Minnesota Legislature
Office of the Revisor of Statutes
Minnesota Session Laws - 1990, Regular Session
Key: (1) language to be deleted (2) new language
Laws of Minnesota 1990
CHAPTER 568-S.F.No. 2621
An act relating to the organization and operation of
state government; appropriating money for human
services and health and other purposes with certain
conditions; amending Minnesota Statutes 1988, sections
4.071; 13.46, subdivision 5; 144.581, subdivision 1;
144A.073, by adding a subdivision; 148B.23, by adding
a subdivision; 151.06, subdivision 1; 151.25; 171.07,
subdivision 1a; 214.07, subdivision 1, and by adding a
subdivision; 241.26, subdivision 2; 244.05, by adding
a subdivision; 245.467, subdivision 2; 245A.07,
subdivision 3; 245A.08, subdivision 3; 245A.11,
subdivision 4; 245A.14, subdivisions 1 and 2; 245A.16,
subdivision 4; 252.27, as amended; 253B.17,
subdivision 1; 254B.04, as amended; 254B.08; 256.73,
subdivision 2; 256.736, subdivisions 1a and 3a;
256.7365, subdivision 2; 256.81; 256B.04, subdivisions
15 and 16; 256B.055, subdivisions 3, 5, 6, and 12;
256B.056, subdivisions 2, 7, and by adding a
subdivision; 256B.0625, subdivisions 4, 5, 9, and by
adding subdivisions; 256B.091, subdivisions 4 and 6;
256B.092, subdivisions 1a, 1b, and by adding
subdivisions; 256B.15; 256B.19, by adding a
subdivision; 256B.431, subdivision 3e, and by adding
subdivisions; 256B.48, subdivision 2, and by adding a
subdivision; 256B.49, by adding a subdivision;
256B.50, subdivisions 1 and 1b; 256B.501, subdivisions
3c, 3e, and by adding a subdivision; 256B.69,
subdivision 3; 256B.73, subdivision 7, as amended;
256D.01, by adding a subdivision; 256D.02,
subdivisions 5, 8, and 12; 256D.03, subdivision 7;
256D.052, subdivision 5; 256D.06, subdivision 2;
256E.06, subdivisions 2 and 7; 256H.01, by adding
subdivisions; 256H.10, subdivisions 1 and 4; 256H.17;
260.151, by adding a subdivision; 268.673,
subdivisions 3 and 5; 268.6751, subdivision 1;
268.676, subdivision 2; 268.677, subdivisions 2 and 3;
268.678; 268.681, subdivisions 1, 2, and 3; 268.86,
subdivision 8; 268.871, subdivisions 1, 2, and by
adding a subdivision; 268.90, subdivisions 1, 3, and
4; 462.357, subdivisions 7 and 8; 518.171,
subdivisions 1, 3, 4, and 7; 518.54, by adding
subdivisions; 518.551, subdivisions 1 and 5; 518.611,
subdivisions 1, 2, 8, 8a, and by adding a subdivision;
518C.02, by adding subdivisions; 518C.03; 518C.05;
518C.09; 518C.12; and 518C.27, subdivision 1;
Minnesota Statutes 1989 Supplement, sections 116.76,
subdivision 9; 116.78, by adding subdivisions; 144.50,
subdivision 6; 144.802, subdivision 3; 144.804,
subdivisions 1 and 7; 144.809; 144.8091; 145.894;
245.467, subdivision 3; 245.469; 245.70, subdivision
1; 245.4711, subdivisions 1, 2, and 3; 245.474;
245.487, subdivisions 2 and 5; 245.4871, subdivision
3; 245.4873, subdivision 2; 245.4874; 245.4875,
subdivision 5; 245.4876, subdivisions 2, 3, and 4;
245.4879; 245.488, subdivision 1; 245.4881,
subdivisions 1, 2, 3, and 4; 245.4882, subdivision 1;
245. 4883, subdivision 1; 245.4885, subdivisions 1 and
2; 245.696, subdivision 2; 245.697, subdivision 2a;
245.73, subdivision 2; 245A.02, subdivision 6a;
245A.03, subdivision 2; 245A.04, subdivisions 3, 3a,
and 3b; 245A.12; 245A.13; 245A.16, subdivision 1;
252.46, subdivisions 1, 2, 3, 4, and 12; 253B.03,
subdivision 6a; 254B.03, subdivision 4; 256.73,
subdivision 3a; 256.736, subdivisions 3, 3b, 4, 10,
10a, 11, 14, 16, and 18; 256.737, subdivisions 1, 1a,
and 2; 256.74, subdivision 1; 256.936, subdivision 1;
256.969, subdivisions 2c and 6a; 256.9695,
subdivisions 1 and 3; 256B.055, subdivision 7;
256B.056, subdivisions 3 and 4; 256B.057, subdivisions
1, 2, and by adding subdivisions; 256B.0575; 256B.059,
subdivisions 4 and 5; 256B.0595, subdivisions 1, 2,
and 4; 256B.0625, subdivision 13; 256B.14; 256B.431,
subdivisions 2b and 7; 256B.495, subdivision 1;
256B.69, subdivision 16; 256D.01, subdivision 1a;
256D.03, subdivisions 3 and 4; 256D.051, subdivisions
1a, 1b, 2, 3, and 8; 256D.09, subdivision 2a;
256D.425, subdivision 3; 256H.01, subdivisions 7, 8,
and 12; 256H.03, subdivisions 2, 2a, and 2b; 256H.05,
subdivisions 1b, 1c, 2, and 5; 256H.08; 256H.09,
subdivision 1; 256H.10, subdivision 3; 256H.11,
subdivision 1; 256H.15, subdivisions 1 and 2; 256H.21,
subdivision 9; 256H.22, subdivisions 2, 3, and 10;
256I.05, subdivisions 1 and 7; 257.57, subdivision 1;
268.0111, subdivision 4; 268.86, subdivision 2;
268.88; 268.881; 268.977, subdivision 1; 515.551,
subdivision 10; 518.611, subdivision 4; and 518.613,
subdivision 2; Minnesota Statutes Second 1989
Supplement, sections 256B.091, subdivision 8; and
256D.03, subdivisions 2 and 6; Laws 1988, chapter 689,
article 2, section 256, subdivision 3; Laws 1989,
chapters 282, article 3, section 98, subdivisions 4
and 5; and 338, section 11; 1990 S. F. No. 1698,
section 1, if enacted; proposing coding for new law in
Minnesota Statutes, chapters 62A; 144; 151; 244; 245;
245A; 252; 254A; 256; 256B; and 268; repealing
Minnesota Statutes 1988, sections 256.736,
subdivisions 1b, 2a, 8, and 17; 256.7365, subdivision
8; 256D.06, subdivision 1c; 256H.01, subdivision 14;
256H.16; 268.672, subdivision 12; 268.86, subdivision
9; and 268.872, subdivision 3; Minnesota Statutes 1989
Supplement, sections 245.4711, subdivisions 6, 7, and
8; 245.4881, subdivisions 6, 7, 8, 9, and 10;
256B.055, subdivision 8; 256B.431, subdivisions 3a and
3f; 256H.05, subdivisions 1, 1a, and 3a; Laws 1989,
chapter 333, section 11, subdivisions 1 and 3.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
ARTICLE 1
APPROPRIATIONS
Section 1. [HUMAN SERVICES; HEALTH; APPROPRIATIONS.]
The sums shown in the columns marked "APPROPRIATIONS" are
appropriated from the general fund, or another fund named, to
the agencies and for the purposes specified in this act, to be
available for the fiscal years indicated for each purpose. The
figures "1990" and "1991," where used in this article, mean that
the appropriation or appropriations listed under them are
available for the year ending June 30, 1990, or June 30, 1991,
respectively.
SUMMARY BY FUND
1990 1991 TOTAL
General $ 37,870,000 $ 60,925,000 $ 98,795,000
Special Revenue $ 50,000 $ 91,000 $ 141,000
TOTAL $ 37,920,000 $ 61,016,000 $ 98,936,000
APPROPRIATIONS
Available for the Year
Ending June 30,
1990 1991
Sec. 2. HUMAN SERVICES
Subdivision 1. Appropriation
by Fund
General Fund 38,727,000 58,060,000
This appropriation is added to the
appropriation in Laws 1989, chapter
282, article 1, section 2.
Subd. 2. Human Services
Administration (115,000) 350,000
Of this appropriation, $200,000 is for
distressed county grants. The
commissioner shall award grants to
counties that received aid under
Minnesota Statutes, section 245.775,
for state fiscal year 1989. The amount
of the grant for each county is 20
percent of the amount received in state
fiscal year 1989.
Subd. 3. Legal and
Intergovernmental Programs -0- (138,000)
Subd. 4. Social Services 3,236,000 13,953,000
Notwithstanding Minnesota Statutes,
section 254B.02, money appropriated for
the consolidated chemical dependency
treatment fund for fiscal year 1990 may
be allocated as needed to the reserve
accounts created by Minnesota Statutes,
sections 254B.02, subdivision 3, and
254B.09, subdivisions 5 and 7.
Of this appropriation, $20,000 is for a
pilot project in Stearns county
involving court-ordered chemical
dependency assessments and treatment
for offenders. Under the pilot
program, when a court sentences a
defendant convicted of a felony and it
appears from the presentence
investigation that alcohol or
controlled substance abuse was a
contributing factor to the commission
of the crime, the court may order that
the defendant be assessed for chemical
dependency. In addition, any defendant
convicted of a violation of Minnesota
Statutes, section 609.21 or a felony
violation of Minnesota Statutes,
section 169.09 shall be assessed for
chemical dependency as part of the
presentence investigation. The
assessment shall be conducted by a
local agency, as defined in Minnesota
Statutes, section 254B.01, subdivision
5, or by a court-designated assessor
qualified under rules adopted under
Minnesota Statutes, section 254B.03,
subdivision 3, or credentialed by the
Institute for Chemical Dependency
Professionals. If the local agency or
the court-appointed assessor finds that
the defendant is chemically dependent
or abusive, the court may order that
the defendant be treated for chemical
dependency or abuse. In any case, the
local agency shall determine the
appropriate level of care and authorize
payment under Minnesota Statutes,
chapter 254B up to the amount of this
appropriation without a local match;
provided that if the assessment is
conducted by a court-appointed
assessor, its findings shall be
provided to the local agency and the
commissioner of human services before
payment under chapter 254B is
authorized. The pilot program expires
June 30, 1991.
The amount appropriated in fiscal year
1991 to pay for child care subsidy
expenses above the amount allowed by
the federal government shall not be
included as a base adjustment in the
fiscal year 1992-1993 biennial budget
request. The commissioner shall report
to the legislature regarding this
provision including its effect on
county record keeping practices and
federal financial reimbursement. The
commissioner may request additional
money to continue this activity.
Money appropriated in Laws 1989,
chapter 282, article 1, section 2,
subdivision 4, for the Joining Forces
pilot projects does not cancel, but is
available for fiscal year 1991. The
amount appropriated for this activity
shall not be included as a base
adjustment in the fiscal year 1992-1993
biennial budget request.
Subd. 5. Mental Health -0- (813,000)
Notwithstanding Laws 1989, chapter 282,
article 1, section 2, subdivision 5,
$102,000 is transferred in fiscal year
1991 from state mental health grants to
state mental health administration, and
2.25 positions are authorized to
implement federal requirements relating
to nursing homes and people with mental
illness.
The $10,000 appropriated for camping
activities for persons with mental
illness by Laws 1989, chapter 282,
article 1, section 2, subdivision 5,
shall be used for adults with mental
illness from across the state, for a
camping program which utilizes the BWCA
and is cooperatively sponsored by
client advocacy, mental health
treatment, and outdoor recreation
agencies.
$500,000 may be transferred from the
appropriation in Laws 1989, chapter
282, article 1, section 2, subdivision
5, in fiscal year 1990 for state mental
health grants to fiscal year 1991 for
state mental health special projects.
These funds are to be used for
alternative placements for people being
discharged from the Metro Regional
Treatment Center.
Notwithstanding the rider relating to
the family-based community support
pilot project in Laws 1989, chapter
282, article 1, section 2, subdivision
5, the base funding level for the
project for the 1992-1993 biennial
budget must be a straight line
annualization of the fiscal year 1991
appropriation.
Subd. 6. Family Support
Programs (5,102,000) (3,485,000)
(a) Aid to Families with Dependent
Children, General Assistance, Work
Readiness, and Minnesota Supplemental
Aid
$(2,352,000) $(1,143,000)
(b) Family Support Programs
Administration
$(2,750,000) $(2,342,000)
During the biennium ending June 30,
1991, the commissioner may request, and
providers receiving General Assistance
or Minnesota Supplemental Aid
negotiated rate payments must provide,
information about their operating costs
and property costs used in determining
their negotiated rates. This
information must be provided in a
format specified by the commissioner.
The commissioner may transfer money
from other departmental administrative
accounts to the child support
enforcement and MAXIS information
systems account to pay for fiscal year
1991 system costs, if necessary.
Money appropriated in Laws 1989,
chapter 282, article 1, section 2,
subdivision 6, for assisting in the
development of a statewide negotiated
rate setting system does not cancel to
the general fund but is available in
fiscal year 1991.
The commissioner of human services
shall postpone the implementation of
the establishment of program operating
cost payment rates as provided in
Minnesota Statutes, section 256B.501,
subdivision 3g, until October 1, 1992.
Beginning January 1, 1990, each
facility's interdisciplinary team shall
assess each new admission to the
facility. The quality assurance and
review teams in the department of
health shall continue to assess all
residents annually. The quality
assurance and review teams and the
interdisciplinary team shall assess
residents using a uniform assessment
instrument developed by the
commissioner of human services and the
ICF/MR reimbursement and quality
assurance and review procedures
manual. The commissioner of human
services shall annually collect client
statistical data based on assessments
performed by the quality assurance and
review teams and by the
interdisciplinary team on the cost
reports submitted by the facility and
may use this data in the calculation of
operating cost payment rates after
October 1, 1992.
Federal financial participation
received during the biennium ending
June 30, 1991, for self-employment
investment demonstration project
expenditures is appropriated to the
commissioner to operate the
self-employment investment
demonstration project.
Money appropriated in Laws 1989,
chapter 282, article 1, section 2,
subdivision 6 for administration and
maintenance of the child support
enforcement information system does not
cancel but is available for fiscal year
1991 to finalize development of the
system.
$50,000 for fiscal year 1991 is for a
study of migration of welfare
recipients and for a study of items
that should be included in calculating
the AFDC standard of need.
Subd. 7. Health Care Programs 40,708,000 48,293,000
(a) Medical Assistance, General
Assistance Medical Care, Preadmission
Screening and Alternative Care Grants,
and Children's Health Plan
$ 40,708,000 $ 47,120,000
Money appropriated for preadmission
screening and alternative care grants
for fiscal year 1991 may be used for
these purposes in fiscal year 1990.
Payments for obstetrical and pediatric
services rendered on or after July 1,
1990, to medical assistance recipients
are increased by 15 percent. This
increase must be applied to the
provider categories under section
6402(b) of the Omnibus Budget
Reconciliation Act of 1989, and
applicable federal guidelines. For
obstetrical services, this increase is
in addition to the 10 percent increase
effective October 1, 1988.
Of this appropriation, up to $14,000
may be used to reimburse the state
share of medical assistance allowable
payments to pharmacies providing
services to one or more nursing homes
during the period of May to December
1987, for claims rejected under
Minnesota Rules, part 9505.0450. The
reimbursement is available only if the
pharmacy demonstrates to the
satisfaction of the commissioner that
its computer system failed to recognize
a claim for electronic billing because
a computer file indicator designated
the claim as a manual bill.
Effective for services rendered on or
after July 1, 1990, medical assistance
payments to ambulance services are
increased by 7.5 percent from the lower
of: (1) the submitted charges; or (2)
the 50th percentile of the prevailing
charge for 1982.
Medical assistance and general
assistance medical care payments for
individual and group psychotherapy
rendered on or after July 1, 1990, are
reduced by six percent. Effective for
services rendered on or after October
1, 1990, the payment rate for
masters-prepared social workers and
registered nurses providing mental
health services is 65 percent of the
rate paid to other mental health
professionals.
Notwithstanding Laws 1989, chapter 282,
article 1, section 2, subdivision 7,
clause (a), the 50th percentile of the
prevailing charge for 1982 must be
estimated by the commissioner in the
following situations:
(1) there were less than ten billings
in the calendar year specified in
legislation governing maximum payment
rates;
(2) the service was not available in
the calendar year specified in
legislation governing maximum payment
rates;
(3) the payment amount is the result of
a provider appeal;
(4) the procedure code description has
changed since the calendar year
specified in legislation governing
maximum payment rates, and, therefore,
the prevailing charge information
reflects the same code but a different
procedure description; or
(5) the 50th percentile reflects a
payment which is grossly inequitable
when compared with payment rates for
procedures or services which are
substantially similar.
When one of the above situations occur,
the commissioner will use the following
methodology to reconstruct a rate
comparable to the 50th percentile of
the prevailing rate:
(1) refer to information which exists
for the first nine billings in the
calendar year specified in legislation
governing maximum payment rates; or
(2) refer to surrounding or comparable
procedure codes; or
(3) refer to the 50th percentile of
years subsequent to the calendar year
specified in legislation governing
maximum payment rates and backdown the
amount by applying an appropriate
Consumer Price Index formula; or
(4) refer to relative value indexes; or
(5) refer to reimbursement information
from other third parties, such as
Medicare.
If the federal government approves a
client-specific invoice payment system,
the nonfederal share of the costs of
case management services provided to
persons with mental retardation or
related conditions receiving home- and
community-based services funded through
the waiver granted under section
1915(c)(7)(B) of the Social Security
Act shall be provided from
state-appropriated medical assistance
grant funds for the biennium ending
June 30, 1991. The division of cost is
subject to the provisions of Minnesota
Statutes, section 256B.19, and the
services are included as covered
programs and services under Minnesota
Statutes, section 256.025, subdivision
2.
If the federal government does not
approve a client-specific invoice
payment system for this waiver, state
funds currently appropriated to the
medical assistance grant fund shall be
transferred to a separate nonmedical
assistance account. The commissioner
shall use this account to establish a
pilot program to reimburse counties for
case management to persons served under
this waiver. To be eligible for
payment, counties must submit requests
for reimbursement in the form
prescribed by the commissioner.
The rate for case management services
funded for any person served by this
waiver shall not exceed the lesser of
the current average rate for case
management services provided to all
persons served under the home- and
community-based waiver for persons with
developmental disabilities in the same
county or $65 per hour. The amount of
case management per person funded in
this manner must not exceed 30 hours
for a recipient in fiscal year 1991
unless otherwise authorized by the
commissioner. Total state money
expended under this provision must not
exceed $67,000 for the biennium ending
June 30, 1991.
Any transfer of money to implement this
provision must be made by direction of
the governor after consulting with the
legislative advisory commission.
The maximum pharmacy dispensing fee
under medical assistance and general
assistance medical care is $4.10.
If approved by the federal government,
medical assistance payments to American
Indian health services facilities for
outpatient medical services billed
after June 30, 1990, must be in
accordance with the rate published by
the United States Assistant Secretary
for Health under the authority of
United States Code, title 42, sections
248(a) and 249(b). General assistance
medical care payments to American
Indian health services facilities for
the provision of outpatient medical
care services billed after June 30,
1990, must be in accordance with the
general assistance medical care rates
paid for the same services when
provided in a facility other than an
American Indian health service facility.
In order to facilitate outreach for
prenatal and infant medical care
covered under Minnesota Statutes,
chapters 265B and 256D, such care is
considered part of Minnesota's plan for
children's health care and may be
referred to as the Children's Health
Plan Medical Assistance portion.
Eligibility for these services shall be
included in descriptions, outreach
materials, and other communications
about the Children's Health Plan.
(b) Health Care Programs
Administration $ -0- $ 1,173,000
For fiscal years 1990 and 1991, federal
receipts received for review of medical
assistance prepaid health plan
activities and for the study of
utilization of outpatient mental health
services by children enrolled in
medical assistance are appropriated to
the commissioner for these purposes.
For fiscal years 1990 and 1991, federal
money received as a result of state
expenditures for the development of an
early childhood screening tool to
screen for mental health problems in
children through the early, periodic,
screening, diagnosis, and treatment
component of the medical assistance
program is appropriated to the
commissioner for development and
training. The state appropriation for
this activity shall not be included as
a base adjustment in the fiscal year
1992-1993 biennial budget request.
Notwithstanding Laws 1989, chapter 282,
article 3, section 62, for the biennium
ending June 30, 1991, the commissioner
may transfer money from contracts to
salaries to hire qualified persons to
provide case management to
brain-injured persons.
For the biennium ending June 30, 1991,
the commissioner may transfer money
from contracts to salaries to hire two
registered nurses to identify and
restrict medical assistance and general
assistance medical care recipients who
have used services frequently or in an
amount that is not medically necessary.
Before collecting the changed parental
contribution under article 2, section
56, counties must provide 30 days
advance, written notice of the amount
of an increased or new parental
contribution.
The commissioner of human services, in
consultation with the commissioners of
revenue and commerce, shall study
issues related to prescription drug
costs. Issues to be examined must
include, but are not limited to, the
following: levels of copayments and
deductibles for prescription drug
coverage, the cost of prescription
drugs, the need for prescription drug
coverage among the general population,
and the feasibility of private and
public initiatives to ensure affordable
prescription drug coverage. The study
must examine the feasibility of a state
assistance program for persons with
high out-of-pocket expenses for
prescription maintenance and
life-sustaining medications who are
ineligible for medical assistance or
general assistance medical care, do not
have private or employer-sponsored
health insurance coverage for
prescription drug expenses, and have
family incomes equal to or less than
185 percent of federal poverty
guidelines. The study must provide
recommendations for setting the level
of out-of-pocket expenses for
prescription maintenance and
life-sustaining medications at which
the state would provide assistance;
examine the practicality and costs of
different methods of providing
assistance, including the provision of
tax credits and the establishment of a
state program to provide direct payment
for out-of-pocket expenses for
prescription maintenance and
life-sustaining medications; and
provide estimates of the eligible
population and costs of the program for
different out-of-pocket expense
eligibility levels and methods of
providing assistance. The commissioner
of human services shall report findings
and recommendations to the legislature
by February 15, 1991.
Of the appropriation for 1991, $70,000
is for a regional demonstration project
under Minnesota Statutes, section
256B.73, to provide health coverage to
low-income uninsured persons. Money
appropriated in Laws 1988, chapter 689,
article 1, section 2, subdivision 5,
for the project does not cancel but is
available for 1991. These
appropriations are available when the
planning for the project is complete,
sufficient money has been committed
from nonstate sources to allow the
project to proceed, and the project is
prepared to begin accepting and
approving applications from uninsured
individuals. The commissioner shall
contract with the coalition formed for
the nine counties named in Minnesota
Statutes, section 256B.73, subdivision
2.
The commissioner of human services
shall study the impact the use of
nursing and other personnel employed by
temporary help employment agencies is
having on nursing homes reimbursed by
the medical assistance program. The
study shall gather information on rates
charged by employment agencies compared
with wages paid to nursing home
employees and shall determine the
impact the use of employment agency
personnel is having on nursing homes
reimbursed by medical assistance,
including staff retention problems,
staff morale problems, continuity of
care concerns, and financial impact.
The commissioner shall report the
results of the study to the legislature
by December 15, 1990, along with
recommendations for reducing the need
for nursing homes to use employees
provided by employment agencies and
recommendations regarding the need for
further regulation of temporary help
employment agencies that supply
personnel for nursing homes.
Subd. 8. State Residential
Facilities -0- (100,000)
Notwithstanding Minnesota Statutes
sections 94.09 to 94.16, the
commissioner of administration may
transfer the title of the state-owned
electrical substation located at the
Brainerd regional human service center
to the Brainerd public utilities
commission. The transfer may include
the substation, allied equipment, and
real estate needed for access to the
substation.
Notwithstanding Minnesota Statutes,
section 245.50, subdivision 3, clause
(5), and section 246.23, the
commissioner may enter into interstate
contractual agreements to provide
chemical dependency services through
regional treatment center programs if
the contracts provide for full payment
for the services from private funds,
nongovernmental third-party payments,
or a non-Minnesota state governmental
entity.
Sec. 3. VETERANS NURSING
HOMES BOARD -0- (275,000)
For the biennium ending June 30, 1991,
the board may set "costs of care" at
the Silver Bay facility based on costs
from average skilled nursing care
provided to residents of the
Minneapolis Veterans Home.
Sec. 4. COMMISSIONER OF JOBS
AND TRAINING
Subdivision 1. Appropriation
by Fund
General Fund (600,000) (317,000)
This appropriation is added to the
appropriation in Laws 1989, chapter
282, article 1, section 5.
Subd. 2. Employment and
Training
General Fund
$(600,000) $(317,000)
Effective the day following final
enactment, $200,000 of funds made
available to the state under United
States Code, title 42, section 1103, is
appropriated from the unemployment
compensation fund to the commissioner
of jobs and training and is available
for obligation until two years after
the date of enactment of this section
for use in the procurement of
electronic data processing equipment by
the department of jobs and training for
administration of the unemployment
compensation program and the system of
public employment offices. The amount
that may be obligated during a fiscal
year is limited as required by United
States Code, title 42, section
1104(d)(2)(D).
MEED service providers may retain 75
percent of outstanding payback funds
they collect to be used for the cost of
collection and for program closeout
activities without regard to existing
cost category requirements. The
commissioner of jobs and training may
retain the following money, up to a
total of $70,000, to be used to close
out the MEED program: 25 percent of
the outstanding payback funds collected
by MEED service providers, 100 percent
of payback funds collected by the
collection agency under contract with
the department, and any remaining
unspent payback funds in the special
revenue account.
Effective the day following final
enactment, the commissioner shall
estimate the amount of unobligated
funds anticipated by each service
provider in the Minnesota employment
and economic development program on
June 30, 1990, and shall reduce the
amount available to each local service
unit service provider by the estimated
amount. If the total estimated amount
is less than $600,000, the commissioner
shall reduce each local service unit
service provider proportionately to
bring the total of unobligated funds to
$600,000. This reduction shall not
apply to money obligated through
existing contracts with employers that
are in effect on the day of enactment
nor shall the reduction impact
negatively on the integrity of the MEED
program.
Notwithstanding Laws 1989, chapter 282,
article 1, section 5, subdivision 5,
any balance remaining in the first year
of the appropriation for the Minnesota
employment and economic development
program does not carry forward to the
second year.
Any balance remaining in the first year
of the appropriation in Laws 1989,
chapter 282, article 1, section 5,
subdivision 5, for the inventory,
referral, and intake system does not
cancel but is available for the second
year.
The commissioner of finance may include
as a budget change request in the
fiscal year 1992 and 1993 detailed
expenditure budget submitted to the
legislature under Minnesota Statutes,
section 16A.11, an annual adjustment in
the extended employment program grants
as of July 1 of each year, beginning
July 1, 1991, by a percentage amount
equal to the percentage increase, if
any, in the consumer price index
(CPI-U-U.S.) city average, as published
by the Bureau of Labor Statistics,
United States Department of Labor,
during the preceding calendar year for
the biennium ending June 30, 1993.
Sec. 5. CORRECTIONS
Subdivision 1. Total
Appropriation -0- 3,537,000
This appropriation is added to the
appropriation in Laws 1989, chapter
282, article 1, section 6.
Subd. 2. Correctional
Institutions
$ -0- $2,105,000
Of this appropriation, $1,755,000 for
the biennium ending June 30, 1991, is
for services to adult women offenders
committed to the commissioner.
For the biennium ending June 30, 1991,
and effective May 1, 1990, the
commissioner of corrections may, with
the approval of the commissioner of
finance and upon notification of the
chairs of the health and human services
divisions of the house appropriations
committee and the senate finance
committee, transfer funds to or from
salaries.
Any unencumbered balances remaining
from fiscal year 1990 shall not cancel,
but are available for the second year
of the biennium.
Subd. 3. Community Services
$ -0- $1,482,000
Whenever offenders are assigned for the
purposes of work under agreement with
any state department or agency, local
unit of government, or any other
government subdivision, the state
department, agency, local unit of
government, or other government
subdivision must certify to the
appropriate bargaining agent that the
work performed by inmates will not
result in the displacement of currently
employed workers or workers on seasonal
layoff or layoff from a substantially
equivalent position, including partial
displacement such as reduction in hours
of nonovertime work, wages, or other
employment benefits.
Of the appropriation for the community
corrections act for fiscal year 1991,
$250,000 must be spent as follows:
$125,000 for west central Minnesota and
$125,000 for central Minnesota to
establish secure juvenile detention
centers. This amount must not be
included in the department's base
funding level for purposes of preparing
the budget for fiscal years 1992 and
1993.
Subd. 4. Management Services
$ -0- $(50,000)
Sec. 6. SENTENCING GUIDELINES
COMMISSION 3,000 5,000
The commission may use the $38,000
appropriated for fiscal year 1991 for a
study on the mandatory minimum
sentencing law to also complete the
study on correctional resources.
Sec. 7. HEALTH
Subdivision 1. Appropriation
by Fund
General Fund (260,000) (85,000)
This appropriation is added to the
appropriation in Laws 1989, chapter
282, article, section 9.
Subd. 2. Preventive and
Protective Health Services
$(210,000) $(357,000)
Of this amount, $56,000 is to validate
the respiratory health findings of the
Childhood Respiratory Health
Feasibility Study. The commissioner
shall present the results of this
follow-up study and recommendations to
the legislature by December 1, 1992.
The commissioner shall conduct detailed
planning and research concerning a
state occupational health surveillance
system and report the results to the
legislature by June 30, 1991.
For the fiscal year ending June 30,
1991, the commissioner is authorized to
accept up to $231,904 in federal
funding for indoor radon abatement if
granted by the United States
Environmental Protection Agency (EPA).
For the fiscal year ending June 30,
1990, the commissioner may accomplish
the $210,000 reduction in AIDS case
management by reductions in other AIDS
grants or other disease prevention and
control activities.
Subd. 3. Health Delivery
Systems
$(50,000) $132,000
The commissioner shall recover the cost
of establishing the regulatory systems
required in Minnesota Statutes,
sections 153A.13 to 153A.18, by
assessing hearing instrument sellers an
annual surcharge of $36 for a period of
five years. The receipts from the
annual surcharge must be deposited in
the general fund as nondedicated
receipts.
Of the appropriation for the fiscal
year ending June 30, 1991, $250,000 is
for financial assistance grants to
rural hospitals in isolated areas of
the state. To qualify for a grant, a
hospital must (1) be eligible to be
classified as a sole-community hospital
according to the criteria in the Code
of Federal Regulations, title 42,
section 412.92; (2) have experienced
net income losses in the two most
recent consecutive hospital fiscal
years ending prior to January 1, 1989,
for which audited financial information
is available; and (3) consist of 20 or
fewer licensed beds. Before applying
for a grant, the hospital must have
developed a strategic plan. The
commissioner shall award grants in
equal amounts. This appropriation
shall not be included as a base
adjustment in the fiscal year 1992-1993
biennial budget request.
By January 15, 1991, the department of
health shall submit to the legislature,
a bill providing for the licensure of
residential care homes. The bill shall
be based on information contained in
the joint report of the departments of
health and human services to the
legislature prepared in accordance with
Laws 1989, chapter 282, article 2,
section 213. The proposal for the
licensure of residential care homes
shall also estimate the fiscal impact
associated with implementation of a
licensure program on the state,
counties, and on providers of these
services. The department of human
services and the interagency board for
quality assurance shall cooperate with
the department of health in developing
the legislative proposal and fiscal
data. $70,000 is appropriated from the
general fund to the department of
health for the purposes of completing
this activity.
Notwithstanding the provisions of
Minnesota Statutes, section 245A.03,
subdivision 2, board and lodging
establishments licensed by the
commissioner of health that provide
services for five or more persons whose
primary diagnosis is mental illness and
who have refused an appropriate
residential program offered by a county
agency shall be exempt from licensure
under Minnesota Statutes, sections
245A.01 to 245A.16, until the
residential care home license is
available. At that time, these
establishments shall be licensed under
the provisions of Minnesota Statutes,
sections 245A.01 to 245A.16, or as a
residential care home.
Notwithstanding the provisions of
Minnesota Statutes, section 256I.05,
subdivision 7, payments to recipients
residing in a board and lodging
establishment that must meet the
special services licensing rules
established by the commissioner of
health under the provisions of
Minnesota Statutes, section 157.031,
for which the county has a negotiated
rate, shall be increased to cover the
necessary additional costs incurred by
the establishment to meet the rule
requirements. The necessary additional
costs shall be determined by the county
in which the establishment is located
and approved by the commissioner of
human services. In order for a
recipient to receive the increased
payment, a board and lodging
establishment must submit information
to support the necessary additional
costs on forms provided by the
commissioner of human services.
The special service licensing rules for
board and lodging establishments
required under the provisions of
Minnesota Statutes, section 157.031,
shall be adopted by July 1, 1991.
Notwithstanding the provisions of
Minnesota Statutes, section 144A.48,
subdivision 2, clause (9), the
commissioner of health may issue a
hospice license to a free standing
residential facility that was
registered and was providing hospice
services as of March 1, 1990, if such
facility is licensed as a board and
lodging facility, provides services to
no more than six residents, meets Group
R, Division 3 occupancy requirements
and meets the fire protection
provisions of chapter 21 of the 1985
Life Safety Code, NFPA 101, for
facilities housing persons with
impractical evacuation capabilities.
Continued licensure as a hospice shall
be contingent on the facility's
compliance with the department of
health rules for hospices and for board
and lodging facilities providing health
supervision services upon adoption of
those rules. The commissioner of
health, in consultation with the
interagency board for quality
assurance, shall report to the
legislature by February 15, 1991, with
recommendations regarding the licensure
of freestanding residential hospice
facilities and any limitations on
licensure necessary to maintain the
moratorium or nursing home licensure.
Subd. 4. Health Support
Services
$ -0- $140,000
The commissioner may carry forward into
fiscal year 1991 up to $260,000 of
unobligated balances of fiscal year
1990 appropriations to be used solely
to pay increased rental costs in fiscal
year 1991. If the balances are less
than $260,000, the commissioner may use
unobligated salary appropriations for
fiscal year 1991, up to an amount that
when added to the unobligated balances
carried forward does not exceed
$260,000, to pay for increased rental
costs.
Sec. 8. HEALTH RELATED BOARDS
Subdivision 1. Total
Appropriation
Special Revenue Fund 50,000 91,000
Subd. 2. Social Work
$ -0- $82,000
Subd. 3. Psychology
$46,000 $ -0-
Subd. 4. Optometry
$4,000 $4,000
Subd. 5. Pharmacy
$ -0- $5,000
ARTICLE 2
HEALTH, LICENSING, AND SOCIAL SERVICES
Section 1. Minnesota Statutes 1988, section 4.071, is
amended to read:
4.071 [OIL OVERCHARGE MONEY.]
Subdivision 1. [APPROPRIATION REQUIRED.] "Oil overcharge
money" means money received by the state as a result of
litigation or settlements of alleged violations of federal
petroleum pricing regulations. Oil overcharge money may not be
spent until the legislative commission on Minnesota resources
has reviewed the proposed projects and the money it is
specifically appropriated by law.
Subd. 2. [MINNESOTA RESOURCES PROJECTS.] The legislature
intends to appropriate one-half of the oil overcharge money for
projects that have been reviewed and recommended by the
legislative commission on Minnesota resources. A work plan must
be prepared for each proposed project for review by the
commission. The commission must recommend specific projects to
the legislature.
Subd. 3. [ENERGY CONSERVATION PROJECTS.] The oil
overcharge money that is not otherwise appropriated by law or
dedicated by court order is appropriated to the commissioner of
jobs and training for energy conservation projects that directly
serve low-income Minnesotans. This appropriation is available
until spent.
Sec. 2. Minnesota Statutes 1989 Supplement, section
116.76, subdivision 9, is amended to read:
Subd. 9. [GENERATOR.] "Generator" means a person whose
activities produce infectious waste. "Generator" does not
include a person who produces sharps as a result of
administering medication to oneself. "Generator" does not
include an ambulance service licensed under section 144.802, an
eligible board of health, community health board, or public
health nursing agency as defined in section 116.78, subdivision
10, or a program providing school health service under section
123.35, subdivision 17.
Sec. 3. Minnesota Statutes 1989 Supplement, section
116.78, is amended by adding a subdivision to read:
Subd. 9. [DISPOSAL OF INFECTIOUS WASTE BY AMBULANCE
SERVICES.] Any infectious waste, as defined in section 116.76,
subdivision 12, produced by an ambulance service in the
transport or care of a patient must be properly packaged and
disposed of at the destination hospital or at the nearest
hospital if the patient is not transported. A hospital must
accept the infectious waste if it is properly packaged according
to the standards the hospital uses for packaging its own
infectious wastes. The hospital may charge the ambulance
service a reasonable fee for disposal of the infectious waste.
Nothing in this subdivision shall require a hospital to accept
infectious waste if the waste is of a type not generated by the
hospital or if the hospital cannot safely store the waste. A
hospital that accepts infectious waste under this subdivision is
not subject to those provisions of section 116.79, subdivision
4, paragraph (a), that apply to the storage or decontamination
of infectious or pathological waste generated at a site other
than the hospital.
Sec. 4. Minnesota Statutes 1989 Supplement, section
116.78, is amended by adding a subdivision to read:
Subd. 10. [DISPOSAL OF INFECTIOUS WASTE BY PUBLIC HEALTH
AGENCIES AND PROGRAMS PROVIDING SCHOOL HEALTH SERVICES.] Any
infectious waste, as defined in section 116.76, subdivision 12,
produced by an eligible board of health, community health board,
or public health nursing agency or a program providing school
health services under section 123.35, subdivision 17, must be
properly packaged and may be disposed of at a hospital. For
purposes of this subdivision, an "eligible board of health,
community health board, or public health nursing agency" is
defined as a board of health, community health board, or public
health nursing agency located in a county with a population of
less than 40,000. A hospital must accept the infectious waste
if it is properly packaged according to the standards the
hospital uses for packaging its own infectious wastes. The
hospital may charge an eligible board of health, community
health board, or public health nursing agency or a program
providing school health services a reasonable fee for disposal
of the infectious waste. Nothing in this subdivision shall
require a hospital to accept infectious waste if the waste is of
a type not generated by the hospital or if the hospital cannot
safely store the waste. A hospital that accepts infectious
waste under this subdivision is not subject to those provisions
of section 116.79, subdivision 4, paragraph (a), that apply to
the storage or decontamination of infectious or pathological
waste generated at a site other than the hospital.
Sec. 5. [144.062] [VACCINE COST REDUCTION PROGRAM.]
The commissioner of administration, after consulting with
the commissioner of health, shall negotiate discounts or rebates
on vaccine or may purchase vaccine at reduced prices. Vaccines
may be offered for sale to medical care providers at the
department's cost plus a fee for administrative costs. As a
condition of receiving the vaccine at reduced cost, a medical
care provider must agree to pass on the savings to patients.
The commissioner of health may transfer money appropriated for
other department of health programs to the commissioner of
administration for the initial cost of purchasing vaccine,
provided the money is repaid by the end of each state fiscal
year and the commissioner of finance approves the transfer.
Proceeds from the sale of vaccines to medical care providers,
including fees collected for administrative costs, are
appropriated to the commissioner of administration. If the
commissioner of administration, in consultation with the
commissioner of health, determines that a vaccine cost reduction
program is not economically feasible or cost effective, the
commissioner may elect not to implement the program, but shall
provide a report to the legislature that explains the reasons
for the decision.
Sec. 6. [144.1465] [FINDING AND PURPOSE.]
The legislature finds that rural hospitals are an integral
part of the health care delivery system and are fundamental to
the development of a sound rural economy. The legislature
further finds that access to rural health care must be assured
to all Minnesota residents. The rural health care system is
undergoing a restructuring that threatens to jeopardize access
in rural areas to quality health services. To assure continued
rural health care access the legislature proposes to establish a
grant program to assist rural hospitals and their communities
with the development of strategic plans and transition projects,
provide subsidies for geographically isolated hospitals facing
closure, and examine the problem of recruitment and retention of
rural physicians, nurses, and other allied health care
professionals.
Sec. 7. [144.147] [RURAL HOSPITAL PLANNING AND TRANSITION
GRANT PROGRAM.]
Subdivision 1. [DEFINITION.] "Eligible rural hospital"
means any nonfederal, general acute care hospital that:
(1) is either located in a rural area, as defined in the
federal Medicare regulations, Code of Federal Regulations, title
42, section 405.1041, or located in a community with a
population of less than 5,000, according to United States Census
Bureau statistics, outside the seven-county metropolitan area;
(2) has 100 or fewer beds;
(3) has experienced net income losses in at least two of
the three most recent consecutive hospital fiscal years for
which audited financial information is available;
(4) is not for profit; and
(5) has not been awarded a grant under the federal rural
health transition grant program.
Subd. 2. [GRANTS AUTHORIZED.] The commissioner shall
establish a program of grants to assist eligible rural
hospitals. The commissioner shall award grants to hospitals and
communities for the purposes set forth in paragraphs (a) and (b).
(a) Grants may be used by hospitals and their communities
to develop strategic plans for preserving access to health
services. At a minimum, a strategic plan must consist of:
(1) a needs assessment to determine what health services
are needed and desired by the community. The assessment must
include interviews with or surveys of area health professionals,
local community leaders, and public hearings;
(2) an assessment of the feasibility of providing needed
health services that identifies priorities and timeliness for
potential changes; and
(3) an implementation plan.
The strategic plan must be developed by a committee that
includes representatives from the hospital, local public health
agencies, other health providers, and consumers from the
community.
(b) The grants may also be used by eligible rural hospitals
that have developed strategic plans to implement transition
projects to modify the type and extent of services provided, in
order to reflect the needs of that plan. Grants may be used by
hospitals under this paragraph to develop hospital-based
physician practices that integrate hospital and existing medical
practice facilities that agree to transfer their practices,
equipment, staffing, and administration to the hospital. Not
more than one-third of any grant shall be used to offset losses
incurred by physicians agreeing to transfer their practices to
hospitals.
Subd. 3. [CONSIDERATION OF GRANTS.] In determining which
hospitals will receive grants under this section, the
commissioner shall take into account:
(1) improving community access to hospital or health
services;
(2) changes in service populations;
(3) demand for ambulatory and emergency services;
(4) the extent that the health needs of the community are
not currently being met by other providers in the service area;
(5) the need to recruit and retain health professionals;
and
(6) the involvement and extent of support of the community
and local health care providers.
Subd. 4. [ALLOCATION OF GRANTS.] (a) Eligible hospitals
must apply to the commissioner no later than September 1, 1990,
for grants awarded in the 1991 state fiscal year; and no later
than September 1, 1990, for grants awarded in the 1992 state
fiscal year.
(b) The commissioner may award at least two grants for each
fiscal year. The commissioner must make a final decision on the
funding of each application within 60 days of the deadline for
receiving applications.
(c) Each relevant community health board has 30 days in
which to review and comment to the commissioner on grant
applications from hospitals in their community health service
area.
(d) In determining which hospitals will receive grants
under this section, the commissioner shall consider the
following factors:
(1) Description of the problem, description of the project
and the likelihood of successful outcome of the project. The
applicant must explain clearly the nature of the health services
problems in their service area, how the grant funds will be
used, what will be accomplished, and the results expected. The
applicant should describe achievable objectives, a timetable,
and roles and capabilities of responsible individuals and
organizations.
(2) The extent of community support for the hospital and
this proposed project. The applicant should demonstrate support
for the hospital and for the proposed project from other local
health service providers and from local community and government
leaders. Evidence of such support may include past commitments
of financial support from local individuals, organization or
government entities; and commitment of financial support,
in-kind services or cash, for this project.
(3) The comments, if any, resulting from a review of the
application by the community health board in whose community
health service area the hospital is located.
(e) In evaluating applications, the commissioner shall
score each application on a 100 point scale, assigning the
maximum of 70 points for an applicant's understanding of the
problem, description of the project, and likelihood of
successful outcome of the project; and a maximum of 30 points
for the extent of community support for the hospital and this
project. The commissioner may also take into account other
relevant factors.
(f) A grant to a hospital, including hospitals that submit
applications as consortia, may not exceed $50,000 a year, and
may not exceed a term of two years. Prior to the receipt of any
grant, the hospital must certify to the commissioner that at
least one-half of the amount, which may include in-kind
services, is available for the same purposes from nonstate
sources. A hospital receiving a grant under this section may
use the grant for any expenses incurred in the development of
strategic plans or the implementation of transition projects
with respect to which the grant is made. Project grants may not
be used to retire debt incurred with respect to any capital
expenditure made prior to the date on which the project is
initiated.
Subd. 5. [EVALUATION.] The commissioner shall evaluate the
overall effectiveness of the grant program. The commissioner
may collect, from the hospital, and communities receiving
grants, the information necessary to evaluate the grant
program. Information related to the financial condition of
individual hospitals shall be classified as nonpublic data.
Sec. 8. 1990 S.F. No. 1698, section 1, if enacted, is
amended to read:
Section 1. [144.551] [HOSPITAL CONSTRUCTION MORATORIUM.]
Subdivision 1. [RESTRICTED CONSTRUCTION OR MODIFICATION.]
(a) Until July 1, 1993, the following construction or
modification may not be commenced:
(1) any erection, building, alteration, reconstruction,
modernization, improvement, extension, lease, or other
acquisition by or on behalf of a hospital that increases the bed
capacity of a hospital, relocates hospital beds from one
physical facility, complex, or site to another, or otherwise
results in an increase or redistribution of hospital beds within
the state; and
(2) the establishment of a new hospital.
(b) This section does not apply to:
(1) construction or relocation within a county by a
hospital, clinic, or other health care facility that is a
national referral center engaged in substantial programs of
patient care, medical research, and medical education meeting
state and national needs that receives more than 40 percent of
its patients from outside the state of Minnesota;
(2) a project for construction or modification for which a
health care facility held an approved certificate of need on May
1, 1984, regardless of the date of expiration of the
certificate;
(3) a project for which a certificate of need was denied
before the date of enactment of this section if a timely appeal
results in an order reversing the denial;
(4) a project exempted from certificate of need
requirements by Laws 1981, chapter 200, section 2;
(5) a project involving consolidation of pediatric
specialty hospital services within the Minneapolis-St. Paul
metropolitan area that would not result in a net increase in the
number of pediatric specialty hospital beds among the hospitals
being consolidated;
(6) a project involving the temporary relocation of
pediatric-orthopedic hospital beds to an existing licensed
hospital that will allow for the reconstruction of a new
philanthropic, pediatric-orthopedic hospital on an existing site
and that will not result in a net increase in the number of
hospital beds. Upon completion of the reconstruction, the
licenses of both hospitals must be reinstated at the capacity
that existed on each site before the relocation;
(7) the relocation or redistribution of hospital beds
within a hospital building or identifiable complex of buildings
provided the relocation or redistribution does not result in:
(i) an increase in the overall bed capacity at that site; (ii)
relocation of hospital beds from one physical site or complex to
another; or (iii) redistribution of hospital beds within the
state or a region of the state;
(8) relocation or redistribution of hospital beds within a
hospital corporate system that involves the transfer of beds
from a closed facility site or complex to an existing site or
complex provided that: (i) no more than 50 percent of the
capacity of the closed facility is transferred; (ii) the
capacity of the site or complex to which the beds are
transferred does not increase by more than 50 percent; (iii) the
beds are not transferred outside of a federal health systems
agency boundary in place on July 1, 1983; and (iv) the
relocation or redistribution does not involve the construction
of a new hospital building;
(9) a construction project involving up to 35 new beds in a
psychiatric hospital in Rice county that primarily serves
adolescents and that receives more than 70 percent of its
patients from outside the state of Minnesota;
(10) a project to replace a hospital or hospitals with a
combined licensed capacity of 130 beds or less if: (i) the new
hospital site is located within five miles of the current site;
and (ii) the total licensed capacity of the replacement
hospital, either at the time of construction of the initial
building or as the result of future expansion, will not exceed
70 licensed hospital beds, or the combined licensed capacity of
the hospitals, whichever is less;
(11) the relocation of licensed hospital beds from an
existing state facility operated by the commissioner of human
services to a new or existing facility, building, or complex
operated by the commissioner of human services, or; from one
regional treatment center site to another; or from one building
or site to a new or existing building or site on the same
campus; or
(12) the construction or relocation of hospital beds
operated by a hospital having a statutory obligation to provide
hospital and medical services for the indigent that does not
result in a net increase in the number of hospital beds.
Subd. 2. [EMERGENCY WAIVER.] The commissioner shall grant
an emergency waiver from the provisions of this section if the
need for the project is a result of fire, tornado, flood, storm
damage, or other similar disaster, if adequate health care
facilities are not available for the people who previously used
the applicant facility, and if the request for an emergency
waiver is limited in nature and scope only to those repairs
necessitated by the natural disaster.
Subd. 3. [ENFORCEMENT.] The district court in Ramsey
county has jurisdiction to enjoin an alleged violation of
subdivision 1. At the request of the commissioner of health,
the attorney general may bring an action to enjoin an alleged
violation. The commissioner of health shall not issue a license
for any portion of a hospital in violation of subdivision 1. No
hospital in violation of subdivision 1 may apply for or receive
public funds under chapters 245 to 256B, or from any other
source.
Subd. 4. [DEFINITIONS.] Except as indicated in this
subdivision, the terms used in this section have the meanings
given them under Minnesota Statutes 1982, sections 145.832 to
145.845, and the rules adopted under those sections.
The term "hospital" has the meaning given it in section
144.50.
Sec. 9. Minnesota Statutes 1988, section 144.581,
subdivision 1, is amended to read:
Subdivision 1. [NONPROFIT CORPORATION POWERS.] A
municipality, political subdivision, state agency, or other
governmental entity that owns or operates a hospital authorized,
organized, or operated under chapters 158, 250, 376, and 397, or
under sections 246A.01 to 246A.27, 412.221, 447.05 to 447.13,
447.31, or 471.59, or under any special law authorizing or
establishing a hospital or hospital district shall, relative to
the delivery of health care services, have, in addition to any
authority vested by law, the authority and legal capacity of a
nonprofit corporation under chapter 317, including authority to
(a) enter shared service and other cooperative ventures,
(b) join or sponsor membership in organizations intended to
benefit the hospital or hospitals in general,
(c) enter partnerships,
(d) incorporate other corporations,
(e) have members of its governing authority or its officers
or administrators serve as directors, officers, or employees of
the ventures, associations, or corporations,
(f) own shares of stock in business corporations, and
(g) offer, directly or indirectly, products and services of
the hospital, organization, association, partnership, or
corporation to the general public.,
(h) provide funds for payment of educational expenses of up
to $20,000 per individual, if the hospital or hospital district
has at least $1,000,000 in reserve and depreciation funds at the
time of payment, and these reserve and depreciation funds were
obtained solely from the operating revenues of the hospital or
hospital district, and
(i) provide funds of up to $50,000 per year per individual
for a maximum of two years to supplement the incomes of family
practice physicians, up to a maximum of $100,000 in annual
income, if the hospital or hospital district has at least
$250,000 in reserve and depreciation funds at the time of
payment, and these reserve and depreciation funds were obtained
solely from the operating revenues of the hospital or hospital
district.
Sec. 10. Minnesota Statutes 1989 Supplement, section
144.802, subdivision 3, is amended to read:
Subd. 3. [APPLICATIONS; NOTICE OF APPLICATION;
RECOMMENDATIONS.] (a) Each prospective licensee and each present
licensee wishing to offer a new type or types of ambulance
service, to establish a new base of operation, or to expand a
primary service area, shall make written application for a
license to the commissioner on a form provided by the
commissioner.
(b) For applications for the provision of ambulance
services in a service area located within a county, the
commissioner shall promptly send notice of the completed
application to the county board and to each community health
service board, governing body of a regional emergency medical
services system designated under section 144.8093, ambulance
service, and municipality in the area in which ambulance service
would be provided by the applicant. The commissioner shall
publish the notice, at the applicant's expense, in the State
Register and in a newspaper in the municipality in which the
base of operation will be located, or if no newspaper is
published in the municipality or if the service would be
provided in more than one municipality, in a newspaper published
at the county seat of the county in which the service would be
provided.
(c) For applications for the provision of ambulance
services in a service area larger than a county, the
commissioner shall promptly send notice of the completed
application to the municipality in which the service's base of
operation will be located and to each community health board,
county board, governing body of a regional emergency medical
services system designated under section 144.8093, and ambulance
service located within the counties in which any part of the
service area described by the applicant is located, and any
contiguous counties. The commissioner shall publish this
notice, at the applicant's expense, in the State Register.
(d) The commissioner shall request that the chief
administrative law judge appoint an administrative law judge to
hold a public hearing in the municipality in which the service's
base of operation will be located. The public hearing shall be
conducted as contested case hearing under chapter 14.
(e) Each municipality, county, community health service
board, governing body of a regional emergency medical services
system, ambulance service, and other person wishing to make
recommendations concerning the disposition of the application
shall make written recommendations to the administrative law
judge within 30 days of the publication of notice of the
application in the State Register.
(f) The administrative law judge shall:
(1) hold a public hearing in the municipality in which the
service's base of operations is or will be located;
(2) provide notice of the public hearing in the newspaper
or newspapers in which notice was published under paragraph (b)
for two successive weeks at least ten days before the date of
the hearing;
(3) allow any interested person the opportunity to be
heard, to be represented by counsel, and to present oral and
written evidence at the public hearing;
(4) provide a transcript of the hearing at the expense of
any individual requesting it.
(g) The administrative law judge shall review and comment
upon the application and shall make written recommendations as
to its disposition to the commissioner within 90 days of
receiving notice of the application. In making the
recommendations, the administrative law judge shall consider and
make written comments as to whether the proposed service, change
in base of operations, or expansion in primary service area is
needed, based on consideration of the following factors:
(1) the relationship of the proposed service, change in
base of operations or expansion in primary service area to the
current community health plan as approved by the commissioner
under section 145.918 145A.12, subdivision 4;
(2) the recommendations or comments of the governing bodies
of the counties and municipalities in which the service would be
provided;
(3) the deleterious effects on the public health from
duplication, if any, of ambulance services that would result
from granting the license;
(4) the estimated effect of the proposed service, change in
base of operation or expansion in primary service area on the
public health;
(5) whether any benefit accruing to the public health would
outweigh the costs associated with the proposed service, change
in base of operations, or expansion in primary service area.
The administrative law judge shall recommend that the
commissioner either grant or deny a license or recommend that a
modified license be granted. The reasons for the recommendation
shall be set forth in detail. The administrative law judge
shall make the recommendations and reasons available to any
individual requesting them.
Sec. 11. Minnesota Statutes 1989 Supplement, section
144.804, subdivision 1, is amended to read:
Subdivision 1. [DRIVERS AND ATTENDANTS.] No publicly or
privately owned basic ambulance service shall be operated in the
state unless its drivers and attendants possess a current
emergency medical care course certificate authorized by rules
adopted by the commissioner of health according to chapter 14.
Until August 1, 1994, a licensee may substitute a person
currently certified by the American Red Cross in advanced first
aid and emergency care or a person who has successfully
completed the United States Department of Transportation first
responder curriculum, and who has also been trained to use all
of the equipment carried in the ambulance basic life support
equipment as required by rules adopted by the commissioner under
section 144.804, subdivision 2, for one of the persons on a
basic ambulance, provided that person will function as the
driver while transporting a patient. The commissioner may grant
a variance to allow a licensed ambulance service to use
attendants certified by the American Red Cross in advanced first
aid and emergency care in order to ensure 24-hour emergency
ambulance coverage. The variance must expire no later than
August 1, 1990. The commissioner shall study the roles and
responsibilities of first responder units and report the
findings by January 1, 1991. This study shall address at a
minimum: (1) education and training; (2) appropriate equipment
and its use; (3) medical direction and supervision; and (4)
supervisory and regulatory requirements.
Sec. 12. Minnesota Statutes 1989 Supplement, section
144.804, subdivision 7, is amended to read:
Subd. 7. [DRIVERS OF AMBULANCE SERVICE VEHICLES
AMBULANCES.] An ambulance service vehicle shall be staffed by a
driver possessing a current Minnesota driver's license or
equivalent and whose driving privileges are not under suspension
or revocation by any state. If red lights and siren are used,
the driver must also have completed training approved by the
commissioner in emergency driving techniques. An ambulance
transporting patients must be staffed by at least two persons
who are trained according to this section subdivision 1, or
section 144.809, one of whom may be the driver. A third person
serving as driver shall be trained according to this subdivision.
Sec. 13. Minnesota Statutes 1989 Supplement, section
144.809, is amended to read:
144.809 [RENEWAL OF BASIC EMERGENCY MEDICAL TECHNICIAN'S
CARE COURSE CERTIFICATE,; FEE.]
Subdivision 1. [STANDARDS FOR RECERTIFICATION.] The
commissioner shall adopt rules establishing minimum standards
for expiration and recertification of basic emergency care
course certificates. These standards shall require:
(1) four years after initial certification, and every four
years thereafter, formal classroom training and successful
completion of a written test and practical examination, both of
which must be approved by the commissioner; and
(2) two years after initial certification, and every four
years thereafter, in-service continuing education, including
knowledge and skill proficiency testing, all of which must be
conducted under the supervision of a medical director or medical
advisor and approved by the commissioner.
Course requirements under clause (1) shall not exceed 24
hours. Course requirements under clause (2) shall not exceed 36
hours, of which at least 12 hours may consist of course material
developed by the medical director or medical advisor.
Individuals may choose to complete, two years after initial
certification, and every two years thereafter, formal classroom
training and successful completion of a written test and
practical examination, both of which are approved by the
commissioner, in lieu of completing requirements in clauses (1)
and (2).
Subd. 2. [UPGRADING TO BASIC EMERGENCY CARE COURSE
CERTIFICATE.] By August 1, 1994, the commissioner shall adopt
rules authorizing the equivalence of the following as credit
toward successful completion of the commissioner's basic
emergency care course:
(1) successful completion of the United States Department
of Transportation first responder curriculum;
(2) a minimum of two years of documented continuous service
as an ambulance driver, as authorized in section 144.804,
subdivision 7;
(3) documented clinical experience obtained through work or
volunteer activity as a first responder; and
(4) documented continuing education in emergency care.
Subd. 3. [LIMITATION ON FEES.] No fee set by the
commissioner for biennial renewal of an a basic emergency
medical technician's care course certificate by a volunteer
member of an ambulance service, fire department, or police
department shall exceed $2.
Sec. 14. Minnesota Statutes 1989 Supplement, section
144.8091, is amended to read:
144.8091 [REIMBURSEMENT TO NONPROFIT AMBULANCE SERVICES.]
Subdivision 1. [REPAYMENT FOR VOLUNTEER TRAINING.] Any
political subdivision, or nonprofit hospital or nonprofit
corporation operating a licensed ambulance service shall be
reimbursed by the commissioner for the necessary expense of the
initial training of a volunteer ambulance attendant upon
successful completion by the attendant of a basic emergency
medical care course, or a continuing education course for basic
emergency medical care, or both, which has been approved by the
commissioner, pursuant to section 144.804. Reimbursement may
include tuition, transportation, food, lodging, hourly payment
for the time spent in the training course, and other necessary
expenditures, except that in no instance shall a volunteer
ambulance attendant be reimbursed more than $210 $350 for
successful completion of a basic course, and $70 $140 for
successful completion of a continuing education course.
Subd. 2. [VOLUNTEER ATTENDANT DEFINED.] For purposes of
this section, "volunteer ambulance attendant" means a person who
provides emergency medical services for a Minnesota licensed
ambulance service without the expectation of remuneration and
who does not depend in any way upon the provision of these
services for the person's livelihood. An individual may be
considered a volunteer ambulance attendant even though that
individual receives an hourly stipend for each hour of actual
service provided, except for hours on standby alert, even though
this hourly stipend is regarded as taxable income for purposes
of state or federal law, provided that this hourly stipend does
not exceed $500 $3,000 within one year of the final
certification examination. Reimbursement will be paid under
provisions of this section when documentation is provided the
department of health that the individual has served for one year
from the date of the final certification exam as an active
member of a Minnesota licensed ambulance service.
Sec. 15. [144.8095] [FUNDING FOR THE EMERGENCY MEDICAL
SERVICES REGIONS.]
The commissioner of health shall distribute funds
appropriated from the general fund equally among the emergency
medical service regions. Each regional board may use this money
to reimburse eligible emergency medical services personnel for
continuing education costs related to emergency care that are
personally incurred and are not reimbursed from other sources.
Eligible emergency medical services personnel include, but are
not limited to, dispatchers, emergency room physicians,
emergency room nurses, first responders, emergency medical
technicians, and paramedics.
Sec. 16. [144.8097] [EMERGENCY MEDICAL SERVICES ADVISORY
COUNCIL.]
Subdivision 1. [ADVISORY COUNCIL ESTABLISHED.] There is
established an emergency medical services advisory council to
advise, to consult with, and to make recommendations to the
commissioner of health regarding the formulation of policy and
plans for the organization, delivery, and evaluation of
emergency medical services within the state. The commissioner
shall establish procedures for the advisory council's proper
functioning. The procedures must include, but not be limited
to, methods for selecting alternate or temporary members and
methods of communicating recommendations and advice to the
commissioner for consideration.
Subd. 2. [MEMBERSHIP; TERMS; COMPENSATION.] (a) The
council shall consist of 17 members. The members shall be
appointed by the commissioner of health and shall consist of the
following:
(1) a representative of the governing bodies of the eight
regional emergency medical systems designated under section
144.8093;
(2) an emergency medical services physician;
(3) an emergency department nurse;
(4) an emergency medical technician (ambulance,
intermediate, or paramedic);
(5) a representative of an emergency medical care training
institution;
(6) a representative of a licensed ambulance service;
(7) a hospital administrator;
(8) a first responder;
(9) a member of a community health services agency; and
(10) a representative of the public at large.
(b) As nearly as possible, one-third of the initial
members' terms must expire each year during the first three
years of the council. Successors of the initial members shall
be appointed for three-year terms. A person chosen to fill a
vacancy shall be appointed only for the unexpired term of the
board member whom the newly appointed member succeeds.
(c) Members of the council shall be compensated for
expenses.
(d) The removal of all members and the expiration of the
council shall be as provided in section 15.059.
Sec. 17. Minnesota Statutes 1988, section 148B.23, is
amended by adding a subdivision to read:
Subd. 1a. [EXTENSION OF TRANSITION PERIOD ALLOWED.] The
board may issue a graduate social worker license without
examination, after the transition period that ends June 30,
1989, to an applicant:
(1) who met the criteria in subdivision 1, clause (2),
before the transition period ended; and
(2) who was unable to submit an application for licensure
before the transition period ended because the person was in
another country performing social work training to complete the
requirements for a master's degree in social work.
Sec. 18. Minnesota Statutes 1988, section 151.06,
subdivision 1, is amended to read:
Subdivision 1. (a) [POWERS AND DUTIES.] The board of
pharmacy shall have the power and it shall be its duty:
(1) to regulate the practice of pharmacy;
(2) to regulate the manufacture, wholesale, and retail sale
of drugs within this state;
(3) to regulate the identity, labeling, purity, and quality
of all drugs and medicines dispensed in this state, using the
United States Pharmacopeia and the National Formulary, or any
revisions thereof, or standards adopted under the federal act as
the standard;
(4) to enter and inspect by its authorized representative
any and all places where drugs, medicines, medical gases, or
veterinary drugs or devices are sold, vended, given away,
compounded, dispensed, manufactured, wholesaled, or held; it may
secure samples or specimens of any drugs, medicines, medical
gases, or veterinary drugs or devices after paying or offering
to pay for such sample; it shall be entitled to inspect and make
copies of any and all records of shipment, purchase,
manufacture, quality control, and sale of these items provided,
however, that such inspection shall not extend to financial
data, sales data, or pricing data;
(5) to examine and license as pharmacists all applicants
whom it shall deem qualified to be such;
(6) to license wholesale drug distributors;
(7) to deny, suspend, revoke, or refuse to renew any
registration or license required under this chapter, to any
applicant or registrant or licensee upon any of the following
grounds:
(i) fraud or deception in connection with the securing of
such license or registration;
(ii) in the case of a pharmacist, conviction in any court
of a felony;
(iii) in the case of a pharmacist, conviction in any court
of an offense involving moral turpitude;
(iv) habitual indulgence in the use of narcotics,
stimulants, or depressant drugs; or habitual indulgence in
intoxicating liquors in a manner which could cause conduct
endangering public health;
(v) unprofessional conduct or conduct endangering public
health;
(vi) gross immorality;
(vii) employing, assisting, or enabling in any manner an
unlicensed person to practice pharmacy;
(viii) conviction of theft of drugs, or the unauthorized
use, possession, or sale thereof;
(ix) violation of any of the provisions of this chapter or
any of the rules of the state board of pharmacy;
(x) in the case of a pharmacy license, operation of such
pharmacy without a pharmacist present and on duty;
(xi) in the case of a pharmacist, physical or mental
disability which could cause incompetency in the practice of
pharmacy; or
(xii) in the case of a pharmacist, the suspension or
revocation of a license to practice pharmacy in another state;
(7) (8) to employ necessary assistants and make rules for
the conduct of its business; and
(8) (9) to perform such other duties and exercise such
other powers as the provisions of the act may require.
