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sh3834ccr

1.1CONFERENCE COMMITTEE REPORT ON H. F. No. 3834
1.2A bill for an act
1.3relating to state government; requiring the commissioner of Minnesota
1.4Management and Budget to provide a cash flow forecast to the governor and
1.5legislature;proposing coding for new law in Minnesota Statutes, chapter 16A.
1.6May 15, 2010
1.7The Honorable Margaret Anderson Kelliher
1.8Speaker of the House of Representatives
1.9The Honorable James P. Metzen
1.10President of the Senate
1.11We, the undersigned conferees for H. F. No. 3834 report that we have agreed upon
1.12the items in dispute and recommend as follows:
1.13That the Senate recede from its amendments and that H. F. No. 3834 be further
1.14amended as follows:
1.15Delete everything after the enacting clause and insert:

1.16"ARTICLE 1
1.17SUMMARY

1.18
Section 1. GENERAL FUND SUMMARY.
1.19    The amounts shown in this section summarize general fund direct and open
1.20appropriations, and transfers into the general fund from other funds, made in articles 2 to
1.2114, after forecast adjustments and after voiding certain allotment reductions.
1.22
2010
2011
Total
1.23
E-12 Education
$
(1,069,361,000)
$
(893,834,000)
$
(1,963,195,000)
1.24
Higher Education
(77,000)
(100,077,000)
(100,154,000)
1.25
1.26
Environment and Natural
Resources
(1,571,000)
(1,564,000)
(3,135,000)
1.27
Energy
(247,000)
(247,000)
(494,000)
1.28
Agriculture
(493,000)
(492,000)
(985,000)
1.29
Economic Development
(489,000)
(745,000)
(1,234,000)
1.30
Transportation
(1,649,000)
(11,649,000)
(13,298,000)
2.1
Public Safety
(79,000)
(79,000)
(158,000)
2.2
State Government
(1,694,000)
(15,820,000)
(17,514,000)
2.3
Health & Human Services
(74,704,000)
(83,052,000)
(157,756,000)
2.4
Tax Aids and Credits
(103,986,000)
(260,495,000)
(364,481,000)
2.5
Subtotal of Appropriations
(1,254,530,000)
(1,3054400,000)
(2,622,584,000)
2.6
Transfers In
40,418,000
70,000,000
110,418,000
2.7
Total
$
(1,294,948,000)
$
(1,438,054,000)
$
(2,733,002,000)

2.8    Sec. 2. ALLOTMENT REDUCTIONS VOID.
2.9The allotment reductions made by the commissioner of management and budget
2.10from July 1, 2009, to the effective date of this section are void.
2.11EFFECTIVE DATE.This section is effective the day following final enactment.

2.12ARTICLE 2
2.13CASH FLOW

2.14    Section 1. Minnesota Statutes 2008, section 127A.46, is amended to read:
2.15127A.46 CHANGE IN PAYMENT OF AIDS AND CREDITS.
2.16If the commissioner of management and budget determines that modifications in the
2.17payment schedule would reduce the need for state short-term borrowing, the commissioner
2.18shall may modify payments to districts according to this section. The modifications must
2.19begin no sooner than September 1 of each fiscal year, and must remain in effect until no
2.20later than May 30 of that same fiscal year. In calculating the payment to a district pursuant
2.21to section 127A.45, subdivision 3, the commissioner may subtract the sum specified in
2.22that subdivision, plus an additional amount no greater than the following:
2.23(1) the net cash balance in each of the district's operating funds on June 30 of the
2.24preceding fiscal year; minus
2.25(2) the product of $150 $700 times the number of resident pupil units in the
2.26preceding fiscal year; minus
2.27(3) the amount of payments made by the county treasurer during the preceding fiscal
2.28year, pursuant to section 276.11, which is considered revenue for the current school year.
2.29However, no additional amount shall be subtracted if the total of the net unappropriated
2.30fund balances in the district's four operating funds on June 30 of the preceding fiscal year,
2.31is less than the product of $350 $700 times the number of resident pupil units in the
2.32preceding fiscal year. The net cash balance must include all cash and investments, less
2.33certificates of indebtedness outstanding, and orders not paid for want of funds.
3.1A district may appeal the payment schedule established by this section according to
3.2the procedures established in section 127A.45, subdivision 4.

3.3    Sec. 2. Minnesota Statutes 2009 Supplement, section 137.025, subdivision 1, is
3.4amended to read:
3.5    Subdivision 1. Monthly payments. The commissioner of management and budget
3.6shall pay 1/12 of the annual appropriation to the University of Minnesota on by the 21st
3.725th day of each month. If the 21st 25th day of the month falls on a Saturday or Sunday,
3.8the monthly payment must be made on by the first business day immediately following
3.9the 21st 25th day of the month.

3.10    Sec. 3. Minnesota Statutes 2008, section 276.112, is amended to read:
3.11276.112 STATE PROPERTY TAXES; COUNTY TREASURER.
3.12On or before January 25 each year, for the period ending December 31 of the
3.13prior year, and on or before June 28 each year, for the period ending on the most recent
3.14settlement day determined in section 276.09, and on or before December 2 each year, for
3.15the period ending November 20 the estimated payment and settlement dates provided in
3.16this chapter for the settlement of taxes levied by school districts, the county treasurer must
3.17make full settlement with the county auditor according to sections 276.09, 276.10, and
3.18276.111 for all receipts of state property taxes levied under section 275.025, and must
3.19transmit those receipts to the commissioner of revenue by electronic means on the dates
3.20and according to the provisions applicable to distributions to school districts.
3.21EFFECTIVE DATE.This section is effective for distributions beginning October
3.221, 2010, and thereafter.

3.23    Sec. 4. Minnesota Statutes 2009 Supplement, section 289A.20, subdivision 4, is
3.24amended to read:
3.25    Subd. 4. Sales and use tax. (a) The taxes imposed by chapter 297A are due and
3.26payable to the commissioner monthly on or before the 20th day of the month following
3.27the month in which the taxable event occurred, or following another reporting period
3.28as the commissioner prescribes or as allowed under section 289A.18, subdivision 4,
3.29paragraph (f) or (g), except that:
3.30(1) use taxes due on an annual use tax return as provided under section 289A.11,
3.31subdivision 1
, are payable by April 15 following the close of the calendar year.; and
4.1(2) except as provided in paragraph (f), for a vendor having a liability of $120,000
4.2or more during a fiscal year ending June 30, 2009, and fiscal years thereafter, the taxes
4.3imposed by chapter 297A, except as provided in paragraph (b), are due and payable to the
4.4commissioner monthly in the following manner:
4.5(i) On or before the 14th day of the month following the month in which the taxable
4.6event occurred, the vendor must remit to the commissioner 90 percent of the estimated
4.7liability for the month in which the taxable event occurred.
4.8(ii) On or before the 20th day of the month in which the taxable event occurs, the
4.9vendor must remit to the commissioner a prepayment for the month in which the taxable
4.10event occurs equal to 67 percent of the liability for the previous month.
4.11(iii) On or before the 20th day of the month following the month in which the taxable
4.12event occurred, the vendor must pay any additional amount of tax not previously remitted
4.13under either item (i) or (ii ) or, if the payment made under item (i) or (ii) was greater than
4.14the vendor's liability for the month in which the taxable event occurred, the vendor may
4.15take a credit against the next month's liability in a manner prescribed by the commissioner.
4.16(iv) Once the vendor first pays under either item (i) or (ii), the vendor is required to
4.17continue to make payments in the same manner, as long as the vendor continues having a
4.18liability of $120,000 or more during the most recent fiscal year ending June 30.
4.19(v) Notwithstanding items (i), (ii), and (iv), if a vendor fails to make the required
4.20payment in the first month that the vendor is required to make a payment under either item
4.21(i) or (ii), then the vendor is deemed to have elected to pay under item (ii) and must make
4.22subsequent monthly payments in the manner provided in item (ii).
4.23(vi) For vendors making an accelerated payment under item (ii), for the first month
4.24that the vendor is required to make the accelerated payment, on the 20th of that month, the
4.25vendor will pay 100 percent of the liability for the previous month and a prepayment for
4.26the first month equal to 67 percent of the liability for the previous month.
4.27    (b) Notwithstanding paragraph (a), a vendor having a liability of $120,000 or more
4.28during a fiscal year ending June 30 must remit the June liability for the next year in the
4.29following manner:
4.30    (1) Two business days before June 30 of the year, the vendor must remit 90 percent
4.31of the estimated June liability to the commissioner.
4.32    (2) On or before August 20 of the year, the vendor must pay any additional amount
4.33of tax not remitted in June.
4.34    (c) A vendor having a liability of:
4.35    (1) $20,000 or more in the fiscal year ending June 30, 2005; or
5.1    (2) (1) $10,000 or more in the, but less than $120,000 during a fiscal year ending
5.2June 30, 2006 2009, and fiscal years thereafter, must remit by electronic means all
5.3liabilities on returns due for periods beginning in the subsequent calendar year by
5.4electronic means on or before the 20th day of the month following the month in which the
5.5taxable event occurred, or on or before the 20th day of the month following the month in
5.6which the sale is reported under section 289A.18, subdivision 4, except for 90 percent of
5.7the estimated June liability, which is due two business days before June 30. The remaining
5.8amount of the June liability is due on August 20.; or
5.9(2) $120,000 or more, during a fiscal year ending June 30, 2009, and fiscal years
5.10thereafter, must remit by electronic means all liabilities in the manner provided in
5.11paragraph (a), clause (2), on returns due for periods beginning in the subsequent calendar
5.12year, except for 90 percent of the estimated June liability, which is due two business days
5.13before June 30. The remaining amount of the June liability is due on August 20.
5.14(d) Notwithstanding paragraph (b) or (c), a person prohibited by the person's
5.15religious beliefs from paying electronically shall be allowed to remit the payment by mail.
5.16The filer must notify the commissioner of revenue of the intent to pay by mail before
5.17doing so on a form prescribed by the commissioner. No extra fee may be charged to a
5.18person making payment by mail under this paragraph. The payment must be postmarked
5.19at least two business days before the due date for making the payment in order to be
5.20considered paid on a timely basis.
5.21(e) Whenever the liability is $120,000 or more separately for: (1) the tax imposed
5.22under chapter 297A; (2) a fee that is to be reported on the same return as and paid with the
5.23chapter 297A taxes; or (3) any other tax that is to be reported on the same return as and
5.24paid with the chapter 297A taxes, then the payment of all the liabilities on the return must
5.25be accelerated as provided in this subdivision.
5.26(f) At the start of the first calendar quarter at least 90 days after the cash flow
5.27account established in section 16A.152, subdivision 1, and the budget reserve account
5.28established in section 16A.152, subdivision 1a, reach the amounts listed in section
5.2916A.152, subdivision 2, paragraph (a), the remittance of the accelerated payments required
5.30under paragraph (a), clause (2), must be suspended. The commissioner of management
5.31and budget shall notify the commissioner of revenue when the accounts have reached
5.32the required amounts. Beginning with the suspension of paragraph (a), clause (2), for a
5.33vendor with a liability of $120,000 or more during a fiscal year ending June 30, 2009,
5.34and fiscal years thereafter, the taxes imposed by chapter 297A are due and payable to the
5.35commissioner on the 20th day of the month following the month in which the taxable
6.1event occurred. Payments of tax liabilities for taxable events occurring in June under
6.2paragraph (b) are not changed.
6.3EFFECTIVE DATE.This section is effective for taxes due and payable after
6.4September 1, 2010.

6.5    Sec. 5. Minnesota Statutes 2008, section 289A.60, is amended by adding a subdivision
6.6to read:
6.7    Subd. 31. Accelerated payment of monthly sales tax liability; penalty for
6.8underpayment. For payments made after September 1, 2010, if a vendor is required
6.9by section 289A.20, subdivision 4, paragraph (a), clause (2), item (i) or (ii), to make
6.10accelerated payments, then the penalty for underpayment is as follows:
6.11(a) For those vendors that must remit a 90 percent payment by the 14th day of
6.12the month following the month in which the taxable event occurred, as an estimation
6.13of monthly sales tax liabilities, including the liability of any fee or other tax that is to
6.14be reported on the same return as and paid with the chapter 297A taxes, for the month
6.15in which the taxable event occurred, the vendor shall pay a penalty equal to ten percent
6.16of the amount of liability that was required to be paid by the 14th day of the month, less
6.17the amount remitted by the 14th day of the month. The penalty must not be imposed,
6.18however, if the amount remitted by the 14th day of the month equals the least of: (1) 90
6.19percent of the liability for the month preceding the month in which the taxable event
6.20occurred; (2) 90 percent of the liability for the same month in the previous calendar year
6.21as the month in which the taxable event occurred; or (3) 90 percent of the average monthly
6.22liability for the previous calendar year.
6.23(b) For those vendors that, on or before the 20th day of the month in which the
6.24taxable event occurs, must remit to the commissioner a prepayment of sales tax liabilities
6.25for the month in which the taxable event occurs equal to 67 percent of the liabilities for the
6.26previous month, including the liability of any fee or other tax that is to be reported on the
6.27same return as and paid with the chapter 297A taxes, for the month in which the taxable
6.28event occurred, the vendor shall pay a penalty equal to ten percent of the amount of liability
6.29that was required to be paid by the 20th of the month, less the amount remitted by the 20th
6.30of the month. The penalty must not be imposed, however, if the amount remitted by the
6.3120th of the month equals the lesser of 67 percent of the liability for the month preceding
6.32the month in which the taxable event occurred or 67 percent of the liability of the same
6.33month in the previous calendar year as the month in which the taxable event occurred.
7.1EFFECTIVE DATE.This section is effective for taxes due and payable after
7.2September 1, 2010.

7.3ARTICLE 3
7.4E-12 EDUCATION

7.5    Section 1. Minnesota Statutes 2008, section 123B.75, is amended by adding a
7.6subdivision to read:
7.7    Subd. 1a. Definition. For the purposes of this section, "school district tax settlement
7.8revenue" means the current, delinquent, and manufactured home property tax receipts
7.9collected by the county and distributed to the school district.
7.10EFFECTIVE DATE.This section is effective retroactively from July 1, 2009.

7.11    Sec. 2. Minnesota Statutes 2008, section 123B.75, subdivision 5, is amended to read:
7.12    Subd. 5. Levy recognition. (a) "School district tax settlement revenue" means the
7.13current, delinquent, and manufactured home property tax receipts collected by the county
7.14and distributed to the school district.
7.15(b) For fiscal year 2004 and later years 2009 and 2010, in June of each year, the
7.16school district must recognize as revenue, in the fund for which the levy was made, the
7.17lesser of:
7.18(1) the sum of May, June, and July school district tax settlement revenue received in
7.19that calendar year, plus general education aid according to section 126C.13, subdivision
7.204
, received in July and August of that calendar year; or
7.21(2) the sum of:
7.22(i) 31 percent of the referendum levy certified according to section 126C.17, in
7.23calendar year 2000; and
7.24(ii) the entire amount of the levy certified in the prior calendar year according to
7.25section 124D.86, subdivision 4, for school districts receiving revenue under sections
7.26124D.86, subdivision 3 , clauses (1), (2), and (3); 126C.41, subdivisions 1, 2, paragraph
7.27(a), and 3
, paragraphs (b), (c), and (d); 126C.43, subdivision 2; 126C.457; and 126C.48,
7.28subdivision 6
; plus
7.29(iii) zero percent of the amount of the levy certified in the prior calendar year for the
7.30school district's general and community service funds, plus or minus auditor's adjustments,
7.31not including the levy portions that are assumed by the state, that remains after subtracting
7.32the referendum levy certified according to section 126C.17 and the amount recognized
7.33according to item (ii).
8.1(b) For fiscal year 2011 and later years, in June of each year, the school district must
8.2recognize as revenue, in the fund for which the levy was made, the lesser of:
8.3(1) the sum of May, June, and July school district tax settlement revenue received in
8.4that calendar year, plus general education aid according to section 126C.13, subdivision
8.54, received in July and August of that calendar year; or
8.6(2) the sum of:
8.7(i) the greater of 48.6 percent of the referendum levy certified according to section
8.8126C.17 in the prior calendar year, or 31 percent of the referendum levy certified
8.9according to section 126C.17 in calendar year 2000; plus
8.10(ii) the entire amount of the levy certified in the prior calendar year according to
8.11section 124D.86, subdivision 4, for school districts receiving revenue under sections
8.12124D.86, subdivision 3, clauses (1), (2), and (3); 126C.41, subdivisions 1, 2, paragraph
8.13(a), and 3, paragraphs (b), (c), and (d); 126C.43, subdivision 2; 126C.457; and 126C.48,
8.14subdivision 6; plus
8.15(iii) 48.6 percent of the amount of the levy certified in the prior calendar year for the
8.16school district's general and community service funds, plus or minus auditor's adjustments,
8.17not including the levy portions that are assumed by the state, that remains after subtracting
8.18the referendum levy certified according to section 126C.17 and the amount recognized
8.19according to item (ii).
8.20EFFECTIVE DATE.This section is effective retroactively from July 1, 2009.

8.21    Sec. 3. Minnesota Statutes 2008, section 123B.75, subdivision 9, is amended to read:
8.22    Subd. 9. Commissioner shall specify fiscal year. The commissioner shall specify
8.23the fiscal year or years to which the revenue from any aid or tax levy is applicable if
8.24Minnesota Statutes do not so specify. The commissioner must report to the chairs and
8.25ranking minority members of the house of representatives and senate committees with
8.26jurisdiction over education finance by January 15 of each year any adjustments under this
8.27subdivision in the previous year.

8.28    Sec. 4. Minnesota Statutes 2008, section 126C.48, subdivision 7, is amended to read:
8.29    Subd. 7. Reporting. For each tax settlement, the county auditor shall report to each
8.30school district by fund, the district tax settlement revenue defined in section 123B.75,
8.31subdivision 5
, paragraph (a) 1a, on the form specified in section 276.10. The county auditor
8.32shall send to the district a copy of the spread levy report specified in section 275.124.
8.33EFFECTIVE DATE.This section is effective retroactively from July 1, 2009.

9.1    Sec. 5. Minnesota Statutes 2008, section 127A.441, is amended to read:
9.2127A.441 AID REDUCTION; LEVY REVENUE RECOGNITION CHANGE.
9.3    Each year, the state aids payable to any school district for that fiscal year that are
9.4recognized as revenue in the school district's general and community service funds shall
9.5be adjusted by an amount equal to (1) the amount the district recognized as revenue for the
9.6prior fiscal year pursuant to section 123B.75, subdivision 5, paragraph (a) or (b), minus (2)
9.7the amount the district recognized as revenue for the current fiscal year pursuant to section
9.8123B.75, subdivision 5 , paragraph (a) or (b). For purposes of making the aid adjustments
9.9under this section, the amount the district recognizes as revenue for either the prior fiscal
9.10year or the current fiscal year pursuant to section 123B.75, subdivision 5, paragraph (b),
9.11shall not include any amount levied pursuant to section 124D.86, subdivision 4, for school
9.12districts receiving revenue under sections 124D.86, subdivision 3, clauses (1), (2), and (3);
9.13126C.41, subdivisions 1, 2, and 3 , paragraphs (b), (c), and (d); 126C.43, subdivision 2;
9.14126C.457 ; and 126C.48, subdivision 6. Payment from the permanent school fund shall not
9.15be adjusted pursuant to this section. The school district shall be notified of the amount of
9.16the adjustment made to each payment pursuant to this section.
9.17EFFECTIVE DATE.This section is effective retroactively from July 1, 2009.

9.18    Sec. 6. Minnesota Statutes 2008, section 127A.45, subdivision 2, is amended to read:
9.19    Subd. 2. Definitions. (a) The term "Other district receipts" means payments by
9.20county treasurers pursuant to section 276.10, apportionments from the school endowment
9.21fund pursuant to section 127A.33, apportionments by the county auditor pursuant to
9.22section 127A.34, subdivision 2, and payments to school districts by the commissioner of
9.23revenue pursuant to chapter 298.
9.24(b) The term "Cumulative amount guaranteed" means the product of
9.25(1) the cumulative disbursement percentage shown in subdivision 3; times
9.26(2) the sum of
9.27(i) the current year aid payment percentage of the estimated aid and credit
9.28entitlements paid according to subdivision 13; plus
9.29(ii) 100 percent of the entitlements paid according to subdivisions 11 and 12; plus
9.30(iii) the other district receipts.
9.31(c) The term "Payment date" means the date on which state payments to districts
9.32are made by the electronic funds transfer method. If a payment date falls on a Saturday,
9.33a Sunday, or a weekday which is a legal holiday, the payment shall be made on the
9.34immediately preceding business day. The commissioner may make payments on dates
10.1other than those listed in subdivision 3, but only for portions of payments from any
10.2preceding payment dates which could not be processed by the electronic funds transfer
10.3method due to documented extenuating circumstances.
10.4(d) The current year aid payment percentage equals 90 73 in fiscal year 2010, 70
10.5in fiscal year 2011, and 90 in fiscal years 2012 and later.
10.6EFFECTIVE DATE.This section is effective retroactively from July 1, 2009.

10.7    Sec. 7. Minnesota Statutes 2008, section 127A.45, subdivision 3, is amended to read:
10.8    Subd. 3. Payment dates and percentages. (a) For fiscal year 2004 and later, The
10.9commissioner shall pay to a district on the dates indicated an amount computed as follows:
10.10the cumulative amount guaranteed minus the sum of (a) (1) the district's other district
10.11receipts through the current payment, and (b) (2) the aid and credit payments through the
10.12immediately preceding payment. For purposes of this computation, the payment dates and
10.13the cumulative disbursement percentages are as follows:
10.14
Payment date
Percentage
10.15
Payment 1
July 15:
5.5
10.16
Payment 2
July 30:
8.0
10.17
Payment 3
August 15:
17.5
10.18
Payment 4
August 30:
20.0
10.19
Payment 5
September 15:
22.5
10.20
Payment 6
September 30:
25.0
10.21
Payment 7
October 15:
27.0
10.22
Payment 8
October 30:
30.0
10.23
Payment 9
November 15:
32.5
10.24
Payment 10
November 30:
36.5
10.25
Payment 11
December 15:
42.0
10.26
Payment 12
December 30:
45.0
10.27
Payment 13
January 15:
50.0
10.28
Payment 14
January 30:
54.0
10.29
Payment 15
February 15:
58.0
10.30
Payment 16
February 28:
63.0
10.31
Payment 17
March 15:
68.0
10.32
Payment 18
March 30:
74.0
10.33
Payment 19
April 15:
78.0
10.34
Payment 20
April 30:
85.0
10.35
Payment 21
May 15:
90.0
10.36
Payment 22
May 30:
95.0
10.37
Payment 23
June 20:
100.0
11.1(b) In addition to the amounts paid under paragraph (a), for fiscal year 2004, the
11.2commissioner shall pay to a district on the dates indicated an amount computed as follows:
11.3
11.4
Payment 3
August 15: the final adjustment for the prior fiscal year for the state paid
property tax credits established in section 273.1392
11.5
11.6
Payment 4
August 30: one-third of the final adjustment for the prior fiscal year for
all aid entitlements except state paid property tax credits
11.7
11.8
Payment 6
September 30: one-third of the final adjustment for the prior fiscal year
for all aid entitlements except state paid property tax credits
11.9
11.10
Payment 8
October 30: one-third of the final adjustment for the prior fiscal year for
all aid entitlements except state paid property tax credits
11.11(c) (b) In addition to the amounts paid under paragraph (a), for fiscal year 2005 and
11.12later, the commissioner shall pay to a district on the dates indicated an amount computed
11.13as follows:
11.14
11.15
Payment 3
August 15: the final adjustment for the prior fiscal year for the state paid
property tax credits established in section 273.1392
11.16
11.17
Payment 4
August 30: 30 percent of the final adjustment for the prior fiscal year for
all aid entitlements except state paid property tax credits
11.18
11.19
Payment 6
September 30: 40 percent of the final adjustment for the prior fiscal year
for all aid entitlements except state paid property tax credits
11.20
11.21
Payment 8
October 30: 30 percent of the final adjustment for the prior fiscal year
for all aid entitlements except state paid property tax credits
11.22EFFECTIVE DATE.This section is effective the day following final enactment
11.23and applies to fiscal years 2010 and later.

11.24    Sec. 8. Minnesota Statutes 2008, section 127A.45, is amended by adding a subdivision
11.25to read:
11.26    Subd. 7b. Advance final payment. (a) Notwithstanding subdivisions 3 and 7, if the
11.27current year aid payment percentage, under subdivision 2, is less than 90, then a school
11.28district or charter school exceeding its expenditure limitations under section 123B.83 as of
11.29June 30 of the prior fiscal year may receive a portion of its final payment for the current
11.30fiscal year on June 20, if requested by the district or charter school. The amount paid
11.31under this subdivision must not exceed the lesser of:
11.32(1) the difference between 90 percent and the current year payment percentage in
11.33subdivision 2, paragraph (d), in the current fiscal year times the sum of the district or
11.34charter school's general education aid plus the aid adjustment in section 127A.50 for
11.35the current fiscal year; or
11.36(2) the amount by which the district's or charter school's net negative unreserved
11.37general fund balance as of June 30 of the prior fiscal year exceeds 2.5 percent of the
11.38district or charter school's expenditures for that fiscal year.
12.1(b) The state total advance final payment under this subdivision for any year must
12.2not exceed $7,500,000. If the amount request exceeds $7,500,000, the advance final
12.3payment for each eligible district must be reduced proportionately.
12.4EFFECTIVE DATE.This section is effective the day following final enactment
12.5and applies to fiscal years 2010 and later.

12.6    Sec. 9. Minnesota Statutes 2008, section 127A.45, subdivision 13, is amended to read:
12.7    Subd. 13. Aid payment percentage. Except as provided in subdivisions 11, 12, 12a,
12.8and 14, each fiscal year, all education aids and credits in this chapter and chapters 120A,
12.9120B, 121A, 122A, 123A, 123B, 124D, 125A, 125B, 126C, 134, and section 273.1392,
12.10shall be paid at the current year aid payment percentage of the estimated entitlement during
12.11the fiscal year of the entitlement. For the purposes of this subdivision, a district's estimated
12.12entitlement for special education excess cost aid under section 125A.79 for fiscal year
12.132005 equals 70 percent of the district's entitlement for the second prior fiscal year. For the
12.14purposes of this subdivision, a district's estimated entitlement for special education excess
12.15cost aid under section 125A.79 for fiscal year 2006 and later equals 74.0 percent of the
12.16district's entitlement for the current fiscal year. The final adjustment payment, according
12.17to subdivision 9, must be the amount of the actual entitlement, after adjustment for actual
12.18data, minus the payments made during the fiscal year of the entitlement.

12.19    Sec. 10. Laws 2009, chapter 96, article 1, section 24, subdivision 2, is amended to read:
12.20    Subd. 2. General education aid. For general education aid under Minnesota
12.21Statutes, section 126C.13, subdivision 4:
12.22
12.23
$
5,195,504,000
4,291,422,000
.....
2010
12.24
12.25
$
5,626,994,000
4,776,884,000
.....
2011
12.26The 2010 appropriation includes $555,864,000 $553,591,000 for 2009 and
12.27$4,639,640,000 $3,737,831,000 for 2010.
12.28The 2011 appropriation includes $500,976,000 $1,363,306,000 for 2010 and
12.29$5,126,018,000 $3,413,578,000 for 2011.

12.30    Sec. 11. Laws 2009, chapter 96, article 6, section 11, subdivision 6, is amended to read:
12.31    Subd. 6. Educate parents partnership. For the educate parents partnership under
12.32Minnesota Statutes, section 124D.129:
13.1
$
50,00049,000
.....
2010
13.2
$
50,00049,000
.....
2011
13.3Any balance in the first year does not cancel but is available in the second year.

13.4    Sec. 12. Laws 2009, chapter 96, article 6, section 11, subdivision 7, is amended to read:
13.5    Subd. 7. Kindergarten entrance assessment initiative and intervention
13.6program. For the kindergarten entrance assessment initiative and intervention program
13.7under Minnesota Statutes, section 124D.162:
13.8
$
287,000281,000
.....
2010
13.9
$
287,000281,000
.....
2011
13.10Any balance in the first year does not cancel but is available in the second year.

13.11    Sec. 13. Laws 2009, chapter 96, article 7, section 3, subdivision 2, is amended to read:
13.12    Subd. 2. Department. (a) For the Department of Education:
13.13
13.14
$
20,943,000
20,147,600
.....
2010
13.15
13.16
$
20,943,000
19,811,000
.....
2011
13.17Any balance in the first year does not cancel but is available in the second year.
13.18(b) $260,000 each year is for the Minnesota Children's Museum.
13.19(c) $41,000 each year is for the Minnesota Academy of Science.
13.20(d) $632,000 $618,000 each year is for the Board of Teaching. Any balance in the
13.21first year does not cancel but is available in the second year.
13.22(e) $171,000 $167,000 each year is for the Board of School Administrators. Any
13.23balance in the first year does not cancel but is available in the second year.
13.24(f) $40,000 each year $10,000 is for an early hearing loss intervention coordinator
13.25under Minnesota Statutes, section 125A.63, subdivision 5. This appropriation is for
13.26fiscal year 2010 only. If the department expends federal funds to employ a hearing
13.27loss coordinator under Minnesota Statutes, section 125A.63, subdivision 5, then the
13.28appropriation under this paragraph is reallocated for purposes of employing a world
13.29languages coordinator.
13.30(g) $50,000 each year is for the Duluth Children's Museum.
13.31(h) None of the amounts appropriated under this subdivision may be used for
13.32Minnesota's Washington, D.C., office.
13.33(i) The expenditures of federal grants and aids as shown in the biennial budget
13.34document and its supplements are approved and appropriated and shall be spent as
14.1indicated. The commissioner must provide, to the K-12 Education Finance Division in
14.2the house of representatives and the E-12 Budget Division in the senate, details about the
14.3distribution of state incentive grants, education technology state grants, teacher incentive
14.4funds, and statewide data system funds as outlined in the supplemental federal funds
14.5submission dated March 25, 2009.

14.6ARTICLE 4
14.7E-12 EDUCATION FORECAST ADJUSTMENTS

14.8    Section 1. Minnesota Statutes 2009 Supplement, section 123B.54, is amended to read:
14.9123B.54 DEBT SERVICE APPROPRIATION.
14.10    (a) $9,109,000 in fiscal year 2009, $7,948,000 in fiscal year 2010, $9,275,000 in
14.11fiscal year 2011, $9,574,000 $17,161,000 in fiscal year 2012, and $8,904,000 $19,175,000
14.12in fiscal year 2013 and later are appropriated from the general fund to the commissioner of
14.13education for payment of debt service equalization aid under section 123B.53.
14.14    (b) The appropriations in paragraph (a) must be reduced by the amount of any
14.15money specifically appropriated for the same purpose in any year from any state fund.

14.16    Sec. 2. Laws 2009, chapter 96, article 1, section 24, subdivision 4, is amended to read:
14.17    Subd. 4. Abatement revenue. For abatement aid under Minnesota Statutes, section
14.18127A.49 :
14.19
14.20
$
1,175,000
1,000,000
.....
2010
14.21
14.22
$
1,034,000
1,132,000
.....
2011
14.23The 2010 appropriation includes $140,000 for 2009 and $1,035,000 $860,000 for
14.242010.
14.25The 2011 appropriation includes $115,000 $317,000 for 2010 and $919,000
14.26$815,000 for 2011.

14.27    Sec. 3. Laws 2009, chapter 96, article 1, section 24, subdivision 5, is amended to read:
14.28    Subd. 5. Consolidation transition. For districts consolidating under Minnesota
14.29Statutes, section 123A.485:
14.30
$
854,000 684,000
.....
2010
14.31
$
927,000 576,000
.....
2011
14.32The 2010 appropriation includes $0 for 2009 and $854,000 $684,000 for 2010.
15.1The 2011 appropriation includes $94,000 $252,000 for 2010 and $833,000 $324,000
15.2for 2011.

15.3    Sec. 4. Laws 2009, chapter 96, article 1, section 24, subdivision 6, is amended to read:
15.4    Subd. 6. Nonpublic pupil education aid. For nonpublic pupil education aid under
15.5Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:
15.6
15.7
$
17,250,000
12,861,000
.....
2010
15.8
15.9
$
17,889,000
16,157,000
.....
2011
15.10The 2010 appropriation includes $1,647,000 $1,067,000 for 2009 and $15,603,000
15.11$11,794,000 for 2010.
15.12The 2011 appropriation includes $1,733,000 $4,362,000for 2010 and $16,156,000
15.13$11,795,000 for 2011.

15.14    Sec. 5. Laws 2009, chapter 96, article 1, section 24, subdivision 7, is amended to read:
15.15    Subd. 7. Nonpublic pupil transportation. For nonpublic pupil transportation aid
15.16under Minnesota Statutes, section 123B.92, subdivision 9:
15.17
15.18
$
22,159,000
17,297,000
.....
2010
15.19
15.20
$
22,712,000
19,729,000
.....
2011
15.21The 2010 appropriation includes $2,077,000 for 2009 and $20,082,000 $15,220,000
15.22for 2010.
15.23The 2011 appropriation includes $2,231,000 $5,629,000 for 2010 and $20,481,000
15.24$14,100,000 for 2011.

15.25    Sec. 6. Laws 2009, chapter 96, article 2, section 67, subdivision 2, is amended to read:
15.26    Subd. 2. Charter school building lease aid. For building lease aid under Minnesota
15.27Statutes, section 124D.11, subdivision 4:
15.28
15.29
$
40,453,000
34,833,000
.....
2010
15.30
15.31
$
44,775,000
44,938,000
.....
2011
15.32The 2010 appropriation includes $3,704,000 for 2009 and $36,749,000 $31,129,000
15.33for 2010.
15.34The 2011 appropriation includes $4,083,000 $11,513,000 for 2010 and $40,692,000
15.35$33,425,000 for 2011.

16.1    Sec. 7. Laws 2009, chapter 96, article 2, section 67, subdivision 3, is amended to read:
16.2    Subd. 3. Charter school startup aid. For charter school startup cost aid under
16.3Minnesota Statutes, section 124D.11:
16.4
16.5
$
1,488,000
1,218,000
.....
2010
16.6
16.7
$
1,064,000
743,000
.....
2011
16.8The 2010 appropriation includes $202,000 for 2009 and $1,286,000 $1,016,000
16.9for 2010.
16.10The 2011 appropriation includes $142,000 $375,000 for 2010 and $922,000
16.11$368,000 for 2011.

16.12    Sec. 8. Laws 2009, chapter 96, article 2, section 67, subdivision 4, is amended to read:
16.13    Subd. 4. Integration aid. For integration aid under Minnesota Statutes, section
16.14124D.86, subdivision 5 :
16.15
16.16
$
65,358,000
50,812,000
.....
2010
16.17
16.18
$
65,484,000
61,782,000
.....
2011
16.19The 2010 appropriation includes $6,110,000 $5,832,000 for 2009 and $59,248,000
16.20$44,980,000 for 2010.
16.21The 2011 appropriation includes $6,583,000 $16,636,000 for 2010 and $58,901,000
16.22$45,146,000 for 2011.

16.23    Sec. 9. Laws 2009, chapter 96, article 2, section 67, subdivision 7, is amended to read:
16.24    Subd. 7. Success for the future. For American Indian success for the future grants
16.25under Minnesota Statutes, section 124D.81:
16.26
16.27
$
2,137,000
1,774,000
.....
2010
16.28
16.29
$
2,137,000
2,072,000
.....
2011
16.30The 2010 appropriation includes $213,000 for 2009 and $1,924,000 $1,561,000
16.31for 2010.
16.32The 2011 appropriation includes $213,000 $576,000 for 2010 and $1,924,000
16.33$1,496,000 for 2011.

16.34    Sec. 10. Laws 2009, chapter 96, article 2, section 67, subdivision 9, is amended to read:
17.1    Subd. 9. Tribal contract schools. For tribal contract school aid under Minnesota
17.2Statutes, section 124D.83:
17.3
17.4
$
2,030,000
1,702,000
.....
2010
17.5
17.6
$
2,211,000
2,119,000
.....
2011
17.7The 2010 appropriation includes $191,000 for 2009 and $1,839,000 $1,511,000
17.8for 2010.
17.9The 2011 appropriation includes $204,000 $558,000 for 2010 and $2,007,000
17.10$1,561,000 for 2011.

17.11    Sec. 11. Laws 2009, chapter 96, article 3, section 21, subdivision 2, is amended to read:
17.12    Subd. 2. Special education; regular. For special education aid under Minnesota
17.13Statutes, section 125A.75:
17.14
17.15
$
734,071,000
609,003,000
.....
2010
17.16
17.17
$
781,497,000
749,248,000
.....
2011
17.18The 2010 appropriation includes $71,947,000 for 2009 and $662,124,000
17.19$537,056,000 for 2010.
17.20The 2011 appropriation includes $73,569,000 $198,637,000 for 2010 and
17.21$707,928,000 $550,611,000 for 2011.

17.22    Sec. 12. Laws 2009, chapter 96, article 3, section 21, subdivision 4, is amended to read:
17.23    Subd. 4. Travel for home-based services. For aid for teacher travel for home-based
17.24services under Minnesota Statutes, section 125A.75, subdivision 1:
17.25
$
258,000 224,000
.....
2010
17.26
$
282,000 282,000
.....
2011
17.27The 2010 appropriation includes $24,000 for 2009 and $234,000 $200,000 for 2010.
17.28The 2011 appropriation includes $26,000 $73,000 for 2010 and $256,000 $209,000
17.29for 2011.

17.30    Sec. 13. Laws 2009, chapter 96, article 3, section 21, subdivision 5, is amended to read:
17.31    Subd. 5. Special education; excess costs. For excess cost aid under Minnesota
17.32Statutes, section 125A.79, subdivision 7:
18.1
18.2
$
110,871,000
96,926,000
.....
2010
18.3
18.4
$
110,877,000
108,410,000
.....
2011
18.5The 2010 appropriation includes $37,046,000 for 2009 and $73,825,000 $59,880,000
18.6for 2010.
18.7The 2011 appropriation includes $37,022,000 $50,967,000 for 2010 and $73,855,000
18.8$57,443,000 for 2011.

18.9    Sec. 14. Laws 2009, chapter 96, article 4, section 12, subdivision 2, is amended to read:
18.10    Subd. 2. Health and safety revenue. For health and safety aid according to
18.11Minnesota Statutes, section 123B.57, subdivision 5:
18.12
$
161,000 132,000
.....
2010
18.13
$
160,000 135,000
.....
2011
18.14The 2010 appropriation includes $10,000 for 2009 and $151,000 $122,000 for 2010.
18.15The 2011 appropriation includes $16,000 $44,000 for 2010 and $144,000 $91,000
18.16for 2011.

18.17    Sec. 15. Laws 2009, chapter 96, article 4, section 12, subdivision 3, is amended to read:
18.18    Subd. 3. Debt service equalization. For debt service aid according to Minnesota
18.19Statutes, section 123B.53, subdivision 6:
18.20
18.21
$
7,948,000
6,608,000
.....
2010
18.22
18.23
$
9,275,000
8,204,000
.....
2011
18.24The 2010 appropriation includes $851,000 for 2009 and $7,097,000 $5,757,000
18.25for 2010.
18.26The 2011 appropriation includes $788,000 $2,128,000 for 2010 and $8,487,000
18.27$6,076,000 for 2011.

18.28    Sec. 16. Laws 2009, chapter 96, article 4, section 12, subdivision 4, is amended to read:
18.29    Subd. 4. Alternative facilities bonding aid. For alternative facilities bonding aid,
18.30according to Minnesota Statutes, section 123B.59, subdivision 1:
18.31
18.32
$
19,287,000
16,008,000
.....
2010
18.33
18.34
$
19,287,000
18,708,000
.....
2011
19.1The 2010 appropriation includes $1,928,000 for 2009 and $17,359,000 $14,080,000
19.2for 2010.
19.3The 2011 appropriation includes $1,928,000 $5,207,000 for 2010 and $17,359,000
19.4$13,501,000 for 2011.

19.5    Sec. 17. Laws 2009, chapter 96, article 4, section 12, subdivision 6, is amended to read:
19.6    Subd. 6. Deferred maintenance aid. For deferred maintenance aid, according to
19.7Minnesota Statutes, section 123B.591, subdivision 4:
19.8
19.9
$
2,302,000
1,918,000
.....
2010
19.10
19.11
$
2,073,000
2,146,000
.....
2011
19.12The 2010 appropriation includes $260,000 for 2009 and $2,042,000 $1,658,000
19.13for 2010.
19.14The 2011 appropriation includes $226,000 $613,000 for 2010 and $1,847,000
19.15$1,533,000 for 2011.

19.16    Sec. 18. Laws 2009, chapter 96, article 5, section 13, subdivision 4, is amended to read:
19.17    Subd. 4. Kindergarten milk. For kindergarten milk aid under Minnesota Statutes,
19.18section 124D.118:
19.19
19.20
$
1,098,000
1,104,000
.....
2010
19.21
19.22
$
1,120,000
1,126,000
.....
2011

19.23    Sec. 19. Laws 2009, chapter 96, article 5, section 13, subdivision 6, is amended to read:
19.24    Subd. 6. Basic system support. For basic system support grants under Minnesota
19.25Statutes, section 134.355:
19.26
19.27
$
13,570,000
11,264,000
.....
2010
19.28
19.29
$
13,570,000
13,162,000
.....
2011
19.30The 2010 appropriation includes $1,357,000 for 2009 and $12,213,000 $9,907,000
19.31for 2010.
19.32The 2011 appropriation includes $1,357,000 $3,663,000 for 2010 and $12,213,000
19.33$9,499,000 for 2011.

19.34    Sec. 20. Laws 2009, chapter 96, article 5, section 13, subdivision 7, is amended to read:
20.1    Subd. 7. Multicounty, multitype library systems. For grants under Minnesota
20.2Statutes, sections 134.353 and 134.354, to multicounty, multitype library systems:
20.3
20.4
$
1,300,000
1,079,000
.....
2010
20.5
20.6
$
1,300,000
1,261,000
.....
2011
20.7The 2010 appropriation includes $130,000 for 2009 and $1,170,000 $949,000 for
20.82010.
20.9The 2011 appropriation includes $130,000 $351,000 for 2010 and $1,170,000
20.10$910,000 for 2011.

20.11    Sec. 21. Laws 2009, chapter 96, article 5, section 13, subdivision 9, is amended to read:
20.12    Subd. 9. Regional library telecommunications aid. For regional library
20.13telecommunications aid under Minnesota Statutes, section 134.355:
20.14
20.15
$
2,300,000
1,909,000
.....
2010
20.16
20.17
$
2,300,000
2,231,000
.....
2011
20.18The 2010 appropriation includes $230,000 for 2009 and $2,070,000 $1,679,000
20.19for 2010.
20.20The 2011 appropriation includes $230,000 $621,000 for 2010 and $2,070,000
20.21$1,610,000 for 2011.

20.22    Sec. 22. Laws 2009, chapter 96, article 6, section 11, subdivision 2, is amended to read:
20.23    Subd. 2. School readiness. For revenue for school readiness programs under
20.24Minnesota Statutes, sections 124D.15 and 124D.16:
20.25
20.26
$
10,095,000
8,379,000
.....
2010
20.27
20.28
$
10,095,000
9,792,000
.....
2011
20.29The 2010 appropriation includes $1,009,000 for 2009 and $9,086,000 $7,370,000
20.30for 2010.
20.31The 2011 appropriation includes $1,009,000 $2,725,000 for 2010 and $9,086,000
20.32$7,067,000 for 2011.

20.33    Sec. 23. Laws 2009, chapter 96, article 6, section 11, subdivision 3, is amended to read:
20.34    Subd. 3. Early childhood family education aid. For early childhood family
20.35education aid under Minnesota Statutes, section 124D.135:
21.1
21.2
$
22,955,000
19,005,000
.....
2010
21.3
21.4
$
22,547,000
21,460,000
.....
2011
21.5The 2010 appropriation includes $3,020,000 for 2009 and $19,935,000 $15,985,000
21.6for 2010.
21.7The 2011 appropriation includes $2,214,000 $5,911,000 for 2010 and $20,333,000
21.8$15,549,000 for 2011.

21.9    Sec. 24. Laws 2009, chapter 96, article 6, section 11, subdivision 4, is amended to read:
21.10    Subd. 4. Health and developmental screening aid. For health and developmental
21.11screening aid under Minnesota Statutes, sections 121A.17 and 121A.19:
21.12
21.13
$
3,694,000
2,922,000
.....
2010
21.14
21.15
$
3,800,000
3,425,000
.....
2011
21.16The 2010 appropriation includes $367,000 for 2009 and $3,327,000 $2,555,000
21.17for 2010.
21.18The 2011 appropriation includes $369,000 $945,000 for 2010 and $3,431,000
21.19$2,480,000 for 2011.

21.20    Sec. 25. Laws 2009, chapter 96, article 6, section 11, subdivision 8, is amended to read:
21.21    Subd. 8. Community education aid. For community education aid under
21.22Minnesota Statutes, section 124D.20:
21.23
$
585,000 476,000
.....
2010
21.24
$
467,000 473,000
.....
2011
21.25The 2010 appropriation includes $73,000 for 2009 and $512,000 $403,000 for 2010.
21.26The 2011 appropriation included $56,000 $148,000 for 2010 and $411,000 $325,000
21.27for 2011.

21.28    Sec. 26. Laws 2009, chapter 96, article 6, section 11, subdivision 9, is amended to read:
21.29    Subd. 9. Adults with disabilities program aid. For adults with disabilities
21.30programs under Minnesota Statutes, section 124D.56:
21.31
$
710,000 588,000
.....
2010
21.32
$
710,000688,000
.....
2011
21.33The 2010 appropriation includes $71,000 $69,000 for 2009 and $639,000 $519,000
21.34for 2010.
22.1The 2011 appropriation includes $71,000 $191,000 for 2010 and $639,000 $497,000
22.2for 2011.

22.3    Sec. 27. Laws 2009, chapter 96, article 6, section 11, subdivision 12, is amended to
22.4read:
22.5    Subd. 12. Adult basic education aid. For adult basic education aid under
22.6Minnesota Statutes, section 124D.531:
22.7
22.8
$
42,975,000
35,671,000
.....
2010
22.9
22.10
$
44,258,000
42,732,000
.....
2011
22.11The 2010 appropriation includes $4,187,000 for 2009 and $38,788,000 $31,484,000
22.12for 2010.
22.13The 2011 appropriation includes $4,309,000 $11,644,000 for 2010 and $39,949,000
22.14$31,088,000 for 2011.

22.15ARTICLE 5
22.16HIGHER EDUCATION

22.17
Section 1. SUMMARY OF APPROPRIATIONS.
22.18The amounts shown in this section summarize direct appropriations, by fund, made
22.19in this article.
22.20
2010
2011
Total
22.21
General
$
(77,000)
$
(100,077,000)
$
(100,154,000)

22.22
Sec. 2. APPROPRIATIONS.
22.23The sums shown in the columns marked "Appropriations" are added to or, if shown
22.24in parentheses, subtracted from the appropriations in Laws 2009, chapter 95, article 1, to
22.25the agencies and for the purposes specified in this article. The appropriations are from the
22.26general fund, or another named fund, and are available for the fiscal years indicated for
22.27each purpose. The figures "2010" and "2011" used in this article mean that the addition
22.28to or subtraction from the appropriation listed under them is available for the fiscal year
22.29ending June 30, 2010, or June 30, 2011, respectively. Supplemental appropriations and
22.30reductions to appropriations for the fiscal year ending June 30, 2010, are effective the
22.31day following final enactment.
22.32
APPROPRIATIONS
22.33
Available for the Year
23.1
Ending June 30
23.2
2010
2011

23.3
23.4
Sec. 3. MINNESOTA OFFICE OF HIGHER
EDUCATION
$
(77,000)
$
(77,000)
23.5This reduction is from the appropriation for
23.6agency administration.
23.7If an extension of the enhanced federal
23.8medical assistance percentage (FMAP) under
23.9Public Law 111-5, section 5001, to at least
23.10June 30, 2011, is enacted by June 15, 2010,
23.11$35,000,000 is appropriated from the general
23.12fund to the Minnesota Office of Higher
23.13Education for the state grant program, to be
23.14available for the fiscal year ending June 30,
23.152011.

23.16
23.17
23.18
Sec. 4. BOARD OF TRUSTEES OF THE
MINNESOTA STATE COLLEGES AND
UNIVERSITIES
$
-0-
$
(50,000,000)
23.19$3,579,000 of the reduction in 2011 is from
23.20the central offices and shared services unit
23.21appropriation.
23.22$46,421,000 of the reduction in 2011
23.23is from the operations and maintenance
23.24appropriation.
23.25For fiscal years 2012 and 2013, the base for
23.26operations and maintenance is $580,802,000
23.27each year.

23.28
23.29
Sec. 5. BOARD OF REGENTS OF THE
UNIVERSITY OF MINNESOTA
23.30
Subdivision 1.Total Appropriation
$
-0-
$
(50,000,000)
23.31The appropriation reductions for each
23.32purpose are shown in the following
23.33subdivisions.
24.1
Subd. 2.Operations and Maintenance
-0-
(44,606,000)
24.2For fiscal years 2012 and 2013, the base for
24.3operations and maintenance is $578,370,000
24.4each year.
24.5
Subd. 3.Special Appropriations
24.6
(a) Agriculture and Extension Service
-0-
(3,858,000)
24.7
(b) Health Sciences
-0-
(389,000)
24.8$26,000 of the 2011 reduction is from the St.
24.9Cloud family practice residency program.
24.10
(c) Institute of Technology
-0-
(102,000)
24.11
(d) System Special
-0-
(454,000)
24.12
24.13
(e) University of Minnesota and Mayo
Foundation Partnership
-0-
(591,000)

24.14ARTICLE 6
24.15ENVIRONMENT AND NATURAL RESOURCES

24.16
Section 1. SUMMARY OF APPROPRIATIONS.
24.17The amounts shown in this section summarize changes to direct appropriations, by
24.18fund, made in this article.
24.19
2010
2011
Total
24.20
General
$
(1,571,000)
$
(1,564,000)
$
(3,135,000)

24.21
Sec. 2. APPROPRIATIONS.
24.22The sums shown in the columns marked "Appropriations" are added to or, if shown
24.23in parentheses, subtracted from the appropriations in Laws 2009, chapter 37, article 1, to
24.24the agencies and for the purposes specified in this article. The appropriations are from the
24.25general fund, or another named fund, and are available for the fiscal years indicated for
24.26each purpose. The figures "2010" and "2011" used in this article mean that the addition to
24.27or subtraction from the appropriation listed under them are available for the fiscal year
24.28ending June 30, 2010, or June 30, 2011, respectively. Supplemental appropriations and
24.29reductions to appropriations for the fiscal year ending June 30, 2010, are effective the
24.30day following final enactment.
25.1
APPROPRIATIONS
25.2
Available for the Year
25.3
Ending June 30
25.4
2010
2011

25.5
Sec. 3. POLLUTION CONTROL AGENCY
25.6
Subdivision 1.Total Appropriation
$
(110,000)
$
(99,000)
25.7The appropriation reductions for each
25.8purpose are shown in the following
25.9subdivisions.
25.10
Subd. 2.Water
(98,000)
(38,000)
25.11The $98,000 reduction in fiscal year 2010
25.12is from the agency's activities to develop
25.13minimal impact design standards for urban
25.14stormwater runoff.
25.15
Subd. 3.Land
-0-
(30,000)
25.16The $30,000 reduction in the second year is
25.17from the environmental health tracking and
25.18biomonitoring activities of the agency.
25.19
25.20
Subd. 4.Environmental
Assistance and Cross Media
-0-
(16,000)
25.21
25.22
Subd. 5.Administrative
Support
(12,000)
(15,000)

25.23
Sec. 4. NATURAL RESOURCES
25.24
Subdivision 1.Total Appropriation
$
(1,375,000)
$
(1,379,000)
25.25The appropriation reductions for each
25.26purpose are shown in the following
25.27subdivisions.
25.28
25.29
Subd. 2.Lands and
Minerals
(30,000)
(30,000)
25.30
25.31
Subd. 3.Water Resources
Management
(84,000)
(84,000)
25.32
25.33
Subd. 4.Forest
Management
(188,000)
(188,000)
26.1$53,000 of the reduction each year is from
26.2activities supporting the Forest Resources
26.3Council with implementation of the
26.4Sustainable Forest Resources Act.
26.5
26.6
Subd. 5.Parks and Trails
Management
(420,000)
(422,000)
26.7
26.8
Subd. 6.Fish and Wildlife
Management
(265,000)
(265,000)
26.9$265,000 of the reduction each year is from
26.10activities for preserving, restoring, and
26.11enhancing grassland/wetland complexes on
26.12public or private land.
26.13
Subd. 7.Ecological Services
(46,000)
(47,000)
26.14
Subd. 8.Enforcement
(230,000)
(230,000)
26.15
26.16
Subd. 9.Operations
Support
(112,000)
(113,000)

26.17
Sec. 5. METROPOLITAN COUNCIL
$
(86,000)
$
(86,000)

26.18    Sec. 6. Laws 2010, chapter 215, article 3, section 3, subdivision 6, is amended to read:
26.19
Subd. 6.Transfers In
26.20(a) The amounts appropriated from the
26.21agency indirect costs account in the special
26.22revenue fund are reduced by $328,000 in
26.23fiscal year 2010 and $462,000 in fiscal year
26.242011, and those amounts must be transferred
26.25to the general fund by June 30, 2011. The
26.26appropriation reductions are onetime.
26.27(b) The commissioner of management and
26.28budget shall transfer $8,000,000 $48,000,000
26.29in fiscal year 2011 from the closed landfill
26.30investment fund in Minnesota Statutes,
26.31section 115B.421, to the general fund. The
26.32commissioner shall transfer $4,000,000
26.33$12,000,000 on July 1, 2013, and $4,000,000
27.1on July 1, in each of the years 2014, 2015,
27.22016, and 2017 from the general fund to the
27.3closed landfill investment fund. For the July
27.41, 2014, each transfer to the closed landfill
27.5investment fund, the commissioner shall
27.6determine the total amount of interest and
27.7other earnings that would have accrued to
27.8the fund if the transfers to the general fund
27.9under this paragraph had not been made and
27.10add this amount to the transfer. The amounts
27.11necessary for these transfers are appropriated
27.12from the general fund in the fiscal years
27.13specified for the transfers.

27.14ARTICLE 7
27.15ENERGY

27.16
Section 1. SUMMARY OF APPROPRIATIONS.
27.17The amounts shown in this section summarize direct appropriations, by fund, made
27.18in this article.
27.19
2010
2011
Total
27.20
General
$
(247,000)
$
(247,000)
$
(494,000)

27.21
Sec. 2. APPROPRIATIONS.
27.22The sums shown in the columns marked "Appropriations" are added to or, if shown
27.23in parentheses, subtracted from the appropriations in Laws 2009, chapter 37, article 2, to
27.24the agencies and for the purposes specified in this article. The appropriations are from the
27.25general fund, or another named fund, and are available for the fiscal years indicated for
27.26each purpose. The figures "2010" and "2011" used in this article mean that the addition
27.27to or subtraction from the appropriation listed under them is available for the fiscal year
27.28ending June 30, 2010, or June 30, 2011, respectively. Supplemental appropriations and
27.29reductions to appropriations for the fiscal year ending June 30, 2010, are effective the
27.30day following final enactment.
27.31
APPROPRIATIONS
27.32
Available for the Year
27.33
Ending June 30
27.34
2010
2011

28.1
Sec. 3. DEPARTMENT OF COMMERCE
28.2
Subdivision 1.Total Appropriation
$
(247,000)
$
(247,000)
28.3The appropriation reductions for each
28.4purpose are shown in the following
28.5subdivisions.
28.6
Subd. 2.Administrative Services
(97,000)
(97,000)
28.7
Subd. 3.Market Assurance
(150,000)
(150,000)

28.8ARTICLE 8
28.9AGRICULTURE

28.10
Section 1. SUMMARY OF APPROPRIATIONS.
28.11The amounts shown in this section summarize direct appropriations, by fund, made
28.12in this article.
28.13
2010
2011
Total
28.14
General
$
(493,000)
$
(492,000)
$
(985,000)

28.15
Sec. 2. AGRICULTURAL APPROPRIATIONS.
28.16The sums shown in the columns marked "Appropriations" are added to or, if shown
28.17in parentheses, subtracted from the appropriations in Laws 2009, chapter 94, article 1, to
28.18the agencies and for the purposes specified in this article. The appropriations are from the
28.19general fund, or another named fund, and are available for the fiscal years indicated for
28.20each purpose. The figures "2010" and "2011" used in this article mean that the addition to
28.21or subtraction from the appropriations listed under them are available for the fiscal year
28.22ending June 30, 2010, or June 30, 2011, respectively. Supplemental appropriations and
28.23reductions to appropriations for the fiscal year ending June 30, 2010, are effective the
28.24day following final enactment.
28.25
APPROPRIATIONS
28.26
Available for the Year
28.27
Ending June 30
28.28
2010
2011

28.29
Sec. 3. DEPARTMENT OF AGRICULTURE
28.30
Subdivision 1.Total Appropriation
$
(493,000)
$
(492,000)
29.1The appropriation reductions for each
29.2purpose are shown in the following
29.3subdivisions.
29.4
Subd. 2.Protection Services
(228,000)
(228,000)
29.5$13,000 in fiscal year 2010 and $13,000 in
29.6fiscal year 2011 are reductions from plant
29.7pest surveys.
29.8
29.9
Subd. 3.Agricultural Marketing and
Development
(127,000)
(127,000)
29.10$77,000 in fiscal year 2010 and $77,000 in
29.11fiscal year 2011 are reductions for integrated
29.12pest management activities.
29.13
29.14
Subd. 4.Administration and Financial
Assistance
(138,000)
(137,000)
29.15$69,000 in fiscal year 2010 and $69,000 in
29.16fiscal year 2011 are reductions from the dairy
29.17and profitability enhancement and dairy
29.18business planning grant programs established
29.19under Laws 1997, chapter 216, section 7,
29.20subdivision 2, and Laws 2001, First Special
29.21Session chapter 2, section 9, subdivision 2.
29.22$1,000 in fiscal year 2010 is a reduction from
29.23the appropriation for the administration of
29.24the Feeding Minnesota Task Force.

29.25ARTICLE 9
29.26ECONOMIC DEVELOPMENT

29.27
Section 1. SUMMARY OF APPROPRIATIONS.
29.28The amounts shown in this section summarize direct appropriations, by fund, made
29.29in this article.
29.30
2010
2011
Total
29.31
General
$
(489,000)
$
(745,000)
$
(1,234,000)

29.32
Sec. 2. APPROPRIATIONS.
30.1The sums shown in the columns marked "Appropriations" are added to, or if shown
30.2in parentheses, subtracted from the appropriations in Laws 2009, chapter 78, article 1, to
30.3the agencies and for the purposes specified in this article. The appropriations are from the
30.4general fund, or another named fund, and are available for the fiscal years indicated for
30.5each purpose. The figures "2010" and "2011" used in this article mean that the addition
30.6to or subtraction from the appropriation listed under them is available for the fiscal year
30.7ending June 30, 2010, or June 30, 2011, respectively. Supplemental appropriations and
30.8reductions to appropriations for the fiscal year ending June 30, 2010, are effective the
30.9day following final enactment.
30.10
APPROPRIATIONS
30.11
Available for the Year
30.12
Ending June 30
30.13
2010
2011

30.14
30.15
Sec. 3. EMPLOYMENT AND ECONOMIC
DEVELOPMENT
30.16
Subdivision 1.Total Appropriation
$
(285,000)
$
(285,000)
30.17The appropriation reductions for each
30.18purpose are shown in the following
30.19subdivisions.
30.20
30.21
Subd. 2.Business and Community
Development
(87,000)
(87,000)
30.22$25,000 in 2010 and $25,000 in 2011 are
30.23from the appropriation for the Office of
30.24Science and Technology.
30.25
Subd. 3.Workforce Development
(115,000)
(115,000)
30.26$15,000 in 2010 and $15,000 in 2011 are
30.27from the appropriation for the Minnesota job
30.28skills partnership program under Minnesota
30.29Statutes, sections 116L.01 to 116L.17.
30.30$11,000 in 2010 and $11,000 in 2011 are from
30.31the appropriation for administrative expenses
30.32to programs that provide employment
30.33support services to persons with mental
30.34illness under Minnesota Statutes, sections
30.35268A.13 and 268A.14.
31.1$89,000 in 2010 and $89,000 in 2011 are
31.2from the appropriation for state services for
31.3the blind activities.
31.4
Subd. 4.State-Funded Administration
(83,000)
(83,000)

31.5
Sec. 4. HOUSING FINANCE AGENCY
$
-0-
$
(256,000)
31.6This reduction is from the appropriation to
31.7the Housing Finance Agency for the housing
31.8rehabilitation program under Minnesota
31.9Statutes, section 462A.05, subdivision 14,
31.10for rental housing developments.
31.11On or before June 30, 2010, the Housing
31.12Finance Agency shall transfer $256,000
31.13from the housing rehabilitation program in
31.14the housing development fund to the general
31.15fund.

31.16
31.17
Sec. 5. DEPARTMENT OF LABOR AND
INDUSTRY
$
(20,000)
$
(20,000)
31.18This reduction is from the general
31.19fund appropriation for labor
31.20standards/apprenticeship.

31.21
31.22
Sec. 6. BUREAU OF MEDIATION
SERVICES
$
(16,000)
$
(16,000)
31.23This reduction is from the general fund
31.24appropriation for mediation services.

31.25
31.26
Sec. 7. MINNESOTA HISTORICAL
SOCIETY
31.27
Subdivision 1.Total Appropriation
$
(168,000)
$
(168,000)
31.28The appropriation reductions for each
31.29purpose are shown in the following
31.30subdivisions.
31.31
Subd. 2.Education and Outreach
(96,000)
(96,000)
32.1
Subd. 3.Preservation and Access
(72,000)
(72,000)

32.2ARTICLE 10
32.3TRANSPORTATION

32.4
Section 1. SUMMARY OF APPROPRIATIONS.
32.5The amounts shown in this section summarize direct appropriations, by fund, made
32.6in this article.
32.7
2010
2011
Total
32.8
General
$
(1,649,000)
$
(11,649,000)
$
(13,298,000)

32.9
Sec. 2. APPROPRIATIONS.
32.10The sums shown in the columns marked "Appropriations" are added to or, if shown
32.11in parentheses, subtracted from the appropriations in Laws 2009, chapter 36, article 1, to
32.12the agencies and for the purposes specified in this article. The appropriations are from the
32.13general fund, or another named fund, and are available for the fiscal years indicated for
32.14each purpose. The figures "2010" and "2011" used in this article mean that the addition to
32.15or subtraction from the appropriation listed under them are available for the fiscal year
32.16ending June 30, 2010, or June 30, 2011, respectively. Supplemental appropriations and
32.17reductions to appropriations for the fiscal year ending June 30, 2010, are effective the
32.18day following final enactment.
32.19
APPROPRIATIONS
32.20
Available for the Year
32.21
Ending June 30
32.22
2010
2011

32.23
Sec. 3. TRANSPORTATION
32.24
Subdivision 1.Total Appropriation
$
(24,000)
$
(1,474,000)
32.25The appropriation reductions for each
32.26purpose are shown in the following
32.27subdivisions.
32.28
Subd. 2.Multimodal Systems
32.29
(a) Transit
(9,000)
(1,459,000)
32.30This reduction is to the Transit Improvement
32.31Administration appropriation.
33.1The base appropriation from the general fund
33.2for fiscal years 2012 and 2013 is $16,292,000
33.3each year.
33.4
(b) Freight
(9,000)
(9,000)
33.5This reduction is to the rail service plan
33.6appropriation.
33.7
(c) Electronic Communication
(6,000)
(6,000)
33.8This reduction is to the Roosevelt Tower
33.9appropriation.

