1.1                          A bill for an act
  1.2             relating to human services; adding provisions for 
  1.3             licensing programs; imposing and modifying civil 
  1.4             penalties; amending Minnesota Statutes 1996, sections 
  1.5             144.057, subdivision 1; 245A.02, subdivisions 15, 16, 
  1.6             and 17; 245A.03, subdivision 2; 245A.04, subdivisions 
  1.7             3, 3a, 3b, 3c, 4, 5, 6, and 7; 245A.06, subdivisions 
  1.8             1, 3, 4, 5, 5a, 6, and 7; 245A.07, subdivisions 1 and 
  1.9             3; 245A.08, subdivisions 1 and 2; 245A.09, subdivision 
  1.10            7; 245A.11, subdivision 2; 245A.16, subdivision 2; 
  1.11            256E.115; and 364.09; proposing coding for new law in 
  1.12            Minnesota Statutes, chapter 245A; proposing coding for 
  1.13            new law as Minnesota Statutes, chapters 245B; and 
  1.14            245C; repealing Minnesota Statutes 1996, sections 
  1.15            245A.20; 245A.21; and 252.53; Minnesota Rules, parts 
  1.16            9503.0170, subpart 7; 9525.0215; 9525.0225; 9525.0235; 
  1.17            9525.0243; 9525.0245; 9525.0255; 9525.0265; 9525.0275; 
  1.18            9525.0285; 9525.0295; 9525.0305; 9525.0315; 9525.0325; 
  1.19            9525.0335; 9525.0345; 9525.0355; 9525.0500; 9525.0510; 
  1.20            9525.0520; 9525.0530; 9525.0540; 9525.0550; 9525.0560; 
  1.21            9525.0570; 9525.0580; 9525.0590; 9525.0600; 9525.0610; 
  1.22            9525.0620; 9525.0630; 9525.0640; 9525.0650; 9525.0660; 
  1.23            9525.1240, subpart 1, item E, subitem (6); 9525.1500; 
  1.24            9525.1510; 9525.1520; 9525.1530; 9525.1540; 9525.1550; 
  1.25            9525.1560; 9525.1570, subparts 2, 3, 4, 5, and 6; 
  1.26            9525.1590; 9525.1610; 9525.1620; 9525.1630; 9525.1640; 
  1.27            9525.1650; 9525.1660; 9525.1670; 9525.1680; 9525.1690; 
  1.28            9525.2000; 9525.2010; 9525.2020; 9525.2025; 9525.2030; 
  1.29            9525.2040; 9525.2050; 9525.2060; 9525.2070; 9525.2080; 
  1.30            9525.2090; 9525.2100; 9525.2110; 9525.2120; 9525.2130; 
  1.31            9525.2140; 9555.8000; 9555.8100; 9555.8200; 9555.8300; 
  1.32            9555.8400; and 9555.8500. 
  1.33  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.34     Section 1.  Minnesota Statutes 1996, section 144.057, 
  1.35  subdivision 1, is amended to read: 
  1.36     Subdivision 1.  [BACKGROUND STUDIES REQUIRED.] The 
  1.37  commissioner of health shall contract with the commissioner of 
  1.38  human services to conduct background studies of: 
  1.39     (1) individuals providing services which have direct 
  2.1   contact, as defined under section 245A.04, subdivision 3, with 
  2.2   patients and residents in hospitals, boarding care homes, 
  2.3   outpatient surgical centers licensed under sections 144.50 to 
  2.4   144.58; nursing homes and home care agencies licensed under 
  2.5   chapter 144A; residential care homes licensed under chapter 
  2.6   144B, and board and lodging establishments that are registered 
  2.7   to provide supportive or health supervision services under 
  2.8   section 157.17.; and 
  2.9      (2) all other employees in nursing homes and home care 
  2.10  agencies licensed under chapter 144A, and boarding care homes 
  2.11  licensed under sections 144.50 to 144.58.  A disqualification of 
  2.12  an individual in this section shall disqualify the individual 
  2.13  from positions allowing direct contact or access to patients or 
  2.14  residents receiving services. 
  2.15     If a facility or program is licensed by the department of 
  2.16  human services and subject to the background study provisions of 
  2.17  chapter 245A and is also licensed by the department of health, 
  2.18  the department of human services is solely responsible for the 
  2.19  background studies of individuals in the jointly licensed 
  2.20  programs. 
  2.21     Sec. 2.  Minnesota Statutes 1996, section 245A.02, 
  2.22  subdivision 15, is amended to read: 
  2.23     Subd. 15.  [RESPITE CARE SERVICES.] "Respite care services" 
  2.24  means temporary services provided to a person due to the absence 
  2.25  or need for relief of the primary caregiver, the person's family 
  2.26  member or legal representative who is the primary caregiver and 
  2.27  principally responsible for the care and supervision of the 
  2.28  person.  Respite care services are those that provide the level 
  2.29  of supervision and care that is necessary to ensure the health 
  2.30  and safety of the person.  Respite care services do not include 
  2.31  services that are specifically directed toward the training and 
  2.32  habilitation of the person. 
  2.33     Sec. 3.  Minnesota Statutes 1996, section 245A.02, 
  2.34  subdivision 16, is amended to read: 
  2.35     Subd. 16.  [SCHOOL AGE CHILD.] "School age child," for 
  2.36  programs licensed or required to be licensed as a child care 
  3.1   center under Minnesota Rules, parts 9503.0005 to 9503.0170, 
  3.2   means a child who is at least of sufficient age to have attended 
  3.3   the first day of kindergarten, or is eligible to enter 
  3.4   kindergarten within the next four months, but is younger than 13 
  3.5   years of age.  
  3.6      Sec. 4.  Minnesota Statutes 1996, section 245A.02, 
  3.7   subdivision 17, is amended to read: 
  3.8      Subd. 17.  [SCHOOL AGE CHILD CARE PROGRAM.] "School age 
  3.9   child care program" means a nonresidential program licensed or 
  3.10  required to be licensed as a child care center under Minnesota 
  3.11  Rules, parts 9503.0005 to 9503.0170, serving more than ten 
  3.12  children with the primary purpose of providing child care for 
  3.13  school age children.  School age child care program does not 
  3.14  include programs such as scouting, boys clubs, girls clubs, nor 
  3.15  sports or art programs. 
  3.16     Sec. 5.  Minnesota Statutes 1996, section 245A.03, 
  3.17  subdivision 2, is amended to read: 
  3.18     Subd. 2.  [EXCLUSION FROM LICENSURE.] Sections 245A.01 to 
  3.19  245A.16 do not apply to: 
  3.20     (1) residential or nonresidential programs that are 
  3.21  provided to a person by an individual who is related unless the 
  3.22  residential program is a foster care placement made by a local 
  3.23  social services agency or a licensed child-placing agency, 
  3.24  except as provided in subdivision 2a; 
  3.25     (2) nonresidential programs that are provided by an 
  3.26  unrelated individual to persons from a single related family; 
  3.27     (3) residential or nonresidential programs that are 
  3.28  provided to adults who do not abuse chemicals or who do not have 
  3.29  a chemical dependency, a mental illness, mental retardation or a 
  3.30  related condition, a functional impairment, or a physical 
  3.31  handicap; 
  3.32     (4) sheltered workshops or work activity programs that are 
  3.33  certified by the commissioner of economic security; 
  3.34     (5) programs for children enrolled in kindergarten to the 
  3.35  12th grade and prekindergarten special education in a school as 
  3.36  defined in section 120.101, subdivision 4, and programs serving 
  4.1   children in combined special education and regular 
  4.2   prekindergarten programs that are operated or assisted by the 
  4.3   commissioner of children, families, and learning; 
  4.4      (6) nonresidential programs primarily for children that 
  4.5   provide care or supervision, without charge for ten or fewer 
  4.6   days a year, and for periods of less than three hours a day 
  4.7   while the child's parent or legal guardian is in the same 
  4.8   building as the nonresidential program or present within another 
  4.9   building that is directly contiguous to the building in which 
  4.10  the nonresidential program is located; 
  4.11     (7) nursing homes or hospitals licensed by the commissioner 
  4.12  of health except as specified under section 245A.02; 
  4.13     (8) board and lodge facilities licensed by the commissioner 
  4.14  of health that provide services for five or more persons whose 
  4.15  primary diagnosis is mental illness who have refused an 
  4.16  appropriate residential program offered by a county agency.  
  4.17  This exclusion expires on July 1, 1990; 
  4.18     (9) homes providing programs for persons placed there by a 
  4.19  licensed agency for legal adoption, unless the adoption is not 
  4.20  completed within two years; 
  4.21     (10) programs licensed by the commissioner of corrections; 
  4.22     (11) recreation programs for children or adults that 
  4.23  operate for fewer than 40 calendar days in a calendar year or 
  4.24  programs operated by a park and recreation board of a city of 
  4.25  the first class whose primary purpose is to provide social and 
  4.26  recreational activities to school age children, provided the 
  4.27  program is approved by the park and recreation board; 
  4.28     (12) programs operated by a school as defined in section 
  4.29  120.101, subdivision 4, whose primary purpose is to provide 
  4.30  child care to school-age children, provided the program is 
  4.31  approved by the district's school board; 
  4.32     (13) head start nonresidential programs which operate for 
  4.33  less than 31 days in each calendar year; 
  4.34     (14) noncertified boarding care homes unless they provide 
  4.35  services for five or more persons whose primary diagnosis is 
  4.36  mental illness or mental retardation; 
  5.1      (15) nonresidential programs for nonhandicapped children 
  5.2   provided for a cumulative total of less than 30 days in any 
  5.3   12-month period; 
  5.4      (16) residential programs for persons with mental illness, 
  5.5   that are located in hospitals, until the commissioner adopts 
  5.6   appropriate rules; 
  5.7      (17) the religious instruction of school-age children; 
  5.8   Sabbath or Sunday schools; or the congregate care of children by 
  5.9   a church, congregation, or religious society during the period 
  5.10  used by the church, congregation, or religious society for its 
  5.11  regular worship; 
  5.12     (18) camps licensed by the commissioner of health under 
  5.13  Minnesota Rules, chapter 4630; 
  5.14     (19) mental health outpatient services for adults with 
  5.15  mental illness or children with emotional disturbance; 
  5.16     (20) residential programs serving school-age children whose 
  5.17  sole purpose is cultural or educational exchange, until the 
  5.18  commissioner adopts appropriate rules; 
  5.19     (21) unrelated individuals who provide out-of-home respite 
  5.20  care services to persons with mental retardation or related 
  5.21  conditions from a single related family for no more than 90 days 
  5.22  in a 12-month period and the respite care services are for the 
  5.23  temporary relief of the person's family or legal representative; 
  5.24     (22) respite care services provided as a home and 
  5.25  community-based service to a person with mental retardation or a 
  5.26  related condition, in the person's primary residence; 
  5.27     (23) community support services programs as defined in 
  5.28  section 245.462, subdivision 6, and family community support 
  5.29  services as defined in section 245.4871, subdivision 17; or 
  5.30     (24) the placement of a child by a birth parent or legal 
  5.31  guardian in a preadoptive home for purposes of adoption as 
  5.32  authorized by section 259.47. 
  5.33     For purposes of clause (6), a building is directly 
  5.34  contiguous to a building in which a nonresidential program is 
  5.35  located if it shares a common wall with the building in which 
  5.36  the nonresidential program is located or is attached to that 
  6.1   building by skyway, tunnel, atrium, or common roof. 
  6.2      Sec. 6.  Minnesota Statutes 1996, section 245A.04, 
  6.3   subdivision 3, is amended to read: 
  6.4      Subd. 3.  [STUDY OF THE APPLICANT.] (a) Before the 
  6.5   commissioner issues a license, the commissioner shall conduct a 
  6.6   study of the individuals specified in paragraph (c), clauses (1) 
  6.7   to (5), according to rules of the commissioner.  
  6.8      Beginning January 1, 1997, the commissioner shall also 
  6.9   conduct a study of employees providing direct contact services 
  6.10  for nonlicensed personal care provider organizations described 
  6.11  in paragraph (c), clause (5). 
  6.12     The commissioner shall recover the cost of these background 
  6.13  studies through a fee of no more than $12 per study charged to 
  6.14  the personal care provider organization.  
  6.15     Beginning August 1, 1997, and notwithstanding Minnesota 
  6.16  Rules, part 9543.0040, subparts 2, item A, and 3, the 
  6.17  commissioner shall conduct all background studies required under 
  6.18  this chapter for adult foster care providers who are licensed by 
  6.19  the commissioner of human services and registered under chapter 
  6.20  144D.  The commissioner shall conduct these background studies 
  6.21  according to Minnesota Rules, parts 9543.3000 to 9543.3090. 
  6.22     (b) Beginning July 1, 1997, the commissioner shall conduct 
  6.23  a background study on individuals specified in paragraph (c), 
  6.24  clauses (1) to (5), who perform direct contact services in a 
  6.25  nursing home or a home care agency licensed under chapter 144A 
  6.26  or a boarding care home licensed under sections 144.50 to 
  6.27  144.58, when the subject of the study resides outside Minnesota; 
  6.28  the study must be at least as comprehensive as that of a 
  6.29  Minnesota resident and include a search of information from the 
  6.30  criminal justice data communications network in the state where 
  6.31  the subject of the study resides. 
  6.32     (c) The applicant, license holder, the bureau of criminal 
  6.33  apprehension, the commissioner of health and county agencies, 
  6.34  after written notice to the individual who is the subject of the 
  6.35  study, shall help with the study by giving the commissioner 
  6.36  criminal conviction data and reports about the maltreatment of 
  7.1   adults substantiated under section 626.557 and the maltreatment 
  7.2   of minors in licensed programs substantiated under section 
  7.3   626.556.  The individuals to be studied shall include: 
  7.4      (1) the applicant; 
  7.5      (2) persons over the age of 13 living in the household 
  7.6   where the licensed program will be provided; 
  7.7      (3) current employees or contractors of the applicant who 
  7.8   will have direct contact with persons served by the facility, 
  7.9   agency, or program; 
  7.10     (4) volunteers or student volunteers who have direct 
  7.11  contact with persons served by the program to provide program 
  7.12  services, if the contact is not directly supervised by the 
  7.13  individuals listed in clause (1) or (3); and 
  7.14     (5) any person who, as an individual or as a member of an 
  7.15  organization, exclusively offers, provides, or arranges for 
  7.16  personal care assistant services under the medical assistance 
  7.17  program as authorized under sections 256B.04, subdivision 16, 
  7.18  and 256B.0625, subdivision 19. 
  7.19     The juvenile courts shall also help with the study by 
  7.20  giving the commissioner existing juvenile court records on 
  7.21  individuals described in clause (2) relating to delinquency 
  7.22  proceedings held within either the five years immediately 
  7.23  preceding the application or the five years immediately 
  7.24  preceding the individual's 18th birthday, whichever time period 
  7.25  is longer.  The commissioner shall destroy juvenile records 
  7.26  obtained pursuant to this subdivision when the subject of the 
  7.27  records reaches age 23.  
  7.28     For purposes of this section and Minnesota Rules, part 
  7.29  9543.3070, a finding that a delinquency petition is proven in 
  7.30  juvenile court shall be considered a conviction in state 
  7.31  district court. 
  7.32     For purposes of this subdivision, "direct contact" means 
  7.33  providing face-to-face care, training, supervision, counseling, 
  7.34  consultation, or medication assistance to persons served by a 
  7.35  program.  For purposes of this subdivision, "directly supervised"
  7.36  means an individual listed in clause (1), (3), or (5) is within 
  8.1   sight or hearing of a volunteer to the extent that the 
  8.2   individual listed in clause (1), (3), or (5) is capable at all 
  8.3   times of intervening to protect the health and safety of the 
  8.4   persons served by the program who have direct contact with the 
  8.5   volunteer. 
  8.6      A study of an individual in clauses (1) to (5) shall be 
  8.7   conducted at least upon application for initial license and 
  8.8   reapplication for a license.  The commissioner is not required 
  8.9   to conduct a study of an individual at the time of reapplication 
  8.10  for a license or if the individual has been continuously 
  8.11  affiliated with a foster care provider licensed by the 
  8.12  commissioner of human services and registered under chapter 
  8.13  144D, other than a family day care or foster care license, if:  
  8.14  (i) a study of the individual was conducted either at the time 
  8.15  of initial licensure or when the individual became affiliated 
  8.16  with the license holder; (ii) the individual has been 
  8.17  continuously affiliated with the license holder since the last 
  8.18  study was conducted; and (iii) the procedure described in 
  8.19  paragraph (d) has been implemented and was in effect 
  8.20  continuously since the last study was conducted.  For 
  8.21  individuals who are required to have background studies under 
  8.22  clauses (1) to (5) and who have been continuously affiliated 
  8.23  with a foster care provider that is licensed in more than one 
  8.24  county, criminal conviction data may be shared among those 
  8.25  counties in which the foster care programs are licensed.  A 
  8.26  county agency's receipt of criminal conviction data from another 
  8.27  county agency shall meet the criminal data background study 
  8.28  requirements of this section. 
  8.29     The commissioner may also conduct studies on individuals 
  8.30  specified in clauses (3) and (4) when the studies are initiated 
  8.31  by: 
  8.32     (i) personnel pool agencies; 
  8.33     (ii) temporary personnel agencies; 
  8.34     (iii) educational programs that train persons by providing 
  8.35  direct contact services in licensed programs; and 
  8.36     (iv) professional services agencies that are not licensed 
  9.1   and which contract with licensed programs to provide direct 
  9.2   contact services or individuals who provide direct contact 
  9.3   services. 
  9.4      Studies on individuals in items (i) to (iv) must be 
  9.5   initiated annually by these agencies, programs, and 
  9.6   individuals.  Except for personal care provider organizations, 
  9.7   no applicant, license holder, or individual who is the subject 
  9.8   of the study shall pay any fees required to conduct the study. 
  9.9      (1) At the option of the licensed facility, rather than 
  9.10  initiating another background study on an individual required to 
  9.11  be studied who has indicated to the licensed facility that a 
  9.12  background study by the commissioner was previously completed, 
  9.13  the facility may make a request to the commissioner for 
  9.14  documentation of the individual's background study status, 
  9.15  provided that: 
  9.16     (i) the facility makes this request using a form provided 
  9.17  by the commissioner; 
  9.18     (ii) in making the request the facility informs the 
  9.19  commissioner that either: 
  9.20     (A) the individual has been continuously affiliated with a 
  9.21  licensed facility since the individual's previous background 
  9.22  study was completed, or since October 1, 1995, whichever is 
  9.23  shorter; or 
  9.24     (B) the individual is affiliated only with a personnel pool 
  9.25  agency, a temporary personnel agency, an educational program 
  9.26  that trains persons by providing direct contact services in 
  9.27  licensed programs, or a professional services agency that is not 
  9.28  licensed and which contracts with licensed programs to provide 
  9.29  direct contact services or individuals who provide direct 
  9.30  contact services; and 
  9.31     (iii) the facility provides notices to the individual as 
  9.32  required in paragraphs (a) to (d), and that the facility is 
  9.33  requesting written notification of the individual's background 
  9.34  study status from the commissioner.  
