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HF 238

as introduced - 87th Legislature (2011 - 2012) Posted on 01/27/2011 10:55am

KEY: stricken = removed, old language.
underscored = added, new language.
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A bill for an act
relating to human services; establishing electronic benefit transfer card
restrictions and requirements; modifying the MFIP residency requirement;
amending Minnesota Statutes 2010, sections 256D.02, subdivision 4; 256D.05,
subdivision 6; 256D.09, subdivisions 1, 2a; 256D.47; 256J.01, subdivision 2;
256J.08, subdivisions 65, 82a, 85, by adding subdivisions; 256J.12, subdivisions
1a, 2, by adding a subdivision; 256J.24, subdivisions 3, 5, 5a; 256J.26,
subdivision 1; 256J.31, subdivision 12; 256J.37, subdivision 3a; 256J.39,
subdivision 1; 256J.42; 256J.46, subdivision 1; 256J.50, subdivision 6; 256J.626,
subdivision 2; 256J.68, subdivision 1; 256J.69, subdivision 1; 256J.77; 256J.95,
subdivisions 1, 3, 7, 10, 12, 18; proposing coding for new law in Minnesota
Statutes, chapter 256; repealing Minnesota Statutes 2010, section 256.9862,
subdivision 2.

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

ARTICLE 1

HUMAN SERVICES MODIFICATIONS

Section 1.

new text begin [256.9870] ELECTRONIC BENEFIT TRANSFER DEBIT CARD.
new text end

new text begin Subdivision 1. new text end

new text begin Electronic benefit transfer (EBT) debit card. new text end

new text begin Electronic benefit
transfer (EBT) debit cardholders in the general assistance program and the Minnesota
supplemental aid program under chapter 256D and programs under chapter 256J are
prohibited from withdrawing cash from an automatic teller machine or receiving cash from
vendors with the EBT debit card. The EBT debit card may only be used as a debit card.
new text end

new text begin Subd. 2. new text end

new text begin Photo identification on EBT. new text end

new text begin EBT debit cards issued after July 1, 2011,
must include a photo of the cardholder on the EBT debit card. The commissioner shall
implement a plan to convert all other active EBT debit cards to include a photo of the
cardholder by July 1, 2012.
new text end

new text begin Subd. 3. new text end

new text begin Prohibited purchases. new text end

new text begin EBT debit cardholders in programs under
subdivision 1 are prohibited from using the EBT debit card to purchase tobacco products,
taxable food items not exempt under section 297A.67, subdivision 2, alcoholic beverages,
as defined in section 340A.101, subdivision 2, and lottery tickets.
new text end

new text begin Subd. 4. new text end

new text begin EBT use restricted to Minnesota vendors. new text end

new text begin EBT debit cardholders in
programs under subdivision 1 are prohibited from using the EBT debit card at vendors
located outside of Minnesota. This subdivision does not apply to the EBT food portion.
new text end

Sec. 2.

Minnesota Statutes 2010, section 256D.02, subdivision 4, is amended to read:


Subd. 4.

General assistance.

"General assistance" means deleted text begincash paymentsdeleted text end new text beginassistance
new text endto persons unable to provide themselves with a reasonable subsistence compatible with
decency and health and who are not otherwise provided for under the laws of this state or
the United States.

Sec. 3.

Minnesota Statutes 2010, section 256D.09, subdivision 1, is amended to read:


Subdivision 1.

Presumptive eligibility; payments.

Until the county agency has
determined the initial eligibility of the applicant in accordance with section 256D.07,
grants for emergency general assistance must be in the form of vouchers or vendor
payments unless the county agency determines that a cash grant will best resolve the
applicant's need for emergency assistance. Thereafter, grants of general assistance must
be deleted text beginpaid in cash,deleted text end new text beginprovided new text endby electronic benefit transferdeleted text begin, or by direct deposit into the
recipient's account in a financial institution,
deleted text end on the first day of the month, except as
allowed in this section.

Sec. 4.

Minnesota Statutes 2010, section 256D.47, is amended to read:


256D.47 PAYMENT METHODS.

Minnesota supplemental aid payments must be issued to the recipient, a protective
payee, or a conservator or guardian of the recipient's estate in the form of deleted text begincounty warrants
immediately redeemable in cash,
deleted text end electronic benefits transferdeleted text begin, or by direct deposit into
the recipient's account in a financial institution
deleted text end. Minnesota supplemental aid payments
must be issued regularly on the first day of the month. The supplemental aid deleted text beginwarrantsdeleted text end
new text begin electronic benefit transfer debit card new text endmust be mailed only to the new text beginphysical new text endaddress at which
the recipient resides, unless another address has been approved in advance by the county
agency. Vendor payments must not be issued by the county agency except for nonrecurring
emergency need payments; at the request of the recipient; for special needs, other than
special diets; or when the agency determines the need for protective payments exist.

Sec. 5.

Minnesota Statutes 2010, section 256J.12, subdivision 1a, is amended to read:


Subd. 1a.

deleted text begin30-daydeleted text end new text begin Three-month new text endresidency requirement.

An assistance unit is
considered to have established residency in this state only when a child or caregiver
has resided in this state for at least deleted text begin30deleted text end new text beginthree new text endconsecutive deleted text begindaysdeleted text end new text beginmonths new text endwith the intention
of making the person's home here and not for any temporary purpose. The birth of a
child in Minnesota to a member of the assistance unit does not automatically establish
the residency in this state under this subdivision of the other members of the assistance
unit. Time spent in a shelter for battered women shall count toward satisfying the deleted text begin30-daydeleted text endnew text begin
three-month
new text end residency requirement.

Sec. 6.

Minnesota Statutes 2010, section 256J.12, is amended by adding a subdivision
to read:


new text begin Subd. 1b. new text end

new text begin Proof of residency. new text end

new text begin (a) An applicant must provide documentation to
prove residency. Acceptable documentation includes a rental or lease agreement, property
tax statement, or utility bill that contains the complete name of the applicant and complete
physical address.
new text end

new text begin (b) If the applicant cannot provide documentation of legal residence because the
applicant is living with a friend or relative or in a homeless shelter or temporary housing,
a notarized statement by the friend, relative, or the director of the shelter or temporary
housing is acceptable proof of residence.
new text end

Sec. 7.

Minnesota Statutes 2010, section 256J.12, subdivision 2, is amended to read:


Subd. 2.

Exceptions.

(a) A county shall waive the deleted text begin30-daydeleted text endnew text begin three-monthnew text end residency
requirement where unusual hardship would result from denial of assistance.

