1997 Minnesota Statutes

CHAPTER 254B. Chemical dependency treatment

     254B.01 Definitions. 

    Subdivision 1.    Applicability.  The definitions in 
 this section apply to Laws 1986, chapter 394, sections 8 to 20. 

    Subd. 2.    American Indian.  For purposes of services 
 provided under section 254B.09, subdivision 7, "American Indian" 
 means a person who is a member of an Indian tribe, and the 
 commissioner shall use the definitions of "Indian" and "Indian 
 tribe" and "Indian organization" provided in Public Law Number 
 93-638.  For purposes of services provided under section 
 254B.09, subdivision 4, "American Indian" means a resident of 
 federally recognized tribal lands who is recognized as an Indian 
 person by the federally recognized tribal governing body. 

    Subd. 3.    Chemical dependency services.  "Chemical 
 dependency services" means a planned program of care for the 
 treatment of chemical dependency or chemical abuse to minimize 
 or prevent further chemical abuse by the person.  Diagnostic, 
 evaluation, prevention, referral, detoxification, and aftercare 
 services that are not part of a program of care licensable as a 
 residential or nonresidential chemical dependency treatment 
 program are not chemical dependency services for purposes of 
 this section.  For pregnant and postpartum women, chemical 
 dependency services include halfway house services, after-care 
 services, psychological services, and case management. 

    Subd. 4.    Commissioner.  Unless otherwise indicated, 
 "commissioner" means the commissioner of human services. 

    Subd. 5.    Local agency.  "Local agency" means the 
 agency designated by a board of county commissioners, a local 
 social services agency, or a human services board to make 
 placements and submit state invoices according to Laws 1986, 
 chapter 394, sections 8 to 20. 

    Subd. 6.    Local money.  "Local money" means county 
 levies, community social services block grants, federal social 
 services money, or other money that may be spent at county 
 discretion to provide chemical dependency services eligible for 
 payment according to Laws 1986, chapter 394, sections 8 to 20. 

    HIST: 1986 c 394 s 8; 1987 c 299 s 3; 1994 c 631 s 31; 1997 c 
 203 art 4 s 5 

     254B.02 Chemical dependency allocation process. 

    Subdivision 1.    Chemical dependency treatment 
 allocation.  The chemical dependency funds appropriated for 
 allocation shall be placed in a special revenue account.  The 
 commissioner shall annually transfer funds from the chemical 
 dependency fund to pay for operation of the drug and alcohol 
 abuse normative evaluation system and to pay for all costs 
 incurred by adding two positions for licensing of chemical 
 dependency treatment and rehabilitation programs located in 
 hospitals for which funds are not otherwise appropriated.  For 
 each year of the biennium ending June 30, 1999, the commissioner 
 shall allocate funds to the American Indian chemical dependency 
 tribal account for treatment of American Indians by eligible 
 vendors under section 254B.05, equal to the amount allocated in 
 fiscal year 1997.  The commissioner shall annually divide the 
 money available in the chemical dependency fund that is not held 
 in reserve by counties from a previous allocation, or allocated 
 to the American Indian chemical dependency tribal account.  Six 
 percent of the remaining money must be reserved for the 
 nonreservation American Indian chemical dependency allocation 
 for treatment of American Indians by eligible vendors under 
 section 254B.05, subdivision 1.  The remainder of the money must 
 be allocated among the counties according to the following 
 formula, using state demographer data and other data sources 
 determined by the commissioner: 

    (a) For purposes of this formula, American Indians and 
 children under age 14 are subtracted from the population of each 
 county to determine the restricted population. 

    (b) The amount of chemical dependency fund expenditures for 
 entitled persons for services not covered by prepaid plans 
 governed by section 256B.69 in the previous year is divided by 
 the amount of chemical dependency fund expenditures for entitled 
 persons for all services to determine the proportion of exempt 
 service expenditures for each county. 

    (c) The prepaid plan months of eligibility is multiplied by 
 the proportion of exempt service expenditures to determine the 
 adjusted prepaid plan months of eligibility for each county. 

