Skip to main content Skip to office menu Skip to footer
Minnesota Legislature

Office of the Revisor of Statutes

Key: (1) language to be deleted (2) new language

  
    
KEY: stricken = old language to be removed
     underscored = new language to be added
    
                            CHAPTER 416-S.F.No. 1885 
                  An act relating to human services; clarifying foster 
                  care payment and placement; clarifying adoption 
                  assistance; defining egregious harm in the juvenile 
                  code; amending the parental rights termination 
                  statute; amending Minnesota Statutes 1994, sections 
                  256E.08, by adding a subdivision; 257.071, subdivision 
                  1a, and by adding subdivisions; 257.072, subdivisions 
                  1, 5, and 8; 257.0725; 259.29; 259.67, subdivisions 4 
                  and 6; 259.77; 260.015, by adding a subdivision; and 
                  260.181, subdivision 3; Minnesota Statutes 1995 
                  Supplement, sections 256.045, subdivision 3; and 
                  260.221, subdivision 1; Laws 1995, chapter 207, 
                  article 1, section 2, subdivision 4. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 1995 Supplement, section 
        256.045, subdivision 3, is amended to read: 
           Subd. 3.  [STATE AGENCY HEARINGS.] (a) State agency 
        hearings are available for the following:  (1) any person 
        applying for, receiving or having received public assistance or 
        a program of social services granted by the state agency or a 
        county agency under sections 252.32, 256.031 to 256.036, and 
        256.72 to 256.879, chapters 256B, 256D, 256E, 261, or the 
        federal Food Stamp Act whose application for assistance is 
        denied, not acted upon with reasonable promptness, or whose 
        assistance is suspended, reduced, terminated, or claimed to have 
        been incorrectly paid; (2) any patient or relative aggrieved by 
        an order of the commissioner under section 252.27; (3) a party 
        aggrieved by a ruling of a prepaid health plan; or (4) any 
        individual or facility determined by a lead agency to have 
        maltreated a vulnerable adult under section 626.557 after they 
        have exercised their right to administrative reconsideration 
        under section 626.557; (5) any person whose claim for foster 
        care payment pursuant to a placement of the child resulting from 
        a child protection assessment under section 626.556 is denied or 
        not acted upon with reasonable promptness, regardless of funding 
        source; or (6) any person to whom a right of appeal pursuant to 
        this section is given by other provision of law.  Individuals 
        and organizations specified in this section may contest the 
        specified action, decision, or final disposition before the 
        state agency by submitting a written request for a hearing to 
        the state agency within 30 days after receiving written notice 
        of the action, decision, or final disposition, or within 90 days 
        of such written notice if the applicant, recipient, patient, or 
        relative shows good cause why the request was not submitted 
        within the 30-day time limit. 
           The hearing for an individual or facility under clause (4) 
        is the only administrative appeal to the final lead agency 
        disposition specifically, including a challenge to the accuracy 
        and completeness of data under section 13.04.  
           For purposes of this section, bargaining unit grievance 
        procedures are not an administrative appeal. 
           The scope of hearings involving claims to foster care 
        payments under clause (5) shall be limited to the issue of 
        whether the county is legally responsible for a child's 
        placement under court order or voluntary placement agreement 
        and, if so, the correct amount of foster care payment to be made 
        on the child's behalf and shall not include review of the 
        propriety of the county's child protection determination or 
        child placement decision. 
           (b) Except for a prepaid health plan, a vendor of medical 
        care as defined in section 256B.02, subdivision 7, or a vendor 
        under contract with a county agency to provide social services 
        under section 256E.08, subdivision 4, is not a party and may not 
        request a hearing under this section, except if assisting a 
        recipient as provided in subdivision 4. 
           (c) An applicant or recipient is not entitled to receive 
        social services beyond the services included in the amended 
        community social services plan developed under section 256E.081, 
        subdivision 3, if the county agency has met the requirements in 
        section 256E.081. 
           Sec. 2.  Minnesota Statutes 1994, section 256E.08, is 
        amended by adding a subdivision to read: 
           Subd. 11.  [USE OF COMMUNITY SOCIAL SERVICES FUNDS FOR 
        FOSTER CARE.] If foster care services are described in a 
        county's community social services plan, the county may use 
        funds from its community social services fund to provide foster 
        care benefits on behalf of children for whom the county has 
        legal placement responsibility pursuant to court order or 
        voluntary placement agreement. 