(b) For purposes of this section, unusual hardship means an assistance unit:

(1) is without alternative shelter; or

(2) is without available resources for food.

(c) For purposes of this subdivision, the following definitions apply (1) "metropolitan
statistical area" is as defined by the U.S. Census Bureau; (2) "alternative shelter" includes
any shelter that is located within the metropolitan statistical area containing the county and
for which the family is eligible, provided the assistance unit does not have to travel more
than 20 miles to reach the shelter and has access to transportation to the shelter. Clause (2)
does not apply to counties in the Minneapolis-St. Paul metropolitan statistical area.

(d) Applicants are considered to meet the residency requirement under subdivision
1a if they once resided in Minnesota and:

(1) joined the United States armed services, returned to Minnesota within 30 days of
leaving the armed services, and intend to remain in Minnesota; or

(2) left to attend school in another state, paid nonresident tuition or Minnesota
tuition rates under a reciprocity agreement, and returned to Minnesota within 30 days of
graduation with the intent to remain in Minnesota.

(e) The deleted text begin30-daydeleted text endnew text begin three-monthnew text end residence requirement is met when:

(1) a minor child or a minor caregiver moves from another state to the residence of
a relative caregiver; and

(2) the relative caregiver has resided in Minnesota for at least deleted text begin30deleted text end new text beginthree new text endconsecutive
deleted text begin daysdeleted text end new text beginmonths new text endand:

(i) the minor caregiver applies for and receives MFIP; or

(ii) the relative caregiver applies for assistance for the minor child but does not
choose to be a member of the MFIP assistance unit.

Sec. 8.

Minnesota Statutes 2010, section 256J.26, subdivision 1, is amended to read:


Subdivision 1.

Person convicted of drug offenses.

(a) Applicants or participants
who have been convicted of a drug offense committed after July 1, 1997, may, if otherwise
eligible, receive MFIP benefits subject to the following conditions:

(1) Benefits for the entire assistance unit must be paid in vendor form for shelter and
utilities during any time the applicant is part of the assistance unit.

(2) The convicted applicant or participant shall be subject to random drug testing as
a condition of continued eligibility and following any positive test for an illegal controlled
substance is subject to the following sanctions:

(i) for failing a drug test the first time, the residual amount of the participant's grant
after making vendor payments for shelter and utility costs, if any, must be reduced by an
amount equal to 30 percent of the MFIP standard of need for an assistance unit of the same
size. When a sanction under this subdivision is in effect, the job counselor must attempt
to meet with the person face-to-face. During the face-to-face meeting, the job counselor
must explain the consequences of a subsequent drug test failure and inform the participant
of the right to appeal the sanction under section 256J.40. If a face-to-face meeting is
not possible, the county agency must send the participant a notice of adverse action as
provided in section 256J.31, subdivisions 4 and 5, and must include the information
required in the face-to-face meeting; or

(ii) for failing a drug test two times, the participant is permanently disqualified from
receiving MFIP assistance, both the deleted text begincashdeleted text end new text beginMFIP new text endand food portions. The assistance unit's
MFIP grant must be reduced by the amount which would have otherwise been made
available to the disqualified participant. Disqualification under this item does not make
a participant ineligible for food stamps or food support. Before a disqualification under
this provision is imposed, the job counselor must attempt to meet with the participant
face-to-facenew text begin or notify the participant at the participant's last known addressnew text end. During the
face-to-face meeting, the job counselor must identify other resources that may be available
to the participant to meet the needs of the family and inform the participant of the right to
appeal the disqualification under section 256J.40. If a face-to-face meeting is not possible,
the county agency must send the participant a notice of adverse action as provided in
section 256J.31, subdivisions 4 and 5, and must include the information required in the
face-to-face meeting.

(3) A participant who fails a drug test the first time and is under a sanction due to
other MFIP program requirements is considered to have more than one occurrence of
noncompliance and is subject to the applicable level of sanction as specified under section
256J.46, subdivision 1, paragraph (d).

(b) Applicants requesting only food stamps or food support or participants receiving
only food stamps or food support, who have been convicted of a drug offense that
occurred after July 1, 1997, may, if otherwise eligible, receive food stamps or food support
if the convicted applicant or participant is subject to random drug testing as a condition
of continued eligibility. Following a positive test for an illegal controlled substance, the
applicant is subject to the following sanctions:

(1) for failing a drug test the first time, food stamps or food support shall be reduced
by an amount equal to 30 percent of the applicable food stamp or food support allotment.
When a sanction under this clause is in effect, a job counselor must attempt to meet with
the person face-to-face. During the face-to-face meeting, a job counselor must explain
the consequences of a subsequent drug test failure and inform the participant of the right
to appeal the sanction under section 256J.40. If a face-to-face meeting is not possible,
a county agency must send the participant a notice of adverse action as provided in
section 256J.31, subdivisions 4 and 5, and must include the information required in the
face-to-face meeting; and

(2) for failing a drug test two times, the participant is permanently disqualified from
receiving food stamps or food support. Before a disqualification under this provision is
imposed, a job counselor must attempt to meet with the participant face-to-face. During
the face-to-face meeting, the job counselor must identify other resources that may be
available to the participant to meet the needs of the family and inform the participant of
the right to appeal the disqualification under section 256J.40. If a face-to-face meeting
is not possible, a county agency must send the participant a notice of adverse action as
provided in section 256J.31, subdivisions 4 and 5, and must include the information
required in the face-to-face meeting.

(c) For the purposes of this subdivision, "drug offense" means an offense that
occurred after July 1, 1997, of sections 152.021 to 152.025, 152.0261, 152.0262, or
152.096. Drug offense also means a conviction in another jurisdiction of the possession,
use, or distribution of a controlled substance, or conspiracy to commit any of these
offenses, if the offense occurred after July 1, 1997, and the conviction is a felony offense
in that jurisdiction, or in the case of New Jersey, a high misdemeanor.

Sec. 9.

Minnesota Statutes 2010, section 256J.39, subdivision 1, is amended to read:


Subdivision 1.

Payment policy.

