SF 703

as introduced - 87th Legislature (2011 - 2012) Posted on 06/06/2012 02:37pm

A bill for an act
relating to human services; streamlining county duties; amending Minnesota
Statutes 2010, sections 119B.09, by adding a subdivision; 256B.69, by adding
a subdivision; 256D.09, subdivision 6; 256D.49, subdivision 3; 256J.38,
subdivision 1; 393.07, subdivision 10; proposing coding for new law in
Minnesota Statutes, chapter 256; repealing Minnesota Rules, part 9500.1243,
subpart 3.

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

Section 1.

Minnesota Statutes 2010, section 119B.09, is amended by adding a
subdivision to read:

new text begin Subd. 4b. new text end

new text begin Electronic verification. new text end

new text begin County agencies are authorized to use all
automated databases containing information regarding recipients' or applicants' income
in order to determine eligibility for the child care assistance under this chapter. The
information is sufficient to determine eligibility.
new text end

Sec. 2.

new text begin [256.0145] COMPUTER SYSTEM SIMPLIFICATION.
new text end

new text begin Subdivision 1. new text end

new text begin Reprogram MAXIS. new text end

new text begin The commissioner of human services, as part
of the enterprise architecture project, shall reprogram the MAXIS computer system to
automatically apply child support payments entered into the PRISM computer system to
a MAXIS case file.
new text end

new text begin Subd. 2. new text end

new text begin Program the social service information system. new text end

new text begin The commissioner of
human services shall require all prepaid health plans to accept a billing format identical to
the MMIS billing format for payment to county agencies for mental health targeted case
management claims, elderly waiver claims, and other claim categories as added to the
benefit set. The commissioner shall make any necessary changes to the SSIS system to
bill prepaid health plans for those claims.
new text end

Sec. 3.

new text begin [256.0147] COUNTY ELECTRONIC VERIFICATION TO DETERMINE
ELIGIBILITY.
new text end

new text begin County agencies are authorized to use all automated databases containing
information regarding recipients' or applicants' income in order to determine eligibility
for child support enforcement, general assistance, Minnesota supplemental aid, and
programs, services, and supports under chapter 256J. The information is sufficient to
determine eligibility. State and county caseworkers shall not be cited in error, as part of
any audit and quality review, for an incorrect eligibility determination based on current but
inaccurate information received through a state-approved electronic data source. If there
is a potential error, the reviewer must forward a corrective action notice to the caseworker
for proper and immediate correction. If the state or county caseworker has data available
through client reporting, or other means, that are more accurate than state-approved
electronic data, the caseworker should use the more accurate information in making the
eligibility determination.
new text end

Sec. 4.

Minnesota Statutes 2010, section 256B.69, is amended by adding a subdivision
to read:

new text begin Subd. 30. new text end

new text begin Provision of required materials in alternative formats. new text end

new text begin (a) For the
purposes of this subdivision, "alternative format" means a medium other than paper and
"prepaid health plan" means managed care plans and county-based purchasing plans.
new text end

new text begin (b) A prepaid health plan may provide in an alternative format a provider directory
and certificate of coverage, or materials otherwise required to be available in writing
under Code of Federal Regulations, title 42, section 438.10, or under the commissioner's
contract with the prepaid health plan, if the following conditions are met:
new text end

new text begin (1) the prepaid health plan, local agency, or commissioner, as applicable, informs the
enrollee that:
new text end

new text begin (i) provision in an alternative format is available and the enrollee affirmatively
requests of the prepaid health plan that the provider directory, certificate of coverage,
or materials otherwise required under Code of Federal Regulations, title 42, section
438.10, or under the commissioner's contract with the prepaid health plan be provided in
an alternative format; and
new text end

new text begin (ii) a record of the enrollee request is retained by the prepaid health plan in the
form of written direction from the enrollee or a documented telephone call followed by a
confirmation letter to the enrollee from the prepaid health plan that explains that the
enrollee may change the request at any time;
new text end

new text begin (2) the materials are sent to a secured mailbox and are made available at a
password-protected secured Web site or on a data storage device if the materials contain
enrollee data that is individually identifiable;
new text end