           Sec. 3.  Minnesota Statutes 1994, section 257.071, 
        subdivision 1a, is amended to read: 
           Subd. 1a.  [PROTECTION OF HERITAGE OR BACKGROUND.] The 
        authorized child-placing agency shall ensure that the child's 
        best interests are met by giving due, not sole, consideration of 
        the child's race or ethnic heritage in making a family foster 
        care placement.  The authorized child-placing agency shall place 
        a child, released by court order or by voluntary release by the 
        parent or parents, in a family foster home selected by following 
        the preferences described in section 260.181, subdivision 3.  
           In instances where a child from a family of color is placed 
        in a family foster home of a different racial or ethnic 
        background, the local social service agency shall review the 
        placement after 30 days and each 30 days thereafter for the 
        first six months to determine if there is another available 
        placement that would better satisfy the requirements of this 
        subdivision.  When there is not a family foster home of the same 
        race or ethnic heritage available that can meet the needs of the 
        child, the agency must place the child in a home of a foster 
        family that is of different racial or ethnic heritage that can 
        meet the needs of the child.  Placement of a child cannot be 
        delayed or denied based solely on race. 
           Sec. 4.  Minnesota Statutes 1994, section 257.071, is 
        amended by adding a subdivision to read: 
           Subd. 9.  [FAIR HEARING REVIEW.] Any person whose claim for 
        foster care payment pursuant to the placement of a child 
        resulting from a child protection assessment under section 
        626.556 is denied or not acted upon with reasonable promptness 
        may appeal the decision under section 256.045, subdivision 3.  
        The application and fair hearing procedures set forth in the 
        administration of community social services rule, Minnesota 
        Rules, parts 9550.0070 to 9550.0092, do not apply to foster care 
        payment issues appealable under this subdivision. 
           Sec. 5.  Minnesota Statutes 1994, section 257.071, is 
        amended by adding a subdivision to read: 
           Subd. 10.  [RULES; FOSTER CARE FAIR HEARINGS.] The 
        commissioner shall review and, where necessary, revise foster 
        care rules to ensure that the rules provide adequate guidance 
        for implementation of foster care fair hearings, pursuant to 
        section 256.045, subdivision 3, clause (5), that comply with all 
        applicable federal requirements and the requirements of section 
        256.045. 
           Sec. 6.  Minnesota Statutes 1994, section 257.072, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [RECRUITMENT OF FOSTER FAMILIES.] Each 
        authorized child-placing agency shall make special efforts to 
        recruit a foster family from among the child's relatives, except 
        as authorized in section 260.181, subdivision 3, and among 
        families of the same racial or ethnic heritage.  Each agency 
        shall provide for diligent recruitment of potential foster 
        families that reflect the ethnic and racial diversity of the 
        children in the state for whom foster homes are needed.  Special 
        efforts include contacting and working with community 
        organizations and religious organizations and may include 
        contracting with these organizations, utilizing local media and 
        other local resources, conducting outreach activities, and 
        increasing the number of minority recruitment staff employed by 
        the agency.  The requirement of special efforts to locate 
        relatives in this section is satisfied if the responsible 
        child-placing agency has made appropriate efforts for six months 
        following the child's placement in a residential facility and 
        the court approves the agency's efforts pursuant to section 
        260.191, subdivision 3a.  The agency may accept any gifts, 
        grants, offers of services, and other contributions to use in 
        making special recruitment efforts. 
           Sec. 7.  Minnesota Statutes 1994, section 257.072, 
        subdivision 5, is amended to read: 
           Subd. 5.  [MINORITY PLACEMENTS.] Beginning December 1, 1989 
        1996, the commissioner shall provide to the Indian affairs 
        council, the council on affairs of Spanish-speaking people, the 
        council on Black Minnesotans, and the council on Asian-Pacific 
        Minnesotans the semiannual reports annual report required under 
        section 257.0725.  