The following policies apply to monthly assistance
payments and corrective payments:

(1) deleted text begingrant payments maydeleted text end new text begin assistance must new text endbe issued in the form of deleted text beginwarrants
immediately redeemable in cash,
deleted text end electronic benefits transferdeleted text begin, or by direct deposit into the
recipient's account in a financial institution
deleted text end;

deleted text begin (2) the commissioner shall mail assistance payment checks to the address where a
caregiver lives unless the county agency approves an alternate arrangement;
deleted text end

deleted text begin (3) the commissioner shall mail monthly assistance payment checks within time to
allow postal service delivery to occur no later than the first day of each month. Monthly
assistance payment checks must be dated the first day of the month.
deleted text end new text begin(2) new text endthe commissioner
shall issue electronic benefits transfer payments so that caregivers have access to the
payments no later than the first of the month;new text begin and
new text end

deleted text begin (4) the commissioner shall issue replacement checks promptly, but no later than
seven calendar days after the provisions of sections 16A.46; 256.01, subdivision 11;
and 471.415 have been met; and
deleted text end

deleted text begin (5)deleted text end new text begin(3) new text endthe commissioner, with the advance approval of the commissioner of
management and budget, may issue deleted text begincashdeleted text end assistance deleted text begingrant paymentsdeleted text end up to three days
before the first day of each month, including three days before the start of each state fiscal
year. Of the money appropriated for deleted text begincashdeleted text end assistance deleted text begingrant paymentsdeleted text end for each fiscal year,
up to three percent of the annual state appropriation is available to the commissioner in
the previous fiscal year. If that amount is insufficient for the costs incurred, an additional
amount of the appropriation as needed may be transferred with the advance approval of
the commissioner of management and budget.

Sec. 10.

Minnesota Statutes 2010, section 256J.95, subdivision 1, is amended to read:


Subdivision 1.

Establishing a diversionary work program (DWP).

(a) The
Personal Responsibility and Work Opportunity Reconciliation Act of 1996, Public Law
104-193, establishes block grants to states for temporary assistance for needy families
(TANF). TANF provisions allow states to use TANF dollars for nonrecurrent, short-term
diversionary benefits. The diversionary work program established on July 1, 2003,
is Minnesota's TANF program to provide short-term diversionary benefits to eligible
recipients of the diversionary work program.

(b) The goal of the diversionary work program is to provide short-term, necessary
services and supports to families which will lead to unsubsidized employment, increase
economic stability, and reduce the risk of those families needing longer term assistance,
under the Minnesota family investment program (MFIP).

(c) When a family unit meets the eligibility criteria in this section, the family must
receive a diversionary work program grant and is not eligible for MFIP.

(d) A family unit is eligible for the diversionary work program for a maximum of
four consecutive months. During the four consecutive months, family maintenance needs
as defined in subdivision 2, shall be vendor paid, up to the deleted text begincashdeleted text end new text beginMFIP new text endportion of the deleted text beginMFIPdeleted text end
standard of need for the same size household. To the extent there is a balance available
between the amount paid for family maintenance needs and the deleted text begincashdeleted text end new text beginMFIP new text endportion of the
transitional standard, a personal needs allowance of up to $70 per DWP recipient in the
family unit shall be issuednew text begin by electronic benefit transfernew text end. The personal needs allowance
payment plus the family maintenance needs shall not exceed the deleted text begincashdeleted text end new text beginMFIP new text endportion of the
deleted text begin MFIPdeleted text end standard of need. Counties may provide supportive and other allowable services
funded by the MFIP consolidated fund under section 256J.626 to eligible participants
during the four-month diversionary period.

Sec. 11. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2010, section 256.9862, subdivision 2, new text end new text begin is repealed.
new text end

ARTICLE 2

CONFORMING AMENDMENTS

Section 1.

Minnesota Statutes 2010, section 256D.05, subdivision 6, is amended to
read:


Subd. 6.

Assistance for persons without a verified residence.

(a) For applicants
or recipients of general assistance or emergency general assistance who do not have
a verified residence address, the county agency may provide assistance using one or
more of the following methods:

(1) the county agency may provide assistance in the form of vouchers or vendor
payments and provide separate vouchers or vendor payments for food, shelter, and other
needs;

(2) the county agency may divide the monthly assistance standard into weekly
paymentsdeleted text begin, whether in cash ordeleted text end by new text beginelectronic benefit transfer or new text endvoucher or vendor payment.
Nothing in this clause prevents the county agency from issuing voucher or vendor
payments for emergency general assistance in an amount less than the standards of
assistance;

(3) the county agency may determine eligibility and provide assistance on a weekly
basis. Weekly assistance deleted text begincandeleted text end new text beginmust new text endbe issued deleted text beginin cash ordeleted text end by new text beginelectronic benefit transfer or
new text endvoucher or vendor payment and can be determined either on the basis of actual need or by
prorating the monthly assistance standard; and

(4) for the purposes of clauses (2) and (3), the county agency may divide the monthly
assistance standard as follows: $50 per week for each of the first three weeks, and the
remainder for the fourth week.

(b) An individual may verify a residence address by providing a driver's license; a
state identification card; a statement by the landlord, apartment manager, or homeowner
verifying that the individual is residing at the address; or other written documentation
approved by the commissioner.

(c) Notwithstanding the provisions of section 256D.06, subdivision 1, if the county
agency elects to provide assistance on a weekly payment basis, the agency may not
provide assistance for a period during which no need is claimed by the individual unless
the individual has good cause for failing to claim need. The individual must be notified,
each time weekly assistance is provided, that subsequent weekly assistance will not be
issued unless the individual claims need. The advance notice required under section
256D.10 does not apply to weekly assistance that is withheld because the individual
failed to claim need without good cause.

(d) The county agency may not issue assistance on a weekly basis to an applicant or
recipient who has a professionally certified mental illness or developmental disability, or
to an assistance unit that includes minor children, unless requested by the assistance unit.

Sec. 2.

Minnesota Statutes 2010, section 256D.09, subdivision 2a, is amended to read:


Subd. 2a.

Vendor payments for drug dependent persons.

If, at the time of
application or at any other time, there is a reasonable basis for questioning whether
a person applying for or receiving financial assistance is drug dependent, as defined
in section 254A.02, subdivision 5, the person shall be referred for a chemical health
assessment, and only emergency assistance payments or general assistance vendor
payments may be provided until the assessment is complete and the results of the
assessment made available to the county agency. A reasonable basis for referring an
individual for an assessment exists when:

(1) the person has required detoxification two or more times in the past 12 months;

(2) the person appears intoxicated at the county agency as indicated by two or more
of the following:

(i) the odor of alcohol;

(ii) slurred speech;

(iii) disconjugate gaze;

(iv) impaired balance;

(v) difficulty remaining awake;

(vi) consumption of alcohol;

(vii) responding to sights or sounds that are not actually present;

(viii) extreme restlessness, fast speech, or unusual belligerence;

(3) the person has been involuntarily committed for drug dependency at least once
in the past 12 months; or

(4) the person has received treatment, including domiciliary care, for drug abuse or
dependency at least twice in the past 12 months.