  9.35     (2) The commissioner shall respond to each request under 
  9.36  paragraph (1) with a written or electronic notice to the 
 10.1   facility and the study subject.  If the commissioner determines 
 10.2   that a background study is necessary, the study shall be 
 10.3   completed without further request from a licensed agency or 
 10.4   notifications to the study subject.  
 10.5      (3) When a background study is being initiated by a 
 10.6   licensed facility or a foster care provider that is also 
 10.7   registered under chapter 144D, a study subject affiliated with 
 10.8   multiple licensed facilities may attach to the background study 
 10.9   form a cover letter indicating the additional facilities' names, 
 10.10  addresses, and background study identification numbers.  When 
 10.11  the commissioner receives such notices, each facility identified 
 10.12  by the background study subject shall be notified of the study 
 10.13  results.  The background study notice sent to the subsequent 
 10.14  agencies shall satisfy those facilities' responsibilities for 
 10.15  initiating a background study on that individual. 
 10.16     (d) If an individual who is affiliated with a program or 
 10.17  facility regulated by the department of human services or 
 10.18  department of health or who is affiliated with a nonlicensed 
 10.19  personal care provider organization, is convicted of a crime 
 10.20  constituting a disqualification under Minnesota Rules, parts 
 10.21  9543.3000 to 9543.3090, the probation officer or corrections 
 10.22  agent shall notify the commissioner of the conviction.  The 
 10.23  commissioner, in consultation with the commissioner of 
 10.24  corrections, shall develop forms and information necessary to 
 10.25  implement this paragraph and shall provide the forms and 
 10.26  information to the commissioner of corrections for distribution 
 10.27  to local probation officers and corrections agents.  The 
 10.28  commissioner shall inform individuals subject to a background 
 10.29  study that criminal convictions for disqualifying crimes will be 
 10.30  reported to the commissioner by the corrections system.  A 
 10.31  probation officer, corrections agent, or corrections agency is 
 10.32  not civilly or criminally liable for disclosing or failing to 
 10.33  disclose the information required by this paragraph.  Upon 
 10.34  receipt of disqualifying information, the commissioner shall 
 10.35  provide the notifications required in subdivision 3a, as 
 10.36  appropriate to agencies on record as having initiated a 
 11.1   background study or making a request for documentation of the 
 11.2   background study status of the individual.  This paragraph does 
 11.3   not apply to family day care and foster care programs unless the 
 11.4   program is also registered under chapter 144D. 
 11.5      (e) The individual who is the subject of the study must 
 11.6   provide the applicant or license holder with sufficient 
 11.7   information to ensure an accurate study including the 
 11.8   individual's first, middle, and last name; home address, city, 
 11.9   county, and state of residence for the past five years; zip 
 11.10  code; sex; date of birth; and driver's license number.  The 
 11.11  applicant or license holder shall provide this information about 
 11.12  an individual in paragraph (c), clauses (1) to (5), on forms 
 11.13  prescribed by the commissioner.  By January 1, 1998, for 
 11.14  background studies conducted by the department of human 
 11.15  services, the commissioner shall implement a system for: 
 11.16     (1) electronic transmission of background study information 
 11.17  to the commissioner; and 
 11.18     (2) background study results to the applicant or license 
 11.19  holder. 
 11.20  The commissioner may request additional information of the 
 11.21  individual, which shall be optional for the individual to 
 11.22  provide, such as the individual's social security number or race.
 11.23     (f) Except for child foster care, adult foster care, and 
 11.24  family day care homes, a study must include information related 
 11.25  to names of substantiated perpetrators of maltreatment of 
 11.26  vulnerable adults that has been received by the commissioner as 
 11.27  required under section 626.557, subdivision 9c, paragraph (i), 
 11.28  and the commissioner's records relating to the maltreatment of 
 11.29  minors in licensed programs, information from juvenile courts as 
 11.30  required in paragraph (c) for persons listed in paragraph (c), 
 11.31  clause (2), and information from the bureau of criminal 
 11.32  apprehension.  For child foster care, adult foster care, and 
 11.33  family day care homes, the study must include information from 
 11.34  the county agency's record of substantiated maltreatment of 
 11.35  adults, and the maltreatment of minors, information from 
 11.36  juvenile courts as required in paragraph (c) for persons listed 
 12.1   in paragraph (c), clause (2), and information from the bureau of 
 12.2   criminal apprehension.  The commissioner may also review arrest 
 12.3   and investigative information from the bureau of criminal 
 12.4   apprehension, the commissioner of health, a county attorney, 
 12.5   county sheriff, county agency, local chief of police, other 
 12.6   states, the courts, or the Federal Bureau of Investigation if 
 12.7   the commissioner has reasonable cause to believe the information 
 12.8   is pertinent to the disqualification of an individual listed in 
 12.9   paragraph (c), clauses (1) to (5).  The commissioner is not 
 12.10  required to conduct more than one review of a subject's records 
 12.11  from the Federal Bureau of Investigation if a review of the 
 12.12  subject's criminal history with the Federal Bureau of 
 12.13  Investigation has already been completed by the commissioner and 
 12.14  there has been no break in the subject's affiliation with the 
 12.15  license holder who initiated the background studies. 
 12.16     When the commissioner has reasonable cause to believe that 
 12.17  further pertinent information may exist on the subject, the 
 12.18  subject shall provide a set of classifiable fingerprints 
 12.19  obtained from an authorized law enforcement agency.  For 
 12.20  purposes of requiring fingerprints, the commissioner shall be 
 12.21  considered to have reasonable cause under, but not limited to, 
 12.22  the following circumstances: 
 12.23     (1) information from the bureau of criminal apprehension 
 12.24  indicates that the subject is a multistate offender; 
 12.25     (2) information from the bureau of criminal apprehension 
 12.26  indicates that multistate offender status is undetermined; or 
 12.27     (3) the commissioner has received a report from the subject 
 12.28  or a third party indicating that the subject has a criminal 
 12.29  history in a jurisdiction other than Minnesota. 
 12.30     (g) An applicant's or license holder's failure or refusal 
 12.31  to cooperate with the commissioner is reasonable cause 
 12.32  to disqualify a subject, deny an a license application, or 
 12.33  immediately suspend, suspend, or revoke a license.  Failure or 
 12.34  refusal of an individual to cooperate with the study is just 
 12.35  cause for denying or terminating employment of the individual if 
 12.36  the individual's failure or refusal to cooperate could cause the 
 13.1   applicant's application to be denied or the license holder's 
 13.2   license to be immediately suspended, suspended, or revoked. 
 13.3      (h) The commissioner shall not consider an application to 
 13.4   be complete until all of the information required to be provided 
 13.5   under this subdivision has been received.  
 13.6      (i) No person in paragraph (c), clause (1), (2), (3), (4), 
 13.7   or (5) who is disqualified as a result of this section may be 
 13.8   retained by the agency in a position involving direct contact 
 13.9   with persons served by the program. 
 13.10     (j) Termination of persons in paragraph (c), clause (1), 
 13.11  (2), (3), (4), or (5), made in good faith reliance on a notice 
 13.12  of disqualification provided by the commissioner shall not 
 13.13  subject the applicant or license holder to civil liability. 
 13.14     (k) The commissioner may establish records to fulfill the 
 13.15  requirements of this section. 
 13.16     (l) The commissioner may not disqualify an individual 
 13.17  subject to a study under this section because that person has, 
 13.18  or has had, a mental illness as defined in section 245.462, 
 13.19  subdivision 20. 
 13.20     (m) An individual who is subject to an applicant background 
 13.21  study under this section and whose disqualification in 
 13.22  connection with a license would be subject to the limitations on 
 13.23  reconsideration set forth in subdivision 3b, paragraph (c), 
 13.24  shall be disqualified for conviction of the crimes specified in 
 13.25  the manner specified in subdivision 3b, paragraph (c).  The 
 13.26  commissioner of human services shall amend Minnesota Rules, part 
 13.27  9543.3070, to conform to this section. 
 13.28     (n) An individual subject to disqualification under this 
 13.29  subdivision has the applicable rights in subdivision 3a, 3b, or 
 13.30  3c. 
 13.31     (o) When any background study completed under this section 
 13.32  shows any of the following characteristics in an individual's 
 13.33  history or the individual has admitted to or a preponderance of 
 13.34  the evidence indicates the individual has committed an act or 
 13.35  acts that meet the definition of any of the crimes listed in 
 13.36  clauses (1) to (4), the individual shall be disqualified from 
 14.1   any position allowing direct contact with persons receiving 
 14.2   services from the license holder: 
 14.3      (1) regardless of how much time has passed since the 
 14.4   discharge of the sentence imposed for the offense, and unless 
 14.5   otherwise specified, regardless of the level of the conviction, 
 14.6   the individual was convicted of any of the following offenses:  
 14.7   sections 609.185 (murder in the first degree); 609.19 (murder in 
 14.8   the second degree); 609.195 (murder in the third degree); 
 14.9   609.2661 (murder of an unborn child in the first degree); 
 14.10  609.2662 (murder of an unborn child in the second degree); 
 14.11  609.2663 (murder of an unborn child in the third degree); 
 14.12  609.322 (solicitation, inducement, and promotion of 
 14.13  prostitution); 609.323 (receiving profit derived from 
 14.14  prostitution); 609.342 (criminal sexual conduct in the first 
 14.15  degree); 609.343 (criminal sexual conduct in the second degree); 
 14.16  609.344 (criminal sexual conduct in the third degree); 609.345 
 14.17  (criminal sexual conduct in the fourth degree); 609.352 
 14.18  (solicitation of children to engage in sexual conduct); 609.365 
 14.19  (incest); felony offense under 609.377 (malicious punishment of 
 14.20  a child); 617.246 (use of minors in sexual performance 
 14.21  prohibited); 617.247 (possession of pictorial representations of 
 14.22  minors); or attempt or conspiracy to commit any of these 
 14.23  offenses as defined in Minnesota Statutes, or an offense in any 
 14.24  other state or country, where the elements are substantially 
 14.25  similar to any of the offenses listed in this clause; 
 14.26     (2) if less than 15 years have passed since the discharge 
 14.27  of the sentence imposed for the offense; and the individual has 
 14.28  received a felony conviction for a violation of any of these 
 14.29  offenses:  sections 609.20 (manslaughter in the first degree); 
 14.30  609.205 (manslaughter in the second degree); 609.21 (criminal 
 14.31  vehicular homicide and injury); 609.215 (suicide); 609.221 to 
 14.32  609.2231 (assault in the first, second, third, or fourth 
 14.33  degree); repeat offenses under 609.224 (assault in the fifth 
 14.34  degree); 609.2242 and 609.2243 (domestic assault; sentencing; 
 14.35  repeat domestic assault); repeat offenses under 609.3451 
 14.36  (criminal sexual conduct in the fifth degree); 609.713 
 15.1   (terroristic threats); 609.235 (use of drugs to injure or 
 15.2   facilitate crime); 609.24 (simple robbery); 609.245 (aggravated 
 15.3   robbery); 609.25 (kidnapping); 609.255 (false imprisonment); 
 15.4   609.561 (arson in the first degree); 609.562 (arson in the 
 15.5   second degree); 609.563 (arson in the third degree); repeat 
 15.6   offenses under 617.23 (indecent exposure; penalties); repeat 
 15.7   offenses under 617.241 (obscene materials and performances; 
 15.8   distribution and exhibition prohibited; penalty); 609.71 (riot); 
 15.9   609.66 (dangerous weapons); 609.67 (machine guns and 
 15.10  short-barreled shotguns); 609.749 (harassment; stalking; 
 15.11  penalties); 609.228 (great bodily harm caused by distribution of 
 15.12  drugs); 609.2325 (criminal abuse of a vulnerable adult); 
 15.13  609.2664 (manslaughter of an unborn child in the first degree); 
 15.14  609.2665 (manslaughter of an unborn child in the second degree); 
 15.15  609.267 (assault of an unborn child in the first degree); 
 15.16  609.2671 (assault of an unborn child in the second degree); 
 15.17  609.268 (injury or death of an unborn child in the commission of 
 15.18  a crime); 609.378 (neglect or endangerment of a child); 609.324, 
 15.19  subdivision 1 (other prohibited acts); 609.52 (theft); 609.2335 
 15.20  (financial exploitation of a vulnerable adult); 609.521 
 15.21  (possession of shoplifting gear); 609.582 (burglary); 609.625 
 15.22  (aggravated forgery); 609.63 (forgery); 609.631 (check forgery; 
 15.23  offering a forged check); 609.635 (obtaining signature by false 
 15.24  pretense); 609.27 (coercion); 609.275 (attempt to coerce); 
 15.25  609.687 (adulteration); 260.221 (grounds for termination of 
 15.26  parental rights); and chapter 152 (drugs; controlled 
 15.27  substance).  An attempt or conspiracy to commit any of these 
 15.28  offenses, as each of these offenses is defined in Minnesota 
 15.29  Statutes; or an offense in any other state or country, the 
 15.30  elements of which are substantially similar to the elements of 
 15.31  the offenses in this clause.  If the individual studied is 
 15.32  convicted of one of the felonies listed in this clause, but the 
 15.33  sentence is a gross misdemeanor or misdemeanor disposition, the 
 15.34  look-back period for the conviction is the period applicable to 
 15.35  the disposition, that is the period for gross misdemeanors or 
 15.36  misdemeanors; 
 16.1      (3) if less than ten years have passed since the discharge 
 16.2   of the sentence imposed for the offense; and the individual has 
 16.3   received a gross misdemeanor conviction for a violation of any 
 16.4   of the following offenses:  sections 609.224 (assault in the 
 16.5   fifth degree); 609.2242 and 609.2243 (domestic assault); 
 16.6   violation of an order for protection under 518B.01, subdivision 
 16.7   14; 609.3451 (criminal sexual conduct in the fifth degree); 
 16.8   repeat offenses under 609.746 (interference with privacy); 
 16.9   repeat offenses under 617.23 (indecent exposure); 617.241 
 16.10  (obscene materials and performances); 617.243 (indecent 
 16.11  literature, distribution); 617.293 (harmful materials; 
 16.12  dissemination and display to minors prohibited); 609.71 (riot); 
 16.13  609.66 (dangerous weapons); 609.749 (harassment; stalking; 
 16.14  penalties); 609.224, subdivision 2, paragraph (c) (assault in 
 16.15  the fifth degree by a caregiver against a vulnerable adult); 
 16.16  609.23 (mistreatment of persons confined); 609.231 (mistreatment 
 16.17  of residents or patients); 609.2325 (criminal abuse of a 
 16.18  vulnerable adult); 609.233 (criminal neglect of a vulnerable 
 16.19  adult); 609.2335 (financial exploitation of a vulnerable adult); 
 16.20  609.234 (failure to report maltreatment of a vulnerable adult); 
 16.21  609.72, subdivision 3 (disorderly conduct against a vulnerable 
 16.22  adult); 609.265 (abduction); 609.378 (neglect or endangerment of 
 16.23  a child); 609.377 (malicious punishment of a child); 609.324, 
 16.24  subdivision 1a (other prohibited acts; minor engaged in 
 16.25  prostitution); 609.33 (disorderly house); 609.52 (theft); 
 16.26  609.582 (burglary); 609.631 (check forgery; offering a forged 
 16.27  check); 609.275 (attempt to coerce); or an attempt or conspiracy 
 16.28  to commit any of these offenses, as each of these offenses is 
 16.29  defined in Minnesota Statutes; or an offense in any other state 
 16.30  or country, the elements of which are substantially similar to 
 16.31  the elements of any of the offenses listed in this clause.  If 
 16.32  the defendant is convicted of one of the gross misdemeanors 
 16.33  listed in this clause, but the sentence is a misdemeanor 
 16.34  disposition, the look-back period for the conviction is the 
 16.35  period applicable to misdemeanors; 
 16.36     (4) if less than seven years have passed since the 
 17.1   discharge of the sentence imposed for the offense; and the 
 17.2   individual has received a misdemeanor conviction for a violation 
 17.3   of any of the following offenses:  sections 609.224 (assault in 
 17.4   the fifth degree); 609.2242 (domestic assault); violation of an 
 17.5   order for protection under 518B.01 (domestic abuse act); 
 17.6   violation of an order for protection under 609.3232 (protective 
 17.7   order authorized; procedures; penalties); 609.746 (interference 
 17.8   with privacy); 609.79 (obscene or harassing phone calls); 
 17.9   609.795 (letter, telegram, or package; opening; harassment); 
 17.10  617.23 (indecent exposure; penalties); 609.2672 (assault of an 
 17.11  unborn child in the third degree); 617.293 (harmful materials; 
 17.12  dissemination and display to minors prohibited); 609.66 
 17.13  (dangerous weapons); 609.665 (spring guns); 609.2335 (financial 
 17.14  exploitation of a vulnerable adult); 609.234 (failure to report 
 17.15  maltreatment of a vulnerable adult); 609.52 (theft); 609.27 
 17.16  (coercion); or an attempt or conspiracy to commit any of these 
 17.17  offenses, as each of these offenses is defined in Minnesota 
 17.18  Statutes; or an offense in any other state or country, the 
 17.19  elements of which are substantially similar to the elements of 
 17.20  any of the offenses listed in this clause; serious or recurring 
 17.21  maltreatment of a minor or vulnerable adult; failure to make 
 17.22  required reports under section 626.556, subdivision 3, or 
 17.23  626.557, subdivision 3, for incidents in which:  (i) the final 
 17.24  disposition under section 626.556 or 626.557 was substantiated 
 17.25  maltreatment, and (ii) the maltreatment was recurring or 
 17.26  serious; or substantiated serious or recurring maltreatment of a 
 17.27  minor under section 626.556 or of a vulnerable adult under 
 17.28  section 626.557 for which there is a preponderance of evidence 
 17.29  that the maltreatment occurred, and that the subject was 
 17.30  responsible for the maltreatment.  For the purposes of this 
 17.31  section, serious maltreatment means sexual abuse; maltreatment 
 17.32  resulting in death; or maltreatment resulting in serious injury 
 17.33  which reasonably requires the care of a physician whether or not 
 17.34  the care of a physician was sought, including:  bruises, bites, 
 17.35  skin laceration, or tissue damage; fractures; dislocations; 
 17.36  evidence of internal injuries; head injuries with loss of 
 18.1   consciousness; extensive second-degree or third-degree burns and 
 18.2   other burns for which complications are present; irreversible 
 18.3   mobility or separation of teeth; injuries to the eyeball; 
 18.4   ingestion of foreign substances and objects that are harmful; 
 18.5   near drowning; and heat exhaustion or sunstroke.  For purposes 
 18.6   of this section, recurring maltreatment means more than one 
 18.7   incident of maltreatment for which there is a preponderance of 
 18.8   evidence that the maltreatment occurred, and that the subject 
 18.9   was responsible for the maltreatment. 
