Minnesota Legislature
Office of the Revisor of Statutes
Minnesota Session Laws - 1997, Regular Session
Key: (1) language to be deleted (2) new language
CHAPTER 203-S.F.No. 1908
An act relating to human services; appropriating
money; changing provisions for health care, long-term
care facilities, children's programs, child support
enforcement, continuing care for disabled persons;
creating a demonstration project for persons with
disabilities; changing provisions for marriage;
accelerating state payments; making technical
amendments to welfare reform; amending Minnesota
Statutes 1996, sections 13.46, subdivision 2; 13.99,
by adding a subdivision; 16A.124, subdivision 4b;
62D.04, subdivision 5; 62E.14, by adding a
subdivision; 62J.69, subdivision 2, and by adding a
subdivision; 62N.25, subdivision 2; 103I.101,
subdivision 6; 103I.208; 103I.401, subdivision 1;
144.0721, subdivision 3; 144.121, subdivision 1, and
by adding subdivisions; 144.125; 144.223; 144.226,
subdivision 1, and by adding a subdivision; 144.394;
144A.071, subdivisions 1, 2, and 4a, as amended;
144A.073, subdivision 2, and by adding a subdivision;
145.925, subdivision 9; 151.40; 153A.17; 157.15, by
adding subdivisions; 157.16, subdivision 3; 214.12, by
adding a subdivision; 245.03, subdivision 2; 245.4882,
subdivision 5; 245.493, subdivision 1, and by adding a
subdivision; 245.652, subdivisions 1 and 2; 245.98, by
adding a subdivision; 245A.11, subdivision 2a; 246.02,
subdivision 2; 246.18, by adding a subdivision;
252.025, subdivisions 1, 4, and by adding a
subdivision; 252.28, by adding a subdivision; 252.32,
subdivisions 1a, 3, 3a, 3c, and 5; 254.04; 254A.17,
subdivision 3; 254B.01, subdivision 3; 254B.02,
subdivisions 1 and 3; 254B.03, subdivision 1; 254B.04,
subdivision 1; 254B.09, subdivisions 4, 5, and 7;
256.01, subdivision 2, and by adding a subdivision;
256.025, subdivisions 2 and 4; 256.045, subdivisions
3, 3b, 4, 5, 7, 8, and 10; 256.476, subdivisions 2, 3,
4, and 5; 256.82, subdivision 1, and by adding a
subdivision; 256.87, subdivisions 1, 1a, 3, 5, and by
adding a subdivision; 256.871, subdivision 6; 256.935;
256.9354, subdivision 8, as added; 256.969,
subdivision 1; 256.9695, subdivision 1; 256.9742;
256.9744, subdivision 2; 256.978, subdivisions 1 and
2; 256.9792, subdivisions 1 and 2; 256.998,
subdivisions 1, 6, 7, and by adding subdivisions;
256B.037, subdivision 1a; 256B.04, by adding a
subdivision; 256B.055, subdivision 12; 256B.056,
subdivisions 4 and 5; 256B.057, subdivisions 1, 1b,
and 2; 256B.06, subdivision 5, as added; 256B.0625,
subdivisions 13, 14, and by adding a subdivision;
256B.0626; 256B.0627, subdivision 5, and by adding a
subdivision; 256B.064, subdivisions 1a, 1c, and 2;
256B.0644; 256B.0911, subdivisions 2 and 7; 256B.0912,
by adding a subdivision; 256B.0913, subdivisions 7,
10, 14, 15, and by adding a subdivision; 256B.0915,
subdivisions 1b, 3, and by adding subdivisions;
256B.0917, subdivisions 7 and 8; 256B.19, subdivision
2a; 256B.421, subdivision 1; 256B.431, subdivisions
3f, 25, and by adding a subdivision; 256B.433, by
adding a subdivision; 256B.434, subdivisions 2, 3, 4,
9, and 10; 256B.49, subdivision 1, and by adding a
subdivision; 256B.69, subdivisions 2, 3a, 5, 5b, and
by adding subdivisions; 256D.02, subdivision 12a, as
amended; 256D.03, subdivisions 2, 2a, 3, as amended,
and 6; 256D.05, subdivisions 1, as amended, and 8, as
amended; 256D.36; 256E.06, by adding a subdivision;
256F.04, subdivisions 1 and 2; 256F.05, subdivisions
2, 3, 4, and 8; 256F.06, subdivisions 1 and 2;
256F.11, subdivision 2; 256G.02, subdivision 6;
256G.05, subdivision 2; 256I.05, subdivision 1a, and
by adding a subdivision; 257.62, subdivisions 1 and 2;
257.66, subdivision 3, and by adding a subdivision;
257.70; 257.75, subdivisions 2, 3, 4, 5, and 7;
299C.46, subdivision 3; 326.37, subdivision 1; 327.20,
subdivision 1; 393.07, subdivision 2; 466.01,
subdivision 1; 469.155, subdivision 4; 471.59,
subdivision 11; 508.63; 508A.63; 517.01; 517.03;
517.08, subdivision 1a; 517.20; 518.005, by adding a
subdivision; 518.10; 518.148, subdivision 2; 518.17,
subdivision 1; 518.171, subdivisions 1 and 4; 518.54,
subdivision 6, and by adding a subdivision; 518.551,
subdivisions 12 and 13; 518.5512, subdivision 2, and
by adding subdivisions; 518.575; 518.68, subdivision
2; 518C.101; 518C.205; 518C.207; 518C.304; 518C.305;
518C.310; 518C.401; 518C.501; 518C.603; 518C.605;
518C.608; 518C.611; 518C.612; 518C.701; 548.091,
subdivisions 1a, 2a, 3a, and by adding subdivisions;
550.37, subdivision 24; 626.556, subdivisions 10b,
10d, 10e, 10f, 11c, and by adding a subdivision;
626.558, subdivisions 1 and 2; and 626.559,
subdivision 5; Laws 1995, chapter 207, article 6,
section 115; article 8, section 41, subdivision 2;
Laws 1997, chapter 7, article 1, section 75; Laws
1997, chapter 85, article 1, sections 7, subdivision
2; 8, subdivision 2; 12, subdivision 3; 16,
subdivision 1; 26, subdivision 2; 32, subdivision 5;
33; and 75; article 3, sections 28, subdivision 1; and
42; Laws 1997, chapter 105, section 7; proposing
coding for new law in Minnesota Statutes, chapters
13B; 62J; 145A; 157; 252; 256; 256B; 256J; 257; 325F;
518; 518C; and 552; repealing Minnesota Statutes 1996,
sections 145.9256; 252.32, subdivision 4; 256.026;
256.74, subdivisions 5 and 7; 256.82, subdivision 1;
256.979, subdivision 9; 256B.057, subdivisions 2a and
2b; 256B.0625, subdivision 13b; 256B.501, subdivision
5c; 256F.05, subdivisions 5 and 7; 469.154,
subdivision 6; 518.5511, subdivisions 5, 6, 7, 8, and
9; 518.611; 518.613; 518.645; 518C.9011; and 609.375,
subdivisions 3, 4, and 6; Minnesota Rules, part
9505.1000.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
ARTICLE 1
APPROPRIATIONS
Section 1. [HEALTH AND HUMAN SERVICES APPROPRIATIONS.]
The sums shown in the columns marked "APPROPRIATIONS" are
appropriated from the general fund, or any other fund named, to
the agencies and for the purposes specified in the following
sections of this article, to be available for the fiscal years
indicated for each purpose. The figures "1998" and "1999" where
used in this article, mean that the appropriation or
appropriations listed under them are available for the fiscal
year ending June 30, 1998, or June 30, 1999, respectively.
Where a dollar amount appears in parentheses, it means a
reduction of an appropriation.
SUMMARY BY FUND
APPROPRIATIONS BIENNIAL
1998 1999 TOTAL
General $2,587,119,000 $2,738,148,000 $5,325,267,000
State Government
Special Revenue 31,911,000 32,150,000 64,061,000
Metropolitan
Landfill Contingency
Action Fund 193,000 193,000 386,000
Trunk Highway 1,652,000 1,678,000 3,330,000
TOTAL $2,620,875,000 $2,772,169,000 $5,393,044,000
APPROPRIATIONS
Available for the Year
Ending June 30
1998 1999
Sec. 2. COMMISSIONER OF
HUMAN SERVICES
Subdivision 1. Total
Appropriation $2,511,210,000 $2,663,931,000
Summary by Fund
General 2,510,757,000 2,663,469,000
State Government
Special Revenue 453,000 462,000
Subd. 2. Agency Management
General 25,446,000 24,294,000
State Government
Special Revenue 342,000 350,000
The amounts that may be spent from the
appropriation for each purpose are as
follows:
(a) Financial Operations
General 7,683,000 6,518,000
[RECEIPTS FOR SYSTEMS PROJECTS.]
Appropriations and federal receipts for
information system projects for MAXIS,
electronic benefit system, social
services information system, child
support enforcement, and Minnesota
medicaid information system (MMIS II)
must be deposited in the state system
account authorized in Minnesota
Statutes, section 256.014. Money
appropriated for computer projects
approved by the information policy
office, funded by the legislature, and
approved by the commissioner of finance
may be transferred from one project to
another and from development to
operations as the commissioner of human
services considers necessary. Any
unexpended balance in the appropriation
for these projects does not cancel but
is available for ongoing development
and operations.
[STATE-OPERATED SERVICES BILLING
SYSTEMS.] Of this appropriation,
$250,000 in fiscal year 1998 is to
modify the current state-operated
services billing and receipting system
to accommodate cost-per-service
charging. As part of this project, the
commissioner shall develop cost
accounting methods to ensure that
regional treatment center chemical
dependency program charges are based on
actual costs.
(b) Legal & Regulation Operations
General 6,283,000 6,046,000
State Government
Special Revenue 342,000 350,000
[CHILD CARE LICENSING; FIRE MARSHALL
ASSISTANCE.] Of this amount, $200,000
for the biennium is for the
commissioner to add two deputy state
fire marshall positions in the
licensing division. These positions
are to improve the speed of licensing
child care programs, to provide
technical assistance to applicants and
providers regarding fire safety, and to
improve communication between licensing
staff and fire officials. The state
fire marshall shall train and supervise
the positions. The state fire marshall
and the department shall develop an
interagency agreement outlining the
responsibilities and authorities for
these positions, and continuation of
cooperation to inspect programs that
exceed the resources of these two
positions. Unexpended funds for fiscal
year 1998 do not cancel but are
available to the commissioner for these
purposes for fiscal year 1999.
[MEALS REIMBURSEMENT FOR PROVIDERS.]
The commissioner shall transfer to the
commissioner of children, families, and
learning up to $10,000 in order to
provide reimbursement for meals to
providers licensed under Minnesota
Rules, parts 9502.0300 to 9502.0445,
who were not reimbursed by the
commissioner of children, families, and
learning in 1996 and 1997 under the
child and adult care food program in
title 7 of the Code of Federal
Regulations, subtitle B, chapter II,
subchapter A, part 226, because of
problems experienced with the
department of human services licensing
computer system. This paragraph is
effective the day following final
enactment.
[AUTHORITY TO WAIVE STATUTES.] (a) In
response to the immediate and long-term
effects on individuals and public and
private entities of the unusually
severe conditions of the winter and
spring of 1997, the commissioner of
human services may waive or grant
variances to provisions in chapters
245A, 252, 256, 256B, 256D, 256E, 256G,
256I, 257, 259, 260, 518, and 626
governing: the transference of funds
between grant accounts; rate setting or
other funding requirements or limits
for specific services; documentation or
reporting requirements; licensing
requirements; payments, including
MinnesotaCare premiums; emergency
assistance time limits; general
assistance citizenship requirements for
student residents; restrictions on
receipt of emergency general assistance
by AFDC recipients; and other
administrative procedures as needed to
ensure timely and continuous service to
persons receiving or eligible to
receive services administered by the
commissioner or by the counties under
supervision of the commissioner. In
granting a waiver or variance, the
commissioner shall consider the impact
on the health and safety of vulnerable
persons. Waivers or variances may be
restricted to specific geographical
areas and specific time periods.
(b) The commissioner shall notify the
chairs of the senate health and family
security committee, health and family
security budget division, human
resources finance committee, the house
health and human services committee,
health and human services finance
division, and ways and means committee
ten days prior to the effective date of
any waiver or variance granted under
paragraph (a).
(c) The appeal rights of applicants
for, or recipients of, public
assistance or a program of social
services under Minnesota Statutes,
section 256.045, are not affected by
this provision. Counties and other
services providers do not have a right
to appeal the commissioner's decision
on whether to waive or grant a variance
from a statute under this provision.
(d) Expenditures under the waivers or
variances must not exceed the total
appropriation for the commissioner,
including any special appropriations
for flood relief. The commissioner
shall issue a summary to the chairs of
the senate human resources finance and
house ways and means committees by
January 15, 1998, regarding variances
and waivers granted under the terms
under this provision.
(e) This provision shall be effective
the day following final enactment and
shall expire February 15, 1998.
(c) Management Operations
General 11,480,000 11,730,000
[COMMUNICATION COSTS.] The commissioner
shall continue to operate the
department of human services
communication systems account
established in Laws 1993, First Special
Session chapter 1, article 1, section
2, subdivision 2, to manage shared
communication costs necessary for the
operation of the programs the
commissioner supervises. A
communications account may also be
established for each regional treatment
center which operates communication
systems. Each account shall be used to
manage shared communication costs
necessary for the operation of programs
the commissioner supervises. The
commissioner may distribute the costs
of operating and maintaining
communication systems to participants
in a manner that reflects actual
usage. Costs may include acquisition,
licensing, insurance, maintenance,
repair, staff time, and other costs as
determined by the commissioner.
Nonprofit organizations and state,
county, and local government agencies
involved in the operation of programs
the commissioner supervises may
participate in the use of the
department's communication technology
and share in the cost of operation.
The commissioner may accept on behalf
of the state any gift, bequest, devise,
or personal property of any kind, or
money tendered to the state for any
lawful purpose pertaining to the
communication activities of the
department. Any money received for
this purpose must be deposited in the
department of human services
communication systems accounts. Money
collected by the commissioner for the
use of communication systems must be
deposited in the state communication
systems account and is appropriated to
the commissioner for purposes of this
section.
[ISSUANCE OPERATIONS CENTER.] Payments
to the commissioner from other
governmental units and private
enterprises for (1) services performed
by the issuance operations center, or
(2) reports generated by the payment
and eligibility systems must be
deposited in the state systems account
authorized in Minnesota Statutes,
section 256.014. These payments are
appropriated to the commissioner for
the operation of the issuance center or
system, in accordance with Minnesota
Statutes, section 256.014.
Subd. 3. Children's Grants
General 38,127,000 40,177,000
[INDIAN CHILD WELFARE ACT.] Of this
appropriation, $90,000 each year is to
provide grants according to Minnesota
Statutes, section 257.3571, subdivision
2a, to the Indian child welfare defense
corporation to promote statewide
compliance with the Indian Child
Welfare Act.
[CHILDREN'S MENTAL HEALTH.] Of this
appropriation, $600,000 in fiscal year
1998 and $800,000 in fiscal year 1999
is for the commissioner to award grants
to counties for children's mental
health services. These grants may be
used to provide any of the following
services specified in Minnesota
Statutes, section 245.4871; family
community support services under
subdivision 17; day treatment services
under subdivision 10; case management
services under subdivision 3;
professional home-based family
treatment under subdivision 31; and
outpatient services under subdivision
29. Grant funds must be used to
provide appropriate personnel and
services according to an individual
family community support plan under
Minnesota Statutes, section 245.4882,
subdivision 4, that must be developed,
evaluated, and changed where needed,
using a process that respects the
consumer's identified cultural
community and enhances consumer
empowerment, best interests and
outcomes which strengthens and supports
children and their families.
In awarding these grants to counties,
the commissioner shall work with the
state advisory council on mental health
to ensure that the process for awarding
funds addresses the unmet need for
services under Minnesota Statutes,
sections 245.487 to 245.4888. The
commissioner shall also ensure that
these grant funds are not used to
replace existing funds, and that these
grant funds are used to enhance service
capacity at the community level
consistent with Minnesota Statutes,
sections 245.487 to 245.4888.
Subd. 4. Children's Services Management
General 3,541,000 2,072,000
[SOCIAL SERVICES INFORMATION SYSTEM.]
Of this appropriation, $1,500,000 in
fiscal year 1998 is for training and
implementation costs related to the
social services information system.
Any unexpended funds shall not cancel
but shall be available for fiscal year
1999. This appropriation shall not
become part of the base for the
biennium beginning July 1, 1999.
Subd. 5. Basic Health Care Grants
Summary by Fund
General 834,098,000 938,504,000
The amounts that may be spent from this
appropriation for each purpose are as
follows:
(a) MA Basic Health Care Grants-
Families and Children
General 322,970,000 367,726,000
[NOTICE ON CHANGES IN ASSET TEST.] The
commissioner shall provide a notice by
July 15, 1997, to all recipients
affected by the changes in this act in
asset standards for families with
children notifying them:
(1) what asset limits will apply to
them;
(2) when the new limits will apply;
(3) what options they have to spenddown
assets; and
(4) what options they have to enroll in
MinnesotaCare, including an explanation
of the MinnesotaCare premium structure.
(b) MA Basic Health Care Grants-
Elderly & Disabled
General 337,659,000 400,408,000
[PUBLIC HEALTH NURSE ASSESSMENT.] The
reimbursement for public health nurse
visits relating to the provision of
personal care services under Minnesota
Statutes, sections 256B.0625,
subdivision 19a, and 256B.0627, is
$204.36 for the initial assessment
visit and $102.18 for each reassessment
visit.
[SURCHARGE COMPLIANCE.] In the event
that federal financial participation in
the Minnesota medical assistance
program is reduced as a result of a
determination that Minnesota is out of
compliance with Public Law Number
102-234 or its implementing regulations
or with any other federal law designed
to restrict provider tax programs or
intergovernmental transfers, the
commissioner shall appeal the
determination to the fullest extent
permitted by law and may ratably reduce
all medical assistance and general
assistance medical care payments to
providers other than the state of
Minnesota in order to eliminate any
shortfall resulting from the reduced
federal funding. Any amount later
recovered through the appeals process
shall be used to reimburse providers
for any ratable reductions taken.
[BLOOD PRODUCTS LITIGATION.] To the
extent permitted by federal law,
Minnesota Statutes, sections 256.015,
256B.042, 256B.056, and 256B.15 are
waived as necessary for the limited
purpose of resolving the state's claims
in connection with In re Factor VIII or
IX Concentrate Blood Products
Litigation, MDL-986, No. 93-C7452
(N.D.III.).
[DISTRIBUTION TO MEDICAL ASSISTANCE
PROVIDERS.] (a) Of the amount
appropriated to the medical assistance
account in fiscal year 1998, $5,000,000
plus the federal financial
participation amount shall be
distributed to medical assistance
providers according to the distribution
methodology of the medical education
research trust fund established under
Minnesota Statutes, section 62J.69.
(b) In fiscal year 1999, the prepaid
medical assistance and prepaid general
assistance medical care capitation rate
reduction amounts under Minnesota
Statutes, section 256B.69, subdivision
5c, and the federal financial
participation amount associated with
the medical assistance reduction, shall
be distributed to medical assistance
providers according to the distribution
methodology of the trust fund.
[AUGMENTATIVE AND ALTERNATIVE
COMMUNICATION SYSTEMS.] Augmentative
and alternative communication systems
and related components that are prior
authorized by the department through
pass through vendors during the period
from January 1, 1997, until the
augmentative and alternative
communication system purchasing program
or other alternatives are operational
shall be paid under the medical
assistance program at the actual price
charged the pass through vendor plus 20
percent to cover administrative costs
of prior authorization and billing and
shipping charges.
(c) General Assistance Medical Care
General 173,469,000 170,370,000
[HEALTH CARE ACCESS TRANSFERS TO
GENERAL FUND.] Funds shall be
transferred from the health care access
fund to the general fund in an amount
equal to the projected savings to
general assistance medical care (GAMC)
that would result from the transition
of GAMC parents and adults without
children to MinnesotaCare. Based on
this projection, for state fiscal year
1998, the amount transferred from the
health care access fund to the general
fund shall be $13,700,000. The amount
of transfer, if any, necessary for
state fiscal year 1999 shall be
determined on a pro rata basis.
[TUBERCULOSIS COST OF CARE.] Of the
general fund appropriation, $89,000 for
the biennium is for the cost of care
that is required to be paid by the
commissioner under Minnesota Statutes,
section 144.4872, to diagnose or treat
tuberculosis carriers.
Subd. 6. Basic Health Care Management
General 23,502,000 24,518,000
[CONSUMER-OWNED HOUSING REVOLVING
ACCOUNT.] Effective the day following
final enactment, for the fiscal year
ending June 30, 1997, the commissioner
of human services may transfer $25,000
of the appropriation for basic health
care management to the commissioner of
the Minnesota housing finance agency to
establish an account to finance the
underwriting requirements of the
federal national mortgage association
pilot program for persons with
disabilities. The Minnesota housing
finance agency may spend money from the
account for the purpose of assisting in
payment of delinquent mortgage payments
of persons participating in the federal
National Mortgage Association pilot
program for persons with disabilities.
Any unexpended balance in this account
does not cancel, but is available to
the commissioner of the Minnesota
housing finance agency for the ongoing
purposes of the account.
[PROVIDER REIMBURSEMENT FOR HEALTH CARE
SERVICES TO CRIME VICTIMS.] Of this
appropriation $25,000 each year is for
the commissioner to reimburse health
care providers for counseling, testing,
and early intervention services
provided to crime victims who requested
the services and who have experienced
significant exposure to the HIV virus,
as defined in Minnesota Statutes,
section 144.761, subdivision 7, as the
result of a crime.
(a) Health Care Policy Administration
General 4,256,000 4,316,000
[CONSUMER SATISFACTION SURVEY.] Any
federal matching money received through
the medical assistance program for the
consumer satisfaction survey is
appropriated to the commissioner for
this purpose. The commissioner may
expend the federal money received for
the consumer satisfaction survey in
either year of the biennium.
(b) Health Care Operations
General 19,246,000 20,202,000
[PREPAID MEDICAL PROGRAMS.] The
nonfederal share of the prepaid medical
assistance program fund, which has been
appropriated to fund county managed
care advocacy and enrollment operating
costs, shall be disbursed as grants
using either a reimbursement or block
grant mechanism and may also be
transferred between grants and nongrant
administration costs with approval of
the commissioner of finance.
[SYSTEMS CONTINUITY.] In the event of
disruption of technical systems or
computer operations, the commissioner
may use available grant appropriations
to ensure continuity of payments for
maintaining the health, safety, and
well-being of clients served by
programs administered by the department
of human services. Grant funds must be
used in a manner consistent with the
original intent of the appropriation.
Subd. 7. State-Operated Services
General 207,174,000 203,429,000
The amounts that may be spent from this
appropriation for each purpose are as
follows:
(a) RTC Facilities
General 193,647,000 188,883,000
[MITIGATION RELATED TO DD DOWNSIZING
AND MH PILOTS.] Money appropriated to
finance mitigation expenses related to
the downsizing of regional treatment
center developmental disabilities
programs and the establishment of
mental health pilot projects may be
transferred between fiscal years within
the biennium.
[FUNDING FOR GRAVE MARKERS.] Of this
appropriation, $200,000 for the
biennium ending June 30, 1999, is for
the commissioner to fund markers with
the names of individuals whose graves
are located at regional treatment
centers. This appropriation is
available only after reasonable efforts
have been made to acquire funds from
private sources to fund the markers,
and after the private funds collected,
if any, have been exhausted. Of the
$200,000, $5,000 shall be transferred
to Advocating Change Together for a
public awareness campaign to increase
public knowledge of the issues
surrounding developmental disabilities
and to encourage private contributions
to assist in the completion of this
project.
[RTC CHEMICAL DEPENDENCY PROGRAMS.]
When the operations of the regional
treatment center chemical dependency
fund created in Minnesota Statutes,
section 246.18, subdivision 2, are
impeded by projected cash deficiencies
resulting from delays in the receipt of
grants, dedicated income, or other
similar receivables, and when the
deficiencies would be corrected within
the budget period involved, the
commissioner of finance may transfer
general fund cash reserves into this
account as necessary to meet cash
demands. The cash flow transfers must
be returned to the general fund in the
fiscal year that the transfer was
made. Any interest earned on general
fund cash flow transfers accrues to the
general fund and not the regional
treatment center chemical dependency
fund.
[SHORT-TERM TREATMENT PROGRAM.] The
commissioner shall report to the
legislature by January 15, 1998, with
recommendations on the establishment of
a short-term treatment program of less
than 45 days to be administered by the
Anoka regional center to serve persons
with mental illness. The report must
include a plan to qualify the program
for medical assistance reimbursement
and estimates of the capital bonding
and ongoing funding necessary to
operate the program.
[RTC PILOT PROJECTS.] The commissioner
may authorize regional treatment
centers to enter into contracts with
health plans that provide services to
publicly funded clients to provide
services within the diagnostic
categories related to mental illness
and chemical dependency, provided that
the revenue is sufficient to cover
actual costs. Regional treatment
centers may establish revenue-based
acute care services to be provided
under these contracts, separate from
the appropriation-based services
otherwise provided at the regional
treatment center. The appropriation to
regional treatment centers may be used
to cover start-up costs related to
these services, offset by revenue. The
commissioner, in conjunction with the
commissioner of administration, is
authorized to modify state contract
procedures that would otherwise impede
pilot projects in order for the
facility to participate in managed care
activities. The commissioner may
delegate the execution of these
contracts to the chief executive
officer of the regional treatment
center. The commissioner shall report
to the legislature by January 15, 1998,
on pilot project development and
implementation.
[CAMBRIDGE REGIONAL HUMAN SERVICES
CENTER.] (a) The commissioner shall
maintain capacity at Cambridge regional
human services center and shall
continue to provide residential and
crisis services at Cambridge for
persons with complex behavioral and
social problems committed by the courts
from the Faribault regional center and
Cambridge regional human services
center catchment areas. Campus
programs shall operate with the aim of
facilitating the return of individuals
with clinically complex behavior and
social problems to community settings
and shall maintain sufficient support
services on campus as needed by the
programs.
(b) The commissioner shall develop and
present a plan and recommendations to
the legislature by January 15, 1998,
for the second phase of the Minnesota
extended treatment options (METO)
program at Cambridge regional human
services center to serve persons with
developmental disabilities who pose a
public risk. Phase two shall increase
the on-campus program capacity of METO
by at least 36 additional beds, unless
program configuration changes are
agreed to by the affected exclusive
bargaining representative.
[RTC RESTRUCTURING.] For purposes of
restructuring the regional treatment
centers and state nursing homes, any
regional treatment center or state
nursing home employee whose position is
to be eliminated shall be afforded the
options provided in applicable
collective bargaining agreements. All
salary and mitigation allocations from
fiscal year 1998 shall be carried
forward into fiscal year 1999.
Provided there is no conflict with any
collective bargaining agreement, any
regional treatment center or state
nursing home position reduction must
only be accomplished through
mitigation, attrition, transfer, and
other measures as provided in state or
applicable collective bargaining
agreements and in Minnesota Statutes,
section 252.50, subdivision 11, and not
through layoff.
[RTC POPULATION.] If the resident
population at the regional treatment
centers is projected to be higher than
the estimates upon which the medical
assistance forecast and budget
recommendations for the 1998-1999
biennium were based, the amount of the
medical assistance appropriation that
is attributable to the cost of services
that would have been provided as an
alternative to regional treatment
center services, including resources
for community placements and waivered
services for persons with mental
retardation and related conditions, is
transferred to the residential
facilities appropriation.
[REPAIRS AND BETTERMENTS.] The
commissioner may transfer unencumbered
appropriation balances between fiscal
years for the state residential
facilities repairs and betterments
account and special equipment.
[PROJECT LABOR.] Wages for project
labor may be paid by the commissioner
of human services out of repairs and
betterments money if the individual is
to be engaged in a construction project
or a repair project of short-term and
nonrecurring nature. Compensation for
project labor shall be based on the
prevailing wage rates, as defined in
Minnesota Statutes, section 177.42,
subdivision 6. Project laborers are
excluded from the provisions of
Minnesota Statutes, sections 43A.22 to
43A.30, and shall not be eligible for
state-paid insurance and benefits.
[STATE-OPERATED SERVICES CD
CONSOLIDATION.] Notwithstanding the
provisions of Minnesota Statutes,
section 246.0135, paragraph (a), the
commissioner may consolidate the
extended plus chemical dependency
program operated by Moose Lake Regional
State-Operated Services at Cambridge
and the chemical dependency program
operated by Anoka-Metro Regional
Treatment Center at the Anoka
location. With the concurrence of the
affected bargaining unit
representatives, this consolidation may
commence upon the date following
enactment.
[DEVELOPMENT OF ADULT MENTAL HEALTH
PILOT PROJECTS.] The commissioner shall
ensure that exclusive bargaining
representatives are informed about and
allowed to participate in all aspects
of the development of adult mental
health pilot projects. Prior to
authorizing additional funding for any
county adult mental health pilot
project, the commissioner shall give
written assurance to the affected
exclusive bargaining representatives
that the mental health pilot project:
(1) does not infringe on existing
collective bargaining agreements or the
relationships between public employees
and their employers;
(2) will effectively use bargaining
unit employees; and
(3) will foster cooperative and
constructive labor and management
practices under Minnesota Statutes,
chapters 43A and 179A.
[RTC STAFFING LEVELS.] In order to
maintain adequate staffing levels
during reallocations, downsizing, or
transfer of regional center nonfiscal
resources, the commissioner must ensure
that any reallocation of positions
between regional centers does not
reduce required staffing at regional
center programs for adults and
adolescents with mental illness.
Each regional treatment center serving
persons with mental illness must have a
written staffing plan based on program
services and treatment plans that are
required for individuals with mental
illness at the regional center using
standards established by the
commissioner. The written plan must
include a detailed account of the
staffing needed at the regional center
for the following inpatient and other
psychiatric programs:
(1) acute inpatient;
(2) long-term inpatient;
(3) adolescent programs; and
(4) mobile and other crisis services
and transitional services.
If requested, the regional treatment
center chief executive officer must
provide the exclusive bargaining
representative or any other interested
party with a copy of the staffing plan.
If the exclusive bargaining
representative or another interested
party believes that actual staffing or
planned staffing for a regional
treatment center is not adequate to
provide necessary treatment, they may
request the ombudsman for mental health
and mental retardation to investigate,
report findings, and make
recommendations under Minnesota
Statutes, chapter 245. If an
investigation is requested in light of
such circumstances, the report and
recommendations must be completed no
less than 30 days before an actual
reallocation, downsizing of staff, or
transfer of nonfiscal resources from a
regional treatment center.
By November 1, 1997, the commissioner
shall begin to develop regional
treatment center staffing plans for
inpatient and other psychiatric
programs. The commissioner will
consult with representatives of
exclusive bargaining representatives
during the development of these plans.
By February 1, 1998, the commissioner
shall prepare and transmit to the
legislature a report of the staffing
level standards for regional treatment
centers. The commissioner may also
recommend any changes in statute,
rules, and appropriations needed to
implement the recommendations.
(b) State-Operated Community
Services - MI Adults
General 3,907,000 3,976,000
(c) State-Operated Community
Services - DD
General 9,620,000 10,570,000
Subd. 8. Continuing Care and
Community Support Grants
General 1,097,832,000 1,165,926,000
The amounts that may be spent from this
appropriation for each purpose are as
follows:
(a) Community Services Block Grants
55,641,000 55,641,000
[CSSA TRADITIONAL APPROPRIATION.]
Notwithstanding Minnesota Statutes,
section 256E.06, subdivisions 1 and 2,
the appropriations available under that
section in fiscal years 1998 and 1999
must be distributed to each county
proportionately to the aid received by
the county in calendar year 1996. The
commissioner, in consultation with
counties, shall study the formula
limitations in subdivision 2 of that
section, and report findings and any
recommendations for revision of the
CSSA formula and its formula limitation
provisions to the legislature by
January 15, 1998.
(b) Consumer Support Grants
1,757,000 1,757,000
(c) Aging Adult Service Grants
7,900,000 7,928,000
[OMBUDSMAN FOR OLDER MINNESOTANS.] Of
this appropriation, $150,000 in fiscal
year 1998 and $175,000 in fiscal year
1999 is for the board on aging's
ombudsman for older Minnesotans to
expand its activities relating to home
care services and other
noninstitutional services, and to
develop and implement a continuing
education program for ombudsman
volunteers. This appropriation shall
become part of base-level funding for
the biennium beginning July 1, 1999.
[HEALTH INSURANCE COUNSELING.] (a) Of
this appropriation, $200,000 each year
is for the board on aging for the
purpose of health insurance counseling
and assistance grants to be awarded to
the area agencies on aging.
(b) Of the amount in paragraph (a),
$100,000 per year is for the area
agencies in regions participating in
the current health insurance counseling
pilot program. The remaining funding
shall be distributed on a competitive
basis to area agencies on aging in
other regions based on criteria
developed jointly by the board on aging
and the area agencies on aging.
(c) The board shall explore
opportunities for obtaining alternative
funding from nonstate sources,
including contributions from
individuals seeking health insurance
counseling services.
[LIVING-AT-HOME/BLOCK NURSE PROGRAMS.]
Of this appropriation, $240,000 each
fiscal year is for the commissioner to
provide funding to 12 additional
living-at-home/block nurse programs;
$70,000 for the biennium is for the
commissioner to increase funding for
certain living-at-home/block nurse
programs so that funding for all
programs is at the same level for each
fiscal year; and $50,000 each fiscal
year is for the commissioner to provide
additional contract funding for the
organization awarded the contract for
the living-at-home/block nurse program.
[CONGREGATE AND HOME-DELIVERED MEALS.]
The supplemental funding for nutrition
programs serving counties where
congregate and home-delivered meals
were locally financed prior to
participation in the nutrition program
of the Older Americans Act shall be
awarded at no less than the same levels
as in fiscal year 1997.
[EPILEPSY LIVING SKILLS.] Of this
appropriation, $30,000 each year is for
the purposes of providing increased
funding for the living skills training
program for persons with intractable
epilepsy who need assistance in the
transition to independent living. This
amount must be included in the base
amount for this program.
(d) Deaf and Hard-of-Hearing
Services Grants
1,524,000 1,424,000
[ASSISTANCE DOGS.] Of this
appropriation, $50,000 for the biennium
is for the commissioner to provide
grants to Minnesota nonprofit
organizations that train or provide
assistance dogs for persons with
disabilities. This appropriation shall
not become part of the base for the
biennium beginning July 1, 1999.
[GRANT FOR SERVICES TO DEAF-BLIND
CHILDREN AND PERSONS.] Of this
appropriation, $150,000 for the
biennium is for a grant to an
organization that provides services to
deaf-blind persons. The grant must be
used to provide additional services to
deaf-blind children and their
families. Such services may include
providing intervenors to assist
deaf-blind children in participating in
their communities, and family education
specialists to teach siblings and
parents skills to support the
deaf-blind child in the family. The
commissioner shall use a
request-for-proposal process to award
the grants in this paragraph.
Of this appropriation, $150,000 for the
biennium is for a grant to an
organization that provides services to
deaf-blind persons. The grant must be
used to provide assistance to
deaf-blind persons who are working
towards establishing and maintaining
independence. The commissioner shall
use a request-for-proposal process to
award the grants in this paragraph.
An organization that receives a grant
under this provision may expend the
grant for any purpose authorized by
this provision, and in either year of
the biennium.
[GRANT FOR SERVICES TO DEAF PERSONS
WITH MENTAL ILLNESS.] Of this
appropriation, $100,000 the first year
and $50,000 the second year is for a
grant to a nonprofit agency that
currently serves deaf and
hard-of-hearing adults with mental
illness through residential programs
and supported housing outreach
activities. The grant must be used to
continue or maintain community support
services for deaf and hard-of-hearing
adults with mental illness who use or
wish to use sign language as their
primary means of communication.
[ASSESSMENTS FOR DEAF, HARD-OF-HEARING
AND DEAF-BLIND CHILDREN.] Of this
appropriation, $150,000 each year is
for the commissioner to establish a
grant program for deaf, hard-of-hearing
and deaf-blind children in the state.
The grant program shall be used to
provide specialized statewide
psychological and social assessments,
family assessments, and school and
family consultation and training.
Services provided through this program
must be provided in cooperation with
the Minnesota resource center; the
department of children, families, and
learning; the St. Paul-Ramsey health
and wellness program serving deaf and
hard-of-hearing people; and greater
Minnesota community mental health
centers.
(e) Mental Health Grants
48,796,000 49,896,000
[ADOLESCENT COMPULSIVE GAMBLING GRANT.]
$125,000 for fiscal year 1998 and
$125,000 for fiscal year 1999 shall be
transferred by the director of the
lottery from the lottery prize fund
created under Minnesota Statutes,
section 349A.10, subdivision 2, to the
general fund. $125,000 for fiscal year
1998 and $125,000 for fiscal year 1999
is appropriated from the general fund
to the commissioner for the purposes of
a grant to a compulsive gambling
council located in St. Louis county for
a statewide compulsive gambling
prevention and education project for
adolescents.
[CAMP.] Of this appropriation, $30,000
for the biennium is from the mental
health special projects account, for
adults and children with mental illness
from across the state for a camping
program which utilizes the Boundary
Waters Canoe Area and is cooperatively
sponsored by client advocacy, mental
health treatment, and outdoor
recreation agencies.
(f) Developmental Disabilities
Support Grants
6,448,000 6,398,000
(g) Medical Assistance Long-Term
Care Waivers and Home Care
249,512,000 299,186,000
[COUNTY WAIVERED SERVICES RESERVE.]
Notwithstanding the provisions of
Minnesota Statutes, section 256B.092,
subdivision 4, and Minnesota Rules,
part 9525.1830, subpart 2, the
commissioner may approve written
procedures and criteria for the
allocation of home- and community-based
waivered services funding for persons
with mental retardation or related
conditions which enables a county to
maintain a reserve resource account.
The reserve resource account may not
exceed five percent of the county
agency's total annual allocation of
home- and community-based waivered
services funds. The reserve may be
utilized to ensure the county's ability
to meet the changing needs of current
recipients, to ensure the health and
safety needs of current recipients, or
to provide short-term emergency
intervention care to eligible waiver
recipients.
[REIMBURSEMENT INCREASES.] (a)
Effective for services rendered on or
after July 1, 1997, the commissioner
shall increase reimbursement or
allocation rates by five percent, and
county boards shall adjust provider
contracts as needed, for home and
community-based waiver services for
persons with mental retardation or
related conditions under Minnesota
Statutes, section 256B.501; home and
community-based waiver services for the
elderly under Minnesota Statutes,
section 256B.0915; community
alternatives for disabled individuals
waiver services under Minnesota
Statutes, section 256B.49; community
alternative care waiver services under
Minnesota Statutes, section 256B.49;
traumatic brain injury waiver services
under Minnesota Statutes, section
256B.49; nursing services and home
health services under Minnesota
Statutes, section 256B.0625,
subdivision 6a; personal care services
and nursing supervision of personal
care services under Minnesota Statutes,
section 256B.0625, subdivision 19a;
private duty nursing services under
Minnesota Statutes, section 256B.0625,
subdivision 7; day training and
habilitation services for adults with
mental retardation or related
conditions under Minnesota Statutes,
sections 252.40 to 252.47; physical
therapy services under Minnesota
Statutes, sections 256B.0625,
subdivision 8, and 256D.03, subdivision
4; occupational therapy services under
Minnesota Statutes, sections 256B.0625,
subdivision 8a, and 256D.03,
subdivision 4; speech-language therapy
services under Minnesota Statutes,
section 256D.03, subdivision 4, and
Minnesota Rules, part 9505.0390;
respiratory therapy services under
Minnesota Statutes, section 256D.03,
subdivision 4, and Minnesota Rules,
part 9505.0295; dental services under
Minnesota Statutes, sections 256B.0625,
subdivision 9, and 256D.03, subdivision
4; alternative care services under
Minnesota Statutes, section 256B.0913;
adult residential program grants under
Minnesota Rules, parts 9535.2000 to
9535.3000; adult and family community
support grants under Minnesota Rules,
parts 9535.1700 to 9535.1760; and
semi-independent living services under
Minnesota Statutes, section 252.275,
including SILS funding under county
social services grants formerly funded
under Minnesota Statutes, chapter
256I. The commissioner shall also
increase prepaid medical assistance
program capitation rates as appropriate
to reflect the rate increases in this
paragraph. Section 13, sunset of
uncodified language, does not apply to
this paragraph.
(b) It is the intention of the
legislature that the compensation
packages of staff within each service
be increased by five percent.
(h) Medical Assistance Long-Term
Care Facilities
570,291,000 598,115,000
[ICF/MR AND NURSING FACILITY
INFLATION.] The commissioner shall
grant inflation adjustments for nursing
facilities with rate years beginning
during the biennium according to
Minnesota Statutes, section 256B.431,
and shall grant inflation adjustments
for intermediate care facilities for
persons with mental retardation or
related conditions with rate years
beginning during the biennium according
to Minnesota Statutes, section 256B.501.
[MORATORIUM EXCEPTIONS.] Of this
appropriation, $500,000 each year shall
be disbursed for the medical assistance
costs of moratorium exceptions approved
by the commissioner of health under
Minnesota Statutes, section 144A.073.
Unexpended money appropriated for
fiscal year 1998 does not cancel but is
available for fiscal year 1999.
(i) Alternative Care Grants
General 48,355,000 32,278,000
[PREADMISSION SCREENING TRANSFER.]
Effective the day following final
enactment, up to $40,000 of the
appropriation for preadmission
screening and alternative care for
fiscal year 1997 may be transferred to
the health care administration account
to pay the state's share of county
claims for conducting nursing home
assessments for persons with mental
illness or mental retardation as
required by Public Law Number 100-203.
[ALTERNATIVE CARE TRANSFER.] Any money
allocated to the alternative care
program that is not spent for the
purposes indicated does not cancel but
shall be transferred to the medical
assistance account.
[PREADMISSION SCREENING AMOUNT.] The
preadmission screening payment to all
counties shall continue at the payment
amount in effect for fiscal year 1997.
[PAS/AC APPROPRIATION.] The
commissioner may expend the money
appropriated for preadmission screening
and the alternative care program for
these purposes in either year of the
biennium.
(j) Group Residential Housing
General 65,974,000 69,562,000
(k) Chemical Dependency
Entitlement Grants
General 36,634,000 38,741,000
[CHEMICAL DEPENDENCY FUNDS TRANSFER.]
$11,340,000 from the consolidated
chemical dependency general reserve
fund available in fiscal year 1998 is
transferred to the general fund.
(l) Chemical Dependency
Nonentitlement Grants
General 5,000,000 5,000,000
Subd. 9. Continuing Care and
Community Support Management
General 19,219,000 19,145,000
State Government
Special Revenue 111,000 112,000
[REGION 10 QUALITY ASSURANCE
COMMISSION.] Of this appropriation,
$160,000 each year is for the
commissioner to allocate to the region
10 quality assurance commission for the
costs associated with the establishment
and operation of the quality assurance
pilot project, and for the commissioner
to provide grants to counties
participating in the alternative
quality assurance licensing system
under Minnesota Statutes, section
256B.0953. $10,000 each year is for
the commissioner to contract with an
independent entity to conduct a
financial review under Minnesota
Statutes, section 256B.0955, paragraph
(e); and $5,000 each year is for the
commissioner to establish and implement
an ongoing evaluation process under
Minnesota Statutes, section 256B.0955,
paragraph (d). This appropriation
shall not become part of base-level
funding for the biennium beginning July
1, 1999.
[JOINT PURCHASER DEMONSTRATION
PROJECT.] Of this appropriation,
$50,000 in fiscal year 1998 is for a
grant to the Goodhue and Wabasha public
health service board to be used for the
development and start-up operational
costs for a joint purchaser
demonstration project described in Laws
1995, chapter 207, article 6, section
119, in Goodhue and Wabasha counties.
This is a one-time appropriation and
shall not become part of the base for
the 2000-2001 biennial budget.
[PILOT PROJECT FOR ASSISTED LIVING
SERVICES FOR SENIOR CITIZENS IN PUBLIC
HOUSING.] Of this appropriation,
$75,000 in fiscal year 1998 is for a
pilot project to provide assisted
living services for unserved and
underserved frail elderly and disabled
persons with a focus on those who
experience language and cultural
barriers. The project shall offer
frail elderly persons an opportunity to
receive community-based support
services in a public housing setting to
enable them to remain in their homes.
The project shall also serve younger
disabled persons on waiver programs who
live in public housing and would
otherwise be in nursing homes. The
commissioner shall provide pilot
project funding to Hennepin county to
contract with the Korean service center
at the Cedars high-rises. The center
shall agree to do the following:
(1) facilitate or provide needed
community support services while taking
advantage of current local, state, and
federal programs that provide services
to senior citizens and handicapped
individuals;
(2) negotiate appropriate agreements
with the Minneapolis public housing
authority and Hennepin county;
(3) ensure that all participants are
screened for eligibility for services
by Hennepin county;
(4) become a licensed home care service
provider or subcontract with a licensed
provider to deliver needed services;
(5) contract for meals to be provided
through its congregate dining program;
and
(6) form other partnerships as needed
to ensure the development of a
successful, culturally sensitive
program for meeting the needs of
Korean, Southeast Asian, and other
frail elderly and disabled persons
living in public housing in southeast
Minneapolis.
[PILOT PROJECT ON WOMEN'S MENTAL HEALTH
CRISIS SERVICES.] (a) Of this
appropriation, $200,000 in fiscal year
1998 is to develop a one-year pilot
project community-based crisis center
for women who are experiencing a mental
health crisis as a result of childhood
physical or sexual abuse. The
commissioner shall provide pilot
project funding to Hennepin county to
contract with a four-bed adult foster
care facility to provide these services.
(b) The commissioner shall apply to the
federal government for all necessary
waivers of medical assistance
requirements for funding of mental
health clinics so that the services in
paragraph (a) may be reimbursed by
medical assistance, upon legislative
approval, effective July 1, 1998.
[SNOW DAYS.] Of this appropriation,
$85,000 in fiscal year 1998 shall be
disbursed to reimburse day training and
habilitation providers for days during
which the provider was closed as a
result of severe weather conditions in
December 1996 to March 1997. A day
training provider must request the aid
and provide relevant information to the
commissioner, including verfication of
the inability to make up days within
the provider's yearly budget program
calendar. If the appropriation is
insufficient to reimburse for all
closed days reported by providers, the
commissioner shall disburse the funds
to those providers demonstrating the
greatest need, measured by the amount
of a provider's losses in proportion to
the provider's overall budget. This
money shall be distributed no later
than September 15, 1997.
[DEVELOPMENTAL DISABILITIES PLANNING
GRANTS.] Of the appropriation for
developmental disabilities
demonstration projects, $125,000 in
fiscal year 1998 is for grants to
additional counties for planning
necessary to participate in the
projects.
Subd. 10. Economic Support Grants
General 223,031,000 208,140,000
[GIFTS.] Notwithstanding Minnesota
Statutes, chapter 7, the commissioner
may accept on behalf of the state
additional funding from sources other
than state funds for the purpose of
financing the cost of assistance
program grants or nongrant
administration. All additional funding
is appropriated to the commissioner for
use as designated by the grantee of
funding.
The amounts that may be spent from this
appropriation for each purpose are as
follows:
(a) Assistance to Families Grants
General 89,412,000 110,571,000
(b) Work Grants
General 13,966,000 13,892,000
[NEW CHANCE PROGRAM.] Of this
appropriation, $280,000 for the
biennium is for a grant to the new
chance program. The new chance program
shall provide comprehensive services
through a private, nonprofit agency to
young parents in Hennepin county who
have dropped out of school and are
receiving public assistance. The
program administrator shall report
annually to the commissioner on skills
development, education, job training,
and job placement outcomes for program
participants. This appropriation is
available for either year of the
biennium. Base level funding for the
biennium beginning July 1, 1999, for
this program shall be $140,000 per year.
(c) Minnesota Family
Investment Plan
General 23,704,000 -0-
[WELFARE REFORM CARRYOVER.] Unexpended
grant funds for the statewide
implementation of the Minnesota family
investment program-statewide and
employment and training programs and
for the work first and work focused
pilot programs appropriated in fiscal
year 1998 for the implementation of
welfare reform initiatives do not
cancel and are available to the
commissioner for these purposes in
fiscal year 1999.
(d) Aid to Families With
Dependent Children
General 7,695,000 -0-
[AFDC SUPPLEMENTARY GRANTS.] Of the
appropriation for AFDC, the
commissioner shall provide
supplementary grants not to exceed
$200,000 a year for AFDC until the AFDC
program no longer exists. The
commissioner shall include the
following costs in determining the
amount of the supplementary grants:
major home repairs, repair of major
home appliances, utility recaps,
supplementary dietary needs not covered
by medical assistance, and replacements
of furnishings and essential major
appliances.
[CASH BENEFITS IN ADVANCE.] The
commissioner, with the advance approval
of the commissioner of finance, is
authorized to issue cash assistance
benefits 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 cash assistance grants
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
finance. This paragraph is effective
the day following final enactment.
(e) Child Support Enforcement
General 5,427,000 5,009,000
[CHILD SUPPORT PAYMENT CENTER.]
Payments to the commissioner from other
governmental units, private
enterprises, and individuals for
services performed by the child support
payment center must be deposited in the
state systems account authorized under
Minnesota Statutes, section 256.014.
These payments are appropriated to the
commissioner for the operation of the
child support payment center or system,
according to Minnesota Statutes,
section 256.014.
[CHILD SUPPORT PAYMENT CENTER
RECOUPMENT ACCOUNT.] The child support
payment center is authorized to
establish an account to cover checks
issued in error or in cases where
insufficient funds are available to pay
the checks. All recoupments against
payments from the account must be
deposited in the child support payment
center recoupment account and are
appropriated to the commissioner for
the purposes of the account. Any
unexpended balance in the account does
not cancel, but is available until
expended. For the period June 1, 1997,
through June 30, 1997, the commissioner
may transfer fiscal year 1997 general
fund administrative money to the child
support payment center recoupment
account to cover underfinanced and
unfunded checks during this period
only. This paragraph is effective the
day following final enactment.
[CHILD SUPPORT ENFORCEMENT CARRYOVER.]
Unexpended funds for child support
enforcement grants and county
performance incentives for fiscal year
1998 do not cancel but are available to
the commissioner for these purposes for
fiscal year 1999.
[CHILD SUPPORT ENFORCEMENT
APPROPRIATIONS.] Of this appropriation
for the biennium ending June 30, 1999,
the commissioner shall transfer:
$150,000 to the attorney general for
the continuation of the public
education campaign specified in
Minnesota Statutes, section 8.35; and
$68,000 to the attorney general for the
purposes specified in Minnesota
Statutes, section 518.575. Any balance
remaining in the first year does not
cancel, but is available in the second
year.* (The preceding text beginning
"[CHILD SUPPORT ENFORCEMENT
APPROPRIATIONS.]" was vetoed by the
governor.)
(f) General Assistance
General 55,650,000 49,404,000
[GA STANDARD.] The commissioner shall
set the monthly standard of assistance
for general assistance units consisting
of an adult recipient who is childless
and unmarried or living apart from his
or her parents or a legal guardian at
$203. The commissioner may reduce this
amount in accordance with Laws 1997,
chapter 85, article 3, section 54.
(g) Minnesota Supplemental Aid
General 25,572,000 27,659,000
(h) Refugee Services
General 1,605,000 1,605,000
Subd. 11. Economic Support
Management
General 38,787,000 37,264,000
The amounts that may be spent from this
appropriation for each purpose are as
follows:
(a) Economic Support Policy
Administration
General 10,145,000 8,508,000
[COMBINED MANUAL PRODUCTION COSTS.] The
commissioner may increase the fee
charged to, and may retain money
received from, individuals and private
entities in order to recover the
difference between the costs of
producing the department of human
services combined manual and the
subsidized price charged to individuals
and private entities on January 1,
1996. This provision does not apply to
government agencies and nonprofit
agencies serving the legal or social
service needs of clients.
[PLAN FOR TRIBAL OPERATION OF FAMILY
ASSISTANCE PROGRAM.] Of this
appropriation, $75,000 each year is for
the commissioner to apportion to the
tribes to assist in the development of
a plan for providing state funds in
support of a family assistance program
administered by Indian tribes that have
a reservation in Minnesota and that
have federal approval to operate a
tribal program. The commissioner and
the tribes shall collaborate in the
development of the plan. The plan
shall be reported to the legislature no
later than February 15, 1998.
[ELIGIBILITY DETERMINATIONS FUNDING.]
Increased federal funds for the costs
of eligibility determination and other
permitted activities that are available
to the state through section 114 of the
Personal Responsibility and Work
Opportunity Reconciliation Act, Public
Law Number 104-193, are appropriated to
the commissioner.
(b) Economic Support Policy
Operations
General 28,642,000 28,756,000
[ELECTRONIC BENEFIT TRANSFER (EBT)
COUNTY ALLOCATION.] Of the amount
appropriated for electronic benefit
transfer, an allocation shall be made
each year to counties for EBT-related
expenses. One hundred percent of the
appropriation shall be allocated to
counties based on each county's average
monthly number of food stamp households
as a proportion of statewide average
monthly food stamp households for the
fiscal year ending June 30, 1996.
[FRAUD PREVENTION AND CONTROL FUNDING.]
Unexpended funds appropriated for the
provision of program integrity
activities for fiscal year 1998 are
also available to the commissioner to
fund fraud prevention and control
initiatives, and do not cancel but are
available to the commissioner for these
purposes for fiscal year 1999.
Unexpended funds may be transferred
between the fraud prevention
investigation program and fraud control
programs to promote the provisions of
Minnesota Statutes, sections 256.983
and 256.9861.
[TRIBAL OPERATION OF ASSISTANCE
PROGRAMS; FEASIBILITY CONSIDERED.] The
commissioner of human services, in
consultation with the federally-
recognized Indian tribes, the
commissioner of children, families, and
learning and the commissioner of
economic security, shall explore and
report to the legislature, by February
15, 1998, on the feasibility of having
the federally-recognized Indian tribes
administer or operate state and
federally funded programs such as
MFIP-S, diversionary assistance, food
stamps, general assistance, emergency
assistance, child support enforcement,
and child care assistance. The
exploration shall consider the state
and federal funding needed for the
programs under consideration.
[COUNTY AID FOR SUPPLEMENTAL HOUSING
ASSISTANCE PROGRAM.] (a) $960,000 is
appropriated to the commissioner for
fiscal year 1998 to be allocated to
counties for the county aid for
supplemental assistance program
(CASHAP). CASHAP is a statewide
program to help meet the housing needs
of legal noncitizens residing in
Minnesota on August 22, 1996, who
qualified for and received a loan
secured by a mortgage on their
principal residence, based in part on
the expectation of continued receipt of
SSI benefits, and who are terminated
from SSI benefits under the Personal
Responsibility and Work Opportunity
Reconciliation Act of 1996, Public Law
Number 104-193.
(b) The appropriation in paragraph (a)
shall be allocated to county social
services agencies based on each
county's proportion of the total
statewide number of legal noncitizens
residing in Minnesota on August 22,
1996, who are terminated from SSI
benefits under Public Law Number
104-193. County agencies shall use
their allocation of CASHAP funds to
help meet the long-term housing needs
of the legal noncitizens described in
paragraph (a).
(c) If at any time federal SSI benefits
are restored for the legal noncitizens
described in paragraph (a), the
commissioner shall direct the county
agencies to redetermine the eligibility
of those legal noncitizens for SSI
benefits, and convert all legal
noncitizens eligible for SSI benefits
to the SSI program and utilize
available federal funds for those
eligible persons. Legal noncitizens
who are converted to federal benefit
status are not eligible for assistance
under CASHAP. Legal noncitizens who
apply for assistance under CASHAP
subsequent to the date that the federal
government restores SSI benefits to
legal noncitizens must first be
screened for federal benefit
eligibility.
(d) Funds appropriated for CASHAP but
not expended in fiscal year 1998 do not
cancel to the general fund, but are
transferred to the MFIP-S/TANF reserve
account created under Minnesota
Statutes, section 256J.03.
Subd. 12. Federal TANF Funds
[FEDERAL TANF FUNDS.] Federal Temporary
Assistance for Needy Families block
grant funds authorized under title I of
Public Law Number 104-193, the Personal
Responsibility and Work Opportunity
Reconciliation Act of 1996, are
appropriated to the commissioner in
amounts up to $276,741,000 in fiscal
year 1998 and $265,795,000 in fiscal
year 1999.
Sec. 3. COMMISSIONER OF HEALTH
Subdivision 1. Total
Appropriation 72,642,000 71,996,000
Summary by Fund
General 50,589,000 49,733,000
Metropolitan
Landfill Contingency
Action Fund 193,000 193,000
State Government
Special Revenue 21,860,000 22,070,000
Minnesota Resources 150,000 -0-
[LANDFILL CONTINGENCY.] The
appropriation from the metropolitan
landfill contingency action fund is for
monitoring well water supplies and
conducting health assessments in the
metropolitan area.
Subd. 2. Health Systems
and Special Populations 48,517,000 48,233,000
Summary by Fund
General 39,295,000 38,998,000
State Government
Special Revenue 9,222,000 9,235,000
[FEES; DRUG AND ALCOHOL COUNSELOR
LICENSE.] When setting fees for the
drug and alcohol counselor license, the
department is exempt from Minnesota
Statutes, section 16A.1285, subdivision
2.
[STATE VITAL STATISTICS REDESIGN
PROJECT ACCOUNT.] The amount
appropriated from the state government
special revenue fund for the vital
records redesign project shall be
available until expended for
development and implementation.
[WIC PROGRAM.] Of this appropriation,
$650,000 in 1998 is provided to
maintain services of the program,
$700,000 in 1998 and $700,000 in 1999
is added to the base level funding for
the WIC food program in order to
maintain the existing level of the
program, and $100,000 in 1998 is for
the commissioner to develop and
implement an outreach program to
apprise potential recipients of the WIC
food program of the importance of good
nutrition and the availability of the
program.
[WIC TRANSFERS.] General fund
appropriations for the women, infants,
and children (WIC) food supplement
program are available for either year
of the biennium. Transfers of
appropriations between fiscal years
must be for the purpose of maximizing
federal funds or minimizing
fluctuations in the number of
participants.
[LOCAL PUBLIC HEALTH FINANCING.] Of the
general fund appropriation, $5,000,000
each year shall be disbursed for local
public health financing and shall be
distributed according to the community
health service subsidy formula in
Minnesota Statutes, section 145A.13.
[MINNESOTA CHILDREN WITH SPECIAL HEALTH
NEEDS CARRYOVER.] General fund
appropriations for treatment services
in the services for children with
special health care needs program are
available for either year of the
biennium.
[HEALTH CARE ASSISTANCE FOR DISABLED
CHILDREN INELIGIBLE FOR SSI.]
Notwithstanding the requirements of
Minnesota Rules, part 4705.0100,
subpart 14, children who: (a) are
eligible for medical assistance as of
June 30, 1997, and become ineligible
for medical assistance due to changes
in supplemental security income
disability standards for children
enacted in (PRWORA) Public Law Number
104-193; and (b) are not eligible for
MinnesotaCare, are eligible for health
care services through Minnesota
services for children with special
health care needs under Minnesota
Rules, parts 4705.0100 to 4705.1600 for
the fiscal year ending June 30, 1998,
until eligibility for medical
assistance is reestablished. The
commissioner of health shall report to
the legislature by March 1, 1998, on
the number of children eligible under
this provision, their health care
needs, family income as a percentage of
the federal poverty level, the extent
to which families have employer-based
health coverage, and recommendations on
how to meet the future needs of
children eligible under this provision.
[AMERICAN INDIAN DIABETES.] Of this
appropriation, $90,000 each year shall
be disbursed for a comprehensive
school-based intervention program
designed to reduce the risk factors
associated with diabetes among American
Indian school children in grades 1
through 4. The appropriation for 1998
may be carried forward to 1999. The
appropriation for fiscal year 1999 is
available only if matched by $1 of
nonstate money for each $1 of the
appropriation and may be expended in
either year of the biennium. The
commissioner shall convene an American
Indian diabetes prevention advisory
task force. The task force must
include representatives from the
American Indian tribes located in the
state and urban American Indian
representatives. The task force shall
advise the commissioner on the
adaptation of curricula and the
dissemination of information designed
to reduce the risk factors associated
with diabetes among American Indian
school children in grades 1 through 4.
The curricula and information must be
sensitive to traditional American
Indian values and culture and must
encourage full participation by the
American Indian community.
[HOME VISITING PROGRAMS.] (a) Of this
appropriation, $140,000 in 1998 and
$870,000 in 1999 is for the home
visiting programs for infant care under
Minnesota Statutes, section 145A.16.
These amounts are available until June
30, 1999.
(b) Of this appropriation, $225,000 in
1998 and $180,000 in 1999 is to
continue funding the home visiting
programs that received one-year funding
under Laws 1995, chapter 480, article
1, section 9. This amount is available
until expended.
[FETAL ALCOHOL SYNDROME.] Of the
general fund appropriation, $625,000
each year of the biennium shall be
disbursed to prevent and reduce harm
from fetal alcohol syndrome and fetal
alcohol effect.
[COMPLAINT INVESTIGATIONS.] Of the
appropriation, $127,000 each year from
the state government special revenue
fund, and $75,000 each year from the
general fund, is for the commissioner
to conduct complaint investigations of
nursing facilities, hospitals and home
health care providers.
[COMPLEMENTARY MEDICINE STUDY.] (a) Of
the general fund appropriation, $20,000
in fiscal year 1998 shall be disbursed
for the commissioner of health, in
consultation with the commissioner of
commerce, to conduct a study based on
existing literature, information, and
data on the scope of complementary
medicine offered in this state. The
commissioner shall:
(1) include the types of complementary
medicine therapies available in this
state;
(2) contact national and state
complementary medicine associations for
literature, information, and data;
(3) conduct a general literary review
for information and data on
complementary medicine;
(4) contact the departments of commerce
and human services for information on
existing registrations, licenses,
certificates, credentials, policies,
and regulations; and
(5) determine by sample, if
complementary medicine is currently
covered by health plan companies and
the extent of the coverage.
In conducting this review, the
commissioner shall consult with the
office of alternative medicine through
the National Institute of Health.
(b) The commissioner shall, in
consultation with the advisory
committee, report the study findings to
the legislature by January 15, 1998.
As part of the report, the commissioner
shall make recommendations on whether
the state should credential or regulate
any of the complementary medicine
providers.
(c) The commissioner shall appoint an
advisory committee to provide expertise
and advice on the study. The committee
must include representation from the
following groups: health care
providers, including providers of
complementary medicine; health plan
companies; and consumers. The advisory
committee is governed by Minnesota
Statutes, section 15.059, for
membership terms and removal of members.
(d) For purposes of this study, the
term "complementary medicine" includes,
but is not limited to, acupuncture,
homeopathy, manual healing,
macrobiotics, naturopathy, biofeedback,
mind/body control therapies,
traditional and ethnomedicine
therapies, structural manipulations and
energetic therapies, bioelectromagnetic
therapies, and herbal medicine.
[DOWN'S SYNDROME.] Of the general fund
appropriation, $15,000 in fiscal year
1998 shall be disbursed for a grant to
a nonprofit organization that provides
support to individuals with Down's
Syndrome and their families, for the
purpose of providing all obstetricians,
certified nurse-midwives, and family
physicians licensed to practice in this
state with informational packets on
Down's Syndrome. The packets must
include, at a minimum, a fact sheet on
Down's Syndrome, a list of counseling
and support groups for families with
children with Down's Syndrome, and a
list of special needs adoption
resources. The informational packets
must be made available to any pregnant
patient who has tested positive for
Down's Syndrome, either through a
screening test or amniocentesis.
[NEWBORN SCREENING FOR HEARING LOSS
PROGRAM IMPLEMENTATION PLAN.] (a) Of
the general fund appropriation, $18,000
in fiscal year 1998 shall be disbursed
to pay the costs of coordinating with
hospitals, the medical community,
audiologists, insurance companies,
parents, and deaf and hard-of-hearing
citizens to establish and implement a
voluntary plan for hospitals and other
health care facilities to screen all
infants for hearing loss.
(b) The plan to achieve universal
screening of infants for hearing loss
on a voluntary basis shall be
formulated by a department work group,
including the following representatives:
(1) a representative of the health
insurance industry designated by the
health insurance industry;
(2) a representative of the Minnesota
Hospital and Healthcare Partnership;
(3) a total of two representatives from
the following physician groups
designated by the Minnesota Medical
Association: pediatrics, family
practice, and ENT;
(4) two audiologists designated by the
Minnesota Speech-Language-Hearing
Association and the Minnesota Academy
of Audiology;
(5) a representative of hospital
neonatal nurseries;
(6) a representative of part H (IDEA)
early childhood special education;
(7) the commissioner of health or a
designee;
(8) a representative of the department
of human services;
(9) a public health nurse;
(10) a parent of a deaf or
hard-of-hearing child;
(11) a deaf or hard-of-hearing person;
and
(12) a representative of the Minnesota
commission serving deaf and
hard-of-hearing people.
Members of the work group shall not
collect a per diem or compensation as
provided in Minnesota Statutes, section
15.0575.
(c) The plan shall include measurable
goals and timetables for the
achievement of universal screening of
infants for hearing loss throughout the
state and shall include the design and
implementation of needed training to
assist hospitals and other health care
facilities screen infants for hearing
loss according to recognized standards
of care.
(d) The work group shall report to the
legislature by January 15, 1998,
concerning progress toward the
achievement of universal screening of
infants in Minnesota for the purpose of
assisting the legislature to determine
whether this goal can be accomplished
on a voluntary basis.
[INFANT HEARING SCREENING PROGRAM.] Of
the general fund appropriation, $25,000
in fiscal year 1998 shall be disbursed
for a grant to a hospital in Staples,
Minnesota, for the infant hearing
screening program.
[NURSING HOMES DAMAGED BY FLOODS.] The
commissioner shall conduct an expedited
process under Minnesota Statutes,
section 144A.073, solely to review
nursing home moratorium exceptions
necessary to repair or replace nursing
facilities damaged by spring flooding
in 1997. The commissioner may not
issue a request for proposals for
moratorium projects not related to
spring flooding until this expedited
process is completed. For facilities
that require total replacement and the
relocation of residents to other
facilities during construction, the
operating cost payment rates for the
new facility shall be determined using
the interim and settle-up payment
provisions of Minnesota Rules, part
9549.0057, and the reimbursement
provisions of Minnesota Statutes,
section 256B.431, except that
subdivision 25, paragraphs (b), clause
(3), and (d), shall not apply until the
second rate year after the settle-up
cost report is filed. Property-related
reimbursement rates shall be determined
under Minnesota Rules, chapter 9549,
taking into account any federal or
state flood-related loans or grants
provided to a facility. The medical
assistance costs of this paragraph
shall be paid from the amount made
available in section 2 of this article
for moratorium exceptions. This
paragraph is effective the day
following final enactment and is not
subject to section 13 of this article.
Subd. 3. Health Protection 20,875,000 20,588,000
Summary by Fund
General 8,202,000 7,718,000
Metro Landfill
Contingency 193,000 193,000
State Government
Special Revenue 12,480,000 12,677,000
[HIV/AIDS PREVENTION.] (a) Of the
general fund appropriation, $500,000 in
fiscal year 1998 shall be disbursed to
provide funding for HIV/AIDS prevention
grants under Minnesota Statutes,
section 145.924.
(b) Of the general fund appropriation,
$100,000 each year shall be disbursed
for activities related to prevention of
perinatal transmission of HIV, a
statewide education campaign for
pregnant women and their health care
providers, and demonstration grants to
providers to develop procedures for
incorporating HIV awareness and
education into perinatal care.
(c) The appropriations in paragraphs
(a) and (b) shall not become part of
base-level funding for the biennium
beginning July 1, 1999.
[PLAN AND EVALUATION REQUIRED.] Of this
appropriation, $100,000 for the
biennium is for the commissioner to
plan for and evaluate the effects of
Minnesota Statutes, sections 151.40,
subdivision 18, paragraph (b),
325F.785, and 145.924. The
commissioner shall submit an interim
report to the legislature by January
15, 1998, including a plan for
implementing the syringe access
initiative to prevent HIV as authorized
in Minnesota Statutes, sections 151.40,
325F.785, and 145.924. The plan shall
include, but not be limited to,
strategies for coordinating the efforts
of the commissioner, community health
organizations, community-based HIV
service organizations, pharmacists, and
sellers as defined in Minnesota
Statutes, section 325F.785, and others
to provide information about the
prevention initiative, to maximize
opportunities to make referrals to
health services, to collect used
syringes, and to evaluate the
initiative's impact. A final report,
including evaluation, is due by January
15, 2002. The commissioner may seek
funding from federal, local, and
private sources for this purpose. The
reports shall be presented to the house
judiciary and health and human services
committees and to the senate crime
prevention and health and family
security committees.
Subd. 4. Management and
Support Services 3,250,000 3,175,000
Summary by Fund
General 3,092,000 3,017,000
State Government
Special Revenue 158,000 158,000
[HEALTH DEPARTMENT COMPUTER PROJECTS.]
Money appropriated for computer
projects approved by the information
policy office, funded by the
legislature, and approved by the
commissioner of finance does not cancel
but is available for development and
implementation.
[HOSPITAL CONVERSION.] Of the
appropriation from the general fund,
for the fiscal year ending June 30,
1998, the commissioner of health shall
provide $75,000 to a 28-bed hospital
located in Chisago county that is in
the process of closing and converting
to an outpatient and emergency services
facility, for the facility's EMS and
advanced life support services.
Sec. 4. VETERANS NURSING
HOMES BOARD 21,489,000 22,272,000
[SPECIAL REVENUE ACCOUNT.] The general
fund appropriations made to the
veterans homes board shall be
transferred to a veterans homes special
revenue account in the special revenue
fund in the same manner as other
receipts are deposited according to
Minnesota Statutes, section 198.34, and
are appropriated to the veterans homes
board of directors for the operation of
board facilities and programs.
[SETTING THE COST OF CARE.] The
veterans homes board may set the cost
of care at the Fergus Falls facility
for fiscal year 1998 based on the cost
of average skilled nursing care
provided to residents of the
Minneapolis veterans home for fiscal
year 1998. The board may set the cost
of care at the Fergus Falls facilities
for fiscal year 1999 based on the cost
of average skilled nursing care for
residents of the Minneapolis veterans
home for fiscal year 1999.
[LICENSED CAPACITY.] The department of
health shall not reduce the licensed
bed capacity for the Minneapolis
veterans home pending completion of the
project authorized by Laws 1990,
chapter 610, article 1, section 9,
subdivision 3.
[ALLOWANCE FOR FOOD.] The allowance for
food may be adjusted annually to
reflect changes in the producer price
index, as prepared by the United States
Bureau of Labor Statistics, with the
approval of the commissioner of
finance. Adjustments for fiscal year
1998 and fiscal year 1999 must be based
on the June 1996 and June 1997 producer
price index respectively, but the
adjustment must be prorated if it would
require money in excess of the
appropriation.
Sec. 5. HEALTH-RELATED BOARDS
Subdivision 1. Total
Appropriation 9,598,000 9,618,000
[STATE GOVERNMENT SPECIAL REVENUE
FUND.] The appropriations in this
section are from the state government
special revenue fund.
[NO SPENDING IN EXCESS OF REVENUES.]
The commissioner of finance shall not
permit the allotment, encumbrance, or
expenditure of money appropriated in
this section in excess of the
anticipated biennial revenues or
accumulated surplus revenues from fees
collected by the boards. Neither this
provision nor Minnesota Statutes,
section 214.06, applies to transfers
from the general contingent account.
Subd. 2. Board of Chiropractic
Examiners 332,000 340,000
Subd. 3. Board of Dentistry 742,000 760,000
Subd. 4. Board of Dietetic
and Nutrition Practice 90,000 90,000
Subd. 5. Board of Marriage and
Family Therapy 103,000 104,000
Subd. 6. Board of Medical
Practice 3,672,000 3,711,000
[HEALTH PROFESSIONAL SERVICES
ACTIVITY.] Of these appropriations,
$291,000 the first year and $296,000
the second year are for the Health
Professional Services Activity.
Subd. 7. Board of Nursing 2,067,000 2,106,000
[DISCIPLINE AND LICENSING SYSTEMS
PROJECT.] Of this appropriation,
$235,000 the first year and $235,000
the second year is to complete the
implementation of the discipline and
licensing systems project.
Subd. 8. Board of Nursing
Home Administrators 177,000 181,000
Subd. 9. Board of Optometry 82,000 85,000
Subd. 10. Board of Pharmacy 1,020,000 1,040,000
[ADMINISTRATIVE SERVICES UNIT.] Of this
appropriation, $216,000 the first year
and $222,000 the second year are for
the health boards administrative
services unit. The administrative
services unit may receive and expend
reimbursements for services performed
for other agencies.
Subd. 11. Board of Podiatry 33,000 33,000
Subd. 12. Board of Psychology 424,000 436,000
Subd. 13. Board of Social Work 715,000 588,000
Subd. 14. Board of Veterinary
Medicine 141,000 144,000
Sec. 6. EMERGENCY MEDICAL
SERVICES BOARD 2,494,000 2,262,000
Summary by Fund
General 842,000 584,000
Trunk Highway 1,652,000 1,678,000
[COMPREHENSIVE ADVANCED LIFE SUPPORT
(CALS).] Of this appropriation,
$200,000 in fiscal year 1998 shall be
disbursed to implement the
comprehensive advanced life support
(CALS) program or similar program and
$6,000 is for administrative costs of
implementing the CALS program.
[EMS BOARD DATA COLLECTION.] Of this
appropriation, $52,000 for the biennium
ending June 30, 1999, is from the
general fund to the emergency medical
services regulatory to be used as
start-up costs for the financial data
collection system.
Sec. 7. COUNCIL ON DISABILITY 616,000 631,000
Sec. 8. OMBUDSMAN FOR MENTAL
HEALTH AND MENTAL RETARDATION 1,399,000 1,298,000
[CARRYOVER.] $25,000 of the
appropriation from Laws 1995, chapter
207, article 1, section 7, does not
cancel but is available until June 30,
1999.
Sec. 9. OMBUDSMAN
FOR FAMILIES 157,000 161,000
Sec. 10. TRANSFERS
Subdivision 1. Grant Programs
The commissioner of human services,
with the approval of the commissioner
of finance, and after notification of
the chair of the senate health and
family security budget division and the
chair of the house health and human
services finance division, may transfer
unencumbered appropriation balances for
the biennium ending June 30, 1999,
within fiscal years among the aid to
families with dependent children,
Minnesota family investment
program-statewide, Minnesota family
investment plan, general assistance,
general assistance medical care,
medical assistance, Minnesota
supplemental aid, and group residential
housing programs, and the entitlement
portion of the chemical dependency
consolidated treatment fund, and
between fiscal years of the biennium.
Subd. 2. Approval Required
Positions, salary money, and nonsalary
administrative money may be transferred
within the departments of human
services and health and within the
programs operated by the veterans
nursing homes board as the
commissioners and the board consider
necessary, with the advance approval of
the commissioner of finance. The
commissioner of finance shall inform
the chairs of the house health and
human services finance division and the
senate health and family security
budget division quarterly about
transfers made under this provision.
Subd. 3. Transfer
Funding appropriated by the legislature
may not be transferred to a different
department than specified by the
legislature without legislative
authority.
Sec. 11. PROVISIONS
(a) Money appropriated to the
commissioner of human services for the
purchase of provisions within the item
"current expense" must be used solely
for that purpose. Money provided and
not used for the purchase of provisions
must be canceled into the fund from
which appropriated, except that money
provided and not used for the purchase
of provisions because of population
decreases may be transferred and used
for the purchase of drugs and medical
and hospital supplies and equipment
with written approval of the governor
after consultation with the legislative
advisory commission.
(b) For fiscal year 1998, the allowance
for food may be adjusted to the
equivalent of the 75th percentile of
the comparable raw food costs for
community nursing homes as reported to
the commissioner of human services.
For fiscal year 1999 an adjustment may
be made to reflect the annual change in
the United States Bureau of Labor
Statistics producer price index as of
June 1998 with the approval of the
commissioner of finance. The
adjustments for either year must be
prorated if they would require money in
excess of this appropriation.
Sec. 12. CARRYOVER LIMITATION
None of the appropriations in this act
which are allowed to be carried forward
from fiscal year 1998 to fiscal year
1999 shall become part of the base
level funding for the 2000-2001
biennial budget, unless specifically
directed by the legislature.