           Sec. 8.  Minnesota Statutes 1994, section 257.072, 
        subdivision 8, is amended to read: 
           Subd. 8.  [REPORTING REQUIREMENTS.] Each authorized 
        child-placing agency shall provide to the commissioner of human 
        services all data needed by the commissioner for the report 
        required by section 257.0725.  The agency shall provide the data 
        within 60 15 days of the end of the six-month period for which 
        the data is applicable. 
           Sec. 9.  Minnesota Statutes 1994, section 257.0725, is 
        amended to read: 
           257.0725 [SEMIANNUAL ANNUAL REPORT.] 
           The commissioner of human services shall publish a 
        semiannual an annual report on children in out-of-home placement.
        The report shall include, by county and statewide, information 
        on legal status, living arrangement, age, sex, race, accumulated 
        length of time in placement, reason for most recent placement, 
        race of family with whom placed, number of families from the 
        child's own culture in the placement pool during the period for 
        which data is provided, and other demographic information deemed 
        appropriate on all children in out-of-home placement.  The 
        commissioner shall provide the required data for children who 
        entered placement during the previous quarter and for children 
        who are in placement at the end of the quarter.  Out-of-home 
        placement includes placement in any facility by an authorized 
        child-placing agency.  By December 1, 1989, and by December 1 of 
        each successive year, the commissioner shall publish a report 
        covering the first six months of the calendar year.  By June 1, 
        1990, and by June 1 of each successive year, the commissioner 
        shall publish a report covering the last six months of the 
        calendar year. 
           Sec. 10.  Minnesota Statutes 1994, section 259.29, is 
        amended to read: 
           259.29 [PROTECTION OF HERITAGE OR BACKGROUND.] 
           The policy of the state of Minnesota is to ensure that the 
        best interests of the child are met by requiring due, not sole, 
        consideration of the child's race or ethnic heritage in adoption 
        placements.  For purposes of intercountry adoptions, due 
        consideration is deemed to have occurred if the appropriate 
        authority in the child's country of birth has approved the 
        placement of the child.  
           The authorized child-placing agency shall give preference, 
        in the absence of good cause to the contrary, to placing the 
        child with (a) a relative or relatives of the child, or, if that 
        would be detrimental to the child or a relative is not 
        available, (b) an important friend with whom the child has 
        resided or had significant contact, or if that is not possible, 
        (c) a family with the same racial or ethnic heritage as the 
        child, or, if that is not feasible, (c) (d) a family of 
        different racial or ethnic heritage from the child which is 
        knowledgeable and appreciative of the child's racial or ethnic 
        heritage.  In implementing the order of preference, an 
        authorized child-placing agency may disclose private or 
        confidential data, as defined in section 13.02, to relatives of 
        the child for the purpose of locating a suitable adoptive home.  
        The agency shall disclose only data that is necessary to 
        facilitate implementing the preference.  
           If the child's birth parent or parents explicitly request 
        that the preference described in clause (a) or clauses (a) 
        and, (b), or (c) not be followed, the authorized child-placing 
        agency shall honor that request consistent with the best 
        interests of the child. 
           If the child's birth parent or parents express a preference 
        for placing the child in an adoptive home of the same or a 
        similar religious background to that of the birth parent or 
        parents, in following the preferences in clause (a) or, (b), or 
        (c), the agency shall place the child with a family that also 
        meets the birth parent's religious preference.  Only if no 
        family is available that is described in clause (a) or, (b), or 
        (c) may the agency give preference to a family described in 
        clause (c) (d) that meets the parent's religious preference. 
           Sec. 11.  Minnesota Statutes 1994, section 259.67, 
        subdivision 4, is amended to read: 
           Subd. 4.  [ELIGIBILITY CONDITIONS.] (a) The placing agency 
        shall determine the child's eligibility for adoption assistance 
        under title IV-E of the Social Security Act.  If the child does 
        not qualify, the placing agency shall certify a child as 
        eligible for state funded adoption assistance only if the 
        following criteria are met:  
           (a) (1) Due to the child's characteristics or circumstances 
        it would be difficult to provide the child and an adoptive home 
        without adoption assistance.  
           (b)(1) (2)(i) A placement agency has made reasonable 
        efforts to place the child for adoption without subsidy adoption 
        assistance, but has been unsuccessful; or 
           (2) (ii) the child's licensed foster parents desire to 
        adopt the child and it is determined by the placing agency that 
        the adoption is in the best interest of the child. 
