is the same as the salary for the health systems chief executive
officer of direct care and treatment at the Department of Human Services immediately before
July 1, 2024.
deleted text end

new text begin (c) The commissioner of human services shall continue to exercise all authorities and
responsibilities under this chapter and chapters 13, 245, 246, 246B, 252, 253, 253B, 253C,
253D, 254A, 254B, and 256, with reference to any state-operated service, program, or
facility subject to transfer under this act until July 1, 2025. Effective July 1, 2025, the powers
and duties vested in or imposed upon the commissioner of human services with reference
to any state operated service, program, or facility are transferred to, vested in, and imposed
upon the executive board according to this chapter and applicable state law. Effective July
1, 2025, the executive board has the exclusive power of administration and management of
all state hospitals for persons with a developmental disability, mental illness, or substance
use disorder. Effective July 1, 2025, the executive board has the power and authority to
determine all matters relating to the development of all foregoing institutions and other
institutions vested in the executive board. Effective July 1, 2025, the powers, functions, and
authority vested in the commissioner of human services relative to such state institutions
are transferred to the executive board according to this chapter and applicable state law.
new text end

new text begin (d) The commissioner of human services shall continue to exercise all authority and
responsibility for and retain custody of persons subject to civil commitment under chapter
253B or 253D until July 1, 2025. Effective July 1, 2025, custody of persons subject to civil
commitment under chapter 253B or 253D and in the custody of the commissioner of human
services as of that date is hereby transferred to the executive board without further act or
proceeding. Authority and responsibility for the commitment of such persons is transferred
to the executive board on July 1, 2025.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 19.

Minnesota Statutes 2023 Supplement, section 246C.05, is amended to read:


246C.05 EMPLOYEE PROTECTIONS FOR ESTABLISHING deleted text begin THE NEW
DEPARTMENT OF
deleted text end DIRECT CARE AND TREATMENT.

(a) Personnel whose duties relate to the functions assigned to the deleted text begin Department ofdeleted text end Direct
Care and Treatment executive board in deleted text begin section 246C.03deleted text end new text begin this chapternew text end are transferred to deleted text begin the
Department of
deleted text end Direct Care and Treatment effective 30 days after approval by the
commissioner of deleted text begin direct care and treatmentdeleted text end new text begin management and budgetnew text end .

(b) Before the deleted text begin Department ofdeleted text end Direct Care and Treatment executive board is appointed,
personnel whose duties relate to the functions in this deleted text begin sectiondeleted text end new text begin chapternew text end may be transferred
beginning July 1, 2024, with 30 days' notice from the commissioner of management and
budget.

(c) The following protections shall apply to employees who are transferred from the
Department of Human Services to deleted text begin the Department ofdeleted text end Direct Care and Treatment:

(1) No transferred employee shall have their employment status and job classification
altered as a result of the transfer.

(2) Transferred employees who were represented by an exclusive representative prior
to the transfer shall continue to be represented by the same exclusive representative after
the transfer.

(3) The applicable collective bargaining agreements with exclusive representatives shall
continue in full force and effect for such transferred employees after the transfer.

(4) The state shall have the obligation to meet and negotiate with the exclusive
representatives of the transferred employees about any proposed changes affecting or relating
to the transferred employees' terms and conditions of employment to the extent such changes
are not addressed in the applicable collective bargaining agreement.

(5) When an employee in a temporary unclassified position is transferred to deleted text begin the
Department of
deleted text end Direct Care and Treatment, the total length of time that the employee has
served in the appointment shall include all time served in the appointment at the transferring
agency and the time served in the appointment at deleted text begin the Department ofdeleted text end Direct Care and
Treatment. An employee in a temporary unclassified position who was hired by a transferring
agency through an open competitive selection process in accordance with a policy enacted
by Minnesota Management and Budget shall be considered to have been hired through such
process after the transfer.

(6) In the event that the state transfers ownership or control of any of the facilities,
services, or operations of deleted text begin the Department ofdeleted text end Direct Care and Treatment to another entity,
whether private or public, by subcontracting, sale, assignment, lease, or other transfer, the
state shall require as a written condition of such transfer of ownership or control the following
provisions:

(i) Employees who perform work in transferred facilities, services, or operations must
be offered employment with the entity acquiring ownership or control before the entity
offers employment to any individual who was not employed by the transferring agency at
the time of the transfer.

(ii) The wage and benefit standards of such transferred employees must not be reduced
by the entity acquiring ownership or control through the expiration of the collective
bargaining agreement in effect at the time of the transfer or for a period of two years after
the transfer, whichever is longer.

(d) There is no liability on the part of, and no cause of action arises against, the state of
Minnesota or its officers or agents for any action or inaction of any entity acquiring ownership
or control of any facilities, services, or operations of deleted text begin the Department ofdeleted text end Direct Care and
Treatment.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 20.

new text begin [246C.06] EXECUTIVE BOARD; MEMBERSHIP; GOVERNANCE.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment. new text end

new text begin The Direct Care and Treatment executive board is
established.
new text end

new text begin Subd. 2. new text end

new text begin Membership. new text end

new text begin (a) The Direct Care and Treatment executive board consists of
nine members with seven voting members and two nonvoting members. The seven voting
members must include six members appointed by the governor with the advice and consent
of the senate in accordance with paragraph (b) and the commissioner of human services or
a designee. The two nonvoting members must be appointed in accordance with paragraph
(c). Section 15.0597 applies to all executive board appointments except for the commissioner
of human services.
new text end

new text begin (b) The executive board voting members appointed by the governor must meet the
following qualifications:
new text end

new text begin (1) one member must be a licensed physician who is a psychiatrist or has experience in
serving behavioral health patients;
new text end

new text begin (2) two members must have experience serving on a hospital or nonprofit board; and
new text end

new text begin (3) three members must have experience working: (i) as a public labor union
representative; (ii) in the delivery of behavioral health services or care coordination or in
traditional healing practices; (iii) as a licensed health care professional; (iv) within health
care administration; or (v) with residential services.
new text end

new text begin (c) The executive board nonvoting members must be appointed as follows:
new text end

new text begin (1) one member appointed by the Association of Counties; and
new text end

new text begin (2) one member who has an active role as a union representative representing staff at
Direct Care and Treatment appointed by joint representatives of the following unions:
American Federation of State and Municipal Employees (AFSCME); Minnesota Association
of Professional Employees (MAPE); Minnesota Nurses Association (MNA); Middle
Management Association (MMA); and State Residential Schools Education Association
(SRSEA).
new text end

new text begin (d) Membership on the board must include representation from outside the seven-county
metropolitan area, as defined in section 473.121, subdivision 2.
new text end

new text begin (e) A voting member of the executive board must not be or must not have been within
one year prior to appointment: (1) an employee of Direct Care and Treatment; (2) an
employee of a county, including a county commissioner; (3) an active employee or
representative of a labor union that represents employees of Direct Care and Treatment; or
(4) a member of the state legislature. This paragraph does not apply to the nonvoting members
or the commissioner of human services or designee.
new text end

new text begin Subd. 3. new text end

new text begin Procedures. new text end

new text begin Except as otherwise provided for in this section, the membership
terms, compensation, and removal and filling of vacancies for the executive board are
governed by section 15.0575.
new text end