Sec. 13. SUNSET OF UNCODIFIED LANGUAGE
All uncodified language contained in
this article expires on June 30, 1999,
unless a different expiration date is
explicit.
Sec. 14. COMMISSIONER OF
ADMINISTRATION 1,270,000 -0-
[VETERANS HOMES IMPROVEMENTS.] Of this
appropriation, $1,270,000 for the
biennium is for the commissioner to
accomplish the repair and replacement
of sanitary sewers, fire protection
water mains, roof drains, and deep
sandstone tunnels at the Minneapolis
veterans home, Minneapolis campus.
ARTICLE 2
HEALTH DEPARTMENT
Section 1. [62J.49] [AMBULANCE SERVICES FINANCIAL DATA.]
Subdivision 1. [ESTABLISHMENT.] The emergency medical
services regulatory board established under chapter 144 shall
establish a financial data collection system for all ambulance
services licensed in this state. To establish the financial
database, the emergency medical services regulatory board may
contract with an entity that has experience in ambulance service
financial data collection.
Subd. 2. [DATA CLASSIFICATION.] All financial data
collected by the emergency medical services regulatory board
shall be classified as nonpublic data under section 13.02,
subdivision 9.
Sec. 2. Minnesota Statutes 1996, section 62J.69,
subdivision 2, is amended to read:
Subd. 2. [ALLOCATION AND FUNDING FOR MEDICAL EDUCATION AND
RESEARCH.] (a) The commissioner may establish a trust fund for
the purposes of funding medical education and research
activities in the state of Minnesota.
(b) By January 1, 1997, the commissioner may appoint an
advisory committee to provide advice and oversight on the
distribution of funds from the medical education and research
trust fund. If a committee is appointed, the commissioner
shall: (1) consider the interest of all stakeholders when
selecting committee members; (2) select members that represent
both urban and rural interest; and (3) select members that
include ambulatory care as well as inpatient perspectives. The
commissioner shall appoint to the advisory committee
representatives of the following groups: medical researchers,
public and private academic medical centers, managed care
organizations, Blue Cross and Blue Shield of Minnesota,
commercial carriers, Minnesota Medical Association, Minnesota
Nurses Association, medical product manufacturers, employers,
and other relevant stakeholders, including consumers. The
advisory committee is governed by section 15.059, for membership
terms and removal of members and will sunset on June 30, 1999.
(c) Eligible applicants for funds are accredited medical
education teaching institutions, consortia, and
programs operating in Minnesota. Applications must be submitted
by the sponsoring institution on behalf of the teaching program,
and must be received by September 30 of each year for
distribution by in January 1 of the following year. An
application for funds must include the following:
(1) the official name and address of the sponsoring
institution, facility, and the official name and address of the
facility or program that is applying for funding program on
whose behalf the institution is applying for funding;
(2) the name, title, and business address of those persons
responsible for administering the funds;
(3) the total number, type, and specialty orientation of
eligible Minnesota-based trainees in each accredited medical
education program applying for which funds are being sought;
(4) audited clinical training costs per trainee for each
medical education program;
(5) a description of current sources of funding for medical
education costs including a description and dollar amount of all
state and federal financial support;
(6) other revenue received for the purposes of clinical
training;
(7) a statement identifying unfunded costs; and
(8) other supporting information the commissioner, with
advice from the advisory committee, determines is necessary for
the equitable distribution of funds.
(d) The commissioner shall distribute medical education
funds to all qualifying applicants based on the following basic
criteria: (1) total medical education funds available; (2)
total eligible trainees in each eligible education program; and
(3) the statewide average cost per trainee, by type of trainee,
in each medical education program. Funds distributed shall not
be used to displace current funding appropriations from federal
or state sources. Funds shall be distributed to the sponsoring
institutions indicating the amount to be paid to each of the
sponsor's medical education programs based on the criteria in
this paragraph. Sponsoring institutions which receive funds
from the trust fund must distribute approved funds to the
medical education program according to the commissioner's
approval letter. Further, programs must distribute funds among
the sites of training based on the percentage of total program
training performed at each site.
(e) Medical education programs receiving funds from the
trust fund must submit annual cost and program reports through
the sponsoring institution based on criteria established by the
commissioner. The reports must include:
(1) the total number of eligible trainees in the program;
(2) the type of programs and residencies funded, the
amounts of trust fund payments to each program, and within each
program, the percentage distributed to each training site;
(3) the average cost per trainee and a detailed breakdown
of the components of those costs;
(4) other state or federal appropriations received for the
purposes of clinical training;
(5) other revenue received for the purposes of clinical
training; and
(6) other information the commissioner, with advice from
the advisory committee, deems appropriate to evaluate the
effectiveness of the use of funds for clinical training.
The commissioner, with advice from the advisory committee,
will provide an annual summary report to the legislature on
program implementation due February 15 of each year.
(f) The commissioner is authorized to distribute funds made
available through:
(1) voluntary contributions by employers or other entities;
(2) allocations for the department of human services to
support medical education and research; and
(3) other sources as identified and deemed appropriate by
the legislature for inclusion in the trust fund.
(g) The advisory committee shall continue to study and make
recommendations on:
(1) the funding of medical research consistent with work
currently mandated by the legislature and under way at the
department of health; and
(2) the costs and benefits associated with medical
education and research.
Sec. 3. Minnesota Statutes 1996, section 62J.69, is
amended by adding a subdivision to read:
Subd. 3. [MEDICAL ASSISTANCE AND GENERAL ASSISTANCE
SERVICE.] The commissioner of health, in consultation with the
medical education and research costs advisory committee, shall
develop a system to recognize those teaching programs which
serve higher numbers or high proportions of public program
recipients and shall report to the legislative commission on
health care access by January 15, 1998, on an allocation formula
to implement this system.
Sec. 4. Minnesota Statutes 1996, section 103I.101,
subdivision 6, is amended to read:
Subd. 6. [FEES FOR VARIANCES.] The commissioner shall
charge a nonrefundable application fee of $100 $120 to cover the
administrative cost of processing a request for a variance or
modification of rules adopted by the commissioner under this
chapter.
Sec. 5. Minnesota Statutes 1996, section 103I.208, is
amended to read:
103I.208 [WELL NOTIFICATION FILING FEES AND PERMIT FEES.]
Subdivision 1. [WELL NOTIFICATION FEE.] The well
notification fee to be paid by a property owner is:
(1) for a new well, $100 $120, which includes the state
core function fee; and
(2) for a well sealing, $20, which includes the state core
function fee; and
(3) for construction of a dewatering well, $100 $120, which
includes the state core function fee, for each well except a
dewatering project comprising five or more wells shall be
assessed a single fee of $500 $600 for the wells recorded on the
notification.
Subd. 1a. [STATE CORE FUNCTION FEE.] The state core
function fee to be collected by the state and delegated boards
of health and used to support state core functions is:
(1) for a new well, $20; and
(2) for a well sealing, $5.
Subd. 2. [PERMIT FEE.] The permit fee to be paid by a
property owner is:
(1) for a well that is not in use under a maintenance
permit, $100 annually;
(2) for construction of a monitoring well, $100 $120, which
includes the state core function fee;
(3) for a monitoring well that is unsealed under a
maintenance permit, $100 annually;
(4) for monitoring wells used as a leak detection device at
a single motor fuel retail outlet or petroleum bulk storage site
excluding tank farms, the construction permit fee is $100 $120,
which includes the state core function fee, per site regardless
of the number of wells constructed on the site, and the annual
fee for a maintenance permit for unsealed monitoring wells is
$100 per site regardless of the number of monitoring wells
located on site;
(5) for a groundwater thermal exchange device, in addition
to the notification fee for wells, $100 $120, which includes the
state core function fee;
(6) for a vertical heat exchanger, $100 $120; and
(7) for a dewatering well that is unsealed under a
maintenance permit, $100 annually for each well, except a
dewatering project comprising more than five wells shall be
issued a single permit for $500 annually for wells recorded on
the permit; and
(8) for excavating holes for the purpose of installing
elevator shafts, $120 for each hole.
Sec. 6. Minnesota Statutes 1996, section 103I.401,
subdivision 1, is amended to read:
Subdivision 1. [PERMIT REQUIRED.] (a) A person may not
construct an elevator shaft until a permit for the hole or
excavation is issued by the commissioner.
(b) The fee for excavating holes for the purpose of
installing elevator shafts is $100 for each hole.
(c) The elevator shaft permit preempts local permits except
local building permits, and counties and home rule charter or
statutory cities may not require a permit for elevator shaft
holes or excavations.
Sec. 7. Minnesota Statutes 1996, section 144.121,
subdivision 1, is amended to read:
Subdivision 1. [REGISTRATION; FEES.] The fee for the
registration for X-ray machines and radium other sources of
ionizing radiation required to be registered under rules adopted
by the state commissioner of health pursuant to section 144.12,
shall be in an amount prescribed by the commissioner as
described in subdivision 1a pursuant to section 144.122. The
first fee for registration shall be due on January 1, 1975. The
registration shall expire and be renewed as prescribed by the
commissioner pursuant to section 144.122.
Sec. 8. Minnesota Statutes 1996, section 144.121, is
amended by adding a subdivision to read:
Subd. 1a. [FEES FOR X-RAY MACHINES AND OTHER SOURCES OF
IONIZING RADIATION.] A facility with x-ray machines or other
sources of ionizing radiation must biennially pay an initial or
biennial renewal registration fee consisting of a base facility
fee of $132 and an additional fee for each x-ray machine or
other source of ionizing radiation as follows:
(1) medical or veterinary equipment $106
(2) dental x-ray equipment $ 66
(3) accelerator $132
(4) radiation therapy equipment $132
(5) x-ray equipment not used on humans or animals $106
(6) devices with sources of ionizing radiation
not used on humans or animals $106
(7) sources of radium $198
Sec. 9. Minnesota Statutes 1996, section 144.121, is
amended by adding a subdivision to read:
Subd. 1b. [PENALTY FEE FOR LATE REGISTRATION.]
Applications for initial or renewal registrations submitted to
the commissioner after the time specified by the commissioner
shall be accompanied by a penalty fee of $20 in addition to the
fees prescribed in subdivision 1a.
Sec. 10. Minnesota Statutes 1996, section 144.121, is
amended by adding a subdivision to read:
Subd. 1c. [FEE FOR X-RAY MACHINES AND OTHER SOURCES OF
IONIZING RADIATION REGISTERED DURING LAST 12 MONTHS OF A
BIENNIAL REGISTRATION PERIOD.] The initial registration fee of
x-ray machines or other sources of radiation required to be
registered during the last 12 months of a biennial registration
period will be 50 percent of the applicable registration fee
prescribed in subdivision 1a.
Sec. 11. Minnesota Statutes 1996, section 144.125, is
amended to read:
144.125 [TESTS OF INFANTS FOR INBORN METABOLIC ERRORS.]
It is the duty of (1) the administrative officer or other
person in charge of each institution caring for infants 28 days
or less of age and (2) the person required in pursuance of the
provisions of section 144.215, to register the birth of a child,
to cause to have administered to every infant or child in its
care tests for hemoglobinopathy, phenylketonuria, and other
inborn errors of metabolism in accordance with rules prescribed
by the state commissioner of health. In determining which tests
must be administered, the commissioner shall take into
consideration the adequacy of laboratory methods to detect the
inborn metabolic error, the ability to treat or prevent medical
conditions caused by the inborn metabolic error, and the
severity of the medical conditions caused by the inborn
metabolic error. Testing and the recording and reporting of the
results of the tests shall be performed at the times and in the
manner prescribed by the commissioner of health. The
commissioner shall charge laboratory service fees for conducting
the tests of infants for inborn metabolic errors so that the
total of fees collected will approximate the costs of conducting
the tests and implementing and maintaining a system to follow-up
infants with inborn metabolic errors. Costs associated with
capital expenditures and the development of new procedures may
be prorated over a three-year period when calculating the amount
of the fees.
Sec. 12. Minnesota Statutes 1996, section 144.226,
subdivision 1, is amended to read:
Subdivision 1. [WHICH SERVICES ARE FOR FEE.] The fees
for any of the following services shall be in the following or
an amount prescribed by rule of the commissioner:
(a) The fee for the issuance of a certified copy or
certification of a vital record, or a certification that the
record cannot be found; is $8. No fee shall be charged for a
certified birth or death record that is reissued within one year
of the original issue, if the previously issued record is
surrendered.
(b) The fee for the replacement of a birth certificate;
record for all events except adoption is $20.
(c) The fee for the filing of a delayed registration of
birth or death; is $20.
(d) The alteration, correction, or completion fee for the
amendment of any vital record, provided that when requested more
than one year after the filing of the record is $20. No fee
shall be charged for an alteration, correction, or
completion amendment requested within one year after the filing
of the certificate; and.
(e) The fee for the verification of information from or
noncertified copies of vital records is $8 when the applicant
furnishes the specific information to locate the record. When
the applicant does not furnish specific information, the fee is
$20 per hour for staff time expended. Specific information
shall include the correct date of the event and the correct name
of the registrant. Fees charged shall approximate the costs
incurred in searching and copying the records. The fee shall be
payable at time of application.
(f) The fee for issuance of a certified or noncertified
copy of any document on file pertaining to a vital record or a
certification that the record cannot be found is $8.
Sec. 13. Minnesota Statutes 1996, section 144.226, is
amended by adding a subdivision to read:
Subd. 4. [VITAL RECORDS SURCHARGE.] In addition to any fee
prescribed under subdivision 1, there is a nonrefundable
surcharge of $3 for each certified and noncertified birth or
death record. The local or state registrar shall forward this
amount to the state treasurer to be deposited into the state
government special revenue fund. This surcharge shall not be
charged under those circumstances in which no fee for a birth or
death record is permitted under subdivision 1, paragraph (a).
This surcharge requirement expires June 30, 2002.
Sec. 14. Minnesota Statutes 1996, section 144.394, is
amended to read:
144.394 [SMOKING PREVENTION HEALTH PROMOTION AND
EDUCATION.]
The commissioner may sell at market value, all nonsmoking
or tobacco use prevention advertising health promotion and
health education materials. Proceeds from the sale of the
advertising materials are appropriated to the department of
health for its nonsmoking the program that developed the
material.
Sec. 15. Minnesota Statutes 1996, section 145.925,
subdivision 9, is amended to read:
Subd. 9. [RULES; REGIONAL FUNDING.] Notwithstanding any
rules to the contrary, including rules proposed in the State
Register on April 1, 1991, the commissioner, in allocating grant
funds for family planning special projects, shall not limit the
total amount of funds that can be allocated to an organization
that has submitted applications from more than one region,
except that no more than $75,000 may be allocated to any grantee
within a single region. For two or more organizations who have
submitted a joint application, that limit is $75,000 for each
organization. The commissioner shall allocate to an
organization receiving grant funds on July 1, 1997, at least the
same amount of grant funds for the 1998 to 1999 grant cycle as
the organization received for the 1996 to 1997 grant cycle,
provided the organization submits an application that meets
grant funding criteria. This subdivision does not affect any
procedure established in rule for allocating special project
money to the different regions. The commissioner shall revise
the rules for family planning special project grants so that
they conform to the requirements of this subdivision. In
adopting these revisions, the commissioner is not subject to the
rulemaking provisions of chapter 14, but is bound by section
14.38, subdivision 7.
Sec. 16. [145A.16] [UNIVERSALLY OFFERED HOME VISITING
PROGRAMS FOR INFANT CARE.]
Subdivision 1. [ESTABLISHMENT.] The commissioner shall
establish a grant program to fund universally offered home
visiting programs designed to serve all live births in
designated geographic areas. The commissioner shall designate
the geographic area to be served by each program. At least one
program must provide home visiting services to families within
the seven-county metropolitan area, and at least one program
must provide home visiting services to families outside the
metropolitan area. The purpose of the program is to strengthen
families and to promote positive parenting and healthy child
development.
Subd. 2. [STEERING COMMITTEE.] The commissioner shall
establish an ad hoc steering committee to develop and implement
a comprehensive plan for the universally offered home visiting
programs. The members of the ad hoc steering committee shall
include, at a minimum, representatives of local public health
departments, public health nurses, other health care providers,
paraprofessionals, community-based family workers,
representatives of the state councils of color, representatives
of health insurance plans, and other individuals with expertise
in the field of home visiting, early childhood health and
development, and child abuse prevention.
Subd. 3. [PROGRAM REQUIREMENTS.] The commissioner shall
award grants using a request for proposal system. Existing home
visiting programs or a family services collaborative established
under section 256F.13 may apply for the grants. Health
information and assessment, counseling, social support,
educational services, and referral to community resources must
be offered to all families, regardless of need or risk,
beginning prenatally or as soon after birth as possible, and
continuing as needed. Each program applying for a grant must
have access to adequate community resources to complement the
home visiting services and must be designed to:
(1) identify all newborn infants within the geographic area
served by the program. Identification may be made prenatally or
at the time of birth;
(2) offer a home visit by a trained home visitor. The
offer of a home visit must be made in a way that guarantees that
the existence of the pregnancy is not revealed to any other
individual without the written consent of the pregnant female.
If home visiting is accepted, the first visit must occur
prenatally or as soon after birth as possible and must include a
public health nursing assessment by a public health nurse;
(3) offer, at a minimum, information on infant care, child
growth and development, positive parenting, the prevention of
disease and exposure to environmental hazards, and support
services available in the community;
(4) provide information on and referral to health care
services, if needed, including information on health care
coverage for which the individual or family may be eligible and
information on family planning, pediatric preventive services,
immunizations, and developmental assessments, and information on
the availability of public assistance programs as appropriate;
(5) recruit home visit workers who will represent, to the
extent possible, all the races, cultures, and languages spoken
by eligible families in the designated geographic areas; and
(6) train and supervise home visitors in accordance with
the requirements established under subdivision 5.
Subd. 4. [COORDINATION.] To minimize duplication, a
program receiving a grant must establish a coalition that
includes parents, health care providers who provide services to
families with young children in the service area, and
representatives of local schools, governmental and nonprofit
agencies, community-based organizations, health insurance plans,
and local hospitals. A program may use a family services
collaborative as the coalition if a collaborative is established
in the area served by the program. The coalition must designate
the roles of all provider agencies, family identification
methods, referral mechanisms, and payment responsibilities
appropriate for the existing systems in the program's service
area. The coalition must also coordinate with other programs
offered by school boards under section 121.882, subdivision 2b,
and programs offered under section 145A.15.
Subd. 5. [TRAINING.] The commissioner shall establish
training requirements for home visitors and minimum requirements
for supervision by a public health nurse. The requirements for
nurses must be consistent with chapter 148. Training must
include child development, positive parenting techniques, and
diverse cultural practices in child rearing and family systems.
A program may use grant money to train home visitors.
Subd. 6. [EVALUATION.] (a) The commissioner shall evaluate
the effectiveness of the home visiting programs, taking into
consideration the following goals:
(1) appropriate child growth, development, and access to
health care;
(2) appropriate utilization of preventive health care and
medical care for acute illnesses;
(3) lower rates of substantiated child abuse and neglect;
(4) up-to-date immunizations;
(5) a reduction in unintended pregnancies;
(6) increasing families' understanding of lead poisoning
prevention;
(7) lower rates of unintentional injuries; and
(8) fewer hospitalizations and emergency room visits.
(b) The commissioner shall compare overall outcomes of
universally offered home visiting programs with targeted home
visiting programs and report the findings to the legislature.
The report must also include information on how home visiting
programs will coordinate activities and preventive services
provided by health plans and other organizations.
(c) The commissioner shall report to the legislature by
February 15, 1998, on the comprehensive plan for the universally
offered home visiting programs and recommend any draft
legislation needed to implement the plan. The commissioner
shall report to the legislature biennially beginning December
15, 2001, on the effectiveness of the universally offered home
visiting programs. In the report due December 15, 2001, the
commissioner shall include recommendations on the feasibility
and cost of expanding the program statewide.
Subd. 7. [TECHNICAL ASSISTANCE.] The commissioner shall
provide administrative and technical assistance to each program,
including assistance conducting short- and long-term evaluations
of the home visiting program required under subdivision 6. The
commissioner may request research and evaluation support from
the University of Minnesota.
Subd. 8. [MATCHING FUNDS.] The commissioner and the grant
programs shall seek to supplement any state funding with private
and other nonstate funding sources, including other grants and
insurance coverage for services provided. Program funding may
be used only to supplement, not to replace, existing funds being
used for home visiting.
Subd. 9. [PAYMENT FOR HOME VISITING SERVICES.] Any health
plan that provides services to families or individuals enrolled
in medical assistance, general assistance medical care, or the
MinnesotaCare program must contract with the programs receiving
grants under this section and the programs established under
section 145A.15 that are providing home visiting services in the
area served by the health plan to provide home visiting services
covered under medical assistance, general assistance medical
care, or the MinnesotaCare program to their enrollees. A health
plan may require a home visiting program to comply with the
health plan's requirements on the same basis as the health
plan's other participating providers.
Sec. 17. Minnesota Statutes 1996, section 151.40, is
amended to read:
151.40 [POSSESSION AND SALE OF HYPODERMIC SYRINGES AND
NEEDLES.]
Subdivision 1. [GENERALLY.] Except as otherwise provided
in subdivision 2, it shall be is unlawful for any person to
possess, control, manufacture, sell, furnish, dispense, or
otherwise dispose of hypodermic syringes or needles or any
instrument or implement which can be adapted for subcutaneous
injections, except by the following persons when acting in the
course of their practice or employment: licensed practitioners,
registered pharmacies and their employees or agents, licensed
pharmacists, licensed doctors of veterinary medicine or their
assistants, registered nurses, registered medical technologists,
medical interns, licensed drug wholesalers, their employees or
agents, licensed hospitals, licensed nursing homes, bona fide
hospitals where animals are treated, licensed morticians,
syringe and needle manufacturers, their dealers and agents,
persons engaged in animal husbandry, clinical laboratories,
persons engaged in bona fide research or education or industrial
use of hypodermic syringes and needles provided such persons
cannot use hypodermic syringes and needles for the
administration of drugs to human beings unless such drugs are
prescribed, dispensed, and administered by a person lawfully
authorized to do so, persons who administer drugs pursuant to an
order or direction of a licensed doctor of medicine or of a
licensed doctor of osteopathy duly licensed to practice medicine.
Subd. 2. [SALES OF LIMITED QUANTITIES OF CLEAN NEEDLES AND
SYRINGES.] (a) A registered pharmacy or its agent or a licensed
pharmacist may sell, without a prescription, unused hypodermic
needles and syringes in quantities of ten or fewer, provided the
pharmacy or pharmacist complies with all of the requirements of
this subdivision.
(b) At any location where hypodermic needles and syringes
are kept for retail sale under this subdivision, the needles and
syringes shall be stored in a manner that makes them available
only to authorized personnel and not openly available to
customers.
(c) No registered pharmacy or licensed pharmacist may
advertise to the public the availability for retail sale,
without a prescription, of hypodermic needles or syringes in
quantities of ten or fewer.
(d) A registered pharmacy or licensed pharmacist that sells
hypodermic needles or syringes under this subdivision may give
the purchaser the materials developed by the commissioner of
health under section 325F.785.
(e) A registered pharmacy or licensed pharmacist that sells
hypodermic needles or syringes must certify to the commissioner
of health participation in an activity, including but not
limited to those developed under section 325F.785, that supports
proper disposal of used hypodermic needles or syringes.
Sec. 18. Minnesota Statutes 1996, section 153A.17, is
amended to read:
153A.17 [EXPENSES; FEES.]
The expenses for administering the certification
requirements including the complaint handling system for hearing
aid dispensers in sections 153A.14 and 153A.15 and the consumer
information center under section 153A.18 must be paid from
initial application and examination fees, renewal fees,
penalties, and fines. All fees are nonrefundable. The
certificate application fee is $280 $165 for audiologists
registered under section 148.511 and $490 for all others, the
examination fee is $200 for the written portion and $200 for the
practical portion each time one or the other is taken, and the
trainee application fee is $100, except that the certification
application fee for a registered audiologist is $280 minus the
audiologist registration fee of $101. In addition, both
certification and examination fees are subject to
Notwithstanding the policy set forth in section 16A.1285,
subdivision 2, a surcharge of $60 $165 for audiologists
registered under section 148.511 and $330 for all others shall
be paid at the time of application or renewal until June 30,
2003, to recover, over a five-year period, the commissioner's
accumulated direct expenditures for administering the
requirements of this chapter, but not registration of hearing
instrument dispensers under section 214.13, before November 1,
1994. The penalty fee for late submission of a renewal
application is $70 $200. All fees, penalties, and fines
received must be deposited in the state government special
revenue fund. The commissioner may prorate the certification
fee for new applicants based on the number of quarters remaining
in the annual certification period.
Sec. 19. Minnesota Statutes 1996, section 157.15, is
amended by adding a subdivision to read:
Subd. 16. [CRITICAL CONTROL POINT.] "Critical control
point" means a point or procedure in a specific food system
where loss of control may result in an unacceptable health risk.
Sec. 20. Minnesota Statutes 1996, section 157.15, is
amended by adding a subdivision to read:
Subd. 17. [HACCP PLAN.] "Hazard analysis critical control
point (HACCP) plan" means a written document that delineates the
formal procedures for following the HACCP principles developed
by the National Advisory Committee on Microbiological Criteria
for Foods.
Sec. 21. Minnesota Statutes 1996, section 157.15, is
amended by adding a subdivision to read:
Subd. 18. [HAZARD.] "Hazard" means any biological,
chemical, or physical property that may cause an unacceptable
consumer health risk.
Sec. 22. Minnesota Statutes 1996, section 157.16,
subdivision 3, is amended to read:
Subd. 3. [ESTABLISHMENT FEES; DEFINITIONS.] (a) The
following fees are required for food and beverage service
establishments, hotels, motels, lodging establishments, and
resorts licensed under this chapter. Food and beverage service
establishments must pay the highest applicable fee under
paragraph (e), clause (1), (2), (3), or (4), and establishments
serving alcohol must pay the highest applicable fee under
paragraph (e), clause (6) or (7).
(b) All food and beverage service establishments, except
special event food stands, and all hotels, motels, lodging
establishments, and resorts shall pay an annual base fee of $100.
(c) A special event food stand shall pay a flat fee of $60
annually. "Special event food stand" means a fee category where
food is prepared or served in conjunction with celebrations,
county fairs, or special events from a special event food stand
as defined in section 157.15.
(d) A special event food stand-limited shall pay a flat fee
of $30.
(e) In addition to the base fee in paragraph (b), each food
and beverage service establishment, other than a special event
food stand, and each hotel, motel, lodging establishment, and
resort shall pay an additional annual fee for each fee category
as specified in this paragraph:
(1) Limited food menu selection, $30. "Limited food menu
selection" means a fee category that provides one or more of the
following:
(i) prepackaged food that receives heat treatment and is
served in the package;
(ii) frozen pizza that is heated and served;
(iii) a continental breakfast such as rolls, coffee, juice,
milk, and cold cereal;
(iv) soft drinks, coffee, or nonalcoholic beverages; or
(v) cleaning for eating, drinking, or cooking utensils,
when the only food served is prepared off site.
(2) Small menu selection with limited equipment
establishment, including boarding establishments, $55.
"Small menu selection with limited equipment establishment"
means a fee category that has no salad bar and meets one or more
of the following:
(i) possesses food service equipment that consists of no
more than a deep fat fryer, a grill, two hot holding containers,
and one or more microwave ovens;
(ii) serves dipped ice cream or soft serve frozen desserts;
(iii) serves breakfast in an owner-occupied bed and
breakfast establishment; or
(iv) is a boarding establishment; or
(v) meets the equipment criteria in clause (3), item (i) or
(ii), and has a maximum patron seating capacity of not more than
50.
(3) Small Medium establishment with full menu selection,
$150. "Small Medium establishment with full menu selection"
means a fee category that meets one or more of the following:
(i) possesses food service equipment that includes a range,
oven, steam table, salad bar, or salad preparation area;
(ii) possesses food service equipment that includes more
than one deep fat fryer, one grill, or two hot holding
containers; or
(iii) is an establishment where food is prepared at one
location and served at one or more separate locations.
Establishments meeting criteria in clause (2), item (v),
are not included in this fee category.
(4) Large establishment with full menu selection, $250.
"Large establishment with full menu selection" means either:
(i) a fee category that (A) meets the criteria in clause
(3), items (i) or (ii), for a small medium establishment with
full menu selection, (B) seats more than 175 people, and (C)
offers the full menu selection an average of five or more days a
week during the weeks of operation; or
(ii) a fee category that (A) meets the criteria in clause
(3), item (iii), for a small medium establishment with full menu
selection, and (B) prepares and serves 500 or more meals per day.
(5) Other food and beverage service, including food carts,
mobile food units, seasonal temporary food stands, and seasonal
permanent food stands, $30.
(6) Beer or wine table service, $30. "Beer or wine table
service" means a fee category where the only alcoholic beverage
service is beer or wine, served to customers seated at tables.
(7) Alcoholic beverage service, other than beer or wine
table service, $75.
"Alcohol beverage service, other than beer or wine table
service" means a fee category where alcoholic mixed drinks are
served or where beer or wine are served from a bar.
(8) Lodging per sleeping accommodation unit, $4, including
hotels, motels, lodging establishments, and resorts, up to a
maximum of $400. "Lodging per sleeping accommodation unit"
means a fee category including the number of guest rooms,
cottages, or other rental units of a hotel, motel, lodging
establishment, or resort; or the number of beds in a dormitory.
(9) First public swimming pool, $100; each additional
public swimming pool, $50. "Public swimming pool" means a fee
category that has the meaning given in Minnesota Rules, part
4717.0250, subpart 8.
(10) First spa, $50; each additional spa, $25. "Spa pool"
means a fee category that has the meaning given in Minnesota
Rules, part 4717.0250, subpart 9.
(11) Private sewer or water, $30. "Individual private
water" means a fee category with a water supply other than a
community public water supply as defined in Minnesota Rules,
chapter 4720. "Individual private sewer" means a fee category
with an individual sewage treatment system which uses subsurface
treatment and disposal.
(f) A fee is not required for a food and beverage service
establishment operated by a school as defined in sections 120.05
and 120.101.
(g) A fee of $150 for review of the construction plans must
accompany the initial license application for food and beverage
service establishments, hotels, motels, lodging establishments,
or resorts.
(h) When existing food and beverage service establishments,
hotels, motels, lodging establishments, or resorts are
extensively remodeled, a fee of $150 must be submitted with the
remodeling plans.
(i) Seasonal temporary food stands, special event food
stands, and special event food stands-limited are not required
to submit construction or remodeling plans for review.
Sec. 23. [157.215] [PILOT PROJECT.]
The commissioner of health is authorized to issue a request
for participation to the regulated food and beverage service
establishment industry and to select up to 25 pilot projects
utilizing HACCP quality assurance principles for monitoring risk.
Sec. 24. Minnesota Statutes 1996, section 214.12, is
amended by adding a subdivision to read:
Subd. 3. [FETAL ALCOHOL SYNDROME.] The board of medical
practice and the board of nursing shall require by rule that
family practitioners, pediatricians, obstetricians and
gynecologists, and other licensees who have primary
responsibility for diagnosing and treating fetal alcohol
syndrome in pregnant women or children receive education on the
subject of fetal alcohol syndrome and fetal alcohol effects,
including how to: (1) screen pregnant women for alcohol abuse;
(2) identify affected children; and (3) provide referral
information on needed services.
Sec. 25. Minnesota Statutes 1996, section 256B.0625,
subdivision 14, is amended to read:
Subd. 14. [DIAGNOSTIC, SCREENING, AND PREVENTIVE
SERVICES.] (a) Medical assistance covers diagnostic, screening,
and preventive services.
(b) "Preventive services" include services related to
pregnancy, including:
(1) services for those conditions which may complicate a
pregnancy and which may be available to a pregnant woman
determined to be at risk of poor pregnancy outcome;
(2) prenatal HIV risk assessment, education, counseling,
and testing; and
(3) alcohol abuse assessment, education, and counseling on
the effects of alcohol usage while pregnant. Preventive
services available to a woman at risk of poor pregnancy outcome
may differ in an amount, duration, or scope from those available
to other individuals eligible for medical assistance.
(c) "Screening services" include, but are not limited to,
blood lead tests.
Sec. 26. Minnesota Statutes 1996, section 256B.69, is
amended by adding a subdivision to read:
Subd. 5c. [MEDICAL EDUCATION AND RESEARCH TRUST FUND.] (a)
Beginning in January 1999 and each year thereafter:
(1) the commissioner of human services shall transfer an
amount equal to the reduction in the prepaid medical assistance
and prepaid general assistance medical care payments resulting
from clause (2), excluding nursing facility and elderly waiver
payments, to the medical education and research trust fund
established under section 62J.69;
(2) the county medical assistance and general assistance
medical care capitation base rate prior to plan specific
adjustments shall be reduced 6.3 percent for Hennepin county,
two percent for the remaining metropolitan counties, and 1.6
percent for nonmetropolitan Minnesota counties; and
(3) the amount calculated under clause (1) shall not be
adjusted for subsequent changes to the capitation payments for
periods already paid.
(b) This subdivision shall be effective upon approval of a
federal waiver which allows federal financial participation in
the medical education and research trust fund.
Sec. 27. [325F.785] [SALES OF HIV HOME COLLECTION KITS AND
HYPODERMIC SYRINGES AND NEEDLES.]
Subdivision 1. [INFORMATION TO PURCHASERS.] A seller may
provide each purchaser of an HIV home collection kit or
hypodermic syringes and needles as authorized in section 151.40,
at the time of purchase, with written information about the
telephone numbers for public HIV counseling and testing sites,
the state's HIV hotline, disposal of used syringes, and general
HIV prevention and care.
Subd. 2. [ASSISTANCE FOR SELLERS.] The commissioner of
health shall provide technical assistance and materials to
pharmacies and to sellers related to compliance with sections
151.40 and 325F.785. The commissioner, in consultation with
organizations specializing in HIV prevention, shall provide
printed materials, including the written information described
under subdivision 1, at no charge to pharmacies that sell
hypodermic needles or syringes under section 151.40, and sellers
of HIV home collection kits under this section. A pharmacy or
seller may request and the commissioner may authorize use of
other methods for providing written information to purchasers.
The commissioner may use funds appropriated under section
145.924, to provide technical assistance and materials.
Sec. 28. Minnesota Statutes 1996, section 326.37,
subdivision 1, is amended to read:
Subdivision 1. [RULES.] The state commissioner of health
may, by rule, prescribe minimum standards which shall be
uniform, and which standards shall thereafter be effective for
all new plumbing installations, including additions, extensions,
alterations, and replacements connected with any water or sewage
disposal system owned or operated by or for any municipality,
institution, factory, office building, hotel, apartment
building, or any other place of business regardless of location
or the population of the city or town in which located.
Notwithstanding the provisions of Minnesota Rules, part
4715.3130, as they apply to review of plans and specifications,
the commissioner may allow plumbing construction, alteration, or
extension to proceed without approval of the plans or
specifications by the commissioner.
The commissioner shall administer the provisions of
sections 326.37 to 326.45 and for such purposes may employ
plumbing inspectors and other assistants.
Sec. 29. Minnesota Statutes 1996, section 327.20,
subdivision 1, is amended to read:
Subdivision 1. [RULES.] No domestic animals or house pets
of occupants of manufactured home parks or recreational camping
areas shall be allowed to run at large, or commit any nuisances
within the limits of a manufactured home park or recreational
camping area. Each manufactured home park or recreational
camping area licensed under the provisions of sections 327.10,
327.11, 327.14 to 327.28 shall, among other things, provide for
the following, in the manner hereinafter specified:
(1) A responsible attendant or caretaker shall be in charge
of every manufactured home park or recreational camping area at
all times, who shall maintain the park or area, and its
facilities and equipment in a clean, orderly and sanitary
condition. In any manufactured home park containing more than
50 lots, the attendant, caretaker, or other responsible park
employee, shall be readily available at all times in case of
emergency.
(2) All manufactured home parks shall be well drained and
be located so that the drainage of the park area will not
endanger any water supply. No waste water from manufactured
homes or recreational camping vehicles shall be deposited on the
surface of the ground. All sewage and other water carried
wastes shall be discharged into a municipal sewage system
whenever available. When a municipal sewage system is not
available, a sewage disposal system acceptable to the state
commissioner of health shall be provided.
(3) No manufactured home shall be located closer than three
feet to the side lot lines of a manufactured home park, if the
abutting property is improved property, or closer than ten feet
to a public street or alley. Each individual site shall abut or
face on a driveway or clear unoccupied space of not less than 16
feet in width, which space shall have unobstructed access to a
public highway or alley. There shall be an open space of at
least ten feet between the sides of adjacent manufactured homes
including their attachments and at least three feet between
manufactured homes when parked end to end. The space between
manufactured homes may be used for the parking of motor vehicles
and other property, if the vehicle or other property is parked
at least ten feet from the nearest adjacent manufactured home
position. The requirements of this paragraph shall not apply to
recreational camping areas and variances may be granted by the
state commissioner of health in manufactured home parks when the
variance is applied for in writing and in the opinion of the
commissioner the variance will not endanger the health, safety,
and welfare of manufactured home park occupants.
(4) An adequate supply of water of safe, sanitary quality
shall be furnished at each manufactured home park or
recreational camping area. The source of the water supply shall
first be approved by the state department of health.
(5) All plumbing shall be installed in accordance with the
rules of the state commissioner of health and the provisions of
the Minnesota plumbing code.
(6) In the case of a manufactured home park with less than
ten manufactured homes, a plan for the sheltering or the safe
evacuation to a safe place of shelter of the residents of the
park in times of severe weather conditions, such as tornadoes,
high winds, and floods. The shelter or evacuation plan shall be
developed with the assistance and approval of the municipality
where the park is located and shall be posted at conspicuous
locations throughout the park. The park owner shall provide
each resident with a copy of the approved shelter or evacuation
plan, as provided by section 327C.01, subdivision 1c. Nothing
in this paragraph requires the department of health to review or
approve any shelter or evacuation plan developed by a park.
Failure of a municipality to approve a plan submitted by a park
shall not be grounds for action against the park by the
department of health if the park has made a good faith effort to
develop the plan and obtain municipal approval.
(7) A manufactured home park with ten or more manufactured
homes, licensed prior to March 1, 1988, shall provide a safe
place of shelter for park residents or a plan for the evacuation
of park residents to a safe place of shelter within a reasonable
distance of the park for use by park residents in times of
severe weather, including tornadoes and high winds. The shelter
or evacuation plan must be approved by the municipality by March
1, 1989. The municipality may require the park owner to
construct a shelter if it determines that a safe place of
shelter is not available within a reasonable distance from the
park. A copy of the municipal approval and the plan shall be
submitted by the park owner to the department of health. The
park owner shall provide each resident with a copy of the
approved shelter or evacuation plan, as provided by section
327C.01, subdivision 1c.
(8) A manufactured home park with ten or more manufactured
homes, receiving a primary license after March 1, 1988, must
provide the type of shelter required by section 327.205, except
that for manufactured home parks established as temporary,
emergency housing in a disaster area declared by the President
of the United States or the governor, an approved evacuation
plan may be provided in lieu of a shelter for a period not
exceeding 18 months.
(9) For the purposes of this subdivision, "park owner" and
"resident" have the meaning given them in section 327C.01.
Sec. 30. [GRANT PROGRAM FOR JUVENILE ASSESSMENT CENTERS.]
Subdivision 1. [PROGRAM DESCRIBED.] The commissioner of
health shall administer a pilot project grant program to award
grants to no more than three judicial districts to develop and
implement plans to create juvenile assessment centers. A
juvenile assessment center is a 24-hour centralized receiving,
processing, and intervention facility for children who are
accused of committing delinquent acts or status offenses or who
are alleged to have been victims of abuse or neglect.
Subd. 2. [WORKING GROUPS AUTHORIZED; PLANS REQUIRED.] The
chief judge of a judicial district or the judge's designee may
convene a working group consisting of individuals experienced in
providing services to children. A working group shall consist
of, but is not limited to, representatives from substance abuse
programs, domestic abuse programs, child protection agencies,
mental health providers, mental health collaboratives, law
enforcement agencies, schools, health service providers, and
higher education institutions. The working group shall
cooperatively develop a plan to create a juvenile assessment
center in the judicial district. Juvenile assessment centers
must provide initial screening for children, including intake
and needs assessments, substance abuse screening, physical and
mental health screening, fetal alcohol syndrome and fetal
alcohol exposure screening, and diagnostic educational testing,
as appropriate. The entities involved in the assessment center
shall make the resources for the provision of these assessments
available at the same level to which they are available to the
general public. The plan must include, but is not limited to,
recommended screening tools to assess children to determine
their needs and assets; protocols to determine how children
should enter the center, what will happen at the center, and
what will happen after the child leaves the center; methods to
share information in a manner consistent with existing law; and
information on how the center will collaborate with a higher
educational institution that has expertise in the research,
programming, and evaluation of children's services. The plan
may also address the provision of services to children.
Subd. 3. [COOPERATION WITH WORKING GROUPS.] The
commissioner may provide technical assistance to the working
groups and judicial districts. If the working groups identify
any necessary changes in data privacy laws that would facilitate
the operation of the assessment centers, the commissioner may
recommend these changes to the legislature.
Subd. 4. [AWARDING OF GRANTS.] By January 1, 1998, the
commissioner shall award grants under this section to judicial
districts to develop plans to create juvenile assessment
centers. Each district awarded a planning grant shall submit
its plan to the commissioner. The commissioner shall review the
plans and award grants to districts whose plans have been
approved to develop an assessment center.
Subd. 5. [REPORT.] By January 15, 1999, the commissioner
shall report to the legislature on the planning and
implementation grants awarded under this section.
Sec. 31. [FUNDING SOURCES FOR THE MEDICAL EDUCATION AND
RESEARCH TRUST FUND.]
(a) The commissioner of health, in consultation with the
medical education and research costs advisory committee, shall
continue to consider additional broad-based funding sources, and
shall recommend potential sources of funding to the legislature
by February 15, 1998.
(b) The commissioner of health, in consultation with the
commissioner of human services, shall examine the
appropriateness of transferring an educational component from
the MinnesotaCare rates to the medical education and research
trust fund, and the appropriate amount and timing of any such
transfer. The commissioner shall report recommendations on the
feasibility of including MinnesotaCare funding in the trust fund
to the legislature by February 15, 1998.
Sec. 32. [RULE CHANGE; RADIOGRAPHIC ABSORPTIONMETRY.]
Upon review and recommendation by the health technology
advisory committee regarding the impact on patients the
commissioner of health shall examine the appropriateness of, and
if appropriate, may amend Minnesota Rules, part 4730.1210,
subpart 2, item G, to permit the use of direct exposure x-ray
film in radiographic absorptionmetry for the diagnosis and
management of osteoporosis. The commissioner may use the
rulemaking procedures under Minnesota Statutes, section 14.388.
Sec. 33. [MINORITY HEALTH INITIATIVE.]
Subdivision 1. [PURPOSE.] The purpose of this section is
to plan for the expansion and increase of information and
statistical research on minority health in Minnesota. The plan
must build upon the recommendations of the 1997 populations of
color in Minnesota health status report.
Subd. 2. [REPORT TO THE LEGISLATURE.] (a) The commissioner
of health, through the office of minority health, shall prepare
and transmit to the legislature, according to Minnesota
Statutes, section 3.195, and no later than January 15, 1998, a
written report addressing the following:
(1) identifying the legal and administrative barriers that
hinder the sharing of information on minority health issues
among executive branch agencies, and recommending remedies to
these barriers;
(2) assessing the current database of information on
minority health issues, evaluating data collection standards and
procedures in the department of health, identifying minority
health issues that should be given priority for increased
research to close the gaps and disparities including cancer
incidence among populations of color, and recommending methods
for expanding the current database of information on minority
health; and
(3) planning a grant program targeted at supporting
minority health and wellness programs that focus on prevention
of illness and disease, health education, and health promotion.
(b) As part of the report in paragraph (a), the
commissioner, through the office of minority health, shall study
how the department of health could be better organized to
accomplish the tasks specified in paragraph (a) and shall
propose an organizational structure to accomplish these tasks.
(c) The commissioner, through the office of minority
health, may appoint advisory committees as appropriate to
accomplish the tasks in paragraphs (a) and (b). The terms,
compensation, and removal of members are governed by Minnesota
Statutes, section 15.059, except that members do not receive per
diem compensation.
Sec. 34. [STUDY OF HIV AND HBV PREVENTION PROGRAM.]
The commissioner of health shall evaluate the effectiveness
of the HIV and HBV prevention program established under
Minnesota Statutes, sections 214.17 to 214.25. The commissioner
shall evaluate the effectiveness of the program in maintaining
public confidence in the safety of health care provider
settings, educating the public about HIV infection risk in such
settings, prevention of HIV and HBV infections, and fairly and
efficiently working with affected health care providers. The
results in Minnesota shall be compared to similar efforts in
other states. The commissioner shall present recommendations to
the legislature by January 15, 1998, on whether the program
should be continued, and whether modifications to the program
are necessary if a recommendation is made to continue the
program.
Sec. 35. [REPORT REQUIRED; CALS PROGRAM.]
The emergency medical services regulatory board, by
December 1, 1999, shall report to the chairs of the house health
and human services finance division and the senate health and
family security budget division on the implementation of the
comprehensive advanced life support (CALS) program or similar
program.
Sec. 36. [FAMILY PLANNING GRANT REVIEW.]
The commissioner of health shall conduct a review of the
family planning special projects grant process and shall report
the results of its review to the legislature by February 15,
1998.
Sec. 37. [REPEALER.]
Minnesota Statutes 1996, section 145.9256, is repealed.
Sec. 38. [EFFECTIVE DATE.]
Sections 4 to 6, 17, and 27, subdivision 1 are effective
July 1, 1998.
ARTICLE 3
LONG-TERM CARE FACILITIES
Section 1. Minnesota Statutes 1996, section 144A.071,
subdivision 1, is amended to read:
Subdivision 1. [FINDINGS.] The legislature declares that a
moratorium on the licensure and medical assistance certification
of new nursing home beds and construction projects that exceed
the lesser of $500,000 or 25 percent of a facility's appraised
value $750,000 is necessary to control nursing home expenditure
growth and enable the state to meet the needs of its elderly by
providing high quality services in the most appropriate manner
along a continuum of care.
Sec. 2. Minnesota Statutes 1996, section 144A.071,
subdivision 2, is amended to read:
Subd. 2. [MORATORIUM.] The commissioner of health, in
coordination with the commissioner of human services, shall deny
each request for new licensed or certified nursing home or
certified boarding care beds except as provided in subdivision 3
or 4a, or section 144A.073. "Certified bed" means a nursing
home bed or a boarding care bed certified by the commissioner of
health for the purposes of the medical assistance program, under
United States Code, title 42, sections 1396 et seq.
The commissioner of human services, in coordination with
the commissioner of health, shall deny any request to issue a
license under section 252.28 and chapter 245A to a nursing home
or boarding care home, if that license would result in an
increase in the medical assistance reimbursement amount.
In addition, the commissioner of health must not approve
any construction project whose cost exceeds $500,000, or 25
percent of the facility's appraised value, whichever is less,
$750,000 unless:
(a) any construction costs exceeding the lesser of $500,000
or 25 percent of the facility's appraised value $750,000 are not
added to the facility's appraised value and are not included in
the facility's payment rate for reimbursement under the medical
assistance program; or
(b) the project:
(1) has been approved through the process described in
section 144A.073;
(2) meets an exception in subdivision 3 or 4a;
(3) is necessary to correct violations of state or federal
law issued by the commissioner of health;
(4) is necessary to repair or replace a portion of the
facility that was damaged by fire, lightning, groundshifts, or
other such hazards, including environmental hazards, provided
that the provisions of subdivision 4a, clause (a), are met;
(5) as of May 1, 1992, the facility has submitted to the
commissioner of health written documentation evidencing that the
facility meets the "commenced construction" definition as
specified in subdivision 1a, clause (d), or that substantial
steps have been taken prior to April 1, 1992, relating to the
construction project. "Substantial steps" require that the
facility has made arrangements with outside parties relating to
the construction project and include the hiring of an architect
or construction firm, submission of preliminary plans to the
department of health or documentation from a financial
institution that financing arrangements for the construction
project have been made; or
(6) is being proposed by a licensed nursing facility that
is not certified to participate in the medical assistance
program and will not result in new licensed or certified beds.
Prior to the final plan approval of any construction
project, the commissioner of health shall be provided with an
itemized cost estimate for the project construction costs. If a
construction project is anticipated to be completed in phases,
the total estimated cost of all phases of the project shall be
submitted to the commissioner and shall be considered as one
construction project. Once the construction project is
completed and prior to the final clearance by the commissioner,
the total project construction costs for the construction
project shall be submitted to the commissioner. If the final
project construction cost exceeds the dollar threshold in this
subdivision, the commissioner of human services shall not
recognize any of the project construction costs or the related
financing costs in excess of this threshold in establishing the
facility's property-related payment rate.
The dollar thresholds for construction projects are as
follows: for construction projects other than those authorized
in clauses (1) to (6), the dollar threshold is $500,000 or 25
percent of appraised value, whichever is less $750,000. For
projects authorized after July 1, 1993, under clause (1), the
dollar threshold is the cost estimate submitted with a proposal
for an exception under section 144A.073, plus inflation as
calculated according to section 256B.431, subdivision 3f,
paragraph (a). For projects authorized under clauses (2) to
(4), the dollar threshold is the itemized estimate project
construction costs submitted to the commissioner of health at
the time of final plan approval, plus inflation as calculated
according to section 256B.431, subdivision 3f, paragraph (a).
The commissioner of health shall adopt rules to implement
this section or to amend the emergency rules for granting
exceptions to the moratorium on nursing homes under section
144A.073.
Sec. 3. Minnesota Statutes 1996, section 144A.073,
subdivision 2, is amended to read:
Subd. 2. [REQUEST FOR PROPOSALS.] At the authorization by
the legislature of additional medical assistance expenditures
for exceptions to the moratorium on nursing homes, the
interagency committee shall publish in the State Register a
request for proposals for nursing home projects to be licensed
or certified under section 144A.071, subdivision 4a, clause
(c). The public notice of this funding and the request for
proposals must specify how the approval criteria will be
prioritized by the advisory review panel, the interagency
long-term care planning committee, and the commissioner. The
notice must describe the information that must accompany a
request and state that proposals must be submitted to the
interagency committee within 90 days of the date of
publication. The notice must include the amount of the
legislative appropriation available for the additional costs to
the medical assistance program of projects approved under this
section. If no money is appropriated for a year, the
interagency committee shall publish a notice to that effect, and
no proposals shall be requested. If money is appropriated, the
interagency committee shall initiate the application and review
process described in this section at least twice each biennium
and up to four times each biennium, according to dates
established by rule. Authorized funds shall be allocated
proportionally to the number of processes. Funds not encumbered
by an earlier process within a biennium shall carry forward to
subsequent iterations of the process. Authorization for
expenditures does not carry forward into the following
biennium. To be considered for approval, a proposal must
include the following information:
(1) whether the request is for renovation, replacement,
upgrading, conversion, or relocation;
(2) a description of the problem the project is designed to
address;
(3) a description of the proposed project;
(4) an analysis of projected costs of the nursing facility
proposal, which are not required to exceed the cost threshold
referred to in section 144A.071, subdivision 1, to be considered
under this section, including initial construction and
remodeling costs; site preparation costs; financing costs,
including the current estimated long-term financing costs of the
proposal, which consists of estimates of the amount and sources
of money, reserves if required under the proposed funding
mechanism, annual payments schedule, interest rates, length of
term, closing costs and fees, insurance costs, and any completed
marketing study or underwriting review; and estimated operating
costs during the first two years after completion of the
project;
(5) for proposals involving replacement of all or part of a
facility, the proposed location of the replacement facility and
an estimate of the cost of addressing the problem through
renovation;
(6) for proposals involving renovation, an estimate of the
cost of addressing the problem through replacement;
(7) the proposed timetable for commencing construction and
completing the project;
(8) a statement of any licensure or certification issues,
such as certification survey deficiencies;
(9) the proposed relocation plan for current residents if
beds are to be closed so that the department of human services
can estimate the total costs of a proposal; and
(10) other information required by permanent rule of the
commissioner of health in accordance with subdivisions 4 and 8.
Sec. 4. Minnesota Statutes 1996, section 144A.073, is
amended by adding a subdivision to read:
Subd. 9. [BUDGET REQUEST.] The commissioner of human
services, in consultation with the commissioner of finance,
shall include in each biennial budget request a line item for
the nursing home moratorium exception process. If the
commissioner of human services does not request funding for this
item, the commissioner of human services must justify the
decision in the budget pages.
Sec. 5. Minnesota Statutes 1996, section 252.28, is
amended by adding a subdivision to read:
Subd. 3a. [LICENSING EXCEPTION.] Notwithstanding the
provisions of subdivision 3, the commissioner may license
service sites, each accommodating up to six residents moving
from a 48-bed intermediate care facility for persons with mental
retardation or related conditions located in Dakota county that
is closing under section 252.292.
Sec. 6. Minnesota Statutes 1996, section 256B.421,
subdivision 1, is amended to read:
Subdivision 1. [SCOPE.] For the purposes of this section
and sections 256B.41, 256B.411, 256B.431, 256B.432,
256B.433, 256B.434, 256B.47, 256B.48, 256B.50, and 256B.502, the
following terms and phrases shall have the meaning given to them.
Sec. 7. Minnesota Statutes 1996, section 256B.431,
subdivision 25, is amended to read:
Subd. 25. [CHANGES TO NURSING FACILITY REIMBURSEMENT
BEGINNING JULY 1, 1995.] The nursing facility reimbursement
changes in paragraphs (a) to (h) shall apply in the sequence
specified to Minnesota Rules, parts 9549.0010 to 9549.0080, and
this section, beginning July 1, 1995.
(a) The eight-cent adjustment to care-related rates in
subdivision 22, paragraph (e), shall no longer apply.
(b) For rate years beginning on or after July 1, 1995, the
commissioner shall limit a nursing facility's allowable
operating per diem for each case mix category for each rate year
as in clauses (1) to (3).
(1) For the rate year beginning July 1, 1995, the
commissioner shall group nursing facilities into two groups,
freestanding and nonfreestanding, within each geographic group,
using their operating cost per diem for the case mix A
classification. A nonfreestanding nursing facility is a nursing
facility whose other operating cost per diem is subject to the
hospital attached, short length of stay, or the rule 80 limits.
All other nursing facilities shall be considered freestanding
nursing facilities. The commissioner shall then array all
nursing facilities in each grouping by their allowable case mix
A operating cost per diem. In calculating a nursing facility's
operating cost per diem for this purpose, the commissioner shall
exclude the raw food cost per diem related to providing special
diets that are based on religious beliefs, as determined in
subdivision 2b, paragraph (h). For those nursing facilities in
each grouping whose case mix A operating cost per diem:
(i) is at or below the median minus 1.0 standard deviation
of the array, the commissioner shall limit the nursing
facility's allowable operating cost per diem for each case mix
category to the lesser of the prior reporting year's allowable
operating cost per diems plus the inflation factor as
established in paragraph (f), clause (2), increased by six
percentage points, or the current reporting year's corresponding
allowable operating cost per diem;
(ii) is between minus .5 standard deviation and minus 1.0
standard deviation below the median of the array, the
commissioner shall limit the nursing facility's allowable
operating cost per diem for each case mix category to the lesser
of the prior reporting year's allowable operating cost per diems
plus the inflation factor as established in paragraph (f),
clause (2), increased by four percentage points, or the current
reporting year's corresponding allowable operating cost per
diem; or
(iii) is equal to or above minus .5 standard deviation
below the median of the array, the commissioner shall limit the
nursing facility's allowable operating cost per diem for each
case mix category to the lesser of the prior reporting year's
allowable operating cost per diems plus the inflation factor as
established in paragraph (f), clause (2), increased by three
percentage points, or the current reporting year's corresponding
allowable operating cost per diem.
(2) For the rate year beginning on July 1, 1996, the
commissioner shall limit the nursing facility's allowable
operating cost per diem for each case mix category to the lesser
of the prior reporting year's allowable operating cost per diems
plus the inflation factor as established in paragraph (f),
clause (2), increased by one percentage point or the current
reporting year's corresponding allowable operating cost per
diems; and
(3) For rate years beginning on or after July 1, 1997, the
commissioner shall limit the nursing facility's allowable
operating cost per diem for each case mix category to the lesser
of the reporting year prior to the current reporting year's
allowable operating cost per diems plus the inflation factor as
established in paragraph (f), clause (2), or the current
reporting year's corresponding allowable operating cost per
diems.
(c) For rate years beginning on July 1, 1995, the
commissioner shall limit the allowable operating cost per diems
for high cost nursing facilities. After application of the
limits in paragraph (b) to each nursing facility's operating
cost per diems, the commissioner shall group nursing facilities
into two groups, freestanding or nonfreestanding, within each
geographic group. A nonfreestanding nursing facility is a
nursing facility whose other operating cost per diems are
subject to hospital attached, short length of stay, or rule 80
limits. All other nursing facilities shall be considered
freestanding nursing facilities. The commissioner shall then
array all nursing facilities within each grouping by their
allowable case mix A operating cost per diems. In calculating a
nursing facility's operating cost per diem for this purpose, the
commissioner shall exclude the raw food cost per diem related to
providing special diets that are based on religious beliefs, as
determined in subdivision 2b, paragraph (h). For those nursing
facilities in each grouping whose case mix A operating cost per
diem exceeds 1.0 standard deviation above the median, the
commissioner shall reduce their allowable operating cost per
diems by two percent. For those nursing facilities in each
grouping whose case mix A operating cost per diem exceeds 0.5
standard deviation above the median but is less than or equal to
1.0 standard deviation above the median, the commissioner shall
reduce their allowable operating cost per diems by one percent.
(d) For rate years beginning on or after July 1, 1996, the
commissioner shall limit the allowable operating cost per diems
for high cost nursing facilities. After application of the
limits in paragraph (b) to each nursing facility's operating
cost per diems, the commissioner shall group nursing facilities
into two groups, freestanding or nonfreestanding, within each
geographic group. A nonfreestanding nursing facility is a
nursing facility whose other operating cost per diems are
subject to hospital attached, short length of stay, or rule 80
limits. All other nursing facilities shall be considered
freestanding nursing facilities. The commissioner shall then
array all nursing facilities within each grouping by their
allowable case mix A operating cost per diems. In calculating a
nursing facility's operating cost per diem for this purpose, the
commissioner shall exclude the raw food cost per diem related to
providing special diets that are based on religious beliefs, as
determined in subdivision 2b, paragraph (h). In those nursing
facilities in each grouping whose case mix A operating cost per
diem exceeds 1.0 standard deviation above the median, the
commissioner shall reduce their allowable operating cost per
diems by three percent. For those nursing facilities in each
grouping whose case mix A operating cost per diem exceeds 0.5
standard deviation above the median but is less than or equal to
1.0 standard deviation above the median, the commissioner shall
reduce their allowable operating cost per diems by two percent.
(e) For rate years beginning on or after July 1, 1995, the
commissioner shall determine a nursing facility's efficiency
incentive by first computing the allowable difference, which is
the lesser of $4.50 or the amount by which the facility's other
operating cost limit exceeds its nonadjusted other operating
cost per diem for that rate year. The commissioner shall
compute the efficiency incentive by:
(1) subtracting the allowable difference from $4.50 and
dividing the result by $4.50;
(2) multiplying 0.20 by the ratio resulting from clause
(1), and then;
(3) adding 0.50 to the result from clause (2); and
(4) multiplying the result from clause (3) times the
allowable difference.
The nursing facility's efficiency incentive payment shall
be the lesser of $2.25 or the product obtained in clause (4).
(f) For rate years beginning on or after July 1, 1995, the
forecasted price index for a nursing facility's allowable
operating cost per diems shall be determined under clauses (1)
to (3) using the change in the Consumer Price Index-All Items
(United States city average) (CPI-U) or the change in the
Nursing Home Market Basket, both as forecasted by Data Resources
Inc., whichever is applicable. The commissioner shall use the
indices as forecasted in the fourth quarter of the calendar year
preceding the rate year, subject to subdivision 2l, paragraph
(c). If, as a result of federal legislative or administrative
action, the methodology used to calculate the Consumer Price
Index-All Items (United States city average) (CPI-U) changes,
the commissioner shall develop a conversion factor or other
methodology to convert the CPI-U index factor that results from
the new methodology to an index factor that approximates, as
closely as possible, the index factor that would have resulted
from application of the original CPI-U methodology prior to any
changes in methodology. The commissioner shall use the
conversion factor or other methodology to calculate an adjusted
inflation index. The adjusted inflation index must be used to
calculate payment rates under this section instead of the CPI-U
index specified in paragraph (d). If the commissioner is
required to develop an adjusted inflation index, the
commissioner shall report to the legislature as part of the next
budget submission the fiscal impact of applying this index.
(1) The CPI-U forecasted index for allowable operating cost
per diems shall be based on the 21-month period from the
midpoint of the nursing facility's reporting year to the
midpoint of the rate year following the reporting year.
(2) The Nursing Home Market Basket forecasted index for
allowable operating costs and per diem limits shall be based on
the 12-month period between the midpoints of the two reporting
years preceding the rate year.
(3) For rate years beginning on or after July 1, 1996, the
forecasted index for operating cost limits referred to in
subdivision 21, paragraph (b), shall be based on the CPI-U for
the 12-month period between the midpoints of the two reporting
years preceding the rate year.
(g) After applying these provisions for the respective rate
years, the commissioner shall index these allowable operating
costs per diems by the inflation factor provided for in
paragraph (f), clause (1), and add the nursing facility's
efficiency incentive as computed in paragraph (e).
(h)(1) A nursing facility licensed for 302 beds on
September 30, 1993, that was approved under the moratorium
exception process in section 144A.073 for a partial replacement,
and completed the replacement project in December 1994, is
exempt from paragraphs (b) to (d) for rate years beginning on or
after July 1, 1995.
(2) For the rate year beginning July 1, 1997, after
computing this nursing facility's payment rate according to
section 256B.434, the commissioner shall make a one-year rate
adjustment of $8.62 to the facility's contract payment rate for
the rate effect of operating cost changes associated with the
facility's 1994 downsizing project.
(3) For rate years beginning on or after July 1, 1997, the
commissioner shall add 35 cents to the facility's base property
related payment rate for the rate effect of reducing its
licensed capacity to 290 beds from 302 beds and shall add 83
cents to the facility's real estate tax and special assessment
payment rate for payments in lieu of real estate taxes. The
adjustments in this clause shall remain in effect for the
duration of the facility's contract under section 256B.434.
(i) Notwithstanding Laws 1996, chapter 451, article 3,
section 11, paragraph (h), for the rate years beginning on July
1, 1996, July 1, 1997, and July 1, 1998, a nursing facility
licensed for 40 beds effective May 1, 1992, with a subsequent
increase of 20 Medicare/Medicaid certified beds, effective
January 26, 1993, in accordance with an increase in licensure is
exempt from paragraphs (b) to (d).
Sec. 8. Minnesota Statutes 1996, section 256B.431, is
amended by adding a subdivision to read:
Subd. 26. [CHANGES TO NURSING FACILITY REIMBURSEMENT
BEGINNING JULY 1, 1997.] The nursing facility reimbursement
changes in paragraphs (a) to (f) shall apply in the sequence
specified in Minnesota Rules, parts 9549.0010 to 9549.0080, and
this section, beginning July 1, 1997.
(a) For rate years beginning on or after July 1, 1997, the
commissioner shall limit a nursing facility's allowable
operating per diem for each case mix category for each rate year.
The commissioner shall group nursing facilities into two groups,
freestanding and nonfreestanding, within each geographic group,
using their operating cost per diem for the case mix A
classification. A nonfreestanding nursing facility is a nursing
facility whose other operating cost per diem is subject to the
hospital attached, short length of stay, or the rule 80 limits.
All other nursing facilities shall be considered freestanding
nursing facilities. The commissioner shall then array all
nursing facilities in each grouping by their allowable case mix
A operating cost per diem. In calculating a nursing facility's
operating cost per diem for this purpose, the commissioner shall
exclude the raw food cost per diem related to providing special
diets that are based on religious beliefs, as determined in
subdivision 2b, paragraph (h). For those nursing facilities in
each grouping whose case mix A operating cost per diem:
(1) is at or below the median of the array, the
commissioner shall limit the nursing facility's allowable
operating cost per diem for each case mix category to the lesser
of the prior reporting year's allowable operating cost per diem
as specified in Laws 1996, chapter 451, article 3, section 11,
paragraph (h), plus the inflation factor as established in
paragraph (d), clause (2), increased by two percentage points,
or the current reporting year's corresponding allowable
operating cost per diem; or
(2) is above the median of the array, the commissioner
shall limit the nursing facility's allowable operating cost per
diem for each case mix category to the lesser of the prior
reporting year's allowable operating cost per diem as specified
in Laws 1996, chapter 451, article 3, section 11, paragraph (h),
plus the inflation factor as established in paragraph (d),
clause (2), increased by one percentage point, or the current
reporting year's corresponding allowable operating cost per diem.
(b) For rate years beginning on or after July 1, 1997, the
commissioner shall limit the allowable operating cost per diem
for high cost nursing facilities. After application of the
limits in paragraph (a) to each nursing facility's operating
cost per diem, the commissioner shall group nursing facilities
into two groups, freestanding or nonfreestanding, within each
geographic group. A nonfreestanding nursing facility is a
nursing facility whose other operating cost per diem are subject
to hospital attached, short length of stay, or rule 80 limits.
All other nursing facilities shall be considered freestanding
nursing facilities. The commissioner shall then array all
nursing facilities within each grouping by their allowable case
mix A operating cost per diem. In calculating a nursing
facility's operating cost per diem for this purpose, the
commissioner shall exclude the raw food cost per diem related to
providing special diets that are based on religious beliefs, as
determined in subdivision 2b, paragraph (h). For those nursing
facilities in each grouping whose case mix A operating cost per
diem exceeds 1.0 standard deviation above the median, the
commissioner shall reduce their allowable operating cost per
diem by three percent. For those nursing facilities in each
grouping whose case mix A operating cost per diem exceeds 0.5
standard deviation above the median but is less than or equal to
1.0 standard deviation above the median, the commissioner shall
reduce their allowable operating cost per diem by two percent.
However, in no case shall a nursing facility's operating cost
per diem be reduced below its grouping's limit established at
0.5 standard deviations above the median.
(c) For rate years beginning on or after July 1, 1997, the
commissioner shall determine a nursing facility's efficiency
incentive by first computing the allowable difference, which is
the lesser of $4.50 or the amount by which the facility's other
operating cost limit exceeds its nonadjusted other operating
cost per diem for that rate year. The commissioner shall
compute the efficiency incentive by:
(1) subtracting the allowable difference from $4.50 and
dividing the result by $4.50;
(2) multiplying 0.20 by the ratio resulting from clause
(1), and then;
(3) adding 0.50 to the result from clause (2); and
(4) multiplying the result from clause (3) times the
allowable difference.
The nursing facility's efficiency incentive payment shall
be the lesser of $2.25 or the product obtained in clause (4).
(d) For rate years beginning on or after July 1, 1997, the
forecasted price index for a nursing facility's allowable
operating cost per diem shall be determined under clauses (1)
and (2) using the change in the Consumer Price Index-All Items
(United States city average) (CPI-U) as forecasted by Data
Resources, Inc. The commissioner shall use the indices as
forecasted in the fourth quarter of the calendar year preceding
the rate year, subject to subdivision 2l, paragraph (c).
(1) The CPI-U forecasted index for allowable operating cost
per diem shall be based on the 21-month period from the midpoint
of the nursing facility's reporting year to the midpoint of the
rate year following the reporting year.
(2) For rate years beginning on or after July 1, 1997, the
forecasted index for operating cost limits referred to in
subdivision 21, paragraph (b), shall be based on the CPI-U for
the 12-month period between the midpoints of the two reporting
years preceding the rate year.
(e) After applying these provisions for the respective rate
years, the commissioner shall index these allowable operating
cost per diem by the inflation factor provided for in paragraph
(d), clause (1), and add the nursing facility's efficiency
incentive as computed in paragraph (c).
(f) For rate years beginning on or after July 1, 1997, the
total operating cost payment rates for a nursing facility shall
be the greater of the total operating cost payment rates
determined under this section or the total operating cost
payment rates in effect on June 30, 1997, subject to rate
adjustments due to field audit or rate appeal resolution. This
provision shall not apply to subsequent field audit adjustments
of the nursing facility's operating cost rates for rate years
beginning on or after July 1, 1997.
(g) For the rate years beginning on July 1, 1997, and July
1, 1998, a nursing facility licensed for 40 beds effective May
1, 1992, with a subsequent increase of 20 Medicare/Medicaid
certified beds, effective January 26, 1993, in accordance with
an increase in licensure is exempt from paragraphs (a) and (b).
(h) For a nursing facility whose construction project was
authorized according to section 144A.073, subdivision 5,
paragraph (g), the operating cost payment rates for the third
location shall be determined based on Minnesota Rules, part
9549.0057. Paragraphs (a) and (b) shall not apply until the
second rate year after the settle-up cost report is filed.
Notwithstanding subdivision 2b, paragraph (g), real estate taxes
and special assessments payable by the third location, a
501(c)(3) nonprofit corporation, shall be included in the
payment rates determined under this subdivision for all
subsequent rate years.
(i) For the rate year beginning July 1, 1997, the
commissioner shall compute the payment rate for a nursing
facility licensed for 94 beds on September 30, 1996, that
applied in October 1993 for approval of a total replacement
under the moratorium exception process in section 144A.073, and
completed the approved replacement in June 1995, with other
operating cost spend-up limit under paragraph (a), increased by
$3.98, and after computing the facility's payment rate according
to this section, the commissioner shall make a one-year positive
rate adjustment of $3.19 for operating costs related to the
newly constructed total replacement, without application of
paragraphs (a) and (b). The facility's per diem, before the
$3.19 adjustment, shall be used as the prior reporting year's
allowable operating cost per diem for payment rate calculation
for the rate year beginning July 1, 1998. A facility described
in this paragraph is exempt from paragraph (b) for the rate
years beginning July 1, 1997, and July 1, 1998.
(j) For the purpose of applying the limit stated in
paragraph (a), a nursing facility in Kandiyohi county licensed
for 86 beds that was granted hospital-attached status on
December 1, 1994, shall have the prior year's allowable
care-related per diem increased by $3.207 and the prior year's
other operating cost per diem increased by $4.777 before adding
the inflation in paragraph (d), clause (2), for the rate year
beginning on July 1, 1997.
(k) For the purpose of applying the limit stated in
paragraph (a), a 117 bed nursing facility located in Pine county
shall have the prior year's allowable other operating cost per
diem increased by $1.50 before adding the inflation in paragraph
(d), clause (2), for the rate year beginning on July 1, 1997.
(l) For the purpose of applying the limit under paragraph
(a), a nursing facility in Hibbing licensed for 192 beds shall
have the prior year's allowable other operating cost per diem
increased by $2.67 before adding the inflation in paragraph (d),
clause (2), for the rate year beginning July 1, 1997.
Sec. 9. Minnesota Statutes 1996, section 256B.433, is
amended by adding a subdivision to read:
Subd. 3a. [EXEMPTION FROM REQUIREMENT FOR SEPARATE THERAPY
BILLING.] The provisions of subdivision 3 do not apply to
nursing facilities that are reimbursed according to the
provisions of section 256B.431 and are located in a county
participating in the prepaid medical assistance program.
Sec. 10. Minnesota Statutes 1996, section 256B.434,
subdivision 3, is amended to read:
Subd. 3. [DURATION AND TERMINATION OF CONTRACTS.] (a)
Subject to available resources, the commissioner may begin to
execute contracts with nursing facilities November 1, 1995.
(b) All contracts entered into under this section are for a
term of four years one year. Either party may terminate a
contract effective July 1 of any year by providing written
notice to the other party no later than April 1 of that year at
any time without cause by providing 30 calendar days advance
written notice to the other party. The decision to terminate a
contract is not appealable. If neither party provides written
notice of termination by April 1, the contract is automatically
renewed for the next rate year the contract shall be
renegotiated for additional one-year terms, for up to a total of
four consecutive one-year terms. The provisions of the contract
shall be renegotiated annually by the parties prior to the
expiration date of the contract. The parties may voluntarily
renegotiate the terms of the contract at any time by mutual
agreement.
(c) If a nursing facility fails to comply with the terms of
a contract, the commissioner shall provide reasonable notice
regarding the breach of contract and a reasonable opportunity
for the facility to come into compliance. If the facility fails
to come into compliance or to remain in compliance, the
commissioner may terminate the contract. If a contract is
terminated, the contract payment remains in effect for the
remainder of the rate year in which the contract was terminated,
but in all other respects the provisions of this section do not
apply to that facility effective the date the contract is
terminated. The contract shall contain a provision governing
the transition back to the cost-based reimbursement system
established under section 256B.431, subdivision 25, and
Minnesota Rules, parts 9549.0010 to 9549.0080. A contract
entered into under this section may be amended by mutual
agreement of the parties.
Sec. 11. Minnesota Statutes 1996, section 256B.434,
subdivision 9, is amended to read:
Subd. 9. [MANAGED CARE CONTRACTS FOR OTHER SERVICES.]
Beginning July 1, 1995, the commissioner may contract with
nursing facilities that have entered into alternative payment
demonstration project contracts under this section to provide
medical assistance services other than nursing facility care to
residents of the facility under a prepaid, managed care payment
system. For purposes of contracts entered into under this
subdivision, the commissioner may waive one or more of the
requirements for payment for ancillary services in section
256B.433. Managed care contracts for other services may be
entered into at any time during the duration of a nursing
facility's alternative payment demonstration project contract,
and the terms of the managed care contracts need not coincide
with the terms of the alternative payment demonstration project
contract.
Sec. 12. Minnesota Statutes 1996, section 256B.434,
subdivision 10, is amended to read:
Subd. 10. [EXEMPTIONS.] (a) To the extent permitted by
federal law, (1) a facility that has entered into a contract
under this section is not required to file a cost report, as
defined in Minnesota Rules, part 9549.0020, subpart 13, for any
year after the base year that is the basis for the calculation
of the contract payment rate for the first rate year of the
alternative payment demonstration project contract; and (2) a
facility under contract is not subject to audits of historical
costs or revenues, or paybacks or retroactive adjustments based
on these costs or revenues, except audits, paybacks, or
adjustments relating to the cost report that is the basis for
calculation of the first rate year under the contract.
(b) A facility that is under contract with the commissioner
under this section is not subject to the moratorium on licensure
or certification of new nursing home beds in section 144A.071,
unless the project results in a net increase in bed capacity or
involves relocation of beds from one site to another. Contract
payment rates must not be adjusted to reflect any additional
costs that a nursing facility incurs as a result of a
construction project undertaken under this paragraph. In
addition, as a condition of entering into a contract under this
section, a nursing facility must agree that any future medical
assistance payments for nursing facility services will not
reflect any additional costs attributable to the sale of a
nursing facility under this section and to construction
undertaken under this paragraph that otherwise would not be
authorized under the moratorium in section 144A.073. Nothing in
this section prevents a nursing facility participating in the
alternative payment demonstration project under this section
from seeking approval of an exception to the moratorium through
the process established in section 144A.073, and if approved the
facility's rates shall be adjusted to reflect the cost of the
project.
(c) Notwithstanding section 256B.48, subdivision 6,
paragraphs (c), (d), and (e), and pursuant to any terms and
conditions contained in the facility's contract, a nursing
facility that is under contract with the commissioner under this
section is in compliance with section 256B.48, subdivision 6,
paragraph (b), if the facility is Medicare certified.
(d) Notwithstanding paragraph (a), if by April 1, 1996, the
health care financing administration has not approved a required
waiver, or the health care financing administration otherwise
requires cost reports to be filed prior to the waiver's
approval, the commissioner shall require a cost report for the
rate year.
(e) A facility that is under contract with the commissioner
under this section shall be allowed to change therapy
arrangements from an unrelated vendor to a related vendor during
the term of the contract. The commissioner may develop
reasonable requirements designed to prevent an increase in
therapy utilization for residents enrolled in the medical
assistance program.