new text begin (3) the enrollee is provided a customer service number on the enrollee's membership
card that may be called to request a paper version of the materials provided in an
alternative format; and
new text end

new text begin (4) the materials provided in an alternative format meets all other requirements of
the commissioner regarding content, size of the typeface, and any required time frames
for distribution. "Required time frames for distribution" must permit sufficient time for
prepaid health plans to distribute materials in alternative formats upon receipt of enrollees'
requests for such materials.
new text end

new text begin (c) A prepaid health plan may provide in an alternative format its primary care
network list to the commissioner and to local agencies within its service area. The
commissioner or local agency, as applicable, shall inform a potential enrollee of the
availability of a prepaid health plan's primary care network list in an alternative format. If
the potential enrollee requests an alternative format of the prepaid health plan's primary
care network list, a record of that request shall be retained by the commissioner or local
agency. The potential enrollee is permitted to withdraw the request at any time.
new text end

new text begin The prepaid health plan shall submit sufficient paper versions of the primary
care network list to the commissioner and to local agencies within its service area to
accommodate potential enrollee requests for paper versions of the primary care network
list.
new text end

new text begin (d) A prepaid health plan may provide in an alternative format materials otherwise
required to be available in writing under Code of Federal Regulations, title 42, section
438.10, or under the commissioner's contract with the prepaid health plan, if the conditions
of paragraphs (b), (c), and (e), are met for persons who are:
new text end

new text begin (1) enrolled in integrated Medicare and Medicaid programs under subdivisions
23 and 28;
new text end

new text begin (2) enrolled in managed care long-term care programs under subdivision 6b;
new text end

new text begin (3) dually eligible for Medicare and medical assistance; or
new text end

new text begin (4) in the waiting period for Medicare.
new text end

new text begin (e) The commissioner shall seek any federal Medicaid waivers within 90 days after
the effective date of this subdivision that are necessary to provide alternative formats of
required material to enrollees of prepaid health plans as authorized under this subdivision.
new text end

new text begin (f) The commissioner shall consult with managed care plans, county-based
purchasing plans, counties, and other interested parties to determine how materials
required to be made available to enrollees under Code of Federal Regulations, title 42,
section 438.10, or under the commissioner's contract with a prepaid health plan may
be provided in an alternative format on the basis that the enrollee has not opted in to
receive the alternative format. The commissioner shall consult with managed care
plans, county-based purchasing plans, counties, and other interested parties to develop
recommendations relating to the conditions that must be met for an opt-out process
to be granted.
new text end

Sec. 5.

Minnesota Statutes 2010, section 256D.09, subdivision 6, is amended to read:

Subd. 6.

Recovery of overpayments.

(a) If an amount of general assistance or
family general assistance is paid to a recipient in excess of the payment due, it shall be
recoverable by the county agency. The agency shall give written notice to the recipient of
its intention to recover the overpayment.

(b) new text begin Except as provided for interim assistance in section 256D.06, subdivision
5, new text end when an overpayment occurs, the county agency shall recover the overpayment
from a current recipient by reducing the amount of aid payable to the assistance unit of
which the recipient is a member, for one or more monthly assistance payments, until
the overpayment is repaid. All county agencies in the state shall reduce the assistance
payment by three percent of the assistance unit's standard of need in nonfraud cases and
ten percent where fraud has occurred, or the amount of the monthly payment, whichever is
less, for all overpayments.

(c) In cases when there is both an overpayment and underpayment, the county
agency shall offset one against the other in correcting the payment.

(d) Overpayments may also be voluntarily repaid, in part or in full, by the individual,
in addition to the aid reductions provided in this subdivision, to include further voluntary
reductions in the grant level agreed to in writing by the individual, until the total amount
of the overpayment is repaid.