    (d) The adjusted prepaid plan months of eligibility is 
 added to the number of restricted population fee for service 
 months of eligibility for aid to families with dependent 
 children, Minnesota family investment program-statewide, general 
 assistance, and medical assistance and divided by the county 
 restricted population to determine county per capita months of 
 covered service eligibility. 

    (e) The number of adjusted prepaid plan months of 
 eligibility for the state is added to the number of fee for 
 service months of eligibility for aid to families with dependent 
 children, Minnesota family investment program-statewide, general 
 assistance, and medical assistance for the state restricted 
 population and divided by the state restricted population to 
 determine state per capita months of covered service eligibility.

    (f) The county per capita months of covered service 
 eligibility is divided by the state per capita months of covered 
 service eligibility to determine the county welfare caseload 
 factor. 

    (g) The median married couple income for the most recent 
 three-year period available for the state is divided by the 
 median married couple income for the same period for each county 
 to determine the income factor for each county. 

    (h) The county restricted population is multiplied by the 
 sum of the county welfare caseload factor and the county income 
 factor to determine the adjusted population. 

    (i) $15,000 shall be allocated to each county.  

    (j) The remaining funds shall be allocated proportional to 
 the county adjusted population. 

    Subd. 2.    County adjustment; maximum allocation.  The 
 commissioner shall determine the state money used by each county 
 in fiscal year 1986, using all state data sources.  If available 
 records do not provide specific chemical dependency expenditures 
 for every county, the commissioner shall determine the amount of 
 state money using estimates based on available data.  In state 
 fiscal year 1988, a county must not be allocated more than 150 
 percent of the state money spent by or on behalf of the county 
 in fiscal year 1986 for chemical dependency treatment services 
 eligible for payment under section 254B.05 but not including 
 expenditures made for persons eligible for placement under 
 section 254B.09, subdivision 6.  The allocation maximums must be 
 increased by 25 percent each year.  After fiscal year 1992, 
 there must be no allocation maximum.  The commissioner shall 
 reallocate the excess over the maximum to counties allocated 
 less than the fiscal year 1986 state money, using the following 
 process: 

    (a) The allocation is divided by 1986 state expenditures to 
 determine percentage of prior expenditure, and counties are 
 ranked by percentage of prior expenditure less expenditures for 
 persons eligible for placement under section 254B.09, 
 subdivision 6. 

    (b) The allocation of the lowest ranked county is raised to 
 the same percentage of prior expenditure as the second lowest 
 ranked county.  The allocation of these two counties is then 
 raised to the percentage of prior expenditures of the third 
 lowest ranked county. 

    (c) The operations under paragraph (b) are repeated with 
 each county by ranking until the money in excess of the 
 allocation maximum has been allocated. 

    Subd. 3.    Reserve account.  The commissioner shall 
 allocate money from the reserve account to counties that, during 
 the current fiscal year, have met or exceeded the base level of 
 expenditures for eligible chemical dependency services from 
 local money.  The commissioner shall establish the base level 
 for fiscal year 1988 as the amount of local money used for 
 eligible services in calendar year 1986.  In later years, the 
 base level must be increased in the same proportion as state 
 appropriations to implement Laws 1986, chapter 394, sections 8 
 to 20, are increased.  The base level must be decreased if the 
 fund balance from which allocations are made under section 
 254B.02, subdivision 1, is decreased in later years.  The local 
 match rate for the reserve account is the same rate as applied 
 to the initial allocation.  Reserve account payments must not be 
 included when calculating the county adjustments made according 
 to subdivision 2.  For counties providing medical assistance or 
 general assistance medical care through managed care plans on 
 January 1, 1996, the base year is fiscal year 1995.  For 
 counties beginning provision of managed care after January 1, 
 1996, the base year is the most recent fiscal year before 
 enrollment in managed care begins.  For counties providing 
 managed care, the base level will be increased or decreased in 
 proportion to changes in the fund balance from which allocations 
 are made under subdivision 2, but will be additionally increased 
 or decreased in proportion to the change in county adjusted 
 population made in subdivision 1, paragraphs (b) and (c). 