(b) [TEMPORARY SUSPENSION.] In addition to any other
remedy provided by law, the board may, without a hearing,
temporarily suspend a license for not more than 60 days if the
board finds that a pharmacist has violated a statute or rule
that the board is empowered to enforce and continued practice by
the pharmacist would create an imminent risk of harm to others.
The suspension shall take effect upon written notice to the
pharmacist, specifying the statute or rule violated. At the
time it issues the suspension notice, the board shall schedule a
disciplinary hearing to be held under the administrative
procedure act. The pharmacist shall be provided with at least
20 days notice of any hearing held under this subdivision.
(c) [RULES.] For the purposes aforesaid it shall be the
duty of the board to make and publish uniform rules not
inconsistent herewith for carrying out and enforcing the
provisions of this chapter.
Sec. 19. Minnesota Statutes 1988, section 151.25, is
amended to read:
151.25 [REGISTRATION OF MANUFACTURERS OR WHOLESALERS; FEE;
PROHIBITIONS.]
The board shall require and provide for the annual
registration of every person engaged in manufacturing or selling
at wholesale drugs, medicines, chemicals, or poisons for
medicinal purposes, now or hereafter doing business with
accounts in this state. Upon a payment of a fee as set by the
board, the board shall issue a registration certificate in such
form as it may prescribe to such manufacturer or wholesaler.
Such registration certificate shall be displayed in a
conspicuous place in such manufacturer's or wholesaler's place
of business for which it is issued and expire on the date set by
the board. It shall be unlawful for any person to manufacture
or sell at wholesale drugs, medicines, chemicals, or poisons for
medicinal purposes unless such a certificate has been issued to
the person by the board. It shall be unlawful for any person
engaged in the manufacture or selling at wholesale of drugs,
medicines, chemicals, or poisons for medicinal purposes, or the
person's agent, to sell legend drugs to other than a pharmacy,
except as provided in this chapter.
Sec. 20. [151.42] [CITATION.]
Sections 151.42 to 151.51 may be cited as the "wholesale
drug distribution licensing act of 1990."
Sec. 21. [151.43] [SCOPE.]
Sections 151.42 to 151.51 apply to any person, partnership,
corporation, or business firm engaging in the wholesale
distribution of prescription drugs within the state.
Sec. 22. [151.44] [DEFINITIONS.]
As used in sections 151.42 to 151.51, the following terms
have the meanings given in paragraphs (a) to (f):
(a) "Wholesale drug distribution" means distribution of
prescription drugs to persons other than a consumer or patient,
but does not include:
(1) a sale between a division, subsidiary, parent,
affiliated, or related company under the common ownership and
control of a corporate entity;
(2) the purchase or other acquisition, by a hospital or
other health care entity that is a member of a group purchasing
organization, of a drug for its own use from the organization or
from other hospitals or health care entities that are members of
such organizations;
(3) the sale, purchase, or trade of a drug or an offer to
sell, purchase, or trade a drug by a charitable organization
described in section 501(c)(3) of the Internal Revenue Code of
1986, as amended through December 31, 1988, to a nonprofit
affiliate of the organization to the extent otherwise permitted
by law;
(4) the sale, purchase, or trade of a drug or offer to
sell, purchase, or trade a drug among hospitals or other health
care entities that are under common control;
(5) the sale, purchase, or trade of a drug or offer to
sell, purchase, or trade a drug for emergency medical reasons;
(6) the sale, purchase, or trade of a drug, an offer to
sell, purchase, or trade a drug, or the dispensing of a drug
pursuant to a prescription;
(7) the transfer of prescription drugs by a retail pharmacy
to another retail pharmacy to alleviate a temporary shortage;
(8) the distribution of prescription drug samples by
manufacturers representatives; or
(9) the sale, purchase, or trade of blood and blood
components.
(b) "Wholesale drug distributor" means anyone engaged in
wholesale drug distribution, including but not limited to,
manufacturers; repackers; own-label distributors; jobbers;
brokers; warehouses, including manufacturers' and distributors'
warehouses, chain drug warehouses, and wholesale drug
warehouses; independent wholesale drug traders; and pharmacies
that conduct wholesale drug distribution. A wholesale drug
distributor does not include a common carrier or individual
hired primarily to transport prescription drugs.
(c) "Manufacturer" means anyone who is engaged in the
manufacturing, preparing, propagating, compounding, processing,
packaging, repackaging, or labeling of a prescription drug.
(d) "Prescription drug" means a drug required by federal or
state law or regulation to be dispensed only by a prescription,
including finished dosage forms and active ingredients subject
to United States Code, title 21, sections 811 and 812.
(e) "Blood" means whole blood collected from a single donor
and processed either for transfusion or further manufacturing.
(f) "Blood components" means that part of blood separated
by physical or mechanical means.
Sec. 23. [151.45] [WHOLESALE DRUG DISTRIBUTOR ADVISORY
TASK FORCE.]
The board shall appoint a wholesale drug distributor
advisory task force composed of five members, to be selected and
to perform duties and responsibilities as follows:
(a) One member shall be a pharmacist who is neither a
member of the board nor a board employee.
(b) Two members shall be representatives of wholesale drug
distributors as defined in section 151.44, paragraph (b).
(c) One member shall be a representative of drug
manufacturers.
(d) One member shall be a public member as defined by
section 214.02.
(e) The advisory task force shall review and make
recommendations to the board on the merit of all rules dealing
with wholesale drug distributors and drug manufacturers that are
proposed by the board; and no rule affecting wholesale drug
distributors proposed by the board shall be adopted without
first being submitted to the task force for review and comment.
(f) In making advisory task force appointments, the board
shall consider recommendations received from each of the
wholesale drug distributor, pharmacist, and drug manufacturer
classes cited in paragraphs (a) to (c), and shall adopt rules
that provide for solicitation of the recommendations.
Sec. 24. [151.46] [PROHIBITED DRUG PURCHASES OR RECEIPT.]
It is unlawful for any person to knowingly purchase or
receive a prescription drug from a source other than a person or
entity licensed under the laws of the state, except where
otherwise provided. Licensed wholesale drug distributors other
than pharmacies shall not dispense or distribute prescription
drugs directly to patients. A person violating the provisions
of this section is guilty of a misdemeanor.
Sec. 25. [151.47] [WHOLESALE DRUG DISTRIBUTOR LICENSING
REQUIREMENTS.]
Subdivision 1. [REQUIREMENTS.] All wholesale drug
distributors are subject to the requirements in paragraphs (a)
to (e).
(a) No person or distribution outlet shall act as a
wholesale drug distributor without first obtaining a license
from the board and paying the required fee.
(b) No license shall be issued or renewed for a wholesale
drug distributor to operate unless the applicant agrees to
operate in a manner prescribed by federal and state law and
according to the rules adopted by the board.
(c) The board may require a separate license for each
facility directly or indirectly owned or operated by the same
business entity within the state, or for a parent entity with
divisions, subsidiaries, or affiliate companies within the
state, when operations are conducted at more than one location
and joint ownership and control exists among all the entities.
(d) As a condition for receiving and retaining a wholesale
drug distributor license issued under sections 151.42 to 151.51,
an applicant shall satisfy the board that it has and will
continuously maintain:
(1) adequate storage conditions and facilities;
(2) minimum liability and other insurance as may be
required under any applicable federal or state law;
(3) a viable security system that includes an after hours
central alarm, or comparable entry detection capability;
restricted access to the premises; comprehensive employment
applicant screening; and safeguards against all forms of
employee theft;
(4) a system of records describing all wholesale drug
distributor activities set forth in section 151.44 for at least
the most recent two-year period and which shall be reasonably
accessible as defined by board regulations in any inspection
authorized by the board;
(5) principals and persons, including officers, directors,
primary shareholders, and key management executives who must at
all times demonstrate and maintain their capability of
conducting business in conformity with sound financial practices
as well as state and federal law;
(6) complete, updated information, to be provided to the
board as a condition for obtaining and retaining a license,
about each wholesale drug distributor to be licensed, including
all pertinent corporate licensee information, if applicable, or
other ownership, principal, key personnel, and facilities
information found to be necessary by the board;
(7) written policies and procedures that assure reasonable
wholesale drug distributor preparation for, protection against,
and handling of any facility security or operation problems,
including, but not limited to, those caused by natural disaster
or government emergency, inventory inaccuracies or product
shipping and receiving, outdated product or other unauthorized
product control, appropriate disposition of returned goods, and
product recalls;
(8) sufficient inspection procedures for all incoming and
outgoing product shipments; and
(9) operations in compliance with all federal requirements
applicable to wholesale drug distribution.
(e) An agent or employee of any licensed wholesale drug
distributor need not seek licensure under this section.
Subd. 2. [REQUIREMENTS MUST CONFORM WITH FEDERAL LAW.] All
requirements set forth in this section shall conform to
wholesale drug distributor licensing guidelines formally adopted
by the United States Food and Drug Administration; and in case
of conflict between a wholesale drug distributor licensing
requirement imposed by the board and a Food and Drug
Administration wholesale drug distributor guideline, the latter
shall control.
Sec. 26. [151.48] [OUT-OF-STATE WHOLESALE DRUG DISTRIBUTOR
LICENSING REQUIREMENTS.]
(a) It is unlawful for an out-of-state wholesale drug
distributor to conduct business in the state without first
obtaining a license from the board and paying the required fee.
(b) Application for an out-of-state wholesale drug
distributor license under this section shall be made on a form
furnished by the board.
(c) The issuance of a license under sections 151.42 to
151.51 shall not change or affect tax liability imposed by the
department of revenue on any out-of-state wholesale drug
distributor.
(d) No person acting as principal or agent for any
out-of-state wholesale drug distributor may sell or distribute
drugs in the state unless the distributor has obtained a license.
(e) The board may adopt regulations that permit
out-of-state wholesale drug distributors to obtain a license on
the basis of reciprocity to the extent that an out-of-state
wholesale drug distributor:
(1) possesses a valid license granted by another state
under legal standards comparable to those that must be met by a
wholesale drug distributor of this state as prerequisites for
obtaining a license under the laws of this state; and
(2) can show that the other state would extend reciprocal
treatment under its own laws to a wholesale drug distributor of
this state.
Sec. 27. [151.49] [LICENSE RENEWAL APPLICATION
PROCEDURES.]
Application blanks for renewal of a license required by
sections 151.42 to 151.51 shall be mailed to each licensee on or
before the first day of the month prior to the month in which
the license expires and, if application for renewal of the
license with the required fee is not made before the expiration
date, the existing license or renewal shall lapse and become
null and void upon the date of expiration.
Sec. 28. [151.50] [RULES.]
The board shall adopt rules to carry out the purposes and
enforce the provisions of sections 151.42 to 151.51. All rules
adopted under this section shall conform to wholesale drug
distributor licensing guidelines formally adopted by the United
States Food and Drug Administration; and in case of conflict
between a rule adopted by the board and a Food and Drug
Administration wholesale drug distributor guideline, the latter
shall control.
Sec. 29. [151.51] [BOARD ACCESS TO WHOLESALE DRUG
DISTRIBUTOR RECORDS.]
Wholesale drug distributors may keep records at a central
location apart from the principal office of the wholesale drug
distributor or the location at which the drugs were stored and
from which they were shipped, provided that the records shall be
made available for inspection within two working days of a
request by the board. The records may be kept in any form
permissible under federal law applicable to prescription drugs
record keeping.
Sec. 30. Minnesota Statutes 1988, section 171.07,
subdivision 1a, is amended to read:
Subd. 1a. [PHOTOGRAPHIC NEGATIVES; FILING; DATA
CLASSIFICATION.] The department shall file, or contract to file,
all photographic negatives obtained in the process of issuing
driver licenses or Minnesota identification cards. The
negatives shall be private data pursuant to section 13.02,
subdivision 12. Notwithstanding section 13.04, subdivision 3,
the department shall not be required to provide copies of
photographic negatives to data subjects. The use of the files
is restricted:
(1) to the issuance and control of driver licenses and;
(2) for law enforcement purposes in the investigation and
prosecution of felonies and violations of section 169.09;
169.121; 169.123; 169.129; 171.22; 171.24; 171.30; 609.41;
609.487, subdivision 3; 609.631, subdivision 4, clause (3); or
609.821, subdivision 3, clauses (1), item (iv), and (3); and
(3) for child support enforcement purposes under section
256.978.
Sec. 31. Minnesota Statutes 1988, section 241.26,
subdivision 2, is amended to read:
Subd. 2. [USE OF LOCAL DETENTION FACILITIES.] The
commissioner of corrections shall designate state correctional
institutions for participation in the program authorized in
subdivision 1 and shall adapt facilities of such institutions to
provide housing and supervision of inmates participating in such
program. The commissioner of corrections may also enter into
contractual agreements with appropriate city and county
authorities for the confinement of and provision of other
correctional services to such inmates whose employment,
educational or vocational training programs so require, and such
city and county authorities are hereby authorized to make and
enter such contracts and agreements. When the commissioner
determines that the circumstances of a participant in the
program authorized by subdivision 1 do not require the security
of a public detention facility, the commissioner may contract
with public and private agencies for the custody and separate
care of such participant or house the participant in a community
correction center or under house arrest and monitored by
electronic surveillance in an approved residence.
Sec. 32. Minnesota Statutes 1988, section 244.05, is
amended by adding a subdivision to read:
Subd. 6. [INTENSIVE COMMUNITY SUPERVISION.] The
commissioner may order that an inmate be placed on intensive
community supervision, as described in sections 244.14 and
244.15, for all or part of the inmate's supervised release
term. If the inmate violates the conditions of the intensive
community supervision, the commissioner shall impose sanctions
as provided in subdivision 3 and section 244.14.
Sec. 33. [244.12] [INTENSIVE COMMUNITY SUPERVISION.]
Subdivision 1. [GENERALLY.] The commissioner may order
that an inmate be placed on intensive community supervision, as
described in sections 244.14 and 244.15, for all or part of the
inmate's supervised release term. Additionally, the
commissioner may order that an offender who meets the
eligibility requirements of subdivisions 2 and 3 be placed on
intensive community supervision, as described in sections 244.14
and 244.15, for all or part of the offender's prison sentence if
the offender agrees to participate in the program and if the
sentencing court approves in writing of the offender's
participation in the program.
Subd. 2. [ELIGIBILITY.] The commissioner must limit the
intensive community supervision program to the following persons:
(1) inmates who are serving a supervised release term;
(2) offenders who are committed to the commissioner's
custody following revocation of a stayed sentence; and
(3) offenders who are committed to the commissioner's
custody for a prison sentence of 27 months or less, who did not
receive a dispositional departure under the sentence guidelines,
and who have already served a period of incarceration as a
result of the offense for which they are committed.
Subd. 3. [OFFENDERS NOT ELIGIBLE.] The following are not
eligible to be placed on intensive community supervision, under
subdivision 2, clause (3):
(1) offenders who were committed to the commissioner's
custody under a statutory mandatory minimum sentence;
(2) offenders who were committed to the commissioner's
custody following a conviction for murder, manslaughter,
criminal sexual conduct in the first or second degree, or
criminal vehicular operation resulting in death; and
(3) offenders whose presence in the community would present
a danger to public safety.
Sec. 34. [244.13] [INTENSIVE COMMUNITY SUPERVISION;
ESTABLISHMENT OF PROGRAMS.]
Subdivision 1. [ESTABLISHMENT.] The commissioner of
corrections shall establish programs for those designated by the
commissioner to serve all or part of a prison sentence or a
supervised release term on intensive community supervision. The
adoption of policies and procedures to implement sections
244.05, subdivision 6, and 244.12 to 244.15 are not subject to
the rulemaking procedures of chapter 14. The commissioner shall
locate the programs so that at least one-half of the money
appropriated for the programs in each year is used for programs
in community corrections act counties.
Subd. 2. [TRAINING.] The commissioner shall develop
specialized training programs for probation officers assigned to
the intensive community supervision program. The probation
officer caseload shall not exceed the ratio of 30 offenders to
two probation officers.
Subd. 3. [EVALUATION.] The commissioner shall develop a
system for gathering and analyzing information concerning the
value and effectiveness of the intensive community supervision
programs and shall compile a report to the chairs of the senate
and house judiciary committees by January 1 of each odd-numbered
year.
Sec. 35. [244.14] [INTENSIVE COMMUNITY SUPERVISION; BASIC
ELEMENTS.]
Subdivision 1. [REQUIREMENTS.] This section governs the
intensive community supervision programs established under
section 244.13. The commissioner shall operate the programs in
conformance with this section. The commissioner shall
administer the programs to further the following goals:
(1) to punish the offender;
(2) to protect the safety of the public;
(3) to facilitate employment of the offender during the
intensive community supervision and afterward; and
(4) to require the payment of restitution ordered by the
court to compensate the victims of the offender's crime.
Subd. 2. [GOOD TIME NOT AVAILABLE.] An offender serving a
prison sentence on intensive community supervision does not earn
good time, notwithstanding section 244.04.
Subd. 3. [SANCTIONS.] The commissioner shall impose severe
and meaningful sanctions for violating the conditions of an
intensive community supervision program. The commissioner shall
provide for revocation of intensive community supervision of an
offender who:
(1) fails to follow the rules of the program;
(2) commits any misdemeanor, gross misdemeanor, or felony
offense; or
(3) presents a risk to the public, based on the offender's
behavior, attitude, or abuse of alcohol or controlled substances.
The revocation of intensive community supervision is governed by
the procedures in the commissioner's rules adopted under section
244.05, subdivision 2.
An offender whose intensive community supervision is
revoked shall be imprisoned for a time period equal to the
offender's original term of imprisonment, but in no case for
longer than the time remaining in the offender's sentence.
"Original term of imprisonment" means a time period equal to
two-thirds of the prison sentence originally executed by the
sentencing court.
Subd. 4. [ALL PHASES.] Throughout all phases of an
intensive community supervision program, the offender shall
submit at any time to an unannounced search of the offender's
person, vehicle, or premises by a probation officer. If the
offender received a restitution order as part of the sentence,
the offender shall make weekly payments as scheduled by the
probation officer, until the full amount is paid.
Sec. 36. [244.15] [INTENSIVE COMMUNITY SUPERVISION; PHASES
I TO IV.]
Subdivision 1. [DURATION.] Phase I of an intensive
community supervision program is six months, or one-half the
presumptive imprisonment sentence under the sentencing
guidelines, whichever is less. Phase II lasts for at least four
months. Phase III lasts for at least two months. Phase IV
continues indefinitely.
Subd. 2. [RANDOM DRUG TESTING.] (a) During phase I, the
offender will be subjected to weekly urinalysis and breath tests
to detect the presence of controlled substances or alcohol. The
tests will be random and unannounced.
(b) During phase II, the tests will be done twice monthly.
(c) During phases III and IV, the tests will be done at
random at the frequency determined by the probation officer.
Subd. 3. [HOUSE ARREST.] (a) During phase I, the offender
will be under house arrest in a residence approved by the
offender's probation officer and may not move to another
residence without permission. "House arrest" means that the
offender's movements will be severely restricted and continually
monitored by the assigned probation officer.
(b) During phase II, modified house arrest is imposed.
(c) During phases III and IV, the offender is subjected to
a daily curfew instead of house arrest.
Subd. 4. [FACE-TO-FACE CONTACTS.] (a) During phase I, the
assigned probation officer shall have at least four face-to-face
contacts with the offender each week.
(b) During phase II, two face-to-face contacts a week are
required.
(c) During phase III, one face-to-face contact a week is
required.
(d) During phase IV, two face-to-face contacts a month are
required.
Subd. 5. [WORK REQUIRED.] During phases I, II, III, and
IV, the offender must spend at least 40 hours a week performing
approved work, undertaking constructive activity designed to
obtain employment, or attending a treatment or education program
as directed by the commissioner. An offender may not spend more
than six months in a residential treatment program that does not
require the offender to spend at least 40 hours a week
performing approved work or undertaking constructive activity
designed to obtain employment.
Subd. 6. [ELECTRONIC SURVEILLANCE.] During any phase, the
offender may be placed on electronic surveillance if the
probation officer so directs.
Subd. 7. [OTHER REQUIREMENTS.] The commissioner may
include any other conditions in the various phases of the
intensive community supervision program that the commissioner
finds necessary and appropriate.
Sec. 37. [245.036] [LEASES FOR STATE-OPERATED,
COMMUNITY-BASED PROGRAMS.]
Notwithstanding section 16B.24, subdivision 6, paragraph
(a), or any other law to the contrary, the commissioner of
administration may lease land or other premises to provide
state-operated, community-based programs authorized by sections
252.50, 253.018, and 253.28 for a term of 20 years or less, with
a ten year option to renew, subject to cancellation upon 30
days' notice by the state for any reason, except rental of other
land or premises for the same use. The commissioner of
administration may lease land or premises to provide
state-operated, community-based programs authorized by sections
252.50, 253.018, and 253.28 for no more than 30 years.
Sec. 38. Minnesota Statutes 1989 Supplement, section
245.470, subdivision 1, is amended to read:
Subdivision 1. [AVAILABILITY OF OUTPATIENT SERVICES.]
(a) By July 1, 1988, County boards must provide or contract for
enough outpatient services within the county to meet the needs
of adults with mental illness residing in the county. Services
may be provided directly by the county through county-operated
mental health centers or mental health clinics approved by the
commissioner under section 245.69, subdivision 2; by contract
with privately operated mental health centers or mental health
clinics approved by the commissioner under section 245.69,
subdivision 2; or by contract with a licensed mental health
professional as defined in section 245.462, subdivision 18,
clauses (1) to (4). Clients may be required to pay a fee
according to section 245.481. Outpatient services include:
(1) conducting diagnostic assessments;
(2) conducting psychological testing;
(3) developing or modifying individual treatment plans;
(4) making referrals and recommending placements as
appropriate;
(5) treating an adult's mental health needs through
therapy;
(6) prescribing and managing medication and evaluating the
effectiveness of prescribed medication; and
(7) preventing placement in settings that are more
intensive, costly, or restrictive than necessary and appropriate
to meet client needs.
(b) County boards may request a waiver allowing outpatient
services to be provided in a nearby trade area if it is
determined that the client can best be served outside the county.
Sec. 39. Minnesota Statutes 1989 Supplement, section
245.488, subdivision 1, is amended to read:
Subdivision 1. [AVAILABILITY OF OUTPATIENT SERVICES.] (a)
County boards must provide or contract for enough outpatient
services within the county to meet the needs of each child with
emotional disturbance residing in the county and the child's
family. Services may be provided directly by the county through
county-operated mental health centers or mental health clinics
approved by the commissioner under section 245.69, subdivision
2; by contract with privately operated mental health centers or
mental health clinics approved by the commissioner under section
245.69, subdivision 2; or by contract with a licensed mental
health professional as defined in section 245.4871, subdivision
27, clauses (1) to (4). A child or a child's parent may be
required to pay a fee based in accordance with section 245.481.
Outpatient services include:
(1) conducting diagnostic assessments;
(2) conducting psychological testing;
(3) developing or modifying individual treatment plans;
(4) making referrals and recommending placements as
appropriate;
(5) treating the child's mental health needs through
therapy; and
(6) prescribing and managing medication and evaluating the
effectiveness of prescribed medication.
(b) County boards may request a waiver allowing outpatient
services to be provided in a nearby trade area if it is
determined that the child requires necessary and appropriate
services that are only available outside the county.
(c) Outpatient services offered by the county board to
prevent placement must be at the level of treatment appropriate
to the child's diagnostic assessment.
Sec. 40. Minnesota Statutes 1989 Supplement, section
245A.02, subdivision 6a, is amended to read:
Subd. 6a. [DROP-IN CHILD CARE PROGRAM.] "Drop-in child
care program" means a nonresidential program of child care
provided to children for a maximum per child of five hours in
any one day and 40 hours in any one calendar month at a child
care center that does not have a regularly scheduled, ongoing
child care program with a stable enrollment, and that is
licensed exclusively for that purpose. in which children
participate on a one-time only or occasional basis up to a
maximum of 45 hours per child, per month. A drop-in child care
program must be licensed under Minnesota Rules governing child
care centers. A drop-in child care program must meet one of the
following requirements to qualify for the rule exemptions
specified in section 245A.14, subdivision 6:
(1) the drop-in child care program operates in a child care
center which houses no child care program except the drop-in
child care program;
(2) the drop-in child care program operates in the same
child care center but not during the same hours as a regularly
scheduled ongoing child care program with a stable enrollment;
or
(3) the drop-in child care program operates in a child care
center at the same time as a regularly scheduled ongoing child
care program with a stable enrollment but the program's
activities, except for bathroom use and outdoor play, are
conducted separately from each other.
Sec. 41. Minnesota Statutes 1989 Supplement, section
245A.03, subdivision 2, is amended to read:
Subd. 2. [EXCLUSION FROM LICENSURE.] Sections 245A.01 to
245A.16 do not apply to:
(1) residential or nonresidential programs that are
provided to a person by an individual who is related;
(2) nonresidential programs that are provided by an
unrelated individual to persons from a single related family;
(3) residential or nonresidential programs that are
provided to adults who do not abuse chemicals or who do not have
a chemical dependency, a mental illness, mental retardation or a
related condition, a functional impairment, or a physical
handicap;
(4) sheltered workshops or work activity programs that are
certified by the commissioner of jobs and training;
(5) programs for children enrolled in kindergarten to the
12th grade and prekindergarten special education programs that
are operated by the commissioner of education or a school as
defined in section 120.101, subdivision 4;
(6) nonresidential programs for children that provide care
or supervision for periods of less than three hours a day while
the child's parent or legal guardian is in the same building or
present on property that is contiguous with the physical
facility where the nonresidential program is provided;
(7) nursing homes or hospitals licensed by the commissioner
of health except as specified under section 245A.02;
(8) board and lodge facilities licensed by the commissioner
of health that provide services for five or more persons whose
primary diagnosis is mental illness who have refused an
appropriate residential program offered by a county agency.
This exclusion expires on July 1, 1990;
(9) homes providing programs for persons placed there by a
licensed agency for legal adoption, unless the adoption is not
completed within two years;
(10) programs licensed by the commissioner of corrections;
(11) recreation programs for children or adults that
operate for fewer than 40 calendar days in a calendar year;
(12) programs whose primary purpose is to provide social or
recreational activities for adults or school-age children, such
as scouting, boys clubs, girls clubs, sports, or the arts;
except that a program operating in a school building is not
excluded unless it is approved by the district's school board;
(13) head start nonresidential programs which operate for
less than 31 days in each calendar year;
(14) noncertified boarding care homes unless they provide
services for five or more persons whose primary diagnosis is
mental illness or mental retardation;
(15) nonresidential programs for nonhandicapped children
provided for a cumulative total of less than 30 days in any
12-month period;
(16) residential programs for persons with mental illness,
that are located in hospitals, until the commissioner adopts
appropriate rules;
(17) the religious instruction of school-age children;
Sabbath or Sunday schools; or the congregate care of children by
a church, congregation, or religious society during the period
used by the church, congregation, or religious society for its
regular worship;
(18) camps licensed by the commissioner of health under
Minnesota Rules, chapter 4630;
(19) until July 1, 1991, nonresidential programs mental
health outpatient services for persons adults with mental
illness or children with emotional disturbance; or
(20) residential programs serving school-age children whose
sole purpose is cultural or educational exchange, until the
commissioner adopts appropriate rules.
Sec. 42. Minnesota Statutes 1989 Supplement, section
245A.04, subdivision 3, is amended to read:
Subd. 3. [STUDY OF THE APPLICANT.] (a) Before the
commissioner issues a license, the commissioner shall conduct a
study of the individuals specified in clauses (1) to (4)
according to rules of the commissioner. The applicant, license
holder, the bureau of criminal apprehension, and county
agencies, after written notice to the individual who is the
subject of the study, shall help with the study by giving the
commissioner criminal conviction data and reports about abuse or
neglect of adults in licensed programs substantiated under
section 626.557 and the maltreatment of minors in licensed
programs substantiated under section 626.556. The individuals
to be studied shall include:
(1) the applicant;
(2) persons over the age of 13 living in the household
where the licensed program will be provided;
(3) current employees or contractors of the applicant who
will have direct contact with persons served by the program; and
(4) volunteers who have direct contact with persons served
by the program to provide program services, if the contact is
not directly supervised by the individuals listed in clause (1)
or (3).
For purposes of this subdivision, "direct contact" means
providing face-to-face care, training, supervision, counseling,
consultation, or medication assistance to persons served by a
program. For purposes of this subdivision, "directly supervised"
means an individual listed in clause (1) or (3) is within sight
or hearing of a volunteer to the extent that the individual
listed in clause (1) or (3) is capable at all times of
intervening to protect the health and safety of the persons
served by the program who have direct contact with the volunteer.
A study of an individual in clauses (1) to (4) shall be
conducted on at least an annual basis. No applicant, license
holder, or individual who is the subject of the study shall pay
any fees required to conduct the study.
(b) The individual who is the subject of the study must
provide the applicant or license holder with sufficient
information to ensure an accurate study including the
individual's first, middle, and last name; home address, city,
county, and state of residence; zip code; sex; date of birth;
and driver's license number. The applicant or license holder
shall provide this information about an individual in paragraph
(a), clauses (1) to (4), on forms prescribed by the
commissioner. The commissioner may request additional
information of the individual, which shall be optional for the
individual to provide, such as the individual's social security
number or race.
(c) A study must include information from the county
agency's record of substantiated abuse of adults, or neglect of
adults in licensed programs, and the maltreatment of minors in
licensed programs, and information from the bureau of criminal
apprehension.
The commissioner may also review arrest and investigative
information from the bureau of criminal apprehension, a county
attorney, county sheriff, county agency, local chief of police,
other states, the courts, or a national criminal record
repository if the commissioner has reasonable cause to believe
the information is pertinent to the disqualification of an
individual listed in paragraph (a), clauses (1) to (4).
(d) An applicant's or license holder's failure or refusal
to cooperate with the commissioner is reasonable cause to deny
an application or immediately suspend, suspend, or revoke a
license. Failure or refusal of an individual to cooperate with
the study is just cause for denying or terminating employment of
the individual if the individual's failure or refusal to
cooperate could cause the applicant's application to be denied
or the license holder's license to be immediately suspended,
suspended, or revoked.
(e) The commissioner shall not consider an application to
be complete until all of the information required to be provided
under this subdivision has been received.
(f) No person in paragraph (a), clause (1), (2), (3), or
(4) who is disqualified as a result of this act may be retained
by the agency in a position involving direct contact with
persons served by the program.
(g) The commissioner shall not implement the procedures
contained in this subdivision until appropriate rules have been
adopted, except for the applicants and license holders for child
foster care, adult foster care, and family day care homes.
(h) Termination of persons in paragraph (a), clause (1),
(2), (3), or (4) made in good faith reliance on a notice of
disqualification provided by the commissioner shall not subject
the applicant or license holder to civil liability.
(i) The commissioner may establish records to fulfill the
requirements of this section. The information contained in the
records is only available to the commissioner for the purpose
authorized in this section.
Sec. 43. Minnesota Statutes 1989 Supplement, section
245A.04, subdivision 3a, is amended to read:
Subd. 3a. [NOTIFICATION TO SUBJECT OF STUDY RESULTS.] The
commissioner shall notify the applicant or license holder and
the individual who is the subject of the study, in writing, of
the results of the study. When the study is completed, a notice
that the study was undertaken and completed shall be maintained
in the personnel files of the program.
The commissioner shall notify the individual studied if the
information contained in the study could cause disqualification
indicates the individual is disqualified from direct contact
with persons served by the program. The commissioner shall
disclose the information to the individual studied. An
applicant or license holder who is not the subject of the study
shall be informed that the commissioner has found information
that could cause disqualification of disqualifies the subject
from direct contact with persons served by the program.
However, the applicant or license holder shall not be told what
that information is unless the data practices act provides for
release of the information and the individual studied authorizes
the release of the information.
Sec. 44. Minnesota Statutes 1989 Supplement, section
245A.04, subdivision 3b, is amended to read:
Subd. 3b. [RECONSIDERATION OF DISQUALIFICATION.] (a)
Within 30 days after receiving notice of possible
disqualification under subdivision 3a, the individual who is the
subject of the study may request reconsideration of the notice
of possible disqualification. The individual must submit the
request for reconsideration to the commissioner in writing. The
individual must present information to show that:
(1) the information the commissioner relied upon is
incorrect; or
(2) the subject of the study does not pose a risk of harm
to any person served by the applicant or license holder.
(b) The commissioner may set aside the disqualification if
the commissioner finds that the information the commissioner
relied upon is incorrect or the individual does not pose a risk
of harm to any person served by the applicant or license holder
and rules adopted by the commissioner do not preclude
reconsideration. The commissioner shall review the consequences
of the event or events that could lead to disqualification, the
vulnerability of the victim at the time of the event, the time
elapsed without a repeat of the same or similar event, and
documentation of successful completion by the individual studied
of training or rehabilitation pertinent to the event.
(c) The commissioner shall respond in writing to all
reconsideration requests within 15 working days after receiving
the request for reconsideration. If the disqualification is set
aside, the commissioner shall notify the applicant or license
holder in writing of the decision.
(d) Except as provided in subdivision 3c, the
commissioner's decision to grant or deny a reconsideration of
disqualification under this subdivision, or to set aside or
uphold the results of the study under subdivision 3, is the
final administrative agency action.
Sec. 45. Minnesota Statutes 1988, section 245A.07,
subdivision 3, is amended to read:
Subd. 3. [SUSPENSION, REVOCATION, PROBATION.] The
commissioner may suspend, revoke, or make probationary a license
if a license holder fails to comply fully with applicable laws
or rules. A license holder who has had a license suspended,
revoked, or made probationary must be given notice of the action
by certified mail. The notice must be mailed to the address
shown on the application or the last known address of the
license holder. The notice must state the reasons the license
was suspended, revoked, or made probationary and.
(a) If the license was suspended or revoked, the notice
must inform the license holder of the right to a contested case
hearing under chapter 14. The license holder may appeal an
order suspending, or revoking, or making a license probationary
by notifying the commissioner in writing by certified mail
within ten calendar days after receiving notice that the license
has been suspended, or revoked, or made probationary.
(b) If the license was made probationary, the notice must
inform the license holder of the right to request a
reconsideration by the commissioner. The request for
reconsideration must be made in writing by certified mail within
ten calendar days after receiving notice that the license has
been made probationary. The license holder may submit with the
request for reconsideration written argument or evidence in
support of the request for reconsideration. The commissioner's
disposition of a request for reconsideration is final, and is
not subject to appeal under chapter 14.
Sec. 46. Minnesota Statutes 1988, section 245A.08,
subdivision 3, is amended to read:
Subd. 3. [BURDEN OF PROOF.] (a) At a hearing regarding
suspension, immediate suspension, or revocation, or making
probationary of a license for family day care or foster care,
the commissioner may demonstrate reasonable cause for action
taken by submitting statements, reports, or affidavits to
substantiate the allegations that the license holder failed to
comply fully with applicable law or rule. If the commissioner
demonstrates that reasonable cause existed, the burden of proof
in hearings involving suspension, immediate suspension, or
revocation, or making probationary of a family day care or
foster care license shifts to the license holder to demonstrate
by a preponderance of the evidence that the license holder was
in full compliance with those laws or rules that the
commissioner alleges the license holder violated, at the time
that the commissioner alleges the violations of law or rules
occurred.
(b) At a hearing on denial of an application, the applicant
bears the burden of proof to demonstrate by a preponderance of
the evidence that the appellant has complied fully with sections
245A.01 to 245A.15 and other applicable law or rule and that the
application should be approved and a license granted.
(c) At all other hearings under this section, the
commissioner bears the burden of proof to demonstrate, by a
preponderance of the evidence, that the violations of law or
rule alleged by the commissioner occurred.
Sec. 47. Minnesota Statutes 1988, section 245A.11,
subdivision 4, is amended to read:
Subd. 4. [LOCATION OF RESIDENTIAL PROGRAMS.] In
determining whether to grant a license, the commissioner shall
specifically consider the population, size, land use plan,
availability of community services, and the number and size of
existing licensed residential programs in the town,
municipality, or county in which the applicant seeks to operate
a residential program. The commissioner shall not grant an
initial license to any residential program if the residential
program will be within 1,320 feet of an existing residential
program unless one of the following conditions apply: (1) the
existing residential program is located in a hospital licensed
by the commissioner of health; or (2) the town, municipality, or
county zoning authority grants the residential program a
conditional use or special use permit. In cities of the first
class, this subdivision applies even if a residential program is
considered a permitted single-family residential use of property
under subdivision 2. Foster care homes are exempt from this
subdivision.
Sec. 48. Minnesota Statutes 1989 Supplement, section
245A.12, is amended to read:
245A.12 [VOLUNTARY RECEIVERSHIP FOR RESIDENTIAL PROGRAMS.]
Subdivision 1. [DEFINITIONS.] For purposes of this section
and section 245A.13, the following terms have the meanings given
them.
(a) "Controlling individual" has the meaning in section
245A.02, subdivision 5a. When used in this section and section
245A.13, it means only those individuals controlling the
residential program prior to the commencement of the
receivership period.
(b) "Physical plant" means the building or buildings in
which a residential program is located; all equipment affixed to
the building and not easily subject to transfer as specified in
the building and fixed equipment tables of the depreciation
guidelines; and auxiliary buildings in the nature of sheds,
garages, and storage buildings located on the same site if used
for purposes related to resident care.
(c) "Related party" means a person who is a close relative
of a provider or a provider group; an affiliate of a provider or
a provider group; a close relative of an affiliate of a provider
or provider group; or an affiliate of a close relative of an
affiliate of a provider or provider group. For the purposes of
this paragraph, the following terms have the meanings given them.
(1) "Affiliate" means a person that directly, or indirectly
through one or more intermediaries, controls, or is controlled
by, or is under common control with another person.
(2) "Person" means an individual, a corporation, a
partnership, an association, a trust, an unincorporated
organization, or a government or political subdivision.
(3) "Close relative of an affiliate of a provider or
provider group" means an individual whose relationship by blood,
marriage, or adoption to an individual who is an affiliate to a
provider or a provider group is no more remote than first cousin.
(4) "Control" includes the terms "controlling," "controlled
by," and "under common control with" and means the possession,
direct or indirect, of the power to direct or cause the
direction of the management, operations, or policies of a
person, whether through the ownership of voting securities, by
contract, or otherwise.
(5) "Provider or provider group" means the license holder
or controlling individual prior to the effective date of the
receivership.
Subd. 2. [RECEIVERSHIP AGREEMENT.] A majority of
controlling individuals of a residential program may at any time
ask the commissioner to assume operation of the residential
program through appointment of a receiver. On receiving the
request for a receiver, the commissioner may enter into an
agreement with a majority of controlling individuals and provide
for the appointment of a become the receiver to and operate the
residential program under conditions acceptable to both the
commissioner and the majority of controlling persons individuals.
The agreement must specify the terms and conditions of the
receivership and preserve the rights of the persons being served
by the residential program. A receivership set up under this
section terminates at the time specified by the parties to the
agreement or 30 days after either of the parties gives written
notice to the other party of termination of the receivership
agreement.
Subd. 3. [MANAGEMENT AGREEMENT.] When the commissioner
agrees to become the receiver of a residential program, the
commissioner may enter into a management agreement with another
entity or group to act as the managing agent during the
receivership period. The managing agent will be responsible for
the day-to-day operations of the residential program subject at
all times to the review and approval of the commissioner. A
reasonable fee may be paid to the managing agent for the
performance of these services.
Subd. 4. [RATE ADJUSTMENT.] The provisions of section
245A.13, subdivisions 7 and 8, shall also apply to voluntary
receiverships.
Subd. 5. [CONTROLLING INDIVIDUALS; RESTRICTIONS ON
LICENSURE.] No controlling individual of a residential program
placed into receivership under this section shall apply for or
receive a license to operate a residential program for five
years from the commencement of the receivership period. This
subdivision does not apply to residential programs that are
owned or operated by controlling individuals, that were in
existence prior to the date of the receivership agreement, and
that have not been placed into receivership.
Subd. 6. [LIABILITY.] The controlling individuals of a
residential program placed into receivership remain liable for
any claims made against the residential program that arose from
incidents or events that occurred prior to the commencement of
the receivership period. Neither the commissioner nor the
managing agent of the commissioner assumes this liability.
Subd. 7. [LIABILITY FOR FINANCIAL OBLIGATIONS.] Neither
the commissioner nor the managing agent of the commissioner
shall be liable for payment of any financial obligations of the
residential program or of its controlling individuals incurred
prior to the commencement of the receivership period unless such
liability is expressly assumed in the receivership agreement.
Those financial obligations remain the liability of the
residential program and its controlling individuals. Financial
obligations of the residential program incurred after the
commencement of the receivership period are the responsibility
of the commissioner or the managing agent of the commissioner to
the extent such obligations are expressly assumed by each in the
receivership or management agreements. The controlling
individuals of the residential program remain liable for any
financial obligations incurred after the commencement of the
receivership period to the extent these obligations are not
reimbursed in the rate paid to the residential program and are
reasonable and necessary to the operation of the residential
program. These financial obligations, or any other financial
obligations incurred by the residential program prior to the
commencement of the receivership period which are necessary to
the continued operation of the residential program, may be
deducted from any rental payments owed to the controlling
individuals of the residential program as part of the
receivership agreement.
Subd. 8. [PHYSICAL PLANT OF THE RESIDENTIAL
PROGRAM.] Occupation of the physical plant after commencement of
the receivership period shall be controlled by paragraphs (a)
and (b).
(a) If the physical plant of a residential program placed
in receivership is owned by a controlling individual or related
party, the physical plant may be used by the commissioner or the
managing agent for purposes of the receivership as long as the
receivership period continues. A fair monthly rental for the
physical plant shall be paid by the commissioner or managing
agent to the owner of the physical plant. This fair monthly
rental shall be determined by considering all relevant factors
necessary to meet required arms-length obligations of
controlling individuals such as the mortgage payments owed on
the physical plant, the real estate taxes, special assessments,
and the conditions of the physical plant. This rental shall not
include any allowance for profit or be based on any formula that
includes an allowance for profit.
(b) If the owner of the physical plant of a residential
program placed in receivership is not a related party, the
controlling individual shall continue as the lessee of the
property. However, during the receivership period, rental
payments shall be made to the owner of the physical plant by the
commissioner or the managing agent on behalf of the controlling
individual. Neither the commissioner nor the managing agent
assumes the obligations of the lease unless expressly stated in
the receivership agreement. Should the lease expire during the
receivership, the commissioner or the managing agent may
negotiate a new lease for the term of the receivership period.
Subd. 9. [RECEIVERSHIP ACCOUNTING.] The commissioner may
use the medical assistance account and funds for receivership
cash flow and accounting purposes.
Subd. 10. [RECEIVERSHIP COSTS.] The commissioner may use
the accounts and funds that would have been available for the
room and board, services, and program costs of persons in the
residential program for costs, cash flow, and accounting
purposes related to the receivership.
Sec. 49. Minnesota Statutes 1989 Supplement, section
245A.13, is amended to read:
245A.13 [INVOLUNTARY RECEIVERSHIP FOR RESIDENTIAL
PROGRAMS.]
Subdivision 1. [APPLICATION.] In addition to any other
remedy provided by law, the commissioner may petition the
district court in the county where the residential program is
located for an order directing the controlling individuals of
the residential program to show cause why the commissioner or
the commissioner's designated representative should not be
appointed receiver to operate the residential program. The
petition to the district court must contain proof by affidavit:
(1) that the commissioner has either begun license suspension or
revocation proceedings, suspended or revoked a license, or has
decided to deny an application for licensure of the residential
program; or (2) it appears to the commissioner that the health,
safety, or rights of the residents may be in jeopardy because of
the manner in which the residential program may close, the
residential program's financial condition, or violations
committed by the residential program of federal or state laws or
rules. If the license holder, applicant, or controlling
individual operates more than one residential program, the
commissioner's petition must specify and be limited to the
residential program for which it seeks receivership. The
affidavit submitted by the commissioner must set forth
alternatives to receivership that have been considered,
including rate adjustments. The order to show cause is
returnable not less than five days after service is completed
and must provide for personal service of a copy to the
residential program administrator and to the persons designated
as agents by the controlling individuals to accept service on
their behalf.
Subd. 2. [APPOINTMENT OF RECEIVER; RENTAL.] If the court
finds that involuntary receivership is necessary as a means of
protecting the health, safety, or rights of persons being served
by the residential program, the court shall appoint a the
commissioner as receiver to operate the residential program. In
the event that no receiver can be found who meets the conditions
of this section, the commissioner or commissioner's designated
representative may serve as the receiver. The court shall
determine a fair monthly rental for the physical plant, taking
into account all relevant factors necessary to meet required
arms-length obligations of controlling individuals such as
mortgage payments, real estate taxes, special assessments, and
the conditions of the physical plant. The rental fee must be
paid by the receiver to the appropriate controlling individuals
for each month that the receivership remains in effect. No
payment made to a controlling individual by the receiver or any
state agency during a period of involuntary receivership shall
include any allowance for profit or be based on any formula that
includes an allowance for profit. The commissioner as receiver
may contract with another entity or group to act as the managing
agent during the receivership period. The managing agent will
be responsible for the day-to-day operations of the residential
program subject at all times to the review and approval of the
commissioner.
Subd. 3. [POWERS AND DUTIES OF THE RECEIVER.] Within 36
months after the receivership order, a the receiver appointed to
operate a residential program during a period of involuntary
receivership shall provide for the orderly transfer of the
persons served by the residential program to other residential
programs or make other provisions to protect their health,
safety, and rights. The receiver or the managing agent shall
correct or eliminate deficiencies in the residential program
that the commissioner determines endanger the health, safety, or
welfare of the persons being served by the residential program
unless the correction or elimination of deficiencies involves
major alteration in the structure of the physical plant. If the
correction or elimination of the deficiencies requires major
alterations in the structure of the physical plant, the receiver
shall take actions designed to result in the immediate transfer
of persons served by the residential program. During the period
of the receivership, the receiver and the managing agent shall
operate the residential program in a manner designed to preserve
the health, safety, rights, adequate care, and supervision of
the persons served by the residential program. The receiver or
the managing agent may make contracts and incur lawful
expenses. The receiver or the managing agent shall collect
incoming payments from all sources and apply them to the cost
incurred in the performance of the receiver's functions of the
receivership including the receiver's fee set under subdivision
4. No security interest in any real or personal property
comprising the residential program or contained within it, or in
any fixture of the physical plant, shall be impaired or
diminished in priority by the receiver or the managing agent.
The receiver shall pay all valid obligations of the residential
program and may deduct these expenses, if necessary, from rental
payments owed to any controlling individual by virtue of the
receivership.
Subd. 3a. [LIABILITY.] The provisions contained in section
245A.12, subdivision 6, shall also apply to receiverships
ordered according to this section.
Subd. 3b. [LIABILITY FOR FINANCIAL OBLIGATIONS.] The
provisions contained in section 245A.12, subdivision 7, also
apply to receiverships ordered according to this section.
Subd. 3c. [PHYSICAL PLANT OF THE RESIDENTIAL
PROGRAM.] Occupation of the physical plant under an involuntary
receivership shall be governed by paragraphs (a) and (b).
(a) The physical plant owned by a controlling individual of
the residential program or related party must be made available
for the use of the residential program throughout the
receivership period. The court shall determine a fair monthly
rental for the physical plant, taking into account all relevant
factors necessary to meet required arms-length obligations of
controlling individuals such as mortgage payments, real estate
taxes, special assessments, and the conditions of the physical
plant. The rental fee must be paid by the receiver to the
appropriate controlling individuals or related parties for each
month that the receivership remains in effect. No payment made
to a controlling individual or related party by the receiver or
the managing agent or any state agency during a period of the
receivership shall include any allowance for profit or be based
on any formula that includes an allowance for profit.
(b) If the owner of the physical plant of a residential
program is not a related party, the court shall order the
controlling individual to continue as the lessee of the property
during the receivership period. Rental payments during the
receivership period shall be made to the owner of the physical
plant by the commissioner or the managing agent on behalf of the
controlling individual.
Subd. 4. [RECEIVER'S FEE; LIABILITY; ASSISTANCE FROM THE
COMMISSIONER.] A receiver appointed under an involuntary
receivership or the managing agent is entitled to a reasonable
receiver's fee as determined by the court. The receiver's fee
is governed by section 256B.495. The receiver is liable only in
an official capacity for injury to person and property by reason
of the conditions of the residential program. The receiver is
not personally liable, except for gross negligence and
intentional acts.
Subd. 5. [TERMINATION.] An involuntary receivership
terminates 36 months after the date on which it was ordered or
at any other time designated by the court or when any of the
following events occurs:
(1) the commissioner determines that the residential
program's license application should be granted or should not be
suspended or revoked;
(2) a new license is granted to the residential program; or
(3) the commissioner determines that all persons residing
in the residential program have been provided with alternative
residential programs; or
(4) the residential program closes.
Subd. 6. [EMERGENCY PROCEDURE.] If it appears from the
petition filed under subdivision 1, from an affidavit or
affidavits filed with the petition, or from testimony of
witnesses under oath if the court determines it necessary, that
there is probable cause to believe that an emergency exists in a
residential program, the court shall issue a temporary order for
appointment of a receiver within five days after receipt of the
petition. Notice of the petition must be served on the
residential program administrator and on the persons designated
as agents by the controlling individuals to accept service on
their behalf. A hearing on the petition must be held within
five days after notice is served unless the administrator or
designated agent consents to a later date. After the hearing,
the court may continue, modify, or terminate the temporary order.
Subd. 7. [RATE RECOMMENDATION.] The commissioner of human
services may review rates of a residential program participating
in the medical assistance program which is in involuntary
receivership and that has needs or deficiencies documented by
the department of health or the department of human services.
If the commissioner of human services determines that a review
of the rate established under section 256B.501 is needed, the
commissioner shall:
(1) review the order or determination that cites the
deficiencies or needs; and
(2) determine the need for additional staff, additional
annual hours by type of employee, and additional consultants,
services, supplies, equipment, repairs, or capital assets
necessary to satisfy the needs or deficiencies.
Subd. 8. [ADJUSTMENT TO THE RATE.] Upon review of rates
under subdivision 7, the commissioner may adjust the residential
program's payment rate. The commissioner shall review the
circumstances, together with the residential program cost
report, to determine whether or not the deficiencies or needs
can be corrected or met by reallocating residential program
staff, costs, revenues, or other resources including any
investments, efficiency incentives, or allowances. If the
commissioner determines that any deficiency cannot be corrected
or the need cannot be met with the payment rate currently being
paid, the commissioner shall determine the payment rate
adjustment by dividing the additional annual costs established
during the commissioner's review by the residential program's
actual resident days from the most recent desk-audited cost
report or the estimated resident days in the projected
receivership period. The payment rate adjustment must meet the
conditions in Minnesota Rules, parts 9553.0010 to 9553.0080, and
remains in effect during the period of the receivership or until
another date set by the commissioner. Upon the subsequent sale
or transfer of the residential program, the commissioner may
recover amounts that were paid as payment rate adjustments under
this subdivision. The buyer or transferee shall repay this
amount to the commissioner within 60 days after the commissioner
notifies the buyer or transferee of the obligation to repay.
This provision does not limit the liability of the seller to the
commissioner pursuant to section 256B.0641.
Subd. 9. [RECEIVERSHIP ACCOUNTING.] The commissioner may
use the medical assistance account and funds for receivership
cash flow and accounting purposes.
Subd. 10. [RECEIVERSHIP COSTS.] The commissioner may use
the accounts and funds that would have been available for the
room and board, services, and program costs of persons in the
residential program for costs, cash flow, and accounting
purposes related to the receivership.
Sec. 50. Minnesota Statutes 1988, section 245A.14,
subdivision 1, is amended to read:
Subdivision 1. [PERMITTED SINGLE-FAMILY RESIDENTIAL USE.]
A licensed nonresidential program with a licensed capacity of 12
or fewer persons and a group family day care facility licensed
under Minnesota Rules, parts 9502.0315 to 9502.0445, to serve 14
or fewer children shall be considered a permitted single-family
residential use of property for the purposes of zoning and other
land use regulations.
Sec. 51. Minnesota Statutes 1988, section 245A.14,
subdivision 2, is amended to read:
Subd. 2. [PERMITTED MULTIFAMILY USE.] Unless Except as
otherwise provided in subdivision 1 or in a town, municipal, or
county regulation, a licensed nonresidential program with a
licensed capacity of 13 to 16 persons shall be considered a
permitted multifamily residential use of property for purposes
of zoning. A town, municipal, or county zoning authority may
require a conditional use or special use permit in order to
assure proper maintenance and operation of the program.
Conditions imposed on the nonresidential program must not be
more restrictive than those imposed on other conditional uses or
special uses of residential property in the same zones unless
the additional conditions are necessary to protect the health
and safety of the persons being served by the nonresidential
program. Nothing in sections 245A.01 to 245A.16 shall be
construed to exclude or prohibit nonresidential programs from
single-family zones if otherwise permitted by local zoning
regulations.
Sec. 52. Minnesota Statutes 1989 Supplement, section
245A.16, subdivision 1, is amended to read:
Subdivision 1. [DELEGATION OF AUTHORITY TO AGENCIES.] (a)
County agencies and private agencies that have been designated
or licensed by the commissioner to perform licensing functions
and activities under section 245A.04, to recommend denial of
applicants under section 245A.05, to recommend issue correction
orders and recommend fines under section 245A.06, or to
recommend suspending, revoking, and making licenses probationary
under section 245A.07, shall comply with rules and directives of
the commissioner governing those functions and with this section.
(b) By January 1, 1991, the commissioner shall study and
make recommendations to the legislature regarding the licensing
and provision of support services to child foster homes. In
developing the recommendations, the commissioner shall consult
licensed private agencies, county agencies, and licensed foster
home providers.
Sec. 53. Minnesota Statutes 1988, section 245A.16,
subdivision 4, is amended to read:
Subd. 4. [ENFORCEMENT OF THE COMMISSIONER'S ORDERS.] The
county or private agency shall enforce the commissioner's orders
under sections 245A.07 and 245A.08, subdivision 5, according to
the instructions of the commissioner. The county attorney shall
assist the county agency in the enforcement and defense of the
commissioner's orders under sections 245A.07 and 245A.08
according to the instructions of the commissioner, unless a
conflict of interest exists between the county attorney and the
commissioner.
Sec. 54. [245A.18] [SEAT BELT USE REQUIRED.]
(a) When a nonresidential license holder provides or
arranges for transportation for children served by the license
holder, children four years old and older must be restrained by
a properly adjusted and fastened seat belt and children under
age four must be properly fastened in a child passenger
restraint system meeting federal motor vehicle safety
standards. A child passenger restraint system is not required
for a child who, in the judgment of a licensed physician, cannot
be safely transported in a child passenger restraint system
because of a medical condition, body size, or physical
disability, if the license holder possesses a written statement
from the physician that satisfies the requirements in section
169.685, subdivision 5, paragraph (b).
(b) Paragraph (a) does not apply to transportation of
children in a school bus inspected under section 169.451 that
has a gross vehicle weight rating of more than 10,000 pounds, is
designed for carrying more than ten persons, and was
manufactured after 1977.
Sec. 55. [STUDY OF SEAT BELT REQUIREMENTS.]
The commissioner of human services with the assistance of
the commissioners of education and public safety shall study and
make recommendations to the 1991 legislature for standards for
the transportation of children by nonresidential programs
licensed by the commissioner of human services.
Sec. 56. Minnesota Statutes 1988, section 252.27, as
amended by Laws 1989, chapter 282, article 2, section 92, is
amended to read:
252.27 [COST OF BOARDING CARE OUTSIDE OF HOME OR
INSTITUTION PARENTAL CONTRIBUTION FOR THE COST OF CHILDREN'S
SERVICES.]
Subdivision 1. [COUNTY RESPONSIBILITY.] Whenever any child
who has mental retardation or a related condition, or a physical
or emotional handicap is in 24-hour care outside the home
including respite care, in a facility licensed by the
commissioner of human services, the cost of care services shall
be paid by the county of financial responsibility determined
pursuant to chapter 256G. If the child's parents or guardians
do not reside in this state, the cost shall be paid by the
responsible governmental agency in the state from which the
child came, by the parents or guardians of the child if they are
financially able, or, if no other payment source is available,
by the commissioner of human services.
Subd. 1a. [DEFINITIONS.] A person has a "related
condition" if that person has a severe, chronic disability that
is (a) attributable to cerebral palsy, epilepsy, autism,
Prader-Willi syndrome, or any other condition, other than mental
illness, found to be closely related to mental retardation
because the condition results in impairment of general
intellectual functioning or adaptive behavior similar to that of
persons with mental retardation or requires treatment or
services similar to those required for persons with mental
retardation; (b) is likely to continue indefinitely; and (c)
results in substantial functional limitations in three or more
of the following areas of major life activity: self-care,
understanding and use of language, learning, mobility,
self-direction, or capacity for independent living. For the
purposes of this section, a child has an "emotional handicap" if
the child has a psychiatric or other emotional disorder which
substantially impairs the child's mental health and requires
24-hour treatment or supervision.
Subd. 2. [PARENTAL RESPONSIBILITY.] Responsibility of the
parents for the cost of care services shall be based upon
ability to pay. The state agency shall adopt rules to determine
responsibility of the parents for the cost of care services when:
(a) Insurance or other health care benefits pay some but
not all of the cost of care services; and
(b) No insurance or other health care benefits are
available.
Subd. 2a. [CONTRIBUTION AMOUNT.] (a) The natural or
adoptive parents of a minor child, including a child determined
eligible for medical assistance without consideration of
parental income, must contribute monthly to the cost of
services, unless the child is married or has been married,
parental rights have been terminated, or the child's adoption is
subsidized according to section 259.40 or through title IV-E of
the Social Security Act.
(b) The parental contribution equals the following
percentage of that portion of the income of the natural or
adoptive parents that exceeds 200 percent of the federal poverty
guidelines for the applicable household size:
Adjusted Gross Percentage contribution
Income exceeding 200 percent of poverty
Under $40,000 0
$40,000 to $49,999 10
$50,000 to $59,999 12
$60,000 to $74,999 14
$75,000 or more 15
If the child lives with the parent, the parental
contribution is reduced by $200. If the child resides in an
institution specified in section 256B.35, the parent is
responsible for the personal needs allowance specified under
that section in addition to the parental contribution determined
under this section. The parental contribution is reduced by any
amount required to be paid directly to the child pursuant to a
court order, but only if actually paid.
(c) The household size to be used in determining the amount
of contribution under paragraph (b) includes natural and
adoptive parents and their dependents under age 21, including
the child receiving services. Adjustments in the contribution
amount due to annual changes in the federal poverty guidelines
shall be implemented on the first day of July following
publication of the changes.
(d) For purposes of paragraph (b), "income" means the
adjusted gross income of the natural or adoptive parents
determined according to the previous year's federal tax form.
(e) The contribution shall be explained in writing to the
parents at the time eligibility for services is being
determined. The contribution shall be made on a monthly basis
effective with the first month in which the child receives
services. Annually upon redetermination or at termination of
eligibility, if the contribution exceeded the cost of services
provided, the local agency or the state shall reimburse that
excess amount to the parents, either by direct reimbursement if
the parent is no longer required to pay a contribution, or by a
reduction in or waiver of parental fees until the excess amount
is exhausted.
(f) The monthly contribution amount must be reviewed at
least every 12 months; when there is a change in household size;
and when there is a loss of or gain in income from one month to
another in excess of ten percent. The local agency shall mail a
written notice 30 days in advance of the effective date of a
change in the contribution amount. A decrease in the
contribution amount is effective in the month that the parent
verifies a reduction in income or change in household size.
(g) Parents of a minor child who do not live with each
other shall each pay the contribution required under paragraph
(a), except that a court-ordered child support payment actually
paid on behalf of the child receiving services shall be deducted
from the contribution of the parent making the payment.
(h) The contribution under paragraph (b) shall be increased
by an additional five percent if the local agency determines
that insurance coverage is available but not obtained for the
child. For purposes of this section, "available" means the
insurance is a benefit of employment for a family member at an
annual cost of no more than five percent of the family's annual
income. For purposes of this section, insurance means health
and accident insurance coverage, enrollment in a nonprofit
health service plan, health maintenance organization,
self-insured plan, or preferred provider organization.
Parents who have more than one child in out-of-home care
receiving services shall not be required to pay more than the
amount for one the child in out-of-home care. In no event shall
the parents be required to pay more than five percent of their
income as defined in section 290A.03, subdivision 3 with the
highest expenditures. There shall be no resource contribution
from the parents. The parent shall not be required to pay a
contribution in excess of the cost of the services provided to
the child, not counting payments made to school districts for
education-related services. Notice of an increase in fee
payment must be given at least 30 days before the increased fee
is due.
Subd. 2b. [CHILD'S RESPONSIBILITY.] Responsibility of the
child for the cost of care shall be up to the maximum amount of
the total income and resources attributed to the child except
for the clothing and personal needs allowance as provided in
section 256B.35, subdivision 1. Reimbursement by the parents
and child shall be made to the county making any payments
for care and treatment services. The county board may require
payment of the full cost of caring for children whose parents or
guardians do not reside in this state.
To the extent that a child described in subdivision 1 is
eligible for benefits under chapter 62A, 62C, 62D, 62E, or 64B,
the county is not liable for the cost of care services. A
parent or legal guardian who discontinues payment of health
insurance premiums, subscriber fees or enrollment fees for a
child who is otherwise eligible for those benefits is ineligible
for payment of the cost of care of that child under this section.
The commissioner's determination shall be conclusive in any
action to enforce payment of the cost of care. Any appeals from
the commissioner's determination shall be made pursuant to
section 256.045, subdivisions 2 and 3.
Subd. 2c. [APPEALS.] A parent may appeal the determination
of an obligation to make a contribution under this section,
according to section 256.045.
Subd. 3. [CIVIL ACTIONS.] If the parent fails to make
appropriate reimbursement as required in subdivision 2, the
county attorney may initiate a civil action to collect any
unpaid reimbursement 2a and 2b, the attorney general, at the
request of the commissioner, may institute or direct the
appropriate county attorney to institute civil action to recover
the required reimbursement.
Subd. 4. [ORDER OF PAYMENT.] If the parental contribution
is for reimbursement for the cost of services to both the local
agency and the medical assistance program, the local agency
shall be reimbursed for its expenses first and the remainder
must be deposited in the medical assistance account.
Sec. 57. [254A.17] [PREVENTION AND TREATMENT INITIATIVES.]
Subdivision 1. [MATERNAL AND CHILD SERVICE PROGRAMS.] The
commissioner shall fund maternal and child health and social
service programs designed to improve the health and functioning
of children born to mothers using alcohol and controlled
substances. Comprehensive programs shall include immediate and
ongoing intervention, treatment, and coordination of medical,
educational, and social services through a child's preschool
years. Programs shall also include research and evaluation to
identify methods most effective in improving outcomes among this
high-risk population.
Subd. 2. [CHILD PROTECTION PROGRAMS.] The commissioner
shall fund innovative child protection programs for children and
families at risk due to substance abuse. Funding of a program
under this subdivision must result in (1) earlier intervention;
(2) the provision of in-home supervision; and (3) case
management of all services required. Programs must also include
research and evaluation to identify methods most effective in
child protection services for this high-risk population.
Subd. 3. [STATEWIDE DETOXIFICATION TRANSPORTATION
PROGRAM.] The commissioner shall provide grants to counties,
Indian reservations, other nonprofit agencies, or local
detoxification programs for provision of transportation of
intoxicated individuals to detoxification programs.
Sec. 58. Minnesota Statutes 1989 Supplement, section
254B.03, subdivision 4, is amended to read:
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.
Sec. 59. Minnesota Statutes 1988, section 254B.04, as
amended by Laws 1989, chapter 282, article 2, section 106, is
amended to read:
254B.04 [ELIGIBILITY FOR CHEMICAL DEPENDENCY FUND
SERVICES.]
Subdivision 1. [ELIGIBILITY.] (a) Persons eligible for
benefits under sections 256D.01 to 256D.21, or for federal
benefits under Code of Federal Regulations, title 25, part
20, and persons eligible for federal health care medical
assistance benefits under sections 256B.055, and 256B.056, and
256B.06 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.
(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.
(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.
Subd. 3. [AMOUNT OF CONTRIBUTION.] The commissioner shall
adopt a sliding fee scale to determine the amount of
contribution to be required from persons whose income is greater
than the standard of assistance under sections 256B.055,
256B.056, 256B.06, and 256D.01 to 256D.21 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 spend-down 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.
Sec. 60. Minnesota Statutes 1988, section 254B.08, is
amended to read:
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.