 18.10     Sec. 7.  Minnesota Statutes 1996, section 245A.04, 
 18.11  subdivision 3a, is amended to read: 
 18.12     Subd. 3a.  [NOTIFICATION TO SUBJECT AND LICENSE HOLDER OF 
 18.13  STUDY RESULTS.] The commissioner shall notify the applicant or 
 18.14  license holder and the individual who is the subject of the 
 18.15  study, in writing or by electronic transmission, of the results 
 18.16  of the study.  When the study is completed, a notice that the 
 18.17  study was undertaken and completed shall be maintained in the 
 18.18  personnel files of the program. 
 18.19     The commissioner shall notify the individual studied if the 
 18.20  information in the study indicates the individual is 
 18.21  disqualified from direct contact with persons served by the 
 18.22  program.  The commissioner shall disclose the 
 18.23  information causing disqualification and instructions on how to 
 18.24  request a reconsideration of the disqualification to the 
 18.25  individual studied.  An applicant or license holder who is not 
 18.26  the subject of the study shall be informed that the commissioner 
 18.27  has found information that disqualifies the subject from direct 
 18.28  contact with persons served by the program.  However, the 
 18.29  applicant or license holder shall not be told what that 
 18.30  information is only the individual studied shall be informed of 
 18.31  the information contained in the subject's background study 
 18.32  unless the only basis for the disqualification is failure to 
 18.33  cooperate, the data practices act provides for release of the 
 18.34  information, or the individual studied authorizes the release of 
 18.35  the information.  If the commissioner determines that the 
 18.36  individual studied has a disqualifying characteristic, the 
 19.1   commissioner shall review the information immediately available 
 19.2   and make a determination as to the subject's immediate risk of 
 19.3   harm to persons served by the program where the individual 
 19.4   studied will have direct contact.  The commissioner shall 
 19.5   consider all relevant information available, including the 
 19.6   following factors in determining the immediate risk of harm:  
 19.7   the recency of the disqualifying characteristic, the recency of 
 19.8   discharge from probation for the crimes; the number of 
 19.9   disqualifying characteristics; the intrusiveness or violence of 
 19.10  the disqualifying characteristic; the vulnerability of the 
 19.11  victim involved in the disqualifying characteristic; and the 
 19.12  similarity of the victim to the persons served by the program 
 19.13  where the individual studied will have direct contact.  The 
 19.14  commissioner may determine that the evaluation of the 
 19.15  information immediately available gives the commissioner reason 
 19.16  to believe one of the following: 
 19.17     (a) The individual poses an imminent risk of harm to 
 19.18  persons served by the program where the individual studied will 
 19.19  have direct contact.  If the commissioner determines that an 
 19.20  individual studied poses an imminent risk of harm to persons 
 19.21  served by the program where the individual studied will have 
 19.22  direct contact, the individual and the license holder shall be 
 19.23  sent a notice of disqualification.  The commissioner shall order 
 19.24  the license holder to immediately remove the individual studied 
 19.25  from direct contact.  The notice to the individual studied shall 
 19.26  include an explanation of the basis of this determination. 
 19.27     (b) The individual poses a risk of harm requiring 
 19.28  continuous supervision while providing direct contact services 
 19.29  during the period in which the subject may request a 
 19.30  reconsideration.  If the commissioner determines that an 
 19.31  individual studied poses a risk of harm that requires continuous 
 19.32  supervision, the individual and the license holder shall be sent 
 19.33  a notice of disqualification.  The commissioner shall order the 
 19.34  license holder to assure that the individual studied is within 
 19.35  sight or hearing of another staff person when providing direct 
 19.36  contact services during the period in which the individual may 
 20.1   request a reconsideration of the disqualification.  If the 
 20.2   individual studied does not submit a timely request for 
 20.3   reconsideration, or the individual submits a timely request for 
 20.4   reconsideration, but the disqualification is not set aside for 
 20.5   that license holder, the license holder will be notified of the 
 20.6   disqualification and shall be ordered to immediately remove the 
 20.7   individual from any position allowing direct contact with 
 20.8   persons receiving services from the license holder. 
 20.9      (c) The individual does not pose an imminent risk of harm 
 20.10  or a risk of harm requiring continuous supervision while 
 20.11  providing direct contact services during the period in which the 
 20.12  subject may request a reconsideration.  If the commissioner 
 20.13  determines that an individual studied does not pose a risk of 
 20.14  harm that requires continuous supervision, only the individual 
 20.15  shall be sent a notice of disqualification.  The license holder 
 20.16  shall be sent a notice that more time is needed to complete the 
 20.17  individual's background study.  If the individual studied 
 20.18  submits a timely request for reconsideration, and if the 
 20.19  disqualification is set aside for that license holder, the 
 20.20  license holder will be informed that the individual has a 
 20.21  disqualifying characteristic, but that the disqualification has 
 20.22  been set aside relative to that license holder.  If the 
 20.23  individual studied does not submit a timely request for 
 20.24  reconsideration, or the individual submits a timely request for 
 20.25  reconsideration, but the disqualification is not set aside for 
 20.26  that license holder, the license holder will be notified of the 
 20.27  disqualification and shall be ordered to immediately remove the 
 20.28  individual from any position allowing direct contact with 
 20.29  persons receiving services from the license holder. 
 20.30     Sec. 8.  Minnesota Statutes 1996, section 245A.04, 
 20.31  subdivision 3b, is amended to read: 
 20.32     Subd. 3b.  [RECONSIDERATION OF DISQUALIFICATION.] (a) 
 20.33  Within 30 days after receiving notice of disqualification under 
 20.34  subdivision 3a, The individual who is the subject of the study 
 20.35  disqualification may request a reconsideration of the notice of 
 20.36  disqualification.  
 21.1      The individual must submit the request for reconsideration 
 21.2   to the commissioner in writing.  A request for reconsideration 
 21.3   for an individual who has been sent a notice of disqualification 
 21.4   under subdivision 3a, paragraph (a) or (b), must be submitted 
 21.5   within 30 calendar days of the disqualified individual's receipt 
 21.6   of the notice of disqualification.  A request for 
 21.7   reconsideration for an individual who has been sent a notice of 
 21.8   disqualification under subdivision 3a, paragraph (c), must be 
 21.9   submitted within 15 calendar days of the disqualified 
 21.10  individual's receipt of the notice of disqualification.  Removal 
 21.11  of a disqualified individual from direct contact shall be 
 21.12  ordered if the individual does not request reconsideration 
 21.13  within the prescribed time, and for an individual who submits a 
 21.14  timely request for reconsideration, if the disqualification is 
 21.15  not set aside.  The individual must shall have the burden of 
 21.16  proof to present information to show showing that: 
 21.17     (1) the information the commissioner relied upon is 
 21.18  incorrect; or 
 21.19     (2) the subject of the study does not pose a risk of harm 
 21.20  to any person served by the applicant or license holder. 
 21.21     (1) the subject of the study does not pose a risk of harm 
 21.22  to any person served by the applicant or license holder; or 
 21.23     (2) the information the commissioner relied upon is 
 21.24  incorrect or inaccurate.  If the basis of a reconsideration 
 21.25  request is that a maltreatment determination or disposition 
 21.26  under section 626.556 or 626.557 is incorrect, and the 
 21.27  commissioner has issued a final order in an appeal of that 
 21.28  determination or disposition under section 256.045, the 
 21.29  commissioner's order is conclusive on the issue of maltreatment. 
 21.30     (b) The commissioner may set aside the disqualification 
 21.31  under this section if the commissioner finds that the 
 21.32  information the commissioner relied upon is incorrect or the 
 21.33  individual does not pose a risk of harm to any person served by 
 21.34  the applicant or license holder.  In determining that an 
 21.35  individual does not pose a risk of harm, the commissioner shall 
 21.36  review consider the consequences of the event or events 
 22.1   that could lead to disqualification, whether there is more than 
 22.2   one disqualifying event, the vulnerability of the victim at the 
 22.3   time of the event, the time elapsed without a repeat of the same 
 22.4   or similar event, and documentation of successful completion by 
 22.5   the individual studied of training or rehabilitation pertinent 
 22.6   to the event, and any other information relevant to 
 22.7   reconsideration.  In reviewing a disqualification under this 
 22.8   section, the commissioner shall give preeminent weight to the 
 22.9   safety of each person to be served by the license holder or 
 22.10  applicant over the interests of the license holder or applicant. 
 22.11     (c) Unless the information the commissioner relied on in 
 22.12  disqualifying an individual is incorrect, the commissioner may 
 22.13  not set aside the disqualification of an individual in 
 22.14  connection with a license to provide family day care for 
 22.15  children, foster care for children in the provider's own home, 
 22.16  or foster care or day care services for adults in the provider's 
 22.17  own home if: 
 22.18     (1) less than ten years have passed since the discharge of 
 22.19  the sentence imposed for the offense; and the individual has 
 22.20  been convicted of a violation of any offense listed in 
 22.21  section sections 609.20 (manslaughter in the first degree), 
 22.22  609.205 (manslaughter in the second degree), criminal vehicular 
 22.23  homicide under 609.21 (criminal vehicular homicide and injury), 
 22.24  609.215 (aiding suicide or aiding attempted suicide), felony 
 22.25  violations under 609.221 to 609.2231 (felony violations of 
 22.26  assault in the first, second, third, or fourth degree), 609.713 
 22.27  (terroristic threats), 609.235 (use of drugs to injure or to 
 22.28  facilitate crime), 609.24 (simple robbery), 609.245 (aggravated 
 22.29  robbery), 609.25 (kidnapping), 609.255 (false imprisonment), 
 22.30  609.561 or 609.562 (arson in the first or second degree), 609.71 
 22.31  (riot), burglary in the first or second degree under 609.582 
 22.32  (burglary in the first or second degree), 609.66 (reckless use 
 22.33  of a gun or dangerous weapon or intentionally pointing a gun at 
 22.34  or towards a human being), 609.665 (setting a spring gun guns), 
 22.35  609.67 (unlawfully owning, possessing, or operating a machine 
 22.36  gun guns and short-barreled shotguns), 609.749 (harassment; 
 23.1   stalking), 152.021 or 152.022 (controlled substance crime in the 
 23.2   first or second degree), 152.023, subdivision 1, clause (3) or 
 23.3   (4), or subdivision 2, clause (4) (controlled substance crime in 
 23.4   the third degree), 152.024, subdivision 1, clause (2), (3), or 
 23.5   (4) (controlled substance crime in the fourth degree), 609.224, 
 23.6   subdivision 2, paragraph (c) (fifth-degree assault by a 
 23.7   caregiver against a vulnerable adult), 609.228 (great bodily 
 23.8   harm caused by distribution of drugs), 609.23 (mistreatment of 
 23.9   persons confined), 609.231 (mistreatment of residents or 
 23.10  patients), 609.2325 (criminal abuse of a vulnerable adult), 
 23.11  609.233 (criminal neglect of a vulnerable adult), 609.2335 
 23.12  (financial exploitation of a vulnerable adult), 609.234 (failure 
 23.13  to report), 609.265 (abduction), 609.2664 to 609.2665 
 23.14  (manslaughter of an unborn child in the first or second degree), 
 23.15  609.267 to 609.2672 (assault of an unborn child in the first, 
 23.16  second, or third degree), 609.268 (injury or death of an unborn 
 23.17  child in the commission of a crime), 617.293 (disseminating or 
 23.18  displaying harmful material to minors), 609.378 (neglect or 
 23.19  endangerment of a child), a gross misdemeanor offense under 
 23.20  609.377 (a gross misdemeanor offense of malicious punishment of 
 23.21  a child), 609.72, subdivision 3 (disorderly conduct against a 
 23.22  vulnerable adult); or an attempt or conspiracy to commit any of 
 23.23  these offenses, as each of these offenses is defined in 
 23.24  Minnesota Statutes; or an offense in any other state, the 
 23.25  elements of which are substantially similar to the elements of 
 23.26  any of the foregoing offenses; 
 23.27     (2) regardless of how much time has passed since the 
 23.28  discharge of the sentence imposed for the offense, the 
 23.29  individual was convicted of a violation of any offense listed in 
 23.30  sections 609.185 to 609.195 (murder in the first, second, or 
 23.31  third degree), 609.2661 to 609.2663 (murder of an unborn child 
 23.32  in the first, second, or third degree), a felony offense under 
 23.33  609.377 (a felony offense of malicious punishment of a child), 
 23.34  609.322 (soliciting solicitation, inducement, or and promotion 
 23.35  of prostitution), 609.323 (receiving profit derived from 
 23.36  prostitution), 609.342 to 609.345 (criminal sexual conduct in 
 24.1   the first, second, third, or fourth degree), 609.352 
 24.2   (solicitation of children to engage in sexual conduct), 617.246 
 24.3   (use of minors in a sexual performance), 617.247 (possession of 
 24.4   pictorial representations of a minor), 609.365 (incest), or an 
 24.5   attempt or conspiracy to commit any of these offenses as defined 
 24.6   in Minnesota Statutes, or an offense in any other state, the 
 24.7   elements of which are substantially similar to any of the 
 24.8   foregoing offenses; 
 24.9      (3) within the seven years preceding the study, the 
 24.10  individual committed an act that constitutes maltreatment of a 
 24.11  child under section 626.556, subdivision 10e, and that resulted 
 24.12  in substantial bodily harm as defined in section 609.02, 
 24.13  subdivision 7a, or substantial mental or emotional harm as 
 24.14  supported by competent psychological or psychiatric evidence; or 
 24.15     (4) within the seven years preceding the study, the 
 24.16  individual was determined under section 626.557 to be the 
 24.17  perpetrator of a substantiated incident of abuse maltreatment of 
 24.18  a vulnerable adult that resulted in substantial bodily harm as 
 24.19  defined in section 609.02, subdivision 7a, or substantial mental 
 24.20  or emotional harm as supported by competent psychological or 
 24.21  psychiatric evidence. 
 24.22     In the case of any ground for disqualification under 
 24.23  clauses (1) to (4), if the act was committed by an individual 
 24.24  other than the applicant or license holder residing in the 
 24.25  applicant's or license holder's home, the applicant or license 
 24.26  holder may seek reconsideration when the individual who 
 24.27  committed the act no longer resides in the home.  
 24.28     The disqualification periods provided under clauses (1), 
 24.29  (3), and (4) are the minimum applicable disqualification 
 24.30  periods.  The commissioner may determine that an individual 
 24.31  should continue to be disqualified from licensure because the 
 24.32  license holder or applicant poses a risk of harm to a person 
 24.33  served by that individual after the minimum disqualification 
 24.34  period has passed. 
 24.35     (d) The commissioner shall respond in writing or by 
 24.36  electronic transmission to all reconsideration requests for 
 25.1   which the basis for the request is that the information relied 
 25.2   upon by the commissioner to disqualify is incorrect or 
 25.3   inaccurate within 30 working days of receipt of a request and 
 25.4   all relevant information.  If the basis for the request is that 
 25.5   the individual does not pose a risk of harm, the commissioner 
 25.6   shall respond to the request within 15 working days after 
 25.7   receiving the request for reconsideration and all relevant 
 25.8   information.  If the disqualification is set aside, the 
 25.9   commissioner shall notify the applicant or license holder in 
 25.10  writing or by electronic transmission of the decision. 
 25.11     (e) Except as provided in subdivision 3c, the 
 25.12  commissioner's decision to disqualify an individual, including 
 25.13  the decision to grant or deny a reconsideration of recession or 
 25.14  set aside a disqualification under this subdivision, or to set 
 25.15  aside or uphold the results of the study under subdivision 
 25.16  3 this section, is the final administrative agency action and 
 25.17  shall not be subject to further review in a contested case under 
 25.18  chapter 14 involving a negative licensing action appeal taken in 
 25.19  response to the disqualification or involving an accuracy and 
 25.20  completeness appeal under section 13.04. 
 25.21     Sec. 9.  Minnesota Statutes 1996, section 245A.04, 
 25.22  subdivision 3c, is amended to read: 
 25.23     Subd. 3c.  [CONTESTED CASE.] If a disqualification is not 
 25.24  set aside, a person who, on or after the effective date of rules 
 25.25  adopted under subdivision 3, paragraph (i), is an employee of an 
 25.26  employer, as defined in section 179A.03, subdivision 15, may 
 25.27  request a contested case hearing under chapter 14.  Rules 
 25.28  adopted under this chapter may not preclude an employee in a 
 25.29  contested case hearing for disqualification from submitting 
 25.30  evidence concerning information gathered under subdivision 3, 
 25.31  paragraph (e). 
 25.32     Sec. 10.  Minnesota Statutes 1996, section 245A.04, 
 25.33  subdivision 4, is amended to read: 
 25.34     Subd. 4.  [INSPECTIONS; WAIVER.] (a) Before issuing a an 
 25.35  initial license, the commissioner shall conduct an inspection of 
 25.36  the program.  The inspection must include but is not limited to: 
 26.1      (1) an inspection of the physical plant; 
 26.2      (2) an inspection of records and documents; 
 26.3      (3) an evaluation of the program by consumers of the 
 26.4   program; and 
 26.5      (4) observation of the program in operation. 
 26.6      For the purposes of this subdivision, "consumer" means a 
 26.7   person who receives the services of a licensed program, the 
 26.8   person's legal guardian, or the parent or individual having 
 26.9   legal custody of a child who receives the services of a licensed 
 26.10  program. 
 26.11     (b) The evaluation required in paragraph (a), clause (3) or 
 26.12  the observation in paragraph (a), clause (4) is not required 
 26.13  prior to issuing a provisional an initial license under 
 26.14  subdivision 7.  If the commissioner issues a provisional an 
 26.15  initial license under subdivision 7, these requirements must be 
 26.16  completed within one year after the issuance of a provisional an 
 26.17  initial license.  The observation in paragraph (a), clause (4) 
 26.18  is not required if the commissioner determines that the 
 26.19  observation would hinder the persons receiving services in 
 26.20  benefiting from the program.  