    Subd. 4.    Allocation spending limits.  Money allocated 
 according to subdivision 1 and section 254B.09, subdivision 4, 
 is available for payments for up to two years.  The commissioner 
 shall deduct payments from the most recent year allocation in 
 which money is available.  Allocations under this section that 
 are not used within two years must be reallocated to the reserve 
 account for payments under subdivision 3.  Allocations under 
 section 254B.09, subdivision 4, that are not used within two 
 years must be reallocated for payments under section 254B.09, 
 subdivision 5. 

    Subd. 5.    Administrative adjustment.  The commissioner 
 may make payments to local agencies from money allocated under 
 this section to support administrative activities under sections 
 254B.03 and 254B.04.  The administrative payment must not exceed 
 five percent of the first $50,000, four percent of the next 
 $50,000, and three percent of the remaining payments for 
 services from the allocation.  Twenty-five percent of the 
 administrative allowance shall be advanced at the beginning of 
 each quarter, based on the payments for services made in the 
 most recent quarter for which data is available.  Adjustment of 
 any overestimate or underestimate based on actual expenditures 
 shall be made by the state agency by adjusting the 
 administrative allowance for any succeeding quarter. 

    HIST: 1986 c 394 s 9; 1987 c 299 s 4-7; 1989 c 282 art 2 s 
 103; 1995 c 207 art 3 s 13; 1997 c 85 art 4 s 7; 1997 c 203 art 
 4 s 6; art 7 s 16 

     254B.03 Responsibility to provide chemical dependency 
  treatment. 

    Subdivision 1.    Local agency duties.  (a) Every local 
 agency shall provide chemical dependency services to persons 
 residing within its jurisdiction who meet criteria established 
 by the commissioner for placement in a chemical dependency 
 residential or nonresidential treatment service.  Chemical 
 dependency money must be administered by the local agencies 
 according to law and rules adopted by the commissioner under 
 sections 14.001 to 14.69. 

    (b) In order to contain costs, the county board shall, with 
 the approval of the commissioner of human services, select 
 eligible vendors of chemical dependency services who can provide 
 economical and appropriate treatment.  Unless the local agency 
 is a social services department directly administered by a 
 county or human services board, the local agency shall not be an 
 eligible vendor under section 254B.05.  The commissioner may 
 approve proposals from county boards to provide services in an 
 economical manner or to control utilization, with safeguards to 
 ensure that necessary services are provided.  If a county 
 implements a demonstration or experimental medical services 
 funding plan, the commissioner shall transfer the money as 
 appropriate.  If a county selects a vendor located in another 
 state, the county shall ensure that the vendor is in compliance 
 with the rules governing licensure of programs located in the 
 state. 

    (c) The calendar year 1998 rate for vendors may not 
 increase more than three percent above the rate approved in 
 effect on January 1, 1997.  The calendar year 1999 rate for 
 vendors may not increase more than three percent above the rate 
 in effect on January 1, 1998. 

    (d) A culturally specific vendor that provides assessments 
 under a variance under Minnesota Rules, part 9530.6610, shall be 
 allowed to provide assessment services to persons not covered by 
 the variance. 

    Subd. 2.    Chemical dependency services.  (a) Payment 
 from the chemical dependency fund is limited to payments for 
 services other than detoxification that, if located outside of 
 federally recognized tribal lands, would be required to be 
 licensed by the commissioner as a chemical dependency treatment 
 or rehabilitation program under sections 245A.01 to 245A.16, and 
 services other than detoxification provided in another state 
 that would be required to be licensed as a chemical dependency 
 program if the program were in the state.  Out of state vendors 
 must also provide the commissioner with assurances that the 
 program complies substantially with state licensing requirements 
 and possesses all licenses and certifications required by the 
 host state to provide chemical dependency treatment.  Hospitals 
 may apply for and receive licenses to be eligible vendors, 
 notwithstanding the provisions of section 245A.03.  Except for 
 chemical dependency transitional rehabilitation programs, 
 vendors receiving payments from the chemical dependency fund 
 must not require copayment from a recipient of benefits for 
 services provided under this subdivision. 