33.10
Sec. 4. METROPOLITAN COUNCIL
33.11
Subdivision 1.Total Appropriation
$
(1,625,000)
$
(10,175,000)
33.12The appropriation reductions for each
33.13purpose are shown in the following
33.14subdivisions.
33.15
Subd. 2.Bus Transit
(1,506,000)
(10,056,000)
33.16This reduction is to the appropriation for bus
33.17system operations.
33.18The base appropriation for fiscal years 2012
33.19and 2013 is $59,796,000 each year.
33.20
Subd. 3.Rail Operations
(119,000)
(119,000)
33.21This reduction is to the appropriation for rail
33.22systems.
33.23The base appropriation for fiscal years 2012
33.24and 2013 is $5,174,000 each year.

33.25ARTICLE 11
33.26PUBLIC SAFETY

33.27
Section 1. SUMMARY OF APPROPRIATIONS.
33.28The amounts shown in this section summarize direct appropriations, by fund, made
33.29in this article.
33.30
2010
2011
Total
33.31
General
$
(79,000)
$
(79,000)
$
(158,000)

34.1
Sec. 2. APPROPRIATIONS.
34.2The sums shown in the columns marked "Appropriations" are added to or, if shown
34.3in parentheses, subtracted from the appropriations in Laws 2009, chapter 83, article 1, to
34.4the agencies and for the purposes specified in this article. The appropriations are from the
34.5general fund, or another named fund, and are available for the fiscal years indicated for
34.6each purpose. The figures "2010" and "2011" used in this article mean that the addition
34.7to or subtraction from the appropriation listed under them is available for the fiscal year
34.8ending June 30, 2010, or June 30, 2011, respectively. Supplemental appropriations and
34.9reductions to appropriations for the fiscal year ending June 30, 2010, are effective the
34.10day following final enactment.
34.11
APPROPRIATIONS
34.12
Available for the Year
34.13
Ending June 30
34.14
2010
2011

34.15
Sec. 3. HUMAN RIGHTS
$
(79,000)
$
(79,000)

34.16ARTICLE 12
34.17STATE GOVERNMENT

34.18
Section 1. SUMMARY OF APPROPRIATIONS.
34.19The amounts shown in this section summarize direct appropriations, by fund, made
34.20in this article.
34.21
2010
2011
Total
34.22
General
$
(1,694,000)
$
(15,820,000)
$
(17,514,000)

34.23
Sec. 2. APPROPRIATIONS.
34.24The sums shown in the columns marked "Appropriations" are added to or, if shown
34.25in parentheses, subtracted from, the appropriations in Laws 2009, chapter 101, article 1, to
34.26the agencies and for the purposes specified in this article. The appropriations are from the
34.27general fund, or another named fund, and are available for the fiscal years indicated for
34.28each purpose. The figures "2010" and "2011" used in this article mean that the addition
34.29to or subtraction from the appropriation listed under them is available for the fiscal year
34.30ending June 30, 2010, or June 30, 2011, respectively. Supplemental appropriations and
34.31reductions to appropriations for the fiscal year ending June 30, 2010, are effective the
34.32day following final enactment.
35.1
APPROPRIATIONS
35.2
Available for the Year
35.3
Ending June 30
35.4
2010
2011

35.5
35.6
Sec. 3. GOVERNOR AND LIEUTENANT
GOVERNOR
$
(81,000)
$
(81,000)
35.7$13,000 of the reduction in each of
35.8fiscal years 2010 and 2011 are from the
35.9appropriation for necessary expenses in the
35.10normal performance of the governor's and
35.11lieutenant governor's duties for which no
35.12other reimbursement is provided.

35.13
35.14
Sec. 4. OFFICE OF ENTERPRISE
TECHNOLOGY
$
(130,000)
$
(130,000)
35.15$96,000 of the reduction in each of
35.16fiscal years 2010 and 2011 are from the
35.17appropriation for information technology
35.18security.

35.19
Sec. 5. ADMINISTRATION
$
(100,000)
$
(200,000)
35.20These reductions are from the Government
35.21and Citizen Services Program.
35.22$162,000 of the balance in the central stores
35.23fund is transferred to the general fund on
35.24or before June 30, 2010. This is a onetime
35.25transfer.
35.26The base appropriation from the general fund
35.27for the Government and Citizen Services
35.28Program for fiscal years 2012 and 2013 is
35.29$17,116,000 each year.

35.30
Sec. 6. MANAGEMENT AND BUDGET
$
(459,000)
$
(459,000)
35.31
Insurance Contingency Reserve Loan
36.1(a) By June 30, 2011, the commissioner
36.2of management and budget shall transfer
36.3$30,000,000 of the contingency reserve
36.4within the employee insurance trust fund
36.5maintained under Minnesota Statutes, section
36.643A.30, subdivision 6, to the general fund.
36.7(b) By June 30, 2012, the commissioner
36.8of management and budget shall transfer
36.9$30,000,000 from the general fund to the
36.10contingency reserve within the employee
36.11insurance trust fund maintained under
36.12Minnesota Statutes, section 43A.30,
36.13subdivision 6.
36.14(c) The amounts necessary to complete
36.15these transfers are appropriated to the
36.16commissioner from each fund.
36.17
Health Care Access Fund Loan
36.18(a) By June 30, 2011, the commissioner of
36.19management and budget shall transfer up to
36.20$40,000,000 from the balance of the health
36.21care access fund to the general fund.
36.22(b) By June 30, 2012, the commissioner of
36.23management and budget shall transfer the
36.24amount transferred in paragraph (a) from the
36.25general fund to the health care access fund.
36.26(c) The amounts necessary to complete
36.27these transfers are appropriated to the
36.28commissioner from each fund.

36.29
Sec. 7. REVENUE
$
(924,000)
$
(950,000)
36.30These reductions are from the tax system
36.31management program.

36.32    Sec. 8. GENERAL REDUCTION.
37.1    Subdivision 1. Plan submitted; effective date. By June 15, 2010, the commissioner
37.2of management and budget, in consultation with the affected agencies, shall reduce
37.3general fund appropriations for fiscal year 2010 or 2011 to the affected agencies listed in
37.4this section by a total of $14,000,000. No single appropriation or program may be reduced
37.5by more than 1.5 percent. These reductions are onetime.
37.6    Subd. 2. Report. By July 1, 2010, the commissioner of management and budget
37.7shall submit to the chair and ranking minority member of the senate and house of representatives Committees
37.8on Finance and Ways and Means a report of the appropriations reduced.
37.9    Subd. 3. Affected agencies. The agencies whose appropriations must be reduced
37.10are the following:
37.11(1) Department of Education, state agency operations;
37.12(2) Minnesota Office of Higher Education, state agency operations;
37.13(3) Department of Human Services, state agency operations;
37.14(4) Department of Health, state agency operations;
37.15(5) Pollution Control Agency, all general fund programs;
37.16(6) Department of Natural Resources, all general fund programs;
37.17(7) Board of Water and Soil Resources, all general fund programs;
37.18(8) Department of Commerce, all general fund programs;
37.19(9) Department of Agriculture, all general fund programs;
37.20(10) Department of Employment and Economic Development, all general fund
37.21programs;
37.22(11) Explore Minnesota Tourism, all general fund programs;
37.23(12) Housing Finance Agency, all general fund programs;
37.24(13) Department of Labor and Industry, all general fund programs;
37.25(14) Bureau of Mediation Services, all general fund programs;
37.26(15) Minnesota Historical Society, all general fund programs;
37.27(16) Department of Transportation, all general fund programs, except greater
37.28Minnesota transit;
37.29(17) Department of Public Safety, all general fund programs;
37.30(18) Department of Corrections, all general fund programs;
37.31(19) Department of Human Rights, all general fund programs;
37.32(20) Office of Enterprise Technology, all general fund programs;
37.33(21) Department of Administration, all general fund programs;
37.34(22) Department of Management and Budget, all general fund programs; and
37.35(23) Department of Revenue, state agency operations;
38.1(24) all other executive branch state agencies, as defined in Minnesota Statutes,
38.2section 16A.011, subdivision 12a, all general fund programs.

38.3ARTICLE 13
38.4HEALTH AND HUMAN SERVICES

38.5
Section 1. SUMMARY OF APPROPRIATIONS.
38.6The amounts shown in this section summarize direct appropriations, by fund, made
38.7in this article.
38.8
2010
2011
Total
38.9
General
$
(74,704,000)
$
(83,052,000)
$
(157,756,000)

38.10
Sec. 2. APPROPRIATIONS.
38.11The sums shown in the columns marked "Appropriations" are added to or, if shown
38.12in parentheses, subtracted from the appropriations in Laws 2009, chapter 79, article 13,
38.13as amended by Laws 2009, chapter 173, article 2, to the agencies and for the purposes
38.14specified in this article. The appropriations are from the general fund and are available
38.15for the fiscal years indicated for each purpose. The figures "2010" and "2011" used in
38.16this article mean that the addition to or subtraction from the appropriation listed under
38.17them is available for the fiscal year ending June 30, 2010, or June 30, 2011, respectively.
38.18Supplemental appropriations and reductions to appropriations for the fiscal year ending
38.19June 30, 2010, are effective the day following final enactment unless a different effective
38.20date is explicit. All reductions in this article are onetime, unless otherwise stated.
38.21
APPROPRIATIONS
38.22
Available for the Year
38.23
Ending June 30
38.24
2010
2011

38.25
38.26
Sec. 3. DEPARTMENT OF HUMAN
SERVICES
38.27
Subdivision 1.Total Appropriation
$
(74,177,000)
$
(82,527,000)
38.28The appropriation reductions for each
38.29purpose are shown in the following
38.30subdivisions.
38.31
38.32
Subd. 2.Agency Management; Financial
Operations
(3,289,000)
(3,282,000)
38.33
38.34
Subd. 3.Children and Economic Assistance
Grants
39.1
(a) Child Support Enforcement Grants
(3,400,000)
-0-
39.2
(b) Children's Services Grants
(600,000)
(1,249,000)
39.3American Indian Child Welfare Projects.
39.4Notwithstanding Laws 2009, chapter 79,
39.5article 2, section 35, $600,000 of the fiscal
39.6year 2009 funds extended in fiscal year 2010
39.7cancel to the general fund.
39.8
(c) Children and Community Services Grants
(16,900,000)
(1,500,000)
39.9
(d) General Assistance Grants
(5,267,000)
(3,190,000)
39.10
(e) Minnesota Supplemental Aid Grants
(733,000)
-0-
39.11
(f) Group Residential Housing Grants
(467,000)
(706,000)
39.12
Subd. 4.Basic Health Care Grants
39.13
39.14
(a) Medical Assistance Basic Health Care
Grants - Families and Children
(5,599,000)
(30,585,000)
39.15
39.16
(b) Medical Assistance Basic Health Care
Grants - Elderly and Disabled
(2,331,000)
(24,062,000)
39.17Hospital Fee-for-Service Payment Delay.
39.18Payments from the Medicaid Management
39.19Information System that would otherwise
39.20have been made for inpatient hospital
39.21services for Minnesota health care program
39.22enrollees must be delayed as follows: for
39.23fiscal year 2011, June payments must be
39.24included in the first payments in fiscal
39.25year 2012. The provisions of Minnesota
39.26Statutes, section 16A.124, do not apply
39.27to these delayed payments. This payment
39.28delay includes, and is not in addition to, the
39.29payment delay for inpatient hospital services
39.30in Laws 2009, chapter 79, article 13, section
39.313, subdivision 6, paragraph (c).
39.32Nonhospital Fee-for-Service Payment
39.33Delay. Payments from the Medicaid
40.1Management Information System that would
40.2otherwise have been made for nonhospital
40.3acute care services for Minnesota health
40.4care program enrollees must be delayed as
40.5follows: for fiscal year 2011, June payments
40.6must be included in the first payments in
40.7fiscal year 2012. This payment delay must
40.8not include nursing facilities, intermediate
40.9care facilities for persons with developmental
40.10disabilities, home and community-based
40.11services, prepaid health plans, personal care
40.12provider organizations, and home health
40.13agencies. The provisions of Minnesota
40.14Statutes, section 16A.124, do not apply
40.15to these delayed payments. This payment
40.16delay includes, and is not in addition to, the
40.17payment delay for nonhospital acute care
40.18services in Laws 2009, chapter 79, article 13,
40.19section 3, subdivision 6, paragraph (c).
40.20
(c) General Assistance Medical Care Grants
(15,879,000)
-0-
40.21
40.22
Subd. 5.Health Care Management;
Administration
(180,000)
(360,000)
40.23Incentive Program and Outreach Grants.
40.24The general fund appropriation for the
40.25incentive program under Laws 2008, chapter
40.26358, article 5, section 3, subdivision 4,
40.27paragraph (b), is canceled. This paragraph is
40.28effective retroactively from January 1, 2010.
40.29
Subd. 6.Continuing Care Grants
40.30
(a) Aging and Adult Services Grants
(3,600,000)
(3,600,000)
40.31Community Service/Service Development
40.32Grants Reduction. Effective retroactively
40.33from July 1, 2009, funding for grants made
40.34under Minnesota Statutes, sections 256.9754
40.35and 256B.0917, subdivision 13, is reduced
41.1by $3,600,000 for each year of the biennium.
41.2Grants made during the biennium under
41.3Minnesota Statutes, section 256.9754, shall
41.4not be used for new construction or building
41.5renovation.
41.6Aging Grants Delay. Aging grants must be
41.7reduced by $917,000 in fiscal year 2011 and
41.8increased by $917,000 in fiscal year 2012.
41.9These adjustments are onetime and must not
41.10be applied to the base. This provision expires
41.11June 30, 2012.
41.12
41.13
(b) Medical Assistance Long-Term Care
Facilities Grants
(3,827,000)
(2,520,000)
41.14ICF/MR Variable Rates Suspension.
41.15Effective retroactively from July 1, 2009,
41.16to June 30, 2010, no new variable rates
41.17shall be authorized for intermediate care
41.18facilities for persons with developmental
41.19disabilities under Minnesota Statutes, section
41.20256B.5013, subdivision 1.
41.21ICF/MR Occupancy Rate Adjustment
41.22Suspension. Effective retroactively from
41.23July 1, 2009, to June 30, 2011, approval
41.24of new applications for occupancy rate
41.25adjustments for unoccupied short-term
41.26beds under Minnesota Statutes, section
41.27256B.5013, subdivision 7, is suspended.
41.28
41.29
(c) Medical Assistance Long-Term Care
Waivers and Home Care Grants
(2,318,000)
(4,477,000)
41.30Developmental Disability Waiver Acuity
41.31Factor. Effective retroactively from January
41.321, 2010, the January 1, 2010, one percent
41.33growth factor in the developmental disability
41.34waiver allocations under Minnesota Statutes,
41.35section 256B.092, subdivisions 4 and 5,
42.1that is attributable to changes in acuity, is
42.2suspended to June 30, 2011.
42.3
(d) Deaf and Hard-of-Hearing Grants
-0-
(169,000)
42.4Deaf and Hard-of-Hearing Services
42.5Grants Delay. Deaf and hard-of-hearing
42.6services grants must be reduced by $169,000
42.7in fiscal year 2011 and increased by $169,000
42.8in fiscal year 2012. These adjustments are
42.9onetime and must not be applied to the base.
42.10This provision expires June 30, 2012.
42.11
(e) Adult Mental Health Grants
(5,000,000)
-0-
42.12
(f) Chemical Dependency Entitlement Grants
(3,622,000)
(3,622,000)
42.13
42.14
(g) Chemical Dependency Nonentitlement
Grants
(393,000)
(393,000)
42.15
(h) Other Continuing Care Grants
-0-
(1,414,000)
42.16Other Continuing Care Grants Delay.
42.17Other continuing care grants must be reduced
42.18by $1,414,000 in fiscal year 2011 and
42.19increased by $1,414,000 in fiscal year 2012.
42.20These adjustments are onetime and must not
42.21be applied to the base. This provision expires
42.22June 30, 2012.
42.23
Subd. 7.Continuing Care Management
(350,000)
-0-
42.24County Maintenance of Effort. The general
42.25fund appropriation for the State-County
42.26Results Accountability and Service Delivery
42.27Reform under Minnesota Statutes, chapter
42.28402A, is canceled. This paragraph is
42.29effective retroactively from July 1, 2009.
42.30
42.31
Subd. 8.State-Operated Services; Adult
Mental Health Services
(422,000)
(4,588,000)

42.32
Sec. 4. DEPARTMENT OF HEALTH
42.33
Subdivision. 1.Total Appropriation
$
(527,000)
$
(525,000)
43.1The appropriation reductions for each
43.2purpose are shown in the following
43.3subdivisions.
43.4
43.5
Subd. 2.Community and Family Health
Promotion
(53,000)
(355,000)
43.6
Subd. 3.Policy Quality and Compliance
(118,000)
(74,000)
43.7Office of Unlicensed Health Care Practice.
43.8Of the general fund reduction $74,000
43.9in fiscal year 2011 is from the Office of
43.10Unlicensed Complementary and Alternative
43.11Health Care Practice.
43.12
Subd. 4.Health Protection
(225,000)
(74,000)
43.13
Subd. 5.Administrative Support Services
(131,000)
(22,000)

43.14    Sec. 5. Laws 2009, chapter 79, article 13, section 3, subdivision 8, as amended by
43.15Laws 2009, chapter 173, article 2, section 1, subdivision 8, is amended to read:
43.16
Subd. 8.Continuing Care Grants
43.17The amounts that may be spent from the
43.18appropriation for each purpose are as follows:
43.19
(a) Aging and Adult Services Grants
13,499,000
15,805,000
43.20Base Adjustment. The general fund base is
43.21increased by $5,751,000 in fiscal year 2012
43.22and $6,705,000 in fiscal year 2013.
43.23Information and Assistance
43.24Reimbursement. Federal administrative
43.25reimbursement obtained from information
43.26and assistance services provided by the
43.27Senior LinkAge or Disability Linkage lines
43.28to people who are identified as eligible for
43.29medical assistance shall be appropriated to
43.30the commissioner for this activity.
43.31Community Service Development Grant
43.32Reduction. Funding for community service
44.1development grants must be reduced by
44.2$260,000 for fiscal year 2010; $284,000 in
44.3fiscal year 2011; $43,000 in fiscal year 2012;
44.4and $43,000 in fiscal year 2013. Base level
44.5funding shall be restored in fiscal year 2014.
44.6Community Service Development Grant
44.7Community Initiative. Funding for
44.8community service development grants shall
44.9be used to offset the cost of aging support
44.10grants. Base level funding shall be restored
44.11in fiscal year 2014.
44.12Senior Nutrition Use of Federal Funds.
44.13For fiscal year 2010, general fund grants
44.14for home-delivered meals and congregate
44.15dining shall be reduced by $500,000. The
44.16commissioner must replace these general
44.17fund reductions with equal amounts from
44.18federal funding for senior nutrition from the
44.19American Recovery and Reinvestment Act
44.20of 2009.
44.21
(b) Alternative Care Grants
50,234,000
48,576,000
44.22Base Adjustment. The general fund base is
44.23decreased by $3,598,000 in fiscal year 2012
44.24and $3,470,000 in fiscal year 2013.
44.25Alternative Care Transfer. Any money
44.26allocated to the alternative care program that
44.27is not spent for the purposes indicated does
44.28not cancel but must be transferred to the
44.29medical assistance account.
44.30
44.31
(c) Medical Assistance Grants; Long-Term
Care Facilities.
367,444,000
419,749,000
44.32
44.33
(d) Medical Assistance Long-Term Care
Waivers and Home Care Grants
853,567,000
1,039,517,000
45.1Manage Growth in TBI and CADI
45.2Waivers. During the fiscal years beginning
45.3on July 1, 2009, and July 1, 2010, the
45.4commissioner shall allocate money for home
45.5and community-based waiver programs
45.6under Minnesota Statutes, section 256B.49,
45.7to ensure a reduction in state spending that is
45.8equivalent to limiting the caseload growth of
45.9the TBI waiver to 12.5 allocations per month
45.10each year of the biennium and the CADI
45.11waiver to 95 allocations per month each year
45.12of the biennium. Limits do not apply: (1)
45.13when there is an approved plan for nursing
45.14facility bed closures for individuals under
45.15age 65 who require relocation due to the
45.16bed closure; (2) to fiscal year 2009 waiver
45.17allocations delayed due to unallotment; or (3)
45.18to transfers authorized by the commissioner
45.19from the personal care assistance program
45.20of individuals having a home care rating
45.21of "CS," "MT," or "HL." Priorities for the
45.22allocation of funds must be for individuals
45.23anticipated to be discharged from institutional
45.24settings or who are at imminent risk of a
45.25placement in an institutional setting.
45.26Manage Growth in DD Waiver. The
45.27commissioner shall manage the growth in
45.28the DD waiver by limiting the allocations
45.29included in the February 2009 forecast to 15
45.30additional diversion allocations each month
45.31for the calendar years that begin on January
45.321, 2010, and January 1, 2011. Additional
45.33allocations must be made available for
45.34transfers authorized by the commissioner
45.35from the personal care program of individuals
46.1having a home care rating of "CS," "MT,"
46.2or "HL."
46.3Adjustment to Lead Agency Waiver
46.4Allocations. Prior to the availability of the
46.5alternative license defined in Minnesota
46.6Statutes, section 245A.11, subdivision 8,
46.7the commissioner shall reduce lead agency
46.8waiver allocations for the purposes of
46.9implementing a moratorium on corporate
46.10foster care.
46.11Alternatives to Personal Care Assistance
46.12Services. Base level funding of $3,237,000
46.13in fiscal year 2012 and $4,856,000 in
46.14fiscal year 2013 is to implement alternative
46.15services to personal care assistance services
46.16for persons with mental health and other
46.17behavioral challenges who can benefit
46.18from other services that more appropriately
46.19meet their needs and assist them in living
46.20independently in the community. These
46.21services may include, but not be limited to, a
46.221915(i) state plan option.
46.23
(e) Mental Health Grants
46.24
Appropriations by Fund
46.25
General
77,739,000
77,739,000
46.26
Health Care Access
750,000
750,000
46.27
Lottery Prize
1,508,000
1,508,000
46.28Funding Usage. Up to 75 percent of a fiscal
46.29year's appropriation for adult mental health
46.30grants may be used to fund allocations in that
46.31portion of the fiscal year ending December
46.3231.
46.33
(f) Deaf and Hard-of-Hearing Grants
1,930,000
1,917,000
46.34
(g) Chemical Dependency Entitlement Grants
111,303,000
122,822,000
47.1Payments for Substance Abuse Treatment.
47.2For services provided during fiscal years
47.32010 and 2011, county-negotiated rates and
47.4provider claims to the consolidated chemical
47.5dependency fund must not exceed rates
47.6charged for these services on January 1,
47.72009; and rates for fiscal years 2010 and
47.82011 must not exceed 160 percent of the
47.9average rate on January 1, 2009, for each
47.10group of vendors with similar attributes.
47.11For services provided in fiscal years 2012
47.12and 2013, statewide average rates under
47.13the new rate methodology to be developed
47.14under Minnesota Statutes, section 254B.12,
47.15must not exceed the average rates charged
47.16for these services on January 1, 2009, plus a
47.17state share increase of $3,787,000 for fiscal
47.18year 2012 and $5,023,000 for fiscal year
47.192013. Notwithstanding any provision to the
47.20contrary in this article, this provision expires
47.21on June 30, 2013.
47.22Chemical Dependency Special Revenue
47.23Account. For fiscal year 2010, $750,000
47.24must be transferred from the consolidated
47.25chemical dependency treatment fund
47.26administrative account and deposited into the
47.27general fund.
47.28County CD Share of MA Costs for
47.29ARRA Compliance. Notwithstanding the
47.30provisions of Minnesota Statutes, chapter
47.31254B, for chemical dependency services
47.32provided during the period October 1, 2008,
47.33to December 31, 2010, and reimbursed by
47.34medical assistance at the enhanced federal
47.35matching rate provided under the American
47.36Recovery and Reinvestment Act of 2009, the
48.1county share is 30 percent of the nonfederal
48.2share. This provision is effective the day
48.3following final enactment.
48.4
48.5
(h) Chemical Dependency Nonentitlement
Grants
1,729,000
1,729,000
48.6
(i) Other Continuing Care Grants
19,201,000
17,528,000
48.7Base Adjustment. The general fund base is
48.8increased by $2,639,000 in fiscal year 2012
48.9and increased by $3,854,000 in fiscal year
48.102013.
48.11Technology Grants. $650,000 in fiscal
48.12year 2010 and $1,000,000 in fiscal year
48.132011 are for technology grants, case
48.14consultation, evaluation, and consumer
48.15information grants related to developing and
48.16supporting alternatives to shift-staff foster
48.17care residential service models.
48.18Other Continuing Care Grants; HIV
48.19Grants. Money appropriated for the HIV
48.20drug and insurance grant program in fiscal
48.21year 2010 may be used in either year of the
48.22biennium.
48.23Quality Assurance Commission. Effective
48.24July 1, 2009, state funding for the quality
48.25assurance commission under Minnesota
48.26Statutes, section 256B.0951, is canceled.

48.27    Sec. 6. Laws 2009, chapter 79, article 13, section 4, subdivision 4, as amended by
48.28Laws 2009, chapter 173, article 2, section 2, subdivision 4, is amended to read:
48.29
Subd. 4.Health Protection
48.30
Appropriations by Fund
48.31
General
9,871,000
9,780,000
48.32
48.33
State Government
Special Revenue
30,209,000
30,209,000
49.1Base Adjustment. The general fund base is
49.2reduced by $50,000 in each of fiscal years
49.32012 and 2013.
49.4Health Protection Appropriations. (a)
49.5$163,000 each year is for the lead abatement
49.6grant program.
49.7(b) $100,000 each year is for emergency
49.8preparedness and response activities.
49.9(c) $50,000 each year is for tuberculosis
49.10prevention and control. This is a onetime
49.11appropriation.
49.12(d) $55,000 in fiscal year 2010 is for
49.13pentachlorophenol.
49.14(e) $20,000 in fiscal year 2010 is for a PFC
49.15Citizens Advisory Group.
49.16American Recovery and Reinvestment
49.17Act Funds. Federal funds received
49.18by the commissioner for immunization
49.19operations from the American Recovery
49.20and Reinvestment Act of 2009, Public Law
49.21111-5, are appropriated to the commissioner
49.22for the purposes of the grant.

49.23    Sec. 7. Minnesota Statutes 2009 Supplement, section 256B.056, subdivision 3c,
49.24is amended to read:
49.25    Subd. 3c. Asset limitations for families and children. A household of two or
49.26more persons must not own more than $20,000 in total net assets except that this asset
49.27limit shall be $6,000 for the period January 1, 2011, through June 30, 2011, plus $200
49.28for each additional legal dependent, and a household of one person must not own more
49.29than $10,000 in total net assets, except that this asset limit shall be $3,000 for the period
49.30January 1, 2011, through June 30, 2011. In addition to these maximum amounts, an
49.31eligible individual or family may accrue interest on these amounts, but they must be
49.32reduced to the maximum at the time of an eligibility redetermination. The value of assets
49.33that are not considered in determining eligibility for medical assistance for families and
50.1children is the value of those assets excluded under the AFDC state plan as of July 16,
50.21996, as required by the Personal Responsibility and Work Opportunity Reconciliation
50.3Act of 1996 (PRWORA), Public Law 104-193, with the following exceptions:
50.4(1) household goods and personal effects are not considered;
50.5(2) capital and operating assets of a trade or business up to $200,000 are not
50.6considered, except that a bank account that contains personal income or assets, or is used to
50.7pay personal expenses, is not considered a capital or operating asset of a trade or business;
50.8(3) one motor vehicle is excluded for each person of legal driving age who is
50.9employed or seeking employment;
50.10(4) assets designated as burial expenses are excluded to the same extent they are
50.11excluded by the Supplemental Security Income program;
50.12(5) court-ordered settlements up to $10,000 are not considered;
50.13(6) individual retirement accounts and funds are not considered; and
50.14(7) assets owned by children are not considered.
50.15The assets specified in clause (2) must be disclosed to the local agency at the time of
50.16application and at the time of an eligibility redetermination, and must be verified upon
50.17request of the local agency.
50.18EFFECTIVE DATE.This section is effective January 1, 2011.

50.19    Sec. 8. Minnesota Statutes 2009 Supplement, section 256B.0659, subdivision 11,
50.20is amended to read:
50.21    Subd. 11. Personal care assistant; requirements. (a) A personal care assistant
50.22must meet the following requirements:
50.23(1) be at least 18 years of age with the exception of persons who are 16 or 17 years
50.24of age with these additional requirements:
50.25(i) supervision by a qualified professional every 60 days; and
50.26(ii) employment by only one personal care assistance provider agency responsible
50.27for compliance with current labor laws;
50.28(2) be employed by a personal care assistance provider agency;
50.29(3) enroll with the department as a personal care assistant after clearing a background
50.30study. Before a personal care assistant provides services, the personal care assistance
50.31provider agency must initiate a background study on the personal care assistant under
50.32chapter 245C, and the personal care assistance provider agency must have received a
50.33notice from the commissioner that the personal care assistant is:
50.34(i) not disqualified under section 245C.14; or
51.1(ii) is disqualified, but the personal care assistant has received a set aside of the
51.2disqualification under section 245C.22;
51.3(4) be able to effectively communicate with the recipient and personal care
51.4assistance provider agency;
51.5(5) be able to provide covered personal care assistance services according to the
51.6recipient's personal care assistance care plan, respond appropriately to recipient needs,
51.7and report changes in the recipient's condition to the supervising qualified professional
51.8or physician;
51.9(6) not be a consumer of personal care assistance services;
51.10(7) maintain daily written records including, but not limited to, time sheets under
51.11subdivision 12;
51.12(8) effective January 1, 2010, complete standardized training as determined by the
51.13commissioner before completing enrollment. Personal care assistant training must include
51.14successful completion of the following training components: basic first aid, vulnerable
51.15adult, child maltreatment, OSHA universal precautions, basic roles and responsibilities of
51.16personal care assistants including information about assistance with lifting and transfers
51.17for recipients, emergency preparedness, orientation to positive behavioral practices, fraud
51.18issues, and completion of time sheets. Upon completion of the training components,
51.19the personal care assistant must demonstrate the competency to provide assistance to
51.20recipients;
51.21(9) complete training and orientation on the needs of the recipient within the first
51.22seven days after the services begin; and
51.23(10) be limited to providing and being paid for up to 310 hours per month, except
51.24that this limit shall be 275 hours per month for the period July 1, 2010, through June 30,
51.252011, of personal care assistance services regardless of the number of recipients being
51.26served or the number of personal care assistance provider agencies enrolled with.
51.27(b) A legal guardian may be a personal care assistant if the guardian is not being paid
51.28for the guardian services and meets the criteria for personal care assistants in paragraph (a).
51.29(c) Effective January 1, 2010, persons who do not qualify as a personal care assistant
51.30include parents and stepparents of minors, spouses, paid legal guardians, family foster
51.31care providers, except as otherwise allowed in section 256B.0625, subdivision 19a, or
51.32staff of a residential setting.
51.33EFFECTIVE DATE.This section is effective July 1, 2010.

51.34    Sec. 9. Minnesota Statutes 2009 Supplement, section 256B.441, subdivision 55,
51.35is amended to read:
52.1    Subd. 55. Phase-in of rebased operating payment rates. (a) For the rate years
52.2beginning October 1, 2008, to October 1, 2015, the operating payment rate calculated
52.3under this section shall be phased in by blending the operating rate with the operating
52.4payment rate determined under section 256B.434. For purposes of this subdivision, the
52.5rate to be used that is determined under section 256B.434 shall not include the portion of
52.6the operating payment rate related to performance-based incentive payments under section
52.7256B.434, subdivision 4 , paragraph (d). For the rate year beginning October 1, 2008, the
52.8operating payment rate for each facility shall be 13 percent of the operating payment rate
52.9from this section, and 87 percent of the operating payment rate from section 256B.434.
52.10For the rate year beginning October 1, 2009, the operating payment rate for each facility
52.11shall be 14 percent of the operating payment rate from this section, and 86 percent of the
52.12operating payment rate from section 256B.434. For rate years beginning October 1, 2009;
52.13October 1, 2010; October 1, 2011; and October 1, 2012, no rate adjustments shall be
52.14implemented under this section, but shall be determined under section 256B.434. For the
52.15rate year beginning October 1, 2013, the operating payment rate for each facility shall be
52.1665 percent of the operating payment rate from this section, and 35 percent of the operating
52.17payment rate from section 256B.434. For the rate year beginning October 1, 2014, the
52.18operating payment rate for each facility shall be 82 percent of the operating payment rate
52.19from this section, and 18 percent of the operating payment rate from section 256B.434. For
52.20the rate year beginning October 1, 2015, the operating payment rate for each facility shall
52.21be the operating payment rate determined under this section. The blending of operating
52.22payment rates under this section shall be performed separately for each RUG's class.
52.23    (b) For the rate year beginning October 1, 2008, the commissioner shall apply limits
52.24to the operating payment rate increases under paragraph (a) by creating a minimum
52.25percentage increase and a maximum percentage increase.
52.26    (1) Each nursing facility that receives a blended October 1, 2008, operating payment
52.27rate increase under paragraph (a) of less than one percent, when compared to its operating
52.28payment rate on September 30, 2008, computed using rates with RUG's weight of 1.00,
52.29shall receive a rate adjustment of one percent.
52.30    (2) The commissioner shall determine a maximum percentage increase that will
52.31result in savings equal to the cost of allowing the minimum increase in clause (1). Nursing
52.32facilities with a blended October 1, 2008, operating payment rate increase under paragraph
52.33(a) greater than the maximum percentage increase determined by the commissioner, when
52.34compared to its operating payment rate on September 30, 2008, computed using rates with
52.35a RUG's weight of 1.00, shall receive the maximum percentage increase.
53.1    (3) Nursing facilities with a blended October 1, 2008, operating payment rate
53.2increase under paragraph (a) greater than one percent and less than the maximum
53.3percentage increase determined by the commissioner, when compared to its operating
53.4payment rate on September 30, 2008, computed using rates with a RUG's weight of 1.00,
53.5shall receive the blended October 1, 2008, operating payment rate increase determined
53.6under paragraph (a).
53.7    (4) The October 1, 2009, through October 1, 2015, operating payment rate for
53.8facilities receiving the maximum percentage increase determined in clause (2) shall be
53.9the amount determined under paragraph (a) less the difference between the amount
53.10determined under paragraph (a) for October 1, 2008, and the amount allowed under clause
53.11(2). This rate restriction does not apply to rate increases provided in any other section.
53.12    (c) A portion of the funds received under this subdivision that are in excess of
53.13operating payment rates that a facility would have received under section 256B.434, as
53.14determined in accordance with clauses (1) to (3), shall be subject to the requirements in
53.15section 256B.434, subdivision 19, paragraphs (b) to (h).
53.16    (1) Determine the amount of additional funding available to a facility, which shall be
53.17equal to total medical assistance resident days from the most recent reporting year times
53.18the difference between the blended rate determined in paragraph (a) for the rate year being
53.19computed and the blended rate for the prior year.
53.20    (2) Determine the portion of all operating costs, for the most recent reporting year,
53.21that are compensation related. If this value exceeds 75 percent, use 75 percent.
53.22    (3) Subtract the amount determined in clause (2) from 75 percent.
53.23    (4) The portion of the fund received under this subdivision that shall be subject to
53.24the requirements in section 256B.434, subdivision 19, paragraphs (b) to (h), shall equal
53.25the amount determined in clause (1) times the amount determined in clause (3).
53.26EFFECTIVE DATE.This section is effective retroactively from October 1, 2009.

53.27    Sec. 10. Minnesota Statutes 2009 Supplement, section 256B.69, subdivision 5a,
53.28is amended to read:
53.29    Subd. 5a. Managed care contracts. (a) Managed care contracts under this section
53.30and sections 256L.12 and 256D.03, shall be entered into or renewed on a calendar year
53.31basis beginning January 1, 1996. Managed care contracts which were in effect on June
53.3230, 1995, and set to renew on July 1, 1995, shall be renewed for the period July 1, 1995
53.33through December 31, 1995 at the same terms that were in effect on June 30, 1995. The
53.34commissioner may issue separate contracts with requirements specific to services to
53.35medical assistance recipients age 65 and older.
54.1    (b) A prepaid health plan providing covered health services for eligible persons
54.2pursuant to chapters 256B, 256D, and 256L, is responsible for complying with the terms
54.3of its contract with the commissioner. Requirements applicable to managed care programs
54.4under chapters 256B, 256D, and 256L, established after the effective date of a contract
54.5with the commissioner take effect when the contract is next issued or renewed.
54.6    (c) Effective for services rendered on or after January 1, 2003, the commissioner
54.7shall withhold five percent of managed care plan payments under this section and
54.8county-based purchasing plan's payment rate under section 256B.692 for the prepaid
54.9medical assistance and general assistance medical care programs pending completion of
54.10performance targets. Each performance target must be quantifiable, objective, measurable,
54.11and reasonably attainable, except in the case of a performance target based on a federal
54.12or state law or rule. Criteria for assessment of each performance target must be outlined
54.13in writing prior to the contract effective date. The managed care plan must demonstrate,
54.14to the commissioner's satisfaction, that the data submitted regarding attainment of
54.15the performance target is accurate. The commissioner shall periodically change the
54.16administrative measures used as performance targets in order to improve plan performance
54.17across a broader range of administrative services. The performance targets must include
54.18measurement of plan efforts to contain spending on health care services and administrative
54.19activities. The commissioner may adopt plan-specific performance targets that take into
54.20account factors affecting only one plan, including characteristics of the plan's enrollee
54.21population. The withheld funds must be returned no sooner than July of the following
54.22year if performance targets in the contract are achieved. The commissioner may exclude
54.23special demonstration projects under subdivision 23.
54.24    (d) Effective for services rendered on or after January 1, 2009, through December 31,
54.252009, the commissioner shall withhold three percent of managed care plan payments under
54.26this section and county-based purchasing plan payments under section 256B.692 for the
54.27prepaid medical assistance and general assistance medical care programs. The withheld
54.28funds must be returned no sooner than July 1 and no later than July 31 of the following
54.29year. The commissioner may exclude special demonstration projects under subdivision 23.
54.30    The return of the withhold under this paragraph is not subject to the requirements of
54.31paragraph (c).
54.32(e) Effective for services provided on or after January 1, 2010, the commissioner
54.33shall require that managed care plans use the assessment and authorization processes,
54.34forms, timelines, standards, documentation, and data reporting requirements, protocols,
54.35billing processes, and policies consistent with medical assistance fee-for-service or the
54.36Department of Human Services contract requirements consistent with medical assistance
55.1fee-for-service or the Department of Human Services contract requirements for all
55.2personal care assistance services under section 256B.0659.
55.3(f) Effective for services rendered on or after January 1, 2010, through December
55.431, 2010, the commissioner shall withhold 3.5 4.5 percent of managed care plan payments
55.5under this section and county-based purchasing plan payments under section 256B.692
55.6for the prepaid medical assistance program. The withheld funds must be returned no
55.7sooner than July 1 and no later than July 31 of the following year. The commissioner may
55.8exclude special demonstration projects under subdivision 23.
55.9(g) Effective for services rendered on or after January 1, 2011, through December 31,
55.102011, the commissioner shall withhold four 4.5 percent of managed care plan payments
55.11under this section and county-based purchasing plan payments under section 256B.692
55.12for the prepaid medical assistance program. The withheld funds must be returned no
55.13sooner than July 1 and no later than July 31 of the following year. The commissioner
55.14may exclude special demonstration projects under subdivision 23. If an extension of the
55.15enhanced federal medical assistance percentage (FMAP) under Public Law 111-5, section
55.165001, is enacted before June 15, 2010, the withhold percentage stated in this paragraph
55.17shall be 4.0 percent.
55.18(h) Effective for services rendered on or after January 1, 2012, through December
55.1931, 2012, the commissioner shall withhold 4.5 percent of managed care plan payments
55.20under this section and county-based purchasing plan payments under section 256B.692
55.21for the prepaid medical assistance program. The withheld funds must be returned no
55.22sooner than July 1 and no later than July 31 of the following year. The commissioner may
55.23exclude special demonstration projects under subdivision 23.
55.24(i) Effective for services rendered on or after January 1, 2013, through December 31,
55.252013, the commissioner shall withhold 4.5 percent of managed care plan payments under
55.26this section and county-based purchasing plan payments under section 256B.692 for the
55.27prepaid medical assistance program. The withheld funds must be returned no sooner than
55.28July 1 and no later than July 31 of the following year. The commissioner may exclude
55.29special demonstration projects under subdivision 23.
55.30(j) Effective for services rendered on or after January 1, 2014, the commissioner
55.31shall withhold three percent of managed care plan payments under this section and
55.32county-based purchasing plan payments under section 256B.692 for the prepaid medical
55.33assistance and prepaid general assistance medical care programs. The withheld funds must
55.34be returned no sooner than July 1 and no later than July 31 of the following year. The
55.35commissioner may exclude special demonstration projects under subdivision 23.
56.1(k) A managed care plan or a county-based purchasing plan under section 256B.692
56.2may include as admitted assets under section 62D.044 any amount withheld under this
56.3section that is reasonably expected to be returned.
56.4(l) Contracts between the commissioner and a prepaid health plan are exempt from
56.5the set-aside and preference provisions of section 16C.16, subdivisions 6, paragraph
56.6(a), and 7.
56.7EFFECTIVE DATE.The additional withhold percentage in paragraph (f) is
56.8effective retroactively from January 1, 2010.

56.9    Sec. 11. Minnesota Statutes 2009 Supplement, section 256B.76, subdivision 1, is
56.10amended to read:
56.11    Subdivision 1. Physician reimbursement. (a) Effective for services rendered on
56.12or after October 1, 1992, the commissioner shall make payments for physician services
56.13as follows:
56.14    (1) payment for level one Centers for Medicare and Medicaid Services' common
56.15procedural coding system codes titled "office and other outpatient services," "preventive
56.16medicine new and established patient," "delivery, antepartum, and postpartum care,"
56.17"critical care," cesarean delivery and pharmacologic management provided to psychiatric
56.18patients, and level three codes for enhanced services for prenatal high risk, shall be paid
56.19at the lower of (i) submitted charges, or (ii) 25 percent above the rate in effect on June
56.2030, 1992. If the rate on any procedure code within these categories is different than the
56.21rate that would have been paid under the methodology in section 256B.74, subdivision 2,
56.22then the larger rate shall be paid;
56.23    (2) payments for all other services shall be paid at the lower of (i) submitted charges,
56.24or (ii) 15.4 percent above the rate in effect on June 30, 1992; and
56.25    (3) all physician rates shall be converted from the 50th percentile of 1982 to the 50th
56.26percentile of 1989, less the percent in aggregate necessary to equal the above increases
56.27except that payment rates for home health agency services shall be the rates in effect
56.28on September 30, 1992.
56.29    (b) Effective for services rendered on or after January 1, 2000, payment rates for
56.30physician and professional services shall be increased by three percent over the rates
56.31in effect on December 31, 1999, except for home health agency and family planning
56.32agency services. The increases in this paragraph shall be implemented January 1, 2000,
56.33for managed care.
56.34(c) Effective for services rendered on or after July 1, 2009, payment rates for
56.35physician and professional services shall be reduced by five percent, except that for the
57.1period July 1, 2009, through June 30, 2010, payments rates shall be reduced by 6.5 percent
57.2for the medical assistance and general assistance medical care programs, over the rates
57.3in effect on June 30, 2009. The additional 1.5 percent reduction in effect for the period
57.4from July 1, 2010, through June 30, 2010, does not apply to physician services billed by a
57.5psychiatrist or an advanced practice registered nurse with a specialty in mental health.
57.6This reduction does not apply to office or other outpatient visits, preventive medicine visits
57.7and family planning visits billed by physicians, advanced practice nurses, or physician
57.8assistants in a family planning agency or in one of the following primary care practices:
57.9general practice, general internal medicine, general pediatrics, general geriatrics, and
57.10family medicine. This reduction does not apply to federally qualified health centers,
57.11rural health centers, and Indian health services. Effective October 1, 2009, payments
57.12made to managed care plans and county-based purchasing plans under sections 256B.69,
57.13256B.692 , and 256L.12 shall reflect the payment reduction described in this paragraph.
57.14EFFECTIVE DATE.The additional rate reductions in this section are effective
57.15retroactively from July 1, 2009.

57.16    Sec. 12. Minnesota Statutes 2008, section 256B.76, subdivision 4, is amended to read:
57.17    Subd. 4. Critical access dental providers. (a) Effective for dental services rendered
57.18on or after January 1, 2002, the commissioner shall increase reimbursements to dentists
57.19and dental clinics deemed by the commissioner to be critical access dental providers.
57.20For dental services rendered on or after July 1, 2007, the commissioner shall increase
57.21reimbursement by 30 percent above the reimbursement rate that would otherwise be paid to
57.22the critical access dental provider. The commissioner shall pay the health plan companies
57.23in amounts sufficient to reflect increased reimbursements to critical access dental providers
57.24as approved by the commissioner. In determining which dentists and dental clinics shall
57.25be deemed critical access dental providers, the commissioner shall review:
57.26    (1) the utilization rate in the service area in which the dentist or dental clinic operates
57.27for dental services to patients covered by medical assistance, general assistance medical
57.28care, or MinnesotaCare as their primary source of coverage;
57.29    (2) the level of services provided by the dentist or dental clinic to patients covered
57.30by medical assistance, general assistance medical care, or MinnesotaCare as their primary
57.31source of coverage; and
57.32    (3) whether the level of services provided by the dentist or dental clinic is critical to
57.33maintaining adequate levels of patient access within the service area.
57.34In the absence of a critical access dental provider in a service area, the commissioner may
57.35designate a dentist or dental clinic as a critical access dental provider if the dentist or
58.1dental clinic is willing to provide care to patients covered by medical assistance, general
58.2assistance medical care, or MinnesotaCare at a level which significantly increases access
58.3to dental care in the service area.
58.4(b) Notwithstanding paragraph (a), critical access payments must not be made for
58.5dental services provided from April 1, 2010, through June 30, 2010.
58.6EFFECTIVE DATE.This section is effective retroactively from April 1, 2010.

58.7    Sec. 13. Minnesota Statutes 2009 Supplement, section 256B.766, is amended to read:
58.8256B.766 REIMBURSEMENT FOR BASIC CARE SERVICES.
58.9(a) Effective for services provided on or after July 1, 2009, total payments for basic
58.10care services, shall be reduced by three percent, except that for the period July 1, 2009,
58.11through June 30, 2011, total payments shall be reduced by 4.5 percent for the medical
58.12assistance and general assistance medical care programs, prior to third-party liability
58.13and spenddown calculation. Payments made to managed care plans and county-based
58.14purchasing plans shall be reduced for services provided on or after October 1, 2009,
58.15to reflect this reduction.
58.16(b) This section does not apply to physician and professional services, inpatient
58.17hospital services, family planning services, mental health services, dental services,
58.18prescription drugs, medical transportation, federally qualified health centers, rural health
58.19centers, Indian health services, and Medicare cost-sharing.
58.20EFFECTIVE DATE.The additional rate reductions in this section are effective
58.21retroactively from July 1, 2009.

58.22    Sec. 14. REDUCTION OF GROUP RESIDENTIAL HOUSING
58.23SUPPLEMENTAL SERVICE RATE.
58.24Effective retroactively from November 1, 2009, through June 30, 2011, the
58.25commissioner of human services shall decrease the group residential housing (GRH)
58.26supplementary service rate under Minnesota Statutes, section 256I.05, subdivision 1a, by
58.27five percent for services rendered on or after that date, except that reimbursement rates
58.28for a GRH facility reimbursed as a nursing facility shall not be reduced. The reduction
58.29in this paragraph is in addition to the reduction under Laws 2009, chapter 79, article
58.308, section 79, paragraph (b), clause (11).
58.31EFFECTIVE DATE.This section is effective retroactively from November 1, 2009.

59.1    Sec. 15. ARTICLE EFFECTIVE DATE.
59.2This article is effective the day following final enactment.

59.3ARTICLE 14
59.4AIDS, CREDITS, REFUNDS

59.5    Section 1. Minnesota Statutes 2008, section 273.1384, subdivision 6, as added by Laws
59.62010, chapter 215, article 13, section 2, is amended to read:
59.7    Subd. 6. Credit reduction. In 2011 and each year thereafter, the market value
59.8credit reimbursement amount for each taxing jurisdiction determined under this section
59.9is reduced by the dollar amount of the reduction in market value credit reimbursements
59.10for that taxing jurisdiction in 2010 due to unallotment the reductions announced prior
59.11to February 28, 2010, under section 16A.152 under section 477A.0132. No taxing
59.12jurisdiction's market value credit reimbursements are reduced to less than zero under
59.13this subdivision. The commissioner of revenue shall pay the annual market value credit
59.14reimbursement amounts, after reduction under this subdivision, to the affected taxing
59.15jurisdictions as provided in this section.
59.16EFFECTIVE DATE.This section is effective for taxes payable in 2011 and
59.17thereafter.

59.18    Sec. 2. [477A.0132] 2009 AND 2010 AID REDUCTIONS.
59.19    Subdivision 1. Definitions. (a) For the purposes of this section, the following terms
59.20have the meanings given them in this subdivision.
59.21(b) The "2009 revenue base" for a statutory or home rule charter city is the sum of
59.22the city's certified property tax levy for taxes payable in 2009, plus the amount of local
59.23government aid under section 477A.013, subdivision 9, that the city was certified to
59.24receive in 2009, plus the amount of taconite aids under sections 298.28 and 298.282 that
59.25the city was certified to receive in 2009, including any amounts required to be placed in a
59.26special fund for distribution in a later year.
59.27(c) The "2009 revenue base" for a county is the sum of the county's certified property
59.28tax levy for taxes payable in 2009, plus the amount of county program aid under section
59.29477A.0124 that the county was certified to receive in 2009, plus the amount of taconite
59.30aids under sections 298.28 and 298.282 that the county was certified to receive in 2009,
59.31including any amounts required to be placed in a special fund for distribution in a later year.
59.32(d) The "2009 revenue base" for a town is the sum of the town's certified property
59.33tax levy for taxes payable in 2009, plus the amount of aid under section 477A.013 that
59.34the town was certified to receive in 2009, plus the amount of taconite aids under sections
60.1298.28 and 298.282 that the town was certified to receive in 2009, including any amounts
60.2required to be placed in a special fund for distribution in a later year.
60.3(e) "Population" means the population of the county, city, or town for 2007 based on
60.4information available to the commissioner of revenue in July 2009.
60.5(f) "Adjusted net tax capacity" means the amount of net tax capacity for the county,
60.6city, or town, computed using equalized market values according to section 477A.011,
60.7subdivision 20, for aid payable in 2009.
60.8(g) "Adjusted net tax capacity per capita" means the jurisdiction's adjusted net tax
60.9capacity divided by its population.
60.10    Subd. 2. 2009 aid reductions. (a) The commissioner of revenue must compute a
60.112009 aid reduction amount for each county.
60.12The aid reduction amount is zero for a county with a population of less than 5,000,
60.13and is zero for a county containing the Shooting Star Casino property that was removed
60.14from the tax rolls in 2009.
60.15For all other counties, the aid reduction amount is equal to 1.188968672 percent of
60.16the county's 2009 revenue base.
60.17The reduction amount is limited to the sum of the amount of county program aid
60.18under section 477A.0124 that the county was certified to receive in 2009, plus the amount
60.19of market value credit reimbursements under section 273.1384 payable to the county in
60.202009 before the reductions in this section.
60.21The reduction amount is applied first to reduce the amount payable to the county
60.22in 2009 as county program aid under section 477A.013 and then, if necessary, to reduce
60.23the amount payable to the county in 2009 as market value credit reimbursements under
60.24section 273.1384.
60.25No county's aid or reimbursements are reduced to less than zero under this section.
60.26(b) The commissioner of revenue must compute a 2009 aid reduction amount for
60.27each city.
60.28The aid reduction amount is zero for any city with a population of less than 1,000 that
60.29has an adjusted net tax capacity per capita amount less than the statewide average adjusted
60.30net tax capacity amount per capita for all cities. The aid reduction amount is also zero for
60.31a city located outside the seven-county metropolitan area, with a 2006 population greater
60.32than 3,500, a pre-1940 housing percentage greater than 29 percent, a commercial-industrial
60.33percentage less than nine percent, and a population decline percentage of zero based on the
60.34data used to certify the 2009 local government aid distribution under section 477A.013.
60.35For all other cities, the aid reduction amount is equal to 3.3127634 percent of the
60.36city's 2009 revenue base.
61.1The reduction amount is limited to the sum of the amount of local government aid
61.2under section 477A.013, subdivision 9, that the city was certified to receive in 2009, plus
61.3the amount of market value credit reimbursements under section 273.1384 payable to the
61.4city in 2009 before the reductions in this section.
61.5The reduction amount for a city is further limited to $22 per capita.
61.6The reduction amount is applied first to reduce the amount payable to the city in
61.72009 as local government aid under section 477A.013 and then, if necessary, to reduce
61.8the amount payable to the city in 2009 as market value credit reimbursements under
61.9section 273.1384.
61.10No city's aid or reimbursements are reduced to less than zero under this section.
61.11(c) The commissioner of revenue must compute a 2009 aid reduction amount for
61.12each town.
61.13The aid reduction amount is zero for any town with a population of less than 1,000
61.14that has an adjusted net tax capacity per capita amount less than the statewide average
61.15adjusted net tax capacity amount per capita for all towns.
61.16For all other towns, the aid reduction amount is equal to 1.735103 percent of the
61.17town's 2009 revenue base.
61.18The reduction amount is limited to $5 per capita.
61.19The reduction amount is applied to reduce the amount payable to the town in 2009
61.20as market value credit reimbursements under section 273.1384.
61.21No town's reimbursements are reduced to less than zero under this section.
61.22    Subd. 3. 2010 aid reductions. (a) The commissioner of revenue must compute a
61.232010 aid reduction amount for each county.
61.24The aid reduction amount is zero for a county with a population of less than 5,000,
61.25and is zero for a county containing the Shooting Star Casino property that was removed
61.26from the tax rolls in 2009.
61.27For all other counties, the aid reduction amount is equal to 2.41396687 percent of
61.28the county's 2009 revenue base.
61.29The reduction amount is limited to the sum of the amount of county program aid
61.30under section 477A.0124 that the county was certified to receive in 2009, plus the amount
61.31of market value credit reimbursements under section 273.1384 payable to the county in
61.322009 before the reductions in this section.
61.33The reduction amount is applied first to reduce the amount payable to the county
61.34in 2010 as county program aid under section 477A.013 and then, if necessary, to reduce
61.35the amount payable to the county in 2010 as market value credit reimbursements under
61.36section 273.1384.
62.1No county's aid or reimbursements are reduced to less than zero under this section.
62.2(b) The commissioner of revenue must compute a 2010 aid reduction amount for
62.3each city.
62.4The aid reduction amount is zero for any city with a population of less than 1,000
62.5that has an adjusted net tax capacity per capita amount less than the statewide average
62.6adjusted net tax capacity amount per capita for all cities.
62.7For all other cities, the aid reduction amount is equal to 7.643803025 percent of the
62.8city's 2009 revenue base.
62.9The reduction amount is limited to the sum of the amount of local government aid
62.10under section 477A.013, subdivision 9, that the city was certified to receive in 2010, plus
62.11the amount of market value credit reimbursements under section 273.1384 payable to the
62.12city in 2010 before the reductions in this section.
62.13The reduction amount for a city is further limited to $55 per capita.
62.14The reduction amount is applied first to reduce the amount payable to the city in
62.152010 as local government aid under section 477A.013 and then, if necessary, to reduce
62.16the amount payable to the city in 2010 as market value credit reimbursements under
62.17section 273.1384.
62.18No city's aid or reimbursements are reduced to less than zero under this section.
62.19(c) The commissioner of revenue must compute a 2010 aid reduction amount for
62.20each town.
62.21The aid reduction amount is zero for any town with a population of less than 1,000
62.22that has an adjusted net tax capacity per capita amount less than the statewide average
62.23adjusted net tax capacity amount per capita for all towns.
62.24For all other towns, the aid reduction amount is equal to 3.660798 percent of the
62.25town's 2009 revenue base.
62.26The reduction amount is limited to $10 per capita.
62.27The reduction amount is applied to reduce the amount payable to the town in 2010
62.28as market value credit reimbursements under section 273.1384.
62.29No town's reimbursements are reduced to less than zero under this section.
62.30EFFECTIVE DATE.This section is effective the day following final enactment
62.31and is retroactive for aids and credit reimbursements payable in 2009.

62.32    Sec. 3. Laws 2010, chapter 215, article 13, section 6, is amended to read:
62.33    Sec. 6. 477A.0133 ADDITIONAL 2010 AID AND CREDIT REDUCTIONS.
62.34    Subdivision 1. Definitions. (a) For the purposes of this section, the following terms
62.35have the meanings given them in this subdivision.
63.1(b) The "2010 revenue base" for a county is the sum of the county's certified property
63.2tax levy for taxes payable in 2010, plus the amount of county program aid under section
63.3477A.0124 that the county was certified to receive in 2010, plus the amount of taconite
63.4aids under sections 298.28 and 298.282 that the county was certified to receive in 2010
63.5including any amounts required to be placed in a special fund for distribution in a later year.
63.6(c) The "2010 revenue base" for a statutory or home rule charter city is the sum of
63.7the city's certified property tax levy for taxes payable in 2010, plus the amount of local
63.8government aid under section 477A.013, subdivision 9, that the city was certified to
63.9receive in 2010, plus the amount of taconite aids under sections 298.28 and 298.282 that
63.10the city was certified to receive in 2010 including any amounts required to be placed in a
63.11special fund for distribution in a later year.
63.12    Subd. 2. 2010 reductions; counties and cities. The commissioner of revenue
63.13must compute additional 2010 aid and credit reimbursement reduction amounts for each
63.14county and city under this section, after implementing any reduction of county program
63.15aid under section 477A.0124, local government aid under section 477A.013, or market
63.16value credit reimbursements under section 273.1384, to reflect the reduction of allotments
63.17under section 16A.152 reductions under section 477A.0132.
63.18The additional reduction amounts under this section are limited to the sum of the
63.19amount of county program aid under section 477A.0124, local government aid under
63.20section 477A.013, and market value credit reimbursements under section 273.1384
63.21payable to the county or city in 2010 before the reductions in this section, but after the
63.22reductions for unallotments under section 477A.0132.
63.23The reduction amount under this section is applied first to reduce the amount
63.24payable to the county or city in 2010 as market value credit reimbursements under section
63.25273.1384 , and then if necessary, to reduce the amount payable as either county program
63.26aid under section 477A.0124 in the case of a county, or local government aid under section
63.27477A.013 in the case of a city.
63.28No aid or reimbursement amount is reduced to less than zero under this section.
63.29The additional 2010 aid reduction amount for a county is equal to 1.82767 percent
63.30of the county's 2010 revenue base. The additional 2010 aid reduction amount for a city
63.31is equal to the lesser of (1) 3.4287 percent of the city's 2010 revenue base or (2) $28
63.32multiplied by the city's 2008 population.
63.33EFFECTIVE DATE.This section is effective the day following final enactment.

63.34    Sec. 4. REFUNDS AND CREDITS.
64.1    Subdivision 1. Political contribution credit. Notwithstanding the provisions of
64.2Minnesota Statutes, section 290.06, subdivision 23, or any other law to the contrary, the
64.3political contribution refund does not apply to contributions made after June 30, 2009,
64.4and before July 1, 2011.
64.5    Subd. 2. Property tax refund. For property tax refunds based on rent paid during
64.6calendar year 2009 only, but also applying to refunds based on property taxes payable in
64.72010 that include gross rent paid in 2009, the following rules apply:
64.8(1) "rent constituting property taxes" must be calculated by substituting "15 percent"
64.9for "19 percent" under Minnesota Statutes, section 290A.03, subdivision 11; and
64.10(2) "property taxes payable" must be calculated under Minnesota Statutes, section
64.11290A.03, subdivision 13, by substituting "15 percent" for "19 percent" in determining the
64.12portion of gross rent paid that is included in property taxes payable.
64.13    Subd. 3. Sustainable forest incentive program. The maximum sustainable forest
64.14incentive program payments under Minnesota Statutes, section 290C.07, per each Social
64.15Security number or state or federal business tax identification number must not exceed
64.16$100,000. The provisions of this subdivision apply only to payments made during fiscal
64.17year 2011.
64.18EFFECTIVE DATE.This section is effective the day following final enactment.

64.19    Sec. 5. LEVY VALIDATION.
64.20Any special levy under Minnesota Statutes, section 275.70, subdivision 5, clause
64.21(22), approved by the commissioner of revenue for taxes payable in 2010, is validated
64.22notwithstanding a later judicial decision that may affect the validity of unallotments that
64.23were announced in 2009. A local government may not levy under Minnesota Statutes,
64.24section 275.70, subdivision 5, clause (22), for taxes payable in 2011 for any retroactive
64.25reduction in aid and credit reimbursements for aids and credits payable in 2008 or 2009.
64.26EFFECTIVE DATE.This section is effective the day following final enactment.

64.27ARTICLE 15
64.28SPECIAL REVENUE FUND

64.29    Section 1. Minnesota Statutes 2008, section 3.9741, subdivision 2, is amended to read:
64.30    Subd. 2. Postsecondary Education Board. The legislative auditor may enter into
64.31an interagency agreement with the Board of Trustees of the Minnesota State Colleges and
64.32Universities to conduct financial audits, in addition to audits conducted under section
65.13.972, subdivision 2 . All payments received for audits requested by the board shall be
65.2added to the appropriation for deposited in the special revenue fund and appropriated to
65.3the legislative auditor to pay audit expenses.