 26.21     Sec. 11.  Minnesota Statutes 1996, section 245A.04, 
 26.22  subdivision 5, is amended to read: 
 26.23     Subd. 5.  [COMMISSIONER'S RIGHT OF ACCESS.] When the 
 26.24  commissioner is exercising the powers conferred by sections 
 26.25  245A.01 to 245A.15 this chapter, the commissioner must be given 
 26.26  access to the physical plant and grounds where the program is 
 26.27  provided, documents, persons served by the program, and staff 
 26.28  whenever the program is in operation and the information is 
 26.29  relevant to inspections or investigations conducted by the 
 26.30  commissioner.  The commissioner must be given access without 
 26.31  prior notice and as often as the commissioner considers 
 26.32  necessary if the commissioner is conducting an investigation of 
 26.33  allegations of abuse, neglect, maltreatment, or other violation 
 26.34  of applicable laws or rules.  In conducting inspections, the 
 26.35  commissioner may request and shall receive assistance from other 
 26.36  state, county, and municipal governmental agencies and 
 27.1   departments.  The applicant or license holder shall allow the 
 27.2   commissioner to photocopy, photograph, and make audio and video 
 27.3   tape recordings during the inspection of the program at the 
 27.4   commissioner's expense.  The commissioner shall obtain a court 
 27.5   order or the consent of the subject of the records or the 
 27.6   parents or legal guardian of the subject before photocopying 
 27.7   hospital medical records.  
 27.8      Persons served by the program have the right to refuse to 
 27.9   consent to be interviewed, photographed, or audio or videotaped. 
 27.10  Failure or refusal of an applicant or license holder to fully 
 27.11  comply with this subdivision is reasonable cause for the 
 27.12  commissioner to deny the application or immediately suspend or 
 27.13  revoke the license. 
 27.14     Sec. 12.  Minnesota Statutes 1996, section 245A.04, 
 27.15  subdivision 6, is amended to read: 
 27.16     Subd. 6.  [COMMISSIONER'S EVALUATION.] Before granting, 
 27.17  suspending, revoking, or making probationary conditional a 
 27.18  license, the commissioner shall evaluate information gathered 
 27.19  under this section.  The commissioner's evaluation shall 
 27.20  consider facts, conditions, or circumstances concerning the 
 27.21  program's operation, the well-being of persons served by the 
 27.22  program, available consumer evaluations of the program, and 
 27.23  information about the qualifications of the personnel employed 
 27.24  by the applicant or license holder. 
 27.25     The commissioner shall evaluate the results of the study 
 27.26  required in subdivision 3 and determine whether a risk of harm 
 27.27  to the persons served by the program exists.  In conducting this 
 27.28  evaluation, the commissioner shall apply the disqualification 
 27.29  standards set forth in rules adopted under this chapter.  Prior 
 27.30  to the adoption of rules establishing disqualification 
 27.31  standards, the commissioner shall forward the proposed rules to 
 27.32  the commissioner of human rights for review and recommendation 
 27.33  concerning the protection of individual rights.  The 
 27.34  recommendation of the commissioner of human rights is not 
 27.35  binding on the commissioner of human services.  
 27.36     Sec. 13.  Minnesota Statutes 1996, section 245A.04, 
 28.1   subdivision 7, is amended to read: 
 28.2      Subd. 7.  [ISSUANCE OF A LICENSE; PROVISIONAL LICENSE.] (a) 
 28.3   If the commissioner determines that the program complies with 
 28.4   all applicable rules and laws, the commissioner shall issue a 
 28.5   license.  At minimum, the license shall state:  
 28.6      (1) the name of the license holder; 
 28.7      (2) the address of the program; 
 28.8      (3) the effective date and expiration date of the license; 
 28.9      (4) the type of license; 
 28.10     (5) the maximum number and ages of persons that may receive 
 28.11  services from the program; and 
 28.12     (6) any special conditions of licensure. 
 28.13     (b) The commissioner may issue a provisional an initial 
 28.14  license for a period not to exceed one year two years if:  
 28.15     (1) the commissioner is unable to conduct the evaluation or 
 28.16  observation required by subdivision 4, paragraph (a), clauses (3)
 28.17  and (4), because the program is not yet operational; 
 28.18     (2) certain records and documents are not available because 
 28.19  persons are not yet receiving services from the program; and 
 28.20     (3) the applicant complies with applicable laws and rules 
 28.21  in all other respects.  
 28.22  A provisional license must not be issued except at the time that 
 28.23  a license is first issued to an applicant. 
 28.24     (c) A decision by the commissioner to issue a license does 
 28.25  not guarantee that any person or persons will be placed or cared 
 28.26  for in the licensed program.  A license shall not be 
 28.27  transferable to another individual, corporation, partnership, 
 28.28  voluntary association, other organization, or controlling 
 28.29  individual, or to another location.  For purposes of 
 28.30  reimbursement for meals only, under the Child and Adult Care 
 28.31  Food Program, Code of Federal Regulations, title 7, subtitle B, 
 28.32  chapter II, subchapter A, part 226, relocation within the same 
 28.33  county by a family day care provider licensed under Minnesota 
 28.34  Rules, parts 9502.0300 to 9502.0445, shall be considered an 
 28.35  extension of the license for a period of no more than 30 
 28.36  calendar days or until the new license is issued, whichever 
 29.1   occurs first, provided the county agency has determined the 
 29.2   family day care provider meets licensure requirements at the new 
 29.3   location.  Unless otherwise specified by statute, all licenses 
 29.4   expire at 12:01 a.m. on the day after the expiration date stated 
 29.5   on the license.  A license holder must apply for and be granted 
 29.6   a new license to operate the program or the program must not be 
 29.7   operated after the expiration date.  
 29.8      Sec. 14.  Minnesota Statutes 1996, section 245A.06, 
 29.9   subdivision 1, is amended to read: 
 29.10     Subdivision 1.  [CONTENTS OF CORRECTION ORDERS OR FINES.] 
 29.11  (a) If the commissioner finds that the applicant or license 
 29.12  holder has failed to comply with an applicable law or rule and 
 29.13  this failure does not imminently endanger the health, safety, or 
 29.14  rights of the persons served by the program, the commissioner 
 29.15  may issue a correction order to or impose a fine on the 
 29.16  applicant or license holder.  The correction order or fine must 
 29.17  state: 
 29.18     (1) the conditions that constitute a violation of the law 
 29.19  or rule; 
 29.20     (2) the specific law or rule violated; and 
 29.21     (3) the time allowed to correct each violation; and 
 29.22     (4) if a fine is imposed, the amount of the fine. 
 29.23     (b) Nothing in this section prohibits the commissioner from 
 29.24  proposing a sanction as specified in section 245A.07, prior to 
 29.25  issuing a correction order or fine. 
 29.26     Sec. 15.  Minnesota Statutes 1996, section 245A.06, 
 29.27  subdivision 3, is amended to read: 
 29.28     Subd. 3.  [FAILURE TO COMPLY.] If upon reinspection, the 
 29.29  commissioner finds that the applicant or license holder has not 
 29.30  corrected the violations specified in the correction order, the 
 29.31  commissioner may order impose a fine.  If a fine was imposed and 
 29.32  the violation was not corrected, the commissioner may impose an 
 29.33  additional fine.  This section does not prohibit the 
 29.34  commissioner from seeking a court order, denying an application, 
 29.35  or suspending, revoking, or making probationary conditional the 
 29.36  license in addition to ordering imposing a fine. 
 30.1      Sec. 16.  Minnesota Statutes 1996, section 245A.06, 
 30.2   subdivision 4, is amended to read: 
 30.3      Subd. 4.  [NOTICE OF FINE; APPEAL RECONSIDERATION OF FINE.] 
 30.4   A license holder who is ordered to pay a fine must be notified 
 30.5   of the order by certified mail.  The notice must be mailed to 
 30.6   the address shown on the application or the last known address 
 30.7   of the license holder.  The notice must state the reasons the 
 30.8   fine was ordered and must inform the license holder of the 
 30.9   responsibility for payment of fines in subdivision 7 and the 
 30.10  right to a contested case hearing under chapter 14 request 
 30.11  reconsideration of the fine.  The license holder may appeal 
 30.12  request reconsideration of the order to forfeit a fine by 
 30.13  notifying the commissioner by certified mail within 15 20 
 30.14  calendar days after receiving the order.  A timely appeal 
 30.15  request for reconsideration shall stay forfeiture of the fine 
 30.16  until the commissioner issues a final order under section 
 30.17  245A.08, subdivision 5. decision on the request for 
 30.18  reconsideration.  The request for reconsideration must be in 
 30.19  writing and: 
 30.20     (1) specify the parts of the violation that are alleged to 
 30.21  be in error; 
 30.22     (2) explain why they are in error; 
 30.23     (3) include documentation to support the allegation of 
 30.24  error; and 
 30.25     (4) any other information relevant to the fine or the 
 30.26  amount of the fine. 
 30.27     The commissioner's disposition of a request for 
 30.28  reconsideration is final and not subject to appeal under chapter 
 30.29  14. 
 30.30     Sec. 17.  Minnesota Statutes 1996, section 245A.06, 
 30.31  subdivision 5, is amended to read: 
 30.32     Subd. 5.  [FORFEITURE OF FINES.] The license holder shall 
 30.33  pay the fines assessed on or before the payment date specified 
 30.34  in the commissioner's order.  If the license holder fails to 
 30.35  fully comply with the order, the commissioner shall issue a 
 30.36  second fine or suspend the license until the license holder 
 31.1   complies.  If the license holder receives state funds, the 
 31.2   state, county, or municipal agencies or departments responsible 
 31.3   for administering the funds shall withhold payments and recover 
 31.4   any payments made while the license is suspended for failure to 
 31.5   pay a fine.  
 31.6      Sec. 18.  Minnesota Statutes 1996, section 245A.06, 
 31.7   subdivision 5a, is amended to read: 
 31.8      Subd. 5a.  [ACCRUAL OF FINES.] A license holder shall 
 31.9   promptly notify the commissioner of human services, in writing, 
 31.10  when a violation specified in an order to forfeit is corrected.  
 31.11  A fine assessed for a violation shall stop accruing when the 
 31.12  commissioner receives the written notice.  The commissioner 
 31.13  shall reinspect the program within three working days after 
 31.14  receiving the notice.  If upon reinspection the commissioner 
 31.15  determines that a violation has not been corrected as indicated 
 31.16  by the order to forfeit, accrual of the daily fine resumes on 
 31.17  the date of reinspection and the amount of fines that otherwise 
 31.18  would have accrued between the date the commissioner received 
 31.19  the notice and date of the reinspection is added to the total 
 31.20  assessment due from the license holder the commissioner may 
 31.21  issue a second fine.  The commissioner shall notify the license 
 31.22  holder by certified mail that accrual of the a second fine has 
 31.23  resumed been assessed.  The license holder may challenge the 
 31.24  resumption in a contested case under chapter 14 by written 
 31.25  request within 15 days after receipt of the notice of resumption.
 31.26  Recovery of the resumed fine must be stayed if a controlling 
 31.27  individual or a legal representative on behalf of the license 
 31.28  holder makes a written request for a hearing.  The request for 
 31.29  hearing, however, may not stay accrual of the daily fine for 
 31.30  violations that have not been corrected.  The cost of 
 31.31  reinspection conducted under this subdivision for uncorrected 
 31.32  violations must be added to the total amount of accrued fines 
 31.33  due from the license holder request reconsideration of the 
 31.34  second fine under the provisions of subdivision 4. 
 31.35     Sec. 19.  Minnesota Statutes 1996, section 245A.06, 
 31.36  subdivision 6, is amended to read: 
 32.1      Subd. 6.  [AMOUNT OF FINES.] Until the commissioner adopts 
 32.2   one or more schedules of fines, Fines shall be assessed as 
 32.3   follows: 
 32.4      (1) the license holder shall forfeit $1,000 $500 for each 
 32.5   occurrence of violation of law or rule prohibiting the 
 32.6   maltreatment of children or the abuse, neglect, or exploitation 
 32.7   maltreatment of vulnerable adults, including but not limited to 
 32.8   corporal punishment, illegal or unauthorized use of physical, 
 32.9   mechanical, or chemical restraints, and illegal or unauthorized 
 32.10  use of aversive or deprivation procedures; 
 32.11     (2) the license holder shall forfeit $200 $100 for each 
 32.12  occurrence of a violation of law or rule governing matters of 
 32.13  health, safety, or supervision, including but not limited to the 
 32.14  provision of adequate staff to child or adult ratios, except 
 32.15  that the holder of a family or group family day care license 
 32.16  shall forfeit $100 for a violation under this clause; and 
 32.17     (3) the license holder shall forfeit $100 $50 for each 
 32.18  occurrence of a violation of law or rule other than those 
 32.19  included in clauses (1) and (2), except that the holder of a 
 32.20  family or group family day care license shall forfeit $50 for a 
 32.21  violation under this clause. 
 32.22     For the purposes of this section, "occurrence" means each 
 32.23  calendar day or part of a day that a violation continues to 
 32.24  exist after the date set for correction identified in the 
 32.25  commissioner's correction forfeiture order. 
 32.26     Sec. 20.  Minnesota Statutes 1996, section 245A.06, 
 32.27  subdivision 7, is amended to read: 
 32.28     Subd. 7.  [RESPONSIBILITY FOR PAYMENT OF FINES.] When a 
 32.29  fine has been assessed, the license holder may not avoid payment 
 32.30  by closing, selling, or otherwise transferring the licensed 
 32.31  program to a third party.  In such an event, the license holder 
 32.32  will be personally liable for payment.  In the case of a 
 32.33  corporation, each controlling individual is personally and 
 32.34  jointly liable for payment. 
 32.35     Fines for child care centers shall be assessed according to 
 32.36  this section. 
 33.1      Sec. 21.  Minnesota Statutes 1996, section 245A.07, 
 33.2   subdivision 1, is amended to read: 
 33.3      Subdivision 1.  [SANCTIONS AVAILABLE.] In addition to 
 33.4   ordering forfeiture of fines, the commissioner may propose to 
 33.5   suspend, revoke, or make probationary conditional the license or 
 33.6   secure an injunction against the continuing operation of the 
 33.7   program of a license holder who does not comply with applicable 
 33.8   law or rule.  When applying sanctions authorized under this 
 33.9   section, the commissioner shall consider the nature, chronicity, 
 33.10  or severity of the violation of law or rule and the effect of 
 33.11  the violation on the health, safety, or rights of persons served 
 33.12  by the program. 
 33.13     Sec. 22.  Minnesota Statutes 1996, section 245A.07, 
 33.14  subdivision 3, is amended to read: 
 33.15     Subd. 3.  [SUSPENSION, REVOCATION, PROBATION DENIAL, 
 33.16  CONDITIONAL LICENSE.] The commissioner may suspend, revoke, or 
 33.17  make probationary conditional, or deny a license if an applicant 
 33.18  or a license holder fails to comply fully with applicable laws 
 33.19  or rules, or knowingly withholds relevant information from or 
 33.20  gives false or misleading information to the commissioner in 
 33.21  connection with an application for a license or during an 
 33.22  investigation.  A license holder who has had a license 
 33.23  suspended, revoked, or made probationary conditional must be 
 33.24  given notice of the action by certified mail.  The notice must 
 33.25  be mailed to the address shown on the application or the last 
 33.26  known address of the license holder.  The notice must state the 
 33.27  reasons the license was suspended, revoked, or made probationary 
 33.28  conditional. 
 33.29     (a) If the license was suspended or revoked, the notice 
 33.30  must inform the license holder of the right to a contested case 
 33.31  hearing under chapter 14.  The license holder may appeal an 
 33.32  order suspending or revoking a license.  The appeal of an order 
 33.33  suspending or revoking a license must be made in writing by 
 33.34  certified mail and must be received by the commissioner within 
 33.35  ten calendar days after the license holder receives notice that 
 33.36  the license has been suspended or revoked.  
 34.1      (b) If the license was made probationary conditional, the 
 34.2   notice must inform the license holder of the right to request a 
 34.3   reconsideration by the commissioner.  The request for 
 34.4   reconsideration must be made in writing by certified mail and 
 34.5   must be received by the commissioner within ten calendar days 
 34.6   after the license holder receives notice that the license has 
 34.7   been made probationary conditional.  The license holder may 
 34.8   submit with the request for reconsideration written argument or 
 34.9   evidence in support of the request for reconsideration.  The 
 34.10  commissioner's disposition of a request for reconsideration is 
 34.11  final and is not subject to appeal under chapter 14.  
 34.12     Sec. 23.  Minnesota Statutes 1996, section 245A.08, 
 34.13  subdivision 1, is amended to read: 
 34.14     Subdivision 1.  [RECEIPT OF APPEAL; CONDUCT OF HEARING.] 
 34.15  Upon receiving a timely appeal or petition pursuant to 
 34.16  sections section 245A.05 to or 245A.07, the commissioner shall 
 34.17  issue a notice of and order for hearing to the appellant under 
 34.18  chapter 14. 
 34.19     Sec. 24.  Minnesota Statutes 1996, section 245A.08, 
 34.20  subdivision 2, is amended to read: 
 34.21     Subd. 2.  [CONDUCT OF HEARINGS.] At any hearing provided 
 34.22  for by sections section 245A.05 to or 245A.07, the appellant may 
 34.23  be represented by counsel and has the right to call, examine, 
 34.24  and cross-examine witnesses.  The administrative law judge may 
 34.25  require the presence of witnesses and evidence by subpoena on 
 34.26  behalf of any party.  
 34.27     Sec. 25.  Minnesota Statutes 1996, section 245A.09, 
 34.28  subdivision 7, is amended to read: 
 34.29     Subd. 7.  [REGULATORY METHODS.] (a) Where appropriate and 
 34.30  feasible the commissioner shall identify and implement 
 34.31  alternative methods of regulation and enforcement to the extent 
 34.32  authorized in this subdivision.  These methods shall include: 
 34.33     (1) expansion of the types and categories of licenses that 
 34.34  may be granted; 
 34.35     (2) when the standards of another state or federal 
 34.36  governmental agency or an independent accreditation body have 
 35.1   been shown to predict compliance with the rules, the 
 35.2   commissioner shall consider compliance with the governmental or 
 35.3   accreditation standards to be equivalent to partial compliance 
 35.4   with the rules; and 
 35.5      (3) use of an abbreviated inspection that employs key 
 35.6   standards that have been shown to predict full compliance with 
 35.7   the rules. 
 35.8      For programs and services for people with developmental 
 35.9   disabilities, the commissioner of human services shall develop 
 35.10  demonstration projects to use the standards of the commission on 
 35.11  accreditation of rehabilitation facilities and the standards of 
 35.12  the accreditation council on services to persons with 
 35.13  disabilities during the period of July 1, 1993 to December 31, 
 35.14  1994, and incorporate the alternative use of these standards and 
 35.15  methods in licensing rules where appropriate.  If the 
 35.16  commissioner determines that the methods in clause (2) or (3) 
 35.17  can be used in licensing a program, the commissioner may reduce 
 35.18  any fee set under section 245A.10 by up to 50 percent.  The 
 35.19  commissioner shall present a plan by January 31, 1995, to accept 
 35.20  accreditation by either the accreditation council on services to 
 35.21  people with disabilities or the commission on the accreditation 
 35.22  of rehabilitation services as evidence of being in compliance 
 35.23  where applicable with state licensing. 