(e) The county agency shall make reasonable efforts to recover overpayments to
persons no longer on assistance under standards adopted in rule by the commissioner
of human services. The county agency need not attempt to recover overpayments of
less than $35 paid to an individual no longer on assistance if the individual does not
receive assistance again within three years, unless the individual has been convicted of
violating section 256.98.

new text begin (f) Establishment of an overpayment is limited to 12 months prior to the month of
discovery due to agency error and six years prior to the month of discovery due to client
error or an intentional program violation determined under section 256.046.
new text end

Sec. 6.

Minnesota Statutes 2010, section 256D.49, subdivision 3, is amended to read:

Subd. 3.

Overpayment of monthly grants and recovery of ATM errors.

new text begin (a) new text end When
the county agency determines that an overpayment of the recipient's monthly payment
of Minnesota supplemental aid has occurred, it shall issue a notice of overpayment
to the recipient. If the person is no longer receiving Minnesota supplemental aid, the
county agency may request voluntary repayment or pursue civil recovery. If the person is
receiving Minnesota supplemental aid, the county agency shall recover the overpayment
by withholding an amount equal to three percent of the standard of assistance for the
recipient or the total amount of the monthly grant, whichever is less.

new text begin (b) Establishment of an overpayment is limited to 12 months from the date of
discovery due to agency error and six years due to client error. No limit applies to the
establishment period if the overpayment is due to an intentional program violation or if
the client wrongfully obtained assistance.
new text end

new text begin (c) new text end For recipients receiving benefits via electronic benefit transfer, if the overpayment
is a result of an automated teller machine (ATM) dispensing funds in error to the recipient,
the agency may recover the ATM error by immediately withdrawing funds from the
recipient's electronic benefit transfer account, up to the amount of the error.

new text begin (d) new text end Residents of deleted text begin nursing homes, regional treatment centers, and deleted text end new text begin licensed residential
new text end facilities deleted text begin with negotiated rates deleted text end shall not have overpayments recovered from their personal
needs allowance.

Sec. 7.

Minnesota Statutes 2010, section 256J.38, subdivision 1, is amended to read:

Subdivision 1.

Scope of overpayment.

new text begin (a) new text end When a participant or former participant
receives an overpayment due to agency, client, or ATM error, or due to assistance received
while an appeal is pending and the participant or former participant is determined
ineligible for assistance or for less assistance than was received, the county agency must
recoup or recover the overpayment using the following methods:

(1) reconstruct each affected budget month and corresponding payment month;

(2) use the policies and procedures that were in effect for the payment month; and

(3) do not allow employment disregards in section 256J.21, subdivision 3 or 4, in the
calculation of the overpayment when the unit has not reported within two calendar months
following the end of the month in which the income was received.

new text begin (b) Establishment of an overpayment is limited to 12 months prior to the month of
discovery due to agency error and six years prior to the month of discovery due to client
error or an intentional program violation determined under section 256.046.
new text end

Sec. 8.

Minnesota Statutes 2010, section 393.07, subdivision 10, is amended to read:

Subd. 10.

Food stamp program; Maternal and Child Nutrition Act.

(a) The local
social services agency shall establish and administer the food stamp program according
to rules of the commissioner of human services, the supervision of the commissioner as
specified in section 256.01, and all federal laws and regulations. The commissioner of
human services shall monitor food stamp program delivery on an ongoing basis to ensure
that each county complies with federal laws and regulations. Program requirements to be
monitored include, but are not limited to, number of applications, number of approvals,
number of cases pending, length of time required to process each application and deliver
benefits, number of applicants eligible for expedited issuance, length of time required
to process and deliver expedited issuance, number of terminations and reasons for
terminations, client profiles by age, household composition and income level and sources,
and the use of phone certification and home visits. The commissioner shall determine the
county-by-county and statewide participation rate.

(b) On July 1 of each year, the commissioner of human services shall determine a
statewide and county-by-county food stamp program participation rate. The commissioner
may designate a different agency to administer the food stamp program in a county if the
agency administering the program fails to increase the food stamp program participation
rate among families or eligible individuals, or comply with all federal laws and regulations
governing the food stamp program. The commissioner shall review agency performance
annually to determine compliance with this paragraph.