65.4    Sec. 2. Minnesota Statutes 2008, section 8.15, subdivision 3, is amended to read:
65.5    Subd. 3. Agreements. (a) To facilitate the delivery of legal services, the attorney
65.6general may:
65.7(1) enter into agreements with executive branch agencies, political subdivisions, or
65.8quasi-state agencies to provide legal services for the benefit of the citizens of Minnesota;
65.9and
65.10(2) in addition to funds otherwise appropriated by the legislature, accept and spend
65.11funds received under any agreement authorized in clause (1) for the purpose set forth in
65.12clause (1), subject to a report of receipts to the chairs of the senate Finance Committee and
65.13the house of representatives Ways and Means Committee by October 15 each year.
65.14(b) When entering into an agreement for legal services, the attorney general must
65.15notify the committees responsible for funding the Office of the Attorney General. When
65.16the attorney general enters into an agreement with a state agency, the attorney general
65.17must also notify the committees responsible for funding that agency.
65.18Funds received under this subdivision must be deposited in the general an account in
65.19the special revenue fund and are appropriated to the attorney general for the purposes set
65.20forth in this subdivision.

65.21    Sec. 3. Minnesota Statutes 2008, section 13.03, subdivision 10, is amended to read:
65.22    Subd. 10. Costs for providing copies of data. Money may be collected by a
65.23responsible authority in a state agency for the actual cost to the agency of providing
65.24copies or electronic transmittal of government data is appropriated to the agency and
65.25added to the appropriations from which the costs were paid. When money collected for
65.26purposes of this section is of a magnitude sufficient to warrant a separate account in the
65.27state treasury, that money must be deposited in a fund other than the general fund and is
65.28appropriated to the agency.

65.29    Sec. 4. Minnesota Statutes 2008, section 16C.23, subdivision 6, is amended to read:
65.30    Subd. 6. State surplus property. The commissioner may do any of the following to
65.31dispose of state surplus property:
65.32(1) transfer it to or between state agencies;
65.33(2) transfer it to a governmental unit or nonprofit organization in Minnesota; or
66.1(3) sell it and charge a fee to cover expenses incurred by the commissioner in the
66.2disposal of the surplus property.
66.3The proceeds of the sale less the fee must be deposited in an account in a fund other
66.4than the general fund and are appropriated to the agency for whose account the sale was
66.5made, to be used and expended by that agency to purchase similar state property.

66.6    Sec. 5. Minnesota Statutes 2008, section 103B.101, subdivision 9, is amended to read:
66.7    Subd. 9. Powers and duties. In addition to the powers and duties prescribed
66.8elsewhere, the board shall:
66.9(1) coordinate the water and soil resources planning activities of counties, soil and
66.10water conservation districts, watershed districts, watershed management organizations,
66.11and any other local units of government through its various authorities for approval of
66.12local plans, administration of state grants, and by other means as may be appropriate;
66.13(2) facilitate communication and coordination among state agencies in cooperation
66.14with the Environmental Quality Board, and between state and local units of government,
66.15in order to make the expertise and resources of state agencies involved in water and soil
66.16resources management available to the local units of government to the greatest extent
66.17possible;
66.18(3) coordinate state and local interests with respect to the study in southwestern
66.19Minnesota under United States Code, title 16, section 1009;
66.20(4) develop information and education programs designed to increase awareness
66.21of local water and soil resources problems and awareness of opportunities for local
66.22government involvement in preventing or solving them;
66.23(5) provide a forum for the discussion of local issues and opportunities relating
66.24to water and soil resources management;
66.25(6) adopt an annual budget and work program that integrate the various functions
66.26and responsibilities assigned to it by law; and
66.27(7) report to the governor and the legislature by October 15 of each even-numbered
66.28year with an assessment of board programs and recommendations for any program
66.29changes and board membership changes necessary to improve state and local efforts
66.30in water and soil resources management.
66.31The board may accept grants, gifts, donations, or contributions in money, services,
66.32materials, or otherwise from the United States, a state agency, or other source to achieve
66.33an authorized purpose. The board may enter into a contract or agreement necessary or
66.34appropriate to accomplish the transfer. The board may receive and expend money to
66.35acquire conservation easements, as defined in chapter 84C, on behalf of the state and
67.1federal government consistent with the Camp Ripley's Army Compatible Use Buffer
67.2Project.
67.3Any money received is hereby deposited in an account in a fund other than the
67.4general fund and appropriated and dedicated for the purpose for which it is granted.

67.5    Sec. 6. Minnesota Statutes 2008, section 103I.681, subdivision 11, is amended to read:
67.6    Subd. 11. Permit fee schedule. (a) The commissioner of natural resources shall
67.7adopt a permit fee schedule under chapter 14. The schedule may provide minimum fees
67.8for various classes of permits, and additional fees, which may be imposed subsequent
67.9to the application, based on the cost of receiving, processing, analyzing, and issuing
67.10the permit, and the actual inspecting and monitoring of the activities authorized by the
67.11permit, including costs of consulting services.
67.12(b) A fee may not be imposed on a state or federal governmental agency applying
67.13for a permit.
67.14(c) The fee schedule may provide for the refund of a fee, in whole or in part, under
67.15circumstances prescribed by the commissioner of natural resources. Fees received must
67.16be deposited in the state treasury and credited to the general an account in the natural
67.17resources fund. Permit fees received are appropriated annually from the general natural
67.18resources fund to the commissioner of natural resources for the costs of inspecting and
67.19monitoring the activities authorized by the permit, including costs of consulting services.

67.20    Sec. 7. Minnesota Statutes 2008, section 116J.551, subdivision 1, is amended to read:
67.21    Subdivision 1. Grant account. A contaminated site cleanup and development grant
67.22account is created in the general special revenue fund. Money in the account may be used,
67.23as appropriated by law, to make grants as provided in section 116J.554 and to pay for the
67.24commissioner's costs in reviewing applications and making grants. Notwithstanding
67.25section 16A.28, money appropriated to the account for this program from any source
67.26is available until spent.

67.27    Sec. 8. Minnesota Statutes 2008, section 190.32, is amended to read:
67.28190.32 FEDERAL REIMBURSEMENT RECEIPTS.
67.29The Department of Military Affairs may deposit federal reimbursement receipts into
67.30the general fund an account in the special revenue fund, maintenance of military training
67.31facilities. These receipts are for services, supplies, and materials initially purchased by the
67.32Camp Ripley maintenance account.

68.1    Sec. 9. Minnesota Statutes 2008, section 257.69, subdivision 2, is amended to read:
68.2    Subd. 2. Guardian; legal fees. (a) The court may order expert witness and guardian
68.3ad litem fees and other costs of the trial and pretrial proceedings, including appropriate
68.4tests, to be paid by the parties in proportions and at times determined by the court. The
68.5court shall require a party to pay part of the fees of court-appointed counsel according
68.6to the party's ability to pay, but if counsel has been appointed the appropriate agency
68.7shall pay the party's proportion of all other fees and costs. The agency responsible for
68.8child support enforcement shall pay the fees and costs for blood or genetic tests in a
68.9proceeding in which it is a party, is the real party in interest, or is acting on behalf of the
68.10child. However, at the close of a proceeding in which paternity has been established under
68.11sections 257.51 to 257.74, the court shall order the adjudicated father to reimburse the
68.12public agency, if the court finds he has sufficient resources to pay the costs of the blood or
68.13genetic tests. When a party bringing an action is represented by the county attorney, no
68.14filing fee shall be paid to the court administrator.
68.15(b) In each fiscal year, the commissioner of management and budget shall deposit
68.16guardian ad litem reimbursements in the general special revenue fund and credit them to a
68.17separate account with the trial courts. The balance of this account is appropriated to the
68.18trial courts and does not cancel but is available until expended. Expenditures by the state
68.19court administrator's office from this account must be based on the amount of the guardian
68.20ad litem reimbursements received by the state from the courts in each judicial district.

68.21    Sec. 10. Minnesota Statutes 2008, section 260C.331, subdivision 6, is amended to read:
68.22    Subd. 6. Guardian ad litem fees. (a) In proceedings in which the court appoints a
68.23guardian ad litem pursuant to section 260C.163, subdivision 5, clause (a), the court may
68.24inquire into the ability of the parents to pay for the guardian ad litem's services and,
68.25after giving the parents a reasonable opportunity to be heard, may order the parents to
68.26pay guardian fees.
68.27(b) In each fiscal year, the commissioner of management and budget shall deposit
68.28guardian ad litem reimbursements in the general special revenue fund and credit them to a
68.29separate account with the trial courts. The balance of this account is appropriated to the
68.30trial courts and does not cancel but is available until expended. Expenditures by the state
68.31court administrator's office from this account must be based on the amount of the guardian
68.32ad litem reimbursements received by the state from the courts in each judicial district.

68.33    Sec. 11. Minnesota Statutes 2009 Supplement, section 270.97, is amended to read:
68.34270.97 DEPOSIT OF REVENUES.
69.1The commissioner shall deposit all revenues derived from the tax, interest, and
69.2penalties received from the county in the contaminated site cleanup and development
69.3account in the general special revenue fund and is annually appropriated to the
69.4commissioner of the Department of Employment and Economic Development, for the
69.5purposes of section 116J.551.

69.6    Sec. 12. Minnesota Statutes 2008, section 299C.48, is amended to read:
69.7299C.48 CONNECTION BY AUTHORIZED AGENCY; FEE,
69.8APPROPRIATION.
69.9(a) An agency authorized under section 299C.46, subdivision 3, may connect with
69.10and participate in the criminal justice data communications network upon approval
69.11of the commissioner of public safety; provided, that the agency shall first agree to pay
69.12installation charges as may be necessary for connection and monthly operational charges
69.13as may be established by the commissioner of public safety. Before participation by a
69.14criminal justice agency may be approved, the agency must have executed an agreement
69.15with the commissioner providing for security of network facilities and restrictions on
69.16access to data supplied to and received through the network.
69.17(b) In addition to any fee otherwise authorized, the commissioner of public safety
69.18shall impose a fee for providing secure dial-up or Internet access for criminal justice
69.19agencies and noncriminal justice agencies. The following monthly fees apply:
69.20(1) criminal justice agency accessing via Internet, $15;
69.21(2) criminal justice agency accessing via dial-up, $35;
69.22(3) noncriminal justice agency accessing via Internet, $35; and
69.23(4) noncriminal justice agency accessing via dial-up, $35.
69.24(c) The installation and monthly operational charges collected by the commissioner
69.25of public safety under paragraphs (a) and (b) must be deposited in an account in the special
69.26revenue fund and are annually appropriated to the commissioner to administer sections
69.27299C.46 to 299C.50.

69.28    Sec. 13. Minnesota Statutes 2008, section 299E.02, is amended to read:
69.29299E.02 CONTRACT SERVICES; APPROPRIATION.
69.30Fees charged for contracted security services provided by the Capitol Complex
69.31Security Division of the Department of Public Safety must be deposited in an account in
69.32the special revenue fund and are annually appropriated to the commissioner of public
69.33safety to administer and provide these services.

70.1    Sec. 14. Minnesota Statutes 2008, section 446A.086, subdivision 2, as amended by
70.2Laws 2010, chapter 290, section 14, is amended to read:
70.3    Subd. 2. Application. (a) This section provides a state guarantee of the payment of
70.4principal and interest on debt obligations if:
70.5    (1) the obligations are issued for new projects and are not issued for the purposes of
70.6refunding previous obligations;
70.7    (2) application to the Public Facilities Authority is made before issuance; and
70.8    (3) the obligations are covered by an agreement meeting the requirements of
70.9subdivision 3.
70.10    (b) Applications to be covered by the provisions of this section must be made in a
70.11form and contain the information prescribed by the authority. Applications are subject to
70.12either a fee of $500 for each bond issue requested by a county or governmental unit or the
70.13applicable fees under section 446A.087.
70.14    (c) Application fees paid under this section must be deposited in a separate credit
70.15enhancement bond guarantee account in the general special revenue fund. Money in the
70.16credit enhancement bond guarantee account is appropriated to the authority for purposes
70.17of administering this section.
70.18    (d) Neither the authority nor the commissioner is required to promulgate
70.19administrative rules under this section and the procedures and requirements established by
70.20the authority or commissioner under this section are not subject to chapter 14.

70.21    Sec. 15. Minnesota Statutes 2008, section 469.177, subdivision 11, is amended to read:
70.22    Subd. 11. Deduction for enforcement costs; appropriation. (a) The county
70.23treasurer shall deduct an amount equal to 0.25 percent of any increment distributed to an
70.24authority or municipality. The county treasurer shall pay the amount deducted to the
70.25commissioner of management and budget for deposit in the state general an account in
70.26the special revenue fund.
70.27(b) The amounts deducted and paid under paragraph (a) are appropriated to the state
70.28auditor for the cost of (1) the financial reporting of tax increment financing information
70.29and (2) the cost of examining and auditing of authorities' use of tax increment financing
70.30as provided under section 469.1771, subdivision 1. Notwithstanding section 16A.28 or
70.31any other law to the contrary, this appropriation does not cancel and remains available
70.32until spent.
70.33(c) For taxes payable in 2002 and thereafter, the commissioner of revenue shall
70.34increase the percent in paragraph (a) to a percent equal to the product of the percent in
70.35paragraph (a) and the amount that the statewide tax increment levy for taxes payable in
71.12002 would have been without the class rate changes in this act and the elimination of
71.2the general education levy in this act divided by the statewide tax increment levy for
71.3taxes payable in 2002.

71.4    Sec. 16. Minnesota Statutes 2008, section 518.165, subdivision 3, is amended to read:
71.5    Subd. 3. Fees. (a) A guardian ad litem appointed under either subdivision 1 or 2
71.6may be appointed either as a volunteer or on a fee basis. If a guardian ad litem is appointed
71.7on a fee basis, the court shall enter an order for costs, fees, and disbursements in favor
71.8of the child's guardian ad litem. The order may be made against either or both parties,
71.9except that any part of the costs, fees, or disbursements which the court finds the parties
71.10are incapable of paying shall be borne by the state courts. The costs of court-appointed
71.11counsel to the guardian ad litem shall be paid by the county in which the proceeding is
71.12being held if a party is incapable of paying for them. Until the recommendations of the
71.13task force created in Laws 1999, chapter 216, article 7, section 42, are implemented, the
71.14costs of court-appointed counsel to a guardian ad litem in the Eighth Judicial District shall
71.15be paid by the state courts if a party is incapable of paying for them. In no event may the
71.16court order that costs, fees, or disbursements be paid by a party receiving public assistance
71.17or legal assistance or by a party whose annual income falls below the poverty line as
71.18established under United States Code, title 42, section 9902(2).
71.19(b) In each fiscal year, the commissioner of management and budget shall deposit
71.20guardian ad litem reimbursements in the general special revenue fund and credit them to a
71.21separate account with the trial courts. The balance of this account is appropriated to the
71.22trial courts and does not cancel but is available until expended. Expenditures by the state
71.23court administrator's office from this account must be based on the amount of the guardian
71.24ad litem reimbursements received by the state from the courts in each judicial district.

71.25    Sec. 17. Minnesota Statutes 2008, section 609.3241, is amended to read:
71.26609.3241 PENALTY ASSESSMENT AUTHORIZED.
71.27When a court sentences an adult convicted of violating section 609.322 or 609.324,
71.28while acting other than as a prostitute, the court shall impose an assessment of not less
71.29than $250 and not more than $500 for a violation of section 609.324, subdivision 2, or a
71.30misdemeanor violation of section 609.324, subdivision 3; otherwise the court shall impose
71.31an assessment of not less than $500 and not more than $1,000. The mandatory minimum
71.32portion of the assessment is to be used for the purposes described in section 626.558,
71.33subdivision 2a
, and is in addition to the surcharge required by section 357.021, subdivision
71.346
. Any portion of the assessment imposed in excess of the mandatory minimum amount
72.1shall be forwarded to the general deposited in an account in the special revenue fund and
72.2is appropriated annually to the commissioner of public safety. The commissioner, with the
72.3assistance of the General Crime Victims Advisory Council, shall use money received under
72.4this section for grants to agencies that provide assistance to individuals who have stopped
72.5or wish to stop engaging in prostitution. Grant money may be used to provide these
72.6individuals with medical care, child care, temporary housing, and educational expenses.

72.7    Sec. 18. Minnesota Statutes 2008, section 611.20, subdivision 3, is amended to read:
72.8    Subd. 3. Reimbursement. In each fiscal year, the commissioner of management
72.9and budget shall deposit the payments in the general special revenue fund and credit them
72.10to a separate account with the Board of Public Defense. The amount credited to this
72.11account is appropriated to the Board of Public Defense.
72.12The balance of this account does not cancel but is available until expended.
72.13Expenditures by the board from this account for each judicial district public defense office
72.14must be based on the amount of the payments received by the state from the courts in
72.15each judicial district. A district public defender's office that receives money under this
72.16subdivision shall use the money to supplement office overhead payments to part-time
72.17attorneys providing public defense services in the district. By January 15 of each year,
72.18the Board of Public Defense shall report to the chairs and ranking minority members of
72.19the senate and house of representatives divisions having jurisdiction over criminal justice
72.20funding on the amount appropriated under this subdivision, the number of cases handled
72.21by each district public defender's office, the number of cases in which reimbursements
72.22were ordered, the average amount of reimbursement ordered, and the average amount of
72.23money received by part-time attorneys under this subdivision.

72.24    Sec. 19. Laws 1994, chapter 531, section 1, is amended to read:
72.25    Section 1. SALE OF WILDLIFE LANDS.
72.26    Notwithstanding Minnesota Statutes, sections 84.027, subdivision 10; 92.45; 94.09
72.27to 94.165; 97A.135; 103F.535, or any other law, the commissioner of administration may
72.28sell lands located in the Gordy Yaeger wildlife management area in Olmsted county. The
72.29consideration for the lands described in sections 2 and 3 shall be $950 per acre. The
72.30conveyances shall be by guitclaim quitclaim deed in a form approved by the attorney
72.31general and shall reserve to the state all minerals and mineral rights. The proceeds received
72.32from the sales are to be deposited in an account in the general natural resources fund and
72.33are appropriated to the commissioner of natural resources for acquisition of replacement
73.1wildlife management area lands. These sales are pursuant to the recommendation of the
73.2Gordy Yaeger wildlife management area advisory committee.

73.3ARTICLE 16
73.4HEALTH CARE

73.5    Section 1. Minnesota Statutes 2008, section 256.01, is amended by adding a
73.6subdivision to read:
73.7    Subd. 30. Review and evaluation of ongoing studies. The commissioner
73.8shall review all ongoing studies, reports, and program evaluations completed by the
73.9Department of Human Services for state fiscal years 2006 through 2010. For each item,
73.10the commissioner shall report the legislature's appropriation for that work, if any, and the
73.11actual reported cost of the completed work by the Department of Human Services. The
73.12commissioner shall make recommendations to the legislature about which studies, reports,
73.13and program evaluations required by law on an ongoing basis are duplicative, unnecessary,
73.14or obsolete. The commissioner shall repeat this review every five fiscal years.

73.15    Sec. 2. Minnesota Statutes 2008, section 256.9657, subdivision 2, is amended to read:
73.16    Subd. 2. Hospital surcharge. (a) Effective October 1, 1992, each Minnesota
73.17hospital except facilities of the federal Indian Health Service and regional treatment
73.18centers shall pay to the medical assistance account a surcharge equal to 1.4 percent of net
73.19patient revenues excluding net Medicare revenues reported by that provider to the health
73.20care cost information system according to the schedule in subdivision 4.
73.21(b) Effective July 1, 1994, the surcharge under paragraph (a) is increased to 1.56
73.22percent.
73.23(c) Effective July 1, 2010, the surcharge under paragraph (b) is increased to 2.63
73.24percent.
73.25(d) Effective October 1, 2011, the surcharge under paragraph (c) is reduced to
73.262.30 percent.
73.27(e) Notwithstanding the Medicare cost finding and allowable cost principles, the
73.28hospital surcharge is not an allowable cost for purposes of rate setting under sections
73.29256.9685 to 256.9695.
73.30EFFECTIVE DATE.This section is effective July 1, 2010.

73.31    Sec. 3. Minnesota Statutes 2008, section 256.9657, subdivision 3, is amended to read:
73.32    Subd. 3. Surcharge on HMOs and community integrated service networks. (a)
73.33Effective October 1, 1992, each health maintenance organization with a certificate of
74.1authority issued by the commissioner of health under chapter 62D and each community
74.2integrated service network licensed by the commissioner under chapter 62N shall pay to
74.3the commissioner of human services a surcharge equal to six-tenths of one percent of the
74.4total premium revenues of the health maintenance organization or community integrated
74.5service network as reported to the commissioner of health according to the schedule in
74.6subdivision 4.
74.7(b) Effective October 1, 2010, in addition to the surcharge under paragraph (a), each
74.8health maintenance organization shall pay to the commissioner a surcharge equal to 0.52
74.9percent of total premium revenues and each county-based purchasing plan authorized
74.10under section 256B.692 shall pay to the commissioner a surcharge equal to 1.12 percent
74.11of the total premium revenues of the plan, as reported to the commissioner of health,
74.12according to the payment schedule in subdivision 4. Notwithstanding section 256.9656,
74.13money collected under this paragraph shall be deposited in the health care access fund
74.14established in section 16A.724.
74.15(c) For purposes of this subdivision, total premium revenue means:
74.16(1) premium revenue recognized on a prepaid basis from individuals and groups
74.17for provision of a specified range of health services over a defined period of time which
74.18is normally one month, excluding premiums paid to a health maintenance organization
74.19or community integrated service network from the Federal Employees Health Benefit
74.20Program;
74.21(2) premiums from Medicare wrap-around subscribers for health benefits which
74.22supplement Medicare coverage;
74.23(3) Medicare revenue, as a result of an arrangement between a health maintenance
74.24organization or a community integrated service network and the Centers for Medicare
74.25and Medicaid Services of the federal Department of Health and Human Services, for
74.26services to a Medicare beneficiary, excluding Medicare revenue that states are prohibited
74.27from taxing under sections 1854, 1860D-12, and 1876 of title XVIII of the federal Social
74.28Security Act, codified as United States Code, title 42, sections 1395mm, 1395w-112, and
74.291395w-24, respectively, as they may be amended from time to time; and
74.30(4) medical assistance revenue, as a result of an arrangement between a health
74.31maintenance organization or community integrated service network and a Medicaid state
74.32agency, for services to a medical assistance beneficiary.
74.33If advance payments are made under clause (1) or (2) to the health maintenance
74.34organization or community integrated service network for more than one reporting period,
74.35the portion of the payment that has not yet been earned must be treated as a liability.
75.1(c) (d) When a health maintenance organization or community integrated service
75.2network merges or consolidates with or is acquired by another health maintenance
75.3organization or community integrated service network, the surviving corporation or the
75.4new corporation shall be responsible for the annual surcharge originally imposed on
75.5each of the entities or corporations subject to the merger, consolidation, or acquisition,
75.6regardless of whether one of the entities or corporations does not retain a certificate of
75.7authority under chapter 62D or a license under chapter 62N.
75.8(d) (e) Effective July 1 of each year, the surviving corporation's or the new
75.9corporation's surcharge shall be based on the revenues earned in the second previous
75.10calendar year by all of the entities or corporations subject to the merger, consolidation,
75.11or acquisition regardless of whether one of the entities or corporations does not retain a
75.12certificate of authority under chapter 62D or a license under chapter 62N until the total
75.13premium revenues of the surviving corporation include the total premium revenues of all
75.14the merged entities as reported to the commissioner of health.
75.15(e) (f) When a health maintenance organization or community integrated service
75.16network, which is subject to liability for the surcharge under this chapter, transfers,
75.17assigns, sells, leases, or disposes of all or substantially all of its property or assets, liability
75.18for the surcharge imposed by this chapter is imposed on the transferee, assignee, or buyer
75.19of the health maintenance organization or community integrated service network.
75.20(f) (g) In the event a health maintenance organization or community integrated
75.21service network converts its licensure to a different type of entity subject to liability
75.22for the surcharge under this chapter, but survives in the same or substantially similar
75.23form, the surviving entity remains liable for the surcharge regardless of whether one of
75.24the entities or corporations does not retain a certificate of authority under chapter 62D
75.25or a license under chapter 62N.
75.26(g) (h) The surcharge assessed to a health maintenance organization or community
75.27integrated service network ends when the entity ceases providing services for premiums
75.28and the cessation is not connected with a merger, consolidation, acquisition, or conversion.
75.29EFFECTIVE DATE.This section is effective July 1, 2010.

75.30    Sec. 4. Minnesota Statutes 2009 Supplement, section 256.969, subdivision 2b, is
75.31amended to read:
75.32    Subd. 2b. Operating payment rates. In determining operating payment rates for
75.33admissions occurring on or after the rate year beginning January 1, 1991, and every two
75.34years after, or more frequently as determined by the commissioner, the commissioner shall
75.35obtain operating data from an updated base year and establish operating payment rates
76.1per admission for each hospital based on the cost-finding methods and allowable costs of
76.2the Medicare program in effect during the base year. Rates under the general assistance
76.3medical care, medical assistance, and MinnesotaCare programs shall not be rebased to
76.4more current data on January 1, 1997, January 1, 2005, for the first 24 months of the
76.5rebased period beginning January 1, 2009. For the first three 24 months of the rebased
76.6period beginning January 1, 2011, rates shall not be rebased at 74.25 percent of the full
76.7value of the rebasing percentage change. From April 1, 2011, to March 31, 2012, rates
76.8shall be rebased at 39.2 percent of the full value of the rebasing percentage change, except
76.9that a Minnesota long-term hospital shall be rebased effective January 1, 2011, based on
76.10its most recent Medicare cost report ending on or before September 1, 2008, with the
76.11provisions under subdivisions 9 and 23, based on the rates in effect on December 31, 2010.
76.12For subsequent rate setting periods in which the base years are updated, a Minnesota
76.13long-term hospital's base year shall remain within the same period as other hospitals.
76.14Effective April 1, 2012 January 1, 2013, rates shall be rebased at full value. The base year
76.15operating payment rate per admission is standardized by the case mix index and adjusted
76.16by the hospital cost index, relative values, and disproportionate population adjustment.
76.17The cost and charge data used to establish operating rates shall only reflect inpatient
76.18services covered by medical assistance and shall not include property cost information
76.19and costs recognized in outlier payments.
76.20EFFECTIVE DATE.This section is effective July 1, 2010.

76.21    Sec. 5. Minnesota Statutes 2009 Supplement, section 256.969, subdivision 3a, is
76.22amended to read:
76.23    Subd. 3a. Payments. (a) Acute care hospital billings under the medical
76.24assistance program must not be submitted until the recipient is discharged. However,
76.25the commissioner shall establish monthly interim payments for inpatient hospitals that
76.26have individual patient lengths of stay over 30 days regardless of diagnostic category.
76.27Except as provided in section 256.9693, medical assistance reimbursement for treatment
76.28of mental illness shall be reimbursed based on diagnostic classifications. Individual
76.29hospital payments established under this section and sections 256.9685, 256.9686, and
76.30256.9695 , in addition to third party and recipient liability, for discharges occurring during
76.31the rate year shall not exceed, in aggregate, the charges for the medical assistance covered
76.32inpatient services paid for the same period of time to the hospital. This payment limitation
76.33shall be calculated separately for medical assistance and general assistance medical
76.34care services. The limitation on general assistance medical care shall be effective for
76.35admissions occurring on or after July 1, 1991. Services that have rates established under
77.1subdivision 11 or 12, must be limited separately from other services. After consulting with
77.2the affected hospitals, the commissioner may consider related hospitals one entity and
77.3may merge the payment rates while maintaining separate provider numbers. The operating
77.4and property base rates per admission or per day shall be derived from the best Medicare
77.5and claims data available when rates are established. The commissioner shall determine
77.6the best Medicare and claims data, taking into consideration variables of recency of the
77.7data, audit disposition, settlement status, and the ability to set rates in a timely manner.
77.8The commissioner shall notify hospitals of payment rates by December 1 of the year
77.9preceding the rate year. The rate setting data must reflect the admissions data used to
77.10establish relative values. Base year changes from 1981 to the base year established for the
77.11rate year beginning January 1, 1991, and for subsequent rate years, shall not be limited
77.12to the limits ending June 30, 1987, on the maximum rate of increase under subdivision
77.131. The commissioner may adjust base year cost, relative value, and case mix index data
77.14to exclude the costs of services that have been discontinued by the October 1 of the year
77.15preceding the rate year or that are paid separately from inpatient services. Inpatient stays
77.16that encompass portions of two or more rate years shall have payments established based
77.17on payment rates in effect at the time of admission unless the date of admission preceded
77.18the rate year in effect by six months or more. In this case, operating payment rates for
77.19services rendered during the rate year in effect and established based on the date of
77.20admission shall be adjusted to the rate year in effect by the hospital cost index.
77.21    (b) For fee-for-service admissions occurring on or after July 1, 2002, the total
77.22payment, before third-party liability and spenddown, made to hospitals for inpatient
77.23services is reduced by .5 percent from the current statutory rates.
77.24    (c) In addition to the reduction in paragraph (b), the total payment for fee-for-service
77.25admissions occurring on or after July 1, 2003, made to hospitals for inpatient services
77.26before third-party liability and spenddown, is reduced five percent from the current
77.27statutory rates. Mental health services within diagnosis related groups 424 to 432, and
77.28facilities defined under subdivision 16 are excluded from this paragraph.
77.29    (d) In addition to the reduction in paragraphs (b) and (c), the total payment for
77.30fee-for-service admissions occurring on or after August 1, 2005, made to hospitals for
77.31inpatient services before third-party liability and spenddown, is reduced 6.0 percent
77.32from the current statutory rates. Mental health services within diagnosis related groups
77.33424 to 432 and facilities defined under subdivision 16 are excluded from this paragraph.
77.34Notwithstanding section 256.9686, subdivision 7, for purposes of this paragraph, medical
77.35assistance does not include general assistance medical care. Payments made to managed
78.1care plans shall be reduced for services provided on or after January 1, 2006, to reflect
78.2this reduction.
78.3    (e) In addition to the reductions in paragraphs (b), (c), and (d), the total payment for
78.4fee-for-service admissions occurring on or after July 1, 2008, through June 30, 2009, made
78.5to hospitals for inpatient services before third-party liability and spenddown, is reduced
78.63.46 percent from the current statutory rates. Mental health services with diagnosis related
78.7groups 424 to 432 and facilities defined under subdivision 16 are excluded from this
78.8paragraph. Payments made to managed care plans shall be reduced for services provided
78.9on or after January 1, 2009, through June 30, 2009, to reflect this reduction.
78.10    (f) In addition to the reductions in paragraphs (b), (c), and (d), the total payment for
78.11fee-for-service admissions occurring on or after July 1, 2009, through June 30, 2010, made
78.12to hospitals for inpatient services before third-party liability and spenddown, is reduced
78.131.9 percent from the current statutory rates. Mental health services with diagnosis related
78.14groups 424 to 432 and facilities defined under subdivision 16 are excluded from this
78.15paragraph. Payments made to managed care plans shall be reduced for services provided
78.16on or after July 1, 2009, through June 30, 2010, to reflect this reduction.
78.17    (g) In addition to the reductions in paragraphs (b), (c), and (d), the total payment
78.18for fee-for-service admissions occurring on or after July 1, 2010, made to hospitals for
78.19inpatient services before third-party liability and spenddown, is reduced 1.79 percent
78.20from the current statutory rates. Mental health services with diagnosis related groups
78.21424 to 432 and facilities defined under subdivision 16 are excluded from this paragraph.
78.22Payments made to managed care plans shall be reduced for services provided on or after
78.23July 1, 2010, to reflect this reduction.
78.24(h) In addition to the reductions in paragraphs (b), (c), (d), (f), and (g), the total
78.25payment for fee-for-service admissions occurring on or after July 1, 2009, made to
78.26hospitals for inpatient services before third-party liability and spenddown, is reduced
78.27one percent from the current statutory rates. Facilities defined under subdivision 16 are
78.28excluded from this paragraph. Payments made to managed care plans shall be reduced for
78.29services provided on or after October 1, 2009, to reflect this reduction.
78.30(i) In order to offset the ratable reductions provided for in this subdivision, the total
78.31payment rate for medical assistance fee-for-service admissions occurring on or after July
78.321, 2010, to June 30, 2011, made to Minnesota hospitals for inpatient services before
78.33third-party liability and spenddown, shall be increased by five percent from the current
78.34statutory rates. Effective July 1, 2011, the rate increase under this paragraph shall be
78.35reduced to 1.96 percent. For purposes of this paragraph, medical assistance does not
78.36include general assistance medical care. The commissioner shall not adjust rates paid to a
79.1prepaid health plan under contract with the commissioner to reflect payments provided
79.2in this paragraph. The commissioner may utilize a settlement process to adjust rates in
79.3excess of the Medicare upper limits on payments.
79.4EFFECTIVE DATE.This section is effective July 1, 2010.

79.5    Sec. 6. Minnesota Statutes 2008, section 256.969, subdivision 21, is amended to read:
79.6    Subd. 21. Mental health or chemical dependency admissions; rates. (a)
79.7Admissions under the general assistance medical care program occurring on or after
79.8July 1, 1990, and admissions under medical assistance, excluding general assistance
79.9medical care, occurring on or after July 1, 1990, and on or before September 30, 1992,
79.10that are classified to a diagnostic category of mental health or chemical dependency
79.11shall have rates established according to the methods of subdivision 14, except the per
79.12day rate shall be multiplied by a factor of 2, provided that the total of the per day rates
79.13shall not exceed the per admission rate. This methodology shall also apply when a hold
79.14or commitment is ordered by the court for the days that inpatient hospital services are
79.15medically necessary. Stays which are medically necessary for inpatient hospital services
79.16and covered by medical assistance shall not be billable to any other governmental entity.
79.17Medical necessity shall be determined under criteria established to meet the requirements
79.18of section 256B.04, subdivision 15, or 256D.03, subdivision 7, paragraph (b).
79.19(b) In order to ensure adequate access for the provision of mental health services
79.20and to encourage broader delivery of these services outside the nonstate governmental
79.21hospital setting, payment rates for medical assistance admissions occurring on or after
79.22July 1, 2010, at a Minnesota private, not-for-profit hospital above the 75th percentile of all
79.23Minnesota private, nonprofit hospitals for diagnosis-related groups 424 to 432 and 521
79.24to 523 admissions paid by medical assistance for admissions occurring in calendar year
79.252007, shall be increased for these diagnosis-related groups at a percentage calculated to
79.26cost not more than $10,000,000 each fiscal year, including state and federal shares. For
79.27purposes of this paragraph, medical assistance does not include general assistance medical
79.28care. The commissioner shall not adjust rates paid to a prepaid health plan under contract
79.29with the commissioner to reflect payments provided in this paragraph. The commissioner
79.30may utilize a settlement process to adjust rates in excess of the Medicare upper limits
79.31on payments.
79.32EFFECTIVE DATE.This section is effective July 1, 2010.

79.33    Sec. 7. Minnesota Statutes 2008, section 256.969, subdivision 26, is amended to read:
80.1    Subd. 26. Greater Minnesota payment adjustment after June 30, 2001. (a) For
80.2admissions occurring after June 30, 2001, the commissioner shall pay fee-for-service
80.3inpatient admissions for the diagnosis-related groups specified in paragraph (b) at hospitals
80.4located outside of the seven-county metropolitan area at the higher of:
80.5(1) the hospital's current payment rate for the diagnostic category to which the
80.6diagnosis-related group belongs, exclusive of disproportionate population adjustments
80.7received under subdivision 9 and hospital payment adjustments received under subdivision
80.823; or
80.9(2) 90 percent of the average payment rate for that diagnostic category for hospitals
80.10located within the seven-county metropolitan area, exclusive of disproportionate
80.11population adjustments received under subdivision 9 and hospital payment adjustments
80.12received under subdivisions 20 and 23.
80.13(b) The payment increases provided in paragraph (a) apply to the following
80.14diagnosis-related groups, as they fall within the diagnostic categories:
80.15(1) 370 cesarean section with complicating diagnosis;
80.16(2) 371 cesarean section without complicating diagnosis;
80.17(3) 372 vaginal delivery with complicating diagnosis;
80.18(4) 373 vaginal delivery without complicating diagnosis;
80.19(5) 386 extreme immaturity and respiratory distress syndrome, neonate;
80.20(6) 388 full-term neonates with other problems;
80.21(7) 390 prematurity without major problems;
80.22(8) 391 normal newborn;
80.23(9) 385 neonate, died or transferred to another acute care facility;
80.24(10) 425 acute adjustment reaction and psychosocial dysfunction;
80.25(11) 430 psychoses;
80.26(12) 431 childhood mental disorders; and
80.27(13) 164-167 appendectomy.
80.28(c) For medical assistance admissions occurring on or after July 1, 2010, the
80.29payment rate under paragraph (a), clause (2), shall be increased to 100 percent from 90
80.30percent. For purposes of this paragraph, medical assistance does not include general
80.31assistance medical care. The commissioner shall not adjust rates paid to a prepaid
80.32health plan under contract with the commissioner to reflect payments provided in this
80.33paragraph. The commissioner may utilize a settlement process to adjust rates in excess of
80.34the Medicare upper limits on payments.
80.35EFFECTIVE DATE.This section is effective July 1, 2010.

81.1    Sec. 8. Minnesota Statutes 2008, section 256.969, is amended by adding a subdivision
81.2to read:
81.3    Subd. 31. Hospital payment adjustment after June 30, 2010. (a) For medical
81.4assistance admissions occurring on or after July 1, 2010, to March 31, 2011, the
81.5commissioner shall increase rates at Minnesota private, not-for-profit hospitals as follows:
81.6(1) for a hospital with total admissions reimbursed by government payers equal to or
81.7greater than 50 percent, payment rates for inpatient hospital services shall be increased for
81.8each admission by $250 multiplied by 437 percent;
81.9(2) for a hospital with total admissions reimbursed by government payers equal to
81.10or greater than 40 percent but less than 50 percent, payment rates for inpatient hospital
81.11services shall be increased for each admission by $250 multiplied by 349.6 percent; and
81.12(3) for a hospital with total admissions reimbursed by government payers of less
81.13than 40 percent, payment rates for inpatient hospital services shall be increased for each
81.14admission by $250 multiplied by 262.2 percent.
81.15(b) For medical assistance admissions occurring on or after April 1, 2011, the
81.16commissioner shall increase rates at Minnesota private, not-for-profit hospitals as follows:
81.17(1) for a hospital with total admissions reimbursed by government payers equal to or
81.18greater than 50 percent, payment rates for inpatient hospital services shall be increased for
81.19each admission by $250 multiplied by 145 percent;
81.20(2) for a hospital with total admissions reimbursed by government payers equal to
81.21or greater than 40 percent but less than 50 percent, payment rates for inpatient hospital
81.22services shall be increased for each admission by $250 multiplied by 116 percent; and
81.23(3) for a hospital with total admissions reimbursed by government payers of less
81.24than 40 percent, payment rates for inpatient hospital services shall be increased for each
81.25admission by $250 multiplied by 87 percent.
81.26(c) For purposes of paragraphs (a) and (b), "government payers" means Medicare,
81.27medical assistance, MinnesotaCare, and general assistance medical care.
81.28(d) For medical assistance admissions occurring on or after July 1, 2010, to March
81.2931, 2011, the commissioner shall increase rates for inpatient hospital services at Minnesota
81.30hospitals by $850 for each admission. For medical assistance admissions occurring on
81.31or after April 1, 2011, the payment under this paragraph shall be reduced to $320 per
81.32admission.
81.33(e) For purposes of this subdivision, medical assistance does not include general
81.34assistance medical care. The commissioner shall not adjust rates paid to a prepaid
81.35health plan under contract with the commissioner to reflect payments provided in this
82.1subdivision. The commissioner may utilize a settlement process to adjust rates in excess
82.2of the Medicare upper limits on payments.
82.3EFFECTIVE DATE.This section is effective July 1, 2010.

82.4    Sec. 9. Minnesota Statutes 2008, section 256B.04, subdivision 14a, is amended to read:
82.5    Subd. 14a. Level of need determination. Nonemergency medical transportation
82.6level of need determinations must be performed by a physician, a registered nurse working
82.7under direct supervision of a physician, a physician's assistant, a nurse practitioner, a
82.8licensed practical nurse, or a discharge planner. Nonemergency medical transportation
82.9level of need determinations must not be performed more than semiannually annually on
82.10any individual, unless the individual's circumstances have sufficiently changed so as
82.11to require a new level of need determination. Individuals residing in licensed nursing
82.12facilities are exempt from a level of need determination and are eligible for special
82.13transportation services until the individual no longer resides in a licensed nursing facility.
82.14If a person authorized by this subdivision to perform a level of need determination
82.15determines that an individual requires stretcher transportation, the individual is presumed
82.16to maintain that level of need until otherwise determined by a person authorized to
82.17perform a level of need determination, or for six months, whichever is sooner.

82.18    Sec. 10. Minnesota Statutes 2008, section 256B.055, is amended by adding a
82.19subdivision to read:
82.20    Subd. 15. Adults without children. Medical assistance may be paid for a person
82.21who is:
82.22(1) at least age 21 and under age 65;
82.23(2) not pregnant;
82.24(3) not entitled to Medicare Part A or enrolled in Medicare Part B under Title XVIII
82.25of the Social Security Act;
82.26(4) not an adult in a family with children as defined in section 256L.01, subdivision
82.273a; and
82.28(5) not described in another subdivision of this section.
82.29EFFECTIVE DATE.This section is effective July 1, 2010.

82.30    Sec. 11. Minnesota Statutes 2008, section 256B.056, subdivision 3, is amended to read:
82.31    Subd. 3. Asset limitations for individuals and families. (a) To be eligible for
82.32medical assistance, a person must not individually own more than $3,000 in assets, or if a
83.1member of a household with two family members, husband and wife, or parent and child,
83.2the household must not own more than $6,000 in assets, plus $200 for each additional
83.3legal dependent. In addition to these maximum amounts, an eligible individual or family
83.4may accrue interest on these amounts, but they must be reduced to the maximum at the
83.5time of an eligibility redetermination. The accumulation of the clothing and personal
83.6needs allowance according to section 256B.35 must also be reduced to the maximum at
83.7the time of the eligibility redetermination. The value of assets that are not considered in
83.8determining eligibility for medical assistance is the value of those assets excluded under
83.9the supplemental security income program for aged, blind, and disabled persons, with
83.10the following exceptions:
83.11(1) household goods and personal effects are not considered;
83.12(2) capital and operating assets of a trade or business that the local agency determines
83.13are necessary to the person's ability to earn an income are not considered;
83.14(3) motor vehicles are excluded to the same extent excluded by the supplemental
83.15security income program;
83.16(4) assets designated as burial expenses are excluded to the same extent excluded by
83.17the supplemental security income program. Burial expenses funded by annuity contracts
83.18or life insurance policies must irrevocably designate the individual's estate as contingent
83.19beneficiary to the extent proceeds are not used for payment of selected burial expenses; and
83.20(5) effective upon federal approval, for a person who no longer qualifies as an
83.21employed person with a disability due to loss of earnings, assets allowed while eligible
83.22for medical assistance under section 256B.057, subdivision 9, are not considered for 12
83.23months, beginning with the first month of ineligibility as an employed person with a
83.24disability, to the extent that the person's total assets remain within the allowed limits of
83.25section 256B.057, subdivision 9, paragraph (c).
83.26(b) No asset limit shall apply to persons eligible under section 256B.055, subdivision
83.2715.
83.28EFFECTIVE DATE.This section is effective July 1, 2010.

83.29    Sec. 12. Minnesota Statutes 2008, section 256B.056, subdivision 4, is amended to read:
83.30    Subd. 4. Income. (a) To be eligible for medical assistance, a person eligible under
83.31section 256B.055, subdivisions 7, 7a, and 12, may have income up to 100 percent of
83.32the federal poverty guidelines. Effective January 1, 2000, and each successive January,
83.33recipients of supplemental security income may have an income up to the supplemental
83.34security income standard in effect on that date.
84.1(b) To be eligible for medical assistance, families and children may have an income
84.2up to 133-1/3 percent of the AFDC income standard in effect under the July 16, 1996,
84.3AFDC state plan. Effective July 1, 2000, the base AFDC standard in effect on July 16,
84.41996, shall be increased by three percent.
84.5(c) Effective July 1, 2002, to be eligible for medical assistance, families and children
84.6may have an income up to 100 percent of the federal poverty guidelines for the family size.
84.7(d) Effective June 1, 2010, to be eligible for medical assistance under section
84.8256B.055, subdivision 15, a person may have an income up to 75 percent of federal
84.9poverty guidelines for the family size.
84.10(e) In computing income to determine eligibility of persons under paragraphs (a) to
84.11(c) (d) who are not residents of long-term care facilities, the commissioner shall disregard
84.12increases in income as required by Public Law Numbers 94-566, section 503; 99-272;
84.13and 99-509. Veterans aid and attendance benefits and Veterans Administration unusual
84.14medical expense payments are considered income to the recipient.
84.15EFFECTIVE DATE.This section is effective July 1, 2010.

84.16    Sec. 13. Minnesota Statutes 2008, section 256B.0625, subdivision 8, is amended to
84.17read:
84.18    Subd. 8. Physical therapy. Medical assistance covers physical therapy and related
84.19services, including specialized maintenance therapy. Authorization by the commissioner
84.20is required to provide medically necessary services to a recipient beyond any of the
84.21following onetime service thresholds, or a lower threshold where one has been established
84.22by the commissioner for a specified service: (1) 80 units of any approved CPT code other
84.23than modalities; (2) 20 modality sessions; and (3) three evaluations or reevaluations.
84.24Services provided by a physical therapy assistant shall be reimbursed at the same rate as
84.25services performed by a physical therapist when the services of the physical therapy
84.26assistant are provided under the direction of a physical therapist who is on the premises.
84.27Services provided by a physical therapy assistant that are provided under the direction
84.28of a physical therapist who is not on the premises shall be reimbursed at 65 percent of
84.29the physical therapist rate.
84.30EFFECTIVE DATE.This section is effective July 1, 2010, for services provided
84.31through fee-for-service, and January 1, 2011, for services provided through managed care.

84.32    Sec. 14. Minnesota Statutes 2008, section 256B.0625, subdivision 8a, is amended to
84.33read:
85.1    Subd. 8a. Occupational therapy. Medical assistance covers occupational therapy
85.2and related services, including specialized maintenance therapy. Authorization by the
85.3commissioner is required to provide medically necessary services to a recipient beyond
85.4any of the following onetime service thresholds, or a lower threshold where one has been
85.5established by the commissioner for a specified service: (1) 120 units of any combination
85.6of approved CPT codes; and (2) two evaluations or reevaluations. Services provided by an
85.7occupational therapy assistant shall be reimbursed at the same rate as services performed
85.8by an occupational therapist when the services of the occupational therapy assistant are
85.9provided under the direction of the occupational therapist who is on the premises. Services
85.10provided by an occupational therapy assistant that are provided under the direction of an
85.11occupational therapist who is not on the premises shall be reimbursed at 65 percent of
85.12the occupational therapist rate.
85.13EFFECTIVE DATE.This section is effective July 1, 2010, for services provided
85.14through fee-for-service, and January 1, 2011, for services provided through managed care.

85.15    Sec. 15. Minnesota Statutes 2008, section 256B.0625, subdivision 8b, is amended to
85.16read:
85.17    Subd. 8b. Speech language pathology and audiology services. Medical assistance
85.18covers speech language pathology and related services, including specialized maintenance
85.19therapy. Authorization by the commissioner is required to provide medically necessary
85.20services to a recipient beyond any of the following onetime service thresholds, or a
85.21lower threshold where one has been established by the commissioner for a specified
85.22service: (1) 50 treatment sessions with any combination of approved CPT codes; and
85.23(2) one evaluation. Medical assistance covers audiology services and related services.
85.24Services provided by a person who has been issued a temporary registration under section
85.25148.5161 shall be reimbursed at the same rate as services performed by a speech language
85.26pathologist or audiologist as long as the requirements of section 148.5161, subdivision
85.273
, are met.
85.28EFFECTIVE DATE.This section is effective July 1, 2010, for services provided
85.29through fee-for-service, and January 1, 2011, for services provided through managed care.

85.30    Sec. 16. Minnesota Statutes 2008, section 256B.0625, is amended by adding a
85.31subdivision to read:
86.1    Subd. 8d. Chiropractic services. Payment for chiropractic services is limited to
86.2one annual evaluation and 12 visits per year unless prior authorization of a greater number
86.3of visits is obtained.

86.4    Sec. 17. Minnesota Statutes 2009 Supplement, section 256B.0625, subdivision 13h,
86.5is amended to read:
86.6    Subd. 13h. Medication therapy management services. (a) Medical assistance
86.7and general assistance medical care cover medication therapy management services for
86.8a recipient taking four or more prescriptions to treat or prevent two or more chronic
86.9medical conditions, or a recipient with a drug therapy problem that is identified or prior
86.10authorized by the commissioner that has resulted or is likely to result in significant
86.11nondrug program costs. The commissioner may cover medical therapy management
86.12services under MinnesotaCare if the commissioner determines this is cost-effective. For
86.13purposes of this subdivision, "medication therapy management" means the provision
86.14of the following pharmaceutical care services by a licensed pharmacist to optimize the
86.15therapeutic outcomes of the patient's medications:
86.16    (1) performing or obtaining necessary assessments of the patient's health status;
86.17    (2) formulating a medication treatment plan;
86.18    (3) monitoring and evaluating the patient's response to therapy, including safety
86.19and effectiveness;
86.20    (4) performing a comprehensive medication review to identify, resolve, and prevent
86.21medication-related problems, including adverse drug events;
86.22    (5) documenting the care delivered and communicating essential information to
86.23the patient's other primary care providers;
86.24    (6) providing verbal education and training designed to enhance patient
86.25understanding and appropriate use of the patient's medications;
86.26    (7) providing information, support services, and resources designed to enhance
86.27patient adherence with the patient's therapeutic regimens; and
86.28    (8) coordinating and integrating medication therapy management services within the
86.29broader health care management services being provided to the patient.
86.30Nothing in this subdivision shall be construed to expand or modify the scope of practice of
86.31the pharmacist as defined in section 151.01, subdivision 27.
86.32    (b) To be eligible for reimbursement for services under this subdivision, a pharmacist
86.33must meet the following requirements:
86.34    (1) have a valid license issued under chapter 151;
87.1    (2) have graduated from an accredited college of pharmacy on or after May 1996, or
87.2completed a structured and comprehensive education program approved by the Board of
87.3Pharmacy and the American Council of Pharmaceutical Education for the provision and
87.4documentation of pharmaceutical care management services that has both clinical and
87.5didactic elements;
87.6    (3) be practicing in an ambulatory care setting as part of a multidisciplinary team or
87.7have developed a structured patient care process that is offered in a private or semiprivate
87.8patient care area that is separate from the commercial business that also occurs in the
87.9setting, or in home settings, excluding long-term care and group homes, if the service is
87.10ordered by the provider-directed care coordination team; and
87.11    (4) make use of an electronic patient record system that meets state standards.
87.12    (c) For purposes of reimbursement for medication therapy management services,
87.13the commissioner may enroll individual pharmacists as medical assistance and general
87.14assistance medical care providers. The commissioner may also establish contact
87.15requirements between the pharmacist and recipient, including limiting the number of
87.16reimbursable consultations per recipient.
87.17(d) If there are no pharmacists who meet the requirements of paragraph (b) practicing
87.18within a reasonable geographic distance of the patient, a pharmacist who meets the
87.19requirements may provide the services via two-way interactive video. Reimbursement
87.20shall be at the same rates and under the same conditions that would otherwise apply to
87.21the services provided. To qualify for reimbursement under this paragraph, the pharmacist
87.22providing the services must meet the requirements of paragraph (b), and must be located
87.23within an ambulatory care setting approved by the commissioner. The patient must also
87.24be located within an ambulatory care setting approved by the commissioner. Services
87.25provided under this paragraph may not be transmitted into the patient's residence.
87.26(e) The commissioner shall establish a pilot project for an intensive medication
87.27therapy management program for patients identified by the commissioner with multiple
87.28chronic conditions and a high number of medications who are at high risk of preventable
87.29hospitalizations, emergency room use, medication complications, and suboptimal
87.30treatment outcomes due to medication-related problems. For purposes of the pilot
87.31project, medication therapy management services may be provided in a patient's home
87.32or community setting, in addition to other authorized settings. The commissioner may
87.33waive existing payment policies and establish special payment rates for the pilot project.
87.34The pilot project must be designed to produce a net savings to the state compared to the
87.35estimated costs that would otherwise be incurred for similar patients without the program.
87.36The pilot project must begin by January 1, 2010, and end June 30, 2012.
88.1EFFECTIVE DATE.This section is effective July 1, 2010.

88.2    Sec. 18. Minnesota Statutes 2008, section 256B.0625, subdivision 18a, is amended to
88.3read:
88.4    Subd. 18a. Access to medical services. (a) Medical assistance reimbursement for
88.5meals for persons traveling to receive medical care may not exceed $5.50 for breakfast,
88.6$6.50 for lunch, or $8 for dinner.
88.7    (b) Medical assistance reimbursement for lodging for persons traveling to receive
88.8medical care may not exceed $50 per day unless prior authorized by the local agency.
88.9    (c) Medical assistance direct mileage reimbursement to the eligible person or the
88.10eligible person's driver may not exceed 20 cents per mile.
88.11    (d) Regardless of the number of employees that an enrolled health care provider
88.12may have, medical assistance covers sign and oral language interpreter services when
88.13provided by an enrolled health care provider during the course of providing a direct,
88.14person-to-person covered health care service to an enrolled recipient with limited English
88.15proficiency or who has a hearing loss and uses interpreting services. Coverage for
88.16face-to-face oral language interpreter services shall be provided only if the oral language
88.17interpreter used by the enrolled health care provider is listed in the registry or roster
88.18established under section 144.058.
88.19EFFECTIVE DATE.This section is effective January 1, 2011.

88.20    Sec. 19. Minnesota Statutes 2008, section 256B.0625, subdivision 31, is amended to
88.21read:
88.22    Subd. 31. Medical supplies and equipment. Medical assistance covers medical
88.23supplies and equipment. Separate payment outside of the facility's payment rate shall
88.24be made for wheelchairs and wheelchair accessories for recipients who are residents
88.25of intermediate care facilities for the developmentally disabled. Reimbursement for
88.26wheelchairs and wheelchair accessories for ICF/MR recipients shall be subject to the same
88.27conditions and limitations as coverage for recipients who do not reside in institutions. A
88.28wheelchair purchased outside of the facility's payment rate is the property of the recipient.
88.29The commissioner may set reimbursement rates for specified categories of medical
88.30supplies at levels below the Medicare payment rate.

88.31    Sec. 20. Minnesota Statutes 2008, section 256B.0625, is amended by adding a
88.32subdivision to read:
89.1    Subd. 54. Services provided in birth centers. (a) Medical assistance covers
89.2services provided in a licensed birth center by a licensed health professional if the service
89.3would otherwise be covered if provided in a hospital.
89.4(b) Facility services provided by a birth center shall be paid at the lower of billed
89.5charges or 70 percent of the statewide average for a facility payment rate made to a
89.6hospital for an uncomplicated vaginal birth as determined using the most recent calendar
89.7year for which complete claims data is available. If a recipient is transported from a birth
89.8center to a hospital prior to the delivery, the payment for facility services to the birth center
89.9shall be the lower of billed charges or 15 percent of the average facility payment made to a
89.10hospital for the services provided for an uncomplicated vaginal delivery as determined
89.11using the most recent calendar year for which complete claims data is available.
89.12(c) Nursery care services provided by a birth center shall be paid the lower of billed
89.13charges or 70 percent of the statewide average for a payment rate paid to a hospital for
89.14nursery care as determined by using the most recent calendar year for which complete
89.15claims data is available.
89.16(d) Professional services provided by traditional midwives licensed under chapter
89.17147D shall be paid at the lower of billed charges or 100 percent of the rate paid to a
89.18physician performing the same services. If a recipient is transported from a birth center to
89.19a hospital prior to the delivery, a licensed traditional midwife who does not perform the
89.20delivery may not bill for any delivery services. Services are not covered if provided by an
89.21unlicensed traditional midwife.
89.22(e) The commissioner shall apply for any necessary waivers from the Centers for
89.23Medicare and Medicaid Services to allow birth centers and birth center providers to be
89.24reimbursed.
89.25EFFECTIVE DATE.This section is effective July 1, 2010.

89.26    Sec. 21. Minnesota Statutes 2008, section 256B.0631, subdivision 1, is amended to
89.27read:
89.28    Subdivision 1. Co-payments. (a) Except as provided in subdivision 2, the medical
89.29assistance benefit plan shall include the following co-payments for all recipients, effective
89.30for services provided on or after October 1, 2003, and before January 1, 2009:
89.31    (1) $3 per nonpreventive visit. For purposes of this subdivision, a visit means an
89.32episode of service which is required because of a recipient's symptoms, diagnosis, or
89.33established illness, and which is delivered in an ambulatory setting by a physician or
89.34physician ancillary, chiropractor, podiatrist, nurse midwife, advanced practice nurse,
89.35audiologist, optician, or optometrist;
90.1    (2) $3 for eyeglasses;
90.2    (3) $6 for nonemergency visits to a hospital-based emergency room; and
90.3    (4) $3 per brand-name drug prescription and $1 per generic drug prescription,
90.4subject to a $12 per month maximum for prescription drug co-payments. No co-payments
90.5shall apply to antipsychotic drugs when used for the treatment of mental illness.
90.6    (b) Except as provided in subdivision 2, the medical assistance benefit plan shall
90.7include the following co-payments for all recipients, effective for services provided on
90.8or after January 1, 2009:
90.9    (1) $6 $3.50 for nonemergency visits to a hospital-based emergency room;
90.10    (2) $3 per brand-name drug prescription and $1 per generic drug prescription,
90.11subject to a $7 per month maximum for prescription drug co-payments. No co-payments
90.12shall apply to antipsychotic drugs when used for the treatment of mental illness; and
90.13    (3) for individuals identified by the commissioner with income at or below 100
90.14percent of the federal poverty guidelines, total monthly co-payments must not exceed five
90.15percent of family income. For purposes of this paragraph, family income is the total
90.16earned and unearned income of the individual and the individual's spouse, if the spouse is
90.17enrolled in medical assistance and also subject to the five percent limit on co-payments.
90.18    (c) Recipients of medical assistance are responsible for all co-payments in this
90.19subdivision.
90.20EFFECTIVE DATE.This section is effective July 1, 2010.

90.21    Sec. 22. Minnesota Statutes 2008, section 256B.0631, subdivision 3, is amended to
90.22read:
90.23    Subd. 3. Collection. (a) The medical assistance reimbursement to the provider
90.24shall be reduced by the amount of the co-payment, except that reimbursements shall
90.25not be reduced:
90.26    (1) once a recipient has reached the $12 per month maximum or the $7 per month
90.27maximum effective January 1, 2009, for prescription drug co-payments; or
90.28    (2) for a recipient identified by the commissioner under 100 percent of the federal
90.29poverty guidelines who has met their monthly five percent co-payment limit.
90.30    (b) The provider collects the co-payment from the recipient. Providers may not deny
90.31services to recipients who are unable to pay the co-payment.
90.32    (c) Medical assistance reimbursement to fee-for-service providers and payments to
90.33managed care plans shall not be increased as a result of the removal of the co-payments
90.34effective on or after January 1, 2009.

91.1    Sec. 23. Minnesota Statutes 2008, section 256B.0644, as amended by Laws 2010,
91.2chapter 200, article 1, section 6, is amended to read:
91.3256B.0644 REIMBURSEMENT UNDER OTHER STATE HEALTH CARE
91.4PROGRAMS.
91.5    (a) A vendor of medical care, as defined in section 256B.02, subdivision 7, and a
91.6health maintenance organization, as defined in chapter 62D, must participate as a provider
91.7or contractor in the medical assistance program, general assistance medical care program,
91.8and MinnesotaCare as a condition of participating as a provider in health insurance plans
91.9and programs or contractor for state employees established under section 43A.18, the
91.10public employees insurance program under section 43A.316, for health insurance plans
91.11offered to local statutory or home rule charter city, county, and school district employees,
91.12the workers' compensation system under section 176.135, and insurance plans provided
91.13through the Minnesota Comprehensive Health Association under sections 62E.01 to
91.1462E.19 . The limitations on insurance plans offered to local government employees shall
91.15not be applicable in geographic areas where provider participation is limited by managed
91.16care contracts with the Department of Human Services.
91.17    (b) For providers other than health maintenance organizations, participation in the
91.18medical assistance program means that:
91.19     (1) the provider accepts new medical assistance, general assistance medical care,
91.20and MinnesotaCare patients;
91.21    (2) for providers other than dental service providers, at least 20 percent of the
91.22provider's patients are covered by medical assistance, general assistance medical care,
91.23and MinnesotaCare as their primary source of coverage; or
91.24    (3) for dental service providers, at least ten percent of the provider's patients are
91.25covered by medical assistance, general assistance medical care, and MinnesotaCare as
91.26their primary source of coverage, or the provider accepts new medical assistance and
91.27MinnesotaCare patients who are children with special health care needs. For purposes
91.28of this section, "children with special health care needs" means children up to age 18
91.29who: (i) require health and related services beyond that required by children generally;
91.30and (ii) have or are at risk for a chronic physical, developmental, behavioral, or emotional
91.31condition, including: bleeding and coagulation disorders; immunodeficiency disorders;
91.32cancer; endocrinopathy; developmental disabilities; epilepsy, cerebral palsy, and other
91.33neurological diseases; visual impairment or deafness; Down syndrome and other genetic
91.34disorders; autism; fetal alcohol syndrome; and other conditions designated by the
91.35commissioner after consultation with representatives of pediatric dental providers and
91.36consumers.
92.1    (c) Patients seen on a volunteer basis by the provider at a location other than
92.2the provider's usual place of practice may be considered in meeting the participation
92.3requirement in this section. The commissioner shall establish participation requirements
92.4for health maintenance organizations. The commissioner shall provide lists of participating
92.5medical assistance providers on a quarterly basis to the commissioner of management and
92.6budget, the commissioner of labor and industry, and the commissioner of commerce. Each
92.7of the commissioners shall develop and implement procedures to exclude as participating
92.8providers in the program or programs under their jurisdiction those providers who do
92.9not participate in the medical assistance program. The commissioner of management
92.10and budget shall implement this section through contracts with participating health and
92.11dental carriers.
92.12(d) Any hospital or other provider that is participating in a coordinated care
92.13delivery system under section 256D.031, subdivision 6, or receives payments from the
92.14uncompensated care pool under section 256D.031, subdivision 8, shall not refuse to
92.15provide services to any patient enrolled in general assistance medical care regardless of
92.16the availability or the amount of payment.
92.17    (e) For purposes of paragraphs (a) and (b), participation in the general assistance
92.18medical care program applies only to pharmacy providers.
92.19EFFECTIVE DATE.This section is effective July 1, 2010.