 35.24     (b) The commissioner shall work with the commissioners of 
 35.25  health, public safety, administration, and children, families, 
 35.26  and learning in consolidating duplicative licensing and 
 35.27  certification rules and standards if the commissioner determines 
 35.28  that consolidation is administratively feasible, would 
 35.29  significantly reduce the cost of licensing, and would not reduce 
 35.30  the protection given to persons receiving services in licensed 
 35.31  programs.  Where administratively feasible and appropriate, the 
 35.32  commissioner shall work with the commissioners of health, public 
 35.33  safety, administration, and children, families, and learning in 
 35.34  conducting joint agency inspections of programs. 
 35.35     (c) The commissioner shall work with the commissioners of 
 35.36  health, public safety, administration, and children, families, 
 36.1   and learning in establishing a single point of application for 
 36.2   applicants who are required to obtain concurrent licensure from 
 36.3   more than one of the commissioners listed in this clause. 
 36.4      (d) The commissioner may specify in rule periods of 
 36.5   licensure up to two years. 
 36.6      Sec. 26.  Minnesota Statutes 1996, section 245A.11, 
 36.7   subdivision 2, is amended to read: 
 36.8      Subd. 2.  [PERMITTED SINGLE-FAMILY RESIDENTIAL USE.] 
 36.9   Residential programs with a licensed capacity of six or fewer 
 36.10  persons shall be considered a permitted single-family 
 36.11  residential use of property for the purposes of zoning and other 
 36.12  land use regulations, except that a residential program whose 
 36.13  primary purpose is to treat juveniles who have violated criminal 
 36.14  statutes relating to sex offenses or have been adjudicated 
 36.15  delinquent on the basis of conduct in violation of criminal 
 36.16  statutes relating to sex offenses shall not be considered a 
 36.17  permitted use.  This exception shall not apply to residential 
 36.18  programs licensed before July 1, 1995.  Programs otherwise 
 36.19  allowed under this subdivision shall not be prohibited by 
 36.20  operation of restrictive covenants or similar restrictions, 
 36.21  regardless of when entered into, which cannot be met because of 
 36.22  the nature of the licensed program, including provisions which 
 36.23  require the home's occupants be related, and that the home must 
 36.24  be occupied by the owner, or similar provisions. 
 36.25     Sec. 27.  Minnesota Statutes 1996, section 245A.16, 
 36.26  subdivision 2, is amended to read: 
 36.27     Subd. 2.  [INVESTIGATIONS.] (a) The county or private 
 36.28  agency shall conduct timely investigations of allegations of 
 36.29  abuse or neglect maltreatment of children or adults in programs 
 36.30  for which the county or private agency is the commissioner's 
 36.31  designated representative and record a disposition of each 
 36.32  complaint in accordance with applicable law or rule.  The county 
 36.33  or private agency shall conduct similar investigations of 
 36.34  allegations of violations of rules governing licensure of the 
 36.35  program. 
 36.36     (b) If an investigation conducted under clause (a) results 
 37.1   in evidence that the commissioner should deny an application or 
 37.2   suspend, revoke, or make probationary conditional a license, the 
 37.3   county or private agency shall make that recommendation to the 
 37.4   commissioner within ten working days. 
 37.5      Sec. 28.  [245A.22] [INDEPENDENT LIVING ASSISTANCE FOR 
 37.6   YOUTH.] 
 37.7      Subdivision 1.  [INDEPENDENT LIVING ASSISTANCE FOR 
 37.8   YOUTH.] "Independent living assistance for youth" means a 
 37.9   nonresidential program that provides a system of services that 
 37.10  includes training, counseling, instruction, supervision, and 
 37.11  assistance provided to youth according to the youth's 
 37.12  independent living plan, when the placements in the program are 
 37.13  made by the county agency.  Services may include assistance in 
 37.14  locating housing, budgeting, meal preparation, shopping, 
 37.15  personal appearance, counseling, and related social support 
 37.16  services needed to meet the youth's needs and improve the 
 37.17  youth's ability to conduct such tasks independently.  Such 
 37.18  services shall not extend to youths needing 24-hour per day 
 37.19  supervision and services.  Youths needing a 24-hour per day 
 37.20  program of supervision and services shall not be accepted or 
 37.21  retained in an independent living assistance program. 
 37.22     Subd. 2.  [ADMISSION.] The license holder shall accept as 
 37.23  clients in the independent living assistance program only 
 37.24  individuals specified under section 256E.115. 
 37.25     Subd. 3.  [INDEPENDENT LIVING PLAN.] Unless an independent 
 37.26  living plan has been developed by the local agency, the license 
 37.27  holder shall develop a plan based on the client's individual 
 37.28  needs that specifies objectives for the client.  The services 
 37.29  provided shall include those specified in this section and the 
 37.30  services specified under section 256E.115, subdivision 2, 
 37.31  paragraph (a).  The plan shall identify the persons responsible 
 37.32  for implementation of each part of the plan.  The plan shall be 
 37.33  reviewed as necessary, but at least annually. 
 37.34     Subd. 4.  [RECORDS.] The license holder shall maintain a 
 37.35  record for each client. 
 37.36     (a) [REQUIRED RECORDS.] For each client the record 
 38.1   maintained by the license holder shall document the following: 
 38.2      (1) admission information; 
 38.3      (2) the independent living plan; 
 38.4      (3) delivery of the services required of the license holder 
 38.5   in the independent living plan; 
 38.6      (4) the client's progress toward obtaining the objectives 
 38.7   identified in the independent living plan; and 
 38.8      (5) a termination summary after service is terminated. 
 38.9      (b) [MONEY RECORDS.] If the license holder manages the 
 38.10  client's money, the record maintained by the license holder 
 38.11  shall also include the following: 
 38.12     (1) written permission from the client or the client's 
 38.13  legal guardian to manage the client's money; 
 38.14     (2) the reasons the license holder is to manage the 
 38.15  client's money; and 
 38.16     (3) a complete record of the use of the client's money and 
 38.17  reconciliation of the account. 
 38.18     Subd. 5.  [SERVICE TERMINATION PLAN.] The license holder, 
 38.19  in conjunction with the county agency, shall establish a service 
 38.20  termination plan that specifies how independent living 
 38.21  assistance services will be terminated and the actions to be 
 38.22  performed by the involved agencies, including necessary 
 38.23  referrals for other ongoing services. 
 38.24     Subd. 6.  [PLACE OF RESIDENCE PROVIDED BY PROGRAM.] When a 
 38.25  client's place of residence is provided by the license holder as 
 38.26  part of the independent living assistance program, the place of 
 38.27  residence is not subject to separate licensure. 
 38.28     Subd. 7.  [GENERAL LICENSING REQUIREMENTS APPLY.] In 
 38.29  addition to the requirements of this section, providers of 
 38.30  independent living assistance are subject to general licensing 
 38.31  requirements of this chapter. 
 38.32     Sec. 29.  [245B.01] [RULE CONSOLIDATION.] 
 38.33     This chapter establishes new methods to ensure the quality 
 38.34  of services to persons with mental retardation or related 
 38.35  conditions, and streamlines and simplifies regulation of 
 38.36  services and supports for persons with mental retardation or 
 39.1   related conditions.  Sections 245B.02 to 245B.07 establish new 
 39.2   standards that eliminate duplication and overlap of regulatory 
 39.3   requirements by consolidating and replacing rule parts from four 
 39.4   program rules.  Section 245B.08 authorizes the commissioner of 
 39.5   human services to develop and use new regulatory strategies to 
 39.6   maintain compliance with the streamlined requirements.  Sections 
 39.7   245B.02 to 245B.07 remain in effect until a rule is adopted to 
 39.8   govern these services. 
 39.9      Sec. 30.  [245B.02] [DEFINITIONS.] 
 39.10     Subdivision 1.  [SCOPE.] The terms used in this chapter 
 39.11  have the meanings given them. 
 39.12     Subd. 2.  [APPLICANT.] "Applicant" has the meaning given in 
 39.13  section 245A.02, subdivision 3. 
 39.14     Subd. 3.  [CASE MANAGER.] "Case manager" means the 
 39.15  individual designated by the county board under rules of the 
 39.16  commissioner to provide case management services as delineated 
 39.17  in section 256B.092 or successor provisions. 
 39.18     Subd. 4.  [CONSUMER.] "Consumer" means a person who has 
 39.19  been determined eligible to receive and is receiving services or 
 39.20  support for persons with mental retardation or related 
 39.21  conditions. 
 39.22     Subd. 5.  [COMMISSIONER.] "Commissioner" means the 
 39.23  commissioner of the department of human services or the 
 39.24  commissioner's designated representative. 
 39.25     Subd. 6.  [DAY TRAINING AND HABILITATION SERVICES FOR 
 39.26  ADULTS WITH MENTAL RETARDATION OR RELATED CONDITIONS.] "Day 
 39.27  training and habilitation services for adults with mental 
 39.28  retardation or related conditions" has the meaning given in 
 39.29  sections 252.40 to 252.46. 
 39.30     Subd. 7.  [DEPARTMENT.] "Department" means the department 
 39.31  of human services. 
 39.32     Subd. 8.  [DIRECT SERVICE.] "Direct service" means, for a 
 39.33  consumer receiving residential-based services, day training and 
 39.34  habilitation services, or respite care services, one or more of 
 39.35  the following:  supervision, assistance, or training. 
 39.36     Subd. 9.  [HEALTH SERVICES.] "Health services" means any 
 40.1   service or treatment consistent with the health needs of the 
 40.2   consumer, such as medication administration and monitoring, 
 40.3   medical, dental, nutritional, health monitoring, wellness 
 40.4   education, and exercise. 
 40.5      Subd. 10.  [INCIDENT.] "Incident" means any serious injury 
 40.6   as determined by section 245.91, subdivision 6; accident; 
 40.7   reports of a child or vulnerable adult maltreatment; 
 40.8   circumstances that involve a law enforcement agency; or a 
 40.9   consumer's death. 
 40.10     Subd. 11.  [INDIVIDUAL SERVICE PLAN.] "Individual service 
 40.11  plan" has the meaning given in section 256B.092 or successor 
 40.12  provisions. 
 40.13     Subd. 12.  [INDIVIDUAL WHO IS RELATED.] "Individual who is 
 40.14  related" has the meaning given in section 245A.02, subdivision 
 40.15  13. 
 40.16     Subd. 13.  [INTERMEDIATE CARE FACILITY FOR PERSONS WITH 
 40.17  MENTAL RETARDATION OR RELATED CONDITIONS OR ICF/MR.] 
 40.18  "Intermediate care facility" for persons with mental retardation 
 40.19  or related conditions or ICF/MR means a residential program 
 40.20  licensed to provide services to persons with mental retardation 
 40.21  or related conditions under section 252.28 and chapter 245A and 
 40.22  a physical facility licensed as a supervised living facility 
 40.23  under chapter 144, which together are certified by the 
 40.24  department of health as an intermediate care facility for 
 40.25  persons with mental retardation or related conditions. 
 40.26     Subd. 14.  [LEAST RESTRICTIVE ENVIRONMENT.] "Least 
 40.27  restrictive environment" means an environment where services: 
 40.28     (1) are delivered with minimum limitation, intrusion, 
 40.29  disruption, or departure from typical patterns of living 
 40.30  available to consumers without disabilities; 
 40.31     (2) do not subject the consumer or others to unnecessary 
 40.32  risks to health or safety; and 
 40.33     (3) maximize the consumer's level of independence, 
 40.34  productivity, and inclusion in the community. 
 40.35     Subd. 15.  [LEGAL REPRESENTATIVE.] "Legal representative" 
 40.36  means the parent or parents of a consumer who is under 18 years 
 41.1   of age or a guardian, conservator, or guardian ad litem 
 41.2   authorized by the court, or other legally authorized 
 41.3   representative to make decisions about services for a consumer. 
 41.4      Subd. 16.  [LICENSE.] "License" has the meaning given in 
 41.5   section 245A.02, subdivision 8. 
 41.6      Subd. 17.  [LICENSE HOLDER.] "License holder" has the 
 41.7   meaning given in section 245A.02, subdivision 9. 
 41.8      Subd. 18.  [PERSON WITH MENTAL RETARDATION OR A RELATED 
 41.9   CONDITION.] "Person with mental retardation" means a person who 
 41.10  has been diagnosed under section 256B.092 as having substantial 
 41.11  limitations in present functioning, manifested as significantly 
 41.12  subaverage intellectual functioning, existing concurrently with 
 41.13  demonstrated deficits in adaptive behavior, and who manifests 
 41.14  these conditions before the person's 22nd birthday.  A person 
 41.15  with a "related condition" means a person who meets the 
 41.16  diagnostic definition under section 252.27, subdivision 1a. 
 41.17     Subd. 19.  [PSYCHOTROPIC MEDICATION USE CHECKLIST.] 
 41.18  "Psychotropic medication use checklist" means the checklist and 
 41.19  manual developed as part of the Welch vs. Gardebring Negotiated 
 41.20  Settlement, United States District Court, District of Minnesota, 
 41.21  Fourth Division, No. 4-72 Civil 451, 1987, Part V, Section B, to 
 41.22  govern the administration of psychotropic medications.  The 
 41.23  commissioner of human services may revise or update the 
 41.24  psychotropic medication use checklist to comply with legal 
 41.25  requirements or to meet professional standards or guidelines in 
 41.26  the area of developmental disabilities.  For the purposes of 
 41.27  this chapter, psychotropic medication means any medication 
 41.28  prescribed to treat mental illness and associated behaviors or 
 41.29  to control or alter behavior.  The major classes of psychotropic 
 41.30  medication are antipsychotic (neuroleptic), antidepressant, 
 41.31  antianxiety, antimania, stimulant, and sedative or hypnotic.  
 41.32  Other miscellaneous medications are considered to be a 
 41.33  psychotropic medication when they are specifically prescribed to 
 41.34  treat a mental illness or to control or alter behavior. 
 41.35     Subd. 20.  [RESIDENTIAL-BASED HABILITATION.] 
 41.36  "Residential-based habilitation" means care, supervision, and 
 42.1   training provided primarily in the consumer's own home or place 
 42.2   of residence but also including community-integrated activities 
 42.3   following the individual service plan.  Residential habilitation 
 42.4   services are provided in coordination with the provision of day 
 42.5   training and habilitation services for those persons receiving 
 42.6   day training and habilitation services under sections 252.40 to 
 42.7   252.46. 
 42.8      Subd. 21.  [RESPITE CARE.] "Respite care" has the meaning 
 42.9   given in section 245A.02, subdivision 15. 
 42.10     Subd. 22.  [SERVICE.] "Service" means care, supervision, 
 42.11  activities, or training designed to achieve the outcomes 
 42.12  assigned to the license holder. 
 42.13     Subd. 23.  [SEMI-INDEPENDENT LIVING SERVICES OR 
 42.14  SILS] "Semi-independent living services" or "SILS" has the 
 42.15  meaning given in section 252.275. 
 42.16     Subd. 24.  [VOLUNTEER.] "Volunteer" means an individual 
 42.17  who, under the direction of the license holder, provides direct 
 42.18  services without pay to consumers served by the license holder. 
 42.19     Sec. 31.  [245B.03] [APPLICABILITY AND EFFECT.] 
 42.20     Subdivision 1.  [APPLICABILITY.] The standards in this 
 42.21  chapter govern services to persons with mental retardation or 
 42.22  related conditions receiving services from license holders 
 42.23  providing residential-based habilitation; day training and 
 42.24  habilitation services for adults; semi-independent living 
 42.25  services; residential programs that serve more than four 
 42.26  consumers, including intermediate care facilities for persons 
 42.27  with mental retardation; and respite care provided outside the 
 42.28  consumer's home for more than four consumers at the same time at 
 42.29  a single site. 
 42.30     Subd. 2.  [RELATIONSHIP TO OTHER STANDARDS GOVERNING 
 42.31  SERVICES FOR PERSONS WITH MENTAL RETARDATION OR RELATED 
 42.32  CONDITIONS.] (a) ICFs/MR are exempt from: 
 42.33     (1) section 245B.04; 
 42.34     (2) section 245B.06, subdivisions 4 and 6; and 
 42.35     (3) section 245B.07, subdivisions 4, paragraphs (b) and 
 42.36  (c); 7; and 8, paragraphs (a), clause (4), and (b), clause (1). 
 43.1      (b) License holders also licensed under chapter 144 as a 
 43.2   supervised living facility are exempt from section 245B.04. 
 43.3      (c) Residential service sites controlled by license holders 
 43.4   licensed under chapter 245B for home and community-based 
 43.5   waivered services for four or fewer adults are exempt from 
 43.6   compliance with Minnesota Rules, parts 9543.0040, subpart 2, 
 43.7   item C; 9555.5505; 9555.5515, items B and G; 9555.5605; 
 43.8   9555.5705; 9555.6125, subparts 3, item C, subitem (2), and 4 to 
 43.9   6; 9555.6185; 9555.6225, subpart 8; 9555.6245; 9555.6255; and 
 43.10  9555.6265.  The commissioner may approve alternative methods of 
 43.11  providing overnight supervision using the process and criteria 
 43.12  for granting a variance in section 245A.04, subdivision 9.  This 
 43.13  chapter does not apply to foster care homes that do not provide 
 43.14  residential habilitation services funded under the home and 
 43.15  community-based waiver programs defined in section 256B.092. 
 43.16     (d) The commissioner may exempt license holders from 
 43.17  applicable standards of this chapter when the license holder 
 43.18  meets the standards under section 245A.09, subdivision 7.  
 43.19  License holders that are accredited by an independent 
 43.20  accreditation body shall continue to be licensed under this 
 43.21  chapter. 
 43.22     (e) License holders governed by sections 245B.02 to 245B.07 
 43.23  must also meet the licensure requirements in chapter 245A.  
 43.24     (f) Nothing in this chapter prohibits license holders from 
 43.25  concurrently serving consumers with and without mental 
 43.26  retardation or related conditions provided this chapter's 
 43.27  standards are met as well as other relevant standards. 
 43.28     (g) The documentation that sections 245B.02 to 245B.07 
 43.29  require of the license holder meets the individual program plan 
 43.30  required in section 256B.092 or successor provisions.  