new text begin Subd. 4. new text end

new text begin Compensation. new text end

new text begin (a) Notwithstanding section 15.0575, subdivision 3, paragraph
(a), the nonvoting members of the executive board must not receive daily compensation for
executive board activities. Nonvoting members of the executive board may receive expenses
in the same manner and amount as authorized by the commissioner's plan adopted under
section 43A.18, subdivision 2. Nonvoting members who, as a result of time spent attending
board meetings, incur child care expenses that would not otherwise have been incurred may
be reimbursed for those expenses upon board authorization.
new text end

new text begin (b) Notwithstanding section 15.0575, subdivision 3, paragraph (a), the Compensation
Council under section 15A.082 must determine the compensation for voting members of
the executive board per day spent on executive board activities authorized by the executive
board. Voting members of the executive board may also receive the expenses in the same
manner and amount as authorized by the commissioner's plan adopted under section 43A.18,
subdivision 2. Voting members who, as a result of time spent attending board meetings,
incur child care expenses that would not otherwise have been incurred may be reimbursed
for those expenses upon board authorization.
new text end

new text begin (c) The commissioner of management and budget must publish the daily compensation
rate for voting members of the executive board determined under paragraph (b) on the
Department of Management and Budget's website.
new text end

new text begin (d) Voting members of the executive board must adopt internal standards prescribing
what constitutes a day spent on board activities for the purposes of making payments
authorized under paragraph (b).
new text end

new text begin (e) All other requirements under section 15.0575, subdivision 3, apply to the
compensation of executive board members.
new text end

new text begin Subd. 5. new text end

new text begin Acting chair; officers. new text end

new text begin (a) The governor shall designate one member from the
voting membership appointed by the governor as acting chair of the executive board.
new text end

new text begin (b) At the first meeting of the executive board, the executive board must elect a chair
from among the voting membership appointed by the governor.
new text end

new text begin (c) The executive board must annually elect a chair from among the voting membership
appointed by the governor.
new text end

new text begin (d) The executive board must elect officers from among the voting membership appointed
by the governor. The elected officers shall serve for one year.
new text end

new text begin Subd. 6. new text end

new text begin Terms. new text end

new text begin (a) Except for the commissioner of human services, executive board
members must not serve more than two consecutive terms unless service beyond two
consecutive terms is approved by the majority of voting members. The commissioner or
designee shall serve until replaced by the governor.
new text end

new text begin (b) An executive board member may resign at any time by giving written notice to the
executive board.
new text end

new text begin (c) The initial term of the member appointed under subdivision 2, paragraph (b), clause
(1), is two years. The initial term of the members appointed under subdivision 2, paragraph
(b), clause (2), is three years. The initial term of the members appointed under subdivision
2, paragraph (b), clause (3), and the members appointed under subdivision 2, paragraph (c),
is four years.
new text end

new text begin (d) After the initial term, the term length of all appointed executive board members is
four years.
new text end

new text begin Subd. 7. new text end

new text begin Conflicts of interest. new text end

new text begin Executive board members must recuse themselves from
discussion of and voting on an official matter if the executive board member has a conflict
of interest. A conflict of interest means an association, including a financial or personal
association, that has the potential to bias or have the appearance of biasing an executive
board member's decision in matters related to Direct Care and Treatment or the conduct of
activities under this chapter.
new text end

new text begin Subd. 8. new text end

new text begin Meetings. new text end

new text begin The executive board must meet at least four times per fiscal year at
a place and time determined by the executive board.
new text end

new text begin Subd. 9. new text end

new text begin Quorum. new text end

new text begin A majority of the voting members of the executive board constitutes
a quorum. The affirmative vote of a majority of the voting members of the executive board
is necessary and sufficient for action taken by the executive board.
new text end

new text begin Subd. 10. new text end

new text begin Immunity; indemnification. new text end

new text begin (a) Members of the executive board are immune
from civil liability for any act or omission occurring within the scope of the performance
of their duties under this chapter.
new text end

new text begin (b) When performing executive board duties or actions, members of the executive board
are employees of the state for purposes of indemnification under section 3.736, subdivision
9.
new text end

new text begin Subd. 11. new text end

new text begin Rulemaking. new text end

new text begin (a) The executive board is authorized to adopt, amend, and
repeal rules in accordance with chapter 14 under the executive board's authority to implement
this chapter or any responsibilities of Direct Care and Treatment specified in state law.
new text end

new text begin (b) Until July 1, 2030, the executive board may adopt rules using the expedited
rulemaking process in section 14.389.
new text end

new text begin (c) All orders, rules, delegations, permits, and other privileges issued or granted by the
Department of Human Services with respect to any function of Direct Care and Treatment
and in effect at the time of the establishment of Direct Care and Treatment shall continue
in effect as if such establishment had not occurred. The executive board may amend or
repeal rules applicable to Direct Care and Treatment that were established by the Department
of Human Services in accordance with chapter 14.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 21.

new text begin [246C.07] POWERS AND DUTIES OF EXECUTIVE BOARD.
new text end

new text begin Subdivision 1. new text end

new text begin Generally. new text end

new text begin (a) The executive board must operate the agency according
to this chapter and applicable state and federal law. The overall management and control
of the agency is vested in the executive board in accordance with this chapter.
new text end

new text begin (b) The executive board must appoint a chief executive officer according to section
246C.08. The chief executive officer is responsible for the administrative and operational
duties of Direct Care and Treatment in accordance with this chapter.
new text end

new text begin (c) The executive board may delegate duties imposed by this chapter and under applicable
state and federal law as deemed appropriate by the board and in accordance with this chapter.
Any delegation of a specified statutory duty or power to an employee of Direct Care and
Treatment other than the chief executive officer must be made by written order and filed
with the secretary of state. Only the chief executive officer shall have the powers and duties
of the executive board as specified in section 246C.08.
new text end

new text begin Subd. 2. new text end

new text begin Principles. new text end

new text begin The executive board, in undertaking its duties and responsibilities
and within Direct Care and Treatment resources, shall act according to the following
principles:
new text end

new text begin (1) prevent the waste or unnecessary spending of public money;
new text end

new text begin (2) use innovative fiscal and human resource practices to manage the state's resources
and operate the agency as efficiently as possible;
new text end

new text begin (3) coordinate Direct Care and Treatment activities wherever appropriate with the
activities of other governmental agencies;
new text end

new text begin (4) use technology where appropriate to increase agency productivity, improve customer
service, increase public access to information about government, and increase public
participation in the business of government; and
new text end

new text begin (5) utilize constructive and cooperative labor management practices to the extent
otherwise required by chapter 43A or 179A.
new text end

new text begin Subd. 3. new text end

new text begin Powers and duties. new text end

new text begin (a) The executive board has the power and duty to:
new text end

new text begin (1) set the overall strategic direction for Direct Care and Treatment, ensuring that Direct
Care and Treatment delivers exceptional care and supports the well-being of all individuals
served by Direct Care and Treatment;
new text end

new text begin (2) establish policies and procedures to govern the operation of the facilities, programs,
and services under the direct authority of Direct Care and Treatment;
new text end