92.20    Sec. 24. [256B.0755] HEALTH CARE DELIVERY SYSTEMS
92.21DEMONSTRATION PROJECT.
92.22    Subdivision 1. Implementation. (a) The commissioner shall develop and
92.23authorize a demonstration project to test alternative and innovative health care delivery
92.24systems, including accountable care organizations that provide services to a specified
92.25patient population for an agreed upon total cost of care or risk-gain sharing payment
92.26arrangement. The commissioner shall develop a request for proposals for participation in
92.27the demonstration project in consultation with hospitals, primary care providers, health
92.28plans, and other key stakeholders.
92.29(b) In developing the request for proposals, the commissioner shall:
92.30(1) establish uniform statewide methods of forecasting utilization and cost of care
92.31for the appropriate Minnesota public program populations, to be used by the commissioner
92.32for the health care delivery system projects;
92.33(2) identify key indicators of quality, access, patient satisfaction, and other
92.34performance indicators that will be measured, in addition to indicators for measuring
92.35cost savings;
93.1(3) allow maximum flexibility to encourage innovation and variation so that a variety
93.2of provider collaborations are able to become health care delivery systems;
93.3(4) encourage and authorize different levels and types of financial risk;
93.4(5) encourage and authorize projects representing a wide variety of geographic
93.5locations, patient populations, provider relationships, and care coordination models;
93.6(6) encourage projects that involve close partnerships between the health care
93.7delivery system and counties and nonprofit agencies that provide services to patients
93.8enrolled with the health care delivery system, including social services, public health,
93.9mental health, community-based services, and continuing care;
93.10(7) encourage projects established by community hospitals, clinics, and other
93.11providers in rural communities;
93.12(8) identify required covered services for a total cost of care model or services
93.13considered in whole or partially in an analysis of utilization for a risk/gain sharing model;
93.14(9) establish a mechanism to monitor enrollment;
93.15(10) establish quality standards for the delivery system demonstrations; and
93.16(11) encourage participation of privately insured population so as to create sufficient
93.17alignment in demonstration systems.
93.18(c) To be eligible to participate in the demonstration project, a health care delivery
93.19system must:
93.20(1) provide required covered services and care coordination to recipients enrolled in
93.21the health care delivery system;
93.22(2) establish a process to monitor enrollment and ensure the quality of care provided;
93.23(3) in cooperation with counties and community social service agencies, coordinate
93.24the delivery of health care services with existing social services programs;
93.25(4) provide a system for advocacy and consumer protection; and
93.26(5) adopt innovative and cost-effective methods of care delivery and coordination,
93.27which may include the use of allied health professionals, telemedicine, patient educators,
93.28care coordinators, and community health workers.
93.29(d) A health care delivery system demonstration may be formed by the following
93.30groups of providers of services and suppliers if they have established a mechanism for
93.31shared governance:
93.32(1) professionals in group practice arrangements;
93.33(2) networks of individual practices of professionals;
93.34(3) partnerships or joint venture arrangements between hospitals and health care
93.35professionals;
93.36(4) hospitals employing professionals; and
94.1(5) other groups of providers of services and suppliers as the commissioner
94.2determines appropriate.
94.3A managed care plan or county-based purchasing plan may participate in this
94.4demonstration in collaboration with one or more of the entities listed in clauses (1) to (5).
94.5A health care delivery system may contract with a managed care plan or a
94.6county-based purchasing plan to provide administrative services, including the
94.7administration of a payment system using the payment methods established by the
94.8commissioner for health care delivery systems.
94.9(e) The commissioner may require a health care delivery system to enter into
94.10additional third-party contractual relationships for the assessment of risk and purchase of
94.11stop loss insurance or another form of insurance risk management related to the delivery
94.12of care described in paragraph (c).
94.13    Subd. 2. Enrollment. (a) Individuals eligible for medical assistance or
94.14MinnesotaCare shall be eligible for enrollment in a health care delivery system.
94.15(b) Eligible applicants and recipients may enroll in a health care delivery system if
94.16a system serves the county in which the applicant or recipient resides. If more than one
94.17health care delivery system serves a county, the applicant or recipient shall be allowed
94.18to choose among the delivery systems. The commissioner may assign an applicant or
94.19recipient to a health care delivery system if a health care delivery system is available and
94.20no choice has been made by the applicant or recipient.
94.21    Subd. 3. Accountability. (a) Health care delivery systems must accept responsibility
94.22for the quality of care based on standards established under subdivision 1, paragraph (b),
94.23clause (10), and the cost of care or utilization of services provided to its enrollees under
94.24subdivision 1, paragraph (b), clause (1).
94.25(b) A health care delivery system may contract and coordinate with providers and
94.26clinics for the delivery of services and shall contract with community health clinics,
94.27federally qualified health centers, community mental health centers or programs, and rural
94.28clinics to the extent practicable.
94.29    Subd. 4. Payment system. (a) In developing a payment system for health care
94.30delivery systems, the commissioner shall establish a total cost of care benchmark or a
94.31risk/gain sharing payment model to be paid for services provided to the recipients enrolled
94.32in a health care delivery system.
94.33(b) The payment system may include incentive payments to health care delivery
94.34systems that meet or exceed annual quality and performance targets realized through
94.35the coordination of care.
95.1(c) An amount equal to the savings realized to the general fund as a result of the
95.2demonstration project shall be transferred each fiscal year to the health care access fund.
95.3    Subd. 5. Outpatient prescription drug coverage. Outpatient prescription drug
95.4coverage may be provided through accountable care organizations only if the delivery
95.5method qualifies for federal prescription drug rebates.
95.6    Subd. 6. Federal approval. The commissioner shall apply for any federal waivers
95.7or other federal approval required to implement this section. The commissioner shall
95.8also apply for any applicable grant or demonstration under the Patient Protection and
95.9Affordable Health Care Act, Public Law 111-148, or the Health Care and Education
95.10Reconciliation Act of 2010, Public Law 111-152, that would further the purposes of or
95.11assist in the establishment of accountable care organizations.
95.12    Subd. 7. Expansion. The commissioner shall explore the expansion of the
95.13demonstration project to include additional medical assistance and MinnesotaCare
95.14enrollees, and shall seek participation of Medicare in demonstration projects. The
95.15commissioner shall seek to include participation of privately insured persons and Medicare
95.16recipients in the health care delivery demonstration.
95.17EFFECTIVE DATE.This section is effective July 1, 2011.

95.18    Sec. 25. [256B.0756] HENNEPIN AND RAMSEY COUNTIES PILOT
95.19PROGRAM.
95.20(a) The commissioner, upon federal approval of a new waiver request or amendment
95.21of an existing demonstration, may establish a pilot program in Hennepin County or
95.22Ramsey County, or both, to test alternative and innovative integrated health care delivery
95.23networks.
95.24(b) Individuals eligible for the pilot program shall be individuals who are eligible for
95.25medical assistance under Minnesota Statutes, section 256B.055, subdivision 15, and who
95.26reside in Hennepin County or Ramsey County.
95.27(c) Individuals enrolled in the pilot shall be enrolled in an integrated health care
95.28delivery network in their county of residence. The integrated health care delivery network
95.29in Hennepin County shall be a network, such as an accountable care organization or a
95.30community-based collaborative care network, created by or including Hennepin County
95.31Medical Center. The integrated health care delivery network in Ramsey County shall be
95.32a network, such as an accountable care organization or community-based collaborative
95.33care network, created by or including Regions Hospital.
95.34(d) The commissioner shall cap pilot program enrollment at 7,000 enrollees for
95.35Hennepin County and 3,500 enrollees for Ramsey County.
96.1(e) In developing a payment system for the pilot programs, the commissioner shall
96.2establish a total cost of care for the recipients enrolled in the pilot programs that equals
96.3the cost of care that would otherwise be spent for these enrollees in the prepaid medical
96.4assistance program.
96.5(f) Counties may transfer funds necessary to support the nonfederal share of
96.6payments for integrated health care delivery networks in their county. Such transfers per
96.7county shall not exceed 15 percent of the expected expenses for county enrollees.
96.8(g) The commissioner shall apply to the federal government for, or as appropriate,
96.9cooperate with counties, providers, or other entities that are applying for any applicable
96.10grant or demonstration under the Patient Protection and Affordable Health Care Act, Public
96.11Law 111-148, or the Health Care and Education Reconciliation Act of 2010, Public Law
96.12111-152, that would further the purposes of or assist in the creation of an integrated health
96.13care delivery network for the purposes of this subdivision, including, but not limited to, a
96.14global payment demonstration or the community-based collaborative care network grants.

96.15    Sec. 26. Minnesota Statutes 2009 Supplement, section 256B.69, subdivision 5a,
96.16is amended to read:
96.17    Subd. 5a. Managed care contracts. (a) Managed care contracts under this section
96.18and sections 256L.12 and 256D.03, shall be entered into or renewed on a calendar year
96.19basis beginning January 1, 1996. Managed care contracts which were in effect on June
96.2030, 1995, and set to renew on July 1, 1995, shall be renewed for the period July 1, 1995
96.21through December 31, 1995 at the same terms that were in effect on June 30, 1995. The
96.22commissioner may issue separate contracts with requirements specific to services to
96.23medical assistance recipients age 65 and older.
96.24    (b) A prepaid health plan providing covered health services for eligible persons
96.25pursuant to chapters 256B, 256D, and 256L, is responsible for complying with the terms
96.26of its contract with the commissioner. Requirements applicable to managed care programs
96.27under chapters 256B, 256D, and 256L, established after the effective date of a contract
96.28with the commissioner take effect when the contract is next issued or renewed.
96.29    (c) Effective for services rendered on or after January 1, 2003, the commissioner
96.30shall withhold five percent of managed care plan payments under this section and
96.31county-based purchasing plan's payment rate plan payments under section 256B.692 for
96.32the prepaid medical assistance and general assistance medical care programs pending
96.33completion of performance targets. Each performance target must be quantifiable,
96.34objective, measurable, and reasonably attainable, except in the case of a performance target
96.35based on a federal or state law or rule. Criteria for assessment of each performance target
97.1must be outlined in writing prior to the contract effective date. The managed care plan
97.2must demonstrate, to the commissioner's satisfaction, that the data submitted regarding
97.3attainment of the performance target is accurate. The commissioner shall periodically
97.4change the administrative measures used as performance targets in order to improve plan
97.5performance across a broader range of administrative services. The performance targets
97.6must include measurement of plan efforts to contain spending on health care services and
97.7administrative activities. The commissioner may adopt plan-specific performance targets
97.8that take into account factors affecting only one plan, including characteristics of the
97.9plan's enrollee population. The withheld funds must be returned no sooner than July of the
97.10following year if performance targets in the contract are achieved. The commissioner may
97.11exclude special demonstration projects under subdivision 23.
97.12    (d) Effective for services rendered on or after January 1, 2009, through December 31,
97.132009, the commissioner shall withhold three percent of managed care plan payments under
97.14this section and county-based purchasing plan payments under section 256B.692 for the
97.15prepaid medical assistance and general assistance medical care programs. The withheld
97.16funds must be returned no sooner than July 1 and no later than July 31 of the following
97.17year. The commissioner may exclude special demonstration projects under subdivision 23.
97.18    The return of the withhold under this paragraph is not subject to the requirements of
97.19paragraph (c).
97.20(e) Effective for services provided on or after January 1, 2010, the commissioner
97.21shall require that managed care plans use the assessment and authorization processes,
97.22forms, timelines, standards, documentation, and data reporting requirements, protocols,
97.23billing processes, and policies consistent with medical assistance fee-for-service or the
97.24Department of Human Services contract requirements consistent with medical assistance
97.25fee-for-service or the Department of Human Services contract requirements for all
97.26personal care assistance services under section 256B.0659.
97.27(f) Effective for services rendered on or after January 1, 2010, through December
97.2831, 2010, the commissioner shall withhold 3.5 percent of managed care plan payments
97.29under this section and county-based purchasing plan payments under section 256B.692
97.30for the prepaid medical assistance program. The withheld funds must be returned no
97.31sooner than July 1 and no later than July 31 of the following year. The commissioner may
97.32exclude special demonstration projects under subdivision 23.
97.33(g) Effective for services rendered on or after January 1, 2011, the commissioner
97.34shall include as part of the performance targets described in paragraph (c) a reduction in
97.35the health plan's emergency room utilization rate for state health care program enrollees
98.1by a measurable rate of five percent from the plan's utilization rate for state health care
98.2program enrollees for the previous calendar year.
98.3The withheld funds must be returned no sooner than July 1 and no later than July 31
98.4of the following calendar year if the managed care plan demonstrates to the satisfaction of
98.5the commissioner that a reduction in the utilization rate was achieved.
98.6The withhold described in this paragraph shall continue for each consecutive
98.7contract period until the plan's emergency room utilization rate for state health care
98.8program enrollees is reduced by 25 percent of the plan's emergency room utilization
98.9rate for state health care program enrollees for calendar year 2009. Hospitals shall
98.10cooperate with the health plans in meeting this performance target and shall accept
98.11payment withholds that may be returned to the hospitals if the performance target is
98.12achieved. The commissioner shall structure the withhold so that the commissioner returns
98.13a portion of the withheld funds in amounts commensurate with achieved reductions in
98.14utilization less than the targeted amount. The withhold in this paragraph does not apply to
98.15county-based purchasing plans.
98.16(g) (h) Effective for services rendered on or after January 1, 2011, through December
98.1731, 2011, the commissioner shall withhold four percent of managed care plan payments
98.18under this section and county-based purchasing plan payments under section 256B.692
98.19for the prepaid medical assistance program. The withheld funds must be returned no
98.20sooner than July 1 and no later than July 31 of the following year. The commissioner may
98.21exclude special demonstration projects under subdivision 23.
98.22(h) (i) Effective for services rendered on or after January 1, 2012, through December
98.2331, 2012, the commissioner shall withhold 4.5 percent of managed care plan payments
98.24under this section and county-based purchasing plan payments under section 256B.692
98.25for the prepaid medical assistance program. The withheld funds must be returned no
98.26sooner than July 1 and no later than July 31 of the following year. The commissioner may
98.27exclude special demonstration projects under subdivision 23.
98.28(i) (j) Effective for services rendered on or after January 1, 2013, through December
98.2931, 2013, the commissioner shall withhold 4.5 percent of managed care plan payments
98.30under this section and county-based purchasing plan payments under section 256B.692
98.31for the prepaid medical assistance program. The withheld funds must be returned no
98.32sooner than July 1 and no later than July 31 of the following year. The commissioner may
98.33exclude special demonstration projects under subdivision 23.
98.34(j) (k) Effective for services rendered on or after January 1, 2014, the commissioner
98.35shall withhold three percent of managed care plan payments under this section and
98.36county-based purchasing plan payments under section 256B.692 for the prepaid medical
99.1assistance and prepaid general assistance medical care programs. The withheld funds must
99.2be returned no sooner than July 1 and no later than July 31 of the following year. The
99.3commissioner may exclude special demonstration projects under subdivision 23.
99.4(k) (l) A managed care plan or a county-based purchasing plan under section
99.5256B.692 may include as admitted assets under section 62D.044 any amount withheld
99.6under this section that is reasonably expected to be returned.
99.7(l) (m) Contracts between the commissioner and a prepaid health plan are exempt
99.8from the set-aside and preference provisions of section 16C.16, subdivisions 6, paragraph
99.9(a), and 7.
99.10EFFECTIVE DATE.This section is effective July 1, 2010.

99.11    Sec. 27. Minnesota Statutes 2008, section 256B.69, is amended by adding a
99.12subdivision to read:
99.13    Subd. 5k. Rate modifications. For services rendered on or after October 1, 2010,
99.14the total payment made to managed care plans and county-based purchasing plans under
99.15the medical assistance program shall be increased by 0.88 percent.
99.16EFFECTIVE DATE.This section is effective October 1, 2010.

99.17    Sec. 28. Minnesota Statutes 2008, section 256B.69, is amended by adding a
99.18subdivision to read:
99.19    Subd. 5l. Actuarial soundness. (a) Rates paid to managed care plans and
99.20county-based purchasing plans shall satisfy requirements for actuarial soundness. In order
99.21to comply with this subdivision, the rates must:
99.22(1) be neither inadequate nor excessive;
99.23(2) satisfy federal requirements;
99.24(3) in the case of contracts with incentive arrangements, not exceed 105 percent of
99.25the approved capitation payments attributable to the enrollees or services covered by
99.26the incentive arrangement;
99.27(4) be developed in accordance with generally accepted actuarial principles and
99.28practices;
99.29(5) be appropriate for the populations to be covered and the services to be furnished
99.30under the contract; and
99.31(6) be certified as meeting the requirements of federal regulations by actuaries who
99.32meet the qualification standards established by the American Academy of Actuaries and
99.33follow the practice standards established by the Actuarial Standards Board.
100.1(b) Each year within 30 days of the establishment of plan rates, the commissioner
100.2shall report to the chairs and ranking minority members of the senate Health and Human
100.3Services Budget Division and the house of representatives Health Care and Human
100.4Services Finance Division to certify how each of these conditions have been met by
100.5the new payment rates.

100.6    Sec. 29. Minnesota Statutes 2008, section 256B.69, subdivision 20, as amended by
100.7Laws 2010, chapter 200, article 1, section 10, is amended to read:
100.8    Subd. 20. Ombudsperson. (a) The commissioner shall designate an ombudsperson
100.9to advocate for persons required to enroll in prepaid health plans under this section. The
100.10ombudsperson shall advocate for recipients enrolled in prepaid health plans through
100.11complaint and appeal procedures and ensure that necessary medical services are provided
100.12either by the prepaid health plan directly or by referral to appropriate social services. At
100.13the time of enrollment in a prepaid health plan, the local agency shall inform recipients
100.14about the ombudsperson program and their right to a resolution of a complaint by the
100.15prepaid health plan if they experience a problem with the plan or its providers.
100.16    (b) The commissioner shall designate an ombudsperson to advocate for persons
100.17enrolled in a care coordination delivery system under section 256D.031. The
100.18ombudsperson shall advocate for recipients enrolled in a care coordination delivery
100.19system through the state appeal process and assist enrollees in accessing necessary
100.20medical services through the care coordination delivery systems directly or by referral to
100.21appropriate services. At the time of enrollment in a care coordination delivery system, the
100.22local agency shall inform recipients about the ombudsperson program.

100.23    Sec. 30. Minnesota Statutes 2008, section 256B.69, subdivision 27, is amended to read:
100.24    Subd. 27. Information for persons with limited English-language proficiency.
100.25    Managed care contracts entered into under this section and sections 256D.03, subdivision
100.264
, paragraph (c), and section 256L.12 must require demonstration providers to provide
100.27language assistance to enrollees that ensures meaningful access to its programs and
100.28services according to Title VI of the Civil Rights Act and federal regulations adopted
100.29under that law or any guidance from the United States Department of Health and Human
100.30Services.
100.31EFFECTIVE DATE.This section is effective retroactively from April 1, 2010.

100.32    Sec. 31. Minnesota Statutes 2008, section 256B.692, subdivision 1, is amended to read:
101.1    Subdivision 1. In general. County boards or groups of county boards may elect
101.2to purchase or provide health care services on behalf of persons eligible for medical
101.3assistance and general assistance medical care who would otherwise be required to or may
101.4elect to participate in the prepaid medical assistance or prepaid general assistance medical
101.5care programs according to sections section 256B.69 and 256D.03. Counties that elect to
101.6purchase or provide health care under this section must provide all services included in
101.7prepaid managed care programs according to sections section 256B.69, subdivisions 1
101.8to 22
, and 256D.03. County-based purchasing under this section is governed by section
101.9256B.69 , unless otherwise provided for under this section.
101.10EFFECTIVE DATE.This section is effective retroactively from April 1, 2010.

101.11    Sec. 32. Minnesota Statutes 2009 Supplement, section 256B.76, subdivision 1, is
101.12amended to read:
101.13    Subdivision 1. Physician reimbursement. (a) Effective for services rendered on
101.14or after October 1, 1992, the commissioner shall make payments for physician services
101.15as follows:
101.16    (1) payment for level one Centers for Medicare and Medicaid Services' common
101.17procedural coding system codes titled "office and other outpatient services," "preventive
101.18medicine new and established patient," "delivery, antepartum, and postpartum care,"
101.19"critical care," cesarean delivery and pharmacologic management provided to psychiatric
101.20patients, and level three codes for enhanced services for prenatal high risk, shall be paid
101.21at the lower of (i) submitted charges, or (ii) 25 percent above the rate in effect on June
101.2230, 1992. If the rate on any procedure code within these categories is different than the
101.23rate that would have been paid under the methodology in section 256B.74, subdivision 2,
101.24then the larger rate shall be paid;
101.25    (2) payments for all other services shall be paid at the lower of (i) submitted charges,
101.26or (ii) 15.4 percent above the rate in effect on June 30, 1992; and
101.27    (3) all physician rates shall be converted from the 50th percentile of 1982 to the 50th
101.28percentile of 1989, less the percent in aggregate necessary to equal the above increases
101.29except that payment rates for home health agency services shall be the rates in effect
101.30on September 30, 1992.
101.31    (b) Effective for services rendered on or after January 1, 2000, payment rates for
101.32physician and professional services shall be increased by three percent over the rates
101.33in effect on December 31, 1999, except for home health agency and family planning
101.34agency services. The increases in this paragraph shall be implemented January 1, 2000,
101.35for managed care.
102.1(c) Effective for services rendered on or after July 1, 2009, payment rates for
102.2physician and professional services shall be reduced by five percent over the rates in effect
102.3on June 30, 2009. This reduction does and the reductions in paragraph (d) do not apply
102.4to office or other outpatient visits, preventive medicine visits and family planning visits
102.5billed by physicians, advanced practice nurses, or physician assistants in a family planning
102.6agency or in one of the following primary care practices: general practice, general internal
102.7medicine, general pediatrics, general geriatrics, and family medicine. This reduction does
102.8and the reductions in paragraph (d) do not apply to federally qualified health centers,
102.9rural health centers, and Indian health services. Effective October 1, 2009, payments
102.10made to managed care plans and county-based purchasing plans under sections 256B.69,
102.11256B.692 , and 256L.12 shall reflect the payment reduction described in this paragraph.
102.12(d) Effective for services rendered on or after July 1, 2010, payment rates for
102.13physician and professional services shall be reduced an additional seven percent over
102.14the five percent reduction in rates described in paragraph (c). This additional reduction
102.15does not apply to physical therapy services, occupational therapy services, and speech
102.16pathology and related services provided on or after July 1, 2010. This additional reduction
102.17does not apply to physician services billed by a psychiatrist or an advanced practice nurse
102.18with a specialty in mental health. Effective October 1, 2010, payments made to managed
102.19care plans and county-based purchasing plans under sections 256B.69, 256B.692, and
102.20256L.12 shall reflect the payment reduction described in this paragraph.
102.21(e) Effective for services rendered on or after October 1, 2010, payment rates for
102.22physician and professional services billed by physicians employed by and clinics owned
102.23by a nonprofit health maintenance organization shall be increased by 14 percent. Effective
102.24October 1, 2010, payments made to managed care plans and county-based purchasing
102.25plans under sections 256B.69, 256B.692, and 256L.12, shall reflect the payment increase
102.26described in this paragraph.
102.27EFFECTIVE DATE.This section is effective July 1, 2010.

102.28    Sec. 33. Minnesota Statutes 2008, section 256B.76, subdivision 2, is amended to read:
102.29    Subd. 2. Dental reimbursement. (a) Effective for services rendered on or after
102.30October 1, 1992, the commissioner shall make payments for dental services as follows:
102.31    (1) dental services shall be paid at the lower of (i) submitted charges, or (ii) 25
102.32percent above the rate in effect on June 30, 1992; and
102.33    (2) dental rates shall be converted from the 50th percentile of 1982 to the 50th
102.34percentile of 1989, less the percent in aggregate necessary to equal the above increases.
103.1    (b) Beginning October 1, 1999, the payment for tooth sealants and fluoride treatments
103.2shall be the lower of (1) submitted charge, or (2) 80 percent of median 1997 charges.
103.3    (c) Effective for services rendered on or after January 1, 2000, payment rates for
103.4dental services shall be increased by three percent over the rates in effect on December
103.531, 1999.
103.6    (d) Effective for services provided on or after January 1, 2002, payment for
103.7diagnostic examinations and dental x-rays provided to children under age 21 shall be the
103.8lower of (1) the submitted charge, or (2) 85 percent of median 1999 charges.
103.9    (e) The increases listed in paragraphs (b) and (c) shall be implemented January 1,
103.102000, for managed care.
103.11(f) Effective for dental services rendered on or after October 1, 2010, by a
103.12state-operated dental clinic, payment shall be paid on a reasonable cost basis that is based
103.13on the Medicare principles of reimbursement. This payment shall be effective for services
103.14rendered on or after January 1, 2011, to recipients enrolled in managed care plans or
103.15county-based purchasing plans.
103.16(g) Beginning in fiscal year 2011, if the payments to state-operated dental clinics
103.17in paragraph (f), including state and federal shares, are less than $1,850,000 per fiscal
103.18year, a supplemental state payment equal to the difference between the total payments
103.19in paragraph (f) and $1,850,000 shall be paid from the general fund to state-operated
103.20services for the operation of the dental clinics.
103.21(h) If the cost-based payment system for state-operated dental clinics described in
103.22paragraph (f) does not receive federal approval, then state-operated dental clinics shall be
103.23designated as critical access dental providers under subdivision 4, paragraph (b), and shall
103.24receive the critical access dental reimbursement rate as described under subdivision 4,
103.25paragraph (a).
103.26EFFECTIVE DATE.This section is effective July 1, 2010.

103.27    Sec. 34. Minnesota Statutes 2008, section 256B.76, subdivision 4, is amended to read:
103.28    Subd. 4. Critical access dental providers. (a) Effective for dental services
103.29rendered on or after January 1, 2002, the commissioner shall increase reimbursements
103.30to dentists and dental clinics deemed by the commissioner to be critical access dental
103.31providers. For dental services rendered on or after July 1, 2007, the commissioner shall
103.32increase reimbursement by 30 percent above the reimbursement rate that would otherwise
103.33be paid to the critical access dental provider. The commissioner shall pay the health plan
103.34companies managed care plans and county-based purchasing plans in amounts sufficient
103.35to reflect increased reimbursements to critical access dental providers as approved by the
104.1commissioner. In determining which dentists and dental clinics shall be deemed critical
104.2access dental providers, the commissioner shall review:
104.3(b) The commissioner shall designate the following dentists and dental clinics as
104.4critical access dental providers:
104.5    (1) the utilization rate in the service area in which the dentist or dental clinic operates
104.6for dental services to patients covered by medical assistance, general assistance medical
104.7care, or MinnesotaCare as their primary source of coverage nonprofit community clinics
104.8that:
104.9(i) have nonprofit status in accordance with chapter 317A;
104.10(ii) have tax exempt status in accordance with the Internal Revenue Code, section
104.11501(c)(3);
104.12(iii) are established to provide oral health services to patients who are low income,
104.13uninsured, have special needs, and are underserved;
104.14(iv) have professional staff familiar with the cultural background of the clinic's
104.15patients;
104.16(v) charge for services on a sliding fee scale designed to provide assistance to
104.17low-income patients based on current poverty income guidelines and family size;
104.18(vi) do not restrict access or services because of a patient's financial limitations
104.19or public assistance status; and
104.20(vii) have free care available as needed;
104.21    (2) the level of services provided by the dentist or dental clinic to patients covered
104.22by medical assistance, general assistance medical care, or MinnesotaCare as their primary
104.23source of coverage federally qualified health centers, rural health clinics, and public
104.24health clinics; and
104.25    (3) whether the level of services provided by the dentist or dental clinic is critical
104.26to maintaining adequate levels of patient access within the service area county owned
104.27and operated hospital-based dental clinics;
104.28(4) a dental clinic or dental group owned and operated by a nonprofit corporation in
104.29accordance with chapter 317A with more than 10,000 patient encounters per year with
104.30patients who are uninsured or covered by medical assistance, general assistance medical
104.31care, or MinnesotaCare; and
104.32(5) a dental clinic associated with an oral health or dental education program
104.33operated by the University of Minnesota or an institution within the Minnesota State
104.34Colleges and Universities system.
104.35    In the absence of a critical access dental provider in a service area, (c) The
104.36commissioner may designate a dentist or dental clinic as a critical access dental provider
105.1if the dentist or dental clinic is willing to provide care to patients covered by medical
105.2assistance, general assistance medical care, or MinnesotaCare at a level which significantly
105.3increases access to dental care in the service area.
105.4EFFECTIVE DATE.This section is effective July 1, 2010.

105.5    Sec. 35. Minnesota Statutes 2009 Supplement, section 256B.766, is amended to read:
105.6256B.766 REIMBURSEMENT FOR BASIC CARE SERVICES.
105.7(a) Effective for services provided on or after July 1, 2009, total payments for
105.8basic care services, shall be reduced by three percent, prior to third-party liability and
105.9spenddown calculation. Effective July 1, 2010, the commissioner shall classify physical
105.10therapy services, occupational therapy services, and speech language pathology and
105.11related services as basic care services. The reduction in this paragraph shall apply to
105.12physical therapy services, occupational therapy services, and speech language pathology
105.13and related services provided on or after July 1, 2010.
105.14(b) Payments made to managed care plans and county-based purchasing plans shall
105.15be reduced for services provided on or after October 1, 2009, to reflect this the reduction
105.16effective July 1, 2009, and payments made to the plans shall be reduced effective October
105.171, 2010, to reflect the reduction effective July 1, 2010.
105.18(b) (c) This section does not apply to physician and professional services, inpatient
105.19hospital services, family planning services, mental health services, dental services,
105.20prescription drugs, medical transportation, federally qualified health centers, rural health
105.21centers, Indian health services, and Medicare cost-sharing.

105.22    Sec. 36. [256B.767] MEDICARE PAYMENT LIMIT.
105.23(a) Effective for services rendered on or after July 1, 2010, fee-for-service payment
105.24rates for physician and professional services under section 256B.76, subdivision 1, and
105.25basic care services subject to the rate reduction specified in section 256B.766, shall not
105.26exceed the Medicare payment rate for the applicable service, as adjusted for any changes
105.27in Medicare payment rates after July 1, 2010. The commissioner shall implement this
105.28section after any other rate adjustment that is effective July 1, 2010, and shall reduce rates
105.29under this section by first reducing or eliminating provider rate add-ons.
105.30(b) This section does not apply to services provided by advanced practice certified
105.31nurse midwives licensed under chapter 148 or traditional midwives licensed under chapter
105.32147D. Notwithstanding this exemption, medical assistance fee-for-service payment rates
105.33for advanced practice certified nurse midwives and licensed traditional midwives shall
106.1equal and shall not exceed the medical assistance payment rate to physicians for the
106.2applicable service.
106.3(c) This section does not apply to mental health services or physician services billed
106.4by a psychiatrist or an advanced practice registered nurse with a specialty in mental health.

106.5    Sec. 37. Minnesota Statutes 2009 Supplement, section 256D.03, subdivision 3, as
106.6amended by Laws 2010, chapter 200, article 1, section 11, is amended to read:
106.7    Subd. 3. General assistance medical care; eligibility. (a) Beginning April 1, 2010,
106.8the general assistance medical care program shall be administered according to section
106.9256D.031 , unless otherwise stated, except for outpatient prescription drug coverage,
106.10which shall continue to be administered under this section and funded under section
106.11256D.031, subdivision 9 , beginning June 1, 2010.
106.12(b) Outpatient prescription drug coverage under general assistance medical care is
106.13limited to prescription drugs that:
106.14(1) are covered under the medical assistance program as described in section
106.15256B.0625, subdivisions 13 and 13d; and
106.16(2) are provided by manufacturers that have fully executed general assistance
106.17medical care rebate agreements with the commissioner and comply with the agreements.
106.18Outpatient prescription drug coverage under general assistance medical care must conform
106.19to coverage under the medical assistance program according to section 256B.0625,
106.20subdivisions 13
to 13g 13h.
106.21    (c) Outpatient prescription drug coverage does not include drugs administered in a
106.22clinic or other outpatient setting.
106.23(d) For the period beginning April 1, 2010, to June 30, 2010, general assistance
106.24medical care covers the services listed in subdivision 4.
106.25EFFECTIVE DATE.This section is effective retroactively from April 1, 2010.

106.26    Sec. 38. Minnesota Statutes 2008, section 256D.03, subdivision 3b, is amended to read:
106.27    Subd. 3b. Cooperation. (a) General assistance or general assistance medical care
106.28applicants and recipients must cooperate with the state and local agency to identify
106.29potentially liable third-party payors and assist the state in obtaining third-party payments.
106.30Cooperation includes identifying any third party who may be liable for care and services
106.31provided under this chapter to the applicant, recipient, or any other family member for
106.32whom application is made and providing relevant information to assist the state in pursuing
106.33a potentially liable third party. General assistance medical care applicants and recipients
106.34must cooperate by providing information about any group health plan in which they may
107.1be eligible to enroll. They must cooperate with the state and local agency in determining
107.2if the plan is cost-effective. For purposes of this subdivision, coverage provided by the
107.3Minnesota Comprehensive Health Association under chapter 62E shall not be considered
107.4group health plan coverage or cost-effective by the state and local agency. If the plan is
107.5determined cost-effective and the premium will be paid by the state or local agency or is
107.6available at no cost to the person, they must enroll or remain enrolled in the group health
107.7plan. Cost-effective insurance premiums approved for payment by the state agency and
107.8paid by the local agency are eligible for reimbursement according to subdivision 6.
107.9    (b) Effective for all premiums due on or after June 30, 1997, general assistance
107.10medical care does not cover premiums that a recipient is required to pay under a qualified
107.11or Medicare supplement plan issued by the Minnesota Comprehensive Health Association.
107.12General assistance medical care shall continue to cover premiums for recipients who are
107.13covered under a plan issued by the Minnesota Comprehensive Health Association on June
107.1430, 1997, for a period of six months following receipt of the notice of termination or
107.15until December 31, 1997, whichever is later.
107.16EFFECTIVE DATE.This section is effective July 1, 2010.

107.17    Sec. 39. Minnesota Statutes 2008, section 256D.031, subdivision 5, as added by Laws
107.182010, chapter 200, article 1, section 12, subdivision 5, is amended to read:
107.19    Subd. 5. Payment rates and contract modification; April 1, 2010, to May 31
107.20June 30, 2010. (a) For the period April 1, 2010, to May 31 June 30, 2010, general
107.21assistance medical care shall be paid on a fee-for-service basis. Fee-for-service payment
107.22rates for services other than outpatient prescription drugs shall be set at 37 percent of the
107.23payment rate in effect on March 31, 2010, except that for the period June 1, 2010, to June
107.2430, 2010, fee-for-service payment rates for services other than prescription drugs shall be
107.25set at 27 percent of the payment rate in effect on March 31, 2010.
107.26(b) Outpatient prescription drugs covered under section 256D.03, subdivision
107.273
, provided on or after April 1, 2010, to May 31 June 30, 2010, shall be paid on a
107.28fee-for-service basis according to section 256B.0625, subdivisions 13 to 13g.
107.29EFFECTIVE DATE.This section is effective the day following final enactment.

107.30    Sec. 40. Minnesota Statutes 2009 Supplement, section 256L.03, subdivision 5, is
107.31amended to read:
108.1    Subd. 5. Co-payments and coinsurance. (a) Except as provided in paragraphs (b)
108.2and (c), the MinnesotaCare benefit plan shall include the following co-payments and
108.3coinsurance requirements for all enrollees:
108.4    (1) ten percent of the paid charges for inpatient hospital services for adult enrollees,
108.5subject to an annual inpatient out-of-pocket maximum of $1,000 per individual;
108.6    (2) $3 per prescription for adult enrollees;
108.7    (3) $25 for eyeglasses for adult enrollees;
108.8    (4) $3 per nonpreventive visit. For purposes of this subdivision, a "visit" means an
108.9episode of service which is required because of a recipient's symptoms, diagnosis, or
108.10established illness, and which is delivered in an ambulatory setting by a physician or
108.11physician ancillary, chiropractor, podiatrist, nurse midwife, advanced practice nurse,
108.12audiologist, optician, or optometrist; and
108.13    (5) $6 for nonemergency visits to a hospital-based emergency room for services
108.14provided through December 31, 2010, and $3.50 effective January 1, 2011.
108.15    (b) Paragraph (a), clause (1), does not apply to parents and relative caretakers of
108.16children under the age of 21.
108.17    (c) Paragraph (a) does not apply to pregnant women and children under the age of 21.
108.18    (d) Paragraph (a), clause (4), does not apply to mental health services.
108.19    (e) Adult enrollees with family gross income that exceeds 200 percent of the federal
108.20poverty guidelines or 215 percent of the federal poverty guidelines on or after July 1, 2009,
108.21and who are not pregnant shall be financially responsible for the coinsurance amount, if
108.22applicable, and amounts which exceed the $10,000 inpatient hospital benefit limit.
108.23    (f) When a MinnesotaCare enrollee becomes a member of a prepaid health plan,
108.24or changes from one prepaid health plan to another during a calendar year, any charges
108.25submitted towards the $10,000 annual inpatient benefit limit, and any out-of-pocket
108.26expenses incurred by the enrollee for inpatient services, that were submitted or incurred
108.27prior to enrollment, or prior to the change in health plans, shall be disregarded.
108.28(g) MinnesotaCare reimbursements to fee-for-service providers and payments to
108.29managed care plans or county-based purchasing plans shall not be increased as a result of
108.30the reduction of the co-payments in paragraph (a), clause (5), effective January 1, 2011.
108.31EFFECTIVE DATE.This section is effective July 1, 2010.

108.32    Sec. 41. Minnesota Statutes 2008, section 256L.11, subdivision 6, is amended to read:
108.33    Subd. 6. Enrollees 18 or older. Payment by the MinnesotaCare program for
108.34inpatient hospital services provided to MinnesotaCare enrollees eligible under section
108.35256L.04, subdivision 7 , or who qualify under section 256L.04, subdivisions 1 and 2,
109.1with family gross income that exceeds 175 percent of the federal poverty guidelines
109.2and who are not pregnant, who are 18 years old or older on the date of admission to the
109.3inpatient hospital must be in accordance with paragraphs (a) and (b). Payment for adults
109.4who are not pregnant and are eligible under section 256L.04, subdivisions 1 and 2, and
109.5whose incomes are equal to or less than 175 percent of the federal poverty guidelines,
109.6shall be as provided for under paragraph (c).
109.7(a) If the medical assistance rate minus any co-payment required under section
109.8256L.03, subdivision 4 , is less than or equal to the amount remaining in the enrollee's
109.9benefit limit under section 256L.03, subdivision 3, payment must be the medical
109.10assistance rate minus any co-payment required under section 256L.03, subdivision 4. The
109.11hospital must not seek payment from the enrollee in addition to the co-payment. The
109.12MinnesotaCare payment plus the co-payment must be treated as payment in full.
109.13(b) If the medical assistance rate minus any co-payment required under section
109.14256L.03, subdivision 4 , is greater than the amount remaining in the enrollee's benefit limit
109.15under section 256L.03, subdivision 3, payment must be the lesser of:
109.16(1) the amount remaining in the enrollee's benefit limit; or
109.17(2) charges submitted for the inpatient hospital services less any co-payment
109.18established under section 256L.03, subdivision 4.
109.19The hospital may seek payment from the enrollee for the amount by which usual and
109.20customary charges exceed the payment under this paragraph. If payment is reduced under
109.21section 256L.03, subdivision 3, paragraph (b), the hospital may not seek payment from the
109.22enrollee for the amount of the reduction.
109.23(c) For admissions occurring during the period of July 1, 1997, through June 30,
109.241998, for adults who are not pregnant and are eligible under section 256L.04, subdivisions
109.251 and 2
, and whose incomes are equal to or less than 175 percent of the federal poverty
109.26guidelines, the commissioner shall pay hospitals directly, up to the medical assistance
109.27payment rate, for inpatient hospital benefits in excess of the $10,000 annual inpatient
109.28benefit limit. For admissions occurring on or after July 1, 2011, for single adults and
109.29households without children who are eligible under section 256L.04, subdivision 7, the
109.30commissioner shall pay hospitals directly, up to the medical assistance payment rate, for
109.31inpatient hospital benefits up to the $10,000 annual inpatient benefit limit, minus any
109.32co-payment required under section 256L.03, subdivision 5.

109.33    Sec. 42. Minnesota Statutes 2008, section 256L.07, is amended by adding a subdivision
109.34to read:
110.1    Subd. 9. Firefighters; volunteer ambulance attendants. (a) For purposes of this
110.2subdivision, "qualified individual" means:
110.3(1) a volunteer firefighter with a department as defined in section 299N.01,
110.4subdivision 2, who has passed the probationary period; and
110.5(2) a volunteer ambulance attendant as defined in section 144E.001, subdivision 15.
110.6(b) A qualified individual who documents to the satisfaction of the commissioner
110.7status as a qualified individual by completing and submitting a one-page form developed
110.8by the commissioner is eligible for MinnesotaCare without meeting other eligibility
110.9requirements of this chapter, but must pay premiums equal to the average expected
110.10capitation rate for adults with no children paid under section 256L.12. Individuals eligible
110.11under this subdivision shall receive coverage for the benefit set provided to adults with no
110.12children.
110.13EFFECTIVE DATE.This section is effective April 1, 2011.

110.14    Sec. 43. Minnesota Statutes 2008, section 256L.12, subdivision 5, is amended to read:
110.15    Subd. 5. Eligibility for other state programs. MinnesotaCare enrollees who
110.16become eligible for medical assistance or general assistance medical care will remain in
110.17the same managed care plan if the managed care plan has a contract for that population.
110.18Effective January 1, 1998, MinnesotaCare enrollees who were formerly eligible for
110.19general assistance medical care pursuant to section 256D.03, subdivision 3, within six
110.20months of MinnesotaCare enrollment and were enrolled in a prepaid health plan pursuant
110.21to section 256D.03, subdivision 4, paragraph (c), must remain in the same managed care
110.22plan if the managed care plan has a contract for that population. Managed care plans must
110.23participate in the MinnesotaCare and general assistance medical care programs program
110.24under a contract with the Department of Human Services in service areas where they
110.25participate in the medical assistance program.
110.26EFFECTIVE DATE.This section is effective retroactively from April 1, 2010.

110.27    Sec. 44. Minnesota Statutes 2008, section 256L.12, subdivision 9, is amended to read:
110.28    Subd. 9. Rate setting; performance withholds. (a) Rates will be prospective,
110.29per capita, where possible. The commissioner may allow health plans to arrange for
110.30inpatient hospital services on a risk or nonrisk basis. The commissioner shall consult with
110.31an independent actuary to determine appropriate rates.
110.32    (b) For services rendered on or after January 1, 2003, to December 31, 2003, the
110.33commissioner shall withhold .5 percent of managed care plan payments under this section
111.1pending completion of performance targets. The withheld funds must be returned no
111.2sooner than July 1 and no later than July 31 of the following year if performance targets
111.3in the contract are achieved. A managed care plan may include as admitted assets under
111.4section 62D.044 any amount withheld under this paragraph that is reasonably expected
111.5to be returned.
111.6    (c) For services rendered on or after January 1, 2004, the commissioner shall
111.7withhold five percent of managed care plan payments and county-based purchasing
111.8plan payments under this section pending completion of performance targets. Each
111.9performance target must be quantifiable, objective, measurable, and reasonably attainable,
111.10except in the case of a performance target based on a federal or state law or rule. Criteria
111.11for assessment of each performance target must be outlined in writing prior to the
111.12contract effective date. The managed care plan must demonstrate, to the commissioner's
111.13satisfaction, that the data submitted regarding attainment of the performance target is
111.14accurate. The commissioner shall periodically change the administrative measures used
111.15as performance targets in order to improve plan performance across a broader range of
111.16administrative services. The performance targets must include measurement of plan
111.17efforts to contain spending on health care services and administrative activities. The
111.18commissioner may adopt plan-specific performance targets that take into account factors
111.19affecting only one plan, such as characteristics of the plan's enrollee population. The
111.20withheld funds must be returned no sooner than July 1 and no later than July 31 of the
111.21following calendar year if performance targets in the contract are achieved. A managed
111.22care plan or a county-based purchasing plan under section 256B.692 may include as
111.23admitted assets under section 62D.044 any amount withheld under this paragraph that is
111.24reasonably expected to be returned.
111.25(c) For services rendered on or after January 1, 2011, the commissioner shall
111.26withhold an additional three percent of managed care plan or county-based purchasing
111.27plan payments under this section. The withheld funds must be returned no sooner than
111.28July 1 and no later than July 31 of the following calendar year. The return of the withhold
111.29under this paragraph is not subject to the requirements of paragraph (b).
111.30(d) Effective for services rendered on or after January 1, 2011, the commissioner
111.31shall include as part of the performance targets described in paragraph (b) a reduction in
111.32the plan's emergency room utilization rate for state health care program enrollees by a
111.33measurable rate of five percent from the plan's utilization rate for the previous calendar
111.34year.
112.1The withheld funds must be returned no sooner than July 1 and no later than July 31
112.2of the following calendar year if the managed care plan demonstrates to the satisfaction of
112.3the commissioner that a reduction in the utilization rate was achieved.
112.4The withhold described in this paragraph shall continue for each consecutive
112.5contract period until the plan's emergency room utilization rate for state health care
112.6program enrollees is reduced by 25 percent of the plan's emergency room utilization rate
112.7for state health care program enrollees for calendar year 2009. Hospitals shall cooperate
112.8with the health plans in meeting this performance target and shall accept payment
112.9withholds that may be returned to the hospitals if the performance target is achieved. The
112.10commissioner shall structure the withhold so that the commissioner returns a portion of
112.11the withheld funds in amounts commensurate with achieved reductions in utilization less
112.12than the targeted amount. The withhold described in this paragraph does not apply to
112.13county-based purchasing plans.
112.14(e) A managed care plan or a county-based purchasing plan under section 256B.692
112.15may include as admitted assets under section 62D.044 any amount withheld under this
112.16section that is reasonably expected to be returned.
112.17EFFECTIVE DATE.This section is effective July 1, 2010.

112.18    Sec. 45. Minnesota Statutes 2008, section 256L.12, is amended by adding a subdivision
112.19to read:
112.20    Subd. 9c. Rate setting; increase effective October 1, 2010. For services
112.21rendered on or after October 1, 2010, the total payment made to managed care plans and
112.22county-based purchasing plans under MinnesotaCare for families with children shall be
112.23increased by 0.88 percent.
112.24EFFECTIVE DATE.This section is effective July 1, 2010.

112.25    Sec. 46. Laws 2009, chapter 79, article 5, section 75, subdivision 1, is amended to read:
112.26    Subdivision 1. Medical assistance coverage. The commissioner of human services
112.27shall establish a demonstration project to provide additional medical assistance coverage
112.28for a maximum of 200 American Indian children in Minneapolis, St. Paul, and Duluth
112.29who are burdened by health disparities associated with the cumulative health impact
112.30of toxic environmental exposures. Under this demonstration project, the additional
112.31medical assistance coverage for this population must include, but is not limited to, home
112.32environmental assessments for triggers of asthma, and in-home asthma education on the
112.33proper medical management of asthma by a certified asthma educator or public health
113.1nurse with asthma management training, and must be limited to two visits per child. The
113.2home visit payment rates must be based on a rate commensurate with a first-time visit rate
113.3and follow-up visit rate. Coverage also includes the following durable medical equipment:
113.4high efficiency particulate air (HEPA) cleaners, HEPA vacuum cleaners, allergy bed and
113.5pillow encasements, high filtration filters for forced air gas furnaces, and dehumidifiers
113.6with medical tubing to connect the appliance to a floor drain, if the listed item is medically
113.7necessary useful to reduce asthma symptoms. Provision of these items of durable medical
113.8equipment must be preceded by a home environmental assessment for triggers of asthma
113.9and in-home asthma education on the proper medical management of asthma by a Certified
113.10Asthma Educator or public health nurse with asthma management training.

113.11    Sec. 47. Laws 2009, chapter 79, article 5, section 78, subdivision 5, is amended to read:
113.12    Subd. 5. Expiration. This section, with the exception of subdivision 4, expires
113.13December 31, 2010 August 31, 2011. Subdivision 4 expires February 28, 2012.

113.14    Sec. 48. Laws 2010, chapter 200, article 1, section 16, is amended by adding an
113.15effective date to read:
113.16EFFECTIVE DATE.This section is effective June 1, 2010.

113.17    Sec. 49. Laws 2010, chapter 200, article 1, section 21, is amended to read:
113.18    Sec. 21. REPEALER.
113.19(a) Minnesota Statutes 2008, sections 256.742; 256.979, subdivision 8; and 256D.03,
113.20subdivision 9, are repealed effective April 1, 2010.
113.21(b) Minnesota Statutes 2009 Supplement, section 256D.03, subdivision 4, is repealed
113.22effective April July 1, 2010.
113.23(c) Minnesota Statutes 2008, section 256B.195, subdivisions 4 and 5, are repealed
113.24effective for federal fiscal year 2010.
113.25(d) Minnesota Statutes 2009 Supplement, section 256B.195, subdivisions 1, 2, and
113.263, are repealed effective for federal fiscal year 2010.
113.27(e) Minnesota Statutes 2008, sections 256L.07, subdivision 6; 256L.15, subdivision
113.284; and 256L.17, subdivision 7, are repealed January 1, 2011 July 1, 2010.
113.29EFFECTIVE DATE.This section is effective retroactively from April 1, 2010.

113.30    Sec. 50. Laws 2010, chapter 200, article 2, section 2, subdivision 1, is amended to read:
113.31
Subdivision 1.Total Appropriation
$
(7,985,000)
$
(93,128,000)
114.1
Appropriations by Fund
114.2
2010
2011
114.3
General
34,807,000
118,493,000
114.4
Health Care Access
(42,792,000)
(211,621,000)
114.5The amounts that may be spent for each
114.6purpose are specified in the following
114.7subdivisions.
114.8Special Revenue Fund Transfers.
114.9(a) The commissioner shall transfer the
114.10following amounts from special revenue
114.11fund balances to the general fund by June
114.1230 of each respective fiscal year: $410,000
114.13for fiscal year 2010, and $412,000 for fiscal
114.14year 2011.
114.15(b) Actual transfers made under paragraph
114.16(a) must be separately identified and reported
114.17as part of the quarterly reporting of transfers
114.18to the chairs of the relevant senate budget
114.19division and house of representatives finance
114.20division.
114.21EFFECTIVE DATE.This section is effective the day following final enactment.

114.22    Sec. 51. Laws 2010, chapter 200, article 2, section 2, subdivision 5, is amended to read:
114.23
Subd. 5.Health Care Management
114.24The amounts that may be spent from the
114.25appropriation for each purpose are as follows:
114.26
Health Care Administration.
(2,998,000)
(5,270,000)
114.27Base Adjustment. The general fund base
114.28for health care administration is reduced by
114.29$182,000 $36,000 in fiscal year 2012 and
114.30$182,000 $36,000 in fiscal year 2013.

114.31    Sec. 52. Laws 2010, chapter 200, article 2, section 2, subdivision 8, is amended to read:
115.1
Subd. 8.Transfers
115.2The commissioner must transfer $29,538,000
115.3in fiscal year 2010 and $18,462,000 in fiscal
115.4year 2011 from the health care access fund to
115.5the general fund. This is a onetime transfer.
115.6The commissioner must transfer $4,800,000
115.7from the consolidated chemical dependency
115.8treatment fund to the general fund by June
115.930, 2010.
115.10Compulsive Gambling Special Revenue
115.11Administration. The lottery prize fund
115.12appropriation for compulsive gambling
115.13administration is reduced by $6,000 for fiscal
115.14year 2010 and $4,000 for fiscal year 2011
115.15must be transferred from the lottery prize
115.16fund appropriation for compulsive gambling
115.17administration to the general fund by June
115.1830 of each respective fiscal year. These are
115.19onetime reductions.
115.20EFFECTIVE DATE.This section is effective the day following final enactment.

115.21    Sec. 53. PREPAID HEALTH PLAN RATES.
115.22In negotiating the prepaid health plan contract rates for services rendered on or
115.23after January 1, 2011, the commissioner of human services shall take into consideration
115.24and the rates shall reflect the anticipated savings in the medical assistance program due
115.25to extending medical assistance coverage to services provided in licensed birth centers,
115.26the anticipated use of these services within the medical assistance population, and the
115.27reduced medical assistance costs associated with the use of birth centers for normal,
115.28low-risk deliveries.
115.29EFFECTIVE DATE.This section is effective July 1, 2010.

115.30    Sec. 54. STATE PLAN AMENDMENT; FEDERAL APPROVAL.
115.31The commissioner of human services shall submit a Medicaid state plan amendment
115.32to receive federal fund participation for adults without children whose income is equal
116.1to or less than 75 percent of federal poverty guidelines in accordance with the Patient
116.2Protection and Affordable Care Act, Public Law 111-148, or the Health Care and
116.3Education Reconciliation Act of 2010, Public Law 111-152. The effective date of the
116.4state plan amendment shall be June 1, 2010.
116.5EFFECTIVE DATE.This section is effective the day following final enactment.

116.6    Sec. 55. UPPER PAYMENT LIMIT REPORT.
116.7Each January 15, beginning in 2011, the commissioner of human services shall
116.8report the following information to the chairs of the house of representatives and senate
116.9finance committees and divisions with responsibility for human services appropriations:
116.10(1) the estimated room within the Medicare hospital upper payment limit for the
116.11federal year beginning on October 1 of the year the report is made;
116.12(2) the amount of a rate increase under Minnesota Statutes, section 256.969,
116.13subdivision 3a, paragraph (i), that would increase medical assistance hospital spending
116.14to the upper payment limit; and
116.15(3) the amount of a surcharge increase under Minnesota Statutes, section 256.9657,
116.16subdivision 2, needed to generate the state share of the potential rate increase under
116.17clause (2).
116.18EFFECTIVE DATE.This section is effective July 1, 2010.

116.19    Sec. 56. REVISOR'S INSTRUCTION.
116.20The revisor of statutes shall edit Minnesota Statutes and Minnesota Rules to remove
116.21references to the general assistance medical care program and references to Minnesota
116.22Statutes, section 256D.03, subdivision 3, or Minnesota Statutes, chapter 256D, as it
116.23pertains to general assistance medical care and make other changes as may be necessary
116.24to remove references to the general assistance medical care program. The revisor may
116.25consult with the Department of Human Services when making editing decisions on the
116.26removal of these references.

116.27    Sec. 57. REPEALER.
116.28(a) Minnesota Statutes 2008, section 256D.03, subdivisions 3, 3a, 5, 6, 7, and 8,
116.29are repealed July 1, 2010.
116.30(b) Laws 2010, chapter 200, article 1, sections 12, subdivisions 1, 2, 3, and 5; 18;
116.31and 19, are repealed July 1, 2010.
117.1(c) Laws 2010, chapter 200, article 1, section 12, subdivisions 4, 6, 7, 8, 9, and 10,
117.2are repealed the day following final enactment.
117.3EFFECTIVE DATE.This section is effective the day following final enactment.

117.4ARTICLE 17
117.5CONTINUING CARE

117.6    Section 1. Minnesota Statutes 2008, section 144D.03, subdivision 2, is amended to
117.7read:
117.8    Subd. 2. Registration information. The establishment shall provide the following
117.9information to the commissioner in order to be registered:
117.10(1) the business name, street address, and mailing address of the establishment;
117.11(2) the name and mailing address of the owner or owners of the establishment and, if
117.12the owner or owners are not natural persons, identification of the type of business entity
117.13of the owner or owners, and the names and addresses of the officers and members of the
117.14governing body, or comparable persons for partnerships, limited liability corporations, or
117.15other types of business organizations of the owner or owners;
117.16(3) the name and mailing address of the managing agent, whether through
117.17management agreement or lease agreement, of the establishment, if different from the
117.18owner or owners, and the name of the on-site manager, if any;
117.19(4) verification that the establishment has entered into a housing with services
117.20contract, as required in section 144D.04, with each resident or resident's representative;
117.21(5) verification that the establishment is complying with the requirements of section
117.22325F.72 , if applicable;
117.23(6) the name and address of at least one natural person who shall be responsible
117.24for dealing with the commissioner on all matters provided for in sections 144D.01 to
117.25144D.06, and on whom personal service of all notices and orders shall be made, and who
117.26shall be authorized to accept service on behalf of the owner or owners and the managing
117.27agent, if any; and
117.28(7) the signature of the authorized representative of the owner or owners or, if
117.29the owner or owners are not natural persons, signatures of at least two authorized
117.30representatives of each owner, one of which shall be an officer of the owner; and
117.31(8) whether services are included in the base rate to be paid by the resident.
117.32Personal service on the person identified under clause (6) by the owner or owners in
117.33the registration shall be considered service on the owner or owners, and it shall not be a
117.34defense to any action that personal service was not made on each individual or entity. The
118.1designation of one or more individuals under this subdivision shall not affect the legal
118.2responsibility of the owner or owners under sections 144D.01 to 144D.06.

118.3    Sec. 2. Minnesota Statutes 2008, section 144D.04, subdivision 2, is amended to read:
118.4    Subd. 2. Contents of contract. A housing with services contract, which need not be
118.5entitled as such to comply with this section, shall include at least the following elements
118.6in itself or through supporting documents or attachments:
118.7(1) the name, street address, and mailing address of the establishment;
118.8(2) the name and mailing address of the owner or owners of the establishment and, if
118.9the owner or owners is not a natural person, identification of the type of business entity
118.10of the owner or owners;
118.11(3) the name and mailing address of the managing agent, through management
118.12agreement or lease agreement, of the establishment, if different from the owner or owners;
118.13(4) the name and address of at least one natural person who is authorized to accept
118.14service of process on behalf of the owner or owners and managing agent;
118.15(5) a statement describing the registration and licensure status of the establishment
118.16and any provider providing health-related or supportive services under an arrangement
118.17with the establishment;
118.18(6) the term of the contract;
118.19(7) a description of the services to be provided to the resident in the base rate to be
118.20paid by resident, including a delineation of the portion of the base rate that constitutes rent
118.21and a delineation of charges for each service included in the base rate;
118.22(8) a description of any additional services, including home care services, available
118.23for an additional fee from the establishment directly or through arrangements with the
118.24establishment, and a schedule of fees charged for these services;
118.25(9) a description of the process through which the contract may be modified,
118.26amended, or terminated;
118.27(10) a description of the establishment's complaint resolution process available
118.28to residents including the toll-free complaint line for the Office of Ombudsman for
118.29Long-Term Care;
118.30(11) the resident's designated representative, if any;
118.31(12) the establishment's referral procedures if the contract is terminated;
118.32(13) requirements of residency used by the establishment to determine who may
118.33reside or continue to reside in the housing with services establishment;
118.34(14) billing and payment procedures and requirements;
119.1(15) a statement regarding the ability of residents to receive services from service
119.2providers with whom the establishment does not have an arrangement;
119.3(16) a statement regarding the availability of public funds for payment for residence
119.4or services in the establishment; and
119.5(17) a statement regarding the availability of and contact information for
119.6long-term care consultation services under section 256B.0911 in the county in which the
119.7establishment is located.

119.8    Sec. 3. [144D.08] UNIFORM CONSUMER INFORMATION GUIDE.
119.9All housing with services establishments shall make available to all prospective
119.10and current residents information consistent with the uniform format and the required
119.11components adopted by the commissioner under section 144G.06.

119.12    Sec. 4. [144D.09] TERMINATION OF LEASE.
119.13The housing with services establishment shall include with notice of termination
119.14of lease information about how to contact the ombudsman for long-term care, including
119.15the address and phone number along with a statement of how to request problem-solving
119.16assistance.

119.17    Sec. 5. Minnesota Statutes 2008, section 144G.06, is amended to read:
119.18144G.06 UNIFORM CONSUMER INFORMATION GUIDE.
119.19(a) The commissioner of health shall establish an advisory committee consisting
119.20of representatives of consumers, providers, county and state officials, and other
119.21groups the commissioner considers appropriate. The advisory committee shall present
119.22recommendations to the commissioner on:
119.23(1) a format for a guide to be used by individual providers of assisted living, as
119.24defined in section 144G.01, that includes information about services offered by that
119.25provider, which services may be covered by Medicare, service costs, and other relevant
119.26provider-specific information, as well as a statement of philosophy and values associated
119.27with assisted living, presented in uniform categories that facilitate comparison with guides
119.28issued by other providers; and
119.29(2) requirements for informing assisted living clients, as defined in section 144G.01,
119.30of their applicable legal rights.
119.31(b) The commissioner, after reviewing the recommendations of the advisory
119.32committee, shall adopt a uniform format for the guide to be used by individual providers,
119.33and the required components of materials to be used by providers to inform assisted
120.1living clients of their legal rights, and shall make the uniform format and the required
120.2components available to assisted living providers.

