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

CHAPTER 338--H.F.No. 3955
An act
relating to state government; regulating certain payments to I-35W bridge
collapse survivors; promoting community-based care for older adults through the
establishment of a community consortium demonstration project; establishing
a community consortium account in the general fund to distribute pooled
resources; requiring an evaluation of the demonstration project; amending 2008
H. F. No. 2553, section 5, subdivision 3, if enacted;proposing coding for new
law in Minnesota Statutes, chapter 3.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

    Section 1. [3.7395] PUBLIC ASSISTANCE.
    Subdivision 1. Eligibility. Payments made to victims under sections 3.7391 to
3.7394 and the catastrophe survivor compensation fund shall not be counted as income,
assets, or resources for purposes of eligibility for health care and maintenance programs
under chapters 256B, 256D, 256J, and 256L. Victims and their families who would
otherwise be eligible for and enrolled in health care programs with federal funding shall
be eligible for and enrolled in health care programs paid with state funding until and
unless federal approval of this exclusion is granted. The commissioner of human services
shall pursue the federal approval necessary to exclude these payments under federally
funded health care programs.
    Subd. 2. Subrogation. For the purpose of medical assistance and MinnesotaCare,
the Department of Human Services shall pay the federal financial participation for the
portion of any payment that is required to be treated as primary to Medicaid.
EFFECTIVE DATE.This section is effective at the time that 2008 H.F. No. 2553,
if enacted, takes effect.

    Sec. 2. 2008 H.F. NO. 2553, SECTION 5, SUBDIVISION 3, IF ENACTED, IS
AMENDED TO READ:
    Subd. 3. Payments from other sources. Notwithstanding any statutory or common
law or agreement to the contrary, a person required to make payments, including future
payments, to a survivor may not eliminate or reduce those payments as a result of
compensation paid to the survivor under section 3.7393 or from the emergency relief fund
or as a result of the survivor's release of claims against the state, a municipality, or their
employees under section 3.7393 only to the extent those payments represent damages for
future losses for which the survivor received compensation under section 3.7393 or from
the emergency relief fund. The obligation of any person other than the state to make
payments to a survivor is primary as compared to any payment made or to be made under
section 3.7393 or from the emergency relief fund. The persons referenced in and covered
by this subdivision and subdivision 4 include, without limitation:
    (1) reparation obligors, as defined in section 65B.43, subdivision 9, whether they are
insurers or self-insurers;
    (2) health plan companies, as defined in section 62Q.01, subdivision 4, including the
Minnesota Comprehensive Health Association created under section 62E.10;
    (3) insurance companies, as defined in section 60A.02, subdivision 4;
    (4) self-insured pools of political subdivisions organized under section 471.617 or
471.981, including service cooperatives pools organized under section 123A.21;
    (5) risk retention groups, as defined in section 60E.02, subdivision 12;
    (6) joint self-insurance plans governed by chapter 60F;
    (7) workers' compensation insurers and private self-insurers, as defined in section
79.01;
    (8) the Minnesota Life and Health Insurance Guaranty Association governed by
chapter 61B;
    (9) the Minnesota Insurance Guaranty Association governed by chapter 60C;
    (10) the Minnesota Joint Underwriting Association governed by chapter 62I;
    (11) all insurers providing credit life, credit accident and health, and credit
involuntary unemployment insurance under chapter 62B, but also including those
coverages written in connection with real estate mortgage loans and those provided to
borrowers at no additional cost;
    (12) the Minnesota unemployment insurance program provided under chapter 268;
    (13) coverage offered by the state under medical assistance, general assistance
medical care, and MinnesotaCare; and
    (14) any other plan providing health, life, disability income, or long-term care
coverage.
EFFECTIVE DATE.This section is effective at the time that 2008 H.F. No. 2553,
if enacted, takes effect.