new text begin (3) employ personnel and delegate duties and responsibilities to personnel as deemed
appropriate by the executive board, subject to chapters 43A and 179A and in accordance
with this chapter;
new text end

new text begin (4) review and approve the operating budget proposal for Direct Care and Treatment;
new text end

new text begin (5) accept and use gifts, grants, or contributions from any nonstate source or refuse to
accept any gift, grant, or contribution if acceptance would not be in the best interest of the
state;
new text end

new text begin (6) deposit all money received as gifts, grants, or contributions pursuant to section
246C.09, subdivision 1;
new text end

new text begin (7) enter into information-sharing agreements with federal and state agencies and other
entities, provided the agreements include adequate protections with respect to the
confidentiality and integrity of the information to be shared and comply with all applicable
state and federal laws, regulations, and rules;
new text end

new text begin (8) enter into interagency or service level agreements with a state department listed in
section 15.01; a multimember state agency described in section 15.012, paragraph (a); or
the Department of Information Technology Services;
new text end

new text begin (9) enter into contractual agreements with federally recognized Indian Tribes with a
reservation in Minnesota;
new text end

new text begin (10) enter into contracts with public and private agencies, private and nonprofit
organizations, and individuals, using appropriated funds;
new text end

new text begin (11) establish and maintain any administrative units reasonably necessary for the
performance of administrative functions common to all programs or divisions of Direct
Care and Treatment;
new text end

new text begin (12) authorize the method of payment to or from Direct Care and Treatment as part of
programs administered by Direct Care and Treatment, including authorization of the receipt
or disbursement of funds held by Direct Care and Treatment in a fiduciary capacity as part
of the programs administered by Direct Care and Treatment;
new text end

new text begin (13) inform Tribal Nations and county agencies, on a timely basis, of changes in statute,
rule, federal law, regulation, and policy necessary to Tribal or county agency administration
of Direct Care and Treatment programs and services;
new text end

new text begin (14) report to the legislature on the performance of Direct Care and Treatment operations
and the accomplishment of Direct Care and Treatment goals in its biennial budget in
accordance with section 16A.10, subdivision 1;
new text end

new text begin (15) recommend to the legislature appropriate changes in law necessary to carry out the
principles and improve the performance of Direct Care and Treatment; and
new text end

new text begin (16) exercise all powers reasonably necessary to implement and administer the
requirements of this chapter and applicable state and federal law.
new text end

new text begin (b) The specific enumeration of powers and duties as set forth in this section shall not
be construed as a limitation upon the general transfer of Direct Care and Treatment facilities,
programs, and services from the Department of Human Services to Direct Care and Treatment
under this chapter.
new text end

new text begin Subd. 4. new text end

new text begin Creation of bylaws. new text end

new text begin The board may establish bylaws governing its operations
and the operations of Direct Care and Treatment in accordance with this chapter.
new text end

new text begin Subd. 5. new text end

new text begin Reciprocal exchange of certain persons. new text end

new text begin The executive board is authorized
and empowered with the approval of the governor to enter into reciprocal agreements with
another state or states regarding the mutual exchange, return, and transportation of persons
with a mental illness or a developmental disability who are within the confines of one state
but have legal residence or legal settlement for the purposes of relief in another state. Any
agreement entered into under this subdivision must not contain any provision that conflicts
with any state law.
new text end

new text begin Subd. 6. new text end

new text begin Acceptance of voluntary, uncompensated services. new text end

new text begin For the purpose of carrying
out a duty, the executive board may accept uncompensated and voluntary services and may
enter into contracts or agreements with private or public agencies, organizations, or persons,
for uncompensated and voluntary services, as the executive board may deem practicable.
Uncompensated and voluntary services do not include services mandated by licensure or
certification requirements for health care facilities. The volunteer agencies, organizations,
or persons who provide services to residents of state facilities operated under the authority
of Direct Care and Treatment are not subject to the procurement requirements of chapter
16A or 16C.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 22.

new text begin [246C.08] CHIEF EXECUTIVE OFFICER; SERVICE; DUTIES.
new text end

new text begin Subdivision 1. new text end

new text begin Service. new text end

new text begin (a) The Direct Care and Treatment chief executive officer is
appointed by the executive board and serves at the pleasure of the executive board.
new text end

new text begin (b) The chief executive officer shall serve in the unclassified service in accordance with
section 43A.08 and shall be governed by a compensation plan prepared by the executive
board, submitted to the commissioner of management and budget for review and comment,
and approved by the Legislative Coordinating Commission and the legislature in accordance
with section 3.855.
new text end

new text begin Subd. 2. new text end

new text begin Powers and duties. new text end

new text begin (a) The chief executive officer's primary duty is to assist
the executive board. The chief executive officer is responsible for the administrative and
operational management of the agency.
new text end

new text begin (b) The chief executive officer shall have all the powers of the executive board unless
the executive board directs otherwise. The chief executive officer shall have the authority
to speak for the executive board and Direct Care and Treatment within and outside the
agency.
new text end

new text begin (c) In the event that a vacancy occurs for any reason within the chief executive officer
position, the chief medical officer appointed under section 246.018 shall immediately become
the temporary chief executive officer until the executive board appoints a new chief executive
officer. During this period, the chief medical officer shall have all the powers and authority
delegated to the chief executive officer by the board and specified in this chapter.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 23.

new text begin [246C.09] DIRECT CARE AND TREATMENT ACCOUNTS.
new text end

new text begin Subdivision 1. new text end

new text begin Gifts, grants, and contributions account. new text end

new text begin (a) A gifts, grants, and
contributions account is created in the special revenue fund in the state treasury. All money
received by the executive board as a gift, grant, or contribution must be deposited in the
gifts, grants, and contributions account. Beginning July 1, 2025, except as provided in
paragraph (b), money in the account is annually appropriated to the Direct Care and
Treatment executive board to accomplish the purposes of this chapter. Gifts, grants, or
contributions received by the executive board exceeding current agency needs must be
invested by the State Board of Investment in accordance with section 11A.24. Disbursements
from the gifts, grants, and contributions account must be made in the manner provided for
the issuance of other state payments.
new text end

new text begin (b) If the gift or contribution is designated for a certain person, institution, or purpose,
the Direct Care and Treatment executive board must use the gift or contribution as specified
in accordance with the conditions of the gift or contribution if compatible with the best
interests of the person and the state. If a gift or contribution is accepted for the use and
benefit of a person with a developmental disability, including those within a state hospital,
research relating to persons with a developmental disability must be considered an appropriate
use of the gift or contribution. Such money must not be used for any structures or installations
which by their nature would require state expenditures for their operation or maintenance
without specific legislative enactment.
new text end

new text begin Subd. 2. new text end

new text begin Facilities management account. new text end

new text begin A facilities management account is created
in the special revenue fund of the state treasury. Beginning July 1, 2025, money in the
account is appropriated to the Direct Care and Treatment executive board and may be used
to maintain buildings, acquire facilities, renovate existing buildings, or acquire land for the
design and construction of buildings for Direct Care and Treatment use. Money received
for maintaining state property under control of the executive board may be deposited into
this account.
new text end

new text begin Subd. 3. new text end

new text begin Direct Care and Treatment systems account. new text end

new text begin (a) The Direct Care and
Treatment systems account is created in the special revenue fund of the state treasury.
Beginning July 1, 2025, money in the account is appropriated to the Direct Care and
Treatment executive board and may be used for security systems and information technology
projects, services, and support under the control of the executive board.
new text end

new text begin (b) The commissioner of human services shall transfer all money allocated to the Direct
Care and Treatment systems projects under section 256.014 to the Direct Care and Treatment
systems account by June 30, 2026.
new text end

new text begin Subd. 4. new text end

new text begin Cemetery maintenance account. new text end

new text begin The cemetery maintenance account is created
in the special revenue fund of the state treasury. Money in the account is appropriated to
the executive board for the maintenance of cemeteries under control of the executive board.
Money allocated to Direct Care and Treatment cemeteries may be transferred to this account.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 24.