The assessment and determination of drug dependency, if any, must be made by
an assessor qualified under Minnesota Rules, part 9530.6615, subpart 2, to perform an
assessment of chemical use. The county shall only provide emergency general assistance
or vendor payments to an otherwise eligible applicant or recipient who is determined to be
drug dependent, except up to 15 percent of the grant amount the person would otherwise
receive may be deleted text beginpaid in cashdeleted text endnew text begin provided by electronic benefit transfernew text end. Notwithstanding
subdivision 1, the commissioner of human services shall also require county agencies to
provide assistance only in the form of vendor payments to all eligible recipients who
assert chemical dependency as a basis for eligibility under section 256D.05, subdivision 1,
paragraph (a), clauses (1) and (6).

The determination of drug dependency shall be reviewed at least every 12 months.
If the county determines a recipient is no longer drug dependent, the county may cease
vendor payments and provide the recipient deleted text beginpayments in cashdeleted text endnew text begin with assistance by electronic
benefit transfer
new text end.

Sec. 3.

Minnesota Statutes 2010, section 256J.01, subdivision 2, is amended to read:


Subd. 2.

Implementation of temporary assistance for needy families (TANF).

The Personal Responsibility and Work Opportunity Reconciliation Act of 1996, Public
Law 104-193, eliminates the entitlement program of aid to families with dependent
children (AFDC) and replaces it with block grants to states for temporary assistance for
needy families (TANF). TANF provides deleted text begincashdeleted text end assistance for a limited time to families
with children and to pregnant women. Minnesota's TANF assistance will be provided
through a statewide expansion of MFIP. The modifications specified in this chapter are
necessary to comply with the new federal law and to improve MFIP. Eligible applicants
and recipients of AFDC, family general assistance, and food stamps will be converted to
the MFIP program. Effective January 1, 1998, any new application received for family
deleted text begin cashdeleted text end assistance will be processed under the rules of this chapter. Case maintenance
conversion for existing AFDC and FGA cases to MFIP-S as described in this chapter will
begin January 1, 1998, and continue through March 31, 1998.

Sec. 4.

Minnesota Statutes 2010, section 256J.08, is amended by adding a subdivision
to read:


new text begin Subd. 6a. new text end

new text begin Assistance. new text end

new text begin "Assistance" means the portion of the benefit provided under
this chapter by EBT that does not include the food portion.
new text end

Sec. 5.

Minnesota Statutes 2010, section 256J.08, is amended by adding a subdivision
to read:


new text begin Subd. 55b. new text end

new text begin MFIP portion; MFIP assistance. new text end

new text begin "MFIP portion" or "MFIP assistance"
has the same meaning as the term "assistance" under subdivision 6a.
new text end

Sec. 6.

Minnesota Statutes 2010, section 256J.08, subdivision 65, is amended to read:


Subd. 65.

Participant.

(a) "Participant" includes any of the following:

(1) a person who is currently receiving deleted text begincashdeleted text end assistance or the food portion available
through MFIP;

(2) a person who deleted text beginwithdraws a cash or food assistance paymentdeleted text end new text beginmakes purchases new text endby
electronic transfer deleted text beginor receives and cashes an MFIP assistance check or food couponsdeleted text end and
is subsequently determined to be ineligible for assistance for that period of time is a
participant, regardless whether that assistance is repaid;

(3) the caregiver relative and the minor child whose needs are included in the
assistance payment;

(4) a person in an assistance unit who does not receive deleted text begina cashdeleted text endnew text begin MFIPnew text end and food
assistance deleted text beginpaymentdeleted text end because the case has been suspended from MFIP;

(5) a person who receives deleted text begincash paymentsdeleted text end new text beginassistance new text endunder the diversionary work
program under section 256J.95 is a participant; and

(6) a person who receives deleted text begincash paymentsdeleted text end new text beginassistance new text endunder family stabilization
services under section 256J.575.

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

Sec. 7.

Minnesota Statutes 2010, section 256J.08, subdivision 82a, is amended to read:


Subd. 82a.

Shared household standard.

"Shared household standard" means the
basic standard used when the household includes an unrelated member. The standard also
applies to a member disqualified under section 256J.425. The deleted text begincashdeleted text end new text beginMFIP new text endportion of the
shared household standard is equal to 90 percent of the cash portion of the transitional
standard. The deleted text begincashdeleted text end new text beginMFIP new text endportion of the shared household standard plus the food portion
equals the full shared household standard.

Sec. 8.

Minnesota Statutes 2010, section 256J.08, subdivision 85, is amended to read:


Subd. 85.

Transitional standard.

"Transitional standard" means the basic standard
for a family without earned income and is a combination of the deleted text begincashdeleted text end new text beginMFIP new text endportion and
food portion as specified in section 256J.24, subdivision 5.

Sec. 9.

Minnesota Statutes 2010, section 256J.24, subdivision 3, is amended to read:


Subd. 3.

Individuals who must be excluded from an assistance unit.

(a) The
following individuals who are part of the assistance unit determined under subdivision 2
are ineligible to receive MFIP:

(1) individuals who are recipients of Supplemental Security Income or Minnesota
supplemental aid;

(2) individuals disqualified from the food stamp or food support program or MFIP,
until the disqualification ends;

(3) children on whose behalf federal, state or local foster care payments are made,
except as provided in sections 256J.13, subdivision 2, and 256J.74, subdivision 2;

(4) children receiving ongoing monthly adoption assistance payments under section
259.67; and

(5) individuals disqualified from the work participation deleted text begincashdeleted text end benefit program until
that disqualification ends.

(b) The exclusion of a person under this subdivision does not alter the mandatory
assistance unit composition.

Sec. 10.

Minnesota Statutes 2010, section 256J.24, subdivision 5, is amended to read:


Subd. 5.

MFIP transitional standard.

The MFIP transitional standard is based
on the number of persons in the assistance unit eligible for both food and deleted text begincashdeleted text end new text beginMFIP
new text endassistance unless the restrictions in subdivision 6 on the birth of a child apply. The
following table represents the transitional standards including a breakdown of the cash
and food portions effective October 1, 2009.