    (b) A county may, from its own resources, provide chemical 
 dependency services for which state payments are not made.  A 
 county may elect to use the same invoice procedures and obtain 
 the same state payment services as are used for chemical 
 dependency services for which state payments are made under this 
 section if county payments are made to the state in advance of 
 state payments to vendors.  When a county uses the state system 
 for payment, the commissioner shall make monthly billings to the 
 county using the most recent available information to determine 
 the anticipated services for which payments will be made in the 
 coming month.  Adjustment of any overestimate or underestimate 
 based on actual expenditures shall be made by the state agency 
 by adjusting the estimate for any succeeding month. 

    (c) The commissioner shall coordinate chemical dependency 
 services and determine whether there is a need for any proposed 
 expansion of chemical dependency treatment services.  The 
 commissioner shall deny vendor certification to any provider 
 that has not received prior approval from the commissioner for 
 the creation of new programs or the expansion of existing 
 program capacity.  The commissioner shall consider the 
 provider's capacity to obtain clients from outside the state 
 based on plans, agreements, and previous utilization history, 
 when determining the need for new treatment services. 

    Subd. 3.    Local agencies to pay state for county share. 
  Local agencies shall submit invoices to the state on forms 
 supplied by the commissioner and according to procedures 
 established by the commissioner.  Local agencies shall pay the 
 state for the county share of the invoiced services.  Payments 
 shall be made at the beginning of each month for services 
 provided in the previous month.  The commissioner shall bill the 
 county monthly for services, based on the most recent month for 
 which expenditure information is available.  Adjustment of any 
 overestimate or underestimate based on actual expenditures shall 
 be made by the state agency by adjusting the estimate for any 
 succeeding month. 

    Subd. 4.    Division of costs.  Except for services 
 provided by a county under section 254B.09, subdivision 1, or 
 services provided under section 256B.69 or 256D.03, subdivision 
 4, paragraph (b), the county shall, out of local money, pay the 
 state for 15 percent of the cost of chemical dependency 
 services, including those services provided to persons eligible 
 for medical assistance under chapter 256B and general assistance 
 medical care under chapter 256D.  Counties may use the indigent 
 hospitalization levy for treatment and hospital payments made 
 under this section.  Fifteen percent of any state collections 
 from private or third-party pay, less 15 percent of the cost of 
 payment and collections, must be distributed to the county that 
 paid for a portion of the treatment under this section.  If all 
 funds allocated according to section 254B.02 are exhausted by a 
 county and the county has met or exceeded the base level of 
 expenditures under section 254B.02, subdivision 3, the county 
 shall pay the state for 15 percent of the costs paid by the 
 state under this section.  The commissioner may refuse to pay 
 state funds for services to persons not eligible under section 
 254B.04, subdivision 1, if the county financially responsible 
 for the persons has exhausted its allocation. 

    Subd. 5.    Rules; appeal.  The commissioner shall adopt 
 rules as necessary to implement Laws 1986, chapter 394, sections 
 8 to 20.  The commissioner shall ensure that the rules are 
 effective on July 1, 1987.  The commissioner shall establish an 
 appeals process for use by recipients when services certified by 
 the county are disputed.  The commissioner shall adopt rules and 
 standards for the appeal process to assure adequate redress for 
 persons referred to inappropriate services. 

    Subd. 6. Repealed, 1989 c 155 s 5 

    Subd. 7.    Commissioner review; complaints.  The 
 commissioner shall:  

    (1) provide training and assistance to counties on 
 procedures for processing placements and making payments; 

    (2) visit facilities and review records as necessary to 
 determine compliance with procedures established by law and 
 rule; 

    (3) take complaints from vendors and recipients and 
 investigate county placement activities as needed to determine 
 compliance with law and rule. 