 43.31     Sec. 32.  [245B.04] [CONSUMER RIGHTS.] 
 43.32     Subdivision 1.  [LICENSE HOLDER'S RESPONSIBILITY FOR 
 43.33  CONSUMERS' RIGHTS.] The license holder must: 
 43.34     (1) provide the consumer or the consumer's legal 
 43.35  representative a copy of the consumer's rights on the day that 
 43.36  services are initiated and an explanation of the rights in 
 44.1   subdivisions 2 and 3 within five working days of service 
 44.2   initiation.  Reasonable accommodations shall be made by the 
 44.3   license holder to provide this information in other formats as 
 44.4   needed to facilitate understanding of the rights by the consumer 
 44.5   and the consumer's legal representative, if any; 
 44.6      (2) document the consumer's or the consumer's legal 
 44.7   representative's receipt of a copy of the rights and an 
 44.8   explanation of the rights; and 
 44.9      (3) ensure the exercise and protection of the consumer's 
 44.10  rights in the services provided by the license holder and 
 44.11  authorized in the individual service plan. 
 44.12     Subd. 2.  [SERVICE-RELATED RIGHTS.] A consumer's 
 44.13  service-related rights include the right to: 
 44.14     (1) refuse or terminate services and be informed of the 
 44.15  consequences of refusing or terminating services; 
 44.16     (2) know, in advance, limits to the services available from 
 44.17  the license holder; 
 44.18     (3) know conditions and terms governing the provision of 
 44.19  services, including those related to initiation and termination; 
 44.20     (4) know what the charges are for services, regardless of 
 44.21  who will be paying for the services, and be notified of changes 
 44.22  in those charges; 
 44.23     (5) know, in advance, whether services are covered by 
 44.24  insurance, government funding, or other sources, and be told of 
 44.25  any charges the consumer or other private party may have to pay; 
 44.26  and 
 44.27     (6) receive licensed services from individuals who are 
 44.28  competent and trained, who have professional certification or 
 44.29  licensure, as required, and who meet additional qualifications 
 44.30  identified in the individual service plan. 
 44.31     Subd. 3.  [PROTECTION-RELATED RIGHTS.] The consumer's 
 44.32  protection-related rights include the right to: 
 44.33     (1) have personal, financial, services, and medical 
 44.34  information kept private, and be advised of the license holder's 
 44.35  policies and procedures regarding disclosure of such 
 44.36  information; 
 45.1      (2) access records and written information; 
 45.2      (3) be free from maltreatment; 
 45.3      (4) be treated with courtesy and respect for the consumer's 
 45.4   individuality, mode of communication, and culture, and receive 
 45.5   respectful treatment of the consumer's property; 
 45.6      (5) voice grievances, know the contact persons responsible 
 45.7   for addressing problems and how to contact those persons; 
 45.8      (6) any procedures for grievance or complaint resolution 
 45.9   and the right to appeal under section 256.045; 
 45.10     (7) know the name and address of the state, county, or 
 45.11  advocacy agency to contact for additional information or 
 45.12  assistance; 
 45.13     (8) assert these rights personally, or have them asserted 
 45.14  by the consumer's family or legal representative, without 
 45.15  retaliation; 
 45.16     (9) give or withhold written informed consent to 
 45.17  participate in any research or experimental treatment; 
 45.18     (10) have daily, private access to and use of a noncoin- 
 45.19  operated telephone for local calls and long-distance calls made 
 45.20  collect or paid for by the resident; 
 45.21     (11) receive and send uncensored, unopened mail; 
 45.22     (12) marital privacy for visits with the consumer's spouse 
 45.23  and, if both are residents of the site, the right to share a 
 45.24  bedroom and bed; 
 45.25     (13) associate with other persons of the consumer's choice; 
 45.26     (14) personal privacy; and 
 45.27     (15) engage in chosen activities. 
 45.28     Sec. 33.  [245B.05] [CONSUMER PROTECTION STANDARDS.] 
 45.29     Subdivision 1.  [ENVIRONMENT.] The license holder must: 
 45.30     (1) ensure that services are provided in a safe and 
 45.31  hazard-free environment when the license holder is the owner, 
 45.32  lessor, or tenant of the service site.  All other license 
 45.33  holders shall inform the consumer or the consumer's legal 
 45.34  representative and case manager about any environmental safety 
 45.35  concerns in writing; 
 45.36     (2) lock doors only to protect the safety of consumers and 
 46.1   not as a substitute for staff supervision or interactions with 
 46.2   consumers; 
 46.3      (3) follow procedures that minimize the consumer's health 
 46.4   risk from communicable diseases; and 
 46.5      (4) maintain equipment, vehicles, supplies, and materials 
 46.6   owned or leased by the license holder in good condition. 
 46.7      Subd. 2.  [LICENSED CAPACITY FOR FACILITY-BASED DAY 
 46.8   TRAINING AND HABILITATION SERVICES.] Licensed capacity of day 
 46.9   training and habilitation service sites must be determined by 
 46.10  the amount of primary space available, the scheduling of 
 46.11  activities at other service sites, and the space requirements of 
 46.12  consumers receiving services.  Primary space does not include 
 46.13  hallways, stairways, closets, utility areas, bathrooms, 
 46.14  kitchens, and floor areas beneath stationary equipment.  A 
 46.15  minimum of 40 square feet of primary space must be available for 
 46.16  each consumer who is engaged in a day training and habilitation 
 46.17  activity at the site for which the licensed capacity must be 
 46.18  determined. 
 46.19     Subd. 3.  [RESIDENTIAL SERVICE SITES FOR MORE THAN FOUR 
 46.20  CONSUMERS; FOUR-BED ICFS/MR.] Residential service sites licensed 
 46.21  to serve more than four consumers and four-bed ICFs/MR must meet 
 46.22  the fire protection provisions of either the Residential Board 
 46.23  and Care Occupancies Chapter or the Health Care Occupancies 
 46.24  Chapter of the Life Safety Code (LSC), National Fire Protection 
 46.25  Association, 1985 edition, or its successors.  Sites meeting the 
 46.26  definition of a residential board and care occupancy for 16 or 
 46.27  less beds must have the emergency evacuation capability of 
 46.28  residents evaluated in accordance with Appendix F of the LSC or 
 46.29  its successors, except for those sites that meet the LSC Health 
 46.30  Care Occupancies Chapter or its successors. 
 46.31     Subd. 4.  [MEETING FIRE AND SAFETY CODES.] An applicant or 
 46.32  license holder under sections 245A.01 to 245A.16 must document 
 46.33  compliance with applicable building codes, fire and safety 
 46.34  codes, health rules, and zoning ordinances, or document that an 
 46.35  appropriate waiver has been granted. 
 46.36     Subd. 5.  [CONSUMER HEALTH.] The license holder is 
 47.1   responsible for meeting the health service needs assigned to the 
 47.2   license holder in the individual service plan and for bringing 
 47.3   health needs as discovered by the license holder promptly to the 
 47.4   attention of the consumer, the consumer's legal representative, 
 47.5   and the case manager.  The license holder is required to 
 47.6   maintain documentation on how the consumer's health needs will 
 47.7   be met, including a description of procedures the license holder 
 47.8   will follow for the consumer regarding medication monitoring and 
 47.9   administration and seizure monitoring, if needed.  The 
 47.10  medication administration procedures must be established in 
 47.11  consultation with a registered nurse, nurse practitioner, 
 47.12  physician's assistant, or medical doctor. 
 47.13     Subd. 6.  [FIRST AID.] When the license holder is providing 
 47.14  direct service and supervision to a consumer who requires a 
 47.15  24-hour plan of care and receives services at a site licensed 
 47.16  under this chapter, the license holder must have available a 
 47.17  staff person trained in first aid, and, if needed under section 
 47.18  245B.07, subdivision 6, paragraph (d), cardiopulmonary 
 47.19  resuscitation from a qualified source, as determined by the 
 47.20  commissioner. 
 47.21     Subd. 7.  [REPORTING INCIDENTS AND EMERGENCIES.] The 
 47.22  license holder must report the following incidents to the 
 47.23  consumer's legal representative, caregiver, and case manager 
 47.24  within 24 hours of the occurrence, or within 24 hours of receipt 
 47.25  of the information: 
 47.26     (1) the death of a consumer; 
 47.27     (2) any medical emergencies, unexpected serious illnesses, 
 47.28  or accidents that require physician treatment or 
 47.29  hospitalization; 
 47.30     (3) a consumer's unauthorized absence; or 
 47.31     (4) any fires and incidents involving a law enforcement 
 47.32  agency. 
 47.33     Death or serious injury of the consumer must also be 
 47.34  reported to the commissioner and the ombudsman, as required 
 47.35  under sections 245.91 to 245.99. 
 47.36     Sec. 34.  [245B.06] [SERVICE STANDARDS.] 
 48.1      Subdivision 1.  [OUTCOME-BASED SERVICES.] (a) The license 
 48.2   holder must provide outcome-based services in response to the 
 48.3   consumer's identified needs as specified in the individual 
 48.4   service plan.  
 48.5      (b) Services must be based on the needs and preferences of 
 48.6   the consumer and the consumer's personal goals and be consistent 
 48.7   with the principles of least restrictive environment, 
 48.8   self-determination, and consistent with: 
 48.9      (1) the recognition of each consumer's history, dignity, 
 48.10  and cultural background; 
 48.11     (2) the affirmation and protection of each consumer's civil 
 48.12  and legal rights; 
 48.13     (3) the provision of services and supports for each 
 48.14  consumer which: 
 48.15     (i) promote community inclusion and self-sufficiency; 
 48.16     (ii) provide services in the least restrictive environment; 
 48.17     (iii) promote social relationships, natural supports, and 
 48.18  participation in community life; 
 48.19     (iv) allow for a balance between safety and opportunities; 
 48.20  and 
 48.21     (v) provide opportunities for the development and exercise 
 48.22  of age-appropriate skills, decision making and choice, personal 
 48.23  advocacy, and communication; and 
 48.24     (4) the provision of services and supports for families 
 48.25  which address the needs of the consumer in the context of the 
 48.26  family and support family self-sufficiency. 
 48.27     (c) The license holder must make available to the consumer 
 48.28  opportunities to participate in the community, functional skill 
 48.29  development, reduced dependency on care providers, and 
 48.30  opportunities for development of decision-making skills.  
 48.31  "Outcome" means the behavior, action, or status attained by the 
 48.32  consumer that can be observed, measured, and can be determined 
 48.33  reliable and valid.  Outcomes are the equivalent of the 
 48.34  long-range goals and short-term goals referenced in section 
 48.35  256B.092, and any rules promulgated under that section.  
 48.36     Subd. 2.  [RISK MANAGEMENT PLAN.] The license holder must 
 49.1   develop and document in writing a risk management plan that 
 49.2   incorporates the individual abuse prevention plan as required in 
 49.3   chapter 245C.  License holders jointly providing services to a 
 49.4   consumer shall coordinate and use the resulting assessment of 
 49.5   risk areas for the development of this plan.  Upon initiation of 
 49.6   services, the license holder will have in place an initial risk 
 49.7   management plan that identifies areas in which the consumer is 
 49.8   vulnerable, including health, safety, and environmental issues 
 49.9   and the supports the provider will have in place to protect the 
 49.10  consumer and to minimize these risks.  The plan must be changed 
 49.11  based on the needs of the individual consumer and reviewed at 
 49.12  least annually. 
 49.13     Subd. 3.  [ASSESSMENTS.] (a) The license holder shall 
 49.14  assess and reassess the consumer within stated time lines and 
 49.15  assessment areas specified in the individual service plan or as 
 49.16  requested in writing by the case manager. 
 49.17     (b) For each area of assessment requested, the license 
 49.18  holder must provide a written summary, analysis, and 
 49.19  recommendations for use in the development of the individual 
 49.20  service plan. 
 49.21     (c) All assessments must include information about the 
 49.22  consumer that is descriptive of: 
 49.23     (1) the consumer's strengths and functional skills; and 
 49.24     (2) the level of support and supervision the consumer needs 
 49.25  to achieve the outcomes in subdivision 1. 
 49.26     Subd. 4.  [SUPPORTS AND METHODS.] The license holder, in 
 49.27  coordination with other service providers, shall meet with the 
 49.28  consumer, the consumer's legal representative, case manager, and 
 49.29  other members of the interdisciplinary team within 45 days of 
 49.30  service initiation.  Within ten working days after the meeting, 
 49.31  the license holder shall develop and document in writing: 
 49.32     (1) the methods that will be used to support the individual 
 49.33  or accomplish the outcomes in section 245B.06, subdivision 1, 
 49.34  including information about physical and social environments, 
 49.35  the equipment and materials required, and techniques that are 
 49.36  consistent with the consumer's communication mode and learning 
 50.1   style specified as the license holder's responsibility in the 
 50.2   individual service plan; 
 50.3      (2) the projected starting date for service supports and 
 50.4   the criteria for identifying when the desired outcome has been 
 50.5   achieved and when the service supports need to be reviewed; and 
 50.6      (3) the names of the staff, staff position, or contractors 
 50.7   responsible for implementing each outcome. 
 50.8      Subd. 5.  [PROGRESS REVIEWS.] The license holder must 
 50.9   participate in progress review meetings following stated time 
 50.10  lines established in the consumer's individual service plan or 
 50.11  as requested in writing by the consumer, the consumer's legal 
 50.12  representative, or the case manager, at a minimum of once a 
 50.13  year.  The license holder must summarize the progress toward 
 50.14  achieving the desired outcomes and make recommendations in a 
 50.15  written report sent to the consumer or the consumer's legal 
 50.16  representative and case manager prior to the review meeting.  
 50.17  For consumers under public guardianship, the license holder is 
 50.18  required to provide quarterly written progress review reports to 
 50.19  the consumer, designated family member, and case manager.  
 50.20     Subd. 6.  [REPORTS.] The license holder shall provide 
 50.21  written reports regarding the consumer's status as requested by 
 50.22  the consumer, or the consumer's legal representative and case 
 50.23  manager. 
 50.24     Subd. 7.  [STAFFING REQUIREMENTS.] The license holder must 
 50.25  provide supervision to ensure the health, safety, and protection 
 50.26  of rights of each consumer and to be able to implement each 
 50.27  consumer's individual service plan.  Day training and 
 50.28  habilitation programs must meet the minimum staffing 
 50.29  requirements as specified in sections 252.40 to 252.46 and rules 
 50.30  promulgated under those sections. 
 50.31     Subd. 8.  [LEAVING THE RESIDENCE.] As specified in each 
 50.32  consumer's individual service plan, each consumer requiring a 
 50.33  24-hour plan of care must leave the residence to participate in 
 50.34  regular education, employment, or community activities.  License 
 50.35  holders, providing services to consumers living in a licensed 
 50.36  site, shall ensure that they are prepared to care for consumers 
 51.1   whenever they are at the residence during the day because of 
 51.2   illness, work schedules, or other reasons. 
 51.3      Subd. 9.  [DAY TRAINING AND HABILITATION SERVICE DAYS.] Day 
 51.4   training and habilitation services must meet a minimum of 195 
 51.5   available service days. 
 51.6      Subd. 10.  [PROHIBITION.] Psychotropic medication and the 
 51.7   use of aversive and deprivation procedures, as referenced in 
 51.8   section 245.825 and rules promulgated under that section, cannot 
 51.9   be used as a substitute for adequate staffing, as punishment, or 
 51.10  for staff convenience. 
 51.11     Sec. 35.  [245B.07] [MANAGEMENT STANDARDS.] 
 51.12     Subdivision 1.  [CONSUMER DATA FILE.] The license holder 
 51.13  must maintain the following information for each consumer: 
 51.14     (1) identifying information that includes date of birth, 
 51.15  medications, legal representative, history, medical, and other 
 51.16  individual-specific information, and names and telephone numbers 
 51.17  of contacts; 
 51.18     (2) consumer health information, including individual 
 51.19  medication administration and monitoring information; 
 51.20     (3) the consumer's individual service plan.  When a 
 51.21  consumer's case manager does not provide a current individual 
 51.22  service plan, the license holder shall make a written request to 
 51.23  the case manager to provide a copy of the individual service 
 51.24  plan and inform the consumer or the consumer's legal 
 51.25  representative of the right to an individual service plan and 
 51.26  the right to appeal under section 256.045; 
 51.27     (4) copies of assessments, analyses, summaries, and 
 51.28  recommendations; 
 51.29     (5) progress review reports; 
 51.30     (6) incident and emergency reports involving the consumer; 
 51.31     (7) discharge summary, when applicable; 
 51.32     (8) record of other license holders serving the consumer 
 51.33  that includes a contact person and telephone numbers, services 
 51.34  being provided, services that require coordination between two 
 51.35  license holders, and name of staff responsible for coordination; 
 51.36  and 
 52.1      (9) incidents involving verbal and physical aggression 
 52.2   between consumers and self-abuse affecting the consumer. 
 52.3      Subd. 2.  [ACCESS TO RECORDS.] The license holder must 
 52.4   ensure that the following people have access to the information 
 52.5   in subdivision 1: 
 52.6      (1) the consumer, the consumer's legal representative, and 
 52.7   anyone properly authorized by the consumer or the legal 
 52.8   representative of the consumer; 
 52.9      (2) the consumer's case manager; 
 52.10     (3) staff providing direct services to the consumer unless 
 52.11  the information is not relevant to carrying out the individual 
 52.12  service plan; and 
 52.13     (4) the county adult foster care licensor, when services 
 52.14  are also licensed as an adult foster home.  For purposes of this 
 52.15  section, "adult foster home" means a licensed residence which 
 52.16  may be operated for financial gain and which provides 24-hour 
 52.17  foster care to no more than four functionally impaired adult 
 52.18  residents.  
 52.19     Subd. 3.  [RETENTION OF CONSUMER'S RECORDS.] The license 
 52.20  holder must retain the records required for consumers for at 
 52.21  least three years following termination of services. 
 52.22     Subd. 4.  [STAFF QUALIFICATIONS.] (a) The license holder 
 52.23  must ensure that staff is competent through training, 
 52.24  experience, and education to meet the consumer's needs and 
 52.25  additional requirements as written in the individual service 
 52.26  plan.  Staff qualifications must be documented.  Staff under 18 
 52.27  years of age may not perform overnight duties or administer 
 52.28  medication. 