Number of Eligible People
Transitional Standard
deleted text beginCashdeleted text end new text beginMFIP new text endPortion
Food Portion
1
$428:
$250
$178
2
$764:
$437
$327
3
$1,005:
$532
$473
4
$1,222:
$621
$601
5
$1,399:
$697
$702
6
$1,608:
$773
$835
7
$1,754:
$850
$904
8
$1,940:
$916
$1,024
9
$2,125:
$980
$1,145
10
$2,304:
$1,035
$1,269
over 10
add $178:
$53
$125
per additional member.

Sec. 11.

Minnesota Statutes 2010, section 256J.24, subdivision 5a, is amended to read:


Subd. 5a.

Food portion of MFIP transitional standard.

The commissioner shall
adjust the food portion of the MFIP transitional standard as needed to reflect adjustments
to the Supplemental Nutrition Assistance Program. The commissioner shall publish the
transitional standard including a breakdown of the deleted text begincashdeleted text end new text beginMFIP new text endand food portions for an
assistance unit of sizes one to ten in the State Register whenever an adjustment is made.

Sec. 12.

Minnesota Statutes 2010, section 256J.31, subdivision 12, is amended to read:


Subd. 12.

Right to discontinue deleted text begincashdeleted text end assistance.

A participant who is not in
vendor payment status may discontinue receipt of the deleted text begincashdeleted text end assistance portion of the MFIP
assistance grant and retain eligibility for child care assistance under section 119B.05. For
the months a participant chooses to discontinue the receipt of the deleted text begincashdeleted text end new text beginMFIP new text endportion of
the deleted text beginMFIPdeleted text end grant, the assistance unit accrues months of eligibility to be applied toward
eligibility for child care under section 119B.05.

Sec. 13.

Minnesota Statutes 2010, section 256J.37, subdivision 3a, is amended to read:


Subd. 3a.

Rental subsidies; unearned income.

(a) Effective July 1, 2003, the
county agency shall count $50 of the value of public and assisted rental subsidies provided
through the Department of Housing and Urban Development (HUD) as unearned income
to the deleted text begincashdeleted text end new text beginMFIP new text endportion of the deleted text beginMFIPdeleted text end grant. The full amount of the subsidy must be
counted as unearned income when the subsidy is less than $50. The income from this
subsidy shall be budgeted according to section 256J.34.

(b) The provisions of this subdivision shall not apply to an MFIP assistance unit
which includes a participant who is:

(1) age 60 or older;

(2) a caregiver who is suffering from an illness, injury, or incapacity that has been
certified by a qualified professional when the illness, injury, or incapacity is expected
to continue for more than 30 days and severely limits the person's ability to obtain or
maintain suitable employment; or

(3) a caregiver whose presence in the home is required due to the illness or
incapacity of another member in the assistance unit, a relative in the household, or a foster
child in the household when the illness or incapacity and the need for the participant's
presence in the home has been certified by a qualified professional and is expected to
continue for more than 30 days.

(c) The provisions of this subdivision shall not apply to an MFIP assistance unit
where the parental caregiver is an SSI recipient.

(d) Prior to implementing this provision, the commissioner must identify the MFIP
participants subject to this provision and provide written notice to these participants at
least 30 days before the first grant reduction. The notice must inform the participant of the
basis for the potential grant reduction, the exceptions to the provision, if any, and inform
the participant of the steps necessary to claim an exception. A person who is found not to
meet one of the exceptions to the provision must be notified and informed of the right to a
fair hearing under section 256J.40. The notice must also inform the participant that the
participant may be eligible for a rent reduction resulting from a reduction in the MFIP
grant and encourage the participant to contact the local housing authority.

Sec. 14.

Minnesota Statutes 2010, section 256J.42, is amended to read:


256J.42 60-MONTH TIME LIMIT; EXEMPTIONS.

Subdivision 1.

Time limit.

(a) Except as otherwise provided for in this section, an
assistance unit in which any adult caregiver has received 60 months of cash assistance
new text begin or assistance new text endfunded in whole or in part by the TANF block grant in this or any other state
or United States territory, or from a tribal TANF program, MFIP, the AFDC program
formerly codified in sections 256.72 to 256.87, or the family general assistance program
formerly codified in sections 256D.01 to 256D.23, funded in whole or in part by state
appropriations, is ineligible to receive MFIP. Any deleted text begincashdeleted text end assistance funded with TANF
dollars in this or any other state or United States territory, or from a tribal TANF program,
or MFIP assistance funded in whole or in part by state appropriations, that was received
by the unit on or after the date TANF was implemented, including any assistance received
in states or United States territories of prior residence, counts toward the 60-month
limitation. Months during which any deleted text begincashdeleted text end assistance is received by an assistance unit
with a mandatory member who is disqualified for wrongfully obtaining public assistance
under section 256.98, subdivision 8, counts toward the time limit for the disqualified
member. The 60-month limit applies to a minor caregiver except under subdivision 5. The
60-month time period does not need to be consecutive months for this provision to apply.

(b) The months before July 1998 in which individuals received assistance as part of
the field trials as an MFIP, MFIP-R, or MFIP or MFIP-R comparison group family are
not included in the 60-month time limit.

Subd. 3.

Adults living in Indian country.

In determining the number of months
for which an adult has received assistance under MFIP, the county agency must disregard
any month during which the adult lived in Indian country if during the month at least 50
percent of the adults living in Indian country were not employed.

Subd. 4.

Victims of family violence.

Any deleted text begincashdeleted text end assistance received by an assistance
unit in a month when a caregiver complied with a safety plan, an alternative employment
plan, or an employment plan under section 256J.521, subdivision 3, does not count toward
the 60-month limitation on assistance.

Subd. 5.

Exemption for certain families.

(a) Any deleted text begincashdeleted text end assistance received by an
assistance unit does not count toward the 60-month limit on assistance during a month
in which the caregiver is age 60 or older.

(b) From July 1, 1997, until the date MFIP is operative in the caregiver's county of
financial responsibility, any deleted text begincashdeleted text end assistance received by a caregiver who is complying with
Minnesota Statutes 1996, section 256.73, subdivision 5a, and Minnesota Statutes 1998,
section 256.736, if applicable, does not count toward the 60-month limit on assistance.
Thereafter, any deleted text begincashdeleted text end assistance received by a minor caregiver who is complying with
the requirements of sections 256J.14 and 256J.54, if applicable, does not count towards
the 60-month limit on assistance.

(c) Any diversionary assistance or emergency assistance received prior to July 1,
2003, does not count toward the 60-month limit.