120.3    Sec. 6. Minnesota Statutes 2009 Supplement, section 252.27, subdivision 2a, is
120.4amended to read:
120.5    Subd. 2a. Contribution amount. (a) The natural or adoptive parents of a minor
120.6child, including a child determined eligible for medical assistance without consideration of
120.7parental income, must contribute to the cost of services used by making monthly payments
120.8on a sliding scale based on income, unless the child is married or has been married,
120.9parental rights have been terminated, or the child's adoption is subsidized according to
120.10section 259.67 or through title IV-E of the Social Security Act. The parental contribution
120.11is a partial or full payment for medical services provided for diagnostic, therapeutic,
120.12curing, treating, mitigating, rehabilitation, maintenance, and personal care services as
120.13defined in United States Code, title 26, section 213, needed by the child with a chronic
120.14illness or disability.
120.15    (b) For households with adjusted gross income equal to or greater than 100 percent
120.16of federal poverty guidelines, the parental contribution shall be computed by applying the
120.17following schedule of rates to the adjusted gross income of the natural or adoptive parents:
120.18    (1) if the adjusted gross income is equal to or greater than 100 percent of federal
120.19poverty guidelines and less than 175 percent of federal poverty guidelines, the parental
120.20contribution is $4 per month;
120.21    (2) if the adjusted gross income is equal to or greater than 175 percent of federal
120.22poverty guidelines and less than or equal to 545 percent of federal poverty guidelines,
120.23the parental contribution shall be determined using a sliding fee scale established by the
120.24commissioner of human services which begins at one percent of adjusted gross income
120.25at 175 percent of federal poverty guidelines and increases to 7.5 percent of adjusted
120.26gross income for those with adjusted gross income up to 545 percent of federal poverty
120.27guidelines;
120.28    (3) if the adjusted gross income is greater than 545 percent of federal poverty
120.29guidelines and less than 675 percent of federal poverty guidelines, the parental
120.30contribution shall be 7.5 percent of adjusted gross income;
120.31    (4) if the adjusted gross income is equal to or greater than 675 percent of federal
120.32poverty guidelines and less than 975 percent of federal poverty guidelines, the parental
120.33contribution shall be determined using a sliding fee scale established by the commissioner
120.34of human services which begins at 7.5 percent of adjusted gross income at 675 percent of
121.1federal poverty guidelines and increases to ten percent of adjusted gross income for those
121.2with adjusted gross income up to 975 percent of federal poverty guidelines; and
121.3    (5) if the adjusted gross income is equal to or greater than 975 percent of federal
121.4poverty guidelines, the parental contribution shall be 12.5 percent of adjusted gross
121.5income.
121.6    If the child lives with the parent, the annual adjusted gross income is reduced by
121.7$2,400 prior to calculating the parental contribution. If the child resides in an institution
121.8specified in section 256B.35, the parent is responsible for the personal needs allowance
121.9specified under that section in addition to the parental contribution determined under this
121.10section. The parental contribution is reduced by any amount required to be paid directly to
121.11the child pursuant to a court order, but only if actually paid.
121.12    (c) The household size to be used in determining the amount of contribution under
121.13paragraph (b) includes natural and adoptive parents and their dependents, including the
121.14child receiving services. Adjustments in the contribution amount due to annual changes
121.15in the federal poverty guidelines shall be implemented on the first day of July following
121.16publication of the changes.
121.17    (d) For purposes of paragraph (b), "income" means the adjusted gross income of the
121.18natural or adoptive parents determined according to the previous year's federal tax form,
121.19except, effective retroactive to July 1, 2003, taxable capital gains to the extent the funds
121.20have been used to purchase a home shall not be counted as income.
121.21    (e) The contribution shall be explained in writing to the parents at the time eligibility
121.22for services is being determined. The contribution shall be made on a monthly basis
121.23effective with the first month in which the child receives services. Annually upon
121.24redetermination or at termination of eligibility, if the contribution exceeded the cost of
121.25services provided, the local agency or the state shall reimburse that excess amount to
121.26the parents, either by direct reimbursement if the parent is no longer required to pay a
121.27contribution, or by a reduction in or waiver of parental fees until the excess amount is
121.28exhausted. All reimbursements must include a notice that the amount reimbursed may be
121.29taxable income if the parent paid for the parent's fees through an employer's health care
121.30flexible spending account under the Internal Revenue Code, section 125, and that the
121.31parent is responsible for paying the taxes owed on the amount reimbursed.
121.32    (f) The monthly contribution amount must be reviewed at least every 12 months;
121.33when there is a change in household size; and when there is a loss of or gain in income
121.34from one month to another in excess of ten percent. The local agency shall mail a written
121.35notice 30 days in advance of the effective date of a change in the contribution amount.
122.1A decrease in the contribution amount is effective in the month that the parent verifies a
122.2reduction in income or change in household size.
122.3    (g) Parents of a minor child who do not live with each other shall each pay the
122.4contribution required under paragraph (a). An amount equal to the annual court-ordered
122.5child support payment actually paid on behalf of the child receiving services shall be
122.6deducted from the adjusted gross income of the parent making the payment prior to
122.7calculating the parental contribution under paragraph (b).
122.8    (h) The contribution under paragraph (b) shall be increased by an additional five
122.9percent if the local agency determines that insurance coverage is available but not
122.10obtained for the child. For purposes of this section, "available" means the insurance is a
122.11benefit of employment for a family member at an annual cost of no more than five percent
122.12of the family's annual income. For purposes of this section, "insurance" means health
122.13and accident insurance coverage, enrollment in a nonprofit health service plan, health
122.14maintenance organization, self-insured plan, or preferred provider organization.
122.15    Parents who have more than one child receiving services shall not be required
122.16to pay more than the amount for the child with the highest expenditures. There shall
122.17be no resource contribution from the parents. The parent shall not be required to pay
122.18a contribution in excess of the cost of the services provided to the child, not counting
122.19payments made to school districts for education-related services. Notice of an increase in
122.20fee payment must be given at least 30 days before the increased fee is due.
122.21    (i) The contribution under paragraph (b) shall be reduced by $300 per fiscal year if,
122.22in the 12 months prior to July 1:
122.23    (1) the parent applied for insurance for the child;
122.24    (2) the insurer denied insurance;
122.25    (3) the parents submitted a complaint or appeal, in writing to the insurer, submitted
122.26a complaint or appeal, in writing, to the commissioner of health or the commissioner of
122.27commerce, or litigated the complaint or appeal; and
122.28    (4) as a result of the dispute, the insurer reversed its decision and granted insurance.
122.29    For purposes of this section, "insurance" has the meaning given in paragraph (h).
122.30    A parent who has requested a reduction in the contribution amount under this
122.31paragraph shall submit proof in the form and manner prescribed by the commissioner or
122.32county agency, including, but not limited to, the insurer's denial of insurance, the written
122.33letter or complaint of the parents, court documents, and the written response of the insurer
122.34approving insurance. The determinations of the commissioner or county agency under this
122.35paragraph are not rules subject to chapter 14.
123.1(j) Notwithstanding paragraph (b), for the period from July 1, 2010, to June 30,
123.22013, the parental contribution shall be computed by applying the following contribution
123.3schedule to the adjusted gross income of the natural or adoptive parents:
123.4(1) if the adjusted gross income is equal to or greater than 100 percent of federal
123.5poverty guidelines and less than 175 percent of federal poverty guidelines, the parental
123.6contribution is $4 per month;
123.7(2) if the adjusted gross income is equal to or greater than 175 percent of federal
123.8poverty guidelines and less than or equal to 525 percent of federal poverty guidelines,
123.9the parental contribution shall be determined using a sliding fee scale established by the
123.10commissioner of human services which begins at one percent of adjusted gross income
123.11at 175 percent of federal poverty guidelines and increases to eight percent of adjusted
123.12gross income for those with adjusted gross income up to 525 percent of federal poverty
123.13guidelines;
123.14(3) if the adjusted gross income is greater than 525 percent of federal poverty
123.15guidelines and less than 675 percent of federal poverty guidelines, the parental contribution
123.16shall be 9.5 percent of adjusted gross income;
123.17(4) if the adjusted gross income is equal to or greater than 675 percent of federal
123.18poverty guidelines and less than 900 percent of federal poverty guidelines, the parental
123.19contribution shall be determined using a sliding fee scale established by the commissioner
123.20of human services which begins at 9.5 percent of adjusted gross income at 675 percent of
123.21federal poverty guidelines and increases to 12 percent of adjusted gross income for those
123.22with adjusted gross income up to 900 percent of federal poverty guidelines; and
123.23(5) if the adjusted gross income is equal to or greater than 900 percent of federal
123.24poverty guidelines, the parental contribution shall be 13.5 percent of adjusted gross
123.25income. If the child lives with the parent, the annual adjusted gross income is reduced by
123.26$2,400 prior to calculating the parental contribution. If the child resides in an institution
123.27specified in section 256B.35, the parent is responsible for the personal needs allowance
123.28specified under that section in addition to the parental contribution determined under this
123.29section. The parental contribution is reduced by any amount required to be paid directly to
123.30the child pursuant to a court order, but only if actually paid.

123.31    Sec. 7. [256.4825] REPORT REGARDING PROGRAMS AND SERVICES FOR
123.32PEOPLE WITH DISABILITIES.
123.33The Minnesota State Council on Disability, the Minnesota Consortium for Citizens
123.34with Disabilities, and the Arc of Minnesota may submit an annual report by January 15 of
123.35each year, beginning in 2012, to the chairs and ranking minority members of the legislative
124.1committees with jurisdiction over programs serving people with disabilities as provided in
124.2this section. The report must describe the existing state policies and goals for programs
124.3serving people with disabilities including, but not limited to, programs for employment,
124.4transportation, housing, education, quality assurance, consumer direction, physical and
124.5programmatic access, and health. The report must provide data and measurements to
124.6assess the extent to which the policies and goals are being met. The commissioner of
124.7human services and the commissioners of other state agencies administering programs for
124.8people with disabilities shall cooperate with the Minnesota State Council on Disability,
124.9the Minnesota Consortium for Citizens with Disabilities, and the Arc of Minnesota and
124.10provide those organizations with existing published information and reports that will assist
124.11in the preparation of the report.

124.12    Sec. 8. Minnesota Statutes 2008, section 256.9657, subdivision 3a, is amended to read:
124.13    Subd. 3a. ICF/MR license surcharge. (a) Effective July 1, 2003, each
124.14non-state-operated facility as defined under section 256B.501, subdivision 1, shall pay
124.15to the commissioner an annual surcharge according to the schedule in subdivision 4,
124.16paragraph (d). The annual surcharge shall be $1,040 per licensed bed. If the number of
124.17licensed beds is reduced, the surcharge shall be based on the number of remaining licensed
124.18beds the second month following the receipt of timely notice by the commissioner of
124.19human services that beds have been delicensed. The facility must notify the commissioner
124.20of health in writing when beds are delicensed. The commissioner of health must notify
124.21the commissioner of human services within ten working days after receiving written
124.22notification. If the notification is received by the commissioner of human services by
124.23the 15th of the month, the invoice for the second following month must be reduced to
124.24recognize the delicensing of beds. The commissioner may reduce, and may subsequently
124.25restore, the surcharge under this subdivision based on the commissioner's determination of
124.26a permissible surcharge.
124.27(b) Effective July 1, 2010, the surcharge under paragraph (a) is increased to $4,037
124.28per licensed bed.

124.29    Sec. 9. Minnesota Statutes 2009 Supplement, section 256.975, subdivision 7, is
124.30amended to read:
124.31    Subd. 7. Consumer information and assistance and long-term care options
124.32counseling; Senior LinkAge Line. (a) The Minnesota Board on Aging shall operate a
124.33statewide service to aid older Minnesotans and their families in making informed choices
124.34about long-term care options and health care benefits. Language services to persons with
125.1limited English language skills may be made available. The service, known as Senior
125.2LinkAge Line, must be available during business hours through a statewide toll-free
125.3number and must also be available through the Internet.
125.4    (b) The service must provide long-term care options counseling by assisting older
125.5adults, caregivers, and providers in accessing information and options counseling about
125.6choices in long-term care services that are purchased through private providers or available
125.7through public options. The service must:
125.8    (1) develop a comprehensive database that includes detailed listings in both
125.9consumer- and provider-oriented formats;
125.10    (2) make the database accessible on the Internet and through other telecommunication
125.11and media-related tools;
125.12    (3) link callers to interactive long-term care screening tools and make these tools
125.13available through the Internet by integrating the tools with the database;
125.14    (4) develop community education materials with a focus on planning for long-term
125.15care and evaluating independent living, housing, and service options;
125.16    (5) conduct an outreach campaign to assist older adults and their caregivers in
125.17finding information on the Internet and through other means of communication;
125.18    (6) implement a messaging system for overflow callers and respond to these callers
125.19by the next business day;
125.20    (7) link callers with county human services and other providers to receive more
125.21in-depth assistance and consultation related to long-term care options;
125.22    (8) link callers with quality profiles for nursing facilities and other providers
125.23developed by the commissioner of health;
125.24    (9) incorporate information about the availability of housing options, as well as
125.25registered housing with services and consumer rights within the MinnesotaHelp.info
125.26network long-term care database to facilitate consumer comparison of services and costs
125.27among housing with services establishments and with other in-home services and to
125.28support financial self-sufficiency as long as possible. Housing with services establishments
125.29and their arranged home care providers shall provide information to the commissioner of
125.30human services that is consistent with information required by the commissioner of health
125.31under section 144G.06, the Uniform Consumer Information Guide that will facilitate price
125.32comparisons, including delineation of charges for rent and for services available. The
125.33commissioners of health and human services shall align the data elements required by
125.34section 144G.06, the Uniform Consumer Information Guide, and this section to provide
125.35consumers standardized information and ease of comparison of long-term care options.
126.1The commissioner of human services shall provide the data to the Minnesota Board on
126.2Aging for inclusion in the MinnesotaHelp.info network long-term care database;
126.3(10) provide long-term care options counseling. Long-term care options counselors
126.4shall:
126.5(i) for individuals not eligible for case management under a public program or public
126.6funding source, provide interactive decision support under which consumers, family
126.7members, or other helpers are supported in their deliberations to determine appropriate
126.8long-term care choices in the context of the consumer's needs, preferences, values, and
126.9individual circumstances, including implementing a community support plan;
126.10(ii) provide Web-based educational information and collateral written materials to
126.11familiarize consumers, family members, or other helpers with the long-term care basics,
126.12issues to be considered, and the range of options available in the community;
126.13(iii) provide long-term care futures planning, which means providing assistance to
126.14individuals who anticipate having long-term care needs to develop a plan for the more
126.15distant future; and
126.16(iv) provide expertise in benefits and financing options for long-term care, including
126.17Medicare, long-term care insurance, tax or employer-based incentives, reverse mortgages,
126.18private pay options, and ways to access low or no-cost services or benefits through
126.19volunteer-based or charitable programs; and
126.20(11) using risk management and support planning protocols, provide long-term care
126.21options counseling to current residents of nursing homes deemed appropriate for discharge
126.22by the commissioner. In order to meet this requirement, the commissioner shall provide
126.23designated Senior LinkAge Line contact centers with a list of nursing home residents
126.24appropriate for discharge planning via a secure Web portal. Senior LinkAge Line shall
126.25provide these residents, if they indicate a preference to receive long-term care options
126.26counseling, with initial assessment, review of risk factors, independent living support
126.27consultation, or referral to:
126.28(i) long-term care consultation services under section 256B.0911;
126.29(ii) designated care coordinators of contracted entities under section 256B.035 for
126.30persons who are enrolled in a managed care plan; or
126.31(iii) the long-term care consultation team for those who are appropriate for relocation
126.32service coordination due to high-risk factors or psychological or physical disability.

126.33    Sec. 10. Minnesota Statutes 2008, section 256B.057, subdivision 9, is amended to read:
126.34    Subd. 9. Employed persons with disabilities. (a) Medical assistance may be paid
126.35for a person who is employed and who:
127.1(1) but for excess earnings or assets, meets the definition of disabled under the
127.2supplemental security income program;
127.3(2) is at least 16 but less than 65 years of age;
127.4(3) meets the asset limits in paragraph (c); and
127.5(4) effective November 1, 2003, pays a premium and other obligations under
127.6paragraph (e).
127.7Any spousal income or assets shall be disregarded for purposes of eligibility and premium
127.8determinations.
127.9(b) After the month of enrollment, a person enrolled in medical assistance under
127.10this subdivision who:
127.11(1) is temporarily unable to work and without receipt of earned income due to a
127.12medical condition, as verified by a physician, may retain eligibility for up to four calendar
127.13months; or
127.14(2) effective January 1, 2004, loses employment for reasons not attributable to the
127.15enrollee, may retain eligibility for up to four consecutive months after the month of job
127.16loss. To receive a four-month extension, enrollees must verify the medical condition or
127.17provide notification of job loss. All other eligibility requirements must be met and the
127.18enrollee must pay all calculated premium costs for continued eligibility.
127.19(c) For purposes of determining eligibility under this subdivision, a person's assets
127.20must not exceed $20,000, excluding:
127.21(1) all assets excluded under section 256B.056;
127.22(2) retirement accounts, including individual accounts, 401(k) plans, 403(b) plans,
127.23Keogh plans, and pension plans; and
127.24(3) medical expense accounts set up through the person's employer.
127.25(d)(1) Effective January 1, 2004, for purposes of eligibility, there will be a $65
127.26earned income disregard. To be eligible, a person applying for medical assistance under
127.27this subdivision must have earned income above the disregard level.
127.28(2) Effective January 1, 2004, to be considered earned income, Medicare, Social
127.29Security, and applicable state and federal income taxes must be withheld. To be eligible,
127.30a person must document earned income tax withholding.
127.31(e)(1) A person whose earned and unearned income is equal to or greater than 100
127.32percent of federal poverty guidelines for the applicable family size must pay a premium
127.33to be eligible for medical assistance under this subdivision. The premium shall be based
127.34on the person's gross earned and unearned income and the applicable family size using a
127.35sliding fee scale established by the commissioner, which begins at one percent of income
127.36at 100 percent of the federal poverty guidelines and increases to 7.5 percent of income
128.1for those with incomes at or above 300 percent of the federal poverty guidelines. Annual
128.2adjustments in the premium schedule based upon changes in the federal poverty guidelines
128.3shall be effective for premiums due in July of each year.
128.4(2) Effective January 1, 2004, all enrollees must pay a premium to be eligible for
128.5medical assistance under this subdivision. An enrollee shall pay the greater of a $35
128.6premium or the premium calculated in clause (1).
128.7(3) Effective November 1, 2003, all enrollees who receive unearned income must
128.8pay one-half of one percent of unearned income in addition to the premium amount.
128.9(4) Effective November 1, 2003, for enrollees whose income does not exceed 200
128.10percent of the federal poverty guidelines and who are also enrolled in Medicare, the
128.11commissioner must reimburse the enrollee for Medicare Part B premiums under section
128.12256B.0625, subdivision 15 , paragraph (a).
128.13(5) Increases in benefits under title II of the Social Security Act shall not be counted
128.14as income for purposes of this subdivision until July 1 of each year.
128.15(f) A person's eligibility and premium shall be determined by the local county
128.16agency. Premiums must be paid to the commissioner. All premiums are dedicated to
128.17the commissioner.
128.18(g) Any required premium shall be determined at application and redetermined at
128.19the enrollee's six-month income review or when a change in income or household size is
128.20reported. Enrollees must report any change in income or household size within ten days
128.21of when the change occurs. A decreased premium resulting from a reported change in
128.22income or household size shall be effective the first day of the next available billing month
128.23after the change is reported. Except for changes occurring from annual cost-of-living
128.24increases, a change resulting in an increased premium shall not affect the premium amount
128.25until the next six-month review.
128.26(h) Premium payment is due upon notification from the commissioner of the
128.27premium amount required. Premiums may be paid in installments at the discretion of
128.28the commissioner.
128.29(i) Nonpayment of the premium shall result in denial or termination of medical
128.30assistance unless the person demonstrates good cause for nonpayment. Good cause exists
128.31if the requirements specified in Minnesota Rules, part 9506.0040, subpart 7, items B to
128.32D, are met. Except when an installment agreement is accepted by the commissioner,
128.33all persons disenrolled for nonpayment of a premium must pay any past due premiums
128.34as well as current premiums due prior to being reenrolled. Nonpayment shall include
128.35payment with a returned, refused, or dishonored instrument. The commissioner may
129.1require a guaranteed form of payment as the only means to replace a returned, refused,
129.2or dishonored instrument.
129.3(j) The commissioner shall notify enrollees annually beginning at least 24 months
129.4before the person's 65th birthday of the medical assistance eligibility rules affecting
129.5income, assets, and treatment of a spouse's income and assets that will be applied upon
129.6reaching age 65.
129.7EFFECTIVE DATE.This section is effective January 1, 2011.

129.8    Sec. 11. Minnesota Statutes 2009 Supplement, section 256B.0659, subdivision 11,
129.9is amended to read:
129.10    Subd. 11. Personal care assistant; requirements. (a) A personal care assistant
129.11must meet the following requirements:
129.12(1) be at least 18 years of age with the exception of persons who are 16 or 17 years
129.13of age with these additional requirements:
129.14(i) supervision by a qualified professional every 60 days; and
129.15(ii) employment by only one personal care assistance provider agency responsible
129.16for compliance with current labor laws;
129.17(2) be employed by a personal care assistance provider agency;
129.18(3) enroll with the department as a personal care assistant after clearing a background
129.19study. Before a personal care assistant provides services, the personal care assistance
129.20provider agency must initiate a background study on the personal care assistant under
129.21chapter 245C, and the personal care assistance provider agency must have received a
129.22notice from the commissioner that the personal care assistant is:
129.23(i) not disqualified under section 245C.14; or
129.24(ii) is disqualified, but the personal care assistant has received a set aside of the
129.25disqualification under section 245C.22;
129.26(4) be able to effectively communicate with the recipient and personal care
129.27assistance provider agency;
129.28(5) be able to provide covered personal care assistance services according to the
129.29recipient's personal care assistance care plan, respond appropriately to recipient needs,
129.30and report changes in the recipient's condition to the supervising qualified professional
129.31or physician;
129.32(6) not be a consumer of personal care assistance services;
129.33(7) maintain daily written records including, but not limited to, time sheets under
129.34subdivision 12;
130.1(8) effective January 1, 2010, complete standardized training as determined by the
130.2commissioner before completing enrollment. Personal care assistant training must include
130.3successful completion of the following training components: basic first aid, vulnerable
130.4adult, child maltreatment, OSHA universal precautions, basic roles and responsibilities of
130.5personal care assistants including information about assistance with lifting and transfers
130.6for recipients, emergency preparedness, orientation to positive behavioral practices, fraud
130.7issues, and completion of time sheets. Upon completion of the training components,
130.8the personal care assistant must demonstrate the competency to provide assistance to
130.9recipients;
130.10(9) complete training and orientation on the needs of the recipient within the first
130.11seven days after the services begin; and
130.12(10) be limited to providing and being paid for up to 310 275 hours per month of
130.13personal care assistance services regardless of the number of recipients being served or the
130.14number of personal care assistance provider agencies enrolled with.
130.15(b) A legal guardian may be a personal care assistant if the guardian is not being paid
130.16for the guardian services and meets the criteria for personal care assistants in paragraph (a).
130.17(c) Effective January 1, 2010, persons who do not qualify as a personal care assistant
130.18include parents and stepparents of minors, spouses, paid legal guardians, family foster
130.19care providers, except as otherwise allowed in section 256B.0625, subdivision 19a, or
130.20staff of a residential setting.
130.21EFFECTIVE DATE.This section is effective July 1, 2011.

130.22    Sec. 12. Minnesota Statutes 2008, section 256B.0915, is amended by adding a
130.23subdivision to read:
130.24    Subd. 3i. Rate reduction for customized living and 24-hour customized living
130.25services. (a) Effective July 1, 2010, the commissioner shall reduce service component
130.26rates and service rate limits for customized living services and 24-hour customized living
130.27services, from the rates in effect on June 30, 2010, by five percent.
130.28(b) To implement the rate reductions in this subdivision, capitation rates paid by the
130.29commissioner to managed care organizations under section 256B.69 shall reflect a ten
130.30percent reduction for the specified services for the period January 1, 2011, to June 30,
130.312011, and a five percent reduction for those services on and after July 1, 2011.

130.32    Sec. 13. Minnesota Statutes 2009 Supplement, section 256B.441, subdivision 55,
130.33is amended to read:
131.1    Subd. 55. Phase-in of rebased operating payment rates. (a) For the rate years
131.2beginning October 1, 2008, to October 1, 2015, the operating payment rate calculated
131.3under this section shall be phased in by blending the operating rate with the operating
131.4payment rate determined under section 256B.434. For purposes of this subdivision, the
131.5rate to be used that is determined under section 256B.434 shall not include the portion of
131.6the operating payment rate related to performance-based incentive payments under section
131.7256B.434, subdivision 4 , paragraph (d). For the rate year beginning October 1, 2008, the
131.8operating payment rate for each facility shall be 13 percent of the operating payment rate
131.9from this section, and 87 percent of the operating payment rate from section 256B.434.
131.10For the rate year beginning October 1, 2009, the operating payment rate for each facility
131.11shall be 14 percent of the operating payment rate from this section, and 86 percent of
131.12the operating payment rate from section 256B.434. For rate years beginning October 1,
131.132010; October 1, 2011; and October 1, 2012, For the rate period from October 1, 2009, to
131.14September 30, 2013, no rate adjustments shall be implemented under this section, but shall
131.15be determined under section 256B.434. For the rate year beginning October 1, 2013, the
131.16operating payment rate for each facility shall be 65 percent of the operating payment rate
131.17from this section, and 35 percent of the operating payment rate from section 256B.434.
131.18For the rate year beginning October 1, 2014, the operating payment rate for each facility
131.19shall be 82 percent of the operating payment rate from this section, and 18 percent of the
131.20operating payment rate from section 256B.434. For the rate year beginning October 1,
131.212015, the operating payment rate for each facility shall be the operating payment rate
131.22determined under this section. The blending of operating payment rates under this section
131.23shall be performed separately for each RUG's class.
131.24    (b) For the rate year beginning October 1, 2008, the commissioner shall apply limits
131.25to the operating payment rate increases under paragraph (a) by creating a minimum
131.26percentage increase and a maximum percentage increase.
131.27    (1) Each nursing facility that receives a blended October 1, 2008, operating payment
131.28rate increase under paragraph (a) of less than one percent, when compared to its operating
131.29payment rate on September 30, 2008, computed using rates with RUG's weight of 1.00,
131.30shall receive a rate adjustment of one percent.
131.31    (2) The commissioner shall determine a maximum percentage increase that will
131.32result in savings equal to the cost of allowing the minimum increase in clause (1). Nursing
131.33facilities with a blended October 1, 2008, operating payment rate increase under paragraph
131.34(a) greater than the maximum percentage increase determined by the commissioner, when
131.35compared to its operating payment rate on September 30, 2008, computed using rates with
131.36a RUG's weight of 1.00, shall receive the maximum percentage increase.
132.1    (3) Nursing facilities with a blended October 1, 2008, operating payment rate
132.2increase under paragraph (a) greater than one percent and less than the maximum
132.3percentage increase determined by the commissioner, when compared to its operating
132.4payment rate on September 30, 2008, computed using rates with a RUG's weight of 1.00,
132.5shall receive the blended October 1, 2008, operating payment rate increase determined
132.6under paragraph (a).
132.7    (4) The October 1, 2009, through October 1, 2015, operating payment rate for
132.8facilities receiving the maximum percentage increase determined in clause (2) shall be
132.9the amount determined under paragraph (a) less the difference between the amount
132.10determined under paragraph (a) for October 1, 2008, and the amount allowed under clause
132.11(2). This rate restriction does not apply to rate increases provided in any other section.
132.12    (c) A portion of the funds received under this subdivision that are in excess of
132.13operating payment rates that a facility would have received under section 256B.434, as
132.14determined in accordance with clauses (1) to (3), shall be subject to the requirements in
132.15section 256B.434, subdivision 19, paragraphs (b) to (h).
132.16    (1) Determine the amount of additional funding available to a facility, which shall be
132.17equal to total medical assistance resident days from the most recent reporting year times
132.18the difference between the blended rate determined in paragraph (a) for the rate year being
132.19computed and the blended rate for the prior year.
132.20    (2) Determine the portion of all operating costs, for the most recent reporting year,
132.21that are compensation related. If this value exceeds 75 percent, use 75 percent.
132.22    (3) Subtract the amount determined in clause (2) from 75 percent.
132.23    (4) The portion of the fund received under this subdivision that shall be subject to
132.24the requirements in section 256B.434, subdivision 19, paragraphs (b) to (h), shall equal
132.25the amount determined in clause (1) times the amount determined in clause (3).
132.26EFFECTIVE DATE.This section is effective retroactive to October 1, 2009.

132.27    Sec. 14. Minnesota Statutes 2008, section 256B.5012, is amended by adding a
132.28subdivision to read:
132.29    Subd. 9. Rate increase effective June 1, 2010. For rate periods beginning on or
132.30after June 1, 2010, the commissioner shall increase the total operating payment rate for
132.31each facility reimbursed under this section by $8.74 per day. The increase shall not be
132.32subject to any annual percentage increase.
132.33EFFECTIVE DATE.This section is effective June 1, 2010.

133.1    Sec. 15. Minnesota Statutes 2009 Supplement, section 256B.69, subdivision 23,
133.2is amended to read:
133.3    Subd. 23. Alternative services; elderly and disabled persons. (a) The
133.4commissioner may implement demonstration projects to create alternative integrated
133.5delivery systems for acute and long-term care services to elderly persons and persons
133.6with disabilities as defined in section 256B.77, subdivision 7a, that provide increased
133.7coordination, improve access to quality services, and mitigate future cost increases.
133.8The commissioner may seek federal authority to combine Medicare and Medicaid
133.9capitation payments for the purpose of such demonstrations and may contract with
133.10Medicare-approved special needs plans to provide Medicaid services. Medicare funds and
133.11services shall be administered according to the terms and conditions of the federal contract
133.12and demonstration provisions. For the purpose of administering medical assistance funds,
133.13demonstrations under this subdivision are subject to subdivisions 1 to 22. The provisions
133.14of Minnesota Rules, parts 9500.1450 to 9500.1464, apply to these demonstrations,
133.15with the exceptions of parts 9500.1452, subpart 2, item B; and 9500.1457, subpart 1,
133.16items B and C, which do not apply to persons enrolling in demonstrations under this
133.17section. An initial open enrollment period may be provided. Persons who disenroll from
133.18demonstrations under this subdivision remain subject to Minnesota Rules, parts 9500.1450
133.19to 9500.1464. When a person is enrolled in a health plan under these demonstrations and
133.20the health plan's participation is subsequently terminated for any reason, the person shall
133.21be provided an opportunity to select a new health plan and shall have the right to change
133.22health plans within the first 60 days of enrollment in the second health plan. Persons
133.23required to participate in health plans under this section who fail to make a choice of
133.24health plan shall not be randomly assigned to health plans under these demonstrations.
133.25Notwithstanding section 256L.12, subdivision 5, and Minnesota Rules, part 9505.5220,
133.26subpart 1, item A, if adopted, for the purpose of demonstrations under this subdivision,
133.27the commissioner may contract with managed care organizations, including counties, to
133.28serve only elderly persons eligible for medical assistance, elderly and disabled persons, or
133.29disabled persons only. For persons with a primary diagnosis of developmental disability,
133.30serious and persistent mental illness, or serious emotional disturbance, the commissioner
133.31must ensure that the county authority has approved the demonstration and contracting
133.32design. Enrollment in these projects for persons with disabilities shall be voluntary. The
133.33commissioner shall not implement any demonstration project under this subdivision for
133.34persons with a primary diagnosis of developmental disabilities, serious and persistent
133.35mental illness, or serious emotional disturbance, without approval of the county board of
133.36the county in which the demonstration is being implemented.
134.1    (b) Notwithstanding chapter 245B, sections 252.40 to 252.46, 256B.092, 256B.501
134.2to 256B.5015, and Minnesota Rules, parts 9525.0004 to 9525.0036, 9525.1200 to
134.39525.1330, 9525.1580, and 9525.1800 to 9525.1930, the commissioner may implement
134.4under this section projects for persons with developmental disabilities. The commissioner
134.5may capitate payments for ICF/MR services, waivered services for developmental
134.6disabilities, including case management services, day training and habilitation and
134.7alternative active treatment services, and other services as approved by the state and by the
134.8federal government. Case management and active treatment must be individualized and
134.9developed in accordance with a person-centered plan. Costs under these projects may not
134.10exceed costs that would have been incurred under fee-for-service. Beginning July 1, 2003,
134.11and until four years after the pilot project implementation date, subcontractor participation
134.12in the long-term care developmental disability pilot is limited to a nonprofit long-term
134.13care system providing ICF/MR services, home and community-based waiver services,
134.14and in-home services to no more than 120 consumers with developmental disabilities in
134.15Carver, Hennepin, and Scott Counties. The commissioner shall report to the legislature
134.16prior to expansion of the developmental disability pilot project. This paragraph expires
134.17four years after the implementation date of the pilot project.
134.18    (c) Before implementation of a demonstration project for disabled persons, the
134.19commissioner must provide information to appropriate committees of the house of
134.20representatives and senate and must involve representatives of affected disability groups
134.21in the design of the demonstration projects.
134.22    (d) A nursing facility reimbursed under the alternative reimbursement methodology
134.23in section 256B.434 may, in collaboration with a hospital, clinic, or other health care entity
134.24provide services under paragraph (a). The commissioner shall amend the state plan and
134.25seek any federal waivers necessary to implement this paragraph.
134.26    (e) The commissioner, in consultation with the commissioners of commerce and
134.27health, may approve and implement programs for all-inclusive care for the elderly (PACE)
134.28according to federal laws and regulations governing that program and state laws or rules
134.29applicable to participating providers. The process for approval of these programs shall
134.30begin only after the commissioner receives grant money in an amount sufficient to cover
134.31the state share of the administrative and actuarial costs to implement the programs during
134.32state fiscal years 2006 and 2007. Grant amounts for this purpose shall be deposited in an
134.33account in the special revenue fund and are appropriated to the commissioner to be used
134.34solely for the purpose of PACE administrative and actuarial costs. A PACE provider is
134.35not required to be licensed or certified as a health plan company as defined in section
134.3662Q.01, subdivision 4 . Persons age 55 and older who have been screened by the county
135.1and found to be eligible for services under the elderly waiver or community alternatives
135.2for disabled individuals or who are already eligible for Medicaid but meet level of
135.3care criteria for receipt of waiver services may choose to enroll in the PACE program.
135.4Medicare and Medicaid services will be provided according to this subdivision and
135.5federal Medicare and Medicaid requirements governing PACE providers and programs.
135.6PACE enrollees will receive Medicaid home and community-based services through the
135.7PACE provider as an alternative to services for which they would otherwise be eligible
135.8through home and community-based waiver programs and Medicaid State Plan Services.
135.9The commissioner shall establish Medicaid rates for PACE providers that do not exceed
135.10costs that would have been incurred under fee-for-service or other relevant managed care
135.11programs operated by the state.
135.12    (f) The commissioner shall seek federal approval to expand the Minnesota disability
135.13health options (MnDHO) program established under this subdivision in stages, first to
135.14regional population centers outside the seven-county metro area and then to all areas of
135.15the state. Until July 1, 2009, expansion for MnDHO projects that include home and
135.16community-based services is limited to the two projects and service areas in effect on
135.17March 1, 2006. Enrollment in integrated MnDHO programs that include home and
135.18community-based services shall remain voluntary. Costs for home and community-based
135.19services included under MnDHO must not exceed costs that would have been incurred
135.20under the fee-for-service program. Notwithstanding whether expansion occurs under
135.21this paragraph, in determining MnDHO payment rates and risk adjustment methods for
135.22contract years starting in 2012, the commissioner must consider the methods used to
135.23determine county allocations for home and community-based program participants. If
135.24necessary to reduce MnDHO rates to comply with the provision regarding MnDHO costs
135.25for home and community-based services, the commissioner shall achieve the reduction
135.26by maintaining the base rate for contract years year 2010 and 2011 for services provided
135.27under the community alternatives for disabled individuals waiver at the same level as for
135.28contract year 2009. The commissioner may apply other reductions to MnDHO rates to
135.29implement decreases in provider payment rates required by state law. Effective December
135.3031, 2010, enrollment and operation of the MnDHO program in effect during 2010 shall
135.31cease. The commissioner may reopen the program provided all applicable conditions of
135.32this section are met. In developing program specifications for expansion of integrated
135.33programs, the commissioner shall involve and consult the state-level stakeholder group
135.34established in subdivision 28, paragraph (d), including consultation on whether and how
135.35to include home and community-based waiver programs. Plans for further expansion of to
135.36reopen MnDHO projects shall be presented to the chairs of the house of representatives
136.1and senate committees with jurisdiction over health and human services policy and finance
136.2by February 1, 2007 prior to implementation.
136.3    (g) Notwithstanding section 256B.0261, health plans providing services under this
136.4section are responsible for home care targeted case management and relocation targeted
136.5case management. Services must be provided according to the terms of the waivers and
136.6contracts approved by the federal government.

136.7    Sec. 16. Laws 2009, chapter 79, article 8, section 51, the effective date, is amended to
136.8read:
136.9EFFECTIVE DATE.This section is effective January July 1, 2011.

136.10    Sec. 17. Laws 2009, chapter 79, article 8, section 84, is amended to read:
136.11    Sec. 84. HOUSING OPTIONS.
136.12The commissioner of human services, in consultation with the commissioner of
136.13administration and the Minnesota Housing Finance Agency, and representatives of
136.14counties, residents' advocacy groups, consumers of housing services, and provider
136.15agencies shall explore ways to maximize the availability and affordability of housing
136.16choices available to persons with disabilities or who need care assistance due to other
136.17health challenges. A goal shall also be to minimize state physical plant costs in order to
136.18serve more persons with appropriate program and care support. Consideration shall be
136.19given to:
136.20(1) improved access to rent subsidies;
136.21(2) use of cooperatives, land trusts, and other limited equity ownership models;
136.22(3) whether a public equity housing fund should be established that would maintain
136.23the state's interest, to the extent paid from state funds, including group residential housing
136.24and Minnesota supplemental aid shelter-needy funds in provider-owned housing, so that
136.25when sold, the state would recover its share for a public equity fund to be used for future
136.26public needs under this chapter;
136.27(4) the desirability of the state acquiring an ownership interest or promoting the
136.28use of publicly owned housing;
136.29(5) promoting more choices in the market for accessible housing that meets the
136.30needs of persons with physical challenges; and
136.31(6) what consumer ownership models, if any, are appropriate; and
136.32(7) a review of the definition of home and community services and appropriate
136.33settings where these services may be provided, including the number of people who
137.1may reside under one roof, through the home and community-based waivers for seniors
137.2and individuals with disabilities.
137.3The commissioner shall provide a written report on the findings of the evaluation of
137.4housing options to the chairs and ranking minority members of the house of representatives
137.5and senate standing committees with jurisdiction over health and human services policy
137.6and funding by December 15, 2010. This report shall replace the November 1, 2010,
137.7annual report by the commissioner required in Minnesota Statutes, sections 256B.0916,
137.8subdivision 7
, and 256B.49, subdivision 21.

137.9    Sec. 18. COMMISSIONER TO SEEK FEDERAL MATCH.
137.10(a) The commissioner of human services shall seek federal financial participation
137.11for eligible activity related to fiscal years 2010 and 2011 grants to Advocating Change
137.12Together to establish a statewide self-advocacy network for persons with developmental
137.13disabilities and for eligible activities under any future grants to the organization.
137.14(b) The commissioner shall report to the chairs and ranking minority members of
137.15the senate Health and Human Services Budget Division and the house of representatives
137.16Health Care and Human Services Finance Division by December 15, 2010, with the
137.17results of the application for federal matching funds.

137.18    Sec. 19. ICF/MR RATE INCREASE.
137.19    The daily rate at an intermediate care facility for the developmentally disabled
137.20located in Clearwater County and classified as a Class A facility with 15 beds shall be
137.21increased from $112.73 to $138.23 for the rate period July 1, 2010, to June 30, 2011.

137.22ARTICLE 18
137.23CHILDREN AND FAMILY SERVICES

137.24    Section 1. Minnesota Statutes 2008, section 256D.0515, is amended to read:
137.25256D.0515 ASSET LIMITATIONS FOR FOOD STAMP HOUSEHOLDS.
137.26All food stamp households must be determined eligible for the benefit discussed
137.27under section 256.029. Food stamp households must demonstrate that:
137.28(1) their gross income meets the federal Food Stamp requirements under United
137.29States Code, title 7, section 2014(c); and
137.30(2) they have financial resources, excluding vehicles, of less than $7,000 is equal to
137.31or less than 165 percent of the federal poverty guidelines for the same family size.
137.32EFFECTIVE DATE.This section is effective November 1, 2010.

138.1    Sec. 2. Minnesota Statutes 2008, section 256I.05, is amended by adding a subdivision
138.2to read:
138.3    Subd. 1n. Supplemental rate; Mahnomen County. Notwithstanding the
138.4provisions of this section, for the rate period July 1, 2010, to June 30, 2011, a county
138.5agency shall negotiate a supplemental service rate in addition to the rate specified in
138.6subdivision 1, not to exceed $753 per month or the existing rate, including any legislative
138.7authorized inflationary adjustments, for a group residential provider located in Mahnomen
138.8County that operates a 28-bed facility providing 24-hour care to individuals who are
138.9homeless, disabled, chemically dependent, mentally ill, or chronically homeless.

138.10    Sec. 3. Minnesota Statutes 2008, section 256J.24, subdivision 6, is amended to read:
138.11    Subd. 6. Family cap. (a) MFIP assistance units shall not receive an increase in the
138.12cash portion of the transitional standard as a result of the birth of a child, unless one of
138.13the conditions under paragraph (b) is met. The child shall be considered a member of the
138.14assistance unit according to subdivisions 1 to 3, but shall be excluded in determining
138.15family size for purposes of determining the amount of the cash portion of the transitional
138.16standard under subdivision 5. The child shall be included in determining family size for
138.17purposes of determining the food portion of the transitional standard. The transitional
138.18standard under this subdivision shall be the total of the cash and food portions as specified
138.19in this paragraph. The family wage level under this subdivision shall be based on the
138.20family size used to determine the food portion of the transitional standard.
138.21(b) A child shall be included in determining family size for purposes of determining
138.22the amount of the cash portion of the MFIP transitional standard when at least one of
138.23the following conditions is met:
138.24(1) for families receiving MFIP assistance on July 1, 2003, the child is born to the
138.25adult parent before May 1, 2004;
138.26(2) for families who apply for the diversionary work program under section 256J.95
138.27or MFIP assistance on or after July 1, 2003, the child is born to the adult parent within
138.28ten months of the date the family is eligible for assistance;
138.29(3) the child was conceived as a result of a sexual assault or incest, provided that the
138.30incident has been reported to a law enforcement agency;
138.31(4) the child's mother is a minor caregiver as defined in section 256J.08, subdivision
138.3259
, and the child, or multiple children, are the mother's first birth; or
138.33(5) the child is the mother's first child subsequent to a pregnancy that did not result
138.34in a live birth; or
139.1(6) any child previously excluded in determining family size under paragraph
139.2(a) shall be included if the adult parent or parents have not received benefits from the
139.3diversionary work program under section 256J.95 or MFIP assistance in the previous ten
139.4months. An adult parent or parents who reapply and have received benefits from the
139.5diversionary work program or MFIP assistance in the past ten months shall be under the
139.6ten-month grace period of their previous application under clause (2).
139.7(c) Income and resources of a child excluded under this subdivision, except child
139.8support received or distributed on behalf of this child, must be considered using the same
139.9policies as for other children when determining the grant amount of the assistance unit.
139.10(d) The caregiver must assign support and cooperate with the child support
139.11enforcement agency to establish paternity and collect child support on behalf of the
139.12excluded child. Failure to cooperate results in the sanction specified in section 256J.46,
139.13subdivisions 2 and 2a
. Current support paid on behalf of the excluded child shall be
139.14distributed according to section 256.741, subdivision 15.
139.15(e) County agencies must inform applicants of the provisions under this subdivision
139.16at the time of each application and at recertification.
139.17(f) Children excluded under this provision shall be deemed MFIP recipients for
139.18purposes of child care under chapter 119B.
139.19EFFECTIVE DATE.This section is effective September 1, 2010.

139.20    Sec. 4. Minnesota Statutes 2009 Supplement, section 256J.425, subdivision 3, is
139.21amended to read:
139.22    Subd. 3. Hard-to-employ participants. (a) An assistance unit subject to the time
139.23limit in section 256J.42, subdivision 1, is eligible to receive months of assistance under
139.24a hardship extension if the participant who reached the time limit belongs to any of the
139.25following groups:
139.26    (1) a person who is diagnosed by a licensed physician, psychological practitioner, or
139.27other qualified professional, as developmentally disabled or mentally ill, and the condition
139.28severely limits the person's ability to obtain or maintain suitable employment;
139.29    (2) a person who:
139.30    (i) has been assessed by a vocational specialist or the county agency to be
139.31unemployable for purposes of this subdivision; or
139.32    (ii) has an IQ below 80 who has been assessed by a vocational specialist or a county
139.33agency to be employable, but the condition severely limits the person's ability to obtain or
139.34maintain suitable employment. The determination of IQ level must be made by a qualified
139.35professional. In the case of a non-English-speaking person: (A) the determination must
140.1be made by a qualified professional with experience conducting culturally appropriate
140.2assessments, whenever possible; (B) the county may accept reports that identify an
140.3IQ range as opposed to a specific score; (C) these reports must include a statement of
140.4confidence in the results;
140.5    (3) a person who is determined by a qualified professional to be learning disabled,
140.6and the condition severely limits the person's ability to obtain or maintain suitable
140.7employment. For purposes of the initial approval of a learning disability extension, the
140.8determination must have been made or confirmed within the previous 12 months. In the
140.9case of a non-English-speaking person: (i) the determination must be made by a qualified
140.10professional with experience conducting culturally appropriate assessments, whenever
140.11possible; and (ii) these reports must include a statement of confidence in the results. If a
140.12rehabilitation plan for a participant extended as learning disabled is developed or approved
140.13by the county agency, the plan must be incorporated into the employment plan. However,
140.14a rehabilitation plan does not replace the requirement to develop and comply with an
140.15employment plan under section 256J.521; or
140.16    (4) a person who has been granted a family violence waiver, and who is complying
140.17with an employment plan under section 256J.521, subdivision 3.
140.18    (b) For purposes of this section chapter, "severely limits the person's ability to obtain
140.19or maintain suitable employment" means:
140.20    (1) that a qualified professional has determined that the person's condition prevents
140.21the person from working 20 or more hours per week; or
140.22    (2) for a person who meets the requirements of paragraph (a), clause (2), item (ii), or
140.23clause (3), a qualified professional has determined the person's condition:
140.24    (i) significantly restricts the range of employment that the person is able to perform;
140.25or
140.26    (ii) significantly interferes with the person's ability to obtain or maintain suitable
140.27employment for 20 or more hours per week.

140.28    Sec. 5. Minnesota Statutes 2009 Supplement, section 256J.621, is amended to read:
140.29256J.621 WORK PARTICIPATION CASH BENEFITS.
140.30    (a) Effective October 1, 2009, upon exiting the diversionary work program (DWP)
140.31or upon terminating the Minnesota family investment program with earnings, a participant
140.32who is employed may be eligible for work participation cash benefits of $50 $25 per
140.33month to assist in meeting the family's basic needs as the participant continues to move
140.34toward self-sufficiency.
141.1    (b) To be eligible for work participation cash benefits, the participant shall not
141.2receive MFIP or diversionary work program assistance during the month and the
141.3participant or participants must meet the following work requirements:
141.4    (1) if the participant is a single caregiver and has a child under six years of age, the
141.5participant must be employed at least 87 hours per month;
141.6    (2) if the participant is a single caregiver and does not have a child under six years of
141.7age, the participant must be employed at least 130 hours per month; or
141.8    (3) if the household is a two-parent family, at least one of the parents must be
141.9employed an average of at least 130 hours per month.
141.10    Whenever a participant exits the diversionary work program or is terminated from
141.11MFIP and meets the other criteria in this section, work participation cash benefits are
141.12available for up to 24 consecutive months.
141.13    (c) Expenditures on the program are maintenance of effort state funds under
141.14a separate state program for participants under paragraph (b), clauses (1) and (2).
141.15Expenditures for participants under paragraph (b), clause (3), are nonmaintenance of effort
141.16funds. Months in which a participant receives work participation cash benefits under this
141.17section do not count toward the participant's MFIP 60-month time limit.
141.18EFFECTIVE DATE.This section is effective December 1, 2010.

141.19ARTICLE 19
141.20MISCELLANEOUS

141.21    Section 1. [62Q.545] COVERAGE OF PRIVATE DUTY NURSING SERVICES.
141.22(a) Private duty nursing services, as provided under section 256B.0625, subdivision
141.237, with the exception of section 256B.0654, subdivision 4, shall be covered under a health
141.24plan for persons who are concurrently covered by both the health plan and enrolled in
141.25medical assistance under chapter 256B.
141.26(b) For purposes of this section, a period of private duty nursing services may
141.27be subject to the co-payment, coinsurance, deductible, or other enrollee cost-sharing
141.28requirements that apply under the health plan. Cost-sharing requirements for private
141.29duty nursing services must not place a greater financial burden on the insured or enrollee
141.30than those requirements applied by the health plan to other similar services or benefits.
141.31Nothing in this section is intended to prevent a health plan company from requiring
141.32prior authorization by the health plan company for such services as required by section
141.33256B.0625, subdivision 7, or use of contracted providers under the applicable provisions
141.34of the health plan.
142.1EFFECTIVE DATE.This section is effective July 1, 2010, and applies to health
142.2plans offered, sold, issued, or renewed on or after that date.

142.3    Sec. 2. [137.32] MINNESOTA COUPLES ON THE BRINK PROJECT.
142.4    Subdivision 1. Establishment. Within the limits of available appropriations, the
142.5Board of Regents of the University of Minnesota is requested to develop and implement
142.6a Minnesota couples on the brink project, as provided for in this section. The regents
142.7may administer the project with federal grants, state appropriations, and in-kind services
142.8received for this purpose.
142.9    Subd. 2. Purpose. The purpose of the project is to develop, evaluate, and
142.10disseminate best practices for promoting successful reconciliation between married
142.11persons who are considering or have commenced a marriage dissolution proceeding and
142.12who choose to pursue reconciliation.
142.13    Subd. 3. Implementation. The regents shall:
142.14(1) enter into contracts or manage a grant process for implementation of the project;
142.15and
142.16(2) develop and implement an evaluation component for the project.

142.17    Sec. 3. Minnesota Statutes 2008, section 152.126, as amended by Laws 2009, chapter
142.1879, article 11, sections 9, 10, and 11, is amended to read:
142.19152.126 SCHEDULE II AND III CONTROLLED SUBSTANCES
142.20PRESCRIPTION ELECTRONIC REPORTING SYSTEM.
142.21    Subdivision 1. Definitions. For purposes of this section, the terms defined in this
142.22subdivision have the meanings given.
142.23    (a) "Board" means the Minnesota State Board of Pharmacy established under
142.24chapter 151.
142.25    (b) "Controlled substances" means those substances listed in section 152.02,
142.26subdivisions 3 to 5, and those substances defined by the board pursuant to section 152.02,
142.27subdivisions 7
, 8, and 12.
142.28    (c) "Dispense" or "dispensing" has the meaning given in section 151.01, subdivision
142.2930. Dispensing does not include the direct administering of a controlled substance to a
142.30patient by a licensed health care professional.
142.31    (d) "Dispenser" means a person authorized by law to dispense a controlled substance,
142.32pursuant to a valid prescription. For the purposes of this section, a dispenser does not
142.33include a licensed hospital pharmacy that distributes controlled substances for inpatient
142.34hospital care or a veterinarian who is dispensing prescriptions under section 156.18.
143.1    (e) "Prescriber" means a licensed health care professional who is authorized to
143.2prescribe a controlled substance under section 152.12, subdivision 1.
143.3    (f) "Prescription" has the meaning given in section 151.01, subdivision 16.
143.4    Subd. 1a. Treatment of intractable pain. This section is not intended to limit or
143.5interfere with the legitimate prescribing of controlled substances for pain. No prescriber
143.6shall be subject to disciplinary action by a health-related licensing board for prescribing a
143.7controlled substance according to the provisions of section 152.125.
143.8    Subd. 2. Prescription electronic reporting system. (a) The board shall establish
143.9by January 1, 2010, an electronic system for reporting the information required under
143.10subdivision 4 for all controlled substances dispensed within the state.
143.11    (b) The board may contract with a vendor for the purpose of obtaining technical
143.12assistance in the design, implementation, operation, and maintenance of the electronic
143.13reporting system.
143.14    Subd. 3. Prescription Electronic Reporting Advisory Committee. (a) The
143.15board shall convene an advisory committee. The committee must include at least one
143.16representative of:
143.17    (1) the Department of Health;
143.18    (2) the Department of Human Services;
143.19    (3) each health-related licensing board that licenses prescribers;
143.20    (4) a professional medical association, which may include an association of pain
143.21management and chemical dependency specialists;
143.22    (5) a professional pharmacy association;
143.23    (6) a professional nursing association;
143.24    (7) a professional dental association;
143.25    (8) a consumer privacy or security advocate; and
143.26    (9) a consumer or patient rights organization.
143.27    (b) The advisory committee shall advise the board on the development and operation
143.28of the electronic reporting system, including, but not limited to:
143.29    (1) technical standards for electronic prescription drug reporting;
143.30    (2) proper analysis and interpretation of prescription monitoring data; and
143.31    (3) an evaluation process for the program.
143.32    (c) The Board of Pharmacy, after consultation with the advisory committee, shall
143.33present recommendations and draft legislation on the issues addressed by the advisory
143.34committee under paragraph (b), to the legislature by December 15, 2007.
144.1    Subd. 4. Reporting requirements; notice. (a) Each dispenser must submit the
144.2following data to the board or its designated vendor, subject to the notice required under
144.3paragraph (d):
144.4    (1) name of the prescriber;
144.5    (2) national provider identifier of the prescriber;
144.6    (3) name of the dispenser;
144.7    (4) national provider identifier of the dispenser;
144.8    (5) prescription number;
144.9    (6) name of the patient for whom the prescription was written;
144.10    (7) address of the patient for whom the prescription was written;
144.11    (8) date of birth of the patient for whom the prescription was written;
144.12    (9) date the prescription was written;
144.13    (10) date the prescription was filled;
144.14    (11) name and strength of the controlled substance;
144.15    (12) quantity of controlled substance prescribed;
144.16    (13) quantity of controlled substance dispensed; and
144.17    (14) number of days supply.
144.18    (b) The dispenser must submit the required information by a procedure and in a
144.19format established by the board. The board may allow dispensers to omit data listed in this
144.20subdivision or may require the submission of data not listed in this subdivision provided
144.21the omission or submission is necessary for the purpose of complying with the electronic
144.22reporting or data transmission standards of the American Society for Automation in
144.23Pharmacy, the National Council on Prescription Drug Programs, or other relevant national
144.24standard-setting body.
144.25    (c) A dispenser is not required to submit this data for those controlled substance
144.26prescriptions dispensed for:
144.27    (1) individuals residing in licensed skilled nursing or intermediate care facilities;
144.28    (2) individuals receiving assisted living services under chapter 144G or through a
144.29medical assistance home and community-based waiver;
144.30    (3) individuals receiving medication intravenously;
144.31    (4) individuals receiving hospice and other palliative or end-of-life care; and
144.32    (5) individuals receiving services from a home care provider regulated under chapter
144.33144A.
144.34    (d) A dispenser must not submit data under this subdivision unless a conspicuous
144.35notice of the reporting requirements of this section is given to the patient for whom the
144.36prescription was written.
145.1    Subd. 5. Use of data by board. (a) The board shall develop and maintain a database
145.2of the data reported under subdivision 4. The board shall maintain data that could identify
145.3an individual prescriber or dispenser in encrypted form. The database may be used by
145.4permissible users identified under subdivision 6 for the identification of:
145.5    (1) individuals receiving prescriptions for controlled substances from prescribers
145.6who subsequently obtain controlled substances from dispensers in quantities or with a
145.7frequency inconsistent with generally recognized standards of use for those controlled
145.8substances, including standards accepted by national and international pain management
145.9associations; and
145.10    (2) individuals presenting forged or otherwise false or altered prescriptions for
145.11controlled substances to dispensers.
145.12    (b) No permissible user identified under subdivision 6 may access the database
145.13for the sole purpose of identifying prescribers of controlled substances for unusual or
145.14excessive prescribing patterns without a valid search warrant or court order.
145.15    (c) No personnel of a state or federal occupational licensing board or agency may
145.16access the database for the purpose of obtaining information to be used to initiate or
145.17substantiate a disciplinary action against a prescriber.
145.18    (d) Data reported under subdivision 4 shall be retained by the board in the database
145.19for a 12-month period, and shall be removed from the database no later than 12 months
145.20from the date the last day of the month during which the data was received.
145.21    Subd. 6. Access to reporting system data. (a) Except as indicated in this
145.22subdivision, the data submitted to the board under subdivision 4 is private data on
145.23individuals as defined in section 13.02, subdivision 12, and not subject to public disclosure.
145.24    (b) Except as specified in subdivision 5, the following persons shall be considered
145.25permissible users and may access the data submitted under subdivision 4 in the same or
145.26similar manner, and for the same or similar purposes, as those persons who are authorized
145.27to access similar private data on individuals under federal and state law:
145.28    (1) a prescriber or an agent or employee of the prescriber to whom the prescriber has
145.29delegated the task of accessing the data, to the extent the information relates specifically to
145.30a current patient, to whom the prescriber is prescribing or considering prescribing any
145.31controlled substance and with the provision that the prescriber remains responsible for the
145.32use or misuse of data accessed by a delegated agent or employee;
145.33    (2) a dispenser or an agent or employee of the dispenser to whom the dispenser has
145.34delegated the task of accessing the data, to the extent the information relates specifically
145.35to a current patient to whom that dispenser is dispensing or considering dispensing any
146.1controlled substance and with the provision that the dispenser remains responsible for the
146.2use or misuse of data accessed by a delegated agent or employee;
146.3    (3) an individual who is the recipient of a controlled substance prescription for
146.4which data was submitted under subdivision 4, or a guardian of the individual, parent or
146.5guardian of a minor, or health care agent of the individual acting under a health care
146.6directive under chapter 145C;
146.7    (4) personnel of the board specifically assigned to conduct a bona fide investigation
146.8of a specific licensee;
146.9    (5) personnel of the board engaged in the collection of controlled substance
146.10prescription information as part of the assigned duties and responsibilities under this
146.11section;
146.12    (6) authorized personnel of a vendor under contract with the board who are engaged
146.13in the design, implementation, operation, and maintenance of the electronic reporting
146.14system as part of the assigned duties and responsibilities of their employment, provided
146.15that access to data is limited to the minimum amount necessary to carry out such duties
146.16and responsibilities;
146.17    (7) federal, state, and local law enforcement authorities acting pursuant to a valid
146.18search warrant; and
146.19    (8) personnel of the medical assistance program assigned to use the data collected
146.20under this section to identify recipients whose usage of controlled substances may warrant
146.21restriction to a single primary care physician, a single outpatient pharmacy, or a single
146.22hospital.
146.23    For purposes of clause (3), access by an individual includes persons in the definition
146.24of an individual under section 13.02.
146.25    (c) Any permissible user identified in paragraph (b), who directly accesses
146.26the data electronically, shall implement and maintain a comprehensive information
146.27security program that contains administrative, technical, and physical safeguards that
146.28are appropriate to the user's size and complexity, and the sensitivity of the personal
146.29information obtained. The permissible user shall identify reasonably foreseeable internal
146.30and external risks to the security, confidentiality, and integrity of personal information
146.31that could result in the unauthorized disclosure, misuse, or other compromise of the
146.32information and assess the sufficiency of any safeguards in place to control the risks.
146.33    (d) The board shall not release data submitted under this section unless it is provided
146.34with evidence, satisfactory to the board, that the person requesting the information is
146.35entitled to receive the data.
147.1    (e) The board shall not release the name of a prescriber without the written consent
147.2of the prescriber or a valid search warrant or court order. The board shall provide a
147.3mechanism for a prescriber to submit to the board a signed consent authorizing the release
147.4of the prescriber's name when data containing the prescriber's name is requested.
147.5    (f) The board shall maintain a log of all persons who access the data and shall ensure
147.6that any permissible user complies with paragraph (c) prior to attaining direct access to
147.7the data.
147.8(g) Section 13.05, subdivision 6, shall apply to any contract the board enters into
147.9pursuant to subdivision 2. A vendor shall not use data collected under this section for
147.10any purpose not specified in this section.
147.11    Subd. 7. Disciplinary action. (a) A dispenser who knowingly fails to submit data to
147.12the board as required under this section is subject to disciplinary action by the appropriate
147.13health-related licensing board.
147.14    (b) A prescriber or dispenser authorized to access the data who knowingly discloses
147.15the data in violation of state or federal laws relating to the privacy of health care data
147.16shall be subject to disciplinary action by the appropriate health-related licensing board,
147.17and appropriate civil penalties.
147.18    Subd. 8. Evaluation and reporting. (a) The board shall evaluate the prescription
147.19electronic reporting system to determine if the system is negatively impacting appropriate
147.20prescribing practices of controlled substances. The board may contract with a vendor to
147.21design and conduct the evaluation.
147.22    (b) The board shall submit the evaluation of the system to the legislature by January
147.23July 15, 2011.
147.24    Subd. 9. Immunity from liability; no requirement to obtain information. (a) A
147.25pharmacist, prescriber, or other dispenser making a report to the program in good faith
147.26under this section is immune from any civil, criminal, or administrative liability, which
147.27might otherwise be incurred or imposed as a result of the report, or on the basis that the
147.28pharmacist or prescriber did or did not seek or obtain or use information from the program.
147.29    (b) Nothing in this section shall require a pharmacist, prescriber, or other dispenser
147.30to obtain information about a patient from the program, and the pharmacist, prescriber,
147.31or other dispenser, if acting in good faith, is immune from any civil, criminal, or
147.32administrative liability that might otherwise be incurred or imposed for requesting,
147.33receiving, or using information from the program.
147.34    Subd. 10. Funding. (a) The board may seek grants and private funds from nonprofit
147.35charitable foundations, the federal government, and other sources to fund the enhancement
147.36and ongoing operations of the prescription electronic reporting system established under
148.1this section. Any funds received shall be appropriated to the board for this purpose. The
148.2board may not expend funds to enhance the program in a way that conflicts with this
148.3section without seeking approval from the legislature.
148.4(b) The administrative services unit for the health-related licensing boards shall
148.5apportion between the Board of Medical Practice, the Board of Nursing, the Board of
148.6Dentistry, the Board of Podiatric Medicine, the Board of Optometry, and the Board
148.7of Pharmacy an amount to be paid through fees by each respective board. The amount
148.8apportioned to each board shall equal each board's share of the annual appropriation to
148.9the Board of Pharmacy from the state government special revenue fund for operating the
148.10prescription electronic reporting system under this section. Each board's apportioned
148.11share shall be based on the number of prescribers or dispensers that each board identified
148.12in this paragraph licenses as a percentage of the total number of prescribers and dispensers
148.13licensed collectively by these boards. Each respective board may adjust the fees that the
148.14boards are required to collect to compensate for the amount apportioned to each board by
148.15the administrative services unit.