 52.29     (b) Delivery and evaluation of services provided by the 
 52.30  license holder to a consumer must be coordinated by a designated 
 52.31  person.  The designated person or coordinator must minimally 
 52.32  have a four-year degree in a field related to service provision, 
 52.33  and one year work experience with consumers with mental 
 52.34  retardation or related conditions, a two-year degree in a field 
 52.35  related to service provision, and two years of work experience 
 52.36  with consumers with mental retardation or related conditions, or 
 53.1   a diploma in community-based developmental disability services 
 53.2   from an accredited post-secondary institution and two years of 
 53.3   work experience with consumers with mental retardation or 
 53.4   related conditions.  The coordinator must provide supervision, 
 53.5   support, and evaluation of activities that include: 
 53.6      (1) oversight of the license holder's responsibilities 
 53.7   designated in the individual service plan; 
 53.8      (2) instruction and assistance to staff implementing the 
 53.9   individual service plan areas; 
 53.10     (3) evaluation of the effectiveness of service delivery, 
 53.11  methodologies, and progress on consumer outcomes based on the 
 53.12  condition set for objective change; and 
 53.13     (4) review of incident and emergency reports, 
 53.14  identification of incident patterns, and implementation of 
 53.15  corrective action as necessary to reduce occurrences. 
 53.16     (c) The coordinator is responsible for taking the action 
 53.17  necessary to facilitate the accomplishment of the outcomes for 
 53.18  each consumer as specified in the consumer's individual service 
 53.19  plan. 
 53.20     (d) The license holder must provide for adequate 
 53.21  supervision of direct care staff to ensure implementation of the 
 53.22  individual service plan. 
 53.23     Subd. 5.  [STAFF ORIENTATION.] (a) Within 60 days of hiring 
 53.24  staff who provide direct service, the license holder must 
 53.25  provide 30 hours of staff orientation.  Direct care staff must 
 53.26  complete 15 of the 30 hours orientation before providing any 
 53.27  unsupervised direct service to a consumer.  If the staff person 
 53.28  has received orientation training from a license holder licensed 
 53.29  under this chapter, or provides semi-independent living services 
 53.30  only, the 15-hour requirement may be reduced to eight hours.  
 53.31  The total orientation of 30 hours may be reduced to 15 hours if 
 53.32  the staff person has previously received orientation training 
 53.33  from a license holder licensed under this chapter. 
 53.34     (b) The 30 hours of orientation must combine supervised 
 53.35  on-the-job training with coverage of the following material: 
 53.36     (1) review of the consumer's service plans and risk 
 54.1   management plan to achieve an understanding of the consumer as a 
 54.2   unique individual; 
 54.3      (2) review and instruction on the license holder's policies 
 54.4   and procedures, including their location and access; 
 54.5      (3) emergency procedures; 
 54.6      (4) explanation of specific job functions, including 
 54.7   implementing objectives from the consumer's individual service 
 54.8   plan; 
 54.9      (5) explanation of responsibilities related to chapter 
 54.10  245C; sections 626.556 and 626.557, governing maltreatment 
 54.11  reporting and service planning for children and vulnerable 
 54.12  adults; and section 245.825, governing use of aversive and 
 54.13  deprivation procedures; 
 54.14     (6) medication administration as it applies to the 
 54.15  individual consumer, from a training curriculum developed by a 
 54.16  health services professional described in section 245B.05, 
 54.17  subdivision 5, and when the consumer meets the criteria of 
 54.18  having overriding health care needs, then medication 
 54.19  administration taught by a health services professional.  
 54.20     For purposes of this section, overriding health care needs 
 54.21  means a health care condition that affects the service options 
 54.22  available to the consumer because the condition requires: 
 54.23     (i) specialized or intensive medical or nursing 
 54.24  supervision; and 
 54.25     (ii) nonmedical service providers to adapt their services 
 54.26  to accommodate the health and safety needs of the consumer; 
 54.27     (7) consumer rights; and 
 54.28     (8) other topics necessary as determined by the consumer's 
 54.29  individual service plan or other areas identified by the license 
 54.30  holder. 
 54.31     (c) The license holder must document each employee's 
 54.32  orientation received. 
 54.33     Subd. 6.  [STAFF TRAINING.] (a) The license holder shall 
 54.34  ensure that direct service staff annually complete hours of 
 54.35  training equal to two percent of the number of hours the staff 
 54.36  person worked or one percent for license holders providing 
 55.1   semi-independent living services.  If direct service staff has 
 55.2   received training from a license holder licensed under a program 
 55.3   rule identified in this chapter or completed course work 
 55.4   regarding disability-related issues from a post-secondary 
 55.5   educational institute, that training may also count toward 
 55.6   training requirements for other services and for other license 
 55.7   holders. 
 55.8      (b) The license holder must document the training completed 
 55.9   by each employee. 
 55.10     (c) Training shall address staff competencies necessary to 
 55.11  address the consumer needs as identified in the consumer's 
 55.12  individual service plan and ensure consumer health, safety, and 
 55.13  protection of rights.  Training may also include other areas 
 55.14  identified by the license holder. 
 55.15     (d) For consumers requiring a 24-hour plan of care, the 
 55.16  license holder shall provide training in cardiopulmonary 
 55.17  resuscitation, from a qualified source determined by the 
 55.18  commissioner, if the consumer's health needs as determined by 
 55.19  the consumer's physician indicate trained staff would be 
 55.20  necessary to the consumer. 
 55.21     Subd. 7.  [VOLUNTEERS.] The license holder must ensure that 
 55.22  volunteers who provide direct services to consumers receive the 
 55.23  training and orientation necessary to fulfill their 
 55.24  responsibilities. 
 55.25     Subd. 8.  [POLICIES AND PROCEDURES.] The license holder 
 55.26  must develop and implement the policies and procedures in 
 55.27  paragraphs (1) to (3). 
 55.28     (1) policies and procedures that promote consumer health 
 55.29  and safety by ensuring: 
 55.30     (i) consumer safety in emergency situations as identified 
 55.31  in section 245B.05, subdivision 7; 
 55.32     (ii) consumer health through sanitary practices; 
 55.33     (iii) safe transportation, when the license holder is 
 55.34  responsible for transportation of consumers, with provisions for 
 55.35  handling emergency situations; 
 55.36     (iv) a system of recordkeeping for both individuals and the 
 56.1   organization, for review of incidents and emergencies, and 
 56.2   corrective action if needed; 
 56.3      (v) a plan for responding to and reporting all emergencies, 
 56.4   including deaths, medical emergencies, illnesses, accidents, 
 56.5   missing consumers, fires, severe weather and natural disasters, 
 56.6   bomb threats, and other threats; 
 56.7      (vi) safe medication administration as identified in 
 56.8   section 245B.05, subdivision 5; 
 56.9      (vii) psychotropic medication monitoring when the consumer 
 56.10  is prescribed a psychotropic medication, including the use of 
 56.11  the psychotropic medication use checklist.  If the 
 56.12  responsibility for implementing the psychotropic medication use 
 56.13  checklist has not been assigned in the individual service plan 
 56.14  and the consumer lives in a licensed site, the residential 
 56.15  license holder shall be designated; and 
 56.16     (viii) criteria for admission or service initiation 
 56.17  developed by the license holder; 
 56.18     (2) policies and procedures that protect consumer rights 
 56.19  and privacy by ensuring: 
 56.20     (i) consumer data privacy, in compliance with the Minnesota 
 56.21  Data Practices Act, chapter 13; and 
 56.22     (ii) that complaint procedures provide consumers with a 
 56.23  simple process to bring grievances and consumers receive a 
 56.24  response to the grievance within a reasonable time period.  The 
 56.25  license holder must provide a copy of the program's grievance 
 56.26  procedure and time lines for addressing grievances.  The 
 56.27  program's grievance procedure must permit consumers served by 
 56.28  the program and the authorized representatives to bring a 
 56.29  grievance to the highest level of authority in the program; and 
 56.30     (3) policies and procedures that promote continuity and 
 56.31  quality of consumer supports by ensuring: 
 56.32     (i) continuity of care and service coordination, including 
 56.33  provisions for service termination, temporary service 
 56.34  suspension, and efforts made by the license holder to coordinate 
 56.35  services with other vendors who also provide support to the 
 56.36  consumer.  The policy must include the following requirements: 
 57.1      (A) the license holder must notify the consumer or 
 57.2   consumer's legal representative and the consumer's case manager 
 57.3   in writing of the intended termination or temporary service 
 57.4   suspension and the consumer's right to seek a temporary order 
 57.5   staying the termination or suspension of service according to 
 57.6   the procedures in section 256.045, subdivision 4a or 6e; 
 57.7      (B) notice of the proposed termination of services must be 
 57.8   given at least 60 days before the proposed termination is to 
 57.9   become effective, unless services are temporarily suspended 
 57.10  according to the license holder's written temporary service 
 57.11  suspension procedures, in which case notice must be given as 
 57.12  soon as possible; 
 57.13     (C) the license holder must provide information requested 
 57.14  by the consumer or consumer's legal representative or case 
 57.15  manager when services are temporarily suspended or upon notice 
 57.16  of termination; 
 57.17     (D) use of temporary service suspension procedures are 
 57.18  restricted to situations in which the consumer's behavior causes 
 57.19  immediate and serious damage to the health and safety of the 
 57.20  individual or others; 
 57.21     (E) prior to giving notice of service termination or 
 57.22  temporary service suspension, the license holder must document 
 57.23  actions taken to minimize or eliminate the need for service 
 57.24  termination or temporary service suspension; and 
 57.25     (F) during the period of temporary service suspension, the 
 57.26  license holder will work with the appropriate county agency to 
 57.27  develop reasonable alternatives to protect the individual and 
 57.28  others; and 
 57.29     (ii) quality services measured through a program evaluation 
 57.30  process including regular evaluations of consumer satisfaction 
 57.31  and sharing the results of the evaluations with the consumers 
 57.32  and legal representatives. 
 57.33     Subd. 9.  [AVAILABILITY OF CURRENT WRITTEN POLICIES AND 
 57.34  PROCEDURES.] The license holder must: 
 57.35     (1) review and update, as needed, the written policies and 
 57.36  procedures in this subdivision and inform all consumers or the 
 58.1   consumer's legal representatives, case managers, and employees 
 58.2   of the revised policies and procedures when they affect the 
 58.3   service provision; 
 58.4      (2) inform consumers or the consumer's legal 
 58.5   representatives of the written policies and procedures in this 
 58.6   subdivision upon service initiation.  Copies must be available 
 58.7   to consumers or the consumer's legal representatives, case 
 58.8   managers, the county where services are located, and the 
 58.9   commissioner upon request; and 
 58.10     (3) document and maintain relevant information related to 
 58.11  the policies and procedures in this subdivision. 
 58.12     Subd. 10.  [CONSUMER FUNDS.] (a) The license holder must 
 58.13  ensure that consumers retain the use and availability of 
 58.14  personal funds or property unless restrictions are justified in 
 58.15  the consumer's individual service plan. 
 58.16     (b) The license holder must ensure separation of resident 
 58.17  funds from funds of the license holder, the residential program, 
 58.18  or program staff. 
 58.19     (c) Whenever the license holder assists a consumer with the 
 58.20  safekeeping of funds or other property, the license holder must: 
 58.21     (1) document receipt and disbursement of the consumer's 
 58.22  funds or the property, and include the signature of the 
 58.23  consumer, conservator, or payee; 
 58.24     (2) provide a statement at least quarterly itemizing 
 58.25  receipts and disbursements of resident funds or other property; 
 58.26  and 
 58.27     (3) return to the consumer upon the consumer's request, 
 58.28  funds and property in the license holder's possession subject to 
 58.29  restrictions in the consumer's individual service plan, as soon 
 58.30  as possible, but no later than three working days after the date 
 58.31  of the request. 
 58.32     (d) License holders and program staff must not: 
 58.33     (1) borrow money from a consumer; 
 58.34     (2) purchase personal items from a consumer; 
 58.35     (3) sell merchandise or personal services to a consumer; 
 58.36     (4) require a resident to purchase items for which the 
 59.1   license holder is eligible for reimbursement; or 
 59.2      (5) use resident funds in a manner that would violate 
 59.3   section 256B.04, or any rules promulgated under that section. 
 59.4      Subd. 11.  [TRAVEL TIME TO AND FROM A DAY TRAINING AND 
 59.5   HABILITATION SITE.] Except in unusual circumstances, the license 
 59.6   holder must not transport a consumer receiving services for 
 59.7   longer than one hour per one-way trip. 
 59.8      Subd. 12.  [SEPARATE LICENSE REQUIRED FOR SEPARATE SITES.] 
 59.9   The license holder shall apply for separate licenses for each 
 59.10  day training and habilitation service site owned or leased by 
 59.11  the license holder at which persons receiving services and the 
 59.12  provider's employees who provide training and habilitation 
 59.13  services are present for a cumulative total of more than 30 days 
 59.14  within any 12-month period, and for each residential service 
 59.15  site.  
 59.16     Subd. 13.  [VARIANCE.] The commissioner may grant a 
 59.17  variance to any of the requirements in sections 245B.02 to 
 59.18  245B.07 except subdivision 8(1)(vii), if the conditions in 
 59.19  section 245A.04, subdivision 9 are met.  Upon the request of the 
 59.20  license holder, the commissioner may continue variances from the 
 59.21  standards in this chapter previously granted under Minnesota 
 59.22  Rules that are repealed as a result of this chapter.  The 
 59.23  commissioner may approve variances for a license holder on a 
 59.24  program, geographic, or organizational basis.  For the purposes 
 59.25  of demonstrating alternative methods to ensure service quality, 
 59.26  the commissioner may vary sections of this chapter when the 
 59.27  alternative measures comply with the intent of the sections.  
 59.28  This subdivision does not supersede other statutes designating 
 59.29  specific rules or regulations as not available for variances. 
 59.30     Sec. 36.  [245B.08] [NEW REGULATORY STRATEGIES.] 
 59.31     Subdivision 1.  [ALTERNATIVE METHODS OF DETERMINING 
 59.32  COMPLIANCE.] (a) In addition to methods specified in chapter 
 59.33  245A, the commissioner may use alternative methods and new 
 59.34  regulatory strategies to determine compliance with this 
 59.35  section.  The commissioner may use sampling techniques to ensure 
 59.36  compliance with this section.  Notwithstanding section 245A.09, 
 60.1   subdivision 7, paragraph (d), the commissioner may also extend 
 60.2   periods of licensure, not to exceed five years, for license 
 60.3   holders who have demonstrated substantial and consistent 
 60.4   compliance with sections 245B.02 to 245B.07 and have 
 60.5   consistently maintained the health and safety of consumers and 
 60.6   have demonstrated by alternative methods in paragraph (b) that 
 60.7   they meet or exceed the requirements of this section.  For 
 60.8   purposes of this section, "substantial and consistent 
 60.9   compliance" means that during the current licensing period: 
 60.10     (1) the license holder's license has not been made 
 60.11  conditional, suspended, or revoked; 
 60.12     (2) there have been no substantiated allegations of 
 60.13  maltreatment against the license holder; 
 60.14     (3) there have been no program deficiencies that have been 
 60.15  identified that would jeopardize the health or safety of 
 60.16  consumers being served; and 
 60.17     (4) the license holder is in substantial compliance with 
 60.18  the other requirements of chapter 245A and other applicable laws 
 60.19  and rules. 
 60.20     (b) To determine the length of a license, the commissioner 
 60.21  shall consider: 
 60.22     (1) information from affected consumers, and the license 
 60.23  holder's responsiveness to consumers' concerns and 
 60.24  recommendations; 
 60.25     (2) self assessments and peer reviews of the standards of 
 60.26  this section, corrective actions taken by the license holder, 
 60.27  and sharing the results of the inspections with consumers, the 
 60.28  consumers' families, and others, as requested; 
 60.29     (3) length of accreditation by an independent accreditation 
 60.30  body, if applicable; 
 60.31     (4) information from the county where the license holder is 
 60.32  located; and 
 60.33     (5) information from the license holder demonstrating 
 60.34  performance that meets or exceeds the minimum standards of this 
 60.35  chapter. 
 60.36     (c) The commissioner may reduce the length of the license 
 61.1   if the license holder fails to meet the criteria in paragraph 
 61.2   (a) and the conditions specified in paragraph (b). 
 61.3      Subd. 2.  [ADDITIONAL MEASURES.] The commissioner may 
 61.4   require the license holder to implement additional measures on a 
 61.5   time-limited basis to ensure the health and safety of consumers 
 61.6   when the health and safety of consumers has been determined to 
 61.7   be at risk as determined by substantiated incidents of 
 61.8   maltreatment under sections 626.556 and 626.557.  The license 
 61.9   holder may request reconsideration of the actions taken by the 
 61.10  commissioner under this subdivision according to section 245A.06.
 61.11     Subd. 3.  [SANCTIONS AVAILABLE.] Nothing in this 
 61.12  subdivision shall be construed to limit the commissioner's 
 61.13  authority to suspend, revoke, or make conditional at any time a 
 61.14  license under section 245A.07; make correction orders and 
 61.15  require fines for failure to comply with applicable laws or 
 61.16  rules under section 245A.06; or deny an application for license 
 61.17  under section 245A.05. 
 61.18     Subd. 4.  [EFFICIENT APPLICATION.] The commissioner shall 
 61.19  establish application procedures for license holders licensed 
 61.20  under this chapter to reduce the need to submit duplicative 
 61.21  material. 
 61.22     Subd. 5.  [INFORMATION.] The commissioner shall make 
 61.23  information available to consumers and interested others 
 61.24  regarding the licensing status of a license holder. 
 61.25     Subd. 6.  [IMPLEMENTATION.] The commissioner shall seek 
 61.26  advice from parties affected by the implementation of this 
 61.27  chapter. 
 61.28     Subd. 7.  [DEEM STATUS.] The commissioner may exempt a 
 61.29  license holder from duplicative standards if the license holder 
 61.30  is already licensed under chapter 245A. 
 61.31     Sec. 37.  [245C.01] [LICENSE HOLDER REQUIREMENTS GOVERNING 
 61.32  MALTREATMENT OF VULNERABLE ADULTS.] 
 61.33     Subdivision 1.  [LICENSE HOLDER INTERNAL REPORTING AND 
 61.34  INVESTIGATION OF MALTREATMENT.] All license holders serving 
 61.35  vulnerable adults shall establish and enforce written policies 
 61.36  and procedures related to suspected or alleged maltreatment, and 
 62.1   shall orient clients and mandated reporters who are under the 
 62.2   control of the license holder to these procedures, as defined in 
 62.3   section 626.5572, subdivision 16. 
 62.4      (a) License holders must establish policies and procedures 
 62.5   allowing but not mandating the internal reporting of alleged or 
 62.6   suspected maltreatment.  License holders shall ensure that the 
 62.7   policies and procedures on internal reporting: 
 62.8      (1) meet all the requirements identified for the optional 
 62.9   internal reporting policies and procedures in section 626.557, 
 62.10  subdivision 4a; and 
 62.11     (2) identify the primary and secondary person or position 
 62.12  to whom internal reports may be made and the primary and 
 62.13  secondary person or position responsible for forwarding internal 
 62.14  reports to the common entry point.  The secondary person must be 
 62.15  involved when there is reason to believe that the primary person 
 62.16  was involved in the alleged or suspected maltreatment. 