(d) Any deleted text begincashdeleted text end assistance received by an 18- or 19-year-old caregiver who is
complying with an employment plan that includes an education option under section
256J.54 does not count toward the 60-month limit.

(e) Payments provided to meet short-term emergency needs under section 256J.626
and diversionary work program benefits provided under section 256J.95 do not count
toward the 60-month time limit.

Subd. 6.

Case review.

(a) Within 180 days, but not less than 60 days, before the end
of the participant's 60th month on assistance, the county agency or job counselor must
review the participant's case to determine if the employment plan is still appropriate and
attempt to meet with the participant face-to-face.

(b) During the face-to-face meeting, a county agency or the job counselor must:

(1) inform the participant how many months of counted assistance the participant
has accrued and when the participant is expected to reach the 60th month;

(2) explain the hardship extension criteria under section 256J.425 and what the
participant should do if the participant thinks a hardship extension applies;

(3) identify other resources that may be available to the participant to meet the
needs of the family; and

(4) inform the participant of the right to appeal the case closure under section
256J.40.

(c) If a face-to-face meeting is not possible, the county agency must send the
participant a notice of adverse action as provided in section 256J.31, subdivisions 4 and 5.

(d) Before a participant's case is closed under this section, the county must ensure
that:

(1) the case has been reviewed by the job counselor's supervisor or the review team
designated by the county to determine if the criteria for a hardship extension, if requested,
were applied appropriately; and

(2) the county agency or the job counselor attempted to meet with the participant
face-to-face.

Sec. 15.

Minnesota Statutes 2010, section 256J.46, subdivision 1, is amended to read:


Subdivision 1.

Participants not complying with program requirements.

(a)
A participant who fails without good cause under section 256J.57 to comply with the
requirements of this chapter, and who is not subject to a sanction under subdivision 2,
shall be subject to a sanction as provided in this subdivision. Prior to the imposition of
a sanction, a county agency shall provide a notice of intent to sanction under section
256J.57, subdivision 2, and, when applicable, a notice of adverse action as provided
in section 256J.31.

(b) A sanction under this subdivision becomes effective the month following the
month in which a required notice is given. A sanction must not be imposed when a
participant comes into compliance with the requirements for orientation under section
256J.45 prior to the effective date of the sanction. A sanction must not be imposed
when a participant comes into compliance with the requirements for employment and
training services under sections 256J.515 to 256J.57 ten days prior to the effective date
of the sanction. For purposes of this subdivision, each month that a participant fails to
comply with a requirement of this chapter shall be considered a separate occurrence of
noncompliance. If both participants in a two-parent assistance unit are out of compliance
at the same time, it is considered one occurrence of noncompliance.

(c) Sanctions for noncompliance shall be imposed as follows:

(1) For the first occurrence of noncompliance by a participant in an assistance unit,
the assistance unit's grant shall be reduced by ten percent of the MFIP standard of need
for an assistance unit of the same size with the residual grant paid to the participant. The
reduction in the grant amount must be in effect for a minimum of one month and shall be
removed in the month following the month that the participant returns to compliance.

(2) For a second, third, fourth, fifth, or sixth occurrence of noncompliance by a
participant in an assistance unit, the assistance unit's shelter costs shall be vendor paid
up to the amount of the deleted text begincashdeleted text end new text beginMFIP new text endportion of the deleted text beginMFIPdeleted text end grant for which the assistance
unit is eligible. At county option, the assistance unit's utilities may also be vendor paid
up to the amount of the deleted text begincashdeleted text end new text beginMFIP new text endportion of the deleted text beginMFIPdeleted text end grant remaining after vendor
payment of the assistance unit's shelter costs. The residual amount of the grant after
vendor payment, if any, must be reduced by an amount equal to 30 percent of the MFIP
standard of need for an assistance unit of the same size before the residual grant is paid to
the assistance unit. The reduction in the grant amount must be in effect for a minimum of
one month and shall be removed in the month following the month that the participant in
a one-parent assistance unit returns to compliance. In a two-parent assistance unit, the
grant reduction must be in effect for a minimum of one month and shall be removed
in the month following the month both participants return to compliance. The vendor
payment of shelter costs and, if applicable, utilities shall be removed six months after the
month in which the participant or participants return to compliance. If an assistance unit is
sanctioned under this clause, the participant's case file must be reviewed to determine if
the employment plan is still appropriate.

(d) For a seventh occurrence of noncompliance by a participant in an assistance unit,
or when the participants in a two-parent assistance unit have a total of seven occurrences
of noncompliance, the county agency shall close the MFIP assistance unit's financial
assistance case, both the deleted text begincashdeleted text end new text beginMFIP new text endand food portions, and redetermine the family's
continued eligibility for food support payments. The MFIP case must remain closed for a
minimum of one full month. Before the case is closed, the county agency must review
the participant's case to determine if the employment plan is still appropriate and attempt
to meet with the participant face-to-face. The participant may bring an advocate to the
face-to-face meeting. If a face-to-face meeting is not conducted, the county agency must
send the participant a written notice that includes the information required under clause (1).

(1) During the face-to-face meeting, the county agency must:

(i) determine whether the continued noncompliance can be explained and mitigated
by providing a needed preemployment activity, as defined in section 256J.49, subdivision
13
, clause (9);

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

(iii) determine whether the work activities in the employment plan are appropriate
based on the criteria in section 256J.521, subdivision 2 or 3;

(iv) determine whether the participant qualifies for the family violence waiver;

(v) inform the participant of the participant's sanction status and explain the
consequences of continuing noncompliance;

(vi) identify other resources that may be available to the participant to meet the
needs of the family; and

(vii) inform the participant of the right to appeal under section 256J.40.

(2) If the lack of an identified activity or service can explain the noncompliance, the
county must work with the participant to provide the identified activity.

(3) The grant must be restored to the full amount for which the assistance unit is
eligible retroactively to the first day of the month in which the participant was found to
lack preemployment activities or to qualify for a family violence waiver or for a good
cause exemption under section 256.741, subdivision 10, or 256J.57.

(e) For the purpose of applying sanctions under this section, only occurrences of
noncompliance that occur after July 1, 2003, shall be considered. If the participant is in
30 percent sanction in the month this section takes effect, that month counts as the first
occurrence for purposes of applying the sanctions under this section, but the sanction
shall remain at 30 percent for that month.

(f) An assistance unit whose case is closed under paragraph (d) or (g), may
reapply for MFIP and shall be eligible if the participant complies with MFIP program
requirements and demonstrates compliance for up to one month. No assistance shall be
paid during this period.