148.16    Sec. 4. [246.125] CHEMICAL AND MENTAL HEALTH SERVICES
148.17TRANSFORMATION ADVISORY TASK FORCE.
148.18    Subdivision 1. Establishment. The Chemical and Mental Health Services
148.19Transformation Advisory Task Force is established to make recommendations to the
148.20commissioner of human services and the legislature on the continuum of services needed
148.21to provide individuals with complex conditions including mental illness, chemical
148.22dependency, traumatic brain injury, and developmental disabilities access to quality care
148.23and the appropriate level of care across the state to promote wellness, reduce cost, and
148.24improve efficiency.
148.25    Subd. 2. Duties. The Chemical and Mental Health Services Transformation
148.26Advisory Task Force shall make recommendations to the commissioner and the legislature
148.27no later than December 15, 2010, on the following:
148.28(1) transformation needed to improve service delivery and provide a continuum of
148.29care, such as transition of current facilities, closure of current facilities, or the development
148.30of new models of care, including the redesign of the Anoka-Metro Regional Treatment
148.31Center;
148.32(2) gaps and barriers to accessing quality care, system inefficiencies, and cost
148.33pressures;
148.34(3) services that are best provided by the state and those that are best provided
148.35in the community;
149.1(4) an implementation plan to achieve integrated service delivery across the public,
149.2private, and nonprofit sectors;
149.3(5) an implementation plan to ensure that individuals with complex chemical and
149.4mental health needs receive the appropriate level of care to achieve recovery and wellness;
149.5and
149.6(6) financing mechanisms that include all possible revenue sources to maximize
149.7federal funding and promote cost efficiencies and sustainability.
149.8    Subd. 3. Membership. The advisory task force shall be composed of the following,
149.9who will serve at the pleasure of their appointing authority:
149.10(1) the commissioner of human services or the commissioner's designee, and two
149.11additional representatives from the department;
149.12(2) two legislators appointed by the speaker of the house, one from the minority
149.13and one from the majority;
149.14(3) two legislators appointed by the senate rules committee, one from the minority
149.15and one from the majority;
149.16(4) one representative appointed by AFSCME Council 5;
149.17(5) one representative appointed by the ombudsman for mental health and
149.18developmental disabilities;
149.19(6) one representative appointed by the Minnesota Association of Professional
149.20Employees;
149.21(7) one representative appointed by the Minnesota Hospital Association;
149.22(8) one representative appointed by the Minnesota Nurses Association;
149.23(9) one representative appointed by NAMI-MN;
149.24(10) one representative appointed by the Mental Health Association of Minnesota;
149.25(11) one representative appointed by the Minnesota Association Of Community
149.26Mental Health Programs;
149.27(12) one representative appointed by the Minnesota Dental Association;
149.28(13) three clients or client family members representing different populations
149.29receiving services from state-operated services, who are appointed by the commissioner;
149.30(14) one representative appointed by the chair of the state-operated services
149.31governing board;
149.32(15) one representative appointed by the Minnesota Disability Law Center;
149.33(16) one representative appointed by the Consumer Survivor Network;
149.34(17) one representative appointed by the Association of Residential Resources
149.35in Minnesota;
150.1(18) one representative appointed by the Minnesota Council of Child Caring
150.2Agencies;
150.3(19) one representative appointed by the Association of Minnesota Counties; and
150.4(20) one representative appointed by the Minnesota Pharmacists Association.
150.5The commissioner may appoint additional members to reflect stakeholders who
150.6are not represented above.
150.7    Subd. 4. Administration. The commissioner shall convene the first meeting of the
150.8advisory task force and shall provide administrative support and staff.
150.9    Subd. 5. Recommendations. The advisory task force must report its
150.10recommendations to the commissioner and to the legislature no later than December
150.1115, 2010.
150.12    Subd. 6. Member requirement. The commissioner shall provide per diem and
150.13travel expenses pursuant to section 256.01, subdivision 6, for task force members who
150.14are consumers or family members and whose participation on the task force is not as a
150.15paid representative of any agency, organization, or association. Notwithstanding section
150.1615.059, other task force members are not eligible for per diem or travel reimbursement.

150.17    Sec. 5. [246.128] NOTIFICATION TO LEGISLATURE REQUIRED.
150.18The commissioner shall notify the chairs and ranking minority members of
150.19the relevant legislative committees regarding the redesign, closure, or relocation of
150.20state-operated services programs. The notification must include the advice of the Chemical
150.21and Mental Health Services Transformation Advisory Task Force under section 246.125.

150.22    Sec. 6. [246.129] LEGISLATIVE APPROVAL REQUIRED.
150.23If the closure of a state-operated facility is proposed, and the department and
150.24respective bargaining units fail to arrive at a mutually agreed upon solution to transfer
150.25affected state employees to other state jobs, the closure of the facility requires legislative
150.26approval. This does not apply to state-operated enterprise services.

150.27    Sec. 7. Minnesota Statutes 2008, section 246.18, is amended by adding a subdivision
150.28to read:
150.29    Subd. 8. State-operated services account. The state-operated services account is
150.30established in the special revenue fund. Revenue generated by new state-operated services
150.31listed under this section established after July 1, 2010, that are not enterprise activities must
150.32be deposited into the state-operated services account, unless otherwise specified in law:
150.33(1) intensive residential treatment services;
151.1(2) foster care services; and
151.2(3) psychiatric extensive recovery treatment services.

151.3    Sec. 8. Minnesota Statutes 2008, section 254B.01, subdivision 2, is amended to read:
151.4    Subd. 2. American Indian. For purposes of services provided under section
151.5254B.09, subdivision 7 8 , "American Indian" means a person who is a member of an
151.6Indian tribe, and the commissioner shall use the definitions of "Indian" and "Indian tribe"
151.7and "Indian organization" provided in Public Law 93-638. For purposes of services
151.8provided under section 254B.09, subdivision 4 6, "American Indian" means a resident of
151.9federally recognized tribal lands who is recognized as an Indian person by the federally
151.10recognized tribal governing body.

151.11    Sec. 9. Minnesota Statutes 2008, section 254B.02, subdivision 1, is amended to read:
151.12    Subdivision 1. Chemical dependency treatment allocation. The chemical
151.13dependency funds appropriated for allocation treatment appropriation shall be placed in
151.14a special revenue account. The commissioner shall annually transfer funds from the
151.15chemical dependency fund to pay for operation of the drug and alcohol abuse normative
151.16evaluation system and to pay for all costs incurred by adding two positions for licensing
151.17of chemical dependency treatment and rehabilitation programs located in hospitals for
151.18which funds are not otherwise appropriated. Six percent of the remaining money must
151.19be reserved for tribal allocation under section 254B.09, subdivisions 4 and 5. The
151.20commissioner shall annually divide the money available in the chemical dependency
151.21fund that is not held in reserve by counties from a previous allocation, or allocated to the
151.22American Indian chemical dependency tribal account. Six percent of the remaining money
151.23must be reserved for the nonreservation American Indian chemical dependency allocation
151.24for treatment of American Indians by eligible vendors under section 254B.05, subdivision
151.251
. The remainder of the money must be allocated among the counties according to the
151.26following formula, using state demographer data and other data sources determined by
151.27the commissioner:
151.28    (a) For purposes of this formula, American Indians and children under age 14 are
151.29subtracted from the population of each county to determine the restricted population.
151.30    (b) The amount of chemical dependency fund expenditures for entitled persons for
151.31services not covered by prepaid plans governed by section 256B.69 in the previous year is
151.32divided by the amount of chemical dependency fund expenditures for entitled persons for
151.33all services to determine the proportion of exempt service expenditures for each county.
152.1    (c) The prepaid plan months of eligibility is multiplied by the proportion of exempt
152.2service expenditures to determine the adjusted prepaid plan months of eligibility for
152.3each county.
152.4    (d) The adjusted prepaid plan months of eligibility is added to the number of
152.5restricted population fee for service months of eligibility for the Minnesota family
152.6investment program, general assistance, and medical assistance and divided by the county
152.7restricted population to determine county per capita months of covered service eligibility.
152.8    (e) The number of adjusted prepaid plan months of eligibility for the state is added
152.9to the number of fee for service months of eligibility for the Minnesota family investment
152.10program, general assistance, and medical assistance for the state restricted population and
152.11divided by the state restricted population to determine state per capita months of covered
152.12service eligibility.
152.13    (f) The county per capita months of covered service eligibility is divided by the
152.14state per capita months of covered service eligibility to determine the county welfare
152.15caseload factor.
152.16    (g) The median married couple income for the most recent three-year period
152.17available for the state is divided by the median married couple income for the same period
152.18for each county to determine the income factor for each county.
152.19    (h) The county restricted population is multiplied by the sum of the county welfare
152.20caseload factor and the county income factor to determine the adjusted population.
152.21    (i) $15,000 shall be allocated to each county.
152.22    (j) The remaining funds shall be allocated proportional to the county adjusted
152.23population in the special revenue account must be used according to the requirements
152.24in this chapter.

152.25    Sec. 10. Minnesota Statutes 2008, section 254B.02, subdivision 5, is amended to read:
152.26    Subd. 5. Administrative adjustment. The commissioner may make payments to
152.27local agencies from money allocated under this section to support administrative activities
152.28under sections 254B.03 and 254B.04. The administrative payment must not exceed
152.29the lesser of: (1) five percent of the first $50,000, four percent of the next $50,000, and
152.30three percent of the remaining payments for services from the allocation special revenue
152.31account according to subdivision 1; or (2) the local agency administrative payment for
152.32the fiscal year ending June 30, 2009, adjusted in proportion to the statewide change in
152.33the appropriation for this chapter.

152.34    Sec. 11. Minnesota Statutes 2008, section 254B.03, subdivision 4, is amended to read:
153.1    Subd. 4. Division of costs. Except for services provided by a county under
153.2section 254B.09, subdivision 1, or services provided under section 256B.69 or 256D.03,
153.3subdivision 4
, paragraph (b), the county shall, out of local money, pay the state for
153.415 16.14 percent of the cost of chemical dependency services, including those services
153.5provided to persons eligible for medical assistance under chapter 256B and general
153.6assistance medical care under chapter 256D. Counties may use the indigent hospitalization
153.7levy for treatment and hospital payments made under this section. Fifteen 16.14 percent
153.8of any state collections from private or third-party pay, less 15 percent of for the cost
153.9of payment and collections, must be distributed to the county that paid for a portion of
153.10the treatment under this section. If all funds allocated according to section 254B.02 are
153.11exhausted by a county and the county has met or exceeded the base level of expenditures
153.12under section 254B.02, subdivision 3, the county shall pay the state for 15 percent of the
153.13costs paid by the state under this section. The commissioner may refuse to pay state funds
153.14for services to persons not eligible under section 254B.04, subdivision 1, if the county
153.15financially responsible for the persons has exhausted its allocation.

153.16    Sec. 12. Minnesota Statutes 2008, section 254B.05, subdivision 4, is amended to read:
153.17    Subd. 4. Regional treatment centers. Regional treatment center chemical
153.18dependency treatment units are eligible vendors. The commissioner may expand the
153.19capacity of chemical dependency treatment units beyond the capacity funded by direct
153.20legislative appropriation to serve individuals who are referred for treatment by counties
153.21and whose treatment will be paid for with a county's allocation under section 254B.02 by
153.22funding under this chapter or other funding sources. Notwithstanding the provisions of
153.23sections 254B.03 to 254B.041, payment for any person committed at county request to
153.24a regional treatment center under chapter 253B for chemical dependency treatment and
153.25determined to be ineligible under the chemical dependency consolidated treatment fund,
153.26shall become the responsibility of the county.

153.27    Sec. 13. Minnesota Statutes 2008, section 254B.06, subdivision 2, is amended to read:
153.28    Subd. 2. Allocation of collections. The commissioner shall allocate all federal
153.29financial participation collections to the reserve fund under section 254B.02, subdivision 3
153.30a special revenue account. The commissioner shall retain 85 allocate 83.86 percent of
153.31patient payments and third-party payments to the special revenue account and allocate
153.32the collections to the treatment allocation for the county that is financially responsible
153.33for the person. Fifteen 16.14 percent of patient and third-party payments must be paid
153.34to the county financially responsible for the patient. Collections for patient payment and
154.1third-party payment for services provided under section 254B.09 shall be allocated to the
154.2allocation of the tribal unit which placed the person. Collections of federal financial
154.3participation for services provided under section 254B.09 shall be allocated to the tribal
154.4reserve account under section 254B.09, subdivision 5.

154.5    Sec. 14. Minnesota Statutes 2008, section 254B.09, subdivision 8, is amended to read:
154.6    Subd. 8. Payments to improve services to American Indians. The commissioner
154.7may set rates for chemical dependency services to American Indians according to the
154.8American Indian Health Improvement Act, Public Law 94-437, for eligible vendors.
154.9These rates shall supersede rates set in county purchase of service agreements when
154.10payments are made on behalf of clients eligible according to Public Law 94-437.

154.11    Sec. 15. [254B.13] PILOT PROJECTS; CHEMICAL HEALTH CARE.
154.12    Subdivision 1. Authorization for pilot projects. The commissioner may approve
154.13and implement pilot projects developed under the planning process required under Laws
154.142009, chapter 79, article 7, section 26, to provide alternatives to and enhance coordination
154.15of the delivery of chemical health services required under section 254B.03.
154.16    Subd. 2. Program design and implementation. (a) The commissioner and counties
154.17participating in the pilot projects shall continue to work in partnership to refine and
154.18implement the pilot projects initiated under Laws 2009, chapter 79, article 7, section 26.
154.19(b) The commissioner and counties participating in the pilot projects shall
154.20complete the planning phase by June 30, 2010, and, if approved by the commissioner for
154.21implementation, enter into agreements governing the operation of the pilot projects with
154.22implementation scheduled no earlier than July 1, 2010.
154.23    Subd. 3. Program evaluation. The commissioner shall evaluate pilot projects under
154.24this section and report the results of the evaluation to the chairs and ranking minority
154.25members of the legislative committees with jurisdiction over chemical health issues by
154.26January 15, 2013. Evaluation of the pilot projects must be based on outcome evaluation
154.27criteria negotiated with the pilot projects prior to implementation.
154.28    Subd. 4. Notice of project discontinuation. Each county's participation in the
154.29pilot project may be discontinued for any reason by the county or the commissioner of
154.30human services after 30 days' written notice to the other party. Any unspent funds held
154.31for the exiting county's pro rata share in the special revenue fund under the authority in
154.32subdivision 5, paragraph (d), shall be transferred to the consolidated chemical dependency
154.33treatment fund following discontinuation of the pilot project.
155.1    Subd. 5. Duties of commissioner. (a) Notwithstanding any other provisions in
155.2this chapter, the commissioner may authorize pilot projects to use chemical dependency
155.3treatment funds to pay for nontreatment pilot services:
155.4(1) in addition to those authorized under section 254B.03, subdivision 2, paragraph
155.5(a); and
155.6(2) by vendors in addition to those authorized under section 254B.05 when not
155.7providing chemical dependency treatment services.
155.8(b) For purposes of this section, "nontreatment pilot services" include navigator
155.9services, peer support, family engagement and support, housing support, rent subsidies,
155.10supported employment, and independent living skills.
155.11(c) State expenditures for chemical dependency services and nontreatment pilot
155.12services provided by or through the pilot projects must not be greater than the chemical
155.13dependency treatment fund expected share of forecasted expenditures in the absence of
155.14the pilot projects. The commissioner may restructure the schedule of payments between
155.15the state and participating counties under the local agency share and division of cost
155.16provisions under section 254B.03, subdivisions 3 and 4, as necessary to facilitate the
155.17operation of the pilot projects.
155.18(d) To the extent that state fiscal year expenditures within a pilot project are less
155.19than the expected share of forecasted expenditures in the absence of the pilot projects,
155.20the commissioner shall deposit the unexpended funds in a separate account within the
155.21consolidated chemical dependency treatment fund, and make these funds available for
155.22expenditure by the pilot projects the following year. To the extent that treatment and
155.23nontreatment pilot services expenditures within the pilot project exceed the amount
155.24expected in the absence of the pilot projects, the pilot project county or counties are
155.25responsible for the portion of nontreatment pilot services expenditures in excess of the
155.26otherwise expected share of forecasted expenditures.
155.27(e) The commissioner may waive administrative rule requirements that are
155.28incompatible with the implementation of the pilot project, except that any chemical
155.29dependency treatment funded under this section must continue to be provided by a
155.30licensed treatment provider.
155.31(f) The commissioner shall not approve or enter into any agreement related to pilot
155.32projects authorized under this section that puts current or future federal funding at risk.
155.33    Subd. 6. Duties of county board. The county board, or other county entity that is
155.34approved to administer a pilot project, shall:
155.35(1) administer the pilot project in a manner consistent with the objectives described
155.36in subdivision 2 and the planning process in subdivision 5;
156.1(2) ensure that no one is denied chemical dependency treatment services for which
156.2they would otherwise be eligible under section 254A.03, subdivision 3; and
156.3(3) provide the commissioner with timely and pertinent information as negotiated
156.4in agreements governing operation of the pilot projects.

156.5    Sec. 16. Minnesota Statutes 2009 Supplement, section 517.08, subdivision 1b, is
156.6amended to read:
156.7    Subd. 1b. Term of license; fee; premarital education. (a) The local registrar
156.8shall examine upon oath the parties applying for a license relative to the legality of the
156.9contemplated marriage. If one party is unable to appear in person, the party appearing
156.10may complete the absent applicant's information. The local registrar shall provide a copy
156.11of the marriage application to the party who is unable to appear, who must verify the
156.12accuracy of the party's information in a notarized statement. The marriage license must
156.13not be released until the verification statement has been received by the local registrar. If
156.14at the expiration of a five-day period, on being satisfied that there is no legal impediment
156.15to it, including the restriction contained in section 259.13, the local registrar shall issue
156.16the license, containing the full names of the parties before and after marriage, and county
156.17and state of residence, with the county seal attached, and make a record of the date of
156.18issuance. The license shall be valid for a period of six months. Except as provided in
156.19paragraph (c), the local registrar shall collect from the applicant a fee of $110 $115 for
156.20administering the oath, issuing, recording, and filing all papers required, and preparing
156.21and transmitting to the state registrar of vital statistics the reports of marriage required
156.22by this section. If the license should not be used within the period of six months due to
156.23illness or other extenuating circumstances, it may be surrendered to the local registrar for
156.24cancellation, and in that case a new license shall issue upon request of the parties of the
156.25original license without fee. A local registrar who knowingly issues or signs a marriage
156.26license in any manner other than as provided in this section shall pay to the parties
156.27aggrieved an amount not to exceed $1,000.
156.28(b) In case of emergency or extraordinary circumstances, a judge of the district court
156.29of the county in which the application is made may authorize the license to be issued at
156.30any time before expiration of the five-day period required under paragraph (a). A waiver
156.31of the five-day waiting period must be in the following form:
156.32STATE OF MINNESOTA, COUNTY OF .................... (insert county name)
156.33APPLICATION FOR WAIVER OF MARRIAGE LICENSE WAITING PERIOD:
156.34................................................................................. (legal names of the applicants)
156.35Represent and state as follows:
157.1That on ......................... (date of application) the applicants applied to the local
157.2registrar of the above-named county for a license to marry.
157.3That it is necessary that the license be issued before the expiration of five days
157.4from the date of the application by reason of the following: (insert reason for requesting
157.5waiver of waiting period)
157.6.............................................................................................................
157.7.............................................................................................................
157.8.............................................................................................................
157.9WHEREAS, the applicants request that the judge waive the required five-day
157.10waiting period and the local registrar be authorized and directed to issue the marriage
157.11license immediately.
157.12Date: .............................
157.13.......................................................................................
157.14.......................................................................................
157.15(Signatures of applicants)
157.16Acknowledged before me on this ....... day of .................... .
157.17..........................................
157.18NOTARY PUBLIC
157.19COURT ORDER AND AUTHORIZATION:
157.20STATE OF MINNESOTA, COUNTY OF .................... (insert county name)
157.21After reviewing the above application, I am satisfied that an emergency or
157.22extraordinary circumstance exists that justifies the issuance of the marriage license before
157.23the expiration of five days from the date of the application. IT IS HEREBY ORDERED
157.24that the local registrar is authorized and directed to issue the license forthwith.
157.25.....................................................
157.26................................ (judge of district court)
157.27................................ (date).
157.28(c) The marriage license fee for parties who have completed at least 12 hours of
157.29premarital education is $40. In order to qualify for the reduced license fee, the parties
157.30must submit at the time of applying for the marriage license a signed, dated, and notarized
157.31statement from the person who provided the premarital education on their letterhead
157.32confirming that it was received. The premarital education must be provided by a licensed
157.33or ordained minister or the minister's designee, a person authorized to solemnize marriages
157.34under section 517.18, or a person authorized to practice marriage and family therapy under
157.35section 148B.33. The education must include the use of a premarital inventory and the
157.36teaching of communication and conflict management skills.
158.1    (d) The statement from the person who provided the premarital education under
158.2paragraph (b) must be in the following form:
158.3    "I, .......................... (name of educator), confirm that .......................... (names of
158.4both parties) received at least 12 hours of premarital education that included the use of a
158.5premarital inventory and the teaching of communication and conflict management skills.
158.6I am a licensed or ordained minister, a person authorized to solemnize marriages under
158.7Minnesota Statutes, section 517.18, or a person licensed to practice marriage and family
158.8therapy under Minnesota Statutes, section 148B.33."
158.9    The names of the parties in the educator's statement must be identical to the legal
158.10names of the parties as they appear in the marriage license application. Notwithstanding
158.11section 138.17, the educator's statement must be retained for seven years, after which
158.12time it may be destroyed.
158.13    (e) If section 259.13 applies to the request for a marriage license, the local registrar
158.14shall grant the marriage license without the requested name change. Alternatively, the local
158.15registrar may delay the granting of the marriage license until the party with the conviction:
158.16    (1) certifies under oath that 30 days have passed since service of the notice for a
158.17name change upon the prosecuting authority and, if applicable, the attorney general and no
158.18objection has been filed under section 259.13; or
158.19    (2) provides a certified copy of the court order granting it. The parties seeking the
158.20marriage license shall have the right to choose to have the license granted without the
158.21name change or to delay its granting pending further action on the name change request.

158.22    Sec. 17. Minnesota Statutes 2008, section 517.08, subdivision 1c, as amended by Laws
158.232010, chapter 200, article 1, section 17, is amended to read:
158.24    Subd. 1c. Disposition of license fee. (a) Of the marriage license fee collected
158.25pursuant to subdivision 1b, paragraph (a), $25 must be retained by the county. The
158.26local registrar must pay $85 $90 to the commissioner of management and budget to be
158.27deposited as follows:
158.28    (1) $55 in the general fund;
158.29    (2) $3 in the state government special revenue fund to be appropriated to the
158.30commissioner of public safety for parenting time centers under section 119A.37;
158.31    (3) $2 in the special revenue fund to be appropriated to the commissioner of health
158.32for developing and implementing the MN ENABL program under section 145.9255; and
158.33    (4) $25 in the special revenue fund is appropriated to the commissioner of
158.34employment and economic development for the displaced homemaker program under
158.35section 116L.96; and
159.1    (5) $5 in the special revenue fund, which is appropriated to the Board of Regents
159.2of the University of Minnesota for the Minnesota couples on the brink project under
159.3section 137.32.
159.4    (b) Of the $40 fee under subdivision 1b, paragraph (b), $25 must be retained by the
159.5county. The local registrar must pay $15 to the commissioner of management and budget
159.6to be deposited as follows:
159.7    (1) $5 as provided in paragraph (a), clauses (2) and (3); and
159.8    (2) $10 in the special revenue fund is appropriated to the commissioner of
159.9employment and economic development for the displaced homemaker program under
159.10section 116L.96.

159.11    Sec. 18. Laws 2009, chapter 79, article 3, section 18, is amended to read:
159.12    Sec. 18. REQUIRING THE DEVELOPMENT OF COMMUNITY-BASED
159.13MENTAL HEALTH SERVICES FOR PATIENTS COMMITTED TO THE
159.14ANOKA-METRO REGIONAL TREATMENT CENTER.
159.15In consultation with community partners, the commissioner of human services
159.16The Chemical and Mental Health Services Transformation Advisory Task Force shall
159.17develop recommend an array of community-based services in the metro area to transform
159.18the current services now provided to patients at the Anoka-Metro Regional Treatment
159.19Center. The community-based services may be provided in facilities with 16 or fewer
159.20beds, and must provide the appropriate level of care for the patients being admitted to
159.21the facilities established in partnership with private and public hospital organizations,
159.22community mental health centers and other mental health community services providers,
159.23and community partnerships, and must be staffed by state employees. The planning
159.24for this transition must be completed by October 1, 2009 2010, with an initial a report
159.25detailing the transition plan, services that will be provided, including incorporating peer
159.26specialists where appropriate, the location of the services, and the number of patients
159.27that will be served, to the committee chairs of health and human services by November
159.2830, 2009, and a semiannual report on progress until the transition is completed. The
159.29commissioner of human services shall solicit interest from stakeholders and potential
159.30community partners 2010. The individuals working in employed by the community-based
159.31services facilities under this section are state employees supervised by the commissioner
159.32of human services. No layoffs shall occur as a result of restructuring under this section.
159.33Savings generated as a result of transitioning patients from the Anoka-Metro Regional
159.34Treatment Center to community-based services may be used to fund supportive housing
159.35staffed by state employees.

160.1    Sec. 19. REPORT ON HUMAN SERVICES FISCAL NOTES.
160.2The commissioner of management and budget shall issue a report to the legislature
160.3no later than November 15, 2010, making recommendations for improving the preparation
160.4and delivery of fiscal notes under Minnesota Statutes, section 3.98, relating to human
160.5services. The report shall consider: (1) the establishment of an independent fiscal
160.6note office in the human services department and (2) transferring the responsibility for
160.7preparing human services fiscal notes to the legislature. The report must include detailed
160.8information regarding the financial costs, staff resources, training, access to information,
160.9and data protection issues relative to the preparation of human services fiscal notes. The
160.10report shall describe methods and procedures used by other states to insure independence
160.11and accuracy of fiscal estimates on legislative proposals for changes in human services.

160.12    Sec. 20. PRESCRIPTION DRUG WASTE REDUCTION.
160.13The Minnesota Board of Pharmacy, in cooperation with the commissioners of
160.14human services, pollution control, health, veterans affairs, and corrections, shall study
160.15prescription drug waste reduction techniques and technologies applicable to long-term
160.16care facilities, veterans nursing homes, and correctional facilities. In conducting the
160.17study, the commissioners shall consult with the Minnesota Pharmacists Association, the
160.18University of Minnesota College of Pharmacy, University of Minnesota's Minnesota
160.19Technical Assistance Project, consumers, long-term care providers, and other interested
160.20parties. The board shall evaluate the extent to which new prescription drug waste reduction
160.21techniques and technologies can reduce the amount of prescription drugs that enter the
160.22waste stream and reduce state prescription drug costs. The techniques and technologies
160.23studied must include, but are not limited to, daily, weekly, and automated dose dispensing.
160.24The study must provide an estimate of the cost of adopting these and other techniques
160.25and technologies, and an estimate of waste reduction and state prescription drug savings
160.26that would result from adoption. The study must also evaluate methods of encouraging
160.27the adoption of effective drug waste reduction techniques and technologies. The board
160.28shall present recommendations on the adoption of new prescription drug waste reduction
160.29techniques and technologies to the legislature by December 15, 2011.

160.30    Sec. 21. VETERINARY PRACTICE AND CONTROLLED SUBSTANCE
160.31ABUSE STUDY.
160.32The Board of Pharmacy, in consultation with the Prescription Electronic Reporting
160.33Advisory Committee and the Board of Veterinary Medical Practice, shall study the issue
160.34of the diversion of controlled substances from veterinary practice and report to the chairs
161.1and ranking minority members of the senate health and human services policy and finance
161.2division and the house of representatives health care and human services policy and
161.3finance division by December 15, 2011, on recommendations to include veterinarians in
161.4the prescription electronic reporting system in Minnesota Statutes, section 152.126.

161.5    Sec. 22. DATA COLLECTION ON HEALTH DISPARITIES.
161.6    Subdivision 1. Inventory. The commissioners of health and human services shall
161.7conduct an inventory on the health-related data collected by each respective department
161.8including, but not limited to, health care programs and activities, vital statistics, disease
161.9surveillance registries and screenings, and health outcome measurements.
161.10The inventory must review the categories of data that are collected, describe the
161.11methods of collecting, organizing, and reporting data relating to race, ethnicity, country of
161.12origin, primary language, tribal enrollment status, and socioeconomic status, and specify
161.13whether the data being collected in these categories is currently required.
161.14    Subd. 2. Review. (a) Upon completion of the inventory in subdivision 1, the
161.15commissioners of health and human services shall consult with representatives of culturally
161.16based community groups, community health boards, tribal governments, hospitals, and
161.17health plan companies to review the compiled inventory and make recommendations on:
161.18(1) whether the data currently being collected is sufficient to identify and describe
161.19health disparities for particular communities or if the collection of additional types and
161.20categories of data is necessary in order to better identify health disparities and to facilitate
161.21efforts to reduce these disparities;
161.22(2) if additional types and categories of data collection is determined necessary, what
161.23additional types and categories should be collected and in what areas;
161.24(3) whether there is a need to aggregate data to make data in the categories identified
161.25in subdivision 1 more accessible to community groups, researchers, and to the legislature;
161.26and
161.27(4) other ways to improve data collection efforts in order to ensure the collection
161.28of high-quality, reliable data in clauses (1) to (3) that will ensure accurate research and
161.29the ability to create measurable program outcomes in order to facilitate public policy
161.30decisions regarding the elimination of health disparities.
161.31(b) In making recommendations, the work group shall consider national and state
161.32standardized data classification systems, as well as federal or state requirements for
161.33collection of certain data based on predetermined classification systems that may impact
161.34some data collection efforts.
162.1    Subd. 3. Report. By January 15, 2011, the commissioners of health and human
162.2services shall submit to the chairs and ranking minority members of the legislative
162.3committees and divisions with jurisdiction over health and human services the inventory
162.4compiled in subdivision 1 and the recommendations developed in subdivision 2.

162.5    Sec. 23. REPEALER.
162.6(a) Minnesota Statutes 2008, sections 254B.02, subdivisions 2, 3, and 4; and
162.7254B.09, subdivisions 4, 5, and 7, are repealed.
162.8(b) Laws 2009, chapter 79, article 7, section 26, subdivision 3, is repealed.

162.9    Sec. 24. EFFECTIVE DATE.
162.10Sections 8 to 14 and 22 are effective for claims paid on or after July 1, 2010.

162.11ARTICLE 20
162.12DEPARTMENT OF HEALTH

162.13    Section 1. Minnesota Statutes 2008, section 13.3806, subdivision 13, is amended to
162.14read:
162.15    Subd. 13. Traumatic injury. Data on individuals with a brain or spinal injury or
162.16who sustain major trauma that are collected by the commissioner of health are classified
162.17under section sections 144.6071 and 144.665.

162.18    Sec. 2. Minnesota Statutes 2008, section 62D.08, is amended by adding a subdivision
162.19to read:
162.20    Subd. 7. Consistent administrative expenses and investment income reporting.
162.21(a) Every health maintenance organization must directly allocate administrative expenses
162.22to specific lines of business or products when such information is available. Remaining
162.23expenses that cannot be directly allocated must be allocated based on other methods, as
162.24recommended by the Advisory Group on Administrative Expenses. Health maintenance
162.25organizations must submit this information, including administrative expenses for dental
162.26services, using the reporting template provided by the commissioner of health.
162.27(b) Every health maintenance organization must allocate investment income based
162.28on cumulative net income over time by business line or product and must submit this
162.29information, including investment income for dental services, using the reporting template
162.30provided by the commissioner of health.
162.31EFFECTIVE DATE.This section is effective January 1, 2013.

163.1    Sec. 3. [62D.31] ADVISORY GROUP ON ADMINISTRATIVE EXPENSES.
163.2    Subdivision 1. Establishment. The Advisory Group on Administrative Expenses
163.3is established to make recommendations on the development of consistent guidelines
163.4and reporting requirements, including development of a reporting template, for health
163.5maintenance organizations and county-based purchasing plans that participate in publicly
163.6funded programs.
163.7    Subd. 2. Membership. The membership of the advisory group shall be comprised
163.8of the following, who serve at the pleasure of their appointing authority:
163.9(1) the commissioner of health or the commissioner's designee;
163.10(2) the commissioner of human services or the commissioner's designee;
163.11(3) the commissioner of commerce or the commissioner's designee; and
163.12(4) representatives of health maintenance organizations and county-based purchasers
163.13appointed by the commissioner of health.
163.14    Subd. 3. Administration. The commissioner of health shall convene the first
163.15meeting of the advisory group by December 1, 2010, and shall provide administrative
163.16support and staff. The commissioner of health may contract with a consultant to provide
163.17professional assistance and expertise to the advisory group.
163.18    Subd. 4. Recommendations. The Advisory Group on Administrative Expenses
163.19must report its recommendations, including any proposed legislation necessary to
163.20implement the recommendations, to the commissioner of health and to the chairs and
163.21ranking minority members of the legislative committees and divisions with jurisdiction
163.22over health policy and finance by February 15, 2012.
163.23    Subd. 5. Expiration. This section expires after submission of the report required
163.24under subdivision 4 or June 30, 2012, whichever is sooner.

163.25    Sec. 4. Minnesota Statutes 2008, section 62Q.19, subdivision 1, is amended to read:
163.26    Subdivision 1. Designation. (a) The commissioner shall designate essential
163.27community providers. The criteria for essential community provider designation shall be
163.28the following:
163.29(1) a demonstrated ability to integrate applicable supportive and stabilizing services
163.30with medical care for uninsured persons and high-risk and special needs populations,
163.31underserved, and other special needs populations; and
163.32(2) a commitment to serve low-income and underserved populations by meeting the
163.33following requirements:
163.34(i) has nonprofit status in accordance with chapter 317A;
164.1(ii) has tax exempt status in accordance with the Internal Revenue Service Code,
164.2section 501(c)(3);
164.3(iii) charges for services on a sliding fee schedule based on current poverty income
164.4guidelines; and
164.5(iv) does not restrict access or services because of a client's financial limitation;
164.6(3) status as a local government unit as defined in section 62D.02, subdivision 11, a
164.7hospital district created or reorganized under sections 447.31 to 447.37, an Indian tribal
164.8government, an Indian health service unit, or a community health board as defined in
164.9chapter 145A;
164.10(4) a former state hospital that specializes in the treatment of cerebral palsy, spina
164.11bifida, epilepsy, closed head injuries, specialized orthopedic problems, and other disabling
164.12conditions; or
164.13(5) a sole community hospital. For these rural hospitals, the essential community
164.14provider designation applies to all health services provided, including both inpatient and
164.15outpatient services. For purposes of this section, "sole community hospital" means a
164.16rural hospital that:
164.17(i) is eligible to be classified as a sole community hospital according to Code
164.18of Federal Regulations, title 42, section 412.92, or is located in a community with a
164.19population of less than 5,000 and located more than 25 miles from a like hospital currently
164.20providing acute short-term services;
164.21(ii) has experienced net operating income losses in two of the previous three
164.22most recent consecutive hospital fiscal years for which audited financial information is
164.23available; and
164.24(iii) consists of 40 or fewer licensed beds; or
164.25(6) a birth center licensed under section 144.615.
164.26(b) Prior to designation, the commissioner shall publish the names of all applicants
164.27in the State Register. The public shall have 30 days from the date of publication to submit
164.28written comments to the commissioner on the application. No designation shall be made
164.29by the commissioner until the 30-day period has expired.
164.30(c) The commissioner may designate an eligible provider as an essential community
164.31provider for all the services offered by that provider or for specific services designated by
164.32the commissioner.
164.33(d) For the purpose of this subdivision, supportive and stabilizing services include at
164.34a minimum, transportation, child care, cultural, and linguistic services where appropriate.

165.1    Sec. 5. Minnesota Statutes 2008, section 144.05, is amended by adding a subdivision
165.2to read:
165.3    Subd. 5. Firearms data. Notwithstanding any law to the contrary, the commissioner
165.4of health is prohibited from collecting data on individuals regarding lawful firearm
165.5ownership in the state or data related to an individual's right to carry a weapon under
165.6section 624.714.

165.7    Sec. 6. Minnesota Statutes 2008, section 144.226, subdivision 3, is amended to read:
165.8    Subd. 3. Birth record surcharge. (a) In addition to any fee prescribed under
165.9subdivision 1, there shall be a nonrefundable surcharge of $3 for each certified birth or
165.10stillbirth record and for a certification that the vital record cannot be found. The local or
165.11state registrar shall forward this amount to the commissioner of management and budget
165.12for deposit into the account for the children's trust fund for the prevention of child abuse
165.13established under section 256E.22. This surcharge shall not be charged under those
165.14circumstances in which no fee for a certified birth or stillbirth record is permitted under
165.15subdivision 1, paragraph (a). Upon certification by the commissioner of management and
165.16budget that the assets in that fund exceed $20,000,000, this surcharge shall be discontinued.
165.17(b) In addition to any fee prescribed under subdivision 1, there shall be a
165.18nonrefundable surcharge of $10 for each certified birth record. The local or state registrar
165.19shall forward this amount to the commissioner of management and budget for deposit in
165.20the general fund. This surcharge shall not be charged under those circumstances in which
165.21no fee for a certified birth record is permitted under subdivision 1, paragraph (a).
165.22EFFECTIVE DATE.This section is effective July 1, 2010.

165.23    Sec. 7. Minnesota Statutes 2008, section 144.293, subdivision 4, is amended to read:
165.24    Subd. 4. Duration of consent. Except as provided in this section, a consent is
165.25valid for one year or for a lesser period specified in the consent or for a different period
165.26provided by law.

165.27    Sec. 8. Minnesota Statutes 2008, section 144.603, is amended to read:
165.28144.603 STATEWIDE TRAUMA SYSTEM CRITERIA.
165.29    Subdivision 1. Criteria established. The commissioner shall adopt criteria to
165.30ensure that severely injured people are promptly transported and treated at trauma
165.31hospitals appropriate to the severity of injury. Minimum criteria shall address emergency
165.32medical service trauma triage and transportation guidelines as approved under section
166.1144E.101, subdivision 14 , designation of hospitals as trauma hospitals, interhospital
166.2transfers, a trauma registry, and a trauma system governance structure.
166.3    Subd. 2. Basis; verification. The commissioner shall base the establishment,
166.4implementation, and modifications to the criteria under subdivision 1 on the
166.5department-published Minnesota comprehensive statewide trauma system plan. The
166.6commissioner shall seek the advice of the Trauma Advisory Council in implementing
166.7and updating the criteria, using accepted and prevailing trauma transport, treatment,
166.8and referral standards of the American College of Surgeons, the American College of
166.9Emergency Physicians, the Minnesota Emergency Medical Services Regulatory Board,
166.10the national Trauma Resources Network Center Association of America, and other widely
166.11recognized trauma experts. The commissioner shall adapt and modify the standards as
166.12appropriate to accommodate Minnesota's unique geography and the state's hospital and
166.13health professional distribution and shall verify that the criteria are met by each hospital
166.14voluntarily participating in the statewide trauma system.
166.15    Subd. 3. Rule exemption and report to legislature. In developing and adopting
166.16the criteria under this section, the commissioner of health is exempt from chapter 14,
166.17including section 14.386. By September 1, 2009, the commissioner must report to the
166.18legislature on implementation of the voluntary trauma system, including recommendations
166.19on the need for including the trauma system criteria in rule.

166.20    Sec. 9. Minnesota Statutes 2008, section 144.605, subdivision 2, is amended to read:
166.21    Subd. 2. Designation; reverification. The commissioner shall designate four six
166.22levels of trauma hospitals. A hospital that voluntarily meets the criteria for a particular
166.23level of trauma hospital shall apply to the commissioner for designation and, upon the
166.24commissioner's verifying the hospital meets the criteria, be designated a trauma hospital
166.25at the appropriate level for a three-year period. Prior to the expiration of the three-year
166.26designation, a hospital seeking to remain part of the voluntary system must apply for
166.27and successfully complete a reverification process, be awaiting the site visit for the
166.28reverification, or be awaiting the results of the site visit. The commissioner may extend a
166.29hospital's existing designation for up to 18 months on a provisional basis if the hospital has
166.30applied for reverification in a timely manner but has not yet completed the reverification
166.31process within the expiration of the three-year designation and the extension is in the
166.32best interest of trauma system patient safety. To be granted a provisional extension, the
166.33hospital must be:
166.34(1) scheduled and awaiting the site visit for reverification;
166.35(2) awaiting the results of the site visit; or
167.1(3) responding to and correcting identified deficiencies identified in the site visit.

167.2    Sec. 10. Minnesota Statutes 2008, section 144.605, subdivision 3, is amended to read:
167.3    Subd. 3. ACS verification. The commissioner shall grant the appropriate level I, II,
167.4or III trauma hospital or level I or II pediatric trauma hospital designation to a hospital that
167.5successfully completes and passes the American College of Surgeons (ACS) verification
167.6standards at the hospital's cost, submits verification documentation to the Trauma Advisory
167.7Council, and formally notifies the Trauma Advisory Council of ACS verification.

167.8    Sec. 11. Minnesota Statutes 2008, section 144.605, is amended by adding a subdivision
167.9to read:
167.10    Subd. 9. Designation process protection. Data on patients in information and
167.11reports related to the designation and redesignation of trauma hospitals pursuant to
167.12subdivisions 3 to 5 are private data on individuals, as defined in section 13.02, subdivision
167.1312.

167.14    Sec. 12. [144.6071] TRAUMA REGISTRY.
167.15    Subdivision 1. Registry. The commissioner of health shall establish and maintain
167.16a central registry of persons who sustain major trauma as defined in section 144.602,
167.17subdivision 3. The registry shall collect information to facilitate the development of
167.18clinical and system quality improvement, injury prevention, treatment, and rehabilitation
167.19programs.
167.20    Subd. 2. Registry participation required. A trauma hospital must participate in
167.21the statewide trauma registry. The consent of the injured person is not required.
167.22    Subd. 3. Registry information. Trauma hospitals must electronically submit the
167.23following information to the registry:
167.24(1) demographic information of the injured person;
167.25(2) information about the date, location, and cause of the injury;
167.26(3) information about the condition of the injured person;
167.27(4) information about the treatment, comorbidities, and diagnosis of the injured
167.28person;
167.29(5) information about the outcome and disposition of the injured person; and
167.30(6) other trauma-related information required by the commissioner, if necessary to
167.31facilitate the development of clinical and system quality improvement, treatment, and
167.32rehabilitation programs.
168.1    Subd. 4. Rules. The commissioner may adopt rules to collect other information
168.2required to facilitate the development of clinical and system quality improvement, injury
168.3prevention, treatment, and rehabilitation programs. The commissioner may adopt rules at
168.4any time to implement this section and is not subject to the requirements of section 14.125.
168.5    Subd. 5. Reporting without liability. Any person or facility furnishing information
168.6required in this section shall not be subject to any action for damages or other relief,
168.7provided that the person or facility is acting in good faith.
168.8    Subd. 6. Data classification. Data on individuals collected by the commissioner
168.9of health under this section are private data on individuals, as defined in section 13.02,
168.10subdivision 12. Data not on individuals are nonpublic data as defined in section 13.02,
168.11subdivision 9. The commissioner shall provide summary registry data to public and
168.12private entities to conduct studies using data collected by the registry. The commissioner
168.13may charge a fee under section 13.03, subdivision 3, for all out-of-pocket expenses
168.14associated with the provision of data or data analysis.
168.15    Subd. 7. Report requirements. The commissioner shall use the registry to annually
168.16publish a report that includes comparative demographic and risk-adjusted epidemiological
168.17data on designated trauma hospitals. Any analyses or reports that identify providers
168.18may only be published after the provider has been provided the opportunity by the
168.19commissioner to review the underlying data and submit comments. The provider shall
168.20have 21 days to review the data for accuracy.

168.21    Sec. 13. Minnesota Statutes 2008, section 144.608, subdivision 1, is amended to read:
168.22    Subdivision 1. Trauma Advisory Council established. (a) A Trauma Advisory
168.23Council is established to advise, consult with, and make recommendations to the
168.24commissioner on the development, maintenance, and improvement of a statewide trauma
168.25system.
168.26(b) The council shall consist of the following members:
168.27(1) a trauma surgeon certified by the American College of Surgeons Board of
168.28Surgery or the American Osteopathic Board of Surgery who practices in a level I or
168.29II trauma hospital;
168.30(2) a general surgeon certified by the American College of Surgeons Board
168.31of Surgery or the American Osteopathic Board of Surgery whose practice includes
168.32trauma and who practices in a designated rural area as defined under section 144.1501,
168.33subdivision 1
, paragraph (b);
168.34(3) a neurosurgeon certified by the American Board of Neurological Surgery who
168.35practices in a level I or II trauma hospital;
169.1(4) a trauma program nurse manager or coordinator practicing in a level I or II
169.2trauma hospital;
169.3(5) an emergency physician certified by the American College Board of Emergency
169.4Physicians Medicine or the American Osteopathic Board of Emergency Medicine whose
169.5practice includes emergency room care in a level I, II, III, or IV trauma hospital;
169.6(6) an emergency room nurse manager a trauma program manager or coordinator
169.7who practices in a level III or IV trauma hospital;
169.8(7) a family practice physician certified by the American Board of Family Medicine
169.9or the American Osteopathic Board of Family Practice whose practice includes emergency
169.10room department care in a level III or IV trauma hospital located in a designated rural area
169.11as defined under section 144.1501, subdivision 1, paragraph (b);
169.12(8) a nurse practitioner, as defined under section 144.1501, subdivision 1, paragraph
169.13(h), or a physician assistant, as defined under section 144.1501, subdivision 1, paragraph
169.14(j), whose practice includes emergency room care in a level IV trauma hospital located in
169.15a designated rural area as defined under section 144.1501, subdivision 1, paragraph (b);
169.16(9) a pediatrician certified by the American Academy Board of Pediatrics or the
169.17American Osteopathic Board of Pediatrics whose practice includes emergency room
169.18department care in a level I, II, III, or IV trauma hospital;
169.19(10) an orthopedic surgeon certified by the American Board of Orthopaedic Surgery
169.20or the American Osteopathic Board of Orthopedic Surgery whose practice includes trauma
169.21and who practices in a level I, II, or III trauma hospital;
169.22(11) the state emergency medical services medical director appointed by the
169.23Emergency Medical Services Regulatory Board;
169.24(12) a hospital administrator of a level III or IV trauma hospital located in a
169.25designated rural area as defined under section 144.1501, subdivision 1, paragraph (b);
169.26(13) a rehabilitation specialist whose practice includes rehabilitation of patients
169.27with major trauma injuries or traumatic brain injuries and spinal cord injuries as defined
169.28under section 144.661;
169.29(14) an attendant or ambulance director who is an EMT, EMT-I, or EMT-P within
169.30the meaning of section 144E.001 and who actively practices with a licensed ambulance
169.31service in a primary service area located in a designated rural area as defined under section
169.32144.1501, subdivision 1 , paragraph (b); and
169.33(15) the commissioner of public safety or the commissioner's designee.
169.34(c) Council members whose appointment is dependent on practice in a level III or IV
169.35trauma hospital may be appointed to an initial term based upon their statements that the
169.36hospital intends to become a level III or IV facility by July 1, 2009.

170.1    Sec. 14. [144.615] BIRTH CENTERS.
170.2    Subdivision 1. Definitions. (a) For purposes of this section, the following definitions
170.3have the meanings given them.
170.4(b) "Birth center" means a facility licensed for the primary purpose of performing
170.5low-risk deliveries that is not a hospital or licensed as part of a hospital and where births are
170.6planned to occur away from the mother's usual residence following a low-risk pregnancy.
170.7(c) "CABC" means the Commission for the Accreditation of Birth Centers.
170.8(d) "Low-risk pregnancy" means a normal, uncomplicated prenatal course as
170.9determined by documentation of adequate prenatal care and the anticipation of a normal
170.10uncomplicated labor and birth, as defined by reasonable and generally accepted criteria
170.11adopted by professional groups for maternal, fetal, and neonatal health care.
170.12    Subd. 2. License required. (a) Beginning January 1, 2011, no birth center shall be
170.13established, operated, or maintained in the state without first obtaining a license from the
170.14commissioner of health according to this section.
170.15(b) A license issued under this section is not transferable or assignable and is subject
170.16to suspension or revocation at any time for failure to comply with this section.
170.17(c) A birth center licensed under this section shall not assert, represent, offer,
170.18provide, or imply that the center is or may render care or services other than the services it
170.19is permitted to render within the scope of the license or the accreditation issued.
170.20(d) The license must be conspicuously posted in an area where patients are admitted.
170.21    Subd. 3. Temporary license. For new birth centers planning to begin operations
170.22after January 1, 2011, the commissioner may issue a temporary license to the birth center
170.23that is valid for a period of six months from the date of issuance. The birth center must
170.24submit to the commissioner an application and applicable fee for licensure as required
170.25under subdivision 4. The application must include the information required in subdivision
170.264, clauses (1) to (3) and (5) to (7), and documentation that the birth center has submitted
170.27an application for accreditation to the CABC. Upon receipt of accreditation from the
170.28CABC, the birth center must submit to the commissioner the information required in
170.29subdivision 4, clause (4), and the applicable fee under subdivision 8. The commissioner
170.30shall issue a new license.
170.31    Subd. 4. Application. An application for a license to operate a birth center and the
170.32applicable fee under subdivision 8 must be submitted to the commissioner on a form
170.33provided by the commissioner and must contain:
170.34(1) the name of the applicant;
170.35(2) the site location of the birth center;
170.36(3) the name of the person in charge of the center;
171.1(4) documentation that the accreditation described under subdivision 6 has been
171.2issued, including the effective date and the expiration date of the accreditation, and the
171.3date of the last site visit by the CABC;
171.4(5) the number of patients the birth center is capable of serving at a given time;
171.5(6) the names and license numbers, if applicable, of the health care professionals
171.6on staff at the birth center; and
171.7(7) any other information the commissioner deems necessary.
171.8    Subd. 5. Suspension, revocation, and refusal to renew. The commissioner may
171.9refuse to grant or renew, or may suspend or revoke, a license on any of the grounds
171.10described under section 144.55, subdivision 6, paragraph (a), clause (2), (3), or (4), or
171.11upon the loss of accreditation by the CABC. The applicant or licensee is entitled to notice
171.12and a hearing as described under section 144.55, subdivision 7, and a new license may be
171.13issued after proper inspection of the birth center has been conducted.
171.14    Subd. 6. Standards for licensure. (a) To be eligible for licensure under this
171.15section, a birth center must be accredited by the CABC or must obtain accreditation
171.16within six months of the date of the application for licensure. If the birth center loses its
171.17accreditation, the birth center must immediately notify the commissioner.
171.18(b) The center must have procedures in place specifying criteria by which risk status
171.19will be established and applied to each woman at admission and during labor.
171.20(c) Upon request, the birth center shall provide the commissioner of health with any
171.21material submitted by the birth center to the CABC as part of the accreditation process,
171.22including the accreditation application, the self-evaluation report, the accreditation
171.23decision letter from the CABC, and any reports from the CABC following a site visit.
171.24    Subd. 7. Limitations of services. (a) The following limitations apply to the services
171.25performed at a birth center:
171.26(1) surgical procedures must be limited to those normally accomplished during an
171.27uncomplicated birth, including episiotomy and repair;
171.28(2) no abortions may be administered; and
171.29(3) no general or regional anesthesia may be administered.
171.30(b) Notwithstanding paragraph (a), local anesthesia may be administered at a birth
171.31center if the administration of the anesthetic is performed within the scope of practice of a
171.32health care professional.
171.33    Subd. 8. Fees. (a) The biennial license fee for a birth center is $365.
171.34(b) The temporary license fee is $365.
171.35(c) Fees shall be collected and deposited according to section 144.122.
172.1    Subd. 9. Renewal. (a) Except as provided in paragraph (b), a license issued under
172.2this section expires two years from the date of issue.
172.3(b) A temporary license issued under subdivision 3 expires six months from the date
172.4of issue, and may be renewed for one additional six-month period.
172.5(c) An application for renewal shall be submitted at least 60 days prior to expiration
172.6of the license on forms prescribed by the commissioner of health.
172.7    Subd. 10. Records. All health records maintained on each client by a birth center
172.8are subject to sections 144.292 to 144.298.
172.9    Subd. 11. Report. (a) The commissioner of health, in consultation with the
172.10commissioner of human services and representatives of the licensed birth centers,
172.11the American College of Obstetricians and Gynecologists, the American Academy
172.12of Pediatrics, the Minnesota Hospital Association, and the Minnesota Ambulance
172.13Association, shall evaluate the quality of care and outcomes for services provided in
172.14licensed birth centers, including, but not limited to, the utilization of services provided at a
172.15birth center, the outcomes of care provided to both mothers and newborns, and the numbers
172.16of transfers to other health care facilities that are required and the reasons for the transfers.
172.17The commissioner shall work with the birth centers to establish a process to gather and
172.18analyze the data within protocols that protect the confidentiality of patient identification.
172.19(b) The commissioner of health shall report the findings of the evaluation to the
172.20legislature by January 15, 2014.

172.21    Sec. 15. Minnesota Statutes 2008, section 144.651, subdivision 2, is amended to read:
172.22    Subd. 2. Definitions. For the purposes of this section, "patient" means a person
172.23who is admitted to an acute care inpatient facility for a continuous period longer than
172.2424 hours, for the purpose of diagnosis or treatment bearing on the physical or mental
172.25health of that person. For purposes of subdivisions 4 to 9, 12, 13, 15, 16, and 18 to 20,
172.26"patient" also means a person who receives health care services at an outpatient surgical
172.27center or at a birth center licensed under section 144.615. "Patient" also means a minor
172.28who is admitted to a residential program as defined in section 253C.01. For purposes of
172.29subdivisions 1, 3 to 16, 18, 20 and 30, "patient" also means any person who is receiving
172.30mental health treatment on an outpatient basis or in a community support program or other
172.31community-based program. "Resident" means a person who is admitted to a nonacute care
172.32facility including extended care facilities, nursing homes, and boarding care homes for
172.33care required because of prolonged mental or physical illness or disability, recovery from
172.34injury or disease, or advancing age. For purposes of all subdivisions except subdivisions
172.3528 and 29, "resident" also means a person who is admitted to a facility licensed as a board
173.1and lodging facility under Minnesota Rules, parts 4625.0100 to 4625.2355, or a supervised
173.2living facility under Minnesota Rules, parts 4665.0100 to 4665.9900, and which operates
173.3a rehabilitation program licensed under Minnesota Rules, parts 9530.4100 to 9530.4450.

173.4    Sec. 16. Minnesota Statutes 2008, section 144.9504, is amended by adding a
173.5subdivision to read:
173.6    Subd. 12. Blood lead level guidelines. (a) By January 1, 2011, the commissioner
173.7must revise clinical and case management guidelines to include recommendations
173.8for protective health actions and follow-up services when a child's blood lead level
173.9exceeds five micrograms of lead per deciliter of blood. The revised guidelines must be
173.10implemented to the extent possible using available resources.
173.11(b) In revising the clinical and case management guidelines for blood lead levels
173.12greater than five micrograms of lead per deciliter of blood under this subdivision,
173.13the commissioner of health must consult with a statewide organization representing
173.14physicians, the public health department of Minneapolis and other public health
173.15departments, one representative of the residential construction industry, and a nonprofit
173.16organization with expertise in lead abatement.

173.17    Sec. 17. Minnesota Statutes 2008, section 144A.51, subdivision 5, is amended to read:
173.18    Subd. 5. Health facility. "Health facility" means a facility or that part of a facility
173.19which is required to be licensed pursuant to sections 144.50 to 144.58, 144.615, and a
173.20facility or that part of a facility which is required to be licensed under any law of this state
173.21which provides for the licensure of nursing homes.

173.22    Sec. 18. Minnesota Statutes 2008, section 144E.37, is amended to read:
173.23144E.37 COMPREHENSIVE ADVANCED LIFE SUPPORT.
173.24The board commissioner of health shall establish a comprehensive advanced
173.25life-support educational program to train rural medical personnel, including physicians,
173.26physician assistants, nurses, and allied health care providers, in a team approach to
173.27anticipate, recognize, and treat life-threatening emergencies before serious injury or
173.28cardiac arrest occurs.
173.29EFFECTIVE DATE.This section is effective July 1, 2010.

173.30    Sec. 19. HEALTH PLAN AND COUNTY ADMINISTRATIVE COST
173.31REDUCTION; REPORTING REQUIREMENTS.
174.1(a) Minnesota health plans and county-based purchasing plans may complete an
174.2inventory of existing data collection and reporting requirements for health plans and
174.3county-based purchasing plans and submit to the commissioners of health and human
174.4services a list of data, documentation, and reports that:
174.5(1) are collected from the same health plan or county-based purchasing plan more
174.6than once;
174.7(2) are collected directly from the health plan or county-based purchasing plan but
174.8are available to the state agencies from other sources;
174.9(3) are not currently being used by state agencies; or
174.10(4) collect similar information more than once in different formats, at different
174.11times, or by more than one state agency.
174.12(b) The report to the commissioners may also identify the percentage of health
174.13plan and county-based purchasing plan administrative time and expense attributed to
174.14fulfilling reporting requirements and include recommendations regarding ways to reduce
174.15duplicative reporting requirements.
174.16(c) Upon receipt, the commissioners shall submit the inventory and recommendations
174.17to the chairs of the appropriate legislative committees, along with their comments
174.18and recommendations as to whether any action should be taken by the legislature to
174.19establish a consolidated and streamlined reporting system under which data, reports, and
174.20documentation are collected only once and only when needed for the state agencies to
174.21fulfill their duties under law and applicable regulations.

174.22    Sec. 20. VENDOR ACCREDITATION SIMPLIFICATION.
174.23The Minnesota Hospital Association must coordinate with the Minnesota
174.24Credentialing Collaborative to make recommendations by January 1, 2012, on the
174.25development of standard accreditation methods for vendor services provided within
174.26hospitals and clinics. The recommendations must be consistent with requirements of
174.27hospital credentialing organizations and applicable federal requirements.

174.28    Sec. 21. APPLICATION PROCESS FOR HEALTH INFORMATION
174.29EXCHANGE.
174.30To the extent that the commissioner of health applies for additional federal funding
174.31to support the commissioner's responsibilities of developing and maintaining state level
174.32health information exchange under section 3013 of the HITECH Act, the commissioner of
174.33health shall ensure that applications are made through an open process that provides health
174.34information exchange service providers equal opportunity to receive funding.

175.1    Sec. 22. TRANSFER.
175.2The powers and duties of the Emergency Medical Services Regulatory Board with
175.3respect to the comprehensive advanced life-support educational program under Minnesota
175.4Statutes, section 144E.37, are transferred to the commissioner of health under Minnesota
175.5Statutes, section 15.039.
175.6EFFECTIVE DATE.This section is effective July 1, 2010.

175.7    Sec. 23. REVISOR'S INSTRUCTION.
175.8The revisor of statutes shall renumber Minnesota Statutes, section 144E.37, as
175.9Minnesota Statutes, section 144.6062, and make all necessary changes in statutory
175.10cross-references in Minnesota Statutes and Minnesota Rules.
175.11EFFECTIVE DATE.This section is effective July 1, 2010.

175.12    Sec. 24. REPEALER.
175.13Minnesota Statutes 2008, section 144.607, is repealed.

175.14ARTICLE 21
175.15PUBLIC HEALTH

175.16    Section 1. Minnesota Statutes 2008, section 62J.692, subdivision 4, is amended to read:
175.17    Subd. 4. Distribution of funds. (a) Following the distribution described under
175.18paragraph (b), the commissioner shall annually distribute the available medical education
175.19funds to all qualifying applicants based on a distribution formula that reflects a summation
175.20of two factors:
175.21    (1) a public program volume factor, which is determined by the total volume of
175.22public program revenue received by each training site as a percentage of all public
175.23program revenue received by all training sites in the fund pool; and
175.24    (2) a supplemental public program volume factor, which is determined by providing
175.25a supplemental payment of 20 percent of each training site's grant to training sites whose
175.26public program revenue accounted for at least 0.98 percent of the total public program
175.27revenue received by all eligible training sites. Grants to training sites whose public
175.28program revenue accounted for less than 0.98 percent of the total public program revenue
175.29received by all eligible training sites shall be reduced by an amount equal to the total
175.30value of the supplemental payment.
175.31    Public program revenue for the distribution formula includes revenue from medical
175.32assistance, prepaid medical assistance, general assistance medical care, and prepaid
176.1general assistance medical care. Training sites that receive no public program revenue
176.2are ineligible for funds available under this subdivision. For purposes of determining
176.3training-site level grants to be distributed under paragraph (a), total statewide average
176.4costs per trainee for medical residents is based on audited clinical training costs per trainee
176.5in primary care clinical medical education programs for medical residents. Total statewide
176.6average costs per trainee for dental residents is based on audited clinical training costs
176.7per trainee in clinical medical education programs for dental students. Total statewide
176.8average costs per trainee for pharmacy residents is based on audited clinical training costs
176.9per trainee in clinical medical education programs for pharmacy students.
176.10    (b) $5,350,000 of the available medical education funds shall be distributed as
176.11follows:
176.12    (1) $1,475,000 to the University of Minnesota Medical Center-Fairview;
176.13    (2) $2,075,000 to the University of Minnesota School of Dentistry; and
176.14    (3) $1,800,000 to the Academic Health Center. $150,000 of the funds distributed to
176.15the Academic Health Center under this paragraph shall be used for a program to assist
176.16internationally trained physicians who are legal residents and who commit to serving
176.17underserved Minnesota communities in a health professional shortage area to successfully
176.18compete for family medicine residency programs at the University of Minnesota.
176.19    (c) Funds distributed shall not be used to displace current funding appropriations
176.20from federal or state sources.
176.21    (d) Funds shall be distributed to the sponsoring institutions indicating the amount
176.22to be distributed to each of the sponsor's clinical medical education programs based on
176.23the criteria in this subdivision and in accordance with the commissioner's approval letter.
176.24Each clinical medical education program must distribute funds allocated under paragraph
176.25(a) to the training sites as specified in the commissioner's approval letter. Sponsoring
176.26institutions, which are accredited through an organization recognized by the Department
176.27of Education or the Centers for Medicare and Medicaid Services, may contract directly
176.28with training sites to provide clinical training. To ensure the quality of clinical training,
176.29those accredited sponsoring institutions must:
176.30    (1) develop contracts specifying the terms, expectations, and outcomes of the clinical
176.31training conducted at sites; and
176.32    (2) take necessary action if the contract requirements are not met. Action may
176.33include the withholding of payments under this section or the removal of students from
176.34the site.
176.35    (e) Any funds not distributed in accordance with the commissioner's approval letter
176.36must be returned to the medical education and research fund within 30 days of receiving
177.1notice from the commissioner. The commissioner shall distribute returned funds to the
177.2appropriate training sites in accordance with the commissioner's approval letter.
177.3    (f) A maximum of $150,000 of the funds dedicated to the commissioner under
177.4section 297F.10, subdivision 1, clause (2), may be used by the commissioner for
177.5administrative expenses associated with implementing this section.