Sec. 13. Minnesota Statutes 1996, section 256I.05, is
amended by adding a subdivision to read:
Subd. 1d. [SUPPLEMENTARY SERVICE RATES FOR CERTAIN
FACILITIES SERVING PERSONS WITH MENTAL ILLNESS OR CHEMICAL
DEPENDENCY.] Notwithstanding the provisions of subdivisions 1a
and 1c for the fiscal year ending June 30, 1998, a county agency
may negotiate a supplementary service rate in addition to the
board and lodging rate for facilities licensed and registered by
the Minnesota department of health under section 157.17 prior to
December 31, 1994, if the facility meets the following criteria:
(1) at least 75 percent of the residents have a primary
diagnosis of mental illness, chemical dependency, or both, and
have related special needs;
(2) the facility provides 24-hour, on-site, year-round
supportive services by qualified staff capable of intervention
in a crisis of persons with late-state inebriety or mental
illness who are vulnerable to abuse or neglect;
(3) the services at the facility include, but are not
limited to:
(i) secure central storage of medication;
(ii) reminders and monitoring of medication for
self-administration;
(iii) support for developing an individual medical and
social service plan, updating the plan, and monitoring
compliance with the plan; and
(iv) assistance with setting up meetings, appointments, and
transportation to access medical, chemical health, and mental
health service providers;
(4) each resident has a documented need for at least one of
the services provided;
(5) each resident has been offered an opportunity to apply
for admission to a licensed residential treatment program for
mental illness, chemical dependency, or both, have refused that
offer, and the offer and their refusal has been documented to
writing; and
(6) the residents are not eligible for home and
community-based services waivers because of their unique need
for community support.
The total supplementary service rate must not exceed $575.
Sec. 14. Laws 1997, chapter 7, article 1, section 75, is
amended to read:
Sec. 75. [REPEALER; SECTION 144A.61, SUBDIVISION 6 NOTE.]
Laws 1989, chapter 282, article 3, section 28, subdivision
6, is repealed.
Sec. 15. Minnesota Statutes 1996, section 144A.071,
subdivision 4a, as amended by Laws 1997, chapter 105, section 1,
is amended to read:
Subd. 4a. [EXCEPTIONS FOR REPLACEMENT BEDS.] It is in the
best interest of the state to ensure that nursing homes and
boarding care homes continue to meet the physical plant
licensing and certification requirements by permitting certain
construction projects. Facilities should be maintained in
condition to satisfy the physical and emotional needs of
residents while allowing the state to maintain control over
nursing home expenditure growth.
The commissioner of health in coordination with the
commissioner of human services, may approve the renovation,
replacement, upgrading, or relocation of a nursing home or
boarding care home, under the following conditions:
(a) to license or certify beds in a new facility
constructed to replace a facility or to make repairs in an
existing facility that was destroyed or damaged after June 30,
1987, by fire, lightning, or other hazard provided:
(i) destruction was not caused by the intentional act of or
at the direction of a controlling person of the facility;
(ii) at the time the facility was destroyed or damaged the
controlling persons of the facility maintained insurance
coverage for the type of hazard that occurred in an amount that
a reasonable person would conclude was adequate;
(iii) the net proceeds from an insurance settlement for the
damages caused by the hazard are applied to the cost of the new
facility or repairs;
(iv) the new facility is constructed on the same site as
the destroyed facility or on another site subject to the
restrictions in section 144A.073, subdivision 5;
(v) the number of licensed and certified beds in the new
facility does not exceed the number of licensed and certified
beds in the destroyed facility; and
(vi) the commissioner determines that the replacement beds
are needed to prevent an inadequate supply of beds.
Project construction costs incurred for repairs authorized under
this clause shall not be considered in the dollar threshold
amount defined in subdivision 2;
(b) to license or certify beds that are moved from one
location to another within a nursing home facility, provided the
total costs of remodeling performed in conjunction with the
relocation of beds does not exceed 25 percent of the appraised
value of the facility or $500,000, whichever is less $750,000;
(c) to license or certify beds in a project recommended for
approval under section 144A.073;
(d) to license or certify beds that are moved from an
existing state nursing home to a different state facility,
provided there is no net increase in the number of state nursing
home beds;
(e) to certify and license as nursing home beds boarding
care beds in a certified boarding care facility if the beds meet
the standards for nursing home licensure, or in a facility that
was granted an exception to the moratorium under section
144A.073, and if the cost of any remodeling of the facility does
not exceed 25 percent of the appraised value of the facility or
$500,000, whichever is less $750,000. If boarding care beds are
licensed as nursing home beds, the number of boarding care beds
in the facility must not increase beyond the number remaining at
the time of the upgrade in licensure. The provisions contained
in section 144A.073 regarding the upgrading of the facilities do
not apply to facilities that satisfy these requirements;
(f) to license and certify up to 40 beds transferred from
an existing facility owned and operated by the Amherst H. Wilder
Foundation in the city of St. Paul to a new unit at the same
location as the existing facility that will serve persons with
Alzheimer's disease and other related disorders. The transfer
of beds may occur gradually or in stages, provided the total
number of beds transferred does not exceed 40. At the time of
licensure and certification of a bed or beds in the new unit,
the commissioner of health shall delicense and decertify the
same number of beds in the existing facility. As a condition of
receiving a license or certification under this clause, the
facility must make a written commitment to the commissioner of
human services that it will not seek to receive an increase in
its property-related payment rate as a result of the transfers
allowed under this paragraph;
(g) to license and certify nursing home beds to replace
currently licensed and certified boarding care beds which may be
located either in a remodeled or renovated boarding care or
nursing home facility or in a remodeled, renovated, newly
constructed, or replacement nursing home facility within the
identifiable complex of health care facilities in which the
currently licensed boarding care beds are presently located,
provided that the number of boarding care beds in the facility
or complex are decreased by the number to be licensed as nursing
home beds and further provided that, if the total costs of new
construction, replacement, remodeling, or renovation exceed ten
percent of the appraised value of the facility or $200,000,
whichever is less, the facility makes a written commitment to
the commissioner of human services that it will not seek to
receive an increase in its property-related payment rate by
reason of the new construction, replacement, remodeling, or
renovation. The provisions contained in section 144A.073
regarding the upgrading of facilities do not apply to facilities
that satisfy these requirements;
(h) to license as a nursing home and certify as a nursing
facility a facility that is licensed as a boarding care facility
but not certified under the medical assistance program, but only
if the commissioner of human services certifies to the
commissioner of health that licensing the facility as a nursing
home and certifying the facility as a nursing facility will
result in a net annual savings to the state general fund of
$200,000 or more;
(i) to certify, after September 30, 1992, and prior to July
1, 1993, existing nursing home beds in a facility that was
licensed and in operation prior to January 1, 1992;
(j) to license and certify new nursing home beds to replace
beds in a facility condemned as part of an economic
redevelopment plan in a city of the first class, provided the
new facility is located within one mile of the site of the old
facility. Operating and property costs for the new facility
must be determined and allowed under existing reimbursement
rules;
(k) to license and certify up to 20 new nursing home beds
in a community-operated hospital and attached convalescent and
nursing care facility with 40 beds on April 21, 1991, that
suspended operation of the hospital in April 1986. The
commissioner of human services shall provide the facility with
the same per diem property-related payment rate for each
additional licensed and certified bed as it will receive for its
existing 40 beds;
(l) to license or certify beds in renovation, replacement,
or upgrading projects as defined in section 144A.073,
subdivision 1, so long as the cumulative total costs of the
facility's remodeling projects do not exceed 25 percent of the
appraised value of the facility or $500,000, whichever is less
$750,000;
(m) to license and certify beds that are moved from one
location to another for the purposes of converting up to five
four-bed wards to single or double occupancy rooms in a nursing
home that, as of January 1, 1993, was county-owned and had a
licensed capacity of 115 beds;
(n) to allow a facility that on April 16, 1993, was a
106-bed licensed and certified nursing facility located in
Minneapolis to layaway all of its licensed and certified nursing
home beds. These beds may be relicensed and recertified in a
newly-constructed teaching nursing home facility affiliated with
a teaching hospital upon approval by the legislature. The
proposal must be developed in consultation with the interagency
committee on long-term care planning. The beds on layaway
status shall have the same status as voluntarily delicensed and
decertified beds, except that beds on layaway status remain
subject to the surcharge in section 256.9657. This layaway
provision expires July 1, 1997 1998;
(o) to allow a project which will be completed in
conjunction with an approved moratorium exception project for a
nursing home in southern Cass county and which is directly
related to that portion of the facility that must be repaired,
renovated, or replaced, to correct an emergency plumbing problem
for which a state correction order has been issued and which
must be corrected by August 31, 1993;
(p) to allow a facility that on April 16, 1993, was a
368-bed licensed and certified nursing facility located in
Minneapolis to layaway, upon 30 days prior written notice to the
commissioner, up to 30 of the facility's licensed and certified
beds by converting three-bed wards to single or double
occupancy. Beds on layaway status shall have the same status as
voluntarily delicensed and decertified beds except that beds on
layaway status remain subject to the surcharge in section
256.9657, remain subject to the license application and renewal
fees under section 144A.07 and shall be subject to a $100 per
bed reactivation fee. In addition, at any time within three
years of the effective date of the layaway, the beds on layaway
status may be:
(1) relicensed and recertified upon relocation and
reactivation of some or all of the beds to an existing licensed
and certified facility or facilities located in Pine River,
Brainerd, or International Falls; provided that the total
project construction costs related to the relocation of beds
from layaway status for any facility receiving relocated beds
may not exceed the dollar threshold provided in subdivision 2
unless the construction project has been approved through the
moratorium exception process under section 144A.073;
(2) relicensed and recertified, upon reactivation of some
or all of the beds within the facility which placed the beds in
layaway status, if the commissioner has determined a need for
the reactivation of the beds on layaway status.
The property-related payment rate of a facility placing
beds on layaway status must be adjusted by the incremental
change in its rental per diem after recalculating the rental per
diem as provided in section 256B.431, subdivision 3a, paragraph
(d). The property-related payment rate for a facility
relicensing and recertifying beds from layaway status must be
adjusted by the incremental change in its rental per diem after
recalculating its rental per diem using the number of beds after
the relicensing to establish the facility's capacity day
divisor, which shall be effective the first day of the month
following the month in which the relicensing and recertification
became effective. Any beds remaining on layaway status more
than three years after the date the layaway status became
effective must be removed from layaway status and immediately
delicensed and decertified;
(q) to license and certify beds in a renovation and
remodeling project to convert 13 three-bed wards into 13 two-bed
rooms and 13 single-bed rooms, expand space, and add
improvements in a nursing home that, as of January 1, 1994, met
the following conditions: the nursing home was located in
Ramsey county; was not owned by a hospital corporation; had a
licensed capacity of 64 beds; and had been ranked among the top
15 applicants by the 1993 moratorium exceptions advisory review
panel. The total project construction cost estimate for this
project must not exceed the cost estimate submitted in
connection with the 1993 moratorium exception process;
(r) to license and certify beds in a renovation and
remodeling project to convert 12 four-bed wards into 24 two-bed
rooms, expand space, and add improvements in a nursing home
that, as of January 1, 1994, met the following conditions: the
nursing home was located in Ramsey county; had a licensed
capacity of 154 beds; and had been ranked among the top 15
applicants by the 1993 moratorium exceptions advisory review
panel. The total project construction cost estimate for this
project must not exceed the cost estimate submitted in
connection with the 1993 moratorium exception process;
(s) (r) to license and certify up to 117 beds that are
relocated from a licensed and certified 138-bed nursing facility
located in St. Paul to a hospital with 130 licensed hospital
beds located in South St. Paul, provided that the nursing
facility and hospital are owned by the same or a related
organization and that prior to the date the relocation is
completed the hospital ceases operation of its inpatient
hospital services at that hospital. After relocation, the
nursing facility's status under section 256B.431, subdivision
2j, shall be the same as it was prior to relocation. The
nursing facility's property-related payment rate resulting from
the project authorized in this paragraph shall become effective
no earlier than April 1, 1996. For purposes of calculating the
incremental change in the facility's rental per diem resulting
from this project, the allowable appraised value of the nursing
facility portion of the existing health care facility physical
plant prior to the renovation and relocation may not exceed
$2,490,000;
(t) (s) to license and certify two beds in a facility to
replace beds that were voluntarily delicensed and decertified on
June 28, 1991;
(u) (t) to allow 16 licensed and certified beds located on
July 1, 1994, in a 142-bed nursing home and 21-bed boarding care
home facility in Minneapolis, notwithstanding the licensure and
certification after July 1, 1995, of the Minneapolis facility as
a 147-bed nursing home facility after completion of a
construction project approved in 1993 under section 144A.073, to
be laid away upon 30 days' prior written notice to the
commissioner. Beds on layaway status shall have the same status
as voluntarily delicensed or decertified beds except that they
shall remain subject to the surcharge in section 256.9657. The
16 beds on layaway status may be relicensed as nursing home beds
and recertified at any time within five years of the effective
date of the layaway upon relocation of some or all of the beds
to a licensed and certified facility located in Watertown,
provided that the total project construction costs related to
the relocation of beds from layaway status for the Watertown
facility may not exceed the dollar threshold provided in
subdivision 2 unless the construction project has been approved
through the moratorium exception process under section 144A.073.
The property-related payment rate of the facility placing
beds on layaway status must be adjusted by the incremental
change in its rental per diem after recalculating the rental per
diem as provided in section 256B.431, subdivision 3a, paragraph
(d). The property-related payment rate for the facility
relicensing and recertifying beds from layaway status must be
adjusted by the incremental change in its rental per diem after
recalculating its rental per diem using the number of beds after
the relicensing to establish the facility's capacity day
divisor, which shall be effective the first day of the month
following the month in which the relicensing and recertification
became effective. Any beds remaining on layaway status more
than five years after the date the layaway status became
effective must be removed from layaway status and immediately
delicensed and decertified;
(v) (u) to license and certify beds that are moved within
an existing area of a facility or to a newly-constructed
addition which is built for the purpose of eliminating three-
and four-bed rooms and adding space for dining, lounge areas,
bathing rooms, and ancillary service areas in a nursing home
that, as of January 1, 1995, was located in Fridley and had a
licensed capacity of 129 beds;
(w) (v) to relocate 36 beds in Crow Wing county and four
beds from Hennepin county to a 160-bed facility in Crow Wing
county, provided all the affected beds are under common
ownership;
(x) (w) to license and certify a total replacement project
of up to 49 beds located in Norman county that are relocated
from a nursing home destroyed by flood and whose residents were
relocated to other nursing homes. The operating cost payment
rates for the new nursing facility shall be determined based on
the interim and settle-up payment provisions of Minnesota Rules,
part 9549.0057, and the reimbursement provisions of section
256B.431, except that subdivision 25 26, paragraphs (a) and (b),
clause (3), and (d), shall not apply until the second rate year
after the settle-up cost report is filed. Property-related
reimbursement rates shall be determined under section 256B.431,
taking into account any federal or state flood-related loans or
grants provided to the facility; or
(y) (x) to license and certify a total replacement project
of up to 129 beds located in Polk county that are relocated from
a nursing home destroyed by flood and whose residents were
relocated to other nursing homes. The operating cost payment
rates for the new nursing facility shall be determined based on
the interim and settle-up payment provisions of Minnesota Rules,
part 9549.0057, and the reimbursement provisions of section
256B.431, except that subdivision 25 26, paragraphs (a) and (b),
clause (3), and (d), shall not apply until the second rate year
after the settle-up cost report is filed. Property-related
reimbursement rates shall be determined under section 256B.431,
taking into account any federal or state flood-related loans or
grants provided to the facility; or
(y) to license and certify beds in a renovation and
remodeling project to convert 13 three-bed wards into 13 two-bed
rooms and 13 single-bed rooms, expand space, and add
improvements in a nursing home that, as of January 1, 1994, met
the following conditions: the nursing home was located in
Ramsey county, was not owned by a hospital corporation, had a
licensed capacity of 64 beds, and had been ranked among the top
15 applicants by the 1993 moratorium exceptions advisory review
panel. The total project construction cost estimate for this
project must not exceed the cost estimate submitted in
connection with the 1993 moratorium exception process.
Sec. 16. Laws 1997, chapter 105, section 7, is amended to
read:
Sec. 7. [FLOOD-RELATED DISASTER APPROPRIATION.]
(a) $20,000,000 is appropriated from the budget reserve in
the general fund to the commissioner of public safety for: (1)
the state costs associated with the total replacement projects
in Norman and Polk counties specified in section 1; and (2)
reimbursements to counties, cities, and towns and to individuals
or families for individual/family grants which may be used for
costs related to flooding in 1997. This appropriation is added
to the $3,000,000 appropriation in Laws 1997, chapter 12, for
flood-related purposes.
(b) Of this amount, the commissioner of public safety shall
transfer to the commissioner of human services the amount needed
to pay the state costs associated with the projects in Norman
and Polk counties specified in section 1, not to exceed $492,700.
Sec. 17. [STUDY OF NURSING FACILITY CONVERSION.]
The commissioner, in consultation with the commissioner of
health, shall report to the legislature by January 15, 1998,
with recommendations for the establishment of a project to
reduce the number of nursing facilities and the number of
nursing facility beds in Minnesota. The report shall include:
(1) goals for the number of facility and bed reductions; (2)
strategies for voluntary and involuntary bed closures; and (3)
criteria for selecting nursing facilities as candidates for
closure. In developing the recommendations, the commissioner
shall consult with an advisory task force that includes nursing
industry representatives, nursing facility resident advocates,
county representatives, and other interested parties.
Sec. 18. [RATE CLARIFICATION.]
For the rate years beginning October 1, 1997, and October
1, 1998, the commissioner of human services shall exempt
intermediate care facilities for persons with mental retardation
(ICF/MR) from reductions to the payment rates under Minnesota
Statutes, section 256B.501, subdivision 5b, paragraph (d),
clause (6), if the facility:
(1) has had a settle-up payment rate established in the
reporting year preceding the rate year for the one-time rate
adjustment;
(2) is a newly established facility;
(3) is an A to B conversion that has been converted under
Minnesota Statutes, section 252.292, since rate year 1990;
(4) has a payment rate subject to a community conversion
project under Minnesota Statutes, section 252.292;
(5) has a payment rate established under Minnesota
Statutes, section 245A.12 or 245A.13; or
(6) is a facility created by the relocation of more than 25
percent of the capacity of a related facility during the
reporting year.
Sec. 19. [ICF/MR REIMBURSEMENT OCTOBER 1, 1997, TO OCTOBER
1, 1999.]
(a) Notwithstanding any contrary provision in Minnesota
Statutes, section 256B.501, for the rate years beginning October
1, 1997, and October 1, 1998, the commissioner of human services
shall, for purposes of the spend-up limit, array facilities
within each grouping established under Minnesota Statutes,
section 256B.501, subdivision 5b, paragraph (d), clause (4), by
each facility's cost per resident day. A facility's cost per
resident day shall be determined by dividing its allowable
historical general operating cost for the reporting year by the
facility's resident days for the reporting year. Facilities
with a cost per resident day at or above the median shall be
limited to the lesser of:
(1) the current reporting year's cost per resident day; or
(2) the prior report year's cost per resident day plus the
inflation factor established under Minnesota Statutes, section
256B.501, subdivision 3c, clause (2), increased by three
percentage points.
In no case shall the amount of this reduction exceed: three
percent for a facility with a licensed capacity greater than 16
beds; two percent for a facility with a licensed capacity of
nine to 16 beds; and one percent for a facility with a licensed
capacity of eight or fewer beds.
(b) The commissioner shall not apply the limits established
under Minnesota Statutes, section 256B.501, subdivision 5b,
paragraph (d), clause (8), for the rate years beginning October
1, 1997, and October 1, 1998.
Sec. 20. [EFFECTIVE DATE.]
Section 16 is effective the day following final enactment.
ARTICLE 4
HEALTH CARE
Section 1. Minnesota Statutes 1996, section 62D.04,
subdivision 5, is amended to read:
Subd. 5. [PARTICIPATION; GOVERNMENT PROGRAMS.] Health
maintenance organizations shall, as a condition of receiving and
retaining a certificate of authority, participate in the medical
assistance, general assistance medical care, and MinnesotaCare
programs. A health maintenance organization is required to
submit proposals in good faith that meet the requirements of the
request for proposal provided that the requirements can be
reasonably met by a health maintenance organization to serve
individuals eligible for the above programs in a geographic
region of the state if, at the time of publication of a request
for proposal, the percentage of recipients in the public
programs in the region who are enrolled in the health
maintenance organization is less than the health maintenance
organization's percentage of the total number of individuals
enrolled in health maintenance organizations in the same
region. Geographic regions shall be defined by the commissioner
of human services in the request for proposals.
Sec. 2. Minnesota Statutes 1996, section 62N.25,
subdivision 2, is amended to read:
Subd. 2. [LICENSURE REQUIREMENTS GENERALLY.] To be
licensed and to operate as a community integrated service
network, an applicant must satisfy the requirements of chapter
62D, and all other legal requirements that apply to entities
licensed under chapter 62D, except as exempted or modified in
this section. Community networks must, as a condition of
licensure, comply with rules adopted under section 256B.0644
that apply to entities governed by chapter 62D section 62D.04,
subdivision 5. A community integrated service network that
phases in its net worth over a three-year period is not required
to respond to requests for proposals under section 256B.0644
62D.04, subdivision 5, during the first 12 months of licensure.
These community networks are not prohibited from responding to
requests for proposals, however, if they choose to do so during
that time period. After the initial 12 months of licensure,
these community networks are required to respond to the requests
for proposals as required under section 256B.0644 62D.04,
subdivision 5.
Sec. 3. Minnesota Statutes 1996, section 144.0721,
subdivision 3, is amended to read:
Subd. 3. [LEVEL OF CARE CRITERIA; MODIFICATIONS.] The
commissioner shall seek appropriate federal waivers to implement
this subdivision. Notwithstanding any laws or rules to the
contrary, effective July 1, 1996 1998, Minnesota's level of care
criteria for admission of any person to a nursing facility
licensed under chapter 144A, or a boarding care home licensed
under sections 144.50 to 144.56, are modified as follows:
(1) the resident reimbursement classifications and
terminology established by rule under sections 256B.41 to
256B.48 are the basis for applying the level of care criteria
changes;
(2) an applicant to a certified nursing facility or
certified boarding care home who is dependent in zero, one, or
two case mix activities of daily living, is classified as a case
mix A, and is independent in orientation and self-preservation,
is reclassified as a high function class A person and is not
eligible for admission to Minnesota certified nursing facilities
or certified boarding care homes;
(3) applicants in clause (2) who are dependent in one or
two case mix activities of daily living, who are eligible for
assistance as determined under sections 256B.055 and 256B.056 or
meet eligibility criteria for section 256B.0913 are eligible for
a service allowance under section 256B.0913, subdivision 15, and
are not eligible for services under sections 256B.0913,
subdivisions 1 to 14, and 256B.0915. Applicants in clause (2)
shall have the option of receiving personal care assistant and
home health aide services under section 256B.0625, if otherwise
eligible, or of receiving the service allowance option, but not
both. Applicants in clause (2) shall have the option of
residing in community settings under sections 256I.01 to
256I.06, if otherwise eligible, or receiving the services
allowance option under section 256B.0913, subdivision 15, but
not both;
(4) residents of a certified nursing facility or certified
boarding care home who were admitted before July 1, 1996 1998,
or individuals receiving services under section 256B.0913,
subdivisions 1 to 14, or 256B.0915, before July 1, 1996 1998,
are not subject to the new level of care criteria unless the
resident is discharged home or to another service setting other
than a certified nursing facility or certified boarding care
home and applies for admission to a certified nursing facility
or certified boarding care home after June 30, 1996 1998;
(5) the local screening teams under section 256B.0911 shall
make preliminary determinations concerning may determine the
existence of extraordinary circumstances which render
nonadmission to a certified nursing or certified boarding care
home a serious threat to the health and safety of applicants in
clause (2) and may authorize an admission for a short-term stay
at to a certified nursing facility or certified boarding care
home in accordance with a treatment and discharge plan for up to
30 days per year; and
(6) an individual deemed ineligible for admission to
Minnesota certified nursing facilities is entitled to an appeal
under section 256.045, subdivision 3.
If the commissioner determines upon appeal that an
applicant in clause (2) presents extraordinary circumstances
including but not limited to the absence or inaccessibility of
suitable alternatives, contravening family circumstances, and or
protective service issues, the applicant may be eligible for
admission to Minnesota certified nursing facilities or certified
boarding care homes.
Sec. 4. Minnesota Statutes 1996, section 254A.17,
subdivision 3, is amended to read:
Subd. 3. [STATEWIDE DETOXIFICATION TRANSPORTATION
PROGRAM.] The commissioner shall provide grants to counties,
Indian reservations, other nonprofit agencies, or local
detoxification programs for provision of transportation of
intoxicated individuals to detoxification programs, to open
shelters, and to secure shelters as defined in section 254A.085
and, shelters serving intoxicated persons, including long-term
supportive housing facilities for chronic inebriates, and
hospital emergency rooms. In state fiscal years 1994, 1995, and
1996, funds shall be allocated to counties in proportion to each
county's allocation in fiscal year 1993. In subsequent fiscal
years, funds shall be allocated among counties annually in
proportion to each county's average number of detoxification
admissions for the prior two years, except that no county shall
receive less than $400. Unless a county has approved a grant of
funds under this section, the commissioner shall make quarterly
payments of detoxification funds to a county only after
receiving an invoice describing the number of persons
transported and the cost of transportation services for the
previous quarter. The commissioner shall make an annual payment
to counties for provision of transportation under this section.
If appropriations are not sufficient to pay the allowed maximum
per trip, the commissioner shall reduce the maximum payment per
trip until payments do not exceed the appropriation. A county
must make a good faith effort to provide the transportation
service through the most cost-effective community-based agencies
or organizations eligible to provide the service. The program
administrator and all staff of the program must report to the
office of the ombudsman for mental health and mental retardation
within 24 hours of its occurrence, any serious injury, as
defined in section 245.91, subdivision 6, or the death of a
person admitted to the shelter. The ombudsman shall acknowledge
in writing the receipt of all reports made to the ombudsman's
office under this section. Acknowledgment must be mailed to the
facility and to the county social service agency within five
working days of the day the report was made. In addition, the
program administrator and staff of the program must comply with
all of the requirements of section 626.557, the vulnerable
adults act.
Sec. 5. Minnesota Statutes 1996, section 254B.01,
subdivision 3, is amended to read:
Subd. 3. [CHEMICAL DEPENDENCY SERVICES.] "Chemical
dependency services" means a planned program of care for the
treatment of chemical dependency or chemical abuse to minimize
or prevent further chemical abuse by the person. Diagnostic,
evaluation, prevention, referral, detoxification, and aftercare
services that are not part of a program of care licensable as a
residential or nonresidential chemical dependency treatment
program are not chemical dependency services for purposes of
this section. For pregnant and postpartum women, chemical
dependency services include halfway house services, after-care
services, psychological services, and case management.
Sec. 6. Minnesota Statutes 1996, section 254B.02,
subdivision 1, is amended to read:
Subdivision 1. [CHEMICAL DEPENDENCY TREATMENT ALLOCATION.]
The chemical dependency funds appropriated for allocation shall
be placed in a special revenue account. For the fiscal year
beginning July 1, 1987, funds shall be transferred to operate
the vendor payment, invoice processing, and collections system
for one year. The commissioner shall annually transfer funds
from the chemical dependency fund to pay for operation of the
drug and alcohol abuse normative evaluation system and to pay
for all costs incurred by adding two positions for licensing of
chemical dependency treatment and rehabilitation programs
located in hospitals for which funds are not otherwise
appropriated. For each year of the biennium ending June 30,
1999, the commissioner shall allocate funds to the American
Indian chemical dependency tribal account for treatment of
American Indians by eligible vendors under section 254B.05,
equal to the amount allocated in fiscal year 1997. The
commissioner shall annually divide the money available in the
chemical dependency fund that is not held in reserve by counties
from a previous allocation, or allocated to the American Indian
chemical dependency tribal account. Twelve Six percent of the
remaining money must be reserved for the nonreservation American
Indian chemical dependency allocation for treatment of American
Indians by eligible vendors under section 254B.05, subdivision
1. The remainder of the money must be allocated among the
counties according to the following formula, using state
demographer data and other data sources determined by the
commissioner:
(a) For purposes of this formula, American Indians and
children under age 14 are subtracted from the population of each
county to determine the restricted population.
(b) The amount of chemical dependency fund expenditures for
entitled persons for services not covered by prepaid plans
governed by section 256B.69 in the previous year is divided by
the amount of chemical dependency fund expenditures for entitled
persons for all services to determine the proportion of exempt
service expenditures for each county.
(c) The prepaid plan months of eligibility is multiplied by
the proportion of exempt service expenditures to determine the
adjusted prepaid plan months of eligibility for each county.
(d) The adjusted prepaid plan months of eligibility is
added to the number of restricted population fee for service
months of eligibility for aid to families with dependent
children, general assistance, and medical assistance and divided
by the county restricted population to determine county per
capita months of covered service eligibility.
(e) The number of adjusted prepaid plan months of
eligibility for the state is added to the number of fee for
service months of eligibility for aid to families with dependent
children, general assistance, and medical assistance for the
state restricted population and divided by the state restricted
population to determine state per capita months of covered
service eligibility.
(f) The county per capita months of covered service
eligibility is divided by the state per capita months of covered
service eligibility to determine the county welfare caseload
factor.
(g) The median married couple income for the most recent
three-year period available for the state is divided by the
median married couple income for the same period for each county
to determine the income factor for each county.
(h) The county restricted population is multiplied by the
sum of the county welfare caseload factor and the county income
factor to determine the adjusted population.
(i) $15,000 shall be allocated to each county.
(j) The remaining funds shall be allocated proportional to
the county adjusted population.
Sec. 7. Minnesota Statutes 1996, section 254B.04,
subdivision 1, is amended to read:
Subdivision 1. [ELIGIBILITY.] (a) Persons eligible for
benefits under Code of Federal Regulations, title 25, part 20,
persons eligible for medical assistance benefits under sections
256B.055, 256B.056, and 256B.057, subdivisions 1, 2, 5, and 6,
or who meet the income standards of section 256B.056,
subdivision 4, and persons eligible for general assistance
medical care under section 256D.03, subdivision 3, are entitled
to chemical dependency fund services. State money appropriated
for this paragraph must be placed in a separate account
established for this purpose.
(b) A person not entitled to services under paragraph (a),
but with family income that is less than 60 percent of the state
median income for a family of like size and composition, shall
be eligible to receive chemical dependency fund services within
the limit of funds available after persons entitled to services
under paragraph (a) have been served. A county may spend money
from its own sources to serve persons under this paragraph.
State money appropriated for this paragraph must be placed in a
separate account established for this purpose.
(c) Persons whose income is between 60 percent and 115
percent of the state median income shall be eligible for
chemical dependency services on a sliding fee basis, within the
limit of funds available, after persons entitled to services
under paragraph (a) and persons eligible for services under
paragraph (b) have been served. Persons eligible under this
paragraph must contribute to the cost of services according to
the sliding fee scale established under subdivision 3. A county
may spend money from its own sources to provide services to
persons under this paragraph. State money appropriated for this
paragraph must be placed in a separate account established for
this purpose.
(d) Notwithstanding the provisions of paragraphs (b) and
(c), state funds appropriated to serve persons who are not
entitled under the provisions of paragraph (a), shall be
expended for chemical dependency treatment services for
nonentitled but eligible persons who have children in their
household, are pregnant, or are younger than 18 years old.
These persons may have household incomes up to 60 percent of the
state median income. Any funds in addition to the amounts
necessary to serve the persons identified in this paragraph
shall be expended according to the provisions of paragraphs (b)
and (c).
Sec. 8. Minnesota Statutes 1996, section 254B.09,
subdivision 4, is amended to read:
Subd. 4. [TRIBAL ALLOCATION.] Forty-two and one-half
Eighty-five percent of the American Indian chemical dependency
tribal account must be allocated to the federally recognized
American Indian tribal governing bodies that have entered into
an agreement under subdivision 2 as follows: $10,000 must be
allocated to each governing body and the remainder must be
allocated in direct proportion to the population of the
reservation according to the most recently available estimates
from the federal Bureau of Indian Affairs. When a tribal
governing body has not entered into an agreement with the
commissioner under subdivision 2, the county may use funds
allocated to the reservation to pay for chemical dependency
services for a current resident of the county and of the
reservation.
Sec. 9. Minnesota Statutes 1996, section 254B.09,
subdivision 5, is amended to read:
Subd. 5. [TRIBAL RESERVE ACCOUNT.] The commissioner shall
reserve 7.5 15 percent of the American Indian chemical
dependency tribal account. The reserve must be allocated to
those tribal units that have used all money allocated under
subdivision 4 according to agreements made under subdivision 2
and to counties submitting invoices for American Indians under
subdivision 1 when all money allocated under subdivision 4 has
been used. An American Indian tribal governing body or a county
submitting invoices under subdivision 1 may receive not more
than 30 percent of the reserve account in a year. The
commissioner may refuse to make reserve payments for persons not
eligible under section 254B.04, subdivision 1, if the tribal
governing body responsible for treatment placement has exhausted
its allocation. Money must be allocated as invoices are
received.
Sec. 10. Minnesota Statutes 1996, section 254B.09,
subdivision 7, is amended to read:
Subd. 7. [NONRESERVATION INDIAN ACCOUNT.] Fifty percent of
The nonreservation American Indian chemical dependency
allocation must be held in reserve by the commissioner in an
account for treatment of Indians not residing on lands of a
reservation receiving money under subdivision 4. This money
must be used to pay for services certified by county invoice to
have been provided to an American Indian eligible recipient.
Money allocated under this subdivision may be used for payments
on behalf of American Indian county residents only if, in
addition to other placement standards, the county certifies that
the placement was appropriate to the cultural orientation of the
client. Any funds for treatment of nonreservation Indians
remaining at the end of a fiscal year shall be reallocated under
section 254B.02.
Sec. 11. Minnesota Statutes 1996, section 256.045,
subdivision 7, is amended to read:
Subd. 7. [JUDICIAL REVIEW.] Except for a prepaid health
plan, any party who is aggrieved by an order of the commissioner
of human services, or the commissioner of health in appeals
within the commissioner's jurisdiction under subdivision 3b, may
appeal the order to the district court of the county responsible
for furnishing assistance, or, in appeals under subdivision 3b,
the county where the maltreatment occurred, by serving a written
copy of a notice of appeal upon the commissioner and any adverse
party of record within 30 days after the date the commissioner
issued the order, the amended order, or order affirming the
original order, and by filing the original notice and proof of
service with the court administrator of the district court.
Service may be made personally or by mail; service by mail is
complete upon mailing; no filing fee shall be required by the
court administrator in appeals taken pursuant to this
subdivision, with the exception of appeals taken under
subdivision 3b. The commissioner may elect to become a party to
the proceedings in the district court. Except for appeals under
subdivision 3b, any party may demand that the commissioner
furnish all parties to the proceedings with a copy of the
decision, and a transcript of any testimony, evidence, or other
supporting papers from the hearing held before the human
services referee, by serving a written demand upon the
commissioner within 30 days after service of the notice of
appeal. Any party aggrieved by the failure of an adverse party
to obey an order issued by the commissioner under subdivision 5
may compel performance according to the order in the manner
prescribed in sections 586.01 to 586.12.
Sec. 12. Minnesota Statutes 1996, section 256.476,
subdivision 2, is amended to read:
Subd. 2. [DEFINITIONS.] For purposes of this section, the
following terms have the meanings given them:
(a) "County board" means the county board of commissioners
for the county of financial responsibility as defined in section
256G.02, subdivision 4, or its designated representative. When
a human services board has been established under sections
402.01 to 402.10, it shall be considered the county board for
the purposes of this section.
(b) "Family" means the person's birth parents, adoptive
parents or stepparents, siblings or stepsiblings, children or
stepchildren, grandparents, grandchildren, niece, nephew, aunt,
uncle, or spouse. For the purposes of this section, a family
member is at least 18 years of age.
(c) "Functional limitations" means the long-term inability
to perform an activity or task in one or more areas of major
life activity, including self-care, understanding and use of
language, learning, mobility, self-direction, and capacity for
independent living. For the purpose of this section, the
inability to perform an activity or task results from a mental,
emotional, psychological, sensory, or physical disability,
condition, or illness.
(d) "Informed choice" means a voluntary decision made by
the person or the person's legal representative, after becoming
familiarized with the alternatives to:
(1) select a preferred alternative from a number of
feasible alternatives;
(2) select an alternative which may be developed in the
future; and
(3) refuse any or all alternatives.
(e) "Local agency" means the local agency authorized by the
county board to carry out the provisions of this section.
(f) "Person" or "persons" means a person or persons meeting
the eligibility criteria in subdivision 3.
(g) "Responsible individual" "Authorized representative"
means an individual designated by the person or their legal
representative to act on their behalf. This individual may be a
family member, guardian, representative payee, or other
individual designated by the person or their legal
representative, if any, to assist in purchasing and arranging
for supports. For the purposes of this section, a responsible
individual an authorized representative is at least 18 years of
age.
(h) "Screening" means the screening of a person's service
needs under sections 256B.0911 and 256B.092.
(i) "Supports" means services, care, aids, home
modifications, or assistance purchased by the person or the
person's family. Examples of supports include respite care,
assistance with daily living, and adaptive aids. For the
purpose of this section, notwithstanding the provisions of
section 144A.43, supports purchased under the consumer support
program are not considered home care services.
(j) "Program of origination" means the program the
individual transferred from when approved for the consumer
support grant program.
Sec. 13. Minnesota Statutes 1996, section 256.476,
subdivision 3, is amended to read:
Subd. 3. [ELIGIBILITY TO APPLY FOR GRANTS.] (a) A person
is eligible to apply for a consumer support grant if the person
meets all of the following criteria:
(1) the person is eligible for and has been approved to
receive services under medical assistance as determined under
sections 256B.055 and 256B.056 or the person is eligible for and
has been approved to receive services under alternative care
services as determined under section 256B.0913 or the person has
been approved to receive a grant under the developmental
disability family support program under section 252.32;
(2) the person is able to direct and purchase the person's
own care and supports, or the person has a family member, legal
representative, or other responsible individual authorized
representative who can purchase and arrange supports on the
person's behalf;
(3) the person has functional limitations, requires ongoing
supports to live in the community, and is at risk of or would
continue institutionalization without such supports; and
(4) the person will live in a home. For the purpose of
this section, "home" means the person's own home or home of a
person's family member. These homes are natural home settings
and are not licensed by the department of health or human
services.
(b) Persons may not concurrently receive a consumer support
grant if they are:
(1) receiving home and community-based services under
United States Code, title 42, section 1396h(c); personal care
attendant and home health aide services under section 256B.0625;
a developmental disability family support grant; or alternative
care services under section 256B.0913; or
(2) residing in an institutional or congregate care setting.
(c) A person or person's family receiving a consumer
support grant shall not be charged a fee or premium by a local
agency for participating in the program. A person or person's
family is not eligible for a consumer support grant if their
income is at a level where they are required to pay a parental
fee under sections 252.27, 256B.055, subdivision 12, and 256B.14
and rules adopted under those sections for medical assistance
services to a disabled child living with at least one parent.
(d) The commissioner may limit the participation of nursing
facility residents, residents of intermediate care facilities
for persons with mental retardation, and the recipients of
services from federal waiver programs in the consumer support
grant program if the participation of these individuals will
result in an increase in the cost to the state.
(e) The commissioner shall establish a budgeted
appropriation each fiscal year for the consumer support grant
program. The number of individuals participating in the program
will be adjusted so the total amount allocated to counties does
not exceed the amount of the budgeted appropriation. The
budgeted appropriation will be adjusted annually to accommodate
changes in demand for the consumer support grants.
Sec. 14. Minnesota Statutes 1996, section 256.476,
subdivision 4, is amended to read:
Subd. 4. [SUPPORT GRANTS; CRITERIA AND LIMITATIONS.] (a) A
county board may choose to participate in the consumer support
grant program. If a county board chooses to participate in the
program, the local agency shall establish written procedures and
criteria to determine the amount and use of support grants.
These procedures must include, at least, the availability of
respite care, assistance with daily living, and adaptive aids.
The local agency may establish monthly or annual maximum amounts
for grants and procedures where exceptional resources may be
required to meet the health and safety needs of the person on a
time-limited basis, however, the total amount awarded to each
individual may not exceed the limits established in subdivision
5, paragraph (f).
(b) Support grants to a person or a person's family may
will be provided through a monthly subsidy or lump sum payment
basis and be in the form of cash, voucher, or direct county
payment to vendor. Support grant amounts must be determined by
the local agency. Each service and item purchased with a
support grant must meet all of the following criteria:
(1) it must be over and above the normal cost of caring for
the person if the person did not have functional limitations;
(2) it must be directly attributable to the person's
functional limitations;
(3) it must enable the person or the person's family to
delay or prevent out-of-home placement of the person; and
(4) it must be consistent with the needs identified in the
service plan, when applicable.
(c) Items and services purchased with support grants must
be those for which there are no other public or private funds
available to the person or the person's family. Fees assessed
to the person or the person's family for health and human
services are not reimbursable through the grant.
(d) In approving or denying applications, the local agency
shall consider the following factors:
(1) the extent and areas of the person's functional
limitations;
(2) the degree of need in the home environment for
additional support; and
(3) the potential effectiveness of the grant to maintain
and support the person in the family environment or the person's
own home.
(e) At the time of application to the program or screening
for other services, the person or the person's family shall be
provided sufficient information to ensure an informed choice of
alternatives by the person, the person's legal representative,
if any, or the person's family. The application shall be made
to the local agency and shall specify the needs of the person
and family, the form and amount of grant requested, the items
and services to be reimbursed, and evidence of eligibility for
medical assistance or alternative care program.
(f) Upon approval of an application by the local agency and
agreement on a support plan for the person or person's family,
the local agency shall make grants to the person or the person's
family. The grant shall be in an amount for the direct costs of
the services or supports outlined in the service agreement.
(g) Reimbursable costs shall not include costs for
resources already available, such as special education classes,
day training and habilitation, case management, other services
to which the person is entitled, medical costs covered by
insurance or other health programs, or other resources usually
available at no cost to the person or the person's family.
(h) The state of Minnesota, the county boards participating
in the consumer support grant program, or the agencies acting on
behalf of the county boards in the implementation and
administration of the consumer support grant program shall not
be liable for damages, injuries, or liabilities sustained
through the purchase of support by the individual, the
individual's family, or the authorized representative under this
section with funds received through the consumer support grant
program. Liabilities include but are not limited to: workers'
compensation liability, the Federal Insurance Contributions Act
(FICA), or the Federal Unemployment Tax Act (FUTA). For
purposes of this section, participating county boards and
agencies acting on behalf of county boards are exempt from the
provisions of section 268.04.
Sec. 15. Minnesota Statutes 1996, section 256.476,
subdivision 5, is amended to read:
Subd. 5. [REIMBURSEMENT, ALLOCATIONS, AND REPORTING.] (a)
For the purpose of transferring persons to the consumer support
grant program from specific programs or services, such as the
developmental disability family support program and alternative
care program, personal care attendant, home health aide, or
nursing facility services, the amount of funds transferred by
the commissioner between the developmental disability family
support program account, the alternative care account, the
medical assistance account, or the consumer support grant
account shall be based on each county's participation in
transferring persons to the consumer support grant program from
those programs and services.
(b) At the beginning of each fiscal year, county
allocations for consumer support grants shall be based on:
(1) the number of persons to whom the county board expects
to provide consumer supports grants;
(2) their eligibility for current program and services;
(3) the amount of nonfederal dollars expended on those
individuals for those programs and services; or, in situations
where an individual is unable to obtain the support needed from
the program of origination due to the unavailability of service
providers at the time or the location where the supports are
needed, the allocation will be based on the county's best
estimate of the nonfederal dollars that would have been expended
if the services had been available; and
(4) projected dates when persons will start receiving
grants. County allocations shall be adjusted periodically by
the commissioner based on the actual transfer of persons or
service openings, and the nonfederal dollars associated with
those persons or service openings, to the consumer support grant
program.
(c) The amount of funds transferred by the commissioner
from the alternative care account and the medical assistance
account for an individual may be changed if it is determined by
the county or its agent that the individual's need for support
has changed.
(d) The authority to utilize funds transferred to the
consumer support grant account for the purposes of implementing
and administering the consumer support grant program will not be
limited or constrained by the spending authority provided to the
program of origination.
(e) The commissioner shall use up to five percent of each
county's allocation, as adjusted, for payments to that county
for administrative expenses, to be paid as a proportionate
addition to reported direct service expenditures.
(d) (f) Except as provided in this paragraph, the county
allocation for each individual or individual's family cannot
exceed 80 percent of the total nonfederal dollars expended on
the individual by the program of origination except for the
developmental disabilities family support grant program which
can be approved up to 100 percent of the nonfederal dollars and
in situations as described in paragraph (b), clause (3). In
situations where exceptional need exists or the individual's
need for support increases, up to 100 percent of the nonfederal
dollars expended may be allocated to the county. Allocations
that exceed 80 percent of the nonfederal dollars expended on the
individual by the program of origination must be approved by the
commissioner. The remainder of the amount expended on the
individual by the program of origination will be used in the
following proportions: half will be made available to the
consumer support grant program and participating counties for
consumer training, resource development, and other costs, and
half will be returned to the state general fund.
(g) The commissioner may recover, suspend, or withhold
payments if the county board, local agency, or grantee does not
comply with the requirements of this section.
Sec. 16. Minnesota Statutes 1996, section 256.969,
subdivision 1, is amended to read:
Subdivision 1. [HOSPITAL COST INDEX.] (a) The hospital
cost index shall be the change in the Consumer Price Index-All
Items (United States city average) (CPI-U) forecasted by Data
Resources, Inc. The commissioner shall use the indices as
forecasted in the third quarter of the calendar year prior to
the rate year. The hospital cost index may be used to adjust
the base year operating payment rate through the rate year on an
annually compounded basis.
(b) For fiscal years beginning on or after July 1, 1993,
the commissioner of human services shall not provide automatic
annual inflation adjustments for hospital payment rates under
medical assistance, nor under general assistance medical care,
except that the inflation adjustments under paragraph (a) for
medical assistance, excluding general assistance medical care,
shall apply through calendar year 1997 1999. The commissioner
of finance shall include as a budget change request in each
biennial detailed expenditure budget submitted to the
legislature under section 16A.11 annual adjustments in hospital
payment rates under medical assistance and general assistance
medical care, based upon the hospital cost index.
Sec. 17. Minnesota Statutes 1996, section 256.9695,
subdivision 1, is amended to read:
Subdivision 1. [APPEALS.] A hospital may appeal a decision
arising from the application of standards or methods under
section 256.9685, 256.9686, or 256.969, if an appeal would
result in a change to the hospital's payment rate or payments.
Both overpayments and underpayments that result from the
submission of appeals shall be implemented. Regardless of any
appeal outcome, relative values shall not be recalculated. The
appeal shall be heard by an administrative law judge according
to sections 14.57 to 14.62, or upon agreement by both parties,
according to a modified appeals procedure established by the
commissioner and the office of administrative hearings. In any
proceeding under this section, the appealing party must
demonstrate by a preponderance of the evidence that the
commissioner's determination is incorrect or not according to
law.
(a) To appeal a payment rate or payment determination or a
determination made from base year information, the hospital
shall file a written appeal request to the commissioner within
60 days of the date the payment rate determination was mailed.
The appeal request shall specify: (i) the disputed items; (ii)
the authority in federal or state statute or rule upon which the
hospital relies for each disputed item; and (iii) the name and
address of the person to contact regarding the appeal. Facts to
be considered in any appeal of base year information are limited
to those in existence at the time the payment rates of the first
rate year were established from the base year information. In
the case of Medicare settled appeals, the 60-day appeal period
shall begin on the mailing date of the notice by the Medicare
program or the date the medical assistance payment rate
determination notice is mailed, whichever is later.
(b) To appeal a payment rate or payment change that results
from a difference in case mix between the base year and a rate
year, the procedures and requirements of paragraph (a) apply.
However, the appeal must be filed with the commissioner within
120 days after the end of a rate year. A case mix appeal must
apply to the cost of services to all medical assistance patients
that received inpatient services from the hospital during the
rate year appealed. For case mix appeals filed after January 1,
1997, the difference in case mix and the corresponding payment
adjustment must exceed a threshold of five percent.
Sec. 18. Minnesota Statutes 1996, section 256B.04, is
amended by adding a subdivision to read:
Subd. 1a. [COMPREHENSIVE HEALTH SERVICES SYSTEM.] The
commissioner shall carry out the duties in this section with the
participation of the boards of county commissioners, and with
full consideration for the interests of counties, to plan and
implement a unified, accountable, comprehensive health services
system that:
(1) promotes accessible and quality health care for all
Minnesotans;
(2) assures provision of adequate health care within
limited state and county resources;
(3) avoids shifting funding burdens to county tax
resources;
(4) provides statewide eligibility, benefit, and service
expectations;
(5) manages care, develops risk management strategies, and
contains cost in all health and human services; and
(6) supports effective implementation of publicly funded
health and human services for all areas of the state.
Sec. 19. Minnesota Statutes 1996, section 256B.055,
subdivision 12, is amended to read:
Subd. 12. [DISABLED CHILDREN.] (a) A person is eligible
for medical assistance if the person is under age 19 and
qualifies as a disabled individual under United States Code,
title 42, section 1382c(a), and would be eligible for medical
assistance under the state plan if residing in a medical
institution, and the child requires a level of care provided in
a hospital, nursing facility, or intermediate care facility for
persons with mental retardation or related conditions, for whom
home care is appropriate, provided that the cost to medical
assistance under this section is not more than the amount that
medical assistance would pay for if the child resides in an
institution. After the child is determined to be eligible under
this section, the commissioner shall review the child's
disability under United States Code, title 42, section 1382c(a)
and level of care defined under this section no more often than
annually and may elect, based on the recommendation of health
care professionals under contract with the state medical review
team, to extend the review of disability and level of care up to
a maximum of four years. The commissioner's decision on the
frequency of continuing review of disability and level of care
is not subject to administrative appeal under section 256.045.
Nothing in this subdivision shall be construed as affecting
other redeterminations of medical assistance eligibility under
this chapter and annual cost-effective reviews under this
section.
(b) For purposes of this subdivision, "hospital" means an
institution as defined in section 144.696, subdivision 3,
144.55, subdivision 3, or Minnesota Rules, part 4640.3600, and
licensed pursuant to sections 144.50 to 144.58. For purposes of
this subdivision, a child requires a level of care provided in a
hospital if the child is determined by the commissioner to need
an extensive array of health services, including mental health
services, for an undetermined period of time, whose health
condition requires frequent monitoring and treatment by a health
care professional or by a person supervised by a health care
professional, who would reside in a hospital or require frequent
hospitalization if these services were not provided, and the
daily care needs are more complex than a nursing facility level
of care.
A child with serious emotional disturbance requires a level
of care provided in a hospital if the commissioner determines
that the individual requires 24-hour supervision because the
person exhibits recurrent or frequent suicidal or homicidal
ideation or behavior, recurrent or frequent psychosomatic
disorders or somatopsychic disorders that may become life
threatening, recurrent or frequent severe socially unacceptable
behavior associated with psychiatric disorder, ongoing and
chronic psychosis or severe, ongoing and chronic developmental
problems requiring continuous skilled observation, or severe
disabling symptoms for which office-centered outpatient
treatment is not adequate, and which overall severely impact the
individual's ability to function.
(c) For purposes of this subdivision, "nursing facility"
means a facility which provides nursing care as defined in
section 144A.01, subdivision 5, licensed pursuant to sections
144A.02 to 144A.10, which is appropriate if a person is in
active restorative treatment; is in need of special treatments
provided or supervised by a licensed nurse; or has unpredictable
episodes of active disease processes requiring immediate
judgment by a licensed nurse. For purposes of this subdivision,
a child requires the level of care provided in a nursing
facility if the child is determined by the commissioner to meet
the requirements of the preadmission screening assessment
document under section 256B.0911 and the home care independent
rating document under section 256B.0627, subdivision 5,
paragraph (f), item (iii), adjusted to address age-appropriate
standards for children age 18 and under, pursuant to section
256B.0627, subdivision 5, paragraph (d), clause (2).
(d) For purposes of this subdivision, "intermediate care
facility for persons with mental retardation or related
conditions" or "ICF/MR" means a program licensed to provide
services to persons with mental retardation under section
252.28, and chapter 245A, and a physical plant licensed as a
supervised living facility under chapter 144, which together are
certified by the Minnesota department of health as meeting the
standards in Code of Federal Regulations, title 42, part 483,
for an intermediate care facility which provides services for
persons with mental retardation or persons with related
conditions who require 24-hour supervision and active treatment
for medical, behavioral, or habilitation needs. For purposes of
this subdivision, a child requires a level of care provided in
an ICF/MR if the commissioner finds that the child has mental
retardation or a related condition in accordance with section
256B.092, is in need of a 24-hour plan of care and active
treatment similar to persons with mental retardation, and there
is a reasonable indication that the child will need ICF/MR
services.
(e) For purposes of this subdivision, a person requires the
level of care provided in a nursing facility if the person
requires 24-hour monitoring or supervision and a plan of mental
health treatment because of specific symptoms or functional
impairments associated with a serious mental illness or disorder
diagnosis, which meet severity criteria for mental health
established by the commissioner based on standards developed for
the Wisconsin Katie Beckett program and published in July 1994
March 1997 as the Minnesota Mental Health Level of Care for
Children and Adolescents with Severe Emotional Disorders.
(f) The determination of the level of care needed by the
child shall be made by the commissioner based on information
supplied to the commissioner by the parent or guardian, the
child's physician or physicians, and other professionals as
requested by the commissioner. The commissioner shall establish
a screening team to conduct the level of care determinations
according to this subdivision.
(g) If a child meets the conditions in paragraph (b), (c),
(d), or (e), the commissioner must assess the case to determine
whether:
(1) the child qualifies as a disabled individual under
United States Code, title 42, section 1382c(a), and would be
eligible for medical assistance if residing in a medical
institution; and
(2) the cost of medical assistance services for the child,
if eligible under this subdivision, would not be more than the
cost to medical assistance if the child resides in a medical
institution to be determined as follows:
(i) for a child who requires a level of care provided in an
ICF/MR, the cost of care for the child in an institution shall
be determined using the average payment rate established for the
regional treatment centers that are certified as ICFs/MR;
(ii) for a child who requires a level of care provided in
an inpatient hospital setting according to paragraph (b),
cost-effectiveness shall be determined according to Minnesota
Rules, part 9505.3520, items F and G; and
(iii) for a child who requires a level of care provided in
a nursing facility according to paragraph (c) or (e),
cost-effectiveness shall be determined according to Minnesota
Rules, part 9505.3040, except that the nursing facility average
rate shall be adjusted to reflect rates which would be paid for
children under age 16. The commissioner may authorize an amount
up to the amount medical assistance would pay for a child
referred to the commissioner by the preadmission screening team
under section 256B.0911.
(h) Children eligible for medical assistance services under
section 256B.055, subdivision 12, as of June 30, 1995, must be
screened according to the criteria in this subdivision prior to
January 1, 1996. Children found to be ineligible may not be
removed from the program until January 1, 1996.
Sec. 20. Minnesota Statutes 1996, section 256B.056,
subdivision 4, is amended to read:
Subd. 4. [INCOME.] To be eligible for medical assistance,
a person must not have, or anticipate receiving, semiannual
income in excess of 120 percent of the income standards by
family size used in the aid to families with dependent children
program, except that families and children may have an income up
to 133-1/3 percent of the AFDC income standard. In computing
income to determine eligibility of persons who are not residents
of long-term care facilities, the commissioner shall disregard
increases in income as required by Public Law Numbers 94-566,
section 503; 99-272; and 99-509. Veterans aid and attendance
benefits and Veterans Administration unusual medical expense
payments are considered income to the recipient.
Sec. 21. Minnesota Statutes 1996, section 256B.056,
subdivision 5, is amended to read:
Subd. 5. [EXCESS INCOME.] A person who has excess income
is eligible for medical assistance if the person has expenses
for medical care that are more than the amount of the person's
excess income, computed by deducting incurred medical expenses
from the excess income to reduce the excess to the income
standard specified in subdivision 4. The person shall elect to
have the medical expenses deducted at the beginning of a
one-month budget period or at the beginning of a six-month
budget period. Until June 30, 1993, or the date the Medicaid
Management Information System (MMIS) upgrade is implemented,
whichever occurs last, The commissioner shall allow persons
eligible for assistance on a one-month spenddown basis under
this subdivision to elect to pay the monthly spenddown amount in
advance of the month of eligibility to the local state agency in
order to maintain eligibility on a continuous basis. If the
recipient does not pay the spenddown amount on or before
the 10th 20th of the month, the recipient is ineligible for this
option for the following month. The local agency must deposit
spenddown payments into its treasury and issue a monthly payment
to the state agency with the necessary individual account
information. The local agency shall code the client eligibility
Medicaid Management Information System (MMIS) to indicate that
the spenddown obligation has been satisfied for the month
paid recipient has elected this option. The state agency shall
convey this information recipient eligibility information
relative to the collection of the spenddown to providers through
eligibility cards which list no remaining spenddown obligation.
After the implementation of the MMIS upgrade, the Electronic
Verification System (EVS). A recipient electing advance payment
must pay the state agency the monthly spenddown amount on or
before the 10th 20th of the month in order to be eligible for
this option in the following month.
Sec. 22. Minnesota Statutes 1996, section 256B.057,
subdivision 1, is amended to read:
Subdivision 1. [PREGNANT WOMEN AND INFANTS.] An infant
less than one year of age or a pregnant woman who has written
verification of a positive pregnancy test from a physician or
licensed registered nurse, is eligible for medical assistance if
countable family income is equal to or less than 275 percent of
the federal poverty guideline for the same family size. For
purposes of this subdivision, "countable family income" means
the amount of income considered available using the methodology
of the AFDC program, except for the earned income disregard and
employment deductions. An amount equal to the amount of earned
income exceeding 275 percent of the federal poverty guideline,
up to a maximum of the amount by which the combined total of 185
percent of the federal poverty guideline plus the earned income
disregards and deductions of the AFDC program exceeds 275
percent of the federal poverty guideline will be deducted for
pregnant women and infants less than one year of age.
Eligibility for a pregnant woman or infant less than one year of
age under this subdivision must be determined without regard to
asset standards established in section 256B.056, subdivision 3.
An infant born on or after January 1, 1991, to a woman who
was eligible for and receiving medical assistance on the date of
the child's birth shall continue to be eligible for medical
assistance without redetermination until the child's first
birthday, as long as the child remains in the woman's household.
Sec. 23. Minnesota Statutes 1996, section 256B.057,
subdivision 1b, is amended to read:
Subd. 1b. [PREGNANT WOMEN AND INFANTS; EXPANSION.] This
subdivision supersedes subdivision 1 as long as the Minnesota
health care reform waiver remains in effect. When the waiver
expires, the commissioner of human services shall publish a
notice in the State Register and notify the revisor of
statutes. An infant less than two years of age or a pregnant
woman who has written verification of a positive pregnancy test
from a physician or licensed registered nurse, is eligible for
medical assistance if countable family income is equal to or
less than 275 percent of the federal poverty guideline for the
same family size. For purposes of this subdivision, "countable
family income" means the amount of income considered available
using the methodology of the AFDC program, except for the earned
income disregard and employment deductions. An amount equal to
the amount of earned income exceeding 275 percent of the federal
poverty guideline, up to a maximum of the amount by which the
combined total of 185 percent of the federal poverty guideline
plus the earned income disregards and deductions of the AFDC
program exceeds 275 percent of the federal poverty guideline
will be deducted for pregnant women and infants less than two
years of age. Eligibility for a pregnant woman or infant less
than two years of age under this subdivision must be determined
without regard to asset standards established in section
256B.056, subdivision 3.
An infant born on or after January 1, 1991, to a woman who
was eligible for and receiving medical assistance on the date of
the child's birth shall continue to be eligible for medical
assistance without redetermination until the child's second
birthday, as long as the child remains in the woman's household.
Sec. 24. Minnesota Statutes 1996, section 256B.057,
subdivision 2, is amended to read:
Subd. 2. [CHILDREN.] A child one through five years of age
in a family whose countable income is less than 133 percent of
the federal poverty guidelines for the same family size, is
eligible for medical assistance. A child six through 18 years
of age, who was born after September 30, 1983, in a family whose
countable income is less than 100 percent of the federal poverty
guidelines for the same family size is eligible for medical
assistance. Eligibility for children under this subdivision
must be determined without regard to asset standards established
in section 256B.056, subdivision 3.
Sec. 25. Minnesota Statutes 1996, section 256B.0625,
subdivision 13, is amended to read:
Subd. 13. [DRUGS.] (a) Medical assistance covers drugs,
except for fertility drugs when specifically used to enhance
fertility, if prescribed by a licensed practitioner and
dispensed by a licensed pharmacist, by a physician enrolled in
the medical assistance program as a dispensing physician, or by
a physician or a nurse practitioner employed by or under
contract with a community health board as defined in section
145A.02, subdivision 5, for the purposes of communicable disease
control. The commissioner, after receiving recommendations from
professional medical associations and professional pharmacist
associations, shall designate a formulary committee to advise
the commissioner on the names of drugs for which payment is
made, recommend a system for reimbursing providers on a set fee
or charge basis rather than the present system, and develop
methods encouraging use of generic drugs when they are less
expensive and equally effective as trademark drugs. The
formulary committee shall consist of nine members, four of whom
shall be physicians who are not employed by the department of
human services, and a majority of whose practice is for persons
paying privately or through health insurance, three of whom
shall be pharmacists who are not employed by the department of
human services, and a majority of whose practice is for persons
paying privately or through health insurance, a consumer
representative, and a nursing home representative. Committee
members shall serve three-year terms and shall serve without
compensation. Members may be reappointed once.
(b) The commissioner shall establish a drug formulary. Its
establishment and publication shall not be subject to the
requirements of the administrative procedure act, but the
formulary committee shall review and comment on the formulary
contents. The formulary committee shall review and recommend
drugs which require prior authorization. The formulary
committee may recommend drugs for prior authorization directly
to the commissioner, as long as opportunity for public input is
provided. Prior authorization may be requested by the
commissioner based on medical and clinical criteria before
certain drugs are eligible for payment. Before a drug may be
considered for prior authorization at the request of the
commissioner:
(1) the drug formulary committee must develop criteria to
be used for identifying drugs; the development of these criteria
is not subject to the requirements of chapter 14, but the
formulary committee shall provide opportunity for public input
in developing criteria;
(2) the drug formulary committee must hold a public forum
and receive public comment for an additional 15 days; and
(3) the commissioner must provide information to the
formulary committee on the impact that placing the drug on prior
authorization will have on the quality of patient care and
information regarding whether the drug is subject to clinical
abuse or misuse. Prior authorization may be required by the
commissioner before certain formulary drugs are eligible for
payment. The formulary shall not include:
(i) drugs or products for which there is no federal
funding;
(ii) over-the-counter drugs, except for antacids,
acetaminophen, family planning products, aspirin, insulin,
products for the treatment of lice, vitamins for adults with
documented vitamin deficiencies, and vitamins for children under
the age of seven and pregnant or nursing women;, and
(iii) any other over-the-counter drug identified by the
commissioner, in consultation with the drug formulary committee,
as necessary, appropriate, and cost-effective for the treatment
of certain specified chronic diseases, conditions or disorders,
and this determination shall not be subject to the requirements
of chapter 14;
(iv) (iii) anorectics; and
(v) (iv) drugs for which medical value has not been
established.
The commissioner shall publish conditions for prohibiting
payment for specific drugs after considering the formulary
committee's recommendations.
(c) The basis for determining the amount of payment shall
be the lower of the actual acquisition costs of the drugs plus a
fixed dispensing fee; the maximum allowable cost set by the
federal government or by the commissioner plus the fixed
dispensing fee; or the usual and customary price charged to the
public. The pharmacy dispensing fee shall be $3.85 $3.65.
Actual acquisition cost includes quantity and other special
discounts except time and cash discounts. The actual
acquisition cost of a drug shall be estimated by the
commissioner, at average wholesale price minus nine percent.
The maximum allowable cost of a multisource drug may be set by
the commissioner and it shall be comparable to, but no higher
than, the maximum amount paid by other third-party payors in
this state who have maximum allowable cost programs.
Establishment of the amount of payment for drugs shall not be
subject to the requirements of the administrative procedure
act. An additional dispensing fee of $.30 may be added to the
dispensing fee paid to pharmacists for legend drug prescriptions
dispensed to residents of long-term care facilities when a unit
dose blister card system, approved by the department, is used.
Under this type of dispensing system, the pharmacist must
dispense a 30-day supply of drug. The National Drug Code (NDC)
from the drug container used to fill the blister card must be
identified on the claim to the department. The unit dose
blister card containing the drug must meet the packaging
standards set forth in Minnesota Rules, part 6800.2700, that
govern the return of unused drugs to the pharmacy for reuse.
The pharmacy provider will be required to credit the department
for the actual acquisition cost of all unused drugs that are
eligible for reuse. Over-the-counter medications must be
dispensed in the manufacturer's unopened package. The
commissioner may permit the drug clozapine to be dispensed in a
quantity that is less than a 30-day supply. Whenever a
generically equivalent product is available, payment shall be on
the basis of the actual acquisition cost of the generic drug,
unless the prescriber specifically indicates "dispense as
written - brand necessary" on the prescription as required by
section 151.21, subdivision 2.
Sec. 26. Minnesota Statutes 1996, section 256B.0625, is
amended by adding a subdivision to read:
Subd. 31a. [AUGMENTATIVE AND ALTERNATIVE COMMUNICATION
SYSTEMS.] (a) Medical assistance covers augmentative and
alternative communication systems consisting of electronic or
nonelectronic devices and the related components necessary to
enable a person with severe expressive communication limitations
to produce or transmit messages or symbols in a manner that
compensates for that disability.
(b) By January 1, 1998, the commissioner, in cooperation
with the commissioner of administration, shall establish an
augmentative and alternative communication system purchasing
program within a state agency or by contract with a qualified
private entity. The purpose of this service is to facilitate
ready availability of the augmentative and alternative
communication systems needed to meet the needs of persons with
severe expressive communication limitations in an efficient and
cost-effective manner. This program shall:
(1) coordinate purchase and rental of augmentative and
alternative communication systems;
(2) negotiate agreements with manufacturers and vendors for
purchase of components of these systems, for warranty coverage,
and for repair service;
(3) when efficient and cost-effective, maintain and
refurbish if needed, an inventory of components of augmentative
and alternative communication systems for short- or long-term
loan to recipients;
(4) facilitate training sessions for service providers,
consumers, and families on augmentative and alternative
communication systems; and
(5) develop a recycling program for used augmentative and
alternative communications systems to be reissued and used for
trials and short-term use, when appropriate.
The availability of components of augmentative and
alternative communication systems through this program is
subject to prior authorization requirements established under
subdivision 25.
Reimbursement rates established by this purchasing program
are not subject to Minnesota Rules, part 9505.0445, item S or T.
Sec. 27. Minnesota Statutes 1996, section 256B.0626, is
amended to read:
256B.0626 [ESTIMATION OF 50TH PERCENTILE OF PREVAILING
CHARGES.]
(a) The 50th percentile of the prevailing charge for the
base year identified in statute must be estimated by the
commissioner in the following situations:
(1) there were less than ten five billings in the calendar
year specified in legislation governing maximum payment rates;
(2) the service was not available in the calendar year
specified in legislation governing maximum payment rates;
(3) the payment amount is the result of a provider appeal;
(4) the procedure code description has changed since the
calendar year specified in legislation governing maximum payment
rates, and, therefore, the prevailing charge information
reflects the same code but a different procedure description; or
(5) the 50th percentile reflects a payment which is grossly
inequitable when compared with payment rates for procedures or
services which are substantially similar.
(b) When one of the situations identified in paragraph (a)
occurs, the commissioner shall use the following methodology to
reconstruct a rate comparable to the 50th percentile of the
prevailing rate:
(1) refer to information which exists for the first nine
four billings in the calendar year specified in legislation
governing maximum payment rates; or
(2) refer to surrounding or comparable procedure codes; or
(3) refer to the 50th percentile of years subsequent to the
calendar year specified in legislation governing maximum payment
rates, and reduce that amount by applying an appropriate
Consumer Price Index formula; or
(4) refer to relative value indexes; or
(5) refer to reimbursement information from other third
parties, such as Medicare.
Sec. 28. Minnesota Statutes 1996, section 256B.0627,
subdivision 5, is amended to read:
Subd. 5. [LIMITATION ON PAYMENTS.] Medical assistance
payments for home care services shall be limited according to
this subdivision.
(a) [LIMITS ON SERVICES WITHOUT PRIOR AUTHORIZATION.] A
recipient may receive the following home care services during a
calendar year:
(1) any initial assessment; and
(2) up to two reassessments per year done to determine a
recipient's need for personal care services; and
(3) up to five skilled nurse visits.
(b) [PRIOR AUTHORIZATION; EXCEPTIONS.] All home care
services above the limits in paragraph (a) must receive the
commissioner's prior authorization, except when:
(1) the home care services were required to treat an
emergency medical condition that if not immediately treated
could cause a recipient serious physical or mental disability,
continuation of severe pain, or death. The provider must
request retroactive authorization no later than five working
days after giving the initial service. The provider must be
able to substantiate the emergency by documentation such as
reports, notes, and admission or discharge histories;
(2) the home care services were provided on or after the
date on which the recipient's eligibility began, but before the
date on which the recipient was notified that the case was
opened. Authorization will be considered if the request is
submitted by the provider within 20 working days of the date the
recipient was notified that the case was opened;
(3) a third-party payor for home care services has denied
or adjusted a payment. Authorization requests must be submitted
by the provider within 20 working days of the notice of denial
or adjustment. A copy of the notice must be included with the
request;
(4) the commissioner has determined that a county or state
human services agency has made an error; or
(5) the professional nurse determines an immediate need for
up to 40 skilled nursing or home health aide visits per calendar
year and submits a request for authorization within 20 working
days of the initial service date, and medical assistance is
determined to be the appropriate payer.
(c) [RETROACTIVE AUTHORIZATION.] A request for retroactive
authorization will be evaluated according to the same criteria
applied to prior authorization requests.
(d) [ASSESSMENT AND SERVICE PLAN.] Assessments under
section 256B.0627, subdivision 1, paragraph (a), shall be
conducted initially, and at least annually thereafter, in person
with the recipient and result in a completed service plan using
forms specified by the commissioner. Within 30 days of
recipient or responsible party request for home care services,
the assessment, the service plan, and other information
necessary to determine medical necessity such as diagnostic or
testing information, social or medical histories, and hospital
or facility discharge summaries shall be submitted to the
commissioner. For personal care services:
(1) The amount and type of service authorized based upon
the assessment and service plan will follow the recipient if the
recipient chooses to change providers.
(2) If the recipient's medical need changes, the
recipient's provider may assess the need for a change in service
authorization and request the change from the county public
health nurse. Within 30 days of the request, the public health
nurse will determine whether to request the change in services
based upon the provider assessment, or conduct a home visit to
assess the need and determine whether the change is appropriate.
(3) To continue to receive personal care services when the
recipient displays no significant change, the county public
health nurse has the option to review with the commissioner, or
the commissioner's designee, the service plan on record and
receive authorization for up to an additional 12 months at a
time for up to three years.
(e) [PRIOR AUTHORIZATION.] The commissioner, or the
commissioner's designee, shall review the assessment, the
service plan, and any additional information that is submitted.
The commissioner shall, within 30 days after receiving a
complete request, assessment, and service plan, authorize home
care services as follows:
(1) [HOME HEALTH SERVICES.] All home health services
provided by a licensed nurse or a home health aide must be prior
authorized by the commissioner or the commissioner's designee.
Prior authorization must be based on medical necessity and
cost-effectiveness when compared with other care options. When
home health services are used in combination with personal care
and private duty nursing, the cost of all home care services
shall be considered for cost-effectiveness. The commissioner
shall limit nurse and home health aide visits to no more than
one visit each per day.
(2) [PERSONAL CARE SERVICES.] (i) All personal care
services and registered nurse supervision must be prior
authorized by the commissioner or the commissioner's designee
except for the assessments established in paragraph (a). The
amount of personal care services authorized must be based on the
recipient's home care rating. A child may not be found to be
dependent in an activity of daily living if because of the
child's age an adult would either perform the activity for the
child or assist the child with the activity and the amount of
assistance needed is similar to the assistance appropriate for a
typical child of the same age. Based on medical necessity, the
commissioner may authorize:
(A) up to two times the average number of direct care hours
provided in nursing facilities for the recipient's comparable
case mix level; or
(B) up to three times the average number of direct care
hours provided in nursing facilities for recipients who have
complex medical needs or are dependent in at least seven
activities of daily living and need physical assistance with
eating or have a neurological diagnosis; or
(C) up to 60 percent of the average reimbursement rate, as
of July 1, 1991, for care provided in a regional treatment
center for recipients who have Level I behavior, plus any
inflation adjustment as provided by the legislature for personal
care service; or
(D) up to the amount the commissioner would pay, as of July
1, 1991, plus any inflation adjustment provided for home care
services, for care provided in a regional treatment center for
recipients referred to the commissioner by a regional treatment
center preadmission evaluation team. For purposes of this
clause, home care services means all services provided in the
home or community that would be included in the payment to a
regional treatment center; or
(E) up to the amount medical assistance would reimburse for
facility care for recipients referred to the commissioner by a
preadmission screening team established under section 256B.0911
or 256B.092; and
(F) a reasonable amount of time for the provision of
nursing supervision of personal care services.
(ii) The number of direct care hours shall be determined
according to the annual cost report submitted to the department
by nursing facilities. The average number of direct care hours,
as established by May 1, 1992, shall be calculated and
incorporated into the home care limits on July 1, 1992. These
limits shall be calculated to the nearest quarter hour.
(iii) The home care rating shall be determined by the
commissioner or the commissioner's designee based on information
submitted to the commissioner by the county public health nurse
on forms specified by the commissioner. The home care rating
shall be a combination of current assessment tools developed
under sections 256B.0911 and 256B.501 with an addition for
seizure activity that will assess the frequency and severity of
seizure activity and with adjustments, additions, and
clarifications that are necessary to reflect the needs and
conditions of recipients who need home care including children
and adults under 65 years of age. The commissioner shall
establish these forms and protocols under this section and shall
use an advisory group, including representatives of recipients,
providers, and counties, for consultation in establishing and
revising the forms and protocols.
(iv) A recipient shall qualify as having complex medical
needs if the care required is difficult to perform and because
of recipient's medical condition requires more time than
community-based standards allow or requires more skill than
would ordinarily be required and the recipient needs or has one
or more of the following:
(A) daily tube feedings;
(B) daily parenteral therapy;
(C) wound or decubiti care;
(D) postural drainage, percussion, nebulizer treatments,
suctioning, tracheotomy care, oxygen, mechanical ventilation;
(E) catheterization;
(F) ostomy care;
(G) quadriplegia; or
(H) other comparable medical conditions or treatments the
commissioner determines would otherwise require institutional
care.
(v) A recipient shall qualify as having Level I behavior if
there is reasonable supporting evidence that the recipient
exhibits, or that without supervision, observation, or
redirection would exhibit, one or more of the following
behaviors that cause, or have the potential to cause:
(A) injury to the recipient's own body;
(B) physical injury to other people; or
(C) destruction of property.
(vi) Time authorized for personal care relating to Level I
behavior in subclause (v), items (A) to (C), shall be based on
the predictability, frequency, and amount of intervention
required.
(vii) A recipient shall qualify as having Level II behavior
if the recipient exhibits on a daily basis one or more of the
following behaviors that interfere with the completion of
personal care services under subdivision 4, paragraph (a):
(A) unusual or repetitive habits;
(B) withdrawn behavior; or
(C) offensive behavior.
(viii) A recipient with a home care rating of Level II
behavior in subclause (vii), items (A) to (C), shall be rated as
comparable to a recipient with complex medical needs under
subclause (iv). If a recipient has both complex medical needs
and Level II behavior, the home care rating shall be the next
complex category up to the maximum rating under subclause (i),
item (B).
(3) [PRIVATE DUTY NURSING SERVICES.] All private duty
nursing services shall be prior authorized by the commissioner
or the commissioner's designee. Prior authorization for private
duty nursing services shall be based on medical necessity and
cost-effectiveness when compared with alternative care options.
The commissioner may authorize medically necessary private duty
nursing services in quarter-hour units when:
(i) the recipient requires more individual and continuous
care than can be provided during a nurse visit; or
(ii) the cares are outside of the scope of services that
can be provided by a home health aide or personal care assistant.