(g) An assistance unit whose case has been closed for noncompliance, that reapplies
under paragraph (f), is subject to sanction under paragraph (c), clause (2), for a first
occurrence of noncompliance. Any subsequent occurrence of noncompliance shall result
in case closure under paragraph (d).

Sec. 16.

Minnesota Statutes 2010, section 256J.50, subdivision 6, is amended to read:


Subd. 6.

Explanatory materials required.

The county must:

(1) explain to applicants and recipients and provide explanatory materials regarding
the relationship between the 60-month time limit on assistance funded with TANF dollars
and the receipt of various benefits, including deleted text begincashdeleted text end assistance, food stamps or food support,
medical assistance, and child care assistance; and

(2) provide assistance to applicants and recipients to enable them to minimize the
use of their 60 allowable months of TANF-funded assistance.

Sec. 17.

Minnesota Statutes 2010, section 256J.626, subdivision 2, is amended to read:


Subd. 2.

Allowable expenditures.

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

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

(2) transportation needed to obtain or retain employment or to participate in other
approved work activities or activities under a family stabilization plan;

(3) direct and administrative costs of staff to deliver employment services for
MFIP, the diversionary work program, or family stabilization services; to administer
financial assistance; and to provide specialized services intended to assist hard-to-employ
participants to transition to work or transition from family stabilization services to MFIP;

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

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

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

(7) services to parenting and pregnant teens;

(8) supported work;

(9) wage subsidies;

(10) child care needed for MFIP, the diversionary work program, or family
stabilization services participants to participate in social services;

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

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

(13) services to help families participating in family stabilization services achieve
the greatest possible degree of self-sufficiency.

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

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

Sec. 18.

Minnesota Statutes 2010, section 256J.68, subdivision 1, is amended to read:


Subdivision 1.

Applicability.

(a) This section must be used to determine payment of
any claims resulting from an alleged injury or death of a person participating in a county
or a tribal community work experience program that is approved by the commissioner
and is operated by:

(1) the county agency;

(2) the tribe;

(3) a department of the state; or

(4) a community-based organization under contract, prior to April 1, 1997, with
a county agency to provide a community work experience program or a food stamp
community work experience program, provided the organization has not experienced any
individual injury loss or claim greater than $1,000.

(b) This determination method is available to the community-based organization
under paragraph (a), clause (4), only for claims incurred by participants in the community
work experience program or the food stamp community work experience program.

(c) This determination method applies to work experience programs authorized by
the commissioner for persons applying for or receiving deleted text begincashdeleted text end new text beginMFIP new text endassistance and food
stamps, and to the Minnesota parent's fair share program, in a county with an approved
community investment program for obligors.

Sec. 19.

Minnesota Statutes 2010, section 256J.69, subdivision 1, is amended to read:


Subdivision 1.

Establishing the grant diversion program.

(a) County agencies
may develop grant diversion programs for MFIP participants participating in employment
and training services. A county agency that chooses to provide grant diversion may divert
to an employer part or all of the MFIP deleted text begincashdeleted text end payment for the participant's assistance unit,
in compliance with federal regulations and laws. Such payments to an employer are
to subsidize employment for MFIP participants as an alternative to public assistance
payments.

(b) In addition to diverting the MFIP grant to the employer, employment and training
funds may be used to subsidize the grant diversion placement.

(c) Participants in grant diversion shall be compensated by the employer at the
same rates, including periodic increases, as similarly situated employees or trainees and
in accordance with applicable law, but in no event less than the federal or applicable
state minimum wage, whichever is higher.

Sec. 20.

Minnesota Statutes 2010, section 256J.77, is amended to read:


256J.77 AGING OF CASH BENEFITS.

deleted text begin Cashdeleted text end Benefits under chapters 256D, 256J, and 256K, except food stamp benefits
under chapter 256D, deleted text beginby warrantsdeleted text end or electronic benefit deleted text begintransferdeleted text endnew text begin transfersnew text end that have not been
accessed within 90 days of issuance shall be canceled. deleted text beginCashdeleted text end Benefits may be replaced
after they are canceled, for up to one year after the date of issuance, if failure to do so
would place the client or family at risk. For purposes of this section, "accessed" means
deleted text begin cashing a warrant ordeleted text end making at least one deleted text beginwithdrawal fromdeleted text end new text beginpurchase with new text endbenefits deposited
in an electronic benefit account.

Sec. 21.

Minnesota Statutes 2010, section 256J.95, subdivision 3, is amended to read:


Subd. 3.

Eligibility for diversionary work program.

(a) Except for the categories
of family units listed below, all family units who apply for deleted text begincashdeleted text end benefits and who meet
MFIP eligibility as required in sections 256J.11 to 256J.15 are eligible and must participate
in the diversionary work program. Family units or individuals that are not eligible for
the diversionary work program include:

(1) child only cases;

(2) a single-parent family unit that includes a child under 12 months of age. A parent
is eligible for this exception once in a parent's lifetime;

(3) a minor parent without a high school diploma or its equivalent;

(4) an 18- or 19-year-old caregiver without a high school diploma or its equivalent
who chooses to have an employment plan with an education option;

(5) a caregiver age 60 or over;

(6) family units with a caregiver who received DWP benefits in the 12 months prior
to the month the family applied for DWP, except as provided in paragraph (c);

(7) family units with a caregiver who received MFIP within the 12 months prior to
the month the family unit applied for DWP;

(8) a family unit with a caregiver who received 60 or more months of TANF
assistance;

(9) a caregiver who is disqualified from the work participation deleted text begincashdeleted text end benefit program,
DWP, or MFIP due to fraud; and

(10) refugees and asylees as defined in Code of Federal Regulations, title 45, part
400, subpart d, section 400.43, who arrived in the United States in the 12 months prior to
the date of application for family deleted text begincashdeleted text end assistance.

(b) A two-parent family must participate in DWP unless both caregivers meet the
criteria for an exception under paragraph (a), clauses (1) through (5), or the family unit
includes a parent who meets the criteria in paragraph (a), clause (6), (7), (8), (9), or (10).

(c) Once DWP eligibility is determined, the four months run consecutively. If a
participant leaves the program for any reason and reapplies during the four-month period,
the county must redetermine eligibility for DWP.

Sec. 22.

Minnesota Statutes 2010, section 256J.95, subdivision 7, is amended to read:


Subd. 7.

Program and processing standards.