177.6    Sec. 2. Minnesota Statutes 2009 Supplement, section 157.16, subdivision 3, is
177.7amended to read:
177.8    Subd. 3. Establishment fees; definitions. (a) The following fees are required
177.9for food and beverage service establishments, youth camps, hotels, motels, lodging
177.10establishments, public pools, and resorts licensed under this chapter. Food and beverage
177.11service establishments must pay the highest applicable fee under paragraph (d), clause
177.12(1), (2), (3), or (4), and establishments serving alcohol must pay the highest applicable
177.13fee under paragraph (d), clause (6) or (7). The license fee for new operators previously
177.14licensed under this chapter for the same calendar year is one-half of the appropriate annual
177.15license fee, plus any penalty that may be required. The license fee for operators opening
177.16on or after October 1 is one-half of the appropriate annual license fee, plus any penalty
177.17that may be required.
177.18    (b) All food and beverage service establishments, except special event food stands,
177.19and all hotels, motels, lodging establishments, public pools, and resorts shall pay an
177.20annual base fee of $150.
177.21    (c) A special event food stand shall pay a flat fee of $50 annually. "Special event
177.22food stand" means a fee category where food is prepared or served in conjunction with
177.23celebrations, county fairs, or special events from a special event food stand as defined
177.24in section 157.15.
177.25    (d) In addition to the base fee in paragraph (b), each food and beverage service
177.26establishment, other than a special event food stand, and each hotel, motel, lodging
177.27establishment, public pool, and resort shall pay an additional annual fee for each fee
177.28category, additional food service, or required additional inspection specified in this
177.29paragraph:
177.30    (1) Limited food menu selection, $60. "Limited food menu selection" means a fee
177.31category that provides one or more of the following:
177.32    (i) prepackaged food that receives heat treatment and is served in the package;
177.33    (ii) frozen pizza that is heated and served;
177.34    (iii) a continental breakfast such as rolls, coffee, juice, milk, and cold cereal;
177.35    (iv) soft drinks, coffee, or nonalcoholic beverages; or
178.1    (v) cleaning for eating, drinking, or cooking utensils, when the only food served
178.2is prepared off site.
178.3    (2) Small establishment, including boarding establishments, $120. "Small
178.4establishment" means a fee category that has no salad bar and meets one or more of
178.5the following:
178.6    (i) possesses food service equipment that consists of no more than a deep fat fryer, a
178.7grill, two hot holding containers, and one or more microwave ovens;
178.8    (ii) serves dipped ice cream or soft serve frozen desserts;
178.9    (iii) serves breakfast in an owner-occupied bed and breakfast establishment;
178.10    (iv) is a boarding establishment; or
178.11    (v) meets the equipment criteria in clause (3), item (i) or (ii), and has a maximum
178.12patron seating capacity of not more than 50.
178.13    (3) Medium establishment, $310. "Medium establishment" means a fee category
178.14that meets one or more of the following:
178.15    (i) possesses food service equipment that includes a range, oven, steam table, salad
178.16bar, or salad preparation area;
178.17    (ii) possesses food service equipment that includes more than one deep fat fryer,
178.18one grill, or two hot holding containers; or
178.19    (iii) is an establishment where food is prepared at one location and served at one or
178.20more separate locations.
178.21    Establishments meeting criteria in clause (2), item (v), are not included in this fee
178.22category.
178.23    (4) Large establishment, $540. "Large establishment" means either:
178.24    (i) a fee category that (A) meets the criteria in clause (3), items (i) or (ii), for a
178.25medium establishment, (B) seats more than 175 people, and (C) offers the full menu
178.26selection an average of five or more days a week during the weeks of operation; or
178.27    (ii) a fee category that (A) meets the criteria in clause (3), item (iii), for a medium
178.28establishment, and (B) prepares and serves 500 or more meals per day.
178.29    (5) Other food and beverage service, including food carts, mobile food units,
178.30seasonal temporary food stands, and seasonal permanent food stands, $60.
178.31    (6) Beer or wine table service, $60. "Beer or wine table service" means a fee
178.32category where the only alcoholic beverage service is beer or wine, served to customers
178.33seated at tables.
178.34    (7) Alcoholic beverage service, other than beer or wine table service, $165.
179.1    "Alcohol beverage service, other than beer or wine table service" means a fee
179.2category where alcoholic mixed drinks are served or where beer or wine are served from
179.3a bar.
179.4    (8) Lodging per sleeping accommodation unit, $10, including hotels, motels,
179.5lodging establishments, and resorts, up to a maximum of $1,000. "Lodging per sleeping
179.6accommodation unit" means a fee category including the number of guest rooms, cottages,
179.7or other rental units of a hotel, motel, lodging establishment, or resort; or the number of
179.8beds in a dormitory.
179.9    (9) First public pool, $325; each additional public pool, $175. "Public pool" means a
179.10fee category that has the meaning given in section 144.1222, subdivision 4.
179.11    (10) First spa, $175; each additional spa, $100. "Spa pool" means a fee category that
179.12has the meaning given in Minnesota Rules, part 4717.0250, subpart 9.
179.13    (11) Private sewer or water, $60. "Individual private water" means a fee category
179.14with a water supply other than a community public water supply as defined in Minnesota
179.15Rules, chapter 4720. "Individual private sewer" means a fee category with an individual
179.16sewage treatment system which uses subsurface treatment and disposal.
179.17    (12) Additional food service, $150. "Additional food service" means a location at
179.18a food service establishment, other than the primary food preparation and service area,
179.19used to prepare or serve food to the public.
179.20    (13) Additional inspection fee, $360. "Additional inspection fee" means a fee to
179.21conduct the second inspection each year for elementary and secondary education facility
179.22school lunch programs when required by the Richard B. Russell National School Lunch
179.23Act.
179.24    (e) A fee for review of construction plans must accompany the initial license
179.25application for restaurants, hotels, motels, lodging establishments, resorts, seasonal food
179.26stands, and mobile food units. The fee for this construction plan review is as follows:
179.27
Service Area
Type
Fee
179.28
Food
limited food menu
$275
179.29
small establishment
$400
179.30
medium establishment
$450
179.31
large food establishment
$500
179.32
additional food service
$150
179.33
Transient food service
food cart
$250
179.34
seasonal permanent food stand
$250
179.35
seasonal temporary food stand
$250
179.36
mobile food unit
$350
179.37
Alcohol
beer or wine table service
$150
179.38
alcohol service from bar
$250
180.1
Lodging
less than 25 rooms
$375
180.2
25 to less than 100 rooms
$400
180.3
100 rooms or more
$500
180.4
less than five cabins
$350
180.5
five to less than ten cabins
$400
180.6
ten cabins or more
$450
180.7    (f) When existing food and beverage service establishments, hotels, motels, lodging
180.8establishments, resorts, seasonal food stands, and mobile food units are extensively
180.9remodeled, a fee must be submitted with the remodeling plans. The fee for this
180.10construction plan review is as follows:
180.11
Service Area
Type
Fee
180.12
Food
limited food menu
$250
180.13
small establishment
$300
180.14
medium establishment
$350
180.15
large food establishment
$400
180.16
additional food service
$150
180.17
Transient food service
food cart
$250
180.18
seasonal permanent food stand
$250
180.19
seasonal temporary food stand
$250
180.20
mobile food unit
$250
180.21
Alcohol
beer or wine table service
$150
180.22
alcohol service from bar
$250
180.23
Lodging
less than 25 rooms
$250
180.24
25 to less than 100 rooms
$300
180.25
100 rooms or more
$450
180.26
less than five cabins
$250
180.27
five to less than ten cabins
$350
180.28
ten cabins or more
$400
180.29    (g) Special event food stands are not required to submit construction or remodeling
180.30plans for review.
180.31(h) Youth camps shall pay an annual single fee for food and lodging as follows:
180.32(1) camps with up to 99 campers, $325;
180.33(2) camps with 100 to 199 campers, $550; and
180.34(3) camps with 200 or more campers, $750.
180.35(i) A youth camp which pays fees under paragraph (d) is not required to pay fees
180.36under paragraph (h).

180.37    Sec. 3. Minnesota Statutes 2009 Supplement, section 327.15, subdivision 3, is
180.38amended to read:
181.1    Subd. 3. Fees, manufactured home parks and recreational camping areas. (a)
181.2The following fees are required for manufactured home parks and recreational camping
181.3areas licensed under this chapter. Recreational camping areas and manufactured home
181.4parks shall pay the highest applicable base fee under paragraph (c) (b). The license fee
181.5for new operators of a manufactured home park or recreational camping area previously
181.6licensed under this chapter for the same calendar year is one-half of the appropriate annual
181.7license fee, plus any penalty that may be required. The license fee for operators opening
181.8on or after October 1 is one-half of the appropriate annual license fee, plus any penalty
181.9that may be required.
181.10(b) All manufactured home parks and recreational camping areas shall pay the
181.11following annual base fee:
181.12(1) a manufactured home park, $150; and
181.13(2) a recreational camping area with:
181.14(i) 24 or less sites, $50;
181.15(ii) 25 to 99 sites, $212; and
181.16(iii) 100 or more sites, $300.
181.17In addition to the base fee, manufactured home parks and recreational camping areas shall
181.18pay $4 for each licensed site. This paragraph does not apply to special event recreational
181.19camping areas or to. Operators of a manufactured home park or a recreational camping
181.20area also licensed under section 157.16 for the same location shall pay only one base fee,
181.21whichever is the highest of the base fees found in this section or section 157.16.
181.22(c) In addition to the fee in paragraph (b), each manufactured home park or
181.23recreational camping area shall pay an additional annual fee for each fee category
181.24specified in this paragraph:
181.25(1) Manufactured home parks and recreational camping areas with public swimming
181.26pools and spas shall pay the appropriate fees specified in section 157.16.
181.27(2) Individual private sewer or water, $60. "Individual private water" means a fee
181.28category with a water supply other than a community public water supply as defined in
181.29Minnesota Rules, chapter 4720. "Individual private sewer" means a fee category with a
181.30subsurface sewage treatment system which uses subsurface treatment and disposal.
181.31(d) The following fees must accompany a plan review application for initial
181.32construction of a manufactured home park or recreational camping area:
181.33(1) for initial construction of less than 25 sites, $375;
181.34(2) for initial construction of 25 to 99 sites, $400; and
181.35(3) for initial construction of 100 or more sites, $500.
182.1(e) The following fees must accompany a plan review application when an existing
182.2manufactured home park or recreational camping area is expanded:
182.3(1) for expansion of less than 25 sites, $250;
182.4(2) for expansion of 25 to 99 sites, $300; and
182.5(3) for expansion of 100 or more sites, $450.

182.6    Sec. 4. FOOD SUPPORT FOR CHILDREN WITH SEVERE ALLERGIES.
182.7The commissioner of human services must seek a federal waiver from the federal
182.8Department of Agriculture, Food and Nutrition Service, for the supplemental nutrition
182.9assistance program, to increase the income eligibility requirements to 375 percent of the
182.10federal poverty guidelines, in order to cover nutritional food products required to treat
182.11or manage severe food allergies, including allergies to wheat and gluten, for infants and
182.12children who have been diagnosed with life-threatening severe food allergies.

182.13ARTICLE 22
182.14HEALTH CARE REFORM

182.15    Section 1. [62E.20] RELATIONSHIP TO TEMPORARY FEDERAL HIGH-RISK
182.16POOL.
182.17    Subdivision 1. Definitions. (a) For purposes of this section, the terms defined in
182.18this subdivision have the meanings given.
182.19(b) "Association" means the Minnesota Comprehensive Health Association.
182.20(c) "Federal law" means Title I, subtitle B, section 1101, of the federal Patient
182.21Protection and Affordable Care Act, Public Law 111-148, including any federal
182.22regulations adopted under it.
182.23(d) "Federal qualified high-risk pool" means an arrangement established by the
182.24federal secretary of health and human services that meets the requirements of the federal
182.25law.
182.26    Subd. 2. Timing of this section. This section applies beginning the date the
182.27temporary federal qualified high-risk health pool created under the federal law begins
182.28to provide coverage in this state.
182.29    Subd. 3. Maintenance of effort. The assessments made by the comprehensive
182.30health association on its member insurers must comply with the maintenance of effort
182.31requirement contained in paragraph (b), clause (3), of the federal law, to the extent that the
182.32requirement applies to assessments made by the association.
182.33    Subd. 4. Coordination with state health care programs. The commissioner
182.34of commerce and the Minnesota Comprehensive Health Association shall ensure that
183.1applicants for coverage through the federal qualified high-risk pool, or through the
183.2Minnesota Comprehensive Health Association, are referred to the medical assistance or
183.3MinnesotaCare programs if they are determined to be potentially eligible for coverage
183.4through those programs. The commissioner of human services shall ensure that applicants
183.5for coverage under medical assistance or MinnesotaCare who are determined not to be
183.6eligible for those programs are provided information about coverage through the federal
183.7qualified high-risk pool and the Minnesota Comprehensive Health Association.
183.8    Subd. 5. Federal funding. Minnesota shall coordinate its efforts with the United
183.9States Department of Health and Human Services (HHS) to obtain the federal funds to
183.10implement in Minnesota the federal qualified high-risk pool.

183.11    Sec. 2. [256B.0756] COORDINATED CARE THROUGH A HEALTH HOME.
183.12    Subdivision 1. Provision of coverage. (a) The commissioner shall provide
183.13medical assistance coverage of health home services for eligible individuals with chronic
183.14conditions who select a designated provider, a team of health care professionals, or a
183.15health team as the individual's health home.
183.16(b) The commissioner shall implement this section in compliance with the
183.17requirements of the state option to provide health homes for enrollees with chronic
183.18conditions, as provided under the Patient Protection and Affordable Care Act, Public
183.19Law 111-148, sections 2703 and 3502. Terms used in this section have the meaning
183.20provided in that act.
183.21    Subd. 2. Eligible individual. An individual is eligible for health home services
183.22under this section if the individual is eligible for medical assistance under this chapter
183.23and has at least:
183.24(1) two chronic conditions;
183.25(2) one chronic condition and is at risk of having a second chronic condition; or
183.26(3) one serious and persistent mental health condition.
183.27    Subd. 3. Health home services. (a) Health home services means comprehensive and
183.28timely high-quality services that are provided by a health home. These services include:
183.29(1) comprehensive care management;
183.30(2) care coordination and health promotion;
183.31(3) comprehensive transitional care, including appropriate follow-up, from inpatient
183.32to other settings;
183.33(4) patient and family support, including authorized representatives;
183.34(5) referral to community and social support services, if relevant; and
183.35(6) use of health information technology to link services, as feasible and appropriate.
184.1(b) The commissioner shall maximize the number and type of services
184.2included in this subdivision to the extent permissible under federal law, including
184.3physician, outpatient, mental health treatment, and rehabilitation services necessary for
184.4comprehensive transitional care following hospitalization.
184.5    Subd. 4. Health teams. The commissioner shall establish health teams to support
184.6the patient-centered health home and provide the services described in subdivision 3 to
184.7individuals eligible under subdivision 2. The commissioner shall apply for grants or
184.8contracts as provided under section 3502 of the Patient Protection and Affordable Care
184.9Act to establish health teams and provide capitated payments to primary care providers.
184.10For purposes of this section, "health teams" means community-based, interdisciplinary,
184.11inter-professional teams of health care providers that support primary care practices.
184.12These providers may include medical specialists, nurses, advanced practice registered
184.13nurses, pharmacists, nutritionists, social workers, behavioral and mental health providers,
184.14doctors of chiropractic, licensed complementary and alternative medicine practitioners,
184.15and physician assistants.
184.16    Subd. 5. Payments. The commissioner shall make payments to each health home
184.17and each health team for the provision of health home services to each eligible individual
184.18with chronic conditions that selects the health home as a provider.
184.19    Subd. 6. Coordination. The commissioner, to the extent feasible, shall ensure that
184.20the requirements and payment methods for health homes and health teams developed
184.21under this section are consistent with the requirements and payment methods for health
184.22care homes established under sections 256B.0751 and 256B.0753. The commissioner may
184.23modify requirements and payment methods under sections 256B.0751 and 256B.0753 in
184.24order to be consistent with federal health home requirements and payment methods.
184.25    Subd. 7. State plan amendment. The commissioner shall submit a state plan
184.26amendment to implement this section to the federal Centers for Medicare and Medicaid
184.27Services by January 1, 2011.
184.28EFFECTIVE DATE.This section is effective January 1, 2011, or upon federal
184.29approval, whichever is later.

184.30    Sec. 3. FEDERAL HEALTH CARE REFORM DEMONSTRATION PROJECTS
184.31AND GRANTS.
184.32(a) The commissioner of human services shall seek to participate in the following
184.33demonstration projects, or apply for the following grants, as described in the federal
184.34Patient Protection and Affordable Care Act, Public Law 111-148:
185.1(1) the demonstration project to evaluate integrated care around a hospitalization,
185.2Public Law 111-148, section 2704;
185.3(2) the Medicaid global payment system demonstration project, Public Law 111-148,
185.4section 2705, including a demonstration project for the specific population of childless
185.5adults under 75 percent of federal poverty guidelines that were to be served by the general
185.6assistance medical care program;
185.7(3) the pediatric accountable care organization demonstration project, Public Law
185.8111-148, section 2706;
185.9(4) the Medicaid emergency psychiatric demonstration project, Public Law 111-148,
185.10section 2707; and
185.11(5) grants to provide incentives for prevention of chronic diseases in Medicaid,
185.12Public Law 111-148, section 4108.
185.13(b) The commissioner of human services shall report to the chairs and ranking
185.14minority members of the house of representatives and senate committees or divisions with
185.15jurisdiction over health care policy and finance on the status of the demonstration project
185.16and grant applications. If the state is accepted as a demonstration project participant, or is
185.17awarded a grant, the commissioner shall notify the chairs and ranking minority members
185.18of those committees or divisions of any legislative changes necessary to implement the
185.19demonstration projects or grants.
185.20(c) The commissioner of health shall apply for federal grants available under the
185.21federal Patient Protection and Affordable Care Act, Public Law 111-148, for purposes
185.22of funding wellness and prevention, and health improvement programs. To the extent
185.23possible under federal law, the commissioner of health must utilize the state health
185.24improvement program, established under Minnesota Statutes, section 145.986, to
185.25implement grant programs related to wellness and prevention, and health improvement,
185.26for which the state receives funding under the federal Patient Protection and Affordable
185.27Care Act, Public Law 111-148.

185.28    Sec. 4. HEALTH CARE REFORM TASK FORCE.
185.29    Subdivision 1. Task force. (a) The governor shall convene a Health Care
185.30Reform Task Force to advise and assist the governor and the legislature regarding state
185.31implementation of federal health care reform legislation. For purposes of this section,
185.32"federal health care reform legislation" means the Patient Protection and Affordable Care
185.33Act, Public Law 111-148, and the health care reform provisions in the Health Care and
185.34Education Reconciliation Act of 2010, Public Law 111-152. The task force shall consist of:
186.1(1) two legislators from the house of representatives appointed by the speaker and
186.2two legislators from the senate appointed by the Subcommittee on Committees of the
186.3Committee on Rules and Administration;
186.4    (2) two representatives appointed by the governor to represent the governor and
186.5state agencies;
186.6    (3) three persons appointed by the governor who have demonstrated leadership in
186.7health care organizations, health plan companies, or health care trade or professional
186.8associations;
186.9    (4) three persons appointed by the governor who have demonstrated leadership in
186.10employer and group purchaser activities related to health system improvement of whom
186.11two must be from a labor organization and one from the business community; and
186.12    (5) five persons appointed by the governor who have demonstrated expertise in the
186.13areas of health care financing, access, and quality.
186.14    The governor is exempt from the requirements of the open appointments process
186.15for purposes of appointing task force members. Members shall be appointed for one-year
186.16terms and may be reappointed.
186.17    (b) The Department of Health, Department of Human Services, and Department of
186.18Commerce shall provide staff support to the task force. The task force may accept outside
186.19resources to help support its efforts.
186.20    (c) Task force members must be appointed by July 1, 2010. The task force must hold
186.21its first meeting by July 15, 2010.
186.22    Subd. 2. Duties. (a) By December 15, 2010, the task force shall develop and
186.23present to the legislature and the governor a preliminary report and recommendations on
186.24state implementation of federal health care reform legislation. The report must include
186.25recommendations for state law and program changes necessary to comply with the federal
186.26health care reform legislation, and also recommendations for implementing provisions of
186.27the federal legislation that are optional for states. In developing recommendations, the task
186.28force shall consider the extent to which an approach maximizes federal funding to the state.
186.29(b) The task force, in consultation with the governor and the legislature, shall also
186.30establish timelines and criteria for future reports on state implementation of the federal
186.31health care reform legislation.

186.32    Sec. 5. AMERICAN HEALTH BENEFIT EXCHANGE; PLANNING
186.33PROVISIONS.
187.1    Subdivision 1. Federal planning grants. The commissioners of commerce, health,
187.2and human services shall jointly or separately apply to the federal secretary of health and
187.3human services for one or more planning grants, including renewal grants, authorized
187.4under section 1311 of the Patient Protection and Affordable Care Act, Public Law
187.5111-148, including any future amendments of that provision, relating to state creation
187.6of American Health Benefit Exchanges.
187.7    Subd. 2. Consideration of early creation and operation of exchange. (a) The
187.8commissioners referenced in subdivision 1 shall analyze the advantages and disadvantages
187.9to the state of planning to have a state health insurance exchange, similar to an American
187.10Health Benefit Exchange referenced in subdivision 1, begin prior to the federal deadline
187.11of January 1, 2014.
187.12(b) The commissioners shall provide a written report to the legislature on the results
187.13of the analysis required under paragraph (a) no later than December 15, 2010. The written
187.14report must comply with Minnesota Statutes, sections 3.195 and 3.197.

187.15ARTICLE 23
187.16HUMAN SERVICES FORECAST ADJUSTMENTS

187.17
Section 1. SUMMARY OF APPROPRIATIONS.
187.18The amounts shown in this section summarize direct appropriations, by fund, made
187.19in this article.
187.20
2010
2011
Total
187.21
General
$
(109,876,000)
$
(28,344,000)
$
(138,220,000)
187.22
Health Care Access
$
99,654,000
$
276,500,000
$
376,154,000
187.23
Federal TANF
$
(9,830,000)
$
15,133,000
$
5,303,000
187.24
Total
$
(20,052,000)
$
263,289,000
$
243,237,000

187.25
Sec. 2. DEPARTMENT OF HUMAN SERVICES APPROPRIATION.
187.26    The sums shown in the columns marked "Appropriations" are added to or, if shown
187.27in parentheses, subtracted from the appropriations in Laws 2009, chapter 79, article 13,
187.28as amended by Laws 2009, chapter 173, article 2, to the agencies and for the purposes
187.29specified in this article. The appropriations are from the general fund, or another named
187.30fund, and are available for the fiscal years indicated for each purpose. The figures "2010"
187.31and "2011" used in this article mean that the addition to or subtraction from appropriations
187.32listed under them is available for the fiscal year ending June 30, 2010, or June 30, 2011,
187.33respectively. "The first year" is fiscal year 2010. "The second year" is fiscal year 2011.
187.34"The biennium" is fiscal years 2010 and 2011. Supplemental appropriations and reductions
188.1for the fiscal year ending June 30, 2010, are effective the day following final enactment
188.2unless a different effective date is explicit.
188.3
APPROPRIATIONS
188.4
Available for the Year
188.5
Ending June 30
188.6
2010
2011

188.7
188.8
Sec. 3. DEPARTMENT OF HUMAN
SERVICES
188.9
Subdivision 1.Total Appropriation
$
(20,052,000)
$
263,289,000
188.10
Appropriations by Fund
188.11
2010
2011
188.12
General
(109,876,000)
(28,344,000)
188.13
Health Care Access
99,654,000
276,500,000
188.14
Federal TANF
(9,830,000)
15,133,000
188.15The amounts that may be spent for each
188.16purpose are specified in the following
188.17subdivisions.
188.18
Subd. 2.Revenue and Pass-through
188.19
Appropriations by Fund
188.20
Federal TANF
390,000
(251,000)
188.21
188.22
Subd. 3.Children and Economic Assistance
Grants
188.23
Appropriations by Fund
188.24
General
4,489,000
(4,140,000)
188.25
Federal TANF
(10,220,000)
15,384,000
188.26The amounts that may be spent from this
188.27appropriation are as follows:
188.28
(a) MFIP Grants
188.29
General
7,916,000
(14,481,000)
188.30
Federal TANF
(10,220,000)
15,384,000
188.31
(b) MFIP Child Care Assistance Grants
(7,832,000)
2,579,000
188.32
(c) General Assistance Grants
875,000
1,339,000
188.33
(d) Minnesota Supplemental Aid Grants
2,454,000
3,843,000
188.34
(e) Group Residential Housing Grants
1,076,000
2,580,000
189.1
Subd. 4.Basic Health Care Grants
189.2
Appropriations by Fund
189.3
General
(62,770,000)
29,192,000
189.4
Health Care Access
99,654,000
276,500,000
189.5The amounts that may be spent from the
189.6appropriation for each purpose are as follows:
189.7
(a) MinnesotaCare Grants
189.8
Health Care Access
99,654,000
276,500,000
189.9
189.10
(b) Medical Assistance Basic Health Care -
Families and Children
1,165,000
24,146,000
189.11
189.12
(c) Medical Assistance Basic Health Care -
Elderly and Disabled
(63,935,000)
5,046,000
189.13
Subd. 5.Continuing Care Grants
(51,595,000)
(53,396,000)
189.14The amounts that may be spent from the
189.15appropriation for each purpose are as follows:
189.16
189.17
(a) Medical Assistance Long-Term Care
Facilities
(3,774,000)
(8,275,000)
189.18
189.19
(b) Medical Assistance Long-Term Care
Waivers
(27,710,000)
(22,452,000)
189.20
(c) Chemical Dependency Entitlement Grants
(20,111,000)
(22,669,000)

189.21    Sec. 4. EFFECTIVE DATE.
189.22This article is effective the day following final enactment.

189.23ARTICLE 24
189.24HUMAN SERVICES CONTINGENT APPROPRIATIONS

189.25
Section 1. SUMMARY OF HUMAN SERVICES APPROPRIATIONS.
189.26The amounts shown in this section summarize direct appropriations, by fund, made
189.27in this bill.
189.28
2010
2011
Total
189.29
General
$
-0-
$
13,383,000
$
13,383,000
189.30
Health Care Access
-0-
686,000
686,000
189.31
Total
$
-0-
$
14,069,000
$
14,069,000

189.32
Sec. 2. HEALTH AND HUMAN SERVICES CONTINGENT APPROPRIATIONS.
190.1The sums shown in the columns marked "Appropriations" are added to the
190.2appropriations in Laws 2009, chapter 79, article 13, as amended by Laws 2009, chapter
190.3173, article 2, to the agency and for the purposes specified in this bill. The appropriations
190.4are from the general fund, or another named fund, and are available for the fiscal years
190.5indicated for each purpose. The figures "2010" and "2011" used in this bill mean that the
190.6addition to or subtraction from the appropriation listed under them is available for the
190.7fiscal year ending June 30, 2010, or June 30, 2011, respectively.
190.8
APPROPRIATIONS
190.9
Available for the Year
190.10
Ending June 30
190.11
2010
2011

190.12
190.13
Sec. 3. COMMISSIONER OF HUMAN
SERVICES
190.14
Subdivision 1.Total Appropriation
$
-0-
$
14,069,000
190.15
Appropriations by Fund
190.16
2010
2011
190.17
General
-0-
13,383,000
190.18
Health Care Access
-0-
686,000
190.19The appropriations for each purpose are
190.20shown in the following subdivisions.
190.21
Subd. 2.Basic Health Care Grants
190.22
(a) MinnesotaCare Grants
-0-
686,000
190.23This appropriation is from the health care
190.24access fund.
190.25
190.26
(b) Medical Assistance Basic Health Care
Grants - Families and Children
-0-
6,297,000
190.27
190.28
(c) Medical Assistance Basic Health Care
Grants - Elderly and Disabled
-0-
3,697,000
190.29
Subd. 3.Continuing Care Grants
190.30
190.31
(a) Medical Assistance - Long-Term Care
Facilities Grants
-0-
2,486,000
190.32
190.33
(b) Medical Assistance Grants - Long-Term
Care Waivers and Home Care Grants
-0-
547,000
190.34
(c) Chemical Dependency Entitlement Grants
-0-
356,000
191.1EFFECTIVE DATE.This section is effective upon enactment of an extension of
191.2the enhanced federal medical assistance percentage (FMAP) under Public Law 111-5,
191.3section 5001, to at least June 30, 2011.

191.4    Sec. 4. Minnesota Statutes 2008, section 256B.0625, subdivision 22, is amended to
191.5read:
191.6    Subd. 22. Hospice care. Medical assistance covers hospice care services under
191.7Public Law 99-272, section 9505, to the extent authorized by rule, except that a recipient
191.8age 21 or under who elects to receive hospice services does not waive coverage for
191.9services that are related to the treatment of the condition for which a diagnosis of terminal
191.10illness has been made.
191.11EFFECTIVE DATE.This section is effective retroactive from March 23, 2010.

191.12    Sec. 5. Minnesota Statutes 2009 Supplement, section 256B.0911, subdivision 1a,
191.13is amended to read:
191.14    Subd. 1a. Definitions. For purposes of this section, the following definitions apply:
191.15(a) "Long-term care consultation services" means:
191.16(1) assistance in identifying services needed to maintain an individual in the most
191.17inclusive environment;
191.18(2) providing recommendations on cost-effective community services that are
191.19available to the individual;
191.20(3) development of an individual's person-centered community support plan;
191.21(4) providing information regarding eligibility for Minnesota health care programs;
191.22(5) face-to-face long-term care consultation assessments, which may be completed
191.23in a hospital, nursing facility, intermediate care facility for persons with developmental
191.24disabilities (ICF/DDs), regional treatment centers, or the person's current or planned
191.25residence;
191.26(6) federally mandated screening to determine the need for a institutional level of
191.27care under section 256B.0911, subdivision 4, paragraph (a) subdivision 4a;
191.28(7) determination of home and community-based waiver service eligibility including
191.29level of care determination for individuals who need an institutional level of care as
191.30defined under section 144.0724, subdivision 11, or 256B.092, service eligibility including
191.31state plan home care services identified in section 256B.0625, subdivisions 6, 7, and
191.3219, paragraphs (a) and (c), based on assessment and support plan development with
191.33appropriate referrals;
192.1(8) providing recommendations for nursing facility placement when there are no
192.2cost-effective community services available; and
192.3(9) assistance to transition people back to community settings after facility
192.4admission.
192.5(b) "Long-term care options counseling" means the services provided by the linkage
192.6lines as mandated by sections 256.01 and 256.975, subdivision 7, and also includes
192.7telephone assistance and follow up once a long-term care consultation assessment has
192.8been completed.
192.9(c) "Minnesota health care programs" means the medical assistance program under
192.10chapter 256B and the alternative care program under section 256B.0913.
192.11(d) "Lead agencies" means counties or a collaboration of counties, tribes, and health
192.12plans administering long-term care consultation assessment and support planning services.

192.13    Sec. 6. Minnesota Statutes 2008, section 256B.19, subdivision 1c, is amended to read:
192.14    Subd. 1c. Additional portion of nonfederal share. (a) Hennepin County shall
192.15be responsible for a monthly transfer payment of $1,500,000, due before noon on the
192.1615th of each month and the University of Minnesota shall be responsible for a monthly
192.17transfer payment of $500,000 due before noon on the 15th of each month, beginning July
192.1815, 1995. These sums shall be part of the designated governmental unit's portion of the
192.19nonfederal share of medical assistance costs.
192.20(b) Beginning July 1, 2001, Hennepin County's payment under paragraph (a) shall
192.21be $2,066,000 each month.
192.22(c) Beginning July 1, 2001, the commissioner shall increase annual capitation
192.23payments to the metropolitan health plan under section 256B.69 for the prepaid medical
192.24assistance program by approximately $3,400,000, plus any available federal matching
192.25funds, $6,800,000 to recognize higher than average medical education costs.
192.26(d) Effective August 1, 2005, Hennepin County's payment under paragraphs (a)
192.27and (b) shall be reduced to $566,000, and the University of Minnesota's payment under
192.28paragraph (a) shall be reduced to zero. Effective October 1, 2008, to December 31, 2010,
192.29Hennepin County's payment under paragraphs (a) and (b) shall be $434,688. Effective
192.30January 1, 2011, Hennepin County's payment under paragraphs (a) and (b) shall be
192.31$566,000.
192.32(e) Notwithstanding paragraph (d), upon federal enactment of an extension to June
192.3330, 2011, of the enhanced federal medical assistance percentage (FMAP) originally
192.34provided under Public Law 111-5, for the six-month period from January 1, 2011, to June
192.3530, 2011, Hennepin County's payment under paragraphs (a) and (b) shall be $434,688.

193.1    Sec. 7. Minnesota Statutes 2008, section 256L.15, subdivision 1, is amended to read:
193.2    Subdivision 1. Premium determination. (a) Families with children and individuals
193.3shall pay a premium determined according to subdivision 2.
193.4    (b) Pregnant women and children under age two are exempt from the provisions
193.5of section 256L.06, subdivision 3, paragraph (b), clause (3), requiring disenrollment
193.6for failure to pay premiums. For pregnant women, this exemption continues until the
193.7first day of the month following the 60th day postpartum. Women who remain enrolled
193.8during pregnancy or the postpartum period, despite nonpayment of premiums, shall be
193.9disenrolled on the first of the month following the 60th day postpartum for the penalty
193.10period that otherwise applies under section 256L.06, unless they begin paying premiums.
193.11    (c) Members of the military and their families who meet the eligibility criteria
193.12for MinnesotaCare upon eligibility approval made within 24 months following the end
193.13of the member's tour of active duty shall have their premiums paid by the commissioner.
193.14The effective date of coverage for an individual or family who meets the criteria of this
193.15paragraph shall be the first day of the month following the month in which eligibility is
193.16approved. This exemption applies for 12 months. This paragraph expires June 30, 2010.
193.17If the expiration of this provision is in violation of section 5001 of Public Law 111-5, this
193.18provision will expire on the date when it is no longer subject to section 5001 of Public Law
193.19111-5. The commissioner of human services shall notify the revisor of statutes of that date.

193.20    Sec. 8. Laws 2005, First Special Session chapter 4, article 8, section 66, as amended by
193.21Laws 2009, chapter 173, article 3, section 24, the effective date, is amended to read:
193.22EFFECTIVE DATE.Paragraph (a) is effective August 1, 2009, and upon federal
193.23approval and on the date when it is no longer subject to the maintenance of effort
193.24requirements of section 5001 of Public Law 111-5. The commissioner of human services
193.25shall notify the revisor of statutes of that date. Paragraph (e) is effective September 1,
193.262006.

193.27    Sec. 9. Laws 2009, chapter 79, article 5, section 17, the effective date, is amended to
193.28read:
193.29EFFECTIVE DATE.This section is effective January 1, 2011, or upon federal
193.30approval, whichever is later and on the date when it is no longer subject to the maintenance
193.31of effort requirements of section 5001 of Public Law 111-5. The commissioner of human
193.32services shall notify the revisor of statutes of that date.

194.1    Sec. 10. Laws 2009, chapter 79, article 5, section 18, the effective date, is amended to
194.2read:
194.3EFFECTIVE DATE.This section is effective January 1, 2011 upon federal
194.4approval and on the date when it is no longer subject to the maintenance of effort
194.5requirements of section 5001 of Public Law 111-5. The commissioner of human services
194.6shall notify the revisor of statutes when federal approval is obtained.

194.7    Sec. 11. Laws 2009, chapter 79, article 5, section 22, the effective date, is amended to
194.8read:
194.9EFFECTIVE DATE.This section is effective for periods of ineligibility established
194.10on or after January 1, 2011, unless it is in violation of section 5001 of Public Law 111-5.
194.11If it is in violation of that section, then it shall be effective on the date when it is no longer
194.12subject to maintenance of effort requirements of section 5001 of Public Law 111-5. The
194.13commissioner of human services shall notify the revisor of statutes of that date.

194.14    Sec. 12. Laws 2009, chapter 79, article 8, section 4, the effective date, is amended to
194.15read:
194.16EFFECTIVE DATE.The section is effective January July 1, 2011.

194.17    Sec. 13. Laws 2009, chapter 173, article 1, section 17, the effective date, is amended to
194.18read:
194.19EFFECTIVE DATE.This section is effective for pooled trust accounts established
194.20on or after January 1, 2011, unless it is in violation of section 5001 of Public Law 111-5.
194.21If it is in violation of that section, then it shall be effective on the date when it is no longer
194.22subject to maintenance of effort requirements of section 5001 of Public Law 111-5. The
194.23commissioner of human services shall notify the revisor of statutes of that date.

194.24ARTICLE 25
194.25HEALTH AND HUMAN SERVICES APPROPRIATIONS

194.26
Section 1. SUMMARY OF APPROPRIATIONS.
194.27    The amounts shown in this section summarize direct appropriations by fund made
194.28in this article.
194.29
2010
2011
Total
194.30
General
$
(6,784,000)
$
209,746,000
$
202,962,000
195.1
195.2
State Government Special
Revenue
113,000
624,000
737,000
195.3
Health Care Access
998,000
(2,276,000)
(1,278,000)
195.4
Federal TANF
8,000,000
20,000,000
28,000,000
195.5
Special Revenue
-0-
93,000
93,000
195.6
Total
$
2,327,000
$
228,187,000
$
230,514,000

195.7
Sec. 2. HEALTH AND HUMAN SERVICES APPROPRIATIONS.
195.8    The sums shown in the columns marked "Appropriations" are added to or, if shown
195.9in parentheses, subtracted from the appropriations in Laws 2009, chapter 79, article 13,
195.10as amended by Laws 2009, chapter 173, article 2, to the agencies and for the purposes
195.11specified in this article. The appropriations are from the general fund, or another named
195.12fund, and are available for the fiscal years indicated for each purpose. The figures "2010"
195.13and "2011" used in this article mean that the addition to or subtraction from appropriations
195.14listed under them is available for the fiscal year ending June 30, 2010, or June 30, 2011,
195.15respectively. "The first year" is fiscal year 2010. "The second year" is fiscal year 2011.
195.16"The biennium" is fiscal years 2010 and 2011. Supplemental appropriations and reductions
195.17for the fiscal year ending June 30, 2010, are effective the day following final enactment
195.18unless a different effective date is explicit.
195.19
APPROPRIATIONS
195.20
Available for the Year
195.21
Ending June 30
195.22
2010
2011

195.23
195.24
Sec. 3. COMMISSIONER OF HUMAN
SERVICES
195.25
Subdivision 1.Total Appropriation
$
4,409,000
$
226,513,000
195.26
Appropriations by Fund
195.27
2010
2011
195.28
General
(4,589,000)
209,026,000
195.29
Health Care Access
998,000
(2,513,000)
195.30
Federal TANF
8,000,000
20,000,000
195.31The appropriation modifications for
195.32each purpose are shown in the following
195.33subdivisions.
195.34TANF Financing and Maintenance of
195.35Effort. The commissioner, with the approval
195.36of the commissioner of management and
196.1budget, and after notification of the chairs
196.2of the relevant senate budget division and
196.3house of representatives finance division,
196.4may adjust the amount of TANF transfers
196.5between the MFIP transition year child care
196.6assistance program and MFIP grant programs
196.7within the fiscal year and within the current
196.8biennium and the biennium ending June 30,
196.92013, to ensure that state and federal match
196.10and maintenance of effort requirements are
196.11met. These transfers and amounts shall be
196.12reported to the chairs of the senate and house
196.13of representatives Finance Committees, the
196.14senate Health and Human Services Budget
196.15Division, and the house of representatives
196.16Health Care and Human Services Finance
196.17Division and Early Childhood Finance and
196.18Policy Division by December 1 of each
196.19fiscal year. Notwithstanding any contrary
196.20provision in this article, this paragraph
196.21expires June 30, 2013.
196.22SNAP Enhanced Administrative Funding.
196.23The funds available for administration
196.24of the Supplemental Nutrition Assistance
196.25Program under the Department of Defense
196.26Appropriations Act of 2010, Public
196.27Law 111-118, are appropriated to the
196.28commissioner to pay the actual costs
196.29of providing for increased eligibility
196.30determinations, caseload-related costs,
196.31timely application processing, and quality
196.32control. Of these funds, 20 percent shall
196.33be allocated to the commissioner and 80
196.34percent shall be allocated to counties.
196.35The commissioner shall allocate the
196.36county portion based on recent caseload.
197.1Reimbursement shall be based on actual
197.2costs reported by counties through existing
197.3processes. Tribal reimbursement must be
197.4made from the state portion, based on a
197.5caseload factor equivalent to that of a county.
197.6TANF Summer Food Programs -
197.7TANF Emergency Fund Non-Recurrent
197.8Short-Term Benefits. In addition to the
197.9TANF emergency fund (TEF) non-recurrent
197.10short-term benefits provided in this
197.11subdivision, the commissioner may
197.12supplement funds available under Minnesota
197.13Statutes, section 256E.34 to provide for
197.14summer food programs to the extent such
197.15funds are available and eligible to leverage
197.16TANF emergency funds non-recurrent
197.17benefits. The commissioner may contract
197.18directly with providers or third-party funders
197.19to maximize these TANF emergency fund
197.20grants. Up to $800,000 of TEF non-recurrent
197.21short-term benefit earnings may be used in
197.22this program. This paragraph is effective the
197.23day following final enactment.
197.24TANF Transfer to Federal Child
197.25Care and Development Fund. Of the
197.26TANF appropriation in fiscal year 2011,
197.27$12,500,000 is to the commissioner for
197.28the purposes of MFIP and transition year
197.29child care under Minnesota Statutes, section
197.30119B.05. The commissioner shall authorize
197.31the transfer of sufficient TANF funds to the
197.32federal child care and development fund to
197.33meet this appropriation and shall ensure that
197.34all transferred funds are expended according
197.35to federal child care and development fund
197.36regulations.
198.1Special Revenue Fund Transfers. (a) The
198.2commissioner shall transfer the following
198.3amounts from special revenue fund balances
198.4to the general fund by June 30 of each
198.5respective fiscal year: $613,000 in fiscal year
198.62010, and $493,000 in fiscal year 2011. This
198.7provision is effective the day following final
198.8enactment.
198.9(b) The actual transfers made under
198.10paragraph (a) must be separately identified
198.11and reported as part of the quarterly reporting
198.12of transfers to the chairs of the relevant senate
198.13budget division and house of representatives
198.14finance division.
198.15
Subd. 2.Agency Management
198.16
(a) Financial Operations
-0-
103,000
198.17Base Adjustment. The general fund base is
198.18decreased by $10,000 in fiscal year 2012 and
198.19$10,000 in fiscal year 2013.
198.20
(b) Legal and Regulatory Operations
-0-
114,000
198.21Base Adjustment. The general fund base is
198.22decreased by $18,000 in fiscal year 2012 and
198.23$18,000 in fiscal year 2013.
198.24
(c) Management Operations
-0-
(114,000)
198.25Base Adjustment. The general fund base is
198.26increased by $18,000 in fiscal year 2012 and
198.27$18,000 in fiscal year 2013.
198.28
(d) Information Technology Operations
-0-
(2,500,000)
198.29Base Adjustment. The general fund base is
198.30decreased by $1,666,000 in fiscal year 2012
198.31and $1,666,000 in fiscal year 2013.
198.32
198.33
Subd. 3.Revenue and Pass-Through Revenue
Expenditures
8,000,000
20,000,000
199.1These appropriations are from the federal
199.2TANF fund.
199.3TANF Funding for the Working Family
199.4Tax Credit. In addition to the amounts
199.5specified in Minnesota Statutes, section
199.6290.0671, subdivision 6, $15,500,000
199.7of TANF funds in fiscal year 2010 are
199.8appropriated to the commissioner to
199.9reimburse the general fund for the cost of
199.10the working family tax credit for eligible
199.11families. With respect to the amounts
199.12appropriated for fiscal year 2010, the
199.13commissioner shall reimburse the general
199.14fund by June 30, 2010. This paragraph is
199.15effective the day following final enactment.
199.16Child Care Development Fund
199.17Unexpended Balance. In addition to
199.18the amount provided in this section, the
199.19commissioner shall carry over and expend
199.20in fiscal year 2011 $7,500,000 of the TANF
199.21funds transferred in fiscal year 2010 that
199.22reflect the child care and development fund
199.23unexpended balance for the basic sliding
199.24fee child care assistance program under
199.25Minnesota Statutes, section 119B.03. The
199.26commissioner shall ensure that all funds are
199.27expended according to the federal child care
199.28and development fund regulations relating to
199.29the TANF transfers.
199.30Base Adjustment. The general fund base is
199.31increased by $7,500,000 in fiscal year 2012
199.32and $7,500,000 in fiscal year 2013.
199.33
Subd. 4.Economic Support Grants
199.34
(a) Support Services Grants
-0-
-0-
200.1Base Adjustment. The federal TANF fund
200.2base is decreased by $5,004,000 in fiscal year
200.32012 and $5,004,000 in fiscal year 2013.
200.4
(b) MFIP/DWP Grants
-0-
(1,583,000)
200.5
200.6
(c) Basic Sliding Fee Child Care Assistance
Grants
-0-
(7,500,000)
200.7
(d) Children's Services Grants
(900,000)
-0-
200.8Adoption Assistance. Of the appropriation
200.9reduction in fiscal year 2010, $900,000 is
200.10from the adoption assistance program. This
200.11reduction is onetime.
200.12
(e) Child and Community Services Grants
-0-
(16,750,000)
200.13Base adjustment. The general fund is
200.14increased by $13,509,000 in fiscal year 2012
200.15and $13,509,000 in fiscal year 2013.
200.16
(f) Group Residential Housing Grants
-0-
84,000
200.17Reduction of Supplemental Service Rate.
200.18Effective July 1, 2011, to June 30, 2013,
200.19the commissioner shall decrease the group
200.20residential housing supplementary service
200.21rate under Minnesota Statutes, section
200.22256I.05, subdivision 1a, by five percent
200.23for services rendered on or after that date,
200.24except that reimbursement rates for a group
200.25residential housing facility reimbursed as a
200.26nursing facility shall not be reduced. The
200.27reduction in this paragraph is in addition to
200.28the reduction under Laws 2009, chapter 79,
200.29article 8, section 79, paragraph (b), clause
200.30(11).
200.31Base Adjustment. The general fund base is
200.32decreased by $784,000 in fiscal year 2012
200.33and $784,000 in fiscal year 2013.
201.1
(g) Children's Mental Health Grants
(200,000)
(200,000)
201.2
201.3
(h) Other Children's and Economic Assistance
Grants
400,000
213,000
201.4Minnesota Food Assistance Program. Of
201.5the 2011 appropriation, $150,000 is for the
201.6Minnesota Food Assistance Program. This
201.7appropriation is onetime.
201.8Of this appropriation, $400,000 in fiscal
201.9year 2010 and $63,000 in fiscal year 2011
201.10is for food shelf programs under Minnesota
201.11Statutes, section 256E.34. This appropriation
201.12is available until spent.
201.13Base Adjustment. The general fund base is
201.14decreased by $20,000 in fiscal year 2012 and
201.15decreased by $510,000 in fiscal year 2013.
201.16
201.17
Subd. 5.Children and Economic Assistance
Management
201.18
201.19
(a) Children and Economic Assistance
Administration
-0-
-0-
201.20Base Adjustment. The federal TANF fund
201.21base is decreased by $700,000 in fiscal year
201.222012 and $700,000 in fiscal year 2013.
201.23
201.24
(b) Children and Economic Assistance
Operations
-0-
195,000
201.25Base Adjustment. The general fund base is
201.26decreased by $12,000 in fiscal year 2012 and
201.27$12,000 in fiscal year 2013.
201.28
Subd. 6.Health Care Grants
201.29
(a) MinnesotaCare Grants
998,000
4,269,000
201.30This appropriation is from the health care
201.31access fund.
201.32Health Care Access Fund Transfer to
201.33General Fund. The commissioner of
202.1management and budget shall transfer
202.2$998,000 in fiscal year 2010 and
202.3$193,404,000 in fiscal year 2011 from the
202.4health care access fund to the general fund.
202.5This paragraph is effective the day following
202.6final enactment.
202.7The amount of this transfer is $178,682,000
202.8in fiscal year 2012 and $286,150,000 in fiscal
202.9year 2013.
202.10MinnesotaCare Ratable Reduction.
202.11Effective for services rendered on or
202.12after July 1, 2010, to December 31, 2013,
202.13MinnesotaCare payments to managed care
202.14plans under Minnesota Statutes, section
202.15256L.12, for single adults and households
202.16without children whose income is greater
202.17than 75 percent of federal poverty guidelines
202.18shall be reduced by 15 percent. Effective
202.19for services provided from July 1, 2010, to
202.20June 30, 2011, this reduction shall apply to
202.21all services. Effective for services provided
202.22from July 1, 2011, to December 31, 2013, this
202.23reduction shall apply to all services except
202.24inpatient hospital services. Notwithstanding
202.25any contrary provision of this article, this
202.26paragraph shall expire on December 31,
202.272013.
202.28
202.29
(b) Medical Assistance Basic Health Care
Grants - Families and Children
-0-
314,662,000
202.30Critical Access Dental. Of the general
202.31fund appropriation, $731,000 in fiscal year
202.322011 is to the commissioner for critical
202.33access dental provider reimbursement
202.34payments under Minnesota Statutes, section
203.1256B.76 subdivision 4. This is a onetime
203.2appropriation.
203.3Nonadministrative Rate Reduction. For
203.4services rendered on or after July 1, 2010,
203.5to December 31, 2013, the commissioner
203.6shall reduce contract rates paid to managed
203.7care plans under Minnesota Statutes,
203.8sections 256B.69 and 256L.12, and to
203.9county-based purchasing plans under
203.10Minnesota Statutes, section 256B.692, by
203.11three percent of the contract rate attributable
203.12to nonadministrative services in effect on
203.13June 30, 2010. Notwithstanding any contrary
203.14provision in this article, this rider expires on
203.15December 31, 2013.
203.16
203.17
(c) Medical Assistance Basic Health Care
Grants - Elderly and Disabled
-0-
(6,309,000)
203.18MnDHO Transition. Of the general fund
203.19appropriation for fiscal year 2011, $250,000
203.20is to the commissioner to be made available
203.21to county agencies to assist in the transition
203.22of the approximately 1,290 current MnDHO
203.23members to the fee-for-service Medicaid
203.24program or another managed care option by
203.25January 1, 2011.
203.26County agencies shall work with the
203.27commissioner, health plans, and MnDHO
203.28members and their legal representatives to
203.29develop and implement transition plans that
203.30include:
203.31(1) identification of service needs of MnDHO
203.32members based on the current assessment or
203.33through the completion of a new assessment;
203.34(2) identification of services currently
203.35provided to MnDHO members and which
204.1of those services will continue to be
204.2reimbursable through fee-for-service
204.3or another managed care option under
204.4the Medicaid state plan or a home and
204.5community-based waiver program;
204.6(3) identification of service providers who do
204.7not have a contract with the county or who
204.8are currently reimbursed at a different rate
204.9than the county contracted rate; and
204.10(4) development of an individual service
204.11plan that is within allowable waiver funding
204.12limits.
204.13
(d) General Assistance Medical Care Grants
-0-
(75,389,000)
204.14
(e) Other Health Care Grants
-0-
(7,000,000)
204.15Cobra Carryforward. Unexpended funds
204.16appropriated in fiscal year 2010 for COBRA
204.17grants under Laws 2009, chapter 79, article
204.185, section 78, do not cancel and are available
204.19to the commissioner for fiscal year 2011
204.20COBRA grant expenditures. Up to $111,000
204.21of the fiscal year 2011 appropriation for
204.22COBRA grants provided in Laws 2009,
204.23chapter 79, article 13, section 3, subdivision
204.246, may be used by the commissioner for costs
204.25related to administration of the COBRA
204.26grants.
204.27
Subd. 7.Health Care Management
204.28
(a) Health Care Administration
-0-
442,000
204.29Fiscal Note Report. Of this appropriation,
204.30$50,000 in fiscal year 2011 is for a transfer to
204.31the commissioner of Minnesota Management
204.32and Budget for the completion of the human
204.33services fiscal note report in article 5.
205.1PACE Implementation Funding. For fiscal
205.2year 2011, $145,000 is appropriated from
205.3the general fund to the commissioner of
205.4human services to complete the actuarial and
205.5administrative work necessary to begin the
205.6operation of PACE under Minnesota Statutes,
205.7section 256B.69, subdivision 23, paragraph
205.8(e). Base level funding for this activity shall
205.9be $130,000 in fiscal year 2012 and $0 in
205.10fiscal year 2013.
205.11Minnesota Senior Health Options
205.12Reimbursement. Effective July 1, 2011,
205.13federal administrative reimbursement
205.14resulting from the Minnesota senior
205.15health options project is appropriated
205.16to the commissioner for this activity.
205.17Notwithstanding any contrary provision, this
205.18provision expires June 30, 2013.
205.19Utilization Review. Effective July 1,
205.202011, federal administrative reimbursement
205.21resulting from prior authorization and
205.22inpatient admission certification by a
205.23professional review organization shall be
205.24dedicated to, and is appropriated to, the
205.25commissioner for these activities. A portion
205.26of these funds must be used for activities
205.27to decrease unnecessary pharmaceutical
205.28costs in medical assistance. Notwithstanding
205.29any contrary provision of this article, this
205.30paragraph expires June 30, 2013.
205.31Certified Public Expenditures. (1) The
205.32entities named in Minnesota Statutes, section
205.33256B.199, paragraph (b), clause (1), shall
205.34comply with the requirements of that statute
205.35by promptly reporting on a quarterly basis
206.1certified public expenditures that may qualify
206.2for federal matching funds. Reporting under
206.3this paragraph shall be voluntary from July 1,
206.42010, to December 31, 2010. Upon federal
206.5enactment of an extension to June 30, 2011,
206.6of the enhanced federal medical assistance
206.7percentage (FMAP) originally provided
206.8under Public Law 111-5, reporting under
206.9this paragraph shall also be voluntary from
206.10January 1, 2011, to June 30, 2011.
206.11(2) To the extent that certified public
206.12expenditures reported in compliance
206.13with paragraph (1) earn federal matching
206.14payments that exceed $8,079,000 in fiscal
206.15year 2012 and $18,316,000 in fiscal year
206.162013, the excess amount shall be deposited
206.17in the health care access fund. For each fiscal
206.18year after fiscal year 2013, the commissioner
206.19shall forecast in November the amount
206.20of federal payments anticipated to match
206.21certified public expenditures reported in
206.22compliance with paragraph (a). Any federal
206.23match earned in a fiscal year in excess of
206.24the amount forecasted in November shall be
206.25deposited to the health care access fund.
206.26(3) Notwithstanding any contrary provision
206.27of this article, this rider shall not expire.
206.28Poverty Guidelines. Notwithstanding
206.29Minnesota Statutes, sections 256B.56,
206.30subdivision 1c; 256D.03, subdivision 3;
206.31or 256L.04, subdivision 7b, the poverty
206.32guidelines for medical assistance, general
206.33assistance medical care, and MinnesotaCare
206.34from July 1, 2010, through June 30, 2011,
206.35shall not be lower than the poverty guidelines
207.1issued by the Secretary of Health and Human
207.2Services on January 23, 2009. This section
207.3shall have no effect on the revision of poverty
207.4guidelines for the Minnesota health care
207.5programs that would be in effect starting on
207.6July 1, 2011. This paragraph is effective the
207.7day following final enactment.
207.8Base Adjustment. The general fund base is
207.9decreased by $227,000 in fiscal year 2012
207.10and $357,000 in fiscal year 2013.
207.11
(b) Health Care Operations
207.12
Appropriations by Fund
207.13
General
-0-
186,000
207.14
Health Care Access
-0-
218,000
207.15The general fund appropriation is a onetime
207.16appropriation in fiscal year 2011.
207.17Base Adjustment. The health care access
207.18fund base for health care operations is
207.19decreased by $812,000 in fiscal year 2012
207.20and $944,000 in fiscal year 2013.
207.21
Subd. 8.Continuing Care Grants
207.22
(a) Aging and Adult Services Grants
-0-
(1,113,000)
207.23Base Adjustment. The general fund
207.24base for aging and adult services grants is
207.25increased by $974,000 in fiscal year 2012
207.26and $1,113,000 in fiscal year 2013.
207.27Community Service Development
207.28Reduction. The appropriation in Laws
207.292009, chapter 79, article 13, section 3,
207.30subdivision 8, paragraph (a), for community
207.31service development grants, as amended by
207.32Laws 2009, chapter 173, article 2, section
207.331, subdivision 8, paragraph (a), is reduced
207.34by $154,000 in fiscal year 2011. The
208.1appropriation base is reduced by $139,000
208.2for fiscal year 2012 and $0 for fiscal year
208.32013. Notwithstanding any law or rule to
208.4the contrary, this provision expires June 30,
208.52012.
208.6
208.7
(b) Medical Assistance Long-Term Care
Facilities Grants
-0-
3,864,000
208.8ICF/MR Occupancy Rate Adjustment
208.9Suspension. Effective for fiscal years 2012
208.10and 2013, approval of new applications for
208.11occupancy rate adjustments for unoccupied
208.12short-term beds under Minnesota Statutes,
208.13section 256B.5013, subdivision 7, is
208.14suspended.
208.15Kandiyohi County; ICF/MR Payment
208.16Rate. $36,000 is appropriated from the
208.17general fund in fiscal year 2011 and $4,000
208.18in fiscal year 2012 to increase payment rates
208.19for an ICF/MR licensed for six beds and
208.20located in Kandiyohi County to serve persons
208.21with high behavioral needs. The payment
208.22rate increase shall be effective for services
208.23provided from July 1, 2010, through June 30,
208.242011. These appropriations are onetime.
208.25
208.26
(c) Medical Assistance Long-Term Care
Waivers and Home Care Grants
-0-
(4,035,000)
208.27Manage Growth in Traumatic Brain
208.28Injury and Community Alternatives for
208.29Disabled Individuals Waivers. During
208.30the fiscal year beginning July 1, 2010, the
208.31commissioner shall allocate money for home
208.32and community-based waiver programs
208.33under Minnesota Statutes, section 256B.49,
208.34to ensure a reduction in state spending that is
208.35equivalent to limiting the caseload growth
209.1of the traumatic brain injury waiver to six
209.2allocations per month and the community
209.3alternatives for disabled individuals waiver
209.4to 60 allocations per month. The limits do not
209.5apply: (1) when there is an approved plan for
209.6nursing facility bed closures for individuals
209.7under age 65 who require relocation due to
209.8the bed closure; (2) to fiscal year 2009 waiver
209.9allocations delayed due to unallotment; or (3)
209.10to transfers authorized by the commissioner
209.11from the personal care assistance program
209.12of individuals having a home care rating of
209.13CS, MT, or HL. Priorities for the allocation
209.14of funds must be for individuals anticipated
209.15to be discharged from institutional settings or
209.16who are at imminent risk of a placement in
209.17an institutional setting.
209.18Manage Growth in the Developmental
209.19Disability (DD) Waiver. The commissioner
209.20shall manage the growth in the developmental
209.21disability waiver by limiting the allocations
209.22included in the November 2010 forecast to
209.23six additional diversion allocations each
209.24month for the calendar year that begins on
209.25January 1, 2011. Additional allocations must
209.26be made available for transfers authorized
209.27by the commissioner from the personal care
209.28assistance program of individuals having a
209.29home care rating of CS, MT, or HL. This
209.30provision is effective through December 31,
209.312011.
209.32
(d) Adult Mental Health Grants
(3,500,000)
(300,000)
209.33Compulsive Gambling Special Revenue
209.34Account. $149,000 for fiscal year 2010
209.35and $27,000 for fiscal year 2011 from
210.1the compulsive gambling special revenue
210.2account established under Minnesota
210.3Statutes, section 245.982, shall be transferred
210.4and deposited into the general fund by
210.5June 30 of each respective fiscal year. This
210.6paragraph is effective the day following final
210.7enactment.
210.8Compulsive Gambling Lottery Prize
210.9Fund. The lottery prize fund appropriation
210.10for compulsive gambling is reduced by
210.11$80,000 in fiscal year 2010 and $79,000 in
210.12fiscal year 2011. This is a onetime reduction.
210.13Culturally Specific Treatment. The
210.14appropriation for culturally specific treatment
210.15is reduced by $300,000 in fiscal year 2011.
210.16This is a onetime reduction.
210.17(1) Of the fiscal year 2010 general fund
210.18appropriation for grants to counties for
210.19housing with support services for adults
210.20with serious and persistent mental illness,
210.21$3,300,000 is canceled and returned to the
210.22general fund.
210.23(2) Of the fiscal year 2010 general
210.24fund appropriation for additional crisis
210.25intervention team training for law
210.26enforcement, $200,000 is canceled and
210.27returned to the general fund.
210.28Base Adjustment. The general fund base
210.29is increased by $300,000 in fiscal year 2012
210.30and $300,000 in fiscal year 2013.
210.31
(e) Chemical Dependency Entitlement Grants
-0-
(2,433,000)
210.32
210.33
(f) Chemical Dependency Nonentitlement
Grants
(389,000)
-0-
211.1Base adjustment. The general fund base is
211.2reduced by $393,000 in fiscal year 2012 and
211.3fiscal year 2013.
211.4Chemical Health. Of the fiscal year 2010
211.5general fund appropriation to Mother's First
211.6and the Native American Program, $389,000
211.7is canceled and returned to the general fund.
211.8
(g) Other Continuing Care Grants
-0-
350,000
211.9 This is a onetime appropriation in fiscal year
211.102011.
211.11Region 10 Quality Assurance Commission.
211.12$100,000 is appropriated from the general
211.13fund in fiscal year 2011 to the commissioner
211.14of human services for the purposes
211.15of the Region 10 Quality Assurance
211.16Commission under Minnesota Statutes,
211.17section 256B.0951. This appropriation is
211.18onetime.
211.19
Subd. 9.Continuing Care Management
-0-
296,000
211.20PACE Implementation Funding. For fiscal
211.21year 2011, $111,000 is appropriated from
211.22the general fund to the commissioner of
211.23human services to complete the actuarial
211.24and administrative work necessary to begin
211.25the operation of PACE under Minnesota
211.26Statutes, section 256B.69, subdivision 23,
211.27paragraph (e). Base level funding for this
211.28activity shall be $101,000 in fiscal year 2012
211.29and $0 in fiscal year 2013. For fiscal year
211.302013 and beyond, the commissioner must
211.31work with stakeholders to develop financing
211.32mechanisms to complete the actuarial
211.33and administrative costs of PACE. The
211.34commissioner shall inform the chairs and
212.1ranking minority members of the legislative
212.2committee with jurisdiction over health care
212.3funding by January 15, 2011, on progress to
212.4develop financing mechanisms.
212.5Base Adjustment. The general fund base for
212.6continuing care management is increased by
212.7$7,000 in fiscal year 2012 and decreased by
212.8$94,000 in fiscal year 2013.
212.9
Subd. 10.State-Operated Services
212.10Obsolete Laundry Depreciation Account.
212.11$669,000, or the balance, whichever is
212.12greater, must be transferred from the
212.13state-operated services laundry depreciation
212.14account in the special revenue fund and
212.15deposited into the general fund by June 30,
212.162010. This paragraph is effective the day
212.17following final enactment.
212.18Operating Budget Reductions. No
212.19operating budget reductions enacted in Laws
212.202010, chapter 200, or in this act shall be
212.21allocated to state-operated services.
212.22Prohibition on Transferring Funds. The
212.23commissioner shall not transfer mental
212.24health grants to state-operated services
212.25without specific legislative approval.
212.26Notwithstanding any contrary provision in
212.27this article, this paragraph shall not expire.
212.28
(a) Adult Mental Health Services
-0-
6,888,000
212.29Base Adjustment. The general fund base is
212.30decreased by $12,286,000 in fiscal year 2012
212.31and $12,394,000 in fiscal year 2013.
212.32Appropriation Requirements. (a)
212.33The general fund appropriation to the
213.1commissioner includes funding for the
213.2following:
213.3(1) to a community collaborative to begin
213.4providing crisis center services in the
213.5Mankato area that are comparable to
213.6the crisis services provided prior to the
213.7closure of the Mankato Crisis Center. The
213.8commissioner shall recruit former employees
213.9of the Mankato Crisis Center who were
213.10recently laid off to staff the new crisis
213.11services. The commissioner shall obtain
213.12legislative approval prior to discontinuing
213.13this funding;
213.14(2) to maintain the building in Eveleth
213.15that currently houses community transition
213.16services and to establish a psychiatric
213.17intensive therapeutic foster home as an
213.18enterprise activity. The commissioner shall
213.19request a waiver amendment to allow CADI
213.20funding for psychiatric intensive therapeutic
213.21foster care services provided in the same
213.22location and building as the community
213.23transition services. If the federal government
213.24does not approve the waiver amendment, the
213.25commissioner shall continue to pay the lease
213.26for the building out of the state-operated
213.27services budget until the commissioner of
213.28administration subleases the space or until
213.29the lease expires, and shall establish the
213.30psychiatric intensive therapeutic foster home
213.31at a different site. The commissioner shall
213.32make diligent efforts to sublease the space;
213.33(3) to convert the community behavioral
213.34health hospitals in Wadena and Willmar to
213.35facilities that provide more suitable services
214.1based on the needs of the community,
214.2which may include, but are not limited to,
214.3psychiatric extensive recovery treatment
214.4services. The commissioner may also
214.5establish other community-based services in
214.6the Willmar and Wadena areas that deliver
214.7the appropriate level of care in response to
214.8the express needs of the communities. The
214.9services established under this provision
214.10must be staffed by state employees.
214.11(4) to continue the operation of the dental
214.12clinics in Brainerd, Cambridge, Faribault,
214.13Fergus Falls, and Willmar at the same level of
214.14care and staffing that was in effect on March
214.151, 2010. The commissioner shall not proceed
214.16with the planned closure of the dental
214.17clinics, and shall not discontinue services or
214.18downsize any of the state-operated dental
214.19clinics without specific legislative approval.
214.20The commissioner shall continue to bill
214.21for services provided to obtain medical
214.22assistance critical access dental payments
214.23and cost-based payment rates as provided
214.24in Minnesota Statutes, section 256B.76,
214.25subdivision 2, and shall bill for services
214.26provided three months retroactively from
214.27the date of this act. This appropriation is
214.28onetime;
214.29(5) to convert the Minnesota
214.30Neurorehabilitation Hospital in Brainerd
214.31to a neurocognitive psychiatric extensive
214.32recovery treatment service; and
214.33(6) to convert the Minnesota extended
214.34treatment options (METO) program to
214.35the following community-based services
215.1provided by state employees: (i) psychiatric
215.2extensive recovery treatment services;
215.3(ii) intensive transitional foster homes
215.4as enterprise activities; and (iii) other
215.5community-based support services. The
215.6provisions under Minnesota Statutes, section
215.7252.025, subdivision 7, are applicable to
215.8the METO services established under this
215.9clause. Notwithstanding Minnesota Statutes,
215.10section 246.18, subdivision 8, any revenue
215.11lost to the general fund by the conversion
215.12of METO to new services must be replaced
215.13by revenue from the new services to offset
215.14the lost revenue to the general fund until
215.15June 30, 2013. Any revenue generated in
215.16excess of this amount shall be deposited into
215.17the special revenue fund under Minnesota
215.18Statutes, section 246.18, subdivision 8.
215.19(b) The commissioner shall not move beds
215.20from the Anoka-Metro Regional Treatment
215.21Center to the psychiatric nursing facility
215.22at St. Peter without specific legislative
215.23approval.
215.24(c) The commissioner shall implement
215.25changes, including the following, to save a
215.26minimum of $6,006,000 beginning in fiscal
215.27year 2011, and report to the legislature the
215.28specific initiatives implemented and the
215.29savings allocated to each one, including:
215.30(1) maximizing budget savings through
215.31strategic employee staffing; and
215.32(2) identifying and implementing cost
215.33reductions in cooperation with state-operated
215.34services employees.
216.1Base level funding is reduced by $6,006,000
216.2effective fiscal year 2011.
216.3(d) The commissioner shall seek certification
216.4or approval from the federal government for
216.5the new services under paragraph (a) that are
216.6eligible for federal financial participation
216.7and deposit the revenue associated with
216.8these new services in the account established
216.9under Minnesota Statutes, section 246.18,
216.10subdivision 8, unless otherwise specified.
216.11(e) Notwithstanding any contrary provision
216.12in this article, this rider shall not expire.
216.13
(b) Minnesota Sex Offender Services
-0-
(145,000)
216.14Sex Offender Services. Base level funding
216.15for Minnesota sex offender services is
216.16reduced by $418,000 in fiscal year 2012 and
216.17$419,000 in fiscal year 2013 for the 50-bed
216.18sex offender treatment program within the
216.19Moose Lake correctional facility in which
216.20Department of Human Services staff from
216.21Minnesota sex offender services provide
216.22clinical treatment to incarcerated offenders.
216.23This reduction shall become part of the base
216.24for the Department of Human Services.
216.25Interagency Agreements. The
216.26commissioner of human services may
216.27enter into interagency agreements with the
216.28commissioner of corrections to continue sex
216.29offender treatment and chemical dependency
216.30treatment on a cost-sharing basis, in which
216.31each department pays 50 percent of the costs
216.32of these services.
217.1Base Adjustment. The general fund base
217.2is increased by $418,000 in fiscal year 2012
217.3and $419,000 in fiscal year 2013.

