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SF 972

1st Engrossment - 92nd Legislature (2021 - 2022) Posted on 04/09/2021 01:53pm

KEY: stricken = removed, old language.
underscored = added, new language.
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A bill for an act
relating to commerce; appropriating money for the Department of Commerce;
modifying the evaluation process for mandated health benefit proposals; requiring
the commissioner of commerce to apply for continuation of the state innovation
waiver; requiring reports; amending Minnesota Statutes 2020, sections 62J.03,
subdivision 4; 62J.26, subdivisions 1, 2, 3, 4, 5; Laws 2017, chapter 13, article 1,
section 15, as amended.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

COMMERCE AND CONSUMER PROTECTION FINANCE

Section 1. new text begin APPROPRIATIONS.
new text end

new text begin (a) The sums shown in the columns marked "Appropriations" are appropriated to the
agencies and for the purposes specified in this article. The appropriations are from the
general fund, or another named fund, and are available for the fiscal years indicated for
each purpose. The figures "2022" and "2023" used in this article mean that the appropriations
listed under them are available for the fiscal year ending June 30, 2022, or June 30, 2023,
respectively. "The first year" is fiscal year 2022. "The second year" is fiscal year 2023. "The
biennium" is fiscal years 2022 and 2023.
new text end

new text begin (b) If an appropriation in this article is enacted more than once in the 2021 regular or
special legislative sessions, the appropriation must be given effect only once.
new text end

new text begin APPROPRIATIONS
new text end
new text begin Available for the Year
new text end
new text begin Ending June 30
new text end
new text begin 2022
new text end
new text begin 2023
new text end

Sec. 2. new text begin DEPARTMENT OF COMMERCE
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 22,464,000
new text end
new text begin $
new text end
new text begin 21,354,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2022
new text end
new text begin 2023
new text end
new text begin General
new text end
new text begin 21,703,000
new text end
new text begin 20,593,000
new text end
new text begin Workers'
Compensation
new text end
new text begin 761,000
new text end
new text begin 761,000
new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end

new text begin Financial Institutions
new text end

new text begin 1,390,000
new text end
new text begin 1,390,000
new text end

new text begin $400,000 each year is for a grant to Prepare
and Prosper to develop, market, evaluate, and
distribute a financial services inclusion
program that (1) assists low-income and
financially underserved populations to build
savings and strengthen credit, and (2) provides
services to assist low-income and financially
underserved populations to become more
financially stable and secure. Money
remaining after the first year is available for
the second year.
new text end

new text begin Subd. 3. new text end

new text begin Administrative Services
new text end

new text begin 9,122,000
new text end
new text begin 8,498,000
new text end

new text begin (a) $384,000 each year is for additional
compliance efforts with unclaimed property.
The commissioner may issue contracts for
these services.
new text end

new text begin (b) $5,000 each year is for Real Estate
Appraisal Advisory Board compensation
pursuant to Minnesota Statutes, section
82B.073, subdivision 2a.
new text end

new text begin (c) $350,000 each year is for system
modernization and cybersecurity upgrades for
the unclaimed property program.
new text end

new text begin (d) $564,000 each year is for additional
operations of the unclaimed property program.
new text end

new text begin (e) $832,000 in fiscal year 2022 and $208,000
in fiscal year 2023 are for IT system
modernization. The base amount in fiscal year
2024 and beyond is $0.
new text end

new text begin Subd. 4. new text end

new text begin Enforcement
new text end

new text begin 5,268,000
new text end
new text begin 5,268,000
new text end
new text begin Appropriations by Fund
new text end
new text begin General
new text end
new text begin 5,067,000
new text end
new text begin 5,067,000
new text end
new text begin Workers'
Compensation
new text end
new text begin 201,000
new text end
new text begin 201,000
new text end

new text begin (a) $279,000 each year is for health care
enforcement.
new text end

new text begin (b) $201,000 each year is from the workers'
compensation fund.
new text end

new text begin Subd. 5. new text end

new text begin Insurance
new text end

new text begin 6,424,000
new text end
new text begin 6,093,000
new text end
new text begin Appropriations by Fund
new text end
new text begin General
new text end
new text begin 5,563,000
new text end
new text begin 5,533,000
new text end
new text begin Workers'
Compensation
new text end
new text begin 560,000
new text end
new text begin 560,000
new text end

