1.1                          A bill for an act 
  1.2             relating to human services; modifying sanctions and 
  1.3             program eligibility requirements for noncompliant MFIP 
  1.4             recipients; amending Minnesota Statutes 1998, section 
  1.5             256J.15, by adding a subdivision; and 256.46, by 
  1.6             adding a subdivision; Minnesota Statutes 1999 
  1.7             Supplement, section 256J.46, subdivisions 1, 2, and 
  1.8             2a; repealing Minnesota Statutes 1998, section 
  1.9             256J.46, subdivision 1a. 
  1.10  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.11     Section 1.  Minnesota Statutes 1998, section 256J.15, is 
  1.12  amended by adding a subdivision to read: 
  1.13     Subd. 3.  [ELIGIBILITY AFTER DISQUALIFICATION DUE TO 
  1.14  NONCOMPLIANCE.] (a) An applicant who is a member of an 
  1.15  assistance unit that was disqualified from receiving MFIP under 
  1.16  section 256J.46, subdivision 1, paragraph (b), clause (3), and 
  1.17  who applies for MFIP assistance within six months of the date of 
  1.18  the disqualification is considered to be a new applicant unit 
  1.19  for purposes of the property limitations under section 256J.20 
  1.20  and the payment of assistance provisions under section 256J.24, 
  1.21  subdivision 8.  The county agency must also use the initial 
  1.22  income test under section 256J.21, subdivision 3, in determining 
  1.23  the applicant's eligibility for assistance. 
  1.24     (b) Notwithstanding section 256J.24, subdivisions 5 to 7 
  1.25  and 9, for an applicant who is eligible for MFIP under this 
  1.26  subdivision, the assistance unit's grant shall be reduced by ten 
  1.27  percent of the applicable MFIP standard of need for an 
  2.1   assistance unit of the same size for each of the first three 
  2.2   months on MFIP, with the residual amount of the grant paid to 
  2.3   the assistance unit. 
  2.4      Sec. 2.  Minnesota Statutes 1999 Supplement, section 
  2.5   256J.46, subdivision 1, is amended to read: 
  2.6      Subdivision 1.  [SANCTIONS FOR PARTICIPANTS NOT COMPLYING 
  2.7   WITH PROGRAM REQUIREMENTS.] (a) A participant who fails without 
  2.8   good cause to comply with the requirements of this chapter, and 
  2.9   who is not subject to a sanction under subdivision 2, shall be 
  2.10  subject to a sanction as provided in this subdivision. 
  2.11     A sanction under this subdivision becomes effective the 
  2.12  month following the month in which a required notice is given.  
  2.13  A sanction must not be imposed when a participant comes into 
  2.14  compliance with the requirements for orientation under section 
  2.15  256J.45 or third-party liability for medical services under 
  2.16  section 256J.30, subdivision 10, prior to the effective date of 
  2.17  the sanction.  A sanction must not be imposed when a participant 
  2.18  comes into compliance with the requirements for employment and 
  2.19  training services under sections 256J.49 to 256J.72 ten days 
  2.20  prior to the effective date of the sanction.  For purposes of 
  2.21  this subdivision, each month that a participant fails to comply 
  2.22  with a requirement of this chapter shall be considered a 
  2.23  separate occurrence of noncompliance.  A participant who has had 
  2.24  one or more sanctions imposed must remain in compliance with the 
  2.25  provisions of this chapter for six months in order for a 
  2.26  subsequent occurrence of noncompliance to be considered a first 
  2.27  occurrence.  
  2.28     (b) Sanctions for noncompliance shall be imposed as follows:
  2.29     (1) For the first occurrence of noncompliance by a 
  2.30  participant in a single-parent household or by one participant 
  2.31  in a two-parent household an assistance unit, the assistance 
  2.32  unit's grant shall be reduced by ten percent of the MFIP 
  2.33  standard of need for an assistance unit of the same size with 
  2.34  the residual grant paid to the participant.  The reduction in 
  2.35  the grant amount must be in effect for a minimum of one month 
  2.36  and shall be removed in the month following the month that the 
  3.1   participant returns to compliance.  