 62.17     (b) The license holder shall:  
 62.18     (1) establish and maintain policies and procedures to 
 62.19  ensure that an internal review is completed when the facility 
 62.20  has reason to know that an internal or external report of 
 62.21  alleged or suspected maltreatment has been made.  The review 
 62.22  must include an evaluation of whether related policies and 
 62.23  procedures were followed, whether the policies and procedures 
 62.24  were adequate, whether there is a need for additional staff 
 62.25  training, and whether there is a need for any further action to 
 62.26  be taken by the facility to protect the health and safety of 
 62.27  vulnerable adults; 
 62.28     (2) identify the primary and secondary person or position 
 62.29  who will ensure that, when required, internal reviews are 
 62.30  completed.  The secondary person shall be involved when there is 
 62.31  reason to believe that the primary person was involved in the 
 62.32  alleged or suspected maltreatment; and 
 62.33     (3) document and make internal reviews accessible to the 
 62.34  commissioner upon the commissioner's request. 
 62.35     (c) The license holder shall provide an orientation to the 
 62.36  internal and external reporting procedures to all persons 
 63.1   receiving services.  The orientation shall include the telephone 
 63.2   number for the license holder's common entry point as defined in 
 63.3   section 626.5572, subdivision 5.  If applicable, the person's 
 63.4   legal representative must be notified of the orientation.  The 
 63.5   program shall provide this orientation for each new person 
 63.6   within 24 hours of admission, or for persons who would benefit 
 63.7   more from a later orientation, the orientation may take place 
 63.8   within 72 hours. 
 63.9      (d) The license holder shall post a copy of the internal 
 63.10  and external reporting policies and procedures, including the 
 63.11  telephone number of the common entry point as defined in section 
 63.12  626.5572, subdivision 5, in a prominent location in the program 
 63.13  and have it available upon request to mandated reporters, 
 63.14  persons receiving services, and the person's legal 
 63.15  representatives. 
 63.16     Subd. 2.  [ABUSE PREVENTION PLANS.] All license holders 
 63.17  shall establish and enforce ongoing written program abuse 
 63.18  prevention plans and individual abuse prevention plans as 
 63.19  required under section 626.557, subdivision 14. 
 63.20     (a) The scope of the program abuse prevention plan is 
 63.21  limited to the population, physical plant, and environment 
 63.22  within the control of the license holder and the location where 
 63.23  licensed services are provided.  In addition to the requirements 
 63.24  in section 626.557, subdivision 14, the program abuse prevention 
 63.25  plan shall meet the requirements in clauses (1) to (5). 
 63.26     (1) The assessment of the population shall include an 
 63.27  evaluation of the following factors:  age, gender, mental 
 63.28  functioning, physical and emotional health or behavior of the 
 63.29  client; the need for specialized programs of care for clients; 
 63.30  the need for training of staff to meet identified individual 
 63.31  needs; and the knowledge a license holder may have regarding 
 63.32  previous abuse that is relevant to minimizing risk of abuse for 
 63.33  clients. 
 63.34     (2) The assessment of the physical plant where the licensed 
 63.35  services are provided shall include an evaluation of the 
 63.36  following factors:  the condition and design of the building as 
 64.1   it relates to the safety of the clients; and the existence of 
 64.2   areas in the building which are difficult to supervise. 
 64.3      (3) The assessment of the environment for each facility and 
 64.4   for each site when living arrangements are provided by the 
 64.5   agency shall include an evaluation of the following factors:  
 64.6   the location of the program in a particular neighborhood or 
 64.7   community; the type of grounds and terrain surrounding the 
 64.8   building; the type of internal programming; and the program's 
 64.9   staffing patterns. 
 64.10     (4) The license holder shall provide an orientation to the 
 64.11  program abuse prevention plan for clients receiving services.  
 64.12  If applicable, the client's legal representative must be 
 64.13  notified of the orientation.  The license holder shall provide 
 64.14  this orientation for each new person within 24 hours of 
 64.15  admission, or for persons who would benefit more from a later 
 64.16  orientation, the orientation may take place within 72 hours. 
 64.17     (5) The license holder's governing body shall review the 
 64.18  plan at least annually using the assessment factors in the plan 
 64.19  and any substantiated maltreatment findings that occurred since 
 64.20  the last review.  The governing body shall revise the plan, if 
 64.21  necessary, to reflect the review results. 
 64.22     (6) A copy of the program abuse prevention plan shall be 
 64.23  posted in a prominent location in the program and be available 
 64.24  upon request to mandated reporters, persons receiving services, 
 64.25  and legal representatives. 
 64.26     (b) In addition to the requirements in section 626.557, 
 64.27  subdivision 14, the individual abuse prevention plan shall meet 
 64.28  the requirements in clauses (1) and (2).  
 64.29     (1) The plan shall include a statement of measures that 
 64.30  will be taken to minimize the risk of abuse to the vulnerable 
 64.31  adult when the individual assessment required in section 
 64.32  626.557, subdivision 14, paragraph (b), indicates the need for 
 64.33  measures in addition to the specific measures identified in the 
 64.34  program abuse prevention plan.  The measures shall include the 
 64.35  specific actions the program will take to minimize the risk of 
 64.36  abuse within the scope of the licensed services, and will 
 65.1   identify referrals made when the vulnerable adult is susceptible 
 65.2   to abuse outside the scope or control of the licensed services.  
 65.3   When the assessment indicates that the vulnerable adult does not 
 65.4   need specific risk reduction measures in addition to those 
 65.5   identified in the program abuse prevention plan, the individual 
 65.6   abuse prevention plan shall document this determination. 
 65.7      (2) An individual abuse prevention plan shall be developed 
 65.8   for each new person as part of the initial individual program 
 65.9   plan or service plan required under the applicable licensing 
 65.10  rule.  The review and evaluation of the individual abuse 
 65.11  prevention plan shall be done as part of the review of the 
 65.12  program plan or service plan.  The person receiving services 
 65.13  shall participate in the development of the individual abuse 
 65.14  prevention plan to the full extent of the person's abilities.  
 65.15  If applicable, the person's legal representative shall be given 
 65.16  the opportunity to participate with or for the person in the 
 65.17  development of the plan.  The interdisciplinary team shall 
 65.18  document the review of all abuse prevention plans at least 
 65.19  annually, using the individual assessment and any reports of 
 65.20  abuse relating to the person.  The plan shall be revised to 
 65.21  reflect the results of this review. 
 65.22     Subd. 3.  [ORIENTATION OF MANDATED REPORTERS.] The license 
 65.23  holder shall ensure that each new mandated reporter, as defined 
 65.24  in section 626.5572, subdivision 16, who is under the control of 
 65.25  the license holder, receives an orientation within 72 hours of 
 65.26  first providing direct contact services as defined in section 
 65.27  245A.04, subdivision 3, to a vulnerable adult and annually 
 65.28  thereafter.  The orientation and annual review shall inform the 
 65.29  mandated reporters of the reporting requirements and definitions 
 65.30  in sections 626.557 and 626.5572, the requirements of this 
 65.31  section, the license holder's program abuse prevention plan, and 
 65.32  all internal policies and procedures related to the prevention 
 65.33  and reporting of maltreatment of individuals receiving services. 
 65.34     Sec. 38.  Minnesota Statutes 1996, section 256E.115, is 
 65.35  amended to read: 
 65.36     256E.115 [SAFE HOUSES AND, TRANSITIONAL HOUSING, AND 
 66.1   INDEPENDENT LIVING ASSISTANCE SERVICES FOR HOMELESS YOUTH.] 
 66.2      Subdivision 1.  [DEFINITIONS; COMMISSIONER DUTIES.] (a) 
 66.3   [DEFINITIONS.] The following definitions apply to this section: 
 66.4      (1) "Targeted youth" means children who are ages 16 to 21 
 66.5   and are in out-of-home placement, leaving out-of-home placement, 
 66.6   at risk of becoming homeless, or homeless. 
 66.7      (2) "Safe house" means a facility providing emergency 
 66.8   housing for homeless targeted youth with the goal of reuniting 
 66.9   the family if appropriate and possible. 
 66.10     (3) "Transitional housing" means congregate or cooperative 
 66.11  housing for targeted youth who are transitioning to independent 
 66.12  living. 
 66.13     (4) "Independent living assistance" means services provided 
 66.14  to assist targeted youth who are not living in a safe house or 
 66.15  transitional housing to make the transition to independent 
 66.16  living. 
 66.17     (b) [COMMISSIONER DUTIES.] The commissioner shall issue a 
 66.18  request for proposals from organizations that are knowledgeable 
 66.19  about the needs of homeless targeted youth for the purpose 
 66.20  of providing establishing a system of safe houses and, 
 66.21  transitional housing, and independent living assistance for 
 66.22  homeless such youth.  The commissioner shall appoint a review 
 66.23  committee of up to eight members to evaluate the proposals.  The 
 66.24  review panel must include representation from communities of 
 66.25  color, youth, and other community providers and agency 
 66.26  representatives who understand the needs and problems 
 66.27  of homeless targeted youth.  The commissioner shall also assist 
 66.28  in coordinating funding from federal and state grant programs 
 66.29  and funding available from a variety of sources for efforts to 
 66.30  promote a continuum of services for targeted youth through a 
 66.31  consolidated grant application.  The commissioner shall analyze 
 66.32  the needs of homeless targeted youth and gaps in services 
 66.33  throughout the state and determine how to best serve those needs 
 66.34  within the available funding. 
 66.35     Subd. 2.  [SAFE HOUSES AND TRANSITIONAL HOUSING PROGRAM 
 66.36  SERVICE REQUIREMENTS; PARTICIPATION REQUIREMENTS; LICENSURE OF 
 67.1   INDEPENDENT LIVING ASSISTANCE PROVIDERS.] A safe house provides 
 67.2   emergency housing for homeless youth ranging in age from 13 to 
 67.3   22 with the goal of reuniting the family, if appropriate, 
 67.4   whenever possible.  Transitional housing provides housing for 
 67.5   homeless youth ages 16 to 22 who are transitioning into 
 67.6   independent living.  In developing both types of housing, the 
 67.7   commissioner and the review committee shall try to create a 
 67.8   family atmosphere in a neighborhood or community and, if 
 67.9   possible, provide separate but cooperative homes for males and 
 67.10  females.  It may be necessary, due to licensing restrictions, to 
 67.11  provide separate housing for different age groups.  (a) 
 67.12  [REQUIRED SERVICES.] The following services, or adequate access 
 67.13  to referrals for the following services, must be made available 
 67.14  to the homeless targeted youth participating in the programs 
 67.15  described in subdivision 1: 
 67.16     (1) counseling services for the youth, and their families, 
 67.17  if appropriate, on site, to help with problems that resulted in 
 67.18  contributed to the homelessness or could impede making the 
 67.19  transition to independent living; 
 67.20     (2) job services to help youth find employment in addition 
 67.21  to creating jobs on site, including food service, maintenance, 
 67.22  child care, and tutoring; 
 67.23     (3) health services that are confidential and provide 
 67.24  preventive care services, crisis referrals, and other necessary 
 67.25  health care services; 
 67.26     (4) living skills training to help youth learn how to care 
 67.27  for themselves; and 
 67.28     (5) education services that help youth enroll in academic 
 67.29  programs, if they are currently not in a program.  
 67.30     Enrollment in an academic program is required for residency 
 67.31  in transitional housing. 
 67.32     (b) [ADDITIONAL PARTICIPATION REQUIREMENTS.] (1) Targeted 
 67.33  youth who have current drug or alcohol problems, a recent 
 67.34  history of violent behaviors, or a mental health disorder or 
 67.35  issue that is not being resolved through counseling or treatment 
 67.36  are not eligible to receive the services described in 
 68.1   subdivision 1. 
 68.2      (2) Targeted youth who are not employed, participating in 
 68.3   employment training, or enrolled in an academic program are not 
 68.4   eligible to receive transitional housing or independent living 
 68.5   assistance. 
 68.6      (c) [LICENSURE.] Providers of independent living assistance 
 68.7   services must be licensed under section 245A.22. 
 68.8      Sec. 39.  Minnesota Statutes 1996, section 364.09, is 
 68.9   amended to read: 
 68.10     364.09 [EXCEPTIONS.] 
 68.11     (a) This chapter does not apply to the licensing process 
 68.12  for peace officers; to law enforcement agencies as defined in 
 68.13  section 626.84, subdivision 1, paragraph (h); to fire protection 
 68.14  agencies; to eligibility for a private detective or protective 
 68.15  agent license; to eligibility for a family day care license, a 
 68.16  family foster care license, or a home care provider license the 
 68.17  licensing and background study process under chapter 245A; to 
 68.18  eligibility for school bus driver endorsements; or to 
 68.19  eligibility for special transportation service endorsements.  
 68.20  This chapter also shall not apply to eligibility for juvenile 
 68.21  corrections employment, where the offense involved child 
 68.22  physical or sexual abuse or criminal sexual conduct.  
 68.23     (b) This chapter does not apply to a school district or to 
 68.24  eligibility for a license issued or renewed by the board of 
 68.25  teaching or the state board of education.  
 68.26     (c) Nothing in this section precludes the Minnesota police 
 68.27  and peace officers training board or the state fire marshal from 
 68.28  recommending policies set forth in this chapter to the attorney 
 68.29  general for adoption in the attorney general's discretion to 
 68.30  apply to law enforcement or fire protection agencies. 
 68.31     (d) This chapter does not apply to a license to practice 
 68.32  medicine that has been denied or revoked by the board of medical 
 68.33  practice pursuant to section 147.091, subdivision 1a. 
 68.34     Sec. 40.  [CHILD CARE CENTERS; RULE AMENDMENTS.] 
 68.35     (a) The commissioner shall amend Minnesota Rules, part 
 68.36  9503.0035, subpart 4, with regard to in-service training of 
 69.1   child care center staff as follows: 
 69.2      In-service training must be completed within the license 
 69.3   period for which it is required.  In-service completed by staff 
 69.4   persons as required under this subpart shall be transferable 
 69.5   upon a staff person's change in employment to another child care 
 69.6   program.  License holders shall record all staff in-service 
 69.7   training on forms prescribed by the commissioner. 
 69.8      (b) The commissioner shall amend Minnesota Rules, part 
 69.9   9503.0005, subpart 25, so that "supervision" has the following 
 69.10  meaning: 
 69.11     (1) Except as provided in clause (2), supervision occurs 
 69.12  when a program staff person is within sight and hearing of a 
 69.13  child at all times so that the program staff person can 
 69.14  intervene to protect the health and safety of the child. 
 69.15     (2) When an infant is placed in a crib room to sleep, 
 69.16  supervision occurs when a staff person is within sight or 
 69.17  hearing of the infant.  When supervision of a crib room is 
 69.18  provided by sight or hearing, the center must have a plan to 
 69.19  address the other supervision component. 
 69.20     (c) The commissioner shall amend the definition of 
 69.21  "experience" in Minnesota Rules, chapter 9503, to include paid 
 69.22  or unpaid employment serving children as teacher, assistant 
 69.23  teacher, aide, or student intern in a licensed child care 
 69.24  center; in a public or nonpublic school; or in a program 
 69.25  licensed as a family day care or group family day care provider. 
 69.26     Sec. 41.  [COMMISSIONER OF HEALTH; BACKGROUND STUDIES 
 69.27  REPORT.] 
 69.28     By January 15, 1998, the commissioner of health shall 
 69.29  report to the chairs of the health and human services fiscal 
 69.30  committees of the house and the senate on the costs of 
 69.31  background studies required by Minnesota Statutes, section 
 69.32  245A.04, subdivision 3, with recommendations for providing 
 69.33  funding to cover the costs of these studies. 
 69.34     Sec. 42.  [REPORT ON RULE CONSOLIDATION.] 
 69.35     The commissioner of human services shall report no later 
 69.36  than March 15, 1998, to the chairs of the senate committee on 
 70.1   health and family security, the house committee on health and 
 70.2   human services, the senate health and family security budget 
 70.3   division, and the house health and human services finance 
 70.4   division on the implementation of rule consolidation authorized 
 70.5   by Minnesota Statutes, section 245B.01.  In addition, the report 
 70.6   shall include recommendations as needed to improve the 
 70.7   consolidated rule's effectiveness in providing safeguards for 
 70.8   clients while streamlining the regulatory process.  The 
 70.9   commissioner shall appoint an advisory task force to assist in 
 70.10  developing the report.  The task force membership shall include, 
 70.11  but not be limited to, representatives from provider, advocacy, 
 70.12  and other interested groups.  Department of human services staff 
 70.13  shall not be members of the task force but shall provide 
 70.14  technical assistance as needed. 
 70.15     Sec. 43.  [REPEALER.] 
 70.16     Minnesota Statutes 1996, sections 245A.20; 245A.21; and 
 70.17  252.53, are repealed. 
 70.18     Minnesota Rules, parts 9503.0170, subpart 7; 9525.0215; 
 70.19  9525.0225; 9525.0235; 9525.0243; 9525.0245; 9525.0255; 
 70.20  9525.0265; 9525.0275; 9525.0285; 9525.0295; 9525.0305; 
 70.21  9525.0315; 9525.0325; 9525.0335; 9525.0345; 9525.0355; 
 70.22  9525.0500; 9525.0510; 9525.0520; 9525.0530; 9525.0540; 
 70.23  9525.0550; 9525.0560; 9525.0570; 9525.0580; 9525.0590; 
 70.24  9525.0600; 9525.0610; 9525.0620; 9525.0630; 9525.0640; 
 70.25  9525.0650; 9525.0660; 9525.1240, subpart 1, item E, subitem (6); 
 70.26  9525.1500; 9525.1510; 9525.1520; 9525.1530; 9525.1540; 
 70.27  9525.1550; 9525.1560; 9525.1570, subparts 2, 3, 4, 5, and 6; 
 70.28  9525.1590; 9525.1610; 9525.1620; 9525.1630; 9525.1640; 
 70.29  9525.1650; 9525.1660; 9525.1670; 9525.1680; 9525.1690; 
 70.30  9525.2000; 9525.2010; 9525.2020; 9525.2025; 9525.2030; 
 70.31  9525.2040; 9525.2050; 9525.2060; 9525.2070; 9525.2080; 
 70.32  9525.2090; 9525.2100; 9525.2110; 9525.2120; 9525.2130; 
 70.33  9525.2140; 9555.8000; 9555.8100; 9555.8200; 9555.8300; 
 70.34  9555.8400; and 9555.8500, are repealed. 
 70.35     Sec. 44.  [EFFECTIVE DATE.] 
 70.36     Sections 1 to 28 and 37 to 42 are effective the day 
 71.1   following final enactment. 
 71.2      Sections 29 to 36 and 43 are effective January 1, 1998.