Notwithstanding sections 254B.04 and 256B.02, subdivision
8, clause (18), and rules adopted under section 254B.03,
subdivision 5, persons eligible under sections 256B.055,
256B.056, and 256B.06 for medical assistance benefits shall not
be eligible for services reimbursed through the consolidated
chemical dependency fund, except for transitional
rehabilitation, extended care programs, and culturally specific
programs as defined by Minnesota Rules, part 9530.6605, subpart
13, until the federal Social Security Act, section 2108 (1915B),
program waivers are secured. Until the necessary federal
program waivers are secured, persons eligible for medical
assistance benefits under sections 256B.055, 256B.056, and
256B.06 shall be eligible for chemical dependency treatment
services under sections 256B.02, subdivision 8, and 256B.0625.
Sec. 61. Minnesota Statutes 1989 Supplement, section
256.74, subdivision 1, is amended to read:
Subdivision 1. [AMOUNT.] The amount of assistance which
shall be granted to or on behalf of any dependent child and
mother or other needy eligible relative caring for the dependent
child shall be determined by the county agency in accordance
with rules promulgated by the commissioner and shall be
sufficient, when added to all other income and support available
to the child, to provide the child with a reasonable subsistence
compatible with decency and health. The amount shall be based
on the method of budgeting required in Public Law Number 97-35,
section 2315, United States Code, title 42, section 602, as
amended and federal regulations at Code of Federal Regulations,
title 45, section 233. Nonrecurring lump sum income received by
an assistance unit must be budgeted in the normal retrospective
cycle. The number of months of ineligibility is determined by
dividing the amount of the lump sum income and all other income,
after application of the applicable disregards, by the standard
of need for the assistance unit. An amount remaining after this
calculation is income in the first month of eligibility. If the
total monthly income including the lump sum income is larger
than the standard of need for a single month the first month of
ineligibility is the payment month that corresponds with the
budget month in which the lump sum income was received. In
making its determination the county agency shall disregard the
following from family income:
(1) all of the earned income of each dependent child
receiving aid to families with dependent children who is a
full-time student or part-time student, and not a full-time
employee, attending a school, college, or university, or a
course of vocational or technical training designed to fit
students for gainful employment as well as all the earned income
derived from the job training and partnership act (JTPA) for a
dependent child for six calendar months per year, together with
unearned income derived from the job training and partnership
act;
(2) all educational grants and loans;
(3) the first $90 of each individual's earned income. For
self-employed persons, the expenses directly related to
producing goods and services and without which the goods and
services could not be produced shall be disregarded pursuant to
rules promulgated by the commissioner;
(4) thirty dollars plus one-third of each individual's
earned income for individuals found otherwise eligible to
receive aid or who have received aid in one of the four months
before the month of application. With respect to any month, the
county welfare agency shall not disregard under this clause any
earned income of any person who has: (a) reduced earned income
without good cause within 30 days preceding any month in which
an assistance payment is made; (b) refused without good cause to
accept an offer of suitable employment; (c) left employment or
reduced earnings without good cause and applied for assistance
so as to be able later to return to employment with the
advantage of the income disregard; or (d) failed without good
cause to make a timely report of earned income in accordance
with rules promulgated by the commissioner of human services.
Persons who are already employed and who apply for assistance
shall have their needs computed with full account taken of their
earned and other income. If earned and other income of the
family is less than need, as determined on the basis of public
assistance standards, the county agency shall determine the
amount of the grant by applying the disregard of income
provisions. The county agency shall not disregard earned income
for persons in a family if the total monthly earned and other
income exceeds their needs, unless for any one of the four
preceding months their needs were met in whole or in part by a
grant payment. The disregard of $30 and one-third of earned
income in this clause shall be applied to the individual's
income for a period not to exceed four consecutive months. Any
month in which the individual loses this disregard because of
the provisions of subclauses (a) to (d) shall be considered as
one of the four months. An additional $30 work incentive must
be available for an eight-month period beginning in the month
following the last month of the combined $30 and one-third work
incentive. This period must be in effect whether or not the
person has earned income or is eligible for AFDC. To again
qualify for the earned income disregards under this clause, the
individual must not be a recipient of aid for a period of 12
consecutive months. When an assistance unit becomes ineligible
for aid due to the fact that these disregards are no longer
applied to income, the assistance unit shall be eligible for
medical assistance benefits for a 12-month period beginning with
the first month of AFDC ineligibility;
(5) an amount equal to the actual expenditures for the care
of each dependent child or incapacitated individual living in
the same home and receiving aid, not to exceed: (a) $175 for
each individual age two and older, and $200 for each individual
under the age of two, when the family member whose needs are
included in the eligibility determination is employed for 30 or
more hours per week; or (b) $174 for each individual age two or
older, and $199 for each individual under the age of two, when
the family member whose needs are included in the eligibility
determination is not employed throughout the month or when
employment is less than 30 hours per week. The dependent care
disregard must be applied after all other disregards under this
subdivision have been applied;
(6) the first $50 per assistance unit of the monthly
support obligation collected by the support and recovery (IV-D)
unit. The first $50 of periodic support payments collected by
the public authority responsible for child support enforcement
from a person with a legal obligation to pay support for a
member of the assistance unit must be paid to the assistance
unit within 15 days after the end of the month in which the
collection of the periodic support payments occurred and must be
disregarded when determining the amount of assistance. A review
of a payment decision under this clause must be requested within
30 days after receiving the notice of collection of assigned
support, or within 90 days after receiving the notice if good
cause can be shown for not making the request within the 30-day
limit;
(7) that portion of an insurance settlement earmarked and
used to pay medical expenses, funeral and burial costs, or to
repair or replace insured property; and
(8) all earned income tax credit payments received by the
family as a refund of federal income taxes or made as advance
payments by an employer.
Sec. 62. [256.9791] [MEDICAL SUPPORT BONUS INCENTIVES.]
Subdivision 1. [BONUS INCENTIVE.] (a) A bonus incentive
program is created to increase the identification and
enforcement by county agencies of dependent health insurance
coverage for persons who are receiving medical assistance under
section 256B.055 and for whom the county agency is providing
child support enforcement services.
(b) The bonus shall be awarded to a county child support
agency for each person for whom coverage is identified and
enforced by the child support enforcement program when the
obligor is under a court order to provide dependent health
insurance coverage.
Subd. 2. [DEFINITIONS.] For the purpose of this section,
the following definitions apply.
(a) "Case" means a family unit that is receiving medical
assistance under section 256B.055 and for whom the county agency
is providing child support enforcement services.
(b) "Commissioner" means the commissioner of the department
of human services.
(c) "County agency" means the county child support
enforcement agency.
(d) "Coverage" means initial dependent health insurance
benefits for a case or individual member of a case.
(e) "Enforce" or "enforcement" means obtaining proof of
current or future dependent health insurance coverage through an
overt act by the county agency.
(f) "Enforceable order" means a child support court order
containing the statutory language in section 518.171 or other
language ordering an obligor to provide dependent health
insurance coverage.
(g) "Identify" or "identification" means obtaining proof of
dependent health insurance coverage through an overt act by the
county agency.
Subd. 3. [ELIGIBILITY; REPORTING REQUIREMENTS.] (a) In
order for a county to be eligible to claim a bonus incentive
payment, the county agency must report to the commissioner, no
later than August 1 of each fiscal year, the number of cases as
of June 30 of the preceding fiscal year in which (1) the court
has established an obligation for coverage by the obligor and
(2) coverage was in effect as of June 30. The ratio resulting
when the number of cases reported under (2) is divided by the
number of cases reported under (1) shall be used to determine
the amount of the bonus incentive according to subdivision 4.
(b) A county that fails to submit the required information
by August 1 of each fiscal year is not eligible for any bonus
payments under this section for that fiscal year.
Subd. 4. [RATE OF BONUS INCENTIVE.] The rate of the bonus
incentive shall be determined according to paragraphs (a) to (c).
(a) When a county agency has identified or enforced
coverage in up to and including 50 percent of its cases, the
county shall receive $15 for each additional person for whom
coverage is identified or enforced.
(b) When a county agency has identified or enforced
coverage in more than 50 percent but less than 80 percent of its
cases, the county shall receive $20 for each person for whom
coverage is identified or enforced.
(c) When a county agency has identified or enforced
coverage in 80 percent or more of its cases, the county shall
receive $25 for each person for whom coverage is identified or
enforced.
(d) Bonus payments according to paragraphs (a) to (c) are
limited to one bonus for each covered person each time the
county agency identifies or enforces previously unidentified
health insurance coverage and apply only to coverage identified
or enforced after the effective date of this section.
Subd. 5. [CLAIMS FOR BONUS INCENTIVE.] (a) Beginning July
1, 1990, county agencies shall file a claim for a medical
support bonus payment by reporting to the commissioner the
following information for each case where dependent health
insurance is identified or enforced as a result of an overt act
of the county agency:
(1) child support enforcement system case number or county
specific case number;
(2) names and dates of birth for each person covered; and
(3) the effective date of coverage.
(b) The report must be made upon enrollment in coverage but
no later than September 30 for coverage identified or
established during the preceding fiscal year.
(c) The county agency making the initial contact resulting
in the establishment of coverage is the county agency entitled
to claim the bonus incentive even if the case is transferred to
another county agency prior to the time coverage is established.
(d) Disputed claims must be submitted to the commissioner
and the commissioner's decision is final.
Subd. 6. [DISTRIBUTION.] (a) Bonus incentives must be
issued to the county agency quarterly, within 45 days after the
last day of each quarter for which a bonus incentive is being
claimed, and must be paid up to the limit of the appropriation
in the order in which claims are received.
(b) Total bonus incentives must be computed by multiplying
the number of persons included in claims submitted in accordance
with this section by the applicable bonus payment as determined
in subdivision 4.
(c) The county agency must repay any bonus erroneously
issued.
(d) A county agency must maintain a record of bonus
incentives claimed and received for each quarter.
Sec. 63. Minnesota Statutes 1988, section 256E.06,
subdivision 2, is amended to read:
Subd. 2. [FORMULA LIMITATION.] The amounts computed
pursuant to subdivision 1 shall be subject to the following
limitations:
(a) No county shall be allocated more than 130 percent of
the amount received prior to any penalty imposed under
subdivision 7 in the immediately preceding year. If the amount
allocated to any county pursuant to subdivision 1 is greater
than this amount, the excess shall be reallocated to all
counties in direct proportion to their initial allocations.
(b) Each county shall be guaranteed a percentage increase
over the previous year's allocation equal to 0.2 percent for
each percentage increase in the statewide allocation, up to a
maximum guaranteed increase of one percent when the statewide
allocation increases by five percent or more. If the amount
allocated to any county pursuant to subdivision 1 is less than
this amount, the shortage shall be recovered from all counties
in direct proportion to their initial allocations.
(c) If the amount to be allocated statewide in any year is
less than the amount allocated in the previous year, then the
provisions of clause (b) shall not apply, and each county's
allocation shall be equal to its previous year's allocation
reduced by the same percentage that the statewide allocation was
reduced.
(d) For the purpose of calculating the 1991 community
social services act allocation, the 1990 allocation must be
increased by the following amounts: $46,487 for Crow Wing
county, $21,995 for Fillmore county, $5,368 for Hubbard county,
$24,225 for Lac Qui Parle county, and $4,444 for Red Lake county.
Sec. 64. Minnesota Statutes 1988, section 256E.06,
subdivision 7, is amended to read:
Subd. 7. [FAILURE TO LEVY.] A county which levies less
than the levy required in subdivision 5, shall receive a
reduction in the aid calculated pursuant to subdivisions 1 and
2. The commissioner shall calculate the reduced aid as follows:
(a) Divide the amount levied by the amount required to be
levied in subdivision 5; and
(b) Multiply the ratio derived in clause (a) times the aid
calculated under subdivision subdivisions 1 and 2.
The amount of the reduction in aid shall be returned to the
general fund. The reduction in aid imposed under this
subdivision shall be effective for one year, and aid in the
following year shall be calculated under subdivisions 1 and 2 as
though the reduction had not occurred. This provision applies
to penalties imposed for the year 1989 and all subsequent years.
Sec. 65. Minnesota Statutes 1989 Supplement, section
257.57, subdivision 1, is amended to read:
Subdivision 1. A child, the child's biological mother, or
a man presumed to be the child's father under section 257.55,
subdivision 1, clause (a), (b), or (c) may bring an action:
(a) At any time for the purpose of declaring the existence
of the father and child relationship presumed under section
257.55, subdivision 1, clause (a), (b), or (c); or
(b) Within three years after the child's birth for the
purpose of declaring the nonexistence of the father and child
relationship presumed under section 257.55, subdivision 1,
clause (a), (b), or (c). However, if the presumed father was
divorced from the child's mother after service by publication,
and, if, on or before the 280th day after the judgment and
decree of divorce or dissolution became final, he did not know
that the child was born during the marriage or within 280 days
after the marriage was terminated, the action is not barred
until one year after the child reaches the age of majority or
one year after the presumed father knows or reasonably should
have known of the birth of the child, whichever is earlier.
After the presumption has been rebutted, paternity of the child
by another man may be determined in the same action, if he has
been made a party.
Sec. 66. Minnesota Statutes 1988, section 462.357,
subdivision 7, is amended to read:
Subd. 7. [PERMITTED SINGLE FAMILY USE.] A state licensed
residential facility serving six or fewer persons or, a licensed
day care facility serving 12 or fewer persons, and a group
family day care facility licensed under Minnesota Rules, parts
9502.0315 to 9502.0445 to serve 14 or fewer children shall be
considered a permitted single family residential use of property
for the purposes of zoning.
Sec. 67. Minnesota Statutes 1988, section 462.357,
subdivision 8, is amended to read:
Subd. 8. [PERMITTED MULTIFAMILY USE.] Unless Except as
otherwise provided in subdivision 7 or in any town, municipal or
county zoning regulation as authorized by this subdivision, a
state licensed residential facility serving from 7 through 16
persons or a licensed day care facility serving from 13 through
16 persons shall be considered a permitted multifamily
residential use of property for purposes of zoning. A township,
municipal or county zoning authority may require a conditional
use or special use permit in order to assure proper maintenance
and operation of a facility, provided that no conditions shall
be imposed on the facility which are more restrictive than those
imposed on other conditional uses or special uses of residential
property in the same zones, unless the additional conditions are
necessary to protect the health and safety of the residents of
the residential facility. Nothing herein shall be construed to
exclude or prohibit residential or day care facilities from
single family zones if otherwise permitted by a local zoning
regulation.
Sec. 68. Minnesota Statutes 1988, section 518.54, is
amended by adding a subdivision to read:
Subd. 2a. [DEPOSIT ACCOUNT.] "Deposit account" means funds
deposited with a financial institution in the form of a savings
account, checking account, NOW account, or demand deposit
account.
Sec. 69. Minnesota Statutes 1988, section 518.54, is
amended by adding a subdivision to read:
Subd. 2b. [FINANCIAL INSTITUTION.] "Financial institution"
means a savings association, bank, trust company, credit union,
industrial loan and thrift company, bank and trust company, or
building and loan association, and includes a branch or detached
facility of a financial institution.
Sec. 70. Minnesota Statutes 1988, section 518.551,
subdivision 1, is amended to read:
Subdivision 1. [PAYMENT TO PUBLIC AGENCY.] The court shall
direct that all payments ordered for maintenance and support be
made to the public agency responsible for child support
enforcement so long as the obligee is receiving or has applied
for public assistance, or has applied for child support and
maintenance collection services. Public authorities responsible
for child support enforcement may act on behalf of other public
authorities responsible for child support enforcement. This
includes the authority to represent the legal interests of or
execute documents on behalf of the other public authority in
connection with the establishment, enforcement, and collection
of child support, maintenance, or medical support, and
collection on judgments. Amounts received by the public agency
responsible for child support enforcement greater than the
amount granted to the obligee shall be remitted to the obligee.
Sec. 71. Minnesota Statutes 1988, section 518.551,
subdivision 5, is amended to read:
Subd. 5. [NOTICE TO PUBLIC AUTHORITY; GUIDELINES.] (a) The
petitioner shall notify the public authority of all proceedings
for dissolution, legal separation, determination of parentage or
for the custody of a child, if either party is receiving aid to
families with dependent children or applies for it subsequent to
the commencement of the proceeding. After receipt of the
notice, the court shall set child support as provided in this
subdivision. The court may order either or both parents owing a
duty of support to a child of the marriage to pay an amount
reasonable or necessary for the child's support, without regard
to marital misconduct. The court shall approve a child support
agreement of the parties if each party is represented by
independent counsel, unless the agreement is not in the interest
of justice. In other cases the court shall determine and order
child support in a specific dollar amount in accordance with the
guidelines and the other factors set forth in paragraph (b) and
any departure therefrom.
The court shall multiply derive a specific dollar amount by
multiplying the obligor's net income by the percentage indicated
by the following guidelines:
Net Income Per Number of Children
Month of Obligor
1 2 3 4 5 6 7 or
more
$400 and Below Order based on the ability of the
obligor to provide support
at these income levels, or at higher
levels, if the obligor has
the earning ability.
$401 - 500 14% 17% 20% 22% 24% 26% 28%
$501 - 550 15% 18% 21% 24% 26% 28% 30%
$551 - 600 16% 19% 22% 25% 28% 30% 32%
$601 - 650 17% 21% 24% 27% 29% 32% 34%
$651 - 700 18% 22% 25% 28% 31% 34% 36%
$701 - 750 19% 23% 27% 30% 33% 36% 38%
$751 - 800 20% 24% 28% 31% 35% 38% 40%
$801 - 850 21% 25% 29% 33% 36% 40% 42%
$851 - 900 22% 27% 31% 34% 38% 41% 44%
$901 - 950 23% 28% 32% 36% 40% 43% 46%
$951 - 1000 24% 29% 34% 38% 41% 45% 48%
$1001- 4000 25% 30% 35% 39% 43% 47% 50%
Guidelines for support for an obligor with a monthly income
of $4,001 or more shall be the same dollar amounts as provided
for in the guidelines for an obligor with a monthly income of
$4,000.
Net Income defined as:
Total monthly
income less *(i) Federal Income Tax
*(ii) State Income Tax
(iii) Social Security
Deductions
(iv) Reasonable
Pension Deductions
*Standard
Deductions apply- (v) Union Dues
use of tax tables (vi) Cost of Dependent
recommended Insurance Coverage
(vii) Cost of Individual or Group
Health/Hospitalization
Coverage or an
Amount for Actual
Medical Expenses
(viii) A Child Support or
Maintenance Order that is
Currently Being Paid.
"Net income" does not include the income of the obligor's
spouse, but does include in-kind payments received by the
obligor in the course of employment, self-employment, or
operation of a business if the payments reduce the obligor's
living expenses.
(b) In addition to the child support guidelines, the court
shall take into consideration the following factors in setting
or modifying child support:
(1) all earnings, income, and resources of the parents,
including real and personal property;
(2) the financial needs and resources, physical and
emotional condition, and educational needs of the child or
children to be supported;
(3) the standards of living the child would have enjoyed
had the marriage not been dissolved, but recognizing that the
parents now have separate households;
(4) the amount of the aid to families with dependent
children grant for the child or children;
(5) which parent receives the income taxation dependency
exemption and what financial benefit the parent receives from
it; and
(6) the parents' debts as provided in paragraph (c).
(c) In establishing or modifying a support obligation, the
court may consider debts owed to private creditors, but only if:
(1) the right to support has not been assigned under
section 256.74;
(2) the court determines that the debt was reasonably
incurred for necessary support of the child or parent or for the
necessary generation of income. If the debt was incurred for
the necessary generation of income, the court shall consider
only the amount of debt that is essential to the continuing
generation of income; and
(3) the party requesting a departure produces a sworn
schedule of the debts, with supporting documentation, showing
goods or services purchased, the recipient of them, the amount
of the original debt, the outstanding balance, the monthly
payment, and the number of months until the debt will be fully
paid.
Any schedule prepared under paragraph (c), clause (3),
shall contain a statement that the debt will be fully paid after
the number of months shown in the schedule, barring emergencies
beyond the party's control.
Any further departure below the guidelines that is based on
a consideration of debts owed to private creditors shall not
exceed 18 months in duration, after which the support shall
increase automatically to the level ordered by the court.
Nothing in this section shall be construed to prohibit one or
more step increases in support to reflect debt retirement during
the 18-month period.
Where payment of debt is ordered pursuant to this section,
the payment shall be ordered to be in the nature of child
support.
(d) Nothing shall preclude the court from receiving
evidence on the above factors to determine if the guidelines
should be exceeded or modified in a particular case.
(e) The above guidelines are binding in each case unless
the court makes express findings of fact as to the reason for
departure below or above the guidelines.
Sec. 72. Minnesota Statutes 1989 Supplement, section
518.551, subdivision 10, is amended to read:
Subd. 10. [ADMINISTRATIVE PROCESS FOR CHILD AND MEDICAL
SUPPORT ORDERS.] An administrative process is established to
obtain, modify, and enforce child and medical support orders and
maintenance.
The commissioner of human services may designate counties
to participate in the administrative process established by this
section. All proceedings for obtaining, modifying, or enforcing
child and medical support orders and maintenance and
adjudicating uncontested parentage proceedings, required to be
conducted in counties designated by the commissioner of human
services in which the county human services agency is a party or
represents a party to the action must be conducted by an
administrative law judge from the office of administrative
hearings, except for the following proceedings:
(1) adjudication of contested parentage;
(2) motions to set aside a paternity adjudication or
declaration of parentage;
(3) evidentiary hearing on contempt motions; and
(4) motions to sentence or to revoke the stay of a jail
sentence in contempt proceedings.
An administrative law judge may hear a stipulation reached
on a contempt motion, but any stipulation that involves a
finding of contempt and a jail sentence, whether stayed or
imposed, shall require the review and signature of a district
judge.
For the purpose of this process, all powers, duties, and
responsibilities conferred on judges of the district court to
obtain and enforce child and medical support obligations,
subject to the limitation set forth herein, are conferred on the
administrative law judge conducting the proceedings, including
the power to issue orders to show cause and to issue bench
warrants for failure to appear.
Before implementing the process in a county, the chief
administrative law judge, the commissioner of human services,
the director of the county human services agency, the county
attorney, and the county court administrator shall jointly
establish procedures and the county shall provide hearing
facilities for implementing this process in a county.
Nonattorney employees of the public agency responsible for
child support in the counties designated by the commissioner,
acting at the direction of the county attorney, may prepare,
sign, serve, and file complaints and motions for obtaining,
modifying, or enforcing child and medical support orders and
maintenance and related documents, appear at prehearing
conferences, and participate in proceedings before an
administrative law judge. This activity shall not be considered
to be the unauthorized practice of law.
The hearings shall be conducted under the rules of the
office of administrative hearings, Minnesota Rules, parts
1400.7100 to 1400.7500, 1400.7700, and 1400.7800, as adopted by
the chief administrative law judge. All other aspects of the
case, including, but not limited to, pleadings, discovery, and
motions, shall be conducted under the rules of family court, the
rules of civil procedure, and chapter 518. The administrative
law judge shall make findings of fact, conclusions, and a final
decision and issue an order. Orders issued by an administrative
law judge are enforceable by the contempt powers of the county
and district courts.
The decision and order of the administrative law judge
shall be a final agency decision for purposes of sections 14.63
to 14.69 is appealable to the court of appeals in the same
manner as a decision of the district court.
Sec. 73. Minnesota Statutes 1988, section 518.611,
subdivision 1, is amended to read:
Subdivision 1. [ORDER.] Whenever an obligation for support
of a dependent child or maintenance of a spouse, or both, is
determined and ordered by a court of this state, the amount of
child support or maintenance as determined by court order must
be withheld from the income, regardless of source, of the person
obligated to pay the support or maintenance. Every order for
maintenance or support must include the obligor's social
security number and date of birth and the name and address of
the obligor's employer or other payor of funds.
Sec. 74. Minnesota Statutes 1988, section 518.611,
subdivision 2, is amended to read:
Subd. 2. [CONDITIONS OF INCOME WITHHOLDING.] (a)
Withholding shall result whenever the obligor fails to make the
maintenance or support payments, and the following conditions
are met:
(1) the obligor is at least 30 days in arrears;
(2) the obligee or the public authority serves written
notice of income withholding, showing arrearage, on the obligor
at least 15 days before service of the notice of income
withholding and a copy of the court's order on the payor of
funds;
(3) within the 15-day period, the obligor fails to move the
court to deny withholding on the grounds that an arrearage of at
least 30 days does not exist as of the date of the notice of
income withholding, or on other grounds limited to mistakes of
fact, and, ex parte, to stay service on the payor of funds until
the motion to deny withholding is heard; and
(4) the obligee or the public authority serves a copy of
the notice of income withholding, a copy of the court's order,
and the provisions of this section on the payor of funds; and
(5) the obligee serves on the public authority a copy of
the notice of income withholding, a copy of the court's order,
an application, and the fee to use the public authority's
collection services.
(b) To pay the arrearage specified in the notice of income
withholding, the employer or payor of funds shall withhold from
the obligor's income an additional amount equal to 20 percent of
the monthly child support or maintenance obligation until the
arrearage is paid.
(c) The obligor may, at any time, waive the written notice
required by this subdivision.
(d) The obligor may move the court, under section 518.64,
to modify the order respecting the amount of maintenance or
support.
(e) Every order for support or maintenance shall provide
for a conspicuous notice of the provisions of this subdivision.
An order without this notice remains subject to this subdivision.
(f) Absent a court order to the contrary, if an arrearage
exists at the time an order for ongoing support or maintenance
would otherwise terminate, income withholding shall continue in
effect in an amount equal to the former support or maintenance
obligation plus an additional amount equal to 20 percent of the
monthly child support obligation, until all arrears have been
paid in full.
Sec. 75. Minnesota Statutes 1988, section 518.611, is
amended by adding a subdivision to read:
Subd. 2a. [PREAUTHORIZED TRANSFERS FROM OBLIGOR ACCOUNTS.]
In any case where income withholding is ineffective due to the
obligor's method of obtaining income, the court shall order the
obligor to identify a child support deposit account owned solely
by the obligor, or to establish an account, in a financial
institution located in this state for the purpose of depositing
court-ordered child support payments. The court shall order the
obligor to execute an agreement with the appropriate public
authority authorizing preauthorized transfers from the obligor's
child support deposit account payable to an account of the
public authority responsible for child support enforcement. The
court shall order the obligor to disclose to the court all
deposit accounts owned by the obligor in whole or in part in any
financial institution. The court may order the obligor to
disclose to the court the opening or closing of any deposit
account owned in whole or in part by the obligor within 30 days
of the opening or closing. The court may order the obligor to
execute an agreement with the appropriate public authority
authorizing preauthorized transfers from any deposit account
owned in whole or in part by the obligor to the obligor's child
support deposit account if necessary to satisfy court-ordered
child support payments. The court may order a financial
institution to disclose to the court the account number and any
other account identification information regarding accounts
owned in whole or in part by the obligor. An obligor who fails
to comply with this section, fails to deposit funds in at least
one deposit account sufficient to pay court-ordered child
support, or stops payment or revokes authorization of any
preauthorized transfer is subject to contempt of court
procedures under chapter 588.
Sec. 76. Minnesota Statutes 1989 Supplement, section
518.611, subdivision 4, is amended to read:
Subd. 4. [EFFECT OF ORDER.] Notwithstanding any law to the
contrary, the order is binding on the employer, trustee, or
other payor of the funds, or financial institution when service
under subdivision 2 has been made. Withholding must begin no
later than the first pay period that occurs after 14 days
following the date of the notice. In the case of a financial
institution, preauthorized transfers must occur in accordance
with a court-ordered payment schedule. An employer or other,
payor of funds, or financial institution in this state is
required to withhold income according to court orders for
withholding issued by other states or territories. The payor
shall withhold from the income payable to the obligor the amount
specified in the order and amounts required under subdivision 2,
paragraph (b), and section 518.613 and shall remit, within ten
days of the date the obligor is paid the remainder of the
income, the amounts withheld to the public authority. The payor
shall identify on the remittance information the date the
obligor is paid the remainder of the income. The financial
institution shall execute preauthorized transfers from the
deposit accounts of the obligor in the amount specified in the
order and amounts required under subdivision 2 as directed by
the public authority responsible for child support enforcement.
Employers may combine all amounts withheld from one pay period
into one payment to each public authority, but shall separately
identify each obligor making payment. Amounts received by the
public authority which are in excess of public assistance
expended for the party or for a child shall be remitted to the
party. An employer shall not discharge, or refuse to hire, or
otherwise discipline an employee as a result of a wage or salary
withholding authorized by this section. The employer or other
payor of funds shall be liable to the obligee for any amounts
required to be withheld. A financial institution is liable to
the obligee if funds in any of the obligor's deposit accounts
identified in the court order equal the amount stated in the
preauthorization agreement but are not transferred by the
financial institution in accordance with the agreement.
Sec. 77. Minnesota Statutes 1988, section 518.611,
subdivision 8, is amended to read:
Subd. 8. [EMPLOYER AND OBLIGOR NOTICE.] When an individual
is hired for employment, the employer shall request that the
individual disclose whether or not the individual has
court-ordered child support obligations that are required by law
to be withheld from income and the terms of the court order, if
any. The individual shall disclose this information at the time
of hiring. When an individual discloses that the individual
owes child support that is required to be withheld, the employer
shall begin withholding according to the terms of the order and
under this section. When a withholding order is in effect and
the obligor's employment is terminated or the periodic payment
terminates, the obligor and the obligor's employer or the payor
of funds shall notify the public agency responsible for child
support enforcement of the termination within ten days of the
termination date. The notice shall include the obligor's home
address and the name and address of the obligor's new employer
or payor of funds, if known. Information disclosed under this
section shall not be divulged except to the extent necessary for
the administration of the child support enforcement program or
when otherwise authorized by law.
Sec. 78. Minnesota Statutes 1988, section 518.611,
subdivision 8a, is amended to read:
Subd. 8a. [LUMP SUM PAYMENTS.] (a) Upon the transmittal of
the last reimbursement payment to the employee, where a lump sum
payment including, but not limited to, severance pay,
accumulated sick pay or vacation pay is paid upon termination of
employment, and where the employee is in arrears in making court
ordered child support payments, the employer shall withhold an
amount which is the lesser of (1) the amount in arrears or (2)
that portion of the arrearages which is the product of the
obligor's monthly court ordered support amount multiplied by the
number of months of net income that the lump sum payment
represents.
(b) An employer, trustee, or other payor of funds who has
been served with a notice of income withholding under
subdivision 2 or section 518.613 must:
(1) notify the public authority of any lump sum payment of
$500 or more that is to be paid to the obligor;
(2) hold the lump sum payment for 30 days after the date on
which the lump sum payment would otherwise have been paid to the
obligor, notwithstanding sections 181.08, 181.101, 181.11,
181.13, and 181.145; and
(3) upon order of the court, pay any specified amount of
the lump sum payment to the public authority for support.
Sec. 79. Minnesota Statutes 1989 Supplement, section
518.613, subdivision 2, is amended to read:
Subd. 2. [ORDER; COLLECTION SERVICES.] Every order for
child support must include the obligor's social security number
and date of birth and the name and address of the obligor's
employer or other payor of funds. Upon entry of the order for
support or maintenance, the court shall mail a copy of the
court's automatic income withholding order and the provisions of
section 518.611 and this section to the obligor's employer or
other payor of funds and to the public authority responsible for
child support enforcement. An obligee who is not a recipient of
public assistance shall apply for the collection services of the
public authority when an order for support is entered unless the
requirements of this section have been waived under subdivision
7. No later than January 1, 1990, the supreme court shall
develop a standard automatic income withholding form to be used
by all Minnesota courts. This form shall be made a part of any
order for support or decree by reference.
Sec. 80. Minnesota Statutes 1988, section 518C.02, is
amended by adding a subdivision to read:
Subd. 1a. [CENTRAL REGISTRY.] "Central registry" means a
single unit within the department of human services that
receives and disseminates incoming interstate actions filed
under title IV-D of the Social Security Act, as amended,
including any proceedings under this section.
Sec. 81. Minnesota Statutes 1988, section 518C.02, is
amended by adding a subdivision to read:
Subd. 9a. [PUBLIC AUTHORITY.] "Public authority" means the
public authority responsible for child support enforcement.
Sec. 82. Minnesota Statutes 1988, section 518C.03, is
amended to read:
518C.03 [HOW DUTIES OF SUPPORT ENFORCED.]
Subdivision 1. [DUTIES OF SUPPORT.] All duties of support,
including the duty to pay arrearages, are enforceable by a
proceeding under sections 518C.01 to 518C.36, including a
proceeding for civil contempt. The defense that the parties are
immune to suit because of their relationship as husband and
wife, or parent and child is not available to the obligor.
Subd. 2. [ARREARAGES.] Arrearages that have become a
support judgment, which is final by operation of law of this
state or of any other jurisdiction, shall be given full faith
and credit for enforcement purposes. No arrearages or judgment
for support may be retroactively modified, except as provided in
section 518.64. A Minnesota court may order that judgment be
entered for a child support arrearage owed under an order of
another state or order that payments be made toward an arrearage
or existing judgment if the matter is before the court whether
by petition or by registration.
Sec. 83. Minnesota Statutes 1988, section 518C.05, is
amended to read:
518C.05 [JURISDICTION.]
Except in Hennepin and Ramsey counties, jurisdiction of a
proceeding under sections 518C.01 to 518C.36 is vested in the
county court. In Hennepin and Ramsey counties as provided for
in section 518.551, subdivision 10, jurisdiction of a proceeding
under sections 518C.01 to 518C.36 is vested in the district
court.
Sec. 84. Minnesota Statutes 1988, section 518C.09, is
amended to read:
518C.09 [DUTY OF INITIATING COURT.]
If the initiating court finds that the petition sets forth
facts from which it may be determined that the obligor owes a
duty of support, and that a court of the responding state may
obtain jurisdiction of the obligor or the obligor's property, it
shall so certify and cause three copies of the petition and its
certificate and one copy of sections 518C.01 to 518C.36 to be
sent to the responding court. If the complaint is filed by the
public authority, the initiating court shall send the documents
to the central registry in the responding state. Certification
shall be in accordance with the requirements of the initiating
state. If the name and address of the responding court are
unknown and the responding state has an information agency
comparable to that established in the initiating state, it shall
cause the copies to be sent to the state information agency or
other proper official of the responding state, with a request
that the agency or official forward them to the proper court and
that the court of the responding state acknowledge their receipt
to the initiating court.
Sec. 85. Minnesota Statutes 1988, section 518C.12, is
amended to read:
518C.12 [DUTY OF THE COURT AND THE PROSECUTING ATTORNEY OF
THIS STATE AS RESPONDING STATE.]
Subdivision 1. [CENTRAL REGISTRY.] The central registry
shall receive filings under title IV-D of the federal Social
Security Act, as amended, from the initiating state and shall
transmit the filings to the local public authority. The local
public authority shall promptly submit the documents to the
court administrator.
Subd. 1a. [DOCKETING CASE.] After the responding court
receives copies of the petition, the certificate and the
substantially similar reciprocal act from the initiating court,
the court administrator of the court shall docket the case and
notify the prosecuting attorney of the action.
Subd. 2. [PROSECUTION OF CASE.] The prosecuting attorney
shall prosecute the case diligently, taking all action necessary
in accordance with the laws of this state to enable the court to
obtain jurisdiction over the obligor or the obligor's property
and shall request the court to set a time and place for a
hearing and give notice thereof to the obligor in accordance
with law.
Subd. 3. [INVESTIGATION BY PROSECUTING ATTORNEY.] The
prosecuting attorney, on personal initiative, shall use all
means available to locate the obligor or the obligor's property,
and if, because of inaccuracies in the petition or otherwise,
the court cannot obtain jurisdiction, the prosecuting attorney
shall inform the court of action taken and request the court to
continue the case pending receipt of more accurate information
or an amended petition from the initiating court.
Subd. 4. [OBLIGOR LOCATED IN ANOTHER COUNTY OR STATE.] If
the obligor or the obligor's property is not found in the
county, and the prosecuting attorney discovers that the obligor
or the obligor's property may be found in another county of this
state, or another state, the attorney shall so inform the
court. Thereupon, the court administrator shall forward the
documents received from the court in the initiating state to a
court in the other county, or to a court in the other state, or
to the information agency or other proper official of the other
state, with a request that the documents be forwarded to the
proper court. All powers and duties provided by sections
518C.01 to 518C.36 apply to the recipient of the documents so
forwarded. If the court administrator of this state forwards
documents to another court, the court administrator shall
forthwith notify the initiating court.
Subd. 5. [NO INFORMATION.] If the prosecuting attorney has
no information as to the location of the obligor or the
obligor's property the attorney shall so inform the initiating
court.
Sec. 86. Minnesota Statutes 1988, section 518C.27,
subdivision 1, is amended to read:
Subdivision 1. [DUTIES OF RESPONDING COURT.] A responding
court has the following duties that shall be carried out through
the public authority responsible for support enforcement:
(1) according to the requirements of the initiating court,
to collect and transmit to the initiating court, designated
collection unit, county of the obligee's residence, or the
obligee under section 518.551, subdivision 1, a payment made by
the obligor pursuant to an order of the court or otherwise; and
(2) to furnish to the initiating court, upon request, a
certified statement of each payment made by the obligor.
Sec. 87. Laws 1989, chapter 338, section 11, is amended to
read:
Sec. 11. [OIL OVERCHARGE MONEY; APPROPRIATION.]
Subdivision 1. [LIMITATION.] The money appropriated by
this section is money received by the state, or to be made
available to the state in the future, as a result of litigation
or settlements of alleged violations of federal petroleum
pricing regulations that is not otherwise appropriated by law or
dedicated by court order.
Subd. 2. [ENERGY RELATED PROJECTS.] $3,100,000 of the
money specified in subdivision 1 oil overcharge money, as
defined in Minnesota Statutes, section 4.071, is appropriated
for transfer to the housing development fund for home energy
loans. Of that amount, $2,200,000 must be made available as
soon as federal approval is received. The balance must be made
available from money received later in the fiscal years ending
June 30, 1990, and June 30, 1991.
Subd. 2a. [ENERGY CONSERVATION PROJECTS.] $6,000,000 of
oil overcharge money, as defined in Minnesota Statutes, section
4.071, is appropriated to the commissioner of jobs and training
for energy conservation projects that directly serve low-income
Minnesotans. $50,000 of this appropriation must be transferred
to the commissioner of administration to administer the oil
overcharge funds for the fiscal year ending June 30, 1991. Of
the total appropriation, $4,500,000 must be made available as
soon as federal approval is received. The balance must be made
available from money received later in the fiscal years ending
June 30, 1990, and June 30, 1991. If the amount received by
June 30, 1991, is not sufficient to fully fund all
appropriations of oil overcharge money to that date, this
appropriation is reduced to the amount that can be fully funded
with those receipts.
Subd. 3. [OTHER PROJECTS.] One-half of the remainder of
the money specified in subdivision 1 must be appropriated to the
commissioner of jobs and training for energy conservation
projects that directly serve low-income Minnesotans. Money
appropriated under subdivision 2 and under this subdivision is
not governed by Minnesota Statutes, section 4.071, and is
available until spent.
Sec. 88. [PRENATAL CARE AND PREVENTIVE CARE FOR CHILDREN.]
The commissioner of health, in consultation with the
commissioner of human services, the commissioner of state
planning, and the commissioner of education, shall prepare a
state plan to improve utilization rates of medically appropriate
prenatal care and preventive care for children. The plan must
address at least the following issues: (1) methods of
addressing barriers such as the need for child care and
transportation; (2) techniques for improving public awareness of
the need for prenatal care and preventive care, both statewide
and within high-risk target populations; and (3) strategies for
overcoming cultural factors that may discourage minority
populations from obtaining medically appropriate prenatal care
and preventive care. To the extent possible, the commissioner
shall identify methods of improving access and utilization rates
that would not require a significant increase in legislative
appropriations, such as reallocation of existing money,
coordination and increased efficiency of existing programs,
techniques for generating private contributions or federal
money, and increased use of volunteers and donated services and
facilities. The commissioner shall also include in the plan an
analysis of the extent to which improved utilization rates, both
statewide and within target populations, could result in cost
savings in the medical assistance program, the general
assistance medical care program, and the children's health
plan. The commissioner shall present the plan to the governor
and the legislature by December 15, 1990. It is the intent of
the legislature to enact legislation to implement the plan
during the 1991 session.
Sec. 89. [CHILD SUPPORT JUDGMENT BY OPERATION OF LAW;
APPLICATION.]
Minnesota Statutes, section 548.091, subdivision 1a,
applies retroactively to any child support arrearage that
accrued before August 1, 1988, except that no arrearage may be
docketed under Minnesota Statutes, section 548.091, subdivision
2a, if the arrearage is more than ten years past due at the time
of docketing.
Sec. 90. [STUDIES AND PLANS RELATING TO CHEMICAL
DEPENDENCY TREATMENT.]
Subdivision 1. [TREATMENT PROGRAM ACCOUNTABILITY.] The
commissioner of human services shall develop standards to
provide increased accountability for chemical dependency
treatment programs. The commissioner shall work in conjunction
with treatment providers and clinicians. The commissioner shall
report the results of this work to the legislature by January 1,
1992.
Subd. 2. [AFTERCARE SERVICES STUDY.] The commissioner of
human services shall study funding and licensing options for
providing aftercare services to high-risk or special need
populations including, but not limited to, women, minorities,
and adult and juvenile offenders. The commissioner shall
present the results of this study and recommendations to the
legislature by January 1, 1991.
Subd. 3. [INDIAN YOUTH TREATMENT PLANNING.] The
commissioner of human services shall develop a plan for the
establishment of one or more treatment programs specializing in
chemically dependent Indian youth. The commissioner shall
involve diverse members of the Indian community in conducting
this assessment and shall present recommendations to the
legislature by January 1, 1991.
Subd. 4. [AFRICAN AMERICAN YOUTH TREATMENT PLANNING.] The
commissioner of human services shall develop a plan for a
program in the Summit-University area of St. Paul to address the
culturally-based drug prevention, treatment, and aftercare needs
of high-risk youth. The commissioner shall involve existing
neighborhood and governmental agencies in developing the plan
and shall present recommendations to the legislature by January
1, 1991.
Sec. 91. [254B.041] [CHEMICAL DEPENDENCY RULES.]
Subdivision 1. [RULE AMENDMENT.] The commissioner shall,
by emergency rulemaking, amend Minnesota Rules, parts 9530.6600
to 9530.7030, in order to contain costs and increase collections
for the consolidated chemical dependency treatment fund. The
amendment must establish criteria that will:
(1) increase the use of outpatient treatment for
individuals who can abstain from mood-altering chemicals long
enough to benefit from outpatient treatment;
(2) increase the use of outpatient treatment in combination
with primary residential treatment;
(3) increase the use of long-term treatment programs for
individuals who are not likely to benefit from primary
residential treatment; and
(4) limit the repeated use of residential placements for
individuals who have been shown not to benefit from residential
placements, including long-term residential treatment.
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. The
amendment may be adopted under the emergency rulemaking
provisions of sections 14.29 to 14.36.
Sec. 92. [TASK FORCE ON COMPENSATION FOR DIRECT CARE
EMPLOYEES.]
The commissioner of human services, in consultation with
the commissioner of employee relations, shall establish a task
force on the compensation and training of direct care
employees. The purpose of the task force is to address staff
turnover, recruitment, and training in order to have a
significant number of qualified people working in programs that
provide direct care services to individuals. Programs include
intermediate care facilities for persons with mental
retardation, semi-independent living services, day training and
habilitation, waivered services, supported employment,
rehabilitation facilities, services for persons with mental
illness, child care, and chemical dependency. Members of the
task force shall be appointed by the commissioner. Task force
membership shall consist of at least one representative from the
department of human services, the department of employee
relations, the department of jobs and training, and the
department of health, advocates, direct care staff from
unionized and nonunionized facilities, providers, collective
bargaining representatives, and representatives from
institutions of post-secondary education, metro and greater
Minnesota counties, and the governor's council on developmental
disabilities. The task force shall submit a report to the
commissioner by November 1, 1990, that includes recommendations
on the following:
(1) entry and promotional level wage ranges for various job
classifications which reduce wage and benefit inequities between
community and state-operated facilities and services;
(2) implementation of wage and benefit increases over a
four-year period to ensure that wages and benefits are brought
up to a level competitive within the community marketplace;
(3) mechanisms to link wage increases to initial training,
continuing education, and competency;
(4) recruitment and retention of qualified staff; and
(5) the impact of making adjustments pursuant to complying
with United States Code, title 29, section 157 (Supp. 1988), and
Minnesota Statutes, sections 179.16 and 179A.12.
By January 15, 1991, the commissioner shall submit the
report and recommended legislation to implement the report to
the chairs of the house of representatives and senate health and
human services committees.
Sec. 93. [REPORT ON METHODS OF COORDINATING SOCIAL WORK
AND MENTAL HEALTH BOARDS.]
(a) The commissioner of health shall convene an interagency
task force consisting of health department staff and
representatives from the commissioner of human services and the
boards of social work, marriage and family therapy, unlicensed
mental health service providers, medical examiners, nursing, and
psychology to study the current system of monitoring and
regulating both licensed and unlicensed individuals who practice
mental health counseling, psychotherapy, psychiatry, psychiatric
nursing, social work, professional counseling, chemical
dependency counseling, and similar activities. The task force
shall make recommendations for improving coordination,
administrative efficiency, and effectiveness of the activities
of the department of health and the boards that monitor and
regulate these social work and mental health occupations and
professions. The task force shall solicit and consider the
comments and recommendations of affected individuals,
associations, and government agencies. In developing its
recommendations, the task force shall consider:
(1) methods of monitoring or regulating unlicensed
practitioners and whether this activity should be administered
by the health department, an independent administrative agency,
a board, or another entity;
(2) a surcharge on license fees of all social work and
mental health boards to finance the monitoring or regulation of
unlicensed practitioners;
(3) methods of coordinating the various systems for
accepting and investigating complaints;
(4) coordinated information systems to identify individuals
who have been denied a license or have been subject to
disciplinary action by another licensing board or agency; and
(5) other relevant issues identified by the task force.
(b) The commissioner of health shall report to the
legislature by December 1, 1990, with the results of the study
and the recommendations of the task force.
Sec. 94. [EXEMPTION.]
For the biennium ending June 30, 1991, the board of
unlicensed mental health service providers is exempt from
Minnesota Statutes, sections 16A.128, subdivision 1, and 214.06,
subdivision 1.
Sec. 95. [COMPREHENSIVE REVIEW OF THE STATE EMERGENCY
MEDICAL SERVICE SYSTEM.]
The commissioner of health shall conduct a comprehensive
assessment of all aspects of the emergency medical service
system in Minnesota. This assessment must include an inventory
of current service capabilities by emergency medical service
regions and an examination of the effectiveness of the present
administrative structure for emergency medical services, actual
or potential gaps in services or coverage, funding needs,
problems in service coordination and administration, and the
capabilities and availability of hospital emergency services.
The assessment must also include a study of the role of air
ambulances and their coordination with and impact on local
ambulance services. The commissioner shall present this
assessment and provide recommendations to the legislature by
January 1, 1992.
Sec. 96. [MEDICAL SCHOOL GRADUATES.]
The commissioner of health shall encourage efforts by the
University of Minnesota medical school, the Mayo medical school,
and the University of Minnesota-Duluth medical school to develop
and implement plans to increase the number of medical school
graduates practicing in nonmetropolitan areas. The commissioner
shall meet regularly with the administrators of the three
medical schools to obtain information on progress toward this
goal.
Sec. 97. [STUDY OF MEDICAL ASSISTANCE REIMBURSEMENT FOR
RURAL PHYSICIANS.]
The commissioner of human services shall examine methods to
increase medical assistance reimbursement to medical doctors and
doctors of osteopathy. The commissioner may consider selective
reimbursement increases for the following primary care services
as defined by the commissioner by the appropriate current
procedure terminology (CPT); preventive care, office visits,
maternity and delivery services, and pediatric immunization, and
may consider other changes in medical assistance reimbursement
designed to target reimbursement increases to medical doctors
and doctors of osteopathy providing primary care services. The
commissioner shall present recommendations to the legislature by
January 15, 1991.
Sec. 98. [RURAL HEALTH PROFESSIONALS STUDY.]
The commissioner of health shall conduct an examination of
the critical shortage of health care professionals experienced
by rural areas. The study may consider, at a minimum, the
following:
(1) distribution of health care professionals;
(2) geographic distribution of educational programs;
(3) recruitment and retention programs;
(4) regulatory barriers;
(5) impediments caused by additional professional
requirements;
(6) appropriate education and training programs directed to
rural health care; and
(7) competition from other health care providers,
especially those located in urban settings providing similar
services.
In conducting the study, the commissioner shall consult
with rural health care providers, hospitals, and higher
education institutions. The commissioner shall require state
health care professional licensing boards to submit data upon
request to the department by July 1 for each preceding calendar
year. The commissioner must report the findings and present
recommendations to relieve current and projected health care
professional shortages in different areas of the state, to the
legislature by February 1, 1991.
Sec. 99. [TRANSFER OF FUNDS.]
All money raised under section 100, through the license
renewal surcharges for registered nurses and licensed practical
nurses shall be transferred each year from the board of nursing
to the higher education coordinating board for the purposes of
the nursing grant programs for licensed practical nurses and
registered nurses, provided in Senate File 2618, article 5,
sections 3 and 4, and shall be available until expended.
Sec. 100. [148.236] [FUNDING FOR NURSING GRANTS.]
Subdivision 1. [REGISTERED NURSE FUNDING.] (a) The nursing
grant program shall be funded by a $5.50 fee on each
registration renewal of registered nurses as provided under
Minnesota Statutes, section 148.231, unless the applicant
specifically indicates on the renewal form that the applicant
does not wish to participate in the funding of this program.
The board of nursing shall transfer all money received under
this subdivision, less an amount sufficient to pay the costs of
administering the program not to exceed 12 percent of the fee
collected under this subdivision, to the higher education
coordinating board on a quarterly basis. This money is
available until expended by the higher education coordinating
board. By January 1, 1991, and each subsequent year, the board
of nursing shall provide an estimate to the higher education
coordinating board of the amount of money that may be available
each year based on the number of anticipated registration
renewals in that year.
(b) Notwithstanding paragraph (a), up to the first $11,000
of fees collected under this subdivision may be used to program
the board of nursing's computer system for purposes of
administering this section.
Subd. 2. [LICENSED PRACTICAL NURSE FUNDING.] (a) The
nursing grant program shall be funded by a $5.50 fee on each
registration renewal of licensed practical nurses as provided
under Minnesota Statutes, section 148.231, unless the applicant
specifically indicates on the renewal form that the applicant
does not wish to participate in the funding of this program.
The board of nursing shall transfer all money received under
this subdivision, less an amount sufficient to pay the costs of
administering the program not to exceed 12 percent of the fee
collected under this subdivision, to the higher education
coordinating board on a quarterly basis. This money is
available until expended by the higher education coordinating
board. By January 1, 1991, and each subsequent year, the board
of nursing shall provide an estimate to the higher education
coordinating board of the amount of money that may be available
each year based on the number of anticipated registration
renewals in that year.
(b) Notwithstanding paragraph (a), up to the first $6,000
of fees collected under this subdivision may be used to program
the board of nursing's computer system for purposes of
administering this section.
Sec. 101. [SPECIAL REPORT ON THE CONSOLIDATED CHEMICAL
DEPENDENCY TREATMENT FUND.]
The commissioner of human services shall report to the
legislature by February 1, 1991, on plans for implementing the
changes in operation of the chemical dependency consolidated
treatment fund required by section 59.
Sec. 102. [244.16] [DAY-FINES.]
Subdivision 1. [MODEL SYSTEM.] By June 1, 1991, the
sentencing guidelines commission shall develop a model day-fine
system. Each judicial district must adopt either the model
system or its own day-fine system by January 1, 1992.
Subd. 2. [COMPONENTS.] A day-fine system adopted under
this section must provide for a two-step sentencing procedure
for those receiving a fine as part of a probationary felony
sentence. In the first step, the court determines how many
punishment points a person will receive, taking into account the
severity of the offense and the criminal history of the
offender. The second step is to multiply the punishment points
by a factor that accounts for the offender's financial
circumstances. The goal of the system is to provide a fine that
is proportional to the seriousness of the offense and largely
equal in impact among offenders with different financial
circumstances. The system may provide for community service in
lieu of fines for offenders whose means are so limited that the
payment of a fine would be unlikely.
Sec. 103. [REPEALER.]
Laws 1989, chapter 338, section 11, subdivisions 1 and 3,
are repealed.
Sec. 104. [EFFECTIVE DATES.]
Subdivision 1. [VOLUNTARY AND INVOLUNTARY
RECEIVERSHIP.] Sections 48 and 49 are effective the day
following final enactment.
Subd. 2. [SEAT BELT REQUIREMENTS.] Sections 54 and 55 are
effective the day following final enactment.
Subd. 3. [CHEMICAL DEPENDENCY.] Sections 57, 58, 60, 90,
and 91 are effective the day following final enactment. Section
59 is effective July 1, 1991.
Subd. 4. [PATERNITY ACTIONS.] Section 65 is effective the
day following final enactment and applies to actions brought
after January 1, 1986, except that section 65 does not bar an
action by a presumed father who discovered the birth of the
child within two years before the effective date of section 65
if the action is brought within one year after the effective
date.
Subd. 5. [CHILD SUPPORT.] Sections 61 and 72 are effective
the day following final enactment. Section 62 is effective July
1, 1990, and applies to coverage identified or enforced on or
after that date.
Subd. 6. [WHOLESALE DRUG DISTRIBUTORS; LICENSING.]
Sections 18 to 29 are effective on January 1, 1991.
Subd. 7. [OIL OVERCHARGE MONEY; ENERGY CONSERVATION.]
Sections 1, subdivision 1; 87; and 103 are effective the day
following final enactment. Section 1, subdivisions 2 and 3, are
effective July 1, 1991.
Subd. 8. [LOCATION OF RESIDENTIAL PROGRAMS.] Section 47 is
effective the day following final enactment.
ARTICLE 3
HEALTH CARE PROGRAMS
Section 1. Minnesota Statutes 1988, section 13.46,
subdivision 5, is amended to read:
Subd. 5. [MEDICAL DATA; CONTRACTS.] Data relating to the
medical, psychiatric, or mental health of any individual,
including diagnosis, progress charts, treatment received, case
histories, and opinions of health care providers, that is
collected, maintained, used, or disseminated by any agency to
the welfare system is private data on individuals and will be
available to the data subject, unless the private health care
provider has clearly requested in writing that the data be
withheld pursuant to section 144.335. Data on individuals that
is collected, maintained, used, or disseminated by a private
health care provider under contract to any agency of the welfare
system is private data on individuals, and is subject to the
provisions of sections 13.02 to 13.07 and this section, except
that the provisions of section 13.04, subdivision 3, shall not
apply. Access to medical data referred to in this subdivision
by the individual who is the subject of the data is subject to
the provisions of section 144.335. Access to information that
is maintained by the public authority responsible for support
enforcement and that is needed to enforce medical support is
subject to the provisions of section 518.171.
Sec. 2. [62A.62] [DEMONSTRATION PROJECT.]
Subdivision 1. [ESTABLISHMENT.] The commissioner shall
establish demonstration projects to allow health insurers
regulated under this chapter and nonprofit health service plan
corporations regulated under chapter 62C to extend coverage for
health and services to individuals or groups currently unable to
afford such coverage. For purposes of this section, the
commissioner may recommend legislation granting an exemption
from minimum benefits required under chapter 62A, and any
applicable rules if there is reasonable evidence that the rules
prohibit the operation of the demonstration project. The
commissioner shall provide for public comment before
recommending an exemption from any statute or rule.
Subd. 2. [APPLICATION AND APPROVAL.] An insurer or health
service plan corporation electing to participate in a
demonstration project shall apply to the commissioner for
approval on a form developed by the commissioner. The
application shall include at least the following:
(1) a statement identifying the population that the project
is designed to serve;
(2) a description of the proposed project including a
statement projecting a schedule of costs and benefits for the
enrollee;
(3) reference to the sections of Minnesota Statutes and
department of commerce rules for which waiver is requested;
(4) evidence that application of the requirements of
applicable Minnesota Statutes and department of commerce rules
would, unless waived, prohibit the operation of the
demonstration project;
(5) an estimate of the number of years needed to adequately
demonstrate the project's effects; and
(6) other information the commissioner may reasonably
require.
Subd. 3. [COMMISSIONER'S REVIEW OF APPLICATION FOR
DEMONSTRATION PROJECT.] The commissioner shall approve, deny, or
refer back to the insurer or health service plan corporation for
modification, the application for a demonstration project within
60 days of receipt from the insurer or health service plan
corporation. If the commissioner approves a project that
requires legislation exempting the project from minimum benefit
requirements, the commissioner shall make the approval
contingent on enactment of the required legislation.
Subd. 4. [LENGTH OF PROJECT.] The commissioner may approve
an application for a demonstration project for a maximum of six
years, with an option to renew.
Subd. 5. [REPORT REQUIRED.] Each insurer or health service
plan corporation for which a demonstration project is approved
shall annually file a report with the commissioner summarizing
the project's experience at the same time it files its annual
report. The report shall be on a form developed by the
commissioner and shall be separate from the annual report.
Subd. 6. [APPROVAL MAY BE RESCINDED.] The commissioner may
rescind approval of a demonstration project if the commissioner
finds that the project's operation is contrary to the
information contained in the approved application.
Subd. 7. [APPLICABILITY.] This section does not apply to
the demonstration project established under section 256B.73.
Sec. 3. Minnesota Statutes 1989 Supplement, section
144.50, subdivision 6, is amended to read:
Subd. 6. [SUPERVISED LIVING FACILITY LICENSES.] (a) The
commissioner may license as a supervised living facility a
facility seeking medical assistance certification as an
intermediate care facility for persons with mental retardation
or related conditions for four or more persons as authorized
under section 252.291.
(b) Class B supervised living facilities for six or less
persons seeking medical assistance certification as an
intermediate care facility for persons with mental retardation
or related conditions shall be classified as follows for
purposes of the state building code:
(1) Class B supervised living facilities for six or less
persons must meet Group R, Division 3, occupancy requirements;
and
(2) Class B supervised living facilities for seven to 16
persons must meet Group R, Division 1, occupancy requirements.
(c) Class B facilities classified under paragraph (b),
clauses (1) and (2), must meet Group R, Division 3, occupancy
requirements of the state building code, the fire protection
provisions of chapter 21 of the 1985 life safety code, NFPA 101,
for facilities housing persons with impractical evacuation
capabilities, and except that Class B facilities licensed prior
to the effective date of this section need only continue to meet
institutional fire safety provisions. Class B supervised living
facilities shall provide the necessary physical plant
accommodations to meet the needs and functional disabilities of
the residents. For Class B supervised living facilities
licensed after the effective date of this section and housing
nonambulatory or nonmobile persons, the corridor access to
bedrooms, common spaces, and other resident use spaces must be
at least five feet in clear width, except that a waiver may be
requested in accordance with Minnesota Rules, part 4665.0600.
Sec. 4. Minnesota Statutes 1988, section 144A.073, is
amended by adding a subdivision to read:
Subd. 3a. [EXTENSION OF APPROVAL OF A PROJECT REQUIRING AN
EXCEPTION TO THE NURSING HOME MORATORIUM.] Notwithstanding
subdivision 3, a construction project that was approved by the
commissioner under the moratorium exception approval process in
this section prior to February 1, 1990, may be commenced more
than 12 months after the date of the commissioner's approval but
no later than July 1, 1992.
Sec. 5. Minnesota Statutes 1989 Supplement, section
145.894, is amended to read:
145.894 [STATE COMMISSIONER OF HEALTH; DUTIES,
RESPONSIBILITIES.]
The commissioner of health shall:
(a) Develop a comprehensive state plan for the delivery of
nutritional supplements to pregnant and lactating women,
infants, and children;
(b) Contract with existing local public or private
nonprofit organizations for the administration of the
nutritional supplement program;
(c) Develop and implement a public education program
promoting the provisions of sections 145.891 to 145.897, and
provide for the delivery of individual and family nutrition
education and counseling at project sites. The education
programs must include a campaign to promote breast feeding;
(d) Develop in cooperation with other agencies and vendors
a uniform state voucher system for the delivery of nutritional
supplements;
(e) Authorize local health agencies to issue vouchers
bimonthly to some or all eligible individuals served by the
agency, provided the agency demonstrates that the federal
minimum requirements for providing nutrition education will
continue to be met and that the quality of nutrition education
and health services provided by the agency will not be adversely
impacted;
(f) Investigate and implement an infant formula cost
reduction a system that will to reduce the cost of nutritional
supplements so that by October 1, 1988, additional mothers and
children will be served and maintain ongoing negotiations with
nonparticipating manufacturers and suppliers to maximize cost
savings;
(g) Develop, analyze, and evaluate the health aspects of
the nutritional supplement program and establish nutritional
guidelines for the program;
(h) Apply for, administer, and annually expend at least 99
percent of available federal or private funds;
(i) Aggressively market services to eligible individuals by
conducting ongoing outreach activities and by coordinating with
and providing marketing materials and technical assistance to
local human services and community service agencies and
nonprofit service providers;
(j) Determine, on July 1 of each year, the number of
pregnant women participating in each special supplemental food
program for women, infants, and children (W.I.C.) and, in 1986,
1987, and 1988, at the commissioner's discretion, designate a
different food program deliverer if the current deliverer fails
to increase the participation of pregnant women in the program
by at least ten percent over the previous year's participation
rate;
(k) Promulgate all rules necessary to carry out the
provisions of sections 145.891 to 145.897;
(l) Report to the legislature by November 15 of every year
on the expenditures and activities under sections 145.891 to
145.897 of the state and local health agencies for the preceding
fiscal year; and
(m) Ensure that any state appropriation to supplement the
federal program is spent consistent with federal requirements.
Sec. 6. Minnesota Statutes 1988, section 214.07,
subdivision 1, is amended to read:
Subdivision 1. [BOARD REPORTS.] The health-related
licensing boards and the non-health-related licensing boards
shall prepare reports according to this subdivision and
subdivision 1a by October 1 of each even-numbered year. Copies
of the reports shall be delivered to the legislature in
accordance with section 3.195, and to the governor. Copies of
the reports of the health-related licensing boards shall also be
delivered to the commissioner of health. The reports shall
contain the following information relating to the two-year
period ending the previous June 30:
(a) a general statement of board activities;
(b) the number of meetings and approximate total number of
hours spent by all board members in meetings and on other board
activities;
(c) the receipts and disbursements of board funds;
(d) the names of board members and their addresses,
occupations, and dates of appointment and reappointment to the
board;
(e) the names and job classifications of board employees;
(f) a brief summary of board rules proposed or adopted
during the reporting period with appropriate citations to the
State Register and published rules;
(g) the number of persons having each type of license and
registration issued by the board as of June 30 in the year of
the report;
(h) the locations and dates of the administration of
examinations by the board;
(i) the number of persons examined by the board with the
persons subdivided into groups showing age categories, sex, and
states of residency;
(j) the number of persons licensed or registered by the
board after taking the examinations referred to in clause (h)
with the persons subdivided by age categories, sex, and states
of residency;
(k) the number of persons not licensed or registered by the
board after taking the examinations referred to in clause (h)
with the persons subdivided by age categories, sex, and states
of residency;
(l) the number of persons not taking the examinations
referred to in clause (h) who were licensed or registered by the
board or who were denied licensing or registration with the
reasons for the licensing or registration or denial thereof and
with the persons subdivided by age categories, sex, and states
of residency;
(m) the number of persons previously licensed or registered
by the board whose licenses or registrations were revoked,
suspended, or otherwise altered in status with brief statements
of the reasons for the revocation, suspension or alteration;
(n) the number of written and oral complaints and other
communications received by the executive secretary of the board,
a board member, or any other person performing services for the
board (1) which allege or imply a violation of a statute or rule
which the board is empowered to enforce and (2) which are
forwarded to other agencies as required by section 214.10;
(o) a summary, by specific category, of the substance of
the complaints and communications referred to in clause (n) and,
for each specific category, the responses or dispositions
thereof pursuant to section 214.10 or 214.11;
(p) any other objective information which the board members
believe will be useful in reviewing board activities.
Sec. 7. Minnesota Statutes 1988, section 214.07, is
amended by adding a subdivision to read:
Subd. 1a. [REPORT REQUIREMENT FOR BOARD OF MEDICAL
EXAMINERS AND BOARD OF NURSING.] The board of medical examiners
and the board of nursing shall include in the report required
under subdivision 1, clause (o), specific information regarding
complaints and communications involving obstetrics, gynecology,
prenatal care, and delivery, and the boards' responses or
dispositions.
Sec. 8. Minnesota Statutes 1989 Supplement, section
252.46, subdivision 1, is amended to read:
Subdivision 1. [RATES FOR CALENDAR YEARS 1989 AND 1990.]
Payment rates to vendors, except regional centers, for
county-funded day training and habilitation services and
transportation provided to persons receiving day training and
habilitation services established by a county board for calendar
years 1989 and 1990 are governed by subdivisions 2 to 10 11.