    Counties and vendors shall make regular reports as required 
 by the commissioner to facilitate commissioner review.  

    Subd. 8. Repealed, 1997 c 7 art 2 s 67 

    HIST: 1986 c 394 s 10; 1Sp1986 c 3 art 2 s 2; 1987 c 299 s 
 8-12; 1987 c 333 s 22; 1989 c 209 art 2 s 1; 1989 c 282 art 2 s 
 104,105; 1990 c 422 s 10; 1990 c 568 art 2 s 58; 1997 c 203 art 
 7 s 17; 1Sp1997 c 5 s 21 

     254B.04 Eligibility for chemical dependency fund 
  services. 

    Subdivision 1.    Eligibility.  (a) Persons eligible for 
 benefits under Code of Federal Regulations, title 25, part 20, 
 persons eligible for medical assistance benefits under sections 
 256B.055, 256B.056, and 256B.057, subdivisions 1, 2, 5, and 6, 
 or who meet the income standards of section 256B.056, 
 subdivision 4, and persons eligible for general assistance 
 medical care under section 256D.03, subdivision 3, are entitled 
 to chemical dependency fund services.  State money appropriated 
 for this paragraph must be placed in a separate account 
 established for this purpose. 

    (b) A person not entitled to services under paragraph (a), 
 but with family income that is less than 60 percent of the state 
 median income for a family of like size and composition, shall 
 be eligible to receive chemical dependency fund services within 
 the limit of funds available after persons entitled to services 
 under paragraph (a) have been served.  A county may spend money 
 from its own sources to serve persons under this paragraph.  
 State money appropriated for this paragraph must be placed in a 
 separate account established for this purpose. 

    (c) Persons whose income is between 60 percent and 115 
 percent of the state median income shall be eligible for 
 chemical dependency services on a sliding fee basis, within the 
 limit of funds available, after persons entitled to services 
 under paragraph (a) and persons eligible for services under 
 paragraph (b) have been served.  Persons eligible under this 
 paragraph must contribute to the cost of services according to 
 the sliding fee scale established under subdivision 3.  A county 
 may spend money from its own sources to provide services to 
 persons under this paragraph.  State money appropriated for this 
 paragraph must be placed in a separate account established for 
 this purpose. 

    Subd. 2. Repealed, 1989 c 155 s 5 

    Subd. 3.    Amount of contribution.  The commissioner 
 shall adopt a sliding fee scale to determine the amount of 
 contribution to be required from persons under this section.  
 The commissioner may adopt rules to amend existing fee scales.  
 The commissioner may establish a separate fee scale for 
 recipients of chemical dependency transitional and extended care 
 rehabilitation services that provides for the collection of fees 
 for board and lodging expenses.  The fee schedule shall ensure 
 that employed persons are allowed the income disregards and 
 savings accounts that are allowed residents of community mental 
 illness facilities under section 256D.06, subdivisions 1 and 
 1b.  The fee scale must not provide assistance to persons whose 
 income is more than 115 percent of the state median income.  
 Payments of liabilities under this section are medical expenses 
 for purposes of determining spenddown under sections 256B.055, 
 256B.056, 256B.06, and 256D.01 to 256D.21.  The required amount 
 of contribution established by the fee scale in this subdivision 
 is also the cost of care responsibility subject to collection 
 under section 254B.06, subdivision 1. 

    HIST: 1986 c 394 s 11; 1987 c 299 s 13; 1988 c 689 art 2 s 
 268; 1989 c 282 art 2 s 106; 1990 c 568 art 2 s 59; 1991 c 292 
 art 4 s 14; 1992 c 513 art 9 s 24; 1994 c 529 s 5; 1997 c 203 
 art 4 s 7 

     254B.041 Chemical dependency rules. 