Minnesota Statutes 2022, section 256.88, is amended to read:


256.88 SOCIAL WELFARE FUND ESTABLISHED.

Except as otherwise expressly provided, all moneys and funds held by the commissioner
of human servicesnew text begin , the Direct Care and Treatment executive board,new text end and the local social
services agencies of the several counties in trust or for the benefit of children with a disability
and children who are dependent, neglected, or delinquent, children born to mothers who
were not married to the children's fathers at the times of the conception nor at the births of
the children, persons determined to have developmental disability, mental illness, or substance
use disorder, or other wards or beneficiaries, under any law, shall be kept in a single fund
to be known as the "social welfare fund" which shall be deposited at interest, held, or
disbursed as provided in sections 256.89 to 256.92.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 25.

Minnesota Statutes 2022, section 256.89, is amended to read:


256.89 FUND DEPOSITED IN STATE TREASURY.

The social welfare fund and all accretions thereto shall be deposited in the state treasury,
as a separate and distinct fund, to the credit of the commissioner of human servicesnew text begin and the
Direct Care and Treatment executive board
new text end as deleted text begin trusteedeleted text end new text begin trusteesnew text end for deleted text begin thedeleted text end new text begin their respectivenew text end
beneficiaries deleted text begin thereofdeleted text end in proportion to deleted text begin theirdeleted text end new text begin the beneficiaries'new text end several interests. The
commissioner of management and budget shall be responsible only to the commissioner of
human services new text begin and the Direct Care and Treatment executive board new text end for the sum total of the
fund, and shall have no duties nor direct obligations toward the beneficiaries thereof
individually. Subject to the new text begin applicable new text end rules of the commissioner of human services new text begin or the
Direct Care and Treatment executive board,
new text end money so received by a local social services
agency may be deposited by the executive secretary of the local social services agency in
a local bank carrying federal deposit insurance, designated by the local social services
agency for this purpose. The amount of such deposit in each such bank at any one time shall
not exceed the amount protected by federal deposit insurance.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 26.

Minnesota Statutes 2022, section 256.90, is amended to read:


256.90 SOCIAL WELFARE FUND; USE; DISPOSITION; DEPOSITORIES.

The commissioner of human servicesnew text begin , in consultation with the Direct Care and Treatment
executive board,
new text end at least 30 days before the first day of January and the first day of July in
each year shall file with the commissioner of management and budget an estimate of the
amount of the social welfare fund to be held in the treasury during the succeeding six-month
period, subject to current disbursement. Such portion of the remainder thereof as may be at
any time designated by the request of the commissioner of human services may be invested
by the commissioner of management and budget in bonds in which the permanent trust
funds of the state of Minnesota may be invested, upon approval by the State Board of
Investment. The portion of such remainder not so invested shall be placed by the
commissioner of management and budget at interest for the period of six months, or when
directed by the commissioner of human services, for the period of 12 months thereafter at
the highest rate of interest obtainable in a bank, or banks, designated by the board of deposit
as a suitable depository therefor. All the provisions of law relative to the designation and
qualification of depositories of other state funds shall be applicable to sections 256.88 to
256.92, except as herein otherwise provided. Any bond given, or collateral assigned or both,
to secure a deposit hereunder may be continuous in character to provide for the repayment
of any moneys belonging to the fund theretofore or thereafter at any time deposited in such
bank until its designation as such depository is revoked and the security thereof shall be not
impaired by any subsequent agreement or understanding as to the rate of interest to be paid
upon such deposit, or as to time for its repayment. The amount of money belonging to the
fund deposited in any bank, including other state deposits, shall not at any time exceed the
amount of the capital stock thereof. In the event of the closing of the bank any sum deposited
therein shall immediately become due and payable.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 27.

Minnesota Statutes 2022, section 256.91, is amended to read:


256.91 PURPOSES.

From that part of the social welfare fund held in the state treasury subject to disbursement
as provided in section 256.90 the commissioner of human servicesnew text begin or the Direct Care and
Treatment executive board
new text end at any time may pay out such amounts as the commissionernew text begin or
executive board
new text end deems proper for the support, maintenance, or other legal benefit of any of
the children with a disability and children who are dependent, neglected, or delinquent,
children born to mothers who were not married to the children's fathers at the times of the
conception nor at the births of the children, persons with developmental disability, substance
use disorder, or mental illness, or other wards or persons entitled thereto, not exceeding in
the aggregate to or for any person the principal amount previously received for the benefit
of the person, together with the increase in it from an equitable apportionment of interest
realized from the social welfare fund.

When any such person dies or is finally discharged from the guardianship, care, custody,
and control of the commissioner of human servicesnew text begin or the Direct Care and Treatment
executive board
new text end , the amount then remaining subject to use for the benefit of the person shall
be paid as soon as may be from the social welfare fund to the persons thereto entitled by
law.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 28.

Minnesota Statutes 2022, section 256.92, is amended to read:


256.92 COMMISSIONER OF HUMAN SERVICESnew text begin AND DIRECT CARE AND
TREATMENT
new text end , ACCOUNTS.

It shall be the duty of the commissioner of human servicesnew text begin , the Direct Care and Treatment
executive board,
new text end and deleted text begin ofdeleted text end the local social services agencies of the several counties of this state
to cause to be deposited with the commissioner of management and budget all moneys and
funds in their possession or under their control and designated by section 256.91 as and for
the social welfare fund; and all such moneys and funds shall be so deposited in the state
treasury as soon as received. The commissioner of human servicesnew text begin , in consultation with the
Direct Care and Treatment executive board,
new text end shall keep books of account or other records
showing separately the principal amount received and deposited in the social welfare fund
for the benefit of any person, together with the name of such person, and the name and
address, if known to the commissioner of human servicesnew text begin or the Direct Care and Treatment
executive board
new text end , of the person from whom such money was received; and, at least once
every two years, the amount of interest, if any, which the money has earned in the social
welfare fund shall be apportioned thereto and posted in the books of account or records to
the credit of such beneficiary.

The provisions of sections 256.88 to 256.92 shall not apply to any fund or money now
or hereafter deposited or otherwise disposed of pursuant to the lawful orders, decrees,
judgments, or other directions of any district court having jurisdiction thereof.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 29.

Laws 2023, chapter 61, article 8, section 1, the effective date, is amended to read:


EFFECTIVE DATE.

This section is effective deleted text begin Januarydeleted text end new text begin Julynew text end 1, deleted text begin 2025deleted text end new text begin 2024new text end .