           (c) (3) The child has been a ward of the commissioner or a 
        Minnesota-licensed child-placing agency.  
           (b) For purposes of this subdivision, the characteristics 
        or circumstances that may be considered in determining whether a 
        child is a child with special needs under United States Code, 
        title 42, chapter 7, subchapter IV, part E, or meets the 
        requirements of paragraph (a), clause (1), are the following: 
           (1) The child is a member of a sibling group to be placed 
        as one unit in which at least one sibling is older than 15 
        months of age or is described in clause (2) or (3). 
           (2) The child has documented physical, mental, emotional, 
        or behavioral disabilities. 
           (3) The child has a high risk of developing physical, 
        mental, emotional, or behavioral disabilities. 
           (c) When a child's eligibility for adoption assistance is 
        based upon the high risk of developing physical, mental, 
        emotional, or behavioral disabilities, payments shall not be 
        made under the adoption assistance agreement unless and until 
        the potential disability manifests itself as documented by an 
        appropriate health care professional. 
           Sec. 12.  Minnesota Statutes 1994, section 259.67, 
        subdivision 6, is amended to read: 
           Subd. 6.  [RIGHT OF APPEAL.] (a) The adoptive parents have 
        the right to appeal to the commissioner pursuant to section 
        256.045, when the commissioner denies, discontinues, or modifies 
        the agreement.  
           (b) Adoptive parents who believe that their adopted child 
        was incorrectly denied adoption assistance, or who did not seek 
        adoption assistance on the child's behalf because of being 
        provided with inaccurate or insufficient information about the 
        child or the adoption assistance program, may request a hearing 
        under section 256.045.  Notwithstanding subdivision 2, the 
        purpose of the hearing shall be to determine whether, under 
        standards established by the federal Department of Health and 
        Human Services, the circumstances surrounding the child's 
        adoption warrant making an adoption assistance agreement on 
        behalf of the child after the final decree of adoption has been 
        issued.  The commissioner shall enter into an adoption 
        assistance agreement on the child's behalf if it is determined 
        that the child was eligible for adoption assistance under United 
        States Code, title 42, chapter 7, subchapter IV, part E, 
        sections 670 to 679a, at the time of the adoption and at the 
        time the request for a hearing was submitted but, because of 
        extenuating circumstances, did not receive adoption assistance.  
        An adoption assistance agreement made under this paragraph shall 
        be effective the date the request for a hearing was received by 
        the commissioner or the local agency. 
           Sec. 13.  Minnesota Statutes 1994, section 259.77, is 
        amended to read: 
           259.77 [FAMILY RECRUITMENT.] 
           Each authorized child-placing agency shall make special 
        efforts to recruit an adoptive family from among the child's 
        relatives, except as authorized in section 259.57, subdivision 
        2, and among families of the same racial or ethnic 
        heritage.  Each agency shall provide for the diligent 
        recruitment of potential adoptive families that reflect the 
        ethnic and racial diversity of children in the state for whom 
        adoptive homes are needed.  Special efforts include contacting 
        and working with community organizations and religious 
        organizations and may include contracting with these 
        organizations, utilizing local media and other local resources, 
        and conducting outreach activities.  The requirement of special 
        efforts to locate relatives in this section is satisfied if the 
        efforts have continued for six months after the child becomes 
        available for adoption or if special efforts have been satisfied 
        and approved by the court pursuant to section 260.191, 
        subdivision 3a.  The agency may accept any gifts, grants, offers 
        of services, and other contributions to use in making special 
        recruitment efforts. 