"Payment rate" as used in subdivisions 2 to 10 11 refers to
three kinds of payment rates: a full-day service rate for
persons who receive at least six service hours a day, including
the time it takes to transport the person to and from the
service site; a partial-day service rate that must not exceed 75
percent of the full-day service rate for persons who receive
less than a full day of service; and a transportation rate for
providing, or arranging and paying for, transportation of a
person to and from the person's residence to the service site.
Sec. 9. Minnesota Statutes 1989 Supplement, section
252.46, subdivision 2, is amended to read:
Subd. 2. [1989 AND 1990 RATE MINIMUM.] Unless a variance
is granted under subdivision 6, the minimum payment rates set by
a county board for each vendor for calendar years 1989 and 1990
must be equal to the payment rates approved by the commissioner
for that vendor in effect January 1, 1988, and January 1, 1989,
respectively of the previous calendar year.
Sec. 10. Minnesota Statutes 1989 Supplement, section
252.46, subdivision 3, is amended to read:
Subd. 3. [1989 AND 1990 RATE MAXIMUM.] Unless a variance
is granted under subdivision 6, the maximum payment rates for
each vendor for calendar years 1989 and 1990 a calendar year
must be equal to the payment rates approved by the commissioner
for that vendor in effect December 1, 1988, and December 1,
1989, respectively, of the previous calendar year increased by
no more than the projected percentage change in the urban
consumer price index, all items, published by the United States
Department of Labor, for the upcoming calendar year over the
current calendar year.
Sec. 11. Minnesota Statutes 1989 Supplement, section
252.46, subdivision 4, is amended to read:
Subd. 4. [NEW VENDORS.] Payment rates established by a
county for calendar years 1989 and 1990, for a new vendor for
which there were no previous rates must not exceed 125 percent
of the average payment rates in the regional development
commission district under sections 462.381 to 462.396 in which
the new vendor is located. When at least 50 percent of the
persons to be served by the new vendor are persons discharged
from a regional treatment center on or after January 1, 1990,
the recommended payment rates for the new vendor shall not
exceed twice the current statewide average payment rates.
For purposes of this subdivision, persons discharged from
the regional treatment center do not include persons who
received temporary care under section 252A.111, subdivision 3.
Sec. 12. Minnesota Statutes 1989 Supplement, section
252.46, subdivision 12, is amended to read:
Subd. 12. [RATES ESTABLISHED AFTER 1990.] Unless a
variance is granted under subdivision 6, payment rates
established by a county for calendar year 1990 and which are in
effect December 31, 1990, remain in effect until June 30, 1991.
Payment rates established by a county board to be paid to a
vendor on or after January July 1, 1991, must be determined
under permanent rules adopted by the commissioner. Until
permanent rules are adopted, the payment rates must be
determined according to subdivisions 1 to 11 except for the
period from July 1, 1991, through December 31, 1991, when the
increase determined under subdivision 3 must not exceed the
projected percentage change in the urban consumer price index,
all items, published by the United States Department of Labor,
for the current calendar year over the previous calendar year.
No county shall pay a rate that is less than the minimum rate
determined by the commissioner.
In developing procedures for setting minimum payment rates
and procedures for establishing payment rates, the commissioner
shall consider the following factors:
(1) a vendor's payment rate and historical cost in the
previous year;
(2) current economic trends and conditions;
(3) costs that a vendor must incur to operate efficiently,
effectively and economically and still provide training and
habilitation services that comply with quality standards
required by state and federal regulations;
(4) increased liability insurance costs;
(5) costs incurred for the development and continuation of
supported employment services;
(6) cost variations in providing services to people with
different needs;
(7) the adequacy of reimbursement rates that are more than
15 percent below the statewide average; and
(8) other appropriate factors.
The commissioner may develop procedures to establish
differing hourly rates that take into account variations in the
number of clients per staff hour, to assess the need for day
training and habilitation services, and to control the
utilization of services.
In developing procedures for setting transportation rates,
the commissioner may consider allowing the county board to set
those rates or may consider developing a uniform standard.
Medical assistance rates for home and community-based
services provided under section 256B.501 by licensed vendors of
day training and habilitation services must not be greater than
the rates for the same services established by counties under
sections 252.40 to 252.47.
Sec. 13. [252.478] [METRO TRANSPORTATION SUPPORT GRANTS.]
Subdivision 1. [ESTABLISHMENT OF PROGRAM.] The
commissioner of human services shall establish and operate a
metro transportation support grants program to provide
reimbursement for client transportation by metro mobility to day
training and habilitation services for which client
transportation is a required and funded component, and to
maximize use of federal funds for this reimbursement. A metro
transportation support grants account shall be established in
the department of human services chart of accounts.
Subd. 2. [RATES.] Costs of transportation to and from a
day training and habilitation service agency must be a part of
the payment rate established for each day training and
habilitation services agency.
The commissioner may approve payment rates for day training
and habilitation services that exceed the limits in Minnesota
Statutes, section 252.46, subdivision 6, for vendors whose
transportation costs increase as a result of action taken by the
regional transit board under Laws of Minnesota 1988, chapter
684, article 2, section 3, or Laws of Minnesota 1989, chapter
269, section 35, or Minnesota Statutes, section 473.386,
subdivision 4.
Subd. 3. [COUNTY SHARE.] The county share of the metro
transportation support grants program costs will be distributed
by the department to all metropolitan counties from the metro
transportation support grants account. For state fiscal year
1991, the funds transferred from the regional transit board to
this account shall be distributed to: Ramsey county, 48
percent; Hennepin county, 46 percent; Dakota county, five
percent; and Anoka county, one percent. For subsequent fiscal
years, funds shall be distributed annually based on each
county's percentage of total expenses incurred for trips
provided on metro mobility to and from day training and
habilitation services during the preceding 12-month period.
Counties should deposit these funds into the program accounts
that will incur the transportation expenses.
Sec. 14. Minnesota Statutes 1989 Supplement, section
256.936, subdivision 1, is amended to read:
Subdivision 1. [DEFINITIONS.] For purposes of this section
the following terms shall have the meanings given them:
(a) "Eligible persons" means children who are one year of
age or older but less than 18 years of age who have gross family
incomes that are equal to or less than 185 percent of the
federal poverty guidelines and who are not eligible for medical
assistance under chapter 256B or general assistance medical care
under chapter 256D and who are not otherwise insured for the
covered services. The period of eligibility extends from the
first day of the month in which the child's first birthday
occurs to the last day of the month in which the child becomes
18 years old.
(b) "Covered services" means children's health services.
(c) "Children's health services" means the health services
reimbursed under chapter 256B, with the exception of inpatient
hospital services, special education services, private duty
nursing services, orthodontic services, medical transportation
services, personal care assistant and case management services,
hospice care services, nursing home or intermediate care
facilities services, inpatient mental health services,
outpatient mental health services in excess of $1,000 per
enrolled child per 12-month eligibility period, and chemical
dependency services. Outpatient mental health services covered
under the children's health plan are limited to diagnostic
assessments, psychological testing, explanation of findings, and
individual, family, and group psychotherapy.
(d) "Eligible providers" means those health care providers
who provide children's health services to medical assistance
recipients under rules established by the commissioner for that
program. Reimbursement under this section shall be at the same
rates and conditions established for medical assistance.
(e) "Commissioner" means the commissioner of human services.
(f) "Gross family income" for farm and nonfarm
self-employed means income calculated using as the baseline the
adjusted gross income reported on the applicant's federal income
tax form for the previous year and adding back in reported
depreciation, carryover loss, and net operating loss amounts
that apply to the business in which the family is currently
engaged. Applicants shall report the most recent financial
situation of the family if it has changed from the period of
time covered by the federal income tax form. The report may be
in the form of percentage increase or decrease.
Sec. 15. [256.9365] [PURCHASE OF CONTINUATION COVERAGE FOR
AIDS PATIENTS.]
Subdivision 1. [PROGRAM ESTABLISHED.] The commissioner of
human services shall establish a program to pay private health
plan premiums for persons who have contracted human
immunodeficiency virus (HIV) to enable them to continue coverage
under a group or individual health plan. If a person is
determined to be eligible under subdivision 2, the commissioner
shall pay the eligible person's group plan continuation coverage
premium for 18 months after termination of employment, or pay
the eligible person's individual plan premium for 24 months
after initial application.
Subd. 2. [ELIGIBILITY REQUIREMENTS.] To be eligible for
the program, an applicant must satisfy the following
requirements:
(1) the applicant must provide a physician's statement
verifying that the applicant is infected with HIV and is, or
within three months is likely to become, too ill to work in the
applicant's current employment because of HIV-related disease;
(2) the applicant's monthly gross family income must not
exceed 300 percent of the federal poverty guidelines, after
deducting medical expenses and insurance premiums;
(3) the applicant must not own assets with a combined value
of more than $25,000;
(4) if applying for payment of group plan premiums, the
applicant must be covered by an employer's or former employer's
group insurance plan and be eligible to purchase continuation
coverage; and
(5) if applying for payment of individual plan premiums,
the applicant must be covered by an individual health plan whose
coverage and premium costs satisfy additional requirements
established by the commissioner in rule.
Subd. 3. [RULES.] The commissioner shall establish rules
as necessary to implement the program. Special requirements for
the payment of individual plan premiums under subdivision 2,
clause (5), must be designed to ensure that the state cost of
paying an individual plan premium over a two-year period does
not exceed the estimated state cost that would otherwise be
incurred in the medical assistance program.
Sec. 16. Minnesota Statutes 1989 Supplement, section
256.969, subdivision 2c, is amended to read:
Subd. 2c. [PROPERTY PAYMENT RATES.] For each hospital's
first two consecutive fiscal years beginning on or after July 1,
1988, the commissioner shall limit the annual increase in
property payment rates for depreciation, rents and leases, and
interest expense to the annual growth in the hospital cost index
derived from the methodology in effect on the day before July 1,
1989. When computing budgeted and settlement property payment
rates, the commissioner shall use the annual increase in the
hospital cost index forecasted by Data Resources, Inc.,
consistent with the quarter of the hospital's fiscal year end.
For admissions occurring on or after the rate year beginning
January 1, 1991, the commissioner shall obtain property data
from an updated base year and establish property payment rates
per admission for each hospital. Property payment rates shall
be derived from data from the same base year that is used to
establish operating payment rates. The property information
shall include cost categories not subject to the hospital cost
index and shall reflect the cost-finding methods and allowable
costs of the Medicare program in effect during the base year.
The property payment rate per admission shall be adjusted for
positive percentage change differences in the net book value of
hospital property and equipment by increasing the property
payment rate per admission 85 percent of the percentage change
from the base year through the most recent year ending prior to
the rate year for which required information is available. The
percentage change shall be derived from equivalent audited
information in both years and shall be adjusted to account for
changes in generally accepted accounting principles,
reclassification of assets, allocations to nonhospital areas,
and fiscal years. The cost, audit, and charge data used to
establish property rates shall only reflect inpatient services
covered by medical assistance and shall not include operating
cost information. To be eligible for the property payment rate
per admission adjustment, the hospital must provide the
necessary information to the commissioner, in a format specified
by the commissioner, by the October 1 preceding the rate year.
The commissioner shall adjust rates for the rate year beginning
January 1, 1991, to ensure that all hospitals are subject to the
hospital cost index limitation for two complete years.
Sec. 17. Minnesota Statutes 1989 Supplement, section
256.969, subdivision 6a, is amended to read:
Subd. 6a. [SPECIAL CONSIDERATIONS.] (a) In determining the
payment rates, the commissioner shall consider whether the
following circumstances exist:
(1) [MINIMAL MEDICAL ASSISTANCE USE.] Minnesota hospitals
with 30 or fewer annualized admissions of Minnesota medical
assistance recipients in the base year, excluding Medicare
crossover admissions, may have the base year operating rates, as
adjusted by the case mix index, and property payment rates
established at the 70th percentile of hospitals in the peer
group in effect during the base year as established by the
Minnesota department of health for use by the rate review
program. Rates within a peer group shall be adjusted for
differences in fiscal years and outlier percentage payments
before establishing the 70th percentile. The operating payment
rate portion of the 70th percentile shall be adjusted by the
hospital cost index. To have rates established under this
paragraph, the hospital must notify the commissioner in writing
by November 1 of the year preceding the rate year. This
paragraph shall be applied to all payment rates of the affected
hospital.
(2) [UNUSUAL COST OR LENGTH OF STAY EXPERIENCE.] The
commissioner shall establish day and cost outlier thresholds for
each diagnostic category established under subdivision 2 at two
standard deviations beyond the geometric mean length of stay or
allowable cost. Payment for the days and cost beyond the
outlier threshold shall be in addition to the operating and
property payment rates per admission established under
subdivisions 2, 2b, and 2c. Payment for outliers shall be at 70
percent of the allowable operating cost calculated by dividing
the operating payment rate per admission, after adjustment by
the case mix index, hospital cost index, relative values and the
disproportionate population adjustment, by the arithmetic mean
length of stay for the diagnostic category. The outlier
threshold for neonatal and burn diagnostic categories shall be
established at one standard deviation beyond the geometric mean
length of stay or allowable cost, and payment shall be at 90
percent of allowable operating cost calculated in the same
manner as other outliers. A hospital may choose an alternative
percentage outlier payment to a minimum of 60 percent and a
maximum of 80 percent if the commissioner is notified in writing
of the request by October 1 of the year preceding the rate
year. The chosen percentage applies to all diagnostic
categories except burns and neonates. The percentage of
allowable cost that is unrecognized by the outlier payment shall
be added back to the base year operating payment rate per
admission. Cost outliers shall be calculated using hospital
specific allowable cost data. If a stay is both a day and a
cost outlier, outlier payments shall be based on the higher
outlier payment.
(3) [DISPROPORTIONATE NUMBERS OF LOW-INCOME PATIENTS
SERVED.] For admissions occurring on or after July 1, 1989, the
medical assistance disproportionate population adjustment shall
comply with federal law at fully implemented rates. The
commissioner may establish a separate disproportionate
population operating payment rate adjustment under the general
assistance medical care program. For admissions occurring on or
after the rate year beginning January 1, 1991, the
disproportionate population adjustment shall be derived from
base year Medicare cost report data and may be adjusted by data
reflecting actual claims paid by the department.
(4) [SEPARATE BILLING BY CERTIFIED REGISTERED NURSE
ANESTHETISTS.] Hospitals may exclude certified registered nurse
anesthetist costs from the operating payment rate as allowed by
section 256B.0625, subdivision 11. To be eligible, a hospital
must notify the commissioner in writing by October 1 of the year
preceding the rate year of the request to exclude certified
registered nurse anesthetist costs. The hospital must agree
that all hospital claims for the cost and charges of certified
registered nurse anesthetist services will not be included as
part of the rates for inpatient services provided during the
rate year. In this case, the operating payment rate shall be
adjusted to exclude the cost of certified registered nurse
anesthetist services. Payments made through separate claims for
certified registered nurse anesthetist services shall not be
paid directly through the hospital provider number or indirectly
by the certified registered nurse anesthetist to the hospital or
related organizations.
(5) [SPECIAL RATES.] The commissioner may establish special
rate-setting methodologies, including a per day operating and
property payment system, for hospice, ventilator dependent, and
other services on a hospital and recipient specific basis taking
into consideration such variables as federal designation,
program size, and admission from a medical assistance waiver or
home care program. The data and rate calculation method shall
conform to the requirements of paragraph (7), except that
hospice rates shall not exceed the amount allowed under federal
law and payment shall be secondary to any other medical
assistance hospice program. Rates and payments established
under this paragraph must meet the requirements of section
256.9685, subdivisions 1 and 2, and must not exceed payments
that would otherwise be made to a hospital in total for rate
year admissions under subdivisions 2, 2b, 2c, 3, 4, 5, and 6.
The cost and charges used to establish rates shall only reflect
inpatient medical assistance covered services. Hospital and
claims data that are used to establish rates under this
paragraph shall not be used to establish payments or relative
values under subdivisions 2, 2b, 2c, 3, 4, 5, and 6.
(6) [REHABILITATION DISTINCT PARTS.] Units of hospitals
that are recognized as rehabilitation distinct parts by the
Medicare program shall have separate provider numbers under the
medical assistance program for rate establishment and billing
purposes only. These units shall also have operating and
property payment rates and the disproportionate population
adjustment established separately from other inpatient hospital
services, based on the methods of subdivisions 2, 2b, 2c, 3, 4,
5, and 6. The commissioner may establish separate relative
values under subdivision 2 for rehabilitation hospitals and
distinct parts as defined by the Medicare program. For
individual hospitals that did not have separate medical
assistance rehabilitation provider numbers or rehabilitation
distinct parts in the base year, hospitals shall provide the
information needed to separate rehabilitation distinct part cost
and claims data from other inpatient service data.
(7) [NEONATAL TRANSFERS.] For admissions occurring on or
after July 1, 1989, neonatal diagnostic category transfers shall
have operating and property payment rates established at
receiving hospitals which have neonatal intensive care units on
a per day payment system that is based on the cost finding
methods and allowable costs of the Medicare program during the
base year. Other neonatal diagnostic category transfers shall
have rates established according to paragraph (8). The rate per
day for the neonatal service setting within the hospital shall
be determined by dividing base year neonatal allowable costs by
neonatal patient days. The operating payment rate portion of
the rate shall be adjusted by the hospital cost index and the
disproportionate population adjustment. The cost and charges
used to establish rates shall only reflect inpatient services
covered by medical assistance. Hospital and claims data used to
establish rates under this paragraph shall not be used to
establish payments or relative values under subdivisions 2, 2b,
2c, 3, 4, 5, and 6.
(8) [TRANSFERS.] Except as provided in paragraphs (5) and
(7), operating and property payment rates for admissions that
result in transfers and transfers shall be established on a per
day payment system. The per day payment rate shall be the sum
of the adjusted operating and property payment rates determined
in subdivisions 2b and 2c, divided by the arithmetic mean length
of stay for the diagnostic category. Each admission that
results in a transfer and each transfer is considered a separate
admission to each hospital, and the total of the admission and
transfer payments to each hospital must not exceed the total per
admission payment that would otherwise be made to each hospital
under paragraph (2) and subdivisions 2b and 2c.
(b) The computation of each hospital's payment rate and the
relative values of the diagnostic categories are not subject to
the routine service cost limitation imposed under the Medicare
program.
(c) Indian health service facilities are exempt from the
rate establishment methods required by this section and shall be
reimbursed at the facility's usual and customary charges to the
general public. This exemption is not effective for payments
under general assistance medical care.
(d) Except as provided in paragraph (a), clauses (1) and
(3), out-of-state hospitals that are located within a Minnesota
local trade area shall have rates established using the same
procedures and methods that apply to Minnesota hospitals.
Hospitals that are not required by law to file information in a
format necessary to establish rates shall have rates established
based on the commissioner's estimates of the information.
Relative values of the diagnostic categories shall not be
redetermined under this paragraph until required by rule.
Hospitals affected by this paragraph shall then be included in
determining relative values. However, hospitals that have rates
established based upon the commissioner's estimates of
information shall not be included in determining relative values.
This paragraph is effective for hospital fiscal years beginning
on or after July 1, 1988. A hospital shall provide the
information necessary to establish rates under this paragraph at
least 90 days before the start of the hospital's fiscal year.
(e) Hospitals that are not located within Minnesota or a
Minnesota local trade area shall have operating and property
rates established at the average of statewide and local trade
area rates or, at the commissioner's discretion, at an amount
negotiated by the commissioner. Relative values shall not
include data from hospitals that have rates established under
this paragraph. Payments, including third party liability,
established under this paragraph may not exceed the charges on a
claim specific basis for inpatient services that are covered by
medical assistance.
(f) Medical assistance inpatient payment rates must include
the cost incurred by hospitals to pay the department of health
for metabolic disorder testing of newborns who are medical
assistance recipients, if the cost is not recognized by another
payment source.
(g) Medical assistance inpatient payments shall increase 20
percent for inpatient hospital originally paid admissions,
excluding Medicare crossovers, that occurred between July 1,
1988, and December 31, 1990, if: (i) the hospital had 100 or
fewer Minnesota medical assistance annualized paid admissions,
excluding Medicare crossovers, that were paid by March 1, 1988,
for the period January 1, 1987, to June 30, 1987; (ii) the
hospital had 100 or fewer licensed beds on March 1, 1988; (iii)
the hospital is located in Minnesota; and (iv) the hospital is
not located in a city of the first class as defined in section
410.01. For this paragraph, medical assistance does not include
general assistance medical care.
(h) Medical assistance inpatient payments shall increase 15
percent for inpatient hospital originally paid admissions,
excluding Medicare crossovers, that occurred between July 1,
1988, and December 31, 1990, if: (i) the hospital had more than
100 but fewer than 250 Minnesota medical assistance annualized
paid admissions, excluding Medicare crossovers, that were paid
by March 1, 1988, for the period January 1, 1987, to June 30,
1987; (ii) the hospital had 100 or fewer licensed beds on March
1, 1988; (iii) the hospital is located in Minnesota; and (iv)
the hospital is not located in a city of the first class as
defined in section 410.01. For this paragraph, medical
assistance does not include general assistance medical care.
(i) Admissions occurring on or after July 1, 1990, that are
classified to a diagnostic category of mental health or chemical
dependency shall have rates established according to the methods
of paragraph (a), clause (8), except the per day rate shall be
multiplied by a factor of 2, provided that the total of the per
day rates shall not exceed the per admission rate. This
methodology shall also apply when a hold or commitment is
ordered by the court for the days that inpatient hospital
services are medically necessary. Stays which are medically
necessary for inpatient hospital services and covered by medical
assistance shall not be billable to any other governmental
entity. Medical necessity shall be determined under criteria
established to meet the requirements of section 256B.04,
subdivision 15, or 256D.03, subdivision 7, paragraph (b).
Sec. 18. Minnesota Statutes 1989 Supplement, section
256.9695, subdivision 1, is amended to read:
Subdivision 1. [APPEALS.] A hospital may appeal a decision
arising from the application of standards or methods under
section 256.9685, 256.9686, or 256.969, if an appeal would
result in a change to the hospital's payment rate or payments.
Both overpayments and underpayments that result from the
submission of appeals shall be implemented. Regardless of any
appeal outcome, relative values shall not be recalculated. The
appeal shall be heard by an administrative law judge according
to sections 14.48 to 14.56, or upon agreement by both parties,
according to a modified appeals procedure established by the
commissioner and the office of administrative hearings. In any
proceeding under this section, the appealing party must
demonstrate by a preponderance of the evidence that the
commissioner's determination is incorrect or not according to
law.
(a) To appeal a payment rate or payment determination or a
determination made from base year information, the hospital
shall file a written appeal request to the commissioner within
60 days of the date the payment rate determination was mailed.
The appeal request shall specify: (i) the disputed items; (ii)
the authority in federal or state statute or rule upon which the
hospital relies for each disputed item; and (iii) the name and
address of the person to contact regarding the appeal. A change
to a payment rate or payments that results from a successful
appeal to the Medicare program of the base year information
establishing rates for the rate year beginning in 1991 and after
is a prospective adjustment to subsequent rate years. After
December 31, 1990, payment rates shall not be adjusted for
appeals of base year information that affect years prior to the
rate year beginning January 1, 1991. Facts to be considered in
any appeal of base year information are limited to those in
existence at the time the payment rates of the first rate year
were established from the base year information. In the case of
Medicare settled appeals, the 60-day appeal period shall begin
on the mailing date of the notice by the Medicare program or the
date the medical assistance payment rate determination notice is
mailed, whichever is later.
(b) To appeal a payment rate or payment change that results
from a difference in case mix between the base year and a rate
year, the procedures and requirements of paragraph (a) apply.
However, the appeal must be filed with the commissioner within
60 120 days after the end of a rate year. A case mix appeal
must apply to the cost of services to all medical assistance
patients that received inpatient services from the hospital
during the rate year appealed. For this paragraph, hospital
means a facility holding the provider number as an inpatient
service facility.
Sec. 19. Minnesota Statutes 1989 Supplement, section
256.9695, subdivision 3, is amended to read:
Subd. 3. [TRANSITION.] Except as provided in section
256.969, subdivision 6a, paragraph (a), clause (3), the
commissioner shall establish a transition period for the
calculation of payment rates from July 1, 1989, to December 31,
1990, as follows the implementation date of the upgrade to the
Medicaid management information system.
During the transition period:
(a) Changes resulting from section 256.969, subdivision 6a,
paragraph (a), clauses (1), (2), (4), (5), (6), and (8), shall
not be implemented, except as provided in section 256.969,
subdivision 6a, paragraph (a), clause (7), and paragraph (i).
(b) Rates established for hospital fiscal years beginning
on or after July 1, 1989, shall not be adjusted for the one
percent technology factor included in the hospital cost
index The beginning of the 1991 rate year shall be delayed and
the rates notification requirement shall not be applicable.
(c) Operating payment rates shall be indexed from the
hospital's most recent fiscal year ending prior to January 1,
1991, by prorating the hospital cost index methodology in effect
on January 1, 1989. Payments made for admissions occurring on
or after July June 1, 1990, shall not include be adjusted by
the one percent technology factor included in the hospital cost
index and the hospital cost index shall not exceed five
percent. This hospital cost index limitation shall not apply to
hospitals that meet the requirements of section 256.969,
subdivision 6a, paragraphs (g) and (h).
(d) Property and pass-through payment rates shall be
maintained at the most recent payment rate effective for June 1,
1990. However, all hospitals are subject to the hospital cost
index limitation of subdivision 2c, for two complete fiscal
years. Property and pass-through costs shall be retroactively
settled through December 31, 1990 the transition period. The
laws in effect on the day before July 1, 1989, apply to the
retroactive settlement from July 1, 1989, to December 31, 1990.
Sec. 20. [256B.035] [MANAGED CARE.]
The commissioner of human services may contract with public
or private entities for health care services for medical
assistance and general assistance medical care recipients
identified by the commissioner as inappropriately using health
care services. The commissioner may enter into risk-based and
nonrisk-based contracts. Contracts may be for the full range of
health services, or a portion thereof, for medical assistance
and general assistance medical care populations to determine the
effectiveness of various provider reimbursement and care
delivery mechanisms. The commissioner may seek necessary
federal waivers and implement projects when approval of the
waivers is obtained from the Health Care Financing
Administration of the United States Department of Health and
Human Services.
Sec. 21. Minnesota Statutes 1988, section 256B.04,
subdivision 15, is amended to read:
Subd. 15. [UTILIZATION REVIEW.] (1) Establish on a
statewide basis a new program to safeguard against unnecessary
or inappropriate use of medical assistance services, against
excess payments, against unnecessary or inappropriate hospital
admissions or lengths of stay, and against underutilization of
services in prepaid health plans, long-term care facilities or
any health care delivery system subject to fixed rate
reimbursement. In implementing the program, the state agency
shall utilize both prepayment and postpayment review systems to
determine if utilization is reasonable and necessary. The
determination of whether services are reasonable and necessary
shall be made by the commissioner in consultation with a
professional services advisory group or health care consultant
appointed by the commissioner.
(2) Contracts entered into for purposes of meeting the
requirements of this subdivision shall not be subject to the
set-aside provisions of chapter 16B.
(3) A recipient aggrieved by the commissioner's termination
of services or denial of future services may appeal pursuant to
section 256.045. A vendor aggrieved by the commissioner's
determination that services provided were not reasonable or
necessary may appeal pursuant to the contested case procedures
of chapter 14. To appeal, the vendor shall notify the
commissioner in writing within 30 days of receiving the
commissioner's notice. The appeal request shall specify each
disputed item, the reason for the dispute, an estimate of the
dollar amount involved for each disputed item, the computation
that the vendor believes is correct, the authority in statute or
rule upon which the vendor relies for each disputed item, the
name and address of the person or firm with whom contacts may be
made regarding the appeal, and other information required by the
commissioner.
(4) The commissioner may select providers to provide case
management services to recipients who use health care services
inappropriately or to recipients who are eligible for other
managed care projects. The providers shall be selected based
upon criteria that may include a comparison with a peer group of
providers related to the quality, quantity, or cost of health
care services delivered or a review of sanctions previously
imposed by health care services programs or the provider's
professional licensing board.
Sec. 22. Minnesota Statutes 1988, section 256B.04,
subdivision 16, is amended to read:
Subd. 16. [PERSONAL CARE ASSISTANTS SERVICES.] (a) The
commissioner shall adopt permanent rules to implement,
administer, and operate the personal care assistant services
program. The rules must incorporate the standards and
requirements adopted by the commissioner of health under section
144A.45 which are applicable to the provision of personal care
assistant program. Limits on the extent of personal care
assistant services that may be provided to an individual must be
based on the cost-effectiveness of the services in relation to
the costs of inpatient hospital care, nursing home care, and
other available types of care. The rules must provide, at a
minimum:
(1) that agencies be selected to contract with or employ
and train staff to provide and supervise the provision of
personal care services;
(2) that agencies employ or contract with a qualified
applicant that a qualified recipient proposes to the agency as
the recipient's choice of assistant;
(3) that agencies bill the medical assistance program for a
personal care service by a personal care assistant and visits
supervision by the registered nurse supervising the personal
care assistant;
(4) that agencies establish a grievance mechanism; and
(5) that agencies have a quality assurance program.
(b) For personal care assistants under contract with an
agency under paragraph (a), the provision of training and
supervision by the agency does not create an employment
relationship. The commissioner may waive the requirement for
the provision of personal care services through an agency in a
particular county, when there are less than two agencies
providing services in that county.
Sec. 23. Minnesota Statutes 1988, section 256B.055,
subdivision 3, is amended to read:
Subd. 3. [AFDC FAMILIES.] Medical assistance may be paid
for a person who is eligible for or receiving, or who would be
eligible for, except for excess income or assets, public
assistance under the aid to families with dependent children
program.
Sec. 24. Minnesota Statutes 1988, section 256B.055,
subdivision 5, is amended to read:
Subd. 5. [PREGNANT WOMEN; DEPENDENT UNBORN CHILD.] Medical
assistance may be paid for a pregnant woman, as certified in
writing by a physician or nurse midwife who has written
verification of a positive pregnancy test from a physician or
licensed registered nurse, who meets the other eligibility
criteria of this section and who would be categorically eligible
for assistance under the aid to families with dependent children
program if the child had been born and was living with the
woman. For purposes of this subdivision, a woman is considered
pregnant for 60 days postpartum.
Sec. 25. Minnesota Statutes 1988, section 256B.055,
subdivision 6, is amended to read:
Subd. 6. [PREGNANT WOMEN; NEEDY UNBORN CHILD.] Medical
assistance may be paid for a pregnant woman, as certified in
writing by a physician or nurse midwife who has written
verification of a positive pregnancy test from a physician or
licensed registered nurse, who meets the other eligibility
criteria of this section and whose unborn child would be
eligible as a needy child under subdivision 1h 10 if born and
living with the woman. For purposes of this subdivision, a
woman is considered pregnant for 60 days postpartum.
Sec. 26. Minnesota Statutes 1989 Supplement, section
256B.055, subdivision 7, is amended to read:
Subd. 7. [AGED, BLIND, OR DISABLED PERSONS.] Medical
assistance may be paid for a person who meets the categorical
eligibility requirements of the supplemental security income
program and or, who would meet those requirements except for
excess income or assets, and who meets the other eligibility
requirements of this section. The methodology for calculating
income must be the same methodology used for calculating income
for the supplemental security income program except as specified
otherwise by state or federal law, rule, or regulation.
Effective February 1, 1989, and to the extent allowed by
federal law the commissioner shall deduct state and federal
income taxes and federal insurance contributions act payments
withheld from the individual's earned income in determining
eligibility under this subdivision.
Sec. 27. Minnesota Statutes 1988, section 256B.055,
subdivision 12, is amended to read:
Subd. 12. [DISABLED CHILDREN.] (a) A person is eligible
for medical assistance if the person is under age 19 and
qualifies as a disabled individual under United States Code,
title 42, section 1382c(a), and would be eligible for medical
assistance under the state plan if residing in a medical
institution, and who requires a level of care provided in a
hospital, skilled nursing facility, intermediate care facility,
or intermediate care facility for persons with mental
retardation or related conditions, for whom home care is
appropriate, provided that the cost to medical assistance for
home care services is not more than the amount that medical
assistance would pay for appropriate institutional care.
(b) For purposes of this subdivision, "hospital" means an
acute care institution as defined in section 144.696,
subdivision 3, licensed pursuant to sections 144.50 to 144.58,
which is appropriate if a person is technology dependent or has
a chronic health condition which requires frequent intervention
by a health care professional to avoid death.
(c) For purposes of this subdivision, "skilled nursing
facility" and "intermediate care facility" means a facility
which provides nursing care as defined in section 144A.01,
subdivision 5, licensed pursuant to sections 144A.02 to 144A.10,
which is appropriate if a person is in active restorative
treatment; is in need of special treatments provided or
supervised by a licensed nurse; or has unpredictable episodes of
active disease processes requiring immediate judgment by a
licensed nurse.
(d) For purposes of this subdivision, "intermediate care
facility for the mentally retarded" or "ICF/MR" means a program
licensed to provide services to persons with mental retardation
under section 252.28, and chapter 245A, and a physical plant
licensed as a supervised living facility under chapter 144,
which together are certified by the Minnesota department of
health as meeting the standards in Code of Federal Regulations,
title 42, part 483, for an intermediate care facility which
provides services for persons with mental retardation or persons
with related conditions who require 24-hour supervision and
active treatment for medical, behavioral, or habilitation needs.
(e) For purposes of this subdivision, a person "requires a
level of care provided in a hospital, skilled nursing facility,
intermediate care facility, or intermediate care facility for
persons with mental retardation or related conditions" if the
person requires 24-hour supervision because the person exhibits
suicidal or homicidal ideation or behavior, psychosomatic
disorders or somatopsychic disorders that may become life
threatening, severe socially unacceptable behavior associated
with psychiatric disorder, psychosis or severe developmental
problems requiring continuous skilled observation, or disabling
symptoms that do not respond to office-centered outpatient
treatment.
Sec. 28. Minnesota Statutes 1988, section 256B.056, is
amended by adding a subdivision to read:
Subd. 1a. [INCOME AND ASSETS GENERALLY.] Unless
specifically required by state law or rule or federal law or
regulation, the methodologies used in counting income and assets
to determine eligibility for medical assistance shall be as
follows: (a) for persons whose eligibility category is based on
blindness, disability, or age of 65 or more years, the
methodologies for the supplemental security income program shall
be used; and (b) for families and children, which includes all
other eligibility categories, the methodologies for the aid to
families with dependent children program under section 256.73
shall be used. For these purposes, a "methodology" does not
include an asset or income standard, budgeting or accounting
method, or method of determining effective dates.
Sec. 29. Minnesota Statutes 1988, section 256B.056,
subdivision 2, is amended to read:
Subd. 2. [HOMESTEAD.] To be eligible for medical
assistance, a person must not own, individually or together with
the person's spouse, real property other than the homestead.
For the purposes of this section, "homestead" means the house
owned and occupied by the applicant or recipient as a primary
place of residence, together with the contiguous land upon which
it is situated. The homestead shall continue to be excluded for
persons residing in a long-term care facility if it is used as a
primary residence by the spouse, minor child, or disabled child
of any age. one of the following individuals:
(a) the spouse;
(b) a child under age 21;
(c) a child of any age who is blind or permanently and
totally disabled as defined in the supplemental security income
program;
(d) a sibling who has equity interest in the home and who
resided in the home for at least one year immediately before the
date of the person's admission to the facility; or
(e) a child of any age, or, subject to federal approval, a
grandchild of any age, who resided in the home for at least two
years immediately before the date of the person's admission to
the facility, and who provided care to the person that permitted
the person to reside at home rather than in an institution.
The homestead is also excluded for the first six calendar
months of the person's stay in the long-term care facility. The
person's equity in the homestead must be reduced to an amount
within limits or excluded on another basis if the person remains
in the long-term care facility for a period longer than six
months. Real estate not used as a home may not be retained
unless the property is not salable, the equity is $6,000 or less
and the income produced by the property is at least six percent
of the equity, or the excess real property is exempted for a
period of nine months if there is a good faith effort to sell
the property and a legally binding agreement is signed to repay
the amount of assistance issued during that nine months.
Sec. 30. Minnesota Statutes 1989 Supplement, section
256B.056, subdivision 3, is amended to read:
Subd. 3. [ASSET LIMITATIONS.] To be eligible for medical
assistance, a person must not individually own more than $3,000
in assets, or if a member of a household with two family members
(husband and wife, or parent and child), the household must not
own more than $6,000 in assets, plus $200 for each additional
legal dependent. In addition to these maximum amounts, an
eligible individual or family may accrue interest on these
amounts, but they must be reduced to the maximum at the time of
an eligibility redetermination. For residents of long-term care
facilities, the accumulation of the clothing and personal needs
allowance pursuant to section 256B.35 must also be reduced to
the maximum at the time of the eligibility redetermination. The
value of the items in paragraphs (a) to (i) are not considered
in determining medical assistance eligibility.
(a) The homestead is not considered.
(b) Household goods and personal effects are not considered.
(c) Personal property used as a regular abode by the
applicant or recipient is not considered.
(d) A lot in a burial plot for each member of the household
is not considered.
(e) Capital and operating assets of a trade or business
that the local agency determines are necessary to the person's
ability to earn an income are not considered.
(f) For a period of six months, Insurance settlements to
repair or replace damaged, destroyed, or stolen property are not
considered to the same extent as in the related cash assistance
programs.
(g) One motor vehicle that is licensed pursuant to chapter
168 and defined as: (1) passenger automobile, (2) station
wagon, (3) motorcycle, (4) motorized bicycle or (5) truck of the
weight found in categories A to E, of section 168.013,
subdivision 1e, and that is used primarily for the person's
benefit is not considered.
To be excluded, the vehicle must have a market value of
less than $4,500; be necessary to obtain medically necessary
health services; be necessary for employment; be modified for
operation by or transportation of a handicapped person; or be
necessary to perform essential daily tasks because of climate,
terrain, distance, or similar factors. The equity value of
other motor vehicles is counted against the asset limit.
(h) Life insurance policies and assets designated as burial
expenses, according to the standards and restrictions of the
supplemental security income (SSI) program.
(i) Other items which may be excluded by federal law are
not considered.
Sec. 31. Minnesota Statutes 1989 Supplement, section
256B.056, subdivision 4, is amended to read:
Subd. 4. [INCOME.] To be eligible for medical assistance,
a person must not have, or anticipate receiving, semiannual
income in excess of 120 percent of the income standards by
family size used in the aid to families with dependent children
program, except that families and children may have an income up
to 133-1/3 percent of the AFDC income standard. Notwithstanding
any laws or rules to the contrary, In computing income to
determine eligibility of persons who are not residents of
long-term care facilities, the commissioner shall disregard
increases in income as required by Public Law Numbers 94-566,
section 503; 99-272; and 99-509.
Sec. 32. Minnesota Statutes 1988, section 256B.056,
subdivision 7, is amended to read:
Subd. 7. [PERIOD OF INELIGIBILITY ELIGIBILITY.]
Eligibility is available for the month of application and for
three months prior to application if the person was eligible in
those prior months. A redetermination of eligibility must occur
every 12 months.
Sec. 33. Minnesota Statutes 1989 Supplement, section
256B.057, subdivision 1, is amended to read:
Subdivision 1. [PREGNANT WOMEN AND INFANTS.] An infant
less than one year of age or a pregnant woman, as certified in
writing by a physician or nurse midwife who has written
verification of a positive pregnancy test from a physician or
licensed registered nurse, is eligible for medical assistance if
countable family income is equal to or less than 185 percent of
the federal poverty guideline for the same family size.
Eligibility for a pregnant woman or infant less than one year of
age under this subdivision must be determined without regard to
asset standards established in section 256B.056, subdivision 3.
Adjustments in the income limits due to annual changes in the
federal poverty guidelines shall be implemented the first day of
July following publication of the changes.
Sec. 34. Minnesota Statutes 1989 Supplement, section
256B.057, subdivision 2, is amended to read:
Subd. 2. [CHILDREN.] A child one through seven five years
of age in a family whose countable income is less than 100 133
percent of the federal poverty guidelines for the same family
size, is eligible for medical assistance. A child six through
seven years of age, who was born after September 30, 1983, in a
family whose countable income is less than 100 percent of the
federal poverty guidelines for the same family size is eligible
for medical assistance. Eligibility for children under this
subdivision must be determined without regard to asset standards
established in section 256B.056, subdivision 3. Adjustments in
the income limits due to annual changes in the federal poverty
guidelines shall be implemented the first day of July following
publication of the changes.
Sec. 35. Minnesota Statutes 1989 Supplement, section
256B.057, is amended by adding a subdivision to read:
Subd. 4. [QUALIFIED WORKING DISABLED ADULTS.] A person who
is entitled to Medicare Part A benefits under section 1818A of
the Social Security Act; whose income does not exceed 200
percent of the federal poverty guidelines for the applicable
family size; whose nonexempt assets do not exceed twice the
maximum amount allowable under the supplemental security income
program, according to family size; and who is not otherwise
eligible for medical assistance, is eligible for medical
assistance reimbursement of the Medicare Part A premium.
Adjustments in the income limits due to annual changes in the
federal poverty guidelines shall be implemented the first day of
July following publication of the changes.
Sec. 36. Minnesota Statutes 1989 Supplement, section
256B.057, is amended by adding a subdivision to read:
Subd. 5. [DISABLED ADULT CHILDREN.] A person who is at
least 18 years old, who was eligible for supplemental security
income benefits on the basis of blindness or disability, who
became disabled or blind before he or she reached the age of 22,
and who lost eligibility as a result of becoming entitled to a
child's insurance benefits on or after July 1, 1987, under
section 202(d) of the Social Security Act, or because of an
increase in those benefits effective on or after July 1, 1987,
is eligible for medical assistance as long as he or she would be
entitled to supplemental security income in the absence of
child's insurance benefits or increases in those benefits.
Sec. 37. Minnesota Statutes 1989 Supplement, section
256B.0575, is amended to read:
256B.0575 [AVAILABILITY OF INCOME FOR INSTITUTIONALIZED
PERSONS.]
When an institutionalized person is determined eligible for
medical assistance, the income that exceeds the deductions in
paragraphs (a) and (b) must be applied to the cost of
institutional care.
(a) The following amounts must be deducted from the
institutionalized person's income in the following order:
(1) the personal needs allowance under section 256B.35;
(2) the personal allowance for disabled individuals under
section 256B.36;
(3) if the institutionalized person has a legally-appointed
guardian or conservator, five percent of the recipient's gross
monthly income up to $100 as reimbursement for guardianship or
conservatorship services;
(4) a monthly income allowance determined under section
256B.058, subdivision 2, but only to the extent income of the
institutionalized spouse is made available to the community
spouse;
(5) a monthly allowance for children under age 18 which,
together with the net income of the children, would provide
income equal to the medical assistance standard for a family
size that includes only the minor children. This deduction
applies only if the children do not live with the community
spouse, and only if the children resided with the
institutionalized person immediately prior to admission;
(6) a monthly family allowance for other family members,
equal to one-third of the difference between 122 percent of the
federal poverty guidelines and the monthly income for that
family member; and
(6) (7) amounts for reasonable expenses incurred for
necessary medical or remedial care for the institutionalized
spouse that are not medical assistance covered expenses and that
are not subject to payment by a third party.
For purposes of clause (5) (6), "other family member"
includes only minor or dependent children, dependent parents, or
dependent siblings of the institutionalized or community spouse
if the sibling resides with the community spouse. means a person
who resides with the community spouse and who is a minor or
dependent child, dependent parent, or dependent sibling of
either spouse. "Dependent" means a person who could be claimed
as a dependent for federal income tax purposes under the
Internal Revenue Code.
(b) Income shall be allocated to an institutionalized
person for a period of up to three calendar months, in an amount
equal to the medical assistance standard for a family size of
one if:
(1) a physician certifies that the person is expected to
reside in the long-term care facility for three calendar months
or less;
(2) if the person has expenses of maintaining a residence
in the community; and
(3) if one of the following circumstances apply:
(i) the person was not living together with a spouse or a
family member as defined in paragraph (a) when the person
entered a long-term care facility; or
(ii) the person and the person's spouse become
institutionalized on the same date, in which case the allocation
shall be applied to the income of one of the spouses.
For purposes of this paragraph, a person is determined to be
residing in a licensed nursing home, regional treatment center,
or medical institution if the person is expected to remain for a
period of one full calendar month or more.
Sec. 38. Minnesota Statutes 1989 Supplement, section
256B.059, subdivision 4, is amended to read:
Subd. 4. [INCREASED COMMUNITY SPOUSE ASSET ALLOWANCE; WHEN
ALLOWED.] (a) If either the institutionalized spouse or
community spouse establishes that the community spouse asset
allowance under subdivision 3 (in relation to the amount of
income generated by such an allowance) is not sufficient to
raise the community spouse's income to the minimum monthly
maintenance needs allowance in section 256B.058, subdivision 2,
paragraph (c), there shall be substituted for the amount allowed
to be transferred an amount sufficient, when combined with the
monthly income otherwise available to the spouse, to provide the
minimum monthly maintenance needs allowance. A substitution
under this paragraph may be made only if the assets of the
couple have been arranged so that the maximum amount of
income-producing assets, at the maximum rate of return, are
available to the community spouse under the community spouse
asset allowance. The maximum rate of return is the average rate
of return available from the financial institution holding the
asset, or a rate determined by the commissioner to be reasonable
according to community standards, if the asset is not held by a
financial institution.
(b) The community spouse asset allowance under subdivision
3 can be increased by court order or hearing that complies with
the requirements of United States Code, title 42, section 1924.
Sec. 39. Minnesota Statutes 1989 Supplement, section
256B.059, subdivision 5, is amended to read:
Subd. 5. [ASSET AVAILABILITY.] (a) At the time of
application for medical assistance benefits, assets considered
available to the institutionalized spouse shall be the total
value of all assets in which either spouse has an ownership
interest, reduced by the greater of:
(1) $12,000; or
(2) the lesser of the spousal share or $60,000; or
(3) the amount required by court order to be paid to the
community spouse. If the community spouse asset allowance has
been increased under subdivision 4, then the assets considered
available to the institutionalized spouse under this subdivision
shall be further reduced by the value of additional amounts
allowed under subdivision 4.
(b) An institutionalized spouse may be found eligible for
medical assistance even though assets in excess of the allowable
amount are found to be available under paragraph (a) if the
assets are owned jointly or individually by the community
spouse, and the institutionalized spouse cannot use those assets
to pay for the cost of care without the consent of the community
spouse, and if: (i) the institutionalized spouse assigns to the
commissioner the right to support from the community spouse
under section 256B.14, subdivision 2; (ii) the institutionalized
spouse lacks the ability to execute an assignment due to a
physical or mental impairment; or (iii) the denial of
eligibility would cause an imminent threat to the
institutionalized spouse's health and well-being.
(c) After the month in which the institutionalized spouse
is determined eligible for medical assistance, during the
continuous period of institutionalization, no assets of the
community spouse are considered available to the
institutionalized spouse, unless the institutionalized spouse
has been found eligible under clause (b).
(c) (d) For purposes of this section, assets do not include
assets excluded under section 256B.056, without regard to the
limitations on total value in that section.
Sec. 40. Minnesota Statutes 1989 Supplement, section
256B.0595, subdivision 1, is amended to read:
Subdivision 1. [PROHIBITED TRANSFERS.] If an
institutionalized a person or the person's spouse has given
away, sold, or disposed of, for less than fair market value, any
asset or interest therein, except assets other than the
homestead that are excluded under section 256B.056, subdivision
3, within 30 months of before or any time after the date of
institutionalization if the person has been determined eligible
for medical assistance, or within 30 months of before or any
time after the date of the first approved application for
medical assistance if the person has not yet been determined
eligible for medical assistance, the person is ineligible for
long-term care services for the period of time determined under
subdivision 2. For purposes of this section, long-term care
services include nursing facility services, and home and
community-based services provided pursuant to section 256B.491.
For purposes of this subdivision and subdivisions 2, 3, and 4,
"institutionalized person" includes a person who is an inpatient
in a nursing facility, or who is receiving home and
community-based services under section 256B.491.
Sec. 41. Minnesota Statutes 1989 Supplement, section
256B.0595, subdivision 2, is amended to read:
Subd. 2. [PERIOD OF INELIGIBILITY.] For any uncompensated
transfer, the number of months of ineligibility for long-term
care services shall be the lesser of 30 months, or the
uncompensated transfer amount divided by the average medical
assistance rate for nursing facility services in the state in
effect on the date of application. The amount used to calculate
the average medical assistance payment rate shall be adjusted
each July 1 to reflect payment rates for the previous calendar
year. The period of ineligibility begins with the month in
which the assets were transferred. If the transfer was not
reported to the local agency at the time of application, and the
applicant received long-term care services during what would
have been the period of ineligibility if the transfer had been
reported, a cause of action exists against the transferee for
the cost of long-term care services provided during the period
of ineligibility, or for the uncompensated amount of the
transfer, whichever is less. The action may be brought by the
state or the local agency responsible for providing medical
assistance under chapter 256G. The uncompensated transfer
amount is the fair market value of the asset at the time it was
given away, sold, or disposed of, less the amount of
compensation received.
Sec. 42. Minnesota Statutes 1989 Supplement, section
256B.0595, subdivision 4, is amended to read:
Subd. 4. [OTHER EXCEPTIONS TO TRANSFER PROHIBITION.] An
institutionalized person receiving medical assistance on the
date of institutionalization who has transferred assets for less
than fair market value within the 30 months immediately before
the date of institutionalization or an institutionalized person
who was not receiving medical assistance on the date of
institutionalization and who has transferred assets for less
than fair market value within 30 months immediately before the
month of application who has made, or whose spouse has made a
transfer prohibited by subdivision 1, is not ineligible for
long-term care services if one of the following conditions apply
applies:
(1) the assets were transferred to the community spouse, as
defined in section 256B.059; or
(2) the institutionalized spouse, prior to being
institutionalized, transferred assets to his or her spouse,
provided that the spouse to whom the assets were transferred
does not then transfer those assets to another person for less
than fair market value. (At the time when one spouse is
institutionalized, assets must be allocated between the spouses
as provided under section 256B.059); or
(3) the assets were transferred to the individual's child
who is blind or permanently and totally disabled as determined
in the supplemental security income program; or
(4) a satisfactory showing is made that the individual
intended to dispose of the assets either at fair market value or
for other valuable consideration; or
(5) the local agency determines that denial of eligibility
for long-term care services would work an undue hardship and
grants a waiver of excess assets. When a waiver is granted, a
cause of action exists against the person to whom the assets
were transferred for that portion of long-term care services
granted within 30 months of the transfer, or the amount of the
uncompensated transfer, whichever is less, together with the
costs incurred due to the action. The action may be brought by
the state or the local agency responsible for providing medical
assistance under this chapter.
Sec. 43. Minnesota Statutes 1988, section 256B.0625,
subdivision 4, is amended to read:
Subd. 4. [OUTPATIENT AND CLINIC SERVICES.] Medical
assistance covers outpatient hospital or nonprofit community
health clinic services or physician-directed clinic services.
The physician-directed clinic staff shall include at least two
physicians, one of whom is on the premises whenever the clinic
is open, and all services shall be provided under the direct
supervision of the a physician who is on the premises. Hospital
outpatient departments are subject to the same limitations and
reimbursements as other enrolled vendors for all services,
except initial triage, emergency services, and services not
provided or immediately available in clinics, physicians'
offices, or by other enrolled providers. A second medical
opinion is required before reimbursement for elective surgeries
requiring a second opinion. The commissioner shall publish in
the State Register a list of elective surgeries that require a
second medical opinion before reimbursement and the criteria and
standards for deciding whether an elective surgery should
require a second surgical opinion. The list and the criteria
and standards are not subject to the requirements of sections
14.01 to 14.69. The commissioner's decision whether a second
medical opinion is required, made in accordance with rules
governing that decision, is not subject to administrative
appeal. "Emergency services" means those medical services
required for the immediate diagnosis and treatment of medical
conditions that, if not immediately diagnosed and treated, could
lead to serious physical or mental disability or death or are
necessary to alleviate severe pain. Neither the hospital, its
employees, nor any physician or dentist, shall be liable in any
action arising out of a determination not to render emergency
services or care if reasonable care is exercised in determining
the condition of the person, or in determining the
appropriateness of the facilities, or the qualifications and
availability of personnel to render these services consistent
with this section.
Sec. 44. Minnesota Statutes 1988, section 256B.0625,
subdivision 5, is amended to read:
Subd. 5. [COMMUNITY MENTAL HEALTH CENTER SERVICES.]
Medical assistance covers community mental health center
services, as defined in rules adopted by the commissioner
pursuant to section 256B.04, subdivision 2, and provided by a
community mental health center as defined in section 245.62,
subdivision 2.
Sec. 45. Minnesota Statutes 1988, section 256B.0625, is
amended by adding a subdivision to read:
Subd. 8a. [OCCUPATIONAL THERAPY.] Medical assistance
covers occupational therapy and related services.
Sec. 46. Minnesota Statutes 1988, section 256B.0625,
subdivision 9, is amended to read:
Subd. 9. [DENTAL SERVICES.] Medical assistance covers
dental services, excluding cast metal restorations. Dental
services include, with prior authorization, fixed cast metal
restorations that are cost-effective for persons who cannot use
removable dentures because of their medical condition.
Sec. 47. Minnesota Statutes 1989 Supplement, section
256B.0625, subdivision 13, is amended to read:
Subd. 13. [DRUGS.] (a) Medical assistance covers drugs if
prescribed by a licensed practitioner. The commissioner shall
designate a formulary committee to advise the commissioner on
the names of drugs for which payment is made, recommend a system
for reimbursing providers on a set fee or charge basis rather
than the present system, and develop methods encouraging use of
generic drugs when they are less expensive and equally effective
as trademark drugs. The commissioner shall appoint the
formulary committee members no later than 30 days following July
1, 1981. The formulary committee shall consist of nine members,
four of whom shall be physicians who are not employed by the
department of human services, and a majority of whose practice
is for persons paying privately or through health insurance,
three of whom shall be pharmacists who are not employed by the
department of human services, and a majority of whose practice
is for persons paying privately or through health insurance, a
consumer representative, and a nursing home representative.
Committee members shall serve two-year terms and shall serve
without compensation. The commissioner may establish a drug
formulary. Its establishment and publication shall not be
subject to the requirements of the administrative procedure act,
but the formulary committee shall review and comment on the
formulary contents. Prior authorization may be required by the
commissioner, with the consent of the drug formulary committee,
before certain formulary drugs are eligible for payment. The
formulary shall not include: drugs or products for which there
is no federal funding; over-the-counter drugs, except for
antacids, acetaminophen, family planning products, aspirin,
insulin, and vitamins for children under the age of seven and
pregnant or nursing women; or any other over-the-counter drug
identified by the commissioner, in consultation with the
appropriate professional consultants under contract with or
employed by the state agency, as necessary, appropriate and cost
effective for the treatment of certain specified chronic
diseases, conditions or disorders, and this determination shall
not be subject to the requirements of chapter 14, the
administrative procedure act; nutritional products, except for
those products needed for treatment of phenylketonuria,
hyperlysinemia, maple syrup urine disease, a combined allergy to
human milk, cow milk, and soy formula, or any other childhood or
adult diseases, conditions, or disorders identified by the
commissioner as requiring a similarly necessary nutritional
product; anorectics; and drugs for which medical value has not
been established. Separate payment shall not be made for
nutritional products for residents of long-term care facilities;
payment for dietary requirements is a component of the per diem
rate paid to these facilities. Payment to drug vendors shall
not be modified before the formulary is established except that
the commissioner shall not permit payment for any drugs which
may not by law be included in the formulary, and the
commissioner's determination shall not be subject to chapter 14,
the administrative procedure act. The commissioner shall
publish conditions for prohibiting payment for specific drugs
after considering the formulary committee's recommendations.
(b) The basis for determining the amount of payment shall
be the lower of the actual acquisition costs of the drugs plus a
fixed dispensing fee established by the commissioner, the
maximum allowable cost set by the federal government or by the
commissioner plus the fixed dispensing fee or the usual and
customary price charged to the public. Actual acquisition cost
includes quantity and other special discounts except time and
cash discounts. The actual acquisition cost of a drug may be
estimated by the commissioner. The maximum allowable cost of a
multisource drug may be set by the commissioner and it shall be
comparable to, but no higher than, the maximum amount paid by
other third party payors in this state who have maximum
allowable cost programs. Establishment of the amount of payment
for drugs shall not be subject to the requirements of the
administrative procedure act. An additional dispensing fee of
$.30 may be added to the dispensing fee paid to pharmacists for
legend drug prescriptions dispensed to residents of long-term
care facilities when a unit dose blister card system, approved
by the department, is used. Under this type of dispensing
system, the pharmacist must dispense a 30-day supply of drug.
The National Drug Code (NDC) from the drug container used to
fill the blister card must be identified on the claim to the
department. The unit dose blister card containing the drug must
meet the packaging standards set forth in Minnesota Rules, part
6800.2700, that govern the return of unused drugs to the
pharmacy for reuse. The pharmacy provider will be required to
credit the department for the actual acquisition cost of all
unused drugs that are eligible for reuse. Over-the-counter
medications must be dispensed in the manufacturer's unopened
package. Whenever a generically equivalent product is
available, payment shall be on the basis of the actual
acquisition cost of the generic drug, unless the prescriber
specifically indicates "dispense as written" on the prescription
as required by section 151.21, subdivision 2. Implementation of
any change in the fixed dispensing fee that has not been subject
to the administrative procedure act is limited to not more than
180 days, unless, during that time, the commissioner initiates
rulemaking through the administrative procedure act.
Sec. 48. Minnesota Statutes 1988, section 256B.0625, is
amended by adding a subdivision to read:
Subd. 28. [CERTIFIED PEDIATRIC OR FAMILY NURSE
PRACTITIONER SERVICES.] Medical assistance covers services
performed by a certified pediatric nurse practitioner or a
certified family nurse practitioner in independent practice, if
the services are otherwise covered under this chapter as a
physician service, and if the service is within the scope of
practice of the nurse practitioner's license as a registered
nurse, as defined in section 148.171.
Sec. 49. Minnesota Statutes 1988, section 256B.0625, is
amended by adding a subdivision to read:
Subd. 29. [PUBLIC HEALTH NURSING CLINIC SERVICES.] Medical
assistance covers the services of a certified public health
nurse practicing in a public health nursing clinic that is a
department of, or that operates under the direct authority of, a
unit of government, if the service is within the scope of
practice of the public health nurse's license as a registered
nurse, as defined in section 148.171.
Sec. 50. Minnesota Statutes 1988, section 256B.0625, is
amended by adding a subdivision to read:
Subd. 30. [OTHER CLINIC SERVICES.] Medical assistance
covers rural health clinic, federally qualified health center,
and nonprofit community health clinic services. Rural health
clinic services and federally qualified health center services
mean services defined in United States Code, title 42, section
1396d(a)(2)(B) and (C). Payment for rural health clinic and
federally qualified health center services shall be made
according to applicable federal law and regulation.
Sec. 51. [256B.0627] [COVERED SERVICE; HOME CARE
SERVICES.]
Subdivision 1. [DEFINITION.] "Home care services" means a
medically necessary health service that is ordered by a
physician and documented in a plan of care that is reviewed and
revised as medically necessary by the physician at least once
every 60 days. Home care services include personal care and
nursing supervision of personal care services which is reviewed
and revised as medically necessary by the physician at least
once every 365 days. Home care services are provided to the
recipient at the recipient's residence that is a place other
than a hospital or long-term care facility.
Subd. 2. [SERVICES COVERED.] Home care services covered
under this section include:
(1) nursing services;
(2) private duty nursing services;
(3) home health aide services;
(4) personal care services; and
(5) nursing supervision of personal care services.
Subd. 3. [PRIVATE DUTY NURSING SERVICES; WHO MAY PROVIDE.]
Private duty nursing services may be provided by a registered
nurse or licensed practical nurse who is not the recipient's
spouse, legal guardian, or parent of a minor child.
Subd. 4. [PERSONAL CARE SERVICES.] (a) Personal care
services may be provided by a qualified individual who is not
the recipient's spouse, legal guardian, or parent of a minor
child.
(b) The personal care services that are eligible for
payment are the following:
(1) bowel and bladder care;
(2) skin care to maintain the health of the skin;
(3) range of motion exercises;
(4) respiratory assistance;
(5) transfers;
(6) bathing, grooming, and hairwashing necessary for
personal hygiene;
(7) turning and positioning;
(8) assistance with furnishing medication that is normally
self-administered;
(9) application and maintenance of prosthetics and
orthotics;
(10) cleaning medical equipment;
(11) dressing or undressing;
(12) assistance with food, nutrition, and diet activities;
(13) accompanying a recipient to obtain medical diagnosis
or treatment;
(14) services provided for the recipient's personal health
and safety;
(15) helping the recipient to complete daily living skills
such as personal and oral hygiene and medication schedules; and
(16) incidental household services that are an integral
part of a personal care service described in clauses (1) to (15).
(c) The personal care services that are not eligible for
payment are the following:
(1) personal care services that are not in the plan of care
developed by the supervising registered nurse in consultation
with the personal care assistants and the recipient or family of
the recipient;
(2) services that are not supervised by the registered
nurse;
(3) services provided bv the recipient's spouse, legal
guardian, or parent of a minor child;
(4) sterile procedures; and
(5) injections of fluids into veins, muscles, or skin.
Subd. 5. [LIMITATION ON PAYMENTS.] Medical assistance
payments for home care services shall be limited according to
paragraphs (a) to (e).
(a) [EXEMPTION FROM PAYMENT LIMITATIONS.] The level, or the
number of hours or visits of a specific service, of home health
care services to a recipient that began before and is continued
without increase on or after December 1987, shall be exempt from
the payment limitations of this section, as long as the services
are medically necessary.
(b) [LEVEL I HOME CARE.] For all new cases after December
1987, medically necessary home care services up to $800 may be
provided in a calendar month.
If the services in the recipient's home care plan will
exceed the $800 threshold for 30 days or less, the medically
necessary services may be provided.
(c) [LEVEL II HOME CARE.] If the services in the
recipient's home care plan exceed $800 for more than 30 days, a
public health nurse from the local preadmission screening team
shall determine the recipient's maximum level of home care
according to this paragraph.
(1) The public health nurse from the local preadmission
screening team shall base the determination of the recipient's
maximum level of care on the need and eligibility of the
recipient for one of the following placements:
(i) residential facility for persons with mental
retardation or related conditions operated under section
256B.501;
(ii) inpatient hospital care for a ventilator-dependent
recipient. "Ventilator dependent" means an individual who
receives mechanical ventilation for life support at least six
hours per day and is expected to or has been dependent for at
least 30 consecutive days; or
(iii) all other recipients not appropriate for one of the
above placements.
(2) If the recipient is eligible under clause (1)(i), the
monthly medical assistance reimbursement for home care services
shall not exceed the total monthly statewide average payment
rate for residential facilities for children or adults with
mental retardation or related conditions as appropriate for the
recipient's age and level of self-preservation as determined
according to Minnesota Rules, parts 9553.0010 to 9553.0080.
(3) If the recipient is eligible under clause (1)(ii), the
monthly medical assistance reimbursement for home care services
shall not exceed the monthly cost of care at the highest cost
hospital designated as a long-term hospital under the Medicare
program. For purposes of this clause, home care services means
all services provided in the home that would be included in the
payment for care at the long-term hospital.
(4) If the recipient is not eligible under either clause
(1)(i) or (1)(ii), the monthly medical assistance reimbursement
for home care services shall not exceed the total monthly
statewide average payment for the case mix classification most
appropriate to the recipient. The case mix classification is
established under section 256B.431.
(5) The determination of the recipient's maximum level of
home care by the public health nurse is called a home care cost
assessment. The home care cost assessment must be requested by
the home care provider before the end of the first 30 days of
provided service and must be conducted by the public health
nurse within ten working days following request.
(6) A home care provider shall request a new home care cost
assessment when the needs of the individual have changed enough
to require that a revised care plan be implemented that will
increase costs beyond what was approved by the previous home
care cost assessment and the change is anticipated to last for
more than 30 days. The home care provider must request the home
care cost assessment before the end of the first 30 days of
provided service. Whenever a home care cost assessment is
completed, the public health nurse that completes the home care
cost assessment, in consultation with the home care provider,
shall determine the time period for which a home care cost
assessment shall remain valid. If the recipient continues to
require home care services beyond the limited duration of the
home care cost assessment, the home care provider must request a
reassessment through the home care cost assessment process
described above. Under no circumstances shall a home care cost
assessment be valid for more than 12 months.
(7) Reimbursement for the home care cost assessment shall
be made through the Medicaid administrative authority. The
state shall pay the nonfederal share.
(d) [LEVEL III HOME CARE.] If the home care provider
determines that the recipient's needs exceed the amount approved
for the appropriate level of care as determined in paragraph
(c), the home care provider may refer the case to the department
for a level III determination. Based on the client needs,
physician orders, diagnosis, condition, and plan of care, the
department may give prior approval for care that exceeds level
II described in paragraph (c). The amount approved shall not
exceed the maximum cost for the appropriate level of care as
determined in paragraph (c), clause (1), which will be the
maximum ICF/MR rate for intermediate care facilities for persons
with mental retardation or related conditions, or the maximum
nursing home case mix payment, or the highest hospital cost for
the state.