Sec. 30.

Laws 2023, chapter 61, article 8, section 2, the effective date, is amended to read:


EFFECTIVE DATE.

This section is effective deleted text begin Januarydeleted text end new text begin Julynew text end 1, deleted text begin 2025deleted text end new text begin 2024new text end .

Sec. 31.

Laws 2023, chapter 61, article 8, section 3, the effective date, is amended to read:


EFFECTIVE DATE.

This section is effective deleted text begin Januarydeleted text end new text begin Julynew text end 1, deleted text begin 2025deleted text end new text begin 2024new text end .

Sec. 32.

Laws 2023, chapter 61, article 8, section 8, the effective date, is amended to read:


EFFECTIVE DATE.

This section is effective deleted text begin Januarydeleted text end new text begin Julynew text end 1, deleted text begin 2025deleted text end new text begin 2024new text end .

Sec. 33. new text begin INITIAL APPOINTMENTS AND COMPENSATION OF THE DIRECT
CARE AND TREATMENT EXECUTIVE BOARD AND CHIEF EXECUTIVE
OFFICER.
new text end

new text begin Subdivision 1. new text end

new text begin Executive board. new text end

new text begin (a) The initial appointments of the members of the
Direct Care and Treatment executive board under Minnesota Statutes, section 246C.06,
must be made by January 1, 2025.
new text end

new text begin (b) Prior to the first Compensation Council determination of the daily compensation rate
for voting members of the executive board under Minnesota Statutes, section 246C.06,
subdivision 4, paragraph (b), voting members of the executive board must be paid the per
diem rate provided for in Minnesota Statutes, section 15.0575, subdivision 3, paragraph (a).
new text end

new text begin (c) The executive board is exempt from Minnesota Statutes, section 13D.01, until the
authority and responsibilities for Direct Care and Treatment are transferred to the executive
board in accordance with Minnesota Statutes, section 246C.04.
new text end

new text begin Subd. 2. new text end

new text begin Chief executive officer. new text end

new text begin (a) The Direct Care and Treatment executive board
must appoint as the initial chief executive officer for Direct Care and Treatment under
Minnesota Statutes, section 246C.07, the chief executive officer of the direct care and
treatment division of the Department of Human Services holding that position at the time
the initial appointment is made by the board. The initial appointment of the chief executive
officer must be made by the executive board by July 1, 2025.
new text end

new text begin (b) Notwithstanding Minnesota Statutes, section 246C.08, the salary of the initial chief
executive officer must not be less than the amount paid to the chief executive officer of the
direct care and treatment division of the Department of Human Services as of the date of
the initial appointment.
new text end

new text begin Subd. 3. new text end

new text begin Commissioner of human services to consult. new text end

new text begin In preparing the budget estimates
required under Minnesota Statutes, section 16A.10, for the direct care and treatment division
for the 2026-2027 biennial budget and any legislative proposals for the 2025 legislative
session that involve direct care and treatment operations, the commissioner of human services
must consult with the Direct Care and Treatment executive board before submitting the
budget estimates or legislative proposals. If the executive board is not appointed by the date
the budget estimates must be submitted to the commissioner of management and budget,
the commissioner of human services must provide the executive board with a summary of
the budget estimates that were submitted.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 34. new text begin REPEALER.
new text end

new text begin (a) new text end new text begin Minnesota Statutes 2023 Supplement, section 246C.03, new text end new text begin is repealed.
new text end

new text begin (b) new text end new text begin Minnesota Statutes 2022, sections 246.01; 246.12; 246.234; 246.36; and 246.41, new text end new text begin are
repealed.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

ARTICLE 5

HUMAN SERVICES CONTINGENCY

Section 1.

new text begin [256.044] HUMAN SERVICES RESPONSE CONTINGENCY ACCOUNT.
new text end

new text begin Subdivision 1. new text end

new text begin Human services response contingency account. new text end

new text begin A human services
response contingency account is created in the special revenue fund in the state treasury.
Money in the human services response contingency account does not cancel and is
appropriated to the commissioner of human services for the purposes specified in this section.
new text end

new text begin Subd. 2. new text end

new text begin Definition. new text end

new text begin For purposes of this section, "human services response" means
activities to respond to emerging or immediate needs related to supporting the health, welfare,
or safety of people.
new text end

new text begin Subd. 3. new text end

new text begin Use of money. new text end

new text begin (a) The commissioner may make expenditures from the human
services response contingency account to respond to needs as defined in subdivision 2 and
for which no other funding or insufficient funding is available.
new text end

new text begin (b) When the commissioner determines that a human services response is needed, the
commissioner may make expenditures from the human services response contingency
account for the following uses attributed to the human services response:
new text end

new text begin (1) services, supplies, and equipment to support the health, welfare, or safety of people;
new text end

new text begin (2) training and coordination with service providers, Tribal Nations, and local government
entities;
new text end

new text begin (3) communication with and outreach to impacted people;
new text end

new text begin (4) informational technology; and
new text end

new text begin (5) staffing.
new text end

new text begin (c) The commissioner may transfer money to the Department of Children, Youth, and
Families for eligible uses under paragraph (b).
new text end

new text begin (d) Money expended out of the human services response contingency account is not
subject to requirements under chapters 16A, 16B, and 16C. Money may be distributed as
direct payments.
new text end

ARTICLE 6

TECHNICAL CORRECTIONS

Section 1.

Minnesota Statutes 2023 Supplement, section 256R.55, subdivision 9, is amended
to read:


Subd. 9.

Carryforward.

Notwithstanding section 16A.28, subdivision 3, any
appropriation for the purposes under this section deleted text begin carries forward and does not lapse until
the close of the fiscal year in which this section expires
deleted text end new text begin is available until June 30, 2029new text end .

Sec. 2.

Laws 2023, chapter 61, article 4, section 11, the effective date, is amended to read:


EFFECTIVE DATE.

This section is effective January 1, deleted text begin 2024deleted text end new text begin 2026new text end , or upon federal
approval, whichever is later. The commissioner shall notify the revisor of statutes when
federal approval is obtained.

ARTICLE 7

APPROPRIATIONS

Section 1. new text begin HUMAN SERVICES APPROPRIATION.
new text end

new text begin The dollar amounts shown in the columns marked "Appropriations" are added to or, if
shown in parentheses, are subtracted from the appropriations in Laws 2023, chapter 70,
article 20, and chapter 61, article 9, from the general fund or any fund named for the purposes
specified in this article, to be available for the fiscal years indicated for each purpose. The
figures "2024" and "2025" used in this article mean that the appropriations listed under them
are available for the fiscal years ending June 30, 2024, or June 30, 2025, respectively. "The
first year" is fiscal year 2024. "The second year" is fiscal year 2025. "The biennium" is
fiscal years 2024 and 2025.
new text end

new text begin APPROPRIATIONS
new text end
new text begin Available for the Year
new text end
new text begin Ending June 30
new text end
new text begin 2024
new text end
new text begin 2025
new text end