The commissioner may authorize:
(A) up to two times the average amount of direct care hours
provided in nursing facilities statewide for case mix
classification "K" as established by the annual cost report
submitted to the department by nursing facilities in May 1992;
(B) private duty nursing in combination with other home
care services up to the total cost allowed under clause (2);
(C) up to 16 hours per day if the recipient requires more
nursing than the maximum number of direct care hours as
established in item (A) and the recipient meets the hospital
admission criteria established under Minnesota Rules, parts
9505.0500 to 9505.0540.
The commissioner may authorize up to 16 hours per day of
medically necessary private duty nursing services or up to 24
hours per day of medically necessary private duty nursing
services until such time as the commissioner is able to make a
determination of eligibility for recipients who are
cooperatively applying for home care services under the
community alternative care program developed under section
256B.49, or until it is determined by the appropriate regulatory
agency that a health benefit plan is or is not required to pay
for appropriate medically necessary health care services.
Recipients or their representatives must cooperatively assist
the commissioner in obtaining this determination. Recipients
who are eligible for the community alternative care program may
not receive more hours of nursing under this section than would
otherwise be authorized under section 256B.49.
(4) [VENTILATOR-DEPENDENT RECIPIENTS.] If the recipient is
ventilator-dependent, the monthly medical assistance
authorization for home care services shall not exceed what the
commissioner would pay for care at the highest cost hospital
designated as a long-term hospital under the Medicare program.
For purposes of this clause, home care services means all
services provided in the home that would be included in the
payment for care at the long-term hospital.
"Ventilator-dependent" means an individual who receives
mechanical ventilation for life support at least six hours per
day and is expected to be or has been dependent for at least 30
consecutive days.
(f) [PRIOR AUTHORIZATION; TIME LIMITS.] The commissioner
or the commissioner's designee shall determine the time period
for which a prior authorization shall be effective. If the
recipient continues to require home care services beyond the
duration of the prior authorization, the home care provider must
request a new prior authorization. Under no circumstances,
other than the exceptions in paragraph (b), shall a prior
authorization be valid prior to the date the commissioner
receives the request or for more than 12 months. A recipient
who appeals a reduction in previously authorized home care
services may continue previously authorized services, other than
temporary services under paragraph (h), pending an appeal under
section 256.045. The commissioner must provide a detailed
explanation of why the authorized services are reduced in amount
from those requested by the home care provider.
(g) [APPROVAL OF HOME CARE SERVICES.] The commissioner or
the commissioner's designee shall determine the medical
necessity of home care services, the level of caregiver
according to subdivision 2, and the institutional comparison
according to this subdivision, the cost-effectiveness of
services, and the amount, scope, and duration of home care
services reimbursable by medical assistance, based on the
assessment, primary payer coverage determination information as
required, the service plan, the recipient's age, the cost of
services, the recipient's medical condition, and diagnosis or
disability. The commissioner may publish additional criteria
for determining medical necessity according to section 256B.04.
(h) [PRIOR AUTHORIZATION REQUESTS; TEMPORARY SERVICES.]
The agency nurse, the independently enrolled private duty nurse,
or county public health nurse may request a temporary
authorization for home care services by telephone. The
commissioner may approve a temporary level of home care services
based on the assessment, and service or care plan information,
and primary payer coverage determination information as required.
Authorization for a temporary level of home care services
including nurse supervision is limited to the time specified by
the commissioner, but shall not exceed 45 days, unless extended
because the county public health nurse has not completed the
required assessment and service plan, or the commissioner's
determination has not been made. The level of services
authorized under this provision shall have no bearing on a
future prior authorization.
(i) [PRIOR AUTHORIZATION REQUIRED IN FOSTER CARE SETTING.]
Home care services provided in an adult or child foster care
setting must receive prior authorization by the department
according to the limits established in paragraph (a).
The commissioner may not authorize:
(1) home care services that are the responsibility of the
foster care provider under the terms of the foster care
placement agreement and administrative rules. Requests for home
care services for recipients residing in a foster care setting
must include the foster care placement agreement and
determination of difficulty of care;
(2) personal care services when the foster care license
holder is also the personal care provider or personal care
assistant unless the recipient can direct the recipient's own
care, or case management is provided as required in section
256B.0625, subdivision 19a;
(3) personal care services when the responsible party is an
employee of, or under contract with, or has any direct or
indirect financial relationship with the personal care provider
or personal care assistant, unless case management is provided
as required in section 256B.0625, subdivision 19a;
(4) home care services when the number of foster care
residents is greater than four unless the county responsible for
the recipient's foster placement made the placement prior to
April 1, 1992, requests that home care services be provided, and
case management is provided as required in section 256B.0625,
subdivision 19a; or
(5) home care services when combined with foster care
payments, other than room and board payments that exceed the
total amount that public funds would pay for the recipient's
care in a medical institution.
Sec. 29. Minnesota Statutes 1996, section 256B.0627, is
amended by adding a subdivision to read:
Subd. 8. [PERSONAL CARE ASSISTANT SERVICES.] Recipients of
personal care assistant services may share staff and the
commissioner shall provide a rate system for shared personal
care assistant services. The rate system shall not exceed 1-1/2
the amount paid for providing services to one person, and shall
increase incrementally by one-half the cost of serving a single
person, for each person served. A personal care assistant may
not serve more than three children in a single setting.
Nothing in this subdivision shall be construed to reduce
the total number of hours authorized for an individual recipient.
Sec. 30. Minnesota Statutes 1996, section 256B.064,
subdivision 1a, is amended to read:
Subd. 1a. [GROUNDS FOR MONETARY RECOVERY AND SANCTIONS
AGAINST VENDORS.] The commissioner may seek monetary recovery
and impose sanctions against vendors of medical care for any of
the following: fraud, theft, or abuse in connection with the
provision of medical care to recipients of public assistance; a
pattern of presentment of false or duplicate claims or claims
for services not medically necessary; a pattern of making false
statements of material facts for the purpose of obtaining
greater compensation than that to which the vendor is legally
entitled; suspension or termination as a Medicare vendor; and
refusal to grant the state agency access during regular business
hours to examine all records necessary to disclose the extent of
services provided to program recipients; and any reason for
which a vendor could be excluded from participation in the
Medicare program under section 1128, 1128A, or 1866(b)(2) of the
Social Security Act. The determination of services not
medically necessary may be made by the commissioner in
consultation with a peer advisory task force appointed by the
commissioner on the recommendation of appropriate professional
organizations. The task force expires as provided in section
15.059, subdivision 5.
Sec. 31. Minnesota Statutes 1996, section 256B.064,
subdivision 1c, is amended to read:
Subd. 1c. [METHODS OF MONETARY RECOVERY.] The commissioner
may obtain monetary recovery for the conduct described in
subdivision 1a by the following from a vendor who has been
improperly paid either as a result of conduct described in
subdivision 1a or as a result of a vendor or department error,
regardless of whether the error was intentional. The
commissioner may obtain monetary recovery using methods,
including but not limited to the following: assessing and
recovering money erroneously improperly paid and debiting from
future payments any money erroneously improperly paid, except
that. Patterns need not be proven as a precondition to monetary
recovery for of erroneous or false claims, duplicate claims,
claims for services not medically necessary, or claims based on
false statements. The commissioner may shall charge interest on
money to be recovered if the recovery is to be made by
installment payments or debits, except when the monetary
recovery is of an overpayment that resulted from a department
error. The interest charged shall be the rate established by
the commissioner of revenue under section 270.75.
Sec. 32. Minnesota Statutes 1996, section 256B.064,
subdivision 2, is amended to read:
Subd. 2. [IMPOSITION OF MONETARY RECOVERY AND SANCTIONS.]
(a) The commissioner shall determine monetary amounts to be
recovered and the sanction to be imposed upon a vendor of
medical care for conduct described by subdivision 1a. Except in
the case of a conviction for conduct described in subdivision 1a
as provided in paragraph (b), neither a monetary recovery nor a
sanction will be sought imposed by the commissioner without
prior notice and an opportunity for a hearing, pursuant
according to chapter 14, on the commissioner's proposed action,
provided that the commissioner may suspend or reduce payment to
a vendor of medical care, except a nursing home or convalescent
care facility, after notice and prior to the hearing if in the
commissioner's opinion that action is necessary to protect the
public welfare and the interests of the program.
(b) Except for a nursing home or convalescent care
facility, the commissioner may withhold or reduce payments to a
vendor of medical care without providing advance notice of such
withholding or reduction if either of the following occurs:
(1) the vendor is convicted of a crime involving the
conduct described in subdivision 1a; or
(2) the commissioner receives reliable evidence of fraud or
willful misrepresentation by the vendor.
(c) The commissioner must send notice of the withholding or
reduction of payments under paragraph (b) within five days of
taking such action. The notice must:
(1) state that payments are being withheld according to
paragraph (b);
(2) except in the case of a conviction for conduct
described in subdivision 1a, state that the withholding is for a
temporary period and cite the circumstances under which
withholding will be terminated;
(3) identify the types of claims to which the withholding
applies; and
(4) inform the vendor of the right to submit written
evidence for consideration by the commissioner.
The withholding or reduction of payments will not continue
after the commissioner determines there is insufficient evidence
of fraud or willful misrepresentation by the vendor, or after
legal proceedings relating to the alleged fraud or willful
misrepresentation are completed, unless the commissioner has
sent notice of intention to impose monetary recovery or
sanctions under paragraph (a).
(d) Upon receipt of a notice under paragraph (a) that a
monetary recovery or sanction is to be imposed, a vendor may
request a contested case, as defined in section 14.02,
subdivision 3, by filing with the commissioner a written request
of appeal. The appeal request must be received by the
commissioner no later than 30 days after the date the
notification of monetary recovery or sanction was mailed to the
vendor. The appeal request must specify:
(1) each disputed item, the reason for the dispute, and an
estimate of the dollar amount involved for each disputed item;
(2) the computation that the vendor believes is correct;
(3) the authority in statute or rule upon which the vendor
relies for each disputed item;
(4) the name and address of the person or entity with whom
contacts may be made regarding the appeal; and
(5) other information required by the commissioner.
Sec. 33. Minnesota Statutes 1996, section 256B.0644, is
amended to read:
256B.0644 [PARTICIPATION REQUIRED FOR REIMBURSEMENT UNDER
OTHER STATE HEALTH CARE PROGRAMS.]
A vendor of medical care, as defined in section 256B.02,
subdivision 7, and a health maintenance organization, as defined
in chapter 62D, must participate as a provider or contractor in
the medical assistance program, general assistance medical care
program, and MinnesotaCare as a condition of participating as a
provider in health insurance plans and programs or contractor
for state employees established under section 43A.18, the public
employees insurance program under section 43A.316, for health
insurance plans offered to local statutory or home rule charter
city, county, and school district employees, the workers'
compensation system under section 176.135, and insurance plans
provided through the Minnesota comprehensive health association
under sections 62E.01 to 62E.16. The limitations on insurance
plans offered to local government employees shall not be
applicable in geographic areas where provider participation is
limited by managed care contracts with the department of human
services. For providers other than health maintenance
organizations, participation in the medical assistance program
means that (1) the provider accepts new medical assistance,
general assistance medical care, and MinnesotaCare patients or,
(2) for providers other than dental services providers, at least
20 percent of the provider's patients are covered by medical
assistance, general assistance medical care, and MinnesotaCare
as their primary source of coverage, or (3) for dental services
providers, at least ten percent of the provider's patients are
covered by medical assistance, general assistance medical care,
and MinnesotaCare as their primary source of coverage. The
commissioner shall establish participation requirements for
health maintenance organizations. The commissioner shall
provide lists of participating medical assistance providers on a
quarterly basis to the commissioner of employee relations, the
commissioner of labor and industry, and the commissioner of
commerce. Each of the commissioners shall develop and implement
procedures to exclude as participating providers in the program
or programs under their jurisdiction those providers who do not
participate in the medical assistance program. The commissioner
of employee relations shall implement this section through
contracts with participating health and dental carriers.
Sec. 34. Minnesota Statutes 1996, section 256B.0911,
subdivision 7, is amended to read:
Subd. 7. [REIMBURSEMENT FOR CERTIFIED NURSING FACILITIES.]
(a) Medical assistance reimbursement for nursing facilities
shall be authorized for a medical assistance recipient only if a
preadmission screening has been conducted prior to admission or
the local county agency has authorized an exemption. Medical
assistance reimbursement for nursing facilities shall not be
provided for any recipient who the local screener has determined
does not meet the level of care criteria for nursing facility
placement or, if indicated, has not had a level II PASARR
evaluation completed unless an admission for a recipient with
mental illness is approved by the local mental health authority
or an admission for a recipient with mental retardation or
related condition is approved by the state mental retardation
authority. The county preadmission screening team may deny
certified nursing facility admission using the level of care
criteria established under section 144.0721 and deny medical
assistance reimbursement for certified nursing facility care.
Persons receiving care in a certified nursing facility or
certified boarding care home who are reassessed by the
commissioner of health according to section 144.0722 and
determined to no longer meet the level of care criteria for a
certified nursing facility or certified boarding care home may
no longer remain a resident in the certified nursing facility or
certified boarding care home and must be relocated to the
community if the persons were admitted on or after July 1, 1996
1998.
(b) Persons receiving services under section 256B.0913,
subdivisions 1 to 14, or 256B.0915 who are reassessed and found
to not meet the level of care criteria for admission to a
certified nursing facility or certified boarding care home may
no longer receive these services if persons were admitted to the
program on or after July 1, 1996 1998. The commissioner shall
make a request to the health care financing administration for a
waiver allowing screening team approval of Medicaid payments for
certified nursing facility care. An individual has a choice and
makes the final decision between nursing facility placement and
community placement after the screening team's recommendation,
except as provided in paragraphs (b) and (c).
(b) (c) The local county mental health authority or the
state mental retardation authority under Public Law Numbers
100-203 and 101-508 may prohibit admission to a nursing
facility, if the individual does not meet the nursing facility
level of care criteria or needs specialized services as defined
in Public Law Numbers 100-203 and 101-508. For purposes of this
section, "specialized services" for a person with mental
retardation or a related condition means "active treatment" as
that term is defined in Code of Federal Regulations, title 42,
section 483.440(a)(1).
(c) (d) Upon the receipt by the commissioner of approval by
the Secretary of Health and Human Services of the waiver
requested under paragraph (a), the local screener shall deny
medical assistance reimbursement for nursing facility care for
an individual whose long-term care needs can be met in a
community-based setting and whose cost of community-based home
care services is less than 75 percent of the average payment for
nursing facility care for that individual's case mix
classification, and who is either:
(i) a current medical assistance recipient being screened
for admission to a nursing facility; or
(ii) an individual who would be eligible for medical
assistance within 180 days of entering a nursing facility and
who meets a nursing facility level of care.
(d) (e) Appeals from the screening team's recommendation or
the county agency's final decision shall be made according to
section 256.045, subdivision 3.
Sec. 35. Minnesota Statutes 1996, section 256B.0912, is
amended by adding a subdivision to read:
Subd. 3. [RATE CONSOLIDATION AND EQUALIZATION.] (a) The
commissioner of human services shall use one maximum
reimbursement rate for personal care services rendered after
June 30, 1997, regardless of whether the services are provided
through the medical assistance program, the alternative care
program, and the elderly, the community alternatives for
disabled individuals, the community alternative care, and the
traumatic brain injury waiver programs. The maximum
reimbursement rate to be paid must be the reimbursement rate
paid for personal care services received under the medical
assistance program on June 30, 1997.
(b) The maximum reimbursement rates for behavior
programming and cognitive therapy services provided through the
traumatic brain injury waiver must be equivalent to the medical
assistance reimbursement rates for mental health services.
Sec. 36. Minnesota Statutes 1996, section 256B.0913,
subdivision 7, is amended to read:
Subd. 7. [CASE MANAGEMENT.] The lead agency shall appoint
a social worker from the county agency or a registered nurse
from the county public health nursing service of the local board
of health to be the case manager for any person receiving
services funded by the alternative care program. Providers of
case management services for persons receiving services funded
by the alternative care program must meet the qualification
requirements and standards specified in section 256B.0915,
subdivision 1b. The case manager must ensure the health and
safety of the individual client and is responsible for the
cost-effectiveness of the alternative care individual care
plan. The county may allow a case manager employed by the
county to delegate certain aspects of the case management
activity to another individual employed by the county provided
there is oversight of the individual by the case manager. The
case manager may not delegate those aspects which require
professional judgment including assessments, reassessments, and
care plan development.
Sec. 37. Minnesota Statutes 1996, section 256B.0913,
subdivision 10, is amended to read:
Subd. 10. [ALLOCATION FORMULA.] (a) The alternative care
appropriation for fiscal years 1992 and beyond shall cover only
180-day eligible clients.
(b) Prior to July 1 of each year, the commissioner shall
allocate to county agencies the state funds available for
alternative care for persons eligible under subdivision 2. The
allocation for fiscal year 1992 shall be calculated using a base
that is adjusted to exclude the medical assistance share of
alternative care expenditures. The adjusted base is calculated
by multiplying each county's allocation for fiscal year 1991 by
the percentage of county alternative care expenditures for
180-day eligible clients. The percentage is determined based on
expenditures for services rendered in fiscal year 1989 or
calendar year 1989, whichever is greater.
(c) If the county expenditures for 180-day eligible clients
are 95 percent or more of its adjusted base allocation, the
allocation for the next fiscal year is 100 percent of the
adjusted base, plus inflation to the extent that inflation is
included in the state budget.
(d) If the county expenditures for 180-day eligible clients
are less than 95 percent of its adjusted base allocation, the
allocation for the next fiscal year is the adjusted base
allocation less the amount of unspent funds below the 95 percent
level.
(e) For fiscal year 1992 only, a county may receive an
increased allocation if annualized service costs for the month
of May 1991 for 180-day eligible clients are greater than the
allocation otherwise determined. A county may apply for this
increase by reporting projected expenditures for May to the
commissioner by June 1, 1991. The amount of the allocation may
exceed the amount calculated in paragraph (b). The projected
expenditures for May must be based on actual 180-day eligible
client caseload and the individual cost of clients' care plans.
If a county does not report its expenditures for May, the amount
in paragraph (c) or (d) shall be used.
(f) Calculations for paragraphs (c) and (d) are to be made
as follows: for each county, the determination of expenditures
shall be based on payments for services rendered from April 1
through March 31 in the base year, to the extent that claims
have been submitted by June 1 of that year. Calculations for
paragraphs (c) and (d) must also include the funds transferred
to the consumer support grant program for clients who have
transferred to that program from April 1 through March 31 in the
base year.
Sec. 38. Minnesota Statutes 1996, section 256B.0913,
subdivision 15, is amended to read:
Subd. 15. [SERVICE ALLOWANCE FUND AVAILABILITY.] (a)
Effective July 1, 1996 1998, the commissioner may use
alternative care funds for services to high function class A
persons as defined in section 144.0721, subdivision 3, clause
(2). The county alternative care grant allocation will be
supplemented with a special allocation amount based on the
projected number of eligible high function class A's and
computed on the basis of $240 per month per projected eligible
person. Individual monthly expenditures under the service
allowance option are permitted to be either greater or less than
the amount of $240 per month based on individual need. County
allocations shall be adjusted periodically based on the actual
provision of services to high function class A persons. The
allocation will be distributed by a population based formula and
shall not exceed the proportion of projected savings made
available under section 144.0721, subdivision 3.
(b) Counties shall have the option of providing services,
cash service allowances, vouchers, or a combination of these
options to high function class A persons defined in section
144.0721, subdivision 3, clause (2). High function class A
persons may choose services from among the categories of
services listed under subdivision 5, except for case management
services.
(c) If the special allocation under this section to a
county is not sufficient to serve all persons who qualify
for alternative care services the service allowance, the county
is not required to provide any alternative care services to a
high function class A person but shall establish a waiting list
to provide services as special allocation funding becomes
available.
Sec. 39. Minnesota Statutes 1996, section 256B.0913, is
amended by adding a subdivision to read:
Subd. 16. [CONVERSION OF ENROLLMENT.] Upon approval of the
elderly waiver amendments described in section 42, persons
currently receiving services shall have their eligibility for
the elderly waiver program determined under section 256B.0915.
Persons currently receiving alternative care services whose
income is under the special income standard according to Code of
Federal Regulations, title 42, section 435.236, who are eligible
for the elderly waiver program shall be transferred to that
program and shall receive priority access to elderly waiver
slots for six months after implementation of this subdivision.
Persons currently enrolled in the alternative care program who
are not eligible for the elderly waiver program shall continue
to be eligible for the alternative care program as long as
continuous eligibility is maintained. Continued eligibility for
the alternative care program shall be reviewed every six
months. Persons who apply for the alternative care program
after approval of the elderly waiver amendments in section 42
are not eligible for alternative care if they would qualify for
the elderly waiver, with or without a spenddown.
Sec. 40. Minnesota Statutes 1996, section 256B.0915,
subdivision 1b, is amended to read:
Subd. 1b. [PROVIDER QUALIFICATIONS AND STANDARDS.] The
commissioner must enroll qualified providers of elderly case
management services under the home and community-based waiver
for the elderly under section 1915(c) of the Social Security
Act. The enrollment process shall ensure the provider's ability
to meet the qualification requirements and standards in this
subdivision and other federal and state requirements of this
service. An elderly case management provider is an enrolled
medical assistance provider who is determined by the
commissioner to have all of the following characteristics:
(1) the legal authority for alternative care program
administration under section 256B.0913;
(2) the demonstrated capacity and experience to provide the
components of case management to coordinate and link community
resources needed by the eligible population;
(3) (2) administrative capacity and experience in serving
the target population for whom it will provide services and in
ensuring quality of services under state and federal
requirements;
(4) the legal authority to provide preadmission screening
under section 256B.0911, subdivision 4;
(5) (3) a financial management system that provides
accurate documentation of services and costs under state and
federal requirements;
(6) (4) the capacity to document and maintain individual
case records under state and federal requirements; and
(7) (5) the county may allow a case manager employed by the
county to delegate certain aspects of the case management
activity to another individual employed by the county provided
there is oversight of the individual by the case manager. The
case manager may not delegate those aspects which require
professional judgment including assessments, reassessments, and
care plan development.
Sec. 41. Minnesota Statutes 1996, section 256B.0915, is
amended by adding a subdivision to read:
Subd. 1d. [POSTELIGIBILITY TREATMENT OF INCOME AND
RESOURCES FOR ELDERLY WAIVER.] (a) Notwithstanding the
provisions of section 256B.056, the commissioner shall make the
following amendment to the medical assistance elderly waiver
program effective July 1, 1997, or upon federal approval,
whichever is later.
A recipient's maintenance needs will be an amount equal to
the Minnesota supplemental aid equivalent rate as defined in
section 256I.03, subdivision 5, plus the medical assistance
personal needs allowance as defined in section 256B.35,
subdivision 1, paragraph (a), when applying posteligibility
treatment of income rules to the gross income of elderly waiver
recipients, except for individuals whose income is in excess of
the special income standard according to Code of Federal
Regulations, title 42, section 435.236.
(b) The commissioner of human services shall secure
approval of additional elderly waiver slots sufficient to serve
persons who will qualify under the revised income standard
described in paragraph (a) before implementing section
256B.0913, subdivision 16.
Sec. 42. Minnesota Statutes 1996, section 256B.0915,
subdivision 3, is amended to read:
Subd. 3. [LIMITS OF CASES, RATES, REIMBURSEMENT, AND
FORECASTING.] (a) The number of medical assistance waiver
recipients that a county may serve must be allocated according
to the number of medical assistance waiver cases open on July 1
of each fiscal year. Additional recipients may be served with
the approval of the commissioner.
(b) The monthly limit for the cost of waivered services to
an individual waiver client shall be the statewide average
payment rate of the case mix resident class to which the waiver
client would be assigned under the medical assistance case mix
reimbursement system. If medical supplies and equipment or
adaptations are or will be purchased for an elderly waiver
services recipient, the costs may be prorated on a monthly basis
throughout the year in which they are purchased. If the monthly
cost of a recipient's other waivered services exceeds the
monthly limit established in this paragraph, the annual cost of
the waivered services shall be determined. In this event, the
annual cost of waivered services shall not exceed 12 times the
monthly limit calculated in this paragraph. The statewide
average payment rate is calculated by determining the statewide
average monthly nursing home rate, effective July 1 of the
fiscal year in which the cost is incurred, less the statewide
average monthly income of nursing home residents who are age 65
or older, and who are medical assistance recipients in the month
of March of the previous state fiscal year. The annual cost
divided by 12 of elderly or disabled waivered services for a
person who is a nursing facility resident at the time of
requesting a determination of eligibility for elderly or
disabled waivered services shall not exceed be the greater of
the monthly payment for: (i) the resident class assigned under
Minnesota Rules, parts 9549.0050 to 9549.0059, for that resident
in the nursing facility where the resident currently resides; or
(ii) the statewide average payment of the case mix resident
class to which the resident would be assigned under the medical
assistance case mix reimbursement system, provided that the
limit under this clause only applies to persons discharged from
a nursing facility and found eligible for waivered services on
or after July 1, 1997. The following costs must be included in
determining the total monthly costs for the waiver client:
(1) cost of all waivered services, including extended
medical supplies and equipment; and
(2) cost of skilled nursing, home health aide, and personal
care services reimbursable by medical assistance.
(c) Medical assistance funding for skilled nursing
services, private duty nursing, home health aide, and personal
care services for waiver recipients must be approved by the case
manager and included in the individual care plan.
(d) For both the elderly waiver and the nursing facility
disabled waiver, a county may purchase extended supplies and
equipment without prior approval from the commissioner when
there is no other funding source and the supplies and equipment
are specified in the individual's care plan as medically
necessary to enable the individual to remain in the community
according to the criteria in Minnesota Rules, part 9505.0210,
items A and B. A county is not required to contract with a
provider of supplies and equipment if the monthly cost of the
supplies and equipment is less than $250.
(e) For the fiscal year beginning on July 1, 1993, and for
subsequent fiscal years, the commissioner of human services
shall not provide automatic annual inflation adjustments for
home and community-based waivered services. The commissioner of
finance shall include as a budget change request in each
biennial detailed expenditure budget submitted to the
legislature under section 16A.11, annual adjustments in
reimbursement rates for home and community-based waivered
services, based on the forecasted percentage change in the Home
Health Agency Market Basket of Operating Costs, for the fiscal
year beginning July 1, compared to the previous fiscal year,
unless otherwise adjusted by statute. The Home Health Agency
Market Basket of Operating Costs is published by Data Resources,
Inc. The forecast to be used is the one published for the
calendar quarter beginning January 1, six months prior to the
beginning of the fiscal year for which rates are set. The adult
foster care rate shall be considered a difficulty of care
payment and shall not include room and board.
(f) The adult foster care daily rate for the elderly and
disabled waivers shall be negotiated between the county agency
and the foster care provider. The rate established under this
section shall not exceed the state average monthly nursing home
payment for the case mix classification to which the individual
receiving foster care is assigned; the rate must allow for other
waiver and medical assistance home care services to be
authorized by the case manager.
(g) The assisted living and residential care service rates
for elderly and community alternatives for disabled individuals
(CADI) waivers shall be made to the vendor as a monthly rate
negotiated with the county agency. The rate shall not exceed
the nonfederal share of the greater of either the statewide or
any of the geographic groups' weighted average monthly medical
assistance nursing facility payment rate of the case mix
resident class to which the elderly or disabled client would be
assigned under Minnesota Rules, parts 9549.0050 to 9549.0059.
For alternative care assisted living projects established under
Laws 1988, chapter 689, article 2, section 256, monthly rates
may not exceed 65 percent of the greater of either the statewide
or any of the geographic groups' weighted average monthly
medical assistance nursing facility payment rate for the case
mix resident class to which the elderly or disabled client would
be assigned under Minnesota Rules, parts 9549.0050 to
9549.0059. The rate may not cover direct rent or food costs.
(h) The county shall negotiate individual rates with
vendors and may be reimbursed for actual costs up to the greater
of the county's current approved rate or 60 percent of the
maximum rate in fiscal year 1994 and 65 percent of the maximum
rate in fiscal year 1995 for each service within each program.
(i) On July 1, 1993, the commissioner shall increase the
maximum rate for home-delivered meals to $4.50 per meal.
(j) Reimbursement for the medical assistance recipients
under the approved waiver shall be made from the medical
assistance account through the invoice processing procedures of
the department's Medicaid Management Information System (MMIS),
only with the approval of the client's case manager. The budget
for the state share of the Medicaid expenditures shall be
forecasted with the medical assistance budget, and shall be
consistent with the approved waiver.
(k) Beginning July 1, 1991, the state shall reimburse
counties according to the payment schedule in section 256.025
for the county share of costs incurred under this subdivision on
or after January 1, 1991, for individuals who are receiving
medical assistance.
(l) For the community alternatives for disabled individuals
waiver, and nursing facility disabled waivers, county may use
waiver funds for the cost of minor adaptations to a client's
residence or vehicle without prior approval from the
commissioner if there is no other source of funding and the
adaptation:
(1) is necessary to avoid institutionalization;
(2) has no utility apart from the needs of the client; and
(3) meets the criteria in Minnesota Rules, part 9505.0210,
items A and B.
For purposes of this subdivision, "residence" means the client's
own home, the client's family residence, or a family foster
home. For purposes of this subdivision, "vehicle" means the
client's vehicle, the client's family vehicle, or the client's
family foster home vehicle.
(m) The commissioner shall establish a maximum rate unit
for baths provided by an adult day care provider that are not
included in the provider's contractual daily or hourly rate.
This maximum rate must equal the home health aide extended rate
and shall be paid for baths provided to clients served under the
elderly and disabled waivers.
Sec. 43. Minnesota Statutes 1996, section 256B.0915, is
amended by adding a subdivision to read:
Subd. 7. [PREPAID ELDERLY WAIVER SERVICES.] An individual
for whom a prepaid health plan is liable for nursing home
services or elderly waiver services according to section
256B.69, subdivision 6a, is not eligible to receive
county-administered elderly waiver services under this section.
Sec. 44. Minnesota Statutes 1996, section 256B.0917,
subdivision 7, is amended to read:
Subd. 7. [CONTRACT.] (a) The commissioner of human
services shall execute a contract with an organization
experienced in establishing and operating community-based
programs that have used the principles listed in subdivision 8,
paragraph (b), in order to meet the independent living and
health needs of senior citizens aged 65 and over and provide
community-based long-term care for senior citizens in their
homes Living at Home/Block Nurse Program, Inc. (LAH/BN, Inc.).
The organization contract shall require LAH/BN, Inc. to:
(1) assist the commissioner in developing develop criteria
for and in awarding award grants to establish community-based
organizations that will implement living-at-home/block nurse
programs throughout the state;
(2) assist the commissioner in awarding award grants to
enable current living-at-home/block nurse programs to continue
to implement the combined living-at-home/block nurse program
model;
(3) serve as a state technical assistance center to assist
and coordinate the living-at-home/block nurse programs
established; and
(4) develop the implementation plan required by subdivision
10 manage contracts with individual living-at-home/block nurse
programs.
(b) The contract shall be effective July 1, 1997, and
section 16B.17 shall not apply.
Sec. 45. Minnesota Statutes 1996, section 256B.0917,
subdivision 8, is amended to read:
Subd. 8. [LIVING-AT-HOME/BLOCK NURSE PROGRAM GRANT.] (a)
The commissioner, in cooperation with the organization awarded
the contract under subdivision 7, shall develop and administer a
grant program to establish or expand up to 15 27 community-based
organizations that will implement living-at-home/block nurse
programs that are designed to enable senior citizens to live as
independently as possible in their homes and in their
communities. At least seven one-half of the programs must be in
counties outside the seven-county metropolitan area. The
living-at-home/block nurse program funds shall be available to
the four to six SAIL projects established under this section.
Nonprofit organizations and units of local government are
eligible to apply for grants to establish the community
organizations that will implement living-at-home/block nurse
programs. In awarding grants, the commissioner organization
awarded the contract under subdivision 7 shall give preference
to nonprofit organizations and units of local government from
communities that:
(1) have high nursing home occupancy rates;
(2) have a shortage of health care professionals; and
(3) are located in counties adjacent to, or are located in,
counties with existing living-at-home/block nurse programs; and
(4) meet other criteria established by the commissioner
LAH/BN, Inc., in consultation with the organization under
contract commissioner.
(b) Grant applicants must also meet the following criteria:
(1) the local community demonstrates a readiness to
establish a community model of care, including the formation of
a board of directors, advisory committee, or similar group, of
which at least two-thirds is comprised of community citizens
interested in community-based care for older persons;
(2) the program has sponsorship by a credible,
representative organization within the community;
(3) the program has defined specific geographic boundaries
and defined its organization, staffing and coordination/delivery
of services;
(4) the program demonstrates a team approach to
coordination and care, ensuring that the older adult
participants, their families, the formal and informal providers
are all part of the effort to plan and provide services; and
(5) the program provides assurances that all community
resources and funding will be coordinated and that other funding
sources will be maximized, including a person's own resources.
(c) Grant applicants must provide a minimum of five percent
of total estimated development costs from local community
funding. Grants shall be awarded for two-year four-year
periods, and the base amount shall not exceed $40,000 $80,000
per applicant for the grant period. The commissioner, in
consultation with the organization under contract, may increase
the grant amount for applicants from communities that have
socioeconomic characteristics that indicate a higher level of
need for development assistance. Subject to the availability of
funding, grants and grant renewals awarded or entered into on or
after July 1, 1997, shall be renewed by LAH/BN, Inc. every four
years, unless LAH/BN, Inc. determines that the grant recipient
has not satisfactorily operated the living-at-home/block nurse
program in compliance with the requirements of paragraphs (b)
and (d). Grants provided to living-at-home/block nurse programs
under this paragraph may be used for both program development
and the delivery of services.
(d) Each living-at-home/block nurse program shall be
designed by representatives of the communities being served to
ensure that the program addresses the specific needs of the
community residents. The programs must be designed to:
(1) incorporate the basic community, organizational, and
service delivery principles of the living-at-home/block nurse
program model;
(2) provide senior citizens with registered nurse directed
assessment, provision and coordination of health and personal
care services on a sliding fee basis as an alternative to
expensive nursing home care;
(3) provide information, support services, homemaking
services, counseling, and training for the client and family
caregivers;
(4) encourage the development and use of respite care,
caregiver support, and in-home support programs, such as adult
foster care and in-home adult day care;
(5) encourage neighborhood residents and local
organizations to collaborate in meeting the needs of senior
citizens in their communities;
(6) recruit, train, and direct the use of volunteers to
provide informal services and other appropriate support to
senior citizens and their caregivers; and
(7) provide coordination and management of formal and
informal services to senior citizens and their families using
less expensive alternatives.
Sec. 46. Minnesota Statutes 1996, section 256B.431,
subdivision 3f, is amended to read:
Subd. 3f. [PROPERTY COSTS AFTER JULY 1, 1988.] (a)
[INVESTMENT PER BED LIMIT.] For the rate year beginning July 1,
1988, the replacement-cost-new per bed limit must be $32,571 per
licensed bed in multiple bedrooms and $48,857 per licensed bed
in a single bedroom. For the rate year beginning July 1, 1989,
the replacement-cost-new per bed limit for a single bedroom must
be $49,907 adjusted according to Minnesota Rules, part
9549.0060, subpart 4, item A, subitem (1). Beginning January 1,
1990, the replacement-cost-new per bed limits must be adjusted
annually as specified in Minnesota Rules, part 9549.0060,
subpart 4, item A, subitem (1). Beginning January 1, 1991, the
replacement-cost-new per bed limits will be adjusted annually as
specified in Minnesota Rules, part 9549.0060, subpart 4, item A,
subitem (1), except that the index utilized will be the Bureau
of the Census: Composite fixed-weighted price index as
published in the Survey of Current Business C30 Report, Value of
New Construction Put in Place.
(b) [RENTAL FACTOR.] For the rate year beginning July 1,
1988, the commissioner shall increase the rental factor as
established in Minnesota Rules, part 9549.0060, subpart 8, item
A, by 6.2 percent rounded to the nearest 100th percent for the
purpose of reimbursing nursing facilities for soft costs and
entrepreneurial profits not included in the cost valuation
services used by the state's contracted appraisers. For rate
years beginning on or after July 1, 1989, the rental factor is
the amount determined under this paragraph for the rate year
beginning July 1, 1988.
(c) [OCCUPANCY FACTOR.] For rate years beginning on or
after July 1, 1988, in order to determine property-related
payment rates under Minnesota Rules, part 9549.0060, for all
nursing facilities except those whose average length of stay in
a skilled level of care within a nursing facility is 180 days or
less, the commissioner shall use 95 percent of capacity days.
For a nursing facility whose average length of stay in a skilled
level of care within a nursing facility is 180 days or less, the
commissioner shall use the greater of resident days or 80
percent of capacity days but in no event shall the divisor
exceed 95 percent of capacity days.
(d) [EQUIPMENT ALLOWANCE.] For rate years beginning on
July 1, 1988, and July 1, 1989, the commissioner shall add ten
cents per resident per day to each nursing facility's
property-related payment rate. The ten-cent property-related
payment rate increase is not cumulative from rate year to rate
year. For the rate year beginning July 1, 1990, the
commissioner shall increase each nursing facility's equipment
allowance as established in Minnesota Rules, part 9549.0060,
subpart 10, by ten cents per resident per day. For rate years
beginning on or after July 1, 1991, the adjusted equipment
allowance must be adjusted annually for inflation as in
Minnesota Rules, part 9549.0060, subpart 10, item E. For the
rate period beginning October 1, 1992, the equipment allowance
for each nursing facility shall be increased by 28 percent. For
rate years beginning after June 30, 1993, the allowance must be
adjusted annually for inflation.
(e) [POST CHAPTER 199 RELATED-ORGANIZATION DEBTS AND
INTEREST EXPENSE.] For rate years beginning on or after July 1,
1990, Minnesota Rules, part 9549.0060, subpart 5, item E, shall
not apply to outstanding related organization debt incurred
prior to May 23, 1983, provided that the debt was an allowable
debt under Minnesota Rules, parts 9510.0010 to 9510.0480, the
debt is subject to repayment through annual principal payments,
and the nursing facility demonstrates to the commissioner's
satisfaction that the interest rate on the debt was less than
market interest rates for similar arms-length transactions at
the time the debt was incurred. If the debt was incurred due to
a sale between family members, the nursing facility must also
demonstrate that the seller no longer participates in the
management or operation of the nursing facility. Debts meeting
the conditions of this paragraph are subject to all other
provisions of Minnesota Rules, parts 9549.0010 to 9549.0080.
(f) [BUILDING CAPITAL ALLOWANCE FOR NURSING FACILITIES
WITH OPERATING LEASES.] For rate years beginning on or after
July 1, 1990, a nursing facility with operating lease costs
incurred for the nursing facility's buildings shall receive its
building capital allowance computed in accordance with Minnesota
Rules, part 9549.0060, subpart 8.
Sec. 47. Minnesota Statutes 1996, section 256B.49, is
amended by adding a subdivision to read:
Subd. 9. [PREVOCATIONAL AND SUPPORTED EMPLOYMENT
SERVICES.] The commissioner shall seek to amend the community
alternatives for disabled individuals waivers and the traumatic
brain injury waivers to include prevocational and supported
employment services.
Sec. 48. Minnesota Statutes 1996, section 256B.69,
subdivision 2, is amended to read:
Subd. 2. [DEFINITIONS.] For the purposes of this section,
the following terms have the meanings given.
(a) "Commissioner" means the commissioner of human services.
For the remainder of this section, the commissioner's
responsibilities for methods and policies for implementing the
project will be proposed by the project advisory committees and
approved by the commissioner.
(b) "Demonstration provider" means an individual, agency,
organization, or group of these entities a health maintenance
organization or community integrated service network authorized
and operating under chapter 62D or 62N that participates in the
demonstration project according to criteria, standards, methods,
and other requirements established for the project and approved
by the commissioner. Notwithstanding the above, Itasca county
may continue to participate as a demonstration provider until
July 1, 2000.
(c) "Eligible individuals" means those persons eligible for
medical assistance benefits as defined in sections 256B.055,
256B.056, and 256B.06.
(d) "Limitation of choice" means suspending freedom of
choice while allowing eligible individuals to choose among the
demonstration providers.
(e) This paragraph supersedes paragraph (c) as long as the
Minnesota health care reform waiver remains in effect. When the
waiver expires, this paragraph expires and the commissioner of
human services shall publish a notice in the State Register and
notify the revisor of statutes. "Eligible individuals" means
those persons eligible for medical assistance benefits as
defined in sections 256B.055, 256B.056, and 256B.06.
Notwithstanding sections 256B.055, 256B.056, and 256B.06, an
individual who becomes ineligible for the program because of
failure to submit income reports or recertification forms in a
timely manner, shall remain enrolled in the prepaid health plan
and shall remain eligible to receive medical assistance coverage
through the last day of the month following the month in which
the enrollee became ineligible for the medical assistance
program.
Sec. 49. Minnesota Statutes 1996, section 256B.69,
subdivision 3a, is amended to read:
Subd. 3a. [COUNTY AUTHORITY.] (a) The commissioner, when
implementing the general assistance medical care, or medical
assistance prepayment program within a county, must include the
county board in the process of development, approval, and
issuance of the request for proposals to provide services to
eligible individuals within the proposed county. County boards
must be given reasonable opportunity to make recommendations
regarding the development, issuance, review of responses, and
changes needed in the request for proposals. The commissioner
must provide county boards the opportunity to review each
proposal based on the identification of community needs under
chapters 145A and 256E and county advocacy activities. If a
county board finds that a proposal does not address certain
community needs, the county board and commissioner shall
continue efforts for improving the proposal and network prior to
the approval of the contract. The county board shall make
recommendations regarding the approval of local networks and
their operations to ensure adequate availability and access to
covered services. The provider or health plan must respond
directly to county advocates and the state prepaid medical
assistance ombudsperson regarding service delivery and must be
accountable to the state regarding contracts with medical
assistance and general assistance medical care funds. The
county board may recommend a maximum number of participating
health plans after considering the size of the enrolling
population; ensuring adequate access and capacity; considering
the client and county administrative complexity; and considering
the need to promote the viability of locally developed health
plans. The county board or a single entity representing a group
of county boards and the commissioner shall mutually select
health plans for participation at the time of initial
implementation of the prepaid medical assistance program in that
county or group of counties and at the time of contract renewal.
The commissioner shall also seek input for contract requirements
from the county or single entity representing a group of county
boards at each contract renewal and incorporate those
recommendations into the contract negotiation process. The
commissioner, in conjunction with the county board, shall
actively seek to develop a mutually agreeable timetable prior to
the development of the request for proposal, but counties must
agree to initial enrollment beginning on or before January 1,
1999, in either the prepaid medical assistance and general
assistance medical care programs or county-based purchasing
under section 256B.692. At least 90 days before enrollment in
the medical assistance and general assistance medical care
prepaid programs begins in a county in which the prepaid
programs have not been established, the commissioner shall
provide a report to the chairs of senate and house committees
having jurisdiction over state health care programs which
verifies that the commissioner complied with the requirements
for county involvement that are specified in this subdivision.
(b) The commissioner shall seek a federal waiver to allow a
fee-for-service plan option to MinnesotaCare enrollees. The
commissioner shall develop an increase of the premium fees
required under section 256.9356 up to 20 percent of the premium
fees for the enrollees who elect the fee-for-service option.
Prior to implementation, the commissioner shall submit this fee
schedule to the chair and ranking minority member of the senate
health care committee, the senate health care and family
services funding division, the house of representatives health
and human services committee, and the house of representatives
health and human services finance division.
(c) At the option of the county board, the board may
develop contract requirements related to the achievement of
local public health goals to meet the health needs of medical
assistance and general assistance medical care enrollees. These
requirements must be reasonably related to the performance of
health plan functions and within the scope of the medical
assistance and general assistance medical care benefit sets. If
the county board and the commissioner mutually agree to such
requirements, the department shall include such requirements in
all health plan contracts governing the prepaid medical
assistance and general assistance medical care programs in that
county at initial implementation of the program in that county
and at the time of contract renewal. The county board may
participate in the enforcement of the contract provisions
related to local public health goals.
(d) For counties in which prepaid medical assistance and
general assistance medical care programs have not been
established, the commissioner shall not implement those programs
if a county board submits acceptable and timely preliminary and
final proposals under section 256B.692, until county-based
purchasing is no longer operational in that county. For
counties in which prepaid medical assistance and general
assistance medical care programs are in existence on or after
September 1, 1997, the commissioner must terminate contracts
with health plans according to section 256B.692, subdivision 5,
if the county board submits and the commissioner accepts
preliminary and final proposals according to that subdivision.
The commissioner is not required to terminate contracts that
begin on or after September 1, 1997, according to section
256B.692 until two years have elapsed from the date of initial
enrollment.
(e) In the event that a county board or a single entity
representing a group of county boards and the commissioner
cannot reach agreement regarding: (i) the selection of
participating health plans in that county; (ii) contract
requirements; or (iii) implementation and enforcement of county
requirements including provisions regarding local public health
goals, the commissioner shall resolve all disputes after taking
into account the recommendations of a three-person mediation
panel. The panel shall be composed of one designee of the
president of the association of Minnesota counties, one designee
of the commissioner of human services, and one designee of the
commissioner of health.
(f) If a county which elects to implement county-based
purchasing ceases to implement county-based purchasing, it is
prohibited from assuming the responsibility of county-based
purchasing for a period of five years from the date it
discontinues purchasing.
Sec. 50. Minnesota Statutes 1996, section 256B.69,
subdivision 5, is amended to read:
Subd. 5. [PROSPECTIVE PER CAPITA PAYMENT.] The
commissioner shall establish the method and amount of payments
for services. The commissioner shall annually contract with
demonstration providers to provide services consistent with
these established methods and amounts for payment.
Notwithstanding section 62D.02, subdivision 1, payments for
services rendered as part of the project may be made to
providers that are not licensed health maintenance organizations
on a risk-based, prepaid capitation basis.
If allowed by the commissioner, a demonstration provider
may contract with an insurer, health care provider, nonprofit
health service plan corporation, or the commissioner, to provide
insurance or similar protection against the cost of care
provided by the demonstration provider or to provide coverage
against the risks incurred by demonstration providers under this
section. The recipients enrolled with a demonstration provider
are a permissible group under group insurance laws and chapter
62C, the Nonprofit Health Service Plan Corporations Act. Under
this type of contract, the insurer or corporation may make
benefit payments to a demonstration provider for services
rendered or to be rendered to a recipient. Any insurer or
nonprofit health service plan corporation licensed to do
business in this state is authorized to provide this insurance
or similar protection.
Payments to providers participating in the project are
exempt from the requirements of sections 256.966 and 256B.03,
subdivision 2. The commissioner shall complete development of
capitation rates for payments before delivery of services under
this section is begun. For payments made during calendar year
1990 and later years, the commissioner shall contract with an
independent actuary to establish prepayment rates.
By January 15, 1996, the commissioner shall report to the
legislature on the methodology used to allocate to participating
counties available administrative reimbursement for advocacy and
enrollment costs. The report shall reflect the commissioner's
judgment as to the adequacy of the funds made available and of
the methodology for equitable distribution of the funds. The
commissioner must involve participating counties in the
development of the report.
Sec. 51. Minnesota Statutes 1996, section 256B.69,
subdivision 5b, is amended to read:
Subd. 5b. [PROSPECTIVE REIMBURSEMENT RATES.] For prepaid
medical assistance and general assistance medical care program
contract rates set by the commissioner under subdivision 5 and
effective on or after January 1, 1997, through December 31,
1998, capitation rates for nonmetropolitan counties shall on a
weighted average be no less than 85 88 percent of the capitation
rates for metropolitan counties, excluding Hennepin county. The
commissioner shall make a pro rata adjustment in capitation
rates paid to counties other than nonmetropolitan counties in
order to make this provision budget neutral.
Sec. 52. Minnesota Statutes 1996, section 256B.69, is
amended by adding a subdivision to read:
Subd. 5d. [MODIFICATION OF PAYMENT DATES EFFECTIVE JANUARY
1, 2001.] Effective for services rendered on or after January 1,
2001, capitation payments under this section and under section
256D.03 shall be made no earlier than the first day after the
month of service.
Sec. 53. Minnesota Statutes 1996, section 256B.69, is
amended by adding a subdivision to read:
Subd. 6a. [NURSING HOME SERVICES.] (a) Notwithstanding
Minnesota Rules, part 9500.1457, subpart 1, item B, nursing
facility services as defined in section 256B.0625, subdivision
2, which are provided in a nursing facility certified by the
Minnesota department of health for services provided and
eligible for payment under Medicaid, shall be covered under the
prepaid medical assistance program for individuals who are not
residing in a nursing facility at the time of enrollment in the
prepaid medical assistance program. Liability for coverage of
nursing facility services by a participating health plan is
limited to 365 days for any person enrolled under the prepaid
medical assistance program.
(b) For individuals enrolled in the Minnesota senior health
options project authorized under subdivision 23, nursing
facility services shall be covered according to the terms and
conditions of the federal waiver governing that demonstration
project.
Sec. 54. Minnesota Statutes 1996, section 256B.69, is
amended by adding a subdivision to read:
Subd. 6b. [ELDERLY WAIVER SERVICES.] Notwithstanding
Minnesota Rules, part 9500.1457, subpart 1, item C, elderly
waiver services shall be covered under the prepaid medical
assistance program for all individuals who are eligible
according to section 256B.0915. For individuals enrolled in the
Minnesota senior health options project authorized under
subdivision 23, elderly waiver services shall be covered
according to the terms and conditions of the federal waiver
governing that demonstration project.
Sec. 55. Minnesota Statutes 1996, section 256B.69, is
amended by adding a subdivision to read:
Subd. 24. [ENROLLMENT EXEMPTION.] Persons eligible for
services under section 256B.0915 who have income in excess of
the level permitted under section 256B.056 without a spenddown
but below the MSA equivalent rate as defined in section 256I.03,
subdivision 5, plus the medical assistance personal needs
allowance as defined in section 256B.35, subdivision 1,
paragraph (a), shall be exempt from mandatory enrollment in the
prepaid medical assistance program under this section unless
otherwise directed by the legislature, except for those persons
who were initially enrolled in the prepaid medical assistance
program while residing in a nursing home or whose income changed
after initial enrollment in the prepaid medical assistance
program. Nothing in this subdivision shall require persons who
are required to enroll in the prepaid medical assistance program
to disenroll from that program or from the Minnesota senior
health options project after initial enrollment.
Sec. 56. [256B.692] [COUNTY-BASED PURCHASING.]
Subdivision 1. [IN GENERAL.] County boards or groups of
county boards may elect to purchase or provide health care
services on behalf of persons eligible for medical assistance
and general assistance medical care who would otherwise be
required to or may elect to participate in the prepaid medical
assistance or prepaid general assistance medical care programs
according to sections 256B.69 and 256D.03. Counties that elect
to purchase or provide health care under this section must
provide all services included in prepaid managed care programs
according to sections 256B.69, subdivisions 1 to 22, and
256D.03. County-based purchasing under this section is governed
by section 256B.69, unless otherwise provided for under this
section.
Subd. 2. [DUTIES OF THE COMMISSIONER OF HEALTH.]
Notwithstanding chapters 62D and 62N, a county that elects to
purchase medical assistance and general assistance medical care
in return for a fixed sum without regard to the frequency or
extent of services furnished to any particular enrollee is not
required to obtain a certificate of authority under chapter 62D
or 62N. A county that elects to purchase medical assistance and
general assistance medical care services under this section must
satisfy the commissioner of health that the requirements of
chapter 62D, applicable to health maintenance organizations, or
chapter 62N, applicable to community integrated service
networks, will be met. A county must also assure the
commissioner of health that the requirements of section 72A.201
will be met. All enforcement and rulemaking powers available
under chapters 62D and 62N are hereby granted to the
commissioner of health with respect to counties that purchase
medical assistance and general assistance medical care services
under this section.
Subd. 3. [REQUIREMENTS OF THE COUNTY BOARD.] A county
board that intends to purchase or provide health care under this
section, which may include purchasing all or part of these
services from health plans or individual providers on a
fee-for-service basis, or providing these services directly,
must demonstrate the ability to follow and agree to the
following requirements:
(1) purchase all covered services for a fixed payment from
the state that does not exceed the estimated state and federal
cost that would have occurred under the prepaid medical
assistance and general assistance medical care programs;
(2) ensure that covered services are accessible to all
enrollees and that enrollees have a reasonable choice of
providers, health plans, or networks when possible. If the
county is also a provider of service, the county board shall
develop a process to ensure that providers employed by the
county are not the sole referral source and are not the sole
provider of health care services if other providers, which meet
the same quality and cost requirements are available;
(3) issue payments to participating vendors or networks in
a timely manner;
(4) establish a process to ensure and improve the quality
of care provided;
(5) provide appropriate quality and other required data in
a format required by the state;
(6) provide a system for advocacy, enrollee protection, and
complaints and appeals that is independent of care providers or
other risk bearers and complies with section 256B.69;
(7) for counties within the seven-county metropolitan area,
ensure that the implementation and operation of the Minnesota
senior health options demonstration project, authorized under
section 256B.69, subdivision 23, will not be impeded;
(8) ensure that all recipients that are enrolled in the
prepaid medical assistance or general assistance medical care
program will be transferred to county-based purchasing without
utilizing the department's fee-for-service claims payment
system;
(9) ensure that all recipients who are required to
participate in county-based purchasing are given sufficient
information prior to enrollment in order to make informed
decisions; and
(10) ensure that the state and the medical assistance and
general assistance medical care recipients will be held harmless
for the payment of obligations incurred by the county if the
county, or a health plan providing services on behalf of the
county, or a provider participating in county-based purchasing
becomes insolvent, and the state has made the payments due to
the county under this section.
Subd. 4. [PAYMENTS TO COUNTIES.] The commissioner shall
pay counties that are purchasing or providing health care under
this section a per capita payment for all enrolled recipients.
Payments shall not exceed payments that otherwise would have
been paid to health plans under medical assistance and general
assistance medical care for that county or region. This payment
is in addition to any administrative allocation to counties for
education, enrollment, and advocacy. The state of Minnesota and
the United States Department of Health and Human Services are
not liable for any costs incurred by a county that exceed the
payments to the county made under this subdivision. A county
whose costs exceed the payments made by the state, or any
affected enrollees or creditors of that county, shall have no
rights under chapter 61B or section 62D.181. A county may
assign risk for the cost of care to a third party.
Subd. 5. [COUNTY PROPOSALS.] (a) On or before September 1,
1997, a county board that wishes to purchase or provide health
care under this section must submit a preliminary proposal that
substantially demonstrates the county's ability to meet all the
requirements of this section in response to criteria for
proposals issued by the department on or before July 1, 1997.
Counties submitting preliminary proposals must establish a local
planning process that involves input from medical assistance and
general assistance medical care recipients, recipient advocates,
providers and representatives of local school districts, labor,
and tribal government to advise on the development of a final
proposal and its implementation.
(b) The county board must submit a final proposal on or
before July 1, 1998, that demonstrates the ability to meet all
the requirements of this section, including beginning enrollment
on January 1, 1999.
(c) After January 1, 1999, for a county in which the
prepaid medical assistance program is in existence, the county
board must submit a preliminary proposal at least 15 months
prior to termination of health plan contracts in that county and
a final proposal six months prior to the health plan contract
termination date in order to begin enrollment after the
termination. Nothing in this section shall impede or delay
implementation or continuation of the prepaid medical assistance
and general assistance medical care programs in counties for
which the board does not submit a proposal, or submits a
proposal that is not in compliance with this section.
(d) The commissioner is not required to terminate contracts
for the prepaid medical assistance and prepaid general
assistance medical care programs that begin on or after
September 1, 1997, in a county for which a county board has
submitted a proposal under this paragraph, until two years have
elapsed from the date of initial enrollment in the prepaid
medical assistance and prepaid general assistance medical care
programs.
Subd. 6. [COMMISSIONER'S AUTHORITY.] The commissioner may:
(1) reject any preliminary or final proposal that
substantially fails to meet the requirements of this section, or
that the commissioner determines would substantially impair the
state's ability to purchase health care services in other areas
of the state, or would substantially impair an enrollee's choice
of care systems when reasonable choice is possible, or would
substantially impair the implementation and operation of the
Minnesota senior health options demonstration project authorized
under section 256B.69, subdivision 23; and
(2) assume operation of a county's purchasing of health
care for enrollees in medical assistance and general assistance
medical care in the event that the contract with the county is
terminated.
Subd. 7. [DISPUTE RESOLUTION.] In the event the
commissioner rejects a proposal under subdivision 6, the county
board may request the recommendation of a three-person mediation
panel. The commissioner shall resolve all disputes after taking
into account the recommendations of the mediation panel. The
panel shall be composed of one designee of the president of the
association of Minnesota counties, one designee of the
commissioner of human services, and one designee of the
commissioner of health.
Subd. 8. [APPEALS.] A county that conducts county-based
purchasing shall be considered to be a prepaid health plan for
purposes of section 256.045.
Subd. 9. [FEDERAL APPROVAL.] The commissioner shall
request any federal waivers and federal approval required to
implement this section. County-based purchasing shall not be
implemented without obtaining all federal approval required to
maintain federal matching funds in the medical assistance
program.
Subd. 10. [REPORT TO THE LEGISLATURE.] The commissioner
shall submit a report to the legislature by February 1, 1998, on
the preliminary proposals submitted on or before September 1,
1997.
Sec. 57. Minnesota Statutes 1996, section 256D.03,
subdivision 3, is amended to read:
Subd. 3. [GENERAL ASSISTANCE MEDICAL CARE; ELIGIBILITY.]
(a) General assistance medical care may be paid for any person
who is not eligible for medical assistance under chapter 256B,
including eligibility for medical assistance based on a
spenddown of excess income according to section 256B.056,
subdivision 5, and:
(1) who is receiving assistance under section 256D.05, or
who is having a payment made on the person's behalf under
sections 256I.01 to 256I.06; or
(2)(i) who is a resident of Minnesota; and whose equity in
assets is not in excess of $1,000 per assistance unit. No asset
test shall be applied to children and their parents living in
the same household. Exempt assets, the reduction of excess
assets, and the waiver of excess assets must conform to the
medical assistance program in chapter 256B, with the following
exception: the maximum amount of undistributed funds in a trust
that could be distributed to or on behalf of the beneficiary by
the trustee, assuming the full exercise of the trustee's
discretion under the terms of the trust, must be applied toward
the asset maximum; and
(ii) who has countable income not in excess of the
assistance standards established in section 256B.056,
subdivision 4, or whose excess income is spent down pursuant to
section 256B.056, subdivision 5, using a six-month budget
period, except that a one-month budget period must be used for
recipients residing in a long-term care facility. The method
for calculating earned income disregards and deductions for a
person who resides with a dependent child under age 21 shall be
as specified in section 256.74, subdivision 1 follow section
256B.056, subdivision 1a. However, if a disregard of $30 and
one-third of the remainder described in section 256.74,
subdivision 1, clause (4), has been applied to the wage earner's
income, the disregard shall not be applied again until the wage
earner's income has not been considered in an eligibility
determination for general assistance, general assistance medical
care, medical assistance, or aid to families with dependent
children, or MFIP-S for 12 consecutive months. The earned
income and work expense deductions for a person who does not
reside with a dependent child under age 21 shall be the same as
the method used to determine eligibility for a person under
section 256D.06, subdivision 1, except the disregard of the
first $50 of earned income is not allowed; or
(3) who would be eligible for medical assistance except
that the person resides in a facility that is determined by the
commissioner or the federal health care financing administration
to be an institution for mental diseases.
(b) Eligibility is available for the month of application,
and for three months prior to application if the person was
eligible in those prior months. A redetermination of
eligibility must occur every 12 months.
(c) General assistance medical care is not available for a
person in a correctional facility unless the person is detained
by law for less than one year in a county correctional or
detention facility as a person accused or convicted of a crime,
or admitted as an inpatient to a hospital on a criminal hold
order, and the person is a recipient of general assistance
medical care at the time the person is detained by law or
admitted on a criminal hold order and as long as the person
continues to meet other eligibility requirements of this
subdivision.
(d) General assistance medical care is not available for
applicants or recipients who do not cooperate with the county
agency to meet the requirements of medical assistance.
(e) In determining the amount of assets of an individual,
there shall be included any asset or interest in an asset,
including an asset excluded under paragraph (a), that was given
away, sold, or disposed of for less than fair market value
within the 60 months preceding application for general
assistance medical care or during the period of eligibility.
Any transfer described in this paragraph shall be presumed to
have been for the purpose of establishing eligibility for
general assistance medical care, unless the individual furnishes
convincing evidence to establish that the transaction was
exclusively for another purpose. For purposes of this
paragraph, the value of the asset or interest shall be the fair
market value at the time it was given away, sold, or disposed
of, less the amount of compensation received. For any
uncompensated transfer, the number of months of ineligibility,
including partial months, shall be calculated by dividing the
uncompensated transfer amount by the average monthly per person
payment made by the medical assistance program to skilled
nursing facilities for the previous calendar year. The
individual shall remain ineligible until this fixed period has
expired. The period of ineligibility may exceed 30 months, and
a reapplication for benefits after 30 months from the date of
the transfer shall not result in eligibility unless and until
the period of ineligibility has expired. The period of
ineligibility begins in the month the transfer was reported to
the county agency, or if the transfer was not reported, the
month in which the county agency discovered the transfer,
whichever comes first. For applicants, the period of
ineligibility begins on the date of the first approved
application.
(f)(1) Beginning October 1, 1993, an undocumented alien or
a nonimmigrant is ineligible for general assistance medical care
other than emergency services. For purposes of this
subdivision, a nonimmigrant is an individual in one or more of
the classes listed in United States Code, title 8, section
1101(a)(15), and an undocumented alien is an individual who
resides in the United States without the approval or
acquiescence of the Immigration and Naturalization Service.
(2) This subdivision does not apply to a child under age
18, to a Cuban or Haitian entrant as defined in Public Law
Number 96-422, section 501(e)(1) or (2)(a), or to an alien who
is aged, blind, or disabled as defined in United States Code,
title 42, section 1382c(a)(1).
(3) For purposes of paragraph (f), "emergency services" has
the meaning given in Code of Federal Regulations, title 42,
section 440.255(b)(1), except that it also means services
rendered because of suspected or actual pesticide poisoning.
Sec. 58. Minnesota Statutes 1996, section 256G.02,
subdivision 6, is amended to read:
Subd. 6. [EXCLUDED TIME.] "Excluded time" means:
(a) any period an applicant spends in a hospital,
sanitarium, nursing home, shelter other than an emergency
shelter, halfway house, foster home, semi-independent living
domicile or services program, residential facility offering
care, board and lodging facility or other institution for the
hospitalization or care of human beings, as defined in section
144.50, 144A.01, or 245A.02, subdivision 14; maternity home,
battered women's shelter, or correctional facility; or any
facility based on an emergency hold under sections 253B.05,
subdivisions 1 and 2, and 253B.07, subdivision 6;
(b) any period an applicant spends on a placement basis in
a training and habilitation program, including a rehabilitation
facility or work or employment program as defined in section
268A.01; or receiving personal care assistant services pursuant
to section 256B.0627, subdivision 4; semi-independent living
services provided under section 252.275, and Minnesota Rules,
parts 9525.0500 to 9525.0660; day training and habilitation
programs, and community-based services and assisted living
services; and
(c) any placement for a person with an indeterminate
commitment, including independent living.
Sec. 59. Minnesota Statutes 1996, section 256G.05,
subdivision 2, is amended to read:
Subd. 2. [NON-MINNESOTA RESIDENTS.] State residence is not
required for receiving emergency assistance in the general
assistance, general assistance medical care, and Minnesota
supplemental aid programs only program. The receipt of
emergency assistance must not be used as a factor in determining
county or state residence. Non-Minnesota residents are not
eligible for emergency general assistance medical care, except
emergency hospital services, and professional services incident
to the hospital services, for the treatment of acute trauma
resulting from an accident occurring in Minnesota. To be
eligible under this subdivision a non-Minnesota resident must
verify that they are not eligible for coverage under any other
health care program, including coverage from a program in their
state of residence.
Sec. 60. Minnesota Statutes 1996, section 256I.05,
subdivision 1a, is amended to read:
Subd. 1a. [SUPPLEMENTARY RATES.] (a) In addition to the
room and board rate specified in subdivision 1, the county
agency may negotiate a payment not to exceed $426.37 for other
services necessary to provide room and board provided by the
group residence if the residence is licensed by or registered by
the department of health, or licensed by the department of human
services to provide services in addition to room and board, and
if the provider of services is not also concurrently receiving
funding for services for a recipient under a home and
community-based waiver under title XIX of the Social Security
Act; or funding from the medical assistance program under
section 256B.0627, subdivision 4, for personal care services for
residents in the setting; or residing in a setting which
receives funding under Minnesota Rules, parts 9535.2000 to
9535.3000. If funding is available for other necessary services
through a home and community-based waiver, or personal care
services under section 256B.0627, subdivision 4, then the GRH
rate is limited to the rate set in subdivision 1. The
registration and licensure requirement does not apply to
establishments which are exempt from state licensure because
they are located on Indian reservations and for which the tribe
has prescribed health and safety requirements. Service payments
under this section may be prohibited under rules to prevent the
supplanting of federal funds with state funds. The commissioner
shall pursue the feasibility of obtaining the approval of the
Secretary of Health and Human Services to provide home and
community-based waiver services under title XIX of the Social
Security Act for residents who are not eligible for an existing
home and community-based waiver due to a primary diagnosis of
mental illness or chemical dependency and shall apply for a
waiver if it is determined to be cost-effective.
(b) The commissioner is authorized to make cost-neutral
transfers from the GRH fund for beds under this section to other
funding programs administered by the department after
consultation with the county or counties in which the affected
beds are located. The commissioner may also make cost-neutral
transfers from the GRH fund to county human service agencies for
beds permanently removed from the GRH census under a plan
submitted by the county agency and approved by the
commissioner. The commissioner shall report the amount of any
transfers under this provision annually to the legislature.
(c) The provisions of paragraph (b) do not apply to a
facility that has its reimbursement rate established under
section 256B.431, subdivision 4, paragraph (c).
Sec. 61. Minnesota Statutes 1996, section 469.155,
subdivision 4, is amended to read:
Subd. 4. [REFINANCING HEALTH FACILITIES.] It may issue
revenue bonds to pay, purchase, or discharge all or any part of
the outstanding indebtedness of a contracting party engaged
primarily in the operation of one or more nonprofit hospitals or
nursing homes previously incurred in the acquisition or
betterment of its existing hospital or nursing home facilities
to the extent deemed necessary by the governing body of the
municipality or redevelopment agency; this may include any
unpaid interest on the indebtedness accrued or to accrue to the
date on which the indebtedness is finally paid, and any premium
the governing body of the municipality or redevelopment agency
determines to be necessary to be paid to pay, purchase, or
defease the outstanding indebtedness. If revenue bonds are
issued for this purpose, the refinancing and the existing
properties of the contracting party shall be deemed to
constitute a project under section 469.153, subdivision 2,
clause (d). Revenue bonds may not be issued pursuant to this
subdivision unless the application for approval of the project
pursuant to section 469.154 shows that a reduction in debt
service charges is estimated to result and will be reflected in
charges to patients and third-party payors. Proceeds of revenue
bonds issued pursuant to this subdivision may not be used for
any purpose inconsistent with the provisions of chapter 256B.
Nothing in this subdivision prohibits the use of revenue bond
proceeds to pay outstanding indebtedness of a contracting party
to the extent permitted by law on March 28, 1978.
Sec. 62. Laws 1995, chapter 207, article 6, section 115,
is amended to read:
Sec. 115. [CONTINUATION OF PILOT PROJECTS.]
The alternative care pilot projects authorized in Laws
1993, First Special Session chapter 1, article 5, section 133,
shall not expire on June 30, 1995, but shall continue until June
30, 1997 2001, except that the three percent rate increases
authorized in Laws 1993, First Special Session chapter 1,
article 1, section 2, subdivision 4, and any subsequent rate
increases shall be incorporated in average monthly cost
effective July 1, 1995. Beginning July 1, 1997, a county may
spend up to ten percent of grant funds for needed client
services that are not listed under Minnesota Statutes, section
256B.0913, subdivision 5. The commissioner shall allow
additional counties at their option to implement the alternative
care program within the parameters established in Laws 1993,
First Special Session chapter 1, article 5, section 133. If
more than five counties exercise this option, the commissioner
may require counties to make this change on a phased schedule if
necessary in order to implement this provision within the limit
of available resources. For newly participating counties, the
previous fiscal year shall be the base year.
Sec. 63. [NEED FOR NONSTANDARD WHEELCHAIRS.]
The commissioner of human services, in consultation with
the System of Technology to Achieve Results (STAR) program,
shall present a report to the legislature by January 1, 1998, on
the need for nonstandard wheelchairs for recipients residing in
long-term care facilities. A standard wheelchair is a manual
wheelchair that is 16 to 20 inches wide and 18 inches deep with
sling seat and back upholstery and a seat height of 19-1/2
inches. The report shall:
(1) determine how many medical assistance recipients who
reside in long-term care facilities cannot independently operate
a standard wheelchair, but can safely and independently operate
a power or other nonstandard wheelchair;
(2) determine how many medical assistance recipients who
reside in long-term care facilities require a wheelchair to be
permanently modified by the addition of an item to accommodate
their health needs;
(3) determine how many medical assistance recipients who
reside in long-term care facilities have seating or positioning
needs which cannot be accommodated in a standard wheelchair;
(4) determine the average cost of a nonstandard wheelchair;
(5) determine the capability of long-term care facilities
to provide nonstandard wheelchairs to meet medical assistance
recipients needs; and
(6) determine to what extent in the past four years the
department of health has enforced regulations or rules relating
to a long-term care facility's obligation to meet the mobility
needs of residents.
Sec. 64. [STUDY OF ELDERLY WAIVER EXPANSION.]
The commissioner of human services shall appoint a task
force that includes representatives of counties, health plans,
consumers, and legislators to study the impact of the expansion
of the elderly waiver program under section 4 and to make
recommendations for any changes in law necessary to facilitate
an efficient and equitable relationship between the elderly
waiver program and the Minnesota senior health options project.
Based on the results of the task force study, the commissioner
may seek any federal waivers needed to improve the relationship
between the elderly waiver and the Minnesota senior health
options project. The commissioner shall report the results of
the task force study to the legislature by January 15, 1998.
Sec. 65. [DEVELOPMENT OF APPEALS PROCESS.]
The commissioner of human services, in consultation with
elderly advocates and nursing facility representatives, shall
develop and present to the legislature by January 15, 1998, an
appeals process for persons affected by the changes in nursing
facility level of care criteria scheduled to take effect on July
1, 1998.
Sec. 66. [PERSONAL CARE SERVICES STUDY.]
The commissioner of human services shall formulate
recommendations on how to allow recipients of medical assistance
who have been diagnosed with autism or other disabilities to use
personal care services with more flexibility to meet individual
client needs and preferences. The commissioner may convene an
advisory task force as authorized under Minnesota Statutes,
section 15.014, subdivision 2, to assist in formulating these
recommendations. If a task force is convened, it shall be
comprised of department of human services staff from the adult
mental health, children's mental health, home- and
community-based services, and developmental disabilities
divisions, as well as consumers of personal care services,
advocates, and providers of personal care attendant services. A
report with recommendations that outlines how consumer-centered
planning and flexible use of funds can be implemented by July 1,
1998, must be presented to the legislature by December 15, 1997.
Sec. 67. [INTEGRATION OF MINNESOTACARE WITH COUNTY-BASED
PURCHASING.]
The commissioner of human services shall develop a plan to
integrate the MinnesotaCare program with county-based purchasing.
The plan must be designed to provide more choice to
MinnesotaCare enrollees and to ensure that they have health care
options in addition to county-based purchasing. The plan must
permit a county that elects to implement county-based purchasing
to elect to purchase or provide health services on behalf of
persons eligible for the MinnesotaCare program. The
commissioner shall submit the plan to the legislature by
February 1, 1998.
Sec. 68. [OMBUDSPERSON SERVICES.]
The commissioner of human services shall make
recommendations to the legislature by January 15, 1998, on how
the ombudsperson services and prepayment coordinator services
established in Minnesota Statutes, section 256B.69, subdivisions
20 and 21, could be reorganized to ensure that the ombudsman and
county prepayment coordinator are independent of the department
of human services, county authorities, health plans, or other
health care providers. The commissioner must seek input from
recipients, advocates, and counties in reorganizing the
ombudsman and county advocate system.
Sec. 69. [WAIVER REQUEST.]
The commissioner of human services shall seek federal
approval to amend the health care reform waiver to extend the
postpartum period of medical assistance eligibility for chemical
dependency after-care services.
Sec. 70. [WAIVER MODIFICATION.]
The commissioner of human services shall seek federal
approval for any modifications to the health care reform waiver
necessary to implement the asset standard changes in sections 21
to 23, and 28.
Sec. 71. [REPORT ON RULE 101 CHANGE.]
The commissioner shall report to the legislature any
increase in participation of dental services providers in the
public assistance programs due to the change in the provider
participation requirements under the 1997 amendments to
Minnesota Statutes, section 256B.0644, by January 15, 1999.
Sec. 72. [SUNSET.]
The 1997 amendments to Minnesota Statutes, section
256B.0644, in section 33, expire on June 30, 1999.
Sec. 73. [REPEALER.]
(a) Minnesota Statutes 1996, sections 256B.057,
subdivisions 2a and 2b; and 469.154, subdivision 6, are repealed.
(b) Minnesota Statutes 1996, section 256B.0625, subdivision
13b, is repealed the day following final enactment.
(c) Minnesota Rules, part 9505.1000, is repealed.
Sec. 74. [EFFECTIVE DATE.]
(a) Sections 12 to 15, 28, and 37 are effective the day
following final enactment.
(b) Sections 43, 53, and 54 are effective July 1, 1999.
ARTICLE 5
CHILDREN'S PROGRAMS
Section 1. Minnesota Statutes 1996, section 245.4882,
subdivision 5, is amended to read:
Subd. 5. [SPECIALIZED RESIDENTIAL TREATMENT SERVICES.] The
commissioner of human services shall continue efforts to further
interagency collaboration to develop a comprehensive system of
services, including family community support and specialized
residential treatment services for children. The services shall
be designed for children with emotional disturbance who exhibit
violent or destructive behavior and for whom local treatment
services are not feasible due to the small number of children
statewide who need the services and the specialized nature of
the services required. The services shall be located in
community settings. If no appropriate services are available in
Minnesota or within the geographical area in which the residents
of the county normally do business, the commissioner is
responsible, effective July 1, 1997, for 50 percent of the
nonfederal costs of out-of-state treatment of children for whom
no appropriate resources are available in Minnesota. Counties
are eligible to receive enhanced state funding under this
section only if they have established juvenile screening teams
under section 260.151, subdivision 3, and if the out-of-state
treatment has been approved by the commissioner. By January 1,
1995, the commissioners of human services and corrections shall
jointly develop a plan, including a financing strategy, for
increasing the in-state availability of treatment within a
secure setting. By July 1, 1994, the commissioner of human
services shall also:
(1) conduct a study and develop a plan to meet the needs of
children with both a developmental disability and severe
emotional disturbance; and
(2) study the feasibility of expanding medical assistance
coverage to include specialized residential treatment for the
children described in this subdivision.
Sec. 2. Minnesota Statutes 1996, section 245.493,
subdivision 1, is amended to read:
Subdivision 1. [REQUIREMENTS TO QUALIFY AS A LOCAL
CHILDREN'S MENTAL HEALTH COLLABORATIVE.] In order to qualify as
a local children's mental health collaborative and be eligible
to receive start-up funds, the representatives of the local
system of care, including entities provided under section
245.4875, subdivision 6, and nongovernmental entities such as
parents of children in the target population; parent and
consumer organizations; community, civic, and religious
organizations; private and nonprofit mental and physical health
care providers; culturally specific organizations; local
foundations; and businesses, or at a minimum one county, one
school district or special education cooperative, and one mental
health entity, and, by July 1, 1998, one juvenile justice or
corrections entity, must agree to the following:
(1) to establish a local children's mental health
collaborative and develop an integrated service system; and
(2) to commit resources to providing services through the
local children's mental health collaborative.
Sec. 3. Minnesota Statutes 1996, section 245.493, is
amended by adding a subdivision to read:
Subd. 1a. [DUTIES OF CERTAIN COORDINATING BODIES.] By
mutual agreement of the collaborative and a coordinating body
listed in this subdivision, a children's mental health
collaborative or a collaborative established by the merger of a
children's mental health collaborative and a family services
collaborative under section 121.8355, may assume the duties of a
community transition interagency committee established under
section 120.17, subdivision 16; an interagency early
intervention committee established under 120.1701, subdivision
5; a local advisory council established under section 245.4875,
subdivision 5; or a local coordinating council established under
section 245.4875, subdivision 6.