The department has 30 days from receipt of the request to
complete the level III determination, during which time it may
approve the higher level while reviewing the case.
Case reviews or approval of home care services in levels II
and III may result in assignment of a case manager.
(e) [PRIOR APPROVAL REQUIRED IN FOSTER CARE SETTING.] Any
home care service provided in an adult or child foster care
setting must receive prior approval by the department.
Subd. 6. [RECOVERY OF EXCESSIVE PAYMENTS.] The
commissioner shall seek monetary recovery from providers of
payments made for services which exceed the limits established
in this section.
Sec. 52. [256B.0629] [ADVISORY COMMITTEE ON ORGAN AND
TISSUE TRANSPLANTS.]
Subdivision 1. [CREATION AND MEMBERSHIP.] By July 1, 1990,
the commissioner shall appoint and convene a 12 member advisory
committee to provide advice and recommendations to the
commissioner concerning the eligibility of organ and tissue
transplant procedures for reimbursement by medical assistance
and general assistance medical care. The committee must include
representatives of the transplant provider community, hospitals,
patient recipient groups or organizations, the department of
human services, the department of finance, and the department of
health, at least one representative of a health plan regulated
under chapter 62A, 62C, or 62D, and persons with expertise in
ethics, law, and economics. The terms and removal of members
shall be governed by section 15.059. Members shall not receive
per diems but shall be compensated for expenses. The advisory
committee does not expire as provided in section 15.059,
subdivision 6.
Subd. 2. [FUNCTION AND OBJECTIVES.] The advisory committee
shall meet at least twice a year. The committee's activities
include, but are not limited to:
(1) collection of information on the efficacy and
experience of various forms of transplantation not approved by
medicare;
(2) collection of information from Minnesota transplant
providers on available services, success rates, and the current
status of transplant activity in the state;
(3) development of guidelines for determining when and
under what conditions, organ and tissue transplants not approved
by medicare should be eligible for reimbursement by medical
assistance and general assistance medical care;
(4) providing recommendations, at least annually, to the
commissioner on: (i) organ and tissue transplant procedures,
beyond those approved by medicare, that should also be eligible
for reimbursement under medical assistance and general
assistance medical care; and (ii) which transplant centers
should be eligible for reimbursement from medical assistance and
general assistance medical care.
Subd. 3. [ANNUAL REPORT.] The advisory committee shall
present an annual report to the commissioner and the chairs of
the health and human services appropriations divisions of the
house appropriations committee and the senate finance committee
by January 1 of each year on the findings and recommendations of
the committee.
Subd. 4. [RESPONSIBILITIES OF THE COMMISSIONER.] The
commissioner shall periodically:
(1) Recommend to the legislature criteria governing the
eligibility of organ and tissue transplant procedures for
reimbursement from medical assistance and general assistance
medical care. Procedures approved by medicare are automatically
eligible for medical assistance and general assistance medical
care reimbursement. Additional procedures are eligible for
reimbursement only upon approval by the legislature. Only
procedures recommended by the task force and the commissioner
may be considered by the legislature.
(2) Recommend to the legislature criteria for certifying
transplant centers within and outside of Minnesota where
Minnesotans receiving medical assistance and general assistance
medical care may obtain transplants. Additional centers may be
certified only upon approval of the legislature. Only centers
recommended by the task force and the commissioner may be
considered by the legislature.
Sec. 53. [256B.0643] [VENDOR REQUEST FOR CONTESTED CASE
PROCEEDING.]
Unless otherwise provided by law, a vendor of medical care,
as defined in section 256B.02, subdivision 7, must use this
procedure to request a contested case, as defined in section
14.02, subdivision 3. A request for a contested case must be
filed with the commissioner in writing within 60 days after the
date the notification of an action or determination was mailed.
The appeal request must specify:
(1) each disputed action or item;
(2) the reason for the dispute;
(3) an estimate of the dollar amount involved, if any, for
each disputed item;
(4) the computation or other disposition that the appealing
party believes is correct;
(5) the authority in statute or rule upon which the
appealing party relies for each disputed item;
(6) the name and address of the person or firm with whom
contacts may be made regarding the appeal; and
(7) other information required by the commissioner.
Nothing in this section shall be construed to create a right to
an administrative appeal or contested case proceeding.
Sec. 54. Minnesota Statutes 1988, section 256B.091,
subdivision 4, is amended to read:
Subd. 4. [SCREENING OF PERSONS.] Prior to nursing home or
boarding care home admission, screening teams shall assess the
needs of all applicants, except (1) patients transferred from
other certified nursing homes or boarding care homes; (2)
patients who, having entered acute care facilities from nursing
homes or boarding care homes, are returning to a nursing home or
boarding care home; (3) persons entering a facility described in
section 256B.431, subdivision 4, paragraph (c) individuals who
are screened by another state within three months before
admission to a Minnesota nursing home; (4) individuals not
eligible for medical assistance whose length of stay is expected
to be 30 days or less based on a physician's certification, if
the facility notifies the screening team upon admission and
provides an update to the screening team on the 30th day after
admission; (5) individuals who have a contractual right to have
their nursing home care paid for indefinitely by the veteran's
administration; or (6) persons entering a facility conducted by
and for the adherents of a recognized church or religious
denomination for the purpose of providing care and services for
those who depend upon spiritual means, through prayer alone, for
healing. The total screening cost for each county for
applicants and residents of nursing homes who request a
screening must be paid monthly by nursing homes and boarding
care homes participating in the medical assistance program in
the county. The monthly amount to be paid by each nursing home
and boarding care home for fiscal year 1991 must be determined
by dividing the county's estimate of the total annual cost of
screenings allowed by the commissioner in the county for the
following rate year by 12 to determine the monthly cost estimate
and allocating the monthly cost estimate to each nursing home
and boarding care home based on the number of licensed beds in
the nursing home or boarding care home. The rate allowed for a
screening where two team members are present shall be the actual
costs up to $195. The rate allowed for a screening where only
one team member is present shall be the actual costs up to
$117. The commissioner shall establish by rulemaking an annual
adjustment of the state maximum screening rate. The monthly
cost estimate for each nursing home or boarding care home must
be submitted to the nursing home or boarding care home and the
state by the county no later than February 15 of each year for
inclusion in the nursing home's or boarding care home's payment
rate on the following rate year. The commissioner shall include
the reported annual estimated cost of screenings for each
nursing home or boarding care home as an operating cost of that
nursing home in accordance with section 256B.431, subdivision
2b, clause (g). For all individuals regardless of payment
source, if delay-of-screening timelines are not met because a
county is late in screening an individual who meets the
delay-of-screening criteria, the county is solely responsible
for paying the cost of the preadmission screening. If in more
than ten percent of the total number of screenings performed by
a county in a fiscal year for all individuals regardless of
payment source, the screening timelines were not met because a
county was late in screening the individual, the county is
solely responsible for paying the cost of those delayed
screenings that exceed ten percent. Notwithstanding section
256B.0641, overpayments attributable to payment of the screening
costs under the medical assistance program may not be recovered
from a facility. Any other interested person may be screened
under this subdivision if the person pays a fee for the
screening based upon a sliding fee scale determined by the
commissioner.
Sec. 55. Minnesota Statutes 1988, section 256B.091,
subdivision 6, is amended to read:
Subd. 6. [REIMBURSEMENT.] The commissioner of human
services shall amend the Minnesota medical assistance plan to
include reimbursement for the local screening teams. Medical
assistance reimbursement shall not be provided for any recipient
placed in a nursing home in opposition to the screening team's
recommendation after January 1, 1981; provided, however, the
commissioner shall not deny reimbursement for (1) an individual
admitted to a nursing home or boarding care home who is assessed
to need long-term supportive services if long-term supportive
services other than nursing home care are not available in that
community; (2) any eligible individual placed in the nursing
home or boarding care home pending an appeal of the preadmission
screening team's decision; (3) any eligible individual placed in
the nursing home or boarding care home by a physician in an
emergency situation and where the screening team has not made a
decision within five working days of its initial contact; or (4)
any medical assistance recipient when, after full discussion of
all appropriate alternatives including those that are expected
to be less costly than care in a nursing home or boarding care
home, the individual or the individual's legal representative
insists on nursing home or boarding care home
placement. Medical assistance reimbursement for nursing homes
shall not be provided for any recipient who the team has
determined does not meet the level of care criteria for nursing
home placement. The screening team shall provide documentation
that the most cost effective alternatives available were offered
to this individual or the individual's legal representative.
Sec. 56. Minnesota Statutes Second 1989 Supplement,
section 256B.091, subdivision 8, is amended to read:
Subd. 8. [ALTERNATIVE CARE GRANTS.] (a) The commissioner
shall provide grants funds to counties participating in the
program to pay costs of providing alternative care to
individuals screened under subdivision 4 and nursing home or
boarding care home residents who request a screening.
(b) Prior to July of each year, the commissioner shall
allocate state funds available for alternative care grants to
each local agency. This allocation must be made as follows:
half of the state funds available for alternative care grants
must be allocated to each county according to the total number
of adults in that county who are recipients age 65 or older who
are reported to the department by March 1 of each state fiscal
year and half of the state funds available for alternative care
grants must be allocated to a county according to that county's
number of Medicare enrollments age 65 or older for the most
recent statistical report.
(c) For fiscal year 1991 only, the appropriation shall be
distributed as specified in paragraphs (1) and (2).
(1) Sufficient state funds shall be set aside for payment
for unreimbursed services provided prior to April 1, 1990, as
billed by each county by June 1, 1990.
(2) The remainder of the state funds available for
alternative care grants must be allocated to each county in the
same proportion as each county's share of the actual payments
made plus claims submitted for services rendered in the base
year. The base year for each county shall be either fiscal year
1989 or calendar year 1989, whichever period contains a larger
total dollar amount of payments plus claims submitted for each
county. To be counted in the allocation process, claims must be
submitted by June 1, 1990. This allocation will include the
state share for medical assistance recipients as well as the
state share for those who would be eligible within 180 days
after nursing home admission. No reallocation between counties
will be made. The county agency shall not be reimbursed for
services which exceed the county allocation. To receive
reimbursement for persons who are eligible within 180 days, the
county must submit invoices within 90 days following the month
of service. The number of medical assistance waiver recipients
which each county may serve is allocated according to the number
of open medical assistance waiver cases on July 1, 1990.
Additional recipients may be served with the approval of the
commissioner. These additional recipients must be served within
the county's allocation.
(d) The alternative care grant appropriation for fiscal
years 1992 and beyond shall cover only individuals who would be
eligible for medical assistance within 180 days after admission
to a nursing home. The commissioner shall allocate state funds
available for alternative care grants to each county agency.
The allocation must be made as follows: the state funds
available for alternative care grants, up to the amount of the
previous year's allocation increased by the percentage for rates
in Minnesota Rules, part 9505.2490, must be allocated to each
county in the same proportion as the previous year's
allocation. If the appropriation is less than the previous
year's allocation plus inflation, it shall be prorated according
to the county's share of the formula. Any funds appropriated in
excess of the previous year's allocation plus inflation shall be
allocated to county agencies by methodologies that target funds
for programs designed to reduce premature nursing home
placements and promote cost-effective alternatives to increasing
nursing home beds and nursing home utilization. The additional
allocation to counties will become part of the allocation base.
The commissioner shall appoint a work group including county and
senior representatives to assist in developing criteria for
allocating funds which may include identifying special target
populations, geographic areas, or projects. No reallocation
between counties shall be made. The county agency shall not be
reimbursed for services which exceed the county allocation. To
receive reimbursement, the county must submit invoices within 90
days following the date of service. The number of medical
assistance waiver recipients which a county may serve must be
allocated according to the number of open medical assistance
waiver cases on July 1 of each fiscal year. Additional
recipients may be served with the approval of the commissioner.
(e) The commissioner is directed to conduct a review of the
preadmission screening program and alternative care grant
program including screening requirements, screening
reimbursement, program effectiveness, eligibility criteria for
alternative care, accessibility to services, copayment and
sliding fee issues, county utilization, rates for services, the
payment system, funding and forecasting issues, administrative
requirements, incentives for innovation, improved consistency
with the community assistance for disabled individuals program
and medical assistance home care services, and the allocation
formula. In conducting this review, special attention should be
given to ways to increase sliding fee collections and reduce or
minimize administrative and program requirements and associated
county costs. The commissioner shall appoint a work group
including county and senior citizen representatives to assist in
the program review. The commissioner must present a report on
the findings of the review and recommendations for change to the
legislature by February 15, 1991.
(f) Payment is available under this subdivision only for
individuals (1) for whom the screening team would recommend
nursing home or boarding care home admission, or continued stay
if alternative care were not available; (2) who are receiving
medical assistance or who would be eligible for medical
assistance within 180 days of admission to a nursing home; (3)
who need services that are not available at that time in the
county through other public assistance; and (4) who are age 65
or older.
(g) The commissioner shall establish by rule, in accordance
with chapter 14, procedures for determining grant reallocations,
limits on the rates for payment of approved services, including
screenings, and submittal and approval of a biennial county plan
for the administration of the preadmission screening and
alternative care grants program.
(h) Grants may be used for payment of costs of providing
care-related supplies, equipment, and the following services
such as, but not limited to,: adult foster care for elderly
persons, adult day care whether or not offered through a nursing
home, nutritional counseling, or medical social services, which,
home health aide, homemaker, personal care, case management, and
respite care. These services are must be provided by a licensed
health care provider, a home health service eligible for
reimbursement under Titles XVIII and XIX of the federal Social
Security Act, or by persons employed by or contracted with by
the county board or the local welfare agency.
(i) The county agency shall ensure that a plan of care is
established for each individual in accordance with subdivision
3, clause (e)(2), and that a client's service needs and
eligibility is reassessed at least every six months. The plan
shall include any services prescribed by the individual's
attending physician as necessary and follow up services as
necessary. The county agency shall provide documentation to the
commissioner verifying that the individual's alternative care is
not available at that time through any other public assistance
or service program and shall provide documentation in each
individual's plan of care and to the commissioner that the most
cost-effective alternatives available have been offered to the
individual and that the individual was free to choose among
available qualified providers, both public and private. The
county agency shall document to the commissioner that the agency
made reasonable efforts to inform potential providers of the
anticipated need for services under the alternative care grants
program, including a minimum of 14 days written advance notice
of the opportunity to be selected as a service provider and an
annual public meeting with providers to explain and review the
criteria for selection, and that the agency allowed potential
providers an opportunity to be selected to contract with the
county board. Grants to counties under this subdivision are
subject to audit by the commissioner for fiscal and utilization
control.
(j) The county must select providers for contracts or
agreements using the following criteria and other criteria
established by the county:
(1) the need for the particular services offered by the
provider;
(2) the population to be served, including the number of
clients, the length of time services will be provided, and the
medical condition of clients;
(3) the geographic area to be served;
(4) quality assurance methods, including appropriate
licensure, certification, or standards, and supervision of
employees when needed;
(5) rates for each service and unit of service exclusive of
county administrative costs;
(6) evaluation of services previously delivered by the
provider; and
(7) contract or agreement conditions, including billing
requirements, cancellation, and indemnification.
(k) The county must evaluate its own agency services under
the criteria established for other providers. The county shall
provide a written statement of the reasons for not selecting
providers.
(l) The commissioner shall establish a sliding fee schedule
for requiring payment for the cost of providing services under
this subdivision to persons who are eligible for the services
but who are not yet eligible for medical assistance. The
sliding fee schedule is not subject to chapter 14 but the
commissioner shall publish the schedule and any later changes in
the State Register and allow a period of 20 working days from
the publication date for interested persons to comment before
adopting the sliding fee schedule in final forms.
(m) The commissioner shall apply for a waiver for federal
financial participation to expand the availability of services
under this subdivision. Waivered services provided to medical
assistance recipients must comply with the same criteria as
defined in this section and in the approved waiver.
Reimbursement for the medical assistance recipients shall be
made from the regular medical assistance account. The
commissioner shall provide grants to counties from the
nonfederal share, unless the commissioner obtains a federal
waiver for medical assistance payments, of medical assistance
appropriations. A county agency may use grant money to
supplement but not supplant services available through other
public assistance or service programs and shall not use grant
money to establish new programs for which public money is
available through sources other than grants provided under this
subdivision. A county agency shall not use grant money to
provide care under this subdivision to an individual if the
anticipated cost of providing this care would exceed the average
payment, as determined by the commissioner, for the level of
care that the recipient would receive if placed in a nursing
home or boarding care home. The nonfederal share may be used to
pay up to 90 percent of the start-up and service delivery costs
of providing care under this subdivision. The state share of
the nonfederal portion of costs shall be 90 percent and the
county share shall be ten percent. Each county agency that
receives a grant shall pay ten percent of the costs for persons
who are eligible for the services but who are not yet eligible
for medical assistance.
(n) Beginning July 1, 1991, the state will reimburse
counties according to the payment schedule in section 256.025
for the county share of costs incurred under this subdivision
from January 1, 1991, on, for individuals who are receiving
medical assistance.
(o) Beginning July 1, 1991, the state will reimburse
counties, up to the limit of state appropriations, according to
the payment schedule in section 256.025 for the county share of
costs incurred under this subdivision from January 1, 1991, on,
for individuals who would be eligible for medical assistance
within 180 days of admission to a nursing home.
(p) The commissioner shall promulgate emergency rules in
accordance with sections 14.29 to 14.36, to establish required
documentation and reporting of care delivered.
Sec. 57. Minnesota Statutes 1988, section 256B.092,
subdivision 1a, is amended to read:
Subd. 1a. [CASE MANAGEMENT SERVICES.] Case management
services include are limited to diagnosis, an assessment of the
individual's service needs, development of an individual service
plan, an individual habilitation plan, and specification of
methods for providing, evaluating services, and the evaluation
and monitoring of the services identified in the plan.
Sec. 58. Minnesota Statutes 1988, section 256B.092,
subdivision 1b, is amended to read:
Subd. 1b. [INDIVIDUAL SERVICE AND HABILITATION PLANS
PLAN.] The individual service and habilitation plans plan must
(1) include the results of the diagnosis and assessment,
(2) identify goals and objectives for the client, and
(3) identify specific services to be provided to the
client.,
(4) identify the need for an habilitation component of the
plan, and
The individual habilitation plan shall (5) identify and
coordinate methodologies to carry out the goals and objectives
of the individual service plan.
Sec. 59. Minnesota Statutes 1988, section 256B.092, is
amended by adding a subdivision to read:
Subd. 1c. [FISCAL LIMITATIONS.] Subdivision 1 shall not be
construed as requiring expenditure of money not available to
county agencies for services to persons with, or who might have,
mental retardation or related conditions, except for:
(1) services specifically required by federal law or state
statute such as case management and day training and
habilitation services; and
(2) services identified in the person's individual service
plan as services that the county will provide until the person's
individual service plan is amended.
Sec. 60. Minnesota Statutes 1988, section 256B.092, is
amended by adding a subdivision to read:
Subd. 1d. [COUNTY REQUIREMENTS.] Before a county denies,
reduces, or terminates a service to an individual due to fiscal
limitations, the county agency must show that money is not
available for services to persons with mental retardation or
related conditions, and that good faith efforts have been made
to identify needs and obtain available funds. The county agency
must show this by documenting that the following actions have
been taken:
(1) the county case manager has identified the person's
service needs and the actions that will be taken to develop or
obtain those services in the person's individual service plan
and action that will be taken to prevent abuse or neglect as
defined in sections 626.556, subdivision 2, paragraphs (a), (c),
and (d), and 626.557, subdivision 2, paragraphs (d) and (e);
(2) prior to the admission of a person to a regional
treatment center program for persons with developmental
disabilities, the county agency made efforts to secure
community-based alternatives. If these alternatives were
rejected in favor of a regional treatment center placement, the
county agency must also document the reasons why they were
rejected; and
(3) the county agency has made a request for state funds or
new capacity for services to meet the individual's unmet needs,
since those needs have been identified in the person's
individual service plan.
Sec. 61. Minnesota Statutes 1988, section 256B.092, is
amended by adding a subdivision to read:
Subd. 1e. [COUNTY WAITING LIST.] The county agency shall
maintain a waiting list of persons with developmental
disabilities specifying the services needed but not provided.
Sec. 62. Minnesota Statutes 1989 Supplement, section
256B.14, is amended to read:
256B.14 [RELATIVE'S RESPONSIBILITY.]
Subdivision 1. [IN GENERAL.] Subject to the provisions of
sections 256B.055, 256B.056, and 256B.06, responsible relative
means the parent of a minor recipient of medical assistance or
the spouse of a medical assistance recipient.
Subd. 2. [ACTIONS TO OBTAIN PAYMENT.] The state agency
shall promulgate rules to determine the ability of responsible
relatives to contribute partial or complete payment or repayment
of medical assistance furnished to recipients for whom they are
responsible. These rules shall not require payment or repayment
when payment would cause undue hardship to the responsible
relative or that relative's immediate family. These rules shall
be consistent with the requirements of section 252.27,
subdivision 2, for parents of children whose eligibility for
medical assistance was determined without deeming of the
parents' resources and income. For parents of children
receiving services under a federal medical assistance waiver or
under section 134 of the Tax Equity and Fiscal Responsibility
Act of 1982, United States Code, title 42, section 1396a(e)(3),
while living in their natural home, including in-home family
support services, respite care, homemaker services, and minor
adaptations to the home, the state agency shall take into
account the room, board, and services provided by the parents in
determining the parental contribution to the cost of care. The
county agency shall give the responsible relative notice of the
amount of the payment or repayment. If the state agency or
county agency finds that notice of the payment obligation was
given to the responsible relative, but that the relative failed
or refused to pay, a cause of action exists against the
responsible relative for that portion of medical assistance
granted after notice was given to the responsible relative,
which the relative was determined to be able to pay.
The action may be brought by the state agency or the county
agency in the county where assistance was granted, for the
assistance, together with the costs of disbursements incurred
due to the action.
In addition to granting the county or state agency a money
judgment, the court may, upon a motion or order to show cause,
order continuing contributions by a responsible relative found
able to repay the county or state agency. The order shall be
effective only for the period of time during which the recipient
receives medical assistance from the county or state agency.
Subd. 3. [COMMUNITY SPOUSE CONTRIBUTION.] The community
spouse of an institutionalized person who receives medical
assistance under section 256B.059, subdivision 5, paragraph (b),
has an obligation to pay for the cost of care equal to the
dollar value of assets considered available under section
256B.059, subdivision 5.
Subd. 4. [APPEALS.] A responsible relative may appeal the
determination of an obligation to make a contribution under this
section, according to section 256.045.
Sec. 63. Minnesota Statutes 1988, section 256B.15, is
amended to read:
256B.15 [CLAIMS AGAINST ESTATES.]
Subdivision 1. [ESTATES SUBJECT TO CLAIMS.] If a person
receives any medical assistance hereunder, on the person's
death, if single, or on the death of the survivor of a married
couple, either or both of whom received medical assistance, and
only when there is no surviving child who is under 21 or is
blind or totally disabled, the total amount paid for medical
assistance rendered for the person and spouse, after age 65,
without interest, shall be filed as a claim against the estate
of the person or the estate of the surviving spouse in the court
having jurisdiction to probate the estate.
A claim against the estate of a surviving spouse who did
not receive medical assistance, for medical assistance rendered
for the predeceased spouse, is limited to the value of the
assets of the estate that were marital property or jointly-owned
property at any time during the marriage. A claim shall be
filed if medical assistance was rendered for either or both
persons under one of the following circumstances:
(a) the person was over 65 years of age; or
(b) the person resided in a medical institution for six
months or longer and, at the time of institutionalization or
application for medical assistance, whichever is later, the
person could not have reasonably been expected to be discharged
and returned home, as certified in writing by the person's
treating physician. For purposes of this section only, a
"medical institution" means a skilled nursing facility,
intermediate care facility, intermediate care facility for
persons with mental retardation, nursing facility, or inpatient
hospital.
The claim shall be considered an expense of the last
illness of the decedent for the purpose of section 524.3-805.
Any statute of limitations that purports to limit any county
agency or the state agency, or both, to recover for medical
assistance granted hereunder shall not apply to any claim made
hereunder for reimbursement for any medical assistance granted
hereunder. Counties are entitled to one-half of the nonfederal
share of medical assistance collections from estates that are
directly attributable to county effort.
Subd. 2. [LIMITATIONS ON CLAIMS.] The claim shall include
only the total amount of medical assistance rendered after age
65 or during a period of institutionalization described in
subdivision 1, clause (b), and shall not include interest. A
claim against the estate of a surviving spouse who did not
receive medical assistance, for medical assistance rendered for
the predeceased spouse, is limited to the value of the assets of
the estate that were marital property or jointly owned property
at any time during the marriage.
Subd. 3. [MINOR, BLIND, OR DISABLED CHILDREN.] If a
decedent who was single, or who was the surviving spouse of a
married couple, is survived by a child who is under age 21 or
blind or permanently and totally disabled according to the
supplemental security income program criteria, no claim shall be
filed against the estate.
Subd. 4. [OTHER SURVIVORS.] If the decedent who was single
or the surviving spouse of a married couple is survived by one
of the following persons, a claim exists against the estate in
an amount not to exceed the value of the nonhomestead property
included in the estate:
(a) a sibling who resided in the decedent medical
assistance recipient's home at least one year before the
decedent's institutionalization and continuously since the date
of institutionalization; or
(b) a son or daughter or, subject to federal approval, a
grandchild, who resided in the decedent medical assistance
recipient's home for at least two years immediately before the
parent's institutionalization and continuously since the date of
institutionalization, and who establishes by a preponderance of
the evidence that he or she provided care to the parent or
grandparent who received medical assistance, the care was
provided before institutionalization, and the care permitted the
parent to reside at home rather than in an institution.
Sec. 64. Minnesota Statutes 1988, section 256B.19, is
amended by adding a subdivision to read:
Subd. 2b. [PILOT PROJECT REIMBURSEMENT.] In counties where
a pilot or demonstration project is operated under the medical
assistance program, the state may pay 100 percent of the
administrative costs for the pilot or demonstration project
after June 30, 1990. Reimbursement for these costs is subject
to section 256.025.
Sec. 65. Minnesota Statutes 1989 Supplement, section
256B.431, subdivision 2b, is amended to read:
Subd. 2b. [OPERATING COSTS, AFTER JULY 1, 1985.] (a) For
rate years beginning on or after July 1, 1985, the commissioner
shall establish procedures for determining per diem
reimbursement for operating costs.
(b) The commissioner shall contract with an econometric
firm with recognized expertise in and access to national
economic change indices that can be applied to the appropriate
cost categories when determining the operating cost payment rate.
(c) The commissioner shall analyze and evaluate each
nursing home's cost report of allowable operating costs incurred
by the nursing home during the reporting year immediately
preceding the rate year for which the payment rate becomes
effective.
(d) The commissioner shall establish limits on actual
allowable historical operating cost per diems based on cost
reports of allowable operating costs for the reporting year that
begins October 1, 1983, taking into consideration relevant
factors including resident needs, geographic location, size of
the nursing home, and the costs that must be incurred for the
care of residents in an efficiently and economically operated
nursing home. In developing the geographic groups for purposes
of reimbursement under this section, the commissioner shall
ensure that nursing homes in any county contiguous to the
Minneapolis-St. Paul seven-county metropolitan area are included
in the same geographic group. The limits established by the
commissioner shall not be less, in the aggregate, than the 60th
percentile of total actual allowable historical operating cost
per diems for each group of nursing homes established under
subdivision 1 based on cost reports of allowable operating costs
in the previous reporting year. For rate years beginning on or
after July 1, 1987, or until the new base period is established
1989, facilities located in geographic group I as described in
Minnesota Rules, part 9549.0052 (Emergency), on January 1, 1987
1989, may choose to have the commissioner apply either the care
related limits or the other operating cost limits calculated for
facilities located in geographic group II, or both, if either of
the limits calculated for the group II facilities is higher.
The efficiency incentive for geographic group I nursing homes
must be calculated based on geographic group I limits. The
phase-in must be established utilizing the chosen limits. For
purposes of these exceptions to the geographic grouping
requirements, the definitions in Minnesota Rules, parts
9549.0050 to 9549.0059 (Emergency), and 9549.0010 to 9549.0080,
apply. The limits established under this paragraph remain in
effect until the commissioner establishes a new base period.
Until the new base period is established, the commissioner shall
adjust the limits annually using the appropriate economic change
indices established in paragraph (e). In determining allowable
historical operating cost per diems for purposes of setting
limits and nursing home payment rates, the commissioner shall
divide the allowable historical operating costs by the actual
number of resident days, except that where a nursing home is
occupied at less than 90 percent of licensed capacity days, the
commissioner may establish procedures to adjust the computation
of the per diem to an imputed occupancy level at or below 90
percent. The commissioner shall establish efficiency incentives
as appropriate. The commissioner may establish efficiency
incentives for different operating cost categories. The
commissioner shall consider establishing efficiency incentives
in care related cost categories. The commissioner may combine
one or more operating cost categories and may use different
methods for calculating payment rates for each operating cost
category or combination of operating cost categories. For the
rate year beginning on July 1, 1985, the commissioner shall:
(1) allow nursing homes that have an average length of stay
of 180 days or less in their skilled nursing level of care, 125
percent of the care related limit and 105 percent of the other
operating cost limit established by rule; and
(2) exempt nursing homes licensed on July 1, 1983, by the
commissioner to provide residential services for the physically
handicapped under Minnesota Rules, parts 9570.2000 to 9570.3600,
from the care related limits and allow 105 percent of the other
operating cost limit established by rule.
For the purpose of calculating the other operating cost
efficiency incentive for nursing homes referred to in clause (1)
or (2), the commissioner shall use the other operating cost
limit established by rule before application of the 105 percent.
(e) The commissioner shall establish a composite index or
indices by determining the appropriate economic change
indicators to be applied to specific operating cost categories
or combination of operating cost categories.
(f) Each nursing home shall receive an operating cost
payment rate equal to the sum of the nursing home's operating
cost payment rates for each operating cost category. The
operating cost payment rate for an operating cost category shall
be the lesser of the nursing home's historical operating cost in
the category increased by the appropriate index established in
paragraph (e) for the operating cost category plus an efficiency
incentive established pursuant to paragraph (d) or the limit for
the operating cost category increased by the same index. If a
nursing home's actual historic operating costs are greater than
the prospective payment rate for that rate year, there shall be
no retroactive cost settle-up. In establishing payment rates
for one or more operating cost categories, the commissioner may
establish separate rates for different classes of residents
based on their relative care needs.
(g) The commissioner shall include the reported actual real
estate tax liability or payments in lieu of real estate tax of
each nursing home as an operating cost of that nursing home.
Allowable costs under this subdivision for payments made by a
nonprofit nursing home that are in lieu of real estate taxes
shall not exceed the amount which the nursing home would have
paid to a city or township and county for fire, police,
sanitation services, and road maintenance costs had real estate
taxes been levied on that property for those purposes. For rate
years beginning on or after July 1, 1987, the reported actual
real estate tax liability or payments in lieu of real estate tax
of nursing homes shall be adjusted to include an amount equal to
one-half of the dollar change in real estate taxes from the
prior year. The commissioner shall include a reported actual
special assessment, and reported actual license fees required by
the Minnesota department of health, for each nursing home as an
operating cost of that nursing home. For rate years beginning
on or after July 1, 1989, the commissioner shall include a
nursing home's reported public employee retirement act
contribution for the reporting year as apportioned to the
care-related operating cost categories and other operating cost
categories multiplied by the appropriate composite index or
indices established pursuant to paragraph (e) as costs under
this paragraph. Total adjusted real estate tax liability,
payments in lieu of real estate tax, actual special assessments
paid, the indexed public employee retirement act contribution,
and license fees paid as required by the Minnesota department of
health, for each nursing home (1) shall be divided by actual
resident days in order to compute the operating cost payment
rate for this operating cost category, (2) shall not be used to
compute the care-related operating cost limits or other
operating cost limits established by the commissioner, and (3)
shall not be increased by the composite index or indices
established pursuant to paragraph (e), unless otherwise
indicated in this paragraph.
(h) For rate years beginning on or after July 1, 1987, the
commissioner shall adjust the rates of a nursing home that meets
the criteria for the special dietary needs of its residents as
specified in section 144A.071, subdivision 3, clause (c), and
the requirements in section 31.651. The adjustment for raw food
cost shall be the difference between the nursing home's
allowable historical raw food cost per diem and 115 percent of
the median historical allowable raw food cost per diem of the
corresponding geographic group.
The rate adjustment shall be reduced by the applicable
phase-in percentage as provided under subdivision 2h.
Sec. 66. Minnesota Statutes 1988, section 256B.431, is
amended by adding a subdivision to read:
Subd. 2l. [INFLATION ADJUSTMENTS AFTER JULY 1, 1990.] For
rate years beginning on or after July 1, 1990, the forecasted
composite price index for a nursing home's allowable operating
cost per diems shall be determined using Data Resources, Inc.,
forecast for change in the Nursing Home Market Basket. The
commissioner of human services shall use the indices as
forecasted by Data Resources, Inc., in the fourth quarter of the
calendar year preceding the rate year.
Sec. 67. Minnesota Statutes 1988, section 256B.431,
subdivision 3e, is amended to read:
Subd. 3e. [HOSPITAL-ATTACHED CONVALESCENT AND NURSING CARE
FACILITIES.] If a nonprofit or community-operated hospital and
attached convalescent and nursing care facility suspend
operation of the hospital, the surviving nursing care facility
must be allowed to continue its status as a hospital-attached
convalescent and nursing care facility for reimbursement
purposes in three subsequent rate years.
Sec. 68. Minnesota Statutes 1988, section 256B.431, is
amended by adding a subdivision to read:
Subd. 3h. [SPECIAL PROPERTY RATE.] Notwithstanding
contrary provisions of chapter 256B or rules adopted under it,
for rate years beginning July 1, 1990, a nursing home under
lease from 1968 until 1983 with a lessee or related party having
an option to purchase the nursing home, which option was
subsequently exercised, shall be allowed debt and interest costs
incurred by the lessee or related party on indebtedness created
when the option to purchase was exercised before the end of the
1983 calendar year. The nursing home must demonstrate to the
commissioner's satisfaction that the interest rate on the debt
was less than market interest rates for similar arms-length
transactions at the time the debt was incurred.
Sec. 69. Minnesota Statutes 1988, section 256B.431, is
amended by adding a subdivision to read:
Subd. 3i. [PROPERTY COSTS FOR THE RATE YEAR BEGINNING JULY
1, 1990.] Notwithstanding Minnesota Rules, part 9549.0060,
subpart 13, item H, the commissioner shall determine
property-related payment rates for nursing homes for the rate
year beginning July 1, 1990, as follows:
(a) The property-related payment rate for a nursing home
that qualifies under subdivision 3g is the greater of the rate
determined under that subdivision or the rate determined under
paragraph (c), (d), or (e), whichever is applicable.
(b) Nursing homes shall be grouped according to the type of
property-related payment rate the commissioner determined for
the rate year beginning July 1, 1989. A nursing home whose
property-related payment rate was determined under Minnesota
Rules, part 9549.0060, subpart 13, item A (full rental
reimbursement), shall be considered group A. A nursing home
whose property-related payment rate was determined under
Minnesota Rules, part 9549.0060, subpart 13, item B (phase-down
to full rental reimbursement), shall be considered group B. A
nursing home whose property-related payment rate was determined
under Minnesota Rules, part 9549.0060, subpart 13, item C or D
(phase-up to full rental reimbursement), shall be considered
group C.
(c) For the rate year beginning July 1, 1990, a group A
nursing home shall receive its property-related payment rate
determined under Minnesota Rules, parts 9549.0010 to 9549.0080,
and this section.
(d) For the rate year beginning July 1, 1990, a Group B
nursing home shall receive the greater of 87 percent of the
property-related payment rate in effect on July 1, 1989; or the
rental per diem rate determined under Minnesota Rules, parts
9549.0010 to 9549.0080, and this section in effect on July 1,
1990; or the sum of 100 percent of the nursing home's allowable
principal and interest expense, plus its equipment allowance
multiplied by the resident days for the reporting year ending
September 30, 1989, divided by the nursing home's capacity days
as determined under Minnesota Rules, part 9549.0060, subpart 11,
as modified by subdivision 3f, paragraph (c); except that the
nursing home's property-related payment rate must not exceed its
property-related payment rate in effect on July 1, 1989.
(e) For the rate year beginning July 1, 1990, a group C
nursing home shall receive its property-related payment rate
determined under Minnesota Rules, parts 9549.0010 to 9549.0080,
and this section, except the rate must not exceed the lesser of
its property-related payment rate determined for the rate year
beginning July 1, 1989, multiplied by 116 percent or its rental
per diem rate determined effective July 1, 1990.
(f) The property-related payment rate for a nursing home
that qualifies for a rate adjustment under Minnesota Rules, part
9549.0060, subpart 13, item G (special reappraisals), shall have
the property-related payment rate determined in paragraphs (a)
to (e) adjusted according to the provisions in that rule.
(g) Except as provided in subdivision 4, paragraph (f), and
subdivision 11, a nursing home that has a change in ownership or
a reorganization of provider entity is subject to the provisions
of Minnesota Rules, part 9549.0060, subpart 13, item F.
Sec. 70. Minnesota Statutes 1988, section 256B.431, is
amended by adding a subdivision to read:
Subd. 3j. [PROPERTY RATE ADJUSTMENT FOR REQUIRED
IMPROVEMENTS.] The commissioner shall add an adjustment to the
property-related payment rate of a certified, freestanding
boarding care home reflecting the costs incurred by that nursing
home to install a communications system in every room and
hallway handrails, as required under the 1987 federal Omnibus
Budget Reconciliation Act, Public Law Number 100-203. The
property-related payment rate increase is only available if, and
to the extent that, the nursing home's existing property-related
payment rate, minus the nursing home's allowable principal and
interest costs and equipment allowance, is not sufficient to
cover the costs of the required improvements. Each nursing home
eligible for the adjustment shall submit to the commissioner a
detailed estimate of the cost increases the facility will incur
to meet the new physical plant requirements. Ten percent of the
amount of the costs that are determined by the commissioner to
be reasonable for the nursing home to meet the new requirements,
divided by resident days, must be added to the nursing home's
property-related payment rate. The adjustment shall be added to
the property-related payment rate determined under subdivision
3i. The resulting recalculated property-related payment rate is
effective October 1, 1990, or 60 days after a nursing home
submits its detailed cost estimate, whichever occurs later.
The adjustment is only available to a certified,
freestanding boarding care home that cannot meet the
requirements of Public Law Number 100-203 for communications
systems and handrails as demonstrated to the satisfaction of the
commissioner of health. When the commissioner of human services
establishes that it is not cost-effective to upgrade an eligible
certified, freestanding boarding care home to the new standards,
the commissioner of human services may exclude the certified
freestanding boarding care home if it is either an institution
for mental disease or a certified, freestanding boarding care
home that would have been determined to be an institution for
mental disease but for the fact that it has 16 or fewer licensed
beds.
Sec. 71. Minnesota Statutes 1989 Supplement, section
256B.431, subdivision 7, is amended to read:
Subd. 7. [ONE-TIME ADJUSTMENT TO NURSING HOME PAYMENT
RATES TO COMPLY WITH OMNIBUS BUDGET RECONCILIATION ACT.] The
commissioner shall determine a one-time nursing staff adjustment
to the payment rate to adjust payment rates to upgrade certain
nursing homes' professional nursing staff complement to meet the
minimum standards of 1987 Public Law Number 100-203. The
adjustments to the payment rates determined under this
subdivision cover cost increases to meet minimum standards for
professional nursing staff. For a nursing home to be eligible
for the payment rate adjustment, a nursing home must have all of
its current licensed beds certified solely for the intermediate
level of care. When the commissioner establishes that it is not
cost effective to upgrade an eligible nursing home to the new
minimum staff standards, the commissioner may exclude the
nursing home if it is either an institution for mental disease
or a nursing home that would have been determined to be an
institution for mental disease, but for the fact that it has 16
or fewer licensed beds.
(a) The increased cost of professional nursing for an
eligible nursing home shall be determined according to clauses
(1) to (4):
(1) subtract from the number 8760 the compensated hours for
professional nurses, both employed and contracted, and, if the
result is greater than zero, then multiply the result by $4.55;
(2) subtract from the number 2920 the compensated hours for
registered nurses, both employed and contracted, and, if the
result is greater than zero, then multiply the result by $9.30;
(3) if an eligible nursing home has less than 61 licensed
beds, the director of nurses' compensated hours must be included
in the compensated hours for professional nurses in clause (1).
If the director of nurses is also a registered nurse, the
director of nurses' hours must be included in the compensated
hours for registered nurses in clause (2); and
(4) the one-time nursing staff adjustment to the payment
rate shall be the sum of clauses (1) and (2) as adjusted by
clause (3), if appropriate, and then divided by the nursing
home's actual resident days for the reporting year ending
September 30, 1988.
(b) The one-time nursing staff adjustment to the payment
rate is effective from January 1, 1990, to June 30, 1991.
(c) If a nursing home is granted a waiver to the minimum
professional nursing staff standards under Public Law Number
100-203 for either the professional nurse adjustment referred to
in clause (1), or the registered nurse adjustment in clause (2),
the commissioner must recover the portion of the nursing home's
payment rate that relates to a one-time nursing staff adjustment
granted under this subdivision. The amount to be recovered
shall be based on the type and extent of the waiver granted.
(d) Notwithstanding the provisions of paragraph (a), clause
(3), if an eligible nursing home has less than 61 licensed beds,
the director of nurses' compensated hours must be excluded from
the computation of compensated hours for professional nurses and
registered nurses in paragraph (a), clauses (1) and (2). The
commissioner shall recompute the one-time nursing staff
adjustment to the payment rate using the data from the cost
report for the reporting year ending September 30, 1989, and the
adjustment computed under this paragraph shall replace the
adjustment previously computed under this subdivision effective
October 1, 1990, and shall be effective for the period October
1, 1990, to June 30, 1992.
Sec. 72. Minnesota Statutes 1988, section 256B.431, is
amended by adding a subdivision to read:
Subd. 11. [SPECIAL PROPERTY RATE SETTING PROCEDURES FOR
CERTAIN NURSING HOMES.] Notwithstanding Minnesota Rules, part
9549.0060, subpart 13, item H, to the contrary, for the rate
year beginning July 1, 1990, a nursing home leased prior to
January 1, 1986, and currently subject to adverse licensure
action under section 144A.04, subdivision 4, paragraph (a), or
section 144A.11, subdivision 2, and whose ownership changes
prior to July 1, 1990, shall be allowed a property-related
payment equal to the lesser of its current lease obligation
divided by its capacity days as determined in Minnesota Rules,
part 9549.0060, subpart 11, as modified by subdivision 3f,
paragraph (c), or the frozen property-related payment rate in
effect for the rate year beginning July 1, 1989. For rate years
beginning on or after July 1, 1991, the property-related payment
rate shall be its rental rate computed using the previous
owner's allowable principal and interest expense as allowed by
the department prior to that prior owner's sale and lease-back
transaction of December 1985.
Sec. 73. [256B.432] [LONG-TERM CARE FACILITIES; CENTRAL,
AFFILIATED, OR CORPORATE OFFICE COSTS.]
Subdivision 1. [DEFINITIONS.] For purposes of this
section, the following terms have the meanings given them.
(a) "Management agreement" means an agreement in which one
or more of the following criteria exist:
(1) the central, affiliated, or corporate office has or is
authorized to assume day-to-day operational control of the
long-term care facility for any six-month period within a
24-month period. "Day-to-day operational control" means that
the central, affiliated, or corporate office has the authority
to require, mandate, direct, or compel the employees of the
long-term care facility to perform or refrain from performing
certain acts, or to supplant or take the place of the top
management of the long-term care facility. "Day-to-day
operational control" includes the authority to hire or terminate
employees or to provide an employee of the central, affiliated,
or corporate office to serve as administrator of the long-term
care facility;
(2) the central, affiliated, or corporate office performs
or is authorized to perform two or more of the following: the
execution of contracts; authorization of purchase orders;
signature authority for checks, notes, or other financial
instruments; requiring the long-term care facility to use the
group or volume purchasing services of the central, affiliated,
or corporate office; or the authority to make annual capital
expenditures for the long-term care facility exceeding $50,000,
or $500 per licensed bed, whichever is less, without first
securing the approval of the long-term care facility board of
directors;
(3) the central, affiliated, or corporate office becomes or
is required to become the licensee under applicable state law;
(4) the agreement provides that the compensation for
services provided under the agreement is directly related to any
profits made by the long-term care facility; or
(5) the long-term care facility entering into the agreement
is governed by a governing body that meets fewer than four times
a year, that does not publish notice of its meetings, or that
does not keep formal records of its proceedings.
(b) "Consulting agreement" means any agreement the purpose
of which is for a central, affiliated, or corporate office to
advise, counsel, recommend, or suggest to the owner or operator
of the nonrelated long-term care facility measures and methods
for improving the operations of the long-term care facility.
(c) "Long-term care facility" means a nursing home whose
medical assistance rates are determined according to section
256B.431 or an intermediate care facility for persons with
mental retardation and related conditions whose medical
assistance rates are determined according to section 256B.501.
Subd. 2. [EFFECTIVE DATE.] For rate years beginning on or
after July 1, 1990, the central, affiliated, or corporate office
cost allocations in subdivisions 3 to 6 must be used when
determining medical assistance rates under sections 256B.431 and
256B.501.
Subd. 3. [ALLOCATION; DIRECT IDENTIFICATION OF COSTS OF
LONG-TERM CARE FACILITIES; MANAGEMENT AGREEMENT.] All costs that
can be directly identified with a specific long-term care
facility that is a related organization to the central,
affiliated, or corporate office, or that is controlled by the
central, affiliated, or corporate office under a management
agreement, must be allocated to that long-term care facility.
Subd. 4. [ALLOCATION; DIRECT IDENTIFICATION OF COSTS TO
OTHER ACTIVITIES.] All costs that can be directly identified
with any other activity or function not described in subdivision
3 must be allocated to that activity or function.
Subd. 5. [ALLOCATION OF REMAINING COSTS; ALLOCATION
RATIO.] (a) After the costs that can be directly identified
according to subdivisions 3 and 4 have been allocated, the
remaining central, affiliated, or corporate office costs must be
allocated between the long-term care facility operations and the
other activities or facilities unrelated to the long-term care
facility operations based on the ratio of expenses.
(b) For purposes of allocating these remaining central,
affiliated, or corporate office costs, the numerator for the
allocation ratio shall be determined as follows:
(1) for long-term care facilities that are related
organizations or are controlled by a central, affiliated, or
corporate office under a management agreement, the numerator of
the allocation ratio shall be equal to the sum of the total
costs incurred by each related organization or controlled
long-term care facility;
(2) for a central, affiliated, or corporate office
providing goods or services to related organizations that are
not long-term care facilities, the numerator of the allocation
ratio shall be equal to the sum of the total costs incurred by
the non-long-term care related organizations;
(3) for a central, affiliated, or corporate office
providing goods or services to unrelated long-term care
facilities under a consulting agreement, the numerator of the
allocation ratio shall be equal to the greater of directly
identified central, affiliated, or corporate costs or the
contracted amount; or
(4) for business activities that involve the providing of
goods or services to unrelated parties which are not long-term
care facilities, the numerator of the allocation ratio shall be
equal to the greater of directly identified costs or revenues
generated by the activity or function.
(c) The denominator for the allocation ratio is the sum of
the numerators in paragraph (b), clauses (1) to (4).
Subd. 6. [COST ALLOCATION BETWEEN LONG-TERM CARE
FACILITIES.] (a) Those long-term care operations that have
long-term care facilities both in Minnesota and outside of
Minnesota must allocate the long-term care operation's central,
affiliated, or corporate office costs identified in subdivision
5 to Minnesota based on the ratio of total resident days in
Minnesota long-term care facilities to the total resident days
in all facilities.
(b) The Minnesota long-term care operation's central,
affiliated, or corporate office costs identified in paragraph
(a) must be allocated to each Minnesota long-term care facility
on the basis of resident days.
Sec. 74. Minnesota Statutes 1988, section 256B.48, is
amended by adding a subdivision to read:
Subd. 1c. [CASE MIX RATE FOR PROVIDER WITH ADDENDUM TO
PROVIDER AGREEMENT.] A nursing home with an addendum to its
provider agreement effective beginning July 1, 1983, or
September 24, 1985, shall have its payment rates established by
the commissioner under this subdivision. To save medical
assistance resources, for rate years beginning after July 1,
1991, the provider's payment rates shall be the payment rates
established by the commissioner July 1, 1990, multiplied by a
12-month inflation factor based on the forecasted inflation
between the mid-points of rate years using the inflation index
applied by the commissioner to other nursing homes.
The provider and the department of health shall complete
case mix assessments under Minnesota Rules, chapter 4656, and
parts 9549.0058 and 9549.0059, on only those residents receiving
medical assistance. The commissioner of health may audit and
verify the limited provider assessments at any time.
Sec. 75. Minnesota Statutes 1988, section 256B.48,
subdivision 2, is amended to read:
Subd. 2. [REPORTING REQUIREMENTS.] No later than December
31 of each year, a skilled nursing facility or intermediate care
facility, including boarding care facilities, which receives
medical assistance payments or other reimbursements from the
state agency shall:
(a) Provide the state agency with a copy of its audited
financial statements. The audited financial statements must
include a balance sheet, income statement, statement of the rate
or rates charged to private paying residents, statement of
retained earnings, statements of changes in financial position
(cash and working capital methods) statement of cash flows,
notes to the financial statements, audited applicable
supplemental information, and the certified public accountant's
or licensed public accountant's opinion. The examination by the
certified public accountant or licensed public accountant shall
be conducted in accordance with generally accepted auditing
standards as promulgated and adopted by the American Institute
of Certified Public Accountants;
(b) Provide the state agency with a statement of ownership
for the facility;
(c) Provide the state agency with separate, audited
financial statements as specified in clause (a) for every other
facility owned in whole or part by an individual or entity which
has an ownership interest in the facility;
(d) Upon request, provide the state agency with separate,
audited financial statements as specified in clause (a) for
every organization with which the facility conducts business and
which is owned in whole or in part by an individual or entity
which has an ownership interest in the facility;
(e) Provide the state agency with copies of leases,
purchase agreements, and other documents related to the lease or
purchase of the nursing facility;
(f) Upon request, provide the state agency with copies of
leases, purchase agreements, and other documents related to the
acquisition of equipment, goods, and services which are claimed
as allowable costs; and
(g) Permit access by the state agency to the certified
public accountant's and licensed public accountant's audit
workpapers which support the audited financial statements
required in clauses (a), (c), and (d).
Documents or information provided to the state agency
pursuant to this subdivision shall be public. If the
requirements of clauses (a) to (g) are not met, the
reimbursement rate may be reduced to 80 percent of the rate in
effect on the first day of the fourth calendar month after the
close of the reporting year, and the reduction shall continue
until the requirements are met.
Sec. 76. Minnesota Statutes 1988, section 256B.49, is
amended by adding a subdivision to read:
Subd. 3. [CONTINUED SERVICES FOR PERSONS OVER AGE 65.]
Persons who are found eligible for services under this section
before their 65th birthday may remain eligible for these
services after their 65th birthday if they meet all other
eligibility factors.
Sec. 77. Minnesota Statutes 1989 Supplement, section
256B.495, subdivision 1, is amended to read:
Subdivision 1. [PAYMENT OF RECEIVERSHIP FEES.] The
commissioner in consultation with the commissioner of health may
establish a receivership fee payment that exceeds a long-term
care facility payment rate when the commissioner of health
determines a long-term care facility is subject to the
receivership provisions under section 144A.14 or 144A.15 or the
commissioner of human services determines that a facility is
subject to the receivership under section 245A.12 or 245A.13.
In establishing the receivership fee payment, the commissioner
must reduce the receiver's requested receivership fee by amounts
that the commissioner determines are included in the long-term
care facility's payment rate and that can be used to cover part
or all of the receivership fee. Amounts that can be used to
reduce the receivership fee shall be determined by reallocating
facility staff or costs that were formerly paid by the long-term
care facility before the receivership and are no longer required
to be paid. The amounts may include any efficiency incentive,
allowance, and other amounts not specifically required to be
paid for expenditures of the long-term care facility.
If the receivership fee cannot be covered by amounts in the
long-term care facility's payment rate, a receivership fee
payment shall be set according to paragraphs (a) and (b) and
payment shall be according to paragraphs (c) to (e).
(a) The receivership fee per diem shall be determined by
dividing the annual receivership fee payment by the long-term
care facility's resident days from the most recent cost report
for which the commissioner has established a payment rate or the
estimated resident days in the projected receivership fee period.
(b) The receivership fee per diem shall be added to the
long-term care facility's payment rate.
(c) Notification of the payment rate increase must meet the
requirements of section 256B.47, subdivision 2.
(d) The payment rate in paragraph (b) for a nursing home
shall be effective the first day of the month following the
receiver's compliance with the notice conditions in paragraph
(c). The payment rate in paragraph (b) for an intermediate care
facility for the mentally retarded shall be effective on the
first day of the rate year in which the receivership fee per
diem is determined.
(e) The commissioner may elect to make a lump sum payment
of a portion of the receivership fee to the receiver or managing
agent. In this case, the commissioner and the receiver or
managing agent shall agree to a repayment plan. Regardless of
whether the commissioner makes a lump sum payment under this
paragraph, the provisions of paragraphs (a) to (d) and
subdivision 2 also apply.
Sec. 78. Minnesota Statutes 1988, section 256B.50,
subdivision 1, is amended to read:
Subdivision 1. [SCOPE.] A provider may appeal from a
determination of a payment rate established pursuant to this
chapter and reimbursement rules of the commissioner if the
appeal, if successful, would result in a change to the
provider's payment rate or to the calculation of maximum charges
to therapy vendors as provided by section 256B.433, subdivision
3. Appeals must be filed in accordance with procedures in this
section. This section does not apply to a request from a
resident or nursing home for reconsideration of the
classification of a resident under section 144.0722.
Sec. 79. Minnesota Statutes 1988, section 256B.50,
subdivision 1b, is amended to read:
Subd. 1b. [FILING AN APPEAL.] To appeal, the provider
shall file with the commissioner a written notice of appeal; the
appeal must be received by the commissioner within 60 days of
the date the determination of the payment rate was mailed. The
notice of appeal must specify each disputed item; the reason for
the dispute; the total dollar amount and the dollar amount per
bed in dispute for each separate disallowance, allocation, or
adjustment of each cost item or part of a cost item; the
computation that the provider believes is correct; the authority
in statute or rule upon which the provider relies for each
disputed item; the name and address of the person or firm with
whom contacts may be made regarding the appeal; and other
information required by the commissioner.
Sec. 80. Minnesota Statutes 1988, section 256B.501,
subdivision 3c, is amended to read:
Subd. 3c. [COMPOSITE FORECASTED INDEX.] For rate years
beginning on or after October 1, 1988, the commissioner shall
establish a statewide composite forecasted index to take into
account economic trends and conditions between the midpoint of
the facility's reporting year and the midpoint of the rate year
following the reporting year. The statewide composite index
must incorporate the forecast by Data Resources, Inc. of
increases in the average hourly earnings of nursing and personal
care workers indexed in Standard Industrial Code 805 in
"Employment and Earnings," published by the Bureau of Labor
Statistics, United States Department of Labor. This portion of
the index must be weighted annually by the proportion of total
allowable salaries and wages to the total allowable operating
costs in the program, maintenance, and administrative operating
cost categories for all facilities.
For adjustments to the other operating costs in the
program, maintenance, and administrative operating cost
categories, the statewide index must incorporate the Data
Resources, Inc. forecast for increases in the national CPI-U.
This portion of the index must be weighted annually by the
proportion of total allowable other operating costs to the total
allowable operating costs in the program, maintenance, and
administrative operating cost categories for all facilities.
The commissioner shall use the indices as forecasted by Data
Resources, Inc., in the fourth quarter of the reporting year.
For rate years beginning on or after October 1, 1990, the
commissioner shall index a facility's allowable operating costs
in the program, maintenance, and administrative operating cost
categories by using Data Resources, Inc., forecast for change in
the Consumer Price Index-All Items (U.S. city average) (CPI-U).
The commissioner shall use the indices as forecasted by Data
Resources, Inc., in the first quarter of the calendar year in
which the rate year begins.
Sec. 81. Minnesota Statutes 1988, section 256B.501,
subdivision 3e, is amended to read:
Subd. 3e. [INCREASE IN LIMITS.] For rate years beginning
on or after October 1, 1990, the commissioner shall increase the
administrative cost per licensed bed limit in subdivision 3d,
paragraph (c), and the maintenance operating cost limit in
Minnesota Rules, part 9553.0050, subpart 1, item A, subitem (2),
by multiplying the administrative operating cost per bed limit
and the maintenance operating cost limit by the composite
forecasted index in subdivision 3c except that the index shall
be based on the 12 months between the midpoints of the two
preceding reporting years.
Sec. 82. Minnesota Statutes 1988, section 256B.501, is
amended by adding a subdivision to read:
Subd. 11. [INVESTMENT PER BED LIMITS, INTEREST EXPENSE
LIMITATIONS, AND ARMS-LENGTH LEASES.] (a) The provisions of
Minnesota Rules, part 9553.0075, except as modified under this
subdivision, shall apply to newly constructed or established
facilities that are certified for medical assistance on or after
May 1, 1990.
(b) For purposes of establishing payment rates under this
subdivision and Minnesota Rules, parts 9553.0010 to 9553.0080,
the term "newly constructed or newly established" means a
facility (1) for which a need determination has been approved by
the commissioner under sections 252.28 and 252.291; (2) whose
program is newly licensed under Minnesota Rules, parts 9525.0215
to 9525.0355, and certified under Code of Federal Regulations,
title 42, section 442.400, et seq.; and (3) that is part of a
proposal that meets the requirements of section 252.291,
subdivision 2, paragraph (2). The term does not include a
facility for which a need determination was granted solely for
other reasons such as the relocation of a facility; a change in
the facility's name, program, number of beds, type of beds, or
ownership; or the sale of a facility, unless the relocation of a
facility to one or more service sites is the result of a closure
of a facility under section 252.292, in which case clause (3)
shall not apply. The term does include a facility that converts
more than 50 percent of its licensed beds from class A to class
B residential or class B institutional to serve persons
discharged from state regional treatment centers on or after May
1, 1990, in which case clause (3) does not apply.
(c) Newly constructed or newly established facilities that
are certified for medical assistance on or after May 1, 1990,
shall be allowed the capital asset investment per bed limits as
provided in clauses (1) to (4).
(1) The 1990 calendar year investment per bed limit for a
facility's land must not exceed $5,700 per bed for newly
constructed or newly established facilities in Hennepin, Ramsey,
Anoka, Washington, Dakota, Scott, Carver, Chisago, Isanti,
Wright, Benton, Sherburne, Stearns, St. Louis, Clay, and Olmsted
counties, and must not exceed $3,000 per bed for newly
constructed or newly established facilities in other counties.
(2) The 1990 calendar year investment per bed limit for a
facility's depreciable capital assets must not exceed $44,800
for class B residential beds, and $45,200 for class B
institutional beds.
(3) The investment per bed limit in clause (2) must not be
used in determining the three-year average percentage increase
adjustment in Minnesota Rules, part 9553.0060, subpart 1, item
C, subitem (4), for facilities that were newly constructed or
newly established before May 1, 1990.
(4) The investment per bed limits in clause (2) shall be
adjusted annually beginning January 1, 1991, and each January 1
following, as provided in Minnesota Rules, part 9553.0060,
subpart 1, item C, subitem (2).
(d) A newly constructed or newly established facility's
interest expense limitation as provided for in Minnesota Rules,
part 9553.0060, subpart 3, item F, on capital debt for capital
assets acquired during the interim or settle-up period, shall be
increased by 2.5 percentage points for each full .25 percentage
points that the facility's interest rate on its mortgage is
below the maximum interest rate as established in Minnesota
Rules, part 9553.0060, subpart 2, item A, subitem (2). For all
following rate periods, the interest expense limitation on
capital debt in Minnesota Rules, part 9553.0060, subpart 3, item
F, shall apply to the facility's capital assets acquired,
leased, or constructed after the interim or settle-up period.
If a newly constructed or newly established facility is acquired
by the state, the limitations of this paragraph and Minnesota
Rules, part 9553.0060, subpart 3, item F, shall not apply.
(e) If a newly constructed or newly established facility is
leased with an arms-length lease as provided for in Minnesota
Rules, part 9553.0060, subpart 7, the lease agreement shall be
subject to the following conditions:
(1) the term of the lease, including option periods, must
not be less than 20 years;
(2) the maximum interest rate used in determining the
present value of the lease must not exceed the lesser of the
interest rate limitation in Minnesota Rules, part 9553.0060,
subpart 2, item A, subitem (2), or 16 percent; and
(3) the residual value used in determining the net present
value of the lease must be established using the provisions of
Minnesota Rules, part 9553.0060.
(f) All leases of the physical plant of an intermediate
care facility for the mentally retarded shall contain a clause
that requires the owner to give the commissioner notice of any
requests or orders to vacate the premises 90 days before such
vacation of the premises is to take place. In the case of
unlawful detainer actions, the owner shall notify the
commissioner within three days of notice of an unlawful detainer
action being served upon the tenant. The only exception to this
notice requirement is in the case of emergencies where immediate
vacation of the premises is necessary to assure the safety and
welfare of the residents. In such an emergency situation, the
owner shall give the commissioner notice of the request to
vacate at the time the owner of the property is aware that the
vacating of the premises is necessary. This section applies to
all leases entered into after the effective date of this section.
Rentals set in leases entered into after that date that do not
contain this clause are not allowable costs for purposes of
medical assistance reimbursement.
(g) A newly constructed or newly established facility's
preopening costs are subject to the provisions of Minnesota
Rules, part 9553.0035, subpart 12, and must be limited to only
those costs incurred during one of the following periods,
whichever is shorter:
(1) between the date the commissioner approves the
facility's need determination and 30 days before the date the
facility is certified for medical assistance; or
(2) the 12-month period immediately preceding the 30 days
before the date the facility is certified for medical assistance.
Sec. 83. Minnesota Statutes 1988, section 256B.69,
subdivision 3, is amended to read:
Subd. 3. [GEOGRAPHIC AREA.] The commissioner shall
designate the geographic areas in which eligible individuals may
be included in the demonstration project. The geographic areas
may include one urban, one suburban, and one rural county. In
order to encourage the participation of long-term care
providers, the project area may be expanded beyond the
designated counties for eligible individuals over age 65 medical
assistance prepayment programs.
Sec. 84. Minnesota Statutes 1989 Supplement, section
256B.69, subdivision 16, is amended to read:
Subd. 16. [PROJECT EXTENSION.] Minnesota Rules, parts
9500.1450; 9500.1451; 9500.1452; 9500.1453; 9500.1454;
9500.1455; 9500.1456; 9500.1457; 9500.1458; 9500.1459;
9500.1460; 9500.1461; 9500.1462; 9500.1463; and 9500.1464 are
extended until December 31, 1990.
Sec. 85. Minnesota Statutes 1988, section 256B.73,
subdivision 7, as amended by Laws 1990, chapter 454, section 1,
is amended to read:
Subd. 7. [CONTRACT WITH COALITION.] The commissioner of
human services shall contract with the coalition to administer
and direct the demonstration project and to select and retain
the demonstration provider for the duration of the project.
This contract shall be for 24 months with an option to renew for
no more than 12 months. This contract may be canceled without
cause by the commissioner upon 90 days' written notice to
the demonstration provider coalition or by the demonstration
provider coalition with 90 days' written notice to the
commissioner. The commissioner shall assure the cooperation of
the county human services or social services staff in all
counties participating in the project.
Sec. 86. Minnesota Statutes 1989 Supplement, section
256D.03, subdivision 3, is amended to read:
Subd. 3. [GENERAL ASSISTANCE MEDICAL CARE; ELIGIBILITY.]
(a) General assistance medical care may be paid for any person:
(1) who is eligible for receiving assistance under section
256D.05 or 256D.051 and is not eligible for medical assistance
under chapter 256B including eligibility for medical assistance
based on a spend-down of excess income according to section
256B.056, subdivision 5; or
(2)(i) who is a resident of Minnesota; and whose equity in
assets is not in excess of $1,000 per assistance unit. Exempt
assets, the reduction of excess assets, and the waiver of excess
assets must conform to the medical assistance program in chapter
256B; and
(ii) who has countable income not in excess of the
assistance standards established in section 256B.056,
subdivision 4, or whose excess income is spent down pursuant to
section 256B.056, subdivision 5, using a six-month budget
period, except that a one-month budget period must be used for
recipients residing in a long-term care facility. The method
for calculating earned income disregards and deductions for a
person who resides with a dependent child under age 21 shall be
as specified in section 256.74, subdivision 1. However, if a
disregard of $30 and one-third of the remainder described in
section 256.74, subdivision 1, clause (4), has been applied to
the wage earner's income, the disregard shall not be applied
again until the wage earner's income has not been considered in
an eligibility determination for general assistance, general
assistance medical care, medical assistance, or aid to families
with dependent children for 12 consecutive months. The earned
income and work expense deductions for a person who does not
reside with a dependent child under age 21 shall be the same as
the method used to determine eligibility for a person under
section 256D.06, subdivision 1, except for the disregard of the
first $50 of earned income is not allowed; or
(3) who is over age 18 and who would be eligible for
medical assistance except that the person resides in a facility
that is determined by the commissioner or the federal health
care financing administration to be an institution for mental
diseases.