Sec. 2. new text begin COMMISSIONER OF HUMAN
SERVICES
new text end

new text begin Subdivision 1. new text end

new text begin Total General Fund
Appropriation
new text end

new text begin $
new text end
new text begin 0
new text end
new text begin $
new text end
new text begin 18,667,000
new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end

new text begin Central Office; Operations
new text end

new text begin -0-
new text end
new text begin 1,030,000
new text end

new text begin (a) Carryforward authority. Notwithstanding
Minnesota Statutes, section 16A.28,
subdivision 3, $504,000 in fiscal year 2025 is
available until June 30, 2027.
new text end

new text begin (b) Base level adjustment. The general fund
base is increased by $266,000 in fiscal year
2026 and each year thereafter.
new text end

new text begin Subd. 3. new text end

new text begin Central Office; Health Care
new text end

new text begin -0-
new text end
new text begin 621,000
new text end

new text begin Base level adjustment. The general fund base
is increased by $726,000 in fiscal year 2026
and increased by $730,000 in fiscal year 2027.
new text end

new text begin Subd. 4. new text end

new text begin Central Office; Aging and Disability
Services
new text end

new text begin -0-
new text end
new text begin 640,000
new text end

new text begin (a) Tribal vulnerable adult and
developmental disabilities targeted case
management medical assistance benefit.

$200,000 in fiscal year 2025 is for the
development of a Tribal vulnerable adult and
developmental disabilities targeted case
management medical assistance benefit under
Minnesota Statutes, section 256B.0924. This
is a onetime appropriation.
new text end

new text begin (b) Base level adjustment. The general fund
base is increased by $517,000 in fiscal year
2026 and each year thereafter.
new text end

new text begin Subd. 5. new text end

new text begin Central Office; Behavioral Health,
Housing, and Deaf and Hard of Hearing
Services
new text end

new text begin -0-
new text end
new text begin 1,687,000
new text end

new text begin (a) Medical assistance reentry
demonstration.
$200,000 in fiscal year 2025
is for engagement with people with lived
experience, families, and community partners
on the development and implementation of
the medical assistance reentry demonstration
benefit under Minnesota Statutes, section
256B.0761. Money appropriated in fiscal year
2025 is available until June 30, 2026.
new text end

new text begin (b) Base level adjustment. The general fund
base is increased by $1,958,000 in fiscal year
2026 and each year thereafter.
new text end

new text begin Subd. 6. new text end

new text begin Forecasted Programs; Medical
Assistance
new text end

new text begin -0-
new text end
new text begin (1,183,000)
new text end

new text begin Subd. 7. new text end

new text begin Forecasted Programs; Alternative Care
new text end

new text begin -0-
new text end
new text begin 1,000
new text end

new text begin Subd. 8. new text end

new text begin Grant Programs; Refugee Services
Grants
new text end

new text begin -0-
new text end
new text begin 9,656,000
new text end

new text begin Human services response contingency
account.
$9,656,000 in fiscal year 2025 is for
the human services response contingency
account under Minnesota Statutes, section
256.044. This is a onetime appropriation.
new text end

new text begin Subd. 9. new text end

new text begin Grant Programs; Adult Mental Health
Grants
new text end

new text begin -0-
new text end
new text begin 1,250,000
new text end

new text begin Medical assistance reentry demonstration
grants.
$1,250,000 in fiscal year 2025 is for
capacity building and implementation grants
for the medical assistance reentry
demonstration under Minnesota Statutes,
section 256B.0761. Money appropriated in
fiscal year 2025 is available until June 30,
2026. The base for this appropriation is
$1,250,000 in fiscal year 2026 and $0 in fiscal
year 2027.
new text end

new text begin Subd. 10. new text end

new text begin Direct Care and Treatment - Mental
Health and Substance Abuse
new text end

new text begin -0-
new text end
new text begin (2,718,000)
new text end

new text begin Base level adjustment. The general fund base
is decreased by $4,487,000 in fiscal year 2026
and each year thereafter.
new text end

new text begin Subd. 11. new text end

new text begin Direct Care and Treatment - Forensic
Services
new text end

new text begin -0-
new text end
new text begin 7,182,000
new text end

new text begin Base level adjustment. The general fund base
is increased by $6,612,000 in fiscal year 2026
and each year thereafter.
new text end

new text begin Subd. 12. new text end

new text begin Direct Care and Treatment -
Operations
new text end

new text begin -0-
new text end
new text begin 501,000
new text end

new text begin Base level adjustment. The general fund base
is increased by $617,000 in fiscal year 2026
and $586,000 in fiscal year 2027.
new text end

Sec. 3. new text begin DEPARTMENT OF CORRECTIONS
new text end

new text begin $
new text end
new text begin 0
new text end
new text begin $
new text end
new text begin 1,649,000
new text end

new text begin new text begin Medical assistance reentry demonstration.new text end
$1,649,000 in fiscal year 2025 is from the
general fund for planning and implementation
of the medical assistance reentry
demonstration. The base for this appropriation
is $1,924,000 in fiscal year 2026 and
$2,364,000 in fiscal year 2027.
new text end

Sec. 4.

Laws 2023, chapter 61, article 9, section 2, subdivision 16, as amended by Laws
2023, chapter 70, article 15, section 8, is amended to read:


Subd. 16.

Grant Programs; Disabilities Grants

113,684,000
30,377,000

(a) Temporary Grants for Small
Customized Living Providers.
$5,450,000
in fiscal year 2024 is for grants to assist small
customized living providers to transition to
community residential services licensure or
integrated community supports licensure.
Notwithstanding Minnesota Statutes, section
16A.28, this appropriation is available until
June 30, 2027. This is a onetime appropriation.

(b) Lead Agency Capacity Building Grants.
$444,000 in fiscal year 2024 and $2,396,000
in fiscal year 2025 are for grants to assist
organizations, counties, and Tribes to build
capacity for employment opportunities for
people with disabilities. The base for this
appropriation is $2,413,000 in fiscal year 2026
and $2,411,000 in fiscal year 2027.

(c) Employment and Technical Assistance
Center Grants.
$450,000 in fiscal year 2024
and $1,800,000 in fiscal year 2025 are for
employment and technical assistance grants
to assist organizations and employers in
promoting a more inclusive workplace for
people with disabilities.

(d) Case Management Training Grants.
$37,000 in fiscal year 2024 and $123,000 in
fiscal year 2025 are for grants to provide case
management training to organizations and
employers to support the state's disability
employment supports system. The base for
this appropriation is $45,000 in fiscal year
2026 and $45,000 in fiscal year 2027.

(e) Self-Directed Bargaining Agreement;
Electronic Visit Verification Stipends.

$6,095,000 in fiscal year 2024 is for onetime
stipends of $200 to bargaining members to
offset the potential costs related to people
using individual devices to access the
electronic visit verification system. Of this
amount, $5,600,000 is for stipends and
$495,000 is for administration. This is a
onetime appropriation and is available until
June 30, 2025.

(f) Self-Directed Collective Bargaining
Agreement; Temporary Rate Increase
Memorandum of Understanding.
$1,600,000
in fiscal year 2024 is for onetime stipends for
individual providers covered by the SEIU
collective bargaining agreement based on the
memorandum of understanding related to the
temporary rate increase in effect between
December 1, 2020, and February 7, 2021. Of
this amount, $1,400,000 of the appropriation
is for stipends and $200,000 is for
administration. This is a onetime
appropriation.