Sec. 4. Minnesota Statutes 1996, section 256.01,
subdivision 2, is amended to read:
Subd. 2. [SPECIFIC POWERS.] Subject to the provisions of
section 241.021, subdivision 2, the commissioner of human
services shall:
(1) Administer and supervise all forms of public assistance
provided for by state law and other welfare activities or
services as are vested in the commissioner. Administration and
supervision of human services activities or services includes,
but is not limited to, assuring timely and accurate distribution
of benefits, completeness of service, and quality program
management. In addition to administering and supervising human
services activities vested by law in the department, the
commissioner shall have the authority to:
(a) require county agency participation in training and
technical assistance programs to promote compliance with
statutes, rules, federal laws, regulations, and policies
governing human services;
(b) monitor, on an ongoing basis, the performance of county
agencies in the operation and administration of human services,
enforce compliance with statutes, rules, federal laws,
regulations, and policies governing welfare services and promote
excellence of administration and program operation;
(c) develop a quality control program or other monitoring
program to review county performance and accuracy of benefit
determinations;
(d) require county agencies to make an adjustment to the
public assistance benefits issued to any individual consistent
with federal law and regulation and state law and rule and to
issue or recover benefits as appropriate;
(e) delay or deny payment of all or part of the state and
federal share of benefits and administrative reimbursement
according to the procedures set forth in section 256.017; and
(f) make contracts with and grants to public and private
agencies and organizations, both profit and nonprofit, and
individuals, using appropriated funds.
(2) Inform county agencies, on a timely basis, of changes
in statute, rule, federal law, regulation, and policy necessary
to county agency administration of the programs.
(3) Administer and supervise all child welfare activities;
promote the enforcement of laws protecting handicapped,
dependent, neglected and delinquent children, and children born
to mothers who were not married to the children's fathers at the
times of the conception nor at the births of the children;
license and supervise child-caring and child-placing agencies
and institutions; supervise the care of children in boarding and
foster homes or in private institutions; and generally perform
all functions relating to the field of child welfare now vested
in the state board of control.
(4) Administer and supervise all noninstitutional service
to handicapped persons, including those who are visually
impaired, hearing impaired, or physically impaired or otherwise
handicapped. The commissioner may provide and contract for the
care and treatment of qualified indigent children in facilities
other than those located and available at state hospitals when
it is not feasible to provide the service in state hospitals.
(5) Assist and actively cooperate with other departments,
agencies and institutions, local, state, and federal, by
performing services in conformity with the purposes of Laws
1939, chapter 431.
(6) Act as the agent of and cooperate with the federal
government in matters of mutual concern relative to and in
conformity with the provisions of Laws 1939, chapter 431,
including the administration of any federal funds granted to the
state to aid in the performance of any functions of the
commissioner as specified in Laws 1939, chapter 431, and
including the promulgation of rules making uniformly available
medical care benefits to all recipients of public assistance, at
such times as the federal government increases its participation
in assistance expenditures for medical care to recipients of
public assistance, the cost thereof to be borne in the same
proportion as are grants of aid to said recipients.
(7) Establish and maintain any administrative units
reasonably necessary for the performance of administrative
functions common to all divisions of the department.
(8) Act as designated guardian of both the estate and the
person of all the wards of the state of Minnesota, whether by
operation of law or by an order of court, without any further
act or proceeding whatever, except as to persons committed as
mentally retarded. For children under the guardianship of the
commissioner whose interests would be best served by adoptive
placement, the commissioner may contract with a licensed
child-placing agency to provide adoption services. A contract
with a licensed child-placing agency must be designed to
supplement existing county efforts and may not replace existing
county programs, unless the replacement is agreed to by the
county board and the appropriate exclusive bargaining
representative or the commissioner has evidence that child
placements of the county continue to be substantially below that
of other counties.
(9) Act as coordinating referral and informational center
on requests for service for newly arrived immigrants coming to
Minnesota.
(10) The specific enumeration of powers and duties as
hereinabove set forth shall in no way be construed to be a
limitation upon the general transfer of powers herein contained.
(11) Establish county, regional, or statewide schedules of
maximum fees and charges which may be paid by county agencies
for medical, dental, surgical, hospital, nursing and nursing
home care and medicine and medical supplies under all programs
of medical care provided by the state and for congregate living
care under the income maintenance programs.
(12) Have the authority to conduct and administer
experimental projects to test methods and procedures of
administering assistance and services to recipients or potential
recipients of public welfare. To carry out such experimental
projects, it is further provided that the commissioner of human
services is authorized to waive the enforcement of existing
specific statutory program requirements, rules, and standards in
one or more counties. The order establishing the waiver shall
provide alternative methods and procedures of administration,
shall not be in conflict with the basic purposes, coverage, or
benefits provided by law, and in no event shall the duration of
a project exceed four years. It is further provided that no
order establishing an experimental project as authorized by the
provisions of this section shall become effective until the
following conditions have been met:
(a) The proposed comprehensive plan, including estimated
project costs and the proposed order establishing the waiver,
shall be filed with the secretary of the senate and chief clerk
of the house of representatives at least 60 days prior to its
effective date.
(b) The secretary of health, education, and welfare of the
United States has agreed, for the same project, to waive state
plan requirements relative to statewide uniformity.
(c) A comprehensive plan, including estimated project
costs, shall be approved by the legislative advisory commission
and filed with the commissioner of administration.
(13) In accordance with federal requirements, establish
procedures to be followed by local welfare boards in creating
citizen advisory committees, including procedures for selection
of committee members.
(14) Allocate federal fiscal disallowances or sanctions
which are based on quality control error rates for the aid to
families with dependent children, medical assistance, or food
stamp program in the following manner:
(a) One-half of the total amount of the disallowance shall
be borne by the county boards responsible for administering the
programs. For the medical assistance and AFDC programs,
disallowances shall be shared by each county board in the same
proportion as that county's expenditures for the sanctioned
program are to the total of all counties' expenditures for the
AFDC and medical assistance programs. For the food stamp
program, sanctions shall be shared by each county board, with 50
percent of the sanction being distributed to each county in the
same proportion as that county's administrative costs for food
stamps are to the total of all food stamp administrative costs
for all counties, and 50 percent of the sanctions being
distributed to each county in the same proportion as that
county's value of food stamp benefits issued are to the total of
all benefits issued for all counties. Each county shall pay its
share of the disallowance to the state of Minnesota. When a
county fails to pay the amount due hereunder, the commissioner
may deduct the amount from reimbursement otherwise due the
county, or the attorney general, upon the request of the
commissioner, may institute civil action to recover the amount
due.
(b) Notwithstanding the provisions of paragraph (a), if the
disallowance results from knowing noncompliance by one or more
counties with a specific program instruction, and that knowing
noncompliance is a matter of official county board record, the
commissioner may require payment or recover from the county or
counties, in the manner prescribed in paragraph (a), an amount
equal to the portion of the total disallowance which resulted
from the noncompliance, and may distribute the balance of the
disallowance according to paragraph (a).
(15) Develop and implement special projects that maximize
reimbursements and result in the recovery of money to the
state. For the purpose of recovering state money, the
commissioner may enter into contracts with third parties. Any
recoveries that result from projects or contracts entered into
under this paragraph shall be deposited in the state treasury
and credited to a special account until the balance in the
account reaches $1,000,000. When the balance in the account
exceeds $1,000,000, the excess shall be transferred and credited
to the general fund. All money in the account is appropriated
to the commissioner for the purposes of this paragraph.
(16) Have the authority to make direct payments to
facilities providing shelter to women and their children
pursuant to section 256D.05, subdivision 3. Upon the written
request of a shelter facility that has been denied payments
under section 256D.05, subdivision 3, the commissioner shall
review all relevant evidence and make a determination within 30
days of the request for review regarding issuance of direct
payments to the shelter facility. Failure to act within 30 days
shall be considered a determination not to issue direct payments.
(17) Have the authority to establish and enforce the
following county reporting requirements:
(a) The commissioner shall establish fiscal and statistical
reporting requirements necessary to account for the expenditure
of funds allocated to counties for human services programs.
When establishing financial and statistical reporting
requirements, the commissioner shall evaluate all reports, in
consultation with the counties, to determine if the reports can
be simplified or the number of reports can be reduced.
(b) The county board shall submit monthly or quarterly
reports to the department as required by the commissioner.
Monthly reports are due no later than 15 working days after the
end of the month. Quarterly reports are due no later than 30
calendar days after the end of the quarter, unless the
commissioner determines that the deadline must be shortened to
20 calendar days to avoid jeopardizing compliance with federal
deadlines or risking a loss of federal funding. Only reports
that are complete, legible, and in the required format shall be
accepted by the commissioner.
(c) If the required reports are not received by the
deadlines established in clause (b), the commissioner may delay
payments and withhold funds from the county board until the next
reporting period. When the report is needed to account for the
use of federal funds and the late report results in a reduction
in federal funding, the commissioner shall withhold from the
county boards with late reports an amount equal to the reduction
in federal funding until full federal funding is received.
(d) A county board that submits reports that are late,
illegible, incomplete, or not in the required format for two out
of three consecutive reporting periods is considered
noncompliant. When a county board is found to be noncompliant,
the commissioner shall notify the county board of the reason the
county board is considered noncompliant and request that the
county board develop a corrective action plan stating how the
county board plans to correct the problem. The corrective
action plan must be submitted to the commissioner within 45 days
after the date the county board received notice of noncompliance.
(e) The final deadline for fiscal reports or amendments to
fiscal reports is one year after the date the report was
originally due. If the commissioner does not receive a report
by the final deadline, the county board forfeits the funding
associated with the report for that reporting period and the
county board must repay any funds associated with the report
received for that reporting period.
(f) The commissioner may not delay payments, withhold
funds, or require repayment under paragraph (c) or (e) if the
county demonstrates that the commissioner failed to provide
appropriate forms, guidelines, and technical assistance to
enable the county to comply with the requirements. If the
county board disagrees with an action taken by the commissioner
under paragraph (c) or (e), the county board may appeal the
action according to sections 14.57 to 14.69.
(g) Counties subject to withholding of funds under
paragraph (c) or forfeiture or repayment of funds under
paragraph (e) shall not reduce or withhold benefits or services
to clients to cover costs incurred due to actions taken by the
commissioner under paragraph (c) or (e).
(18) Allocate federal fiscal disallowances or sanctions for
audit exceptions when federal fiscal disallowances or sanctions
are based on a statewide random sample for the foster care
program under title IV-E of the Social Security Act, United
States Code, title 42, in direct proportion to each county's
title IV-E foster care maintenance claim for that period.
Sec. 5. Minnesota Statutes 1996, section 256.01, is
amended by adding a subdivision to read:
Subd. 14. [CHILD WELFARE REFORM PILOTS.] The commissioner
of human services shall encourage local reforms in the delivery
of child welfare services and is authorized to approve local
pilot programs which focus on reforming the child protection and
child welfare systems in Minnesota. Authority to approve pilots
includes authority to waive existing state rules as needed to
accomplish reform efforts. Notwithstanding section 626.556,
subdivision 10, 10b, or 10d, the commissioner may authorize
programs to use alternative methods of investigating and
assessing reports of child maltreatment, provided that the
programs comply with the provisions of section 626.556 dealing
with the rights of individuals who are subjects of reports or
investigations, including notice and appeal rights and data
practices requirements. Pilot programs must be required to
address responsibility for safety and protection of children, be
time limited, and include evaluation of the pilot program.
Sec. 6. Minnesota Statutes 1996, 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; (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; (6) any person to whom a right of appeal pursuant to
this section is given by other provision of law; or (7) an
applicant aggrieved by an adverse decision to an application for
a hardship waiver under section 256B.15; or (8) an individual or
facility determined to have maltreated a minor under section
626.556, after the individual or facility has exercised the
right to administrative reconsideration under section 626.556.
The failure to exercise the right to an administrative
reconsideration shall not be a bar to a hearing under this
section if federal law provides an individual the right to a
hearing to dispute a finding of maltreatment. 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)
or (8) is the only administrative appeal to the final lead
agency disposition determination specifically, including a
challenge to the accuracy and completeness of data under section
13.04. Hearings requested under clause (4) apply only to
incidents of maltreatment that occur on or after October 1,
1995. Hearings requested by nursing assistants in nursing homes
alleged to have maltreated a resident prior to October 1, 1995,
shall be held as a contested case proceeding under the
provisions of chapter 14. Hearings requested under clause (8)
apply only to incidents of maltreatment that occur on or after
July 1, 1997. A hearing for an individual or facility under
clause (8) is only available when there is no juvenile court or
adult criminal action pending. If such action is filed in
either court while an administrative review is pending, the
administrative review must be suspended until the judicial
actions are completed. If the juvenile court action or criminal
charge is dismissed or the criminal action overturned, the
matter may be considered in an administrative hearing.
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. 7. Minnesota Statutes 1996, section 256.045,
subdivision 3b, is amended to read:
Subd. 3b. [STANDARD OF EVIDENCE FOR MALTREATMENT
HEARINGS.] The state human services referee shall determine that
maltreatment has occurred if a preponderance of evidence exists
to support the final disposition under section sections 626.556
and 626.557.
The state human services referee shall recommend an order
to the commissioner of health or human services, as applicable,
who shall issue a final order. The commissioner shall affirm,
reverse, or modify the final disposition. Any order of the
commissioner issued in accordance with this subdivision is
conclusive upon the parties unless appeal is taken in the manner
provided in subdivision 7. In any licensing appeal under
chapter 245A and sections 144.50 to 144.58 and 144A.02 to
144A.46, the commissioner's findings determination as to whether
maltreatment occurred is conclusive.
Sec. 8. Minnesota Statutes 1996, section 256.045,
subdivision 4, is amended to read:
Subd. 4. [CONDUCT OF HEARINGS.] (a) All hearings held
pursuant to subdivision 3, 3a, 3b, or 4a shall be conducted
according to the provisions of the federal Social Security Act
and the regulations implemented in accordance with that act to
enable this state to qualify for federal grants-in-aid, and
according to the rules and written policies of the commissioner
of human services. County agencies shall install equipment
necessary to conduct telephone hearings. A state human services
referee may schedule a telephone conference hearing when the
distance or time required to travel to the county agency offices
will cause a delay in the issuance of an order, or to promote
efficiency, or at the mutual request of the parties. Hearings
may be conducted by telephone conferences unless the applicant,
recipient, former recipient, person, or facility contesting
maltreatment objects. The hearing shall not be held earlier
than five days after filing of the required notice with the
county or state agency. The state human services referee shall
notify all interested persons of the time, date, and location of
the hearing at least five days before the date of the hearing.
Interested persons may be represented by legal counsel or other
representative of their choice, including a provider of therapy
services, at the hearing and may appear personally, testify and
offer evidence, and examine and cross-examine witnesses. The
applicant, recipient, former recipient, person, or facility
contesting maltreatment shall have the opportunity to examine
the contents of the case file and all documents and records to
be used by the county or state agency at the hearing at a
reasonable time before the date of the hearing and during the
hearing. In cases alleging discharge for maltreatment, In
hearings under subdivision 3, paragraph (a), clauses (4) and
(8), either party may subpoena the private data relating to the
investigation memorandum prepared by the lead agency under
section 626.556 or 626.557 that is not otherwise accessible
under section 13.04, provided the name identity of the reporter
may not be disclosed.
(b) The private data obtained by subpoena in a hearing
under subdivision 3, paragraph (a), clause (4) or (8), must be
subject to a protective order which prohibits its disclosure for
any other purpose outside the hearing provided for in this
section without prior order of the district court. Disclosure
without court order is punishable by a sentence of not more than
90 days imprisonment or a fine of not more than $700, or both.
These restrictions on the use of private data do not prohibit
access to the data under section 13.03, subdivision 6. Except
for appeals under subdivision 3, paragraph (a), clauses (4),
(5), and (8), upon request, the county agency shall provide
reimbursement for transportation, child care, photocopying,
medical assessment, witness fee, and other necessary and
reasonable costs incurred by the applicant, recipient, or former
recipient in connection with the appeal, except in appeals
brought under subdivision 3b. All evidence, except that
privileged by law, commonly accepted by reasonable people in the
conduct of their affairs as having probative value with respect
to the issues shall be submitted at the hearing and such hearing
shall not be "a contested case" within the meaning of section
14.02, subdivision 3. The agency must present its evidence
prior to or at the hearing, and may not submit evidence after
the hearing except by agreement of the parties at the hearing,
provided the recipient petitioner has the opportunity to respond.
Sec. 9. Minnesota Statutes 1996, section 256.045,
subdivision 5, is amended to read:
Subd. 5. [ORDERS OF THE COMMISSIONER OF HUMAN SERVICES.]
This subdivision does not apply to appeals under subdivision
3b. A state human services referee shall conduct a hearing on
the appeal and shall recommend an order to the commissioner of
human services. The recommended order must be based on all
relevant evidence and must not be limited to a review of the
propriety of the state or county agency's action. A referee may
take official notice of adjudicative facts. The commissioner of
human services may accept the recommended order of a state human
services referee and issue the order to the county agency and
the applicant, recipient, former recipient, or prepaid health
plan. The commissioner on refusing to accept the recommended
order of the state human services referee, shall notify the
county petitioner, the agency and the applicant, recipient,
former recipient, or prepaid health plan of that fact and shall
state reasons therefor and shall allow each party ten days' time
to submit additional written argument on the matter. After the
expiration of the ten-day period, the commissioner shall issue
an order on the matter to the county petitioner, the agency and
the applicant, recipient, former recipient, or prepaid health
plan.
A party aggrieved by an order of the commissioner may
appeal under subdivision 7, or request reconsideration by the
commissioner within 30 days after the date the commissioner
issues the order. The commissioner may reconsider an order upon
request of any party or on the commissioner's own motion. A
request for reconsideration does not stay implementation of the
commissioner's order. Upon reconsideration, the commissioner
may issue an amended order or an order affirming the original
order.
Any order of the commissioner issued under this subdivision
shall be conclusive upon the parties unless appeal is taken in
the manner provided by subdivision 7. Any order of the
commissioner is binding on the parties and must be implemented
by the state agency or, a county agency, or a prepaid health
plan according to subdivision 3a, until the order is reversed by
the district court, or unless the commissioner or a district
court orders monthly assistance or aid or services paid or
provided under subdivision 10.
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 or seek judicial review of an order issued
under this section, unless assisting a recipient as provided in
subdivision 4. A prepaid health plan is a party to an appeal
under subdivision 3a, but cannot seek judicial review of an
order issued under this section.
Sec. 10. Minnesota Statutes 1996, section 256.045,
subdivision 8, is amended to read:
Subd. 8. [HEARING.] Any party may obtain a hearing at a
special term of the district court by serving a written notice
of the time and place of the hearing at least ten days prior to
the date of the hearing. Except for appeals under subdivision
3b, The court may consider the matter in or out of chambers, and
shall take no new or additional evidence unless it determines
that such evidence is necessary for a more equitable disposition
of the appeal.
Sec. 11. Minnesota Statutes 1996, section 256.82, is
amended by adding a subdivision to read:
Subd. 5. [DIFFICULTY OF CARE ASSESSMENT PILOT
PROJECT.] Notwithstanding any law to the contrary, the
commissioner of human services shall conduct a two-year
statewide pilot project beginning July 1, 1997, to conduct a
difficulty of care assessment process which both assesses an
individual child's current functioning and identifies needs in a
variety of life situations. The pilot project must take into
consideration existing difficulty of care payments so that, to
the extent possible, no child for whom a difficulty of care rate
is currently established will be adversely affected. The pilot
project must include an evaluation and an interim report to the
legislature by January 15, 1999.
Sec. 12. Minnesota Statutes 1996, section 256F.04,
subdivision 1, is amended to read:
Subdivision 1. [FAMILY PRESERVATION FUND.] The
commissioner shall establish a family preservation fund to
assist counties in providing placement prevention and family
reunification services. This fund shall include a basic grant
for family preservation services, a placement earnings grant
under section 256.8711, subdivision 6b, paragraph (a), and a
development grant under section 256.8711, subdivision 6a, to
assist counties in developing and expanding their family
preservation core services as defined in section 256F.03,
subdivision 10. Beginning with calendar year 1998, after each
annual or quarterly calculation, these three component grants
shall be added together and treated as a single family
preservation grant.
Sec. 13. Minnesota Statutes 1996, section 256F.04,
subdivision 2, is amended to read:
Subd. 2. [FORMS AND INSTRUCTIONS.] The commissioner shall
provide necessary forms and instructions to the counties for
their community social services plan, as required in section
256E.09, that incorporate the information necessary to apply for
a family preservation fund grant, and to exercise county options
under section 256F.05, subdivisions 7, paragraph (a), or
subdivision 8, paragraph (c).
Sec. 14. Minnesota Statutes 1996, section 256F.05,
subdivision 2, is amended to read:
Subd. 2. [MONEY AVAILABLE FOR THE BASIC GRANT FAMILY
PRESERVATION.] Money appropriated for family preservation under
sections 256F.04 to 256F.07, together with an amount as
determined by the commissioner of title IV-B funds distributed
to Minnesota according to the Social Security Act, United States
Code, title 42, chapter 7, subchapter IV, part B, section 621,
must be distributed to counties on a calendar year basis
according to the formula in subdivision 3.
Sec. 15. Minnesota Statutes 1996, section 256F.05,
subdivision 3, is amended to read:
Subd. 3. [BASIC GRANT FORMULA.] (a) The amount of money
allocated to counties under subdivision 2 shall first be
allocated in amounts equal to each county's guaranteed floor
according to paragraph (b), and second, any remaining available
funds allocated as follows:
(1) 90 50 percent of the funds shall be allocated based on
the population of the county under age 19 years as compared to
the state as a whole as determined by the most recent data from
the state demographer's office; and
(2) ten 20 percent of funds shall be allocated based on the
county's percentage share of the unduplicated number of families
who received family preservation services under section 256F.03,
subdivision 5, paragraphs (a), (b), (c), and (e), in the most
recent calendar year available as determined by the
commissioner;
(3) ten percent of the funds shall be allocated based on
the county's percentage share of the unduplicated number of
children in substitute care in the most recent calendar year
available as determined by the commissioner;
(4) ten percent of the funds shall be allocated based on
the county's percentage share of the number of determined
maltreatment reports in the most recent calendar year available
as determined by the commissioner;
(5) five percent of the funds shall be allocated based on
the county's percentage share of the number of American Indian
children under age 18 residing in the county in the most recent
calendar year as determined by the commissioner; and
(6) five percent of the funds shall be allocated based on
the county's percentage share of the number of minority children
of color receiving children's case management services as
defined by the commissioner based on the most recent data as
determined by the commissioner.
(b) Each county's basic grant guaranteed floor shall be
calculated as follows:
(1) 90 percent of the county's allocation received in the
preceding calendar year. For calendar year 1996 only, the
allocation received in the preceding calendar year shall be
determined by the commissioner based on the funding previously
distributed as separate grants under sections 256F.04 to 256F.07
or $25,000, whichever is greater; and
(2) when the amounts of funds available for allocation is
less than the amount available in the previous year, each
county's previous year allocation shall be reduced in proportion
to the reduction in the statewide funding, for the purpose of
establishing the guaranteed floor.
(c) The commissioner shall regularly review the use of
family preservation fund allocations by county. The
commissioner may reallocate unexpended or unencumbered money at
any time among those counties that have expended or are
projected to expend their full allocation.
(d) For the period of July 1, 1997, to December 31, 1998,
only, each county shall receive an 18-month allocation. For the
purposes of determining the guaranteed floor for this 18-month
allocation, the allocation received in the preceding calendar
year shall be determined by the commissioner based on the
funding previously distributed separately under sections
256.8711 and 256F.04.
Sec. 16. Minnesota Statutes 1996, section 256F.05,
subdivision 4, is amended to read:
Subd. 4. [PAYMENTS.] The commissioner shall make grant
payments to each county whose biennial community social services
plan has been approved under section 256F.04, subdivision 2.
The basic grant under subdivisions 2 and 3 and the development
grant under section 256.8711, subdivision 6a, shall be paid to
counties in four installments per year. The commissioner may
certify the payments for the first three months of a calendar
year. Subsequent payments shall be based on reported
expenditures and may be adjusted for anticipated spending
patterns. The placement earnings grant under section 256.8711,
subdivision 6b, paragraph (a), shall be based on earnings and
coordinated with the other payments. In calendar years 1996 and
1997, the placement earnings grant and the development grant
shall be distributed separately from the basic grant, except as
provided in subdivision 7, paragraph (a). Beginning with
calendar year 1998, after each annual or quarterly calculation,
these three component grants shall be added together into a
single family preservation fund grant and treated as a single
grant.
Sec. 17. Minnesota Statutes 1996, section 256F.05,
subdivision 8, is amended to read:
Subd. 8. [USES OF FAMILY PRESERVATION FUND GRANTS.] For
both basic grants and single family preservation fund grants:
(a) A county which has not demonstrated that year that its
family preservation core services are developed as provided in
subdivision 1a, must use its family preservation fund grant
exclusively for family preservation services defined in section
256F.03, subdivision 5, paragraphs (a), (b), (c), and (e).
(b) A county which has demonstrated that year that its
family preservation core services are developed becomes eligible
either to continue using its family preservation fund grant as
provided in paragraph (a), or to exercise the expanded service
option under paragraph (c).
(c) The expanded service option permits an eligible county
to use its family preservation fund grant for child welfare
preventative preventive services as defined in section 256F.10,
subdivision 7, paragraph (d). For purposes of this section,
child welfare preventive services are those services directed
toward a specific child or family that further the goals of
section 256F.01 and include assessments, family preservation
services, service coordination, community-based treatment,
crisis nursery services when the parents retain custody and
there is no voluntary placement agreement with a child-placing
agency, respite care except when it is provided under a medical
assistance waiver, home-based services, and other related
services. For purposes of this section, child welfare
preventive services shall not include shelter care or other
placement services under the authority of the court or public
agency to address an emergency. To exercise this option, an
eligible county must notify the commissioner in writing of its
intention to do so no later than 30 days into the quarter during
which it intends to begin or in its county plan, as provided in
section 256F.04, subdivision 2. Effective with the first day of
that quarter, the county must maintain its base level of
expenditures for child welfare preventative preventive services
and use the family preservation fund to expand them. The base
level of expenditures for a county shall be that established
under section 256F.10, subdivision 7. For counties which have
no such base established, a comparable base shall be established
with the base year being the calendar year ending at least two
calendar quarters before the first calendar quarter in which the
county exercises its expanded service option. The commissioner
shall, at the request of the counties, reduce, suspend, or
eliminate either or both of a county's obligations to continue
the base level of expenditures and to expand child welfare
preventative preventive services based on conditions described
in section 256F.10, subdivision 7, paragraph (b) or (c) under
extraordinary circumstances.
(d) Each county's placement earnings and development grant
shall be determined under section 256.8711, but after each
annual or quarterly calculation, if added to that county's basic
grant, the three component grants shall be treated as a single
family preservation fund grant.
Sec. 18. Minnesota Statutes 1996, section 256F.06,
subdivision 1, is amended to read:
Subdivision 1. [RESPONSIBILITIES.] A county board may,
alone or in combination with other county boards, apply for a
family preservation fund grant as provided in section 256F.04,
subdivision 2. Upon approval of the grant, the county board may
contract for or directly provide family-based and other eligible
services. A county board may contract with or directly provide
eligible services to children and families through a local
collaborative.
Sec. 19. Minnesota Statutes 1996, section 256F.06,
subdivision 2, is amended to read:
Subd. 2. [DEVELOPING FAMILY PRESERVATION CORE SERVICES.] A
county board shall endeavor to develop and expand its family
preservation core services. When a county can demonstrate that
its family preservation core services are developed as provided
in section 256F.05, subdivision 1a, a county board becomes
eligible to exercise the expanded service option under section
256F.05, subdivision 8, paragraph (c). For calendar years 1996
and 1997, the county board also becomes eligible to request that
its basic, placement earnings, and development grants be added
into a single grant under section 256F.05, subdivision 7,
paragraph (a).
Sec. 20. Minnesota Statutes 1996, section 256F.11,
subdivision 2, is amended to read:
Subd. 2. [FUND DISTRIBUTION.] In distributing funds, the
commissioner shall give priority consideration to agencies and
organizations with experience in working with abused or
neglected children and their families, and with children at high
risk of abuse and neglect and their families, and serve
communities which demonstrate the greatest need for these
services. Funds shall be distributed to crisis nurseries
according to a formula developed by the commissioner in
consultation with the Minnesota crisis nursery association.
This formula shall include funding for all existing crisis
nursery programs that meet program requirements as specified in
paragraph (a), and consideration of factors reflecting the need
for services in each service area, including, but not limited
to, the number of children 18 years of age and under living in
the service area, the percent of children 18 years of age and
under living in poverty in the service area, and factors
reflecting the cost of providing services, including, but not
limited to, the number of days of service provided in the
previous year. At least 25 percent of available funds for state
fiscal year 1998 shall be set aside to accomplish any of the
following: establish new crisis nursery programs; increase
statewide availability of crisis nursery services; and enhance
or expand services at existing crisis nursery programs.
(a) The crisis nurseries must:
(1) be available 24 hours a day, seven days a week;
(2) provide services for children up to three days at any
one time;
(3) make referrals for parents to counseling services and
other community resources to help alleviate the underlying cause
of the precipitating stress or crisis;
(4) provide services without a fee for a maximum of 30 days
in any year;
(5) provide services to children from birth to 12 years of
age;
(6) provide an initial assessment and intake interview
conducted by a skilled professional who will identify the
presenting problem and make an immediate referral to an
appropriate agency or program to prevent maltreatment and
out-of-home placement of children;
(7) maintain the clients' confidentiality to the extent
required by law, and also comply with statutory reporting
requirements which may mandate a report to child protective
services;
(8) contain a volunteer component;
(9) provide preservice training and ongoing training to
providers and volunteers;
(10) evaluate the services provided by documenting use of
services, the result of family referrals made to community
resources, and how the services reduced the risk of
maltreatment;
(11) provide age appropriate programming;
(12) provide developmental assessments;
(13) provide medical assessments as determined by using a
risk screening tool;
(14) meet United States Department of Agriculture
regulations concerning meals and provide three meals a day and
three snacks during a 24-hour period; and
(15) provide appropriate sleep and nap arrangements for
children.
(b) The crisis nurseries are encouraged to provide:
(1) on-site support groups for facility model programs, or
agency sponsored parent support groups for volunteer family
model programs;
(2) parent education classes or programs that include
parent-child interaction; and
(3) opportunities for parents to volunteer, if appropriate,
to assist with child care in a supervised setting in order to
enhance their parenting skills and self-esteem, in addition to
providing them the opportunity to give something back to the
program.
(c) Parents shall retain custody of their children during
placement in a crisis facility.
The crisis nurseries are encouraged to include one or more
parents who have used the crisis nursery services on the
program's multidisciplinary advisory board.
Sec. 21. [257.85] [RELATIVE CUSTODY ASSISTANCE.]
Subdivision 1. [CITATION.] This section may be cited as
the "Relative Custody Assistance Act."
Subd. 2. [SCOPE.] The provisions of this section apply to
those situations in which the legal and physical custody of a
child is established with a relative according to section
260.191, subdivision 3b, by a court order issued on or after
July 1, 1997.
Subd. 3. [DEFINITIONS.] For purposes of this section, the
terms defined in this subdivision have the meanings given them.
(a) "AFDC or MFIP standard" means the monthly standard of
need used to calculate assistance under the AFDC program, the
transitional standard used to calculate assistance under the
MFIP-S program, or, if neither of those is applicable, the
analogous transitional standard used to calculate assistance
under the MFIP or MFIP-R programs.
(b) "Local agency" means the local social service agency
with legal custody of a child prior to the transfer of permanent
legal and physical custody to a relative.
(c) "Permanent legal and physical custody" means permanent
legal and physical custody ordered by a Minnesota juvenile court
under section 260.191, subdivision 3b.
(d) "Relative" means an individual, other than a parent,
who is related to a child by blood, marriage, or adoption.
(e) "Relative custodian" means a relative of a child for
whom the relative has permanent legal and physical custody.
(f) "Relative custody assistance agreement" means an
agreement entered into between a local agency and the relative
of a child who has been or will be awarded permanent legal and
physical custody of the child.
(g) "Relative custody assistance payment" means a monthly
cash grant made to a relative custodian pursuant to a relative
custody assistance agreement and in an amount calculated under
subdivision 7.
(h) "Remains in the physical custody of the relative
custodian" means that the relative custodian is providing
day-to-day care for the child and that the child lives with the
relative custodian; absence from the relative custodian's home
for a period of more than 120 days raises a presumption that the
child no longer remains in the physical custody of the relative
custodian.
Subd. 4. [DUTIES OF LOCAL AGENCY.] (a) When a local agency
seeks a court order under section 260.191, subdivision 3b, to
establish permanent legal and physical custody of a child with a
relative, or if such an order is issued by the court, the local
agency shall perform the duties in this subdivision.
(b) As soon as possible after the local agency determines
that it will seek to establish permanent legal and physical
custody of the child with a relative or, if the agency did not
seek to establish custody, as soon as possible after the
issuance of the court order establishing custody, the local
agency shall inform the relative about the relative custody
assistance program, including eligibility criteria and payment
levels. Anytime prior to, but not later than seven days after,
the date the court issues the order establishing permanent legal
and physical custody of the child with a relative, the local
agency shall determine whether the eligibility criteria in
subdivision 6 are met to allow the relative to receive relative
custody assistance. Not later than seven days after determining
whether the eligibility criteria are met, the local agency shall
inform the relative custodian of its determination and of the
process for appealing that determination under subdivision 9.
(c) If the local agency determines that the relative
custodian is eligible to receive relative custody assistance,
the local agency shall prepare the relative custody assistance
agreement and ensure that it meets the criteria of subdivision 6.
(d) The local agency shall make monthly payments to the
relative as set forth in the relative custody assistance
agreement. On a quarterly basis and on a form to be provided by
the commissioner, the local agency shall make claims for
reimbursement from the commissioner for relative custody
assistance payments made.
(e) For a relative custody assistance agreement that is in
place for longer than one year, and as long as the agreement
remains in effect, the local agency shall send an annual
affidavit form to the relative custodian of the eligible child
within the month before the anniversary date of the agreement.
The local agency shall monitor whether the annual affidavit is
returned by the relative custodian within 30 days following the
anniversary date of the agreement. The local agency shall
review the affidavit and any other information in its possession
to ensure continuing eligibility for relative custody assistance
and that the amount of payment made according to the agreement
is correct.
(f) When the local agency determines that a relative
custody assistance agreement should be terminated or modified,
it shall provide notice of the proposed termination or
modification to the relative custodian at least ten days before
the proposed action along with information about the process for
appealing the proposed action.
Subd. 5. [RELATIVE CUSTODY ASSISTANCE AGREEMENT.] (a) A
relative custody assistance agreement will not be effective,
unless it is signed by the local agency and the relative
custodian no later than 30 days after the date of the order
establishing permanent legal and physical custody with the
relative, except that a local agency may enter into a relative
custody assistance agreement with a relative custodian more than
30 days after the date of the order if it certifies that the
delay in entering the agreement was through no fault of the
relative custodian. There must be a separate agreement for each
child for whom the relative custodian is receiving relative
custody assistance.
(b) Regardless of when the relative custody assistance
agreement is signed by the local agency and relative custodian,
the effective date of the agreement shall be the first day of
the month following the date of the order establishing permanent
legal and physical custody or the date that the last party signs
the agreement, whichever occurs later.
(c) If MFIP-S is not the applicable program for a child at
the time that a relative custody assistance agreement is entered
on behalf of the child, when MFIP-S becomes the applicable
program, if the relative custodian had been receiving custody
assistance payments calculated based upon a different program,
the amount of relative custody assistance payment under
subdivision 7 shall be recalculated under the MFIP-S program.
(d) The relative custody assistance agreement shall be in a
form specified by the commissioner and shall include provisions
relating to the following:
(1) the responsibilities of all parties to the agreement;
(2) the payment terms, including the financial
circumstances of the relative custodian, the needs of the child,
the amount and calculation of the relative custody assistance
payments, and that the amount of the payments shall be
reevaluated annually;
(3) the effective date of the agreement, which shall also
be the anniversary date for the purpose of submitting the annual
affidavit under subdivision 8;
(4) that failure to submit the affidavit as required by
subdivision 8 will be grounds for terminating the agreement;
(5) the agreement's expected duration, which shall not
extend beyond the child's eighteenth birthday;
(6) any specific known circumstances that could cause the
agreement or payments to be modified, reduced, or terminated and
the relative custodian's appeal rights under subdivision 9;
(7) that the relative custodian must notify the local
agency within 30 days of any of the following:
(i) a change in the child's status;
(ii) a change in the relationship between the relative
custodian and the child;
(iii) a change in composition or level of income of the
relative custodian's family;
(iv) a change in eligibility or receipt of benefits under
AFDC, MFIP-S, or other assistance program; and
(v) any other change that could affect eligibility for or
amount of relative custody assistance;
(8) that failure to provide notice of a change as required
by clause (7) will be grounds for terminating the agreement;
(9) that the amount of relative custody assistance is
subject to the availability of state funds to reimburse the
local agency making the payments;
(10) that the relative custodian may choose to temporarily
stop receiving payments under the agreement at any time by
providing 30 days' notice to the local agency and may choose to
begin receiving payments again by providing the same notice but
any payments the relative custodian chooses not to receive are
forfeit; and
(11) that the local agency will continue to be responsible
for making relative custody assistance payments under the
agreement regardless of the relative custodian's place of
residence.
Subd. 6. [ELIGIBILITY CRITERIA.] A local agency shall
enter into a relative custody assistance agreement under
subdivision 5 if it certifies that the following criteria are
met:
(1) the juvenile court has determined or is expected to
determine that the child, under the former or current custody of
the local agency, cannot return to the home of the child's
parents;
(2) the court, upon determining that it is in the child's
best interests, has issued or is expected to issue an order
transferring permanent legal and physical custody of the child
to the relative; and
(3) the child either:
(i) is a member of a sibling group to be placed together;
or
(ii) has a physical, mental, emotional, or behavioral
disability that will require financial support.
When the local agency bases its certification that the
criteria in clause (1) or (2) are met upon the expectation that
the juvenile court will take a certain action, the relative
custody assistance agreement does not become effective until and
unless the court acts as expected.
Subd. 7. [AMOUNT OF RELATIVE CUSTODY ASSISTANCE
PAYMENTS.] (a) The amount of a monthly relative custody
assistance payment shall be determined according to the
provisions of this paragraph.
(1) The total maximum assistance rate is equal to the base
assistance rate plus, if applicable, the supplemental assistance
rate.
(i) The base assistance rate is equal to the maximum amount
that could be received as basic maintenance for a child of the
same age under the adoption assistance program.
(ii) The local agency shall determine whether the child has
physical, mental, emotional, or behavioral disabilities that
require care, supervision, or structure beyond that ordinarily
provided in a family setting to children of the same age such
that the child would be eligible for supplemental maintenance
payments under the adoption assistance program if an adoption
assistance agreement were entered on the child's behalf. If the
local agency determines that the child has such a disability,
the supplemental assistance rate shall be the maximum amount of
monthly supplemental maintenance payment that could be received
on behalf of a child of the same age, disabilities, and
circumstances under the adoption assistance program.
(2) The net maximum assistance rate is equal to the total
maximum assistance rate from clause (1) less the following
offsets:
(i) if the child is or will be part of an assistance unit
receiving an AFDC, MFIP-S, or other MFIP grant, the portion of
the AFDC or MFIP standard relating to the child;
(ii) Supplemental Security Income payments received by or
on behalf of the child;
(iii) veteran's benefits received by or on behalf of the
child; and
(iv) any other income of the child, including child support
payments made on behalf of the child.
(3) The relative custody assistance payment to be made to
the relative custodian shall be a percentage of the net maximum
assistance rate calculated in clause (2) based upon the gross
income of the relative custodian's family, including the child
for whom the relative has permanent legal and physical custody.
In no case shall the amount of the relative custody assistance
payment exceed that which the child could qualify for under the
adoption assistance program if an adoption assistance agreement
were entered on the child's behalf. The relative custody
assistance payment shall be calculated as follows:
(i) if the relative custodian's gross family income is less
than or equal to 200 percent of federal poverty guidelines, the
relative custody assistance payment shall be the full amount of
the net maximum assistance rate;
(ii) if the relative custodian's gross family income is
greater than 200 percent and less than or equal to 225 percent
of federal poverty guidelines, the relative custody assistance
payment shall be 80 percent of the net maximum assistance rate;
(iii) if the relative custodian's gross family income is
greater than 225 percent and less than or equal to 250 percent
of federal poverty guidelines, the relative custody assistance
payment shall be 60 percent of the net maximum assistance rate;
(iv) if the relative custodian's gross family income is
greater than 250 percent and less than or equal to 275 percent
of federal poverty guidelines, the relative custody assistance
payment shall be 40 percent of the net maximum assistance rate;
(v) if the relative custodian's gross family income is
greater than 275 percent and less than or equal to 300 percent
of federal poverty guidelines, the relative custody assistance
payment shall be 20 percent of the net maximum assistance rate;
or
(vi) if the relative custodian's gross family income is
greater than 300 percent of federal poverty guidelines, no
relative custody assistance payment shall be made.
(b) This paragraph specifies the provisions pertaining to
the relationship between relative custody assistance and AFDC,
MFIP-S, or other MFIP programs:
(1) the relative custodian of a child for whom the relative
is receiving relative custody assistance is expected to seek
whatever assistance is available for the child through the AFDC,
MFIP-S, or other MFIP programs. If a relative custodian fails
to apply for assistance through AFDC, MFIP-S, or other MFIP
program for which the child is eligible, the child's portion of
the AFDC or MFIP standard will be calculated as if application
had been made and assistance received;
(2) the portion of the AFDC or MFIP standard relating to
each child for whom relative custody assistance is being
received shall be calculated as follows:
(i) determine the total AFDC or MFIP standard for the
assistance unit;
(ii) determine the amount that the AFDC or MFIP standard
would have been if the assistance unit had not included the
children for whom relative custody assistance is being received;
(iii) subtract the amount determined in item (ii) from the
amount determined in item (i); and
(iv) divide the result in item (iii) by the number of
children for whom relative custody assistance is being received
that are part of the assistance unit; or
(3) if a child for whom relative custody assistance is
being received is not eligible for assistance through the AFDC,
MFIP-S, or other MFIP programs, the portion of AFDC or MFIP
standard relating to that child shall be equal to zero.
Subd. 8. [ANNUAL AFFIDAVIT.] When a relative custody
assistance agreement remains in effect for more than one year,
the local agency shall require the relative custodian to
annually submit an affidavit in a form to be specified by the
commissioner. The affidavit must be submitted to the local
agency each year no later than 30 days after the relative
custody assistance agreement's anniversary date. The affidavit
shall document the following:
(1) that the child remains in the physical custody of the
relative custodian;
(2) that there is a continuing need for the relative
custody assistance payments due to the child's physical, mental,
emotional, or behavioral needs; and
(3) the current gross income of the relative custodian's
family.
The relative custody assistance agreement may be modified
based on information or documentation presented to the local
agency under this requirement and as required by annual
adjustments to the federal poverty guidelines.
Subd. 9. [RIGHT OF APPEAL.] A relative custodian who
enters into a relative custody assistance agreement with a local
agency has the right to appeal to the commissioner according to
section 256.045 when the local agency establishes, denies,
terminates, or modifies the agreement. Upon appeal, the
commissioner may review only:
(1) whether the local agency has met the legal requirements
imposed by this chapter for establishing, denying, terminating,
or modifying the agreement;
(2) whether the amount of the relative custody assistance
payment was correctly calculated under the method in subdivision
7;
(3) whether the local agency paid for correct time periods
under the relative custody assistance agreement;
(4) whether the child remains in the physical custody of
the relative custodian;
(5) whether the local agency correctly calculated the
amount of the supplemental assistance rate based on a change in
the child's physical, mental, emotional, or behavioral needs,
the relative custodian's failure to document the continuing need
for the supplemental assistance rate after the local agency has
requested such documentation; and
(6) whether the local agency correctly calculated or
terminated the amount of relative custody assistance based on
the relative custodian's failure to provide documentation of the
gross income of the relative custodian's family after the local
agency has requested such documentation.
Subd. 10. [CHILD'S COUNTY OF RESIDENCE.] For the purposes
of the unitary residency act under chapter 256G, time spent by a
child in the custody of a relative custodian receiving payments
under this section is not excluded time. A child is a resident
of the county where the relative custodian is a resident.
Subd. 11. [FINANCIAL CONSIDERATIONS.] (a) Payment of
relative custody assistance under a relative custody assistance
agreement is subject to the availability of state funds and
payments may be reduced or suspended on order of the
commissioner if insufficient funds are available.
(b) Upon receipt from a local agency of a claim for
reimbursement, the commissioner shall reimburse the local agency
in an amount equal to 100 percent of the relative custody
assistance payments provided to relative custodians. The local
agency may not seek and the commissioner shall not provide
reimbursement for the administrative costs associated with
performing the duties described in subdivision 4.
(c) For the purposes of determining eligibility or payment
amounts under the AFDC, MFIP-S, and other MFIP programs,
relative custody assistance payments shall be considered
excluded income.
Sec. 22. Minnesota Statutes 1996, section 393.07,
subdivision 2, is amended to read:
Subd. 2. [ADMINISTRATION OF PUBLIC WELFARE.] The local
social services agency, subject to the supervision of the
commissioner of human services, shall administer all forms of
public welfare, both for children and adults, responsibility for
which now or hereafter may be imposed on the commissioner of
human services by law, including general assistance, aid to
dependent children, county supplementation, if any, or state aid
to recipients of supplemental security income for aged, blind
and disabled, child welfare services, mental health services,
and other public assistance or public welfare services, provided
that the local social services agency shall not employ public
health nursing or home health service personnel other than
homemaker-home help aides, but shall contract for or purchase
the necessary services from existing community agencies. The
duties of the local social services agency shall be performed in
accordance with the standards and rules which may be promulgated
by the commissioner of human services to achieve the purposes
intended by law and in order to comply with the requirements of
the federal Social Security Act in respect to public assistance
and child welfare services, so that the state may qualify for
grants-in-aid available under that act. To avoid administrative
penalties under section 256.017, the local social services
agency must comply with (1) policies established by state law
and (2) instructions from the commissioner relating (i) to
public assistance program policies consistent with federal law
and regulation and state law and rule and (ii) to local agency
program operations. The commissioner may enforce local social
services agency compliance with the instructions, and may delay,
withhold, or deny payment of all or part of the state and
federal share of benefits and federal administrative
reimbursement, according to the provisions under section
256.017. The local social services agency shall supervise wards
of the commissioner and, when so designated, act as agent of the
commissioner of human services in the placement of the
commissioner's wards in adoptive homes or in other foster care
facilities. The local social services agency shall cooperate as
needed when the commissioner contracts with a licensed child
placement agency for adoption services for a child under the
commissioner's guardianship. The local social services agency
may contract with a bank or other financial institution to
provide services associated with the processing of public
assistance checks and pay a service fee for these services,
provided the fee charged does not exceed the fee charged to
other customers of the institution for similar services.
Sec. 23. Minnesota Statutes 1996, section 466.01,
subdivision 1, is amended to read:
Subdivision 1. [MUNICIPALITY.] For the purposes of
sections 466.01 to 466.15, "municipality" means any city,
whether organized under home rule charter or otherwise, any
county, town, public authority, public corporation, nonprofit
firefighting corporation that has associated with it a relief
association as defined in section 424A.001, subdivision 4,
special district, school district, however organized, county
agricultural society organized pursuant to chapter 38, joint
powers board or organization created under section 471.59 or
other statute, public library, regional public library system,
multicounty multitype library system, family services
collaborative established under section 121.8355, children's
mental health collaboratives established under sections 245.491
to 245.496, or a collaborative established by the merger of a
children's mental health collaborative and a family services
collaborative, other political subdivision, or community action
agency.
Sec. 24. Minnesota Statutes 1996, section 471.59,
subdivision 11, is amended to read:
Subd. 11. [JOINT POWERS BOARD.] (a) Two or more
governmental units, through action of their governing bodies, by
adoption of a joint powers agreement that complies with the
provisions of subdivisions 1 to 5, may establish a joint board
to issue bonds or obligations under any law by which any of the
governmental units establishing the joint board may
independently issue bonds or obligations and may use the
proceeds of the bonds or obligations to carry out the purposes
of the law under which the bonds or obligations are issued. A
joint board established under this section may issue obligations
and other forms of indebtedness only in accordance with express
authority granted by the action of the governing bodies of the
governmental units that established the joint board. Except as
provided in paragraph (b), the joint board established under
this subdivision must be composed solely of members of the
governing bodies of the governmental unit that established the
joint board. A joint board established under this subdivision
may not pledge the full faith and credit or taxing power of any
of the governmental units that established the joint board. The
obligations or other forms of indebtedness must be obligations
of the joint board issued on behalf of the governmental units
creating the joint board. The obligations or other forms of
indebtedness must be issued in the same manner and subject to
the same conditions and limitations that would apply if the
obligations were issued or indebtedness incurred by one of the
governmental units that established the joint board, provided
that any reference to a governmental unit in the statute, law,
or charter provision authorizing the issuance of the bonds or
the incurring of the indebtedness is considered a reference to
the joint board.
(b) Notwithstanding paragraph (a), one school district, one
county, and one public health entity, through action of their
governing bodies, may establish a joint board to establish and
govern a family services collaborative under section 121.8355.
The school district, county, and public health entity may
include other governmental entities at their discretion. The
membership of a board established under this paragraph, in
addition to members of the governing bodies of the participating
governmental units, must include the representation required by
section 121.8355, subdivision 1, paragraph (a), selected in
accordance with section 121.8355, subdivision 1, paragraph (c).
(c) Notwithstanding paragraph (a), counties, school
districts, and mental health entities, through action of their
governing bodies, may establish a joint board to establish and
govern a children's mental health collaborative under sections
245.491 to 245.496, or a collaborative established by the merger
of a children's mental health collaborative and a family
services collaborative under section 121.8355. The county,
school district, and mental health entities may include other
entities at their discretion. The membership of a board
established under this paragraph, in addition to members of the
governing bodies of the participating governmental units, must
include the representation provided by section 245.493,
subdivision 1.
Sec. 25. Minnesota Statutes 1996, section 626.556,
subdivision 10b, is amended to read:
Subd. 10b. [DUTIES OF COMMISSIONER; NEGLECT OR ABUSE IN A
FACILITY.] (a) The commissioner shall immediately investigate if
the report alleges that:
(1) a child who is in the care of a facility as defined in
subdivision 2 is neglected, physically abused, or sexually
abused by an individual in that facility, or has been so
neglected or abused by an individual in that facility within the
three years preceding the report; or
(2) a child was neglected, physically abused, or sexually
abused by an individual in a facility defined in subdivision 2,
while in the care of that facility within the three years
preceding the report.
The commissioner shall arrange for the transmittal to the
commissioner of reports received by local agencies and may
delegate to a local welfare agency the duty to investigate
reports. In conducting an investigation under this section, the
commissioner has the powers and duties specified for local
welfare agencies under this section. The commissioner or local
welfare agency may interview any children who are or have been
in the care of a facility under investigation and their parents,
guardians, or legal custodians.
(b) Prior to any interview, the commissioner or local
welfare agency shall notify the parent, guardian, or legal
custodian of a child who will be interviewed in the manner
provided for in subdivision 10d, paragraph (a). If reasonable
efforts to reach the parent, guardian, or legal custodian of a
child in an out-of-home placement have failed, the child may be
interviewed if there is reason to believe the interview is
necessary to protect the child or other children in the
facility. The commissioner or local agency must provide the
information required in this subdivision to the parent,
guardian, or legal custodian of a child interviewed without
parental notification as soon as possible after the interview.
When the investigation is completed, any parent, guardian, or
legal custodian notified under this subdivision shall receive
the written memorandum provided for in subdivision 10d,
paragraph (c).
(c) In conducting investigations under this subdivision the
commissioner or local welfare agency shall obtain access to
information consistent with subdivision 10, paragraphs (h), (i),
and (j).
(d) Except for foster care and family child care, the
commissioner has the primary responsibility for the
investigations and notifications required under subdivisions 10d
and 10f for reports that allege maltreatment related to the care
provided by or in facilities licensed by the commissioner. The
commissioner may request assistance from the local social
service agency.
Sec. 26. Minnesota Statutes 1996, section 626.556,
subdivision 10d, is amended to read:
Subd. 10d. [NOTIFICATION OF NEGLECT OR ABUSE IN A
FACILITY.] (a) When a report is received that alleges neglect,
physical abuse, or sexual abuse of a child while in the care of
a facility required to be licensed pursuant to sections 245A.01
to 245A.16 chapter 245A, the commissioner or local welfare
agency investigating the report shall provide the following
information to the parent, guardian, or legal custodian of a
child alleged to have been neglected, physically abused, or
sexually abused: the name of the facility; the fact that a
report alleging neglect, physical abuse, or sexual abuse of a
child in the facility has been received; the nature of the
alleged neglect, physical abuse, or sexual abuse; that the
agency is conducting an investigation; any protective or
corrective measures being taken pending the outcome of the
investigation; and that a written memorandum will be provided
when the investigation is completed.
(b) The commissioner or local welfare agency may also
provide the information in paragraph (a) to the parent,
guardian, or legal custodian of any other child in the facility
if the investigative agency knows or has reason to believe the
alleged neglect, physical abuse, or sexual abuse has occurred.
In determining whether to exercise this authority, the
commissioner or local welfare agency shall consider the
seriousness of the alleged neglect, physical abuse, or sexual
abuse; the number of children allegedly neglected, physically
abused, or sexually abused; the number of alleged perpetrators;
and the length of the investigation. The facility shall be
notified whenever this discretion is exercised.
(c) When the commissioner or local welfare agency has
completed its investigation, every parent, guardian, or legal
custodian notified of the investigation by the commissioner or
local welfare agency shall be provided with the following
information in a written memorandum: the name of the facility
investigated; the nature of the alleged neglect, physical abuse,
or sexual abuse; the investigator's name; a summary of the
investigation findings; a statement whether maltreatment was
found; and the protective or corrective measures that are being
or will be taken. The memorandum shall be written in a manner
that protects the identity of the reporter and the child and
shall not contain the name, or to the extent possible, reveal
the identity of the alleged perpetrator or of those interviewed
during the investigation. The commissioner or local welfare
agency shall also provide the written memorandum to the parent,
guardian, or legal custodian of each child in the facility if
maltreatment is determined to exist.
Sec. 27. Minnesota Statutes 1996, section 626.556,
subdivision 10e, is amended to read:
Subd. 10e. [DETERMINATIONS.] Upon the conclusion of every
assessment or investigation it conducts, the local welfare
agency shall make two determinations: first, whether
maltreatment has occurred; and second, whether child protective
services are needed. When maltreatment is determined in an
investigation involving a facility, the investigating agency
shall also determine whether the facility or individual was
responsible for the maltreatment using the mitigating factors in
paragraph (d). Determinations under this subdivision must be
made based on a preponderance of the evidence.
(a) For the purposes of this subdivision, "maltreatment"
means any of the following acts or omissions committed by a
person responsible for the child's care:
(1) physical abuse as defined in subdivision 2, paragraph
(d);
(2) neglect as defined in subdivision 2, paragraph (c);
(3) sexual abuse as defined in subdivision 2, paragraph
(a); or
(4) mental injury as defined in subdivision 2, paragraph
(k).
(b) For the purposes of this subdivision, a determination
that child protective services are needed means that the local
welfare agency has documented conditions during the assessment
or investigation sufficient to cause a child protection worker,
as defined in section 626.559, subdivision 1, to conclude that a
child is at significant risk of maltreatment if protective
intervention is not provided and that the individuals
responsible for the child's care have not taken or are not
likely to take actions to protect the child from maltreatment or
risk of maltreatment.
(c) This subdivision does not mean that maltreatment has
occurred solely because the child's parent, guardian, or other
person responsible for the child's care in good faith selects
and depends upon spiritual means or prayer for treatment or care
of disease or remedial care of the child, in lieu of medical
care. However, if lack of medical care may result in serious
danger to the child's health, the local welfare agency may
ensure that necessary medical services are provided to the child.
(d) When determining whether the facility or individual is
the responsible party for determined maltreatment in a facility,
the investigating agency shall consider at least the following
mitigating factors:
(1) whether the actions of the facility or the individual
caregivers were according to, and followed the terms of, an
erroneous physician order, prescription, individual care plan,
or directive; however, this is not a mitigating factor when the
facility or caregiver was responsible for the issuance of the
erroneous order, prescription, individual care plan, or
directive or knew or should have known of the errors and took no
reasonable measures to correct the defect before administering
care;
(2) comparative responsibility between the facility, other
caregivers, and requirements placed upon an employee, including
the facility's compliance with related regulatory standards and
the adequacy of facility policies and procedures, facility
training, an individual's participation in the training, the
caregiver's supervision, and facility staffing levels and the
scope of the individual employee's authority and discretion; and
(3) whether the facility or individual followed
professional standards in exercising professional judgment.
Sec. 28. Minnesota Statutes 1996, section 626.556,
subdivision 10f, is amended to read:
Subd. 10f. [NOTICE OF DETERMINATIONS.] Within ten working
days of the conclusion of an assessment, the local welfare
agency shall notify the parent or guardian of the child, the
person determined to be maltreating the child, and if
applicable, the director of the facility, of the determination
and a summary of the specific reasons for the determination.
The notice must also include a certification that the
information collection procedures under subdivision 10,
paragraphs (h), (i), and (j), were followed and a notice of the
right of a data subject to obtain access to other private data
on the subject collected, created, or maintained under this
section. In addition, the notice shall include the length of
time that the records will be kept under subdivision 11c. When
there is no determination of either maltreatment or a need for
services, the notice shall also include the alleged
perpetrator's right to have the records destroyed. The
investigating agency shall notify the designee of the child who
is the subject of the report, and any person or facility
determined to have maltreated a child, of their appeal rights
under this section.
Sec. 29. Minnesota Statutes 1996, section 626.556, is
amended by adding a subdivision to read:
Subd. 10i. [ADMINISTRATIVE RECONSIDERATION OF THE FINAL
DETERMINATION OF MALTREATMENT.] (a) An individual or facility
that the commissioner or a local social service agency
determines has maltreated a child, or the child's designee,
regardless of the determination, who contests the investigating
agency's final determination regarding maltreatment, may request
the investigating agency to reconsider its final determination
regarding maltreatment. The request for reconsideration must be
submitted in writing to the investigating agency within 15
calendar days after receipt of notice of the final determination
regarding maltreatment.
(b) If the investigating agency denies the request or fails
to act upon the request within 15 calendar days after receiving
the request for reconsideration, the person or facility entitled
to a fair hearing under section 256.045 may submit to the
commissioner of human services a written request for a hearing
under that section.
(c) If, as a result of the reconsideration, the
investigating agency changes the final determination of
maltreatment, that agency shall notify the parties specified in
subdivisions 10b, 10d, and 10f.
Sec. 30. Minnesota Statutes 1996, section 626.556,
subdivision 11c, is amended to read:
Subd. 11c. [WELFARE, COURT SERVICES AGENCY, AND SCHOOL
RECORDS MAINTAINED.] Notwithstanding sections 138.163 and
138.17, records maintained or records derived from reports of
abuse by local welfare agencies, court services agencies, or
schools under this section shall be destroyed as provided in
paragraphs (a) to (d) by the responsible authority.
(a) If upon assessment or investigation there is no
determination of maltreatment or the need for child protective
services, the records may be maintained for a period of four
years. After the individual alleged to have maltreated a child
is notified under subdivision 10f of the determinations at the
conclusion of the assessment or investigation, upon that
individual's request, records shall be destroyed within 30
days or after the appeal rights under subdivision 10i have been
concluded, whichever is later.
(b) All records relating to reports which, upon assessment
or investigation, indicate either maltreatment or a need for
child protective services shall be maintained for at least ten
years after the date of the final entry in the case record.
(c) All records regarding a report of maltreatment,
including any notification of intent to interview which was
received by a school under subdivision 10, paragraph (d), shall
be destroyed by the school when ordered to do so by the agency
conducting the assessment or investigation. The agency shall
order the destruction of the notification when other records
relating to the report under investigation or assessment are
destroyed under this subdivision.
(d) Private or confidential data released to a court
services agency under subdivision 10h must be destroyed by the
court services agency when ordered to do so by the local welfare
agency that released the data. The local welfare agency shall
order destruction of the data when other records relating to the
assessment or investigation are destroyed under this subdivision.
Sec. 31. Minnesota Statutes 1996, section 626.558,
subdivision 1, is amended to read:
Subdivision 1. [ESTABLISHMENT OF THE TEAM.] A county shall
establish a multidisciplinary child protection team that may
include, but not be limited to, the director of the local
welfare agency or designees, the county attorney or designees,
the county sheriff or designees, representatives of health and
education, representatives of mental health or other appropriate
human service or community-based agencies, and parent groups.
As used in this section, a "community-based agency" may include,
but is not limited to, schools, social service agencies, family
service and mental health collaboratives, early childhood and
family education programs, Head Start, or other agencies serving
children and families.
Sec. 32. Minnesota Statutes 1996, section 626.558,
subdivision 2, is amended to read:
Subd. 2. [DUTIES OF TEAM.] A multidisciplinary child
protection team may provide public and professional education,
develop resources for prevention, intervention, and treatment,
and provide case consultation to the local welfare agency to
better enable the agency to carry out its child protection
functions under section 626.556 and the community social
services act. or other interested community-based agencies. The
community-based agencies may request case consultation from the
multidisciplinary child protection team regarding a child or
family for whom the community-based agency is providing
services. As used in this section, "case consultation" means a
case review process in which recommendations are made concerning
services to be provided to the identified children and family.
Case consultation may be performed by a committee or
subcommittee of members representing human services, including
mental health and chemical dependency; law enforcement,
including probation and parole; the county attorney; health
care; education; community-based agencies and other necessary
agencies; and persons directly involved in an individual case as
designated by other members performing case consultation.
Sec. 33. Minnesota Statutes 1996, section 626.559,
subdivision 5, is amended to read:
Subd. 5. [TRAINING REVENUE.] The commissioner of human
services shall add the following funds to the funds appropriated
under section 626.5591, subdivision 2, to develop and support
training:
(a) The commissioner of human services shall submit claims
for federal reimbursement earned through the activities and
services supported through department of human services child
protection or child welfare training funds. Federal revenue
earned must be used to improve and expand training services by
the department. The department expenditures eligible for
federal reimbursement under this section must not be made from
federal funds or funds used to match other federal funds.
(b) Each year, the commissioner of human services shall
withhold from funds distributed to each county under Minnesota
Rules, parts 9550.0300 to 9550.0370, an amount equivalent to 1.5
percent of each county's annual Title XX allocation under
section 256E.07. The commissioner must use these funds to
ensure decentralization of training.
(c) The federal revenue earned under this subdivision is
available for these purposes until the funds are expended.
Sec. 34. [EVALUATION REPORT REQUIRED.]
The commissioner shall report the results of the evaluation
required under section 5 to the chairs of the house of
representatives and senate health and human services policy
committees by January 15, 1999.
Sec. 35. [UNIFORM CONTRIBUTION SCHEDULE FOR OUT-OF-HOME
PLACEMENT; REPORT.]
The commissioner of human services shall prepare
recommendations and report to the 1998 legislature regarding a
uniform relative contribution schedule to reimburse costs
associated with out-of-home placement. The commissioner shall
use the child support guidelines in Minnesota Statutes, chapter
518, as the basis for the uniform contribution schedule. The
recommendations and report are due December 1, 1997.
Sec. 36. [MALTREATMENT OF MINORS ADVISORY COMMITTEE.]
The commissioner of human services, with the cooperation of
the commissioners of health and children, families, and learning
and the attorney general, shall establish an advisory committee
to review the Maltreatment of Minors Act, Minnesota Statutes,
section 626.556, to determine whether existing state policy and
procedures for protecting children who are at risk of
maltreatment in the home, school, or community are effective.
The committee shall include consumers, advocacy and
provider organizations, county practitioners and administrators,
school districts, law enforcement agencies, communities of
color, professional associations, labor organizations, office of
the ombudsman for mental health and mental retardation, and the
commissioners of health, human services, and children, families,
and learning.
In making recommendations, the advisory committee shall
review all services and protections available under existing
state and federal laws with the focus on eliminating duplication
of effort among various local, state, and federal agencies and
minimizing possible conflicts of interest by establishing a
statewide process of coordination of responsibilities. The
advisory committee shall submit a report to the legislature by
February 15, 1998, that includes a detailed plan with specific
law, rule, or administrative procedure changes to implement the
recommendations.
Sec. 37. [TRANSFER TO COMMISSIONER OF CHILDREN, FAMILIES,
AND LEARNING; REVISOR INSTRUCTION.]
Effective July 1, 1997, all duties and funding related to
family visitation centers under Minnesota Statutes, section
256F.09, are transferred to the commissioner of children,
families, and learning. In the next edition of Minnesota
Statutes, the revisor of statutes shall renumber Minnesota
Statutes, section 256F.09, in Minnesota Statutes, chapter 119A.
Sec. 38. [REPEALER.]
Minnesota Statutes 1996, section 256F.05, subdivisions 5
and 7, are repealed.
ARTICLE 6
CHILD SUPPORT ENFORCEMENT
Section 1. Minnesota Statutes 1996, section 13.46,
subdivision 2, is amended to read:
Subd. 2. [GENERAL.] (a) Unless the data is summary data or
a statute specifically provides a different classification, data
on individuals collected, maintained, used, or disseminated by
the welfare system is private data on individuals, and shall not
be disclosed except:
(1) pursuant to section 13.05;
(2) pursuant to court order;
(3) pursuant to a statute specifically authorizing access
to the private data;
(4) to an agent of the welfare system, including a law
enforcement person, attorney, or investigator acting for it in
the investigation or prosecution of a criminal or civil
proceeding relating to the administration of a program;
(5) to personnel of the welfare system who require the data
to determine eligibility, amount of assistance, and the need to
provide services of additional programs to the individual;
(6) to administer federal funds or programs;
(7) between personnel of the welfare system working in the
same program;
(8) the amounts of cash public assistance and relief paid
to welfare recipients in this state, including their names,
social security numbers, income, addresses, and other data as
required, upon request by the department of revenue to
administer the property tax refund law, supplemental housing
allowance, early refund of refundable tax credits, and the
income tax. "Refundable tax credits" means the dependent care
credit under section 290.067, the Minnesota working family
credit under section 290.0671, the property tax refund under
section 290A.04, and, if the required federal waiver or waivers
are granted, the federal earned income tax credit under section
32 of the Internal Revenue Code;
(9) to the Minnesota department of economic security for
the purpose of monitoring the eligibility of the data subject
for reemployment insurance, for any employment or training
program administered, supervised, or certified by that agency,
or for the purpose of administering any rehabilitation program,
whether alone or in conjunction with the welfare system, and to
verify receipt of energy assistance for the telephone assistance
plan;
(10) to appropriate parties in connection with an emergency
if knowledge of the information is necessary to protect the
health or safety of the individual or other individuals or
persons;
(11) data maintained by residential programs as defined in
section 245A.02 may be disclosed to the protection and advocacy
system established in this state pursuant to Part C of Public
Law Number 98-527 to protect the legal and human rights of
persons with mental retardation or other related conditions who
live in residential facilities for these persons if the
protection and advocacy system receives a complaint by or on
behalf of that person and the person does not have a legal
guardian or the state or a designee of the state is the legal
guardian of the person;
(12) to the county medical examiner or the county coroner
for identifying or locating relatives or friends of a deceased
person;
(13) data on a child support obligor who makes payments to
the public agency may be disclosed to the higher education
services office to the extent necessary to determine eligibility
under section 136A.121, subdivision 2, clause (5);
(14) participant social security numbers and names
collected by the telephone assistance program may be disclosed
to the department of revenue to conduct an electronic data match
with the property tax refund database to determine eligibility
under section 237.70, subdivision 4a;
(15) the current address of a recipient of aid to families
with dependent children may be disclosed to law enforcement
officers who provide the name and social security number of the
recipient and satisfactorily demonstrate that: (i) the
recipient is a fugitive felon, including the grounds for this
determination; (ii) the location or apprehension of the felon is
within the law enforcement officer's official duties; and (iii)
the request is made in writing and in the proper exercise of
those duties;
(16) the current address of a recipient of general
assistance, work readiness, or general assistance medical care
may be disclosed to probation officers and corrections agents
who are supervising the recipient, and to law enforcement
officers who are investigating the recipient in connection with
a felony level offense;
(17) information obtained from food stamp applicant or
recipient households may be disclosed to local, state, or
federal law enforcement officials, upon their written request,
for the purpose of investigating an alleged violation of the
food stamp act, in accordance with Code of Federal Regulations,
title 7, section 272.1(c);
(18) data on a certain information regarding child support
obligor obligors who is are in arrears may be disclosed for
purposes of publishing the data pursuant made public according
to section 518.575;
(19) data on child support payments made by a child support
obligor, data on the enforcement actions undertaken by the
public authority and the status of those actions, and data on
the income of the obligor or obligee may be disclosed to the
obligee other party;
(20) data in the work reporting system may be disclosed
under section 256.998, subdivision 7;
(21) to the department of children, families, and learning
for the purpose of matching department of children, families,
and learning student data with public assistance data to
determine students eligible for free and reduced price meals,
meal supplements, and free milk pursuant to United States Code,
title 42, sections 1758, 1761, 1766, 1766a, 1772, and 1773; to
produce accurate numbers of students receiving aid to families
with dependent children as required by section 124.175; and to
allocate federal and state funds that are distributed based on
income of the student's family; or
(22) the current address and telephone number of program
recipients and emergency contacts may be released to the
commissioner of health or a local board of health as defined in
section 145A.02, subdivision 2, when the commissioner or local
board of health has reason to believe that a program recipient
is a disease case, carrier, suspect case, or at risk of illness,
and the data are necessary to locate the person; or
(23) to other state agencies, statewide systems, and
political subdivisions of this state, including the attorney
general, and agencies of other states, interstate information
networks, federal agencies, and other entities as required by
federal regulation or law for the administration of the child
support enforcement program.
(b) Information on persons who have been treated for drug
or alcohol abuse may only be disclosed in accordance with the
requirements of Code of Federal Regulations, title 42, sections
2.1 to 2.67.
(c) Data provided to law enforcement agencies under
paragraph (a), clause (15), (16), or (17), or paragraph (b), are
investigative data and are confidential or protected nonpublic
while the investigation is active. The data are private after
the investigation becomes inactive under section 13.82,
subdivision 5, paragraph (a) or (b).
(d) Mental health data shall be treated as provided in
subdivisions 7, 8, and 9, but is not subject to the access
provisions of subdivision 10, paragraph (b).
Sec. 2. Minnesota Statutes 1996, section 13.99, is amended
by adding a subdivision to read:
Subd. 101d. [CHILD SUPPORT PARTIES.] Certain data
regarding the location of parties in connection with child
support proceedings are governed by sections 256.87, subdivision
8; 257.70; and 518.005, subdivision 5. Certain data regarding
the suspension of licenses of persons owing child support are
governed by section 518.551, subdivision 13a, and certain data
on newly hired employees maintained by the public authority for
support enforcement are governed by section 256.998.
Sec. 3. [13B.06] [CHILD SUPPORT OR MAINTENANCE OBLIGOR
DATA MATCHES.]
Subdivision 1. [DEFINITIONS.] The definitions in this
subdivision apply to this section.
(a) "Account" means a demand deposit account, checking or
negotiable withdraw order account, savings account, time deposit
account, or money market mutual fund.
(b) "Account information" means the type of account, the
account number, whether the account is singly or jointly owned,
and in the case of jointly owned accounts the name and address
of the nonobligor account owner if available.
(c) "Financial institution" means any of the following that
do business within the state:
(1) federal or state commercial banks and federal or state
savings banks, including savings and loan associations and
cooperative banks;
(2) federal and state chartered credit unions;
(3) benefit associations;
(4) life insurance companies;
(5) safe deposit companies; and
(6) money market mutual funds.
(d) "Obligor" means an individual who is in arrears in
court-ordered child support or maintenance payments, or both, in
an amount equal to or greater than three times the obligor's
total monthly support and maintenance payments.
(e) "Public authority" means the public authority
responsible for child support enforcement.
Subd. 2. [DATA MATCH SYSTEM ESTABLISHED.] The commissioner
of human services shall establish a process for the comparison
of account information data held by financial institutions with
the public authority's database of child support obligors. The
commissioner shall inform the financial industry of the
requirements of this section and the means by which financial
institutions can comply. The commissioner may contract for
services to carry out this section.
Subd. 3. [DUTY TO PROVIDE DATA.] On written request by a
public authority, a financial institution shall provide to the
public authority on a quarterly basis the name, address, social
security number, tax identification number if known, and all
account information for each obligor who maintains an account at
the financial institution.
Subd. 4. [METHOD TO PROVIDE DATA.] To comply with the
requirements of this section, a financial institution may either:
(1) provide to the public authority a list containing only
the names and other necessary personal identifying information
of all account holders for the public authority to compare
against its list of child support obligors for the purpose of
identifying which obligors maintain an account at the financial
institution; the names of the obligors who maintain an account
at the institution shall then be transmitted to the financial
institution which shall provide the public authority with
account information on those obligors; or
(2) obtain a list of child support obligors from the public
authority and compare that data to the data maintained at the
financial institution to identify which of the identified
obligors maintains an account at the financial institution.
A financial institution shall elect either method in
writing upon written request of the public authority, and the
election remains in effect unless the public authority agrees in
writing to a change.
Subd. 5. [MEANS TO PROVIDE DATA.] A financial institution
may provide the required data by submitting electronic media in
a compatible format, delivering, mailing, or telefaxing a copy
of the data, or by other means authorized by the commissioner of
human services that will result in timely reporting.
Subd. 6. [ACCESS TO DATA.] (a) With regard to account
information on all account holders provided by a financial
institution under subdivision 4, clause (1), the commissioner of
human services shall retain the reported information only until
the account information is compared against the public
authority's obligor database. Notwithstanding section 138.17,
all account information that does not pertain to an obligor
listed in the public authority's database must be immediately
discarded, and no retention or publication may be made of that
data by the public authority. All account information that does
pertain to an obligor listed in the public authority's database
must be incorporated into the public authority's database.
Access to that data is governed by chapter 13.
(b) With regard to data on obligors provided by the public
authority to a financial institution under subdivision 4, clause
(2), the financial institution shall retain the reported
information only until the financial institution's database is
compared against the public authority's database. Data that do
not pertain to an account holder at the financial institution
must be immediately discarded, and no retention or publication
may be made of that data by the financial institution.
Subd. 7. [FEES.] A financial institution may charge and
collect a fee from the public authority for providing account
information to the public authority. No financial institution
shall charge or collect a fee that exceeds its actual costs of
complying with this section. The commissioner, together with an
advisory group consisting of representatives of the financial
institutions in the state, shall determine a fee structure that
minimizes the cost to the state and reasonably meets the needs
of the financial institutions, and shall report to the chairs of
the judiciary committees in the house of representatives and the
senate by February 1, 1998, a recommended fee structure for
inclusion in this section.
Subd. 8. [FAILURE TO RESPOND TO REQUEST FOR
INFORMATION.] The public authority shall send by certified mail
a written notice of noncompliance to a financial institution
that fails to respond to a first written request for information
under this section. The notice of noncompliance must explain
the requirements of this section and advise the financial
institution of the penalty for noncompliance. A financial
institution that receives a second notice of noncompliance is
subject to a civil penalty of $1,000 for its failure to comply.
A financial institution that continues to fail to comply with
this section is subject to a civil penalty of $5,000 for the
third and each subsequent failure to comply. These penalties
may be imposed and collected by the public authority.
A financial institution that has been served with a notice
of noncompliance and incurs a second or subsequent notice of
noncompliance has the right to a contested case hearing under
chapter 14. A financial institution has 20 days from the date
of the service of the notice of noncompliance to file a request
for a contested case hearing with the commissioner. The order
of the administrative law judge constitutes the final decision
in the case.
Subd. 9. [IMMUNITY.] A financial institution that provides
or reasonably attempts to provide information to the public
authority in compliance with this section is not liable to any
person for disclosing the information or for taking any other
action in good faith as authorized by this section or chapter
552.
Subd. 10. [CIVIL ACTION FOR UNAUTHORIZED DISCLOSURE BY
FINANCIAL INSTITUTION.] (a) An account holder may bring a civil
action in district court against a financial institution for
unauthorized disclosure of data received from the public
authority under subdivision 4, clause (2). A financial
institution found to have violated this subdivision shall be
liable as provided in paragraph (b) or (c).
