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

                             CHAPTER 9-H.F.No. 1158 
                  An act relating to human services; increasing an 
                  intergovernmental transfer payment; increasing the 
                  county nursing home payment adjustment; appropriating 
                  money; amending Minnesota Statutes 2002, sections 
                  256B.19, subdivision 1d; 256B.431, subdivision 23. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 2002, section 256B.19, 
        subdivision 1d, is amended to read: 
           Subd. 1d.  [PORTION OF NONFEDERAL SHARE TO BE PAID BY 
        CERTAIN COUNTIES.] (a) In addition to the percentage 
        contribution paid by a county under subdivision 1, the 
        governmental units designated in this subdivision shall be 
        responsible for an additional portion of the nonfederal share of 
        medical assistance cost.  For purposes of this subdivision, 
        "designated governmental unit" means the counties of Becker, 
        Beltrami, Clearwater, Cook, Dodge, Hubbard, Itasca, Lake, 
        Pennington, Pipestone, Ramsey, St. Louis, Steele, Todd, 
        Traverse, and Wadena. 
           (b) Beginning in 1994, each of the governmental units 
        designated in this subdivision shall transfer before noon on May 
        31 to the state Medicaid agency an amount equal to the number of 
        licensed beds in any nursing home owned and operated by the 
        county on that date, with the county named as licensee, 
        multiplied by $5,723.  If two or more counties own and operate a 
        nursing home, the payment shall be prorated.  These sums shall 
        be part of the designated governmental unit's portion of the 
        nonfederal share of medical assistance costs. 
           (c) Beginning in 2002, in addition to any transfer under 
        paragraph (b), each of the governmental units designated in this 
        subdivision shall transfer before noon on May 31 to the state 
        Medicaid agency an amount equal to the number of licensed beds 
        in any nursing home owned and operated by the county on that 
        date, with the county named as licensee, multiplied by $10,784.  
        The provisions of paragraph (b) apply to transfers under this 
        paragraph. 
           (d) Beginning in 2003, in addition to any transfer under 
        paragraphs (b) and (c), each of the governmental units 
        designated in this subdivision shall transfer before noon on May 
        31 to the state Medicaid agency an amount equal to the number of 
        licensed beds in any nursing home owned and operated by the 
        county on that date, with the county named as licensee, 
        multiplied by $2,230.  The provisions of paragraph (b) apply to 
        transfers under this paragraph. 
           (e) The commissioner may reduce the intergovernmental 
        transfers under paragraph paragraphs (c) and (d) based on the 
        commissioner's determination of the payment rate in section 
        256B.431, subdivision 23, paragraphs (c) and, (d), and (e).  Any 
        adjustments must be made on a per-bed basis and must result in 
        an amount equivalent to the total amount resulting from the rate 
        adjustment in section 256B.431, subdivision 23, paragraphs (c) 
        and, (d), and (e). 
           [EFFECTIVE DATE.] This section is effective retroactive to 
        January 1, 2003.  
           Sec. 2.  Minnesota Statutes 2002, section 256B.431, 
        subdivision 23, is amended to read: 
           Subd. 23.  [COUNTY NURSING HOME PAYMENT ADJUSTMENTS.] (a) 
        Beginning in 1994, the commissioner shall pay a nursing home 
        payment adjustment on May 31 after noon to a county in which is 
        located a nursing home that, on that date, was county-owned and 
        operated, with the county named as licensee by the commissioner 
        of health, and had over 40 beds and medical assistance occupancy 
        in excess of 50 percent during the reporting year ending 
        September 30, 1991.  The adjustment shall be an amount equal to 
        $16 per calendar day multiplied by the number of beds licensed 
        in the facility as of September 30, 1991 on that date. 
           (b) Payments under paragraph (a) are excluded from medical 
        assistance per diem rate calculations.  These payments are 
        required notwithstanding any rule prohibiting medical assistance 
        payments from exceeding payments from private pay residents.  A 
        facility receiving a payment under paragraph (a) may not 
        increase charges to private pay residents by an amount 
        equivalent to the per diem amount payments under paragraph (a) 
        would equal if converted to a per diem. 
           (c) Beginning in 2002, in addition to any payment under 
        paragraph (a), the commissioner shall pay to a nursing facility 
        described in paragraph (a) an adjustment in an amount equal to 
        $29.55 per calendar day multiplied by the number of beds 
        licensed in the facility on that date.  The provisions of 
        paragraphs (a) and (b) apply to payments under this paragraph. 
           (d) Beginning in 2003, in addition to any payment under 
        paragraphs (a) and (c), the commissioner shall pay to a nursing 
        facility described in paragraph (a) an adjustment in an amount 
        equal to $6.11 per calendar day multiplied by the number of beds 
        licensed in the facility on that date.  The provisions of 
        paragraphs (a) and (b) apply to payments under this paragraph.  
           (e) The commissioner may reduce payments under 
        paragraph paragraphs (c) and (d) based on the commissioner's 
        determination of Medicare upper payment limits.  Any adjustments 
        must be proportional to adjustments made under section 256B.19, 
        subdivision 1d, paragraph (d) (e). 
           [EFFECTIVE DATE.] This section is effective retroactive to 
        January 1, 2003.  
           Sec. 3.  [APPROPRIATION.] 
           $1,529,000 is appropriated from the general fund to the 
        commissioner of human services for the fiscal year beginning 
        July 1, 2002, for the purpose of section 2. 
           [EFFECTIVE DATE.] This section is effective the day 
        following final enactment. 
           Presented to the governor April 3, 2003 
           Signed by the governor April 7, 2003, 4:35 p.m.

Official Publication of the State of Minnesota
Revisor of Statutes