217.4
Sec. 4. COMMISSIONER OF HEALTH
217.5
Subdivision 1.Total Appropriation
$
(2,392,000)
$
1,310,000
217.6
Appropriations by Fund
217.7
2010
2011
217.8
General
(2,392,000)
1,064,000
217.9
217.10
State Government
Special Revenue
-0-
9,000
217.11
Health Care Access
-0-
237,000
217.12
Subd. 2.Community and Family Health
(221,000)
(47,000)
217.13Base Level Adjustment. The general fund
217.14base is decreased by $388,000 in fiscal years
217.152012 and 2013.
217.16
Subd. 3.Policy, Quality, and Compliance
217.17
Appropriations by Fund
217.18
2010
2011
217.19
General
(1,797,000)
497,000
217.20
217.21
State Government
Special Revenue
-0-
9,000
217.22
Health Care Access
-0-
237,000
217.23Health Care Reform. Funds appropriated
217.24in Laws 2008, chapter 358, article 5, section
217.254, subdivision 3, for health reform activities
217.26to implement Laws 2008, chapter 358,
217.27article 4, are available until expended.
217.28Notwithstanding any contrary provision in
217.29this article, this provision shall not expire.
217.30Health Care Reform Task Force. $198,000
217.31from the general fund is for expenses related
217.32to the Health Care Reform Task Force
217.33established under article 7. This is a onetime
217.34appropriation.
218.1Rural Hospital Capital Improvement
218.2Grants. Of the general fund reductions in
218.3fiscal year 2010, $1,755,000 is for the rural
218.4hospital capital improvement grant program.
218.5Section 125 Plans. The remaining balance
218.6from the Laws 2008, chapter 358, article 5,
218.7section 4, subdivision 3, appropriation for
218.8Section 125 Plan Employer Incentives is
218.9canceled.
218.10Birth Centers. Of the appropriation in fiscal
218.11year 2011 from the state government special
218.12revenue fund, $9,000 is to the commissioner
218.13to license birth centers. Base level funding
218.14for this activity shall be $7,000 in fiscal year
218.152012 and $7,000 in fiscal year 2013.
218.16Comprehensive Advanced Life Support
218.17Program. Of the general fund appropriation,
218.18$377,000 in fiscal year 2011 is to the
218.19commissioner for the comprehensive
218.20advanced life support educational program.
218.21For fiscal year 2012, base level funding for
218.22this program shall be $377,000.
218.23Advisory Group on Administrative
218.24Expenses. Of the health care access fund
218.25appropriation for fiscal year 2011, $39,000 is
218.26to the commissioner for the advisory group
218.27established under Minnesota Statutes, section
218.2862D.31. This is a onetime appropriation.
218.29Base Level Adjustment. The general fund
218.30base is decreased by $253,000 in fiscal year
218.312012 and $253,000 in fiscal year 2013. The
218.32state government special revenue fund base
218.33is decreased by $2,000 in fiscal year 2012
218.34and $2,000 in fiscal year 2013.
219.1Office of Unlicensed Health Care Practice.
219.2Of the general fund appropriation, $74,000
219.3in fiscal year 2011 is for the Office of
219.4Unlicensed Complementary and Alternative
219.5Health Care Practice. This is a onetime
219.6appropriation.
219.7
Subd. 4.Health Protection
(374,000)
714,000
219.8Lead Base Grant Program. Of the general
219.9fund reduction, $25,000 in fiscal year 2010
219.10and fiscal year 2011 is for the elimination
219.11of state funding for the temporary lead-safe
219.12housing base grant program.
219.13Birth Defects Information System. Of the
219.14general fund appropriation for fiscal year
219.152011, $919,000 is for the Minnesota Birth
219.16Defects Information System established
219.17under Minnesota Statutes, section 144.2215.
219.18Base Adjustment. The general fund base
219.19is increased by $440,000 in fiscal year 2012
219.20and $984,000 in fiscal year 2013.
219.21
Subd. 5.Administrative Support Services
-0-
(100,000)
219.22The general fund base is decreased by
219.23$22,000 in fiscal year 2012 and $22,000 in
219.24fiscal year 2013.

219.25
219.26
Sec. 5. DEPARTMENT OF VETERANS
AFFAIRS
$
(50,000)
$
-0-
219.27Cancellation of Prior Appropriation.
219.28By June 30, 2010, the commissioner of
219.29management and budget shall cancel the
219.30$50,000 appropriation for fiscal year 2008 to
219.31the board in Laws 2007, chapter 147, article
219.3219, section 5, in the paragraph titled "Pay for
219.33Performance."

220.1
Sec. 6. HEALTH-RELATED BOARDS
220.2
Subdivision 1.Total Appropriation
$
113,000
$
615,000
220.3The appropriations in this section are from
220.4the state government special revenue fund.
220.5In fiscal year 2010, $591,000 shall be
220.6transferred from the state government special
220.7revenue fund to the general fund. In fiscal
220.8year 2011, $3,052,000 shall be transferred
220.9from the state government special revenue
220.10fund to the general fund. These transfers
220.11are in addition to those made in Laws 2009,
220.12chapter 79, article 13, section 5, as amended
220.13by Laws 2009, chapter 173, article 2, section
220.143.
220.15The transfers in this section are onetime in
220.16the fiscal year 2010-2011 biennium.
220.17The appropriations for each purpose are
220.18shown in the following subdivisions.
220.19
220.20
Subd. 2.Board of Marriage and Family
Therapy
47,000
22,000
220.21Operating Costs and Rulemaking. Of
220.22this appropriation, $22,000 in fiscal year
220.232010 and $22,000 in fiscal year 2011 are
220.24for operating costs. This is an ongoing
220.25appropriation. Of this appropriation, $25,000
220.26in fiscal year 2010 is for rulemaking. This is
220.27a onetime appropriation.
220.28
220.29
Subd. 3.Board of Nursing Home
Administrators
51,000
61,000
220.30
Subd. 4.Board of Pharmacy
-0-
517,000
220.31Prescription Electronic Reporting. Of
220.32the state government special revenue fund
220.33appropriation, $517,000 in fiscal year 2011
220.34is to the board to operate the prescription
221.1electronic reporting system in Minnesota
221.2Statutes, section 152.126. Base level funding
221.3for this activity in fiscal year 2012 shall be
221.4$356,000.
221.5
Subd. 5.Board of Podiatry
15,000
15,000
221.6Purpose. This appropriation is to pay health
221.7insurance coverage costs and to cover the
221.8cost of expert witnesses in disciplinary cases.

221.9
221.10
Sec. 7. EMERGENCY MEDICAL SERVICES
BOARD
$
247,000
$
(382,000)

221.11
Sec. 8. UNIVERSITY OF MINNESOTA
$
-0-
$
93,000
221.12This appropriation is from the special
221.13revenue fund for the couples on the brink
221.14program.

221.15
Sec. 9. DEPARTMENT OF CORRECTIONS
$
-0-
$
-0-
221.16Sex Offender Services. From the general
221.17fund appropriations to the commissioner of
221.18corrections, the commissioner shall transfer
221.19$418,000 in fiscal year 2012 and $419,000
221.20in fiscal year 2013 to the commissioner of
221.21human services to provide clinical treatment
221.22to incarcerated offenders. This transfer shall
221.23become part of the base for the Department
221.24of Corrections.

221.25
Sec. 10. DEPARTMENT OF COMMERCE
$
-0-
$
38,000
221.26Health Plan Filings. Of this appropriation:
221.27(1) $19,000 is for the review and approval
221.28of new health plan filings due to Minnesota
221.29Statutes, section 62Q.545. This is a onetime
221.30appropriation in fiscal year 2011; and
222.1(2) $19,000 is for regulation of Minnesota
222.2Statutes, section 62A.3075. This is a onetime
222.3appropriation.

222.4    Sec. 11. Minnesota Statutes 2008, section 214.40, subdivision 7, is amended to read:
222.5    Subd. 7. Medical professional liability insurance. (a) Within the limit of funds
222.6appropriated for this program, the administrative services unit must purchase medical
222.7professional liability insurance, if available, for a health care provider who is registered in
222.8accordance with subdivision 4 and who is not otherwise covered by a medical professional
222.9liability insurance policy or self-insured plan either personally or through another facility
222.10or employer. The administrative services unit is authorized to prorate payments or
222.11otherwise limit the number of participants in the program if the costs of the insurance for
222.12eligible providers exceed the funds appropriated for the program.
222.13(b) Coverage purchased under this subdivision must be limited to the provision of
222.14health care services performed by the provider for which the provider does not receive
222.15direct monetary compensation.
222.16EFFECTIVE DATE.This section is effective the day following final enactment.

222.17    Sec. 12. Laws 2009, chapter 79, article 13, section 3, subdivision 1, as amended by
222.18Laws 2009, chapter 173, article 2, section 1, subdivision 1, is amended to read:
222.19
Subdivision 1.Total Appropriation
$
5,225,451,000
$
6,002,864,000
222.20
Appropriations by Fund
222.21
2010
2011
222.22
General
4,375,689,000
5,209,765,000
222.23
222.24
State Government
Special Revenue
565,000
565,000
222.25
Health Care Access
450,662,000
527,411,000
222.26
Federal TANF
286,770,000
263,458,000
222.27
Lottery Prize
1,665,000
1,665,000
222.28
Federal Fund
110,000,000
0
222.29Receipts for Systems Projects.
222.30Appropriations and federal receipts for
222.31information systems projects for MAXIS,
222.32PRISM, MMIS, and SSIS must be deposited
222.33in the state system account authorized in
222.34Minnesota Statutes, section 256.014. Money
223.1appropriated for computer projects approved
223.2by the Minnesota Office of Enterprise
223.3Technology, funded by the legislature, and
223.4approved by the commissioner of finance,
223.5may be transferred from one project to
223.6another and from development to operations
223.7as the commissioner of human services
223.8considers necessary, except that any transfers
223.9to one project that exceed $1,000,000 or
223.10multiple transfers to one project that exceed
223.11$1,000,000 in total require the express
223.12approval of the legislature. The preceding
223.13requirement for legislative approval does not
223.14apply to transfers made to establish a project's
223.15initial operating budget each year; instead,
223.16the requirements of section 11, subdivision
223.172, of this article apply to those transfers. Any
223.18unexpended balance in the appropriation
223.19for these projects does not cancel but is
223.20available for ongoing development and
223.21operations. Any computer project with a
223.22total cost exceeding $1,000,000, including,
223.23but not limited to, a replacement for the
223.24proposed HealthMatch system, shall not be
223.25commenced without the express approval of
223.26the legislature.
223.27HealthMatch Systems Project. In fiscal
223.28year 2010, $3,054,000 shall be transferred
223.29from the HealthMatch account in the state
223.30systems account in the special revenue fund
223.31to the general fund.
223.32Nonfederal Share Transfers. The
223.33nonfederal share of activities for which
223.34federal administrative reimbursement is
223.35appropriated to the commissioner may be
223.36transferred to the special revenue fund.
224.1TANF Maintenance of Effort.
224.2(a) In order to meet the basic maintenance
224.3of effort (MOE) requirements of the TANF
224.4block grant specified under Code of Federal
224.5Regulations, title 45, section 263.1, the
224.6commissioner may only report nonfederal
224.7money expended for allowable activities
224.8listed in the following clauses as TANF/MOE
224.9expenditures:
224.10(1) MFIP cash, diversionary work program,
224.11and food assistance benefits under Minnesota
224.12Statutes, chapter 256J;
224.13(2) the child care assistance programs
224.14under Minnesota Statutes, sections 119B.03
224.15and 119B.05, and county child care
224.16administrative costs under Minnesota
224.17Statutes, section 119B.15;
224.18(3) state and county MFIP administrative
224.19costs under Minnesota Statutes, chapters
224.20256J and 256K;
224.21(4) state, county, and tribal MFIP
224.22employment services under Minnesota
224.23Statutes, chapters 256J and 256K;
224.24(5) expenditures made on behalf of
224.25noncitizen MFIP recipients who qualify
224.26for the medical assistance without federal
224.27financial participation program under
224.28Minnesota Statutes, section 256B.06,
224.29subdivision 4
, paragraphs (d), (e), and (j);
224.30and
224.31(6) qualifying working family credit
224.32expenditures under Minnesota Statutes,
224.33section 290.0671.; and
225.1(7) qualifying Minnesota education credit
225.2expenditures under Minnesota Statutes,
225.3section 290.0674.
225.4(b) The commissioner shall ensure that
225.5sufficient qualified nonfederal expenditures
225.6are made each year to meet the state's
225.7TANF/MOE requirements. For the activities
225.8listed in paragraph (a), clauses (2) to
225.9(6), the commissioner may only report
225.10expenditures that are excluded from the
225.11definition of assistance under Code of
225.12Federal Regulations, title 45, section 260.31.
225.13(c) For fiscal years beginning with state
225.14fiscal year 2003, the commissioner shall
225.15ensure that the maintenance of effort used
225.16by the commissioner of finance for the
225.17February and November forecasts required
225.18under Minnesota Statutes, section 16A.103,
225.19contains expenditures under paragraph (a),
225.20clause (1), equal to at least 16 percent of
225.21the total required under Code of Federal
225.22Regulations, title 45, section 263.1.
225.23(d) For the federal fiscal years beginning on
225.24or after October 1, 2007, the commissioner
225.25may not claim an amount of TANF/MOE in
225.26excess of the 75 percent standard in Code
225.27of Federal Regulations, title 45, section
225.28263.1(a)(2), except:
225.29(1) to the extent necessary to meet the 80
225.30percent standard under Code of Federal
225.31Regulations, title 45, section 263.1(a)(1),
225.32if it is determined by the commissioner
225.33that the state will not meet the TANF work
225.34participation target rate for the current year;
226.1(2) to provide any additional amounts
226.2under Code of Federal Regulations, title 45,
226.3section 264.5, that relate to replacement of
226.4TANF funds due to the operation of TANF
226.5penalties; and
226.6(3) to provide any additional amounts that
226.7may contribute to avoiding or reducing
226.8TANF work participation penalties through
226.9the operation of the excess MOE provisions
226.10of Code of Federal Regulations, title 45,
226.11section 261.43 (a)(2).
226.12For the purposes of clauses (1) to (3),
226.13the commissioner may supplement the
226.14MOE claim with working family credit
226.15expenditures to the extent such expenditures
226.16or other qualified expenditures are otherwise
226.17available after considering the expenditures
226.18allowed in this section.
226.19(e) Minnesota Statutes, section 256.011,
226.20subdivision 3
, which requires that federal
226.21grants or aids secured or obtained under that
226.22subdivision be used to reduce any direct
226.23appropriations provided by law, do not apply
226.24if the grants or aids are federal TANF funds.
226.25(f) Notwithstanding any contrary provision
226.26in this article, this provision expires June 30,
226.272013.
226.28Working Family Credit Expenditures as
226.29TANF/MOE. The commissioner may claim
226.30as TANF/MOE up to $6,707,000 per year of
226.31working family credit expenditures for fiscal
226.32year 2010 through fiscal year 2011.
226.33Working Family Credit Expenditures
226.34to be Claimed for TANF/MOE. The
227.1commissioner may count the following
227.2amounts of working family credit expenditure
227.3as TANF/MOE:
227.4(1) fiscal year 2010, $50,973,000
227.5$50,897,000;
227.6(2) fiscal year 2011, $53,793,000
227.7$54,243,000;
227.8(3) fiscal year 2012, $23,516,000
227.9$23,345,000; and
227.10(4) fiscal year 2013, $16,808,000
227.11$16,585,000.
227.12Notwithstanding any contrary provision in
227.13this article, this rider expires June 30, 2013.
227.14Food Stamps Employment and Training.
227.15(a) The commissioner shall apply for and
227.16claim the maximum allowable federal
227.17matching funds under United States Code,
227.18title 7, section 2025, paragraph (h), for
227.19state expenditures made on behalf of family
227.20stabilization services participants voluntarily
227.21engaged in food stamp employment and
227.22training activities, where appropriate.
227.23(b) Notwithstanding Minnesota Statutes,
227.24sections 256D.051, subdivisions 1a, 6b,
227.25and 6c, and 256J.626, federal food stamps
227.26employment and training funds received
227.27as reimbursement of MFIP consolidated
227.28fund grant expenditures for diversionary
227.29work program participants and child
227.30care assistance program expenditures for
227.31two-parent families must be deposited in the
227.32general fund. The amount of funds must be
227.33limited to $3,350,000 in fiscal year 2010
227.34and $4,440,000 in fiscal years 2011 through
228.12013, contingent on approval by the federal
228.2Food and Nutrition Service.
228.3(c) Consistent with the receipt of these federal
228.4funds, the commissioner may adjust the
228.5level of working family credit expenditures
228.6claimed as TANF maintenance of effort.
228.7Notwithstanding any contrary provision in
228.8this article, this rider expires June 30, 2013.
228.9ARRA Food Support Administration.
228.10The funds available for food support
228.11administration under the American Recovery
228.12and Reinvestment Act (ARRA) of 2009
228.13are appropriated to the commissioner
228.14to pay actual costs of implementing the
228.15food support benefit increases, increased
228.16eligibility determinations, and outreach. Of
228.17these funds, 20 percent shall be allocated
228.18to the commissioner and 80 percent shall
228.19be allocated to counties. The commissioner
228.20shall allocate the county portion based on
228.21caseload. Reimbursement shall be based on
228.22actual costs reported by counties through
228.23existing processes. Tribal reimbursement
228.24must be made from the state portion based
228.25on a caseload factor equivalent to that of a
228.26county.
228.27ARRA Food Support Benefit Increases.
228.28The funds provided for food support benefit
228.29increases under the Supplemental Nutrition
228.30Assistance Program provisions of the
228.31American Recovery and Reinvestment Act
228.32(ARRA) of 2009 must be used for benefit
228.33increases beginning July 1, 2009.
228.34Emergency Fund for the TANF Program.
228.35TANF Emergency Contingency funds
229.1available under the American Recovery
229.2and Reinvestment Act of 2009 (Public Law
229.3111-5) are appropriated to the commissioner.
229.4The commissioner must request TANF
229.5Emergency Contingency funds from the
229.6Secretary of the Department of Health
229.7and Human Services to the extent the
229.8commissioner meets or expects to meet the
229.9requirements of section 403(c) of the Social
229.10Security Act. The commissioner must seek
229.11to maximize such grants. The funds received
229.12must be used as appropriated. Each county
229.13must maintain the county's current level of
229.14emergency assistance funding under the
229.15MFIP consolidated fund and use the funds
229.16under this paragraph to supplement existing
229.17emergency assistance funding levels.

229.18    Sec. 13. Laws 2009, chapter 79, article 13, section 3, subdivision 3, as amended by
229.19Laws 2009, chapter 173, article 2, section 1, subdivision 3, is amended to read:
229.20
229.21
Subd. 3.Revenue and Pass-Through Revenue
Expenditures
68,337,000
70,505,000
229.22This appropriation is from the federal TANF
229.23fund.
229.24TANF Transfer to Federal Child Care
229.25and Development Fund. The following
229.26TANF fund amounts are appropriated to the
229.27commissioner for the purposes of MFIP and
229.28transition year child care under Minnesota
229.29Statutes, section 119B.05:
229.30(1) fiscal year 2010, $6,531,000 $862,000;
229.31(2) fiscal year 2011, $10,241,000 $978,000;
229.32(3) fiscal year 2012, $10,826,000 $0; and
229.33(4) fiscal year 2013, $4,046,000 $0.
230.1The commissioner shall authorize the
230.2transfer of sufficient TANF funds to the
230.3federal child care and development fund to
230.4meet this appropriation and shall ensure that
230.5all transferred funds are expended according
230.6to federal child care and development fund
230.7regulations.

230.8    Sec. 14. Laws 2009, chapter 79, article 13, section 3, subdivision 4, as amended by
230.9Laws 2009, chapter 173, article 2, section 1, subdivision 4, is amended to read:
230.10
230.11
Subd. 4.Children and Economic Assistance
Grants
230.12The amounts that may be spent from this
230.13appropriation for each purpose are as follows:
230.14
(a) MFIP/DWP Grants
230.15
Appropriations by Fund
230.16
General
63,205,000
89,033,000
230.17
Federal TANF
100,818,000
84,538,000
230.18
(b) Support Services Grants
230.19
Appropriations by Fund
230.20
General
8,715,000
12,498,000
230.21
Federal TANF
116,557,000
107,457,000
230.22MFIP Consolidated Fund. The MFIP
230.23consolidated fund TANF appropriation is
230.24reduced by $1,854,000 in fiscal year 2010
230.25and fiscal year 2011.
230.26Notwithstanding Minnesota Statutes, section
230.27256J.626, subdivision 8 , paragraph (b), the
230.28commissioner shall reduce proportionately
230.29the reimbursement to counties for
230.30administrative expenses.
230.31Subsidized Employment Funding Through
230.32ARRA. The commissioner is authorized to
230.33apply for TANF emergency fund grants for
231.1subsidized employment activities. Growth
231.2in expenditures for subsidized employment
231.3within the supported work program and the
231.4MFIP consolidated fund over the amount
231.5expended in the calendar quarters in the
231.6TANF emergency fund base year shall be
231.7used to leverage the TANF emergency fund
231.8grants for subsidized employment and to
231.9fund supported work. The commissioner
231.10shall develop procedures to maximize
231.11reimbursement of these expenditures over the
231.12TANF emergency fund base year quarters,
231.13and may contract directly with employers
231.14and providers to maximize these TANF
231.15emergency fund grants, including provisions
231.16of TANF summer youth program wage
231.17subsidies for MFIP youth and caregivers.
231.18MFIP youth are individuals up to age 25 who
231.19are part of an eligible household as defined
231.20under rules governing TANF maintenance
231.21of effort with incomes less than 200 percent
231.22of federal poverty guidelines. Expenditures
231.23may only be used for subsidized wages and
231.24benefits and eligible training and supervision
231.25expenditures. The commissioner shall
231.26contract with the Minnesota Department of
231.27Employment and Economic Development
231.28for the summer youth program. The
231.29commissioner shall develop procedures
231.30to maximize reimbursement of these
231.31expenditures over the TANF emergency fund
231.32year quarters. No more than $6,000,000 shall
231.33be reimbursed. This provision is effective
231.34upon enactment.
231.35Supported Work. Of the TANF
231.36appropriation, $4,700,000 in fiscal year 2010
232.1and $4,700,000 in fiscal year 2011 are to the
232.2commissioner for supported work for MFIP
232.3recipients and is available until expended.
232.4Supported work includes paid transitional
232.5work experience and a continuum of
232.6employment assistance, including outreach
232.7and recruitment, program orientation
232.8and intake, testing and assessment, job
232.9development and marketing, preworksite
232.10training, supported worksite experience,
232.11job coaching, and postplacement follow-up,
232.12in addition to extensive case management
232.13and referral services. This is a onetime
232.14appropriation.
232.15Base Adjustment. The general fund base
232.16is reduced by $3,783,000 in each of fiscal
232.17years 2012 and 2013. The TANF fund base
232.18is increased by $5,004,000 in each of fiscal
232.19years 2012 and 2013.
232.20Integrated Services Program Funding.
232.21The TANF appropriation for integrated
232.22services program funding is $1,250,000 in
232.23fiscal year 2010 and $0 in fiscal year 2011
232.24and the base for fiscal years 2012 and 2013
232.25is $0.
232.26TANF Emergency Fund; Nonrecurrent
232.27Short-Term Benefits. (a) TANF emergency
232.28contingency fund grants received due to
232.29increases in expenditures for nonrecurrent
232.30short-term benefits must be used to offset the
232.31increase in these expenditures for counties
232.32under the MFIP consolidated fund, under
232.33Minnesota Statutes, section 256J.626,
232.34and the diversionary work program. The
232.35commissioner shall develop procedures
233.1to maximize reimbursement of these
233.2expenditures over the TANF emergency fund
233.3base year quarters. Growth in expenditures
233.4for the diversionary work program over the
233.5amount expended in the calendar quarters in
233.6the TANF emergency fund base year shall be
233.7used to leverage these funds.
233.8(b) To the extent that the commissioner
233.9can claim eligible tax credit growth as
233.10nonrecurrent short-term benefits, the
233.11commissioner shall use those funds to
233.12leverage the increased expenditures in
233.13paragraph (a).
233.14(c) TANF emergency funds for nonrecurrent
233.15short-term benefits received in excess of the
233.16amounts necessary for paragraphs (a) and (b)
233.17shall be used to reimburse the general fund
233.18for the costs of eligible tax credits in fiscal
233.19year 2011. The amount of such funds shall
233.20not exceed $15,500,000 in fiscal year 2010.
233.21(d) This rider is effective the day following
233.22final enactment.
233.23
(c) MFIP Child Care Assistance Grants
61,171,000
65,214,000
233.24Acceleration of ARRA Child Care and
233.25Development Fund Expenditure. The
233.26commissioner must liquidate all child care
233.27and development money available under
233.28the American Recovery and Reinvestment
233.29Act (ARRA) of 2009, Public Law 111-5,
233.30by September 30, 2010. In order to expend
233.31those funds by September 30, 2010, the
233.32commissioner may redesignate and expend
233.33the ARRA child care and development funds
233.34appropriated in fiscal year 2011 for purposes
233.35under this section for related purposes that
234.1will allow liquidation by September 30,
234.22010. Child care and development funds
234.3otherwise available to the commissioner
234.4for those related purposes shall be used to
234.5fund the purposes from which the ARRA
234.6child care and development funds had been
234.7redesignated.
234.8School Readiness Service Agreements.
234.9$400,000 in fiscal year 2010 and $400,000
234.10in fiscal year 2011 are from the federal
234.11TANF fund to the commissioner of human
234.12services consistent with federal regulations
234.13for the purpose of school readiness service
234.14agreements under Minnesota Statutes,
234.15section 119B.231. This is a onetime
234.16appropriation. Any unexpended balance the
234.17first year is available in the second year.
234.18
234.19
(d) Basic Sliding Fee Child Care Assistance
Grants
40,100,000
45,092,000
234.20School Readiness Service Agreements.
234.21$257,000 in fiscal year 2010 and $257,000
234.22in fiscal year 2011 are from the general
234.23fund for the purpose of school readiness
234.24service agreements under Minnesota
234.25Statutes, section 119B.231. This is a onetime
234.26appropriation. Any unexpended balance the
234.27first year is available in the second year.
234.28Child Care Development Fund
234.29Unexpended Balance. In addition to
234.30the amount provided in this section, the
234.31commissioner shall expend $5,244,000 in
234.32fiscal year 2010 from the federal child care
234.33development fund unexpended balance
234.34for basic sliding fee child care under
234.35Minnesota Statutes, section 119B.03. The
235.1commissioner shall ensure that all child
235.2care and development funds are expended
235.3according to the federal child care and
235.4development fund regulations.
235.5Basic Sliding Fee. $4,000,000 in fiscal year
235.62010 and $4,000,000 in fiscal year 2011 are
235.7from the federal child care development
235.8funds received from the American Recovery
235.9and Reinvestment Act of 2009, Public
235.10Law 111-5, to the commissioner of human
235.11services consistent with federal regulations
235.12for the purpose of basic sliding fee child care
235.13assistance under Minnesota Statutes, section
235.14119B.03 . This is a onetime appropriation.
235.15Any unexpended balance the first year is
235.16available in the second year.
235.17Basic Sliding Fee Allocation for Calendar
235.18Year 2010. Notwithstanding Minnesota
235.19Statutes, section 119B.03, subdivision 6,
235.20in calendar year 2010, basic sliding fee
235.21funds shall be distributed according to
235.22this provision. Funds shall be allocated
235.23first in amounts equal to each county's
235.24guaranteed floor, according to Minnesota
235.25Statutes, section 119B.03, subdivision 8,
235.26with any remaining available funds allocated
235.27according to the following formula:
235.28(a) Up to one-fourth of the funds shall be
235.29allocated in proportion to the number of
235.30families participating in the transition year
235.31child care program as reported during and
235.32averaged over the most recent six months
235.33completed at the time of the notice of
235.34allocation. Funds in excess of the amount
236.1necessary to serve all families in this category
236.2shall be allocated according to paragraph (d).
236.3(b) Up to three-fourths of the funds shall
236.4be allocated in proportion to the average
236.5of each county's most recent six months of
236.6reported waiting list as defined in Minnesota
236.7Statutes, section 119B.03, subdivision 2, and
236.8the reinstatement list of those families whose
236.9assistance was terminated with the approval
236.10of the commissioner under Minnesota Rules,
236.11part 3400.0183, subpart 1. Funds in excess
236.12of the amount necessary to serve all families
236.13in this category shall be allocated according
236.14to paragraph (d).
236.15(c) The amount necessary to serve all families
236.16in paragraphs (a) and (b) shall be calculated
236.17based on the basic sliding fee average cost of
236.18care per family in the county with the highest
236.19cost in the most recently completed calendar
236.20year.
236.21(d) Funds in excess of the amount necessary
236.22to serve all families in paragraphs (a) and
236.23(b) shall be allocated in proportion to each
236.24county's total expenditures for the basic
236.25sliding fee child care program reported
236.26during the most recent fiscal year completed
236.27at the time of the notice of allocation. To
236.28the extent that funds are available, and
236.29notwithstanding Minnesota Statutes, section
236.30119B.03, subdivision 8 , for the period
236.31January 1, 2011, to December 31, 2011, each
236.32county's guaranteed floor must be equal to its
236.33original calendar year 2010 allocation.
237.1Base Adjustment. The general fund base is
237.2decreased by $257,000 in each of fiscal years
237.32012 and 2013.
237.4
(e) Child Care Development Grants
1,487,000
1,487,000
237.5Family, friends, and neighbor grants.
237.6$375,000 in fiscal year 2010 and $375,000
237.7in fiscal year 2011 are from the child
237.8care development fund required targeted
237.9quality funds for quality expansion and
237.10infant/toddler from the American Recovery
237.11and Reinvestment Act of 2009, Public
237.12Law 111-5, to the commissioner of human
237.13services for family, friends, and neighbor
237.14grants under Minnesota Statutes, section
237.15119B.232 . This appropriation may be used
237.16on programs receiving family, friends, and
237.17neighbor grant funds as of June 30, 2009,
237.18or on new programs or projects. This is a
237.19onetime appropriation. Any unexpended
237.20balance the first year is available in the
237.21second year.
237.22Voluntary quality rating system training,
237.23coaching, consultation, and supports.
237.24$633,000 in fiscal year 2010 and $633,000
237.25in fiscal year 2011 are from the federal child
237.26care development fund required targeted
237.27quality funds for quality expansion and
237.28infant/toddler from the American Recovery
237.29and Reinvestment Act of 2009, Public
237.30Law 111-5, to the commissioner of human
237.31services consistent with federal regulations
237.32for the purpose of providing grants to provide
237.33statewide child-care provider training,
237.34coaching, consultation, and supports to
237.35prepare for the voluntary Minnesota quality
238.1rating system rating tool. This is a onetime
238.2appropriation. Any unexpended balance the
238.3first year is available in the second year.
238.4Voluntary quality rating system. $184,000
238.5in fiscal year 2010 and $1,200,000 in fiscal
238.6year 2011 are from the federal child care
238.7development fund required targeted funds for
238.8quality expansion and infant/toddler from the
238.9American Recovery and Reinvestment Act of
238.102009, Public Law 111-5, to the commissioner
238.11of human services consistent with federal
238.12regulations for the purpose of implementing
238.13the voluntary Parent Aware quality star
238.14rating system pilot in coordination with the
238.15Minnesota Early Learning Foundation. The
238.16appropriation for the first year is to complete
238.17and promote the voluntary Parent Aware
238.18quality rating system pilot program through
238.19June 30, 2010, and the appropriation for
238.20the second year is to continue the voluntary
238.21Minnesota quality rating system pilot
238.22through June 30, 2011. This is a onetime
238.23appropriation. Any unexpended balance the
238.24first year is available in the second year.
238.25
(f) Child Support Enforcement Grants
3,705,000
3,705,000
238.26
(g) Children's Services Grants
238.27
Appropriations by Fund
238.28
General
48,333,000
50,498,000
238.29
Federal TANF
340,000
240,000
238.30Base Adjustment. The general fund base is
238.31decreased by $5,371,000 in fiscal year 2012
238.32and decreased $5,371,000 in fiscal year 2013.
238.33Privatized Adoption Grants. Federal
238.34reimbursement for privatized adoption grant
238.35and foster care recruitment grant expenditures
239.1is appropriated to the commissioner for
239.2adoption grants and foster care and adoption
239.3administrative purposes.
239.4Adoption Assistance Incentive Grants.
239.5Federal funds available during fiscal year
239.62010 and fiscal year 2011 for the adoption
239.7incentive grants are appropriated to the
239.8commissioner for postadoption services
239.9including parent support groups.
239.10Adoption Assistance and Relative Custody
239.11Assistance. The commissioner may transfer
239.12unencumbered appropriation balances for
239.13adoption assistance and relative custody
239.14assistance between fiscal years and between
239.15programs.
239.16
(h) Children and Community Services Grants
67,663,000
67,542,000
239.17Targeted Case Management Temporary
239.18Funding Adjustment. The commissioner
239.19shall recover from each county and tribe
239.20receiving a targeted case management
239.21temporary funding payment in fiscal year
239.222008 an amount equal to that payment. The
239.23commissioner shall recover one-half of the
239.24funds by February 1, 2010, and the remainder
239.25by February 1, 2011. At the commissioner's
239.26discretion and at the request of a county
239.27or tribe, the commissioner may revise
239.28the payment schedule, but full payment
239.29must not be delayed beyond May 1, 2011.
239.30The commissioner may use the recovery
239.31procedure under Minnesota Statutes, section
239.32256.017 , to recover the funds. Recovered
239.33funds must be deposited into the general
239.34fund.
239.35
(i) General Assistance Grants
48,215,000
48,608,000
240.1General Assistance Standard. The
240.2commissioner shall set the monthly standard
240.3of assistance for general assistance units
240.4consisting of an adult recipient who is
240.5childless and unmarried or living apart
240.6from parents or a legal guardian at $203.
240.7The commissioner may reduce this amount
240.8according to Laws 1997, chapter 85, article
240.93, section 54.
240.10Emergency General Assistance. The
240.11amount appropriated for emergency general
240.12assistance funds is limited to no more
240.13than $7,889,812 in fiscal year 2010 and
240.14$7,889,812 in fiscal year 2011. Funds
240.15to counties must be allocated by the
240.16commissioner using the allocation method
240.17specified in Minnesota Statutes, section
240.18256D.06 .
240.19
(j) Minnesota Supplemental Aid Grants
33,930,000
35,191,000
240.20Emergency Minnesota Supplemental
240.21Aid Funds. The amount appropriated for
240.22emergency Minnesota supplemental aid
240.23funds is limited to no more than $1,100,000
240.24in fiscal year 2010 and $1,100,000 in fiscal
240.25year 2011. Funds to counties must be
240.26allocated by the commissioner using the
240.27allocation method specified in Minnesota
240.28Statutes, section 256D.46.
240.29
(k) Group Residential Housing Grants
111,778,000
114,034,000
240.30Group Residential Housing Costs
240.31Refinanced. (a) Effective July 1, 2011, the
240.32commissioner shall increase the home and
240.33community-based service rates and county
240.34allocations provided to programs for persons
240.35with disabilities established under section
241.11915(c) of the Social Security Act to the
241.2extent that these programs will be paying
241.3for the costs above the rate established
241.4in Minnesota Statutes, section 256I.05,
241.5subdivision 1
.
241.6(b) For persons receiving services under
241.7Minnesota Statutes, section 245A.02, who
241.8reside in licensed adult foster care beds
241.9for which a difficulty of care payment
241.10was being made under Minnesota Statutes,
241.11section 256I.05, subdivision 1c, paragraph
241.12(b), counties may request an exception to
241.13the individual's service authorization not to
241.14exceed the difference between the client's
241.15monthly service expenditures plus the
241.16amount of the difficulty of care payment.
241.17
(l) Children's Mental Health Grants
16,885,000
16,882,000
241.18Funding Usage. Up to 75 percent of a fiscal
241.19year's appropriation for children's mental
241.20health grants may be used to fund allocations
241.21in that portion of the fiscal year ending
241.22December 31.
241.23
241.24
(m) Other Children and Economic Assistance
Grants
16,047,000
15,339,000
241.25Fraud Prevention Grants. Of this
241.26appropriation, $228,000 in fiscal year 2010
241.27and $228,000 $379,000 in fiscal year 2011
241.28is to the commissioner for fraud prevention
241.29grants to counties.
241.30Homeless and Runaway Youth. $218,000
241.31in fiscal year 2010 is for the Runaway
241.32and Homeless Youth Act under Minnesota
241.33Statutes, section 256K.45. Funds shall be
241.34spent in each area of the continuum of care
241.35to ensure that programs are meeting the
242.1greatest need. Any unexpended balance in
242.2the first year is available in the second year.
242.3Beginning July 1, 2011, the base is increased
242.4by $119,000 each year.
242.5ARRA Homeless Youth Funds. To the
242.6extent permitted under federal law, the
242.7commissioner shall designate $2,500,000
242.8of the Homeless Prevention and Rapid
242.9Re-Housing Program funds provided under
242.10the American Recovery and Reinvestment
242.11Act of 2009, Public Law 111-5, for agencies
242.12providing homelessness prevention and rapid
242.13rehousing services to youth.
242.14Supportive Housing Services. $1,500,000
242.15each year is for supportive services under
242.16Minnesota Statutes, section 256K.26. This is
242.17a onetime appropriation.
242.18Community Action Grants. Community
242.19action grants are reduced one time by
242.20$1,794,000 each year. This reduction is due
242.21to the availability of federal funds under the
242.22American Recovery and Reinvestment Act.
242.23Base Adjustment. The general fund base
242.24is increased by $773,000 $903,000 in fiscal
242.25year 2012 and $773,000 $413,000 in fiscal
242.26year 2013.
242.27Federal ARRA Funds for Existing
242.28Programs. (a) Federal funds received by the
242.29commissioner for the emergency food and
242.30shelter program from the American Recovery
242.31and Reinvestment Act of 2009, Public
242.32Law 111-5, but not previously approved
242.33by the legislature are appropriated to the
242.34commissioner for the purposes of the grant
242.35program.
243.1(b) Federal funds received by the
243.2commissioner for the emergency shelter
243.3grant program including the Homelessness
243.4Prevention and Rapid Re-Housing
243.5Program from the American Recovery and
243.6Reinvestment Act of 2009, Public Law
243.7111-5, are appropriated to the commissioner
243.8for the purposes of the grant programs.
243.9(c) Federal funds received by the
243.10commissioner for the emergency food
243.11assistance program from the American
243.12Recovery and Reinvestment Act of 2009,
243.13Public Law 111-5, are appropriated to the
243.14commissioner for the purposes of the grant
243.15program.
243.16(d) Federal funds received by the
243.17commissioner for senior congregate meals
243.18and senior home-delivered meals from the
243.19American Recovery and Reinvestment Act
243.20of 2009, Public Law 111-5, are appropriated
243.21to the commissioner for the Minnesota Board
243.22on Aging, for purposes of the grant programs.
243.23(e) Federal funds received by the
243.24commissioner for the community services
243.25block grant program from the American
243.26Recovery and Reinvestment Act of 2009,
243.27Public Law 111-5, are appropriated to the
243.28commissioner for the purposes of the grant
243.29program.
243.30Long-Term Homeless Supportive
243.31Service Fund Appropriation. To the
243.32extent permitted under federal law, the
243.33commissioner shall designate $3,000,000
243.34of the Homelessness Prevention and Rapid
243.35Re-Housing Program funds provided under
244.1the American Recovery and Reinvestment
244.2Act of 2009, Public Law, 111-5, to the
244.3long-term homeless service fund under
244.4Minnesota Statutes, section 256K.26. This
244.5appropriation shall become available by July
244.61, 2009. This paragraph is effective the day
244.7following final enactment.

244.8    Sec. 15. Laws 2009, chapter 79, article 13, section 3, subdivision 8, as amended by
244.9Laws 2009, chapter 173, article 2, section 1, subdivision 8, is amended to read:
244.10
Subd. 8.Continuing Care Grants
244.11The amounts that may be spent from the
244.12appropriation for each purpose are as follows:
244.13
(a) Aging and Adult Services Grants
13,499,000
15,805,000
244.14Base Adjustment. The general fund base is
244.15increased by $5,751,000 in fiscal year 2012
244.16and $6,705,000 in fiscal year 2013.
244.17Information and Assistance
244.18Reimbursement. Federal administrative
244.19reimbursement obtained from information
244.20and assistance services provided by the
244.21Senior LinkAge or Disability Linkage lines
244.22to people who are identified as eligible for
244.23medical assistance shall be appropriated to
244.24the commissioner for this activity.
244.25Community Service Development Grant
244.26Reduction. Funding for community service
244.27development grants must be reduced by
244.28$260,000 for fiscal year 2010; $284,000 in
244.29fiscal year 2011; $43,000 in fiscal year 2012;
244.30and $43,000 in fiscal year 2013. Base level
244.31funding shall be restored in fiscal year 2014.
244.32Community Service Development Grant
244.33Community Initiative. Funding for
245.1community service development grants shall
245.2be used to offset the cost of aging support
245.3grants. Base level funding shall be restored
245.4in fiscal year 2014.
245.5Senior Nutrition Use of Federal Funds.
245.6For fiscal year 2010, general fund grants
245.7for home-delivered meals and congregate
245.8dining shall be reduced by $500,000. The
245.9commissioner must replace these general
245.10fund reductions with equal amounts from
245.11federal funding for senior nutrition from the
245.12American Recovery and Reinvestment Act
245.13of 2009.
245.14
(b) Alternative Care Grants
50,234,000
48,576,000
245.15Base Adjustment. The general fund base is
245.16decreased by $3,598,000 in fiscal year 2012
245.17and $3,470,000 in fiscal year 2013.
245.18Alternative Care Transfer. Any money
245.19allocated to the alternative care program that
245.20is not spent for the purposes indicated does
245.21not cancel but must be transferred to the
245.22medical assistance account.
245.23
245.24
(c) Medical Assistance Grants; Long-Term
Care Facilities.
367,444,000
419,749,000
245.25
245.26
(d) Medical Assistance Long-Term Care
Waivers and Home Care Grants
853,567,000
1,039,517,000
245.27Manage Growth in TBI and CADI
245.28Waivers. During the fiscal years beginning
245.29on July 1, 2009, and July 1, 2010, the
245.30commissioner shall allocate money for home
245.31and community-based waiver programs
245.32under Minnesota Statutes, section 256B.49,
245.33to ensure a reduction in state spending that is
245.34equivalent to limiting the caseload growth of
245.35the TBI waiver to 12.5 allocations per month
246.1each year of the biennium and the CADI
246.2waiver to 95 allocations per month each year
246.3of the biennium. Limits do not apply: (1)
246.4when there is an approved plan for nursing
246.5facility bed closures for individuals under
246.6age 65 who require relocation due to the
246.7bed closure; (2) to fiscal year 2009 waiver
246.8allocations delayed due to unallotment; or (3)
246.9to transfers authorized by the commissioner
246.10from the personal care assistance program
246.11of individuals having a home care rating
246.12of "CS," "MT," or "HL." Priorities for the
246.13allocation of funds must be for individuals
246.14anticipated to be discharged from institutional
246.15settings or who are at imminent risk of a
246.16placement in an institutional setting.
246.17Manage Growth in DD Waiver. The
246.18commissioner shall manage the growth in
246.19the DD waiver by limiting the allocations
246.20included in the February 2009 forecast to 15
246.21additional diversion allocations each month
246.22for the calendar years that begin on January
246.231, 2010, and January 1, 2011. Additional
246.24allocations must be made available for
246.25transfers authorized by the commissioner
246.26from the personal care program of individuals
246.27having a home care rating of "CS," "MT,"
246.28or "HL."
246.29Adjustment to Lead Agency Waiver
246.30Allocations. Prior to the availability of the
246.31alternative license defined in Minnesota
246.32Statutes, section 245A.11, subdivision 8,
246.33the commissioner shall reduce lead agency
246.34waiver allocations for the purposes of
246.35implementing a moratorium on corporate
246.36foster care.
247.1Alternatives to Personal Care Assistance
247.2Services. Base level funding of $3,237,000
247.3in fiscal year 2012 and $4,856,000 in
247.4fiscal year 2013 is to implement alternative
247.5services to personal care assistance services
247.6for persons with mental health and other
247.7behavioral challenges who can benefit
247.8from other services that more appropriately
247.9meet their needs and assist them in living
247.10independently in the community. These
247.11services may include, but not be limited to, a
247.121915(i) state plan option.
247.13
(e) Mental Health Grants
247.14
Appropriations by Fund
247.15
General
77,739,000
77,739,000
247.16
Health Care Access
750,000
750,000
247.17
Lottery Prize
1,508,000
1,508,000
247.18Funding Usage. Up to 75 percent of a fiscal
247.19year's appropriation for adult mental health
247.20grants may be used to fund allocations in that
247.21portion of the fiscal year ending December
247.2231.
247.23
(f) Deaf and Hard-of-Hearing Grants
1,930,000
1,917,000
247.24
(g) Chemical Dependency Entitlement Grants
111,303,000
122,822,000
247.25Payments for Substance Abuse Treatment.
247.26For services provided placements beginning
247.27during fiscal years 2010 and 2011,
247.28county-negotiated rates and provider claims
247.29to the consolidated chemical dependency
247.30fund must not exceed the lesser of:
247.31(1) rates charged for these services on
247.32January 1, 2009; or
248.1(2) 160 percent of the average rate on January
248.21, 2009, for each group of vendors with
248.3similar attributes.
248.4Effective July 1, 2010, rates that were above
248.5the average rate on January 1, 2009, are
248.6reduced by five percent from the rates in
248.7effect on June 1, 2010. Rates below the
248.8average rate on January 1, 2009, are reduced
248.9by 1.8 percent from the rates in effect on June
248.101, 2010. Services provided under this section
248.11by state-operated services are exempt from
248.12the rate reduction. For services provided in
248.13fiscal years 2012 and 2013, statewide average
248.14rates the statewide aggregate payment under
248.15the new rate methodology to be developed
248.16under Minnesota Statutes, section 254B.12,
248.17must not exceed the average rates charged
248.18for these services on January 1, 2009
248.19projected aggregate payment under the rates
248.20in effect for fiscal year 2011 excluding the
248.21rate reduction for rates that were below
248.22the average on January 1, 2009, plus a
248.23state share increase of $3,787,000 for fiscal
248.24year 2012 and $5,023,000 for fiscal year
248.252013. Notwithstanding any provision to the
248.26contrary in this article, this provision expires
248.27on June 30, 2013.
248.28Chemical Dependency Special Revenue
248.29Account. For fiscal year 2010, $750,000
248.30must be transferred from the consolidated
248.31chemical dependency treatment fund
248.32administrative account and deposited into the
248.33general fund.
248.34County CD Share of MA Costs for
248.35ARRA Compliance. Notwithstanding the
249.1provisions of Minnesota Statutes, chapter
249.2254B, for chemical dependency services
249.3provided during the period October 1, 2008,
249.4to December 31, 2010, and reimbursed by
249.5medical assistance at the enhanced federal
249.6matching rate provided under the American
249.7Recovery and Reinvestment Act of 2009, the
249.8county share is 30 percent of the nonfederal
249.9share. This provision is effective the day
249.10following final enactment.
249.11
249.12
(h) Chemical Dependency Nonentitlement
Grants
1,729,000
1,729,000
249.13
(i) Other Continuing Care Grants
19,201,000
17,528,000
249.14Base Adjustment. The general fund base is
249.15increased by $2,639,000 in fiscal year 2012
249.16and increased by $3,854,000 in fiscal year
249.172013.
249.18Technology Grants. $650,000 in fiscal
249.19year 2010 and $1,000,000 in fiscal year
249.202011 are for technology grants, case
249.21consultation, evaluation, and consumer
249.22information grants related to developing and
249.23supporting alternatives to shift-staff foster
249.24care residential service models.
249.25Other Continuing Care Grants; HIV
249.26Grants. Money appropriated for the HIV
249.27drug and insurance grant program in fiscal
249.28year 2010 may be used in either year of the
249.29biennium.
249.30Quality Assurance Commission. Effective
249.31July 1, 2009, state funding for the quality
249.32assurance commission under Minnesota
249.33Statutes, section 256B.0951, is canceled.

250.1    Sec. 16. Laws 2009, chapter 79, article 13, section 5, subdivision 8, as amended by
250.2Laws 2009, chapter 173, article 2, section 3, subdivision 8, is amended to read:
250.3
250.4
Subd. 8.Board of Nursing Home
Administrators
1,211,000
1,023,000
250.5Administrative Services Unit - Operating
250.6Costs. Of this appropriation, $524,000
250.7in fiscal year 2010 and $526,000 in
250.8fiscal year 2011 are for operating costs
250.9of the administrative services unit. The
250.10administrative services unit may receive
250.11and expend reimbursements for services
250.12performed by other agencies.
250.13Administrative Services Unit - Retirement
250.14Costs. Of this appropriation in fiscal year
250.152010, $201,000 is for onetime retirement
250.16costs in the health-related boards. This
250.17funding may be transferred to the health
250.18boards incurring those costs for their
250.19payment. These funds are available either
250.20year of the biennium.
250.21Administrative Services Unit - Volunteer
250.22Health Care Provider Program. Of this
250.23appropriation, $79,000 $130,000 in fiscal
250.24year 2010 and $89,000 $150,000 in fiscal
250.25year 2011 are to pay for medical professional
250.26liability coverage required under Minnesota
250.27Statutes, section 214.40.
250.28Administrative Services Unit - Contested
250.29Cases and Other Legal Proceedings. Of
250.30this appropriation, $200,000 in fiscal year
250.312010 and $200,000 in fiscal year 2011 are
250.32for costs of contested case hearings and other
250.33unanticipated costs of legal proceedings
250.34involving health-related boards funded
250.35under this section and for unforeseen
251.1expenditures of an urgent nature. Upon
251.2certification of a health-related board to the
251.3administrative services unit that the costs
251.4will be incurred and that there is insufficient
251.5money available to pay for the costs out of
251.6money currently available to that board, the
251.7administrative services unit is authorized
251.8to transfer money from this appropriation
251.9to the board for payment of those costs
251.10with the approval of the commissioner of
251.11finance. This appropriation does not cancel.
251.12Any unencumbered and unspent balances
251.13remain available for these expenditures in
251.14subsequent fiscal years. The boards receiving
251.15funds under this section shall include these
251.16amounts when setting fees to cover their
251.17costs.

251.18    Sec. 17. EXPIRATION OF UNCODIFIED LANGUAGE.
251.19All uncodified language contained in this article expires on June 30, 2011, unless a
251.20different expiration date is explicit.

251.21    Sec. 18. EFFECTIVE DATE.
251.22The provisions in this article are effective July 1, 2010, unless a different effective
251.23date is explicit."
251.24Delete the title and insert:
251.25"A bill for an act
251.26relating to the state budget; balancing proposed general fund spending and
251.27anticipated general fund revenue; modifying certain payment schedules to
251.28improve cash flow; making reductions in appropriations for E-12 education,
251.29higher education, environment and natural resources, energy and commerce,
251.30agriculture, economic development, transportation, public safety, state
251.31government, human services, and health; modifying calculation of state tax aids
251.32and credits; providing for deposit of certain receipts in the special revenue fund
251.33rather than the general fund; making changes to health and human services policy
251.34provisions including state health care programs, continuing care, children and
251.35family services, health care reform, Department of Health, public health, health
251.36plans; increasing fees and surcharges; requiring reports; making supplemental
251.37and contingent appropriations and reductions for the Departments of Health
251.38and Human Services and other health-related boards and councils;amending
251.39Minnesota Statutes 2008, sections 3.9741, subdivision 2; 8.15, subdivision
251.403; 13.03, subdivision 10; 13.3806, subdivision 13; 16C.23, subdivision 6;
252.162D.08, by adding a subdivision; 62J.692, subdivision 4; 62Q.19, subdivision
252.21; 103B.101, subdivision 9; 103I.681, subdivision 11; 116J.551, subdivision 1;
252.3123B.75, subdivisions 5, 9, by adding a subdivision; 126C.48, subdivision 7;
252.4127A.441; 127A.45, subdivisions 2, 3, 13, by adding a subdivision; 127A.46;
252.5144.05, by adding a subdivision; 144.226, subdivision 3; 144.293, subdivision
252.64; 144.603; 144.605, subdivisions 2, 3, by adding a subdivision; 144.608,
252.7subdivision 1; 144.651, subdivision 2; 144.9504, by adding a subdivision;
252.8144A.51, subdivision 5; 144D.03, subdivision 2; 144D.04, subdivision 2;
252.9144E.37; 144G.06; 152.126, as amended; 190.32; 214.40, subdivision 7; 246.18,
252.10by adding a subdivision; 254B.01, subdivision 2; 254B.02, subdivisions 1,
252.115; 254B.03, subdivision 4; 254B.05, subdivision 4; 254B.06, subdivision 2;
252.12254B.09, subdivision 8; 256.01, by adding a subdivision; 256.9657, subdivisions
252.132, 3, 3a; 256.969, subdivisions 21, 26, by adding a subdivision; 256B.04,
252.14subdivision 14a; 256B.055, by adding a subdivision; 256B.056, subdivisions
252.153, 4; 256B.057, subdivision 9; 256B.0625, subdivisions 8, 8a, 8b, 18a, 22,
252.1631, by adding subdivisions; 256B.0631, subdivisions 1, 3; 256B.0644, as
252.17amended; 256B.0915, by adding a subdivision; 256B.19, subdivision 1c;
252.18256B.5012, by adding a subdivision; 256B.69, subdivisions 20, as amended,
252.1927, by adding subdivisions; 256B.692, subdivision 1; 256B.76, subdivisions
252.202, 4; 256D.03, subdivision 3b; 256D.0515; 256I.05, by adding a subdivision;
252.21256J.24, subdivision 6; 256L.07, by adding a subdivision; 256L.11, subdivision
252.226; 256L.12, subdivisions 5, 9, by adding a subdivision; 256L.15, subdivision 1;
252.23257.69, subdivision 2; 260C.331, subdivision 6; 273.1384, subdivision 6, as
252.24added; 276.112; 289A.60, by adding a subdivision; 299C.48; 299E.02; 446A.086,
252.25subdivision 2, as amended; 469.177, subdivision 11; 517.08, subdivision
252.261c, as amended; 518.165, subdivision 3; 609.3241; 611.20, subdivision 3;
252.27Minnesota Statutes 2009 Supplement, sections 123B.54; 137.025, subdivision
252.281; 157.16, subdivision 3; 252.27, subdivision 2a; 256.969, subdivisions 2b, 3a;
252.29256.975, subdivision 7; 256B.056, subdivision 3c; 256B.0625, subdivision 13h;
252.30256B.0659, subdivision 11; 256B.0911, subdivision 1a; 256B.441, subdivision
252.3155; 256B.69, subdivisions 5a, 23; 256B.76, subdivision 1; 256B.766; 256D.03,
252.32subdivision 3, as amended; 256J.425, subdivision 3; 256J.621; 256L.03,
252.33subdivision 5; 270.97; 289A.20, subdivision 4; 327.15, subdivision 3; 517.08,
252.34subdivision 1b; Laws 1994, chapter 531, section 1; Laws 2005, First Special
252.35Session chapter 4, article 8, section 66, as amended; Laws 2009, chapter 79,
252.36article 3, section 18; article 5, sections 17; 18; 22; 75, subdivision 1; 78,
252.37subdivision 5; article 8, sections 2; 51; 84; article 13, sections 3, subdivisions 1,
252.38as amended, 3, as amended, 4, as amended, 8, as amended; 4, subdivision 4, as
252.39amended; 5, subdivision 8, as amended; Laws 2009, chapter 96, article 1, section
252.4024, subdivisions 2, 4, 5, 6, 7; article 2, section 67, subdivisions 2, 3, 4, 7, 9; article
252.413, section 21, subdivisions 2, 4, 5; article 4, section 12, subdivisions 2, 3, 4, 6;
252.42article 5, section 13, subdivisions 4, 6, 7, 9; article 6, section 11, subdivisions 2,
252.433, 4, 6, 7, 8, 9, 12; article 7, section 3, subdivision 2; Laws 2009, chapter 173,
252.44article 1, section 17; Laws 2010, chapter 200, article 1, sections 12, subdivision
252.455; 16; 21; article 2, section 2, subdivisions 1, 5, 8; Laws 2010, chapter 215, article
252.463, section 3, subdivision 6; article 13, section 6; proposing coding for new law in
252.47Minnesota Statutes, chapters 62D; 62E; 62Q; 137; 144; 144D; 246; 254B; 256;
252.48256B; 477A; repealing Minnesota Statutes 2008, sections 144.607; 254B.02,
252.49subdivisions 2, 3, 4; 254B.09, subdivisions 4, 5, 7; 256D.03, subdivisions 3, 3a,
252.505, 6, 7, 8; Laws 2009, chapter 79, article 7, section 26, subdivision 3; Laws 2010,
252.51chapter 200, article 1, sections 12, subdivisions 1, 2, 3, 4, 5, 6, 7, 8, 9, 10; 18; 19."