(b) Any financial institution that willfully and
maliciously discloses data received from the public authority
under subdivision 4 is liable to that account holder in an
amount equal to the sum of:
(1) any actual damages sustained by the consumer as a
result of the disclosure; and
(2) in the case of any successful action to enforce any
liability under this section, the costs of the action taken plus
reasonable attorney's fees as determined by the court.
(c) Any financial institution that negligently discloses
data received from the public authority under subdivision 4 is
liable to that account holder in an amount equal to any actual
damages sustained by the account holder as a result of the
disclosure.
(d) A financial institution may not be held liable in any
action brought under this subdivision if the financial
institution shows, by a preponderance of evidence, that the
disclosure was not intentional and resulted from a bona fide
error notwithstanding the maintenance of procedures reasonably
adapted to avoid any error.
Sec. 4. Minnesota Statutes 1996, section 144.223, is
amended to read:
144.223 [REPORT OF MARRIAGE.]
Data relating to certificates of marriage registered shall
be reported to the state registrar by the local registrars
pursuant to the rules of the commissioner. The information
necessary to compile the report shall be furnished by the
applicant prior to the issuance of the marriage license. The
report shall contain the following information:
A. Personal information on bride and groom:
1. Name;
2. Residence;
3. Date and place of birth;
4. Race;
5. If previously married, how terminated;
6. Signature of applicant and date signed, and social
security number.
B. Information concerning the marriage:
1. Date of marriage;
2. Place of marriage;
3. Civil or religious ceremony.
Sec. 5. [256.741] [CHILD SUPPORT AND MAINTENANCE.]
Subdivision 1. [PUBLIC ASSISTANCE.] (a) The term "public
assistance" as used in this chapter and chapters 257, 518, and
518C, includes any form of assistance provided under AFDC, MFIP,
and MFIP-R under chapter 256, MFIP-S under chapter 256J, and
work first under chapter 256K; child care assistance provided
through the child care fund according to chapter 119B; any form
of medical assistance under chapter 256B; MinnesotaCare under
chapter 256; and foster care as provided under Title IV-E of the
Social Security Act.
(b) The term "child support agency" as used in this section
refers to the public authority responsible for child support
enforcement.
(c) The term "public assistance agency" as used in this
section refers to a public authority providing public assistance
to an individual.
Subd. 2. [ASSIGNMENT OF SUPPORT AND MAINTENANCE
RIGHTS.] (a) An individual receiving public assistance in the
form of assistance under AFDC, MFIP-S, MFIP-R, MFIP, and work
first is considered to have assigned to the state at the time of
application all rights to child support and maintenance from any
other person the applicant or recipient may have in the
individual's own behalf or in the behalf of any other family
member for whom application for public assistance is made. An
assistance unit is ineligible for aid to families with dependent
children or its successor program unless the caregiver assigns
all rights to child support and spousal maintenance benefits
according to this section.
(1) An assignment made according to this section is
effective as to:
(i) any current child support and current spousal
maintenance; and
(ii) any accrued child support and spousal maintenance
arrears.
(2) An assignment made after September 30, 1997, is
effective as to:
(i) any current child support and current spousal
maintenance;
(ii) any accrued child support and spousal maintenance
arrears collected before October 1, 2000, or the date the
individual terminates assistance, whichever is later; and
(iii) any accrued child support and spousal maintenance
arrears collected under federal tax intercept.
(b) An individual receiving public assistance in the form
of medical assistance, including MinnesotaCare, is considered to
have assigned to the state at the time of application all rights
to medical support from any other person the individual may have
in the individual's own behalf or in the behalf of any other
family member for whom medical assistance is provided.
An assignment made after September 30, 1997, is effective
as to any medical support accruing after the date of medical
assistance or MinnesotaCare eligibility.
(c) An individual receiving public assistance in the form
of child care assistance under the child care fund pursuant to
chapter 119B is considered to have assigned to the state at the
time of application all rights to child care support from any
other person the individual may have in the individual's own
behalf or in the behalf of any other family member for whom
child care assistance is provided.
An assignment made according to this paragraph is effective
as to:
(1) any current child care support and any child care
support arrears assigned and accruing after the effective date
of this section that are collected before October 1, 2000; and
(2) any accrued child care support arrears collected under
federal tax intercept.
Subd. 3. [EXISTING ASSIGNMENTS.] Assignments based on the
receipt of public assistance in existence prior to the effective
date of this section are permanently assigned to the state.
Subd. 4. [EFFECT OF ASSIGNMENT.] Assignments in this
section take effect upon a determination that the applicant is
eligible for public assistance. The amount of support assigned
under this subdivision may not exceed the total amount of public
assistance issued or the total support obligation, whichever is
less.
Subd. 5. [COOPERATION WITH CHILD SUPPORT
ENFORCEMENT.] After notification from a public assistance agency
that an individual has applied for or is receiving any form of
public assistance, the child support agency shall determine
whether the party is cooperating with the agency in establishing
paternity, child support, modification of an existing child
support order, or enforcement of an existing child support
order. The public assistance agency shall notify each applicant
or recipient in writing of the right to claim a good cause
exemption from cooperating with the requirements in this
section. A copy of the notice must be furnished to the
applicant or recipient, and the applicant or recipient and a
representative from the public authority shall acknowledge
receipt of the notice by signing and dating a copy of the
notice. The individual shall cooperate with the child support
agency by:
(1) providing all known information regarding the alleged
father or obligor, including name, address, social security
number, telephone number, place of employment or school, and the
names and addresses of any relatives;
(2) appearing at interviews, hearings and legal
proceedings;
(3) submitting to genetic tests including genetic testing
of the child, under a judicial or administrative order; and
(4) providing additional information known by the
individual as necessary for cooperating in good faith with the
child support agency.
The caregiver of a minor child must cooperate with the
efforts of the public authority to collect support according to
this subdivision. A caregiver must forward to the public
authority all support the caregiver receives during the period
the assignment of support required under subdivision 2 is in
effect. Support received by a caregiver and not forwarded to
the public authority must be repaid to the child support
enforcement unit for any month following the date on which
initial eligibility is determined, except as provided under
subdivision 8, paragraph (b), clause (4).
Subd. 6. [DETERMINATION.] If the individual cannot provide
the information required in subdivision 5, before making a
determination that the individual is cooperating, the child
support agency shall make a finding that the individual could
not reasonably be expected to provide the information. In
making this finding, the child support agency shall consider:
(1) the age of the child for whom support is being sought;
(2) the circumstances surrounding the conception of the
child;
(3) the age and mental capacity of the parent or caregiver
of the child for whom support is being sought;
(4) the time period that has expired since the parent or
caregiver of the child for whom support is sought last had
contact with the alleged father or obligor, or the person's
relatives; and
(5) statements from the applicant or recipient or other
individuals that show evidence of an inability to provide
correct information about the alleged father or obligor because
of deception by the alleged father or obligor.
Subd. 7. [NONCOOPERATION.] Unless good cause is found to
exist under subdivision 10, upon a determination of
noncooperation by the child support agency, the agency shall
promptly notify the individual and each public assistance agency
providing public assistance to the individual that the
individual is not cooperating with the child support agency.
Upon notice of noncooperation, the individual shall be
sanctioned in the amount determined according to the public
assistance agency responsible for enforcing the sanction.
Subd. 8. [REFUSAL TO COOPERATE WITH SUPPORT
REQUIREMENTS.] (a) Failure by a caregiver to satisfy any of the
requirements of subdivision 5 constitutes refusal to cooperate,
and the sanctions under paragraph (b) apply. The IV-D agency
must determine whether a caregiver has refused to cooperate
according to subdivision 5.
(b) Determination by the IV-D agency that a caregiver has
refused to cooperate has the following effects:
(1) a caregiver is subject to the applicable sanctions
under section 256J.46;
(2) a caregiver who is not a parent of a minor child in an
assistance unit may choose to remove the child from the
assistance unit unless the child is required to be in the
assistance unit;
(3) a parental caregiver who refuses to cooperate is
ineligible for medical assistance; and
(4) direct support retained by a caregiver must be counted
as unearned income when determining the amount of the assistance
payment.
Subd. 9. [GOOD CAUSE EXEMPTION FROM COOPERATING WITH
SUPPORT REQUIREMENTS.] The IV-A or IV-D agency must notify the
caregiver that the caregiver may claim a good cause exemption
from cooperating with the requirements in subdivision 5. Good
cause may be claimed and exemptions determined according to
subdivisions 10 to 13.
Subd. 10. [GOOD CAUSE EXEMPTION.] (a) Cooperation with the
child support agency under subdivision 5 is not necessary if the
individual asserts, and both the child support agency and the
public assistance agency find, good cause exists under this
subdivision for failing to cooperate. An individual may request
a good cause exemption by filing a written claim with the public
assistance agency on a form provided by the commissioner of
human services. Upon notification of a claim for good cause
exemption, the child support agency shall cease all child
support enforcement efforts until the claim for good cause
exemption is reviewed and the validity of the claim is
determined. Designated representatives from public assistance
agencies and at least one representative from the child support
enforcement agency shall review each claim for a good cause
exemption and determine its validity.
(b) Good cause exists when an individual documents that
pursuit of child support enforcement services could reasonably
result in:
(1) physical or emotional harm to the child for whom
support is sought;
(2) physical harm to the parent or caregiver with whom the
child is living that would reduce the ability to adequately care
for the child; or
(3) emotional harm to the parent or caregiver with whom the
child is living, of such nature or degree that it would reduce
the person's ability to adequately care for the child.
Physical and emotional harm under this paragraph must be of
a serious nature in order to justify a finding of good cause
exemption. A finding of good cause exemption based on emotional
harm may only be based upon a demonstration of emotional
impairment that substantially affects the individual's ability
to function.
(c) Good cause also exists when the designated
representatives in this subdivision believe that pursuing child
support enforcement would be detrimental to the child for whom
support is sought and the individual applicant or recipient
documents any of the following:
(1) the child for whom child support enforcement is sought
was conceived as a result of incest or rape;
(2) legal proceedings for the adoption of the child are
pending before a court of competent jurisdiction; or
(3) the parent or caregiver of the child is currently being
assisted by a public or licensed private social service agency
to resolve the issues of whether to keep the child or place the
child for adoption.
The parent or caregiver's right to claim a good cause
exemption based solely on this paragraph expires if the
assistance lasts more than 90 days.
(d) The public authority shall consider the best interests
of the child in determining good cause.
Subd. 11. [PROOF OF GOOD CAUSE.] (a) An individual seeking
a good cause exemption has 20 days from the date the good cause
claim was provided to the public assistance agency to supply
evidence supporting the claim. The public assistance agency may
extend the time period in this section if it believes the
individual is cooperating and needs additional time to submit
the evidence required by this section. Failure to provide this
evidence shall result in the child support agency resuming child
support enforcement efforts.
(b) Evidence supporting a good cause claim includes, but is
not limited to:
(1) a birth certificate or medical or law enforcement
records indicating that the child was conceived as the result of
incest or rape;
(2) court documents or other records indicating that legal
proceedings for adoption are pending before a court of competent
jurisdiction;
(3) court, medical, criminal, child protective services,
social services, domestic violence advocate services,
psychological, or law enforcement records indicating that the
alleged father or obligor might inflict physical or emotional
harm on the child, parent, or caregiver;
(4) medical records or written statements from a licensed
medical professional indicating the emotional health history or
status of the custodial parent, child, or caregiver, or
indicating a diagnosis or prognosis concerning their emotional
health;
(5) a written statement from a public or licensed private
social services agency that the individual is deciding whether
to keep the child or place the child for adoption; or
(6) sworn statements from individuals other than the
applicant or recipient that provide evidence supporting the good
cause claim.
(c) The child support agency and the public assistance
agency shall assist an individual in obtaining the evidence in
this section upon request of the individual.
Subd. 12. [DECISION.] A good cause exemption must be
granted if the individual's claim and the investigation of the
supporting evidence satisfy the investigating agencies that the
individual has good cause for refusing to cooperate.
Subd. 13. [DURATION.] (a) A good cause exemption may not
continue for more than one year without redetermination of
cooperation and good cause pursuant to this section. The child
support agency may redetermine cooperation and the designated
representatives in subdivision 10 may redetermine the granting
of a good cause exemption before the one year expiration in this
subdivision.
(b) A good cause exemption must be allowed under subsequent
applications and redeterminations without additional evidence
when the factors that led to the exemption continue to exist. A
good cause exemption must end when the factors that led to the
exemption have changed.
Subd. 14. [TRAINING.] The commissioner shall establish
domestic violence and sexual abuse training programs for child
support agency employees. The training programs must be
developed in consultation with experts on domestic violence and
sexual assault. To the extent possible, representatives of the
child support agency involved in making a determination of
cooperation under subdivision 6 or reviewing a claim for good
cause exemption under subdivision 9 shall receive training in
accordance with this subdivision.
Sec. 6. Minnesota Statutes 1996, section 256.87,
subdivision 1, is amended to read:
Subdivision 1. [ACTIONS AGAINST PARENTS FOR ASSISTANCE
FURNISHED.] A parent of a child is liable for the amount
of public assistance, as defined in section 256.741, furnished
under sections 256.031 to 256.0361, 256.72 to 256.87, or under
Title IV-E of the Social Security Act or medical assistance
under chapter 256, 256B, or 256D to and for the benefit of the
child, including any assistance furnished for the benefit of the
caretaker of the child, which the parent has had the ability to
pay. Ability to pay must be determined according to chapter
518. The parent's liability is limited to the two years
immediately preceding the commencement of the action, except
that where child support has been previously ordered, the state
or county agency providing the assistance, as assignee of the
obligee, shall be entitled to judgments for child support
payments accruing within ten years preceding the date of the
commencement of the action up to the full amount of assistance
furnished. The action may be ordered by the state agency or
county agency and shall be brought in the name of the county by
the county attorney of the county in which the assistance was
granted, or by in the name of the state agency against the
parent for the recovery of the amount of assistance granted,
together with the costs and disbursements of the action.
Sec. 7. Minnesota Statutes 1996, section 256.87,
subdivision 1a, is amended to read:
Subd. 1a. [CONTINUING SUPPORT CONTRIBUTIONS.] In addition
to granting the county or state agency a money judgment, the
court may, upon a motion or order to show cause, order
continuing support contributions by a parent found able to
reimburse the county or state agency. The order shall be
effective for the period of time during which the recipient
receives public assistance from any county or state agency and
thereafter. The order shall require support according to
chapter 518. An order for continuing contributions is
reinstated without further hearing upon notice to the parent by
any county or state agency that public assistance, as defined in
section 256.741, is again being provided for the child of the
parent under sections 256.031 to 256.0361, 256.72 to 256.87, or
under Title IV-E of the Social Security Act or medical
assistance under chapter 256, 256B, or 256D. The notice shall
be in writing and shall indicate that the parent may request a
hearing for modification of the amount of support or maintenance.
Sec. 8. Minnesota Statutes 1996, section 256.87,
subdivision 3, is amended to read:
Subd. 3. [CONTINUING CONTRIBUTIONS TO FORMER RECIPIENT.]
The order for continuing support contributions shall remain in
effect following the period after public assistance, as defined
in section 256.741, granted under sections 256.72 to 256.87 is
terminated unless the former recipient files an affidavit with
the court requesting termination of the order.
Sec. 9. Minnesota Statutes 1996, section 256.87,
subdivision 5, is amended to read:
Subd. 5. [CHILD NOT RECEIVING ASSISTANCE.] A person or
entity having physical custody of a dependent child not
receiving public assistance under sections 256.031 to 256.0361,
or 256.72 to 256.87 as defined in section 256.741 has a cause of
action for child support against the child's absent noncustodial
parents. Upon a motion served on the absent noncustodial
parent, the court shall order child support payments, including
medical support and child care support, from the
absent noncustodial parent under chapter 518. The absent A
noncustodial parent's liability may include up to the two years
immediately preceding the commencement of the action. This
subdivision applies only if the person or entity has physical
custody with the consent of a custodial parent or approval of
the court.
Sec. 10. Minnesota Statutes 1996, section 256.87, is
amended by adding a subdivision to read:
Subd. 8. [DISCLOSURE PROHIBITED.] Notwithstanding
statutory or other authorization for the public authority to
release private data on the location of a party to the action,
information on the location of one party may not be released to
the other party by the public authority if:
(1) the public authority has knowledge that a protective
order with respect to the other party has been entered; or
(2) the public authority has reason to believe that the
release of the information may result in physical or emotional
harm to the other party.
Sec. 11. Minnesota Statutes 1996, section 256.978,
subdivision 1, is amended to read:
Subdivision 1. [REQUEST FOR INFORMATION.] (a) The
commissioner of human services public authority responsible for
child support in this state or any other state, in order to
locate a person to establish paternity, and child support or to
modify or enforce child support, or to enforce a child support
obligation in arrears, may request information reasonably
necessary to the inquiry from the records of all departments,
boards, bureaus, or other agencies of this state, which shall,
notwithstanding the provisions of section 268.12, subdivision
12, or any other law to the contrary, provide the information
necessary for this purpose. Employers, utility companies,
insurance companies, financial institutions, and labor
associations doing business in this state shall provide
information as provided under subdivision 2 upon written or
electronic request by an agency responsible for child support
enforcement regarding individuals owing or allegedly owing a
duty to support within 30 days of the receipt service of the
written request made by the public authority. Information
requested and used or transmitted by the commissioner pursuant
according to the authority conferred by this section may be made
available only to public officials and agencies of this state
and its political subdivisions and other states of the union and
their political subdivisions who are seeking to enforce the
support liability of parents or to locate parents. The
commissioner may not release the information to an agency or
political subdivision of another state unless the agency or
political subdivision is directed to maintain the data
consistent with its classification in this state. Information
obtained under this section may not be released except to the
extent necessary for the administration of the child support
enforcement program or when otherwise authorized by law. to
other agencies, statewide systems, and political subdivisions of
this state, and agencies of other states, interstate information
networks, federal agencies, and other entities as required by
federal regulation or law for the administration of the child
support enforcement program.
(b) For purposes of this section, "state" includes the
District of Columbia, Puerto Rico, the United States Virgin
Islands, and any territory or insular possession subject to the
jurisdiction of the United States.
Sec. 12. Minnesota Statutes 1996, section 256.978,
subdivision 2, is amended to read:
Subd. 2. [ACCESS TO INFORMATION.] (a) A written request
for information by the public authority responsible for child
support of this state or any other state may be made to:
(1) employers when there is reasonable cause to believe
that the subject of the inquiry is or was an employee or
independent contractor of the employer. Information to be
released by employers is limited to place of residence,
employment status, wage or payment information, benefit
information, and social security number;
(2) utility companies when there is reasonable cause to
believe that the subject of the inquiry is or was a retail
customer of the utility company. Customer information to be
released by utility companies is limited to place of residence,
home telephone, work telephone, source of income, employer and
place of employment, and social security number;
(3) insurance companies when there is an arrearage of child
support and there is reasonable cause to believe that the
subject of the inquiry is or was receiving funds either in the
form of a lump sum or periodic payments. Information to be
released by insurance companies is limited to place of
residence, home telephone, work telephone, employer, social
security number, and amounts and type of payments made to the
subject of the inquiry;
(4) labor organizations when there is reasonable cause to
believe that the subject of the inquiry is or was a member of
the labor association. Information to be released by labor
associations is limited to place of residence, home telephone,
work telephone, social security number, and current and past
employment information; and
(5) financial institutions when there is an arrearage of
child support and there is reasonable cause to believe that the
subject of the inquiry has or has had accounts, stocks, loans,
certificates of deposits, treasury bills, life insurance
policies, or other forms of financial dealings with the
institution. Information to be released by the financial
institution is limited to place of residence, home telephone,
work telephone, identifying information on the type of financial
relationships, social security number, current value of
financial relationships, and current indebtedness of the subject
with the financial institution.
(b) For purposes of this subdivision, utility companies
include telephone companies, radio common carriers, and
telecommunications carriers as defined in section 237.01, and
companies that provide electrical, telephone, natural gas,
propane gas, oil, coal, or cable television services to retail
customers. The term financial institution includes banks,
savings and loans, credit unions, brokerage firms, mortgage
companies, and insurance companies., benefit associations, safe
deposit companies, money market mutual funds, or similar
entities authorized to do business in the state.
Sec. 13. Minnesota Statutes 1996, section 256.9792,
subdivision 1, is amended to read:
Subdivision 1. [ARREARAGE COLLECTIONS.] Arrearage
collection projects are created to increase the revenue to the
state and counties, reduce AFDC public assistance expenditures
for former public assistance cases, and increase payments of
arrearages to persons who are not receiving public assistance by
submitting cases for arrearage collection to collection
entities, including but not limited to, the department of
revenue and private collection agencies.
Sec. 14. Minnesota Statutes 1996, section 256.9792,
subdivision 2, is amended to read:
Subd. 2. [DEFINITIONS.] (a) The definitions in this
subdivision apply to this section:
(b) "Public assistance arrearage case" means a case where
current support may be due, no payment, with the exception of
tax offset, has been made within the last 90 days, and the
arrearages are assigned to the public agency pursuant according
to section 256.74, subdivision 5 256.741.
(c) "Public authority" means the public authority
responsible for child support enforcement.
(d) "Nonpublic assistance arrearage case" means a support
case where arrearages have accrued that have not been assigned
pursuant according to section 256.74, subdivision 5 256.741.
Sec. 15. Minnesota Statutes 1996, section 256.998,
subdivision 1, is amended to read:
Subdivision 1. [DEFINITIONS.] (a) The definitions in this
subdivision apply to this section.
(b) "Date of hiring" means the earlier of: (1) the first
day for which an employee is owed compensation by an employer;
or (2) the first day that an employee reports to work or
performs labor or services for an employer.
(c) "Earnings" means payment owed by an employer for labor
or services rendered by an employee.
(d) "Employee" means a person who resides or works in
Minnesota and, performs services for compensation, in whatever
form, for an employer and satisfies the criteria of an employee
under chapter 24 of the Internal Revenue Code. Employee does
not include:
(1) persons hired for domestic service in the private home
of the employer, as defined in the Federal Tax Code.; or
(2) an employee of the federal or state agency performing
intelligence or counterintelligence functions, if the head of
such agency has determined that reporting according to this law
would endanger the safety of the employee or compromise an
ongoing investigation or intelligence mission.
(e) "Employer" means a person or entity located or doing
business in this state that employs one or more employees for
payment, and satisfies the criteria of an employer under chapter
24 of the Internal Revenue Code. Employer includes a labor
organization as defined in paragraph (g). Employer also
includes the state, political or other governmental subdivisions
of the state, and the federal government.
(f) "Hiring" means engaging a person to perform services
for compensation and includes the reemploying or return to work
of any previous employee who was laid off, furloughed,
separated, granted a leave without pay, or terminated from
employment when a period of 90 days elapses from the date of
layoff, furlough, separation, leave, or termination to the date
of the person's return to work.
(g) "Labor organization" means entities located or doing
business in this state that meet the criteria of labor
organization under section 2(5) of the National Labor Relations
Act. This includes any entity, that may also be known as a
hiring hall, used to carry out requirements described in chapter
7 of the National Labor Relations Act.
(h) "Payor" means a person or entity located or doing
business in Minnesota who pays money to an independent
contractor according to an agreement for the performance of
services.
Sec. 16. Minnesota Statutes 1996, section 256.998,
subdivision 6, is amended to read:
Subd. 6. [SANCTIONS.] If an employer fails to report under
this section, the commissioner of human services, by certified
mail, shall send the employer a written notice of noncompliance
requesting that the employer comply with the reporting
requirements of this section. The notice of noncompliance must
explain the reporting procedure under this section and advise
the employer of the penalty for noncompliance. An employer who
has received a notice of noncompliance and later incurs a second
violation is subject to a civil penalty of $50 $25 for each
intentionally unreported employee. An employer who has received
a notice of noncompliance and later incurs a third or subsequent
violation is subject to a civil penalty of $500 for each
intentionally unreported employee, if noncompliance is the
result of a conspiracy between an employer and an employee not
to supply the required report or to supply a false or incomplete
report. These penalties may be imposed and collected by the
commissioner of human services. An employer who has been served
with a notice of noncompliance and incurs a second or subsequent
violation resulting in a civil penalty, has the right to a
contested case hearing under chapter 14. An employer has 20
days from the date of service of the notice, to file a request
for a contested case hearing with the commissioner. The order
of the administrative law judge constitutes the final decision
in the case.
Sec. 17. Minnesota Statutes 1996, section 256.998,
subdivision 7, is amended to read:
Subd. 7. [ACCESS TO DATA.] The commissioner of human
services shall retain the information reported to the work
reporting system for a period of six months. Data in the work
reporting system may be disclosed to the public authority
responsible for child support enforcement, federal agencies, and
state and local agencies of other states for the purposes of
enforcing state and federal laws governing child support, and
agencies responsible for the administration of programs under
Title IV-A of the Social Security Act, the department of
economic security, and the department of labor and industry.
Sec. 18. Minnesota Statutes 1996, section 256.998, is
amended by adding a subdivision to read:
Subd. 10. [USE OF WORK REPORTING SYSTEM INFORMATION IN
DETERMINING ELIGIBILITY FOR PUBLIC ASSISTANCE PROGRAMS.] The
commissioner of human services is authorized to use information
from the work reporting system to determine eligibility for
applicants and recipients of public assistance programs
administered by the department of human services. Data
including names, dates of birth, and social security numbers of
people applying for or receiving public assistance benefits will
be compared to the work reporting system information to
determine if applicants or recipients of public assistance are
employed. County agencies will be notified of discrepancies in
information obtained from the work reporting system.
Sec. 19. Minnesota Statutes 1996, section 256.998, is
amended by adding a subdivision to read:
Subd. 11. [ACTION ON INFORMATION.] Upon receipt of the
discrepant information, county agencies will notify clients of
the information and request verification of employment status
and earnings. County agencies must attempt to resolve the
discrepancy within 45 days of receipt of the information.
Sec. 20. Minnesota Statutes 1996, section 256.998, is
amended by adding a subdivision to read:
Subd. 12. [CLIENT NOTIFICATION.] Persons applying for
public assistance programs administered by the department of
human services will be notified at the time of application that
data including their name, date of birth, and social security
number will be shared with the work reporting system to
determine possible employment. All current public assistance
recipients will be notified of this provision prior to its
implementation.
Sec. 21. Minnesota Statutes 1996, section 257.62,
subdivision 1, is amended to read:
Subdivision 1. [BLOOD OR GENETIC TESTS REQUIRED.] (a) The
court or public authority may, and upon request of a party
shall, require the child, mother, or alleged father to submit to
blood or genetic tests. A mother or alleged father requesting
the tests shall file with the court an affidavit either alleging
or denying paternity and setting forth facts that establish the
reasonable possibility that there was, or was not, the requisite
sexual contact between the parties.
(b) A copy of the test results must be served on the
parties as provided in section 543.20 each party by first class
mail to the party's last known address. Any objection to the
results of blood or genetic tests must be made in writing no
later than 15 days prior to a hearing at which time those test
results may be introduced into evidence 30 days after service of
the results. Test results served upon a party must include
notice of this right to object.
(c) If the alleged father is dead, the court may, and upon
request of a party shall, require the decedent's parents or
brothers and sisters or both to submit to blood or genetic
tests. However, in a case involving these relatives of an
alleged father, who is deceased, the court may refuse to order
blood or genetic tests if the court makes an express finding
that submitting to the tests presents a danger to the health of
one or more of these relatives that outweighs the child's
interest in having the tests performed. Unless the person gives
consent to the use, the results of any blood or genetic tests of
the decedent's parents, brothers, or sisters may be used only to
establish the right of the child to public assistance including
but not limited to social security and veterans' benefits. The
tests shall be performed by a qualified expert appointed by the
court.
Sec. 22. Minnesota Statutes 1996, section 257.62,
subdivision 2, is amended to read:
Subd. 2. The court, upon reasonable request by a party,
shall order that independent tests be performed by other
qualified experts. Unless otherwise agreed by the parties, a
party wanting additional testing must first contest the original
tests in subdivision 1, paragraph (b), and must pay in advance
for the additional testing. The additional testing must be
performed by another qualified expert.
Sec. 23. Minnesota Statutes 1996, section 257.66,
subdivision 3, is amended to read:
Subd. 3. [JUDGMENT; ORDER.] The judgment or order shall
contain provisions concerning the duty of support, the custody
of the child, the name of the child, the social security number
of the mother, father, and child, if known at the time of
adjudication, visitation privileges with the child, the
furnishing of bond or other security for the payment of the
judgment, or any other matter in the best interest of the
child. Custody and visitation and all subsequent motions
related to them shall proceed and be determined under section
257.541. The remaining matters and all subsequent motions
related to them shall proceed and be determined in accordance
with chapter 518. The judgment or order may direct the
appropriate party to pay all or a proportion of the reasonable
expenses of the mother's pregnancy and confinement, after
consideration of the relevant facts, including the relative
financial means of the parents; the earning ability of each
parent; and any health insurance policies held by either parent,
or by a spouse or parent of the parent, which would provide
benefits for the expenses incurred by the mother during her
pregnancy and confinement. Pregnancy and confinement expenses
and genetic testing costs, submitted by the public authority,
are admissible as evidence without third-party foundation
testimony and constitute prima facie evidence of the amounts
incurred for those services or for the genetic testing.
Remedies available for the collection and enforcement of child
support apply to confinement costs and are considered additional
child support.
Sec. 24. Minnesota Statutes 1996, section 257.66, is
amended by adding a subdivision to read:
Subd. 6. [REQUIRED INFORMATION.] Upon entry of judgment or
order, each parent who is a party in a paternity proceeding
shall:
(1) file with the public authority responsible for child
support enforcement the party's social security number,
residential and mailing address, telephone number, driver's
license number, and name, address, and telephone number of any
employer if the party is receiving services from the public
authority or begins receiving services from the public
authority;
(2) file the information in clause (1) with the district
court; and
(3) notify the court and, if applicable, the public
authority responsible for child support enforcement of any
change in the information required under this section within ten
days of the change.
Sec. 25. Minnesota Statutes 1996, section 257.70, is
amended to read:
257.70 [HEARINGS AND RECORDS; CONFIDENTIALITY.]
(a) Notwithstanding any other law concerning public
hearings and records, any hearing or trial held under sections
257.51 to 257.74 shall be held in closed court without
admittance of any person other than those necessary to the
action or proceeding. All papers and records, other than the
final judgment, pertaining to the action or proceeding, whether
part of the permanent record of the court or of a file in the
state department of human services or elsewhere, are subject to
inspection only upon consent of the court and all interested
persons, or in exceptional cases only upon an order of the court
for good cause shown.
(b) In all actions under this chapter in which public
assistance is assigned under section 256.741 or the public
authority provides services to a party or parties to the action,
notwithstanding statutory or other authorization for the public
authority to release private data on the location of a party to
the action, information on the location of one party may not be
released by the public authority to the other party if:
(1) the public authority has knowledge that a protective
order with respect to the other party has been entered; or
(2) the public authority has reason to believe that the
release of the information may result in physical or emotional
harm to the other party.
Sec. 26. Minnesota Statutes 1996, section 257.75,
subdivision 2, is amended to read:
Subd. 2. [REVOCATION OF RECOGNITION.] A recognition may be
revoked in a writing signed by the mother or father before a
notary public and filed with the state registrar of vital
statistics within the earlier of 30 days after the recognition
is executed or the date of an administrative or judicial hearing
relating to the child in which the revoking party is a party to
the related action. A joinder in a recognition may be revoked
in a writing signed by the man who executed the joinder and
filed with the state registrar of vital statistics within 30
days after the joinder is executed. Upon receipt of a
revocation of the recognition of parentage or joinder in a
recognition, the state registrar of vital statistics shall
forward a copy of the revocation to the nonrevoking parent, or,
in the case of a joinder in a recognition, to the mother and
father who executed the recognition.
Sec. 27. Minnesota Statutes 1996, section 257.75,
subdivision 3, is amended to read:
Subd. 3. [EFFECT OF RECOGNITION.] Subject to subdivision 2
and section 257.55, subdivision 1, paragraph (g) or (h), the
recognition has the force and effect of a judgment or order
determining the existence of the parent and child relationship
under section 257.66. If the conditions in section 257.55,
subdivision 1, paragraph (g) or (h), exist, the recognition
creates only a presumption of paternity for purposes of sections
257.51 to 257.74. Once a recognition has been properly executed
and filed with the state registrar of vital statistics, if there
are no competing presumptions of paternity, a judicial or
administrative court may not allow further action to determine
parentage regarding the signator of the recognition. Until an
order is entered granting custody to another, the mother has
sole custody. The recognition is:
(1) a basis for bringing an action to award custody or
visitation rights to either parent, establishing a child support
obligation which may include up to the two years immediately
preceding the commencement of the action, ordering a
contribution by a parent under section 256.87, or ordering a
contribution to the reasonable expenses of the mother's
pregnancy and confinement, as provided under section 257.66,
subdivision 3, or ordering reimbursement for the costs of blood
or genetic testing, as provided under section 257.69,
subdivision 2;
(2) determinative for all other purposes related to the
existence of the parent and child relationship; and
(3) entitled to full faith and credit in other
jurisdictions.
Sec. 28. Minnesota Statutes 1996, section 257.75,
subdivision 4, is amended to read:
Subd. 4. [ACTION TO VACATE RECOGNITION.] (a) An action to
vacate a recognition of paternity may be brought by the mother,
father, husband or former husband who executed a joinder, or the
child. A mother, father, or husband or former husband who
executed a joinder must bring the action within one year of the
execution of the recognition or within six months after the
person bringing the action obtains the results of blood or
genetic tests that indicate that the man who executed the
recognition is not the father of the child. A child must bring
an action to vacate within six months after the child obtains
the result of blood or genetic tests that indicate that the man
who executed the recognition is not the father of the child, or
within one year of reaching the age of majority, whichever is
later. If the court finds a prima facie basis for vacating the
recognition, the court shall order the child, mother, father,
and husband or former husband who executed a joinder to submit
to blood tests. If the court issues an order for the taking of
blood tests, the court shall require the party seeking to vacate
the recognition to make advance payment for the costs of the
blood tests. If the party fails to pay for the costs of the
blood tests, the court shall dismiss the action to vacate with
prejudice. The court may also order the party seeking to vacate
the recognition to pay the other party's reasonable attorney
fees, costs, and disbursements. If the results of the blood
tests establish that the man who executed the recognition is not
the father, the court shall vacate the recognition. If a
recognition is vacated, any joinder in the recognition under
subdivision 1a is also vacated. The court shall terminate the
obligation of a party to pay ongoing child support based on the
recognition. A modification of child support based on a
recognition may be made retroactive with respect to any period
during which the moving party has pending a motion to vacate the
recognition but only from the date of service of notice of the
motion on the responding party.
(b) The burden of proof in an action to vacate the
recognition is on the moving party. The moving party must
request the vacation on the basis of fraud, duress, or material
mistake of fact. The legal responsibilities in existence at the
time of an action to vacate, including child support
obligations, may not be suspended during the proceeding, except
for good cause shown.
Sec. 29. Minnesota Statutes 1996, section 257.75,
subdivision 5, is amended to read:
Subd. 5. [RECOGNITION FORM.] The commissioner of human
services shall prepare a form for the recognition of parentage
under this section. In preparing the form, the commissioner
shall consult with the individuals specified in subdivision 6.
The recognition form must be drafted so that the force and
effect of the recognition, the alternatives to executing a
recognition, and the benefits and responsibilities of
establishing paternity are clear and understandable. The form
must include a notice regarding the finality of a recognition
and the revocation procedure under subdivision 2. The form must
include a provision for each parent to verify that the parent
has read or viewed the educational materials prepared by the
commissioner of human services describing the recognition of
paternity. The individual providing the form to the parents for
execution shall provide oral notice of the rights,
responsibilities, and alternatives to executing the
recognition. Notice may be provided by audiotape, videotape, or
similar means. Each parent must receive a copy of the
recognition.
Sec. 30. Minnesota Statutes 1996, section 257.75,
subdivision 7, is amended to read:
Subd. 7. [HOSPITAL AND DEPARTMENT OF HEALTH DISTRIBUTION
OF EDUCATIONAL MATERIALS; RECOGNITION FORM.] Hospitals that
provide obstetric services and the state registrar of vital
statistics shall distribute the educational materials and
recognition of parentage forms prepared by the commissioner of
human services to new parents and shall assist parents in
understanding the recognition of parentage form, including
following the provisions for notice under subdivision 5. On and
after January 1, 1994, hospitals may not distribute the
declaration of parentage forms.
Sec. 31. Minnesota Statutes 1996, section 299C.46,
subdivision 3, is amended to read:
Subd. 3. [AUTHORIZED USE, FEE.] (a) The data
communications network shall be used exclusively by:
(1) criminal justice agencies in connection with the
performance of duties required by law;
(2) agencies investigating federal security clearances of
individuals for assignment or retention in federal employment
with duties related to national security, as required by Public
Law Number 99-1691; and
(3) other agencies to the extent necessary to provide for
protection of the public or property in an emergency or disaster
situation; and
(4) the public authority responsible for child support
enforcement in connection with the performance of its duties.
(b) The commissioner of public safety shall establish a
monthly network access charge to be paid by each participating
criminal justice agency. The network access charge shall be a
standard fee established for each terminal, computer, or other
equipment directly addressable by the criminal justice data
communications network, as follows: January 1, 1984 to December
31, 1984, $40 connect fee per month; January 1, 1985 and
thereafter, $50 connect fee per month.
(c) The commissioner of public safety is authorized to
arrange for the connection of the data communications network
with the criminal justice information system of the federal
government, any adjacent state, or Canada.
Sec. 32. Minnesota Statutes 1996, section 508.63, is
amended to read:
508.63 [REGISTRATION OF INSTRUMENTS CREATING LIENS;
JUDGMENTS.]
No judgment requiring the payment of money shall be a lien
upon registered land, except as herein provided. Any person
claiming such lien shall file with the registrar a certified
copy of the judgment, together with a written statement
containing a description of each parcel of land in which the
judgment debtor has a registered interest and upon which the
lien is claimed, and a proper reference to the certificate or
certificates of title to such land. Upon filing such copy and
statement, the registrar shall enter a memorial of such judgment
upon each certificate designated in such statement, and the
judgment shall thereupon be and become a lien upon the judgment
debtor's interest in the land described in such certificate or
certificates. At any time after filing the certified copy of
such judgment, any person claiming the lien may, by filing a
written statement, as herein provided, cause a memorial of such
judgment to be entered upon any certificate of title to land in
which the judgment debtor has a registered interest and not
described in any previous statement and the judgment shall
thereupon be and become a lien upon the judgment debtor's
interest in such land. The public authority for child support
enforcement may present for filing a notice of judgment lien
under section 548.091 with identifying information for a parcel
of real property. Upon receipt of the notice of judgment lien,
the registrar shall enter a memorial of it upon each certificate
which can reasonably be identified as owned by the judgment
debtor on the basis of the information provided. The judgment
shall survive and the lien thereof shall continue for a period
of ten years from the date of the judgment and no longer, and
the registrar of titles shall not carry forward to a new
certificate of title the memorial of the judgment after that
period. In every case where an instrument of any description,
or a copy of any writ, order, or decree, is required by law to
be filed or recorded in order to create or preserve any lien,
writ, or attachment upon unregistered land, such instrument or
copy, if intended to affect registered land, shall, in lieu of
recording, be filed and registered with the registrar. In
addition to any facts required by law to be stated in such
instruments to entitle them to be filed or recorded, they shall
also contain a reference to the number of the certificate of
title of the land to be affected, and, if the attachment,
charge, or lien is not claimed on all the land described in any
certificate of title, such instrument shall contain a
description sufficient to identify the land.
Sec. 33. Minnesota Statutes 1996, section 508A.63, is
amended to read:
508A.63 [REGISTRATION OF INSTRUMENTS CREATING LIENS;
JUDGMENTS.]
No judgment requiring the payment of money shall be a lien
upon land registered under sections 508A.01 to 508A.85, except
as herein provided. Any person claiming a lien shall file with
the registrar a certified copy of the judgment, together with a
written statement containing a description of each parcel of
land in which the judgment debtor has a registered interest and
upon which the lien is claimed, and a proper reference to the
CPT or CPTs to the land. Upon filing the copy and statement,
the registrar shall enter a memorial of the judgment upon each
CPT designated in the statement, and the judgment shall then be
and become a lien upon the judgment debtor's interest in the
land described in CPT or CPTs. At any time after filing the
certified copy of the judgment, any person claiming the lien
may, by filing a written statement, as herein provided, cause a
memorial of the judgment to be entered upon any CPT to land in
which the judgment debtor has a registered interest and not
described in any previous statement and the judgment shall then
be and become a lien upon the judgment debtor's interest in the
land. The public authority for child support enforcement may
present for filing a notice of judgment lien under section
548.091 with identifying information for a parcel of real
property. Upon receipt of the notice of judgment lien, the
registrar shall enter a memorial of it upon each certificate of
possessory title which reasonably can be identified as owned by
the judgment debtor on the basis of the information provided.
The judgment shall survive and the lien thereof shall continue
for a period of ten years from the date of the judgment and no
longer; and the registrar shall not carry forward to a new
certificate of title the memorial of the judgment after that
period. In every case where an instrument of any description,
or a copy of any writ, order, or decree, is required by law to
be filed or recorded in order to create or preserve any lien,
writ, or attachment upon unregistered land, the instrument or
copy, if intended to affect registered land, shall, in lieu of
recording, be filed and registered with the registrar. In
addition to any facts required by law to be stated in the
instruments to entitle them to be filed or recorded, they shall
also contain a reference to the number of the CPT of the land to
be affected. If the attachment, charge, or lien is not claimed
on all the land described in any CPT, the instrument shall
contain a description sufficient to identify the land.
Sec. 34. Minnesota Statutes 1996, section 517.08,
subdivision 1a, is amended to read:
Subd. 1a. Application for a marriage license shall be made
upon a form provided for the purpose and shall contain the
following information:
the full names of the parties,
their post office addresses and county and state of
residence,
their full ages,
if either party has previously been married, the party's
married name, and the date, place and court in which the
marriage was dissolved or annulled or the date and place of
death of the former spouse,
if either party is a minor, the name and address of the
minor's parents or guardian,
whether the parties are related to each other, and, if so,
their relationship,
the name and date of birth of any child of which both
parties are parents, born before the making of the application,
unless their parental rights and the parent and child
relationship with respect to the child have been terminated,
address of the bride and groom after the marriage to which
the court administrator shall send a certified copy of the
marriage certificate,
and the full names the parties will have after marriage and
the parties' social security numbers. The social security
numbers must be collected for the application but must not
appear on the marriage license.
Sec. 35. Minnesota Statutes 1996, section 518.005, is
amended by adding a subdivision to read:
Subd. 5. [PROHIBITED DISCLOSURE.] In all proceedings under
this chapter in which public assistance is assigned under
section 256.741 or the public authority provides services to a
party or parties to the proceedings, notwithstanding statutory
or other authorization for the public authority to release
private data on the location of a party to the action,
information on the location of one party may not be released by
the public authority to the other party if:
(1) the public authority has knowledge that a protective
order with respect to the other party has been entered; or
(2) the public authority has reason to believe that the
release of the information may result in physical or emotional
harm to the other party.
Sec. 36. Minnesota Statutes 1996, section 518.10, is
amended to read:
518.10 [REQUISITES OF PETITION.]
The petition for dissolution of marriage or legal
separation shall state and allege:
(a) The name and, address, and, in circumstances in which
child support or spousal maintenance will be addressed, social
security number of the petitioner and any prior or other name
used by the petitioner;
(b) The name and, if known, the address and, in
circumstances in which child support or spousal maintenance will
be addressed, social security number of the respondent and any
prior or other name used by the respondent and known to the
petitioner;
(c) The place and date of the marriage of the parties;
(d) In the case of a petition for dissolution, that either
the petitioner or the respondent or both:
(1) Has resided in this state for not less than 180 days
immediately preceding the commencement of the proceeding, or
(2) Has been a member of the armed services and has been
stationed in this state for not less than 180 days immediately
preceding the commencement of the proceeding, or
(3) Has been a domiciliary of this state for not less than
180 days immediately preceding the commencement of the
proceeding;
(e) The name at the time of the petition and any prior or
other name, age and date of birth of each living minor or
dependent child of the parties born before the marriage or born
or adopted during the marriage and a reference to, and the
expected date of birth of, a child of the parties conceived
during the marriage but not born;
(f) Whether or not a separate proceeding for dissolution,
legal separation, or custody is pending in a court in this state
or elsewhere;
(g) In the case of a petition for dissolution, that there
has been an irretrievable breakdown of the marriage
relationship;
(h) In the case of a petition for legal separation, that
there is a need for a decree of legal separation; and
(i) Any temporary or permanent maintenance, child support,
child custody, disposition of property, attorneys' fees, costs
and disbursements applied for without setting forth the amounts.
The petition shall be verified by the petitioner or
petitioners, and its allegations established by competent
evidence.
Sec. 37. Minnesota Statutes 1996, section 518.148,
subdivision 2, is amended to read:
Subd. 2. [REQUIRED INFORMATION.] The certificate shall
include the following information:
(1) the full caption and file number of the case and the
title "Certificate of Dissolution";
(2) the names and any prior or other names of the parties
to the dissolution;
(3) the names of any living minor or dependent children as
identified in the judgment and decree;
(4) that the marriage of the parties is dissolved; and
(5) the date of the judgment and decree; and
(6) the social security number of the parties to the
dissolution and the social security number of any living minor
or dependent children identified in the judgment and decree.
Sec. 38. Minnesota Statutes 1996, section 518.171,
subdivision 1, is amended to read:
Subdivision 1. [ORDER.] Compliance with this section
constitutes compliance with a qualified medical child support
order as described in the federal Employee Retirement Income
Security Act of 1974 (ERISA) as amended by the federal Omnibus
Budget Reconciliation Act of 1993 (OBRA).
(a) Every child support order must:
(1) expressly assign or reserve the responsibility for
maintaining medical insurance for the minor children and the
division of uninsured medical and dental costs; and
(2) contain the names and, last known addresses, if any and
social security number of the custodial parent and noncustodial
parent, of the dependents unless the court prohibits the
inclusion of an address or social security number and orders the
custodial parent to provide the address and social security
number to the administrator of the health plan. The court shall
order the party with the better group dependent health and
dental insurance coverage or health insurance plan to name the
minor child as beneficiary on any health and dental insurance
plan that is available to the party on:
(i) a group basis;
(ii) through an employer or union; or
(iii) through a group health plan governed under the ERISA
and included within the definitions relating to health plans
found in section 62A.011, 62A.048, or 62E.06, subdivision 2.
"Health insurance" or "health insurance coverage" as used in
this section means coverage that is comparable to or better than
a number two qualified plan as defined in section 62E.06,
subdivision 2. "Health insurance" or "health insurance
coverage" as used in this section does not include medical
assistance provided under chapter 256, 256B, or 256D.
(b) If the court finds that dependent health or dental
insurance is not available to the obligor or obligee on a group
basis or through an employer or union, or that group insurance
is not accessible to the obligee, the court may require the
obligor (1) to obtain other dependent health or dental
insurance, (2) to be liable for reasonable and necessary medical
or dental expenses of the child, or (3) to pay no less than $50
per month to be applied to the medical and dental expenses of
the children or to the cost of health insurance dependent
coverage.
(c) If the court finds that the available dependent health
or dental insurance does not pay all the reasonable and
necessary medical or dental expenses of the child, including any
existing or anticipated extraordinary medical expenses, and the
court finds that the obligor has the financial ability to
contribute to the payment of these medical or dental expenses,
the court shall require the obligor to be liable for all or a
portion of the medical or dental expenses of the child not
covered by the required health or dental plan. Medical and
dental expenses include, but are not limited to, necessary
orthodontia and eye care, including prescription lenses.
(d) Unless otherwise agreed by the parties and approved by
the court, if the court finds that the obligee is not receiving
public assistance for the child and has the financial ability to
contribute to the cost of medical and dental expenses for the
child, including the cost of insurance, the court shall order
the obligee and obligor to each assume a portion of these
expenses based on their proportionate share of their total net
income as defined in section 518.54, subdivision 6.
(e) Payments ordered under this section are subject to
section 518.611. An obligee who fails to apply payments
received to the medical expenses of the dependents may be found
in contempt of this order.
Sec. 39. Minnesota Statutes 1996, section 518.171,
subdivision 4, is amended to read:
Subd. 4. [EFFECT OF ORDER.] (a) The order is binding on
the employer or union and the health and dental insurance plan
when service under subdivision 3 has been made. In the case of
an obligor who changes employment and is required to provide
health coverage for the child, a new employer that provides
health care coverage shall enroll the child in the obligor's
health plan upon receipt of an order or notice for health
insurance, unless the obligor contests the enrollment. The
obligor may contest the enrollment on the limited grounds that
the enrollment is improper due to mistake of fact or that the
enrollment meets the requirements of section 518.64, subdivision
2. If the obligor chooses to contest the enrollment, the
obligor must do so no later than 15 days after the employer
notifies the obligor of the enrollment, by doing all of the
following:
(1) filing a request for contested hearing according to
section 518.5511, subdivision 3a;
(2) serving a copy of the request for contested hearing
upon the public authority and the obligee; and
(3) securing a date for the contested hearing no later than
45 days after the notice of enrollment.
(b) The enrollment must remain in place during the time
period in which the obligor contests the withholding.
An employer or union that is included under ERISA may not deny
enrollment based on exclusionary clauses described in section
62A.048. Upon receipt of the order, or upon application of the
obligor pursuant according to the order or notice, the employer
or union and its health and dental insurance plan shall enroll
the minor child as a beneficiary in the group insurance plan and
withhold any required premium from the obligor's income or
wages. If more than one plan is offered by the employer or
union, the child shall be enrolled in the least costly health
insurance plan otherwise available to the obligor that is
comparable to a number two qualified plan. If the obligor is
not enrolled in a health insurance plan, the employer or union
shall also enroll the obligor in the chosen plan if enrollment
of the obligor is necessary in order to obtain dependent
coverage under the plan. Enrollment of dependents and the
obligor shall be immediate and not dependent upon open
enrollment periods. Enrollment is not subject to the
underwriting policies described in section 62A.048.
(b) (c) An employer or union that willfully fails to comply
with the order is liable for any health or dental expenses
incurred by the dependents during the period of time the
dependents were eligible to be enrolled in the insurance
program, and for any other premium costs incurred because the
employer or union willfully failed to comply with the order. An
employer or union that fails to comply with the order is subject
to contempt under section 518.615 and is also subject to a fine
of $500 to be paid to the obligee or public authority. Fines
paid to the public authority are designated for child support
enforcement services.
(c) (d) Failure of the obligor to execute any documents
necessary to enroll the dependent in the group health and dental
insurance plan will not affect the obligation of the employer or
union and group health and dental insurance plan to enroll the
dependent in a plan. Information and authorization provided by
the public authority responsible for child support enforcement,
or by the custodial parent or guardian, is valid for the
purposes of meeting enrollment requirements of the health plan.
The insurance coverage for a child eligible under subdivision 5
shall not be terminated except as authorized in subdivision 5.
Sec. 40. Minnesota Statutes 1996, section 518.54, is
amended by adding a subdivision to read:
Subd. 4a. [SUPPORT ORDER.] "Support order" means a
judgment, decree, or order, whether temporary, final, or subject
to modification, issued by a court or administrative agency of
competent jurisdiction, for the support and maintenance of a
child, including a child who has attained the age of majority
under the law of the issuing state, or a child and the parent
with whom the child is living, that provides for monetary
support, child care, medical support including expenses for
confinement and pregnancy, arrearages, or reimbursement, and
that may include related costs and fees, interest and penalties,
income withholding, and other relief. This definition applies to
orders issued under this chapter and chapters 256, 257, and 518C.
Sec. 41. Minnesota Statutes 1996, section 518.54,
subdivision 6, is amended to read:
Subd. 6. [INCOME.] (a) "Income" means any form of periodic
payment to an individual including, but not limited to, wages,
salaries, payments to an independent contractor, workers'
compensation, reemployment insurance, annuity, military and
naval retirement, pension and disability payments. Benefits
received under sections 256.72 to 256.87 and chapter 256D Title
IV-A of the Social Security Act are not income under this
section.
(b) Income also includes nonperiodic distributions of
workers' compensation claims, reemployment claims, personal
injury recoveries for lost wages or salary, proceeds from a
lawsuit for lost wages or salary, severance pay, and bonuses.
Sec. 42. Minnesota Statutes 1996, section 518.551,
subdivision 12, is amended to read:
Subd. 12. [OCCUPATIONAL LICENSE SUSPENSION.] (a) Upon
motion of an obligee, if the court finds that the obligor is or
may be licensed by a licensing board listed in section 214.01 or
other state, county, or municipal agency or board that issues an
occupational license and the obligor is in arrears in
court-ordered child support or maintenance payments or both in
an amount equal to or greater than three times the obligor's
total monthly support and maintenance payments and is not in
compliance with a written payment agreement regarding both
current support and arrearages approved by the court, an
administrative law judge, or the public authority, the
administrative law judge, or the court shall direct the
licensing board or other licensing agency to suspend the license
under section 214.101. The court's order must be stayed for 90
days in order to allow the obligor to execute a written payment
agreement regarding both current support and arrearages. The
payment agreement must be approved by either the court or the
public authority responsible for child support enforcement. If
the obligor has not executed or is not in compliance with a
written payment agreement regarding both current support and
arrearages after the 90 days expires, the court's order becomes
effective. If the obligor is a licensed attorney, the court
shall report the matter to the lawyers professional
responsibility board for appropriate action in accordance with
the rules of professional conduct. The remedy under this
subdivision is in addition to any other enforcement remedy
available to the court.
(b) If a public authority responsible for child support
enforcement finds that the obligor is or may be licensed by a
licensing board listed in section 214.01 or other state, county,
or municipal agency or board that issues an occupational license
and the obligor is in arrears in court-ordered child support or
maintenance payments or both in an amount equal to or greater
than three times the obligor's total monthly support and
maintenance payments and is not in compliance with a written
payment agreement regarding both current support and arrearages
approved by the court, an administrative law judge, or the
public authority, the court, an administrative law judge, or the
public authority shall direct the licensing board or other
licensing agency to suspend the license under section 214.101.
If the obligor is a licensed attorney, the public authority may
report the matter to the lawyers professional responsibility
board for appropriate action in accordance with the rules of
professional conduct. The remedy under this subdivision is in
addition to any other enforcement remedy available to the public
authority.
(c) At least 90 days before notifying a licensing authority
or the lawyers professional responsibility board under paragraph
(b), the public authority shall mail a written notice to the
license holder addressed to the license holder's last known
address that the public authority intends to seek license
suspension under this subdivision and that the license holder
must request a hearing within 30 days in order to contest the
suspension. If the license holder makes a written request for a
hearing within 30 days of the date of the notice, either a court
hearing or a contested administrative proceeding must be held
under section 518.5511, subdivision 4. Notwithstanding any law
to the contrary, the license holder must be served with 14 days'
notice in writing specifying the time and place of the hearing
and the allegations against the license holder. The notice may
be served personally or by mail. If the public authority does
not receive a request for a hearing within 30 days of the date
of the notice, and the obligor does not execute a written
payment agreement regarding both current support and arrearages
approved by the court, an administrative law judge or the public
authority within 90 days of the date of the notice, the public
authority shall direct the licensing board or other licensing
agency to suspend the obligor's license under paragraph (b), or
shall report the matter to the lawyers professional
responsibility board.
(d) The administrative law judge, on behalf of the public
authority, or the court shall notify the lawyers professional
responsibility board for appropriate action in accordance with
the rules of professional responsibility conduct or order the
licensing board or licensing agency to suspend the license if
the judge finds that:
(1) the person is licensed by a licensing board or other
state agency that issues an occupational license;
(2) the person has not made full payment of arrearages
found to be due by the public authority; and
(3) the person has not executed or is not in compliance
with a payment plan approved by the court, an administrative law
judge, or the public authority.
(e) Within 15 days of the date on which the obligor either
makes full payment of arrearages found to be due by the court or
public authority or executes and initiates good faith compliance
with a written payment plan approved by the court, an
administrative law judge, or the public authority, the court, an
administrative law judge, or the public authority responsible
for child support enforcement shall notify the licensing board
or licensing agency or the lawyers professional responsibility
board that the obligor is no longer ineligible for license
issuance, reinstatement, or renewal under this subdivision.
(f) In addition to the criteria established under this
section for the suspension of an obligor's occupational license,
a court, an administrative law judge, or the public authority
may direct the licensing board or other licensing agency to
suspend the license of a party who has failed, after receiving
notice, to comply with a subpoena relating to a paternity or
child support proceeding.
(g) The license of an obligor who fails to remain in
compliance with an approved payment agreement may be suspended.
Notice to the obligor of an intent to suspend under this
paragraph must be served by first class mail at the obligor's
last known address and must include a notice of hearing. The
notice must be served upon the obligor not less than ten days
before the date of the hearing. If the obligor appears at the
hearing and the judge determines that the obligor has failed to
comply with an approved payment agreement, the judge shall
notify the occupational licensing board or agency to suspend the
obligor's license under paragraph (c). If the obligor fails to
appear at the hearing, the public authority may notify the
occupational or licensing board to suspend the obligor's license
under paragraph (c).
Sec. 43. Minnesota Statutes 1996, section 518.551,
subdivision 13, is amended to read:
Subd. 13. [DRIVER'S LICENSE SUSPENSION.] (a) Upon motion
of an obligee, which has been properly served on the obligor and
upon which there has been an opportunity for hearing, if a court
finds that the obligor has been or may be issued a driver's
license by the commissioner of public safety and the obligor is
in arrears in court-ordered child support or maintenance
payments, or both, in an amount equal to or greater than three
times the obligor's total monthly support and maintenance
payments and is not in compliance with a written payment
agreement regarding both current support and arrearages approved
by the court, an administrative law judge, or the public
authority, the court shall order the commissioner of public
safety to suspend the obligor's driver's license. The court's
order must be stayed for 90 days in order to allow the obligor
to execute a written payment agreement regarding both current
support and arrearages, which payment agreement must be approved
by either the court or the public authority responsible for
child support enforcement. If the obligor has not executed or
is not in compliance with a written payment agreement regarding
both current support and arrearages after the 90 days expires,
the court's order becomes effective and the commissioner of
public safety shall suspend the obligor's driver's license. The
remedy under this subdivision is in addition to any other
enforcement remedy available to the court. An obligee may not
bring a motion under this paragraph within 12 months of a denial
of a previous motion under this paragraph.
(b) If a public authority responsible for child support
enforcement determines that the obligor has been or may be
issued a driver's license by the commissioner of public safety
and the obligor is in arrears in court-ordered child support or
maintenance payments or both in an amount equal to or greater
than three times the obligor's total monthly support and
maintenance payments and not in compliance with a written
payment agreement regarding both current support and arrearages
approved by the court, an administrative law judge, or the
public authority, the public authority shall direct the
commissioner of public safety to suspend the obligor's driver's
license. The remedy under this subdivision is in addition to
any other enforcement remedy available to the public authority.
(c) At least 90 days prior to notifying the commissioner of
public safety pursuant according to paragraph (b), the public
authority must mail a written notice to the obligor at the
obligor's last known address, that it intends to seek suspension
of the obligor's driver's license and that the obligor must
request a hearing within 30 days in order to contest the
suspension. If the obligor makes a written request for a
hearing within 30 days of the date of the notice, either a court
hearing or a contested administrative proceeding must be held
under section 518.5511, subdivision 4. Notwithstanding any law
to the contrary, the obligor must be served with 14 days' notice
in writing specifying the time and place of the hearing and the
allegations against the obligor. The notice may be served
personally or by mail. If the public authority does not receive
a request for a hearing within 30 days of the date of the
notice, and the obligor does not execute a written payment
agreement regarding both current support and arrearages approved
by the court, an administrative law judge, or the public
authority within 90 days of the date of the notice, the public
authority shall direct the commissioner of public safety to
suspend the obligor's driver's license under paragraph (b).
(d) At a hearing requested by the obligor under paragraph
(c), and on finding that the obligor is in arrears in
court-ordered child support or maintenance payments or both in
an amount equal to or greater than three times the obligor's
total monthly support and maintenance payments, the district
court or the administrative law judge shall order the
commissioner of public safety to suspend the obligor's driver's
license or operating privileges unless the court or
administrative law judge determines that the obligor has
executed and is in compliance with a written payment agreement
regarding both current support and arrearages approved by the
court, an administrative law judge, or the public authority.
(e) An obligor whose driver's license or operating
privileges are suspended may provide proof to the court or the
public authority responsible for child support enforcement that
the obligor is in compliance with all written payment agreements
regarding both current support and arrearages. Within 15 days
of the receipt of that proof, the court or public authority
shall inform the commissioner of public safety that the
obligor's driver's license or operating privileges should no
longer be suspended.
(f) On January 15, 1997, and every two years after that,
the commissioner of human services shall submit a report to the
legislature that identifies the following information relevant
to the implementation of this section:
(1) the number of child support obligors notified of an
intent to suspend a driver's license;
(2) the amount collected in payments from the child support
obligors notified of an intent to suspend a driver's license;
(3) the number of cases paid in full and payment agreements
executed in response to notification of an intent to suspend a
driver's license;
(4) the number of cases in which there has been
notification and no payments or payment agreements;
(5) the number of driver's licenses suspended; and
(6) the cost of implementation and operation of the
requirements of this section.
(g) In addition to the criteria established under this
section for the suspension of an obligor's driver's license, a
court, an administrative law judge, or the public authority may
direct the commissioner of public safety to suspend the license
of a party who has failed, after receiving notice, to comply
with a subpoena relating to a paternity or child support
proceeding. Notice to an obligor of intent to suspend must be
served by first class mail at the obligor's last known address.
The notice must inform the obligor of the right to request a
hearing. If the obligor makes a written request within ten days
of the date of the hearing, a contested administrative
proceeding must be held under section 518.5511, subdivision 4.
At the hearing, the only issues to be considered are mistake of
fact and whether the obligor received the subpoena.
(h) The license of an obligor who fails to remain in
compliance with an approved payment agreement may be suspended.
Notice to the obligor of an intent to suspend under this
paragraph must be served by first class mail at the obligor's
last known address and must include a notice of hearing. The
notice must be served upon the obligor not less than ten days
before the date of the hearing. If the obligor appears at the
hearing and the judge determines that the obligor has failed to
comply with an approved payment agreement, the judge shall
notify the department of public safety to suspend the obligor's
license under paragraph (c). If the obligor fails to appear at
the hearing, the public authority may notify the department of
public safety to suspend the obligor's license under paragraph
(c).
Sec. 44. Minnesota Statutes 1996, section 518.5512,
subdivision 2, is amended to read:
Subd. 2. [PATERNITY.] (a) After service of the notice and
proposed order, a nonattorney employee of the public authority
may request an administrative law judge or the district court to
order the child, mother, or alleged father to submit to blood or
genetic tests. The order is effective when signed by an
administrative law judge or the district court. Failure to
comply with the order for blood or genetic tests may result in a
default determination of parentage.
(b) If parentage is contested at the administrative
hearing, the administrative law judge may order temporary child
support under section 257.62, subdivision 5, and shall refer the
case to the district court.
(c) The district court may appoint counsel for an indigent
alleged father only after the return of the blood or genetic
test results from the testing laboratory.
Sec. 45. Minnesota Statutes 1996, section 518.5512, is
amended by adding a subdivision to read:
Subd. 5. [ADMINISTRATIVE AUTHORITY.] (a) In each case in
which support rights are assigned under section 256.741,
subdivision 2, or where the public authority is providing
services under an application for child support services, a
nonattorney employee of the public authority may, without
requirement of a court order:
(1) recognize and enforce orders of child support agencies
of other states;
(2) compel by subpoena the production of all papers, books,
records, documents, or other evidentiary material needed to
establish a parentage or child support order or to modify or
enforce a child support order;
(3) change the payee to the appropriate person,
organization, or agency authorized to receive or collect child
support or any other person or agency designated as the
caretaker of the child by agreement of the legal custodian or by
court order;
(4) order income withholding of child support under section
518.6111;
(5) secure assets to satisfy the debt or arrearage in cases
in which there is a support debt or arrearage by: (i)
intercepting or seizing periodic or lump sum payments from state
or local agencies, including reemployment insurance, workers'
compensation payments, judgments, settlements, and lotteries;
(ii) attaching and seizing assets of the obligor held in
financial institutions or public or private retirement funds;
and (iii) imposing liens and, in appropriate cases, forcing the
sale of property and the distribution of proceeds; and
(6) increase the amount of the monthly support payments to
include amounts for debts or arrearages for the purpose of
securing overdue support.
(b) Subpoenas may be served anywhere within the state and
served outside the state in the same manner as prescribed by law
for service of process of subpoenas issued by the district court
of this state. When a subpoena under this subdivision is served
on a third-party recordkeeper, written notice of the subpoena
shall be mailed to the person who is the subject of the
subpoenaed material at the person's last known address within
three days of the day the subpoena is served. This notice
provision does not apply if there is reasonable cause to believe
the giving of the notice may lead to interference with the
production of the subpoenaed documents.
(c) A person served with a subpoena may make a written
objection to the public authority or court before the time
specified in the subpoena for compliance. The public authority
or the court shall cancel or modify the subpoena, if
appropriate. The public authority shall pay the reasonable
costs of producing the documents, if requested.
(d) Subpoenas shall be enforceable in the same manner as
subpoenas of the district court, in proceedings initiated by
complaint of the public authority in the district court.
Sec. 46. Minnesota Statutes 1996, section 518.5512, is
amended by adding a subdivision to read:
Subd. 6. [CONTROLLING ORDER DETERMINATION.] The public
authority or a party may request the office of administrative
hearings to determine a controlling order according to section
518C.207, paragraph (c).
Sec. 47. Minnesota Statutes 1996, section 518.575, is
amended to read:
518.575 [PUBLICATION OF NAMES OF DELINQUENT CHILD SUPPORT
OBLIGORS.]
Subdivision 1. [PUBLICATION OF MAKING NAMES PUBLIC.] Twice
each year, At least once each year, the commissioner of human
services, in consultation with the attorney general, shall
publish a list of the names and last known addresses of each
person and other identifying information of no more than 25
persons who (1) is a are child support obligor obligors,
(2) is are at least $3,000 $10,000 in arrears, and (3) is
not in compliance with a written payment agreement regarding
both current support and arrearages approved by the court, an
administrative law judge, or the public authority. The
commissioner of human services shall publish the name of each
obligor in the newspaper or newspapers of widest circulation in
the area where the obligor is most likely to be residing. For
each publication, the commissioner shall release the list of all
names being published not earlier than the first day on which
names appear in any newspaper. An obligor's name may not be
published if the obligor claims in writing, and the commissioner
of human services determines, there is good cause for the
nonpayment of child support. Good cause includes the
following: (i) there is a mistake in the obligor's identity or
the amount of the obligor's arrears; (ii) arrears are reserved
by the court or there is a pending legal action concerning the
unpaid child support; or (iii) other circumstances as determined
by the commissioner. The list must be based on the best
information available to the state at the time of
publication are not in compliance with a written payment
agreement regarding both current support and arrearages approved
by the court, an administrative law judge, or the public
authority, (4) cannot currently be located by the public
authority for the purposes of enforcing a support order, and (5)
have not made a support payment except tax intercept payments,
in the preceding 12 months.
Identifying information may include the obligor's name,
last known address, amount owed, date of birth, photograph, the
number of children for whom support is owed, and any additional
information about the obligor that would assist in identifying
or locating the obligor. The commissioner and attorney general
may use posters, media presentations, electronic technology, and
other means that the commissioner and attorney general determine
are appropriate for dissemination of the information, including
publication on the Internet. The commissioner and attorney
general may make any or all of the identifying information
regarding these persons public. Information regarding an
obligor who meets the criteria in this subdivision will only be
made public subsequent to that person's selection by the
commissioner and attorney general.
Before publishing making public the name of the obligor,
the department of human services shall send a notice to the
obligor's last known address which states the department's
intention to publish the obligor's name and the amount of child
support the obligor owes make public information on the
obligor. The notice must also provide an opportunity to have
the obligor's name removed from the list by paying the arrearage
or by entering into an agreement to pay the arrearage, and or by
providing information to the public authority that there is good
cause not to make the information public. The notice must
include the final date when the payment or agreement can be
accepted.
The department of human services shall insert with the
notices sent to the obligee, a notice stating the intent to
publish the obligor's name, and the criteria used to determine
the publication of the obligor's name obtain the written consent
of the obligee to make the name of the obligor public.
Subd. 2. [NAMES PUBLISHED IN ERROR.] If the
commissioner publishes makes public a name under subdivision 1
which is in error, the commissioner must also offer to publish a
printed retraction and a public apology acknowledging that the
name was published made public in error. If the person whose
name was made public in error elects the public retraction and
apology, the retraction and apology must appear in each
publication that included the same medium and the same format as
the original notice with the name listed in error, and it must
appear in the same type size and appear the same number of times
as the original notice. In addition to the right of a public
retraction and apology, a person whose name was made public in
error has a civil action for damages caused by the error.
Sec. 48. [518.6111] [INCOME WITHHOLDING.]
Subdivision 1. [DEFINITIONS.] (a) For the purpose of this
section, the following terms have the meanings provided in this
subdivision unless otherwise stated.
(b) "Payor of funds" means any person or entity that
provides funds to an obligor, including an employer as defined
under chapter 24 of the Internal Revenue Code, section 3401(d),
an independent contractor, payor of worker's compensation
benefits or reemployment insurance, or a financial institution
as defined in section 13B.06.
(c) "Business day" means a day on which state offices are
open for regular business.
(d) "Arrears" means amounts owed under a support order that
are past due.
Subd. 2. [APPLICATION.] This section applies to all
support orders issued by a court or an administrative tribunal
and orders for or notices of withholding issued by the public
authority according to section 518.5512, subdivision 5,
paragraph (a), clause (4).
Subd. 3. [ORDER.] Every support order must address income
withholding. Whenever a support order is initially entered or
modified, the full amount of the support order must be withheld
from the income of the obligor and forwarded to the public
authority. Every order for support or maintenance shall provide
for a conspicuous notice of the provisions of this section that
complies with section 518.68, subdivision 2. An order without
this notice remains subject to this section. This section
applies regardless of the source of income of the person
obligated to pay the support or maintenance.
A payor of funds shall implement income withholding
according to this section upon receipt of an order for or notice
of withholding. The notice of withholding shall be on a form
provided by the commissioner of human services.
Subd. 4. [COLLECTION SERVICES.] The commissioner of human
services shall prepare and make available to the courts a notice
of services that explains child support and maintenance
collection services available through the public authority,
including income withholding. Upon receiving a petition for
dissolution of marriage or legal separation, the court
administrator shall promptly send the notice of services to the
petitioner and respondent at the addresses stated in the
petition.
Upon receipt of a support order requiring income
withholding, a petitioner or respondent, who is not a recipient
of public assistance and does not receive child support services
from the public authority, shall apply to the public authority
for either full child support collection services or for income
withholding only services.
For those persons applying for income withholding only
services, a monthly service fee of $15 must be charged to the
obligor. This fee is in addition to the amount of the support
order and shall be withheld through income withholding. The
public authority shall explain the service options in this
section to the affected parties and encourage the application
for full child support collection services.
Subd. 5. [PAYOR OF FUNDS RESPONSIBILITIES.] (a) An order
for or notice of withholding is binding on a payor of funds upon
receipt. Withholding must begin no later than the first pay
period that occurs after 14 days following the date of receipt
of the order for or notice of withholding. In the case of a
financial institution, preauthorized transfers must occur in
accordance with a court-ordered payment schedule.
(b) A payor of funds shall withhold from the income payable
to the obligor the amount specified in the order or notice of
withholding and amounts specified under subdivisions 6 and 9 and
shall remit the amounts withheld to the public authority within
seven business days of the date the obligor is paid the
remainder of the income. The payor of funds shall include with
the remittance the social security number of the obligor, the
case type indicator as provided by the public authority and the
date the obligor is paid the remainder of the income. The
obligor is considered to have paid the amount withheld as of the
date the obligor received the remainder of the income. A payor
of funds may combine all amounts withheld from one pay period
into one payment to each public authority, but shall separately
identify each obligor making payment.
(c) A payor of funds shall not discharge, or refuse to
hire, or otherwise discipline an employee as a result of wage or
salary withholding authorized by this section. A payor of funds
shall be liable to the obligee for any amounts required to be
withheld. A payor of funds that fails to withhold or transfer
funds in accordance with this section is also liable to the
obligee for interest on the funds at the rate applicable to
judgments under section 549.09, computed from the date the funds
were required to be withheld or transferred. A payor of funds
is liable for reasonable attorney fees of the obligee or public
authority incurred in enforcing the liability under this
paragraph. A payor of funds that has failed to comply with the
requirements of this section is subject to contempt sanctions
under section 518.615. If the payor of funds is an employer or
independent contractor and violates this subdivision, a court
may award the obligor twice the wages lost as a result of this
violation. If a court finds a payor of funds violated this
subdivision, the court shall impose a civil fine of not less
than $500.
(d) If a single employee is subject to multiple withholding
orders or multiple notices of withholding for the support of
more than one child, the payor of funds shall comply with all of
the orders or notices to the extent that the total amount
withheld from the obligor's income does not exceed the limits
imposed under the Consumer Credit Protection Act, Chapter 15 of
the United States Code section 1637(b), giving priority to
amounts designated in each order or notice as current support as
follows:
(1) if the total of the amounts designated in the orders
for or notices of withholding as current support exceeds the
amount available for income withholding, the payor of funds
shall allocate to each order or notice an amount for current
support equal to the amount designated in that order or notice
as current support, divided by the total of the amounts
designated in the orders or notices as current support,
multiplied by the amount of the income available for income
withholding; and
(2) if the total of the amounts designated in the orders
for or notices of withholding as current support does not exceed
the amount available for income withholding, the payor of funds
shall pay the amounts designated as current support, and shall
allocate to each order or notice an amount for past due support,
equal to the amount designated in that order or notice as past
due support, divided by the total of the amounts designated in
the orders or notices as past due support, multiplied by the
amount of income remaining available for income withholding
after the payment of current support.
(e) When an order for or notice of withholding is in effect
and the obligor's employment is terminated, the obligor and the
payor of funds shall notify the public authority of the
termination within ten days of the termination date. The
termination notice shall include the obligor's home address and
the name and address of the obligor's new payor of funds, if
known.
(f) A payor of funds may deduct one dollar from the
obligor's remaining salary for each payment made pursuant to an
order for or notice of withholding under this section to cover
the expenses of withholding.
Subd. 6. [FINANCIAL INSTITUTIONS.] (a) If income
withholding is ineffective due to the obligor's method of
obtaining income, the court shall order the obligor to identify
a child support deposit account owned solely by the obligor, or
to establish an account, in a financial institution located in
this state for the purpose of depositing court-ordered child
support payments. The court shall order the obligor to execute
an agreement with the appropriate public authority for
preauthorized transfers from the obligor's child support account
payable to an account of the public authority. The court shall
order the obligor to disclose to the court all deposit accounts
owned by the obligor in whole or in part in any financial
institution. The court may order the obligor to disclose to the
court the opening or closing of any deposit account owned in
whole or in part by the obligor within 30 days of the opening or
closing. The court may order the obligor to execute an
agreement with the appropriate public authority for
preauthorized transfers from any deposit account owned in whole
or in part by the obligor to the obligor's child support deposit
account if necessary to satisfy court-ordered child support
payments. The court may order a financial institution to
disclose to the court the account number and any other
information regarding accounts owned in whole or in part by the
obligor. An obligor who fails to comply with this subdivision,
fails to deposit funds in at least one deposit account
sufficient to pay court-ordered child support, or stops payment
or revokes authorization of any preauthorized transfer is
subject to contempt of court procedures under chapter 588.
(b) A financial institution shall execute preauthorized
transfers for the deposit accounts of the obligor in the amount
specified in the order and amounts required under this section
as directed by the public authority. A financial institution is
liable to the obligee if funds in any of the obligor's deposit
accounts identified in the court order equal the amount stated
in the preauthorization agreement but are not transferred by the
financial institution in accordance with the agreement.
Subd. 7. [SUBSEQUENT INCOME WITHHOLDING.] (a) This
subdivision applies to support orders that do not contain
provisions for income withholding.
