2007 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 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, aftercare 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, 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.
    Subd. 7. Room and board rate. "Room and board rate" means a rate set for shelter, fuel,
food, utilities, household supplies, and other costs necessary to provide room and board for a
person in need of chemical dependency services.
History: 1986 c 394 s 8; 1987 c 299 s 3; 1994 c 631 s 31; 1997 c 203 art 4 s 5; 1999 c
245 art 5 s 16; 2005 c 98 art 3 s 24

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. Six percent of the remaining
money must be reserved for tribal allocation under section 254B.09, subdivisions 4 and 5. 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 the Minnesota family investment program,
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 the Minnesota family investment program,
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). Effective July 1, 2001, at the end of
each biennium, any funds deposited in the reserve account funds in excess of those needed to
meet obligations incurred under this section and sections 254B.06 and 254B.09 shall cancel
to the general fund.
    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.
History: 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; 1999 c 159 s 32; 1Sp2001 c 9 art 3 s 4; 2002
c 379 art 1 s 113; 2007 c 147 art 11 s 12,13

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) 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 fund payment. (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. Except for chemical dependency transitional
rehabilitation programs, vendors receiving payments from the chemical dependency fund must
not require co-payment from a recipient of benefits for services provided under this subdivision.
Payment from the chemical dependency fund shall be made for necessary room and board costs
provided by vendors certified according to section 254B.05, or in a community hospital licensed
by the commissioner of health according to sections 144.50 to 144.56 to a client who is:
(1) determined to meet the criteria for placement in a residential chemical dependency
treatment program according to rules adopted under section 254A.03, subdivision 3; and
(2) concurrently receiving a chemical dependency treatment service in a program licensed by
the commissioner and reimbursed by the chemical dependency fund.
(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 pay the state
for the county share of the services authorized by the local agency.
    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]
History: 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; 1999 c 245 art 5 s 17; 1Sp2001 c 9 art 3 s 5; 2002 c 379 art
1 s 113; 2007 c 147 art 11 s 14,15

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.
Persons with dependent children who are determined to be in need of chemical dependency
treatment pursuant to an assessment under section 626.556, subdivision 10, or a case plan under
section 260C.201, subdivision 6, or 260C.212, shall be assisted by the local agency to access
needed treatment services. Treatment services must be appropriate for the individual or family,
which may include long-term care treatment or treatment in a facility that allows the dependent
children to stay in the treatment facility. The county shall pay for out-of-home placement costs, if
applicable.
(b) A person not entitled to services under paragraph (a), but with family income that is less
than 215 percent of the federal poverty guidelines for the applicable family size, shall be eligible
to receive chemical dependency fund services within the limit of funds appropriated for this group
for the fiscal year. If notified by the state agency of limited funds, a county must give preferential
treatment to persons with dependent children who are in need of chemical dependency treatment
pursuant to an assessment under section 626.556, subdivision 10, or a case plan under section
260C.201, subdivision 6, or 260C.212. 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 215 percent and 412 percent of the federal poverty
guidelines for the applicable family size shall be eligible for chemical dependency services on a
sliding fee basis, within the limit of funds appropriated for this group for the fiscal year. 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.
History: 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; 1999 c 139 art 4 s 2; 1999 c 245 art 8 s 4; 1Sp2001 c 9 art 3 s 6; 2002 c 379 art 1 s 113

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.
History: 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 of a chemical dependency service must participate in the
Drug and Alcohol Abuse Normative Evaluation System and the treatment accountability plan.
Effective January 1, 2000, vendors of room and board are eligible for chemical dependency
fund payment if the vendor:
(1) is certified by the county or tribal governing body as having rules prohibiting residents
bringing chemicals into the facility or using chemicals while residing in the facility and provide
consequences for infractions of those rules;
(2) has a current contract with a county or tribal governing body;
(3) is determined to meet applicable health and safety requirements;
(4) is not a jail or prison; and
(5) is not concurrently receiving funds under chapter 256I for the recipient.
    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 education 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
education in conducting joint agency inspections of programs.
(c) The commissioner shall work with the commissioners of health, public safety,
administration, and education 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.
History: 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; 1999
c 245 art 5 s 18; 2003 c 130 s 12

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. The commissioner shall not pay vendors until private insurance
company claims have been settled.
History: 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; 2007 c 147 art 11 s 16

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.
History: 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.
History: 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. Vendor payments. 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 clarify how the governing
body of the tribal unit fulfills local agency responsibilities regarding:
(1) selection of eligible vendors under section 254B.03, subdivision 1;
(2) negotiation of agreements that establish vendor services and rates for programs located
on the tribal governing body's reservation;
(3) the form and manner of invoicing; and
(4) 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 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.
    Subd. 8. Payments to improve services to American Indians. The commissioner may set
rates for chemical dependency services according to the American Indian Health Improvement
Act, Public Law 94-437, for eligible vendors. These rates shall supersede rates set in county
purchase of service agreements when payments are made on behalf of clients eligible according to
Public Law 94-437.
History: 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; 1Sp2001 c 9 art 3 s 7; 2002 c 275 s 1; 2002 c
379 art 1 s 113

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