    Sec. 3. OLDER ADULT SERVICES COMMUNITY CONSORTIUMS.
    Subdivision 1. Establishment. (a) The commissioner of human services, in
cooperation with the commissioners of health and housing finance, shall develop and
implement, beginning July 1, 2009, a three-year demonstration project for older adult
services community consortiums. An older adult services community consortium may
consist of health care and social service providers, county agencies, health plan companies,
and other community stakeholders within a demonstration site that have established a
process for joint decision making. Demonstration sites may include a portion of a county,
an entire county, or multiple counties.
    (b) Each community consortium seeking to participate as a demonstration site must
submit an application to the commissioner. The application must include:
    (1) a description of the entities participating in the consortium, the scope of
collaboration, and the process to be used for joint-decision making;
    (2) the methods by which the consortium plans to achieve the goals specified in
subdivision 2;
    (3) a description of the proposed demonstration site; and
    (4) other information the commissioner determines to be necessary to evaluate
proposals.
    (c) The commissioner of human services shall establish a process to review and
consider applicants. The commissioner shall designate up to three community consortiums
as demonstration projects.
    (d) Each community consortium selected to participate shall establish a local group
to assist in planning, designing, implementing, and evaluating the coordinated service
delivery system within the demonstration site. Planning for each consortium shall build
upon current planning processes developed by county gaps analyses and Elder Care
Development Partnerships under Minnesota Statutes, section 256B.0917.
    Subd. 2. Goals. The community consortium demonstration projects are intended to
accelerate the development of community based services to fill in gaps identified within
communities by using a pool of funds and providing flexibility in the use and distribution
of these funds within each demonstration site. These projects must be designed to:
    (1) ensure consumer access to a continuum of older adult services;
    (2) create an adequate supply of affordable home-based alternatives to care for
persons currently using nursing facilities or likely to need nursing facility services in
the future;
    (3) establish and achieve measurable performance targets for care delivered
throughout the continuum of care; and
    (4) support the management of chronic and complex conditions through greater
coordination of all services needed by older adults.
    Subd. 3. Priority for other grants. The commissioner of health shall give priority
to community consortiums selected under subdivision 1 when awarding technology-related
grants, if the consortiums are using technology as a part of their proposal. To the extent
that the commissioner of the Minnesota Housing Finance Agency funds projects to
create or preserve affordable housing options for older adults, the commissioner shall
give priority to financially feasible projects proposed or supported by community
consortiums selected under subdivision 1. The commissioner of transportation shall
give priority to community consortiums selected under subdivision 1 when distributing
transportation-related funds to create transportation options for older adults.
    Subd. 4. Federal approval. The commissioner of human services may request any
federal approvals or waivers necessary to implement the community consortiums under
the medical assistance program and include medical assistance funding as specified in
subdivision 7 in the community consortium account.
    Subd. 5. State waivers. The commissioner of health may waive applicable state
laws and rules on a time-limited basis if the commissioner of health determines that a
participating consortium requires a waiver in order to achieve demonstration project goals.
    Subd. 6. Quality measures. (a) Community consortiums participating in the
demonstration project shall report information to the commissioner of human services
necessary to evaluate the demonstration project, in the form and manner specified by
the commissioner. The information collected by the commissioner must include both
process and outcome measures, including, but not limited to, measures related to enrollee
satisfaction, service delivery, service coordination, service access, use of technology,
individual outcomes, and costs.
    (b) Participating consortiums shall identify state policies that limit the extent to
which project goals can be achieved and recommend necessary changes to the appropriate
state agencies.
    Subd. 7. Community consortium financing. (a) The commissioner of health shall
reserve ten percent of any funds appropriated for the biennium ending June 30, 2011,
for the nursing home moratorium exception process under Minnesota Statutes, section
144A.073, for distribution to qualifying projects that are part of a community consortium.
    (b) Notwithstanding Minnesota Statutes, section 256B.434, subdivision 4, paragraph
(d), the nursing facility performance incentive payments shall be reduced by ten percent
for the biennium ending June 30, 2011. This shall be a onetime reduction.
    (c) Base level funding for community service grants under Minnesota Statutes,
section 256B.0917, subdivision 13, and community services development grants under
Minnesota Statutes, section 256.9754, shall be reduced by ten percent for the biennium
ending June 30, 2011. These shall be onetime reductions.
    (d) An amount equal to the state share of the reductions in paragraphs (b) and (c) is
appropriated from the general fund to the commissioner of human services for distribution
to qualifying projects that are part of a community consortium under this section, to be
available until expended.
    Subd. 8. Evaluation and report. The commissioner of human services, in
cooperation with the commissioners of health and housing finance, shall evaluate the
demonstration project, and report preliminary findings and recommendations to the
legislature by November 15, 2011, on whether the demonstration project should be
continued and whether the number of demonstration project sites increased. The final
report of findings and recommendations shall be delivered to the legislature by January
15, 2013. The preliminary and final evaluation and report must include:
    (1) a comparison of the performance of demonstration sites relative to nonconsortium
communities on the quality measures specified in subdivision 5;
    (2) an assessment of the extent to which the demonstration project can be
successfully expanded to other parts of the state;
    (3) legislative changes necessary to improve the effectiveness of the demonstration
project and to expand the projects to other parts of the state; and
    (4) any actions taken by the commissioner of health under subdivision 5.
    The commissioner of human services may withhold up to $50,000 of the funding
provided to each participating community consortium under this section to fund the
evaluation and report.
Presented to the governor May 15, 2008
Signed by the governor May 19, 2008, 10:02 a.m.

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