  3.2      (2) For a second or subsequent occurrence of noncompliance 
  3.3   by a participant in an assistance unit, or when both each of the 
  3.4   participants in a two-parent household are out of 
  3.5   compliance assistance unit have a first occurrence of 
  3.6   noncompliance at the same time, the assistance unit's shelter 
  3.7   costs shall be vendor paid up to the amount of the cash portion 
  3.8   of the MFIP grant for which the participant's assistance unit is 
  3.9   eligible.  At county option, the assistance unit's utilities may 
  3.10  also be vendor paid up to the amount of the cash portion of the 
  3.11  MFIP grant remaining after vendor payment of the assistance 
  3.12  unit's shelter costs.  The residual amount of the grant after 
  3.13  vendor payment, if any, must be reduced by an amount equal to 30 
  3.14  percent of the MFIP standard of need for an assistance unit of 
  3.15  the same size before the residual grant is paid to the 
  3.16  assistance unit.  The reduction in the grant amount must be in 
  3.17  effect for a minimum of one month and shall be removed in the 
  3.18  month following the month that a the participant in a one-parent 
  3.19  household assistance unit returns to compliance.  In a 
  3.20  two-parent household assistance unit, the grant reduction must 
  3.21  be in effect for a minimum of one month and shall be removed in 
  3.22  the month following the month both participants return to 
  3.23  compliance.  The vendor payment of shelter costs and, if 
  3.24  applicable, utilities shall be removed six months after the 
  3.25  month in which the participant or participants return to 
  3.26  compliance. 
  3.27     (3) For a third occurrence of noncompliance, the assistance 
  3.28  unit is disqualified from receiving MFIP assistance, both the 
  3.29  cash and food portions.  This disqualification must be in effect 
  3.30  for a minimum of one full month.  A county may not impose a 
  3.31  disqualification under this clause unless the review required 
  3.32  under paragraph (c) has occurred. 
  3.33     (c) No later than during the second month that When a 
  3.34  sanction under paragraph (b), clause (2), is in effect due to 
  3.35  noncompliance with employment services, the participant's case 
  3.36  file must be reviewed to determine if: 
  4.1      (i) the continued noncompliance can be explained and 
  4.2   mitigated by providing a needed preemployment activity, as 
  4.3   defined in section 256J.49, subdivision 13, clause (16); 
  4.4      (ii) the participant qualifies for a good cause exception 
  4.5   under section 256J.57; or 
  4.6      (iii) the participant qualifies for an exemption under 
  4.7   section 256J.56. 
  4.8      When possible, the case file review must be conducted by 
  4.9   county staff or employment and training service provider staff 
  4.10  other than the participant's current job counselor. 
  4.11     If the lack of an identified activity can explain the 
  4.12  noncompliance, the county must work with the participant to 
  4.13  provide the identified activity, and the county must restore the 
  4.14  participant's grant amount to the full amount for which the 
  4.15  assistance unit is eligible.  The grant must be restored 
  4.16  retroactively to the first day of the month in which the 
  4.17  participant was found to lack preemployment activities or to 
  4.18  qualify for an exemption or good cause exception. 
  4.19     If the participant is found to qualify for a good cause 
  4.20  exception or an exemption, the county must restore the 
  4.21  participant's grant to the full amount for which the assistance 
  4.22  unit is eligible.  
  4.23     Sec. 3.  Minnesota Statutes 1999 Supplement, section 
  4.24  256J.46, subdivision 2, is amended to read: 
  4.25     Subd. 2.  [SANCTIONS FOR REFUSAL TO COOPERATE WITH SUPPORT 
  4.26  REQUIREMENTS.] The grant of an MFIP caregiver who refuses to 
  4.27  cooperate, as determined by the child support enforcement 
  4.28  agency, with support requirements under section 256.741, shall 
  4.29  be subject to sanction as specified in this subdivision.  The 
  4.30  assistance unit's grant must be reduced by 25 percent of the 
  4.31  applicable MFIP standard of need.  The residual amount of the 
  4.32  grant, if any, must be paid to the caregiver.  A sanction under 
  4.33  this subdivision becomes effective the first month following the 
  4.34  month in which a required notice is given.  A sanction must not 
  4.35  be imposed when a caregiver comes into compliance with the 
  4.36  requirements under section 256.741 prior to the effective date 
  5.1   of the sanction.  The sanction shall be removed in the month 
  5.2   following the month that the caregiver cooperates with the 
  5.3   support requirements.  Each month that an MFIP caregiver fails 
  5.4   to comply with the requirements of section 256.741 must be 
  5.5   considered a separate occurrence of noncompliance.  An MFIP 
  5.6   caregiver who has had one or more sanctions imposed under this 
  5.7   subdivision must remain in compliance with the requirements of 
  5.8   section 256.741 for six months in order for a subsequent 
  5.9   sanction to be considered a first occurrence. 