(b) For cases in which the public authority is providing
child support enforcement services to the parties, the income
withholding under this subdivision shall take effect without
prior judicial notice to the obligor and without the need for
judicial or administrative hearing. Withholding shall result
when:
(1) the obligor requests it in writing to the public
authority;
(2) the obligee or obligor serves on the public authority a
copy of the notice of income withholding, a copy of the court's
order, an application, and the fee to use the public authority's
collection services; or
(3) the public authority commences withholding according to
section 518.5512, subdivision 5, paragraph (a), clause (4).
(c) For cases in which the public authority is not
providing child support services to the parties, income
withholding under this subdivision shall take effect when an
obligee requests it by making a written motion to the court and
the court finds that previous support has not been paid on a
timely consistent basis or that the obligor has threatened
expressly or otherwise to stop or reduce payments;
(d) Within two days after the public authority commences
withholding under this subdivision, the public authority shall
send to the obligor at the obligor's last known address, notice
that withholding has commenced. The notice shall include the
information provided to the payor of funds in the notice of
withholding.
Subd. 8. [CONTEST.] (a) The obligor may contest
withholding under subdivision 7 on the limited grounds that the
withholding or the amount withheld is improper due to mistake of
fact. If the obligor chooses to contest the withholding, the
obligor must do so no later than 15 days after the employer
commences withholding, by doing all of the following:
(1) file a request for contested hearing according to
section 518.5511, subdivision 4, and include in the request the
alleged mistake of fact;
(2) serve a copy of the request for contested hearing upon
the public authority and the obligee; and
(3) secure a date for the contested hearing no later than
45 days after receiving notice that withholding has commenced.
(b) The income withholding must remain in place while the
obligor contests the withholding.
(c) If the court finds a mistake in the amount of the
arrearage to be withheld, the court shall continue the income
withholding, but it shall correct the amount of the arrearage to
be withheld.
Subd. 9. [PRIORITY.] (a) An order for or notice of
withholding under this section or execution or garnishment upon
a judgment for child support arrearage or preadjudicated
expenses shall have priority over an attachment, execution,
garnishment, or wage assignment and shall not be subject to the
statutory limitations on amounts levied against the income of
the obligor. Amounts withheld from an employee's income must
not exceed the maximum permitted under the Consumer Credit
Protection Act, title 15 of the United States Code, section
1673(b).
(b) If more than one order for or notice of withholding
exists involving the same obligor and child, the public
authority shall enforce the most current order or notice. An
order for or notice of withholding that was previously
implemented according to this section shall end as of the date
of the most current order. The public authority shall notify
the payor of funds to withhold under the most current
withholding order or notice.
Subd. 10. [ARREARAGE ORDER.] (a) This section does not
prevent the court from ordering the payor of funds to withhold
amounts to satisfy the obligor's previous arrearage in support
order payments. This remedy shall not operate to exclude
availability of other remedies to enforce judgments. The
employer or payor of funds shall withhold from the obligor's
income an additional amount equal to 20 percent of the monthly
child support or maintenance obligation until the arrearage is
paid.
(b) Notwithstanding any law to the contrary, funds from
income sources included in section 518.54, subdivision 6,
whether periodic or lump sum, are not exempt from attachment or
execution upon a judgment for child support arrearage.
(c) Absent an order to the contrary, if an arrearage exists
at the time a support order would otherwise terminate, income
withholding shall continue in effect or may be implemented in an
amount equal to the support order plus an additional 20 percent
of the monthly child support obligation, until all arrears have
been paid in full.
Subd. 11. [LUMP-SUM PAYMENTS.] Before transmittal to the
obligor of a lump-sum payment of $500 or more including, but not
limited to, severance pay, accumulated sick pay, vacation pay,
bonuses, commissions, or other pay or benefits, a payor of funds:
(1) who has been served with an order for or notice of
income withholding under this section shall:
(i) notify the public authority of the lump-sum payment
that is to be paid to the obligor;
(ii) hold the lump-sum payment for 30 days after the date
on which the lump-sum payment would otherwise have been paid to
the obligor, notwithstanding sections 176.221, 176.225, 176.521,
181.08, 181.101, 181.11, 181.13, and 181.145, and Minnesota
Rules, part 1415.2000, subpart 10; and
(iii) upon order of the court, and after a showing of past
willful nonpayment of support, pay any specified amount of the
lump-sum payment to the public authority for future support; or
(2) shall pay the lessor of the amount of the lump-sum
payment or the total amount of the judgment and arrearages upon
service by United States mail of a sworn affidavit from the
public authority or a court order that includes the following
information:
(i) that a judgment entered pursuant to section 548.091,
subdivision 1a, exists against the obligor, or that other
support arrearages exist;
(ii) the current balance of the judgment or arrearage; and
(iii) that a portion of the judgment or arrearage remains
unpaid.
The Consumer Credit Protection Act, title 15 of the United
States Code, section 1673(b), does not apply to lump-sum
payments.
Subd. 12. [INTERSTATE INCOME WITHHOLDING.] (a) Upon
receipt of an order for support entered in another state and the
specified documentation from an authorized agency, the public
authority shall implement income withholding. A payor of funds
in this state shall withhold income under court orders for
withholding issued by other states or territories.
(b) An employer receiving an income withholding notice from
another state shall withhold and distribute the funds as
directed in the withholding notice and shall apply the law of
the obligor's principal place of employment when determining:
(1) the employer's fee for processing an income withholding
notice;
(2) the maximum amount permitted to be withheld from the
obligor's income; and
(3) deadlines for implementing and forwarding the child
support payment.
(c) An obligor may contest withholding under this
subdivision pursuant to section 518C.506.
Subd. 13. [ORDER TERMINATING INCOME WITHHOLDING.] (a) An
order terminating income withholding must specify the effective
date of the order and reference the initial order or decree that
establishes the support obligation and shall be entered once the
following conditions have been met:
(1) the obligor serves written notice of the application
for termination of income withholding by mail upon the obligee
at the obligee's last known mailing address, and a duplicate
copy of the application is served on the public authority;
(2) the application for termination of income withholding
specifies the event that terminates the support obligation, the
effective date of the termination of the support obligation, and
the applicable provisions of the order or decree that
established the support obligation; and
(3) the application includes the complete name of the
obligor's payor of funds, the business mailing address, the
court action and court file number, and the support and
collections file number, if known.
(b) After receipt of the application for termination of
income withholding, the obligee or the public authority fails
within 20 days to request a contested hearing on the issue of
whether income withholding of support should continue clearly
specifying the basis for the continued support obligation and,
ex parte, to stay the service of the order terminating income
withholding upon the obligor's payor of funds, pending the
outcome of the contest hearing.
Subd. 14. [TERMINATION BY THE PUBLIC AUTHORITY.] If the
public authority determines that income withholding is no longer
applicable, the public authority shall notify the obligee and
the obligor of intent to terminate income withholding.
Five days following notification to the obligee and
obligor, the public authority shall issue a notice to the payor
of funds terminating income withholding, without a requirement
for a court order unless the obligee has requested a contested
hearing under section 518.5511, subdivision 4.
Subd. 15. [CONTRACT FOR SERVICE.] To carry out the
provisions of this section, the public authority responsible for
child support enforcement may contract for services, including
the use of electronic funds transfer.
Subd. 16. [WAIVER.] (a) If child support or maintenance is
not assigned under section 256.741, the court may waive the
requirements of this section if the court finds there is no
arrearage in child support and maintenance as of the date of the
hearing and:
(1) one party demonstrates and the court finds there is
good cause to waive the requirements of this section or to
terminate an order for or notice of income withholding
previously entered under this section; or
(2) all parties reach an agreement and the agreement is
approved by the court after a finding that the agreement is
likely to result in regular and timely payments. The court's
findings waiving the requirements of this paragraph shall
include a written explanation of the reasons why income
withholding would not be in the best interests of the child.
In addition to the other requirements in this subdivision,
if the case involves a modification of support, the court shall
make a finding that support has been timely made.
(b) If the court waives income withholding, the obligee or
obligor may at any time request income withholding under
subdivision 7.
Subd. 17. [NONLIABILITY; PAYOR OF FUNDS.] A payor of funds
who complies with an income withholding order or notice of
withholding according to this chapter or chapter 518C, that
appears regular on its face shall not be subject to civil
liability to any individual or agency for taking action in
compliance with the order or notice.
Subd. 18. [ELECTRONIC TRANSMISSION.] Orders or notices for
withholding under this section may be transmitted for
enforcement purposes by electronic means.
Sec. 49. Minnesota Statutes 1996, section 518.68,
subdivision 2, is amended to read:
Subd. 2. [CONTENTS.] The required notices must be
substantially as follows:
IMPORTANT NOTICE
1. PAYMENTS TO PUBLIC AGENCY
Pursuant According to Minnesota Statutes, section 518.551,
subdivision 1, payments ordered for maintenance and support
must be paid to the public agency responsible for child
support enforcement as long as the person entitled to
receive the payments is receiving or has applied for public
assistance or has applied for support and maintenance
collection services. MAIL PAYMENTS TO:
2. DEPRIVING ANOTHER OF CUSTODIAL OR PARENTAL RIGHTS -- A
FELONY
A person may be charged with a felony who conceals a minor
child or takes, obtains, retains, or fails to return a
minor child from or to the child's parent (or person with
custodial or visitation rights), pursuant according to
Minnesota Statutes, section 609.26. A copy of that section
is available from any district court clerk.
3. RULES OF SUPPORT, MAINTENANCE, VISITATION
(a) Payment of support or spousal maintenance is to be as
ordered, and the giving of gifts or making purchases of
food, clothing, and the like will not fulfill the
obligation.
(b) Payment of support must be made as it becomes due, and
failure to secure or denial of rights of visitation is NOT
an excuse for nonpayment, but the aggrieved party must seek
relief through a proper motion filed with the court.
(c) Nonpayment of support is not grounds to deny
visitation. The party entitled to receive support may
apply for support and collection services, file a contempt
motion, or obtain a judgment as provided in Minnesota
Statutes, section 548.091.
(d) The payment of support or spousal maintenance takes
priority over payment of debts and other obligations.
(e) A party who accepts additional obligations of support
does so with the full knowledge of the party's prior
obligation under this proceeding.
(f) Child support or maintenance is based on annual income,
and it is the responsibility of a person with seasonal
employment to budget income so that payments are made
throughout the year as ordered.
(g) If there is a layoff or a pay reduction, support may be
reduced as of the time of the layoff or pay reduction if a
motion to reduce the support is served and filed with the
court at that time, but any such reduction must be ordered
by the court. The court is not permitted to reduce support
retroactively, except as provided in Minnesota Statutes,
section 518.64, subdivision 2, paragraph (c).
4. PARENTAL RIGHTS FROM MINNESOTA STATUTES, SECTION 518.17,
SUBDIVISION 3
Unless otherwise provided by the Court:
(a) Each party has the right of access to, and to receive
copies of, school, medical, dental, religious training, and
other important records and information about the minor
children. Each party has the right of access to
information regarding health or dental insurance available
to the minor children. Presentation of a copy of this
order to the custodian of a record or other information
about the minor children constitutes sufficient
authorization for the release of the record or information
to the requesting party.
(b) Each party shall keep the other informed as to the name
and address of the school of attendance of the minor
children. Each party has the right to be informed by
school officials about the children's welfare, educational
progress and status, and to attend school and parent
teacher conferences. The school is not required to hold a
separate conference for each party.
(c) In case of an accident or serious illness of a minor
child, each party shall notify the other party of the
accident or illness, and the name of the health care
provider and the place of treatment.
(d) Each party has the right of reasonable access and
telephone contact with the minor children.
5. WAGE AND INCOME DEDUCTION OF SUPPORT AND MAINTENANCE
Child support and/or spousal maintenance may be withheld
from income, with or without notice to the person obligated
to pay, when the conditions of Minnesota Statutes, sections
518.611 and 518.613, have been met. A copy of those
sections is available from any district court clerk.
6. CHANGE OF ADDRESS OR RESIDENCE
Unless otherwise ordered, the person responsible to make
support or maintenance payments each party shall notify the
person entitled to receive the payment other party, the
court, and the public authority responsible for collection,
if applicable, of a change of address or residence the
following information within 60 ten days of the address or
residence change any change: the residential and mailing
address, telephone number, driver's license number, social
security number, and name, address, and telephone number of
the employer.
7. COST OF LIVING INCREASE OF SUPPORT AND MAINTENANCE
Child support and/or spousal maintenance may be adjusted
every two years based upon a change in the cost of living
(using Department of Labor Consumer Price Index ..........,
unless otherwise specified in this order) when the
conditions of Minnesota Statutes, section 518.641, are met.
Cost of living increases are compounded. A copy of
Minnesota Statutes, section 518.641, and forms necessary to
request or contest a cost of living increase are available
from any district court clerk.
8. JUDGMENTS FOR UNPAID SUPPORT
If a person fails to make a child support payment, the
payment owed becomes a judgment against the person
responsible to make the payment by operation of law on or
after the date the payment is due, and the person entitled
to receive the payment or the public agency may obtain
entry and docketing of the judgment WITHOUT NOTICE to the
person responsible to make the payment under Minnesota
Statutes, section 548.091. Interest begins to accrue on a
payment or installment of child support whenever the unpaid
amount due is greater than the current support due,
pursuant according to Minnesota Statutes, section 548.091,
subdivision 1a.
9. JUDGMENTS FOR UNPAID MAINTENANCE
A judgment for unpaid spousal maintenance may be entered
when the conditions of Minnesota Statutes, section 548.091,
are met. A copy of that section is available from any
district court clerk.
10. ATTORNEY FEES AND COLLECTION COSTS FOR ENFORCEMENT OF CHILD
SUPPORT
A judgment for attorney fees and other collection costs
incurred in enforcing a child support order will be entered
against the person responsible to pay support when the
conditions of section 518.14, subdivision 2, are met. A
copy of section 518.14 and forms necessary to request or
contest these attorney fees and collection costs are
available from any district court clerk.
11. VISITATION EXPEDITOR PROCESS
On request of either party or on its own motion, the court
may appoint a visitation expeditor to resolve visitation
disputes under Minnesota Statutes, section 518.1751. A
copy of that section and a description of the expeditor
process is available from any district court clerk.
12. VISITATION REMEDIES AND PENALTIES
Remedies and penalties for the wrongful denial of
visitation rights are available under Minnesota Statutes,
section 518.175, subdivision 6. These include compensatory
visitation; civil penalties; bond requirements; contempt;
and reversal of custody. A copy of that subdivision and
forms for requesting relief are available from any district
court clerk.
Sec. 50. Minnesota Statutes 1996, section 518C.101, is
amended to read:
518C.101 [DEFINITIONS.]
In this chapter:
(a) "Child" means an individual, whether over or under the
age of majority, who is or is alleged to be owed a duty of
support by the individual's parent or who is or is alleged to be
the beneficiary of a support order directed to the parent.
(b) "Child support order" means a support order for a
child, including a child who has attained the age of majority
under the law of the issuing state.
(c) "Duty of support" means an obligation imposed or
imposable by law to provide support for a child, spouse, or
former spouse, including an unsatisfied obligation to provide
support.
(d) "Home state" means the state in which a child lived
with a parent or a person acting as parent for at least six
consecutive months immediately preceding the time of filing of a
petition or comparable pleading for support and, if a child is
less than six months old, the state in which the child lived
from birth with any of them. A period of temporary absence of
any of them is counted as part of the six-month or other period.
(e) "Income" includes earnings or other periodic
entitlements to money from any source and any other property
subject to withholding for support under the law of this state.
(f) "Income-withholding order" means an order or other
legal process directed to an obligor's employer or other debtor
under section 518.611 or 518.613, to withhold support from the
income of the obligor.
(g) "Initiating state" means a state in from which a
proceeding is forwarded or in which a proceeding is filed for
forwarding to a responding state under this chapter or a law or
procedure substantially similar to this chapter, or under a law
or procedure substantially similar to the uniform reciprocal
enforcement of support act, or the revised uniform reciprocal
enforcement of support act is filed for forwarding to a
responding state.
(h) "Initiating tribunal" means the authorized tribunal in
an initiating state.
(i) "Issuing state" means the state in which a tribunal
issues a support order or renders a judgment determining
parentage.
(j) "Issuing tribunal" means the tribunal that issues a
support order or renders a judgment determining parentage.
(k) "Law" includes decisional and statutory law and rules
and regulations having the force of law.
(l) "Obligee" means:
(1) an individual to whom a duty of support is or is
alleged to be owed or in whose favor a support order has been
issued or a judgment determining parentage has been rendered;
(2) a state or political subdivision to which the rights
under a duty of support or support order have been assigned or
which has independent claims based on financial assistance
provided to an individual obligee; or
(3) an individual seeking a judgment determining parentage
of the individual's child.
(m) "Obligor" means an individual, or the estate of a
decedent:
(1) who owes or is alleged to owe a duty of support;
(2) who is alleged but has not been adjudicated to be a
parent of a child; or
(3) who is liable under a support order.
(n) "Petition" means a petition or comparable pleading used
pursuant to section 518.5511.
(o) "Register" means to file a support order or judgment
determining parentage in the office of the court administrator.
(p) (o) "Registering tribunal" means a tribunal in which a
support order is registered.
(q) (p) "Responding state" means a state to in which a
proceeding is filed or to which a proceeding is forwarded for
filing from an initiating state under this chapter or a law or
procedure substantially similar to this chapter, or under a law
or procedure substantially similar to the uniform reciprocal
enforcement of support act, or the revised uniform reciprocal
enforcement of support act.
(r) (q) "Responding tribunal" means the authorized tribunal
in a responding state.
(s) (r) "Spousal support order" means a support order for a
spouse or former spouse of the obligor.
(t) (s) "State" means a state of the United States, the
District of Columbia, the Commonwealth of Puerto Rico, the
United States Virgin Islands, or any territory or insular
possession subject to the jurisdiction of the United States.
"State" includes:
(1) an Indian tribe; and
(2) a foreign jurisdiction that has enacted a law or
established procedures for issuance and enforcement of support
orders that are substantially similar to the procedures under
this chapter or the procedures under the uniform reciprocal
enforcement of support act or the revised uniform reciprocal
enforcement of support act.
(u) (t) "Support enforcement agency" means a public
official or agency authorized to:
(1) seek enforcement of support orders or laws relating to
the duty of support;
(2) seek establishment or modification of child support;
(3) seek determination of parentage; or
(4) locate obligors or their assets.
(v) (u) "Support order" means a judgment, decree, or order,
whether temporary, final, or subject to modification, for the
benefit of a child, spouse, or former spouse, which provides for
monetary support, health care, arrearages, or reimbursement, and
may include related costs and fees, interest, income
withholding, attorney's fees, and other relief.
(w) (v) "Tribunal" means a court, administrative agency, or
quasi-judicial entity authorized to establish, enforce, or
modify support orders or to determine parentage.
Sec. 51. Minnesota Statutes 1996, section 518C.205, is
amended to read:
518C.205 [CONTINUING, EXCLUSIVE JURISDICTION.]
(a) A tribunal of this state issuing a support order
consistent with the law of this state has continuing, exclusive
jurisdiction over a child support order:
(1) as long as this state remains the residence of the
obligor, the individual obligee, or the child for whose benefit
the support order is issued; or
(2) until each individual party has all of the parties who
are individuals have filed written consent consents with the
tribunal of this state for a tribunal of another state to modify
the order and assume continuing, exclusive jurisdiction.
(b) A tribunal of this state issuing a child support order
consistent with the law of this state may not exercise its
continuing jurisdiction to modify the order if the order has
been modified by a tribunal of another state pursuant to this
chapter or a law substantially similar to this chapter.
(c) If a child support order of this state is modified by a
tribunal of another state pursuant to this chapter or a law
substantially similar to this chapter, a tribunal of this state
loses its continuing, exclusive jurisdiction with regard to
prospective enforcement of the order issued in this state, and
may only:
(1) enforce the order that was modified as to amounts
accruing before the modification;
(2) enforce nonmodifiable aspects of that order; and
(3) provide other appropriate relief for violations of that
order which occurred before the effective date of the
modification.
(d) A tribunal of this state shall recognize the
continuing, exclusive jurisdiction of a tribunal of another
state which has issued a child support order pursuant to this
chapter or a law substantially similar to this chapter.
(e) A temporary support order issued ex parte or pending
resolution of a jurisdictional conflict does not create
continuing, exclusive jurisdiction in the issuing tribunal.
(f) A tribunal of this state issuing a support order
consistent with the law of this state has continuing, exclusive
jurisdiction over a spousal support order throughout the
existence of the support obligation. A tribunal of this state
may not modify a spousal support order issued by a tribunal of
another state having continuing, exclusive jurisdiction over
that order under the law of that state.
Sec. 52. Minnesota Statutes 1996, section 518C.207, is
amended to read:
518C.207 [RECOGNITION OF CONTROLLING CHILD SUPPORT ORDERS
ORDER.]
(a) If a proceeding is brought under this chapter and only
one tribunal has issued a child support order, the order of that
tribunal is controlling and must be recognized.
(b) If a proceeding is brought under this chapter, and one
two or more child support orders have been issued in by
tribunals of this state or another state with regard to an the
same obligor and a child, a tribunal of this state shall apply
the following rules in determining which order to recognize for
purposes of continuing, exclusive jurisdiction:
(1) If only one tribunal has issued a child support order,
the order of that tribunal must be recognized.
(2) If two or more tribunals have issued child support
orders for the same obligor and child, and only one of the
tribunals would have continuing, exclusive jurisdiction under
this chapter, the order of that tribunal is controlling and must
be recognized.
(3) (2) If two or more tribunals have issued child support
orders for the same obligor and child, and more than one of the
tribunals would have continuing, exclusive jurisdiction under
this chapter, an order issued by a tribunal in the current home
state of the child must be recognized, but if an order has not
been issued in the current home state of the child, the order
most recently issued is controlling and must be recognized.
(4) (3) If two or more tribunals have issued child support
orders for the same obligor and child, and none of the tribunals
would have continuing, exclusive jurisdiction under this
chapter, the tribunal of this state may having jurisdiction over
the parties shall issue a child support order, which is
controlling and must be recognized.
(c) If two or more child support orders have been issued
for the same obligor and child and if the obligor or the
individual obligee resides in this state, a party may request a
tribunal of this state to determine which order controls and
must be recognized under paragraph (b). The request must be
accompanied by a certified copy of every support order in effect.
The requesting party shall give notice of the request to each
party whose rights may be affected by the determination.
(b) (d) The tribunal that has issued an the order that
must be recognized as controlling under paragraph (a) (b) or (c)
is the tribunal having that has continuing, exclusive
jurisdiction in accordance with section 518C.205.
(e) A tribunal of this state which determines by order the
identity of the controlling child support order under paragraph
(b), clause (1) or (2), or which issues a new controlling child
support order under paragraph (b), clause (3), shall include in
that order the basis upon which the tribunal made its
determination.
(f) Within 30 days after issuance of the order determining
the identity of the controlling order, the party obtaining that
order shall file a certified copy of it with each tribunal that
had issued or registered an earlier order of child support. A
party who obtains the order and fails to file a certified copy
is subject to appropriate sanctions by a tribunal in which the
issue of failure to file arises. The failure to file does not
affect the validity or enforceability of the controlling order.
Sec. 53. Minnesota Statutes 1996, section 518C.304, is
amended to read:
518C.304 [DUTIES OF INITIATING TRIBUNAL.]
(a) Upon the filing of a petition authorized by this
chapter, an initiating tribunal of this state shall forward
three copies of the petition and its accompanying documents:
(1) to the responding tribunal or appropriate support
enforcement agency in the responding state; or
(2) if the identity of the responding tribunal is unknown,
to the state information agency of the responding state with a
request that they be forwarded to the appropriate tribunal and
that receipt be acknowledged.
(b) If a responding state has not enacted this chapter or a
law or procedure substantially similar to this chapter, a
tribunal of this state may issue a certificate or other
documents and make findings required by the law of the
responding state. If the responding state is a foreign
jurisdiction, the tribunal may specify the amount of support
sought and provide other documents necessary to satisfy the
requirements of the responding state.
Sec. 54. Minnesota Statutes 1996, section 518C.305, is
amended to read:
518C.305 [DUTIES AND POWERS OF RESPONDING TRIBUNAL.]
(a) When a responding tribunal of this state receives a
petition or comparable pleading from an initiating tribunal or
directly pursuant to section 518C.301, paragraph (c), it shall
cause the petition or pleading to be filed and notify the
petitioner by first class mail where and when it was filed.
(b) A responding tribunal of this state, to the extent
otherwise authorized by law, may do one or more of the following:
(1) issue or enforce a support order, modify a child
support order, or render a judgment to determine parentage;
(2) order an obligor to comply with a support order,
specifying the amount and the manner of compliance;
(3) order income withholding;
(4) determine the amount of any arrearages, and specify a
method of payment;
(5) enforce orders by civil or criminal contempt, or both;
(6) set aside property for satisfaction of the support
order;
(7) place liens and order execution on the obligor's
property;
(8) order an obligor to keep the tribunal informed of the
obligor's current residential address, telephone number,
employer, address of employment, and telephone number at the
place of employment;
(9) issue a bench warrant for an obligor who has failed
after proper notice to appear at a hearing ordered by the
tribunal and enter the bench warrant in any local and state
computer systems for criminal warrants;
(10) order the obligor to seek appropriate employment by
specified methods;
(11) award reasonable attorney's fees and other fees and
costs; and
(12) grant any other available remedy.
(c) A responding tribunal of this state shall include in a
support order issued under this chapter, or in the documents
accompanying the order, the calculations on which the support
order is based.
(d) A responding tribunal of this state may not condition
the payment of a support order issued under this chapter upon
compliance by a party with provisions for visitation.
(e) If a responding tribunal of this state issues an order
under this chapter, the tribunal shall send a copy of the order
by first class mail to the petitioner and the respondent and to
the initiating tribunal, if any.
Sec. 55. Minnesota Statutes 1996, section 518C.310, is
amended to read:
518C.310 [DUTIES OF STATE INFORMATION AGENCY.]
(a) The unit within the department of human services that
receives and disseminates incoming interstate actions under
title IV-D of the Social Security Act from section 518C.02,
subdivision 1a, is the state information agency under this
chapter.
(b) The state information agency shall:
(1) compile and maintain a current list, including
addresses, of the tribunals in this state which have
jurisdiction under this chapter and any support enforcement
agencies in this state and transmit a copy to the state
information agency of every other state;
(2) maintain a register of tribunals and support
enforcement agencies received from other states;
(3) forward to the appropriate tribunal in the place in
this state in which the individual obligee or the obligor
resides, or in which the obligor's property is believed to be
located, all documents concerning a proceeding under this
chapter received from an initiating tribunal or the state
information agency of the initiating state; and
(4) obtain information concerning the location of the
obligor and the obligor's property within this state not exempt
from execution, by such means as postal verification and federal
or state locator services, examination of telephone directories,
requests for the obligor's address from employers, and
examination of governmental records, including, to the extent
not prohibited by other law, those relating to real property,
vital statistics, law enforcement, taxation, motor vehicles,
driver's licenses, and social security; and
(5) determine which foreign jurisdictions and Indian tribes
have substantially similar procedures for issuance and
enforcement of support orders. The state information agency
shall compile and maintain a list, including addresses, of all
these foreign jurisdictions and Indian tribes. The state
information agency shall make this list available to all state
tribunals and all support enforcement agencies.
Sec. 56. Minnesota Statutes 1996, section 518C.401, is
amended to read:
518C.401 [PETITION TO ESTABLISH SUPPORT ORDER.]
(a) If a support order entitled to recognition under this
chapter has not been issued, a responding tribunal of this state
may issue a support order if:
(1) the individual seeking the order resides in another
state; or
(2) the support enforcement agency seeking the order is
located in another state.
(b) The tribunal may issue a temporary child support order
if:
(1) the respondent has signed a verified statement
acknowledging parentage;
(2) the respondent has been determined by or pursuant to
law to be the parent; or
(3) there is other clear and convincing evidence that the
respondent is the child's parent.
(c) Upon a finding, after notice and opportunity to be
heard, that an obligor owes a duty of support, the tribunal
shall issue a support order directed to the obligor and may
issue other orders pursuant according to section 518C.305.
Sec. 57. Minnesota Statutes 1996, section 518C.501, is
amended to read:
518C.501 [RECOGNITION EMPLOYER'S RECEIPT OF
INCOME-WITHHOLDING ORDER OF ANOTHER STATE.]
(a) An income-withholding order issued in another state may
be sent by first class mail to the person or entity defined as
the obligor's employer under section 518.611 or 518.613 without
first filing a petition or comparable pleading or registering
the order with a tribunal of this state. Upon receipt of the
order, the employer shall:
(1) treat an income-withholding order issued in another
state which appears regular on its face as if it had been issued
by a tribunal of this state;
(2) immediately provide a copy of the order to the obligor;
and
(3) distribute the funds as directed in the withholding
order.
(b) An obligor may contest the validity or enforcement of
an income-withholding order issued in another state in the same
manner as if the order had been issued by a tribunal of this
state. Section 518C.604 applies to the contest. The obligor
shall give notice of the contest to any support enforcement
agency providing services to the obligee and to:
(1) the person or agency designated to receive payments in
the income-withholding order; or
(2) if no person or agency is designated, the obligee.
Sec. 58. [518C.5025] [EMPLOYER'S COMPLIANCE WITH
INCOME-WITHHOLDING ORDER OF ANOTHER STATE.]
(a) Upon receipt of an income-withholding order, the
obligor's employer shall immediately provide a copy of the order
to the obligor.
(b) The employer shall treat an income-withholding order
issued in another state which appears regular on its face as if
it had been issued by a tribunal of this state.
(c) Except as provided by paragraph (d) and section
518C.503, the employer shall withhold and distribute the funds
as directed in the withholding order by complying with the terms
of the order, as applicable, that specify:
(1) the duration and the amount of periodic payments of
current child support, stated as a sum certain;
(2) the person or agency designated to receive payments and
the address to which the payments are to be forwarded;
(3) medical support, whether in the form of periodic cash
payment, stated as a sum certain, or ordering the obligor to
provide health insurance coverage for the child under a policy
available through the obligor's employment;
(4) the amount of periodic payments of fees and costs for a
support enforcement agency, the issuing tribunal, and the
obligee's attorney, stated as sums certain; and
(5) the amount of periodic payments of arrears and interest
on arrears, stated as sums certain.
(d) The employer shall comply with the law of the state of
the obligor's principal place of employment for withholding from
income with respect to:
(1) the employer's fee for processing an income-withholding
order;
(2) the maximum amount permitted to be withheld from the
obligor's income; and
(3) the time periods within which the employer must
implement the withholding order and forward the child support
payment.
Sec. 59. [518C.503] [COMPLIANCE WITH MULTIPLE
INCOME-WITHHOLDING ORDERS.]
If the obligor's employer receives multiple orders to
withhold support from the earnings of the same obligor, the
employer satisfies the terms of the multiple orders if the
employer complies with the law of the state of the obligor's
principal place of employment to establish the priorities for
withholding and allocating income withheld for multiple child
support obligees.
Sec. 60. [518C.504] [IMMUNITY FROM CIVIL LIABILITY.]
An employer who complies with an income-withholding order
issued in another state in accordance with this chapter is not
subject to civil liability to any individual or agency with
regard to the employer's withholding child support from the
obligor's income.
Sec. 61. [518C.505] [PENALTIES FOR NONCOMPLIANCE.]
An employer who willfully fails to comply with an
income-withholding order issued by another state and received
for enforcement is subject to the same penalties that may be
imposed for noncompliance with an order issued by a tribunal of
this state.
Sec. 62. [518C.506] [CONTEST BY OBLIGOR.]
(a) An obligor may contest the validity or enforcement of
an income-withholding order issued in another state and received
directly by an employer in this state in the same manner as if
the order had been issued by a tribunal of this state. Section
518C.604 applies to the contest.
(b) The obligor shall give notice of the contest to:
(1) a support enforcement agency providing services to the
obligee;
(2) each employer which has directly received an
income-withholding order; and
(3) the person or agency designated to receive payments in
the income-withholding order or, if no person or agency is
designated, to the obligee.
Sec. 63. [518C.508] [ADMINISTRATIVE ENFORCEMENT OF
ORDERS.]
(a) A party seeking to enforce a support order or an
income-withholding order, or both, issued by a tribunal of
another state may send the documents required for registering
the order to a support enforcement agency of this state.
(b) Upon receipt of the documents, the support enforcement
agency, without initially seeking to register the order, shall
consider and may use any administrative procedure authorized by
the laws of this state to enforce a support order or an
income-withholding order, or both. If the obligor does not
contest administrative enforcement, the order need not be
registered. If the obligor contests the validity or
administrative enforcement of the order, the support enforcement
agency shall register the order under this chapter.
Sec. 64. Minnesota Statutes 1996, section 518C.603, is
amended to read:
518C.603 [EFFECT OF REGISTRATION FOR ENFORCEMENT.]
(a) A support order or income-withholding order issued in
another state is registered when the order is filed in the
registering tribunal of this state.
(b) A registered order issued in another state is
enforceable in the same manner and is subject to the same
procedures as an order issued by a tribunal of this state.
(c) Except as otherwise provided in sections 518C.601 to
518C.612 this chapter, a tribunal of this state shall recognize
and enforce, but may not modify, a registered order if the
issuing tribunal had jurisdiction.
Sec. 65. Minnesota Statutes 1996, section 518C.605, is
amended to read:
518C.605 [NOTICE OF REGISTRATION OF ORDER.]
(a) When a support order or income-withholding order issued
in another state is registered, the registering tribunal shall
notify the nonregistering party. Notice must be given by
certified or registered mail or by any means of personal service
authorized by the law of this state. The notice must be
accompanied by a copy of the registered order and the documents
and relevant information accompanying the order.
(b) The notice must inform the nonregistering party:
(1) that a registered order is enforceable as of the date
of registration in the same manner as an order issued by a
tribunal of this state;
(2) that a hearing to contest the validity or enforcement
of the registered order must be requested within 20 days after
the date of mailing or personal service of the notice;
(3) that failure to contest the validity or enforcement of
the registered order in a timely manner will result in
confirmation of the order and enforcement of the order and the
alleged arrearages and precludes further contest of that order
with respect to any matter that could have been asserted; and
(4) of the amount of any alleged arrearages.
(c) Upon registration of an income-withholding order for
enforcement, the registering tribunal shall notify the obligor's
employer pursuant to section 518.611 or 518.613.
Sec. 66. Minnesota Statutes 1996, section 518C.608, is
amended to read:
518C.608 [CONFIRMED ORDER.]
If a contesting party has received notice of registration
under section 518C.605, Confirmation of a registered order,
whether by operation of law or after notice and hearing,
precludes further contest of the order based upon facts that
were known by the contesting party at the time of registration
with respect to any matter that could have been asserted at the
time of registration with respect to any matter that could have
been asserted at the time of registration.
Sec. 67. Minnesota Statutes 1996, section 518C.611, is
amended to read:
518C.611 [MODIFICATION OF CHILD SUPPORT ORDER OF ANOTHER
STATE.]
(a) After a child support order issued in another state has
been registered in this state, the responding tribunal of this
state may modify that order only if, section 518C.613 does not
apply and after notice and hearing, it finds that:
(1) the following requirements are met:
(i) the child, the individual obligee, and the obligor do
not reside in the issuing state;
(ii) a petitioner who is a nonresident of this state seeks
modification; and
(iii) the respondent is subject to the personal
jurisdiction of the tribunal of this state; or
(2) an individual party or the child, or a party who is an
individual, is subject to the personal jurisdiction of the
tribunal of this state and all of the individual parties who are
individuals have filed a written consent consents in the issuing
tribunal providing that for a tribunal of this state may to
modify the support order and assume continuing, exclusive
jurisdiction over the order. However, if the issuing state is a
foreign jurisdiction that has not enacted a law or established
procedures substantially similar to the procedures in this
chapter, the consent otherwise required of an individual
residing in this state is not required for the tribunal to
assume jurisdiction to modify the child support order.
(b) Modification of a registered child support order is
subject to the same requirements, procedures, and defenses that
apply to the modification of an order issued by a tribunal of
this state and the order may be enforced and satisfied in the
same manner.
(c) A tribunal of this state may not modify any aspect of a
child support order that may not be modified under the law of
the issuing state. If two or more tribunals have issued child
support orders for the same obligor and child, the order that
controls and must be recognized under section 518C.207
establishes the aspects of the support order which are
nonmodifiable.
(d) On issuance of an order modifying a child support order
issued in another state, a tribunal of this state becomes the
tribunal of continuing, exclusive jurisdiction.
(e) Within 30 days after issuance of a modified child
support order, the party obtaining the modification shall file a
certified copy of the order with the issuing tribunal which had
continuing, exclusive jurisdiction over the earlier order, and
in each tribunal in which the party knows that earlier order has
been registered.
Sec. 68. Minnesota Statutes 1996, section 518C.612, is
amended to read:
518C.612 [RECOGNITION OF ORDER MODIFIED IN ANOTHER STATE.]
A tribunal of this state shall recognize a modification of
its earlier child support order by a tribunal of another state
which assumed jurisdiction pursuant according to this chapter or
a law substantially similar to this chapter and, upon request,
except as otherwise provided in this chapter, shall:
(1) enforce the order that was modified only as to amounts
accruing before the modification;
(2) enforce only nonmodifiable aspects of that order;
(3) provide other appropriate relief only for violations of
that order which occurred before the effective date of the
modification; and
(4) recognize the modifying order of the other state, upon
registration, for the purpose of enforcement.
Sec. 69. [518C.613] [JURISDICTION TO MODIFY SUPPORT ORDER
OF ANOTHER STATE WHEN INDIVIDUAL PARTIES RESIDE IN THIS STATE.]
(a) If all of the parties who are individuals reside in
this state and the child does not reside in the issuing state, a
tribunal of this state has jurisdiction to enforce and to modify
the issuing state's child support order in a proceeding to
register that order.
(b) A tribunal of this state exercising jurisdiction as
provided in this section shall apply sections 518C.101 to
518C.209 and 518C.601 to 518C.614 to the enforcement or
modification proceeding. Sections 518C.301 to 518C.507 and
518C.701 to 518C.802 do not apply and the tribunal shall apply
the procedural and substantive law of this state.
Sec. 70. [518C.614] [NOTICE TO ISSUING TRIBUNAL OF
MODIFICATION.]
Within 30 days after issuance of a modified child support
order, the party obtaining the modification shall file a
certified copy of the order with the issuing tribunal that had
continuing, exclusive jurisdiction over the earlier order, and
in each tribunal in which the party knows the earlier order has
been registered. A party who obtains the order and fails to
file a certified copy is subject to appropriate sanctions by a
tribunal in which the issue of failure to file arises. The
failure to file does not affect the validity or enforceability
of the modified order of the new tribunal having continuing,
exclusive jurisdiction.
Sec. 71. Minnesota Statutes 1996, section 518C.701, is
amended to read:
518C.701 [PROCEEDING TO DETERMINE PARENTAGE.]
(a) A tribunal of this state may serve as an initiating or
responding tribunal in a proceeding brought under this chapter
or a law or procedure substantially similar to this chapter, or
under a law or procedure substantially similar to the uniform
reciprocal enforcement of support act, or the revised uniform
reciprocal enforcement of support act to determine that the
petitioner is a parent of a particular child or to determine
that a respondent is a parent of that child.
(b) In a proceeding to determine parentage, a responding
tribunal of this state shall apply the parentage act, sections
257.51 to 257.74, and the rules of this state on choice of law.
Sec. 72. Minnesota Statutes 1996, section 548.091,
subdivision 1a, is amended to read:
Subd. 1a. [CHILD SUPPORT JUDGMENT BY OPERATION OF LAW.]
(a) Any payment or installment of support required by a judgment
or decree of dissolution or legal separation, determination of
parentage, an order under chapter 518C, an order under section
256.87, or an order under section 260.251, that is not paid or
withheld from the obligor's income as required under section
518.611 or 518.613, or which is ordered as child support by
judgment, decree, or order by a court in any other state, is a
judgment by operation of law on and after the date it is due and
is entitled to full faith and credit in this state and any other
state. Except as otherwise provided by paragraph (b), interest
accrues from the date the unpaid amount due is greater than the
current support due at the annual rate provided in section
549.09, subdivision 1, plus two percent, not to exceed an annual
rate of 18 percent. A payment or installment of support that
becomes a judgment by operation of law between the date on which
a party served notice of a motion for modification under section
518.64, subdivision 2, and the date of the court's order on
modification may be modified under that subdivision.
(b) Notwithstanding the provisions of section 549.09, upon
motion to the court and upon proof by the obligor of 36
consecutive months of complete and timely payments of both
current support and court-ordered paybacks of a child support
debt or arrearage, the court may order interest on the remaining
debt or arrearage to stop accruing. Timely payments are those
made in the month in which they are due. If, after that time,
the obligor fails to make complete and timely payments of both
current support and court-ordered paybacks of child support debt
or arrearage, the public authority or the obligee may move the
court for the reinstatement of interest as of the month in which
the obligor ceased making complete and timely payments.
The court shall provide copies of all orders issued under
this section to the public authority. The commissioner of human
services shall prepare and make available to the court and the
parties forms to be submitted by the parties in support of a
motion under this paragraph.
Sec. 73. Minnesota Statutes 1996, section 548.091,
subdivision 2a, is amended to read:
Subd. 2a. [DOCKETING OF CHILD SUPPORT JUDGMENT.] On or
after the date an unpaid amount becomes a judgment by operation
of law under subdivision 1a, the obligee or the public authority
may file with the court administrator, either electronically or
by other means:
(1) a statement identifying, or a copy of, the judgment or
decree of dissolution or legal separation, determination of
parentage, order under chapter 518C, an order under section
256.87, or an order under section 260.251, or judgment, decree,
or order for child support by a court in any other state, which
provides for installment or periodic payments installments of
child support, or a judgment or notice of attorney fees and
collection costs under section 518.14, subdivision 2;
(2) an affidavit of default. The affidavit of default must
state the full name, occupation, place of residence, and last
known post office address of the obligor, the name and post
office address of the obligee, the date or dates payment was due
and not received and judgment was obtained by operation of law,
and the total amount of the judgments to the date of filing, and
the amount and frequency of the periodic installments of child
support that will continue to become due and payable subsequent
to the date of filing; and
(3) an affidavit of service of a notice of entry of
judgment or notice of intent to docket judgment and to recover
attorney fees and collection costs on the obligor, in person or
by mail at the obligor's last known post office address.
Service is completed upon mailing in the manner designated.
Where applicable, a notice of interstate lien in the form
promulgated under United States Code, title 42, section 652(a),
is sufficient to satisfy the requirements of clauses (1) and (2).
Sec. 74. Minnesota Statutes 1996, section 548.091,
subdivision 3a, is amended to read:
Subd. 3a. [ENTRY, DOCKETING, AND SURVIVAL OF CHILD SUPPORT
JUDGMENT.] Upon receipt of the documents filed under subdivision
2a, the court administrator shall enter and docket the judgment
in the amount of the default specified in the affidavit of
default unpaid obligation identified in the affidavit of default
and note the amount and frequency of the periodic installments
of child support that will continue to become due and payable
after the date of docketing. From the time of docketing, the
judgment is a lien upon all the real property in the county
owned by the judgment debtor, but it is not a lien on registered
land unless the obligee or the public authority causes a notice
of judgment lien or certified copy of the judgment to be
memorialized on the certificate of title or certificate of
possessory title under section 508.63 or 508A.63. The judgment
survives and the lien continues for ten years after the date the
judgment was docketed. Child support judgments may be renewed
by service of notice upon the debtor. Service shall be by
certified mail at the last known address of the debtor or in the
manner provided for the service of civil process. Upon the
filing of the notice and proof of service the court
administrator shall renew the judgment for child support without
any additional filing fee.
Sec. 75. Minnesota Statutes 1996, section 548.091, is
amended by adding a subdivision to read:
Subd. 5. [AUTOMATIC INCREASES; SATISFACTION.] After
docketing and until satisfied by the obligee, public authority,
or the court administrator, the amount of the docketed judgment
automatically increases by the total amount of periodic
installments of child support that became due and payable
subsequent to the date of docketing, plus attorney's fees and
collection costs incurred by the public authority, and less any
payment made by the obligor to partially satisfy the docketed
judgment. The court administrator shall not satisfy any child
support judgment without first obtaining a written judgment
payoff statement from the public authority or obligee. If no
such statement can be obtained within two business days, the
court administrator shall only satisfy the judgment if the
amount paid to the court administrator equals the judgment
amount plus interest and costs, and the amount of the periodic
installment times the number of payments due since the date of
docketing of the judgment.
Sec. 76. Minnesota Statutes 1996, section 548.091, is
amended by adding a subdivision to read:
Subd. 6. [NOTE ON JUDGMENT ROLL.] The court administrator
shall note on the judgment roll which judgments are filed
pursuant to this section and the amount and frequency of the
periodic installment of child support that will continue to
become due and payable after the date of docketing.
Sec. 77. Minnesota Statutes 1996, section 548.091, is
amended by adding a subdivision to read:
Subd. 7. [FEES.] The public authority is exempt from
payment of fees when a judgment is docketed or a certified copy
of a judgment is issued by a court administrator, or a notice of
judgment lien or a certified copy of a judgment is presented to
a registrar of titles for recording. If a notice or certified
copy is recorded by the public authority under this subdivision,
the registrar of titles may collect from a party presenting for
recording a satisfaction or release of the notice or certified
copy the fees for recording and memorializing both the notice or
certified copy and the satisfaction or release.
Sec. 78. Minnesota Statutes 1996, section 548.091, is
amended by adding a subdivision to read:
Subd. 8. [REGISTERED LAND.] If requested by the public
authority and upon the public authority's providing a notice of
judgment lien or a certified copy of a judgment for child
support debt, together with a street address, tax parcel
identifying number, or a legal description for a parcel of real
property, the county recorder shall search the registered land
records in that county and cause the notice of judgment lien or
certified copy of the judgment to be memorialized on every
certificate of title or certificate of possessory title of
registered land in that county that can be reasonably identified
as owned by the obligor who is named on a docketed judgment.
The fees for memorializing the lien or judgment must be paid in
the manner prescribed by subdivision 7. The county recorders
and their employees and agents are not liable for any loss or
damages arising from failure to identify a parcel of registered
land owned by the obligor who is named on the docketed judgment.
Sec. 79. Minnesota Statutes 1996, section 548.091, is
amended by adding a subdivision to read:
Subd. 9. [PAYOFF STATEMENT.] The public authority shall
issue to the obligor, attorneys, lenders, and closers, or their
agents, a payoff statement setting forth conclusively the amount
necessary to satisfy the lien. Payoff statements must be issued
within three business days after receipt of a request by mail,
personal delivery, telefacsimile, or e-mail transmission, and
must be delivered to the requester by telefacsimile or e-mail
transmission if requested and if appropriate technology is
available to the public authority.
Sec. 80. Minnesota Statutes 1996, section 548.091, is
amended by adding a subdivision to read:
Subd. 10. [RELEASE OF LIEN.] Upon payment of the amount
due under subdivision 5, the public authority shall execute and
deliver a satisfaction of the judgment lien within five business
days.
Sec. 81. Minnesota Statutes 1996, section 548.091, is
amended by adding a subdivision to read:
Subd. 11. [SPECIAL PROCEDURES.] The public authority shall
negotiate a release of lien on specific property for less than
the full amount due where the proceeds of a sale or financing,
less reasonable and necessary closing expenses, are not
sufficient to satisfy all encumbrances on the liened property.
Partial releases do not release the obligor's personal liability
for the amount unpaid.
Sec. 82. Minnesota Statutes 1996, section 548.091, is
amended by adding a subdivision to read:
Subd. 12. [CORRECTING ERRORS.] The public authority shall
maintain a process to review the identity of the obligor and to
issue releases of lien in cases of misidentification. The
public authority shall maintain a process to review the amount
of child support determined to be delinquent and to issue
amended notices of judgment lien in cases of incorrectly
docketed judgments.
Sec. 83. Minnesota Statutes 1996, section 548.091, is
amended by adding a subdivision to read:
Subd. 13. [FORMS.] The department of human services, after
consultation with registrars of title, shall prescribe the
notice of judgment lien. These forms are not subject to chapter
14.
Sec. 84. Minnesota Statutes 1996, section 550.37,
subdivision 24, is amended to read:
Subd. 24. [EMPLOYEE BENEFITS.] (a) The debtor's right to
receive present or future payments, or payments received by the
debtor, under a stock bonus, pension, profit sharing, annuity,
individual retirement account, individual retirement annuity,
simplified employee pension, or similar plan or contract on
account of illness, disability, death, age, or length of service:
(1) to the extent the plan or contract is described in
section 401(a), 403, 408, or 457 of the Internal Revenue Code of
1986, as amended, or payments under the plan or contract are or
will be rolled over as provided in section 402(a)(5), 403(b)(8),
or 408(d)(3) of the Internal Revenue Code of 1986, as amended;
or
(2) to the extent of the debtor's aggregate interest under
all plans and contracts up to a present value of $30,000 and
additional amounts under all the plans and contracts to the
extent reasonably necessary for the support of the debtor and
any spouse or dependent of the debtor.
(b) The exemptions in paragraph (a) do not apply when the
debt is owed under a support order as defined in section 518.54,
subdivision 4a.
Sec. 85. [552.01] [DEFINITIONS.]
Subdivision 1. [SCOPE.] For the purposes of this chapter,
the terms defined in this section have the meanings given them.
Subd. 2. [PUBLIC AUTHORITY.] "Public authority" means the
public authority responsible for child support enforcement.
Subd. 3. [JUDGMENT DEBTOR.] "Judgment debtor" means a
party against whom the public authority has a judgment for the
recovery of money owed pursuant to a support order as defined in
section 518.54.
Subd. 4. [THIRD PARTY.] "Third party" means the person or
entity upon whom the execution levy is served.
Subd. 5. [CLAIM.] "Claim" means the unpaid balance of the
public authority's judgment against the judgment debtor,
including all lawful interest and costs incurred.
Subd. 6. [FINANCIAL INSTITUTION.] "Financial institution"
means all entities identified in section 13B.06.
Sec. 86. [552.02] [PUBLIC AUTHORITY'S SUMMARY EXECUTION OF
SUPPORT JUDGMENT DEBTS; WHEN AUTHORIZED.]
The public authority may execute on a money judgment
resulting from money owed pursuant to a support order by levying
under this chapter on indebtedness owed to the judgment debtor
by a third party. The public authority may execute under this
chapter upon service of a notice of support judgment levy for
which the seal of the court is not required.
Sec. 87. [552.03] [SCOPE OF GENERAL AND SPECIFIC
PROVISIONS.]
General provisions relating to the public authority's
summary execution as authorized in this chapter are set forth in
section 552.04. Specific provisions relating to summary
execution on funds at a financial institution are set forth in
section 552.05. When the public authority levies against funds
at a financial institution, the specific provisions of section
552.05 must be complied with in addition to the general
provisions of section 552.04. Provisions contained in the
statutory forms are incorporated in this chapter and have the
same force of law as any other provisions in this chapter.
Sec. 88. [552.04] [GENERAL PROVISIONS.]
Subdivision 1. [RULES OF CIVIL PROCEDURE.] Unless this
chapter specifically provides otherwise, the Minnesota Rules of
Civil Procedure for the District Courts and section 518.511
apply in all proceedings under this chapter.
Subd. 2. [PROPERTY ATTACHABLE BY SERVICE OF LEVY.] Subject
to the exemptions provided by subdivision 3 and section 550.37,
and any other applicable statute, to the extent the exemptions
apply in cases of child support enforcement, the service by the
public authority of a notice of support judgment levy under this
chapter attaches all nonexempt indebtedness or money due or
belonging to the judgment debtor and owing by the third party or
in the possession or under the control of the third party at the
time of service of the notice of support judgment levy, whether
or not the indebtedness or money has become payable. The third
party shall not be compelled to pay or deliver the same before
the time specified by any agreement unless the agreement was
fraudulently contracted to defeat an execution levy or other
collection remedy.
Subd. 3. [PROPERTY NOT ATTACHABLE.] The following property
is not subject to attachment by a notice of support judgment
levy served under this chapter:
(1) any indebtedness or money due to the judgment debtor,
unless at the time of the service of the notice of support
judgment levy the same is due absolutely or does not depend upon
any contingency;
(2) any judgment owing by the third party to the judgment
debtor, if the third party or the third party's property is
liable on an execution levy upon the judgment;
(3) any debt owing by the third party to the judgment
debtor for which any negotiable instrument has been issued or
endorsed by the third party;
(4) any indebtedness or money due to the judgment debtor
with a cumulative value of less than $10; and
(5) any disposable earnings, indebtedness, or money that is
exempt under state or federal law to the extent the exemptions
apply in cases of child support enforcement.
Subd. 4. [SERVICE OF THIRD PARTY LEVY; NOTICE AND
DISCLOSURE FORMS.] When levying upon money owed to the judgment
debtor by a third party, the public authority shall serve a copy
of the notice of support judgment levy upon the third party
either by registered or certified mail, or by personal service.
Along with a copy of the notice of support judgment levy, the
public authority shall serve upon the third party a notice of
support judgment levy and disclosure form that must be
substantially in the form set forth below.
OFFICE OF ADMINISTRATIVE HEARINGS
File No. ...........
........ (Public authority)
against NOTICE OF SUPPORT JUDGMENT
........ (Judgment Debtor) LEVY AND DISCLOSURE
and (OTHER THAN EARNINGS)
........ (Third Party)
PLEASE TAKE NOTICE that pursuant to Minnesota Statutes,
chapters 518 and 522, the undersigned, as representative of the
public authority responsible for child support enforcement,
makes demand and levies execution upon all money due and owing
by you to the judgment debtor for the amount of the judgment
specified below. A copy of the notice of support judgment levy
is enclosed. The unpaid judgment balance is $......
In responding to this levy, you are to complete the
attached disclosure form and mail it to the public authority,
together with your check payable to the public authority, for
the nonexempt amount owed by you to the judgment debtor or for
which you are obligated to the judgment debtor, within the time
limits in chapter 552.
Public Authority
Address
(........)
Phone number
DISCLOSURE
On the ... day of ......, 19..., the time of service of the
execution levy herein, there was due and owing the judgment
debtor from the third party the following:
(1) Money. Enter on the line below any amounts due and
owing the judgment debtor, except earnings, from the third party.
.........................
(2) Setoff. Enter on the line below the amount of any
setoff, defense, lien, or claim which the third party claims
against the amount set forth on line (1). State the facts by
which the setoff, defense, lien, or claim is claimed. (Any
indebtedness to you incurred by the judgment debtor within ten
days prior to the receipt of the first execution levy on a debt
may not be claimed as a setoff, defense, lien, or claim against
the amount set forth on line (1).)
.........................
(3) Exemption. Enter on the line below any amounts or
property claimed by the judgment debtor to be exempt from
execution.
.........................
(4) Adverse Interest. Enter on the line below any amounts
claimed by other persons by reason of ownership or interest in
the judgment debtor's property.
.........................
(5) Enter on the line below the total of lines (2), (3),
and (4).
.........................
(6) Enter on the line below the difference obtained (never
less than zero when line (5) is subtracted from the amount on
line (1)).
.........................
(7) Enter on the line below 100 percent of the amount of
the public authority 's claim which remains unpaid.
.........................
(8) Enter on the line below the lesser of line (6) and line
(7). You are instructed to remit this amount only if it is $10
or more.
.........................
AFFIRMATION
I, .......... (person signing Affirmation), am the third
party or I am authorized by the third party to complete this
nonearnings disclosure, and have done so truthfully and to the
best of my knowledge.
Dated:.......... Signature
..........
Title
..........
Telephone Number
Subd. 5. [THIRD PARTY DISCLOSURE AND REMITTANCE.] Within
15 days after receipt of the notice of support judgment levy,
unless governed by section 552.05, the third party shall
disclose and remit to the public authority as much of the amount
due as the third party's own debt equals to the judgment debtor.
Subd. 6. [ORAL DISCLOSURE.] Before or after the service of
a written disclosure by a third party under subdivision 5, upon
a showing by affidavit upon information and belief that an oral
examination of the third party would provide a complete
disclosure of relevant facts, any party to the execution
proceedings may obtain an ex parte order requiring the third
party, or a representative of the third party designated by name
or by title, to appear for oral examination before the court or
a referee appointed by the court. Notice of the examination
must be given to all parties.
Subd. 7. [SUPPLEMENTAL COMPLAINT.] If a third party holds
property, money, earnings, or other indebtedness by a title that
is void as to the judgment debtor's creditors, the property may
be levied on although the judgment debtor would be barred from
maintaining an action to recover the property, money, earnings,
or other indebtedness. In this and all other cases where the
third party denies liability, the public authority may move the
court at any time before the third party is discharged, on
notice to both the judgment debtor and the third party for an
order making the third party a party to supplemental action and
granting the public authority leave to file a supplemental
complaint against the third party and the judgment debtor. The
supplemental complaint shall set forth the facts upon which the
public authority claims to charge the third party. If probable
cause is shown, the motion shall be granted. The supplemental
complaint shall be served upon the third party and the judgment
debtor and any other parties. The parties served shall answer
or respond pursuant to the Minnesota Rules of Civil Procedure
for the district courts, and if they fail to do so, judgment by
default may be entered against them.
Subd. 8. [JUDGMENT AGAINST THIRD PARTY UPON FAILURE TO
DISCLOSE OR REMIT.] Judgment may be entered against a third
party who has been served with a notice of support judgment levy
and fails to disclose or remit the levied funds as required in
this chapter. Upon order to show cause served on the third
party and notice of motion supported by affidavit of facts and
affidavit of service upon both the judgment debtor and third
party, the court may render judgment against the third party for
an amount not exceeding 100 percent of the amount claimed in the
execution. Judgment against the third party under this section
shall not bar the public authority from further remedies under
this chapter as a result of any subsequent defaults by the third
party. The court upon good cause shown may remove the default
and permit the third party to disclose or remit on just terms.
Subd. 9. [SATISFACTION.] Upon expiration, the public
authority making the execution may file a partial satisfaction
by amount or, if applicable, shall file the total satisfaction
with the court administrator without charge.
Subd. 10. [THIRD PARTY GOOD FAITH REQUIREMENT.] The third
party is not liable to the judgment debtor, public authority, or
other person for wrongful retention if the third party retains
or remits disposable earnings, indebtedness, or money of the
judgment debtor or any other person, pending the third party's
disclosure or consistent with the disclosure the third party
makes, if the third party has a good faith belief that the
property retained or remitted is subject to the execution. In
addition, the third party may, at any time before or after
disclosure, proceed under Rule 67 of the Minnesota rules of
civil procedure to make deposit into court. No third party is
liable for damages if the third party complies with the
provisions of this chapter.
Subd. 11. [BAD FAITH CLAIM.] If, in a proceeding brought
under section 552.05, subdivision 9, or a similar proceeding
under this chapter to determine a claim of exemption, the claim
of exemption is not upheld, and the court finds that it was
asserted in bad faith, the public authority shall be awarded
actual damages, costs, reasonable attorney's fees resulting from
the additional proceedings, and an amount not to exceed $100.
If the claim of exemption is upheld, and the court finds that
the public authority disregarded the claim of exemption in bad
faith, the judgment debtor shall be awarded actual damages,
costs, reasonable attorney's fees resulting from the additional
proceedings, and an amount not to exceed $100. The underlying
judgment shall be modified to reflect assessment of damages,
costs, and attorney's fees. However, if the party in whose
favor a penalty assessment is made is not actually indebted to
that party's attorney for fees, the attorney's fee award shall
be made directly to the attorney, and if not paid, an
appropriate judgment in favor of the attorney shall be entered.
Any action by a public authority made in bad faith and in
violation of this chapter renders the execution levy void and
the public authority liable to the judgment debtor named in the
execution levy in the amount of $100, actual damages, and
reasonable attorney's fees and costs.
Subd. 12. [DISCHARGE OF A THIRD PARTY.] Subject to
subdivisions 6 and 13, the third party, after disclosure, shall
be discharged of any further obligation to the public authority
when one of the following conditions is met:
(a) The third party discloses that the third party is not
indebted to the judgment debtor or does not possess any
earnings, property, money, or indebtedness belonging to the
judgment debtor that is attachable as defined in subdivision 2.
The disclosure is conclusive against the public authority and
discharges the third party from any further obligation to the
public authority other than to retain and remit all nonexempt
disposable earnings, property, indebtedness, or money of the
judgment debtor which was disclosed.
(b) The third party discloses that the third party is
indebted to the judgment debtor as indicated on the execution
disclosure form. The disclosure is conclusive against the
public authority and discharges the third party from any further
obligation to the public authority other than to retain and
remit all nonexempt disposable earnings, property, indebtedness,
or money of the judgment debtor that was disclosed.
(c) The court may, upon motion of an interested person,
discharge the third party as to any disposable earnings, money,
property, or indebtedness in excess of the amount that may be
required to satisfy the public authority's claim.
Subd. 13. [EXCEPTIONS TO DISCHARGE OF A THIRD PARTY.] The
third party is not discharged if:
(a) Within 20 days of the service of the third party's
disclosure, an interested person serves a motion relating to the
execution levy. The hearing on the motion must be scheduled to
be heard within 30 days of the service of the motion.
(b) The public authority moves the court for leave to file
a supplemental complaint against the third party, as provided
for in subdivision 7, and the court upon proper showing vacates
the discharge of the third party.
Subd. 14. [JOINDER AND INTERVENTION BY PERSONS IN
INTEREST.] If it appears that a person, who is not a party to
the action, has or claims an interest in any of the disposable
earnings, other indebtedness, or money, the court shall permit
that person to intervene or join in the execution proceeding
under this chapter. If that person does not appear, the court
may summon that person to appear or order the claim barred. The
person so appearing or summoned shall be joined as a party and
be bound by the judgment.
Subd. 15. [APPEAL.] A party to an execution proceeding
aggrieved by an order or final judgment may appeal as allowed by
law.
Subd. 16. [PRIORITY OF LEVY.] Notwithstanding section
52.12, a levy by the public authority made under this section on
an obligor's funds on deposit in a financial institution located
in this state has priority over any unexercised right of setoff
of the financial institution to apply the levied funds toward
the balance of an outstanding loan or loans owed by the obligor
to the financial institution. A claim by the financial
institution that it exercised its right to setoff prior to the
levy by the public authority must be substantiated by evidence
of the date of the setoff and must be verified by the sworn
statement of a responsible corporate officer of the financial
institution. For purposes of determining the priority of a levy
made under this section, the levy must be treated as if it were
an execution made under chapter 550.
Sec. 89. [552.05] [SUMMARY EXECUTION UPON FUNDS AT A
FINANCIAL INSTITUTION.]
Subdivision 1. [PROCEDURE.] In addition to the provisions
of section 552.04, when levying upon funds at a financial
institution, the public authority must comply with this
section. If the notice of support judgment levy is being used
by the public authority to levy funds of a judgment debtor who
is a natural person and if the funds to be levied are held on
deposit at any financial institution, in lieu of service the
public authority shall send with the notice of support judgment
levy and disclosure required by section 552.04, subdivision 4,
one copy of an exemption and right to hearing notice. The
notice must be substantially in the form determined by the
commissioner in accordance with section 552.05, subdivision 10.
Failure of the public authority to send the notice renders the
execution levy void, and the financial institution shall take no
action. Upon receipt of the notice of support judgment levy and
exemption and right to hearing notice, the financial institution
shall retain as much of the amount due as the financial
institution has on deposit owing to the judgment debtor, but not
more than 100 percent of the amount remaining due on the
judgment until directed by the public authority or the court to
release the funds to the public authority or the judgment debtor
in accordance with this chapter.
Subd. 2. [DUTIES OF FINANCIAL INSTITUTION.] Within two
business days after receipt of the execution levy and exemption
and right to hearing notice, the financial institution shall
serve upon the judgment debtor the exemption and right to
hearing notice. The financial institution shall serve the
notice by first class mail to the last known address of the
judgment debtor. If no claim of exemption or request for
hearing is received by the public authority within 14 days after
the notice is mailed to the judgment debtor, the public
authority shall notify the financial institution within seven
days that the funds remain subject to the execution levy and
shall be remitted to the public authority. If a claim of
exemption or a request for hearing is received by the public
authority within 14 days after the exemption notice is mailed to
the judgment debtor, the public authority shall within seven
days notify the financial institution either to release the
funds to the judgment debtor or that the funds remain subject to
the execution levy pending the determination of an
administrative law judge at a requested contested case
proceeding. When notified by the public authority to release
the funds, the financial institution shall release the funds to
the public authority or to the judgment debtor, as directed by
the public authority, within two business days.
Subd. 3. [PROCESS TO CLAIM EXEMPTION.] If the judgment
debtor elects to claim an exemption, the judgment debtor shall
complete the applicable portion of the exemption and right to
hearing notice, sign it under penalty of perjury, and deliver
one copy to the public authority within 14 days of the date
postmarked on the correspondence mailed to the judgment debtor
containing the exemption and right to hearing notice. Failure
of the judgment debtor to deliver the executed exemption and
right to hearing notice does not constitute a waiver of any
claimed right to an exemption. Upon timely receipt of a claim
of exemption, funds not claimed to be exempt by the judgment
debtor remain subject to the execution levy. Within seven days
after the date postmarked on the envelope containing the
executed exemption and right to hearing notice mailed to the
public authority, or the date of personal delivery of the
executed exemption and right to hearing notice to the public
authority, the public authority shall either notify the
financial institution to release the exempt portion of the funds
to the judgment debtor or schedule a contested administrative
proceeding pursuant to subdivision 5.
Subd. 4. [PROCESS TO REQUEST HEARING.] If the judgment
debtor elects to request a hearing on any issue specified in
subdivision 6, the judgment debtor shall complete the applicable
portion of the exemption and right to hearing notice, sign it
under penalty of perjury, and deliver one copy to the public
authority within 14 days of the date postmarked on the
correspondence mailed to the judgment debtor containing the
exemption and right to hearing notice. Upon timely receipt of a
request for hearing, funds not claimed to be exempt by the
judgment debtor remain subject to the execution levy. Within
seven days after the date postmarked on the envelope containing
the executed request for hearing mailed to the public authority,
or the date of personal delivery of the executed request for
hearing to the public authority, the public authority shall
either notify the financial institution to release the exempt
portion of the funds to the judgment debtor or schedule a
contested administrative proceeding under section 518.5511 and
notify the judgment debtor of the time and place of the
scheduled hearing.
Subd. 5. [DUTIES OF PUBLIC AUTHORITY IF HEARING IS
REQUESTED.] Within seven days of the receipt of a request for
hearing or a claim of exemption to which the public authority
does not consent, the public authority shall schedule a
contested administrative proceeding under section 518.5511. The
hearing must be scheduled to occur within five business days.
The public authority shall send written notice of the hearing
date, time, and place to the judgment debtor by first class
mail. The hearing may be conducted by telephone, audiovisual
means or other electronic means, at the discretion of the
administrative law judge. If the hearing is to be conducted by
telephone, audiovisual means, or other electronic means, the
public authority shall provide reasonable assistance to the
judgment debtor to facilitate the submission of all necessary
documentary evidence to the administrative law judge, including
access to the public authority's facsimile transmission machine.
Subd. 6. [ISSUES RELEVANT AT HEARING.] At any hearing
requested by the judgment debtor under this chapter, the only
issues to be determined are whether:
(1) the public authority complied with the process required
by this chapter;
(2) the amount stated in the notice of support judgment
levy is owed by the judgment debtor;
(3) the amount stated in the notice of support judgment
levy is correct; or
(4) any of the funds levied upon are exempt.
Subd. 7. [NOTICE OF ORDER.] Within one business day of
receipt of the order of the administrative law judge, the public
authority shall send a copy of the order to the judgment debtor
at the judgment debtor's last known address and to the financial
institution.
Subd. 8. [RELEASE OF FUNDS.] At any time during the
procedure specified in this section, the judgment debtor or the
public authority may direct the financial institution to release
the funds in question to the other party. Upon receipt of a
release, the financial institution shall release the funds as
directed.
Subd. 9. [SUBSEQUENT PROCEEDINGS; BAD FAITH CLAIM.] If in
subsequent proceedings brought by the judgment debtor or the
public authority, the claim of exemption is not upheld, and the
office of administrative hearings finds that it was asserted in
bad faith, the public authority shall be awarded actual damages,
costs, and reasonable attorney fees resulting from the
additional proceedings, and an amount not to exceed $100. The
underlying judgment must be modified to reflect assessment of
damages, costs, and attorney fees. However, if the party in
whose favor a penalty assessment is made is not actually
indebted to the party's attorney for fees, the attorney's fee
award shall be made directly to the attorney and if not paid, an
appropriate judgment in favor of the attorney shall be entered.
Upon motion of any party in interest, on notice, the office of
administrative hearings shall determine the validity of any
claim of exemption, and may make any order necessary to protect
the rights of those interested. No financial institution is
liable for damages for complying with this section. The
financial institution may rely on the date of mailing or
delivery of a notice to it in computing any time periods in this
section.
Subd. 10. [FORMS.] The commissioner of human services
shall develop statutory forms for use as required under this
chapter. In developing these forms, the commissioner shall
consult with the attorney general, representatives of financial
institutions, and legal services. The commissioner shall report
back to the legislature by February 1, 1998, with recommended
forms to be included in this chapter.
Sec. 90. [CHILD SUPPORT ENFORCEMENT PROGRAM; SERVICES
DELIVERY STUDY.]
The commissioner of human services, in consultation with
the commissioner's advisory committee, shall conduct a study of
the overall state child support enforcement delivery system and
shall recommend to the legislature a program design that will
best meet the following goals:
(1) comply with all state and federal laws and regulations;
(2) deliver child support and paternity services in a
timely manner;
(3) meet federal performance criteria;
(4) provide respectful and efficient service to custodial
and noncustodial parents;
(5) make efficient use of public money funding the program;
and
(6) provide a consistent level of services throughout the
state.
The study may make specific recommendations regarding
staffing, training, program administration, customer access to
services, use of technology, and other features of a successful
child support program. The commissioner may contract with a
private vendor to complete the study. The commissioner shall
provide the study and recommendations to the legislature by July
1, 1998.
Sec. 91. [AGENCY CONSULTATION ON SUSPENDING RECREATIONAL
LICENSES.]
The commissioner shall consult with other state agencies to
obtain recommendations for establishing procedures to meet
federal requirements to suspend recreational licenses of child
support obligors who fail to pay child support. The procedures
must impose the fewest restrictions on recreational licenses
consistent with federal law. No procedure may be implemented
until approved by the legislature and enacted into law.
Sec. 92. [INSTRUCTION TO REVISOR.]
The revisor shall delete the references to sections 518.611
and 518.613 and insert a reference to section 518.6111 wherever
they occur in Minnesota Statutes and Minnesota Rules.
Sec. 93. [REPEALER.]
(a) Minnesota Statutes 1996, sections 518C.9011; and
609.375, subdivisions 3, 4, and 6, are repealed.
(b) Minnesota Statutes 1996, section 256.74, subdivisions 5
and 7, are repealed March 31, 1998.
(c) Minnesota Statutes 1996, sections 256.979, subdivision
9; 518.5511, subdivisions 5, 6, 7, 8, and 9; 518.611; 518.613;
and 518.645, are repealed effective July 1, 1997.
Sec. 94. [EFFECTIVE DATES.]
(a) Section 1 is effective the day following final
enactment.
(b) Section 3 is effective July 1, 1998.
(c) Sections 72 to 83 are effective July 1, 1998.
(d) Section 75 applies only to judgments docketed on or
after July 1, 1998.
(e) Sections 85 to 89 are effective July 1, 1998.
ARTICLE 7
CONTINUING CARE FOR DISABLED PERSONS
Section 1. Minnesota Statutes 1996, section 62E.14, is
amended by adding a subdivision to read:
Subd. 4e. [WAIVER OF PREEXISTING CONDITIONS; PERSONS
COVERED BY PUBLICLY FUNDED HEALTH PROGRAMS.] A person may enroll
in the comprehensive plan with a waiver of the preexisting
condition limitation in subdivision 3, provided that:
(1) the person was formerly enrolled in the medical
assistance, general assistance medical care, or MinnesotaCare
program;
(2) the person is a Minnesota resident; and
(3) the person applies within 90 days of termination from
medical assistance, general assistance medical care, or
MinnesotaCare program.
Sec. 2. Minnesota Statutes 1996, section 245.652,
subdivision 1, is amended to read:
Subdivision 1. [PURPOSE.] The regional treatment centers
shall provide services designed to end a person's reliance on
chemical use or a person's chemical abuse and increase effective
and chemical-free functioning. Clinically effective programs
must be provided in accordance with section 246.64. Services
may be offered on the regional center campus or at sites
elsewhere in the catchment area served by the regional treatment
center.
Sec. 3. Minnesota Statutes 1996, section 245.652,
subdivision 2, is amended to read:
Subd. 2. [SERVICES OFFERED.] Services provided must may
include, but are not limited to, the following:
(1) primary and extended residential care, including
residential treatment programs of varied duration intended to
deal with a person's chemical dependency or chemical abuse
problems;
(2) follow-up care to persons discharged from regional
treatment center programs or other chemical dependency programs;
(3) outpatient treatment programs; and
(4) other treatment services, as appropriate and as
provided under contract or shared service agreements.
Sec. 4. Minnesota Statutes 1996, section 245A.11,
subdivision 2a, is amended to read:
Subd. 2a. [ADULT FOSTER CARE LICENSE CAPACITY.] An adult
foster care license holder may have a maximum license capacity
of five if all persons in care are age 60 or over and do not
have a serious and persistent mental illness or a developmental
disability. The commissioner may grant variances to this
subdivision to allow the use of a fifth bed for emergency crisis
services for a person with serious and persistent mental illness
or a developmental disability, regardless of age, provided the
variance complies with the provisions in section 245A.04,
subdivision 9, and approval of the variance is recommended by
the county in which the licensed foster care provider is located.
Sec. 5. Minnesota Statutes 1996, section 246.02,
subdivision 2, is amended to read:
Subd. 2. The commissioner of human services shall act with
the advice of the medical policy directional committee on mental
health in the appointment and removal of the chief executive
officers of the following institutions: Anoka-Metro Regional
Treatment Center, Ah-Gwah-Ching Center, Fergus Falls Regional
Treatment Center, St. Peter Regional Treatment Center and
Minnesota Security Hospital, Willmar Regional Treatment Center,
Faribault Regional Center, Cambridge Regional Human Services
Center, Brainerd Regional Human Services Center, and until June
30, 1995, Moose Lake Regional Treatment Center, and after June
30, 1995, Minnesota Sexual Psychopathic Personality Treatment
Center and until June 30, 1998, Faribault Regional Center.
Sec. 6. Minnesota Statutes 1996, section 246.18, is
amended by adding a subdivision to read:
Subd. 2a. [DISPOSITION OF INTEREST FOR CHEMICAL DEPENDENCY
FUNDS.] Beginning July 1, 1991, interest earned on cash balances
on deposit with the state treasurer derived from receipts from
chemical dependency programs affiliated with state-operated
facilities under the commissioner of human services must be
deposited in the state treasury and credited to a chemical
dependency account under subdivision 2. Any interest earned is
appropriated to the commissioner to operate chemical dependency
programs according to subdivision 2.
Sec. 7. Minnesota Statutes 1996, section 252.025,
subdivision 1, is amended to read:
Subdivision 1. [REGIONAL TREATMENT CENTERS.] State
hospitals for persons with mental retardation shall be
established and maintained at Faribault until June 30, 1998,
Cambridge and Brainerd, and notwithstanding any provision to the
contrary they shall be respectively known as the Faribault
regional center, the Cambridge regional human services center,
and the Brainerd regional human services center. Each of the
foregoing state hospitals shall also be known by the name of
regional center at the discretion of the commissioner of human
services. The terms "human services" or "treatment" may be
included in the designation.
Sec. 8. Minnesota Statutes 1996, section 252.025,
subdivision 4, is amended to read:
Subd. 4. [STATE-PROVIDED SERVICES.] (a) It is the policy
of the state to capitalize and recapitalize the regional
treatment centers as necessary to prevent depreciation and
obsolescence of physical facilities and to ensure they retain
the physical capability to provide residential programs.
Consistent with that policy and with section 252.50, and within
the limits of appropriations made available for this purpose,
the commissioner may establish, by June 30, 1991, the following
state-operated, community-based programs for the least
vulnerable regional treatment center residents: at Brainerd
regional services center, two residential programs and two day
programs; at Cambridge regional treatment center, four
residential programs and two day programs; at Faribault regional
treatment center, ten residential programs and six day programs;
at Fergus Falls regional treatment center, two residential
programs and one day program; at Moose Lake regional treatment
center, four residential programs and two day programs; and at
Willmar regional treatment center, two residential programs and
one day program.