(c) A person who commits any of the following acts has violated section 256.98 or
609.821, or both, and is subject to both the criminal and civil penalties provided under
those sections:

(1) obtains or attempts to obtain, or aids or abets any person to obtain by means of a
willful statement or misrepresentation, or intentional concealment of a material fact, food
stamps or vouchers issued according to sections 145.891 to 145.897 to which the person
is not entitled or in an amount greater than that to which that person is entitled or which
specify nutritional supplements to which that person is not entitled; or

(2) presents or causes to be presented, coupons or vouchers issued according to
sections 145.891 to 145.897 for payment or redemption knowing them to have been
received, transferred or used in a manner contrary to existing state or federal law; or

(3) willfully uses, possesses, or transfers food stamp coupons, authorization to
purchase cards or vouchers issued according to sections 145.891 to 145.897 in any manner
contrary to existing state or federal law, rules, or regulations; or

(4) buys or sells food stamp coupons, authorization to purchase cards, other
assistance transaction devices, vouchers issued according to sections 145.891 to 145.897,
or any food obtained through the redemption of vouchers issued according to sections
145.891 to 145.897 for cash or consideration other than eligible food.

(d) A peace officer or welfare fraud investigator may confiscate food stamps,
authorization to purchase cards, or other assistance transaction devices found in the
possession of any person who is neither a recipient of the food stamp program nor
otherwise authorized to possess and use such materials. Confiscated property shall be
disposed of as the commissioner may direct and consistent with state and federal food
stamp law. The confiscated property must be retained for a period of not less than 30 days
to allow any affected person to appeal the confiscation under section 256.045.

(e) deleted text begin Food stamp overpayment claims which are due in whole or in part to client error
shall be established by the county agency for a period of six years from the date of any
resultant overpayment deleted text end new text begin Establishment of an overpayment is limited to 12 months prior to
the month of discovery due to agency error and six years prior to the month of discovery
due to client error or an intentional program violation determined under section 256.046 new text end .

(f) With regard to the federal tax revenue offset program only, recovery incentives
authorized by the federal food and consumer service shall be retained at the rate of 50
percent by the state agency and 50 percent by the certifying county agency.

(g) A peace officer, welfare fraud investigator, federal law enforcement official,
or the commissioner of health may confiscate vouchers found in the possession of any
person who is neither issued vouchers under sections 145.891 to 145.897, nor otherwise
authorized to possess and use such vouchers. Confiscated property shall be disposed of
as the commissioner of health may direct and consistent with state and federal law. The
confiscated property must be retained for a period of not less than 30 days.

(h) The commissioner of human services may seek a waiver from the United States
Department of Agriculture to allow the state to specify foods that may and may not be
purchased in Minnesota with benefits funded by the federal Food Stamp Program. The
commissioner shall consult with the members of the house of representatives and senate
policy committees having jurisdiction over food support issues in developing the waiver.
The commissioner, in consultation with the commissioners of health and education, shall
develop a broad public health policy related to improved nutrition and health status. The
commissioner must seek legislative approval prior to implementing the waiver.

Sec. 9. new text begin ALIGNMENT OF VERIFICATION AND REDETERMINATION
POLICIES.
new text end

new text begin The commissioner of human services shall develop recommendations to align
eligibility verification procedures for all health care, economic assistance, food support,
child support enforcement, and child care programs. The commissioner shall report back
to the chairs of the legislative committees with jurisdiction over these issues by January
15, 2012, with recommendations and draft legislation to implement the alignment of
eligibility verifications.
new text end

Sec. 10. new text begin ALTERNATIVE STRATEGIES FOR CERTAIN
REDETERMINATIONS.
new text end

new text begin The commissioner of human services shall develop and implement by January 15,
2012, a simplified process to redetermine eligibility for recipient populations in the medical
assistance, Minnesota supplemental aid, food support, and group residential housing
programs who are eligible based upon disability, age, or chronic medical conditions, and
who are expected to experience minimal change in income or assets from month to month.
The commissioner shall apply for any federal waivers needed to implement this section.
new text end

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

new text begin Minnesota Rules, part 9500.1243, subpart 3, new text end new text begin is repealed.
new text end