1.1                          A bill for an act
  1.2             relating to human services; providing time lines for 
  1.3             the transition to a new case-mix system based upon the 
  1.4             federal minimum data set; requiring education and 
  1.5             training programs and a report to the legislature; 
  1.6             amending Minnesota Statutes 1999 Supplement, section 
  1.7             256B.435, by adding a subdivision. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Minnesota Statutes 1999 Supplement, section 
  1.10  256B.435, is amended by adding a subdivision to read: 
  1.11     Subd. 8.  [CASE-MIX ADJUSTMENTS BASED UPON THE MINIMUM DATA 
  1.12  SET.] (a) The performance-based contracting system must include 
  1.13  case-mix adjustments that are based upon the federally mandated 
  1.14  minimum data set assessment instrument.  These case-mix 
  1.15  adjustments must be incorporated into the performance-based 
  1.16  contracting system beginning on or after July 1, 2001, but no 
  1.17  later than January 1, 2002, and must have a budget neutral 
  1.18  financial impact on each facility at the time of implementation, 
  1.19  relative to case-mix adjustments based upon the current state 
  1.20  case-mix. 
  1.21     (b) The commissioner, in consultation with the commissioner 
  1.22  of health and the advisory committee established under section 
  1.23  256B.434, subdivision 13, shall report to the legislature by 
  1.24  December 15, 2000, on plans for the transition to and 
  1.25  implementation of a case-mix system based upon the minimum data 
  1.26  set assessment instrument.  The report must: 
  2.1      (1) identify the specific case-mix adjustment system to be 
  2.2   used under performance-based contracting, and provide a 
  2.3   description and analysis of the differences between this 
  2.4   case-mix adjustment system and the current case-mix system; 
  2.5      (2) provide a schedule for the transition to and 
  2.6   implementation of the case-mix system that is consistent with 
  2.7   the time lines specified in this subdivision; 
  2.8      (3) provide a schedule for case-mix assessments; 
  2.9      (4) describe the procedures for the reconsideration of 
  2.10  case-mix determinations and auditing of assessments that will be 
  2.11  used under the new case-mix system; 
  2.12     (5) include a plan for training and educating nursing 
  2.13  facility providers and residents; 
  2.14     (6) identify any changes in preadmission screening and home 
  2.15  and community-based programs necessary to conform to changes in 
  2.16  the case-mix system; 
  2.17     (7) identify the process to be used to ensure budget 
  2.18  neutrality at the facility level at the time of implementation; 
  2.19  and 
  2.20     (8) provide draft legislation for any statutory changes 
  2.21  necessary to implement the new case-mix system. 
  2.22     (c) The commissioner, in cooperation with the commissioner 
  2.23  of health, shall: 
  2.24     (1) make available to nursing facility employees training 
  2.25  on the implementation and administration of the new case-mix 
  2.26  system; and 
  2.27     (2) make available to nursing facility residents and 
  2.28  consumers easily understandable information on the new case-mix 
  2.29  system and the impact of the transition on nursing facility 
  2.30  residents.