(b) Eligibility is available for the month of application
and for three months prior to application if the person was
eligible in those prior months. A redetermination of
eligibility must occur every 12 months.
(c) General assistance medical care may be paid for a
person, regardless of age, who is detained by law for less than
one year in a county correctional or detention facility as a
person accused or convicted of a crime, or admitted as an
inpatient to a hospital on a criminal hold order, if the person
is a recipient of general assistance medical care at the time
the person is detained by law or admitted on a criminal hold
order and as long as the person continues to meet other
eligibility requirements of this subdivision.
(d) General assistance medical care is not available for
applicants or recipients who do not cooperate with the local
agency to meet the requirements of medical assistance.
(e) In determining the amount of assets of an individual,
there shall be included any asset or interest in an asset,
including an asset excluded under paragraph (a), that was given
away, sold, or disposed of for less than fair market value
within the 30 months preceding application for general
assistance medical care or during the period of eligibility.
Any transfer described in this paragraph shall be presumed to
have been for the purpose of establishing eligibility for
general assistance medical care, unless the individual furnishes
convincing evidence to establish that the transaction was
exclusively for another purpose. For purposes of this
paragraph, the value of the asset or interest shall be the fair
market value at the time it was given away, sold, or disposed
of, less the amount of compensation received. For any
uncompensated transfer, the number of months of ineligibility,
including partial months, shall be calculated by dividing the
uncompensated transfer amount by the average monthly per person
payment made by the medical assistance program to skilled
nursing facilities for the previous calendar year. The
individual shall remain ineligible until this fixed period has
expired. The period of ineligibility may exceed 30 months, and
a reapplication for benefits after 30 months from the date of
the transfer shall not result in eligibility unless and until
the period of ineligibility has expired. The period of
ineligibility begins in the month the transfer was reported to
the local agency, or if the transfer was not reported, the month
in which the local agency discovered the transfer, whichever
comes first. For applicants, the period of ineligibility begins
on the date of the first approved application.
Sec. 87. Minnesota Statutes 1989 Supplement, section
256D.03, subdivision 4, is amended to read:
Subd. 4. [GENERAL ASSISTANCE MEDICAL CARE; SERVICES.] (a)
Reimbursement under the general assistance medical care program
shall be limited to the following categories of service:
inpatient hospital care, outpatient hospital care, services
provided by Medicare certified rehabilitation agencies,
prescription drugs, equipment necessary to administer insulin
and diagnostic supplies and equipment for diabetics to monitor
blood sugar level, eyeglasses and eye examinations provided by a
physician or optometrist, hearing aids, prosthetic devices,
laboratory and X-ray services, physician's services, medical
transportation, chiropractic services as covered under the
medical assistance program, podiatric services, and dental
care. In addition, payments of state aid shall be made for:
(1) outpatient services provided by a mental health center
or clinic that is under contract with the county board and is
certified under Minnesota Rules, parts 9520.0010 to 9520.0230
established under section 245.62;
(2) day treatment services for mental illness provided
under contract with the county board;
(3) prescribed medications for persons who have been
diagnosed as mentally ill as necessary to prevent more
restrictive institutionalization;
(4) case management services for a person with serious and
persistent mental illness who would be eligible for medical
assistance except that the person resides in an institution for
mental diseases;
(5) psychological services, medical supplies and equipment,
and Medicare premiums, coinsurance and deductible payments for a
person who would be eligible for medical assistance except that
the person resides in an institution for mental diseases; and
(6) equipment not specifically listed in this paragraph
when the use of the equipment will prevent the need for costlier
services that are reimbursable under this subdivision.
(b) In order to contain costs, the commissioner of human
services shall select vendors of medical care who can provide
the most economical care consistent with high medical standards
and shall where possible contract with organizations on a
prepaid capitation basis to provide these services. The
commissioner shall consider proposals by counties and vendors
for prepaid health plans, competitive bidding programs, block
grants, or other vendor payment mechanisms designed to provide
services in an economical manner or to control utilization, with
safeguards to ensure that necessary services are provided.
Before implementing prepaid programs in counties with a county
operated or affiliated public teaching hospital or a hospital or
clinic operated by the University of Minnesota, the commissioner
shall consider the risks the prepaid program creates for the
hospital and allow the county or hospital the opportunity to
participate in the program in a manner that reflects the risk of
adverse selection and the nature of the patients served by the
hospital, provided the terms of participation in the program are
competitive with the terms of other participants considering the
nature of the population served. Payment for services provided
pursuant to this subdivision shall be as provided to medical
assistance vendors of these services under sections 256B.02,
subdivision 8, and 256B.0625. For payments made during fiscal
year 1990 and later years, the commissioner shall contract with
an independent actuary to establish prepayment rates.
(c) The commissioner of human services may reduce payments
provided under sections 256D.01 to 256D.21 and 261.23 in order
to remain within the amount appropriated for general assistance
medical care, within the following restrictions.
For the period July 1, 1985, to December 31, 1985,
reductions below the cost per service unit allowable under
section 256.966, are permitted only as follows: payments for
inpatient and outpatient hospital care provided in response to a
primary diagnosis of chemical dependency or mental illness may
be reduced no more than 30 percent; payments for all other
inpatient hospital care may be reduced no more than 20 percent.
Reductions below the payments allowable under general assistance
medical care for the remaining general assistance medical care
services allowable under this subdivision may be reduced no more
than ten percent.
For the period January 1, 1986, to December 31, 1986,
reductions below the cost per service unit allowable under
section 256.966 are permitted only as follows: payments for
inpatient and outpatient hospital care provided in response to a
primary diagnosis of chemical dependency or mental illness may
be reduced no more than 20 percent; payments for all other
inpatient hospital care may be reduced no more than 15 percent.
Reductions below the payments allowable under general assistance
medical care for the remaining general assistance medical care
services allowable under this subdivision may be reduced no more
than five percent.
For the period January 1, 1987, to June 30, 1987,
reductions below the cost per service unit allowable under
section 256.966 are permitted only as follows: payments for
inpatient and outpatient hospital care provided in response to a
primary diagnosis of chemical dependency or mental illness may
be reduced no more than 15 percent; payments for all other
inpatient hospital care may be reduced no more than ten
percent. Reductions below the payments allowable under medical
assistance for the remaining general assistance medical care
services allowable under this subdivision may be reduced no more
than five percent.
For the period July 1, 1987, to June 30, 1988, reductions
below the cost per service unit allowable under section 256.966
are permitted only as follows: payments for inpatient and
outpatient hospital care provided in response to a primary
diagnosis of chemical dependency or mental illness may be
reduced no more than 15 percent; payments for all other
inpatient hospital care may be reduced no more than five percent.
Reductions below the payments allowable under medical assistance
for the remaining general assistance medical care services
allowable under this subdivision may be reduced no more than
five percent.
For the period July 1, 1988, to June 30, 1989, reductions
below the cost per service unit allowable under section 256.966
are permitted only as follows: payments for inpatient and
outpatient hospital care provided in response to a primary
diagnosis of chemical dependency or mental illness may be
reduced no more than 15 percent; payments for all other
inpatient hospital care may not be reduced. Reductions below
the payments allowable under medical assistance for the
remaining general assistance medical care services allowable
under this subdivision may be reduced no more than five percent.
There shall be no copayment required of any recipient of
benefits for any services provided under this subdivision. A
hospital receiving a reduced payment as a result of this section
may apply the unpaid balance toward satisfaction of the
hospital's bad debts.
(d) Any county may, from its own resources, provide medical
payments for which state payments are not made.
(e) Chemical dependency services that are reimbursed under
Laws 1986, chapter 394, sections 8 to 20, must not be reimbursed
under general assistance medical care.
(f) The maximum payment for new vendors enrolled in the
general assistance medical care program after the base year
shall be determined from the average usual and customary charge
of the same vendor type enrolled in the base year.
(g) The conditions of payment for services under this
subdivision are the same as the conditions specified in rules
adopted under chapter 256B governing the medical assistance
program, unless otherwise provided by statute or rule.
Sec. 88. Minnesota Statutes Second 1989 Supplement,
section 256D.03, subdivision 6, is amended to read:
Subd. 6. [DIVISION OF COSTS.] The state share of local
agency expenditures for general assistance medical care shall be
90 percent and the county share shall be ten percent. Payments
made under this subdivision shall be made in accordance with
sections 256B.041, subdivision 5 and 256B.19, subdivision 1. In
counties where a pilot or demonstration project is operated for
general assistance medical care services, the state may pay 100
percent of the costs of administering the pilot or demonstration
project. Reimbursement for these costs is subject to section
256.025.
Beginning July 1, 1991, the state will reimburse counties
according to the payment schedule in section 256.025 for the
county share of costs incurred under this subdivision from
January 1, 1991, on. Payment to counties under this subdivision
is subject to the provisions of section 256.017.
Notwithstanding any provision to the contrary, beginning
July 1, 1991, the state shall pay 100 percent of the costs for
centralized claims processing by the department of
administration relative to claims beginning January 1, 1991, and
submitted on behalf of general assistance medical care
recipients by vendors in the general assistance medical care
program.
Beginning July 1, 1991, the state shall reimburse counties
up to the limit of state appropriations for general assistance
medical care common carrier transportation and related travel
expenses provided for medical purposes after December 31, 1990.
Reimbursement shall be provided according to the payment
schedule set forth in section 256.025. For purposes of this
subdivision, transportation shall have the meaning given it in
Code of Federal Regulations, title 42, section 440.170(a), as
amended through October 1, 1987, and travel expenses shall have
the meaning given in Code of Federal Regulations, title 42,
section 440.170(a)(3), as amended through October 1, 1987.
The county shall ensure that only the least costly most
appropriate transportation and travel expenses are used. The
state may enter into volume purchase contracts, or use a
competitive bidding process, whenever feasible, to minimize the
costs of transportation services. If the state has entered into
a volume purchase contract or used the competitive bidding
procedures of chapter 16B to arrange for transportation
services, the county may be required to use such arrangements to
be eligible for state reimbursement for general assistance
medical care common carrier transportation and related travel
expenses provided for medical purposes.
In counties where prepaid health plans are under contract
to the commissioner to provide services to general assistance
medical care recipients, the cost of court ordered treatment
that does not include diagnostic evaluation, recommendation, or
referral for treatment by the prepaid health plan is the
responsibility of the county of financial responsibility.
Sec. 89. Minnesota Statutes 1988, section 256D.03,
subdivision 7, is amended to read:
Subd. 7. [DUTIES OF THE COMMISSIONER.] The commissioner
shall promulgate emergency and permanent rules as necessary to
establish:
(a) standards of eligibility, utilization of services, and
payment levels;
(b) standards for quality assurance, surveillance, and
utilization review procedures that conform to those established
for the medical assistance program pursuant to chapter 256B,
including general criteria and procedures for the identification
and prompt investigation of suspected fraud, theft, abuse,
presentment of false or duplicate claims, presentment of claims
for services not medically necessary, or false statements or
representations of material facts by a vendor or recipient of
general assistance medical care, and for the imposition of
sanctions against such vendor or recipient of medical care. The
rules relating to sanctions shall be consistent with the
provisions of section 256B.064, subdivisions 1a and 2; and
(c) administrative and fiscal procedures for payment of the
state share of the medical costs incurred by the counties under
section 256D.02, subdivision 4a. Rules promulgated pursuant to
this clause may include: (1) procedures by which state
liability for the costs of medical care incurred pursuant to
section 256D.02, subdivision 4a may be deducted from county
liability to the state under any other public assistance program
authorized by law; (2) procedures for processing claims of
counties for reimbursement by the state for expenditures for
medical care made by the counties pursuant to section 256D.02,
subdivision 4a; and (3) procedures by which the local agencies
may contract with the commissioner of human services for state
administration of general assistance medical care payments.
Sec. 90. Minnesota Statutes 1989 Supplement, section
256D.425, subdivision 3, is amended to read:
Subd. 3. [TRANSFERS.] The transfer policies and procedures
of the Minnesota supplemental aid program are those used by
the medical general assistance medical care program under
section 256B.17 256D.03, subdivision 3, paragraph (e), except
that a resource that is transferred while otherwise excluded
under subdivision 2 is not an available resource for purposes of
eligibility for Minnesota supplemental aid.
Sec. 91. Minnesota Statutes 1988, section 518.171,
subdivision 1, is amended to read:
Subdivision 1. [ORDER.] Unless the obligee has comparable
or better group dependent health insurance coverage available at
a more reasonable cost, the court shall order the obligor to
name the minor child as beneficiary on any health and dental
insurance plan that is available to the obligor on a group basis
or through an employer or union. "Health insurance coverage" as
used in this section does not include medical assistance
provided under chapter 256, 256B, or 256D.
If the court finds that dependent health or dental
insurance is not available to the obligor on a group basis or
through an employer or union, or that the group insurer is not
accessible to the obligee, the court may require the obligor to
obtain dependent health or dental insurance, or to be liable for
reasonable and necessary medical or dental expenses of the child.
If the court finds that the dependent health or dental
insurance required to be obtained by the obligor does not pay
all the reasonable and necessary medical or dental expenses of
the child, or that the dependent health or dental insurance
available to the obligee does not pay all the reasonable and
necessary medical or dental expenses of the child, and the court
finds that the obligor has the financial ability to contribute
to the payment of these medical or dental expenses, the court
shall require the obligor to be liable for all or a portion of
the medical or dental expenses of the child not covered by the
required health or dental plan.
Sec. 92. Minnesota Statutes 1988, section 518.171,
subdivision 3, is amended to read:
Subd. 3. [IMPLEMENTATION.] A copy of the court order for
insurance coverage shall be forwarded to the obligor's employer
or union by the obligee or the public authority responsible for
support enforcement only when ordered by the court or when the
following conditions are met:
(1) the obligor fails to provide written proof to the
obligee or the public authority, within 30 days of receiving
effective notice of the court order, that the insurance has been
obtained or that application for insurability has been made;
(2) the obligee or the public authority serves written
notice of its intent to enforce medical support on the obligor
by mail at the obligor's last known post office address; and
(3) the obligor fails within 15 days after the mailing of
the notice to provide written proof to the obligee or the public
authority that the insurance coverage existed as of the date of
mailing.
The employer or union shall forward a copy of the order to
the health and dental insurance plan offered by the employer.
Sec. 93. Minnesota Statutes 1988, section 518.171,
subdivision 4, is amended to read:
Subd. 4. [EFFECT OF ORDER.] The order is binding on the
employer or union and the health and dental insurance plan when
service under subdivision 3 has been made. Upon receipt of the
order, or upon application of the obligor pursuant to the order,
the employer or union and its health and dental insurance plan
shall enroll the minor child as a beneficiary in the group
insurance plan and withhold any required premium from the
obligor's income or wages. If more than one plan is offered by
the employer or union, the child shall be enrolled in the
insurance plan in which the obligor is enrolled or the least
costly plan otherwise available to the obligor that is
comparable to a number two qualified plan. Failure of the
obligor to execute any documents necessary to enroll the
dependent in the group health and dental insurance plan will not
affect the obligation of the employer or union and group health
and dental insurance plan to enroll the dependent in a plan for
which other eligibility requirements are met. Information and
authorization provided by the public authority responsible for
child support enforcement, or by the custodial parent or
guardian, is valid for the purposes of meeting enrollment
requirements of the health plan. The insurance coverage for a
child eligible under subdivision 5 shall not be terminated
except as authorized in subdivision 5.
Sec. 94. Minnesota Statutes 1988, section 518.171,
subdivision 7, is amended to read:
Subd. 7. [RELEASE OF INFORMATION.] When an order for
dependent insurance coverage is in effect, the obligor's
employer or union shall release to the obligee or the public
authority, upon request, information on the dependent coverage,
including the name of the insurer. Notwithstanding any other
law, information reported pursuant to section 268.121 shall be
released to the public agency responsible for support
enforcement that is enforcing an order for medical or dental
insurance coverage under this section. The public agency
responsible for support enforcement is authorized to release to
the obligor's insurer or employer information necessary to
obtain or enforce medical support.
Sec. 95. Laws 1989, chapter 282, article 3, section 98,
subdivision 4, is amended to read:
Subd. 4. Minnesota Statutes 1988, section 256B.17,
subdivisions 1, 2, 3, 4, 5, 6, and 8, are repealed for transfers
occurring on or after July 1, 1988. Minnesota Statutes, section
256B.17, subdivisions 1, 2, 3, 4, 5, 6, and 8, are revived for
transfers occurring before July 1, 1988.
Sec. 96. Laws 1989, chapter 282, article 3, section 98,
subdivision 5, is amended to read:
Subd. 5. Minnesota Statutes 1988, section 256B.17,
subdivision 7, is repealed effective October 1, 1989, for those
persons who become institutionalized on or after that date but
remains in effect for those who were institutionalized before
October 1, 1989. Minnesota Statutes 1988, section 256B.17,
subdivision 7, is revived for persons institutionalized before
October 1, 1989.
Sec. 97. [RULES RELATING TO MENTAL HEALTH PRACTITIONERS.]
The commissioner of human services shall adopt or amend
rules to allow a mental health practitioner with only a
bachelor's degree to provide mental health services under
clinical supervision when employed by a private, nonprofit
agency specializing in mental health services to low income
children under age 15. To be eligible, the mental health
practitioner must have provided outpatient mental health
services, with a primary emphasis on family-oriented mental
health services, to children under age 15 under clinical
supervision for at least ten years after receiving a bachelor's
degree.
Sec. 98. Laws 1988, chapter 689, article 2, section 256,
subdivision 3, is amended to read:
Subd. 3. [REPORT.] The commissioner shall monitor and
evaluate the pilot projects and report to the legislature by
January 31, 1991 1993. The report must address at least the
following:
(1) the extent to which each pilot project succeeded in
moving elderly persons out of nursing homes into less
restrictive settings or in delaying placement in a nursing home;
(2) the ability of each project to target low-income, frail
elderly;
(3) the cost-effectiveness of each project, including the
financial impact on the resident, the state, and the county;
(4) the success of each project in meeting other goals
established by the commissioner; and
(5) recommendations on whether the pilot projects should be
continued or expanded.
Sec. 99. [INFLATION ADJUSTMENT FOR PAYMENTS FOR CERTAIN
HOME AND COMMUNITY-BASED MEDICAL CARE AND NURSING HOME
SCREENINGS.]
Until June 30, 1993, the commissioner of human services
shall provide an annual inflation adjustment of not more than
four percent for payment rates for private duty nursing
services, personal care services, home and community-based
waivered services, and alternative care grant services for
persons classified as 180-day eligible.
Sec. 100. [MENTAL RETARDATION SERVICES COST STUDY.]
By January 1, 1991, the commissioner of human services, in
consultation with counties, the department of education, and the
state planning agency, shall provide a report to the senate and
house health and human services policy committees and finance
and appropriations divisions that contains a description of all
current state spending on mental retardation services, including
special education services and vocational rehabilitation
services, and estimates of the future growth in spending that
would occur in the absence of new cost containment measures.
The report must also identify service system alternatives,
including fiscal incentives, mandates, and rule changes, that
will encourage cost containment without adversely affecting
quality or the provision of appropriate services. The proposals
must include specific recommendations for semi-independent
living services, respite care, case management, and day training
and habilitation services.
Sec. 101. [RECOMMENDATIONS REGARDING PROPERTY COST
PAYMENTS.]
(a) By December 15, 1990, the rule 50 property
reimbursement advisory task force shall recommend to the
commissioner of human services a new system for determining
property-related payment rates for nursing homes. The system
recommended by the advisory task force must not increase total
medical assistance spending for nursing home property costs.
The system must be designed to:
(1) reimburse nursing homes for their legitimate and
reasonable property-related costs;
(2) permit appropriate sales of facilities within
reasonable limitations;
(3) allow for the reasonable accumulation of funds to
replace capital assets;
(4) take into consideration Medicare principles and
required state plan assurances;
(5) provide equitable treatment of facilities;
(6) establish limitations on investment per bed; and
(7) encourage long-term ownership of nursing facilities
through providing a return on an owner's actual investment which
is related to the length of ownership at the time of an
arm's-length sale.
(b) By January 15, 1991, the commissioner shall provide a
report to the legislature that contains the report and
recommendations of the property reimbursement advisory task
force as well as the commissioner's comments and recommendations
regarding nursing home property reimbursement.
Sec. 102. [FEDERAL WAIVER TO REDUCE THE FREQUENCY OF
ELIGIBILITY REDETERMINATIONS FOR INFANTS ON MEDICAL ASSISTANCE.]
The commissioner of human services shall seek federal
approval to eliminate eligibility redeterminations for pregnant
women and infants eligible for medical assistance under
Minnesota Statutes, section 256B.055, subdivisions 6 and 10,
until one year after the birth of the child. The commissioner
shall begin the process of seeking federal approval no later
than December 31, 1990.
Sec. 103. [CONSUMER AWARENESS CAMPAIGN.]
The department of commerce shall establish a consumer
awareness campaign to inform the public of cost effective
strategies for the purchase of affordable health insurance. The
department of commerce may accept public and private funds to
establish and promote this consumer awareness campaign.
Sec. 104. [REPEALERS.]
Subdivision 1. [MEDICAL ASSISTANCE ELIGIBILITY.] Minnesota
Statutes 1989 Supplement, section 256B.055, subdivision 8, is
repealed.
Subd. 2. [SWING BEDS.] The amendments to Minnesota
Statutes, section 256B.0625, subdivision 2, in Laws 1989,
chapter 282, article 3, section 54, are repealed, and the
stricken language is reenacted.
Sec. 105. [EFFECTIVE DATES.]
Subdivision 1. [CLAIMS AGAINST ESTATES.] Section 63 is
effective for all claims filed for deaths occurring on or after
the date of enactment.
Subd. 2. [PROHIBITED TRANSFERS OF PROPERTY.] Section 40 is
effective the day after final enactment.
Subd. 3. [METRO MOBILITY.] Section 13 is effective October
1, 1990.
Subd. 4. [NURSING HOME PROPERTY RATES INVOLVING
LEASES.] Section 68 is effective the day following final
enactment.
Subd. 5. [SWING BEDS.] Section 104, subdivision 2, is
effective the day following final enactment.
Subd. 6. [NEW ICF/MR FACILITIES.] Section 82 is effective
May 1, 1990.
Subd. 7. [ADVISORY COMMITTEE ON TRANSPLANTS.] Section 52
is effective the day following final enactment.
ARTICLE 4
INCOME MAINTENANCE
Section 1. Minnesota Statutes 1988, section 256.73,
subdivision 2, is amended to read:
Subd. 2. [ALLOWANCE BARRED BY OWNERSHIP OF PROPERTY.]
Ownership by an assistance unit of property as follows is a bar
to any allowance under sections 256.72 to 256.87:
(1) The value of real property other than the homestead,
which when combined with other assets exceeds the limits of
paragraph (2), unless the assistance unit is making a good faith
effort to sell the nonexcludable real property. The time period
for disposal must not exceed nine months and the assistance unit
shall execute an agreement to dispose of the property to repay
assistance received during the nine months up to the amount of
the net sale proceeds. The payment must be made when the
property is sold. If the property is not sold within the
required time or the assistance unit becomes ineligible for any
reason the entire amount received during the nine months is an
overpayment and subject to recovery. For the purposes of this
section, "homestead" means the home owned and occupied by the
child, relative, or other member of the assistance unit as a
dwelling place, that is owned by, and is the usual residence of,
the child, relative, or other member of the assistance unit
together with the surrounding property which is not separated
from the home by intervening property owned by others. "Usual
residence" includes the home from which the child, relative, or
other members of the assistance unit is temporarily absent due
to an employability development plan approved by the local human
service agency, which includes education, training, or job
search within the state but outside of the immediate geographic
area. Public rights-of-way, such as roads which run through the
surrounding property and separate it from the home, will not
affect the exemption of the property; or
(2) Personal property of an equity value in excess of
$1,000 for the entire assistance unit, exclusive of personal
property used as the home, one motor vehicle of an equity value
not exceeding $1,500 or the entire equity value of a motor
vehicle determined to be necessary for the operation of a
self-employment business, one burial plot for each member of the
assistance unit, one prepaid burial contract with an equity
value of no more than $1,000 for each member of the assistance
unit, clothing and necessary household furniture and equipment
and other basic maintenance items essential for daily living, in
accordance with rules promulgated by and standards established
by the commissioner of human services.
Sec. 2. Minnesota Statutes 1989 Supplement, section
256.73, subdivision 3a, is amended to read:
Subd. 3a. [PERSONS INELIGIBLE.] No assistance shall be
given under sections 256.72 to 256.87:
(1) on behalf of any person who is receiving supplemental
security income under title XVI of the Social Security Act
unless permitted by federal regulations;
(2) for any month in which the assistance unit's gross
income, without application of deductions or disregards, exceeds
185 percent of the standard of need for a family of the same
size and composition; except that the earnings of a dependent
child who is a full-time student may be disregarded for six
calendar months per year and the earnings of a dependent child
who is a full-time student that are derived from the jobs
training and partnership act may be disregarded for six calendar
months per year. If a stepparent's income is taken into account
in determining need, the disregards specified in section 256.74,
subdivision 1a, shall be applied to determine income available
to the assistance unit before calculating the unit's gross
income for purposes of this paragraph;
(3) to any assistance unit for any month in which any
caretaker relative with whom the child is living is, on the last
day of that month, participating in a strike;
(4) on behalf of any other individual in the assistance
unit, nor shall the individual's needs be taken into account for
any month in which, on the last day of the month, the individual
is participating in a strike;
(5) on behalf of any individual who is the principal earner
in an assistance unit whose eligibility is based on the
unemployment of a parent when the principal earner, without good
cause, fails or refuses to seek work, to participate in the job
search program under section 256.736, or a community work
experience program under section 256.737 if this program is
available and participation is mandatory in the county, to
accept employment, or to register with a public employment
office, unless the principal earner is exempt from these work
requirements.
Sec. 3. Minnesota Statutes 1988, section 256.736,
subdivision 1a, is amended to read:
Subd. 1a. [DEFINITIONS.] As used in this section and
section 256.7365, the following words have the meanings given
them:
(a) "AFDC" means aid to families with dependent children.
(b) "AFDC-UP" means that group of AFDC clients who are
eligible for assistance by reason of unemployment as defined by
the commissioner under section 256.12, subdivision 14.
(c) "Caretaker" means a parent or eligible adult, including
a pregnant woman, who is part of the assistance unit that has
applied for or is receiving AFDC.
(d) "Employment and training services" means programs,
activities, and services related to job training and, job
placement, and job creation, including job service programs, job
training partnership act programs, wage subsidies, remedial and
secondary education programs, post-secondary education programs
excluding education leading to a post-baccalaureate degree,
vocational education programs, work incentive programs, work
readiness programs, employment job search, counseling, case
management, community work experience programs, displaced
homemaker programs, self-employment programs, grant diversion,
employment experience programs, youth employment programs,
community investment programs, supported work programs, refugee
employment and training programs, and counseling and support
activities necessary to stabilize the caretaker or the family.
(e) "Employment and training service provider" means an
administrative entity a public, private, or nonprofit agency
certified by the commissioner of jobs and training to deliver
employment and training services under section 268.0122,
subdivision 3 and section 268.871, subdivision 1.
(f) "Minor parent" means a caretaker relative who is the
parent of the dependent child or children in the assistance unit
and who is under the age of 18.
(g) "Priority groups" or "priority caretakers" means
recipients of AFDC or AFDC-UP designated as priorities for
employment and training services under subdivision 2a 16.
(h) "Suitable employment" means employment which:
(1) is within the recipient's physical and mental capacity;
(2) meets health and safety standards established by the
Occupational Safety and Health Administration and the department
of jobs and training;
(3) pays hourly gross earnings which are not less than the
federal or state minimum wage for that type of employment,
whichever is applicable;
(4) does not result in a net loss of income. Employment
results in a net loss of income when the income remaining after
subtracting necessary work-related expenses from the family's
gross income, which includes cash assistance, is less than the
cash assistance the family was receiving at the time the offer
of employment was made. For purposes of this definition, "work
expenses" means the amount withheld or paid for; state and
federal income taxes; social security withholding taxes;
mandatory retirement fund deductions; dependent care costs;
transportation costs to and from work at the amount allowed by
the Internal Revenue Service for personal car mileage; costs of
work uniforms, union dues, and medical insurance premiums; costs
of tools and equipment used on the job; $1 per work day for the
costs of meals eaten during employment; public liability
insurance required by an employer when an automobile is used in
employment and the cost is not reimbursed by the employer; and
the amount paid by an employee from personal funds for business
costs which are not reimbursed by the employer;
(5) offers a job vacancy which is not the result of a
strike, lockout, or other bona fide labor dispute;
(6) requires a round trip commuting time from the
recipient's residence of less than two hours by available
transportation, exclusive of the time to transport children to
and from child care;
(7) does not require the recipient to leave children under
age 12 unattended in order to work, or if child care is
required, such care is available; and
(8) does not discriminate at the job site on the basis of
age, sex, race, color, creed, marital status, status with regard
to public assistance, disability, religion, or place of national
origin.
(i) "Support services" means programs, activities, and
services intended to stabilize families and individuals or
provide assistance for family needs related to employment or
participation in employment and training services, including
child care, transportation, housing assistance, personal and
family counseling, crisis intervention services, peer support
groups, chemical dependency counseling and treatment, money
management assistance, and parenting skill courses.
Sec. 4. Minnesota Statutes 1989 Supplement, section
256.736, subdivision 3, is amended to read:
Subd. 3. [REGISTRATION.] (a) To the extent permissible
under federal law, every caretaker or child is required to
register for employment and training services, as a condition of
receiving AFDC, unless the caretaker or child is:
(1) a child who is under age 16, a child age 16 or 17 who
is attending elementary or secondary school or a secondary level
vocational or technical school full time;
(2) ill, incapacitated, or age 60 or older;
(3) a person for whom participation in an employment and
training service would require a round trip commuting time by
available transportation of more than two hours;
(4) a person whose presence in the home is required because
of illness or incapacity of another member of the household;
(5) a caretaker or other caretaker relative of a child
under the age of three who personally provides full-time care
for the child. In AFDC-UP cases, only one parent or other
relative may qualify for this exemption;
(6) a caretaker or other caretaker relative personally
providing care for a child under six years of age, except that
when child care is arranged for or provided, the caretaker or
caretaker relative may be required to register and participate
in employment and training services up to a maximum of 20 hours
per week. In AFDC-UP cases, only one parent or other relative
may qualify for this exemption;
(7) a caretaker if another adult relative in the assistance
unit is registered and has not, without good cause, failed or
refused to participate or accept employment;
(8) a pregnant woman, if it has been medically verified
that the child is expected to be born in the current month or
within the next six months; or
(9) (8) employed at least 30 hours per week; or.
(10) a parent who is not the principal earner if the parent
who is the principal earner is required to register.
(b) To the extent permissible by federal law, applicants
for benefits under the AFDC program are registered for
employment and training services by signing the application
form. Applicants must be informed that they are registering for
employment and training services by signing the form. Persons
receiving benefits on or after July 1, 1987, shall register for
employment and training services to the extent permissible by
federal law. The caretaker has a right to a fair hearing under
section 256.045 with respect to the appropriateness of the
registration.
Sec. 5. Minnesota Statutes 1988, section 256.736,
subdivision 3a, is amended to read:
Subd. 3a. [PARTICIPATION.] Caretakers in priority groups
must participate in employment and training services under this
section to the extent permissible under federal law. However,
no assistance unit may be sanctioned for a caretaker's failure
to participate in employment and training services under this
section if failure results from inadequate funding for
employment and training services. (a) Except as provided under
paragraphs (b) and (c), participation in employment and training
services under this section is limited to the following
recipients:
(1) caretakers who are required to participate in a job
search under subdivision 14;
(2) custodial parents who are subject to the school
attendance or case management participation requirements under
subdivision 3b;
(3) caretakers whose participation in employment and
training services began prior to May 1, 1990, if the caretaker's
AFDC eligibility has not been interrupted for 30 days or more
and the caretaker's employability development plan has not been
completed;
(4) recipients who are members of a family in which the
youngest child is within two years of being ineligible for AFDC
due to age;
(5) effective September 1, 1990, custodial parents under
the age of 22 who: (i) have not completed a high school
education and who, at the time of application for AFDC, were not
enrolled in high school or in a high school equivalency program;
or (ii) have had little or no work experience in the preceding
year;
(6) recipients who have received AFDC for 48 or more months
out of the last 60 months;
(7) recipients who are participants in the self-employment
investment demonstration project under section 268.95; and
(8) recipients who participate in the new chance research
and demonstration project under contract with the department of
human services.
(b) If the commissioner determines that participation of
persons listed in paragraph (a) in employment and training
services is insufficient either to meet federal performance
targets or to fully utilize funds appropriated under this
section, the commissioner may, after notifying the chairs of the
senate and house health and human services committees, the
health and human services division of the senate finance
committee, and the health and human services division of the
house appropriations committee, permit additional groups of
recipients to participate until the next meeting of the
legislative advisory commission, after which the additional
groups may continue to enroll for participation unless the
legislative advisory commission disapproves the continued
enrollment. The commissioner shall allow participation of
additional groups in the following order only as needed to meet
performance targets or fully utilize funding for employment and
training services under this section:
(1) recipients who have received at least 42 months of AFDC
out of the previous 60 months;
(2) custodial parents under the age of 24 who meet the
criteria in paragraph (a), clause (5), subclause (i) or (ii);
(3) recipients who have received at least 36 months of AFDC
out of the previous 60 months;
(4) recipients who have received 24 or more months of AFDC
out of the previous 48 months; and
(5) recipients who have not completed a high school
education or a high school equivalency program.
(c) To the extent of money appropriated specifically for
this paragraph, the commissioner may permit AFDC caretakers who
are not eligible for participation in employment and training
services under the provisions of paragraphs (a) or (b), to
participate. Money must be allocated to county agencies based
on the county's percentage of participants statewide in services
under this section in the prior calendar year. Counties must
provide equal or greater services to participants enrolled under
this paragraph, as measured in average per client expenditures,
as provided to other participants in employment and training
services under this section. Caretakers must be selected on a
first-come, first-served basis from a waiting list of caretakers
who volunteer to participate. The commissioner may, on a
quarterly basis, reallocate unused allocations to county
agencies that have sufficient volunteers. If funding under this
paragraph is discontinued in future fiscal years, caretakers who
began participating under this paragraph must be deemed eligible
under paragraph (a), clause (3).
Sec. 6. Minnesota Statutes 1989 Supplement, section
256.736, subdivision 3b, is amended to read:
Subd. 3b. [MANDATORY ASSESSMENT AND SCHOOL ATTENDANCE FOR
CERTAIN CUSTODIAL PARENTS.] This subdivision applies to the
extent permitted under federal law and regulation.
(a) [DEFINITIONS.] The definitions in this paragraph apply
to this subdivision.
(1) "Custodial parent" means a recipient of AFDC who is the
natural or adoptive parent of a child living with the custodial
parent.
(2) "School" means:
(i) an educational program which leads to a high school
diploma. The program or coursework may be, but is not limited
to, a program under the post-secondary enrollment options of
section 123.3514, a regular or alternative program of an
elementary or secondary school, a technical institute, or a
college;
(ii) coursework for a general educational development (GED)
diploma of not less than six hours of classroom instruction per
week; or
(iii) any other post-secondary educational program that is
approved by the public school or the local agency under
subdivision 11.
(b) [ASSESSMENT AND PLAN; REQUIREMENT; CONTENT.] The
county agency must examine the educational level of each
custodial parent under the age of 20 to determine if the
recipient has completed a high school education or its
equivalent. If the custodial parent has not completed a high
school education or its equivalent and is not exempt from the
requirement to attend school under paragraph (c), the county
agency must complete an individual assessment for the custodial
parent. The assessment must be performed as soon as possible
but within 60 days of determining AFDC eligibility for the
custodial parent. The assessment must provide an initial
examination of the custodial parent's educational progress and
needs, literacy level, child care and supportive service needs,
family circumstances, skills, and work experience. In the case
of a custodial parent under the age of 18, the assessment must
also consider the results of the early and periodic screening,
diagnosis and treatment (EPSDT) screening, if available, and the
effect of a child's development and educational needs on the
parent's ability to participate in the program. The county
agency must advise the parent that the parent's first goal must
be to complete an appropriate educational option if one is
identified for the parent through the assessment and, in
consultation with educational agencies, must review the various
school completion options with the parent and assist the parent
in selecting the most appropriate option.
(c) [RESPONSIBILITY FOR ASSESSMENT AND PLAN.] For
custodial parents who are under age 18, the assessment and the
employability plan must be completed by the county social
services agency, as specified in section 257.33. For custodial
parents who are age 18 or 19, the assessment and employability
plan must be completed by the case manager. The social services
agency or the case manager shall consult with representatives of
educational agencies required to assist in developing
educational plans under section 126.235.
(d) [EDUCATION DETERMINED TO BE APPROPRIATE.] If the case
manager or county social services agency identifies an
appropriate educational option, it must develop an employability
plan in consultation with the custodial parent which reflects
the assessment. The plan must specify that participation in an
educational activity is required, what school or educational
program is most appropriate, the services that will be provided,
the activities the parent will take part in including child care
and supportive services, the consequences to the custodial
parent for failing to participate or comply with the specified
requirements, and the right to appeal any adverse action. The
employability plan must, to the extent possible, reflect the
preferences of the participant.
(e) [EDUCATION DETERMINED TO BE NOT APPROPRIATE.] If the
case manager determines that there is no appropriate educational
option for a custodial parent who is age 18 or 19, the case
manager shall indicate the reasons for the determination. The
case manager shall then notify the county agency which must
refer the custodial parent to case management services under
subdivision 11 for completion of an employability plan and
services. If the custodial parent fails to participate or
cooperate with case management services and does not have good
cause for the failure, the county agency shall apply the
sanctions listed in subdivision 4, beginning with the first
payment month after issuance of notice. If the county social
services agency determines that school attendance is not
appropriate for a custodial parent under age 18, the county
agency shall refer the custodial parent to social services for
services as provided in section 257.33.
(f) [SCHOOL ATTENDANCE REQUIRED.] Notwithstanding
subdivision 3, a custodial parent must attend school if all of
the following apply:
(1) the custodial parent is less than 20 years of age;
(2) transportation services needed to enable the custodial
parent to attend school are available;
(3) licensed or legal nonlicensed child care services
needed to enable the custodial parent to attend school are
available;
(4) the custodial parent has not already received a high
school diploma or its equivalent; and
(5) the custodial parent is not exempt because the
custodial parent:
(i) is ill or incapacitated seriously enough to prevent him
or her from attending school;
(ii) is needed in the home because of the illness or
incapacity of another member of the household; this includes a
custodial parent of a child who is younger than six weeks of
age;
(iii) works 30 or more hours a week; or
(iv) is pregnant if it has been medically verified that the
child's birth is expected in the current month or within the
next six months.
(g) [ENROLLMENT AND ATTENDANCE.] The custodial parent must
be enrolled in school and meeting the school's attendance
requirements. The custodial parent is considered to be
attending when he or she is enrolled but the school is not in
regular session, including during holiday and summer breaks.
(h) [GOOD CAUSE FOR NOT ATTENDING SCHOOL.] The local
agency shall not impose the sanctions in subdivision 4 if it
determines that a custodial parent has good cause for not being
enrolled or for not meeting the school's attendance
requirements. The local agency shall determine whether good
cause for not attending or not enrolling in school exists,
according to this paragraph:
(1) Good cause exists when the local agency has verified
that the only available school program requires round trip
commuting time from the custodial parent's residence of more
than two hours by available means of transportation, excluding
the time necessary to transport children to and from child care.
(2) Good cause exists when the custodial parent has
indicated a desire to attend school, but the public school
system is not providing for his or her education and alternative
programs are not available.
(i) [FAILURE TO COMPLY.] The case manager and social
services agency shall establish ongoing contact with appropriate
school staff to monitor problems that custodial parents may have
in pursuing their educational plan and shall jointly seek
solutions to prevent parents from failing to complete
education. If the school notifies the local agency that the
custodial parent is not enrolled or is not meeting the school's
attendance requirements, or appears to be facing barriers to
completing education, the information must be conveyed to the
case manager for a custodial parent age 18 or 19, or to the
social services agency for a custodial parent under age 18. The
case manager or social services agency shall reassess the
appropriateness of school attendance as specified in paragraph
(f). If after consultation, school attendance is still
appropriate and the case manager or social services agency
determines that the custodial parent has failed to enroll or is
not meeting the school's attendance requirements and the
custodial parent does not have good cause, the case manager or
social services agency shall inform the custodial parent's
financial worker who shall apply the sanctions listed in
subdivision 4 beginning with the first payment month after
issuance of notice.
(j) [NOTICE AND HEARING.] A right to notice and fair
hearing shall be provided in accordance with section 256.045 and
the Code of Federal Regulations, title 45, section 205.10.
(k) [SOCIAL SERVICES.] When a custodial parent under the
age of 18 has failed to attend school, is not exempt, and does
not have good cause, the local agency shall refer the custodial
parent to the social services agency for services, as provided
in section 257.33.
(l) [VERIFICATION.] No less often than quarterly, the
financial worker must verify that the custodial parent is
meeting the requirements of this subdivision. Notwithstanding
section 13.32, subdivision 3, when the local agency notifies the
school that a custodial parent is subject to this subdivision,
the school must furnish verification of school enrollment,
attendance, and progress to the local agency. The county agency
must not impose the sanctions in paragraph (i) if the school
fails to cooperate in providing verification of the minor
parent's education, attendance, or progress.
Sec. 7. Minnesota Statutes 1989 Supplement, section
256.736, subdivision 4, is amended to read:
Subd. 4. [CONDITIONS OF CERTIFICATION.] The commissioner
of human services shall:
(1) Arrange for or provide any caretaker or child required
to participate in employment and training services pursuant to
this section with child-care services, transportation, and other
necessary family services;
(2) Provide that in determining a recipient's needs any
monthly incentive training payment made to the recipient by the
department of jobs and training is disregarded and the
additional expenses attributable to participation in a program
are taken into account in grant determination to the extent
permitted by federal regulation; and
(3) Provide that the county board shall impose the
sanctions in clause (4) when the county board:
(a) determines that a custodial parent under the age of 16
who is required to attend school under subdivision 3b has,
without good cause, failed to attend school; or
(b) determines that subdivision 3c applies to a minor
parent and the minor parent has, without good cause, failed to
cooperate with development of a social service plan or to
participate in execution of the plan, to live in a group or
foster home, or to participate in a program that teaches skills
in parenting and independent living; or
(c) determines that a caretaker has, without good cause,
failed to attend orientation.
(4) To the extent permissible by federal law, impose the
following sanctions for a recipient's failure to participate in
required education, orientation, or the requirements of
subdivision 3b or 3c:
(a) For the first failure, 50 percent of the grant provided
to the family for the month following the failure shall be made
in the form of protective or vendor payments;
(b) For the second and subsequent failures, the entire
grant provided to the family must be made in the form of
protective or vendor payments. Assistance provided to the
family must be in the form of protective or vendor payments
until the recipient complies with the requirement; and
(c) When protective payments are required, the local agency
may continue payments to the caretaker if a protective payee
cannot reasonably be found.;
(5) Provide that the county board shall impose the
sanctions in clause (6) when the county board:
(a) determines that a caretaker or child required to
participate in employment and training services has been found
by the employment and training service provider to have failed
without good cause to participate in appropriate employment and
training services or to have failed without good cause to
accept, through the job search program described in subdivision
14, or the community work experience program described in
section 256.737 provisions of an employability development plan
if the caretaker is a custodial parent age 18 or 19 and subject
to the requirements of subdivision 3b, a bona fide offer of
public or other employment; or
(b) determines that a custodial parent aged 16 to 19 who is
required to attend school under subdivision 3b has, without good
cause, failed to enroll or attend school.; or
(c) determines that a caretaker has, without good cause,
failed to attend orientation;
(6) To the extent required by federal law, the following
sanctions must be imposed impose the following sanctions for a
recipient's failure to participate in required employment and
training services, to accept a bona fide offer of public or
other employment, or to enroll or attend school under
subdivision 3b., or to attend orientation:
(a) For the first failure, the needs of the noncompliant
individual shall not be taken into account in making the grant
determination, until the individual complies with the
requirements.;
(b) For the second failure, the needs of the noncompliant
individual shall not be taken into account in making the grant
determination until the individual complies with the requirement
or for three consecutive months, whichever is longer.;
(c) For subsequent failures, the needs of the noncompliant
individual shall not be taken into account in making the grant
determination until the individual complies with the requirement
or for six consecutive months, whichever is longer.;
(d) Aid with respect to a dependent child will be denied if
a child who fails to participate is the only child receiving aid
in the family. who has been sanctioned under this paragraph
shall be continued for the parent or parents of the child if the
child is the only child receiving aid in the family, the child
continues to meet the conditions of section 256.73, and the
family is otherwise eligible for aid;
(e) If the noncompliant individual is a parent or other
relative caretaker, payments of aid for any dependent child in
the family must be made in the form of protective or vendor
payments. When protective payments are required, the county
agency may continue payments to the caretaker if a protective
payee cannot reasonably be found. When protective payments are
imposed on assistance units whose basis of eligibility is
unemployed parent or incapacitated parent, cash payments may
continue to the nonsanctioned caretaker in the assistance unit,
subject to clause (f). paragraph (g);
(f) If, after removing a caretaker's needs from the
grant, the standard of assistance applicable to the remaining
eligible members of the assistance unit is the standard that is
used in other instances in which the caretaker is excluded from
the assistance unit for noncompliance with a program requirement.
only dependent children remain eligible for AFDC, the standard
of assistance shall be computed using the special children
standard;
(f) (g) If the noncompliant individual is a parent or other
caretaker of principal wage earner in a family whose basis of
eligibility is the unemployment of a parent and the noncompliant
individual's spouse nonprincipal wage earner is not
participating in an approved employment and training service,
the needs of both the spouse principal and nonprincipal wage
earner must not be taken into account in making the grant
determination.; and
(7) Request approval from the secretary of health and human
services to use vendor payment sanctions for persons listed in
paragraph (5), clause (b). If approval is granted, the
commissioner must begin using vendor payment sanctions as soon
as changes to the state plan are approved.
Sec. 8. Minnesota Statutes 1989 Supplement, section
256.736, subdivision 10, is amended to read:
Subd. 10. [COUNTY DUTIES.] (a) To the extent of available
state appropriations, county boards shall:
(1) refer all priority mandatory and eligible volunteer
caretakers required to register under subdivision 3 to an
employment and training service provider for participation in
employment and training services;
(2) identify to the employment and training service
provider caretakers who fall into the priority groups;
(3) provide all caretakers with an orientation which meets
the requirements in subdivisions 10a and 10b;
(4) work with the employment and training service provider
to encourage voluntary participation by caretakers in the
priority groups;
(5) work with the employment and training service provider
to collect data as required by the commissioner;
(6) to the extent permissible under federal law, require
all caretakers coming into the AFDC program to attend
orientation;
(7) encourage nonpriority caretakers to develop a plan to
obtain self-sufficiency;
(8) notify the commissioner of the caretakers required to
participate in employment and training services;
(9) inform appropriate caretakers of opportunities
available through the head start program and encourage
caretakers to have their children screened for enrollment in the
program where appropriate;
(10) provide transportation assistance using the employment
special needs fund or other available funds to caretakers who
participate in employment and training programs, with priority
for services to caretakers in priority groups;
(11) ensure that orientation, employment job search,
services to custodial parents under the age of 20, and case
management services are made available to appropriate caretakers
under this section, except that payment for case management
services is governed by subdivision 13;
(12) explain in its local service unit plan under section
268.88 how it will ensure that priority caretakers determined to
be in need of social services are provided with such social
services. The plan must specify how the case manager and the
county social service workers will ensure delivery of needed
services;
(13) to the extent allowed by federal laws and regulations,
provide a job search program as defined in subdivision 14 and at
least one of the following employment and training services:
community work experience program (CWEP) as defined in section
256.737, grant diversion as defined in section 268.86 256.739,
on-the-job training as defined in section 256.738, or another
work and training program approved by the commissioner and the
secretary of the United States Department of Health and Human
Services. Planning and approval for employment and training
services listed in this clause must be obtained through
submission of the local service unit plan as specified under
section 268.88. Each county is urged to adopt grant diversion
as the second program required under this clause;
(14) prior to participation, provide an assessment of each
AFDC recipient who is required or volunteers to participate
in one of the an approved employment and training services
specified in clause (13) service, including job search, and to
recipients who volunteer for participation in case management
under subdivision 11. The assessment must include an evaluation
of the participant's (i) educational, child care, and other
supportive service needs; (ii) skills and prior work experience;
and (iii) ability to secure and retain a job which, when wages
are added to child support, will support the participant's
family. The assessment must also include a review of the
results of the early and periodic screening, diagnosis and
treatment (EPSDT) screening and preschool screening under
chapter 123, if available; the participant's family
circumstances; and, in the case of a custodial parent under the
age of 18, a review of the effect of a child's development and
educational needs on the parent's ability to participate in the
program;
(15) develop an employability development plan for each
recipient for whom an assessment is required under clause (14)
which: (i) reflects the assessment required by clause 14; (ii)
takes into consideration the recipient's physical capacity,
skills, experience, health and safety, family responsibilities,
place of residence, proficiency, child care and other supportive
service needs; (iii) is based on available resources and local
employment opportunities; (iv) specifies the services to be
provided by the employment and training service provider; (v)
specifies the activities the recipient will participate in; (vi)
specifies necessary supportive services such as child care;
(vii) to the extent possible, reflects the preferences of the
participant; and (viii) specifies the recipient's long-term
employment goal which shall lead to self-sufficiency; and
(16) assure that no work assignment under this section or
sections 256.737 and, 256.738, and 256.739 results in: (i)
termination, layoff, or reduction of the work hours of an
employee for the purpose of hiring an individual under this
section or sections 256.737 and, 256.738, and 256.739; (ii) the
hiring of an individual if any other person is on layoff from
the same or a substantially equivalent job; (iii) any
infringement of the promotional opportunities of any currently
employed individual; (iv) the impairment of existing contracts
for services or collective bargaining agreements; or (v) except
for on-the-job training under section 256.738, a participant
filling an established unfilled position vacancy.
(b) Funds available under this subdivision may not be used
to assist, promote, or deter union organizing.
(c) A county board may provide other employment and
training services that it considers necessary to help caretakers
obtain self-sufficiency.
(d) Notwithstanding section 256G.07, when a priority
caretaker relocates to another county to implement the
provisions of the caretaker's case management contract or other
written employability development plan approved by the county
human service agency or, its case manager or employment and
training service provider, the county that approved the plan is
responsible for the costs of case management, child care, and
other services required to carry out the plan, including
employment and training services. The county agency's
responsibility for the costs ends when all plan obligations have
been met, when the caretaker loses AFDC eligibility for at least
30 days, or when approval of the plan is withdrawn for a reason
stated in the plan, whichever occurs first. Responsibility for
the costs of child care must be determined under chapter 256H.
A county human service agency may pay for the costs of case
management, child care, and other services required in an
approved employability development plan when the nonpriority
caretaker relocates to another county or when a priority
caretaker again becomes eligible for AFDC after having been
ineligible for at least 30 days.
Sec. 9. Minnesota Statutes 1989 Supplement, section
256.736, subdivision 10a, is amended to read:
Subd. 10a. [ORIENTATION.] (a) Each county agency must
provide an orientation to all caretakers within its jurisdiction
who are determined eligible for AFDC on or after July 1, 1989,
and who are required to attend an orientation. The county
agency shall require attendance at orientation of all caretakers
except those who are:
(1) physically disabled, mentally ill, or developmentally
disabled and whose condition has or is expected to continue for
at least 90 days and will prevent participation in educational
programs or employment and training services;
(2) aged 60 or older;
(3) currently employed in unsubsidized employment that is
expected to continue at least 30 days and that provides an
average of at least 30 hours of employment per week; or
(4) currently employed in subsidized employment that is
expected to continue at least 30 days and that provides an
average of at least 30 hours of employment per week and is
expected to result in full-time permanent employment.
(1) caretakers who are exempt from registration under
subdivision 3; and
(2) caretakers who are not a member of one of the groups
listed in subdivision 3a, paragraph (a), and who are either
responsible for the care of an incapacitated person or a
dependent child under the age of six or enrolled at least half
time in any recognized school, training program, or institution
of higher learning. The county agency shall require attendance
at orientation of caretakers described in subdivision 3a,
paragraph (b), of this section if they become eligible for
participation in employment and training services.
(b) Except as provided in paragraph (e) below, the
orientation must consist of a presentation that informs
caretakers of:
(1) the identity, location, and phone numbers of employment
and training and support services available in the county;
(2) the types and locations of child care services
available through the county agency that are accessible to
enable a caretaker to participate in educational programs or
employment and training services;
(3) the availability of assistance for participants to help
select appropriate child care services and that, on request,
assistance will be provided to select appropriate child care
services child care resource and referral program designated by
the commissioner providing education and assistance to select
child care services and a referral to the child care resource
and referral when assistance is requested;
(4) the obligations of the county agency and service
providers under contract to the county agency;
(5) the rights, responsibilities, and obligations of
participants;
(6) the grounds for exemption from mandatory employment and
training services or educational requirements;
(7) the consequences for failure to participate in
mandatory services or requirements;
(8) the method of entering educational programs or
employment and training services available through the county;
and
(9) the availability and the benefits of the early and
periodic, screening, diagnosis and treatment (EPSDT) program and
preschool screening under chapter 123;
(10) their eligibility for transition year child care
assistance when they lose eligibility for AFDC due to their
earnings; and
(11) their eligibility for extended medical assistance when
they lose eligibility for AFDC due to their earnings.
(c) Orientation must encourage recipients to view AFDC as a
temporary program providing grants and services to individuals
who set goals and develop strategies for supporting their
families without AFDC assistance. The content of the
orientation must not imply that a recipient's eligibility for
AFDC is time limited. Orientation may be provided through
audio-visual methods, but the caretaker must be given an
opportunity for face-to-face interaction with staff of the
county agency or the entity providing the orientation, and an
opportunity to express the desire to participate in educational
programs and employment and training services offered through
the county agency.
(d) County agencies shall not require caretakers to attend
orientation for more than three hours during any period of 12
continuous months. The local agency shall also arrange for or
provide needed transportation and child care to enable
caretakers to attend.
(e) Orientation for caretakers not eligible for
participation in employment and training services under the
provisions of subdivision 3a, paragraphs (a) and (b) shall
present information only on those employment, training, and
support services available to those caretakers, and information
on clauses (2), (3), (9), (10), and (11) of paragraph (a) and
all of paragraph (c), and may not last more than two hours.
(f) Persons required to attend orientation must be informed
of the penalties for failure to attend orientation, support
services to enable the person to attend, what constitutes good
cause for failure to attend, and rights to appeal. Persons
required to attend orientation must be offered a choice of at
least two dates for their first scheduled orientation. No
person may be sanctioned for failure to attend orientation until
after a second failure to attend.
Sec. 10. Minnesota Statutes 1989 Supplement, section
256.736, subdivision 11, is amended to read:
Subd. 11. [CASE MANAGEMENT SERVICES.] (a) For clients
described in subdivision 2a, the case manager shall: The county
agency may, to the extent of available resources, enroll
priority caretakers described in subdivision 16 in case
management services and for those enrolled shall:
(1) Provide an assessment as described in subdivision 10,
paragraph (a), clause (14). As part of the assessment, the case
manager shall inform caretakers of the screenings available
through the early periodic screening, diagnosis and treatment
(EPSDT) program under chapter 256B and preschool screening under
chapter 123, and encourage caretakers to have their children
screened. The case manager must work with the caretaker in
completing this task;
(2) Develop an employability development plan as described
in subdivision 10, paragraph (a), clause (15). The case manager
must work with the caretaker in completing this task. For
caretakers who are not literate or who have not completed high
school, the first goal for the caretaker should be to complete
literacy training or a general equivalency diploma. Caretakers
who are literate and have completed high school shall be
counseled to set realistic attainable goals, taking into account
the long-term needs of both the caretaker and the caretaker's
family;
(3) Coordinate services such as child care, transportation,
and education assistance necessary to enable the caretaker to
work toward the goals developed in clause (2). The case manager
shall refer caretakers to resource and referral services, if
available, and shall assist caretakers in securing appropriate
child care services. When a client needs child care services in
order to attend a Minnesota public or nonprofit college,
university or technical institute, the case manager shall
contact the appropriate agency to reserve child care funds for
the client. A caretaker who needs child care services in order
to complete high school or a general equivalency diploma is
eligible for child care under section 268.91;
(4) Develop, execute, and monitor a contract between the
local agency and the caretaker. The contract must be based upon
the employability development plan described in subdivision 10,
paragraph (a), clause (15), and but must be a separate
document. It must include: (a) specific goals of the caretaker
including stated measurements of progress toward each goal, the
estimated length of participation in the program, and the number
of hours of participation per week; (b) specific educational,
training, and employment activities and support services
provided by the county agency, including child care; and (c) the
participant's obligations and the conditions under which the
county will withdraw the services provided;
The contract must be signed and dated by the case manager
and participant, and may include other terms as desired or
needed by either party. In all cases, however, the case manager
must assist the participant in reviewing and understanding the
contract, and must ensure that the caretaker has set forth in
the contract realistic goals consistent with the ultimate goal
of self-sufficiency for the caretaker's family; and
(5) Develop and refer caretakers to counseling or peer
group networks for emotional support while participating in
work, education, or training.
(b) In addition to the duties in paragraph (a), for minor
parents and pregnant minors, the case manager shall:
(1) Ensure that the contract developed under paragraph (a),
clause (4), considers all factors set forth in section 257.33,
subdivision 2;
(2) Assess the housing and support systems needed by the
caretaker in order to provide the dependent children with
adequate parenting. The case manager shall encourage minor
parents and pregnant minors who are not living with friends or
relatives to live in a group home or foster care setting. If
minor parents and pregnant minors are unwilling to live in a
group home or foster care setting or if no group home or foster
care setting is available, the case manager shall assess their
need for training in parenting and independent living skills and
when appropriate shall refer them to available counseling
programs designed to teach needed skills; and
(3) Inform minor parents or pregnant minors of, and assist
them in evaluating the appropriateness of, the high school
graduation incentives program under section 126.22, including
post-secondary enrollment options, and the employment-related
and community-based instruction programs.
(c) A caretaker may request a conciliation conference to
attempt to resolve disputes regarding the contents of a contract
developed under this section or a housing and support systems
assessment conducted under this section. The caretaker may
request a hearing pursuant to section 256.045 to dispute the
contents of a contract or assessment developed under this
section. The caretaker need not request a conciliation
conference in order to request a hearing pursuant to section
256.045.
Sec. 11. Minnesota Statutes 1989 Supplement, section
256.736, subdivision 14, is amended to read:
Subd. 14. [JOB SEARCH.] (a) The commissioner of human
services shall establish a job search program under Public Law
Number 100-485. Unless exempt, the principal wage earner in an
AFDC-UP assistance unit must be referred to and must begin
participation in the job search program within 30 days of being
determined eligible for AFDC, and must begin participation
within four months of being determined eligible for AFDC-UP
unless. The principal wage earner is exempt from job search
participation if:
(1) the caretaker is already participating in another
approved employment and training service;
(2) the caretaker's employability plan specifies other
activities;
(3) the caretaker is exempt from registration under
subdivision 3; or
(4) the caretaker is unable to secure employment due to
inability to communicate in the English language, is
participating in an English as a second language course, and is
making satisfactory progress towards completion of the course.
If an English as a second language course is not available to
the caretaker, the caretaker is exempt from participation until
a course becomes available.
(b) The job search program must provide the following
services:
(1) an initial period of up to four weeks of job search
activities for not more than 32 hours per week. The employment
and training service provider shall specify for each
participating caretaker the number of weeks and hours of job
search to be conducted and shall report to the county board if
the caretaker fails to cooperate with the employment job search
requirement; and
(2) an additional period of job search following the first
period at the discretion of the employment and training service
provider. The total of these two periods of job search may not
exceed eight weeks for any 12 consecutive month period beginning
with the month of application.
(c) The employment job search program may provide services
to non-AFDC-UP caretakers.
Sec. 12. Minnesota Statutes 1989 Supplement, section
256.736, subdivision 16, is amended to read:
Subd. 16. [ALLOCATION AND USE OF MONEY.] (a) State money
appropriated for employment and training services under this
section must be allocated to counties as follows: as specified
in paragraphs (b) to (i).
(b) For purposes of this section, "priority caretaker"
means a recipient who:
(1) is a custodial parent under the age of 24 who: (i) has
not completed a high school education and at the time of
application for AFDC is not enrolled in high school or in a high
school equivalency program; or (ii) had little or no work
experience in the preceding year;
(2) is a member of a family in which the youngest child is
within two years of being ineligible for AFDC due to age; or
(3) has received 36 months or more of AFDC over the last 60
months.
(c) One hundred percent of the money appropriated for case
management services as described in subdivision 11 must be
allocated to counties based on the average number of cases in
each county described in clause (1). Money appropriated for
employment and training services as described in subdivision 1a,
paragraph (d), other than case management services, must be
allocated to counties as follows:
(1) Forty percent of the state money must be allocated
based on the average monthly number of caretakers cases
receiving AFDC in the county who are under age 21 and the
average monthly number of AFDC cases open in the county for 24
or more consecutive months and residing in the county for the
12-month period ending December 31 of the previous fiscal
year which either have been open for 36 or more consecutive
months or have a caretaker who is under age 24 and who has no
high school or general equivalency diploma. The average number
of cases must be based on counts of these cases as of March 31,
June 30, September 30, and December 31 of the previous year.
(2) Twenty percent of the state money must be allocated
based on the average monthly number of nonpriority caretakers
cases receiving AFDC in the county for the period ending
December 31 of the previous fiscal year which are not counted
under clause (1). The average number of cases must be based on
counts of cases as of March 31, June 30, September 30, and
December 31 of the previous year. Funds may be used to develop
employability plans for nonpriority caretakers if resources
allow.
(3) Twenty-five percent of the state money must be
allocated based on the average monthly number of assistance
units in the county receiving AFDC-UP for the period ending
December 31 of the previous fiscal year.
(4) Fifteen percent of the state money must be allocated at
the discretion of the commissioner based on participation levels
for priority group members in each county.
(b) (d) No more than 15 percent of the money allocated
under paragraph (a) (b) and no more than 15 percent of the money
allocated under paragraph (c) may be used for administrative
activities.
(c) Except as provided in paragraph (d), (e) At least 70 55
percent of the money allocated to counties under clause (c) must
be used for case management services and employment and training
services for caretakers in the priority groups., and up to 30 45
percent of the money may be used for employment search
activities and employment and training services for nonpriority
caretakers. One hundred percent of the money allocated to
counties for case management services must be used to provide
those services to caretakers in the priority groups.
(d) A county having a high proportion of nonpriority
caretakers that interferes with the county's ability to meet the
70 percent spending requirement of paragraph (c) may, with the
approval of the commissioner of human services, use up to 40
percent of the money allocated under this section for
orientation and employment and training services for nonpriority
caretakers.
(e) (f) Money appropriated to cover the nonfederal share of
costs for bilingual case management services to refugees for the
employment and training programs under this section are
allocated to counties based on each county's proportion of the
total statewide number of AFDC refugee cases. However, counties
with less than one percent of the statewide number of AFDC
refugee cases do not receive an allocation.
(f) (g) Counties and the department of jobs and training
shall bill the commissioner of human services for any
expenditures incurred by the county, the county's employment and
training service provider, or the department of jobs and
training that may be reimbursed by federal money. The
commissioner of human services shall bill the United States
Department of Health and Human Services and the United States
Department of Agriculture for the reimbursement and appropriate
the reimbursed money to the county, the department of jobs and
training, or employment and training service provider that
submitted the original bill. The reimbursed money must be used
to expand employment and training services.
(g) (h) The commissioner of human services shall review
county expenditures of case management and employment and
training block grant money at the end of the fourth quarter of
the biennium and each quarter after that, and may reallocate
unencumbered or unexpended money allocated under this section to
those counties that can demonstrate a need for additional
money. Reallocation of funds must be based on the formula set
forth in paragraph (a), excluding the counties that have not
demonstrated a need for additional funds.
(i) The county agency may continue to provide case
management and supportive services to a participant for up to 90
days after the participant loses AFDC eligibility, and may
continue providing a specific employment and training service
for the duration of that service to a participant if funds for
the service are obligated or expended prior to the participant
losing AFDC eligibility.