           Sec. 14.  Minnesota Statutes 1994, section 260.015, is 
        amended by adding a subdivision to read: 
           Subd. 29.  [EGREGIOUS HARM.] "Egregious harm" means the 
        infliction of bodily harm to a child or neglect of a child which 
        demonstrates a grossly inadequate ability to provide minimally 
        adequate parental care.  The egregious harm need not have 
        occurred in the state or in the county where a termination of 
        parental rights action is otherwise properly venued.  Egregious 
        harm includes, but is not limited to: 
           (1) conduct towards a child that constitutes a violation of 
        section 609.185 to 609.21, or any other similar law of the 
        United States or any other state; 
           (2) the infliction of "substantial bodily harm" to a child, 
        as defined in section 609.02, subdivision 8; 
           (3) conduct towards a child that constitutes felony 
        malicious punishment of a child under section 609.377; 
           (4) conduct towards a child that constitutes felony 
        unreasonable restraint of a child under section 609.255, 
        subdivision 3; 
           (5) conduct towards a child that constitutes felony neglect 
        or endangerment of a child under section 609.378; 
           (6) conduct towards a child that constitutes assault under 
        sections 609.221, 609.222, or 609.223; 
           (7) conduct towards a child that constitutes solicitation, 
        inducement or promotion of prostitution under section 609.322; 
        or 
           (8) conduct towards a child that constitutes receiving 
        profit derived from prostitution under section 609.323. 
           Sec. 15.  Minnesota Statutes 1994, section 260.181, 
        subdivision 3, is amended to read: 
           Subd. 3.  [PROTECTION OF HERITAGE OR BACKGROUND.] The 
        policy of the state is to ensure that the best interests of 
        children are met by requiring due, not sole, consideration of 
        the child's race or ethnic heritage in foster care placements.  
           The court, in transferring legal custody of any child or 
        appointing a guardian for the child under the laws relating to 
        juvenile courts, shall place the child, in the following order 
        of preference, in the absence of good cause to the contrary, in 
        the legal custody or guardianship of an individual who (a) is 
        the child's relative related to the child by blood, marriage, or 
        adoption, or if that would be detrimental to the child or a 
        relative is not available, who (b) is an important friend with 
        whom the child has resided or had significant contact, or if 
        that is not possible, who (c) is of the same racial or ethnic 
        heritage as the child, or if that is not possible, who (c) (d) 
        is knowledgeable and appreciative of the child's racial or 
        ethnic heritage.  The court may require the county welfare 
        agency to continue efforts to find a guardian of the child's 
        racial or ethnic heritage when such a guardian is not 
        immediately available.  For purposes of this subdivision, 
        "relative" includes members of a child's extended family and 
        important friends with whom the child has resided or had 
        significant contact. 
           If the child's birth parent or parents explicitly request 
        that the preference described in clause (a) or in clauses (a) 
        and, (b), or (c) not be followed, the court shall honor that 
        request if it is consistent with the best interests of the child.
           If the child's birth parent or parents express a preference 
        for placing the child in a foster or adoptive home of the same 
        or a similar religious background to that of the birth parent or 
        parents, in following the preferences in clause (a) or, (b), or 
        (c), the court shall order placement of the child with an 
        individual who meets the birth parent's religious preference.  
        Only if no individual is available who is described in clause 
        (a) or, (b), or (c) may the court give preference to an 
        individual described in clause (c) (d) who meets the parent's 
        religious preference. 
           Sec. 16.  Minnesota Statutes 1995 Supplement, section 
        260.221, subdivision 1, is amended to read: 
           Subdivision 1.  [VOLUNTARY AND INVOLUNTARY.] The juvenile 
        court may upon petition, terminate all rights of a parent to a 
        child in the following cases: 
           (a) With the written consent of a parent who for good cause 
        desires to terminate parental rights; or 
           (b) If it finds that one or more of the following 
        conditions exist: 
           (1) That the parent has abandoned the child.  Abandonment 
        is presumed when: 
           (i) the parent has had no contact with the child on a 
        regular basis and no demonstrated, consistent interest in the 
        child's well-being for six months; and 
           (ii) the social service agency has made reasonable efforts 
        to facilitate contact, unless the parent establishes that an 
        extreme financial or physical hardship or treatment for mental 
        disability or chemical dependency or other good cause prevented 
        the parent from making contact with the child.  This presumption 
        does not apply to children whose custody has been determined 
        under chapter 257 or 518.  The court is not prohibited from 
        finding abandonment in the absence of this presumption; or 
           (2) That the parent has substantially, continuously, or 
        repeatedly refused or neglected to comply with the duties 
        imposed upon that parent by the parent and child relationship, 