new text begin (a) $642,000 each year is for health insurance
rate review staffing.
new text end

new text begin (b) $412,000 each year is for actuarial work
to prepare for implementation of
principle-based reserves.
new text end

new text begin (c) $30,000 in fiscal year 2022 is to pay for
two years of membership dues for Minnesota
to the National Conference of Insurance
Legislators.
new text end

new text begin (d) $425,000 each year is for licensing
activities under Minnesota Statutes, chapter
62W. Of this amount, $246,000 each year
must be used only for staff costs associated
with two enforcement investigators to enforce
Minnesota Statutes, chapter 62W.
new text end

new text begin (e) $560,000 each year is from the workers'
compensation fund.
new text end

new text begin Subd. 6. new text end

new text begin Mandated Health Benefit Proposals
Evaluation
new text end

new text begin 105,000
new text end
new text begin 105,000
new text end

new text begin $105,000 each year is to evaluate legislation
for new mandated health benefits under
Minnesota Statutes, section 62J.26, as
amended by article 2.
new text end

new text begin Subd. 7. new text end

new text begin Continuation of State Innovation
Waiver
new text end

new text begin 155,000
new text end
new text begin -0-
new text end

new text begin $155,000 in fiscal year 2022 is to prepare and
submit an application for continuance of the
state innovation waiver pursuant to article 3,
section 2.
new text end

Sec. 3. new text begin DEPARTMENT OF EDUCATION
new text end

new text begin Subdivision 1. new text end

new text begin Transfer
new text end

new text begin $300,000 in fiscal year 2022 is transferred
from the consumer education account in the
special revenue fund to the general fund.
new text end

new text begin Subd. 2. new text end

new text begin Appropriation
new text end

new text begin $
new text end
new text begin 150,000
new text end
new text begin $
new text end
new text begin 150,000
new text end

new text begin (a) $150,000 in fiscal year 2022 and $150,000
in fiscal year 2023 are for grants to the
Minnesota Council on Economic Education.
This is a onetime appropriation.
new text end

new text begin (b) The funds under paragraph (a) must be
used by the council to:
new text end

new text begin (1) provide professional development to
Minnesota's kindergarten through grade 12
teachers implementing state graduation
standards in learning areas related to economic
education;
new text end

new text begin (2) support the direct-to-student ancillary
economic and personal finance programs that
Minnesota teachers supervise and coach; and
new text end

new text begin (3) provide support to geographically diverse
affiliated higher education-based centers for
economic education, including those based at
Minnesota State University Mankato,
Minnesota State University Moorhead, St.
Cloud State University, St. Catherine
University, and the University of St. Thomas,
as their work relates to activities in clauses (1)
and (2).
new text end

new text begin (c) By February 15 of each year following the
receipt of a grant, the Minnesota Council on
Economic Education must report to the
commissioner of education on the number and
type of in-person and online teacher
professional development opportunities
provided by the Minnesota Council on
Economic Education or its affiliated state
centers. The report must include a description
of the content, length, and location of the
programs; the number of preservice and
licensed teachers receiving professional
development through each of these
opportunities; and a summary of evaluations
of professional opportunities for teachers.
new text end

new text begin (d) On August 15, 2021, the Department of
Education must pay the full amount of the
grant for fiscal year 2022 to the Minnesota
Council on Economic Education. On August
15, 2022, the Department of Education must
pay the full amount of the grant for fiscal year
2023 to the Minnesota Council on Economic
Education. The Minnesota Council on
Economic Education must submit its fiscal
reporting in the form and manner specified by
the commissioner. The commissioner may
request additional information as necessary.
new text end

Sec. 4. new text begin MINNESOTA MANAGEMENT AND
BUDGET
new text end

new text begin $
new text end
new text begin 49,000
new text end
new text begin $
new text end
new text begin 49,000
new text end

new text begin $49,000 each year is for consultation with the
commissioner of commerce to evaluate
legislation for new mandated health benefits
under Minnesota Statutes, section 62J.26, as
amended by article 2.
new text end

Sec. 5. new text begin DEPARTMENT OF HEALTH
new text end

new text begin $
new text end
new text begin 37,000
new text end
new text begin $
new text end
new text begin 37,000
new text end

new text begin $37,000 each year is for consultation with the
commissioner of commerce to evaluate
legislation for new mandated health benefits
under Minnesota Statutes, section 62J.26, as
amended by article 2.
new text end