Sec. 13. Minnesota Statutes 1989 Supplement, section
256.736, subdivision 18, is amended to read:
Subd. 18. [PROGRAM OPERATION BY INDIAN TRIBES.] (a) The
commissioner may enter into agreements with any federally
recognized Indian tribe with a reservation in the state to
provide employment and training programs under this section to
members of the Indian tribe receiving AFDC. For purposes of
this section, "Indian tribe" means a tribe, band, nation, or
other organized group or community of Indians that is recognized
as eligible for the special programs and services provided by
the United States to Indians because of their status as Indians;
and for which a reservation exists as is consistent with Public
Law Number 100-485, as amended.
(b) Agreements entered into under this subdivision must
require the governing body of the Indian tribe to fulfill all
county responsibilities required under this section in operation
of the employment and training services covered by the contract,
excluding the county share of costs in subdivision 13 and any
county function related to AFDC eligibility determination or
grant payment. The commissioner may enter into an agreement
with a consortium of Indian tribes providing the governing body
of each Indian tribe in the consortium agrees to these
conditions.
(c) Agreements entered into under this subdivision must
require the Indian tribe to operate the employment and training
services within a geographic service area not to exceed the
counties within which a border of the reservation falls. Indian
tribes may also operate services in Hennepin and Ramsey counties
or other geographic areas as approved by the commissioner of
human services in consultation with the commissioner of jobs and
training.
(d) Agreements entered into under this section must require
the Indian tribe to operate a federal jobs program under Public
Law Number 100-485, section 482(i).
(e) Agreements entered into under this section must require
conformity with section 13.46 and any applicable federal
regulations in the use of data about AFDC recipients.
(f) Agreements entered into under this section must require
financial and program participant activity record keeping and
reporting in the manner and using the forms and procedures
specified by the commissioner and that federal reimbursement
received must be used to expand operation of the employment and
training services.
(g) Agreements entered into under this section must require
that the Indian tribe coordinate operation of the programs with
county employment and training programs, Indian Job Training
Partnership Act programs, and educational programs in the
counties in which the tribal unit's program operates.
(h) Agreements entered into under this section must require
the Indian tribe to allow inspection of program operations and
records by representatives of the department.
(i) Agreements entered into under this subdivision must
require the Indian tribe to contract with an have its employment
and training service provider certified by the commissioner of
jobs and training for operation of the programs, or become
certified itself.
(j) Agreements entered into under this subdivision must
require the Indian tribe to specify a starting date for each
program with a procedure to enable tribal members participating
in county-operated employment and training services to make the
transition to the program operated by the tribal unit. Programs
must begin on the first day of a month specified by the
agreement.
(k) If the commissioner and Indian tribe enter into an
agreement, the commissioner, after consulting with the
commissioner of jobs and training regarding tribal plan status,
may immediately reallocate county case management and employment
and training block grant money from the counties in the Indian
tribe's service area to the Indian tribe, prorating each
county's annual allocations according to that percentage of the
number of adult tribal unit members receiving AFDC residing in
the county compared to the total number of adult AFDC recipients
residing in the county and also prorating the annual allocation
according to the month in which the Indian tribe program
starts. If the Indian tribe cancels the agreement or fails, in
the commissioner's judgment, to fulfill any requirement of the
agreement, the commissioner shall reallocate money back to the
counties in the Indian tribe's service area.
(l) Indian tribe members receiving AFDC and residing in the
service area of an Indian tribe operating employment and
training services under an agreement with the commissioner must
be referred by county agencies in the service area to the Indian
tribe for employment and training services.
(m) The Indian tribe shall bill the commissioner of human
services for services performed under the contract. The
commissioner shall bill the United States Department of Health
and Human Services for reimbursement. Federal receipts are
appropriated to the commissioner to be provided to the Indian
tribe that submitted the original bill.
Sec. 14. Minnesota Statutes 1988, section 256.7365,
subdivision 2, is amended to read:
Subd. 2. [DEFINITIONS.] For the purpose of this section,
the following terms have the meanings given them.
(a) "Substantial barriers to employment" means
disabilities, chemical dependency, having children with
disabilities, lack of a high school degree, lack of a marketable
occupational skill, three or more children, or lack of regular
work experience in the previous five years.
(b) "Case management" means case management as defined in
section 256.736, subdivision 11.
Sec. 15. Minnesota Statutes 1989 Supplement, section
256.737, subdivision 1, is amended to read:
Subdivision 1. [ESTABLISHMENT AND PURPOSE.] In order that
persons receiving aid under this chapter may be assisted in
achieving self-sufficiency by enhancing their employability
through meaningful work experience and training and the
development of job search skills, the commissioner of human
services shall continue the pilot community work experience
demonstration programs that were approved by January 1, 1984.
The commissioner may establish additional community work
experience programs in as many counties as necessary to comply
with the participation requirements of the Family Support Act of
1988, Public Law Number 100-485. Programs established on or
after July 1, 1989, must be operated on a volunteer basis, and
must be operated according to the Family Support Act of 1988,
Public Law Number 100-485.
Sec. 16. Minnesota Statutes 1989 Supplement, section
256.737, subdivision 1a, is amended to read:
Subd. 1a. [COMMISSIONER'S DUTIES.] The commissioner shall:
(a) assist counties in the design and implementation of these
programs; (b) promulgate, in accordance with chapter 14,
emergency rules necessary for the implementation of this
section, except that the time restrictions of section 14.35
shall not apply and the rules may be in effect until June 30,
1990 1993, unless superseded by permanent rules; (c) seek any
federal waivers necessary for proper implementation of this
section in accordance with federal law; and (d) prohibit the use
of participants in the programs to do work that was part or all
of the duties or responsibilities of an authorized public
employee position established as of January 1, 1989. The
exclusive bargaining representative shall be notified no less
than 14 days in advance of any placement by the community work
experience program. Concurrence with respect to job duties of
persons placed under the community work experience program shall
be obtained from the appropriate exclusive bargaining
representative. The appropriate oversight committee shall be
given monthly lists of all job placements under a community work
experience program.
Sec. 17. Minnesota Statutes 1989 Supplement, section
256.737, subdivision 2, is amended to read:
Subd. 2. [PROGRAM REQUIREMENTS.] (a) Programs under this
section are limited to projects that serve a useful public
service such as: health, social service, environmental
protection, education, urban and rural development and
redevelopment, welfare, recreation, public facilities, public
safety and child care. To the extent possible, the prior
training, skills, and experience of a recipient must be used in
making appropriate work experience assignments.
(b) As a condition to placing a person receiving aid to
families with dependent children in a program under this
subdivision, the county agency shall first provide the recipient
the opportunity to participate in the following services:
(1) placement in suitable subsidized or unsubsidized
employment through participation in job search under section
256.736, subdivision 14; or
(2) basic educational or vocational or occupational
training for an identifiable job opportunity.
(c) If the A recipient refuses who has completed a job
search under section 256.736, subdivision 14, who is unable to
secure suitable employment, and a who is not enrolled in an
approved training program, the county agency may, subject to
subdivision 1, require the recipient to participate in a
community work experience program as a condition of eligibility.
(d) The county agency shall limit the maximum number of
hours any participant under this section may be required to work
in any month to a number equal to the amount of the aid to
families with dependent children payable to the family divided
by the greater of the federal minimum wage or the applicable
state minimum wage.
(e) After a participant has been assigned to a position
under this section for nine months, the participant may not be
required to continue in that assignment unless the maximum
number of hours a participant is required to work works is no
greater than the amount of the aid to families with dependent
children payable with respect to the family divided by the
higher of (1) the federal minimum wage or the applicable state
minimum wage, whichever is greater, or (2) the rate of pay for
individuals employed in the same or similar occupations by the
same employer at the same site.
(f) After each six months of a recipient's participation in
an assignment, and at the conclusion of each assignment under
this section., the county agency shall reassess and revise, as
appropriate, each participant's employability development plan.
(g) The county agency shall apply the grant reduction
sanctions specified in section 256.736, subdivision 4, clause
(6), when it is determined that a mandatory participant has
failed, without good cause, to participate in the program.
Sec. 18. [256.739] [GRANT DIVERSION.]
(a) County agencies may, according to section 256.736,
subdivision 10, develop grant diversion programs that permit
voluntary participation by AFDC recipients. A county agency
that chooses to provide grant diversion as one of its optional
employment and training services may divert to an employer part
or all of the AFDC payment for the participant's assistance
unit, in compliance with federal regulations and laws. Such
payments to an employer are to subsidize employment for AFDC
recipients as an alternative to public assistance payments.
(b) County agencies shall limit the length of training to
nine months. Placement in a grant diversion training position
with an employer is for the purpose of training and employment
with the same employer, who has agreed to retain the person upon
satisfactory completion of training.
(c) Placement of any recipient in a grant diversion
subsidized training position must be compatible with the
assessment and employability development plan established for
the recipient under section 256.736, subdivision 10, paragraph
(a), clauses (14) and (15).
(d) No grant diversion participant may be assigned to fill
any established, unfilled position vacancy with an employer.
(e) In addition to diverting the AFDC grant to the
employer, employment and training block grant funds may be used
to subsidize the grant diversion placement.
Sec. 19. Minnesota Statutes 1988, section 256.81, is
amended to read:
256.81 [COUNTY AGENCY, DUTIES.]
(1) The county agency shall keep such records, accounts,
and statistics in relation to aid to families with dependent
children as the state agency shall prescribe.
(2) Each grant of aid to families with dependent children
shall be paid to the recipient by the county agency unless paid
by the state agency. Payment must be by check or electronic
means except in those instances in which the county agency,
subject to the rules of the state agency, determines that
payments for care shall be made to an individual other than the
parent or relative with whom the dependent child is living or to
vendors of goods and services for the benefit of the child
because such parent or relative is unable to properly manage the
funds in the best interests and welfare of the child. At the
request of a recipient, the state or county may make payments
directly to vendors of goods and services, but only for goods
and services appropriate to maintain the health and safety of
the child, as determined by the county.
(3) The county shall be paid from state and federal funds
available therefor the amount provided for in section 256.82.
(4) Federal funds available for administrative purposes
shall be distributed between the state and the counties in the
same proportion that expenditures were made except as provided
for in section 256.017.
Sec. 20. Minnesota Statutes 1989 Supplement, section
256D.01, subdivision 1a, is amended to read:
Subd. 1a. [STANDARDS.] (a) A principal objective in
providing general assistance is to provide for persons
ineligible for federal programs who are unable to provide for
themselves. The minimum standard of assistance determines the
total amount of the general assistance grant without separate
standards for shelter, utilities, or other needs.
(b) The commissioner shall set the standard of assistance
for an assistance unit consisting of an adult recipient who is
childless and unmarried or living apart from children and spouse
and who does not live with a parent or parents or a legal
custodian. When the other standards specified in this
subdivision increase, this standard must also be increased by
the same percentage.
(c) For an assistance unit consisting of a single adult who
lives with a parent or parents, the general assistance standard
of assistance is the amount that the aid to families with
dependent children standard of assistance would increase if the
recipient were added as an additional minor child to an
assistance unit consisting of the recipient's parent and all of
that parent's family members, except that the standard may not
exceed the standard for a general assistance recipient living
alone. Benefits received by a responsible relative of the
assistance unit under the supplemental security income program,
a workers' compensation program, the Minnesota supplemental aid
program, or any other program based on the responsible
relative's disability, and any benefits received by a
responsible relative of the assistance unit under the social
security retirement program, may not be counted in the
determination of eligibility or benefit level for the assistance
unit. Except as provided below, the assistance unit is
ineligible for general assistance if the available resources or
the countable income of the assistance unit and the parent or
parents with whom the assistance unit lives are such that a
family consisting of the assistance unit's parent or parents,
the parent or parents' other family members and the assistance
unit as the only or additional minor child would be financially
ineligible for general assistance. For the purposes of
calculating the countable income of the assistance unit's parent
or parents, the calculation methods, income deductions,
exclusions, and disregards used when calculating the countable
income for a single adult or childless couple must be used.
(d) For an assistance unit consisting of a childless
couple, the standards of assistance are the same as the first
and second adult standards of the aid to families with dependent
children program. If one member of the couple is not included
in the general assistance grant, the standard of assistance for
the other is the second adult standard of the aid to families
with dependent children program.
(e) For an assistance unit consisting of all members of a
family, the standards of assistance are the same as the
standards of assistance that apply to a family under the aid to
families with dependent children program if that family had the
same number of parents and children as the assistance unit under
general assistance and if all members of that family were
eligible for the aid to families with dependent children
program. If one or more members of the family are not included
in the assistance unit for general assistance, the standards of
assistance for the remaining members are the same as the
standards of assistance that apply to an assistance unit
composed of the entire family, less the standards of assistance
for a family of the same number of parents and children as those
members of the family who are not in the assistance unit for
general assistance. However, if an assistance unit consists
solely of the minor children because their parent or parents
have been sanctioned from receiving benefits from the aid to
families with dependent children program, the standard for the
assistance unit is the same as the special child standard of the
aid to families with dependent children program. In no case
shall the standard for family members who are in the assistance
unit for general assistance, when combined with the standard for
family members who are not in the general assistance unit, total
more than the standard for the entire family if all members were
in an AFDC assistance unit. A child may not be excluded from
the assistance unit unless income intended for its benefit is
received from a federally aided categorical assistance program
or supplemental security income. The income of a child who is
excluded from the assistance unit may not be counted in the
determination of eligibility or benefit level for the assistance
unit.
(f) An assistance unit consisting of one or more members of
a family must have its grant determined using the policies and
procedures of the aid to families with dependent children
program. However, the standard of assistance must be determined
according to paragraph (e), the first $50 of total child support
received by an assistance unit in a month must be excluded and
the balance counted as unearned income, and nonrecurring lump
sums received by the family must be considered income in the
month received and a resource in the following months.
Sec. 21. Minnesota Statutes 1988, section 256D.01, is
amended by adding a subdivision to read:
Subd. 1e. [RULES REGARDING EMERGENCY ASSISTANCE.] In order
to maximize the use of federal funds, the commissioner shall
adopt rules, to the extent permitted by federal law, for
eligibility for the emergency assistance program under aid to
families with dependent children, and under the terms of
sections 256D.01 to 256D.21 for general assistance, to require
use of the emergency program under aid to families with
dependent children as the primary financial resource when
available. The commissioner shall adopt rules for eligibility
for general assistance of persons with seasonal income and may
attribute seasonal income to other periods not in excess of one
year from receipt by an applicant or recipient. General
assistance payments may not be made for foster care, child
welfare services, or other social services. Vendor payments and
vouchers may be issued only as authorized in sections 256D.05,
subdivision 6, and 256D.09.
Sec. 22. Minnesota Statutes 1988, section 256D.02,
subdivision 5, is amended to read:
Subd. 5. "Family" means the following persons who live
together: a minor child or a group of minor children related to
each other as siblings, half siblings, or stepsiblings, together
with their natural or adoptive parents, their stepparents, or
their legal custodians, and any other minor children of whom an
adult member of the family is a legal custodian. applicant or
recipient and the following persons who reside with the
applicant or recipient:
(1) the applicant's spouse;
(2) any minor child of whom the applicant is a parent,
stepparent, or legal custodian, and that child's minor siblings,
including half-siblings and step-siblings;
(3) the other parent of the applicant's minor child or
children together with that parent's minor children, and, if
that parent is a minor, his or her parents, stepparents, legal
guardians, and minor siblings; and
(4) if the applicant or recipient is a minor, the minor's
parents, stepparents, or legal guardians, and any other minor
children for whom those parents, stepparents, or legal guardians
are financially responsible.
A "family" must contain at least one minor child and at
least one of that child's natural or adoptive parents,
stepparents, or legal custodians.
Sec. 23. Minnesota Statutes 1988, section 256D.02,
subdivision 8, is amended to read:
Subd. 8. "Income" means any form of income, including
remuneration for services performed as an employee and net
earnings from self-employment, reduced by the amount
attributable to employment expenses as defined by the
commissioner. The amount attributable to employment expenses
shall include amounts paid or withheld for federal and state
personal income taxes and federal social security taxes.
"Income" includes any payments received as an annuity,
retirement, or disability benefit, including veteran's or
workers' compensation; old age, survivors, and disability
insurance; railroad retirement benefits; unemployment benefits;
and benefits under any federally aided categorical assistance
program, supplementary security income, or other assistance
program; rents, dividends, interest and royalties; and support
and maintenance payments. Such payments may not be considered
as available to meet the needs of any person other than the
person for whose benefit they are received, unless that person
is a family member or a spouse and the income is not excluded
under section 256D.01, subdivision 1a. Goods and services
provided in lieu of cash payment shall be excluded from the
definition of income, except that payments made for room, board,
tuition or fees by a parent, on behalf of a child enrolled as a
full-time student in a post-secondary institution, and payments
made on behalf of an applicant or recipient which the applicant
or recipient could legally require to be paid in cash to himself
or herself, must be included as income.
Sec. 24. Minnesota Statutes 1988, section 256D.02,
subdivision 12, is amended to read:
Subd. 12. "Local County agency" means the agency
designated by the county board of commissioners, human services
boards, county welfare boards in the several counties of the
state or multicounty welfare boards or departments where those
have been established in accordance with law.
Sec. 25. Minnesota Statutes Second 1989 Supplement,
section 256D.03, subdivision 2, is amended to read:
Subd. 2. After December 31, 1980, state aid shall be paid
to local agencies for 75 percent of all general assistance and
work readiness grants up to the standards of sections 256D.01,
subdivision 1a, and 256D.051, and according to procedures
established by the commissioner, except as provided for under
section 256.017 and except that, after December 31, 1987 until
January 1, 1991, state aid is reduced to 65 percent of all work
readiness assistance if the local agency does not make
occupational or vocational literacy training available and
accessible to recipients who are eligible for assistance under
section 256D.051.
After December 31, 1986, state aid must be paid to local
agencies for 65 percent of work readiness assistance paid under
section 256D.051 if the county does not have an approved and
operating community investment program.
Beginning July 1, 1991, the state will reimburse counties
according to the payment schedule in section 256.025 for the
county share of local agency expenditures made under this
subdivision from January 1, 1991, on. Payment to counties under
this subdivision is subject to the provisions of section 256.017.
Sec. 26. Minnesota Statutes 1989 Supplement, section
256D.051, subdivision 1a, is amended to read:
Subd. 1a. [WORK READINESS PAYMENTS.] (a) Grants of work
readiness shall be determined using the standards of assistance,
exclusions, disregards, and procedures which are used in the
general assistance program. Work readiness shall be granted in
an amount that, when added to the nonexempt income actually
available to the assistance unit, the total amount equals the
applicable standard of assistance.
(b) Work readiness payments must be provided to persons
determined eligible for the work readiness program as provided
in this subdivision except when the special payment provisions
in subdivision 1b are utilized. The initial payment must be
prorated to provide assistance for the period beginning with the
date the completed application is received by the county agency
or the date the assistance unit meets all work readiness
eligibility factors, whichever is later, and ending on the final
day of that month. The amount of the first payment must be
determined by dividing the number of days to be covered under
the payment by the number of days in the month, to determine the
percentage of days in the month that are covered by the payment,
and multiplying the monthly payment amount by this percentage.
Subsequent payments must be paid monthly on the first day of
each month.
There shall be an initial certification period which shall
begin on the date the completed application is received by the
county agency or the date that the assistance unit meets all
work readiness eligibility factors, whichever is later, and
ending on the date that mandatory registrants in the assistance
unit must attend a work readiness orientation. This initial
certification period may not cover a period in excess of 30
calendar days. All mandatory registrants in the assistance unit
must be informed of the period of certification, the requirement
to attend orientation, and that work readiness eligibility will
end at the end of the certification period unless the
registrants attend orientation. A registrant who fails to
comply with requirements during the certification period,
including attendance at orientation, will lose work readiness
eligibility without notice under section 256D.101, subdivision
1, paragraph (b).
At the time the county agency notifies the assistance unit
that it is eligible for work readiness assistance, the county
agency must inform all mandatory registrants in the assistance
unit that they must attend an orientation within 30 days, and
that work readiness eligibility will end at the end of the month
in which the orientation is scheduled unless the registrants
attend orientation. A registrant who fails, without good cause,
to comply with requirements during this time period, including
attendance at orientation, will lose work readiness eligibility
without notice under section 256D.101, subdivision 1, paragraph
(b). The registrant shall, however, be sent a notice, on or
before the date that eligibility ends, which informs the
registrant that work readiness eligibility has ended in
accordance with this section for failure to comply with work
readiness requirements. The notice shall set forth the factual
basis for such determination, and advises the registrant of the
right to reinstate eligibility upon a showing of good cause for
the failure to meet the requirements. Subsequent assistance
must not be issued unless the person completes an application,
is determined eligible, and attends an orientation, or
demonstrates that the person had good cause for failing to
comply with the requirement.
Sec. 27. Minnesota Statutes 1989 Supplement, section
256D.051, subdivision 1b, is amended to read:
Subd. 1b. [SPECIAL PAYMENT PROVISIONS.] A county agency
may, at its option, provide work readiness payments as provided
under section 256D.05, subdivision 6, during the initial
certification period prorated to cover only an initial
certification period. The initial certification period shall
cover the time from the date the completed application is
received by the county agency or the date that the assistance
unit meets all work readiness eligibility factors, whichever is
later, and ending on the date that mandatory registrants in the
assistance unit must attend a work readiness orientation. This
initial certification period may not cover a period in excess of
30 calendar days. All mandatory registrants in the assistance
unit must be informed of the period of certification, the
requirement to attend orientation, and that work readiness
eligibility will end at the end of the certification period
unless the registrants attend orientation. A registrant who
fails, without good cause, to comply with requirements during
the certification period, including attendance at orientation,
will lose work readiness eligibility without notice under
section 256D.101, subdivision 1, paragraph (b). The registrant
shall, however, be sent a notice, on or before the date that
eligibility ends, which informs the registrant that work
readiness eligibility has ended in accordance with this section
for failure to comply with work readiness requirements. The
notice shall set forth the factual basis for such determination,
and advises the registrant of the right to reinstate eligibility
upon a showing of good cause for the failure to meet the
requirements. If all mandatory registrants attend orientation,
an additional grant of work readiness assistance must be issued
to cover the period beginning the day after the scheduled
orientation and ending on the final day of that month.
Subsequent payments of work readiness shall be governed by
subdivision 1a or section 256D.05, subdivision 6. If one or
more mandatory registrants from the assistance unit fail to
attend the orientation, those who failed to attend orientation
will be removed from the assistance unit without further notice
and shall be ineligible for additional assistance. Subsequent
assistance to such persons shall be dependent upon the person
completing application for assistance and, being determined
eligible, and attending an orientation or demonstrating that the
person had good cause for failing to comply with the requirement.
A local agency that utilizes the provisions in this
subdivision must implement the provisions consistently for all
applicants or recipients in the county. A local agency must pay
emergency general assistance to a registrant whose prorated work
readiness payment does not meet emergency needs. A local agency
which elects to pay work readiness assistance on a prorated
basis under this subdivision may not provide payments under
section 256D.05, subdivision 6, for the same time period. A
county agency may, at its option, provide work readiness
payments as provided under section 256D.05, subdivision 6,
during the initial certification period.
Sec. 28. Minnesota Statutes 1989 Supplement, section
256D.051, subdivision 2, is amended to read:
Subd. 2. [LOCAL AGENCY DUTIES.] (a) The local agency shall
provide to registrants a work readiness program. The work
readiness program must include:
(1) orientation to the work readiness program;
(2) an individualized employability assessment and
development plan that includes assessment of literacy, ability
to communicate in the English language, eligibility for
displaced homemaker services under section 268.96, educational
history, and that estimates the length of time it will take the
registrant to obtain employment. The employability assessment
and development plan must be completed in consultation with the
registrant, must assess the registrant's assets, barriers, and
strengths, and must identify steps necessary to overcome
barriers to employment;
(3) referral to available accredited remedial or skills
training programs designed to address registrant's barriers to
employment;
(4) referral to available programs including the Minnesota
employment and economic development program;
(5) a job search program, including job seeking skills
training; and
(6) other activities, including public employment
experience programs to the extent of available resources
designed by the local agency to prepare the registrant for
permanent employment.
The work readiness program may include a public sector or
nonprofit work experience component only if the component is
established according to section 268.90.
In order to allow time for job search, the local agency may
not require an individual to participate in the work readiness
program for more than 32 hours a week. The local agency shall
require an individual to spend at least eight hours a week in
job search or other work readiness program activities.
(b) The local agency shall prepare an annual plan for the
operation of its work readiness program. The plan must be
submitted to and approved by the commissioner of jobs and
training. The plan must include:
(1) a description of the services to be offered by the
local agency;
(2) a plan to coordinate the activities of all public
entities providing employment-related services in order to avoid
duplication of effort and to provide services more efficiently;
(3) a description of the factors that will be taken into
account when determining a client's employability development
plan; and
(4) provisions to assure that applicants and recipients are
evaluated for eligibility for general assistance prior to
termination from the work readiness program.
Sec. 29. Minnesota Statutes 1989 Supplement, section
256D.051, subdivision 3, is amended to read:
Subd. 3. [REGISTRANT DUTIES.] In order to receive work
readiness assistance, a registrant shall: (1) cooperate with
the local agency in all aspects of the work readiness program;
(2) accept any suitable employment, including employment offered
through the job training partnership act, Minnesota employment
and economic development act, and other employment and training
options; and (3) participate in work readiness activities
assigned by the local agency. The local agency may terminate
assistance to a registrant who fails to cooperate in the work
readiness program, as provided in subdivision 3b 3c.
Sec. 30. Minnesota Statutes 1989 Supplement, section
256D.051, subdivision 8, is amended to read:
Subd. 8. [VOLUNTARY QUIT.] A person is not eligible for
work readiness payments or services if, without good cause, the
person refuses a legitimate offer of, or quits, suitable
employment within 60 days before the date of application. A
person who, without good cause, voluntarily quits suitable
employment or refuses a legitimate offer of suitable employment
while receiving work readiness payments or services shall be
terminated from the work readiness program and disqualified for
two months according to rules adopted by the commissioner.
Sec. 31. Minnesota Statutes 1988, section 256D.052,
subdivision 5, is amended to read:
Subd. 5. [REASSESSMENT AND LITERACY REFERRAL.] (a) When a
person is no longer functionally illiterate under rules adopted
by the commissioner or is terminated for failure to comply with
literacy training requirements, the local agency must assess the
person's eligibility for general assistance under the remaining
provisions of section 256D.05, subdivision 1, paragraph (a).
The local agency must refer to the work readiness program under
section 256D.051 all people not eligible for general assistance.
(b) The local agency may also refer for voluntary work
readiness services all recipients who reach a level of literacy
that may allow successful participation in job training,
provided that the job training does not interfere with a
recipient's participation in literacy training. However,
referral under this clause does not affect general assistance
eligibility.
Sec. 32. Minnesota Statutes 1988, section 256D.06,
subdivision 2, is amended to read:
Subd. 2. Notwithstanding the provisions of subdivision 1,
a grant of general assistance shall be made to an eligible
individual, married couple, or family for an emergency need, as
defined in rules promulgated by the commissioner, where the
recipient requests temporary assistance not exceeding 30 days if
an emergency situation appears to exist and the individual is
ineligible for the program of emergency assistance under aid to
families with dependent children and is not a recipient of aid
to families with dependent children at the time of application
hereunder. If a an applicant or recipient relates facts to the
local agency which may be sufficient to constitute an emergency
situation, the local agency shall advise the recipient person of
the procedure for applying for assistance pursuant to this
subdivision.
Sec. 33. Minnesota Statutes 1989 Supplement, section
256D.09, subdivision 2a, is amended to read:
Subd. 2a. [REPRESENTATIVE PAYEE.] Notwithstanding
subdivision 1, the commissioner shall adopt rules, and may adopt
emergency rules, governing the assignment of a representative
payee and management of the general assistance or work readiness
assistance grant of a drug dependent person as defined in
section 254A.02, subdivision 5. The representative payee is
responsible for deciding how the drug dependent person's
benefits can best be used to meet that person's needs. The
determination of drug dependency must be made by an assessor
qualified under Minnesota Rules, part 9530.6615, subpart 2, to
perform an assessment of chemical use. Upon receipt of the
assessor's determination of drug dependency, the county shall
determine whether a representative payee will be assigned to
manage the person's benefits. The chemical use assessment, the
decision to refer a person for the assessment, and the county
determination of whether a representative payee will be assigned
are subject to the administrative and judicial review provisions
of section 256.045. However, notwithstanding any provision of
section 256.045 to the contrary, an applicant or recipient who
is referred for an assessment and is otherwise eligible to
receive a general assistance or work readiness benefit, may only
be provided with emergency general assistance or vendor payments
pending the outcome of an administrative or judicial review.
If, at the time of application or at any other time, there is a
reasonable basis for questioning whether a person can
responsibly manage that person's money due to possible is drug
dependency dependent, the person may be referred for a chemical
health assessment, and only emergency assistance payments or
general assistance vendor payments may be provided until the
assessment is complete and the results of the assessment made
available to the county agency. A reasonable basis for
questioning whether a person is drug dependent exists when:
(1) the person has required detoxification two or more
times in the past 12 months;
(2) the person appears intoxicated at the county agency as
indicated by two or more of the following:
(i) the odor of alcohol;
(ii) slurred speech;
(iii) disconjugate gaze;
(iv) impaired balance;
(v) difficulty remaining awake;
(vi) consumption of alcohol;
(vii) responding to sights or sounds that are not actually
present;
(viii) extreme restlessness, fast speech, or unusual
belligerence;
(3) the person has been involuntarily committed for drug
dependency at least once in the past 12 months; or
(4) the person has received treatment, including
domiciliary care, for drug abuse or dependency at least twice in
the past 12 months.
The assignment to representative payee status must be
reviewed at least every 12 months. The county agency shall
designate the representative payee after consultation with the
recipient. The county agency shall select the representative
payee from appropriate individuals, or public or nonprofit
agencies, including those suggested by the recipient, but the
county agency's designation of representative payee is prevails,
subject to the administrative and judicial review provisions of
section 256.045.
Sec. 34. Minnesota Statutes 1989 Supplement, section
256H.01, subdivision 7, is amended to read:
Subd. 7. [EDUCATION PROGRAM.] "Education program" means
remedial or basic education or English as a second language
instruction, a program leading to a general equivalency or high
school diploma, post-secondary programs excluding
postbaccalaureate programs, and other education and training
needs as documented in an employability plan that is developed
by an employment and training service provider certified by the
commissioner of jobs and training or an individual designated by
the county to provide employment and training services. The
employability plan must outline education and training needs of
a recipient, meet state requirements for employability
plans, meet the requirements of Minnesota Rules, parts 9565.5000
to 9565.5200 and meet the requirements of other programs that
provide federal reimbursement for child care services. The
county must incorporate into a recipient's employability plan an
educational plan developed by a post-secondary institution for a
nonpriority AFDC recipient who is enrolled or planning to enroll
at that institution.
Sec. 35. Minnesota Statutes 1989 Supplement, section
256H.01, subdivision 8, is amended to read:
Subd. 8. [EMPLOYMENT PROGRAM.] "Employment program" means
employment of recipients financially eligible for child care
assistance, preemployment activities, or other activities
approved in an employability plan that is developed by an
employment and training service provider certified by the
commissioner of jobs and training or an individual designated by
the county to provide employment and training services. The
plans must meet the requirements of Minnesota Rules, parts
9565.5000 to 9565.5200, and other programs that provide federal
reimbursement for child care services.
Sec. 36. Minnesota Statutes 1989 Supplement, section
256H.01, subdivision 12, is amended to read:
Subd. 12. [PROVIDER.] "Provider" means a child care
license holder who operates a family day care home, a group
family day care home, a day care center, a nursery school, a day
nursery, an extended day school age child care program; a person
exempt from licensure who meets child care standards established
by the state board of education; or a legal nonlicensed
caregiver who is at least 18 years of age, and who is not a
member of the AFDC assistance unit.
Sec. 37. Minnesota Statutes 1988, section 256H.01, is
amended by adding a subdivision to read:
Subd. 16. [TRANSITION YEAR FAMILIES.] "Transition year
families" means families who lose eligibility for AFDC due to
increased hours of employment, increased income from employment,
or the loss of income disregards due to time limitations, as
provided under Public Law Number 100-485.
Sec. 38. Minnesota Statutes 1988, section 256H.01, is
amended by adding a subdivision to read:
Subd. 17. [CHILD CARE FUND.] "Child care fund" means a
program providing:
(1) financial assistance for child care to parents engaged
in employment or education and training leading to employment;
and
(2) grants to develop, expand, and improve the access and
availability of child care services statewide.
Sec. 39. Minnesota Statutes 1989 Supplement, section
256H.03, subdivision 2, is amended to read:
Subd. 2. [ALLOCATION; LIMITATIONS.] The commissioner shall
allocate 66 percent of the money appropriated under the child
care fund for the basic sliding fee program and shall allocate
those funds between the metropolitan area, comprising the
counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and
Washington, and the area outside the metropolitan area as
follows:
(1) 50 percent of the money shall be allocated among the
counties on the basis of the number of families below the
poverty level, as determined from the most recent census or
special census; and
(2) 50 percent of the money shall be allocated among the
counties on the basis of the counties' portion of the AFDC
caseload for the preceding state fiscal year.
If, under the preceding formula, either the seven-county
metropolitan area consisting of Anoka, Carver, Dakota, Hennepin,
Ramsey, Scott, and Washington counties or the area consisting of
counties outside the seven-county metropolitan area is allocated
more than 55 percent of the basic sliding fee funds, each
county's allocation in that area shall be proportionally reduced
until the total for the area is no more than 55 percent of the
basic sliding fee funds. The amount of the allocations
proportionally reduced shall be used to proportionally increase
each county's allocation in the other area.
Sec. 40. Minnesota Statutes 1989 Supplement, section
256H.03, subdivision 2a, is amended to read:
Subd. 2a. [ELIGIBLE RECIPIENTS.] Families that meet the
eligibility requirements under sections 256H.10, except AFDC
recipients and transition year families, and 256H.11 are
eligible for child care assistance under the basic sliding fee
program. From July 1, 1990, to June 30, 1991, a county may not
accept new applications for the basic sliding fee program unless
the county can demonstrate that its state money expenditures for
the basic sliding fee program for this period will not exceed 95
percent of the county's allocation of state money for the fiscal
year ending June 30, 1990. As basic sliding fee program money
becomes available to serve new families, eligible families whose
benefits were terminated during the fiscal year ending June 30,
1990, for reasons other than loss of eligibility shall be
reinstated. Families enrolled in the basic sliding fee program
as of July 1, 1990, shall be continued until they are no longer
eligible. Counties shall make vendor payments to the child care
provider or pay the parent directly for eligible child care
expenses on a reimbursement basis.
Sec. 41. Minnesota Statutes 1989 Supplement, section
256H.03, subdivision 2b, is amended to read:
Subd. 2b. [FUNDING PRIORITY.] (a) First priority for child
care assistance under the basic sliding fee program must be
given to eligible recipients non-AFDC families who do not have a
high school or general equivalency diploma or who need remedial
and basic skill courses in order to pursue employment or to
pursue education leading to employment. Priority for child care
assistance under the basic sliding fee program must be given to
non-AFDC families for this first priority unless a county can
demonstrate that funds available in the AFDC child care program
allocation are inadequate to serve all AFDC families needing
child care services. Within this priority, the following
subpriorities must be used:
(1) child care needs of minor parents;
(2) child care needs of parents under 21 years of age; and
(3) child care needs of other parents within the priority
group described in this paragraph.
(b) Second priority must be given to all other parents who
are eligible for the basic sliding fee program.
Sec. 42. Minnesota Statutes 1989 Supplement, section
256H.05, subdivision 1b, is amended to read:
Subd. 1b. [ELIGIBLE RECIPIENTS.] Families eligible for
guaranteed child care assistance under the AFDC child care
program are families receiving AFDC and former AFDC recipients
who, during their first year of employment, continue to require
a child care subsidy in order to retain employment. The
commissioner shall designate between 20 to 60 percent of the
AFDC child care program as the minimum to be reserved for AFDC
recipients in an educational program. If a family meets the
eligibility requirements of the AFDC child care program and the
caregiver has an approved employability plan that meets the
requirements of appropriate federal reimbursement programs, that
family is eligible for child care assistance.:
(1) persons receiving services under section 256.736;
(2) AFDC recipients who are employed; and
(3) persons who are members of transition year families
under section 256H.01, subdivision 16.
Sec. 43. Minnesota Statutes 1989 Supplement, section
256H.05, subdivision 1c, is amended to read:
Subd. 1c. [FUNDING PRIORITY.] Priority for child care
assistance under the AFDC child care program shall be given to
AFDC priority groups who are engaged in an employment or
education program consistent with their employability plan. If
the AFDC recipient is employed, the AFDC child care disregard
shall be applied before the remaining child care costs are
subsidized by the AFDC child care program. AFDC recipients
leaving AFDC due to their earned income, who have been on AFDC
three out of the last six months and who apply for child care
assistance under subdivision 1b within the first year after
leaving AFDC, shall be entitled to one year of child care
subsidies during the first year of employment. AFDC recipients
must be put on a waiting list for the basic sliding fee program
when they leave AFDC due to their earned income.
Sec. 44. Minnesota Statutes 1989 Supplement, section
256H.05, subdivision 2, is amended to read:
Subd. 2. [COOPERATION WITH OTHER PROGRAMS.] The county
shall develop cooperative agreements with the employment and
training service provider for coordination of child care funding
with employment, training, and education programs for all AFDC
recipients who receive services under section 256.736. The
cooperative agreement shall specify that individuals receiving
employment, training, and education services under an
employability plan from the employment and training service
provider shall, as resources permit, be guaranteed child care
assistance from the county of their residence responsible for
the current employability development plan.
Sec. 45. Minnesota Statutes 1989 Supplement, section
256H.05, subdivision 5, is amended to read:
Subd. 5. [FEDERAL REIMBURSEMENT.] Counties shall maximize
their federal reimbursement under the AFDC special needs program
Public Law Number 100-485 or other federal reimbursement
programs for money spent for persons listed in this section and
section 256H.03. The commissioner shall allocate any federal
earnings to the county to be used to expand child care services
under these sections.
Sec. 46. Minnesota Statutes 1989 Supplement, section
256H.08, is amended to read:
256H.08 [USE OF MONEY.]
Money for persons listed in sections 256H.03, subdivision
2a, and 256H.05, subdivision 1b, shall be used to reduce the
costs of child care for students, including the costs of child
care for students while employed if enrolled in an eligible
education program at the same time and making satisfactory
progress towards completion of the program. Counties may not
limit the duration of child care subsidies for a person in an
employment or educational program, except when the person is
found to be ineligible under the child care fund eligibility
standards. Any limitation must be based on a person's
employability plan in the case of an AFDC recipient, and county
policies included in the child care allocation plan. Time
limitations for child care assistance, as specified in Minnesota
Rules, parts 9565.5000 to 9565.5200, do not apply to basic or
remedial educational programs needed to prepare for
post-secondary education or employment. These programs
include: high school, general equivalency diploma, and English
as a second language. Programs exempt from this time limit must
not run concurrently with a post-secondary program. Financially
eligible students who have received child care assistance for
one academic year shall be provided child care assistance in the
following academic year if funds allocated under sections
256H.03 and 256H.05. If a student an AFDC recipient who is
receiving AFDC child care assistance under this chapter moves to
another county as specified authorized in their employability
plan, continues to be enrolled in a post-secondary institution,
and continues to be eligible for AFDC child care assistance
under this chapter, the student must receive continued child
care assistance from their county of origin without interruption
to the limit of the county's allocation participate in
educational or training programs authorized in their
employability development plans, and continues to be eligible
for AFDC child care assistance under this chapter, the AFDC
caretaker must receive continued child care assistance from the
county responsible for their current employability development
plan, without interruption.
Sec. 47. Minnesota Statutes 1989 Supplement, section
256H.09, subdivision 1, is amended to read:
Subdivision 1. [QUARTERLY REPORTS.] The commissioner shall
specify requirements for reports, including quarterly fiscal
reports, according to section 256.01, subdivision 2, paragraph
(17). Counties shall submit on forms prescribed by the
commissioner a quarterly financial and program activity report.
The failure to submit a complete report by the end of the
quarter in which the report is due may result in a reduction of
child care fund allocations equal to the next quarter's
allocation. The financial and program activity report must
include:
(1) a detailed accounting of the expenditures and revenues
for the program during the preceding quarter by funding source
and by eligibility group;
(2) a description of activities and concomitant
expenditures that are federally reimbursable under the AFDC
employment special needs program and other federal reimbursement
programs;
(3) a description of activities and concomitant
expenditures of child care money;
(4) information on money encumbered at the quarter's end
but not yet reimbursable, for use in adjusting allocations as
provided in sections section 256H.03, subdivision 3, and
256H.05, subdivision 1a; and
(5) other data the commissioner considers necessary to
account for the program or to evaluate its effectiveness in
preventing and reducing participants' dependence on public
assistance and in providing other benefits, including
improvement in the care provided to children.
Sec. 48. Minnesota Statutes 1988, section 256H.10,
subdivision 1, is amended to read:
Subdivision 1. [ELIGIBILITY FACTORS.] Child care services
must be available to families who need child care to find or
keep employment or to obtain the training or education necessary
to find employment and who:
(a) receive aid to families with dependent children and are
receiving employment and training services under section
256.736;
(b) have household income below the eligibility levels for
aid to families with dependent children; or
(c) have household income within a range established by the
commissioner.
(d) Child care services for the families receiving aid to
families with dependent children must be made available as
in-kind services, to cover any difference between the actual
cost and the amount disregarded under the aid to families with
dependent children program. Child care services to families
whose incomes are below the threshold of eligibility for aid to
families with dependent children, but that are not receiving aid
to families with dependent children, must be made available
without cost to the families.
Sec. 49. Minnesota Statutes 1989 Supplement, section
256H.10, subdivision 3, is amended to read:
Subd. 3. [PRIORITIES; ALLOCATIONS.] If more than 75
percent of the available money is provided to any one of the
groups described in section 256H.03 or 256H.05, the county board
shall document to the commissioner the reason the group received
a disproportionate share unless approved in the plan. If a
county projects that its child care allocation is insufficient
to meet the needs of all eligible groups, it may prioritize
among the groups that remain to be served after the county has
complied with the priority requirements of sections section
256H.03 and 256H.05. Counties that have established a
priority for non-AFDC families beyond those established under
section 256H.03 must submit the policy in the annual allocation
plan.
Sec. 50. Minnesota Statutes 1988, section 256H.10,
subdivision 4, is amended to read:
Subd. 4. [ELIGIBILITY; ANNUAL INCOME; CALCULATION.] Annual
income of the applicant family is the current monthly income of
the family multiplied by 12 or the income for the 12-month
period immediately preceding the date of application,
whichever or income calculated by the method which provides the
most accurate assessment of income available to the family.
Self-employment income must be calculated based on gross
receipts less operating expenses. Income must be redetermined
when the family's income changes, but no less often than every
six months. Income must be verified with documentary evidence.
If the applicant does not have sufficient evidence of income,
verification must be obtained from the source of the income.
Sec. 51. Minnesota Statutes 1989 Supplement, section
256H.11, subdivision 1, is amended to read:
Subdivision 1. [ASSISTANCE FOR PERSONS SEEKING AND
RETAINING EMPLOYMENT.] Persons who are seeking employment and
who are eligible for assistance under this section are eligible
to receive the equivalent of up to one month of child care.
Employed persons who work at least ten hours a week and receive
at least a minimum wage for all hours worked are eligible for
continued child care assistance.
Sec. 52. Minnesota Statutes 1989 Supplement, section
256H.15, subdivision 1, is amended to read:
Subdivision 1. [SUBSIDY RESTRICTIONS.] (a) Until June 30,
1991, the maximum child care rate is determined under this
paragraph. The county board may limit the subsidy allowed by
setting a maximum on the provider child care rate that the
county shall subsidize. The maximum rate set by any county
shall not be lower than 110 percent or higher than 125 percent
of the median rate in that county for like care arrangements for
all types of care, including special needs and handicapped care,
as determined by the commissioner. If the county sets a maximum
rate, it must pay the provider's rate for each child receiving a
subsidy, up to the maximum rate set by the county. In order to
be reimbursed for more than 110 percent of the median rate, a
provider with employees must pay wages for teachers, assistants,
and aides that are more than 110 percent of the county average
rate for child care workers. If a county does not set a maximum
provider rate, it shall pay the provider's rate for every child
in care. The maximum state payment is 125 percent of the median
provider rate. If the county has not set a maximum provider
rate and the provider rate is greater than 125 percent of the
median provider rate in the county, the county shall pay the
amount in excess of 125 percent of the median provider rate from
county funding sources. The county shall pay the provider's
full charges for every child in care, up to the maximum
established. The commissioner shall determine the maximum rate
for each type of care, including special needs and handicapped
care.
(b) Effective July 1, 1991, the maximum rate paid for child
care assistance under the child care fund is the maximum rate
eligible for federal reimbursement except as allowed under
subdivision 2. The county shall pay the provider's full charges
for every child in care, up to the maximum established. The
commissioner shall determine the maximum rate for each type of
care, including special needs and handicapped care.
(c) When the provider charge is greater than the maximum
provider rate set by the county allowed, the parent is
responsible for payment of the difference in the rates in
addition to any family copayment fee.
Sec. 53. Minnesota Statutes 1989 Supplement, section
256H.15, subdivision 2, is amended to read:
Subd. 2. [PROVIDER RATE BONUS FOR ACCREDITATION.]
Currently accredited child care centers shall be paid a five ten
percent bonus above the maximum rate established by the county
in subdivision 1, if the center can demonstrate that its staff
wages are greater than 110 percent of the average wages in the
county for similar care, up to the actual provider rate. A
family day care provider shall be paid a five ten percent bonus
above the maximum rate established by the county in subdivision
1, if the provider holds a current child early childhood
development associate certificate credential approved by the
commissioner, up to the actual provider rate. A county is not
required to review wages under this subdivision unless the
county has set a maximum above 110 percent for all providers
with employees in their county.
Sec. 54. Minnesota Statutes 1988, section 256H.17, is
amended to read:
256H.17 [EXTENSION OF EMPLOYMENT OPPORTUNITIES.]
The county board shall insure that child care services
available to county eligible residents are well advertised and
that everyone who receives or applies for aid to families with
dependent children is informed of training and employment
opportunities and programs, including child care assistance and
child care resource and referral services.
Sec. 55. Minnesota Statutes 1989 Supplement, section
256H.21, subdivision 9, is amended to read:
Subd. 9. [MINI-GRANTS.] "Mini-grants" means child care
grants for facility improvements that are less than up to $1,000.
Mini-grants include, but are not limited to, improvements to
meet licensing requirements, improvements to expand a child care
facility or program, toys and equipment, start-up costs, staff
training, and development costs.
Sec. 56. Minnesota Statutes 1989 Supplement, section
256H.22, subdivision 2, is amended to read:
Subd. 2. [DISTRIBUTION OF FUNDS.] (a) The commissioner
shall allocate grant money appropriated for child care service (
development and resource and referral services) among the
development regions designated by the governor under section
462.385, as follows:
(1) 50 percent of the child care service development grant
appropriation shall be allocated to the metropolitan area
economic development region; and
(2) 50 percent of the child care service development grant
appropriation shall be allocated to greater Minnesota counties
economic development regions other than the metropolitan
economic development region.
(b) The following formulas shall be used to allocate grant
appropriations among the counties economic development regions:
(1) 50 percent of the funds shall be allocated in
proportion to the ratio of children under 12 years of age in
each county economic development region to the total number of
children under 12 years of age in all counties economic
development regions; and
(2) 50 percent of the funds shall be allocated in
proportion to the ratio of children under 12 years of age in
each county economic development region to the number of
licensed child care spaces currently available in each county
economic development region.
(c) Out of the amount allocated for each economic
development region and county, the commissioner shall award
grants based on the recommendation of the grant review advisory
task force. In addition, the commissioner shall award no more
than 75 percent of the money either to child care facilities for
the purpose of facility improvement or interim financing or to
child care workers for staff training expenses. The
commissioner shall award no more than 50 percent of the money
for resource and referral services to maintain or improve an
existing resource and referral until all regions are served by
resource and referral programs.
(d) Any funds unobligated may be used by the commissioner
to award grants to proposals that received funding
recommendations by the advisory task force but were not awarded
due to insufficient funds.
Sec. 57. Minnesota Statutes 1989 Supplement, section
256H.22, subdivision 3, is amended to read:
Subd. 3. [CHILD CARE REGIONAL ADVISORY COMMITTEES.] Child
care regional advisory committees shall review and make
recommendations to the commissioner on applications for service
development grants under this section. The commissioner shall
appoint the child care regional advisory committees in each
governor's economic development regions. People appointed under
this subdivision must represent the following constituent
groups: family child care providers, group center providers,
parent users, health services, social services, public schools,
and other citizens with demonstrated interest in child care
issues. Members of the advisory task force with a direct
financial interest in a pending grant proposal may not provide a
recommendation or participate in the ranking of that grant
proposal. Committee members may be reimbursed for their actual
travel, child care, and child care provider substitute expenses
for up to six committee meetings per year. The child care
regional advisory committees shall complete their reviews and
forward their recommendations to the commissioner by the date
specified by the commissioner.
Sec. 58. Minnesota Statutes 1989 Supplement, section
256H.22, subdivision 10, is amended to read:
Subd. 10. [ADVISORY TASK FORCE.] The commissioner shall
convene a statewide advisory task force which shall advise the
commissioner on grants and other child care issues. The
statewide advisory task force shall review and make
recommendations to the commissioner on child care resource and
referral grants and on statewide service development and child
care training grants. Members of the advisory task force with a
direct financial interest in a resource and referral or a
statewide training proposal may not provide a recommendation or
participate in the ranking of that grant proposal. Each
regional grant review committee formed under subdivision 3,
shall appoint a representative to the advisory task force. The
commissioner may convene meetings of the task force as needed.
Terms of office and removal from office are governed by the
appointing body. The commissioner may compensate members for
their expenses of travel to, child care, and child care provider
substitute expenses for meetings of the task force. The members
of the child care advisory task force shall also meet once with
the interagency advisory committee on child care under section
256H.25.
Sec. 59. Minnesota Statutes 1989 Supplement, section
256I.05, subdivision 1, is amended to read:
Subdivision 1. [MONTHLY RATES.] Monthly payments for rates
negotiated by a county agency on behalf of a recipient living in
a negotiated rate residence may be paid at the rates in effect
on March 1, 1985, not to exceed $919.80 in 1989. These rates
The maximum negotiated rate must be increased annually according
to subdivision 7. The county agency may provide an annual
increase in the March 1, 1985, payment rate using the formula in
subdivision 7, provided the resulting rate does not exceed the
maximum negotiated rate. The county agency may at any time
negotiate a lower payment rate than the rate that would
otherwise be paid under this subdivision and subdivision 7.
Sec. 60. Minnesota Statutes 1989 Supplement, section
256I.05, subdivision 7, is amended to read:
Subd. 7. [RATE INCREASES.] The maximum negotiated rate
must be adjusted by the annual percentage change in the consumer
price index (CPI-U U.S. city average), as published by the
Bureau of Labor Statistics between the previous two Septembers,
new series index (1967-100) or 2.5 percent, whichever is
less. A county may provide an annual negotiated rate increase
that does not exceed the percentage increase in the maximum
negotiated rate.
Sec. 61. Minnesota Statutes 1989 Supplement, section
268.0111, subdivision 4, is amended to read:
Subd. 4. [EMPLOYMENT AND TRAINING SERVICES.] "Employment
and training services" means programs, activities, and services
related to job training, job placement, and job creation
including job service programs, job training partnership act
programs, wage subsidies, work readiness programs, job search,
counseling, case management, community work experience programs,
displaced homemaker programs, disadvantaged job training
programs, grant diversion, employment experience programs, youth
employment programs, conservation corps, apprenticeship
programs, community investment programs, supported work
programs, community development corporations, economic
development programs, and opportunities industrialization
centers.
Sec. 62. Minnesota Statutes 1988, section 268.673,
subdivision 3, is amended to read:
Subd. 3. [DEPARTMENT OF JOBS AND TRAINING.] The
commissioner shall supervise wage subsidies and shall provide
technical assistance to the eligible local service units for the
purpose of delivering wage subsidies.
Sec. 63. Minnesota Statutes 1988, section 268.673,
subdivision 5, is amended to read:
Subd. 5. [REPORT.] Each entity delivering wage subsidies
shall report to the commissioner and the coordinator on a
quarterly basis:
(1) the number of persons placed in private sector jobs, in
temporary public sector jobs, or in other services;
(2) the outcome for each participant placed in a private
sector job, in a temporary public sector job, or in another
service;
(3) the number and type of employers employing persons
under the program;
(4) the amount of money spent in each eligible local
service unit for wages for each type of employment and each type
of other expense;
(5) the age, educational experience, family status, gender,
priority group status, race, and work experience of each person
in the program;
(6) the amount of wages received by persons while in the
program and 60 days after completing the program;
(7) for each classification of persons described in clause
(5), the outcome of the wage subsidy placement, including length
of time employed; nature of employment, whether private sector,
temporary public sector, or other service; and the hourly wages;
and
(8) any other information requested by the commissioner.
Each report must include cumulative information, as well as
information for each quarter.
Data collected on individuals under this subdivision are
private data on individuals as defined in section 13.02,
subdivision 12, except that summary data may be provided under
section 13.05, subdivision 7.
Sec. 64. Minnesota Statutes 1988, section 268.6751,
subdivision 1, is amended to read:
Subdivision 1. [WAGE SUBSIDIES.] Wage subsidy money must
be allocated to eligible local service units in the following
manner:
(a) The commissioner shall allocate 87.5 percent of the
funds available for allocation to eligible local service units
for wage subsidy programs as follows: the proportion of the
wage subsidy money available to each eligible local service unit
must be based on the number of unemployed persons in the
eligible local service unit for the most recent six-month period
and the number of work readiness assistance cases and aid to
families with dependent children cases in the eligible local
service unit for the most recent six-month period.
(b) Five percent of the money available for wage subsidy
programs must be allocated at the discretion of the commissioner.
(c) Seven and one-half percent of the money available for
wage subsidy programs must be allocated at the discretion of the
commissioner to provide jobs for residents of federally
recognized Indian reservations.
(d) By December 31 of each fiscal year, providers and local
service units receiving wage subsidy money shall report to the
commissioner on the use of allocated funds. The commissioner
shall reallocate uncommitted funds for each fiscal year
according to the formula in paragraph (a).
Sec. 65. Minnesota Statutes 1988, section 268.676,
subdivision 2, is amended to read:
Subd. 2. [AMONG EMPLOYERS.] Allocation of funds among
eligible employers within an eligible a local service unit shall
give priority to funding private sector jobs to the extent that
eligible businesses apply for funds. If possible, no more than
25 percent of the statewide funds available for wages may be
allocated for temporary jobs with eligible government and
nonprofit agencies, or for temporary community investment
program jobs with eligible government agencies during the
biennium. This subdivision does not apply to jobs for residents
of federally recognized Indian reservations.
Sec. 66. Minnesota Statutes 1988, section 268.677,
subdivision 2, is amended to read:
Subd. 2. Reimbursement to the commissioner for the costs
of administering wage subsidies must not exceed one-half percent
of the money appropriated. Reimbursement to an eligible local
service unit for the costs of administering wage subsidies must
not exceed five percent and for the purchase of supplies and
materials necessary to create permanent improvements to public
property must not exceed one percent of the money allocated to
that local service unit. The commissioner and the eligible
local service units shall reallocate money from other sources to
cover the costs of administering wage subsidies whenever
possible.
Sec. 67. Minnesota Statutes 1988, section 268.677,
subdivision 3, is amended to read:
Subd. 3. Eligible Local service units may use up to 25
percent of their wage subsidy allocations to provide eligible
applicants with job search assistance, labor market orientation,
job seeking skills, necessary child care services, relocation,
and transportation, and to subsidize fringe benefits.
Sec. 68. Minnesota Statutes 1988, section 268.678, is
amended to read:
268.678 [ELIGIBLE LOCAL SERVICE UNITS; POWERS AND DUTIES.]
Subdivision 1. [GENERAL POWERS.] Eligible Local service
units have the powers and duties given in this section and any
additional duties given by the commissioner.
Subd. 3. [OUTREACH.] Each eligible local service unit
shall publicize the availability of wage subsidies within its
area to seek maximum participation by eligible job applicants
and employers.
Subd. 4. [CONTRACTS.] Each eligible local service unit
that has not agreed to a contract under section 268.673,
subdivision 4a, may enter into contracts with certified service
providers to deliver wage subsidies.
Subd. 5. [SCREENING AND COORDINATION.] Each eligible local
service unit shall provide for the screening of job applicants
and employers to achieve the best possible placement of eligible
job applicants with eligible employers.
Subd. 6. [ELIGIBLE JOB APPLICANT PRIORITY LISTS.] Each
eligible local service unit shall provide for the maintenance of
a list of eligible job applicants unable to secure employment
under the program at the time of application. The list shall
prioritize eligible job applicants and shall be used to fill
jobs with eligible employers as they become available.
Sec. 69. Minnesota Statutes 1988, section 268.681,
subdivision 1, is amended to read:
Subdivision 1. [ELIGIBLE BUSINESSES.] A business employer
is an eligible employer if it enters into a written contract,
signed and subscribed to under oath, with an eligible local
service unit or its contractor, containing assurances that:
(a) funds received by a business shall be used only as
permitted under sections 268.672 to 268.682;
(b) the business has submitted information to the eligible
local service unit or its contractor (1) describing the duties
and proposed compensation of each employee proposed to be hired
under the program; and (2) demonstrating that, with the funds
provided under sections 268.672 to 268.682, the business is
likely to succeed and continue to employ persons hired using
wage subsidies;
(c) the business will use funds exclusively for
compensation and fringe benefits of eligible job applicants and
will provide employees hired with these funds with fringe
benefits and other terms and conditions of employment comparable
to those provided to other employees of the business who do
comparable work;
(d) the funds are necessary to allow the business to begin,
or to employ additional people, but not to fill positions which
would be filled even in the absence of wage subsidies;
(e) the business will cooperate with the eligible local
service unit and the commissioner in collecting data to assess
the result of wage subsidies; and
(f) the business is in compliance with all applicable
affirmative action, fair labor, health, safety, and
environmental standards.
Sec. 70. Minnesota Statutes 1988, section 268.681,
subdivision 2, is amended to read:
Subd. 2. [PRIORITIES.] (a) In allocating funds among
eligible businesses, the eligible local service unit or its
contractor shall give priority to:
(1) businesses engaged in manufacturing;
(2) nonretail businesses that are small businesses as
defined in section 645.445; and
(3) businesses that export products outside the state.
(b) In addition to paragraph (a), an eligible a local
service unit must give priority to businesses that:
(1) have a high potential for growth and long-term job
creation;
(2) are labor intensive;
(3) make high use of local and Minnesota resources;
(4) are under ownership of women and minorities;
(5) make high use of new technology;
(6) produce energy conserving materials or services or are
involved in development of renewable sources of energy; and
(7) have their primary place of business in Minnesota.
Sec. 71. Minnesota Statutes 1988, section 268.681,
subdivision 3, is amended to read:
Subd. 3. [PAYBACK.] A business receiving wage subsidies
shall repay 70 percent of the amount initially received for each
eligible job applicant employed, if the employee does not
continue in the employment of the business beyond the six-month
subsidized period. If the employee continues in the employment
of the business for one year or longer after the six-month
subsidized period, the business need not repay any of the funds
received for that employee's wages. If the employee continues
in the employment of the business for a period of less than one
year after the expiration of the six-month subsidized period,
the business shall receive a proportional reduction in the
amount it must repay. If an employer dismisses an employee for
good cause and works in good faith with the eligible local
service unit or its contractor to employ and train another
person referred by the eligible local service unit or its
contractor, the payback formula shall apply as if the original
person had continued in employment.
A repayment schedule shall be negotiated and agreed to by
the eligible local service unit and the business prior to the
disbursement of the funds and is subject to renegotiation. The
eligible local service unit shall forward 25 percent of the
payments received under this subdivision to the commissioner on
a monthly basis and shall retain the remaining 75 percent for
local program expenditures. Notwithstanding section 268.677,
subdivision 2, the local service unit may use up to 20 percent
of its share of the funds returned under this subdivision for
any administrative costs associated with the collection of the
funds under this subdivision. At least 80 percent of the local
service unit's share of the funds returned under this
subdivision must be used as provided in section 268.677. The
commissioner shall deposit payments forwarded to the
commissioner under this subdivision in the Minnesota wage
subsidy account created by subdivision 4.
Sec. 72. Minnesota Statutes 1989 Supplement, section
268.86, subdivision 2, is amended to read:
Subd. 2. [INTERAGENCY AGREEMENTS.] By October 1, 1987, the
commissioner and the commissioner of human services shall enter
into a written contract for the design, delivery, and
administration of employment and training services for
applicants for or recipients of food stamps or aid to families
with dependent children and work readiness, including AFDC
employment and training programs, and general assistance or work
readiness grant diversion, and supported work. The
contract must be approved by the coordinator and must address:
(1) specific roles and responsibilities of each department;
(2) assignment and supervision of staff for interagency
activities including any necessary interagency employee mobility
agreements under the administrative procedures of the department
of employee relations;
(3) mechanisms for determining the conditions under which
individuals participate in services, their rights and
responsibilities while participating, and the standards by which
the services must be administered;
(4) procedures for providing technical assistance to local
service units, Indian tribes, and employment and training
service providers;
(5) access to appropriate staff for ongoing development and
interpretation of policy, rules, and program standards;
(6) procedures for reimbursing appropriate agencies for
administrative expenses; and
(7) procedures for accessing available federal funds.
Sec. 73. Minnesota Statutes 1988, section 268.86,
subdivision 8, is amended to read:
Subd. 8. [GRANT DIVERSION.] The commissioner shall develop
grant diversion processes for recipients of aid to families with
dependent children general assistance and work readiness
assistance payments and shall supervise the counties in the
administration of the employment and training services to meet
the needs and circumstances of public assistance these
recipients. A grant diversion program that places general
assistance and work readiness recipients in public sector
employment must operate as a community investment program under
section 268.90.
Sec. 74. Minnesota Statutes 1988, section 268.871,
subdivision 1, is amended to read:
Subdivision 1. [RESPONSIBILITY AND CERTIFICATION.] (a)
Unless prohibited by federal law or otherwise determined by
state law, a local service unit is responsible for the delivery
of employment and training services. After February 1, 1988,
employment and training services must be delivered by certified
employment and training service providers.
(b) The local service unit's employment and training
service provider must meet the certification standards in this
subdivision in order to be certified to deliver any of the
following employment and training services and programs: wage
subsidies; work readiness; work readiness and general assistance
grant diversion; food stamp employment and training programs;
community work experience programs; AFDC job search; AFDC grant
diversion; AFDC on-the-job training; and AFDC case management.
(c) The commissioner shall certify a local service unit's
service provider to provide these employment and training
services and programs if the commissioner determines that the
provider has:
(1) past experience in direct delivery of the programs
specified in paragraph (b);
(2) staff capabilities and qualifications, including
adequate staff to provide timely and effective services to
clients, and proven staff experience in providing specific
services such as assessments, career planning, job development,
job placement, support services, and knowledge of community
services and educational resources;
(3) demonstrated effectiveness in providing services to
public assistance recipients and other economically
disadvantaged clients; and
(4) demonstrated administrative capabilities, including
adequate fiscal and accounting procedures, financial management
systems, participant data systems, and record retention
procedures.
(d) When the only service provider that meets the criterion
in paragraph (c), clause (1), has been decertified, pursuant to
subdivision 1a, in that local service unit, the following
criteria shall be substituted: past experience in direct
delivery of multiple, coordinated, nonduplicative services,
including outreach, assessments, identification of client
barriers, employability development plans, and provision or
referral to support services.
Employment and training service providers shall be
certified by the commissioner for two fiscal years beginning
July 1, 1991, and every second year thereafter.
Sec. 75. Minnesota Statutes 1988, section 268.871, is
amended by adding a subdivision to read:
Subd. 1a. [DECERTIFICATION.] (a) The department, on its
own initiative, or at the request of the local service unit,
shall begin decertification processes for employment and
training service providers who:
(1) no longer meet one or more of the certification
standards;
(2) are delivering services in a manner that does not
comply with the Family Support Act of 1988, Public Law Number
100-485 or relevant state law after corrective actions have been
cited, technical assistance has been provided, and a reasonable
period of time for remedial action has been provided; or
(3) are not complying with other state and federal laws or
policy which are necessary for effective delivery of services.
(b) The initiating of decertification processes shall not
result in decertification of the service provider unless and
until adequate fact-finding and investigation has been performed
by the department.
Sec. 76. Minnesota Statutes 1988, section 268.871,
subdivision 2, is amended to read:
Subd. 2. [CONTRACTING PREFERENCE RESPONSIBILITY.] In
contracting, A local service unit must give preference, whenever
possible, to contract with certified employment and training
service providers that can effectively coordinate federal,
state, and local employment and training services; that can
maximize use of available federal and other nonstate funds; and
that have demonstrated the ability to serve achieve effective
results in serving public assistance clients as well as other
unemployed people.