    Subdivision 1. Repealed, 1996 c 305 art 2 s 67 

    Subd. 2.    Vendor collections; rule amendment.  The 
 commissioner may amend Minnesota Rules, parts 9530.7000 to 
 9530.7025, to require a vendor of chemical dependency 
 transitional and extended care rehabilitation services to 
 collect the cost of care received under a program from an 
 eligible person who has been determined to be partially 
 responsible for treatment costs, and to remit the collections to 
 the commissioner.  The commissioner shall pay to a vendor, for 
 the collections, an amount equal to five percent of the 
 collections remitted to the commissioner by the vendor.  

    HIST: 1990 c 568 art 2 s 91; 1996 c 305 art 2 s 44 

     254B.05 Vendor eligibility. 

    Subdivision 1.    Licensure required.  Programs licensed 
 by the commissioner are eligible vendors.  Hospitals may apply 
 for and receive licenses to be eligible vendors, notwithstanding 
 the provisions of section 245A.03.  American Indian programs 
 located on federally recognized tribal lands that provide 
 chemical dependency primary treatment, extended care, 
 transitional residence, or outpatient treatment services, and 
 are licensed by tribal government are eligible vendors.  
 Detoxification programs are not eligible vendors.  Programs that 
 are not licensed as a chemical dependency residential or 
 nonresidential treatment program by the commissioner or by 
 tribal government are not eligible vendors.  To be eligible for 
 payment under the Consolidated Chemical Dependency Treatment 
 Fund, a vendor must participate in the Drug and Alcohol Abuse 
 Normative Evaluation System and the treatment accountability 
 plan. 

    Subd. 2.    Regulatory methods.  (a) Where appropriate 
 and feasible, the commissioner shall identify and implement 
 alternative methods of regulation and enforcement to the extent 
 authorized in this subdivision.  These methods shall include: 

    (1) expansion of the types and categories of licenses that 
 may be granted; 

    (2) when the standards of an independent accreditation body 
 have been shown to predict compliance with the rules, the 
 commissioner shall consider compliance with the accreditation 
 standards to be equivalent to partial compliance with the rules; 
 and 

    (3) use of an abbreviated inspection that employs key 
 standards that have been shown to predict full compliance with 
 the rules. 

    If the commissioner determines that the methods in clause 
 (2) or (3) can be used in licensing a program, the commissioner 
 may reduce any fee set under section 254B.03, subdivision 3, by 
 up to 50 percent. 

    (b) The commissioner shall work with the commissioners of 
 health, public safety, administration, and children, families, 
 and learning in consolidating duplicative licensing and 
 certification rules and standards if the commissioner determines 
 that consolidation is administratively feasible, would 
 significantly reduce the cost of licensing, and would not reduce 
 the protection given to persons receiving services in licensed 
 programs.  Where administratively feasible and appropriate, the 
 commissioner shall work with the commissioners of health, public 
 safety, administration, and children, families, and learning in 
 conducting joint agency inspections of programs. 

    (c) The commissioner shall work with the commissioners of 
 health, public safety, administration, and children, families, 
 and learning in establishing a single point of application for 
 applicants who are required to obtain concurrent licensure from 
 more than one of the commissioners listed in this clause. 

    Subd. 3.    Fee reductions.  If the commissioner 
 determines that the methods in subdivision 2, clause (2) or (3), 
 can be used in licensing a program, the commissioner shall 
 reduce licensure fees by up to 50 percent.  The commissioner may 
 adopt rules to provide for the reduction of fees when a license 
 holder substantially exceeds the basic standards for licensure. 

    Subd. 4.    Regional treatment centers.  Regional 
 treatment center chemical dependency treatment units are 
 eligible vendors.  The commissioner may expand the capacity of 
 chemical dependency treatment units beyond the capacity funded 
 by direct legislative appropriation to serve individuals who are 
 referred for treatment by counties and whose treatment will be 
 paid for with a county's allocation under section 254B.02 or 
 other funding sources.  Notwithstanding the provisions of 
 sections 254B.03 to 254B.041, payment for any person committed 
 at county request to a regional treatment center under chapter 
 253B for chemical dependency treatment and determined to be 
 ineligible under the chemical dependency consolidated treatment 
 fund, shall become the responsibility of the county. 