        including but not limited to providing the child with necessary 
        food, clothing, shelter, education, and other care and control 
        necessary for the child's physical, mental, or emotional health 
        and development, if the parent is physically and financially 
        able, and reasonable efforts by the social service agency have 
        failed to correct the conditions that formed the basis of the 
        petition; or 
           (3) That a parent has been ordered to contribute to the 
        support of the child or financially aid in the child's birth and 
        has continuously failed to do so without good cause.  This 
        clause shall not be construed to state a grounds for termination 
        of parental rights of a noncustodial parent if that parent has 
        not been ordered to or cannot financially contribute to the 
        support of the child or aid in the child's birth; or 
           (4) That a parent is palpably unfit to be a party to the 
        parent and child relationship because of a consistent pattern of 
        specific conduct before the child or of specific conditions 
        directly relating to the parent and child relationship either of 
        which are determined by the court to be of a duration or nature 
        that renders the parent unable, for the reasonably foreseeable 
        future, to care appropriately for the ongoing physical, mental, 
        or emotional needs of the child.  It is presumed that a parent 
        is palpably unfit to be a party to the parent and child 
        relationship upon a showing that: 
           (i) the child was adjudicated in need of protection or 
        services due to circumstances described in section 260.015, 
        subdivision 2a, clause (1), (2), (3), (5), or (8); and 
           (ii) within the three-year period immediately prior to that 
        adjudication, the parent's parental rights to one or more other 
        children were involuntarily terminated under clause (1), (2), 
        (4), or (7), or under clause (5) if the child was initially 
        determined to be in need of protection or services due to 
        circumstances described in section 260.015, subdivision 2a, 
        clause (1), (2), (3), (5), or (8); or 
           (5) That following upon a determination of neglect or 
        dependency, or of a child's need for protection or services, 
        reasonable efforts, under the direction of the court, have 
        failed to correct the conditions leading to the determination.  
        It is presumed that reasonable efforts under this clause have 
        failed upon a showing that: 
           (i) a child has resided out of the parental home under 
        court order for more than one year following an adjudication of 
        dependency, neglect, need for protection or services under 
        section 260.015, subdivision 2a, clause (1), (2), (3), (6), (8), 
        or (9), or neglected and in foster care, and an order for 
        disposition under section 260.191, including adoption of the 
        case plan required by section 257.071; 
           (ii) conditions leading to the determination will not be 
        corrected within the reasonably foreseeable future.  It is 
        presumed that conditions leading to a child's out-of-home 
        placement will not be corrected in the reasonably foreseeable 
        future upon a showing that the parent or parents have not 
        substantially complied with the court's orders and a reasonable 
        case plan, and the conditions which led to the out-of-home 
        placement have not been corrected; and 
           (iii) reasonable efforts have been made by the social 
        service agency to rehabilitate the parent and reunite the family.
           This clause does not prohibit the termination of parental 
        rights prior to one year after a child has been placed out of 
        the home.  
           It is also presumed that reasonable efforts have failed 
        under this clause upon a showing that: 
           (i) the parent has been diagnosed as chemically dependent 
        by a professional certified to make the diagnosis; 
           (ii) the parent has been required by a case plan to 
        participate in a chemical dependency treatment program; 
           (iii) the treatment programs offered to the parent were 
        culturally, linguistically, and clinically appropriate; 
           (iv) the parent has either failed two or more times to 
        successfully complete a treatment program or has refused at two 
        or more separate meetings with a caseworker to participate in a 
        treatment program; and 
           (v) the parent continues to abuse chemicals.  
        Provided, that this presumption applies only to parents required 
        by a case plan to participate in a chemical dependency treatment 
        program on or after July 1, 1990; or 
           (6) That the parent has been convicted of causing the death 
        of another of the parent's children a child has experienced 
        egregious harm in the parent's care which is of a nature, 
        duration, or chronicity that indicates a lack of regard for the 
        child's well-being, such that a reasonable person would believe 
        it contrary to the best interest of the child or of any child to 
        be in the parent's care; or 
           (7) That in the case of a child born to a mother who was 
        not married to the child's father when the child was conceived 
        nor when the child was born the person is not entitled to notice 
        of an adoption hearing under section 259.49 and either the 
        person has not filed a notice of intent to retain parental 
        rights under section 259.51 or that the notice has been 
        successfully challenged; or 
           (8) That the child is neglected and in foster care. 