Sec. 77. Minnesota Statutes 1989 Supplement, section
268.88, is amended to read:
268.88 [LOCAL SERVICE UNIT PLANS.]
(a) Local service units shall prepare and submit to the
commissioner by April 15 of each year 1990 an annual plan for
the subsequent fiscal year. By April 15, 1991, and by April 15
of each second year thereafter, local service units shall
prepare and submit to the commissioner a plan that covers the
next two state fiscal years. The commissioner shall notify each
local service unit within 60 days of receipt of its plan that
the plan has been approved or disapproved. The plan must
include:
(1) a statement of objectives for the employment and
training services the local service unit administers;
(2) the establishment of public assistance caseload
reduction goals and the strategies and programs that will be
used to achieve these goals;
(3) a statement of whether the goals from the preceding
year were met and an explanation if the local service unit
failed to meet the goals;
(4) the amount proposed to be allocated to each employment
and training service;
(5) the proposed types of employment and training services
the local service unit plans to utilize;
(6) a description of how the local service unit will use
funds provided under section 256.736 to meet the requirements of
that section. The description must include the two work
programs required by section 256.736, subdivision 10, paragraph
(a), clause (13), what services will be provided, number of
clients served, per service expenditures, type of clients
served, and projected outcomes;
(7) a report on the use of wage subsidies, grant
diversions, community investment programs, and other services
administered under this chapter;
(8) an annual update of the community investment program
plan according to standards established by the commissioner;
(9) a performance review of the employment and training
service providers delivering employment and training services
for the local service unit;
(10) (9) a copy of any contract between the local service
unit and an employment and training service provider including
expected outcomes and service levels for public assistance
clients; and
(11) (10) a copy of any other agreements between
educational institutions, family support services, and child
care providers.
(b) In counties with a city of the first class, the county
and the city shall develop and submit a joint plan. The plan
may not be submitted until agreed to by both the city and the
county. The plan must provide for the direct allocation of
employment and training money to the city and the county unless
waived by either. If the county and the city cannot concur on a
plan, the commissioner shall resolve their dispute. In counties
in which a federally recognized Indian tribe is operating an
employment and training program under an agreement with the
commissioner of human services, the plan must provide that the
county will coordinate its employment and training programs,
including developing a system for referrals, sanctions, and the
provision of supporting services such as access to child care
funds and transportation with programs operated by the Indian
tribe. The plan may not be given final approval by the
commissioner until the tribal unit and county have submitted
written agreement on these provisions in the plan. If the
county and Indian tribe cannot agree on these provisions, the
local service unit shall notify the commissioner of jobs and
training and the commissioners of jobs and training and human
services shall resolve the dispute.
(c) The commissioner may withhold the distribution of
employment and training money from a local service unit that
does not submit a plan to the commissioner by the date set by
this section, and shall withhold the distribution of employment
and training money from a local service unit whose plan has been
disapproved by the commissioner until an acceptable amended plan
has been submitted.
(d) Notwithstanding Minnesota Statutes 1988, section
268.88, local service units shall prepare and submit to the
commissioner by June 1, 1989, an annual plan for fiscal year
1990. The commissioner shall notify each local service unit
within 30 days of receipt of its plan if its plan has been
approved or disapproved. Beginning April 15, 1992, and by April
15 of each second year thereafter, local service units must
prepare and submit to the commissioner an interim year plan
update that deals with performance in that state fiscal year and
changes anticipated for the second year of the biennium. The
update must include information about employment and training
programs addressed in the local service unit's two-year plan and
shall be completed in accordance with criteria established by
the commissioner.
Sec. 78. Minnesota Statutes 1989 Supplement, section
268.881, is amended to read:
268.881 [INDIAN TRIBE PLANS.]
The commissioner, in consultation with the commissioner of
human services, shall review and comment on Indian tribe plans
submitted to the commissioner for provision of employment and
training services. The plan must be submitted by April 15 for
the state fiscal year ending June 30, 1990. For subsequent
years, the plan must be submitted at least 60 days before the
program commences. The commissioner shall approve or disapprove
the plan for the state fiscal year ending June 30, 1990, within
30 days of receipt. The commissioner shall notify the Indian
tribe of approval or disapproval of plans for subsequent years
within 60 days of submission of the plans. The grant proposal
must contain information that has been established by the
commissioner and the commissioner of human services for the
employment and training services grant program for Indian tribes.
(a) The commissioner, in consultation with the commissioner
of human services, shall review and comment on Indian tribe
plans submitted to the commissioner for provision of employment
and training services. Beginning April 15, 1991, and by April
15 of each second year thereafter, the Indian tribe shall
prepare and submit to the commissioner a plan that covers the
next two state fiscal years. Beginning April 15, 1992, and by
April 15 of each second year thereafter, the Indian tribe shall
prepare and submit to the commissioner an interim year plan
update that deals with performance during the past state fiscal
year and that covers changes anticipated for the second year of
the biennium. The commissioner shall notify the Indian tribe of
approval or disapproval of the plans and updates for existing
programs within 60 days of submission.
(b) A plan for a new tribal program must be submitted at
least 45 days before the program is to commence. The
commissioner shall approve or disapprove the plan for new
programs within 30 days of receipt.
(c) The tribal plan and update must contain information
that has been established by the commissioner and the
commissioner of human services for the tribal employment and
training service program.
(d) The commissioner may recommend to the commissioner of
human services withholding the distribution of employment and
training money from a tribe whose plan or update is disapproved
by the commissioner or a tribe that does not submit a plan or
update by the date established in this section.
Sec. 79. Minnesota Statutes 1988, section 268.90,
subdivision 1, is amended to read:
Subdivision 1. Community investment programs provide
temporary employment to people who are experiencing prolonged
unemployment and economic hardship. Community investment
programs consist of one or more projects. Community investment
programs must be beneficial to the state and the communities in
which they are located and must provide program employees
participants with training and work experience that will enhance
their employability. The projects must include activities that:
(1) expand or improve services, including education,
health, social services, recreation, and safety;
(2) improve or maintain natural resources, including
rivers, streams and lakes, forest lands and roads, and soil
conservation;
(3) make permanent improvements to lands and buildings; or
(4) weatherize public buildings and private residential
dwellings.
Community investment programs may not include job
placements that replace work that was part or all of the duties
or responsibilities of an authorized public employee position
established as of January 1, 1985.
Community investment programs that include other sources of
money or authorized programs may provide employment for the
groups eligible for the included programs under the terms and
conditions of those programs. These programs include the
Minnesota conservation corps, Minnesota summer youth program,
county emergency jobs program, and the jobs training partnership
act.
Sec. 80. Minnesota Statutes 1988, section 268.90,
subdivision 3, is amended to read:
Subd. 3. [COMMISSIONER OF JOBS AND TRAINING.] The
commissioner shall:
(1) Make emergency or permanent rules governing plan
content, criteria for approval, and administrative standards;
(2) refer community investment program administrators to
the appropriate state agency for technical assistance in
developing and administering community investment programs;
(3) establish the method by which community investment
programs will be approved or disapproved through the community
investment program plan and the annual update component of the
county plan;
(4) review and comment on community investment program
plans;
(5) institute ongoing methods to monitor and evaluate
community investment programs; and
(6) inform consult with the commissioner of human services
of on the counties that do not have an approved plan approval of
county plans for community investment programs relating to the
participation of public assistance recipients.
Sec. 81. Minnesota Statutes 1988, section 268.90,
subdivision 4, is amended to read:
Subd. 4. [COUNTY BOARDS OF COMMISSIONERS.] The county
boards of commissioners shall:
(1) be encouraged to establish community investment
programs that are administered jointly according to section
471.59, or through multicounty human service boards under
chapter 402;
(2) develop community investment programs in consultation
with the exclusive representatives of their employees;
(3) plan community investment programs by involving
nonprofit organizations and other governmental units, community
action agencies, community-based organizations, local union
representatives, and representatives of client groups;
(4) submit to the commissioner a community investment
program plan identifying the program funding source and amount,
before the initiation of a community investment program, for
approval according to standards established by the commissioner;
(5) plan community investment projects that, whenever
possible, utilize existing programs that are administered under
contract by nonprofit organizations and governmental units,
including departments and agencies of cities, counties, towns,
school districts, state and federal agencies, park reserve
districts, and other special districts;
(6) include in their local service unit plans an annual
update to their community investment program plans for approval
according to standards established by the commissioner;
(7) submit reports and meet administrative standards
established by rule the commissioner;
(8) monitor the performance of entities under contract to
administer individual community investment projects;
(9) enter into contracts with other governmental and
private bodies to jointly fund or jointly administer approvable
projects when agreements expand the resources available, the
scope of people employed, or further recognized public purposes;
and
(10) be encouraged to enter into contracts with businesses
or individuals for eligible projects under subdivision 1 and
charge a fee for the completion of a project.
Sec. 82. [WELFARE FRAUD DISQUALIFICATION DEMONSTRATION
PROJECT.]
The commissioner of human services is authorized to seek
federal approval to develop a demonstration project, using the
administrative appeals process of section 256.045, to hear cases
involving persons accused of wrongfully obtaining assistance in
the AFDC or food stamps programs. Allegations of fraud must be
proven by clear and convincing evidence. If a person is found
to have wrongfully obtained assistance in the AFDC or food
stamps program, that person shall be disqualified from the
program and the needs of that individual shall not be taken into
account in determining the grant or assistance level. The
period of disqualification may be up to six months for a first
offense and up to 12 months for a second offense. For a third
or subsequent offense, the disqualification period may be in
excess of one year and can be permanent. In determining the
sanction to impose, the appeals referee shall consider the
amount of assistance wrongfully obtained, the actions whereby
assistance was wrongfully obtained, and the effect of proposed
sanctions on other members of the affected assistance unit.
When federal approval is received, the agency shall develop an
implementation plan which includes criteria for sanctions to be
applied, and shall present the plan to the legislature for
approval.
Sec. 83. [WELFARE MIGRATION STUDY.]
The commissioner of human services shall conduct a study to
determine the patterns of migration of welfare recipients to and
from the state. The study must determine: (1) the numbers of
new applicants for AFDC and general assistance who moved to the
state a short time before applying for assistance; (2) the
former states or countries of residence of these applicants and
whether the applicants lived in Minnesota in the past; (3) the
number of welfare recipients who leave the state and the states
to which these recipients are moving; and (4) the reasons
welfare applicants or recipients move to or from Minnesota.
This information must be collected and analyzed to determine
whether migration patterns are different for border counties;
nonborder, rural counties where there is a perception that there
is an unusually high incidence of recipient immigration; and
metropolitan area counties. The commissioner shall provide a
report to the legislature by December 15, 1990. The report must
include: (1) a summary and analysis of the information
collected in the study regarding welfare migration patterns; (2)
a comparison of welfare recipient migration patterns to
migration patterns in the general population; (3) a survey of
existing research and reports relating to welfare migration; (4)
a description of the decline in economic support from the
federal government in these areas over the past ten years; (5) a
description and analysis of federal statutes or regulations or
constitutional law restrictions that limit the authority of
states and local communities to take action relating to the
migration of recipients; and (6) a list of options available to
the legislature and local governments relating to migration of
recipients.
Sec. 84. [INSTRUCTION TO REVISOR.]
In the next edition of Minnesota Statutes, the revisor of
statutes shall substitute the phrase "target group," "target
groups," "targeted caretaker," or "targeted caretakers" for the
phrases "priority group," "priority groups," "priority
caretaker," or "priority caretakers" wherever it appears in
Minnesota Statutes, section 256.736. The revisor of statutes
shall also substitute the phrase "county agency" or "county
agencies" for the phrase "local agency" or "local agencies"
wherever it appears in Minnesota Statutes, chapters 256 and 256D.
Sec. 85. [REPEALER.]
Subdivision 1. [AFDC PROGRAM.] Minnesota Statutes 1988,
sections 256.736, subdivisions 1b, 2a, 8, and 17; and 256.7365,
subdivision 8, are repealed.
Subd. 2. [GENERAL ASSISTANCE.] Minnesota Statutes 1988,
section 256D.06, subdivision 1c, is repealed.
Subd. 3. [JOBS AND TRAINING.] Minnesota Statutes 1988,
sections 268.672, subdivision 12; 268.86, subdivision 9; and
268.872, subdivision 3, are repealed.
Subd. 4. [CHILD CARE.] Minnesota Statutes 1988, sections
256H.01, subdivision 14, and 256H.16, are repealed. Minnesota
Statutes 1989 Supplement, section 256H.05, subdivisions 1, 1a,
and 3a, are repealed.
Sec. 86. [EFFECTIVE DATE.]
Subdivision 1. [AFDC; CHILD CARE.] Sections 1 to 18; 33 to
81; 84; and 85, subdivisions 1, 3, and 4, are effective May 1,
1990.
Subd. 2. [GENERAL ASSISTANCE.] Sections 20, 22 to 24; 26
to 32; and 85, subdivision 2, are effective October 1, 1990.
ARTICLE 5
MENTAL HEALTH
Section 1. Minnesota Statutes 1988, section 245.467,
subdivision 2, is amended to read:
Subd. 2. [DIAGNOSTIC ASSESSMENT.] All providers of
residential, acute care hospital inpatient, and regional
treatment centers must complete a diagnostic assessment for each
of their clients within five days of admission. Providers of
outpatient and day treatment services must complete a diagnostic
assessment within ten five days after the adult's second visit
or within 30 days of admission after intake, whichever occurs
first. In cases where a diagnostic assessment is available and
has been completed within 90 180 days preceding admission, only
updating is necessary. "Updating" means a written summary by a
mental health professional of the adult's current mental health
status and service needs. If the adult's mental health status
has changed markedly since the adult's most recent diagnostic
assessment, a new diagnostic assessment is required. Compliance
with the provisions of this subdivision does not ensure
eligibility for medical assistance or general assistance medical
care reimbursement under chapters 256B and 256D.
Sec. 2. Minnesota Statutes 1989 Supplement, section
245.467, subdivision 3, is amended to read:
Subd. 3. [INDIVIDUAL TREATMENT PLANS.] All providers of
outpatient services, day treatment services, residential
treatment, acute care hospital inpatient treatment, and all
regional treatment centers must develop an individual treatment
plan for each of their adult clients. The individual treatment
plan must be based on a diagnostic assessment. To the extent
possible, the adult client shall be involved in all phases of
developing and implementing the individual treatment
plan. Providers of residential treatment and acute care
hospital inpatient treatment, and all regional treatment centers
must develop the individual treatment plan must be developed
within ten days of client intake and reviewed must review the
individual treatment plan every 90 days thereafter after intake.
Providers of day treatment services must develop the individual
treatment plan before the completion of five working days in
which service is provided or within 30 days after the diagnostic
assessment is completed or obtained, whichever occurs
first. Providers of outpatient services must develop the
individual treatment plan within 30 days after the diagnostic
assessment is completed or obtained or by the end of the second
session of an outpatient service, not including the session in
which the diagnostic assessment was provided, whichever occurs
first. Outpatient and day treatment services providers must
review the individual treatment plan every 90 days after intake.
Sec. 3. Minnesota Statutes 1989 Supplement, section
245.469, is amended to read:
245.469 [EMERGENCY SERVICES.]
Subdivision 1. [AVAILABILITY OF EMERGENCY SERVICES.] By
July 1, 1988, county boards must provide or contract for enough
emergency services within the county to meet the needs of adults
in the county who are experiencing an emotional crisis or mental
illness. Clients may be required to pay a fee according to
section 245.481. Emergency services must include
assessment, crisis intervention, and appropriate case
disposition. Emergency services must:
(1) promote the safety and emotional stability of adults
with mental illness or emotional crises;
(2) minimize further deterioration of adults with mental
illness or emotional crises;
(3) help adults with mental illness or emotional crises to
obtain ongoing care and treatment; and
(4) prevent placement in settings that are more intensive,
costly, or restrictive than necessary and appropriate to meet
client needs.
Subd. 2. [SPECIFIC REQUIREMENTS.] The county board shall
require that all service providers of emergency services to
adults with mental illness provide immediate direct access to a
mental health professional during regular business hours. For
evenings, weekends, and holidays, the service may be by direct
toll free telephone access to a mental health professional, a
mental health practitioner, or until January 1, 1991, a
designated person with training in human services who receives
clinical supervision from a mental health professional. The
commissioner may waive the requirement that the evening,
weekend, and holiday service be provided by a mental health
professional or mental health practitioner after January 1,
1991, if the county documents that:
(1) mental health professionals or mental health
practitioners are unavailable to provide this service;
(2) services are provided by a designated person with
training in human services who receives clinical supervision
from a mental health professional; and
(3) the service provider is not also the provider of fire
and public safety emergency services.
Whenever emergency service during nonbusiness hours is
provided by anyone other than a mental health professional, a
mental health professional must be available for at least
telephone consultation within 30 minutes.
Sec. 4. Minnesota Statutes 1989 Supplement, section
245.4711, subdivision 1, is amended to read:
245.4711 [CASE MANAGEMENT AND COMMUNITY SUPPORT SERVICES.]
Subdivision 1. [AVAILABILITY OF CASE MANAGEMENT SERVICES.]
(a) By January 1, 1989, the county board shall provide case
management activities services for all adults with serious and
persistent mental illness residing in who are residents of the
county and who request or consent to the services and to each
adult for whom the court appoints a case manager. Staffing
ratios must be sufficient to serve the needs of the clients.
The case manager must meet the requirements in section 245.462,
subdivision 4.
(b) Case management services provided to adults with
serious and persistent mental illness eligible for medical
assistance must be billed to the medical assistance program
under sections 256B.02, subdivision 8, and 256B.0625.
Sec. 5. Minnesota Statutes 1989 Supplement, section
245.4711, subdivision 2, is amended to read:
Subd. 2. [NOTIFICATION AND DETERMINATION OF CASE
MANAGEMENT ELIGIBILITY.] (a) The county board shall notify the
client adult of the person's adult's potential eligibility for
case management services within five working days after
receiving a request from an individual or a referral from a
provider under section 245.467, subdivision 4. The county board
shall send a written notice to the client adult and the client's
adult's representative, if any, that identifies the designated
case management providers.
(b) The county board must determine whether an adult who
requests or is referred for case management services meets the
criteria of section 245.462, subdivision 20, paragraph (c). If
a diagnostic assessment is needed to make the determination, the
county board shall offer to assist the adult in obtaining a
diagnostic assessment. The county board shall notify, in
writing, the adult and the adult's representative, if any, of
the eligibility determination. If the adult is determined to be
eligible for case management services, the county board shall
refer the adult to the case management provider for case
management services. If the adult is determined not to be
eligible or refuses case management services, the local agency
shall offer to refer the adult to a mental health provider or
other appropriate service provider and to assist the adult in
making an appointment with the provider of the adult's choice.
Sec. 6. Minnesota Statutes 1989 Supplement, section
245.4711, subdivision 3, is amended to read:
Subd. 3. [DUTIES OF CASE MANAGER.] (a) The case manager
shall promptly arrange for a diagnostic assessment of the
applicant when one is not available as described in section
245.467, subdivision 2, to determine the applicant's eligibility
as an adult with serious and persistent mental illness for
community support services. The county board shall notify in
writing the applicant and the applicant's representative, if
any, if the applicant is determined ineligible for community
support services.
(b) Upon a determination of eligibility for community
support case management services, and if the adult consents to
the services, the case manager shall complete a written
functional assessment according to section 245.462, subdivision
11a. The case manager shall develop an individual community
support plan for an the adult according to subdivision 4,
paragraph (a), review the client's adult's progress, and monitor
the provision of services. If services are to be provided in a
host county that is not the county of financial responsibility,
the case manager shall consult with the host county and obtain a
letter demonstrating the concurrence of the host county
regarding the provision of services.
Sec. 7. [245.4712] [COMMUNITY SUPPORT AND DAY TREATMENT
SERVICES.]
Subdivision 1. [AVAILABILITY OF COMMUNITY SUPPORT
SERVICES.] County boards must provide or contract for sufficient
community support services within the county to meet the needs
of adults with serious and persistent mental illness who are
residents of the county. Adults may be required to pay a fee
according to section 245.481. The community support services
program must be designed to improve the ability of adults with
serious and persistent mental illness to:
(1) work in a regular or supported work environment;
(2) handle basic activities of daily living;
(3) participate in leisure time activities;
(4) set goals and plans; and
(5) obtain and maintain appropriate living arrangements.
The community support services program must also be
designed to reduce the need for and use of more intensive,
costly, or restrictive placements both in number of admissions
and length of stay.
Subd. 2. [DAY TREATMENT SERVICES PROVIDED.] (a) Day
treatment services must be developed as a part of the community
support services available to adults with serious and persistent
mental illness residing in the county. Adults may be required
to pay a fee according to section 245.481. Day treatment
services must be designed to:
(1) provide a structured environment for treatment;
(2) provide support for residing in the community;
(3) prevent placement in settings that are more intensive,
costly, or restrictive than necessary and appropriate to meet
client need;
(4) coordinate with or be offered in conjunction with a
local education agency's special education program; and
(5) operate on a continuous basis throughout the year.
(b) County boards may request a waiver from including day
treatment services if they can document that:
(1) an alternative plan of care exists through the county's
community support services for clients who would otherwise need
day treatment services;
(2) day treatment, if included, would be duplicative of
other components of the community support services; and
(3) county demographics and geography make the provision of
day treatment services cost ineffective and infeasible.
Subd. 3. [BENEFITS ASSISTANCE.] The county board must
offer to help adults with serious and persistent mental illness
in applying for state and federal benefits, including
supplemental security income, medical assistance, Medicare,
general assistance, general assistance medical care, and
Minnesota supplemental aid. The help must be offered as part of
the community support program available to adults with serious
and persistent mental illness for whom the county is financially
responsible and who may qualify for these benefits.
Sec. 8. Minnesota Statutes 1989 Supplement, section
245.474, is amended to read:
245.474 [REGIONAL TREATMENT CENTER INPATIENT SERVICES.]
Subdivision 1. [AVAILABILITY OF REGIONAL TREATMENT CENTER
INPATIENT SERVICES.] By July 1, 1987, the commissioner shall
make sufficient regional treatment center inpatient services
available to adults with mental illness throughout the state who
need this level of care. Services must be as close to the
patient's county of residence as possible. Regional treatment
centers are responsible to:
(1) provide acute care inpatient hospitalization;
(2) stabilize the medical and mental health condition of
the adult requiring the admission;
(2) (3) improve functioning to the point where discharge to
community-based mental health services is possible;
(3) (4) strengthen family and community support; and
(4) (5) facilitate appropriate discharge and referrals for
follow-up mental health care in the community.
Subd. 2. [QUALITY OF SERVICE.] The commissioner shall
biennially determine the needs of all adults with mental illness
who are served by regional treatment centers by administering a
client-based evaluation system. The client-based evaluation
system must include at least the following independent
measurements: behavioral development assessment; habilitation
program assessment; medical needs assessment; maladaptive
behavioral assessment; and vocational behavior assessment. The
commissioner shall propose staff ratios to the legislature for
the mental health and support units in regional treatment
centers as indicated by the results of the client-based
evaluation system and the types of state-operated services
needed. The proposed staffing ratios shall include
professional, nursing, direct care, medical, clerical, and
support staff based on the client-based evaluation system. The
commissioner shall recompute staffing ratios and recommendations
on a biennial basis.
Subd. 3. [TRANSITION TO COMMUNITY.] Regional treatment
centers must plan for and assist clients in making a transition
from regional treatment centers to other community-based
services. In coordination with the client's case manager, if
any, regional treatment centers must also arrange for
appropriate follow-up care in the community during the
transition period. Before a client is discharged, the regional
treatment center must notify the client's case manager, so that
the case manager can monitor and coordinate the transition and
arrangements for the client's appropriate follow-up care in the
community.
Sec. 9. Minnesota Statutes 1989 Supplement, section
245.487, subdivision 2, is amended to read:
Subd. 2. [FINDINGS.] The legislature finds there is a need
for further development of existing clinical services for
emotionally disturbed children and their families and the
creation of new services for this population. Although the
services specified in sections 245.487 to 245.4887 are mental
health services, sections 245.487 to 245.4887 emphasize the need
for a child-oriented and family-oriented approach of therapeutic
programming and the need for continuity of care with other
community agencies. At the same time, sections 245.487 to
245.4887 emphasize the importance of developing special mental
health expertise in children's mental health services because of
the unique needs of this population.
Nothing in this act shall be construed to abridge the
authority of the court to make dispositions under chapter 260
but the mental health services due any child with serious and
persistent mental illness, as defined in section 245.462,
subdivision 20, or with severe emotional disturbance, as defined
in section 245.4871, subdivision 6, shall be made a part of any
disposition affecting that child.
Sec. 10. Minnesota Statutes 1989 Supplement, section
245.487, subdivision 5, is amended to read:
Subd. 5. [CONTINUATION OF EXISTING MENTAL HEALTH SERVICES
FOR CHILDREN.] Counties shall make available case management,
community support services, and day treatment to children
eligible to receive these services under Minnesota Statutes
1988, section 245.471. No later than August 1, 1989, the county
board shall notify providers in the local system of care of
their obligations to refer children eligible for case management
and community support services as of January 1, 1989. The
county board shall forward a copy of this notice to the
commissioner. The notice shall indicate which children are
eligible, a description of the services, and the name of the
county employee designated to coordinate case management
activities and shall include a copy of the plain language
notification described in section 245.4881, subdivision 2,
paragraph (b). Providers shall distribute copies of this
notification when making a referral for case management.
Sec. 11. Minnesota Statutes 1989 Supplement, section
245.4871, subdivision 3, is amended to read:
Subd. 3. [CASE MANAGEMENT SERVICES.] "Case management
services" means activities that are coordinated with the family
community support services and are designed to help the child
with severe emotional disturbance and the child's family obtain
needed mental health services, social services, educational
services, health services, vocational services, recreational
services, and related services in the areas of volunteer
services, advocacy, transportation, and legal services. Case
management services include obtaining a comprehensive diagnostic
assessment, assisting in obtaining a comprehensive diagnostic
assessment, if needed, developing a functional assessment,
developing an individual family community support plan, and
assisting the child and the child's family in obtaining needed
services by coordination with other agencies and assuring
continuity of care. Case managers must assess and reassess the
delivery, appropriateness, and effectiveness of these services
over time.
Sec. 12. Minnesota Statutes 1989 Supplement, section
245.4873, subdivision 2, is amended to read:
Subd. 2. [STATE LEVEL; COORDINATION.] The commissioners or
designees of commissioners of the departments of human services,
health, education, state planning, and corrections, and a
representative of the Minnesota district judges association
juvenile committee, in conjunction with the commissioner of
commerce or a designee of the commissioner, shall meet at least
quarterly through 1992 to:
(1) educate each agency about the policies, procedures,
funding, and services for children with emotional disturbances
of all agencies represented;
(2) develop mechanisms for interagency coordination on
behalf of children with emotional disturbances;
(3) identify barriers including policies and procedures
within all agencies represented that interfere with delivery of
mental health services for children;
(4) recommend policy and procedural changes needed to
improve development and delivery of mental health services for
children in the agency or agencies they represent;
(5) identify mechanisms for better use of federal and state
funding in the delivery of mental health services for children;
and
(6) until February 15, 1992, prepare an annual report on
the policy and procedural changes needed to implement a
coordinated, effective, and cost-efficient children's mental
health delivery system.
This report shall be submitted to the legislature and the
state mental health advisory council annually until February 15,
1992, as part of the report required under section 245.487,
subdivision 4. The report shall include information from each
department represented on:
(1) the number of children in each department's system who
require mental health services;
(2) the number of children in each system who receive
mental health services;
(3) how mental health services for children are funded
within each system;
(4) how mental health services for children could be
coordinated to provide more effectively appropriate mental
health services for children; and
(5) recommendations for the provision of early screening
and identification of mental illness in each system.
Sec. 13. Minnesota Statutes 1989 Supplement, section
245.4874, is amended to read:
245.4874 [DUTIES OF COUNTY BOARD.]
The county board in each county shall use its share of
mental health and community social service act funds allocated
by the commissioner according to a biennial local children's
mental health service proposal required under section 245.4887,
and approved by the commissioner. The county board must:
(1) develop a system of affordable and locally available
children's mental health services according to sections 245.487
to 245.4887;
(2) assure that parents and providers in the county receive
information about how to gain access to services provided
according to sections 245.487 to 245.4887;
(3) coordinate the delivery of children's mental health
services with services provided by social services, education,
corrections, health, and vocational agencies to improve the
availability of mental health services to children and the cost
effectiveness of their delivery;
(3) (4) assure that mental health services delivered
according to sections 245.487 to 245.4887 are delivered
expeditiously and are appropriate to the child's diagnostic
assessment and individual treatment plan;
(4) (5) provide the community with information about
predictors and symptoms of emotional disturbances and how to
access children's mental health services according to sections
245.4877 and 245.4878;
(5) (6) provide for case management services to each child
with severe emotional disturbance according to sections 245.486;
245.4871, subdivisions 3 and 4; and 245.4881, subdivisions 1, 3,
and 5;
(6) (7) provide for screening of each child under section
245.4885 upon admission to a residential treatment facility,
acute care hospital inpatient treatment, or informal admission
to a regional treatment center;
(7) (8) prudently administer grants and purchase-of-service
contracts that the county board determines are necessary to
fulfill its responsibilities under sections 245.487 to 245.4887;
(8) (9) assure that mental health professionals, mental
health practitioners, and case managers employed by or under
contract to the county to provide mental health services are
qualified under section 245.4871; and
(9) (10) assure that children's mental health services are
coordinated with adult mental health services specified in
sections 245.461 to 245.486 so that a continuum of mental health
services is available to serve persons with mental illness,
regardless of the person's age.
Sec. 14. Minnesota Statutes 1989 Supplement, section
245.4875, subdivision 5, is amended to read:
Subd. 5. [LOCAL CHILDREN'S ADVISORY COUNCIL.] (a) By
October 1, 1989, the county board, individually or in
conjunction with other county boards, shall establish a local
children's mental health advisory council or children's mental
health subcommittee of the existing local mental health advisory
council or shall include persons on its existing mental health
advisory council who are representatives of children's mental
health interests. The following individuals must serve on the
local children's mental health advisory council, the children's
mental health subcommittee of an existing local mental health
advisory council, or be included on an existing mental health
advisory council: (1) at least one person who was in a mental
health program as a child or adolescent; (2) at least one parent
of a child or adolescent with severe emotional disturbance; (3)
one children's mental health professional; (4) representatives
of minority populations of significant size residing in the
county; (5) a representative of the children's mental health
local coordinating council; and (6) one family community support
services program representative.
(b) The local children's mental health advisory council or
children's mental health subcommittee of an existing advisory
council shall seek input from parents, former consumers,
providers, and others about the needs of children with emotional
disturbance in the local area and services needed by families of
these children, and shall meet at least quarterly monthly,
unless otherwise determined by the council or subcommittee, but
not less than quarterly, to review, evaluate, and make
recommendations regarding the local children's mental health
system. Annually, the local children's mental health advisory
council or children's mental health subcommittee of the existing
local mental health advisory council shall:
(1) arrange for input from the local system of care
providers regarding coordination of care between the services;
and
(2) identify for the county board the individuals,
providers, agencies, and associations as specified in section
245.4877, clause (2).
(c) The county board shall consider the advice of its local
children's mental health advisory council or children's mental
health subcommittee of the existing local mental health advisory
council in carrying out its authorities and responsibilities.
Sec. 15. Minnesota Statutes 1989 Supplement, section
245.4876, subdivision 2, is amended to read:
Subd. 2. [DIAGNOSTIC ASSESSMENT.] All residential
treatment facilities and acute care hospital inpatient treatment
services facilities that provide mental health services for
children must complete a diagnostic assessment for each of their
child clients within five working days of admission. Providers
of outpatient and day treatment services for children must
complete a diagnostic assessment within ten working days of
admission five days after the child's second visit or 30 days
after intake, whichever occurs first. In cases where a
diagnostic assessment is available and has been completed within
90 180 days preceding admission, only updating is
necessary. "Updating" means a written summary by a mental
health professional of the child's current mental health status
and service needs. If the child's mental health status has
changed markedly since the child's most recent diagnostic
assessment, a new diagnostic assessment is required. Compliance
with the provisions of this subdivision does not ensure
eligibility for medical assistance or general assistance medical
care reimbursement under chapters 256B and 256D.
Sec. 16. Minnesota Statutes 1989 Supplement, section
245.4876, subdivision 3, is amended to read:
Subd. 3. [INDIVIDUAL TREATMENT PLANS.] All providers of
outpatient services, day treatment services, family community
support services, professional home-based family treatment,
residential treatment facilities, and acute care hospital
inpatient treatment facilities, and all regional treatment
centers that provide mental health facilities services for
children must develop an individual treatment plan for each
child client. The individual treatment plan must be based on a
diagnostic assessment. To the extent appropriate, the child and
the child's family shall be involved in all phases of developing
and implementing the individual treatment plan. Providers of
residential treatment, professional home-based family treatment,
and acute care hospital inpatient treatment, and regional
treatment centers must develop the individual treatment plan
must be developed within ten working days of client intake or
admission and reviewed must review the individual treatment plan
every 90 days after that date intake, except that the
administrative review of the treatment plan of a child placed in
a residential facility shall be as specified in section 257.071,
subdivisions 2 and 4. Providers of day treatment services must
develop the individual treatment plan before the completion of
five working days in which service is provided or within 30 days
after the diagnostic assessment is completed or obtained,
whichever occurs first. Providers of outpatient services must
develop the individual treatment plan within 30 days after the
diagnostic assessment is completed or obtained or by the end of
the second session of an outpatient service, not including the
session in which the diagnostic assessment was provided,
whichever occurs first. Providers of outpatient and day
treatment services must review the individual treatment plan
every 90 days after intake.
Sec. 17. Minnesota Statutes 1989 Supplement, section
245.4876, subdivision 4, is amended to read:
Subd. 4. [REFERRAL FOR CASE MANAGEMENT.] Each provider of
emergency services, outpatient treatment, community support
services, family community support services, day treatment
services, screening under section 245.4885, professional
home-based family treatment services, residential treatment
facilities, acute care hospital inpatient treatment facilities,
or regional treatment center services must inform each child
with severe emotional disturbance, and the child's parent or
legal representative, of the availability and potential benefits
to the child of case management. The information shall be
provided as specified in subdivision 5. If consent is obtained
according to subdivision 5, the provider must refer the child by
notifying the county employee designated by the county board to
coordinate case management activities of the child's name and
address and by informing the child's family of whom to contact
to request case management. The provider must document
compliance with this subdivision in the child's record. The
parent or child may directly request case management even if
there has been no referral.
Sec. 18. Minnesota Statutes 1989 Supplement, section
245.4879, is amended to read:
245.4879 [EMERGENCY SERVICES.]
Subdivision 1. [AVAILABILITY OF EMERGENCY SERVICES.]
County boards must provide or contract for enough mental health
emergency services within the county to meet the needs of
children, and children's families when clinically appropriate,
in the county who are experiencing an emotional crisis or
emotional disturbance. The county board shall ensure that
parents, providers, and county residents are informed about when
and how to access emergency mental health services for
children. A child or the child's parent may be required to pay
a fee according to section 245.481. Emergency service providers
shall not delay the timely provision of emergency service
because of delays in determining this fee or because of the
unwillingness or inability of the parent to pay the fee.
Emergency services must include assessment, crisis intervention,
and appropriate case disposition. Emergency services must:
(1) promote the safety and emotional stability of children
with emotional disturbances or emotional crises;
(2) minimize further deterioration of the child with
emotional disturbance or emotional crisis;
(3) help each child with an emotional disturbance or
emotional crisis to obtain ongoing care and treatment; and
(4) prevent placement in settings that are more intensive,
costly, or restrictive than necessary and appropriate to meet
the child's needs.
Subd. 2. [SPECIFIC REQUIREMENTS.] The county board shall
require that all service providers of emergency services to the
child with an emotional disturbance provide immediate direct
access to a mental health professional during regular business
hours. For evenings, weekends, and holidays, the service may be
by direct toll-free telephone access to a mental health
professional, a mental health practitioner, or until January 1,
1991, a designated person with training in human services who
receives clinical supervision from a mental health
professional. The commissioner may waive the requirement that
the evening, weekend, and holiday service be provided by a
mental health professional or mental health practitioner after
January 1, 1991, if the county documents that:
(1) mental health professionals or mental health
practitioners are unavailable to provide this service;
(2) services are provided by a designated person with
training in human services who receives clinical supervision
from a mental health professional; and
(3) the service provider is not also the provider of fire
and public safety emergency services.
When emergency service during nonbusiness hours is provided
by anyone other than a mental health professional, a mental
health professional must be available for at least telephone
consultation within 30 minutes.
Sec. 19. Minnesota Statutes 1989 Supplement, section
245.4881, subdivision 1, is amended to read:
Subdivision 1. [AVAILABILITY OF CASE MANAGEMENT SERVICES.]
(a) By July 1, 1991, the county board shall provide case
management activities services for each child with severe
emotional disturbance residing in who is a resident of the
county and the child's family who request or consent to the
services. Staffing ratios must be sufficient to serve the needs
of the clients. The case manager must meet the requirements in
section 245.4871, subdivision 4.
(b) Case management services provided to children with
severe emotional disturbance eligible for medical assistance
must be billed to the medical assistance program under sections
256B.02, subdivision 8, and 256B.0625.
Sec. 20. Minnesota Statutes 1989 Supplement, section
245.4881, subdivision 2, is amended to read:
Subd. 2. [NOTIFICATION AND DETERMINATION OF CASE
MANAGEMENT ELIGIBILITY.] (a) The county board shall notify, as
appropriate, the child, child's parent, or child's legal
representative of the child's potential eligibility for case
management services within five working days after receiving a
request from an individual or a referral from a provider under
section 245.4876, subdivision 4.
(b) The county board shall send a notification written in
plain language of potential eligibility for case management and
family community support services. The notification shall
identify the designated case management providers and shall
contain:
(1) a brief description of case management and family
community support services;
(2) the potential benefits of these services;
(3) the identity and current phone number of the county
employee designated to coordinate case management activities;
(4) an explanation of how to obtain county assistance in
obtaining a diagnostic assessment, if needed; and
(5) an explanation of the appeal process.
The county board shall send a written notice that
identifies the designated case management providers. The county
board shall send the notice, as appropriate, to the child, the
child's parent, or the child's legal representative, if any.
(c) The county board must promptly determine whether a
child who requests or is referred for case management services
meets the criteria of sections 245.471 or 245.4871, subdivision
6. If a diagnostic assessment is needed to make the
determination, the county board must offer to assist the child
and the child's family in obtaining one. The county board shall
notify, in writing, the child and the child's representative, if
any, of the eligibility determination. If the child is
determined to be eligible for case management services, and if
the child and the child's family consent to the services, the
county board shall refer the child to the case management
provider for case management services. If the child is
determined not to be eligible or refuses case management
services, the county board shall notify the child of the appeal
process and shall offer to refer the child to a mental health
provider or other appropriate service provider and to assist the
child in making an appointment with the provider of the child's
choice.
Sec. 21. Minnesota Statutes 1989 Supplement, section
245.4881, subdivision 3, is amended to read:
Subd. 3. [DUTIES OF CASE MANAGER.] (a) The case manager
shall promptly arrange for a diagnostic assessment of the child
when one is not available as described in section 245.4876,
subdivision 2, to determine the child's eligibility as a child
with severe emotional disturbance for family community support
services. The county board shall notify in writing, as
appropriate, the child, the child's parent, or the child's legal
representative, if any, if the child is determined ineligible
for family community support services.
(b) Upon a determination of eligibility for family support
case management services, the case manager shall complete a
written functional assessment according to section 245.4871,
subdivision 18. The case manager shall develop an individual
family community support plan for a child as specified in
subdivision 4, review the child's progress, and monitor the
provision of services. If services are to be provided in a host
county that is not the county of financial responsibility, the
case manager shall consult with the host county and obtain a
letter demonstrating the concurrence of the host county
regarding the provision of services.
(b) The case manager shall perform a functional assessment
and note in the client's child's record the services needed by
the child and the child's family, the services requested by the
family, services that are not available, and the unmet needs of
the child and family's unmet needs child's family. The
information required under section 245.4886 shall be provided in
writing to the child and the child's family. The case manager
shall note this provision in the client child's record.
Sec. 22. Minnesota Statutes 1989 Supplement, section
245.4881, subdivision 4, is amended to read:
Subd. 4. [INDIVIDUAL FAMILY COMMUNITY SUPPORT PLAN.] (a)
For each child, the case manager must develop an individual
family community support plan that incorporates the child's
individual treatment plan. The individual treatment plan may
not be a substitute for the development of an individual family
community support plan. The case manager is responsible for
developing the individual family community support plan within
30 days of intake based on a diagnostic assessment and a
functional assessment and for implementing and monitoring the
delivery of services according to the individual family
community support plan. The case manager must review the plan
every 90 calendar days after it is developed. To the extent
appropriate, the child with severe emotional disturbance, the
child's family, advocates, service providers, and significant
others must be involved in all phases of development and
implementation of the individual family community support plan.
Notwithstanding the lack of a an individual family community
support plan, the case manager shall assist the child
and child's family in accessing the needed services listed in
subdivision 6.
(b) The child's individual family community support plan
must state:
(1) the goals and expected outcomes of each service and
criteria for evaluating the effectiveness and appropriateness of
the service;
(2) the activities for accomplishing each goal;
(3) a schedule for each activity; and
(4) the frequency of face-to-face contacts by the case
manager, as appropriate to client need and the implementation of
the individual family community support plan.
Sec. 23. Minnesota Statutes 1989 Supplement, section
245.4882, subdivision 1, is amended to read:
Subdivision 1. [AVAILABILITY OF RESIDENTIAL TREATMENT
SERVICES.] County boards must provide or contract for enough
residential treatment services to meet the needs of each child
with severe emotional disturbance residing in the county and
needing this level of care. Length of stay is based on the
child's residential treatment need and shall be subject to the
six-month review process established in section 257.071,
subdivisions 2 and 4. Services must be appropriate to the
child's age and treatment needs and must be made available as
close to the county as possible. Residential treatment must be
designed to:
(1) prevent placement in settings that are more intensive,
costly, or restrictive than necessary and appropriate to meet
the child's needs;
(2) help the child improve family living and social
interaction skills;
(3) help the child gain the necessary skills to return to
the community;
(4) stabilize crisis admissions; and
(5) work with families throughout the placement to improve
the ability of the families to care for children with severe
emotional disturbance in the home.
Sec. 24. Minnesota Statutes 1989 Supplement, section
245.4883, subdivision 1, is amended to read:
Subdivision 1. [AVAILABILITY OF ACUTE CARE HOSPITAL
INPATIENT SERVICES.] County boards must make available through
contract or direct provision enough acute care hospital
inpatient treatment services as close to the county as possible
for children with severe emotional disturbances residing in the
county needing this level of care. Acute care hospital
inpatient treatment services must be designed to:
(1) stabilize the medical and mental health condition for
which admission is required;
(2) improve functioning to the point where discharge to
residential treatment or community-based mental health services
is possible;
(3) facilitate appropriate referrals for follow-up mental
health care in the community;
(4) work with families to improve the ability of the
families to care for those children with severe emotional
disturbances at home; and
(5) assist families and children in the transition from
inpatient services to community-based services or home setting,
and provide notification to the child's case manager, if any, so
that the case manager can monitor the transition and make timely
arrangements for the child's appropriate follow-up care in the
community.
Sec. 25. [245.4884] [FAMILY COMMUNITY SUPPORT SERVICES.]
Subdivision 1. [AVAILABILITY OF FAMILY COMMUNITY SUPPORT
SERVICES.] By July 1, 1991, county boards must provide or
contract for sufficient family community support services within
the county to meet the needs of each child with severe emotional
disturbance who resides in the county and the child's family.
Children or their parents may be required to pay a fee in
accordance with section 245.481.
Family community support services must be designed to
improve the ability of children with severe emotional
disturbance to:
(1) handle basic activities of daily living;
(2) improve functioning in school settings;
(3) participate in leisure time or community youth
activities;
(4) set goals and plans;
(5) reside with the family in the community;
(6) participate in after-school and summer activities;
(7) make a smooth transition among mental health services
provided to children; and
(8) make a smooth transition into the adult mental health
system as appropriate.
In addition, family community support services must be
designed to improve overall family functioning if clinically
appropriate to the child's needs, and to reduce the need for and
use of placements more intensive, costly, or restrictive both in
the number of admissions and lengths of stay than indicated by
the child's diagnostic assessment.
Subd. 2. [DAY TREATMENT SERVICES PROVIDED.] (a) Day
treatment services must be part of the family community support
services available to each child with severe emotional
disturbance residing in the county. A child or the child's
parent may be required to pay a fee according to section
245.481. Day treatment services must be designed to:
(1) provide a structured environment for treatment;
(2) provide support for residing in the community;
(3) prevent placements that are more intensive, costly, or
restrictive than necessary to meet the child's need;
(4) coordinate with or be offered in conjunction with the
child's education program;
(5) provide therapy and family intervention for children
that are coordinated with education services provided and funded
by schools; and
(6) operate during all 12 months of the year.
(b) County boards may request a waiver from including day
treatment services if they can document that:
(1) alternative services exist through the county's family
community support services for each child who would otherwise
need day treatment services; and
(2) county demographics and geography make the provision of
day treatment services cost ineffective and unfeasible.
Subd. 3. [PROFESSIONAL HOME-BASED FAMILY TREATMENT
PROVIDED.] (a) By January 1, 1991, county boards must provide or
contract for sufficient professional home-based family treatment
within the county to meet the needs of each child with severe
emotional disturbance who is at risk of out-of-home placement
due to the child's emotional disturbance or who is returning to
the home from out-of-home placement. The child or the child's
parent may be required to pay a fee according to section
245.481. The county board shall require that all service
providers of professional home-based family treatment set fee
schedules approved by the county board that are based on the
child's or family's ability to pay. The professional home-based
family treatment must be designed to assist each child with
severe emotional disturbance who is at risk of or who is
returning from out-of-home placement and the child's family to:
(1) improve overall family functioning in all areas of
life;
(2) treat the child's symptoms of emotional disturbance
that contribute to a risk of out-of-home placement;
(3) provide a positive change in the emotional, behavioral,
and mental well-being of children and their families; and
(4) reduce risk of out-of-home placement for the identified
child with severe emotional disturbance and other siblings or
successfully reunify and reintegrate into the family a child
returning from out-of-home placement due to emotional
disturbance.
(b) Professional home-based family treatment must be
provided by a team consisting of a mental health professional
and others who are skilled in the delivery of mental health
services to children and families in conjunction with other
human service providers. The professional home-based family
treatment team must maintain flexible hours of service
availability and must provide or arrange for crisis services for
each family, 24 hours a day, seven days a week. Case loads for
each professional home-based family treatment team must be small
enough to permit the delivery of intensive services and to meet
the needs of the family. Professional home-based family
treatment providers shall coordinate services and service needs
with case managers assigned to children and their families. The
treatment team must develop an individual treatment plan that
identifies the specific treatment objectives for both the child
and the family.
Subd. 4. [THERAPEUTIC SUPPORT OF FOSTER CARE.] By January
1, 1992, county boards must provide or contract for foster care
with therapeutic support as defined in section 245.4871,
subdivision 34. Foster families caring for children with severe
emotional disturbance must receive training and supportive
services, as necessary, at no cost to the foster families within
the limits of available resources.
Subd. 5. [BENEFITS ASSISTANCE.] The county board must
offer help to a child with severe emotional disturbance and the
child's family in applying for federal benefits, including
supplemental security income, medical assistance, and Medicare.
Sec. 26. Minnesota Statutes 1989 Supplement, section
245.4885, subdivision 1, is amended to read:
Subdivision 1. [SCREENING REQUIRED.] The county board
shall ensure that, upon admission, screen all children are
screened upon admission admitted for treatment of severe
emotional disturbance to a residential treatment facility, an
acute care hospital, or informally admitted to a regional
treatment center if public funds are used to pay for the
services. If a child is admitted to a residential treatment
facility or acute care hospital for emergency treatment of
emotional disturbance or held for emergency care by a regional
treatment center under section 253B.05, subdivision 1, screening
must occur within five working days of admission. Screening
shall determine whether the proposed treatment:
(1) is necessary;
(2) is appropriate to the child's individual treatment
needs;
(3) cannot be effectively provided in the child's home; and
(4) the provides a length of stay is as short as possible
consistent with the individual child's need; and.
(5) the case manager, if assigned, is developing an During
the screening process, the child, child's family, or child's
legal representative, as appropriate, must be informed of the
child's eligibility for case management services and that an
individual family community support plan is being developed by
the case manager, if assigned.
Screening shall be in compliance with section 256F.07 or
257.071, whichever applies. Wherever possible, the parent shall
be consulted in the screening process, unless clinically
inappropriate.
The screening process and placement decision must be
documented in the child's record.
An alternate review process may be approved by the
commissioner if the county board demonstrates that an alternate
review process has been established by the county board and the
times of review, persons responsible for the review, and review
criteria are comparable to the standards in clauses (1)
to (3) (5).
Sec. 27. Minnesota Statutes 1989 Supplement, section
245.4885, subdivision 2, is amended to read:
Subd. 2. [QUALIFICATIONS.] No later than January July 1,
1992 1991, screening of children for residential and inpatient
services must be conducted by a mental health professional.
Mental health professionals providing screening for inpatient
and residential services must not be financially affiliated with
any acute care inpatient hospital, residential treatment
facility, or regional treatment center. The commissioner may
waive this requirement for mental health professional
participation in sparsely populated areas after July 1, 1991, if
the county documents that:
(1) mental health professionals or mental health
practitioners are unavailable to provide this service; and
(2) services are provided by a designated person with
training in human services who receives clinical supervision
from a mental health professional.
Sec. 28. Minnesota Statutes 1989 Supplement, section
245.696, subdivision 2, is amended to read:
Subd. 2. [SPECIFIC DUTIES.] In addition to the powers and
duties already conferred by law, the commissioner of human
services shall:
(1) review and evaluate local programs and the performance
of administrative and mental health personnel and make
recommendations to county boards and program administrators;
(2) provide consultative staff service to communities and
advocacy groups to assist in ascertaining local needs and in
planning and establishing community mental health programs;
(3) employ qualified personnel to implement this chapter;
(4) adopt rules for minimum standards in community mental
health services as directed by the legislature;
(5) cooperate with the commissioners of health and jobs and
training to coordinate services and programs for people with
mental illness;
(6) convene meetings with the commissioners of corrections,
health, education, and commerce at least four times each year
for the purpose of coordinating services and programs for
children with emotional or behavioral disorders;
(7) evaluate the needs of people with mental illness as
they relate to assistance payments, medical benefits, nursing
home care, and other state and federally funded services;
(8) (7) provide data and other information, as requested,
to the advisory council on mental health;
(9) (8) develop and maintain a data collection system to
provide information on the prevalence of mental illness, the
need for specific mental health services and other services
needed by people with mental illness, funding sources for those
services, and the extent to which state and local areas are
meeting the need for services;
(10) (9) apply for grants and develop pilot programs to
test and demonstrate new methods of assessing mental health
needs and delivering mental health services;
(11) (10) study alternative reimbursement systems and make
waiver requests that are deemed necessary by the commissioner;
(12) (11) provide technical assistance to county boards to
improve fiscal management and accountability and quality of
mental health services, and consult regularly with county
boards, public and private mental health agencies, and client
advocacy organizations for purposes of implementing this
chapter;
(13) (12) promote coordination between the mental health
system and other human service systems in the planning, funding,
and delivery of services; entering into cooperative agreements
with other state and local agencies for that purpose as deemed
necessary by the commissioner;
(14) (13) conduct research regarding the relative
effectiveness of mental health treatment methods as the
commissioner deems appropriate, and for this purpose, enter
treatment facilities, observe clients, and review records in a
manner consistent with the Minnesota government data practices
act, chapter 13; and
(15) (14) enter into contracts and promulgate rules the
commissioner deems necessary to carry out the purposes of this
chapter.
Sec. 29. Minnesota Statutes 1989 Supplement, section
245.697, subdivision 2a, is amended to read:
Subd. 2a. [SUBCOMMITTEE ON CHILDREN'S MENTAL HEALTH.] The
state advisory council on mental health (the "advisory council")
must have a subcommittee on children's mental health. The
subcommittee must make recommendations to the advisory council
on policies, laws, regulations, and services relating to
children's mental health. Members of the subcommittee must
include:
(1) the commissioners or designees of the commissioners of
the departments of human services, health, education, state
planning, finance, and corrections;
(2) the commissioner of commerce or a designee of the
commissioner who is knowledgeable about medical insurance
issues;
(3) at least one representative of an advocacy group for
children with emotional disturbances;
(4) providers of children's mental health services,
including at least one provider of services to preadolescent
children, one provider of services to adolescents, and one
hospital-based provider;
(5) parents of children who have emotional disturbances;
(6) a present or former consumer of adolescent mental
health services;
(7) educators currently working with emotionally disturbed
children;
(8) people knowledgeable about the needs of emotionally
disturbed children of minority races and cultures;
(9) people experienced in working with emotionally
disturbed children who have committed status offenses;
(10) members of the advisory council;
(11) one person from the local corrections department and
one representative of the Minnesota district judges association
juvenile committee; and
(12) county commissioners and social services agency
representatives.
The chair of the advisory council shall appoint
subcommittee members described in clauses (3) to (11) through
the process established in section 15.0597. The chair shall
appoint members to ensure a geographical balance on the
subcommittee. Terms, compensation, removal, and filling of
vacancies are governed by subdivision 1, except that terms of
subcommittee members who are also members of the advisory
council are coterminous with their terms on the advisory
council. The subcommittee shall meet at the call of the
subcommittee chair who is elected by the subcommittee from among
its members. The subcommittee expires with the expiration of
the advisory council.
Sec. 30. Minnesota Statutes 1989 Supplement, section
245.73, subdivision 2, is amended to read:
Subd. 2. [APPLICATION; CRITERIA.] County boards may submit
an application and budget for use of the money in the form
specified by the commissioner. The commissioner shall make
grants only to counties whose applications and budgets are
approved by the commissioner for residential programs for adult
mentally ill persons adults with mental illness to meet
licensing requirements pursuant to sections 245A.01 to 245A.16.
Funds shall not be used to supplant or reduce local, state, or
federal expenditure levels supporting existing resources unless
the reduction in available money is the result of a state or
federal decision not to refund an existing program. State funds
received by a county pursuant to this section shall be used only
for direct service costs. Both direct service and other costs,
including but not limited to renovation, construction or rent of
buildings, purchase or lease of vehicles or equipment as
required for licensure as a residential program for adult
mentally ill persons adults with mental illness under sections
245A.01 to 245A.16, may be paid out of the matching funds
required under subdivision 3. Neither the state funds nor the
matching funds shall be used for room and board costs.
Sec. 31. Minnesota Statutes 1989 Supplement, section
253B.03, subdivision 6a, is amended to read:
Subd. 6a. [ADMINISTRATION OF NEUROLEPTIC MEDICATIONS.] (a)
Neuroleptic medications may be administered to persons committed
as mentally ill or mentally ill and dangerous only as described
in this subdivision.
(b) A neuroleptic medication may be administered to a
patient who is competent to consent to neuroleptic medications
only if the patient has given written, informed consent to
administration of the neuroleptic medication.
(c) A neuroleptic medication may be administered to a
patient who is not competent to consent to neuroleptic
medications only if a court approves the administration of the
neuroleptic medication or:.
(d) A neuroleptic medication may be administered without
court review to a patient who is not competent to consent to
neuroleptic medications if:
(1) the patient does not object to or refuse the
medication;
(2) a guardian ad litem appointed by the court with
authority to consent to neuroleptic medications gives written,
informed consent to the administration of the neuroleptic
medication; and
(3) a multidisciplinary treatment review panel composed of
persons who are not engaged in providing direct care to the
patient gives written approval to administration of the
neuroleptic medication.
(e) A neuroleptic medication may be administered without
judicial review and without consent in an emergency situation
for so long as the emergency continues to exist if the treating
physician determines that the medication is necessary to prevent
serious, immediate physical harm to the patient or to others.
The treatment facility shall document the emergency in the
patient's medical record in specific behavioral terms.
(d) (f) A person who consents to treatment pursuant to this
subdivision is not civilly or criminally liable for the
performance of or the manner of performing the treatment. A
person is not liable for performing treatment without consent if
written, informed consent was given pursuant to this
subdivision. This provision does not affect any other liability
that may result from the manner in which the treatment is
performed.
(e) (g) The court may allow and order paid to a guardian ad
litem a reasonable fee for services provided under paragraph
(c), or the court may appoint a volunteer guardian ad litem.
(h) A medical director or patient may petition the
committing court, or the court to which venue has been
transferred, for a hearing concerning the administration of
neuroleptic medication. A hearing may also be held pursuant to
section 253B.08, 253B.09, 253B.12, or 253B.18. The hearing
concerning the administration of neuroleptic medication must be
held within 14 days from the date of the filing of the
petition. The court may extend the time for hearing up to an
additional 15 days for good cause shown.
Sec. 32. Minnesota Statutes 1988, section 253B.17,
subdivision 1, is amended to read:
Subdivision 1. [PETITION.] Any patient, except one
committed as mentally ill and dangerous to the public, or any
interested person may petition the committing court or the court
to which venue has been transferred for an order that the
patient is not in need of continued institutionalization or for
an order that an individual is no longer mentally ill, mentally
retarded, or chemically dependent, or for any other relief as
the court deems just and equitable. A patient committed as
mentally ill or mentally ill and dangerous may petition the
committing court or the court to which venue has been
transferred for a hearing concerning the administration of
neuroleptic medication. A hearing may also be held pursuant to
sections 253B.08, 253B.09 and, 253B.12, and 253B.18.
Sec. 33. Minnesota Statutes 1988, section 260.151, is
amended by adding a subdivision to read:
Subd. 3. [JUVENILE TREATMENT SCREENING TEAM.] (a) The
county welfare board, at its option, may establish a juvenile
treatment screening team to conduct screenings and prepare case
plans under this subdivision. The team, which may be the team
constituted under section 245.4885 or 256B.092 or Minnesota
Rules, parts 9530.6600 to 9530.6655, shall consist of social
workers, juvenile justice professionals, and persons with
expertise in the treatment of juveniles who are emotionally
disabled, chemically dependent, or have a developmental
disability. The team shall involve parents or guardians in the
screening process as appropriate.
(b) This paragraph applies only in counties that have
established a juvenile treatment screening team under paragraph
(a). If the court, prior to, or as part of, a final
disposition, proposes to place a child for the primary purpose
of treatment for an emotional disturbance, a developmental
disability, or chemical dependency in a residential treatment
facility out of state or in one which is within the state and
licensed by the commissioner of human services under chapter
245A, the court shall notify the county welfare agency. The
county's juvenile treatment screening team must either: (1)
screen and evaluate the child and file its recommendations with
the court within 14 days of receipt of the notice; or (2) elect
not to screen a given case, and notify the court of that
decision within three working days.
(c) If the screening team has elected to screen and
evaluate the child, the child may not be placed for the primary
purpose of treatment for an emotional disturbance, a
developmental disability, or chemical dependency, in a
residential treatment facility out of state nor in a residential
treatment facility within the state that is licensed under
chapter 245A, unless one of the following conditions applies:
(1) a treatment professional certifies that an emergency
requires the placement of the child in a facility within the
state;
(2) the screening team has evaluated the child and
recommended that a residential placement is necessary to meet
the child's treatment needs and the safety needs of the
community, that it is a cost-effective means of meeting the
treatment needs, and that it will be of therapeutic value to the
child; or
(3) the court, having reviewed a screening team
recommendation against placement, determines to the contrary
that a residential placement is necessary. The court shall
state the reasons for its determination in writing, on the
record, and shall respond specifically to the findings and
recommendation of the screening team in explaining why the
recommendation was rejected. The attorney representing the
child and the prosecuting attorney shall be afforded an
opportunity to be heard on the matter.
Sec. 34. [INSTRUCTION TO REVISOR.]
In each section of Minnesota Statutes referred to in column
A, the revisor of statutes shall delete the reference in column
B and insert the reference in column C.
Column A Column B Column C
245.462, subd. 8, 245.4711, subd. 7 245.4712, subd. 2
clause (3)
245.4871, subd. 10, 245.4881, subd. 7 245.4884, subd. 2
clauses (3) and (4)
245.4871, subd. 17, 245.4881, subd. 10 245.4884, subd. 5
clause (11)
245.4875, subd. 2, 245.4881, subd. 7 245.4884, subd. 2
clause (6)
245.4875, subd. 2, 245.4881, subd. 9 245.4884, subd. 4
clauses (11) and (12)
245.4881, subd. 4, subd. 6 245.4884, subd. 1
paragraph (a)
Sec. 35. [REPEALER.]
Minnesota Statutes 1989 Supplement, sections 245.4711,
subdivisions 6, 7, and 8; and 245.4881, subdivisions 6, 7, 8, 9,
and 10, are repealed.
Sec. 36. [EFFECTIVE DATE.]
Sections 31 and 32 are effective May 1, 1990.
ARTICLE 6
DISLOCATED WORKERS
Section 1. [268.022] [DISLOCATED WORKER FUND.]
Subdivision 1. [DETERMINATION AND COLLECTION OF SPECIAL
ASSESSMENT.] (a) In addition to all other contributions,
assessments and payment obligations under chapter 268, each
employer is liable for a special assessment levied at the rate
of one-tenth of one percent per year on all wages, as defined in
section 268.04, subdivision 25. Such assessment shall become
due and be paid by each employer to the department of jobs and
training on the same schedule and in the same manner as other
contributions required by section 268.06.
(b) The special assessment levied under this section shall
not affect the computation of any other contributions,
assessments, or payment obligations due under this chapter.
Subd. 2. [DISBURSEMENT OF SPECIAL ASSESSMENT FUNDS.] (a)
The money collected under this section shall be deposited in the
state treasury and credited to a dedicated fund to provide for
the dislocated worker programs established under sections
268.975 to 268.98; including vocational guidance, training,
placement, and job development.
(b) All money in the dedicated fund is appropriated to the
commissioner who must act as the fiscal agent for the money and
must disburse the money for the purposes of this section, not
allowing the money to be used for any other obligation of the
state. All money in the dedicated fund shall be deposited,
administered, and disbursed in the same manner and under the
same conditions and requirements as are provided by law for the
other dedicated funds in the state treasury, except that all
interest or net income resulting from the investment or deposit
of money in the fund shall accrue to the fund for the purposes
of the fund.
(c) No more than five percent of the dedicated funds
collected in each fiscal year may be used by the department of
jobs and training for its administrative costs.
Sec. 2. Minnesota Statutes 1989 Supplement, section
268.977, subdivision 1, is amended to read:
Subdivision 1. [PROGRAM ESTABLISHMENT.] (a) The
commissioner shall establish a rapid response program to assist
employees, employers, business organizations or associations,
labor organizations, local government units, and community
organizations to quickly and effectively respond to announced or
actual plant closings and substantial layoffs.
(b) The program must include or address at least the
following:
(1) within five working days after becoming aware of an
announced or actual plant closing or substantial layoff,
establish on-site contact with the employer, employees, labor
organizations if there is one representing the employees, and
leaders of the local government units and community
organizations to provide coordination of efforts to formulate a
communitywide response to the plant closing or substantial
layoff, provide information on the public and private service
and programs that might be available, inform the affected
parties of the prefeasibility study grants under section
268.978, and collect any information required by the
commissioner to assist in responding to the plant closing or
substantial layoff;
(2) provide ongoing technical assistance to employers,
employees, business organizations or associations, labor
organizations, local government units, and community
organizations to assist them in reacting to or developing
responses to plant closings or substantial layoffs;
(3) establish and administer the prefeasibility study grant
program under section 268.978 to provide an initial assessment
of the feasibility of alternatives to plant closings or
substantial layoffs;
(4) work with employment and training service providers,
employers, business organizations or associations, labor
organizations, local government units, dislocated workers, and
community organizations in providing training, education,
community support service, job search programs, job clubs, and
other services to address the needs of potential or actual
dislocated workers;
(5) coordinate with providers of economic development
related financial and technical assistance services so that
communities that are experiencing plant closings or substantial
layoffs have immediate access to economic development related
services; and
(6) collect and make available information on programs that
might assist dislocated workers and the communities affected by
plant closings or substantial layoffs.
Sec. 3. [STUDY.]
The governor shall appoint a commission to study and make
legislative recommendations regarding worker displacement caused
by corporate takeovers, buy outs, and other similar business
ownership transfers and publicly funded economic development.
The commission shall complete the study and report
recommendations to the legislature before February 1, 1991.
Sec. 4. [SUNSET.]
Section 1 is repealed effective June 30, 1992.
Sec. 5. [EFFECTIVE DATE.]
Section 2 is effective the day following final enactment.
Section 1 is effective January 1, 1991.
Presented to the governor April 26, 1990
Signed by the governor May 3, 1990, 2:05 p.m.
Official Publication of the State of Minnesota
Revisor of Statutes