Minnesota Session Laws - 2002, Regular Session

                            CHAPTER 396-H.F.No. 3092 
                  An act relating to health; allowing release of data on 
                  school employee violence or sexual contact toward 
                  student; modifying provisions relating to human 
                  services licensing sanctions; providing employer 
                  immunity for reference checks for certain health care 
                  providers and facilities; amending Minnesota Statutes 
                  2000, section 13.43, by adding a subdivision; 
                  Minnesota Statutes 2001 Supplement, section 245A.07, 
                  subdivisions 2, 3; proposing coding for new law in 
                  Minnesota Statutes, chapter 604A. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 2000, section 13.43, is 
        amended by adding a subdivision to read: 
           Subd. 16.  [SCHOOL DISTRICT OR CHARTER SCHOOL DISCLOSURE OF 
        VIOLENCE OR INAPPROPRIATE CONTACT.] With the written, informed 
        consent of the subject of the data, the superintendent of a 
        school district or the superintendent's designee, or a person 
        having administrative control of a charter school, must release 
        to a school district or charter school private personnel data on 
        a current or former employee related to documented violence 
        toward or sexual contact with a student.  Nothing in this 
        subdivision affects or restricts the general requirements of 
        this chapter governing the release of private data with the 
        informed consent of the subject. 
           [EFFECTIVE DATE.] This section is effective July 1, 2002. 
           Sec. 2.  Minnesota Statutes 2001 Supplement, section 
        245A.07, subdivision 2, is amended to read: 
           Subd. 2.  [TEMPORARY IMMEDIATE SUSPENSION.] If the license 
        holder's actions or failure to comply with applicable law or 
        rule poses an imminent risk of harm to the health, safety, or 
        rights of persons served by the program, the commissioner shall 
        act immediately to temporarily suspend the license.  No state 
        funds shall be made available or be expended by any agency or 
        department of state, county, or municipal government for use by 
        a license holder regulated under this chapter while a license is 
        under immediate suspension.  A notice stating the reasons for 
        the immediate suspension and informing the license holder of the 
        right to an expedited hearing under chapter 14 and Minnesota 
        Rules, parts 1400.8510 to 1400.8612 and successor rules, must be 
        delivered by personal service to the address shown on the 
        application or the last known address of the license holder.  
        The license holder may appeal an order immediately suspending a 
        license.  The appeal of an order immediately suspending a 
        license must be made in writing by certified mail and must 
        be received by postmarked and sent to the commissioner within 
        five calendar days after the license holder receives notice that 
        the license has been immediately suspended.  A license holder 
        and any controlling individual shall discontinue operation of 
        the program upon receipt of the commissioner's order to 
        immediately suspend the license. 
           Sec. 3.  Minnesota Statutes 2001 Supplement, section 
        245A.07, subdivision 3, is amended to read: 
           Subd. 3.  [LICENSE SUSPENSION, REVOCATION, OR FINE.] The 
        commissioner may suspend or revoke a license, or impose a fine 
        if a license holder fails to comply fully with applicable laws 
        or rules, or knowingly withholds relevant information from or 
        gives false or misleading information to the commissioner in 
        connection with an application for a license or during an 
        investigation.  A license holder who has had a license 
        suspended, revoked, or has been ordered to pay a fine must be 
        given notice of the action by certified mail.  The notice must 
        be mailed to the address shown on the application or the last 
        known address of the license holder.  The notice must state the 
        reasons the license was suspended, revoked, or a fine was 
        ordered. 
           (a) If the license was suspended or revoked, the notice 
        must inform the license holder of the right to a contested case 
        hearing under chapter 14 and Minnesota Rules, parts 1400.8510 to 
        1400.8612 and successor rules.  The license holder may appeal an 
        order suspending or revoking a license.  The appeal of an order 
        suspending or revoking a license must be made in writing by 
        certified mail and must be received by postmarked and sent to 
        the commissioner within ten calendar days after the license 
        holder receives notice that the license has been suspended or 
        revoked.  
           (b)(1) If the license holder was ordered to pay a fine, the 
        notice must inform the license holder of the responsibility for 
        payment of fines and the right to a contested case hearing under 
        chapter 14 and Minnesota Rules, parts 1400.8510 to 1400.8612 and 
        successor rules.  The appeal of an order to pay a fine must be 
        made in writing by certified mail and must be received by 
        postmarked and sent to the commissioner within ten calendar days 
        after the license holder receives notice that the fine has been 
        ordered.  