    HIST: 1986 c 394 s 12; 1987 c 299 s 14; 1987 c 333 s 22; 1988 
 c 532 s 11; 1991 c 292 art 4 s 15; 1994 c 529 s 6; 1995 c 207 
 art 3 s 14; art 8 s 32; 1Sp1995 c 3 art 16 s 13 

     254B.06 Reimbursement; payment; denial. 

    Subdivision 1.    State collections.  The commissioner 
 is responsible for all collections from persons determined to be 
 partially responsible for the cost of care of an eligible person 
 receiving services under Laws 1986, chapter 394, sections 8 to 
 20.  The commissioner may initiate, or request the attorney 
 general to initiate, necessary civil action to recover the 
 unpaid cost of care.  The commissioner may collect all 
 third-party payments for chemical dependency services provided 
 under Laws 1986, chapter 394, sections 8 to 20, including 
 private insurance and federal Medicaid and Medicare financial 
 participation.  The commissioner shall deposit in a dedicated 
 account a percentage of collections to pay for the cost of 
 operating the chemical dependency consolidated treatment fund 
 invoice processing and vendor payment system, billing, and 
 collections.  The remaining receipts must be deposited in the 
 chemical dependency fund. 

    Subd. 2.    Allocation of collections.  The commissioner 
 shall allocate all federal financial participation collections 
 to the reserve fund under section 254B.02, subdivision 3.  The 
 commissioner shall retain 85 percent of patient payments and 
 third-party payments and allocate the collections to the 
 treatment allocation for the county that is financially 
 responsible for the person.  Fifteen percent of patient and 
 third-party payments must be paid to the county financially 
 responsible for the patient.  Collections for patient payment 
 and third-party payment for services provided under section 
 254B.09 shall be allocated to the allocation of the tribal unit 
 which placed the person.  Collections of federal financial 
 participation for services provided under section 254B.09 shall 
 be allocated to the tribal reserve account under section 
 254B.09, subdivision 5. 

    Subd. 3.    Payment; denial.  The commissioner shall pay 
 eligible vendors for placements made by local agencies under 
 section 254B.03, subdivision 1, and placements by tribal 
 designated agencies according to section 254B.09.  The 
 commissioner may reduce or deny payment of the state share when 
 services are not provided according to the placement criteria 
 established by the commissioner.  The commissioner may pay for 
 all or a portion of improper county chemical dependency 
 placements and bill the county for the entire payment made when 
 the placement did not comply with criteria established by the 
 commissioner.  The commissioner may make payments to vendors and 
 charge the county 100 percent of the payments if documentation 
 of a county approved placement is received more than 30 working 
 days, exclusive of weekends and holidays, after the date 
 services began; or if the county approved invoice is received by 
 the commissioner more than 120 days after the last date of 
 service provided.  The commissioner shall not pay vendors until 
 private insurance company claims have been settled. 

    HIST: 1986 c 394 s 13; 1987 c 299 s 15; 1989 c 282 art 2 s 
 107; 1992 c 513 art 7 s 13; 1Sp1993 c 1 art 3 s 21 

     254B.07 Third-party liability. 

    The state agency provision and payment of, or liability 
 for, chemical dependency medical care is the same as in section 
 256B.042. 

    HIST: 1986 c 394 s 14 

     254B.08 Federal waivers. 

    The commissioner shall apply for any federal waivers 
 necessary to secure, to the extent allowed by law, federal 
 financial participation for the provision of services to persons 
 who need chemical dependency services.  The commissioner may 
 seek amendments to the waivers or apply for additional waivers 
 to contain costs.  The commissioner shall ensure that payment 
 for the cost of providing chemical dependency services under the 
 federal waiver plan does not exceed the cost of chemical 
 dependency services that would have been provided without the 
 waivered services.  

    HIST: 1986 c 394 s 15; 1987 c 299 s 16; 1988 c 689 art 2 s 
 268; 1990 c 568 art 2 s 60 

     254B.09 Indian reservation allocation of chemical 
  dependency fund. 