(g) Self-Directed Collective Bargaining
Agreement; Retention Bonuses.
$50,750,000
in fiscal year 2024 is for onetime retention
bonuses covered by the SEIU collective
bargaining agreement. Of this amount,
$50,000,000 is for retention bonuses and
$750,000 is for administration of the bonuses.
This is a onetime appropriation and is
available until June 30, 2025.

(h) Self-Directed Bargaining Agreement;
Training Stipends.
$2,100,000 in fiscal year
2024 and $100,000 in fiscal year 2025 are for
onetime stipends of $500 for collective
bargaining unit members who complete
designated, voluntary trainings made available
through or recommended by the State Provider
Cooperation Committee. Of this amount,
$2,000,000 in fiscal year 2024 is for stipends,
and $100,000 in fiscal year 2024 and $100,000
in fiscal year 2025 are for administration. This
is a onetime appropriation.

(i) Self-Directed Bargaining Agreement;
Orientation Program.
$2,000,000 in fiscal
year 2024 and $2,000,000 in fiscal year 2025
are for onetime $100 payments to collective
bargaining unit members who complete
voluntary orientation requirements. Of this
amount, $1,500,000 in fiscal year 2024 and
$1,500,000 in fiscal year 2025 are for the
onetime $100 payments, and $500,000 in
fiscal year 2024 and $500,000 in fiscal year
2025 are for orientation-related costs. This is
a onetime appropriation.

(j) Self-Directed Bargaining Agreement;
Home Care Orientation Trust.
$1,000,000
in fiscal year 2024 is for the Home Care
Orientation Trust under Minnesota Statutes,
section 179A.54, subdivision 11. The
commissioner shall disburse the appropriation
to the board of trustees of the Home Care
Orientation Trust for deposit into an account
designated by the board of trustees outside the
state treasury and state's accounting system.
This is a onetime appropriationnew text begin and is
available until June 30, 2025
new text end .

(k) HIV/AIDS Supportive Services.
$12,100,000 in fiscal year 2024 is for grants
to community-based HIV/AIDS supportive
services providers as defined in Minnesota
Statutes, section 256.01, subdivision 19, and
for payment of allowed health care costs as
defined in Minnesota Statutes, section
256.9365. This is a onetime appropriation and
is available until June 30, 2025.

(l) Motion Analysis Advancements Clinical
Study and Patient Care.
$400,000 is fiscal
year 2024 is for a grant to the Mayo Clinic
Motion Analysis Laboratory and Limb Lab
for continued research in motion analysis
advancements and patient care. This is a
onetime appropriation and is available through
June 30, 2025.

(m) Grant to Family Voices in Minnesota.
$75,000 in fiscal year 2024 and $75,000 in
fiscal year 2025 are for a grant to Family
Voices in Minnesota under Minnesota
Statutes, section 256.4776.

(n) Parent-to-Parent Programs.

(1) $550,000 in fiscal year 2024 and $550,000
in fiscal year 2025 are for grants to
organizations that provide services to
underserved communities with a high
prevalence of autism spectrum disorder. This
is a onetime appropriation and is available
until June 30, 2025.

(2) The commissioner shall give priority to
organizations that provide culturally specific
and culturally responsive services.

(3) Eligible organizations must:

(i) conduct outreach and provide support to
newly identified parents or guardians of a child
with special health care needs;

(ii) provide training to educate parents and
guardians in ways to support their child and
navigate the health, education, and human
services systems;

(iii) facilitate ongoing peer support for parents
and guardians from trained volunteer support
parents; and

(iv) communicate regularly with other
parent-to-parent programs and national
organizations to ensure that best practices are
implemented.

(4) Grant recipients must use grant money for
the activities identified in clause (3).

(5) For purposes of this paragraph, "special
health care needs" means disabilities, chronic
illnesses or conditions, health-related
educational or behavioral problems, or the risk
of developing disabilities, illnesses, conditions,
or problems.

(6) Each grant recipient must report to the
commissioner of human services annually by
January 15 with measurable outcomes from
programs and services funded by this
appropriation the previous year including the
number of families served and the number of
volunteer support parents trained by the
organization's parent-to-parent program.

(o) Self-Advocacy Grants for Persons with
Intellectual and Developmental Disabilities.

$323,000 in fiscal year 2024 and $323,000 in
fiscal year 2025 are for self-advocacy grants
under Minnesota Statutes, section 256.477.
new text begin This is a onetime appropriation. new text end Of these
amounts, $218,000 in fiscal year 2024 and
$218,000 in fiscal year 2025 are for the
activities under Minnesota Statutes, section
256.477, subdivision 1, paragraph (a), clauses
(5) to (7), and for administrative costs, and
$105,000 in fiscal year 2024 and $105,000 in
fiscal year 2025 are for the activities under
Minnesota Statutes, section 256.477,
subdivision 2
.

(p) Technology for Home Grants. $300,000
in fiscal year 2024 and $300,000 in fiscal year
2025 are for technology for home grants under
Minnesota Statutes, section 256.4773.

(q) Community Residential Setting
Transition.
$500,000 in fiscal year 2024 is
for a grant to Hennepin County to expedite
approval of community residential setting
licenses subject to the corporate foster care
moratorium exception under Minnesota
Statutes, section 245A.03, subdivision 7,
paragraph (a), clause (5).

(r) Base Level Adjustment. The general fund
base is $27,343,000 in fiscal year 2026 and
$27,016,000 in fiscal year 2027.

Sec. 5. new text begin REDUCTIONS IN HUMAN SERVICES APPROPRIATIONS,
CANCELLATIONS, AND REAPPROPRIATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Central operations adjustments. new text end

new text begin (a) The general fund appropriation in
Laws 2023, chapter 61, article 9, section 2, subdivision 2, for fiscal year 2024 is reduced
by $592,000, and that amount cancels to the general fund.
new text end

new text begin (b) $592,000 in fiscal year 2025 is appropriated from the general fund to the commissioner
of human services for central operations administrative costs. This appropriation is available
until June 30, 2027.
new text end

new text begin (c) The general fund appropriation in Laws 2023, chapter 61, article 9, section 2,
subdivision 5, for fiscal year 2024 is reduced by $1,347,000, and that amount cancels to the
general fund.
new text end

new text begin (d) $1,347,000 in fiscal year 2025 is appropriated from the general fund to the
commissioner of human services to study presumptive financial and functional eligibility
for people with disabilities and older adults under Laws 2023, chapter 61, article 1, section
81. This appropriation is available until June 30, 2027.
new text end

new text begin Subd. 2. new text end

new text begin Transition to community initiative. new text end

new text begin (a) The general fund appropriation in
Laws 2023, chapter 70, article 20, section 16, subdivision 1, paragraph (b), is reduced by
$8,900,000 for fiscal year 2024, and this amount cancels to the general fund.
new text end

new text begin (b) The general fund appropriation in Laws 2023, chapter 70, article 20, section 2,
subdivision 29, is reduced by $1,811,000 for fiscal year 2025.
new text end

new text begin (c) The general fund base in Laws 2023, chapter 70, article 20, section 2, subdivision
29, paragraph (f), is reduced by $1,811,000 in fiscal years 2026 and 2027 and each year
thereafter.
new text end

new text begin (d) $8,900,000 in fiscal year 2024 and $1,811,000 in fiscal year 2025 are appropriated
from the general fund to the commissioner of human services for the transition to community
initiative under Minnesota Statutes, section 256.478. The base for this appropriation is
$1,811,000 in fiscal year 2026 and each year thereafter. The appropriation in fiscal year
2024 is available until June 30, 2027.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment or
retroactively from June 30, 2024, whichever is earlier.
new text end