           (2) The license holder shall pay the fines assessed on or 
        before the payment date specified.  If the license holder fails 
        to fully comply with the order, the commissioner may issue a 
        second fine or suspend the license until the license holder 
        complies.  If the license holder receives state funds, the 
        state, county, or municipal agencies or departments responsible 
        for administering the funds shall withhold payments and recover 
        any payments made while the license is suspended for failure to 
        pay a fine.  A timely appeal shall stay payment of the fine 
        until the commissioner issues a final order.  
           (3) A license holder shall promptly notify the commissioner 
        of human services, in writing, when a violation specified in the 
        order to forfeit a fine is corrected.  If upon reinspection the 
        commissioner determines that a violation has not been corrected 
        as indicated by the order to forfeit a fine, the commissioner 
        may issue a second fine.  The commissioner shall notify the 
        license holder by certified mail that a second fine has been 
        assessed.  The license holder may appeal the second fine as 
        provided under this subdivision. 
           (4) Fines shall be assessed as follows:  the license holder 
        shall forfeit $1,000 for each determination of maltreatment of a 
        child under section 626.556 or the maltreatment of a vulnerable 
        adult under section 626.557; the license holder shall forfeit 
        $200 for each occurrence of a violation of law or rule governing 
        matters of health, safety, or supervision, including but not 
        limited to the provision of adequate staff-to-child or adult 
        ratios, and failure to submit a background study; and the 
        license holder shall forfeit $100 for each occurrence of a 
        violation of law or rule other than those subject to a $1,000 or 
        $200 fine above.  For purposes of this section, "occurrence" 
        means each violation identified in the commissioner's fine order.
           (5) When a fine has been assessed, the license holder may 
        not avoid payment by closing, selling, or otherwise transferring 
        the licensed program to a third party.  In such an event, the 
        license holder will be personally liable for payment.  In the 
        case of a corporation, each controlling individual is personally 
        and jointly liable for payment. 
           Sec. 4.  [604A.33] [REFERENCE CHECKS BY CERTAIN HEALTH CARE 
        PROVIDERS AND FACILITIES.] 
           Subdivision 1.  [APPLICATION.] This section applies to 
        residential treatment programs for children or group homes for 
        children licensed under chapter 245A, residential services and 
        programs for juveniles licensed under section 241.021, providers 
        licensed pursuant to sections 144A.01 to 144A.33 or sections 
        144A.43 to 144A.48, personal care provider organizations under 
        section 256B.0627, subdivision 1, paragraph (j), providers of 
        day training and habilitation services under sections 252.40 to 
        252.46, board and lodging facilities licensed under chapter 157, 
        intermediate care facilities for persons with mental retardation 
        or related conditions, and other facilities licensed to provide 
        residential services to persons with developmental disabilities. 
           Subd. 2.  [CAUSES OF ACTION.] (a) No action may be brought 
        against a provider or facility listed in subdivision 1 or a 
        designated employee or agent of the provider or facility who 
        discloses information regarding a former or current employee to 
        a prospective employer as provided under this section.  This 
        subdivision does not preclude a charge or action under chapter 
        363, or an action arising from a disclosure that is proved, by a 
        preponderance of the evidence, was made fraudulently or with 
        deliberate disregard as to its truth or falsity. 
           (b) This subdivision does not preclude an action against a 
        prospective employer for disclosing information received under 
        this section. 
           Subd. 3.  [REFERENCE CHECKS.] (a) Upon written request, a 
        provider or facility listed in subdivision 1 or a designated 
        employee or agent of the provider or facility may disclose in 
        writing the following information about a current or former 
        employee to a prospective employer: 
           (1) dates of employment; 
           (2) compensation and wage history; 
           (3) job description and duties; 
           (4) training and education provided by the employer; and 
           (5) all acts of violence, theft, harassment, or illegal 
        conduct by the employee documented in the personnel record which 
        resulted in disciplinary action or resignation, and the 
        employee's written response, if necessary, contained in the 
        personnel record. 
           (b) With the written authorization of the current or former 
        employee, a provider or facility listed in subdivision 1 or a 
        designated employee or agent of the provider or facility may 
        also disclose the following information in writing to a 
        prospective employer: 
           (1) written employee evaluations conducted prior to the 
        employee's separation from the employer and the employee's 
        written response, if any, contained in the employee's personnel 
        record; 
           (2) disciplinary warnings and actions in the five years 
        before the date of the authorization and the employee's written 
        response, if any, contained in the employee's personnel record; 
        and 
           (3) reasons for separation from employment. 
           (c) The provider, facility, designated employee, or agent 
        must provide a written copy of a disclosure made under this 
        subdivision and information on to whom the disclosure was made 
        to the current or former employee upon request. 
           [EFFECTIVE DATE.] This section is effective July 1, 2002, 
        and applies to causes of action arising on or after that date. 
           Presented to the governor May 20, 2002 
           Signed by the governor May 22, 2002, 1:23 p.m.