(b) By January 15, 1991, the commissioner shall report to
the legislature a plan to provide continued regional treatment
center capacity and state-operated, community-based residential
and day programs for persons with developmental disabilities at
Brainerd, Cambridge, Faribault, Fergus Falls, St. Peter, and
Willmar, as follows:
(1) by July 1, 1998, continued regional treatment center
capacity to serve 350 persons with developmental disabilities as
follows: at Brainerd, 80 persons; at Cambridge, 12 persons; at
Faribault, 110 persons; at Fergus Falls, 60 persons; at St.
Peter, 35 persons; at Willmar, 25 persons; and up to 16 crisis
beds in the Twin Cities metropolitan area; and
(2) by July 1, 1999, continued regional treatment center
capacity to serve 254 persons with developmental disabilities as
follows: at Brainerd, 57 persons; at Cambridge, 12 persons; at
Faribault, 80 persons; at Fergus Falls, 35 persons; at St.
Peter, 30 persons; at Willmar, 12 persons, and up to 16 crisis
beds in the Twin Cities metropolitan area. In addition, the
plan shall provide for the capacity to provide residential
services to 570 persons with developmental disabilities in 95
state-operated, community-based residential programs.
The commissioner is subject to a mandamus action under
chapter 586 for any failure to comply with the provisions of
this subdivision.
Sec. 9. Minnesota Statutes 1996, section 252.025, is
amended by adding a subdivision to read:
Subd. 7. [MINNESOTA EXTENDED TREATMENT OPTIONS.] The
commissioner shall develop by July 1, 1997, the Minnesota
extended treatment options to serve Minnesotans who have mental
retardation and exhibit severe behaviors which present a risk to
public safety. This program must provide specialized
residential services on the Cambridge campus and an array of
community support services statewide.
Sec. 10. Minnesota Statutes 1996, section 252.32,
subdivision 1a, is amended to read:
Subd. 1a. [SUPPORT GRANTS.] (a) Provision of support
grants must be limited to families who require support and whose
dependents are under the age of 22 and who have mental
retardation or who have a related condition and who have been
determined by a screening team established under section
256B.092 to be at risk of institutionalization. Families who
are receiving home and community-based waivered services for
persons with mental retardation or related conditions are not
eligible for support grants. Families whose annual adjusted
gross income is $60,000 or more are not eligible for support
grants except in cases where extreme hardship is demonstrated.
Beginning in state fiscal year 1994, the commissioner shall
adjust the income ceiling annually to reflect the projected
change in the average value in the United States Department of
Labor Bureau of Labor Statistics consumer price index (all
urban) for that year.
(b) Support grants may be made available as monthly subsidy
grants and lump sum grants.
(c) Support grants may be issued in the form of cash,
voucher, and direct county payment to a vendor.
(d) Applications for the support grant shall be made by the
legal guardian to the county social service agency to the
department of human services. The application shall specify the
needs of the families, the form of the grant requested by the
families, and that the families have agreed to use the support
grant for items and services within the designated reimbursable
expense categories and recommendations of the county.
(e) Families who were receiving subsidies on the date of
implementation of the $60,000 income limit in paragraph (a)
continue to be eligible for a family support grant until
December 31, 1991, if all other eligibility criteria are met.
After December 31, 1991, these families are eligible for a grant
in the amount of one-half the grant they would otherwise
receive, for as long as they remain eligible under other
eligibility criteria.
Sec. 11. Minnesota Statutes 1996, section 252.32,
subdivision 3, is amended to read:
Subd. 3. [AMOUNT OF SUPPORT GRANT; USE.] Support grant
amounts shall be determined by the commissioner of human
services county social service agency. Each service and item
purchased with a support grant must:
(1) be over and above the normal costs of caring for the
dependent if the dependent did not have a disability;
(2) be directly attributable to the dependent's disabling
condition; and
(3) enable the family to delay or prevent the out-of-home
placement of the dependent.
The design and delivery of services and items purchased
under this section must suit the dependent's chronological age
and be provided in the least restrictive environment possible,
consistent with the needs identified in the individual service
plan.
Items and services purchased with support grants must be
those for which there are no other public or private funds
available to the family. Fees assessed to parents for health or
human services that are funded by federal, state, or county
dollars are not reimbursable through this program.
The maximum monthly amount shall be $250 per eligible
dependent, or $3,000 per eligible dependent per state fiscal
year, within the limits of available funds. During fiscal year
1992 and 1993, the maximum monthly grant awarded to families who
are eligible for medical assistance shall be $200, except in
cases where extreme hardship is demonstrated. The commissioner
county social service agency may consider the dependent's
supplemental security income in determining the amount of the
support grant. A variance The county social service agency may
be granted by the commissioner to exceed $3,000 per state fiscal
year per eligible dependent for emergency circumstances in cases
where exceptional resources of the family are required to meet
the health, welfare-safety needs of the child. The commissioner
county social service agency may set aside up to five percent of
the appropriation its allocation to fund emergency situations.
Effective July 1, 1997, county social service agencies
shall continue to provide funds to families receiving state
grants on June 30, 1997, if eligibility criteria continue to be
met. Any adjustments to their monthly grant amount must be
based on the needs of the family and funding availability.
Sec. 12. Minnesota Statutes 1996, section 252.32,
subdivision 3a, is amended to read:
Subd. 3a. [REPORTS AND REIMBURSEMENT ALLOCATIONS.] (a) The
commissioner shall specify requirements for quarterly fiscal and
annual program reports according to section 256.01, subdivision
2, paragraph (17). Program reports shall include data which
will enable the commissioner to evaluate program effectiveness
and to audit compliance. The commissioner shall reimburse
county costs on a quarterly basis.
(b) Beginning January 1, 1998, the commissioner shall
allocate state funds made available under this section to county
social service agencies on a calendar year basis. The
commissioner shall allocate to each county first in amounts
equal to each county's guaranteed floor as described in clause
(1), and second, any remaining funds, after the allocation of
funds to the newly participating counties as provided for in
clause (3), shall be allocated in proportion to each county's
total number of families receiving a grant on July 1 of the most
recent calendar year.
(1) Each county's guaranteed floor shall be calculated as
follows:
(i) 95 percent of the county's allocation received in the
preceding calendar year. For the calendar year 1998 allocation,
the preceding calendar year shall be considered to be double the
six-month allocation as provided in clause (2);
(ii) when the amount of funds available for allocation is
less than the amount available in the preceding year, each
county's previous year allocation shall be reduced in proportion
to the reduction in statewide funding, for the purpose of
establishing the guaranteed floor.
(2) For the period July 1, 1997, to December 31, 1997, the
commissioner shall allocate to each county an amount equal to
the actual, state approved grants issued to the families for the
month of January 1997, multiplied by six. This six-month
allocation shall be combined with the calendar year 1998
allocation and be administered as an 18-month allocation.
(3) At the commissioner's discretion, funds may be
allocated to any nonparticipating county that requests an
allocation under this section. Allocations to newly
participating counties are dependent upon the availability of
funds, as determined by the actual expenditure amount of the
participating counties for the most recently completed calendar
year.
(4) The commissioner shall regularly review the use of
family support fund allocations by county. The commissioner may
reallocate unexpended or unencumbered money at any time to those
counties that have a demonstrated need for additional funding.
(c) County allocations under this section will be adjusted
for transfers that occur according to section 256.476 or when
the county of financial responsibility changes according to
chapter 256G for eligible recipients.
Sec. 13. Minnesota Statutes 1996, section 252.32,
subdivision 3c, is amended to read:
Subd. 3c. [COUNTY BOARD RESPONSIBILITIES.] County boards
receiving funds under this section shall:
(1) determine the needs of families for services in
accordance with section 256B.092 or 256E.08 and any rules
adopted under those sections;
(2) determine the eligibility of all persons proposed for
program participation;
(3) recommend for approval all approve a plan for items and
services to be reimbursed and inform families of
the commissioner's county's approval decision;
(4) issue support grants directly to, or on behalf of,
eligible families;
(5) inform recipients of their right to appeal under
subdivision 3e;
(6) submit quarterly financial reports under subdivision 3b
and indicate on the screening documents the annual grant level
for each family, the families denied grants, and the families
eligible but waiting for funding; and
(7) coordinate services with other programs offered by the
county.
Sec. 14. Minnesota Statutes 1996, section 252.32,
subdivision 5, is amended to read:
Subd. 5. [COMPLIANCE.] If a county board or grantee does
not comply with this section and the rules adopted by the
commissioner of human services, the commissioner may recover,
suspend, or withhold payments.
Sec. 15. Minnesota Statutes 1996, section 254.04, is
amended to read:
254.04 [TREATMENT OF CHEMICALLY DEPENDENT PERSONS.]
The commissioner of human services is hereby authorized to
continue the treatment of chemically dependent persons at
Ah-Gwah-Ching and Moose Lake area programs as well as at the
regional treatment centers located at Anoka, Brainerd, Fergus
Falls, Moose Lake, St. Peter, and Willmar as specified in
section 245.652. During the year ending June 30, 1994, the
commissioner shall relocate, in the catchment area served by the
Moose Lake regional treatment center, two state-operated
off-campus programs designed to serve patients who are relocated
from the Moose Lake regional treatment center. One program
shall be a 35-bed program for women who are chemically
dependent; the other shall be a 25-bed program for men who are
chemically dependent. The facility space housing the Liberalis
chemical dependency program (building C-35) and the men's
chemical dependency program (4th floor main) may not be vacated
until suitable off-campus space for the women's chemical
dependency program of 35 beds and the men's chemical dependency
program of 25 beds is located and clients and staff are
relocated.
Sec. 16. Minnesota Statutes 1996, section 254B.02,
subdivision 3, is amended to read:
Subd. 3. [RESERVE ACCOUNT.] The commissioner shall
allocate money from the reserve account to counties that, during
the current fiscal year, have met or exceeded the base level of
expenditures for eligible chemical dependency services from
local money. The commissioner shall establish the base level
for fiscal year 1988 as the amount of local money used for
eligible services in calendar year 1986. In later years, the
base level must be increased in the same proportion as state
appropriations to implement Laws 1986, chapter 394, sections 8
to 20, are increased. The base level must be decreased if the
fund balance from which allocations are made under section
254B.02, subdivision 1, is decreased in later years. The local
match rate for the reserve account is the same rate as applied
to the initial allocation. Reserve account payments must not be
included when calculating the county adjustments made according
to subdivision 2. For counties providing medical assistance or
general assistance medical care through managed care plans on
January 1, 1996, the base year is fiscal year 1995. For
counties beginning provision of managed care after January 1,
1996, the base year is the most recent fiscal year before
enrollment in managed care begins. For counties providing
managed care, the base level will be increased or decreased in
proportion to changes in the fund balance from which allocations
are made under subdivision 2, but will be additionally increased
or decreased in proportion to the change in county adjusted
population made in subdivision 1, paragraphs (b) and (c).
Sec. 17. Minnesota Statutes 1996, section 254B.03,
subdivision 1, is amended to read:
Subdivision 1. [LOCAL AGENCY DUTIES.] (a) Every local
agency shall provide chemical dependency services to persons
residing within its jurisdiction who meet criteria established
by the commissioner for placement in a chemical dependency
residential or nonresidential treatment service. Chemical
dependency money must be administered by the local agencies
according to law and rules adopted by the commissioner under
sections 14.001 to 14.69.
(b) In order to contain costs, the county board shall, with
the approval of the commissioner of human services, select
eligible vendors of chemical dependency services who can provide
economical and appropriate treatment. Unless the local agency
is a social services department directly administered by a
county or human services board, the local agency shall not be an
eligible vendor under section 254B.05. The commissioner may
approve proposals from county boards to provide services in an
economical manner or to control utilization, with safeguards to
ensure that necessary services are provided. If a county
implements a demonstration or experimental medical services
funding plan, the commissioner shall transfer the money as
appropriate. If a county selects a vendor located in another
state, the county shall ensure that the vendor is in compliance
with the rules governing licensure of programs located in the
state.
(c) For the biennium ending June 30, 1999, the rate for
vendors may not increase more than three percent above the rate
approved on January 1, 1997.
(c) (d) A culturally specific vendor that provides
assessments under a variance under Minnesota Rules, part
9530.6610, shall be allowed to provide assessment services to
persons not covered by the variance.
Sec. 18. [256B.095] [THREE-YEAR QUALITY ASSURANCE PILOT
PROJECT ESTABLISHED.]
Effective July 1, 1998, an alternative quality assurance
licensing system pilot project for programs for persons with
developmental disabilities is established in Dodge, Fillmore,
Freeborn, Goodhue, Houston, Mower, Olmsted, Rice, Steele,
Wabasha, and Winona counties for the purpose of improving the
quality of services provided to persons with developmental
disabilities. A county, at its option, may choose to have all
programs for persons with developmental disabilities located
within the county licensed under chapter 245A using standards
determined under the alternative quality assurance licensing
system pilot project or may continue regulation of these
programs under the licensing system operated by the
commissioner. The pilot project expires on June 30, 2001.
Sec. 19. [256B.0951] [QUALITY ASSURANCE COMMISSION.]
Subdivision 1. [MEMBERSHIP.] The region 10 quality
assurance commission is established. The commission consists of
at least 13 but not more than 20 members as follows: at least
three but not more than five members representing advocacy
organizations; at least three but not more than five members
representing consumers, families, and their legal
representatives; at least three but not more than five members
representing service providers; and at least three but not more
than five members representing counties. Initial membership of
the commission shall be recruited and approved by the region 10
stakeholders group. Prior to approving the commission's
membership, the stakeholders group shall provide to the
commissioner a list of the membership in the stakeholders group,
as of February 1, 1997, a brief summary of meetings held by the
group since July 1, 1996, and copies of any materials prepared
by the group for public distribution. The first commission
shall establish membership guidelines for the transition and
recruitment of membership for the commission's ongoing
existence. Members of the commission who do not receive a
salary or wages from an employer for time spent on commission
duties may receive a per diem payment when performing commission
duties and functions. All members may be reimbursed for
expenses related to commission activities. Notwithstanding the
provisions of section 15.059, subdivision 5, the commission
expires on June 30, 2001.
Subd. 2. [AUTHORITY TO HIRE STAFF.] The commission may
hire staff to perform the duties assigned in this section.
Subd. 3. [COMMISSION DUTIES.] (a) By October 1, 1997, the
commission, in cooperation with the commissioners of human
services and health, shall do the following: (1) approve an
alternative quality assurance licensing system based on the
evaluation of outcomes; (2) approve measurable outcomes in the
areas of health and safety, consumer evaluation, education and
training, providers, and systems that shall be evaluated during
the alternative licensing process; and (3) establish variable
licensure periods not to exceed three years based on outcomes
achieved. For purposes of this subdivision, "outcome" means the
behavior, action, or status of a person that can be observed or
measured and can be reliably and validly determined.
(b) By January 15, 1998, the commission shall approve, in
cooperation with the commissioner of human services, a training
program for members of the quality assurance teams established
under section 256B.0952, subdivision 4.
Subd. 4. [COMMISSION'S AUTHORITY TO RECOMMEND VARIANCES OF
LICENSING STANDARDS.] The commission may recommend to the
commissioners of human services and health variances from the
standards governing licensure of programs for persons with
developmental disabilities in order to improve the quality of
services by implementing an alternative developmental
disabilities licensing system if the commission determines that
the alternative licensing system does not affect the health or
safety of persons being served by the licensed program nor
compromise the qualifications of staff to provide services.
Subd. 5. [VARIANCE OF CERTAIN STANDARDS PROHIBITED.] The
safety standards, rights, or procedural protections under
sections 245.825; 245.91 to 245.97; 245A.04, subdivisions 3, 3a,
3b, and 3c; 245A.09, subdivision 2, paragraph (c), clauses (2)
and (5); 245A.12; 245A.13; 252.41, subdivision 9; 256B.092,
subdivisions 1b, clause (7), and 10; 626.556; 626.557, and
procedures for the monitoring of psychotropic medications shall
not be varied under the alternative licensing system pilot
project. The commission may make recommendations to the
commissioners of human services and health or to the legislature
regarding alternatives to or modifications of the rules
referenced in this subdivision.
Subd. 6. [PROGRESS REPORT.] The commission shall submit a
progress report to the legislature on pilot project development
by January 15, 1998. The report shall include recommendations
on any legislative changes necessary to improve cooperation
between the commission and the commissioners of human services
and health.
Sec. 20. [256B.0952] [COUNTY DUTIES; QUALITY ASSURANCE
TEAMS.]
Subdivision 1. [NOTIFICATION.] By January 15, 1998, each
affected county shall notify the commission and the
commissioners of human services and health as to whether it
chooses to implement on July 1, 1998, the alternative licensing
system for the pilot project. A county that does not implement
the alternative licensing system on July 1, 1998, may give
notice to the commission and the commissioners by January 15,
1999, or January 15, 2000, that it will implement the
alternative licensing system on the following July 1. A county
that implements the alternative licensing system commits to
participate until June 30, 2001.
Subd. 2. [APPOINTMENT OF REVIEW COUNCIL; DUTIES OF
COUNCIL.] A county or group of counties that chooses to
participate in the alternative licensing system shall appoint a
quality assurance review council comprised of advocates;
consumers, families, and their legal representatives; providers;
and county staff. The council shall:
(1) review summary reports from quality assurance team
reviews and make recommendations to counties regarding program
licensure;
(2) make recommendations to the commission regarding the
alternative licensing system and quality assurance process; and
(3) resolve complaints between the quality assurance teams,
counties, providers, and consumers, families, and their legal
representatives.
Subd. 3. [NOTICE TO COMMISSIONERS.] The county, based on
reports from quality assurance managers and recommendations from
the quality assurance review council regarding the findings of
quality assurance teams, shall notify the commissioners of human
services and health regarding whether facilities, programs, or
services have met the outcome standards for licensure and are
eligible for payment.
Subd. 4. [APPOINTMENT OF QUALITY ASSURANCE MANAGER.] (a) A
county or group of counties that chooses to participate in the
alternative licensing system shall designate a quality assurance
manager and shall establish quality assurance teams in
accordance with subdivision 5. The manager shall recruit,
train, and assign duties to the quality assurance team members.
In assigning team members to conduct the quality assurance
process at a facility, program, or service, the manager shall
take into account the size of the service provider, the number
of services to be reviewed, the skills necessary for team
members to complete the process, and other relevant factors.
The manager shall ensure that no team member has a financial,
personal, or family relationship with the facility, program, or
service being reviewed or with any clients of the facility,
program, or service.
(b) Quality assurance teams shall report the findings of
their quality assurance reviews to the quality assurance manager.
The quality assurance manager shall provide the report from the
quality assurance team to the county and commissioners of human
services and health and a summary of the report to the quality
assurance review council.
Subd. 5. [QUALITY ASSURANCE TEAMS.] Quality assurance
teams shall be comprised of county staff; providers; consumers,
families, and their legal representatives; members of advocacy
organizations; and other involved community members. Team
members must satisfactorily complete the training program
approved by the commission and must demonstrate
performance-based competency. Team members are not considered
to be county employees for purposes of workers' compensation,
unemployment compensation, or state retirement laws solely on
the basis of participation on a quality assurance team. The
county may pay a per diem to team members who do not receive a
salary or wages from an employer for time spent on alternative
quality assurance process matters. All team members may be
reimbursed for expenses related to their participation in the
alternative process.
Subd. 6. [LICENSING FUNCTIONS.] Participating counties
shall perform licensing functions and activities as delegated by
the commissioner of human services in accordance with section
245A.16.
Sec. 21. [256B.0953] [QUALITY ASSURANCE PROCESS.]
Subdivision 1. [PROCESS COMPONENTS.] (a) The quality
assurance licensing process consists of an evaluation by a
quality assurance team of the facility, program, or service
according to outcome-based measurements. The process must
include an evaluation of a random sample of program consumers.
The sample must be representative of each service provided. The
sample size must be at least five percent of consumers but not
less than three consumers.
(b) All consumers must be given the opportunity to be
included in the quality assurance process in addition to those
chosen for the random sample.
Subd. 2. [LICENSURE PERIODS.] (a) In order to be licensed
under the alternative quality assurance process, a facility,
program, or service must satisfy the health and safety outcomes
approved for the pilot project.
(b) Licensure shall be approved for periods of one to three
years for a facility, program, or service that satisfies the
requirements of paragraph (a) and achieves the outcome
measurements in the categories of consumer evaluation, education
and training, providers, and systems.
Subd. 3. [APPEALS PROCESS.] A facility, program, or
service may contest a licensing decision of the quality
assurance team as permitted under chapter 245A.
Sec. 22. [256B.0954] [CERTAIN PERSONS DEFINED AS MANDATED
REPORTERS.]
Members of the quality assurance commission established
under section 256B.0951, members of quality assurance review
councils established under section 256B.0952, quality assurance
managers appointed under section 256B.0952, and members of
quality assurance teams established under section 256B.0952 are
mandated reporters as that term is defined in sections 626.556,
subdivision 3, and 626.5572, subdivision 16.
Sec. 23. [256B.0955] [DUTIES OF THE COMMISSIONER OF HUMAN
SERVICES.]
(a) Effective July 1, 1998, the commissioner of human
services shall delegate authority to perform licensing functions
and activities, in accordance with section 245A.16, to counties
participating in the alternative licensing system. The
commissioner shall not license or reimburse a facility, program,
or service for persons with developmental disabilities in a
county that participates in the alternative licensing system if
the commissioner has received from the appropriate county
notification that the facility, program, or service has been
reviewed by a quality assurance team and has failed to qualify
for licensure.
(b) The commissioner may conduct random licensing
inspections based on outcomes adopted under section 256B.0951 at
facilities, programs, and services governed by the alternative
licensing system. The role of such random inspections shall be
to verify that the alternative licensing system protects the
safety and well-being of consumers and maintains the
availability of high-quality services for persons with
developmental disabilities.
(c) The commissioner shall provide technical assistance and
support or training to the alternative licensing system pilot
project.
(d) The commissioner and the commission shall establish an
ongoing evaluation process for the alternative licensing system.
(e) The commissioner shall contract with an independent
entity to conduct a financial review of the alternative
licensing system, including an evaluation of possible budgetary
savings within the department of human services and the
department of health as a result of implementation of the
alternative quality assurance licensing system. This review
must be completed by December 15, 2000.
(f) The commissioner and the commission shall submit a
report to the legislature by January 15, 2001, on the results of
the evaluation process of the alternative licensing system, a
summary of the results of the independent financial review, and
a recommendation on whether the pilot project should be extended
beyond June 30, 2001.
Sec. 24. Minnesota Statutes 1996, section 256B.49,
subdivision 1, is amended to read:
Subdivision 1. [STUDY; WAIVER APPLICATION.] The
commissioner shall authorize a study to assess the need for home
and community-based waivers for chronically ill children who
have been and will continue to be hospitalized without a waiver,
and for disabled individuals under the age of 65 who are likely
to reside in an acute care or nursing home facility in the
absence of a waiver. If a need for these waivers can be
demonstrated, the commissioner shall apply for federal waivers
necessary to secure, to the extent allowed by law, federal
participation under United States Code, title 42, sections
1396-1396p, as amended through December 31, 1982, for the
provision of home and community-based services to chronically
ill children who, in the absence of such a waiver, would remain
in an acute care setting, and to disabled individuals under the
age of 65 who, in the absence of a waiver, would reside in an
acute care or nursing home setting. If the need is
demonstrated, the commissioner shall request a waiver under
United States Code, title 42, sections 1396-1396p, to allow
medicaid eligibility for blind or disabled children with
ineligible parents where income deemed from the parents would
cause the applicant to be ineligible for supplemental security
income if the family shared a household and to furnish necessary
services in the home or community to disabled individuals under
the age of 65 who would be eligible for medicaid if
institutionalized in an acute care or nursing home setting.
These waivers are requested to furnish necessary services in the
home and community setting to children or disabled adults under
age 65 who are medicaid eligible when institutionalized in an
acute care or nursing home setting. The commissioner shall
assure that the cost of home and community-based care will not
be more than the cost of care if the eligible child or disabled
adult under age 65 were to remain institutionalized. The
average monthly limit for the cost of home and community-based
services to a community alternative care waiver client,
determined on a 12-month basis, shall not exceed the statewide
average medical assistance adjusted base year operating cost for
nursing and accommodation services under sections 256.9685 to
256.969 for the diagnostic category to which the waiver client
would be assigned except the admission and outlier rates shall
be converted to an overall per diem. The average monthly limit
for the cost of services to a traumatic brain injury
neurobehavioral hospital waiver client, determined on a 12-month
basis, shall not exceed the statewide average medical assistance
adjusted base-year operating cost for nursing and accommodation
services of neurobehavioral rehabilitation programs in Medicare
designated long-term hospitals under sections 256.9685 to
256.969. The following costs must be included in determining
the total average monthly costs for a waiver client:
(1) cost of all waivered services; and
(2) cost of skilled nursing, private duty nursing, home
health aide, and personal care services reimbursable by medical
assistance.
The commissioner of human services shall seek federal
waivers as necessary to implement the average monthly limit.
The commissioner shall seek to amend the federal waivers
obtained under this section to apply criteria to protect against
spousal impoverishment as authorized under United States Code,
title 42, section 1396r-5, and as implemented in sections
256B.0575, 256B.058, and 256B.059, except that the amendment
shall seek to add to the personal needs allowance permitted in
section 256B.0575, an amount equivalent to the group residential
housing rate as set by section 256I.03, subdivision 5.
Sec. 25. Laws 1995, chapter 207, article 8, section 41,
subdivision 2, is amended to read:
Subd. 2. [PROGRAM DESIGN AND IMPLEMENTATION.] (a) The
pilot projects shall be established to design, plan, and improve
the mental health service delivery system for adults with
serious and persistent mental illness that would:
(1) provide an expanded array of services from which
clients can choose services appropriate to their needs;
(2) be based on purchasing strategies that improve access
and coordinate services without cost shifting;
(3) incorporate existing state facilities and resources
into the community mental health infrastructure through creative
partnerships with local vendors; and
(4) utilize existing categorical funding streams and
reimbursement sources in combined and creative ways, except
appropriations to regional treatment centers and all funds that
are attributable to the operation of state-operated services are
excluded unless appropriated specifically by the legislature for
a purpose consistent with this section.
(b) All projects funded by January 1, 1997, must complete
their the planning phase and be operational by June 30, 1997;
all projects funded by January 1, 1998, must be operational by
June 30, 1998.
Sec. 26. [NAMES REQUIRED ON GRAVES.]
Unless the individual's family indicates otherwise to the
appropriate authority, the commissioner of human services with
assistance of the communities in which regional treatment
centers are located and in consultation with the state council
on disability shall replace numbers with the names of
individuals whose graves are located at regional treatment
centers operated by the commissioner or formerly operated by the
commissioner. The commissioner and the state council on
disability shall develop a plan to accomplish this
systematically over a five-year period. The individual names
may be placed on a central marker or memorial for a designated
cemetery.
Sec. 27. [WAIVER AMENDMENT.]
By July 15, 1997, the commissioner of human services shall
submit proposed amendments to the Health Care Financing
Administration for changes in the home and community-based
waiver for persons with mental retardation or a related
condition that maximize the number of persons served within the
limits of appropriations and divert persons from institutional
placement. The commissioner shall monitor county utilization of
allocated resources and, as appropriate, reassign resources not
utilized. Priority consideration for the reassignment of
resources shall be given to counties who enter into written
agreements with other counties to jointly plan, request
resources, and develop services for persons with mental
retardation or a related condition who are screened and waiting
for waivered services. In addition to the priorities listed in
Minnesota Rules, part 9525.1880, the commissioner shall also
give priority consideration to persons whose living situations
are unstable due to the age or incapacity of the primary
caregiver. The commissioner shall report to the chairs of the
senate health and family security budget division and the house
health and human services finance division by March 1, 1998, on
the results of the waiver amendment, the authorization and
utilization of waivered services for persons with mental
retardation or a related condition, including crisis respite
services, plans to increase the number of counties working
together, additional persons served by the reassignment of
resources, and options which would allow an increased number of
persons to be served within the existing appropriation.
Sec. 28. [REQUEST FOR WAIVER.]
By January 1, 1998, the commissioner of human services or
health shall request a waiver from the federal Department of
Health and Human Services to permit the use of the alternative
quality assurance system to license and certify intermediate
care facilities for persons with mental retardation.
Sec. 29. [REPEALER.]
Minnesota Statutes 1996, sections 252.32, subdivision 4;
and 256B.501, subdivision 5c, are repealed.
Sec. 30. [EFFECTIVE DATE.]
Sections 2, 3, 6, 9, 15, and 27 are effective the day
following final enactment.
ARTICLE 8
DEMONSTRATION PROJECT FOR PERSONS WITH DISABILITIES
Section 1. [256B.77] [COORDINATED SERVICE DELIVERY SYSTEM
FOR PEOPLE WITH DISABILITIES.]
Subdivision 1. [DEMONSTRATION PROJECT FOR PEOPLE WITH
DISABILITIES.] (a) The commissioner of human services, in
cooperation with county authorities, shall develop and implement
a demonstration project to create a coordinated service delivery
system in which the full medical assistance benefit set for
disabled persons eligible for medical assistance is provided and
funded on a capitated basis. The demonstration period shall be
a minimum of three years.
(b) Each demonstration site shall, under county authority,
establish a local group to assist the commissioner in planning,
designing, implementing, and evaluating the coordinated service
delivery system in their area. This local group shall include
county agencies, providers, consumers, family members,
advocates, tribal governments, a local representative of labor,
and advocacy organizations, and may include health plan
companies. Consumers, families, and consumer representatives
must be involved in the planning, implementation, and evaluation
processes for the demonstration project.
Subd. 2. [DEFINITIONS.] For the purposes of this section,
the following terms have the meanings given:
(a) "Acute care" means hospital, physician, and other
health and dental services covered in the medical assistance
benefit set that are not specified in the intergovernmental
contract or service delivery contract as continuing care
services.
(b) "Additional services" means services developed and
provided through the county administrative entity or service
delivery organization, which are in addition to the medical
assistance benefit set.
(c) "Advocate" means an individual who:
(1) has been authorized by the enrollee or the enrollee's
legal representative to help the enrollee understand information
presented and to speak on the enrollee's behalf, based on
directions and decisions by the enrollee or the enrollee's legal
representative; and
(2) represents only the enrollee and the enrollee's legal
representative.
(d) "Advocacy organization" means an organization whose
primary purpose is to advocate for the needs of persons with
disabilities.
(e) "Alternative services" means services developed and
provided through the county administrative entity or service
delivery organization that are not part of the medical
assistance benefit set.
(f) "Commissioner" means the commissioner of human services.
(g) "Continuing care" means any services, including
long-term support services, covered in the medical assistance
benefit set that are not specified in the intergovernmental
contract or service delivery contract as acute care.
(h) "County administrative entity" means the county
administrative structure defined and designated by the county
authority to implement the demonstration project under the
direction of the county authority.
(i) "County authority" means the board of county
commissioners or a single entity representing multiple boards of
county commissioners.
(j) "Demonstration period" means the period of time during
which county administrative entities or service delivery
organizations will provide services to enrollees.
(k) "Demonstration site" means the geographic area in which
eligible individuals may be included in the demonstration
project.
(l) "Department" means the department of human services.
(m) "Emergency" means a condition that if not immediately
treated could cause a person serious physical or mental
disability, continuation of severe pain, or death. Labor and
delivery is an emergency if it meets this definition.
(n) "Enrollee" means an eligible individual who is enrolled
in the demonstration project.
(o) "Informed choice" means a voluntary decision made by
the enrollee or the enrollee's legal representative, after
becoming familiar with the alternatives, and having been
provided sufficient relevant written and oral information at an
appropriate comprehension level and in a manner consistent with
the enrollee's or the enrollee's legal representative's primary
mode of communication.
(p) "Informed consent" means the written agreement, or an
agreement as documented in the record, by a competent enrollee,
or an enrollee's legal representative, who:
(1) has the capacity to make reasoned decisions based on
relevant information;
(2) is making decisions voluntarily and without coercion;
and
(3) has knowledge to make informed choice.
(q) "Intergovernmental contract" means the agreement
between the commissioner and the county authority.
(r) "Legal representative" means an individual who is
legally authorized to provide informed consent or make informed
choices on a person's behalf. A legal representative may be one
of the following individuals:
(1) the parent of a minor who has not been emancipated;
(2) a court-appointed guardian or conservator of a person
who is 18 years of age or older, in areas where legally
authorized to make decisions;
(3) a guardian ad litem or special guardian or conservator,
in areas where legally authorized to make decisions;
(4) legal counsel if so specified by the person; or
(5) any other legally authorized individual.
The county administrative entity is prohibited from acting as
legal representative for any enrollee, as long as the provisions
of subdivision 15 are funded.
(s) "Life domain areas" include, but are not limited to:
home, family, education, employment, social environment,
psychological and emotional health, self-care, independence,
physical health, need for legal representation and legal needs,
financial needs, safety, and cultural identification and
spiritual needs.
(t) "Medical assistance benefit set" means the services
covered under this chapter and accompanying rules which are
provided according to the definition of medical necessity in
Minnesota Rules, part 9505.0175, subpart 25.
(u) "Outcome" means the targeted behavior, action, or
status of the enrollee that can be observed and or measured.
(v) "Personal support plan" means a document agreed to and
signed by the enrollee and the enrollee's legal representative,
if any, which describes:
(1) the assessed needs and strengths of the enrollee;
(2) the outcomes chosen by the enrollee or their legal
representative;
(3) the amount, type, setting, start date, duration, and
frequency of services and supports authorized by the county
administrative entity or service delivery organization to
achieve the chosen outcomes;
(4) a description of needed services and supports that are
not the responsibility of the county administrative entity or
service delivery organization and plans for addressing those
needs;
(5) plans for referring to and coordinating between all
agencies or individuals providing needed services and supports;
(6) the use of regulated treatment; and
(7) the transition of a child to the adult service system.
(w) "Regulated treatment" means any behaviorally altering
medication of any classification or any aversive or deprivation
procedure as defined in rules or statutes applicable to eligible
individuals.
(x) "Service delivery contract" means the agreement between
the commissioner or the county authority and the service
delivery organization in those areas in which the county
authority has provided written approval.
(y) "Service delivery organization" means an entity that is
licensed as a health maintenance organization under chapter 62D
or a community integrated service network under chapter 62N and
is under contract with the commissioner or a county authority to
participate in the demonstration project. If authorized in
contract by the commissioner or the county authority, a service
delivery organization participating in the demonstration project
shall have the duties, responsibilities, and obligations defined
under subdivisions 8, 9, 18, and 19.
(z) "Urgent situation" means circumstances in which care is
needed as soon as possible, usually with 24 hours, to protect
the health of an enrollee.
Subd. 3. [ASSURANCES TO THE COMMISSIONER OF HEALTH.] A
county authority that elects to participate in a demonstration
project for people with disabilities under this section is not
required to obtain a certificate of authority under chapter 62D
or 62N. A county authority that elects to participate in a
demonstration project for people with disabilities under this
section must assure the commissioner of health that the
requirements of chapters 62D and 62N are met. All enforcement
and rulemaking powers available under chapters 62D and 62N are
granted to the commissioner of health with respect to the county
authorities that contract with the commissioner to purchase
services in a demonstration project for people with disabilities
under this section.
Subd. 4. [FEDERAL WAIVERS.] The commissioner, in
consultation with county authorities, shall request any
authority from the United States Department of Health and Human
Services that is necessary to implement the demonstration
project under the medical assistance program; and authority to
combine Medicaid and Medicare funding for service delivery to
eligible individuals who are also eligible for Medicare, only if
this authority does not preclude county authority participation
under the waiver. Implementation of these programs may begin
without authority to include medicare funding. The commissioner
may authorize county authorities to begin enrollment of eligible
individuals upon federal approval but no earlier than July 1,
1998.
Subd. 5. [DEMONSTRATION SITES.] The commissioner shall
designate up to two demonstration sites with the approval of the
county authority. Demonstration sites may include one county or
a multicounty group. At least one of the sites shall implement
a model specifically addressing the needs of eligible
individuals with physical disabilities. By February 1, 1998,
the commissioner and the county authorities shall submit to the
chairs of the senate committee on health and family security and
the house committee on health and human services a phased
enrollment plan to ensure an orderly transition which protects
the health and safety of enrollees and ensures continuity of
services.
Subd. 6. [RESPONSIBILITIES OF THE COUNTY AUTHORITY.] (a)
The commissioner may execute an intergovernmental contract with
any county authority that demonstrates the ability to arrange
for and coordinate services for enrollees covered under this
section according to the terms and conditions specified by the
commissioner. With the written consent of the county authority,
the commissioner may issue a request for proposals for service
delivery organizations to provide portions of the medical
assistance benefit set not contracted for by the county
authority. County authorities that do not contract for the full
medical assistance benefit set must ensure coordination with the
entities responsible for the remainder of the covered services.
(b) No less than 90 days before the intergovernmental
contract is executed, the county authority shall submit to the
commissioner an initial proposal on how it will address the
areas listed in this subdivision and subdivisions 1, 7, 8, 9,
12, 18, and 19. The county authority shall submit to the
commissioner annual reports describing its progress in
addressing these areas.
(c) Each county authority shall develop policies to address
conflicts of interest, including public guardianship and
representative payee issues.
(d) Each county authority shall annually evaluate the
effectiveness of the service coordination provided according to
subdivision 12 and shall take remedial or corrective action if
the service coordination does not fulfill the requirements of
that subdivision.
Subd. 7. [ELIGIBILITY AND ENROLLMENT.] The commissioner,
in consultation with the county authority, shall develop a
process for enrolling eligible individuals in the demonstration
project. A county or counties may limit enrollment in the
demonstration project to one or more of the disability
populations described in subdivision 7a, paragraph (b).
Enrollment into county administrative entities and service
delivery organizations shall be conducted according to the terms
of the federal waiver. Enrollment of eligible individuals under
the demonstration project may be phased in with approval of the
commissioner. The commissioner shall ensure that eligibility
for medical assistance and enrollment for the person are
determined by individuals outside of the county administrative
entity.
Subd. 7a. [ELIGIBLE INDIVIDUALS.] (a) Persons are eligible
for the demonstration project as provided in this subdivision.
(b) "Eligible individuals" means those persons living in
the demonstration site who are eligible for medical assistance
and are disabled based on a disability determination under
section 256B.055, subdivisions 7 and 12, or who are eligible for
medical assistance and have been diagnosed as having:
(1) serious and persistent mental illness as defined in
section 245.462, subdivision 20;
(2) severe emotional disturbance as defined in section
245.487, subdivision 6; or
(3) mental retardation or a related condition as defined in
section 252.27, subdivision 1a.
Other individuals may be included at the option of the county
authority based on agreement with the commissioner.
(c) Eligible individuals residing on a federally recognized
Indian reservation may be excluded from participation in the
demonstration project at the discretion of the tribal government
based on agreement with the commissioner, in consultation with
the county authority.
(d) Eligible individuals include individuals in excluded
time status, as defined in chapter 256G. Enrollees in excluded
time at the time of enrollment shall remain in excluded time
status as long as they live in the demonstration site and shall
be eligible for 90 days after placement outside the
demonstration site if they move to excluded time status in a
county within Minnesota other than their county of financial
responsibility.
(e) A person who is a sexual psychopathic personality as
defined in section 253B.02, subdivision 18a, or a sexually
dangerous person as defined in section 253B.02, subdivision 18b,
is excluded from enrollment in the demonstration project.
Subd. 8. [RESPONSIBILITIES OF THE COUNTY ADMINISTRATIVE
ENTITY.] (a) The county administrative entity shall meet the
requirements of this subdivision, unless the county authority or
the commissioner, with written approval of the county authority,
enters into a service delivery contract with a service delivery
organization for any or all of the requirements contained in
this subdivision.
(b) The county administrative entity shall enroll eligible
individuals regardless of health or disability status.
(c) The county administrative entity shall provide all
enrollees timely access to the medical assistance benefit set.
Alternative services and additional services are available to
enrollees at the option of the county administrative entity and
may be provided if specified in the personal support plan.
County authorities are not required to seek prior authorization
from the department as required by the laws and rules governing
medical assistance.
(d) The county administrative entity shall cover necessary
services as a result of an emergency without prior
authorization, even if the services were rendered outside of the
provider network.
(e) The county administrative entity shall authorize
necessary and appropriate services when needed and requested by
the enrollee or the enrollee's legal representative in response
to an urgent situation. Enrollees shall have 24-hour access to
urgent care services coordinated by experienced disability
providers who have information about enrollees' needs and
conditions.
(f) The county administrative entity shall accept the
capitation payment from the commissioner in return for the
provision of services for enrollees.
(g) The county administrative entity shall maintain
internal grievance and complaint procedures, including an
expedited informal complaint process in which the county
administrative entity must respond to verbal complaints within
ten calendar days, and a formal grievance process, in which the
county administrative entity must respond to written complaints
within 30 calendar days.
(h) The county administrative entity shall provide a
certificate of coverage, upon enrollment, to each enrollee and
the enrollee's legal representative, if any, which describes the
benefits covered by the county administrative entity, any
limitations on those benefits, and information about providers
and the service delivery network. This information must also be
made available to prospective enrollees. This certificate must
be approved by the commissioner.
(i) The county administrative entity shall present evidence
of an expedited process to approve exceptions to benefits,
provider network restrictions, and other plan limitations under
appropriate circumstances.
(j) The county administrative entity shall provide
enrollees or their legal representatives with written notice of
their appeal rights under subdivision 16, and of ombudsman and
advocacy programs under subdivisions 13 and 14, at the following
times: upon enrollment, upon submission of a written complaint,
when a service is reduced, denied, or terminated, or when
renewal of authorization for ongoing service is refused.
(k) The county administrative entity shall determine
immediate needs, including services, support, and assessments,
within 30 calendar days of enrollment, or within a shorter time
frame if specified in the intergovernmental contract.
(l) The county administrative entity shall assess the need
for services of new enrollees within 60 calendar days of
enrollment, or within a shorter time frame if specified in the
intergovernmental contract, and periodically reassess the need
for services for all enrollees.
(m) The county administrative entity shall ensure the
development of a personal support plan for each person within 60
calendar days of enrollment, or within a shorter time frame if
specified in the intergovernmental contract, unless otherwise
agreed to by the enrollee and the enrollee's legal
representative, if any. Until a personal support plan is
developed and agreed to by the enrollee, enrollees must have
access to the same amount, type, setting, duration, and
frequency of covered services that they had at the time of
enrollment unless other covered services are needed. For an
enrollee who is not receiving covered services at the time of
enrollment and for enrollees whose personal support plan is
being revised, access to the medical assistance benefit set must
be assured until a personal support plan is developed or
revised. The personal support plan must be based on choices,
preferences, and assessed needs and strengths of the enrollee.
The service coordinator shall develop the personal support plan,
in consultation with the enrollee or the enrollee's legal
representative and other individuals requested by the enrollee.
The personal support plan must be updated as needed or as
requested by the enrollee. Enrollees may choose not to have a
personal support plan.
(n) The county administrative entity shall ensure timely
authorization, arrangement, and continuity of needed and covered
supports and services.
(o) The county administrative entity shall offer service
coordination that fulfills the responsibilities under
subdivision 12 and is appropriate to the enrollee's needs,
choices, and preferences, including a choice of service
coordinator.
(p) The county administrative entity shall contract with
schools and other agencies as appropriate to provide otherwise
covered medically necessary medical assistance services as
described in an enrollee's individual family support plan, as
described in section 120.1701, or individual education plan, as
described in chapter 120.
(q) The county administrative entity shall develop and
implement strategies, based on consultation with affected
groups, to respect diversity and ensure culturally competent
service delivery in a manner that promotes the physical, social,
psychological, and spiritual well-being of enrollees and
preserves the dignity of individuals, families, and their
communities.
(r) When an enrollee changes county authorities, county
administrative entities shall ensure coordination with the
entity that is assuming responsibility for administering the
medical assistance benefit set to ensure continuity of supports
and services for the enrollee.
(s) The county administrative entity shall comply with
additional requirements as specified in the intergovernmental
contract.
(t) To the extent that alternatives are approved under
subdivision 17, county administrative entities must provide for
the health and safety of enrollees and protect the rights to
privacy and to provide informed consent.
Subd. 9. [CONSUMER CHOICE AND SAFEGUARDS.] (a) The
commissioner may require all eligible individuals to obtain
services covered under this chapter through county authorities.
Enrollees shall be given choices among a range of available
providers with expertise in serving persons of their age and
with their category of disability. If the county authority is
also a provider of services covered under the demonstration
project, other than service coordination, the enrollee shall be
given the choice of at least one other provider of that
service. The commissioner shall ensure that all enrollees have
continued access to medically necessary covered services.
(b) The commissioner must ensure that a set of enrollee
safeguards in the categories of access, choice, comprehensive
benefits, access to specialist care, disclosure of financial
incentives to providers, prohibition of exclusive provider
contracting and gag clauses, legal representation, guardianship,
representative payee, quality, rights and appeals, privacy, data
collection, and confidentiality are in place prior to enrollment
of eligible individuals.
(c) If multiple service delivery organizations are offered
for acute or continuing care within a demonstration site,
enrollees shall be given a choice of these organizations. A
choice is required if the county authority operates its own
health maintenance organization, community integrated service
network, or similar plan. Enrollees shall be given
opportunities to change enrollment in these organizations within
12 months following initial enrollment into the demonstration
project and shall also be offered an annual open enrollment
period, during which they are permitted to change their service
delivery organization.
(d) Enrollees shall have the option to change their primary
care provider once per month.
(e) The commissioner may waive the choice of provider
requirements in paragraph (a) or the choice of service delivery
organization requirements in paragraph (c) if the county
authority can demonstrate that, despite reasonable efforts, no
other provider of the service or service delivery organization
can be made available within the cost and quality requirements
of the demonstration project.
Subd. 10. [CAPITATION PAYMENT.] (a) The commissioner shall
pay a capitation payment to the county authority and, when
applicable under subdivision 6, paragraph (a), to the service
delivery organization for each medical assistance eligible
enrollee. The commissioner shall develop capitation payment
rates for the initial contract period for each demonstration
site in consultation with an independent actuary, to ensure that
the cost of services under the demonstration project does not
exceed the estimated cost for medical assistance services for
the covered population under the fee-for-service system for the
demonstration period. For each year of the demonstration
project, the capitation payment rate shall be based on 96
percent of the projected per person costs that would otherwise
have been paid under medical assistance fee-for-service during
each of those years. Rates shall be adjusted within the limits
of the available risk adjustment technology, as mandated by
section 62Q.03. In addition, the commissioner shall implement
appropriate risk and savings sharing provisions with county
administrative entities and, when applicable under subdivision
6, paragraph (a), service delivery organizations within the
projected budget limits. Any savings beyond those allowed for
the county authority, county administrative entity, or service
delivery organization shall be first used to meet the unmet
needs of eligible individuals. Payments to providers
participating in the project are exempt from the requirements of
sections 256.966 and 256B.03, subdivision 2.
(b) The commissioner shall monitor and evaluate annually
the effect of the discount on consumers, the county authority,
and providers of disability services. Findings shall be
reported and recommendations made, as appropriate, to ensure
that the discount effect does not adversely affect the ability
of the county administrative entity or providers of services to
provide appropriate services to eligible individuals, and does
not result in cost shifting of eligible individuals to the
county authority.
Subd. 11. [INTEGRATION OF FUNDING SOURCES.] The county
authority may integrate other local, state, and federal funding
sources with medical assistance funding. The commissioner's
approval is required for integration of state and federal funds
but not for local funds. During the demonstration project
period, county authorities must maintain the level of local
funds expended during the previous calendar year for populations
covered in the demonstration project. Excluding the state share
of Medicaid payments, state appropriations for state-operated
services shall not be integrated unless specifically approved by
the legislature. The commissioner may approve integration of
other state and federal funding if the intergovernmental
contract includes assurances that the people who would have been
served by these funds will receive comparable or better
services. The commissioner may withdraw approval for
integration of state and federal funds if the county authority
does not comply with these assurances. If the county authority
chooses to integrate funding, it must comply with the reporting
requirements of the commissioner, as specified in the
intergovernmental contract, to account for federal and state
Medicaid expenditures and expenditures of local funds. The
commissioner, upon the request and concurrence of a county
authority, may transfer state grant funds that would otherwise
be made available to the county authority to provide continuing
care for enrollees to the medical assistance account and, within
the limits of federal authority and available federal funding,
the commissioner shall adjust the capitation based on the amount
of this transfer.
Subd. 12. [SERVICE COORDINATION.] (a) For purposes of this
section, "service coordinator" means an individual selected by
the enrollee or the enrollee's legal representative and
authorized by the county administrative entity or service
delivery organization to work in partnership with the enrollee
to develop, coordinate, and in some instances, provide supports
and services identified in the personal support plan. Service
coordinators may only provide services and supports if the
enrollee is informed of potential conflicts of interest, is
given alternatives, and gives informed consent. Eligible
service coordinators are individuals age 18 or older who meet
the qualifications as described in paragraph (b). Enrollees,
their legal representatives, or their advocates are eligible to
be service coordinators if they have the capabilities to perform
the activities and functions outlined in paragraph (b).
Providers licensed under chapter 245A to provide residential
services, or providers who are providing residential services
covered under the group residential housing program may not act
as service coordinator for enrollees for whom they provide
residential services. This does not apply to providers of
short-term detoxification services. Each county administrative
entity or service delivery organization may develop further
criteria for eligible vendors of service coordination during the
demonstration period and shall determine whom it contracts with
or employs to provide service coordination. County
administrative entities and service delivery organizations may
pay enrollees or their advocates or legal representatives for
service coordination activities.
(b) The service coordinator shall act as a facilitator,
working in partnership with the enrollee to ensure that their
needs are identified and addressed. The level of involvement of
the service coordinator shall depend on the needs and desires of
the enrollee. The service coordinator shall have the knowledge,
skills, and abilities to, and is responsible for:
(1) arranging for an initial assessment, and periodic
reassessment as necessary, of supports and services based on the
enrollee's strengths, needs, choices, and preferences in life
domain areas;
(2) developing and updating the personal support plan based
on relevant ongoing assessment;
(3) arranging for and coordinating the provisions of
supports and services, including knowledgeable and skilled
specialty services and prevention and early intervention
services, within the limitations negotiated with the county
administrative entity or service delivery organization;
(4) assisting the enrollee and the enrollee's legal
representative, if any, to maximize informed choice of and
control over services and supports and to exercise the
enrollee's rights and advocate on behalf of the enrollee;
(5) monitoring the progress toward achieving the enrollee's
outcomes in order to evaluate and adjust the timeliness and
adequacy of the implementation of the personal support plan;
(6) facilitating meetings and effectively collaborating
with a variety of agencies and persons, including attending
individual family service plan and individual education plan
meetings when requested by the enrollee or the enrollee's legal
representative;
(7) soliciting and analyzing relevant information;
(8) communicating effectively with the enrollee and with
other individuals participating in the enrollee's plan;
(8) educating and communicating effectively with the
enrollee about good health care practices and risk to the
enrollee's health with certain behaviors;
(10) having knowledge of basic enrollee protection
requirements, including data privacy;
(11) informing, educating, and assisting the enrollee in
identifying available service providers and accessing needed
resources and services beyond the limitations of the medical
assistance benefit set covered services; and
(12) providing other services as identified in the person
support plan.
(c) For the demonstration project, the qualifications and
standards for service coordination in this section shall replace
comparable existing provisions of existing statutes and rules
governing case management for eligible individuals.
(d) The provisions of this subdivision apply only to the
demonstration sites that begin implementation on July 1, 1998.
Subd. 13. [OMBUDSMAN.] Enrollees shall have access to
ombudsman services established in section 256B.031, subdivision
6, and advocacy services provided by the ombudsman for mental
health and mental retardation established in sections 245.91 to
245.97. The managed care ombudsman and the ombudsman for mental
health and mental retardation shall coordinate services provided
to avoid duplication of services. For purposes of the
demonstration project, the powers and responsibilities of the
office of the ombudsman for mental health and mental
retardation, as provided in sections 245.91 to 245.97 are
expanded to include all eligible individuals, health plan
companies, agencies, and providers participating in the
demonstration project.
Subd. 14. [EXTERNAL ADVOCACY.] In addition to ombudsman
services, enrollees shall have access to advocacy services on a
local or regional basis. The purpose of external advocacy
includes providing individual advocacy services for enrollees
who have complaints or grievances with the county administrative
entity, service delivery organization, or a service provider;
assisting enrollees to understand the service delivery system
and select providers and, if applicable, a service delivery
organization; and understand and exercise their rights as an
enrollee. External advocacy contractors must demonstrate that
they have the expertise to advocate on behalf of all categories
of eligible individuals and are independent of the commissioner,
county authority, county administrative entity, service delivery
organization, or any service provider within the demonstration
project.
These advocacy services shall be provided through the
ombudsman for mental health and mental retardation directly, or
under contract with private, nonprofit organizations, with
funding provided through the demonstration project. The funding
shall be provided annually to the ombudsman's office based on
0.1 percent of the projected per person costs that would
otherwise have been paid under medical assistance
fee-for-service during those years. Funding for external
advocacy shall be provided for each year of the demonstration
period. This funding is in addition to the capitation payment
available under subdivision 10.
Subd. 15. [PUBLIC GUARDIANSHIP ALTERNATIVES.] Each county
authority with enrollees under public guardianship shall develop
a plan to discharge all those public guardianships and establish
appropriate private alternatives during the demonstration period.
The commissioner shall provide county authorities with
funding for public guardianship alternatives during the first
year of the demonstration project based on a proposal to
establish private alternatives for a specific number of
enrollees under public guardianship. Funding in subsequent
years shall be based on the county authority's performance in
achieving discharges of public guardianship and establishing
appropriate alternatives. The commissioner may establish fiscal
incentives to encourage county activity in this area. For each
year of the demonstration period, an appropriation is available
to the commissioner based on 0.2 percent of the projected per
person costs that would otherwise have been paid under medical
assistance fee-for-service for that year. This funding is in
addition to the capitation payment available under subdivision
10.
Subd. 16. [APPEALS.] Enrollees have the appeal rights
specified in section 256.045. Enrollees may request the
conciliation process as outlined under section 256.045,
subdivision 4a. If an enrollee appeals in writing to the state
agency on or before the latter of the effective day of the
proposed action or the tenth day after they have received the
decision of the county administrative entity or service delivery
organization to reduce, suspend, terminate, or deny continued
authorization for ongoing services which the enrollee had been
receiving, the county administrative entity or service delivery
organization must continue to authorize services at a level
equal to the level it previously authorized until the state
agency renders its decision.
Subd. 17. [APPROVAL OF ALTERNATIVES.] The commissioner may
approve alternatives to administrative rules if the commissioner
determines that appropriate alternative measures are in place to
protect the health, safety, and rights of enrollees and to
assure that services are of sufficient quality to produce the
outcomes described in the personal support plans. Prior
approved waivers, if needed by the demonstration project, shall
be extended. The commissioner shall not waive the rights or
procedural protections under sections 245.825; 245.91 to 245.97;
252.41, subdivision 9; 256B.092, subdivision 10; 626.556; and
626.557; or procedures for the monitoring of psychotropic
medications. Prohibited practices as defined in statutes and
rules governing service delivery to eligible individuals are
applicable to services delivered under this demonstration
project.
Subd. 18. [REPORTING.] Each county authority and service
delivery organization, and their contracted providers, shall
submit information as required by the commissioner in the
intergovernmental contract or service delivery contract,
including information about complaints, appeals, outcomes,
costs, including spending on services, service utilization,
identified unmet needs, services provided, rates of out-of-home
placement of children, institutionalization, commitments, number
of public guardianships discharged and alternatives to public
guardianship established, the use of emergency services, and
enrollee satisfaction. This information must be made available
to enrollees and the public. A county authority under an
intergovernmental contract and a service delivery organization
under a service delivery contract to provide services must
provide the most current listing of the providers who are
participating in the plan. This listing must be provided to
enrollees and be made available to the public. The
commissioner, county authorities, and service delivery
organizations shall also made all contracts and subcontracts
related to the demonstration project available to the public.
Subd. 19. [QUALITY MANAGEMENT AND EVALUATION.] County
authorities and service delivery organizations participating in
this demonstration project shall provide information to the
department as specified in the intergovernmental contract or
service delivery contract for the purpose of project evaluation.
This information may include both process and outcome evaluation
measures across areas that shall include enrollee satisfaction,
service delivery, service coordination, individual outcomes, and
costs. An independent evaluation of each demonstration site
shall be conducted prior to expansion of the demonstration
project to other sites.
Subd. 20. [LIMITATION ON REIMBURSEMENT.] The county
administrative entity or service delivery organization may limit
any reimbursement to providers not employed by or under contract
with the county administrative entity or service delivery
organization to the medical assistance rates paid by the
commissioner of human services to providers for services to
recipients not participating in the demonstration project.
Subd. 21. [COUNTY SOCIAL SERVICES OBLIGATIONS.] For
services that are outside of the medical assistance benefit set
for enrollees in excluded time status, the county of financial
responsibility must negotiate the provisions and payment of
services with the county of service prior to the provision of
services.
Subd. 22. [MINNESOTA COMMITMENT ACT SERVICES.] The county
administrative entity or service delivery organization is
financially responsible for all services for enrollees covered
by the medical assistance benefit set and ordered by the court
under the Minnesota Commitment Act, chapter 253B. The county
authority shall seek input from the county administrative entity
or service delivery organization in giving the court information
about services the enrollee needs and least restrictive
alternatives. The court order for services is deemed to comply
with the definition of medical necessity in Minnesota Rules,
part 9505.0175. The financial responsibility of the county
administrative entity or service delivery organization for
regional treatment center services to an enrollee while
committed to the regional treatment center is limited to 45 days
following commitment. Voluntary hospitalization for enrollees
at regional treatment centers must be covered by the county
administrative entity or service delivery organization if deemed
medically necessary by the county administrative entity or
service delivery organization. The regional treatment center
shall not accept a voluntary admission of an enrollee without
the authorization of the county administrative entity or service
delivery organization. An enrollee will maintain enrollee
status while receiving treatment under the Minnesota Commitment
Act or voluntary services in a regional treatment center. For
enrollees committed to the regional treatment center longer than
45 days, the commissioner may adjust the aggregate capitation
payments, as specified in the intergovernmental contract or
service delivery contract.
Subd. 23. [STAKEHOLDER COMMITTEE.] The commissioner shall
appoint a stakeholder committee to review and provide
recommendations on specifications for demonstration projects;
intergovernmental contracts; service delivery contracts;
alternatives to administrative rules proposed under subdivision
17; specific recommendations for legislation required for the
implementation of this project, including changes to statutes;
waivers of choice granted under subdivision 9, paragraph (e);
and other demonstration project policies and procedures as
requested by the commissioner. The stakeholder committee shall
include representatives from the following stakeholders:
consumers and their family members, advocates, advocacy
organizations, service providers, state government, counties,
and health plan companies. This stakeholder committee shall be
in operation for the demonstration period. The county
authorities shall continue to meet with state government to
develop the intergovernmental partnership.
Subd. 24. [REPORT TO THE LEGISLATURE.] (a) By February 15
of each year of the demonstration project, the commissioner
shall report to the legislature on the progress of the
demonstration project, including enrollee outcomes, enrollee
satisfaction, fiscal information, other information as described
in subdivision 18, recommendations from the stakeholder
committee, and descriptions of any rules or other administrative
procedures waived.
(b) The commissioner, in consultation with the counties and
the stakeholder committee, shall study and define the county
government function of service coordination and make
recommendations to the legislature in the report due February
15, 1998.
Subd. 25. [SEVERABILITY.] If any subdivision of this
section is not approved by the United States Department of
Health and Human Services, the commissioner, with the approval
of the county authority, retains the authority to implement the
remaining subdivisions.
Subd. 26. [SOUTHERN MINNESOTA HEALTH INITIATIVE PILOT
PROJECT.] When the commissioner contracts under subdivisions 1
and 6, paragraph (a), with the joint powers board for the
southern Minnesota health initiative (SMHI) to participate in
the demonstration project for persons with disabilities under
subdivision 5, the commissioner shall also require health plans
serving counties participating in the southern Minnesota health
initiative under this section to contract with the southern
Minnesota health initiative joint powers board to provide
covered mental health and chemical dependency services for the
nonelderly/nondisabled persons who reside in one of the counties
and who are required or elect to participate in the prepaid
medical assistance and general assistance medical care
programs. Enrollees may obtain covered mental health and
chemical dependency services through the SMHI or through other
health plan contractors. Participation of the
nonelderly/nondisabled with the SMHI is voluntary. The
commissioner shall identify a monthly per capita payment amount
that health plans are required to pay to the SMHI for all
nonelderly/nondisabled recipients who choose the SMHI for their
mental health and chemical dependency services.
ARTICLE 9
MISCELLANEOUS
Section 1. Minnesota Statutes 1996, section 16A.124,
subdivision 4b, is amended to read:
Subd. 4b. [HEALTH CARE PAYMENTS.] (a) The commissioner of
human services must pay or deny a valid vendor obligation for
health services under the medical assistance, general assistance
medical care, or MinnesotaCare program within 30 days after
receipt. A "valid vendor obligation" means a clean claim
submitted directly to the commissioner by an eligible health
care provider for health services provided to an eligible
recipient. A "clean claim" means an original paper or
electronic claim with correct data elements, prepared in
accordance with the commissioner's published specifications for
claim preparation, that does not require an attachment or text
information to pay or deny the claim. Adjustment claims, claims
with attachments and text information, and claims submitted to
the commissioner as the secondary or tertiary payer, that have
been prepared in accordance with the commissioner's published
specifications, must be adjudicated within 90 days after receipt.
For purposes of this subdivision, paragraphs (b) and (c)
apply.
(b) The agency is not required to make an interest penalty
payment on claims for which payment has been delayed for
purposes of reviewing potentially fraudulent or abusive billing
practices, if there is an eventual finding by the agency of
fraud or abuse.
(c) The agency is not required to make an interest penalty
payment of less than $2.
Sec. 2. Minnesota Statutes 1996, section 245.03,
subdivision 2, is amended to read:
Subd. 2. [MISSION; EFFICIENCY.] It is part of the
department's mission that within the department's resources the
commissioner shall endeavor to:
(1) prevent the waste or unnecessary spending of public
money;
(2) use innovative fiscal and human resource practices to
manage the state's resources and operate the department as
efficiently as possible, including the authority to consolidate
different nonentitlement grant programs, having similar
functions or serving similar populations, as may be determined
by the commissioner, while protecting the original purposes of
the programs. Nonentitlement grant funds consolidated by the
commissioner shall be reflected in the department's biennial
budget. With approval of the commissioner, vendors who are
eligible for funding from any of the commissioner's granting
authority under section 256.01, subdivision 2, paragraph (1),
clause (f), may submit a single application for a grant
agreement including multiple awards;
(3) coordinate the department's activities wherever
appropriate with the activities of other governmental agencies;
(4) use technology where appropriate to increase agency
productivity, improve customer service, increase public access
to information about government, and increase public
participation in the business of government;
(5) utilize constructive and cooperative labor-management
practices to the extent otherwise required by chapters 43A and
179A;
(6) include specific objectives in the performance report
required under section 15.91 to increase the efficiency of
agency operations, when appropriate; and
(7) recommend to the legislature, in the performance report
of the department required under section 15.91, appropriate
changes in law necessary to carry out the mission of the
department.
Sec. 3. Minnesota Statutes 1996, section 245.98, is
amended by adding a subdivision to read:
Subd. 5. [STANDARDS.] The commissioner shall create
standards for treatment and provider qualifications for the
treatment component of the compulsive gambling program.
Sec. 4. [252.294] [CRITERIA FOR DOWNSIZING OF FACILITIES.]
The commissioner of human services shall develop a process
to evaluate and rank proposals for the voluntary downsizing or
closure of intermediate care facilities for persons with mental
retardation or related conditions using the following guidelines:
(1) the extent to which the option matches overall policy
direction of the department;
(2) the extent to which the option demonstrates respect for
individual needs and allows implementation of individual choice;
(3) the extent to which the option addresses safety,
privacy, and other programmatic issues;
(4) the extent to which the option appropriately redesigns
the overall community capacity; and
(5) the cost of each option.
The process shall, to the extent feasible, be modeled on
the nursing home moratorium exception process, including
procedures for administrative evaluation and approval of
projects within the limit of appropriations made available by
the legislature.
Sec. 5. Minnesota Statutes 1996, section 256.045,
subdivision 10, is amended to read:
Subd. 10. [PAYMENTS PENDING APPEAL.] If the commissioner
of human services or district court orders monthly assistance or
aid or services paid or provided in any proceeding under this
section, it shall be paid or provided pending appeal to the
commissioner of human services, district court, court of
appeals, or supreme court. The human services referee may order
the local human services agency to reduce or terminate medical
assistance or general assistance medical care to a recipient
before a final order is issued under this section if: (1) the
human services referee determines at the hearing that the sole
issue on appeal is one of a change in state or federal law; and
(2) the commissioner or the local agency notifies the recipient
before the action. The state or county agency has a claim for
food stamps, cash payments, medical assistance, general
assistance medical care, and MinnesotaCare program payments made
to or on behalf of a recipient or former recipient while an
appeal is pending if the recipient or former recipient is
determined ineligible for the food stamps, cash payments,
medical assistance, general assistance medical care, or
MinnesotaCare as a result of the appeal, except for medical
assistance and general assistance medical care made on behalf of
a recipient pursuant to a court order. In enforcing a claim on
MinnesotaCare program payments, the state or county agency shall
reduce the claim amount by the value of any premium payments
made by a recipient or former recipient during the period for
which the recipient or former recipient has been determined to
be ineligible. Provision of a health care service by the state
agency under medical assistance, general assistance medical
care, or MinnesotaCare pending appeal shall not render moot the
state agency's position in a court of law.
Sec. 6. Minnesota Statutes 1996, section 256.9742, is
amended to read:
256.9742 [DUTIES AND POWERS OF THE OFFICE.]
Subdivision 1. [DUTIES.] The ombudsman ombudsman's program
shall:
(1) gather information and evaluate any act, practice,
policy, procedure, or administrative action of a long-term care
facility, acute care facility, home care service provider, or
government agency that may adversely affect the health, safety,
welfare, or rights of any client;
(2) mediate or advocate on behalf of clients;
(3) monitor the development and implementation of federal,
state, or local laws, rules, regulations, and policies affecting
the rights and benefits of clients;
(4) comment on and recommend to the legislature and public
and private agencies regarding laws, rules, regulations, and
policies affecting clients;
(5) inform public agencies about the problems of clients;
(6) provide for training of volunteers and promote the
development of citizen participation in the work of the office;
(7) conduct public forums to obtain information about and
publicize issues affecting clients;
(8) provide public education regarding the health, safety,
welfare, and rights of clients; and
(9) collect and analyze data relating to complaints,
conditions, and services.
Subd. 1a. [DESIGNATION; LOCAL OMBUDSMAN REPRESENTATIVES
STAFF AND VOLUNTEERS.] (a) In designating an individual to
perform duties under this section, the ombudsman must determine
that the individual is qualified to perform the duties required
by this section.
(b) An individual designated as ombudsman staff under this
section must successfully complete an orientation training
conducted under the direction of the ombudsman or approved by
the ombudsman. Orientation training shall be at least 20 hours
and will consist of training in: investigation, dispute
resolution, health care regulation, confidentiality, resident
and patients' rights, and health care reimbursement.
(c) The ombudsman shall develop and implement a continuing
education program for individuals designated as ombudsman staff
under this section. The continuing education program shall be
at least 60 hours annually.
(d) An individual designated as an ombudsman volunteer
under this section must successfully complete an approved
orientation training course with a minimum curriculum including
federal and state bills of rights for long-term care residents,
acute hospital patients and home care clients, the Vulnerable
Adults Act, confidentiality, and the role of the ombudsman.
(e) The ombudsman shall develop and implement a continuing
education program for ombudsman volunteers which will provide a
minimum of 12 hours of continuing education per year.
(f) The ombudsman may withdraw an individual's designation
if the individual fails to perform duties of this section or
meet continuing education requirements. The individual may
request a reconsideration of such action by the board on aging
whose decision shall be final.
Subd. 2. [IMMUNITY FROM LIABILITY.] The ombudsman or
designee including staff and volunteers under this section is
immune from civil liability that otherwise might result from the
person's actions or omissions if the person's actions are in
good faith, are within the scope of the person's
responsibilities as an ombudsman or designee, and do not
constitute willful or reckless misconduct.
Subd. 3. [POSTING.] Every long-term care facility and
acute care facility shall post in a conspicuous place the
address and telephone number of the office. A home care service
provider shall provide all recipients, including those in
elderly housing with services under chapter 144D, with the
address and telephone number of the office. Counties shall
provide clients receiving a consumer support grant or a service
allowance with the name, address, and telephone number of the
office. The posting or notice is subject to approval by the
ombudsman.
Subd. 4. [ACCESS TO LONG-TERM CARE AND ACUTE CARE
FACILITIES AND CLIENTS.] The ombudsman or designee may:
(1) enter any long-term care facility without notice at any
time;
(2) enter any acute care facility without notice during
normal business hours;
(3) enter any acute care facility without notice at any
time to interview a patient or observe services being provided
to the patient as part of an investigation of a matter that is
within the scope of the ombudsman's authority, but only if the
ombudsman's or designee's presence does not intrude upon the
privacy of another patient or interfere with routine hospital
services provided to any patient in the facility;
(4) communicate privately and without restriction with any
client in accordance with section 144.651, as long as the
ombudsman has the client's consent for such communication;
(5) inspect records of a long-term care facility, home care
service provider, or acute care facility that pertain to the
care of the client according to sections 144.335 and 144.651;
and
(6) with the consent of a client or client's legal
guardian, the ombudsman or designated staff shall have access to
review records pertaining to the care of the client according to
sections 144.335 and 144.651. If a client cannot consent and
has no legal guardian, access to the records is authorized by
this section.
A person who denies access to the ombudsman or designee in
violation of this subdivision or aids, abets, invites, compels,
or coerces another to do so is guilty of a misdemeanor.
Subd. 5. [ACCESS TO STATE RECORDS.] The ombudsman or
designee, excluding volunteers, has access to data of a state
agency necessary for the discharge of the ombudsman's duties,
including records classified confidential or private under
chapter 13, or any other law. The data requested must be
related to a specific case and is subject to section 13.03,
subdivision 4. If the data concerns an individual, the
ombudsman or designee shall first obtain the individual's
consent. If the individual cannot consent and has no legal
guardian, then access to the data is authorized by this section.
Each state agency responsible for licensing, regulating,
and enforcing state and federal laws and regulations concerning
long-term care, home care service providers, and acute care
facilities shall forward to the ombudsman on a quarterly basis,
copies of all correction orders, penalty assessments, and
complaint investigation reports, for all long-term care
facilities, acute care facilities, and home care service
providers.
Subd. 6. [PROHIBITION AGAINST DISCRIMINATION OR
RETALIATION.] (a) No entity shall take discriminatory,
disciplinary, or retaliatory action against an employee or
volunteer, or a patient, resident, or guardian or family member
of a patient, resident, or guardian for filing in good faith a
complaint with or providing information to the ombudsman or
designee including volunteers. A person who violates this
subdivision or who aids, abets, invites, compels, or coerces
another to do so is guilty of a misdemeanor.
(b) There shall be a rebuttable presumption that any
adverse action, as defined below, within 90 days of report, is
discriminatory, disciplinary, or retaliatory. For the purpose
of this clause, the term "adverse action" refers to action taken
by the entity involved in a report against the person making the
report or the person with respect to whom the report was made
because of the report, and includes, but is not limited to:
(1) discharge or transfer from a facility;
(2) termination of service;
(3) restriction or prohibition of access to the facility or
its residents;
(4) discharge from or termination of employment;
(5) demotion or reduction in remuneration for services; and
(6) any restriction of rights set forth in section 144.651
or 144A.44.
Sec. 7. Minnesota Statutes 1996, section 256.9744,
subdivision 2, is amended to read:
Subd. 2. [RELEASE.] Data maintained by the office that
does not relate to the identity of a complainant, a client
receiving home-care services, or a resident of a long-term
facility may be released at the discretion of the ombudsman
responsible for maintaining the data. Data relating to the
identity of a complainant, a client receiving home-care
services, or a resident of a long-term facility may be released
only with the consent of the complainant, the client or resident
or by court order.
Sec. 8. [256.9772] [HEALTH CARE CONSUMER ASSISTANCE GRANT
PROGRAM.]
The board on aging shall award grants to area agencies on
aging to develop projects to provide information about health
coverage and to provide assistance to individuals in obtaining
public and private health care benefits. Projects must:
(1) train and support staff and volunteers to work in
partnership to provide one-on-one information and assistance
services;
(2) provide individual consumers with assistance in
understanding the terms of a certificate, contract, or policy of
health coverage, including, but not limited to, terms relating
to covered services, limitations on services, limitations on
access to providers, and enrollee complaint and appeal
procedures;
(3) assist individuals to understand medical bills and to
process health care claims and appeals to obtain health care
benefits;
(4) coordinate with existing health insurance counseling
programs serving Medicare eligible individuals or establish
programs to serve all consumers;
(5) target those individuals determined to be in greatest
social and economic need for counseling services; and
(6) operate according to United States Code, title 42,
section 1395b-4, if serving Medicare beneficiaries.
Sec. 9. Minnesota Statutes 1996, section 256B.037,
subdivision 1a, is amended to read:
Subd. 1a. [MULTIPLE DENTAL PLAN AREAS.] After the
department has executed contracts with dental plans to provide
covered dental care services in a multiple dental plan area, the
department shall:
(1) inform applicants and recipients, in writing, of
available dental plans, when written notice of dental plan
selection must be submitted to the department, and when dental
plan participation begins;
(2) randomly assign to a dental plan recipients who fail to
notify the department in writing of their dental plan choice;
and
(3) notify recipients, in writing, of their assigned dental
plan before the effective date of the recipient's dental plan
participation.
Sec. 10. Minnesota Statutes 1996, section 256B.0911,
subdivision 2, is amended to read:
Subd. 2. [PERSONS REQUIRED TO BE SCREENED; EXEMPTIONS.]
All applicants to Medicaid certified nursing facilities must be
screened prior to admission, regardless of income, assets, or
funding sources, except the following:
(1) patients who, having entered acute care facilities from
certified nursing facilities, are returning to a certified
nursing facility;
(2) residents transferred from other certified nursing
facilities located within the state of Minnesota;
(3) individuals who have a contractual right to have their
nursing facility care paid for indefinitely by the veteran's
administration;
(4) individuals who are enrolled in the Ebenezer/Group
Health social health maintenance organization project, or
enrolled in a demonstration project under section 256B.69,
subdivision 18, at the time of application to a nursing home; or
(5) individuals previously screened and currently being
served under the alternative care program or under a home and
community-based services waiver authorized under section 1915(c)
of the Social Security Act; or
(6) individuals who are admitted to a certified nursing
facility for a short-term stay, which, based upon a physician's
certification, is expected to be 14 days or less in duration,
and who have been screened and approved for nursing facility
admission within the previous six months. This exemption
applies only if the screener determines at the time of the
initial screening of the six-month period that it is appropriate
to use the nursing facility for short-term stays and that there
is an adequate plan of care for return to the home or
community-based setting. If a stay exceeds 14 days, the
individual must be referred no later than the first county
working day following the 14th resident day for a screening,
which must be completed within five working days of the
referral. Payment limitations in subdivision 7 will apply to an
individual found at screening to meet the level of care criteria
for admission to a certified nursing facility.
Regardless of the exemptions in clauses (2) to (4) (6),
persons who have a diagnosis or possible diagnosis of mental
illness, mental retardation, or a related condition must be
screened receive a preadmission screening before admission
unless the admission prior to screening is authorized by the
local mental health authority or the local developmental
disabilities case manager, or unless authorized by the county
agency according to Public Law Number 101-508.
Before admission to a Medicaid certified nursing home or
boarding care home, all persons must be screened and approved
for admission through an assessment process. The nursing
facility is authorized to conduct case mix assessments which are
not conducted by the county public health nurse under Minnesota
Rules, part 9549.0059. The designated county agency is
responsible for distributing the quality assurance and review
form for all new applicants to nursing homes.
Other persons who are not applicants to nursing facilities
must be screened if a request is made for a screening.
Sec. 11. Minnesota Statutes 1996, section 256B.434,
subdivision 2, is amended to read:
Subd. 2. [REQUESTS FOR PROPOSALS.] (a) No later than
August 1, 1995, At least twice annually the commissioner shall
publish in the State Register a request for proposals to pr