Sec. 6. new text begin TRANSFER.
new text end

new text begin The commissioner of management and budget shall transfer $150,000,000 in fiscal year
2024 from the general fund to the premium security plan account in Minnesota Statutes,
section 62E.25, subdivision 1.
new text end

Sec. 7. new text begin CANCELLATION; FISCAL YEAR 2021.
new text end

new text begin $1,220,000 of the fiscal year 2021 general fund appropriation under Laws 2019, First
Special Session chapter 7, article 1, section 6, subdivision 3, is canceled.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

ARTICLE 2

MANDATED HEALTH BENEFIT PROPOSALS EVALUATION

Section 1.

Minnesota Statutes 2020, section 62J.03, subdivision 4, is amended to read:


Subd. 4.

Commissioner.

"Commissioner" means the commissioner of healthnew text begin , unless
another commissioner is specified
new text end .

Sec. 2.

Minnesota Statutes 2020, section 62J.26, subdivision 1, is amended to read:


Subdivision 1.

Definitions.

For purposes of this section, the following terms have the
meanings given unless the context otherwise requires:

(1) "commissioner" means the commissioner of commerce;

new text begin (2) "enrollee" has the meaning given in section 62Q.01, subdivision 2b;
new text end

deleted text begin (2)deleted text end new text begin (3)new text end "health plan" means a health plan as defined in section 62A.011, subdivision 3,
but includes coverage listed in clauses (7) and (10) of that definition;

deleted text begin (3)deleted text end new text begin (4)new text end "mandated health benefit proposal" new text begin or "proposal" new text end means a proposal that would
statutorily require a health plan new text begin company new text end to do the following:

(i) provide coverage or increase the amount of coverage for the treatment of a particular
disease, condition, or other health care need;

(ii) provide coverage or increase the amount of coverage of a particular type of health
care treatment or service or of equipment, supplies, or drugs used in connection with a health
care treatment or service; deleted text begin or
deleted text end

(iii) provide coverage for care delivered by a specific type of providerdeleted text begin .deleted text end new text begin ;
new text end

new text begin (iv) require a particular benefit design or impose conditions on cost-sharing for:
new text end

new text begin (A) the treatment of a particular disease, condition, or other health care need;
new text end

new text begin (B) a particular type of health care treatment or service; or
new text end

new text begin (C) the provision of medical equipment, supplies, or a prescription drug used in
connection with treating a particular disease, condition, or other health care need; or
new text end

new text begin (v) impose limits or conditions on a contract between a health plan company and a health
care provider.
new text end

"Mandated health benefit proposal" does not include health benefit proposals amending
the scope of practice of a licensed health care professional.

Sec. 3.

Minnesota Statutes 2020, section 62J.26, subdivision 2, is amended to read:


Subd. 2.

Evaluation process and content.

(a) The commissioner, in consultation with
the commissioners of health and management and budget, must evaluate new text begin all new text end mandated health
benefit proposals as provided under subdivision 3.

(b) The purpose of the evaluation is to provide the legislature with a complete and timely
analysis of all ramifications of any mandated health benefit proposal. The evaluation must
include, in addition to other relevant information, the followingnew text begin to the extent applicablenew text end :

(1) scientific and medical information on the deleted text begin proposed health benefitdeleted text end new text begin mandated health
benefit proposal
new text end , on the potential for harm or benefit to the patient, and on the comparative
benefit or harm from alternative forms of treatmentnew text begin , and must include the results of at least
one professionally accepted and controlled trial comparing the medical consequences of
the proposed therapy, alternative therapy, and no therapy
new text end ;

(2) public health, economic, and fiscal impacts of the deleted text begin proposed mandatedeleted text end new text begin mandated health
benefit proposal
new text end on persons receiving health services in Minnesota, on the relative
cost-effectiveness of the deleted text begin benefitdeleted text end new text begin proposalnew text end , and on the health care system in general;

(3) the extent to which the new text begin treatment, new text end servicenew text begin , equipment, or drugnew text end is generally utilized
by a significant portion of the population;