(a) The interview to determine
financial eligibility for the diversionary work program must be conducted within five
working days of the receipt of the deleted text begincashdeleted text end application form. During the intake interview,
the financial worker must discuss:

(1) the goals, requirements, and services of the diversionary work program;

(2) the availability of child care assistance. If child care is needed, the worker must
obtain a completed application for child care from the applicant before the interview
is terminated. The same day the application for child care is received, the application
must be forwarded to the appropriate child care worker. For purposes of eligibility for
child care assistance under chapter 119B, DWP participants shall be eligible for the same
benefits as MFIP recipients; and

(3) if the applicant has not requested food support and health care assistance on the
application, the county agency shall, during the interview process, talk with the applicant
about the availability of these benefits.

(b) The county shall follow section 256J.74, subdivision 2, paragraph (b), clauses
(1) and (2), when an applicant or a recipient of DWP has a person who is a member of
more than one assistance unit in a given payment month.

(c) If within 30 days the county agency cannot determine eligibility for the
diversionary work program, the county must deny the application and inform the applicant
of the decision according to the notice provisions in section 256J.31. A family unit is
eligible for a fair hearing under section 256J.40.

Sec. 23.

Minnesota Statutes 2010, section 256J.95, subdivision 10, is amended to read:


Subd. 10.

Diversionary work program grant.

(a) The amount of deleted text begincashdeleted text end benefits that
a family unit is eligible for under the diversionary work program is based on the number
of persons in the family unit, the family maintenance needs, personal needs allowance,
and countable income. The county agency shall evaluate the income of the family unit
that is requesting payments under the diversionary work program. Countable income
means gross earned and unearned income not excluded or disregarded under MFIP.
The same disregards for earned income that are allowed under MFIP are allowed for
the diversionary work program.

(b) The DWP grant is based on the family maintenance needs for which the DWP
family unit is responsible plus a personal needs allowance. Housing and utilities, except
for telephone service, shall be vendor paid. Unless otherwise stated in this section, actual
housing and utility expenses shall be used when determining the amount of the DWP grant.

(c) The maximum monthly benefit amount available under the diversionary work
program is the difference between the family unit's needs under paragraph (b) and the
family unit's countable income not to exceed the deleted text begincashdeleted text end new text beginMFIP new text endportion of the deleted text beginMFIPdeleted text end standard
of need as defined in section 256J.08, subdivision 55a, for the family unit's size.

(d) Once the county has determined a grant amount, the DWP grant amount will
not be decreased if the determination is based on the best information available at the
time of approval and shall not be decreased because of any additional income to the
family unit. The grant must be increased if a participant later verifies an increase in family
maintenance needs or family unit size. The minimum deleted text begincashdeleted text end benefit amount, if income and
asset tests are met, is $10. Benefits of $10 deleted text beginshall notdeleted text end new text beginmust new text endbe deleted text beginvendor paiddeleted text endnew text begin provided by
electronic benefit transfer
new text end.

(e) When all criteria are met, including the development of an employment plan as
described in subdivision 14 and eligibility exists for the month of application, the amount
of benefits for the diversionary work program retroactive to the date of application is as
specified in section 256J.35, paragraph (a).

(f) Any month during the four-month DWP period that a person receives a DWP
benefit directly or through a vendor payment made on the person's behalf, that person is
ineligible for MFIP or any other TANF deleted text begincashdeleted text end assistance program except for benefits defined
in section 256J.626, subdivision 2, clause (1).

If during the four-month period a family unit that receives DWP benefits moves to
a county that has not established a diversionary work program, the family unit may be
eligible for MFIP the month following the last month of the issuance of the DWP benefit.

Sec. 24.

Minnesota Statutes 2010, section 256J.95, subdivision 12, is amended to read:


Subd. 12.

Conversion or referral to MFIP.

(a) If at any time during the DWP
application process or during the four-month DWP eligibility period, it is determined
that a participant is unlikely to benefit from the diversionary work program, the county
shall convert or refer the participant to MFIP as specified in paragraph (d). Participants
who are determined to be unlikely to benefit from the diversionary work program must
develop and sign an employment plan.

(b) A participant who meets the eligibility requirements under section 256J.575,
subdivision 3, must be considered to be unlikely to benefit from DWP, provided the
necessary documentation is available to support the determination.

(c) In a two-parent family unit, if one parent is determined to be unlikely to benefit
from the diversionary work program, the family unit must be converted or referred
to MFIP.

(d) A participant who is determined to be unlikely to benefit from the diversionary
work program shall be converted to MFIP and, if the determination was made within 30
days of the initial application for benefits, no additional application form is required.
A participant who is determined to be unlikely to benefit from the diversionary work
program shall be referred to MFIP and, if the determination is made more than 30
days after the initial application, the participant must submit a program change request
form. The county agency shall process the program change request form by the first of
the following month to ensure that no gap in benefits is due to delayed action by the
county agency. In processing the program change request form, the county must follow
section 256J.32, subdivision 1, except that the county agency shall not require additional
verification of the information in the case file from the DWP application unless the
information in the case file is inaccurate, questionable, or no longer current.

(e) The county shall not request a combined application form for a participant who
has exhausted the four months of the diversionary work program, has continued need for
deleted text begin cashdeleted text end new text beginMFIP new text endand food assistance, and has completed, signed, and submitted a program
change request form within 30 days of the fourth month of the diversionary work program.
The county must process the program change request according to section 256J.32,
subdivision 1
, except that the county agency shall not require additional verification of
information in the case file unless the information is inaccurate, questionable, or no longer
current. When a participant does not request MFIP within 30 days of the diversionary
work program benefits being exhausted, a new combined application form must be
completed for any subsequent request for MFIP.

Sec. 25.

Minnesota Statutes 2010, section 256J.95, subdivision 18, is amended to read:


Subd. 18.

Reinstatement following disqualification.

A participant who has been
disqualified from the diversionary work program due to noncompliance with employment
services may regain eligibility for the diversionary work program by complying with
program requirements. A participant who has been disqualified from the diversionary work
program due to noncooperation with child support enforcement requirements may regain
eligibility by complying with child support requirements under section 256.741. Once a
participant has been reinstated, the county shall issue prorated benefits for the remaining
portion of the month. A family unit that has been disqualified from the diversionary work
program due to noncompliance shall not be eligible for MFIP or any other TANF deleted text begincashdeleted text end
program for the remainder of the four-month period. In a two-parent family, both parents
must be in compliance before the family unit can regain eligibility for benefits.