        In an action involving an American Indian child, sections 257.35 
        to 257.3579 and the Indian Child Welfare Act, United States 
        Code, title 25, sections 1901 to 1923, control to the extent 
        that the provisions of this section are inconsistent with those 
        laws. 
           Sec. 17.  Laws 1995, chapter 207, article 1, section 2, 
        subdivision 4, is amended to read: 
        Subd. 4.  Children's Program          19,860,000     21,453,000
        The amounts that may be spent from this 
        appropriation for each purpose are as 
        follows: 
        (a) Children's Trust Fund Grants
               247,000        247,000
        (b) Families With Children
        Services Grants and Administration
             1,718,000      1,710,000
        (c) Family Service Collaborative Grants
             1,000,000      1,500,000
        (d) Family Preservation, Family Support,
        and Child Protection Grants
             8,573,000      8,573,000
        (e) Subsidized Adoption Grants
             5,587,000      6,688,000
        (f) Other Families with Children
        Services Grants
             2,735,000      2,735,000
        [FAMILY SERVICES COLLABORATIVE.] Plans 
        for the expenditure of funds for family 
        services collaboratives must be 
        approved by the children's cabinet 
        according to criteria in Minnesota 
        Statutes, section 121.8355.  Money 
        appropriated for these purposes may be 
        expended in either year of the 
        biennium.  Money appropriated for 
        family services collaboratives is also 
        available for start-up funds under 
        Minnesota Statutes, section 245.492, 
        subdivision 19, for children's mental 
        health collaboratives. 
        [HOME CHOICE PROGRAM.] Of this 
        appropriation, $75,000 each year must 
        be used as a grant to the metropolitan 
        council to support the housing and 
        related counseling component of the 
        home choice program. 
        [FOSTER CARE.] Foster care, as defined 
        in Minnesota Statutes, section 260.015, 
        subdivision 7, is not a community 
        social service as defined in Minnesota 
        Statutes, section 256E.03, subdivision 
        2, paragraph (a).  This paragraph is 
        effective the day following final 
        enactment. 
        [NEW CHANCE.] Of this appropriation, 
        $100,000 each year is for a grant to 
        the New Chance demonstration project 
        that provides comprehensive services to 
        young AFDC recipients who became 
        pregnant as teenagers and dropped out 
        of high school.  The commissioner shall 
        provide an annual report on the 
        progress of the demonstration project, 
        including specific data on participant 
        outcomes in comparison to a control 
        group that received no services.  The 
        commissioner shall also include 
        recommendations on whether strategies 
        or methods that have proven successful 
        in the demonstration project should be 
        incorporated into the STRIDE employment 
        program for AFDC recipients. 
        [HIPPY CARRY FORWARD.] $50,000 in 
        unexpended money appropriated in fiscal 
        year 1995 for the Home Instruction 
        Program for Preschool Youngsters 
        (HIPPY) in Laws 1994, chapter 636, 
        article 1, section 11, does not cancel 
        but is available for the same purposes 
        for fiscal year 1996. 
        [COMMUNITY COLLABORATIVE MATCHING 
        GRANT.] Of the funds appropriated for 
        family services collaboratives, $75,000 
        in fiscal year 1996 shall be used for 
        the commissioner of human services to 
        provide a matching grant for community 
        collaborative projects for children and 
        youth developed by a regional 
        organization established under 
        Minnesota Statutes, section 116N.08, to 
        receive rural development challenge 
        grants.  The regional organization must 
        include a broad cross-section of public 
        and private sector community 
        representatives to develop programs, 
        services or facilities to address 
        specific community needs of children 
        and youth.  The regional organization 
        must also provide a two-to-one match of 
        nonstate dollars for this grant. 
        [INDIAN CHILD WELFARE GRANTS.] $100,000 
        is appropriated from the general fund 
        to the commissioner of human services 
        for the purposes of providing 
        compliance grants to an Indian child 
        welfare defense corporation, pursuant 
        to Minnesota Statutes, section 
        257.3571, subdivision 2a, to be 
        available until June 30, 1997. 
           Sec. 18.  [EFFECTIVE DATE.] 
           Sections 1 to 17 are effective the day following final 
        enactment. 
           Presented to the governor March 30, 1996 
           Signed by the governor April 2, 1996, 12:44 p.m.