(4) the extent to which insurance coverage for the deleted text begin proposed mandated benefitdeleted text end new text begin mandated
health benefit proposal
new text end is already generally available;

new text begin (5) the extent to which the mandated health benefit proposal, by payer category, would
apply to the benefits offered to the payer's enrollees;
new text end

deleted text begin (5)deleted text end new text begin (6)new text end the extent to which the deleted text begin mandated coveragedeleted text end new text begin mandated health benefit proposalnew text end will
increase or decrease the cost of the new text begin treatment, new text end servicenew text begin , equipment, or drugnew text end ; deleted text begin and
deleted text end

new text begin (7) the extent to which the mandated health benefit proposal may increase enrollee
premiums; and
new text end

new text begin (8) if the proposal applies to a qualified health plan as defined in section 62A.011,
subdivision 7, the cost to the state to defray the cost of the mandated health benefit proposal
using commercial market reimbursement rates in accordance with Code of Federal
Regulations, title 45, section 155.70.
new text end

deleted text begin (6)deleted text end new text begin (c)new text end The commissioner deleted text begin maydeleted text end new text begin shallnew text end consider actuarial analysis done by health deleted text begin insurersdeleted text end new text begin
plan companies and any other proponent or opponent of the mandated health benefit proposal
new text end
in determining the cost of the deleted text begin proposed mandated benefitdeleted text end new text begin proposalnew text end .

deleted text begin (c)deleted text end new text begin (d)new text end The commissioner must summarize the nature and quality of available information
on these issues, and, if possible, must provide preliminary information to the public. The
commissioner may conduct research on these issues or may determine that existing research
is sufficient to meet the informational needs of the legislature. The commissioner may seek
the assistance and advice of researchers, community leaders, or other persons or organizations
with relevant expertise.

Sec. 4.

Minnesota Statutes 2020, section 62J.26, subdivision 3, is amended to read:


Subd. 3.

deleted text begin Requestsdeleted text end new text begin Requirementsnew text end for evaluation.

(a) deleted text begin Whenever a legislative measure
containing a mandated health benefit proposal is introduced as a bill or offered as an
amendment to a bill, or is likely to be introduced as a bill or offered as an amendment, a
deleted text end new text begin
No later than August 1 of the year preceding the legislative session in which a legislator is
planning on introducing a bill containing a mandated health benefit proposal, or is planning
on offering an amendment to a bill that adds a mandated health benefit, the prospective
author must notify the chair of one of the standing legislative committees that have
jurisdiction over the subject matter of the proposal. Once notification is received, the
new text end chair
deleted text begin of any standing legislative committee that has jurisdiction over the subject matter of the
proposal may request that
deleted text end new text begin must notifynew text end the commissioner deleted text begin completedeleted text end new text begin thatnew text end an evaluation of deleted text begin thedeleted text end new text begin
a mandated health benefit
new text end proposal deleted text begin under this section, todeleted text end new text begin is required to be completed in
accordance with this section in order to
new text end inform deleted text begin any committee of floordeleted text end new text begin the legislature before
any
new text end action new text begin is taken on the proposal new text end by either house of the legislature.

(b) The commissioner must conduct an evaluation described in subdivision 2 of each
mandated health benefit proposal for which an evaluation is deleted text begin requesteddeleted text end new text begin requirednew text end under
paragraph (a)deleted text begin , unless the commissioner determines under paragraph (c) or subdivision 4
that priorities and resources do not permit its evaluation
deleted text end .

(c) If deleted text begin requests fordeleted text end new text begin thenew text end evaluation of multiple proposals are deleted text begin receiveddeleted text end new text begin requirednew text end , the
commissioner must consult with the chairs of the standing legislative committees having
jurisdiction over the subject matter of the mandated health benefit proposals to prioritize
the deleted text begin requestsdeleted text end new text begin evaluationsnew text end and establish a reporting date for each proposal to be evaluated.
deleted text begin The commissioner is not required to direct an unreasonable quantity of the commissioner's
resources to these evaluations.
deleted text end

Sec. 5.

Minnesota Statutes 2020, section 62J.26, subdivision 4, is amended to read:


Subd. 4.

Sources of funding.

(a) The commissioner deleted text begin needdeleted text end new text begin shallnew text end not use any funds for
purposes of this section other than as provided in this subdivision or as specified in an
appropriation.