APPENDIX

Repealed Minnesota Statutes: 24-08007

246.01 POWERS AND DUTIES.

The commissioner of human services is hereby specifically constituted the guardian of all persons with developmental disabilities, the guardianship of whom has heretofore been vested in the State Board of Control or in the director of social welfare whether by operation of law or by an order of court without any further act or proceeding, and all the powers and duties vested in or imposed upon the State Board of Control or the director of social welfare, with reference to mental testing of persons with developmental disability, and with reference to the institutions of the state of Minnesota except correctional facilities administered and managed by the commissioner of corrections, are hereby transferred to, vested in, and imposed upon the commissioner of human services, and in relation thereto is hereby charged with and shall have the exclusive power of administration and management of all of the following state institutions: state hospitals for persons with developmental disability, mental illness, or substance use disorder. The commissioner shall have power and authority to determine all matters relating to the unified and continuous development of all of the foregoing institutions and of such other institutions, the supervision of which may, from time to time, be vested in the commissioner. It is intended that there be vested in the commissioner all of the powers, functions, and authority heretofore vested in the State Board of Control relative to such state institutions. The commissioner shall have the power and authority to accept, in behalf of the state, contributions and gifts of money and personal property for the use and benefit of the residents of the public institutions under the commissioner's control, and all money and securities so received shall be deposited in the state treasury subject to the order of the commissioner of human services. If the gift or contribution is designated by the donor for a certain institution or purpose, the commissioner of human services shall expend or use the same as nearly as may be in accordance with the conditions of the gift or contribution, compatible with the best interests of the inmates and the state. The commissioner of human services is hereby constituted the "state agency" as defined by the Social Security Act of the United States and the laws of this state for all purposes relating to mental health and mental hygiene.

For the purpose of carrying out these duties, the commissioner of human services shall accept from wards with developmental disabilities for whom the commissioner is specifically appointed guardian a signed application for consent to the marriage of said ward. Upon receipt of such application the commissioner shall promptly conduct such investigation as the commissioner deems proper and determine if the contemplated marriage is for the best interest of the ward and the public. A signed copy of the commissioner's determination shall be mailed to the ward and to the court administrator of the district court of the county where the application for such marriage license was made.

There is hereby appropriated to such persons or institutions as are entitled to such sums as are provided for in this section, from the fund or account in the state treasury to which the money was credited, an amount sufficient to make such payment.

246.12 BIENNIAL ESTIMATES; SUGGESTIONS FOR LEGISLATION.

The commissioner of human services shall prepare, for the use of the legislature, biennial estimates of appropriations necessary or expedient to be made for the support of the institutions and for extraordinary and special expenditures for buildings and other improvements. The commissioner shall, in connection therewith, make suggestions relative to legislation for the benefit of the institutions. The commissioner shall report the estimates and suggestions to the legislature on or before November 15 in each even-numbered year. The commissioner of human services on request shall appear before any legislative committee and furnish any required information in regard to the condition of any such institution.

246.234 RECIPROCAL EXCHANGE OF CERTAIN PERSONS.

The commissioner of human services is hereby authorized and empowered with the approval of the governor to enter into reciprocal agreements with any other state or states, through the duly authorized authorities thereof, regarding the mutual exchange, return, and transportation of persons with mental illness or developmental disabilities who are within the confines of one state but have legal residence or legal settlement for the purposes of relief in another state. Such agreements shall contain no provisions conflicting with any law of this state.

246.36 ACCEPTANCE OF VOLUNTARY, UNCOMPENSATED SERVICES.

For the purpose of carrying out a duty, the commissioner of human services shall have authority to accept uncompensated and voluntary services and to enter into contracts or agreements with private or public agencies, or persons, for uncompensated and voluntary services, as the commissioner may deem practicable. Uncompensated and voluntary services do not include services mandated by licensure and certification requirements for health care facilities. The volunteer agencies, organizations, or persons who provide services to residents of state facilities operated under the authority of the commissioner are not subject to the procurement requirements of chapters 16A and 16C. The agencies, organizations, or persons may purchase supplies, services, and equipment to be used in providing services to residents of state facilities through the Department of Administration.

246.41 BENEFIT FOR PERSONS WITH DEVELOPMENTAL DISABILITIES.

Subdivision 1.

Acceptance.

The commissioner of human services is authorized to accept, for and in behalf of the state, contributions of money for the use and benefit of persons with developmental disabilities.

Subd. 2.

Special welfare fund.

Any money so received by the commissioner shall be deposited with the commissioner of management and budget in a special welfare fund, which fund is to be used by the commissioner of human services for the benefit of persons with developmental disabilities within the state, including those within state hospitals. And, without excluding other possible uses, research relating to persons with developmental disabilities shall be considered an appropriate use of such funds; but such funds shall not be used for any structures or installations which by their nature would require state expenditures for their operation or maintenance without specific legislative enactment therefor.

Subd. 3.

Appropriation.

There is hereby appropriated from the special welfare fund in the state treasury to such persons as are entitled thereto to carry out the provisions stated in this section.

246C.03 TRANSITION OF AUTHORITY; DEVELOPMENT OF A BOARD.

Subdivision 1.

Authority until board is developed and powers defined.

On July 1, 2023, the commissioner of human services shall continue to exercise all authorities and responsibilities under chapters 13, 245, 246, 246B, 252, 253, 253B, 253C, 253D, 254A, 254B, and 256, until legislation is effective that develops the Department of Direct Care and Treatment executive board and defines the responsibilities and powers of the Department of Direct Care and Treatment and its executive board.

Subd. 2.

Development of Department of Direct Care and Treatment Board.

(a) The commissioner of human services shall prepare legislation for introduction during the 2024 legislative session, with input from stakeholders the commissioner deems necessary, proposing legislation for the creation and implementation of the Direct Care and Treatment executive board and defining the responsibilities, powers, and function of the Department of Direct Care and Treatment executive board.

(b) The Department of Direct Care and Treatment executive board shall consist of no more than five members, all appointed by the governor.

(c) An executive board member's qualifications must be appropriate for overseeing a complex behavioral health system, such as experience serving on a hospital or non-profit board, serving as a public sector labor union representative, experience in delivery of behavioral health services or care coordination, or working as a licensed health care provider, in an allied health profession, or in health care administration.

256S.205 CUSTOMIZED LIVING SERVICES; DISPROPORTIONATE SHARE RATE ADJUSTMENTS.

Subd. 4.

Designation as a disproportionate share facility.

(a) By October 15 of each application year, the commissioner must designate as a disproportionate share facility a facility that complies with the application requirements of subdivision 2 and meets the eligibility criteria of subdivision 3.

(b) An annual designation is effective for one rate year.