1.1 	A bill for an act
1.2 	relating to human services; increasing nursing facility payment rates to the 
1.3 	geographic group III median rate;amending Minnesota Statutes 2006, section 
1.4 	256B.431, by adding a subdivision.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2006, section 256B.431, is amended by adding a 
1.7 	subdivision to read:
1.8 		Subd. 44.Rate increase for nursing facilities. Effective October 1, 2007, 
1.9 	operating payment rates of all nursing facilities that are reimbursed under this section, 
1.10 	section 256B.434, or 256B.441, shall be increased to be equal, for a RUG's rate with a 
1.11 	weight of 1.00, to the geographic group III median rate for the same RUG's weight. The 
1.12 	percentage of the operating payment rate for each facility to be case-mix adjusted shall be 
1.13 	equal to the percentage that is case-mix adjusted in that facility's September 30, 2007, 
1.14 	operating payment rate. This subdivision shall apply only if it results in a rate increase. 
1.15 	Increases provided by this subdivision shall be added to the rate determined under any 
1.16 	new reimbursement system established under section 256B.441.