(b) The commissioner may seek and accept funding from sources other than the state to
pay for evaluations under this section to supplement or replace state appropriations. Any
money received under this paragraph must be deposited in the state treasury, credited to a
separate account for this purpose in the special revenue fund, and is appropriated to the
commissioner for purposes of this section.

(c) If deleted text begin a request fordeleted text end an evaluation new text begin is required new text end under this section deleted text begin has been madedeleted text end , the
commissioner may use for purposes of the evaluation:

(1) any funds appropriated to the commissioner specifically for purposes of this section;
or

(2) funds available under paragraph (b), if use of the funds for evaluation of that mandated
health benefit proposal is consistent with any restrictions imposed by the source of the funds.

(d) The commissioner must ensure that the source of the funding has no influence on
the process or outcome of the evaluation.

Sec. 6.

Minnesota Statutes 2020, section 62J.26, subdivision 5, is amended to read:


Subd. 5.

Report to legislature.

The commissioner must submit a written report on the
evaluation to the deleted text begin legislaturedeleted text end new text begin author of the proposal and to the chairs and ranking minority
members of the legislative committees with jurisdiction over health insurance policy and
finance
new text end no later than 180 days after the deleted text begin request. The report must be submitted in compliance
with sections 3.195 and 3.197
deleted text end new text begin commissioner receives notification from a chair as required
under subdivision 3
new text end .

ARTICLE 3

MINNESOTA PREMIUM SECURITY PLAN

Section 1.

Laws 2017, chapter 13, article 1, section 15, as amended by Laws 2017, First
Special Session chapter 6, article 5, section 10, and Laws 2019, First Special Session chapter
9, article 8, section 19, is amended to read:


Sec. 15. MINNESOTA PREMIUM SECURITY PLAN FUNDING.

(a) The Minnesota Comprehensive Health Association shall fund the operational and
administrative costs and reinsurance payments of the Minnesota security plan and association
using the following amounts deposited in the premium security plan account in Minnesota
Statutes, section 62E.25, subdivision 1, in the following order:

(1) any federal funding available;

(2) funds deposited under article 1, sections 12 and 13;

(3) any state funds from the health care access fund; and

(4) any state funds from the general fund.

(b) The association shall transfer from the premium security plan account any remaining
state funds not used for the Minnesota premium security plan by June 30, deleted text begin 2023deleted text end new text begin 2025new text end , to the
commissioner of commerce. Any amount transferred to the commissioner of commerce
shall be deposited in the health care access fund in Minnesota Statutes, section 16A.724.

(c) The Minnesota Comprehensive Health Association may not spend more than
$271,000,000 for benefit year 2018 and not more than $271,000,000 for benefit year 2019
for the operational and administrative costs of, and reinsurance payments under, the
Minnesota premium security plan.

Sec. 2. new text begin CONTINUATION OF STATE INNOVATION WAIVER.
new text end

new text begin Subdivision 1. new text end

new text begin Submission of waiver continuation application. new text end

new text begin The commissioner of
commerce shall apply to the secretary of health and human services under United States
Code, title 42, section 18052, for a continuation of the state innovation waiver previously
granted to continue the Minnesota premium security plan for benefit years beginning January
1, 2023, and future years, to maximize federal funding. The waiver continuation application
must clearly state that operation of the Minnesota premium security plan after the 2022
benefit year is contingent on approval of the waiver continuation request.
new text end

new text begin Subd. 2. new text end

new text begin Consultation. new text end

new text begin In preparing the waiver continuation application, the
commissioner shall consult with the commissioner of human services, the commissioner of
health, and the MNsure board.
new text end

new text begin Subd. 3. new text end

new text begin Application timelines; notification. new text end

new text begin The commissioner shall submit the waiver
continuation application to the secretary of health and human services on or before June
15, 2021. The commissioner shall notify the chairs and ranking minority members of the
legislative committees with jurisdiction over health and human services and insurance, and
the board of directors of the Minnesota Comprehensive Health Association, of any federal
actions regarding the waiver continuation application.
new text end

new text begin Subd. 4. new text end

new text begin Minnesota premium security plan administration. new text end

new text begin (a) The Minnesota
Comprehensive Health Association must administer the Minnesota premium security plan
through the 2022 benefit year.
new text end

new text begin (b) The Minnesota Comprehensive Health Association must administer the Minnesota
premium security plan through the 2023 benefit year, provided that the waiver continuation
application described in this section is granted.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end