  5.10     Sec. 4.  Minnesota Statutes 1999 Supplement, section 
  5.11  256J.46, subdivision 2a, is amended to read: 
  5.12     Subd. 2a.  [DUAL SANCTIONS.] (a) Notwithstanding the 
  5.13  provisions of subdivisions 1 and 2, for a participant subject to 
  5.14  a sanction for refusal to comply with child support requirements 
  5.15  under subdivision 2 and subject to a concurrent sanction for 
  5.16  refusal to cooperate with other program requirements under 
  5.17  subdivision 1, sanctions shall be imposed in the manner 
  5.18  prescribed in this subdivision. 
  5.19     A participant who has had one or more sanctions imposed 
  5.20  under this subdivision must remain in compliance with the 
  5.21  provisions of this chapter for six months in order for a 
  5.22  subsequent occurrence of noncompliance to be considered a first 
  5.23  occurrence.  Any vendor payment of shelter costs or utilities 
  5.24  under this subdivision must remain in effect for six months 
  5.25  after the month in which the participant is no longer subject to 
  5.26  sanction under subdivision 1. 
  5.27     (b) If the participant was subject to sanction for: 
  5.28     (i) noncompliance under subdivision 1 before being subject 
  5.29  to sanction for noncooperation under subdivision 2; or 
  5.30     (ii) noncooperation under subdivision 2 before being 
  5.31  subject to sanction for noncompliance under subdivision 1; 
  5.32  under either subdivision 1 or 2 before being subject to sanction 
  5.33  under the other of those subdivisions, the participant shall be 
  5.34  sanctioned as provided in subdivision 1, paragraph (b), clause 
  5.35  clauses (2) and (3), and the requirement that the county conduct 
  5.36  a review as specified in subdivision 1, paragraph (c), remains 
  6.1   in effect. 
  6.2      (c) A participant who first becomes subject to sanction 
  6.3   under both subdivisions 1 and 2 in the same month is subject to 
  6.4   sanction as follows: 
  6.5      (i) in the first month of noncompliance and noncooperation, 
  6.6   the participant's grant must be reduced by 25 percent of the 
  6.7   applicable MFIP standard of need, with any residual amount paid 
  6.8   to the participant; 
  6.9      (ii) in the second and subsequent months of noncompliance 
  6.10  and noncooperation, the participant shall be sanctioned as 
  6.11  provided in subdivision 1, paragraph (b), clause clauses (2) and 
  6.12  (3). 
  6.13     The requirement that the county conduct a review as 
  6.14  specified in subdivision 1, paragraph (c), remains in effect. 
  6.15     (d) A participant remains subject to sanction under 
  6.16  subdivision 2 if the participant: 
  6.17     (i) returns to compliance and is no longer subject to 
  6.18  sanction under subdivision 1; or 
  6.19     (ii) has the sanction under subdivision 1, paragraph (b), 
  6.20  removed upon completion of the review under subdivision 1, 
  6.21  paragraph (c). 
  6.22     A participant remains subject to sanction under subdivision 
  6.23  1, paragraph (b), if the participant cooperates and is no longer 
  6.24  subject to sanction under subdivision 2. 
  6.25     Sec. 5.  Minnesota Statutes 1998, section 256J.46, is 
  6.26  amended by adding a subdivision to read: 
  6.27     Subd. 3.  [SANCTION STATUS AFTER DISQUALIFICATION.] An 
  6.28  applicant who is a member of an assistance unit that was 
  6.29  disqualified from receiving MFIP under subdivision 1, paragraph 
  6.30  (b), clause (3), who applies for MFIP assistance within six 
  6.31  months of the date of the disqualification, and who is 
  6.32  determined to be eligible for MFIP assistance, is considered to 
  6.33  have a first occurrence of noncompliance.  The applicant must 
  6.34  remain in compliance with the provisions of this chapter in 
  6.35  order for a subsequent occurrence of noncompliance to be 
  6.36  considered a first occurrence. 
  7.1      Sec. 6.  [REPEALER.] 
  7.2      Minnesota Statutes 1998, section 256J.46, subdivision 1a, 
  7.3   is repealed. 
  7.4      Sec. 7.  [EFFECTIVE DATE.] 
  7.5      Sections 1 to 6 are effective July 1, 2000.