    Subdivision 1.    American Indian chemical dependency 
 account.  The commissioner shall pay eligible vendors for 
 chemical dependency services to American Indians on the same 
 basis as other payments, except that no local match is required 
 when an invoice is submitted by the governing authority of a 
 federally recognized American Indian tribal body or a county if 
 the tribal governing body has not entered into an agreement 
 under subdivision 2 on behalf of a current resident of the 
 reservation under this section. 

    Subd. 2.    American Indian agreements.  The 
 commissioner may enter into agreements with federally recognized 
 tribal units to pay for chemical dependency treatment services 
 provided under Laws 1986, chapter 394, sections 8 to 20.  The 
 agreements must require the governing body of the tribal unit to 
 fulfill all county responsibilities regarding the form and 
 manner of invoicing, and provide that only invoices for eligible 
 vendors according to section 254B.05 will be included in 
 invoices sent to the commissioner for payment, to the extent 
 that money allocated under subdivisions 3, 4, and 5 is used. 

    Subd. 3. Repealed, 1989 c 282 art 2 s 219 

    Subd. 4.    Tribal allocation.  Eighty-five percent of 
 the American Indian chemical dependency tribal account must be 
 allocated to the federally recognized American Indian tribal 
 governing bodies that have entered into an agreement under 
 subdivision 2 as follows:  $10,000 must be allocated to each 
 governing body and the remainder must be allocated in direct 
 proportion to the population of the reservation according to the 
 most recently available estimates from the federal Bureau of 
 Indian Affairs.  When a tribal governing body has not entered 
 into an agreement with the commissioner under subdivision 2, the 
 county may use funds allocated to the reservation to pay for 
 chemical dependency services for a current resident of the 
 county and of the reservation. 

    Subd. 5.    Tribal reserve account.  The commissioner 
 shall reserve 15 percent of the American Indian chemical 
 dependency tribal account.  The reserve must be allocated to 
 those tribal units that have used all money allocated under 
 subdivision 4 according to agreements made under subdivision 2 
 and to counties submitting invoices for American Indians under 
 subdivision 1 when all money allocated under subdivision 4 has 
 been used.  An American Indian tribal governing body or a county 
 submitting invoices under subdivision 1 may receive not more 
 than 30 percent of the reserve account in a year.  The 
 commissioner may refuse to make reserve payments for persons not 
 eligible under section 254B.04, subdivision 1, if the tribal 
 governing body responsible for treatment placement has exhausted 
 its allocation.  Money must be allocated as invoices are 
 received. 

    Subd. 6.    American Indian tribal placements.  After 
 entering into an agreement under subdivision 2, the governing 
 authority of each reservation may submit invoices to the state 
 for the cost of providing chemical dependency services to 
 residents of the reservation according to the placement rules 
 governing county placements, except that local match 
 requirements are waived.  The governing body may designate an 
 agency to act on its behalf to provide placement services and 
 manage invoices by written notice to the commissioner and 
 evidence of agreement by the agency designated. 

    Subd. 7.    Nonreservation Indian account.  The 
 nonreservation American Indian chemical dependency allocation 
 must be held in reserve by the commissioner in an account for 
 treatment of Indians not residing on lands of a reservation 
 receiving money under subdivision 4.  This money must be used to 
 pay for services certified by county invoice to have been 
 provided to an American Indian eligible recipient.  Money 
 allocated under this subdivision may be used for payments on 
 behalf of American Indian county residents only if, in addition 
 to other placement standards, the county certifies that the 
 placement was appropriate to the cultural orientation of the 
 client.  Any funds for treatment of nonreservation Indians 
 remaining at the end of a fiscal year shall be reallocated under 
 section 254B.02. 

    HIST: 1985 c 248 s 70; 1986 c 394 s 16; 1987 c 299 s 17-19; 
 1988 c 532 s 12; 1989 c 282 art 2 s 108-110; 1997 c 203 art 4 s 
 8-10 

  254B.10 Repealed, 1989 c 282 art 2 s 219